WI AB1009

Cities, villages, towns, and counties may create tourism promotion improvement districts containing at least two hotels/motels to fund tourism promotion activities and infrastructure improvements through assessments on lodging properties within the district.

District creation requires a petition from owners of at least 50% of hotel/motel rooms, a public hearing, local legislative body approval, and no objection from owners of 50% or more of rooms within 30 days of approval.

The Department of Revenue collects assessments from hotels/motels using the same process as retail sales tax returns and distributes funds at least quarterly to private nonprofit owners' associations that manage district activities.

New districts may levy assessments for up to 5 years, renewed districts for up to 10 years, and bond-financed districts for the lifetime of the bonds; hosting platforms may charge up to 5% for collection, and businesses may retain up to 5% for administrative costs.

Districts must dissolve if owners of at least 65% of rooms request dissolution in writing during the first 30 days of any operating year, and remaining funds after dissolution must be spent consistent with the operating plan.