Tax Sale Allows Machesney Park to Acquire More Vacant Lots

 By Bob Balgemann, REPORTER

Village officials are moving ahead with the acquisition of nine more vacant properties along or near Shore Drive. Public Works Director Chad Hunter told the Administration and Finance (A&F) Committee at its Nov. 21 meeting, that the opportunity to acquire those lots came through a Winnebago County tax sale.

He said the nine properties, all within the floodway, are located adjacent to other Village-owned lots. Currently, Machesney Park owns 100 lots that have been purchased through multiple, voluntary buyout grants stemming from the June 2008 flood. Hundreds of houses were damaged during that incident. Purchasing the lots “would benefit the Village’s efforts in acquiring properties located within this flood prone area,” he said. It also would help the Village meet its goal of reducing and eliminating blight and abandoned properties within the community. Village staff has reached out to the realty company hired by the County to auction off the properties. It has agreed to sell the lots to the Village at its minimum purchase price of $535 each, which covers their costs as well as recording fees.

Hunter explained the Village has $50,000 in its Capital Improvements Fund for improvements to the Shore Drive boat launch. To date, he said $17,000 of those funds have been spent, “and we do not anticipate using the remainder this year.”

“The total cost of buying the nine lots would be $5,580,” he explained. Broken out, that would be the previously mentioned $535 plus another $85 per lot for a title search, for a total of $620 each.

BOB BALGEMANN, PHOTO – The Journal.
Machesney Park Public Works Director Chad Hunter shared information about the availability of nine more vacant lots in the Shore Drive area of the Village.

“There may be some minimal taxes due the following year, which we will budget for accordingly next year,” he added. Five of the nine lots are along Shore Drive, across the street from the river; three are on Shore Court and one is on Marquette Road. Of the 100 lots currently owned by the Village 28 are river front; 26 are across the street from the river; and the rest are along Greenview Avenue, Wilson Avenue, Gilbert Terrace, Wilshire Boulevard, Liberty Boulevard, Ritter Drive and Marquette. A&F on Nov. 21 voted to recommend purchase of the nine additional lots. The Village Board was expected to consider the matter at its Dec. 5 meeting.

Surplus TIF Dollars

Also Nov. 21, during the Village Board meeting, Trustees approved distributing $721,357.15 in surplus tax increment financing (TIF) dollars to a number of local, governmental bodies.

The Village in 2014, thanks to a bill filed in Springfield by State Rep. John Cabello, R-Machesney Park, was able to extend the 251/173 TIF for an additional 12 years. The purpose was to continue the development of blighted areas within the TIF. Taxing districts in that area agreed that the TIF would only retain the increment from three parcels: the former Menards building and two out lots in front of the Machesney Crossings Shopping Center. The increment from the remaining parcels would be declared as surplus and paid out to those taxing districts, based on the applicable tax rates.

Under consideration is a resolution approving the payment of the $721,357.15 to the following:

Harlem School District 122, $520,491.69; Winnebago County, $68,170.66; Harlem-Roscoe Fire Department, $47,683.60; Community College District 511, $30,367.81; North Suburban Library District, $18,817.74; Rock River Water Reclamation District, $11,601.96; Forest Preserve District, $7,466.27; Harlem Township, $7,075.27; and Harlem Township Road Department, $3,022.51.