Bennington Select Board to Discuss Local Option Tax Proposal

BENNINGTON, Vt. NewsWK — Residents of Bennington will have a chance to engage in discussions about a proposed local option tax during the upcoming Select Board meeting scheduled for June 22. This comes as the town explores the possibility of adopting a local tax to support community initiatives.

Details on the Upcoming Meeting

According to a report first published by the Bennington Banner, Chair Tom Haley confirmed that the Economic Development Committee (EDC) will present their ideas regarding the local option tax. The EDC has been tasked with researching this issue and is expected to make a recommendation to the Select Board.

Board member Nancy White, who opposed a similar tax proposal in 2020 that was turned down by voters, expressed concerns about the process leading to this new recommendation. She highlighted the lack of public discussions so far, stating, “We haven’t had a public discussion.” In response, Haley assured the board and community that more public discussions, including hearings, would occur before any proposals are finalized.

Potential Tax Structure and Benefits

If approved, the local tax would be set at one percent and could be applied to various categories including general sales, meals, rooms, and alcoholic beverages. The previous proposal in 2020, which voters rejected, included separate categories on the ballot.

Should the new option tax be enacted, it is estimated to generate approximately $1,819,428 annually. A key difference this time would be how the revenue is allocated, with suggestions that a portion could go towards property tax relief and economic development initiatives to support local businesses.

Local Context and Implications

Currently, Bennington is the largest town in Vermont not participating in the local option tax program, which includes 48 other towns like Manchester and Brattleboro. The state collects this tax alongside state sales taxes and returns a portion back to the municipalities.

For those interested in following the EDC’s discussions and proposals, more information can be found on the town’s official website. This is a critical moment for local residents as the community weighs the potential benefits of a local option tax.

What’s Next?

Local residents are encouraged to attend the June 22 meeting to voice their opinions and stay informed about the developments regarding the local option tax proposal.