Wheeling may not raise taxes

The village portion of the 2007 Wheeling tax bill may end up looking a lot like last year's.

The village board on Monday was asked to preliminarily approve a 5.25 percent increase to the tax levy for 2007, but Trustee Dean Argiris brought up the idea of having no increase.

He said that 2007 is already an assessment year, which will contribute to homeowners paying more money.

Plus, he said, the village had an unexpected windfall of money last year and has more in its surplus funds than expected.

"For once, let's give (taxpayers) a break," he said. "I think we can afford a year."

However, Michael Mondschain, the village's finance director, said much of the levy increase -- to a total of $9,284,157 -- will be going toward police and fire pension funds.

The village will also be issuing $40 million in bonds, incurring new debt. Mondschain said that while debt payments start out low, in a few years, the village will have to pay larger and larger amounts.

That's why he recommended systematic increases in the levy instead of increasing it dramatically a few years down the road.

Mondschain said if a levy increase is delayed to 2009 or 2010, instead of 5 percent more, the levy may have to go up anywhere from 10 to 30 percent more.

Trustee Patrick Horcher agreed that the village has a plan in place and needs to stick to it.

"I would love a zero increase, but I know we're working with a financial plan here to basically bank the money that we're going to be spending in a couple years," he said.

Interim Vllage President Judy Abruscato agreed with Horcher; however, Trustees Robert Heer and Kenneth Brady said that they wanted to give their residents a break next year.

"It's risky," Heer said, "but I think we've made risks before."

Argiris also pointed out that Wheeling has had to contend with businesses moving to Lake County because the taxes are lower there.

So, even though the owner of a $300,000 home would only be paying $29.32 extra, according to Mondschain's calculations, that number is much higher for a business.

The board will discuss other levy options next Monday and is expected to have a public hearing and final vote on Dec. 17.