The first tourism public improvement districts (TPIDs) began in California in the late 1980s, seeking to generate additional marketing funds to help cities attract meetings and conventions. Today, TPIDs have expanded in destinations across the country (although they might differ slightly in name and function depending on state laws), and the Lone Star State has 10 of its own. To better understand the purpose, goals, and impact of TPIDs, Texas Meetings + Events spoke with Carla Pendergraft, executive director of the Waco TPID.
M+E: What defines a TPID?
CP: A TPID in Texas is a special district allowing cities to collect special assessments, usually a 2% fee, on consumed hotel rooms. (The TPID assessment is not a tax, it is taxable, like a resort fee.) The hotels are located in a single city, and the TPID is created via petition from area hotel owners. The monies generated from this special assessment are used to fund enhanced marketing, sales, and incentives, specifically to boost tourism, conventions, and hotel occupancy in the area.
M+E: Why is a TPID useful for meeting and event planners?
CP: Meeting and event planners are squeezed more and more by rising costs for their meetings. A solid incentive payment can really make a difference. We work with them to provide information about their meeting, and the TPID board considers their request. Once the event takes place, the planners fill out a postevent form with the results. The board reviews it once more, and the incentive check is issued to the planner’s organization.
M+E: What overall impact has the Waco TPID had on the city’s meetings landscape?
CP: The availability of incentive dollars has had a profound impact on Waco’s ability to attract meetings and conventions. It has made the difference in several key event decisions, and incentives also have allowed Waco to keep many events that were being courted by other cities.
