ROANOKE TIMES

                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: SUNDAY, January 31, 1993                   TAG: 9301310144
SECTION: VIRGINIA                    PAGE: E3   EDITION: METRO 
SOURCE: DAVID M. POOLE STAFF WRITER
DATELINE:                                 LENGTH: Short


ADDED HOTEL TAX REVENUE WILL GO TOWARD TOURISM

The General Assembly has cleared the way for Roanoke County to raise its hotel occupancy tax from 2 percent to 5 percent.

But the legislature stipulated that Roanoke County must dedicate any added revenue - estimated at $330,000 a year - toward tourism-related activities.

The county Board of Supervisors had wanted to earmark only half of the new revenue toward tourism. But lobbyists, led by Roanoke Realtor David Saunders, persuaded the legislature to require that all the money be dedicated toward tourism.

Supervisor Bob Johnson accused Saunders of "blackmailing" the county into reluctantly going along with the change. Johnson said Saunders threatened to characterize the bill as a tax increase - a label certain to kill it during an election year - if all the money did not go toward tourism.

"I don't take kindly to threats," Johnson said.

Other supervisors said they did not have a problem with dedicating any extra revenue to promote tourism, which could mean anything from support for the regional tourism bureau to the Explore Park.

Sen. Brandon Bell, R-Roanoke County, acknowledged that Saunders suggested that the hotel lobby would "raise red flags" if all the money were not dedicated toward tourism.

Bell said he agreed to amend the bill after county officials signed off on the changes.

The House of Delegates voted 89-7 to approve a county charter bill that contained the hotel tax provision. The House vote followed earlier Senate approval. The bill now goes to the governor for his signature.



by Bhavesh Jinadra by CNB