Sacramento Tourism Infrastructure District Tax for Convention Center Ballroom

[David3039]

I have been hosting in Sacramento for over year or so and am registered with the City.

On October 23, the City Council will be holding a public hearing on their plans to adopt a Resolution of Intention to establish "the Sacramento Tourism Infrastructure District No. 2018-04 (the STID) to levy taxed on short-term rentals.  They state in the notice sent out that the tax will be at 1% to pay for a Ballroom and the STID annual budget of $3.12 Million dollars.  

It seems to me that they are trying to establish a district to impose regulations, inforcement, and taxes down the road for us small business owners.

Many other cities do not have such districts and agencies to impose these regulations, such as Costa Mesa, CA.  I question if this is something that would be benificial for us or just be burden in the future.

I wanted to get the communities feedback and thoughts on the issue. Would love to hear your thoughts.  If protest is in the picture, it needs to be fast.

[Kris164]

I got a letter about this

what the heck

we already pay 12% taxes to the county

[David3039]

Hi Kris, here is some simple language you can copy and paste into a word doc and edit to send to the city:

DATE

Office of the City Clerk

City of Sacrmento

915 “1” Street

New City Hall

Sacramento, CA 95814

To Whom it May Concern,

I, who am operating a short-term rental, at ADDRESS HERE protest the proposed “Sacramento Tourism Infrastructure District No. 2018-04 (the “STID”). I strongly encourage the City Council to reject the adoption of the “STID.”

NAME / SIGNATURE HERE

[Briana26]

Thanks, I'll use this template!

[Christina142]

---

@Kris164 wrote:

I got a letter about this

what the heck

we already pay 12% taxes to the county

---

Kris, I think the 12% tax is something different.  This, I think is a new tax.

This is what I got from Airbnb last year about the 12% tax.

"

Airbnb <hello@airbnbmail.com>

Sat 9/9/2017, 9:04 AM

On September 1, Airbnb began collecting a 12% transient occupancy tax for our Sacramento hosts.

If you haven’t already, you must obtain a valid short-term renatl license or risk facing enforcement from the city. After receiving your short-term rental license, please enter your license number into the “License or registration number” field on your listing. Go to Manage Listing and Calendar > Location (under Listing section). The number should match this format: YY-XXX.

This is an important step toward ensuring the long-term viability of home sharing in Sacramento. The city’s agreement to allow Airbnb to collect and remit taxes on behalf of our hosts is the result of our continued collaboration with policymakers to create fair and common-sense short-term rental regulation. By working with cities around the world, we can ensure the benefits of home sharing are fully understood, and the ability to share your space is regulated in a fair and simple way.

If you have any additional questions on the permitting process, please contact the City of Sacramento at (916) 808-1286. 

Thanks,
The Airbnb Team

[Kris164]

Yes I know

its just that they want to add additional taxes which I assume WE pay

not collected by AirBnB at booking

12% on top is already a lot 

hoping this does not go through

along with their board and then there is s proposition wanting to add a board to set prices on what I can charge in my home apparently

[Kris164]

I do not understand what this tax is

what does a ballroom have to do with anything and I definitely do not want additional taxes and regulations

[David3039]

I agree.  I believe their logic is that the ballroom will increase tourism and because we are participating in that - we should pay for it.  

Here is some additional information on the topic from the City's meeting minutes on the matter:

http://sacramento.granicus.com/MetaViewer.php?view_id=22&clip_id=4247&meta_id=533350

[Carrie194]

I'd like to know more about this as well.  

[David3039]

From what I have read so far, they are tying to implement a tourism district within the boundary shown in the link below to regulate and impose additional taxes on short term rental hosts.

https://lh3.googleusercontent.com/fZf9SrvzCUzLRkr8f6KbN2ZkknJfhNYcXCh7oCFBAmxNwruS4SyrzXtmf7K9NOKKYP...

[Mike-and-Joey0]

I'll send a letter in. I don't see that there would be a benenfit for me from this tax.  Taxes are high enough already and the city and county need to work within their means.

[David3039]

Much appreciated Mike / Joey.  Beyond just the taxes, this regulative body will have implications in the future in how they will impose restrictions on us small business owners.

[Dave-and-ML0]

Hey Carrie I'm a host in the Pocket and need a cleaning turnover person every once and a while. Do you have any recommendations? 

FYI there is legal action being taken against the Tourism Board and city for the extra tax for the ballroom.

Thanks Dave 

[Christina142]

Thank you David,

I've sent a letter to the City of Sacramento based on the one you provided.  I've also reached out to a friend who offers short-term-rentals and asked him to do the same.

Do you have any other suggestions on what we can do to reverse this tax-targeting of mom-and-pop short-term-rental providers?  I swear, the City of Sacramento is making it so hard to do business with them, I'm consider selling the property and getting out of the rental business.  

Additionally, Proposition 10, the rent control measure will make it even harder for us.  https://noprop10.org/

[Julian-and-Tina0]

Please call or better still email Visit Sacramento. Ask specific questions about issues that concern you.