Increased tourism tax in Manatee County now in the voters' hands

Elliott Falcione, the executive director of Manatee County’s Bradenton Area Convention and Visitors Bureau, said raising the tourist development tax will enhance the quality of life for Manatee County residents.

The tax is currently at 5%. The additional 1% the visitors bureau is proposing is expected to generate $7.8 million annually. 

Revenue from the tourist development tax pays for maintenance and improvements on amenities that both tourists and resident use, such as Premier Sports Campus and the Manatee Performing Arts Center. In 1986, 1% was earmarked for beach restoration and erosion control. 

Commissioner Ray Turner said, if passed, the additional revenue will accelerate work on Premier Park, too. 

While residents benefit from the tax, they don’t have to pay it because the tax only applies to short-term rentals of six months or less — unless, of course, they use those rentals.

The tax is billed to anyone using a hotel, an RV park or any other overnight rental with a bed. It's an added line-item, along with sales tax and cleaning fees.   

Since the tourist development tax was first levied in 1980, Manatee County commissioners have decided whether or not to increase it. 

This year, voters will decide whether or not to increase the tax because the Florida statute changed in 2023. The statute now requires any additional tourism tax to be passed through the referendum process. 

Photo by Lesley Dwyer

Commissioners can only add the referendum to the ballot, which they did during the July 30 commission meeting in a vote of 4-1. 

Commissioner Jason Bearden was absent, and Commissioner Kevin Van Ostenbridge opposed the referendum on the basis that he said he would never raise taxes when campaigning in 2020. 

“This tax is a direct benefit to the citizens of Manatee County, but not (being put) on the citizens of Manatee County,” Chair Mike Rahn said. 

Falcione said tourism brings more than $2 billion into the local economy that helps sustain businesses, and in turn, increases the quality of life for residents. 

The additional tax can only be put to a referendum because the Department of Revenue certified that Manatee County met the criteria of “high impact tourism,” which includes collecting over $30 million in tourism tax proceeds and over $600 million in rental revenues.

Only counties that meet the criteria can levy the additional 1%. Sarasota County was rated high-impact in 2022 and subsequently increased its tax from 5% to 6%.  

“You had 3.8 million visitors come to the Bradenton area last year,” Falcione told commissioners. “We look for moderate growth, but this would not be a tax that we would use to market the destination." 

Instead, the additional tax will be used to maintain and build assets.