We are in this together

A Tourism Development District (TDD) is a hotelier-proposed and city-approved assessment (not a tax) that provides a stable funding source to support group sales, marketing, and promotional efforts. The ultimate goal of a Tourism Development District is to increase year-round hotel occupancy for lodging businesses and generate overall visitor spending in the market.

Funds raised through an assessment on lodging businesses are used to provide services desired by and directly benefit the hotel businesses in the district. As a result, cities across the country are increasingly turning to TDDs as a tool to boost their tourism efforts, retain business, remain competitive, and positively impact the community through year-round visitation.

Visit Portland’s responsibility is to ensure that the Portland region experiences strong visitation year-round, making this a viable destination for business investments for years to come and an excellent place for residents to live and work. To effectively meet these needs, we needed to expand our marketing budget. Over the years, Visit Portland has creatively raised marketing dollars to promote us as a vibrant tourism destination. Still, it was no longer enough to meet the demands of the growth happening within our community. We had to evolve...

The PTDD was formed by utilizing the Maine State Development District Law.  Based on the law, the properties within the district will be assessed.  Assessed properties are non-seasonal lodging properties within the City of Portland with more than 40 rooms.  All combined assessments will make up the marketing budget for the district. 

In September 2023, Portland established Maine’s first Tourism Development District (PTDD) through

the Maine State Development District Law. Like the Portland Downtown District, participating properties will have an assessment imposed upon them.

• The participating 23 hotels (non-seasonal properties with 40 rooms or more) will receive an assessment invoice from the City of Portland.
• Hotels will pay the assessment invoice to the City.
• The City then passes all funds, less a 10% administrative fee, to Visit Portland.
• Visit Portland is the fiscal agent for the funds to build, manage, and implement a development / marketing plan.
• A Board of Directors, including a city appointee, oversees all funds.
• Each year, Visit Portland will present a new PTDD Development plan and budget to the City of Portland City Council for approval.
• Visit Portland will provide an annual report of all programming related to the Development Plan.
• Portland was the 210th district to pass in the U.S.

The ability to form the district is through the Maine State Development District Law.  It’s the same concept as the Portland Downtown District.  The law requires a formula to establish an assessment amount for each property.      

The formula used begins with your hotel classification, as defined by STR.  It’s then based on 50% occupancy x the US average ADR for that classification, multiplied by 1.5%.

Visit Portland, formerly the Greater Portland Convention & Visitors Bureau (CVB), is a 501(c)6, not-for-profit Destination Marketing Organization (DMO) responsible for promoting the Greater Portland region since 1982.

A destination organization is a community asset responsible for programs promoting a community as an attractive travel destination and enhancing its public image as a dynamic place to live and work.

Through their knowledge of the destination, brand management, promotional programs, and resulting impacts of visitation, DMOs strengthen a community’s economic position and vitality, which increases the opportunity for all the residents in the destination.