After the November meeting of the Algonquin Township Board, McHenry County Blog ran a story pointing out that Bob Miller’s Road District had proposed keeping taxes constant, but that the levy for the Town Fund, while constant, actually would result in a tax hike.
The reason was that last year’s levy was high enough to allow for more money to be collected. Last year, the County Clerk’s Office did not allow the entire levy to be collected…probably because it was higher than the Property Tax Cap allowed.
That left room for more taxes this year, even the levy was the same as last year’s.
In order for a local government to collect about the same as last year, its levy must be pretty close to the amount collected last year. That figure is called the “extension.”
Because there is some growth (think of the commercial remodeling and construction on Route 14 in Crystal Lake), a tax district could actually raise its levy a tiny bit (the county assessor says about one-quarter of one percent for the county as a whole) without raising bills on last year’s taxpayers.
Last year the extension for the combination of the Algonquin Town Fund and the General Assistance Fund was $1.812,281.
The levy passed in November for this coming year was $1,861,000.
So, unless something is done quickly, Algonquin Township taxpayers will have to come up with an extra $51,281 more.
Not a lot, but a tax increase allowed under the Real Estate Tax Cap rules, which allows up to a 3% jump in property tax revenue for next year’s bill.
Now, the Algonquin Township Board of Trustees is being given a second chance.
Supervisor Dianne Klemm has put the following item on Wednesday’s agenda under New Business:
Resolution to authorize the Supervisor to amend the Levy to last year’s extension.
As I understand the process, there is a short window of opportunity after the County Clerk’s Office decides what the tax rate will be and how much taxes will be extracted from taxpayers’ pockets.
In that perhaps less than a week’s time frame, a district may make a last minute change.
If a resolution authorizes the Townships Chief Executive Officer, Supervisor Klemm, to do lower the levy to last year’s extension (pretty much the amount collected), Algonquin Township taxpayers could actually see a small tax cut because the amount to be collected would be shared by not only the taxpayers of last year, but the new taxpayers of this year.
The meeting will start at 7 at the Township Hall on Route 14. The entrance to the meeting room, in the northeast corner of the building on the lower level , is from the back parking lot.
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It is my understanding every tax district could make such last minute changes.