Laserfiche WebLink
RESOLUTION NO. 34-72 <br />RESOLUTION OBJECTING TO THE :TAXATION OF LOCAL GOVERNMENT BONDS <br />WHEREAS, the State of Illinois has objected to the Federal Govern- <br />ment taxing state and local bonds, and <br />WHEREAS, the costs of building schools, public buildings, sewage <br />and water treatment facilities, and many other public improvements have <br />increased substantially in recent years, and <br />WHEREAS, the financing required to abate air and water pollution <br />as required by the state and federal governments will necessarily mean <br />that millions_ of dollars will be .required by the issuance of municipal <br />bonds, and <br />WHEREAS, the taxing of municipal bonds by either the state or <br />federal governments further deters municipalities from solving their <br />own problems because of the higher interest rates which must be paid <br />due to this taxation, and <br />WHEREAS, property tax rates are presently at a high level and this <br />taxation will further increase the=se rates due to future projects <br />critically needed, and <br />WHEREAS, the cost of living .is increasing substantially more than <br />the interest presently received on local government bond investments, <br />and <br />WHEREAS, the Illinois investors are placed in an unfair competitive <br />position, since most other states do not tax municipal bonds, and <br />WHEREAS, it is becoming more and more difficult to find purchasers <br />of local bonds with the present tight money market, with this taxation <br />further limiting issuance of bonds in Illinois when the need is becoming <br />more critical each day, <br />NOW, THEREFORE, BE IT RESOLVED that the President and Board of <br />Trustees of the Village of Elk Grove Village, Counties of Cook and <br />DuPage, State of Illinois, endorses the elimination of the state income <br />tax on local government obligations, and <br />BE IT FURTHER RESOLVED that -the objection of the state and local <br />governments to the federal government's taxation of state and local <br />bond interest is heartily endorsed, and <br />BE IT FURTHER RESOLVED that copies of this Resolution be distributed <br />to members of the Illinois Cities and Villages Municipal Problems <br />Commission, and other interested parties. <br />PASSED this 2nd day of May 1972. <br />APPROVED this 2nd day of May 1972. <br />Charles J. Zettek <br />Village President <br />ATTEST: <br />Richard A. McGrenera <br />Village Clerk <br />