McHenry County Board narrowly approves tax increase

The McHenry County Board narrowly approved a property tax increase for next year, but taxpayers still will see a decrease in the county’s share of their property tax bill.

This year, the total county levy is about $65 million, significantly lower than last year’s levy of about $73.8 million. The decrease is due in large part to voters approving a sales tax in March that would fund the Mental Health Board.

Last year, how much to fund the Mental Health Board was a large sticking point in budget negotiations and the County Board presented the issue to voters in March. The proposal passed with about 53% of the vote and the sales tax kicked in July 1.

County leaders had vowed to remove the portion of the property tax levy that funded the Mental Health Board, about $11 million, if the sales tax went through. Leaders upheld their end of the deal this year when that portion of the levy was removed.

At its meeting this week, the County Board opted to take part of the increase it’s allowed under state law, the new growth portion plus part of the increase tied to inflation, similar to what it did last year. The county raised taxes in 2022 for the first time in nearly a decade.

Last year, the board opted to take new growth plus 1.95%, less than the maximum of 5%. This year, the approved levy captures an estimated $660,000 of new growth plus an inflationary increase of about 2.4%, less than the maximum of 3.4%, according to county records.

At the same time, the board approved a budget of about $270 million, significantly higher than last year’s budget. County officials said in a Wednesday news release that the increase was driven in large part because of construction widening Randall Road. The project is 80% federally funded, and the county has been saving up for its share for years, according to the release.

“I want to make sure as my last vote, that I keep the county in sound financial position.”

—  Kelli Wegener, outgoing County Board member

The county also will fund three new sheriff’s deputies next year. County officials had presented three levy scenarios to fund the positions. The primary difference between them was how many deputy positions would be funded, and the County Board picked the scenario that outlined funding for all three.

This year’s budget and levy passed by one vote, the same 10-8 margin as last year. Every member who voted for last year’s budget and levy voted for this year’s, and every member who voted against last year’s did the same this year.

The yes votes included three Democrats who will not be on the County Board next year: Kelli Wegener, who ran unsuccessfully for County Board chair instead of her current seat, and Theresa Meshes and Lou Ness, who lost their reelection bids.

“I want to make sure as my last vote, that I keep the county in sound financial position,” Wegener said.

Board member John Reinert, a Republican who also lost his reelection bid, voted against the budget and levy. The County Board that will be sworn in Dec. 2 will have a Republican supermajority of 15-3.

During the budget debate and vote Tuesday, board member Terri Greeno, R-Crystal Lake, proposed capturing only new growth and not taking the inflationary increase. Greeno said taxpayers made clear in the election they didn’t want a tax increase.

Greeno’s proposal failed after a voice vote was too close to call. The eight members who ultimately voted against the levy and budget that passed backed Greeno’s proposel.

Last month, board member Eric Hendricks, R-Lake in the Hills, had broached a 3% cut in the levy before it went on public review.

Hendricks said Tuesday he still supported the 3% cut, but it didn’t seem like an option. He said no inflation but leveraging new growth was a “fair compromise.”

A homeowner in McHenry County with a $350,000 property located in a municipality will pay an estimated $505.51 in county taxes next year, according to county records. That is a reduction of about $60 from last year, according to those records.

Public comment during Tuesday’s meeting was largely opposed to taking any increase. Some audience members also held up “vote no” signs during the meeting. Some of the signs were repurposed from those urging a no vote on tax referendums, with the word “increase” taped over the word “referendum.”

The county’s next budget year starts Dec. 1.