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HomeMy WebLinkAbout3083_001i PLEASE NOTE E COMMITTEE t AGE Meeting Location: ILA—..—t++[1---- A Cnrftefr t --#—r DEPUTY VILLAGE CLERK ALL LY START TIME E CHE WHOLE DA 1/1 Meeting Date and Time: Tuesday, November 12, 1996 6:00 P.M. rleyi Paul Hoefert Arlene Juracek Irvana Wilks :)BER 22,1996 Orley, Mayor lanonis, Village Manager ,Ila,; Fire Chief Mock, Police Chief liar» Cooney, Director rations or comments during the Budget D LIKE TO ATTEND THIS MEETING BUT NEEDS SOME ACCOMMODATION TO ACT" THE VILLAGE MANAGER'S OFFICE MOUNT PROSPECT, ILLINOIS 60056, ?7, TDD #847/392-8084. MINUTES COMMITTEE OF THE WHOLE OCTOBER 22,1996 CALL TO ORDER |nthe absence of MayorFadey, Village Manager Michael Janoniscalled the meeting to order cdG:3G p.m. Present atthe meeting were: Trustees George Clowes, Timothy Corcoran, Richard Hendricks, Paul Hoefert, Arlene Juracek and |rvoneWilks. Absent from the meeting was Mayor Gerald Farley. Also present were: Village Manager Michael Janonis, Assistant Village Manager David Strahl, Finance Director Brian Ceputo, Assistant Finance Director Carol Widmer and Human Services Director Nancy Morgan. Village Manager Janonierequested nominations from the floor for Mayor Pro Tem. Motion made bvTrustee Wilks to appoint Trustee Corcoran Mayor Pro Tem and Seconded byTrustee C|owee. Motion was approved unanimously. ll� MINUTES Approval of Minutes of September 24, 1996. Motion made by Trustee Hoefert and Seconded by Trustee Wilks to accept the MiruteeTrustee Hendricks stated that a reference in the Minutes of September 24 stated that the pedestrian crosswalks had not been striped and hewanted to report to the ViUageBoard that the walkways had been striped oeofthis meeting. He also stated that a trailer ad151OEast Emmerson Lane has not moved for a number of years and is requesting follow-up from the Village Manager concerning the anonymous letter hehad submitted hothe Village Manager otthe previousmeating. Trustee C|ovwaarequested. modifications on pages 3and 5cfthe Minutes concerning his comments regarding the Rand Road Study. Trustee Wilks requested orevision bothe Minutes concerning the Century Tile property. Trustee Corcoran requested a modification to the Minutes regarding the Kensington/Rand triangleas o prime site for real estate redevelopment. Minutes were approved with the changes. 1 Tom Davies, 203 South Omen, spoke. Hequestioned the amount allotted to the Historical Society ose organization and asked ifthe Village should set up the Historical Society as a non-profit corporation or whether the Village Board appoints Board members torun the organization. Haasked whether parameters had been established bythe Village Board todetermine iftax money intobaused ordonated tonon-pnzfitorganizations. Healso suggested that en additional schedule be included in the Budget showing the amount ofrevenue growth aeopercentage from year toyear compared hothe rate ofinflation. He also recommended the ViUmQereview the health insurance costs and pursue alternatives toreduce the costs. Trustee Hendricks stated that there are numerous traffic back-ups atRand and Central and Central and Mt. Prospect Road and would request that staff determine if Police personnel can assist in resolving the situation. Trustee0oefert stated that Trustees should speak under Any Other Business at the end ofthe meeting. |V. 1997 BUDGET DISCUSSION Village MammgexJamonis provided e gen&al Budget overview to the Village Board. He stated the process was started at the six-month review inJuly of 1996 and many of the parameters which were suggested bvthe Board at that time have been put into the document which has been presented tmthe Village Board. December will start the official action necessary to approve the Budget for 1997 after three Committee of the Whole meetings take place to discuss various budgets inthe various operating Departments. The Budget iaalso presented bothe Finance Commission prior to the Committee of the Whole meeting for their input and recommendations. Village Manager Jamomis provided a general review ofwhat has occurred in19[6 and highlighted the efforts cfeconomic development including U. S. RoboUcs, Home Depot and the Jewel adRu0dhumtthe new cinema and the re -use ofthe Eagle Grocery Stora at Golf and Busse. He stated that number ofinitiatives which have taken place has generated mor6 staff activities including the work by the Visions group. Healso pointed out that opartnership has developed between citizens and the Village Board concerning specific issues. Hestated the Budget itself of$52 million shows a modest increase of 17% if. the expanded road reconstruction ioseparated from the percentage ofincrease. He stated that there are m number ofinitiatives that one under way which the Village as offsetting revenue but still must show the expenditure and then match the expenditure to the revenue received. Hostated most revenues are meeting projections inthe 1S8G Budget. Hastated the Village kaliving well within the means established bythe Village Board 'General Fund is increasing approximately Y� y���andindudennww 'earvicea which have already been approved by the Village Board including a new Housing Inspector which has been inplace since the summer, enadditional resource officer and community policing offioec Much wfthe increase iedue tothe new computer |eoea paymentscharged boeach Department hofund technology improvements. A Merit Compensation Plan is being proposed aaan opportunity to provide cash bonuses esincentives for performance. Also anexpansion ofthe Human Services Internship Program which has become necessary due to increased service demands generated bystaff initiatives. Legal services are up approximately $100,000 due to numerous lawsuits and increased prosecution, again, due to the increased initiatives. Health insurance has risen approximately 1196and Pension contributions are increasing tomaintain the 1DO96funding level and the additional demand that retirees are beginning toplace upon the system. Personnel increases are approximately 3.596general wage increases. Other items include ochange in the computer financial software plus the development of a multi-year capital budget to be in place by next budget cycle and a modest increase in water rates to avoid large changes over time. There are five general areas inthe Budget i. The General Fund which provides the operating expenses for the majority ' of services provided. % 2. The Capital Budget which provides funding for large dollar items including Public Works projects and equipment. 3. Pensions which is the demand for funding Pensions for IMRF and Police/Fire personnel. ' 4. Debt Service used bmpay off the indebtedness ofthe Village. 5. |nbamna| Services which includes vehicle maintenance and the computer lease payment. ^ The 1S8GPark Ridge Survey lists Mount Prospect aanumber 15out of15. Finance Director Brian Caputo provided ogeneral overview cf the Revenues am outlined inthe proposed Budget. Hestated that the budgeted items also include e1998forecast budget oothat people who review the budget have some idea of where various funds may be going. Worksheets were submitted by the Departments and reviewed hythe Vi||ageManager during the month mfSeptember which eventually led tothe information presented this evening. Major revenue sources for the Village are Property Tax, Sales Tcx, Intergovernmental Funds, Permits and Licenses, Service Charges, etc. Property Tax increase improposed cd396. He stated that ho is requesting Disaster Response Contingency be set aside and there imflexibility toset aside 39&. or$3OO.00Ofor disasters. The Contingency can bwfunded creating onadditional fund for emergencies but that iotypically not recognized under general accounting practices. Another option would bereserve funds which are undesignated but are still identified for contingency oremergency. General comments by the Village Board concerning the overall Budget document included the following items: There was extensive discussion concerning the Disaster Contingency fund of $3OO'O0Oand how itwill beaccounted for inthe Budget. There was also some discussion concerning the Computer Replacement Fund and what would happen bothe charges tothe Departments ifthe computers orequipment