River Bluff advisory referendum passed, but these leaders say a tax increase is not needed

ROCKFORD — Less than two months after voters gave the go-ahead to raise taxes to better fund the county-owned River Bluff nursing home, three county board leaders are saying they shouldn't do it.

Winnebago County Board Republicans Burt Gerl, Keith McDonald and Steve Schultz issued a news release Thursday urging their fellow board members to go against June's advisory referendum and keep the nursing home's portion of the county's tax levy flat for one year.

"The only additional property tax Winnebago County should collect at this time should be limited to the taxes on new developments which have been completed in the past year," the release states.

The reason for their position — which goes against the 62% of voters who cast ballots in favor of the increase — is that the county's sales tax revenue came in higher than expected this year, making the proposed tax increase to raise $2.2 million for the nursing home unnecessary.

Not all county board members agree with Gerl, McDonald and Schultz.

More:Take a moment to learn history of River Bluff Nursing Home before you cast your ballot

"I'm very, very disappointed in these three gentlemen," said Board Member Angie Goral, D-13. "I really am. They're going against the will of the people."

Goral criticized the county for going three decades without raising the levy for the home and for failing to take into account River Bluff's rising costs of doing business.

Now that the board has the public's support to raise the levy, she said she questions why her fellow board members would be against it.

The news release from Gerl, McDonald and Schultz states the county's sales tax revenue "is much higher" than projected, but it does not say by how much or why the estimate was so low.

"Considering the historic level of inflation, we are currently experiencing, we believe that it would be in the best interest of Winnebago County taxpayers to place a one-year freeze on the River Bluff tax increase," the release states. "The funds needed to stabilize River Bluff can be taken from the additional sales taxes which were collected."

Gerl, McDonald and Schultz acknowledge in their release that the county is in need of funding for roads, infrastructure and criminal justice reform, but the board members say high property taxes also are a problem.

"Even though Winnebago County has many needs, we must consider the current economic climate and the impact it is having on the people of Winnebago County," the release states. "We call on our fellow board members, and all the elected officials in County government, to support our proposal for a one-year freeze on the levy increase for River Bluff."

The advisory referendum asked voters to chime in on whether the county should increase the part of the levy that goes toward the nursing home by .05%. The increase would cost the owner of a $150,000 home $25 more each year on their tax bill and generate $2.2 million a year for the home.

At an Operations Committee meeting earlier this year, board members learned that the nursing home had been operating with $2.5 million deficit for the past three years, forcing the county dip into general funds and host fee funds to pay the nursing home's bills.

They also learned that the county hadn't raised the tax levy assigned to the nursing home for 33 years.

Supporters of the referendum encouraged voters to support the referendum so the county could fund and protect the public nursing home as a vital resource for low-income patients and residents in need.

Goral said she expects River Bluff be on the county's next Operations Committee agenda.

Chris Green: 815-987-1241; cgreen@rrstar.com; @chrisfgreen

This article originally appeared on Rockford Register Star: Should taxes go up for Rockford nursing home? These leaders say no