HomeMy WebLinkAboutTab 5: 2012 Proposed Property Tax LevyVillage of Mount Prospect
Mount Prospect, Illinois
INTEROFFICE MEMORANDUM
TO: MICHAEL E. JANONIS, VILLAGE MANAGER
FROM: FINANCE DIRECTOR
DATE: APRIL 17, 2012
SUBJECT: PROPOSED 2012 PROPERTY TAX LEVY
The Forecast Budget for 2013 included a projected amount for property taxes to be derived from
the 2012 property tax levy. Included with this memo for your review is the proposed 2012 levy.
Also included for reference are the final 2011 levy and a levy history for the period 2007 -2011.
Below are a few points on each of these items to help facilitate discussion at the April 24
financial planning workshop.
Final 2011 Levy
Corporate Levy - The total extended levy for 2011 was $15,852,354. This represented an
increase of $657,716, or 4.33% from the prior year. The levy is set for the purpose of funding
refuse collection, debt service, police and fire pensions and general municipal services. The
general portion of the levy increased by 8.7% while the refuse portion increased 3.0 %. The
portions of the levy for police and fire pensions and debt service were essentially flat from the
prior year. Increases to the tax levies for 2006 through 2010 are shown below.
2006
4.1%
2007
3.8%
2008
3.3%
2009
5.0%
2010
0.0%
Special Service Area #5 Levy — The total extended levy for 2011 was $1,545,773. There was
no increase in the special service levy from the prior year. In fact, this levy has not increased
since before 1997.
Proposed 2012 Levy
Corporate Levy - This proposed levy for 2012 reflected in the 2013 Forecast Budget shows an
increase of 3.95% from the 2011 levy and totals $16,477,873. This proposed levy is showing an
adjustment for debt service based on the repayment schedule for each bond. The annual
required contribution for public safety pensions are projected to increase by 7.0% so the levy
amount is being increased accordingly. The refuse portion of the levy is increased by 3.0%
while the general portion increased 3.2 %. The total rate increase of the proposed 2012 levy of
3.95% falls within the self- imposed limits of between 3.5% and 5.0 %.
Special Service Area #5 Levy — The proposed levy for 2012 is $1,428,000. This is a decrease
of $117,773 or 7.6% from the prior year. There will be a gradual reduction in the SSA levy each
year through 2017 at which time this entire levy will be eliminated and special service area #5 is
closed.
Proposed 2012 Property Tax Levy
April 18, 2012
Page 2 of 2
Property Tax Levy History
A five -year history of the property tax levy is included with this memo that shows the total annual
levy, proportional share of each component of the levy and percent increase in the levy, by
component and in total. The average annual increase in the levy from 2007 -2011 is 3.27 %,
below the self- imposed limits of between 3.5% and 5.0 %. The portion of the levy allocated to
general municipal services has fallen in 4 of the last 5 years and remains below 2007 levels.
Increases to the required contribution for public safety pensions account for drop in the general
allocation. Similar impacts are seen with the proposed 2012 levy.
This information should provide a good stepping -off point for discussion at the financial planning
workshop on April 24. A more detailed presentation on the proposed property tax levy for 2012
will be made at that time. Let me know if you have any questions.
