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HomeMy WebLinkAboutPCD 2021-04-05 Item 1A - LTAC - Lodging Tax Funding: Experience Tukwila for $100,000 / Juneteenth for $5,000W i City of Tukwila Allan Ekberg, Mayor INFORMATIONAL MEMORANDUM TO: Planning and Community Development FROM: Brandon Miles, Business Relations Manager CC: Mayor Ekberg DATE: March 25, 2021 SUBJECT: Lodging Tax Funding Requests ISSUE Review of a lodging tax funding request from the City of Tukwila, Office of Economic Development for Experience Tukwila ($100,000) and for a 2021 Juneteenth event ($5,000). BACKGROUND The City collects a 1% lodging tax on certain qualifying overnight stays in paid accommodations (hotels/motels/Airbnb) in the City. State law limits the use of these funds to tourism promotion'. There is currently just over $1 million in lodging tax funds available for use. The City's Lodging Tax Advisory Committee (LTAC) reviews all requests for use of lodging tax funds. LTAC then forwards a list of recommended applications to the City Council for its review and consideration. If LTAC does not recommend an application be funded, that application is not forwarded to the City Council. The City Council may approve or deny any of the applications recommended by the LTAC. The City Council may also approve an application and increase or decrease the dollar amount awarded2. The City accepts applications on a rolling basis, with the LTAC reviewing requests monthly. Pending Applications Following its March 12, 2021 meeting, LTAC recommended approval of two lodging tax requests from the City of Tukwila Office of Economic Development for Experience Tukwila and to assist in a 2021 Juneteenth event. 1 RCW 67.28.080 (6) defines "tourism promotion" as "...activities, operations, and expenditures designed to increase tourism, including but not limited to advertising, publicizing, or otherwise distributing information for the purpose of attracting and welcoming tourists; developing strategies to expand tourism; operating tourism promotion agencies; and funding the marketing of or the operation of special events and festivals designed to attract tourists." 2 On August 17, 2016, the Washington State Attorney General's Office issued an informal opinion regarding whether a municipality could change the dollar amounts recommended by the local lodging tax advisory committee. Specifically, the informal opinion states: "When awarding lodging tax revenues pursuant to RCW 67.28.1816(2)(b)(ii), a municipality may award amounts different from the local lodging tax advisory committee's recommended amounts, but only after satisfying the procedural requirements of RCW 67.28.1817(2), according to which the municipality must submit its proposed change to the advisory committee for review and comment at least forty-five days before final action on the proposal." 1 INFORMATIONAL MEMO Page 2 1. Experience Tukwila, $100,000 In 2020 the City of Tukwila launched the Experience Tukwila digital initiative. The initiative includes a dedicated website ExperienceTukwlia.com and social media. The goal is to promote the City of Tukwila to consumers primarily within 50 miles of the City, including hotel guests who are already in the area. The City is seeking funding to continue contractor services to run the day-to-day operations of Experience Tukwila and to expand content development with an additional photoshoot and video development. The need for a dedicated website and social media channels to promote the City was first identified as part of our brand development process in 2017. The social media accounts were valuable during the pandemic as it allowed the City to promote restaurants and retailers that were operating. In addition, the website and social media channels allows to do partnerships and engagement the City has not been able to do the in past. For example, the City is sponsoring the 2021 Seattle Restaurant Week and the City is provided a link directly on the event's website to ExperienceTukwila.com. The City is also partnering with the Seattle Seawolves on a campaign promoting the team as part of the upcoming season. The Seawolves tag the Experience Tukwila social media accounts as part of the campaign. For 2021 the goal of Experience Tukwila is to increase website visits and expand social media engagement by telling authentic stories, through photos, of the Tukwila community. LTAC Recommendation on Application: Do Fund Staff Recommendation on Application: Do Fund 2. Juneteenth Planning ($5,000) The City of Tukwila is requesting lodging tax funds to