La Salle homeowners should expect the same tax rate to the city in the coming year

La Salle homeowners should expect to see a similar amount being paid to the city’s portion of the tax bill when they pay their next property tax installment.

The city unanimously approved a tax levy for the fiscal year beginning on May 1, 2021, and ending on April 30, 2022, during Monday’s meeting.

“Basically how it’ll shake out to the taxpayer is there won’t be an increase or decrease for next year,” said Finance Director John Duncan. “They will be right at the same rate. I think overall people can anticipate paying right around the exact same in property taxes payable to the city.”

Duncan also provided some context to the city’s finances during presentation Monday, saying where the city plans to allocate the funding it receives in the coming year.

While many of the numbers remained mostly the same as the previous year, the city will be allocating an additional 5.88% to the city’s General Corporate Purposes and Playground and Recreation funds.

General Corporate Purposes will increase from $340,000 to $360,000 as the Playground and Recreation allocation will increase from $85,000 to $90,000.

The public library fund also will see a slight increase in funding from $226,000 to $240,000. This 6.19% increase is in an attempt to help prepare the library as bond funding begins to dissipate.

“We are trying to get them up to what they are spending every year,” Duncan said. “They are really operating in a deficit based on a lot of donated money that’s going to run out in a couple years.”

In the city’s tax levy, two of the biggest items of note are the city’s police and fire pension funds and this year is no different.

La Salle’s fire pension fund will see a 19.03% decrease as the allocation moves from $247,000 to $200,000. This decrease is because of the large progress the city has made in recent years to making sure this account is funded.

“The reason it’s down is because we’ve done a really good job at catching up,” Duncan said. “In the state’s last report, it stated that we are 80% funded, which is really good. It wasn’t that long ago, I think we were in the 50s.”

The La Salle police pension fund will subsequently see an 8.10% increase from $1,605,000 to $1,735,000. Both of these pension funds have been a focal point of the city as it has been making payments to raise its funding.

“Not as great on the police pension as far as funded,” Duncan said. “Last year we were at 32% and this year we are at 37%. So, we’ve made some headway.”

La Salle utilizes two metrics to determine its contributions towards the two pension accounts. In both estimates the city will be allocating the higher end of the estimates.

The city will pay off its 2001 library bond this year, leaving only a 2007 series bond.