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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, 2023, AND ENDING DECEMBER 31, 2023.M+awn �'xytlts=e 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 MOUNT PROSPECT, ILLINOIS, FOR THE FISCAL YEAR BEGINNING JANUARY 1, 2023, AND ENDING DECEMBER 31, 2023. Meeting November 7, 2023 - REGULAR MEETING OF THE MOUNT PROSPECT VILLAGE BOARD Fiscal Impact (Y/N) 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 alternative revenue sources, and this eliminates the need to levy property taxes for such bond principal and interest amounts. For the assessment year 2023 (payable in 2024), the Village will be abating following debt service payments. 0� nd Issue, Debt 5evice Abateirrients, Levy 2Less and Anmount costs Net Levy Series 2,016 1,310,350 75,425 1,234,925 24,695 1,255,624 Series 2'817 (Tfl 325,765 325,765 - - - Series 2,017 (W'TR) 321,131 321,131 - - - Series 2'1818a (TIF) 492,859 492,859 - - - Serios 2'I018a (VtlTR) 327,500 327,,500 - - - Serios 2'1818b (now) 1,4 44,250 1,444,250 - - Serios 2'818b (refi( 894,„588 8947,:500 - - Serios 2'1819a PVR) 613,,050 18137,:0510 - - Serios 2'181 B (TIF) 488,„850 488,7,,8510 - - Serios 2822 (°aR) 5410,„81010 54.107,,81010 - - Serios 21022A (Flood( 882,„2410 882,,2410 - - - Total Debt Service 7,,642,3 09 60407,394 1,23 4,925 24F6991 102590,624 As mentioned above, the total debt service payments due during the fiscal year 2024 are $7,642,309. Of this amount, the Village will be abating $6,407,387 and levy only for one of the issued bonds in the amount of $1,234,925. Series 2017, 2018A, and 2019B are TIF bonds and will be paid with TIF increments from the Prospect & Main TIF District. Series 2017, Series 2018A, Series 2019A and Series 2022 are Water/Sewer Bonds and will be paid from the utility service charges. Series 2018B was issued in 2018 for the Police and Fire Headquarters as well as refunding 2009 Series Bonds. The Village is using the General Fund revenues to abate these bonds. The Video Gaming Taxes totaling $235,000 are also used to abate part of the 2018B and 2016 bonds. After all the abatements, series 2016 bonds will have a net levy of $1,234,925 and with 2% provision for loss and costs, the final levy amount would be $1,259,624. The Finance Commission met on October 26, 2023, and discussed the levy, amendments, and budget and recommended approving these items as presented. Budget and Levy Public Hearings are scheduled on November 7, 2023. The second reading and approval of the abatement ordinance will occur on November 7, 2023, after conclusion of public hearings. Discussion Alternatives 1. Approve an ordinance abating $6,407,384 in 2023 debt service levy payable in 2024. 2. Action at the discretion of the Village Board. Staff Recommendation Staff recommends the Village Board approve the ordinance abating $6,407,384 in 2023 debt service levy payable in 2024. Attachments 1. Village Levy Abatement Ordinance - Nov 7 2023 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, 2023 AND ENDING DECEMBER 31, 2023 PASSED AND APPROVED BY THE PRESIDENT AND BOARD OF TRUSTEES the day of , 2023 Published in pamphlet form by authority of the corporate authorities of the Village of Mount Prospect, Illinois, the day of , 2023. 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, 2023 AND ENDING DECEMBER 311) 2023 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. 6320 adopted May 2, 2017, authorizing the issuance of general obligation bonds series 2016 for refunding previously issued bonds in the Village, there was levied for the year 2023 the sum of $1,310,350.00 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 2023 the sum of $321,131.26 for bond principal and 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 2023 the sum of $325,768.76 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 2023 the sum of $327,500.00 for bond principal and 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 2023 the sum of $492,869.00 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 2023 the sum of $2,338,750 for bond principal and interest payments. 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 2023 the sum of $613,050 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 2023 the sum of $489,850.00 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 2023 the sum of $540,800 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 2023 the sum of $882,240 for bond principal and interest payments. Section 2: Section 11: It is hereby declared by the President and Board of Trustees of the Village of Mount Prospect that the amount of $1,310,350 levied for G.O. Bond series 2016A interest and principal payments for the purpose of refunding prior bonds throughout the village pursuant to Ordinance No. 6320 be and the same is hereby abated in the amount of $75,425 being the partial amount levied for such bond interest payment purposes for the fiscal year commencing January 1, 2023 and ending December 31, 2023. Section 3: It is hereby declared by the President and Board of Trustees of the Village of Mount Prospect that the amount of $321,131.26 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 $321,131.26 being the entire amount levied for such bond interest payment purposes for the fiscal year commencing January 1, 2023, and ending December 31, 2023. Section 4: It is hereby declared by the President and Board of Trustees of the Village of Mount Prospect that the