A revisit of meals tax hike

But thanks to a vigorous petition drive, local voters, some of whom are concerned the tax hike would discourage tourists, will get a rare opportunity to overturn the Town Meeting decision via ballot. At the very minimum, the required ballot vote will delay enactment of the increase by a few months.

Townspeople were eager to sign the petition giving them the opportunity to weigh in on the tax, said petition author Christopher Fava. More than 2,000 signatures were gathered in just five days, with a little over 1,000, or 3 percent of the town’s registered voters, needed to get a ballot vote on the issue.

“The number of signatures we collected says to me the people in Plymouth don’t agree with the Town Meeting vote,’’ said Fava, a former Town Meeting member. A “Vote No Committee’’ has been organized, and members plan to work hard to sway voters over the next several weeks. Restaurant owners have said they will pitch in, since they fear the surcharge will drive customers to neighboring towns with a lower meals tax.

To date, only about 15 percent of the state’s cities and towns have adopted a provision allowing municipalities to raise the meals tax by 0.75 percent to benefit local coffers. Those in Southeastern Massachusetts include Dartmouth, Dedham, Easton, Franklin, North Attleborough, Plainville, Milton, Raynham, and Taunton. But Plymouth’s closest neighbors have not done so.

Fava, who says he doesn’t want to see local businesses suffer more than they already have in the recession, said he was stunned that Town Meeting approved the local meals tax option on Oct. 26. Local restaurant owners did not attend the session because the Board of Selectmen and Finance Committee had planned not to move the article for discussion.

But Town Meeting precinct chairman Paul Luszcz brought the article up, and the tax option passed by three votes, 56-53.

“In my travels through the precincts, I saw there was enough support for it to be brought up for discussion,’’ Luszcz said Monday. “When I found out it was still on the warrant, I decided to move it because I thought it was worthy of debate. I think it has merit, and it was right to pass it.’’

But Fava argued it is raising money on the backs of businesses hit hard by the bad economy. “They may have to eat the cost of the surcharge to remain competitive, and that’s going to be a huge cut to their profit margin.’’

Cabby Brini, owner of the Cabbyshack restaurant, said hiking the meals tax doesn’t make good business sense. “It’s not very smart here in Plymouth to be charging the tax when the towns around us aren’t doing it,’’ Brini said. “And it’s not fair to the businesses or their customers.’’

Lynne Barrett, Plymouth’s director of finance, said the benefit of raising the meals tax is substantial. According to calculations by the state Department of Revenue, it would mean adding about $693,000 in annual revenue to the town. “It would be very nice to have that money,’’ she said.

But East Bay Grille’s executive chef, Joel Mantel, said it’s tough enough trying to survive in Plymouth without another obstacle added.

“In the last couple years, it seems a lot is being done to hurt businesses in town,’’ Mantel said. “We’re already dealing with all the parking meters they put in. It almost seems like they’re trying to put us out of business.’’

T-Bones owner Colin Wilcox gladly agreed to pass around the petition for a citizen vote. “It may seem like pennies, but the meals tax already went up. Going from 5 percent to 7 percent is a lot,’’ Wilcox said, referring to the state’s increase from 5 to 6.25 percent less than a year ago.

Under Plymouth’s Town Charter, a petition on a Town Meeting decision can give voters the opportunity to negate the action through a ballot vote, if a minimum of 3 percent of the voters sign on. It’s been done in the past, but infrequently, according to Town Clerk Laurence Pizer.

Selectmen are required to set an election within 35 and 45 days of the petition signatures being verified by the town clerk. Although the date will exceed the 45-day limit, local officials hope to save the $26,000 cost of a separate election by scheduling the meals tax vote on Jan. 19, the same day as the state election on the US Senate seat occupied by the late Edward M. Kennedy.

“I have no problem with the later date,’’ Fava said. “And it will be a better turnout, so it will show more what people want.’’

Christine Legere can be reached at christinelegere@yahoo.com.