Des Plaines TIF No. 6 ATR 2013CITY OF DES PLAINES
TAX INCREMENT FINANCING DISTRICT NO. 6
MANNHEIM RD / HIGGINS RD TIF DISTRICT
ANNUAL REPORT FOR FISCAL YEAR
BEGINNING JANUARY 1, 2013 AND ENDING DECEMBER 31, 2013
CITY OF DES PLAINES TIF DISTRICT #6 ANNUAL REPORT FOR FISCAL YEAR
BEGINNING JANUARY 1, 2013 AND ENDING DECEMBER 31, 2013
SECTION
City of Des Plaines
Tax Increment Financing District No. 6
Mannheim Rd / Higgins Rd TIF District
Table of Contents
TITLE PAGE
1.0 Name of Redevelopment Project Area and
Contact Information 1
2.0 Redevelopment Project Information 3
Attachment A Amendments to the Redevelopment Plan, the
Redevelopment Project and/or Area Boundary 4
Attachment B Certification of the Chief Executive Officer of the
municipality that the municipality has complied with
all of the requirements of the TIF Statute (the "Act ")
during the reporting Fiscal Year. 5
Attachment C Opinion of legal counsel that the municipality is in
compliance with the Act 6
Attachment D Statement setting forth all activities undertaken in
furtherance of the objectives of the Redevelopment Plan 8
Attachment E Description of Agreements Regarding Property Disposition
or Redevelopment 9
Attachment F Additional Information on Uses of Funds Related to Achieving
Objectives of the Redevelopment Plan 10
Attachment G Information Regarding Contracts with TIF Consultants 11
Attachment H Reports Submitted by Joint Review Board 12
Attachment I Summary of any obligations issued by the municipality and
official statements 13
Attachment J Financial Analysis: TIF Obligations 14
Attachments For special tax allocation funds that have experienced cumulative
K and L deposits of incremental tax revenues of $100,000 or more, a
certified audit report reviewing compliance with the Act .
CITY OF DES PLAINES TIF DISTRICT #6 ANNUAL REPORT FOR FISCAL YEAR
BEGINNING JANUARY I, 2013 AND ENDING DECEMBER 31, 2013
15
SECTION TITLE PAGE
Attachment M Intergovernmental Agreements 16
3.1 Analysis of Special Tax Allocation Fund 17
3.2 Itemized List of Expenditures from Special Tax
Allocation Fund 19
3.3 Special Tax Allocation Fund Balance (end of
reporting period) 24
4.0 Property purchased by the municipality within the
Redevelopment Project Area 26
5.0 Review of Public and Private Investment 28
6.0 Optional Sections 30
Exhibit A
Exhibit B
Exhibit C
Joint Review Board Minutes
Official Statement
Audit and Compliance Letter
CITY OF DES PLAINES TIFDISTRICT #6 ANNUAL REPORT FOR FISCAL YEAR
BEGINNING JANUARY I, 2013 AND ENDING DECEMBER 31 , 2013
Section 1. Name of Redevelopment Project Area and Contact Information
Refer to chart attached.
CITY OF DES PLAINES TIF DISTRICT #6 ANNUAL REPORT FOR FISCAL YEAR
BEGINNING JANUARY 2013 AND ENDING DECEMBER 31, 2013
FY 2013
ANNUAL TAX INCREMENT FINANCE
REPORT
Name of Municipality: Des Plaines
County: Cook
Unit Code:
016/140/30
TIF Administrator Contact Information
First Name: Michael
Address: 1420 Miner Street
Telephone: 847/391 -5488
Mobile
Mobile
Provider
1 attest to the best of my knowledge, this report of the redevelopment project areas in: CityNillage of
Des Plaines
is complete and accurate at the end of this reporting Fiscal year under the Tax Increment Allocation Redevelopment Act
(65 ILCS 5/11 - 74.4 -3 el.. •:. -o3 Or the Industrial Jobs Recovery Law (6S tLCS 5/11- 74.6 -10 et. sea.1
Written signature of Administator
Section 1 (65 ILCS 5/11- 74.4 -5 (d) (1.5) and 65 ILCS 5/11- 74.6 -22 (d) (1.5) ")
FILL OUT ONE FOR EACH TIF DISTICT
Name of Redevelopment Project Area
TIF No. 1 Downtown
11F No. 3 WIile Road Mt, Prospect Road
TIF No. 4 Flve Corners Rand Road
TIF No. 5 Lee Street Perry Street
TIF No. 6 Mannheim - Higgins Road
Date Designated
7/15/1985
8/7/2000
10/2006
4/2/2001
10/15/2001
Date Terminated
"All statutory citations refer to one of two sections of the Illinois Municipal Code: the Tax Increment Allocation
Redevelopment Act [65 ILCS 5/11 - 74.4 -3 et. seq.] or the Industdai Jobs Recovery Law (65 ILCS 5/11- 74.6 -10 et. seq.)
Reporting Fiscal Year.
Fiscal Year End:
Last Name:
Title:
City:
E-mail
Bartholomew
City Manager
Des Plaines Zip:
mbartholomew @desplaines.org
Best way to _X_ Email X Phone
contact Mobile Mail
Date
2013
12/31 /2013
60016
_Des_PlaInesR.E 6.2013.xiex _._.. _.
Name of Redevelopment Project Area: TIF 6 Mannheim Higgins
No Yes
Were there any amendments to the redevelopment plan, the redevelopment project area, or the State
Sales Tax Boundary? [65 ILCS 5/11- 74.4 -5 (d) (1) and 5/11- 74.6 -22 (d) (1)]
If yes please enclose the amendment labeled Attachment A
X
Certification of the Chief Executive Officer of the municipality that the municipality has complied with all
of the requirements of the Act during the preceding fiscal year. [65 ILCS 5/11- 74.4 -5 (d) (3) and 5/11 -74.6
22 (d) (
Please enclose the CEO Certification labeled Attachment B
X
Opinion of legal counsel that municipality is in compliance with the Act. [65 ILCS 5/11- 74.4 -5 (d) (4) and
5/11- 74.6 -22 (d) (4)]
Please enclose the Legal Counsel Opinion labeled Attachment C
,
X
Were there any activities undertaken in furtherance of the objectives of the redevelopment plan,
including any project implemented In the preceding fiscal year and a description of the activities
undertaken? [65 ILCS 5/11- 74.4 -5 (d) (7) (A and B) and 5/11- 74.6 -22 (d) (7) (A and B)]
If yes, please enclose the Activities Statement labeled Attachment D
X
Were any agreements entered into by the municipality with regard to the disposition or redevelopment
of any property within the redevelopment project area or the area within the State Sales Tax Boundary?
[65 ILCS 5/11- 74.4 -5 (d) (7) (C) and 5/11- 74.6 -22 (d) (7) (C)]
If yes please enclose the Agreement(s) labeled Attachment E
X
Is there additional information on the use of all funds received under this Division and steps taken by the
municipality to achieve the objectives of the redevelopment plan? [65 ILCS 5/11- 74.4 -5 (d) (7) (D) and
5/11- 74.6 -22 (d) (7) (D)]
If yes, please enclose the Additional Information labeled Attachment F
X
Did the municipality's TIF advisors or consultants enter into contracts with entities or persons that have
received or are receiving payments financed by tax increment revenues produced by the same TIF? [65
ILCS 5/11- 74.4 -5 (d) (7) (E) and 5/11- 74.6 -22 (d) (7) (E)]
If yes, please enclose the contract(s) or description of the contract(s) labeled Attachment G
X
Were there any reports or meeting minutes submitted to the municipality by the joint review board? [65
ILCS 5/11- 74.4 -5 (d) (7) (F) and 5/11- 74.6 -22 (d) (7) (F)]
If yes, please enclose the Joint Review Board Report labeled Attachment H
X
Were any obligations issued by municipality? [65 ILCS 5/11- 74.4 -5 (d) (8) (A) and
5/11- 74.6 -22 (d) (8) (A)]
If yes please enclose the Official Statement labeled Attachment I
X
Was analysis prepared by a financial advisor or underwriter setting forth the nature and term of
obligation and projected debt service including required reserves and debt coverage? [65 ILCS 5/11 -74.4-
5 (d) (8) (B) and 5/11- 74.6 -22 (d) (8) (B)]
If yes, please enclose the Analysis labeled Attachment J
X
Cumulatively, have deposits equal or greater than $100,000 been made into the special tax allocation
fund? 65 ILCS 5/11- 74.4 -5 (d) (2) and 5/11- 74.6 -22 (d) (2)
If yes, please enclose Audited financial statements of the special tax allocation fund
labeled Attachment K
X
Cumulatively, have deposits of incremental revenue equal to or greater than $100,000 been made into
the special tax allocation fund? [65 ILCS 5/11- 74.4 -5 (d) (9) and 5/11- 74.6 -22 (d) (9)]
If yes, please enclose a certified letter statement reviewing compliance with the Act labeled
Attachment L
X
A list of all intergovernmental agreements in effect in FY 2010, to which the municipality is a part, and an
accounting of any money transferred or received by the municipality during that fiscal year pursuant to
those intergovernmental agreements. [65 ILCS 5/11- 74.4 -5 (d) (10)]
If yes, please enclose list only of the intergovernmental agreements labeled Attachment M
X
Name of Redevelopment Project Area: TIF 6 Mannheim Higgins
Primary Use of Redevelopment Project Area *: Commercial
If "Combination /Mixed" List Component Types:
Under which section of the Illinois Municipal Code was Redevelopment Project Area designated? (check one):
Tax Increment Allocation Redevelopment Act _ x Industrial Jobs Recovery Law
SECTION 2 (Sections 2 through 5 must be completed for each redevelopment project area listed in Section 1.]
FY 2013
*Types include: Central Business District, Retail, Other Commercial, Industrial, Residential, and Combination /Mixed.
Des PlainesTIF 6 2013.xlsx
Attachment A Amendments to the Redevelopment Plan, the Redevelopment Project
and/or the Area Boundary
There were no amendments to the Redevelopment Plan or to the Redevelopment Project Area
within the reporting Fiscal Year.
CITY OF DES PLAINES TIF DISTRICT #6 ANNUAL REPORT FOR FISCAL YEAR
BEGINNING 1, 2013 AND ENDING DECEMBER 31, 2013
Attachment B Certification of the Chief Executive Officer of the municipality that the
municipality has complied with all of the requirements of the Act during the
reporting Fiscal Year.
Re: City of Des Plaines Certificate of Compliance
Tax Increment Financing District #6 - Mannheim Rd / Hi gains Rd Redevelopment
Project Area
For Fiscal Year Ending December 31, 2013
I, Matthew J. Bogusz, the duly elected Chief Executive Officer of the City of Des
Plaines, County of Cook, State of Illinois, do hereby certify that to the best of my knowledge, the
City of Des Plaines complied with the requirements pertaining to the Illinois Tax Increment
Redevelopment Allocation Act during the fiscal year beginning January 1, 2013 and ending
December 31, 20 3.
6 -i9 -iy
L't1'£ OF DES PLAINES TIE DISTRICT W6 ANNUAL REPORT FOR FISCAL YEAR
BEGINNING JANUARY I, 2013 AND ENDING DECEMBER 31, 2013
Attachment C Opinion of legal counsel that the municipality has complied with the Act.
CITY OF DES PLAINES TIF DISTRICT #6 ANNUAL REPORT FOR FISCAL YEAR
BEGINNING JANUARY 2013 ENDING DECEMBER 31, 2013
6
RE: Attorney Review City of Des Plaines Mannheim Rd / Higgins Rd TIr District #6
To Whom It May Concern:
This will confine that I am the General Counsel for the City of Des Plaines, Illinois. I have
reviewed all information provided to me by the City staff and consultants, and I find that the City
of Des Plaines has conformed to all applicable requirements of the Illinois Tax Increment
Redevelopment Allocation Act set forth thereunder for the fiscal year beginning January 1, 2013
and ending December 31, 2013, to the best of my Imowledge and belief.
Sincerely,
CITY OF DES PLAINES TIE DISTRICT 06 ANNUAL REPORT FOR FISCAL YEAR
BEGINNING JANUARY 1, 2013 AND ENDING DECEMBER 31, 70)3
7
Attachment D Statement setting forth all activities undertaken in furtherance of the objectives of
the Redevelopment Plan, including any project implemented in the preceding
fiscal year and a description of the activities undertaken [65 ILCS 5/11-74.4 -
5(d)(7)(A & B) and 5/11- 74.6- 22(d)(7)(A & B)]
TIF #6
The City of Des Plaines' sixth TIF District was established in October, 2001. The
creation of this approximately 40.5 acre TIF District was in response to the City's
desire to respond to the problem conditions within an important commercial
intersection within the City of Des Plaines and to revitalize the area. The Plan was
established to promote the development of potentially four (4) new hotels, and
separate redevelopment agreements were approved in 2007 and 2008 (each
agreement included two hotel projects). A commercial strip center was completed
in 2007 including Starbuck's and Potbelly's as tenants. Bonds were previously
issued in 2004 on behalf of this project in order to address land acquisition needs
within the area, which the City completed in 2007. The City refunded a portion of
debt in the reporting Fiscal Year.
However, due to current economic conditions, and restrictions in the capital
markets, the hotel projects have not been initiated, but the City structured an RFP
for submission to the development community in order to determine market
interest in the properties and continued to review responses to the end of 2013.
CITY OF DES PLAINES TIF DISTRICT #6 ANNUAL REPORT FOR FISCAL YEAR
BEGINNING JANUARY I, 2013 AND ENDING DECEMBER 31, -2013
8
Attachment E Description of any agreements entered into by the municipality with
regard to the disposition or redevelopment of any property within the redevelopment project area
or the area within the State Sales Tax Boundary [65 ILCS 5/11- 74.4- 5(d)(7)(C) and 5/11-74.6 -
22(d)(7)(C)]
TIF #6
Currently, the City has several outstanding financial obligations which have been issued
for public purposes or on behalf of private investors, all of which are payable with the current
TIF District's existing and future revenues (and are summarized in Section 3.3).
CITY OF DES PLAINES TIF DISTRICT #6 ANNUAL REPORT FOR FISCAL YEAR
BEGINNING JANUARY 2013 AND ENDING DECEMBER 31,- 2013 -- - - --
9
Attachment F Additional Information on use of all funds received under this Division
and steps taken by the municipality to achieve the objectives of the redevelopment plan [65
ILCS 5/11- 74.4 -5 (d)(7)(D) and 5/11- 74.6 -22 (d)(7)(D)]
The City of Des Plaines continued to implement the primary objectives of the TIF #6
Redevelopment Plan and Project by assisting in "outlining a framework for future land use and
development that will enhance economic activity and strengthen the economic well -being of the
Area and the City by increasing the value of the property".
CITY OF DES PLAINES TIF DISTRICT #6 ANNUAL REPORT FOR FISCAL YEAR
BEGINNING JANUARY 2013 AND ENDING DECEMBER 31, 2013
10
Attachment G Information regarding contracts that TIF advisors or consultants have entered
into with entities or persons receiving payments financed by tax increment revenues produced by
the same TIF [65 ILCS 5/11- 74.4 -5 (d)(7)(E) and 5/11- 74.6 -22 (d)(7)(E)]
The City utilized the services of Kane, McKenna and Associates, Inc. during the previous fiscal
year in order to assist in monitoring the TIF Districts regarding their financial condition, with
respect to the annual JRB meeting and with respect to development project negotiations. Fees
were based upon hourly rates for services rendered and did not include contingent payments.
CITY OF DES PLAINES TIF DISTRICT 146 ANNUAL REPORT FOR FISCAL YEAR
BEGINNING - JANUARY 1, 2013 -AND ENDING DECEMBER 31,- 2013
11
Attachment H Reports Submitted by Joint Review Board.
No reports were submitted by the Joint Review Board. The Board met on August 27, 2013.
Minutes of the meeting are attached as Exhibit A.
CITY OF DES PLAINES TIF DISTRICT #6 ANNUAL REPORT FOR FISCAL YEAR
B E G I N N I N G J A N U A R Y I, 2013 A N D E N D I N G D E C E M B E R 31, 2013
12
Attachment I Summary of any obligations issued by the municipality and official statements
The City issued $7,945,000 of General Obligation Refunding Bonds, Series 2013 to refund
portions of obligations related to TIF No. 1, TIF No. 3 and TIF No. 6. The Official Statement is
attached as Exhibit B.
CITY OF DES PLAINES TIF DISTRICT #6 ANNUAL REPORT FOR FISCAL YEAR
B E G I N N I N G - J A N U A R Y 1, 2013 AND E N D I N G D E C E M B E R 31, 2013 --
13
Attachment J Financial Analysis: TIF Obligations
The City continued to monitor debt existing obligations. Outstanding principal amounts, as well
as future interest payments, associated with existing debt are summarized in Section 3.3 below.
CITY OF DES PLAINES TIF DISTRICT #6 ANNUAL REPORT FOR FISCAL YEAR
BEGINNING JANUARY 2013 ENDING DECEMBER 31, -2013
14
Attachments K and L
For special tax allocation funds that have experienced cumulative deposits of incremental tax
revenues of $100,000 or more, a certified audit report reviewing compliance with the Act
performed by an independent public accountant certified and licensed by the authority of the
State of Illinois. The audit report shall contain a letter from the independent certified public
accountant indicating compliance or noncompliance with the requirements of subsection (q) of
Section 11- 74.4 -3.
Relevant portions of the City's audit and the compliance letter are attached as Exhibit C.
CITY OF DES PLAINES TIF DISTRICT #6 ANNUAL REPORT FOR FISCAL YEAR
BEGINNING JANUARY 2013 AND ENDING DECEMBER 31, 2013
15
Attachment M Intergovernmental Agreements
Not applicable.
CITY OF DES PLAINES TIF DISTRICT #6 ANNUAL REPORT FOR FISCAL YEAR
BEGINNING JANUARY 2013 - AND ENDING DECEMBER 31 2013
16
Section 3.1 Analysis of Special Tax Allocation Fund
Refer to table attached.
CITY OF DES PLAINES TIF DISTRICT #6 ANNUAL REPORT FOR FISCAL YEAR
BEGINNING- JANUAR -Y1, 2013 AND ENDINGDEC-E-MBER -31, 2013
17
Revenue /Cash Receipts Deposited in Fund During Reporting FY:
Reporting Year
Cumulative*
% of Total
Property Tax Increment
$ 7,104
$ 908,951
5%
State Sales Tax Increment
0%
Local Sales Tax Increment
0%
State Utility Tax Increment
0%
Local Utility Tax Increment
0%
Interest
$ 148
$ 545,934
3%
Land /Building Sale Proceeds
$ 26,029
0%
Bond Proceeds
$ 4,503,542
$ 14,628,542
87%
Transfers from Municipal Sources
0%
Private Sources
0%
Other (identify source • if multiple other sources, attach
$ 768,729
5%
schedule)
FY 2013
TIF NAME: TIF 6
Fund Balance at Beginning of Reporting Period
SECTION 3.1 - (65 ILCS 5/11- 74.4 -5 (d) (5) and 65 ILCS 5/11- 74.6 -22 (d) (5))
Provide an analysis of the special tax allocation fund.
$ (5,643,050)1
Total Amount Deposited in Special Tax Allocation
Fund During Reporting Period
Cumulative Total Revenues /Cash Receipts
Total Expenditures /Cash Disbursements (Carried forward from Section 3.2)
Distribution of Surplus
Total Expenditures /Disbursements
NET INCOME /CASH RECEIPTS OVER /(UNDER) CASH DISBURSEMENTS
FUND BALANCE, END OF REPORTING PERIOD*
Total Amount Designated (Carried forward from Section 3.3)
18
must be completed where Reporting Year is
populated
I $
4,510,794
$ 1,251,989
$
1,251,989
$ 3,258,8051
$ (2,384,245)1
* if there is a positive fund balance at the end of the reporting period, you must complete Section 3.3
$ (20,956,557)
$ 16,878,185 I 100 %1
Des PlainesTIF 6 2013.xlsx
Section 3.2 Itemized List of Expenditures from Special Tax Allocation Fund
Refer to tables attached.
CITY OF DES PLAINES TIF DISTRICT #6 ANNUAL REPORT FOR FISCAL YEAR
BEGINNING -JANUARY 1, 2013 DECEMBER -31,- -2013
19
FY 2013
TIF NAME: TIF 6
SECTION 3.2 A- (65 ILCS 5/11- 74.4 -5 (d) (5) and 65 ILCS 5/11- 74.6 -22 (d) (5))
ITEMIZED LIST OF ALL EXPENDITURES FROM THE SPECIAL TAX ALLOCATION FUND
(by category of permissible redevelopment cost, amounts expended during reporting period)
FOR AMOUNTS >$10,000 SECTION 3.2 B MUST BE COMPLETED
Category of Permissible Redevelopment Cost [65 ILCS 5/11- 74.4 -3 (q) and 65 ILCS 5/11 -74.6-
10 (o)]
1. Costs of studies, administration and professional services— Subsections (q)(1) and (o) (1)
Professional costs /services
2. Cost of marketing sites — Subsections (q)(1.6) and (o)(1.6)
3. Property assembly, demolition, site preparation and environmental site improvement costs.
Subsection (q)(2), (o)(2) and (o)(3)
4. Costs of rehabilitation, reconstruction, repair or remodeling of existing public or private buildings.
Subsection (q)(3) and (o)(4)
Rehabilitation
5. Costs of construction of public works and improvements. Subsection (q)(4) and (o)(5)
6. Costs of removing contaminants required by environmental laws or rules (o)(6) - Industrial Jobs
Recovery TIFs ONLY
Amounts
27,692
Reporting Fiscal Year
27,692
20
Des PlainesTlF 6 2013.xlsx
SECTION 3.2 A
PAGE 2
7. Cost of job training and retraining, including "welfare to work" programs Subsection (q)(5), (0)(7)
and (o)(12)
8. Financing costs. Subsection (q) (6) and (o)(8)
Transfers out
Debt Service
9. Approved capital costs. Subsection (q)(7) and (o)(9)
10. Cost of Reimbursing school districts for their increased costs caused by TIF assisted housing
projects. Subsection (q)(7.5) - Tax Increment Allocation Redevelopment TIFs ONLY
11. Relocation costs. Subsection (q)(8) and (o)(10)
12. Payments in lieu of taxes. Subsection (q)(9) and (o)(11)
13. Costs of job training, retraining advanced vocational or career education provided by other
taxing bodies. Subsection (q)(10) and (o)(12)
62,515
1,161,782
1,224,297
21
Des PlainesT]F 6 2013.xlsx
SECTION 3.2 A
PAGE 3
14. Costs of reimbursing private developers for interest expenses incurred on approved
redevelopment projects. Subsection (q)(11)(A -E) and (o)(13)(A -E)
15. Costs of construction of new housing units for low income and very low- income households.
Subsection (q)(11)(F) - Tax Increment Allocation Redevelopment TIFs ONLY
16. Cost of day care services and operational costs of day care centers. Subsection (q) (11.5) - Tax
Increment Allocation Redevelopment TIFs ONLY
TOTAL ITEMIZED EXPENDITURES
1,251,989
22
Des PlainesTIF 6 2013.xlsx
FY 2013
TIF NAME: TIF 6
Section 3.2 B
List all vendors, including other municipal funds, that were paid in excess of $10,000 during the current
reporting year.
