Erin Smith’s Winter Letter to Lakewood Residents

Here’s the winter letter to Lakewood residents from Village President Erin Smith:

Erin Smith

Erin Smith

From the President

Dear Neighbors:

On behalf of the Board of Trustees, we want to extend our very best wishes for a joyous holiday season to each of you and your families.

There are a number of issues and projects which merit mention, and these are summarized below:

Economic Development

As I have stated on numerous occasions, economic development is a priority for both the staff and elected officials. Not only does the addition of businesses provide new and accessible products and services for our residents, but diversification of our tax base is the most significant step we can take toward lowering our property tax rate (still the second lowest municipal rate in McHenry County).

Our newest business, Confetti Gourmet, opened at the end of September and has had great success to date. In addition to offering a variety of cooking classes for both youth and adults, there is a “Gourmet to Go” option that provides a healthy homemade dinner solution for busy families. As a patron of this feature, I am happy to provide a personal testimony! Confetti Gourmet also offers catering and a variety of in store spices and herbs.

I am also pleased to report that Steve Middaugh will be opening an Edward Jones office at Lakewood Commons in March. Steve Middaugh has been a financial advisor since 2002. The Lakewood Commons address for this new location is 8505 Redtail Drive, Suite K and the telephone number is 815-356-5401. Please join me in welcoming Steve and his staff to the Village of Lakewood.

We are also in discussions with a bakery to assume another one of the units at Lakewood Commons. If successful, only two units will remain open at Lakewood Commons. As always, please do not hesitate to contact our Village Manager, Catherine Peterson, with any prospects for commercial development within our community.

We are also experiencing an increase in residential development as three new homes have been built in The Reserves and a number of new homes are also under construction in Woodland Hills. Eight new townhomes are also under construction in The Highlands at RedTail. Several other new homes are under construction on scattered lots throughout the community. We anticipate that the spring will bring numerous building permits for new homes.

On a larger scale, the Board of Trustees has taken the first steps in the creation of a Tax Increment Financing (TIF) District in the area of the Illinois Route 47 and Illinois Route 176 intersections.

The proposed Tax Increment Financing District is in the upper left hand corner of the map.

The proposed Tax Increment Financing District is in the upper left hand corner of the map.

TIF is a program authorized by State Statute that allocates future increases in property taxes from a designated area (or TIF District) to pay for improvements within that area. Normally, property is taxed by several different governmental jurisdictions.

One can see current buildings on this map.

One can see current buildings on this map.

The property taxes levied on a parcel of property are allocated to each district in accordance with its tax rate.

Under TIF, property taxes resulting from increased value due to new development, rehabilitation or improvement, property appreciation, equalization, or rate changes are all allocated to the municipality.

It is another step in the realization of our long term strategic plan for high quality commercial development in this corridor.

A Public Hearing about the proposed TIF District will be held at 7:00 p.m. on January 13, 2015 at Turnberry Country Club. A copy of the TIF Eligibility Study is available on the front page of the Village’s website.

Architectural Review Committee

Pursuant to the direction of the Board of Trustees, a group of residents was called together to serve as the Architectural Review Task Force. The group consisted of an architect, a builder, a trustee, and a staff member.

Meeting over the course of the past few months, the Architectural Review Task Force was asked to review and analyze our existing architectural review process and identify areas of improvement. Their efforts resulted in two primary recommendations. The first was to incorporate architectural guidelines throughout the Municipal Code into a single location, which resulted in the creation of a new chapter of the Municipal Code – Chapter 36 Architectural Review Process. The second recommendation was to dissolve the Architectural Review Committee and replace it with a Village Architect, who has been serving as the Chairman of the Architectural Review Committee for many years. A summary of some of the more significant changes regarding building design and materials are listed below:

  • Consistent, but not redundant message requiring continuity of design and detail, as well as the harmonious use of materials. While vertical termination is still prohibited at an outside corner, the Village will now allow for an 18” wrap of the masonry material.
  • A run of an exterior wall greater than 36’ will require a visual break.
  • Variations to the required 7/12 roof pitch will be allowed, provided the pitch is consistent with the architectural design of the project.
  • “Bubble” type skylights may be considered.
  • There are no minimum R-value requirements for windows, which allows the existing Energy Code to appropriately establish minimum standards. Windows must be aluminum or vinyl clad wood or fiberglass composition.
  • Exterior mechanical requires screening.
  • Ornamental lights do not need to be “carriage” lights and the type of bulb is no longer regulated. Colored bulbs remain prohibited.
  • Treated engineered wood is an acceptable exterior finish.
  • Standing seam metal is an acceptable roofing material. Roofing must have a minimum wind resistance of 110 miles per hour.
  • Fences and pools will be subject to the standard building permit review but will no longer require architectural review.

Our sincere thanks are extended to Trustee Carl Davis, resident/architect Pat Harris, resident/builder Keith DuShane, and Deputy Village Manager Shannon Andrews for their efforts to streamline our process while upholding our high architectural standards.

Building Department Updates

We are happy to announce that the Village has hired a new part-time Building Inspector, Brian Fragassi. Brian comes to the Village with a solid background, including municipal inspection experience and multiple certifications. He will be splitting his time between working mornings and afternoons to accommodate a variety of inspection needs.

Welcome Brian!

East Side Sewer

I am pleased to report that we have successfully reached an Interim Agreement with the City of Crystal Lake until the installation of the new sewer mains on the East Side.

