Explanation
BACKGROUND: Hotel/Motel Excise Tax proceeds are disbursed in accordance with Section 371.02(c) of Columbus City Codes, 1959 which says, in part: "...Of the combined rates of 5.1% the amount of tax allocated for the purpose of promoting the City of Columbus from funds generated by the Hotel/Motel Excise Taxes shall be up to 1.84%. However, the city traditionally allocates 1.5% for this purpose, providing additional support through the general fund. In 2005, in addition to the projected $3,510,000 in hotel/motel revenues, Experience Columbus is scheduled to receive $561,000 in general fund support.
The award of this contract meets the procurement provisions of Chapter 329.29 and 3901.01 of the Columbus City Code, 1959.
Emergency action is requested since the start of this contract was January 1, 2005 but its authorization could not proceed until the adoption of the 2005 budget on January 31, 2005.
FISCAL IMPACT: Funding for this contract is included in the 2005 budget. Previous approximate amounts have been: $4,041,000 in 2004; $3,925,000 in 2003; $3,809,000 in 2002; $4,036,000 in 2001; $4,122,000 in 2000; and $3,937,000 in 1999, all reflecting combined hotel/motel and general fund allocations.
Title
To authorize the City Clerk to contract with Experience Columbus for marketing services to increase tourism and convention business and strengthen the image of the City of Columbus, Ohio; to authorize the expenditure of 1.5% (presently estimated at $3,510,000) of the combined rates of 5.1% of the Hotel/Motel Excise Tax; and to authorize the expenditure of $561,000 from the General Fund; and to declare an emergency. ($4,071,000)
Body
WHEREAS, Section 371.02(c) of the Columbus City Codes, 1959, specifies that up to 1.84 percent of the combined rates of 5.1 percent of the revenues of the Hotel/Motel Excise Tax are to be used for the promotion of the City of Columbus as a desirable location for conventions, tourism, trade shows, and similar events; and
WHEREAS, City Council desires to contract with the Experience Columbus for $3,510,000 or 1.5 percent of the combined rates of 5.1 percent of the revenues of the Hotel/Motel Excise Tax in accordance with Chapter 371.02 (c) of Columbus City Codes, 1959; and
WHEREAS, an additional $561,000 in general fund support will be provided to Experience Columbus in order to enhance their marketing efforts of the City; and
WHEREAS, the City and its citizens benefit economically, culturally, and otherwise from these marketing services, and it is in the best interests of the City and its citizens to encourage and support the services of Experience Columbus; and
WHEREAS, an emergency exists in the usual daily operation of the government of the City of Columbus in that it is immediately necessary to insure the ongoing operation of Experience Columbus for the immediate preservation of public peace, property, health, safety and welfare; now therefore:
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the City Clerk is hereby authorized to contract with Experience Columbus for marketing the City of Columbus, so as to increase cultural, educational, religious, professional and sports-related visits and conventions in the City,thus boosting the economy and creating more jobs.
SECTION 2. For the purpose of paying additional costs thereof, the sum of 1.5% of the combined rates of 5.1% of the Hotel/Motel Excise Tax in excess of the currently appropriated $3,510,000 (Ordinance No.2108-2004) is hereby deemed appropriated and authorized to be expended from City Council, Department No. 20-01, the Hotel/Motel Excise Tax Fund 231, Object Level One 03, Object Level Three 3337, OCA Code 200204.
SECTION 3. Said contract shall provide for payment by the City for such services the equivalent of 1.5 percent of the combined rates of 5.1 percent of the revenues of the Hotel-Motel Excise Tax in accordance with Chapter 371.02(c) of Columbus City Codes, 1959, and $3,510,000 is hereby authorized to be expended from City Council, Department No. 20-01, the Hotel/Motel Excise Tax Fund 231, Object Level One 03, Object Level Three 3337, OCA Code 200204.
SECTION 4. That the additional sum of $561,000 be and hereby is authorized to be expended from City Council, Department No. 20-01, Fund 010, Object Level One 03, Object Level Three 3337, OCA Code 200105.
SECTION 5. Award of this contract meets the procurement provisions of Chapter 329.29 and 3901.01 of the Columbus City Code, 1959.
SECTION 6. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is declared to be an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.