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Meals and Lodging Tax
The board took up the issue of a county meals and lodging tax during the evening session. The draft ordinance establishes a tax of not more than four percent on prepared food and beverages sold for human consumption and two percent for transient lodging. It allows for Bed and Breakfasts to add a four percent tax on their bill to cover food, beverages and lodging.
A number of Bed and Breakfast and other business owners spoke in opposition to the tax. Among their concerns were that a tax would increase costs to businesses. Some also wondered how the supervisors could face the voters if they adopted another tax. McCarthy pointed out that voters in the county approved the tax by a substantial margin.
Phil Irwin, who owns Caledonia Farm 1812 Bed and Breakfast, commented that he does not oppose the tax. However, he feels that taxes for B & Bs should be two and-a-half percent, putting the county in line with the Town of Washington.
Despite the objections, the board passed the tax by a 4-1 vote. Jackson District supervisor Ron Frazier voted no, saying that he does not favor any new taxes. In addition, his district is the only one in which a majority opposed the tax. Mike Massie and Roger Welch both reiterated McCarthy’s comments about county-wide support for the tax. Robert Anderson said that he supports sources of revenue other than real estate taxes.
The meals and lodging tax will take effect Oct. 1, with the first tax due Jan. 2(X McCarthy estimates that the county will receive approximately $70,000 in additional revenues from the tax.
RCHS roof repair
School superintendent Dr. David Gangel informed the board that 1998-99 was a good year fiscally, and that preliminary test data was encouraging as well.
For the school year, expenditures fell short of what was appropriated. As a result, the schools have over $281,000 left over. Of that, over $26,000 will carryover to 1999-2000 and $24,000 is needed to cover an anticipated reifr enue shortfall.
In addition, Dr. Gangel requested $83,719 for capital projects, including repair of the high school roof, and start-up funds for the cafeteria in the amount of $10,000.
See BOARD, Page AS
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