City Council Passes Tax Levy

The Effingham City Council Tuesday passed the tax levy for the next fiscal year.

The measure calls for 2.5% more than what was actually extended for taxes the previous year. The levy for City needs totals $3,765,250, plus $953,800 for the Effingham Public Library.

The Council also heard from auditor Dave Faller of West and Company that the City had a clean audit for the past fiscal year. Faller said the City saw growth in both sales tax revenue and in property tax income, while water and sewer revenue was down about $100,000. In answer to a question from Accounts and Finances Commissioner Hank Stephens, Faller said the City has enough revenues to operate seven to eight months if no more revenues were received. He said the typical municipality hopes to have a 90-day reserve on hand.

Council members approved the abatement of the levy for a series of bond issues since the bonds generated enough revenue to make the bond payments. The Council also purchased a strip of land along East Rickelman Avenue from the Herboth Land Trust for $32,300. The land will allow utility improvements in the area.

Council members discussed an intergovernmental agreement with the 911 Board, the City and the County for the providing of 911 services for the next three years. The fee to be paid by 911 to the City and County is $95,696, with a 2% increase in the payment in each of the following two years of the three-year agreement. They also discussed a mowing services agreement with Herrmann's Landscaping for the next three years.

The Council finalized a Tax Increment Financing district agreement with Effingham Storage Solutions, which is constructing a storage facility west off South Banker from the former Best Homes building. The City agreed to reimburse owner Lee Kaufman not more than $46,000 on the project.

Council members heard from Tourism Director Jodi Thoele that even despite the tough weather conditions over the weekend that the Downtown Christmas was a hit, and that more than 600 cars went through Wonderland in Lights in its first weekend of operation at Community Park.

Special awards were also presented by Fire Chief Bob Tutko to his assistant Jenn Alwardt and by Police Chief Jason McFarland to technician Sandy Gillet. More on those two in later newscasts.