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NewsTuesday, October 16, 2007 1:21 PM CDT
Running town of Normal to be less taxing
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NORMAL — Property owners could pay a smidgen less to help run town operations next year.

Finance Director Ron Hill believes an increase in the number of property owners in Normal will help the town’s tax rate go down by about 1 cent per $100 assessed valuation even though the 2007 property tax levy is going up by nearly 5 percent.

The City Council on Monday recommended preparing a tax levy of $8,175,000, up $377,009 from the 2006 levy. The state’s Truth in Taxation statute requires municipalities meet at least 20 days before approving the levy to determine the amount.

The town’s tax rate is expected to go from the current 0.7582 cents per $100 assessed valuation to 0.7472 cents, based on a 5 percent increase in the town’s total assessed valuation.

The tax rate for Normal Public Library is expected to go from 0.3292 cents per $100 assessed valuation to 0.3383 cents, taking the total rate for the town from the current $1.0874 to $1.0855.

For example, the owner of a $200,000 house would save about $1.26 on their property tax bill, with the total amount paid to the town and library dropping to about $723.65.

“Although it may not feel like it when we’re paying taxes, Normal has one of the lowest, if not the lowest, tax rates downstate,” said Councilman Jason Chambers.

City Manager Mark Peterson said only 10 cents of each tax dollar goes to the town. Property tax bills also include taxes for other taxing bodies including Unit 5 school district, Bloomington-Normal Airport Authority and McLean County.

Peterson said two-thirds of the property taxes collected by the town — $5,627,000 — are used to fund pensions mandated by the state: police and firefighters’ pensions, Illinois Municipal Retirement Fund and Social Security.

“We don’t have a say, yet we’re required to pay,” said Mayor Chris Koos.

Councilman Adam Nielsen suggested the town should talk to the new task force the governor plans to start to study property taxes in Illinois.

“We should suggest the one thing that would help us is to stop the increases in pensions,” Nielsen said.

The library will receive $2,548,000 of the amount levied, and the general fund, which finances day-to-day operations of the town, remains steady at $1,600,000.

Falling taxes

The tax rate for the town and Normal Public Library has gone down each year since 2003. The rate does not include other taxing bodies such as Bloomington-Normal Airport Authority, Unit 5 school district and McLean County, which also appear on a property owner’s tax bill. The tax rate is applied to each $100 of assessed valuation of a property. Assessed value is one-third of the home’s total value.

2003 1.1874

2004 1.1669

2005 1.1263

2006 1.0874

2007 1.0855 (proposed)

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Reader comments on this story - 14 total

Note: All views and opinions expressed in reader comments are solely those of the individual submitting the comment, and not those of the Pantagraph or its staff.

re: to wait wrote on Oct 16, 2007 3:42 PM:

" You want an $80-$100 million dollar a year budget in "a simplified report in the paper"? Good luck getting that Ph. D. in finance. "

JOe wrote on Oct 16, 2007 1:16 PM:

" I like the way the city points out that they only get 10 cents of each dollar...the airport, schools, library...etc get the rest. To the average taxpayer...all those things are considered the "CITY" or at least the "governement." It was the city government that voted to allow all these other entities to take a cut. I don't see why I have to fund the airport project...or Heartland Community College so people from other areas can utilize these facilities. "

Unit 5 Next wrote on Oct 16, 2007 11:03 AM:

" This is great. Any reduction is eagerly accepted. It is now Unit 5's turn to give us a tax break - they are receiving these same increases due to the increase in the number of property owners. Or...they could invest it so they would have the funding to build new schools without coming back to the same folks over and over. "

to wait wrote on Oct 16, 2007 11:01 AM:

" Here's the trick, they are not holding the line on taxes, they are collecting hundreds of thousands, probably millions more the last few years with the new Menards, Home Depot and Meijers. So tell me to my facts straight, millions or Hundreds of thousands, I don't know, it is hidden and not reported and it is difficult for us citizens to pour through a convoluted budget as is typical of government and figure it out. How about a simplified report in the paper, we seem to get that every month about the arena. Governments would like us to be confused and believe that it is not simple to report, unfortunately at the end of a fiscal year it is total money in, total money out a couple dozen revenue sources and just a few departments to spend. It is no tax cut to me if I get $1.26 but pay hundreds more in home rule sales tax every year. Each household is paying thousands one way or another for all the spending, but the town will tell you it is free. Then where did it come from? "

Woodford Pundit wrote on Oct 16, 2007 10:49 AM:

" Ehh, excuse me, but Normal's taxes didn't 'go down', nor are they 'holding the line'. The Equalized Assessed Valuation has risen with property values and new construction. Here's the bottom line - how much did they spend last year and ho much are they spending this year? Forget about the rates. It's all about the spending. The numbers on the requested levy indicate a !0% spending increase - not considering bonding authority. SOMEONE is paying. It may not be you right now, but it soon will be. "

Wait a sec wrote on Oct 16, 2007 9:34 AM:

" They hold the line on property taxes and some of you are complaining? It must be nice living in the Utopian world of your imagination then. "

Mr Rogers wrote on Oct 16, 2007 9:30 AM:

" smidgen. Can you say smidgen. Thats a funny word smidgen. Lets ask Lady Elaine Fairchild what she thinks of the word smidgen. Smidgen is a very small amount. Example: A smidgen of jam for your toast. "

bloomington? wrote on Oct 16, 2007 9:26 AM:

" What are the tax rates in Bloomington? That, I'd really like to see. "

Yeah wrote on Oct 16, 2007 9:18 AM:

" Let's just dig a big hole and live in the mud. Don't spend any taxes to upgrade where you live and make things better!!! If you don't have anything good or nice to say...just shut up. "

to Wow wrote on Oct 16, 2007 9:13 AM:

" I felt the same way about my Bush tax cut! "

Jon wrote on Oct 16, 2007 9:02 AM:

" Only the pantagraph's resident trolls would actually complain about taxes going down. "

Great news wrote on Oct 16, 2007 8:28 AM:

" It is great to see a government manage so well. Wow, a 0.17% reduction in the face of tens of thousands in new sales tax revenue. How about a reduction in sales tax, that's what I'd like to see. I have a question, $1,600,000 goes to the day to day operations. Actually the budget is over $75,000,000, get some facts and figures out there. Why does the Pantagraph always take a sweet report from Normal verbatum, but grill Bloomington on the Arena over a paltry couple million a year? Normal is losing millions every year on the uptown fiasco and it is't even fully obligated yet. Normal's share of property tax could have been eliminated as well as the last restaurant hotel tax increase had they not gone down this road of barrel spending. "

wacked wrote on Oct 16, 2007 8:24 AM:

" savings? this isn't even news worthy. what a joke....a penny "

Wow wrote on Oct 16, 2007 7:02 AM:

" What to do with my dollar saved? So many possibilities. "

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