Cape May Committee Debates Fee Increases, Enforcement, and Data Collection

The Cape May Municipal Taxation & Revenue Advisory Committee meeting focused on several issues, including proposed fee increases for mercantile licenses and rental properties, enforcement of licensing compliance, and the necessity of accurate data collection to guide future decisions.

The most discussion centered on comprehensive fee increases, particularly concerning mercantile licenses and rental properties. The committee engaged in a detailed debate about the need for a fee analysis, with a member suggesting the term “comprehensive fee increase” might be misleading. Kevin, an individual tasked with updating the fee analysis, was working on a five-year synopsis based on the Consumer Price Index (CPI). The committee planned to review recommendations in an upcoming meeting.

Specific recommendations were made regarding mercantile licenses, with a focus on collecting additional information for rental registrations. A previous recommendation about low-speed vehicles (LSVs) was also incorporated into the 2025 analysis. The current fee for bike rentals, set at $255, would be adjusted according to the CPI. A member raised concerns about the inclusion of cleaning companies in the mercantile regulations, noting the significant industry presence in town and suggesting that employees might need to check in with the police department for verification, similar to restaurant licensing.

Enforcement of mercantile licenses was another focal point, with discussions about the historical requirement for fingerprinting and photographs during registration. The committee acknowledged that many cleaning services, particularly those from outside Cape May, might not be properly licensed. A tracking system to monitor compliance was proposed, including issuing decals to identify licensed landscapers and cleaning services, making it easier to identify businesses with appropriate licenses.

Skepticism about the effectiveness of existing enforcement measures was expressed, with a member remarking, “we’re not going to go back,” indicating a belief that changes in licensing procedures might be necessary. The need for a tracking system to monitor compliance was proposed, with suggestions for issuing decals to identify licensed landscapers and cleaning services. This would allow for easier identification of businesses that had the appropriate licenses.

The conversation then shifted to residential rental properties. A member, identified as Sarah, shared findings from her review of local rental properties, revealing that 15% of properties from just one brokerage lacked the required mercantile licenses. This highlighted a disconnect between the established licensing framework and actual compliance. The committee agreed on the necessity of enhanced tracking and enforcement mechanisms to ensure all businesses, including cleaning services and rental properties, adhered to local laws.

Another topic was the evaluation of beach tag revenues. A member presented findings comparing sales from different sources for the first month of the current year against the same period last year. There was an increase in daily tag sales, while weekly and three-day weekend tag sales had decreased. This trend was viewed as potentially beneficial from a revenue standpoint, given the higher profit margins of daily tags. However, concerns were raised about the potential strain on city services due to increased traffic.

A proposal for a traffic study to provide clarity on traffic conditions was made, with the committee agreeing on the importance of collecting comprehensive data throughout the summer season. The need for objective data to assess traffic conditions was emphasized, as anecdotal comments about increased congestion were shared. The idea of conducting a traffic study was supported, with members believing it could offer valuable insights into traffic patterns and parking issues.

The committee also discussed the need for accurate data collection related to traffic patterns and beach tag sales. It was pointed out that current data collection methods do not adequately capture vehicle movement across bridges or specific intersections. The importance of defining the purpose of traffic studies and determining essential data for understanding revenue impacts was underscored. The utilization of a product called Placer AI, which relies on cell phone data to provide insights about residents and visitors, was mentioned as part of the city’s data collection efforts.

Enforcement of licensing and penalties in relation to commercial beach tag ownership was another significant topic. The necessity of staffing and enforcement to ensure compliance was emphasized, with a member stating, “if you don’t get a license for this year you’re going to have to pay a penalty.” The committee recognized a significant gap in compliance and expressed the need for a list of commercial beach tag property owners to better manage compliance.

The potential overhaul of the city’s fines and penalties structure, unchanged since 1997, was also discussed. The importance of evaluating whether existing fines effectively promote compliance and remain relevant in today’s context was highlighted. Suggestions were made to index fines to inflation and to conduct a systematic review every two years. The conversation included the transition of charter bus registration responsibilities from the Chamber of Commerce to a new online platform and the necessity of ensuring that fees reflect actual costs.

Finally, the committee discussed the logistics of future meetings, agreeing to shift from monthly to bimonthly meetings to allow for more focused discussions. The importance of recording and streaming meetings for transparency and accessibility was also acknowledged.

Note: This meeting summary was generated by AI, which can occasionally misspell names, misattribute actions, and state inaccuracies. This summary is intended to be a starting point and you should review the meeting record linked above before acting on anything you read. If we got something wrong, let us know. We’re working every day to improve our process in pursuit of universal local government transparency.
Mayor:
Zachary Mullock
Taxation & Revenue Advisory Committee Officials:
Dennis Crowley, Maureen K. McDade (Cape May City Council Liaison), Martin Van Walsum (City Resident), Steven Bodnar (City Resident), Mary Parsons (City Resident), Robert Elwell (City Resident), Carolyn Zebrowski (City Resident), Russ Dickhart (City Resident)

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