Fiscal Note - SB 0155 - Tourism Tax For Bowling Green
L.R. NO. 0078-01
BILL NO. Truly Agreed To And Finally Passed SB 155
SUBJECT: Cities; Taxation, Revenue
TYPE: Original
DATE: May 16, 1997
FISCAL SUMMARY
ESTIMATED NET EFFECT ON STATE FUNDS
FUND AFFECTED FY 1998 FY 1999 FY 2000
None
Total Estimated
Net Effect on All
State Funds $0 $0 $0
ESTIMATED NET EFFECT ON FEDERAL FUNDS
FUND AFFECTED FY 1998 FY 1999 FY 2000
None
Total Estimated
Net Effect on All
Federal Funds $0 $0 $0
ESTIMATED NET EFFECT ON LOCAL FUNDS
FUND AFFECTED FY 1998 FY 1999 FY 2000
Local Government* $0 $0 $0
*This proposal is permissive. Voter approval would be required before fiscal
impact would be realized.
FISCAL ANALYSIS
ASSUMPTION
Department of Revenue (DOR) officials stated they do not collect tourism
taxes at the present time due to the administrative expense of collecting a
special tax on a special activity or item. Officials assume that no
agreement would be established to collect the tax, therefore, there would be
no administrative impact.
Department of Economic Development (DED) - Division of Tourism (DOT) stated
this proposal is permissive and would have no fiscal impact to their
department. Officials stated the city administration of Bowling Green had no
estimate of local impact.
Oversight assumes that this proposal is permissive and would have no state
fiscal impact. Voter approval is required before any city or county
governing body would be authorized to impose a tax.
FISCAL IMPACT - State Government FY 1998 FY 1999 FY 2000
(10 Mo.)
$0 $0 $0
FISCAL IMPACT - Local Government FY 1998 FY 1999 FY 2000
(10 Mo.)
This proposal is permissive, however there would be fiscal impact if the
cities of St. Peters or Bowling Green's governing body would seek and receive
voter approval to levy a special hotel tax. There would be income which
would be earmarked solely for funding a convention and visitor's tourist
bureau, and administrative cost due to collection and additional record
keeping.
FISCAL IMPACT - Small Business
If enacted, small businesses of the hotel/motel industry could be expected to
be fiscally impacted to the extent that they may incur additional
administrative costs related to collection of the tax.
DESCRIPTION
This act authorizes the cities of Bowling Green and St. Peters, in addition
to those cities already authorized by Section 67.1000, RSMo, to impose a tax
upon the room charges for all hotels and motels in the city, up to a maximum
of 5%, for the purpose of funding a convention, visitor and tourist center.
This legislation is not federally mandated, would not duplicate any other
program and would not require additional capital improvements or rental
space.
SOURCES OF INFORMATION
Department of Revenue
Department of Economic Development-Division of Tourism
This Fiscal Note is not an official copy and should not be quoted or cited.