City staff: council will consider raising hotel tax; staff needs direction for November ballot

Speaker 1 said the City Council has asked staff to bring a conversation about whether to pursue a transient-occupancy-tax (TOT) increase. “Currently, the City's tax is at 10% and then there's a 2% assessment that the hotels put on themselves to pay for marketing,” Speaker 1 said. “The City Council will be considering whether or not to pursue an increase from our 10% base rate.”

Speaker 1 told the briefing the council needs to decide quickly because any measure would have to appear on the November ballot and the city must meet county deadlines to submit ballot language; Speaker 1 estimated a July filing deadline and described that date as approximate.

The briefing recorded no formal direction from the council, no specific increase amount, revenue estimate, or proposed uses for extra revenue. Staff said they would seek council direction about whether to prepare a ballot measure; no motion or vote occurred during this session.

Clarifying details: the transcript records the current city TOT as 10% and an additional 2% hotel assessment used for marketing; the July filing deadline was offered as an approximate date by staff.