Could sales tax, vehicle stickers fund Elburn police pension?

Maybe Elburn should increase its sales tax to pay for police officers' pensions. Or bring back vehicle stickers.

Trustee Craig Swan suggested both ideas Monday night, as the board discussed whether to ask residents to pay more property taxes for the pensions.

Swan said charging $30 a vehicle would probably raise about $60,000 a year. The village could later have a referendum, telling residents their choice was a sticker or a property tax. Such a referendum wouldn't cost the village anything, if conducted during a regularly scheduled election.

Village administrator Erin Willrett noted there would be administrative costs to issue stickers and enforce such a law.

Former police chief Wayne Byerhof chimed in from the audience. "It was like pulling teeth from a chicken to get everybody to buy the sticker," he said.

Swan also suggested raising the village's portion of sales tax. It could do so a quarter-percentage point at a time.

Willrett said she has asked the Kane County clerk about the cost of conducting a special election this year, but that the information hasn't been given to her.

Whatever the cost, the village would have to pay it, she said. That would include the costs of printing and distributing ballots, the salaries of election judges (which range from $111 to $437 a day, Willrett said), postage, supplies, canvassing the vote and renting two polling places.

The village would also have to have the election early enough to get the vote canvassed before the village sets its property tax levy in December, but the clerk did not give her a drop-dead date for that, according to Willrett.

That's all presuming a Kane County Circuit Court judge would grant a request from the village for a special election. Under state law, the village would have to prove that circumstances beyond the village's control have resulted in an "imminent need" for "additional authority" to maintain operations or facilities

In 2012, voters rejected levying a separate property tax for the police pension fund. It would have cost the owner of a $200,000 house about $56 a year.

Until 2011, Elburn police officers were paid pensions from the Illinois Municipal Retirement Fund, like other village employees. The village levies a separate tax for its IMRF contribution.

But when its population grew beyond 5,000, the village was forced to establish its own police pension fund. It pays its contributions from the general fund.

This fiscal year, the village has to contribute $145,000; next year, it will be about $151,000.

Trustees decided to wait for more information on the cost of a special election and for financial information on Swan's ideas.

President Dave Anderson also referred to Gov. Bruce Rauner's proposed 50 percent in the share of income tax towns receive. If his proposal goes through, Elburn would lose at least $277,000, Anderson said.

"If we get the Local Government Distributive Fund cut the governor wants, all this is a waste of time," Anderson said.