Connecticut House Bill HB05828

Connecticut 2011 Regular Session

• Introduced: 1/24/11
• Refer: 1/24/11

Caption

An Act Establishing A Tourism Investment Fund.

Impact

If enacted, HB 5828 would directly affect state tax regulations concerning hotel accommodations and lodging services. The proposed increase in the hotel tax aims to create a steady revenue stream for the Tourism Investment Fund, which is expected to bolster state efforts in tourism marketing. This change is anticipated to generate increased interest and visitation, leading to a ripple effect that could impact related sectors such as hospitality, dining, and attractions. The bill reflects a strategic initiative to prioritize tourism as a key driver of local and state economic development.

Summary

House Bill 5828 proposes the establishment of a Tourism Investment Fund aimed at enhancing the state's tourism marketing efforts. The bill seeks to amend existing statutes by increasing the hotel and lodging tax by one percent, with the collected revenue directed to the new fund. This fund would be utilized by the Commission on Culture and Tourism and regional tourism districts to support various marketing initiatives to attract visitors and stimulate economic growth in the tourism sector. By investing in tourism, the bill highlights the importance of this industry to the state's economy.

Contention

While supporters of the bill argue that the additional tax on hotels is a necessary investment in the state's tourism infrastructure, opponents may raise concerns about the financial burden it could impose on both local businesses and visitors. There are discussions regarding whether the increased tax might deter potential travelers or unfairly affect hotel profitability. Notable points of contention may include the effectiveness of the fund's management and the transparency in how the generated revenue will be utilized, raising questions about accountability in the allocation of public funds for tourism marketing.