Panel OKs bill for broader use of state tourist tax

With the proposal drawing concerns from parts of the tourism industry, a Senate committee Tuesday approved a bill that could allow broader uses of tourist-development taxes.

The bill (SB 658), filed by Sen. Jeff Brandes, R-St. Petersburg, would allow the so-called “bed taxes” to be used for such things as transportation and sewer projects that “are needed to increase tourist-related business activities” and are recommended by county tourist-development councils.

The Senate Community Affairs Committee approved the bill, despite concerns from parts of the tourism industry, including the Florida Restaurant & Lodging Association.

Those concerns, at least in part, focused on the possibility the bill could reduce the amounts of money available for tourism promotion and advertising.

Brandes said he wants to make sure money is available for marketing but that some tourist development councils have tens of millions of dollars in reserves.

“Our goal here is to make sure we have the very best product available to market,” Brandes said.

But Sen. David Simmons, RAltamonte Springs, said he is concerned about the “breadth” of the wording of the bill and the potential that money could be used for projects not related to tourist-development taxes.

“It's incredibly important, I believe, that we work on this language,” Simmons said.

Orange County charges a 6 percent tax on hotel rooms and short-term lodgings. The county’s Tourist Development Council makes recommendations to county commissioners on how the money should be spent.

Destination-marketing organizations, such as Visit Orlando, receive some of that money to lure tourists and provide services. In 2016, Visit Orlando received $51 million. Its expenditures include sponsorships, advertising and travel, including the Orlando Sentinel.

Florida House Speaker Richard Corcoran has called for greater transparency in how organizations, including Visit Orlando and statewide counterpart Visit Florida, spend their money.

Orange County Mayor Teresa Jacobs said last month she wanted the details of Visit Orlando’s corporate sponsorship agreements worth at least $500,000 to be released when the county is expected to extend the agency’s contract in 2018.