Homewood trustees approved a resolution Tuesday, March 10, expressing opposition to Gov. Bruce Rauner’s proposal to cut state funding to municipalities by 50 percent.
The resolution states, “The Village of Homewood urges the governor and the General Assembly to protect full funding of the Local Government Distributive Fund and other revenue sources that allow local governments to provide for the health, safety and general welfare of their residents.”
If implemented, the cut to LGDF would cost Homewood $954,850, or about 5 percent of its total budget.
The village joins a number of municipalities and organizations that are pushing back against Rauner’s plan to cut the Local Government Distributive Fund.
In a letter dated Feb. 27, the South Suburban Mayors & Managers Association outlined a number of reasons muncipalities object to the proposed cuts.
The letter notes that LGDF money “is not a gift to municipalities” but was promised in return for mayors’ support for the 1969 state income tax legislation.
Rauner suggested municipalities could depend on reserve funds to compensate for the loss of LGDF money. The letter asserts that while some communities have about three to four months worth of operating expenses in reserve, those funds would not make up for the proposed cuts in state funding.
“Reducing LGDF to municipalities to help balance the State of Illinois budget is merely shifting the burden directly on local taxpayers who are ill-equipped to shoulder this expense,” the letter says.
SSMMA supports some of Rauner’s proposals, including consolidation of services and units of government.
The mayors of Homewood and Flossmoor were among the 36 municipalities represented as signatories to the letter.
Of the municipalities represented, eight would lose more than $1 million per year from the LGDF cut. Tinley Park and Orland Park stand to lose the most money, about $2.8 million each.
State revenue cuts would impact every Illinois citizen, Braun tells Senate committee (The Chronicle, March 13, 2015)
Governor’s proposed budget would cost Homewood $900,000 per year (The Chronicle, Feb. 23, 2015)
Rauner budget plan would trim Flossmoor revenues by $468,000 (The Chronicle, Feb. 19, 2015)
Contact Eric Crump at [email protected]