Skip to main content

Increasing The Oakland Hotel Tax Is Rather Silly - Who's Staying In Them?

I just saw this:
Subject: City's Hotel Tax (Transient Occupancy Tax) - Ballot Measure
From: Councilmember Jean Quan
Recommendation: Adopt A Resolution Submitting, On The Council's Own Motion, To
The Electors At A June 2, 2009 Special Election, A Proposed Ordinance Amending The
Oakland Municipal Code In Order To Provide For A Two Percent Surcharge To The
City's Transient Occupancy Tax (Hotel Tax) To Support The Oakland Zoo, The Oakland
Museum of California, Chabot Space And Science Center And The Cultural Arts
Programs And Festivals..
And had to react.  Who's idea was it to have an increase in the Hotel Tax in the middle of a recession in a town not known for tourism?  I'd bet the revenue projection was a rosy scenario that will never soon come to pass.
Now the City folks might say "Oakland has the highest hotel use rates in the State" but that comes from data that's almost three years old.  This is a new world.  Why charge a higher tax that will be passed on to the consumers and make the hotel rooms less attractive?  
Read: not a good idea. 
The tax is already at 11 percent -- why not go the reverse direction and lower the rate by 4 percent, causing a reduction in room rates to remain competitive?  Counter-intutive, but hey it's a recession of deep measure.  I'll bet my plan will generate more revenue than the one before the City Council -- that's a failure to be sure.  
If they want to get the CVB more money, why not take part of that $7 million from the Redevelopment Agency I mentioned and use that?  Now, before you fire off with the "that can't be used for services" actually via a provision in California Redevelopment Law it can. 
It's Section 33678:
(a) This section implements and fulfills the intent of this
article and of Article XIIIB and Section 16 of Article XVI of the
California Constitution.  The allocation and payment to an agency of
the portion of taxes specified in subdivision (b) of Section 33670
for the purpose of paying principal of, or interest on, loans,
advances, or indebtedness incurred for redevelopment activity, as
defined in subdivision (b) of this section, shall not be deemed the
receipt by an agency of proceeds of taxes levied by or on behalf of
the agency within the meaning or for the purposes of Article XIIIB of
the California Constitution, nor shall such portion of taxes be
deemed receipt of proceeds of taxes by, or an appropriation subject
to limitation of, any other public body within the meaning or for
purposes of Article XIIIB of the California Constitution or any
statutory provision enacted in implementation of Article XIIIB.  The
allocation and payment to an agency of this portion of taxes shall
not be deemed the appropriation by a redevelopment agency of proceeds
of taxes levied by or on behalf of a redevelopment agency within the
meaning or for purposes of Article XIIIB of the California
Constitution.
   (b) As used in this section, "redevelopment activity" means either
of the following:
   (1) Redevelopment meeting all of the following criteria:
   (A) Is redevelopment as prescribed in Sections 33020 and 33021.
   (B) Primarily benefits the project area.
   (C) None of the funds are used for the purpose of paying for
employee or contractual services of any local governmental agency
unless these services are directly related to the purpose of Sections
33020 and 33021 and the powers established in this part.
   (2) Payments authorized by Section 33607.5.
   (c) Should any law hereafter enacted, without a vote of the
electorate, confer taxing power upon an agency, the exercise of that
power by the agency in any fiscal year shall be deemed a transfer of
financial responsibility from the community to the agency for that
fiscal year within the meaning of subdivision (a) of Section 3 of
Article XIIIB of the California Constitution.
Note the BOLD. In other words have the Convention and Visitor Bureau's activity written into the 
Redevelopment Plan for Downtown and the Colisem Redevelopment Area.  That would do the trick
 
Uh.  Now I know why I go to make a video yelling about Rush Limbaugh.  That's fresh meat! 

Comments

Popular posts from this blog

Alex Castro, Electronic Arts VP, Is Oakland’s “Fake Joe Tuman”, “Crocker Mom”

Alex Castro, is currently Vice President Of Product Management At Electronic Arts, and a fairly-well-known and legendary tech executive, regularly quoted in a number of industry publications. But Alex Castro’s also an Oakland resident who has the terrible habit of going online, making traceble email accounts from his Electronic Arts office, and posing as someone […] from WordPress http://ift.tt/1fVkWP9 via IFTTT

Event: Jog For Jill San Francisco Run September 12th Golden Gate Park

Cal Women's Rowing Team member Jill Costello passed away from complications due to lung cancer on June 24th 2010 and at the age of 21. A San Francisco event and run called Jog For Jill has been established and will be held this Sunday, September 12th at 5 PM. Two members of the Cal Women's Crew team were at the Cal vs. Davis football game wearing Jog For Jill shirts, and were kind enough to provide the video interview above. Below are the other details from the event website, where you're encouraged to pre-register here CLICK FOR SITE : Pre-Registration: Online/$25 Day of Registration: 4:00 p.m./$30 Shotgun Start: 5:00 p.m. After run/walk celebration: 6:00 p.m.- 8:30 p.m. Event Location: Golden Gate Park Music Concourse Bandshell S Tea Garden Drive San Francisco, California 94118 Participants are encouraged to pre-register. Only pre-registered participants will be guaranteed a walk/run T-shirt. T-shirts will be limited to the first 2500 day of regis

Oakland Mayor's Race: LWV Forum Draws Oakland's Older Folks

Oakland Mayor's Race Forum first take. (Which means, there's going to be more of these posts on last night, because a lot was happening.) This just in: The Oakland Tribune's out of touch with Oakland. A number of attendees of the 450 estimated said they learned of the Oakland League Of Women Voters via "the newspaper." All of the people who made that statement were over 50 years old. Still, the forum, which attracted every candidate except Dr. Terrance Candell, was a success. The auditorium at 300 Lakeside Drive seats 380 people, so if you do the math, it was about 70 over capacity. The crowd was a happy mix of supporters of candidates and long-time observers of the Oakland political scene. The one complaint they had was there wasn't enough time to hear what the candidates were about. That wasn't because there were too many candidates, but due to the format. Either Oakland Tribune Editor Martin Reynolds or the League of Women Voter