Evanston Weighs 8.9% Property Tax Levy Hike
City council hears public input on a proposed fiscal 2027 budget that includes an 8.9% property tax levy increase.
Updated on Nov. 3, 2026 in Utilities
Live Poll
Do you support the city's proposed 8.9% property tax increase in Evanston?
Evanston City Council held a special public hearing Monday evening on a proposed Fiscal Year 2027 budget that includes an 8.9% property tax levy increase. The hearing was required under Illinois' Truth in Taxation law because the proposed annual tax increase exceeds 5%.
Why it matters
The proposal leaves a $6.1 million operating gap that will be covered from city reserves, and residents and councilmembers have criticized the levy increase. The budget also includes a 25% increase in water rates, affecting household costs for Evanston residents.
The proposed budget carries an 8.9% property tax levy increase, well above the 5% threshold that required Monday's public hearing under Illinois law. It also includes a 25% water rate increase and leaves a $6.1 million operating gap, with the city's chief financial officer stating the budget has not changed since public input began.
The players
Evanston City Council
The Evanston City Council is the elected legislative body of the city of Evanston, Illinois, responsible for adopting its annual budget and tax levy.
Hitesh Desai
Hitesh Desai is the chief financial officer of the city of Evanston, who addressed the status of the proposed budget during the hearing.
The details
Residents and councilmembers voiced criticism of the proposed tax levy increases during the special meeting. The city's chief financial officer, Hitesh Desai, said nothing in the budget has changed since input collection began, and the city may consider a referendum to adjust the proposed Real Estate Transfer Tax.
Timeline
Monday: Special City Council meeting and public hearing on the proposed tax levy increase
Market Landscape
Illinois' Truth in Taxation law requires a public hearing whenever a proposed annual property tax increase exceeds 5%, and Evanston's 8.9% proposal triggered that requirement. The hearing places Evanston's budget within a state framework that forces municipalities to justify levy increases above that threshold in open session.
Evanston homeowners and water customers would see higher property tax and water bills if the proposed 8.9% levy and 25% water rate increases are adopted. The city's use of reserves to close the $6.1 million gap determines how much of the increase falls directly on households.
The takeaway
Residents who want to influence the final budget can weigh in before adoption, since the proposed Real Estate Transfer Tax referendum remains under consideration. Tracking the council's final vote will show how the water rate and levy decisions shake out for household bills.
Further reading
For more on how water and utility rates are set locally, see Utilities coverage on Evanston's proposed budget.
Source note: This article includes information reported by The Daily Northwestern.
Live Poll
Do you support the city's proposed 8.9% property tax increase in Evanston?
