Tourism Improvement District

When it comes to investing in the Great Rivers & Routes Tourism Bureau, developing a Tourism Improvement District provides a stable funding source for the region. Funds raised through this program provide services directly benefiting businesses within the district.

Tourism Improvement Districts

A Tourism Improvement District (TID) is a stable funding source for marketing efforts to increase occupancy and room rates for hotel owners/operators. Funds raised through a small assessment on lodging stays provide services desired by, and directly benefiting the businesses in the district.

A TID is NOT a tax! There are currently 194 TIDs around the U.S. in small, medium and large markets. In addition to 18 states that have TIDs, 12 more states are considering TIDs, including Illinois and Iowa. Currently the Quad Cities, Chicago, Rockford, Peoria, Springfield and Champaign County are in the process of establishing a TID.

What Does a TID Do?

The services funded by a TID could fund destination marketing, promotions, business development and potential capital improvements that make a destination more attractive to potential visitors. A charge is assessed or passed on usually to the hotel customer. A local government typically collects the funds generated like transient occupancy tax (hotel/motel tax revenues). However, unlike hotel.motel taxes, they cannot be spent on general programs by a government. The funds must be directed towards destination marketing to create tourism opportunities and overnight hotel stays.

How is a TID Governed Administered and Operated?

A TID board is created separately from the Great Rivers & Routes Tourism Bureau Board of Directors. The TID Board is comprised of local hoteliers who oversee the pool of dollars generated by the revenue collected. The TID Board has an agreement with Great Rivers & Routes Tourism Bureau which administers the fund and conducts the execution of the district plan, which is developed in partnership by the TID Board and Great Rivers & Routes Tourism Bureau.

A plan is created and fulfilled to achieve the objectives of the district plan. Most districts plans have five-to-ten year terms to provide stability and consistency. However, Great Rivers & Routes Tourism Bureau would ensure alignment in mission and purpose. The amount of revenue available for a TID would depend on the board's district plan.

Does a TID Replace Current Local Government Investment Contracts with Great Rivers & Routes Tourism Bureau?

No. A TID is meant to be an additive and stable source for destination marketing purposes outlined by the boards. The funds are intended to be invested more in tourism marketing to be competitive in the hyper-competitive space.

The revenues generated by a TID do not directly impact the bottom line of Great Rivers & Routes Tourism Bureau except for any potential costs to administer the TID.

If Approved by Stakeholders and Madison County, What Would the Funds Be Use For?

100% of the funds collected will be used to grow youth and amateur sporting events in Madison County.

Furthermore, 50% of the funds will be used to attract rights holders to host tournaments that attract more than 300 room nights per event. 25% of the funds will be used for marketing Madison County as a Sports Tourism Destination with print and digital advertising and the remaining 25% would go towards a fund to further develop sports tourism sites in Madison County.