help support the creation of a virtual event to celebrate Juneteenth. Juneteenth is the oldest nationally celebrated commemoration of the ending of slavery in the United States. A coalition of Tukwila community members, non -profits, and the City have started to plan a virtual event for 2021. The event is virtual this year due to COVID-19. In 2022 the goal is transition this to an in-person event in the City. Unlike surrounding communities, Tukwila does not have a signature event. As one of the most diverse cities in the country a future Juneteenth event could serve as this signature event. Tukwila's diversity also serves as a strength for this event and allows for the creation of a truly authentic Tukwila event. Lodging tax funds will be used to help with operational and marketing costs. Doing the virtual event for 2021 allows us to gain content and a following prior to the launch of an in-person event in 2022. LTAC Recommendation on Application: Do Fund Staff Recommendation on Application: Do Fund 2 INFORMATIONAL MEMO Page 3 FINANCIAL IMPACT The total request for lodging tax funds is $105,000.00. No general fund dollars will be used. The six-year Tourism Financial Plan approved by the City Council in December of 2020 allocated a total of $150,000 in lodging tax funding for sponsorships in 2020. 2020 Tourism Six -Year Financial Plan Allocation Experience Tukwila Budget: $75,000.00 Experience Tukwila Request (pending): ($100,000.00) Remaining Experience Tukwila Funds: $(25,000) 2020 Tourism Six -Year Financial Plan Allocation Sponsorships: $150,000.00 Global to Local Request (Already Approved): ($5,000.00) City of Tukwila, Juneteenth Event (pending) ($5,000.00) Remaining Sponsorship Funds: $140,000.00 RECOMMENDATION Staff recommends that the Committee approve the funding request and forward the request to the April 19, 2021 consent agenda. ATTACHMENTS 1. Updated, Six Year Financial Model 2. City of Tukwila, Staff Report to Lodging Tax Committee, Experience Tukwila 3. City of Tukwila, Experience Tukwila, Lodging Tax Application 4. City of Tukwila, Staff Report to Lodging Tax Committee, Juneteenth Event 5. City of Tukwila, Juneteenth Event, Lodging Tax Application 3 4 Tourism Funding, Six Year Financial Plan DRAFT - Updated March 3, 2021 Tourism Revenue Lodging Tax $ Promotion Area (TPA) Fee Generated in Tukwila $ Cares Act Reimbursement: Total Revenues: $ Tourism Expenses Marketing, Sales, and Sponsorships TPA Funded DMO Services (SSRTA) Lodging Tax Funded DMO Services (SSRTA) Sponsorships Small Events rience Tukwila, Branding and Marketing, Visitors World Cup Planning and Activation COVID-19 Response SavingLocalKC.com SSRTA Emergency Funding Showare Sponsorship Seattle Southside Chamber of Commerce Destination Development Wayfinding Plan Development and Installation Southcenter Art Investments Tukwila Pond General Administration Salary and Benefits City Overhead Charge Administrative Adopted Budget 2020 800,000 1,131, 000 Estimate 2020 COVID Estimate $ 400,000 $ 563,632 $ 30,878 2020 Preliminary Actuals $ 292,358 $ 608,190 $ 30,878 2021 2022 400,000 $ 574,672 $ 450,000 $ 650,000 $ 2023 2024 2025 600,000 $ 700,000 $ 700,000 800,000 800,000 $ 900,000 $ 1,931,000 $ 994,510 $ 931,426 $ 974,672 $ 1,100,000 $ 1,300,000 1,500,000 1,700,000 $ 1,131,000 $ 202,500 $ 150,000 $ 15,000 $ 88,375 $ 154,170 50,000 39,400 125,000 74,997 19,416 30,000 563,632 I $ 202,500 $ 10,000 $ 5,000 $ 88,375 $ 154,170 $ 20,000 608,190 202,500 88,375 123,539 20,000 39,400 $ 25,000 $ 39,400 9,572 574,672 I $ - $ 150,000 $ 15,000 $ $ 100,000 30,631 75,000 650,000 I $ 150,000 15,000 75,000 50,000 - $ 15,000 30,000 100,000 $ 75,000 $ 115,428 $ 150,000 75,000 200,000 72,281 $ 19,416 $ 20,000 $ 76,553 19,416 18,540 78,802 $ 24,008 $ 23,350 $ 79,978 25,231 28,750 700,000 I $ - $ 150,000 $ 15,000 $ 75,000 $ 50,000 $ 100,000 $ 75,000 $ 200,000 $ 82,377 $ 25,988 $ 30,000 $ 800,000 I $ 150,000 15,000 75,000 50,000 100,000 75,000 200,000 84,849 26,768 30,000 900,000 $ 150,000 $ 15,000 $ 75,000 $ 50,000 $ 100,000 75,000 200,000 87,394 27,571 30,000 Totals 3,642,358 4,796,494 8,500,608 Total Expenditures: $ 2,079,858 Beginning Fund Balance: Ending Fund Balance: Notes This document does not bind the City to provide funds nor does it authorize any funding. All use of lodging tax funds must be approved by LTAC and the City Council through an application process. The shaded cells indicate approved applications. The lodging tax revenues are estimated as of May 7, 2020 and reflect staffs prediction based on COVID-19. TPA revenue estimate assumes 29% of