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HomeMy WebLinkAbout83-0606 Berner Estates g3 - 0606 RESOLUTION EXPRESSING POLICY OF ANNEXATION REGARDING BERNER ESTATES SUBDIVISION WHEREAS, the City Council of the City of Elgin has heretofore reviewed the possible annexation of certain residential property located in unincorporated Cook County lying east of the City of Elgin and in particular the Berner Estates Subdivision; and WHEREAS, the annexation of such territory is inconsistent with and contrary to the comprehensive plan of the City of Elgin; and WHEREAS, the annexation of said territory would result in the provision of municipal services at a cost in excess of taxes reasonably derived from the territory if annexed. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that it hereby finds and determines that the annexation of the Berner Estates Subdivision at this time is not in the best interests of the City of Elgin and that no further action should be taken concerning such proposed annexation. Richard L. Verbic, Mayor Presented: Adopted: Vote: Yeas Nays Recorded: Attest: Marie Yearman, City Clerk ttlikik- 19 • CITY OF ELGIN STATEMENT OF POLICIES GROWTH MANAGEMENT t The recurring growth management theme espoused in the City of Elgin Comprehensive Plan adopted June 6, 1983 is the concept of compact and contiguous physical growth . This concept is supported throughout the the plan due to its inherent desirability relative to overall fiscal management and tax base conservation . The Plan specifically identifies the issue of growth management and addresses the subject of future development needs as follows: GROWTH MANAGEMENT - The manner in which a city expands and develops has a direct impact on community affordability. Scattered, unrelated development at the periphery of the city and an overextended infrastructure is wasteful . It is expensive to build and maintain . Incompatible or conflicting land development may block natural corridors or growth . Uncontrolled development may compete with existing development and deplete the city's potential for added growth in tax revenues. For these reasons , Elgin must manage its growth so that city expansion is both cost effective and orderly. Essentially there are four steps for a city to take to accomodate growth : 1 ) to maintain and conserve the existing city; 2) to redevelop portions of the existing city which are in disrepair or functionally obsolete ; 3) to utilize infill development on scattered vacant parcels ; and 4) to expand at the periphery of the city. Thus, Elgin must promote the conservation of the existing city, plan future land uses for redevelopment sectors of the city and designate a development strategy for the one and one-half mile jurisdictional area . The purpose of the growth management program is to make the most out of what is already in place and to guide development at the periphery in a manner that does not overburden the city and the residents with additional costs and problems . TYPE OF DEVELOPMENT REQUIRED TO MEET FUTURE NEEDS - Future land use patterns must allow residents of Elgin to meet their needs in a more efficient manner . The future pattern of land use must , therefore , differ from the post World War II pattern . It must offer a more sensible relationship among all land use activities; it must be compact in nature . In accomplishing this objective , it will be possible to minimize all of those rising costs which the people of Elgin have incurred in recent years, • • including development costs and therefore greater housing costs; transportation costs due to excessive travel ; and ( increased) taxes or service cuts due to the coat of infrastructure construction and maintenance . Specific policies directly or indirectly reinforcing the compact and contiguous growth concept also appear throughout the Plan in examples as illustrated below: Economic Growth and Development Chapter Objective- Promote energy efficiency as a means to reduce the loss of economically productive dollars from the local economy. Policy- Provide a more energy efficient community by developing and adopting a land use plan which guides Elgin's growth in a compact and contiguous manner . Land Use Chapter Objective- As growth occurs, ensure that the elements of development are sensitive , integrated and protective of one another . Policy- Minimize the public costs associated with growth by utilizing the existing infrastructure to its fullest extent through infill and private development of underutilized land in the built-up city. Objective- Establish a ( land) management (system) designed to effectuate efficient and orderly growth for the community. Policies- "Growth through expansion" should only be allowed on the basis that it is contiguous to built-up areas of the city . Criteria, must be developed to define (future ) built-up areas of the city, including the following: a) Criteria which define contiguity and a logical extention of the urban area ; b) The availability of basic utilities and infrastructure ; c ) The fiscal impact of the development . Relate the potential for annexation to guidelines which define the degree of land development and service provisions that must be achieved within the incorporated area prior to further annexation for development purposes. Schedule the design , placement and phasing of water distribution to encourage compact growth - Prohibit additional estate residential development unless it is an integral part of a planned unit development (PUD) scheme which calls for an i above-average density in the remainder of thg proposed o development . An expression of