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HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 05/16/2000 - FIRST READING OF ORDINANCE NO. 55, 2000, APPROPRIA AGENDA ITEM SUMMARY ITEM NUMBER: 14DATE: May 16, 2000 FORT COLLINS CITY COUNCIL Frank Bruno STAFF: Dave Siever SUBJECT: First Reading of Ordinance No. 55, 2000,Appropriating Prior Year Reserves in the General Fund for Promotion of Convention and Visitor Activities and for Cultural Development and Programming Activities. RECOMMENDATION: Staff recommends adoption of the Ordinance on First Reading. FINANCIAL IMPACT: This Ordinance appropriates $42,801 from the General Fund Lodging Tax Reserves for the Convention and Visitors Bureau,Cultural Development and Programming(CDP),Visitor Events,and Tourism Capital from the following sources: Visitor CVB CDP Events Capital Total unappropriated 1999 Lodging Tax Receipts $0 $ 3,167 $ 2,375 $7,126 $12,668 nexpended 1999 Appropriations _ 19,162 10,971 30,133 Total Appropriated by this Ordinance $0 $22,329 $13,346 $7,126 $42,801 EXECUTIVE SUMMARY: This Ordinance appropriates 1999 lodging tax receipts dedicated to the Convention and Visitors Bureau, Cultural Development and Programming (CDP),Visitor Events, and Tourism Capital. In addition,it appropriates unexpended 1999 appropriations for CDP and visitor events. The following information explains each of these funding sources. Lodging tax revenue for 1999 was estimated to be $542,580, while the actual receipts totaled $555,248. The 2000 budget appropriated the estimated 1999 receipts of$542,580. The additional 1999 lodging tax receipts in the amount of$12,668 have not been appropriated. In accordance with City Code Section 25-244, 75%of the total receipts are to be used for the promotion of convention and visitor activities, and 25% for cultural development and programming (CDP) activities. In accordance with the City's contract for services with the Convention and Visitors Bureau(CVB)for 1996, the City's 1996 payment to CVB was set at $250,000, with annual increases at a rate not to exceed the prevailing rate of inflation as established by the Denver-Boulder Consumer Price Index. The total 2000 allocation of funds is as follows: DATE: May 16, 2000 2 iTEM NUMBER: 14 2000 Budget 1999 Receipts Difference CVB $284,360 $284,360 $ 0 Tourism Capital 91,931 99,057 7,126 Visitor Events 30,644 33,019 2,375 Visitor 75% $406,935 $416,436 $9,501 CDP 25% $135,645 $138,812 $3,167 Total $542,580 $555,248 $12,668 The Cultural Development and Programming (CDP) and Visitor Events funds are in the General Fund reserves for lodging taxes and must be appropriated to be used to support events that provide a public benefit to the Fort Collins Community and promote the utilization of public accommodations within the city. The City's Cultural Resources Board reviews applications for these funds and will make recommendations to the City Council. The CDP and Visitor Events accounts also had funds from the previous years lodging tax allocations which were appropriated,but not used during 1999. The unexpended 1999 appropriations for CDP are $19,162, and for Visitor Events, $10,971. These funds are in the General Fund reserves for lodging taxes and must be appropriated into the CDP and Visitor Events accounts to be used to promote cultural development and programming activities. ORDINANCE NO. 55, 2000 OF THE COUNCIL OF THE CITY OF FORT COLLINS APPROPRIATING PRIOR YEAR RESERVES IN THE GENERAL FUND FOR PROMOTION OF CONVENTION AND VISITOR ACTIVITIES AND FOR CULTURAL DEVELOPMENT AND PROGRAMMING ACTIVITIES WHEREAS,in accordance with Section 25-244 of the City Code,lodging tax revenue is to be allocated as follows: 75% for the promotion of convention and visitor activities, and 25% for cultural development and programming activities; and WHEREAS, in 1999 the City received lodging taxes in the amount of$12,668 in excess of the original estimate for 1999 lodging tax receipts; and WHEREAS, in addition, the Cultural Development and Programming Account had appropriated funds from 1999 in the amount of$19,162 that were not expended in 1999; and WHEREAS, in addition, the Visitor Events Account had appropriated funds from 1999 in the amount of$10,971 that were not expended in 1999; and WHEREAS, at the end of 1999, all of the above lodging tax funds lapsed into the General Fund Reserves for lodging taxes; and • WHEREAS,Article V, Section 9,of the Charter of the City of Fort Collins permits the City Council to appropriate by ordinance at any time during the fiscal year such funds for expenditure as may be available from reserves accumulated in prior years,notwithstanding that such reserves were not previously appropriated; and WHEREAS, the City wishes to appropriate all funds allocated for the promotion of convention and visitor activities and for cultural development and programming and visitor events. NOW, THEREFORE,BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That there is hereby appropriated for expenditure from prior year reserves in the General Fund the total sum of TWENTY-TWO THOUSAND THREE HUNDRED TWENTY- NINE DOLLARS ($22,329) for Cultural Development and Programming. Section 2. That there is hereby appropriated for expenditure from prior year reserves in the General Fund the total sum of THIRTEEN THOUSAND THREE HUNDRED FORTY-SIX DOLLARS ($13,346) for Visitor Events. Section 3. That there is hereby appropriated for expenditure from prior year reserves in the General Fund the total sum of SEVEN THOUSAND ONE HUNDRED TWENTY-SIX • DOLLARS ($7,126) for Tourism Capital. Introduced, considered favorably on first reading, and ordered published this 16th day of May,A.D. 2000, and to be presented for final passage on the 6th day of June,A.D. 2000. Mayor ATTEST: Chief Deputy City Clerk Passed and adopted on final reading this 6th day of June, A.D. 2000. Mayor ATTEST: City Clerk