Friday, February 6, 2009

THE COUNTY OPTION INCOME TAX IS REARING ITS UGLY HEAD

We knew our elected officials just couldn't let it rest, and Team Hammond would have rather been wrong than right on this one.

The idea of a county option income tax has been resurrected again. Local mayors are currently in discussions with state legislators and county council members about the need for an income tax to finance their big public works projects and shortfalls in their city budgets.

Leading the way is Whiting Mayor Joe Stahura, who last spring spearheaded a "Save Whiting" charge and was instrumental in getting state legislators to exclude Lake County from the 1. 2, 3 tax caps in House Bill 1001 until 2020.

And now Lake County Councilman Tom O'Donnell who opposed the county income tax in 2007 appears to be wavering in his stance.

Councilman O'Donnell said, "I want to hear from the towns. There will be a huge (anti-tax) response and alot of honked people, but somehow government has got to be paid for. You can't do 2010 with 2007 dollars.

"The municipalities have to be getting nervous at this point - and not just the big cities. The bottom line is I anticipate a cry from both the cities and towns to unfreeze our levy and do it however we've got to do it."

However, both County Commissioner Fran DuPey and Gerry Scheub remain firmly opposed to a county option income tax.

Commissioner DuPey said, "I am admantly against the tax. That's why I'm still here in office instead of retired."

In 2007 the county option income tax was voted on and approved by the county council. County Councilman Christine Cid said recently at the Team Hammond Taxpayers' Group meeting she voted in favor of the income tax because 100% of the tax was to be directed for property tax relief.

Not so this time. Local officials are pursuing legislation that would split in half the monies generated by the tax. One half would be for property tax relief and the other half would be for
big ticket projects such as the South Shore extension or the Little Calumet River flood control program.

It is estimated that $92 million would be generated by the county option income tax.