Wednesday, May 18, 2011

Alcohol in the news; Champaign will probably have a new package liquor tax

3 stories from around town on a proposed package liquor tax


Champaign backs 4% liquor tax to keep police department jobs



CHAMPAIGN — The city council on Tuesday night took steps to reverse a plan to cut three civilian positions in the police department, a proposal which opponents had argued would be a significant blow to police officers' safety.

The caveat: Residents, or at least those who buy alcohol, will have to pay for it.


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That is where a new package liquor tax would come in. In a separate 6-3 vote, council members on Tuesday night tentatively supported the establishment of a 4 percent tax on retail liquor sales. If the new tax receives formal approval this summer, it could bring in roughly $700,000 per year to pay for city services, Finance Director Richard Schnuer estimates.



It could get more expensive to buy booze in Champaign



It needs to figure out a way to bring in more money, or else people at the police department could get booted from their jobs.

"I think it's a good way to collect more money and get money in community, because people here drink," said Kathleen Crombez from Champaign.


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"I think if Champaign puts a 4% tax on alcohol, people will go to Urbana to buy liquor," said Eric Wildhagen from Champaign.

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Here's how the tax breaks down:
If you drink a glass of wine each night, that adds up to about 73 bottles of wine over a year.
If each bottle costs roughly $10 that adds up to a total of $730 spent on wine through out the year. The proposed liquor tax would add about $30 dollars to that tab.
If you drink a can of beer each day, it would add up to about $9 extra each year.


Champaign city council votes on police desk cuts, packed liquor tax




The straw poll called by Mayor Gerard also included a vote on a four percent tax on packed liquor. Such a tax has been passed in the cities of Normal and Bloomington, and the city of Champaign could take in around $700,000 if the tax is passed.

The council voted 6-3 in favor of the tax.

The new liquor tax, if formally passed, would essentially pay the $212,000 needed to retain the three staff positions which would allow the police lobby to remain open 24 hours a day. Richard Schnuer, finance director, said the new tax, if formally passed, would not be adopted until July, and that August 1 would be the first effective date of the tax.

So, Friar Tuck is in Savoy...

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