The Franklin Tourism Development Authority (TDA) reported strong occupancy tax revenues during its April meeting, with January and February ranking as some of the best months on record. The board also discussed upcoming events, environmental initiatives and a proposed budget for the next fiscal year.
Good visitor months
The TDA reported strong occupancy tax revenues at the start of the year, with January totals reaching $10,838.80, the second-highest on record, following an adjustment for a late payment received in February.
February revenues reached $10,042.76, marking the highest February total recorded in the past 16 years. Officials expressed satisfaction with the results.
Year-to-date expenditures total $101,787.87, leaving a remaining balance of $78,212.13. At this point in the fiscal year, the TDA is operating with a surplus of $20,007.01, with a total fund balance of $174,964.66.
Marketing efforts
The board also pointed to increased engagement through its marketing efforts. Social media content generated more than 712,000 views, while website traffic exceeded 21,000 clicks, more than double the organization’s monthly goal. Email campaigns performed strongly, with click-through rates reaching up to 8%, several times higher than the industry average of 1.4%, thanks, in part, to some new tools offered by the e-mail campaign software.
Some of the top performing advertising included the Sweet Carolina Music Festival, the Appalachian Trail Days celebrations, and the Pickin’ on the Square promotions.
Local funding requests
During the meeting, the TDA reviewed a report on the 2025 Taste of Scotland Celtic Festival & Highlands Games and considered a $3,000 application for this year’s 27th annual event. Board members questioned why the requested amount of $3,000 was double last year’s $1,500 allocation. Festival organizers were not at the meeting to discuss the request. A vote on the request is scheduled for next month.
A presentation from the Mountain Roots Bluegrass Festival included a request for $3,500 and prompted board members to raise questions about advertising, logistics and safety measures. A vote on whether to sponsor the event will take place at the next meeting.
The TDA will vote on both events at the May meeting.
The board also discussed a funding request from the Special Liberty Project for its Healing Hope Retreat for military widows. While members expressed support for the organization’s mission, some raised questions about the event’s direct impact on local tourism.
“I like the message. I like the foundation. I believe in it. I think it’s wonderful what they’re doing,” Heather Childress said, adding that the event may be more limited in scope as a tourism driver.
The board considered a motion to fund the project at $2,000, matching last year’s allocation; however, the motion did not carry.
An application from the Smoky Mountain Pregnancy Care Center for the Sweet Carolina Music Festival, which requested $8,000, was approved for $4,000 in funding from the TDA, $1,000 more than last year.
2026-27 budget
Later in the meeting, a proposed budget for fiscal year 2026-27 was presented, with a recommendation to increase it to $225,000 from $180,000, a $45,000 increase. Officials said the adjustment is intended to support longer-term planning and provide greater flexibility for tourism-related initiatives.
Under the draft proposal, advertising and marketing funding would increase significantly from nearly $130,000 to $148,500. The board voted to extend the marketing contract with Stewart Communications for another year.
Funding for festivals and events would remain unchanged. The proposal also includes an increase in undesignated and miscellaneous funds to $42,550, intended to allow for future capital purchases or multiyear project planning. Required audit and bond expenses would rise slightly to $3,950.
Officials noted that the TDA operates under a state-mandated two-thirds marketing and one-third tourism-related spending structure, and that any unspent funds would remain in the authority’s fund balance and could be reallocated in future budget amendments approved by the Town Council. The board voted to submit the $225,000 proposal to the town for consideration ahead of the April 20 budget work session.
Stewardship
A proposed River Stewardship Charter was also introduced by board member Angela Martin, owner of Alarka Expeditions, outlining a vision for balancing tourism development with the protection and interpretation of the region’s natural and cultural resources along the Little Tennessee River.
And while the board members supported the idea, they felt it didn’t fit the scope of the TDA’s mandate and it was more appropriate at the town council or county commissioner level.
The next scheduled TDA meeting is Monday, May 11 at 5:30 p.m. in the Town Hall Board Room.