the fees collected within the three city Tourism Promotion Area were collected by Tukwila hotels. TPA revenue for 2020 and 2021 is based on the SSRTA's revised, adopted budget. After 2021 revenues are staff estimates. Salary/Benefits for Business Relations Manager is split 50/50 between general fund and lodging tax and is estimated to increase 3% annually after 2022. The City overhead charge is charged to all special funds. It recoups the cost to the general fund to support the lodging tax fund. It includes facilities, technology, legal, accounting, and record keeping services and is estimated to increase 3% annually after 2022. Because 100% (less 1% Department of Revenue Fee) of all TPA revenue is estimated to be passed through to the SSRTA, the Ending Fund Balance is only lodging tax funds. CARES Act Funds provided as reimbursement for staff time associated with emergency response. For 2020, preliminary actuals are provided, but are not yet confirmed. 1,219,774 1 $ 1,206,085 1,391,891 $ 1,513,959 $ 1,503,365 $ 1,606,616 1,709,965 4,796,494 405,000 610,000 65,000 501,750 150,000 308,340 75,000 15,000 70,000 450,000 378,800 750,000 474,840 140,826 150,640 9,341,690 1,931,000 $ 651,142 $ 1,931,000 $ 1,705,736 $ 1,931,000 $ 1,656,341 $ 1,656,341 $ 1,239,123 $ 1,239,123 $ 825,164 $ 825,164 $ 621,799 $ 621,799 515,182 515,182 505,218 01 6 Tukwila Staff Memorandum Lodging Tax Advisory Committee Funding Request Name of Applicant: City of Tukwila Address: 6200 Southcenter Blvd. Tukwila, WA 98188 Total Funds Requested: $100,000 About the Applicant: The City of Tukwila is a non -charter City organized under the laws of the State of Washington. Founded in 1908, Tukwila is one of the oldest cities in King County. Since its founding, Tukwila has always been a community at the "crossroads." Tukwila lies at one of the busiest freeway interchanges in Washington State. The City has a small bedtime population of just under 20,000. During the day the City's population swells to over 150,000 people, with people coming to the City to work, shop, dine, stay in hotels, and to visit once in a life time experiences, such as the Museum of Flight or iFly. The City is one of the most diverse cities in the country. Over 70 languages are spoken in the Tukwila School District. Many well-known businesses are based in Tukwila, such as BECU, Westfield Southcenter, Seattle Seawolves, Seattle Sounders FC, Top Pot Donuts, Pop Gourmet, and the Sabey Corporation. The City has over 2,000 hotel rooms and over 100 restaurants. Funds Previously Awarded: In 2020, Experience Tukwila received $88,375 in lodging tax funds to launch and operate Experience Tukwila. Funding Request Narrative: In 2020 the City of Tukwila launched the Experience Tukwila digital initiative. The initiative includes a dedicated website ExperienceTukwlia.com and social media. The goal is to promote the City of Tukwila to consumers primarily within 50 miles of the City, including hotel guests who are already in City of Tukwila 6200 Southcenter Blvd. Tukwila, WA 98188 7 flii'tkyvik the area. The City is seeking funding to continue contractor services to run the day-to-day operations of Experience Tukwila and to expand content development. Staff Comments: Experience Tukwila is starting to gain steam and initiative in promoting the City. As of February 2021 Experience Tukwila had the following key metrics: Total Followers: 1,763 Posts: 1,169 Impressions: 744,957 Profile Views (not including Facebook): 7,739 Engagements: 6,720 Keep in mind that the social media accounts launched in the spring of 2020 and the website launched in January of 2021. Experience Tukwila campaigns such as the Great Tukwila Carryout to help restaurants during COVID-19, Saving Local, and the name the sushi roll at Trapper's Sushi. Experience Tukwila allows the City to promote the Tukwila community within the Greater Seattle area and to help the City control its on brand. It has also served as resource to businesses looking to promote grand opening and upcoming events. Consistency with Six Year Financial Model: Experience Tukwila Request: $100,000 Funds Provided in Six Year Financial Plan For Ex. Tukwila: $75,000 Remaining Funds: $(25,000) In the "Tourism Six Year Financial Plan" we identified $75,000 for 2021 costs for Experience Tukwila. This cost was primarily related to ongoing upkeep, website management, and social media posts. The added funds for 2021 include doing another photo shoot and creating some small videos. Since Experience Tukwila launched, we are working to build out our digital content for