The DeKalb City Council approved a 1/2 percent city sales tax increase, amended from the original 1/4 percent proposal, and approved an increase of 2 cents per gallon gas tax at Monday night’s meeting.

The increased gas tax, however, likely won’t come to fruition.

For weeks, Mayor Greg Sparrow has opposed a rise in gas taxes because he thought it was unnecessary. Considering the city’s current state of budgetary affairs, he promoted the 1/2 percent city sales tax increase instead.

“My primary concern is [the city sales tax proposal] and that the gas tax is not asking enough,” Sparrow said. “Motor fuel is like Pandora’s Box, and we don’t need it right now.”

Initial debate by the council centered around the gas tax increase, which originally was favored by five aldermen. Sparrow, who wanted to veto this increase, couldn’t do so if five or more aldermen overrode his veto and subsequently were in favor of the tax.

The wild card was 1st Ward Alderman Karega Harris, who initially voted in favor of the gas tax. Monday night, he changed his decision and voted against the increase.

After speaking to constituents in his ward, Harris said he heard strong opposition in regards to the increase.

As a result, Harris’ vote allows Sparrow to file a veto on the gas tax increase, despite its 4-3 council approval.

Fifth Ward Alderman Patrick Conboy said the veto-vote could take place at the Sept. 22 meeting, making a final determination whether a gas tax increase will be enacted. Unless one of three aldermen siding with Sparrow changes his vote, the veto could occur and no gas tax increase would be installed.

Aldermen in favor of the increase said the money would be earmarked for road construction projects that would otherwise be funded through the current city budget. Those opposed to the increase felt it would result in citizens traveling outside the city to purchase gas; they also said it would do little to stymie DeKalb’s budget woes.

“We have long-term capital needs that we will be addressing years down the road,” said 7th Ward Alderman James Barr, in defense of the motor fuel tax increase.

Fourth Ward Alderman Michael Knowlton said a gas tax increase would cause diminishing returns because citizens would leave DeKalb to purchase gas.

“The idea people make a decision based on purchasing gas is nonsensical in today’s economy,” Conboy said, counteracting Knowlton’s statement.

Barr said a 1/2 percent increase would affect everyone in DeKalb, whereas a gas tax would affect a certain demographic – that being people who drive.

Conboy said a 1/2 sales tax increase would make DeKalb one of the highest taxing bodies in the area. He also cited that the original proposals with both a gas tax increase and a city sales tax increase of 1/4 percent wouldn’t put a huge strain on the citizens of DeKalb. This would allow outsiders visiting DeKalb to help the budget when they purchase gasoline.

The increased city sales tax for fiscal year 2004 could generate $700,000 for the city’s budget. However, Baker said this and any other tax increase approved or tabled won’t solve the overall problem.

“It’s the doom and gloom words that we heard a year ago, are hearing now and it’s going to get worse before it gets better,” Baker said.

City asks NIU for help

The original proposal asking the council to approve a $14,000 project to repaint the city’s south-side water tower to show an enlarged Huskie logo was denied in favor of an alternate option.

The money was supposed to be generated from the city’s water fund; however, various aldermen felt those funds could be better utilized.

“Considering spending money with this budget shortfall, we should learn discipline, control and force ourselves to sinch our belt,” Conboy said.

The council voted in favor to delay progress on the project and approach NIU to see if it could pay half of the $14,000.

Conboy said because the NIU logo is on the tower, it wouldn’t be a bad idea to attempt having it help fund the project.