2017-08-10 / News Briefs

Discover Newport Proposes Taxing District

By Bob Rulli

As reported in Newport This Week last week, Discover Newport is facing a reduction of over $300,000 in annual revenue based on adjustments implemented by the state, relative to hotel room taxes. In an attempt to make up some of the lost revenue, the tourism organization is asking the Newport City Council to establish a Newport Tourism Marketing Management District and a Newport Tourism Marketing Management Authority.

The new authority if approved would enact a special tax assessment of $1 per night for each occupied room, levied upon properties located within the tourist marketing management district, which encompasses the entire City of Newport. The proposed ordinance is intended to apply the tax to all non-timeshare lodging properties with 20 or more rooms. The boundary map submitted to the council listed 13 properties.

According to documentation in support of the proposed authority, the special tax assessment would raise approximately $338,000 annually to fund tourism marketing services designed to benefit properties within the proposed district. Seven petitions from lodging properties located within the district asking the city to form both the District and Authority were also included in the package submitted to the council.

The council took no official action on the request at its meeting on Wednesday, Aug. 2, other than to order that a public hearing on the petitions be advertised.

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