Tourism saves Florence County residents tax dollars, bureau says

A recent Travel Industry Association report shows tourism reduces each Florence County household’s state and local taxes by about $945 a year, according to the Florence Convention and Visitors Bureau.

The preliminary report, which provides raw data on tourism spending, shows Florence County in 2007 received more than $227 million in expenditures directly related to tourism.

“In the trying times of these last six years, Florence County has persevered to enhance not only our economic viability but also our tourism capabilities,” Florence County Council chairman K.G. Rusty Smith said.

Smith said council has worked to lower property taxes in the county, a hub for “regional shopping,” through a local option sales tax and an accommodations tax visitors pay on lodging.

The bureau reports each household pays $378.29 less in local and state taxes because of tourism revenue. Based on a “multiplier effect,” the bureau calculated each $1 of tourist spending generates an additional $1.50 in additional local economic activity, equaling the $945 per household.

Tourism last year generated almost $12 million in state tax receipts and $6 million in local tax receipts, according to the report.

Florence Civic Center is expected to bring about 93,000 visitors to the area this year as it holds a record 10 conventions for a $41.7 million economic impact, according to the bureau.

The civic center aims to be a premier site for conventions, which it recruits as part of an expanded strategic plan. It held two such events — the governor’s rural summit and the state library conference — in 2003. That number jumped to eight by 2006 and is expected to reach 11 next year, Florence Civic Center General Manager Kendall Wall said.

The civic center’s proximity to Magnolia Mall as well as many new hotels and restaurants has helped the venue market itself for conventions, Wall said.

“It really does make a nice package, no question about it,” he said.

Florence County’s collections of the state accommodations tax on hotel stays have increased by 33 percent since 2001, according to the bureau. That money is redistributed by the state for the county and city of Florence to promote tourism.

Florence Hotel/Motel Association President Mike Alexander said he thinks newer hotels along Interstates 20 and 95 entice more people to spend the night in Florence County.

“It looks nice here, and people feel safe and secure when they stay here,” Alexander said.

Bureau director Holly Young said efforts in the works will be “motivators” to help Florence County reach higher tourism levels.

A tourism assessment released earlier this year states that Florence County has a chance to quadruple its tourism earnings through a branding campaign — an estimated $35 million investment — possibly based on Revolutionary War figure Gen. Francis Marion.

The city of Florence, meanwhile, is considering the development of a new logo and possibly a tag line as a consistent way to identify the city amid its downtown revitalization campaign.

“I think it’s important for us to build an identity and have attractions that bring people in,” but it’s “encouraging as a whole” that the area already sees so much traffic because of its location, Young said.

ON THE WEB

View the preliminary report at www.scprt.com/our-partners/tourismstatistics/researchreports.aspx

Florence County 2007 tourism

Generated more than $227 million in direct tourist spending

Produced $47.05 million in worker incomes and paychecks

Created $11.89 million in state tax revenue

Created $5.89 million in local tax revenue

Generated 2,420 jobs

Generated $622,246 of tourist spending in an average day

SOURCES: S.C. Department of Parks, Recreation and Tourism and the Florence Convention and Visitors Bureau