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State debt can’t be dumped on towns

State debt can’t be dumped on towns

As part of the recently approved income tax increase, the Illinois General Assembly reduced the amount of money that is collected and returned to local communities. From 1969 until January, municipalities and counties received 10 percent of all state income taxes paid. Now they receive only 6 percent of these dollars because the state decided to keep the entirety of the increase for itself.

Because of the recession, and unlike the state, Warrenville and other municipalities have made drastic cuts to personnel and services. But now, plans are being discussed in Springfield to take away additional revenues from communities.

The state wants to reduce, or possibly eliminate, the remaining dollars collected by the state on behalf of local governments. One proposal would reduce local government revenue by $300 million. This loss would be over $1 million to the city’s general fund of only $10 million — money used for critical core services such as police, roads, code enforcement/building inspections and snowplowing. Further cuts will undoubtedly undermine the safety and quality of life in Warrenville and other communities.

These revenues belong to local governments, and are simply collected by the state on their behalf — just like your mortgage company may collect your property tax and homeowners insurance. These are tax dollars, paid by local residents, intended for local services they actually use. These dollars are probably the best return on investment that taxpayers will ever get; these revenues are spent on core services that taxpayers see and use every day in their community. The state must not reduce these revenues any more or it will be detrimental to any local community.

Local municipalities did not create, nor did they contribute toward, the state debt. We can’t solve the state’s fiscal problems by destroying local budgets and spreading the fiscal problem even wider.

David L. Brummel

Mayor, city of Warrenville