CARMEL REVIEWS OPTIONS S.S.

HAVING REJECTED A PROPOSED HOTEL TAX HIKE, THE CARMEL CITY COUNCIL IS NOW LOOKING OVER A LIST OF REVENUE-PRODUCING OPTIONS, INCLUDING A SALES TAX HIKE, AND THE RENTAL OF CELLULAR TELEPHONE ANTENNA SITES. CITY ADMINISTRATOR RICH GUILLEN SAID THE 10 PERCENT HOTEL TAX IS ALREADY THE CITY'S LARGEST SINGLE SOURCE OF REVENUE, AND THERE IS CONCERN THAT RAISING IT FURTHER WOULD SEND TOURISTS AWAY TO NEIGHBORING AREAS WHERE THE BED TAX IS LOWER. THE COUNCIL DID AGREE THAT RAISING THE CITY SALES TAX FROM 1 PERCENT TO 1-AND-A-QUARTER PERCENT WOULD BE WORTH STUDYING, AND IF THE REVENUES WENT INTO THE CITY GENERAL FUND, ONLY A SIMPLE MAJORITY VOTE BY RESIDENTS WOULD BE NEEDED TO ENACT THE INCREASE.