Resort Tax Monitoring Committee

Agenda Resort Tax Monitoring Committee City Council Conference Room 2nd Floor City Hall (Remote Option) Wednesday, June 28, 2023 7:05 a.m. Call-in phone number 406-730-6124 1. Call to Order. 2. Appoint Chairman, Vice-Chair and Secretary 3. Public Comment. 4. Review and approve minutes for April 19, 2023 meeting 5. River Lakes Parkway Neighborhood for concerns of the road conditions 6. Review the Financial Monthly Report and Quarterly Reports 7. Review the Resort Tax Reallocation to add Community Housing 8. Update on Resort Tax Funded Street and Park Projects. 9. Street Priority List. 10.Set next meeting date for July 2023. Members Andy Feury Doug Reed Brian Averill Trek Stephens Ken Stein Chris Schustrom Julia Olivares A. Property tax reduction for taxpayers residing in the city in an amount equal to twenty five percent (25%) of the three percent (3%) resort tax revenues derived during the preceding fiscal year. B. Provision for the repair and improvement of existing streets, storm sewers, all underground utilities, sidewalks, curbs and gutters, in an amount equal to sixty five percent (65%) of the two percent (2%) resort tax revenues derived during the preceding fiscal year. C. Bicycle paths and other park capital improvements in an amount equal to five percent (5%) of the two percent (2%) resort tax revenues derived during the preceding fiscal year. D. Repayment of a loan or a bond to finance a portion of the costs of, or to otherwise pay for, the acquisition of the conservation easement or other interests, in and around Haskill Basin in order to protect and preserve water quality and quantity, including the source drinking water supply for the municipal water system of the city of Whitefish, in an amount equal to seventy percent (70%) of the one percent (1%) resort tax revenues to be received in a fiscal year, except that if such portion of resort tax revenues received in a fiscal year is more than is needed in that fiscal year for such loan or bond, the excess will be applied to additional property tax relief in the next fiscal year; E. Cost of administering the resort tax in an amount equal to five percent (5%) of the three percent (3%) resort tax per year.  RESORT TAX MONITORING COMMITTEE MINUTES 4-19-2023 Attendees: Brian Averill, Ken Stein, Lanie Gospodarek, Chris Schustrom, Vanice Woodbeck, Julia Olivares, Craig Workman, Dana Smith, Maria Butts, Trek Stephens. Review Minutes from previous Meeting – Unanimously Approved. Review of Financial Monthly Report Collections are up – 7.75 %. All delinquencies are short-term rentals. Bars and Restaurants show increases higher than normal. Riverbend Trail Construction Request for Funds – John Phelps Request for $100,000 earmark toward the project, which could begin in the fall of 2024. Dana suggested that we review the budget prior to deliberation. The City of Whitefish would like 10ft path – Easement is only 6ft. This would require permission from DNRC and Fish/Wildlife Street and Park Projects Working on Texas (Construction Phase) 3 or 4 weeks of