Michigan Votes Forum

Introduced in the House on February 13, 2007, to allow the convention and tourism bureaus in Kent County and Lansing to levy a 2 percent hotel and motel rooms tax to support marketing and promotion programs. This would be on top of existing marketing levies. A referendum of lodging providers would be required if requested by least 40 percent of the owners of "transient facilities" subject to the tax. Providers would have one vote for each room in their facility

The vote was 64 in favor, 43 opposed and 3 not voting

(House Roll Call 148 at House Journal 44)

Click here to view bill details.

Does anyone know the value of a dollar anymore when it comes to taxation and its uses for the public good? The Grand Rapids/Kent County CVB does not need/deserve any more money. Take a look at their 2007 budget: $3,277,824.00 ($8,890.00 - daily) Kent County Hotel/Motel Tax $914,165 HOTEL/MOTEL ASSESSMENT $2,140,459 City of Grand Rapids $50,000 Memberships $85,000 Management Fee $77,700 Other Income $10,500 THREE MILLION TWO HUNDRED SEVENTY SEVEN THOUSAND EIGHT HUNDRED AND TWENTY FOUR DOLLARS Expenditure by Activity Operations $318,465 Sales $1,639,474 Marketing $1,319,885 Visitors and Information Center $0 Directions and Information Booth $0 - Now they, the CVB, wants MORE $$$$$. Hildebrand legislation did not work in 2006 - Now Sak is trying. Puppets and Strings The new legislation is calling the new tax: "convention and tourism promotion act" - not to be confused with the other CURRENT taxes listed above - This is truly a new TAX to benefit the CVB of Grand Rapids/Kent County. The fact is simple: The CVB closed the Visitors and Information Center in downtown Grand Rapids in 2001 when record economic development was and is being invested in downtown Grand Rapids. I have a letter from the CVB President, Steve Wilson, stating he has no interest in having an information booth in downtown Grand Rapids. He has an old-timers vision in this world of information we live in. He believes the internet is all he needs and people want. I still believe a human is better than a computer - for a human is needed to operate a computer.; For more information and background please contact me: Scott Atchison - 616-293-9056 NativeGR@aol.com Here is a link to the text of the legislation: www.legislature.mi.gov/documents/2007-2008/billintroduced/House/htm/2007-hIB-4261.htm

Rep. Elsenheimer, having reserved the right to explain his protest against the passage of the bill, made the following statement: "Mr. Speaker and members of the House: When this issue came before the House in the last session, it was limited to the City of Grand Rapids. I supported the bill at that time. Today, we have a bill that has been expanded to include Grand Rapids and Ingham counties, which begs the question as to why we do not open up the same opportunities to other counties throughout the state."

This is an article from the Grand Rapids Press regarding this bill/tax/assessment. Hey Santas, please come to GR; Convention bureau tries to lure more groups to meet in area. The Grand Rapids Press (Grand Rapids, MI) (May 23, 2007): pC1. Byline: Mary Radigan / The Grand Rapids Press GRAND RAPIDS -- Will the Amalgamated Order of the Real Bearded Santas come to Grand Rapids for its annual meeting in 2008? Grand Rapids/Kent County Convention & Visitors Bureau officials are making a list and checking it twice in hopes the organization will make Grand Rapids its choice. At the CVB's 80th annual meeting Tuesday, George Helmstead, vice president of sales, said a successful bid would bring in 1,500 jolly old Saint Nicks with real face hair, booking 3,200 room nights. Another successful bid could bring to DeVos Place the League of the United Latin American Citizens organization in 2010, bringing in more than $1 million in direct spending and 4,900 booked room nights. For this year, hotel reservations are projected to top 125,000 room nights. The bureau wants to expand by creating partnerships and convention/tourism business. A goal for the next two years is to raise $2 million to bolster the annual $3.1 million budget for marketing and advertising. A six-week radio campaign, "Michigan's West Coast -- Pure Michigan," kicked off across the state Monday in a $200,000 collaborative effort between the convention bureau and Travel Michigan. With a "West Side Story" theme, the ad also is running three months in northern Indiana. "The challenge is we are spread too thin, and we need a $5 million budget to compete nationally," Helmstead said. "We only have enough money to run a 13-week campaign for the (overall) Michigan's West Coast promotion, when we should be doing it all year." CVB President Steve Wilson was in Lansing on Tuesday, appearing before a state Senate committee hearing to discuss a proposed 2 percent surcharge on most hotel rooms in Kent County. The measure was passed by the state House earlier this month. Wilson has indicated the CVB would levy only a 1 percent surcharge, which would raise an estimated $1 million. It would be divided among the new West Michigan Sports Commission and CVB programs to promote tourism, suburban meetings and larger conventions. "West Michigan leads the way with bookings and bringing people here," said Kathleen Ponitz, chairwoman of the CVB's board of directors. "We want people to think about the organizations they belong to and about bringing in conventions." What is the CVB current budget and where is all the money going? Why is there in information booth in downtown Grand Rapids?

There is no Infornation Booth in downtown Grand Rapids. The CVB closed their facility in 2001 before the "DeVos Place" opened. The "DeVos Place" convention center has a $60,000,000.00 investment from the state of Michigan. The CVB states a record number of visitors. With out an information booth and a record number of visitors equates to driving without a map and or directions. All that is being offered is yet another website.

I agree.  Why haven't we opend up the same opportunites to the other counties?  It makes sense.  What needs to be done to make this happen?

IRS debt relief

What is the CVB current budget and where is all the money going?

Tax Attorney

I also want to know that What is the CVB current budget and where is all the money going?Plz give information about it.

Lancaster PA Lodging

I admire the way you express yourself through writing. Your post is such a refreshing one to read. This is such an interesting and informative article to share with others. Keep up the good work and more power. Thanks!

irs back taxes

A new tax on residents of Michigan would not be advisable at this time, as our collection of Michigan Tax Professionals reported to us in the past year. The local economy is still too fragile for a new transit facility tax.

I know that most people don't like to hear the expression 'new tax', but sometimes it's necessary. Hotels are very profitable corporations that will work no matter what the economy looks like. A friend of mine work at this Des Moines IA hotel in our reasonably small town and he said that these taxes are not the ones that make the biggest hole in their budget, it's other things like suppliers increasing their prices, the administration and so on and so forth.

I think a 2% tax shouldn't be expected to have such a negative effect on hotel revenues, especially since it's something that is supposedly going into marketing and promotion. My aunt owns an Evansville IN hotel which has a lot of problems in that area, so if this would be handled correctly, I don't see why hotel owners shouldn't make the best of it.

Well I think every type of hotel should "suffer" from this law not only Michigan related hotels. Now for examplei if hawaii vacation hotels would be a bit more expensive people would suffer so in the end applying this law would do more harm than good. The people responsible for this law should take every type of precautionary method to ensure fairness.

Not every hotel will have to suffer because of this new tax. The Governor of the Michigan has the right to manage however he wants, of course fair for all its population. For instance I visited last month some Amazing Artist Hotels in India and those hotels didn't charge extra. The new tax depends from state to state.

I've found the study by Market Metrix and The Leading Hotels of the World while searching for Top 5 Most Luxurious Bathrooms in the World for a personal project. I have a dream of spending one night in each of the 5 most luxurious hotels around the world, and to me the bathroom is a very important aspect.