Followers of Adam Smith would argue that Douglas County should consider lowering the tax on lodgers in order to increase their numbers.
County commissioners on Thursday discussed a proposal to implement a transient lodging license tax, which differs from transient occupancy tax in Nevada law, but has the same effect on people's bills.
Should commissioners give the nod, the county could increase the tax by 3 percent with a 3-2 vote and a stroke of a pen.
The proposal to raise the room tax, on the other hand, would require a popular vote and an act of the Legislature.
County officials were prepared to go through the process of putting the item on the ballot and then go to the Legislature, but a tip from Carson City prompted them to explore a different route.
We prefer, as a rule, that the government ask the taxed before they implement the tax, and hotel representatives from both the Lake and Valley have signed off on it. The tax affects mostly tourists, so neither the electorate nor the Legislature are represented by that group.
There is the slight whiff of the back room. Swap "occupancy" for "lodgers license" and suddenly there's no need to go to voters.
But unless someone can show that the tax will drive so many people away it won't raise any money, commissioners will be within their rights to approve it.
