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Residents ask when county-collected lodging tax funds will reach Keystone
Summary
A resident asked about roughly $400,000 collected on a 2% lodging tax after Summit County continued collections following town incorporation; Mayor Fred Riley said the tax is a county-collected levy, funds sit with the county and there is no guaranteed transfer to Keystone.
During a public comment period, a resident identified as Patty asked town staff when roughly $400,000 collected under a 2% lodging tax would be resolved after Summit County continued collections when Keystone incorporated.
“Do you have any idea of when this is going to be resolved?” Patty asked, referencing funds the county continues to collect.
Mayor Fred Riley responded that the tax is “not a town tax. It’s a county tax,” and explained state rules and timelines prevented an immediate change in collection practices when Keystone incorporated. Riley said the county placed the receipts in its lodging-tax fund, will discuss how funds might be allocated, and that the town lacks standing to unilaterally redirect the collections. “We got the agreement they would discuss it with us but they didn’t give us a guarantee that it would come,” Riley said, adding he was not optimistic that the funds would be returned to Keystone but that town leaders will continue to press the county.
Why it matters: Residents asked also about transparency over how STR fees are spent and questioned the level of fees. Patty said she has requested a breakdown of STR-related expenses from day one and described a per-permit cost of $285 as “way more than we should be paying.” The clerk’s office responded that lodging tax uses are set by voter approval and are typically allocated to infrastructure and public safety projects; staff said the town will provide information about how to access licensing and budget records.
What the town said: Selu said lodging tax use is dictated by the voter-approved measure and that one can request public records; Riley and staff said they have taken the matter to the county and state revenue officials and will continue discussions this summer.
Next steps: Town leaders said they will pursue discussions with county officials about the funds and will publish the complaints/resolutions log and other materials from the STR program upon request.
