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HomeMy WebLinkAboutT3-86 Ordinance No. T3-86 AN ORDINANCE ESTABLISHING FEES FOR THE CONNECTION AND USE OF CERTAIN WATERMAIN IMPROVEMENTS WHEREAS, the City of Elgin has caused certain watermain improvements to be made and identified as the South McLean Boulevard watermain improvement; and WHEREAS, the cost of the City of Elgin to be reimbursed amounted to $71,015.50; and WHEREAS, said improvements extend across property located within the City of Elgin for a distance of 3,071 feet; and WHEREAS, the City of Elgin is a home rule unit empowered to exercise any power and perform any function pertaining to its government and affairs; and WHEREAS, it is reasonable to require owners of property adjoining said improve- ments to bear a proportionate share of the cost of said improvement in the event that said owners desire to connect to and use said watermain. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS: Section 1. That any owner of property adjoining the above described South McLean Boulevard watermain improvement and legally described as attached hereto who desires to connect to and use said facilities shall pay to the City Treasurer of the City of Elgin, Illinois, a fee in an amount determined at the rate of $11.56 per front foot of such owner's property adjoining said improvement. Said fee shall be in addition to any and all other fees established by the City of Elgin for water service. Section 2. That in accordance with the provisions of Section 1 of this ordinance, the following amounts are established to be paid for connection to property adjoining the South McLean Boulevard watermain improvement: Property Owner Front Footage Cost to be Recovered Elgin Township 302.14 $ 3,492.74 Thomas B. Rosetter 50.00 $ 578.00 Thomas B. Rosetter 1,317.00 $ 15,224.52 Elgin School District U-46 62.30 $ 720.19 Section 3. That adjoining properties held in common ownership shall be subject to payment of an amount based upon the frontage of all said properties when application for connection for any of said lots is made. Section 4. That any person desiring to hook on to said watermain improvement prior to August 7, 1986 may pay said amount in full without interest. Section 5. That any person desiring to hook on to said watermain improvement after August 7, 1986 shall pay an amount equal to the amount established for the property to be served plus interest at the rate of 9% of the total amount due accruing from and after August 7, 1986 to the date of payment. Section 6. That a certified copy of this ordinance shall be recorded with the Recorder of Deeds, Kane County, Illinois. Section 7. That all ordinances or parts of ordinance in conflict with the provisions of this ordinance are hereby repealed. Section 8. That this ordinance shall be in full force and effect from and after its passage in the manner provided by law. s/ Richard L. Verbic Richard L. Verbic, Mayor Presented: June 23, 1986 Passed: June 23, 1986 Vote: Yeas 7 Nays 0 Recorded: Published: Attest: s/ Marie Yearman Marie Yearman, City Clerk SOUTH MC LEAN WATERMAIN EXTENSION REIMBURSEMENT U. S. 20 BYPASS FLEETWOOD DR. 6 0 3 03 7 4 9 5 10 11 a W J BOWES RD. WATER MAIN ---- EXISTING 12" DIA. 0 NO SCALE o --EXTENSION l2"DIA. ix z O Parcel 4 Thomas B. Rosetter 06-27-101-004 P.O. Box 109 Geneva, IL 60134 That part of the Northwest Quarter of Section 27, Township 41 North, Range 8 East of the Third Principal Meridian described as follows: beginning at the intersection of the North line of the Northwest Quarter of said Section 27 with the centerline of South McLean Boulevard; thence Southerly along said centerline for a distance of 50.64 feet; thence West along a line parallel with the North line of said Northwest Quarter of Section 27 for a distance of 217 feet; thence Southwesterly along a curve to the left having a radius of 685 feet and being tangent to the last described course for a distance of 455 feet; thence Southwesterly along a straight line tangent to the last described course for a distance of 615 feet; thence Westerly along a curve to the right having a radius of 545 feet and being tangent to the last described course for a distance of 320 feet to a point that is 695 feet South of a point on the North line of said Northwest Quarter of Section 27 being 1425 feet West of the place of begin- ning; thence North along a straight line for a distance of 695 feet to a point on the North line of said Section 27 being 1425 feet West of the place of beginning; thence East along said North line of Section 27 for a distance of 1425 feet to the place of beginning. Being situated in the City of Elgin, Kane County, Illinois and containing 10.0 acres, more or less. Excepting therefrom that part previously dedicated for roadway purposes. tow Parcel 5 06-27-101-001 06-27-101-002 06-27-101-003 06-28-200-002 • rm. 06-28-200-003 06-27-200-007 06-27-200-008 Thomas B. Rosetter 1031 East State Street Geneva, IL 60134 Part of the Northwest Quarter of Section 27 and part of the Northeast Quarter of Section 28 all in Township 41 North, Range 8 East of the Third Principal Meridian described as follows: commencing at the intersection of the North line of the Northwest Quarter of said Section 27 with the centerline of South McLean Boulevard; thence South along said centerline for a distance of 50.64 feet for the place of beginning; thence West along a line parallel with the North line