DeKALB – A 2-cent motor fuel tax increase that could generate $360,000 a year for the repair of DeKalb's underfunded roads might be voted on Monday during the City Council meeting.
The ordinance passed first reading during the council's Dec. 11 meeting, but a request to waive second reading, which would require a two-thirds supermajority, was defeated by the no votes of First Ward Alderman David Jacobson, Third Ward Alderman Michael Marquardt and Sixth Ward Alderman Mike Verbic.
Local gas station owners have been largely against the proposal and are worried that motorists will drive to a station in a neighboring town – Sycamore, for instance – to get a better deal.
Currently, the local motor fuel tax rate is 3.5 cents per gallon for streets and the needs of the DeKalb Taylor Municipal Airport. Since collections at the new rate of 5.5 cents per gallon are proposed to begin March 1, the estimated revenue for the 2018 fiscal year will be for around $300,000.
Last fiscal year, the city devoted roughly $300,000 to fund around 80 percent of the city's roads. The remaining 20 percent of streets fall within the city's two tax increment financing districts and were funded by $1 million in TIF dollars.
Should the ordinance be approved, more than $2 million will be devoted to street maintenance, $1.5 million of which would go toward non-TIF roads.
The council will meet at 6 p.m. in the council chambers of the DeKalb Municipal Building on 200 S. Fourth St.