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Council reviews options to seek voter approval for a TOT increase to 12%; will monitor state actions
Summary
City staff briefed council on pursuing a potential increase of the transient-occupancy tax (TOT) from 9.5% to 12%, explained that charter requires voter approval, and the council agreed to monitor pending state legislation before deciding whether to place a measure on the ballot.
City staff presented an informational report on the possibility of increasing Bandon’s transient-occupancy tax (TOT) from the current 9.5% to 12% and advised that the city charter requires any tax increase be referred to voters. Staff noted November as a possible ballot timing and provided examples from a prior 2022 referral where a 9.5% rate was adopted after referral.
Local business owner Neil Barlow told council his Old Town arcade experienced an approximate 20% drop in summer numbers and urged caution; he suggested keeping an eye on state-level proposals that could change revenue splits for tourism dollars. Staff and council discussed two pending state bills that would change the split of tourism dollars and whether a successful state change would be retroactive; staff said past local measures were not retroactive. The council directed staff to continue due diligence, coordinate with the recorder on ballot timelines, and revisit the item next month or in the near term once legislative outcomes are clearer.
