City considers hotel motel tax hike to fund park maintenance

During the City Council meeting on May 8, 2025, in Midwest City, discussions centered on potential changes to the hotel-motel tax, which could significantly impact local parks and recreation funding. Council members highlighted that the current tax rate of 5% is among the lowest compared to neighboring cities, with Oklahoma City recently increasing theirs to 9.1%.

The proposal to raise the hotel-motel tax aims to generate additional revenue without burdening local taxpayers, as the tax is primarily paid by visitors. Council members estimated that even a modest increase could yield around $500,000 annually, which would be directed towards maintaining and enhancing local parks. This funding is seen as crucial for sustaining the new parks developed in recent years, which require ongoing maintenance.

Council member Ryan was tasked with leading the initiative, with plans to possibly hold an election on the tax increase in the summer or early fall. The discussion also acknowledged that hotel owners might oppose the increase, as it could affect their competitiveness. However, council members emphasized the broader community benefits of improved parks and recreational facilities.

In addition to the tax discussions, the council reviewed the city's health care costs, noting that the city spends approximately $1 million annually on health care for its employees and their families. This figure reflects the rising costs of health care and the complexities involved in providing coverage for a diverse group of beneficiaries, including retirees.

The meeting underscored the council's commitment to enhancing community resources while navigating the financial challenges of health care and public funding. As the city considers these changes, residents can expect further updates on the proposed tax increase and its potential benefits for local parks and recreation.