DANVILLE — A variety of ideas were thrown out at Tuesday’s city council meeting as possible ways to get the city through the next tax levy/budget season with a little surplus left.
Many aldermen still want to see more cuts to get the city toward its needed $1.7 million to balance the 2010-2011 budget.
Ward 7 Alderman Ron Candido suggested eliminating the parks and public development budgets to save about $1.9 million. He said the city could add back portions of those budgets as the economy improved.
But the parks budget also includes costs for city hall, the fire stations and other city-owned properties.
Candido also suggested looking at eliminating the Tax Increment Financing districts. He said this would increase the equalized assessed valuation by $4.1 million.
Other aldermen also questioned what would then be done with the parks land and where would events such as Arts in the Park take place?
“I think our management is top heavy,” said Ward 5 Alderman Jerry Askren.
He suggested looking at a city manager position by combining other director positions; creating a fire chief position out of three assistant fire chief positions; and re-creating a police chief position by combining the director of public safety and deputy director of police positions.
Mayor Scott Eisenhauer also presented aldermen with different tax levy/budget scenarios that included: a 1 percent sales tax increase, rental registration fee increase, reducing parks auxiliary and seasonal employees by $75,000, reducing materials to maintain streets by $100,000 and materials to maintain buildings by $25,000, reducing maintenance of buildings by $25,000, reducing other expenditures back to fiscal year 2009-2010 budget level and implementing $35 per month contribution toward health insurance for non-union single employees with no dependents.
Other scenarios showed a 4 percent utility tax only on natural gas and a reduction in the food and beverage tax from 2 percent to .5 percent. Each option had different amounts earmarked for the general fund reserve and infrastructure fund (for the Fairchild Subway, etc).
The options also would result in no additional increases in revenues over the next three years, and ensure that the city will still be able to offer the same quality services.
Other property tax scenarios showed the city’s tax rate increasing from $1.88 to possibly $2.04 or $2.02 per $100 of equalized assessed valuation, depending on no EAV change or a slight increase.
On a home valued at $90,000, this would mean about a $41 to $49 annual increase in the city property tax portion of a resident’s bill.
Eisenhauer said aldermen have “lost their minds” if they think more “secretaries” can be cut without severely impacting services.
Several aldermen have said they favor increasing the rental registration fee. Some also favor a utility tax and/or sales tax.
Another popular suggestion Eisenhauer mentioned he received from a resident was that residents pay a fair share/flat fee each year to abate the unfunded police and fire pension costs from years past. This next year, it would amount to about $22 a month for every one of the 12,252 sewer customers, Eisenhauer said. This then would lower the city property tax rate from $1.88 to $1.19 per $100 EAV.
The city council also heard from landlord Aaron Troglia, who is opposed to the proposed $10 to $100 registration fee increase, and resident Robert Black who wants to see recycling in the city continue. He suggested the county’s now closed Main Street recycling site be fenced in and persons pay about $1 a car load to pay for the service.
Also Tuesday, the council approved:
-- A $189,965 contract with River City Demolition of Peoria to demolish the former AT&T; Building, 25 N. Walnut St., and the top level of the parking deck, 130 N. Walnut Street.
Demolition work will start later this month, and must conclude by the end of January. Road closures are expected to be minimal. Funding comes from the city’s 2007 and 2009 bond issues.
-- A $105,300 roofing replacement contract for Danville Stadium with Craftmasters, Inc. of Decatur. Funding comes from a $59,000 state grant and capital funding.
-- Taking over ownership of the property, formerly partially owned by Renaissance Danville, at 103-107 N. Gilbert St. The city is paying Gilbert H. Saikley $16,666 out of the city’s telecommunications tax funding to acquire Saikley’s one-third interest of the property, north of the gas station at North and Gilbert Streets.
-- Authorizing an agreement for reinsurance coverage and retention of self-insurance plan administrator; and an agreement extension for the flexible spending program.
-- Reappointing Art Wolfinbarger to the Public Building Commission.
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