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Home My WebLink About9.3 First Reading of AN ORDINANCE AUTHORIZING THE LEVY AND COLLECTION OF TAXES FOR THE CORPORATE AND MUNICIPAL PURPOSES OF THE VILLAGE OF MOUNT PROSPECT FOR THE FISCAL YEAR BEGINNING JANUARY 1, 2026, AND ENDING DECEMBER 31, 2026.Item Cover Page Subject First Reading of AN ORDINANCE AUTHORIZING THE LEVY AND COLLECTION OF TAXES FOR THE CORPORATE AND MUNICIPAL PURPOSES OF THE VILLAGE OF MOUNT PROSPECT FOR THE FISCAL YEAR BEGINNING JANUARY 1, 2026, AND ENDING DECEMBER 31, 2026. Meeting October 20, 2026 - REGULAR MEETING OF THE MOUNT PROSPECT VILLAGE BOARD Category NEW BUSINESS Type Ordinance Information The Village must file its 2026 tax levy ordinance with Cook County prior to December 2026. The filing includes corporate tax levy and abatement ordinances. The Village will receive proceeds from the 2026 tax levy in 2027. This agenda item covers the first reading of the tax levy ordinance. The public hearing, second reading, and final approval of the ordinance will occur on November 4, 2026. Discussion The proposed 2025 property tax levy for the Village (payable in 2026) is $17.9 million, reflecting a 1.8 percent decrease from the 2025 level. The Police Protection levy is $4,607,379, unchanged from the 2025 level. The Fire Protection levy is $4,032,420, reflecting a decrease of $102,000 or 2.42 percent. The Village will be deploying $1.5 million from grocery taxes towards the public safety pension abatement. The Village will also be deploying $2.0 million in public safety pension abatement from the Pension Stabilization Fund. With the total abatement of $3.5 million, the public safety pension levies will be $5,044,098 and $3,872.,363 for the Police and Fire Departments, respectively. With these abatements, the public safety pension will stay unchanged from the 2025 level. The Village has a total debt service payment of $7,857,879 due in 2027. The Village will be abating 100% of these levies and the debt service category will show a 100% reduction from the 2025 levy amount, which was $225,794 (2025 payable in 2026). The Village also approves and reports the annual levy for the Mount Prospect Library to Cook County. The Mount Prospect Library will have an annual levy of $11,828,328, which shows a 2.7 percent increase over the 2025 extended taxes payable in 2026. ' ILL GE OF M OUNT PROSPECT Police IProtection Fire IProtection Police (Pension IFurnd Firefighters' IPension (Fund Tot,al Operational Lem T t,al Debt Service Levy Tot l Village Levy MOUNT PROSPECT PUBLIC LlBFRA Y Library Levy Fund Tot I Library Lem Tot l Village a nd Libr Co mbirmed Tot I Operating Lem Tot I Debt Service Levy II 6,580,777 08 22,185,203 (4,628, �) 17,556,260 351,125 17,907,385 18,^110 ,3145 (1,02,110q) -0.�� 11,.596�,400 11,596,4 231,929 11,829,328, 11,517,290 311,039, 2.7 81r,6 29,152,660 ,053 u0 41,639,482 (12,486,822) 29,152,660 583,053 29,735,713 29, 75 ,469 (16, 5" )-0.01� The Village's levy, totaling $17.9 million, will be the lowest in the last eleven years. In order to achieve the above levy, the Village is abating a total of $8.3 million from various sources. incorparated Area _ d ,- oii -e s $ 1,10001000 Abatements $1,0,7621750 — Series 201 6B, Ban& Abatements $3801000 a 761850 — Debt Service Fund Interest Income $105281943Grocery be usedand Fire Pension Abatements The Village has used the additional revenue from the sales tax (General Fund) to provide property tax abatements totaling $5.2 million. Out of this amount, $2.0 million will be allocated to the Police Pension Fund and Fire Pension Fund. The remaining $3.2 million is taken from the General Fund to fulfill various G.O. Bonds debt service