The investment supports San Diego’s continued competitiveness as a premier travel destination at a time when destinations near and far are competing aggressively for visitor spending and overnight stays.
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In an uncertain economic environment, SDTMD makes a significant investment to drive an estimated 6.8 million hotel room nights.
SAN DIEGO (July 7, 2025) — The San Diego Tourism Marketing District (SDTMD) has allocated $50.47 million in funding for tourism marketing in its 2026 fiscal year, which began July 1. The funds are distributed through grants awarded in a competitive process to applicants supporting programs and events expected to drive 6.8 million stays at SDTMD hotels in the City of San Diego.
“SDTMD is looking at FY2026 with a sense of ambition. In the face of potential industry headwinds, we’re ensuring ongoing and consistent investments in the health of our TMD hotels,” said SDTMD Board Chair Richard Bartell. “The City of San Diego will once again host a vibrant lineup of beloved returning events, as well as new experiences, to welcome visitors and provide more opportunities to explore our rich culture and unmatched hospitality.”
The SDTMD is self-funded through an assessment on room nights paid by visitors in City of San Diego hotels with 70 rooms or more. The proceeds are designated for tourism marketing to help increase overnight hotel stays. As a result of this investment, overnight visitors generate transient occupancy tax, or TOT, which helps fund city services, and tourism supports thousands of direct jobs while attracting billions in visitor spending to the city.
SDTMD tourism marketing grants for the fiscal year that just ended June 30 totaled $50.9 million. In recent years, every SDTMD dollar invested in tourism marketing has generated a return of $31 to $34 in hotel room night revenue and helped maintain San Diego’s position as a top travel destination secure.
The 2026 financial year grants include:
SDTMD supports tourism opportunities during traditionally slower travel periods with its grant funding. This practice helps to sustain steady year-round tourism. A full list of FY2026 grant recipients can be found at www.sdtmd.org/sdtmd-grant-recipients/.
Collectively, SDTMD’s grants are projected to drive more than 6.8 million room nights (up from a projected 5.9 million last year) to generate more than $1.47 billion in room night revenue, in addition to more than $155 million in TOT for the city. For more information, visit www.sdtmd.org.
Event organizers around the City of San Diego are encouraged to prepare and submit grant requests in November 2025 when the SDTMD issues its next call for applications for FY2027. Learn more at www.sdtmd.org/applications.
About San Diego Tourism Marketing District
The San Diego Tourism Marketing District (SDTMD) is a nonprofit, mutual-benefit corporation dedicated to improving lodging room night consumption in the City of San Diego. SDTMD provides a private, nonprofit funding vehicle to stimulate City of San Diego lodging room demand through tourism promotion, marketing and advertising programs. The judicious allocation of these resources creates a positive economic, fiscal and employment impact on lodging businesses in the City of San Diego. For more information, please visit: www.sdtmd.org.
The San Diego Tourism Marketing District (SDTMD) has allocated $50.9 million in funding for marketing programs and events for fiscal year 2025, which began July 1, to drive overnight visitors to the City of San Diego and increase local hotel occupancy. This year’s tourism marketing grants are the second largest in the organization’s history, after a record $52.5 million was made available last year.
“As we kick off FY2025, we’re excited to build upon the record investment made in FY2024 as we continue building and nurturing a roster of engaging events that attract more out-of-town visitors who fill more hotel rooms,” said SDTMD Board Chair Richard Bartell. “It’s good to be back on solid ground as we look ahead to another strong year for America’s Finest City.”
This year’s funding is the result of the tourism industry’s steady performance in the City of San Diego over the past year.
The SDTMD is self-funded through an assessment on room nights in City of San Diego hotels with 70 rooms or more. The proceeds are designated for tourism marketing to help increase overnight hotel stays. Overnight visitors generate transient occupancy tax, or TOT, which helps fund city services, and tourism supports thousands of direct jobs while attracting billions in visitor spending to the city.
In its 2023 financial year, SDTMD awarded $40 million in marketing grants that delivered a return on investment of $32.40 in hotel room night revenue from every $1 of grant funding invested.
The 2025 financial year grants include:
SDTMD targets opportunities scheduled for traditionally slower travel periods for its funding. This helps to sustain steady year-round tourism. The organization also looks for programs and events that drive tourism across the city and/or give back to the local community.
Examples of funded events featuring community programs include the San Diego Bay Food + Wine Festival’s partnership to support hospitality, culinary and enology arts scholarships and the San Diego Crew Classic Freedom Rows event that helps military veterans recovering from injuries, emotional trauma and PTSD.
