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REQUEST FOR <br />COUNCIL ACTION <br />CITY COUNCIL MEETING DATE: <br />NOVEMBER 17, 2020 <br />TITLE: <br />PUBLIC HEARING - REGARDING THE <br />PROPOSED FORMATION OF THE SANTA <br />ANA TOURISM MARKETING DISTRICT <br />/s/ Kristine Ridge <br />CITY MANAGER <br />CLERK OF COUNCIL USE ONLY: <br />APPROVED <br />❑ As Recommended <br />❑ As Amended <br />❑ Ordinance on 1"Reading <br />❑ Ordinance on 2od Reading <br />❑ Implementing Resolution <br />❑ Set Public Hearing For_ <br />CK�7►11@1�1q�iC�. <br />FILE NUMBER <br />RECOMMENDED ACTION <br />1. Conduct a public hearing to consider all protests regarding the intention to levy an assessment <br />regarding the proposed formation of the Santa Ana Tourism Marketing District. <br />2. Review any written protests filed prior to the close of the public hearing and determine whether <br />they constitute a majority protest. <br />3. If the City Council determines that no valid majority protest was lodged, adopt a resolution <br />confirming the establishment of the Santa Ana Tourism Marketing District. <br />DISCUSSION <br />At the September 15, 2020 meeting, City Council adopted Resolution No. 2020-076 declaring the <br />City Council's intention to form the Santa Ana Tourism Marketing District (SATMD) and gave notice <br />of the time and place of a public meeting and public hearing on the establishment of the District <br />and the levy of assessments. The Resolution set the public meeting for October 6, 2020 and set <br />the public hearing for November 17, 2020. <br />The Santa Ana Tourism Marketing District is a benefit assessment district proposed to create a <br />revenue source to help fund marketing and sales promotion efforts for Santa Ana lodging <br />businesses. This approach has been used successfully in other destination areas throughout the <br />state to improve tourism and drive additional room nights to assessed lodging businesses. The <br />established SATMD includes all lodging businesses with seventy (70) rooms or more located within <br />the boundaries of the City of Santa Ana. There are 18 of those lodging businesses. <br />Lodging business owners decided to pursue establishment of the SATMD in order to create a <br />revenue source devoted to marketing Santa Ana as a tourist, meeting, and event destination. If <br />established, the SATMD would generate approximately $2,400,000 (Pre-COVID estimate) on an <br />annual basis for promotion of travel and tourism specific to Santa Ana. These funds would be <br />solely controlled by the Travel Santa Ana Board of Directors, a non-profit that will be established <br />to administer this new marketing district. <br />75B-1 <br />