Hotel/Motel tax committee hosts second public forum

MOLLY SKYLES
Assistant Editor

RED OAK — Efforts are underway to decide how and where to spend the estimated $77,000, which would be generated by the proposed seven percent hotel/motel tax.

A public forum took place last Tuesday evening in which members of the hotel/motel tax committee and a handful of other community members gathered to voice their ideas.

This was the second public forum; at the first, it was proposed to allocate the revenue through a grant application.

The current resolution will states 50 percent of the funds will go toward recreation and tourism and the other half would go into the city’s general fund. Although, other suggestions have been provided.

Many of those present at the forum, including Darrell Steven Carlyle, Larry Brandstetter and Kara and Jedd Sherman suggested using the funds to better market and promote the city.

“If you have pride, you want to make sure everyone knows it,” Brandstetter said Tuesday. “We should use these dollars to promote Red Oak and its amenities to prove to the outside world why they need to come to Red Oak and spend time here.”

Brandstetter added by promoting the many things Red Oak has to offer, more people would come and spend more money at local restaurants and businesses.

While most people recognized the importance of promoting Red Oak, City Council member Fred Pilecki suggested a different approach.

“I don’t think people would see the promotion of the city as a direct benefit to them where I think the majority of people in town would find a citywide cleanup very popular and could sell the program possibly all by itself,” Pilecki said.

Brandstetter, along with Jedd Sherman agreed having a clean city not only benefits local residents but also could contribute to a boost in tourism. However, they didn’t think cleaning money should come from the hotel/motel tax funds.

“I support the concept to clean up the city,” Brandstetter said. “Last time we did that it cost about $7,000. However, I don’t think this is the place for these funds to come from. We have a city budget of several million dollars and I think they should find $7,000 in which to do that. The funds generated by the hotel/motel tax need to go 100 percent to promotion.”

Commission member Paul Griffen explained in larger cities, like Cedar Rapids, the city has received all or part of the funds generated by the tax to go toward city owned and operated buildings such as convention centers, which help bring in larger events. A consensus was not met as to if the city of Red Oak should receive part of the funds or if it should go to not-for-profit organizations.

The suggestions from last Tuesday’s meeting will be compiled by the committee at a future meeting and presented to the City Council at one of their July meetings.