of said Northwest Quarter of Section 27 for a distance of 217 feet; thence Southwesterly along a curve to the left having a radius of 685 feet and being tangent to the last described course for a distance of 455 feet; thence Southwesterly along a straight line tangent to the last described course for a distance of 615 feet; thence Westerly along a curve to the right having a radius of 545 feet and being tangent to the last described course for a distance of 320 feet to a point that is 695 feet South of a point on the North line of said Northwest Quarter of Section 27 being 1425 feet West of the intersection of said North line and the centerline of South McLean Boulevard; thence North along a straight line for a distance of 695 feet to a point on eft the North line of said Section 27 being 1425 feet West of the intersection of said North line with the centerline of South McLean Boulevard; thence Westerly along said North line of Section 27 and the North line of Section 28 for a distance of 3147.81 feet, more or less, to the West line of the Northeast Quarter of Section 28; thetice Southerly along the West line of Northwest Quarter of the Northeast .Quarter of Section 28 for a distance of 1320 feet to the South line of the Northwest Quarter of the Northeast Quarter of said Section 28; thence East along said South line for a distance of 1319.46 feet, more or less, to the Northwest corner of the Southeast Quarter of the Northeast Quarter of said Section 28; thence South along the last line of the Southeast Quarter of the Northeast Quarter of said Section 28 for a distance of 170 feet, more or less; thence Easterly along a line that forms an angle of 91 degrees 20 minutes 30 seconds to the left of a prolongation of the last described course for a distance of 1632.46 feet, more or less, to the Westerly boundary line of Elgin Estates Unit No. 1; thence in a Northerly direction along the Westerly line of Elgin Estates Unit No.1 for a distance of 9.18 feet; thence East along the Northerly line of Elgin Estates Unit No. 1 for a distance of 1501 feet, more or less, to the centerline of South McLean Boulevard; thence Northerly along the centerline of South McLean Boulevard for a distance of 1439.36 feet, more or less, to the place of beginning. Excepting therefrom that part previously dedicated for roadway purposes. Being situated in Elgin Township, Kane County, Illinois and continuing 186.30 acres, more or less. rft Parcel 7 06-22-376-002 ELGIN TOWNSHIP HIGHWAY CQNISSION 164 DIVISION, RM. 201 That part of the Southwest Quarter of Section 22, Township 41 North, Range 8 East of the Third Principal Meridian described as follows: Comnencing"-at the Southeast corner of said Southwest Quarter; thence Westerly along the South line of said Southwest Quarter, a distance of 246.53 feet for the place of beginning; thence Northerly at right angles to the South line of said Southwest Quarter, a distance of 300.0 feet; thence Westerly at right angles to the last described course, a distance of 438.8 feet to the center line of McLean Boulevard; thence Southwesterly along said center line, a distance of 302.14 feet to the South line of said Southwest Quarter; thence Easterly along said South line a distance of 474.67 feet to the place of beginning; EXCEPTING THEREFROM that part which is dedicated for roadway purposes. Being situated in Elgin Township, Kane County, Illinois and Containing 3.146 - acres, more or less. tow r Parcel 11 06-27-126-005 06-27-200-005 06-27-326-001 .06-27-400-001 County Board of School Trustees c/o Elgin Public Schools - U46 355 East Chicago St. Elgin, IL 60120 That part of Section 27, Township 41 North, Range 8 East of the Third Principal Meridian described as follows: commencing at the center of said Section 27; thence South along the West line of the Southeast Quarter of said Section 27 for a distance of 333.10 feet for the place of beginning; thence continuing South along the last described course for a distance of 161.9 feet; thence East along a line parallel to and 495.0 feet South of the North line of the Southeast Quarter of said Section 27 for a distance of 2628.0 feet, more or less, to the East line of said Section 27; thence North along said East line for a distance of 1826.6 feet, more or less, to the Northeast corner of said Section 27; thence West along the North line of said Section 27 for a distance of 3474.6 feet, more or less, to the centerline of South McLean Boulevard; thence South along said centerline for a distance of 1653.74 feet; thence East along a straight line for a distance of 954.5 feet, more or less, to the place of beginning. Being situated in Elgin Township, Kane County, Illinois and containing 142.47 acres, more or less. Excepting therefrom that part previously dedicated for roadway purposes. July 9, 1986 MEMORANDUM TO: Mayor and City Council FROM: City Manager SUBJECT: 1986 Property Tax Levy PURPOSE: The purpose of this memorandum is to determine the amount required for the 1986 Tax Levy and the necessity for a public hearing. BACKGROUND: The "Truth In Taxation Act" requires the publication and public hearing if the property tax levy (excluding debt service) exceeds 105% of the previous year's tax levy. Revenue and expenditure projections for 1986 and 1987 (excluding 1987 major capital items) on Exhibits I-A through I-C indicate a shortage of $501,080 if the tax levy is retained within the 105% using the following assumptions: 1. Using the General Fund tax levy projected in Exhibit 11. 