Normal Proposes Higher Property Tax
By: Jacob Long, WMBD/WYZZ-TV
Updated: October 16, 2012
NORMAL - People in Normal might want to set aside some extra money.
Leaders are proposing a property tax increase for not only the town, but also the library.
Collectively, the proposed increase is 4.65%. For the owner of a $150,000 home, that would mean an extra $30.
Town leaders argue two reasons are driving their proposal for an increased revenue stream.
One is rising pension obligations mandated by state statute.
The other is an anticipated 1% decrease in the town's and county's assessed value.
Councilman Adam Nielsen is suggesting the town cut $250,000 to try and keep the tax rate closer to the current level.
His idea did not get very far with other council members during their regular session Monday.
City Manager Mark Peterson said even with the proposed increase, living in Normal is still cheaper than a lot of places.
"When we compare ourselves with a number of downstate Illinois communities, larger ones like Peoria, Rockford, Champaign-Urbana, Bloomington, Decatur and so forth, we have the lowest municipal property tax rate of all of those," he said.
Peterson also said cutting from the general fund, like Nielsen suggested, is not completely off the table.
It is something the council could come back and support, but for now Peterson said staff is moving forward with the proposed increase as it stands.
It's expected to bring in an extra $460,000 and will return to the town council's agenda next month.
Leaders are proposing a property tax increase for not only the town, but also the library.
Collectively, the proposed increase is 4.65%. For the owner of a $150,000 home, that would mean an extra $30.
Town leaders argue two reasons are driving their proposal for an increased revenue stream.
One is rising pension obligations mandated by state statute.
The other is an anticipated 1% decrease in the town's and county's assessed value.
Councilman Adam Nielsen is suggesting the town cut $250,000 to try and keep the tax rate closer to the current level.
His idea did not get very far with other council members during their regular session Monday.
City Manager Mark Peterson said even with the proposed increase, living in Normal is still cheaper than a lot of places.
"When we compare ourselves with a number of downstate Illinois communities, larger ones like Peoria, Rockford, Champaign-Urbana, Bloomington, Decatur and so forth, we have the lowest municipal property tax rate of all of those," he said.
Peterson also said cutting from the general fund, like Nielsen suggested, is not completely off the table.
It is something the council could come back and support, but for now Peterson said staff is moving forward with the proposed increase as it stands.
It's expected to bring in an extra $460,000 and will return to the town council's agenda next month.