There were no vendors, including other municipal funds, paid in excess of
$10,000 during the current reporting period.
Name
Debt service funds
Cook County
Holland and Knight
Service
Debt service payments
Tax refund
Legal Services
Amount
$ 1,161,782.00
$ 24,030.47
$ 12,084.82
23
Des PlainesTIF 6 2013.xlsx
Section 3.3 Special Tax Allocation Fund Balance (end of reporting period).
Refer to table attached.
CITY OF DES PLAINES TIF DISTRICT #6 ANNUAL REPORT FOR FISCAL YEAR
BEGINNING JANUARY I, 2013 AND ENDING DECEMBER 31, 2013
24
Bonds Series 2003 C
$ 2,250,000
$ 2,522,146
Bonds Series 2004 B
$ 7,500,000
$ 5,661,454
Bonds Series 2009 A
$ 5,430,000
$ 5,080,000
Bonds Series 2011 A
$ 250,000
$ 220,937
Bonds Series 2013
$ 4,390,000
$ 5,012,775
SECTION 3.3 - (65 ILCS 5/11-74.4-5 (d) (5) 65 ILCS 11- 74.6 -22 (d) (5))
Breakdown of the Balance in the Special Tax Allocation Fund At the End of the Reporting Period
FY 2013
TIF NAME: TIF 6
FUND BALANCE, END OF REPORTING PERIOD
1. Description of Debt Obligations
Total Amount Designated for Obligations
2. Description of Project Costs to be Paid
Contractual services
75,000
Total Amount Designated for Project Costs
TOTAL AMOUNT DESIGNATED
SURPLUS"/(DEFICIT)
25
(2,384,245)
Amount of Original
Issuance
Amount Designated
$ 19,820,000 $
18,497,312
75,000
18,572,312
(20,956,557)1
* NOTE: If a surplus is calculated, the municipality may be required to repay the amount to overlapping taxing
Des PlainesTIF 6 2013.xlsx
Section 4.0 A description of all property purchased by the municipality within the
Redevelopment Project Area including:
A. Street Address
B. Approximate size or description of property
C. Purchase Price
D. Seller of property
Refer to table attached.
CITY OF DES PLAINES TIF DISTRICT #6 ANNUAL REPORT FOR FISCAL YEAR
BEGINNING JANUARY I, 2013 AND ENDING DECEMBER 31, 2013
26
SECTION 4 [65 ILCS 5111. 74.4 -5 (d) (6) and 65 ILCS 5/11- 74.6 -22 (d) (6)]
FY 2013
TIF NAME: TIF 6
Provide a description of all property purchased by the municipality during the reporting fiscal year within the
redevelopment project area.
_X No property was acquired by the Municipality Within the Redevelopment Project Area
Property Acquired by the Municipality Within the Redevelopment Project Area
Property (1):
Street address:
Approximate size or description of property:
Purchase price:
Seller of property:
Property (2):
Street address:
Approximate size or description of property:
Purchase price:
Seller of property:
Property (3):
Street address:
Approximate size or description of property:
Purchase price:
Seller of property:
Property (4):
Street address:
Approximate size or description of property:
Purchase price:
Seller of property:
7
Des PlainesTIF 6 2013.xlsx
Section 5.0 Review of Public and Private Investment.
Refer to table attached.
CITY OF DES PLAINES TIF DISTRICT #6 ANNUAL REPORT FOR FISCAL YEAR
BEGINNING JANUARY 1, 2013 AND ENDING DECEMBER 31, 2013
28
Check here if NO projects were undertaken by the Municipality Within the Redevelopment Project Area: None
ENTER total number of projects undertaken by the Municipality
Within the Redevelopment Project Area
and list them in detail below *.
TOTAL:
1111/99 to Date
Estimated Investment
for Subsequent Fiscal
Year
Total Estimated to
Complete Project
Private Investment Undertaken (See Instructions)
$ -
$ -
$
Public Investment Undertaken
$ -
$ -
$
Ratio of Private /Public Investment
0
0
Project 2:
Private Investment Undertaken (See Instructions)
Public Investment Undertaken
Ratio of Private /Public Investment
0
0
Project 2:
Private Investment Undertaken (See Instructions)
Public Investment Undertaken
Ratio of Private /Public Investment
0
0
Project 3:
Private Investment Undertaken (See Instructions)
Public Investment Undertaken
Ratio of Private /Public Investment
0
0
Project 4:
Private Investment Undertaken (See Instructions)
Public Investment Undertaken
Ratio of Private /Public Investment
0
0
Project 5:
Private Investment Undertaken (See Instructions)
Public Investment Undertaken
Ratio of Private /Public Investment
0
0
Project 6:
Private Investment Undertaken (See Instructions)
Public Investment Undertaken
Ratio of Private /Public Investment
0
0
SECTION 5 - 65 ILCS 5/11- 74.4 -5 (d) (7) (G) and 65 ILCS 5/11- 74.6 -22 (d) (7) (G)
PAGE 1
FY 2013
TIF NAME: TIF 6
SECTION 5 PROVIDES PAGES 1 -3 TO ACCOMMODATE UP TO 25 PROJECTS. PAGE 1 MUST BE INCLUDED WITH TIF
REPORT. PAGES 2 -3 SHOULD BE INCLUDED ONLY IF PROJECTS ARE LISTED ON THESE PAGES
Project 1: *IF PROJECTS ARE LISTED NUMBER MUST BE ENTERED ABOVE
29
Des PlainesTlf 6 2013.xlsx
Number of Jobs
Retained
Number of Jobs
Created
Description and Type
(Temporary or
Permanent) of Jobs
Total Salaries Paid
$
$
$
$
$
$
$
Optional: Information in the following sections is not required by law, but would be helpful in evaluating the performance
of TIF in Illinois.'even though optional MUST be included as part of complete TIF report
SECTION 6
FY 2013
TIF NAME: TIF 6
Provide the base EAV (at the time of designation) and the EAV for the year reported for the redevelopment project area
Year redevelopment
project area was
designated
Base EAV
20011 $ 6,802,764
$ 4,012,948
List all overlapping tax districts in the redevelopment project area.
If overlapping taxing district received a surplus, list the surplus.
X The overlapping taxing districts did not receive a surplus.
Overlapping Taxing District
Surplus Distributed from redevelopment
project area to overlapping districts
SECTION 7
Provide information about job creation and retention
Reporting Fiscal Year
EAV
SECTION 8
Provide a general description of the redevelopment project area using only major boundaries:
Optional Documents
Legal description of redevelopment project area
Map of District
Enclosed
30 Des PlainesTIF 6 2013.xlsx
EXHIBIT A
In Attendance:
Michael Bartholomew
Bill Dussling
Sherry Koerner
Mary Kalou
Ruth Gloede
Mike Sweeney
Michael Alsup
Walter Kazmferczak
Brian Taylor
Barry Collins
Nelson Gray
Karen Stephens
Bob Rychlicki
Don Miletic
Scott Mangum
Dorothy Wisniewski
CITY OF DES PLAINES
TAX INCREMENT FINANCING DISTRICT
JOINT REVIEW BOARD MEETING MINUTES
AUGUST 27, 2013
City Manager, City of Des Plaines
President, District 214 /Board of Education
Director of Business Services, District 214/Board of Education
Assistant Superintendent, District 207 /Maine Township
Assistant Superintendent, District 59 /Community Consolidated
Supervisor, Elk Grove Township
Chief of Police, Harper College
Trustee, Maine Township
Director of Recreation, Mt. Prospect Park District
Public Member
Assistant Superintendent, District 62 /City of Des Plaines
Director of Parks & Recreation, Rosemont Park District
TIF Consultant, Kane McKenna & Associates, Inc.
Assistant Superintendent, Des Plaines Park District
Senior Planner, City of Des Plaines
Finance Director, City of Des Plaines
The meeting opened at 10 a.m. Michael Bartholomew welcomed everyone.
A motion was made by Bill Dussling, seconded by Ruth Gloede, to elect and confirm public
member Barry Collins
AYES:
NAYS:
Motion:
A motion was made by Barry Collins, seconded by Bill Dussling, to elect and confirm City
Manager, Michael Bartholomew, as Chair for the meeting.
AYES:
NAYS:
Motion:
AYES:
NAYS:
Motion:
All
None
CARRIES
All
None
CARRIES
A motion was made by Barry Collins, seconded by Bill Dussling, to approve the minutes of the
Joint Review Board Meeting held on November 14, 2012.
All
None
CARRIES
Michael Bartholomew stated he would like to alter the order of TIF discussion.
TIF District #3
Bob Rychlicki gave a brief overview and stated this is a single purpose industrial TIF which is
scheduled to terminate at the end of 2036. The format is distributed to municipalities and
comprised of three components: Certifications, Redevelopment of Activities (12 -month fiscal
year) of which there are no new activities /amendments, and Information from City Audit (fiscal
condition). The latter noted $561,037 was received by the City. Bond Issues are from 2004 -2011.
Litmus Test is $11 million There is a 3x differential.
Bill Dussling asked what the cause is. Bob Rychlicki advised — two large industrial buildings.
Ruth Gloede noted the reduction to $11.1 million is being noticed as well. Bob Rychlicki stated —
it is the City recalibrating market values, industrial and commercial will increase, residential will
be flatter; nothing is certified yet.
Bill Dussling asked if there are any other TIFs affecting District 214 (as this is significant).
Michael Bartholomew stated -- not at this time.
Review of TIF #3 was concluded.
A motion was made by Ruth Gloede, seconded by Bill Dussling, to approve the minutes.
AYES: All
NAYS: None
Motion: CARRIES
TIF District #4
Bob Rychlicki noted the Mayor and Auditor certifications, stating it's been a down year for
redevelopment of activities; no redevelopment agreements or financing Fiscal condition receipts
are virtually non - existent (with a minor notation), no bonds issued, and performance has gone
under the base (including 2012). 2013 may rise; 2014 will show a positive number.
Barry Collins asked what the public improvements are. Michael Bartholomew advised —
sidewalks. Bob Rychlicki advised that streetscapes, sidewalks were in the plan.
Barry Collins noted for public concern, this comes out of City funds to keep the City operational.
Mary Kalou asked if the strip mall Dunkin' Donuts is in is in the TIF. Dorothy Wisniewski
advised — yes, only through the middle of the development.
Bob Rychlicki noted the sales tax is a factor. Dorothy Wisniewski noted a check was received
and an IBT # is being checked.
Nelson Gray asked if Red Hots is in TIF. Dorothy Wisniewski stated it is divided per business.
Nelson Gray offered a suggestion to have a map present as a reference during future meetings.
Review of TIF #4 was concluded.
A motion was made by Nelson Gray, seconded by Barry Collins, to approve the minutes with the
line after 8% removed.
AYES: All
NAYS: None
Motion: CARRIES
TIF District #1
Bob Rychlicki advised there are the same certifications. Boundaries and plan were not
amendments; no new redevelopment agreements. Financing was undertaken by the City
(refunding 2012A). Fiscal condition (due to size and diversity) was healthy coming in over $4.7
million. The City has some bond issues, there is a 4x differential; in 2021 the TIF terminates.
Nelson Gray asked if there is any desire to extend this TIF. Bob Rychlicki stated that 12 years is
the rule (nothing has gone beyond). There is no extension at this time; this is a State decision.
Mary Kalou asked what the improvements are. Michael Bartholomew discussed the design,
master planning, water mane /public improvements (Metropolitan Square) and new restaurants
indicating this TIF should perform even better.
Michael Bartholomew inquired about Perfect Cleaning Services, asking if there is any Village -
owned property. Dorothy Wisniewski advised — the train station.
Barry Collins asked if debt would be paid by termination date. Michael Bartholomew stated —
yes.
Review of TIF #1 was concluded.
A motion was made by Walter Kazmferczak, seconded by Barry Collins, to approve the minutes.
AYES: All
NAYS: None
Motion: CARRIES
TIF District #5
Bob Rychlicki expects this to terminate by 2025. There are certifications, no new
redevelopments. TIF flow is $117, 286.00 (18% applied to debt service). There is one bond issue
outstanding. Balance is declining; still over the base.
Barry Collins asked if the grocery store and bank are leased or owned. Michael Bartholomew
stated he believes the grocery store is leased, and the bank may be privately -held. Barry Collins
asked when the lease ends. Michael Bartholomew advised that most are 10 -year leases.
Review of TIF #5 was concluded.
A motion was made by Barry Collins, seconded_ by. Nelson Gray, to approve the minutes.
TIF Distnct #6
Bob Rychlicki advised this is a single -use for hotel and commercial; will terminate in 2025.
Same series of certifications (City Manager, Mayor, and Auditor); redevelopment options are
being reviewed. Parking is being considered due to density. No new debt issue. There is
$60,124.00 in receipts (professional services, bond payments). City obligations are an
acquisition; would like the City to release financing for redevelopment. Michael Bartholomew
advised that since he arrived three years ago, there is no update. On the north side of the toll way,
there has been litigation for two years. The City would like to market; it's the cost of capital. An
economic development consultant has been hired.
Review of TIF #6 was concluded
A motion was made by Don Miletic, seconded by Barry Collins, to approve the minutes.
AYES: All
NAYS: None
Motion: CARRIES
Bob Rychlicki reviewed the 2012 State Comptroller's Report and advised of some changes i.e.
the state doesn't want title pages, table of contents; the information is the same with exhibits at
the back. Michael Bartholomew reported everything is always sent in on time, however calls are
received indicating the documents were not received. Michael Bartholomew assured that
everything is being done expeditiously.
There were no questions from Board Members.
A motion was made by Barry Collins, seconded by Michael Alsup, to adjourn the meeting at
10:45 a.m.
AYES: All
NAYS: None
Motion: CARRIES
Respectfully submitted,
Gale Cerabona, Secretary
EXHIBIT B
New Issue Investment Rating:
Moody's Investors Service ... Aa2
Final Official Statement Dated December 2, 2013
Interest on the Bonds IS subject to Federal and Illinois income taxes. See "CERTAIN FEDERAL AND ILLINOIS INCOME TAX
CONSIDERATIONS" herein for a more complete discussion.
Dated Date of Delivery Book -Entry
$7,945,000
CITY OF DES PLAINES
Cook County, Illinois
Taxable General Obligation Refunding Bonds, Series 2013
Non - Callable Due Serially December 1, 2014 -2021
The $7,945,000 Taxable General Obligation Refunding Bonds, Series 2013 (the "Bonds ") are being issued by the City of Des Plaines,
Illinois (the "City"). Interest is payable semiannually on June 1 and December 1 of each year, commencing June 1, 2014. Interest is calculated
based on a 360 -day year of twelve 30 -day months. The Bonds will be issued using a book -entry system. The Depository Trust Company
( "DTC "), New York, New York, will act as securities depository for the Bonds. The ownership of one fully registered Bond for each maturity
will be registered in the name of Cede & Co., as nominee for DTC and no physical delivery of Bonds will be made to purchasers. The Bonds
will mature on December 1 in the following years and amounts.
AMOUNTS, MATUR1I IES, INTEREST RATES, YIELDS AND CUSIP NUMBERS
Principal Due Interest CUSIP Principal Due Interest CUSIP
Amount Dec. 1 Rate Yield Number Amount Dec. 1 Rate Yield Number
$ 945,000 2014 3.000% 0.300% 250217 G83 $1,070,000 2018 3.000% 2.050% 250217 H41
965,000 2015 3.000% 0.500% 250217 G91 1,100,000 2019 3.000% 2.550% 250217 H58
1,005,000 2016 3.000% 0.900% 250217 1 1,140,000 2020 3.000% 3.000% 250217 H66
1,030,000 2017 3.000% 1.500% 250217 H33 690,000 2021 3.300% 3.300% 250217 H74
NO OPTIONAL REDEMPTION
The Bonds are not subject to optional redemption prior to maturity.
PURPOSE, LEGALITY AND SECURITY
Bond proceeds will be used to currently refund the City's outstanding Taxable General Obligation Bonds, Series 2004B due December 1,
2014 -2021, Taxable General Obligation Bonds, Series 2005F due December 1, 2014 -2020, and to pay the costs of issuing the Bonds. See
"PLAN OF FINANCING" herein.
In the opinion of Katten Muchin Rosenman LLP, Chicago, Illinois, Bond Counsel, the Bonds will constitute valid and legally binding
obligations of the City payable both as to principal and interest from ad valorem taxes levied against all taxable property therein without limitation
as to rate or amount, except that the rights of the owners of the Bonds and the enforceability of the Bonds may be limited by bankruptcy,
insolvency, moratorium, reorganization and other similar laws affecting creditors' rights and by equitable principles, whether considered at law or
in equity, including the exercise of judicial discretion.
This Final Official Statement is dated December 2, 2013, and has been prepared under the authority of the City. An electronic copy of
this Final Official Statement is available from the www.speerfmancial.com web site under "Debt Auction Center /Competitive Official Statement
Sales Calendar ". Additional copies may be obtained from Ms. Dorothy Wisniewski, Director of Finance /Treasurer, City of Des Plaines, 1420
Miner Street, Des Plaines, Illinois 60016, or from the Independent Public Finance Consultants to the City:
Established 1954
Speer Financial, Inc.
INDEPENDENT PUBLIC FINANCE CONSULTANTS
ONE NORTH LASALLE STREET, SUITE 4100 • CHICAGO ILLINOIS 60602
Telephone: (312) 346 -3700; Facsimile: (312) 346 -8833
www. speerfrnancial. com
For purposes of compliance with Rule 15e2 -12 of the Securities and Exchange Commission, this document, as
the same may be supplemented or corrected by the City from time to time (collectively, the "Official Statement "), may
be treated as an Official Statement with respect to the Bonds described herein that is deemed near fmal as of the date
hereof (or the date of any such supplement or correction) by the City.
The Official Statement, when further supplemented by an addendum or addenda specifying the maturity dates
principal amounts and interest rates of the Bonds, together with any other information required by law or deemed
appropriate by the City, shall constitute a "Final Official Statement" of the City with respect to the Bonds, as that term
is defined in Rule 15c2 -12. Any such addendum shall, on and after the date thereof, be fully incorporated herein and
made a part hereof by reference.
No dealer, broker, salesman or other person has been authorized by the City to give any information or to make
any representations with respect to the Bonds other than as contained in the Official Statement or the Final Official
Statement and, if given or made, such other information or representations must not be relied upon as having been
authorized by the City. Certain information contained in the Official Statement and the Final Official Statement may
have been obtained from sources other than records of the City and, while believed to be reliable, is not guaranteed as
to completeness. THE INFORMATION AND EXPRESSIONS OF OPINION IN THE OFFICIAL STATEMENT
AND THE FINAL OFFICIAL STATEMENT ARE SUBJECT TO CHANGE, AND NEITHER THE DELIVERY OF
THE OFFICIAL STATEMENT OR THE FINAL OFFICIAL STATEMENT NOR ANY SALE MADE UNDER
EITHER SUCH DOCUMENT SHALL CREATE ANY IMPLICATION THAT THERE HAS BEEN NO CHANGE
IN THE AFFAIRS OF THE CITY SINCE THE RESPECTIVE DATES THEREOF.
References herein to laws, rules, regulations, ordinances, resolutions, agreements, reports and other documents
do not purport to be comprehensive or definitive. All references to such documents are qualified in their entirety by
reference to the particular document, the full text of which may contain qualifications of and exceptions to statements
made herein. Where full texts have not been included as appendices to the Official Statement or the Final Official
Statement, they will be furnished on request. This Official Statement does not constitute an offer to sell, or solicitation
of an offer to buy, any securities to any person in any jurisdiction where such offer or solicitation of such offer would
be unlawful.
TABLE OF CONTENTS
Page
BOND ISSUE SUMMARY 1
CITY OF DES PLAINES 2
THE CITY 2
City Government and Services 2
Transportation 3
Community Life 3
Education 3
SOCIOECONOMIC INFORMATION 4
Population 4
Employment 4
Building Permits 6
Housing 6
Income 7
Retail and Commercial Activity 8
Industrial Activity 9
Entertainment 9
Sales Taxes 9
PLAN OF FINANCING 10
DEBT INFORMATION 11
PROPERTY ASSESSMENT AND TAX INFORMATION 14
REAL PROPERTY ASSESSMENT, TAX LEVY AND COLLECTION PROCEDURES 15
Real Property Assessment 15
Equalization 17
Exemptions 18
Tax Levy 20
Property Tax Extension Limitation Law 20
Extensions 20
Collections 21
Truth in Taxation Law 22
FINANCIAL INFORMATION 22
Financial Reports 22
Investment Policy 23
No Consent or Updated Information Requested of the Auditor 23
Summary Financial Information 23
EMPLOYEES' RETIREMENT SYSTEM 28
OTHER POST EMPLOYMENT BENEFITS 28
REGISTRATION, TRANSFER AND EXCHANGE 28
Registration 28
Transfers and Exchanges 28
CERTAIN FEDERAL INCOME TAX CONSIDERATIONS 29
CONTINUING DISCLOSURE 29
NO OPTIONAL REDEMPTION 30
LITIGATION 31
LEGAL MATTERS 31
FINAL OFFICIAL STATEMENT AUTHORIZATION 31
INVESTMENT RATING - 31
DEFEASANCE AND PAYMENT OP BONDS 32
UNDERWRITING 32
FINANCIAL ADVISOR 32
CERTIFICATION 33
APPENDIX A - EXCERPTS OF FISCAL YEAR 2012 AUDITED FINANCIAL STATEMENTS
APPENDIX B - DESCRIBING BOOK - ENTRY -ONLY ISSUANCE
APPENDIX C - PROPOSED FORM OF LEGAL OPINION
APPENDIX D - EXCERPTS OF FISCAL YEAR 2012 AUDITED FINANCIAL STATEMENTS RELATING TO THE CITY'S PENSION PLANS
(1)
City of Des Plaines, Cook County, Illinois
$1,945,000 Taxable General Obligation Refund,
This Bond Issue Summary is expressly qualified by the entire Final Official Statement, which is provided for
the convenience of potential investors and which should be reviewed in its entirety by potential investors.
Issuer:
Issue:
Dated Date:
Interest Due:
Principal Due:
No Optional Redemption:
Authorization:
Security:
Credit Rating:
Purpose:
No Tax Exemption:
Bond Registrar /Paying Agent:
Delivery:
Book -Entry Form:
Denomination:
ads. Series 2013
BOND ISSUE SUMMARY
City of Des Plaines, Illinois.
$7,945,000 Taxable General Obligation Refunding Bonds, Series 2013.
Date of delivery, expected to be December 17, 2013.
Each June 1 and December 1, commencing June 1, 2014.
Serially each December 1, commencing December 1, 2014 through 2021, as
detailed on the front page of this Final Official Statement.
The Bonds are not subject to optional redemption prior to maturity.
The City is a home rule unit under the Illinois Constitution and as such has no debt
limitation and is not required to seek referendum approval to issue the Bonds.
