Room Tax Commission

Minutes Agenda City Website ↗

The Room Tax Commission approved its 2026 budget even as it reported 2025 room-tax revenue falling short and reserves projected to drop below the commission’s own target. It also voted to start a conflict-of-interest policy and, until that’s adopted, to keep the City Manager from voting on budget matters.

Approved the final 2026 Room Tax Commission budget, with a contingency: add $5,000 to “Wayside and Trails” if Parks & Rec doesn’t get the Vibrant Spaces grant. That’s a small but real signal the commission is budgeting around grant uncertainty instead of guaranteed revenue.

Voted to create a conflict-of-interest policy and, until it’s adopted, require the City Manager to sit out budget votes. This is the commission acknowledging a governance gap and trying to patch it midstream rather than after a problem blows up.

Heard that 2025 room-tax revenue was running well below budget, with the downturn starting in April; reserves were forecast to end 2025 at $62,299—below the commission’s $90,000 goal—setting up likely budget adjustments in early 2026.

Bonnie Shimulunas

She urged the commission to keep working together and communicating better so the community understands what the Room Tax Commission does, and said she appreciated the group’s engagement and thoughtfulness.

REVIEW 2025 YTD TOURISM & ROOM TAX BUDGET TO ACTUAL
Staff reported 2025 room-tax revenue was significantly below what was budgeted, with the slide starting in April. They pointed to the NFL Draft as an example of an event expected to boost bookings that didn’t materialize for Two Rivers, and said they’re tracking events to improve future budgeting. The reserve fund was forecast to end 2025 at $62,299—below the commission’s $90,000 goal—so the commission expects to revisit 2026 budget adjustments at the Q1 2026 meeting.
REVIEW AND APPROVE FINAL 2026 BUDGET
Passed 4-0 (1 abstain)
The commission approved the 2026 budget, but only after line-by-line discussion about potential savings and a frank conversation about conflicts of interest. Members agreed a conflict-of-interest policy needs to be written and brought back by Q1 2026; until then, they voted that the City Manager should not vote on budget issues. They also added a contingency to increase the “Wayside and Trails” line by $5,000 if Parks & Rec doesn’t land a Vibrant Spaces grant—another reminder that parts of this budget depend on outside funding that isn’t guaranteed.
Roll call vote 4 yes
Curt Andrews yes
Mark Bittner yes
Rick Carey yes
Kyle Kordell abstain
Bill LeClair yes
Roll call vote 4 yes
Curt Andrews yes
Mark Bittner yes
Rick Carey yes
Kyle Kordell abstain
Bill LeClair yes
TOURISM DIRECTOR HIRING UPDATE
The City Manager said the Tourism Director job posting would close Dec. 22, 2025, and described “strong interest” from in-state and out-of-state candidates. A named hiring team was set to review applicants and run first-round interviews. Separately, the City Manager said the goal was a couple weeks of overlap between the incoming director and Joe Metzen’s retirement, which could create budget impacts the commission should watch as 2026 begins.
REVIEW COMMITTEE MEMBERS FOR 2026
Members discussed 2026 commission makeup: Curt Andrews and Rick Carey planned to continue, while City Council still needed to pick its two representatives (currently Mark Bittner and Bill LeClair). The commission also signaled it expects to vote in 2026 to make the City Manager a standing member going forward—an important governance change given the same meeting’s conflict-of-interest concerns.