HomeMy WebLinkAboutRESOLUTIONS-2006-051-R-06I
• 8/15/2006
8/8/2006
51-R-06
A RESOLUTION
Instructing the City Clerk to Submit,
for the November 7, 2006 Ballot,
a Referendum for a Proposal
to Increase the Real Estate Transfer Tax
with the Additional Revenue Dedicated
to the Affordable Housing Tax Fund
WHEREAS, the City of Evanston is a home rule unit of government
under Article VII of the 1970 Illinois Constitution; and
WHEREAS, the Illinois General Assembly, specifically in 65 ILCS
• §5/8-3-19, allows home rule municipalities to increase their own Real Estate Transfer
Taxes only by means of referendum; and
WHEREAS, legislation designed to provide for decent, safe, and sanitary
housing for all residents of the municipality is within the powers of the City as a home rule
unit of government; and
WHEREAS, Goal Two of the City of Evanston's Strategic Plan, adopted
by the City Council on March 27, 2006, is to "create policies and programs that result in
a well -maintained, diverse housing stock throughout the City of Evanston;" and
WHEREAS, §4-22-2 of the Evanston City Code of 1979 as Amended
("City Code") defines "affordable housing, owner -occupied" as
[d]ecent, safe, sanitary housing that is affordable to relevant households...
• The cost of the mortgage payment and relevant expenses (a calculation of
property taxes, homeowner's insurance, and, when applicable,
51-R-06
condominium or homeowner association fees) of owner occupied dwelling •
units shall not exceed thirty three percent (33%) of the relevant
household's gross annual household income (the total income of all adults
over 18 years of age in the household);
and
WHEREAS, §4-22-2 of the City Code defines "affordable housing, rental"
as
[d]ecent, safe, sanitary housing that is affordable to relevant households...
The cost (including a utility allotment and adjustment for household size)
of rental dwelling units shall not exceed thirty percent (30%) of the
relevant household's gross annual household income (the total income of
all adults over 18 years of age in said household);
FM14.
WHEREAS, §4-22-2 of the City Code defines "relevant household" as
[a] low or moderate income household whose total income does not is
the relevant percent of median income for the Chicago primary
metropolitan statistical area Chicago area, as established and defined in
the annual schedule published by the secretary of housing and urban
development, and adjusted for household size. A low income household
has income that does not exceed eighty percent (80%) of HUD area
median income. A moderate income household has income that does not
exceed one hundred percent (100%) of the HUD area median income;
and.
WHEREAS, §4-22-2 of the City Code defines "area median income" as
[t]he median income level for the Chicago primary metropolitan statistical
area, as established and defined in the annual schedule published by the
Secretary of the United States Department of Housing and Urban
Development and adjusted for household size;
and
WHEREAS, §4-22-2 of the City Code defines the Affordable Housing Tax
Fund as "[t]he fund established by City Council which can only receive and expend •
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51-R-06
• monies dedicated to the creation, preservation, maintenance, and improvement of
affordable housing for households whose income is eighty percent (80%) or less of area
median income with their affordable housing needs;" and
WHEREAS, increasing the Evanston Real Estate Transfer Tax, defined in
§3-29-2 of the City Code, from five dollars ($5.00) for every one thousand dollars
($1,000.00) of value, or fraction thereof, per transaction, to six dollars ($6.00) for every
one thousand dollars ($1,000.00) of value, or fraction thereof, per transaction, and
dedicating the additional revenue to the Affordable Housing Tax Fund will increase the
fund, thereby helping it fulfill its purpose; and
WHEREAS, §4-22-1 of the City Code provides that the purpose of Title 4,
Chapter 22 of the City Code, which governs the Affordable Housing Tax Fund, is to
• "provide a source of funding for the creation, maintenance, and improvement of safe
and decent affordable housing in the city of Evanston in order to enhance preservation
and maintenance of the city's cultural and economic diversity;" and
WHEREAS, preservation and maintenance of the City's cultural and
economic diversity benefits the welfare of the residents of Evanston, and is in the
public interest,
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF
THE CITY OF EVANSTON, COOK COUNTY, ILLINOIS:
SECTION 1: The City Clerk is hereby instructed to submit a referendum
to the proper election authorities for the November 7, 2006 ballot for all legal voters
• residing in the City of Evanston to vote upon the following question:
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51-R-06
Shall the City of Evanston impose a real estate transfer tax increase of •
twenty percent (20%) to establish a new transfer tax rate of six dollars
($6.00) for every one thousand dollars ($1,000.00) of value, or fraction
thereof, to be paid by the seller of the real estate transferred? The current
rate of the real estate transfer tax is five dollars ($5.00) for every one
thousand dollars ($1,000.00) of value, or fraction thereof, and the revenue
is used for the City's general fund. The revenue from the increase is to be
deposited in the Affordable Housing Tax Fund in order to provide a source
of funding for the creation, maintenance, and improvement of safe and
decent affordable housing in the city of Evanston in order to enhance the
preservation and maintenance of the city's cultural and economic diversity.
SECTION 2: That this Resolution shall be in full force and effect from and
after its passage and approval in the manner provided by law.
C::>�
,vorraine H. Morton, Mayor
.__-- - Attest: ;�, _ •
Mary R -M s; ,C�ty Clerk
Adopted:4`'�(HX9e'^� �2. (f , 2006
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