CITY OF EASTLAKE

ISSUE 7

4 MILL LEVY

PRESENTATION

The following slide shows the expected decreases in reimbursements from State of Ohio. Note the City expected to receive $2,359,373 at the beginning of this year and this amount will decrease to $910,490 starting in 2013. A decrease of over $1.4 million dollars.

Reimbursements from the State of Ohio

2,359,373

1,820,935

1,138,113910,490 910,490 910,490

0

500,000

1,000,000

1,500,000

2,000,000

2,500,000

Original 2011 Revised 2011 2012 2013 2014 2015

Reimbursements from the State of Ohio by Type

Type Original 2011

Revised2011 2012 2013 2014 2015

Local Government 1,820,980 1,593,357 1,138,113 910,490 910,490 910,490

Electric Deregulation 411,780 203,765 0 0 0 0

CAT Tax 126,613 23,813 0 0 0 0

Total OhioReimbursements 2,359,373 1,820,935 1,138,113 910,490 910,490 910,490

In addition to the decrease in State reimbursements, the following slide shows the continuing decline in property values which results in a decline in tax revenues available to the City.

CITY OF EASTLAKE PROPERTY VALUES COLLECTION YEARS 2007 TO 2011

580,399,754

566,189,642

554,852,640

532,390,140

523,491,200

490,000,000

500,000,000

510,000,000

520,000,000

530,000,000

540,000,000

550,000,000

560,000,000

570,000,000

580,000,000

590,000,000

2007 2008 2009 2010 2011

The following slide shows how the City’s General Fund Revenues have declined from 2006 to the current year, over $1.9 million dollars.

CITY OF EASTLAKE GENERAL FUND REVENUES(000's Omitted)

12,741

14,140

14,513

14,298 14,276

13,292

12,914

12,612

11,000

11,500

12,000

12,500

13,000

13,500

14,000

14,500

15,000

2004 2005 2006 2007 2008 2009 2010 2011 est

The following slide show the General Fund Expenses. Note, from 2009, expenses have have been cut over $1 million dollars.

CITY OF EASTLAKE GENERAL FUND EXPENSES(000's Omitted)

12,084 12,138

12,459

13,223

14,083

14,780

13,453

13,763

11,000

11,500

12,000

12,500

13,000

13,500

14,000

14,500

15,000

2004 2005 2006 2007 2008 2009 2010 2011 est

The following slide shows that since the year 2000, the City has eliminated 42 of the 157 jobs that existed in January 2000. If the levy is not passed, the number of employees are expected to decrease to under 100.

Comparison of Number of Full Time Employees January 21, 2000 versus August 13, 2011

157

27

46 4236

6

115

20 2537

27

60

20

40

60

80

100

120

140

160

180

City Total City Hall Service Police Fire Dispatch

January 21, 2000 August 13, 2011

The following slide shows that currently, the residents of Eastlake pay the least amount of Real Estate Taxes than any of the surrounding communities. If the levy is passed, only the residents of the City of Willoughby will pay less than Eastlake residents.

Municipality 2011 Millage Charged

With the Homestead Deduction

Without the Homestead Deduction

Eastlake - Current 58.688993 1,348.01 1,797.35Eastlake - With 4 Mill Levy 62.688993 1,439.89 1,919.85Willowick 71.276177 1,637.12 2,182.83Willoughby 59.189985 1,359.52 1,812.69Timberlake 68.495700 1,573.26 2,097.68

2011 Real Estate Taxes Paid on a $100,000 HomeHome in Eastlake and Surrounding Communities

The following slides shows that while a home owner of a $100,000 home pays almost $1,800 in Real Estate Taxes, only 9.5% or $170 actually goes to the City. The fact remains that the City has not increased the millage on your Real Estate Taxes since1982.

$100,000 Home in Eastlake Pays $1,797.35 in Real Estate Taxes

Where Does the Money Go?

Lake County, $449.83 , 25.0%

Willoughby-Eastlake Library, $65.87 , 3.7%

City of Eastlake, $170.41 , 9.5%

Willoughby-Eastlake Schools, $1,111.24 ,

61.8%

The following slide shows how much the levy will actually cost. Note, use the bottom table if you qualify for the homestead deduction.

The homestead deduction is available to all residents 65 year and older. If you qualify, but do not receive this deduction, call the Lake County Auditor’s Office at 350-2500.

House Valuation $75,000 $100,000 $125,000 $150,000 $175,000 $200,000 $225,000 $250,000

Annual Cost 91.88 122.50 153.13 183.75 214.38 245.00 275.63 306.25Monthly Cost 7.66 10.21 12.76 15.31 17.86 20.42 22.97 25.52

House Valuation $75,000 $100,000 $125,000 $150,000 $175,000 $200,000 $225,000 $250,000

Annual Cost 61.25 91.88 122.50 153.13 183.75 214.38 245.00 275.63Monthly Cost 5.10 7.66 10.21 12.76 15.31 17.86 20.42 22.97

City of Eastlake - Cost of the 4 Mill Levy

No Homestead Deduction

With the Homestead Deduction

The following slide shows that for only $10 a month (on a $100,000 home), the City will be able to maintain the services listed.

ISSUE 7

A 4 MILL OPERATING LEVY

KEEP YOUR VITAL CITY SERVICES FROM BEING DRASTICALLY REDUCED

Fire Department and EMS Services Police Protection

Snow Removal and Leaf Pickup

Senior Citizens Center

Asphalt and Concrete Road Repairs and Replacements

Houston-Fisher Swimming Pool

Baseball, Softball, Soccer, Football, Lacrosse Fields Mowed and Lined Skateboard Park Operation and Other City Parks Open and Maintained

If you have any questions on the Levy, please call any of the following individuals:

Mayor Ted Andrzejewski 951-1416 ext 102Finance Director Michael Slocum 951-1416 ext 127Council President Dennis Morley 951-3934Council Vice President Joe D’Ambrosio 946-4861Councilwoman Laura DePledge 946-6466Councilman Ken Hoefle 946-8417Councilman David Knuchel 946-0698Councilwoman Donna Vaughn 942-0679