-- Connecting the dots between our economy, government and business --
Summary and audio linked here.
Chicago’s political leadership is floating a pension buyout program as evidence it is seriously addressing the city’s thirty-six-billion-dollar unfunded pension liability, but Mark Glennon, founder of the Illinois policy research organization Wirepoints, said that the proposal moves debt from one column to another rather than reducing it, and that the broader fiscal picture facing the city continues to deteriorate across every measurable dimension. Audio here.
Expect no retraction or apology. This what they do.
The state’s existing buyout program for its own pensions is the precedent for Chicago, which should be a warning: Look out for similar exaggerated claims and shoddy analysis.
Full interview and summary linked here.
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I purchased a home that had been foreclosed on. This property was advertised on the MLS, advertised and anyone could buy. I had the Assessor over to show her the items within the house reflecting issues that have a negative affect on the marketable value. Initially she allowed the house to be assessed based upon what I paid for it but down the line and on the last week of the days to protest valuation the value was practically doubled. I called and was told that I had repaired the problems and that I had bought the house below market… Read more »
It is actually against the rules for assessors to ‘chase sales’ which is, use sales prices as assessments. Assessors are supposed to behave as non-partisan, but Berrios was Chief Assessor and also Chair of Dem Party. “Fair market value” is supposed to mean that a willing buyer and a willing seller could agree at that price. Also, that your assessment was ‘uniform’ to other properties in that area. WAS your assessment ‘uniform’? That is, were similar structures+land in that area assessed higher, or lower? Typically assessors look at all the surrounding houses’ assessments. There are many variables, but also many… Read more »
Willing buyer and sellers settled price is a very good indicator of value. However after reading your reply is that why a neighboring Alderman’s assessment is 33% below what he paid for it? Seems that he has rental property similarly assessed too. What you describe, and may very well be true, is how the connected insiders get by with lower assessments in Illinois. Is anything corruption free in Illinois?
Here is how property taxes work: 1. A tax levy is determined by adding up all the monetary demands of all the different taxing bodies(schools, parks, police, etc.). After running levy through various adjustment filters, the ” extension ” is determined. Extension is total dollar amount legally owed to taxing bodies by all properties within the boundaries of each taxing district. 2. To determine each property’s tax liability, All real property is assessed at “fair market value”* by a human assessor. After running through various adjustments, the**EAV is determined: Equalized Assessed Value of all taxable property within that taxing district.… Read more »
With new Class A office space in downtown West Palm Beach otherwise occupied, suburban Palm Beach County has seen record surges in office rents, according to a recent report from Cushman & Wakefield.
If the downtown skyscrapers don’t pay more, everyone else is gonna pay more.
This is a little bait-and-switch because you keep the assessments low downtown to encourage construction then jack up the taxes once it’s built.
Typically the taxes are passed on to the tenants (businesses) which are then passed on to the customers (you). If you’re in cook county expect to pay one way or the other.
Guess what –years of part time IL legislators also working as property tax attorneys, in corruption rich IL, has probably resulted in a lot of commercial property being assessed way below where it should be. Kaegi is on to it, and the connected property tax attorneys in Chicago don’t like it. Thank you Mr. Kaegi for fighting for us!
I agree with your assessment. Isn’t it interesting that the headline puts an entirely different skew on the story?
Governments job is to screw over everyone all the time. They do not care if you go bankrupt, not their problem. They have a never-ending lust for more money to pay for the high salaries, benefits and overly generous pensions. PPF tells it like it is, they must be paid by the taxpayers. The government lackies always sell their votes to the Politicians and then the taxpayers pay the bill.
I liked Kaegi…. but on election night he was showing his true colors on the tv shows doing interviews from the Johnson/CTU headquarters stating he’s 100% behind Brandon/CTU. yikes
Makes sense for Kaegi – he’s a Democrat and a politician, after all.
Even though everyone, one way or another, pays for higher property taxes in the end, there are a lot fewer voters who own downtown office buildings than there are voters who pay mortgages and rent.
The landlords can hire expensive lawyers and they often do so. The practice won’t go away post Madigan. Kaegi is now a bit of a victim of circumstance and timing. Office occupancy in downtown is considerably diminished due to COVID/crime and so on, and it will be difficult for him to raise commercial property values.
Kaegi doesn’t care. He’ll raise taxes anyways. The good guys lost their elections on the board of appeal. Kaegi has shown us that he intends to destroy it all. For equity. The man is a dangerous ideologue.
The fact remains is that he will face headwinds on assessment appeals with large commercial properties – yet another consequence of the hollowing out of downtown – and that shortfall will fall in ordinary citizens in residential neighborhoods.
The communist wants to burn it all down.