The November 4th ballot measure to increase Springfield’s lodging tax by 3% has gained the endorsement of the Springfield Area Chamber of Commerce.
Revenue from the tax increase would be used to help fund a new convention and event center downtown.
If approved, the tax, paid primarily by visitors staying in hotels, motels, tourist courts and short-term rentals, would jump from 5 to 8%.
City officials believe approval is critical to securing $30 million in state money. State funding for the project was included in a list of 32 expenditure restrictions, decided by Governor Mike Kehoe, in this year’s budget process.
The proposed center is estimated to cost $175 million.
A report released in July by the Hunden Group found that such a facility would deliver a 30-year estimated economic impact of $1.35 billion in spending and $68.7 million in tax revenue.
In its announcement, the chamber board cited "broad support among local hoteliers, strong city leadership and the project’s alignment" with the chamber’s long-range strategic plan, The Chamber PATH.
And in a press release, Chamber Board Chairman Bob Helm said, “For every dollar we invest in attracting visitors, the return to local businesses and our economy is multiplied many times over. The Chamber believes this investment will generate long-term benefits for businesses, residents, and visitors alike, and approving this ballot measure ensures Springfield is ready to seize this opportunity.”
