City council hopes to capture revenue from overnight stays if hotels are built in the future

The Mount Angel City Council is considering an ordinance to tax hotels, motels, and bed and breakfasts, even though there is only one guest rental in whole city.

Mount Angel's sole overnight visitor accomodation is a house listed on Airbnb for $200 a night.

City Manager Amber Mathiesen said that the proposed transient room tax was being put in place to prepare for potential growth of overnight accommodations.

"There is an opportunity for folks to rent houses or someone to build a hotel in the future, and we want to capture that growth," Mathiesen said.

The idea came from a list of future goals the council put together for potential new revenue sources for the city. The proposed TRT would tax rental owners at a rate of 9 percent of the total price charged for occupancy of the transient lodging. The ordinance would cover conventional rentals like hotels and bed and breakfasts as well as rooms rented for AirBnB style services and even yard space rented out for RVs or tents.

Mathiesen said that Mount Angel did not already have a TRT ordinance in place because the city has not had a hotel in many years.The last time Mount Angel had hotels was in the 1920s, according to Bill Predeek of the Mount Angel Historical Society. There were two hotels in Mount Angel around the turn of the century, one on Railroad Avenue and another on Main Street. The hotel on Railroad Avenue burned down in the 1920s, while the Main Street building was used as a hotel through the 1920s then turned into a restaurant and bar. The Main Street building also burned down, but in the 1980s.

The City Council was scheduled to vote on the ordinance at the Aug. 6 meeting but barely had a quorum, so the vote was postponed. The council will instead vote on the ordinance at the next council meeting Sept. 10.

Patrick Evans



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