Tuesday, January 15, 2008

Could sales tax increase affect Home Rule vote?

Assuming the mass transit bill passes and Lake County sees a .5% increase in the tax rate, what would the Village do in regards to the Home Rule referendum on the table for February 5th? They've discussed implementing an additional 1% on top of the existing 6.5% for a sales tax of 7.5%. If the base rate goes up to 7%, would Volo still go after a 1% to take the Village to 8%? Or would they reduce their proposed increase to only .5% and still maintain an overall rate of 7.5%? My opinion is that I think people would be ok increasing to 7.5%, but attempting to go to 8% might cause this to fail. Thoughts?

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