City officials said they reached a tentative agreement with hospitality leaders to amend an increase to the hotel tax in next year’s budget.
Mayor Cherelle Parker initially proposed raising the tax rate by 2% starting in August. The revision announced Wednesday would reduce that hike to 0.6%, but it would levy a 6% tax on short-term rentals. City Council must pass a budget before July 1.
If this updated proposal is approved, the increases would generate an additional $75 million over the next five years that would be allocated for homeless services and go toward fulfilling the mayor’s goal of adding 1,000 shelter beds, Parker said…