The orphaned initiative for regional tourism development drags on, and is now expected to be resuscitated by the CEOs of the funding sources.
To briefly recap, this concept was introduced in late 2004 by the relatively newly reformulated local chamber of commerce to define Montgomery County and the towns of Blacksburg and Christiansburg as a destination.
This could be new traffic, catching the attention of travelers moving through the New River Valley along Interstate 81. It could be parents of students attending nearby Radford University or Virginia Tech, staying longer and exploring more than their children's campus. It could be the hordes of graduated students or other individuals who had left the area, who wanted to come back for homecoming or for a visit with friends or family. It could be related to other special sporting events, such as those planned at Christiansburg's Harkrader Sports Complex or soon-to-open Aquatics Center (which was redesigned to comply with Atlantic Coast Conference competitiveness requirements).
Why? Economic development. More people staying and playing meant more state sales taxes collected, more meals taxes (a cash cow for the towns). It also meant that local assets and area attractions needed to be well defined, with residents (or employees) able to rattle off great places to explore, when interacting with visitors. It could help attract large corporations, entice entrepreneurs or get professionals to consider making this home (aiding rentals and home sales).
This is turn would reduce pressure on real and personal property taxes paid by locals, or increases to other fees paid by business and residents. And it would pay for itself, since locals would rarely be the ones forking over these extra taxes.
The "difficulties" began almost immediately. Virginia Tech was a proposed partner, but decided not to participate (as a State institution, they may elect to not assess meals and lodging taxes -- benefitting from a regional program while receiving a competitive price advantage). The county had to obtain a special dispensation from the General Assembly, but this was largely a moot point because there are very few lodging establishments or restaurants located outside either town.
While both towns began assessing the increased lodging tax July 1, 2005 (with Christiansburg requiring yet another 1% for its own general budget), it took nearly two more years for all three funding partners to execute individual contracts with the chamber. Part of the problem was that a Request for Proposals (RFP) hadn't been done in preparation for this partnership, soliciting bids for these services from any capable entity.
The services provided in exchange for these tax dollars included hiring a tourism director, and extensive industry training for chamber staff (president and tourism director). Strategic advertising was placed, a few grants awarded for events which could demonstrate the potential to increase lodging nights (non-university or home football game dates). A modest web site was launched, and periodic reports from the chamber (including external audits) were presented to the various funding sources. Maybe enough groundwork had been laid for the rubber to hit the road?
Within a year, Christiansburg was pushing for its own interests to be given priority (since it contributed the most). When pushed back, restating the intent was to provide regional benefits, Christiansburg responded by capping their allocations at 85% of 1% (with the Town retaining 6.15% of all lodging taxes it required collected). At the same time, the economy was tanking -- record home foreclosures, gasoline prices and skyrocketing unemployment rates -- crippling one of our nation's most viable industries; tourism.
In the spring of 2009, old rumors which had been floating around for about two years resurfaced -- in Roanoke. An investigation by the Blacksburg Police Department was launched (because chamber offices were located in that jurisdiction). The chamber's CEO left abruptly and the tourism director stepped in as the interim leader. All funding sources immediately ceased distribution of the lodging taxes.
By December, a new chamber president had been hired and the tourism director was given her walking papers (because there was no funding for this position). This was immediately followed by news reports -- sans an RFP or approval by government officials responsible for public money -- of a new entity assuming responsibility for regional tourism efforts, along with a director being hired.
So when Christiansburg's liaison to this project asked about the status of go-forward plans at that Town Council's April 6th meeting, eyebrows (and questions) were again raised. If the liaison was asking questions, who does know? Why the silence now, or absence of information to stakeholders -- lodgers, restaurants, contributing businesses, citizens, elected officials?
Stay tuned.