Hotel, Motel and Restaurant (HMR) tax collection in Fayetteville plummets

By Christopher Spencer

The one percent tax that comes from sales at the city’s hotel, motels and restaurants and is dedicated to promotion and tourism dropped 14 percent last month compared to a year ago.

That amounts to $143,940 in revenue for February compared to $167, 141 this time last year. This means revenue is down $22,770 for the year – roughly the price tag of each grant given by the Advertising and Promotion Commission to TheatreSquared and Bikes, Babes and Bling this year.

The money reported as revenue in February is actually collected in January. The numbers were presented at Monday’s monthly meeting of the Fayetteville Advertising and Promotion Commission.

Allyson Twigs Dyer, director of the Fayetteville Visitors Bureau, told commissioners the substantial drop could be, in part, due to the rush on hotels that happened after the ice storm in late January 2009 when residents lost power to their homes.

Revenue in 2008 for that same month bumped up about $8,500  in 2009, leaving a $14,753 gap between 2008 and 2010 in case 2009 was an anomaly.

City Attorney Kit Williams also said the city set a new record for collecting the least amount of delinquent HMR tax – $387.34.

The city is experiencing an increasing problem with restaurants failing to report their sales, he said.

An ordinance in review right now would require businesses to register with the city and require a fee or a tax to be collected yearly. If it’s a fee, then the city has determined the cost should be around $60 to reflect the actual cost of maintaining the registry, Williams said.

If it’s used as a tax, the cost could go up substantially, he said.

Honoring the art of Steve Moore

The new Fayetteville Visitors Guide

The Sells Agency unveiled the cover of the newest edition of the Fayetteville Visitors Guide Monday.

The cover features a photo titled Castle in the Park by the late Steve Moore. The iconic image was part of Moore’s The Fayetteville Panorama Project. The exhibit was featured in September at the Fayetteville Underground.

The new guide’s will be released later this year.

Leadership elected anew

Tim Freeman

Tim Freeman of Krushiker Hospitality Group, Inc. was re-elected chairman of the commission. His term as a commission member runs until April 1, 2010.

Brandon Karn, owner of Jammin’ Java, was also re-elected to serve on the commission. His term runs until April 1, 2014.

Advertising and Promotion director Marilyn Heifner said Karn’s application was the only one received for the position after the city notified the public about the open appointment.

Agenda information

Ozarks Unbound requested a printed agenda prior to the monthly Fayetteville Advertising and Promotion Commission meetings. Heifner makes that printed copy available to Ozarks Unbound typically on the Friday before a Monday meeting.

Some residents expressed concern about having access to this information.

In the future, Ozarks Unbound will strive to get a copy of the full agenda packet online before the Monday meeting so those interested can read through the information.

Here’s a copy from Monday’s meeting.

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