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Saturday, September 28, 2024 at 6:22 AM

Lodging tax revenues flat in ’23

Lodging tax revenues flat in ’23

An initial glance at the numbers shows little change in visitor traffic to the Ely area last year - given the release of local lodging tax revenues.

Ely area lodging establishments within St. Louis County collected $205,281 via the three percent “bed tax” in 2023, according to data presented to city council members this week.

That total nearly matches the $209,030 collected in 2022, but amounts to a 1.8 percent overall decline.

The numbers up for review this week needed some context, particularly since lodging tax revenues from 2016 to 2020 ranged from a low of $284,036 (2016) to a high of $306,049 (2018).

But since 2020, the lodging tax receipts collected by establishments in Fall Lake Township have not been included in the overall total.

Since then, Lake County has collected the tax.

Ely council member Paul Kess offered some clarification during brief discussion at Tuesday’s regular meeting.

“The revenues that go to Fall Lake Township are not included and pretty much offset any loss,” said Kess.

Lodging tax numbers have often been used as a gauge of the region’s tourist- related business, but local elected officials have often sought - without success more information.

The impact on rate hikes at lodging establishments has been difficult to assess, and officials have at times looked for more specific data including the number of units rented.

In other business, at a very brief meeting Tuesday, the council:

• Appointed Paul Dunnom to the city’s police commission. Vacancies continue to exist on the tree board, planning and zoning commission, and Donald G. Gardner Trust board.

• Authorized council member attendance at the League of Minnesota Cities summer conference at Rochester June 26-28.

• Heard from fire chief Dave Marshall that the department responded to nine medical calls but had no fire calls in the last week.

• Scheduled a hearing to address a city citation related to unsafe buildings and structures for the dwelling located at 45 East Boundary Street.

The property owners have been asked to make numerous corrections to dry the structure, remove soot, smoke and debris, repair broken doors and windows and remove damaged drywall and flooring, among other items.

“We’re hopeful of a resolution but on the current path we’re not reaching that,” said city attorney Kelly Klun.

• Approved on-sale and Sunday liquor licenses for the Frisky Otter, which will be located at the former Rockwood restaurant and bar at 302 East Sheridan Street.

• Approved the first reading of an ordinance revising city codes for permissible and conditional uses of various zoning areas.

Elyites Butch Pecha, Mark and Barb Hren and Pete and Marsha Jiacik with friends Matt and Kristy in Flagler Beach, Florida enjoying the Ely Echo.


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