DENVER–Voters in both Rifle and Basalt will decide lodging tax hikes on the upcoming November ballot. While the increases vary in size, they are projected to rake in hundreds of thousands of dollars in new revenue for both towns.
Basalt is a mountain town of about 4,000 people located in the Roaring Fork Valley, roughly 20 miles from Aspen. The town city council on August 26 unanimously approved a ballot measure asking voters for a 50% jump in the towns’ lodging tax, from the current 4% to 6%.
The council actually scaled back a proposed doubling of the tax from 4% to 8%, arguing that dramatic of an increase was too high and would likely drive down tourism.
Currently, Basalt’s lodging tax yields roughly $500,000 annually. If voters sign off on the tax hike, the estimated $300,000 annually in new money will be added to the towns subsidized housing program.
The lodging tax applies to short term (30 days or less) accommodations such as hotel, motels and short-term rentals, such as Airbnb.
The tax hike ask comes hot on the heels of a more than $2,500 per-bedroom annual “regulatory fee” the town council slapped on short-term rental license holders in May.
Rifle, with a population just over 10,000 is located in Garfield County on the Western Slope, along I-70 and the Colorado River, referred their own lodging tax hike on August 20. The city council is asking voters to more than double the lodging tax from 2.5% to 5.5%, which in turn is projected to double the annual lodging tax revenue from $220,000 to $440,000.
The lodging tax money is currently used for Rifle city-wide events, and public projects such as bike racks and trail systems.

