Burr Ridge May See $200K Blow To Budget

BURR RIDGE, IL – Burr Ridge is expected to see an annual $150,000 to $200,000 shortfall in its budget if the state eliminates the sales tax on groceries.

On Monday, the Village Board approved its annual budget for the fiscal year starting May 1. But officials said they would monitor Gov. J.B. Pritzker's proposal to end the 1 percent grocery tax.

"We'll be missing that potential revenue here," Trustee Tony Schiappa said. "That's something I want to keep in mind as we talk about the budget moving forward. We may have to cut something out just to make up for that loss of revenue."

The governor's proposal lacks a method to compensate towns for the loss in income. Because of that, the Illinois Municipal League is asking for a bigger part of the state's income tax money.

Burr Ridge Mayor Gary Grasso expects state lawmakers to end the grocery tax.

"The governor wouldn't have brought it up if he didn't think he had the votes," the mayor said. "Bottom line is that it is a regressive tax."

Some towns, Grasso said, used tax incentives to lure big grocery stores in return for grocery tax money in the long run. But the tax's elimination would make such deals far less attractive, he said.