The Bonds are valid and legally binding general obligations of the City and the City
is obligated to levy ad valorem taxes upon all the taxable property within the City
for the payment of the Bonds and the interest thereon without limitation as to rate
or amount. However, the enforceability of rights or remedies with respect to the
Bonds may be limited by bankruptcy, insolvency or other laws affecting creditors'
rights and remedies heretofore or hereafter enacted.
The Bonds have been rated "Aa2" from Moody's Investors Service, New York,
New York.
Bond proceeds will be used to currently refund the City's outstanding Taxable
General Obligation Bonds, Series 2004B due December 1, 2014 -2021, Taxable
General Obligation Bonds, Series 2005F due December 1, 2014 -2020, and to pay
the costs of issuing the Bonds. See "PLAN OF FINANCING" herein.
Interest on the Bonds is includible in gross income for federal income tax purposes.
See "CERTAIN FEDERAL INCOME TAX CONSIDERATIONS" herein.
Interest on the Bonds is not exempt from present State of Illinois income taxes.
Amalgamated Bank of Chicago, Chicago, Illinois.
The Bonds are expected to be delivered on or about December 17, 2013.
The Bonds will be registered in the name of Cede & Co. as nominee for The
Depository Trust Company ( "DTC "), New York, New York. DTC will act as
securities depository of the Bonds. See APPENDIX B herein.
$5,000 or integral multiples thereof.
Financial Advisor: Speer Financial, Inc., Chicago, Illinois.
1
City of Des Plaines, Cook Cowry, Illinois
37945,000 Taxable General Obligation Rqurding Bonds, Series 2013
James Brookman
Michael Charewicz
Patricia Haugeberg
Gloria J. Ludwig
City Clerk
City Government and Services
CITY OF DES PLAINES
Cook County, Illinois
Matthew Bogusz
Mayor
Aldermen
John Robinson
Denise Rodd
Officials
Dorothy Wisniewski Michael G. Bartholomew
Director of Finance City Manager
THE CITY
2
Dick Sayad
Joanna Sojka
Mark Walsten
Holland & Knight
Issuer's Counsel
The City of Des Plaines (the "City") is located in northwestern Cook County and covers an area of
approximately 14.3 square miles. The 2010 Census reported a population of 58,364, an increase of approximately
2.5 % from the 2000 Census population of 56,945. The Chicago Metropolitan Agency for Planning (CMAP) population
projection for 2040 is 79,389. Bordering the City to the north and west is the Village of Mount Prospect, to the south
is the Village of Rosemont and O'Hare International Airport, and to the east is the City of Park Ridge, the Des Plaines
River and surrounding forest preserve area.
The City has an above average residential property tax base which is supplemented by substantial commercial
and industrial real estate development. Close proximity to O'Hare International Airport has supported the growth in
high -rise office buildings in the City. Approximately 40% of the City's property values are composed of diversified
commercial and light industrial properties.
The City operates under a City Manager form of government approved by voter referendum on November 16,
2004. The City Manager is appointed by the Mayor upon the advice and consent of the City Council. The Mayor and
the City Clerk are elected at large for four -year terms. The City Council consists of eight aldermen elected from eight
wards for staggered four -year terms.
The City employs a total of 330 full -time personnel and 12.75 part-time employees, for a total of 342.75 full -
time equivalents. Police protection is provided by the Des Plaines Police Department which consists of 91 (authorized
95) sworn police officers and operates out of one central police station. The Fire Department, consisting of 92
firefighters, provides fire protection to the City's residents. The Department operates out of three stations. The City has
a Class 2 fire insurance rating, which ranks it among the top 1.9 percent of fire departments in the State and the top 1.5
percent of fire departments in the nation.
L5m of Des Plaines, Cook Colony, Illinois
$1945,000 Taxable General Obligation Refunding Bonds, Series 2013
The City has six recognized collective bargaining units Each contract was negotiated for multi -year terms. The
Public Works Department (Municipal Employees City Coordinating Association) expires on December 31, 2015, the
Police Deparment (Metropolitan Alliance of Police Des Plaines Chapter No. 240) expired on December 31, 2011, the
Police Department Sergeants /Lieutenants (Metropolitan Alliance of Police Des Plaines Police Command Chapter 241)
expires on December 31, 2014, the Fire Depai anent (International Association of Fire Fighters Local 4211) expired on
December 31, 2012 and the City has a tentative agreement with the collective bargaining unit for a new contract that
would expire on December 31, 2016, Citywide clerical and technical (American Federation of State, County and
Municipal Employees) expires on December 31, 2015 and Emergency Communications (Metropolitan Alliance of
Police Civilian Chapter No. 282) expires on December 31, 2015. The City is currently in negotiations with the
collective bargaining unit where the contract has expired at the end of 2011.
The City operates its own water system providing Lake Michigan water purchased from the City of Chicago,
with sewage treatment provided by the Metropolitan Water Reclamation District. Natural gas is provided by Nicor,
electricity is provided by Commonwealth Edison, and telephone service is provided by SBC.
Transportation
The City is located approximately 20 miles northwest of downtown Chicago. Commuter travel to and from
Chicago's downtown is available via the Regional Transportation Authority's METRA Northwest line, with commuter
stations located in downtown Des Plaines and at the Cumberland depot; as well as the Wisconsin Central freight line,
combined into a commuter /freight rail line in 1996, connecting with O'Hare Airport and Chicago. Also easily
accessible to the City are the Northwest Tollway (I -90) and the Tri -State Tollway (I -294). In addition, the close
proximity of O'Hare International Airport to the City makes air travel convenient.
Community Life
Recreational opportunities are primarily provided by the Des Plaines Park District, a separate governmental
entity. The Park District owns 281 acres and leases an additional 100 acres of park land and offers 53 parks and
facilities, 3 outdoor swimming pools, an aquatic center, fishing, boating, picnic areas, golf and miniature golf facilities.
Over 300 recreational programs and special events are available to residents through the Park District. A small portion
of the City is served by the Mt. Prospect Park District. In addition, the nearby Cook County Forest Preserve District is
available for use by area residents and offers, among other activities, picnicking, hiking, bicycling, golf, and several
nature centers. The Des Plaines Public Library, funded by a City tax levy, collection consists of approximately
315,000 items in an 82,000- square foot building in centrally located downtown. The new Library opened in August
2000. Circulation was approximately 1,173,000 items in 2012 with 34,440 active resident library cards. The
attendance in 2012 exceeded 575,000.
Education
There are four elementary school districts and two high school districts providing public education for the
children of City residents. The combined enrollment of Elementary School Districts 26, 57, 59 and 62 is
approximately 14,700 students. High School Districts 207 and 214 reported a combined enrollment of approximately
19,000. High School District 207 serves the majority of the City residents. Higher education is provided by two
community colleges. Harper Community College District Number 512 is located nearby in the Village of Palatine and
has an enrollment of approximately 26,400 students. Oakton Community College District Number 535 is located in the
City and has an enrollment of approximately 46,000 students. DePaul University's O'Hare campus is located in the
City and offers a variety of graduate and certificate programs, as well as nontraditional programs for working adults.
City residents also have access to public and private colleges and universities throughout the Chicago metropolitan area.
3
City aloes Plaines. Cook County, Illinois
$$ 945,000 Taxable General Obligadan Refwffing Bonds, Series 2013
Population
SOCIOECONOMIC INFORMATION
The City experienced its greatest growth during the period of 1950 to 1980 when population more than tripled
from 14,994 in 1950 to 53,568 in 1980. Since that time, population growth has been modest, with a 2000 U.S. Census
population of 56,945 and a 2010 U.S. Census Population of 58,364. Potential for future growth is modest due to the
generally developed character of the land within the City and the general lack of unincorporated territory contiguous to
the City.
Employment
Following are large employers located in the City and in immediately surrounding areas. City residents also
have access to employment throughout the Chicago metropolitan area.
Major City Employers(1)
Approximate
Name Product/Service Employment
Universal Oil Products, Inc Chemical Engineering Services 1,500
Holy Family Medical Center General Hospital 1,036
Swissport USA, Inc. International Airline Cargo Service 1,000
Oakton Community College Public Community College 990
Sysco Food Services- Chicago, Inc Food Wholesalers 650
Wheels Inc. Passenger Car and Truck Leasing 650
HMX, LLC Men's Apparel 550
Abbott Laboratories, Molecular Diagnosis Division Medical Laboratories 500
Juno Lighting, Inc Lighting Fixtures 400
Nu -Way Industries, Inc Sheet Metal Work 350
Ciba Vision Corp. Contact Lenses 300
National Insurance Crime Bureau Nonprofit Organization Preventing and Detecting Insurance Fraud 300
Deluxe Check Printers, Inc Check and Checkbook Printing 276
DHL Global Mail International Mailing Service 275
Lorig Construction Co. Highway and Heavy Construction Contractor 275
Note: (1) Source: 2013 Illinois Manufacturers Directory, 2013 Illinois Services Directory and selected telephone survey.
Major Area Employers(1)
Approximate
Location Name Business or Product Employment
Northbrook All -State Insurance Company Insurance Corporate Office 8,000
Hoffman Estates Sears Roebuck & Co Retail Chain Corporate Headquarters 6,200
Schaumburg Woodfield Mall (2)(3) Shopping Center 4,000
Arlington Heights Northwest Community Hospital Hospital 4,000
Arlington Heights Arlington International Race Track (4) Horse Racing, Sports 3,100
EIk Grove Village Alexian Brothers Medical Center Medical Center 3,100
Hoffman Estates AT &T Midwest Communications Systems 2,500
Schaumburg Zurich Insurance Co. Insurance Corporate Headquarters 2,500
Hoffman Estates St. Alexius Medical Center Full Service Hospital 2,045
Northbrook Northbrook Court Shopping Center Shopping Center 2,000
Northbrook Underwriters Laboratories, Inc Industrial Not - For -Profit Research 2,000
Palatine Township High School District 211 Education 1,953
Buffalo Grove Siemens Building Technologies, Inc Environmental Controls 1,800
EIk Grove Village Automatic Data Processing, Employer Services Data Processing and Payroll Services 1,500
Schaumburg CVS Caremark Integrated Health Care Services 1,400
Buffalo Grove I S.I Management Consulting Services 1,200
Buffalo Grove Remax Mold Manufacturing Plastic Products 1,200
Northbrook Astellas Pharmacy U5, Inc Pediatricians Association 1,150
Arlington Heights Clearbrook Specialty Outpatient Clinics 1,000
EIk Grove Village Wrtz Beverage Illinois, LLC Wine and Distilled Beverages 1,000
Schaumburg Motorola, Inc Corporate Headquarters and Wireless
and Broadband Communications 970
Note: (1) Source: 2013 Illinois Manufacturers Directory, 2013 Illinois Services Directory and selective telephone survey.
4
Cu) of Des Plaines, cook Cown), Illinois
$ 7,945,000 Tavable General Obligation Rgunding Bonds, Series 2013
Following is industry and occupation employment information for the City, Cook County and the State as
reported by the 2007 -2011 American Community Survey 5 -Year Estimates.
Employment By Industry(1)
The City Cook County State of Illinois
Classification Number Percent Number Percent Number Percent
Agriculture, Forestry, Fishing and Hunting, and Mining 55 0.2% 4,316 0.2% 63,960 1.1%
Construction 1,786 6.1% 123,469 5.1% 343,232 5.7%
Manufacturing 4,326 147% 267,783 11.0% 775,663 12.8%
Wholesale Trade 1,008 3.4% 71,321 2.9% 196,738 3.3%
Retail Trade 3,346 11.3% 240,683 9.9% 659,708 10.9%
Transportation and Warehousing, and Utilities 2,049 6.9% 152,899 6.3% 355,486 5.9%
Information 757 2.6% 61,250 2.5% 135,688 22%
Finance and Insurance, and Real Estate and Rental and Leasing 2,614 8.9% 210,438 87% 466,468 7.7%
Professional, Scientific, and Management, Administrative,
and Waste Management Services 3,183 10.8% 322,649 13.3% 662,987 11.0%
Educational Services and Health Care and Social Assistance 5,599 19.0% 530,526 21.8% 1,337,455 22.1 %
Arts, Entertainment and Recreation and Accommodation and
Food Services 2,686 9.1% 231,014 9.5% 524,925 8.7%
Other Services, Except Public Administration 1,345 4.6% 121,008 5.0% 288,538 4.8%
Public Administration 752 2.5% 91,913 3.8% 232.923 3.9%
Total 29,506 100.0% 2,429,269 100.0% 6,043,771 100.0%
Note: (1) Source: U.S. Bureau of the Census, 2007 -2011 American Community Survey 5 -Year Estimates.
Employment By Occupation(1)
The City Cook County State of Illinois
Classification Number Percent Number Percent Number Percent
Management, Business, Science and Arts 10,481 35.5% 900,655 37.1% 2,167,571 35.9%
Service 4,737 16.1% 424,830 17.5% 1,007,434 16.7%
Sales and Office 7,995 27.1% 617,135 25.4% 1,550,202 25.6%
Natural Resources, Construction, and Maintenance 2,564 8.7% 162,266 6.7% 474,566 7.9%
Production, Transportation, and Material Moving 3729 12.6% 324.383 13.4% 843.998 14.0%
Total 29,506 100.0% 2,429,269 100.0% 6,043,771 100.0%
Note: (1) Source: U.S. Bureau of the Census, 2007 -2011 American Community Survey 5 -Year Estimates.
Annual Average Unemployment Rates(1)
Calendar State of
Year The City Cook County Illinois
2004 6.0% 6.7% 6.2%
2005 5.9% 6.4% 5.8%
2006 4.2% 4.8% 4.6%
2007 4.5% 5.2% 5.1%
2008 5.8% 6.4% 6.4%
2009 10.1% 10.4% 10.0%
2010 10.3% 10.8% 10.4%
2011 9.2% 10.3% 9.7%
2012 8.4% 9.3% 8.9%
2013(2) 8.3% 9.8% 9.0%
Notes: (1) Source: Illinois Department of Employment Security.
(2) Preliminary for August 2013.
5
City of Des Planes, Cook County, Illinois
$7,945,000 ramble General Obligation Refunding Bonds, Series 20
Building Permits
The average construction cost for single - family homes, based upon building permit fees, for 2012 exceeded
$576,000, which amount excludes the value of land, according to latest City statistics.
Calendar Single- Family Multi - Family Miscellaneous Total
Year Units Value Number Value Value Value
2004 47 $17,010,034 29 $63,454,601 $ 93,697,068 $174,161,703
2005 47 18,994,100 153 64,714,192 55,363,011 139,071,303
2006 36 14,536,330 10 20,080,720 84,829,879 119,447,329
2007 19 7,158,615 5 26,616,685 80,469,290 114,244,590
2008 3 1,077,050 7 4,873,920 63,160,534 69,111,504
2009 4 1,839,515 8 7,042,560 30,792,437 39,674,512
2010 4 1,342,000 5 5,234,000 182,559,000 189,135,000(2)
2011 2 1,002,180 9 6,022,405 43,268,293 50,292,878
2012 2 1,153,690 4 2,860,160 25,980,060 29,993,910
2013(3) 0 0 2 1,882,500 29,694,923 31,572,423
Notes: (1) Source: the City.
(2) Includes construction of the Rivers Casino.
(3) For nine months ended September 30, 2013.
Housing
City Building Permits (1)
(Excludes the Value of Land)
The 2007 -2011 American Community Survey 5 -Year Estimates reported that the median value of the City's
owner- occupied homes was $269,400, which compares with $256,900 for the County and $198,500 for the State. The
2007 -2011 5 -year average value of specified owner - occupied units for the City, Cook County and the State was as
follows:
Specified Owner - Occupied Units (1)
The City Cook County State of Illinois
Value Number Percent Number Percent Number Percent
Under $50,000 592 3.4% 32,251 2.8% 218,208 6.7%
$50,000 to $99,999 406 2.3% 58,161 5.0% 451,967 13.8%
$100,000 to $149,999 1,079 6.1% 115,458 10.0% 464,158 14.2%
$150,000 to $199,999 1,882 10.7% 181,081 15.7% 518,957 15.8%
$200,000 to $299,999 6,698 38.0% 310,631 26.9% 725,004 22.1%
$300,000 to $499,999 5,991 34.0% 303,331 26.2% 613,486 18.7%
$500,000 to $999,999 - 937 5.3% 125,991 10.9% 234,600 72%
$1,000,000 or more 34 0.2% 29.748 2.6% 53.191 1.6%
Total 17,619 100.0% 1,156,652 100.0% 3,279,571 100.0%
Note: (1) Source: U.S. Bureau of the Census, 2007 -2011 American Community Survey 5 -Year Estimates.
Mortgage Status
The City Cook Counter State of Illinois
Value Number Percent Number Percent Number Percent
Housing Units with a Mortgage 11,597 65.8% 825,981 71.4% 2,272,745 69.3%
Housing Units without a Mortgage 6,022 34.2% 330.671 28.6% 1.006.826 30.7%
Total 17,619 100.0% 1,156,652 100.0% 3,279,571 100.0%
Note: (1) Source: U.S. Bureau of the Census, 2007 -2011 American Community Survey 5 -Year Estimates.
6
CO of Des Plaines, Cook County, Illinois
$7,945,000 Taxable General Obligation Refunding Bonds, Series2013
Income
Per Capita Personal Income
for the Ten Highest Income Counties in the State(1)
Rank 2007 -2011
1 Lake County $38,512
2 DuPage County 38,405
3 McHenry County 32,318
4 Monroe County 31,570
5 Kendall County 31,325
6 Will County 30,199
7 Cook County 29,920
8 Woodford County 29,886
9 Kane County 29,864
10 Sangamon County 29,167
Note: (1) Source: U.S. Bureau of the Census. 2007 -2011
American Community 5 -Year Estimates.
The following shows a ranking of median family income for the Chicago metropolitan area from the 2007 -2011
American Community Survey.
Ranking of Median Family Income(1)
III. Family III.
County Income Rank
DuPage County $94,049 1
Lake County 93,260 2
Kendall County 90,696 3
McHenry County 87,133 4
WII County 86,372 5
Kane County 79,686 7
Cook County 65,842 20
Note: (1) Source: U.S. Bureau of the Census. 2007-
2011 American Community 5 -Year Estimates.
According to the 2007 -2011 American Community Survey 5 -Year Estimates, the City had a median family
income of $79,161. This compares to $65,842 for Cook County and $69,658 for the State. The following table
represents the distribution of family incomes for the City, Cook County and the State.
Median Family Income(1)
The City Cook County State of Illinois
Income Number Percent Number Percent Number Percent
Under $10,000 212 1.5% 63,241 5.3% 131,841 4.2%
$10,000 to $14,999 237 1.6% 39,634 3.3% 86,610 2.7%
$15,000 to $24,999 390 2.7% 100,077 8.4% 224,421 7.1%
$25,000 to $34,999 1,235 8.6% 105,831 8.8% 260,262 8.3%
$35,000 to $49,999 1,721 11.9% 147.041 12.3% 389,862 12.4%
$50,000 to $74,999 2,892 20.1% 213,790 17.9% 606,737 19.2%
$75,000 to 599,999 2,644 18.3% 166,870 13.9% 486,151 15.4%
$100,000 to $149,999 3,104 21.5% 192,184 16.1% 547,784 17.4%
$150,000 to $199,999 1,236 8.6% 78,924 6.6% 212,016 6.7%
$200,000 or more 741 5.1% 89,204 7.5% 207 841 6.6%
Total 14,412 100.0% 1,196,796 100.0% 3,153,525 100.0%
Note: (1) Source: U.S. Bureau of the Census, 2007 -2011 American Community Survey 5 -Year Estimates.
7
City of Des Plaines, Cook County, Illinois
57,945,000 ]'arable General Obligation Refunding Bonds, Series20]3
According to the 2007 -2011 American Community Survey 5 -Year Estimates, the City had a median household
income of $63,528. This compares to $54,598 for Cook County and $56,576 for the State. The following table
represents the distribution of household incomes for the City, Cook County and the State.
The City Cook County State of Illinois
Income Number Percent Number Percent Number Percent
Under $10,000 736 3A% 155,944 8.1 % 324,506 6.8%
$10,000 to $14,999 738 3.4% 95,215 4.9% 225,927 4.7%
$15,000 to $24,999 1,811 8.3% 201,175 10.4% 480,204 10.1%
$25,000 to $34,999 2,352 10.7% 187,616 9.7% 462,115 9.7%
$35,000 to $49,999 2,689 12.3% 251,609 13.0% 628,998 13.2%
$50,000 to $74,999 4,357 19.9% 345,130 17.8% 884,623 18.5%
$75,000 to $99,999 3,238 14.8% 238,954 12.4% 627,813 13.2%
$100,000 to $149,999 3,720 17.0% 252,033 13.0% 656,199 13.7%
$150,000 to $199,999 1,422 6.5% 98,215 5.1% 243,765 5.1%
$200,000 or more 820 3.7% 108,880 5.6% 238,852 5.0%
Total 21,883 100.0% 1,934,771 100.0% 4,773,002 100.0%
Retail and Conunercial Activity
Median Household Income(1)
Note: (1) Source: U.S. Bureau of the Census, 2007 -2011 American Community Survey 5 -Year Estimates.
The City's major downtown redevelopment project, Metropolitan Square, was fully built and reached full tax
valuation in 2008. This mixed -use redevelopment features 142 condominium/loft residences; 114,000 square feet of
retail space; another 27,000 square feet of office space; a 471 -car public parking garage and civic streetscape
improvements. This multifaceted development has served as the anchor for subsequent smaller commercial
redevelopment activities that have occurred within the downtown on an ongoing basis. The property was recently
acquired by World Class Capital Group, LLC (WCCG) in May 2012. During this short period, WCCG has successfully
completed eight (8) long term lease renewals (10 years) with tenants such as Potbelly Sandwich Shop, Panera Bread and
Chiro One Wellness Center, in addition to two (2) new tenants including a 12,000 square foot fitness gym and 7,000
square foot upscale neighborhood bar and grill. Metropolitan Square now features a 77% occupancy rate. The City is
continuing its commitment to enhance economic activity in the downtown TIF District No. 1 area through various brick
and mortar projects and professional services. For example, the Des Plaines comprehensive streetscape plan will
significantly improve pedestrian connectivity, safety and shopping experience through new way finding signage, traffic
calming techniques and improved sidewalk and crosswalks. This project also includes the rehabilitation of its
Downtown Metra train station. The City is also continuing its three Downtown Business Assistance Programs to attract
commercial investment in the neighborhood; in 2013, three (3) new businesses utilized the program which included two
(2) restaurants.
In 2013, the City has partnered with an economic development firm to create an action plan exclusively for
business attraction, retention, strategy recommendations and also includes an up -to -date overview of the Des Plaines
market conditions. The consultant, together with the City has also created a new visual identity specifically for
marketing. This professional economic development focused approach will work in concert with the City's recently
simplified business registration policy.
There is the potential for significant commercial development within the 70 -acre Five Corners TIF District,
situated at the juncture of three of the heavily traveled arterial corridors in the metropolitan area, Rand Road, Des
Plaines River Road and Golf Road. The district is envisioned as a retail /mixed -use commercial center, generating both
sales and property tax revenues far in excess of the current property taxes generated by that district, which is currently
used primarily for industrial uses.
