Essex council defers decision on municipal accommodation tax

Essex council has deferred its decision on a new tourism tax until the next term of council.

Essex council has deferred a proposed municipal accommodation tax (MAT) to the next term of council.

The proposed MAT would have added a 4 per cent fee to hotel and short-term rental stays paid by visitors.

It was estimated the tax could raise about $150,000 annually, split between the town and Tourism Windsor-Essex Pelee Island (TWEPI) to fund tourism, events and amenities while easing pressure on taxpayers.

Deputy Mayor Rob Shepley introduced to defer the decision to the next term to allow more time for public input.

“It’s best when the new term of council is in and they can sit down and they’ll have had that time to engage with residents and the business owners through the campaigns, and then when they either pass or don’t pass this in the next term of council, they’ll have a full understanding and backing of the community,” he said.

As for his own view, Shepley said it could still change depending on what he hears from residents.

“From reading the report and what I have read, I’m I’m probably more leaning in support of it. I certainly see the good of it, and I can see how it would be very beneficial to the town, however while I’m out knocking on doors I hear a different push from the residents and business owners, I could certainly take that into consideration too when I make that decision,” said Shepley.

Ward 3 Coun. Jason Matyi said Essex shouldn’t rush ahead of neighbouring towns.

“Already our closest neighbours already opted out of this, so if the other areas in Essex opt out of this then all of a sudden we’re going to become four, six, 10 per cent higher than anybody else and I think that could really negatively impact our tourism business that we already have,” said Matyi.

Lakeshore and Amherstburg are still considering a municipal accommodation tax, while LaSalle implemented one last summer.

Tecumseh introduced the tax for hotels only, and Kingsville opted not to pursue it.