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Hotel association pushing back against Birmingham surcharge plan

Hotel fee increase could make Birmingham's lodging tax one of the highest in U.S.

Hotel association pushing back against Birmingham surcharge plan

Hotel fee increase could make Birmingham's lodging tax one of the highest in U.S.

JON: TO BRING MORE CROWDS LIKE THIS TO TOWN, BIRMINGHAM WANTS TO BOOST THE COST TO STAY IN ITS HOTELS. CITY COUNCILOR WILLIAM PARKER BELIEVES A $3 NIGHTLY SURCHARGE GIVES THEM THE RECRUITING POWER THEY NEED. WILLIAM PARKER: IT COMES OUT TO ROUGHLY $3 MILLION TO $4 MILLION A YEAR IN ADDITIONAL REVENUE THAT WE WILL BE ABLE TO USE TO ATTRACT SPORTING AND ENTERTAINMENT EVENTS HERE WITHIN THE CITY OF BIRMINGHAM. JON: PARKER SAID HE IS MODELING THE INCREASE AFTER PLANS RECENTLY PASSED BY HOOVER AND HUNTSVILLE. BUT ALABAMA’S HOTEL ASSOCIATION BELIEVES THE LODGING TAX RATES IN THOSE CITIES FALL BELOW BIRMINGHAM’S. >> THEY DID NOT START OF AS HIGH EITHER. BIRMINGHAM IS ALREADY AT 17.5. JON: SHE SAYS WHEN YOU TALK ON THE SURCHARGE FOR DOWNTOWN HOTELS, IT WOULD RAISE THE LODGING TAX TO 20.7% WHICH SHE SAYS WOULD BE THE THIRD HIGHEST AMONG THE NATION. >> I THINK IT COULD HAVE THE UNINTENDED CONSEQUENCE OF DRIVING AWAY GROUP BUSINESS. JON: THAT’S WHY SHE IS ASKING BIRMINGHAM TO CHOP THE INCREASE IN HALF AND GIVE SOME OF THE REVENUE TO THE CONVENTION AND VISITOR’S BUREAU. COULD THEIR COUNTER-PROPOSAL DERAIL PARKER’S PLAN? WILLIAM PARKER: VERY OPTIMISTIC THAT WE WILL HAVE THE $3 SURCHARGE IN PLACE OVER THE NEXT COUPLE OF WEEKS. JON: AND IF IT PASSES THAT EXTRA , HOTEL REVENUE COULD ST
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Hotel association pushing back against Birmingham surcharge plan

Hotel fee increase could make Birmingham's lodging tax one of the highest in U.S.

Alabama's hotel association is seeking a compromise on Birmingham's proposed surcharge. The three dollar increase is designed to raise $3 million-$4 million a year to help recruit sporting and entertainment events to Birmingham.The Alabama Restaurant and Hospitality Association CEO says the planned hike would make Birmingham's lodging tax the third highest in the nation.

Alabama's hotel association is seeking a compromise on Birmingham's proposed surcharge.

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The three dollar increase is designed to raise $3 million-$4 million a year to help recruit sporting and entertainment events to Birmingham.

The Alabama Restaurant and Hospitality Association CEO says the planned hike would make Birmingham's lodging tax the third highest in the nation.