HomeMy WebLinkAboutT13-96 (2) Ordinance No . T13-96
AN ORDINANCE
PROVIDING FOR A SENIOR CITIZEN PROPERTY TAX PROGRAM
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ELGIN,
ILLINOIS:
Section 1 . That there is hereby established a $200 .00
senior citizen property tax refund of the 1996 real property
taxes levied by and collected for the City of Elgin.
Section 2 . That to qualify for the $200 . 00 senior
citizen property tax refund the owner(s) of the subject
property must have qualified and obtained for the 1996 tax
year the Senior Citizens Homestead Exemption in accordance
with 35 ILCS 200/15-170, as amended.
Section 3 . That senior citizens qualified to receive
the $200 . 00 tax refund shall be identified through county
property tax records for the 1996 tax year. The Director of
Finance is directed to work with the appropriate county
officials to determine the most expeditious method for
processing the property tax refund to the qualified senior
citizens .
Section 4 . That all ordinances or parts of ordinances
in conflict with the provisions of this ordinance be and are
hereby repealed.
Section 5 . That this ordinance shall be in full force
and effect from and after its passage and publication in the
manner provided by law.
s/ Kevin Kelly
Kevin Kelly, Mayor
Presented: September 11 , 1996
Passed: September 11, 1996
Vote: Yeas 6 Nays 1
Recorded: September 12, 1996
Published: September 12 , 1996
Attest :
s/ Dolonna Mecum
Dolonna Mecum, City Clerk
4 -I
COMMITTEE OF THE WHOLE MEETING
AUGUST 21, 1996
The special Committee of the Whole meeting was called to order
by Mayor Kelly at 6 : 00 p.m. in the Council Conference Room.
Present: Councilmembers Gavin, Gilliam, McKevitt, Schock,
Walters, Yearman, and Mayor Kelly. Absent: None.
Continued City Council Early Input for 1997 Budget and 1997-2001
Financial Plan
The following items were discussed by the Council with reference
to the 1997 budget and 1997-2001 financial plan.
Economic Development Initiatives
Councilman McKevitt presented a proposal for a $40, 000 grant to
the Economic Development Commission of the Elgin Area Chamber of
Commerce for the following items :
Production of a video showcasing Elgin as a desirable
location for business .
Purchase of a trade show booth.
Establishment of an Internet side and installation of a
Geographic Information System (GIS) .
In addition to the above items, an annual funding allowance
of $10, 000, to be matched by the Chamber, private
developers , state funds, and corporations , for the Chamber
of Commerce to attend and promote Elgin at selected trade
shows .
Real Estate Tax Rebate
Discussion was held regarding whether to give a $1 million real
estate tax rebate to senior citizen homeowners (proposed by
Councilmembers Gilliam, McKevitt, Schock, and Walters) or a $3
million real estate tax rebate to all homeowners (proposed by
Mayor Kelly) .
Mayor Kelly stated that he believes there are sufficient funds
available from unprogrammed riverboat revenues and other sources
that $3 million could be used to benefit all homeowners rather
than just one segment of the population. Councilmembers Gavin
and Yearman also expressed their support for including all
homeowners in a real estate tax rebate program.
Councilman Schock stated that it has long been recognized by
other governmental bodies that senior citizens are deserving of
a tax break. He stated that Councilmembers making the proposal
.
Committee of the Whole Meeting
August 21, 1996
Page 2
' did not believe they wanted go beyond designating $1 million for
real estate tax rebate because of the limitation of available
funds and the number of worthy projects for which funds could be
used.
Councilman Walters stated that senior citizens did not benefit
from the elimination of the vehicle stickers to the same degree
as other citizens and this is an attempt to to make up for that.
Councilman Gilliam made a motion, seconded by Councilman Schock,
to give a $200 rebate to senior citizens 65 years or older who
live in their home on January 1, 1997, contingent upon the City
receiving riverboat proceeds of $13,275 million. Yeas :
Councilmembers Gavin, Gilliam, McKevitt, Schock, Walters, and
Mayor Kelly. Nays : Councilwoman Yearman.
Councilwoman Yearman stated that the reason she voted "no" was
because she sees no formula for the $200 rebate and she believes
we can come up with a way for everyone to receive a rebate.
Councilman Gavin made a motion to take the unprogrammed second
six months of riverboat proceeds, expected to be approximately
$1 . 1 million, and the $328, 000 which is programmed for general
fund cash reserves and do a property tax cut for the rest of the
City. The motion died for lack of a second.
