First, the $15 million in property tax reductions for Career Education affects every taxing body on their tax bill, not just the Village. Even though the Village and the County have the power over this tax incentive, the tax affects all other property tax bodies on that property’s tax bill. The schools are affected most but they have no power to stop it. In fact, the Village asked the District 54 school board to sign a letter of support for the tax break and the school district declined.

Second, the Village Board and Development Staff are deeply invested in the misguided concept that generous tax incentives for favored business benefits everyone. They claim “public” benefit to these incentives, but I see mostly “private” benefit. Village staff, consultants, and contractors also benefit from the artificially induced regulatory and construction activity that goes along with an incentive project.

Thirdly, These incentives usually get little public scrutiny and once they are in, the costs are not itemized on your tax bill and are diluted across all taxing bodies. Most taxpayers look at their tax bill and see something like $1000 going to schools, but in fact the schools are getting more like $900. The rest is going to private entities in the form of tax incentives and subsidies.

In short, it is easy to spend public money for private purposes when the cost is easily buried in someone else’s tax bill.

-Tim Costin