Oak Park homeowners could pay $107 to $290 more per year in village property taxes under a proposed 7.94% levy increase the Village Board moved forward Nov. 4.

The board voted at its Nov. 4 meeting to approve levy estimates for a required Truth in Taxation hearing, the Wednesday Journal reported. The vote does not adopt the actual levy. Discussions will continue through the finance committee and full board before a final decision in December.

The increase is driven largely by a revenue shortfall. Chief Financial Officer Kevin Bueso told the board that preliminary 2025 revenue came in at about $69.1 million, the lowest since 2021. That figure is about $7.2 million below the original revenue budget of about $76.3 million.

Seven revenue categories fell the furthest behind: ambulance charges, interest revenue, replacement tax, natural gas taxes, cable and telecom, vehicle tax and building permits. Combined, those seven groups came in about $7.3 million below their 2025 amended budget, according to the Wednesday Journal's account of Bueso's presentation.

Bueso said one of the main drivers was a $2.5 million overstatement of ambulance billing revenues in 2024 that is being corrected. He said auditors will discuss that issue in more detail in December.

Shifting consumer habits also played a role. Bueso said natural gas tax revenue drops as residents move toward solar energy. Cable and telecom revenues fall as more people switch to streaming services, which are not taxed.

Reserves drop sharply

General fund reserves have fallen from $42.4 million at the end of 2024 to about $37.7 million in 2025. The 2026 estimate is about $21.8 million, according to the Wednesday Journal. Transfers to cover the shortfall, a half-million-dollar American Rescue Plan Act adjustment and planned capital transfers in 2026 drove the decline.

The 2025 preliminary results created an almost $1.3 million deficit for the general fund, the first between 2019 and 2025. Bueso said spending stayed at 88% of the general fund budget because departments were not fully staffed and not all initiatives were implemented.

"Had we been fully staffed, had we implemented all the initiatives, that deficit would probably look at more like $5, $6 million," Bueso said.

Trustees push for cuts

Several trustees signaled they want to bring the number down before a final vote.

"I would love to find a way to reduce it from 8%, and that is the work of the Finance Committee and of this board to try to do that and be as responsible and efficient with our taxpayer resources as possible," Trustee Derek Eder said.

Trustee Cory Wesley said the $7.3 million gap in non-property-tax revenue forces the village to find that money somewhere, typically through a combination of spending cuts and tax increases. Trustee Jim Taglia raised concerns about the pace at which reserves are declining, saying the village has reached the point where its own proposed policy calls for action.

Estimated tax bill impact

Bueso broke down the estimated annual impact on the village portion of property taxes. A home valued at $237,250 would see a $107 increase. A $450,000 home would pay $203 more. A home valued at $643,140 would face a $290 increase.

Village President Vicki Scaman noted that the initial proposed levy is usually higher than what the board ultimately adopts. She invited residents to attend upcoming finance committee meetings as the board works through the budget.

What comes next

Finance committee meetings on department budgets are scheduled for Nov. 5 and Nov. 11. The Truth in Taxation hearing on the proposed levy is set for Nov. 17. A budget presentation to the full board is planned for Dec. 1, with a final board vote on Dec. 8.