I can't stand it when controversy goes away on this site so.....
Last week the city council started a procedure which could terminate in the increase of the Demopolis lodging tax. For those that don't know, this is like a sales tax on people staying at local motels, hotels.
For the politicos, this is a no brainer. The people that will pay the tax are for the most part travelers and not their constituents, so who cares? The travelers don't get to vote locally!
So why should I be concerned? According to the local newspaper, the reason for wanting to raise the tax is so we could " catch up with our surrounding cities that charge more than we do!"
No statement of need for more of our money, just trying to catch up with Montgomery, Selma, etc.
I am sure the money, if passed, will be spent wisely (big tongue in check) but where did statesmanship go. Is this a valid reason to add a tax ( because someone else charges more) If this is a good reason then we had better look out, in the future, for our sales tax, property tax, water & sewer fees. et. al.
I've been following this ever since the Historical Society and Gaineswood (among others) suggested to the Council that the lodging tax be increased, earmarking a portion to fund our historic sites in the city (Gaineswood, Bluff Hall, Lion Hall, etc.) I felt the suggestion was a decent one, mainly because I love the historic side of our city and want to see these sites continue.
The council recently visited the idea, but those favoring the tax don't want any money earmarked for them. They also want to remove the clause that rewards those hotels that pay their taxes in a timely manner.
In reference to Fleming's post, I quote Jack Cooley:
Quote:
My suggestion is that we raise our rate to be competitive with our surrounding area," Cooley said. "Tuscaloosa is 11.5 percent, Montgomery is 12 percent, Selma is 10 percent and Meridian is 9.5 percent.
There's a competition to see who can charge the tourists the most?
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I've been following this ever since the Historical Society and Gaineswood (among others) suggested to the Council that the lodging tax be increased, earmarking a portion to fund our historic sites in the city (Gaineswood, Bluff Hall, Lion Hall, etc.) I felt the suggestion was a decent one, mainly because I love the historic side of our city and want to see these sites continue.
The council recently visited the idea, but those favoring the tax don't want any money earmarked for them. They also want to remove the clause that rewards those hotels that pay their taxes in a timely manner.
In reference to Fleming's post, I quote Jack Cooley:
There's a competition to see who can charge the tourists the most?
Isn't competition great Dave? We have three more years of this Logic
The lodging tax in Demopolis is paultry compared to some hoteols I have stayed in who had as high as 21% tax. Plus parking costs $10 a day.
Most people don't ask about the room tax at check in because they are thinking it is at least as high as the sales tax. In Demopolis the lodging tax is lower than the sales tax, if my memory is correct. In many larger cities a portion of the room tax USUALLY goes to support local tourism. The question is how many people who visit Lyon Hall, Gaineswood and Bluff Hall also use local lodging? Remember Gaineswood recently reduced their hours of operation. Has a survey been conducted to determine why people use local lodging? We need to know how many are here visiting friends and family, just passing through, business, to see the local sights or for whatever reason. On U.S. 80 we have five motel properties. One is currently being built next to Smokin' Jacks and two more are planned. One of these, a Best Western, is planned to be built next to the new credit union by Jay Shows and other investors. I plan on talking with Jay and hear his side on this. He is also with Industrial Board and works closely with the Chamber of Commerce. I have never heard of getting a rebate on taxes if you pay them on time. I wonder if that would work with the IRS????
The lodging tax in Demopolis is paultry compared to some hoteols I have stayed in who had as high as 21% tax. Plus parking costs $10 a day.
Most people don't ask about the room tax at check in because they are thinking it is at least as high as the sales tax. In Demopolis the lodging tax is lower than the sales tax, if my memory is correct. In many larger cities a portion of the room tax USUALLY goes to support local tourism. The question is how many people who visit Lyon Hall, Gaineswood and Bluff Hall also use local lodging? Remember Gaineswood recently reduced their hours of operation. Has a survey been conducted to determine why people use local lodging? We need to know how many are here visiting friends and family, just passing through, business, to see the local sights or for whatever reason. On U.S. 80 we have five motel properties. One is currently being built next to Smokin' Jacks and two more are planned. One of these, a Best Western, is planned to be built next to the new credit union by Jay Shows and other investors. I plan on talking with Jay and hear his side on this. He is also with Industrial Board and works closely with the Chamber of Commerce. I have never heard of getting a rebate on taxes if you pay them on time. I wonder if that would work with the IRS????
OK Sarge,
Starting at the end of your post, every merchant gets a discount if they pay the State sales tax collected, on time. It has been that way for at least 35 years. After all, There is time and
expense inflicted on the merchant to have to collect and remit the sales tax. The same would be true of any tax including the lodging tax.
Second. Gaineswood is wholly owned and operated by the State of Alabama and is totally independent of the City of Demopolis or the Marengo Historical Society. Having no control over the operation of a State facility should be enough reason for not funding it with local tax.
Third. Why people are using our lodging facilities is a moot point. The fact that they are there and attract people to Demopolis is a asset. That we have been doing it at a better rate than surrounding cities is a feather in our cap and may attract people to stay here rather than Selma, for example.
Fourth. No need for additional taxation has been given. Just the "catch up with the competition" excuse which is about as lame as a two legged dog.
Starting at the end of your post, every merchant gets a discount if they pay the State sales tax collected, on time. It has been that way for at least 35 years. After all, There is time and
expense inflicted on the merchant to have to collect and remit the sales tax. The same would be true of any tax including the lodging tax.
Second. Gaineswood is wholly owned and operated by the State of Alabama and is totally independent of the City of Demopolis or the Marengo Historical Society. Having no control over the operation of a State facility should be enough reason for not funding it with local tax.
Third. Why people are using our lodging facilities is a moot point. The fact that they are there and attract people to Demopolis is a asset. That we have been doing it at a better rate than surrounding cities is a feather in our cap and may attract people to stay here rather than Selma, for example.
Fourth. No need for additional taxation has been given. Just the "catch up with the competition" excuse which is about as lame as a two legged dog.
I need a better reason to be for it!
Again Fleming I agree with you.
Why is it that we have to keep up with suronding areas when it means more tax.
Could this be because the city council would rather do this than research to see if the tax is really needed?
I've been following this ever since the Historical Society and Gaineswood (among others) suggested to the Council that the lodging tax be increased, earmarking a portion to fund our historic sites in the city (Gaineswood, Bluff Hall, Lion Hall, etc.) I felt the suggestion was a decent one, mainly because I love the historic side of our city and want to see these sites continue.
The council recently visited the idea, but those favoring the tax don't want any money earmarked for them. They also want to remove the clause that rewards those hotels that pay their taxes in a timely manner.
In reference to Fleming's post, I quote Jack Cooley:
There's a competition to see who can charge the tourists the most?
Without going over the surrounding area tax rate. That way you can say we are lower than the other areas and look good while you are sticking it to the people that use the area motels.
There's a competition to see who can charge the tourists the most?
Happy to be a "Pappy"