Budget Message / Highlights - Metropolitan Water Reclamation ...

METROPOLITAN WATER RECLAMATION DISTRICT OF GREATER CHICAGO
2009 BUDGET
Property Tax Extension Limitation Laws: Illinois Public
Act 89-1 provides for limitations on real estate property tax
levies. As applicable to the District, the 1994 tax levy,
payable in 1995 is limited to a 5% increase from the 1993
levy. Future levies are limited to increases of the lesser of
5% or the percentage change in the national consumer price
index (CPI-U).
Property Tax Rate: The amount of tax stated in terms of a
unit of the tax base, expressed as dollars per $100 of
equalized assessed valuation.
Railroad Property: The State of Illinois directly assesses
railroad property which includes all railroad "operating
property." Tracks and right-of-way, all structures, equipment,
and all property connected with or used in the operation of
the railroad along with real estate held for expansion.
Nonoperating railroad property is assessed by the County
Assessor.
Real Property: Real estate, including land and
improvements (buildings, fences, pavements, etc.) classified
for purposes of assessment.
Refunding Bonds: Bonds issued to retire bonds already
outstanding.
Reserve Claim Fund: Established for the payment of
claims, awards, losses, judgments or liabilities which might
be imposed against the District, and for the repair or
replacement of damaged District property.
Resources: The actual assets of a governmental unit, such as
cash, taxes receivable, land, buildings, etc., including
estimated revenues applying to the current fiscal year, and
bonds authorized and unissued.
Retirement Fund: Established to account for annual
pension costs and supported in part by property taxes which
are levied in accordance with statutory requirements.
Tax Base: The aggregate value of the items being taxed.
The base of the District's real property tax is the market value
of all taxable real estate within the boundaries of the
MWRDGC. See assessed valuation.
Tax Cap: (Property Tax Extension Limitation Laws).
Illinois Public Act 89-1 provides for limitations on real estate
property tax levies. As applicable to the District, the 1994 tax
levy, payable in 1995 is limited to a 5% increase from the
1993 levy. Future levies are limited to increases of the lesser
of 5% or the percentage change in the National Consumer
Price Index (CPI-U).
Taxes: Mandatory charges levied by a governmental unit for
the purpose of financing services performed for the common
benefit.
Tax Levy: An amount of money raised through the
collection of property taxes to finance each fund operation.
Tax Levy Ordinance: An ordinance through which taxes are
levied. See ordinance.
Tax Rate: See Property Tax Rate.
User Charge System: In compliance with the 1977 Clean
Water Act, the MWRDGC is required to augment the ad
valorem property tax system with a charge related to the
actual use of waste treatment services. Users exceeding their
ad valorem amount pay additional amounts for services
received.
Working Cash Funds (Corporate and Construction):
Authorized by Illinois State Statutes to make temporary loans
to the Corporate and Construction Funds. Loans are repaid to
the Working Cash Funds from the tax levies of the funds.
The use of Working Cash funds eliminates the need for the
issuance of short-term financing.
Revenue: Income generated by taxes, notes, bonds,
investment income, land rental, user charge, sludge and scrap
sales as well as federal and state grants.
Sinking Fund: See Bond Redemption and Interest Fund.
Special District: A governmental entity established by the
State of Illinois for a specific purpose or purposes. The
MWRDGC was originally organized under an act of the
General Assembly of the State of Illinois in 1889.
State Revolving Fund (SRF): Under the Water Quality Act
Amendment of 1987, the federal authorization created State
Revolving Funds administered by State agencies which
provide loans from these funds to municipal agencies for their
wastewater construction programs. These loans carry interest
rates which are below general rates available in the municipal
bond market. Therefore, pollution control facilities receive
subsidies which can provide the approximate equivalent of a
25 to 30% grant.
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