Village officials in Park Forest are set to implement a 1-percent local grocery tax starting on Jan. 1, 2026, in order to maintain revenue levels as the state of Illinois phases out its own 1-percent grocery sales tax.
Deputy Village Manager and Finance Director Mark Pries outlined the plan in a memorandum to the Park Forest Board of Trustees earlier this month. Without local action, Pries explained, the Village stands to lose an estimated $120,000 in annual revenue when the state tax expires at the end of the year.
"Replacing this revenue would otherwise require increasing the annual property tax levy," Pries wrote in the memo. "The Village is opting to implement the 1-percent grocery sales tax instead."
The proposed ordinance, titled "An Ordinance Implementing a Municipal Grocery Retailers' Occupation Tax and a Municipal Grocery Service Occupation Tax," was drafted under new authority granted to municipalities by state legislation. This measure would allow Park Forest to impose both a retailers' tax and a service tax on groceries, mirroring the structure of the previous state tax.
The ordinance received its first reading at the Village Board's Regular Meeting on May 19, with discussion during the Rules Meeting on June 9. Final adoption is expected on June 16.
If approved, the tax will be collected by the Illinois Department of Revenue, which will also oversee enforcement. The ordinance must be filed with the department by Oct. 1 to ensure it takes effect on Jan. 1, 2026.
During Monday night's board meeting, Mayor Joseph A. Woods reiterated to the public that this wouldn't be a new tax. He said the tax is merely replacing a tax that's already in place.