Parks & Recreation > Lodging Tax Grant Program
In 1998, the City approved Ordinance 98-03 in accordance with RCW 82.08 and authorized by RCW 67.28.181 to levy an additional 2% tax on charges for lodging activity. In order to collect the additional 2% tax, the City is required to form a Lodging Tax Advisory Committee. The committee must consist of at least five members of which at least two are representatives from businesses that collect the tax, at least two which are persons involved in activities funded by the tax, and one member from the city who acts as chair. Beginning in the 2011 grant process, those organizations that apply for the funds cannot vote on allocation of the funds.
The City accepts proposals from various groups and organizations for use of the 4% lodging tax for projects related to the cost of tourism promotion, acquisition of tourism-related facilities, or operation of tourism-related events and facilities. In 2009, a new marketing strategy was instituted. The Poulsbo Marketing Coalition in its 7th year, with member organization representatives sitting on the Coalition. The group uses the lodging tax dollars to establish a pot of collaborative marketing funds for the community. Other past and present recipients include the Poulsbo Historical Society, Historic Downtown Poulsbo Association, Nk Tourism Coalition, and Visit Kitsap Peninsula.
Poulsbo’s Lodging Tax Advisory Committee 2018-2019
|Businesses that collect the tax||Terri Douglas, Poulsbo Inn|
|Britt Livdahl, Harrison Street Guest Suite|
|Organizations eligible to apply for funds||Greg Enright, Cultural Arts Foundation of the Northwest|
|Steve Swann, Port of Poulsbo|
|Elected official from the municipality||Gary Nystul, Poulsbo City Council|
|Staff (non voting)||Mary McCluskey, Parks and Recreation|
Upcoming Grant Cycle
The 2019 grant application deadline was August 1, 2018. The process is now closed.
Eligible activities/projects per state law (RCW) includes:
RCW 67.28.080 (5) Tourism
RCW 67.28.080 (6) Tourism Promotion
RCW 67.28.080 (7) Tourism-related facility
Lodging tax revenues under this chapter may be used, directly by any municipality or indirectly through a convention and visitor’s bureau, destination marketing organization or other non profit organizations for:
|a. Tourism marketing;|
|b. The marketing and operations of special events and festivals designed to attract tourists;|
|c. Supporting the operations and capital expenditures of tourism-related facilities owned or operated by a municipality or a public facilities district created under chapters 35.57 and 36.100 RCW; or|
|d. Supporting the operations of tourism-related facilities owned or operated by nonprofit organizations described under 26 U.S.C. Sec. 501 c (3) and 26 U.S.C. Sec. 501c (6) of the internal revenue code of 1986, as amended. No capital expenditures are allowed for tourism-related facilities owned or operated by a nonprofit organization.
Next Meeting: Poulsbo’s Lodging Tax Advisory Committee
2019 Grant Applications: Deliberations and Recommendations