obligations. The debt service abatement includes $1.4 million for the Police and Fire HQ Bonds and $1.8 million for the series 2016 G.O. Bonds. The Village will also be deploying $1.5 million from grocery taxes towards the pension abatement and $430,300 in debt service abatement from video gaming tax and interest income. Without these abatements totaling $8.3 million, the property tax levy would have shown a 44.1 percent increase over the 2025 amount. This would have been the highest levy in the twelve years. The total levy in 2015 was $18.3 million. With the proposed abatements, the 2026 levy will be the lowest in the past decade. With the above abatements and levy amounts, an average home valued at $397,400 will see a total property tax for the Village at $812. In the absence of the abatement, this amount would have increased by $365. The Village's portion of the total property tax bill is only about 7.7%, and with the further decrease of 1.8%, the Village's portion is expected to shrink further. r l r , If � u Assessment - 10% 391,74, 0 39p'740 $; 39p740 u �'[zat io n Factor . n ,10 . 03,00 3.0300 Equalized kss,,essed Value $ 120,p,412 $ 12 ,01412, 1,20 0412 Ta x Rate 0. � 7 � .9,90% - 7 % we,eTax e s $ 8,27W , 9 , 8,12 Uerr a see, i 364.85(38,01.50) Increase % - 31. % The second reading, public hearing and the final approval are scheduled for November 4, 2026. A Itarnnfix/na 1. Hold a first reading of the ordinance authorizing the levy and collection of 2026 property taxes payable in 2027, reflecting a 1.8 percent decrease in the Village Levy and a 2.7 percent increase in the Mount Prospect Library Levy. 2. Action at the discretion of the Village. Staff Recommendation Staff recommends holding a first reading of the ordinance authorizing the levy and collection of 2026 property taxes payable in 2027, reflecting a 1.8 percent decrease in the Village Levy and a 2.7 percent increase in the Mount Prospect Library Levy. Attachments 1. Levy Ordinance - Final ORDINANCE NO. AN ORDINANCE AUTHORIZING THE LEVY AND COLLECTION OF TAXES FOR THE CORPORATE AND MUNICIPAL PURPOSES OF THE VILLAGE OF MOUNT PROSPECT FOR THE FISCAL YEAR BEGINNING JANUARY 1, 20269 AND ENDING DECEMBER 31, 2026 PASSED AND APPROVED BY THE PRESIDENT AND BOARD OF TRUSTEES the day of November, 2026 Published in pamphlet form by authority of the corporate authorities of the Village of Mount Prospect, Illinois the day of 1 2026. ORDINANCE NO. AN ORDINANCE AUTHORIZING THE LEVY AND COLLECTION OF TAXES FOR THE CORPORATE AND MUNICIPAL PURPOSES OF THE VILLAGE OF MOUNT PROSPECT FOR THE FISCAL YEAR BEGINNING JANUARY 1, 20269 AND ENDING DECEMBER 31, 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: That the sum of Twenty Nine Million One Hundred Fifty Two Thousand and Six Hundred Sixty Dollars ($29,152,660), the same being the total amount to be levied of budget appropriations heretofore made for the corporate and municipal purposes for the fiscal year beginning January 1, 2026, and ending December 31, 2026, as approved by the President and Board of Trustees of the Village of Mount Prospect, be and the same is hereby levied on all taxable property within the Village of Mount Prospect according to the valuation of said property as is, or shall be assessed or equalized by the State and County purposes for the current year 2026. Section 2: The budgetary appropriations having been made by the President and Board of Trustees of the Village of Mount Prospect were passed and approved by Ordinance No. 6814 at a meeting hereof regularly convened and held in said Village of Mount Prospect, Illinois, on the 19th day of November, 2025, and amended by Ordinance No. 6835 on the 16th day of March, 2026, and