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Adopted FY13 Budget Reduces Tax Levy for 2nd Straight Year

In a unanimous vote, the Downers Grove Village Council adopted the FY13 Municipal Budget at their meeting on November 13, 2012. The FY13 Municipal Budget implements the Stormwater Utility in a manner consistent with the Village Council's approval of the program earlier this year; includes a reduction in the Village's property tax levy, the second reduction in as many years;  presents a balanced General Fund budget (revenues equal to expenses); and allows for the continued investment in needed infrastructure improvements in a sustainable manner.  As a result, the Village is well posistioned for continued financial health.  The key components of the budget include:

  • Implementation of the Stormwater Utility
  • A $1.98 million reduction of the property tax levy - the second reduction in as many years.
  • A balanced General Fund with revenues and expenses of $41.6 million
  • Continued investment in needed infrastructure improvements in a sustainable manner.

Implementation of the Stormwater Utility

The FY13 Budget implements the Stormwater Utility in a manner consistent with the Village Council's approval of the program on August 21, 2012. In January 2013, the Village will implement a monthly stormwater fee that will be charged to all property owners. Revenues generated by the fee will be allocated to all costs of owning, operating and maintaining the stormwater infrastructure system, which consists of:

  • Approximately 7,000 drainage structures
  • 315 stormwater detention facilities
  • 130 miles of storm sewer pipes
  • 12 miles of streams
  • 140 miles of roadway ditches
  • 47,000 feet of culverts.

Costs for the stormwater system are currently funded primarily through property taxes. Shifting the source of funding to a utility/fee based system will result in a reduction in the property tax levy by approximately $2.47 million.

 

How Will the Stormwater Utility Affect My Property?

Residents and business operators who would like to know how the stormwater utility affects their property may email their property address to swutility@downers.us. The Village will provide them with the annual stormwater fees and the reduction in their property tax bill.

Reduction of the Property Tax Levy

The total Property Tax Levy is proposed to decline by nearly $1.98 million, compared to the FY12 levy - a reduction of 15.2%. The reduction is due to the shift in funding for the Stormwater Fund from primarily property taxes to stormwater fees. The levy for all stormwater related activities including operations, maintenance, capital projects and debt service payments on the 2008 Stormwater bonds has been removed from the tax levy, reducing the levy by $2.47 million [the combination of the reductions in the Corporate ($815,202) and Capital ($1,658,615)components of the tax bill.].

The levy for police and fire pensions are proposed to increase by $497,285, or 13.5%. Pursuant to state law, the Village is required to levy these amounts to make sure the pension funds are funded according to minimum state requirements and per the results of actuarial studies.

It is important to note that the Village portion of the tax bill is generally about 10% of the total tax bill.

Understanding Your Property Tax Bill

Property tax bills are comprised of many taxing bodies. The Village's portion accounts for only about 10% of the total tax bill. Click on tax bill presentation to learn more about your bill.

Balanced General Fund

The General Fund is the main operating fund of the Village and includes the majority of Village services. The General Fund proposed budget is balanced with revenues and expenses of $41.6 million.

The FY13 Budget is the fourth annual budget prepared per the recommendations of the Long Range Financial Plan (LRFP) and includes a specific action plan for the 2013 General Fund Budget.

Continued Infrastructure Investment

Sustainable funding for the Village's infrastructure systems was the primary focus of the FY13 LRFP meetings. The FY13 Budget provides funding of $27.24 million for continued investment in the Village's infrastructure, including:  

  • $14.51 million investment in the street system
  • $6.37 million investment in the water system
  • $2.68 million investment in the stormwater system
  • $1.24 million investement in the sidewalk system