Will Shopland customers pay an extra sales tax?

Belleville aldermen on Monday night voted 12-1 to authorize a study to see if the Shopland shopping center would qualify to be in a district that allows an extra 1 percent sales tax to help pay for rehabbing the shopping center.

Two council committees previously recommended that the full City Council hire St. Louis-based Economic Development Resources to study whether the Shopland shopping center at the intersection of Foley Drive and 70th and West Main streets qualifies to be in a new business district.

In this type of district, shoppers would pay an extra 1 percent sales tax and the money would be given to a developer who renovates the shopping center built in the 1960s. Shoppers currently pay an 8.1 percent sales tax in the shopping center.

The Hometown Ace Hardware at 6938 W. Main St. anchors the shopping center and Jefferson’s restaurant is in a building in front of the center. Owners of both businesses have said they support the possibility of using sales tax revenue to pay for renovating Shopland.

The Shopland proposal calls for Economic Development Resources to be paid $30,000 for the study. City officials said this cost would be recovered from a developer who signs a development agreement to use the extra sales tax revenue raised in the business district.

The shopping center must be found to be “blighted” in order to qualify to be in a business district.

Ward 2 Alderman Mike Buettner voted against the plan.

This story was originally published August 15, 2016 at 8:57 PM with the headline "Will Shopland customers pay an extra sales tax?."