A proposed state tax increase debated in Springfield loomed over Monday’s City Council meeting, inspiring reactions from Evanston officials and residents.
The legislation caused controversy statewide, proposing to increase the flat income tax from 3 to 5 percent and corporate income taxes from 4.8 to 7 percent.
After a moment of silence to honor the victims of the shooting at a political event in Tucson, Mayor Elizabeth Tisdahl began Monday’s council meeting by explaining why she supported provisions of the tax increase.
“Amidst all this fury over the state’s proposals, I did support an increase in the income tax but not in the tax on businesses, which I very much hope they do not enact,” Tisdahl said.
The mayor said she wrote letters to state Sen. Jeffrey Schoenberg and state Rep. Robyn Gabel, who represent Evanston in Springfield, to express her support for the bill.
“If the state is to get out of the hole that it’s currently in, either they will cut money coming to cities or they will increase the income tax,” Tisdahl said. Tisdahl warned that cuts to Evanston from the state would require the city to increase property taxes on residents.
As Illinois lawmakers considered ways to address its $13 billion deficit before the end of its fiscal year, Evanston aldermen considered cutting capital investments to improve on its debts during the council meeting Monday. The city owes $101 million in general obligation bonds, which are financed by property taxes.
Even after the two-hour meeting on city bond debt, the threat of tax increases was not lost on citizens in attendance. Evanston resident and architect Mike Vasilko rose to offer a harsh criticism of practices in Springfield before the council.
“This is the type of shameful, archaic, medieval politics that you’d expect to find among warlords in a third-world country,” he said, comparing the Illinois General Assembly’s proposed tax increase to the ancient medical practice of bloodletting.
Tisdahl said her support of the income tax increase did not reflect the opinions of other Evanston officials. City Manager Wally Bobkiewicz, whose responsibilities include drafting a city budget each year, compared his work with Evanston’s financial challenges to the difficult decisions facing Illinois legislators.
“As a lifelong government manager, to think that a government could not look at one thing it could do to adjust, reduce or make more efficient is difficult to understand,” Bobkiewicz said. “My hope is that the state will take the lead from hundreds of local governments in Illinois and always act to economize before asking for revenue.”
Although the proposed state tax increases would not impact Evanston revenues, Bobkiewicz expressed concern that the proposed legislation could deter business in the city.
The proposed tax increase passed a committee vote and was presented to the state House on Tuesday evening, while representatives blocked a $1.01 increase on the state cigarette tax. The state Senate also approved abolition of the death penalty Tuesday, and the bill will be submitted for the approval of Gov. Pat Quinn.
