MARSHALL COUNTY — The Marshall County Commissioners heard from the Culver Lake Maxinkuckee Visitors Center regarding the County Innkeepers Tax; the distribution of which is overseen by the Visit Marshall County Board of Directors.
Karen Shuman, representative of the Culver Visitors Center and Culver Redevelopment Commission, and Marty Oosterbaan of the Culver Redevelopment Commission approached the Commissioners to request that they review the County Innkeepers Ordinance to ensure that it is in alignment with Indiana Code.
According to Shuman the current membership on the Visit Marshall County board does not necessarily represent the entire county. She noted that the board is responsible for making decisions based on the Comprehensive Plan of the County, the recreational facilities, and ensuring that tax dollars are fully represented in the communities that generate that tax revenue.
The Commissioners were supplied with a copy of the current ordinance along with the suggested ordinance; that ordinance was also provided to Attorney Jim Clevenger. He indicated that the draft is similar to one he wrote previously.
Oosterbaan summarized concerns regarding the current ordinance. “It is a 31 year ordinance and since then the state law has changed. Also the tourism economy in this county has changed as well. The Inn Keepers Tax generated under that ordinance is now in excess of $500,000 a year. It’s obviously a significant amount of money that is being managed.”
He noted that one of the issues with the current ordinance is that two board members are appointed by non-elected officials through local Chambers of Commerce.; thus private citizens are appointed by non-elected officials who are managing tax dollars. “That’s probably not ideal.” stated Oosterbaan.
He also mentioned that the current ordinance has a political balance requirement which is no longer a requirement under the new State Statute.
Oosterbaan added that the State Law requires that the majority of the board be engaged in the business of tourism, convention, or hospitality. He suggested that the current ordinance parcelling out the appointments to municipalities has made compliance with the standard a challenge. The recommendation in the new ordinance is that the Commissioners make the majority of appointments to ensure compliance.
The State Law also requires that the largest municipality is given authority to select the number of board members commensurate with their population; Plymouth would have one member on a five member board in Marshall County.
Another recommendation in the proposal of the new ordinance as that a reporting requirement to the Commissioners be established and upheld.
The Commissioners were provided with some names of interested individuals along with letters of interest with the understanding that no appointments would be made during the meeting. For this ordinance to change there will be multiple readings, legal advertising, and a public hearing.
“We do have some very highly qualified people in the county that really understand this business that we think should be considered at the appropriate time should you decide to go that way.” stated Oosterbaan.
Attorney Jim Clevenger updated the Commissioners that the current ordinance dates back to 1991 and appoints seven members – and as was pointed out several are appointed by Town Council, others are appointed by Chamber of Commerce. He noted that the board must be comprised of an odd number. He confirmed that the majority must be engaged in / or promoting tourism, convention, or hospitality business. Attorney Clevenger informed the Commissioners that the current Ordinance is in need of updating because the current ordinance does not comply with current state statute. He also confirmed that the existing board does not comply with current state statute.
The proposal recommends a five member board, four members appointed by the Commissioners and one appointed by the City of Plymouth. The proposal also recommends that applications be submitted for review for appointment.
City of Plymouth Sean Surrisi informed the Commissioners on behalf of the City of Plymouth that the City is in support of the changes. He added that he appreciated the addition of the application process for appointments.
Matt Hovermale, General Manager and part owner of Swan Lake, a large contributor of the Inn Keepers Tax, also indicated support for the updated ordinance.
President Stan Klotz validated that a few entities are generating the majority of the funds; and he did agree that elected officials should appoint board members – but he wanted to see representation from each major city and town (Plymouth, Bremen, Bourbon, Argos, and Culver) appoint, or at least recommend, their member to the board and ensure they follow state and local guidelines. He noted that it is called “Marshall County Tourism as a whole” and emphasized that while not all entities are generating the same revenue – everyone is bringing something to the table.
A public hearing will be held in January to comply with the 30 day advertising requirement. The public is welcome to offer input to the Commissioners in the mean time. Applications for consideration for board appointments will not be accepted until after approval of an updated ordinance.
Later during the same meeting President of the County Council Jesse Bohannon and Councilwoman Nicole Cox approached the Commissioners and requested that the Council be allowed to make one of the appointments to the Visit Marshall County Board of Directors once the ordinance is updated.
Bohannon noted that it is the Council that authorizes the collection of the Inn Keepers Tax and wants for the board to be representative of all units of government not solely the Commissioners. He suggested that a seven member board would allow the other municipalities to make appointments and create two additional seats allowing the Council’s appointee; but was willing to appoint one of five.
Bohannon expressed concern that when a board is created the Commissioners hold the majority of the appointments.
Commissioner Kevin Overmyer responded, “We are the Executive Branch of Government.”
Vice President Mike Burroughs stated, “It’s State Statute.”
Bohannon agreed that the Commissioners could set up the board according to their will but it is the Council that authorizes the collection of the tax repeating a desire to have authority over one appointment.
Attorney Clevenger responded that State Statute establishes that the County Executive makes the appointment.
Bohannon stated that the Commissioners could create the ordinance to allow the Council authority over one appointment.
However if the Commissioners proceed with the creation of the new ordinance they will have to ensure that it complies with the State Statute.
Bohannon concluded, “I”m just saying from a transparency perspective the division of power is always good. It does always give us some concern when every board that we create around here the Commissioners end up having control of the board. That’s all I’ve got to say. Thank you guys very much.”
Upon email request to Director of Visit Marshall County Jessica Beatty, a current list was provided of the Board of Directors appointed by their respective entities:
Town of Argos – Mark Vanderweele – Economic Development
Culver Chamber of Commerce – Katherine Wehmeyer – Innkeeper
Bremen Chamber of Commerce – Debi Sahlhoff – Events
Town of Bourbon – Kimberly Berger – Bourbon Town Clerk
Mayor of Plymouth- Teressa Wellborn – Retail
Marshall County Commissioners – Vacant
Plymouth Chamber of Commerce – Vacant
Contact information for the Marshall County Commissioners to provide feedback on the proposed ordinance is as follows:
President Klotz – District 1: 574-286-2452
Vice President Burroughs – District 2: 574-780-3409
Commissioner Overmyer – District 3: 574-952-0852
