The bill amends section 5739.09 of the Revised Code to repeal the authorization for a special county lodging tax, which previously allowed county commissioners to levy an excise tax on lodging transactions for transient guests, capped at three percent. This repeal eliminates the potential for counties to collect this tax, which could have been allocated for various purposes, including funding convention and visitors' bureaus and public safety services in resort areas. Additionally, the bill introduces a provision that prohibits counties with populations of seven hundred thousand or less from levying an increased tax rate on lodging transactions after the effective date of the amendment, aiming to alleviate the financial burden on transient guests in smaller counties.

The bill also allows certain counties to increase the excise tax on hotel lodging transactions by up to one percent, provided they meet specific population criteria and have existing tax structures. The revenue generated from this increase is earmarked for constructing and maintaining sports facilities, promoting travel and tourism, and covering debt service on related securities. Furthermore, it permits counties that do not currently levy an excise tax to impose one for various purposes, including funding educational and cultural facilities, while ensuring that the tax revenue is used effectively and not returned to townships or municipal corporations unless specified. The bill emphasizes local governance and accountability in the use of tax revenues, particularly for tourism-related projects.

Statutes affected:
As Introduced: 5739.09