Lake Santeetlah – Facing the end of its only funding source, the Town of Lake Santeetlah’s Tourism Development Authority board scrambled to spend the $37,000 or so that remains in the authority’s bank account.
Earlier this month, the Town of Lake Santeetlah town council voted 3-2 to reduce the town’s visitor occupancy tax from 3 percent to zero, effective July 1. That will effectively defund the authority, although it will continue to exist into the foreseeable future while it ties up loose ends including spending remaining funds.
The Lake Santeetlah TDA board met Feb. 24 in a hastily-called meeting and according to board Chairwoman Diana Simon, should “do as much as we can before July 1.”
The board started off by moving almost $30,000 from various budget items so that they could access it for immediate use. The board has some $37,000 available now, plus whatever proceeds are collected through the end of June.
The board voted to expand and prepay advertising with Our State Magazine through much of the rest of the year and finish a landscaping project to beautify the entrance to the town off Thunderbird Mountain Road.
The board also added $5,000 to contract with landscaper Karen Taylor. Simon – who is also a member of the town council – had nominated Taylor to serve on the TDA board. The nomination failed to muster enough votes and the position – formerly occupied for Keith Predmore – remains open.
Graham County Tourism Director Daniel Allison attended the meeting and pitched the idea that Lake Santeetlah help pay some of the costs of a $32,000 contract to produce four short-form documentaries about county tourist attractions.
“The shelf life is better than a single print ad or social media campaign,” he told the board.
Simon said it would cost $8,000 to $12,000 to partner with Graham County, and suggested they continue with their print ad campaign in Our State Magazine.
The Feb. 24 meeting was held via Zoom and reflected continuing tensions on the town council between Simon and board member Jim Hager, against Mayor Connie Gross and members Tina Emerson and Ralph Mitchell.
Prior to the meeting, the factions traded barbs over whether eliminating the tax without a public hearing was legal (it was; a public hearing is required only to create or raise taxes, not decrease them), or if the TDA board gave the required amount of notice before the Feb. 24 meeting (it did, according to Simon, who checked with the UNC School of Government).
During the public comments portion of the meeting, Jack Gross – Mayor Gross’ husband – made allegations of his own and demanded Simon’s resignation.
“I’ll take that into consideration,” Simon said.
Mayor Gross attended the TDA meeting as well, but was muted at Simon’s direction and could only observe.
TDA board members wanted to know why their only funding source was being cut to nothing.
“I’m confused why,” said board member Tanya Capeling. “It was paid by renters. As an owner, I am not seeing any benefit in cutting it.”
“I don’t understand, either,” Simon responded. “… They must have some reason to defund the TDA that I am unaware of.”
Innkeepers in the town will still be required to collect the 3 percent due to the Graham County Travel & Tourism Authority.