Town selects Chamber as Destination Marketing Organization

The Town of Hilton Head Island has selected the Hilton Head Island–Bluffton Chamber of Commerce as its destination marketing organization and approved a new contract governing how tourism marketing will be managed and funded.
Town Council unanimously approved the professional services agreement at its Dec. 18th meeting. The contract establishes the chamber as the town’s designated destination marketing organization, or DMO, as required under South Carolina law for municipalities that receive accommodations tax revenues.

State law, specifically South Carolina Code of Laws Section 6-4-10, requires qualifying local governments to designate an eligible nonprofit organization to oversee tourism advertising and promotion using a portion of accommodations tax funds. Town officials said the selection satisfies the statutory requirement while emphasizing transparency, public oversight and alignment with community values.

The agreement includes an initial three-year term running from Dec. 19, 2025, through Dec. 18, 2028. It also allows for a one-time renewal of up to two additional years, subject to Town Council approval. The town plans to issue a new request for qualifications for DMO services one year before the end of the final contract term.

Under the contract, the chamber will be required to submit an annual tourism marketing plan and associated budget for public review and approval. The review process will include a Town Council public workshop no later than March 31 each year, review by the Accommodations Tax Advisory Committee and formal consideration by Town Council during a public meeting.

Once approved, the chamber must provide updates to Town Council at least twice a year during regularly scheduled public meetings. Those updates will cover marketing activities, budget performance, key performance indicators and measurable outcomes.

Financial reporting requirements are also included in the agreement. The chamber must submit a detailed, line-item budget using a format approved by the South Carolina Tourism Expenditure Review Committee. An independent certified public accountant will conduct an annual audit and prepare a comprehensive accounting of all town-provided DMO funds, including invoices, receipts and required tax filings. That report must be delivered to the town by Sept. 30 each year.

Town officials said information related to tourism marketing plans, budgets and accounting will be made publicly available through the website ThinkHiltonHeadIsland.org, which will serve as a centralized resource for residents, businesses and other stakeholders.

Marketing efforts under the contract are intended to reflect the town’s stated priorities, including sustainable tourism, protection of natural and cultural resources and promotion of local events and experiences. Officials said the goal is to balance economic benefits from tourism with quality-of-life considerations for resident

“This contract is about more than marketing—it is about trust, clarity and community understanding,” Mayor Alan Perry said in a prepared statement. “By strengthening transparency, inviting public engagement and aligning tourism promotion with our shared values, we are helping residents see how accommodations tax revenues are reinvested to support a strong local economy while protecting the character and quality of life that make Hilton Head Island special.

The chamber was selected following the town’s established procurement process. An RFQ issued in early 2025 generated multiple responses, which were evaluated for eligibility under state law and reviewed using industry-standard criteria. Town officials determined the Hilton Head Island–Bluffton Chamber of Commerce to be the most qualified respondent.

More information and full press release is available at hiltonheadislandsc.gov/news_detail_T6_R125.php