Prairie Grove enacts grocery tax, even with no grocery store

The village of Prairie Grove opted to continue a 1% grocery tax as the statewide tax ends at the start of next year – but there won’t be any effect for now, as the village does not have any grocery stores.

Many municipalities have made the move to a local 1% grocery tax after Gov. JB Pritzker and state lawmakers voted to remove the statewide tax last year. The tax, although implemented by the state, funded local municipalities. The Prairie Grove Village Board unanimously adopted the ordinance Tuesday.

Although the village will impose the tax, it will not be in use because there are no grocery stores currently in Prairie Grove. Village Administrator Michael Freese said adopting the ordinance allows them to implement the tax if a grocery store were ever to come to the village.

Village attorney Hart Passman said it’s “a good practice” to have it in now, and is recommended by the Illinois Municipal League.

“Act while we can. Doesn’t have an impact today in Prairie Grove; it might tomorrow,” he said.

Multiple municipalities in McHenry County have signed up to continue the grocery tax, including Algonquin, Huntley and Marengo. Municipalities that wish to continue with a local grocery tax without any lapses in revenue must file an ordinance with the Illinois Department of Revenue by Oct. 1.