Cook County Board Departmental Budget Hearings Continue

Cook County Board Finance Committee
Departmental Budget Hearings
October 25, 2021, Part Two
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Public Administrator presented by Louis G. Apostal
Proposed 2022 Budget:  $1,505,785         2021 Budget:  $1,412,029
Proposed 2022 FTEs:  15              2021 FTEs:  15
Presentation Highlights:

• Almost a self-supporting agency, since most collected fees go into the county treasury. 
• Is a quasi-state agency since it is overseen by the circuit court system. 
• Deals mainly with probate, selling of property, etc.

Office of the Independent Inspector General presented by IG Patrick Blanchard

Proposed 2022 Budget:  $1,945,869     2021 Budget:  $1,874,663
Proposed 2022 FTEs:  19               2021 FTEs:  19
Presentation Highlights:

• Budget includes additional funds requested for certification training for the 5 new employees (investigators).
• # of complaints received is leveling off to about 795 per year—most from the county and forest preserve district; about 30 of these are from sub-contracted Metropolitan Water Reclamation District (MWRD).  
• MWRD contract expires in 2022, but will most likely be renewed.
• This year an ordinance passed giving the Litigation sub-committee authority to review the quarterly reports from the Inspector General—mostly when recommendations were not being followed by departments and agencies.  This is a positive for this office.

Cook County Treasurer presented by Maria Pappas

Proposed 2022 Budget:  $11,951,584 (decrease of about $36,000)    2021 Budget:  $11,987,500
Proposed 2022 FTEs:  72.5  (decrease of 5 FTEs)                 2021 FTEs:  77.5

Highlights of Presentation:

• Main purpose of this office is to collect property taxes ($16.1 billion) throughout Cook County and then distribute the collected money to the 2,200 local government units—various taxing bodies (municipalities, schools, etc).  Also invests the revenues and others public funds according to law.   Conducts tax sales of delinquent properties.
• Productive use of technology and automation has made this office more efficient and less expensive over the years.
• This office has an extensive user-friendly website that contains almost all information any taxpayer needs or is interested in regarding taxes:  www.cookcountytreasurer.com. 
• The web site also contains several studies done by this office, including Scavenger Sale Study, 20-year Property Tax History, Debt Study, and Tax Bill 2020 Analysis.
• This office has a strong outreach service to help taxpayers get exemptions, avoid overpayments, obtain refunds, etc.
• Treasurer Pappas has not been pleased with the roll-out of technology by Tyler Technologies, especially as it concerns other offices with whom she works (Assessor, Clerk, etc.)

Some interesting facts on website:

• $72 million has been overpaid by taxpayers in duplicate payments or overpayment
• $43 million in missing exemptions for seniors (they haven't applied for the exemption)
• Property taxes are up 99% in the last 20 years
• 50% of scavenger sales are vacant properties
• Since 2018, $82 million in automatic refunds has been paid out
• The 547 primary taxing agencies have a debt of $153.4 billion (mostly pensions)

Cook County Assessor presented by Fritz Kaegi

Proposed 2022 Budget:  $33,778,110             2021 Budget:  $31,120,615
(2022 includes $1,000,000 allocated from the American Rescue Plan (ARPA)
Both years include about $4,605,290 in Special Purpose Funds
Proposed 2022 FTEs:  276                              2021 FTEs:  276

Highlights of Presentation

• Assessor Kaegi praised Tyler Technologies as being less expensive than alternatives at this point.  The office is pleased with the roll-outs, with iasWorld going live soon.  
• Goals this coming year include:  strategic hiring and cost efficiencies,  improved customer service, technology and modernization investments.
• Having difficulty hiring for 40 vacant positions, since other businesses pay more or have better perks.  Many retirements and COVID fears have increased vacancies.
• Digitization has lowered costs and lowered error rates.  A consulting contract is being used for customer service improvement.  Best practices in this field are being followed, although Cook County has a very unusual system of assessment.
• Commissioner Miller was concerned about Southland communities and their assessments.  Small businesses have high rates when residential properties are lowered.  Concern about drawing businesses to the Southland with such high property taxes.
• There are a large number of appeals in Cook County (33% of properties are appealed).  The reason is distrust in assessment accuracy and fairness,  Assessor is working on more accurate, uniform, equitable assessments.  Interestingly, appeals have been down even though the process to appeal is easier now.  Kaegi feels it will take a few years to rectify/change the distrust in assessments by home-owners and commercial property owners.
• Within about a year, the process of updating inaccurate assessments will carry-over to the next assessment in 3 years hence.  So once rectified, this should be ”permanent.”
• TIF Districts can negatively affect assessments (will be higher since some areas will have a tax break).  ARPA funding this year will go towards measuring the incentives given to property owners -—are they working as intended. Kaegi is working to get some changes to assessment process at the state level—with new laws.

Karin Hribar - Observer