The Romanian Government recently approved an ordinance establishing Destination Management Organizations, OMD. Anca Nedea Pavel, former president of the National Tourism Authority, ANT, who promoted this concept, stated that the OMD represents the only judicious way for the integrated management of a tourist destination.
The OMD will include representatives of the state, as well as private accommodation and public catering units, who will decide together within the organization how money for promoting a specific destination will be spent.
Until now, this decision was made at the level of the mayor’s office or the county council, as the destination of the sums collected at the level of a mayor’s office or county council from the promotion tax is decided by councilors.
According to the project, the Destination Management Organization will be an entity with legal personality, which will include representatives of the local public authority within the destination, representatives of tourism employer organizations/federations, or representatives of the private tourism sector based on a partnership, "which ensures the implementation of the marketing policy and the coordinated management of the destination’s components for the purpose of developing and capitalizing on the destination’s tourism potential."
The OMD’s main attribute will be the management and marketing of the region/locality as an integrated travel destination.
This project also proposes defining the notions of national or local tourism information and promotion center, tourist destination, destination management organization, hotel complex, and proposes creating the legal basis for the Ministry of Tourism to develop the procedure for the establishment, operation, accreditation, and re-accreditation of destination management organizations, which will be approved by Government decision.
The project also aims to define the position of tourism attaché by concretely establishing the competencies, rank of external representativeness, and recruitment method in order to represent Romania’s interests and the economic sector of tourism at an international level.
The ordinance brings an important novelty. It recognizes the right of tourism employer organizations and federations to be involved, by law, in the judicious administration of the natural and anthropic resources of the tourist destination, alongside local authorities, stated Anca Nedea.
Another advantage of OMDs is that they can directly access European funds, but can also receive funding from the state.
At the same time, the ordinance provides that OMDs must be re-accredited. They will have to develop development and marketing strategies, and audit the statistics in the destination, because currently not even the ministry has the portfolio of natural and anthropic resources in tourist destinations, Anca Nedea further specified.
Source: Hotnews
Frequently Asked Questions
What is a Destination Management Organization (OMD)?
An OMD is a legal entity formed through public-private partnerships, responsible for the integrated management and marketing of a tourist destination.
Who can be members of an OMD?
Members can include representatives of local authorities, tourism employer organizations, and private operators from the hotel and public catering sectors.
What are the main funding sources for OMDs?
OMDs can be funded through local promotion taxes, state budget allocations, and they have the advantage of being able to directly access European funds.