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HomeMy WebLinkAbout8.1 2nd reading and approval of AN ORDINANCE TO ABATE A PART OF THE TAXES LEVIED FOR CORPORATE AND MUNICIPAL PURPOSES OF THE VILLAGE OF MOUNT PROSPECT, ILLINOIS FOR THE FISCAL YEAR BEGINNING JANUARY 1, 2022 AND ENDING DECEMBER 31, 2022Mr�GauC �'d'+rt;�iect Item Cover Page Subject 2nd reading and approval of AN ORDINANCE TO ABATE A PART OF THE TAXES LEVIED FOR CORPORATE AND MUNICIPAL PURPOSES OF THE VILLAGE OF •UNT PROSPECT,, ILLINOISFOR THE FISCAL YEAR BEGINNING JANUARY1 AND ENDINGDECEMBER 31,, 2022 Meeting November 1, 2022 - REGULAR MEETING OF THE MOUNT PROSPECT VILLAGE BOARD - Fiscal Impact Dollar Amount Budget Source Category OLD BUSINESS Type Ordinance Information The proposed ordinance is a part of the annual budget process. Every year, the Village abates part of the debt service property tax levy. The Village has several General Obligation Bonds issued in the past, and Cook County will levy debt service property tax levy unless the Village abates part of the bond levies. There are certain debt service payments which the Village pays from the alternative revenue sources, and this eliminates the need to levy property taxes for such bond principal and interest amounts. For the assessment year 2022 (payable in 2023), the Village will be abating following bonds. 1 2% Principal Payment Interest Total Due Abatement Net Levy Loss Net Levy Payment and Costs 1 Series 2013- Already Refunded 605,000 318,656 923,656 923,656 - - with 2022A Series 2014 1,265,000 37,950 1,302,950 - 1,302,950 26,059 1,329,009 Series 515,000 265,800 780,800 780,800 15,616 796,416 2016 Series 2017 170,000 147,569 317,569 317,569 - - - (TIF) Series 2017 175,000 138,131 313,131 313,131 - - - (WTR) Series 2018a 225,000 254,119 479,119 479,119 - - - (TIF) Series 2018a 160,000 160,500 320,500 320,500 - - - (WTR) Series 2018b - 1,444,250 1,444,250 1,444,250 - - - (New) Series 2018b - 124,500 124,500 - 124,500 2,490 126,990 (Refi) Series 2019a 290,000 312,550 602,550 602,550 - - - (WTR) Series 20196 210,000 265,350 475,350 475,350 - - - (TIF) Series 2022 215,000 316,550 531,550 531,550 - - - (Water) Series 2022A 650,000 230,440 880,440 880,440 - - - (Refi) Total Village of 4,480,000 4,016,365 8,496,365 6,288,115 2,208,250 44,165 2,252,415 Mount Prospect As mentioned above, the Village has total debt service payments due in the amount of $8,496,365. Of this amount, $6,288,115 will be abated. The abatement ordinance will result in a net debt service levy of $2,252,414 (including 2.0% for loss and costs). The series 2013 bonds are refunded with new series 2022A bonds 2 in 2022. However, the call date for the series 2013 bonds is December 1, 2022, hence they are included in the above calculation. The abated bonds are paid using various revenue sources including, home -rule sales tax, water/sewer charges, and TIF revenues. The Finance Commission also discussed the property tax levy abatements as presented at its regularly scheduled meeting October 27, 2022. After a discussion, the Finance Commission unanimously recommended the debt service levy abatements as presented by staff. The first reading of this Ordinance occurred on October 18, 2022 (Village Board Meeting Video) and now it is presented for the second reading and final approval. Alternatives 1. Village Board approval the attached ordinance abating portions of the 2022 Property Tax Debt Service Levy. 2. Action at the discretion of the Village Board. Staff Recommendation Village Board approval the attached ordinance abating portions of the 2022 Property Tax Debt Service Levy. ATTACHMENTS: General Village Levy Abatement Ordinance - Nov 1 2022.pdf 3 ORDINANCE NO. AN ORDINANCE TO ABATE A PART OF THE TAXES LEVIED FOR CORPORATE AND MUNICIPAL PURPOSES OF THE VILLAGE OF MOUNT PROSPECT, ILLINOIS FOR THE FISCAL YEAR BEGINNING JANUARY 1, 2022 AND ENDING DECEMBER 31, 2022 PASSED AND APPROVED BY THE PRESIDENT AND BOARD OF TRUSTEES the day of 12022 Published in pamphlet form by authority of the corporate authorities of the Village of Mount Prospect, Illinois, the day of , 2022. 4 ORDINANCE NO. AN ORDINANCE TO ABATE A PART OF THE TAXES LEVIED FOR CORPORATE AND MUNICIPAL PURPOSES OF THE VILLAGE OF MOUNT PROSPECT, ILLINOIS FOR THE FISCAL YEAR BEGINNING JANUARY 1, 2022 AND ENDING DECEMBER 31, 2022 BE IT ORDAINED BY THE PRESIDENT AND BOARD OF TRUSTEES OF THE VILLAGE OF MOUNT PROSPECT, COOK COUNTY, ILLINOIS: Section 1: The President and Board of Trustees of the Village of Mount Prospect find as follows: A. That pursuant to Village Ordinance No. 6090 adopted August 20, 2013 authorizing the issuance of general obligation bonds series 2013 for financing the construction of various flood control projects throughout the village there was levied for the year 2022 the sum of $923,656.00 for bond principal and interest payments. B. That pursuant to Village Ordinance No. 6347 adopted November 7, 2017 authorizing the issuance of general obligation