Homewood residents will have a chance Tuesday to ask questions and make comments about a new tax increment financing district slated to replace a failed TIF district along 175th Street.
The village board of trustess will hold a public hearing on the proposed Northeast TIF district at its regular 7:30 p.m. meeting.
TIF is a method of creating a funding source to support economic development projects, including business and infrastructure improvements. The equalized assessed valuation for properties in the district is frozen when the TIF is created. Taxing agencies receive revenue at that base level for the 23-year life of the TIF. As the EAV increases in the district, revenue above the base valuation goes into the district fund. At the end of the TIF’s life, the taxing agencies begin receiving revenue based on the increased EAV.
Assessed value is a percentage of a property’s market value as determined by the county assessor. Equalized assessed value is an additional process intended to make assessed values more fair and consistent across geographic areas, according to a page at illinois-attorneys.com.
The current TIF along 175th Street is not generating revenue for the economic development fund because the EAV of the district has dropped significantly, going from $12.7 million in 2011 to 8.2 million in 2013. A TIF district depends on EAV rising above the base level to generate revenue for the fund.
The Joint Review Board met Thursday, June 4, and approved the village of Homewood’s plan to create a new tax increment financing (TIF) district along 175th Street west of Halsted Street.
At the JRB meeting, Robert Rychlicki, executive vice president of Kane, McKenna and Associates said he believed the property value in the district had hit bottom and could begin to rebound, making the new TIF more effective. Kane, McKenna and Associates was hired by the village last year to help develop the new TIF district.
The joint review board consists of representatives from taxing agencies that would be affected by freezing the equalized assessed valuation in the proposed TIF district.
The board included Ron Adams, at large; Robert Charnot, Thornton High School District 205; Amy Crump, Homewood Public Library; John Daly, South Suburban College and Thornton Township; Neisha Holmes, Cook County; Debbie Kopas, Homewood-Flossmoor Park District; Jim Marino, village of Homewood; Tom Saban, Prairie State College; and Nicole Terrell-Smith, Hazel Crest School District 152 1/2. Village Attorney Chris Cummings was also present.
The vote was 7 to 2 in favor of the proposal, with Crump and Kopas casting “no” votes.
Trustees will not take action Tuesday on the proposed new TIF district but will consider an ordinance July 28 to retire the current district and form the new one.
In other business, the board will:
- Welcome new Economic Development Director Tom Vander Woude
- Honor Jason Presnak for 20 years service to the Homewood Fire Department*
- Consider a contract with Southwest Town Mechanical to replace a 20-ton roof-top heating unit for the Public Works Department garage at 17755 Ashland Ave.
- Consider the final easement between the village and Izaak Walton Preserve for the 60-inch storm sewer pipe installed in 1999
- Consider a change to the liquor license ordinance to allow holders of class 4a and class 8 licenses to serve alcohol, not limited to wine, from 10 a.m. to noon on Sundays
- Consider an amendment to a lease with AT&T for locating equipment at the Brian Carey Training Center at 1023 W. 191st St.
- Consider a request by Mack Companies to support a reinstatement of Class 8 property tax abatement for properties at 17759 to 17859 Bretz Dr.
- Consider a motion to approve the appointments of Patricia Skermont-Pohrte to the Appearance Commission and Craig Schmidt to the Economic Development Committee
- Consider a motion to approve the reappointments of Marcia Nicholson, Deneen Sanders, Pamela Lau and Tom Tomaszewski to the Economic Development Committee
- Consider an agreement with Portillo’s Hot Dogs to allow Homewood police to enforce local traffic and parking laws in Portillo’s parking lot at Halsted and 175th streets.
Homewood trustees meet each second and fourth Tuesday at 7:30 p.m. in the board room, lower level of Village Hall, 2020 Chestnut Road.
* Correction: The first version of this story misspelled Mr. Presnak’s name. The Chronicle regrets the error.