2. No permit fee increase. 3. No ambulance fee increase. 4. Ten employees anticipated for police protection and other staff to enhance the r vitality of Elgin. Specific positions are to be designated during the budget process. The 1987 shortage of $501,080 may be eliminated by the following methods: Alternate A 1. Recommended permit fee increase $ 90,000 2. Ambulance fee increase from $50 to $75 50,000 3. Elimination of ten new employees (including fringes) 352,365 4. Reduce 1987 contingency from $250,000 to $241,285 8,715 $501 ,080 Alternate B 1. Permit fee increase $ 90,000 2. Ambulance fee increase of $50 to $75 50,000 3. If the Steering Committee agrees at the July 19th meeting with the July 7th Finance Committee's recom- mened sewer service fees for operating cost recovery 300,000 4. Reduce contingency from $250,000 to $188,920 61 ,080 $501 ,080 Alternate C I. Increase General Fund property tax levy as projected in Exhibit III. Public notice and public hearing would be required. The tax levy may be abated, when and if other revenue sources are adopted. $501 ,080 r A Mayor and City Council 1 986 Property Tax Levy Page 2 Alternate D I. A different mix of the above alternates. Both Exhibits II and Ill project no tax increase for debt service on the North End Bridge. This assumes that vehicle licenses will increase in August, 1986 (effective for 1987 licenses) to cover this debt. Early approval is necessary to acquire appropriate forms and make computer program changes. FINANCIAL IMPACT: The 1986 Budget anticipated a 19.8% increase in the General Fund 1986 Tax Levy. Exhibits II and III anticipate a 7.9% and 18.3% increase, respectively, which are less. The reason for the projected increase was the reduction of the 1985 tax levy because of the accumulated reserve. The reserve was reduced from $1,966,690 to a projected $661,610. RECOMMENDATION: The safest course of action is to accept Alternate C and abate the property taxes as fees increase and other revenues become available. A public hearing is required, but the probability of abating the taxes could be stressed. The property tax levy can be reduced as the City has done in past years but an increase can not be adopted once the tax levy ordinance is passed. Secondly, consideration of the vehicle license fee increase in the near future to avoid a major property tax increase for debt service on the North End Bridge. I eillik • es J. C••. , City Manager JHB/daw Attachments EXHIBIT I-A CITY OF ELGIN MID-YEAR BUDGET REVIEW - GENERAL FUND FOR THE FISCAL YEAR ENDING DECEMBER 31, 1986 ' 1986 1986 1986 Mid-Year Increase or Budget Estimate (Decrease) Unencumbered Cash Balance 1/1/86 $ 2,945,045 $ 3,036,690 $ 91 ,645 Less: Working Cash Requirements (1 ,070,000) ( I ,070,000) - $ 1 ,875,045 $ 1 ,966,690 $ 91 ,645 ( I ) Revenue: Property Taxes $ 4,840,000 $ 4,840,000 $ - Sales Tax 4,700,000 4,800,000 100,000 (2) Property Tax Replacement 225,000 225,000 - State Income Tax 1 ,300,000 1 ,350,000 50,000 (3) Other Taxes 155,000 155,000 - Licenses 566,500 566,500 - Permits 134,800 140,000 5,200 (4) Fines 265,800 265,800 - Other Inter-Governmental 86,025 86,025 - Fees For Services 758,670 791 ,470 32,800 (5) Sale of Commodities 21 ,940 21 ,940 - Investment Income 302,365 302,365 - Interest Income 17,515 72,515 55,000 (6) "'Franchise Fees 341 ,000 341 ,000 - fransfers - Administrative Costs 253,040 253,040 - Transfers - Cost Reimbursement I , 163,750 I , 163,750 - Transfers - Pension Cost 1 ,527,525 1 ,532,470 4,945 Transfers - Financing 403,500 403,500 - Other Income 49,030 49,030 - Total Revenue $17, 111 ,460 $17,359,405 $ 247,945 Total Means of Financing $18,986,505 $19,326,095 $ 339,590 Expenditures: Personal Services $13,997, 165 $13,904,010 $ (93, 155) (7) Commodities and Supplies 661 ,665 661 ,665 - Contractual Services 1 ,951 ,360 1 ,981 ,360 30,000 (8) Capital Expenditures 546, 155 546, 155 - Transfers 1 ,269,075 1 ,269,075 - Other Charges 123,875 123,875 - Insurance 178,345 178,345 - Total Expenditures $18,727,640 $18,664,485 $ (63, 155) Available For 1987 Budget $ 258,865 $ 661 ,610, ,$ 402,745 r EXHIBIT I-B CITY OF ELGIN GENERAL FUND 1987 PRELIMINARY PROJECTIONS Unencumbered Cash Balance 1/1/87 $ 1 ,731 ,610 Less: Working Cash Requirements ( I ,070,000) $ 661 ,610 Revenue: Property Taxes $ 5,223,355 Sales Tax 4,900,000 Property Tax Replacement 230,625 State Income Tax 1 ,332,500 Other Taxes 161 ,200 Licenses 562,750 (9) Permits 134,400 (10) Fines 265,800 Other Inter-Governmental 76,295 Fees For Services 789,680 (I I) Sale of Commodities 26,300 Investment Income 152,365 Interest Earned 16, 115 Franchise Fees 351 ,860 Transfers - Administrative Costs 264,990 Transfers - Cost Reimbursement 1 , 137,860 Transfers - Pension Cost 1 ,571 ,430 Transfers - Financing 316,675 Other Income 49,030 Total Revenue $17,563,230 Total Means of Financing $18,224,840 Expenditures: Personal Services $15, 150,920 (12) Commodities and Supplies 702,000 Contractual Services 2, 120,000 (13) Capital Expenditures 100,000 (14) Transfers 80,000 Other Charges 130,000 Insurance 193,000 Total Expenditures $18,475,920 Contingency 250,000 518,725,920 (Deficit) $ (501 ,080) NOTES TO EXHIBITS I-A AND I-B EXHIBIT I-C Exhibit I-A (I) Unencumbered Cash on January I, 1986 is $91,645 more than budgeted, due in large part to the 1986 settlement of public service employee contracts rather than