2023 City of Shakopee Budget

134

2023 Annual Budget

Lodging Tax

Fund:

Description of Services:

A statutorily allowed 3 percent lodging tax is imposed by the City Council. Once collected, 95 percent is submitted to the Shakopee Chamber and Visitors Bureau (CVB) and 5 percent is retained to defer administrative expenses. This fund accounts for the tax revenue and the expenditures to both the CVB and the city's General Fund for the administration portion of the lodging tax proceeds.

Budget:

Actual

Actual

Budget

Budget

Expenditures by Category Supplies and Services

2020

2021

2022

2023

215,901 215,901

341,450 341,450

338,000 338,000

400,000 400,000

Totals

$

$

$

$

Dedicated Revenues

$

215,901

$

341,450

$

338,000

$

400,000

Expenditures by Category and Dedicated Revenue

$- $50,000 $100,000 $150,000 $200,000 $250,000 $300,000 $350,000 $400,000 $450,000

Supplies and Services Dedicated Revenues

Actual 2020

Actual 2021

Budget 2022

Budget 2023

Key Measures:

Actual

Actual

Projected

Projected

2020

2021

2022

2023

Number of Hotels

12

12

12

12

Budget Impact: Lodging tax was hit hard with the coronavirus pandemic resulting in a decrease in revenues for 2020 and 2021. Revenues rebounded in 2022 to pre-pandemic levels. It is estimated they will continue to increase in 2023.