had bnbereplaced either earlier than projected ordid not cost aamuch aeprojected. There was also adiscussion concerning the time frame for reimbursement ofdisasters from the Federal government as an opportunity to replace any money that may be utilized from the Emergency Contingency Fund. Trustees also requested the Budget document be revised to reflect percentage changes in each Revenue source or expenditure from year to year and to net out the |ntedbndTransfers from year boyear. Generally, the \HUaQe Board members were pleased with the document as presented. General consensus of the Village Board was tmsupport establishment ofm Contingency Fund mfapproximately $300,000. Village Manager Jamon)s answered oquestion which was phoned inconcerning Property Tax increases. Hestated that many ofthe increases may bnattributed ho other taxing bodies orreassessments inthe community. Hastated the Mount Prospect property tax only amounts to approximately B% of the total bill of the average homeowner and the Mount Prospect level has only increased approximately 3Y6for the last several years. Human Services Department Overview, Human Services Director Nancy Morgan stated that the Human Services Department has obudget ofapproximately $5iQ.00O. She provided anoverview of the services provided and some information concerning the work the Visions Committee has been involved with over the past year. Additional referrals which have taken place through contacts with other Departments has necessitated an enhanced Social Work Intern program throUgh the use of part-time interns. The computerization of the Human Services Department is currently under way and this past year can beconsidered aeotransitional year but benefihawill soon become General comments from the Village Board members included the following items: A general ovanvieW of the Northwest Community Senor Services which are provided through the space provided bythe Human Services. There was also an overview of the revenue pass-throughs which the Department has been realizing. There was also discussion concerning the units of service Human Services provided and how those are calculated for comparative purposes. There was also discussion concerning the use of computers by Human Services personnel to track services provided boresidents. There was also discussion oetowhat funds from the Visions Committee are used for interms pfservices. Hmnman Services Director Nancy Morgan responded toenumber ofthe items by the Village Board and stated that the Northwest Community program is not duplicating Human Services' related services. She also stated that the funds used out cfthe Visions are typically used maseed money and not amocontinual funding source for programs. Village Administration Budget Village Manager Michael Jamonis, provided o general overview of the Public Representation Budget which includes the Mayor, Village Board and Advisory Boards and Commissions. The Budget amounts hoapproximately $G3.00Oand there is o projected increase of 6.2%. Majority of the increase is due to the projected replacement of the chairs for the Vi||oAa Board members at a cost of $3,600. He stated that there is no increase inWages for elected officials and many of the large expenditures are for memberships in the Northwest Municipal Conferenoe, U. S. Conference of Mayors and Northern Illinois Planning Commission. General discussion by the Village Board members included the following items,* Two Trustees stated that the chairs for the Trustees dionot need to be replaced while two other Trustees stated that they will take the chair issue under advisement. There was also asuggestion that the Village Board review the Village Code to determine that items can heremoved and what items are out ofdate. Village Manager Jammmhsstated that the 8bdQatinhis Department amounts boo 36.596increase. Hastated the majority ofthe increases are due boincrease inlegal services of approximately $100,000 over the previous year, the addition of a Merit Pay Plan pool of*4O.DDOand management training inthe amount of$15.00O. Both the management training and merit pool are new items for this budget year. General discussion bythe Village Board members included the following items: There was discussion concerning the goal for 1Q#Gand, again, 1997 concerning Citizens' Surveys. Discussion focused on the type ofsurveys and what the benefits ofsuch esurvey would be. There was also asuggestion that oCommittee ofthe Whole meeting be designated to discuss the use of citizens surveys prior to the instruments being distributed tothe citizens. Village yNamagerJanomis responded to m number of the questions concerning citizens' surveyo. Hestated that aethe Village continues to progress towards performancebased budgeting, there is a need to measure how services are being provided to the general public based on the amount of funds allotted to the service. Communications Division Village Manager JemmnUs provided s general overview ofthe Communications Division Budget. He stated that the Budget shows om8.G%increase. The increase is largely due to the cost ofFranchise negotiations. He stated that he is in the process of discussing the possibility of combining with other towns in the area to negotiate jointly with TCI for the upcoming Franchise negotiations. Healso stated that the status ofthe Communications Administrator position isstill under review and the position will most likely be reconfigured to focus on broader activities and less onspecific areas oftelephones and cable. General discussion ofthe Village Board hz||ovw*d. There was discussion concerning whether the Franchise fee covered the cost nf operating the Communications Division. There was also discussion concerning previous recommendations ofthe Finance Commission regarding the future ofthis Division. Village Manager JammnUsresponded toonumber ofqyestionsfrom the Village Board members. Hestated that Franchise fees are flat and are creating ashortfall of approximately $25,000 over the previous year. Thnrefoma, the Village is supplementing the Division by providing approximately $25.000 through the General Fund. Healso stated that subscriber base may shrink orremain flat over time and ifthe Division |s eliminated, there would beanimpact onservices directly tothe citizens concerning communications. Village Clark Village Manager Jmnmnis provided a general overview ofthe Village Clerk's budget. Hestated that budget includes anincrease ofapproximately 5.796. The increase is primarily due to the increased cost of codification due to some expected changes inthe Codes concerning fire prevention and building. Hoalso stated that staff isreviewing the possibilities ofusing technology tomake the Code information more readily available and minimize Codification costs where possible. M Finance Director Brian Caputo provided a general overview of the Department Budget and provided a list of functions the Department provides. The Budget is approximately $1.1 million for 1997. He provided a general overview of the 1996 accomplishments. Major impacts to the increase of his budget include a proposal to change financial accounting software and to add an additional part-time position. The part-time position will not increase head count because it is a transfer of a part- time position previously approved in Community Development. He also is recommending that one of the account clerks be designated as a supervisor for customer services to relieve the Deputy Director of some of the supervision duties of the customer service personnel. The projected cost for a supervisor would be approximately $3,000-$4,000 more than budgeted the previous year. He said there is money available for Village -wide computer training and approximately $10,000 for a computer consultant. He stated the need to change to new financial software is primarily due to the fact that there are very serious deficiencies with the software the Village purchased in 1994. He stated the low bid of $111,000 for the system has not all been spent and when the serious deficiencies were identified, the Village staff promptly terminated future programming modifications. He provided a general overview of the problems associated with the software and has requested a budget of approximately $250,000 for now software based on the known vendors that are currently available and that have proven packages which have been purchased by other municipalities. He stated he is requesting the use of a consultant to assist in the process of changing to new financial software. General comments of the Village Board included the following items: Some Trustees requested whether there was any opportunity for pursuing vendor liability in terms of not delivering the product intended. There was also some discussion concerning the charge for ambulance service.