Politics
Illinois Property Tax Assessment Reform Bill and Old Town Chi Homeowner Costs
Old Town Chi residents will see revised property tax calculations applied to homes in the 60614 zip code beginning with 2027 bills under the new state assessment rules.
How we reported this
The Illinois General Assembly passed the Property Tax Assessment Reform Bill on July 2, directing county assessors to update valuation methods for single-family homes and small multifamily buildings across Chicago. The change applies to properties in Old Town Chi and will alter the taxable value used for annual bills sent by Cook County.
State lawmakers advanced the measure amid updated 2025 property value data from the Cook County Assessor’s office, which showed sharp increases in assessed values for central Chicago neighborhoods since 2023. The legislation requires assessors to incorporate recent sales data more frequently and adjust the multiplier applied to older housing stock common along Wells Street and North Avenue.
Changes to Resident Tax Bills
Old Town Chi homeowners with properties built before 1970 will receive new assessment notices by December 2026. For example, a three-flat on Sedgwick Street currently valued at the median for the block could see its equalized assessed value recalculated, shifting the portion of the bill that funds Chicago Public Schools and local libraries. Renters in buildings with fewer than six units may face pass-through adjustments if landlords recalculate lease terms after the new valuations arrive.
The bill references the 2026 state budget allocation of $850 million for local government reimbursements tied to assessment changes. Cook County records show roughly 380,000 residential parcels in Chicago subject to the updated formula, including the 4,200 parcels located in Old Town and adjacent blocks.
Next Steps for Implementation
County assessors must publish preliminary assessment rolls by October 2026, giving Old Town Chi property owners a 45-day window to file appeals through the Cook County Board of Review. The Illinois Department of Revenue will issue guidance on the new multiplier calculation by September 1, after which the city’s Department of Finance will adjust its tax collection schedule for the following year.
Local advocates note that residents should review their current tax statements against the new assessment criteria once notices are mailed. The legislation states that appeals must be based solely on factual sales comparisons within a half-mile radius, limiting the types of evidence accepted by the review board.