>>> LOW PROPERTY TAX COLLECTION RATES IN THE SOUTH SUBURBS ARE HAVING DEVASTATING EFFECT ON SERVICES OFFERED TO COMMUNITIES.

NEW RESEARCH FROM THE COOK COUNTY TREASURER'S OFFICE SHOWS TAX COLLECTION RATES AS LOW AS 29%.

IN ROBIN, THE RATE JUMPS TO 49% .

HARVEY AND PHOENIX, EACH AROUND 52% TAX COLLECTION RATE.

THIS ALL COMPARES TO THE COUNTY OVERALL OF 96% THE TREASURER'S OFFICE SAYS, THAT HIGH OVERALL NUMBER MATCHES BLACK AND LOWER INCOME COMMUNITIES STRUGGLING TO COLLECT TAXES.

JOINING US TO TALK ABOUT THIS IS THE DIRECTOR OF RESEARCH FOR THE COOK COUNTY TREASURER'S OFFICE AND CHRISTOPHER CLARK, THE MAYOR OF HARVEY LOCATED IN THE SOUTH SUBURBS OF CHICAGO.

GENTLEMEN, THANK YOU BOTH FOR COMING TO JOIN US TONIGHT.

MAYOR CLARK, START WITH YOU, 52% TAX COLLECTION RATE MEANS YOU ARE MISSING OUT ON $27 MILLION IN PROPERTY TAXES THAT AREN'T BEING COLLECTED.

WHAT IS THE IMPACT ON YOUR COMMUNITY OF NOT HAVING THAT REVENUE ?

I THINK YOUR INTRO WAS PERFECT , IT IS DEVASTATING.

WE HAVE DIFFICULTY PROVIDING THE BASIC SERVICES FOR PEOPLE WHO DESERVE IT IN OUR CITY.

I'M TALKING ABOUT POLICE AND FIRE PROTECTION, STREETS, CURBS, SIDEWALKS.

THE NORMAL MAINTENANCE PROBABLY EVERY DAY PEOPLE WOULD THINK SUPPOSED TO HAPPEN WITH THE CITY, WE ALWAYS HAVE DIFFICULTY TRYING TO COME UP WITH THE FUNDS TO BE ABLE TO DO SO.

IN ADDITION TO THAT, ALSO ATTRACTING TALENT TO BE ABLE TO DO SOME OF THE THINGS WE NEED TO DO IN OUR CITY TO PROVIDE BETTER QUALITY OF LIFE TO OUR RESIDENTS.

THE IMPACT IS NOT JUST DEVASTATING, IT IS BEYOND DEVASTATING.

>> WAS A SENSE OF WHY THE TAXES ARE NOT BEING COLLECTED, PAID.

>> WE HAD BIT OF AN EXODUS FROM THE CITY OVER THE PAST 30 YEARS.

BECAUSE OF THAT, I BELIEVE PEOPLE WALKED AWAY FROM THE HOMES.

SOME OF THEM ARE DUE TO HOUSING CRISIS, PROPERTY TAX CRISIS .

LEADING TO THE TAX RATE BEING AS HIGH AS IT WAS IN HARVEY FOR QUITE SOME TIME.

I THINK HARVEY IS THIRD IN THE HIGHEST TAX RATE.

AT ONE TIME , WE HELD THAT SPOTTED NUMBER ONE.

IT MAKES PEOPLE WALK AWAY FROM THEIR PROPERTIES BECAUSE THEY CAN NO LONGER AFFORD THEM.

AS A RESULT, WE HAVE SEEN ESPECIALLY WHEN IT COMES TO THE RESIDENTS, THESE DESERVING PEOPLE WHO HAVE WORKED FOR THEIR HOMES TRY TO SUPPORT THEIR FAMILIES FOR YEARS, LOSE THEIR HOMES AND TRY TO FIND SOMEWHERE ELSE TO GO.

THAT IS NOT IN MY OPINION, THE AMERICAN DREAM.

>> YOUR PART OF THE RESEARCH TEAM THAT DID THE ANALYSIS.

GIVE US A BROADER SENSE OF IMPACT.

>> YEAH, NOT JUST HARVEY OF COURSE.

YOU MENTIONED THE FOUR SUBURBS AT 52% OR BELOW.

NUMBER OTHERS , YOU TAKE THE TOP LOWEST COLLECTION RATES THROUGHOUT THE COUNTY, 13, 14 OF THEM IN THE SOUTH SUBURBS.

IT IS AN AREA DEVASTATED.

A LOT OF IT DUE TO THE HIGH LEVEL OF VACANCY IN THAT AREA.

FOR EXAMPLE, IN HARVEY , THE VACANCY IS ABOUT 17% PROPERTIES NOT BEING USED ON THE COLLECTION RATES ON THE IS 27%.

THAT IS DRAGGING IT DOWN.

THE OTHER THING WE CAN'T KNOW FROM THE STUDY UNLESS WE VISIT IT EVERY HOUR, HOW MANY PEOPLE HAVE ABANDONED HOMES THERE , DESTINED TO BE VACANT AT SOME POINT.

>> YOUR RESEARCH TOUCHES ON SOMETHING THE MAYOR REFERENCED, THE TAX LEVIES THEMSELVES.

HARVEY HAVING THE THIRD-HIGHEST, GIVE US A SENSE OF HOW MUNICIPALITIES HAVE TRIED TO USE WHAT THEY CAN TAX TO MAKE UP FOR WHAT THEY'RE NOT GETTING.

