McHenry County to ask Springfield for a hotel tax

McHenry County officials said they hope to work with state lawmakers this year to create legislation allowing them to impose a 3 percent tax on hotel and motel room rentals to help fund the county's convention and visitors bureau.

The proposal, made Tuesday before the county board's finance and audit review committee, could more than double the bureau's budget by adding as much as $250,000 a year to its coffers, committee Chairman Marc Munaretto said.

"I think it's responsible to at least look at it," he said. "It's an opportunity for us to procure funding for our convention and visitors bureau without imposing a tax on our citizenry."

The tax would add a 3 percent surcharge on room fees at hotels, motels and bed and breakfasts, on top of taxes ranging from 2.5 to 5 percent already imposed by county municipalities.

Cort Carlson, director of the McHenry County Convention and Visitors Bureau, said the added funding would allow the agency to hire more staff and step up its efforts to attract travelers, trade shows and sporting events.

"Certainly we're looking for some permanent, long-term funding and this is one scenario," he said. "It would allow us to grow significantly."

But before that can happen, the county first needs help from Springfield.

Current state law bars counties from implementing hotel/motel taxes within municipalities that have their own tax. And every McHenry County city or village with a hotel or motel has its own hotel/motel tax.

County officials said they hope to persuade state lawmakers to change that law.

But if they are to succeed, they'll probably have to do it without the assistance of the board's former chairman, state Rep. Michael Tryon. The Republican from Crystal Lake said he would not introduce or support legislation creating a new tax.

"Pyramiding a tax on top of a tax is not something we're supposed to be looking at as elected officials," he said. "Taking money from consumers and putting it in the hands of government -- that is something we don't want to do, especially in this economy."

Although the money would support efforts to attract more visitors and their money to the county, Tryon said he fears it might have the opposite effect by sending them to less expensive lodging in neighboring counties and leaving them with less money to spend at local businesses.