The town of Montgomery is contemplating a brand new $3 cost on one among its hottest merchandise — its resort rooms — with a purpose to pay for enhancements that might lure greater sports activities and leisure occasions to city.
Montgomery Metropolis Council Vice President CC Calhoun proposed the $3-per-room-night cost this week. It might be along with town’s present 11% lodging tax, a 4% state lodging tax, and a $2.25-per-room-night charge that is now charged by the county.
Calhoun mentioned that plan would put Montgomery consistent with Cellular by way of resort room charges whereas permitting it to keep up upgrades to sports activities and leisure amenities.
“I journey. You journey,” Calhoun mentioned. “I don’t know anyone who says, ‘What’s your occupancy tax?’ You take a look at room price.”
The council delayed a vote on the plan this week, however Calhoun mentioned he wished to begin the dialog.
The town’s quarterly lodging tax income has jumped 33.4% year-over-year to just about $1.28 million.
“It seems to be like lots of the occasions that had been coming to town of Montgomery previous to the pandemic at the moment are again, together with new occasions,” Finance Director Betty Beville mentioned. “We’re hopeful that this specific income supply will proceed to develop at double digits all through this fiscal 12 months.”
The town and county agreed final summer time to spend a part of its mixed $87 million from the American Rescue Plan Act on upgrades to recreation amenities, together with youth sports activities venues. However Calhoun famous that town might want to preserve these upgrades. “ARPA’s not going to be right here ceaselessly,” he mentioned.
Calhoun particularly talked about the wants and potential at Lagoon Park, which is one among a number of venues that might lure greater, regional occasions with the proper upgrades.
Space officers have lengthy pointed to youth sports activities as a possible progress marketplace for town.
“Have a look at what occurred after we improved Cramton Bowl and then you definately noticed the multiplex and ASU’s new stadium throughout the identical time,” the Montgomery Space Chamber of Commerce’s Ron Simmons mentioned in Might. “Sports activities exploded, and it was one of many highest markets by way of tourism as a result of it brings massive teams that keep for a very long time.”
Mindy Hanan, president of the Alabama Restaurant and Hospitality Affiliation, advised the council Tuesday that a few of her members wish to weigh in on the proposal. Hanan didn’t instantly return messages searching for remark.
The council agreed to debate the thought additional in a committee chaired by Calhoun earlier than bringing it again for a vote.
Brad Harper covers enterprise and native authorities for the Montgomery Advertiser. Contact him firstname.lastname@example.org.