Committee reviews proposal to add recreational vehicle spaces to Norman’s guest‑room tax; voter approval would be required

City staff told the Finance Committee Thursday that an amendment to Norman’s guest room (room) tax ordinance to include recreational vehicle (RV) overnight spaces would require voter approval because it would expand the tax beyond the original ballot question.

Staff reviewed the room tax’s history and current allocation. The tax was approved by Norman voters in 1980 and originally levied 4 percent on hotel‑room occupancy; the city later increased the rate to 5 percent (2013) and to 8 percent (2023). Current ordinance language and the ballot question define the tax as an excise on rent for occupancy of hotel rooms; that definition does not explicitly include leased RV spaces.

Staff said a code amendment to section 12‑502 would be needed to levy the city’s 8 percent room tax on overnight RV spaces and that voter approval is required because the change would expand the tax’s reach from the original ballot authorization. Staff recommended defining “recreational vehicle” in the code to capture camper vans, converted sprinter vans and similar sleeping vehicles while excluding long‑term residential arrangements that exceed 30 days (the ordinance already excludes permanent resident facilities).

Staff identified two established RV sites that would be affected: Sooner Village at the Lloyd Noble Center (about 270 spaces, university property) and the Cleveland County Fairgrounds (about 51 spaces). University and county property present administrative questions because government‑owned property can be exempt when paid directly by the government but the tax is charged to the paying renter; staff said it would coordinate with those property owners and administrators to ensure collection if a ballot measure passed. Staff also noted Liberty Point RV Resort and Adventure Park as a large private development under review; potential revenue from that site could not be assessed because rates and opening timelines were not available.

Staff provided example revenue calculations using current posted rates. For Sooner Village, a Friday‑to‑Sunday stay for Homecoming/Ole Miss weekend at a posted $300 per space rate would generate $24 of room tax per space and, if all 270 spaces were rented that weekend, roughly $6,480 in room tax revenue. For typical midweek rates the examples were smaller; staff characterized the figures as illustrative rather than predictive. Staff also noted that rentals longer than 30 days would generally be treated as long‑term rentals and not subject to the room tax, consistent with existing short‑term rental code language.

Council members asked clarifying questions about university stays and athletic teams, exemptions for government and nonprofit events, and the line between transient recreational vehicles and long‑term occupied vehicles. Staff said the city typically advises hotels to collect the tax when in doubt and that any final ordinance should include a clear definition of recreational vehicle to reduce ambiguity. Council members expressed support for placing the issue on a future ballot and requested staff return with draft ordinance language and ballot timing options. No formal ordinance, motion or vote occurred during the meeting.