Dear WH&LA Lodging Member:
The state's Joint Finance Committee is in the process of negotiating their final State Budget components before sending the package to both houses of the state legislature for what is expected to be minimal changes before heading to the Governor for final approval (likely with some vetoes prior).
There are a few key issues we are asking you to express your opinions on with Joint Finance Committee (and your state legislators) within the next few days:
TOLLING
As you likely have read, the Governor and legislators are considering the creation of a tollroad system in Wisconsin as a funding mechanism for transportation. The WH&LA has taken a position of opposing tolling in Wisconsin, and we are asking you to weigh in. Here are the primary reasons for opposing tollroads in our state:
- We oppose barriers to out-of-state as well as in-state travelers coming into or traveling across Wisconsin. Travelers spend money at lodging properties as well as a wide range of businesses during their stay, money which generates state sales tax and local room tax revenue important to state and municipal budgets as well as to tourism promotion at the local level. The lodging industry alone generates over $104 million each year in state sales tax revenue, which could be reduced with this action.
- The creation of tollroads would push more traffic to side roads, which would be slower and the new congestion could create the need for increased transportation funding to support the increased traffic. Congestion and longer travel times not only frustrate travelers coming to our state (a deterrent to coming here), but also Wisconsin residents trying to get to work in a reasonable and predictable timeframe.
- Tourism and other businesses currently located near I-94 exits could be significantly impacted with a tollroad with less exits - making them unable to survive without the current convenient access to travelers.
- The high investments needed for creating a tollroad system would take too many years to develop to address many of the transportation funding needs we see now, and the added costs would have to be funded up front, adding a new burden without new revenue.
We ask for you to weigh in on your opposition to a new Tolling system in Wisconsin.
ELIMINATION OF THE PERSONAL PROPERTY TAX
The WH&LA is a member of the "Coalition to Repeal Wisconsin's Personal Property Tax" with 40 other business organizations who are pursuing an end to this local tax in many municipalities. Reasons include:
- Wisconsin is the only midwestern state to still allow such a tax on business property each year
- Personal Property Tax is a repetitive tax on purchases made by businesses that already paid a sales tax when the equipment or items were initially purchased.
- Personal Property Tax is a deterrent to businesses considering locating in our state, as it is one more cost that needs to be budgeted each year.
- The various proposals under consideration either minimize or eliminate the loss of revenue from this tax for municipalities, lessening or eliminating the impact on municipal budgets.
We also ask that you weigh in on your support of the Elimination of the Personal Property Tax. See the Coalition's memo on this topic here: http://bit.ly/2tlrhRA.
AIRBNB/ "SHORT TERM RENTALS"
We ask members to include in their email to Joint Finance Committee Members the following request:
Airbnb and other online platforms selling lodging to the public need to be required to not only collect and remit state sales tax, but also local room tax where it applies. They should be required to be transparent enough to enable state and local agencies to have the data needed to ensure that lodging rented out to the public for a fee at their websites are properly inspected and licensed to protect the public and also to provide a level playing field with other law-abiding licensed lodging properties around the state.
WHO TO SEND YOUR EMAIL TO:
Please send your comments to each of the following legislators, in addition to your own state Senator and state Assembly Representative. Your assistance is greatly needed and appreciated!
Thank you for your assistance and support!
