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Debate on shifting lodging‑tax split to 50/50 centers on 'resiliency grants' for restaurants and hotels
Summary
Sen. Suzanne Weber and supporters said House Bill 4,148A would give communities optional flexibility to use at least 50% of net transient lodging tax revenue for tourism promotion while allowing a portion to fund resiliency grants for small lodging and restaurant businesses; destination marketing organizations and industry groups opposed the resiliency grant language as undefined and risky.
The Senate Committee on Finance and Revenue heard extensive public testimony on House Bill 4,148A, which would change how local transient lodging tax (TLT) revenue may be used and add an option to fund resiliency grants for small lodging and restaurant businesses out of the tourism‑restricted share.
LRO opened the matter by summarizing the bill: it would change the required share of net local transient lodging tax revenue dedicated to tourism promotion or tourism‑related facilities from at least 70% to at least 50%, allow the restricted tourism dollars to be used for resiliency grants for small businesses in restaurant and lodging industries, clarify that city/county services may include emergency and non‑emergency services provided by cities, counties, or special districts in lieu of a city/county, and add…
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