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Candidates urge changes to Halloween-driven tourism and short-term rentals to favor residents
Summary
At the Ward 2 forum candidates criticized Salem's heavy reliance on Halloween tourism and called for better revenue capture from visitors, regulation of short-term rentals and incentives for resident-serving businesses.
Three Ward 2 candidates told an audience at Hamilton Hall that Salem's Halloween-driven tourism has become outsize and that city policy should serve residents' needs first. John Newhall said Halloween has “become the primary thing that draws our incredible amounts of tourists” and urged the city to prioritize resident needs. William Legault and Andrew Smith echoed calls for better balance between tourism revenue and year-round services.
Why it matters: Candidates said the focus on tourism can squeeze locally useful businesses and housing, contribute to parking and traffic pressures, and fail to deliver proportional municipal revenue. “The city should not be making $80,000” in Halloween-related receipts, Newhall said, arguing the city should capture a larger share of visitor spending.
Policy ideas proposed: Candidates suggested several tools: a city-issued pass for paid Halloween attractions (with a municipal cut), tighter enforcement of short-term rental taxes, and incentives for businesses that serve residents. Newhall proposed identifying and taxing tour operators more aggressively and requiring guide badges so residents can identify tour companies. Legault said rezoning certain properties to commercial use — an example he cited was a Winter Street project — can raise tax revenue while acknowledging such rezoning may remove a housing unit.
Short-term rentals and hotels: Candidates said the city lacks clear counts and enforcement for short-term rentals. Newhall called for identifying how many short-term rentals are registered, whether they are inspected and whether they pay the tourist/inn tax. Legault pointed to the proposed AC Hotel and other large hotel projects and asked whether the city should be prioritizing tourists when housing is scarce. Smith said hotels can have a place but argued the city should also push for residential units when large developments are proposed.
Local businesses and economic mix: Candidates backed targeted help for small, resident-serving businesses — grants, loans and simplified permitting were suggested — to rebalance the retail mix downtown and keep everyday services available.
Ending: All three candidates said they favor keeping tourism while making it “work for us as residents,” with a mix of regulation, targeted revenue collection and incentives to support local businesses and housing.
