|Date Requested:February 21, 2011
Time Requested:04:01 PM
| FUND(S) |
Sources of Revenue
Legislation creates:A New Program
Effect this measure will have on costs and revenues of state government.
|The purpose of this bill is to add a small scale tourism development component and an ancillary tourism facilities development component to the Tourism Development Act. In order to handle the anticipated increase in the number of projects making applications under the provisions of the Tourism Development Act, the Development Office will need to hire an additional staff person to keep track of the status of the applications. This bill anticipates that our Small Business Office will perform the review of these projects and make a recommendation to our Director on these projects. However , unless this activity is approved by the Federal SBA as part of their annual work program, SBA money cannot be used for this purpose.This is the reason , we anticipate needing another employee to administer this program.|
|Effect of Proposal||Fiscal Year|
|1. Estmated Total Cost||0||100,000||100,000|
|Repairs and Alterations||0||0||0|
|2. Estimated Total Revenues||0||10,000||10,000|
3. Explanation of above estimates (including long-range effect):
The above cost is based on the Development Office needing to employ an additional person to review and keep track of the anticipated Tourism Development Act applications resulting from this change.The estimated collections is based on the application fees required in this legislation. These fees would not be enough to pay for this additional person or enough to pay for an independent review of the project as the Act currently requires.The current fees are based on the estimated cost of an outside consultant reviewing each project.
|From our past experience with projects that have made application for the tax credits available under the Tourism Development Act a $1,000 or $250 application fee is not enough to cover the necessary due diligence to adequately review one of these projects.|