Resolution 14-111 Requesting the Kenai Peninsula Borough Assembly to Permit Cities to Levy a Higher Rate Sales Tax on Hotel/Motel Rooms

CITY OF HOMER

HOMER, ALASKA

Lewis, Roberts, Burgess

RESOLUTION 14-111

A RESOLUTION OF THE CITY COUNCIL OF HOMER, ALASKA, REQUESTING THAT THE KENAI PENINSULA BOROUGH ASSEMBLY ENACT AN ORDINANCE PERMITTING GENERAL LAW CITIES IN THE BOROUGH THAT LEVY A SALES TAX TO LEVY A SALES TAX AT A HIGHER RATE ON HOTEL/MOTEL ROOM RENTS.

               WHEREAS, Alaska Statue 29.45.700(a) permits the City to levy a sales tax on all sources taxed by the Kenai Peninsula Borough in the manner provided for boroughs; and

               WHEREAS, Alaska Statue 29.45.700(a) also provides that the Kenai Peninsula Borough Assembly may by ordinance authorize a city to levy and collect sales taxes on sources other than those taxed by the Borough; and

               WHEREAS, The Borough levies a general sales tax on sales, services and rents, but does not levy a sales tax at a higher rate on hotel/motel room rents; and

WHEREAS, It is appropriate that residents of the City be allowed to determine whether the City should levy a sales tax on hotel/motel room rents at a higher rate than the City’s general sales tax rate.

               NOW, THEREFORE, BE IT RESOLVED that the City Council of Homer, Alaska, hereby requests that the Kenai Peninsula Borough Assembly enact an ordinance authorizing general law cities in the Borough that levy a sales tax to levy a sales tax on hotel/motel room rents at a rate that is higher than the rate of the city’s sales tax on other sales, services and rents, in substantially the following form:

Pursuant to AS 29.45.700(a), general law cities in the Borough that levy a sales tax are authorized to levy a sales tax at a higher rate on rent for the occupancy of a room or rooms for dwelling, lodging, or sleeping purposes in a hotel, motel, inn, or similar structure for a period of less than 30 consecutive days.

                    PASSED AND ADOPTED by the Homer City Council on this 27th day of October, 2014.

CITY OF HOMER

                                                                                                         _______________________

                                                                                                         MARY E. WYTHE, MAYOR

ATTEST:

______________________________

JO JOHNSON, MMC, CITY CLERK

Fiscal Note: N/A