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James Island Small Business Council recommends $5 base increase to business license fees
Summary
The Small Business Council voted to recommend that Town Council raise the base business license fee by $5 and add $0.20 per $1,000 in gross receipts to offset an estimated $40,000 revenue loss after statewide class changes; the committee framed the change as preserving existing town revenue rather than a new tax.
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The Town of James Island Small Business Council voted to recommend that Town Council adopt modest increases to the town's business license schedule after staff warned that state class reassignments would lower several license classes and cost the town about $40,000 a year.
"This would change it for every time you do your business license," the Chair said while explaining the mechanics of a $5 base increase plus a 20-cent-per-$1,000 adjustment for gross receipts. Council members and business owners discussed examples and how the change would affect market vendors, short-term rentals and landscaping contractors.
Members repeatedly described the proposal as an effort to "maintain" current revenue levels rather than to raise new funds. "We are increasing it to maintain the income," one member said; the Chair added that the town has not adjusted business license fees since incorporation and noted other fee lines that have not been updated in more than a decade.
After discussion the committee made a motion to recommend the fee adjustments to Town Council. The committee conducted a roll-call vote and recorded unanimous support in the transcript; the Chair said she would announce the committee's support at the next council meeting. The recommendation now goes to Town Council for formal consideration and two readings before any change becomes effective.
What happens next: Town Council must schedule readings and approve any amendment to the fee schedule for the change to take effect on the licensing renewal cycle that begins in 2026. The committee asked staff to prepare a concise explanatory statement for business owners in case of questions about the change.
