The document proposes a vacant land assessment for the City of East St. Louis to generate revenue for essential public services. It suggests charging an annual fee per square foot of vacant land, with rates of $0.01, $0.02, or $0.03. This could generate between $500,000 to $2 million annually at collection rates of 60-80%, helping to maintain services while discouraging land speculation. However, challenges include difficulty administering the program and potential legal challenges.

1. Vacant Land Assessment Concept City of East St. Louis, IL PGAV URBAN CONSULTING AND HINSHAW & CULBERTSON

2. Vacant Land Issues Half of the City’s taxable land consist of vacant land Vacant land generates little tax revenue Even with population loss – essential services remain the same: Same lineal miles of streets to patrol Same lineal miles of streets & utilities to maintain

3. Vacant Land Issues Has attracted illegal dumping City constantly mowing weeds and cleaning up vacant lots Diversity of ownership – both resident and non-resident

4. Vacant Land Analysis

11. Who owns this vacant land?

15. Vacant Land Assessment

16. Goals Raise revenue for essential public services Discourage land banking/speculation Encourage conversion of vacant land into more productive “improved land”

17. Proposal Fee for essential public safety services Based on quantity of vacant land (e.g., $0.03 per square foot) Apply to all vacant land – regardless of ownership or tax status Assessed & collected annually Administrative appeals procedures

18. Cost to Vacant Land Owner 5,000 sq. ft. lot (50’ x 100’): @ $0.01/sq. ft.: $50.00 @ $0.02/sq. ft.: $100.00 @ $0.03/sq. ft.: $150.00 (5) 5,000 sq. ft. lots: @ $0.01/sq. ft.: $250.00 @ $0.02/sq. ft.: $500.00 @ $0.03/sq. ft.: $750.00

19. Cost to Largest Vacant Land Owner * @$0.01/sq. ft.: $32,000 @ $0.02/sq. ft.: $64,000 @ $0.03/sq. ft.: $96,000 * Bi-State Truck Repair, L. Sinn, et. al.

20. Special Provisions Cap ESL resident owner payment ($250) Exempt vacant lots used as a unified whole with adjoining owner-occupied residence (consolidate PINs with County) Exempt unsold developer lots for 2 years Other exemptions as deemed appropriate by City

21. Potential Revenue Generation @ 80% Collection Rate: $0.01/sq. ft.: $675,000 $0.02/sq. ft.: $1,350,000 $0.03/sq. ft: $2,025,000 @ 60% Collection Rate: $0.01/sq. ft.: $500,000 $0.02/sq. ft.: $1,000,000 $0.03/sq. ft: $1,500,000

22. Challenges / Obstacles Self administration (County won’t help) More costly & less efficient Collection rate likely to be lower Likely to be legally challenged Reliance on a specific revenue amount can’t be counted on until in place for several years

23. Final Notes It is HIGHLY RECOMMENDED that the vacant land assessment is implemented AFTER implementing property tax relief reform (TIF district reductions). Voter repercussions likely without property tax relief FIRST!