August 15, 2022— Jacksonville Mayor Donna Bowen sent the following statement out today regarding funding cuts to the Chamber of Commerce. It reads as follows:

What Went Into The Jacksonville City Council’s Decision To Change The Amount Of Funding We Give For The Visitors Information Center?

After looking at the amount of money paid to the Visitors Information Center (VIC) over the last several years, from the Transient Lodging Funds collected by the City, Jacksonville’s City Council recommended a change. This was voted into the 2022-2023 Budget by the Budget Committee, and adopted by the City Council.

Resolution No. R2022-007 came before Council at the June 21, 2022, City Council meeting and at that time it was tabled for further research. At the Council meeting on August 2, 2022, Council approved the following motion: In part, “ Approve 30% for one year with the proviso for the remaining 20% available for other expenses as they appear”.

The change was to keep the overall funds paid to the Chamber around the same amount as paid in previous years for the operation of the Visitors Information Center, due to the huge increases in lodging taxes.

By law, 50% of funds collected for the Transient Lodging Tax must be spent on tourism. The recent increase in the number of new Vacation Lodgings, now available, greatly increased the amount coming in each year. The City had been paying 50% of the Transient Lodging Tax funds collected to the Jacksonville Chamber of Commerce. Again, this money was for the operation of the Visitors Center in Jacksonville and followed the tourism ruling. The City gives the use of the building to the Chamber on top of the amount given for its operation.  The agreement with the City to the Chamber of Commerce was and has been solely for the operation of the VIC, not to fund the Chamber of Commerce. This is a distinction that is misunderstood. Using 50% of the funds collected resulted in an increase from $81,700 in the fiscal year 2017-2018 to $118,755 in the Fiscal year 2021-2022. In addition, the city has continued to give Transient Lodging Grant Fund awards to the Chamber of Commerce, for advertising, marketing, and other expenditures including Victorian Christmas and helping purchase the Trolley and expenses attached to its maintenance and operation.

The 20% of funds left after the 30% guaranteed funds are transparently available. We have asked the Chamber of Commerce to provide the city with a full accounting of how the funds given were used. We are asking for all future expenditures to be accounted for. In return, after this one-year budget line for 2022-2023, we may increase funds. We currently do not have a clear idea of where our money has been spent or is needed, for the operation of the VIC.

There has been speculation about the city using money from the TLF to finance a museum.  Many, many requests have been made to the city for a museum, by both residents and tourists. Councilor Ken Gregg has been asked by the Council to research the museum idea. Ken has worked for 18 months learning the nuts and bolts of how museums are made possible. The city recently formally requested Councilor Gregg to research if a museum idea is fiscally and physically possible in Historic Jacksonville. If and when a museum is developed, we will utilize funds from many sources, which may include the Transient Lodging Fund.

In closing, changing the disposition of the Transient Lodging Tax Revenue to 30% is to keep the reimbursements to the Chamber, for the operation of the VIC, relatively the same, not increasing substantially each year. The Chamber will be required to submit a budget for the VIC operations and a budget for Tourism Promotion, for City approval. Reimbursements would then be made to the Chamber, based on the approved budget. If the budget approved by the city exceeds the 30%, reimbursement would be made out of the remaining 20%, as allowed by Resolution No. R2022-007. The goal here is not to reduce the amounts paid for the Visitors Information Center.