$30 million dollar bond

[Ted]

The city is proposing to the city council this week the issuance of a new $30 million dollar bond to shore up the pension fund. This will increase property taxes for most people in Berwyn by $100 to $200. This would be on top of the property tax increase due to the D100 tax rate increase that passed in referendum (which will increase most people's taxes by between $150 to $250) and will be on top of any tax changes due to the triennial reassessment. I have a feeling that if people had know about this bond and the reassessments before the referendum for the D100 tax rate increase, it might not have passed.

[berwynres]

I am guessing my taxes will increase by about $1000 or more next year, if taxes across the board go up by about 10% due to the reassessment, and then add on about $300 due to the District 100 increase and now another $250 for pensions!  This is getting utterly ridiculous. What are they doing with all the money they collect? Berwyn has one of the highest tax rates in the metro area.     

[berwynres]

I voted "NO" on the District 100 tax increase, but I doubt most residents knew it was on the ballot. The district knew there would be fewer voters in the general election than in the primary.  Smart, but very sneaky.     

[markberwyn]

Berwyn has one of the highest tax rates in the metro area.   

What's the evidence for this? What I'm seeing is that Berwyn's is lower than at least a dozen Cook County municipalities, including Forest View, Bridgeview, and Cicero.

[Ted]

I am guessing my taxes will increase by about $1000 or more next year, if taxes across the board go up by about 10% due to the reassessment, and then add on about $300 due to the District 100 increase and now another $250 for pensions!  This is getting utterly ridiculous. What are they doing with all the money they collect? Berwyn has one of the highest tax rates in the metro area.   

I have explained this in other places, but the increase in reassessment does not cause a linear increase in taxes.  If everyone' reassessment goes up by the same amount, then your taxes paid into Berwyn will not increase because of the re-assessment.

  Tax levies are allowed to increase only by the cost of living.  The tax levy is like a pie - the reassessment just indicate how big your piece of the pie is.  It does not increase the size of the pie itself (for Berwyn taxing bodies).

  The reassessment will increase your taxes if Berwyn reassessments increased more (in relative terms) than the rest of Cook County.

Also, if your reassessment was relatively higher than your neighbors in Berwyn, it will also increase the taxes.

  I believe that the largest cause of any tax increase in July will be the increase in the D100 tax rate and the $30 million dollar bond by the city, not the reassessment, since all Berwyn houses had an increased reassessment.

   FYI, my reassessment increase was 21%.  I guess we'll have to wait to see what the tax bill is in July.  I am expecting a $180 increase due to D100 tax rate increase and a $150 dollar increase because of the $30 million dollar bond.

  I have no way of determining what the assessment will do but I do not think it will be much.  I guess we'll see in July.

[berwynres]

I am guessing my taxes will increase by about $1000 or more next year, if taxes across the board go up by about 10% due to the reassessment, and then add on about $300 due to the District 100 increase and now another $250 for pensions!  This is getting utterly ridiculous. What are they doing with all the money they collect? Berwyn has one of the highest tax rates in the metro area.   

I have explained this in other places, but the increase in reassessment does not cause a linear increase in taxes.  If everyone' reassessment goes up by the same amount, then your taxes paid into Berwyn will not increase because of the re-assessment.

  Tax levies are allowed to increase only by the cost of living.  The tax levy is like a pie - the reassessment just indicate how big your piece of the pie is.  It does not increase the size of the pie itself (for Berwyn taxing bodies).

  The reassessment will increase your taxes if Berwyn reassessments increased more (in relative terms) than the rest of Cook County.

Also, if your reassessment was relatively higher than your neighbors in Berwyn, it will also increase the taxes.

  I believe that the largest cause of any tax increase in July will be the increase in the D100 tax rate and the $30 million dollar bond by the city, not the reassessment, since all Berwyn houses had an increased reassessment.

   FYI, my reassessment increase was 21%.  I guess we'll have to wait to see what the tax bill is in July.  I am expecting a $180 increase due to D100 tax rate increase and a $150 dollar increase because of the $30 million dollar bond.

  I have no way of determining what the assessment will do but I do not think it will be much.  I guess we'll see in July.

Well, Ted, I hope you are correct.  But, I am expecting the worst, since my property taxes increased over $600 from 2013 to 2015, and that was despite winning an appeal in 2014 to reduce my estimated market value. 

[Ted]

Well, Ted, I hope you are correct.  But, I am expecting the worst, since my property taxes increased over $600 from 2013 to 2015, and that was despite winning an appeal in 2014 to reduce my estimated market value.

I hope I am right as well.  I have no way of knowing.  I do expect around a $500 increase for me.  I guess we'll see in July.

[MRS. NORTHSIDER]

Well, Ted, I hope you are correct.  But, I am expecting the worst, since my property taxes increased over $600 from 2013 to 2015, and that was despite winning an appeal in 2014 to reduce my estimated market value.

