City Attorney’s Office and Economic Development Department
Reference: Code Update to Lodging Tax Distribution
To: Mayor Gregory Mills and Members of City Council
Through: Michael P. Martinez, City Manager
Prepared By: Alicia Calderón, City Attorney
Date Prepared: May 9, 2025
PURPOSE
To update the Brighton Municipal Code to directly allocate lodging tax to the Economic Development Corporation and to allow direct allocations of lodging tax reserves to either the Economic Development Corporation or the Communications and Engagement Department.
BACKGROUND
The City Council changed the process for distribution of lodging tax funds in October of 2023 to directly allocate to the Economic Development Department and the Communications and Engagement Department. No change is being suggested to the amount allocated, fifty percent to each department. However, the Economic Development Department often has expenditures that are really for the Economic Development Corporation (“EDC”), like subscriptions. In order to clarify and simplify the process, the code would be updated to directly allocate to the EDC directly rather than the Economic Development Department and sub-granting to the EDC. Another change proposed is to allow allocations of the lodging tax fund reserve balance.
The City Council reviewed this item at a presentation on May 13, 2025 and requested the reserve balance allocation also be directed to the two direct recipients of lodging tax funds.
RECOMMENDATION
Staff recommend approving the proposed Ordinance.
OPTIONS FOR COUNCIL
Approve the Ordinance
Deny the Ordinance
Continue the item and provide further direction to staff.
ATTACHMENTS
1. Ordinance
2. Redline of Code Changes