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McHenry Times

Monday, November 25, 2024

Property tax relief bill seen as leaving towns on shaky ground

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State Rep. Steven Reick (R-Woodstock) reluctantly agreed on Thursday to vote for a House bill that changes or creates property tax exemptions for some Illinoisans after expressing his concerns that passage could undermine local governments and conflict with state law.

“As one who would benefit from this bill, being a senior citizen, I am sorely tempted to vote for it,” Reick said. “However, you’re limiting local governments in being able to adequately plan their revenue and raising the floor underneath them from which those taxes are calculated.”

Reick contended that the bill, H.B. 156, could force local municipalities to raise property tax rates and possibly go against the Property Tax Extension Limitation Law (PTELL), which is designed to limit property tax hikes in non-home rule districts where property values are increasing faster than the rate of inflation.

H.B. 156, introduced by state Rep. Michelle Mussman (D-Schaumburg), gained sponsors from both sides of the aisle. It would increase the exemption amount for the general homestead exemption, the senior citizens homestead exemption and the Senior Citizen Real Estate Tax Deferral program, as well as making several changes to the veterans homestead exemption and creating two new exemptions for longtime homeowners and disabled individuals.

Mussman answered Reick's concern by saying it is incumbent upon municipalities to determine how much they want their residents to pay without going above the PTELL caps. Reick said the bill ultimately does very little solve the property tax problems Illinois faces.

“I would be really hesitant to talk about raising exemptions without true property tax reforms,” he said. “This body is responsible for property tax reform by changing the way we pay for schools in the state. I’m not seeing that happen. I have a real problem with this bill. I probably will vote for it because I believe property tax relief should come from any place it could be found, but this bill does cause certain problems for me, especially living in a district which is strongly subject to PTELL.”

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