Provides relative to hotel occupancy taxes levied by certain tourist commissions and convention and visitors bureaus (RE INCREASE LF RV See Note)
Impact
The proposed changes will impact local tax revenues generated through hotel occupancy taxes. By clearly defining what constitutes a hotel, HB 339 potentially expands the base for taxation, thereby increasing revenue for commissions and bureaus tasked with promoting tourism. However, it also includes exclusions for certain types of housing, including workforce housing and nonprofit-operated facilities, ensuring these categories remain unaffected by the tax increase. This delineation aims to protect nonprofit interests while bolstering tourism financing.
Summary
House Bill 339 addresses the hotel occupancy taxes imposed by certain tourist commissions and convention and visitors bureaus in Louisiana. The bill amends the existing laws to refine the definition of 'hotel' specifically for these levies. It establishes provisions for the types of establishments that can be classified as hotels, ensuring that only those meeting certain criteria, such as providing lodging services to transient guests, qualify under the tax laws. This aims to provide clarity and facilitate the operations of tourism-promoting entities by establishing a uniform understanding of 'hotel.'
Sentiment
The sentiment regarding HB 339 appears to be generally supportive from the tourism sector, which recognizes the importance of stable funding for promoting local attractions and events. However, concerns have been raised by stakeholders operating in facilities that may fall outside the newly defined category of 'hotels,' especially those providing long-term accommodations or operated by nonprofit entities. They argue that such exclusions could adversely affect their operations and funding.
Contention
Notable points of contention include the exclusion of certain facilities from the hotel classification, which has stirred debate among tourism supporters and housing advocates. Critics argue that the exclusion from tax benefits for nonprofit-operated establishments could lead to financial strains on such organizations. Additionally, the bill emphasizes the importance of voter approval for any tax imposition, ensuring community input in local financial matters, yet some still express caution about potential backlash from voters if taxes are perceived as burdensome.
Authorizes certain parish tourism commissions to levy a hotel occupancy tax and overnight campsite parking tax to be distributed pursuant a cooperative endeavor agreement with the economic development authority. (7/1/18) (EN INCREASE LF RV See Note)
Exempts from local sales and occupancy tax in St. Tammany Parish agreements to furnish for a period of 30 days or longer an accommodation, space, or lot which is in an overnight camping facility or trailer park. (7/1/10) (RE DECREASE LF RV See Note)