The 3% tax is the maximum allowed by the state- and despite some concerns from council members, most ultimately voted FOR IT once a restriction was placed on where the revenue could be spent.
That restriction was introduced by Councilman Marty Presley, who notes he’s typically against imposing “sin taxes” targeting any one industry.
“If we do impose that tax, I think we should dedicate it, 100%, to streets and roads, and it should be untouchable. We’re running a $250,000 deficit in streets and roads this year. It’s going to be more next, the year after that, and we still haven’t gotten the asset management plan set up.” he said.
Councilwoman Kimberley Kaan was against the restriction.
“Now, what if we need money in police? Keep in mind if it's a restricted fund- it's restricted. And it's to that purpose only, and it kind of takes out of your hand what your needs are at the moment.” she said.
Mayor Bob McKee was also initially against restricting use of the revenue on the town’s capital needs but changed his vote once Presley suggested it be restricted to the streets and stormwater use.
“I would not have a problem with the hotel tax going into that transportation/stormwater fund.” he said.
Kaan’s concern was enough to make her the lone ‘no’ vote against the measure, which was passed in a 5-1 vote.
Millsboro has two hotels that will be affected: Atlantic Inn and avid hotel.
