Village Will Give Portillo's Revenue Back to Residents

Mayor Tim Baldermann praised Portillo's cooperation and generosity Monday before the Village Board gave final approval to the restaurant's plans to build in New Lenox. 

At the April 9 Village Board meeting, trustees approved an economic incentive agreement that will give back about $60,000 in sales tax revenue generated by Portillo's, which plans to open this fall in a lot by  and .

But president Dick Portillo made a surprising gesture last week, announcing he would . 

"I was floored," Baldermann said. "I checked the caller ID to make sure it was really him and not a prank."

At the Village Board meeting, Baldermann said New Lenox would take the additional sales tax revenue it will now receive and put it toward the . 

When  asked residents to give it home rule status in 2008, thus increasing sales tax by 1 percent, officials promised to rebate 33 percent of residents' property tax bills. The percentage rebated quickly rose to 40 percent and then 50 percent. 

This year, the village rebated $700,000 in property taxes to residents, or 50 percent of their village tax bills. Realistically, Baldermann said, that could increase to 55 percent.

Programs such as the tax rebate, as well as some vocal opposition from independent restaurants in New Lenox, led Portillo to forego the incentive. 

Baldermann clarified a report last week in Patch , according to one restaurant owner. In actuality, Baldermann said, it was only "a couple of restaurants that caused concern in a very inappropriate form."

He met with restaurant representatives last week and said only a few showed, a couple of which were just interested in hearing the mayor's response and not attending to oppose the incentives. 

Still, the mayor stood by the earlier decision to offer tax incentives. 

"We made a wise business decision," he said. "We weighed how much we were giving and what we are getting for it."

After Baldermann's praise, the board unanimously approved the final PUD plat for Portillo's, which made a few changes to its plans, including a wider entrance to the south and moving the trash enclosure further from a single-family home adjacent to the property. 

Read more about Portillo's plan to open in New Lenox.