8
Clry oInes Plaines, Cook County, Illinois
$1945,000 ramble General Obligation Refunding Bonds Series 2013
Industrial Activity
The ongoing expansion of O'Hare International Airport and its siting of the new air cargo terminal adjacent to
the City have fostered a major air freight industry cluster within the industrial quadrant of the City. Integrated freight
forwarding companies Forward Air, DB Schenker, and Nippon Express have completed terminals within the City, and
the City's TIF District No. 3 is 100% built out with the development of facilities for Hellman, Coasters, Caterpillar
Logistics and Bombardier companies. An additional site for air freight development has been acquired and cleared by
International Airport Centers.
The City Council supported the issuance of three (3) Cook County 6B property tax classifications to attract
new investments in its manufacturing sector Two (2) of the three (3) businesses will substantially rehabilitate its' newly
acquired buildings and provide approximately 45 new jobs. Of note, Charles Equipment Energy Systems anticipates
generating approximately $10,000 to $50,000 in sales tax annually The third 6B applicant will construct a brand new
$6.83 million state -of -the art LEED certified structure in the center of 21 neighboring manufacturing buildings. Its
location was heavily influenced based on its proximity to the forthcoming $200 million Chicago O'Hare International
Airport Northeast Cargo Center project.
Entertainment
On December 23, 2008, the City was selected by the State of Illinois as the recipient of the 10th and final
Illinois gaming license, based upon the City's agreement with Midwest Gaining and Entertainment for that company to
construct a 1,200 -seat casino, parking structure, hotel and restaurant complex through a phased development on a 20-
plus acre site in the far southeast corner of the community. The Rivers Casino opened in July 2011 and has had the
highest adjusted gross receipts of any casino in the State for each of the full months (averaging over $30,000,000 per
month) since opening. The City has a tax revenue sharing agreement in place with Midwest Gaming in which
$10,000,000 of the gaming tax revenues generated from the Casino are sent to the State of Illinois and 40% of the
remaining revenues are shared with 10 distressed communities named in the original agreement. Further redevelopment
of adjacent commercial properties is anticipated as well. The Casino is one of the City's newest principal employers
with nearly 1,400 positions. Additional community benefits include the recent (October, 2013) donation of $150,000 to
the Des Plaines Oakton Community College campus for scholarships. Oakton is also in the process of constructing a
new 93,000 square -foot Science and Health Careers Center (set to open in 2014).
Sales Taxes
activity.
The table below shows sales tax receipts in the City over the past ten years, as an indicator of commercial
Retailers' Occupation, Service Occupation and Use Tax (1)
State Fiscal Year State Sales Tax Home Rule Sales Tax Total Percentage
Ending June 30 Distributions(2) Distributions Distributions Change + ( -)
2004 $7,869,504 $3,881,000 $11,750,504 2.12 %(3)
2005 7,819,815 3,970,243 11,790,058 0.34%
2006 8,377,712 4,223,008 12,600,721 6.88%
2007 8,333,032 5,517,995 13,851,027 9.92%
2008 8,590,038 5,739,317 14,329,355 3.45%
2009 7,940,514 5,200,163 13,140,676 (8.30 %)
2010 7,654,977 4,850,113 12,505,090 (4.84 %)
2011 7,846,363 4,882,813 12,729,177 1.79%
2012 8,040,265 5,191,286 13,231,552 3.95%
2013 8,881,733 5,550,747 14,432,481 9.08%
Growth from 2004 to 2013 22.82%
Notes: (1) Source: Illinois Department of Revenue.
(2) Tax distributions are based on records of the Illinois Department of Revenue relating to the 1% municipal portion of the
Retailers' Occupation, Service Occupation and Use Taxes, collected on behalf of the City, less a State administration
fee. The municipal 1% includes tax receipts from the sale of food and drugs which are not taxed by the State.
(3) The 2004 percentage is based on a 2003 sales tax receipts of $11,506,141.
9
Ciy of Des Plaines, Cook County, Illinois
$7,945,000 "ramble Gneral Obligation Refunding Bonk, Series 2013
Effective January 1, 1994, the City enacted and began to collect an additional 1/2% home rule option sales tax
on most goods sold at retail and on most goods sold in conjunction with services. Revenues from this tax are
specifically earmarked for capital improvements and not for use in general operations.
Effective January 1, 1999, the City enacted and began to collect an additional I/4% home rule option sales tax
on most goods and services. Revenues from this tax are specifically earmarked for debt service on the Series 1998 and
Series 1999 Bonds related to the new library and not for use in general operations.
Effective July 1, 2006, the City enacted and began to collect an additional Y4 % home rule option sales tax on
most goods and services. Revenues from this tax are specifically earmarked for general fund operations.
PLAN OF FINANCING
The Bond proceeds will be used to currently refund the City's outstanding Taxable General Obligation Bonds,
Series 2004B (the "Series 2004B Refunded Bonds ") due December 1, 2014 -2020 and to currently refund the City's
outstanding Taxable General Obligation Bonds, Series 2005F (the "Series 2005F Refunded Bonds ", and together with
the Series 2004B Refunded Bonds, the "Refunded Bonds ") due December 1, 2014 -2021, as listed below:
The Refunded Bonds
Taxable General Obligation Bonds, Series 2004E
(As of December 17, 2013)
Amount
Outstanding Refunded Issue Redemption Redemption
Amount With Bonds(1) Name Maturities Price Date
$ 510,000 $ 510,000 Series 2005F 12/1/2014 100.00% 1/17/2014
535,000(2) 535,000(2) Series 2005F 12/1/2015 100.00% 1/17/2014
570,000(2) 570,000(2) Series 2005F 12/1/2016 100.00% 1/17/2014
600,000(3) 600,000(3) Series 2005F 12/1/2017 100.00% 1/17/2014
640,000(3) 640,000(3) Series 2005F 12/1/2018 100.00% 1/17/2014
670,000(4) 670,000(4) Series 2005F 12/1/2019 100.00% 1/17/2014
715,000(4) 715,000(4) Series 2005F 12/1/2020 100.00% 1/17/2014
760 000(4) 760.000(4) Series 2005F 12/1/2021 100.00% 1/17/2014
$5,000,000 $5,000,000
Notes: (1) Subject to change. Mandatory redemption amounts are shown for term bonds.
(2) Term bond due December 1, 2016.
(3) Term bond due December 1, 2018.
(4) Term bond due December 1, 2021.
Taxable General Obligation Bonds, Series 2005F
(As of December 17, 2013)
Amount
Outstanding Refunded Issue Redemption Redemption
Amount With Bonds(1) Name Maturities Price Date
$ 365,000 $ 365,000 Series 2004B 12/1/2014 100.00% 1/17/2014
385,000 385,000 Series 20048 12/1/2015 100.00% 1/17/2014
410,000(2) 410,000(2) Series 2004B 12/1/2016 100.00% 1/17/2014
430,000(2) 430,000(2) Series 2004B 12/1/2017 100.00% 1/17/2014
455,000(2) 455,000(2) Series 2004B 12/1/2018 100.00% 1/17/2014
480,000(2) 480,000(2) Series 20046 12/1/2019 100.00% 1/17/2014
505 000(2) 505,000(2) Series 20048 12/1/2020 100.00% 1/17/2014
$3,030,000 $3,030,000
Notes: (1) Subject to change. Mandatory redemption amounts are shown for term bonds.
(2) Term bond due December 1, 2020.
10
City of Des Plaines, Cook County, Illinois
$$945,000 Taxable General Obligation Refunding Binds, Series 2013
A portion of the Bond proceeds will be used: (i) to pay when due the interest on the Refunded Bonds as stated
above, and (ii) to pay principal of the Refunded Bonds on the redemption date The remaining bond proceeds will be
used to pay the costs of issuing the Bonds.
The Bond proceeds will be held in a redemption account (the "Redemption Account ") account created
pursuant to the bond ordinance (the "Bond Ordinance "), as a separate City account to be held until the redemption
date
DEBT INFORMATION
After issuance of the Bonds and the refunding of the Refunded Bonds, the City will have outstanding
$46,086,444 principal amount of general obligation bonds, of which $45,361,444 or over 98.4% is fully self- supporting
from water system revenues, TIF revenues, sales and utility taxes, sewer fees and other fees. In addition, the City has
Illinois Finance Authority loans in the amount of $200,000 and TIF revenue notes (which are not general obligations of
the City) payable in the amount of $482,387. The City has no tax anticipation notes or revenue bonds outstanding.
As a home rule municipality under 1970 Illinois Constitution, the City has no statutory debt limitation or
property tax levy limitation, and is not required to seek referendum approval to issue general obligation bonds,
including the Bonds.
General Obligation Debt - By Issue (1)
Principal
Issue Date Issue Name Outstanding
9/3/2003 Taxable General Obligation Bonds, Series 2003C $ 1,940,000
6/3/2004 Taxable General Obligation Bonds, Series 2004B 5,000,000
1/3/2005 General Obligation Bonds, Series 2005A 2,670,000
2/1/2005 General Obligation Refunding Bonds, Series 2005D 7,365,000
6/1/2005 General Obligation Bonds, Series 2005E 0(2)
6/1/2005 Taxable General Obligation Bonds, Series 2005F 3,030,000
6/1/2005 General Obligation Bonds, Series 2005G 325,000
10/23/2007 General Obligation Refunding Bonds, Series 2007A 3,370,000
10/23/2007 General Obligation Refunding Bonds, Series 2007B 915,000
4/1/2008 Taxable General Obligation Corporate Purpose Refunding Bonds,
Series 2008A 1,335,000
11/3/2009 Taxable General Obligation Refunding Bonds, Series 2009A Bonds.... 2,860,685
11/3/2009 General Obligation Refunding Bonds, Series 2009B Bonds.. 1,010,000
1/6/2010 General Obligation Refunding Bonds, Series 2010A Bonds 3,945,000
1/6/2010 General Obligation Refunding Bonds, Series 2010B Bonds 6,110,760
12/22/2011 General Obligation Refunding Bonds, Series 2011 2,985,000
12/18/2012 General Obligation Refunding Bonds, Series 2012 Bonds 3,310,000
Total $46,171,444
Less - The Refunded Bonds:
Taxable General Obligation Bonds, Series 2004B $ (5,000,000)
Taxable General Obligation Bonds, Series 2005F (3,030,000)
Total $ (8,030,000)
Plus — The Bonds:
Taxable General Obligation Refunding Bonds, Series 2013 $ 7 945 000
Total $46,086,444
Less Self Supporting (45,361,444)
Tax Supported Debt $ 725,000
Notes: (1) Source: the City. Excludes December 1, 2013 maturities.
(2) The City intends to redeem the Series 2005E Bonds on December 9, 2013 from cash on hand.
11
Supported By
TIF Revenues
TIF Revenues
TIF Revenues
Sales & Utility Taxes /Fees
Sewer Fees /TIF Revenues
TIF Revenues
TIF Revenues
Property Taxes/ Sales & Utility Taxes /Fees
Property Taxes/TIF Revenues
TIF Revenues
TIF Revenues
Sales & Utility Taxes /Fees
TIF Revenues
TIF Revenues
TIF Revenues
TIF Revenues
TIF Revenues /Special Revenues
TIF Revenues
CID. of lies ?loin cs Co fiend, INne
$7945.000 Z¢mble Qnud ObfigWm
General Obligation Debt (1)
Principal Only
Calendar Total Less: he Refunded Bonds Plus: The Self- Tax
Year Outstanding Series 200 B Series 200 F Bonds Total Supporting Supporte
2014 $ 4,784281 $ (51000 ) $ (35500) $ 945,00 $ 4854,281 $ 4,774,281 $ 80,00
2015 4926,357 (535,00 ) (385,00) 965,00 4,971,357 4,886,357 85,00
2016 4,495,154 (570,00 ) (410,00) 1,005,00 4,520,154 4,435,154 85,00
2017 5,298,556 (600,00 ) (430,00) 1,030,0 5,298,556 5,213,556 85,00
2018 6,074,198 (640,00 ) (455,00) 1070,00 6,049,198 5,959,198 90,00
2019 4,376,162 (670,00 ) (480,00) 1,100,00 4,326,162 4,231,162 95,00
2020 4,555,637 (715,00 ) (505,00) 1,140,00 4,475,637 4,375,637 100,00
2021 3,467,360 (760,00 ) 690,00 3,397,360 3,292,360 105,00
2022 2,164,790 2,164,790 2,164,790
2023 1,579,584 1,579,584 1,579,584
2024 1,213,041 1,213,041 1,213,041
2025 1,179,295 1,179,295 1,179,295
2026 1,207,030 1,207,030 1,207,030
2027 415,000 415,000 415,000
2028... 435 000 435 000 435 000
Total $46,171,445 6(5,000,00 ) 6(3,030,00) 67,945,00 $46,086,444 $45,361,444 $725,00
Cumulative Retirement(21
Amount Percent
$ 80,000 11.03%
155,000 2276%
250,000 34.48%
335,000 46.21%
425,000 58.62%
520,000 71.72%
620,000 85.52%
725,000 100.00%
Notes: (1) Source: the City.
(2) The City is planning to redeem Its outstanding General Obligation Bonds, Series 2005E Bonds from cash on hand. The redemption is expected to occur on December 9, 2013. Th
is excluded.
12
ries
City of Des Plaines, Cook County, Illinois
37,943,000 Taxable General Obligation Ring Bonds, Series 2013
Detailed Overlapping Bonded Debt(1)
(As of October 17, 2013)
Total Debt
Applicable to the City
Percent(2) Amount
Schools:
School District 26 $ 13,440,000 8.01% $ 1,076,544
School District No. 57 10,600,000 1.44% 152,640
School District No. 59 13,455,000 11.71% 1,575,581
School District No. 62 103,215,000 91.08% 94,008,222
School District No. 64 10,780,000 0.00 %(3) 140
High School District No. 207 5,870,000 34.83% 2,044,521
High School District No. 214 71,550,000 3.95% 2,826,225
Harper Community College District No. 512 182,990,000 1.80% 3 293 820
Total Schools $104,977,693
Other:
Cook County 3,706,435,000 1.50% $ 55,596,525
Cook County Forest Preserve District 187,950,000 1.50% 2,819,250
Metropolitan Water Reclamation District 2,238,816,507 1.53% 34,253,893
Elk Grove Park District 15,305,000 0.69% 105,605
Des Plaines Park District 7,158,960 92.99% 6,657,117
Mt. Prospect Park District 14,070,000 19.77% 2 781 639
Total Others $102 214 028
Total Overlapping Debt $207,191,721
Notes: (1) Source: Cook County Clerk.
(2) Percentage based on 2012 EAV's, the most current available.
(3) Percentage equals 0.0013 %.
Statement of Bonded Indebtedness (1)
Ratio To Per Capita
Amount Equalized Estimated (2010 Census
Applicable Assessed Actual 58,364)
City EAV of Taxable Property, 2012 $2,039,939,367 100.00% 33.33% $ 34,952.01
Estimated Actual Value, 2012 $6,119,818,101 300.00% 100.00% $104,856.04
Total Direct Bonded Debt(2) $ 46,086,444 2.26% 0.75% $ 789.64
Less: Self Supporting (45,361,444) (2.22%) (0.74 %) (777.22)
Net Direct Debt $ 725,000 0.04% 0.01% $ 12.42
Overlapping Bonded Debt(3):
Schools $ 104,977,693 5.15% 1.72% $ 1,798.67
Other 102,214,028 5.01% 1.67% 1751.32
Total Overlapping Bonded Debt $ 207,191,721 10.16% 3.39% $ 3,549.99
Total Direct and Overlapping Bonded Debt $ 207,916,721 10.19% 3.40% $ 3,562.41
Note: (1) Source: Cook County Clerk.
(2) Includes the Bonds and excludes the Refunded Bonds and the Series 2005E Bonds scheduled to be redeemed with cash on hand
on December 9, 2013.
(3) As of October 17, 2013.
13
Cry of Des Plaines, Cook County, Illinois
87,945,000 Taxable General Obligation Refunding Bonds, Series 2013
PROPERTY ASSESSMENT AND TAX INFORMATION
For the 2012 levy year, the most recent for which a detail is available the City's EAV was comprised of
59.80% residential, 23.03% industrial, 17.04% commercial, 0% farm and 0.12% railroad property valuations.
Property Class
Residential
Farm
Commercial ..
Industrial
Railroad
Total
Percent Change +( -)
2008
$1,445,674,164
0
539,653,907
641,428,908
1,831.615
$2,628,588,594
6.53%
2009
$1,511,280,909
0
474,846,756
540,260,183
2,037,298
$2,528,425,146
(3.81 %)
Notes: (1) Source: Cook County Clerk.
(2) Levy year was a triennial reassessment year.
(3) Percentage change based on 2007 EAV of $2,467,463,828.
Notes: (1)
(2)
(3)
(4)
Real Estate Property
Pollution Control District
Railroad Property
Total
Note: (1) Source: Cook County Clerk
City Equalized Assessed Valuation (1)
Levy Years
2010(2)
$1,414,639,043
0
451,436,196
526,094,614
2,507,411
$2,394,677,264
(5.29 %)
Equalized Assessed Valuation by Township (1)
Representative Tax Rates(1)
(Per $100 EAV)
14
2012
Elk Grove Maine Wheeling
$340,543,871 $1,653,678,938 $43,167,099
0 797 0
0 2 548 662 0
$340,543,871 $1,656,228,397 $43,167,099
Lew Years
City Rates: 2008 2009 2010
General Corporate(2) $0.7801 $0.8661 $0.9466
Public Library 0.2595 0.2570 0.2800
Bonds and Interest 0.0502 0.0507 0.0515
Total City Rates(3) $1.0910 $1.1740 $1.2790
Cook County 0.4150 0.4150 0.4230
Cook County Forest Preserve 0.0510 0.0490 0.0510
Metropolitan Water Reclamation District 0.2520 0.2610 0.2740
Maine Township 0.1120 0.1170 0.1310
School District Number 62 2.3290 2.4920 2.7410
High School District Number 207 1.5770 1.6170 1.7820
Community College Number 535 0.1400 0.1400 0.1600
Des Plaines Park District 0.3000 0.3170 0.3380
Other Districts 0.0080 0.0080 0.0090
Total Tax Rates(4) $6.2750 $6.5900 $7.1880
2011 2012
$1,320,637,690 $1,219,894,729
0 0
378,063,481 347,645,864
483,073,522 469,850,112
2,558,611 2 548 662
$2,184,333,304 $2,039,939,367
(8.78 %) (6.61 %)
Total
$2,037,389,908
797
2,548.662
$2,039,939,367
2011
$1.0833
0.3000
0.0052
$1.3890
0.4620
0.0580
0.3200
0.1490
3.1070
1.9950
0.1960
0.3790
0.0350
$8.0900
2012
$1.1603
0.3170
0.0054
$1.4827
0.5310
0.0630
0.3700
0.1680
3.4900
2.2150
0.2190
0.4250
0.0110
$8.9747
Source: Cook County Clerk.
Includes Police and Firemen's Pension.
As a home rule municipality, the City has no statutory tax rate limits.
Representative tax rates for other government units are from Maine Township tax code 22028, which represents 64.3% of the City's
2012 EAV, the most recent available.
Gory of Des Plaines, Cook County, Illinois
$7, 945, 000 Taxable General Obligation Refunding Bands, Series 201
Taxpayer Name Product/Business 2012 EAV(2)
Midwest Gaming Casino Complex $ 62,021,247
Universal Oil Products Chemicals Manufacturer, Catalysts Research and Development 29,327,706
O'Hare Lake Office Park LLC Office Complex 21,810,925
Crane and Norcross Attorneys at Law 18,588,233
MLRP Messenger LLC Real Property 18,263,853
Juno Lighting Lighting Products 14,259,341
Individual Real Property 13,340,005
Abbott Labs Medical Laboratories 11,919,909
S8C Ameritech Real Property 8,996,069
Apple Reit Ten Real Property 8,800,326
Total $207,327,614
Ten largest as a percent of the City's 2012 EAV ($2,039,939,367) 10.16%
Notes: (1) Source: Cook County Clerk.
(2) Every effort has been made to reach and report the largest taxpayers. However, many of the taxpayers listed contain multiple
parcels and it is possible that some parcels and their valuations have been overlooked. The 2012 EAV is the most current
available.
REAL PROPERTY ASSESSMENT, TAX LEVY AND COLLECTION PROCEDURES
Real Property Assessment
City Tax Levies and Collections (1)
Levy Coll. Taxes Total Collections(2)
Year Year Levied Amount Percent
2008 2009 $21,166,699 $21,492,547 101.54%
2009 2010 22,482,862 22,774,391 101.30%
2010 2011 23,181,760 23,750,110 102.45%
2011 2012 23,181,760 23,423,462 101.04%
2012 2013(5) 23,083,150 23,041,012 99.82%
Notes: (1) Source: Cook County Clerk and the City.
(2) Total Collections reflect all monies attributable to the specific tax but
distributed to the taxing body over a period of time. This is updated
annually by the County Treasurer and therefore is subject to revision as
the treasurer makes allocations in the future. Excludes refunds and
includes taxes held in reserve and interest earnings.
(3) Total tax levy does not include the "loss levy" of 3% for corporate
purposes and 5% for debt service which is extended by the County to
cover the County's operating costs. The City may receive a portion of
this "loss levy ", and therefore the percentage of levy collected may
exceed 100 %.
(4) Levy amount and collections refer only to City, and not the Library
Component Unit.
(5) In collection. As of September 30, 2013.
Large City Taxpayers(1)
The County Assessor (the "Assessor ") is responsible for the assessment of all taxable real property within Cook
County (the "County"), including that in the City, except for certain railroad property and pollution control facilities,
which are assessed directly by the Illinois Department of Revenue (the "Department of Revenue "). For triennial
reassessment purposes, Cook County is divided into three districts: west and south suburbs (the "South Tri "), north and
northwest suburbs (the "North Tri "), and the City of Chicago (the "City Tri"). The City is located in the North Tri
and was reassessed for the 2010 tax levy year.
15
City of Des Plaines. Gook Country, Illinois
$7,945,000 Taxable General Obligation Refunding Bonds, Series 2013
Real property in the County is separated into classes for assessment purposes. After the County Assessor
establishes the fair market value of a parcel of property, that value is multiplied by the appropriate classification
percentage to arrive at the assessed valuation (the "Assessed Valuation ") for the parcel. Prior to the 2009 tax levy
year, the classification percentages ranged from 16% for certain residential, commercial and industrial property to 36 %
and 38 %, respectively, for other industrial and commercial property. On September 17, 2008, the Cook County Board
of Commissioners approved changes to the property classification ordinance. The changes reduced the percentages
used to calculate the assessed value of real property in the County for real estate tax purposes. These reductions take
effect in the 2009 tax levy year. Such new classification percentages range from 10% for certain residential,
commercial and industrial property to 25 % for other industrial and commercial property.
