Assembly Vice President Tyson Cox speaks during a Kenai Peninsula Borough Assembly work session in Soldotna, Alaska, on Tuesday, Sept. 3, 2024. (Jake Dye/Peninsula Clarion)

Assembly Vice President Tyson Cox speaks during a Kenai Peninsula Borough Assembly work session in Soldotna, Alaska, on Tuesday, Sept. 3, 2024. (Jake Dye/Peninsula Clarion)

Applications open for working group tasked with exploring bed tax

Of the group’s seven voting members, four will be members of the public and three will be representatives of the tourism industry

The application period is open for seats on the Kenai Peninsula Borough’s Tourism Industry Working Group, which this winter will explore the benefits and impacts of tourism on borough revenue, costs and services — including the effects of a potential bed tax.

The group was established by the Kenai Peninsula Borough Assembly during their Sept. 3 meeting following discussions over the summer regarding the proposal of a tax on short-term rentals, often called a bed tax.

Applications are being accepted for the group’s seven voting members, four of whom will be members of the public and three will be representatives of the tourism industry. From the applications, Kenai Peninsula Borough Mayor Peter Micciche will make appointments to the group, which must be approved by the assembly. Rounding out the group in non-voting roles will be the borough mayor and two assembly members appointed by the assembly president.

A portal on the borough’s website, under “Quick Links” at kpb.us, leads to a brief application asking for name, address and contact information. Applicants are also asked to describe their background and interest in the group.

The resolution creating the group, adopted by the assembly, says that the group will evaluate “tourism benefits and impacts” on the borough; discussing options to ensure “visitors are paying their fair share for the services they use;” and assessing the effects of a potential bed tax.

Creation of the group came after the assembly considered in June a resolution that would have added a question to the October ballot asking borough voters whether the borough should levy such a tax. After roughly 80 minutes of testimony largely in opposition and largely by representatives of Kenai Peninsula lodging operations, the resolution was tabled.

Assembly member Tyson Cox, a sponsor of the bed tax resolution, told the Soldotna City Council on Wednesday that the tourism industry has repeatedly said, when the concept of a bed tax is raised, that the issue comes at the height of their season when they don’t have time to engage.

“The idea is to do this working group in the wintertime, when they will be able to participate,” he said.

Per the application, the working group will be tasked with delivering “a comprehensive report” before the start of the 2025 tourism season.

The application and the text of the resolution can be found at kpb.us, under “Tourism Industry Working Group Application” on the homepage. A date hasn’t been set for the close of applications, though the resolution says that the group’s first meeting cannot occur prior to Oct. 22. Their last meeting will be by April 15.

Reach reporter Jake Dye at jacob.dye@peninsulaclarion.com.

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