Aurora officials discuss hotel industry concerns over $2 fee and declining lodgers tax

Aurora City officials are facing mounting pressure from local hotel owners regarding a controversial $2 destination marketing fee, which they argue is driving business away to competitors in Denver and surrounding areas. During a recent Planning and Economic Development Policy Committee meeting, hotel representatives expressed their frustration over feeling unheard in discussions about the fee, which they believe is detrimental to their operations.

The hotel owners, including those from the Gaylord, are advocating for a seat at the decision-making table, emphasizing that their growing numbers and concerns should be acknowledged. They argue that the fee has contributed to a significant decline in business, particularly as they compete with hotels in nearby cities.

In response, city officials acknowledged the concerns but noted that the funding model for destination marketing is consistent with practices in other cities across the country. They emphasized that the goal of the visitor organization has never been to achieve self-sustainability, and discussions about the fee and its implications will continue.

The meeting also highlighted a 17% decline in lodgers tax revenue, attributed to a decrease in transient and government travel, which has further impacted local hotels. Officials pointed out that this trend is not unique to Aurora, as similar patterns are being observed nationwide.

As the city navigates these challenges, hotel owners are calling for a collaborative approach to address their concerns and explore sustainable funding solutions that could benefit both the hospitality industry and the city’s tourism efforts. The ongoing dialogue aims to find a path forward that supports local businesses while enhancing Aurora's appeal as a travel destination.