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Chief Administrative Office recommending the Board:
1) Receive and file a presentation on Transient Occupancy Tax (TOT) funding sources, expenditures, and alternatives to increase the Board’s discretionary General Fund revenue by increasing TOT funding; and
2) Provide direction to Staff regarding which of the presented alternatives they would like Staff to further explore. (Est. Time: 1 Hr.)
FUNDING: Transient Occupancy Tax.
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DEPARTMENT RECOMMENDATION
Chief Administrative Office recommending the Board:
1) Receive and file a presentation on Transient Occupancy Tax (TOT) funding sources, expenditures, and alternatives to increase the Board’s discretionary General Fund revenue by increasing TOT funding; and
2) Provide direction to Staff regarding which of the presented alternatives they would like Staff to further explore.
DISCUSSION / BACKGROUND
Visitors are drawn to El Dorado County by its natural beauty and the Region's unique and historical attractions. The economic impact of tourism is vital to the local economy. Balancing the costs and benefits of tourism is essential to the preservation of our communities and our quality of life. TOT is an important part of that balance.
TOT, also referred to as hotel, motel or "bed" tax is authorized under State Revenue and Taxation Code Section 7280 as an additional source of non-property tax revenue to local government.
Under Chapter 3.28 of the County Code of Ordinances, the County imposes and collects a 10% tax on the rent charged by the operator for occupancy of hotels, motels, inns, or other lodging, except a camping site or a space at a privately owned or State Park campground or recreational vehicle park.
A recent FlashVote poll conducted between December 5 and 7, 2017 indicated that maintaining a high level of County services was the second-most important factor to residents, just behind having a rural lifestyle. The survey ended with 765 participants.
As your Board has previously discussed,...
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