Oak Forest Gets a New Line of Credit

The city of Oak Forest has a new $1 million line of credit with MB Financial following the approval of an agreement between the two entities by the Oak Forest city council. This is the third such move by the city ever.

The City of Oak Forest has a new credit line with MB Financial after the city council voted to extend a previous agreement with the bank until Oct. 16, 2013. Previously, the city executed an agreement with the bank in October of 2010 to borrow $2 million during a one-year term.

“This has become routine business in the last few years,” said Colleen Julian, Oak Forest's Finance Director. “That we do need a line of credit for short-term needs.”

Julian said that the city needs access to funds like this during fiscally slim times, and that the money would only be used when absolutely necessary.

“We do experience inadequate liquidity at times, so I just encourage your support,” Julian told the council.

The money could be used in instances such as real estate tax distributions, or when the city's fund balances are insufficient to meet requirements.

This is only the third year in her 15-year tenure with the city that Oak Forest has needed a line of credit, she said. 

The agreement between Oak Forest and MB Financial was approved by a unanimous 6 to 0 vote by the city council.

Bob Laird January 25, 2013 at 03:14 PM
First, people whine about certain areas of town being shoddy and dangerous. Then the village buys up part of the area to improve it and the same people snivel about the money. With it's proximity to the train station, if that entire area is cleaned up it can be a money maker. Higher end condos, or even single family homes for commuters. Nobody likes paying taxes, but I have no complaints about this deal.
Tony Fiorenzo January 25, 2013 at 04:35 PM
I think whining and sniveling is a little harsh. People have a right to be concerned about how "their" money is being spent. Too long our governments at the city, state and federal have been neglectful with the funds that they are entrusted with. That is the main reason this country, state and city are going to pot.
chuck toland January 25, 2013 at 04:43 PM
Tired, I never have a problem answering questions on here as long as the question is really looking for an answer. I agree with you to some degree about purchases and lack of purchases in the past. I wish there were better results, but sometimes there's only a short window to make decisions, and preliminary plans sometimes fall through. I wish years ago OF had purchased more of the land extending towards Orland Park. As far as other properties go, the Mayor didn't donate the church property. When that property is ready to move, it'll be moved. The back portion of that property was under rated; we sold it under the value of what we sell the frontage for. At least we have a developer willing to market the rest of the property there. The dialysis center will create foot traffic to the area which should attract additional business. Of course it's all speculation. We cross out fingers we did the right thing, but the decision to purchase land is never easy. It's a little easier now as a lot of this prime business corridor land is undervalued. Feel free to call me and talk about this in greater detail. Those who have contacted me for more information were pleasantly surprised about some of the plans. In the spirit of confidentiality, all the plans cannot become public until things are in writing. I am happy to share concepts with you. OF is definitely at a crossroads right now, and we can make a positive move or stay status quo. I am tending towards moving forward.
Tired of the B.S. January 25, 2013 at 11:14 PM
Chuck, As I stated earlier, The town has not had a good track record for purchasing property and then successfully making that purchase into something that has a positive return to the city. How much did the city waste on the property at 159th and Cicero? How much did the Oak Forest sign alone cost to be built and then torn down? This is money wasted by you and the city government and that is the cause for my concern for where tax dollars are spent. While I understand that sometimes plans can not be made public, it seems that there have been no plans for previous purchases other than crossing your fingers (with the taxpayers taking the hit) and hoping that something develops. I must have misread the patch article from late November 2012 about the mayor donating the church property to GiGi's Playhouse. Wait, I did not misread it, here is a quote from the story: "Husar said she hopes the Oak Forest location will open in September 2013. She added that the biggest hurdle was finding a space to house the location, something that Mayor Hank Kuspa assisted with. Kuspa donated the location of the GiGi's Playhouse and that another of his ideas will be used for the next GiGi's fundraiser on Dec. 9." So, Chuck, did he donate city property to a private group or din't he? How do you plan to move that property when the mayor has donated it to GiGi's?
phxdr January 26, 2013 at 04:22 AM
Sorry but "tired of the BS", you are making too much sense. You have to remember that those who run this town only want to hear from people who will help stroke their ego. I hate to rain on anyones parade but we have to get some reality here. If the land that these apartment buildings are on was of so much value you can rest assure a developer would have approached the owner(s) of these buildings about buying them and then approach the city about development. Did that happen? It seems not. Oak Forest wants its cake and eat it too. They want high taxes in the forms of sales and property, while expecting growth and development. Thats not the way it works for a blue collar community like OF. These people have made so many mistakes for so many years, I have no idea how anyone can defend them.


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