City Commission passed an increase in the transient guest tax, on first reading, at their weekly meeting on Monday, August 16.
Jacob Wood, Deputy City Manager, stated that on May 24th of this year, Commissioners approved the governing body to raise the guest tax from 6.7% to 7.75%. This charter was subject to a 60-day protest petition, in which the public was able to protest the charter. If 10% of the voters in the last election put together a petition against this, the issue would have been brought to ballot, or public vote.
Jacob Wood also stated that Charter Ordinance 40, which is what this is known as, did not raise the transient guest tax. It simply gave the governing body the authority to raise it a certain level.
Currently, the transient guest tax, or tax put on hotels for sleeping arrangements, is used toward Tony’s Pizza Events Center, Visit Salina, and Oakdale / Kenwood marketing. This charter ordinance does not change how the tax is currently allocated.
The additional percentage, would go toward baseball related projects, according to Wood.
The tax will go into effect at the beginning of next quarter, or October 1 of this year, pending City Commission approves the second reading, followed by the City providing notice to the Department of Revenue by August 30.
Wood also stated that notice was sent out to local hoteliers that this issue would be taken up at the meeting, a week in advance.
The ordinance was approved on first reading, 5-0.