Votes at a glance: Highwood council approves grocery-tax continuation, 0.25% sales-tax increase and three-year water operator contract

At its regular meeting Tuesday evening, the Highwood City Council approved three measures to preserve local revenue streams and fund water system work, and passed routine financial items.

City staff member Scott Parrott explained the major tax votes, saying the grocery tax vote responds to a change in state law: "This is a municipal grocery retailers occupation tax, which was which is currently implemented in the state of Illinois. They're repealing it effective January 1 but allowing municipalities to pass it if they wanna continue." He summarized the sales-tax measure by saying the city sought a revenue source that "is shared by residents, businesses, and also visitors" and that proceeds would go "to pay for water system improvements that will keep Highwood's drinking water safe for decades to come."

Votes at a glance

- Municipal grocery retailers occupation tax (unfinished business; ordinance): Motion to continue the municipal grocery retailers occupation tax passed on roll call. The council voted in favor with no recorded dissent. The measure responds to a state-level repeal that allows municipalities to adopt the tax locally effective after Jan. 1; the council approved continuing the local tax to preserve revenue streams.

- Home-rule sales tax increase (second reading; ordinance): The council approved an increase of one-quarter percentage point (0.25%) in Highwood's home-rule sales tax. City staff explained the intent is to fund mandated water-system work; the council approved the measure on a roll-call vote with all present members voting in the affirmative.

- Agreement with CISA Consulting (new business; contract authorization): The council authorized the mayor to execute a three-year agreement with CISA Consulting to provide water system operator services to Highwood. A brief procedural exchange occurred about waiving first reading before the motion; the council approved the contract authorization on a roll-call vote.

Routine and procedural items

- Approval of minutes: The council approved the regular meeting minutes and the Committee of the Whole minutes for Feb. 4.

- Warrant approval: The council approved the warrant listed for Feb. 18.

- Treasury report: The council approved the December 2024 financial report.

What happened and why it matters

Taken together, the tax votes are meant to preserve and raise local revenue for water-system mandates and improvements. The grocery tax approval follows state law changes and allows the city to keep locally collected grocery-tax revenue. The 0.25 percentage-point home-rule sales-tax increase directs new revenue into a fund for water work. The CISA Consulting contract secures operator services for the water system for three years.

Procedural notes

Council members asked procedural questions about readings and timing; there was no reported public comment in the transcript on these items. The council adjourned at the close of business.