implementation regarding the above polies is provided in the attached excerpts from the Northeyt Annexation Report dated July 3, 1984. This ct +ent was assembled by the Elgin Planning Department at the direction of the City Manager and the City Council . In reviewing the above and the attached it becomes apparent that any interest or action in the annexation , forcible or otherwise , of estate residential areas to the east of the city is inconsistent with goals , objectives and policies incorporated in the adopted Comprehensive Plan . (,Zti„ ,�ti�tcr• -tc III NORTHEAST ANNEXATION REPORT . INTRODUCTION The Planning Departmept has completed an analysis of the potential for annexation of the properties located to the northeast of Elgin. The analysis includes an annexation survey of property owners and a fiscal impact analysis for the annexation of Berner Estates. The following is a summary of the department's findings: A. From annexation strategy and economic development point of view, the properties located north of Shoe Factory Road are primary targets for an annexation program. These properties have both visability and accessibility from the tollway resulting in a potential for industrial development. The properties located south of Shoe Factory Road and west of the Commonwealth Edison power lines are of secondary importance to an annexation program. Approximately one-third of this area is developed as part of the Berner Estates subdivision or is unbuildable due to severe soil limitations. The northerly portion of this area may have some development potential. The properties located south of Shoe Factory Road and east of the Commonwealth Edison power lines have no annexation strategy or economic development value. This area is developed with the Berner Estates subdivsion. B. The respondents to the city 's annexation survey having an interest in annexing to Elgin own property south of Shoe factory Road. However, follow-up contacts with intervening property owners may have to be made due to a lack of contiguity with the corporate limits. The owner of four properties located north of Shoe Factory Road has indicated that he has made an application for annexation to the Village of Hoffman Estates. C. In conclusion, if the city is to have an aggressive annexation program based on economic development potential, follow-up contacts and annexation incentives must be initiated immediately with the owners of the properties located north of Shoe Factory Road. The following sections detail the results of the annexation survey and the fiscal impact of the annexation of the Berner Estates subdivision. it , , FISCAL IMPACT OF BERNE, ESTATES ANNEXATION This analysis has been prepared to document the probable fiscal impact of the annexation of the Berner Estastes Subdivision on the City of Elgin. The study area is comprised of thirty—seven (37) properties totaling one hundred forty (140) acres. Berner Estates is improved with twenty—eight (28) single family residences (see Exhibit 3). The "cost per developed acre" methodology is used to measure Berner Estates fiscal impact on the city. This methodology normalizes the fiscal impact of residential uses by accounting for the impact of institutional, commercial, and industrial uses on the city. The "cost per developed acre" is determined by dividing the amount in the general fund by the amount of developed acres in the city. The Fire Department, the Police Department, and the Public Works Department do not anticipate any unique or extraordinary service problems associated with the annexation of the Berner Estates Subdivision. However, the fiscal impact analysis identifies revenues to the city in the amount of $22,156.00 per year and expenditures by the city in the amount of $171,193.96 per year for an annual deficit to the city in the amount of $149,037.96 (see Exhibits 4 and 5). • . . tom win li obi ff.4-rim 4 L 4 4.. . , L,,'N' % 141o1 lir is. T'Plitera MPVI I Ni i , I F- 1 ii s ). H • 1 v $ Co w .e ( i 9 2 Q r N 10 w 3 = 2a a LL 1n 7 LLO i 11) ...' Z 5 . - s04 15 • ::3 y�� 41 la j • 6 • :WM u • • •• 110.44500.. ▪ :40' 11 13 17 galig ''4T 14 .... :48: .• 40' :37:... 50. 'b•1' t 21 r < . :3 a. • • :5 4': 1 . I 2 2.c:•••• ' .•33 6 a3 ppoi‘.. - • Q2▪ ::: 8125,2472e29• ` :b9 • ▪ . 30 31 3 .. so •EXHIBIT 3 ai. 6...40 mi.. PLANNING DEPARTMENT JULY 1, 1984 1 ANNUAL REVENUES TO CITY OF ELGIN FROM BERNER ESTATES SUBDIVISION PROPERTY TAX REVENUE 1 • $18,656 TOTAL PER CAPITA REBATE 2 2,940 MOTOR VEHICLE LICENSES 3 560 TOTAL REVENUE 4 $22,156 1. Total equalized assessed valuation for 37 properties within the Berner Estates Subdivsion is $913,657. The City of Elgin Tax rate is $2.04 per $100. of assessed value. 2. The cummulative per capita rebate for motor fuel tax and state income tax is $35. The total per capita rebate assumes a total population of 84 from 28 households. 3. Revenue from motor vehicle licenses assumes 2 vehicles per household at $10. per license. 4. Total revenue does not include annual sales tax revenue to Elgin because it is not new revenue. However, annual sales tax revenue to Elgin is approximately $1,260. for the 28 households in Berner Estates. it EXHIBIT 4 ANNUAL EXPENDITURE BY CITY OF ELGIN FOR • BERNER ESTATES SUBDIVISION TOTAL ACRES 140.16 DEVELOPED ACRES 96.393 COST PER DEVELOPED ACRE 1 $ 1776.00 ANNUAL CITY EXPENDITURE 2 $171,193.96 ANNUAL REVENUE TO CITY $ 22,156.00 ANNUAL DEFICIT TO CITY $149,037.96 1. The general fund divided by the number of developed acres in the city. $17,359.780. / 9776 ac. _ $1 ,776. 2. Number of developed acres in Berner Estates multiplied by the cost per developed acre. EXHIBIT 5