What happens to the tax rates after the utility reserve funds are spent?
The proposed plan recommends reducing the amount of utility reserve funds used each year over a period of 10 years. The exact amounts that would be used each year are not contained within the preliminary consolidation ordinance under review by the City Council and Village Board. As the amount of utility funds used decreases each year, the amount raised through the property tax levy will most likely need to increase. Eventually, utility funds will no longer be available to reduce the tax levy.
