Taxes and Tourism: $6M Local Match Highlights Limits of $60M Investment

A $60 million investment in tourism assets across Rutherford County is drawing renewed scrutiny after officials confirmed that most of that funding cannot be used to help residents rebuild after Hurricane Helene.

At the Board of Commissionersmeetingon April 6, Economic Development Director and Tourism Development Authority Executive Director Don Cason pointed to the total as a sign of growth.

“Rutherford County can brag and be proud that we have tourism assetsrelated in the last six years, $60 million,”Cason said.

But those funds — largely generated through occupancy taxes paid by visitors — are restricted under North Carolina law to tourism-related purposes such as marketing, promotion, and visitor-focused infrastructure.

They cannot be used for housing repairs, direct financial aid, or general recovery efforts from a historic hurricane under existing state law.

Cason also noted that about $6 million in local tax dollars has been used to match funding for some projects, including the Legacy Soccer Complex, a joint venture between the county and the Town of Forest City.

Commission Chairman Bryan King emphasized that tourism dollars are separate from the county’s general fund. Theyare not available toaddress local recovery needs.

The limitations highlight a growing divide: while tourism projectscontinue tomove forward, many residents must rely on insurance, state and federal aid from FEMA, or personal funds to recover from storm damage. 

Officials say tourism investment is intended to drive long-term economic recovery — even as many short-term needs remain unmetover18 months after the hurricane.