(A) Approval of the District Plan. The Business District Plan, a copy of which is attached to Ordinance 2020-07 as Exhibit A and incorporated herein by reference, is hereby approved.
(B) Establishment of the Business District. The Business District is hereby established pursuant to the Business District Plan and the Business District Law. The boundaries of the Business District are legally described in Appendix A of the Business District Plan and depicted in Exhibit A of the Business District Plan, which legal description and depiction are incorporated herein by this reference. The Business District includes five parcels of real property which are directly and substantially benefitted by the Business District Plan. The City Council shall have and possess, without limitation, such powers with respect to the Business District as authorized under the Business District Law and the Business District Plan.
(C) Imposition of Business District Taxes.
(1) A Business District Retailers' Occupation Tax is hereby imposed upon all persons engaged in the business of selling tangible personal property, other than an item of tangible personal property titled or registered with an agency of the State of Illinois, at retail within the Business District at the rate of 1.00% of the gross receipts from such sales made in the course of such business; and a Business District Service Occupation Tax is hereby imposed upon all persons engaged, in the Business District, in the business of making sales of service, at the rate of 1.00% of the selling price of all tangible personal property transferred by such serviceman as an incident to a sale of service. This "Business District Retailers' Occupation Tax" and this "Business District Service Occupation Tax" shall not be applicable to the sale of food for human consumption that is to be consumed off the premises where it is sold (other than alcoholic beverages, soft drinks, and food that has been prepared for immediate consumption) and prescription and non-prescription medicines, drugs, medical appliances, modifications to a motor vehicle for the purpose of rendering it usable by a disabled person, and insulin, urine testing materials, syringes and needles used by diabetics, for human use.
(2) An occupation tax is hereby imposed upon all persons engaged in the business of renting, leasing, or letting rooms in a hotel, as defined in the Hotel Operators' Occupation Tax Act, at a rate of 1.00% of the gross rental receipts from the renting, leasing, or letting of hotel rooms within the Business District, excluding, however, from gross rental receipts the proceeds of renting, leasing, or letting to permanent residents of a hotel, as defined in the Hotel Operators' Occupation Tax Act, and proceeds from the tax imposed under subsection (c) of Section 13 of the Metropolitan Pier and Exposition Authority Act.
(3) The taxes imposed pursuant to division (C)(1) and (C)(2) of this section shall be for the planning, execution and implementation of the Business District Plan and to pay for business district project costs as set forth in the Business District Plan, including payment of bonds, notes or other obligations (the "obligations") issued to finance such business district project costs. These taxes shall be in full force and effect until the earlier of (i) payment of all obligations in accordance with the Business District Plan, or (ii) the dissolution date (as such term is defined in the Business District Law) of the Business District.
(4) The imposition of these Business District taxes is in accordance with the provisions of subsections (b), (c) and (d), respectively, of Section 11-74.3-6 of the Business District Law.
(5) The taxes imposed pursuant to division (C)(1) of this section and all civil penalties that may be assessed as an incident thereto, shall be collected and enforced by the Department of Revenue of the State of Illinois. The Department of Revenue shall have full power to administer and enforce such provisions of this section. The taxes imposed pursuant to division (C)(2) of this section and all civil penalties that may be assessed as an incident thereto, shall be collected and enforced by the city. The city shall have full power to administer and enforce such provisions of this section.
(D) Business District Tax Allocation Fund. The city hereby establishes the Troy Business District IV Tax Allocation Fund in the custody of the City Treasurer and each distribution of taxes imposed by this section to the city from the Department of Revenue shall be deposited in such fund for the purpose of paying or reimbursing business district project costs and obligations incurred in the payment of the costs.
(Ord. 2020-07, passed 3-2-2020)