Tax on Disneyland tickets falls short in Anaheim council vote

A proposal to ask voters to impose a 2% gate tax on Disneyland and the Honda Middle failed Tuesday to get sufficient votes from the Anaheim Metropolis Council to realize a spot on the November poll.

After greater than an hour of public debate, the proposed gate tax failed, with not one of the 5 different council members supporting the measure proposed by Councilman Jose Moreno. The council often has seven members, however Mayor Harry Sidhu stepped down in Could after being accused of bribery, fraud, obstruction of justice and witness tampering.

Many of the greater than two dozen residents who spoke voiced assist for the gate tax, saying the additional income is required for metropolis providers. The controversy grew to become so boisterous that Mayor Professional Tem Trevor O’Neil needed to name a five-minute recess to quell the shouts from supporters of the gate tax.

Had the measure been placed on the poll and authorized by a majority of voters, the gate tax would have generated $55 million to $82 million a 12 months to be deposited within the metropolis basic fund account, in line with a metropolis report.

The proposal was pushed by Moreno, who stated he hoped the gate tax cash would bolster a metropolis price range that he stated has been stretched skinny. He advised Tuesday evening that the funds may very well be used to pay for a metropolis pool, extra lighting for parks and assist code enforcement applications and senior providers.

Moreno argued that Disneyland and Anaheim Geese increase their ticket costs frequently, however the metropolis doesn’t profit from these will increase. Moreno, who’s serving his final 12 months on the council, has been a vocal critic of tax breaks for Disneyland.

“Disney goes to boost their costs. We’re simply saying, ‘Shouldn’t the voters resolve on elevating it a bit for the town?’” he stated.

O’Neil stated he apprehensive the gate tax may discourage Anaheim vacationers who already pay a 15% resort occupancy tax, one of many highest within the state.

“This could improve the already excessive tax burden and negatively influence tourism for our metropolis,” O’Neil stated.

Councilman Avelino Valencia stated the gate tax is likely to be charged towards nonprofits that maintain fundraising occasions at giant metropolis venues. Moreno stated he was open to amending the measure to exempt charitable organizations.

A spokesperson for Disneyland Resort declined to touch upon the proposal. A consultant for the Honda Middle, house of the Anaheim Geese, didn’t return calls looking for a remark.

A each day ticket to Disneyland ranges from $104 to $164, relying on the day of the week. A 2% gate tax would have added $2.08 to $3.28 per ticket.

Moreno pushed for the gate tax to generate extra income, however the metropolis’s major income sources — gross sales taxes and occupancy taxes charged on resort friends — have rebounded dramatically because the pandemic struck in 2020 and compelled the closure of Disneyland Resort for greater than a 12 months and pushed resort occupancy to near-record low ranges.

Town is projected to gather $167 million in resort occupancy taxes within the present fiscal 12 months, surpassing the earlier report excessive of $163 million in 2018-19, in line with metropolis price range information. Ten of the town’s largest inns, together with three Disneyland Resort inns, generate about 50% of all the town’s resort occupancy revenues.