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HomeMy WebLinkAbout1361_001MINUTES COMMITTEE OF THE WHOLE APRIL 2% 19" In CALL TO ORDER The meeting was called to,. o r._�: by "or Gerald Fa0ey at aWoximatsly 7:30 p.m. Present at the -meeting were: Trusts"' George C4owes, , Timoth, Y Corcoran, Richard Hendricksl Pa,ut-'Hoefert and. Michaele Skowron. Absent from the meeting was Trustee Irvan'a VWkt AJw present, at On meeting, wer W*. Village Manager Michael Janonis, AstWant to #* Vfltgge Manager, David Strahl, Village Attorney Everette Hill, Pubfic Wbrks-, Director, Herb- Meks. Do" Director of Public Works Glen Andler, Sofid.- VVOSW Coordinator Liss -Angell and Fire Department Public Educator Skip Hart, Environmental Health Coordinator E16b Roels. MINUTES The Minutes of March 22, 1994 were discussed. Trustee Hoefert made the Motion to accept the Minutes, Seconded by Trustee Skowron. Minutes were aoaepted. of 4, z 1w .0 Ak I its ml• Ralph Hillenbrand of 1318 Mallard Lane, spoke. He stated that there was a significant problem with graffiti at 701 Huntington Commons Road at Brallen. He stated that the graffiti has been up for at least 30 days. U111an Perlham stated that the graffiti that has been up for over 30 days needs to be removed and possibly the 30 -day period should be reconsidered. She stated that it is important for the Village to force the removal of graffiti by building owners. Manager Janonis stated that there has been a large increase in graffiti recently and the Village has had difficulty getting property owners to remove the graffiti, but would consider recommending a shorter removal time frame. N't SOLID WASTE CONTRACT -EXTENSION The first question is whether to extend the contract by two years. ' Mr. Janonis summarized the staff recommendation in which the Village Board would extend the contract in years four and five and the 'increases in cost for years four and five would be based on the Producer Price Index with a minimum of 4 and 1/2% and a maximum of 7-1/2%. Arc will not extend cback to May I -but'will extend i by nine months at the back end of the contract in year five so it does end on January I in accordance with SWANCC rules. Discussion of the Board - General consensus was to concur with staff recommendation on 5-1 consensus to extend the refuse contract for years 4 and 5 (1998 & 1999). The second question is the internal control of fee collectlion to- ensure complian based on the requirements of the contract. One of the major changes would b that the Village would act as the agent for the hauler whereby the haule distributes stickers to the appropriate selling locations instead of the Village doin] the distribution. Discussion of the Board - General consensus of the Board was to follow the staff recommendation whereby the Village will confinue to sell stickers as provided by the refuse hauler. A summary of the staff recommendation for i internal control items includ the following: I 1. A single sticker for yard waste or excess refuse. 2. Contractor sells the stickers and keeps the proceeds from their sale, therefore, it would eliminate the need to count stickers removed from yard waste refuse containers, as is done now. The contractor would also distribute the stickers to the selling locations. 11 3. The brush program will be paid through a monthly fee so the question of verifying the number of units billed by the contractor would be eliminated. 4, Contractor will supply statistical information to the Village regarding sticker sales, yard waste, brush and excess refuse containers. 6 VII, E!'jLUR,E,,-,CQMwM1,jjgE OF THE, WHOLE MEETING General discussion of the items listed on the memo presented by the Village Manager and some prioritization of these items occurred. General consensus of the Board was to bring these items as research is completed for discussio ' n at that time. There was also general consensus that deferred items be placed on the COW Agenda in order to monitor progress in order to show the Board when this item may be- coming up for dismssion. Ville MAN.A REPORI No report. IX0 ANY OTHER BUSINESS No other business. Vie ADJOURNMENT The Committee of the Mole meeting was adjourned at 9:55 p.m. Respectfully submitted, cyC,'�wc,0' DAVID STRAHL DS/rcc, Assistant to the Village Manager 2 Village of Mount Prospect Mount Prospect, Illinois INTEROFFICE MEMORANDUM .... ... ..... N 00" TO : MAYOR GERALD L. FARLEY AND BOARD OF TRUSTEES DATE: MAT" 319j]�010L,' SUBJECT: PROPOSED REVISIONS TO LIQUOR CODE/PARENTAL RESPONSIBILITY ORDINANCE Discussion regarding the above items is scheduled for the May 10 Committee of the Whole meeting. Due to the scope of the proposed changes, staff is providing the Agenda material to you rr to the regular Friday distribution. Hopefully, this will assist you in your preparation for the Committee of the Whole meeting. If you have questions prior to the meeting, please do not hesitate to contact me. Buzz Hill will be in attendance on May 10 to help facilitate discussion. MEJ/rcc M E M 0 R A N D U M TO: Village Manager Mike Janonis FROM: Everette M. Hill, Jr. 0 DATE. April 26, 1994 0 RE* New Liquor Control Ordinances This memo should save some time with respect to the review of the new liquor control ordinance* I had six primary objectives in the redrafting of this ordinance. Those objectives are as follows: is Make our license application requirements consistent with our new applications. 2. Establish a new, more enforceable approach to our anti - fighting provisions. 3,m Revisit, in the light of six months experience, our underage drinking/parental responsibility provisions. 4* Assure that certain pertinent terminology in our liquor control ordinance is appropriately defined. 5. Enhance the overall "comprehensibility" of the ordinance by eliminating most of the standard legalese. 