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COMMITTEE OF THE WHOLE MINUTES
- October 23, 2018 —
3rd Floor, Village Board Room
Village Hall, 50 S. Emerson Street
1. ROLL CALL— CALL TO ORDER
The meeting was called to order at 6:02 p.m. in the Village Board Room of the Village Hall,
50 South Emerson Street, by Mayor Arlene Juracek. Trustees present included William
Grossi, Eleni Hatzis, Paul Hoefert, Richard Rogers (Arrived at 6:33 p.m.), Colleen
Saccotelli and Michael Zadel.
Staff present included Village Manager Michael Cassady, Assistant Village Manager Nellie
Beckner, Village Clerk Karen Agoranos, Chief Technology and Innovation Officer Andrew
Schaeffer, Director of Communications Howard Kleinstein, Executive Assistant to the
Village Manager Doreen Jarosz, Human Resources Coordinator Heidi Neu, Human
Resources Generalist Ryan Kast, Director of Building & Inspection Services William
Schroeder, Deputy Director of Building & Inspection Services Mark Rysavy, Director of
Community Development William Cooney, Director of Finance David Erb, Fire Chief Brian
Lambel, Fire Deputy Chief John Dolan, Director of Human Services Julie Kane, Deputy
Director of Human Services Esther Martinez, Police Chief John Koziol, Police Deputy
Chief Michael Eterno, Police Deputy Chief Timothy Griffin, Director of Public Works Sean
Dorsey, Deputy Director of Public Works Jason Leib and Management Analyst Alexander
Bertolucci.
2. APPROVAL OF MINUTES
2.1 Approval of Committee of the Whole Minutes of September 11, 2018. Motion made by
Trustee Grossi seconded by Trustee Zadel. Minutes were approved.
2.2 Approval of Joint Village Board and Finance Commission Workshop Minutes of
October 9, 2018. Motion made by Trustee Zadel seconded by Trustee Saccotelli.
Minutes were approved.
3. CITIZENS TO BE HEARD
None.
4. DISCUSSION ITEMS
4.1 2019 Proposed Budget Discussion — Departmental Operating and Non -
Departmental Budgets
i) Proposed 2019 Budget Overview
Finance Director David Erb provided an overview of the proposed 2019 Budget, proposed
2019 Property Tax Levy, Forecast Budget for 2020 and a General Fund balance update.
He stated 2019 proposed budget revenues ($145.2 million) increased 15.3% from 2018
amended budget due to transfers and bond proceeds which increased from the prior year.
He stated the corporate levy increase is 1.66% which is the lowest percent increase since
2010. Mr. Erb reviewed charges for services and noted that for a third year there is no
increase in the direct charge for refuse which had a $15 increase programed. He stated
the Village revenues are still impacted by State actions including Local Government
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Distributive Fund reduction ($263,000), Sales Tax Administrative Fee ($82,000) and
Personal Property Replacement Tax reduction ($62,000).
Mr. Erb stated total proposed expenditures ($162.3 million) increased 28.6% from the
2018 amended budget due in part to transfers to support the capital program and debt
service. He stated the Pension Systems budget increased 10.4% because of a large
number of retirements during 2018. Other changes to expenditures include a reallocation
of some positions salaries among departments to more accurately reflect true department
costs, authorized positions for full-time decreased by one, a salary pool of 3% for cost of
living adjustments, and the Illinois Municipal Retirement Fund (IMRF) contribution rate
drops from 10.76% to 8.77%.
Mr. Erb reviewed the Prospect and Main Tax Increment Financing (TIF) District's proposed
2019 budget ($10.2 million). It includes redevelopment and maintenance related
expenses.
He stated the proposed Village budget expects an increase in General Fund revenues for
2019 with a 5.5% growth from the amended 2018 budget while expenses increased 4.1 %
from 2018 amended budget. He explained the planned drawdown of reserves totaling
$808,567 and the continuation of a four year subsidy to support the pension levy in
calendar year 2019 and 2020. He also reviewed reserve levels in the General Fund.
Mr. Erb presented highlights from the 2020 Forecast Budget. The 2020 General Fund
budget reflects a surplus of $385,280 as presented and includes a property tax subsidy
and capital transfers totaling $1,721,000.
He reviewed the proposed 2018 tax levy and its assumptions. The pension levy will be
abated with a General Fund subsidy of $420,000 and the debt service levy will be abated
using alternative revenue sources totaling $1.4 million. He also shared how a 1.66%
property tax levy increase would impact a home with a property value of $350,000
equaling an additional $18 to the property tax bill.
The following responses from staff were provided to questions from the Village Board:
• Staff may share general categories contributing to the 16.2% growth in sales tax
which include pharma, general merchandise and food & beverage. The Village has
several big box stores and about 30 large sale tax remitters.
• A 0% property tax levy would take out over $700,000 from the Village's budget in
two years.
ii) Departmental Presentation
Fire
Fire Chief Brian Lambel presented the Fire Department's 2019 Proposed Budget which is
increasing 3.2% ($213,670). He reviewed major budget impacts for each program area.
