The Effingham City Council has adopted a tax levy reducing the city’s tax rate and approved a program to encourage redevelopment within the central and southern portion of the city.
During its meeting Nov. 21, the council approved the city’s tax levy for the 2024 fiscal year, increasing the city’s tax levy by 3.5% and Effingham Public Library’s levy by 4.67% for an overall increase of 3.66% or $196,359 from last year. The move reduces the city’s property tax rate from 1.104 for 2023 to 1.054 for 2024.
Before the council voted on the matter, Effingham City Administrator Steve Miller shared some highlights from the city’s tax levy which is based on an estimated equalized assessed value of $399,672,121 for 2024 which is higher than that of the previous year.
“In summary, the city’s looking at about $4.2 million in tax requests and the library’s around $1.1 million,” Miller said.
Additionally, Effingham City Commissioner Larry Micenheimer said he’s glad that the levy will allow some “extra loot” to go to both the city’s police and fire department pensions.
“I think we need to brag on ourselves for holding the taxes down as well as we have,” Micenheimer said. “Other taxing bodies just go get all they can get.”
Also during the meeting, the council approved a housing rehabilitation program for home demolitions and exterior renovations in the city’s Central and Industrial Tax Increment Financing (TIF) Districts.
Both TIF Districts will split $100,000, so each would have a budget of $50,000 to reimburse project costs.
Reimbursements will be capped at 25% of the property owner’s project cost, unless that amount exceeds $25,000.
Effingham Economic Development Director Todd Hull noted during the council’s meeting that property owners must replace any demolished homes on their properties within 18 months. The council agreed to add this requirement to the program during another meeting earlier this month.
“I think we’ve reflected all the changes in the discussion that we had at the last meeting,” Hull said.
In other matters, the council approved requests to vacate a portion of an alley located between Cherry and Mulberry streets and rezone 804-810 W. Edgar Ave. from R-2 single-family residence district to B-1 neighborhood shopping district. Both requests were made by Andes Limited Partnership as it plans to relocate Andes Health Mart Pharmacy because of the Fayette Ave. widening project.
The Effingham Plan Commission unanimously recommended the approval of both requests after hearing from the owner of Andes Health Mart Pharmacy, Chip Andes, and some concerned residents who live on Edgar Avenue and spoke in opposition to the proposed relocation of the facility during the commission’s meeting earlier this month.
“At the end of the day, with both the alley vacation and the rezoning, the major concern was traffic exiting out onto Edgar Avenue,” Effingham City Planner Greg Koester said.
Koester noted that theses issues could be further addressed during the site planning process for the new pharmacy.
He also told the council that the rezoning of the property conforms with the city’s comprehensive plan and the commercial trend in the area.
Andes Limited Partnership will be responsible for the relocation of any public utilities removed during the construction of the new building.
“There are utilities in the alley that need to be relocated to make room for a new Andes facility,” Koester said.
Meanwhile, the council approved a preliminary plat and final plat for Hidden Hills Subdivision which is located on Evergreen Avenue, east of Third Street.
“It is almost a 44 acre tract, and they’re proposing 53 lots.” Koester said. “It will be platted in phases.”
The subdivision’s developers, Todd Kabbes and Jordan Koerner, attended last week’s meeting, and Effingham City Commissioner Larry Micenheimer thanked them for their efforts to bring more homes to Effingham amid the ongoing housing shortage.
“It’s going to be a great place to put a house,” Micenheimer said. “This is going to be a great addition to the community.”
“I agree,” Effingham Mayor Mike Schutzbach said.
Also during the meeting, the council discussed the potential purchase of property near the Richard E. Workman Complex from First Mid-Illinois Bank & Trust for $326,600 which the city plans to pay for with its TIF funds.
“We are looking to purchase 3.91 acres of property and 1.46 acres of permanent utility easements,” Effingham Public Works Director Jeremy Heuerman said.
Heuerman said the purchase of the property there is a necessary part of the city’s plans to extend the public roadway there.
The extension of the road would begin at Maple Street and extend east to Fourth Street.
The council did not act on the matter, but members are expected to revisit the issue during their next meeting.
In other matters, the council:
• Recognized Effingham Street and Sewer Department Foreman Jeff Lewis as the city’s Employee of the Quarter.
• Approved an ordinance authorizing the acquisition of a temporary use permit and the purchase of an easement for utility purposes from Reynaldo and Marisol V. Gonzales for a property at 610 W. Fayette Ave. for the sum of $2,312.40.
• Approved an ordinance authorizing the purchase of real property for utility purposes from Richard S. Stock for a property located at 808 West Fayette Ave. for the sum of $1,418.25.
• Approved and ordinance authorizing the acquisition of a temporary use permit for utility purposes from Patricia A. Stock for a property located at 806 West Fayette Ave.
• Approved an ordinance authorizing the acquisition of a temporary use permit and the purchase of an easement for utility purposes from Lois Zwettler for a property located at 710 West Fayette Ave. for the sum $4,659.12.
• Approved a final change order from Esker & Walker Construction, Inc. in the amount of $76,756.11 for sidewalk, street, and curb and gutter repairs as part of the city’s 2023 Sidewalk Replacement Program.
• Approved a final change order from Varsity Striping and Construction to extend the completion date for the city’s 2023 Pavement Marking Program.
• Accepted a certificate of project completion and release of bonding from A&R Mechanical Services for the 2023 Concrete Gutter Replacement Project in the total amount of $116,789.50.
• Approved a resolution allowing a portion of city streets and parking lots to be temporarily closed on Dec. 2 for Hometown Christmas.