Hoffman Estates' property tax levy likely won't rise

Hoffman Estates' costs and revenues are expected to rise next year, but its property tax levy likely won't be a penny more than the $17.9 million sought last year.

"I'm very proud to say the proposed budget for 2015 has a 0 percent increase in the property tax," Hoffman Estates Village Manager Jim Norris said at a budget workshop for the village board's finance committee Monday.

More revenue coming from such consumer-driven sources as sales tax is a sign that the economy is continuing to improve, Norris said.

But village officials are guarding against getting too optimistic due to the concerning financial condition of the state of Illinois and how that affects local governments.

In 2015, Hoffman Estates is budgeting costs of $121.7 million - an 8.8 percent increase over last year - and revenues of $118.4 million or 11.2 percent more than 2014.

The village will continue to spend money from its reserves on certain short-term projects, such as the removal and replacement of ash trees damaged by the emerald ash borer, but not as much as in previous years.

While Hoffman Estates again will spend $1.5 million in 2015 to complete the removal of damaged trees, only $1.06 million will come from reserves with the rest coming from new revenues.

Other major projects for the year include $5.2 million on local road improvements - making 2015 one of the biggest of recent years - and $1.5 million for a new, desperately needed storm sewer to serve areas around the Jones-Highland intersection. Of this latter amount, $900,000 will come from a recently negotiated grant from the Metropolitan Water Reclamation District.

While salaries for the village's union employees are already under contract for 2015, nonunion employees will see an average of 2.5 percent raises.

The village will add some part-time jobs and increase hours for some existing positions, but remains cautious about adding new full-time positions after the number lost during the recession.

"Post-recession local government is dramatically different than pre-recession local government," Norris said.

With the recommendation of the finance committee, the village board will consider approving the budget and tax levy next Monday, Dec. 1.