6. Establish new regulations that our recent experiences have shown are necessary. To those ends, most of the ordinance has been changed at least in form and a great deal of it has received substantive modification. The format of the ordinance has remained the same, although some of the sections have been moved around in an attempt to make the organization a little more logical. I have provided to you a -draft of the proposed ordinance that indicates by underlining all new language which is anything more than a grammatical change. I have also indicated where any Village Manager Mike Janonis April 26, 1994 Page 2 words have been omitted. Additionally, in the new draft I have made occasional, handwritten notes where I thought such might be useful. I have also submitted our current Chapter 13 from the Village Code. In this document, I have attempted, by cross outs, to show which language has been eliminated. The asterisks indicate where there have been substantive modifications, but not elimination, A "W" is used to show where the wording, but not the substance, has been changed. Additionally, where there have been changes in section numbers, I have indicated those, in parenthesis under the existing section number. The intention is that the new document will be read in conjunction with the old document as this matter is reviewed. The remainder of this memorandum will note the significant substantive changes by page or section reference to the new document. This memo will not refer to every grammatical change, only to those which are substantive or the more significant formal ones. Those changes are as follows: Page 2 The definition of beer has 'been mo,dl'*f ied. The definitl� of Delivery of Alcoholic Beverag,es, has, also been tightened. l 6 Ra,.91 e 3, We have now defined fighting. The definition of icensee has, been enhanced. Page 4 The definition of live music has been enhanced. I have also added a definition o-f—the maintenance of order 1, 0 ... . ........... i , standard. This maintenance of order standird" 'i's the linchpin o' our new anti -fighting provisions. Pa,2e 4 The deflnition of live music has been changed to Live Entertainment and has been made to include disc jockeys, The definition of Lounge has been made more specific,, 'Page 6o Section 13,102(B) has been modified to permit a person other than the hotel owner to hold a liquor license at a hotel., Page Tr Se,ction 13.102(D) No alcoholic beverage may be sold in Mount Pros ect unti'�I, gym' the local and state license has been ,P obtained. Page 7t Section 13.103 1 have taken the long list of application requirements out of the text and substituted the language "The application shall require such information as determined by the Local Liquor Control Commissioner. Only completed forms shall be considered by the Local Liquor Control Commissioner *11 It seems to me that it is much simpler to state in the ordinance that the application, as provided by the Local Village Manager Mike Janonis April 26, 1994 Page 3 Liquor Control Commissioner, must be completed rather than to list all of the requirements. This method has the advantage of permitting changes in the application without having to amend the ordinance. Additionally, the application fee has been changed from $150.00 to $200.00. Section (B) of the 13-.103 assures that the information in the license must be kept current. Page 7, Section 13,103.(.C)(1) The amount of the surety bond has been increased from $1#000 to $2,,500 to be consistent with the change we made a few years ago raising the potential maximum penalty that the Liquor Control Commissioner may assess from $1,000 to $2,500. We now state that the surety company must be acceptable to the Village. Page 7, Section 13.103 (C),2 I have eliminated the reference to a $12.00 fee to the FBI and simply state that the required fee must be "paid. That way, whatever the FBI is currently charging our police department can charge back to the applicant. ,Page 8. Section 13,104 is completely new. The intention is to make it absolutely clear that a management company must possess the same qualifications as the licensee. Additionallyf we have set a non-refundable application fee for a management entity at $250,00, the same as for a liquor licensee because our expenses in processing it will be the same. Additionally, each management entity must pay a $750,.00 license or certification fee. As we have noted there seems to be a proliferation of management companies and' that increases the burden on our whole liquor enforcement process. Therefore, I don't believe that the additional $750.00 certification fee is unreasonable. Pa e 8, Section 13,104 This is a clarification of which of the restrictions apply to individuals and which apply to corporations. I have also attempted to clarify the restrictions with respect to five percent shareholders managers, officers and directors of corporations. Pa!3e 10, Section 13,105(8 (6This is completely new. We ask many questions on our applTi—cation. Our current ordinance provides no guidance to the Local Liquor Control Commissioner as to the implications of certain answers to these questions. For instance, one question which states, "Have you made any political contributions to Mount Prospect Board members?" Under the current ordinance, if a person answers "yes", what does that mean to the Local Liquor Control Commissioner? Number (6) is an attempt to let the Local Liquor Control Commissioner read the entire application and make a determination based on the answers to all of the questions. Village Manager Mike Janonis April 26, 1994 Page 4 Village Manager Mike Janonis April 26, 1994 Page 5 used for the sale of packaged goods to automatically convert to a Class B or a Class R license, 10 4_ge 17, Section 13.109 The current ordinance requires that the license fees be turned over to the Village Treasurer. I changed that to Finance Department, I think its more practical and more in keeping with what we actually do. I also tried to make it clear that unsuccessful applicants don't get the non- refundable application fee back. 11 Page 17, Sect ion 13.110 It is now an absolute requirement that no license may be i-ssued until all of the application and documentation process is completed. ,Page 18, Section 13.111(0 The very last sentence is new. The purpose of this sentence is to assure that the Local Liquor Control Commissioner has broad authority to require the production of records relating to a licensed business, 'Page 18, Section 13.112 This modification is an attempt to assure that the Local Liquor Control Commissioner has broad authority to 'impose penalties for a variety of inappropriate activities, not just those listed in the ordinance. PaSle-,18, Section 13.11,2( A , A new sentence has been added to assure that there is a mandatory fine of $500.00 for failure to comply with any of the requirements under this ordinance. ,Page 19, Section 13,113 The transfer of license section has been changed considerably. Our previous ordinance was deficient in delineating those events which constitute a transfer. This proposal is much more specific as to when a transfer occurs with respect to individuals, corporations or partnerships. Additionally, the language with respect to death or bankruptcy is now more specific, especially with respect- to individuals and partnerships. Because of our recent experience with Midwest Liquors, I have also created new language with respect to bankruptcies and