CORPUS CHRISTI, Texas — Port Aransas is asking voters to consider raising the city's hotel occupancy tax by 2% in the upcoming November election, which would increase the total tax from 13% to 15% for visitors staying in hotels and short-term rentals.
Currently, guests paying $100 for a night's stay in Port Aransas are charged $13 in hotel occupancy tax. Under the proposed increase, that same bill would total $115.
The tax structure splits revenue between the state and city, with 6% going to the state and 7% staying with Port Aransas. The proposed increase would raise the city's share to 9%.
Funding community improvements
Port Aransas Mayor Wendy Moore said the additional revenue would help rebuild and expand the city's community and civic centers.
"This will improve all their areas surrounding their businesses and their hotels and thus giving their visitor an improved experience," Moore said.
Moore emphasized the importance of having adequate event space to attract visitors.
"It's [civic center] the only single space that we have that's large enough for this amount of people to bring in a lot of events, which truly puts heads in beds," Moore said.
The tax increase, expected to be collected over 10 years, will also improve connectivity for people and hotels and short-term rental properties, according to city officials.
Business owner perspectives
Local short-term rental business owners have mixed feelings about the proposed increase.
Marnie Pate, who is an owner/partner of Port A Escapes, expressed the pros and cons for the potential change.
"I don't want the 2% to turn people away, but in the grand scheme of things it may not. We do trust our city leaders and that they'll be good stewards with our tax dollars," Pate said.
Steve Dewitt, owner of Life in Paradise Vacation Rentals, acknowledges potential increased competition, but also sees potential benefits beyond tourism.
"I think this tax money can be utilized not only the tourism, but promote items and promote some amenities for our local citizens," Dewitt said.
The proposed hotel occupancy tax increase will appear on the ballot November 4.
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