Faced with less federal money, leaders talk meal taxes

NEW HANOVER COUNTY, NC (WWAY) — As federal funding for coastal communities declines, local leaders are working to figure out a way to make up for the lost money. One idea on the table – a meal tax on prepared foods and beverages.

Local leaders suggest this kind of tax would spread the costs of maintaining beaches, including dredging, more evenly. There’s no word on how much this tax could be potentially be, but it would be county-wide. Carolina Beach Mayor Dan Wilcox says this option is one of many under consideration.

“The reason it came to surface, it’s being used in other counties for very similar purposes and it is a user based tax that would not put all the burden on the backs of the citizens,” Wilcox said. “It’s not even really been discussed beyond just being one of the options you’d want to look want to look at.”

Restaurant employees like General Manager Ed Leonard are concerned what the thought of a tax could do for business.

“Even though percentage-wise or dollar-wise, it wouldn’t be that big of an investment to the average consumer on a per transaction basis, just the idea. I mean, the word ‘tax’ has such a negative stigma to it. People start getting that idea, that they’ll stop going to the restaurants out so much,” Leonard said.

Marie Underwood is an example of one of those patrons. She eats out with her friends in Carolina Beach every week.

“I love the beach, anything they wanna do is fine with me as long as they don’t tax us too much. We’re taxed to death!” Underwood said. “A little bit of this and a little bit of that. It just keeps adding on to us.”

Leaders will meet again in January to continue the discussions. The primary need for money includes the dredging and upkeep of beaches.