Trend positive for area, state tourism numbers

by The City Wire staff ([email protected]) 52 views 

Tourism and business travel is one sector in the Fort Smith region showing clear signs of economic recovery — at least based on tourism tax collections in Fort Smith and Van Buren.

For the first five months of 2011, hospitality tax collections in Van Buren totaled $157,191, up 2.6% compared to the $153,197 in the 2010 period. May tax collections totaled $34,393, up 3.9% compared to May 2010. Van Buren collects a 1% tax on lodging and a 1% tax on restaurants.

“This was a promising start to the 2011 summer vacation season. So far this year each month’s collections have been higher than the corresponding month in 2010 with the exception of February. Lodging has seen a higher percentage of increase than restaurants, but restaurants receipts are showing signs of improvement as we passed the midyear point,” said Maryl Koeth, executive director of the Van Buren Advertising & Promotion Commission.

For all of 2010, Van Buren hospitality tax collections totaled $395,195, down just 0.62% compared to 2009. For all of 2009, hospitality tax collections were down 7.1% compared to 2008. Hospitality tax collections for Van Buren in 2008 totaled $410,914, up 7.4% over 2007 and up more than 14.5% over 2006.

Fort Smith hospitality tax collections during the first five months of 2011 total $279,695, up 3.3% over the $270,758 in the 2010 period. Fort Smith hospitality taxes are collected from a 3% tax on hotel room rates.

Hotel tax collections in Fort Smith during all of 2010 totaled $678,934, up 1.04% compared to 2009. During 2009, Fort Smith hospitality tax collections totaled $671,912, down more than 16% from 2008. Fort Smith hospitality tax collections in 2008 totaled $803,591, 11% more than the $723,548 collected in 2007, and more than 19% above 2006 collections.

Arkansas’ 2% tourism collection garnered $3.345 million during the first four months of 2011, up 2.51% compared to the 2010 period. For all of 2010, the tax generated $11.492 million, up 0.99% compared to 2009. The collections were off the 2008 high of $12.005 million.

The state’s tourism sector — Leisure & Hospitality jobs — fell to 103,200 jobs in May compared to a revised 103,400 in April. However, the may employment was well above the 98,000 in May 2010.