Upgraded water/sewer system, sidewalks lead Palatine's new budget
An upgraded water and sewer system, new sidewalks and extra payments into public safety pension funds are some of the highlights from Palatine's $123 million budget for next year.
Village council members approved the 2020 budget Monday night. The new budget year starts Jan. 1.
"Once again, that was a great budget," veteran Councilman Greg Solberg said. "It is efficient. It's everything you want."
Officials said the 2020 budget should result in good news for property owners, While the total property tax levy will rise by 1%, the net effect for residents should be a slight reduction due to new revenue expected from a tax increment financing district for a Dundee Road retail corridor near Hicks Road that was dissolved Monday.
"It's not just something to gloss over," Councilman Kollin Kozlowski said of the projected village property tax decrease.
Palatine Village Manager Reid Ottesen said the 2020 budget will provide for all service demands expected by residents and no cutbacks. The budget will be up about 2% from this year.
Roughly $4.7 million will be set aside to improve the sewer and water systems. Work is to include an insertion of new storm and sanitary sewer pipes into existing ones and water main replacement.
About $1.1 million will be allotted for the sidewalk work across Palatine. The money will be use for the village's hazardous sidewalk program, along with new construction off sections of Rand Road.
Using a combination of property tax revenue, savings from debt refinancing and other means, about an extra $1.95 million will go toward the police and fire pension funds, according to the budget. The village's police pension funding level most recently was listed at 62.6% in 2017, with fire at 59.9%.
On the revenue side, sales tax revenue is expected to rise $816,000, or 6.5%, in 2020. About $100,000 more in revenue is forecast from increased vehicle sticker sales through an enhanced enforcement plan and letters sent to scofflaws.
As for the TIF district that began in 1995 and officially ended Monday evening, it went from Dundee just west of Hicks and ended before the Home Depot at Rand Road.
TIF districts freeze the amount of property taxes local governments receive at the level of its first year. As property values increase, additional taxes go to a fund to pay for public improvements over 23 years or when all public improvements are paid for, whichever comes first.
Council members approved a final distribution of the TIF district's approximately $3.5 million surplus to government agencies as part of the termination process.
Palatine Township Elementary District 15 will receive about $1.2 million. The top five will be rounded out with roughly $1 million for Palatine-Schaumburg High School District 211, $424,740 for the village, $227,260 for Palatine Park District and $186,840 for Cook County.