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HomeMy WebLinkAbout2024-11-13; Carlsbad Tourism Business Improvement District; 1; Update on Services Rendered by Visit CarlsbadMeeting Date: Nov. 13, 2024 To: CTBID Advisory Board Members From: Matt Sanford, Economic Development Director Staff Contact: Matt Sanford, Economic Development Director matt.sanford@carlsbadca.gov, 760-607-2923 Subject: Update on Services Rendered by Visit Carlsbad Recommended Action Receive a progress report from Visit Carlsbad on contract deliverables. Item Explanation Since the inception of the Carlsbad Tourism Business Improvement District (CTBID), the CTBID Advisory Board has contracted with the Carlsbad Convention and Visitors Bureau, a 501(c)(6) corporation (dba Visit Carlsbad), to provide tourism promotion services for the CTBID. The scope of those services has included operation of the visitor center, website development and administration, group sales, print and internet advertising, public relations and various other tourism promotion activities identified in the agreement. On April 18, 2023, the City Council of the City of Carlsbad formed a new Carlsbad Tourism Business Improvement District (New CTBID) under the Property and Business Improvement District Law of 1994 (California Streets and Highways Code Sections 36600 et seq.). Visit Carlsbad was selected as the Owners’ Association under the New CTBID and implemented the New CTBID’s management district plan, as of July 1, 2023, when the new assessment also began. As a result of the New CTBID’s establishment, it was determined the current CTBID would wind down operations by the end of fiscal year 2024-25. To avoid subjecting hotel businesses to double assessments, the City Council did not levy assessments under the current CTBID for fiscal years 2023-24 and 2024-25. Given that the current CTBID had funds available from prior fiscal year assessments to fund tourism promotion and visitor services for the benefit of hotel businesses, it has continued funding these services. Historically, to execute these services, the CTBID Advisory Board has contracted with Visit Carlsbad to develop a program of work and present it to the CTBID Advisory Board for approval along with the proposed budget. The budget is then included in the CTBID’s annual report and budget. Most recently, the CTBID Advisory Board approved Visit Carlsbad’s program of work in May 2022. On June 27, 2023, the CTBID Advisory Board approved an amendment to extend the Nov. 13, 2024 Item 1 Page 1 of 2 CARLSff DiOURISM ;USINESS IMPROVEMENT DISTRICT Sta epo t . contract with Visit Carlsbad to continue services until all remaining CTBID funds were fully expended. As of June 30, 2024, all funds from the CTBID have been expended, and as of October 2024, all services utilizing CTBID funding have been rendered by Visit Carlsbad. The report provided by Visit Carlsbad will outline the progress on the deliverable set forth in the contract and present the Advisory Board with an accounting of funds expended and services rendered. Fiscal Impact None. Exhibits None. Nov. 13, 2024 Item 1 Page 2 of 2