Get AI Briefings, Transcripts & Alerts on Local & National Government Meetings — Forever.
Boulder creates Lodging Business Assessment Area to boost tourism marketing, funds to be industry-led
Loading...
Summary
The council unanimously approved ordinance 86-83 to establish a 2% Lodging Business Assessment Area (ELBA) to fund VisitBoulder marketing and sales efforts, with the charge paid by visitors and governance shared with city representatives.
The Boulder City Council on Thursday adopted ordinance 86-83 to create a Lodging Business Assessment Area (ELBA), a tourism-improvement district that will assess lodging revenues to fund destination marketing and sales.
VisitBoulder led the industry-driven effort; Charlene Hoffman, VisitBoulder CEO, told council the proposed 2% assessment is expected to generate about $2.1 million in the first year (based on historical revenue) and would be paid by visitors. The assessment would add roughly $4 per night on a $200 room. VisitBoulder and the lodging community said the funds would be used to market off-peak and shoulder seasons, raise the city’s profile for conferences, and support the local hospitality economy. The ELBA board will include hotel industry representatives and city seats to ensure coordination with city priorities.
Proponents said the ELBA will help Boulder compete regionally — particularly as new large hotel and conference supply arrives, including the Limelight Hotel and Conference Center — and will allow VisitBoulder to pursue larger meetings and events that can fill multiple hotels and boost sales and accommodations taxes. Dozens of hotel general managers and VisitBoulder board members testified in support of the measure during the public hearing.
Opposition at the hearing was limited; one commenter urged a higher visitor fee to reflect other markets. Council discussed alignment with city strategic goals and confirmed that ELBA funds will be managed with industry participation but include city representatives. The ordinance passed unanimously on roll-call vote.
Implementation: With the ordinance in place, VisitBoulder and the ELBA board will finalize a first-year budget and program plan focused on marketing and sales; implementation is intended to be immediate with the ELBA’s first-year spending decisions made by the industry board in coordination with city representatives.
Fiscal note: Councilmembers and VisitBoulder noted the assessment is distinct from an accommodations-tax increase: the ELBA assessment is intended as a self-funded tool for marketing and sales to grow hotel occupancy and thereby increase city tax revenues; it is paid by visitors and does not require direct city budget appropriation.