by Ordinance No. 6845 on 21 St day of April, 2026, and thereafter duly published according to law, the various obj ects and purposes for said budgetary appropriations are heretofore made and set forth under the column entitled "Amount Budgeted", and the specific amount herein levied for each object and purpose is set forth under the column entitled "Amount Levied", in Articles I through VI. VILLAGE OF MOUNT PROSPECT, ILLINOIS 2026 Tax Levy ARTICLE I -POLICE PROTECTION Personal Services, Salaries & Wages Employee Benefits Other Employee Costs Contractual Services Utilities Insurance Commodities & Supplies Office Equipment Other Equipment Building Improvements Total Police Department TOTAL BUDGET FOR POLICE PROTECTION AMOUNT TO BE RAISED BY TAX LEVY ADD 2% FOR LOSS & COST OF COLLECTION TOTAL AMOUNT TO BE RAISED BY TAX LEVY FOR POLICE PROTECTION ARTICLE II - FIRE PROTECTION Personal Services, Salaries & Wages Employee Benefits Other Employee Costs Contractual Services Utilities Insurance Commodities & Supplies Building Improvements Office Equipment Other Equipment Total Fire Department TOTAL BUDGET FOR FIRE PROTECTION AMOUNT TO BE RAISED BY TAX LEVY ADD 2% FOR LOSS & COST OF COLLECTION TOTAL AMOUNT TO BE RAISED BY TAX LEVY FOR FIRE PROTECTION ARTICLE III - DEBT SERVICE 00 Debt Service 00 00 518 G.O. Bonds - Series 2016 Bond Principal Interest Expense Bank and Fiscal Fees Total G.O. Bonds - Series 2016 ARTICLE III - DEBT SERVICE (continued) 00 00 565 G.O. Bonds - Series 2017 - TIF Bond Principal Interest Expense Bank and Fiscal Fees Total G.O. Bonds - Series 2017 Amount Amount Budgeted Levied 14,624,207.00 4071379 9,768,565.00 0 211,275.00 0 3,280,353.00 0 22,300.00 0 316,631.00 0 294,255.00 0 34,475.00 0 2205.00 0 0.00 0 28,574,146 407,379 28,574,146 416079379 92,148 416991527 1300,463.00 4,032,420 8,336,891.00 0 211,845.00 0 3,506,036.00 0 17,000.00 0 2909454.00 0 76,910.00 0 2,500.00 0 750.00 0 2245385.00 0 2556671)234 4,0325420 259667,234 410329420 19845,000 112,500 235,000 118,769 0 353,769 0 0 0 0 0 0 0 0 VILLAGE OF MOUNT PROSPECT, ILLINOIS 2026 Tax Levy 00 00 565 G.O. Bonds - Series 2017 - Water Bond Principal Interest Expense Bank and Fiscal Fees Total G.O. Bonds - Series 2017 00 00 566 G.O. Bonds - Series 2018A - TIF Bond Principal Interest Expense Bank and Fiscal Fees Total G.O. Bonds - Series 2018A - TIF 00 00 566 G.O. Bonds - Series 2018A - Water Bond Principal Interest Expense Bank and Fiscal Fees Total G.O. Bonds - Series 2018A - Water 00 00 519 G.O. Bonds - Series 2018B - New Bond Principal Interest Expense Bank and Fiscal Fees Total G.O. Bonds - Series 2018B - New 00 00 519 G.O. Bonds - Series 2018B - Refi Bond Principal Interest Expense Bank and Fiscal Fees Total G.O. Bonds - Series 2018B - Refi 00 00 565 G.O. Bonds - Series 2019A - Water Bond Principal Interest Expense Bank and Fiscal Fees Total G.O. Bonds - Series 2017 00 00 565 G.O. Bonds - Series 2019B - TIF Bond Principal Interest Expense Bank and Fiscal Fees Total G.O. Bonds - Series 2017 00 00 G.O. Bomds - Series 2022 - Water/Sewer Bond Principal Interest Expense Bank and Fiscal Fees Total G.O. Bonds - Series 2022 ARTICLE III - DEBT SERVICE (continued) 00 00 G.O. Bomds - Series 2022B - Flood Control Bond Principal Interest Expense Bank and Fiscal Fees Total G.O. Bonds - Series 2022 Amount Amount Budgeted Levied 230,000 0 1 A 72 1 n 338,731 0 340,000 0 200,869 0 0 0 540,869 0 225,000 0 123,750 0 0 0 348,750 0 0 0 1 AAA ICA n 11444,250 0 165,000 0 70,250 0 0 0 235,250 0 405,000 0 246,300 0 0 0 651,300 0 320,000 0 11 c Knn n 535,600 0 305,000 0 267,300 0 0 0 572,300 0 725,000 0 154,560 0 0 0 879,560 0 VILLAGE OF MOUNT PROSPECT, ILLINOIS 2026 Tax Levy Amount Amount Budgeted Levied