O’Fallon City Council discusses home additions, finances, taxes at latest meeting
O’Fallon will be adding 19 new homes in the Cobblestone Ridge subdivision and annexing property on Simmons Road when action is taken for final approval Monday, July 19.
Aldermen advanced developer Richard Gorazd’s final plat plans for the fourth edition to Cobblestone Ridge, which will be 19 single-family homes on 16.23 acres, at the O’Fallon City Council meeting July 6.
This is the fifth phase of a larger subdivision that includes 170 lots on 143. 56 acres. Cobblestone Ridge is located northeast of Steeplechase and Hearthstone’s northern portions and west of Weil Road.
An annexation agreement with Ricky and Debra Vaught for 3.09 acres at 1070 Simmons Road also advanced. A home is currently under construction on the lot under St. Clair County’s jurisdiction.
A use variance for 120 W. Fifth St. will take effect Thursday, July 15, after the project — approved by a zoning hearing officer — went through its 21-day right of review, according to Community Development Director Justin Randall.
Financial Housekeeping
The council authorized staff could make necessary amendments to adjust the FY21 budget — because a budgeted transaction needed to be listed as an expenditure.
This is the result of Social Security expenses that were underestimated, TIF-related expenditures made and purchases from restricted police seizures, which exceeded several budgeted amounts at the end of fiscal year 2021 (April 30).
To make sure revenues were available to fund these excess expenditures, the city’s finance director was authorized to do the necessary transfers and budget amounts for Greenmount TIF, Central Park TIF, social security, police-seized funds, police-seized vehicles, police trust and any other fund that may need to be adjusted.
Finance Director Sandy Evans told the Finance and Administration Committee that upon auditors’ recommendations, the staff combined several funds that had little activity. Auditors advised recent government accounting procedures required a budget amendment, or else a notation in the audit report.
The city receives revenues from various tax sources: Sales tax, property tax, state income tax and the utility tax. The committee plans to begin a comprehensive review of these various types of income as well as new revenue sources to determine if there are more equitable forms of taxes that will better serve the future needs of the city’s growth and development.
Additional financial details
The utility tax is due to expire in February 2022. Therefore, the committee will review other revenue options and their impact on not only the city, but to the residents.
Evans also explained on March 11, the American Rescue Plan Act was signed into law, establishing both the Coronavirus State Fiscal Recovery Fund and the local counterpart (SLFRF).
O’Fallon should be allocated $3.65 million, based on the distribution formula for non-entitlement communities, she said.
This program is intended to provide support to state, territorial, local and tribal governments in response to the economic and public health impacts of COVID-19 and in their efforts to contain impacts on their communities, residents and businesses.
Evans said they were waiting to hear about the receipt of the funds, and the Illinois Municipal League would distribute information as soon as it becomes available.
Tax revenue
Complete guidelines are still waiting to be received, but staff knows it can be used to replace lost revenue, which they will calculate. However, it is not a source-to-source loss comparison, but rather government-wide.
Evans said staff estimated there may be as much as a $2.2 million shortfall in tax revenue in the general fund, but actual data in May-April 2021 showed a gain of $1,683,313 over the previous year.
This is due in part to the income tax for June-April being more than expected as well as sales tax coming in higher. In April, sales tax was up 58%, and staff was going to investigate why there was such a large increase. Use tax was up by 5%, compared to last year.
Food and beverage tax was finally starting to rebound, showing a 91% increase over the previous year’s monthly total, which reflected the first month of COVID shutdown. This improved the year-over-year comparison to just a 9% loss for food and beverage. Hotel and motel tax is also on the rebound, with just a 17% year-over-year loss and a 262% increase month over month comparison, reflecting travel is returning to normal.
Bike Trail
In other action, a Memorandum of Understanding was authorized between the city and the St. Clair County Transit District for the St. Ellen Bike Trail project between Old Collinsville Road and Hartman Lane.
This new bike trail is on the road to St. Ellen Mine Park and will connect to the existing trail owned by the city between the park and Hartman Lane. The trail is 20 years old and in need of improvement, including where tree roots have damaged it. Crack cleaning and sealing of the entire trail and regrading areas for proper drainage are also part of the plan.
The Public Works department estimates the work is $25,000-30,000. They also estimated it costs $4,500 annually to mow the trail.
SCCTD has indicated they would like to completely reconstruct the existing trail to match the new proposed trail. Their engineer has estimated the work to cost $100,000.
SCCTD is willing to reconstruct the trail and take over ownership and maintenance if the city agrees to provide $50,000 towards the reconstruction and pay $8,700 in engineering fees for the design.
Rodz & Ribs
A special event permit was approved for a barbecue competition and classic car show at Gateway Classic Cars, 1237 Central Park Drive, for 7 a.m. to 6 p.m. Saturday, July 31.
Attendance is expected to be 330 people, which includes competitors, vendors and visitors. There will be no alcohol sold, up to 10 vendors, three food trucks and a DJ for music and announcements, according to Jessica Short of the Community Development Department.
Matt Burcham of the Southern Illinois Street Rod Association applied for the permit. The car show is expected to draw 75-100 classic cars and motorcycles and the BBQ contest will have 15 competitions, sanctioned with rules by the St. Louis BBQ Society.
VFW Post 805 Centennial Celebration
The council approved the special event for 9 a.m. to 8 p.m. Saturday, July 24, at the VFW Post, Laborer’s Union Hall and a portion of CSX Railroad. It will include live music, military vehicle displays, and food and alcohol sales.
This story was originally published July 12, 2021 at 12:00 AM.