Change to tax rebate would hang on seniors
Elgin leaders are trying to get two hits with one swing of the bat when it comes to their property tax rebate program for senior citizens and helping the downtown area.
Since the casino came to town in the 1990s, the city has rebated $200 each year to senior citizen homeowners 65 and older that would qualify for the Senior Citizen Homestead Exemption.
In 2008, 3,287 seniors was issued rebates.
Seniors who own trailer homes get about $35 and last year, 374 received rebates.
This money each year has come from proceeds from the casino.
Last week, Mayor Ed Schock suggested issuing $743,000 in vouchers for downtown businesses instead of rebates.
He got the idea in part because of a recent decision for the city to give its employees $25 gift cards to downtown businesses for Christmas instead of a $25 gift card to Jewel, which has Elgin locations but is owned by a parent company based out of Idaho.
Schock believes doing the same for the senior rebate can help downtown businesses, keep money in the local economy and reintroduce some residents to the downtown, which the city has been pumping millions into for new streets and infrastructure.
"This is an unprecedented recessionary economy," Schock said. "Wouldn't it be good if we could also help out some of our own businesses and merchants?"
The idea caught the interest of other council members as well.
"I'd like the (city) staff to look into it. I know a lot of other communities do it," said Councilman Robert Gilliam. "It's Elgin money. I think it's a good idea."
Councilman Richard Dunne said he supports the idea, as along as there are a variety of stores where seniors can use their rebates.
"We don't want to deprive anybody of their rebate," he said.
And that's where I think this program gets tricky.
The downtown has made plenty of strides in the last few years.
There's more places to eat, bank, grab a cup of coffee, see a band or get a haircut.
But does it provide more value and overall utility for seniors, some of whom might be on fixed incomes?
That to me is the key question.
Would seniors rather have $200 they could spend anywhere or a $200 voucher they can only spend in downtown?
The logistics also seem like an uphill climb.
If people in Elgin have problems parking on the even or odd side of the street, will seniors get their vouchers, get out and spend their "rebate" in the downtown area within the given time frame?
These are questions that probably won't be answered unless the program is put in place.
I give city leaders credit for looking into this change.
Whether it's the best one is for elected leaders to take that step and seniors to render the final verdict.