Hotel room taxes could increase 2 percent in Burlingame if city officials put a measure before residents on the November ballot as a way to generate an estimated $2 million annually.
Raising the transit occupancy tax, known as the hotel tax, by 2 percent is one possible method for Burlingame to increase cash flow. On Monday, the City Council will consider putting such a measure before voters in November. If approved by voters, the city could see an estimated $2 million annually beginning in the 2010-11 fiscal year.
The hotel tax in Burlingame is currently 10 percent, a rate last increased in July 1991, according to a staff report by Finance Director Jesus Nava. This year, the city estimates it will receive $11 million from the 10 percent tax. Increasing the tax by 2 percent could increase revenue by $2 million annually.
Hotel tax revenue fluctuated in recent years with a high of $13.8 million in fiscal year 2001 and a low of $6.68 million in fiscal year 2003.
Neighboring cities Millbrae, San Mateo and San Bruno are considering a similar measure.
The council meets 7 p.m. Monday, June 15 at City Hall, 501 Primrose Road.