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HomeMy WebLinkAbout6.4 Motion to Waive the Rules Requiring Two Readings of an Ordinance and Adopt AN ORDINANCE LEVYING THE TAX FOR THE VILLAGE OF MOUNT PROSPECT ELK GROVE TOWNSHIP FIRE AND EMERGENCY MEDICAL ASSISTANCE SPECIAL SERVICE AREA FOR THE TAX YEAR 2025r� Item Cover Page Subject Motion to Waive the Rules Requiring Two Readings of an Ordinance and Adopt AN ORDINANCE LEVYING THE TAX FOR THE VILLAGE OF MOUNT PROSPECT ELK GROVE TOWNSHIP FIRE AND EMERGENCY MEDICAL ASSISTANCE SPECIAL SERVICE AREA FOR THE TAX YEAR 2025 Meeting Fiscal Impact (Y/N) Dollar Amount Budget Source Category Type Information December 16, 2025 - REGULAR MEETING OF THE MOUNT PROSPECT VILLAGE BOARD CONSENT AGENDA Ordinance The Village of Mount Prospect Fire Department began serving unincorporated Cook County residents and businesses in October 2023, when the Elk Grove Rural Fire Protection District ceased operations due to structural deficits. The Village of Mount Prospect entered into an intergovernmental agreement through a court settlement order with Elk Grove Township and Elk Grove Rural Fire Protection District to provide fire and emergency medical services. Discussion Per the settlement agreement, the Village provides the fire and emergency medical services. The Village has hired nine firefighters/paramedics, primarily to staff Station 11 (previously operated by the Elk Grove Rural Fire Protection District), and has also developed a four -station response, with an ambulance and an engine at each station, staffed with a minimum of five firefighters/paramedics. The Village also invested $1.75 million in 2024 to rehab Fire Station 11. This step has improved fire and emergency medical services not only for the residents of the unincorporated area but also for the residents and businesses in south Mount Prospect. Per the agreement, the Elk Grove Rural Fire Protection District dissolved legislatively in July 2024. Per the intergovernmental agreement, the Village also received residue assets from the Elk Grove Fire Protection District, totaling $1,,031,945 in 2025. The Village also received ownership of Fire Station 11 in 2024. Per the settlement agreement, the Village has created a special service area in 2024, whereby the unincorporated area properties pay a collective tax levy of $1.0 million. The first levy year was 2024, payable in 2025. The Village fulfilled all the legal and compliance requirements, including approval from the Cook County Board and the Cook County Clerk's Office. The legislation that dissolved the Elk Grove Rural Fire Protection District also supported the creation of a special service area to serve residents of the unincorporated areas. The special service area is in its second year and the Village can now levy 5% over last year's property tax extension amount per the agreement. The year 1 levy (2024, payable in 2025) was $1,,000,000, and with a 5% allowed increase, the levy for 2025 (payable in 2026) will be $1,050,000. The Village will also ask to add 2% to cover unpaid tax losses and costs. With that, the final levy amount will be $1,071,000, which does not exceed 105% of last year's extension amount ($1,020,000, with 2% loss and costs). Since the increases do not exceed 5%, no public hearing is required. The current rate for this SSA is 1.8408% per $100 of equalized assessed value. The tax levy rate for the next year is expected to be around 1.9328% per $100 of equalized assessed value. Normally, the establishment ordinance authorizes the collection and levy of taxes for subsequent years. However, the County has requested a formal ordinance for the tax year 2025, and it must be filed before the last Tuesday of December. In light of the same, staff asks for a waiver of the rules requiring two readings of the ordinance and approval of the attached ordinance. The taxes will be transferred from the SSA Fund to the General Fund and used for Fire Department operations. The 2026 budget already includes $1.05 million in SSA taxes and abated $1.0 million in the Fire Department Operating Levy in anticipation of these taxes. This levy allows the Village to pay salaries and other expenditures for newly added firefighters/paramedics. Alternatives 1. Waive the rules requiring two readings of an Ordinance and approve the attached special service area levy ordinance for the year 2025 for $1,,050,000. 2. Action at the discretion of the Village Board. Staff Recommendation Staff recommends waiving the rules requiring two readings of an Ordinance and approving the attached special service area levy ordinance for the year 2025 for $1,050,,000. Attachments 1. SSA Tax Ordinance ORDINANCE NO. AN ORDINANCE LEVYING THE TAX FOR THE VILLAGE OF MOUNT PROSPECT ELK GROVE TOWNSHIP FIRE AND EMERGENCY MEDICAL ASSISTANCE SPECIAL SERVICE AREA FOR THE TAX YEAR 2025 WHEREAS, the Village of Mount Prospect ("Village"), Cook County, Illinois, pursuant to Article VII, Section 7(6) of the Illinois Constitution of 1970 and the Special Service Area Tax Law, 35 ILCS 200/27-5 et seq., is authorized to establish special service areas and to levy taxes for the provision of special services within such areas; and WHEREAS, the Village previously established THE VILLAGE OF MOUNT PROSPECT ELK GROVE TOWNSHIP FIRE AND EMERGENCY MEDICAL ASSISTANCE SPECIAL SERVICE AREA for the purpose of providing fire protection and emergency medical services to properties located within Elk Grove Township as legally described in the establishing ordinance, ordinance no. 6718, approved on January 9, 2025; and WHEREAS, the establishment of the SSA followed all statutory requirements, including a public hearing and the absence of a valid petition objecting to the formation of the SSA; and WHEREAS, in accordance with 35 ILCS 200/27-75, a public hearing is not required for the levy of taxes for subsequent years after the initial levy; and WHEREAS, the Village Board of Trustees desires to levy the annual taxfor the SSAto provide the special services for the taxyear 2025, collectible in 2026. NOW, THEREFORE, BE IT ORDAINED by the President and Board of Trustees of the Village of Mount Prospect, Cook County, Illinois, as follows: SECTION 1. — LEVY OF TAX There is hereby levied upon all taxable property within the established boundaries of THE VILLAGE OF MOUNT PROSPECT ELK GROVE TOWNSHIP FIRE AND EMERGENCY MEDICAL ASSISTANCE SPECIAL SERVICE AREA, as established in Village Ordinance No. 6718, a special tax for the purpose of providing and funding fire protection and emergency medical services, in the amount of: $1,050,000 for Tax Year 2025, collectible in 2026. This amount is within the maximum rate authorized for the SSA under Illinois law and the establishing ordinance. SECTION 2. - The Village Clerk is hereby directed to file a certified copy of this Ordinance with the Cook County Clerk on or before the statutory deadline for the extension of taxes for Tax Year 2025. SECTION 3.-The County Clerk is directed to add 2%to the requested tax levy as a provision for loss and costs. SECTION 4. - EFFECTIVE DATE This Ordinance shall be in full force and effect from and after its passage, approval, and publication as required by law. SECTION 5. - SEVERABILITY If any section, paragraph, clause, or provision of this Ordinance shall be held invalid, the invalidity of such part shall not affect the validity of the remaining provisions. PASSED AND APPROVED by the President and Board of Trustees of the Village of Mount Prospect, Cook County, Illinois, this day of , 2025. AYES: NAYS: ABSENT: Paul Wm. Hoefert, Mayor Attest: Karen Agoranos, Village Clerk