Tourism-ad bill pushed

State travel officials are marshaling support for a legislative bill that would raise money for advertising Utah to outsiders and, they say, result in a big boost to the economy and tax revenue coffers.

Meeting Thursday, the Board of Travel Development, also known as the Utah Travel Council, discussed SB208, which would create a $15 million advertising budget, far greater than the current level of less than $1 million.

The body of the bill has not been made public, but it is expected to include a 0.5 percent increase in the hotel tax, a 0.25 percent increase in the restaurant tax and some general fund money to create the $15 million fund.

The board says that every $1 spent on advertising will generate $8.64 in tax revenue from increased tourist spending. With a $15 million fund for ads, additional visitors would spend $1.62 billion and pump $130 million into tax revenue, plus create at least 20,000 jobs.

"This is really not just a tourism bill," board chairman Randy Harmsen said. "We have tried very hard to make sure this is an economic stimulus bill using the tourism industry as the vehicle to accomplish our objectives."

Missing from the bill will be an earlier proposal to put rental-car tax money into advertising. That drew criticism from supporters of the current tax money use, a Department of Transportation Corridor Preservation Revolving Loan Fund used to buy highway corridor property for future road projects.

Harmsen emphasized to board members Thursday the need to have a long list of bill supporters and a stack of letters from supporting organizations to present to legislators, perhaps as soon as a caucus next week.

The Utah Restaurant Association is opposed to increasing the restaurant tax, and another potential obstacle may be SB60, a bill sponsored by Senate Majority Leader Michael Waddoups, R-Taylorsville. While it also has not yet been made public, its title calls for tourism, recreation, cultural and convention facilities tax amendments.

Board members Thursday suggested that the facilities likely would be focused on helping the Wasatch Front area.

"To my knowledge, this (SB208) is a bill that attacks the whole problem of lack of recognition, of image, or decreasing market share for the entire state, not just a small portion of the Wasatch Front, which is what Waddoups' bill does," Harmsen said.

Kip Pitou, president of Ski Utah, said of Waddoups' bill that "the principle doesn't compete. It competes for money."