receiverships. The last two paragraphs were added to assure that the Local Liquor Control Commissioner will get written notice of the death or financial insolvency of a licensee. Page 20, Section 13.114, Renewal of License The Courts have long recognized th"e municipalities' right to reduce the number of licenses available. However, we have never had any standards for priority of reduction. The proposed draft includes such standards in 13,114. Further, there is a new portion which will clarify the Local Liquor Control Commissioner's right to review a licensee's background and history of operation when the renewal of a license is sought, Village Manager Mike Janonis April 26, 1994 Page 6 Village Manager Mike Janonis April 26, 1994 Page 7 401, The new approach eliminates the concept of presumption of overservice. The foundation of the new ordinance placed an affirmative responsibility on each licensee to maintain a "peaceful and orderly business premises." I have tried to take the guess work and ambiguities out of what peaceful and orderly means by defining a "maintenance of order standard"". I have then listed nine elements that may be considered by the Local Liquor Control Commissioner in determining 'whether the mal"nten-ance of order standard has been met by the licensee. I think this new approach should be very workable and I will have no hesitation to prosecute charges based on this maintenance of order standard. As I envision a prosecution under this section, if there is a single major fight or a series of fights at an establishment, the police department will prepare an affidavit listing each of the nine elements to be considered by the Mayor. This affidavit would be introduced into evidence at the hearing as a guideline. The police officer or officers will also be present for the purpose of being cross-examined. If we reduce the testimony to writing, the Mayor can then easily measure each of the nine elements against what actually occurred. Also,, with respect to the fighting section, fighting has been redefined and we have made it clear that the ordinance applies to an altercation either inside a licensed premises or anyplace outside the premises that is owned or leased by and used for the licensed premises. The reporting requirements conceptually remain the same, but there have been a number of form changes with respect to those requirements. We previously had a mandatory suspension for failing to meet the reporting require encs. I am recommending that we change the mandatory suspens,3.,on to a potential suspension with a mandatory fine of $500,00, Page 27# Section 13.124 This permits a landlord to carry host lie -ab 17Hiffiiwo�y insurance rather than Dram Shop insurance. Page -M2 7 Section 13.125 The purpose of this new section is to expressly state that the wrongful act of an employee is the legal equivalent of the act of the owner. A further change assures that employees may not consume alcohol while on duty and that no person, including employees and owners, may consume alcohol on the premises after hours,, 'Page 2111,8r Section 13.126 has been changed in that it previous,ly di d not 'per, t the sale to persons with mental or psychiatric problems. I believe that is probably a violation of ADA and have removed it, Village Manager Mike Janonis April 26, 1994 Page 9 period of time when our roads would not be available for that person's driving use. In the new draft, I have changed the language to make it even more clear that our purpose is not to encroach upon the Secretary of State's jurisdiction. I have removed the term "driving privileges" completely. We now say that "the person shall not be permitted, for a period of six monthst to operate a motor vehicle within the corporate limits of the Village of Mount Prospect," Additionally, I am recommending a modification which further mitigates any argument that our ordinance encroaches upon the Secretary of State's jurisdiction. I am recommending that the restriction be changed to say that the underage offender can't drive within our corporate limits for the six month time period "unless accompanied by a licensed driver over thirty years of age," I don't think this change reduces the impact of our penalty scheme. In the vast majority of cases requiring the presence of a person over thirty years of age in the automobile would assure that the alcohol related incident will not happen again within the six month time period. It will also still have the deterrent effect of greatly reducing the underage offender's freedom. A second very substantive change that I am recommending is that we remove the reciprocity language. If you will recall, our current ordinance states that the driving restriction will also apply outside the Village of Mount Prospect in other municipalities which have suspension provisions similar to ours., my recommendation fc".. change is based on the following: le Any attempt on our part, however laudable and appropriate, to give this ordinance extraterritorial effect will erode its ultimate enforceability, 2* We have discussed, cogitated over, written, rewritten, hashedf re -hashed and refined our language on the, loss of ability to drive within our municipal f 'tY "to the utmost degree. However, with the reciprocity section, we 'may be re�lying on another municipality's language that was not so carefully considered. Such a circumstance also would erode the enforceability of the driving restriction. 39 Shortly after we adopted our ordinance, and I think to some extent because of the publicity our ordinance received, the Secretary of State sent to the legislature the recommendation that underage persons who are found to have open liquor in their automobiles receive automatic license suspensions, While the state-wide language is not as tough as ours, it was a huge step forward for a state legislature that had previously refused to consider such a sanction, Village Manager Mike Janoni's April 26, 1994 Page 10 111liq db 0 If you have any questions, please contact me. ffsx�& ��� 91 VILLAGE OF MOUNT PROSPECT 15 FINANCE DEPARTMENT INTEROFFICE MEMORANDUM A TO Michael E. Janonis, Village Manager FROM: David C. Jepson, Finance Director i SUBJECT: Impact of a Proposed 1993 Tax Levy Abatement on the Refuse Disposal Fund At the April 19, 1994 Village Board meeting, Trustee Clowes suggested that use of the favorable refuse disposal bids the Village should abate a portion of the 1993 tax levy. At that time I said that I thought the date had passed for abating the 1993 tax levy and that the earliest time for reducing taxes would be in the 1994 tax levy. It had been my understanding that March 31 was the