in 1985 as expected. (2) Sales taxes are currently projected to exceed budget by $100,000, which partially resulted from an $81,000 shortage by the Illinois Department of Revenue for 1985 sales. (3) State income tax distributions are currently above expectations resulting in $50,000 over budget. (4) Includes current permit fees with no increase anticipated. (5) Fees for services are projected to exceed budget because of computer programming services recovered and new sewer fees. (6) Special distribution by State of Illinois of investment earnings on past Sales Tax receipts. (7) Salaries were less because of difficulty in hiring Analyst/Programmer and delay of Budget Supervisor, along with reduced pension costs netted against late salary settlement with public service employees. (8) Additional computer programming services were required because of delay in acquiring Analyst/Programmer. Exhibit I-B (9) No vehicle license fee increase for 1987 included, since revenue will be used for debt service. (10) No permit fee increase assumed. (11) No ambulance fee increase assumed. (12) Personal services include an additional ten employees for police protection and other staff to enhance vitality of Elgin. (13) Includes lease purchase payments for computer. (14) Includes only minor capital purchases for operations. r E IBIT II T F ELGIN TRUTH IN TAXM ION COMPARISONS - AND TOTAL TAX LEVY PROJECTIONS FOR 1986 TAX LEVY WITH NO PUBLIC HEARING REQUIRED 1985 Tax Levy 1 986 Tax Levy Percent Kane Co. Kane Co. Change Tax Tax Increase Fund Rate/$100 Gross Net Rate/$100 Gross Net (Decrease) Truth In Taxation: General Fund $1 . 1150 $ 4,888,889 $ 4,840,000 $1 . 1682 $ 5,276,096 $ 5,223,355 7.9% Public Benefit .0646 282,828 280,000 .0604 272,727 270,000 (3.6) I.M.R.F. . 1325 580,808 575,000 . 1286 580,808 575,000 Police Pension .0692 303,030 300,000 .0827 373,737 370,000 23.3 Fire Pension .0922 404,040 400,000 .0604 272,727 270,000 (32.5) Total - Truth in Taxation $ 6,459,595 $ 6,395,000 $ 6,776,095 $ 6,708,355 4.996 Debt Service .3498 1 ,536,473 1,521 , 108 .4461 2,014,812** 1 ,994,664 31 . 1% Total $1 .8233 $ 7,996,068 $ 7,916, 108 $I .9464 $ 8,790,907 $ 8,703,019 9.996 Kane Co. Adjustment .0028 9,503 9,503 Total As Adjusted $1 .8261 $ 8,005,571 $ 7,925,611 $1.9464 $ 8,790,907 $ 8,703,019 Assessed Valuations: Kane County $346,574, 184 $357,000,000* Cook County 74,425,816* 76,000,000* $421 ,000,000 $433,000,000 Tax Effort: Kane County 79.04%* 79.04%* Cook County 20.96%* 20.96%* * Projected or estimated. ** Assumes $200,000 abatement on T.I.F. Bonds, but increment may be less. EXHIBIT III - CITY OF ELGIN TRUTH IN TAXATION COMPARISONS AND TOTAL TAX LEVY PROJECTIONS TO ELIMINATE DEFICIT FOR 1986 AND TAX LEVY WITH PUBLIC HEARING REQUIRED 1985 Tax Levy 1986 Tax Levy Percent Kane Co. Kane Co. Change Tax Tax Increase Fund Rate/$100 Gross Net Rate/$100 Gross Net (Decrease) Truth In Taxation: General Fund $1 . 1150 $ 4,888,889 $4,840,000 $1 .2802 $ 5,782,258 $5,724,435 18.396 Public Benefit .0646 282,828 280,000 .0604 272,727 270,000 (3.6) I.M.R.F. . 1325 580,808 575,000 . 1286 580,808 575,000 Police Pension .0692 303,030 300,000 .0827 373,737 370,000 23.3 Fire Pension .0922 404,040 400,000 .0604 272,727 270,000 (32.5) Total Truth in Taxation $ 6,459,595 $6,395,000 $ 7,282,257 $7,209,435 12.7% Debt Service .3498 1 ,536,473 1 ,521 , 108 .4461 2,014,812** 1 ,994,664 31 . 1% Total $1 .8233 $ 7,955,068 $7,916, 108 $2.0584 $ 9,297,069 $9,204,099 16. 1% Kane Co. Adjust. .0028 9,503 9,503 Total As Adjusted $1 .8261 $ 8,005,571 $7,925,611 $2.0584 $ 9,297,069 $9,204,099 16. I% Assessed Valuations: Kane County $346,574, 184 $357,000,000* Cook County 74,425,816* 76,000,000* $421 ,000,000 $433,000,000 Tax Effort: Kane County 79.04%* 79.04%* Cook County 20.96%* 20.96%* * Projected or estimated. ** Assumes $200,000 abatement on T.I.F. Bonds, but increment may be less. r CITY OF ELGIN 1986 TAX LEVY ORDINANCE RECOMMENDED TIME TABLE Date July 14, 1986 Discuss 1986 Tax Levy and determine maximum tax levies. Over Under 105% 105% July 28, 1986 Adopt resolution setting Review fee increases for public hearing for operations. August 11th (publish by August 3rd) . August 11, 1986 Hold public hearing and Adopt resolution indicating finalize tax levy amounts. maximum levy under 105%. August 25, 1986 Adopt 1986 Tax Levy Adopt 1986 Tax Levy Ordinance. Ordinance. r few r August 4, 1986 MEMORANDUM TO: Mayor and Members of the City Council FROM: James J. Cook, City Manager SUBJECT: Public Hearing Format--Truth in Taxation Act PURPOSE: The purpose of this memorandum is to provide the Council members with a general format for the public hearing on August II regarding the 1986 tax levy. BACKGROUND: Whenever it has been determined that there is a possibility that a tax levy for any given year will be more than 105% of the previous year's levy, the City Council must conduct a public hearing regarding the reasons for such increase. The Elgin City Council has passed a resolution that such an increase is a possibility for the 1986 levy and thus a public hearing has been set for August I I, 1986. To assist the Council in conducting the hearing, a general format has been prepared and is attached hereto. FINANCIAL IMPACT: N/A eilik RECOMMENDATION: N/A , 4444-12.1ty Mona., lie /1( 1 ) TRUTH IN TAXATION ACT PUBLIC HEARING FORMAT I) Call Hearing to Order 2) Statement of Purpose The purpose of this public hearing is to provide a forum at which Council persons and members of the general public may present questions, comments and testimony regarding a possible 1986 tax levy in excess of 5% greater than the 1985 levy. The reasons for the proposed increase will be discussed by City staff members who will be available to answer questions. 