>> THERE'S IMPETUS IF THEY DO NOT COLLECT EVERYTHING THAT THEY CAN TO TRY TO INCREASE THE LEVIES SO THEY CAN CAPTURE A LITTLE BIT MORE.

WE CREATE THIS SORT OF VICIOUS CYCLE, ONCE THE RATES INCREASE, LESS PEOPLE ARE ABLE TO PAY.

TAX RATES IN THE SOUTH SUBURBS ARE SOME OF THE VERY HIGHEST IN THE NATION.

YOU COULD END UP PAYING BASICALLY IN TAXES IN 12 TO 15 YEARS, WHAT PRINCIPLE COST OF YOUR HOME WAS IN THE FIRST PLACE.

30 YEAR LIFE OF THE MORTGAGE, PAY FOR THAT HOUSE THREE TO SIX MONTHS.

I CAN BEAR WITNESS TO THAT.

>> RESIDENTS OF THE CITY.

DEFINITELY FOR SURE, THE VALUE OF MY HOME BASED ON WHAT I PAID IN TAXES LESS THAN 10 YEARS I COULD'VE PAID FOR THE HOME ITSELF WHERE IT EXCEEDED THE PRINCIPAL.

I'M NOT THE ONLY ONE.

WE ARE DEALING WITH THIS PARTICULAR ISSUE.

MY THING IS WE HAVE TO FIND A BETTER WAY TO DEAL WITH TAX COLLECTION.

I'M APPRECIATIVE THIS OFFICE HAS COME UP WITH THIS REPORT TO BRING IT TO LIGHT.

YOU LOOK AT 96% , YOU SAVE YOURSELF EVERYTHING GOOD AND IT IS NOT, ESPECIALLY BLACK AND BROWN COMMUNITIES.

>> MAYOR, WHAT RECOURSE DO YOU HAVE?

>> IT'S LIKE WE DON'T HAVE A LOT OF RECOURSE BECAUSE THE CITIES AREN'T REALLY PART OF THE TAX COLLECTION PROCESS THAT IS THE COOK COUNTY THING.

ONE OF THE THINGS I WOULD LIKE TO SEE HAPPEN IS A WAY FOR THE MUNICIPALITY TO BE MORE ACTIVE AND HAVE MORE AUTHORITY AS FAR AS COLLECTION IS CONCERNED.

THE CITY OF HARVEY , WE HAVE TRIED TO, THE CITY ITSELF, HAS TRIED TO MAINTAIN ITS LEVY AS FLAT AS WE POSSIBLY COULD.

WE ALSO HAVE OTHER TAXING BODIES PART OF THE OVERALL TAX IN THE COUNTY THAT CONTINUE TO RAISE THEIR TAXES WHILE WE CONTINUE TO TRY TO HOLD ON.

SO MANY DIFFERENT WAYS TO APPROACH IT PROBABLY BEYOND WHAT WE HAVE TO DISCUSS AND I'M HOPEFUL ALL OF THE PARTIES WILL COME TOGETHER SO WE CAN FIGURE THIS OUT.

>> HOW WE TALKED ABOUT A FEW THINGS, WHAT ARE SOME OF THE CAUSES?

>> ONE OF THEM IS THE INEQUITIES THAT ARE INHERENT IN PRIMARILY FUNDING A SCHOOL SYSTEM THROUGH THE PROPERTY TAX.

COMMUNITIES WITH LESS WEALTH WILL NOT BE ABLE TO COLLECT AS MUCH.

DECREASED THOSE RATES TO TRY TO GET TO A PLACE THEY CAN AFFORD IT.

I THINK MORE PROGRESSIVELY FUNDING EDUCATION IN THE STATE OF ILLINOIS WOULD GO A HUGE WAY.

THE OTHER THING IS FINDING BETTER WAYS TO TAKE THESE PROPERTIES THAT ARE DETERIORATING AND MISUSED AND PUT THEM BACK TO PRODUCTIVE USE.

WE DID A STUDY LAST YEAR ON THE LAST DITCH EFFORT TO PLACE THESE HOMES, TRY TO DEVELOP IN-HOUSE, A NEW SYSTEM MUCH MORE EFFICIENT SO THE PROPERTIES DID NOT GET TO THIS POINT OR PERHAPS NOBODY WANTS THEM ANYMORE.

>> MAYOR, YOU SAID YOU DON'T HAVE A LOT OF RECOURSE.

WHO DOES, WHAT WOULD YOU LIKE TO SEE THE COUNTY OR STATE DO?

I WOULD LIKE TO SEE THEM PASS SOME TYPE OF EDUCATION .

FOR INSTANCE, MUNICIPALITIES THAT HAVE COLLECTION RATE AS LOW AS WE DO.

AFFORD US A LITTLE MORE AUTHORITY HOW WE TRY TO GO BACK ASCERTAIN THOSE PROPERTIES AND PUTTING THE AMOUNT TAX ROLLS IT CAN TAKE UP TO 2 1/2 TO 3 YEARS BEFORE THE CITY ACQUIRES A PROPERTY.

AT THAT POINT IN TIME, THE TRUTH SCAVENGERS THAT GUTTED THE HOME AND MOVED, THEY HAVE TORN UP THE HOME.

THE WEATHER DILAPIDATED THE HOME, IT MAKES THE VALUE NOT AT ALL.

INVESTORS OR SINGLE-FAMILY DON'T WANT THE PROPERTY BECAUSE IT IS NOT WORTH IT.

WE NEED TO