TOTAL BUDGET FOR DEBT SERVICE 7,857,879 AMOUNT TO BE RAISED BY TAX LEVY 0 ADD 2% FOR LOSS & COST OF COLLECTION 0 TOTAL AMOUNT TO BE RAISED BY TAX LEVY FOR DEBT SERVICE 0 ARTICLE IV - POLICE PENSION 00 Police Pensions Annual Pension Costs 6,864,627 5,044,098 Total Police Pensions 61864,627 5,0441098 TOTAL BUDGET FOR POLICE PENSION 618641)627 AMOUNT TO BE RAISED BY TAX LEVY 510441098 ADD 2% FOR LOSS & COST OF COLLECTION 1001882 TOTAL AMOUNT TO BE RAISED BY TAX LEVY FOR POLICE PENSION 511441980 ARTICLE V - FIREFIGHTERS' PENSION 00 Fire Pensions Annual Pension Costs 51580,777 318721363 Total Firefighters' Pensions 515801)777 318729363 TOTAL BUDGET FOR FIREFIGHTERS' PENSION 59580,777 AMOUNT TO BE RAISED BY TAX LEVY 318721363 ADD 2% FOR LOSS & COST OF COLLECTION 771447 TOTAL AMOUNT TO BE RAISED BY TAX LEVY FOR FIREFIGHTERS' PENSION 3,949,810 ARTICLE VI - MOUNT PROSPECT LIBRARY 90 Mount Prospect Library Library Expenditures 229789,388 1115961400 Bond Principal 0 0 Interest Expense/Fiscal Charges 0 0 Total Library Services 2257891)388 11,596,400 TOTAL BUDGET FOR MOUNT PROSPECT LIBRARY 229789,388 AMOUNT TO BE RAISED BY TAX LEVY - Library Expenditures 1115969400 AMOUNT TO BE RAISED BY TAX LEVY - Bond Principal and Interest 0 ADD 2% FOR LOSS & COST OF COLLECTION 2311928 TOTAL AMOUNT TO BE RAISED BY TAX LEVY FOR MOUNT PROSPECT LIBRARY 11,828,328 Total Levy w/o L&C 29,152)660 Total Levy w/ L&C 29,735,713 VILLAGE OF MOUNT PROSPECT, ILLINOIS 2026 TAX LEVY SUMMARY Article Fund I Police Protection 11 Fire Protection III Debt Service IV Police Pension V Firefighters' Pension Village Totals VI Mount Prospect Library Library Services Library Debt Service Library Totals Village and Library Totals Amount Total to be Raised Amount Tax Levy Amount by for Loss Incl. Loss Budgeted Tax Levy and Cost and Cost $ 28,574,146 407,379 92,148 416991527 2507,234 4,032,420 8048 4,1131068 7,8571879 0 0 0 6,864,627 5,044,098 10002 511441980 5,580,777 3,872,363 77,447 319491810 74,54403 17,556,260 351,125 17,9071385 22,7891388 11,596,400 231,928 1118281328 22,789,388 111596,400 231,928 11,828,328 $ 97,334,051 29,152,660 583,053 29,735,713 Section 3: The sum of $600,000 is budgeted to be received from personal property replacement tax revenue during the fiscal year commencing January 1, 2026, and ending December 31, 2026, and has been included herein as funds to be derived from sources other than property taxes supporting expenses related to police and fire protection, general obligation bonds and interest, public safety pensions and library services. Section 4: That the County Clerk is directed to add 2% to the requested tax levy as a provision for loss and cost. Section 5: That the Village Clerk of the Village of Mount Prospect is hereby directed to certify a copy of this Ordinance and is hereby authorized and directed to file a copy of the same with the County Clerk of Cook County, Illinois, within the time specified by law. Section 6: That, if any part or parts of this Ordinance shall be held to be unconstitutional or otherwise invalid, such constitutionality or invalidity, shall not affect the validity of the remaining parts of this Ordinance. The President and Board of Trustees of the Village of Mount Prospect hereby declares that they would have passed the remaining parts of the Ordinance of they had known that such parts or parts thereof would be declared unconstitutional or otherwise invalid. Section 7: That this Ordinance shall be in full force and effect from and after its passage, approval, publication in pamphlet form and recording, as provided by law. AYES: ABSENT: PASSED and APPROVED this day of November 2026. ATTEST: Karen Agoranos, Village Clerk Paul Wm. Hoefert, Mayor s