Blue Island approves interfund borrowing after Cook County delays property tax bills

The Blue Island City Council voted Tuesday to authorize interfund borrowing to cover short‑term cash‑flow needs after Cook County delayed issuing property tax bills, a delay that has affected municipalities across the area.

Lauren, representing Hesperia's office, told the council that Cook County had not provided an estimate for when the second installment of property taxes would be distributed and that many municipalities are using short‑term borrowing or interfund transfers to bridge the gap.

"We would be moving them as soon as this is approved," Lauren said when asked how quickly the transfers would be executed. The council discussed whether a repayment date should be included in the ordinance; council members and staff agreed to target repayment by Dec. 31 and noted the enabling statute includes timing provisions.

Council members said the funds were needed soon to meet municipal obligations that normally would be covered by property tax receipts. One alderman asked whether the mechanism is legal; the city attorney and staff responded that local governments commonly use interfund borrowing and that the ordinance is written pursuant to the applicable state statute, though the meeting did not identify the statute by section.

After discussion, the council approved the ordinance in a roll call vote recorded as seven ayes: Alderman McGee, Alderman Carr, Alderman Rolle, Alderman Johnson, Alderman Montoya, Alderman Rutenberg and Alderman Farewell.

Why it matters: Property tax delays at the county level can significantly disrupt municipal cash flow. Interfund borrowing is a short‑term tool municipalities use to avoid the costs of external borrowing or to maintain operations until tax receipts arrive.

Ending: Council members said staff would proceed with the transfers as soon as the ordinance was effective and that the council would review repayment and usage in upcoming meetings.