The Springfield City Council has unanimously approved a special ordinance to place a measure on the November 4, 2025 ballot. The measure asks voters whether to increase the city’s hotel and motel guest license tax by 3 percent, with the aim of helping fund a new regional convention and event center. This additional tax would be paid by visitors staying in hotels, motels, tourist courts, and short-term rentals.
A key factor in moving forward with this proposal is the potential to secure $30 million in state funding for the project. These funds are currently on hold pending proof that Springfield can provide a local $30 million match and demonstrate readiness to proceed. The funding was authorized through House Bill 7 and signed into law by Governor Mike Kehoe on June 30.
“The Governor and state leaders have made it clear that Springfield has a significant opportunity, but also a responsibility—to bring a credible match and be ready to act,” said City Manager David Cameron. “We’re at a pivotal moment. This ballot measure is a key component of an overall financing package and plan showing the state we’re ready to deliver.”
The proposed increase would raise Springfield’s hotel/motel guest tax rate from its current level of 13.10%—the second lowest among nearby cities—to 16.10%. Even after the increase, Springfield’s rate would remain below those of cities such as Memphis (18.75%), Overland Park (18.35%), St. Louis (17.93%), and Kansas City (16.48% plus $3 per room night).
“Springfield’s proposed increase to 16.10% would still keep it competitive and below average compared to many regional destinations, while moving it closer to the mid-range of hotel tax rates in the region,” explained Amanda Ohlensehlen, Director of Economic Vitality and Workforce Development.
Mayor Jeff Schrag commented on the significance of the project: “This is an important step forward in determining how we invest in Springfield’s future,” he said. “A convention and event center would be a transformational project that drives economic growth, supports local jobs, and positions Springfield as a premier destination for regional and national events.”
The proposed tax increase could form part of a broader funding strategy for the event center project. Other sources include revenue from the half-cent Spring Forward SGF sales tax for transformative projects—approved by voters in November 2024—and reallocation of existing hotel/motel tax revenues.
City finance staff presented elements of a working funding model at the July 22 council meeting, which includes:
– The new 3% hotel/motel guest tax (pending voter approval)
– Revenue from the half-cent sales tax for transformative projects
– Reallocation of existing hotel/motel tax revenues
– State support via Missouri House Bill 7
– Public-private partnerships under development
– Future strategies such as naming rights, sponsorships, and event-related revenues
“This is very much a rough draft working funding model that considers new and existing resources in a responsible way, leveraging tourism-related revenue streams and fulfilling the interest residents told us in approving the Spring Forward SGF sales tax for transformative project” Cameron said at the July 22 meeting.
Leading up to Election Day on November 4, city officials will conduct public education efforts about both the convention center proposal and details about how funds would be used.
In addition to building an event center, city planners are exploring options such as connecting hotels or using enhanced incentives to maximize economic benefits from development.
