Mayor Says No New Hike in Property Taxes, Cites Failing Economy

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by Dwayne T. Ervin

Mayor Daley came to the South Shore Cultural Center on 7059 South Shore Drive recently to tell Chicagoans the city will not raise property taxes next year in spite of a struggling economy.

For well over a year, our nations economy has been getting worse month by month, slowing into what

is now a recession, he said. Few of our nations economists predicted just how bad things would become and many now believe that things will actually get worse before they get better.

The Mayor made his remarks during the third in a series of three public hearings on the 2009 budget and added the city will put, better management ahead of, turning to taxpayers for new revenue.

Previously, two other hearings were held at Falconer Elementary School located on 3020 N. Lamon Ave. and another at the Department of Senior Services Central West Regional Center on 2102 W. Ogden Ave.

As the city prepares the budget, he said his staff would seek to limit the number of jobs that will need to be cut and the number of services reduced. Increasing cost efficiency and consolidating more departments could be apart of the plan, he said. In addition, the city will investigate developing a plan for using proceeds from the Skyway, and the potential leasing of the parking meters and Midway Airport as additional sources of revenue. Preliminary estimates indicate a shortfall of $420 million.

The Mayor pointed to management improvements which he said have already resulted in a savings of

more $30 million and that will become apparent by the end of the year. Measures include a hiring

freeze; a 3 percent cut across-the-board-cut on all 2008 non-personnel costs, excluding those critical to public safety and security; renegotiation of price, terms and scope of some vendor contracts in addition to suspension of all non-critical out-of-town travel as well and increased participation in the voluntary employee furlough program.

In July, the Mayor announced another round of budget reductions including furlough days for nonunion

employees, the elimination of the non-union employee wage increases scheduled for July 1, 2007 and January 1, 2008 and a voluntary severance program for eligible city employees.

One resident commenting on the psychological impact a job loss can have asked the Mayor to consider

the importance of providing community mental health services. We cant afford budget cuts in the mental heath system, said Carol Smith. We are already short staffed. People who have lost their jobs are depressed, she said. If you cut anywhere, dont cut mental health.

We are not alone. Every city and state is struggling to balance their budgets without cutting services that impact residents, he added. I wish I could stand here tonight and say to each of you that the people of Chicago, that all the steps weve already taken this year and will take in the coming weeks to reduce spending will balance next years budget.

I cant, because the nations economy is projected to get even worse in the next yearand therefore to act responsibly we muse recognize that our citys revenue situation will get worse as well, Daley said.

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