work until finished. Hired RPA for Karrow Ave Design, Construction, Post Construction work. The goal is to get survey work done this year. Chris suggested that we review future priorities beyond Karrow. Dana expressed the need for attention to roads in River Lakes and Monterra. Phase 3 of Armory to be completed in August. Budget Discussion Increase in collections projected to be 500,000 from 2023 to 2024. Craig Estimating 3M for Karrow project. The project will be split over 2 years. 2M allocated to work slated for 2024. Concerns were shared about closing the road. Chris suggested that the lights at 2nd street intersection be adjusted by MDT. Maria $170,000 for River Improvements; Docks and river access (each side of the bridge). Phase 4 of Amory Park design will begin. The scope may include the entire project. Funds will be put aside for Riverbend Path in 2025. Maria is also considering review of maintenance for other bike paths. Next Meeting: 5/17/2023  QUARTERLY RESORT TAX REPORT BY MONTH COLLECTED BY BUSINESSES As of June 20, 2023 Bars & Lodging Restaurants Retail Change Month Change from Change from from Same Change from Number of Collected by Same Month Bars & Same Month Month in Prior Same Month in Delinquencies Business Lodging in Prior Year Restaurants in Prior Year Retail Year Total Prior Year Each Month Total FY19 $ 962,430 9.72% $ 1,649,199 6.05% $ 1,655,800 3.80% $ 4,267,429 5.96% 0 Jul-19 $ 238,060 13.64% $ 252,855 12.67% $ 234,990 12.96% $ 725,905 13.08% 0 Aug-19 $ 218,503 11.48% $ 225,504 6.49% $ 189,528 -9.81% $ 633,535 2.53% 0 Sep-19 $ 127,868 5.27% $ 164,015 7.86% $ 134,392 5.18% $ 426,275 6.22% 0 Oct-19 $ 41,880 1.84% $ 110,864 0.55% $ 94,657 5.75% $ 247,402 2.70% 0 Nov-19 $ 19,706 -3.54% $ 88,202 5.55% $ 156,057 11.81% $ 263,965 8.38% 0 Dec-19 $ 44,874 -8.07% $ 135,515 -2.58% $ 175,909 4.61% $ 356,297 0.06% 0 Jan-20 $ 43,659 13.71% $ 122,890 6.58% $ 133,931 42.04% $ 300,480 21.16% 0 Feb-20 $ 54,199 19.25% $ 134,119 19.81% $ 123,519 12.20% $ 311,837 16.58% 0 Mar-20 $ 26,672 -32.92% $ 75,120 -36.16% $ 87,042 -13.06% $ 188,834 -26.68% 0 Apr-20 $ 3,513 -84.20% $ 28,998 -68.14% $ 81,643 0.32% $ 114,154 -41.35% 0 May-20 $ 8,665 -83.43% $ 64,085 -46.32% $ 169,717 -0.22% $ 242,466 -29.06% 2 Jun-20 $ 60,493 -52.35% $ 124,827 -27.74% $ 183,367 17.05% $ 368,687 -19.21% 9 Total FY20 $ 888,092 -7.72% $ 1,526,994 -7.41% $ 1,764,751 6.58% $ 4,179,837 -2.05% 11 Jul-20 $ 189,238 -20.51% $ 201,228 -20.42% $ 236,559 0.67% $ 627,026 -13.62% 0 Aug-20 $ 210,425 -3.70% $ 205,975 -8.66% $ 202,970 7.09% $ 619,370 -2.24% 0 Sep-20 $ 153,620 20.14% $ 172,521 5.19% $ 181,226 34.85% $ 507,367 19.02% 0 Oct-20 $ 68,400 63.32% $ 117,114 5.64% $ 128,058 35.29% $ 313,572 26.75% 0 Nov-20 $ 21,820 10.73% $ 72,586 -17.70% $ 169,704 8.74% $ 264,110 0.05% 0 Dec-20 $ 49,539 10.40% $ 118,800 -12.33% $ 224,075 27.38% $ 392,414 10.14% 0 Jan-21 $ 47,586 8.99% $ 126,087 2.60% $ 121,595 -9.21% $ 295,268 -1.73% 0 Feb-21 $ 55,999 3.32% $ 130,392 -2.78% $ 145,720 17.97% $ 332,111 6.50% 0 Mar-21 $ 56,043 110.12% $ 142,606 89.84% $ 144,493 66.00% $ 343,142 