Glen Ellyn debates sales tax hike

The Glen Ellyn business community was out in force Monday to demonstrate its disapproval of a proposed sales tax increase.

The village board will be voting on the 1 percentage point raise - from 7.25 to 8.25 - on March 23. The staff put the idea forward to bridge a budget deficit for the 2009-2010 budget and to prepare for rising costs of pension funds.

Finance Director Jon Batek said the decrease in revenue will have long-term effects beyond just deficits for the upcoming budget.

"A wait-and-see approach is not really acceptable," he said.

The village last week laid off five employees to reduce some of the deficit.

The Glen Ellyn Chamber of Commerce has officially taken a stance opposing the sales tax increase, saying that it's too hasty and ill-timed.

Scott Ackerman, president of the chamber, said on Monday that the position was taken only because so many business owners have expressed their concern about the tax.

"I believe we're rushing to an easy solution," he said of the increase.

Several business owners suggested putting off the tax until after April, when four new members will be part of the village board. The next opportunity would be in October, to allow for implementation in January.

This will also give trustees and staff more time to consider other alternatives, they argued.

There were also suggestions of tapping into reserves and living with the cuts that will have to be made if the increase isn't approved. Those would include forestry reductions and appearance improvements for the central business district.

"I don't want us to make a short-term decision that will have long-term effects," said Tracy Kreiling, owner of the downtown Bells & Whistles Snackery.

Although the village ordinance would potentially leave room for future boards to review and repeal the tax every year, several business owners said that is not likely to happen once the increase is implemented.

The binding vote on the increase won't take place for two more weeks, but a straw poll Monday showed that three of six trustees and Village President Vicky Hase supported raising the sales tax.

Trustee Peter Ladesic said he didn't support the notion because he sees it as reactionary.

"We can get by without this," he said.

Trustee Timothy Armstrong said he also didn't support it for right now and Trustee Michelle Thorsell said she would like a smaller increase.

• Daily Herald photographer Tanit Jarusan contributed to this report.