Louisiana Senate Bill SB542

Louisiana 2018 Regular Session

• Introduced: 4/3/18
• Refer: 4/4/18
• Report Pass: 4/16/18
• Engrossed: 4/19/18
• Refer: 4/23/18
• Report Pass: 5/3/18
• Enrolled: 5/18/18
• Chaptered: 5/30/18
• Passed: 5/30/18

Caption

Authorizes the levy, collection, and distribution of an additional hotel and motel tax of one percent by the Southwest Louisiana Convention and Visitors Bureau. (gov sig)

Impact

This bill fundamentally impacts the hospitality sector in Calcasieu Parish by introducing an additional tax burden on hotel and motel stays. It outlines specific provisions for how the proceeds from this tax will be managed and distributed. A portion of the revenue—up to five percent—will be allocated to the Southwest Louisiana Convention and Visitors Bureau Project Enhancement Grant Program, with the remainder used to promote tourism and fund infrastructure improvements. This is expected to bolster local economic strategies aimed at increasing tourism.

Summary

Senate Bill 542, introduced by Senator Johns, authorizes the Southwest Louisiana Convention and Visitors Bureau to levy an additional hotel and motel occupancy tax of one percent within Calcasieu Parish. This new tax is in addition to any existing taxes and applies to all paid occupancy of hotel and motel rooms within the geographic boundaries of the parish. The collected tax is intended to support initiatives that enhance local tourism and economic development.

Sentiment

Overall, the sentiment regarding SB 542 appears to be positive among supporters who emphasize the potential benefits for local economies and tourism efforts. However, there are voices of concern regarding the increase in taxation, especially from those who believe it could deter visitors or create a negative perception of the local hospitality experience. The balance between raising necessary funds and maintaining competitive pricing in the hospitality sector will be crucial in shaping public opinion on this legislation.

Contention

The primary contention surrounding SB 542 lies in the implications of imposing additional taxes on visitors. Opponents may argue that the additional tax could lead to decreased hotel occupancy, negatively affecting local businesses. Conversely, proponents assert that the enhanced funding for tourism promotion will ultimately drive an increase in visitor numbers and spending. The bill reflects broader debates on the appropriate use of local taxation powers to support economic development initiatives.