Study highlights $20.9 million in tax revenue from tourism in 2023
PASO ROBLES — The Paso Robles City Council received an updated report on Travel Paso as well as a Tourism Impact Study report from staff during the Tuesday, Feb. 18, meeting. According to Stacie Jacob, president and CEO of Solterra Strategies and on the Travel Paso team, that while post-pandemic revenue is higher than in 2019, the occupancy rate trended lower in 2026 by 5 to 6 percent.
“Overall we have started to see a slightly lower trend in occupancy compared to where we were in 2019 but overall dollars are up, thats good news,” explained Jacob. “That means people are coming to Paso Robles, spending a little bit more money in those heads and beds.”
Jacob was optimistic about investments being made to improve existing properties like Paso Robles Inn and then the new hotels that are looking to be ready for occupants in 2025. Together, the Residence Inn and the Ava Hotel will bring over 279 rooms to Paso Robles. Travel Paso debuted its 2023-2025 strategic plan in 2023 that displays three objectives: collaboratively lead and advocate for Paso Robles tourism; amplify the Paso Robles brand through strategic marketing initiatives; and foster constructive relationships and strengthen existing partnerships.
Tracey Dauterman presented the team’s efforts in their various marketing and advertising campaigns. The team has also sponsored 18 events in 2025 using $97,000 in grant funds.
Later in the meeting, a report was given on the economic and fiscal impact of tourism in the city. Economic Development Manager Paul Sloan clarified for residents that Travel Paso does not receive any funds from the city. Research Manager Stafford Nichols of Beacon Economics presented his firm’s results from his company’s study, which highlights the economic, fiscal, and social impacts of tourism for the City of Paso Robles in 2023.
The report emphasized that tourism generates significant economic output, supports thousands of local jobs, and contributes essential tax revenue, benefiting the city’s economy and residents. Tourist spending in Paso Robles has a multiplier effect, with every dollar spent generating $1.34 in the county economy. This spending supports local businesses such as restaurants, retail stores, and hotels, while also fueling growth in secondary industries like transportation and property management. The tourism sector sustains 3,424 jobs, providing $156.6 million in labor income across various skill levels.
Tax revenue from tourism is a major funding source for city services, contributing $20.9 million in 2023. Of this, $17.5 million supported the General Fund, accounting for 37 percent of its total revenue. Tourism-related taxes also helped fund public services, including law enforcement and emergency personnel. According to their report, without tourism revenue, each household in Paso Robles would need to pay an additional $1,779 annually to maintain city services.
Councilmembers unanimously approved to receive the report with Mayor John Hamon absent from Tuesday night’smeeting.
Council also unanimously approved the Interim City Manager Employment Agreement between the City of Paso Robles and Chris Huot. City Attorney Elizabeth Hull presented the agreement, which says Huot’s annual compensation will be the same as former City Manager Ty Lewis’s payment at $256,915.10 plus benefits. Huot will remain in place as the interim city manager until council decides how they will move forward to place a permanent city manager within the next few months. According to Hull, council will decide during a closed session where they will provide direction to staff to either appoint a new city manager or move forward with a search.
“The public is being very well served,” said Mayor Pro Tem Steve Gregory about Huot’s service as acting city manager.
The next Paso Robles City Council meeting is scheduled for Tuesday, March 4, at 6 p.m.
