Property taxpayers in Waukegan will not see an increase in the portion of their payment that goes to the city when they receive their tax bills from Lake County in the spring.

The Waukegan City Council unanimously approved a 2025 real estate tax levy of just under $37.3 million Monday at City Hall for taxes payable next year, making it the sixth consecutive year without a tax increase.

Mayor Sam Cunningham said after the meeting, the city developed its spending plan for the fiscal year, which started May 1, early enough last spring to be in a position by this fall to make the decision not to increase taxes.

“We identified these things early on, and it has helped us to achieve a zero-levy increase for six years,” Cunningham said. “We review our spending as we go through the rest of the year, so we will not need an increase in the city’s portion of the levy.”

When the city approved its record $292 million budget in May against projected revenue of $262.9 million — $29.3 million of cash reserves was budgeted to fill the gap — it anticipated a levy of just under $37.3 million. It is approximately 14,2% of total revenue.

With the average value of a three-bedroom home in Waukegan pegged at approximately $240,000, Finance Director Juan Garcia said before the meeting, taxes on a home of that value are around $4,469 annually.

Ald. Lynn Florian, 8th Ward, said while the city’s portion of real estate taxes will remain unchanged for next year, an individual tax bill may well increase because of other governmental entities that receive property tax dollars.

“Your tax bill may look different next year than it does this year,” Florian said. “That’s because you have taxes by the Park District, the school district, the county. I can go on and on. You have to look line by line when you get your tax bill to see where the amount changed.”

Though Waukegan Community Unit School District 60 also held property taxes flat for the past five years, in October it boosted its real estate tax levy by 4.99%. A majority of Board of Education members felt it was needed to assure the quality of the children’s education.

Cunningham said, depending on which part of the city taxpayers dwell, they could be paying real estate taxes to school districts other than District 60. Parts of Warren and Libertyville townships are within Waukegan’s city limits.

“A lot of times, the city of Waukegan has gotten blamed for every tax increase that you see on your bill,” Cunningham said. “Sometimes it’s unfair. It’s difficult to explain unless you see it.”

Remaining hopeful that the city can continue to keep the tax levy level, the mayor said there are some large expenses on the horizon, and some potential liabilities as well. It is the goal as the city enters the second half of its fiscal year ending April 30.

“We are looking at building a new police station and a new fire station,” Cunningham said. “We have two wrongful convictions that we’re going to have to settle. All of this will play a role in our future obligations.”

Expenses paid with property tax revenue have a specific purpose, according to a memo prepared by Don Schultz, the city’s retired interim finance director. Of the money, approximately $4.87 million funds the Waukegan Public Library, and $6.75 million is for garbage collection.

Approximately $22.5 million goes toward police, fire and Illinois Municipal Retirement Fund pensions, with most of the rest paying interest and principal on outstanding bonds.

https://www.chicagotribune.com/2025/11/18/waukegan-council-tax-rate/