Wanted: More residents, and the Heights will make it worth their while

In the context of decades-long population loss, the Village of Peoria Heights is looking to incentivize new home construction by getting into the home-building business itself, selling the finished product, and giving the new homeowners 10 years of substantial property tax relief.

The Village could take advantage of a two-year-old state law, the Special Homestead Exemption for Certain Municipality-Built Homes (Public Act 103-0793), which passed in 2024 by a vote of 106-1 in the Illinois House and unanimously in the Illinois Senate. The Peoria County Board recently adopted the measure for all municipalities in the county at the request of Heights Mayor Matt Wigginton.

The measure authorizes a new property tax exemption to homeowners that would halve the taxable value of their homes for the first eight years of ownership, and reduce it by a third for the two years after that. It would apply to new home construction only on Village-owned property, which amounts to some 43 parcels now, with about 15 viewed as ripe for residential investment. The new owners would have to live there to receive the tax benefit, and they could not “stack” it with other tax reduction programs. If they were to turn around and sell the property themselves within that 10-year window, the tax break would not be transferrable.

“We build it, then we sell it,” with the tax break following the transfer of ownership, explained Wigginton.

This effort comes amidst concerns that the Heights could drop below 5,000 people come the next Census in 2030, which would have significant consequences including the forfeiture of local representation on regional boards such as the Airport Authority and CityLink. Meanwhile, federal tax dollars coming to the community are directly tied to Census counts.

The Village’s population has dwindled steadily since 1970, when nearly 8,000 residents called the Heights home. The primary cause of that exodus was the closure of the Pabst Brewery in the early 1980s. Exacerbating the problem is the fact that the Heights is landlocked, meaning the Village’s boundaries cannot grow and there is little land available for residential development. Finally, the Village suffers from a lack of new and family-friendly housing stock. Rental properties have jumped.

All of that has contributed to the school district’s struggle with enrollment, as well. Peoria Heights High School is down to about 200 students.

As a result, local leaders have voiced a sense of urgency about doing what they can to reverse those trends.

“It’s a tool in our tool box,” said Wigginton. “It doesn’t have to be utilized, but it gives us the option to use that arrow in our quiver.”

If there is a downside, it would be a loss of short-term tax revenue to local governments. Nonetheless, the mayor sees it as worth the risk.

“These vacant lots are creating zero in tax revenue now because we own it,” said Wigginton. “Even 50 percent is better than zero.”

Village trustees seemed generally receptive to the idea but have not taken a vote. Expect further discussion and/or action on this issue in the coming months.

“It’s not many times that Springfield gives us the opportunity to lower our taxes,” said Wigginton. “So when we’re given that opportunity, we need to grab it with both hands and take advantage of it.”

Heights to host its America250 celebration in August

The Village of Peoria Heights will play its part in the America250 celebration with a full day of events on Saturday, Aug. 22 at Tower Park. Mark your calendars now.

The inaugural Great Heights Jamboree will feature recognition of America’s military members, live music, tasty food and drink including what promises to be a very entertaining hot dog eating contest, and no end of children’s activities.

The festivities begin at noon with opening remarks from Peoria Heights Mayor Matt Wigginton, followed by a military recognition ceremony, an Honor Guard presentation and the Armed Forces Hymn. Another military tribute will cap the evening at 8:45 p.m.

The music kicks off at 1 p.m. with Americana and traditional tunes from the Central Illinois Banjo Club, including a special performance by Larry and Shirley Hackman with a patriotic dance to banjo music. The New Cats Bluegrass Trio takes the stage at 2:15 p.m. It will pick back up at 5 p.m. with Brainchild, an assembly of Heights musicians playing rock, blues and funk. Roy Ponce will perform the Star-Spangled Banner. At 7 p.m., The Damned Torpedoes will fill the Heights night with the Tom Petty Experience. Finally, the Kris Lager Band will be in from Omaha, Nebraska with its take on pop and R&B music at 9 p.m. Dancers are most welcome.

One big highlight of the day will be Frank’s Hot Dog Eating Contest, with local restaurateurs Frank and Noah Abdnour overseeing this gastronomical wonder. It starts at 4:45 p.m.

Local taste buds will be satisfied and then some with multiple food vendors and a beer tent on site. Richwoods Township will be providing free popcorn and all kinds of patriotic giveaways.

Abraham Lincoln impersonator Rick Otey will be emancipated for the day and roaming the grounds.

You won’t be able to get the kids back home without a fight, as there will be multiple activities for them throughout the day including a bounce house, balloon artist, face painting, free Tower rides and more. Free carriage rides by Ted Tarvin also are on the agenda. Family-friendly is always the name of the game in Peoria Heights.

The event is made possible by the Village of Peoria Heights, other partners and sponsors, and a small army of volunteers. All in all, it promises to be an unforgettable moment, befitting the nation’s 250th birthday.

“We really do invite people from throughout central Illinois to come celebrate the nation’s founding with us,” said Wigginton. “There is no more uplifting and inspiring origins story in the world, and no human experiment in self-governance quite like it. And Peoria Heights, in its own unique way, is a small but integral part of that American story. We hope to do it justice with our party. I think the Founders would be both amused and proud that we’re still able to gather and have fun in their names, 250 years later.”

Village Board discusses Airbnb regulation and more

A couple of house parties that got out of hand at local Airbnbs has the Peoria Heights Village Board contemplating further regulation and limitations on the short-term rental properties, most of them in residential neighborhoods.

The Village Board is expected to address the issue at its regular meeting on Tuesday, July 7.

