Cerro Gordo, Illinois

NOVEMBER 7, 2007

A Special Meeting was held on Nov.7, 2007 at the Masonic Hall in regards to the TIF District. Roll call of Board members was taken. Among those answering roll call were: President Jim Morgan, Trustees Brad Williams, Lyle Shoraga, Carol Huff, and Mike Songer. Trustees Rod Forbes and Ron Price were absent.

The meeting was called to order. The purpose of the meeting is to discuss the TIF district. The notice of the meeting has been published twice and a motion to file certificate of publication was made by Trustee Williams, second Songer, all yeas.

At this time the meeting was turned over to Atty. Dan Schuering.

For those that did not know, TIF stands for Tax Increment Financing. It was adopted in 1977 at a time when interest rates were high enough to inhibit growth. There are four (4) types of districts: 1) Blighted, 2) Conservation, 3) Industrial Park Conservation, and 4) Mixed. Cerro Gordo falls in the mixed category. This is an area which contains elements of a blight, including improved and vacant parcels: or, an area which contains areas which qualify for Blighted designation and Conservation designation.

The area Cerro Gordo is looking at is 203 acres or 50.21% of the Village.

The municipality determines and designates the Redevelopment Project Area. The municipality determines the redevelopment strategy in the Redevelopment Plan. The improvements in the area are financed by Tax Increment Financing. Upon implementation, the base Equalized Assessed Valuation is fixed at its current level.

Some questions answered by Mr. Schuering include the following: Will establishment of a TIF district assure development? The answer is no, the TIF is just a tool to be used. Is it true that certain retailers look for communities with TIF districts? First retailers determine the need for their product and may find a TIF district preferable if located their. What impact does a TIF district have on taxes or fixed incomes? The TIF district does not affect the taxes of taxpayers inside or outside the TIF boundaries. Changes in tax rates by individual taxing bodies may cause changes in future tax assessments. What happens to incremental revenue not used for redevelopment activities? The Act prevents the community from accumulating “surplus funds”. Any funds not used or needed for redevelopment activities are distributed to the affecting taxing bodies. There will be no revenue in the early years.

A review was given by the Joint Revenue Board. The Board conducted meetings on Oct. 8, 15, and the 29th. The Board reviewed the contents of the plan and with a roll call vote of five(5) adopted a recommendation to the Cerro Gordo Village Board that the plan meets the eligibility requirements for a TIF District and is recommended to the Village Board as presented to the Board. The minutes of these meetings were filed with the Joint Review Boards secretary, and a copy given to the President and Board of Trustees. Copies were also given to the Village Clerk to be filed.

There were no other questions from the audience and the meeting adjourned at 8:15 PM.
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Village Clerk 11/07/07