Solvang’s tourism industry provides for more than 1,000 jobs and welcomes more than 1.5 million visitors annually who spend an average of $190 a day.
Plus, Solvang visitors generate 53 percent of the city’s general fund revenue, derived from the 12 percent hotel transient occupancy tax (known as TOT) that visitors pay on top of their hotel room rate. For example, a visitor staying in a $100 hotel room pays an additional $12 in TOT to the city. When a visitor stays in a hotel, buys products and services and pays local wages, that tourism “multiplier effect” trickles down into all segments of our local economy.
Our year-round great weather, shops, restaurants, bakeries, attractions and cultural events we enjoy are highly sought-after by us locals and visitors alike. Solvang tourism is a major economic driver and contributes to our enhanced quality of life by providing more outstanding dining, shopping and recreational opportunities than our 5,909 city residents could possibly support on our own.
So, why is tourism in Solvang important to you? Bottom line, Solvang resident households could each pay an estimated $1,450 more annually in taxes if the tourism industry did not contribute revenues to the city. Loss of this large revenue source could cause the city to cut back on services such as maintenance of streets, roads and parks; public safety protection; and other community services.
Frankly, tourism is the only industry where consumers arrive, spend their money, then leave — making limited environmental impacts yet providing positive economic benefits.
The Solvang Conference & Visitors Bureau is the agency contracted by the city of Solvang to promote year-round tourism here. Let’s join together in recognizing that tourism is essential for Solvang’s continued economic vitality.
Tracy Farhad
Solvang Conference & Visitors Bureau
