As I have written before, the State of Illinois is contemplating cutting Northlake’s share of the state income tax by 50%, or approximately $608,000. As of the date I am writing this article, May 18, this issue is still not resolved. We have since received the preliminary funding requirements for the police pension fund for 2016. Last year’s funding requirement was $1,012,148. The projected amount for 2016 is $1,297,213, an increase of $285,065, which is 28% higher than 2015.

These are preliminary numbers, but the City of Northlake is mandated by state law to fund the pension as required.

Between the proposed cut in the share of the income tax, and the increased amount required by the police pension fund, we are looking at potentially making up $893,065.00 in the 2016 budget.

The City’s property tax levy for 2015 was $5,158,445. A 3% increase will yield $154,753 in additional funding. A 5% increase will yield an additional $257,922.

While the City of Northlake is only 11% of the total tax bill, I am not in favor of increasing real estate taxes as they are already too high due in large part to the State’s failure to properly fund our schools.
This option may be eliminated anyway, as there are several bills floating around the legislature to freeze the property tax.

As you can see, the City is facing financial pressure for 2016, which will be compounded by usual increases for insurance, utilities, wages and other normal cost. In addition, infrastructure repairs and
improvements, such as street resurfacing and water main replacements must continue to be made as well.

We have outlined steps the City has made to contain costs in our previous newsletter. We will continue those efforts and hopefully we will have a clearer picture of what is happening in Springfield by the end of this summer.
In the meantime, work continues on various street resurfacing and improvement projects for this year.

Please enjoy the summer and I hope to see many of you at the City’s fireworks display, sponsored by Octapharma on Saturday, June 27, 2014.

Mayor Jeffrey T. Sherwin