New Marshall County treasurer re-signs confidentiality agreement with Indiana Department of Revenue; commissioners seek clarity on innkeepers tax uses

Wendy Tapia, newly sworn Marshall County treasurer, asked commissioners to approve a confidentiality agreement with the Indiana Department of Revenue so her office could receive proprietary innkeepers-tax reports and reconcile monthly deposits.

"The innkeeper's tax is proprietary; it cannot go any further than the treasurer," Tapia said, explaining the agreement is required for the Department of Revenue to speak to the treasurer's office about detailed filings.

Commissioners voted to approve the confidentiality agreement and authorized the board president to sign the paperwork. During discussion, commissioners asked for a staff memo explaining how the county currently administers innkeepers-tax revenue, what statutory uses apply and the economic mechanics of the county's tourism funding structure.

The treasurer and staff described the existing structure: the county tourism commission, a department of the county, operates with a statutory cap (5% is the statutory maximum rate) and draws funds twice a year under a contract with a nonprofit tourism bureau. The county's State Board of Accounts was reported to be auditing the tourism commission for last year.

Why it matters: Innkeepers-tax revenues are earmarked for tourism-related purposes, but commissioners said they want a clear memo before budget season explaining whether funds legally must be given to the tourism commission or whether any portion can be used for other allowable statutory purposes.

Next steps: County staff will prepare a memo outlining statutory requirements, the current distribution mechanism, and what permissible alternatives, if any, exist for innkeepers-tax revenues before the next meeting.