People dining in Merrillville will likely start paying an additional 1% on their bills in 2024 once the Town Council gives final approval on an ordinance allowing the body to enact it.

The Council at a special meeting Wednesday approved the ordinance 6-1 — with Councilman Leonard White, D-7, dissenting — on first reading as well as approved a companion ordinance that establishes a so-called receipts fund that would house the money the tax generated. White also cast a “No” vote on that motion.

The council initially brought up implementing the tax in April, two months after H.B. 1454, which allows Merrillville and Jasper County restaurants and bars to tack on the extra 1%, was approved and headed to Gov. Eric Holcomb to sign, the Post-Tribune previously reported. The council agreed, however, to slow-walk adding another tax.

The bill creates the ability for the town or city to enact a food and beverage tax of up to 1%, in .25% increments, which will be used, in Merrillville’s case, to expand the Dean and Barbara White Community Center. The expansion would allow for two additional basketball courts that could be converted into four additional volleyball courts, and the additional court space would allow the town to play host to regional sports tournaments that would encourage tourism, Town Council President Rick Bella, D-5, told the Post-Tribune previously.

The money would also be used only for parks and recreation projects, such as buying land and upgrading equipment; and pledging money for bonds, leases and other obligations incurred for parks and tourism, Bella said at the meeting. The tax is expected to generate at least $1.8 million in revenue annually, he said.

What the bill wouldn’t do, Councilman Shawn Pettit, D-6, said previously, is place an undue burden on those who may not be able to afford going out often.

“This is only on prepared food in restaurants and bars. It has nothing to do with grocery stores, so it will not affect those on a limited budget,” he said.

White told the council he voted “No” because he believes the new councilwomen — Shauna Hayes-Edwards, D-2, Leona Chandler-Felton, D-3, and Keesha Hardaway, I-7 — should have a say in the vote. Even if all three voted it down, however, it would have still passed by a majority 4-3 via ‘yes’ votes from Councilwoman Rhonda Neal, D-1, Bella, Pettit, and Councilwoman Marge Uzelac, D-4.

Clerk Treasurer-elect Eric O’Neal January, meanwhile, said the town hasn’t “done everything that we can as a town in order to make sure that our fiscal house is in order.”

“Before we get some more money, we need to start doing a better job with what we have,” he said.

The council will vote on the second reading of the ordinances at its 6:30 p.m. meeting Dec. 26.

Michelle L. Quinn is a freelance reporter for the Post-Tribune.