Property is classified for assessment into six basic categories, each of which is assessed (beginning with the
2009 tax levy year) at various percentages of fair market value as follows: Class 1) unimproved real estate - 10 %;
Class 2) residential - 10 %; Class 3) rental - residential - 16 %, in tax year 2009, 13% in assessment year 2010, and 10%
in assessment year 2011 and subsequent years; Class 4) not-for-profit - 25 %; Class 5a) commercial - 25 %; Class 5b)
industrial - 25 %. There are also seven additional categories. Newly constructed industrial properties or substantially
rehabilitated sections of existing industrial properties within the County may qualify for a Class 6b assessment level,
which assessment level is 10% for the first 10 years and for any subsequent 10 -year renewal periods. However, if the
incentive is not renewed, the 6b assessment level is 15% in year 11 and 20% in year 12, hereafter reverting to Class
5b. Real estate, which is to be used for industrial or commercial purposes where such real estate has undergone
environmental testing and remediation, may be eligible for a Class C assessment level. The Class C assessment level
for industrial properties is 10% for the first 10 years, 15% in year 11 and 20% in year 12, thereafter reverting to Class
5b. Class C commercial properties are assessed at 10% for the first 10 years, 15% in year 11 and 20% in year 12,
thereafter reverting to Class 5a. Commercial properties that are newly constructed or substantially rehabilitated and are
within an area determined to be an area in need of commercial development may be classified as Class 7a or 7b
property, and will then be assessed at a level of 10% for the first 10 years, 15% in year 11 and 20% in year 12,
thereafter reverting to Class 5a. Certain commercial and industrial properties located in zones determined to be in need
of substantial revitalization or in an enterprise community could be eligible for Class 8 assessments. The Class 8
assessment level for industrial properties is 10% for the first 10 years and for any subsequent 10 -year renewal periods.
If the incentive is not renewed, the Class 8 assessment level for industrial properties is 15 % in year 11 and 20 % in year
12, thereafter reverting to Class 5b. The Class 8 assessment level for commercial properties is 10% for the first 10
years, 15% in year 11 and 20% in year 12, thereafter reverting to Class 5a. Substantially rehabilitated or new
construction multi - family residential properties within certain target areas, empowerment or enterprise zones may be
eligible for Class 9 categorization The Class 9 assessment level is 10% for an initial 10 -year period, renewable upon
application for additional 10 -year periods. When the Class 9 assessment level expires, the assessment level reverts to
the applicable classification. Rental - residential (Class 3) properties subject to a Section 8 contract that has been
renewed under the "Mark Up To Market" option may qualify for a Class S assessment level. The Class S assessment
level is 10% for the term of the Section 8 contract renewal under the Mark Up To Market option, and for any
additional terms of renewal of the Section 8 contract under the Mark Up To Market option. When the Class S
assessment level expires, the assessment level reverts to Class 3. Substantially rehabilitated properties which are
designated as Class 3, Class 4, Class 5a or Class 5b and which qualify as Landmark or Contributing buildings may
qualify for a Class L assessment level. The Class L assessment level for Class 3, 4 or 5b properties is 10% for the first
10 years and for any subsequent 10 -year renewal periods. If the incentive is not renewed, the Class L assessment level
is 15% in year 11 and 20% in year 12, thereafter reverting to Class 3, 4 or 5b. Class L commercial properties are
assessed at 10% for the first 10 years, 15% in year 11 and 20% in year 12, thereafter reverting to Class 5a.
The Assessor has established procedures enabling taxpayers to contest their proposed Assessed Valuations.
Once the Assessor certifies its final Assessed Valuations, a taxpayer can seek review of its assessment by appealing to
the Cook County Board of Review, which consists of three commissioners elected by the voters of the County. The
Board of Review has the power to adjust the Assessed Valuations set by the Assessor.
16
CGry of Des Plaines, Cook County, Illinois
37,945,000 Taxable General Obligation Refunding Bonds, Series 2013
Owners of both residential property having six or fewer units and owners of real estate other than residential
property with six or fewer units are able to appeal decisions of the Board of Review to the Illinois Property Tax Appeal
Board (the "PTAB "), a statewide administrative body. The PTAB has the power to determine the Assessed Valuation
of real property based on equity and the weight of the evidence. Taxpayers may appeal the decision of PTAB to either
the Circuit Court of Cook County or the Illinois Appellate Court under the Illinois Administrative Review Law.
As an alternative to seeking review of Assessed Valuations by PTAB, taxpayers who have first exhausted their
remedies before the Board of Review may file an objection in the Circuit Court of Cook County similar to the previous
judicial review procedure but with a different standard of proof than that previously required. In addition, in cases
where the Assessor agrees that an assessment error has been made after tax bills have been issued, the Assessor can
correct any factual error, and thus reduce the amount of taxes due, by issuing a Certificate of Error. Certificates of
Error are not issued in cases where the only issue is the opinion of the valuation of the property.
Equalization
After the County Assessor has established the Assessed Valuation for each parcel for a given year, and
following any revisions by the Board of Review or PTAB, the Illinois Department of Revenue is required by statute to
review the Assessed Valuations. The Illinois Department of Revenue establishes an equalization factor (the
"Equalization Factor"), commonly called the "multiplier," for each county to make all valuations uniform among the
102 counties in the State Under State law, the aggregate of the assessments within each county is to be equalized at
33 -1/3% of the estimated fair cash value of real property located within the county prior to any applicable exemptions.
One multiplier is applied to all property in Cook County, regardless of its assessment category, except for some
farmland property which is not subject to equalization.
Once the Equalization Factor is established, the Assessed Valuation, as revised by the Board of Review or
PTAB, is multiplied by the Equalization Factor to determine the equalized assessed valuation (the "EAV ") of that
parcel. The EAV for each parcel is the final property valuation used for determination of tax liability. The aggregate
EAV for all parcels in any taxing body's jurisdiction, plus the valuation of property assessed directly by the State,
constitutes the total real estate tax base for the taxing body and is the figure used to calculate tax rates (the "Assessment
Base "). The following table sets forth the Equalization Factor for Cook County for the last 10 tax levy years.
TAX LEVY YEAR EQUALIZATION FACTOR
2003 2.4598
2004 2.5757
2005 2.7320
2006 2.7076
2007 2.8439
2008 2.9786
2009 3.3701
2010 3.3000
2011 2.9706
2012 2.8056
rr
City of Des Plaines, Cook Coping, Illinois
57, 945,000 Taxable General Obligation Refunding Bonds, Series 2013
Exemptions
Public Act 95 -644, effective October 17, 2007, made changes to and added a number of property tax
exemptions taken by residential property owners. These changes are discussed below.
An annual General Homestead Exemption provides that the EAV of certain property owned and used for
residential purposes ( "Residential Property ") may be reduced by $5,000 for assessment years 2004 through assessment
year 2007. Additionally, the reduction may be $5,500 for assessment year 2008, and $6,000 for assessment years 2009
and forward (the "General Homestead Exemption ").
The Alternative General Homestead Exemption (the "Alternative General Homestead Exemption ") caps EAV
increases for homeowners (who also reside on the property as their principal place of residence) at 7% a year, up to a
certain maximum each year as defined by the statute. Any amount of increase that exceeds the maximum exemption as
defined is added to the 7% increase and is part of that property's taxable EAV. Homes that do not increase by at least
7% a year are entitled, in the alternative, to the General Homestead Exemption as discussed above.
The Base Year for purposes of calculation of the Alternative General Homestead Exemption is 2002 for
properties located in the City Tri, 2003 for properties located in the North Tri and 2004 for properties located in the
South Tri. The Base Homestead Value is the EAV of the homestead property minus the General Homestead Exemption
for that year: $4,500 for years prior to 2004; $5,000 for 2004 through 2007; $5,500 for 2008 and $6,000 for the year
2009 and thereafter.
For properties in the City Tri, the Alternative General Homestead Exemption cannot exceed $33,000 for
assessment year 2006 (except as noted below), $26,000 for assessment year 2007, $20,000 for assessment year 2008
and $6,000 thereafter. For properties in the North Tri, the Alternative General Homestead Exemption cannot exceed
$20,000 for assessment year 2006, $33,000 for assessment year 2007, $26,000 for assessment year 2008, $20,000 for
assessment year 2009 and $6,000 thereafter. For properties in the South Tri, the Alternative General Homestead
Exemption cannot exceed $20,000 for assessment years 2006 and 2007, $33,000 for assessment year 2008, $26,000 for
assessment year 2009, $20,000 for assessment year 2010 and $6,000 thereafter.
Furthermore, only in the City Tri and only for assessment year 2006, the maximum exemption amount may be
increased to: (i) $40,000, provided that the EAV of the property for assessment year 2006 exceeds the EAV of that
property for assessment year 2002 by an amount equal to or greater than 100 %, or (ii) $35,000 provided that the EAV
of the property for assessment year 2006 exceeds the EAV of that property for assessment year 2002 by an amount
greater than 80% but not more than 100 %.
Finally, the Long -Time Occupant Homestead Exemption applies to those counties subject to the Alternative
General Homestead Exemption, including Cook County. Beginning with assessment year 2007 and thereafter, the EAV
of homestead property of a taxpayer who has owned the property for at least 10 years (or 5 years if purchased with
certain government assistance) and who has a household income of $100,000 or less ( "Qualified Homestead Property")
may increase by no more than 10% per year. If the taxpayer's annual income is $75,000 or less, the EAV of the
Qualified Homestead Property may increase by no more than 7% per year. There is no exemption limit for Qualified
Homestead Properties. Individuals applying for this exemption must comply with the following guidelines: (i)
continuously occupy their property for 10 years, as of January In of the assessment year, and occupy such property as
their principal residence or, (ii) continuously occupy their property as their principal place of residence for 5 years, as
of January 1" of the assessment year, provided that the property was purchased with certain government assistance.
18
City of Des Plaines, Cook County, Illinois
$7,,945.000 Taxable General Obligation Refunding Bonds, Series 2013
In addition, the Homestead Improvement Exemption ( "Homestead Improvement Exemption ") applies to
residential properties that have been improved and to properties that have been rebuilt in the two years following a
catastrophic event. The exemption is limited to $45,000 through December 31, 2003, and $75,000 per year beginning
January 1, 2004, and thereafter, to the extent the assessed value is attributable solely to such improvements or
rebuilding.
Additional exemptions exist for senior citizens. The Senior Citizens Homestead Exemption ( "Senior Citizens
Homestead Exemption ") operates annually to reduce the EAV on a senior citizen's home by $3,500 in all counties. In
addition, for assessment year 2008 and thereafter, the maximum reduction is $4,000 for all counties. Furthermore,
property that is first occupied as a residence after January 1 of any assessment year by a person who is eligible for the
Senior Citizens Homestead Exemption must be granted a prorata exemption for the assessment year based on the
number of days during the assessment year that the property is occupied as a residence by a person eligible for the
exemption.
A Senior Citizens Assessment Freeze Homestead Exemption ( "Senior Citizens Assessment Freeze Homestead
Exemption ") freezes property tax assessments for homeowners who are 65 and older, reside in their property as their
principal place of residence and receive a household income not in excess of the maximum income limitation. The
maximum income limitation is $50,000 for assessment years 2006 and 2007; for assessment years 2008 and after, the
maximum income limitation is $55,000. In general, the exemption grants qualifying senior citizens an exemption based
upon a "freeze" of their home's Assessed Valuation.
Another exemption, available to disabled veterans, may be applied annually to exempt up to $70,000 of the
Assessed Valuation of property owned and used exclusively by such veterans or their spouses for residential purposes.
However, individuals claiming exemption under the Disabled Persons' Homestead Exemption ( "Disabled Persons'
Homestead Exemption") or the hereinafter defined Disabled Veterans Standard Homestead Exemption cannot claim the
aforementioned exemption.
Also, certain property is exempt from taxation on the basis of ownership and /or use, such as public parks, not-
for- profit schools and public schools, churches, and not - for -profit hospitals and public hospitals
Furthermore, beginning with assessment year 2007, the Disabled Persons' Homestead Exemption provides an
annual homestead exemption in the amount of $2,000 for property that is owned and occupied by certain persons with a
disability. However, individuals claiming exemption as a disabled veteran or claiming exemption under the Disabled
Veterans Standard Homestead Exemption cannot claim the Disabled Persons' Homestead Exemption.
In addition, the Disabled Veterans Standard Homestead Exemption ( "Disabled Veterans Standard Homestead
Exemption ") provides disabled veterans an annual homestead exemption starting with assessment year 2007 and
thereafter. Specifically, (i) those veterans with a service- connected disability of 75% are granted an exemption of
$5,000 and (ii) those veterans with a service - connected disability of less than 75 %, but at least 50 %, are granted an
exemption of $2,500. Furthermore, the veteran's surviving spouse is entitled to the benefit of the exemption, provided
that the spouse has legal or beneficial title of the homestead, resides permanently on the homestead and does not
remarry. Moreover, if the property is sold by the surviving spouse, then an exemption amount not to exceed the
amount specified by the current property tax roll may be transferred to the spouse's new residence, provided that it is
the spouse's primary residence and the spouse does not remarry. However, individuals claiming exemption as a
disabled veteran or claiming an exemption under the Disabled Persons' Homestead Exemption cannot claim the
aforementioned exemption.
19
City of Des Plaines, Cook Country, Illinois
$7945,000 Taxable General Obligation Refunding Bonds, Series 2013
Also, beginning with assessment year 2007, the Returning Veterans' Homestead Exemption ( "Returning
Veterans' Homestead Exemption ") is available for property owned and occupied as the principal residence of a veteran
in the assessment year the veteran returns from an armed conflict while on active duty in the United States armed
forces. This provision grants a homestead exemption of $5,000, which is applicable in all counties. In order to apply
for this exemption, the individual must pay real estate taxes on the property, own the property or have either a legal or
an equitable interest in the property, subject to some limitations. Those individuals eligible for this exemption may
claim the exemption in addition to other homestead exemptions, unless otherwise noted.
Tax Levy
As part of the annual budgetary process of governmental units (the "Units ") with power to levy taxes in the
County, proceedings are adopted by the designated body for each Unit each year in which it determines to levy real
estate taxes. The administration and collection of real estate taxes is statutorily assigned to the County Clerk and the
County Treasurer. After the Units file their annual tax levies, the County Clerk computes the annual tax rate for each
Unit. The Cook County Clerk uses the prior year's EAV to compute the taxing district's maximum allowable levy.
The maximum levy that can be raised for a Unit is the maximum tax rate for that Unit multiplied by the prior year,
EAV for all property currently in the district. The prior year's EAV includes the prior year's EAV plus the EAV of
any new property, the current year value of any annexed property, and any recovered tax increment value, minus any
disconnected property for the current year under the Property Tax Extension Limitation Law ( "Limitation Law "). The
tax rate for a Unit is computed by dividing the lesser of the maximum allowable levy or the actual levy by the current
year's EAV.
Property Tax Extension Limitation Law
The Property Tax Extension Limitation Law (the "Limitation Law ") limits the amount of the annual increase in
property taxes to be extended for certain Illinois non -home rule units of government. In general, the Limitation Law
restricts the amount of such increases to the lesser of 5% or the percentage increase in the Consumer Price Index during
the calendar year preceding the levy year. Currently, the Limitation Law applies only to and is a limitation upon all
non -home rule taxing bodies in Cook County, the five collar counties (DuPage, Kane, Lake, McHenry and Will) and
several downstate counties.
Home rule units, including the City, are exempt from the limitations contained in the Limitation Law. If the
Limitation Law were to apply in the future to the City, the limitations set forth therein will not apply to any taxes levied
by the City to pay the principal of and interest on the Bonds.
Extensions
The County Clerk then computes the total tax rate applicable to each parcel of real property by aggregating the
tax rates of all of the Units having jurisdiction over the particular parcel. The County Clerk extends the tax by entering
the tax (determined by multiplying the total tax rate by the EAV of that parcel for the current assessment year) in the
books prepared for the County Collector (the "Warrant Books ") along with the tax rates, the Assessed Valuation and
the EAV. The Warrant Books are the County Collector's authority for the collection of taxes and are used by the
County Collector as the basis for issuing tax bills to all property owners.
0
Ciry of Des Plaines, Cook Cairo Minors
$1945,000 ratable General Obligation Refunding Bonds, Series 2013
Collections
Property taxes are collected by the County Collector, who is also the County Treasurer, who remits to each
Unit its share of the collections. Taxes levied in one year become payable during the following year in two
installments, the first due on March 1 and the second on the later of August 1 or 30 days after the mailing of the tax
bills. A payment due is deemed to be paid on time if the payment is postmarked on the due date The first installment
is equal to one -half of the prior year's tax bill; beginning in collection year 2010, this estimated amount was raised to
55 % of the prior year's tax bill. However, if a Certificate of Error is approved by a court or certified on or before
November 30 of the preceding year and before the estimated tax bills are prepared, then the first installment is instead
equal to one -half of the corrected prior year's tax bill. The second installment is for the balance of the current year's
tax bill, and is based on the then current tax year levy, assessed value and Equalization Factor, and reflects any changes
from the prior year in those factors. The following table sets forth the second installment penalty date for the last 10
tax levy years in Cook County; the first installment penalty date has been March 1 for all such years.
SECOND INSTALLMENT
TAX LEVY YEAR PENALTY DATE
2003 November 15, 2004
2004 November 2, 2005
2005 September 1, 2006
2006 December 3, 2007
2007 November 3, 2008
2008 December 1, 2009
2009 December 13, 2010
2010 November 1, 2011
2011 August 1, 2012
2012 August 1, 2013
It is possible that the changes to the assessment appeals process described above will cause delays similar to
those experienced in past years in preparation and mailing of the second installment in future years. The County may
provide for tax bills to be payable in four installments instead of two. However, the County has not required payment
of tax bills in four installments. During the periods of peak collections, tax receipts are forwarded to each Unit on a
weekly basis. Upon receipt of taxes from the County Collector, the City promptly credits the taxes received to the
funds for which they were levied.
At the end of each collection year, the County Collector presents the Warrant Books to the Circuit Court and
applies for a judgment for all unpaid taxes. The court orders resulting from the application for judgment provides for
an Annual Tax Sale (the "Annual Tax Sale ") of unpaid taxes shown on that year's Warrant Books. A public sale is
held, at which time successful tax buyers pay the unpaid taxes plus penalties. In each such public sale, the collector can
use any "automated means." Unpaid taxes accrue penalties at the rate of 1.5% per month from their due date until the
date of sale Taxpayers can redeem their property by paying the amount paid at the sale, plus a maximum of 12% for
each six -month period after the sale. If no redemption is made within the applicable redemption period (ranging from
six months to two and one -half years depending on the type and occupancy of the property) and the tax buyer files a
petition in the Circuit Court, notifying the necessary parties in accordance with the applicable law, the tax buyer
receives a deed to the property. In addition, there are miscellaneous statutory provisions for foreclosure of tax liens.
If there is no sale of the tax lien on a parcel of property at the Annual Tax Sale, the taxes are forfeited and the
property becomes eligible to be purchased at any time thereafter at an amount equal to all delinquent taxes and interest
accrued to the date of purchase. Redemption periods and procedures are the same as applicable to the Annual Tax
Sale.
21
CYry of Des Plaines, Cook County, Illinois
$7,945,000 7 General Obligation R funding Bonds, Series 2013
The Scavenger Sale (the "Scavenger Sale "), like the Annual 'Fax Sale, is a sale of unpaid taxes. The Scavenger
Sale is held every two years on all property on which two or more years' taxes are delinquent. The sale price of the
unpaid taxes is the amount bid at such sale, which may be less than the amount of delinquent taxes. Redemption
periods vary from six months to two and a half years depending upon the type and occupancy of the property.
Truth in Taxation Law
Legislation known as the Truth in Taxation Law (the "Law ") limits the aggregate amount of certain taxes which
can be levied by, and extended for, a taxing district to 105 % of the amount of taxes extended in the preceding year
unless specified notice, hearing and certification requirements are met by the taxing body. The express purpose of the
Law is to require published disclosure of, and hearing upon, an intention to adopt a levy in excess of the specified
levels.
Financial Reports
FINANCIAL INFORMATION
The City's accounting records for Governmental Funds, Expendable Trust Funds and Agency Funds are
maintained on the modified accrual basis of accounting. Under the modified accrual basis of accounting, revenues are
recorded when both measurable and available. Available means collectible within the current period or soon enough
thereafter to be used to pay liabilities of the current period. Expenditures, other than interest on long -term debt, are
recorded when the liability is incurred, if measurable. The accrual basis of accounting is used by Proprietary Funds
and Pension Trust Funds. See APPENDIX A for more detail.
The financial statements are audited annually by certified public accountants. For the fiscal years from 1980
through 2011, a period of 32 consecutive years, the City has received the Government Finance Officers Association
Certificate of Achievement for Excellence in Financial Reporting. The City has submitted its 2012 financial report for
application for the GFOA Certificate.
In 1998, the City Council enacted an electricity tax on use or consumption of electricity at rates associated with
the number of kilowatt hours used. In addition the City also has a Municipal Utility 'Fax and Gas Use Tax. In 1998,
the City started charging a municipal utility tax on natural gas of 3.09% of total gross receipts. In 2002, the City
Council imposed a tax on the privilege of using or consuming gas in the City that is purchased in a sale at retail at the
rate of 2.5 cents per therm. Additionally, the City started charging non - residents for using City ambulance services in
1995.
Effective January 1, 2003 the simplified municipal telecommunication tax act took effect. Under this act, land
based and wireless service providers remit up to 6% of their gross sales to the Illinois Department of Revenue. During
the 2008 Budget process the City passed an Ordinance establishing an increase to the rate in the amount of 3 %, for a
total of 6 %. Based on State Statute, the rate became enacted on July 1, 2008. For 2013, the City is estimating to
receive approximately $2.9 million of the telecommunication tax revenue.
22
city of Des Plaines, Cook County, Illinois
$7,945,000 ramble General Obliga'ion Refunding Bonds, Series 2013
Investment Policy
The City has adopted an investment policy. That policy follows the state statute for allowable investments.
Illinois Statutes authorize the City to make deposits /investments in insured commercial banks, savings and loan
institutions, obligations of the U.S. Treasury and U.S. Agencies, insured credit union shares, money market mutual
funds with portfolios of securities issued or guaranteed by the United States or agreement to repurchase these same
obligations, repurchase agreements, short -term commercial paper rated within the three highest classifications by at
least two standard rating services, and the Illinois Funds Investment Pool.
Pension funds may also invest in certain non -U.S. obligations, Illinois municipal corporations tax anticipation
warrants, veteran's loans, obligations of the State of Illinois and its political subdivisions, and the Illinois insurance
company general and separate accounts, mutual funds and equity securities. The police pension trust fund's investment
policy allows investments in all of the above listed accounts, but does exclude any repurchase agreements. The
firefighters' pension trust fund allows funds to be invested in any type of security authorized by the Illinois Pension
Code.
Additional restrictions may arise from local charters, ordinances, resolutions and grant resolutions.
The Police and Firefighter's Pension Trust Funds' policies are to maintain long -term focus on their investment
decision - making processes. Specifically, the Funds' benefit liabilities extend many years into the future As such, the
investment focus should be on long -term results.
