On June 2, O’Fallon voters approved Proposition 1 by a vote of 54.81% “yes” to 45.19% “no,” thus approving a use tax equal to the same rate as O’Fallon’s sales tax, currently 2%.
The use tax will be levied on purchases from out-of-state vendors and is estimated to bring the city an additional $3.5 million to $3.9 million in funds each year. Those funds are mandated for the police department and road maintenance only.
At the July 9 O’Fallon City Council meeting, Bill No. 7202 sponsored by Mayor Bill Hennessy was passed by a vote of 10-0. The bill amends chapter 145 of the city code to levy the use tax at the same rate as the local sales tax.
- O’Fallon seeks approval to put use tax measure on April ballot
- Local municipality, state legislator seek passage of use tax legislation
- O’Fallon introduces bill to codify use tax