use across the website and social media. A new photo shoot is needed because in 2020 we were operating under COVID-19 restrictions and were not able to fully capture activities and events that capture Tukwila. City of Tukwila Staff Recommendation to LTAC: Approval Notes: None. 8 City of Tukwila 6200 Southcenter Blvd. Tukwila, WA 98188 Application to the City of Tukwila for Use of 2021 Lodging Tax Funds Event or Activity Name (if applicable): Experience Tukwila Amount of Lodging Tax Requested: $100,000 Applicant Organization: City of Tukwila Federal Tax ID Number: 91-6001519 Mailing Address: Office of the Mayor 6200 Southcenter Blvd Tukwila, WA 98188 Primary Contact Name: Brandon Miles Primary Contact Phone: 206-431-3684 Primary Contact Email Address: Brandon.Miles@Tukwilawa.gov Check all the service categories that apply to this application: Tourism promotion or marketing. Operation of a special event or festival designed to attract tourists. Operation of a tourism -related facility owned or operated by a non-profit organization. Operation and/or capital costs of a tourism -related facility owned by a municipality or a public facilities district. Check which one of the following applies to your agency: Non -Profit (Note: Attach a copy of your current non-profit corporate registration from the Washington Secretary of State Office) Municipality For Profit Corporation I am an authorized agent of the organization/agency applying for funding. I understand that: • I am proposing a tourism -related service for 2021. If awarded, my organization intends to enter into a services contract with the City; provide liability insurance for the duration of the contract naming the City as additional insured and in an amount determined by the City; and file for a permit for use of City property, if applicable. • My agency will be required to submit a report documenting economic impact results in a format determined by the City. Signature: /s/ Date: March 10, 2021 9 1) Describe your tourism -related activity or event. In 2020 the City of Tukwila launched the Experience Tukwila digital initiative. The initiative includes a dedicated website ExperienceTukwlia.com and social media. The goal is to promote the City of Tukwila to consumers primarily within 50 miles of the City, including hotel guests who are already in the area. The City is seeking funding to continue contractor services to run the day-to-day operations of Experience Tukwila and to expand content development. 1) If an event, list the event name, date(s), and projected overall attendance. N/A 2) Is your event/activity/facility focusing on attracting overnight tourists, day tourists, or both? This is a pure branding and marketing initiative. The geographic focus are consumers within 50 miles of the City. This could include households, employees, and overnight guests who are already in the area. 3) Describe why visitors will travel to Tukwila to attend your event/activity/facility. Tukwila's central location, its transportation connections, and mass transit makes Tukwila a great destination to get away for a day or an overnight trip. The City is home to nearly 200 restaurants, the largest mall in the Pacific NW, Starfire Sports, and the Museum of Flight. The City has success is bringing people to the City. The goal is to get people to come more often, stay longer, and realize they are in Tukwila (versus other cities). 4) Describe the geographic target of the visitors you hope to attract (locally, regionally, nationally, and/or internationally). Primary within 50 miles of the City; however, hotel guests throughout the region are part of the target audience. 5) Describe the prior success of your event/activity/facility in attracting tourists. The City launched Experience Tukwila last year as part of the pandemic recovery, as a way to support businesses. The following outlines the social media engagement as of February 24, 2021: Total Followers: 1,763 Posts: 1,169 Impressions: 744,957 Profile Views (not including Facebook): 7,739 Engagements: 6,720 The ExperienceTukwila.com website went live at the end of February. Page 2 of 7 10 In addition, to the total stats outlined above, the City has also had success in several minor campaigns, including the SavingLocal.com, the Great Tukwila Carryout, and the Trapper's Tukwila sushi roll social media push. 6) If this your first time holding the event/activity/facility provide background on why you think it will be successful. N/A 7) Describe the media strategy you employ to promote your event/activity/facility to attract overnight