HomeMy WebLinkAboutAgenda Packet City Council - 08/26/2021City Council Workshop Session
City of Corpus Christi
Meeting Agenda - Final
1201 Leopard Street
Corpus Christi, TX 78401
cctexas.com
City Council Chambers9:00 AMThursday, August 26, 2021
FY 2022 Budget Workshop for HOT Tax, American Bank Center, Visit Corpus Christi,
Development Services, and any adjustments due to community input
Public Notice - - ITEMS ON THIS AGENDA ARE FOR COUNCIL'S INFORMATIONAL
PURPOSES ONLY. NO ACTION WILL BE TAKEN AND NO PUBLIC COMMENT WILL BE
SOLICITED.
A.Mayor Paulette M. Guajardo to call the meeting to order.
B.City Secretary Rebecca L. Huerta to call the roll of the required Charter Officers.
C.BRIEFINGS TO CITY COUNCIL:
1.21-1004 FY 2022 Budget Workshop for HOT Tax, American Bank Center, Visit
Corpus Christi, Development Services, and any adjustments due to
community input
Sponsors:Office of Management and Budget
D.ADJOURNMENT
Page 1 City of Corpus Christi Printed on 8/30/2021
AGENDA MEMORANDUM
City Council Workshop of August 26, 2021
DATE: August 20, 2021
TO: Peter Zanoni, City Manager
FROM: Eddie Houlihan, Director of the Office of Management and Budget
EddieHo@cctexas.com
(361) 826-3792
STAFF PRESENTER(S):
Name Title/Position Department
1. Matt Blasy General Manager American Bank Center
2. Brett Oetting President & CEO Visit Corpus Christi
3. Al Raymond Director Development Services
ISSUE:
This is the sixth and final City Council workshop to discuss the FY 2022 proposed operating
budget. The topics for the sixth workshop include American Bank Center, Convention & Visitor’s
Bureau, Hotel Occupancy Tax Fund and Development Services.
BACKGROUND INFORMATION:
A briefing on the FY 2022 proposed budget was presented to the Mayor and City Council on July 27,
2021. The FY 2022 proposed budget focuses on City Council and community priorities including street
reconstruction and maintenance, public safety, parks, and neighborhood services. The FY 2022
proposed budget, comprised of all funds excluding transfers, totals $1.2 billion. The General Fund budget
is $258.3 million, and the Capital Budget totals $420.1 million.
A series of six City Council budget workshops are scheduled to be held from August 5 to August 26. At
these sessions, City staff will review in detail the budget proposals with the Mayor and City Council.
Additionally, there will be five public input sessions to be held from August 9 to August 18. The budget
is scheduled to be adopted on September 7, 2021, for the City’s fiscal year which begins on October 1.
City Council Workshop on FY 2022 Proposed Budget for
American Bank Center, Convention & Visitor’s Bureau,
Hotel Occupancy Tax Fund and Development Services
The sixth budget workshop will be held on Thursday, August 26, 2021, at 9:00 am. At the workshop, the
City Council will be presented with the FY 2022 proposed for budget for American Bank Center,
Convention & Visitor’s Bureau, Hotel Occupancy Tax Fund and Development Services.
American Bank Center:
The management of the American Bank Center is contracted with ASM Global. As industry
leaders in venue management serving the Coastal Bend community, ASM Global is committed
to always doing more and providing extraordinary experiences for its clients, guests, and
employees. The total FY 2022 proposed budget for the American Bank Center is $12.3 million
which includes funding from the Visitor’s Facilities Fund (where the revenues are recorded for
both the Convention Center and Arena), Hotel Occupancy Tax Fund, and Type A Arena Fund.
The American Bank Center’s FY 2022 proposed budget includes $1.9 million for Arena projects
and $1.27 million for Convention Center projects. Arena projects include major building
upgrades and audio video enhancements. Convention Center projects include major building
upgrades and security enhancements.
Convention & Visitor’s Bureau:
The focus for the Convention & Visitors Bureau, also known as Visit CC, is to encourage overnight
visitors to the Corpus Christi area.
Hotel Occupancy Tax:
Hotel owners, operators, or managers must collect hotel occupancy tax from their guests who
rent a room or space costing $15 or more each day for 30 days or less. There are two sources
for hotel occupancy tax: local and state hotel occupancy tax. The local hotel occupancy rate is
nine percent. This includes seven percent (.07) for the municipal hotel occupancy tax and two
percent (.02) to pay for debt associated with the Convention Center. This is recorded in the
Hotel Occupancy Tax Fund. The State hotel occupancy tax is six percent. The City receives
two percent (.02) of this six percent (.06), and it is recorded in the State Hotel Occupancy Tax
Fund.
The FY 2022 proposed budget for the Hotel Occupancy Tax Fund and State Hotel Occupancy
Tax Fund is $22.2 million and includes funding from Hotel Occupancy Tax and the State Hotel
Occupancy Tax. Below is a summary of the funding and positions that would be authorized by
the FY 2022 Proposed Budget.
FUND FY 2022
PROPOSED BUDGET
AUTHORIZED
POSITIONS
Hotel Occupancy Tax $18,234,198 0
State Hotel Occupancy Tax 4,014,425 44
Total $22,248,623 44
The State Hotel Occupancy Tax Fund’s FY 2022 proposed budget includes funding for
replacement of Beach Operation vehicles and machinery.
Development Services:
Development Services will be providing follow up to Council related to the request to change
departmental fees as discussed at the City Council Workshop held on August 19, 2021.
Proposed Budget Wrap-up:
The sixth workshop will also include a discussion with the City Council on any potential budget
amendments resulting from the five public input sessions and the six City Council Budget work
sessions. A summary of all amendments will be presented to the City Council at the first reading
of the FY2022 budget on August 31, 2021. Final reading will take place on September 7, 2021.
LIST OF SUPPORTING DOCUMENTS:
PowerPoint - not attached
American Bank Center
Convention & Visitors Bureau/ Hotel Occupancy Tax
Development Services