Wonder Lake set to raise tax levy by 4.5 percent
Village will request 4.5 percent more than last year
WONDER LAKE – To keep up with rising costs, the Wonder Lake Village Board plans to approve a levy increase at its next meeting, the village president said.
The board came to a consensus at its meeting Wednesday evening that it would raise its levy request about 4.5 percent, Village President Tony Topf said.
The village is unlikely to capture all of that increase, though, even if the board gives its final approval at its next meeting.
A state law caps the amount some local governments can raise their property-tax levies to the rate of inflation. Governments also can collect the extra dollars brought in by new construction and improvements.
The Consumer Price Index rose 1.7 percent in 2012, so Topf doesn't expect to see the revenue the village collects from property taxes increase by much more than that.
The village is "struggling to provide the services we currently have," said Topf, adding that because Wonder Lake is primarily a residential community, it relies more heavily on its property taxes.
About 37 percent of the village's general fund revenue comes from property taxes in comparison to 27 percent in nearby McHenry, according to their 2012 annual financial statements.
The village of Wonder Lake had a fund balance of $489,726 at the end of fiscal 2012-13, an increase of about $80,000 over the previous year, according to its financial statements. That works out to about 190 days of cash on hand.