Specifies the occupancy tax in the village of Catskill shall only apply to hotels and motels.
Summary
S00816 amends the tax law governing the Village of Catskill’s local occupancy tax. The bill narrows the scope of the tax so that it applies only to hotels and motels, and it defines those terms broadly to include overnight lodging facilities such as bed and breakfasts and tourist facilities. It also preserves the existing 4% tax rate on room rentals and keeps the exemption for permanent residents, defined as people staying at least 30 consecutive days.
The bill also clarifies collection and enforcement procedures. It states that the tax may be collected by the owner or person entitled to receive rent, who is responsible for remitting the tax to the village, and it preserves the same collection rights and remedies that apply when the tax is treated as part of the rent. The measure is tied to the earlier 2024 authorization for Catskill’s occupancy tax and is set to take effect with that law, with the amendments expiring when the underlying section expires.
Impact
This bill changes section 1202-bbb of the Tax Law by limiting Catskill’s occupancy tax authority to traditional lodging businesses rather than the broader category of facilities or short-term rentals. In practical terms, it affects which accommodations are subject to the local tax, while leaving the tax rate, permanent-resident exemption, and collection framework intact. The bill primarily impacts hotel, motel, bed-and-breakfast, and similar overnight lodging operators in the Village of Catskill, as well as guests who pay the tax and village officials who administer it.
Sentiment
The legislative response appears generally favorable, as reflected by passage in both chambers with clear majorities. The Senate Rules Committee approved the bill 16-5, the Senate passed it 47-13, and the Assembly later passed it 114-32. Those vote margins suggest broad support for clarifying and narrowing the local occupancy tax, though not unanimous agreement.
Contention
The main point of contention is the scope of the tax base. Supporters appear to favor limiting the tax to hotels and motels, likely to provide clearer, more predictable treatment of lodging businesses and to avoid extending the tax to broader short-term rental or facility categories. Opponents likely objected to the restriction or to the underlying local tax itself, as indicated by the nontrivial number of negative votes in both chambers. The bill does not include committee transcript discussion, so the precise arguments are not stated in the record provided.