Sunday, October 30, 2005
Special Service Area Assessments Not Even Considered for Financing Crystal Lake TIF District Area Improvements
The City of Crystal Lake has not even considered imposing special property taxes on the businesses who are supposed to benefit most by the two Tax Increment Financing Districts it has proposed.
Instead of taxing those businesses that will benefit from the TIF districts, the city proposes taxing everyone else in McHenry County. A hearing will be held in the City Council Chambers at 7:30, Tuesday, Nov. 1st. Anyone in McHenry County may testify.
At Friday’s Tax Increment Financing Joint Review Board meeting, the outside consultant Les Brown, President of Teska and Associates, was asked if a study had been performed to see if Special Service Area Assessments could have financed the improvements sought at Vulcan Lakes and along Main Street.
The answer was, “No.”
The 1970 state constitution specifically allowed for Special Service Area Assessments.
What are they?
Think of them as a mini-special tax districts.
When a specific benefit is needed for an area, the city council can enact a special tax for those who will benefit from the improvement.
In explaining the Vulcan Lakes project on Route 14, Brown described the envisioned development will contain commercial, recreational, and residential elements “that would have a water access benefit.” Such redevelopment would be “reoriented to the lakes” from the current orientation to Route 14.
Michelle Rentzch, Planning and Economic Development Director for Crystal Lake, added that “high-end retail” was expected. In addition, half-million two-bedroom condos are proposed.
From this description, it would seem that a Special Service Area Assessment would be a perfect compromise. Those most benefiting from the improvements would be able to pay for it. Those least benefiting from the redevelopment, homeowners and businesses outside of the TIF district would pay nothing.
But, Rentzsch downgraded the idea.
“The majority of the property owners might not agree,” Michelle Rentzsch, Planning and Economic Development Director, commented. “Nor maybe does it make sense,” she continued. (In an SSA, the majority of the property owners within the area must approve of the addition property tax.)
“Then, maybe it shouldn’t be done,” Cal Skinner replied.
Likewise, the Main Street proposal’s benefits would accrue to the property owners in the proposed TIF district.
There is nothing like specific the entertainment district that the City talks about creating on Route 14. All the public can expect to see soon is a “streetscape” similar to that in Downtown Crystal Lake.
Here's where the rest of the story was originally posted.
Instead of taxing those businesses that will benefit from the TIF districts, the city proposes taxing everyone else in McHenry County. A hearing will be held in the City Council Chambers at 7:30, Tuesday, Nov. 1st. Anyone in McHenry County may testify.
At Friday’s Tax Increment Financing Joint Review Board meeting, the outside consultant Les Brown, President of Teska and Associates, was asked if a study had been performed to see if Special Service Area Assessments could have financed the improvements sought at Vulcan Lakes and along Main Street.
The answer was, “No.”
The 1970 state constitution specifically allowed for Special Service Area Assessments.
What are they?
Think of them as a mini-special tax districts.
When a specific benefit is needed for an area, the city council can enact a special tax for those who will benefit from the improvement.
In explaining the Vulcan Lakes project on Route 14, Brown described the envisioned development will contain commercial, recreational, and residential elements “that would have a water access benefit.” Such redevelopment would be “reoriented to the lakes” from the current orientation to Route 14.
Michelle Rentzch, Planning and Economic Development Director for Crystal Lake, added that “high-end retail” was expected. In addition, half-million two-bedroom condos are proposed.
From this description, it would seem that a Special Service Area Assessment would be a perfect compromise. Those most benefiting from the improvements would be able to pay for it. Those least benefiting from the redevelopment, homeowners and businesses outside of the TIF district would pay nothing.
But, Rentzsch downgraded the idea.
“The majority of the property owners might not agree,” Michelle Rentzsch, Planning and Economic Development Director, commented. “Nor maybe does it make sense,” she continued. (In an SSA, the majority of the property owners within the area must approve of the addition property tax.)
“Then, maybe it shouldn’t be done,” Cal Skinner replied.
Likewise, the Main Street proposal’s benefits would accrue to the property owners in the proposed TIF district.
There is nothing like specific the entertainment district that the City talks about creating on Route 14. All the public can expect to see soon is a “streetscape” similar to that in Downtown Crystal Lake.
Here's where the rest of the story was originally posted.
Labels: 1970 Illinois Constitution, Cal Skinner, Crystal Lake, Les Brown, Main Street TIF, Michelle Rentzsch, Special Area Assessment, SSA, Streetscape, Teska and Associates, TIF, Vulcan Lakes
