Hotel Room Tax Takes Effect In New Year

Monday, November 02, 2009 07:31 PM

Prince George, B.C.- Effective January 1^st, 2010, there will be a 2% hotel room tax added to the price of a hotel room in Prince George.

The special tax will be in effect until July 1^st of 2011, and all funds collected will be used for tourism marketing of Prince George. The funds will be in addition to the annual funding from the City of Prince George.

A special Tourism Prince George Society has been created and an interim Board of Directors established. An Executive Director will be hired and the first full board meeting is set for the end of November. A marketing plan for Tourism Prince George is expected to be completed by April of next year. The Board of Directors willinclude 6 representatives from the Hotel sector.

Councilor Dave Wilbur says this is truly a good news story as it will help Prince George catch up with the kind of marketing that has been launched by other communities.

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Posted on Monday, November 02, 2009 07:31 PM in News by 250 News

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Comments

Posted by: northernjoe on November 2 2009 7:42 PM

Marketing is good and all but creating a new level of government to manage it..... hmmm, I wonder what the new Executive Director will be making in the way of a salary.... will it be posted?

Posted by: RUEZ on November 2 2009 7:43 PM

Excellent idea PG. Give people more reason to not stay here. Taxes are always the answer.

Posted by: supertech on November 2 2009 10:51 PM

ANY MONEYS COLLECTED WILL GO TO WAGES OF THE CHOSEN FEW.

Posted by: gus on November 2 2009 11:26 PM

I wonder how much tax is expected to be collected.

Say 1,000 rooms at average of $90/night by 365 days at 60% occupancy and 2% tax would be around $400,000 per year.

Exec director plus staff + office rental/operating costs = $175,000/year ..... so $225,000 left for actual programs and products ... will be interesting to see what those will be and how effective they will be in bringing the occupancy up to 70% and 80% ..... which will increment the income form tax by about $65,000 .... so that may be the salary of the exec director. He/she increases the occupancy by 10% and the salary will have been earned .....

Of course, they have to resist hiring a communications manager for $95 thousand which.