Leave room tax money alone

This is quite a cash grab by La Crosse’s Mayor. Tim Kabat shocked those working in the local tourism industry when he decided the city should get more of the money that is collected by area hotels and motels through the room tax. Right now, most of the money collected in room tax goes to fund tourism efforts. The money is divided between the La Crosse Area Convention and Visitor Bureau and the La Crosse Center. The money is used to attract people to our area by securing conventions and otherwise encouraging people to visit. And it works. La Crosse is a popular convention and tourist destination. But under Kabat’s plan, a big chunk of what now goes to the CVB and the Center would go into the city’s general fund, to pay for things not related to tourism. Kabat wants to increase the city’s share of the room tax from 1.5% to 30%. Why 30%? That is the maximum allowed under state law. Kabat must have a crystal ball when he predicts that with all these new hotels being built, the amount of room tax collected in La Crosse will go up sharply. But he doesn’t know that to be true. There likely will be some increase, but no one knows how much. Spending money to attract visitors is an investment that pays off. Estimates are that for every dollar spent on tourism, there is a six-fold increase in tourism spending. The money generated by the room tax should continue to be used to promote tourism, not fix pot holes and give city employees a pay raise.