G-242 - 01/23/1979 - TAX - Ordinances Supporting Documents ORDINANCE NO.
AN ORDINANCE AMENDING CHAPTER 13, SECTION 13-16 OF THE CODE OF
w' ORDINANCES OF THE 'VILLAGIr OF OAK'BROOK; DU PAGE ANfS COOK COUNTIES,
ILLINOIS, ENTITLED "TAXES"
WHEREAS, SB 736 (Public Act 80-1292) effective August 2, 1978, has been
adopted by the Illinois General Assembly; and
WHEREAS, said Act amends Section 8-11-1 of the Illinois Municipal Code; and
WHEREAS, said amendment provides that certain described manufacturing
machinery and equipment is excluded from the Retailers Occupation Tax; and
WHEREAS, the Corporate Authorities of the Village of Oak Brook, DuPage and
Cook Counties, Illinois deem it advisable that such machinery and equipment remain
subject to said tax; and
WHEREAS, the Corporate Authorities of the Village deem the passage of this
Ordinance to be in the best interest and in furtherance of the public health, safety,
comfort, and general welfare of the Village of Oak Brook and its citizens and residents.
NOW, THEREFORE, BE IT ORDAINED by the President and Board of Trustees of
the Village of Oak Brook, DuPage and Cook Counties, Illinois, that:
SECTION 1: The provisions of the preamble hereinbefore set forth are hereby
restated herein as though herein fully set forth.
SECTION 2: The exclusion contained in Section 2(d) of the "Retailers Occupation Tax
Act" approved dune 28, 1933, as amended, shall not apply to transactions involving the
types of property described therein which take place in the Village of Oak Brook, DuPage
and Cook Counties, Illinois.
SECTION 3: This Ordinance shall be in full force and effect from and after its
passage, approval, and publication as by Statute in such cases made and provided. This
Ordinance shall be published in pamphlet form.
SECTION 4: All ordinances, rules, and regulations of the Village of Oak Brook which
are in conflict with the provisions of this Ordinance are hereby repealed to the extent of
the conflict.
PASSED this Zk," day of _�(,...,,�, , 1979.
AYES: ?
NAYS: o
ABSENT: o
APPROVED this 23� day of 1979.
i n
ATTEST:
Village Clerk
Filed in the Office of the Village Clerk and published in pamphlet form by autho icy t
of the President and Board of Trustees of the Village of Oak Brook this o?14-
day of Sow..v v.`c �t , 1979.
w
Village Clerk
APPR E, as tca fo
y j ( Village Attorney
VILLAGE OF OAK BROOK
MINUTES OF REGULAR MEETING
JANUARY 23, 1979
I CALL MEETING TO ORDER
The regular'meeting-of the -Boafd of,T rusfees tiias called to order at 7:30 p:m.
by President Howell in the Samuel E. Dean Board Room of the Village Commons.
A. Roll Call
Present: Trustees Frederick W. Brown
Wence F. Cerne.
Eldon K. Glaves.
Arthur W. Philip
Barbara F. Reynolds
Joseph H. Rush
President George B. Howell
II APPROVAL OF MINUTES
Trustee. Philip moved - seconded by Trustee Cerne....
That the minutes of the regular meeting of January 9, 1979, be approved
as submitted and waive reading of same.
Voice vote - all in favor So ordered
III ORDINANCES, RESOLUTIONS, VARIATIONS, PLATS, ETC.
(OA ORDINAl�CTCE NO. G-242: AN ORDINANCE AMENDING CHAP'T'ER. 13, SECTION 13-16,
OF THE CODE OF ORDINANCES OF THE VILLAGE OF OAK BROOK, DU PAGE AND GWY,
COUNTIE LLL S, ENTITLED "TAXES '
Said amendment provides that certain described manufacturing machinery
and equipment be excluded from the Retailers Occupation Tax.
Trustee Cerne moved - seconded by Trustee Philip. ..
To approve Ordinance No. G-242 as presented and waive reading of same.
Roll call vote - Ayes: Trustees Brown, Cerne, Glaves, Philip, Reynolds,
Rush, and President Howell
Nays: None So ordered
B. RESOLUTION NO. R-24$
This area has been declared an emergency disaster urea, effective Janu-
ary 16th at 12:01 a.m. due to the snowstorm beginning January 12, 1979;
and the Federal Government has stated that it will be reimbursing af-
fected municipalities for a portion of snow removal activities.
Trustee Cerne moved - seconded by Trustee Brownn.
To approve Resolution No. R-248 as presented and waive reading of same.
Roll call vote - Ayes: Trustees Brown, Cerne, Glaves, Philip, Rush, and
President Howell
Nays: Trustee Reynolds So ordered
C. 1979 PERMIT RESOLUTION NO. R-249
Annual resolution for improvement permit on State highways within the
municipality.
Tr+ist ,e Rush moved - seconded by Trustee Glaves. . .
To approve Resolution No. R-249 as presented and waive reading of same.
Roll call vote Ayes: Trustees Brown, Cerne, Glaves, Philip, Reynolds,
Rush, and President Howell
Nays: None
So ordered
MEMORANDUM
VILLAGE OF OAK BROOK
TO DATE
RE: t.
,lit.1 6 Sa a
,Crr 7ii0 �d
t�
a aAt
c�v F Y 7 7 e, �l� t
l7 °7d. Vx F
D
07o'� fo
)�0 .
