Submitted by Linda McCrary,

Chair Three Star Committee

Carolyn Whitaker, Chair Tourism Committee

David Harper, Doyle Gaines

The Macon County Three Star Committee and all its programs involve a very large group of volunteers. It is our intent to help Macon County and the cities of Red Boiling Springs and Lafayette, meet the criteria recommended by the TN Department of Economic and Community Development (ECD) and achieve excellence in community development by emphasizing foundational steps and targeting community strengths toward self-improvements in quality of life and job growth. The Governor and the Tennessee (ECD) provide guidelines through the 3-Star Program that are designed to reward counties that meet the guidelines by giving them grants, i.e. water, sewer, etc. Additionally, interest rates that the County pays on borrowed monies improve as compliance with the Three-Star Program improves.

The Tourism Committee of the Three Star Program strives to make recommendations that are in the best interest of all county taxpayers. The Tourism Committee and the entire Three Star Committee does not want to disadvantage anyone with any effort. If successful, the efforts of the group will improve the tourism industry. The Committee strives to promote the county and its attraction to tourists, retirees, businesses and residents. We also strive to help the County Commission to be in good standing with the state to obtain grants for water lines, sewer lines and low interest rated loans.

Based on the figures quoted by the owners of the various hotels, the Committee believes the following estimates to be reasonable expectations of revenue that would be collected annually with a hotel/motel tax:

Armour Hotel $599.79

Budget Inn $400.00

Donoho Hotel $400.00

Hearthstone Motel $12,000.00

Thomas House $500.00

Total $13,899.79

Less 2% collection fee - 278.00

Net tax collection $13,621.79



Therefore the county would receive an estimated $13,621.79 annually from a dedicated hotel/motel tax for tourism. For the coming year, the county has budgeted $2,500.00 for the Tourism Committee from tax payers money. There is a tremendous need for marketing for our county for the tourism industry. The 3 Star Tourism Committee sees this as a win-win for the taxpayers, and the owners of the properties, inasmuch as it will at least quadruple the taxpayer-paid advertising dollars and the owners will be rewarded with 2% of the 5% tax collected.

The Macon County Three-Star Committee and the Tourism Committee recommend the passage of the proposed hotel / motel tax by the County Commission as a means of improving the tourism industry in Macon County. The tax is to be