The City of Beaumont is inviting applicants to apply for Hotel Occupancy Tax Grant Program.
Donor Name: City of Beaumont
State: Texas
City: Beaumont
Type of Grant: Grant
Deadline: 08/18/2023
Size of the Grant: $300,000
Details:
Each year, the City of Beaumont receives hotel occupancy tax (HOT) revenue from a tax that is levied on guest rooms at local hotels, motels, and inns. As of today, a new application process has been opened for any individual or organization to apply for funding that supports tourism. The goal is to offer support for programing that attracts overnight tourists and in turn increases visitor spending.
Funding Information
The maximum funding for the entire program is capped at $300,000.
Use of HOT Funds
- Municipal hotel occupancy taxes are primarily governed by Chapter 351 of the Texas Tax Code. The HOT funds are generated as a result of a person paying for the use or possession, or for the right to the use or possession, of a room in a hotel, motel or bed and breakfast, with a cost of $2 or more each day, that is ordinarily used for sleeping, not on a permanent basis.
- There is a two-part test for every expenditure of local HOT.
- Criteria 1: Every expenditure must DIRECTLY enhance and promote tourism, AND the convention and hotel industry.
- Criteria 2: Every expenditure MUST clearly fit into one of nine statutorily provided categories.
- The nine categories for expenditure of the hotel occupancy tax are as follows:
- Funding the establishment, improvement or maintenance of a convention center or visitor information center.
- Paying the administrative costs for facilitating convention registration.
- Paying for advertising, solicitations and promotions that attract tourists and convention delegates to the city or its vicinity. (1/7 of total funds must be spent on advertising and promoting the city and its vicinity to attract tourist and hotel/convention activity)
- Expenditures that promote the arts, including instrumental and vocal music, dance, drama, folk art, creative writing, architecture, design and allied fields, painting, sculpture, photography, graphic and craft arts, motion pictures, radio, television, tape and sound recording, and other arts related to the presentation, performance, execution, and exhibition of these major art forms.
- Funding historical restoration or preservation programs. Funding may be used to enhance historical restoration and preservation projects or activities or advertising and conducting solicitations and promotional programs to encourage tourists and convention delegates to visit preserved historic sites or museums that are likely to attract tourists and hotel guests (limited to 15% of total funds).
- Funding certain expenses, including promotional expenses, directly related to a sporting event within counties with a population of under 1 million.
- Funding the enhancement or upgrading of existing sports facilities or sports fields for certain municipalities.
- Funding transportation systems for tourists.
- Signage directing tourists to sights and attractions that are visited frequently by hotel guests in the municipality.
Geographical Area
Activities will only be funded if they take place within the City of Beaumont, the activity must promote tourism and the convention and hotel industry inside the City of Beaumont.
Eligibility Criteria
Eligible activities of the following types of individuals, businesses, organizations, or agencies may be funded using revenues from the Hotel Occupancy Tax:
- public agencies
- non-profit organizations
- for-profit businesses
- individuals.
Ineligibility
- Applicants that have outstanding financial obligations to the City of Beaumont, including but not limited to liens, court fines, delinquent City utility bills, or delinquent taxes are not eligible.
- Applicants that have an ongoing lawsuit or are in any way parties to litigation against the City of Beaumont are not eligible.
For more information, visit City of Beaumont.
