The local and private legislation that would allow North Carrollton voters to decide on a two percent tourism tax passed out of the Local and Private Committee, according to North Carrollton Alderman Ken Strachan.
The bill will now go before the full Senate for a vote before being passed to the Mississippi House of Representatives for review.
In January, the North Carrollton Board of Aldermen passed a resolution requesting the Mississippi Legislature allow for the addition of a tourism tax in the town, if North Carrollton voters agree, to prepared food and beverage within the town limits of North Carrollton. Sixty percent of voters must vote in favor of the measure before it becomes a reality.
Proceeds from a tourism tax must be used to promote tourism and parks and recreation in the town, according to similar bills passed in the area. In August 2016, Winona’s voters elected to add a two percent tourism tax to prepared food and beverages.
Strachan said he spoke to Senator Lydia Chassaniol, who is chair of the Senate Tourism Committee, about sponsoring the bill if the town agreed to move forward. Chassaniol, who is a proponent of historical and heritage tourism, said North Carrollton, a “Southern village” would be an ideal town to pursue the tourism tax.
“Aa tourism tax is a wonderful way for these little towns to collect a few more dollars,” said Chassaniol. “I have high hopes this will benefit the revenues of the town.”
Strachan, who proposed the tourism tax to the North Carrollton Board of Aldermen, said, “North Carrollton and Carroll County have a rich history that is excellent for tourism. These funds will help to enhance tourism, economic development, and infrastructure improvements.”
If the Mississippi Legislature votes to allow North Carrollton to pursue the tax and North Carrollton voters agree, two cents will be added to every dollar spent on food and beverages at North Carrollton restaurants and food trucks and prepared food and fountain drinks at convenient store delis. The tax does not apply to grocery items.