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.

[Julian-and-Tina0]

Christina

following on from a meeting organized by Airbnb last night, I have some great news to share:

So we can deal with issues that challenge us locally we are forming a local host group.  To start, there is a FB page for you to join. It will soon have Airbnb branding on it and will benefit from their technical and promotional input. Yes, Airbnb will provide support!!

We already have an impressive line up of skilled hosts (local community organizers, local and state politics experience, lobbyists) who are or will soon be joining. Just joining and encouraging other hosts to join is a great start, and gives you an opportunity to ask questions, seek mentorship, and share your ideas, concerns and experience.

Can I count you in? 

Search for Sacramento Airbnb Host Group on FB and request to join. 

Cheers Julian

[Julian-and-Tina0]

Hi all.

I have been following this closely, and have had communication with both Visit Sacramento, who are behind the STID and the city council.

A couple of things to consider.

The STID plan is appalling. I have reviewed similar plans, for example the redevelopment of San Francisco’s  Convention center. The plan for Sacramentolooks as if it was put together in a hurry, by folks simply unqualified and inexperienced to do the job properly. 

The data and analysis in the plan  simply don’t support the key criteria which should allow an infrastructure district to be formed:

1. Benefit will not be equal amongst all who are being assessed (taxed) you do t have to be Einstein to figure hotels closest to the convention center will get the biggest benefit.

2. Others not paying the assessment will benefit: West Sac has a plethora of hotel choices, many identical to those in the proposed district.  Of course attendees are just as likely to chose to use these hotels as any other similar hotels that are as close to the convention center.

3. The proposed structure to manage the STID almost ensures Airbnb Hosts won’t get a say. For the next 30 years!

There are about 1,000 Airbnb’s in the Sac region. In an act of complete contempt for Airbnb hosts, Visit Sacramento have knowingly chosen not to communicate this plan with about 800 of them.

Please follow up with city hall, or Visit Sacramento. 

This plan doesn’t merit support for the formation of the STID.

Arguably what they are doing is illegal. 

[David3039]

Dear All,

I have met with a couple of our community members in taking a stand against the STID.  We have attended the City Council meeting and made statements against the proposed district and additional tax. The additional tax will be imposed with the STID plan to support the development, construction, renovation and addition of the Sacramento Convention Center - specifically a ballroom that will cost at a minimum 3.14 Million dollars. 

Personally I don't think we should be under the same umbrella as "hotels" because we are residential home owners providing a service unique in hosipitality and are considerably different in our scale of business. In addition, I do not see how the Sacramento Tourism Infrastructure District (STID) has anything to do with "Infrastructure." Instead, I see the plan as an infection that would be difficult to rid of and would likely become a larger burden to our hosting in time.

There is talk about taking legal action against the city to reverse the STID if it is to move forward and the related tax. A notable lawyer that is well versed in this type of case has been contacted and is willing to take our case to court for free - all we would need is a group of people to act as plaintiffs in the case against the STID and the related taxes that will be imposed on us on the outset and possiblie future taxes to fund other development related to Sacramento Tourism.

It would be beneficial to have additional individuals in our group of plaintiffs and it would be a great contribution to the start of protecting our rights as short-term residential hosts in the Sacramento area.  If you are interested and would like to be a plantiff to stand up against this STID plan, please reach out now. We look forward to hearing from you!

[Julian-and-Tina0]

The fight goes on!

[Kris164]

I would love to help fight this

what do we need to do

[Julian-and-Tina0]

Kris - we need to form some sort of association to fight taxes etc. 

interested in helping? 

[Diane584]

I’m a new AirBnB host. We’v Had 4 guests & 4 -  5⭐️ Reviews. We have the $125. Permit and I’ve just started looking into the Conditional Use Permit. I’m terrified at the prospect of paying the city over $3000 when there’s no guarantee they’ll let me have the Permit. Did you all get the CUP?

As far as this business of no representation of our interests with regard to more taxes being levied... it’s absolutely disheartening.

Also on a side note... does AirBnB pay your tax to the city or do we need to send it in ourselves?

[Julian-and-Tina0]

Diane

where is your Airbnb located and do you live in it? 

In in many regions Airbnb will collect and remit hotel/occupancy taxes on your behalf.  In the city of Sacramento they do collect and remit.

CUPS are only applicable with Airbnb’s that are not occupied by the owne/host.  There are only a limited number of CUPS that have been applied for and granted.  (I personally only know one Airbnb host that has been issues with a CUP)

you may may want to contact me directly to discuss.  As this is an open forum, you may not want to share private information with everyone. 

Representation .... some of us have put days of work fighting new taxes! 

Jsleeairbnb@gmail.com