Final Parts of Tax Levy Fall Into Place

Village adds debt service on new bond issue to total making effective levy 8.8 percent more than last year.

Pieces of the 2012 property tax levy for the Village and the Deerfield Public Library fell into place at Monday’s Board of Trustees meeting showing an 8.8 percent increase over the 2011 amount.

After acting Finance Director Eric Burk made reductions in the levy requested by Mayor Harriet Rosenthal and the Trustees, the effective number was $9,207,296 after an additional $453,690 was added to pay principal and interest on $9.075 million in bonds sold Monday.

Get local news in a daily email from Patch. It's like getting a free newspaper. Learn more.

Monday’s bond sale was the final piece of the tax levy puzzle which was first presented to the Board at a meeting of the Committee of the Whole Nov. 26. The Board unanimously passed the bond issue Monday after learning the Village would be paying a 1.81963 percent interest rate through December 1, 2031.

“This is it, folks, for the water reclamation plant and the library,” Mayor Harriet Rosenthal said after Burk and Village Manager Kent Street told her and the Board about Monday’s bond sale representing the final financing for those two major projects.

When Burk first presented the real estate tax proposal Nov. 26, Trustee William Seiden pushed for a reduction of all debt service not related to the water treatment plant. That took $1,361,226 off the levy by using a portion of Deerfield’s ample cash reserves.

An additional $26,000 was subtracted in the last week after the Trustees wanted to take the increase of the Village’s portion of the levy—exclusive of the library—below a five percent hike. Debt service from the bond issue brought it back over five percent.

Trustee Alan Farkas asked Burk if the principal and interest payment from the bond sale could come from reserves as well. “Can we absorb that out of the general fund?” he asked. Burk showed reluctance.

“We can absorb the $26,000 but an additional $480,000 is a different task to do,” Burk said of the combined amount of the $26,000 and the payments on the new bonds.

At that point Street explained the philosophy behind using tax dollars rather than reserves to pay for the water treatment plant.

“Our policy has been for the next 20 years those who are going to benefit (from the water treatment plant) should pay for it,” Street said.

Taking money for the facility from reserves would put the burden on people in the Village now rather than those who will benefit during the life of the bonds, according to Burk.

When Burk presented the proposed levy Nov. 26, the amount of debt service from the bonds was unknown with the sale scheduled today.

A complete breakdown and analysis of the proposed levy is available on Deerfield’s website. A final vote is scheduled at the Board’s Dec. 17 meeting.

In other action, the Board unanimously passed the Village’s first composting ordinance easing some of the restrictions suggested at its Nov. 19 meeting by Trustees Mary Oppenheim and Tom Jester.

For more news and updates, "like" us on Facebook or follow us on Twitter.

RB December 04, 2012 at 04:28 PM
"This is it....for the Water plant and library"What about the underpass? The Village spent $700,000 of Village taxpayer money on the underpass (not to mention close to $2million of our Federal Tax dollars). They are proud of absorbing $26,000 but worried about $480,000 which they would not have to collect though a tax increase if they had not wasted our money on the underpass. About the water treatment plant. Street says we must pay for it over the next 20 years...I don't know about others but my water bill has gone up substantially the last few years. Where's that money going? Why raise taxes when they raise the water rates? Fees, rates....now taxes. We're paying for that underpass is what we are paying for. It was unwise to spend taxpayer dollars on such a project in this economy. The Library? Why is that coming into play? We already voted for a library tax increase. How does the library justify this tax levy increase? Wasn't the remodel paid for through the referendum to raise the library tax? Ms. Rosenthal forgets the underpass she wanted so badly.
A concerned DHS Parent December 04, 2012 at 05:39 PM
Ok...The underpass is done and to keep bringing it up is nonsense. If you want to you can always run for office. It's been about two years since the underpass was done and are we going to hear about it for the next ten years. We live in a land that if you don't like it you can always run for office to try and change things.
Bringin' Down Briarwood December 04, 2012 at 11:32 PM
We also live in a land that if you don't like it: a) You can remind most of the people who aren't paying attention about the issues; b) You can vote for another candidate.
Jon Hall December 05, 2012 at 03:39 AM
As for that underpass, did they ever divulge the design defect with the first tunnel insert or what it cost the village beside the delay of several weeks? That this board would play a role in designing anything is scary after tey placed that planter in the middle of Deerfield Road at Maplewood. Scary to think about our lime water treatment plant. What's with the cheesy looking lawn signs advertising Single? DeerfieldDates.com on the SE corner of Robert York and Jewett Park. It's been there for days. I thought we had sign and appearance standards in this village.
SC December 05, 2012 at 11:13 AM
Its off topic but can the company responsible for the Single signs be fined for littering our community?


More »
Got a question? Something on your mind? Talk to your community, directly.
Note Article
Just a short thought to get the word out quickly about anything in your neighborhood.
Share something with your neighbors.What's on your mind?What's on your mind?Make an announcement, speak your mind, or sell somethingPost something
See more »