Collectively, the SDTMD’s grants are projected to drive more than 5.8 million room nights to generate more than $1.5 billion in room night revenue in addition to $160 million in TOT for the city. For more information, visit www.sdtmd.org.
Event organizers around the City of San Diego are encouraged to prepare and submit grant requests in November 2024 when the SDTMD issues its next call for applications for FY26. Learn more at www.sdtmd.org/applications.
About San Diego Tourism Marketing District
The San Diego Tourism Marketing District (SDTMD) is a nonprofit, mutual-benefit corporation dedicated to improving lodging room night consumption in the City of San Diego. SDTMD provides a private, nonprofit funding vehicle to stimulate City of San Diego lodging room demand through tourism promotion, marketing and advertising programs. The judicious allocation of these resources creates a positive economic, fiscal and employment impact on lodging businesses in the City of San Diego. For more information, please visit: www.sdtmd.org
San Diego Tourism Marketing District (SDTMD) has allocated $52.5 million in funding for marketing programs and events over the next 12 months to continue attracting tourists and increasing local hotel occupancy.
SDTMD’s funding allocation for the 2024 financial year, which begins July 1, is the largest in the organization’s 15-year history, surpassing the $48 million available in the 2020 financial year which was later cut short due to the pandemic. This year’s high-water mark results from a very strong tourism rebound in the City of San Diego over the past 12 months.
“Our TMD board provides reliable and critical financial support for a great cross-section of effective marketing programs and exciting events that attract out of town visitors to San Diego while driving increased hotel occupancy,” said SDTMD Board Chair Richard Bartell. “The industry’s recovery last year exceeded expectations, but growth is beginning to level off and these funds will be vital to keep San Diego among the top destinations in its market.”
The SDTMD is self-funded through a small assessment on room nights in City of San Diego hotels with 70 rooms or more. The proceeds are designated for tourism marketing to help increase overnight hotel stays. Overnight visitors generate transient occupancy tax, or TOT, which helps fund city services, and tourism supports thousands of direct jobs while attracting billions in visitor spending to the region.
In its 2022 financial year, SDTMD awarded $26.6 million in marketing grants that delivered a return on investment of $31 in hotel room night revenue from every $1 of grant funding invested. The 2024 financial year grants include:
SDTMD targets events scheduled for traditionally slower travel periods for its funding. This helps to sustain steady year-round tourism. It also looks for programs that drive tourism across the city. Additionally, SDTMD seeks to support events that give back to the local community.
Examples of funded events featuring community programs include the San Diego Bay Food + Wine Festival’s partnership with Fast Forward Futures to support hospitality, culinary and enology arts scholarships and the San Diego Crew Classic Freedom Rows event that supports military veterans recovering from injuries, emotional trauma and PTSD.
Collectively, the SDTMD’s grants are projected to drive approximately 5.7 million room nights to generate over $1.1 billion in room night revenue in addition to $115 million in TOT for the city. For more information, visit www.sdtmd.org.
Event organizers around the City of San Diego are encouraged to prepare and submit grant requests in October 2023 when the SDTMD issues its next call for applications. Learn more at www.sdtmd.org/applications.
About San Diego Tourism Marketing District
The San Diego Tourism Marketing District (SDTMD) is a nonprofit, mutual-benefit corporation dedicated to improving lodging room night consumption in the City of San Diego. SDTMD provides a private, nonprofit funding vehicle to stimulate City of San Diego lodging room demand through tourism promotion, marketing and advertising programs. The judicious allocation of these resources creates a positive economic, fiscal and employment impact on lodging businesses in the City of San Diego. For more information, please visit: www.sdtmd.org
San Diego Tourism Marketing District (SDTMD) will begin accepting applications for Fiscal Year 2024 grants on October 14, 2022. Tourism-generating events and programs occurring July 1, 2023 – June 30, 2024, that can demonstrate an increase in stays at SDTMD-assessed hotels (City of San Diego hotels with 70 rooms or more) and a measurable return on investment (ROI) are encouraged to apply.
Interested applicants can access the application through SDTMD’s online portal at www.sdtmd.org/applications beginning October 14. Applications must be completed by 5 p.m. on Friday, November 18, 2022.
All applicants are encouraged to attend a virtual application workshop to learn more about the process, funding criteria, and application.
To register for the workshop, please email or call Executive Director Colleen Anderson.