No Consent or Updated Information Requested of the Auditor
The tables and excerpts (collectively, the "Excerpted Financial Information ") contained in this "FINANCIAL
INFORMATION" section and in APPENDIX A are from the audited financial statements of the City, including the
audited financial statements for the fiscal year ended December 31, 2012 (the "2012 Audit "). The 2012 Audit has been
prepared by Crowe Horwath LLP, Certified Public Accountants, Oak Brook, Illinois, (the "Auditor "), and approved by
formal action of the City Council. The City has not requested the Auditor to update information contained in the
Excerpted Financial Information; nor has the City requested that. the Auditor consent to the use of the Excerpted
Financial Information in this Final Official Statement. Other than as expressly set forth in this Final Official Statement,
the financial information contained in the Excerpted Financial Information has not been updated since the date of the
2012 Audit. The inclusion of the Excerpted Financial Information in this Final Official Statement in and of itself is not
intended to demonstrate the fiscal condition of the City since the date of the 2012 Audit. Questions or inquiries relating
to financial information of the City since the date of the 2012 Audit should be directed to the City.
Summary Financial Information
The following tables are summaries and do not purport to be the complete audits, copies of which are available
upon request. See APPENDIX A for excerpts of the City's 2012 fiscal year audit.
23
Gry of Des Plaines, Cook County, Illinois
$7,945,000 Tauabl e General Obligation Ref o,ding Bonds, Series 2013
DEFERRED OUTFLOWS OF RESOURCES:
Deferred Amounts from Refunding of Debt
DEFERRED INFLOWS OF RESOURCES:
Deferred Property Tax Revenue
Statement of Net Assets
Primary Government
Governmental Activities
2008
2009 2010
Audited As of December 31
ASSETS:
Cash and Investments $ 11,680,473 $ 21,048,313 $ 28,509,566 $ 39,425,620 $ 65,799,739
Receivables, Net of Allowances For Uncollectibles 0 0 0 0 0
Property Taxes 29,209,787 29,476,448 33,290,779 29,847,630 27,673,960
Accounts 1,375,841 1,394,480 1,691,423 4,596,737 4,736,908
Accrued Interest 8,207 4,348 666 1,057 7,530
Other Taxes 1,365,222 1,202,916 1,314,919 1,402,193 1,336,337
Other 301,052 753,507 982,477 956,093 561,986
Prepaid Expenses 592,810 697,787 3,372,295 3,261,796 3,183,227
Due from Other Governments 6,645,889 6,441,978 6,595,058 6,817,175 6,884,906
Internal Balances (92,634) (428,758) (464,648) (477,562) (484,170)
Deferred Charges 485,185 546,690 765,713 695,100 0
Net Pension Asset 460,128 727,227 937,828 1,244,308 1,442,870
Capital Assets Not Being Depreciated 73,123,073 • 73,373,128 78,625,349 72,860,664 72,860,664
Capital Assets, Being Depreciated 102 226 176 100,171,379 98,457,758 111,326,234 112 291 363
Total Assets $227 381 209 $235,409,443 $254 079 183 $271,957,045 $296 295 320
0
0
0
0
LIABILITIES:
Accounts Payable $ 2,558,724 $ 4,118,591 $ 3,781,440
Accrued Liabilities 1,667,497 884,324 1,117,785
Accrued Payroll 0 204,987 208,333
Other Payables 0 269,137 0
Accrued Interest Payable 300,336 313,575 210,205
Unearned Revenue 28,907,128 29,144,543 30,054,362
Deposits Payable 162,669 286,308 69,042
Short Tenn Notes Payable 0 7,112,000 0
Accrued Pension Contributions 314,461 0 0
Long -Term Obligations:
Due Within One Year 8,611,399 8,705,663 8,491,794
Due in More Than One Year 75,318.167 70,020 175 66,064,563
Total Liabilities $117,840,381 $121,059,303 $109,997,524
0
0
2011
0
$ 10,757,252
135,308
1,236,079
0
180,585
29,845,858
47,754
0
0
6,416,581
61,482,515
$110,101,932
2012
693,335
$ 18,982,994
99,888
1,277,237
0
175,095
264,466
46,382
0
0
7,435,057
55 779 769
$ 84,060,888
0 27,493,679
NET ASSETS:
Investment in Capital Assets, Net of Related Debt $100,771,214 $106,143,382 $120,440,844 $116,287,802 $127,408,625
Restricted For:
Streets and Highways 0 152,202 624,128 1,768,708 1,596,392
Public Safety 2,049,450 2,362,852 2,951,948 2,266,416 2,347,517
Economic Development 0 1,095,556 3,419,235 4,756,587 6,034,197
Debt Service 0 0 0 240,116 288,188
Unrestricted 6,720,164 4,596,148 16,645,504 36 535 484 47 759 170
Total Net Assets $100 540 828 $114 350 140 $144 081 659 5161 855 113 8185 434 089
City of Des Plaines, Cook Couny, Illinois
$1,945,000 Tanable General Obligation Refunding Bonds, Series 2013
Statement of Activities
Governmental Activities
Net (Expense) Revenue and Changes in Net Assets
2008
Audited Year Ended December 31
FUNCTIONS /PROGRAMS
PRIMARY GOVERNMENT:
General Government $ (664,629) $ (289,549)
Public Safety (32,170,577) (34,007,194)
Public Works (7,112,552) (6,070,734)
Streets and Highways (7,790,561) (7,309,291)
Economic Development (3,504,617) (2,184,724)
Interest (4,031,768) (3,984,468)
Total Governmental Activities(1) $(55,274,704) $(53,845,960)
GENERAL REVENUES:
Taxes:
Property $ 26,700,637 $ 27,934,060
Replacement 1,408,713 1,229,867
Sales 9,147,989 8,271,828
Utility 2,583,405 2,184,785
Income 5,446,073 4,686,475
Home Rule Sales 5,559,673 4,775,264
Food and Beverage Tax 953,597 897,541
Hotel /Motel 1,621,451 1,243,395
Real Estate Transfer 525,343 341,949
Local Option Motor Fuel 0 0
Gaming Taxes 0 0
Other Taxes 4,659,762 5,628,019
Intergovernmental 128,581 574,467
Investment Income 420,479 98,711
Miscellaneous 1,196,081 1,329,137
Transfers 156,211 (94,340)
Component Unit Transfers 0 0
Total General Revenues $ 60,379,414 $ 58,655,272
Change in Net Assets 5,104,710 4,809,312
Net Assets, January 1 104,436,118 109,540,828
Net Assets, December 31 $109,540 828 $114 350 140
Notes: (1) Expenses less Charges for Services, Operating Grants and Capital Grants.
(2) As restated.
23
2009 2010
$ 515,329
(32,071,707)
(3,856,346)
6,585,361
(1,487,301)
(3 631 361)
$(33,946,025)
$ 29,117,255
1,296,063
8,589,981
3,353,950
4,580,927
4,834,624
911,865
1,387,872
399,853
1,683,503
0
4,364,047
0
74,589
479,138
262,432
0
$ 61,910,566
2011
$(10,479,088)
(33,959,029)
(4,465,290)
(2,012,893)
(1,161,997)
(3 274 304)
$(55,352,601)
$ 29,671,822
1,207,737
8,690,828
3,401,735
4,515,411
5,034,311
1,059,647
1,440,269
393,417
1,719,941
10,819,591
4,541,664
0
82,369
783,626
(236,313)
0
$ 73,126,055
27,964,541 17,773,454
116,117 118(2) 144,081,659
$144 081 659 $161 855 113
2012
$(20,102,402)
(33,760,877)
(3,644,680)
(3,459,609)
(1,553,448)
(3,046,102)
$(65,567,118)
$ 28,841,683
1,143,050
9,695,640
3,239,299
5,376,774
5,544,261
1,236,942
1,675,772
407,884
1,685,069
24,802,456
4,735,420
0
160,289
1,280,897
15,758
0
$89841,194
24,274,076
161,160,013(2)
$185 434 089
City of Des Plaines, Cook Cowwg, Illinois
$7,945,000 Taxable General Obligation Refunding Bonds, Series 2013
Non Spendable:
Long -term Interfund Advances
Reserved
Reserved for Long -Term Receivable
Reserved for Prepaid Items
Assigned:
Infrastructure
Capital Acquisitions
Pension Funding
Public Safety
Unreserved
Unassigned
Total Fund Equity
Total Liabilities, Deferred Inflows of
Resources and Fund Equity
Note: (1) Includes cash and equivalents.
8,140,05
1,230,25
$ 9 370 311
87855777
General Fund
Balance Sheet
Audited as of December 31
ASSETS: 2008 2009 2010 2011 2012
Investments(1) $ 4,330,902 $ 1,166,324 $ 9,957,253 $10,607,174 $17,109,909
Cash and Equivalents $ 1,166,324 $ 9,957,253 $10,607,174 $17,109,909 $23,740,541
Receivables:
Accounts 950,389 982,339 1,060,691 1,404,139 1,405,087
Property Taxes 20,841,443 22,179,165 25,086,119 23,006,473 22,800,930
Other Taxes 1,291,735 1,125,325 1,183,355 1,256,378 1,196,399
Other Receivables 239,481 708,758 472,269 439,754 561,804
Accrued Interest 214 190 0 451 7,051
Due From Other Governments 4,821,305 4,822,972 5,471,825 5,055,974 5,342,762
Due From Other Funds 8,542,906 8,813,767 8,189,209 421,135 2,481
Advances From Other Funds 0 0 0 8,162,664 8,606,709
Prepaid Items 1,980 4 536 3 000 0 0
Total Assets $37.855 777 $48.594.3.Q5 $52073 642 15£1,856.,81Z $6_1663 764
LIABILITIES AND FUND EQUITY:
Liabilities:
Accounts Payable $ 1,710,985 $ 1,617,404 $ 1,333,639 $ 1,649,26 $ 1,774,441
Accrued Payroll 0 0 0 1,220,71 1,268,564
Accrued Liabilities 1,624,786 1,057,244 1,191,531 111,49 85,731
Other Payables 100,000 0 0
Due to other government units 0 269,137 0
Deferred Revenue 22,235,804 23,729,102 24,288,549 24,632,18 264,46
Due to Other Funds 2,499,430 2,435,193 1,865,857
Short-term Notes Payable 0 6,500,000 0
Accrued Pension Contributions 314 461 0 0
Total Liabilities $28,485,466 $35,608,080 $28,679,576 $27,613,66 $ 3,393,20
Deferred Inflows of Resources:
Deferred Property Tax Revenue $ 0 $ 0 $ 0 $ $22,747,973
Unavailable Other Revenue 0 0 0 1,787,820
Total Deferred Inflows of Resources $ 0 $ 0 $ 0 $ $24,535,793
O 0 8,162,66
O 0
8,807,458 7,977,992
4,536 3,000
O 0
O 0
O 0
O 0
4,174,231 15,413,074
O 0 21 080 54
$12,986,225 $23,394,066 $29,243,21
$48 594,3.Q5 15281731642 856 856 87
26
8,606,709
0
0
0
500,000
152,500
1,009,318
2,500,000
0
22,966,242
$35,734 769
$63 663 764
City of Des Plaines, Cook County, Illinois
$Z 945,000 Taxable General Obligation Refunding Bonds, Series 2013
REVENUES:
Taxes
Other Taxes
Licenses and Permits
Intergovernmental
Charges for Services
Fines and Forfeits
Investment Income
Miscellaneous
Total Revenues
General Fund
Revenues and Expenditures
EXPENDITURES:
Current:
General Government $ 7,037,168 $ 7,093,003 $ 6,742,596 $ 6,821,598 $ 7,304,439
Public Safety 34,439,819 35,460,313 34,078,950 36,561,253 37,230,479
Public Works 11,351,114 5,855,521 4,872,193 5,943,764 5,697,710
Streets and Highways 1,267,168 5,069,135 4,236,133 4,412,015 4,539,771
Economic Development 681,762 329,564 374,321 371,346 410,325
Interest and Fiscal Charges 32,885 0 36,026 0 0
Capital Outlay 183,735 16,836 28,403 0 0
Total Expenditures $54,993,651 $53,824,372 $50,368,622 $54,109,976 $55,182,724
Excess (Deficiency) of Revenues Over Expenditures $ 2,551,409 $ 2,427,914 $ 8,939,764 $ 6,403,332 $ 7,658,211
Other Financing Sources (Uses), Net (1137,920) 1,190,000 1,468,077 (2,420,042) (1166655)
Special Items 0 0 0 1,865,857 0
Excess (Deficiency) of Revenues and Other Financing
Sources Over Expenditures and Other Financing Uses $ 1,413,489 $ 3,617,914 $10,407,841 $ 5,849,147 $ 6,491,556
Balance, January 1 $ 7,956,822 $ 9,370,311 $12,986,225 $23,394,066 $29 243 213
Balance, December 31 $ 9,370,311 $12,988,225 $23,394,066 $29,243,213 $35,734,769
General Fund
Unaudited Budget and Interim Information (1)
Budget
Fiscal Year 2013
REVENUES:
Taxes $33,946,750
Licenses & Permits 2,513,500
Intergovernmental 14,203,789
Charges for Services 6,067,296
Fines and Forfeits 1,202,500
Investment Income 50,000
Other 759 813
Total Revenue $58,743,648
EXPENDITURES:
General Govemment $10,143,453
Public Safety 38,603,062
Economic Development 462,420
Public Works 5,793,466
Streets & Highways 5,279,946
Total Expenditures $60,282,347
Notes: (1) Source: the City.
Audited Years Ending December 31
2008 2009 2010 2011 2012
$19,382,014 $19,888,602 $21,461,924 $22,356,628 $23,141,075
10,649,402 10,298,486 11,556,651 11,743,198 12,195,929
3,228,153 3,011,551 - 4,054,683 3,086,311 2,781,329
17,626,764 14,430,178 14,680,433 15,010,880 16,245,216
5,152,550 6,377,634 6,246,285 6,344,524 6,689,530
1,079,532 1,118,464 921,328 1,370,186 1,158,716
111,718 15,497 23,469 41,617 85,646
314.927 1 111 874 363,613 559,964 543,494
$57,545,060 $56,252,286 $59,308,386 $60,513,308 $62,840,935
Year -to -Date
9 Months Budget
September 30, 2013 Fiscal Year 2014
$31,844,400
2,493,733
13,584,672
4,962,355
888,862
11,907
651,792
$54,437,720
$ 7,172,707
28,592,321
434,653
3,761,694
3,327,787
$43,289,162
$34,027,100
2,177,100
15,035,000
5,574,000
1,057,500
50,000
502,257
$58,422,957
$13,137,215
39,021,257
641,714
5,921,466
6,288 473
$65,010,125
City of Des Plaines, Cook County, rm»ols
$7,945,000 Taxable General Obligation R finding Bonds, Series 2013
EMPLOYEES' RETIREMENT SYSTEM
The City contributes to three defined benefit pension plans, the Illinois Municipal Retirement Fund (IMRF), an
agent multiple employer public employee retirement system; the Police Pension Plan which is a single employer
pension plan; and the Firefighters' Pension Plan which is a single employer pension plan. The benefits, benefits levels,
employee contributions and employer contributions for the plans are governed by Illinois Compiled Statutes and can
only be amended by the Illinois General Assembly. The Police Pension Plan and the Firefighters' Pension Plan do not
issue separate reports on the pension plans IMRF does issue a publicly available report that includes financial
statements and supplementary information for the plan as a whole, but not for individual employers. That report can be
obtained on -line at www.imrf.org.
See APPENDIX D herein for a discussion of the City's employee retirement obligations.
Transfers and Exchanges
OTHER POST EMPLOYMENT BENEFITS
The City administers a single employer defined benefit healthcare plan "the Retiree Health Plan ". The plan
provides health insurance contributions for eligible retirees and their spouses through the City's group health insurance
plan which covers both active and retired members. A retiree is eligible to receive benefits if they fall into any one of
four categories. IMRF participants are eligible at age 55 with at least 8 years of service, or if they are totally and
permanently disabled. Police officers and firefighters are eligible at age 50 with 20 years of service, or if they
medically disabled and unable to perform the duties as a police officer or firefighter. Police officers are eligible for a
reduced benefit at age 60 with at least 10 years of service, but less than 20 years. Police officers and firefighters that
terminate with a vested benefit are eligible for post - retirement healthcare benefits commencing at the time of separation.
Spouses and dependents of retirees are eligible to continue healthcare coverage while the retiree is alive if they were
enrolled at the time of retirement. Surviving spouses of employees are eligible for COBRA coverage. Surviving
spouses and dependent children of police officers and firefighters that were injured in the line of duty, during an
emergency, and surviving spouses of all retirees are eligible to continue healthcare coverage. Retirees, spouses, and
dependents opting out of the retiree health program cannot re -enter into the program.
See APPENDIX A herein for a discussion of the City s employee retirement and other postemployment
benefits obligations.
REGISTRATION, TRANSFER AND EXCHANGE
Registration
The registered owner of a Bond will be deemed and regarded as the absolute owner thereof for the purpose of
receiving payment of, or on account of, the principal of, premium, if any, or interest theron and for all other purposes
whatsoever, and all such payments so made to such registered owner or upon his order shall be valid and effectual to
satisfy and discharge the liability upon such Bond to the extent of the sum or sums so paid, and neither the City nor the
Bond Registrar will be affected by any notice to the contrary.
The transfer of Bonds will be registrable only upon the registration books maintained by the City for that
purpose at the principal corporate trust office of the Bond Registrar, by the registered owner thereof or by his attorney
duly authorizied in writing, upon surrender thereof together with an instrument of transfer satisfactory to the Bond
Registrar and duly executed by the registered owner or his duly authorized agent. Upon such surrender for registration
of transfer, the City will execute and the Bond Registrar will authenticate and deliver a new Bond or Bonds of any
authorized denominations, registered in the name of the transferee, and of the same aggregate principal amount,
maturity and interest rate as the surrendered Bond.
28
City of Des Plaines, Cook County, Illinois
$9,945,000 Taxable General Obligation Refunding Bonds, Series 2013
Bonds may be exchanged for an equal aggregate principal amount of Bonds of the same maturity and interest
rate and of any authorized denominations, upon surrender thereof as the principal corporate trust office of the Bond
Registrar with a written instrument of transfer satisfactory to the Bond Registrar, duly executed by the registered owner
or his duly authorized agent.
For every such exchange or registration of transfer of Bonds, the City or the Bond Registrar may make a
charge sufficient to reimburse it for any tax or other governmental charge required to be paid with respect to such
exchange or registration of transfer. No charge will be made in connection with such exchange or registration of
transfer to pay the cost of preparing each new Bond issued upon such exchange or registration of transfer.
CERTAIN FEDERAL AND ILLINOIS INCOME TAX CONSIDERATIONS
THE BONDS WILL BE TREATED AS OBLIGATIONS NOT DESCRIBED IN SECTION 103(a) OF
THE INTERNAL REVENUE CODE OF 1986, AS AMENDED, EXCLUDING FROM FEDERAL GROSS
INCOME THE INTEREST ON AN OBLIGATION OF A POLITICAL SUBDIVISION OF A STATE. THE
HOLDERS OF THE BONDS SHOULD TREAT THE INTEREST ON THE BONDS AS SUBJECT TO
FEDERAL INCOME TAXATION.
THE INTEREST ON THE BONDS IS NOT EXEMPT FROM STATE OF ILLINOIS INCOME TAXES.
CONTINUING DISCLOSURE
The City has entered into undertakings with different filing periods of 180 and 210 days after the end of the
fiscal year. Over the past five years certain filings have been late. The City filed the 2011 Comprehensive Annual
Financial Statements (CAFR) on July 2, 2012, the 2010 CAFR on June 26, 2012, the 2009 CAFR on March 2, 2011
and the 2008 CAFR on July 22, 2009. The 2010 annual operating statement was filed on July 20, 2010.
As of the date of this Final Official Statement all outstanding CAFRs and annual operating statements have been
filed. The City established procedures in December 2012 to ensure that CAFRs and annual operating statements will be
filed in a timely manner in the future.
In the Bond Ordinance, the City has covenanted and agreed, for the benefit of the beneficial owners of the
Bonds, to provide certain financial information and operating data relating to the City within 210 days after the close of
the City's fiscal year (the "Annual Report"); and, in a timely manner not in excess of ten business days after the event,
to provide notices of the occurrence of certain enumerated events. The Annual Report will be filed by the City with the
Municipal Securities Rulemaking Board (the "MSRB ") for disclosures on its Electronic Municipal Market Access
( "EMMA ") system. The information to be contained in the Annual Report will consist of the annual audited financial
statement of the City, and updated information with respect to the statements in the Final Official Statement contained
under the captions "Retailers' Occupation, Service Occupation and Use Tax ", "DEBT INFORMATION ",
"PROPERTY ASSESSMENT AND TAX INFORMATION" and "FINANCIAL INFORMATION ". Each annual
audited financial statement will conform to generally accepted accounting principles applicable to governmental units
and will be prepared in accordance with standards of the Governmental Accounting Standards Board. If the audited
financial statement is not available, then an unaudited financial statement will be included in the Annual Report and the
audited financial statement will be filed promptly after it becomes available. The notices of enumerated events and
timely notice of any failure of the City to file its Annual Report within the 210 day period will be filed by the City with
the MSRB for disclosures on EMMA. The City's undertaking with respect to enumerated events includes timely notice
of the occurrence of any of the following events with respect to the Bonds.
29
Chy fDes Plaines, Gook County, Illinois
37,945,000 Tarabie General Obligation Rrfwffing Roads, Series 2013
1. Principal and interest payment delinquencies
2. Non - payment related defaults, if material
3. Unscheduled draws on debt service reserves reflecting financial difficulties
4. Unscheduled draws on credit enhancements reflecting financial difficulties
5. Substitution of credit or liquidity providers, or their failure to perform
6. Adverse tax opinions, the issuance by the Internal Revenue Service of proposed or final determinations
of taxability, Notices of Proposed Issue (IRS Form 5701 -TEB) or other material notices or
determinations with respect to the tax status of the security, or other material events affecting the tax
status of the security
7. Modifications to the rights of security holders, if material
8. Debt calls, if material
9. Defeasances
10. Release, substitution or sale of property securing repayment of the securities, if material
11. Rating changes
12. Tender offers
13. Bankruptcy, insolvency, receivership or similar event of the City*
14. The consummation of a merger, consolidation, or acquisition involving the City or the sale of all or
substantially all of the assets of the City, other than in the ordinary course of business, the entry into a
definitive agreement to undertake such an action or the termination of a definitive agreement relating to
any such actions, other than pursuant to its terms, if material
15. Appointment of a successor or additional trustee or the change of name of a trustee, if material.
The City has agreed to the foregoing undertakings in order to assist participating underwriters of the Bonds and
brokers, dealers and municipal securities dealers in complying with Securities and Exchange Commission Rule
15c2- 12(,b)(5) promulgated under the Securities Exchange Act of 1934. The City will provide the foregoing
information for so long as Rule 15c2- 12(b)(5) is applicable to the Bonds and the City remains an "obligated person"
under the Rule with respect to the Bonds. No provision of the bond ordinance limits the remedies available to any
beneficial owner of the Bonds with respect to the enforcement of the continuing disclosure covenants of the City
described above. Failure to comply with the continuing disclosure covenants will not constitute an event of default
under the Bond Ordinance.