bonds series 2017 for financing the costs of certain water and sewer capital projects in the Village, there was levied for the year 2022 the sum of $313,131.26 for bond interest payments. C. That pursuant to Village Ordinance No. 6347 adopted November 7, 2017 authorizing the issuance of general obligation series 2017 bonds for financing the costs of certain capital projects in the Village (TIF), there was levied for the year 2022 the sum of $317,568.76 for bond principal and interest payments. D. That pursuant to Village Ordinance No. 6385 adopted April 17, 2018 authorizing the issuance of general obligation bonds series 2018A for financing the costs of certain water and sewer capital projects in the Village, there was levied for the year 2022 the sum of $320,500.00 for bond interest payments. E. That pursuant to Village Ordinance No. 6385 adopted April 17, 2018 authorizing the issuance of general obligation bonds series 2018A for financing the costs of certain capital projects in the Village (TIF), there was levied for the year 2022 the sum of $479,119.00 for bond principal and interest payments. F. That pursuant to Village Ordinance No. 6403 adopted September 4, 2018 authorizing the issuance of general obligation bonds series 2018B for financing the construction of Police and Fire HQ projects and refunding of certain bonds of the village there was levied for the year 2022 the sum of $1,568,750.00 for bond interest payments. 5 G. That pursuant to Village Ordinance No. 6449 adopted April 16, 2019 authorizing the issuance of general obligation bonds series 2019A for financing the costs of certain water and sewer capital projects in the Village, there was levied for the year 2022 the sum of $602,550.00 for bond principal and interest payments. H. That pursuant to Village Ordinance No. 6483 adopted October 15, 2019 authorizing the issuance of general obligation bonds series 2019B for financing the construction of various capital projects with the TIF District of Prospect and Main of the Village of Mount Prospect, there was levied for the year 2022 the sum of $475,350.00 for bond principal and interest payments. I. That pursuant to Village Ordinance No. 6594 adopted December 7, 2021 authorizing the issuance of general obligation bonds series 2022 for financing the construction of various water and sewer projects throughout the village there was levied for the year 2021 the sum of $531,550 for bond principal and interest payments. J. That pursuant to Village Ordinance No. 6622 adopted April 5, 2022 authorizing the issuance of general obligation bonds series 2022A for refunding Series 2013 G.O. Bond of the Village of Mount Prospect, levied for the year 2022 the sum of $880,440 for bond principal and interest payments. Section 2: It is hereby declared by the President and Board of Trustees of the Village of Mount Prospect that the amount of $923,656 levied for G.O. Bond series 2013 interest and principal payments for the purpose of funding the construction of various flood control projects throughout the village pursuant to Ordinance No. 6090 be and the same is hereby abated in the amount of $923,656 being the entire amount levied for such bond interest payment purposes for the fiscal year commencing January 1, 2022 and ending December 31, 2022. Section 3: It is hereby declared by the President and Board of Trustees of the Village of Mount Prospect that the amount of $313,131.26 levied for G.O. Bond series 2017 interest and principal payments for the purpose of funding water and sewer construction projects throughout the village pursuant to Ordinance No. 6347 be and the same is hereby abated in the amount of $313,131.26 being the entire amount levied for such bond interest payment purposes for the fiscal year commencing January 1, 2022 and ending December 31, 2022. Section 4: It is hereby declared by the President and Board of Trustees of the Village of Mount Prospect that the amount of $317,568.76 levied for G.O. Bond series 2017 principal and interest payments for the purpose of funding construction projects throughout the village (TIF) pursuant to Ordinance No. 6347 be and the same is hereby abated in the amount of $315,568.76 being the entire amount levied for such bond principal and interest payment purposes for the fiscal year commencing January 1, 2022 and ending December 31, 2022. Section 5: It is hereby declared by the President and Board of Trustees of the Village of Mount Prospect that the amount of $320,500.00 levied for G.O. Bond series 2018A interest and principal payments for the purpose of funding water and sewer construction projects throughout the village pursuant to Ordinance No. 6385 be and the same is hereby abated in the amount of $320,500.00 6 being the entire amount levied for such bond interest payment purposes for the fiscal year commencing January 1, 2022 and ending December 31, 2022. Section 6: It is hereby declared by the President and Board of Trustees of the Village of