After two months of consideration, the Village Board has instituted a utility tax, but at a lower rate than was originally proposed.
The 3 percent user’s fee approved at a board meeting Tuesday will tax telephone, electricity and natural gas on a consumption basis. It is expected to generate more than $487,000 annually, Trustee Jerry Mattingly said.
Round Lake Beach trustees first envisioned a 5.1 percent tax, the maximum rate permitted by law, but compromised at 3 percent. Mattingly said trustees feared imposing the higher rate would financially strap many residents.
The revenue will be used to hire police and public works personnel, purchase public works equipment and help repair storm sewers and curbing. A tentative three-year plan that details the proposed spending is available for public study at Village Hall.
The tax will likely appear on residents’ July utility bills, Mayor Ralph Davis said.
