Although the East Dundee village board voted Monday night to raise the tax levy by 3 percent, trustees have the opportunity to change their mind in the spring.
Right now, the value of new construction in the village is unknown and it likely won't be released until Dec. 31 -- that figure will help the village estimate its total assessed valuation and determine whether the hike is necessary after all. Officials described the 3 percent figure as a placeholder.
"It's a very modest increase that gives the board some flexibility when the total property values are available," Finance Director Linda Blackerby said.
But if the 3 percent hike holds in the spring, the owner of a home worth $150,000 can expect to pay an additional $7.02 in property taxes to the village.
"I don't think it's going to outrage anybody, and I think it's realistic for people to expect that much like in their own household, the village has to pay more for stuff," Village President Jerald Bartels said.
The measure would generate $583,388, nearly $17,000 more than East Dundee collected from last year's levy.
In East Dundee, money generated from the tax levy is reserved for the police pension, social security, the general fund and the pension fund for municipal workers.
As required by law, the board set the rate this month to let the public know of its intentions.
The new levy would be in effect for the fiscal year that started May 1, 2012, and ends April 30, 2013.
Trustee Allen Skillicorn, a Tea Party activist, was the only member to vote against the increase.