Vacation Rentals TBID on Catalina Island
I am writing this message because I know that very confusing or sparce messaging has left you in the dark about developments here on the island which unfortunately seem political.
CIVR is against this increase in cost to travelers and we ask you to stand with us. Sign our online petition here to stop this TBID.
I will share that as the President and owner of CIVR, I recently have officially resigned from the board of directors of the Chamber of Commerce/Catalina Island Tourism Authority AKA LOVE Catalina. I did this with a heavy heart and much thought considering the many years of my position representing your Catalina Island homes and investments as well as years of service on the board of directors. Unfortunately, with recent developments regarding engaging an additional tax district being inserted into our economy, I no longer have confidence in the leadership of the group who is orchestrating these measures. Read here.
Though I will outline below the reasons for my decision to part with the chamber decision, I implore you on behalf of your Real Estate Property investments, the staff and supporting vendors of CIVR and the residents of Avalon to contact each of the members of city council as well as Mayor Marshall immediately. TELL THEM TO STOP THE TBID AT THIS TIME. contact info here.
CIVR is working with several hoteliers on a very comprehensive joint marketing effort that will be directly driven by those who invest in overnight stays.
I am aware that persons who disagree with me have tried to contact you directly; their message is not ours. A petition will be disseminated from this email address in the next several hours asking you to petition to NOT engage a TBID. However, most importantly, let the city elected officials know TODAY, that this increase in ‘not exactly tax’ is not prudent or needed more than the needs of the city.
Now. Please give me a chance to share the perspective of the CIVR team.
- The chamber now sits on a very healthy set of reserves today and is in no need of additional funds
- The structure to carry out a well-run and contributive TBID is possible when not overtly exploited. Our sister company, of which I am also president, in the Palm Springs area is a member of a TBID
- The Palm Springs area TBID is run very well by members of the community there without displaced weighting away from Vacation Rentals
- We have seen the ads from the island chamber that are copy paste ads from other destinations that do not encourage overnight stays on the island
- This is in spite of the fact that overnight travelers pay the largest portion of funding to the chamber
- This organization has repeatedly dismissed and taken unfair advantage of both the marketing campaigns that our team offers as well as the in-kind donations of overnight stays that some of you have offered in hopes of promoting vacation rentals
- The city coffers are much less healthy today than the chamber. NONE of this money will reach the city’s general fund even after a massive set of lay offs of local workers
- There are a multitude of projects that can benefit tourism that will not see anything from this fund
- Internet/cell capacity and reliability
- Boating needs including renovation of aging assets for cross channel ports
- Sea level rise adjustments at the shore
- A public beach on Front Street
- There are yet more projects which can help the residents and voters share in common with your commitment to the island and your home here.
- Plumbing systems are in great need which causes myriad problems in our towns and our structures
- Salt water treatment
- Fresh water storage
- Street maintenance
- Trash and cleaning
- Driver and pedestrian safety
- Parking and registration processing
- Property permitting and inspections
- Restaurant and retail engagement
- COVID protocol research and assistance
- Youth education and recreation
The sad facts follow. The move for a TBID at this time, will not help any residents (including 100% of our staff) and they will not be allowed to vote their opinion. The same move gives an untouchable flow of cash that will benefit only the ‘select committee’ including some hoteliers and a golf cart company as well as the firm who ‘manages’ the fund which may take 20% and the chamber who would receive a greater total salary budget. (Though if I stayed on the board I could possibly be invited to a vote, I think it is the wrong move from the start). The city and the residents need money when they are what keeps our island functioning and they are completely excluded from input.
WE, the vacation rental community of Catalina Island, represent the heart of overnight and returning travelers. To say that you need help to increase your Nightly rate is not up to a few people who largely do not understand your business.
This is our drain of resources to stop and we have the power, as long as we voice our needs.
I have seen property insurance skyrocket like you have… utilities and property taxes have crept up as well… these are already passed onto the guest in the form of price adjustments that we have made to increase the nightly rent to keep you whole. Corina, our General Manager as well as our rate management team spends countless hours working on our dynamic and up to the minute pricing to maximize pricing in balance with occupancy ensuring the best possible return for all of our partners. The costs of transportation and overnight stays are high already and somewhat fixed—to say that someone may go to Santa Monica instead of Avalon, CA because of marketing dollars poured into the SM pier is by all measures a stretch. We have done a great job with our marketing budget in increasing $ per night and nights per property thus far, and to misdirect or neglect that is short-sighted.
A metric that Corina and I talk about quite frequently is PACE, which shows the trend of booking relative to our seasonal booking rates. 2022 looks great! This is not because of generic ads that the chamber has commissioned with bicycles and ‘stay wild’ copy… it is because of your fantastic, sought-after properties and our skills as marketers and rate managers with decades of experience.
None of this is to say that I would oppose an increase of occupancy tax, or a retail tax even if it included vacation homes if I saw a clear and effective plan. This TBID is not the way, this is not the time, and not the proper leadership to ratchet up the budget of an unproven and non-cooperative marketing group.
Regards and much positive encouragement, please reply to all to get answers to any questions you may have,
Thomas Salinas
President
Catalina Island Vacation Rentals, Inc