Agenda - 05-19-2009 - 7b - Laserfiche WebLink

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Surrounding Visitors Bureaus to Oran e Count Info re or ed in DOS DURHAM NC POPULATION: 202,000 MOTEL ROOM INVENTORY: 7,100 DMO STRUCTURE: Governmental Authority MEMBERSHIP PROGRAM: No BUDGET: $2.8 million; CONVENTION CENTER: Yes History: In 1932, the State passed legislation enabling destinations to Impose a Room Tax for the purpose of funding local tourism promotion. Counties that chose to impose the tax were required to set-up a separate "Tourism Development Authority." The Durham CVB was one of the first of these authorities to be created through an agreement between its City and County governments. Benefits of Governmental Authority Status: while these entities were called Authorities, they did not originally have the power to levy taxes...but they were separate quasi-governmental entities with many of the powers and benefits of government (North Carolina TDAs could access State Benefits Programs). The Durham CVB CEO says the system works because the Bureau's "Authority" status provides an "arms-length" relationship between the TDA and the County which helps depoliticize the decision making process on what is right for the community and, in the end, the customer. At the same time, the quasi- governmental structure ties the CVB close enough to the County that its work cannot be overlooked. The format also enables the CVB CEO to interact as a peer with the City and County managers, enabling any potential problem resolution to move quickly and efficiently. The CVB prefers its position as an Authority to being a part of a Chamber of .Commerce or a Membership-driven CVB because it allows the organization to be destination-centric in its work. If it were a part of a Chamber, it would likely become entangled in advocacy issues important to Chamber members. Likewise, a membership CVB must often chose between what its members want and what is right for the community and the visitor. Authority status frees the CVB from these concerns. Governance & Accountability: The Authority is designed by State Statute to operate under an '1'1-person Board with half of the seats appointed by the City and the other half (plus one) appointed by the County. half of the appointments must be representatives of the hospitality industries which collect the tax. The only reporting requirement of the Bureau is that it submit an annual financial audit to the County. However, the CVB chooses to submit monthly reports including meeting agendas, minutes, performance indicators and financial reports. RALEIGH NC POPULATION: 327,000 MOTEL ROOM INVENTORY: 13,500 DID O STRUCTURE: Governmental Authority MEMBERSHIP PROGRAM: No BUDGET: $3 million; CONVENTION CENTER: Yes i 427 3