Pasadena Tourism Board Wants to Keep “Room Tax” at 2007 Tax Rate

The Advisory Board of the Pasadena Tourism Business Improvement District (TBID) has proposed to keep the hotel and motel room tax in the city at 2.89 percent for fiscal year 2017, according to a Report prepared by the Pasadena Center Operating Company for Monday’s City Council meeting.

The tax rate has been in effect since 2007. For 2017, the tax is expected to generate $3,575,000 in revenues for the city, to be used for the promotion of tourism.

In the report, PCOC CEO Michael Ross said the PCOC Board, serving as the Advisory Board for the Pasadena TBID, approved to maintain the current tax rate at its latest meeting last month.

“The annual report recommends the assessment rate to continue at 2.89 percent for Fiscal Year 2017, which would be in effect from July 1, 2016 through June 30, 2017,” Ross said. “The PCOC has discussed the assessment rate with hotel and motel operators within the City of Pasadena and has received broad based support. No letters have been received in protest of the 2017 assessment.”

As required by City ordinance, the City Council must now adopt a resolution of intention to levy an assessment equivalent to the proposed tax rate, and then submit the resolution to a public hearing.

If there is no major protest from hotel and motel business owners, the City Council may adopt a resolution that levies the assessment.
PCOC recommends the public hearing to be held on June 13, 2016, at 7 p.m.

TBID was established by the City Council 2003 to maximize available revenue from the hotel and motel industry. Assessments from the TBID are used to pay for marketing and promotional efforts of the Convention and Visitors Bureau and Convention Center.