ROCKFORD — Mayor Tom McNamara on Friday renewed his call for the restoration of a funding source he says the state has "stolen."
A day after Illinois Gov. JB Pritzker visited Rockford to discuss tax relief measures in his $45.4 billion proposed 2023 budget, McNamara urged passage of legislation that would restore a portion of the Local Government Distributive Fund.
McNamara during his regular media briefing said approval of the legislation would mean an additional $5 million annually for the city, and about $500 million for municipalities across the state.
The money would allow Rockford to continue efforts to reduce property taxes in the face of unfunded state mandates, McNamara said.
"It is absolutely critical," McNamara said. "It’s our money. It’s all of your money."
McNamara argues that although residents are paying more income taxes, less of that money is coming back to the city in recent years.
Rockford news: Go big or go bigger. Here’s what’s in the largest infrastructure plan in Rockford history
The fund first approved in 1969 returns a portion of income taxes to municipalities on a per capita basis. Since 2011, the percentage distributed to Illinois cities was reduced under previous administrations to about 6% from 10%, according to the Restore Local Government Distribute Fund Coalition, a group of organizations representing cities and counties from across the state.
That is money the coalition says local governments use to fund police and fire, snow removal, street maintenance and flood prevention. McNamara said proposed legislation would raise it to 8%.
In Rockford on Thursday, Pritzker said the percentage has not changed under his administration. But he said he has worked hard to increase other revenue sources for cities and counties across the state.
Pritzker says he has worked with state legislators to increase funding though a gaming expansion, legalized cannabis and capital funding for roads, bridges, ports and airports.
"We have added, as a result of a variety of things we have done, about $1 billion more on an annual basis to the coffers of cities across the state," Pritzker said. "Not through the Local Government Distributive Fund specifically, but lots of other things."
McNamara agreed the city has seen "new streams of revenue" including the Rockford Casino Hard Rock Opening Act approved under Pritzker’s administration.
Still, he urged restoration of the fund. He said although Rockford has managed to reduce property taxes or keep them flat each year for nine years, other cities and counties have raised taxes because of unfunded state mandates.
"He is great when it comes to working with municipalities," McNamara said. "I’ll ardently say, I still want our money back. When I say ‘our money,’ I mean our citizens’ money back to our community. It can be done."
Jeff Kolkey: jkolkey@rrstar.com; @jeffkolkey
This article originally appeared on Rockford Register Star: Rockford would gain $5M annually if local shares of tax were restored
via Yahoo | Mail, Weather, Search, Politics, News, Finance, Sports & Videos
February 11, 2022 at 07:30PM
