Archive for Wednesday, March 28, 2001

Transient guest tax earns final approval

March 28, 2001

A tax to help finance economic development and tourism efforts in Tonganoxie should take effect July 1.

In January, city council members approved a charter ordinance that would allow the city to charge a 4 percent tax on local hotel and motel bills.

A 61-day protest period has passed, and city council members Monday night approved implementation of the transient guest tax.

"The Department of Revenue can start collection in July if we get it in by the end of this week," said Chris Clark, city administrator.

The state will collect the tax, and the funds will be funneled back to the city.

City officials hope the tax will provide the city additional revenue, especially with the opening of the Kansas Speedway in Western Wyandotte County.

The tax ordinance establishes an Economic Development and Tourism Council, which would make recommendations to the council on how to spend the funds generated from the 4 percent tax.

The mayor, city administrator, Chamber of Commerce president and three or more other community members approved by the council will make up the Tourism Council.

Commenting has been disabled for this item.