HomeMy WebLinkAbout2. COW Minutes 10/28/2014
COMMITTEE OF THE WHOLE MINUTES
October 28, 2014
I.CALL TO ORDER–ROLL CALL
The meeting was called to order at 7:05p.m. in the Village Board Room of the Village Hall, 50
South Emerson Street, by MayorArlene Juracek.Trustees present included Paul Hoefert,
John Korn, John Matuszak, Steven Polit,RichardRogersand Michael Zadel.Staff present
included Village Manager Michael Janonis, Assistant Village Manager David Strahl, Finance
Director David Erb, Deputy Finance Director Lynn Jarog, Community Development Director
Bill Cooney, Human Services Director Julie Kane, Deputy Director Jan Abernathy, and
Administrative Intern Alex Bertolucci.
II.APPROVAL OF MINUTES OF THE COMMITTEE OF THE WHOLE OCTOBER 14, 2014
Motion made by Trustee Politseconded by Trustee Rogers. Minutes were approved.Trustee
John Korn abstained.
III.CITIZENS TO BE HEARD
None
IV. 2015 BUDGET DISCUSSION
Mayor Juracek
provided opening remarks regarding the budget process and the dates of the
meetings that will take place to formulate the 2015 Budget in addition to call-in and e-mail
information for citizens to participate in the discussion and pose questions to the Village
Board.
Finance Director David Erb
provided the projected results for the 2014 Budget, the proposed
2015 Budget and the projected 2016 preliminary Budget. He stated the 2014 amended
revenue budget was $108.9 million which is $97,171 higher than the original budget. He stated
the projected expenditures for 2014 were $108.3 million. He stated the main change to the
projected expenditures for 2014 was a deferral of $9.4 million in flood projects. He stated there
is a projected general fund surplus of $160,311 and the general fund reserves for the end of
2014 are projected to be 25.5% which is in line with the village board reserve policy.
Finance Director Erb
also provided general information regarding the 2015 Budget. He stated
the projected revenues are $108.7 million which is a 0.2% decrease over the 2014 amended
budget. He stated the proposed expenditures for 2015 are $116.3 million which is a 3.3%
decrease from the 2014 amended budget. He stated the operating budget is $64.9 million
which is an increase of 4% from the 2014 amended budget and includes a 2% adjustment for
salaries. He stated the capital budget is slated to decrease22% or $27.6 million while the
pension expense is expected to increase by 10.6% for a total of $9.1 million. The general fund
budget is balanced as proposed and amounts to $47.1 million which is a 2.4% increase from
the 2014 amended budget. The budget includes a proposed property tax levy increase of
4.2% which would amount to an average household increase of approximately $44. The
average home in Mount Prospect pays approximately $1111 and with the proposed property
tax levy increase that amount would increase to $1155.He stated the projected property tax
increase included in the budget is 4.42%.
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Generalcomments from the Village Board members includedthe following items:
There was a suggestion to consider running some scenarios regarding lowering the
property tax levy increase percentage to 0%, 1%, 2%, and 3% so the VillageBoard
members could see the potential impact on revenues using those percentage
increases as samples.
It was also suggested that with the change in refuse and vehicle stickers’charges
some relief could be considered as part of the property tax increase.
It was also noted that for every 1% change in property tax levy equates to $175,000 in
revenue.
Community Development Department Budget Discussion:
Community Development Director Bill Cooney
provided information to the Village Board
summarizing his department’s budget increasing 0.16%. He also noted that the department
has increased its economic development efforts over the past year including additional
outreach to residents through the Experience Mount Prospect and the Entrepreneurial Café.
He also stated the department continues to be diligent inenforcing property maintenance
regulations. He stated building permits have increased during the past year and the
department anticipates utilizing funds to create downtown way findingsignage. He also stated
that the department will be working with a corridor development grant from the RTA.
Human Services Budget Discussion
:
Human Services Director Julie Kane
spoke. She provided a summary of the services
provided by the department including social services mission services and senior services.
She provided an overview of the 2014 accomplishments including the implementation of a
service tracking program and electronic record-keeping system. She anticipates putting
together a client satisfaction survey for the upcoming year. She said her budget has
decreased 2.5% and the operational changes in the department budget relate to the
reassignment ofa village pool vehicle for departmental use. She stated the department
continues to work with other agencies to find the necessary services for residents.
Village Administration Budget Discussion:
Administrative Intern Alex Bertolucci
spoke. He provided a summary of accomplishments
for 2014 including upgrades of the phone system and network upgrades with additional
security standards. He also stated that the department responded to 740 freedom of
information requestswhich resulted in 1850 hours of staff time to respond. He also highlighted
the television awards and expanded wellness program in addition to the work underway to
implement the Affordable Health Care Act regulations. He stated that 2015 goals include a
security assessment and an upgrade to the Village Hall building access system. He also
highlighted the Public Representation portion of the budget hadincreased 1.4% which is a
result of adjustmentfor overtime of employee assisting in set-up and take down for civic
eventsandtheincreased funding for the Centennial Commission.He highlighted the increase
inthe Village Manager's office is inclusive of an increase in personnelservices relating to the
conversion of the Administrative Intern to a full-time Administrative Analyst position and the
addition of anIT network position.
General comments from Village Board members include the following items:
There wasa request to the provided the job description for the administrative analyst
position.
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It was also noted that the funding for the IT position is a shift in existing personnel
funds from the Police Department to IT.
Finance Department Budget Discussion:
Finance Director David Erb
provided a summary of the departmental activities for 2014
which included a revised policy and procedures review that included the petty cash and fund
balance policy updates. He also stated the department continues to develop the ERP system.
He stated the budget shows an increase of 6%,but without the contractualservicesthe budget
is only increased by 2.5%. He said the contractualservices increase isdue to bank fees and
ambulancebilling cost increases. He also stated that there is no increase in the liability
premium related to the recent settlement.
Non-Departmental Budget Discussion:
Finance Director David Erb
provided a summary of the Villages debt service which currently
stands at $51.1 million of which the library constitutes $11.4 million of that debt. He stated the
Village has only 2.9% of EAV attributed to debt. He stated the Village could levy debt up to
well over $100 million if it so chose to. He stated the existing debt would be paid off in 2033.
He stated the pension increase is10.6% overall with the police pension increasing 13.5% and
is funded at 59.9% while the firepension increase is 7.8% and is funded at 64.2%. He stated
the risk management is an internal service fund and is slated to increase 3.1%. He also stated
the Village is a member of the IPBC health insurance pool which has minimized the health
insurance increases over the years.He also mentioned funds are allocated for a workout
facility build out in the basement of the village hall with all funds coming from reserves in the
health insurance funds and a refund from our insurance broker from 2007.He statedthe
library has proposed a 4.3% increase with a budget of $10.8 million which constitutes a
property tax increase of 2% over the prior year.
General comments on the Village Board members include the following items:
There is a request of staff to provide a general survey of wages and fringe benefits of
area elected officials.
There is also direction forstaff to have a discussion regarding village vehicle
assignments and costs.
V. MANAGER’S REPORT
Village Manager Janonis
stated the next Committeethe Whole meeting to discuss the
Budget will be November 11, 2014 starting at 7:00 p.m. He also stated the next Village Board
meeting is November 5 due to the election on November 4. Leaf collection is currently
underway and thetree lighting ceremony is scheduled for November 26.
VI.ANY OTHER BUSINESS
None
VII.ADJOURNMENT
The meeting adjourned at 10:31p.m.
DAVID STRAHL
Assistant Village Manager
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