Reconstruction of McLean Boulevard from Wing Street to Big
Timber Road
Councilman Schock requested that staff provide an estimate for
the cost of engineering the aforementioned project. City
Manager Helwig stated that the staff is recommending that
engineering be done in 1997 and construction in 1998 .
Recreation Center Feasibility Assessment Proposal
Councilman McKevitt presented a proposal to augment the
information contained in the previously completed Recreation
Center Needs Assessment. Said study would include various
options and the costs of each, whether it would be
self-supporting, whether there would be a conflict with existing
facilities, etc.
Discussion also included other suggestions regarding
recreational needs and possible sites and facilities including
purchasing the Besinger property east of Randall Road and south
of Highland Avenue for a park, using the gymnasium at the Elgin
Mental Health Center, adding an indoor pool to the plans for a
new golf course and club house at the Sports Complex, proceeding
with plans for a park in the Randall Ridge subdivision, and a
facility for outside performances .
Example ('ssessment With General r f
Homestead, Senior Homestead,and Senior 1\1)
Assessment Freeze Exemptions
With Exemption Without Exemption
Equalized Assessed Value $43,500H O III E O W N E R
Base yr.EAV - 42,500
Amount. Exemption 1,000
EXEMPTIONS
Freeze 1,000
Equalized Assessed Value 43,500 43,500
Assessment.Freeze - 1,000 - 0
General.Homestead - 3,500 - 0
Exemption t f
Homestead Exemption - 2.000 - 0
Base Year Assessment 37,000 43,500 EXEMPTIONS AVAILABLE
Estimated Tax Rate X .078 X .07$
Tax Dollars Due S 2,886 S 3,393
You pay taxes based on the base year assessment of$37,000.
•
Senior Citizen Real Estate :•��,,eouyti..
Tax Deferral Program ��.. 1=°ads
u u J `�t n,is.
What Is This Program? °re-nv�
•
This program allows qualified senior citizens to defer
part or all of the property taxes on their personal
residence. It is a form of a loan with a six percent
interest rate,which is to be repaid after the taxpayer's
death or at the time the property is sold.
How Do I Apply For This Program?
Application and information for this program must be Kane County
obtained at the Kane County Collector/Treasurer SSupervisor of Assessments
Office,719 S. Batavia Ave.,Geneva,IL 60134,after t
January 1,of each year,and must be filed with their
to 719 Batavia Ave.
office before March 1,of each year. m
N Geneva, IL 60134
' The County Collector phone number is c o (708) 208-3818
(708)232-3565 6, v N
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ia m6
S.mld;O°o
taR^
tnicc7^u.
General Homestead How Do I Qualify For This Exemption? "Those who qualify for a Senior Citizens
Homestead Exemption in accordance with Section
Exemption You do not need to fill out an application. Your 15-170 of the Property Tax Code(35ILCS 200/15-
Township Assessor will certify the improvement for 170) may also qualify for the real estate tax
What Does This Exemption Do? exemption to our office. deferral under the Senior Citizens Real Estate Tax
Deferral Act(320 1LCS 30/1 et seq.).For further
This exemption reduces$3,500 off of the equalized information or an application contact the Kane
E
i
Senor Citizen Exemption County Collector at(708)232-3565.
assessment causing you to pay taxes based on thep
lower assessment.
What Does This Exemption Do? Senior Citizen Assessment
How Do I Qualify For This Exemption?
This exemption takes$2,000 off of the equalized Freeze
You must be owner of record or have equitable assessment,causing you to pay taxes based on the
interest of the parcel on January 1, of the assessment. lower assessment. What Does This Exemption Do?
year.
How Do I Qualify For This Exemption? This exemption freezes your assessment at a base year,
You must reside there on January 1, of the assessment causing your assessment not to increase. This does
year. You must fill out an application,providing a copy of not freeze your taxes;only your assessment.
your proof of age and a copy of ownership of the
You should only have to apply one time, as long as parcel.
ownership/residency remains the same.
How Do I Qualify For This Exemption?
You must be sixty five years of age,or older within
the assessment year. You must meet the same qualifications as the Senior
Example Of Assessment With Exemption.
You must be owner of record or have equitable Citizen Exemption.
Equalized assessment $43,500 interest of the parcel on January 1, of the assessment
Your gross household income must be$35,000 or less
-General Homestead Exemption $3.500 year
Net valuation $40,000 for the prior years income.
