‘We’re simply keeping what was already ours’: Huntley adopts local grocery tax

Huntley has become the latest municipality in the McHenry County area to go for a local grocery tax.

Illinois leaders opted through legislation signed by Gov. JB Pritzker last year to eliminate the 1% statewide grocery tax, effective Jan. 1. The tax revenue went to local municipalities, and several have opted to add back a local version of the grocery tax.

Adopting a local grocery tax won’t increase the overall sales tax, Village Manager Dave Johnson told the village board on Thursday. He said sales tax revenue makes up about 30% of Huntley’s general fund revenue and funds services like snow removal and public safety.

Without a replacement grocery tax, Huntley would lose out on an estimated $460,000 in fiscal year 2026 and $825,000 in fiscal year 2027, according to an analysis.

Losing those revenues could “necessitate program, personnel and service reductions,” Johnson said.

The village board unanimously passed the 1% local grocery tax.

Huntley Village President Tim Hoeft said the 1% statewide grocery tax always went to municipalities.

“We’re not implementing a new tax,” he said. “We’re simply keeping what was already ours.”

He said he met with the governor about six weeks ago about the tax and they went “back and forth on communication being key and how this affects every municipality in the state.”

Hoeft added Huntley is in two county organizations of government, one in Kane and one in McHenry, and every municipality official he talked to in those groups is also planning to implement the tax.

Trustee Vito Benigno said the board’s job is to be fiscally responsible and provide services to the community, and “the responsible thing to do” is maintain this source of revenue.

“We cannot afford to lose $800,000,” Trustee Ronda Goldman said.

Trustee Ric Zydorowicz said the board didn’t take the new local tax lightly, and none of the trustees wanted to raise taxes.

“This is a tough one. ... Nobody wanted to be in this position, but Springfield thought it was best that they take away something that wasn’t theirs,” he said.

When it was his turn to vote, Zydorowicz said, “Regretfully, yes.”

Other McHenry County municipalities that have chosen to enact a local grocery tax include Algonquin and Marengo.