Lodging tax will be on November ballot

Greg Willson of the Lodging Tax PAC spoke at the candidate forum for the renewal of the lodging tax

Willson explained the lodging tax is a four percent surtax on every room, campsite and bed and breakfast. “Basically if you stay overnight for less than 30 days in Hot Springs County, you’re going to pay a four percent lodging tax.” The money generated by the tax is sent to Cheyenne, collected and then returned to the county. At that point, Willson said, the Lodging Tax Joint Powers Board distributes it for advertising.

“They advertise to bring more people in to Hot Springs County,” Willson said, further explaining the money is cyclical – it’s collected from tourists who are visiting Hot Springs County, to bring more tourists to Hot Springs County. In that sense, he said, it’s cycled through the increase tourism and tourism revenues.

The money goes to items such as 19 billboards – 10 traditional, nine digital – across the state. Of those, six were resurfaced this year and there is a partnership with the Smoking Waters Art guild to repaint three west of town. Money also goes to a number of other advertising campaigns.

Willson also pointed out the lodging tax helps provide for sponsorship of local events. In 2015, there were 15 events sponsored, and in the coming fiscal year it’s looking like 17 will be. These include, but are not limited to, the car rally, Gift of the Waters pageant, the demolition derby, PRCA Rodeo, Big Horn Basin Football Camp, People of the Earth Days, the annual fireworks show, the Smoking Waters Golf Tournament, Second Friday ArtStrolls, Oktobrewfest and the upcoming 2017 solar eclipse event.

It’s been about three years since the Chamber of Commerce and the Lodging Tax Board split, Willson said, which allowed the Chamber to focus more on business development and being a resource for small businesses, and for the Lodging Tax Board to focus more on tourism and advertising. Since the split, he noted, there’s been about a 450 percent increase in ad placement, and a 94 percent increase in placement since 2014. Special events funding has increased about 70 percent, and the dollar amount for special events has increased 111 percent, with only a 20 percent budget increase since 2014.

“So that means we’re actually able to get more bang for our buck,” Willson said, “and get more local events funded through the Lodging Tax Board.”

While for the most part, Hot Springs county residents to not pay the lodging tax, Willson said, they certainly do benefit from it through the bringing of tourists to the community and special events.