I hope I am right as well.  I have no way of knowing.  I do expect around a $500 increase for me.  I guess we'll see in July.

Expect the worst and keep on expecting the worst.  With the new reassessments most taxpayers in Berwyn who don't pay attention to things will find themselves with a much higher mortgage payment come August 1st of next year. And in case I upset anyone with Berwyn's tax rate, it is 15.471 while Riverside's is 12.563.  Yes, the town to the west with schools that people pay big bucks to get into has a much lower tax rate than Berwyn, the town where people pay big bucks to get out of.  Brookfield's tax rate is 13.279, another town with better schools.  Why is our tax rate so high compared to neighboring suburbs?  I'd like to hear about that.

[markberwyn]

What's your source for these tax rates? A handful of people say that Berwyn is overtaxed compared to other suburbs, but when I ask for evidence of that, they skedaddle like fraidy-cats. Which isn't a very Berwyn way to behave! Real Berwynites fearlessly back up their claims.

[Ted]

Expect the worst and keep on expecting the worst.  With the new reassessments most taxpayers in Berwyn who don't pay attention to things will find themselves with a much higher mortgage payment come August 1st of next year. And in case I upset anyone with Berwyn's tax rate, it is 15.471 while Riverside's is 12.563.  Yes, the town to the west with schools that people pay big bucks to get into has a much lower tax rate than Berwyn, the town where people pay big bucks to get out of.  Brookfield's tax rate is 13.279, another town with better schools.  Why is our tax rate so high compared to neighboring suburbs?  I'd like to hear about that.

Mrs. N, the tax rate is inversely proportional to the Equalized Assessed Value (EAV) of a taxing body.  The higher the EAV, the lower the tax rate and vice versa.  Thus, towns with high assessed values have a low tax rate and towns with a low assessed value have higher tax rates.

  Go look at the tax rates of some of the poorer suburbs (like Ford Heights).  Last time I looked, the Ford Heights school district had a tax rate of $10, far far higher than any other school district.  That is because the assessed values of the properties are much lower.

   The levies and EAV determine the tax rate, not the other way around.  And levies can increase by only the cost of living (unless the taxing body issues more new debt or the voters approve a tax rate increase in a referendum. When D100 approved a tax rate increase, they were essentially approving anincrease in the amount that can be levied).

  For example, if two towns levy the exact same amount of money (say $20 million) but Town1 has an EAV of $100 billion and Town 2 has an EAV of $200 billion, then Town 2 will have a tax rate will be half of the tax rate of Town1, even though the levies are exactly the same.

  A more accurate figure is to look at the property taxes paid, on average, by each house hold.  Oak Park and Riverside pay more taxes per household than Berwyn.

  Also, FYI, the re-assessments and the D100 tax increase and the $30 million bond issued by the city of Berwyn will not affect taxes until 2018.  The taxes you see in July of 2017 do not have those additions in them.

[MRS. NORTHSIDER]

What's your source for these tax rates? A handful of people say that Berwyn is overtaxed compared to other suburbs, but when I ask for evidence of that, they skedaddle like fraidy-cats. Which isn't a very Berwyn way to behave! Real Berwynites fearlessly back up their claims.

Let's see.  My tax bill for Berwyn due August 1st and the Cook County Clerk's office for the others.  It's official.

[markberwyn]

  A more accurate figure is to look at the property taxes paid, on average, by each house hold.  Oak Park and Riverside pay more taxes per household than Berwyn.

Golly, it's almost as if higher property taxes, higher housing values, and quality of schools are correlated!

[MRS. NORTHSIDER]

  A more accurate figure is to look at the property taxes paid, on average, by each house hold.  Oak Park and Riverside pay more taxes per household than Berwyn.

Golly, it's almost as if higher property taxes, higher housing values, and quality of schools are correlated!

Not always.  I found a property in Brookfield with the same assessed valuation as mine, with the 1 exemption that I have.  The property taxes on it are almost $900 lower than mine.

[markberwyn]

This is almost as good as the time a Morton kid got into Harvard and you said Morton is a good school. You care about aggregate numbers until the aggregate numbers tell you something that contradicts whatever upside-down narrative you have going on in your head.

[Ted]

Not always.  I found a property in Brookfield with the same assessed valuation as mine, with the 1 exemption that I have.  The property taxes on it are almost $900 lower than mine.

   Your original statement was about tax rate, not about property tax per household.  You would need to look at the total EAV of the taxing body, not just a single property, to determine the tax rate.

  Also, it is tricky to compare assessments across townships, given the way the assessor's office works.  Your assessment may be the same but you may be getting more house for the money than the house in Brookfield.  An assessment in Berwyn may not be the same as an assessment in Brookfield.

   However, depending on where you live in Brookfield, you may find a property tax for a particular house to be less than yours.  It all depends on the elementary school district and the high school district. 