81.72% 0 Apr-21 $ 35,943 923.14% $ 118,865 309.91% $ 114,620 40.39% $ 269,428 136.02% 0 May-21 $ 76,291 780.46% $ 151,967 137.13% $ 202,894 19.55% $ 431,152 77.82% 0 Jun-21 $ 220,713 264.85% $ 228,246 82.85% $ 245,880 34.09% $ 694,839 88.46% 0 Total YTD FY21 $ 1,185,618 33.50% $ 1,786,388 16.99% $ 2,117,794 20.01% $ 5,089,799 21.77% 0 Jul-21 $ 345,733 82.70% $ 309,290 53.70% $ 328,611 38.91% $ 983,634 56.87% 0 Aug-21 $ 303,321 44.15% $ 264,862 28.59% $ 262,067 29.12% $ 830,250 34.05% 0 Sep-21 $ 204,633 33.21% $ 211,347 22.51% $ 197,244 8.84% $ 613,224 20.86% 0 Oct-21 $ 88,290 29.08% $ 155,766 33.00% $ 149,723 16.92% $ 393,779 25.58% 0 Nov-21 $ 31,880 46.10% $ 107,090 47.54% $ 199,842 17.76% $ 338,812 28.28% 0 Dec-21 $ 74,306 49.99% $ 164,976 38.87% $ 265,143 18.33% $ 504,425 28.54% 0 Jan-22 $ 73,098 53.61% $ 151,956 20.52% $ 141,529 16.39% $ 366,583 24.15% 0 Feb-22 $ 79,309 41.63% $ 162,496 24.62% $ 160,497 10.14% $ 402,302 21.13% 0 Mar-22 $ 68,455 22.15% $ 160,876 12.81% $ 176,144 21.90% $ 405,475 18.17% 0 Apr-22 $ 42,167 17.32% $ 128,772 8.33% $ 130,865 14.17% $ 301,804 12.02% 0 May-22 $ 87,045 14.10% $ 157,457 3.61% $ 229,887 13.30% $ 474,389 10.03% 0 Jun-22 $ 219,408 -0.59% $ 234,720 2.84% $ 258,470 5.12% $ 712,598 2.56% 0 Total YTD FY22 $ 1,617,645 36.44% $ 2,209,608 23.69% $ 2,500,022 18.05% $ 6,327,275 24.31% 0 Dollar figures above are not adjusted for delinquencies. Jul-22 $ 354,665 2.58% $ 317,420 2.63% $ 351,918 7.09% $ 1,024,003 4.10% 5 Aug-22 $ 309,140 1.92% $ 283,797 7.15% $ 298,297 13.82% $ 891,234 7.35% 7 Sep-22 $ 215,110 5.12% $ 237,062 12.17% $ 220,346 11.71% $ 672,518 9.67% 8 Oct-22 $ 75,885 -14.05% $ 161,675 3.79% $ 158,165 5.64% $ 395,725 0.49% 11 Nov-22 $ 31,042 -2.63% $ 112,806 5.34% $ 220,886 10.53% $ 364,734 7.65% 19 Dec-22 $ 63,788 -14.15% $ 170,473 3.33% $ 253,979 -4.21% $ 488,240 -3.21% 5 Jan-23 $ 74,415 1.80% $ 171,646 12.96% $ 160,380 13.32% $ 406,441 10.87% 14 Feb-23 $ 81,796 3.14% $ 176,775 8.79% $ 201,461 25.52% $ 460,032 14.35% 42 Mar-23 $ 71,118 3.89% $ 169,089 5.11% $ 166,096 -5.70% $ 406,303 0.20% 31 Apr-23 -100.00% -100.00% -100.00% May-23 -100.00% -100.00% -100.00% Jun-23 -100.00% -100.00% -100.00% Total YTD FY23 $ 1,276,959 -21% $ 1,800,743 -18.50% $ 2,031,528 -18.74% $ 5,109,230 -19.25% 142 this information is the by-period amount of resort tax collected so this gets updated for the whole fiscal year each quarter.  Resort Tax Report Reported in the Month Businesses Collected Tax AS OF NOVEMBER 30, 2008 BARS & MONTH/YEAR LODGING RESTAURANTS RETAIL COLLECTED INTEREST TOTAL July 2020 178,173 214,968 236,685 629,826 -10.59% 682 630,508 August 2020 234,063 196,817 194,056 624,936 34.65% 1,066 626,002 September 2020 158,102 191,941 188,641 538,684 0.41% 5.2% 898 539,582 October 2020 88,284 112,076 119,814 320,174 14.56% 1,058 321,232 November 2020 78,378 69,415 101,398 249,190 -14.32% 561 249,751 December 2020 32,442 111,811 226,456 370,710 14.11% 5.0% 407 371,117 January 2021 46,620 111,925 132,183 290,728 -2.00% 365 291,093 February 2021 85,582 148,765 143,459 377,805 59.90% 348 378,153 March 2021 57,027 140,256 143,766 341,049 122.96% 47.2% 414 341,463 April 2021 35,142 132,266 119,185 286,593 73.27% 441 287,034 May 2021 77,012 151,978 191,091 420,081 27.47% 467 420,548 June 2021 210,216 216,079 253,610 679,905 103.25% 67.2% 2,210 682,115 Total FY21 $ 1,281,040 $ 1,798,296 $ 2,050,344 $ 5,129,681 24.64% $ 8,917 $ 5,138,597 FY20 vs FY21 50.34% 20.24% 16.42% 24.64% or $ 1,014,065 Taxable Sales FY21 $ 179,988,799 FY21 % of Collections 25% 35% 40% 100% July 2021 227,005 283,424 324,582 835,011 32.58% 504 835,515 August 2021 414,859 296,012 254,869 965,740 54.53% 535 966,275 September 2021 215,882 190,513 205,771 612,166 13.64% 34.5% 641 612,807 October 2021 90,251 156,461 136,035 382,747 19.54% 705 383,452 November 2021 36,679 124,428 207,615 368,721 47.97% 702 369,423 December 2021 78,801 176,472 266,384 521,657 40.72% 35.4% 561 522,218 January 2022 60,241 142,427 137,885 340,553 17.14% 423 340,976 February 2022 79,068 131,154 177,008 387,230 2.49% 432 387,662 March 2022 73,108 192,830 185,509 451,447 32.37% 16.8% 569 452,016 April 2022 42,243 130,622 130,656 303,521 5.91% 711 304,232 May 2022 84,935 148,911 234,101 467,947 11.39% 1,013 468,960 June 2022 205,559 231,565 245,873 682,997 0.45% 4.9% 3,704 686,701 Total FY22 $ 1,608,630 $ 2,204,819 $ 2,506,288 $ 6,319,737 23.20% $ 10,500 $ 6,330,237 FY21 vs FY22 25.57% 22.61% 22.24% 23.20% or $ 1,190,056 Taxable Sales FY22 $ 221,745,162 FY22 % of Collections 25% 35% 40% 100% July 2022 299,416 314,037 326,589 940,042 12.58% $ 940,042 August 2022 360,858 286,395 288,990 936,243 -3.05% $ 936,243 September 2022 220,178 257,560 244,535 722,273 17.99% 7.7% $ 722,273 October 2022 87,683 148,074 161,191 396,948 3.71% $ 396,948 November 2022 35,220 114,207 219,625 369,052 0.09% $ 369,052 December 2022 66,545 176,792 279,272 522,609 0.18% 1.2% $ 522,609 January 2023 64,500 169,337 157,996 391,833 15.06% $ 391,833 February 2023 91,385 182,283 203,187 476,855 23.15% $ 476,855 March 2023 63,034 159,953 161,768 384,755 -14.77% 6.3% $ 384,755 April 2023 49,647 135,857 141,223 326,727 7.65% $ 326,727 May 2023 - -100.00% $ - June 2023 - -100.00% -77.5% $ - Total FY23 $ 1,338,466 $ 1,944,495 $ 2,184,376 $ 5,467,337 5.78% $ - $ 5,467,337 FY22 vs FY23 1.54% 6.59% 7.80% 5.78% or $ 298,544 Taxable Sales FY23 $ 191,836,382 Grand Total $ 13,084,053 $ 23,455,662 $ 26,799,784 $ 63,339,499 $ 896,848 $ 64,236,897 % of Total Collections 21% 37% 42% Total Resort Tax Collections by Month Total Taxable Sales Since 1996 1,000,000 Oct s/b Sept 10 $ 2,410 $ 6,447 $ 5,099 $ 13,956 $ 94,556 FY96-FY15 $ 1,415,763,781 Oct s/b Sept 09 $ 239 $ 1,327 $ 4,406 $ 5,971 86,077 FY16-YTD $ 1,278,596,042 900,000 Total $ 2,694,359,823 800,000 $ 2,172 $ 5,120 $ 693 $ 7,985 Total Collected 700,000 FY19 FY96-FY15 $ 28,315,276 FY16-YTD $ 38,357,881 600,000 Total $ 66,673,157 500,000 5% Admin 400,000 FY96-FY15 $ 1,415,764 FY16-YTD $ 1,917,894 300,000 Total $ 3,333,658 200,000 Public Portion 100,000 FY96-YTD $ 63,339,499 $ 2,172 $ 5,120 $ 693 $ 63,347,484 $12.87 $87,820,236.11 - Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun