SEELEY LAKE
Some residents of Seeley Lake are pushing for a 3 percent resort tax on "luxury items," as a way tourists can share the financial burden of maintaining the town's infrastructure. The proposal is not a new one, but it has gained some momentum since the state designated Seeley Lake a resort area several months ago. "We are trying to make it affordable to local residents, and one way is sharing that burden with the thousands and thousands of people who use our services," said business owner Addrien Marx. Backers of the levy hope to circulate petitions and, with enough support, place the proposal before voters in November. Levy supporters say the growing community will need money to pay for improvements to the town's water and sewer system. Currently, everyone has individual septic tanks, and some say there needs to be a community sewer system to protect the lake. But it's not just tourists who will pay the resort tax. The levy would apply to anything tourists might buy, including alcohol, tobacco, food from restaurants, gift shop items and sporting goods. Excluded are essential items such as groceries and gas. Six Montana communities have adopted a resort tax: Virginia City, St. Regis, Big Sky, Whitefish, West Yellowstone and Red Lodge. Destination resorts like Big Sky generate some of the highest resort tax revenues in the state. In 2007, Big Sky's tax yielded about $2.6 million, all of which stays in the small mountain town. Big Sky commits $500,000 annually to pay off bonds secured years ago to pay for upgrades and construction of their sewer and water system. The rest of the money pays for maintenance of public parks, construction of new trails, lighting in the downtown district, fire services and more. In St. Regis, $162,000 was generated in 2007, with about $69,000 of that helping operate the sewer system and keep monthly sewer bills to $15 for the town's many low-income households, said Mineral County Commissioner Judy Stang. "Without (a resort tax), St. Regis probably wouldn't have the sewer," she said. "Little towns have no way to get money for projects because the county doesn't have money to give them." (AP)
