By Dan McLeister
For The Elmhurst Independent
City Council has reduced the City 2016 tax levy, excluding the Library levy, by $500,000 from $10,381,752 in 2015 to $9,881,752 in 2016.
That is a reduction of 4.82 percent or $27.52 in taxes for an average home of $361,297 market value when compared to 2015, aldermen were told at a December 5th meeting.
The 2016 tax levy reflects a 4.63 percent increase when compared to the one in 2015, due to significant increases in the required police and fire pension contributions, but offset somewhat by decreases in the General Fund components of the tax levy, according to Alderman Kevin York (4th Ward), chairman of the Finance, Council Affairs and Administrative Affairs (FCAAS) Committee.
The Elmhurst Public Library 2016 tax levy, approved by its Board, is $7,450,000, a 2.5 percent increase when compared to 2015.
The combined City and Library 2016 tax levy (excluding debt service, of $17,331,752 is a 3.7 percent increase when compared to 2015.
In 2016 all General Obligation (GO) Bond debt has been abated, resulting in a total City and Library 2016 tax levy decrease of 1.81 percent when compared to 2015.
Due to current economic conditions, York said the budget projects the City’s other major revenue sources such as sales tax, real estate transfer tax and building permit fees to increase slightly in 2017.
Based on fiscal year 2016 and 2017 financial projections, the General Fund balance is projected to remain above the upper range prescribed by City Council policy of 25 percent to 33 percent of annual General Fund expenditures at both fiscal year ends. So, the FCAAS Committee agreed that utilizing some of this surplus fund balance now, in lieu of a property tax increase, in order to balance the budget this year was once again a “responsible and prudent objective,” York stated.
The Working Cash Fund (WCF) is projected to be $1,000,000 at the end of 2016 and is at what York called the upper range limit within the target balance of $800,000 to $1,000,000. The WCF is a separate fund balance and is not included in General Fund balances.
