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G-686 - 10/09/2001 - TAX - Ordinances Supporting DocumentsVILLAGE OF OAK BROOK Village Board Transmittal Memorandum '�7 W DATE: October 4, 2001 SUBJECT: Tax Rate Increases FROM: Darrell Langlois, Finance Director O�V"' RECOMMENDATION: I. That the Village Board approve the attached ordinance which increases the Municipal Telecommunications Tax imposed under Chapter 3, Title 5 of the Village Code of the Village of Oak Brook from 3% to 5 %. 2. That the Village Board approve the attached ordinance which increases the Municipal Utility Tax imposed under Chapter 1, Title 5 of the Village Code of the Village of Oak Brook from 3% to 4% and extends the "sunset" provision by one year to December 31, 2002. 3. That the Village Board approve the attached ordinance which increases the Municipal Electricity Tax for each of ten rate tiers imposed under Chapter 4, Title 5 of the Village Code of the Village of Oak Brook by 33.3% in order to generate an amount that approximates 4% of gross receipts. Pursuant to the recent discussions regarding the 2002 -2006 Five -Year Financial Plan, attached are three ordinances which put in place the revenue enhancement required under Option B -3. The revised rates have been made effective as of November 1, 2001 (the earliest date we could reasonably expect the utilities to implement the changes). As a reminder, the telecommunication tax increase of 2% will be deposited in the General Corporate Fund and the equivalent 1% increase in the utility tax and electricity tax will be deposited in the Equipment Replacement in order to fund the General Corporate Fund and Infrastructure Fund share of equipment replacement charges. Please let me know if you have any comments of questions. elecutelecomtaxincrease doc S. B. 3) ORDINANCE 2001- TX -UT -G -685 AN ORDNANCE FURTHER ORD #01- TX -UT -G- AMENDING ORDNANCE G -470 UT ILITY "AN ORDINANCE T G--370 UTILITY TAX ESTABLISHNG A UTILITY TAX WITHN THE VILLAGE OF OAK BROOK, DUPAGE AND COOK COUNTIES, ILLINOIS" Manager Veitch stated that based on the vote related to the Five -Year Plan, the tax rate reflected in this Ordinance would be revised from 4% to 5% (increasing from 3 %). Motion by Trustee Savino, seconded by Trustee Butler, to approve Ordinance 2001- TX -UT -G -685 "An Ordinance Further Amending Ordinance G -470, An Ordinance Establishing a Utility Tax Within the Village of Oak Brook, Du Page and Cook Counties, Illinois ", which increases the Municipal Utility Tax imposed under Chapter 1, Title 5 of the Village Code of the Village of Oak Brook from 3% to 5% and extends the "sunset" provision by one year to December 31, 2002 as amended and waive the full reading thereof. ROLL CALL VOTE: Ayes: 4 — President Bushy, Trustees Butler, Caleel and Savino. Nays: 2 - Trustees Craig and Korin. Absent: 1 - Trustee Miologos. Motion carried. President Bushy voted because there was not a clear majority. 4) ORDINANCE 2001- TX -UT -G -686 AN ORDINANCE AMENDING CHAPTER 4 OF TITLE 5 OF THE VILLAGE CODE OF THE VILLAGE OF OAK BROOK ESTABLISHING AN ELECTRICITY TAX WITHIN THE VILLAGE OF OAK BROOK DUPAGE AND COOK COUNTIES, ILLNOIS Manager Veitch stated that based on the vote related to the Five -Year Plan, the rate of the increase in this Ordinance would be revised from the equivalent of 4% of gross receipts to 5% of gross receipts (increased from 3 %). Motion by Trustee Savino, seconded by Trustee Butler, to approve Ordinance 2001- TX- UT -G -6S6 "An Ordinance Amending Chapter 4 op of Title 5 of the Village Code of the Village of Oak Brook Establishing an Electricity Tax Within the Village of Oak Brook, DuPage and Cook Counties, Illinois ", which increases the Municipal Electricity Tax for each of ten