Ottawa is considering hiking its sales tax to fund several long-term projects, including new fire stations and entertainment venues along the Illinois River.
The proposal is an increase of at most 1%, with amounts like 25% and .5%, also up for consideration. To help the city of Ottawa pay for and develop one or two new fire stations for the Ottawa Fire Department and an amphitheater at the waterfront.
Commissioner Thomas Ganiere highlighted the urgency of completing work on the riverfront after two decades of stagnation.to hold the hearing, while Commissioner Wayne Eichelkraut Jr. opposed it, and Commissioner Marla Pearson expressed concern
“I think it’s time that we do it,” Ganiere said. “This is just a sub-schedule of a public hearing to get the public input on this, and then we go from there.”
The first step is a public hearing, already approved by the Ottawa City Council and set for Tuesday, March 3.
Mayor Robert Hasty and Ganiere supported the motion to hold the hearing, while Commissioner Wayne Eichelkraut Jr. opposed it, and Commissioner Marla Pearson expressed concern.
Eichelkraut pointed to the city’s ability to complete one fire station without impacting the sales tax rate at all as a reason he opposes the hike, along with the current sales tax in relation to surrounding communities.
“Right now our gas prices are so high in the city of Ottawa compared to other areas,” Eichelkraut said. “I don’t really feel that we should be raising the sales tax. If we don’t raise it at all, we’ll still be able to do a fire station.”
Pearson pointed to previous projects and expected overages needed to complete these projects as reasons to be skeptical of the initial figures.
“I think to try to do three projects all at once is a little unrealistic. The problem is that I don’t think we’re looking at the big picture of what’s going to happen,” Pearson said. “What is the overall expense going to be? We’re going to have to hire more people, which is higher salaries, pensions and overall expense that I don’t think we’re taking into account.”
The motion passed after Commissioner Brent Barron broke the tie and voted to have Jacob & Klein Associates run the hearing.