$ and whether the Village is subsidizing insurance companies for this service. There was also general discussion concerning future evaluation of computer needs and software. Finance Director Caputo responded to a number of questions by the Village Board by stating the complexity of the payroll system and other systems within the Village require the payroll task to remain in-house and he is confident that with the proper resources, the system can be improved. I Village Manager Janonis stated that these overviews are provided as part of the final decision process by the Village Board. He stated that he will attempt to get the Finance Commission Minutes to the Village Board prior to the next budget discussion of the Village Board on November 12. V. ANY OTHER BUSINESS Trustee Wilks stated that there numerous election signs in the right-of-way and on telephone poles throughout the community. Village Manager Janonis stated he has notified all of the candidates of the regulations and staff is removing signs on an active basis. Trustee Hendricks stated that he has recently had a meeting with the Daily Herald Editorial Board and has been accused by them of telling Village employees what to do. He stated that he has talked to the Village Manager and the Assistant Village Manager as to the basis for these allegations and has found no confirming evidence from either person that such direction is taking place. He also stated that he is awaiting a response from the Village Manager concerning signs present in the right- of-way along east Central Road. V1. ADJOURNMENT There being no further business, the meeting was adjourned at 11:14 p.m. ------ Respectfully submitted, 1 G�.tc-d �„� j DAVID STRAHL DS/rcc Assistant Village Manager 8 kyj Loll] L, I IN im man m I I a I g 0 9 KIM mil THE REGULAR MEETING OF &cptc ON NOVEMBER 11, 1996 HAS BEEN CANCELLED, MAYOR Gerald L. Farley TRUSTEES George A. Clowes Timothy J. Corcoran Richard N. Hendricks Paul Vft. Hoefert Arlene A. Jursoek Irvana K. Wilks VILLAGE MANAGER Michael E. Jannis VILLAGE CLERK Carol A. Fields November 14.1296 ZBA-15-A-95 rAINVIlinw, $I ZBA-18-96 w S. ^ 100 South Emerson Street Mount Prospect Illinois 60056 AGENDA (Prepared October 30, 1996) ZONING BOARD OF APPEALS Mount Prospect Senior Center 50 South Emerson Street 7:30 P.M. Approval qfM her 24. 1996 -jRqt gg_ Phone: 847/392-6000 Fax: 847/392-6022 TDD: 8471392-6064 Village of Mount Prospect -Amendments to the Zoning Ordinance, Commercial Vehicles in Residential Districts 1304 E. Thayer Street/William J. Dorncr - Setback variation to construct a gazebo 1201 Feehanville Dr./TCI Communications - Setback variation to increase the number of antennas/satellite dishes Cases, IQ be Heard ZBA-14-CU-96 832 River Rd./Sedan Landscaping - Text Amendment and Conditional Use to permit an illegal existing landscaping business to remain in the R-1 Single Family Residence District VILLAGE BOARD FINAL ZBA-19-96 1.451 W. Lincoln St.,/Niewinski - Variation to permit construction of a fence in front of the principal building in the exterior sideyard (See. 14,304.D.I.b.(2)) VILLAGE BOARD FINAL ZBA-20-96 900 N. Wolf Rd.,/Northwest Assembly of God - Rezoning from C-R Conservation/Recreation to R -X Single Family Residence and setback variations for existing conditions VILLAGE BOARD FINAL P_ecemb�er 2. j M6 Open Any individual who would like to attend this meeting, but because of a disability needs some accommodation to participate, should contact the Community Development Department, at 100 S. Emerson, Mount Prospect, 11L 60056, 847-392-6000, Ext. 5328, TDD #847-392-6064. FINANCE COMMISSION VILLAGE OF MOUNT PROSPECT AGENDA, Thursday, November 14, 1996 7:00 P.M. 2nd Floor CONFERENCE ROOM - VILLAGE HALL 100 SOUTH EMERSON STREET MOUNT PROSPECT, ILLINOIS APPROVAL OF THE OCTOBER 31, 1996 MINUTES 111. DISCUSSION OF THE PROPOSED 1997 VILLAGE BUDGET Public Works Department Non -Departmental IV. OTHER BUSINESS V. FINANCE DIRECTOR'S REPORT VI. ADJOURNMENT NOTE: Any individual who would like to attend this meeting but because of a disability needs some accommodation to participate should contact the Village Managers Office at 100 South Emerson Street, Mount Prospect 847/392-6000, ext 5327, TDD 847/392-6064 MINUTES FLOATING COFFEE WITH COUNCIL SATURDAY, OCTOBER 12, 1996 9:00 am. LOCATION 1: 2nd FLOOR CONFERENCE ROOM, VILLAGE HALL The meeting was called to order by Trustee Paul Hoefert. Trustee George Clowes was present. Representing staff were Assistant Village Manager David Strahl and Finance Director Brian Caputo. Village residents/business owners were: Lloyd L. Semans, Owner of the Train Station Coffee Shop David Schein, 512 S. Nawata Lloyd L Semens, owner of the Train Station Coffee Shop, announced that he had identified a buyer for his business in Mount Prospect. However, his current lease with the Village has only about a year left before it expires. To help him persuade the prospective buyer to fully commit to purchasing the business, Mr. Semans asked that the Village Board extend his lease for five years from the current expiration date and provide an option for an additional five years. Mr. Semans stated that he hoped that the Village Board would vote on this at their regular meeting on Tuesday, October 15, Trustee Hoefert stated that he thought the Village Board would like to meet the potential buyer before committing to an extension of the lease. Trustee Clowes said that he would consider an extension of the lease; however, he said that he felt that the additional five-year option might be excessive given that the Village had no record of the potential buyer's history as a business operator. David Schein, 512 Nawata, stated that he had written a letter to Glen Andler concerning his objections to the conclusions and recommendations of the Weller Creek Study. Mr. Schein said that, in addition, he met with Mr. Andler concerning the matter. Also present at the meeting was Melcy Pond of Rust Environmental and Infrastructure, Inc., the author of the study. Mr. Schein stated that, as a result of Mr. Andler's written response to his letter and their subsequent meeting, he has withdrawn his objections to the study. The meeting at Location 1 was adjourned at 10:10 am. LOCATION 2: RIVER TRAILS PARK DISTRICT BUILDING, 1313 BURNING BUSH Floating Coffee With Council was reconvened by Trustee Hoefert at 10:30 am. Trustee Clowes was again present. Representing staff were Village Manager Michael E. Janonis, Assistant Village Manager David Strahl, Finance Director Brian Caputo, Fire Chief Ed Cavello, Human Services Director Nancy Morgan, Police Chief Ron Pavlock, Deputy Public Works Director Sean Dorsey, and Police Officers Bill Roscop and Joe Favia The Village resident present was: Ernie Lasse, 805 S. Elm Street Ernie Lasse, 805 S. Elm Street, asked about the status of the airport noise monitoring devices which are to be installed in the Village. Assistant Manager David Strahl responded that the City of Chicago has been granted permits to install two devices in the Village. Those devices are currently being constructed. Mr. Lasse also announced a meeting of a group which has been formed to discuss discipline problems at Westbrook School. The group is comprised of School District 57 administrators, Northwest Suburban Special Education Organization representatives, concerned citizens, and the Village's Student Resource Officer (SRO). The group meets the third Thursday of the month at 5:30 p.m. at Westbrook School. The next meeting will be on October 17, 1996. Mr. Lasse asked for any information the Village might have on recent incidents involving discipline problems at the school which could be discussed at the upcoming meeting. Chief Pavlock stated that he would see that Mr. Lasse