CURWENSVILLE – At Wednesday’s regular meeting, board member Hildred Rowles, who also serves as the hotel tax committee chairman, informed the Clearfield County Recreation and Tourism Authority board about correspondence between the committee and the county commissioners regarding hotel tax, its collection and the grant program.
Rowles said that the committee directed him to address the commissioners in a letter in November. He wrote that the committee members wished to reinforce its position on the collection of delinquent tax dollars, according to the Dec. 8, 2008 letter.
“The committee and its hoteliers request that the commissioners direct their treasurer to use all legal means to collect all delinquent tax dollars,” he wrote, adding that the delinquent funds not only affect the general fund budget of the Tourism Promotion Agency, but also will directly affect the grant monies available for use. He noted that due to projected reductions in both travel and uncollected taxes that the grant and discretionary funds maybe have to be cut by as much as 25 percent.
Rowles wrote that he was additionally directed by the committee to remind the commissioners of its position on the discretionary funding. He said that it was the opinion of the committee that there should not be discretionary funds.
“The percentage of Hotel Tax dollars set aside should be used for grant funding to assist in the increase in visitors. It is these visitors who will visit and patronize our local businesses,” he said. “. . . (They) help form the base of this tourism economy. This is the new economy of the county.”
In a letter of response, the commissioners said that they were “sympathetic” with the committee’s concerns about the collection of delinquent hotel tax dollars and will urge the treasurer and county solicitor to use all means available to solve the problem.
“Please understand, however, that the treasurer is a separately elected official who is independent of our office,” the commissioners’ letter that was dated Jan. 5, 2009 read.
The commissioners also reminded the authority of their position regarding the discretionary funds, stating that they “absolutely” intend to keep the same funds extant.
“They serve as a reservoir of monies to fund additional activities that we believe do enhance the quality of life in Clearfield County with a resultant increase in visitors and patronage of local businesses,” the commissioners stated in the letter.
“We will be sensitive to the authority’s criteria in awarding those same funds. However, the decision as to whom they are awarded to will ultimately be up to us.”
While the board of commissioners thanked the authority members for their service to the county, they expressed concern that the issue would continually be pushed. They stated if it reached that point, there would be no further compromise on their part.
“Any further dispute over the issue as to whether or not there will be discretionary funds may result in the eroding of what has traditionally been a fine relationship with the county commissioners. (Our office) will also continue to assist the authority in its efforts to foster tourism in Clearfield County with our thanks. However, we would strongly suggest that you not continue to criticize the manner in which our office funds tourism development in Clearfield County,” the commissioners stated.
The commissioners stated that their office receives criticism when a grant is not awarded, not the authority. They said that they ultimately provide the funding and believe that they have the right to determine if a rejected applicant should be funded in the event that they believe their activity benefits tourism.
“We do not intend to raise the issue again from our end. Please understand, however, that, if the authority again brings up the issue, then all grant checks will issue from our office and not from the authority,” the commissioners said in closing.
Peggy Durant, who is a member of the hotel tax committee, said that she was taken back by the commissioners’ letter and its tone.
“I thought that it was threatening and felt like they were trying to intimidate us. I hope that they don’t have that attitude toward the committee and the CCRTA,” she said.
In her interpretation, she said she believed that if the discussion continued, it would just be cut off.
Board member Joan Robinson-McMillen, who also serves as a county commissioner, referenced a previous meeting between authority members and the commissioners. She said that the board was abrasive toward them.
“They kept pushing and pushing, and we pushed back. It’s been brought up and brought up,” McMillen said. She said that Durant possibly misinterpreted their letter and viewed it as threatening, while she wasn’t present for that meeting.
Board member Terry Malloy said that he was at the meeting, which McMillen made reference. He said that he recalled discussions with the previous board of commissioners.
“We would disagree with Rex (Read) and Mike (Lytle) but always left on good terms. We were never told to back off,” he said.
Director Sandy Fink-Barrett said that the previous board of commissioners was adamant that hoteliers have a voice, and that it evolved into the development of the hotel tax committee.
“I don’t think that anyone meant to be disrespectful to anyone,” board member Rita Hahn said of the exchanged correspondence. She said that the discretionary fund originally started at $45,000 but was cut to $30,000 and again to $25,000.
She said that she thought the discretionary fund was getting a “bad image.” She said the grant programs infuse tourism into the economy, and it was important to continue tourism promotion.
McMillen said that the commissioners will follow the same grant application as the authority.
Prior the presentation of the letters, Rowles asked the board members to approve the new grant application and guidelines. He said it was a “unified” application that would be used by both the authority and the commissioners.
Rowles said that they also organized a five-member committee that would review the applications. He said any applications, which were not awarded monies, would be returned to the commissioners.
“I think that we’ve made a progression, and it’s excellent,” board chairman Wilson Fisher said.
