Village officials in Park Forest announced on March 20 that they are reconsidering a proposal to introduce a 1% home rule sales tax, aiming to generate new revenue from non-residents and reduce the community’s dependence on property taxes. The measure is scheduled for discussion at a special meeting on March 23.
The proposal is significant as it seeks to diversify how municipal services are funded, moving away from the current heavy reliance on property taxes paid mainly by residents. Village Manager Jon Kindseth and Finance Director Mark Pries said the proposed tax could bring in up to $800,000 annually. Sales taxes would be collected not only from residents but also from visitors and commuters who shop or do business in Park Forest.
“This is one method to have non-residents pay for Village services they are currently using but are not paying for,” officials wrote in a memo to the Park Forest Board of Trustees. Local leaders say that capturing more spending from non-residents is a primary motivation, as most retail activity comes from people living outside the village who visit for work or cultural events.
If approved, the total sales tax rate would rise to 10% on the Cook County side and 8% on the Will County side of Park Forest, matching rates in neighboring communities such as Olympia Fields, Matteson, and Chicago Heights. Officials noted that Park Forest’s current rate is about one to two percentage points lower than several nearby municipalities, which puts it at a disadvantage for generating sales tax revenue.
The proposal includes exemptions for groceries, prescription medications, certain medical products, feminine hygiene items, and purchases made with Supplemental Nutrition Assistance Program (SNAP) benefits. This aims to limit any negative impact on lower-income residents. Revenue generated could be used to offset or eliminate other local fees such as vehicle sticker fees or alarm registration fees and may help avoid future property tax increases related to projects like the Aqua Center redevelopment.
The ordinance was first introduced earlier this month but did not pass during the March 16 Board of Trustees meeting due to several absences among trustees. A special meeting has been scheduled for further consideration. If approved and filed with state authorities by April 1, the new tax would take effect July 1.
According to the official website, Village of Park Forest promotes community health and engagement via dedicated commissions and programs according to the official website. The village has received recognition for its sustainability efforts in town planning according to the official website and aims to strengthen economic conditions through collaboration according to the official website. The governing body consists of a mayor and six trustees under a council-manager system according to the official website. Park Forest also supports national climate protection initiatives according to the official website and offers educational opportunities through its Civic Leadership Academy according to the official website.
Village leaders say their goal is long-term financial stability while reducing pressure on homeowners’ property taxes.
