Loading...
HomeMy WebLinkAboutCOM 0358.003 2014-2016 Margaret Wille -.,-,-,,i;,,_• Phone No.Hilo: (808)961-8027 gip;'. ''•�, Phone No. Waimea: (808)887-2043 Council Member � �dje,;1:1%; ,District 9-North and South Kohala • Fax No.: (808)887-2072 •�"�;:�.W: .• E-Mail: mwille@co.hawaii.hi.us t -two • HAWAII COUNTY COUNCIL County of Hawai'1 Hawaii County Building Holomua Center West Hawaii Civic Center Bldg.A 25 Aupuni Street 64-1067 Mamalahoa Highway,Suite C-5 74-5044 Ane Keohokalole Hwy. Hilo, Hawai`i 96720 Waimea, Hawaii 96743 Kailua-Kona, Hawaii,96740 v.,> CD -.!--m- -,t= TO: Dru Mamo Kanuha, Council Chair i And Members of the Hawai`i County Council FROM: Margaret Wille, Council Member ,f�% i•'��_..i :az - ✓ . Lj - :-.7,) DATE: August 26, 2015 . -- SUBJECT: Additional Information for Communication No. 358.2 Please find attached the following for reference during the Communication No. 358.2 discussion on September 1, 2015: 1. Maui Council Chair Mike White Testimony 2. Maui Council Chair Mike White Total State and Local Tax Levied on Lodging Facilities in 150 Cities Nationwide Attachment 3. Maui Council Chair Mike White 2014 HVS Lodging Tax Report- USA Attachment Thank you. MW/dh att Comm. No. 3 C8-3 Ref. To: P/Ci re-E D L Serving the Interests of the People of Our Island Ref. Date SEP 0 1 71115 , Hawai`i County Is An Equal Opportunity Provider And Employer • Council Chair o,�*•��„� Director of Council Services Mike White David M. Raatz,Jr., Esq. Vice-Chair •+�7 Don S. Guzman 'rEOSN.% Presiding Officer Pro Tempore COUNTY COUNCIL Michael P.Victorino COUNTY OF MAUI Councilmembers Gladys C. Baisa 200 S. HIGH STREET Robert Carroll WAILUKU, MAUI, HAWAII 96793 Elle Cochran www.MauiCounty.us Don Couch Stacy Crivello Riki Hokama August 5, 2015 TO: Honorable Simeon R. Acoba, Chair, and Members of the State-County Functions Working Group (TAT) FROM: Mike White ///"...._ Council Chair SUBJECT: MEETING OF AUGUST 5, 2015; TESTIMONY ON ALLOCATION OF TRANSIENT ACCOMODATIONS TAX REVENUES Thank you for the opportunity to testify on this important matter. The Maui County Council has not taken a formal position on the allocation of transient accommodations tax (TAT) revenues. Therefore, I am providing this testimony in my capacity as an individual member of the Council. I would like to note, however, the Council supported House Bill 197 (2015) - included in the Hawaii State Association of Counties' package - to remove the cap on TAT allocation to the counties. My testimony is also informed by my visitor industry experience as general manager of the Ka'anapali Beach Hotel for 29 years, and through my service as a state legislator from 1993 to 1998. At this critical juncture, for many reasons, I firmly believe that the counties' share of the total transient accommodations tax revenue, at a minimum, should be fixed at 50 percent. BRIEF HISTORY As an active participant in the TAT discussion for many years, I would like to share my recollection of how the TAT was established and my understanding of its recent changes. For 18 years, throughout the 1970s and `80s, the hotel industry successfully defeated proposals at the Legislature to impose a hotel room tax. In the late `80s, after many long discussions, visitor industry leaders on Oahu were agreeable to a room tax with the understanding that it would fund a new convention center. At the beginning of the session, the industry and the Legislature agreed on a 2 percent room tax earmarked for the convention center, but by the end of session the room tax was 5 percent, and the earmark was removed. August 4, 2015 Page 2 Those of us on the Neighbor Islands were against the tax, but eventually agreed to it, mainly to assist Oahu. The setup was unique compared to other jurisdictions, as the tax would be imposed by the State, even though Neighbor Islands were unable to utilize the new convention center. Through this setup, it was only fair for the counties to receive a portion of the TAT to off-set tourism-related costs and services. It was determined that a portion of the revenues from the TAT would be distributed to the counties, replacing the grants-in- aid that had been given previously. Slight adjustments were made throughout the years, but since 1998, 44.8 percent of the TAT was distributed to the counties, until the distribution was capped at $93 million in 2011 due to the downturn in state revenues. The tax rate was also increased from 7.25 percent to 9.25 percent. It is critical to note that in 2011, the cap and the rate increase were understood to be temporary measures to help move the State back onto stable financial ground. For Fiscal Years 2015 and 2016, the Legislature raised the TAT revenues allocated to counties to $103 million, but reduced the allocation to $93 million thereafter. Since the allocation no longer appears to be temporary in nature, I am pleased that this working group is reviewing the history of the TAT to recommend a fair allocation to the counties. COMPARING OTHER MUNCIPALITIES I hope you will take the time to review the 2014 HVS Lodging Tax Report that lists 150 cities, special districts, and counties throughout the nation incorporating all taxes imposed on lodging, including state taxes. This report includes enough data to set a fair benchmark. The report says local municipalities have a 9.08 percent tax rate for lodging, compared to a 4.33 percent rate for states, with an average combined tax rate of 13.41 percent. In Hawaii, specifically Honolulu, of the 13.75 percent tax rate on lodging, only 2.81 percent of the rate goes to the City and County of Honolulu, with the remaining 10.94 percent going to the State. Since Hawaii utilizes a general excise tax and most other states employ a sales tax, the general excise tax must be converted to make a fair comparison. Data provided by the Tax Foundation of Hawaii suggests that our general excise tax is equivalent to an 11 percent sales tax. Taking into account this conversion, the City and County of Honolulu receives a 2.81 tax rate (TAT and GET surcharge) and the State receives the equivalent of 17.94 percent tax rate, which is more than four times the average rate (4.33 percent) among cities in the report. August 4, 2015 Page 3 Local Gov't State Total Average tax rate of 150 municipalities 9.08% 4.33% 13.41% Tax rate - C&C of Honolulu 2.81% 10.94% 13.75% Tax rate - C&C of Honolulu w/ sales tax equivalent 2.81% 17.94% 20.75% REVIEWING THE FIGURES While the State has increased its share of the TAT distribution by $179 million since 2007, TAT collections have increased by only $170 million during the same period: TAT Received Change 2007 2014 $ Oahu $44.4M $45.4M $1.0M 2.2% Maui $23.0M $23.5M $0.5M 2.2% Hawaii $18.7M $19.2M $0.4M 2.2% Kauai $14.6M $14.9M $0.3M 2.2% State of Hawaii $8.3M $188.2M $179.9M 2161.7% Effectively, the State of Hawaii has increased its distribution by 2161.7 percent, while the counties'share was increased by a meager 2.2 percent. COUNTIES HAVE KEY RESPONSIBILITES Local governments bear a significant responsibility for providing a wide array of services and infrastructure necessary to support a vibrant visitor industry. While the State has taken a greater share of the TAT for itself, the cost of core services provided to our residents and visitors have continued to increase. On average, costs for core services in Maui County from 2007 to 2014 increased 33 percent, or around $27 million, yet Maui County has only received an increase in TAT revenue of$508,623, or 2.2 percent, over the same period. Cost increases Change 2007 2014 $ Fire $21.9M $29.9M $7.9M 36.1% Parks $23.7M $29.9M $6.2M 26.5% Police $37.9M $50.5M $13.1M 35.3% August 4, 2015 Page 4 It is often stated that counties should increase their property tax rates. We have done exactly that in response to declining property values. Since the start of the recession, Maui County has reduced exemptions and increased tax rates. The result is an increase of 23 percent in the effective tax rate per $1,000 of property value. Along with our property taxes, the TAT distribution provides critical support for visitor- related infrastructure and operating expenses. Some State officials erroneously view giving TAT to the counties a potential loss. But the State and the counties serve the same constituents of Hawaii, which is why I continue to urge legislators to view these proposals as shared investments. CONCLUSION As the visitor industry begins to rebound, it is only fair that the counties receive a larger share of the TAT. National data clearly suggests that counties in Hawaii are lagging behind their Mainland counterparts in the amount of revenue generated from lodging taxes. It is also important to note that the TAT distribution is particularly important to Neighbor Islands because our economic regrowth continues to lag behind that of Oahu. Additionally, visitors make up a much larger portion of the de facto population. The increase in the cap last year was much appreciated, but fairness dictates that more should be done. It is simply not right for the State to have helped itself to a tax meant to benefit the counties. With the State receiving 23 times more than in 2007 and the counties getting an increase of just 2.2 percent, it is only fair and appropriate for more parity and balance in the TAT distribution. The counties are currently receiving a $103 million in TAT revenue or approximately 25% of total TAT revenues. If counties received the same portion of as an average municipality as reported in the HVS study, the counties would be receiving over $270 million. At a minimum, I firmly believe that the counties' share of the total transient accommodations tax revenue should be 50 percent. Thank you for your consideration. Total State and Local Taxes levied on Lodging Facilities in 150 Cities Nationwide City ST City Special County Total Local State Total Districts Govt Akron OH 3.00% 0.50% 3.50% 5.50% 9.00% Albuquerque NM 5.94% 1.00% 0.94% 7.88% 5.13% 13.01% Amarillo TX 7.00% 2.00% 9.00% 6.00% 15.00% Anaheim CA 15.00% 2.00% 17.00% 17.00% Ancorage AK 12.00% 12.00% 12.00% Arlington TX 9.00% 9.00% 6.00% 15.00% Atlanta GA 9.00% 3.00% 12.00% 4.00% 16.00% Augusta GA 6.00% 4.00% 10.00% 4.00% 14.00% Aurora CO 8.00% 1.10% 0.25% 9.35% 2.90% 12.25% Aurora IL 3.00% 3.00% 6.00% 9.00% Austin TX 9.00% 9.00% 6.00% 15.00% Bakersfield CA 12.00% 12.00% 12.00% Baltimore MD 9.50% 9.50% 6.00% 15.50% Baton Rouge LA 9.00% 9.00% 4.00% 13.00% Birmingham AL 6.50% 7.00% 13.50% 4.00% 17.50% Boise ID 5.00% 5.00% 8.00% 13.00% i Boston MA 6.00% 2.75% 8.75% 5.70% 14.45% Brownsville TX 7.00% 7.00% 6.00% 13.00% Buffalo NY 2.00% 7.75% 7.75% 4.00% 11.75% Chandler AZ 4.40% 1.77% 6.17% 5.50% 11.67% Charlotte NC 2.00% 0.50% 8.00% 10.50% 4.75% 15.25% Chattanooga TN 4.00% 6.25% 10.25% 7.00% 17.25% Chesapeake VA 8.00% 8.00% 5.00% 13.00% Chicago IL 5.58% 4.64% 10.22% 6.17% 16.39% Chula Vista CA 10.00% 2.50% 12.50% 12.50% Cincinatti OH 4.00% 7.50% 11.50% 5.50% 17.00% Cleveland OH 3.00% 1.00% 7.75% 11.75% 5.50% 17.25% Colorado Springs CO 4.50% 1.00% 1.23% 6.73% 2.90% 9.63% Columbus OH 5.10% 5.40% 10.50% 5.50% 16.00% Columbus GA 8.00% 4.00% 12.00% 4.00% 16.00% Corpus Christi TX 9.00% 9.00% 6.00% 15.00% Dallas TX 7.00% 7.00% 6.00% 13.00% Denver CO 10.75% 1.10% 11.85% 2.90% 14.75% Des Moines IA 7.00% 7.00% 5.00% 12.00% Detroit MI 9.00% 9.00% 6.00% 15.00% Durham NC 8.75% 8.75% 4.75% 13.50% El Paso TX 9.00% 2.50% 11.50% 6.00% 17.50% Eugene OR 4.50% 5.00% 9.50% 1.00% 10.50% Fayetteville NC 8.25% 8.25% 4.75% 13.00% Fontana CA 8.00% 8.00% 8.00% Fort Lauderdale FL 5.00% 5.00% 6.00% 11.00% Fort Wayne IN 7.00% 7.00% 7.00%, 14.00% Fort Worth TX 9.00% 9.00% 6.00% 15.00% Fremont CA 10.00% 10.00% 10.00% Fresno CA 12.00% 1.00% 13.00% 13.00% Garden Grove CA 14.50% 2.50% 17.00% 17.00% Garland TX 7.00% 7.00% 6.00% 13.00% Gilbert AZ 4.50% 1.77% 6.27% 5.50% 11.77% Glendale AZ 7.90% 1.77% 9.67% 5.50% 15.17% Glendale CA 10.00% 10.00% 10.00% Grand Prarie TX 7.00% 7.00% 6.00% 13.00% Grand Rapids MI 5.00% 5.00% 6.00%, 11.00% Greensboro NC 3.00% 5.00% 8.00% 4.75% 12.75% Henderson NV 2.00% 7.00% 9.00% 4.00% 13.00% I -i Special Total Local City ST City p County State Total Districts Govt Hialea FL 7.00% 7.00% 6.00% 13.00% Honolulu HI 0.50% 0.50% 13.25% 13.75% Houston TX 7.00% 2.00% 2.00% 11.00% 6.00% 17.00% Huntington Beach CA 10.00% 2.00% 12.00% 12.00% Huntsville AL 6.00% 1.00% 1.00% 8.00% 4.00% 12.00% Indianapolis IN 10.00% 10.00% 7.00% 17.00% Irvine TX 8.00% 2.00% 10.00% 10.00% Irving CA 9.00% 9.00% 6.00% 15.00% Jackson MS 4.00% 4.00% 7.00% 11.00% Jacksonville FL 7.00% 7.00% 6.00% 13.00% Jersey City NJ 6.00% 6.00% 8.00% 14.00% Kansas City MO 9.88% 1.00% 1.25% 12.13% 4.23% 16.36% Knoxvillle TN 3.00% 7.25% 10.25% 7.00% 17.25% Lancaster CA 7.00% 7.00% 7.00% Laredo TX 7.00% 0.25% 1.00% 8.25% 6.00% 14.25% Las Vegas NV 0.50% 7.00% 7.50% 4.00% 11.50% Lexington KY 6.00% 6.00% 7.00% 13.00% Lincoln NE 5.50% 5.50%, 6.50% 12.00% Little Rock AR 3.50% 1.00% 4.50% 8.00% 12.50% Long Beach CA 12.00% 3.00% 15.00% 15.00% Los Angeles CA 14.00% 1.50% 15.50% 15.50% Louisvile KY 7.50% 7.50% 7.00% 14.50% Lubbock TX 7.00% 7.00% 6.00% 13.00% Madison WI 9.00% 0.50% 9.50% 5.00% 14.50% Memphis TN 1.70% 7.25% 8.95% 7.00% 15.95% Mesa AZ 6.75% 1.77% 8.52% 5.50% 14.02% Miami FL 7.00% 7.00% 6.00% 13.00% Milwaukee WI 9.50% 0.60% 10.10% 5.00% 15.10% Minneapolis MN 3.13% 3.25% 0.15% 6.53% 6.88% 13.41% Mobile AL 8.00% 3.00% 2.00% 13.00% 4.00% 17.00% Modesto CA 9.00% 9.00% 9.00% Montgomery AL 8.50% 8.50% 4.00% 12.50% Moreno Valley CA 8.00% 8.00% 8.00% Nashville TN 6.00% 6.00% 7.00% 13.00% New Orleans LA 4.00% 7.00% 11.00% 2.00% 13.00% New York NY 10.38% 0.38% 10.76% 4.00% 14.76% Newark NJ 6.00% 6.00% 8.00% 14.00% Newport News VA 7.50% 7.50% 5.00% 12.50% Norfolk VA 8.00% 8.00% 5.00% 13.00% North Las Vegas NV 1.00% 6.00% 7.00% 4.00% 11.00% Oakland CA 14.00% 14.00% 14.00% Oceanside CA 10.00% 1.50% 11.50% 11.50% Oklahoma City OK 9.38% 9.38% 4.50% 13.88% Omaha NE 7.00% 4.00% 11.00% 6.50% 17.50% Ontario CA 11.75% 11.75% 11.75% Orlando FL 6.50% 6.50% 6.00% 12.50% Overland Park KS 10.13% 1.23% 11.36% 6.30% 17.66% Oxnard CA 10.00% 1.50% 11.50% 11.50% Pembroke Pines FL 5.00% 5.00% 6.00% 11.00% Philidelphia PA 8.20% 1.00% 9.20% 6.00% 