  The city of Berwyn also has a high debt, which increases taxes.  A few years ago, when I compared city of Berwyn to Oak Park village a few years ago, I found the property tax per house to be almost the same.  Oak Park taxed more for services than the city of Berwyn but the city of Berwyn had such a high debt, the property taxes per household were almost the same.

  What is the pin number of the property in Brookfield that you say has the same assessment as yours?  You say that both had a single exemption.  But, were they the same exemption?

[MRS. NORTHSIDER]

Not always.  I found a property in Brookfield with the same assessed valuation as mine, with the 1 exemption that I have.  The property taxes on it are almost $900 lower than mine.

   Your original statement was about tax rate, not about property tax per household.  You would need to look at the total EAV of the taxing body, not just a single property, to determine the tax rate.

  Also, it is tricky to compare assessments across townships, given the way the assessor's office works.  Your assessment may be the same but you may be getting more house for the money than the house in Brookfield.  An assessment in Berwyn may not be the same as an assessment in Brookfield.

   However, depending on where you live in Brookfield, you may find a property tax for a particular house to be less than yours.  It all depends on the elementary school district and the high school district. 

  The city of Berwyn also has a high debt, which increases taxes.  A few years ago, when I compared city of Berwyn to Oak Park village a few years ago, I found the property tax per house to be almost the same.  Oak Park taxed more for services than the city of Berwyn but the city of Berwyn had such a high debt, the property taxes per household were almost the same.

  What is the pin number of the property in Brookfield that you say has the same assessment as yours?  You say that both had a single exemption.  But, were they the same exemption?

It was the homeowners exemption, no senior and no senior freeze.  Of course, it makes sense that it would be lower.  Their tax rate is lower which is what I am trying to point out.  A home with the same assessed valuation in a town in Cook County with a lower tax rate will have lower taxes.  Our tax rate keeps on going higher and higher.  In 2012 it was 12.337, our latest tax year 2016 it is 15.471.  With the increased tax rates, our taxes will keep on going higher and higher.

[markberwyn]

What do you feel is an appropriate tax rate for you to pay? You're tracking tax rates very closely, so you must have an idea in your head.

[Ted]

Mrs. N,  one cannot look at tax rates in a vacuum. Tax rates alone are not going to give you the full picture without knowing collective EAV of a taxing body (rather than an individual house) or without knowing the levy.

  Let me repeat - The levy and the collective assessed value of the taxing body determine the tax rate. 

Here is the example - Assume two towns levy $20 million dollars and both towns have 10,000 residents.  That is an average of $2,000 per house.

  Also assume that the average house in Town A is assessed at $150,000 and the average house in Town B is assessed at $100,000.  Town A has an EAV of $1.5 billion and Town B has a assessed value of $1 billion.    Town A will have a tax rate that is 66% of the tax rate of Town B even though the average tax per household is the same.

What is the PIN # of this house in Brookfield?  What is the average assessed value of a house in Brookfield versus the assessed value of a house in Berwyn?

  FYI, I worked with someone who grew up in Brookfield (near 47th street near the Lyons border) in a small 2 bedroom raised ranch.  The homes in that part of Brookfield are similar to homes in south Berwyn (if not smaller).

[MRS. NORTHSIDER]

What do you feel is an appropriate tax rate for you to pay? You're tracking tax rates very closely, so you must have an idea in your head.

One that doesn't rise so much that I will soon be taxed out of a home I lived in for almost 23 years.  Riverside's tax rate went from 10.947 in 2012 to 12.563 in 2016.  Brookfield's went from 11.589 in 2012 to 13.279 in 2016.  Again, in that same time frame Berwyn's went from 12.337 to 15.471. 

[markberwyn]

Mrs. N,  one cannot look at tax rates in a vacuum. Tax rates alone are not going to give you the full picture without knowing collective EAV of a taxing body (rather than an individual house) or without knowing the levy.

  Let me repeat - The levy and the collective assessed value of the taxing body determine the tax rate. 

Here is the example - Assume two towns levy $20 million dollars and both towns have 10,000 residents.  That is an average of $2,000 per house.

  Also assume that the average house in Town A is assessed at $150,000 and the average house in Town B is assessed at $100,000.  Town A has an EAV of $1.5 billion and Town B has a assessed value of $1 billion.    Town A will have a tax rate that is 66% of the tax rate of Town B even though the average tax per household is the same.

What is the PIN # of this house in Brookfield?  What is the average assessed value of a house in Brookfield versus the assessed value of a house in Berwyn?

  FYI, I worked with someone who grew up in Brookfield (near 47th street near the Lyons border) in a small 2 bedroom raised ranch.  The homes in that part of Brookfield are similar to homes in south Berwyn (if not smaller).

She doesn't care about any of this, Ted, not really---she just resents paying for education. She's said on this board before that having to pay for her own daughter's education made her sick to her stomach.