Glen Ellyn enforces new tax

Glen Ellyn village board members this week approved a 2008 tax levy that includes a new charge to offset rising costs for future roadwork.

The village's property tax levy will increase by 2.3 percent from last year, and Glen Ellyn Public Library's is up 5.8 percent.

As part of the levy, existing debt won't be retired. So instead of getting a property tax rebate, residents will pay for the inflation costs of the ongoing, 20-year street improvement project.

Because Glen Ellyn has home-rule powers, voters didn't have to approve the decision.

The village has been running about $3 million short annually to pay for the 20-year improvement plan. The new tax is expected to generate about $3.1 million a year - enough to keep road improvements on schedule.

Extra funds are needed because of declining revenue sources, inflation and expanding the scope of many projects due to unexpected repair needs, officials said.

If the levy didn't pass and the village retired old bonds, leaders would have had been forced to borrow more money later or discontinue planned maintenance.

In 1987, Glen Ellyn voters approved a property tax increase to fund $15 million of street improvements. And in 2000, they supported an increase to pay for another $18 million in improvements.

The 1987 bonds are set to expire this year, and three sets of the 2000 bonds will be paid off within six years.