Community Tourism Sponsorships

Background

 

On November 23, 2017, the Province of Ontario issued the Transient Accommodation Regulation 435/17, which came into effect December 1, 2017 and provides the necessary provisions for municipalities across Ontario to implement a Municipal Accommodation Tax (MAT).

 

On October 29, 2018, Huntsville Town Council passed Bylaw 2018-131, approving the implementation of a four per cent (4%) mandatory MAT applicable on all short-term accommodations under 30 days.

​

The MAT came into effect on April 1, 2019, and has been collected from all accommodation sold for a continuous period of less than 30 days in a hotel, motel, lodge, inn, and bed and breakfast.

​

Use of revenue generated through the program

 

The tax will generate funding to promote and develop tourism within Huntsville. Sixty-two per cent of the net revenues are directed to Huntsville’s designated Destination Marketing and Management Organization (DMMO), the Huntsville Municipal Accommodation Tax Association (HMATA).

​

The remaining 38 per cent of the net revenues are retained by the Town of Huntsville, earmarked for projects and initiatives that promote and support tourism and economic development efforts that benefit residents and visitors.

​

​

Application process

​​

Eligibility

 

I. Eligible applicants

​

• Incorporated organizations (for-profit, not-for-profit, or co-operatives).

• Unincorporated associations, partnerships and/or sole proprietorships are encouraged to apply, however, HMATA may include conditions in its contribution agreement that may either require an entity to become incorporated or to partner with one or more other entities in order to deliver the project as a condition of funding.

• To be considered eligible, project benefits must accrue to Huntsville.  

• All eligible applicants must be legal entities capable of entering into legally binding agreements.

• All eligible applicants must not be in default of the terms and conditions of any grant agreement with the Huntsville Municipal Accommodation Tax Association or the Town of Huntsville.

• Applicants need not be payers of the Municipal Accommodation Tax.

• Multi-year projects are welcome.

​

II. Eligible costs

Eligible costs include all expenses directly related to the project and deemed reasonable and necessary for its execution. Examples of eligible expenses include but are not limited to the following:

• Fees paid to artists, musicians, performers, celebrities, special guests, and speakers including travel, accommodation, and bookings costs

• Fees paid for new programming

• Costs related to visitor services (e.g. shuttle buses, security)

• Marketing buys to attract tourists

• Placement of targeted paid advertising

• Media distribution costs for printed materials

• Capital costs related to equipment that can be reused within the community (tents, staging, etc.)

​

III. Ineligible and/or unsupported costs

​

Certain activities and costs will not be considered eligible, including but not limited to:

• Any expense item for which the eligibility, tourism rationale, or relevance to this program are not clearly demonstrated in the application

• Infrastructure supporting social goals, including educational facilities and healthcare services and delivery (e.g. hospices, long-term care facilities, health centres)

• Permanent staff salaries

• Budget deficits

• Infrastructure related to retail, wholesale, accommodation, and administrative facilities

• Government services

• Land and rolling stock

​

Funding

 

I. Funding criteria

​

• Applicants are eligible to receive up to 75 per cent of eligible and supported costs.

• Government stacking up to 100 per cent is permitted — all potential recipients of assistance under this program must disclose all sources of confirmed and potential government assistance before the start and at the end of the project.

• Financial assistance from government programs may have tax implications for an organization. It is recommended that applicants obtain advice from a qualified tax professional.

• Project funding is subject to board approval of funds and to the maintenance of current and forecasted program-related budgetary levels.

​

HMATA will fund based on alignment with the following criteria:

​

• Potential for increased room nights in Huntsville

• Shoulder-season programs that meet the mission, vision, and values of HMATA

• Applicant must have 25 per cent of total budget to apply (cash or in-kind)

• Applicant must be able to provide a certificate of insurance

• Applicant must provide a detailed event/project budget

• Applicant agrees to submit a final report (template will be provided)

​

HMATA may, depending on the size and nature of the application, request legal due diligence on the application as a condition of funding.

​

II. Application review

 

Applications will be evaluated on their ability to support the objectives of the program and meet the following criteria:

• Applicant can demonstrate it has an established track record in the delivery of projects

• Applicant has the expertise and the resources required to complete the proposed project

• Applicants applying on behalf of a sector or industry represent the key project stakeholders

• Applicants have established a clear project governance structure and decision-making process

• The project addresses a need identified by end users and will not duplicate existing efforts or projects

• Accountability mechanisms are in place to ensure due diligence in administering public funds and the ability to report on performance measures

• Identification of a person and position responsible for project delivery and management along with key officers that have signing authority

​

III. Assessment process

​

• HMATA will review applications following the designated intake period. After review, applications for events or projects that meet HMATA’s criteria for funding will be invited to present to HMATA’s Board. Note that funds are limited and HMATA will use a weighted system when considering eligibility.

• The Huntsville Municipal Accommodation Tax Association cannot guarantee funding to all applicants, nor can it ensure that the total amount requested by successful applicants will be granted. Past funding does not guarantee program funding. There is no appeal process for unsuccessful applicants.​

​

Confidentiality

 

All proprietary data, commercially sensitive information, and potentially valuable results or ideas will be protected from unauthorized, inadvertent, or untimely disclosure. This information will be treated in accordance with the Privacy Act.

​

These laws govern, protect, and limit the collection, use, and disclosure of personal and confidential information. Beyond the parties already mentioned above, confidential commercial information will not be shared without the applicant’s consent.

​

Visibility and communications requirements

 

Recipients must agree to participate in a public announcement and other promotional activities linked to the Contribution.

​

Other

 

HMATA reserves the right to modify these guidelines at any time without notice and may waive certain requirements on an exceptional basis.

​

Contact us

 

For more information on this HMATA program, contact us at info@huntsvillemat.com.​