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Officials: Extra effort paid off for Mardi Gras - The Galveston County Daily News: Local News

September 28, 2016

Officials: Extra effort paid off for Mardi Gras

Galveston bureau reports increase in causeway crossings, hotel occupancy

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  • galvestonresident posted at 7:20 am on Tue, Mar 18, 2014.

    galvestonresident Posts: 84

    The reason that there was such a high media count is because of the media's coverage of drunk driving deaths and the near riot. Mike Dean's version of Mardi Gras brings negative publicity to Galveston and the city loses money tax money at the same time. The hotels would be full without the outdoor events after 9pm that cause all of the negative publicity. The convention bureau should separate the media coverage in positive and negative and then it would show that Mardi Gras media coverage is more bad than good. Dean pays just $100,000 for an event where the security alone is $140,000. The rest of the city's expenses aren't even added in and probably add up to $500,000 while Dean pockets a million plus that could go to the city. What's worse is that the Public Information Act is not enforced so nobody knows what Dean keeps from tickets, sponsors, beer sales, parties and cash. The contract appears to be Brian Maxwell's baby to renew each year for his friend.

  • mike_dean posted at 7:21 am on Tue, Mar 18, 2014.

    mike_dean Posts: 7

    John, Nice article but you left out several key facts. Here is the complete report from the CVB on hotel revenue:

    In 2014, Hotel occupancy percentage increased by 1.6% over 2013. ADR increased by 5.7%. This combination resulted in an increase in hotel revenue of $273,407, or 13.2%, for those properties reporting to STR.
    In addition, Mardi Gras! Galveston 2014, as compared to a non-event weekend in February (2/7 – 2/8/14), showed an increases of 15.5% in occupancy, 36.6% in ADR and $980,897 (72.3%) in hotel revenue for those properties reporting to STR.

    This report only includes 70% of the hotels on the island, No beach houses, No Condos, No short term rental houses, and No bed and breakfasts.

    There is no estimation of sales tax in the report but if you use 2.25 persons per car 235,000 cars. Assume each person spends only $15 (when is the last time you went somewhere and spent $15) their injection to the local economy is $7,931,250. The sales tax generated from those low estimations is $654,328 in sales tax generated. The city's share of that number is 1%.

    The HOT tax on the nearly $1 million in hotel revenue is $150,000. My company pays $100,000. The city's sales tax share is $65,438.28. The total of all these revenue streams is $315,438.25.

  • galvestonresident posted at 7:38 am on Tue, Mar 18, 2014.

    galvestonresident Posts: 84

    What are the ticket sales, sponsor sales, and beer sales? Why can't we know this information?

  • IslandResident posted at 8:12 am on Tue, Mar 18, 2014.

    IslandResident Posts: 254

    HOT tax is 15%. City receives 6%, State - 9%.
    HOT tax revenue is $60,000 on $1 million.

    However, I believe Mardi Gras is good for the island and Mike Dean does a reasonably good job. I do believe more than $100,000 should be paid to the City. At least cover the cost of extra security.
    BTW, there were more arrests during spring break last week than at Mardi Gras. The bad news is always enhanced by the media!

  • mike_dean posted at 9:25 am on Tue, Mar 18, 2014.

    mike_dean Posts: 7

    Galveston resident. You always have a lot to say. Why won't you use your name to post? Is it then we would see where your really coming from?

  • IslandResident posted at 9:36 am on Tue, Mar 18, 2014.

    IslandResident Posts: 254

    Not sure what you mean, as I am supporting you. Perhaps you should re-read my comments. Seems you have an issue.

    Just clarifying some figures.
    There is a $60.000 error in City collected dollars.

    I did make an error on the percentage for HOT Tax (not enough coffee).
    9% goes to the City, 6% to the state. The State percentage can be reduced by 1% by paying on time by due date.

  • mike_dean posted at 12:22 pm on Tue, Mar 18, 2014.

    mike_dean Posts: 7

    It was for "Galveston" Resident not you. I appreciate your support.

  • IslandResident posted at 1:13 pm on Tue, Mar 18, 2014.

    IslandResident Posts: 254

    Thanks Mike. I guess it took awhile for the coffee to kick in and get the brain going this morning.

  • ScrabbleGuy posted at 4:35 pm on Tue, Mar 18, 2014.

    ScrabbleGuy Posts: 64

    All of this money. All these tourist. And all we get is Uncle Kracker. A one-hit wonder has-been. With this kind of money and numbers, why can't we get a good show?
    C'mon- The Line Up is a good bar band. But not a headliner!

    But then again it would mean more money Mike Dean would have to spend more $

    "FYI about Uncle Kracker: Authorities had obtained a warrant charging Kracker with a second-degree forcible sex offense. Kracker, whose real name is Matthew Shafer, was released after a district court judge reduced his bond from $5 million to $75,000." -2007 AP News

  • TCRefining posted at 7:03 pm on Tue, Mar 18, 2014.

    TCRefining Posts: 18

    mardi gras is fine ! beads people & parades...just do away with a city under lockdown... gates,beer &liquor booths, & open concerts ! the city has no rights to sell the downtown area to an open bar & music venue...at the expense and safety of the merchants,patrons,and law enforcement....

  • Rockstrongo posted at 7:34 pm on Tue, Mar 18, 2014.

    Rockstrongo Posts: 342

    You, sir, are wrong. The Line Up is a great bar band!!!