last possible date for abating the tax levy that had been filed the previous December. Nevertheless, after receiving Trustee Clowes' memo dated April 27, 1994, 1 also confirmed that 1993 taxes can be abated up to June 1, 1'994. In his April 27, 1994 memo, Trustee Clowes proposed that the 1993 tax levy be abated by $300)000 and the proposed 1994 tax levy be reduced $150,000. The reduction of $450,000 over the two years would be about the same as the expenditure reduction that was made in the 1994/95 refuse disposal budget. The assumption that refuse disposal revenues could be reduced by $450,000 to reflect the reduction in expenditures is correct and is also shown in my memo of April 13, 1994, "Impact of the New Solid Waste Contract on the 1994 - 1997 Tax Levies." However, the timing of an abatement of property taxes is an important consideration because of the effect of the abatement on the cash flow of the various Village funds. Cook County extends property taxes on the basis that the first installment of the property tax bill is based on 50% of the prior year's tax bill and any difference is made up in the second installment. As a result, any changes in the tax levies are reflected in the second installment of the tax bill. This means that an abatement of the 1993 tax levy will show up in the second *installment of the tax bills that will be due in September 1994. This seems to be the right matching of tax revenues with the budget because the second in ment of the 1993 tax levy and the first installment of the 1994 tax levy finance the 1994/95 budget. However, although a change in the 1993 tax levy does not affect the first installment of total tax revenues for the Village, it does change the allocation among the various levies. For example, a $300,000 abatement of the 1993 refuse disposal tax levy does not change the total amount of tax revenues the Village receives for the first installment, but it does affect the allocation of the revenues between the General Fund, the Refuse Disposal Fund, the Debt Service Funds, and Michael E. Janonis Page 2 Impact of a Propos?t 1993 Tax Levy Abatement on the Refuse Disposal Funtl the Pension Funds. The reason for this is because the distribution to the various funds is based on a ratio of the amount levied for each fund to the total amount levied. An abatement of $300,000 for the refuse disposal portion of the 1993 tax levy will reduce the first installment distribution to the Refuse Disposal Fund by about $100,000 and increase the distributions to the other funds by the same amount. The effect of reducing the first in men of the 1993 tax levy to the Refuse Disposal Fund by $100,000 would result in a fund deficit of an estimated $53,300. This would r` appropriate for 6 a fund of this type where revenues are supposed to equal expenditures, and it is especially critical because we had a deficit balance of $47,284 in this fund as of April 30, 1993. Additionally, our agreement with SWANCC requires that we levy adequate, taxes to cover expenditures. Because an abatement of $300,000 would result in a deficit fund balance in the Refuse Disposal Fund of about $53,300, 1 tried two other options to see what the impact would be. In itached Schedule 1. "Summary of Cash Flows," I have shown the effect of various abatements on the cash flow of the Refuse Disposal Fund for 1993/94, 1994/95 5/95 - 12/95, and for 1996. The features of the various options are identified below: 1993 Tax Levy As Filed - This model assumes that the 1993 levy will not be abated and the 1994 levy will be increased 4 % 0 Option I - This option assumes the 1993 levy will be abated $300,000 and the 1994 levy will be reduced $150,000. Option 2 - This model assumes the 1993 levy will be abated $150,000 and the 1994 levy will be reduced $300,000. Option 3 - This option assumes that the 1993 levy will be abated $175,000 and the 1994 levy will be reduced $250,000. These are only four possible scenarios with the range of options almost unlimited. However, I believe these four alternatives generally represent the extent of the practical choices that can be made. By looldng at the Excess/(Deficiency) line in each section we can get a picture of the impact on fund balance in the Refuse Disposal Fund for the four variations. Following is a brief explanation: 1993 Tax Izvy as Filed - There is a surplus of $48,433 for 1993/94 and a surplus o $1,058,333 over the four year period. I Option 1 - There is a deficiency of $53,300 for 1993/94 but a surplus of $17,348 for the fou years. i Option 2 - There is a deficiency of $1,473 for 1993/94 and an overall. surplus of $58,348. Michael E. Janonis Page 3 Impact of a Proposed 1993 Tax Levy Abatement on the Refuse Disposal Fund Option 3 - There is ,a deficien, cy of $9,975 for 1993/94 and an overall deficiency of $8,887. I do not diink Option I (abating the 1993 levy by $300,000 and reducing the 1994 levy by $1509000) would be good for the Village, but either Options 2 or 3, or some variation of these options, would not have a negative impact on the Refuse Disposal Fund, One of the other considerations that I mentioned in my memo of April 13, 1994, was that there were increased pension tax levy requirements that would be needed in the Police and Fire Pension Funds. This information was pointed out in actuarial valuations that were received after the 1994/95 budget and the proposed 1994 tax levy had been prepared. To help offset these additional requirements, I would like to see at least a portion of any reduction in the refuse disposal levy for 1994 shifted to the pension levy. This consideration is reflected in Option 3 with an additional $51,500 allocated for pension purposes. To show the effects of the various options on the 1993 - 1997 tax levies, I have revised the schedule that was included in my memo of April 13, 1994. Schedule 2 shows the effects of the first two alternatives mentioned above and Schedule 3 shows the last two alternatives. The overall effects of Option 3 are summarized below: 1,101 The total percentage increase in the 1993 tax levy is 2.7% rather than 5.0%, and the percentage increase for 1994 is 3.1 % rather than 4.0 % 2. The cumulative effect on the 1993 and 1994 reductions total $1,236,524 over five years (1993 - 1997). This is an example of the compounding effect in future years of a reduction in prior years. 3. The *increases in the estimated 1995 - 1997 levies are linufted to 4% per year. 4. 