15.20% Phoenix AZ 5.00% 1.77% 6.77% 5.50% 12.27% Pittsburg PA 8.00% 8.00% 6.00% 14.00% Plano TX 7.00% 7.00% 6.00% 13.00% Port St. Lucie FL 5.50% 5.50% 6.00% 11.50% Portland OR 6.00% 2.00% 5.50% 13.50% 1.00% 14.50% Providence RI 0.00% 13.00% 13.00% v Special Total Local City ST City County State Total Districts Govt Raleigh NC 8.00% 8.00% 4.75% 12.75% Rancho Cucamonga CA 10.00% 10.00% 10.00% Reno NV 1.00% 3.50% 4.50% 4.00% 8.50% Richmond VA 8.00% 8.00% 5.00% 13.00% Riverside CA 12.00% 12.00% 12.00% Rochester NY 10.00% 10.00% 4.00% 14.00% Sacramento CA 12.00% 12.00% 12.00% Saint Paul MN 3.50% 3.25% 6.75% 6.88% 13.63% Salem OR 9.00% 9.00% 1.00% 10.00% Salt Lake City UT 2.00% 0.90% 11.60% 14.50% 4.70% 19.20% San Antonio TX 9.00% 1.75% 10.75% 6.00% 16.75% San Bernadino CA 10.00% 10.00% 10.00% San Diego CA 10.50% 2.00% 12.50% 12.50% San Francisco CA 14.00% 1.50% 15.50% 15.50% San Jose CA 10.00% 4.00% 14.00% 14.00% Santa Ana CA 11.00% 11.00% 11.00% Santa Clarita CA 10.00% 2.00% 12.00% 12.00% Santa Rosa CA 9.00% 5.00% 14.00% 14.00% Scottsdale AZ 6.65% 1.77% 8.42% 5.50% 13.92% Seattle WA 9.10% 9.10% 6.50% 15.60% Shreveport LA 9.10% 9.10% 4.00% 13.10% Spokane WA 4.20% 4.20% 6.50% 10.70% Springfield MO 7.13% 3.25% 1.25% 11.63% 4.23% 15.86% St Louis MO 11.99% 5.75% 17.74% 4.23% 21.97% St Petersburg FL 6.00% 6.00% 6.00% 12.00% Stockton CA 8.00% 4.00% 12.00% 12.00% Tacoma WA 2.00% 2.00% 4.00% 6.50% 10.50% Talahassee FL 6.50% 6.50% 6.00% 12.50% Tampa FL 6.00% 6.00% 6.00% 12.00% Tempe AZ 7.00% 1.77% 8.77% 5.50% 14.27% Toledo OH 11.25% 11.25% 5.50% 16.75% Tuscon AZ 6.00% 0.55% 6.55% 5.50% 12.05% Tulsa AZ 8.10% 0.85% 8.95% 4.50% 13.45% Vancouver WA 3.90% 3.90% 6.50% 10.40% Virginia Beach VA 8.00% 2.50% 10.50% 5.00% 15.50% Washington DC 14.50% 14.50% 14.50% Wichita KS 6.00% 2.00% 1.00% 9.00% 6.30% 15.30% Winston-Salem NC 2.00% 6.00% 8.00% 4.75% 12.75% Worcester MA 6.00% 2.75% 8.75% 5.70% 14.45% Yonkers NY 2.50% 0.38% 4.50% 7.38% 4.00% 11.38% Average of 150 6.13% 1.00% 1.96% 9.08% 4.33% 13.41% Local Govt portion 67.71% State Govt portion 32.29% Honolulu-Sales Tax Equivalent 0.50% 2.31% 2.81% 17.94% 20.75% County Govt portion 13.54% State Govt portion 86.46% Honolulu-General Excise Tax 0.50% 2.31% 2.81% 10.94% 13.75% County Govt portion 20.44% State Govt portion 79.56% Lodging and Sales Taxes by State Sales Tax Lodging Rank State Total Rate Rate Tax Rate 1 Connecticut 15.00% 15.00% 2 Hawaii 4.00% 9.25% 13.25% 3 Rhode Island 7.00% 6.00% 13.00% 4 Maine 5.00% 7.00% 12.00% 4 New Jersey 7.00% 5.00% 12.00% 6 New Hampshire 9.00% 9.00% 6 Vermont 9.00% 9.00% 8 Arkansas 6.00% 2.00% 8.00% 8 Delaware 8.00% 8.00% 8 Idaho 6.00% 2.00% 8.00% 11 Indiana 7.00% 7.00% 11 Kentucky 6.00% 1.00% 7.00% 11 Mississippi 7.00% 7.00% 11 Montana 7.00% 7.00% 11 South Carolina 5.00% 2.00% 7.00% 16 Tennessee 7.00% 7.00% 17 Minnesota 6.88% 6.88% 18 Nebraska 5.50% 1.00% 6.50% 18 Washington 6.50% 6.50% 20 Kansas 6.30% 6.30% 21 Florida 6.00% 6.00% 21 Illinois 6.00% 6.00% Median 21 Maryland 6.00% 6.00% 21 Michigan 6.00% 6.00% 21 Pennsylvania 6.00% 6.00% 21 Texas 6.00% 6.00% 21 West Virginia 6.00% 6.00% 28 Massachusets 5.70% 5.70% 29 Arizona 5.50% 5.50% 29 Ohio 5.50% 5.50% 29 South Dakota 4.00% 1.50% 5.50% 32 New Mexico 5.13% 5.13% 33 Iowa 5.00% 5.00% 33 North Dakota 5.00% 5.00% 33 Virginia 5.00% 5.00% 33 Wisconsin 5.00% 5.00% 37 North Carolina 4.75% 4.75% 38 Utah 4.70% 4.70% 39 Oklahoma 4.50% 4.50% 40 Missouri 4.23% 4.23% 41 Alabama 4.00% 4.00% 41 Georgia 4.00% 4.00% 41 Louisiana 4.00% 4.00% 41 New York 4.00% 4.00% 41 Wyoming 4.00% 4.00% 46 Colorado 2.90% 2.90% 47 Nevada 1.00% 1.00% 47 Oregon 1.00% 1.00% 49 Alaska 0.00% 49 California 0.00% Average 3.87% 2.29% 6.16% Sales tax portion 62.82% Lodging portion 37.18% .. i I-- i I ...? in OCTOBER 2014 i PRICE$450 2014 HVS LODGING TAX REPORT - USA Thomas Hazinski, i', Managing Director Daniel Wonk Research Intern Alex Moon Analyst Ii. , \ I, '1 ."- 11 0.: .,, - ...i., Mila www.hvs.com HVS Convention,Sports, &Entertainment I 205 W. Randolph, 1650,Chicago, IL USA HVS Introduction In this third annual Lodging Tax Study, HVS Convention,Sports, and Entertainment Consulting surveys lodging tax rates and revenues across the United States. Updating the first two editions, this study includes a broad range of cities and tracks policy trends in lodging tax imposition. This research identified the lodging tax rates levied at the state, county, city, and special district levels, and the collection and distribution of revenue from lodging taxes levied in all 50 states and in the 150 largest cities in the United States. Lodging Tax Imposition Lodging taxes are typically ad valorem taxes (levied as a percentage of value)applied to charges for overnight stays at hotels,motels,roominghouses,bed-and-breakfasts,cottages,cabins,campgrounds,and other lodging accommodations for fewer than 30 consecutive days.States authorize the imposition of lodging taxes,except in home rule cities.'States may tax lodging as a part of a broad-based sales and use tax,a specific lodging tax,or both.State legislation defines the tax base,determines who is exempt from the lodging tax,and establishes collection procedures.States and municipal governments may distribute lodging tax revenues to their general funds,special revenue funds,or to local governments and special districts.Certain state and local governments also impose excise taxes on lodging,which are levied at a fixed amount per unit,such as$1.00 per night for the furnishing of a hotel room.State and local excise taxes on lodging accommodations are noted throughout this study,but are not factored into the lodging tax rate for a particular state or municipality.Although this report uses the term lodging tax,other frequently used names for the same type of tax include: hotel tax,room tax,bed tax,transient occupancy tax,transient guest tax,transient accommodations tax, occupancy tax,lodger's tax,or hotel/motel tax. In certain cities,state and municipal governments have formed special districts in which lodging taxes are levied in addition to citywide lodging taxes.Within these special districts,the lodging tax rate varies according to the geographical location,size,or other feature of the lodging accommodation.For example,non-resort hotels fronting Las Vegas'Fremont Street are charged an additional 1.0 percent in lodging tax to fund downtown Las Vegas construction projects.Revenues from special district taxes frequently support the development of convention centers that generate room revenue for the hotel properties located in the district. Lodging taxes are popularly viewed as a politically viable method to raise revenues because an overwhelming majority of overnight visitors that use lodging accommodations and pay the tax are not constituents.Although hotel owners are responsible for collecting the tax(a service for which they usually receive a small administrative fee of 1 or 2 percent of collections),the charge for the tax appears on the customer's lodging bill. While the legal incidence of the tax may fall on the consumer,the economic burden of the lodging tax is shared by producers of lodging accommodations and their guests.The lodging market is competitive,and in a competitive market, the tax burden is shared between buyer and seller.A lodging tax raises the price of lodging accommodations,but depending on the elasticity of the supply and demand for lodging,the hotel manager may not be able to increase rates by the full amount of the tax.Since the elasticity of supply and demand changes depending on market conditions,the true incidence of a lodging tax varies as market conditions change.This study makes no attempt to estimate the economic incidence of lodging taxes. Hotel owners are often willing to cooperate with local governments to impose lodging taxes dedicated to tourism promotion and convention center construction.For hotel owners,tourist-oriented public facilities and advertising serve 1 Home rule cities are cities that have their own taxing authority,adopted home rule charter for their self-governance,and are not limited to exercising only those powers that the state expressly grants to them. HVS 2014 LODGING TAX REPORT-USA I PAGE 2 HVS as drivers of room demand.All of the hotels in a given market can benefit from programs which bring tourists and convention-goers to a city.Sponsoring these types of programs would cost too much for any individual hotel to support. In the case of a convention center,the hotels and individuals who benefit from the center pay for its construction and maintenance.Municipalities seek to benefit from visitor spending and the associated tax revenue that convention centers generate.Advertising,marketing and sales efforts funded by lodging taxes are paid by those who benefit most directly. States with major tourism draws often preclude municipalities from depositing hotel tax revenue into their general funds.For example,Florida allows only a series of special purpose taxes for tourist development and Texas requires that local transient occupancy taxes fund convention center development or tourism promotion. Since the 1970's,lodging taxes have become commonplace across the country.Of the 150 largest U.S.cities examined in this study,more than 120 impose a dedicated tax and all of them have some form of taxation on hotel room revenue.In small suburban cities and major tourist destinations,lodging taxes have become an important source of funding for economic development initiatives.This study attempts to survey hotel tax implementation across the country to provide information for those who wish to compare the structure and revenue capacity of lodging taxes in a diverse set of markets. State and Local Rate Changes Several states passed into law rate changes which will take effect during the fiscal years 2013 and 2014.Recent changes in state lodging taxes include the following: State Effective Date Description of Change Arizona June 1,2013 1%Transaction Privilege Tax increase dating back to 2010 expired, bringing Transaction Privilege Tax on lodging down to 5.5% Ohio September 1,2013 Sales Tax increased from 5.5%to 5.75% Maine October 1,2013 Sales Tax increased from 5.0%to 5.5%.In addition,state lodging tax increased from 7%to 8% Kansas July 1,2013 Sales tax reduced from 6.3%to 6.15% Arkansas July 1,2013 Sales tax increased from 6.0%to 6.5% As part of a series of tax increases to fund the Northern Virginia Transportation Authority,new 2%state lodging tax applied to Virginia July 1,2013 several cities and counties near Washington,D.C.This coincides with a.3%statewide sales tax increase and an additional.7% increase in designated cities and counties in the Hampton Roads and Northern Virginia regions. HVS 2014 LODGING TAX REPORT-USA I PAGE 3 HVS Recent changes to lodging tax laws in cities include the following: City State Effective Date Description of Change Colorado Springs CO CY 2013 El Paso County approved.225%sales tax increase Columbus GA CY 2013 Muscogee County increased sales tax from 3%to 4% Durham NC CY 2013 Durham County sales tax increased from.5%to 2.75% El Paso TX January 1,2013 Hotel Occupancy Tax increased from 7%to 9%to fund a downtown baseball stadium Huntsville AL FY 2014 Lodging tax increased 1%to 7%to fund convention marketing and sales Philadelphia PA July 1,2013 City Hotel Tax increased.3%to fund conventions,tourism,and sales and marketing The City proposed a new lodging tax assessment in aTourism Marketing District to support the expansion of the San Diego San Diego CA January 1,2013 Convention Center.In August 2014,the courts determined the levy to be unconstitutional.The City has declined to appeal the ruling. Tulsa OK FY 2013 Voter-approved.167%sales tax expired HVS 2014 LODGING TAX REPORT-USA ( PAGE 4 HVS Methodology HVS's nationwide study of lodging taxes examined lodging taxes levied at the state level,as well as lodging taxes levied in the urban centers of the nation's 150 largest cities.HVS used data sources deemed to be reliable including: comprehensive annual financial reports,annual adopted budgets,municipal codes,revenue reports,media sources,and interviews with government finance officials to determine the rate,collection,and distribution of lodging taxes at the state,county,city,and special district level.In most cases,annual revenue figures were drawn from consistent sources year over year.All lodging tax rates,revenues,and distributions are reported in nominal dollars. State Tax Rates Every state except Alaska and California-where lodging taxes are levied only at the municipal level-imposes a sales tax,a lodging tax,or both on overnight transient accommodations.Twenty-two states impose lodging taxes that are not part of a broader sales or use tax. States with high lodging tax rates typically have more restrictions on the imposition Total Lodging Tax Rates- of local lodging taxes.To illustrate,Connecticut has the highest state lodging tax rate All 50 States at 15%but forbids all local authorities from enacting lodging taxes.On the other Maximum 15.00% hand,Oregon imposes a low state lodging rate but does not restrict local rates.The Minimum 0.00% table provided on the following page lists the sales tax,lodging tax,and total tax rate Median 6.00% levied on sleeping accommodations and ranks the 50 states by the total tax rate Average 6.16% applied to lodging accommodation. Mode 6.00% Appendix A presents a detailed description of state lodging taxes and revenue collections. HVS 2014 LODGING TAX REPORT-USA I PAGE 5 F HVS STATES RANKED BY TOTAL AD VALOREM TAX RATES ON LODGING ACCOMMODATIONS 2013 Sales Tax Lodging Tax Sales Tax Lodging Tax Rank State Total Rate Rank State Total Rate Rate Rate Rate Rate 1 Connecticut 15.00% 15.00% 21 Texas 6.00% 6.00% 2 1 Hawaii 4.00% 9.25% 13.25% 21 West Virginia 6.00% 6.00% 3 Rhode Island 7.00% 6.00% 13.00% 28 Massachusetts 5.70% 5.70% 4 2 Maine 5.00% 7.00% 12.00% 29 s Arizona 5.50% 5.50% 4 New Jersey 7.00% 5.00% 12.00% 29 Ohio 5.50% 5.50% 6 New Hampshire 9.00% 9.00% 29 South Dakota 4.00% 1.50% 5.50% 6 Vermont 9.00% 9.00% 32 New Mexico 5.13% 5.13% 8 3 Arkansas 6.00% 2.00% 8.00% 33 Iowa 5.00% 5.00% 8 Delaware 8.00% 8.00% 33 North Dakota 5.00% 5.00% 8 Idaho 6.00% 2.00% 8.00% 33 