HR Council To Proceed With Hotel Expansion Program

Hood River City Councilors told municipal staff to proceed with development of a proposed program that would allow hotels that expand their room capacity to be able to recoup certain qualified costs utilizing transient lodging taxes generated by the hotel development three years after completion.  Municipal staff are proposing the program as a way bring in more TLT monies as the City deals with tax revenues that are not keeping pace with the cost of providing services.  City Finance Director Chris Longetti says the program would not be a front-end subsidy, upfront costs are not covered, there would have to be some kind of public benefit, and once the project is finished only certain costs like systems development charges can be recovered.  The Council told staff to bring back a full proposal for potential adoption.

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