HomeMy WebLinkAbout09/26/1991 FC minutesFINANCE COMMISSION
Minutes of the Meeting
September 26, 1991
Call to Order
The meeting was called to order at 7:30 p.m. Present were Chairman Richard Bachhuber;
Commissioners Paul Davies, John Engel, Vince Grochocinski, Newt Hallman, James Morrison,
Ann Smilanic, and Earl Sutter. Also present were Finance Director David Jepson, Assistant
Finance Director Carol Widmer, one member of the news media and one resident.
Commissioner Tom Pekras was absent.
II Anproval of Minutes
The minutes of the July 25, 1991 meeting were accepted as written.
III Review of 1991 Financial Report
David Jepson presented the Village of Mount Prospect's Comprehensive Annual Financial
Report for the Year Ended April 30, 1991. The report is designed to satisfy unique legal
requirements as well as accounting requirements and is distributed to Bond Rating Agencies,
the Illinois Department of Insurance, the State Comptroller, citizens and other local
governments.
The financial report consists of three sections: the first section is the Introductory Section
which includes principal officials, an organization chart and a letter of transmittal; the second
section is the Financial Section and includes the Independent Auditor's Report, General
Purpose Financial Statements, Notes to the Financial Statements, and Combining, Individual
Fund and Account Group Statements and Schedule; and Supplemental Data; and the
Statistical Section is the third section of the report.
The Combined Balance Sheet on page 3 of the report shows the Village had total assets of
$101,969,297 as of April 30, 1991. This Balance Sheet gives an overview of Village financial
statements and is made up of 3 fund types and one account group. The Fund Types are made
up of: 1) Governmental Funds which account for most governmental operations and include
the General Fund, special revenue funds, debt service funds, and capital projects funds; 2)
Proprietary Funds which include the Water and Parking Funds which are accounted for as
enterprise funds and the Village's Risk Management and Vehicle Replacement Funds which
are accounted for as internal service funds. The third fund type consists of pension trust and
expendable trust funds. The Account Groups consist of general fixed assets and general long
term debt. The library is included in the Village's report because the Village levies taxes
for the library and is accounted for as a special revenue fund.
The statistical Section, which along with the Introductory Section are not subject to review by
the independent auditors, has a wealth of historical data available. This section which begins
on page 146 of the Report includes a 10 year history of General Governmental Revenues and
Expenditures, property tax assessed values, rates and Extensions, Tax Rates for all taxing
bodies in Mount Prospect, demographic and miscellaneous statistics.
The Letter of Transmittal which begins on page iv serves multiple purposes. Basically the
letter summarizes the operations of the Village for the past year as well as a view of the
economic outlook. Some of the significant information presented includes a comparison of
revenues and expenditures for the past two years. Revenues increased a total of 2.2% from
the previous year while expenditures increased 5.5%.
Under the section on Employee Pensions, a review of the Fire and Police Pension Funds
summary information shows that full funding has been achieved in each fund, specifically,
123.2% has been achieved in the Police Pension Fund and 133.3% in the Fire Pension Fund.
The members of the Finance Commission commented on the readability and understandability
of the report. They stated that the amount of information available was impressive and they
thought the report was a valuable document. They expressed their appreciation to Dave for
a job well done.
IV Finance Director's Report
Several months ago the members of the Finance Commission questioned the Village's policy
of using premium unleaded gasoline instead of regular unleaded. In response, Herb Weeks,
Director of Public Works, suggested that a test and an evaluation be made at the end of a
three-month period. The results of the three-month period test of premium unleaded gas
versus regular unleaded gasoline in Village vehicles yielded no significant difference in
performance. Therefore, in the future the Village will purchase regular unleaded gasoline
which should result in a savings of approximately $10,000 per year to the Village.
V Adjournment
The meeting was adjourned at 9:30 p.m. The next meeting will be held on Thursday,
October 31, 1991.
Respectfully Submitted,
Carol L. Widmer, Assistant Finance Director