The eastern part of Lakewood (mainly Country Club Additions) where Crystal Lake proposes to increase sewage treatment rates by enough to make it economically feasible to sent its sewage to Lakewood's plant.

The eastern part of Lakewood (mainly Country Club Additions) where Crystal Lake proposes to increase sewage treatment rates by enough to make it economically feasible to sent its sewage to Lakewood’s plant.

We are actively working with the Illinois Environmental Protection Agency (IEPA) for final engineering approval of the project and to secure a low interest loan. Our goal continues to be to bid the project in the winter and begin work as soon as weather permits. Thank you to the residents who were able to attend the public presentation about the project on October 14. As a reminder, a report about the East Sewer project is available on the front page of the Village of Lakewood’s website.

Roadways

The summer of 2014 included one the largest roadway programs ever undertaken by the Village of Lakewood, and the program for the summer of 2015 will be even more significant. The entire length of Lakewood Road will be repaved from Haligus Road to Ackman Road, with the addition of bicycle lanes. Lake Avenue will be repaved from Huntley Road to our western corporate limits. As a reminder, 80% of this cost will be paid for with grant funds.

Additionally, I am pleased to report that the Village has recently secured another roadway grant. This specific grant will pay for the repaving of Lake Avenue from our eastern corporate limits to Huntley Road. The total cost is expected to be $850,016 and the reimbursement will be $648,013.

As always, please do not hesitate to contact me with questions regarding any Village related matter.

Sincerely,

Erin
Village President


Comments

Erin Smith’s Winter Letter to Lakewood Residents — 5 Comments

  1. 1. TIF districts raise taxes for all homes and businesses in McHenry County, as for 23 years the natural impact of inflation creates a pool of tax money which will be diverted away from schools and County and fire protection.

    Other citizens will have to make up the difference and subsidize the funding of the schools. County, and fire protection.

    The TIF money can be given away to whomever the municipal director chooses.

    2. That corner of land has long been coveted by power plant builders. Lakewood residents please pay attention to agenda items at public meetings, as this may become Oakwood Hills Part II.

  2. rE: “As I have stated on numerous occasions, economic development is a priority for both the staff and elected officials. Not only does the addition of businesses provide new and accessible products and services for our residents, but diversification of our tax base is the most significant step we can take toward lowering our property tax rate (still the second lowest municipal rate in McHenry County).”

    Development is a Ponzi scheme!

    Development NEVER ‘pays its way’.

    To fund development, you always need more development.

    End result?

    Chicago, which would be bankrupt if the collar counties did not pay for road maintenance, public transit and education within the boundaries of Chicago.

  3. I was initially disturbed by the language “in discussions with a bakery to assume another one of the units at Lakewood Commons”.

    Why, I thought, is our local municipal government in the middle of this type of transaction?

    So I contacted the Village.

    I was told “discussions” just meant assuring a potential new business that the getting the necessary permits would be a streamlined and straightforward process.

    No tax incentives were offered.

    That, in my mind, is the extent to which governments should be involved in “economic development.”

    =====================================================

    As for the TIF district, I am generally against them.

    The law has been abused severely.

    It was originally for “blighted” areas, but the definition of that term has been stretched to mean anything municipal officials want.

    And Illinois has the worst TIF law in the nation because it permits a municipality to seize the taxes that would have gone to other local governments, including the schools.

    Having said that, it is my understanding that the other local units of government were asked for their input and either declined or agreed.

    If so, I have much less of an objection.

    If the TIF revenues are used for standard municipal improvements, such as extending water or sewer or highway access, I’m fine with it.

    If for more extensive purposes, I would have my doubts about it.

  4. My logic:

    A: If TIF’s are administered “bad”, they reward collusive insiders at the expense of ALL citizen taxpayers.

    B: If TIFs are administered “good”, they are supposed to benefit the TIF District by salvaging an otherwise blighted community, and return net benefit to ALL citizen taxpayers.

    Let’s look at Case B (TIFs administered “good”):

    Over at least 23 years, general inflation will tend to make assessed values rise, thus creating the incremental funding for the TIF, which is simply money that would fund schools and other tax-taking entities being diverted and which must be replaced by ALL taxpayers.

    The incremental funding money from the TIF will be awarded by the municipal ruler empowered to grant those monies as she sees fit without much regulatory oversight.

    The premise under analysis is:

    1. The economic benefit to all outweighs the negative to all?

    (Will ALL taxpayers wind up subsidizing developers and possibly a power plant, for 23 years, and even possibly creating more tax burden BECAUSE OF this new development (i.e. schoolchildren whose over-$20,000-per-year-cost must be borne by all taxpayers… but the tax money paid by the schoolchildren’s household accrues to favored developers and recipients of TIF money grants from Municipal Ruler?)

    2. The money diverted from schools (et. al.) will be granted to those chosen by Municipal Rulers in optimal ways to maximize chances that the TIF District economic growth will benefit ALL taxpayers?

    (The Rulers who get to favor their chosen recipients of grants from TIF funds will be under considerable pressure to hold fair and open bidding on projects within this TIF District, or face suspicion of collusion.

    What criteria will be applied when deciding exactly what project is to be awarded free TIF money, and how many hundreds of thousands or millions of dollars they get?)

    3. Presumably by the very definition of TIF, all areas which are NOT recipients of TIF money are already, or will become, blighted.

    Can this TIF justify its own existence under the standards that if EVERYBODY formed a TIF District, and NO incremental tax-assessment-increase money were available to schools, fire protection, police, and county services over the next (at least) 23 years, there would be a net benefit to ALL taxpayers affected?

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