New hotel tax put to voters

Andrew Glazer

COSTA MESA -- City Council members have put a measure on the

November ballot that would increase the city’s hotel tax to help pay for

new parks and open space acquisitions.

In a 4-1 vote, the council voted to let the voters decide on the

proposed increase -- which would be no higher than 2% and paid by

overnight hotel customers.

The measure would require approval from two-thirds of the city’s

voters to pass since the council stipulated that any revenues raised must

go entirely toward purchasing new parks. The tax would only require a

simple majority if it was not tied to a specific program.

“This would not be a slush fund,” said Councilman Joe Erickson, who

voted in favor of the measure. “It would simply allow the city to buy and

develop much-needed park space.”

Erickson said the money would specifically arm the city to make

competitive bids on surplus Newport-Mesa School District land, such as

Balearic Park.

Mayor Gary Monahan, who cast the only dissenting vote, said he didn’t

think it would be right to require nonresidents to fund parks primarily

used by residents.

“I’d understand better, but I wouldn’t vote for a measure calling for

raising taxes on ourselves,” he said. “But it’s not fair to tax someone

else. Especially when we’re trying to encourage visitors to come here.”

But the city’s “bed tax,” which is added to a guest’s hotel bill,

would remain one of the lowest in the county -- even with the 2%

increase.

“Plus, I doubt anyone calls around different hotels asking the city’s

hotel tax rate,” said City Councilwoman Libby Cowan. “People just want to

know what the room rates are.”

Diane Pritchett, executive director of the Costa Mesa Conference &

Visitors Bureau, said she would support a 1% tax increase. The full 2%

could hurt tourism, she said.