Higher taxes to fund Wheeling projects

Wheeling will be issuing $40 million in bonds over the next three years to pay for major projects in town, including construction of a new village hall.

For residents, this means the village's tax levy will increase this year by 5.5 percent. That levy will show up on next year's tax bills.

Last year's levy was about $8.8 million. It will go up by about $480,000 this year, if approved by the village board, to cover the new debt.

A homeowner with an overall $3,000 tax bill would be paying about $15 more to the village, according to Michael Mondschain, director of finance and administrative services for the village. One with a $6,000 tax bill would be paying about $30 more.

Businesses in Wheeling with a $50,000 tax bill would be paying an additional $69 to the village, while those with a $600,000 bill would be paying $828 extra.

The village on Monday voted to give the staff authority to sell $10 million in bonds this year, either competitively or through a deal with Bank of America.

The staff will also have the authority to sell $20 million in bonds in 2008 and $10 million in 2009. If the deal with Bank of America comes through, the village will have the same interest rates in 2008 and a lower rate in 2009.

Mondschain said the village had originally planned on selling only $30 million in bonds to pay for the village hall project.

He said it was best to take advantage of the low fixed interest rates and use the additional money to pay for more projects, such as renovations at the police department.