Chambana Sun

Champaign City Council met Nov. 7.

Here is the minutes provided by the Council:

COUNCIL MEMBERS PRESENT: Matthew Gladney, William Kyles, Vanna Pianfetti, Greg Stock, Alicia Beck, Angie Brix, Tom Bruno, Clarissa Fourman, Mayor Feinen

COUNCIL MEMBERS ABSENT: None

STAFF PRESENT: Dorothy Ann David, City Manager; Fred Stavins, City Attorney; Kay Nees, Finance Director; Courtney Kouzmanoff, Acting Financial Services Manager/ Budget Officer

OTHERS PRESENT: None

TIME STARTED: 7:56 p.m.

TOPICS DISCUSSED:

PROPOSED 2017 PROPERTY TAX LEVY [SS 2017-045]

City Manager David noted the proposed property tax levy and financial forecast provide the annual kickoff to the budget process.

Staff Presentation: Director Nees’s presentation included the following topics:

• Levy Foundation (levy dollar amount, calendar year basis)

• 2016 Property Tax Levy by District (Schools; City; County; Park District; Parkland College; MTD; and CU Health, Township, and Forest Preserve)

• New Development and End of the Downtown Tax Increment Finance (TIF)

• Equalized Assessed Value (EAV) of Taxable Property (2002 – 2018)

• Levy by Purpose

• Next Steps

• Council Direction Sought (levy to maintain current rate of 1.3152)

(Note: Information on how to obtain staff’s written report on this subject is provided below.)

Action Recommended: The Administration seeks Council direction to establish an estimated\ “most likely” levy of $21,203,655 to result in the same overall rate of 1.3152 as the 2016 extended levy.

Council Members’ Technical Questions: None

(Note: Information on how to view video and audio recordings of the full Council Meeting is provided below.)

Public Input: None

Council General Discussion: None

(Note: Information on how to view video and audio recordings of the full Council Meeting is provided below.)

Poll: Mayor Feinen polled Alternative One directing staff to place an ordinance on the agenda of a regular Council meeting to adopt an estimated “optimistic” levy of $24,924,400 to target the prior year tax rate of $1.3152 per one hundred dollars of EAV, include an ordinance to abate the levy to the $1.3152 rate, and use the estimated “most likely” levy of $23,414,506 for financial planning purposes. The result of the poll was 9 ayes and 0 nays.

FINANCIAL FORECAST [SS 2017-046]

Staff Presentation: Acting Budget Officer Kouzmanoff’s presentation included the following topics:

• Basis of Forecasting

• Economic Environment

• Current Year Adjustments

• Forecasted Recurring Revenues Compared to 98.5% Policy

• Recommended Budget Strategy

• Council Direction Sought

Action Recommended: The Administration seeks Council direction to assume the 2017 property tax rate will be equal to the 2016 extended levy rate of 1.3152 (SS 2017-045).

Council Members’ Technical Questions: Council Members’ technical questions included consumer purchase trend issues, on-line ordering, and sales tax collection and distribution; State budget decisions impact on the City’s budget with a 2% administrative fee, and decreasing income tax revenues by 10%, one-time; and income tax form completion and how considered by the State.

(Note: Information on how to view video and audio recordings of the full Council Meeting is provided below.)

Public Input: None

Council General Discussion: None

(Note: Information on how to view video and audio recordings of the full Council Meeting is provided below.)

Poll: Mayor Feinen polled (moving forward with the policies as presented) Alternative One directing staff to prepare the budget for next fiscal year based on a strategy to prepare a balanced budget for FY 18/19 that:

a.) set departmental operating target budgets at the same level as last year

b.) meets the City’s financial policies to budget recurring expenditures at 98.5% of recurring revenues and a minimum 10% unassigned General Fund balance of operating expenditures, not including transfers, and has safeguards to address cyclical and structural fiscal imbalances which maintains a $1.5 million reserve in the General Fund pending State of Illinois budget decision; and implement budget strategies that fund the services prioritized by Council to continue established service levels currently funded on a recurring basis, support current Council goals, and continue high-priority projects in progress. The result of the poll was 9 ayes and 0 nays.

Audience Participation: None

Council Member Comments: None

Adjournment: Council Members previously moved to adjourn to Post-Council Study Session, followed by closed session, followed by adjournment. Mayor Feinen declared the meeting adjourned.

The meeting adjourned at 8:18 p.m.

http://documents.ci.champaign.il.us/v/1oJBTdyYwV3DDFGv_GAUED8WiGG2AiFCf