'The 1995 - 1997 levies show "Uncommitted Allocations" of $341,523, $375,037, and $408,919 for a three year total of $1,125,479. The sum of the Cumulative Reductions of $1,236,524, the increase in the provision for pensions of $51,500, and the Uncommitted Allocations of $1,125,479 is $2,413,503. This means that the Village will be levying $2,413,503 less in tax revenues from 1993 - 1997 for refuse disposal than had been previously estimated. Each of the alternatives can be analyzed in the same manner. The 1993 tax levy can be abated if an ordinance would be adopted at the May 17, 1994 Village Board meeting and is filed with the County Clerk before June 1, 199419 DCJ/sm Enclosures Property Tax Installments 1992 - 2nd Installment 1993- 1 st Installment 1993194 FY 8 Month FY 1996 FY 2nd Installment 1994- 1 st Installment 2nd Installment 1995- 1st Installment 991,863 2nd installment 991,863 Total Receipts 1,233,364 Taxes Required 190722288 VILLAGE OF Mt}UNT PR- (}SPECT Refuse Disposal Fund - Property Tax Options Summary of Cash Flows __ ------ 1993 Tax Levy as Filed__�a=�_ 1993/94 FY 1994/95 FY 8 Month FY 1996 FY 5193-4194 5194-4/95 5195-12/95 1196-12196 $1,117,300 979,733 1,187,130 1,486,900 1,294,100 Property Tax Installments 1992 - 2nd Installment Schedule 1 1993 & 1994 Tax Levies - Option 1 -------___ 1993194 FY 1993194 FY 8 Month FY 1996 FY 5193-4/94 5194-4195 5195-12/95 1196-12/96 $1,117,300 878,000 991,863 2nd Installment 991,863 19088,536 1,233,364 Property Tax Installments 1992 - 2nd Installment -------------1993 & 1994 Tax Levies - Option 2 ------------ 1993194 FY 1994/95 FY 8 Month FY 1996 FY 5193-4/94 5/94-4145 5195-12195 1196-12196 $191172300 ______________ 1993 !fit 1994 Tax Levies - Option 3 1493/94 FY 1994/95 FY 8 Month FY 1996 FY 5/93-4/94 5194-4/95 5195-12195 1196-12/96 $19117,300 1993 - 1st Installment 9299827 921,325 2nd Installment 19088,536 190722288 1994- 1 st Installment 968,204 9589562 2nd Installment 191159796 19123,953 1995- 1 st Installment 90011005 900,005 2nd Installment 1,071, 580 1,071, 580 Total Receipts $2,047,127 $2,056,740 $1,156,796 $1,971, 585 $2,038,625 $2,030, 850 $1,123,953 $1,9719585 Taxes Required 2 1 9 _ 1.260.00 1,971,600 2 _9- - _ 1.260.000 1 971 600 IE x- L :4 _ 3 _- 15 = 7 1 VILLAGE OF MOUNT PROSPECT Real Estate Tax Levies Comparison of Options Revised May 2, 1994 Schedule 2 1993 1994 1995 1996 1997 Actual Proposed Estimated Estimated Estimated 3 -s 3 - :E E_ $ 975,760 $ 975,760 $1,(}48,139 $ 8249420 $ 689,404 $ 6929,418 412,004 4639500 6189000 721,400 828,000 27188,750 294059050 2,593,044 29781,400 21,9759150 4,514,825 4,5389283 4,716,128 4,9109196 49970,096 J -L7 14& 521 a405 &7.791.335. +5.0% +4.0% +4.0% +4.0% +4.0 3 -s 3 - $ 975,760 $1,008,139 $ 8249420 $ 6892404 $ 69210418 4129040 4639500 6189004 721,000 828,0{}0 19888,750 292559050 11991,504 21135,600 21P2859050 49,5149825 4,538,283 40716,128 4,910,196 4,970,096 —44515234 4 521 a405 &7.791.335. 1 - 3 +1.1�� +6.1� +4.0% +4.0% +4.0% 0� (3 ) (150,000) (155,2977) 162,206 (167,695) (3001,000) (4-5OpOOO) (605,977) {768,183} (935,878) 1. Debt Service 2. Pensions 3. Refuse Disposal 4. General Fund 5. Uncommitted Alloctions, 721,000 Totals 21038,750 Percentage Increase Change In Tax Levy Amounts Cumulative Reductions 1. Debt Service 2. Pensions 3. Refuse Disposal 4. General Fund 5. Uncommitted Allocations 721,000 Totals 21038,750 Percentage Increase Change In Tax levy Amounts Cumulative Reductions VILLAGE OF MOUNT PROSPECT Real Estate Tax Levies Comparison of Options Revised May 2, 1994 Schedule 3 1993 1994 1995 1996 1997 Actual Proposed Estimated Estimated Estimated 77,77 7 -7 77"77=77=777 PU -90T ki d tow", W 7 1: ------------------ �du $ 975,760 $1,00830139 $ 824,420 $ 689,404 $ 692,418 412,000 463,500 6189,000 721,000 828,000 21038,750 29405,050 1,,9913,500 291359600 212859,050 4,514,825 4,538,283 41716, 128 4,910,196 49970,0096 341,523 W--189 320,954 352,676 S7,24j.B5 $8,,414h2L� $8,12 =--I $ 8 h7�TZ J 54 S9.l2jj2-N +3.1% +2.2% +4.0% +4.0% +4.0% (25OtOOO) (300,000) (311,977) (3241446) (3379424) AM -(15-01000) {450,040} (761:t977) (19086t423) (11423,847) 77,77 7 -7 77"77=77=777 PU -90T ki d tow", W $ 975,760 $1,008,139 $ 824,420 $ 689,444 $ 692,1418 412t000 515t000 618,000 721,000 828,000 2P413$750 2,103,550 1,991 ,500 29135,600 2,285,050 4,514,825 41538,283 4,716,128 4,910,1196 4,970,096 341,523 375.034 OB.919 Ham�72 $8,491.571, L I-- L-4 $9,41844483 +2.7% +3.1, +4.09 +4.0% +4.09 (1759000) (25OtOOO) (2599977) 270,366 (28130181) (1759000) (425,000) (684,977) (955,343) (190236,524) VILLAGE OF MO ROSPECT FINANCE DEPARTMENT INTEROFFICE MEMORANDUM TO: Michael E. Janom*s, Village Manager FROM: David C. Jepson, Finance Director CNt4 DATE: April 13, 1994 SUBJECT: Impact of the New Solid Waste Contract on the 1994 - 1997 Tax Levies In a memo dated March 21, 1994, "Impact of the New Solid Waste Contract on the 1994/95 Refuse Disposal Budget," it was pointed out that the 1994/95 budget totals for refuse disposal could be reduced $455,000 from the amount originally proposed. This reduction was made possible because the bid results for the new refuse contract were much better than had been anticipated. Additionally, because the new contract amounts would be in effect for only nine months of the 1994/95 fiscal year, the budget savings in future years would be even greater. This memo is being written m' response to Trustee Clowe's-request to see the imparts of the proposed savings on General Fund revenues,, Although it is premature to show the full, impact, on the General Fund at this time, we canprovide an indication of the, effect, on the General Fund. If the additional property tax revenue that would become available because of a reduced allocation for Refuse Disposal would beput into the General Fund, I believe this would be an indication of the potential impact on the General Fund. TO amve at the amount, ofproperty tax, revenue that would become available, I have prepared the ti(:)F tax levy, thepr%oq;ed 1W.4, tax levy and, the attached scheddle *mch shows 'the actual 1,"3 p -r ,N estimated, tax leNies fbr 1995 i- 1997. TU scheddle, shows total estimated,, 1994 - '11997levj*es, which, have been capped at 4%, and the various tax levy allocations based on the Old Refuse Contract and then revised tax• levy allocations based on the New Refuse Contract. I The various tax levy allocations are listed in the same, sequence as the priority of the allocations. For deteM1"*J,,, the amount required for Debt, Service example, after the total amount of the tax levy is is allocated first, Pension requirements are second, Refuse Disposal is next and the balance is put into owing steps were the General Fund levy. To demonstrate how the process actually works, "the, fdU taken to prepare the Proposed 1994 Tax Levy based on the Old Refuse Contract, M"f6mation* 1. The total 1994 levy was calculated by adding 4% to the actual 1993 levy ($890912335 + $3239637 — $89414,972). 