Village to Vote Tonight on $27M Capital Improvements Plan

The Village Board will vote tonight on a $27 million capital improvements plan it says is necessary for the future of New Lenox. But some residents have publicly voiced concern over the way it would be funded.

The plan includes building a new police station and public works facility, connecting Nelson Road between Illinois Highway and Haven Avenue and completing a 20-year plan for side street repairs. To fund this, the village would increase its sales tax by a 1/2 a cent, bringing the total rate to 8.5 percent, and also increase its utility tax 5 percent on gas and electric.

The board expects to approve the financing during its next meeting, which is at 7 p.m. Monday, Sept. 26, at . There is time for public comment at the meetings.

Previous Coverage

Village Explanation

Last week, the Village Board released a statement on its website to further explain the plans. Read below for the full message:

It is the responsibility of elected leaders to provide a vision for their community. Government has an obligation to provide services to its residents in the most efficient manner possible.

Since this board has been together (May 2007) we have been able to bring in numerous developments despite the recession, provide outstanding services to the residents of New Lenox, and build buildings, all while saving the taxpayers money.

We cannot answer for the State of Illinois or any other taxing bodies. We are confident that we have earned your trust and have put New Lenox in a position to continue to be one the most desirable communities around. We are grateful to represent the people and businesses of New Lenox.

Sincerely,
Mayor Baldermann and the Village Board of Trustees

What are the projects?

• Completing Nelson Road from Illinois Highway to Haven Road.
• Repaving 6 miles of residential side streets per year (starting in 2013) as opposed to the current 1.6 miles per year.
• Building a new Police Department and Public Works Facility, as well as a master plan for a downtown area and future land/capital projects.

How does the average resident realize a net savings? What is the cost to an average resident?

• The increase in gas and electric combined is approximately $110 per year.
• The ½ % Home Rule Sales Tax, which does not apply to groceries or prescription medicine, will cost the average resident approximately $30 per year.
• With Electrical Aggregation (average $174 savings per year) and the elimination of vehicle stickers/pet tags (average savings of $30 per year) the residents will see an average savings of $64 per year. When you factor in the original Home Rule 1 % (average cost to resident of $60 per year)and the property tax rebate (average rebate of $120 per year), you will see that the residents of New Lenox are saving approximately $124 per year more than they were 3 years ago.

Why are we doing this?

Both buildings (Police Department & Public Works Facility) have significant issues (i.e. Police Department has mold and sewer gas smell). Also we can borrow money at a very low interest rate, purchase land at an inexpensive price and pay less for labor now.

If we wait even just a few years, we could be adding millions of dollars in additional financings, land and labor costs for projects that are inevitable. Finally, our residential streets are in dire need of repair.

Does the board need home rule authority to implement the utility tax?

No. In fact, many communities have had these taxes in place for years.

How are township residents affected?

Residents in the township will pay the increased sales tax just as any individual who shops in the village. However, township residents do not pay taxes to the village or buy vehicle stickers, nor are they impacted by the utility tax increase.

Remember, several communities around us are implementing the same taxes because they have a budget deficit. In New Lenox, we have a balanced budget and are moving forward with this program to insure a brighter future for our community.