Whitmer, Dems advocate hotel excise tax proposal on ballots

GRAND RAPIDS, Mich. (WOOD) — Gov. Gretchen Whitmer visited Grand Rapids on Monday, just days after signing a bipartisan bill allowing localities to set their own hotel taxes.

House Bill 5048 went into effect on Tuesday, allowing localities to set their own lodging taxes that would only affect visitors, not local taxpayers.

Eight counties are taking advantage of the new legislation, including Kent, Calhoun and Kalamazoo counties.

In Kent County’s case, voters could get to decide whether to increase the hotel excise tax from 5% to 8%.

New law means voters could decide on hotel tax to back amphitheater, stadium

The Grand Rapids Area Chamber of Commerce says the increased tax will help fund the future amphitheater and soccer stadium in Grand Rapids, plus other future projects.

“I want to make sure we’ve got (a research and development) tax credit so that businesses that are doing (research and development) can be competitive and find Michigan to be a competitive place,” Whitmer said. “Investing in their own workforce, like the Hire Michigan Fund — that’s something that we’ve always thought was important. It used to be called Going PRO (Talent Fund), but it’s the same essential thing. Whether it is Gov. Snyder or Gov. Whitmer, we’re all focused on trying to make sure businesses can thrive here in Michigan, and we can upscale our population to get good paying jobs.”

Kent County voters will decide whether to approve the excise tax increase on the primary ballot this August.

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