CLARKSVILLE, TN (CLARKSVILLE NOW) – After the Clarksville-Montgomery County Convention and Visitors Bureau (CVB), alongside board members of the Economic Development Council (EDC), highlighted the negative effects a proposed hotel-motel tax rate hike would have on the community, the City Council voted Thursday night to defer the ordinance until their next regular session meeting on April 4.

In an interview with Clarksville Now, the CVB and EDC said the proposed 4% hotel-motel tax rate increase would give Clarksville the highest total rate out of the nation’s 150 largest cities. The proposed tax rate hike would also have an impact on military families.

Clarksville’s projected total hotel tax rate out of the nation’s 150 largest cities if the 4% tax rate increase were to pass. (Contributed by Visit Clarksville Executive Director Angie Brady)

The proposed new “privilege tax” of up to 4% is designed to help pay for a new Performing Arts Center in downtown Clarksville.

Councilperson Wanda Allen explained with all of the information the City Council received during this past week, she motioned for the ordinance to be postponed until next month’s regular session. When it was time to vote, the council and City Mayor Joe Pitts voted unanimously to postpone the proposal.