receives as much information as possible without violating individual confidentiality. A discussion took place concerning pedestrian safety at the train station. Trustee Hoefert stated that he believed that safety might be enhanced if a pedestrian crossing existed immediately outside the train station building itself. This would allow pedestrians to cross the railroad tracks shortly after buying a ticket and/or using the concession. Trustee Hoefert said that it takes more time to get to the existing pedestrian crossings because they are several yards away from the station. This extra time delays some pedestrians enough that they sometimes try to make up time by darting across the tracks even when a train is approaching and the signals are activated. Village Manager Janonis stated that he would contact the Union Pacific to discuss the possibility of a new pedestrian crossing immediately outside the station. The meeting at Location 2 was adjourned at 11:30 am. Respectfully submitted, /J. Brian W. Caputo Director of Finance FINANCE COMMISSION Minutes of the Meeting October 17, 1996 Call to Order The meeting was called to order at 7:05 p.m. Those present included Chairman Richard Bachhuber, Commission Members John Engel, Joseph Etchingham, Vince Grochocinski, Newt Hallman, Jim Morrison, Tom Pekras, and Ann Smilanic. Also present were Village Manager Michael Janonis, Finance Director Brian Caputo, and Assistant Finance Director Carol Widmer. Commission member John Korn arrived at 7:30 p.m. II Approval of Minutes The minutes of the August 29, 1996 were approved with one correction. The minutes of the September 26, 1996 meeting were approved as presented. III P nn l R Finance Director Brian Caputo stated that a monthly Budget Revenue & Budget Expenditure Report detailing the revenues received and expenditures paid for the month as well as the year-to-date would be sent to the members of the Finance Commission each month. The September 1996 report was included in the packet for this meeting. Village Manager Michael Janonis introduced the Village's proposed 1997 Budget. Mr. Janonis began his presentation with a brief 1996 year-end review. Mr. Janonis reported that Village revenues are increasing and meeting projected levels and that the Village will end 1996 with fund balances meeting or exceeding their target levels in most cases. Mr. Janonis also highlighted many of the economic development and redevelopment efforts of 1996 including the continued expansion of U. S. Robotics, the Jewel/Osco renovation at Randhurst and the $1 million renovation of the vacant Eagle Grocery Store by Sun Harvest, an upscale fresh produce company. Mr. Janonis also advised the members of the Finance Commission that a "Shop Mount Prospect" promotion will be launched before the end of the year in cooperation with the Mount Prospect Chamber of Commerce. Mr. Janonis next touched on highlights and initiatives included in the proposed 1997 budget. Total expenditures in 1997, as presented, represent an overall increase of 8.6 % from the 1996 Budget and total $52,705,991, exclusive of interfund transfers and Library expenditures. Almost 6.9% of that increase is directly attributable to an accelerated Street Improvement Program ($2,500,000) and the Central Road Improvement Project ($890,000). Total revenues for all Village funds, excluding the Library, are estimated to be $53,484,275. This represents an increase in revenues of 3.1 %. General Fund expenditures are expected to increase 4.8 % exclusive of new services and a new computer lease payment. Total expenditures of $23,023,442 are proposed in the General Fund. New services, which total some $179,255, include a Housing Inspector (approved mid-1996, $53,750); proposed addition of an administrative Community Service Officer ($34,705); creation of a new Computer Lease Payment ($50,800); Merit Compensation Pool for non-union staff ($40,000) and an expansion of the Social Worker Internship Program in the Human Services Department ($7,100). Revenues Finance Director Brian Caputo discussed the Village's projected revenues for 1997 which are expected to be $53,484,275. Property taxes, which comprise 16.1 % of total Village revenues, are budgeted at $8,607,900 in 1997. Sales tax is expected to reach $6,397,000 in 1997. In 1996 Sales tax showed a marked increase due to the opening of a new Home Depot store and an expansion of the Jewel Food Store, both in the Randhurst Mail complex. However, the growth is expected to level off and the 1997 expected sales tax revenues represent a 1 % increase over 1996. The Home -Rule Sales Tax is expected to provide $2,575,000 in 1997 and future trends in this revenue source should mirror those of general sales tax. The 2% Utility Tax on gas, electric and telecommunications is expected to increase from an estimated actual 1996 amount of $1,585,000 to $1,660,000 in 1997. This represents a 4.5% increase. The increase is due, in large part, to the proliferation of telecommunications devices. Mr. Caputo advised the Finance Commission that the Water and Sewer fee revenue for 1997 which is budgeted at $5,058,000, include a proposed increase in the rate of 3.5%. The cost per 1,000 gallons will increase from $3.20 to $3.31. This is in keeping with a policy established in 1991 to gradually increase rates each year as needed rather than in larger increments at longer intervals. Mr. Caputo also outlined a proposal to "designate" a portion of General Fund fund balances as a disaster response contingency, Mr. Caputo concluded his remarks by reviewing briefly the 1997 budget calendar. He pointed out that two Finance Commission meetings are planned in June to discuss a multi- year Capital Improvements Plan. Humgp Services Human Services Director Nancy Morgan and Deputy Human Services Director Jan Abernethy, presented the proposed 1997 Human Services budget. Nancy Morgan began her presentation of the department's proposed budget of $519,747 by stating that many of the Human Services programs produce revenue which offsets the costs of the programs. Some of the revenue produced comes from home -delivered meals, flu shots, classes and Elderhonor. In the first 8 months of 1996 over $39,000 has been collected. The Human Services Department has three main areas of concentration: Social Services, Nursing/Health Services, and Senior Center Activities. In addition, the Human Services staff works extensively with the Visions Program which is an interdepartmental program designed to improve the quality of life of Village residents through projects designed to meet the special needs of our residents. Nancy Morgan noted that 1996 was a transitional year for her staff in that much time was spent entering data into the new computerized registration program within the department. 19 The proposed 1997 budget includes an additional $7,100 for salaries of two seasonal interns the department hires each year. In the past, each intern received a stipend of $300 and the department found it difficult to attract interns to work in Mount Prospect. The additional salary will make it easier to attract quality students for Mount P'rospect's internship program. In the course of the discussion it was mentioned that the proposed purchase of a cholesterol machine for $2,400 had been deferred until 1998. Private contributions are being solicited to help pay for the machine in 1997. As a contingency, if sufficient funds cannot be raised in 1997, $2,400 has been provided in the 1998 Forecast Budget. In response to a request for more information on the machine, Nancy Morgan mentioned that the machine would produce enough revenue in two years to pay for itself as well as the medical supplies necessary to perform the test. Many of the members of the Finance Commission voiced support for the purchase of the machine in the 1997 fiscal year rather than defer the purchase until 1998. They felt the cholesterol tests would be very beneficial to residents and, in addition, produce revenue for the Village. ian!P.1?gll Finance Director Brian Caputo began his presentation with an overview of the functions of the Finance Department, accomplishments of the department in 1996 and departmental objectives for 1997. The Finance Department's proposed 1997 budget of $1,111,236 is approximately 