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Resort responds to tax proposal

A representative of Blue Mountain Resort has encouraged Lower Towamensing Township to become proactive in generating revenue in response to a possible amusement tax on the venue.

Barb Green, retired chief executive officer and minority owner, Blue Mountain Resort, asked supervisors earlier this month what opportunities there are to create more jobs to bring in more revenue to the township.

“How do we encourage residents to work in the township?”

Supervisor Michael Takerer told Green he doesn’t see a simple way to do that.

“How do we decide what kind of businesses we have in the township to grow it?” Green asked. “It would be great to encourage some of those to grow revenue in the township in the industrial district.”

Supervisor Jay Mullikin said it was something for the board to check into.

“I think it’s worth pursuing, but I also think we have some homework to do,” Mullikin said.

Amusement tax

The township has been in discussion about an amusement tax since residents Rich and Connie Banko broached the idea in July.

Township solicitor Jim Nanovic was working on a draft amusement tax ordinance to send to tax collecting firm Berkheimer.

Supervisors Chairwoman Connie Brown said the board had some discussion on the subject.

In August, Takerer mentioned that he got a call from Blue Mountain about a donation.

Banko then surmised that based on the discussion at August’s meeting, it appeared as if it was decided it was going to be a donation and that the township would not pursue an amusement tax.

Brown told Banko no decision was made by the board.

Nanovic concurred and said an amusement tax was still on the table, and that no one on the board said the township wasn’t still looking at an amusement tax.

Banko reiterated that an amusement tax would be the best way for the township to go because it would generate ongoing revenue for the township.

Banko said Blue Mountain Resort holds events throughout the year that have nothing to do with skiing.

Rich Banko told the board that last year, Blue Mountain Resort grossed $72.4 million.

He asked why the buildings and trailers on the property aren’t being assessed.

Rich Banko noted that when the late founder and former President Ray Tuthill started then-named Little Gap Ski Area, he used to give the township $25,000.

After the board of supervisors meeting earlier this month, Green said the $25,000 a year was limited to supporting township recreation projects like the Stoney Ridge Park and Recreation Center, as well as the Aquashicola Playground.

“Since the completion of these recreation projects, the resort has spent comparable amounts on the sewer plant design and engineering in support of the township sewer project,” Green said.

“In addition, the resort recently contributed $5,000 to the Aquashicola Volunteer Fire Company to fund replacement of firefighter gear. Requests for local support are more often than not answered.”

Green said the corporation does not pay amusement tax anywhere else.

Contribution ideas

Takerer said in September that Blue Mountain Resort asked for a list of projects, and noted one of his thoughts was possibly for the septic system at the Stoney Ridge Recreation Center.

Rich Banko told the board he believes that the Aquashicola Fire Company and Palmerton Area School District could surely use the money.

Brent Green, a member of the Aquashicola Fire Company, cited instances where the resort has donated labor and supplies to the fire company.

Takerer encouraged everyone at that time to come up with a list for him to give to Blue Mountain Resort for its consideration.

Connie Banko asked the board whether it was planning to accept a donation in lieu of an amusement tax.

She said that seemingly every month Blue Mountain Resort adds a new event, all the more reason for the township to charge a levy on amusements to generate additional revenue.

Resident Ralph Cortazzo said an amusement tax was discussed back in 1986 when he served on Palmerton Area School Board.

Cortazzo suggested at least a dollar a ticket split between the township and the school district, which would solve a lot of problems.

Cortazzo added that visitors come to the area and spend a good amount of money, and said that to charge them a dollar more a ticket wouldn’t be too much to ask.

Blue Mountain Resort has targeted Friday as the tentative opening date for its 46th ski season.