2. The amount required for Debt Service ($1,008,139) was then allocated from the total levy of $8,414,972. Michael E. Janonis Page 2 Impact of the New Soli(f, Waste Contract on the 1994 - 1997 Tax Levies 3. The next step was to allocate $463,500 needed for Pensions from the total levy-, 4. The estimated needs for Refuse Disposal of $2,405,050 were then subtracted. min & ments for Debt Service, 5,61 The balance remam " g after subtracting the require Pensions, and Refuse Disposal was then allocated to the General Fund. The balance available was $4,538,283. This same process was repeated to determine the various allocations for 1995 - 1997. To show the effect of the New Refuse Disposal Contract on the tax levy allocations, I then repeated the process with one exception. Along with revised Refuse visposal requirements for 1994 - 1997 and the same allocations for Debt Service, Pensions and the General Fund I added a line for Uncommitted Allocations. This amount represents the difference between the Refuse Disposal tax levy allocations based on the old contract information and the revised amounts to reflect the new contractO Assuming that the total property tax levies for 1994 - 1997 are capped at 4 % (the increase is limit:w-f to 4 % per year), the amounts "in line 5 , Uncommitted Allocations, represent the property tax revenues that would be available because of the New Refuse Disposal Contract. I realize that by using the above process to allocate property tax levies, the additional monies in line 5 of the attached schedule could be used to reduce the overal.1 tax, levim. However,, I think it is appropriate to add a word of caution regarding these funds: 1) We are not sure how much revenue the new revenue sources that were added 'in the General Fund will provide; 2) We just recently received new actuarial requirements for P and Fire Pension Funds and the tax levy requirements for these pensions have increased; 3) Additional funds will be needed in the future to continue the Street Improvement Program; 4) Reductions 'in the property tax levy in one year have a compounding effect on future years; and 5) Consideration could be given to set aside certain amounts Contingency Fund to preserve the Village's abty to provide services *in the future. The Village is fortunate to have these funds made available by the lower costs of the new refuse disposal contract. It provides a much greater opportunity to formulate longer -range fiscal plans now than we have had *in the past. VILLAGE OF MOUNT PROSPECT Real Estate Tarr Levies 1993 Actual, 1994 Proposed, 1995 - 1997 Estimated 1993 1994 1995 1996 1997 Agw.aL Rsti _ _Es Lm- end _Es imated Tax Levy Requirements Based on the QL -RdLV.C-Qntr-act 1. Debt Service $ 975,760 $924:P420 68914-0-4 $ 692 2. Pensions 412o000 463t5OO6181000 721828000 3. Refuse Disposal 2 1 21,4051,050 211593,1000 2,78197 1 4. General Fund 4.514a.- 2 4x53 - ��AIA'A.' 4ADD& Totals y 1 � " 41 - $210L&- €5 Percentage Increase + 5r.0% 4. +4.0% + . + Tax Levy Requirements Based on the Nra,-Rd =- Contr= 1. Debt Service $ 975,760 $1,008,139 $ 824,420 $ 6891444 $ 6921418 2. Pensions 412,000 4639500 618,000 7212000 828,000 3. Refuse Disposal 22188,750 199579000 2100089500 2,1111500 2,285,050 4. General Fund 42514,825 4,5380283 42716,128 499109196 419701096 5. Uncommitted Allocations _ - 44axQ50 5a4j5QQOl 0 Totals _ 1 _1 4 1� M-- _ - 465 Percentage Increase + 5.O% +4.0% +4.0% +4.0% + 4.0% Village of Mount Prospect Mount Prospect, Illinois INTEROFFICE MEMO TO: MAYOR GERALD FARLEY FROM: GEORGE A. CLOWES DATE: APRIL 27,-1994 SUBJECT: ABATEMENT OF 1993 PROPERTY TAXES I request that the following item be added to the agenda of our May 3, 1994, Board Meeting: - First reading of an ordinance to abate 1993 property taxes for refuse disposal The rationale for this request is as follows: H I owever,, in checking this morning with the Office of the Cook ,County Clerk,, I found that the date for abatement had not passed and in fact abatements may be filed up to June 1, 1994. Therefore, I propose we abate the 1993 Village property tax levy by $300,000. to R11 W a • IWA W 9 49 WO LWIMMA a- wjmh.: # cc Village Trustees David Jepson VILLAGE OF MOUNT PROSPECT 40" FINANCE DEPARTMENT INTEROFFICE MEMORANDUM TO: Michael E. Janonis, Village Manager FROM: David C. Jepson, Finance Director DATE: May 6, 1994 SUWECT: Advantages and Disadvantages of Changing the Village's Fiscal Year During the initial discussions about "Mount Prospect 2000" you made a suggestion to review the Village's fiscal year which runs from May 1 through April 30 to see if a calendar year would ,be more appropnate. I was hesitant at first, primarily use we would lose comparable data that is very useful. However, the more I looked at the advantages and disadvantages the more I realized the advantages ofchan,gin,g to a calendar year. a ow The most significant advantage of changing to a calendar year is the fact that the budget year would coincide with the tax year. This means that the budget hearing and the tax levy hearing would take place on the same date and would concentrate the decision making process regarding tax revenues and expenditures in the same time period. Also, it would eliminate the confusion that results from using the first installment of the tax levy to finance one fiscal year and the second in ment to finance the next fiscal year. Attached is a summary of the advantages and disadvantages that I could identify. One of the other considerations that should be mentioned is that a change in the Village's fiscal year would require a "short year,* or an eight-month year, when the change is implemented. If the change would be made at the end of the 1994/95 fiscal year (April. 