SPRINGFIELD – Representing local leaders from across the state, the Illinois Municipal League (IML) announced its annual ‘Moving Cities Forward’ legislative platform, which aims to ensure the long-term success of Illinois’ 1,294 cities, villages and towns.
Municipal officials are advocating for policies that promote local decision making, protect local revenue and advance public safety pension reform. The platform includes legislation that grants authority to fulfill public notice mandates electronically; restores the Local Government Distributive Fund (LGDF); grants reamortization of downstate public safety pension funds; provides municipal audit relief; and, grants local governments the authority to conduct remote meetings.
‘Moving Cities Forward’ prioritizes legislation that gives municipalities the authority to fulfill public notice mandates electronically. State law imposes a significant number of mandated posting requirements for communicating governmental information to the public via print, which costs municipalities tens of millions of dollars annually. The proposed legislation would grant municipal governments the option to fulfill public notice mandates on the municipality’s website and on a publicly-available, searchable online database operated independently from the municipality.
Publication of notice requirements in newspapers would continue to remain an option for communicating information to the public, but the additional electronic option proposed is current with modern technology and will save millions of taxpayer dollars. To expand awareness and accessibility, IML has created a website, LocalPublicNotices.org, where municipalities can post public notices easily and efficiently.
“Municipal leaders are dedicated to promoting policies that are critical to ensuring communities across the state have the resources and authority needed to best serve taxpayers,” said IML Chief Executive Officer Brad Cole. “Public notices are an important aspect of government transparency and communication, but nearly half of Illinois counties do not publish a daily newspaper. Allowing electronic publication of notices ensures that local leaders can effectively communicate with residents while preserving funding for important services.”
A primary goal of the ‘Moving Cities Forward’ platform is the restoration of LGDF, which originally dedicated 10% of the state’s total income tax revenue for Illinois municipalities. Revenues allocated to municipalities have decreased significantly since 2011, resulting in local governments currently receiving only 6.47% of individual income tax collections and 6.845% of corporate income tax collections. Municipalities rely on LGDF distributions to fund critical municipal services and maintain a low local tax burden.
“Fully restoring LGDF revenues will prevent local governments from raising fees and property taxes on families across Illinois,” said IML President, Mayor Mark T. Kupsky, City of Fairview Heights. “By returning a greater portion of income taxes directly to municipalities, local leaders can direct investment where it is needed most.”
Local officials are also supporting reamortization of downstate public safety pension funds. The current amortization schedule for downstate police and firefighter pension funds is significantly shorter than other statewide, state-administered and Chicago-based pension funds—despite downstate public safety pension funds having better funding ratios (excluding the Illinois Municipal Retirement Fund). IML is again proposing to extend the amortization date for downstate public safety pension funds from the end of Municipal Fiscal Year (MFY) 2040 to MFY 2050 or later (2055).
“Extending the amortization schedule for public safety pension funds would provide immediate financial relief to affected communities and taxpayers, without taking one dollar away from the pension a retiree has earned or will earn,” said IML First Vice President, Mayor Deborah Frank Feinen, City of Champaign. “This change will ensure we can properly honor the immense sacrifice of public safety workers.”
Mayors are again backing a proposal that would allow public officials to conduct a remote meeting without the issuance of a gubernatorial or Illinois Department of Public Health (IDPH) disaster declaration. The proposal would allow the head of a public body to determine if an in-person meeting would pose a risk to the health or safety of members of the public or the public body, or if conducting a remote meeting is in the best interest of the public or the public body.
“Remote meetings necessitated by the pandemic showed local governments have the capabilities to balance public participation and safety,” said IML Second Vice President, Mayor Gary W. Manier, City of Washington. “Remote meetings increase accessibility and participation in meetings, while maintaining government transparency.”
