RESOLUTION NO. 2026-XX
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MARYSVILLE
APPROVING A FOUR-YEAR TRANSIENT OCCUPANCY TAX REIMBURSEMENT
FOR THE HYATT STUDIOS HOTEL PROJECT
WHEREAS, B St Hotel LLC (the “Developer”) proposes to develop and operate a one hundred fourteen (114) room Hyatt Studios hotel at [insert address], Marysville, California (the “Project”); and
WHEREAS, the City levies a transient occupancy tax at the rate of ten percent (10%) pursuant to Chapter [insert chapter] of the Marysville Municipal Code; and WHEREAS, the Project site generates no transient occupancy tax revenue today, and the City Council finds that a limited-term reimbursement supporting the Project during its ramp-up period serves a public purpose by generating new tax revenue, employment, and visitor lodging capacity that would not otherwise exist; and
WHEREAS, the City Council considered this matter at its meeting of [insert date].
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Marysville as follows:
Section 1.
The recitals above are true and correct and are incorporated by reference.
Section 2. Reimbursement.
The City approves a transient occupancy tax reimbursement to the Developer for a term of four (4) years, as follows:
1. In each of the first two (2) years, three (3) percentage points of the transient occupancy tax collected from the Project, so that the City retains an effective rate of seven percent (7%).
2. In each of the third and fourth years, two (2) percentage points of the transient occupancy tax collected from the Project, so that the City retains an effective rate of eight percent (8%).
The term shall commence on the date established in the final agreement.
Section 3. Full Tax Collected and Remitted.
The operator shall collect and remit the full ten percent (10%) transient occupancy tax to the City as required by the Municipal Code. The City shall pay the applicable reimbursement thereafter, in accordance with the procedures established in the final agreement.
Section 4. Commencement of Vertical Construction.
As a condition of the reimbursement, the Developer shall commence vertical construction within one hundred twenty (120) days of September 1, 2026. The final agreement shall define “commencement of vertical construction.” If that milestone is not met, the reimbursement shall be prorated as provided in the final agreement.
Section 5. Limitation.
The reimbursement is payable solely from transient occupancy tax revenue actually collected from the Project and does not constitute a general obligation or indebtedness of the City.
Section 6. Direction to Staff.
The City Manager, in consultation with the City Attorney, is directed to prepare a final agreement consistent with this Resolution and return it to the City Council for approval.
PASSED AND ADOPTED on September 15, 2026 by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
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Chris Branscum, Mayor
City of Marysville
ATTEST:
____________________________________
Maggie Sanchez, City Clerk
Attestation Date: ______________________
APPROVED AS TO FORM:
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Brant Bordsen, City Attorney