TUA’s work in helping Itasca taxpayers oppose a property-tax-increase referendum was featured in the Daily Herald.
A government watchdog group is leading opposition to a property tax increase Itasca Elementary District 10 is seeking to raise more money for operations.
Now both sides are debating how much the proposed tax hike would cost property owners if voters approve the referendum question on April 9.
“They (District 10 officials) are lying to the voters in order to pass a tax increase that would line their own pockets,” said Jim Tobin, president of the Chicago-based Taxpayers United of America.
District 10 is asking voters to give it an additional $1 million annually to fill a budget shortfall that officials say resulted from several factors, including decreased state and federal funding.
Taxpayers United of America, however, is taking issue with the district’s claim on its website that the owner of a $300,000 home would pay about $240 more a year in property taxes if the ballot question is approved.
Language on the ballot does state the 2013 levy for District 10 is estimated to cost the owner of a $300,000 home about $846 in extra taxes if the tax hike is approved.
But district officials insist most of the projected increase — about $606 — is caused by a big drop in the taxable value of land in the district.
Since 1991, a state-imposed cap has limited the amount by which many taxing bodies can increase their levies to the rate of inflation or 5 percent, whichever is lower. But even with the cap, tax rates still can increase if the overall taxable value of property drops.
For District 10, the tax rate was roughly $1.90 per $100 of assessed value in 2011, when the overall value of land in the district was about $516 million.
This year, the value of land districtwide is projected to be a little more than $418 million, officials said. So even if the ballot question is defeated, the district’s tax rate is expected to rise to about $2.51 per $100 of assessed value.
“Our tax rate is climbing fairly steeply,” said Kory Atkinson, the school district’s director of operations. “That doesn’t mean the district is getting more money. It just means property values in our district are dropping pretty dramatically.”
If the April 9 ballot question is approved, the district’s rate is projected to climb to about $2.75 per $100 of assessed value.
Superintendent Marcia Tornatore says District 10 needs the $1 million in additional revenue because it has had to dip into its reserve cash to pay for expenses.
“It (the tax increase) will generate the money that we’re looking for to maintain our programs,” she said.
And if the tax increase generates more than $1 million in revenue, Tornatore said, the school board has promised to return any extra cash to taxpayers.
Nevertheless, Taxpayers United of America on Monday announced it is working with activists in District 10 to defeat the proposal.
Rae Ann McNeilly, the group’s executive director, called the district’s explanation about how much the proposed increase would cost taxpayers “an attempt to mislead the voters.”
“They are trying to find a way to fool the public into approving a really expensive property tax increase,” she said.
McNeilly said her group opposes the tax increase, in part, because most of the money would pay for salaries and benefits for District 10 staff.
“They are asking taxpayers — who have already taken a hit with declining house values — to take another hit,” McNeilly said. “I think not.”
View Release as PDF
Ottawa, IL —Taxpayers United of America (TUA) today released the results of a new pension and salary study of the employees of LaSalle County government employees, LaSalle County government teachers, Illinois Valley Community College and Ottawa (county seat) Municipal government employees.
“Illinois lawmakers continue their abuse of taxpayers by ignoring the number one budgetary problem in the state,” stated Jim Tobin, president of TUA. “Illinois is in horrible financial shape, and yet taxpayers are still expected to pour their hard earned money into a failed government pension system.”
“At 10.8%, LaSalle County has one of the highest unemployment rates in the state. Decreased home values, a 67% increase in state income tax and a 44% increase in Social Security tax have stripped wealth from LaSalle area taxpayers.”
“But the outlook for LaSalle County could be positive, if government bureaucrats can keep their greed in check and allow taxpayers to enjoy the growth that can result from a booming mining industry in the area. Rather than look for ways to pillage this growth industry, county officials should be encouraging this growth by limiting regulations and taxation.”
“The short sighted greed of the very bureaucrats who put their own high pay and pensions above that of their constituents can potentially stop this boom in mining before it gets started. 80% of all local taxes are used to fund salaries and benefits of government employees. More than 11% of LaSalle County residents are government employees.”
“Across the country, millions of bureaucrats are being paid trillions, to do absolutely nothing! With 3%, compounded cost of living adjustments (COLA), LaSalle County government retirees double their pensions after only 24 years of retirement.”
“For example, Steven G. Schoepf retired from the LaSalle County government at the ripe old age of 55 and collects an annual pension of $64,053. His estimated lifetime pension payout is a stunning $2,798,059, 2.4% of which was his contribution.*”
“At only 60 years of age, Craig A. Carter retired from La Salle-Peru TWP HSD 120 and has an annual pension of $130,971, with a staggering estimated lifetime payout of $4,672,574. His contribution of the estimated lifetime payout would be only 4.1%.*”
“Seven Ottawa municipal government employees who all retired before the age of 59 and some at the age of 50, will each collect more than $1.5 million in pension payments over a normal lifetime.”
“The vast majority of full-time government employees in this study are paid more than the average LaSalle County wage of $37,604 reported by the US Census. Taxpayers simply can’t afford to pay so many, so much.”
Astounding Top Pensions and Salaries for LaSalle County:
- LaSalle County Government Eployees Salaries
- LaSalle County Government Employee Pensions
- LaSalle County Government Teacher Salaries
- LaSalle County Government Teacher Pensions
- Ottawa Municipal Government Employee Salaries
- Ottawa Municipal Government Employee Pensions
- Illinois Valley Community College Government Employee Salaries
- Illinois Valley Community College Government Employee Pensions
“The Illinois government pension system will collapse by 2015 unless there is sweeping reform: raise retirement age to 67, increase employee pension contributions by 10%, increase healthcare contributions to 50%, eliminate all COLA’s, and replace the defined benefit system with a defined contribution system for all new hires. It’s mathematically impossible to tax your way out of this problem and yet LaSalle County government bureaucrats intend to try.”
*Lifetime estimated pension payout includes 3% compounded COLA and assumes life expectancy of 85 (IRS Form 590).
The Times highlighted TUA’s upcoming press conference in Ottawa, Illinois.
Tax activist Jim Tobin, president of Taxpayers United of America, will discuss local pension and salary payouts during a public news conference at 11 a.m. Wednesday at Reddick Mansion, 100 W. Lafayette St., Ottawa, in the first-floor meeting room.
Tobin, an independent investigator, is expected to reveal details from a recently compiled pension and salary study exposing the top pensions and salaries for La Salle County government employees, Ottawa municipal government employees, Illinois Valley Community College officials and instructors and area school administrators and teachers.
In a news release, Tobin says, “These lavish pensions (and salaries) are consistent with findings across Illinois and are destined to collapse state and local budgets while state and local bureaucrats continue to tax their way out of trouble.”
Tobin has conducted similar public meetings about these issues in communities across the state.
Founded in 1976, TUA is one of the largest taxpayer watchdog organizations in America. To learn more, visit the website taxpayersunited.org.