The department is implementing more citizen CPR training and the price of American
Heart Association's CPR completion card increased. The hose and appliances account
increased based on the recent annexations on the south end of the Village. Professional
services increased since pressure testing hoses is now contracted to a third party.
Emergency Preparedness increased to purchase right sized emergency equipment for
employee go (emergency) kits and clothing supplies for Community Emergency Response
Team (CERT) volunteers. He provided an overview of 2018 accomplishments and 2019
goals.
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The following responses from staff were provided to questions from the Village Board:
• The Fire Cadet Program ended in the 1980's. Staff has talked to municipalities that
currently have the program to gather information on how it works. A student would
spend half the day at school and the remaining half would be at the fire station.
• The upcoming staffing survey will be completed by the Illinois Fire Chiefs
Association to analyze efficient service delivery for the southern district and
changes involving the Elk Grove Rural Fire Protection District.
• National Fire Protection Association standards state turnout gear has a maximum
life span of 10 years. Turnout gear replacement varies from year to year since
some equipment wears out quicker and at times new gear is required for new
employees.
• Go Kits contains different items depending on position in the Village. Equipment
for an Administration staff person assigned to field operations could be coat,
helmet, boots, rain gear, flashlight, paper, and clipboards. All the positions were
recently reviewed to assess roles in an emergency and necessary equipment.
• The staffing survey is all -in -one and includes number of apparatus, number of
calls, changing demographics and etc. It would build on the recently completed fire
station location survey.
Public Works
Director of Public Works Sean Dorsey provided an overview of the department's proposed
budget and changes from the prior year. Overall the Public Works budget increased 3.6%.
Personal Services and Employee Benefits increased due to the reallocation of salaries
and benefits from other departments or divisions within Public Works. The department will
be making more frequent adjustments to vehicle lease payments to support increases in
vehicle purchase and outfitting costs. He noted that almost 70% of the department's
budget is funded by user fees. He provided an overview of 2018 accomplishments and
2019 goals.
The following responses from staff were provided to questions from the Village Board:
• Recent annexations have had a minimal impact on Public Works operations to
date as many of the properties are commercial and there is not much new
infrastructure to maintain. Half of the Addison Ct improvement costs were paid for
by Elk Grove Township and the Township has maintained responsibility to snow
plow the road.
• Personnel was reallocated within the budget to where they should be charged to
refined department budget figures. These changes were prompted by reviewing
positions after recent retirements and a true up of past practice within the
Enterprise Resource Planning system.
• The parking deck's lighting is more expensive to operate then a LED solution. It
also makes economic sense to replace lights using in-house staff and equipment,
and utilizing grants for funding.
• A Household Hazardous Waste event is not budgeted for 2019. The 2018 event
cost $95,000 which $30,000 was the base fee to have the recycler come on-site.
The event was successful and there was demand for it. Staff is reviewing alterative
options to a one day event per year (smaller more frequent events, appointment
based system, etc.)
• Pumpkins can be recycled with yard waste.
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Sidewalks along Central Rd are being changed to comply with ADA requirements.
Partnering agencies for the Melas-Meadows Bridge have received push back from
their boards. Staff is working to collect video evidence which supports the need for
a crossing at the railroad tracks, Waterman Ave, Northwest Hwy and Melas Park.
Randhurst is in the process of bidding out the work to install street lights on Rte
83/Elmhurst. Project construction will begin in spring 2019. Randhurst cost share
is over $1 million and the Village's portion will be around $200,000.
Police
Police Chief John Koziol reviewed the department's 2018 highlights. He stated the budget
increased 1.1 % ($213,670) with wages and benefits almost remaining flat since several
senior employees retired in 2018. He stated major budget impacts include employee
testing and training. A significant corresponding cost is the overtime incurred from hire
backs which are needed to fill shifts while new hires are at Police Academy. Additionally,
vehicle purchase payments were adjusted to better account for actual cost experience
including outfitting new vehicles. He provided an overview of 2018 accomplishments and
2019 goals.
The following responses from staff were provided to questions from the Village Board:
• Regarding anticipatory hiring, two new hires will be going to the Police Academy
in January to prepare for July retirements. The problem in 2018 was the academy
was closed and when it was opened seats filled quickly.
• The department has an internship program where a student spends a semester
with the department getting experience in all divisions.
• The number of retirements should start tapering off.
• New officers in field training are assigned across the three shirts.
• About 200 people take the written police recruitment test which produces an
eligibility list of 40 to 45 candidates. The department may hire 5 before the list is
exhausted,
Human Services
Director of Human Services Julie Kane reviewed 2018 statistics to date which totals 7,417
service units. She provided an overview of the annual budget which decreased 6.5%
($81,266) for 2019 as a result of reductions in wages and benefits not related to the
aforementioned reallocation of some personnel salaries. She provided an overview of
2018 accomplishments and 2019 goals.
The following responses from staff were provided to questions from the Village Board:
• Additional research is required to determine if another Community Connections
Center is needed in a specific part of town.
• United Way funds specific service areas, not specific agencies.
