It will be more expensive to rest your head in a Rockland hotel if the county executive”™s planned cuts and tax increases are approved by lawmakers.
In a meeting with the media July 26, C. Scott Vanderhoef outlined the closings, cutbacks and increases he will present to the Rockland County Legislature to close a $50 million budget deficit. Among them is a 3 percent county bed tax that would be imposed on hotels and motels.
Greg Parseghian, general manager of his family owned Best Western Nyack on Hudson and who chairs the Rockland Business Association”™s Hospital and Tourism Alliance, is more than displeased with Vanderhoef”™s decision to tack another tax onto his bill.
“It all depends on how the funds are used,” Parseghian said. “If it is used for tourism promotion that will generate more visitors and bring in more people to shop and spend money, then it”™s good for the overall health of the business and residential community.
“This is a punitive tax on an industry that as a whole has been struggling as it is. It”™s bad enough our fees have all gone up ”“ for fire inspection, the health department inspections and operating costs. We are a very labor-intensive industry, so we really cannot afford any more costs or have income reduced.”
For Al Samuels, president of the Rockland Business Association, the bed tax may be necessary because of the dire financial circumstances in the county ”“ but not at the expense of losing tourism revenue and the competitive edge it has over northern New Jersey hotels at its doorstep.
In a letter to the county Legislature, Samuels suggested if the 3 percent bed tax is enacted, half of the revenue should go to travel and tourism and for attendance at industry trade shows both domestically and in Canada to promote tourism.
Under Vanderhoef”™s cost-cutting measures, Rockland County Economic Development would handle tourism for the county. Since most of Rockland”™s tourism efforts have been web-based, Samuels believes it would become even more so under Vanderhoef”™s proposal.
Rockland”™s tourism industry needs a “boots on the ground approach,” Samuels said. “New York state, facing a $10 billion shortfall, developed a budget without new taxes,” Samuels said. “Rockland needs to do the same.”
“If the county is going to impose a bed tax, let it have logic to it, not be discriminatory,” Parseghian said. “It should help build the lodging and hospitality industry. We have great tourism venues ”“ great golfing, beautiful arts and crafts villages, a brand new minor league ballpark, just to name a few. For every dollar spent on a hotel stay, the Automobile Association estimates seven dollars are spent on food, shopping and entertainment. That is an enormous multiplier effect.”
