UPDATE: Elgin residents face a significant financial burden as the Elgin City Council just approved a 13.2% increase in property taxes for the upcoming 2026 budget. This marks the first tax hike in over a decade, and homeowners are bracing for higher rates on water, sewer, and garbage services.
Under the new budget, the city will collect an additional $4.2 million from taxpayers, escalating the city’s portion of the tax bill for a home valued at $300,000 by $180.83 annually, or approximately $15.07 monthly. For properties assessed at $400,000, the increase will be around $246.35. The budget, totaling $407.6 million, is set to address rising costs in public safety pensions and infrastructure projects.
City Manager Rick Kozal cited “inflationary pressures” as a driving factor for the decision during the council’s review meetings. Increased retirements among police officers have notably impacted pension obligations, necessitating this financial adjustment.
Residents will also see a 9% increase in water rates and a 4% hike in sewer rates as part of ongoing efforts to fund necessary improvements. Garbage fees will rise from $24.95 to $25.95, with excess garbage stickers increasing from $4 to $4.16.
Long-time resident David Teas expressed concern at a recent council meeting, highlighting the cumulative effect of rising taxes from various local entities. “Every year we are getting hit by taxes. It’s starting to hurt us,” he stated, underscoring the struggles faced by seniors and families in the community.
The council also considered alternative revenue sources, such as sales and gas taxes, but ultimately concluded that these would negatively impact Elgin’s economy, as residents could easily shop in neighboring areas.
The budget approval took place on December 17, 2025, with a narrow vote of 8-1. Councilwoman Diana Alfaro voted against the property tax increase, emphasizing her commitment to transparency with the community.
Residents can view the full budget details on the city’s official website, elginil.gov. As Elgin grapples with these financial changes, the community is urged to stay informed and prepared for the implications of this tax hike.
The urgency of these developments highlights the immediate impact on Elgin residents, making it vital for community members to engage in discussions about their local government’s financial strategies moving forward.
