La Plata small businesses won’t see micro-loans, small grants or cheaper permits from the town any time soon. The Town Council on Oct. 13 declined, 3-1, to have staff study seven proposals Councilman Gregory Sampson said came from conversations with local business owners.
Councilmen Paul Guttenberg and Tyjon Johnson and Mayor Jeannine James said no. Sampson was the only yes. Councilman Patrick McCormick was absent.
Sampson said he was not asking for action now. He wanted staff to bring back costs and effects by July 2027, with the budget items starting no earlier than fiscal 2029.
In an email the next day, Sampson wrote that while the council did not advance the proposals, “I believed they were practical, affordable ways to support local businesses that employ residents, pay taxes, and strengthen our community.”
The seven ideas
- A 5% local purchasing goal. Staff would first check whether a La Plata or Charles County business could supply goods or services. It would be a goal, not a mandate.
- Farmers market fees. Cap the vendor fee next year, cut it 50% the year after, reduce it again after three years, and waive it after five years of continuous operation.
- Home office permits. Cut the fee 50%, from $46 to $23.
- Micro capital improvement grants. A $10,000-a-year fund for small cosmetic or lighting upgrades, starting in fiscal 2029.
- Micro-loans. A $10,000-a-year fund for loans of $400 to $1,000, repaid over 12 months, also starting in fiscal 2029.
- A business-to-business tax credit for La Plata businesses that buy from other La Plata businesses. Sampson said this one was “much trickier” and asked staff to report on it in 2028.
- A business liaison, full-time or as an added duty, to help small businesses through permits and design review.
Sampson said most La Plata businesses are sole proprietors and family-owned businesses on “very thin margins,” citing figures from a regional economic development group based in La Plata. He said the ideas build on Mayor James’s tourism zone legislation and a property tax proposal from McCormick.
Why the others said no
Guttenberg said the town sets fees to recover its costs, so cutting them means “general fund property taxpayers” pay instead. Doing that, he said, is “how you end up with structural deficits.” He said waiving fees for established farmers market vendors would put new vendors at a disadvantage, and a $23 savings on a home office permit wouldn’t help anyone. He said the town lacks authority under state law to offer a business-to-business tax credit, and that the cost of running $400 grants could eat their value.
“These ideas are not developed well,” Guttenberg said, adding that he wanted to protect staff time for the priorities the council set at its annual session.
Town Manager Chuck Stevens said La Plata’s procurement code already gives local businesses a preference when bids are reviewed. Johnson said town code already offers a property tax credit for business improvements, and that the problem may be awareness. He questioned whether a liaison position would survive future budgets.
James said she has backed small businesses since 2017 but has heard more complaints about the town’s sign code than its fees. She pointed owners to Charles County’s economic development department and its programs, and said businesses “need to have some skin in the game,” suggesting they form a La Plata business association.
A fight over the floor
The discussion took more than 50 minutes, much of it over procedure. Guttenberg objected early to taking the seven proposals one at a time. When Sampson began answering the other members’ questions, James said the item had turned into a debate and moved to a vote. Johnson argued the rules let the presiding officer set a three-minute limit but not cut off a member. James let Sampson have the last word before the vote.
The exchange came weeks after the council voted 4-1 to strip James of her role as presiding officer through a charter amendment that takes effect Oct. 28 unless residents petition it to a vote.
In his email, Sampson thanked McCormick for his property tax relief proposal and James for her tourism zone initiative. “While we may not always agree,” he wrote, “I appreciate their commitment.”
