El Campo council workshop seeks formal agreement with Chamber, discusses restoring HOT funding

At a City Hall workshop called at Council Member Ward’s request, El Campo council members heard a presentation from the El Campo Chamber of Commerce and directed staff to draft a formal agreement outlining responsibilities and financial oversight; the council did not take a formal vote at the meeting.

The workshop focused on the city’s historic use of hotel occupancy tax (HOT) funds to support tourism-related work performed by the Chamber of Commerce, the scope of services the chamber provides (events such as Prairie Days and the Christmas Parade and Christmas Mall), and conditions the council wants written into a partnership agreement. City staff said HOT distributions to the chamber historically totaled about $54,000 a year and that those payments were suspended for the current year; staff proposed restoring a portion of that funding for the remainder of the budget cycle (approximately $37,500) if the council directs staff to proceed.

The Chamber introduced itself to council members as Jessica Crockrell (president), Kelly Balthrop (executive director) and Alan Wiesner (board member). Council members and chamber leaders described the Chamber as the city’s de facto tourism arm that organizes or helps deliver Prairie Days, the Christmas events, ribbon cuttings and business mixers. City staff framed the next step as drafting a written agreement that would specify which events and city services (for example, Evans Park use, traffic control and fee waivers) are covered and what financial and reporting checks would be required.

Council members pressed for clearer financial oversight. One council member asked whether the chamber’s finances had been audited; chamber leaders said they had changed CPAs and that additional financial oversight would be put in place. Council members also raised past accounting concerns, including questions about previous federal tax filings; chamber representatives said they have taken steps to address bookkeeping and oversight. A chamber representative told the council, “We want to be accountable… and the financials, completely transparent.” A city staff member reminded the group that “you will not be taking any action at this meeting,” and that any funding would return to the council as part of a future agreement or budget action.

Council discussion emphasized both support for restoring the chamber’s funding and the need for contractual clarity. Multiple council members praised recent chamber-led changes—saying events have been made more family-friendly and that the chamber has rebuilt membership—and said the city should formalize expectations. Specific items council members asked to include in the draft agreement were: (1) a schedule and allowable uses for HOT funds; (2) a clear description of events and city services covered (Evans Park use, parade traffic control, Christmas Mall, Prairie Days, Gala); (3) financial reporting and quarterly reconciliations to be reviewed by the city’s finance staff before disbursements; and (4) an audit clause or requirement for outside review of books prior to or as a condition of funding.

No ordinance, resolution or budget appropriation was adopted at the workshop. Staff was asked to return a draft agreement and funding recommendation to the council at the next scheduled meeting so the council can consider a formal action. Council members also flagged longer-term questions about how the city markets El Campo to visitors and whether additional resources beyond HOT distributions would be needed if the chamber expands tourism efforts.

Next steps: staff will draft the agreement and a funding recommendation to present at the next council meeting; the council will consider formal reinstatement of HOT distributions and any associated contract or audit requirements at that time.