Authorizes the levy of an optional hotel assessment by a tourism organization upon its hotel members and provides for treating such assessment as a surcharge to hotel guests. (gov sig)
Impact
The bill establishes a structured process for implementing and approving these assessments through referendums. Each assessed hotel will have voting rights proportional to their number of rooms, with a two-thirds majority required for approval. This provision ensures that the participating hotels have a direct say in the assessment implementation, which can lead to increased funds for marketing efforts that can stimulate greater tourism activity, conventions, and related local retail and service industries. Given the economic landscape of New Orleans, this measure is intended to create a more robust infrastructure to support tourism-related economic benefits.
Summary
Senate Bill 242 introduces an optional hotel assessment in Louisiana, specifically aimed at hotels and motels located in Orleans Parish. This bill allows a tourism organization to levy a surcharge of up to 1.75% on the daily room charge as part of a self-generated funding mechanism to enhance marketing and promotional activities. The primary goal is to strengthen the traveler economy and increase hotel occupancy rates by facilitating more effective state and local tourism marketing initiatives. There's a clear emphasis on partnerships between the public and private sectors to drive economic growth in the region.
Sentiment
General sentiment toward SB 242 appears to be supportive among stakeholders in the hospitality sector, who believe that enhanced marketing through the collected surcharges will lead to an increase in tourism and, by extension, local jobs and business opportunities. However, there may be concerns regarding the financial burden it could impose on hotel operators and how effectively the funds will be utilized by the tourism organization. The bill highlights the tension between the necessity of funding for tourism promotion and the implications of increasing operational costs for hotels.
Contention
Notable points of contention may arise regarding the implementation of the surcharge. Concerns could include the actual impact on hotel pricing for guests, as the assessment will be passed on as a mandatory surcharge, and whether this approach may deter visitors or affect occupancy levels. Furthermore, the effectiveness of such a system in generating tangible benefits for the local economy remains to be seen. Legislators will likely debate the appropriateness of giving a single tourism organization such authority, reflecting broader discussions on the role of public-private partnerships in economic development.
Authorizes a levy of an optional hotel assessment by a tourism organization upon its hotel members and provides for treating such assessment as a surcharge to hotel guests. (8/1/14) (OR INCREASE RV See Note)
Authorizes a levy of an optional hotel assessment by a tourism organization upon its hotel members of facilities located in Jefferson Parish and provides for treating such assessment as a surcharge to hotel guests. (8/1/15)
Authorizes tourism organizations in Jefferson Parish to levy hotel assessments upon its hotel members and provides for treating such assessments as a surcharge to hotel guests (OR +$1,200,000 LF RV See Note)
Authorizes a levy of an optional hotel assessment by a tourism organization upon its hotel members of facilities located in Jefferson Parish and provides for treating such assessment as a surcharge to hotel guests. (8/1/15)
Authorizes a levy of an optional hotel assessment by a tourism organization upon its hotel members and provides for treating such assessment as a surcharge to hotel guests. (8/1/14) (OR INCREASE RV See Note)
Authorizes tourism organizations in Jefferson Parish to levy hotel assessments upon its hotel members and provides for treating such assessments as a surcharge to hotel guests (OR +$1,200,000 LF RV See Note)