A1A ENHANCEMENT FUNDS

BACKGROUND

Since 1994, The Chamber has worked in support of the Take Part II program in an effort to redevelop our core tourist district. With tourism playing a major role in the Volusia economy, it is imperative that this area has an aesthetic quality that can be enjoyed by tourists and local residents.

Prior to 1994, the average annual hotel occupancy had declined 12 percent and the average hotel daily room rates declined 16 percent. At that time, there were over 15 hotels in Chapter 11 or in bankruptcy. It should be noted that when a hotel's occupancy is consistently down, its assessed valuation can fall and it contributes fewer tax dollars. Since then, this area has attracted over $200 million in redevelopment and the area’s occupancy rates and average daily room rates have increased significantly.

A major factor of the core tourist district is appearance of A1A. Not only does A1A have significant vehicle traffic, it also accommodates pedestrian traffic.

For the last several years, Florida’s DOT District 5 has consistently provided funds for the design and construction of A1A enhancements. This is imperative if we are to upgrade our image. The Metropolitan Planning Organizations (MPO’s) throughout DOT District 5 have supported a full range of project types funded with Enhancement dollars. Besides Enhancement funds, there are few transportation funding sources that can be spent on beautification projects. The Volusia County MPO has set aside 12.5 percent specifically for bicycle and pedestrian improvements.

POSITION

The Daytona Beach/Halifax Area Chamber supports:

§ Allowing all project types to be eligible for enhancement funding including bike paths and sidewalks throughout Volusia County

§ The continued funding of The A1A Enhancement Project in a manner that limits funding so as to increase the opportunity to fund other projects as follows:

§ The A1A project be broken into smaller less expensive segments

§ For FY 2006/07 Maximum of $1,000,000 be earmarked towards completing the A1A Enhancement Project

§ For FY 2007/08 Maximum of $1,200,000 be earmarked towards completing the A1A Enhancement Project

4/2002

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