By Paul Post
Firms and organizations seeking a share of Warren County occupancy tax money have until September 15 to submit applications.
Occupancy tax is a 4 percent tax on hotel, motel, bed-and-breakfasts and short-term rentals, which is used to promote tourism in Warren County.
The total collected has nearly doubled in the past five years from $4.2 million in 2020, an historically low figure caused by COVID, to the $8 million generated in 2024.
Twenty-five percent of the money collected is distributed directly to towns and the City of Glens Falls (nearly $2.4 million in 2023) to use however they want. The Town of Thurman, for example, uses money to promote its Fall Farm Tour and Maple Days in spring.
But occupancy tax also funds Warren County Tourism Department ($2.2 million in 2023) and partially supports Lake George Chamber of Commerce and Convention & Visitors Bureau, Cool Insuring Arena and many other local visitor-related attractions and programs.
Dozens of awards totaling $861,860 were made this year to special events and organizations that requested funding.
These ranged from $5,831 for the World Awareness Children’s Museum in Glens Falls, to the highest amount ($83,130) for Lake George Winter Carnival.
The next highest awards went to Adirondack Balloon Festival ($60,000), Americade ($49,800), Adirondack Nationals car show ($48,900), World’s Largest Garage Sale in Warrenburg ($36,908), Lake George National Invitational ($36,100) and Lake George Music Festival ($31,200).
Most awards were in the $15,000 to $25,000 range.
“The priority is always to increase tourism in Warren County, specifically tourism that results in overnight visitors,” said Don Lehman, county public affairs director. “Occupancy tax is not divided by the proportion that a municipality’s properties generated. The Board of Supervisors makes decisions on allocations, but each municipality does receive a portion annually to distribute as the law allows in their community.”
Recipients must spend money upfront for projects, and are then reimbursed with the occupancy tax money they were approved for. Recipients must also provide proof of how money was spent; for example, an advertising or marketing campaign.
In a separate resolution, the county awarded $92,500 this year to Glens Falls Business Improvement District to support events such as Glens Falls Brew Fest, the LARAC June Arts Festival and Taste of the North Country.
Another $314,850 was given to six projects in the form of supplemental municipal funding. The highest amounts went to North Warren Chamber of Commerce ($100,000) for three-town regional branding, and the Town of Lake George ($100,000) to develop a park, McPhillips Preserve at French Mountain.
Lake Luzerne and Horicon obtained funding for food truck events, a portion went to Warrensburg for its Holiday Spirits event, and North Creek Ski Shuttle received money to take people from downtown North Creek to Gore Mountain ski areas.
The application review process starts with the county Tourism Department, which puts packets together for the supervisors’ Occupancy Tax Coordination Committee to review, before going to the full Board of Supervisors for final approval.
The Occupancy Tax Coordination Committee is chaired by Lake George Supervisor Vincent Crocitto.
“Warren County occupancy tax is the engine that drives visitation to the Lake George area,” county Tourism Director Heather Bagshaw said. “Funds are used for tourism projects and programs only and distributed to local municipalities, event organizers, the county tourism department and local businesses entities including the Adirondack Civic Center Coalition and Lake George Chamber. Through these collaborative efforts we have seen an increase in occupancy tax receipts each year following the pandemic.”
The county’s 2024 Occupancy Tax Spending Report is being finalized and is scheduled for release later this month.
The 2023 report, the most recent one available, said the county spent more than $10.2 million, or roughly $2.5 million more than was collected that year. Money from separate funds may be used to support various tourism-related events and programs, Lehman said.
Occupancy tax may be used to fund capital projects such as improvements to Harding-Mazzotti Arena, home to the Adirondack Thunder and numerous other events that attract visitors to Warren County. The county approved $350,000 for the arena in 2023, of which $250,000 helped fund a makeover of Heritage Hall, which hosts numerous special events and large-group gatherings.
Another $250,000 went to the Adirondack Civic Center Coalition, which spent more than half of this total on marketing to solicit new events and promote new and existing ones.
Earlier this year, the county awarded $2.5 million to the Town of Johnsburg to help pay for a new sewer system, which is expected to spur investment in the North Creek business district. The money will be dispersed in payments of $250,000 annually for 10 years unless the town is able to obtain some other type of grant funding.
Some occupancy tax money may be used for environmental projects such as eradication of aquatic invasive species in Chester, Horicon and Lake Luzerne ($150,000), to keep lakes safe and useable for outdoor recreation, which brings people to the area.
“Warren County has effectively used occupancy tax to fund tourism-related initiatives that continue to make the Lake George Area an attractive tourist destination,” county Administrator John Taflan said. “The funds support promotion of local events and festivals as well as analysis of the effects of tourism marketing and promotion. In addition, occupancy tax has been used to support several important infrastructure projects that make our local communities more attractive to visitors. Warren County has done a phenomenal job maximizing the benefits of occupancy tax.”