and/or day tourists? Please list any digital or print media (newsletters, e -blasts, social media, etc.) your agency uses or intends to use to promote your event/activity/facility. For 2020 the goal was to get Experience Tukwila up and function. For 2021 the goal is to expand the total number of followers, likes, engagements, and impressions for Experience Tukwila. For 2021 a limited amount of paid social media will be utilized; digital ads; paid google search; search and engine optimization. In addition to the items outlined above, we want to build out our video and photography imagery. A photo shoot was completed in 2020, but this was limited due to COVID-19. A video originally budgeted for 2020 was also not completed. For 2021 we want to complete a new photoshoot and do some short videos to promote the City. Finally, we want to start engaging Tukwila youth in creating content we can use for Experience Tukwila. This will help to create authentic content to promote the City. 8) Describe how you will promote lodging establishments, restaurants, retailers, and entertainment establishments in the City of Tukwila. Experience Tukwila promotes the City's various lodging, restaurants, retailers, and entertainment establishments. ExperienceTukwila.com features pages for each specific category mentioned above. In addition, social media posts rotate through regularly promoting Tukwila businesses. 9) Is the City able to use your digital and print media for collaborative marketing? Yes. 10) Describe how you will use the name, "Tukwila" in publications, promotions, and for your event? Experience Tukwila is all about Tukwila. The brand is focused on the Tukwila name. Tukwila is tagged as a physical location in social media posts. 11) Measurements and Metrics (Note: You will be required to report these metrics as part of the close out of the agreement between your organization and the City.) Page 3 of 7 11 As a direct result of your proposed tourism -related service, provide an estimate of: a. Overall attendance at your proposed event/activity/facility. 1,500,000 social media impressions. b. Number of people who will travel fewer than 50 miles for your event/activity. 90% However, hotel guests already in the Greater Seattle area are also a focus on Experience Tukwila. c. Number of people who will travel more than 50 miles for your event/activity. 10% (see note above) d. Of the people who travel more than 50 miles, the number of people who will travel from another country or state. 5% e. Of the people who travel more than 50 miles, the number of people who will stay overnight in Tukwila. 5% f. Of the people staying overnight, the number of people who will stay in PAID accommodations (hotel/motel/bed-breakfast) in Tukwila. 1,000 g. Number of paid lodging room nights resulting from your proposed event/ activity/facility (for example: 25 paid rooms on Friday and 50 paid rooms on Saturday = 75 paid lodging room nights) 3,000 Page 4 of 7 12 12) What methodologies did you use to calculate the estimates and what methodologies will you use to track outcomes, such as total participants, estimated visitor spending, etc? The impressions outlined above are a forecasted amount for the reminder of 2021. The forecast as built on the limited historical data we currently have for 2020 for Experience Tukwila. It is important to remember that Experience Tukwila is a pure marketing and branding effort. Tracking actual hotel stays and visitor spending through such efforts can be difficult and at best can only show a correlation and not causation. For the overall success of Experience Tukwila, we intend on tracking the following metrics. Metrics 2021 End of Year Goals Website visits: 7,500 Social media followers: 2,100 Social media impressions: 1,500,000 Social media engagement: 9,000 Email newsletter subscribers 450 Experience Tukwila is building it's digital followers and impressions primarily through organic engagement, with a limited amount of paid social media. 