& k,y,.,0q� Lop w v 5 -
VOB Form 4
e
MELE Aw OFFICES OF
40 C/ v J AL , P. BIANUCCI, LTD.
ROOK EAST OFFICE BUILDING
2000 SPRING ROAD
OAK BROOK, ILLINOIS 60521
CHICAGO OFFICE
(312) 654-2900 200 WEST MONROE STREET
CHICAGO,ILLINOIS 60606
THOMAS O.GARTNER 1 (312) 782-0003
00 January 9, 1979
Mr. Kenneth G. Carmignani,
Village Manager
Village of Oak Brook
1200 Oak Brook Road
Oak Brook, Illinois 60521
RE: Municipal Retailers
Occupation Tax
Dear Mr. Carmignani:
A recent amendment to the Illinois "Retailers Occupation
Tax Act", M. Rev. Stat. 1977, Ch. 120, Sec. 441, has a potential
impact upon the tax provided for in the Oak Brook Code pursuant
to Ch. 13, Article II. The amendatory act provides an exemption
from the Municipal Retailers Occupation Tax on the proceeds de-
rived from the sale of machinery and equipment used in the manu-
facture of tangible personal property for retail sale. This exemption
automatically applies to the tax collected pursuant to the Oak Brook
Code unless the corporate authorities specifically provide otherwise
by ordinance.
Should the Village wish to provide for the taxation of
such property, please advise me to that effect and I will prepare
a draft ordinance for your consideration.
Yours very truly,
THE LAW OFFICES OF
ALFRED P. BIANUCCI, LTD.
By D
Thomas O. Gartner
TOG:rz
U
TnE LAW OFFICES OF
ALFRED P. BIANIICCI, LTD.
OAK BROOK EAST OFFICE BUILDING
2000 SPRING ROAD
OAK BROOK, ILLINOIS 60521
CHICAGO OFFICE
(312) 654-2900 200 WEST MONROE STREET
CHICAGO,ILLINOIS 60606
THOMAS O.GARTNER (312) 782-0003
January 16, 1979
Mr. Kenneth G. Carmignani,
Village Manager
Village of Oak Brook
1200 Oak Brook Road
Oak Brook, Illinois 60521
Re: Municipal Retailers Occupation
Tax Ordinance
Dear Mr. Carmignani:
An ordinance providing for the continued application of the Oak Brook
Municipal Retailer's Occupation Tax to transactions involving machinery and
equipment excluded under Section 2(d) of the "Retailer's Occupation Tax Act"
is enclosed. Please note that a certified copy of this ordinance must be transmitted
to the Illinois Department of Revenue within five (5) days following its effective
date, which will be ten (10) days after publication of the ordinance.
Yours very truly,
THE LAW OFFICES OF
ALFRED P. BIANUCCI, LTD.
By
Thomas O. Gartner
TOG:j j
enclosure
G
9 `
U�
VILLAGE OF OAK BROOK
1200 OAK BROOK ROAD
OAK BROOK, ILLINOIS
January 16, 1979 654-2220
MEMO TO: President &Board of Trustees
SUBJECT: Municipal Retailers Occupation Tax
Attached please find is an ordinance dealing with the elimination of the
exemption on the Retail Occupation Tax Act as it relates to the sale of
machinery and equipment used in the manufacture of tangible personal prop-
erty for retail sales.
An amendment to the Illinois State Statutes which has been recently passed
provides for an automatic exemption of the sales tax collected on the articles
listed above. In reviewing the impact of that action upon the revenues of the
Village of Oak Brook, we contacted the State Revenue Accounting Office to
determine whether or not they could tell us the total amount collected by the
Village of Oak Brook. Unfortunately, the State of Illinois reports said
category in a general category which is listed as "Manufacturers" which in-
cludes manufactured goods as well as machinery and equipment sales.
The general classification of "Manufacturers" in fiscal year '77 produced about
17% of our total sales tax receipts. In FY '78 that increased to 24% of our
total sales tax. We have no way of determining what percentage of those funds
were related to specifically to machinery and equipment sales, however, it could
have a negative impact on the receipts of the Village of Oak Brook. We have,
therefore, prepared an ordinance which provides for the taxation of such property
as is currently being done.
I have placed the matter on the board agenda and will attempt to review the
matter with Trustee Cerne prior to the board meeting.
KRe ctfully submitted,
th Ca mign
ge Manager —
KGC/ls
att.
0
OA
FAUN
VILLAGE OF OAK BROOK
1200 OAK BROOK ROAD
OAK BROOK, ILLINOIS
654-2220
January 26, 1979
State of Illinois
Department of Revenue
P. 0. Box 3747
Springfield, Illinois 62708
Attention.: Manager,
Revenue Accounting
Dear Sir,
Attached please find copy of Ordinance G-242. The Ordinance provides
that exclusion contained in Section 2 (d) of the Retailers Occupation
Tax Act approved June 28, 1933, as amended, shall not apply to trans-
actions involving the types of properties described therein which take
place in the Village of Oak Brook, DuPage County, Illinois.
We would appreciate your modifying your records reflecting the act of
the municipality.
KKe erely yours,
eth G. Carmigna
Village Manager
KGC/ls
att.
STATE OF ILLINOIS
DEPARTMENT OF REVENUE
February 13, 1979
Mr. Kenneth G. Carmignani
Village Manager
Village of Oak Brook
1200 Oak Brook Road
Oak Brook, Illinois 60521
RE: Village of Oak Brook
Dear Sir:
This is to acknowledge receipt of your Ordinance which provides
that the exclusion in the municipal retailers' occupation tax, pursuant
to Senate Bill 736 (PA 80-1292) , shall not apply to the Village of Oak
Brook.
This Ordinance will become effective March 1 , 1979.
Very truly yours,
JAMES B. ZAGEL
Director of Reve ue
By: A
WI llamii
Legal Division
Springfield Office
Phone: (217) 782-7054
WSS:msk