The City may amend the continuing disclosure undertakings contained in the Ordinance upon a change in
circumstances provided that (a) the undertakings, as amended, would have complied with the requirements of Rule
15(c)2- 12(b)(5) at the time of this offering, after taking into account any amendments or interpretations of the Rule, as
well as any change in circumstances and (b) in the opinion of nationally recognized bond counsel selected by the City,
the amendment does not materially impair the interests of the beneficial owners of the Bonds.
NO OPTIONAL REDEMPTION
The Bonds are not subject to optional redemption prior to maturity.
*This event is considered to occur when any of the following occur: the appointment of a receiver, fiscal agent or similar officer for the City in a proceeding under
the U.S. Bankruptcy Code or in any other proceeding under state or federal law in which a court or governmental authority has assumed jurisdiction over
substantially all of the assets or business of the City, or if such jurisdiction has been assumed by leaving the existing governing body and officials or officers in
possession but subject to the supervision and orders of a court or governmental authority, or the entry of an order confirming a plan of reorganization,
arrangement or liquidation by a court or governmental authority having supervision or jurisdiction over substantially all of the assets or business of the City.
30
Ciry of Des Plaines, Cook County, Illinois
37,945,000 Taxable General Obligation Refunding Bonds, Series 2013
LITIGATION
There is no litigation of any nature now pending or threatened restraining or enjoining the issuance, sale,
execution or delivery of the Bonds, or in any way contesting or affecting the validity of the Bonds or any proceedings
of the City taken with respect to the issuance or sale thereof.
LEGAL MATTERS
Legal matters incident to the authorization, issuance and sale of the Bonds are subject to the unqualified
approving opinion of Katten Muchin Rosenman LLP, Chicago, Illinois, Bond Counsel, whose approving opinion will
be delivered with the Bonds. Bond Counsel has reviewed the statements in this Final Official Statement appearing
under the headings "PURPOSE, LEGALITY AND SECURITY" and "TAX EXEMPTION," and is of the opinion
that the statements contained under such headings are accurate statements or summaries of the matters set forth therein
and fairly present the information purported to be shown. Except for the foregoing, however, Bond Counsel has not
independently verified the accuracy or completeness of statements and information contained in the Final Official
Statement and does not assume any responsibility of the accuracy or completeness of such statements and information.
The opinion of Bond Counsel and the descriptions of the tax law contained in this Final Official Statement are
based on statutes, judicial decisions, regulations, rulings and other official interpretations of law in existence on the date
the Bonds are issued. There can be no assurance that such law or the interpretation thereof will not be changed or that
new provisions of law will not be enacted or promulgated at any time while the Bonds are outstanding in a manner that
would adversely affect the value or the tax treatment of ownership of the Bonds.
FINAL OFFICIAL STATEMENT AUTHORIZATION
This Final Official Statement has been authorized for distribution to prospective purchasers of the Bonds. All
statements, information, and statistics herein are believed to be correct but are not guaranteed by the consultants or by
the City, and all expressions of opinion, whether or not so stated, are intended only as such.
INVESTMENT RATING
The Bonds have been rated "Aa2" from Moody's Investors Service, New York, New York. The City has
supplied certain information and material concerning the Bonds and the City to the rating service shown on the cover
page, including certain information and materials which may not have been included in this Final Official Statement, as
part of its application for an investment rating on the Bonds. A rating reflects only the views of the rating agency
assigning such rating and an explanation of the significance of such rating may be obtained from such rating agency.
Generally, such rating service bases its rating on such information and material, and also on such investigations, studies
and assumptions that it may undertake independently. There is no assurance that such rating will continue for any
given period of time or that it may not be lowered or withdrawn entirely by such rating service if, in its judgment,
circumstances so warrant. Any such downward change in or withdrawal of such rating may have an adverse effect on
the secondary market price of the Bonds. An explanation of the significance of the investment rating may be obtained
from the rating agency: Moody's Investors Service, 7 World Trade Center at 250 Greenwich Street, New York, New
York 10007, telephone 212 -553 -1658. The City will provide appropriate periodic credit information to the rating
service to maintain a rating on the Bonds.
31
Cey of Des Plaines, Gook County, Illinois
$7,945,000 Taxable General Obligation Refunding Bonds, Series 2013
DEFEASANCE AND PAYMENT OF BONDS
If the City shall pay or cause to be paid to the registered owners of the bonds, the principal, premium, if any,
and interest due or to become due thereon, at the times and in the manner stipulated therein and in this ordinance, then
the pledge of taxes, securities and funds hereby pledged and the covenants, agreements and other obligations of the City
to the registered owners and the beneficial owners of the bonds shall be discharged and satisfied.
Any bonds or interest installments appertaining thereto, whether at or prior to the maturity or the redemption
date of such bonds, shall be deemed to have been paid if (1) in case any such bonds are to be redeemed prior to the
maturity thereof, there shall have been taken all action necessary to call such bonds for redemption and notice of such
redemption shall have been duly given or provision shall have been made for the giving of such notice, and (2) there
shall have been deposited in trust with a bank, trust company or national banking association acting as fiduciary for
such purpose either (i) moneys in an amount which shall be sufficient, or (ii) "Federal Obligations" as defined below,
the principal of and the interest on which when due will provide moneys which, together with any moneys on deposit
with such fiduciary at the same time for such purpose, shall be sufficient, to pay when due the principal of, redemption
premium, if any, and interest due and to become due on said bonds on and prior to the applicable redemption date or
maturity date thereof.
The term "Federal Obligations" means (i) non - callable, direct obligations of the United States of America, (ii)
non - callable and non - prepayable, direct obligations of any agency of the United States of America, which are
unconditionally guaranteed by the United States of America as to full and timely payment of principal and interest, (iii)
non - callable, non - prepayable coupons or interest installments from the securities described in clause (i) or clause (ii)
which are stripped pursuant to programs of the Department of the Treasury of the United States of America, or (iv)
coupons or interest installments stripped from bonds of the Resolution Funding Corporation.
UNDERWRITING
The Bonds were offered for sale by the City at a public, competitive sale on December 2, 2013. The best bid
submitted at the sale was submitted by Fifth Third Securities, Inc., Cincinnati, Ohio (the "Underwriter "). The City
awarded the contract for sale of the Bonds to the Underwriter at a price of $8,160,044.42. The Underwriter has
represented to the City that the Bonds have been subsequently re- offered to the public initially at the yields or prices set
forth in the addendum to this Final Official Statement.
FINANCIAL ADVISOR
The City has engaged Speer Financial, Inc. as financial advisor (the "Financial Advisor ") in connection with
the issuance and sale of the Bonds. The Financial Advisor is a Registered Municipal Advisor in accordance with the
rules of the Municipal Securities Rulemaking Board (the "MSRB "). The Financial Advisor will not participate in the
underwriting of the Bonds. The financial information included in the Final Official Statement has been compiled by the
Financial Advisor. Such information does not purport to be a review, audit or certified forecast of future events and
may not conform with accounting principles applicable to compilations of financial information. The Financial Advisor
is not a firm of certified public accountants and does not serve in that capacity or provide accounting services in
connection with the Bonds. The Financial Advisor is not obligated to undertake any independent verification of or to
assume any responsibility for the accuracy, completeness or fairness of the information contained in this Final Official
Statement, nor is the Financial Advisor obligated by the City's continuing disclosure undertaking.
32
City of Des Plaines, Cook County, Illinois
37, 945,000 Taxable General Obligmion Refunding Bonds, Sales 2013
CERTIFICATION
We have examined this Final Official Statement dated December 2, 2013, for the $7,945,000 Taxable General
Obligation Refunding Bonds, Series 2013, believe it to be true and correct and will provide to the purchaser of the
Bonds at the time of delivery a certificate confirming to the purchaser that to the best of our knowledge and belief
information in the Official Statement was at the time of acceptance of the bid for the Bonds and, including any addenda
thereto, was at the time of delivery of the Bonds true and correct in all material respects and does not include any
untrue statement of a material fact, nor does it omit the statement of any material fact required to be stated therein, or
necessary to make the statements therein, in the light of the circumstances under which they were made, not
misleading.
/s/ MATTHEW BOGUSZ
Mayor
CITY OF DES PLAINES
Cook County, Illinois
33
/s/ DOROTHY WISNIEWSKI
Director of Finance
CITY OF DES PLAINES
Cook County, Illinois
APPENDIX A
CITY OF DES PLAINES, COOK COUNTY, ILLINOIS
EXCERPTS OF FISCAL YEAR 2012 AUDITED FINANCIAL STATEMENTS
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APPENDIX B
DESCRIBING BOOK - ENTRY -ONLY ISSUANCE
1. The Depository Trust Company ( "DTC "), New York, New York, will act as securities depository for
the Bonds (the "Securities "). The Securities will be issued as fully- registered securities registered in the name of Cede
& Co. (DTC's partnership nominee) or such other name as may be requested by an authorized representative of DTC.
One fully- registered Security certificate will be issued for each issue of the Securities, each in the aggregate principal
amount of such issue, and will be deposited with DTC.
2. DTC, the world's largest securities depository, is a limited- purpose trust company organized under the
New York Banking Law, a "banking organization" within the meaning of the New York Banking Law, a member of
the Federal Reserve System, a "clearing corporation" within the meaning of the New York Uniform Commercial Code,
and a "clearing agency" registered pursuant to the provisions of Section 17A of the Securities Exchange Act of 1934.
DTC holds and provides asset servicing for over 3.5 million issues of U.S. and non -U.S. equity issues, corporate and
municipal debt issues, and money market instruments (from over 100 countries) that DTC's participants ( "Direct
Participants ") deposit with DTC. DTC also facilitates the post -trade settlement among Direct Participants of sales and
other securities transactions in deposited securities, through electronic computerized book -entry transfers and pledges
between Direct Participants' accounts. This eliminates the need for physical movement of securities certificates. Direct
Participants include both U.S. and non -U.S. securities brokers and dealers, banks, trust companies, clearing
corporations, and certain other organizations. DTC is a wholly -owned subsidiary of The Depository Trust & Clearing
Corporation ( "DTCC "). DTCC is the holding company for DTC, National Securities Clearing Corporation and Fixed
Income Clearing Corporation, all of which are registered clearing agencies. DTCC is owned by the users of its
regulated subsidiaries. Access to the DTC system is also available to others such as both U.S. and non -U.S. securities
brokers and dealers, banks, trust companies, and clearing corporations that clear through or maintain a custodial
relationship with a Direct Participant, either directly or indirectly ( "Indirect Participants "). DTC has a Standard &
Poor's rating of AA+. The DTC Rules applicable to its Participants are on file with the Securities and Exchange
Commission. More information about DTC can be found at www.dtcc.com.
3. Purchases of Securities under the DTC system must be made by or through Direct Participants, which
will receive a credit for the Securities on DTC's records. The ownership interest of each actual purchaser of each
Security (`Beneficial Owner ") is in turn to be recorded on the Direct and Indirect Participants' records. Beneficial
Owners will not receive written confirmation from DTC of their purchase. Beneficial Owners are, however, expected
to receive written confirmations providing details of the transaction, as well as periodic statements of their holdings,
from the Direct or Indirect Participant through which the Beneficial Owner entered into the transaction. Transfers of
ownership interests in the Securities are to be accomplished by entries made on the books of Direct and Indirect
Participants acting on behalf of Beneficial Owners. Beneficial Owners will not receive certificates representing their
ownership interests in Securities, except in the event that use of the book -entry system for the Securities is
discontinued.
4. To facilitate subsequent transfers all Securities deposited by Direct Participants with DTC are
registered in the name of DTC's partnership nominee, Cede & Co., or such other name as may be requested by an
authorized representative of DTC. The deposit of Securities with DTC and their registration in the name of Cede & Co.
or such other DTC nominee do not effect any change in beneficial ownership DTC has no knowledge of the actual
Beneficial Owners of the Securities; DTC's records reflect only the identity of the Direct Participants to whose accounts
such Securities are credited, which may or may not be the Beneficial Owners. The Direct and Indirect Participants will
remain responsible for keeping account of their holdings on behalf of their customers.
B -1
5. Conveyance of notices and other communications by DTC to Direct Participants, by Direct Participants
to Indirect Participants and by Direct Participants and Indirect Participants to Beneficial Owners will be governed by
arrangements among them, subject to any statutory or regulatory requirements as may be in effect from time to time.
Beneficial Owners of Securities may wish to take certain steps to augment the transmission to them of notices of
significant events with respect to the Securities, such as redemptions, tenders, defaults, and proposed amendments to
the Security documents. For example, Beneficial Owners of Securities may wish to ascertain that the nominee holding
the Securities for their benefit has agreed to obtain and transmit notices to Beneficial Owners. In the alternative,
Beneficial Owners may wish to provide their names and addresses to the registrar and request that copies of notices be
provided directly to them.
6. Redemption notices shall be sent to DTC. If less than all of the Securities within an issue are being
redeemed, DTC's practice is to determine by lot the amount of the interest of each Direct Participant in such issue to be
redeemed.
7. Neither DTC nor Cede & Co. (nor any other DTC nominee) will consent or vote with respect to
Securities unless authorized by a Direct Participant in accordance with DTC's MMI Procedures. Under its usual
procedures, DTC mails an Omnibus Proxy to the City as soon as possible after the record date. The Omnibus Proxy
assigns Cede & Co.'s consenting or voting rights to those Direct Participants to whose accounts Securities are credited
on the record date (identified in a listing attached to the Omnibus Proxy).
8. Redemption proceeds, distributions, and dividend payments on the Securities will be made to Cede &
Co., or such other nominee as may be requested by an authorized representative of DTC. DTC's practice is to credit
Direct Participants' accounts upon DTC's receipt of funds and corresponding detail information from the City or the
Paying Agent, on payable date in accordance with their respective holdings shown on DTC's records. Payments by
Participants to Beneficial Owners will be governed by standing instructions and customary practices, as is the case with
securities held for the accounts of customers in bearer form or registered in "street name," and will be the
responsibility of such Participant and not of DTC, the Paying Agent, or the City, subject to any statutory or regulatory
requirements as may be in effect from time to time. Payment of redemption proceeds, distributions, and dividend
payments to Cede & Co. (or such other nominee as may be requested by an authorized representative of DTC) is the
responsibility of the City or the Paying Agent, disbursement of such payments to Direct Participants will be the
responsibility of DTC, and disbursement of such payments to the Beneficial Owners will be the responsibility of Direct
and Indirect Participants.
9. A Beneficial Owner shall give notice to elect to have its Securities purchased or tendered, through its
Participant, to any Tender /Remarketing Agent, and shall effect delivery of such Securities by causing the Direct
Participant to transfer the Participant's interest in the Securities, on DTC's records, to any Tender /Remarketing Agent.
The requirement for physical delivery of Securities in connection with an optional tender or a mandatory purchase will
be deemed satisfied when the ownership rights in the Securities are transferred by Direct Participants on DTC's records
and followed by a book -entry credit of tendered Securities to any Tender /Remarketing Agent's DTC account.
10. DTC may discontinue providing its services as depository with respect to the Securities at any time by
giving reasonable notice to the City or the Paying Agent. Under such circumstances, in the event that a successor
depository is not obtained, Security certificates are required to be printed and delivered.
11. The City may decide to discontinue use of the system of book - entry-only transfers through DTC (or a
successor securities depository). In that event, Security certificates will be printed and delivered to DTC.
12. The information in this section concerning DTC and DTC's book -entry system has been obtained from
sources that the City believes to be reliable, but the City takes no responsibility for the accuracy thereof.
B -2
The City Council of the
City of Des Plaines, Illinois
Dear Members:
We have examined a record of proceedings relating to the issuance of $7,945,000 principal amount of
Taxable General Obligation Refunding Bonds, Series 2013 (the "Bonds ") of the City of Des Plaines, a municipal
corporation and a home rule unit of the State of Illinois. The Bonds are authorized and issued pursuant to the
provisions of Section 6 of Article VII of the Illinois Constitution of 1970, and by virtue of an ordinance adopted by the
City Council of the City on December 2, 2013 and entitled: "Ordinance Authorizing the Issuance of Taxable General
Obligation Refunding Bonds, Series 2013, of the City of Des Plaines, Illinois" (the "Bond Ordinance ").
The Bonds are issuable in the form of fully registered bonds in the denominations of $5,000 or any
integral multiple thereof. Bonds delivered on original issuance are dated December 17, 2013. The Bonds mature
(without option of prior redemption) on December 1 in each of the following years in the respective principal amount
set opposite each such year in the following table, and the Bonds maturing in each such year bear interest from their
date payable on June 1, 2014 and semiannually thereafter on each June 1 and December 1 at the respective rate of
interest per annum set forth opposite such year:
In our opinion, the Bonds are valid and legally binding general obligations of the City of Des Plaines
and the City is obligated to levy ad valorem taxes upon all the taxable property within the City for the payment of the
Bonds and the interest thereon without limitation as to rate or amount However, the enforceability of rights or
remedies with respect to the Bonds may be limited by bankruptcy, insolvency or other laws affecting creditors' rights
and remedies heretofore or hereafter enacted.
LG:be
Year
APPENDIX C
PROPOSED FORM OF LEGAL OPINION
December 17, 2013
Principal Amount Interest Rate
2014 $945,000 3.00%
2015 965,000 3.00
2016 1,005,000 3.00
2017 1,030,000 3.00
2018 1,070,000 3.00
2019 1,100,000 3.00
2020 1,140,000 3.00
2021 690,000 3.30
Interest on the Bonds is not exempt from Federal or Illinois income taxes.
Very truly yours,
C -1
THIS PAGE INTENTIONALLY
LEFT BLANK
APPENDIX D
CITY OF DES PLAINES
COOK COUNTY, ILLINOIS
EXCERPTS OF FISCAL YEAR 2012 AUDITED FINANCIAL STATEMENTS
RELATING TO THE CITY'S PENSION PLANS
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EXHIBIT C
To the Honorable Mayor
And Members of the City Council
City of Des Plaines, Illinois
Des Plaines, Illinois 60016
Oak Brook, Illinois
June 18, 2014
Crowe Ho
INDEPENDENT ACCOUNTANT'S REPORT ON COMPLIANCE
Crowe Horwath LLP
Crowe Horwath LIP
Independent Member Crime Haxalh InlemaQand
We have examined the City of Des Plaines, Illinois', (City's) compliance with the requirements of
subsection (q) of Section 11 -74A -3 of the Illinois Tax Increment Redevelopment Allocation Act during the
year ended December 31, 2013. Management is responsible for the City's compliance with those
requirements. Our responsibility is to express an opinion on the City's compliance based on our
examination.
Our examination was conducted in accordance with attestation standards established by the American
Institute of Certified Public Accountants and accordingly, included examining, on a test basis, evidence
about the City's compliance with those requirements and performing such other procedures as we
considered necessary in the circumstances_ We believe our examination provides a reasonable basis for
our opinion. Our examination does not provide a legal determination of the City's compliance with
specified requirements.
In our opinion, the City complied in all material respects, with the aforementioned requirements for the
year ended December 31, 2013.
now, 45? to
208.
Revenues
Property Taxes
Other Taxes
Licenses and Permits
intergovernmental
Public Charges for Services
Fines, Forfeitures and Penalties
Investment Income
Miscellaneous
Total Revenues
Expenditures
Current
General Government
Public Safety
Public Works
Streets and Highways
Economic Development
Debt Service
Principal
Interest and Fiscal Charges
Capital Outlay
Total Expenditures
Excess (Deficiency) of Revenues
over (under) Expenditures
Other Financing Sources (Uses)
Transfer In
Transfer Out
Issuance of Debt
Premium on Bond Issuance
Total Other Financing Sources (Uses)
Net Change In Fund Balances
Fund Balances at Beginning of Year
Fund Balances at End of Year
CITY OF DES PLAINES, ILLINOIS
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
GOVERNMENTAL FUNDS
Year Ended December 31, 2013
General
$ 23,043,431 $ 7,104
12,030,631
2,924,191
20,992,728
6,245,773
1,312,001
25,188
550,055
67,123,998
7,272,417
38.138.909
6,225,488
5.210,461
500,690
57,347,965
347,013
(2,217,202)
(1.870,189)
7,905,844
35,734,769
$ 43,640,613
Major Governmental Funds
TIF 116
{Mannheim/
Higgins)
148 36,938
3,147 -
10,399 24,699,061
27,692
Gaming Tax
$ - $ 33,453
24,662,123 5,937,380
15,864,849
725,000 - 6,795,000
436,782 776,892
5.801,860
1,189474 15,864,849 14,160,331
9 776 033 (1,179.075) 8,834,212 (5,852,249) (4,565,492) 7,013,429
{62,515)
4,390,000
110.395
4,437,880 (7,155,000)
3,258,805 1,679,212
See accompanying notes to financial statements.
Capital
Projects
$ 5,491,137 $ 28,575,125
98,828 42,728,962
2,924,191
2,329,989 23,322,717
2,288,299 - 8,534,072
126,876 1,438,877
3,487 23,831 89,592
45,463 32,304 630,969
8,308,082 8,102,965 108,244,505
786,579
Nonmajor Total
Governmental Governmental
Funds Funds
269,010 23,406,276
191,455 38,330,364
7,012,067
1,153,091 6,363,552
1,326,744 1,855,126
2,273,365 9,793,365
822,935 2,036,609
6.631,857 12,433,717
12,668,457 101,231,076
- 7,155,000 2,533,386 10,035,399
(7,155,000) (297,004) (445,872) (10,177,593)
3,555,000 7,945,000
104,650 215,045
6,857,996 5,747,164 8,017,851
1,005,747 1,181.672 15,031,280
(5.643.050) 12,595,418
$ (2,384,245) $ 14,274,630 $ 3,529,074 $ 11,468,252 $ 70,528,324
2,523,327 10.286,580 55,497.044
CITY OF DES PLAINES, ILLINOIS
RECONCILIATION OF STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND
BALANCES OF GOVERNMENTAL FUNDS TO THE STATEMENT OF ACTIVITIES
Year Ended December 31, 2013
Net Change in Fund Balances - Total Governmental Funds $ 15,031,280
Amounts reported for governmental activities in the statement of activities are different because:
Governmental funds report capital outlays as expenditures. However, in the statement of activities, the cost of
those assets is allocated over their estimated useful lives as depreciation expense. This is the amount by which
capital outlays exceeded depreciation and other transactions that impact capital assets in the current year.
Capital Expenditures $ 11,307,014
Contributed Assets 467,295
Depreciation (6 123 417)
Capital Expenditures in Excess of Depreciation
Some expenses reported in the statement of activities do not require the use of current financial resources and
therefore are not reported in the governmental funds.
