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Bill would let municipal lodging taxes pay for nonprofit tourism facility capital projects
Summary
Senate Bill 5251 would expand permitted uses of lodging-tax revenue to allow capital expenditures for tourism-related facilities owned by nonprofits; tourism groups warned capital spending could deplete limited local marketing funds while proponents said projects would generate room nights.
Senate Bill 5251 would allow municipalities to use lodging-tax revenues for capital expenditures for tourism-related facilities owned by nonprofit organizations, a change sponsors say would help expand facilities that attract visitors while opponents warned it could reduce funds available for marketing.
Cole McCarthy, staff to the committee, summarized current statute: lodging tax revenue may be used for tourism marketing, marketing and operation costs for special events, supporting operating and capital expenditures of tourism facilities owned or…
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