City Council OKs increased levy

Oak Forest hike could result in higher tax bills next year for city residents

Property tax bills in Oak Forest could be going up next year after the City Council approved an increased tax levy for the upcoming fiscal year.

Aldermen voted unanimously in favor of the measure in which Oak Forest city government will ask for $10.895 million from property taxes charged to local residents during the fiscal year running from May 1 to April 30, 2020.

City Finance Director Colleen Julian said the tax levy for the upcoming fiscal year is 6.67 percent higher than the current year. The city is expecting local property owners to pay $681,000 more toward the municipal budget.

While the Cook County assessor’s office ultimately sets individual property tax bills, Julian said city officials believe local homeowners will be asked to pay an additional $75 as a result of the increased levy.

“We’re trying to control our costs, but we have some costs that inevitably are going to increase,” she said.

Pension contributions by the city were $208,000 higher — a 7.34 percent increase. While municipal salaries increased 2.5 percent by $250,000 for the city’s 124 full-time employees.

Julian said those costs were offset a bit as the cost of health insurance for those employees decreased by 4.9 percent, a savings of $113,000.

The council also voted unanimously in favor of several measures calling for abatements of funds from several of the city’s tax increment finance districts.

One measure involves more than $1 million generated from a TIF district centered on the one-time Eagle supermarket that has since become a Food 4 Less grocery store at 5556 159th St.

The surplus from that TIF district will be transferred to pay off debt service existing in other TIF districts.

Julian said similar transfers are likely to take place next year as well, but that the financial maneuvers will result in financial savings for city government within the next five years.

In other business, the City Council approved a design review permit for the Heidner Properties strip mall at 5201-11 159th St.

Economic and Community Development Director Travis Bandstra said the permit is for a facade renovation for the strip mall, which includes an American Mufflers shop and a currency exchange, and has plans for a cafe under construction that is scheduled to open in the spring of 2019.

There also will be a new ground sign design plan, which the City Council is expected to give final approval to when the council meets either Jan. 8 or 22.