Heights Police Chief Chris Ahart noted that a loud party on Vincent Avenue last spring ended up being attended by 250 people before law enforcement was called, prompting Trustee Brandon Wisenburg to raise the issue last month. The police response had party-goers fleeing the Airbnb property, culminating in a high-speed chase and two motor vehicle crashes, along with people swarming the local McDonald’s and Beck’s service station before being cleared, said Ahart.

The Village has 32 registered short-term rental properties, though there could be more flying under the radar, with no restrictions on who can rent them. Trustees shared a number of ideas for how to curtail abuses, from creating a new permit process to capping and/or reducing the number of short-term rentals, from prohibiting local resident access to limiting occupancy at any given property.

While the Village does have significant regulatory authority, those can raise constitutional considerations and enforcement can be a challenge, cautioned Village Attorney Mark Walton.

For example, if the Village were to prevent residents of Peoria County from renting a local Airbnb, as one trustee suggested, that could be construed as a kind of racial redlining, given that residents of other nearby counties have significantly fewer African Americans, said Trustee Nate Steinwedel.

Meanwhile, people rent Airbnbs for a myriad of reasons. Maybe someone has been displaced by a house fire for a few weeks, or is in town for a wedding or a relative in the hospital. Perhaps a visiting nurse needs a place to stay, or there’s a domestic dispute and the spouses need to cool off away from each other for a few nights.

“That’s really not our business,” said Steinwedel.

Unlike Peoria, for example, “we don’t have a hotel,” he said. “It (Airbnb, VRBO) is a needed thing here.”

The Village also derives revenue from the properties in the form of a 5 percent tax.

Village Administrator Dustin Sutton tried to reassure trustees that the Village already has the legal mechanisms in place to address problem renters, primarily through its Landlord Registration Program and its nuisance ordinance. With the latter, three violation tickets earn fines for the landlords.

“Trust me, they don’t want that,” said Sutton.

“We’re not starting from ground zero here,” he said. “We have a lot of tools.”

Airbnb also can take enforcement action on its own when it gets complaints, said Steinwedel.

Ultimately, it’s enough of an issue – population and school enrollment losses also are a concern -- that the Village will explore its options, including placing a ceiling on the number of short-term rentals and punishment including pulling permits for bad actors. Other communities such as the City of Washington, which has a special use permit for short-term rentals, and the City of Peoria, which requires Airbnb owners to address the City Council in person, could serve as role models. The Illinois Municipal League also has recommendations for communities, many of whom are grappling with these same challenges.

In other action or discussion:

  • The Village Board signaled its intent to accept a bid of nearly $6.82 million to Leander Construction of Canton for construction of a filter addition to a new water treatment plant in the Village. Specifically, the Village wants to remove manganese from its water system, which is a significant contributor to the discolored water some local residents get when they turn on their taps.

The Village received three bids and Leander’s was the lowest. The work could begin as soon as this month on what constitutes a major water infrastructure upgrade for the community.

  • The Board approved a proposal from its water consultant, Missouri-based Woodard & Curran, to provide early-stage due diligence and design on a water main replacement project underneath Illinois Route 29, which ultimately will coincide with the pending roadway reconstruction there.

The Village intends to replace 1,200 linear feet of 12-inch raw water main from Route 29 to the new water treatment plant, with a federal grant of nearly $1 million already in hand through the office of Congressman Eric Sorensen. There will be additional expenses on local taxpayers.

Woodard & Curran will provide multiple services including project management, data collection and topographical survey, design work, permitting, bidding assistance and ultimately project oversight. Its fee will be $76,000.

  • The Board unanimously amended its redevelopment agreement with Pearl Enterprises of Illinois to help pay for replacing the sidewalk on Glen from Prospect to Atlantic, where Pearl is renovating and expanding its office building. The Village will reimburse Pearl for half the cost up to $250,000. Four parallel parking spaces also are being added on Glen.

Those dollars will come from tax increment financing (TIF) funds.

  • The Board entered into a tax increment financing (TIF) agreeement with Stephanie Brott of Segreto di Stephani restaurant. Between that and an earlier Business Development District (BDD) grant, the developer could be reimbursed up to a combined $165,000 in site renovation costs.

  • The Board is considering the establishment of a no-parking zone on Montclair Avenue near Suburban Lions Club Park, or perhaps a more permanent solution to deter vehicular speeders in a spot of limited visibility where children play.

The Village could ban parking on one side of the street, lower the speed limit, put up flashing lights or an electronic speed sign, install speed bumps or even dead-end the roadway, said trustees. Moving the entrance to the park, placing stanchions in the middle of the road to guide traffic, or painting a crosswalk there are also possibilities.

“This is a really dangerous stretch of road,” said Wisenburg.

Parking a squad car there at busier times of day also could make a difference.

“I feel like the word travels fast when the police start writing tickets,” said Trustee Sarah DeVore.

Years ago, the Village entertained a proposal to expand the park, with the likes of pickleball courts there to maximize its use, and redesign the roadway but that didn’t pan out.

  • The Board awarded a spray patching contract in the amount of $72,226 to Ace in the Hole, Inc. of Hanna City. The Board also approved the bid of $187,810 from Tremont-based RA Cullinan & Son for sealcoating. Both businesses have worked in the Village before. Both will be paid out of motor fuel tax funds.

  • The Board gave its thumbs up to the Peoria Heights Arts Collaborative for use of Tower Park on Saturday, Oct. 24 for its fall art fair. Unlike the spring version of its arts fair, this one will not require the temporary closure of Prospect Road