By BOB JACKSON

By BOB JACKSON
VINDICATOR COURTHOUSE REPORTER
BOARDMAN -- If Mahoning County commissioners increase the county's bed tax, they might as well hang a "going out of business" sign in front of at least one local motel, a spokeswoman said.
Atty. Ursula P. Shugart of Canfield represents Davis Motels of North Lima, and said their business relies largely on corporate contracts with trucking companies. The contracts provide rooms for truckers who stay overnight in the area.
"With this additional 2 percent tax, they face a total shutdown," Shugart said of Davis Motels. "These [trucking] corporations have no tolerance whatsoever for rate increases."
Shugart was among those who spoke during a meeting Wednesday of the Youngstown & amp; Mahoning County Convention and Visitors Bureau at Boardman Holiday Inn. The meeting was held so CVB members could air their opinions on the proposed bed-tax increase, which would fund operation of the Youngstown-Warren Regional Airport.
Company's options
Shugart said a bed-tax increase would force Davis to either increase its negotiated rate with trucking companies or reduce its room rates. Either way would be deadly for the business, she said.
An increase in the amount charged to trucking companies would cause the companies to take their business elsewhere. And the business can't afford to cut its rates to absorb the tax increase.
All hotel and motel owners who spoke during the lengthy meeting said they are against the tax increase because they fear it would hurt their business.
"No one is against the airport," said Atty. Lawrence Richards, CVB chairman. "They just don't want to be the ones who have to support it."
Local hotel and motel operators, though, say the airport does nothing to promote tourism in the area, and that they receive no benefit from the air reserve station that operates at the Vienna Township facility.
A recent change in state law gives commissioners the option of increasing the bed tax by up to 2 percent to generate operating revenue for the airport, which is in Trumbull County.
Commissioner Vicki Allen Sherlock said having that option available doesn't necessarily mean commissioners will increase the tax by the full 2 percent, or increase it at all.
The law also allows commissioners to roll back the 3 percent tax that's already on the books, which is used to fund the CVB. Commissioners could then impose a 2 percent tax and earmark it for the airport.
Sherlock asked that county Auditor George Tablack conduct a performance audit of the CVB's operation and see whether there are areas in which to save money.
She also suggested that the Mahoning and Trumbull county visitor bureaus merge, which would also result in savings.
Commissioner Ed Reese said commissioners don't want to increase the bed tax to the point that it causes people to look elsewhere for lodging.
But he said the county needs a regular source of funding for the airport. Mahoning and Trumbull counties equally share operating costs.
Commissioners had asked the CVB for a one-time contribution of $50,000 this year to help with Mahoning County's share. The CVB board decided Wednesday to hold off making a decision until after commissioners decide what to do about the bed tax.
bjackson@vindy.com