Push continues for amusement tax on ski resort
Lower Towamensing Township continues to hear from residents pushing for an amusement tax on Blue Mountain Resort.
Tax collector Maxine Scherer came to the meeting earlier this month to say that Blue Mountain Resort is currently paying a small amount of taxes for the land on the bottom of the mountain, but they are not paying any taxes on any structures or buildings on these properties.
On one parcel, she said the land assessment is $37,800, for which Blue Mountain Resort is paying $30 in county debt service tax, $631 in real estate tax, $95 in borough tax, and $2,492 in school district tax, for a total of $3,248.
The other parcel is assessed at $55,550, for which Blue Mountain Resort is paying $44 in county debt service tax, $928 in real estate tax, $139 in borough tax, and $3,662 in school district tax, for a total of $4,773.
She said those parcels haven’t been assessed in roughly 25 years.
Scherer said the parcel in which Blue Mountain Resort is paying building assessment and taxes is assessed at $223,150, and the building amount is $2,409,715, for a total of $2,632,865.
Blue Mountain Resort LLC pays $2,109 in the county debt service tax, $43,969 in real estate tax, $6,582 in borough tax, and $173,545 in school district tax, for a total of $226,203. The parcel was last assessed in 2022, when Blue Mountain Resort requested the removal of a shed.
She noted that all three parcels are scheduled to be reassessed.
Resident Steve Meining questioned, “How does a situation like this (get like this)? Who dropped the ball?”
“The assessment office is aware of it,” Takerer said. “Let’s let them do their jobs.”
Contacted after the meeting, retired Blue Mountain Resort chief executive officer and minority owner Barb Green said, “The county assessors have been at the resort within the last three years.”
Green added, “The resort is paying taxes based upon the latest county review on building (square feet) and land (acres) per the county assessment.”
Tax proposal
Last July Rich and Connie Banko asked the supervisors to enact an amusement tax on the resort.
Since that time, township solicitor Jim Nanovic has been drafting a proposed amusement tax ordinance to send to tax collection firm Berkheimer.
Supervisor Michael Takerer said that in August he received a call from Blue Mountain about a potential donation. Supervisor Barb Green has encouraged the board to look at ways to generate additional revenue, including alternatives to an amusement tax, and asked what opportunities exist to create more jobs that would boost township income.
Rich Banko said Blue Mountain hosts year-round events beyond skiing. He said the resort grossed $72.4 million last year and questioned why buildings and trailers on the property are not being assessed.
Banko also pointed out that when the resort operated as Little Gap Ski Area, founder and former president Ray Tuthill contributed $25,000 annually to the township.
Green said that $25,000 had been earmarked for recreation projects, including Stoney Ridge Park and Recreation Center and the Aquashicola Playground.
“Since the completion of these recreation projects, the resort has spent comparable amounts on sewer plant design and engineering in support of the township sewer project,” Green said.
She added that the resort recently donated $5,000 to the Aquashicola Volunteer Fire Company for firefighter gear and said it often fulfills requests for local support.
Green also noted that the corporation does not pay an amusement tax anywhere else. Rich Banko countered that both the Aquashicola Fire Company and Palmerton Area School District could benefit from additional funding.
Aquashicola Fire Company member Brent Green cited past donations of labor and supplies from the resort.
Resident Ralph Cortazzo said visitors spend significant money in the area and argued that charging “a dollar more a ticket wouldn’t be too much to ask.”
Rich Banko also said an employee told him the resort had discussed tearing down existing structures to build condominiums and a water park.
Connie Banko referenced comments made by resident Drew Everett at a recent zoning hearing for Quiet Hills Lavender Farm, noting that he observed how Blue Mountain Resort has evolved beyond a ski area. Takerer said the board would not vote until all three supervisors are present. Chairman Jay Mullikin was absent from the meeting.
“They’ve had a good year,” Takerer said. “Especially this year with the (cold) weather.”