3) Presentation of Reasons for Proposed Tax Increase 4) Questions and Comments of Council Members 5) Questions and Comments of Members of General Public. Note, the Council can place a time limit on the length or number of any such presentation. 6) Additional Questions and Comments, if any, of Council Members 7) Close Public Hearing • ..11 August 7 , 1986 MEMORANDUM TO: Mayor and Members of the City Council FROM: City Manager SUBJECT: Information for Public Hearing on Truth in Taxation Act PURPOSE: The purpose of this memorandum is to provide Council members with information to assist in its deliberation after the public hearing on August 11th. BACKGROUND: Essentially, the Council is presented with two options: 1 . To decide that there may be an increase in personnel expense associated with the Integrated Capital Budget , the growth of the City and demands for service, which will require funds beyond what is anticipated from current revenues and growth. 2 . To decide that we will limit any growth in budget to that which can be funded by the current level of revenues and a property tax increase not exceeding 4 . 9 percent . If option 1 is selected, to determine: 1 . Whether the growth will be paid for by increased property taxes , 2 . That the growth will be paid for by other revenues such as increased fees , or 3 . To delay that decision until the budget reviews in October and November, in which case it will be necessary to approve a tax levy high enough to fund the estimated expense and then later to abate all or part of that upon determination of how much additional revenues will be approved. Fees which have been identified for funding growth (as an alternative to the property tax) include ambulance fees, building inspection fees, and sewer service charges. Attached are three reports ( two of which have been previously submitted to the ego. Council ) dealing individually with these three revenue sources. Information for Public Hearing on eft Truth in Taxation Act August 7 , 1986 Page 2 of 3 The relationship between the Operating Budget decisions and the Capital Budget decisions are obvious. If the funding recommendations recommended by the citizens committees are not adopted for the program, then those capital programs which are approved will have to be funded from bonds (retired by property tax or other source ) or by other additional revenues if carried out on a pay-as-you-go basis. It is clear that a number of the programs proposed will increase the operational cost . Additional plan preparation and construction inspection can be expected from the quantity of projects proposed. In succeeding years , reductions in street maintenance costs and other costs can be expected as streets now requiring pot hole and crack maintenance receive a total new surface. It is certainly hoped that the increase in growth and assessed valuation expected to be generated by the development of the Randall Road area, the northeast area and others will help finance the Operating Budget in future years. At this time, however, for 1987 it is unlikely that any significant extra revenue generation can be expected. The attached table was prepared to show the current experience in e"'" Elgin for the last eight years and demonstrates a steady small growth in responsibility, a reduction in personnel with an increase in productivity due to the efforts of the productivity study, and three other areas which are significant . Operating expenses have increased in the eight year period by 46 percent , the property tax levy for operations has increased by 49 . 6 percent and the cost of living index has increased in this same period by 56 . 6 percent . Thus , the City' s budget for operations and the property tax for operations have been controlled by Council so that the services received are being received at an effective rate of ten percent lower than in 1979 . Thus, while the cost of services has effectively decreased, the amount of population, land area and service to be provided has effectively increased. In some areas , this means reduction of service, and when this point is reached, what happens is deterioration of capital assets . The prime example is , of course , the streets . As we have reduced maintenance and increased age and miles of streets , the condition has deteriorated and it is no longer possible to maintain many of the streets in an acceptable fashion. Information for Public Hearing on Truth in Taxation Act August 7 , 1986 Page 3 of 3 RECOMMENDATION: It is recommended that the Council consider these matters and provide the staff with guidelines for preparing the budget for 1987. The staff recommendation is that those guidelines include an approximate equivalent of ten additional positions to allow for improving services and meeting the needs of the capital program. This can be funded in either of two ways. Additional property taxes partially or totally abated by revenues beyond current projections and/or additional fees and charges to users reducing demand on property tax for those services which can be user identified. If the Council chooses the first alternative, the staff