HICAPC tackles marketing short-term rental tax

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The newly formed Holiday Island City Advertising and Promotion Commission met Sept. 5 to discuss several issues critical for them to function. The first order of business was the HIPC 24-011 and the Holiday Island City Council Resolution 2024-009 about retention of information and social media policies.

Council decided to revisit the issue of how to retain files, information, and social media posts at a later date because the issue is complex, Chair Bryce Holland explained. This has created a complication for the HICAPC, which was hoping to begin using social media accounts, particularly to inform the public about the upcoming vote for the new A&P tax on short-term rentals.

Holland said the commission would have to establish its own rules about record retention if they wanted to be able to make posts. He also said that the rules they created would most likely be temporary, as when city council drafted and adopted retention rules, the HICAPC would most likely drop their rules and uphold the city’s rules. It was agreed to hold a vote on a draft of the rules within a week.

Vernon Anderson, treasurer for the Holiday Island Short-Term Rental Tax committee presented a list of dates for public meetings that would be held and where, to share tax details with the public.

The four meetings will be Sept. 17, 6 p.m. at the Barn, Sept. 19 at 5 p.m. at the Pavilion, Oct. 21, 6 p.m. at the Ballroom, and Oct. 24, 6 p.m. at the Ballroom. Anderson said the meetings, as well as signs and handouts that are being made, will help explain the tax is and how it will be used.

HICAPC Secretary Treasurer Peggy Lodewyks read a speech she had created for people who came to her saying they didn’t care for the A&P tax. She wanted commissioners’ opinions for the upcoming meetings.

She explained that only people who use short-term rentals at Holiday Island would pay the tax, the majority of these individuals being tourists. She stressed that the money from these taxes will fund advertising for the city, which will bring in more visitors and this in turn would bring more money. A few changes were made to the wording and commissioners agreed it would be a good speech for making a simple explanation of the tax and its benefits.

Holland told commissioners the City had passed Ord. 2024-004 requiring the HICAPC to establish rules and regulations concerning collections and enforcement of the A&P tax. He said they have until Oct. 3 to draft and vote on the rules. Holland urged that this be done as quickly as possible so if anything was missing or needed changing it would be relatively easy to make emendations. Commissioners will schedule a workshop.