Water Rates & Cannabis Tax Revenue Margaretville Board Focus

MARGARETVILLE - Margaretville Board of Trustees discussed several small updates at a brief meeting on Tuesday, Feb. 17. Topics included water rates and tax revenue from cannabis sales.

Water Rates

Trustees discussed increasing fees for repeat frozen-pipe calls. The current fee structure is $75 during weekdays and $100 on weekends. Trustees propose keeping current fees for first-time offenders and adding an additional $100 for repeat offenders.

Trustee Jeffrey Warren noted that water rates are still lower than those of many other municipalities despite the increase from last year.

Trustee Sarah Hubblle noted they could increase fees in other areas, especially given recent issues with water brakes and other concerns.

The board will continue reviewing the fees and other water rates, with adoption expected in April.

Cannabis Sales Tax Received

After some investigation and attorney fees, Mayor John Hubbell reported that the village received $54,046 in cannabis tax revenue in 2025.

State law requires the 8% sales tax to be split among all government bodies in which a sales shop is located. The State retains 4%, the County receives 2%, and the remaining 2% is split between Middletown and Margaretville. Due to issues with receiving the funds, which the village handled, Middletown gifted its 2025 share to Margaretville.

Other payments should be distributed quarterly. In the first quarter of 2026, both municipalities received $1,039.

The town and village have one cannabis dispensary within their borders.

Other Business

The Margaretville Rotary Club is working to host a block party on Friday, July 24, in the Pavilion parking lot. The group plans to host the event from 6 p.m. to 10 p.m., featuring three bands. It is a throwback to the former grocery store parking-lot block parties.

Trustees are expected to update the Short-Term Rental law to align with Middletown's regulations, which are under discussion.

Sarah Hubbell, who also serves as town clerk, reported that the town law is similar to the village's. One major debate pending is whether to require a landline. Hubbell said that for emergency services, a landline helps with location, reduces false security alarms, and provides a call option for visitors without cell coverage during an emergency.

The Local Flood Analysis suggests development of a flood commission, reported Mayor Hubbell. He asked board members to consider joining. The commission should be comprised of one trustee, one council member, a village resident, a village business owner, a planning board member, and the code enforcement officer. The commission will be assisted by Delaware County Soil and Water Conservation District, Catskill Watershed Corporation, the town and village highway departments, and the New York City Department of Environmental Protection. Hubbell hopes to have the commission established at the April meeting.

Trustees are expected to discuss food truck regulations and application forms at the next regular meeting on Tuesday, Mar. 24, at 5 p.m.