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HomeMy WebLinkAbout02/09/1984 FC mintuesII. MINUTES FINANCE COMMISSION FEBRUARY 9, 1984 ROLL CALL Village Manager Terrance Burghard called the meeting to order at 7:45 p.m. Commissioners present included: Richard Bachhuber, William Holloway, Thomas Pekras and Ann Smilanic. Also present were: Village Manager Terrance Burghard, Administrative Assistant to the Village Manager John Bowman and Director of Finance David Jepson. PROGRAM OF SERVICES Village Manager Burghard presented a general overview of the Program of Services for fiscal year 1984-1985. The following items were discussed: 1. In terms of full-time equivalency, the total number of employees will increase by only one (1), with additional part-time help as needed. 2. Anticipated capital expenditures include the following: A word processing system for the Manager's Office, a new phone system in Management Services, a new filing system within the Clerk's office, the acquisition of Lake Michigan water and an aggressive Motor Fuel Tax and Flood Control Program within the Public Works Department. The possibility of a lease/purchase arrange- ment for the new phone system was discussed. VILLAGE FINANCIAL POSITION Finance Director Dave Jepson presented the following comments on the Village's financial position: 1. Financial health can be measured in two ways. First, does the Village have sufficient cash to pay bills and, secondly, is the Village in a good debt position? Mr. Jepson used quantitative and practical measures to demonstrate that the Village is in good financial position. IV RESOURCES Mr. Jepson commented that resources are derived from two primary sources: Revenues and Fund Balances. Revenues include Property Tax, Sales Tax, other Taxes, Special Service Area Taxes, Grants, Service Charges, etc. A graph was presented which showed the increase in Sales Tax over the years and another graph which illustrated the percentage of Property Tax which goes to the Village in comparison with other local taxing bodies. Mr. Jepson summarized by stating that resources are limited, therefore, the Village has an obligation to allocate limited funds in the most efficient manner possible. V. GENERAL DISCUSSION Several questions were raised by Commission members regarding services and resources. Mr. Burghard addressed questions regarding possible future reductions in Grant Revenues, the sale of Village -owned land, the expected decrease in State Income Tax and the time-lag from Budget preparation to receipt of Tax Revenue. Commission members also had questions regarding the proper use of Cable TV Franchise Fees. Mr. Jepson answered questions regarding the Village's Self - Insurance Program. VI. PUBLIC REPRESENTATION Mr. Burghard presented an overview of the Public Represen- tation portion of the Budget, which includes expenses for the Mayor, Board of Trustees and the various Commissions. The following points were emphasized: 1. The percentage increase from last year may be mis- leading since the overall balance is relatively small. 2. There is a new $10,000 line item for Special Projects. 3. The Village expects to become more involved in Cable TV next fiscal year. 4. Hearing expenses will decrease due to the elimination of the court reporter at Zoning Board meetings. -2- VII. VILLAGE MANAGER'S OFFICE Mr. Burghard discussed the Manager's office budget for next year, emphasizing that the Manager's office budget comprises only 1.7% of all Village services. Commission members raised several questions regarding the Assistant Manager's position, and the programming of the local Government Access Channel on Cable TV. VIII. MANAGEMENT SERVICES IX. Dave Jepson stated that Management Services includes the Finance Department and the Village Clerk's office. Changes within the Finance Department include the following: 1. A new Customer Service Division has been created which consolidates the water billing, licensing services and cashiers. 2. Payroll and Accounts Payable functions have been merged into the Accounting Program. 3. A separate Cash Management Program has been identified in the 84-85 budget. Several classes of expenditures were discussed, including Personal Services, Contractual Services, Commodities, Capital Expenditures and the Risk Management Fund. The Village Clerk's budget includes general administration and support, the Village Newsletter and the Offset printing expenses. Several questions were raised by Commission members regarding Sick Leave Incentive Programs and the data processing back-up and security procedures. GENERAL DISCUSSION Mr. Burghard summarized the Village's need for legal services,including General Counsel, Village Prosecutor, and Special Counsel. The Village's Self -Insurance Program, Cable TV franchise fees, and the replacement of the telephone system were discussed. Because there was no quorum, the Commission members decided to defer any written recommendations to the Board until after the entire Budget has been reviewed. However, the Commission suggested the following noteworthy items should be pointed out to the Board of Trustees: -3- 1. An explanation of the Village's Self -Insurance Program. 2. A change in the method of budgeting proposed Cable TV costs. 3. The possibility of a property tax abatement if Sales Tax revenue is significantly higher than budget projections. X. ADJOURNMENT There being no further business, the meeting was adjourned at 9:54 p.m. Respectfully submitted, JOHN M. BOWMAN Administrative Assistant to the Village Manager -4-