6 Virginia 5.00% 5.00% 11 Indiana 7.00% 7.00% 33 Wisconsin 5.00% 5.00% 11 Kentucky 6.00% 1.00% 7.00% 37 North Carolina 4.75% 4.75% 11 Mississippi 7.00% 7.00% 38 Utah 4.70% 4.70% 11 Montana 7.00% 7.00% 39 Oklahoma 4.50% 4.50% 11 South Carolina 5.00% 2.00% 7.00% 40 Missouri 4.23% 4.23% 16 Tennessee 7.00% 7.00% 41 'Alabama 4.00% 4.00% 17 Minnesota 6.88% 6.88% 41 Georgia 4.00% 4.00% 18 Nebraska 5.50% 1.00% 6.50% 41 8 Louisiana 4.00% 4.00% 18 Washington 6.50% 6.50% 41 New York 4.00% 4.00% 20 4 Kansas 6.30% 6.30% 41 Wyoming 4.00% 4.00% 21 Florida 6.00% 6.00% 46 Colorado 2.90% 2.90% 21 Illinois 6.00% 6.00% 47 9 Nevada 1.00% 1.00% 21 Maryland 6.00% 6.00% 47 Oregon 1.00% 1.00% 21 Michigan 6.00% 6.00% 49 Alaska 0.00% 21 Pennsylvania 6.00% 6.00% 49 California 0.00% 1 4.5%sales tax in Oahu 2 Maine sales tax increased to 5.50%and lodging tax increased to 8%in FY 2014 'Arkansas sales tax rate increased from 6.0%to 6.5%beginning July 1,2013 4 Kansas sales tax rate reduced to 6.15%beginning July 1,2013 5 Arizona tax rate reduced to 5.5%beginning June 1,2013 6 As of July 1,2013:Virginia sales tax increased to 5.3%statewide,additional sales tax increase of.7%in Northern Virginia and Hampton Roads regions,and a 2% lodging tax in the jurisdiction of the Northern Virginia Transportation Authority 'Additional 1%tax on counties within the Alabama Mountain Lakes region 8 Does not incude 4%Louisiana Stadium and Exposition Tax levied in Jefferson and Orleans Parish or the 3%Morial Exhibition Hall Authority tax levied in Orleans Parish(state sales tax is 2%in these districts) 9 1%statewide lodging tax,3%lodging tax imposed on counties with population greater than 300,000 HVS 2014 LODGING TAX REPORT-USA I PAGE 6 HVS City Tax Rates HVS researched the total tax rate applied to lodging accommodations in the 150 most populous United States cities as stated in the the 2010 census.The total tax rate is comprised of all state,county,city,and special district taxes levied on lodging facilities within the urban center of the city where the highest special district taxes may be applied.The tables on the following pages list the tax rate applied to overnight stays at lodging facilities at the state,county,city,and special district level,as well as the total rate imposed on an overnight stay at a lodging facility in the urban center of each of the 150 largest cities in the United States. As noted earlier,some cities impose additional excise taxes in dollar amounts for overnight stays.These excise taxes are noted but intentionally excluded from the Total Lodging Tax Rates— calculation of overall tax burden.To calculate the special district rate,HVS calculated 150 Largest US Cities the tax rate an overnight visitor would pay to stay at the highest-taxed hotel in the Maximum 21.97% urban center of a city.Due to special taxing districts,the tax rate at a particular hotel Minimum 7.00% can be influenced by its location,size,or any other characteristic.The district tax Median 13.00% reported here presents the highest possible combination of district taxes which might Average 13.42% be charged at any indvidual hotel.Notes are also included to indicate scheduled rate Mode 13.00% changes after the conclusion of FY 2013.Finally,a table ranking cities by combined lodging tax rate enables the reader to compare all 150 cities. Total Combined Rate Distribution 35 30 25 c 20 7 w 15 LL 10 5 010 $ 010 010 010 c o �10 c o c o �\o �\o �10 ,poo �10 �10 �10 O O O O O O O O O O O O OV O O O O. cb. O. NO. 'Nti. yti. yam. ��. � � �1. yam. y0. �O. Total Combined Rate HVS 2014 LODGING TAX REPORT-USA ( PAGE 7 ...1.1111111111.1111111M varwrirmoir HVS TAX RATES IN TOP 150 URBAN CENTERS 2013 City ST City Special County State Total Notes Districts Akron OH 3.00% 0.50% 5.50% 9.00% Albuquerque NM 5.94% 1.00% 0.94% 5.13% 13.00% Amarillo TX 7.00% 2.00% 6.00% 15.00% Anaheim CA 15.00% 2.00% 17.00% Anchorage AK 12.00% 12.00% Arlington TX 9.00% 6.00% 15.00% Atlanta GA 9.00% 3.00% 4.00% 16.00% Augusta GA 6.00% 4.00% 4.00% 14.00% Aurora CO 8.00% 1.10% 0.25% 2.90% 12.25% Aurora IL 3.00% 6.00% 9.00% Austin TX 9.00% 6.00% 15.00% Bakersfield CA 12.00% 12,00% Baltimore MD 9.50% 6.00% 15.50% Baton Rouge LA 9.00% 4.00% 13.00% Additional 3%tax for two hotels in city Birmingham AL 6.50% 7.00% 4.00% 17.50% Boise ID 5.00% 8.00% 13.00% Boston MA 6.00% 2.75% 5.70% 14.45% Brownsville TX 7.00% 6.00% 13.00% Buffalo NY 2.00% 7.75% 4.00% 13.75% Chandler AZ 4.40% 1.77% 5.50% 11.67% 1%Transaction Privilege Tax increase expired on June 1,2013 Charlotte NC 2.00% 0.50% 8.00% 4.75% 15.25% Chattanooga TN 4.00% 6.25% 7.00% 17.25% Chesapeake VA 8.00% 5.00% 13.00% Additional$1/night excise tax Chicago IL 5.58% 4.64% 6.17% 16.39% Chula Vista CA 10.00% 2.50% 12.50% Cincinnati OH 4.00% 7.50% 5.50% 17.00% Cleveland OH 3.00% 1.00% 7.75% 5.50% 17.25% Colorado Springs CO 4.50% 1.00% 1.23% 2.90% 9.63% County sales tax increased to 1.225%on Jan.1,2013 Columbus OH 5.10% 5.40% 5.50% 16.00% Columbus GA 8.00% 4.00% 4.00% 16.00% County sales tax increased to 4%on Jan.1,2013 Corpus Christi TX 9.00% 6.00% 15.00% Dallas TX 7.00% 6.00% 13.00% Denver CO 10.75% 1.10% 2.90% 14.75% Des Moines IA 7.00% 5.00% 12.00% Detroit MI 9.00% 6.00% 15.00% Durham NC 8.75% 4.75% 13.50% County sales tax increased 0.5%to 2.75%on Jan.1,2013 El Paso TX 9.00% 2.50% 6.00% 17.50% Hotel occupancy tax increased to 9%on Jan.1,2013 Eugene OR 4.50% 5.00% 1.00% 10.50% Fayetteville NC 8.25% 4.75% 13.00% Fontana CA 8.00% 8.00% Fort Lauderdale FL 5.00% 6.00% 11.00% Fort Wayne IN 7.00% 7.00% 14.00% Fort Worth TX 9.00% 6.00% 15.00% Fremont CA 10.00% 10.00% Fresno CA 12.00% 1.00% 13.00% Garden Grove CA 14.50% 2.50% 17.00% Garland TX 7.00% 6.00% 13.00% Gilbert AZ 4.50% 1.77% 5.50% 11.77% 1%Transaction Privilege Tax increase expired on June 1,2013 Glendale AZ 7.90% 1.77% 5.50% 15.17% 1%Transaction Privilege Tax increase expired on June 1,2013 Glendale CA 10.00% 10.00% HVS 2014 LODGING TAX REPORT-USA I PAGE 8 HVS TAX RATES IN TOP 150 URBAN CENTERS 2013-CONTINUED City ST City Special County State Total Notes Districts Grand Prairie TX 7.00% 6.00% 13.00% Grand Rapids MI 5.00% 6.00% 11.00% Greensboro NC 3.00% 5.00% 4.75% 12.75% Henderson NV 2.00% 7.00% 4.00% 13.00% Hialeah FL 7.00% 6.00% 13.00% Honolulu HI 0.50% 13.25% 13.75% Businesses can pass on 4.712%to customers for 4.5%general excise taxes Houston TX 7.00% 2.00% 2.00% 6.00% 17.00% Huntington Beach CA 10.00% 2.00% 12.00% Huntsville AL 6.00% 1.00% 1.00% 4.00% 12.00% $1/night city fee.Rate increase to 7%for FY 2014 Indianapolis IN 10.00% 7.00% 17.00% Irvine CA 8.00% 2.00% 10.00% Irving TX 9.00% 6.00% 15.00% Jackson MS 4.00% 7.00% 11.00% Additional$0.75/night city assessment Jacksonville FL 7.00% 6.00% 13.00% Jersey City NJ 6.00% 8.00% 14.00% Kansas City MO 9.88% 1.00% 1.25% 4.23% 16.35% $1.73/night Kansas City Development Fee Knoxville TN 3.00% 7.25% 7.00% 17.25% Lancaster CA 7.00% 7.00% Laredo TX 7.00% 0.25% 1.00% 6.00% 14.25% Las Vegas NV 0.50% 7.00% 4.00% 11.50% Lexington KY 6.00% 7.00% 13.00% Effective combined rate of 13.4% Lincoln NE 5.50% 6.50% 12.00% Little Rock AR 3.50% 1.00% 8.00% 12.50% Long Beach CA 12.00% 3.00% 15.00% Los Angeles CA 14.00% 1.50% 15.50% Louisville KY 7.50% 7.00% 14.50% Lubbock TX 7.00% 6.00% 13.00% Madison WI 9.00% 0.50% 5.00% 14.50% Memphis TN 1.70% 7.25% 7.00% 15.95% Mesa AZ 6.75% 1.77% 5.50% 14.02% 1%Transaction Privilege Tax increase expired on June 1,2013 Miami FL 7.00% 6.00% 13.00% Milwaukee WI 9.50% 0.60% 5.00% 15.10% Minneapolis MN 3.13% 3.25% 0.15% 6.88% 13.40% Mobile AL 8.00% 3.00% 2.00% 4.00% 17.00% Modesto CA 9.00% 9.00% Montgomery AL 8.50% 4.00% 12.50% $1.50/night county excise tax increased to$2.25/night on Dec.1st,2013 Moreno Valley CA 8.00% 8.00% Nashville TN 6.00% 7.00% 13.00% Additional$2.50/night city hotel occupancy tax New Orleans LA 4.00% 7.00% 2.00% 13.00% By hotel size:$0.50-$1.00 city privilege tax,$0.50-$2.00 NOEHA fee New York NY 10.38% 0.38% 4.00% 14.75% $1.50/night state fee;city$0.50-$2.00 nightly based on room price Newark NJ 6.00% 8.00% 14.00% Newport News VA 7.50% 5.00% 12.50% Norfolk VA 8.00% 5.00% 13.00% North Las Vegas NV 1.00% 6.00% 4.00% 11.00% Oakland CA 14.00% 14.00% Oceanside CA 10.00% 1.50% 11.50% Oklahoma City OK 9.38% 4.50% 13.88% Omaha NE 7.00% 4.00% 6.50% 17.50% Ontario CA 11.75% 11.75% Orlando FL 6.50% 6.00% 12.50% HVS 2014 LODGING TAX REPORT-USA ( PAGE 9 HVS TAX RATES IN TOP 150 URBAN CENTERS 2013-CONTINUED City ST City Special County State Total Notes Districts Overland Park KS 10.13% 1.23% 6.30% 17.65% Oxnard CA 10.00% 1.50% 11.50% Pembroke Pines FL 5.00% 6.00% 11.00% Philadelphia PA 8.20% 1.00% 6.00% 15.20% City hotel tax rate increased to 8.5%effective FV 2014 Phoenix AZ 5.00% 1.77% 5.50% 12.27% 1%Transaction Privilege Tax increase expired on June 1,2013 Pittsburgh PA 8.00% 6.00% 14.00% Plano TX 7.00% 6.00% 13.00% Port St.Lucie FL 5.50% 6.00% 11.50% Portland OR 6.00% 2.00% 5.50% 1.00% 14.50% Providence RI 13.00% 13.00% Raleigh NC 8.00% 4.75% 12.75% Rancho Cucamonga CA 10.00% 10.00% Reno NV 1.00% 3.50% 4.00% 8.50% $2/night surcharge on Downtown District hotels with unrestricted gaming Richmond VA 8.00% 5.00% 13.00% Riverside CA 12.00% 12.00% Rochester NY 10.00% 4.00% 14.00% Sacramento CA 12.00% 12.00% $1.00-$1.50 fee replaced with 1-3%TMD tax for FY 2013 Saint Paul MN 3.50% 3.25% 6.88% 13.63% Salem OR 9.00% 1.00% 10.00% Salt Lake City UT 2.00% 0.90% 11.60% 4.70% 19.20% San Antonio TX 9.00% 1.75% 6.00% 16.75% San Bernardino CA 10.00% 10.00% San Diego CA 10.50% 2.00% 12.50% Effective CY 2013:hotels with 30+rooms pay 2%,if fewer.55% San Francisco CA 14.00% 1.50% 15.50% San Jose CA 10.00% 4.00% 14.00% Santa Ana CA 11.00% 11.00% Santa Clarita CA 10.00% 2.00% 12.00% Santa Rosa CA 9.00% 5.00% 14.00% Scottsdale AZ 6.65% 1.77% 5.50% 13.92% 1%Transaction Privilege Tax increase expired on June 1,2013 Seattle WA 9.10% 6.50% 15.60% Shreveport LA 9.10% 4.00% 13.10% Spokane WA 4.20% 6.50% 10.70% Springfield MO 7.13% 3.25% 1.25% 4.23% 15.85% St.Louis MO 11.99% 5.75% 4.23% 21.97% St.Petersburg FL 6.00% 6.00% 12.00% Stockton CA 8.00% 4.00% 12.00% Tacoma WA 2.00% 2.00% 6.50% 10.50% Tallahassee FL 6.50% 6.00% 12.50% Tampa FL 6.00% 6.00% 12.00% Tempe AZ 7.00% 1.77% 5.50% 14.27% 1%Transaction Privilege Tax increase expired on June 1,2013 Toledo OH 11.25% 5.50% 16.75% Tucson AZ 6.00% 0.55% 5.50% 12.05% 1%Transaction Privilege Tax increase expired on June 1,2013 Tulsa OK 8.10% 0.85% 4.50% 13.45% Vancouver WA 3.90% 6.50% 10.40% Virginia Beach VA 8.00% 2.50% 5.00% 15.50% Washington DC 14.50% 0.00% 14.50% Wichita KS 6.00% 2.00% 1.00% 6.30% 15.30% Winston-Salem NC 2.00% 6.00% 4.75% 12.75% Worcester MA 6.00% 2.75% 5.70% 14.45% Yonkers NY 2.50% 0.38% 4.50% 4.00% 11.38% HVS 2014 LODGING TAX REPORT-USA I PAGE 10 HVS TOP 150 URBAN CENTERS TOTAL LODGING TAX RATE RANKING 2013 Rank City State Total Rate Rank City State Total Rate Rank City State Total Rate 1 St.Louis MO 21.97% 51 Tempe AZ 14.27% 101 Orlando FL 12.50% 2 Salt Lake City UT 19.20% 52 Laredo TX 14.25% 101 San Diego CA 12.50% 3 Overland Park KS 17.65% 53 Mesa AZ 14.02% 101 Tallahassee FL 12.50% 4 Birmingham AL 17.50% 54 Augusta GA 14.00% 104 Phoenix AZ 12.27% 4 El Paso TX 17.50% 54 Fort Wayne IN 14.00% 105 Aurora CO 12.25% 4 Omaha NE 17.50% 54 Jersey City NJ 14.00% 106 Tucson AZ 12.05% 7 Chattanooga TN 17.25% 54 Newark NJ 14.00% 107 Anchorage AK 12.00% 7 Cleveland OH 17.25% 54 Oakland CA 14.00% 107 Bakersfield CA 12.00% 7 Knoxville TN 17.25% 54 Pittsburgh PA 14.00% 107 Des Moines IA 12.00% 10 Anaheim CA 17.00% 54 Rochester NY 14.00% 107 Huntington Beach CA 12.00% 10 Cincinnati OH 17.00% 54 San Jose CA 14.00% 107 Huntsville AL 12.00% 10 Garden Grove CA 17.00% 54 Santa Rosa CA 14.00% 107 Lincoln NE 12.00% 10 Houston TX 17.00% 63 Scottsdale AZ 13.92% 107 Riverside CA 12.00% 10 Indianapolis IN 17.00% 64 Oklahoma City OK 13.88% 107 Sacramento CA 12.00% 10 Mobile AL 17.00% 65 Buffalo NY 13.75% 107 Santa Clarita CA 12.00% 16 San Antonio TX 16.75% 65 Honolulu HI 13.75% 107 St.Petersburg FL 12.00% 16 Toledo OH 16.75% 67 Saint Paul MN 13.63% 107 Stockton CA 12.00% 18 Chicago IL 16.39% 68 Durham NC 13.50% 107 Tampa FL 12.00% 19 Kansas City MO 16.35% 69 Tulsa OK 13.45% 119 Gilbert AZ 11.77% 20 Atlanta GA 16.00% 70 Minneapolis MN 13.40% 120 Ontario CA 11.75% 20 Columbus OH 16.00% 71 Shreveport LA 13.10% 121 Chandler AZ 11.67% 20 Columbus GA 16.00% 72 Albuquerque NM 13.00% 122 Las Vegas NV 11.50% 23 Memphis TN 15.95% 73 Baton Rouge LA 13.00% 122 Oceanside CA 11.50% 24 Springfield MO 15.85% 73 Boise ID 13.00% 122 Oxnard CA 11.50% 25 Seattle WA 15.60% 73 Brownsville TX 13.00% 122 Port St.Lucie FL 11.50% 26 Baltimore MD 15.50% 73 Chesapeake VA 13.00% 126 Yonkers NY 11.38% 26 Los Angeles CA 15.50% 73 Dallas TX 13.00% 127 Fort Lauderdale FL 11.00% 26 San Francisco CA 15.50% 73 Fayetteville NC 13.00% 127 Grand Rapids MI 11.00% 26 Virginia Beach VA 15.50% 73 Fresno CA 13.00% 127 Jackson MS 11.00% 30 Wichita KS 15.30% 73 Garland TX 13.00% 127 North Las Vegas NV 11.00% 31 Charlotte NC 15.25% 73 Grand Prairie TX 13.00% 127 Pembroke Pines FL 11.00% 32 Philadelphia PA 15.20% 73 Henderson NV 13.00% 127 Santa Ana CA 11.00% 33 Glendale AZ 15.17% 73 Hialeah FL 13.00% 133 Spokane WA 10.70% 34 Milwaukee WI 15.10% 73 Jacksonville FL 13.00% 134 Eugene OR 10.50% 35 Amarillo TX 15.00% 73 Lexington KY 13.00% 134 Tacoma WA 10.50% 35 Arlington TX 15.00% 73 Lubbock TX 13.00% 136 Vancouver WA 10.40% 35 Austin TX 15.00% 73 Miami FL 13.00% 137 Fremont CA 10.00% 35 Corpus Christi TX 15.00% 73 Nashville TN 13.00% 137 Glendale CA 10.00% 35 Detroit MI 15.00% 73 New Orleans LA 13.00% 137 Irvine CA 10.00% 35 Fort Worth TX 15.00% 73 Norfolk VA 13.00% 137 Rancho Cucamonga CA 10.00% 35 Irving TX 15.00% 73 Plano TX 13.00% 137 Salem OR 10.00% 35 Long Beach CA 15.00% 73 Providence RI 13.00% 137 San Bernardino CA 10.00% 43 Denver CO 14.75% 73 Richmond VA 13.00% 143 Colorado Springs CO 9.63% 43 New York NY 14.75% 94 Greensboro NC 12.75% 144 Akron OH 9.00% 45 Louisville KY 14.50% 94 Raleigh NC 12.75% 144 Aurora IL 9.00% 45 Madison WI 14.50% 94 Winston-Salem NC 12.75% 144 Modesto CA 9.00% 45 Portland OR 14.50% 97 Chula Vista CA 12.50% 147 Reno NV 8.50% 45 Washington DC 14.50% 97 Little Rock AR 12.50% 148 Fontana CA 8.00% 49 Boston MA 14.45% 97 