The District includes lodging businesses, such as hotels, motels, and bed and breakfasts, which pay Transient Occupancy Taxes. Activities are funded by a 2% assessment on gross short term (less than 30 days) room rentals on lodging businesses. The assessment commenced on July 1, 2010. A portion of the assessment (0.5%) is dedicated for marketing efforts aimed at promoting tourism in each of Napa County's local jurisdictions.
On June 15, 2010, at the request of the lodging industry in Napa County, the Napa County Board of Supervisors voted to adopt the Napa Valley Tourism Improvement District, and was endorsed by the cities of American Canyon, Calistoga, Napa, and St. Helena, as well as the Town of Yountville and unincorporated areas of the County.
The District was formed under the provisions of the Property and Business Improvement District Law of 1994 (Streets and Highways Code Section 36600 et seq.).
The local governing committee, the American Canyon Napa Valley Tourism Business Improvement District (TBID), will expend District funds on marketing programs, special event sponsorship, and other programs as authorized by the District's Management District Plan. All activities will be specifically designed to benefit lodging businesses paying the assessment in American Canyon by attracting overnight visitors.