“When we get back, that’s going to take a couple of years,” she said. “What we are looking at optimistically is 75% of that for 2022 and 2023. By 2024 we expect to be 100%.”
Plageman said the first month’s collection indicates county hotels had about 50% occupancy, which shows they are faring better than hotels in other markets.
“Most of the industry is hovering in those 30% marks, so I was pleasantly surprised,” she said.
The first March payments were due April 30 to the CFA, the tax authority formed in 2019 to take over ownership of the convention center from the city of Dayton.
Not all hotels in the county remitted the tax. Some sent money by mistake to the county, which also has a 3% lodging tax; other payments got lost in the shuffle between changes in hotel management, Plageman said.
“We’re reaching out and making sure everybody knows what’s going on and they aren’t confused,” she said. “We’re giving people time to learn the new process.”
Lower occupancies resulting in less-than-anticipated revenue won’t slow down work at the convention center, but the CFA will likely be examining different ways to fund bigger upgrades, Plageman said.
“We’ll be in a pretty good position to look at funding options for the larger improvement pieces and those will be in phases,” she said.
The convention center reopened for business this month after being closed for events since the pandemic began.
Plageman said the facility’s financials remain solid with revenue from events picking up and the new lodging tax money along with another 3% hotel bed tax collected by Dayton that goes to the CFA.
The city of Dayton, which owned and operated the Dayton Convention Center for 48 years, transferred ownership to the CFA earlier this year. Completed in 1973, the facility has 150,000 square feet of meeting space, a 77,000-square-foot exhibit hall, 22 meeting rooms and spaces, three ballrooms and a theater.
The last couple of months have been spent addressing deferred maintenance, including fixing roof leaks, and adding air purifying equipment to elevators and UV sanitizing systems for the escalators, Plageman said.
“We’ve done a lot to give the guests more comfort and confidence around returning to the public facility,” she said.
The lobby is getting a facelift with new wall treatments and a wood-like finish for pillars along with floor repairs, carpeting and furnishings. A new logo is being incorporated into signage and the convention center’s website, Plageman said.
Credit: MONTGOMERY COUNTY CONVENTION FACILITIES AUTHORITY
Credit: MONTGOMERY COUNTY CONVENTION FACILITIES AUTHORITY
Exterior work could begin as early 2022 and may include removal of the current circular structure with the addition of a roof over the main entrance, Plageman said.
“We want a clean, trendy, upscale look to the exterior,” she said. “That roof structure gives it more dimension and more of an innovative look, but also adds shelter for folks that pull up out front at the customer drop off.”
The CFA issued a request for qualifications for design services covering a full renovation. Those are due June 3.
Over the weekend the convention center hosted the Ohio District AAU Gymnastics Championship.
“Youth and amateur sports groups are among the first to begin hosting their events again following the pandemic,” said Dayton Convention & Visitors Bureau President & CEO Jacquelyn Powell.
The AAU event, which attracted about 1,500 competitors and fans, was conducted in multiple sessions because of a continuing health order limitation. VIP Dance will hold a competition at the convention center this coming weekend.
Motel taxes in Montgomery County
Generally in Ohio, jurisdictions levy a 3% hotel/motel tax while the county collects another 3% for a maximum 6%. But language added to a 2019 state budget bill allowed county commissions to pass a resolution to create a convention facilities authority — but only if passed between July and December of 2019. Montgomery County commissioners passed such a resolution, which allowed the convention facilities authority to be formed and collect an additional 3% lodging tax, for a total of 9% in Montgomery County.
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