COLUMBIA, SC (WBTW) – An Horry County delegation in the state House of Representatives filed a bill to support the county in its dispute with Myrtle Beach over tourism tax dollars.
The City of Myrtle Beach has filed a lawsuit against the county for hospitality tax money and the state representatives side with the county, saying it needs to keep the money for vital infrastructure and public safety dollars.
The city’s suit claims the county collected millions of dollars for road projects – including the construction of I-73 – in hospitality taxes that the city never agreed to. And that after Jan. 1, 2017, the city did not agree to the tax for anything other than paying off loans.
Horry County could lose more than $20 million a year in hospitality taxes if the suit is successful.
“If Myrtle Beach is successful in its lawsuit, the result would diminish total hospitality tax collections in all jurisdictions of Horry County by one-third; that’s millions of dollars annually that would otherwise be available for roads and tourism related public safety,” said Rep. Alan Clemmons.
State representatives say the city refuses to meet with the county about the issue. News13 has reached out to city officials for comment.
Mark Kruea, with the City of Myrtle Beach, released a statement on Friday, saying, in part:
“Very briefly, the cities’ 20-year agreements allowing the hospitality fee to be collected in their jurisdictions have expired; the original period for the fee itself has expired; the original purpose of the fee has been accomplished; the cities’ property owners already pay property taxes for county services; and the City of Myrtle Beach is on record as supporting I-73, with possible funding identified.”
“It’s time for the games to stop,” said Rep. Russell Fry. “Refusing to meet with Horry County and suing them doesn’t really inspire a collaborative spirit. Myrtle Beach sat by for years and never raised any objection. Now they seek to change the rules.”
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Even though the legislature adjourned on Friday, the delegation said it is prepared to move the legislation forward in January of next year in the event that this issue remains unresolved.
“We all have some skin in the game here, that’s why it’s so important that we work together and take a comprehensive approach to solve this problem,” said Rep. Heather Crawford.
