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COMMITTEE OF THE WHOLE -Minutes 20110208 COMMITTEE OF THE WHOLE – CITY OF MUSKEGO (Approved) MINUTES OF MEETING HELD TUESDAY, FEBRUARY 8, 2011 Alderman Tracy Snead called the meeting to order at 7:03 p.m. as acting Mayor. ROLL CALL Acting Mayor Snead, Aldermen Harenda, Borgman, Werner, Soltysiak, Schaumberg, Fiedler. Also present Deputy Clerk Jill Blenski. STATEMENT OF PUBLIC NOTICE The meeting had been noticed in accordance with the Open Meeting Law. APPROVAL OF AGENDA There were no issues with the agenda items listed. APPROVAL OF MINUTES Ald. Borgman moved for approval of the January 25, 2011 minutes. Ald. Schaumberg seconded; motion carried. NEW BUSINESS 1. ROOM TAX Ald Snead stated that back in July of 2009 the Common Council discussed room tax for when and if a hotel would locate in the city. Since then we’ve had some establishments open up and the question is if they would have to adhere to the same room tax as a hotel. In talking with Mayor Johnson who had talked with Attorney Molter they decided that there are two things that could be done. 1. Leave it as is. 2. Repeal the ordinance from 2009 and revisit the issue. Ald. Borgman stated that he requested the issue be placed on the agenda for discussion. He believes the ordinance was passed quickly in 2009 because a hotel was potentially going to locate in Muskego. He would like to see the ordinance repealed because it will adversely affect the small businesses now operating. A portion of the tax being collected would be going towards advertising Muskego. Muskego Chamber of Commerce Director Kathy Chiaverotti noted that the patron and not the business pays the room tax. Part of the tax is usually used to promote tourism. From her experience with the Chamber, hotels prefer that an ordinance be in place knowing that the room tax is being used to promote the area. Committee of the Whole meeting page 2 February 8, 2011 Tom Sauer owner of a vacation home on Little Muskego Lake stated that he originally had raised his rate to cover the room tax. In an attempt to keep his rate affordable with the current economy he has lowered his rate and would pay the tax out of pocket and not pass this cost onto his renters. After discussion it was decided to repeal the ordinance and revisit it if and when a large hotel/motel would locate in the city. Ald Borgman moved to repeal Ordinance #1302. Ald Schaumberg seconded; motion carried. ADJOURNMENT Ald. Fielder moved to adjourn at 7:18 PM. Seconded by Ald. Schaumberg, motion carried unanimously. Minutes Transcribed by Cindy Schweitzer