PORTLAND — Developers of new or expanded hotels, motels and inns may soon be paying an assessment to fuel the Housing Trust Fund.

On Dec. 17, Planning Board members unanimously recommended councilors pass a revision of the city’s Inclusionary Zoning law that could assess one-time fees of $3,800 per room on construction of new hotels, motels and inns with more than 10 rooms.

The fees would be in lieu of requiring developers to provide housing priced for people making no more than 80 percent of the area median income. Those levels range from $50,350 for a one-person household to $71,900 for a four-person household.

One housing unit would have to be set aside for every 11-28 hospitality rooms planned, with additional housing required in increments of 28.

The Inclusionary Zoning ordinance now requires only new residential developments of 10 or more units to set aside at least 10 percent of the units as workforce housing, or pay $104,700 per required unit in lieu of the set-aside. Income guidelines there range from 100 percent to 120 percent of the AMI.

The difference in the AMI requirements in the ordinance is based on wages paid within the hospitality industry and the wage gap in finding local housing.

To arrive at the per-room fee, city staff commissioned the Greater Portland Council of Governments to determine how many jobs are generated by a new hotel, the range of wages paid at the new jobs, and how many new housing units would be needed by employees.

Using several sometimes-conflicting measures, GPCOG found the gaps could justify per-room fees ranging from $2,600 to $5,200.

The threshold of 28 rooms was derived by dividing the $104,700 per unit housing in-lieu fee by the $3,800 fee settled on by city staff.

Payments would go directly to the Housing Trust Fund. The fees will increase annually based on the rate of inflation, as do those for housing development.

Planning Board comment was limited at the Dec. 17 meeting, with public comment coming from Greg Dugal, who directs government affairs for HospitalityMaine, and Portland Regional Chamber of Commerce CEO Quincy Hentzel.

“We do not think the industry should be singled out,” Dugal said, adding he understands the need for low-income and workforce housing in Portland.

Hentzel said the Chamber also supports creating more housing, but asked the Planning Board to take a wider look at increasing city fees for permits, new impact fees, and the coming increase in the state minimum wage before making a recommendation on the linkage fees.

She also said hotel expansion in Portland has allowed more people to visit the city.

“We feel it should be celebrated and not discouraged,” Hentzel said.

First proposed almost a year ago by Councilor Belinda Ray, the linkage fees were envisioned by her as a way to ensure those working at area hotels could find housing in the city.

The new fees would not affect existing hotels or those getting site plan reviews,  Planning Director Tuck O’Brien said, but the industry was specifically singled out because it has expanded so much in the last decade.

A Dec. 17 memo from city staff estimates hospitality room growth at 21 percent since 2012, which could have added $1.8 million to the Housing Trust Fund in that time.

Unaffected projects now under review, already permitted or under construction would have generated $2.6 million in fees.

The trust fund reached an all-time high this summer at $2.2 million. Councilors then allocated $1.2 million to help fund the renovation and expansion of the Front Street homes operated by Portland Housing Authority and Avesta Housing’s senior housing at 977 Brighton Ave.

David Harry can be reached at 780-9092 or dharry@theforecaster.net. Follow him on Twitter: @DavidHarry8.

A new Hampton Inn is nearing completion on Brighton Avenue as a proposed $3,800 per room fee on future hotel construction heads to the Portland City Council.