3.5% higher than the 1996 budget of $1,073,800. The Finance Department has three divisions: Data Processing, Accounting, and Customer Service. Mr. Caputo is proposing upgrading one of the three customer service clerks to a supervisory position in order to enhance first -line supervision in Customer Service and to operate in the same manner as the other two divisions which already have a supervisory position. This change does not increase the number of employees in the department. Instead, one of the employees will be given additional responsibility along with her regular duties. The Finance Department has had a temporary part-time employee in the customer services division since May of 1995 when primary responsibility for administering traffic tickets was transferred to the Finance Department. For 1997 Mr. Caputo is proposing that the position be changed from temporary status to permanent part-time status to enable the Finance Department to handle traffic ticket administration over the long term. Total employee count for the Village will not increase with this proposed change because the Community Development Department is reducing the number of part-time inspectors on its staff in 1997. The proposed 1997 Budget includes a provision of $250,000 for the purchase of new accounting and community development software. The expenditure can be found under Village Improvements and Equipment in the Capital Improvements section of the budget. Mr. Caputo included the discussion in the Finance Department because the accounting software is essential to departmental operations. Mr. Caputo went over a list of shortcomings and problems with the current software. Based upon the many problems encountered with the software over the past two years, the decision was made to discontinue installation of additional software modules such as utility billing. After a great deal of discussion and evaluation staff has recommended that the Village begin the search for software which will better meet the needs of the Village rather than continuing to work with the present software. Mr. Caputo explained that, in selecting new software, steps would be taken in the screening and selection process to ensure the Village procures better software. First, the Village would use a consultant to help with the development of a request for proposals and the analysis of responses. Second, the Village would have extensive on-site visits with other municipalities using the software of the most qualified vendor(s). The on-site visits would involve first-line employees spending time with counterparts in the other municipalities using the software under consideration with live data. Public 'Repces ntgtion and Villaag Administration Village Manager Michael Janonis reviewed the 1997 proposed budget for the Mayor and Board of Trustees. The budget includes a provision of $3,600 for new chairs for the Village Board, Otherwise, there are no significant increases in the proposed budget. The Village Manager's proposed 1997 budget is expected to increase from $489,875 in 1996 to $668,482 in 1997, a 36.5 ! increase. There are three main components of the increase. First, a total of $15,000 has been requested for management training. This is a continuation of the training the management team is currently receiving. Second, legal fees are expected to increase from $167,500 in 1996 to $265,500 in 1997. The increase is due to ongoing litigation as well as the labor negotiations in the spring of 1997 with both the police and fire contracts expiring at that time. The Village Manager's budget also includes a provision for $40,000 for a merit pay pool. Mr. Janonis explained that the intent of the merit pay pool is to award bonus monies to non-union employees whose outstanding job performance deserves recognition. The monies awarded will not add to base pay when computing raises. The members of the Finance Commission spent a considerable amount of time discussing the merit pay pool. Several members supported the concept while some members raised concern over whether these bonuses would be looked at as entitlements and raise expectations among employees that they will receive bonuses every year. Also, concerns were raised as to how the program would be administered. Mr. Janonis emphasized merit pay would only be awarded for exceptional performance. Such performance would be documented through written performance evaluations. Merit pay would provide an incentive for all employees to strive to perform their jobs increasingly better. Mr. Janonis further stated that receiving merit pay in one year would in no way entitle an employee to merit pay in a subsequent year. V Adjaurnment The meeting was adjourned at 11:35 p.m. The next meeting will be on October 31 at 7:00 p.m. Respectfully submitted Carol L. Widmer, Assistant Finance Director 4 FINANCE COMMISSION Minutes of the Meeting October 31, 1996 Call to Order The meeting was called to order at 7:00 p.m. Those present included Chairman Richard Bachhuber, Commission Members John Engel, Joseph Etchingham, Vince Grochocinski, Newt Hallman, John Korn, Jim Morrison, Tom Pekras, and Ann Smilanic. Also present were Village Manager Michael Janonis, Finance Director Brian Caputo, Assistant Finance Director Carol Widmer, Fire Chief Ed Cavello, Deputy Fire Chief Mike Figolah and Fire Prevention Coordinator Paul Valentine. Police Chief Ron Pavlock, Deputy Police Chief Ron Richardson, Community Development Director Bill Cooney, Deputy Community Development Director Dave Hulseberg, Planning Coordinator Dan Ungerleider, Building Coordinator Brad Paulson, and Environmental Health Coordinator Bob Roels later joined the meeting. The minutes of October 17, 1996 were approved as presented. Fire Chief Ed Cavello introduced Deputy Fire Chief Mike Figolah and Fire Prevention Coordinator Paul Valentine. Chief Cavello began his presentation by reviewing the department's 1996 accomplishments. One major accomplishment involved establishing medical engines with medical equipment similar to that found on an ambulance. These engines provide the Village with another response alternative in times of high demand for medical assistance. The department was also able to complete the warning siren replacement program a year ahead of schedule. The 1997 Proposed budget of $6,262,302 is 4.1 % higher than the 1995 budget of $6,013,095. Chief Cavello highlighted several significant changes in the Fire Department administration portion of the budget. The first is a reduction of 1$.3% in the amount budgeted for medical examinations. This reduction was achieved by setting up a schedule of bi-annual medical examinations. In the past examinations were scheduled according to the age of the firefighter and this schedule resulted in large variances each year in the amount budgeted for medical expense. A new line item in the proposed Fire Administration budget for 1997 is $5,$96 for a computer lease payment. This payment will provide for the replacement of existing computer equipment. A line item which increased significantly is employment testing. A total of $19,600 has been budgeted for testing new hires, lieutenants and captains compared to $5,000 in 1996. This is the first time all of these eligibility lists will expire in the same year and that is why the requested amount is so high. Deputy Chief Mike Figolah reviewed the proposed 1997 budget for Fire Operations. Included in the budget is a significant increase for turn out clothing. The amount budgeted in 1997 is $14,200, compared to $6,120 in 1996. Mike Figolah explained that the department would like to implement a program which provides for replacement of all sets of turn out gear over the course of six years at a rate of 10 sets a year. The amount budgeted for opticom maintenance will decrease 20% in 1997 because new equipment was purchased in the last two years. The 1997 proposed Fire Prevention budget as presented by Paul Valentine contains no significant changes. There is a new item to allow for a computer lease payment which was previously explained. Mike Figolah explained that the Fire Department has requested $80,000 in the Motor Equipment Replacement Fund. $60,000 of that amount is expected to be used to rechassis an ambulance. This will be the second time the ambulance will be rechassied saving an estimated $20,000 over the cost of a new ambulance. In addition, $20,000 will be used to purchase a replacement vehicle for a fire inspector. Several general questions regarding the tank farm, breathing apparatus, and incentive pay were asked by Finance Commission members. 