TTS Tells the Facts

In response to Mr. Martindale’s letter of November 29th 2006, Terrace Tourism Society would like to elaborate on some of his points and share our position with the community.

Mr. Martindale states, “…this group was able to get a huge influx of money by convincing the local hoteliers to voluntarily impose a tax on their guests. This involved creating a new board which allowed for the balance of power to favour the hoteliers and a promise to spend this new tax on promotion only.”

TTS did not form a new board. Our existing board evolved to become more accountable by developing policies and procedures that ensured the legal responsibility of collecting the hotel tax to the city, regional district and provincial government, as well as, matters pertaining to conflict of interest and confidentiality. We have never balanced in favour of the hoteliers and in no way has TTS endorsed any one group over the other. In terms of our budget allocation, our Business Plan clearly outlined how this money was to be spent; 100% External Marketing, in three market sectors (33.33% short haul, 33.33% long haul and 33.33% regional).

Indeed the matter of implementing the 2% Tax involved three levels of government. Mr. Martindale says, "… the city, promised matching funds to cover administration." These matching funds were not for administration. The fund with a cap of $40,000.00 was from the City of Terrace as an indication of their support for tourism marketing projects, as well as, an enticement for the accommodation sector to sign on. After months of dedicated work, the tax was created and approved by all parties with transfer of funds going to TTS for the development of marketing initiatives as outlined in the Business Plan and By-law 510. By-law 510 states the funds, "…shall be remitted to the Terrace Tourism Society to be applied to tourism marketing and development for the Terrace area."

Mr. Martindale goes on to say, “The society hired staff, booked ads in publications, attracted press to the town, and generally fulfilled its mandate.” At that time, TTS already had staff in place and as a result of the funding were able to hire one additional employee. Moreover, TTS not only met but exceeded their objectives as outlined in the Strategic Plan. For anyone interested in a package outlining our marketing initiatives for 2004-2005, they are available at the TTS office; located upstairs in the George Little House.

TTS acknowledges that effective marketing draws upon the synergy of the four ‘Ps’; price, product, place and promotion working in tandem. We also agree that promotion is only one aspect of marketing. TTS has never claimed to be ‘everything marketing’ or ‘everything tourism’; to do so would require multiple divisions, more resources and cost millions.

Over the years, we have consistently attempted to forge alliances with local groups to tackle these tourism marketing issues together. Our track record shows we have a strong desire to cooperate and do not want to see a duplication of services. TTS is genuinely interested in working together and supporting all other stakeholders in Terrace. In fact one of our 2007 initiatives focused on allocating funds to the community, the Community Enhancement Program (CEP). Our resources have always been accessible and will continue to be so.


The crux of the matter remains that certain members of our community wish to dissolve the existing structure of TTS and transition from an external marketing organization to a management organization, which would require an amendment to our contract, business plan and MOU. Only the membership of TTS has the right to change the strategic direction and/or dissolve our Society. At our last Annual General Meeting on May 31st, 2006, our membership clearly expressed that TTS should remain intact as a Destination Marketing Organization. Additionally, the response at the AGM showed our members to be overwhelmingly supportive of TTS with the majority extremely pleased with our accomplishments.

How can Mayor & Council so easily overlook the details of the TTS Strategic and Business Plans when a City Liaison sat as a director on our board to give input into the mandate of TTS and the development of the contracts?

On Friday, November 29th, Terrace Tourism Society received a letter from the City of Terrace pulling our funding and severing all ties with our organization.

The new tourism group, Kermodei Tourism is city owned and operated, they have said they will be ‘everything tourism’. We wish them well.