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Municipal leaders back higher local-option lodging, meals and vehicle excise surcharges to shore up budgets

Joint Committee on Municipalities and Regional Government · October 28, 2025
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Summary

Multiple mayors and town managers urged the legislature to allow higher local‑option taxes — including a 1% increase in lodging tax, raising the meals‑tax ceiling to 1.0%, and an optional 5% vehicle‑excise surcharge — arguing the revenue would help avoid layoffs, fund infrastructure and stabilize budgets for towns dependent on tourism.

Municipal officials told the joint committee the Municipal Empowerment Act’s proposed local‑option revenue tools would provide timely relief in communities struggling with constrained property‑tax capacity and rising costs.

Plymouth account manager Derek Brindisi said a 1 percentage‑point increase in the local lodging tax would generate an…

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