County hopes to benefit from increased hotel occupancy tax

Austin skyline (KXAN Photo)
Austin skyline (KXAN Photo)

AUSTIN (KXAN) — Austin’s revenue from the hotel occupancy tax has grown to $90 million.

The city of Austin is considering increasing the tax by 2 percent, and Travis County wants a cut.

While most of the tax increase would benefit city-specific projects and programs, there are opportunities for the city to work with the county, as commissioners discussed Tuesday.

That would include negotiating the acquisition of the Palm School for use as a public space, as well as the city partnering with the county on the renovation and expansion of all or part of the Travis County Exposition Center and Walter E. Long Metropolitan Park as a convention center facility.

According to the city website, the hotel occupancy tax rate is 9 percent, made up of a 7 percent occupancy tax and an additional 2 percent venue project tax. The city’s tax is in addition to the state’s 6 percent rate.

State law imposes a maximum of 17 percent for all state and local hotel occupancy taxes. provides commenting to allow for constructive discussion on the stories we cover. In order to comment here, you acknowledge you have read and agreed to our Terms of Service. Users who violate these terms, including use of vulgar language or racial slurs, will be banned. If you see an inappropriate comment, please flag it for our moderators to review.

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