May 22--FORSYTH -- Trustees plan to continue deciding the fate of the suspended hotel/motel tax in Forsyth as new board members begin their terms.

Recently re-elected trustee Steve Hubbard brought the item up for discussion Monday during the board's meeting, saying it's an issue he wants the board to consider as it moves forward. Collection of the tax had been suspended last year as concerns were raised about how the money collected from hotel stays was being spent.

"A lot of people had their hands out for money and we gave it to anyone who came through the door," Hubbard said. "We could use the money to get the hotels better occupancy on the weekends."

Hubbard said the tax money can be used to boost tourism efforts, which in turn would help solidify sales tax revenue the village relies upon. Sales tax revenue at the end of the village's fiscal year was down approximately $58,000 from the previous year, Hubbard said.

"We've got to do something to be proactive to get sales tax revenue to rise year after year," Hubbard said.

Village Administrator Mike Miller projects the fund would be depleted in a little more than a year at its current rate of spending. Just more than $100,000 is projected to remain by the end of the current fiscal year, Miller said.

At the time collection was suspended in March 2012, nearly $400,000 had accumulated in the fund with about $100,000 of planned spending each year.

Trustee Bob Rasho, who pushed for the suspension of the tax, said the board needs to look at the bigger picture as it moves forward with two new members and a new mayor. Former Mayor Harold "Hap" Gilbert stepped away earlier this month after 34 years on the board, including being mayor since 2001.

Longtime trustee Marilyn Johnson is now mayor, with Dave Wendt and Bob Gruenewald filling trustee positions.

Rasho wants more time for the new members to learn about the issue and consider all of the village's financial priorities.

"We should have a plan not only on taxes but the spending part," Rasho said.

Wendt understands the issue is mostly about spending. He suggested criteria be developed for spending requests from the fund.

"As a discussion item, this is something we need to talk about," Wendt said.

Hubbard thinks the tax can be reinstated at a lower rate than the

3 percent it was previously, but some revenue needs to be generated. Trustee Kerstin Trachtenberg suggested the board wait to make a decision until it figures out how much money will be needed to pay a proposed economic development staff member.

Forsyth currently has four hotels, with a Residence Inn by Marriott proposed to be built near Lowe's.

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