amount of $325,768.76 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 $325,768.76 being the entire amount levied for such bond principal and interest payment purposes for the fiscal year commencing January 1, 2023, and ending December 31, 2023. Section 5: It is hereby declared by the President and Board of Trustees of the Village of Mount Prospect that the amount of $327,500.00 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 $327,500.00 being the entire amount levied for such bond interest payment purposes for the fiscal year commencing January 1, 2023 and ending December 31, 2023. Section 6: It is hereby declared by the President and Board of Trustees of the Village of Mount Prospect that the amount of $492,869.00 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 $492,869.00 being the entire amount levied for such bond principal and interest payment purposes for the fiscal year commencing January 1, 2023 and ending December 31, 2023. Section 7: It is hereby declared by the President and Board of Trustees of the Village of Mount Prospect that the amount of $2,338,750 levied for G.O. Bond series 2018 B interest payments for the purpose of funding construction projects and refunding of 2009 bonds for the Village pursuant to Ordinance No. 6403 be and the same is hereby abated in the amount of $2,338,750 being the entire amount levied for such bond principal and interest payment purposes for the fiscal year commencing January 1, 2023 and ending December 31, 2023. Section 8: It is hereby declared by the President and Board of Trustees of the Village of Mount Prospect that the amount of $613,050.00 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 $613,050 being the entire amount levied for such bond principal and interest payment purposes for the fiscal year commencing January 1, 2023 and ending December 31, 2023. Section 9: It is hereby declared by the President and Board of Trustees of the Village of Mount Prospect that the amount of $489,850 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 $489,850 being the entire amount levied for such bond principal and interest payment purposes for the fiscal year commencing January 1, 2023 and ending December 31, 2023. Section 10: It is hereby declared by the President and Board of Trustees of the Village of Mount Prospect that the amount of $540,800.00 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 $540,800.00 being the entire amount levied for such bond interest payment purposes for the fiscal year commencing January 1, 2023 and ending December 31, 2023. Section 11: It is hereby declared by the President and Board of Trustees of the Village of Mount Prospect that the amount of $882,240 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 $882,240.00 being the entire amount levied for such bond interest payment purposes for the fiscal year commencing January 1, 2023 and ending December 31, 2023. Section 10: Village Ordinance Nos. 6320, 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. 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 2023. Paul Wm. Hoefert, Mayor ATTEST: Karen Agoranos, Village Clerk VILLAGE OF MOUNT PROSPECT Property Tax Levy - 2023 Series 2013 6,407,384 - Series 2014 2% - - - - 1,329,009 (1,329,009) -100.00% 2022 Tax Extension 1,310,350 75,425 1,234,925 24,699 1,259,624 796,416 463,208 Gross 325,769 Net Provision Total Total Series 2018a (TIF) 492,869 492,869 2023 Subsidy/ 2023 Loss and 2023 2022 $ % 894,500 126,990 (126,990) -100.00% Levv Abatements Levv Costs Extension Extension Inc/ Dec. Inc/ Dec. VILLAGE OF MOUNT PROSPECT Series 20228 882,240 882,240 3.00% Police Protection 4,346,500 4,346,500 86,930 4,433,430 4,433,430 598,805 0.00% Fire Protection 5,049,574 - 5,049,574 100,991 5,150,565 5,150,565 29,279,440 1,259,624 0.00% Police Pension Fund 5,629,067 1,000,000 4,629,067 92,581 4,721,648 4,473,655 247,993 5.54% Firefighters' Pension Fund 4,827,193 1,000,000 3,827,193 76,544 3,903,737 4,133,612 (229,875) -5.56% Total Operational Levy 19,852,334 2,000,000 17,852,334 357,046 18,209,380 18,191,262 18,118 0.10% Debt Service Funds Series 2013 6,407,384 - Series 2014 - - - - - 1,329,009 (1,329,009) -100.00% Series 2016 1,310,350 75,425 1,234,925 24,699 1,259,624 796,416 463,208 Series 2017 (TIF) 325,769 325,769 - - - - - Series 2017 (WTR) 321,131 321,131 Series 2018a (TIF) 492,869 492,869 Series 2018a (WTR) 327,500 327,500 Series 2018b (new) 1,444,250 1,444,250 - Series 2018b (refi) 894,500 894,500 126,990 (126,990) -100.00% Series 2019a (WTR) 613,050 613,050 - Series 20198 (TIF) 489,850 489,850 Series 2022 540,800 540,800 Series 20228 882,240 882,240 Total Debt Service Levy Total Village Levy Mount Prospect Public Library Library Levy Fund Library Debt Service Total Library Levy Total Village and Library Combined Total Operating Levy Total Debt Service Levy 7,642,309 6,407,384 1,234,925 24,699 1,259,624 2,252,415 (992,791) 44.08% 27,494,643 8,407,384 19,087,259 381,745 19,469,004 20,443,677 (974,673) -4.77% 10,853,000 - - 10,853,000 - 217,060 - 11,070,060 - 10,747,740 - 322,320 - 3.00% 0.00% 10,853,000 - 10,853,000 217,060 11,070,060 10,747,740 322,320 3.00% 38,347,643 8,407,384 29,940,259 598,805 30,539,064 31,191,417 (652,353) -2.09% 30,705,334 7,642,309 2,000,000 6,407,384 28,705,334 1,234,925 574,106 24,699 29,279,440 1,259,624 28,939,002 2,252,415 340,438 (992,791) 1.18% -44.08% 38,347,643 8,407,384 29,940,259 598,805 30,539,064 31,191,417 (652,353) -2.09%