With the new municipal accommodation tax (MAT) being collected in Timmins, the city is now looking at how the cash will be used.
Earlier this year, Timmins council approved a four-per-cent municipal accommodation tax.
It applies to hotels, motels, cottages and other short-term accommodations, including Airbnbs, within the city. It doesn’t apply to campsites and campgrounds, or university and college residences.
Businesses started collecting the tax May 1.
Since then, Timmins director of finance Natalie Moore told council the city has received $301,000.
Annually, CAO Dave Landers said the city can expect $700,000 to $900,000.
The 2019 tally, which won't be for the full year, is expected to be known in the first quarter of 2020.
The city is working on the governance model for how the money collected will be distributed.
Tourism Timmins' proposal, which was presented by Landers, is for a six-member Tourism Investment Committee consisting of the mayor, treasurer, CAO, tourism manager, an appointed member of the Chamber of Commerce hospitality committee, and a member at large. There would also be four sub-committees — sports tourism, meetings and conferences, festivals and events attractrions and arts and culture, and outdoor adventure and motorsports — with four members each.
The role of the TIC would be to guide how the tax money is used to enhance local tourism, with each sub committee reviewing and recommending funding to the TIC.
One of the next steps, said Landers, is confirming a mandatory not-for profit, and appointing members.
Criteria for the applications is also needed so the committee can move forward with receiving applications for projects in the city.
“And also ensuring that we have an open, fair and transparent process for organization to apply for funds within the tourism domain that would meet the expectations of what the MAT is here to deliver,” said Landers.