30, 1995) it would mean that the short year would run from 5/1/95 - 12/31/95 and then 1996 would be the first full year on the calendar year basis. This will mean that the budget process for the short year will end April 18, 1995 and the new budget cycle for 1996 will start about the middle of July 1995. This will require extra effort on the staff and the Village Board. A calendar showing the expected budget dates for 5/1/95 -12/31/95 and 1/1/96 - 12/31/96 is attached. I believe the advantages of the change to a calendar year for the Village's fiscal year far outweigh the disadvantages and that the period of 5/1/95 - 12/31/95 would be the best time to make the change. I The Village's budget year and tax levy year would coincide where the annual tax levy would one fiscal year; i.e. 1995 tax levy would finance 1996 calendar year. Currently, the 1st in of the tax levy fumces one fiscal year and the 2nd installment finances the next fiscal year. Another advantage would be that the tax levy public hearing would be held the same -time as the budget public hearing, 11 20, Major construction projects could be bid earlier in the year because the budget amount has been established. For example, strwt resurfacing could be bid in January rather d= May. This would ensure an earlier starting date and completion as well as possibly *-AV% . lower bids. t 3A.Nnl 0 . Ile V IS 1111"M expenditure totals would coincide with various Federal and State wFults Oayrofl earnings, census reports, 4. Financial planning would be made easier because of a more traditional. fiscal year. 5. Changing to a calendar year would bring the Village into compliance with one of the conditions of the SWANCC Agreement. The agreetnent requires any rnunwi,,pality that is financing refuse collection by property taxes to have the tax levy in place prior to the start 0 of the fiscal year. This requirement is one of the covenants in the bond sale documents. CurIrently, the Village finances the 1994/95 (5/1/94 - 4/30/95) fiscal year with the 2nd in ment of last year's levy (1993 levy - 2nd installment collected "in September 1994) and the I st in ment of the current year's levy (1994 levy - lst installment collected in February 1995). If the Village's fiscal year would be the same as the calendar year, the 1995 tax levy would finance the 1996 calendar (and fiscal) year. 6. There would be a one time revenue gain *in the Water Fund and the Police and Fire Pension di Funds because of the method of recorng, property tax revenue. Accounting prinoples require property tax revenues to be recorded on a full accrual basis in enterprise funds (Water Fund) and the pennon funds. This means that the 1994 tax levy will be recorded in total in the 1994/95 fiscal year and the entim 1995 levy would be recorded for the "short year." The 1995 tax levy attaches as a lien as of January 1 v 1995 even though it "is not levied until December 1995. Accordingly, it would be recorded as revenue as of 12/31/950 7. There would be a one-time gain in vehicle license revenues of about $300,000 as twelve months revenue would be reported for the short year. However, the additional monies would be used to fund the street resurfacing program which should be completed prior to the end of the short year. There would also be a one-time gain in liquor license revenue of about $40,000. On the other hand, there would be a decre:ase in business license fees of about $60,000. These amounts will not have a material impact on the General Fund. 1. To change to a fiscal year that is the same as the calendar year, there would be a "short year" of eight months to phase in the new schedule. The Village's 1994/95 fiscal year ends April 30, 1995. It would be necessary to use a "short year" (May 1, 1995 - December 31, 1995) to be able to start the new cycle. This would result M' a loss of comparable data for the short year. However, one of the ways to overcome this shortcoming would be to use two years of "actual" budget data in the future rather than one. This means that the short budget for 5/1/95 - 12/31/95 would include 1992/93 and 1993/94 actual data; the 1996 budget would use 1993/94 and 1994/95 actual figures; the 1997 budget would use 1994/95 and 5/95 - 12/95; the 1998 budget would use 5/95 - 12/95 and 1996; and then the 1999 budget would use actual 1996 and 1997. Another concern during the transition would be the 5/95 - 12/95 budget cycle would end a 4/18/95 and then the 1996 budget cycle would start in mid-July 1995. This will. requm extra effort from the staff and the Village Board. 2. The calendar year would not be as convenient for the Village's auditors use of the time that is required for income tax clients. VnJAGE OF MOUNT PROSPECT PROPOSM BUDGET CAIXANDAM 5/1/95 -12/31/95 I/1/96-12/31/96 12, ATE- - ----------- DATE 12/09/94 Revised Budget, Fstimates for current year completed. 8/11/95 12/12/94 Budget Worksheets forwarded to Department Directors. 8/14/95 1/03/95 Completed Budget Worksheets returned to Finance Depardrnent. Department. 9/05/95 1/06/95 Revenue Estimates completed by Finance Department. 9/08/95 1/13/95 to 9/15/95 1/20/95 Department reviews with Village Manner and Finance Director. to 9/22/95 1/27/95 Complete Proposed Budget Amounts. 9/29/95 2/14/95 Deliver Proposed Budget, to Village Board and Finance Commission. 10/13/95 2/14/95 Proposed Budget available for public inspection at the Village Clerk's 10/13/95 Office and the Mount Prospect Public Library. 2/16/95 & & 10/ 19/95 3/02/95 & Review proposed Budget with the Finance Commi sion. & 11/02/95 3/16/95 11/16/95 2/21/95 Committee of the Whole - First Budget Hearing. (6:00 pm, - 10:00 pm.) 10/24/95 3/07/95 Committee of the Whole - Second Budget Hearing. (6:00 pm - 10:00 pm) 11/14/95 3/21/95 Committee of the Whole - Village Board Recommendation. 11/28/95 4/04/95 1 First Reading of Proposed Budget Ordinance at Village Board Meeting. t 12/05/95 4/18/95 Hold Public Hearing - Second Reading of proposed Budget Ordinance 12/19/95 at Village Board Meeting. 5/01/95 Approved Budget available for distribution. 1/01/96 TO: Michael E. Janonis, Village Manager FROM: David C. Jepson, F'w-anm Director David, Strahl, Assistant to, the, Village Manager���r DATE: May 2, 1994 SUBJECT: Employee Assisted Computer Purchase Program During the 1994/95 budget discussions, one of the primary goals that was expressed by each department director was the continuing computeriation of Village offices and the use of new technology to promote efficiency. There is a significant amount of money that has been allocated in the 1994/95 budget for new computer equipment and software as well as funds committed to upgrade other related Village equipment. As a part of the plan to achieve this goal during the 1994/95 fiscal year, an emphasis will be placed on ming all Village employees to utilize the new computer hardware and software. Our initial plans call for "in-house gaining classes on a bi-weekly basis for various periods throughout the year. Considering all the efforts that will be made, the Village will be making a significant investment in 'improving the skills of Village employees to help accomplish the goal of greater efficiency and productivity. One of the methods that has been used by many organizations to enhance employee mining efforts in computerization is to provide a way to assist employees to acquire a home computer. We feel this concept would be an economical way to enhance training programs and to help to achieve greater computer productivity. One of the typical programs is to provide a no -interest loan to the employee to purchase a home computer with the repayments then deducted from the employee's paycheck,, An example of how a program like this would work is outlined as follows: 1. Assume the Village has a program which reimburses an employee up to a maximum of $2,500 for the purchase of a home computer and allows the employee to pay the amount back over a period of 24 months with no interest. 