Village officials in Oak Park are proposing a 7.94% property tax levy increase to fund operations, meet pension funds and cover debt services for capital projects in its proposed operating budget for fiscal year 2027.
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The levy funds the village’s operations, debt services, police pension and fire pension. With the increase, it would be set to total over $43 million, more than $3 million more from last year.
Some capital projects that the village is expected to work on, including the construction of a new police station, are not included in the levy and are proposed to be funded by bond issuances. The village is also looking to install 8.3 miles of bike lanes and bike boulevards as part of its Bike Plan.
The village’s core operating budget — the general fund, which is supplemented by other revenue sources — is expected to include $86.3 million in spending, including one-time expenses. Helping to supplement the general fund is a proposed $7 million in revenues from the cannabis tax, home rule sales tax, infrastructure maintenance fees and local operation gasoline tax.
The village is proposing to use a Capital Improvement Plan to fund the projects which will be funded by bond issuances, surplus transfers from the general fund, and grants.
It is also proposing adopting a bond financing strategy to replace pay-as-you-go funding used for routine maintenance and smaller improvements. These strategies align with the Village Board’s financing plan that was approved during the summer, officials said.
“You’re asking people to pay upfront for something that they might not benefit from throughout its lifespan,” said Louis Hall-Makarewicz, the village’s deputy chief financial officer. “So using more of the structure in which you are using bond issuances and long-term financing allows you to distribute those costs to the taxpayers as they use those resources. That way, you’re not frontloading the costs on taxpayers and then they don’t benefit from those services or from those investments in the future.”
The village’s tax levy is about 15% of the residents’ property tax bill. Of every dollar spent in total property taxes, 15.09 cents goes to the village while 4.53 cents is allocated to the Oak Park Public Library. The remaining 80.38 cents goes to other taxing districts, including the elementary and high school districts, Park District, Cook County, Triton College, Oak Park Township and other nearby governments.
Personnel moves planned as part of the budgeting process include making the temporary positions of environmental health manager and health education manager into permanent roles. Plans also call for creating three positions in its E.C.H.O (Engaging Community for Health Outcomes) program that’s designed to offer residents compassionate responses to non-emergency and low-risk calls for service through 911 dispatch.
Oak Park is hiring for new positions including three parking compliance specialists and a new property maintenance inspection staff.
The total FY 2027 Proposed Operating Budget (excluding the village’s capital funds) includes $180.5 million of proposed expenditures, and $175.9 million in proposed revenues.
A full breakdown of the proposed FY 2027 operating budget overview is available on the village’s website. A new embedded AI chatbot will allow people to ask questions about what is being proposed.
A final decision on the proposed budget is expected on Dec. 8.