WOOD Radio Local News

WOOD Radio Local News

WOOD Radio Local News

 

Sports complexes, aquariums to become eligible for Kent lodging tax revenue

GRAND RAPIDS, Mich. -- The Kent County Board of Commissioners has approved amendments to the Lodging Excise Tax Ordinance.

The ordinance language was changed Thursday to include sports complexes and aquariums as eligible investments from lodging tax revenue.

On August 6, county voters passed a 3-percent hike in the excise tax on hotel and motel stays, from 5 percent to 8 percent. That will take effect January 1, 2025.. Funding will be used to help pay the remaining balance on the 12,000-spectator Acrisure Amphitheater that is being built downtown along the waterfront, and potentially for a soccer stadium and aquarium that are being proposed.

Here are more details from a Kent County news release:

“The changes to the lodging excise tax ordinance are a critical step forward for our region,” said Kent County Board of Commissioners Chair Stan Stek. “We are securing the resources needed to fund projects that enhance the quality of life for our residents and drive economic development. This will bring even more visitors to our vibrant community—a place we all love and proudly call home."

The ordinance changes follow the passage of House Bill 5048, which amended Public Act 263 of 1974. The bill granted Kent County the authority to increase the lodging excise tax and expanded the list of eligible projects. Under the provisions of the legislation, a ballot question providing authorization for the increase was required, and voters approved the Sports and Entertainment Facilities measure in the August 6, 2024, primary election.

In addition, the Board approved an agreement with the City of Grand Rapids to allocate revenue from the Lodging Excise Tax Fund to cover principal and interest payments on a $27.5 million bond issued by the City to construct the Acrisure Amphitheater. This agreement earmarks a portion of the increased tax revenue to ensure bond payments are met, with the payment schedule expected to be finalized in early 2025.

“The development of the Acrisure Amphitheater is a shining example of what we can achieve with thoughtful public and private investment in our community,” Stek concluded. “This state-of-the-art venue will not only be a hub for entertainment and culture but also a catalyst for local businesses and tourism."

Last, the Board allocated 17% of the lodging excise tax revenue to Experience Grand Rapids (EGR), bringing their total allocation to $4 million annually. This additional funding will help market the amphitheater and other upcoming projects, enhancing the region’s appeal as a destination. Since 1979, EGR has received a portion of the lodging excise tax revenue to support the County’s tourism and convention marketing efforts.

"Experience Grand Rapids has been a valued partner in our efforts to promote Kent County as a premier destination,” said Kent County Administrator Al Vanderberg. “This additional funding will help them amplify their efforts, ensuring all of our transformational projects will attract visitors and drive further economic growth."

 

###


Sponsored Content

Sponsored Content