Elk Grove holds line on taxes, gives money to schools

Elk Grove Village gave its residents, schools and park district an early Christmas present this week by passing a tax levy that'll keep taxes down and rebating money to some other taxing districts.

In the village's portion of the property tax, residents will not see an increase from last year, village officials said.

However, the village's part accounts for only about 7 percent of the total, so the overall bill might be more, depending on what other taxing bodies like schools do.

Also, a shopping center near Biesterfield and Arlington Heights roads, which is in a special taxing district, has done so well that the village is rebating $95,000 to Elk Grove Township Elementary District 59, $86,000 to Northwest Suburban High School District 214 and $26,000 to the Elk Grove Park District.

The village's general fund budget ran a $2.5 million surplus in a time when the economy is weakening, said Mayor Craig Johnson. The village has been able to hold expenses down by reducing its work force by 10 percent through attrition since 2002.

"For the last seven to eight years, we've streamlined operations," Johnson said. "We took prudent steps and it has paid off."

Still, the flagging economy cut into major revenue sources this year, while some costs were up, he said.

Road salt increased by $500,000 over last year. Fuel prices jumped. And the downpour, which dumped about nine inches of rain on the village in September, initially cost the village $150,000. Some of that may be recovered from federal flood relief funds.

Sales tax revenue was down about 2 percent, or $250,000. Real estate transfer taxes were down by $600,000 and building permits were $700,000 below last year's level as sale of homes and construction both slowed.