CITY COUNCIL AGENDA ITEM
ACTION REQUESTED:
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Conduct a Truth-in-Taxation hearing for the City's property tax levy (Item 1 of 3)
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DEPARTMENT: Finance Department
SUBMITTED BY: Rachel Mayer, Finance Director
BOARD/COMMISSION REVIEW:
N/A
BACKGROUND:
If the City of Naperville chooses to raise revenue through property taxes it is required to approve and file a property tax levy ordinance by the last Tuesday in December with DuPage County and Will County. Several statutorily-required steps must occur prior to filing the levy. The completed steps to date include:
? Make tentative annual budget available for public inspection. (October 19)
* Estimate the amount of taxes to be levied at least 20 days prior to approval. (November 4)
* Determine whether a Truth-in-Taxation hearing is required. (November 4)
? Publish for a public hearing on the tentative annual budget. (November 15)
? Hold hearing on tentative annual budget and pass ordinance approving annual budget. (December 1) [File with county clerks within 30 days of approval, but before tax levy ordinance is filed.]
? Publish notification in the newspaper of Truth-in-Taxation hearing not less than seven days and no more than 14 days prior to date of the Truth-in-Taxation hearing. (December 6)
The remaining step this year in the property tax levy process is:
? Hold truth-in-taxation hearing and adopt levy. (December 15)
Per Illinois state statue, municipalities are required to publish and hold a Truth-in-Taxation hearing if the amount of the requested levy is more than 105% of the prior year's general corporate and special purpose tax extensions, plus any amount abated prior to the extension. When comparing Naperville's tax year 2019 extension to the initial, unabated 2020 levy, the proposed 2020 levy is 120% of the previous year's levy, therefore requiring the City to hold a Truth-in-Taxation hearing.
The City Council set a Truth-in-Taxation public hearing at its November 4, 2020 meeting. The Truth-i...
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