Share to Facebook Share to Twitter Bookmark and Share
File #: 20-0971    Version: 1
Type: Agenda Item Status: Approved
File created: 7/15/2020 In control: Board of Supervisors
On agenda: 7/21/2020 Final action: 7/21/2020
Title: Chief Administrative Office recommending the Board: 1) Receive an update on Transient Occupancy Tax (TOT) Revenues as a result of the COVID-19 pandemic; 2) Conceptually approve the Fiscal Year (FY) 2020-21 TOT revenues and spending plan, and direct staff to incorporate these recommendations in the adopted budget for FY 2020-21; and 3) Approve and authorize the Chief Administrative Officer to sign an Agreement with Greater Sacramento Economic Council for FY 2020-21 in an amount not to exceed $63,252. FUNDING: Transient Occupancy Tax.
Attachments: 1. A - Posting of a TOT Presentation, 2. B - GSEC Revised Slide Deck, 3. C - ROI and Agreement, 4. D - TOT Presentation Slides, 5. Public Comment BOS Rcvd 7-20-20
Related files: 20-0742, 19-1818, 20-0752, 20-1207
Title
Chief Administrative Office recommending the Board:
1) Receive an update on Transient Occupancy Tax (TOT) Revenues as a result of the COVID-19 pandemic;
2) Conceptually approve the Fiscal Year (FY) 2020-21 TOT revenues and spending plan, and direct staff to incorporate these recommendations in the adopted budget for FY 2020-21; and
3) Approve and authorize the Chief Administrative Officer to sign an Agreement with Greater Sacramento Economic Council for FY 2020-21 in an amount not to exceed $63,252.

FUNDING: Transient Occupancy Tax.
Body
On June 23, 2019, the Board directed that staff return to the Board on or before July 28, 2020 with a presentation on Transient Occupancy Tax.

The Transient Occupancy Tax (TOT), or Hotel/Motel Occupancy Tax, is imposed on the daily rental price of a room in a lodging facility, including vacation home rentals, when used by visitors staying in the unincorporated portions of El Dorado County for less than 30 days. The County Transient Occupancy Tax Ordinance, Chapter 3.28 of the County Code of Ordinances, establishes that each transient is subject to and shall pay a tax in the amount of ten percent of the rent charged by the operator for occupancy in any facility, except a camping site or a space at a privately owned campground or recreational vehicle park. The allocation of TOT is not related to District boundaries or to where the TOT is generated.

The tax code does not require any specific use of TOT funds. The County's recent practice has been to direct 10% of actual TOT revenue to the Treasurer-Tax Collector budget, which occurs quarterly, in recognition of services provided in the collection of this tax. In addition, at least 51% of TOT revenue has been directed to the Economic Development budget, 5% to fund Veteran's Commission grants to Veteran related activities, and the remaining amount to the General Fund to offset other general, on-going obligations of the County. This was pursuant to:

1) Policy 10.1.6.4 of the...

Click here for full text