From the McHenry County Self-Storage Association:
The Honorable Mayor Haleblian
Crystal Lake City Council Members
100 West Woodstock
Crystal Lake, Il 60014
Subject: Request for Additional Time to Review the Proposed Self-Storage Tax
Dear Mayor Haleblian and Esteemed Members of the City Council,
We are writing to express my concerns regarding the proposed self-storage tax and the limited
time available for its review. While I appreciate the city’s efforts to explore new revenue sources,
I urge you to allow additional time for thorough evaluation and public engagement for the
following reasons:
Subject: Request for Additional Time to Review the Proposed Self-Storage Tax
While I appreciate the city’s efforts to explore new revenue sources,
I urge you to allow additional time for thorough evaluation and public engagement for the
following reasons:
- Insufficient Notice:
The publication of the proposed tax, as part of the agenda, was released over the
Thanksgiving holiday—a time when many residents and businesses are less likely to be
actively monitoring city announcements. This short notice limits the ability of
stakeholders to review and provide informed feedback. - Informed Decision-Making:
Adequate time is essential to fully understand the potential economic implications of the
tax on local businesses and residents. Without sufficient review, there is a risk of
unforeseen consequences that could negatively impact our community. - Lack of Industry Consultation:
The ordinance appears to have been written without consulting the self-storage industry,
which operates under unique business practices. For instance, the proposed ordinance
requires a monthly billing statement. However very few businesses in this sector issue
traditional bills. Instead, most rely on automatic payment plans through credit or debit
cards. This disconnect suggests that the proposed tax structure may not align with the
practical realities of the industry and could result in administrative challenges or
unintended costs for both businesses and the city. - Overreach of Authority:
As currently drafted, the ordinance grants excessive authority to city staff. For example,
it allows city staff to review the financial records of self-storage facilities “at any
reasonable time” the city desires. This provision is overly broad and could lead to
unnecessary disruptions for businesses and potential misuse of power. Such provisions
require scrutiny to balance regulatory oversight with individual property rights. - Failure to Distinguish Property Types:
The proposal does not differentiate between various types of properties, such as a
condominium storage facility that is being sublet, a moving facility holding property for
future delivery or even a large apartment complex renting to tenants. This lack of clarity
raises concerns about fairness and the applicability of the tax to vastly different property
types. Without clear distinctions, the ordinance will result in unintended consequences,
including confusion about enforcement and undue burdens on unrelated property uses. - Inadequate and Unfair Appeal Process:
The ordinance does not establish a fair and legitimate tax review process. Under the
proposal a business owner has ten days from the mailing of the Director of Finance’s decision to receive the mail and file an appeal. If an appeal is filed in a timely manner, it is heard by the Director of Finance—the same person who made the initial decision. A second 10-day appeal is directed to the City Manager, after which the decision is deemed “final”. This structure lacks any independent oversight. The people being appealed to are the people who made the decision in the first place. This lack of due process raises serious issues. Taking a person’s property without proper procedural safeguards not only violates basic principles of fairness but also exposes the city to significant legal and reputational challenges. - Engagement with Stakeholders:
Extending the review period allows for meaningful dialogue with self-storage facility
operators, property owners, and other stakeholders. This input is critical to crafting a
policy that balances fiscal goals with the diverse needs of the community. This proposal
will negatively affect about 3000 Crystal Lake families and businesses. They have every
right to be part of this process. - Transparency and Public Trust:
A rushed decision could undermine public trust. A more deliberate process will
demonstrate the city’s commitment to transparency and inclusiveness, fostering greater
confidence in the outcome.
We respectfully request that the City Council delay its decision on this tax proposal to ensure all
voices are heard and all factors are considered. This additional time will allow for a more
informed and thoughtful approach, reflecting the values and priorities of our community.
Thank you for your attention to this matter. I would be happy to discuss these concerns further
or provide any additional support necessary to facilitate a comprehensive review.
Sincerely,
James Keelan
Hawthorn Self Storage
100 W Terra Cotta
Crystal Lake, IL 60014
Jack Schaffer
Liberty Self Storage
131 Erick Street
Crystal Lake, IL 60014
McHenry County Self Storage Association
