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A new visitors tax in effect from July 1 is driving down business, they say, as tourists think twice about traveling to this Pacific Ocean community some 200 miles from the border.

"The situation hasn't been great here, but this takes the cake," says Jose Ferre, standing by his empty campground earlier this week.

Tourism promoters and travelers' groups say it’s not just a question of paying the 150-peso fee—just over $16 at current exchange rates. There is much uncertainty over what documents to show and where and how to pay.

"It's just so confusing; nobody seems to know what's going on," said Juanita Fitzpatrick, owner of the Cielito Lindo Motel and recreational vehicle park south of San Quintin.

The tax went into effect across Mexico. As originally conceived, the fee applied to any tourist traveling 15 miles or more beyond the border.

But federal officials gave in to the protests of the tourism industry in Baja California and other northern border states.

Visitors to certain areas beyond the 15-mile limit, including Rosarito Beach, Ensenada and San Felipe, are exempt if they stay 72 hours or less. But San Quintin was not included, and business leaders say their community is hurting as a result.

They point out the irony of the fee. Its purpose, in part, is to raise funds to promote tourism in Mexico. But it's having the opposite effect.

Baja California officials are lobbying to get the entire state exempted from the fee.

"We're anticipating a series of changes," said Baja California Tourism Secretary Juan Tintos, "from doing away with the fee for land travelers to decreasing it."

Airline passengers are automatically charged in the plane ticket price.

Primarily an agricultural community, San Qunintin draws thousands of visitors each year who come to camp, fish and enjoy the wildlife. San Qunitin Bay may be the largest undeveloped estuary on the west coast of North America. And the area harbors dozens of migrating bird species.

Moises Macas is a restaurant and bar owner here, and the President of San Quintin's Tourism Promotion Association. He blames the fee for a 40 percent drop in business compared with the same time last year in hotels, campgrounds, restaurants and other businesses that cater to tourists.

"We have a lot of weekend business here, a lot of people who come for two or three days and then go back," Macas said.

At the Old Mill Hotel, business is about half what it was a year ago.

"We've had some cancellations, but we've also had people who call and say, 'Is it true there's a fee? Well, we're not coming down then,'" said Nancy Harer, the hotel's owner.

Macas and others say tourism is the best hope for broadening the economic base of San Quintin, a cluster of small agricultural towns with a year-round population of about 30,000.

Approved last year as a way to offset Mexico's drop in oil income, the fee is expected to generate $120 million a year. Mexican immigration officials point out that the fee is hardly a novel idea. Other countries, including the United States, charge tourist fees.

An immigration inspection point has been set up along the Transpeninsular Highway about 20 miles south of Ensenada. Though it's not open all the time, those who fail to present the proper documents—a passport or birth certificate—run the risk of being turned back.

However, an immigration official in Tijuana said this is not normally supposed to happen. If a traveler show's a driver's license and intends to stay less than 72 hours, the immigration inspector has been directed to give the traveler a visitor's application limited to a three-day period.

And the inspector at the site is not to collect money under any circumstances. That can lead to jail time both for the official and the tourist. But Robert Gibilterra of Los Angeles said an immigration inspector suggested a tip after he and a friend arrived without the proper documents.

"He said, 'I'm going to cut you some slack,'" said Gibilterra, who was at the Cielito Lindo campground south of San Quintin earlier this week. "After we were done, he said, 'Do you have a tip for me?'"

WHAT TRAVELERS SHOULD KNOW:

In Baja California, Mexico's tourist tax of 150 pesos affects those traveling south of Ensenada or staying in the country for more than 72 hours.

Forms are available at Mexican immigration offices. The best place is at the border. The San Ysidro office is open 24 hours, and parking is available near the secondary inspection lanes.

Immigration inspectors will ask for a current passport, or else a birth certificate together with picture identification, such as a driver's license. The form is valid for multiple entries over a 180-day period. So even if you're staying for a shorter period, ask for the full 180 days, in case you want to return to Mexico.

Payment can only be made at a Mexican bank. The tourist form includes a list of participating institutions. The bank will take the money and stamp the form to show that you have paid. Payment must be made before you leave the country.

The only passport checkpoint in Baja California is at El Zorillo, about 45 miles south of Ensenada. Those without passports or a birth certificate should be allowed through and given a form if they show a driver's license and intend to stay for less than 72 hours, say Mexican immigration officials.