In 2012, Portland’s hotel community united to create a new funding stream to enhance promotion of the Portland Region as a preferred destination for meetings, conventions and leisure travel. To accomplish this, Portland’s City Council passed an ordinance creating the Portland Tourism Improvement District (TID) on June 20, 2012. In June 2018, the City Council approved a new ordinance expanding the TID to include short-term rentals and hotels with fewer than 50 rooms.
What is the TID?
Portland’s TID is a city-approved and hotelier-proposed assessment of two percent per night on guest room revenues for all hotels and short-term rentals located within the city of Portland.
The TID provides a stable source of tourism funding to support sales, marketing and promotional efforts with the ultimate goal of increasing hotel occupancy and overall visitor spending in the market. Unlike the existing transient lodging tax, the funds gathered through the Tourism Improvement District assessment are managed by hoteliers, not the city. The funds are shared with Travel Portland through the existing city structure for gathering and distributing hotel fees.
With the TID assessment, Portland’s per-night hotel assessment of 15.3 percent is in line with other major West Coast cities and like-sized U.S. cities. Additionally, Portland’s lack of sales tax is an extra draw to convention and leisure visitors.
Travel Portland’s TID-funded marketing and PR efforts have produced significant results for the local economy. Intent to travel to Portland among U.S. adults nearly doubled from 2013 to 2018, according to MMGY Global research. And ad-accountability studies by Longwoods International show that Travel Portland’s consumer marketing campaigns from 2013–2017 generated incremental visitor spending of $418.5 million and incremental state and local taxes totaling $21.3 million. This translates into thousands of additional tourism-related jobs in the Portland market.
Below you can find background information on the TID, how it benefits Portland and the specific ordinance and city code language that created it.