It had $3 million in an account, but no way to get the money out of that account.
The bookkeeping bugaboo threatened to undo or diminish advertising contracts negotiated with television networks and cable stations, magazines read by people likely to vacation in Utah, newspapers in selected cities and with various Web sites.
But the problem was resolved Wednesday when the state Senate gave final approval to legislation creating a mechanism to unplug the money-flow blockage. Only Gov. Jon Huntsman Jr.'s signature is needed to release those funds so they can be used to attract more out-of-state tourists to Utah.
"This will give us continuity and an ability to build on the momentum we created last winter with the launch of our new brand, Utah - Life Elevated," said Leigh von der Esch, the Utah Office of Tourism's relieved managing director.
"We will be able this year to start in [targeted] markets so much sooner than last year. We didn't even launch the brand last year until April 5 . . . and our commercials didn't start running until after July 4. But this year we'll be in the market in March and April."
An early start particularly benefits rural Utah, von der Esch noted.
Unlike winter promotions, which largely emphasize skiing outside Salt Lake City and near Park City, summer ads highlight a geographically diverse package of recreational opportunities - everything from theatrical productions and symphonies in Park City to Utah's Scenic Byways and cultural heritage areas along U.S. 89.
And, as a national travel consultant told the Utah Board of Tourism Development last week, the summer market is important to Utah. Ski visitors may spend more money per person, but the state draws more tourists overall during the summer.
"Pay more attention to summer," advised Sindy Koehler of D.K. Shiflett & Associates.
Tourism officials had planned to do just that with their upcoming summer campaign. In December, the board approved a package of ad placements - leaning heavily toward cable television - that required the state to put money down by Feb. 1.
That money was to come from a restricted account set up several years ago when the Legislature increased funding for tourism promotion.
At that time, lawmakers set up a system that tracked the sales tax revenue generated by tourism. If Office of Tourism promotions increased those tax returns by more than 3 percent, the additional money went into the restricted account. The tourism office was eligible to receive 50 percent of that additional revenue, up to $3 million, to reinvest in more out-of-state ad campaigns.
The Legislature's initial investment worked. Tourism taxes rose. The Tourism Office was eligible for the whole $3 million. But when the time came to use those funds, state officials discovered that the initial legislation lacked a mechanism for transferring the money from the restricted account to the general fund and, from there, to the Tourism Office.
Fixing the oversight this session took von der Esch from "highs to lows to semi-highs again" as lawmakers tinkered with the bill. Ultimately, it passed Wednesday.
"All around the state, this money will assist those [tourism groups] trying to get the Utah product online," said von der Esch. "This is just what [lawmakers] envisioned when the legislation passed."
mikeg@sltrib.com
