Commission Approves Budget

Chamber, Ad Campaign Receives Raises

— The Advertising and Promotion Commission approved a 2013 budget for more than $300,000.

At A Glance

Springdale Advertising and Promotion Grants and Special Projects

-The Poultry Federation — $2,000

-Pitch for the Cure — $3,000

-ASA Softball tournament — $2,000

-A&M Railroad events — $2,000

-Children’s Christmas Train — $950

-Aqua Hogs meet — $2,500

-Church of God meeting — $750

-Special Olympics winter games — $2,000

-Kiwanis project — $2,000

-Rodeo Cowboy Hospitality Tent — $1,000

-Railroad Historical Society — $1,500

-Northwest Arkansas Tourism Association — $2,500

-2012 Texas League All-Star Game — $5,000

-Coffee and Cars — $2,500

-Airport information booth — $6,000

-Arkansas Emergency Management Conference — $5,000

-Burlsworth Award Ceremony — $10,000

Total — $51,700

Source: Springdale Advertising And Promotion Commission

The budget projects revenue of $316,500 and expenses of $305,500. The revenue from the Advertising and Promotion tax is projected to be the same as 2012, which looks to top $300,000 for the first time since the economic downturn. Tax receipts fell by a third between 2005 and 2010, according to commission records.

“We’ve held our projection to what came in this year,” said Perry Webb, Springdale Chamber of Commerce president and CEO. “We feel we might do better.”

The commission receives a tax on the rent of hotel and motel rooms in the city. The City Council raised the tax rate from 1.5 percent to 2 percent beginning in September 2011. The 2012 budget was the first to include a full year of receipts from the increase.

The budget includes a 67 percent increase from $60,000 to $100,000 for the chamber, which provides operational and administration services under a contract with the commission. The increase will allow the chamber to provide convention and visitors bureau type services, Webb said.

“This is the first increase in our contract since 1996,” Webb said. “We are following the model of the best practices in the region.”

Roger Davis, chairman of the commission, asked how the success of the chamber to attract visitors would be measured.

The success would be measured by results, Webb said.

“We have to walk a fine line between using competitive information and community information,” Webb said. “We’ll be creating a baseline in year one. After that, it should be evident if we make an impact.”

The 2013 budget projected revenue is 10.5 percent higher than the $286,500 for 2012. Expenses would be 3.7 percent higher than the projected $294,500.

Revenue is running higher and expenses lower during 2012, with one month remaining.

“I think we’ll have another $20,000 in our bank account in another month,” Webb said.

The commission has more than $70,000 in its bank account with another $70,000 in investments, according to its financial report.

“I’d like to be able to put back money each year for a rainy day account,” said Mike McFarland, commissioner.

The budget also increased its advertising budget to $150,000 from $117,000, a 29 percent increase. The advertising plan focuses on Internet ads for tourism and the market for SMERF meetings. SMERF stands for social, military, educational, religious and fraternal.

The budget includes $51,700 in special projects and grants. Special projects in 2012 totaled more than $106,000, but more than $57,000 went to a one-year expense for a Downtown Springdale Alliance study and development of the commission website.

Upcoming Events