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Mobile council weighs 2-point lodging tax increase tied to TID renewal, arena and airport funding
Summary
City officials introduced an ordinance to raise Mobile’s lodging tax from 8% to 10% and discussed earmarking part of the new revenue to the airport and arena debt service.
City officials introduced an ordinance to raise Mobile’s lodging tax by two percentage points — from 8% to 10% — and discussed pairing the change with renewal of the Mobile Tourism Improvement District (TID) as part of a funding plan for the downtown arena and the Mobile Airport Authority.
At first reading, administration presenters said the proposal would increase baseline funding for Visit Mobile from 33.5% to 37.5% of lodging-tax receipts, and would treat new revenue above an established baseline as a targeted revenue stream: the first $3,000,000 of new annual revenue would be earmarked to support the Mobile Airport Authority, and excess revenue would be…
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