Tax levy approved for 2009

December 16, 2008

By Edward Husar

With no votes to spare, the Quincy City Council on Monday approved a $5.1 million tax levy that will impact property tax bills paid next year.

Eight votes are required to a pass an ordinance, and Mayor John Spring -- who doesn't vote except in special circumstances -- had to cast a vote in support for the tax levy ordinance to be adopted 8-3.

Three aldermen voted against the levy: Paul Havermale, R-3, Mike Farha, R-4, and Tony Sassen, R-4. Four aldermen were absent: Steve Duesterhaus, D-2, Mike Rein, R-5, Jennifer Lepper, R-5, and Jack Holtschlag, D-6.

The seven remaining aldermen -- all Democrats -- voted in favor of the ordinance. After the meeting, Farha and Havermale said they voted against the tax levy because the total amount to be raised by

taxation is going up $227,416, a 4.7 percent increase from the 2007 levy.

"I've got a long-standing track record of not wanting to vote for aggregate tax increases, and I think this is a particularly difficult time" to seek an increase, Farha said.

Farha said a 4.7 percent increase in the levy may be "a small number, but it's still relatively large to a lot of people."

Havermale agreed: "In the economic times that we have right now, I think any raise in people's taxes right now is just not prudent."

Spring noted that even though the tax levy is rising by 4.7 percent, the city's property tax rate is expected to drop slightly because property assessments in the city have gone up by an estimated 5 percent since last year, mainly because of a township multiplier.

Spring expects the tax rate to reach its lowest point in at least 25 years.

"I think the fact that we've lowered the tax rate again is a credit to us trying to address the fact that we don't want our residents to feel as though the city is trying to tax them more for the services that we're providing," he said.

One reason the tax levy is going up is because of higher costs for firefighter and police pension obligations, which are financed with property taxes.

The levy for firefighter pensions is rising 27.9 percent to $1.5 million, while the levy for police pension is rising 18.9 percent to about $1.18 million. Combined, those two items comprise 53 percent of the total tax levy.

Spring said the city has no choice but to pay its pension obligations, which have grown in recent years because of legislative mandates handed down by the Illinois General Assembly.

"As the state has not funded some of the mandates, it puts the burden back on the municipalities, particularly when it comes to the pension shortfalls. So our property tax, for the most part, goes for those pensions now."