(Photo: TDCB)
It’s been talked about for many years in the region but a tourism accommodation levy is now closer to reality in the City of Moncton.
City Council has passed first reading of a bylaw which would add 3.5 percent to hotel, motel and campground bills within the city.
The levy could potentially generate $2.7 million dollars per year.
In March, the provincial government paved the way for municipalities to charge a tourism levy in an effort to better market and promote their respective regions.
Moncton Tourism and Events Director Jillian Somers outlined to council how important the industry is to the Moncton Metro Area.
“Tourism represents over $470 million in visitor expenditures annually and that continues to climb year over year,” she notes.
City councillor Greg Turner has been a strong proponent and notes how neighbours like Prince Edward Island and Nova Scotia already have such levies and now the city is on an even playing field.
Councillor Paul Pellerin wondered if the levy could cover the cost of major sporting or entertainment events.
“Last year, council had approved up to $333,000 for the basketball team (Moncton Magic) and $150,000 for the UFC… would this fund actually do this?” he asked.
City managers couldn’t confirm that since they say those details are still being ironed out with key tourism stakeholders who will manage the fund under a new destination marketing organization.
If the bylaw is adopted next month after passing second and third reading, the levy could be implemented on August 1st.
