Resort Tax Monitoring Committee

Agenda Resort Tax Monitoring Committee City Council Conference Room 2nd Floor City Hall (Remote Option) Wednesday, S e p t em b e r 2 0, 2023 7:05 a.m. Call-in phone number 406-730-6124 1. Call to Order. 2. Public Comment. 3. Review and approve minutes for June 28, 2023 meeting 4. Review the Financial Reports 5. Update on Resort Tax Funded Street and Park Projects. 6. Street Priority List. 7. Set next meeting date for October 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 6-28-2023 Atendees: Doug Reed, Chair, Chris Schustrom, Ken Stein, Trek Stephens, Brian Averill, Andy Feury, Vanice Woodbeck, Dana Smith, Maria, Buts, Craig Workman, Lanie Gospodarek Minutes of April 19, 2023 mee�ng approved unanimously Financial monthly and quarterly reports were reviewed. Collec�ons in May 2023 show an increase of 7.65% over collec�ons in May of 2022. Year-to-date collec�ons through the 3rd quarter are up 5.6% over the previous year. River lake Parkway Neighborhood presenta�on of concerns did not occur as no one was present to do so. Review of Resort Tax Realloca�on to add Community Housing: Dana Smith presented the Community Housing Commitee report and made a recommenda�on to the RT Monitoring Commitee to consider alloca�ng 10% of the 3% to housing beginning February 1, 2025. The intended use of the money would be for 1.0 development of deed restricted housing and 2.) community housing programs. The ini�al assump�on is to pursue development first and then programs. Dana says decisions to change (raise/lower) alloca�on for housing can come before the Commitee and the Council and shares the example of Portland Oregon se�ng aside $.025 of every dollar being put towards housing. The Legacy Homes project is discussed. Dana suggests that to get this on the ballot resolu�on by August 7th, council will need to hear from the commitee by the July 17th council mee�ng. Chris states that partnerships like these are required to make this happen and he supports the recommenda�on of the housing commitee and suggests a bullet point FAQ as an appropriate approach. Brian asks about �ming – special elec�on versus general elec�on. Discussion on how best to present to present the idea to the public ensues. It is pointed out that streets will s�ll be receiving an increase in funding from resort tax. Vanice shares that people have been told previously that there would be affordable housing components in some of the recent new housing developments that didn’t occur, and this is an opportunity to change that. Mo�on was made by Trek to recommend to the City Council that a por�on of the resort tax go to housing. Seconded by Brian. Maria Buts provides an update on Parks projects: Substan�al comple�on walk through was just done at Armory Park. Have received a $22,000 LWCF grant and will apply for another in FY 2024. River Trail improvement will begin in July which will entail new docks, Baker Park River access rehabilita�on, and pedestrian footbridge which will cost 170K – 190K to complete all three. The Skate Park will be done in August. Craig Workman gives an update on street projects: Texas/Edgewood are in the final seeding part of the project. The preliminary engineering for the Karrow Street project will be done by the end of August, then they will begin community outreach a�er that. The Karrow project won’t begin un�l next spring and will go into the following fiscal year for an an�cipated comple�on in the fall of 2024. Mee�ng Adjourned: 8.10am  Resort Tax Report Reported in the Month Businesses Collected Tax AS OF JUNE 2023 BARS & MONTH/YEAR LODGING RESTAURANTS RETAIL COLLECTED INTEREST TOTAL 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 69,227 148,975 253,450 471,652 0.79% $ 471,652 June 2023 202,421 244,332 242,361 689,115 0.90% 2.3% $ 689,115 Total FY23 $ 1,610,114 $ 2,337,802 $ 2,680,187 $ 6,628,104 17.59% $ - $ 6,628,104 FY22 vs FY23 0.09% 6.03% 6.94% 4.88% or $ 991,364 Taxable Sales FY23 $ 232,565,050 Grand Total $ 13,355,702 $ 23,848,969 $ 27,295,595 $ 64,500,266 $ 896,848 $ 65,397,664 % 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 $ 1,319,324,709 900,000 Total $ 2,735,088,491 800,000 $ 2,172 $ 5,120 $ 693 $ 7,985 Total Collected 700,000 FY19 FY96-FY15 $ 28,315,276 FY16-YTD $ 39,579,741 600,000 Total $ 67,895,017 500,000 5% Admin 400,000 FY96-FY15 $ 1,415,764 FY16-YTD $ 1,978,987 300,000 Total $ 3,394,751 200,000 Public Portion 100,000 FY96-YTD $ 64,500,266 $ 2,172 $ 5,120 $ 693 $ 64,508,251 $14.89 $88,513,057.24 - Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun  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 69,227 148,975 253,450 471,652 0.79% $ 471,652 June 2023 - -100.00% -45.1% $ - Total FY23 $ 1,407,693 $ 2,093,470 $ 2,437,826 $ 5,938,989 5.36% $ - $ 5,938,989 FY22 vs FY23 0.33% 6.09% 7.85% 5.36% or $ 302,249 Taxable Sales FY23 $ 208,385,567 Grand Total $ 13,153,280 $ 23,604,637 $ 27,053,234 $ 63,811,151 $ 896,848 $ 64,708,549 % 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 $ 1,295,145,227 900,000 Total $ 2,710,909,008 800,000 $ 2,172 $ 5,120 $ 693 $ 7,985 Total Collected 700,000 FY19 FY96-FY15 $ 28,315,276 FY16-YTD $ 38,854,357 600,000 Total $ 67,169,632 500,000 5% Admin 400,000 FY96-FY15 $ 1,415,764 FY16-YTD $ 1,942,718 300,000 Total $ 3,358,482 200,000 Public Portion 100,000 FY96-YTD $ 63,811,151 $ 2,172 $ 5,120 $ 693 $ 63,819,136 $13.88 $87,823,941.39 - Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun