More talk urged on tourism rate plan

The rating system is a blunt instrument and it is hard to allocate specifically. Ross McLeod, Hastings District Council CEO Regional organisations told the Hawke's Bay Regional Council yesterday that careful consideration of targeted rates and better communication are necessary for the region's tourism industry.

The council's proposed targeted rate has drawn praise and criticism from different regional organisations, which all want to make sure the rate is fair.

Hawke's Bay Wine Country Tourism Association chairman Sam Orton told the council the organisation supported the targeted rate as proposed. It would cost businesses $10.60 out of every $10,000.

Hastings District Council also spoke at the hearing and suggested the rate would need careful consideration because it was difficult to differentiate between direct and indirect beneficiaries of the tourism industry.

 District council CEO Ross McLeod said there was a benefit to the wider community from economic development and there should be some recognition of this in the way funds were raised.

There was a class of business that benefited more directly from economic development activities and these businesses should be targeted.

 "The rating system is a blunt instrument and it is hard to allocate specifically, but it is good to try to ensure that direct beneficiaries are picked up," he said

AdvertisementAlthough not present at the meeting, the Napier Motel Association expressed concern over the targeted rate, because all businesses benefited to some degree from tourism and it would penalise only a portion of those. The association also criticised current efforts in the Bay to attract tourists, noting a drop in visitor nights and what it considered a lack of regional Rugby World Cup promotion.

Rotorua had a 1300-room, 19-night booking from a Canadian travel company that would bus rugby supporters to Hawke's Bay games. No similar bookings had been made in Hawke's Bay and the association was disappointed at the tourism industry's lack of engagement.

Wine Country's Mr Orton hoped to see better communication and collaboration within the tourism industry and between the various councils.

Venture Hawke's Bay had spent a lot of time developing a regional events strategy, Mr Orton said. While industry had been supportive of the concept it was difficult to achieve co-operation across the industry.

Mr Orton said collaboration between the five councils would lead to a cohesive strategy.

The motel association also hoped for an events strategy to encourage the development of off-season events and encourage visitors in the shoulder and winter months.