23436 / 45.1% Yes votes ...... 28427 / 54.8% No votes

See Also: Index of all Measures

MEASURE V

A transient occupancy tax, sometimes called a hotel/motel tax, is a tax paid by persons staying in a hotel, motel or other lodging for a period of 30 days or less, and is based on a percentage of the room charge. It is paid by the occupant of lodging to the proprietor of the hotel or motel who in turn remits the money to the county, which may spend it for any lawful county purpose.

The County hotel/motel tax can only be levied on the occupants of lodgings located in the unincorporated area of the County, and not on occupants of lodgings located within the boundaries of the cities of Placerville or South Lake Tahoe. (California Revenue and Taxation Code section 7280). Typically, incorporated cities have their own hotel/motel tax which is only applied to lodging within the city limits and which is separate and apart from the county tax. There is no geographic overlap between a county hotel/motel tax and any city hotel/motel tax. Therefore Measure V would not affect lodging rates within, or occupancy tax revenues received by, the cities of Placerville or South Lake Tahoe.

El Dorado County first enacted a hotel/motel tax of 8% of the room charge in 1965. In 1992, by Ordinance No. 4262, the Board of Supervisors raised the county hotel/motel tax from 8% to 10%, effective January 1, 1993. This 2% increase was not submitted for voter approval at that time because the law as it then existed did not require voter approval for such an increase. The 10% rate has been collected since January 1993.

In 1995, the California Supreme Court decision in the case of Santa Clara Local Transportation Authority v. Guardino (1995) 11 Cal 4th 220 cast doubt on whether the 2% increase was valid without voter approval. More recent court decisions have continued to suggest that Ordinance 4262 may require voter ratification.

Measure V seeks voter approval for the 2% increase in the hotel/motel tax on the occupants of lodgings in the unincorporated area of the county enacted by the Board of Supervisors in 1992. Voter approval would not increase the tax rate from that which has been collected since January 1993. Measure V requires a simple majority vote to pass. The underlying 8% hotel/motel tax rate would remain in effect even if this measure fails to pass by majority vote.

A "yes" vote is a vote to ratify and approve the 2% increase in the hotel/motel tax enacted in 1992, thus validating the previous action by the Board of Supervisors.

A "no" vote is against approving and validating that 2% increase.

s/ Louis B. Green, County Counsel

Mt. Democrat

• Oct. 21, 2002 - Is Measure V for roads or veterans?

• Veterans would be benefactors of county measure 10/8/02

Measure V would keep the County's existing 10% hotel/motel tax in place. It does not affect the motel/hotel tax rates in the cities of South Lake Tahoe or Placerville. The tax is paid mostly by tourists and travelers who stay in our County hotels, motels, country inns, and short-term lodgings. It is fair for visitors to pay a tax to offset their impacts on County roads, facilities, and services.

The County has been charging a 10% hotel/motel tax since 1993. Measure V will not increase the tax, it will just maintain it at the present rate. There would be no new expenses for the businesspeople who own and run our hotels, motels, and inns, or for their guests. Measure V is needed because recent court decisions have thrown the County's 1993 action into doubt.

The hotel/motel tax is an important source of County revenues, and one that has little impact on County residents. For example, when the Board of Supervisors increased County funding to our local fire districts last year, the dollars that Measure V will protect helped to finance the program.

Recently, the Board has been asked by County veterans to support their efforts to renovate and maintain the Veterans' Memorial Building. We agreed to help them in any way we could. If Measure V passes, we will have the dollars we need to fulfill that commitment.

We need your support for Measure V. Measure V will not increase taxes, but if it does not pass, we will lose 20% of our hotel/motel tax dollars. El Dorado County has already endured too many cutbacks and money grabs from the state government. In these uncertain times, we can't afford to lose another revenue source - especially one that taxes tourists for their fair share of impacts. VOTE YES ON MEASURE V.

s/ Dolly Wager, President - El Dorado County Chamber of Commerce

s/ Rod Barton, Director of Veterans Services

s/ Chief Michael Chandler, President - El Dorado County Fire Chiefs' Association

s/ Carl Borelli, Board of Supervisors, District III/Veteran, USMC

(No arguments against Measure V were submitted)