You must reside there on January 1,of the assessment You must submit your application every year. After
You pay taxes based on the lower assessment of year. the first year you are approved,you will be sent the
$40,000.
i After initial application is approved,you must return a application automatically in the spring.
Certificate of Status card each year. These cards are
You must have the application in on or before July 1,
Home Improvement mailed out on or before March every year. of each year.
Exemption
Example Of Assessment With Exemptions. An example of the Assessment Freeze Exemption,
What Does This Exemption Do? including the General Homestead and Senior
Equalized assessment $43,500 Homestead Exemption,appear on the following page.
If you add improvements to your home that are - General Homestead Exemption - 3,500
increased by your Township Assessor,this exemption - Senior Homestead Exemption - 2.000
allows you not to be assessed for the improvement,up Net valuation $38,000
to$10,000 assessed for four years. After the four
years,the improvement will be assessed and added to You pay taxes based on the lower assessment of
the tax roll. $38,000.
Committee of the Whole Meeting
July 24 , 1996
Page 3
Request for Fire Lane Designation from Jewel on Larkin Avenue
Councilman McKevitt made a motion, seconded by Councilwoman
Yearman, to approve the request for the proposed fire lane.
Yeas : Councilmembers Gavin, McKevitt, Schock, Walters, Yearman
and Mayor Kelly. Nays : None.
Request for Fire Lane Designation from Jewel on Summit Street
Councilman McKevitt made a motion, seconded by Councilman Gavin,
to approve the request for the proposed fire lane. Yeas :
Councilmembers Gavin, McKevitt, Schock, Walters, Yearman and
Mayor Kelly. Nays : None.
Acceptance of Badger Meter, Inc. Proposal to Resolve
Defective Battery Issue
Councilman Walters made a motion, seconded by Councilman
McKevitt, to accept the proposal from Badger Meter, Inc. as
outlined in their letter dated July 17, 1996, to resolve the
issue of premature failure of the batteries powering the AMR
system meters . Yeas : Councilmembers Gavin, McKevitt, Schock,
Walters, Yearman and Mayor Kelly. Nays : None.
1996 Fine Arts Festival Free Parking Request
Councilman Gavin made a motion, seconded by Councilwoman
Yearman, to provide free parking at the Spring Street parking
deck and the Civic Center parking lot during the Fine Arts
Festival on Saturday, August 24, 1996 . Yeas : Councilmembers
Gavin, McKevitt, Schock, Walters, Yearman and Mayor Kelly.
Nays : None.
Senior Citizen Property Tax Rebate
Discussion was held regarding the proposal of Councilmembers
Gilliam, McKevitt, Schock, and Walters to use $1 million
unbudgeted riverboat proceeds to give homeowners who are 65
years or older a real estate tax rebate in the amount of $200 .
Councilman Walters stated that the additional $1 million has
already been colleted, and therefore they feel that this is a
safe amount to consider using for tax relief . It would be
reviewed on an annual basis .
Mayor Kelly stated that he believes the City can afford to
provide a higher level of tax relief . He suggests giving real
estate tax relief to all homeowners . He estimated that using $2
million would give each homeowner approximately $119 and using
$3 million would given each homeowner approximately $179 .
Councilwoman Yearman stated that she wants to assist senior
citizens, but believes their income should be considered rather
than simply giving the rebate to all senior citizens . She also
believes there will be an outcry of discrimination if the rebate
Committee of the Whole Meeting
July 24 , 1996
Page 4
is only for senior citizens . Councilman Gavin stated that he
also also supports some type of means test and believes it' s not
fair to
leave a group of citizens out of participating in this
windfall .
Councilman McKevitt stated that he is amenable to considering
using an amount above the revenue budgeted for riverboat
proceeds as along as it is done on an annual renewal basis and
is after the revenue has been received.
Adjournment
Councilwoman Yearman made a motion, seconded by Councilman
Gavin, to adjourn and go into Executive Session for the purpose
of discussing the following matters :
Appointments to Boards and Commissions and other Public
Offices - exempt under Section 120/2 (c) ( 3) of Open
Meetings Act
Workers ' Compensation Claim - exempt as pending litigation
under Section 120/2 (c) ( 11) of Open Meetings Act
Purchase of Property (setting price) - exempt under Section
120/2 (c) ( 6) of Open Meetings Act
Yeas : Councilmembers Gavin, McKevitt, Schock, Walters, Yearman
and Mayor Kelly. Nays : None.
The meeting adjourned at 7 : 38 p.m.
August 14, 1996
Dolonna Mecum, City Clerk Date Approved