Commissioners OK lodging license tax

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Douglas County commissioners voted unanimously to implement a 3 percent transient lodging license tax anticipated to add $1.36 million in revenue to a general fund hard hit by a decline in room tax revenues.

The tax, which could go into effect as early as June 1, was endorsed by the Carson Valley Chamber of Commerce & Visitors Authority and the Business Council of Douglas County.

Commissioners approved creation of an ordinance at their April 1 meeting.

Support also is expected from Lake Tahoe tourism and chamber organizations.

Passage of the ordinance in lieu of putting a 3 percent transient occupancy tax hike on the November ballot also means the county doesn't have to go to the Legislature for approval.

"We often talk about home rule," said County Manager T. Michael Brown. "This is an opportunity for you to use your limited authority."

Brown said there was no intent to circumvent the electorate.

"You don't need to do that (go to voters)," Brown told commissioners. "This is not a slight at all to the voters. This whole thrust is coming from the folks who are going to be taxed. We really support being proactive and decisive. This is not a general tax on everybody."

"While understanding that the action would slightly raise the cost of lodging to our customers, we believe that the long-term advantages of generating additional promotional monies as well as funds to address critical needs in our parks and recreation facilities outweigh the possible impact of that raise in actual customer cost," wrote Bill Chernock, executive director of the Carson Valley Chamber of Commerce & Visitors Authority.

Renea Louie, executive director of the Business Council of Douglas County, said her members supported the tax proposal.

"Taxing our own citizens would not make sense, and we could not support that," Louie said. "However, applying a 3 percent increase to the visitors on their hotel stay is standard industry practice and expected by travelers."

Implementation of the tax also may forestall any effort by a cash-strapped Nevada Legislature to increase the transient occupancy tax rate in Douglas County by 3 percent themselves and take the money for state programs.

"This is not perceived to be an end-run around the citizens," said Commissioner Doug Johnson.

"The Legislature has already taken excess TOT from Washoe and Clark counties. We need to expedite the authority to do it. This is supported by a lot of people."

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