13) Are you applying for lodging tax funds from another community? If so, which communities and in what amounts? No. 14) Are you applying funding from Seattle Southside Regional Tourism Authority (SSRTA)? If so, in what amount? No. 15) What is the overall budget for your event/activity/facility? What percent of the budget are you requesting from the City of Tukwila? Page 5 of 7 13 Ongoing Operations Estimated Costs Project Management and Reporting $ 9,000 Social Media Content and Management $ 27,000 Website Content Updates $ 18,000 Email Marketing Content and Management $ 6,750 Subtotal: $ 60,750 One Time Costs Estimated Costs Two Day Photo Shoot $ 15,000 Short Videos/Animations for Social Media $ 18,000 Subtotal: $ 33,000 Contingency and Social Media Ad Buys: $ 6,250 Grand Total: $ 100,000 Funds may be moved around categories but will not exceed the grand total. The City contracts with a firm to manage the day-to-day postings and updates for ExperienceTukwila.com. Posts are made on social media almost daily and the website is updated weekly with new content as it becomes available. Contracting with a firm to manage Experience Tukwila is cheaper and provides the City more flexibility than to do it in house, which would require the hiring of additional staff. In the "Tourism Six Year Financial Plan" we identified $75,000 for 2021 costs for Experience Tukwila. This cost was primarily related to ongoing upkeep, website management, and social media posts. The added funds for 2021 include doing another photos shoot and creating some small videos. Since Experience Tukwila launched, we are working to build out our digital content for use across the website and social media. A new photo shoot is needed because in 2020 we were operating under COVID-19 restrictions and were not able to fully capture activities and events that capture Tukwila. 16) What will you cut from your proposal or do differently if full funding for your request is not available or recommended? We would likely reduce the scope of the photo shoot and eliminate the short videos. Applications are considered on a rolling basis. Please contact staff to discuss the process for having the application reviewed by the City's Lodging Tax Advisory Committee. Completed applications should be submitted to: Lodging Tax Advisory Committee Page 6 of 7 14 c/o Brandon Miles City of Tukwila 6200 Southcenter Blvd Tukwila, WA 98188 Or, Brandon.Miles@Tukwilawa.gov Questions? LTAC Contact: Brandon J. Miles (206) 431-3684 Brandon.Miles@Tukwilawa.gov. Updated: January 5, 2021 Page 7 of 7 15 16 OTtl(liv ila Staff Memorandum Lodging Tax Advisory Committee Funding Request Name of Applicant: City of Tukwila Address: 6200 Southcenter Blvd. Tukwila, WA 98188 Total Funds Requested: $5,000 About the Applicant: The City of Tukwila is a non -charter City organized under the laws of the State of Washington. Founded in 1908, Tukwila is one of the oldest cities in King County. Since its founding, Tukwila has always been a community at the "crossroads." Tukwila lies at one of the busiest freeway interchanges in Washington State. The City has a small bedtime population of just under 20,000. During the day the City's population swells to over 150,000 people, with people coming to the City to work, shop, dine, stay in hotels, and to visit once in a life time experiences, such as the Museum of Flight or iFly. The City is one of the most diverse cities in the country. Over 70 languages are spoken in the Tukwila School District. Many well-known businesses are based in Tukwila, such as BECU, Westfield Southcenter, Seattle Seawolves, Seattle Sounders FC, Top Pot Donuts, Pop Gourmet, and the Sabey Corporation. The City has over 2,000 hotel rooms and over 100 restaurants Funds Previously Awarded: None for this event. The City has previously been provided funds for a variety of activities. Funding Request Narrative: The City of Tukwila is requesting lodging tax funds to help support the creation of a virtual event to celebrate Juneteenth. Juneteenth is the oldest nationally celebrated commemoration of the ending of slavery in the United States. A coalition of Tukwila community members, non -profits, and the City have started to plan a virtual event for 2021. The event is virtual this year due to COVID-19. In 2022 the goal is transition this to an in-person event in the City. City of Tukwila 6200 Southcenter Blvd. Tukwila, WA 98188 17 flii'tkyvik Unlike surrounding communities, Tukwila does not have a signature event. As one of the most diverse cities in the country a future Juneteenth event could serve as this signature event. Tukwila's diversity also serves as a strength for this event and allows for the creation of a truly authentic Tukwila event. Doing the virtual event for 2021 allows us to gain content and a following prior to the launch of an in- person event in 2022. Staff Comments: Unlike surrounding communities, Tukwila does not have a signature event. As one of the most diverse cities in the country a future Juneteenth event could serve as this signature event. Tukwila's diversity also serves as a strength for this event and allows for the creation of