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Custer County commissioners direct staff to draft ballot language under HB25-1247 to consider raising lodging tax to 6%
Summary
The Custer County Board of County Commissioners voted July 23 to direct staff to draft a ballot question under House Bill 25‑1247 that would allow voters to consider raising the county lodging‑tax rate from 2% to as much as 6%.
The Custer County Board of County Commissioners on July 23 voted to direct staff to draft ballot language under House Bill 25‑1247 that would allow voters to consider raising the county lodging‑tax rate. The county’s current lodging tax is 2%; HB25‑1247 permits counties to increase the lodging tax up to a total 6% if the county’s voters approve a ballot question.
The board’s motion authorized staff and the county attorney to draft a resolution and ballot language for consideration at upcoming meetings and to submit the language to the Colorado Department of Revenue for review. The clerk told commissioners the Department of Revenue review is a required step before ballot certification and recommended the board not delay submission once a draft is available.
Commissioners and members of the public debated the size of any increase, uses for the new revenue and public messaging. During public comment and discussion, tourism, workforce housing and childcare were repeatedly cited as potential priorities for additional lodging‑tax proceeds. Commissioner and community speakers emphasized that lodging taxes are paid by visitors and that any increase is an infusion of external discretionary dollars into local services. At the same time, some speakers cautioned that tourism trends are soft in 2025 and that the county should not reduce existing promotional funding.
The board did not adopt a final percentage in the resolution; however, a motion approved by the board (recorded with roll‑call “Lucas: aye; Paul: aye; Candice: aye”) directed staff to prepare a draft that included a presentation assuming a total 6% rate so commissioners would have figures and proposed earmarks to review next week. Commissioners said the draft could be amended in future meetings and they asked staff to include revenue projections, suggested earmarks and an outreach plan for voters.
Timeline and next steps: commissioners asked for draft ballot language and the accompanying resolution and revenue estimates to be prepared for the next regular meeting; the clerk will submit draft language to the Department of Revenue for review. Ballots for the November election will be mailed in October; commissioners said they want an informational campaign to precede mailing if the board adopts final language.
No final tax increase was adopted at the meeting; the board only authorized drafting and review so the public and board can see a single, complete proposal for final consideration.
