What's happening
This bill increases the maximum hotel and motel tax rate in Essex County, New York from 3% to 5%.
Why it matters
Increases potential local revenue. By raising the maximum tax rate from 3% to 5%, Essex County could see a significant boost in revenue from hotel and motel stays, which can be used to fund local services, tourism promotion, or infrastructure.
Potential impact on tourism and business. The higher tax rate could make staying in Essex County more expensive for visitors, possibly affecting tourism competitiveness compared to neighboring regions with lower rates.
No change for long-term stays. The exemption for "permanent residents" (those staying 30+ consecutive days) remains intact, so the tax hike primarily targets short-term visitors and not seasonal workers or long-term lodgers.
Local control and flexibility. The bill does not mandate the increase but allows the county to raise the rate up to 5% if it chooses, providing local officials with flexibility to respond to fiscal needs or economic conditions.
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Who cares
Essex County officials
The bill would raise the maximum authorized hotel and motel tax rate from 3% to 5% of the daily room rental rate.
Essex County hotel and motel operators
Their room rentals could be subject to a higher county tax under the increased cap.
Short-term hotel and motel guests
They could face a higher tax on room rentals if the county uses the increased authority.
Long-term hotel and motel residents
The bill would preserve the tax exemption for people occupying a room or rooms for at least 30 consecutive days.
Headline styles
Raise Essex Hotel Tax
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Substituted by A7450
- Ordered to third reading cal.1511
- Committee discharged and committed to rules
- Referred to investigations and government operations
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Raise Essex Hotel Taxes
Signed by Governor · Sponsor Dan Stec
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
5451
2019-2020 Regular Sessions
IN SENATE
May 1, 2019
Introduced by Sen. LITTLE -- read twice and ordered printed, and when printed to be committed to the Committee on Investigations and Government Operations
AN ACT to amend the tax law, in relation to increasing hotel and motel taxes in the county of Essex
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. The closing paragraph of subdivision 1 of section 1202-s of the tax law, as added by section 1 of part T of chapter 406 of the laws of 1999, is amended to read as follows:
The rates of such tax shall not exceed [three] five percent of the per diem rental rate for each room, provided however, that such tax shall not be applicable to a permanent resident of a hotel or motel. For the purposes of this section the term "permanent resident" shall mean a person occupying any room or rooms in a hotel or motel for at least thirty consecutive days.
§ 2. This act shall take effect January 1, 2020.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD11371-01-9
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the tax law, in relation to increasing hotel and motel taxes in the county of Essex
Purpose
To authorize the county of Essex to increase hotel and motel taxes from three to five percent.
Summary of provisions
Section 1 results in the closing paragraph of subdivision 1 of section 1202-s of the tax law, as added by section 1 of part T of chapter 406 of the laws of 1999, to allow the rates of such a tax to not exceed five percent of the per diem rental rate for each room, provided that such a tax shall not be applicable to a permanent resident of a hotel or motel. For the purposes of this section, the term "permanent resident" shall mean a person occupying any room or rooms in a hotel or motel for at least thirty consecutive days.
Section 2 establishes the effective date.
Justification
The bill has been requested by the Essex County Board of Supervisors to authorize the county to increase the hotel and motel occupancy tax from three percent to five percent to fund tourism initiatives and economic development.
Legislative history
New bill.
Fiscal implications
None to the state.
Effective date
January 1, 2020.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.