Meadville may tax short stays up to 3% if voters approve

The law authorizes Meadville's governing authorities to levy a room rental tax of up to 3%. The tax covers hotels, motels, and bed and breakfasts in Meadville. Room rentals of 30 days or longer are excluded. The tax can be imposed only if at least 60% of qualified voters who vote in a town election approve it. It covers businesses with six or more guest rooms, except certain facilities connected with hospitals or clinics that provide rooms only for patients and their families. The town sets the tax's effective date in its resolution and must send the state Department of Revenue a certified copy at least 30 days before that date. The law is repealed from July 1, 2030.

The law requires the town to spend the tax revenue only on tourism and parks and recreation. These rules cover revenue from the room rental tax authorized for Meadville. Before spending the revenue, the town must approve a budget and keep the money separate from its general fund and other funds. The Department of Revenue keeps 3% of the proceeds for collection costs and sends the rest to the town. An independent accountant must audit the funds each year.