rate tiers imposed under Chapter 4, Title 5 of the Village Code of the Village of Oak Brook by 33.3% in order to generate an amount that approximates 5% of gross receipts as aniended and waive the full reading thereof. VILLAGE OF OAK BROOK Minutes Page 11 of 19 October 9, 2001 �6 ORD #0I - TX -UT -G- 686 ANIND CHAP -t TITLE 5 S. B. 4) ROLL CALL VOTE: Ayes: 4 - President Bushy, Trustees Butler, Caleel and Savino Nays: 2 - Trustees Craig and Korin. Absent: 1 - Trustee Miologos. Motion carved. ` President Bushy voted because there was not a clear majority. Trustee Caleel asked to review the finances in April to see what the proposed federal economic incentives might do to change our projections. He felt that if there was an upturn in the economy at that time, the Board could look at hiring of public safety personnel because if any further attacks occurred people would be looking for public safety personnel. 5) RESOLUTION 2001- AG -WA -EX 1 -R -789 A RESOLUTION APPROVING AND AUTHORIZING THE EXECUTION OF AN INTERGOVERNMENTAL AGREEMENT AMONG THE CITY OF OAKBROOK TERRACE, THE VILLAGE OF OAK BROOK AND HARP OAKBROOK TERRACE, L.L.C. FOR LAKE MICHIGAN WATER THROUGH A SECOND INTERCOM 1 CTION Oakbrook Terrace is constructing a second DuPage Water Commission connection on Butterfield Road near the Lincoln site, which will ultimately serve Lincoln and other future Oakbrook Terrace customers in the western portion of the City, including Staybridge. The temporary service arrangement involves connecting the new Oakbrook Terrace mains built to serve the area to the Oak Brook system at Trans Am Plaza Drive (using a standard emergency interconnection configuration) and serving the subject properties through that second interconnection for a period of time. Technically, the water is sold by the DuPage Water Commission to Oakbrook Terrace and resold to the customers at Oakbrook Terrace's rates. The Oak Brook system is merely a temporary conduit for delivery. The arrangement also provides for delivery to the Oak Brook system of additional water, should Oak Brook need it in order to avoid impact on Oak Brook customers, through the first interconnection, located on Midwest Road. Oakbrook Terrace is obligated to deliver such water, if requested, in an amount at least equal to that taken by Lincoln and Staybridge. The second interconnection has been constructed at no cost to the Village and will continue to exist after the temporary service arrangement ceases. VILLAGE OF OAK BROOK Minutes Page 12 of 19 October 9, 2001 RES MO1 - AG -WA- EX I -R -789 INTGVN AGREE - WATER - OKBRK TERR GE OF 044,e 0 o _y G r �UNTI VILLAGE OF OAK BROOK 1200 OAK BROOK ROAD OAK BROOK, ILLINOIS 60523 -2255 PHONE- 630 990 -3000 October 10, 2001 FAX 6 3 0 9 9 0 - 0 8 7 6 W E B S I T E wwiv oak-brook org STERLING CODIFIERS, INC. 7600 Mineral Drive, Suite 200 Coeur d'Alene, ID 83814 Attn. Robertson S. Rollins, General Manager Dear Rob: The Village Board, at their meeting of Tuesday, October 9, 2001, passed and approved: ORDINANCE 2001 -TX- TELCOM -G -684, AN ORDINANCE FURTHER AMENDING ORDINANCE G -645. "AN ORDINANCE IMPOSING A MUNICIPAL TELECOMMUNICATION TAX WITHIN THE VILLAGE OF OAK BROOK, DU PAGE AND COOK COUNTIES, IL" ORDINANCE 2001- TX -UT -G -685. AN ORDINANCE FURTHER AMENDING ORDINANCE G-470 "AN ORDINANCE ESTABLISHING A UTILITY TAX WITHIN THE VILLAGE OF OAK BROOK DU PAGE AND COOK COUNTIES. ILLINOIa" Mw7 kyj 14 WWATUCI o L�111 /�1� \�1��IUL!!\ L�J� � ►���1� I��� �� �i1�I � � ��L��Z� &071 '► i060► The above ordinances are being forwardedto you for inclusion in the Village Code of the Village of Oak Brook. I would appreciate your acknowledging receipt of this ordinance Sincerely, IN �� 2t izk , Richard A Martens Village Attorney RAM.sps Enclosures