Montgomery AL 12.50% 148 Moreno Valley CA 8.00% 49 Worcester MA 14.45% 97 Newport News VA 12.50% 150 Lancaster CA 7.00% HVS 2014 LODGING TAX REPORT-USA I PAGE 11 HVS State Lodging Tax Revenue HVS analyzed annual state lodging tax revenues as stated in comprehensive annual financial reports,which state revenues on a modified accrual basis.In a few states where final audited information was not available for fiscal year 2013,we present government estimates.In some cases,government agencies provided annual lodging tax collection data instead of modified accrual data.Accrued revenues are recorded in the period in which the liability for tax payment occurs.Cash collections typically lag the period of liability by at least one month or more if collections occur quarterly or annually.Administrative charges,payment of back taxes and penalties may also affect the level of reported revenues,but the amounts are not material.In some states, only sales tax revenues in the accommodations sector were available.Whereas lodging taxes are typically applied only to hotel room charges,sector-wide taxable sales might include other sources of taxable revenue such as food and beverage revenue.HVS did not attempt to estimate the percentage of taxable sales due soley to overnight stays in preparing this report.Finally,differences in reporting periods have been noted. Among the 22 states that collect a lodging tax,revenue grew at an average rate of 5.52%from 2012 to 2013.While this is a strong growth rate compared to historical averages,it falls short of the average growth rate of 10.08%posted from 2011 to 2012.The revenue growth rates include increases or decreases caused by tax rate changes previously discussed in this report. States with Highest Lodging Tax Revenue Growth Year-over-year As the largest state to levy a dedicated lodging tax,Texas recorded over $450 million dollars in transient occupancy tax revenues in fiscal 2013,an 1 Hawaii 14.60% increase of over 15%from last year's$401 million dollar haul.For a sense 2 Louisiana 12.35% of scale,it is worth noting that all tax revenues in Texas totalled over$47 3 Texas 12.14% billion dollars in 2013.Thus the state's 6%lodging tax accounted for only 4 Oregon 9.29% .4%of the total tax revenues.On the other hand,accommodations tax collections accounted for nearly 3%of total tax revenues in tourist States with Lowest Lodging Tax Revenue Growth Year-over-year destination Nevada.Nevada recorded lodging tax revenues of $146 million, an increase of almost 15%from fiscal year 2012.In general,most state 1 Nevada 1.81% revenue comes from a combination of sales,property,and income taxes. 2 Connecticut 1.82% While lodging taxes bring in a significant amount of money,they are not 3 Arkansas 2.50% typically a major source of revenue at the state level. 4 Pennsylvania 3.72% The following table presents a five-year history of lodging tax revenue for each of the 22 states that have imposed a lodging tax.State sales and use taxes on lodging are not included because many states were unable to provide a breakdown of sales tax revenue from lodging establishments.All revenue data is presented in millions of dollars and the states are ranked by 2013 revenues. HVS 2014 LODGING TAX REPORT-USA I PAGE 12 HVS RANK OF STATES BY 2013 LODGING TAX REVENUES($MILLIONS) 2013 Rank State FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 FY 2013 1 1 Texas $371.0 $343.5 $330.8 $348.8 $401.4 $450.1 2 2 Hawaii $222.7 $199.6 $214.2 $271.8 $309.0 $354.1 3 Illinois $219.0 $203.0 $173.0 $192.0 $209.3 $222.8 4 Massachusetts $174.2 $160.9 $152.2 $167.3 $183.7 $194.6 5 Pennsylvania $167.6 $156.4 $152.1 $170.0 $181.2 $187.9 6 3 Nevada $19.1 $18.2 $111.5 $128.2 $143.8 $146.4 7 °Connecticut $84.3 $73.5 $70.6 $76.5 $102.1 $104.0 8 New Jersey $86.3 $74.3 $72.8 $78.2 $85.2 $90.9 9 s Louisiana $48.3 $44.7 $47.5 $55.7 $61.1 $68.6 10 6 Alabama $47.2 $43.8 $43.3 $49.7 $51.8 $53.7 11 New Hampshire $36.2 $34.8 $37.2 $39.6 $41.7 $44.8 12 Montana $32.0 $29.6 $29.5 $34.0 $37.9 $39.8 13 'Vermont $34.0 $31.0 $30.7 $33.4 $34.6 $34.6 14 Oregon $11.7 $10.5 $11.1 $11.5 $12.4 $13.5 15 8 Arkansas $12.0 $11.4 $11.5 $12.0 $12.4 $12.7 16 Rhode Island $16.2 $15.5 $14.2 $15.6 $16.9 $12.1 17 South Dakota $5.7 $5.7 $8.4 $9.5 $9.5 $10.1 18 Kentucky $8.8 $8.6 $8.2 $8.9 $9.3 $9.8 19 Idaho $7.4 $6.9 $6.3 $6.7 $7.1 $7.5 20 8 Nebraska $3.7 $3.5 $3.8 $4.0 $4.3 $4.5 9 South Carolina $45.4 $41.8 $39.8 $44.4 $50.8 n/a 1 Revenue for fiscal year ended August 31 2 Calendar year revenue from lodging tax only.Rate 7.25%in FY 2008 and FY 2009,8.25%in FY 2010,9.25%in FY 2011 and FY 2012 3 Includes both 1%statewide tax and additional 3%Clark and Washoe county tax enacted FY 2010 °FY 2008 and FY 2009 estimated with reported gross accommodations receipts.Rate increased from 12%to 15% for FY 2012 s Lodging tax revenue from 4%Louisiana Stadium and Exposition District hotel tax and 3%Morial Exhibition Hall Authority hotel tax levied in Jefferson and Orleans Parishes 6 Revenue for fiscal year ended September 30.Includes additional 1%on lodging in Alabama Mountain Lakes counties 'Estimated with taxable accommodations receipts 8 Calendar Year 82013 Accommodations Tax collection data unavailable at time of publishing HVS 2014 LODGING TAX REPORT-USA I PAGE 13 HVS City Lodging Tax Revenue The following tables describe the lodging tax revenue that the 150 most populous cities collected from their respective lodging taxes.Unless otherwise noted,the tax rate and revenue listed only pertains to the citywide lodging tax,and does not include special district taxes or city sales taxes.Consequently,the revenue figures presented for comparable cities can diverge greatly.For example,a city in California with an average lodging tax rate will show greater revenue year over year than a similar city in Nevada,where taxes are levied primarily at the state and special district level.A later section will address this issue by calculating taxable room revenues.For individual cities,revenues are reported from consistent sources each year. Highest Year-over-year Lodging Tax In some states and cities,lodging taxes are applied at the county Revenue Growth rather than city level.For example,cities in Florida,Indiana,and 1 Portland OR 34.59% parts of New York do not levy municipal lodging taxes.County 2 Salt Lake City UT 23.77% lodging tax revenues are provided in these cases,as indicated in the 3 Richmond VA 22.91% notes.Revenue changes from year to year as rate changes are 4 Los Angeles CA 20.59% implemented at the state and local level.Comments regarding rate 5 Lubbock TX 18.00% changes are omitted. 6 Fremont CA 17.89% Revenue growth was highest in Portland,Oregon.The increase 7 Riverside CA 17.44% stems from the creation of a Tourism Improvement district that 8 Garden Grove CA 17.27% raised Portland's lodging taxes by 2 percent. Among cities keeping 9 Austin TX 16.91% rates constant,Salt Lake City,Richmond,and cities in the Los 10 Charlotte NC 16.49% Angeles metropolitan area saw the biggest gains.Lodging tax revenues fell most sharply in Chesapeake,Virginia. Lowest Year-over-year Lodging Tax Revenue Growth 1 Chesapeake VA -9.60% 2 Mesa AZ -5.73% 3 Norfolk VA -5.72% 4 Brownsville TX -4.01% 5 Birmingham AL -2.48% 6 Knoxville TN -2.43% 7 Lancaster CA -1.74% 8 Tucson AZ -1.56% 9 San Francisco CA -0.33% 10 Laredo TX -0.22% HVS 2014 LODGING TAX REPORT-USA I PAGE 14 HVS LODGING TAX REVENUES IN TOP 150 URBAN CENTERS($MILLIONS) City ST FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 FY 2013 Notes Akron OH Albuquerque NM $11.50 $10.21 $9.99 $10.12 $10.08 $10.35 Amarillo TX $4.33 $4.23 $4.40 $4.78 $5.00 $5.69 Anaheim CA $87.18 $80.06 $77.14 $82.61 $90.38 $102.94 1 Anchorage AK $22.25 $18.32 $19.64 $20.97 $23.01 $22.97 2 Arlington TX $6.91 $6.21 $6.71 $7.89 $7.86 $8.51 Atlanta GA $39.51 $38.68 $42.93 $48.57 $54.42 1 Augusta GA $3.69 $3.84 $3.97 $4.38 $4.63 $4.84 1 Aurora CO $4.69 $3.89 $4.14 $4.52 $5.05 $5.52 1 Aurora IL $0.42 $0.37 $0.39 $0.44 $0.46 $0.47 2 Austin TX $44.98 $39.72 $40.82 $48.27 $51.68 $60.42 Bakersfield CA $7.75 $7.14 $6.49 $6.85 $7.83 $8.27 Baltimore MD $21.71 $20.66 $19.04 $27.15 $25.62 $26.57 1 Baton Rouge LA $2.44 $1.95 $1.96 $2.06 $2.39 $2.39 Combined City-Parish revenue Birmingham AL $2.32 $2.26 $2.45 $3.27 $3.19 2 Boise ID $4.31 $3.75 $3.30 $3.54 $4.12 Auditorium District tax only Boston MA $40.27 $36.40 $46.53 $53.72 $64.20 $66.07 See note below 2 Brownsville TX $1.56 $1.33 $1.39 $1.20 $1.35 $1.30 Buffalo NY Chandler AZ $2.10 $1.67 $1.61 $1.97 $2.26 $2.29 Charlotte NC $32.61 $27.04 $26.00 $29.45 $32.59 $37.96 Mecklenburg County Chattanooga TN $4.07 $3.89 $4.06 $4.75 $5.00 $5.00 Chesapeake VA $4.66 $4.93 $5.37 $5.55 $5.02 1 Chicago IL $82.66 $64.10 $68.80 $76.43 $85.63 $89.85 Chula Vista CA $2.70 $2.30 $2.04 $2.06 $2.30 $2.47 1 Cincinnati OH $2.22 $1.88 $2.01 $2.27 $2.27 1 Cleveland OH $4.18 $3.70 $3.81 $4.06 $4.47 $4.73 1 Colorado Springs CO $3.50 $3.15 $3.30 $3.55 $3.53 $3.62 Columbus OH $14.68 $12.73 $13.78 $15.03 $16.46 $16.46 Columbus GA $4.14 $4.28 $4.75 $5.30 $5.03 $5.03 Corpus Christi TX $10.34 $10.13 $9.92 $10.72 $12.05 $13.18 2 Dallas TX $49.24 $41.97 $42.11 $44.97 $40.05 $42.13 1 Denver CO $53.77 $43.98 $49.14 $55.62 $57.96 $63.48 Des Moines IA $4.20 $3.72 $3.70 $3.89 $4.37 $4.76 2 Detroit MI $19.19 $15.38 $15.53 $17.21 $18.45 $19.91 Multi-county convention tax Durham NC $2.04 $2.21 $1.93 $2.12 $2.25 $2.25 Durham County 3 El Paso TX $8.42 $7.94 $8.36 $8.57 $8.93 $9.37 Eugene OR $1.77 $1.68 $1.52 $1.66 $1.69 $1.75 Fayetteville NC $0.98 $1.00 $1.00 $1.19 $1.19 Cumberland County Fontana CA $0.46 $0.40 $0.47 $0.57 $0.56 $0.59 2 Fort Lauderdale FL $42.77 $35.51 $37.53 $40.63 $44.50 $47.43 Broward County Fort Wayne IN $4.07 $3.30 $2.52 $3.74 $3.93 $3.93 Allen County 2 Fort Worth TX $13.84 $15.61 $17.55 $19.18 $19.50 $19.93 Fremont CA $3.18 $2.86 $2.87 $3.48 $4.13 $4.87 Fresno CA $10.79 $9.93 $8.55 $8.45 $9.09 $9.20 Garden Grove CA $12.67 $11.26 $10.20 $11.70 $12.32 $14.45 2 Garland TX $0.47 $0.48 $0.56 $0.69 $0.77 $0.83 Gilbert AZ Glendale AZ Glendale CA $2.73 $2.38 $2.69 $3.05 $3.37 Note:Boston revenue estimated with DOR collections per percentage point;prorated for mid-FY2011 rate increase(4%to 6%) 1 Calendar Year 'Fiscal Year ended September 30 3 Fiscal year ended August 31 HVS 2014 LODGING TAX REPORT-USA 1,PAGE 15 HVS LODGING TAX REVENUES IN TOP 150 URBAN CENTERS($MILLIONS)-CONTINUED City ST FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 FY 2013 Notes 2 Grand Prairie TX $1.41 $1.23 $1.23 $1.33 $1.33 $1.49 1 Grand Rapids MI $4.68 $4.92 $5.80 $6.60 $6.60 Kent County Greensboro NC $3.05 $2.76 $2.66 $2.84 $3.00 $3.31 Henderson NV $2.28 $1.77 $1.41 $1.29 $1.56 $1.64 2 Hialeah FL $73.99 $62.53 $72.56 $84.92 $90.92 Miami-Dade County Honolulu HI Houston TX $66.23 $62.38 $54.92 $61.60 $68.62 $68.62 2 Huntington Beach CA $6.69 $5.42 $5.82 $6.47 $7.20 $7.60 2 Huntsville AL $5.92 $5.69 $5.81 $6.14 $6.13 $6.13 Indianapolis IN $36.21 $32.27 $25.90 $36.80 $43.34 $43.34 Marion County Irvine CA $9.11 $7.77 $7.27 $8.29 $8.49 $8.49 2 Irving TX $24.53 $19.67 $15.79 $18.03 $18.94 $18.94 Jackson MS 3Jacksonville FL $16.73 $13.38 $13.34 $14.34 $14.34 $15.54 Duval County 1 Jersey City NJ $3.87 $4.09 $4.28 $5.97 $6.33 $6.55 FY 2008-10;CY 2011-12 Kansas City MO Knoxville TN $2.91 $3.11 $3.34 $3.26 Lancaster CA $1.21 $1.33 $1.38 $1.30 $1.34 $1.31 2 Laredo TX $3.33 $2.72 $3.09 $4.12 $4.23 $4.22 Las Vegas NV $4.52 $3.36 $2.89 $3.03 $3.41 $3.50 1-2%city tax,1%district only Lexington KY Lincoln NE $25.44 Little Rock AR 2 Long Beach CA $18.22 $14.74 $15.27 $17.69 $17.76 $19.45 Los Angeles CA $148.52 $136.32 $118.50 $134.80 $151.72 $182.96 Louisville KY $19.97 $19.55 $18.29 $18.84 $20.50 $21.76 Jefferson County 2 Lubbock TX $4.19 $4.18 $4.24 $4.86 $5.21 $6.15 1 Madison WI $8.70 $7.52 $8.34 $9.27 $10.16 $10.90 Memphis TN $4.34 $3.85 $3.62 $3.54 $3.72 $4.19 Hotel Tax Fund revenue Mesa AZ $2.39 $1.81 $1.58 $2.15 $2.02 $1.90 2 Miami FL $73.99 $62.53 $72.56 $84.92 $90.92 Miami-Dade County 1 Milwaukee WI $9.29 $7.57 $9.31 $9.94 $10.48 $11.40 7%WCD city room tax only 1 Minneapolis MN $6.62 $5.67 $5.79 $6.30 $6.43 $6.75 2 Mobile AL $5.24 $4.80 $6.04 $5.09 $5.00 $5.18 Modesto CA $2.04 $1.85 $1.46 $1.64 $1.77 $1.88 2 Montgomery AL $5.55 $5.27 $5.58 $5.57 $6.06 $6.06 Moreno Valley CA $0.59 $0.50 $0.54 $0.69 $0.75 $0.83 Nashville TN $39.00 $38.79 $37.71 $38.78 $47.09 $50.46 New Orleans LA $18.77 $17.07 $18.60 $21.86 $24.04 Orleans Parish NOEHA taxes New York NY $382.31 $343.34 $369.13 $431.98 $486.53 $512.34 Includes fees;not 0.375%MCTD tax Newark NJ $4.20 $5.15 $4.60 $5.72 $5.63 $6.08 2012 budget estimate Newport News VA $3.45 $3.13 $2.97 $3.06 $3.19 $3.19 Norfolk VA $8.37 $7.79 $7.13 $6.51 $8.56 $8.07 Includes excise tax North Las Vegas NV $0.35 $0.30 $0.33 $0.33 $0.36 $0.36 Oakland CA $12.40 $10.60 $10.09 $12.48 $13.82 $15.83 Oceanside CA $3.39 $3.89 $3.18 $3.33 $3.82 $4.24 Oklahoma City OK $10.83 $10.65 $10.32 $10.86 $12.34 $13.32 1 Omaha NE $5.17 $4.56 $4.67 $3.30 $3.81 $3.92 4%general fund tax only Ontario CA $11.03 $9.37 $8.40 $8.79 $9.15 $9.73 2 Orlando FL $168.16 $142.21 $147.76 $175.85 $175.30 Orange County 1 Calendar Year 2 Fiscal Year ended September 30 3 Collected May-April HVS 2014 LODGING TAX REPORT-USA I PAGE 16 HVS LODGING TAX REVENUES IN TOP 150 URBAN CENTERS($MILLIONS)-CONTINUED City ST FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 FY 2013 Notes 1 Overland Park KS $8.20 $6.78 $6.73 $7.45 $7.77 $8.44 Oxnard CA $3.62 $3.33 $3.06 $3.30 $3.40 $3.83 2 Pembroke Pines FL $42.77 $35.51 $37.53 $40.63 $44.50 $47.43 Broward County Philadelphia PA $39.74 $37.91 $40.02 $42.21 $47.01 $50.04 Collection data Phoenix AZ $35.64 $30.42 $26.87 $28.32 $30.49 $31.67 1 Pittsburgh PA $24.60 $22.30 $24.63 $27.73 $29.17 $29.17 Allegheny County 2 Plano TX $4.91 $3.95 $4.10 $4.72 $4.67 $5.10 2 Port St.Lucie FL $2.36 $2.08 $2.02 $2.40 $2.65 St.Lucie County Portland OR $19.65 $23.57 $16.51 $19.14 $21.36 $28.75 Providence RI $1.52 Raleigh NC $14.69 $13.48 $12.98 $14.94 $16.22 $17.04 Wake County Rancho Cucamonga CA $1.76 $1.69 $1.59 $1.83 $1.93 $2.06 Reno NV $7.68 $7.51 $7.34 $7.17 $7.83 Richmond VA $5.98 $5.37 $4.79 $4.79 $5.20 $6.39 Riverside CA $3.69 $2.91 $2.49 $2.73 $3.00 $3.52 