Fox River Grove will lower its electricity surcharge and cable television taxes for residents after passing a 1% sales tax.

Village trustees have approved a measure reducing the electricity surcharge tax from 3% to 1%. The reduction is estimated to save residents and businesses $50,000 annually, according to a news release from the village.

This is the third drop in taxes for the village after trustees voted to enact a 1% nonhome-rule sales tax last month, with Trustee David Joseph being the only no vote. In August, the board also approved the continuation of the 1% grocery tax once the statewide tax sunsets at the end of this year.

The idea is that adding a sales tax – which is applied to anyone shopping in Fox River Grove – can lessen the burden for taxes that apply exclusively to residents and businesses within the village. Neighboring communities also are implementing the sales tax, including Cary, for which trustees approved the measure in August.

The new sales taxes will go into effect Jan. 1. It does not apply to groceries, prescription drugs, certain medical devices or vehicles, according to Fox River Grove village documents.

The Village Board also approved a measure this month to drop the local cable TV franchise fee from 5% to 1%, which is expected to save $45,000 per year for residents and businesses. The telecommunications tax also will be reduced from 6% to 1% starting Jan. 1.

Building permit fees for non-new construction also are on the docket to be eliminated. Village staff plans to start waiving the fees by the spring construction season, according to the release.