Palatine eliminates vehicle sticker requirement

Palatine residents normally would start buying their annual village vehicle stickers beginning Thursday, forking over $30 — or more, if they procrastinate a couple of months — for the right to own a car in town.

But now they can now cross that task off their list. After reviewing the village's midyear financial position, the village council has decided to eliminate the town's vehicle sticker program.

With an average household owning 2.5 vehicles, the move amounts to a $75 annual savings for each, which officials say is roughly the equivalent of a 5.5% reduction in the village's portion of their property tax.

The sticker program has generated about $1.2 million annually for the village's general fund. However, administrating the program costs about $200,000 a year, officials said.

Citing growth in other general fund revenues resulting from economic development, as well as increasing sales tax income, village officials believe the bottom line can absorb the loss.

Palatine Mayor Jim Schwantz said the village does not intend to compensate for it by finding some other revenue source from residents.

“This is not pushing it to another tax, it is eliminating the fee,” he said. “Even with a possible recession looming, we feel that we are in a strong position to sustain the elimination of vehicle stickers. This is a great move for our citizens and our businesses.”