The Municipality of Lambton Shores is seeking public input as it begins the process of developing a new not-for-profit Municipal Services Corporation to support local tourism.
The proposed corporation will be funded by a Municipal Accommodation Tax (MAT) program, which is expected to launch in January 2026.
Mayor Doug Cook said the MAT program is estimated to generate roughly $400,000 per year to fund tourism initiatives and alleviate some of the financial pressures on infrastructure and municipal services associated with tourism.
"We're going to use the revenue from the tourism tax to boost tourism in Lambton Shores -- that was what the main idea is -- without having to go to taxpayer dollars to generate the income," Cook said.
The tourism tax is typically applied to hotels, motels, and other short-term rentals and is collected when guests book their stay.
Under provincial legislation, 50 per cent of MAT revenues must go to a designated tourism entity.
Cook said the municipality considered working with Tourism Sarnia-Lambton but opted to create its own not-for-profit tourism entity to ensure all money collected stays in Lambton Shores.
He said the municipality has been considering implementing the MAT program for a few years.
Further details about the tourism tax are expected to be released at a later date when staff start drafting a bylaw for council consideration.
In the meantime, the municipality is collecting public input on key elements of the proposed Municipal Services Corporation, such as the name, strategic priorities, and the structure of its board of directors.
Cook said a board will work with the municipality's economic development coordinator and will set out guidelines for how tourism dollars are spent in the community.
"We're in the process of forming that board right now," he said. "Right now, we're looking at probably seven to nine people on that board. We've approached the Forest BIA, the Grand Bend Chamber of Commerce, and then we'll be going out to the members at large from the public."
The survey will be available online until May 16.