Community Development - Building & Inspection Services
Director of Building & Inspection Services William Schroeder stated the department's
budget decreased 0.2% ($3,188). The department further minimized third party services
and cloud based services decreased due to the elimination of Citizenserve startup costs.
He showed the mapping capability of Citizenserve with 2018 permit and code enforcement
case data. He provided an overview of 2018 accomplishments and 2019 goals.
The following responses from staff were provided to questions from the Village Board:
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• The Village has six teardowns to date this year. Last year the Village had a total
of seven. Staff hopes to see an increase since design takes between three to six
months and the Single Family Incentive Program started earlier this year.
• Number of permits increased 2-3% from the prior year.
• The number of house flippers operating in town have decreased; however,
contractors at times do not disclose all their work.
• Staff hosts pre -submittal meetings with customers early in their projects to discuss
improvements and possible value engineering.
• Prior permit review process took 23 days and it was reduced to 10 days.
Community Development - Economic Development/Planning & Zoning
Director of Community Development William Cooney presented the Economic
Development and Planning and Zoning 2019 Budget. 2019 major budget impacts are the
elimination of Citizenserve startup costs, employee benefits decreasing by more than
$30,000 and other accounts increasing 2%. He noted the annual Community Development
Block Grant continues to be reduced by U.S. Department of Housing and Urban
Development (HUD) and the Economic Development and Planning and Zoning budget
includes several Community Investment Program projects related to downtown pedestrian
and corridor improvements. He provided an overview of 2018 accomplishments and 2019
goals.
The following responses from staff were provided to questions from the Village Board:
• No recent proposal received for 111 S Main St.
• There are 1,200 businesses in town and staff may not always know why a business
closes; however, staff conducts business visits and outreach as a means of
proactive business retention.
• Carson closing doubled the Village's total retail space vacancy.
Finance & Non -Departmental
Director of Finance David Erb presented an overview of the Finance Department 2019
Budget. He stated personal services/employee benefits decreased $10,839 from savings
in medical insurance and IMRF contributions. Other expenditures increased $255,200
related to payments made to Elk Grove Rural Fire Protection District (EGRFPD) per state
mandate. Also, allocation for Liability Insurance increased $164,339 and Finance absorbs
this cost for the General Fund. Savings are expected moving forward. He provided an
overview of 2018 accomplishments and 2019 goals.
Director of Finance David Erb summarized the non -departmental budgets of Debt Service,
Risk Management, Business District and Pension Funds. The total budget for Debt
Service in 2019 is $7,842,226. Debt follows repayment schedules established at time of
issuance and there is significant support from Prospect and Main TIF and Water/Sewer
Funds. He stated $2,434,000 is paid through property taxes and while the debt service
budget increased 42.7% from the prior year the debt service portion of the property tax
levy will not increase. He stated Risk Management increased 6.9% from 2018 and this
includes medical coverages and the liability/workers compensation program. He provided
an overview of the Randhurst Village Business District budget that totals $1,525,000 for
2019. He stated total budget for pension expenses in 2019 is $12.2 million, an increase of
10.4% from the prior year due to the retirements during 2018. Pension benefits account
for $11.8 million of the total budget.
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Public Representation/Village Administration
Management Analyst Alexander Bertolucci provided an overview of Public
Representation, Village Manager's Office, Village Clerk's Office, Human Resources and
Communications Divisions budgets. Public Representation budget decreased by 28.4%
($219,990) due to the reallocation of salaries and benefits of several employees that
support community events to their respective departments. The reallocation moved Public
Works overtime costs for community events like the Block Party, Irish Fest, Fridays on the
Green, and etc. back to the department for improved presentation of department costs.
He stated the Village Administration budget decreased 6% or $248,876. Legal Services
budget was reduced in part to the litigation settlement with District 214 and the IT budget
reduction in salary and benefits is due to reorganization efforts reducing the division's full-
time positions by one. He provided an overview of 2018 accomplishments and 2019 goals.
A 2019 goal is to add a part-time Human Resources position and Human Resources
Coordinator Heidi Neu presented the justification for the new position. She stated industry
standards is to have one human resources staff person for 100 employees. The Village's
current human resources staff to employee ratio is 0.63 while comparable communities
average 0.87. She stated that adding a part-time position would bring the Village's ratio to
0.78 and will allow the division to achieve the aforementioned goals.
Chief Technology and Innovation Officer Andrew Schaeffer stated the Information
Technology Division Budget decreased 11.7% ($179,520) from the prior year. He provided
an overview of 2018 accomplishments and 2019 goals.
The following responses from staff were provided to questions from the Village Board:
• The Community Investment Program budget includes the project to lay fiber cables
to the new Police and Fire HQs.
• The Village does not share Wi-Fi with the main library. AT&T fiber comes in through
the library which then is separated between the Library and the Village. The Village
has a firewall between the equipment and the Village's internal network.
Finance Director Erb concluded the Proposed 2019 Budget Overview by reviewing
upcoming scheduled budget meetings and next steps.
5. MANAGER'S REPORT
None.
6. ANY OTHER BUSINESS
None.
7. ADJOURNMENT
The meeting adjourned at 9:31 p.m.
Alexander Bertolucci
Management Analyst
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