City raises taxes 11%

The Morris City Council has approved an 11% increase in city property taxes, as reported in this Morris Daily Herald article. City property taxes will increase by $187,589 to $1,961,500 - an 11% increase over the previous year.

(This isn't including the city's TIF tax, which adds $3,000,000 annually in hidden property taxes.)

City officials chant the misleading mantra that the tax rate has remained level, while imposing double-digit tax hikes on residents year after year.

According to alderman Jeff Paulson,

Your taxes (paid to the city) are going up because the value of your property has gone up,”

Really? Has the value of your home gone up by 11 percent over last year?

Well get out your wallet, because city property taxes just did.

Opportunity for our schools

Skeptical Morris has finally weighed in on TIF. I do not share Skeptical's defeatist attitude about the use of TIF for the new city hall. The city council is divided on the issue of the new city hall, and it doesn't appear that the mayor has the votes to approve the project in its present form. Two points merit further consideration.

Point Number One:

It is true that the city amended the Redevelopment Plan in 1999 to designate funds for the construction of a new city hall - just days before an amendment to the TIF law that would prohibit such a use. However, the amended plan does not give the city carte blanche to build the city hall. The 1999 amended Redevelopment Plan only earmarked $2.5 million dollars for the project - a far cry from the $14 million or more that is now being estimated, and the nearly $2 million already spent.

This substantial change to the Redevelopment Plan requires consideration by the Joint Review Board, which consists of the members of the affected taxing bodies. There will have to be specific findings that bring the project within one of the limited exceptions to the 1999 ban on the use of TIF money to fund municipal buildings.

If the Joint Review Board dissaproves the change in the redevelopment plan, the city can proceed with the project only on a three-fifths vote of the City Council.

Any TIF funds not expended before the expiration of the TIF term must be returned to the affected taxing bodies. Districts 54 and 101 could recoup millions of dollars diverted from schools to the TIF slush fund.


Point Number Two:

The Morris TIF is set to end in 2009. The city has already approached the school districts asking for a twelve year extension.

When Morris adopted the TIF in 1986, it was sold to the city council, the schools and the public as a means to spur development in blighted areas and ultimately generate additional property tax revenue for the taxing bodies.

The city has demonstrated that it cannot be trusted to use TIF money for its intended purpose.

The school districts have the power to end the Morris TIF in 2009. Let's hope that the school boards do not miss this opportunity to address the financial needs of educating our children, while at the same time bringing much needed tax relief the residents of their districts.



City acknowledges TIF hurdles in this MDH article

Ben Joravsky of the Chicago Reader has authored numerous articles on creative TIF abuses in Chicago. Check out the TIF Archives.

Full text of the TIF law

Seneca school districts win TIF abuse lawsuit

Oak Park school districts demand return of TIF money

It's a start

The District 54 Board has voted (with two opposed) to eliminate one administrative position, that of Finance Director. It's about time at least one taxing body has determined to make fiscal responsibility a priority. Other taxing bodies should follow their lead. As an added bonus, the board did not consider any resolutions asking for the resignations of the dissenters.

Taxes

Tax bills are out. Taxes on a house in Morris might be double what they are for a comparable home in Coal City. (Yes, taxes in Coal City are substantially lower than last year.)

A Morris resident is likely to be paying more in taxes than an owner of a comparable house in places such as Naperville. Except Morris doesn't have the services that Naperville has, like park districts and public transportation.