DeKalb city aldermen debated the approval of the taxing districts’ requests to receive funding from the Tax Increment Financing program.

The city projects a revenue of over $4 million in 2004 from the Central Area TIF funds. This revenue is generated by the increase in property tax charged various taxing bodies, such as the sanitary and park district since 1985. The tax increment is collected by the city in TIF funds and used for planned projects in areas designated as needy.

The school board is budgeted to receive $500,000 to pay off a fixed bond this year. For next school year, it requested an additional amount of around $575,000 to issue another bond.

“I can’t think of anything that’s more valuable to the community than the school district,” 2nd Ward Alderman Kris Povlsen said.

The money would be used for improvements to Clinton Rosette Middle School, Huntley Middle School and Chesebro Elementary School.

Last year, the school district received $412,000 in addition to the $500,000 for the bond.

“I’m supportive of the concept in principle, but I’d like to see the numbers plugged into the spreadsheet,” 3rd Ward Alderman Steve Kapitan said.

Povlsen and 5th Ward Alderman Pat Conboy were in favor of granting the additional money to the school district.

The approval of the school district’s funding request would bring the fund balance down to below $600,000 for potential improvement projects. Pending projects include East Lincoln Highway, downtown renewal and Pearl Street neighborhood over the course of the year.

Mayor Greg Sparrow proposed to cut the sanitary district and library requests to $50,000 each. He asked the city staff to bring back the proposal at Monday’s city council meeting for a decision.

The council also heard a report by Hanson Professional Services, which reviewed the heating and cooling system in the 35-year-old Municipal Building. The cost of replacing the existing two-pipe fan coil units was not determined. Construction could take up to a year, during which the building would have to be evacuated. The issue was shelved until further details were obtained.