should be directed to prepare the necessary documents for the property tax levy for the Council meeting of August 25th. If the Council chooses the second alternative , staff should be directed to prepare the necessary documents to institute revised fees. es J. Coo -, City Manager eft. JJC:amp Attachments tow Change 8 1986 1985 1984 1983 1982 1981 1980 1979 79 to 86 Difference Demographics Land Area (SqMi) 20.73 20.72 20.43 20.35 20.34 20.30 20.28 20.23 0.50 2.471% Population 65,522 64,872 64,537 64,354 63,845 63,668 63,600 62,584 2,938 4.694% Miles of Streets 246.7 245.1 244.7 243.8 243.3 242.5 242.2 241.6 5.1 2.111% General Fund Work Force Full-time 347 339 338 339 347 355 356 355 ( 8 ) Part-time (as FT Equiv) 47.8 43.5 42.6 47.2 46.4 50.4 51.9 48.3 ( 0.5) Total 394.8 382.5 380.6 386.2 393.4 405.4 407.9 403.3 ( 8.5) (2.153%) Operating Exp $16,912,410 $15,455,505 $15,305,790 $14,854,990 $14,328,365 $13,658,625 $12,810,040 $11,558,270 $ 5,354,140 46.323% (Excl Capital) Capital Outlays 2,405,850 1,747,475 1,820,920 1,186,800 1,174,290 1,148,635 1,157,155 1,137,440 1,268,410 111.151% (Cap Exp & Fund 385 Total Operating & Capital $19,318,260 $17,202,980 $17,126,710 $16,041,790 $15,502,655 $14,807,260 $13,957,195 $12,695,710 $ 6,622,550 52.164% Property Tax Levy 1.1150 1.0876 1.0144 1.0090 0.9139 0.8046 0.7136 0.7452 0.3698 49.624% CPI 312.8 302.5 298.3 292.8 275.9 258.1 229.9 199.7 113.1 56.635% August 6, 1986 MEMORANDUM TO: Mayor and Members of the City Council FROM: City Manager SUBJECT: Information on Sewer Service Fees PURPOSE: This memo will provide background information for considering new sewer service fees to finance the sewer operations and major sewer repairs. BACKGROUND: The Finance Committee of the Integrated Capital Program recom- mended financing sewer service as an enterprise fund using sewer service fees rather than property taxes. The Finance Committee recommended $9001000 per year as an appropriate amount with $300,000 used to finance operations and $600,000 for capital expenditures. Attached is the impact to the average residential user reflecting a $3.00 per month increase or 14.9%. If the new rate of 27.3 is adopted, it will take between two and three months before any cash is realized. Therefore if $900,000 is to be used to finance the 1987 budget, an ordinance should be adopted in October, 1986. FINANCIAL IMPACT: Revenue would increase $900,000 relieving 1987 property tax bills for the General Fund by about $300,000 with $600,000 used to finance major sewer repairs. Alf mes J. Coory Manager JHB/daw Attachment ", 7/14/86 CITY OF ELGIN AVERAGE RESIDENTIAL USEAGE WATER CONSUMPTION, SANITARY DISTRICT FEES, NEW CITY SEWER CHARGE Monthly Water - 1100 cubic feet @ $1.14/100 c.f. $12.54 —mailability Charge 3.00 $15.54 Sewer - 1100 cubic feet — iitary District Charge @ .413/100 c.f. $ 4.543 Proposed City of Elgin Charge @ .273/100 c.f. $ 3.003 to raise $900,000 per year* Total Monthly Charge $23.086 Bi-Monthly Rate x 2 Total Bi-Monthly Billing 46. 17 rk Average bill would increase 14.936 * This assumes billing all water customers within City limits, regardless of whether they have sanitary sewer or not. July 10, 1986 eft MEMORANDUM TO: Mayor and Members of the City Council FROM: City Manager SUBJECT: Ambulance Fees, Collections and Costs PURPOSE: This memo will report on the emergency medical program of the City of Elgin. BACKGROUND: In presentation of the budget , we recommended and Council approved a fourth E.M. S. company with the understanding that a study of costs, charges and collections would be carried out . This has been done but we held up submitting the report until the Capital Improvement Finance Committee had considered finances and made recommendations. Cost of Emergency Medical Services tow Personnel - 30 employees @ $40, 000 @ 70% $840,000 Vehicles - 5 @ $50,000 @ 12 1/2% 31,250 Equipment - 5 @ $40 ,000 @ 12 1/2% 25 ,000 Operation and Maintenance - 5 @ $3 , 200 16 , 000 Total $912 ,250 Personnel assumptions made include: assignment of time of personnel at 70 percent E.M. S. and 30 percent Fire Fighting; staffing of E.M. S. companies at two with three persons per shift and two with two persons per shift . The average cost of $40, 000 per employee includes salary, fringe benefits, uniforms , training, etc. It is estimated that savings from initial costs of training, uniforms, etc. are offset by increased salaries through longevity and promotion. Vehicle assumptions include: replacement on an eight year cycle. Equipment assumptions include: replacement on varied cycles but an overall average of eight years. Excluded from cost data are damage repairs from accidents and workmen' s compensation costs from injuries. These two categories are difficult to average but probably would add $30 ,000 to $40 , 000 annually to the program expense. a�. Ambulance Fees, Collections and Costs July 10 , 1986 00"' Page 2 of 2 Charges for Emergency Medical Calls The attached material indicates : 1. Annual charges for the 12 months ending May 30, 1986 total $154 , 425 . This would indicate we were billing at a recovery rate of only about 20 percent of the annual cost prior to adding the fourth E.M.S. company. This has decreased to about 16 percent of the current cost estimate . 2 . Our present rate of $50 per call plus extra charges is not significantly below the charges in surrounding areas. The charge was last increased on January 1 , 1982 . 