1 MIT R947. "WrA M It-= Police Chief Ron Pavlock and Deputy Chief Ron Richardson presented the proposed 1997 Police Department budget of $8,115,524. This represents a 6.3 % increase over the 1996 budget of $7,636,695. Of that amount $7.2 million or 89% is related to personnel costs. Chief Pavlock began his presentation by reviewing the responsibilities of the two divisions: Field Operations and Administrative Support Services. Chief Pavlock also reviewed the department's 1996 accomplishments and 1997 objectives. Chief Pavlock spoke briefly about the department's community policing initiatives. The two officers added in 1995 under the COPS AHEAD grant are functioning in their assigned areas and two problem solving officers were added in 1996. Deputy Chief Richardson presented information on the staffing of the Police Department over the past 10 years. During that time the number of sworn officers has increased by 16 while the civilian staffing has not changed in spite of the increased paperwork associated with the activity generated by the additional officers. The civilian position of auxiliary services officer has two main functions in the department: court liaison and property control. The workload has increased to the point that the individual is unable to handle both areas of responsibility effectively and the department is requesting an additional community service officer (CSO) to handle the property control function. A lengthy discussion ensued regarding the request for a new CSO. Chief Pavlock explained that, unlike other police departments, Mount Prospect uses civilians instead of sworn officers to fill many positions. The decision to have a CSO handle the court function is another means of keeping the number of sworn officers to a minimum. Commissioner Hallman expressed concern at the increase in police staffing over the past 10 years. Commissioners Morrison and Grochocinski indicated support for the addition of a CSO based on the department's increased activity. - mwwm� Community Development Director Bill Cooney and his staff, Deputy Community Development Director David Hulseberg, Health Coordinator Bob Roels, Building Coordinator Brad Paulson, and Planning Coordinator Dan Ungerleider presented the Community Development 1997 proposed budget of $1,218,452. Bill Cooney reviewed the functions of the Community Development Department. They include plan reviews, zoning, property maintenance inspections, long-range planning and economic development. Mr. Cooney explained that, as part of the economic development initiative, the department has designed a display for trade shows as well as a marketing brochure and a video. They have also placed advertisements in selected trade journals. The Finance Commission members viewed the video prepared by the department. Mr. Cooney listed some of the projects the department has overseen in 1996. They included improvements by U. S. Robotics, the development of a sizeable Kensington Center parcel by Braun Manufacturing, additional improvements at Randhurst including General Cinema and Jewel Foods, and significant construction progress on the Creekside and Clocktower Condominiums. The three division coordinators summarized the activities and accomplishments within their divisions. Building Coordinator Brad Paulson reported a record year for construction projects within the Village as well as a year when the division developed a series of informational handouts for residents. Bob Roels, Housing Coordinator, discussed the proactive approach the division has been taking in multi- family inspections including the recently enacted Multi -Family Interior Inspection Program which provides for the inspection of 20% of all rental units annually. An additional inspector was hired in August to assist in the inspections. Dan Ungerleider discussed the Rand Road corridor study, the United Airlines annexation study and the administration of the TIF (tax increment financing) Program. The discussion after the presentation centered on the Cook County tax structure, the legality of inspecting the interior of multi -family units, and the future plans for the Village Hall property. Members of the Finance Commission congratulated Bill Cooney and his staff for their success in bringing new development to Mount Prospect. IV Adjourns ttt The meeting was adjourned at 11:30 p.m. The next meeting will be held on November 14, 1996. Respectfully submitted, � Carol L. Widmer Assistant Finance Director CLW/m VILLAGE OF MOUNT PROSPECT FINANCE DEPARTMENT INTEROFFICE MEMORANDUM TO: VILLAGE MANAGER MICHAEL E. JANONIS FROM: DIRECTOR OF FINANCE DATE: OCTOBER 18,1996 SUBJECT: BUDGET INFORMATION Attached is a revised version of the Budget Introduction. It should be put in place of the original version which appears between pages xvii and xxii in the proposed 1997 Annual Budget. Also attached are the presentation outlines and graphics which will support my discussion of revenues and the Finance Department budget for 1997 at the October 22 Committee of the Whole meeting. BRIAN W. CAPUTO attachments c: David Strahl, Assistant Village Manager Department Directors VILLAGE OF MOUNT PROSPECT 1997 BUDGET BUDGET INTRODUCTION The Budget Process Public officials generally recognize that the preparation and adoption of the annual budget is one of the most important duties they are charged with. However, the adoption of the budget is not an end in itself, but it is just one step in an ongoing process. The process encompasses an extended period of planning, review, and priority setting. When the budget is adopted, it then becomes the fiscal plan which spells out how services will be provided and community improvements will be achieved. After the budget is adopted, it also becomes a control mechanism by which to measure the resources expended to meet the approved objectives and to measure the adequacy of the fiscal plan. The current budget process in Mount Prospect formally starts in mid-August and concludes with adoption of the Budget Ordinance on the third Tuesday in December. A calendar identifying the specific dates for the 1997 calendar year budget and the tentative dates for the 1998 budget is included at the end of this section. Following is a description of the various phases of this budget process. The first stage is an information gathering stage. Requests for services or improve- ments are received from residents, community groups, elected officials and by Village administrators. The estimated costs of these requests along with the estimated costs for ongoing programs are determined and submitted by each operating department and division. These requests are compiled by the Finance Department and submitted to the Village Manager. The second stage is a priority setting stage. The Village Manager and Finance Director review the requests submitted with each department or division administrator and priorities are established. These priorities are then balanced with expected resources with the result being the Village Manager's proposed budget. The third stage is a policy setting stage whereby the Village Board reviews the proposed budget and establishes policies regarding revenue sources, tax levies and the level of services to be provided during the budget year. The review by the Village Board includes public work sessions as well as a formal public hearing. During this stage the proposed budget may be increased or decreased depending on the findings of the Village Board. The next step is legislative in which the Village Board formally adopts the final budget by Ordinance. The Village of Mount Prospect has adopted sections 5/8-2-9.1 through and including sections 5/8-2-9.10 of Chapter 65 of the Illinois Compiled Stat- utes providing for an annual municipal budget in lieu of the passage of an appropria- tion ordinance. Under these provisions the approved budget takes on a new meaning, because upon adoption, it becomes the authorization to expend funds in the new budget year. The