April 11, 2020
Dear editor;
In response to the economic downturn that will have an impact on Kane County and its residents’ budgets, the Kane County Board will put a band-aid on what most likely will become a wound. Kane Treasurer David Rickert has proposed a 30-day grace period on the payment of this year’s initial tax bill due June 1.
Treasurer Rickert, stated in an April 9, Daily Herald article, that the County during the June grace period will lose “. . . $124,000 in late penalties,” which is a portion of the budgeted $1.5 Million it anticipates receiving in late fees. The June fee amounts to approximately $8,267,000 in uncollected taxes. An estimated 54% of Kane County’s property tax payments are paid by the property owner, the remaining are paid by a financial institution.
Kane County is going to be encountering a tough new paradigm. A combination of decreasing tax revenue and the potential effect of high unemployment certainly will have an impact on Kane County’s already stringent budget. Kane County projects collection of about $1.27 Billion in property taxes, 4.3% of which is returned to the County.
Kane County’s citizens may have some difficult choices to make. In these challenging times, perhaps a broader and bolder approach is needed. Under this changing landscape, the Kane County Board needs to continue to review its tax collection policy. The Treasurer’s office needs to work with stressed taxpayers and waive the late fees. This situations not a time to be punitive.
Another suggestion is to extend the current Senior Citizens Real Estate Tax Deferral Program to those financially effected by the Coronavirus. This deferral program allows eligible seniors to have their property taxes added as a second mortgage, which is held by the State. The State pays the property tax and recovers the money when the property is sold. A similar amended program could be established for homeowners and small business owners who, due to unemployment or the State-mandated stay-at -home policy have lost their income.
These are unique times and require prudent, but yet creative solutions. Kane County’s property tax revenue is the only consistent revenue source. I encourage the Kane County Board to look at long- term solutions that will help our residents to not only stay well, but to help maintain their fiscal health. Our residents are depending upon you.
Corinne M. Pierog, Democratic Candidate, for Kane County Board chair, Batavia