INDIANAPOLIS -- With little discussion Monday night, board members for IndyGo and Marion County libraries approved a controversial option that will likely bring in millions of tax dollars.

Both the bus service and libraries will file a shortfall appeal with the state Department of Local Government Finance.

If approved by DLGF and the City-County Council, it will raise property taxes for those not paying the maximum under the cap, bringing in $1.8 million for libraries and $1.5 million for IndyGo, 6News' Kara Kenney reported.

"Oh, it's critical to our budget. Compared with other cities, our local funding is woefully insufficient," said IndyGo CEO Michael Terry.

A unit of government can file for a shortfall appeal if the revenue it brings in is less than anticipated because of an incorrect assessed value.

This would be the case with appeals, or if the estimate provided by the county auditor was off, according to the DLGF.

Currently, 77 percent of homeowners in Marion County are currently below the cap, which is 1 percent of assessed value for homes.

Shortfall appeals are controversial, especially among City-County Council members who must approve them.

"If we're not prepared to stand up and say, 'Library branches need to remain open and buses lines need to remain in place,' we have to understand it's a question of priorities," said Democratic Councilor Brian Mahern, who supports IndyGo and the library's decision to file shortfall appeals.

Mahern said if the council does nothing, libraries will close, people will lose their jobs, routes will be cut and hours will be shaved even further.

At its board meeting Monday night, the library board approved a 25 percent to 30 percent cut in library hours.

"This is a situation where we have to choose between a minor increase and losing major services," said Jim Mulholland, chairman of the Sustainable Libraries Citizens Coalition.

But some said the idea is simply a thinly veiled tax hike.

"I think it's a management issue and an efficiency issue," said Republican Councilor Ginny Cain. "The library has made mistakes in the past impacting millions of dollars, and IndyGo has a far way to go in making a useful bus system for everyone. I think they're just going to have to tighten their belts like the rest of us."

Terry told 6News they're already managing spending well and are taking steps to reduce inefficiency, including cutting down on overtime.