Motel-free Oregon town eyes bed tax

OAKLAND, Ore. (AP) — The city of Oakland, Oregon, has given preliminary approval to a tax on motels.

But the bed tax won’t generate any money. The small town in southwestern Oregon has no motels or accommodations — except for a one-room, online vacation rental.

Mayor Bette Keehley says the city is not going to levy the tax against that rental unit until the state firms up regulations for Airbnb-type establishments.

The mayor told the Roseburg News-Review that the city is not preparing for any new motels or hotels, but wants to “jump on this before we have the need for it.”

The City Council is set to hold a second reading on the ordinance Jan. 2. If approved, it would take effect 30 days later.