Town to Decide Next Step for RV Park Guest Tax

July 17, 2012 by   - () Comments Off on Town to Decide Next Step for RV Park Guest Tax

The debate over whether RV parks in Red Bluff, Calif., should be subject to Transient Occupancy Tax fees could be left up to Red Bluff voters to decide.

The city council will consider a resolution at its meeting tonight (July 17) to put the issue on the November ballot, the Red Bluff Daily News reported.

A four-fifths vote is required by the council to submit the measure.

A staff report estimates the city would have received an additional $52,000 in revenue during the first six months of 2012 had it not been in a dispute over the ordinance with Durango RV Park.

The city imposes a 10 percent tax on room fees to guests in a wide variety of commercial lodging establishments, but has battled for years over whether language in a 1965 ordinance included recreational vehicle parks and campgrounds.

In September 2011, the council amended its ordinance to specifically list RV parks and campgrounds.

Still, according to a staff report, the city is being questioned over the historical definition of hotel used in the ordinance.

Rather than entering into a potentially protracted and expensive legal battle over these issues, staff recommends that the city council submit the issue to the voters for resolution, the staff report said.

The proposed ballot measure would be limited to occupancies that last for fewer than 30 days.

Voters turned down a 2004 ballot measure that would have increased the transient occupancy tax from 10 percent to 12 percent.

The tax started at 4 percent when it was implemented in 1965.


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