BROOKVILLE, Pa. (EYT) – The Clarion and Jefferson County Commissioners have received termination letters from a Camp Hill law firm representing the Pennsylvania Great Outdoors Visitors Bureau (PAGO).
Pictured above: Commissioners Jeffrey Pisarcik, Herbert L. Bullers Jr., and Scott North during the June 27 commissioners meeting.)
“In light of the fact that there appears to be no trust between the parties at this time, and there is significant information of other activities by your county with respect to its relationship with our client, we advise that the relationship of Northwest Pennsylvania Great Outdoors Visitors Bureau as recognized Tourist Promotion Agency (TPA) with Clarion County shall terminate at midnight, Monday, July 31, 2023,” wrote Keith A. Clark of Shumaker Williams PC to Clarion County Solicitor Christopher Gabriel.
A similar letter was also received by Jefferson County, according to Jefferson County Commissioner Scott North.
Jefferson County was already planning a decertification process to eliminate PAGO as the recognized TPA. PAGO currently includes Cameron County, Clarion County, Elk County, Forest County, and Jefferson County.
The hotel tax charged in each county is at stake as the major funding source for PAGO and county tourism projects.
Clarion County and Jefferson County collect the most hotel taxes of the other PAGO counties. Clarion County has the largest number of rooms with several lodging options at Interstate 80 Exit 62 and Cook Forest. All other counties have established a five percent hotel tax, but Clarion County has remained at three percent.
Without Clarion and Jefferson Counties in PAGO, the Great Outdoors might not be so great.
Both counties will seek legal advice on proceeding in response to the termination letter and examine the possible impact on the counties, if any.
The letter caught the Clarion County Commissioners by surprise.
“If they don’t want to work with us, I don’t want to work with them,” Commissioner Ted Tharan stated. “Following our legal advice, we will work on what is best for promoting Clarion County. All options are on the table, whether selecting a new TPA or even including it with a local organization within Clarion County government. Everything is on the table.
“It’s actually tax money that we’re giving to someone. We have the right to know what it’s being spent on. We sent them (PAGO) a letter demanding this information because, by law, we have the right to see the information, and we couldn’t get it. We finally said we must have it by the 31st of the month. Instead, we get a divorce decree. That’s what spearheaded their letter.“
Hotel Tax Map
The three percent room tax in Clarion County goes to Treasurer Karyn Montana quarterly. Clarion keeps a three percent administrative fee and then sends that 97 percent to PAGO. Every county has a different arrangement.
Of the money Clarion County sends to PAGO, it can use 50 percent of that money to run the Great Outdoors. PAGO holds the other 50 percent in an account for Clarion County. The county hotel tax committee recommends to the commissioners, who authorize what they suggest to be paid out of the county’s share of that money.
The conflict arose when the county asked PAGO to match a county project, and PAGO decided not to provide funding from their share of the hotel taxes.
For example, Jefferson County recently requested funding for research on increasing tourism in Punxsutawney and on the interest created by Punxsutawney Phil. “PAGO stuck their heads in the ground and did not fund their share.”
Additionally, Clarion County asked that PAGO fund a portion of Clarion County Economic Development‘s Analysis of Tourism and Promotional Opportunities. It was another “No” from PAGO.
PAGO not interested.
“We felt analysis of tourism in this area was part of their obligation under the TPA,” Tharan explained. “They wouldn’t pay any of their money towards it and told us that we could use our money. We would have to come up with a 25 percent match. We said, ‘No, that’s an expenditure; that’s a hundred percent payable by our hotel tax money.’ And they said, ‘No, it’s not.’”
The big concern for Clarion County is how much of PAGO’S budget is being used to promote only Clarion County. Transparency of the financial operation of PAGO was questioned because of recent decisions to cancel advertising for Clarion County.
Tharan said PAGO abruptly canceled its advertising contract with exploreClarion.com for promoting Clarion County tourism activity. Commissioners met with Joanne Bauer of Explore to build a promotional package for Clarion County.
”We told them (exploreClarion.com) that when they figure this proposal, we don’t want selective businesses and establishments to be advertised only if they pay $200.00,” Tharan explained.
According to Tharan, PAGO currently charges members an extra $200.00 to be mentioned in ads.
Commissioners are now considering a one-year contract with exploreClarion.com at $3,000.00 per month.
All contracts must be approved at an official meeting, and a vote could come at the next meeting.
Some of the things in exploreClarion’s proposal include all restaurants, all lodging, all hotels, motels, Airbnb’s, cabins, and all other locally-owned businesses, including a restaurant guide. Exploreclarion.com and Cook Forest.com will create a restaurant guide that features all the county’s restaurants, bars, breweries, and wineries.
“So, if someone’s sitting in Cook Forest in a cabin, and it’s raining, and they want to go out and eat, they can go right there and find every restaurant and brewery they could go to. A guide that will include restaurant specials and biweekly business spotlights. Businesses will be featured in a prominent location, and each article will be shared on social media.”
Economic Development is also an important ingredient.
Clarion County Destination Improvement is a place to enhance Clarion County as an overall destination. Clarion County’s Comprehensive Plan and the CCEDC Economic Development Strategy identified tourism development as a major objective. The goal is to grow Clarion County as a destination market for leisure and travel businesses. The initiative began in 2022 after research showed Clarion County was losing market share within its tourism area.
“Our growth was outpaced by neighboring and competing counties, regions, and inflation. Funds allocated to date are $63,500.00 to the Destination Improvement from hotel tax dollars. The Appalachian Regional Commission has also joined the initiative with a grant for $35,000.00 for almost a total of $100,000.00 for Clarion County to act as a tourism leader within our markets.”
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