Responses to Questions from the Committee on Finance Meeting held on December 9, 2025 [City Controller’s Office]

This memorandum from the City Controller's Office (CCO) provides responses to questions raised by the Finance Committee on December 9, 2025, regarding hotel occupancy taxes (HOT), including short-term rental (STR) compliance. The report details HOT revenues collected from fiscal years 2020-2025, showing a slight decrease from 2024 to 2025 for both hotel and STR taxes. It also summarizes penalties and interest assessed and collected for noncompliance, with a notable spike in penalty amounts in FY2023. The CCO outlines its STR compliance efforts, including using Neumo (formerly GovOS) to identify unregistered properties and issuing notifications. They are also evaluating voluntary collection agreements with STR platforms. The total HOT revenue collected from FY2020 to FY2025 was $473,049,331.

This report provides transparency on how hotel and short-term rental taxes are collected and enforced. Residents can see the revenue generated from these taxes and the efforts made to ensure compliance, which indirectly supports city services funded by these revenues.

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