Go To Search
GovernmentDepartmentsResidentsDoing BusinessServicesHow Do I?
Click to Home
Property Tax Extension Limitation Law (PTELL)
What is the PTELL?
Taken directly from the Illinois Department of Revenue:
"The Property Tax Extension Limitation Law (PTELL) is designed to limit increases in property tax extensions (total taxes billed) for non-home rule taxing districts.

Although the law is commonly referred to as “tax caps,” use of this phrase can be misleading. The PTELL does not “cap” either individual property tax bills or individual property assessments. Instead, the PTELL allows a taxing district to receive a limited inflationary increase in tax extensions on existing property, plus an additional amount for new construction, and voter-approved rate increases.

The limitation slows the growth of property tax revenues to taxing districts when property values and assessments are increasing faster than the rate of inflation. As a whole, property owners have some protection from tax bills that increase only because the market value of their property is rising rapidly.

Payments for bonds issued without voter approval are subject to strict limitations.

If a taxing district determines that it needs more money than is allowed under the PTELL, it can ask the voters to approve an increase."

How Does This Affect Elburn?
The Village of Elburn is one of the communities in northeastern Illinois affected by the Property Tax Extension Limitation Law (PTELL). Elburn's tax extension (total property tax dollars we receive) is limited to 5%, plus the addition of new property.

Equalized Assessed Valuation
Over the last five years, Elburn's average Equalized Assessed Valuation (EAV, or 1/3 value of all property in town) has grown by an average of 15.84% each year.

Property Tax Extension
Over the last five years, Elburn's property tax extension has grown an average of 7.62% per year. Since Elburn's tax extension is limited, yet the value of property raises signifantly each year, the rate of growth outpaces the town's ability to capture the additional revenue. In our case, the value of property goes up significantly (mostly due to newer higher-priced homes), but because of all the new growth, each homeowner's share actually goes down.
Year Rate
2001 0.6379
2002 0.6179
2003 0.5451
2004 0.5020
2005 0.4707
2006 0.4444

If Elburn's Tax Rate Keeps Going Down, Why Are My Property Taxes Higher?
There are a few reasons why your property tax bill could be higher. The two biggest reasons are that the voters approved a referendum to increase property taxes for one of your other taxing districts or your property was reassessed for a higher value.

Additional Information
In recent years, voters have approved School District, Forest Preserve and Campton Township Open Space referendums. In Kane County, you can check each line item to compare the previous year's tax rate to the current year's tax rate to see what taxing district changed. If your property has been reassessed, that information is also on your tax bill.