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Norwalk Council OKs Increase in Hotel-Motel Tax

July 20, 1989

NORWALK — The City Council gave final approval this week to a two-tier increase of its tax on the use of Norwalk hotel and motel rooms to raise additional revenue for city services.

The first increase, from the current 6% levy to 8%, is scheduled to take effect Oct. 1, while the second 2% increase is scheduled for Oct. 1, 1990. The city received an estimated $290,000 during the 1988-89 fiscal year in bed tax revenue, a spokesman said.

City officials said the increases are necessary to raise additional funds to pay for general city services, such as police protection, which are utilized by hotels and motels.

Several representatives of city hotels protested the increase, which they said would be passed on to their customers.

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