When Fishers Mayor Scott Fadness unveiled his plan to pay for a $170 million events center, he described ways the city could finance the project.  He explained how  the city’s debt could be reorganized, how revenue generated from the center can be utilized and added one more part of the package – a food and beverage tax of 1% on local restaurant meals.

The mayor asked for a resolution from the city council supporting his plan for funding the events center and it passed by a vote of 8-1.  The Councilor voting no, Jocelyn Vare, indicated she is not necessarily opposed to the tax, she says her no vote stemmed from not having enough time to to evaluate the proposal.

The city has yet to enact this food and beverage tax.  A special City Council meeting has been set for Thursday, October 6, at 5pm.  No agenda has been officially released for that meeting, but it is assumed the council plans a public hearing on the food and beverage tax proposal at that session.  Note that with City Hall set to be demolished and replaced, the special meeting of the council will be held at the Fishers Police Department Training Room.

I have received a variety of reactions to the mayor’s proposal to use the proceeds of a food and beverage tax as part of the plan paying for the events center.  Some have been supportive, many not so supportive.

The Indianapolis Business Journal (IBJ) has used it’s paper’s editorial for the September 22nd edition to support Fadness’ proposal for a food and beverage tax.

“When a community enters the big leagues of the nation’s suburbs, certain things must happen to serve the growing population and continue to make it an attractive place to live, work and play,” says the opening sentence of the editorial.

IBJ goes on to explain the Fishers District expansion planned for the city.  The editorial reviews plans for the new Andretti Motorsports headquarters and the Italian firm Stevanato’s plan to be a part of a growing Fishers.

“To keep these kinds of investments coming, Fishers officials know they must increase the city’s amenities.  A 1% food and beverage tax seems a small price to pay to help make that happen,” states IBJ in the last sentence of the editorial.

Fadness has emphasized to me in many conversations that his goal is to finance this project, a new Arts & City Hall complex and a new community center that is expected to be announced soon, with no increase in the city’s part of the local property tax rate.  He never closed the door on a food and beverage tax.

I have seen data saying a food and beverage tax in a place like Fishers would be paid by out-of-towners about 50% of the time.  Of course, that also means locals would be paying this tax about 50% of the time as well.

Although the City Council resolution indicates strong support for the food and beverage tax, there will be a public hearing on the issue.  No matter what your point of view may be, the public hearing is your chance to let the city councilors know your opinion.

For full disclosure, I have done some limited writing for the IBJ in the past and did write regularly for an opinion online blog that is no longer published.  I have had no writing relationship with IBJ for some time.  Also, I am personally taking no position on the food and beverage tax issue.

You can read the full IBJ editorial at this link.  (NOTE: If your are not an IBJ subscriber, your access to their online content may be limited)