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For Immediate Release 06/10/08

Transient Room Tax Rate Equalized Countywide

Contact: Commissioner Bill Fleenor, 682-3719

The Lane County Board of Commissioners approved an ordinance change that makes the County’s Transient Room Tax (TRT) rate the same throughout the county by eliminating the reduced rate that had existed in western Lane County since 1994. The ordinance change is effective July 1.

For all of western Lane County (both within and outside the City of Florence), the County room tax will increase by 1 percent. This rate increase is occurring simultaneously with the City of Florence’s increase of 1 percent.

Currently visitors to Florence pay 8 percent in TRT (1 percent to the state, 3 percent to Florence, and 4 percent to the County). The county and city rate changes mean visitors will pay 10 percent in TRT beginning July 1.

State restrictions mandate new or increased room taxes are only to be used to fund tourism promotion or tourism-related facilities. The increase will be used by the County for tourism marketing of all of Lane County.

To review the ordinance, please go to: http://www.co.lane.or.us/BCC_Info/Meeting_Info/2008/OrderText/5-28/Passed/4-08.pdf

Background
The Transient Room Tax (TRT) was initially enacted in 1973 at a 5 percent rate. Up to 3 percent is "shared" with cities that request it or that have their own tax in that the County foregoes up to 3 percent of its tax. The TRT was increased in 1986 by 1 percent, with the additional sum dedicated to tourism promotion.

In 1992, Lane County amended the tax, increasing the tourism rate by 2 percent (total rate of 8 percent) except in western Lane County, which stayed at the level of 6 percent. In 1994, the western Lane County rate was increased to 7 percent. The rate disparity existed in recognition by the County of the area’s relative competitive position in the market.

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Amber Fossen
Public Information Officer
Lane County Government
125 E. Eighth Ave.
Eugene, Oregon 97401
(541) 682.3718
(541) 359.9143 (cell)

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