Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Municipal Taxation topic
No spam. Unsubscribe anytime.
Kewanee council enacts 1/2-cent municipal sales tax for streets, sidewalks and stormwater
Summary
On Sept. 22 the Kewanee City Council passed Bill 25-88, authorizing a non-home rule 1/2-cent municipal retailers’ and service tax (an added $0.50 per $100) to fund streets, sidewalks and stormwater; the ordinance passed 4-1 after a Hutchison Engineering presentation and debate over spending plans.
The Kewanee City Council voted 4-1 on Sept. 22 to adopt Bill 25-88, creating a non-home rule municipal retailers’ occupation tax and a municipal service occupation tax that adds one-half cent to the sales tax rate (equivalent to $0.50 on every $100 spent). The ordinance designates revenue for city streets and roads, sidewalks, and stormwater drainage and retention facilities.
Council received a presentation from Hutchison Engineering on the street paver index process and the project timeline. Councilmember Cernovich said he did not want to enact the tax until the council had a concrete plan detailing how the revenue would be used. Despite that objection, Councilmember Colomer moved approval; the motion passed with Cernovich the sole Nay vote.
The ordinance, as described at the meeting, will appear on sales tax receipts as the added municipal line item. Council discussion focused on the need to match a funding mechanism to a clear project plan; the council did not adopt a separate spending schedule during the meeting.
The tax takes effect according to the city’s implementation process under Illinois non-home rule authority and will fund the capital needs identified in the ordinance. The council moved into further business and later adjourned to closed session.
