Chicago City Council Faces Pressure from Labor Leader on Property Tax Increase Amid Controversy Over Disproportionate Burden on Black Homeowners
A contentious battle over property taxes is heating up in Chicago, with labor leader Bob Reiter urging the city council to keep open the door to a tax hike despite mounting criticism. Reiter, president of the Chicago Federation of Labor, argues that there are ways to shield vulnerable homeowners from increasing assessments, particularly those hit hardest by the shift in the county's tax burden towards predominantly Black neighborhoods.
Reiter's push comes as property tax bills have been delayed in mailboxes due to an overhaul of the county's property tax computer system. The study found that these increases disproportionately affect low-income residents, a development that has fueled concerns about fairness and equity.
While some council members are exploring alternative revenue streams, Reiter warns against dismissing the potential for a property tax hike. He cites successful funding models from surrounding municipalities as an example of how property taxes can be used to support local government services.
Reiter has proposed measures such as a delivery fee on packages or a broader congestion fee, which could generate significant revenue without directly increasing residential taxes. These ideas are gaining traction among some council members, including 36th Ward Ald Gilbert Villegas, who advocates for charging residents and businesses $1.25 per package delivered.
Despite the push for innovative revenue solutions, labor unions remain critical of corporate tax measures that target high-income earners. A group of more conservative and moderate alderpersons has been working on their own budget package, one that excludes a corporate head tax, but could include higher delivery fees or congestion charges.
Reiter acknowledges the need for internal cost-cutting measures before considering any tax increases, but emphasizes the importance of labor participation in shaping revenue policies.
A contentious battle over property taxes is heating up in Chicago, with labor leader Bob Reiter urging the city council to keep open the door to a tax hike despite mounting criticism. Reiter, president of the Chicago Federation of Labor, argues that there are ways to shield vulnerable homeowners from increasing assessments, particularly those hit hardest by the shift in the county's tax burden towards predominantly Black neighborhoods.
Reiter's push comes as property tax bills have been delayed in mailboxes due to an overhaul of the county's property tax computer system. The study found that these increases disproportionately affect low-income residents, a development that has fueled concerns about fairness and equity.
While some council members are exploring alternative revenue streams, Reiter warns against dismissing the potential for a property tax hike. He cites successful funding models from surrounding municipalities as an example of how property taxes can be used to support local government services.
Reiter has proposed measures such as a delivery fee on packages or a broader congestion fee, which could generate significant revenue without directly increasing residential taxes. These ideas are gaining traction among some council members, including 36th Ward Ald Gilbert Villegas, who advocates for charging residents and businesses $1.25 per package delivered.
Despite the push for innovative revenue solutions, labor unions remain critical of corporate tax measures that target high-income earners. A group of more conservative and moderate alderpersons has been working on their own budget package, one that excludes a corporate head tax, but could include higher delivery fees or congestion charges.
Reiter acknowledges the need for internal cost-cutting measures before considering any tax increases, but emphasizes the importance of labor participation in shaping revenue policies.