Title
A Resolution requesting that the Ky. General Assembly adopt legislation allowing the Lexington-Fayette Urban County Government to increase the Transient Room Tax for Urban County Governments by an additional two percent (2%) for the purpose of funding convention centers. [Council Office, Maynard]
Body
WHEREAS, Fayette County's Convention Center, Lexington Center, provides significant economic benefit to the Central Kentucky Region; and
WHEREAS, Central Kentucky's convention, hospitality and tourism industries rely on over $42 million of economic activity generated from events occurring in Lexington Center facilities each year; and
WHEREAS, Lexington Center is losing past and potential client's because it is at a competitive disadvantage due to its size, age and relative lack of amenities; and
WHEREAS, three studies by industry experts over the last 30 years have recommended expanding the Center's exhibit, meeting, and banquet space to meet the markets competitive needs; and
WHEREAS, such improvements are forecasted to create more than $15 million per year in additional economic benefit to the Central Kentucky Region; and
WHEREAS, with no investments to the Center experts predict a continued loss of business and the eventual decline in annual revenue of $13 million (a net loss of $28 million per year); and
WHEREAS, Commerce Lexington, VisitLex (formerly the Convention & Visitors Bureau), the Bluegrass Hospitality Association, and the Lexington Center Board of Directors, have unanimously endorsed a proposal to raise the existing transient room tax in order to fund improvements to Lexington Center; and
WHEREAS, even if the transient room tax in Lexington and Fayette County was raised by an additional two percent (2%) it would still be lower than the hotel tax rates in Louisville, Kentucky; Chattanooga, Knoxville, Nashville and Memphis, Tennessee; Cincinnati and Columbus, Ohio; and Indianapolis, In...
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