Western Courier

Issue date: 9/30/09 Section: News

City Council members discuss new development for Macomb on Monday, Sept. 28. John Otis Casey/Courier staff

Macomb City Council unanimously approved the contracts with the Macomb Area Convention and Visitors Bureau and the Macomb Area Chamber of Commerce Downtown Development Corporation yesterday at the meeting of the Committee of the Whole Macomb City Council.

Both organizations are to receive three-year contracts. The MCVB will receive a total base figure of $170,625 for the contract year beginning Sept. 1, 2009. The MACCDDC will receive a total base figure of $21,600 for the contract year beginning Sept. 1, 2009. Both figures will increase by the amount of inflation for years two and three of the contract.

Payments to both organizations will be spread evenly over 12 months versus 10 months. The city will receive a five percent administration fee for their management of revenues and payments.

There will also be a special project fund which will provide funding to eligible organizations. Fourth Ward Alderman, Mike Inman, hopes that the fund will "attract non-resident stays to the city," adding that the fund "could be, hopefully, an incentive."

Remaining revenues will stay in the city's "Hotel/Motel Tax Fund," for use in eligible "special projects," as determined by the City Council. What constitutes an eligible project?

According to the proposal, eligible projects are "those that promote tourism and conventions or otherwise attract nonresident overnight visitors to Macomb." The proposal does require that, "no funds are used to advertise for or otherwise promote new competition in the hotel business."

The MACVB and the MACCDDC both qualify as eligible organizations for the funding.

Both organizations must meet the following criteria for funding, being that the activity or project is something "new and innovative for the community as well as the organization," and, "cannot be funded within its current budget."

Applications for additional funding will be considered by The Community Development Committee of the City Council, which will make recommendations to the City Council.

The CDC recommended a change in the due date for Hotel/Motel tax payments to the city from the current "end of the following month," to the 15th of the following month.

The committee also increased the standard late charge by one and one-half percent per month. The late charge applies to many services and taxes, including the Hotel/Motel Tax.

The CDC plans to meet each year with representatives of both the MACVB and the MACCDDC to review progress and plans for the future. ? 

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