HomeMy WebLinkAbout03/18/1993 FC minutesFINANCE COMMISSION
Minutes of the Meeting
March 18, 1993
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,
Tom Pekras, Ann Smilanic, and Earl Sutter. Also present were Village Trustees Mark Busse and
Irvana Wilks, Village Manager Michael Janonis, Finance Director David Jepson, Assistant Finance
Director Carol Widmer, Public Works Director Herb Weeks, Deputy Public Works Director Glen
Andler, Police Chief Ron Pavlock, Deputy Police Chief Ron Richardson, Deputy Fire Chiefs Del
Ulreich and Lonnie Jackson, Human Services Director Nancy Morgan, Assistant Human Services
Director Jan Abernethy, Inspection Services Director Chuck Bencic, Engineering Coordinator Jeff
Wulbecker, and Health Coordinator Bob Roels, and one member of the press. Fire Chief Ed
Cavello arrived at 8:35 p.m.
II Approval of Minutes
The minutes of the March 11, 1993 meeting were approved as amended.
III 1993/94 Budget Review
Village Manager Michael Janonis began the meeting with a review of his remarks to the Finance
Commission at the first budget meeting which was held on March 11, 1993. At that meeting Mr.
Janonis stated that the proposed budget was the result of parameters established during discussions
of the Mount Prospect 2000 Plan. The parameters included no new revenue sources, minor service
level reductions, spending reductions of approximately $435,000, use of one-time draw -downs of
fund balances, and maintenance of acceptable year-end balances in the General, Special Revenue,
and Water Funds. The proposed 1993/94 Budget totals $46.5 million and represented an overall
2.68% increase over the 1992/93 Budget. This budget meets all of the parameters set by the
Mayor and the Village Board. Mr. Janonis explained that this meeting would focus on the
individual department and divisional budgets.
Village Administration
This area includes the Village Board, Village Manager's Office, Communications Division and the
Village Clerk's Office. The budget for the Mayor and Village Board is up 2.9% and includes
salaries for the Mayor and Trustees, organizational memberships and a provision for special
projects.
The Village Manager's Office is down 15.2% primarily due to the reduction of one full-time
position. The priorities for the Village Manager's Office in 1993/94 will be implementation of the
Mount Prospect 2000 Strategic Plan, Downtown Redevelopment, and a review of legal services.
The budget for the Communications Division is up 3.1 % and includes $30,000 for the franchise
renewal process which begins three years before it comes up. Installation of a new telephone
system will also be a priority. The Village Clerk's budget is up 2.2 % and includes operating costs
as well as the Village Newsletter.
The members of the Finance Commission requested information on how many residents actually
have Cable TV and of those how many actually watch Village meetings. Mr. Jepson indicated that
there were plans to survey the residents as part of the upcoming franchise renewal process.
Human Services Department
Mr. Janonis reported that he is recommending a change in status from division to department for
Human Services in recognition of the scope and importance of the services provided to the
Community. Due to a change in the fee structure approximately $5,700 will be added to revenues
from the Human Services Department in 1993/94 while the total budget will increase less than 1 %.
In response to an inquiry from Finance Commissioner Newt Hallman, Nancy Morgan explained
some of the proactive approaches being taken to get to the root of problems in the Community.
The STEP -Teen program and a VISIONS program have been formed to more adequately address
social, economic, and financial issues of residents.
Finance Department
The Finance Department, as all Village Departments, is committed to excellence in operations.
During the past year the Finance Department achieved a 99.99% collection ratio for water and
sewer bills, a 99.8% collection ratio for business licenses and an additional $30,000 through the
Vehicle License Follow -Up Program. Members of the Finance Commission asked if there could
be savings to the Village in both time and money if a Purchasing Agent were hired. Both Mr.
Janonis and Mr. Jepson agreed that there would be increased efficiency with a Purchasing Agent
as well as savings in time spent in the bid process. However, Mr. Janonis stated that the current
focus was to put people on the front line rather than in support services such as purchasing.
Inspection Services Department
The proposed 1993/94 budget for this department is down 2.86% mainly due to the elimination of
one full-time position, the traffic technician. The emphasis in Inspection Services has shifted from
new development to home improvements and to property maintenance. The Village is committed
to maintaining the housing stock and enforcing the property maintenance code. The Engineering
Division is performing road design in-house and overseeing the $1.2 million road resurfacing and
reconstruction projects.
