Julie Yates
Pryor Personnel and Budget Committee discussed changing the application process for hotel/motel tax funds.
The City of Pryor gives out its hotel/motel tax dollars in grants to organizations that promote toursim and economic development for the city. Organizations must apply for the grants and provide receipts before they are reimbursed in a grant.
The groups applying hold specific events and activities that draw people into the town, generating tax revenue for the city.
Mayor Jimmy Tramel described the application process as cumbersome because the organizations have to spend the money up front and then provide proof of purchase. Tramel told budget committee members that he wants to simplify the process.
Tramel suggested allocating a percentage of the funds to certain organizations that apply annually.
The mayor’s suggestion included providing Pryor Area Chamber of Commerce with 40 percent of the hotel/motel tax funds. Tramel said he wants to give Pryor Schools 15 percent for sports tournaments so the school will have promotional funds.
Tramel said the city could designate 5 percent each to American Legion Baseball, the girls softball league, Pryor Youth Baseball Organization and other groups who apply yearly.
Tramel said the city could keep 10 percent of the funding in reserves for other organizations who apply. An additional 10 percent could be kept for nondiscretionary funding, the mayor said, in case a group needs extra funds.
Tramel said changing the system would allow the organizations to have money up front for spending. They would be required to provide receipts showing how the money was spent at the end of the year.
Committee member Drew Stott said he feels the paperwork is necessary for a system of checks and balances.
“If you give the money up front, you don’t have any control over how it’s spent,” he said.
Tramel said he agreed, but added, “It’s a hassle for the city clerk’s office. It’s a hassle for the auditor.”
City Clerk Eva Smith said the only thing cumbersome about the application process is when the applicants don’t have the proper paperwork ready.
Stott questioned how the Pryor Chamber of Commerce paid for promotions before grant funding was available. “What did the chamber do before?” he asked.
Tramel said he’s been told that a town without a good chamber of commerce is stagnant. “They’re a vital aspect of the city,” he said.
Stott maintained his
argument, saying he feels the expenditures need to be pre-approved and proof of purchase provided.
“I’m just trying to simplify the process,” said Tramel.
Committe Chairman Garry Harris said he likes the checks and balances system.
“It’s just tough for these people to come up with that kind of money,” Tramel said. The mayor said by ordinance, the city is not supposed to
give the funding to specific organizations, but only certain people who apply for it.
Smith said there are not many organizations that apply for the funding. She said though organizations are allowed to apply every year, the groups are encouraged to not rely on hotel/motel grants for their main source of funding.
“Perhaps we’ll find some common ground between the two extremes,” Tramel said.
The committee recommended council approval for reimbursing Pryor Youth Baseball Organization $8,480.85 from hotel/motel funds.
