Hotel occupancy tax issue

Good government oxymoron wrote this the other day:

A percentage of the HOT tax was approved soley for paying for the stadium.

How is the city legally allowed to waive it or rebate it back to a hotel???

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That got us to wondering so we found the ballot language that the voters were asked to approve.

VENUE PROJECT AND HOTEL OCCUPANCY TAX PROPOSITION

“AUTHORIZING THE CITY OF EL PASO, TEXAS, TO DESIGNATE THE MINOR LEAGUE BASEBALL STADIUM PROJECT AS A SPORTS AND COMMUNITY VENUE PROJECT WITHIN THE CITY IN ACCORDANCE WITH APPLICABLE LAW AND TO IMPOSE A TAX ON THE OCCUPANCY OF A ROOM IN A HOTEL LOCATED WITHIN THE CITY, AT THE MAXIMUM RATE OF TWO PERCENT (2%) OF THE PRICE PAID FOR SUCH ROOM, FOR THE PURPOSE OF FINANCING SUCH VENUE PROJECT.”

Good government oxymoron is right.

According to the Texas comptroller of public accounts:

The city of El Paso collects the municipal hotel occupancy tax at 7 percent to support an auditorium and convention center, and in 2012 introduced an additional 2 percent levy via a venue district hotel tax for a multipurpose sports stadium. Combined city HOT taxes totaled $13.1 million in fiscal 2015.

The documents with the water park specify the hotel occupancy tax rebate at 7 percent.  It looks like the city is respecting its obligation on the 2 percent but the comptroller’s explanation seems to mean that the other 7 percent is also allocated and the city cannot re-purpose it.

We deserve better

Brutus

4 Responses to Hotel occupancy tax issue

  1. Anonima says:

    There are so many things wrong with this “deal” that it’s hard to know where to begin. Start with 44 acres of land traded for over 2300 acres…to the benefit of one of the principal backers of the three incumbents running for office. Leasing the 44 acres for $1000 a year? Claims that this “deal” will have an impact of $680 million over ten years…which is $5,750,000 per month. That’s a lot of souvenirs….is hotel management going to buy all the replacement sheets and towels from the local Walmart?
    Hard to know what to wish for…hope to live long enough to see this crash and burn while the proponents are checking into their new jobs at Great Wolf somewhere? Hope not to live long enough to see the disaster realized?

    Like

    • WTF says:

      The city and Foster claim the Wolf site is worth $18,000,000. The city has given Wolf an option to buy the land for $10,000. On top of all the tax subsidies, the city has offered to gift Wolf $18,000,000 of taxpayer property. If the state refuses to give Wolf $40,000,000 in incentives, the city is going to give Wolf another $40,000,000 in cash to be paid $4,000,000 per year over 10 years. The winners are Foster, Wolf, Rubin, and people who own commercial property nearby. WTF? Draw your own conclusion.

      Like

      • Charles R. Dickerson says:

        These El Paso politicians just one big  Criminal Empire. A useless District Attorney, no   law enforcement.  Time for the FBI, Texas Rangers.

        Like

  2. Anonymous says:

    Still don’t see anything there that say’s that WE voted to let John Cook and his City Council minions BUY a baseball field for Mountain Star Sports, Paul Foster. Maybe I just have to read it again, again, again……………….?? The Mayor, City Council were, still are just one big Society of Corruption. They “Represent” only themselves and whatever THEY can TAKE from US. Lie, deny, deceive.

    Like

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