The platform also advocates for providing relief to municipalities with a population of 1,000 or less, subjected to onerous annual audit requirements. Nearly all municipalities are currently required to conduct and file an annual audit report with the Illinois State Comptroller. However, statutory requirements for annual municipal audits that must be performed by Certified Public Accountants (CPA) are extremely costly, particularly, for small municipalities with small annual budgets. These audits are a significant unfunded mandate that specifically burden small municipalities and take funds away from the municipality’s ability to provide necessary services to its residents.
For more information about IML’s full 2024 ‘Moving Cities Forward’ legislative platform, please visit movingcitiesforward.org.
‘Moving Cities Forward’
Authority to Fulfill Public Notice Mandates Electronically
HB 3154 (Rep. Ford, D-Chicago) and SB 61 (Sen. Castro, D-Elgin)
Public notice requirements are an important and beneficial service provided to citizens. These requirements also add costs to local governments and their taxpayers, particularly for mandates to place notices in newspapers or mail them to residents. This proposal would allow municipalities the option to fulfill any statutorily-mandated newspaper posting requirement by providing notice on the municipality’s website and on a publicly-available, searchable online database operated independently from the municipality. This is a shift to utilize modern technology in a way that recognizes how the public increasingly finds and views public notices.
Restoration of Local Government Distributive Fund (LGDF) Revenues
HB 4455 (Rep. DeLuca, D-Chicago Heights)
LGDF distributions play a role in funding critical municipal services and keeping the local tax burden low. Without LGDF, communities across Illinois would need to explore increases to other fees or taxes – including property taxes. Following the enactment of the state income tax in 1969, 10% of total income tax collections were dedicated to LGDF for distribution to municipalities and counties. Since 2011, the state has decreased the local government share of LGDF, so that, as of State Fiscal Year 2024, it is 6.47% of individual income tax collections and 6.845% of corporate income tax collections. This proposal would incrementally increase amounts transferred from the State of Illinois’ General Revenue Fund to LGDF to 10% of net revenue realized from income taxes imposed on individuals, trusts, estates and corporations.
Reamortization of Downstate Public Safety Pension Funds
HB 1185 (Rep. Vella, D-Rockford)
The current amortization schedule for downstate police and firefighter pension funds is significantly shorter than other statewide, state-administered and Chicago-based pension systems despite downstate public safety pension funds having better funding ratios (excluding the Illinois Municipal Retirement Fund). This proposal would extend the amortization date for downstate public safety pension funds from the end of MFY 2040 to MFY 2050 or later (2055) and provide immediate financial relief to affected communities.
Municipal Audit Relief
SB 2875 (Sen. D. Turner, D-Springfield)
In addition to an annual requirement to file a financial report with the Illinois State Comptroller, statutory requirements for annual municipal audits to be performed by CPAs are extremely costly, particularly for small municipalities with small annual budgets. For small communities, the annual financial report and extending the current annual CPA audit requirement to every fourth fiscal year, provides sufficient fiscal transparency. Not only are audits performed by CPAs costly, only a limited number of CPAs perform or specialize in municipal audits, making them difficult to locate and contract for their services. This proposal would provide relief to Illinois municipalities with a population of 1,000 or less, while still allowing for effective financial reporting and transparency.
Authority to Conduct Remote Meetings
HB 1408 (Rep. Yang Rohr, D-Naperville) and SB 103 (Sen. Castro, D-Elgin)
This proposal would permit public officials to conduct a remote meeting without the issuance of a gubernatorial or IDPH disaster declaration. Specifically, this proposal would allow the head of a public body to determine if an in-person meeting would pose a risk to the health or safety of members of the public or the public body, or that conducting a remote meeting is in the best interest of the public or the public body.
These issues are just a few of IML’s priorities outlined in ‘Moving Cities Forward’. Please visit the IML website for more information about the 2024 IML State Legislative Agenda (available via this link).
ABOUT THE ILLINOIS MUNICIPAL LEAGUE
The Illinois Municipal League is the statewide association representing local communities throughout Illinois. Founded in 1913, IML has worked continuously for the benefit of all 1,294 municipalities in Illinois to provide a formal voice on matters involving common interests.