After four months of discussion, Danville City Council members have approved a plan to fill a $105-million dollar deficit in the city’s police and fire pension funds. Under the plan approved last night (December 5th, 2017) the city’s portion of real estate tax bills will rise, along with higher payments for the Public Safety Pension Fee.
Nine city council members voted in favor of the plan while five voted against. Those voting ‘no’ were aldermen Rickey Williams Junior, Rick Strebing, Mike O’kane, Mike Puhr, and Steve Nichols.
O’kane explained his position before the vote..
Alderman Steve Nichols thinks hiking the city’s portion of real estate taxes from $2.04 to $2.26 per $100 of equalized assessed value will impact some people more than others…
The Public Safety Pension fee will be $267 a year for all residential property or other structures under 5-thousand square feet. For properties exceeding 5-thousand square feet the fee will be a flat $600 (a year) if the property has a net taxable value less than $50-thousand dollars. It will be a flat $1,020 annually for properties with a net taxable value of more than $50-thousand dollars.
Danville Mayor Scott Eisenhauer explained before the meeting why it is so important to address the pension shortfall now…
The fee is reduced 50-percent for anyone currently receiving a senior, veteran, or disabled exemption on their property taxes.
In addition to approving the fee to help cover police and fire pension costs, Danville City Council members also approved their new budget and tax levy. And the council agreed to allow $75-thousand dollars in Community Development Block Grant funds to be used for infrastructure improvements along South Street. Those improvements will help with a planned $300-thousand dollar expansion for Vermilion Valley Produce.
