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Council votes to refer 2.5-point lodging tax increase to November ballot
Summary
Council approved Resolution 26-16 to refer a ballot measure that would raise the enhanced lodging tax from 3.5% to 6% (raising total TLT from 9.5% to 12%) and adopted ordinance 16-82 contingent on voter approval; state law requires 50% of the increase be used for tourism promotion.
The Bandon City Council voted Aug. 3 to refer a transient lodging tax measure to the Nov. 3 general election that would increase the enhanced services portion of the local lodging tax by 2.5 percentage points, raising the total tax to 12% if approved by voters.
Staff explained the measure would increase the enhanced services lodging tax from 3.5% to 6%, producing a total transient lodging tax of 12% if voters approve. "If approved by the voters, the increase would become effective January 2027," staff said. Under recent changes in Oregon law, 50% of the increased revenue must be used for tourism promotion and tourism-related facilities.
A resident, Jessica Markham, asked for more detailed earmarking of the increased funds and for clarity about what city services the general fund portion would support. Councilors said the ballot referral asks voters to authorize the increase and that specific allocations or projects would be addressed after voter approval. The council approved Resolution 26-16 to refer the measure and proceeded with related ordinance 16-82, taking roll-call votes and adopting the ordinance contingent on voter approval.
