Village Anticipates Minimal Property Tax Increase

The New Lenox Village Board provided an overview of the upcoming property tax levy Monday night. The levy is expected to increase slightly.

The increase is expected to be minimal—about $10 for an average homeowner with a $200,000 house, according to Kim Auchstetter, village finance director. .

Last year, villagers also saw an increase that averaged $10 as well. However, the village saw $5.3 million in fresh growth in 2011.

This year, growth from new homes and medical facilities brought in to accommodate Silver Cross Hospital made up for only $1.8 million, said Auchstetter. 

Meanwhile, the equalized assessed value of New Lenox homes is estimated to be down about 5.5 percent compared to a 5 percent drop last year, said Auchstetter. The drop is due to the diminished value of homes in 2011. 

Overall, the village is expected to levy $2,448,552. That amount coincides with the state's 3 percent property tax extension limitation set for non-home rule municipalities.

Mayor Tim Baldermann said despite the village's two-year-old home rule status, which gives it the authority to tax at higher rates; this municipality is not going to exercise that right. 

"We made a promise" to voters that if they approved home rule status, the village would not invoke use the full breath of its taxing powers. Maintaining the 3 percent tax cap established for municipalities lacking home-rule status is part of that promise.    

The board is expected to vote on the tax levy at its meeting at 7 p.m. Monday, Dec. 10, at Village Hall.

At the meeting, Auchstetter said while she didn't have all the figures at hand, the bulk of the levy is used to pay for employee obligations. The police pension gets 33.56 percent of the money collected, the Illinois Municipal Retirement Fund gets 28.59 percent and FICA (Federal Insurance Contributions) gets 26.95 percent.

The other categories that are fed through the tax levy are: garbage and disposal along with the general fund and the state audit. All total, 89.1 percent of the levy is used to support the basic funds, said Auchstetter.

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