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Resolution Declaring Results of Majority Protest Proceedings to Renew the SATMD <br />July 1, 2025 <br />Page 2 <br />5 <br />1 <br />5 <br />3 <br />backed by SATMD hoteliers and aligns with the industry norm, as about 90% of TMD <br />renewals in California—including those in major Southern California cities—opt for a 10- <br />year term. Further details are included in Exhibit 3. <br />The SATMD is a participant-driven benefit assessment district proposed to create a <br />revenue source to help fund marketing and sales promotion efforts for Santa Ana <br />lodging businesses. The City’s role in the SATMD is limited to acting as a fiscal agent. It <br />facilitates the collection and distribution of funds, but does not influence how those <br />funds are used. All decisions regarding spending priorities and marketing activities are <br />made by the Travel Santa Ana Board of Directors. Additionally, the City does not <br />contribute or allocate any public funding to support SATMD, which is entirely self- <br />imposed and funded by the participating hotels themselves. This approach has been <br />used successfully in other destination areas throughout the state to improve tourism and <br />drive additional room nights to assessed lodging businesses. The established SATMD <br />includes all lodging businesses with seventy (70) rooms or more located within the <br />boundaries of the City, which is 17 of those lodging businesses in SATMD. <br />The City has received signed petitions from 12 of the 17 lodging businesses, which <br />represent 74% of the total Hotel Visitor Tax assessment, indicating that they wish to <br />initiate proceedings to renew the Santa Ana Tourism Marketing District for an additional <br />10-year term. The Property and Business Improvement District Law of 1994 requires <br />more than 50% of assessed hotels to sign a petition in support to renew the Tourism <br />Marketing District. <br />Lodging business owners decided to pursue renewal of the SATMD in order to continue <br />with a dedicated revenue source devoted to marketing Santa Ana as a tourist, meeting, <br />and event destination. These funds have been managed by the TSA Board of Directors, <br />a non-profit tourism and marketing destination organization that was created. <br />FIVE-YEAR TSA ACCOMPLISHMENTS <br />Established with the formation of the SATMD in 2020, TSA has positioned itself as the <br />city's official destination marketing organization, effectively shaping a distinct brand <br />identity and enhancing Santa Ana’s visibility as a dynamic visitor destination. Through <br />strategic leadership, data-driven decision-making, and targeted marketing initiatives, <br />TSA has strengthened tourism's economic impact while fostering robust community <br />engagement. <br />To establish a cohesive and authentic brand identity, TSA implemented an innovative <br />branding strategy, replacing a traditional logo with signature designs created in <br />collaboration with five local artists. This community-driven approach reflects Santa <br />Ana’s cultural and artistic vibrancy. The organization also developed two <br />comprehensive three-year strategic plans, outlining a framework for sustained <br />destination marketing efforts. A critical component of this strategy was the launch of <br />www.travelsantaana.com, serving as the primary digital platform for promoting Santa <br />Ana’s attractions, businesses, and events.