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Local hotel owner urges Selma to reconsider transient‑occupancy tax rate
Summary
A hotel owner told the council Selma's transient‑occupancy tax is harming business and urged lowering the rate; the council said it could put the matter on a future agenda for study.
A Selma hotel owner told the council on April 2 that the city's transient‑occupancy tax (TOT) is too high and is driving business away.
Dwight Nelson, who identified himself as a local hotel owner, told the council he pays substantial TOT and argued that Selma's rate is uncompetitive compared with neighboring jurisdictions. "I ask you, please lower it to 8%," Nelson said, asserting the current rate (described in the meeting as 12%) is a "killer" for hotels and reduces repeat stays. Nelson said the TOT initially was intended to support city facilities used by visitors but later was folded into the general fund.
Council members did not change the TOT rate or adopt any policy at the workshop. Mayor Promggera and staff said the topic could be returned to a future council agenda for study; staff noted that any change would require public process and fiscal analysis to identify how to replace revenue that currently supports parks, the arts center and general‑fund services. Director Moreno recited prior allocations from last year's TOT budget, citing approximate amounts that flowed to Pioneer Village (~$89,400), culture/arts (~$59,600) and parks (~$149,000).
Council members acknowledged the business impact concerns and said staff will consider whether to bring a formal TOT‑rate review to a future meeting where the council could weigh revenue and service tradeoffs.
