Wednesday, February 16, 2000
Hotel-tax hike gains backer
Aim: Convention-center expansion
BY PATRICK CROWLEY
The Cincinnati Enquirer
CRESTVIEW HILLS — Legislation that would allow the region's counties to raise taxes in Kentucky and spend the money in Ohio has won the support of a Northern Kentucky Republican lawmaker.
Freshman Rep. Jon Draud, a Crestview Hills Republican, has decided to co-sponsor a bill before the General Assembly that ultimately would allow an increase in Northern Kentucky's hotel tax.
The 1 percentage-point increase, which would raise the tax a penny on every dollar spent on hotel rooms, would raise $10 million over 10 years.
The money would go toward expanding Cincinnati's downtown convention center, a move hotel owners and business leaders say would increase hotel, restaurant and retail sales in Northern Kentucky.
Mr. Draud said Monday he will co-sponsor a bill filed by western Kentucky Democrat Rep. Charlie Geveden that includes language giving the fiscal courts in Boone, Kenton and Campbell counties the authority to raise the hotel tax.
Mr. Draud's support is significant because most other Northern Kentucky lawmakers are either opposed to the bill or reluctant to back it because they have signed a pledge not to raise taxes.
Also backing the bill is House Majority Caucus Chairman Jim Callahan, D-Wilder.
Supporters say the bill would not raise taxes but instead enables the fiscal courts to do so.
“It's the right thing to do,” Mr. Draud said. “It's a good bill for Northern Kentucky, good for our productivity and our businesses. We are taking advantage of the new stadiums in Cincinnati. It seems a question of fairness that we do this.”
Mr. Draud also challenged his fellow Northern Kentucky lawmakers to support the bill.
“We can take a big step toward regionalism with this,” Mr. Draud said. “I hope my fellow lawmakers who signed the no-tax-pledge realize this is only enabling legislation and it's something that will benefit our area.”
Backers of the bill, including members of the Northern Kentucky Chamber of Commerce, have spent months trying to build support for the legislation.
“Northern Kentucky will reap the benefits of this bill,” said Jim Willman, vice president of the Drawbridge Inn and Convention Center in Fort Mitchell.
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