(If you didn’t read today’s newsletter, start here. If you did, scroll down to the line, and start from there.)
Thursday night (H)appy hour with friends: 2 drinks, 3 apps (might as well toss in the nachos, jumbo pretzel, and truffle fries), memories with friends, and 2% back to the City. Wait, what?
Yup, through City Ordinance No. 2000-79 – aka, the (H)ospitality Tax – all food and drink purchased in the city includes a 2% tax that goes back to Greenville. So, that night out on the town your overnight visitors – through the Local (A)ccomodations Tax – are helping make Greenville the thriving community it is today; thanks everyone!
H-tax, A-tax
In short, these are taxes implemented on food, beverage, and hotel stays here in Greenville and the state, that in turn, must be used for tourism promotion and tourism-related expenditures.
Hospitality Tax (page F-7) = 2% tax on all prepared meals and beverages sold in the City.
Local Accommodations Tax a.k.a A-tax (page F-12) = The rental of transient accommodations (hotels, rooms, campgrounds etc.) is subject to a 3% tax here in Greenville.
State Accommodations Tax (page F-10) = a 2% tax is imposed on all accommodations in the State of South Carolina. These monies are collected by the State and distributed to counties and municipalities.
How much are we talking here?
This year’s (2017-2018) operating budget puts the hospitality tax at the highest level it’s ever been, sitting at a cool $10,960,953. The State Accommodations tax comes in at $2.4 million and the Local Accommodations tax at $3.9 million. The hospitality tax alone is up 8.6% from last year and up 11.3% from 2014-2015 (that’s a lot of people giving their 2 cents).
Who gets money?
The nature of the law states that these funds must be devoted to tourism-related expenses and much (half) of the local accommodations tax goes to Greenville’s Arena District (i.e. repaying debts incurred for the construction of the Bon Secours Wellness Arena) and to VisitGreenvilleSC.
In case you don’t want to read the whole report, read the quick highlight reel, according to the 2017-2018 budget provided by the City of Greenville.
(Hint: Your photo of Falls Park, tagged #yeahTHATgreenville on Instagram is tied directly to these funds.)
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State Accommodations Tax Distribution:
VisitGreenvilleSC: $980,000 ($500K for increasing overnight visitation + $480K for the base VisitGreenvilleSC promotional budget Convention)
Metropolitan Arts Council: $450,000
Euphoria: $75,000
Artisphere: $50,000
Fall for Greenville: $30,000
Scottish Games: $30,000
See All (F-11)
Local Accommodations Tax Distribution:
VisitGreenvilleSC: 878,374
Maintenance/Upkeep:
- Falls Park: $37,400
- Swamp Rabbit Trail: $25,000
- Peace Center landscape maintenance: $15,000
- Maintenance of public art: $12,300
TD Convention Center Parking Lot improvements: $645,000 ($500K for the parking lot, and $145K for interior improvements).
Capital Projects Fund: $825,000
- Fluor Field/Greenville Drive Improvements: $750,000
- Art in Public Places: $75,000
Hospitality Tax Distribution:
The Greenville Zoo: $1,448,696, which will be used to offset operating losses of which $1 million will go towards the Zoo Master Plan
Capital Projects: $2,550,000
- City Park Phase II ($2,000,000)
- SC Children’s Theatre ($300,000)
- Public Safety Cameras ($250,000)
VisitGreenvilleSC: $60,000 of funding for the “Yeah, That Greenville” campaign, $500,000 for VisitGreenvilleSC to increase overnight visitation, and $100,000 for tourism events/promotion.
The General Fund: $3,348,220 which is used towards operating costs associated with special events and tourism. The city will primarily use these funds for public safety, parks and recreation, as well as other staff support for special events and tourism.
Be sure to check out the full annual operating budget for 2017 – 2018 here and scroll to F-7 to see all of the organizations who will be receiving funds.
