Hammond council approves ordinance to separate food-and-beverage tax into four accounts

The Hammond Common Council voted 9–0 on May 11 to adopt Ordinance 26‑13, creating four distinct funds to hold receipts from the 1% food‑and‑beverage tax the council approved in June 2024. Councilman Warple moved for final passage; the motion was seconded and approved by roll‑call vote.

City officials said the change responds to a recommendation from the state board of accounts and the city controller to segregate receipts into separate ledgers for administrative clarity. Councilman Warple explained the ordinance establishes Fund 3384 (food and beverage DSR‑m account), Fund 3326 (redemption account), Fund 3327 (rebate fund) and Fund 3343 (depository fund). “This isn’t anything new,” Warple said; “it is to further put into accounts the food and beverage tax that we passed in June of 2024.”

Clerk Goolic conducted the roll call; all nine council members present voted “yes.” The council chair noted the votes and closed deliberations on the ordinance.

The ordinance changes accounting structure only and does not alter the tax rate or expand its uses beyond what the council previously approved. The council did not attach new programmatic spending directives during the vote. The measure takes effect as provided in the ordinance and the clerk confirmed the roll‑call tally.

Council members also discussed other pending financial matters during the meeting, including capital allocations and claims approvals, but did not amend the food‑and‑beverage accounting measure. The council set no additional public hearings related to this ordinance.