a truly authentic Tukwila event. Doing the virtual event for 2021 allows us to gain content and a following prior to the launch of an in- person event in 2022. In addition, as part of branding effort in 2017 Bill Baker suggested the City create events that highlight the City's diversity. This event helps achieve that goal. Consistency with Six Year Financial Model: For 2021, the Six Year Financial Plan shows the City spending $150,000 for sponsorship, such as this. There will be sufficient funds remaining in the budget for other 2021 sponsorships. Sponsorship Funds Provided in Six Year Financial Plan: $150,000 Spice Bridge Request (already approved) ($5,000) Juneteenth Request (Pending) ($5,000) Remaining Funds: $140,000 City of Tukwila Staff Recommendation to LTAC: Approval Notes: None. 18 City of Tukwila 6200 Southcenter Blvd. Tukwila, WA 98188 Application to the City of Tukwila for Use of 2021 Lodging Tax Funds Event or Activity Name (if applicable): 2021 Juneteenth Celebration Amount of Lodging Tax Requested: $5,000 Applicant Organization: City of Tukwila Federal Tax ID Number: 91-6001519 Mailing Address: Office of the Mayor 6200 Southcenter Blvd Tukwila, WA 98188 Primary Contact Name: Brandon Miles Primary Contact Phone: 206-431-3684 Primary Contact Email Address: Brandon.Miles@Tukwilawa.gov Check all the service categories that apply to this application: Tourism promotion or marketing. Operation of a special event or festival designed to attract tourists. Operation of a tourism -related facility owned or operated by a non-profit organization. Operation and/or capital costs of a tourism -related facility owned by a municipality or a public facilities district. Check which one of the following applies to your agency: Non -Profit (Note: Attach a copy of your current non-profit corporate registration from the Washington Secretary of State Office) Municipality For Profit Corporation I am an authorized agent of the organization/agency applying for funding. I understand that: • I am proposing a tourism -related service for 2021. If awarded, my organization intends to enter into a services contract with the City; provide liability insurance for the duration of the contract naming the City as additional insured and in an amount determined by the City; and file for a permit for use of City property, if applicable. • My agency will be required to submit a report documenting economic impact results in a format determined by the City. Signature: /s/ Date: March 10, 2021 19 1) Describe your tourism -related activity or event. The City of Tukwila is requesting lodging tax funds to help support the creation of a virtual event to celebrate Juneteenth. Juneteenth is the oldest nationally celebrated commemoration of the ending of slavery in the United States. A coalition of Tukwila community members, non- profits, and the City have started to plan a virtual event for 2021. The event is virtual this year due to COVID-19. In 2022 the goal is transition this to an in person event in the City. Unlike surrounding communities, Tukwila does not have a signature event. As one of the most diverse cities in the country a future Juneteenth event could serve as this signature event. Tukwila's diversity also serves as a strength for this event and allows for the creation of a truly authentic Tukwila event. In addition, Bill Baker, who the City hired for brand development, suggested the creation of events that highlighted Tukwila's diversity. Doing the virtual event for 2021 allows us to gain content and a following prior to the launch of an in-person event in 2022. 1) If an event, list the event name, date(s), and projected overall attendance. 1,000 virtual attendees. 2) Is your event/activity/facility focusing on attracting overnight tourists, day tourists, or both? This is a pure branding and marketing initiative. The geographic focus are consumers within 50 miles of the City. This could include households, employees, and overnight guests who are already in the area. 3) Describe why visitors will travel to Tukwila to attend your event/activity/facility. Tukwila's central location, its transportation connections, and mass transit makes Tukwila a great destination to get away for a day or an overnight trip. The City is home to nearly 200 restaurants, the largest mall in the Pacific NW, Starfire Sports, and the Museum of Flight. The City has success is bringing people to the City. The goal is to get people to come more often, stay longer, and realize they are in Tukwila (versus other cities). This specific event will be virtual so viewers will likely be spread out across the country. 