July was no summer vacation for hotel operators in Lincoln.
An unprecedented flurry of events, from the regional convention of the Jehovah’s Witnesses to weeks of roller sports competition, helped Lancaster County set a record for lodging tax collections in a single month. Revenue generated from the lodging tax is considered a strong barometer of how hotels and bed and breakfasts are doing in filling Lincoln’s 5,357 rooms.
“I’ve been in my job for 15 years, and July was the largest-ever event month we’ve had,†said Jeff Maul, executive director of the Lincoln Convention and Visitors Bureau.
Based on lodging tax revenue of more than $408,000 in July, one could presume guests spent $10 million on lodging in Lancaster County in one summer month. Add in what they likely spent on food, gas and entertainment during any free time and one can better understand the significance of drawing events and the visitors who follow them to Lincoln.
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The city sees significant traffic from sporting events, and not just Nebraska football -- although those seven Saturdays the Huskers play at home each year are big business. The lodging tax revenue record established in July of last year was bested in September, with three Husker home football games on the schedule.
Anyone who has stayed at a hotel and had the bill slid under the door in the morning knows taxes can add a significant amount to the base rate.
The city collects a 4 percent occupation tax on hotel stays, with that money going to pay off the bonds used to build Pinnacle Bank Arena. On top of that, a hotel guest in Lincoln pays state and city sales taxes totaling 7.25 percent and state and county lodging taxes totaling 5 percent.
Of those lodging tax dollars, 4 percent is returned to Lancaster County, where the $3.25 million received in the last fiscal year is managed by the county through the Convention and Visitors Bureau and Visitors Promotion Committee. The advisory committee overseen by the county’s Board of Supervisors grants money to groups and events through its Visitor Promotion and Visitors Improvement funds.
Last year, approved grants included $2.1 million spread over several years to support expansion of the Lincoln Children’s Zoo and $3 million for work at the Lancaster Event Center that was considered necessary for Lincoln to land the National High School Finals Rodeo in 2020 and 2021.
The finals, with 1,700 athletes competing in 13 events, could bring 50,000 visitors -- or more -- to Lincoln each of those years, with an annual economic impact of more than $16 million.
Last year, the Guardians of Freedom Airshow in May brought in more than 200,000 people over two days.
The year began with Lincoln hosting the NORCECA Women’s Volleyball Olympic Qualification Tournament, included the return of the USA Roller Sports National Championships and the arrival of youth bowlers from 37 countries for the World Tenpin Championships.
In 2017, USA Wrestling will bring its World Team Trials to Lincoln.
Any time a national or international sporting event comes to Lincoln, it’s a big victory for the local convention and visitors bureau, Maul said. But hotels across town reap similar benefits from smaller-scale youth sports activities staged nearly every weekend.
Lincoln, for example, could draw more visitors if a new complex of youth baseball fields was built. It should benefit from the addition of soccer fields at Speedway Sporting Village, where the indoor multi-sports facility turned out to be a perfect new home for competitive roller skaters after the city closed Pershing Center.
“Roller skating went to a five- to six-week event last year, and that only happens with the right facility,†Maul said.
The USA Roller Sports National Championships will be back this year.
There needs to be more focus on adding demand-generating facilities that will bring people to Lincoln who otherwise wouldn’t come, Maul added.
With the right facilities, Lincoln could build on momentum from its lofty rankings.
Lonely Planet, the world’s largest publisher of travel guidebooks, included Lincoln on its list of 10 top destinations to see in 2017. It’s No. 3 on the publisher’s “Best in the U.S.†list.
That’s a feather in the cap for Maul’s sales team, which is always working to draw events to town -- big or small, annual or once-in-a-lifetime. Take next August, for example, when Nebraska will be a destination for visitors wanting a good look at the total solar eclipse.
“We’re always out there touching the markets that we think have the best return, the things we’ve had success with in the past,†Maul said. “And we believe that once we get people to come here, they’ll want to come back.â€