Mayor Emanuel Proposes Utility Tax to Fix Pension | NBC Chicago
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Mayor Emanuel Proposes Utility Tax to Fix Pension

By the end of the four-year phase, the average homeowner would pay an additional $226 per year

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    Chicago Mayor Rahm Emanuel, right, speaks about the future of the Obama Presidential Center during a news conference as Marty Nesbitt, center, Chair of the Obama Foundation listens August 3, 2016 in Chicago, Illinois. President Barack Obama's Presidential Center will be built in Jackson Park on Chicago's south side and designed by Architects Tod Williams and Billie Tsien. (Photo by Joshua Lott/Getty Images)

    A new proposal from Mayor Rahm Emanuel could mean another heavy burden on Chicago homeowners. 

    In a speech to investors Wednesday, Emanuel suggested applying a tax on the city water and sewer bills under a plan that would increase the utilities by close to 30 percent over the course of four years. 

    Under the proposal, the average homeowner’s water and sewer bill would increase by more than $50 next year, or around $9 on the bills sent out every two months, according to the Chicago Tribune

    By the end of the four-year phase, the average homeowner would pay an additional $226 per year, the Tribune reports, or close to $38 on each bill.

    Emanuel believes the new tax will help stabilize the city’s pension fund. With the new revenue source, the city could raise close to $239 million a year to help reduce the multi-billion dollar municipal workers fund that the city of Chicago owes.

    The mayor says he will seek a City Council vote on the water and sewer tax in September.

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