Illinois governor approves repeal of sales tax on tampons

Gov.+Bruce+Rauner.+%28Anthony+Souffle%2FChicago+Tribune%2FTNS%29

Gov. Bruce Rauner. (Anthony Souffle/Chicago Tribune/TNS)

Illinois joined a handful of states and the city of Chicago in repealing a so-called “tampon tax” as Gov. Bruce Rauner approved a bill that exempts feminine hygiene products from the state sales tax.

Currently, tampons and sanitary napkins are taxed by the state of Illinois as “luxury items” at 6.25 percent. The new law, which takes effect Jan. 1, removes that tax by putting the products in the same category as necessities like shampoo.

Earlier this year, the Chicago City Council and Cook County commissioners voted to exempt the products from their sales taxes.

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The change comes amid a campaign by advocates for women’s issues to end the tax in U.S. states and abroad.

“This is just the start of a conversation about the unfair ‘pink taxes’ women face as they buy products priced higher than similar ones marketed to men, or in this case, as they have to spend on products that men don’t,” said state Sen. Melinda Bush, D-Grayslake.

The governor’s action came as he signed, vetoed or rewrote more than three dozen bills on Friday.

Among them:

— Rauner approved legislation that will require companies to allow their employees to use up to half of their sick time to care for ailing family members.

— He signed a bill that sets limits on administrative fees charged by municipalities when they tow cars. That bill also prohibits impounding a vehicle for illegal parking unless it’s been parked for more than 48 hours or has been an obstruction during an emergency.

— The governor approved a measure that tasks his budget office with producing a yearly report with a four-year budget forecast that explains how the governor will plan to remedy a shortfall if spending is expected to exceed what the state takes in from taxes and other forms of revenue.

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“This bipartisan proposal will require the state to plan years in advance, instead of continuing to kick the can down the road year after year,” said sponsoring Sen. Laura Murphy, D-Des Plaines.

— Rauner rejected a bill that he said would allow the Metropolitan Pier and Exposition Authority to issue $293 million in bonds to replace the loan it used to fund construction of a second hotel by McCormick Place.

The governor reasoned that it would “increase the risk to the state of having to cover any shortfalls needed for the higher bond debt over the next 50 years.”

“The state is not in a financial position to accept this additional risk,” Rauner wrote in his veto message.

— The governor rewrote a bill that would allow the state to give $1 million to a non-profit organization to help food stamp recipients access fresh fruits and vegetables at farmers markets.

Rauner said he was concerned that up to 40 percent of the money could be spent on administrative costs, and changed the language to say that all of the money has to be distributed to farmers markets. He also slashed the grant amount in half and said it should be treated as a trial program “while we study its effectiveness and ensure that the funds are used to achieve the desired outcomes.”

— And Rauner vetoed a bill that would have made it clear that Cook County can take hundreds of millions of dollars in annual revenue from its higher sales tax and contribute the money to its pension fund — as it’s already doing.

The veto came after the county objected to the wording of the bill. Both county officials and the governor have agreed to keep working on the issue.

“We do plan to return with a comprehensive bill that addresses objections and is one which we are involved in drafting,” said Frank Shuftan, spokesman for County Board President Toni Preckwinkle.

Lawmakers will get the opportunity in the post-election session to decide whether to try to override the governor’s vetoes and rewrites.

Chicago Tribune’s Hal Dardick contributed. 

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