- Font Size:
- Default font size
- Larger font size
BY MEMA AYI
mayi@nwitimes.com
219.933.3241 | Wednesday, September 21, 2005 | (No comments posted.)
CALUMET CITY | While taxpayers got a little breather this year, they could see increases in the tax levy next year if pension funds request significant increases.
At a City Council meeting Monday, officials said while real estate tax payers will not finance a new $10 million bond, the city could raise taxes depending on the pension projections from police, fire and library boards, City Treasurer Mike Zimmerman said.
Just weeks before February's Democratic primary election, the City Council agreed not to raise this year's tax levy, despite an average 4.9 percent increase in previous years.
Only $1 million of the bond is considered new money. The city will refinance two other bonds totaling about $9 million, Zimmerman said.
The bonds would support the corporate fund.
The city also will float a five-year, $5 million tort immunity bond to pay for workers' compensation claims, general liability insurance and health insurance premiums, also to be levied on property taxes.
Officials are concerned real estate taxes could be increased, especially when the police pension board's projections include a longevity step for retiring employees at $18,000 a year per retiree with more than 20 years of service.
At a $300,000 increase over last year's figures, the longevity step and union increases to the fund would amount to a 25 percent increase in the board's portion of the tax levy, 5th Ward Alderman and Finance Committee Chair Gerry Tarka said.
At a Finance Committee meeting just before Monday's City Council meeting, the group agreed to hire its own actuary to compute the costs of the pension board's projections.
The city will levy for whichever figure is lower, Tarka said.
Finance Director John Kasperek said the city's actuary evaluation will cost at least $5,000.
The library board was scheduled to present its request at a board of trustees meeting on Tuesday. The firefighters pension board has not yet submitted its request.
The City Council is expected to begin figuring next year's levy in November.
Back to story No comments posted.
- It wasn't clear, concise or focused on the topic in the story.
- It was a personal attack, vulgar, explicit or degrading, used actual or implied profanity or contained potentially libelous statements.
- It accused someone of being guilty of a crime.
- It promoted violence or illegal acts.
- It contained telephone numbers or street addresses, or e-mail addresses and links to Web sites other than nwi.com or government agencies.
In no way do these comments represent the views of The Times or Lee Enterprises.
Passionate views, pointed criticism and critical thinking are welcome. Name-calling, crude and profane language and personal abuse are not welcome.
Reader comments will not be edited - they will be approved or declined. They may be used in the print edition of the newspaper.
If you feel a posted comment has violated these guidelines, please email our New Media team the commenter's name, the comment and a link to the article.
For more information please read our Terms of Service.