Prospect Heights establishes tourism zone

Prospect Heights aldermen voted Monday to establish a tourism zone within the city, a move officials hope will raise sales tax revenues and allow for beautification programs in the area.

The move also marked the end of the city’s Convention and Visitor’s Bureau. The city, at the request of local hotel owners, will join the North Shore Convention and Visitor’s Bureau.

As part of the moves, the city will create a tourism board of five members appointed by the mayor, at least three of which must be hotel owners, operators or employees in the tourism zone.

Mayor Nick Helmer pointed to Prospect Heights’ status as a non-home rule community in explaining why the move was necessary. City revenue is generated primarily through sales tax revenue and tourism revenue. The tourism zone, Helmer said, would attract both.

“What we wanted to do is generate hotel traffic,” Helmer said. “People eat, sleep and spend taxable dollars there.”

The tourism zone extends from Milwaukee Avenue and River Road north to the Chicago Executive Airport and west to Wolf Road, an area in which there are six hotels.

The tourism district will generate revenues through a 5 percent hotel tax. That money will be used for beautification projects and for two additional police officers in the tourism zone.

Additionally, half of that money will be returned to the hotels, who must spend it on tourism-generating functions such as advertising or special events.

Helmer said it’s important to use the beautification projects to establish a city identity. Ultimately, Helmer said, additional tourism will lead to an increase in sales tax revenue, money that can then be used throughout the city.