1 Rochester NY $6.48 $6.43 $6.42 $6.35 $6.33 $6.33 Monroe County Sacramento CA $17.54 $16.43 $14.23 $15.40 $15.78 $16.56 1 Saint Paul MN $3.04 $2.73 $2.70 $2.96 $3.17 $3.17 Salem OR $2.51 $2.42 $2.14 $2.22 $2.24 $2.45 Salt Lake City UT $11.39 $10.34 $8.99 $9.67 $1.98 $2.45 Salt Lake County 2 San Antonio TX $68.41 $58.80 $59.73 $62.97 $67.94 $72.77 San Bernardino CA $3.26 $2.52 $2.22 $2.51 San Diego CA $160.24 $136.32 $128.11 $139.77 $148.80 $159.49 San Francisco CA $219.09 $214.46 $186.85 $209.96 $239.57 $238.78 San Jose CA $23.90 $19.26 $17.25 $18.10 $22.45 $25.26 Santa Ana CA $7.71 $6.15 $5.65 $5.97 $7.02 $7.02 Santa Clarita CA $2.43 $2.26 $2.05 $2.11 $2.38 $2.56 Santa Rosa CA $4.06 $3.46 $2.86 $3.18 $3.65 $3.86 Scottsdale AZ $9.62 $7.58 $7.11 $13.13 $13.43 $13.85 1 Seattle WA $53.08 $23.66 $19.48 $20.19 $22.28 $24.47 King County 2%state-shared 1 Shreveport LA $1.86 $2.63 $2.23 $2.20 $2.20 1 Spokane WA $1.49 $1.36 $1.42 $1.37 $1.68 2%state-shared only Springfield MO $3.63 $3.59 $3.35 $3.54 $3.84 $3.87 St.Louis MO $5.62 $6.51 $6.26 $6.42 $7.37 $7.54 3.5%C&S tax only 2 St.Petersburg FL $26.35 $24.25 $23.75 $25.59 $28.75 Pinellas County Stockton CA $2.29 $1.96 $1.75 $1.80 $1.93 $2.01 1 Tacoma WA $3.25 $3.14 $3.10 $2.98 $2.91 $3.18 2%state-shared and 2%or 5%local Tallahassee FL $3.27 $3.15 $3.55 $3.74 $4.11 Leon County 2 Tampa FL $21.29 $18.42 $17.54 $19.10 $21.03 Hillsborough County Tempe AZ $3.53 $2.81 $2.51 $4.10 $4.52 $4.65 1 Toledo OH $6.39 $4.16 $4.49 $4.88 $5.11 $5.11 Lucas County Tucson AZ $12.37 $10.99 $11.69 $12.52 $12.41 $12.22 Tulsa OK $6.82 $6.33 $5.82 $5.68 $6.12 $6.68 1 Vancouver WA $1.29 $1.10 $1.18 $1.26 $1.35 2%state-shared and 2%local Virginia Beach VA $23.62 $22.73 $22.92 $24.40 $25.62 $25.62 2 Washington DC $204.20 $204.30 1 Wichita KS $6.32 $6.01 $5.69 $6.04 $6.10 $6.40 1 Winston-Salem NC $4.09 $3.40 $3.18 $3.53 $3.95 $3.95 Forsyth County Worcester MA $1.10 $1.48 $1.42 $1.79 $1.94 $1.94 Yonkers NY $5.30 $4.12 $4.75 $5.17 $5.30 $5.30 1 Calendar Year 2 Fiscal Year ended September 30 HVS 2014 LODGING TAX REPORT-USA I PAGE 17 HVS Room Revenue Trends Since reporting and payment of lodging taxes is mandatory,data on tax revenue provides an accurate measurement of the performance of the lodging industry.HVS estimated the amounts of taxable room revenue in each state and city by dividing the tax revenues by the tax rate.Taxable room revenues are typically less than gross room revenues because most lodging tax laws provide some exemptions such as room rental paid by military personnel or government employees.Estimated taxable room revenues for the states and cities for which data is available are shown below. Appendix B provides detailed information on estimated state and city room revenue. ESTIMATED AVERAGE ANNUAL CHANGE IN TAXABLE ROOM REVENUE IN STATES AND LARGEST U.S.CITIES($MILLIONS)2 12.00% y 8.00% j :: "reu111 t .T _ -4.00% c c -8.00% -12.00% FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 FY 2013 •City Urban Center State Performance of the lodging sector can be interpreted as a leading indicator for the larger economy,since business travel is a relatively elastic expense for many firms.HVS compared the revenues of states and cities in each year from 2009 to 2013 to demonstrate the progressive recovery from the economic recession.HVS also compared estimated taxable room revenue in 2013 to the larger of estimated taxable room revenue in years 2007 and 2008 for individual states and cities. The figure below shows the number of states and cities that have recoverd to pre-recession level of loding tax revenues and shows a pattern of slow but persistent recovery. 2 HVS estimated revenues for each year by computing the revenue change in each city or state for which data was available,then averaging the revenue changes of all cities or states. HVS 2014 LODGING TAX REPORT-USA I PAGE 18 v Yfi ro i .al ami hu,.s"w ,y 'r• .° 1`#5., •vy wxet'sr''" y�I ->r -rt" dh:: �` ^ . S . th „ x l 2;'� s ys s r. m e l* a 'w .� y k • � �`� s i S+ � a+�. � � b,�,h � 1,ty ro s� 3 ''yy'�"4,tttttuu ,Y b W ,J111114-1,4', 'S` ' w •rt x. ,, S` � s�: Ss '(tg".,xt- � , ��"* _. sr ':7��k rm: ni • egkst v. ':I n� i .n s'u,. ..', r '„� =x' ,, t. I � - 7s � i. .a.. �0. �4 a`S „ tlM`'t +t'.�, } ,.d- � i.a, . _ REVENUES RELATIVE TO PRE-RECESSION PEAK BY YEAR States Cities Number Below Number Above Number Below Number Above 2009 28 3 111 7 2010 25 6 104 14 2011 15 16 83 35 2012 7 24 59 59 2013 2 29 45 73 Five years after the recession,nearly all states have recovered to pre-recession revenue levels,but a significant number of cities(45)have not yet recovered. Disclaimer HVS's lodging tax study recognizes that lodging tax rates,collections,and distributions are in constant flux.The data presented herein is HVS's best attempt to gather the most recently available information.HVS used sources deemed to be reliable and assumes that this information is accurate.All questions,comments,or concerns are welcome in the continuing process to accurately present the current and historical trends of lodging taxes in the United States. HVS 2014 LODGING TAX REPORT-USA I PAGE 19 • FIVS APPENDIX A- STATE LODGING TAXES Alabama Alaska The State of Alabama levies a transient lodging tax The State of Alaska does not impose a statewide on renting or furnishing any room or rooms, lodging tax or sales tax. lodging,or accommodations to transients.The statewide transient lodging tax is 4%in all Arizona counties except the Alabama Mountain Lakes counties of Blout,Cherokee,Colbert,Cullman, Transient lodging in Arizona is subject to DeKalb,Etowah,Franklin,Jackson,Lauderdale, Arizona's statewide transaction privilege tax Lawrence,Limestone,Madison,Marion,Marshall, (similar to a sales tax).The tax base is the gross Morgan,and Winston,where an additional 1% proceeds of sales or gross income derived from lodging tax is imposed.50%of the 1%additional the business.Exemptions are granted for non- lodging tax is distributed to the Alabama lodging business activity or the renting of lodging Mountain Lakes Association,while the other 50% to a motion picture production company.The is distributed to the counties in which the tax was state deducts a.065%administrative fee for the collected.180 or more continuous days of administration of the tax.As of June 1,2013 the occupancy and non-profit or privately operated tax rate has returned to 5.5%. lodging facilities for the recreation/education of Year Rate Collections students,children,or nonprofit members are 2013 6.50% $122,158,268 exempt from the tax. 2012 6.50% $118,627,527 Year Rate Collections 2011 6.50% $112,160,756 2013 4.00% $53,703,169 2010 5.50% $107,221,518 2012 4.00% $51,787,434 2009 5.50% $116,403,922 2011 4.00% $49,682,553 2008 5.50% $132,163,437 2010 4.00% $43,314,319 2007 5.50% $132,475,665 2009 4.00% $43,656,561 2006 5.50% $124,483,456 2008 4.00% $47,209,785 2005 5.50% $113,372,263 2007 4.00% $34,073,086 2004 5.50% $100,713,460 2006 4.00% $35,634,232 2003 5.50% $93,417,455 2005 4.00% $41,274,184 2002 5.50% $91,286,854 2004 4.00% $44,683,652 2001 5.50% $102,905,472 2003 4.00% $31,510,872 2002 4.00% $30,733,336 2001 4.00% $29,158,729 HVS 2014 LODGING TAX REPORT-USA I PAGE A-1 x Arkansas Year Rate Collections 2013 2.90% $81,039,000 Arkansas'statewide sales tax applies to the 2012 2.90% $77,409,000 furnishing of rooms to transient guests.The State 2011 2.90% $71,189,000 also imposes a 2%tourism tax on lodging services. These taxes are in addition to local county and 2010 2.90% $63,346,000 municipal sales taxes and transient lodging taxes. 2009 2.90% $66,536,000 The below data pertains to collections of the 2% 2008 2.90% $72,530,000 statewide tourism tax in calendar years. 2007 2.90% $67,693,000 Year Rate Collections 2006 2.90% $59,660,000 2013 2.00% $12,716,494 2005 2.90% $54,307,000 2012 2.00% $12,405,781 2004 2.90% $50,991,000 2011 2.00% $22,025,504 2003 2.90% $50,514,000 2010 2.00% $11,492,218 2009 2.00% $11,378,831 Connecticut 2008 2.00% $12,005,267 2007 2.00% $11,571,123 Connecticut applies a room occupancy tax on 2006 2.00% $11,089,224 short-term hotel and lodging stays(30 days or 2005 2.00% $10,177,191 less).The Connecticut room occupancy tax was raised from 12%to 15%on July 1,2011.The room occupancy tax is collected by the California Connecticut Department of Revenue.Collection data from 2007 to 2009 are estimated using Local transient occupancy taxes can be imposed reported gross receipts. on hotels,motels,and other forms of transient Year Rate Collections lodging.Either a city or a county(or both)may 2013 15.00% $103,965,000 levy a tax on lodging for a period of less than 30 2012 15.00% $102,109,413 ! days,but the State of California does not. Incorporated cities are not subject to county 2011 15.00% $76,521,680 lodging taxes.Special local taxing districts are 2010 12.00% $70,595,546 permitted.Transient occupancy taxes are not 2009 12.00% $73,512,000 levied on campgrounds and owners of time- 2008 12.00% $84,264,000 1 shares.Other exceptions may be determined by 2007 12.00% $79,968,000 local legislative bodies. Colorado Delaware Units rented for less than 30 consecutive days are Delaware imposes an accommodation tax upon subject to the state sales tax.Hotels are also every occupancy of a room or rooms in a hotel, subject to local sales taxes and local hotel taxes. motel or tourist home within the State.The The state sales tax is collected by the Colorado accommodation tax is remitted to the Department Department of Revenue,except for home-rule of Finance.Exemptions are available for cities and counties.The state retains 2.22%of charitable,educational,or religious institutions, collections as a Service Fee. summer camps for children,nursing homes and hospitals,permanent residents,and employees of the U.S.government on official business. HVS 2014 LODGING TAX REPORT-USA I PAGE A-2 HVS Municipalities and counties may not impose an Year Rate Collections additional accommodation tax. 2013 4.00% $221,699,000 Year Rate Collections 2012 4.00% $208,044,000 2012 8.00% $16,938,000 2011 4.00% $201,754,000 2011 8.00% $16,310,000 2010 4.00% $181,437,000 2010 8.00% $16,000,000 2009 8.00% $15,680,000 2008 8.00% $18,080,000 Hawaii 2007 8.00% $18,240,000 In addition to the statewide 4%general excise tax, 2006 8.00% $17,280,000 the Transient Accommodations Tax is also levied 2005 8.00% $15,840,000 upon the gross rental proceeds derived from the 2004 8.00% $16,320,000 furnishing of transient accommodations for less 2003 8.00% $14,560,000 than 180 days.The Transient Accommodations 2002 8.00% $13,600,000 Tax was raised to 8.25%for FY 2010,and 9.25% 2001 8.00% $13,920,000 for FY 2011.Hawaii's general excise tax is 4%,the rate is 4.5%in Oahu.Exemptions to the Transient Accommodations Tax are offered for health care Florida facilities,school dormitories,nonprofit lodging, living accommodations for military personnel, Sales tax is due on rental charges or room rates renters receiving rental subsistence,renters to paid for the right to use or occupy living or full-time postsecondary students,and sleeping accommodations.Exemptions are accommodations for foreign diplomats.The data granted for 6 or more months of continuous below pertains to the Transient Accommodations residence,full-time students enrolled in Tax rates and collections per calendar year. postsecondary education,and active duty military Year Rate Collections personnel in the community under official orders. A 2.5%collection allowance is granted for the 2013 9.25% $354,082,000 remittance of the statewide sales tax.However, 2012 9.25% $308,974,000 the State of Florida does not provide a breakdown 2011 9.25% $271,755,000 of sales tax revenues derived from 2010 8.25% $214,219,000 accommodation sales. 2009 7.25% $199,594,000 2008 7.25% $222,685,000 Georgia 2007 7.25% $219,831,000 2006 7.25% $213,226,000 Georgia's statewide 4%sales tax applies to hotels. 2005 7.25% $198,774,000 Although there is no statewide hotel tax,local municipal or county authorities can apply an 2004 7.25% $181,848,000 excise tax to all accommodations that are 2003 7.25% $170,865,000 regularly furnished for value for the first 10 days of occupancy.Local authorities can choose what rate to set their transient hotel tax at,between 3% Idaho and 8%.Exemptions to the hotel tax are granted Idaho levies a 6%statewide sales tax applied on for those staying in a room as a result of hotels,plus an additional 2%Travel&Convention destruction to their home or those on official Hotel/Motel Tax on hotel or motel occupants and government business. campground users for less than 30 continuous days.Local governments can also impose their HVS 2014 LODGING TAX REPORT-USA I PAGE A-3 NI- Alm•MMINisommom111111 x, A .L , / I--I VS own hotel taxes.Both the sales tax and the Travel Year Rate Collections and Convention Hotel/Motel Tax are remitted to 2013 6.00% $222,824,550 the Idaho Tax Commission.The data below 2012 6.00% $211,075,064 describes the rate and collections of the Travel 2011 6.00% $193,391,253 and Convention Hotel/Motel Tax. 2010 6.00% $171,019,922 Year Rate Collections 2009 6.00% $194,732,472 2013 2.00% $7,501,871 2008 6.00% $219,725,708 2012 2.00% $7,084,790 2007 6.00% $206,807,648 2011 2.00% $6,665,722 2006 6.00% $185,039,659 2010 2.00% $6,276,456 2005 6.00% $160,720,291 2009 2.00% $6,862,000 2004 6.00% $156,125,146 2008 2.00% $7,378,675 2003 6.00% $150,727,788 2007 2.00% $6,908,518 2002 6.00% $149,658,344 2006 2.00% $6,290,575 2001 6.00% $170,013,089 2005 2.00% $5,704,999 2004 2.00% $5,315,084 2003 2.00% $5,044,435 Indiana 2002 2.00% $4,912,981 In addition to the 7%statewide sales tax,counties may impose a County Innkeeper Tax on the rental Illinois of rooms and accommodations for less than 30 days.The Indiana Department of Revenue only The Hotel Operators Occupation Tax is imposed collects County Innkeeper Taxes for certain on the occupation of renting,leasing,or letting counties.Although the Department of Revenue rooms to persons for living quarters for periods of reports County Innkeeper Tax revenue,it does not less than 30 days consecutive days.Illinois provide a breakdown of sales tax revenue derived statewide sales tax is not imposed on hotels,but from lodging