Budget Ordinance must be adopted prior to the start of the fiscal year and filed with the County Clerk within 30 days of adoption. xvii The Budget Process does not end with the adoption of the Budget Ordinance, it actually marks the beginning of a new cycle. Services and programs will be evaluated, needs will be identified and then the formal process will begin again for the next year. During the budget year, the fiscal plan will be monitored and changes made as appropriate. When priorities change or unanticipated expenditures are required, the Finance Director is authorized to transfer budgeted amounts within a department or between departments within a fund. The Finance Director must notify the Village Manager in writing of interdepartmental transfers. Any revisions that increase the total expenditures of any fund must be approved by the Village Board of Trustees. Expenditures may not legally exceed budgeted appropriations at the fund level. The Budget Model Generally Accepted Accounting Principles (GAAP) and Illinois statutes require an Illinois municipality to account for revenues and expenditures on a "fund" basis. A fund is a separate accounting entity which is organized with a set of self -balancing accounts that comprise its assets, liabilities, fund equity, revenues, and expenses or expenditures. The General Fund, Motor Fuel Tax Fund and the Water and Sewer Fund are examples of Village funds. Fund accounting segregates funds according to their intended purpose and is used to aid management in demonstrating compliance with finance -related legal and contractual provisions. The Village uses the three following fund types: Governmental Funds are used to account for the Village's general governmental activities and include the General Fund, special revenue funds, debt service funds, and capital project funds. Governmental funds use the modified accrual basis of accounting whereby revenues are recognized when they are "measurable and available" and expenditures are recorded when the related fund liability is incurred. Proprietary Funds use the full accrual basis of accounting and include the enterprise funds ( Water and Sewer Fund and Parking Fund ) and internal service funds. Under the full accrual basis, revenues are recorded when earned and expenses are recorded at the time liabilities are incurred. Fiduciary Funds account for assets held by the Village in a trustee capacity or as an agent on behalf of others. Fiduciary funds include Village pension funds and are accounted on a full accrual basis. The budgets of the governmental funds are prepared on a modified accrual basis and the budgets of the proprietary funds and the fiduciary funds are prepared on a full accrual basis. With the exception of the treatment of depreciation, the budget basis is consistent with GAAP. Depreciation is not shown in the budget, although the full purchase price of capital expenditures is included. A reconciliation of this difference is provided in the Village's Comprehensive Annual Financial Report. Although the Village is required to account for revenues and expenditures on a fund basis, the fund structure is not necessarily the most appropriate model for reporting the delivery of services. Many authorities believe that a budget organized on the basis of "programs" is more meaningful. A program budget groups all the expenditures associated with a specific service, or program, regardless of the fund from which the resources are obtained. A true program budget includes actual expendi- tures for personnel, services and supplies as well as indirect expenditures or allocations for facilities, equipment, and administrative services. In actual practice there are a number of variations in the ways in which budgets are organized. These variations range from a fund line -item, or appropriation budget, to a true program budget as described above. The Village of Mount Prospect uses a "modified program budget" whereby services, or programs, are organized around a department or a division. A department or division is a unit that has been designated by management as a means for providing a specific service. The Village's Fire Department and Street Division of the Public Works Department are examples of these units of management. Thus the department or division is the way expenditure amounts are organized in the budget rather than around a fund structure. Under the Village's modified program budget structure, services or programs are designated within the departmental or divisional unit. Each program includes line -item costs which are categorized by personal services, employee benefits, contractual services, commodities and capital expenditures. All costs which can be reasonably identified with the program are included regardless of the source of funding. A summary page at the beginning of each budget expenditure section lists the program totals, expenditure category totals, the source of funding, and extraordinary increases or decreases. The Village complies with state and accounting mandated requirements to account for revenues and expenditures on the fund basis by identifying each line -item expenditure within a department or division with the fund that will provide the resources. These amounts are summarized at the beginning of each departmental or divisional section and then included as an overall fund total in the Budget Summaries Section. It should be noted that revenues are not departmentalized but are reported directly in the appropriate fund structure in the Revenues Section. As a result, the Village's Annual Budget fulfills legal reporting requirements as well as providing a meaningful way to present the costs associated with a service. The Budget Document The Budget document has been organized in such a way as to provide varying levels of detail to satisfy the information needs of Village residents, elected officials, advisory commission members, Village administrators and other persons interested in the fiscal plan of the Village. The Budget contains a Table of Contents which itemizes the general categories of information that are contained in the six sections identified by the gray tabs. The six sections are: Introduction, Budget Summaries, Revenues, Departmental Expenditures, Non -Departmental Expenditures and Appendix. Each section may be reviewed independently or certain sections may be used to expand on the information found in the Introduction or the Budget Summaries sections. A description of the information found in the six sections follows: Introduction - This section contains a list of Village officials, the Village Organization Chart, and the Village Manager's Budget Message. The Village Organization Chart provides an overview of the structure of Village government and the Village Manager's Budget xix Message is an essential first step in understanding the fiscal plan of the Village. It describes some of the accomplishments of the prior year and defines the goals for the coming year along with highlights of revenues and expenditures. The Budget Message sets the tone for how Village services and public improvements will be accomplished in the new fiscal year. Also included in the Introduction is a description of the Budget Process, the Budget Model, the Budget Document, the Distinguished Budget Award and a Budget Calendar. Budget Summaries - This section presents an overview of the fiscal plan for the coming year through graphics and schedules. The total Village budget is presented graphically and by a schedule which contains prior year actual figures, current year budget and estimated amounts, the proposed budget amounts and forecast amounts for the next year. More specific summary information is provided in a similar format for Revenues and Other Sources and Budget Expenditures. Additionally, similar schedules are presented for Revenues By Fund, Expenditures By Fund, and Available Fund Balances at the start and at the end of the budget year and the forecast year. This section also provides supplemental information regarding Authorized Positions, Personal Services, Property Taxes, Long -Term Debt, the results of the Park Ridge Survey of the cost of Municipal Services, and finally, a profile of the Village of Mount Prospect. Revenues - This section provides an