Libertyville Town Hall March 4 On Proposed Sales Tax Referendum

LIBERTYVILLE, IL—Village officials have scheduled a town hall meeting for Wednesday, March 4t to let residents learn learn more about the non-home rule sales tax referendum. The event will take place at 7 p.m. at the Libertyville Civic Center. Residents are encouraged to attend.

On the March 17 presidential primary ballot, residents of Libertyville will have the opportunity to answer a question regarding imposing a local sales tax of one percent.

According to village officials, the tax is equivalent to a penny per dollar on general merchandise. The local sales tax would not apply to medicines, titled goods, such as cars and trailers, and most groceries. If approved by voters, the additional sales tax is projected to generate approximately $2,000,000 in new revenue annually after the repeal of the "places for eating tax."

As a non-home rule government, the village is required to obtain voter approval to implement this local sales tax. If approved, an ordinance imposing the tax would be adopted and the sales tax would go into effect on July 1, 2020.

Officials said the village requires the revenue from a local sales tax to offset a nearly $2,500,000 annual capital improvement deficiency for roads, sidewalks, streetlights, parking lots, parks, facilities, and technology.

The village is also preparing to establish a stormwater utility in order to construct projects identified in the Master Stormwater Management Plan, officials said. A portion of the revenues from a local sales tax may be used to provide an initial funding source for the stormwater utility.

The ballot question at the poll will read as follows:

“Shall the corporate authorities of the Village of Libertyville, lake County, Illinois be authorized to levy a Non-Home Rule Municipal Retailers’ Occupation Tax and a Non-Home Rule Municipal Service Occupation Tax each at a rate of one (1%) percent for expenditures on municipal operations, expenditures on public infrastructure, or property tax relief? “The portion of the question in red applies to the purchase of goods such as clothing, tools, etc. While the portion of the question in blue applies to the purchase of goods associated with service such as an oil filter for an oil change. Services have never been and will never be taxed. The two portions are

mutually exclusive- both will never be applied to one item in a unique sales transaction. If the Referendum passes, a 1% increase will be added not 2%. Both types of sales taxes are already applied under the 7% State sales tax."