Voters in McLennan County, Texas, could decide whether to approve a $34.4 million renovation of Waco’s Extraco Events Center by enacting a rental car tax and hotel tax, according to a report by the Waco Tribune.
The proposal includes a 2% added tax on hotel and motel occupancy and a 5% added tax on rental cars, says the report.
The tax would affect visitors staying in hotels or renting vehicles in McLennan County. The taxes would fund the project targeted at attracting larger tournaments and exhibits to the Extraco Events Center, according to the report. Revenue from the tax could be used only to pay for sporting- or competition-related purposes.
“It creates a sustainable model that has the opportunity to be funded through a venue tax that would not tax residents in any way, but those who stay in hotel or motels or might rent cars,” Wes Allison, president and CEO of the Extraco Events Center, told the Waco Tribune.
County commissioners passed a resolution in support of fairground organizers’ plan for the renovation, says the report.
McLennan County, city of Waco, and Waco Independent School District leaders now await approval from the Texas Comptroller’s Office to ask residents to vote on the proposed taxes, says the report.
Click here for the full Waco Tribune report.