TDC’s targeted tourism rate - proposed changes and increases explained
As part of the 2010/11 Draft Annual Plan the Tasman District Council is proposing three changes to the targeted rate on businesses benefiting directly from tourism.
The targeted tourism rate is levied by council to assist with the funding of Nelson Tasman Tourism and is paid by those who will most benefit from the agency’s activities. It is in addition to a separate direct contribution from the council. The council also funds Nelson Tasman tourism directly.
The first of the proposed changes is a $4.29 annual increase from $137.21(GST incl) to $141.50 (GST incl) to take account of inflation.
The next change is the extension of the coverage of the Targeted Rate to include rented holiday homes. Council believes that holiday homes that are rented out for periods of less than 90 days, in the same way as motels and B&Bs are, benefit from the marketing work of Nelson Tasman Tourism to attract people to the region.
Retail outlets that target the tourist trade already pay the targeted rate but council did not at first impose the rate on properties that house more than one retail outlet, eg shopping centres. Council believes that it is more equitable to impose the rate on properties like these.
The council is also seeking public views on a further request by Nelson Tasman Tourism to increase the amount paid to them by $50,000. If this request gains industry support the targeted rate will increase to $217.13 (GST incl). This third increase will enable the agency to access a dollar-for-dollar Government subsidy for marketing specifically to the Australian market.
Council is trying to contact affected ratepayers to tell them about the proposed changes and to give the ratepayers the chance to make submissions.
The full Draft Annual Plan is available on council’s website (www.tasman.govt.nz) and from Council offices and libraries. It contains more detailed information about the proposals. Submissions close on Monday 26 April 2010 and council will hear people who want to speak to their submissions on Tuesday 18 May.