City Council passed Evanston’s budget and tax levy for fiscal year 2025 at its Monday evening meeting, with property taxes set to remain flat for another year.
The revised budget presented at the meeting totaled about $395.6 million for expenditures and operating transfers out — a decrease of about $3.3 million from the original proposal. The plan incorporates a menu of options to generate about $1.5 million in revenue, reducing the amount of money extracted from the city’s General Fund from about $12.6 million to $11.1 million. Additionally, the new budget fixes an accounting error tied to Northwestern’s Good Neighbor Fund and integrates the revised cost of the city’s Capital Improvement Plan.
Ald. Bobby Burns (5th) said the budget included various expenses that could have been removed, including for some public works projects under the CIP. Specifically, Burns said he spoke with City Engineer Lara Biggs about hiring an “outside” worker to renovate Philbrick Park.
Based on those plans, Burns successfully motioned to remove $150,000 in consulting costs for the park from the budget.
“It doesn’t feel like a year to be adding to our debt service, which is adding to the structural deficit,” he said. “That doesn’t seem fiscally responsible to me.”
A subsequent motion to table a final vote on the budget failed 7-2, with only Ald. Clare Kelly (1st) and Ald. Devon Reid (8th) voting in favor. Councilmembers then voted unanimously to pass the revised budget with Burns’ change.
The balance for the General Fund, used for day-to-day expenses, is projected to fall to nearly zero by 2027 if the property tax levy remains flat, according to the proposed budget.
Ald. Jonathan Nieuwsma (4th) said he preferred gradually increasing taxes across several years instead of waiting and increasing it all at once later.
“We do have excess reserves — that is a true statement — but we are burning through them at such a rapid clip that our reserve train is about to go off a cliff,” he said. “And I suggest it would be in everybody’s best interest if we started to slow that burning train down sooner rather than later.”
Several councilmembers indicated support for a small increase to the property tax levy — including Ald. Krissie Harris (2nd), the only councilmember to vote against the city’s FY 2025 levy.
Nieuwsma considered introducing a motion concerning a property tax increase, but he told The Daily that he chose not to do so since he did not believe a majority of councilmembers would support it.
Harris said she supported keeping budgets flat by not increasing expenses while still accounting for necessary pensions. Harris has spoken with residents who would not want a property tax increase but would accept it as necessary for the city’s finances, she said.
“It hurts, but I think incrementally, we have to do it,” Harris said. “Let me be clear: It could be political suicide to say that, but I’d rather die now than later.”
Clarification: This story has been updated to remove the proposed budget’s initial estimate for the General Fund balance decrease.
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