Town Council discusses legislation for increased hotel tax to boost revenue

The Middletown Town Council held a special meeting on April 29, 2025, where key discussions centered around transportation for residents and a proposed increase in the hotel tax.

One of the most pressing topics was the need for improved transportation options for residents, particularly the elderly. A council member expressed concern that the current plans assume all tenants have access to automobiles, neglecting those who do not. They advocated for a transportation system similar to school bus services, emphasizing that the council should have taken steps to address this issue rather than rejecting proposals outright. This sentiment reflects a growing concern among residents about accessibility and support for vulnerable populations in the community.

Another significant discussion involved a resolution to enable state legislation that would allow the town to increase the hotel tax by up to 2%. This initiative aims to generate additional revenue to support local programs and address the financial burden that tourism places on property taxpayers. The council highlighted the importance of finding non-tax revenue sources to fund community needs, particularly as tourism impacts local infrastructure and services.

During the meeting, a resident voiced support for the hotel tax increase, noting the necessity of generating revenue for town projects. They also raised questions about the taxation of short-term rentals, which currently do not contribute to the hotel tax. The council clarified that while short-term rental operators would pay a portion of the proposed tax, discussions are ongoing regarding their overall tax responsibilities.

In conclusion, the meeting underscored the council's commitment to addressing community needs through improved transportation options and potential new revenue streams from tourism. As these discussions progress, residents can expect further developments that aim to enhance the quality of life in Middletown.