3 . The collection experience indicates about 77 per collection within one year of billing ( or about $120, 000 ultimately should be collected) . Any increase would naturally decrease this rate initially due to federal delays in establishing repayment rates. 4 . An increase to $75 base charge per call should result in a revenue increase of about $50,000 the first year and $60 ,000 thereafter. This would raise the billing rate to 22 . 5 percent of estimated cost and the collection rate to an estimate of 16 percent of cost . The E.M. S. service is subsidized through the property tax levy. To have it totally "self-supporting" would probably require rates of $500 per call. At the same time, since calls are often made for non-residents and non-taxpayers (automobile accident victims, etc. ) , it is desirable to try to recover some portion of the system through direct charge. This is particularly true since insurance normally covers this expense. RECOMMENDATION: It is recommended that City Council approve a rate increase to $75 in partial recovery of the increased program coverage costs added in 1986 with the additional E.M.S. company. It is further recommended that the rate be adjusted now to initiate the historical period for federal payment recovery. If the Mayor and members of the City Council agree, we will have necessary amendments prepared for the meeting of July 28th. -mes J. Co.k City Manager JJC:amp Attachments 1986 AMBULANCE FEE SURVEY Resident Non-Resident/Out of Town Addison No Charge No Charge Algonquin - F.P.D. No Charge No Charge (Special Tax) Arlington Heights $50 $50 Aurora $50 $100 Barrington No Charge $75 Bartlett - F.P.D. No Charge No Charge (Special Tax) Des Plaines No Charge No Charge Dundee No Charge $50 (Special Tax) Elmhurst $140 + Mileage $215 + Mileage (Contracted) Hanover Park (Ontarioville F.P.D. ) No Charge $100 (Special Tax) elik Hoffman Estates $35 $100 Joliet $75 $125 Mount Prospect $45 $45 Palatine No Charge No Charge (Considering Fee) Rockford Basic Care $100 $150 Advanced Care $150 $200 St. Charles, Geneva, Batavia $50 $50/$100 Schaumburg No Charge No Charge South Elgin $50 $50 Streamwood No Charge $100 Waukegan No Charge $125 ELGIN - PRESENT $50 $50/$75 ELGIN - PROPOSED $75 $75/$125 r • • February 17, 1986 rh. MEMORANDUM TO: Mayor and Members of the City Council FROM: City Manager SUBJECT: Information on Inspection Services PURPOSE: This memo will provide an interim report on the study of Inspection Services being conducted. BACKGROUND: The Fair Labor Standards Act will be effective April 15, 1986. It will result in a significant change in Inspection Services because: a) Presently Firemen perform fire inspection services on their days off at straight pay. After April 15th, this will require time and one-half pay, if continued. b) Presently, Firemen perform plumbing, electric, and air conditioning inspections on their days off at straight Inspector pay. After April 15th, if this is continued we will be required to pay the appropriate Fire pay at time and one-half. The added expense is probably excessive for the services. Staff is currently reviewing alternative means of coverage. At the same time, construction activity continues to increase and inspection work load will increase accordingly. Finally, the Dundee Corridor project will require inspection activity. Attached is a survey of current revenues of Elgin and a comparison of Elgin inspection fees compared to those in surrounding communities. It is apparent that $90, 000 could be raised to fund increased costs without bringing Elgin's fees to a point where they would deter construction. SUMMARY: This report is submitted for your information. As soon as service alternatives are completed and evaluated, we will provide you with recommendations for your action. 41111f, - es J. Coity Manager JJC:amp r Attachment • February 14 , 1986 MEMORANDUM TO: James J. Cook, City Manager FROM: Steven Bone, Captain BIS SUBJECT: License and Permit Fees Pursuant to your request to review permit fees charged by the Bureau of Inspection Services, I have conducted an in-depth study comparing our fees to seven area municipalities. In order to ensure a complete analysis, six different construction projects were included in the report. The six projects were as follows: Single Family Residence: Structure was a 2 ,163 square foot, two story house with a 384 square foot attached garage. This particular home was built at 816 Waverly Drive. Multi Family Residence: Structure was a eight unit condominium, 10,726 square feet with attached garages totaling 2 ,223 square feet . This unit was built at 22-24 Creekside Drive. Commercial Building: Building was the Burger King Restaurant built at 1150 North McLean Boulevard ( 3,000 square feet ) . Industrial Building: Structure was the Universal Chemicals & Coatings, Incorporated headquarters at 1975 Fox Lane. This building was utilized because it had a wide variety of construction components that spanned the permit schedule. Interiof Remodel: Project was a $4 ,000 repair of a two story apartment damaged by fire which affected three units. Building is located at 306 North Spring Street . New Garage: Structure was a 24 x 24 unattached garage located at 303 North Spring Street. A graphical presentation of the aforementioned review is attached as Enclosure No. 1. Due to inherent difficulties of comparing ordinances of individual municipalities to plans drawn specifically for