The Homewood Village Board approved an ordinance that allocates the village’s share of regional gaming tax revenue from the Wind Creek Casino to its police and fire pension funds at the Oct. 28 meeting. 

According to Homewood Director of Finance Amy Zukowski, the goal is to narrow a long-standing funding gap and meet state pension requirements. The Illinois Pension Code requires both police and fire pension funds to be funded at 90% by 2040. As of April 30, 2025, the Police Pension Fund was 55% funded, while the Fire Pension Fund was at 72.2%, she said. 

Using proceeds from the gaming tax revenue, Homewood will contribute up to $150,000 annually from its portion of the 1/43rd Regional Gaming Tax to the police and fire pension funds beginning in April 2026. The additional contributions will continue each fiscal year until both pension plans are funded at 90%, Zukowski said. 

According to Zukowski, the village receives about $12,000 per month, or approximately $144,000 annually, from a 3% regional gaming tax that is divided among 43 south suburban municipalities. Separately, the village has an intergovernmental agreement where it receives 45% of a different 2% gaming tax share that is split only between Homewood and East Hazel Crest, which receives 55%. That 55/45 split is not part of the regional distribution.  

Zukowski said that the additional revenue will help address an estimated $1.6 million deficit in the village’s public safety pension systems. She noted that part of the shortfall is from Homewood collecting about 93% instead of 100% of its property tax levy each year, due to property owner delinquency and the appeal of property tax bills.

Any gaming tax revenue exceeding $150,000 annually will be transferred to Homewood’s capital fund for future municipal projects. This will help slow the growth of the village’s $1.6 million police and fire pension funding deficit, which has accumulated over the last decade. Zukowski said that the gaming revenue does not eliminate the shortfall, since the deficit is significantly more than the annual contribution from the gaming revenue. Staff will therefore be creating a separate long-term plan to address the remaining gap at a future meeting, she said.