Agenda Item 8D
Room Rental and Transient Tax-
zyontf."<Senior Legislative Analyst
Action: Expedited Bill 6-16, Taxation
Government Operations and Fiscal Policy Committee recommendation (3-0): enact
Expedited Bill 6-16 as introduced.
Expedited Bill 6-16, Taxation - Room Rental and Transient Tax - Definitions, sponsored
by Lead Sponsor Council President at the request of the County Executive was introduced on
Bil1 6-16 would clarify the definition of broker to include entities that facilitate or arrange
payment of room rental for sleeping accommodations; and clarifY that service fees or broker fees
charged by brokers or other entities for sleeping accommodations are within the definition of room
rental for purposes of calculation of the tax. The Bill would also make editorial changes to locate
definitions in alphabetical order and conform the expression of the definition to code standards.
The Council conducted a public hearing on April 5. The only speaker was Finance
Director, Joseph Beach, who spoke in favor of enacting Bill 6-16 as introduced. The Council did
not receive any other comments on the legislation.
The Government Operations and Fiscal Policy Committee conducted a worksession on
April 7, 2016.
Beach participated in the Committee's discussion. He noted that Bill 6-16 was
requested by the Executive because an internet broker failed to understand the code in a manner
consistent with the Finance Department's interpretation.
Beach's opinion, Bill 6-16 would
help the Department of Finance in its future dealings with internet brokers and would confirm the
Department's past interpretation. The Committee recommended that the Council enact Expedited
Bill 6-16 as introduced. Its recommendation is consistent with the Executive's recommendation.
This packet contains:
Expedited Bill 6-16
Legislative Request Report
Memo from County Executive
Fiscal and Economic Impact statement
F:\LAW\BILLS\1606 Room Rental And Transient Tax\Action Memo.Docx