A proposed property tax levy decrease and a hotel/motel tax increase were topics of debate at last night’s Galesburg City Council.
City Manager Todd Thompson presented a 2.54 levy decrease at last week’s work session. If accepted, the average $68,000 homeowner would pay about $25 less per year.
The levy could be approved next month, but it hasn’t gone without some questioning. Last night, Ward 7 Alderman Jeremy Karlin asked Thompson his intentions.
“I’m trying to figure out how it’s in the fiscal best interest of the government to lower our taxes,” Karlin said. “Given the fact that we’re looking at a budget where we are cutting services and reducing what we are doing for the community. How would you argue, since you seem to be putting forth this budget?”
Thompson responded by saying he feels it important to be conscious of the impact of taxes on residents and the desirability of the town. The levy will be decided on at the end of the month.
The hotel/motel tax increase was on first read last night. A 1.8 percent increase would use $124,000 in additional annual revenue to fund the Galesburg Promise scholarship program, which city officials say need the money due to “increased demand.”
Mayor John Pritchard, who has been an advocate for the program, is a proponent. Carl Sandburg College President Dr. Lori Sundberg also praised the proposal.
But not all agree. Comment from Galesburg Lodging and Restaurant Association President Ryan Cochran argued the increase would change the tax to near the highest in the state.
