The Abridged version:
- The West Sacramento City Council will vote on whether to create the city’s own Tourism Marketing District.
- Tourism Marketing Districts allow cities to collect revenue for marketing and promotion purposes through an assessment levied on hotel stays.
- West Sacramento would become one of many of such districts in California, joining cities like Sacramento.
More ads touting West Sacramento as a tourist destination could be coming soon.
The City Council will decide Wednesday whether to formally begin the process of creating the West Sacramento Tourism Marketing District. If formed, the WSTMD would allow the city to levy a new assessment on hotel room stays on hotels with 50 or more rooms for the purpose of raising nearly $500,000 per year for marketing, sales and promotion of local tourism.
“We continue to see development along our riverfront (including plans for hotels) and given our proximity to downtown Sacramento and the many entertainment venues throughout the general area, we think we’re positioned really well to provide that service,” Doug Drozd, West Sacramento’s deputy city manager, said.
The time is right
According to a staff report submitted to the council, the establishment of a Tourism Improvement District has been part of the city’s strategic plan since 2023. With the Athletics playing in West Sacramento for at least a couple more seasons and a handful of new hotel projects on the books, city staff determined that now is the right time to bolster the city’s image for potential visitors.
But officials are also looking beyond the next few years.
“This was a strategic plan item … before we knew the A’s were coming to town. It is obviously beneficial timing in that regard, but this is a longer strategic plan item for the city and a focus for us,” Drozd said.
For this resolution to come to the council, at least 50% of affected business owners had to submit petitions in favor of the WSTMD. Though the assessment is levied directly on owners, they are allowed to pass the cost on to customers if they disclose its existence.
The assessment, which will start with a fee of 2% on room rentals but can be raised to a maximum of 4%, will be collected by the city but managed by an association made up of participating owners. So far, seven hotels are included in the assessment, but more can be added as they are built.
Not the only district in the region
Tourism Marketing Districts have been established in cities across California, including Sacramento and Elk Grove. The Sacramento Tourism Marketing District relies on an operating budget of just over $9.5 million each year.
Daniel Hennessy is a reporter covering Yolo County at Abridged.