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Urban County Council Passes Resolution Supporting Hotel And Motel Tax Increase


Lexington’s Urban County took the next step Tuesday towards raising the city’s Transient Room Tax by two percent.

The increase, supported by several local business leaders, would help fund a $250 million expansion of the Lexington Convention Center.  Before city government can implement it however, it must first be approved by the Kentucky General Assembly.  Councilmember Bill Farmer says the resolution of support that was passed Tuesday, is an essential step in improving the Lexington economy.    

“We have a 66,000 square feet area for convention space and for more than 2 decades, we’ve needed at least 100,000 square feet.  This would satiate a need that’s causing us to lose conventions on a monthly, if not yearly basis, and it something we need to do for our economic vitality for the entire area,” he said.

In addition to permission to raise the transient room tax, the city is also seeking $75 million in state funds to support the renovation project.  Final decisions on these two items are likely to be made in the upcoming legislative session. 

Chase Cavanaugh first got on the air as a volunteer reader for Central Kentucky Radio Eye, a local news service for the visually impaired. He began reporting for WUKY in February 2012, after receiving his Master’s degree from the University of Kentucky’s Patterson School of Diplomacy and International Commerce.