Polson commissioners discuss tourist surcharge

Linda Sappington/Valley Journal

Tourist surcharges, like those who visit events like last year's Cruisen By The Bay car show, are being considered by the Polson City Commissioners.

By Berl Tiskus
Valley Journal
POLSON — At the Monday night meeting the Polson City Commissioners listened to new Polson City Manager Todd Crossett present information about the process involved in establishing a tourist surcharge. Crossett had researched Whitefish’s model since they do have a tourist surcharge in place.
While Crossett did not recommend Polson just copy the Whitefish ordinance, he said, “It’s a reasonable place to start.
“It’s not my job to make any sort of decision,” Crossett added, “My job is just to lay out the options.”
Communities like Whitefish and Red Lodge that depend on tourism dollars put on these surcharges so tourists can help pay for the infrastructure they use and help maintain it.
Since Polson is already designated a resort community, a resolution to implement a tourist surcharge would need to be passed to get a referendum on the November ballot. The tax may not exceed three percent.
The timeline did not give the city commissioners at lot of time since a resolution would need to be finalized by Monday, Aug. 17. August 20 is the deadline for getting issues on the November ballot.

One of the reasons mentioned for the haste is that a community must be under 5,500 in population when the tourist surcharge is implemented. With the census coming up in 2010, Polson’s stated population will increase although Commissioner Mike Lies did not think the population would be over 5,500.
During discussion on the matter Commissioner Jules Clavadetscher said since Polson is on the reservation, the Confederated Salish and Kootenai Tribes need to be consulted to see if they would collect the tax.
Clavadetscher also suggested developing an ad hoc committee of businesses so word gets out to the community.
Issues such as who would be exempt, what items would be exempt, what items would be taxed, what the money would be used for, and who collects and administers the money all need to be hammered out. By law 5 percent of the funds generated must be used for tax relief, however.
Community members asked if the tax would be limited to a certain time of the year.
Community comments included concerns about the time frame, whether Polson is more comparable to St. Regis than Whitefish, boat rental businesses not owned by tribal members and exempting Sanders County residents since there are lots of vehicles with Sanders County plates at Safeway, Super 1 and Wal-Mart.
After discussion and comments the commissioners unanimously voted to schedule a workshop meeting on Monday, Aug. 10 at 6 p.m. to review a draft resolution outlining the details of the surcharge. The public is invited to attend.
A public hearing on the surcharge was scheduled for Monday, Aug. 17 at 6:30 p.m.
The city commissioners agreed to suggested ordinance language allowing residents of Polson to keep chickens within the city limits. Commissioner Bruce Agrella voted against the issue.
The suggested ordinance will allow up to six hens in each household. Chickens would need to be inside a structure at night and in a fenced area in the daytime. The completed ordinance will be presented at the next council meeting on Aug. 17 for the commission to approve or disapprove.
Raising chickens to provide eggs is part of a nationwide trend, Crossett said, “of people seeking to become more closely connected to their food supply.”
“My suggestion is that since we already have people who are raising chickens in the city, we need to deal with this …” Crossett said.
In other business the commissioners tabled the second reading of ordinance #648 regarding utility billing administrative fees for two weeks for clarification. At issue is whether or not the billing should go under the tenant’s name, whether the landlord is liable if the tenant does not pay his or her water bill and how the amount of deposit.
Ordinance #649, second reading, carried unanimously. The ordinance is a zone change to Polson development code 10.05 acres at 2203 Hillcrest Drive from medium density residential zoning to mixed used residential zoning.
Other agenda items approved by the commissioners included:
• Authorization to sell one half interest in property across the street from the Polson Bay Golf Club, COS 4014 Tract 2-A Less Highway. The selling price was $56,500 of which the city will get half.
Commissioner Elsa Duford abstained from the vote, and Commissioner Jim Sohm voted against the sale.
• Authorization for the city manager to negotiate terms of the sale of the golf club liquor license to Papa Don’s.
Although the city already had a signed contract with Papa Don’s for $55,000, the State of Montana Liquor Department will not agree to the City of Polson holding the note for Papa Don’s and allowing the restaurant to pay each month.
• The final June cash report and the interest earnings report.
Crossett reported during city manager comment time that he is working with the county on funding to tie into the country trail system.
The Polson Business Community donated $4,000 from the Flathead Cherry Festival to be used for the stair project leading from down the hill to Riverside Park.
The next meeting of the Polson City Commissioners will be the workshop meeting on the tourist surcharge to be held on Aug. 10 at 6 p.m.