LANSING ? Gov. Rick Snyder’s mark of $25 million to fund “Pure Michigan” advertisements was well received during a House committee hearing Tuesday on legislation that would allocate more money from the 21st Century Jobs Fund to pay for the popular campaign.
Last year, the Legislature appropriated $10 million from the jobs fund for the ads and another $5.4 million from the 2010-11 general government appropriations bill, so HB 4160 simply authorizes another $10 million from the jobs fund to meet the $25 million mark.
But perhaps more importantly, supporters said the legislation also includes language authorizing tourism promotion as a permanent use of the jobs fund money.
Lawmakers will still have to appropriate money from the fund each year, but the bill strengthens the tie the tourism ad campaigns have had with the jobs fund since it was created in 2006 through the securitization of some of the state’s tobacco settlement revenue.
“You absolutely do need a minimum of $25 million this year and going forward,” said Jim McBryde with the Michigan Economic Development Corporation. “This is the governor’s bill.”
The House Natural Resources, Tourism and Outdoor Recreation Committee heard from several business, lodging and tourism officials who praised the ad campaign, which brings in $2.94 for every $1 the state invests.
A winter ad is airing now, but another national cable buy for the spring and summer is scheduled, along with regional spring, summer and fall ad buys. The Henry Ford and Mackinac Island are partnering with the state on the national ad buy, each contributing $500,000.
Dan Musser III, president of the Grand Hotel on the Island, said the hotel has seen an increase in the number of out-of-state guests by nearly 10 percent over the last two years.
“We feel these are rooms that would have sat vacant without the ads. For the first time in our 124-year history this past Fourth of July we had more out-of-state residents as guests than in-state residents,” he said.
Rep. Harold Haugh (D-Roseville) said he’d like to see the ads go global.
“If it means Rep. (Wayne) Schmidt, has to ask for more money I think he would do that,” Haugh said of the bill’s sponsor.
The legislation is supported by several entities, including Boyne, Amway Hotel Corporation, Michigan Association of Convention and Visitors Bureau, Michigan Lodging and Tourism Association, Michigan Environmental Council, Michigan Licensed Beverage Association and the Michigan Restaurant Association.
The committee will hold a vote on the bill next week, said Rep. Frank Foster (R-Pellston), the committee chair.
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