$270,000 Tax Revenue Loss Sparks Tension During Hampton Inn License Approval

Key Points

  • Select Board approves Hampton Inn licenses in split vote following $270,000 room tax revenue loss
  • Officers Chelsea Faria and Ryan Perry sworn into the Stoughton Police Department
  • Financial Policy Manual review extended two weeks for Finance Committee input
  • Phillips Family Foundation sets second annual 5K for September 19 to benefit Cancer Society
  • Select Board meetings shifted to 7:30 PM start time through November 1

The Stoughton Select Board grappled with the financial fallout of a local hotel’s recent operations Tuesday night, ultimately approving licenses for the Hampton Inn despite a sharp dissent regarding nearly $270,000 in lost room tax revenue. The meeting, which also featured an emotional swearing-in ceremony for two new police officers, highlighted the board's ongoing efforts to balance business revitalization with fiscal recovery.

During a public hearing for the Hampton Inn’s inn holder and common victualler licenses at 449 Page Street, Member Scott Carrara raised immediate concerns about the hotel’s recent history as a state-contracted shelter. When these hotels closed to the public previously, the town took a major financial hit in room tax, Carrara noted. Now they are coming back for licensing, and I want to know about the lost revenue. Town Manager Thomas Calter provided a stark accounting of the impact, revealing that the town lost a total of $534,000 in room tax revenue from two local hotels, with the Hampton Inn accounting for approximately $265,000 to $270,000 of that deficit.

Calter described the situation as a significant strain on municipal relations, stating that this board had to go to Governor Healey to get partial compensation because the town was left high and dry. He noted that while statutory fees prevent the town from charging a massive licensing fee to recover the debt, there remains significant ill will because the organization essentially exited in the dark of night. Sandra Morgan, representing the Hampton Inn, acknowledged the tension. I completely understand and I will bring that to the owners and ask them to reach out, Morgan said. Chair Stephen Cavey expressed hope that the owners would mend fences to allow the town to comfortably recommend the facility for weddings and local events in the future. Motion Made by D. Roberts to approve the Inn Holder license for PVG-5 Hospitality d/b/a Hampton Inn at 449 Page Street. Motion Passed (3-1-0), with Member Carrara casting the lone dissenting vote. A subsequent Motion Made by D. Roberts to approve the Common Victualler license for PVG-5 Hospitality d/b/a Hampton Inn. Motion Passed (4-0-0).

The evening took a more celebratory turn as the board swore in two new members of the Stoughton Police Department, Chelsea Faria and Ryan Perry. Chief Joseph Baeta introduced the officers, noting that Officer Faria is a former Avon dispatcher and the daughter of long-time Stoughton auxiliary officer Joe Faria, while Officer Perry is a Massachusetts Maritime graduate from Marshfield. Chair Cavey shared a deeply personal connection to the appointment, recalling his friendship with Faria's late father. I've watched Chelsea since she was a baby. Her dad, Joe... passed during COVID. I was honored to walk Chelsea down the aisle at her wedding in his place, and I feel he is here with us tonight, Cavey said. It is a privilege to swear you both in.

Fiscal policy also remained on the agenda as the board considered the new Financial Policy Manual. Town Manager Calter requested a two-week delay to allow the Finance Committee to finish submitting edits, noting the importance of a vetted document. Member Carrara emphasized that if the board has the right to amend this, we should ensure it is clearly titled as Select Board Financial Policies. Motion Made by S. Carrara to table the discussion on the Financial Policy Manual for two weeks per the Town Manager's suggestion. Motion Passed (4-0-0).

The board also welcomed its newest member, Laurie Jakes, who took her seat for the first time following the recent town election. As this is my first board meeting, I want to say I am excited to serve the residents of Stoughton, Jakes said. Vice Chair Debra Roberts updated the community on the upcoming Massachusetts Small Business Resource Forum, scheduled for May 4 at the Stoughton Public Library, which she noted will feature a panel discussion for small businesses and entrepreneurs.

Community celebrations were also highlighted, including the announcement of the second annual Town Spa/Phillips Family Foundation 5K on September 19. Matthew Phillips explained that the foundation has now achieved 501(c)(3) status, with proceeds this year benefiting the Cancer Society. We expect 200 to 300 runners, he said. Dick Phillips added that the new status allows more vendors to get involved in the charitable effort. Additionally, Paul, a representative for the St. John's Portuguese Festa, invited the town to the annual festival on June 27. We want to keep our traditions going and welcome everyone, he said, noting that the event would feature a big screen for the Portugal versus Colombia World Cup match. Gilda Pereira, executive assistant to the Select Board, joked that the organizers should have some fresh grilled lapas for Steve [Cavey] at the event. To accommodate the longer days of the coming months, the board also agreed to Member Carrara's request to move meeting start times. Between April and November 1st, I'd appreciate it if the board would allow me... to start meetings at 7:30 PM instead of 7:00 PM because the days are longer and I have to make hay while the sun shines, Carrara said.