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Unintended consequences and an apparently confused mayor

Wednesday, Sep 18, 2019 - Posted by Rich Miller

* Center Square

A task force comprised of 88 state lawmakers with seven subcommittees has started meeting to discuss the complex issues that have pushed property taxes in Illinois to among the highest in the nation, but the group has faced criticism from the outset. […]

The task force met several times last week to talk about school funding and government consolidation. State Rep. Mike Murphy, R-Springfield, said a subcommittee he’s on met Monday to discuss the state’s property tax caps.

“Some counties that have no tax caps is actually holding down a little bit better,” Murphy said. “McLean County, for example, has for a period of time had increases lower than Sangamon County.”

People talked about this happening way back when the tax caps first passed. Local governments would tax all the way up to the cap just to be on the safe side.

* In other news, here’s Ted Slowik

Orland Park Mayor Keith Pekau found a supportive audience Tuesday during a town hall on the state’s proposal to switch to a graduated income-tax system from a flat rate on everyone. […]

“The state of Illinois has a spending problem, not a revenue problem,” Pekau told an audience of more than 50 community members during the forum at the Orland Park Civic Center. […]

The state promised to return 10% of income-tax revenues to municipalities through the Local Government Distributive Fund, Pekau said.

But the state only shares 5.757% of individual income tax collections and 6.5% of corporate income tax collections through the LGDF, according to a fact sheet by the Illinois Municipal League.

So, Mayor Pekau first complains about too much state spending, then complains that the state doesn’t spend enough on local governments. Thanks. Drive through.

       

23 Comments
  1. - Thomas Paine - Wednesday, Sep 18, 19 @ 10:55 am:

    The ceiling always becomes the floor.


  2. - OH - Wednesday, Sep 18, 19 @ 10:57 am:

    Pekau is a creation of Dan Proft and regularly regurgitates IPI talking points. Someone should tell him that the IPI advocated for doing away with the Local Government Distributive Fund all together.


  3. - Pot calling kettle - Wednesday, Sep 18, 19 @ 11:05 am:

    ==A task force comprised of 88 state lawmakers==

    How is 1/2 of the General Assembly a “task force?” A couple more and they’ll have quorums for each chamber.


  4. - benniefly2 - Wednesday, Sep 18, 19 @ 11:11 am:

    Pekau also won his election by campaigning against the ridiculous $150k Mayoral salary for Orland Park and then promptly decided that the salary was fine as long as he was the one getting the cash.


  5. - TheInvisibleMan - Wednesday, Sep 18, 19 @ 11:16 am:

    It’s unfortunate that so many blatantly uninformed people are holding public office.

    We had a similar laugh-fest last year in Will county.

    The republican caucus on the county board was pressing hard for a property tax freeze. Nevermind that the county tax rate has been falling for the past 5 years.

    The republican caucus was still loudly banging on the messaging of enacting a property tax rate freeze at the county level, with all the usual IPI talking points.

    It didn’t take very long for someone with more sense to explain to the republican caucus, publicly during a board meeting, that a freeze would actually prevent the tax rate from being lowered as was planned. Laughter ensued.

    Further proof that republicans aren’t interested in governing. They are just interested in repeating the same talking points over and over, because they have no substantive ideas of their own.

    The republican ideals if you want to call them that, if implemented, would have directly led to a property tax increase compared to the already planned decrease.


  6. - Life Long R - Wednesday, Sep 18, 19 @ 11:41 am:

    Pekau hasnt a clue. Just last month he gave a 3.5 million no bid contract to a paving company. He ran on a Proft platform against the former mayor pushing for a pay raise to 150k. He himself now takes the salary and hasnt opted out of the pension as he so states. He hired a interim village manager six months that will now get a pension spike. This guy does nothing without following Profts orders.


  7. - Orland Resident - Wednesday, Sep 18, 19 @ 11:55 am:

    Two weeks ago we had a concert in the park that just so happened to be located behind Pekau’s house. The concert that he pushed lost over 125,000$. This guy has no business taking about spending and budgets the man hasn’t a clue. He will be a one term Mayor after lying about his salary and pension to get elected.


  8. - Annonin' - Wednesday, Sep 18, 19 @ 11:59 am:

    The Mayor forgot that he and his peers got no votes on any of the tax hikes passed in recent years. Hard to have a hand out when your a drag on passage. Perhaps that was not ’splained. Snoze you loose. BigWordDan can translate.


  9. - Boone's is Back - Wednesday, Sep 18, 19 @ 12:08 pm:

    What’s the point of creating a task force if 88 members of the GA are on it? Isn’t the idea of a task force to recruit people who are experts in the area to make recommendations to the GA?