sales. I various county,municipal,and authority taxes are imposed on hotels.Exemptions to the Hotel Iowa Operators Occupation Tax are granted to foreign diplomats and permanent residents.An effective The statewide sales tax levied on hotels and 1 rate of 6.17%is levied in the city of Chicago. motels is 5%.Additional local hotel/motel taxes at the city and county level may be imposed on the gross receipts from the renting of sleeping rooms for 31 consecutive days or less,but hotels are not subject to local option sales taxes.Local hotel/motel taxes may not exceed 7%.Collection figures indicate sales and use tax paid by hotels and other lodging establishments. HVS 2014 LODGING TAX REPORT-USA I PAGE A-4 Hvs Year Rate Collections Kentucky 2013 5.00% $44,827,957 2012 5.00% $43,479,593 All hotel rentals are subject to the statewide 6% 2011 5.00% sales tax and a 1%transient room tax.Local $39,068,913 governing bodies may establish an additional 2010 5.00% $40,025,778 transient room tax for rentals of 30 days or less. 2009 5.00% $35,309,752 The data below pertains only to the 1%transient 2008 5.00% $32,733,246 room tax. 2007 5.00% $30,875,248 Year Rate Collections 2006 5.00% $28,631,798 2013 1.00% $9,800,144 2005 5.00% $27,021,038 2012 1.00% $9,270,886 2004 5.00% $25,581,384 2011 1.00% $8,949,223 2003 5.00% $24,969,330 2010 1.00% $8,187,581 2002 5.00% $27,635,086 2009 1.00% $8,638,454 2001 5.00% $25,368,481 2008 1.00% $8,786,179 2007 1.00% $8,271,470 Kansas 2006 1.00% $7,526,491 The rental of sleeping rooms by a hotel is subject to the 6.3%state sales tax on the total gross Louisiana receipts.Exemptions from this sales tax are The furnishing of rooms by hotels is subject to the granted to the federal and state government, 4%statewide sales tax.Localities can also impose nonprofit organizations,and volunteer fire hotel occupancy taxes at the county,city,and departments.Local taxing jurisdictions can also authority level.The State also imposes a 4%hotel impose an additional Transient Guest Tax. Businesses remitting the state sales tax on hotel occupancy tax in the Louisiana Stadium District (Orleans and Jefferson Parish),and a 3%New gross receipts may keep an administrative fee of Orleans Morial Exhibition Hall Authority hotel 2%Transient Guest Tax revenue.Beginning FY occupancy tax(Orleans Parish),which includes a 2014,the state sales tax is reduced to 6.15%. $.50 excise on hotels with 10-299 rooms,$1 excise Year Rate Collections on hotels with 300-999 rooms,and$2 excise on 2013 6.30% $37,493,386 hotels with 1000 rooms or more.The below data 2012 6.30% $36,454,102 pertains to the combined Louisiana Stadium 2011 6.30% $32,825,094 District and New Orleans Morial Exhibition Hall 2010 6.30% $24,876,582 Authority tax rates and collection. 2009 6.30% $26,976,527 2008 6.30% $28,562,931 2007 6.30% $26,592,032 2006 6.30% $24,306,886 2005 6.30% $22,199,803 2004 6.30% $21,814,115 2003 6.30% $19,269,441 HVS 2014 LODGING TAX REPORT-USA I PAGE A-5 ';; "vs Year Rate Collections Year Rate Collections 2013 7.00% $68,610,000 2013 6.00% $91,752,680 2012 7.00% $61,070,000 2012 6.00% $89,834,791 2011 7.00% $55,730,000 2011 6.00% $84,087,091 2010 7.00% $47,500,000 2010 6.00% $79,940,519 2009 7.00% $44,650,000 2009 6.00% $87,629,108 2008 7.00% $48,260,000 2008 6.00% $76,854,795 2007 7.00% $39,710,000 2007 5.00% $65,378,429 2006 7.00% $36,140,000 2006 5.00% $60,902,495 2005 7.00% $59,750,000 2005 5.00% $57,759,143 2004 7.00% $50,970,000 2004 5.00% $55,186,802 2003 7.00% $49,920,000 2003 5.00% $50,843,977 2002 7.00% $47,240,000 2002 5.00% $50,353,311 I2001 5.00% $51,673,672 Maine Maine's sales tax applies to transient lodging Massachusetts rentals at the rate of 7%.For FY 2014,the rate has increased to 8%.The tax is remitted to the Maine The 5.7%room occupancy excise tax is imposed Department of Administrative and Financial on the transfer of occupancy,for$15 or more,of Services.Sales tax revenue from lodging rentals is any room in a bed and breakfast establishment, estimated using taxable receipts data. hotel,lodging house,or motel for a period of Year Rate Collections ninety days or less.The room occupancy excise tax 2013 7.00% $54,243,980 is imposed on transient lodging instead of the 2012 7.00% $51,228,450 statewide sales tax.Cities or towns may also 2011 7.00% $47,908,371 impose a local room occupancy excise tax.The maximum local room occupancy excise tax is 6% 2010 7.00% $46,058,656 (6.5%in Boston).An additional 2.75%tax is 2009 7.00% $42,520,513 levied in Boston,Worcester,Cambridge, 2008 7.00% $45,592,183 Springfield,West Springfield,and Chicopee for 2007 7.00% $45,505,922 convention center funding.Exemptions from the 2006 7.00% $41,654,046 room occupancy excise tax are granted for 2005 7.00% $39,325,762 nonprofit or government institutions,official 2004 7.00% $36,643,761 duties of U.S.military personnel,private 2003 7.00% $36,208,291 convalescent homes,summer camps,and bed and 2002 7.00% $35,862,799 breakfast homes. Maryland The statewide 6%sales tax is applied to hotel room sales.Local jurisdictions may impose a hotel occupancy tax in addition to the state sales tax. HVS 2014 LODGING TAX REPORT-USA I PAGE A-6 HVS Year Rate Collections Only the Federal government and foreign 2013 5.70% $194,577,000 diplomats are exempt. 2012 5.70% $183,707,000 Year Rate Collections 2011 5.70% $167,300,000 2012 6.875% $123,817,353 2010 5.70% $152,233,000 2011 6.875% $121,569,413 2009 5.70% $160,933,000 2010 6.875% $113,635,639 2008 5.70% $174,157,000 2009 6.50% $104,217,067 2007 5.70% $157,515,000 2008 6.50% $115,655,852 2006 5.70% $144,808,000 2007 6.50% $116,180,529 2005 5.70% $133,487,000 2006 6.50% $105,724,392 2004 5.70% $120,178,000 2005 6.50% $95,909,029 2003 5.70% 2004 6.50% $89,346,174 $119,991,000 2002 5.70% 2003 6.50% $85,177,750 $123,306,000 Michigan Mississippi Hotel room rentals are subject to the Michigan Hotels,motels,tourist courts or camps,and trailer statewide 6%use tax.Local governments may parks are subject to the 7%statewide sales tax of impose their own hotel occupancy taxes. their gross income.Local governments may impose their own local sales taxes on tourism- Year Rate Collections related business and services. 2013 6.00% $78,036,000 Year Rate Collections 2012 6.00% $85,698,000 2013 7.00% $48,399,322 2011 6.00% $92,934,000 2012 7.00% $45,949,960 2010 6.00% $94,422,000 2011 7.00% $45,598,504 2009 6.00% $77,022,000 2010 7.00% $41,660,429 2008 6.00% $82,626,000 2009 7.00% $43,959,595 2007 6.00% $82,824,000 2008 7.00% $44,258,713 2006 6.00% $84,828,000 2007 7.00% $39,306,553 2005 6.00% $84,144,000 2006 7.00% $41,464,807 2004 6.00% $78,990,000 2005 7.00% $36,266,914 2003 6.00% $73,788,000 2004 7.00% $35,037,328 2002 6.00% $78,384,000 2003 7.00% $30,946,466 2001 6.00% $80,016,000 2002 7.00% $31,568,545 2001 7.00% $30,579,624 Minnesota Missouri The rental of a room or rooms for a temporary place to stay is subject to the state sales tax.Sales Missouri charges a 4.22S%sales tax on the and use tax must be charged on lodging and amount of charges for all rooms furnished for the related services furnished for a period of less than public.Local governments may impose their own 30 days.Local governments may institute their hotel taxes.The Missouri Department of Revenue own lodging taxes,but the total tax amount when collects both state and local taxes.Revenue data added to the state sales tax may not exceed 13%. HVS 2014 LODGING TAX REPORT-USA I PAGE A-7 I I I VS estimated from reported taxable receipts of Year Rate Collections hotels,motels,and boarding courts. 2013 7.00% $39,769,000 Year Rate Collections 2012 7.00% $37,864,378 2013 4.225% $60,049,607 2011 7.00% $33,958,813 2012 4.225% $58,199,584 2010 7.00% $29,463,020 2011 4.225% $56,338,736 2009 7.00% $29,581,099 2010 4.225% $53,456,321 2008 7.00% $31,951,675 2009 4.225% $50,349,261 2007 7.00% $30,822,617 2008 4.225% $55,395,130 2006 7.00% $25,697,329 2007 4.225% $54,117,842 2005 7.00% $24,642,093 2006 4.225% $51,370,135 2004 7.00% $22,851,830 2005 4.225% $48,318,063 2004 4.225% $45,858,844 2003 4.225% $46,624,160 Nebraska 2002 4.225% $44,277,883 The state 1%lodging tax is imposed on the total 2001 4.225% $44,960,897 gross receipts charged for sleeping accommodations furnished by a hotel.This is in addition to the 5.5%statewide sales tax.Cities Montana may impose a lodging tax.Counties may also The Lodging Facility Use Tax(LFUT)and the impose a lodging tax of not more than 4%,as well Lodging Facility Sales Tax(LFST)are imposed on as local sales taxes.Exemptions are granted for users of overnight lodging facilities.The LFUT rate any organization that is exempt from sales tax. is 4%,and the LFST(first imposed in 2003)rate is The state deducts a 3%administrative fee for its 3%,creating a total lodging tax rate of 7%. collection of sales and lodging tax.The below data Exemptions from the lodging taxes are granted for pertains to the 1%state lodging tax in calendar units for rented 30+continuous days,units years. located on an Indian reservation and rented to a Year Rate Collections member of the same reservation,the federal 2013 1.00% $4,524,464 government,diplomats,youth camps,health care 2012 1.00% $4,312,179 facilities,and facilities charging an average ADAC 2011 1.00% $3,976,771 rate that is 60%or less than the state 2010 1.00% $3,834,851 reimbursement rate for a single room. 2009 1.00% $3,532,692 2008 1.00% $3,725,953 2007 1.00% $3,558,016 2006 1.00% $3,219,113 2005 1.00% $2,908,916 2004 1.00% $2,791,549 2003 1.00% $2,619,199 2002 1.00% $2,640,766 2001 1.00% $2,598,700 HVS 2014 LODGING TAX REPORT-USA I PAGE A-8 HVS Nevada Year Rate Collections 2013 9.00% $44,815,382 Nevada applies a tax of at least 1%on the gross 2012 9.00% $41,728,060 receipts from the rental of transient lodging, 2011 9.00% $40,853,758 which is retained by the county remitting in which the tax is remitted for local promotion of tourism. 2010 9.00% $37,375,769 In counties with populations greater than 2009 9.00% $34,092,564 300,000,an additional tax of up to 3%on the 2008 8.00% $35,895,249 rental of transient lodging is remitted to the State 2007 8.00% $34,930,107 General Fund.If the lodging tax in a locality on 2006 8.00% $32,294,697 7/31/08 was less than 10%,the additional tax is 2005 8.00% $31,842,991 imposed.If the lodging tax in a locality on 2004 8.00% $30,926,220 7/31/08 was greater than 10%,the lodging tax is 2003 8.00% $29,442,521 imposed at a rate equal to the difference between 2002 8.00% $29,572,269 13%and the sum of the rates of the existing tax. Year Rate Collections 2013 4.00% $146,370,186 New Jersey 2012 4.00% $143,767,397 2011 4.00% $128,203,856 The 5%State Occupancy Fee is imposed on the rent for every occupancy in a hotel,motel,or 2010 4.00% $111,513,747 similar facilities.Jersey City and Newark hotels 2009 1.00% $18,163,309 are instead charged at 1%,and hotels in The 2008 1.00% $19,076,477 Wildwoods at 3.15%. This is in addition to the 2007 1.00% $18,363,565 state 7%sales tax.Various local Municipal 2006 1.00% $17,279,556 Occupancy Taxes are permitted.Exemptions are granted for state or federal agencies,religious, educational,and charitable organizations, New Hampshire organizations exempt from the sales tax,rooms The statewide Meals and Rentals Tax is assessed rented for the purpose of assembly,or residents of 90+days.The data below pertains to the 5%State upon patrons of any facility with sleeping accommodations for 185 days or less.The rate Occupancy Fee. was raised from 8%to 9%for FY 2009. Year Rate Collections Exemptions are granted for the state government, 2013 5.00% $90,860,175 federal government,campsites,schools,and 2012 5.00% $85,182,162 medical facilities.Operators are allowed to retain 2011 5.00% $78,238,345 a 3%commission on the Meals and Rentals Tax 2010 5.00% $72,808,464 remitted to the state.The below tax data is in 2009 5.00% $74,261,839 calendar years. 2008 5.00% $86,285,708 2007 5.00% $84,194,930 2006 5.00% $78,949,297 2005 5.00% $78,023,679 2004 5.00% $85,198,185 New Mexico HVS 2014 LODGING TAX REPORT-USA I PAGE A-9 "vs Receipts from the rental of lodging in hotels, Year Rate Collections motels and facilities of the same nature are 2013 4.75% $160,377,382 considered the sale of a license to use,and are 2012 4.75% $153,190,916 subject to the 5.125%statewide gross receipts tax 2011 5.75% $168,263,826 (a sales tax).Hotels are also subject to local sales 2010 5.75% $138,465,460 and lodger's taxes.The state of New Mexico does 2009 4.50% $121,583,836 not provide a breakdown of sales tax revenue derived from lodging sales. 2008 4.50% $126,918,846 2007 4.50% $124,361,295 New York 2006 4.50% $120,557,672 2005 4.50% $118,722,758 The New York State 4%sales tax applies to room 2004 4.50% $123,873,426 rentals in New York.Local sales taxes,MCTD 2003 4.50% $112,843,854 taxes,and hotel room occupancy taxes can also be 2002 4.50% $91,136,250 levied on room rentals.Exemptions are granted for the state and federal government,nonprofits, 2001 4.50% $87,748,141 and permanent(180+days)residents.Collection data is estimated using reported taxable receipts. North Dakota Year Rate Collections 2011 4.00% $363,064,040 Gross receipts from the rental of hotel,motel,or 2010 4.00% $314,090,880 tourist court accommodations are subject to the 2009 4.00% $370,228,080 North Dakota 5%state sales tax.The governing 2008 4.00% $362,691,200 body of any city may impose an additional 2007 4.00% $316,757,120 maximum 2%tax on hotel/motel 2006 4.00% $298,444,600 accommodations,and a city may impose an 2005 4.00% additional 1%tax on lodging accommodations. $268,137,640 The sales tax on lodging was increased from 5%to 2004 4.00% $233,572,840 6%from FY 2004 to FY 2007 for the promotion of 2003 4.00% $225,718,000 Lewis and Clark bicentennial events.Exemptions 2002 4.00% $216,655,360 are granted for federal,state,and local 2001 4.00% $260,550,600 government and 30+days of continuous residency.North Dakota does not provide a breakdown of sales tax revenue received from North Carolina lodging sales. The sales price of the rental of an accommodation is subject to North Carolina's state sales tax,as well as local sales taxes and hotel room occupancy taxes.Note that the sales tax rate has been reduced to 4.75%for FY 2012.Exemptions are provided for residents of 90+days or schools, camps,and similar entities. HVS 2014 LODGING TAX REPORT-USA I PAGE A-10 • HVS Ohio Pennsylvania The Ohio statewide 5.5%(5.75%starting The Hotel Occupancy Tax applies to room rental September 2013)sales tax applies to the rental of charges for periods of less than 30 days.It is hotel rooms or similar sleeping accommodations imposed at the same rate as the Pennsylvania for less than 30 days by establishments with five sales tax,at 6%,with a 1%local tax added to or more sleeping rooms.This state sales tax is in purchases made in Allegheny County and a 2% addition to local sales taxes and municipal,county, local tax added to purchases made in Philadelphia. or authority taxes that can be placed on hotels. Local sales taxes and hotel occupancy taxes can Ohio does not provide a breakdown of sales tax also be imposed in addition to the statewide Hotel revenue received from lodging sales. Occupancy Tax. Year Rate Collections Oklahoma 2013 6.00% $187,933,000 Any form of lodging,excluding rental properties 2012 6.00% $181,200,000 and rooms rented inside a home,is subject to the 2011 6.00% $169,980,000 Oklahoma 4.5%statewide sales tax,as well as 2010 6.00% $152,082,000 local sales taxes and lodging taxes.Oklahoma does 2009 6.00% $156,370,000 not provide a breakdown of sales tax revenue 2008 6.00% $167,591,000 received from lodging sales. 