4) Describe the geographic target of the visitors you hope to attract (locally, regionally, nationally, and/or internationally). Primary within 50 miles of the City; however, hotel guests throughout the region are part of the target audience. This specific event will be virtual so viewers will likely be spread out across the country. Page 2 of 5 20 5) Describe the prior success of your event/activity/facility in attracting tourists. This is a new event. 6) If this your first time holding the event/activity/facility provide background on why you think it will be successful. The event organizers, including the City's Parks and Recreation Department, have experience hosting and managing events. 7) Describe the media strategy you employ to promote your event/activity/facility to attract overnight and/or day tourists? Please list any digital or print media (newsletters, e -blasts, social media, etc.) your agency uses or intends to use to promote your event/activity/facility. The organizers will use out of market signage to promote the event and Experience Tukwila resources will also be used to promote the event. This will include social media posts, paid social media posts, e -newsletters blasts, and perhaps some paid digital ads. 8) Describe how you will promote lodging establishments, restaurants, retailers, and entertainment establishments in the City of Tukwila. The event helps to promote the Experience Tukwila website and social media. The event website will likely be hosted on ExperienceTukwila.com and thus help drive visitors to the site. The site promotes the overall Tukwila visitor economy. 9) Is the City able to use your digital and print media for collaborative marketing? Yes. 10) Describe how you will use the name, "Tukwila" in publications, promotions, and for your event? This event will be promoted as being in Tukwila. 11) Measurements and Metrics (Note: You will be required to report these metrics as part of the close out of the agreement between your organization and the City.) As a direct result of your proposed tourism -related service, provide an estimate of: a. Overall attendance at your proposed event/activity/facility. 1,000 online views. b. Number of people who will travel fewer than 50 miles for your event/activity. 100% Page 3 of 5 21 c. Number of people who will travel more than 50 miles for your event/activity. 0 d. Of the people who travel more than 50 miles, the number of people who will travel from another country or state. 0 e. Of the people who travel more than 50 miles, the number of people who will stay overnight in Tukwila. 0 f. Of the people staying overnight, the number of people who will stay in PAID accommodations (hotel/motel/bed-breakfast) in Tukwila. 0 g. Number of paid lodging room nights resulting from your proposed event/ activity/facility (for example: 25 paid rooms on Friday and 50 paid rooms on Saturday = 75 paid lodging room nights) 0 12) What methodologies did you use to calculate the estimates and what methodologies will you use to track outcomes, such as total participants, estimated visitor spending, etc? These are estimates based on past experience with events. Actual views and impressions will be tracked as part of the promotion for the campaign. 13) Are you applying for lodging tax funds from another community? If so, which communities and in what amounts? No. 14) Are you applying funding from Seattle Southside Regional Tourism Authority (SSRTA)? If so, in what amount? No. 15) What is the overall budget for your event/activity/facility? What percent of the budget are you requesting from the City of Tukwila? Page 4 of 5 22 Total costs are estimated to be $5,000. Funds will be used to secure vendors, artists, administrative, and general promotion of the event. It's important to remember that year's event is about setting the stage for 2022. 16) What will you cut from your proposal or do differently if full funding for your request is not available or recommended? We would likely eliminate the social media posts for the event. Applications are considered on a rolling basis. Please contact staff to discuss the process for having the application reviewed by the City's Lodging Tax Advisory Committee. Completed applications should be submitted to: Lodging Tax Advisory Committee c/o Brandon Miles City of Tukwila 6200 Southcenter Blvd Tukwila, WA 98188 Or, Brandon.Miles@Tukwilawa.gov Questions? LTAC Contact: Brandon J. Miles (206) 431-3684 Brandon.Miles@Tukwilawa.gov. Updated: January 5, 2021 Page 5 of 5 23