Avalon’s economy is thriving, according to City Manager Ben Harvey (pictured left).
Catalina Island Chamber of Commerce figures visitor driven revenues for the first six months of 2014 appear to support Harvey’s position.
According to the Chamber figures, total visitor driven revenues to the city have increased 15.5 percent for the year-to-date.
The transient occupancy tax (that is, the hotel bed tax), wharfage fees, sales taxes and other city revenues have all increased.
Avalon’s economy is thriving, according to City Manager Ben Harvey (pictured left).
Catalina Island Chamber of Commerce figures visitor driven revenues for the first six months of 2014 appear to support Harvey’s position.
According to the Chamber figures, total visitor driven revenues to the city have increased 15.5 percent for the year-to-date.
The transient occupancy tax (that is, the hotel bed tax), wharfage fees, sales taxes and other city revenues have all increased.
Harvey said Avalon has had a terrific season and more money is coming into the city.
“We’re doing well over here,” he said.
Specifically, city fee and tax revenues are increasing.
Harvey said the Catalina Island Chamber of Commerce and Visitors Bureau has an auditor come in and look at the revenues. The city provides funds annually to the Chamber of Commerce.
Interim Finance Director Chris Woidzik said the figures are available up to June because the City of Avalon uses the accrual method of accounting. He said the city was trying to report revenue in the month the revenue was earned.
Woidzik said Avalon businesses have 30 days to pay the city the taxes owed for the month just ended. He said the city keeps the books open to account for the payments that come in later.
Woidzik also said he expected to get monthly revenue reports out by November.
Harvey said that because of the increased revenues, Avalon’s deficit would be smaller. He could not say how much smaller because, as he pointed out, increases in visitors bring an increase in the use of the city’s infrastructure.
Harvey said it was the city’s goal to have a budget adopted in November. He said the budget would reflect that the city was doing well.
According to both Woidzik and charts based on the financial information, Avalon revenues have been increasing from 1996 to the present.
“The up-tick that we’re seeing is just fantastic,” Woidzik said.
The transient occupancy tax, for example—which is the bed tax on hotels, managed property and singles—has increased 11.3 percent for the year-to-date when compared with TOT income for the first six months of 2013.
The increase on a month-to-month basis has mostly been positive and significant. For example, the TOT revenue for January 2014 was 50.1 percent greater than January 2013. In February, the increase was 36.5 percent.
March 2014 saw a decrease in revenue by 10 percent from March 2013.
April 2014 saw a modest 2.4 percent increase in TOT revenue, followed by a 35.8 percent increase in May 2014 when compared with May 2013.
Admissions tax revenues have increased 26.4 percent more for 2014-to-date (that is, June) than for the first six months of last year.
Harbor Use Fees have increased 25.7 percent.
Sales tax revenues increased by 7.6 percent in the first six months of this year.
Wharfage fees fro cross-channel carriers increased by 12 percent.
Wharfage fees for cruise ships increased by 71.5 percent.