2. Upon the presentation of a paid receipt for the purchase of a computer system and a statement to the effect that the employee intends to utilize the computer system, the Village would reimburse the employee for his/her actual costs up to $2,500. Mi*chael E. JanoM*s Page 2 Employee Assisted Computer Purchase Program The items eligible for purchase would be limited to a personal computer, monitor, rinter, modem, and software which is busmess related to Village operations., 3. The employee would select the length of time in which to pay back the Village (up to a maximum of 24 months) with a condition that any balance due at termination would be payable in full. An employee would have to successfully complete their pro ationary period to apply for the program. 4,4, With a payment of $48.08 per pay period, anemployee, could pay back $2,500 in 24 months . 5. This progmm would only run for 2 years; therefore, employees would have a 2 year window to apply for the program. This time frame corresponds with the 19 projected time frame for the Village -wide compute=,,tion program. Also, it is not known how many employees might p. articipate; therefore, by li the time ft,ame the particTants would be the ones who are most serious about computer a - ization. The payment to the e would be considered a loan and financed through the General Fund. A separate account would be established and as payments are made, they would be Wlied against the open balance. It would not require a budget allocation because it is not actually an expenditure, of the Village. However, the Village Board would have to approve the Is project expenditure and setting up the agreement for repayment. We would recommend approval of this program, . . . . . . ................ '31 MAYOR GERALD L FARLEY "440, TRUSTEES GEORGE A. CLOWES TIMOTHY J, CORCORAN RICHARD N. HENDRICKS PAUL WM. HOEFEAT 61"1 918 0, Ji MICHAELE W. SKOWRON IRVANA K, WILKS MICHAEL E, jANbNS' 100 South Emerson Street Mount Prospect, Illinois 60056 VILLAGE CLERK CAROL A. FIELDS Phone: 708 / 392-6000 Fax: 708 / 392-6022 TOO.- 708 / 392-6064 MOUNT PROSPECT PLAN COMMISSION Regular Meeting Kay 11, 1994 Tr ° Room, 2nd Floor, Village Hall 100 South Emerson Street 8*000 Po me CALL TO ORDER II* ROLL CALL III* APPROVAL OF MINUTES OF APRIL 20,r 1994 MEETING IV* SUBDIVISIONS 0 0 0 A* Meier Road Pref i'minary Plat of Resubdivision, 210 and 230 Me x r Road and 2100 White Oak Street * 0 B* Semar Preliminary Plat of Subdivisi"on,, 105,, 109 and 111 South Buses Road - ALSO Development Code Mod if icat 'ions for Stormwater Detention Fac *11 ity S1*de Slopes and Proxlml*ty to Structures on Lots 7 and 9 VIS COMMITTEE REPORTS A* Community Development Committee Mr., Boege B,,,a Comprehensi*ve Plan Committee Mr. McGovern C* Development Code Commi"ttee Mr.,Janus D* Text Amendment Commi"ttee Mr , , Velasco vile OLD BUSINESS Vii* NEW BUSINESS VIII0 QUESTIONS AND COMMENTS I X 0 ADJOURNMENT . ..... ...... oil M.- k 11i al'I'Ll MINUTES Wednesday, Apn*1 27"' 1994 The regular meeting of the Mount Prospect Business District Development and Redevelopment Conum'sSion (BDDRC) was called to order by Chairman ProTem Bart Keljl*k at 7:40 P.M. on Wednesday, April 27, 1994 in the Trustees Room of Village HaX 100 S. Emerson St.,Mount Prospect, Illinois. Members of the Comnfission present: Joseph Janisch, John Metzenthin, Calvin Huber, Keith Youngquist, and Bart Kelji*k. Members absent-. John Eilefing and Hal Predovich. Also present aberLibrry Bord President- LurLuteri, Librry Bord Trustee- Mel Moskal, were Jackie Hin, aaI aa aa I r 'dent- Rob Heselbarth, Daily Herald Reporter and Kenn esi 2 eth Fritz, Econonlic Development Coordinator. The minutes of the March 23r1 meeting were approved as presented on a motion by Keith Youngquist, seconded by Calvin Huber. The motion passed unanimously, 5 ayes, 0 nays. Iq In ML fful; Staff reported that the Village Board, at their -meeting on May 3rd, would be considering the A second reading or an Ordiance approving the Planned Unit Development (PUD) for Pontarelli. Development containing approximately 3.69 acres. Site demolition and clean-up should be completed within the next couple of weeks according to Mr. Fritz. The Project 'is expected to V 0 break ground sometime in June. Dennis and Tom Reindl were present to explain tneir proposed expansion plans of their existing business on North Main Street 'in the block immeaiateiy east of the Pontarelli Development. Mr. Fritz stated that it was important for the Northwest Electric Supply expansion take into c onsi ideratithe development to the west of Wille Street by Pontarelli. The success of the I on condominium development units especially the building on Wille Street wi epen upon e attractiveness of the expansion of the Northwest Electric Supply development to the east. He 0 Page 3 Jackie E—M. ier�_W_ meideen"o fthe T �*_Boardjndiccaat ed-thatAhe - �.ge_hwhnade"ontact���he Library regarding the fact that the property across the street has been consolidated under single ownership by the V'Alage. She indicated that one of the land use options they felt should be included in their stuaies for expansion of the Library, is tne joint usage of parking facilities and adequate V W, meeting room space for the Library and the Village. She suggested that the property owned by the 0 41 Village on Emerson Street should be considered as one of several options tor expansion of library or ip governmental services. 0 Mr. Fritz indicated that the Vdlage!s long-range downtown plan identifies the block, in which the Library and Senior Center buildings are located, as "Govemmental Services" along with the half block on the east block of Emerson, as well as the blocks cont the Village Hall and First Chicago Bank. Ms. F&mber indicated that the Library and Millage Board would be meeting M' July to discuss budget and short and long range pl Mlftnag for tacilities. Mr. Fritz indicated that the Planning Department would add intem staff and will set a definite schedule for review of the Land Use Plan update next month. M www� The meeting was adjourned at 9:05 P.M. on a motion by Mr. Huber, seconded by Mr. Jam' h. The motion passed unanimously. ................