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Supervisors Approve Annual Funding Agreement With Resort Association

October 14, 2011

The Placer County Board of Supervisors approved an agreement Tuesday that will provide the North Lake Tahoe Resort Association with more than $5.4 million during the 2011-12 fiscal year for marketing, transportation and infrastructure-development efforts.

Each year, Placer County contracts with the resort association to promote tourism and provide other services, using transient occupancy tax revenue collected in the North Lake Tahoe area. The tax is a surcharge paid by people who rent rooms in hotels, motels and other lodging establishments for 30 days or less.

The contract approved by the board Tuesday will provide the resort association with:

· Almost $2.8 million for marketing;

· More than $1.1 million for visitor-support services and transportation; and

· Approximately $1.5 million for infrastructure projects.

The 2011-12 contract reflects a comprehensive effort to both:

· Fund tourism marketing and infrastructure development and

· Maintain the county’s ability to provide base services in light of ongoing budget challenges caused by the nation’s economic slowdown and state budget crisis.

In keeping with the latter goal, part of the funding will be set aside to support Tahoe health clinics, bus service, a Sheriff’s Office Problem-Oriented Policing officer, beach facilities and visitor information.

Infrastructure projects that may be considered for funding support this fiscal year include visitor information facilities, a performing arts facility, welcome lighting and the Squaw Valley Olympic Ski Museum.

In another action, the board approved adjustments to sewage system connection, annexation and in-lieu fees paid by new developments in sewer maintenance districts and county service areas around the county.

Generally, the fees are being increased by 6.4 percent to reflect inflation since 2009 however, Board members agreed to eliminate a $200 facility fee that had been charged for connection to the County sewage system.

Overall the connection fees decreased, except for Sewer Maintenance District 1 (SMD 1). The actual percentage increase for the SMD 1 connection fee, after elimination of the facility fee, was 3.7%. The in lieu fees and the annexation fees increased by 6.4%.

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