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Council weighs lodging‑tax formula; staff recommend percentage split to allow growth
Summary
Council discussed draft lodging‑tax language and a proposed allocation (25% recreation, 25% arts/entertainment, 50% general fund). Members favored percentage allocations for flexibility; municipal rules are broader than county limits.
Council members reviewed draft language for a municipal lodging‑tax ordinance and debated how to allocate revenue among recreation, arts/entertainment and the general fund.
Staff presented a draft and asked whether the council preferred a flat amount split or percentage allocations. “A percentage is going to give the opportunity for growth,” one council member said, arguing it would avoid repeated ordinance changes as revenues change. Council discussed a working split of 25% for recreation, 25% for arts and entertainment, and 50% to the general fund as a starting point, and members agreed the allocation should not preclude departments from later requesting additional funding through the normal budget process.
A council member asked whether state statute limits use of lodging‑tax revenues; staff clarified that county rules are more prescriptive, but at the municipal level the city has broader discretion to set allocations. Councilmembers said the ordinance will return for multiple readings so the public can review and provide input.
No formal vote or ordinance was adopted during the discussion; staff will prepare draft legislation for future readings and public review.
