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Board discusses tourism taxes and broader revenue options as costs loom

Los Lagos Community Service District Board · July 9, 2026
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Summary

Board and residents discussed pursuing transient occupancy tax (TOT) increases and broader sales-tax mechanisms, as well as federal grant and loan opportunities, to fund sewer construction and operations.

Board members and several residents discussed ways to finance construction and operations beyond property assessments. Staff noted earlier discussions with USDA and recent federal legislative activity that could increase a potential district allotment from $4 million toward $30 million; the general manager described this as a potential game changer if the bill is authorized and funded.

The board also discussed pursuing additional local taxing powers, including updates to the transient occupancy tax (TOT/TMT) or exploring a narrowly targeted sales‑tax or special tax; Vice President Lisa Palmer asked staff to broaden exploration beyond TOT to include sales tax options and to report back on jurisdictional and ballot implications. Residents cautioned against assuming wineries and tourism businesses could shoulder more local tax: "Please do not even consider thinking that we're a bunch of wealthy people that they can give more money to help this out," one winery representative said. Staff will return with a scope of work and cost estimate for pursuing taxing powers and the legal/jurisdictional steps required to place measures on the ballot.