Frequently Asked Questions
If you have a question, it may have been asked by your peers. Tune in to this page for FAQ’s and come back as we update with new questions frequently.
The city can include the municipal campground by ordinance if they wish to do so. Lodging properties broadly are included, such as hotels, motels and resorts.
Having members is optional but many communities find it beneficial to have restaurants, retailers, attractions and other interested parties engaged. You may want to have dues for these members or provide a member discount on advertising in a local guide if you decide to create one.
The state law allows the option of either a city or county effort – your call.
I am not aware of any rules on when your fiscal year can run but most communities use the fiscal period followed by the city. City finance directors are a great help on issues such as when the budget cycle should run and when you can collect the tax prior to launching your marketing effort. The only formal guidance on what investments can be made is the language in the statute. Our advice is to be focused and use a very narrow definition of marketing. Challenges in the past have happened when cities tried to be creative and use CVB funds for fireworks, band uniforms, holiday decorations or painting the picnic shelter. Focus!
The statute is very clear on the maximum amount:
469.190 LOCAL LODGING TAX.
Notwithstanding section 477A.016 or any other law, a statutory or home rule charter city may by ordinance, and a town may by the affirmative vote of the electors at the annual town meeting, or at a special town meeting, impose a tax of up to three percent on the gross receipts from the furnishing for consideration of lodging at a hotel, motel, rooming house, tourist court, or resort, other than the renting or leasing of it for a continuous period of 30 days or more. A statutory or home rule charter city may by ordinance impose the tax authorized under this subdivision on the camping site receipts of a municipal campground.
A special website to promote amateur baseball as it is an event that brings tourists to the area should be an appropriate use of funds. In a nutshell, the marketing and promoting of tourism in a community and this definitely could be argued that it drives tourism, awareness, etc. I think the answer would be different if this was a website for local amateur baseball without the major event. Here is the state statute for your reference. https://www.revisor.mn.gov/statutes/?id=469.190