* Cook Co. urged to boost sales tax

Stroger’s office would not say Monday whether he supports the increase, but at least one commissioner said he got a call from the president late last week asking him to support the proposal. Administration officials have been talking to commissioners in recent weeks about whether they could support some form of higher taxes to fill a 2008 budget deficit estimated by some officials to be as large as $400 million.

“The president supports ways to increase revenue wherever possible,” spokeswoman Ibis Antongiorgi said. “This would be a possible revenue source.”

The Stroger administration could not say how much revenue the increase would generate. At the current rate, the county sales tax brings in about $300 million a year. Critics said such a large increase in the rate would send shoppers outside Cook County and would particularly hurt businesses that sell big-ticket items such as cars and appliances.

* Phil Kadner: State’s Attorney says Cook Co. should issue tax bills now

Gov. Rod Blagojevich, who is in a bitter feud with Madigan, last week used his veto power to amend the House measure and expand and increase the tax breaks for homeowners. Houlihan appeared at a news conference to endorse the governor’s plan.

But the measure now must go back to the Legislature, where sources tell me Madigan plans to kill it.

In the meantime, school districts, library districts, fire districts, municipalities and the county itself are not receiving the property tax money they have anticipated in their budgets.

If the property tax bills are not mailed before Nov. 1, school districts will not have the money they need to make their bond payments, which are due Dec. 1. Property owners have 30 days to pay after receiving the bills.

“There is a panic setting in in a lot of school districts,” said Rob Grossi, Bloom Township’s school treasurer. “People have to start making plans on how they’re going to deal with this situation, and nobody’s sure what’s going to happen.”

Houlihan is hopeful that the governor and Madigan “can put their differences aside” and agree on at least a one-year tax cap expansion to resolve the current dilemma.

* Chicago Public Radio: Despite legal advice, Assessor insists on waiting