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Politics & Government

Council Looks to Give Business a Boost

Council devising comprehensive plan to renew city's sales tax rebates.

Members of the took a step closer to creating a comprehensive sales tax rebate program to entice new businesses and retain existing ones.

The board acted Monday at its Committee of the Whole Meeting before the regular council gathering. 

asked and to work with and Finance Director Elizabeth Holleb to create a detailed plan to help the business community. It is expected to be discussed at the Sept. 12 Committee of the Whole meeting. 

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Before 2008, the city helped new businesses such as or auto dealerships by rebating a portion of the sales tax that the company collected to help offset its start-up costs. During the economic downturn a few years ago, the Council placed a moratorium on all such agreements. 

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Over the past few months, council members have discussed lifting the moratorium and creating a new program to fit the current economic climate. The new proposal being crafted by Frank and Kirsch will be open to new and existing businesses, both large and small. 

The Council has said it is willing to lift the moratorium once a thorough policy is in place. Guidelines will likely be different for attracting new businesses and retaining existing merchants, may vary between large and small companies and will not include the acquisition of land. 

“Every business should qualify,” Kirsch said. “Different standards should apply to different stimulus.”

While a consensus is emerging on inclusion of all companies and using incentives for new and existing operations, a sharp difference exists on land acquisition among council members. 

Council veterans and Kirsch along with newcomer favor including the purchase of land as a provision. On the opposing side are Rotering, Frank, David Naftzger and Daniel Kaufman. They are reluctant to allow it, contending land will hold its value as an asset. 

“It’s a big commitment,” Blumberg said of purchasing land.

Kirsch thinks it is important as an incentive for auto dealerships whose inventory is dependent on the size of their lots. 

“It’s hard to say no to the auto dealerships when they’re acquiring three acres of land to increase their business 50 percent,” Kirsch said. “It’s a different deal.” 

At the end of regular council meeting, Naftzger asked the city’s legislative body to consider allowing citizens to opt out of receiving Yellow Page directories. He held up four books that were more than eight inches thick stacked up to make his point. 

“This is tremendous waste,” Naftzger said. “It’s not recyclable. The best-case scenario is it will end up in a land fill. I respect our citizens’ right to privacy and their right to opt out of delivery.”

The matter will get further review in the future. Mandel, Kirsch and Frank all voiced approval of continuing discussions on the topic.

Earlier in the meeting, the Council gave unanimous approval to a development plan to allow a , convenience store and medical office building on the east side of Skokie Valley Road between Lake Cook Road and the Crossroads Shopping Center.

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