Mount Prospect that the amount of $479,119.00 levied for G.O. Bond series 2018A principal and interest payments for the purpose of funding construction projects throughout the village (TIF) pursuant to Ordinance No. 6385 be and the same is hereby abated in the amount of $479,119.00 being the entire amount levied for such bond principal and interest payment purposes for the fiscal year commencing January 1, 2022 and ending December 31, 2022. Section 7: It is hereby declared by the President and Board of Trustees of the Village of Mount Prospect that the amount of $1,568,750.00 levied for G.O. Bond series 2018 B interest payments for the purpose of funding construction projects throughout the village pursuant to Ordinance No. 6403 be and hereby partially abated in the amount of $1,444,250 levied for such bond interest payment purposes for the fiscal year commencing January 1, 2022 and ending December 31, 2022. Section 8: It is hereby declared by the President and Board of Trustees of the Village of Mount Prospect that the amount of $602,550.00 levied for G.O. Bond series 2019A principal and interest payments for the purpose of funding water and sewer construction projects throughout the village pursuant to Ordinance No. 6449 be and the same is hereby abated in the amount of $602,550 being the entire amount levied for such bond principal and interest payment purposes for the fiscal year commencing January 1, 2022 and ending December 31, 2022. Section 9: It is hereby declared by the President and Board of Trustees of the Village of Mount Prospect that the amount of $475,350 levied for G.O. Bond series 2019B principal and interest payment for the purpose of funding construction projects in the area of Prospect & Main TIF of the Village of Mount Prospect pursuant to Ordinance No. 6483 be and the same is hereby abated in the amount of $475,350 being the entire amount levied for such bond principal and interest payment purposes for the fiscal year commencing January 1, 2022 and ending December 31, 2022. Section 10: It is hereby declared by the President and Board of Trustees of the Village of Mount Prospect that the amount of $531,550.00 levied for G.O. Bond series 2022 interest and principal payments for the purpose of funding the construction of various water and sewer projects throughout the village pursuant to Ordinance No. 6594 be and the same is hereby abated in the amount of $531,550.00 being the entire amount levied for such bond interest payment purposes for the fiscal year commencing January 1, 2022 and ending December 31, 2022. Section 11: It is hereby declared by the President and Board of Trustees of the Village of Mount Prospect that the amount of $880,440 levied for G.O. Bond series 2022A interest and principal payments for the purpose of funding the construction of various water and sewer projects throughout the village pursuant to Ordinance No. 6622 be and the same is hereby abated in the amount of $880,440.00 being the entire amount levied for such bond interest payment purposes for the fiscal year commencing January 1, 2022 and ending December 31, 2022. Section 10: Village Ordinance Nos. 6090, 6347, 6385, 6403, 6449, 6483, 6594 and 6622 are hereby amended with respect to the tax abatements declared herein and set forth in Sections Two through Nine of this Ordinance. 7 Section 11: The Village Clerk of the Village of Mount Prospect is hereby authorized and directed to file a certified copy of this Ordinance with the County Clerk of Cook County, Illinois within the time specified by law. Section 12: This Ordinance shall be in full force and effect upon its passage, approval and publication in pamphlet form and filing as provided by law. AYES: NAYS: ABSENT: PASSED and APPROVED this day of November 2022. Paul Wm. Hoefert, Mayor ATTEST: Karen Agoranos, Village Clerk 0 Village of Mount Prospect Debt Service Levy Abatement Levy Year 2022 (Payable 2023) Village of Mount Prospect Series 2013 - Already Refunded with 2022A 605,000 318,656 923,656 923,656 Series 2014 1,265,000 37,950 1,302,950 - 1,302,950 26,059 1,329,009 Series 2016 515,000 265,800 780,800 - 780,800 15,616 796,416 Series 2017 (TIF) 170,000 147,569 317,569 317,569 - - - Series 2017 (WTR) 175,000 138,131 313,131 313,131 Series 2018a (TIF) 225,000 254,119 479,119 479,119 Series 2018a (WTR) 160,000 160,500 320,500 320,500 Series 2018b (new) - 1,444,250 1,444,250 1,444,250 - - Series 2018b (refi) - 124,500 124,500 - 124,500 2,490 126,990 Series 2019a (WTR) 290,000 312,550 602,550 602,550 - - Series 2019B (TIF) 210,000 265,350 475,350 475,350 Series 2022 (Water) 215,000 316,550 531,550 531,550 Series 2022A (Refi) 650,000 230,440 880,440 880,440 ���u�uuhi�Vu�um�uuu�u�u�uuuoi�d�d wIIIVUVuumuuulmuumtluuuluuu uuumuuumiuuuumuumuum uumw uuuuluum"' uuumuumuumwuuuuumuum uiumuuumuuuVuuuumuumuumuuul NMI= Total Debt Service Levy 8,496,365 Total Debt Service Levy Abated 6,288,115 Net Debt Service Levy 2,208,250 2% Loss & Costs 44,165 Net Levy 2,252,415 9