2007 6.00% $163,280,000 Oregon The State 1%Lodging Tax is imposed on those Rhode Island who provide temporary overnight lodging.This In addition to the 7%state sales tax,Rhode Island tax is in addition to local city and county sales also imposes a 6%tax on the rental of rooms in taxes or lodging taxes.Exemptions are granted for hotels,motels,or lodging houses.The tax rate was federal employees,lodgers for 30+days,health raised from 5%to 6%for FY 2005,with the care facilities,mental health facilities,facilities additional 1%allocated to the city or town in with less than 30 rentals/year,emergency which the hotel is located.Hotels with fewer than temporary shelter,and nonprofits.A 5% three rooms are exempt from the tax.The data administration fee retained from the total tax by below pertains to the 6%hotel occupancy tax. providers.The data below pertains to collections Year Rate Collections in calendar years. 2013 6.00% $12,117,732 Year Rate Collections 2012 6.00% $16,868,958 2013 1.00% $13,527,916 2011 6.00% $15,618,689 2012 1.00% $12,377,707 2010 6.00% $14,200,000 2011 1.00% $11,505,246 2009 6.00% $15,500,000 2010 1.00% $11,085,176 2008 6.00% $16,200,000 2009 1.00% $10,492,522 2007 6.00% $15,800,000 2008 1.00% $11,718,287 2006 6.00% $14,900,000 2007 1.00% $11,690,021 2005 6.00% $12,700,000 2006 1.00% $10,720,797 2004 5.00% $11,900,000 2005 1.00% $9,087,486 2003 5.00% $11,500,000 2004 1.00% $8,361,090 2002 5.00% $11,600,000 HVS 2014 LODGING TAX REPORT-USA I PAGE A-11 5 South Carolina 2013 1.50% $10,115,967 2012 1.50% $9,544,379 The rental of transient accommodations is subject 2011 1.50% $9,474,051 to a statewide accommodations tax of 2%in 2010 1.50% $8,409,717 addition to the statewide 5%sales tax and a potential maximum of 2%local sales tax. 2009 1.00% $5,741,636 Exemptions:rentals for 90+days and room 2008 1.00% $5,748,566 rentals in house with less than 6 bedrooms.The 2007 1.00% $5,349,006 below data pertains to the state accommodations 2006 1.00% $4,978,054 tax. 2005 1.00% $4,595,790 Year Rate Collections 2004 1.00% $4,350,557 2012 2.00% $50,778,183 2003 1.00% $4,109,768 2011 2.00% $44,429,416 2002 1.00% $3,722,957 2010 2.00% $39,794,989 2001 1.00% $3,793,170 2009 2.00% $41,847,565 2008 2.00% $45,409,248 2007 2.00% $42,751,190 Tennessee 2006 2.00% $40,355,781 Charges for the use of rooms or accommodations 2005 2.00% $36,774,136 furnished for less than 90 days by hotels,motels, 2004 2.00% $34,728,812 inns,or other tourist lodgings are subject to the 2003 2.00% $33,443,210 state 7%sales tax,as well as local sales taxes and 2002 2.00% $32,103,360 hotel occupancy taxes.Exemptions are granted for the federal government and movie production companies. South Dakota Year Rate Collections 2013 7.00% $164,403,527 The rentals of rooms or parking sites by lodging establishments or campgrounds to a transient 2012 7.00% $160,868,386 guest for less than 28 days are subject to the state 2011 7.00% $144,128,615 4%sales tax and its 1.5%tourism tax,as well as 2010 7.00% $137,972,562 municipal sales taxes and lodging taxes.The 2009 7.00% $146,253,396 tourism tax is imposed on lodging,visitor 2008 7.00% $160,908,556 attractions,motor vehicles,recreational vehicles, 2007 7.00% $154,080,942 recreational services,spectator events,and visitor 2006 7.00% $142,333,331 intensive businesses.The rate was changed on 2005 7.00% $131,675,053 July 1,2009 from 1%to 1.5%.The below data 2004 7.00% $124,795,032 pertains to the statewide tourism tax collections from lodging sales. Texas A 6%statewide Hotel Occupancy Tax is imposed on a person who pays for a room or space in a hotel costing$15 or more each day,or a sleeping room costing$2 or more each day.Hotels are also subject to local sales taxes and hotel occupancy taxes. HVS 2014 LODGING TAX REPORT-USA I PAGE A-12 HVS Year Rate Collections reported taxable sales. 2013 6.00% $450,129,053 Year Rate Collections 2012 6.00% $401,411,015 2013 9.00% $37,641,657 2011 6.00% $348,796,113 2012 9.00% $34,613,640 2010 6.00% $330,809,436 2011 9.00% $33,441,087 2009 6.00% $343,544,448 2010 9.00% $30,723,207 2008 6.00% $370,979,724 2009 9.00% $31,031,768 2007 6.00% $340,634,147 2008 9.00% $34,041,787 2006 6.00% $308,018,897 2007 9.00% $31,007,119 2005 6.00% $262,092,112 2006 9.00% $30,570,783 2004 6.00% $238,861,664 2005 9.00% $29,761,865 2003 6.00% $227,899,404 2004 9.00% $29,027,418 2002 6.00% $230,909,206 2003 9.00% $28,758,828 2001 6.00% $246,813,166 2002 9.00% $28,233,496 2001 9.00% $28,724,393 Virginia Utah Any county,city,or town may levy a transient In addition to the statewide 4.7%sales tax,a occupancy tax on hotels,motels,boarding houses, Transient Room Tax can be imposed by a county, travel campgrounds,and other facilities offering city or town on the rent for temporary lodging for guest rooms rented out for continuous occupancy stays of less than 30 consecutive days.Sales tax for fewer than 30 consecutive days.These local collection estimated using reported taxable sales. transient occupancy taxes are in addition to the Year Rate Collections 5%statewide sales tax.Collection data estimated 2013 4.70% $62,171,182 using taxable receipts in calendar years.In CY 2012 4.70% $58,444,659 2005,Virginia adopted a new accounting system, 2011 4.70% $54,320,265 making sales tax figures for individual business 2010 4.70% $47,530,304 categories unavailable.Effective FY 2014,state 2009 4.70% $42,502,883 levies an additional.3%sales tax.In addition,.7% sales tax in Northern Virginia and Hampton Roads and 2%hotel tax in the jursidiction of the Vermont Northern Virginia Transportation Authority. The statewide 9%Meals and Room Tax is imposed on the purchaser of rental accommodations in hotels for 30 days or less,rather than Vermont's usual sales tax.The towns of Brattleboro,Stratton, Stowe,and Williston have a 1%local option on the rooms tax.The cities of Burlington and Rutland may impose their own rooms tax.Exemptions are granted for the state and federal government, diplomats,American Red Cross,and non-profit medical and hospital insurance organizations. Meals and Room Tax revenue estimated from HVS 2014 LODGING TAX REPORT-USA I PAGE A-13 11 VS Year Rate Collections West Virginia 2013 5.00% $154,691,854 2012 5.00% $155,145,856 Any county or municipality may impose and collect a privilege tax upon the occupancy of hotel 2011 5.00% $149,387,770 rooms within its taxing jurisdiction.Such hotel 2010 5.00% $141,842,166 taxes are in addition to the 6%statewide sales tax. 2009 5.00% $140,210,350 West Virginia does not provide a breakdown of 2008 5.00% $153,314,795 sales tax revenue received from lodging sales. 2007 5.00% $153,959,963 2006 5.00% $149,940,419 Wisconsin 2005 5.00% Furnishing lodging to the same person or entity at 2004 4.50% $105,922,100 a hotel for a continuous period of less than 30 2003 4.50% $103,796,377 days is subject to the 5%Wisconsin sales tax,as 2002 4.50% $99,575,692 well as county,municipal,and authority sales 2001 4.50% $97,154,124 taxes and hotel taxes.Data on sales tax revenue from lodging sales is not available for FY 2007. Year Rate Collections Washington 2013 5.00% $85,999,847 Transient lodging for less than 30 days is subject 2012 5.00% $83,349,821 to the Washington State 6.5%sales tax.Local 2011 5.00% $79,419,606 hotel/motel taxes,tourism promotion charges, 2010 5.00% $74,631,537 and convention/trade center taxes may also be 2009 5.00% $70,715,400 imposed.Exemptions are granted for the federal 2008 5.00% $79,294,596 government and health care facilities. 2007 5.00% Year Rate Collections 2006 5.00% $74,596,421 2013 6.50% $169,000,901 2005 5.00% $71,098,098 2012 6.50% $157,114,763 2004 5.00% $68,016,936 2011 6.50% $146,449,613 2003 5.00% $65,960,389 2010 6.50% $137,444,863 2009 6.50% $129,322,140 2008 6.50% $136,756,688 Wyoming 2007 6.50% $134,894,829 2006 6.50% $122,473,985 Hotel room rentals are subject to the statewide 4%Wyoming sales tax,while local governments 2005 6.50% $110,746,125 may impose their own sales taxes and lodging 2004 6.50% $99,255,624 taxes of up to an additional 4%.Wyoming does 2003 6.50% $99,380,193 not provide a breakdown of sales tax revenue 2002 6.50% $97,711,942 received from lodging sales. 2001 6.50% $95,047,855 HVS 2014 LODGING TAX REPORT-USA I PAGE A-14 HVS APPENDIX B -TAXABLE ROOM REVENUE 2013 ESTIMATED STATE TAXABLE ROOM REVENUE($MILLIONS) State FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 FY 2013 Alabama $1,180.24 $1,091.41 $1,082.86 $1,242.06 $1,294.69 $1,342.58 Arizona $2,405.70 $2,117.24 $1,949.72 $2,039.28 $2,156.86 $2,221.06 2 Arkansas $600.26 $568.94 $574.61 $601.28 $620.29 $635.82 Colorado $2,587.17 $2,352.48 $2,184.38 $2,444.26 $2,697.03 $2,831.31 3 Connecticut $702.20 $612.60 $582.60 $626.70 $673.80 $693.10 Delaware $226.00 $196.00 $200.00 $206.00 $211.73 Georgia $2,843.30 $2,724.40 $5,542.48 Hawaii $3,321.00 $2,812.00 $2,606.00 $3,023.85 $3,430.54 $3,870.92 Idaho $368.93 $343.10 $313.82 $333.29 $354.24 $375.09 Illinois $3,650.00 $3,383.33 $2,883.33 $3,200.00 $3,517.92 $3,713.74 Iowa $654.66 $675.01 $758.31 $750.52 $831.31 $859.43 Kansas $453.38 $428.20 $394.87 $521.03 $578.64 $595.13 Kentucky $878.62 $863.85 $818.76 $894.92 $927.09 $980.01 Maine $651.32 $607.44 $657.98 $684.41 $731.84 $774.91 Maryland $1,280.91 $1,460.49 $1,332.34 $1,401.45 $1,497.25 $1,529.21 Massachusetts $3,055.39 $2,823.39 $2,670.75 $2,935.09 $3,222.93 $3,413.63 Michigan $1,153.33 $1,040.00 $1,078.33 $1,133.33 $1,300.60 2 Minnesota $1,731.50 $1,518.05 $1,616.61 $1,723.14 $1,775.29 Mississippi $632.27 $627.99 $595.15 $651.41 $656.43 $691.42 2 Missouri $1,311.13 $1,191.70 $1,265.24 $1,333.46 $1,377.50 $1,421.29 Montana $456.45 $422.59 $420.90 $485.13 $540.92 $568.13 2 Nebraska $372.60 $353.27 $383.49 $397.68 $431.22 $452.45 Nevada $3,304.11 $4,843.55 $5,087.06 $4,896.95 $4,607.88 $3,659.25 New Hampshire $451.98 $386.74 $413.17 $440 47 $463.65 $497.95 New Jersey $1,725.71 $1,485.24 $1,456.17 $1,564.77 $1,703.64 $1,817.20 d New York $9,067.28 $9,255.70 $7,852.27 $9,076.60 North Carolina $2,820.42 $2,701.86 $2,408.09 $2,926.33 $3,225.07 $3,376.37 z Oregon $1,226.67 $1,097.66 $1,158.53 $1,206.84 $1,296.21 $1,352.79 Pennsylvania $2,793.18 $2,606.17 $2,534.70 $2,833.00 $3,020.00 $3,132.22 Rhode Island $270.00 $258.33 $236.67 $260.31 $281.15 $201.96 South Carolina $2,367.42 $2,092.38 $1,989.75 $2,221.47 South Dakota $574.86 $574.16 $560.65 $631.60 $636.29 $674.40 Tennessee $2,298.69 $2,089.33 $1,971.04 $2,058.98 $2,298.12 $2,348.62 5 Texas $6,183.00 $5,725.74 $5,513.49 $5,813.27 $6,690.18 $7,502.15 Utah $904.32 $1,011.28 $1,155.75 $1,243.50 $1,322.79 Vermont $378.24 $344.80 $341.37 $371.61 $384.60 $419.30 2 Virginia $3,066.30 $2,804.21 $2,836.84 $2,987.76 $3,102.92 $3,093.84 2 Washington $2,103.95 $1,989.57 $2,114.53 $2,253.07 $2,417.15 $2,601.54 2 Wisconsin $1,585.89 $1,414.31 $1,492.63 $1,588.39 $1,667.00 $1,720.00 Average $1,834.89 $1,738.50 $1,697.22 $1,836.92 $1,730.42 $1,929.51 Median $1,280.91 $1,144.68 $1,265.24 $1,333.46 $1,296.21 $1,352.79 6 Total 2 $51,759.34 $49,642.38 $48,107.41 $51,810.76 $55,667.34 $57,646.83 Percent Change 3.23% -4.09% -3.09% 7.70% 7.44% 3.56% 1 Fiscal year ended September 30 2 Calendar Year 3 Gross Receipts attributable to room occupancy given for FY 2008-2011 Fiscal year beginning March 1 5 Fiscal year ended August 31 6 Total taxable room revenue and percent change reflect only those states for which 7 years of revenue data is available HVS 2014 LODGING TAX REPORT-USA ( PAGE 6-1 HVS ESTIMATED CITY TAXABLE ROOM REVENUE'($MILLIONS) City ST FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 FY 2013 Notes Akron OH Albuquerque NM $230.05 $204.21 $199.89 $202.43 $201.62 $207.09 Amarillo TX $61.88 $60.46 $62.86 $68.33 $71.46 $81.30 Anaheim CA $581.22 $533.70 $514.26 $550.70 $602.51 $686.24 1 Anchorage AK $185.44 $152.69 $163.66 $177.39 $177.39 $177.39 2 Arlington TX $76.77 $69.00 $74.51 $87.66 $87.32 $94.59 Atlanta GA $564.46 $552.56 $613.27 $607.06 $680.24 1 Augusta GA $61.49 $64.00 $66.16 $73.05 $77.09 $80.63 1 Aurora CO $58.61 $48.58 $51.73 $56.50 $63.15 $69.05 1 Aurora IL $13.92 $12.46 $13.11 $14.55 $15.45 $15.61 2 Austin TX $499.77 $441.38 $453.56 $536.30 $574.26 $671.37 Bakersfield CA $64.58 $59.54 $54.11 $57.10 $65.23 $68.95 Baltimore MD $289.49 $275.47 $253.84 $285.79 $269.65 $279.72 1 Baton Rouge LA $61.06 $48.80 $48.91 $51.60 $59.83 $59.83 Combined City-Parish revenue Birmingham AL $77.30 $75.17 $37.62 $50.33 $49.08 2 Boise ID $86.24 $75.09 $65.96 $70.76 $82.36 $85.14 Boston MA $1,006.78 $909.95 $775.58 $895.41 $1,069.98 $1,101.12 See note below 2 Brownsville TX $22.29 $18.94 $19.85 $17.12 $19.35 $18.57 Buffalo NY Chandler AZ $47.81 $38.02 $36.63 $44.86 $51.27 $78.93 Charlotte NC $407.64 $337.95 $324.99 $368.10 $407.38 $474.54 Mecklenburg County Chattanooga TN $101.69 $97.35 $101.47 $118.67 $125.04 $125.11 Chesapeake VA $58.27 $61.64 $67.13 $69.44 $62.77 1 Chicago IL $1,804.89 $1,399.56 $1,502.18 $1,668.83 $1,534.66 $1,610.23 Chula Vista CA $26.97 $23.02 $20.36 $20.59 $22.96 $24.71 1 Cincinnati OH $55.55 $47.10 $50.18 $56.75 $56.75 1 Cleveland OH $139.46 $123.49 $126.97 $135.23 $149.13 $157.80 1 Colorado Springs CO $175.21 $157.62 $165.01 $177.26 $176.28 $181.14 Columbus OH $287.80 $249.55 $270.24 $294.65 $322.65 $322.65 Columbus GA $51.71 $53.50 $59.37 $66.19 $62.92 $62.92 Corpus Christi TX $114.86 $112.53 $110.22 $119.13 $133.91 $146.39 2 Dallas TX $703.36 $599.56 $601.63 $642.41 $572.10 $601.83 2%arena tax expired FY 2012 1 Denver CO $500.21 $409.13 $457.08 $517.40 $539.13 $590.53 Des Moines IA $60.01 $53.15 $52.87 $55.57 $62.38 $67.98 2 Detroit MI Durham NC $34.01 $36.85 $32.21 $35.27 $37.45 $37.45 Durham County 3 El Paso TX $120.33 $113.49 $119.45 $122.38 $127.57 $104.10 Eugene OR $39.40 $37.30 $33.73 $36.85 $37.48 $38.83 Fayetteville NC $16.38 $16.72 $16.69 $19.77 $19.83 Cumberland County Fontana CA $5.74 $4.95 $5.84 $7.17 $6.98 $7.34 2 Fort Lauderdale FL $840.30 $717.89 $699.45 $764.82 $846.03 $911.30 Broward County Fort Wayne IN $58.15 $47.18 $36.06 $53.45 $56.12 $56.12 Allen County 2 Fort Worth TX $153.72 $173.42 $195.01 $213.12 $222.08 $221.48 Fremont CA $39.77 $28.64 $28.67 $34.76 $41.33 $48.72 Fresno CA $89.93 $82.73 $71.23 $70.42 $75.73 $76.68 Garden Grove CA $97.48 $86.60 $78.43 $89.97 $84.96 $99.64 2 Garland TX $6.70 $6.91 $8.04 $9.82 $11.05 $11.79 Gilbert AZ $49.32 $54.50 $61.81 Glendale AZ Glendale CA $27.31 $23.81 $26.90 $30.45 $33.68 Note:Boston revenue estimated with DOR collections per percentage point;prorated for mid-FY2011 rate increase(4%to 6%) 1 Calendar Year 2 Fiscal Year ended September 30 3 Fiscal year ended August 31 1 The source of revenue was considered in selecting an appropriate rate for the calculation. HVS 2014 LODGING TAX REPORT-USA I PAGE B-2 HVS ESTIMATED CITY TAXABLE ROOM REVENUE($MILLIONS)-CONTINUED City ST FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 FY 2013 Notes 2 Grand Prairie TX $20.21 $17.60 $17.61 $19.04 $19.03 $21.27 1 Grand Rapids MI $93.69 $98.48 $116.08 $131.96 $131.96 Kent County Greensboro NC $101.77 $92.02 $88.61 $94.63 $100.05 $110.42 Henderson NV $114.24 $88.60 $70.69 $64.63 $78.22 $82.20 2 Hialeah FL $1,247.33 $1,100.22 $1,104.54 $1,285.15 $1,467.14 $1,605.04 Miami-Dade County Honolulu HI Houston TX $946.17 $891.19 $784.53 $880.04 $980.33 $980.33 2 Huntington Beach CA $66.88 $54.17 $58.20 $64.70 $72.04 $76.00 2 Huntsville AL $98.73 $94.86 $96.78 $102.41 $102.17 $102.17 Indianapolis IN $402.33 $358.58 $258.96 $367.95 $433.37 $433.37 Marion County Irvine CA $113.85 $97.10 $90.85 $103.68 $106.11 $106.11 2 Irving TX $272.53 $218.51 $175.46 $200.34 $210.43 $210.43 Jackson MS 2 Jacksonville FL $278.89 $245.32 $228.74 $239.03 $255.37 $268.49 Duval County 1 Jersey City NJ $64.54 $68.24 $71.36 $99.42 $105.48 $109.15 FY 2008-10;CY 2011-12 Kansas City MO $236.00 Knoxville TN $98.82 $97.02 $103.72 $111.22 $108.51 Lancaster CA $17.31 $18.96 $19.73 $18.57 $19.11 $18.78 2 Laredo TX $47.59 $38.83 $44.11 $58.83 $60.41 $60.27 Las Vegas NV $903.80 $672.80 $578.80 $605.20 $682.60 $699.60 Lexington KY Lincoln NE $635.93 Little Rock AR 2 Long Beach CA $151.81 $122.81 $127.29 $147.44 $147.99 $162.09 Los Angeles CA $1,060.88 $973.74 $846.43 $962.83 $1,083.73 $1,306.86 Louisville KY $266.24 $260.63 $243.81 $251.25 $273.27 $290.13 Jefferson County 2 Lubbock TX $59.86 $59.70 $60.55 $69.44 $74.43 $87.82 1 Madison WI $96.65 $83.51 $92.64 $103.02 $112.89 $121.09 Memphis TN $255.41 $226.24 $212.76 $208.06 $218.82 $246.41 Hotel Tax Fund revenue Mesa AZ $79.83 $60.25 $52.68 $42.96 $40.38 $38.06 2 Miami FL $1,247.33 $1,100.22 $1,104.54 $1,285.15 $1,467.14 $1,605.04 Miami-Dade County 1 Milwaukee WI $132.65 $108.18 $132.95 $141.98 $149.75 $162.80 1 Minneapolis MN $220.63 $216.04 $220.57 $240.00 $245.03 $257.10 2 Mobile AL $65.50 $59.94 $75.50 $63.66 $62.54 $64.78 Modesto CA $22.65 $20.60 $16.23 $18.22 $19.66 $20.94 2 Montgomery AL $65.30 $61.99 $65.63 $65.55 $71.31 $71.31 Moreno Valley CA $7.41 $6.22 $6.70 $8.66 $9.34 $10.40 Nashville TN $649.97 $646.50 $628.55 $646.35 $784.90 $840.97 New Orleans LA New York NY $6,507.34 $5,844.10 $6,283.00 $7,352.85 $8,281.28 $8,720.71 Includes fees;not MCTD tax Newark NJ $70.08 $85.83 $76.60 $95.33 $93.90 $101.33 2012 budget estimate Newport News VA $46.07 $41.74 $39.59 $40.86 $42.56 $42.56 Norfolk VA $104.62 $97.40 $89.12 $81.40 $107.05 $100.92 Includes excise tax North Las Vegas NV $23.06 $20.05 $22.02 $22.12 $23.92 $25.59 Estimated with 1.5%rate Oakland CA $112.73 $96.35 $72.04 $89.17 $98.73 $113.08 Oceanside CA $33.90 $38.89 $31.85 $33.26 $38.17 $42.39 Oklahoma City OK $196.91 $193.69 $187.62 $197.42 $224.40 $242.25 1Omaha NE $129.24 $114.10 $116.82 $82.49 $95.26 $98.00 Ontario CA $93.83 $79.72 $71.47 $74.81 $77.86 $82.82 2 Orlando FL $2,826.40 $2,427.42 $2,371.41 $2,735.74 $3,026.16 $3,059.06 Orange County 1 Calendar Year I2 Fiscal Year ended September 30 HVS 2014 LODGING TAX REPORT-USA I PAGE B-3 �_u . ,r .... _ . ..,H1,„„„.„.„,,..,,,,,,,,,,,,,„,„„„„,..,,,,,,,s, ,. ,.�..: „. . HVS ESTIMATED CITY TAXABLE ROOM REVENUE($MILLIONS)-CONTINUED City ST FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 FY 2013 Notes 1 Overland Park KS $91.09 $75.36 $74.83 $82.80 $86.36 $93.81 Oxnard CA $36.19 $33.29 $30.61 $33 02 $34.03 $38.27 2 Pembroke Pines FL $840.30 $717.89 $699.45 $764.82 $846.03 $911.30 Broward County Philadelphia PA $662.28 $526.56 $488.02 $514.73 $573.32 $610.27 Collection data Phoenix AZ $712.86 $608.46 $537.36 $566.48 $609.72 $633.32 1 Pittsburgh PA $351.43 $318.58 $351.83 $396.21 $416.71 $416.71 Allegheny County 2 Plano TX $70.13 $56.46 $58.55 $67.46 $66.70 $72.79 2 Port St.Lucie FL $50.56 $42.40 $38.96 $46.44 $51.44 $52.64 St.Lucie County Portland OR $327.46 $392.86 $275.20 $319.04 $427.18 $479.12 Providence RI Raleigh NC $244.78 $224.75 $216.28 $249.08 $270.39 $283.92 Wake County Rancho Cucamonga CA $17.62 $16.94 $15.87 $18.27 $19.28 $20.57 Reno NV $783.40 Rate varies by location Richmond VA $74.80 $67.08 $59.87 $59.87 $65.01 $79.90 $29.31 Riverside CA $33.51 $26.43 $22.62 $24.84 $27.23 1 Rochester NY $108.03 $107.16 $106.99 $105.90 $105.54 $105.54 Monroe County Sacramento CA $146.15 $136.88 $118.61 $128.36 $131.51 $137.96 1 Saint Paul MN $101.25 $90.89 $90.06 $98.70 $105.80 $105.80 Salem OR $27.85 $26.85 $23.76 $24.61 $24.88 $27.17 Salt Lake City UT $227.79 $206.75 $179.80 $193.40 $213.98 $223.76 Salt Lake County 2 San Antonio TX $760.16 $653.33 $663.71 $699.64 $754.86 $808.56 San Bernardino CA $32.62 $25.17 $22.22 $25.07 San Diego CA $1,526.12 $1,298.29 $1,220.12 $1,331.13 $1,417.10 $1,518.99 San Francisco CA $1,564.92 $1,531.86 $1,334.64 $1,499.73 $1,711.19 $1,705.59 San Jose CA $239.00 $192.61 $172.50 $181.02 $224.51 $252 58 Santa Ana CA $70.13 $55.90 $51.37 $54.28 $63.85 $63.85 Santa Clarita CA $24.34 $22.61 $20.51 $21.07 $23.81 $25.57 Santa Rosa CA $45.06 $38.44 $31.81 $35.37 $40.60 $42.91 Scottsdale AZ $320.70 $252.57 $237.10 $262.52 $268.60 $277.04 1 Seattle WA $1,182.82 $973.98 $1,009.61 $1,114.21 $1,223.59 $1,173.30 King County 1 Shreveport LA $41.36 $58.39 $49.59 $48.89 $48.89 1 Spokane WA $74.41 $68.07 $70.79 $68.33 $83.87 Springfield MO $72.61 $71.88 $66.98 $70.83 $76.71 $77.44 St.Louis MO $160.57 $186.00 $178.86 $183.34 $210.43 $215.49 2 St.Petersburg FL $519.21 $476.12 $455.10 $477.87 $547.28 $601.09 Pinellas County Stockton CA $28.59 $24.53 $21.88 $22.48 $24.16 $25.06 1 Tacoma WA $162.67 $156.91 $155.12 $149.16 $145.68 $159.14 Tallahassee FL $85.37 $76.79 $71.71 $77.17 $81.32 $85.52 Leon County 2 Tampa FL $430.11 $380.74 $342.61 $342.66 $406.07 $438.84 Tempe AZ $150.22 $123.61 $110.94 $112.60 $123.98 $123.98 1 Toledo OH $63.93 $41.60 $44.87 $48.81 $51.14 $51.14 Lucas County Tucson AZ $206.13 $183.13 $194.87 $208.75 $206.85 $203.62 Tulsa OK $136.38 $126.54 $116.42 $113.66 $122.40 $133.52 1 Vancouver WA $32.33 $27.57 $29.44 $31.51 $33.64 $33.64 Virginia Beach VA $295.29 $284.19 $286.49 $305.01 $320.31 $320.31 2 Washington DC 1 Wichita KS $105.41 $100.25 $94.82 $100 68 $101.66 $106.67 1 Winston-Salem NC $68.25 $56.61 $53.01 $58.77 $65.89 $65.89 Forsyth County Worcester MA $23.70 $29.78 $32.32 $32.33 Yonkers NY $176.69 $137.30 $158.37 $172.33 $176.61 $176.61 1 Calendar Year z Fiscal Year ended September 30 HVS 2014 LODGING TAX REPORT-USA I PAGE 8-4 HVS CITIES RANKED BY 2013 TAXABLE ROOM REVENUE RELATIVE TO 2007/2008 PEAK Rank City State Total Rate Rank City State Total Rate Rank City State Total Rate 1 Jersey City NJ 169.13% 51 Shreveport LA 107.76% 101 Chula Vista CA 91.62% 2 Garland TX 169.02% 52 Indianapolis IN 107.71% 102 Durham NC 91.08% 3 Chandler AZ 165.09% 53 North Las Vegas NV 107.24% 103 Santa Ana CA 91.06% 4 Lubbock TX 146.71% 54 Cleveland OH 107.08% 104 Lancaster CA 90.50% 5 Portland OR 146.31% 55 Richmond VA 106.82% 105 Irvine CA 90.35% 6 Newark NJ 144.61% 56 San Antonio TX 106.37% 106 Albuquerque NM 90.02% 7 Fort Worth TX 144.08% 57 Long Beach CA 106.23% 107 Chicago IL 89.21% 8 Moreno Valley CA 140.28% 58 Oxnard CA 105.76% 108 Ontario CA 88.26% 9 Austin TX 134.34% 59 San Jose CA 105.68% 109 Stockton CA 87.67% 10 New York NY 134.01% 60 Grand Prairie TX 105.23% 110 Riverside CA 87.47% 11 Amarillo TX 131.39% 61 Santa Clarita CA 105.06% 111 El Paso TX 86.51% 12 Augusta GA 131.12% 62 Springfield MO 104.91% 112 Scottsdale AZ 85.48% 13 St.Louis MO 130.71% 63 Vancouver WA 104.06% 113 Fresno CA 85.09% 14 Nashville TN 129.39% 64 Bakersfield CA 104.02% 114 Boise ID 84.99% 15 Hialeah FL 128.68% 65 Port St.Lucie FL 103.81% 115 Phoenix AZ 84.87% 16 Miami FL 128.68% 66 Plano TX 103.80% 116 Dallas TX 84.86% 17 Fontana CA 127.82% 67 Houston TX 103.61% 117 Brownsville TX 83.32% 18 Corpus Christi TX 127.45% 68 Huntsville AL 103.48% 118 Modesto CA 83.20% 19 Madison WI 125.29% 69 Saint Paul MN 103.47% 119 Tempe AZ 82.53% 20 Oceanside CA 125.06% 70 Colorado Springs CO 103.38% 120 Toledo OH 80.00% 21 Laredo TX 124.38% 71 Overland Park KS 102.99% 121 Las Vegas NV 77.41% 22 Arlington TX 123.22% 72 Garden Grove CA 102.21% 122 Irving TX 77.21% 23 Los Angeles CA 123.19% 73 Cincinnati OH 102.16% 123 Omaha NE 75.83% 24 Chattanooga TN 123.03% 74 Wichita KS 101.19% 124 Henderson NV 71.96% 25 Oklahoma City OK 123.03% 75 Oakland CA 100.31% 125 Mesa AZ 47.68% 26 Fremont CA 122.51% 76 San Diego CA 99.53% Akron OH 27 Milwaukee WI 122.45% 77 Tampa FL 99.46% Atlanta GA 28 Columbus GA 121.66% 78 Yonkers NY 99.36% Birmingham AL 29 Pittsburgh PA 118.58% 79 Seattle WA 99.20% Buffalo NY 30 Anaheim CA 118.07% 80 Mobile AL 98.91% Chesapeake VA 31 Denver CO 118.06% 81 Eugene OR 98.55% Detroit MI 32 Aurora CO 117.82% 82 Tallahassee FL 98.34% Fayetteville NC 33 Rancho Cucamonga CA 116.70% 83 Salt Lake City UT 98.23% Gilbert AZ 34 Minneapolis MN 116.53% 84 Baton Rouge LA 97.97% Glendale AZ 35 Charlotte NC 116.41% 85 Tulsa OK 97.90% Glendale CA 36 Raleigh NC 115.99% 86 Tacoma WA 97.83% Grand Rapids MI 37 St.Petersburg FL 115.77% 87 Rochester NY 97.70% Honolulu HI 38 Huntington Beach CA 113.63% 88 Salem OR 97.57% Jackson MS 39 Des Moines IA 113.27% 89 Baltimore MD 96.62% Kansas City MO 40 Aurora IL 112.10% 90 Winston-Salem NC 96.54% Knoxville TN 41 Columbus OH 110.56% 91 Fort Wayne IN 96.52% Lexington KY 42 Boston MA 109.37% 92 Memphis TN 96.48% Lincoln NE 43 Montgomery AL 109.20% 93 Jacksonville FL 96.27% Little Rock AR 44 San Francisco CA 108.99% 94 Norfolk VA 96.00% New Orleans LA 45 Louisville KY 108.97% 95 Anchorage AK 95.66% Providence RI 46 Greensboro NC 108,50% 96 Santa Rosa CA 95.24% Reno NV 47 Virginia Beach VA 108.47% 97 Sacramento CA 94.40% San Bernardino CA 48 Fort Lauderdale FL 108.45% 98 Tucson AZ 94.13% Spokane WA 49 Pembroke Pines FL 108.45% 99 Newport News VA 92.39% Washington DC 50 Orlando FL 108.23% 100 Philadelphia PA 92.15% Worcester MA HVS 2014 LODGING TAX REPORT-USA I PAGE B-S HVS About HVS About the Authors HVS is the world's leading consulting and services Thomas Hazinski is the organization focused on the hotel, mixed-use, shared managing director of HVS ownership, gaming, and leisure industries. Established in Convention,Sports,& Entertainment Facilities 1980, the company performs 4500+ assignments each year Consulting in Chicago,Illinois.His for hotel and real estate owners, operators, and consulting practice is dedicated developers worldwide. HVS principals are regarded as the to the market and financial leading experts in their respective regions of the globe. analysis of public assembly facilities.Mr.Hazinski Through a network of more than 30 offices and 450 has over 20 years of experience in the public policy arena,as both a public official and a consultant.He professionals, HVS provides an unparalleled range of specializes in providing economic and financial complementary services for the hospitality industry. research to public agencies involved in economic www.hvs.com development initiatives.Before starting his consulting career,Mr.Hazinski served in several positions for the City of Chicago,including assistant Superior Results through Unrivalled Hospitality Intelligence. budget director.Mr.Hazinski holds a master's Everywhere. degree in public policy from the University of Chicago's Harris School of Public Policy. HVS CONVENTION,SPORTS, &ENTERTAINMENT Email:thazinski@hvs.com FACILITIES CONSULTING has performed hundreds of Daniel Wonk holds a Bachelor's Degree in Religion assignments around the world analyzing the feasibility of from the University of Puget Sound 2013.He served convention and conference centers, headquarters hotels, as an analyst for HVS Convention,sports,& arenas, stadiums, event and civic centers, performing arts Entertainment Facilities Consulting in Chicago, facilities, hospitality developments, tourism attractions, Illinois. water parks, entertainment/urban development districts Alex Moon graduated from and museums. Our service delivery methods set the Northwestern University and has industry standard with techniques based on sound q, served as an analyst for HVS economics and rigorous analytical methods. Convention,Sports,& Entertainment Facilities Consulting since 2013. www.hvs.com HVS Convention,Sports,&Entertainment 1205 W. Randolph, 1650,Chicago, IL USA