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Erie County commissioners question bed tax split with Ottawa County, call for accounting of tourism funds
Summary
Commission President Shenigo asked county staff to obtain Ottawa County bed-tax projections and requested a formal, itemized report from the Ottawa County Auditor after raising concerns that shared tourism revenues and LESI contributions may be uneven between counties.
President Shenigo raised concerns about how Erie County’s bed-tax revenue is being calculated and allocated, saying the county’s 1% share is estimated at about $2 million and the total bed-tax budget estimate is roughly $4.5 million for the fiscal year.
Shenigo said approximately $500,000 of Erie County’s projection depends on Ottawa County’s share of lodging taxes and questioned whether Ottawa County contributes proportionally to regional tourism efforts such as Lake Erie Shores and Islands (LESI). He asked County Administrator Hank Solowiej to gather Ottawa County’s projected bed-tax receipts and to request a formal accounting from the Ottawa County Auditor showing how their lodging-tax funds are spent.
County Administrator Hank Solowiej explained that Erie County did not stripe county roads in 2024 and provided budget context for several items discussed at the meeting, but Shenigo’s request focused on transparency around shared tourism revenue and representation on LESI’s governing board.
Shenigo noted that Erie County allocates funding to LESI and suggested that if Erie County contributes more than Ottawa County, Erie should have greater representation on LESI’s board. The commissioners also discussed the Visitors and Convention Bureau Welcome Center lease, asking staff to investigate reports that a long-term (99-year) lease may have a monthly payment as low as $1,500 and whether the lease terms are appropriately priced.
Perkins Township resident Rick Scheel, during public comment, asked for more transparent accounting of how Erie County contributions to the Greater Sandusky Partnership (GSP) are used. Solowiej said Erie County funds GSP indirectly through the Erie County CIC and that direct contracting between the county and the private GSP is not legally permitted. Shenigo added that LESI contributed $350,000 to GSP in 2024. Scheel said he will contact GSP directly to request further information.
The board asked staff to obtain specific financial projections and an itemized accounting from Ottawa County and to report back; no formal action on LESI representation or the Welcome Center lease was taken at the meeting.
