No one loves a tax hike. But is Fort Worth proposal worth it? Here’s our endorsement | Opinion

No one is eager to say yes to a tax hike.

But a targeted, well-considered increase can pay off in the long run for the economy and thus the tax base. Fort Worth’s proposal for the hotel occupancy tax rate qualifies.

If voters consent, as we recommend, the city would raise the tax rate on a room by 2 percentage points, from 15% to 17%. The revenue generated, estimated at about $10 million a year, would fund renovation of the Fort Worth Convention Center downtown — badly needed to make the city newly competitive in the race to land large gatherings that bring thousands of people at a time to cities.

The project is under way, funded by federal COVID relief money, with new kitchen facilities, improved loading docks and a straightening of Commerce Street. But without the new tax revenue, that could be as far as it goes.

And that’s not nearly far enough. The vision calls for demolishing the little-used “flying saucer” arena to create more exhibit space that modern conventions prefer.

Competing better with cities such as Dallas and Austin, which are further along in their convention center improvements, is a priority. Brian Newby, a Fort Worth lawyer who leads the board overseeing Visit Fort Worth, said that while overall business travel is still lagging from the pandemic, conventions have come back strong. The largest, most economically useful meetings are passing Fort Worth by, he argued.

By focusing on hotel taxes, the city avoids asking Fort Worth residents to pay directly for the project. Out-of-towners foot the bill, and the increase is modest enough that it won’t deter people from coming here. For work travel, it’s part of the cost of doing business.

It’s true that the overall cost of renovation has ballooned. What started at $377 million is now a whopping $700 million. But inflation is slamming construction projects everywhere, and waiting or trimming the vision of the revised convention center won’t help Fort Worth earn back its investment or spark new economic activity.

City officials must commit to pushing hard to finish the work quickly and closely monitor the spending. But done right, the convention center project can be a crucial part of what should be a boom in the southern part of downtown. The city needs more hotel rooms there, and that investment will only come if there’s an improved center. Along with Texas A&M University’s plan for a dramatic expansion, it’s an important moment to shape the future of a vital part of the city.

Voters here value fiscal responsibility, but part of that is finding smart ways to use revenue to ensure economic expansion. This is one tax increase that will only pay off in the long run.

Early voting starts Monday and ends April 30. Election Day is May 4.