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Butte supervisors approve countywide tourism assessment, add short‑term rentals
Summary
The Board of Supervisors approved changes to the Butte County Tourism Business Improvement District to include short‑term vacation rentals, raise assessment rates in phases and align the district term to the calendar year after a 45‑day protest period returned 0.11% opposition by assessment weight.
Butte County supervisors voted to modify the county’s Tourism Business Improvement District on July 29, approving three changes to the district’s management plan after a formal protest hearing. The board adopted resolutions to remove a room‑count threshold so short‑term vacation rentals (STRs) are assessed, to phase the assessment rate from 2% to 2.5% on Sept. 1, 2025 and to 3% on Jan. 1, 2027, and to change the district termination date to Dec. 31, 2029 to align budgeting with the calendar year.
The district, administered by Explore Butte County, will now include hotels, motels, campgrounds and licensed STRs in the countywide marketing assessment. The clerk of the board reported the written protests received during the 45‑day protest period represented 0.11% of total assessment weight — well under the 50% threshold that would block the changes.
Explore Butte County Executive Director Nicole Farley presented the modifications and introduced Tom Bosello, the TBID board chair. Farley said the changes aim to “increase equity amongst lodging businesses, improve alignment of tourism marketing dollars and grow the destination responsibly.” She said Explore Butte County conducted outreach to STR owners and amended its bylaws to add two STR seats to its board.
Supporters at the hearing argued the change levels the playing field for smaller lodging operators and provides stable marketing revenue for destination promotion. Natalie Sherd, who identified herself as an 11‑year Airbnb host in downtown Oroville, said the countywide marketing would directly benefit small lodging operators who cannot mount comparable marketing themselves. Melissa Shuster, an Explore Butte County board member representing Paradise, and several hoteliers also told the board they supported the changes as modest and necessary to remain competitive.
Supervisor discussion touched on representation and collection logistics. A clerk’s tally showed written support submitted by businesses represented over 30% of district assessment weight; the majority of that support came from hotels, Farley said. One supervisor said she opposed removing the room‑count threshold, arguing some small, single‑room operators are unlikely to benefit from TBID services and are already taxed through the transient occupancy tax.
A motion to adopt the resolutions passed on a recorded voice vote; the board heard public comment and allowed owners to withdraw written protests before the vote. The board directed staff and Explore Butte County to tabulate any additional written protests or withdrawals received before closing the hearing and to proceed with implementation after final filing.
What happens next: Explore Butte County will implement the assessment changes and begin integrating STRs into outreach and governance. Collection will follow county procedures for assessments and transient occupancy tax remittance. The board did not change the district governance structure beyond the two added STR board seats.
Authorities referenced in the hearing include the county’s resolutions of intent and the Streets and Highways Code procedures governing protests for assessments. The clerk’s protest tally and Explore Butte County’s outreach materials were the evidentiary record presented to the board.
