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Residents raise questions about proposed hotel-motel tax increase during Lamar public comment
Summary
During public comments July 15, residents and council members discussed a proposed increase in the city's hotel-motel (lodging) tax up to the statutory 7% cap; council members clarified it would be a voter referendum in November and that the tax is paid by visitors.
Public comment at the Lamar City Council meeting on July 15 included several residents questioning and offering views on a proposed increase to the city's hotel-motel (lodging) tax. Commenters asked whether the tax is administered through the chamber of commerce and who ultimately pays the levy.
A resident who identified herself as Molly, of 2227 Second Avenue Southeast, said she supported the idea of local businesses and hotels contributing and asked whether the chamber would administer the payment. Council members clarified that lodging taxes are paid by guests (not hotel owners) and that the proposal to increase the city's rate up to the statutory maximum would be decided by voters in November. The presiding official said, "That's not a tax that we're deciding. That will go to the voters in November."
Council members noted that Lamar is below the statutory 7% cap and that some communities charge the higher rate; they said the additional revenue would be intended for tourism promotion and local events such as Ice Cream Days and Hometown Christmas.
Because the discussion occurred during the public comment period, no formal council action on a tax increase was taken at the July 15 meeting; council members repeatedly pointed to the upcoming public vote as the decision point for any change.
