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REQUEST FOR COUNCIL ACTION r <br /> Item .. <br /> Department Approval: Manager Reviewed Agenda Section <br /> Ordinances <br /> Item Dew tioa: An Ordinance Establishing a Local Lodging Tax and Adding Chapter 312 <br /> to the City Code of the City of Roseville <br /> Background <br /> The CouncH has had a number of discussions during the past year regarding the initiating of a local <br /> lodging tax. The City has met with industry representatives and in addition, there have been two <br /> Council Work sessions during the past year regarding this topic. <br /> Through reviewing why ether metro cities have instituted a lodging tax and in consultation with <br /> industry s, it has been determined to be in the community s hest interest and in the interest of <br /> the future of the City's lodging industry that a 3%lodging tax should be placed in effect for a period <br /> of 5 years. Unless future Council action is taken to extend the tax, it will expire (sunset) in 2003. <br /> Financl"al Implication <br /> The is no direct fiscal implication for the City's budget as 95% of the tax must be used for the <br /> Convention and vistors Bureau. The City may use up to 5% for expenses in collecting and <br /> administration of the tax. <br /> Council Action <br /> Motion to ware the need for multiple readings of the proposed ordinance. <br /> Motion to approve the attached ordinance establishing a local lodging tax of 3% as permitted by <br /> 1innesota State Statutes 469.190 with the effective date of July 1, 1998 <br />