MENU

Sections

  • Home
  • About
    • Contact Us
    • Editors and Writers
    • Join our Mailing List
    • Letters to Editor Policy
    • Advertising & Underwriting
    • Code of Ethics
    • Privacy
    • Talbot Spy Terms of Use
  • Art and Design
  • Culture and Local Life
  • Public Affairs
    • Ecosystem
    • Education
    • Health
    • Senior Life
  • Community Opinion
  • Sign up for Free Subscription
  • Donate to the Talbot Spy
  • Cambridge Spy

More

  • Support the Spy
  • About Spy Community Media
  • Advertising with the Spy
  • Subscribe
May 22, 2025

Talbot Spy

Nonpartisan Education-based News for Talbot County Community

  • Home
  • About
    • Contact Us
    • Editors and Writers
    • Join our Mailing List
    • Letters to Editor Policy
    • Advertising & Underwriting
    • Code of Ethics
    • Privacy
    • Talbot Spy Terms of Use
  • Art and Design
  • Culture and Local Life
  • Public Affairs
    • Ecosystem
    • Education
    • Health
    • Senior Life
  • Community Opinion
  • Sign up for Free Subscription
  • Donate to the Talbot Spy
  • Cambridge Spy
2 News Homepage

St. Michaels May 4 Budget Talks to Focus on Marketing, Trash

May 4, 2021 by John Griep

This video is about 33 minutes long.

St. Michaels commissioners will hold a budget work session this afternoon, as the town grapples with two major issues — marketing and trash.

A suggestion to drastically cut the amount of money the town spends on marketing has drawn heated opposition from business owners and tourist attractions.

The debate also has led to two commissioners publicly apologizing to two local business owners for suggesting they had supported the cuts to the town’s marketing budget.

The money for marketing and advertising comes from two revenue sources — the accommodations tax and the amusement and admissions tax.

The accommodations tax is paid by guests staying at hotels, B&Bs, inns, and short-term rentals. The money is collected by the lodging industry and then paid to the county.

Talbot County keeps up to 5% for administrative expenses, then sends the tax revenue to the towns in which the tax was collected.

Any accommodations tax paid for lodging that is outside the incorporated towns is kept by the county, which has dedicated its use for economic development and tourism. However, the county law allows towns to use accommodations tax revenue to “alleviate costs related to tourism.”

The amusement and admissions tax is “imposed on the gross receipts from admissions, the use or rental of recreational or sports equipment and the sale of merchandise, refreshments or services at a nightclub or similar place where entertainment is provided,” according to the state comptroller’s office.

St. Michaels typically has used about 75% of the revenue from those two taxes to pay for town services related to tourism, including trash pickup and police. The town has used the remaining 25% for advertising and marketing.

During an April 16 budget session, Commissioner Tad DuPont, the town’s treasurer, suggested the proposed marketing budget for Fiscal Year 2022 be cut from $140,000 to $40,000.

Several business owners spoke against any cut during the town’s April 27 meeting, noting advertising is responsible for making the town and its attractions so well known.

In addition to the marketing budget, commissioners also are awaiting information on whether it would be more cost effective to out-source trash collection to a private firm.

During the April 27 meeting, Donna Hunt, a former town commissioner, said that issue had been extensively studied in the past and the town determined costs would be lower and services would be better if town crews collected trash.

Hunt noted that a private firm likely would pick up trash later in the day, meaning trash containers would remain on the streets and sidewalks all day until residents returned home from work and were able to put the containers away.

Today’s virtual budget work session is set to begin at 5 p.m. For information on how to view and/or listen to the meeting by computer or phone, click here.

The Spy Newspapers may periodically employ the assistance of artificial intelligence (AI) to enhance the clarity and accuracy of our content.

Filed Under: 2 News Homepage Tagged With: accommodations tax, advertising, budget, commissioners, marketing, St. Michaels, tourism

St. Michaels Hard Talk: A Town Debates the Tourism Tax Revenue

April 21, 2021 by John Griep

This video is about 30 minutes long.

A proposed 70% cut to the town’s advertising budget during a recent budget work session has St. Michaels business owners concerned.

During the April 16 virtual session, St. Michaels Commissioner T. Coleman “Tad” DuPont suggested reducing advertising spending from $140,000 to $40,000 in the proposed Fiscal Year 2022 budget.

DuPont, the commission’s treasurer, said the town should not be encouraging more visitors when businesses are unable, due to the COVID-19 pandemic, to accommodate current visitors.

He later suggested the savings could be used to fund other costs associated with tourism, such as an additional police officer and Saturday trash pickup.

The funds for advertising do not come from town taxpayers, but from the accommodations tax paid by guests staying at hotels and other lodging.

Talbot County collects the tax, then disburses it to the towns where the money was collected (after deducting up to 5% for administrative costs).

County law requires towns to use accommodations tax revenue “to alleviate costs associated with tourism.”

St. Michaels currently allocates 25% of its accommodations tax revenue “directly to advertising,” 5% to the volunteer fire department, and the remaining 70% throughout its budget “to help support the cost of tourism to the town, ie. Personnel, restroom maintenance, weekend trash pickup, a small portion of dump fees, park maintenance, a portion of Liability Insurance, infrastructure repairs and maintenance, a portion of capital improvements, etc.,” Town Manager Jean Weisman said in response to an information request.

If the town commissioners were to adopt DuPont’s proposal, St. Michaels would only be committing about 8 percent of its accommodations tax revenue directly to advertising to promote tourism to the town.

DuPont’s proposal led to a lengthy and occasionally heated discussion among town commissioners, with Vice President Jaime M. Windon questioning such a drastic cut.

Windon said town business owners would be “aghast” to hear the proposal.

In an April 19 email, Kim Hannon, St. Michaels Business Association president, informed members about the proposed cut.

“Hi, I am writing to let all of you know that the Commissioners of St. Michaels have been discussing slashing the annual advertising budget from $140,000 to $40,000! YES, slashing it $100,000 – 70% CUT,” Hannon wrote.

Town commissioners did not reach a consensus on the cut during the April 16 budget work session and are waiting to learn how much it would cost to outsource trash pickup before setting the next work session.

A public hearing on the budget will be held after it is officially introduced.

The town’s current draft budget, which includes other changes town commissioners accepted by consensus during the April 16 work session, is below.

St. Michaels FY22 Budget 4-16 DRAFT

The Spy Newspapers may periodically employ the assistance of artificial intelligence (AI) to enhance the clarity and accuracy of our content.

Filed Under: 1 Homepage Slider, 2 News Homepage, News Portal Lead Tagged With: accommodations tax, advertising, budget, business, Economy, St. Michaels, tourism

Copyright © 2025

Affiliated News

  • The Chestertown Spy
  • The Talbot Spy

Sections

  • Arts
  • Culture
  • Ecosystem
  • Education
  • Mid-Shore Health
  • Culture and Local Life
  • Shore Recovery
  • Spy Senior Nation

Spy Community Media

  • Subscribe
  • Contact Us
  • Advertising & Underwriting

Copyright © 2025 · Spy Community Media Child Theme on Genesis Framework · WordPress · Log in