Lodging Tax Likely To Be On Ballot Again Loveland's City Council decided to try and place a lodging tax on the ballot for Loveland's November 2009 municipal elections.
Loveland - June 23, 2009
All of Loveland’s City Council agrees the city should have a lodging tax (a tax paid by hotel visitors added to the price of their room) but are having a difficult time finding a reason why.
Under the restrictions in TABOR (Taxpayer’s Bill of Rights) local governments cannot raise taxes without first seeking approval from voters. Twice Loveland has placed the question of a lodging tax on the ballot and twice a majority of Loveland voters defeated their proposal. Last year the head of Loveland's Chamber of Commerce, Gaye Stockman, attempted to form a committe to push the tax but it fell apart when she moved out of the area soon after. see story
Some on the council are reluctant to place a lodging tax proposal on the ballot in November of 2009 unless the community clearly supports the measure. Councilman Walt Skowron, who has previously supported the tax, informed his colleagues they need to consult the public through community forums to see what the voters prefer before preparing the ballot language.
Carol Johnson, pitching for the Loveland Chamber of Commerce, called for the tax to fund their visitor’s and convention bureau while Councilman Daryl Klassen made an emphatic appeal for the council to dedicate the revenue from the tax towards a city operated convention center. His colleagues who spoke with hotel operators disagreed and said the biggest hotel operator would like to see the tax go toward attracting conventions and visitors to Loveland. Mayor Pielin spoke fondly of the opportunity to see Loveland advertised in important trade journals and vacation magazines.
Councilman Cecil Gutierrez expressed concern that voters were reluctant to support the lodging tax in the past because they didn’t see a benefit to the residents of the community. Gutierrez suggested the council consider giving the voters a “why” to garner support for the measure. Councilman Kent Solt agreed along with a number of other councilors who echoed his comments.
Mayor Pielin sarchastically said, “We could have 15 forums or whatever…” and we wouldn’t know what the public wants. Pielin implied public input is of little value and would not add anything new to the discussion. He also cautioned his colleagues that they have only until August 1, to agree on the “why” question as the language must be prepared by that date.
City Attorney John Duval told the council the language was easy for the ballot measure as he already has it finished. A number of councilors indicated their discomfort in putting the item on the ballot again without a winning strategy to sell the new tax to Loveland.
When Pielin said everyone supported placing it on November’s ballot Councilman Clark objected because he thought the timing might be too short.
The council agreed to appoint a lead member who will consult with their colleagues and the community to prepare language for the ballot measure. The proceeds from a proposed lodging tax are likely to include funding projects that the council believes the communicty will want.
The council will need to settle on the language for the ballot measure by their August 1, 2009 council meeting. That will provide adequate time to bring it back again in late August for a second reading and final approval by council. Once the measure is referred to the election ballot the City of Loveland it cannot lobby for the measure or get involved in the campaign.
Mayor Pielin has long sought a community group to champion passing a lodging tax in Loveland. All previous attempts have failed.