Level Playing Field for Tourism Dollars

As I follow the money in Mason County my most recent research focused on the Motel/Hotel Tax Fund. I discovered that within this county there are systems and procedures, which I question are in the best interest of the public in general.


Here's what I found.

1. The heads of the North Mason Chamber of Commerce, the Joint Tourism Board, and the Shelton Mason Chamber of Commerce receive 90% of the recent Lodging Tax Advisory Committee recommendations for reimbursement in 2010. These two executive directors are members of the six member advisory committee even while they received a portion of their 2009 salaries from the Hotel Motel Tax Fund.

2. More questionable still is my discovery that the head of the North Mason Chamber of Commerce in 2009 approved reimbursement of his salary and that the county accepted this as valid and proper documentation for payment.

3. When I reviewed the applications for those individuals appointed to this advisory committee, I found that one member had no application on file with the county and that the other five had for the most part provided only name, address and phone numbers. The rest of the application particularly disclosure of any conflicts of interest was basically incomplete.

4. I also attempted to discern what criteria the Lodging Tax Advisory Committee used to evaluate requests for lodging tax grants. I say "discern" because I didn't find by laws or clearly stated criteria for evaluation. Minutes of the most recent meeting are not available at this time. The closest I came to what was used to accept or reject a request was this notion of "heads in beds". I compared this to what other local municipalities used for evaluation and found that "heads in beds" was overly simplistic.

5. The committee's recent recommendations show that for the two chambers of commerce and the joint tourism board there was support for their organizations proposals totaling $179K but rejection of small requests. No to Harmony Hills for $5K to support the Summer Fest. No to Anna's Bay for $4K to support a holiday event. No to Harstine Island Community Choir for $3K. SOCK requested $2K but the committee cut that in half. Someone needs to explain the fairness of this committee's proposed distribution. I can't find it.

Given these findings here are my recommendations to the Board of County Commissioners.

1. Even the appearance of a conflict of interest should be avoided. For all advisory committees not just the Lodging Tax Advisory Committee begin today ensuring that the county has on file a completed advisory committee application stating whether or not there is potential for conflict of interest. Check out Kitsap County's policy on conflicts of interest surrounding the Lodging Tax Advisory Committee. If you receive money from this Motel Hotel Tax Fund in Kitsap County then you can't sit on the committee for the year you are receiving a grant.

2. Look at other municipalities such as Federal Way for best practices and written procedures to enhance and increase tourism in Mason County. They have a most comprehensive document.

3. In 2010 give the smaller requests a closer look using more than "heads in beds" as a means to accept or reject proposals.

4. Relook the makeup of the LTAC. State law requires an equal number of revenue generators versus revenue spenders. Documentation for the 2010 process shows two generators, three spenders and one at large member with no elected official chairing as required by RCW 67.28. Further state law requires the appointing authority to review membership of this committee annually.

I want to make very clear where I stand on two aspects surrounding this fund.

First of all, I am not accusing any individuals of wrongdoing. Instead what I want to underscore is that for a reasonable person the processes and systems in place give the appearance of a conflict of interest.

Secondly, I believe that increasing tourism is good for our county's economy and local businesses. By all means let's work together to increase tourism. But let's make sure we have a level playing field and that all of us know what the rules are and how we're keeping score.