As reported here earlier, Chicago has begun implementing a large tax on city water. The first tax of 7.5 percent was put in place in March and will continue to climb over the next four years, until it reaches a rate of 30 percent. What’s more, this doesn’t take into account the regular annual increases that will continue to be added to Chicago laundry owners’ water bills.Since the tax was first announced, the Illinois Coin Laundry Association has been working hard to get vended laundries exempted from this tax – and recently a city ordinance was introduced that would allow for a full refund of the tax paid by self-service laundries now and in the future.” Although getting the ordinance introduced is a giant leap forward, it’s not the end of the effort,” explained ILCLA President Paul Hansen. “This ordinance has been assigned to the Finance Committee, and it will be necessary to lobby the members of that committee to make sure it becomes a law.” As of now, only a handful of store owners have been willing to contribute to this effort, and we are out of money to proceed,” Hansen continued. “I am asking all of you in the business to contribute to the effort. If you take a look at the cost of the tax on your most recent water bill, please consider contributing at least that amount to our effort. Together, we can save our industry millions of dollars a year by getting this ordinance passed.” Those interested in donating to this critical industry cause can learn more and do so by clicking the button below:
The following are the details of the introduced ordinance:
Meeting Date: 11/8/2017
Type: Ordinance
Title: Amendment of Municipal Code Sections 3-80-030 and 3-80- 040 to impose a refund to Self Service Laundry operators in City of Chicago reflective of 2016 Water Tax
Committee(s) Assignment: Committee on Finance
WHEREAS, Self Service laundries serve low and moderate-income families within the City of Chicago. The Self-Service laundry Water/ Sewer Refund entitles Self Service laundries operating within the City of Chicago, with designated separate metered water service or a separate city water assessment for a Self-Service laundry, to a Refund from the 2016 Water Tax sections 3-80-030 and 3-80-040 Et al., and entitles the Self-Service laundry to a refund that will be applied to subsequent water bills. The Self Service laundry Refund program will be administered in its entirety through the City of Chicago Water Department.
To be eligible for the September 2016 water/sewer service charge refund the Self-Service laundry must meet the following criteria:
- The entity must be licensed to do business in the City of Chicago as a “Self Service laundry”.
- The person submitting must be the licensed operator of the Self-Service laundry.
- The Self-Service laundry must have a separate water meter account in the name of the entity.
- The Self-Service laundry must meet all the above criteria and wish to apply; the SelfService Laundry is required to submit a Self-Service laundry Refund Application.
- The form must be completed in its entirety and submitted with all supporting documentation.
- If the conditions under which the Self-Service laundry Refund change, the Self-Service Laundry is required to make the City aware of these changes to determine if the Refund still applies.
- If it is determined that the refund was approved under false pretenses, the Self-Service Laundry may be liable for any previously refunds made as well as any applicable fines.
- All water accounts must be controlled by a meter to be eligible for a refund.
If the City determines a vault is required to be built on the public right of way prior to the installation of a meter and the Self-Service Laundries can demonstrate financial hardship, the City will pay the upfront costs to install the meter and the Self-Service Laundry Coin will be placed on a long-term payment plan with the Department of Finance.
The City reserves the right to request recertification of the Refund periodically. The refund will be equal to any increase in the water tax rates made after June 1 2016. Applications for this refund are made through the Aldermanic office of the Self-Service Laundry.
Summary of Municipal Code “11-12-S40” Refund from Charges (As Amended)
The ordinance provides a Refund to Self Service Laundries from the 2016 Chicago Water and Sewer Tax sections 3-80-030 and 3-80-040 Et al.
Signed by Alderman David Moore, 17th Ward; Alderman John Arena, 45th Ward; and aldermen of the 6th, 22nd, 16th, 37th, 18th, 8th, 36th, 32nd, 3rd, 29th, 30th, and 34th Wards