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Police Department
The budget proposed for the Police Department is 4.07% higher than the 1992/93 budget. This
amount is for current operations and does not include a provision for the three additional officers
being recommended by Mr. Janonis. Mr. Janonis further stated that if the Village Board supported
the addition of the officers then funding of $120,000 for the first year would come from
contingency funds currently in the budget. The Village Board would, however, have to provide
a permanent source of funding in subsequent years. The Finance Commission asked for additional
information on the need for the officers and Mr. Janonis recommended that a future meeting be
devoted to a presentation from Chief Pavlock regarding the depth and breadth of gang problems
in Mount Prospect. Chief Pavlock went on to explain that the addition of three officers would
enable the Department to focus on status offenses such as youth drinking and allow for more
surveillance tactics. This focus would emphasize zero tolerance of gang activity in Mount
Prospect.
Fire Department
Mr. Janonis stated that the 1993/94 budget for the Fire Department is up 5.2%. The increase is
due to fixed costs such as personnel costs, pension costs, insurance costs and the vehicle lease
payment. The Fire Department is seeking to maintain its Class II Fire Rating and will be looking
at some staffing needs at the North Station. The Fire Chief has proposed deferring the purchase
of a pumper which had been scheduled for replacement in 1993/94 and instead purchase a "quint"
in the 1994/95 fiscal year. Fire Chief Cavello explained that the quint is a combination of a ladder
truck and a pumper in one vehicle. This vehicle will allow the shift of one firefighter from
Northwest Highway to the Kensington Station to help meet OSHA and NFPA staffing requirements.
There was some discussion of workers compensation costs. In response to an inquiry from Earl
Sutter, Chief Cavello stated that the Fire Department emphasizes educational programs and proper
lifting methods as a way to try to keep costs down. Ann Smilanic asked about incentive pay.
Chief Cavello explained that incentives are fixed amounts paid for specialty education and training.
These amounts are negotiated during the collective bargaining process. Mr. Jepson said
information on Fire Department incentives will be provided at a future meeting.
Planning_ Department
The Planning Department budget for 1993/94 will increase less than 1 %. The CDBG portion of
the budget is up $50,000 and the Downtown Redevelopment portion is down $38,000. The
department's functions including Planning, Economic Development, Downtown Redevelopment and
Community Development Block Grant (CDBG) Projects.
In the discussion of the Planning Department's activities, Dave Clements reported that the revised
Zoning Code has been drafted and will be presented to the Village Board within the next 90 days.
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Public Works Department
Mr. Janonis stated that the Public Works Department included budgets for the Street Division,
Water and Sewer, Parking and Refuse Disposal. Also, the flood control construction projects are
the responsibility of Public Works.
The Street Division budget is down 2.46% due to the reduction of one position and a decrease in
certain street maintenance projects. The Water Division budget is up 3.57 % and includes $500,000
for renovation of the Downtown Water Tank. The Refuse Disposal Program is up 6.52% and
reflects the 8 % increase in the Arc Disposal contract effective August 1, 1993. Comments from
members of the Finance Commission centered on the concern for maintaining the streets in the
Village.
Non -Departmental Expenditures
David Jepson briefly reviewed the non -departmental portion of the budget. Mr. Jepson explained
that the Village will be undertaking a position classification study this year and some monies have
been set aside in the Manager's budget for salary adjustments which may be recommended as a
result of the study.
The capital improvements planned for this budget year include completion of the Police and Fire
Building, Flood control projects covering the North Main/Prospect Manor Sewer Project and the
Hatlen Heights and Fairview Gardens Sanitary Sewer Projects to be financed by the Illinois EPA
Loan Fund.
Under the Debt Service section of the Budget, Mr. Jepson reported that the total Debt Service
expenditures for 1993/94 of $2,973,065 are made up of $2,883,605 for General Obligation Debt
and $89,460 for Special Service Area Debt.
Pensions and Insurance are also showing increases. Total insurance costs are expected to be
$2,700,000 in 1993/94 compared to budgeted costs of $2,512,000 in 1992/93.
Members of the Finance Commission unanimously approved the proposed budget subject to
recommendations presented to the Village Board prior to the final budget hearing. A copy of those
recommendations is attached.
The meeting was adjourned at 12:30 p.m. The regular Finance Commission meeting scheduled
for March 25, 1993 was cancelled.
CLW/sm
Enclosures
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Respectfully submitted
Carol L. Widmer
Assistant Finance Director