the City of Elgin, additional fees may apply that were not readily available. Several municipalities are also contemplating upward revisions in their present fee schedules. Thus, the comparison is very conservative. License and Permit Fees February 14, 1986 tr. Page 2 of 2 A review of Enclosure No. 1 shows Elgin to be the lowest in all categories except alterations. Elgin's fees range from 22 percent to 55 percent of the average of the seven municipalities, averaging about 51 percent of the major fee schedule (see Enclosure No. 2 ) . To illustrate what effect various increases in fees, excluding water meters, would have on generating additional revenue, the 1985 end of year Building Permit Report (see Enclosure No. 4 ) was modified by various percentages in Enclosure No. 3. This illustrates what additional revenues would have been realized if various increases had been implemented over the last three years. It should be noted that a 100 percent increase would bring Elgin's fees approximately in line with the group average fees. Enclosure No. 5 illustrates what effect a 60 percent fee increase, excluding water meters, would have on a single family project. Seven hundred and eighty-eight dollars would represent a fee at about 70 percent of the survey average (the increase of $166 would place us only $3 higher than Arlington Heights, the E lowest on the single family list ) . If additional information is desired or necessary, I would be glad to furnish same. Steven Bona, Captain BIS SB:amp Enclosures eft. j 1 FEE CHARGES SINGLE MULTI FAMILY FAMILY COMMERCIAL INDUSTRIAL ALTERATION GARAGE AURORA $1,260.10 $2,331.35 $1,121.60 $ 9,621.90 $63.00 $ 66.40 ARLINGTON HEIGHTS 785.30 4,918.00 1,393.00 20,671.68 93.00 70.00 DES PLAINES 802.65 4,112.00 1,563.85 8,610.84 41.60 20.00 HOFFMAN ESTATES 1,823.00 8,473.75 3,441.15 16,123.20 39.50 96.00 MT PROSPECT 1,165.00 6,358.00 3,034.90 13,279.55 50.00 112.00 SCHAUMBURG 1,060.73 4,515.00 1,865.68 16,815.25 25.00 120.00 ST CHARLES 1,216.00 5,659.70 2,186.40 10,357.17 30.00 35.50 ELGIN 622.00 2,068.00 1,039.00 7,517.19 27.00 17.00 ENCLOSURE 1 . 1 ELGIN'S ELGIN'S PERCENTAGE PROJECT GROUP TOTAL GROUP AVERAGE CHARGES OF GROUP AVERAGE ,r, SINGLE FAMILY $ 8, 120 $1, 160 $ 622 53.6 MULTI- FAMILY 36,365 5, 195 2,068 39.8 COMMERCIAL 14 ,707 2 , 101 1,040 49.5 INDUSTRIAL 95,480 13,640 7,517 55.1 ALTERATION 343 49 27 55.1 GARAGE 520 74 17 22.9 ENCLOSURE 2 PROPOSED - ADDITIONAL REVENUE GENERATED - % INCREASE 1983 1984 1985 $92,913 $129,760 $151 .89 10% $ 9,291 $ 12,976 $ 15,191 25% 23,228 32,440 37,97 33% 30,661 42,821 50,12. 50% 46,457 64,880 75,949 75% 69,685 97,320 113,92. 100% 92.913 129,760 151,89= • r ENCLOSURE 3 • MONTHLY BUILDING PERMIT REPORT BUREAU OF INSPECTION SERVICES M o nith p=ctwa ri- PERMITS AND FEES VALUATIONS 0 U I j D I N Q THIS MONTH THIS YEAR/LAST YEAR THIS MONTH THIS YEAR/LAST YEAR 61. 1. Pos+tt , • M•NI Vasa (Mats) 1 c: . '.i., ,u� �,,,, C..sls►atat , 1,,,, IIIIIIIIIo,, I, ,411,1 c .•►saes . 0 49 40 0 273.529 180.995 i j RsslaaatIet 0 78 74 0 438.799 528,052 g ...•►slat • 3 13 21 66.800 L1_4L700 7,590,900 _ i IsI.strtat 0 6 8 0 1532,000 2,027,000 • R.sla.atlsl ,. • ., C....rslst, 6 174 1R1 ?]_095 2.941 2_200.126•0 1ea.strtat 3 21 23 292-000 652.997 275.344 Ml...tls•••ss I. . 1 1: - o.m•tIUons (wilts) 0 42 40 11/A ti/A _ N/A TOTAL PERMITS 49 1.685 1510 1.625_427 132_620_349 130.088.152 PERMIT FEES $4,068.00 S 73,407.00 S 61.680.0. ELECTRICAL • • PERMITS 50 654 617 - 157.176 S 3.991.240 1 3.497.117 PEE t 51,524.00 S 27,090.25 S 21.416.7- b(ECHANICA4 . r PERMITS 13 424 352 135.440 S 2.815.791 $ 2.942.572 PEE s S 370.50 S 12.280.05 S 10.066. I ►P1UMBINQ PERMITS 12 467 4R1 - 1m Joo 5 -9.111/06 S 2.909,802 'PEES $1,015.95 S 21,460.39 S 20,089.7 SIGNS PERMITS 13 219 218 61.350 1 390.348 1 296.044 ,Ets $ 260.00 S 4,520.00 S 4,306.0' OCCUPANCY PERMIts 21 39I 361 Pits $ 150.00 S 2 715.00 2 120 0. _ -LAN REVIEW PERMITS 8 108 121 PEES S 834.00 S 9.053.25 S 9.912.6 PERMFT PINES *remits 2 27 41 FREES S 48.00 S 1,042.55 $ 837.9 NO USING PERMITS 2 22 22 PEES S 30.00 S 330.00 S 330.66 PERMRS 190 3 997 3 723 2 080 492 $42 049 334 $39 733 387 FEES 1 :PILTIII3E1. hill-'141.17151471m14 rik FEES COLLECTED FOR OTHER DEPARTMENTS Water Devi. This Month This tsar To -Date 511,958.52 $127,306.03 Othsr Dspts. Park Site $21,774.74 School Site 4,333.21 ENCLOSURE 4 • ERMIT TYPE PRESENT FEE REVISED FEE NOW FEE IS CALCULATED NEW CHARGE UILDING Basic Fee $ 5.00 $ 8.00 Constant $ 8.00 House I Garage 4.00 6.00 $ per 100 sq ft 156.00 floor area ERT. OF OCCUP 5.00 8.00 Constant 8.00 LECTRIC Basic Fee 5.00 8.00 Constant 8.00 Installation 36.00 54.00 $ per floor area 54.00 in sq ft •LUMBING Basic"Fee 5.00 8.00 Constant 8.00 Fixtures ' 2.00 3.00 1 per fixture 51.00 Sewer Opening 5.00 8.00 Constant 8.00 Water Service 5.00 8.00 " 8.00 Underslab Insp 5.00 8.00 Constant 8.00 Rough Insp 5.00 8.00 w 8.00 Final Insp 5.00 8.00 Constant 8.00 EATING Basic Fee 5.00 8.00 Constant 8.00 Rough Insp 5.00 8.00 " 8.00 Final Insp 5.00 8.00 Constant 8.00 Input Fee 6.00 9.00 $ per BTU of Furnace 9.00 f SEWER HOOK-UP Basic Fee 5.00 8.00 Constant 8.00 Inspection 5.00 8.00 N 8.00 WATER SERVICE Basic Fee 5.00 8.00 Constant 8.00 Inspection 5.00 8.00 m 8.00 Remote Read 25.00 37.00 37.00 5/B" Meter/1" 345.00 345.00 $ Meter Size 345.00 Tap DRIVE APPROACH 5.00 8.00 Constant 8.00 Total Charge w/60% Increase* $788.00 Present Fee $622.00 * Excluding water meter charge. olow ENCLOSURE 5