Wednesday, Nov. 13

 

City sales tax hike
will be back on the ballot

[NOV. 13, 2002]  Voters in the city of Lincoln who turned down the sales tax increase last week will almost certainly see it on the ballot again at the consolidated election on April 1, 2003.

In their work session Tuesday evening, members of the city council agreed to put the one-half of 1 percent retailers’ occupation tax before the voters again as soon as possible. Aldermen said they were disappointed in the more than two-to-one vote against the tax increase: 2,980 no votes to 1,881 yes votes.

"A lot of people voted no because they didn’t understand this," said Steve Fuhrer, a former finance chairman who struggled to cut the budget and find new revenue sources last year.

The economic downturn that has brought historically low interest rates has cut the income the city receives from its investments, and lower sales tax receipts have also taken a toll on the city’s revenue.

The sales tax increase was earmarked for work on the city’s infrastructure, which has come to a halt because of budget constraints.

Fuhrer urged the council to get the tax increase on the ballot April 1 because otherwise they will have to wait until the general election in November of 2004. City attorney Bill Bates confirmed that there were no legal restrictions against putting the proposal on the ballot next spring.

 

Fuhrer said he believed the city didn’t start explaining the need for the tax increase early enough.

"We need to walk our wards and talk to people," he said. When he walked part of his ward before the Nov. 5 election, people who understood the details of the tax increase said they were for it, he said.

He also suggested the council "hold board meetings or town meetings where people can come and ask questions."

Fuhrer also asked if it would be possible to word the question on the ballot to say that there will be no tax increase on vehicles licensed by the state, prescription drugs or food bought for home consumption. He said he believed many voters did not know that.

Verl Prather, present finance chairman, said Lincoln residents need to understand that without some new revenue there will be no more street repair work.

"Wyatt Avenue was the last street project we have done in this city," he said, "and there is no money for more.

"Between now and March [when budget discussions will be under way], be thinking about what we can cut," he told the council. "I don’t know if it will be layoffs or what."

"The next budget is going to be as tough as the last one," city clerk Juanita Josserand said. Last fiscal year, the city spent about $280,000 more than it took in, and to help balance the budget, borrowed money from set-aside funds. That option won’t exist next year, Prather pointed out.

Les Plotner, city treasurer, said the council should let people know exactly what the projected income of about $550,000 from the tax increase will be used for, such as Elm Street repairs and the sewer extension on Campus View Drive.

 

Prather replied that the city has "no shortage of projects" to tell the public about.

In other business, Alderman Glenn Shelton said the council needs to continue discussion of the practice of city police working for organizations and businesses other than the city.

The procedure in the past has been for the city to pay the police officers and the organizations to repay the city. However, this may give the city added liability, and the city must also make additional payments into the pension fund. He suggested that Police Chief Rich Montcalm develop an alternative plan for private businesses — one that does not involve the city.

Such a plan has already been adopted by the Illinois-American Water Company, which hires off-duty police officers for security.

 

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Prather said he agreed the private businesses should not involve the city, but he thought police protection for schools and community projects should be in a different category.

The Lincoln Fire Department has several pieces of equipment it no longer uses and would like to sell or donate to other communities that want them, Fire Chief Bucky Washam told the council. The equipment includes air raid sirens and extrication equipment, all of which is 25 to 30 years old. The city will need a disclaimer of liability before donating or selling these items, and the matter was turned over to the ordinance committee.

Mayor Beth Davis reported that the Logan County Economic Development Council is still looking for a new director. She said some candidates are "concerned" about the small amount of money available for salary and expenses. She said the EDC cannot hire the best candidate within the present salary range.

Both the city and the county have been contributing $25,000 each year to the EDC, and that, with a private contribution of about $6,000, gives the director less than $60,000 in cash for salary and promotion expenses, according to Bobbi Abbott, executive director of the Lincoln/Logan County Chamber of Commerce. The chamber also makes an in-kind contribution in services of $14,000 to the EDC budget, Abbott said.

Several council members said they are not getting enough information about the EDC and the process of hiring the director.

"I wish we and the county board were a little more informed," Prather said. "We don’t get meeting notes or minutes, and we have no input on who they hire. Is there any way the council or the county board can have some input or interview the candidate?"

"We need more communication," Fuhrer agreed.

 

Bates reported that he has had a communication from the Pedcor group, an Indiana firm that plans to develop Brainard Landings, an apartment complex on 21st and State streets. The company wants to subdivide the lot owned for their apartment complex into two lots instead of one, he said. He said the subdivision appears to meet city requirements.

Several council members said they would like to have a member of the firm attend the Nov. 25 meeting and give them an update before approving the subdivision.

Council members also debated the possibility of fighting the water rate increase that Illinois-American Water Company is requesting. The request must be approved by the Illinois Commerce Commission, and the city would have to petition the ICC not to approve the rate hike.

Bates said he had talked to an attorney from the Citizens Utility Board, Karen Norington, who said she had talked to other Illinois communities wanting to protest the increase.

Bates said Norington quoted possible rate increases of 25 to 45 percent. Davis said a water company representative had told her the increase in Lincoln would be only 13 percent.

Bates also said the city would need a specialized attorney to deal with the ICC, and that would probably be very expensive. He also said he did not believe there would be a public hearing in Lincoln on the increase.

Prather said the city had fought a similar increase previously, and he thought they had hired an outside attorney. "I think it was worth it," he said.

[Joan Crabb]

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Lincoln College student groups
help elderly with leaf raking

[NOV. 13, 2002]  Lincoln College student groups will help elderly residents of Lincoln by donating time in raking leaves on Saturday, Nov. 16, from 9 a.m. to 1 p.m.

The leaf-raking event is an annual tradition at Lincoln College and is supported by members of the Lincoln College Student Senate and Lincoln College Admissions Ambassadors.

Angie Whiteman, director of student activities, says it’s a great way for the students to give back to the community. "This project is truly a win-win situation for both parties. The students who participate get the satisfaction of helping others, and those who need help, get it."

Those who would like help with raking leaves are encouraged to call Angie Whiteman at 735-5050, Ext. 315 or John Stoltzenburg at 735-5050, Ext. 327. Requests will be taken on a first-come, first-served basis.

[Lincoln College news release]

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