Election 2013: Perry Village voters deny income tax increase, approve tax credit

Perry Village Council will need to trim 20 percent off of the village’s general fund as voters rejected an income tax increase and overwhelmingly passed a petition-driven issue to restore a 100 percent tax credit for residents who pay income tax to another community. Issue 3, which would have increased the village’s income tax to 2 percent from 1 percent, failed at the ballot box Tuesday by a 274-198 margin,

according to unofficial final returns from the Lake County Elections Board

. Most of those voters passed Issue 4, the income tax proposal, 336-126 votes, according to the same unofficial final count. ‘I’m happy the mob has ruled,’ said Tim Gandee, a Perry resident and member of the petition committee to put Issue 4 on the ballot. Gandee has said voters never had a say when council members passed an ordinance to eliminate the tax credit in November 2009. Issue 3, approved by council members to go on the ballot in late July, was proposed to avert a $239,683 loss in tax revenue in case the tax credit was restored. Village officials, who promised to restore the tax credit if Issue 3 passed, said the increased income tax also would have generated $161,000 more revenue a year to repave neglected roads. Village officials have said significant maintenance on those roads has been neglected because state lawmakers have cut $88,000 in funding over the last couple of years and voters rejected a 3-mill road renewal levy on the November 2010 ballot. Village officials had said they wanted to remain unspecific before the election about what services or staff might be cut if voters ended up rejecting Issue 3 and passing Issue 4. Mayor Vicky Stevens didn’t immediately return a phone call for comment Tuesday night. Perry Village Council will, however, start that decision-making process 9 a.m. Thursday at its Finance Committee meeting.