David O. Erb
Finance Director
DOE/
I: \Property Taxes\2012 Levy\April 2012 Workshop - Proposed 2012 Levy.docx
Village of Mount Prospect
Final 2011 Property Tax Levy
VILLAGE CORPORATE
General Corporate Fund
Refuse Fund
Police Pension Fund
Firefighters' Pension Fund
Debt Service Funds
Series 2009
Series 2009B
Series 2009C
Series 2011 B
Series 2012
SPECIAL SERVICE AREA NO. 5
SSA #5
Net
2011 2011
L___yv Abatement Lev
2%
Provision Total
Loss and 2011
Costs Extension
7,373,943
0 7,373,943
147,479
7,521,422
1,802,500
0 1,802,500
36,050
1,838,550
2,436,059
0 2,436,059
48,721
2,484,780
2,181,722
0 2,181,722
43,634
2,225,356
417,263
0
417,263
8,345
425,608
379,850
0
379,850
7,597
387,447
135,023
47,258
87,765
1,755
89,520
168,394
0
168,394
3,368
171,762
694,027
0
694,027
13,881
707,908
15,588,781
47,258
15,541,523
310,831
15,852,354
1,515,464 0 1,515,464 30,309 1,545,773
INCREASE /(DECREASE) FROM PRIOR YEAR
2010 2011 % Change
Village Corporate 15,194,638 15,852,354 4.33%
Special Service Area No. 5 1,545,773 1,545,773 0.00%
Total 16,740,411 17,398,127 3.93%
H:\ACCT\BUDGET\Budget 2012 \Quarterly & Mid -Year Review \Proposed 2012 Levy.xlsx
Village of Mount Prospect
Proposed 2012 Property Tax Levy
VILLAGE CORPORATE
General Corporate Fund
Refuse Fund
Police Pension Fund
Firefighters' Pension Fund
Debt Service Funds
Series 2009
Series 2009B
Series 2009C
Series 2011 B
Series 2012
SPECIAL SERVICE AREA NO. 5
SSA #5
Net
2012 2012
Levy Abatement Levy
2%
Provision Total
Loss and 2012
Costs Extension
7,613,596
0 7,613,596
152,272
7,765,868
1,856,575
0 1,856,575
37,132
1,893,707
2,606,583
0 2,606,583
52,132
2,658,715
2,334,443
0 2,334,443
46,689
2,381,132
417,263
0
417,263
8,345
425,608
377,850
0
377,850
7,557
385,407
135,023
47,258
87,765
1,755
89,520
167,386
0
167,386
3,348
170,734
693,315
0
693,315
13,866
707,181
16,202,034
47,258
16,154,776
323,097
16,477,873
1,400,000 0 1,400,000 28,000 1,428,000
INCREASE /(DECREASE) FROM PRIOR YEAR
2011 2012 % Change
Village Corporate 15,852,354 16,477,873 3.95%
Special Service Area No. 5 1,545,773 1,428,000 (7.62 %)
Total 17,398,127 17,905,873 2.92%
H:WCCT\BUDGET\Budget 2012 \Quarter ►y & Mid -Year Review \Proposed 2012 Levy.xlsx
Village of Mount Prospect
Property Tax Levy History
2007-2011
Average Increase in Total Levy - 2007 -2011 3.27%
H:WCCT\BUDGET\Budget 2012 \Quarterly & Mid -Year Review \Proposed 2012 Levy.xlsx
2007
2008
2009
2010
2011
Total Annual Levy
General Corporate
7,772,448
7,772,448
8,044,484
6,921,545
7,521,422
Refuse
2,066,597
1,785,000
1,785,000
1,785,000
1,838,550
Police Pension
1,436,591
1,551,518
2,055,987
2,516,878
2,484,780
Fire Pension
1,417,630
1,531,040
1,767,533
2,183,477
2,225,356
Debt Service
1,321,572
1,832,263
1,541,634
1,787,738
1,782,246
Total
14,014,838
14,472,269
15,194,638
15,194,638
15,852,354
% of Total Levy
General Corporate
55.5%
53.7%
52.9%
45.6%
47.4%
Refuse
14.7%
12.3%
11.7%
11.7%
11.6%
Police Pension
10.3%
10.7%
13.5%
16.6%
15.7%
Fire Pension
10.1%
10.6%
11.6%
14.4%
14.0%
Debt Service
9.4%
12.7%
10.1%
11.8%
11.2%
Total
100.0%
100.0%
100.0%
100.0%
100.0%
% Increase from PY
General Corporate
3.8%
0.0%
3.5%
- 14.0%
8.7%
Refuse
3.0%
- 13.6%
0.0%
0.0%
3.0%
Police Pension
5.6%
8.0%
32.5%
22.4%
-1.3%
Fire Pension
6.7%
8.0%
15.4%
23.5%
1.9%
Debt Service
0.1%
38.6%
- 15.9%
16.0%
-0.3%
Total
3.76%
3.26%
4.99%
0.00%
4.33%
Average Increase in Total Levy - 2007 -2011 3.27%
H:WCCT\BUDGET\Budget 2012 \Quarterly & Mid -Year Review \Proposed 2012 Levy.xlsx