CVB cites ordinance-backed enforcement as roughly $83,000 in lodging taxes remain unpaid

LaPorte County Convention & Visitors Bureau staff told the board on May 26 that an ordinance change gives the county treasurer expanded enforcement powers aimed at improving collection of lodging-related taxes and fees.

"You can share the amount of roughly $83,000," said Brett, the CVB staffer reporting on distributions and enforcement work, describing an amount the treasurer's office had identified as delinquent. Brett told the board the CVB and the county attorney had coordinated with the treasurer's office and that, if delinquent amounts are not made current, a tax warrant could be issued and penalties and interest would add to the balance.

Brett said the ordinance clarifies enforcement timelines and requires lodging-related receipts to be placed in a trust account and remitted to the state or county on schedule. "It is a pass-through tax. It does not belong to the hotel," he said, explaining the county's position that collected funds must be segregated and remitted.

At the same meeting, a board member asked that earlier minutes be amended to record that the body had passed an ordinance (not a resolution) under the "heads and beds" topic; the board approved the amended minutes before continuing with reports.

The CVB presentation framed the change as a mix of administrative and legal tools rather than a policy to seize operating cash: staff said the ordinance adds defined steps for collection including fees and penalties designed to encourage voluntary compliance. Brett warned board members that, in some cases, unresolved delinquencies can result in issuance of a tax warrant and associated criminal references coming from prosecuting authorities, and that conversion penalties could materially increase the amount owed.

The board did not vote on new enforcement actions at the meeting; staff said they expected more information from the treasurer's office about case status in the coming days and that the change in ordinance language would improve the county's ability to pursue overdue collections.

Next steps: staff will continue to coordinate with the treasurer's office and county attorney and update the board when delinquent accounts are resolved or when formal warrants are filed.