TRT ordinance revised for assembly
A new version of the transient room tax ordinance was introduced to the Petersburg Borough Assembly during its regular meeting Monday afternoon to address concerns voiced by fishing lodge owners, who normally charge their customers a package price that does not specify a separate rate for what are usually no-frills rooms.
In the original ordinance, 30 percent of the package price was subject to being taxed. This new version will be 15 percent of the package price and the lodge owners will pay four percent of that amount. A combined package of $300 will be subject to $1.80 in bed tax.
“We don't want the transient room tax to be inordinately high on the lodges,” Petersburg Assembly member John Hoag said. “We want to make sure that it is at least close to what someone would pay if they were staying in town.”
The TRT usually raises approximately $40,000 per year, which is used to fund the Petersburg Visitor Center and other qualifying organizations.
“This rate is the same or lower than other communities that charge a bed tax in Southeast Alaska,” Borough Manager Steve Giesbrecht stated.
This ordinance will be up for public hearing during the next assembly meeting scheduled for Feb. 19.