Decrease in Compensated Absences Liability 144,990
Accretion of Interest on Capital Appreciation Bonds (537,437)
Increase in Accrued Interest Payable (8,110)
Increase in Net Pension Obligation - IMRF (39.389)
Decrease in Other Post Employment Benefits (OPEB) 204,436
Increase In Net Pension Asset 67,817
Total Expenses of Non - current Resources
5,650,892
Some revenues were not collected for several months after the close of the fiscal year and therefore were not
considered to be "available" and are not reported as revenue in the governmental funds. 330,829
(167,693)
The issuance of long -term debt provides current financial resources to governmental funds, but issuing debt
increases long -term liabilities in the statement of net position. Repayment of long -term debt principal is an
expenditure in the govemmental funds, but the repayment reduces long-term liabilities in the statement of net
position. Also, governmental funds report the effect of premiums, discounts, and similar items when debt is
first issued, whereas these amounts are amortized in the statement of activities. This amount is the net
effect of these differences in the treatment of long -term debt and related items.
Bonds Issued (7.945,000)
Premium on Bonds Issued (215,045)
Repayments:
General Obligation Bonds Payable 6,870,000
TIF General Obligation Bonds Payable 2,855,000
TIF Revenue Bonds Payable 55,865
Installment Notes Payable 12,500
Amortization of Premiums, Discounts, & Loss on Refunding (126,986)
Net Adjustment 1,506.332
Internal service funds are used by management to charge self insurance costs to individual funds. The change
in net position of the intemal service fund (net of current look back adjustment) reported with the governmental 112,099
activities.
Change in Net Position of Governmental Activities $ 22,463,739
See accompanying notes to financial statements, 21.
CITY OF DES PLAINES. ILLINOIS
STATEMENT OF NET POSITION
PROPRIETARY FUNDS
December 31, 2013
Governmental
Business -Type Activities - Enterprise Funds Activities
Major Funds Nonmajor Fund
Des Plaines
Emergency Total
Communication Enterprise Internal Service
Water/Sewer Parking System Center Funds Funds
ASSETS
Current Assets
Cash and Investments $ - $ 533,440 $ 638,526 $ 1,171,966 $ 1,460,754
Receivables (Net)
Accounts 3,878,343 - - 3,878,343 -
Other 10,531 70.258 203,748 284,537 788
Prepaid Items - - 6,053 6,053 3,113,644
Inventories 280,322 - - 280,322 -
Total Current Assets 4,169,196 603,698 848.327 5,621,221 4,575,186
Noncurrent Assets
Capital Assets
Capital Assets Not Being Depreciated 233,828 1857,942 - 1,891,770
Capital Assets Being Depreciated, Net 17,823,453 9,932,822 205,195 27,961,470
Total Noncurrent Assets 18,057,281 11,590.764 205,195 29,853,240
TOTAL ASSETS 22,226,477 12,194,462 1,053,522 35,474,461 4,575,186
LIABILITIES
Current Liabilities
Accounts Payable 1,335,444 46.537 21,055 1,403,036 116,135
Accrued Liabilities 206689 - 331,823 538,512 23,190
Due to Other Funds 777,873 - - 777,873
Unearned Revenue - 177,158 177,158
Long-term Obligations, Due Within One Year
Compensated Absences 173,190 - 94,658 267,848 -
Early Retirement Incentive Program Payable - - - - 19,233
Total Current Liabilities 2,493,196 46,537 624 694 3,164,427 158,558
Noncurrent liabilities
Long -term Obligations, Due in More Than One Year
Net OPEB Obligation 68,288 - 109,783 178,071
Net IMRF Obligation 109,645 - 43,262 152,907
Compensated Absences 76,215 - 49,437 125,652
Total Noncurrent Liabilities 254,148 202,482 456,630
TOTAL LIABILITIES 2,747,344 46,537 827,176 3,621,057 158,558
NET POSITION
Net Investment in Capital Assets 18,057,281 11,590,764 205,195 29,853,240 -
Unrestricted 1,421.852 557,161 21,151 2,000,164 4,416,628
TOTAL NET POSITION $ 19,479.133 $ 12,147,925 $ 226,346 31,853,404 $ 4,416,628
Adjustment to Reflect the Consolidation of Internal Service Funds Activities
Related to Enterprise Funds
Net Position of Business -type Activities
See accompanying notes to financial statements.
456,061
$ 32,309,465
CITY OF DES PLAINES, ILLINOIS
STATEMENT OF REVENUES, EXPENSES AND CHANGES IN NET POSITION
PROPRIETARY FUNDS
Year Ended December 31, 2013
Governmental
Business -Type Activities - Enterprise Funds Activities
Major Funds Nonmajor Fund
Des Plaines
Emergency Total
Communication Enterprise Internal Service
Center Funds Funds
Water /Sewer Parking System
Operating Revenues
Charges for Services $ 13,810.387 $ 336.051 $ 2,089579 $ 16,236,017 $ 11,343,544
Miscellaneous 5,388 - - 5,388 247,490
Total Operating Revenues 13,815.775 336.051 2,089,579 16,241,405 11,591034
Operating Expenses
Salaries 3,239,433 - 1,184,796 4.424,229 -
Benefits - 1,688,501 - 535,188 2,223,689 -
Contractual Services 1252,729 ' 16,686 224,590 1,494,005 -
Commodities 8,148,506 141,846 123,019 8,413,371
Capital Outlay 87,453 - 990 88,353 -
Claims Expense - - - - 8,055,172
Insurance and Processing Fees - - 3,110,266
Miscellaneous - - - - 433,842
Depreciation 948.579 649,879 179,440 1,777,898 -
Total Operating Expenses 15,365.201 808,411 2,247,933 18,421,545 11,599,280
Operating Income (Loss) (1,549,426) (472,360) (158,354) (2,180.140) (8,246)
Nonoperating Revenues and (Expenses)
Intergovernmental 8,237 - - 8,237 -
Investment Income 1,711 65 1,776 34
Interest Expense (19.436) - - (19,436) -
Total Nonoperating Revenues and (Expenses) (9.488) - 65 (9.423) 34
Income (Loss) Before Transfers (1.558,914) (472,360) (158,289) (2,189,563) (8,212)
Transfers
Transfers In 20,758 65,750 86,508 92.202
Transfers Out - (36,516) - (36,516)
Total Transfers 20,758 29.234 - 49,992 92.202
Change In Net Position (1,538,156) (443,126) (158,289) (2,139,571) 83,990
Net Position at Beginning of Year (as Restated) 21,017.289 12,591,051 384,635 33,992,975 4,332,638
Net Position at End of Year $ 19,479.133 $ 12,147,925 $ 226,346 $ 31,853,404 $ 4,416,628
Adjustment to Reflect the Consolidation of Internal Service Funds Activities
Related to Enterprise Funds
Change in Net Position of Business -type Activities
(28,109)
$ (2,167,680)
See accompanying notes to Ens al statements. 23..
CITY OF DES PLAINES, ILLINOIS
REQUIRED SUPPLEMENTARY INFORMATION
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
TIF#6 (MANHEIMMIGGINS) FUND
Year Ended December 31, 2013
With Comparative Actual Amounts from Year Ended December 31, 2012
2013
Variance from
Final Budget
Original and Positive 2012
Final Budget Actual (Negative) Actual
Revenues
Property Taxes $ 27,283 $ 7,104 $ (20,179) $ 60,122
Investment Income - 148 148 2
Miscellaneous - 3,147 3 147 -
Total Revenues 27,283 10,399 (16,884) 60,124
Expenditures
Economic Development
Contractual Services 153,209 27,554 125,655 28,418
Commodities 52 138 (86) 51
Capital Outlay 2,000,000 - 2,000,000 -
Total Economic Development 2,153,261 27,692 2,125,569 28,469
Debt Service
Principal 725,000 725,000 - 280,000
Interest and Fiscal Charges 396,682 436,782 (40,100) 124,119
Total Debt Service 1,121,682 1,161,782 (40,100) 404,119
Total Expenditures 3,274,943 1,189,474 2,085,469 432,588
Excess (Deficiency) of Revenues
over(under) Expenditures (3,247,660) (1,179,075) 2,068,585 (372,464)
Other Financing Sources (Uses)
Transfer Out (62,515) (62,515) (55,483)
Issuance of Debt 4,390,000 4,390,000
Premium on Bond Issuance 110,395 110,395
Total Other Financing Sources (Uses) (62 515) 4,437,880 4,500 395 (55,483)
Net Change in Fund Balances $ (3,310,175) 3,258,805 - $ - 6,568,980 (427,947)
Fund Balances at Beginning of Year (5,643,050) (5,215,103)
Fund Balances at End of Year $ (2,384,245) $ (5,643,050)
7a
NONMAJOR GOVERNMENTAL FUNDS
Special Revenue Funds are governmental funds used to account for the proceeds of specific revenue
sources that are legally restricted to expenditures for particular purposes.
Motor Fuel Tax Fund — to account for the City's share of restricted state gasoline taxes. All
projects require the advance approval of the Illinois Department of Transportation.
Community Development Block Grant Fund - to account for the disbursement of the restricted
Federal Community Block Grant. Financing is provided by the Federal Government.
• Asset Seizure Fund — to account for the restricted monies received from the federal, state, and
county related to the seizure of assets by the Des Plaines Police Department.
• Foreign Fire Insurance Tax Fund — to account for restricted monies received from the foreign fire
insurance tax, and disbursements by the Foreign Fire Insurance Tax Board.
• TIF Tax Allocation #1 Fund — to account for restricted revenues and expenditures related to the
tax increment finance district located downtown.
• TIF Tax Allocation #3 Fund — to account for restricted revenues and expenditures related to the
tax increment finance district located near Witte Road.
• TIF Tax Allocation #4 Fund — to account for restricted revenues and expenditures related to the
tax increment finance district located near Five Comers.
• TIF Tax Allocation #5 Fund — to account for restricted revenues and expenditures related to the
tax increment finance district located near Lee and Perry Streets in downtown Des Plaines.
Grant Funded Projects Fund — to account for restricted revenues and expenditures related to the
Public Safety, Capital and other miscellaneous grants.
Debt Service Funds are governmental funds used to account for the accumulation of resources and the
payment of general long -term debt principal, interest, and related costs.
• Debt Service Fund — to accumulate monies for payment of principal and interest on long -term
general obligation debt of governmental funds.
Capital Project Funds are used to account for the acquisition and construction of major capital facilities
other that those financed by proprietary funds and trust funds_
• Equipment Replacement Fund — to account for the acquisition of major capital equipment (rolling
stock).
• IT Replacement Fund — to account for the replacement of the City's computer and copier
equipment.
CITY OF DES PLAINES, ILLINOIS
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
December 31, 2013
Special Revenue Funds
Community
Motor Fuel Development Asset Foreign Fire TIF #1
Tax Block Grant Seizure Insurance Tax (Downtown)
ASSETS
Cash and Investments $ 445,361 $ 112,035 $ 1,588,258 $ 577,795 5 3,907,840
Restricted Cash and Investments - - - - 3,052,746
Receivables (Net)
Property Taxes - - - - 4,779,687
Accrued Interest - - 174
Other - - 2,462
Due from Other Governments 146,047 24,719 4,397
TOTAL ASSETS $ 591,408 $ 136,754 $ 1,595,291 $ 577,795 $ 11,740,273
LIABILITIES, DEFERRED INFLOWS OF
RESOURCES, AND FUND BALANCES
Liabilities
Accounts Payable $ 149,398 $ 23,920 $ 36,547 $ $ 714,874
Accrued Liabilities - 2,689 - - -
Deposits Payable - - 31,800 - 18,737
Advances from Other Funds - - - - -
Total Liabilities 149,398 26,609 68,347 - 733,611
Deferred Inflows of Resources
Deferred Property Tax Revenue - - - - 4,686,065
Unavailable Other Revenue - 8,446 - - -
Total Deferred Inflows of Resources 8,446 - - 4,686,065
Fund Balances
Restricted
Economic Development - 101,699 - 3,267,851
Streets & Highways 442,010 - - -
Public Safety - - 1,526,944 577,795
Debt Service - - 3,052,746
Assigned
Capital Acquisitions - -
Unassigned -
Total Fund Balances 442,010 101,699 1,526,944 577,795 6,320,597
TOTAL LIABILITIES, DEFERRED INFLOWS
OF RESOURCES, AND FUND BALANCES $ 591,408 $ 136,754 $ 1,595.291 $ 577,795 $ 11,740,273
624,634
624,634
)cola! Revenue Funds
114,284 -
541,649
114,284 541,649
Debt Service
Fund
Total
Nonmajor
T1F 43 TIF 44 TIF 45 Grant Funded Debt Equipment I.T. Governmental
(Wine Road) (Five Comers) (Perry/Lee) Projects Service Replacement Replacement Funds
$ - $ 485,936 $ 87,353 $ 293,647 $ 464,693 $ 3,831,158 $ 481,657 5 12,275,733
574,359 - - - - - - 3,627,105
624,634 24,549 114,284 - 107,056 - - 5,650,210
- - - - - - 174
2,462
- 541,649 - - - 716,812
$ 1,196,993 $ 510,485 $ 201,637 $ 835,296 $ 571,749 $ 3,831,158 . $ 481,657 $ 22,272,496
$ 124 $ 25,879 $ 124 $ 281,456 $ - $ 346,702 $ 36,414 $ 1,615,438
2,689
50,537
3,054,028 - - - - - 3,054 028
3,054,152 25.879 124 281,456 346,702 36,414 4,722,692
106,474
106,474
Capital Projects Funds
5,531,457
550,095
6,081,552
484,606 87,229 - - - - 3,941,385
- - 12,191 - - - 454,201
- - - - 2,104,739
574,359 - - - 465,275 - 4,092,380
- - - - 3,484,456 445,243 3,929,699
(3,054,152) - - (3,054,152)
(2,479,793) 484,606 87,229 12,191 465,275 3,484,456 445,243 11,468,252
$ 1,198,993 $ 510,485 $ 201,637 $ 835,296 $ 571,749 $ 3,831,158 $ 481,657 $ 22 272 496
CITY OF DES PLAINES, ILLINOIS
COMBINING STATEMENT OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCES
NONMAJOR GOVERNMENTAL FUNDS
Year Ended December 31, 2013
Special Revenue Funds
Community
Motor Fuel Development Asset Foreign Fire TIF #F1
Tax Block Grant Seizure Insurance Tax (Downtown)
Revenues
Taxes $ - $ - $ - $ 98,828 $ 4,797,868
Intergovernmental 1,682,991 260,353 - -
Fines, Forfeitures and Penalties - - 126,876 -
Investment Income 248 - 1,095 3,330 1,071
Miscellaneous - - - - 2,144
Total Revenues 1,683,239 260,353 127,971 102,158 4,801,083
Expenditures
Current:
General Government - - 44 - -
Public Safety - - 123,521 67,934 -
Streets and Highways 1,153,091 - -
Economic Development - 206,897 - 1,093,611
Debt Service
Principal - - 1,930,865
Interest and Fiscal Charges - - 362,765
Capital Outlay 774,216 54,722 281,408 - 3,014,901
Total Expenditures 1,927,307 261,619 404,973 67,934 6,402,142
Excess (Deficiency) of Revenues
over(under) Expenditures (244,068) (1,266) (277,002) 34,224 (1,601,059)
Other Financing Sources (Uses)
Transfers In - - - - -
Transfers Out - (394232)
Issuance of Debt - - - 2,990,000
Premium on Bond Issuance - - 90,118
Total Other Financing Sources (Uses) - 2,685,886
Net Change In Fund Balances (244,068) (1,266) (277,002) 34,224 1,084,827
Fund Balances at Beginning of Year 686,078 102,965 1,803,946 543,571 5,235,770
Fund Balances at End of Year $ 442 $ 101,699 $ 1,526,944 $ 577,795 $ 6,320,597
87,
Special Revenue Funds
Debt Service
Fund
Capital Projects Funds
Total
Nonmajor
TIF #3 TIF t!4 TIF #5 Grant Funded Debt Equipment IS. Governmental
(Wills Road) (Five Comers) (PerrylLee) Projects Service Replacement Replacement Funds
$ 469,100 $ 1,901 $ 94,586 $ - $ 107,682 $ - $ - $ 5,589,965
- 386,645 - - - 2,329,989
- - - - 126,876
30 1 36 - 17,994 26 23,831
405 - - - 29,755 - 32,304
489,535 1,902 94,622 386645 107,682 47,749 26 8,102,965
113,909 112,169 42,888 269,010
- - - - - 191,455
1,153,091
6,683 18,135 1,418 - - - 1,326,744
165,000 90,000 - 75,000 12,500 - 2,273,365
409,744 - 19,736 - 30,690 - - 822,935
45,482 - 773708 - 1,536,438 150982 6,631.857
581,427 63,617 111,154 887,617 105690 1,661,107 193,870 12,668,457
(91,892) (61,715) (16,532) (500,972) 1 992 (1,613,358) (193,844) (4,565,492)
- - - 408,386 - 2,000,000 125,000 2,533,386
(6,260) (45,380) - - - (445,872)
565,000 - - - - - 3,555,000
14,532 - - - - 104,650
573,272 (45,380) 408,386 2,000,000 125,000 5,747,164
481,380 (107,095) (16,532) (92,586) 1,992 386,642 (68,844) 1,181,672
(2,961,173) 591,701 103,761 104,777 463,283 3,097.814 514,087 10,286,580
$ (2,479,793) $ 484,606 $ 87,229 $ 12,191 $ 465,275 $ 3,484,456 $ 445,243 $ 11,468,252
88,
CITY OF DES PLAINES, ILLINOIS
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
TIF #1 (DOWNTOWN) FUND
Year Ended December 31, 2013
With Comparative Actual Amounts from Year Ended December 31, 2012
2013
Variance from
Final Budget
Original and Positive 2012
Final Budget Actual (Negative) Actual
Revenues
Property Taxes $ 4,023,412 $ 4,797,868 $ 774,456 $ 4,706774
Investment Income 1,000 1,071 71 2,632
Miscellaneous - 2,144 2,144 -
Total Revenues 4,024,412 4,801,083 776,671 4,709,406
Expenditures
Economic Development
Salaries 5,000 6,469 (1,469) 4,050
Benefits 553 992 (439) 447
Contractual Services 1,157,376 535,673 621,703 516,242
Commodities 341,650 550,477 (208,827) 246,995
Capital Outlay 3,039,000 3,014,901 24,099 45,094
Total Economic Development 4,543,579 4,108,512 435,067 812,828
Debt Service
Principal. 1,380,865 1,930,865 (550,000) 1,207,078
Interest and Fiscal Charges 443,850 362,765 81,085 544,715
Total Debt Service 1,824,715 2,293,630 (468,915) 1,751,793
Total Expenditures 6,368,294 6,402,142 (33,848) 2,564,621
Excess (Deficiency) of Revenues
over(under) Expenditures (2,343,882) (1,601,059) 742,823 2,144,785
Other Financing Sources (Uses)
Transfer Out (192,100) (394,232) (202,132) (474,826)
Issuance of Debt 2,990,000 2,990,000 3,765,000
Payment to Refunding Bond Escrow - - - (3,746,382)
Premium on Bond Issuance 90,118 90,118 41,230
Total Other Financing Sources (Uses) (192,100) 2,685,886 2,877,986 (414,978)
Net Change In Fund Balance $ (2,535,982) 1,084,827 $ 3,620,809 1,729,807
Fund Balances at Beginning of Year 5,235,770 3,506963
Fund Balances at End of Year $ 6,320,597 $ 5,235,770
91.
CITY OF DES PLAINES, ILLINOIS
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
TIF #3 (WILLE ROAD) FUND
Year Ended December 31, 2013
With Comparative Actual Amounts from Year Ended December 31, 2012
2013
Variance from
Final Budget
Original and Positive
Final Budget Actual (Negative)
2012
Actual
Revenues
Taxes $ 505,679 $ 489,100 $ (16,579) $ 561,730
Investment Income 10 30 20 7
Miscellaneous - 405 405 -
Total Revenues 505,689 489,535 (16,154) 561,737
Expenditures
Economic Development
Contractual Services 10,006 6,683 3,323 3,444
Total Economic Development 10,006 6,683 3,323 3,444
Debt Service
Principal 165,000 165,000 161,000
Interest and Fiscal Charges 404,597 409,744 (5,147) 410,664
Total Debt Service 569,597 574,744 (5,147) 571,664
Total Expenditures 579,603 581,427 (1,824) 575,108
Excess (Deficiency) of Revenues
over(under) Expenditures (73,914) (91,892) (17,978) (13 371)
Other Financing Sources (Uses)
Transfers Out (6,260) (6,260) - (8,759)
Issuance of Debt - 565,000 565,000
Premium on Bond Issuance 14,532 14,532
Total Other Financing Sources (Uses) (6,260) 573,272 579,532 (8,759)
Net Change in Fund Balance $ J 80,174) 481,380 $ 561,554 (22,130)
Fund Balance at Beginning of Year (2,961,173) (2,939,043)
Fund Balance at End of Year $ (2,479,793) $ (2,961,173)
92
CITY OF DES PLAINES, ILLINOIS
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
TIF #4 (FIVE CORNERS) FUND
Year Ended December 31, 2013
With Comparative Actual Amounts from Year Ended December 31, 2012
2013
Variance from
Final Budget
Original and Positive
Final Budget Actual (Negative)
2012
Actual
Revenues
Taxes $ $ 1,901 $ 1,901 $ 70,881
investment Income - 1 1 17
Total Revenues 1,902 1,902 70,898
Expenditures
Economic Development
Contractual Services 70,896 18,135 52,761 15 228
Commodities 5,000 - 5,000 4,215
Capital Outlay 450,000 45,482 404,518 454,383
Total Expenditures 525,896 63,617 462,279 473 826
Excess (Deficiency) of Revenues
over(under) Expenditures (525,896) (61,715) 464,181 (402,928)
Other Financing Sources (Uses)
Transfers Out (45,380) (45,380) (45,202)
Total Other Financing Sources (Uses) (45,380) (45,380) - (45202)
Net Change In Fund Balance $ (571,276) (107,095) $ 464,181 (448,130)
Fund Balance at Beginning of Year 591,701 1,039,831
Fund Balance at End of Year $ 484,606 $ 591,701
93,
CITY OF DES PLAINES, ILLINOIS
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
TIF #5 (PERRY/LEE) FUND
Year Ended December 31, 2013
With Comparative Actual Amounts from Year Ended December 31, 2012
2013
Variance from
Final Budget
Original and Positive 2012
Final Budget Actual (Negative) Actual
Revenues
Taxes $ 105,655 $ 94,586 $ (11,069) $ 117,260
Investment Income - 36 36 26
Total Revenues 105,655 94,622 (11,033) 117,286
Expenditures
Economic Development
Contractual Services 1,418 (1,418) 3,108
Total Economic Development - 1,418 (1,418) 3,108
Debt Service
Principal 90,000 90,000 90,000
Interest and Fiscal Charges 19,712 19,736 (24) 20,349
Total Debt Service 109,712 109,736 (24) 110,349
Total Expenditures 109,712 111,154 (1,442) 113,457
Net Change in Fund Balance $ (4,057) (16,532) $ (12,475) 3,829
Fund Balance at Beginning of Year 103,761 99,932
Fund Balance at End of Year $ 87 229 $ 103,761
94.