Resolution For Hotel Tax Amendment Gets Support Of Four City Commission Candidates
Could tourism be a key factor in this fall’s local elections? Brad Lystra and Andrea Stalf hope so.
Lystra and Stalf are the local residents pushing for a new form of “visitor lodging tax” in northern Michigan – one that would see more revenues from tourism flow into the community to pay for things like infrastructure, public safety, and environmental protection. Now the pair have penned a resolution calling for “legislative action” to make such a lodging tax possible – and garnered support from four of the seven candidates seeking seats on the Traverse City commission.
Beyond property and sales taxes, local lodging properties with at least 10 units also pay a 5 percent assessment to Traverse City Tourism (TCT). Those assessment dollars then fund the majority of the organization’s budget, including employee salaries, TCT-hosted events, and tourism promotion. Lystra and Stalf want to see a shift to the tax structure that would put more money from hotels, motels, and short-term rentals into local coffers, either in the form of a higher tax or a profit-sharing model with TCT. As The Ticker reported in May, though, such tweaks would actually require a change to state law.
Lystra and Stalf have encouraged state lawmakers like Betsy Coffia, John Roth, and John Damoose to sponsor or support such a bill, but believe the ask would be more powerful coming directly from city and county leadership. Asking city commission candidates to sign a resolution of support for the lodging tax concept is a step they hope will lead to such an outcome.
“This candidate resolution is an important next step, sending Lansing the message that our current and future leaders will pursue a fair allocation of hotel tax dollars to local infrastructure,” Lystra and Stalf told The Ticker in a written statement. “This summer we met with city leadership, county commissioners, state representatives, owners in the hospitality sector, and even national pollsters, among other influencers. At every turn we have been encouraged by their positive feedback and strategic help, and we are confident we’ll have the allies we need to get this legislation passed at the state level so that we can return millions upon millions of dollars back to the people of Traverse City and Grand Traverse County.”
The Ticker reached out to all seven city commission candidates to find out why they chose to sign (or not sign) the resolution. The full resolution can be read here.
Signees
Amy Shamroe (mayoral incumbent, seeking re-election): “For a few years now, I have been talking to people in Lansing and testifying that we in Traverse City need to get a piece of the pie when it comes to tourism. Our strategic plan clearly states that sustainable tourism is a high priority for city residents. The plan proposed here would allow for the city to collect some revenue from tourism to pay for needed infrastructure and city maintenance without taking away from our hospitality industry businesses. The time has come.”
Tim Werner (mayoral candidate): “I support this effort because visitors to Grand Traverse County create an additional burden on our first responders, our streets, our parks, and our watershed. It is perfectly reasonable that these visitors cover the costs of the additional burden.”
Mary Mills (commission candidate): “I support this resolution because I believe the tourism industry should play a role in maintaining Traverse City’s infrastructure. We welcome thousands of visitors each year, and while tourism is vital to our economy, it also places a significant strain on our roads, public services, and overall infrastructure. It’s only fair that some of the revenue generated by tourism goes back into sustaining the city that makes it all possible.”
Peter Schous (commission candidate): “Visitors place extra demands on local infrastructure – such as roads, parks, utilities, and public spaces – while not paying into the local tax base like residents do. A hotel or visitor tax helps ensure that those benefitting from or contributing to this demand help fund improvements and maintenance, ultimately reducing the financial burden placed on local taxpayers. It can also help preserve the quality of life for residents and maintain a positive visitor experience by funding projects that keep Traverse City attractive and functional.”
Non-signees
Lance Boehmer (commission candidate): “I want to be clear from the start: not signing this document doesn't mean I oppose the concept. I'm very interested in exploring creative funding solutions for our infrastructure and public safety needs. My concern was with the process. As a candidate who's committed to transparent, accountable governance, I couldn't sign a document that hadn't been through our city's established public vetting process. Good policy requires public hearings and community input. That's how we ensure all voices are heard and considered. I believe Brad and Andrea are raising important questions about funding options, and I'd encourage them to present this through the city commission's formal process.”
Laura Ness (commission candidate): “As a candidate for city commission, I absolutely support exploring innovative tools, including a visitor tax, to help fund the city’s critical infrastructure and public safety needs. That said, any new tax proposal must be carefully studied and developed through a transparent, community-driven process with meaningful input from residents, businesses, regional partners, and elected officials to ensure it truly serves the community as intended. If elected, I will evaluate initiatives like this with a disciplined approach, weighing the details, potential benefits, and alternatives before endorsing a specific model or plan.”
Ken Funk (commission candidate): “I see a lot of upside potential in diverting some of the revenue from the TCT ‘bed tax’ into public services and infrastructure demands. It makes sense that the organization advertising and marketing Traverse City and Grand Traverse County would want to help maintain the services that the people who live here year-round rely and depend on. However, right now I am simply a city commission candidate with an opinion, and signing a resolution as a candidate at this point doesn't carry any weight, which is why I decided not to sign. I think bringing TCT to the table and discussing options about how they could contribute, both now and in the future, would be an effective first step to take.”
Photo (clockwise from top left): Amy Shamroe, Tim Werner, Lance Boehmer, Kenneth Funk, City of TC logo, Peter Schous, Laura Ness, Mary Mills