  10. - OOO - Wednesday, Sep 18, 19 @ 12:08 pm:

    Calling state-shared revenue with local governments “spending” is a gross oversimplification of the history of the state income tax and the LGDF.

    I fully understand that local governments are creatures of the state and must live with what the state decides; however, that shouldn’t mean that local leaders can’t advocate for changes.


  11. - Rich Miller - Wednesday, Sep 18, 19 @ 12:10 pm:

    ===Calling state-shared revenue with local governments “spending” is===

    Accurate. Fixed it for ya.


  12. - Bourbon Street - Wednesday, Sep 18, 19 @ 12:14 pm:

    ==“The state of Illinois has a spending problem, not a revenue problem”==

    Just another way of complaining about the alleged waste, fraud, and abuse that we’ve heard tell about in these parts for some time now. Pekau’s been mayor for over two years now—he ought to consider moving beyond meaningless platitudes and actually do some governing. Might I suggest he engage in some thoughtful analysis of how the graduated income tax would benefit Orland Park?


  13. - JS Mill - Wednesday, Sep 18, 19 @ 12:19 pm:

    PTELL is not a “tax cap”. In fact, it has a mechanism that can actually guarantee an increase, particularly during low property value growth periods.

    It limits the amount of increase in the tax levy, or extension, to lesser of CPI or 5%.

    During the bust in housing values the levy was guaranteed and even increased based on CPI. Some tax rates more than doubled to achieve the levy requirements.

    No one will voluntarily lower their levy for fear of underfunding by the state etc.

    People mistakenly assume it caps “taxes” what it really does is limit increases. Good for homeowners in high property value growth areas.

    https://www2.illinois.gov/rev/research/publications/Documents/pios/pio-62.pdf


  14. - TNR - Wednesday, Sep 18, 19 @ 12:20 pm:

    Funny how Pekau doesn’t complain about the state’s spending problem when it’s funding the widening of LaGrange Road, his town’s main commercial strip. How does he think all those customers get to his commercial district to pay sales taxes to help fund his fat salary? They take a state highway.


  15. - Oswego Willy - Wednesday, Sep 18, 19 @ 12:23 pm:

    If your mayor complains about state taxes then complains about not getting enough from Springfield, you know it’s more about a political posture than a solution finder.


  16. - Orland Park - Incompetence and Double Dealing - Wednesday, Sep 18, 19 @ 12:50 pm:

    Mayor Pekau has been a Major failure after being elected. He also is the Liquor Commissioner and Gambling Commissioner. He continues to get donations form the Bars he regulates.
    We had a Twin Peaks Restaurant where the establishment was ticked for basically running a strip show and so were 4 women and they all plead guilty.This should have caused a Liquor License revocation.
    But nothing happened and Mayor Pekau got a 1500 dollar Campaign
    Donation from the owners of Twin Peaks


  17. - City Zen - Wednesday, Sep 18, 19 @ 1:20 pm:

    “recreational sales would be prohibited in residential zoning districts or in any building that contains a residential unit”

    Lots of buildings in Chicago with residential above commercial. Weird that it’s not OK for your building but perfectly fine if it’s in the one-story building next door.


  18. - City Zen - Wednesday, Sep 18, 19 @ 1:20 pm:

    Sorry, wrong post.


  19. - Shemp - Wednesday, Sep 18, 19 @ 1:21 pm:

    Well, LGDF was 10% until the State monkeyed with it when they did the first income tax hike. Then the State figured out it spent 2 decades screwing up the Replacement Tax distributions about 2 years ago. You want to force local governments to abide by State mandates, better keep up with the payments to them. The Mayor was not totally wrong.


  20. - Sue - Wednesday, Sep 18, 19 @ 2:32 pm:

    This is a bad joke. They will waste 12 months produce nothing meaningful and declare victory. The most significant cost driver for local RE taxes is personnel, schools and pensions. What does anyone expect to learn from this esteemed group?


  21. - estubborn - Wednesday, Sep 18, 19 @ 3:47 pm:

    I wish Mayor Pekau a successful single term.


  22. - Ethically Challenged - Mayor Pekau - Wednesday, Sep 18, 19 @ 4:04 pm:

    https://patch.com/illinois/orlandpark/orland-leaders-ethics-questions-persist-while-village-fixes-code


  23. - Pot calling kettle - Wednesday, Sep 18, 19 @ 4:25 pm:

    ==What’s the point of creating a task force if 88 members of the GA are on it? Isn’t the idea of a task force to recruit people who are experts in the area to make recommendations to the GA?==

    Experts, yes. However, the idea of a “task force” is typically to have a small number of experts who can focus on the issue at hand. 1/2 of the GA is not small.


Sorry, comments for this post are now closed.


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