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Letter to the Editor: Chamber of Commerce supports STM Articles 4, 8

by | Nov 13, 2024 |

The Hopkinton Chamber of Commerce supports the Special Town Meeting Article 4 proposal, that the town impose a local sales tax on meals (meals tax).

The Chamber of Commerce Board of Directors unanimously supports a local meals excise tax in order to specifically help fund a full-time economic development officer. It is anticipated that if adopted, the town would pursue a special act that would allow designation of the revenues for economic development purposes.

In Massachusetts, 74% of communities already implement this meals excise tax. Of the 258 communities applying the meals excise tax, the average start date was Feb. 1, 2013.

It is important to note that this meals excise tax (0.75%) is mostly for food and non-alcoholic drinks served at restaurants and food to-go orders at restaurants. There is no additional tax on alcohol sales (beer, wine or liquor).

Example: I buy $100 in food and $20 in alcohol at a local Hopkinton restaurant. I am currently taxed on $120 at 6.25% ($7.50). Current total without a meals excise tax: $127.50.

If the meals excise tax is approved, I would receive an additional excise tax on the $100 worth of food ($0.75). I would receive no additional tax on the alcohol.

This would increase the total bill from $127.50 to $128.25 (an increase of 75 cents).

Of the participating communities with a population size of within about 2,000 of Hopkinton’s, the average revenue received for fiscal year 2024 was $421,608. The Chamber hopes Hopkinton will generate $200,000-plus in revenue.

The Chamber of Commerce also supports both options for Article 8’s amendments to the zoning bylaw and the zoning map by adopting the MBTA Communities Multi-Family Overlay District.

The article establishes an overlay zoning district that complies with the commonwealth’s MBTA Communities multi-family by-right housing law, otherwise known as MGL c. 40A, Section 3A. This article would add a new section to the Hopkinton zoning bylaws to establish this district as well as amend the zoning map to show the subdistrict locations.

The Hopkinton Chamber of Commerce supports both of the proposals: one referred to as Upper Cedar Street and Downtown, and one familiarly known as The Preserve/Downtown/Walcott Valley.

The Commonwealth of Massachusetts has committed to block certain grants to towns that do not comply with this law. Additionally, we could be forced to defend our actions in court if the state decides to sue us into compliance.

— Paul Ostrander, Chamber of Commerce board member

Editor’s note: The opinions and comments expressed in letters to the editor are those of the writers and not necessarily those of the Independent. Submissions should be no more than 400 words and must include the writer’s name and contact information for verification. Letters should be relevant and not primarily for the purpose of promoting an organization or event or thanking sponsors or volunteers. Letters may be edited by the Independent staff for space, errors or clarification, and the Independent offers no guarantee that every letter will be published. For a schedule of deadlines for letters and other submissions for the print edition, click here.

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