What's Happening?
Harvey's 2023 property tax collection rates are among the lowest in Cook County, with only 58.29% of billed taxes collected, equating to $24.15 million in unpaid taxes. The Cook County treasurer's report
highlights the fiscal challenges faced by Harvey, which has the most tax delinquent homes and vacant lots in the county. The city is in a state of partial government shutdown, having furloughed over 40% of its staff due to budgetary constraints. Harvey Mayor Christopher Clark attributes the low collection rate to years of disinvestment and high tax rates, which have exacerbated the city's financial woes.
Why It's Important?
The low tax collection rate in Harvey underscores the severe fiscal challenges faced by the city, impacting its ability to provide essential services to residents. The financial distress has led to a partial government shutdown, affecting critical departments such as Police, Fire, and Public Works. The situation highlights the broader issue of tax delinquency in south suburban communities, which can increase the property tax burden on those who do pay, potentially driving them out of their homes. Harvey's fiscal crisis may prompt calls for state and federal assistance to address the underlying issues and support the city's recovery efforts.
What's Next?
Harvey's City Council has voted to apply for relief under the Illinois financially distressed cities act, seeking state aid to address its fiscal crisis. The city will need to explore equitable measures to improve tax collections and address the high number of abandoned homes. Stakeholders, including local government officials and community leaders, will likely engage in discussions to find solutions to the city's financial challenges. The outcome of Harvey's application for state aid and its efforts to improve tax collections will be critical in determining its path to recovery.
