Drastic property tax increases in Cook County have spurred the local assessor to action.
Cook County Assessor Fritz Kaegi is proposing a new plan to provide property tax relief for low-income residents of the Chicago area, many of whom have been hit hard by the area’s rising tax bills, Crain’s reported.
Speaking at a City Club of Chicago event, Kaegi outlined a strategy for Illinois taxpayers to assist in softening the impact on those least equipped to manage steep increases to their real estate taxes. He called on state and county officials to develop legislation that would provide financial aid to low-income homeowners facing significant tax hikes.
The proposal comes in response to recent spikes in property taxes, particularly in the south and southwest suburbs of Cook County, where median tax bills have surged nearly 20 percent this year, reaching an average of $6,117, the area’s largest percentage increase in nearly 30 years.
Kaegi stressed the importance of offering relief to residents who are already struggling with high tax rates, many of whom live in communities with historically lower incomes.
Kaegi’s plan centers around a “circuit-breaker” concept, which is designed to shield homeowners from a rapid surge in property taxes. This program, which is already implemented in twenty-nine states, would require new legislation to expand a dormant state program that once provided similar tax relief but has been inactive for over a decade.
Additionally, Kaegi is exploring how Cook County could create a mechanism for financial aid, possibly in the form of direct rebates or other methods of support.
He suggests the Illinois General Assembly could be doing more to help provide relief for people whose incomes are lower and who can’t sustain the property tax increases. He emphasized that the program would target those who have seen the sharpest increases in their bills but have the least capacity to pay.
While Kaegi acknowledged that his office isn’t responsible for the tax shift, he pointed out that the Cook County Board of Review’s reductions in commercial property assessments, with minimal cuts to residential ones, have contributed to this problem. There’s been years of back-and-forth finger pointing between Kaegi’s office and the board, which has accused the assessor of overestimating the value of commercial properties amid a downturn for the sector, especially the office market along with other large buildings due to rising interest rates.
Kaegi’s proposal will require cooperation from the Illinois Department of Revenue and the Cook County Treasurer’s Office, as well as backing from state lawmakers. He estimates that the program could cost “tens of millions of dollars” but argues that the financial relief would be manageable within the context of the state’s overall budget.
However, convincing public officials to support the initiative could be challenging. Commissioner Bridget Gainer has already proposed a separate tax relief program that would instead use fees collected from late-paying taxpayers to fund rebates.
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