Support for LAist comes from
We Explain L.A.
Stay Connected

Share This

This is an archival story that predates current editorial management.

This archival content was written, edited, and published prior to LAist's acquisition by its current owner, Southern California Public Radio ("SCPR"). Content, such as language choice and subject matter, in archival articles therefore may not align with SCPR's current editorial standards. To learn more about those standards and why we make this distinction, please click here.

News

Culver City Seeks to Increase Hotel Tax, Some Fear Local Tourism Would Decrease

culver-city-tot-tax.jpg
The Culver Hotel | puck90/LAist Featured Photos
Before you read more...
Dear reader, we're asking you to help us keep local news available for all. Your financial support keeps our stories free to read, instead of hidden behind paywalls. We believe when reliable local reporting is widely available, the entire community benefits. Thank you for investing in your neighborhood.

Amid these belt tightening times, Santa Monica wants to raise the sales tax and Culver City has a similar idea, but they want to hit up tourists for some extra money instead. The City Council Monday night took steps to place a measure on the November ballot that would increase the Transient Occupancy Tax rate from 12 percent to 14 percent, according to the Los Angeles Wave. The tax places a levy on people who buy lodging for 30 days or less. The move has hotel owners and operators worried because surrounding cities have a more costly tax. Los Angeles, Beverly Hills, West Hollywood and Santa Monica all have a 14 percent tax. “It is a selling point that we have been using for years,” said Bill Reider of the Radisson Hotel about their lower tax rate, “and when we lose that I’m afraid that we are going to lose a considerable amount of group business in the city and possibly a considerable amount of corporate business from our local negotiated rates.”

Culver City has a $2 million budget shortfall and the new tax rate, if approved by voters, could bring in nearly $500,000 annually. City staff said travelers do not base their room bookings on the tax, but the room rate.