Arlington Heights village trustees passed a $205 million budget earlier this month, along with a tax levy that marks the fourth consecutive year of no increase in the amount the village asks of taxpayers.
The fiscal year 2023 budget includes a 2.8% increase, or $5.6 million, in spending versus the current year’s budget. Despite that increase in expenditures, the village was able to maintain its current tax levy, village officials said, due to a 27% increase in sales and home rule sales tax revenue and a 35% increase in income tax receipts over the 2022 budget — in addition to pension fund interest earnings.
The Village Board approved the village’s and the Arlington Heights Memorial Library’s $18 million budget at the Dec. 5 meeting on a vote of 9-0 after a public hearing.
The village’s fiscal year runs Jan. 1 through Dec. 31.
“Despite the volatility of the stock market, the national economy, rising costs and supply chain issues, this will be the fourth year where there will be no increase in the village’s property tax levy,” Village Manager Randy Recklaus told the board.
In the FY23 spending plan, the village budgeted $5.6 million in the capital projects fund to continue resurfacing and rehabilitation of deteriorated streets and curbs in the village, $2.76 million for the Wilke Road resurfacing and extension of the multi-use path on the east side of Wilke Road from Algonquin Road to Sunset Meadows.
An additional $4.1 million in the water and sewer fund will continue the village’s replacement of aging water main infrastructure throughout the village. The budget also includes plans for storm sewer improvements on Evergreen and Maude avenues, $500,000 in storm sewer rehabilitation/replacement program as well as $300,000 in backyard drainage improvements, according to the budget document.
At the end of 2023, the village is projecting a general fund reserve balance of $46 million, or 54% of general fund expenditures.
Resident Martin Bauer spoke during the public hearing, stating his concerns about property taxes, particularly when he compared his 2021 tax bill with his 2001 tax bill.
“Cost of living has gone up 60% and by comparison, my property tax has gone up 91%,” Bauer said, adding the village’s portion of his tax bill went from $505 in 2001 to $1,446 in 2021, which he said, “highlights the continued need to be careful.”
Mayor Tom Hayes said the board has demonstrated with the fourth year of a 0% tax levy increase that the village is very fiscally responsible and spends taxpayers’ dollars very wisely.
Trustee Jim Bertucci emphasized that the village’s portion of a residential tax bill is 12%, while area school districts comprise 67% of property tax bills and typically the largest increases.
State mandates for increases in police and fire personnel benefits, as well as fire pension benefits, Trustee John Scaletta said, were the reasons why there was a 12% increase in 2006 and a 15% increase in 2007.
Trustee Robin LaBedz said it’s important to recognize what village property taxes pay for.
“We get terrific police, fire, public works and other support that makes Arlington Heights the best of the best,” LaBedz said. “We can’t just talk about property taxes, we get these services and I think we have a lot to be proud of.”
Resident Keith Moens commended the board.
“I want to recognize the board of trustees and the staff’s effort for bringing a fourth straight year of a 0% tax levy increase,” Moens said. “That is a big deal especially for those households below median income line.
“Not only is the 0% increase the best shop local program, it’s the best marketing program for Arlington Heights as well and attracts businesses and residents to come here because we can say we have our financial house in order,” Moens said. “Please don’t jeopardize our zeros going forward here by giving money to the loser Bears, they don’t need our piggy bank for any subsidies.”
The Chicago Bears football team signed a purchase agreement for Arlington International Racecourse in Arlington Heights in September. The sale has not yet been finalized. A new stadium and multi-use development have been proposed for the site.
The budget also included a increase in the village manager’s salary. The Village Board approved a 7% salary bump for Recklaus, who will now be paid $263,272.
“On Nov. 21, we thoroughly discussed his performance over the last year, and in recognition of his outstanding performance of duty, particularly the last year and over the course of eight years as village manager, the Village Board decided unanimously, and voted, to increase his compensation by raising his base salary by 7%,” the mayor said. “His financial management, budgetary management, his management of the COVID-19 pandemic for our village staff, and leadership of the village and his leadership in terms of the Arlington Park redevelopment has been critical.”
Elizabeth Owens-Schiele is a freelancer.