explanation of revenue sources expected to finance the Budget along with a summary of revenues by category and a summary of revenues by fund. These summaries are followed by detail line -items that are totaled by category within a fund. The summary pages in this section are the same as the summary pages in the Budget Summaries Section. Departmental Expenditures - This section of the Budget contains specific information regarding each operating department, division and/or program. Each sub -section contains an organization chart, mission statement, accomplishments, objectives for the budget year, departmental activity, detail line -items totaled by expenditure classifications within a program, and supplemental summary information regarding the number of authorized employee positions, personal service costs, and capital expenditures. The specific pages are color -coded to help identify the information: blue is used for general information, black for budget line -items and brown for supplemental information. Each sub- section is complete in itself and the totals for each sub -section provide the basis for the totals in the Budget Summaries Section. Non -Departmental Expenditures - Expenditures which are not associated with an operating department or division are included in this section of the Budget. Capital Improvements, Debt Service, Pensions, Insurance and Contingencies and the Mount Prospect Library, a component unit, are the specific sub -sections included under Non -Departmental Expenditures. Generally the information in this section is similar to what is provided under Departmental Expenditures with the exception of the organization charts. Appendix - This section includes a copy of the Budget Ordinance and a Glossary of fiscal terminology that is unique to governmental finance and budgeting. For example, the terms XX revenues, expenditures, General Fund and available fund balance, along with many other fiscal terms are included in the Glossary. A user of the Budget who is looking for an overview or a general picture of the Village's pians for the coming year can usually find this information in the Introduction or the Budget Summaries sections of the Budget. A user who is interested in a more comprehensive picture, would be directed to the Revenue, Departmental Expenditures and/or Non -Departmental Expenditures sections along with the appropriate summary and supplemental information. Terminology in the Budget that may not be clear, generally will be found in the Glossary in the Appendix section of the Budget. After almost six months of planning and critical review, the Budget becomes the Fiscal Plan for the new budget year. However, just as other plans are subject to change the Village's fiscal plan (Budget) is subject to change during the year. Emergency situations, emerging needs, new opportunities and unforeseen obstacles may require a change in plans during the year. When these circumstances arise, appropriate action will be taken. If the change involves reassigning priorities within a fund, Village management is authorized to make these changes. If the change requires an expenditure that will exceed the amount appropriated for a specific fund, the Village Board will be requested to amend the budget. Thus the Budget is a dynamic plan that fulfills its purpose of providing the fiscal framework for providing services to Village residents during the budget year and serves as a basis to plan for the future. Introduction of a Capital Improvements Plan The Village of Mount Prospect will expand its 1998 budget process to include the formulation of a Capital Improvements Plan (CIP). The CIP will be the Village's multi-year, prioritized plan for meeting its needs for replacement, upgrade, and expansion of infrastructure and certain other long- lived, high-cost assets. Development of the CIP will precede work on the annual operating budget. Projects programmed for the first year of the CIP will be given special consideration for inclusion in the upcoming year's operating budget. Budget Award The Government Finance Officers Association of the United States and Canada (GFOA) presented an award for Distinguished Budget Presentation to the Village of Mount Prospect for its annual budget for the fiscal year beginning January 1, 1996. In order to receive this award a governmental unit must publish a budget document that meets program criteria as a policy document, as an operations guide, as a financial plan and as a communication device. The award is valid for a period of one year only. We believe our budget continues to conform to program requirements, and we are submitting it to the Government Finance Officers Association to determine its eligibility for another award. xxi n7 GOVERNMENT FINANCE OFFICERS ASSOCIATION i► Budget Presentat w*n Award PRESENTED TO Village of Mt. Prospect, Illinois For the Fiscal Year Beginning January 1, 1996 Presi"t YExecutive Director Presentation Outline * Department Functions • 1996 Accomplishments • 1997 Objectives Overall Department Budget Department Structure and Personnel • Village -Wide Computer Training Other Professional Services • New Accounting Software Finance Department 1 i 1 Functions • Recording and Reporting All Financial Transactions • Billing and Collecting Monies Due the Village • Cash Management • Preparing the Annual Municipal Budget • Preparing the Annual Financial Report • Financial Forecasting • Debt Administration • Managing the Insurance Program • Pension and Benefits Administration • Data Processing 19966� 11111111111111111111111111111111111111111111 Accomplishments GFOA distinguished Budget Presentation Award Coordinated $3,150,000 Bond Issue Developed Methodology for a Computer :Replacement Fund anssl puoq 000`OOS`Z$ ajtuipjoo3 ajuAtljoS 2upunoaaV etaN Iiuisul pun laalaS UCICI sjuaMaAo idcul pgjdn3 .maA-jj jnW n aandaad 2u ljoda, jniaunug, m aauapaaxg joj juacuaAaigaV jo aJuaUTPaa VOAD up qo pIUMV ja2pnq pagsinSupsi(j, VOAq ulnlgp saetzaafgO L661 VILLAGE OF MOUNT PROSPECT FINANCE DEPARTMENT Village Manager Finance Director Risk Executive Management Secretary Assistant Finance Director Data Processing Accounting Cuafbme[ So '- Division Division Division Data Processing Accounting Customer Service Supervisor Supervisor Supervisor Data Entry Accountant Account Clerks Operator (2) PC Specialist Account Clerks Switchborad Part Time (2) Part Time (2) Clerical Part Time (3) Deficiencies of Current Accounting Software • Running Errors • Poor Technical Support • Design Flaws • Unforgiving • Not User Friendly • Poor Documentation • Reports and Forms Report Writer is Difficult to Use • Limited Multi -Tasking • Not Compatible With G.I.S. • Accounting Limitations 1. barl r .. 3 LIZ= Presentation Outline 6 ;Budget Concept Is Budget Process • Revenues - Overall - Property Taxes - Sales Taxes - Home Rule Sales Taxes - Utility Taxes - Licenses, Permits, and Fees - State Income Tax - Motor Fuel Tax - Water & Sewer Charges - Internal Service Fees - Investment Income - Interfund Transfers - Bond Proceeds • Expenditures - Overall • Disaster Response Contingency Capital Improvements Flan Ill �` '" /` Budget Process 1. Distribution of Worksheets 2. Departments Submit Budget Requests 3. Village Manager Reviews and Revises 4. Village Manager Submits Proposed Budget 5. Proposed Budget Discussed by Finance Commission and Committee of the Whole 6. Village Board Adopts Budget 7. Budget Published �Revenues &' I!urc —1 Where Property Taxes Go VILLAGE OF MOUNT PROSPECT SALES TAX REVENUE 1987- 1997 VILLAGE OF MOUNT PROSPECT STATE INCOME TAX REVENUE 1987- 1997 Computer Replacement Fund Provide for Replacement of Computer Hardware • pease Payments • Useful Lives - PCs - 5 years - Monitors - 5 years - Printers - 7 years • Seed Money Expenditures COST OF MUNICIPAL SERVICES PER RESIDENT CITY OF PARK RIDGE SURVEY Average Cost COST OF MUNICIPAL SERVICES PER RESIDENT CITY OF PARK RIDGE SURVEY January 1996 1 Expenditures Rank Municipality Per Capita I Winnetka $1,577 2 Wilmette 1,464 3 Niles 1,158 4 Northbrook 1,104 5 Elmhurst 1,089 6 Skokie 1,017 7 Oak Park 1,015 8 Naperville 1,014 9 Schaumburg 1,004 10 Glenview 999 11 Arlington Heights 994 12 Downers Grove 936 13 Des Plaines 826 14 Park Ridge 766 15 Mount Prospect 757 IMEAN 1,048 �j Disaster Response Contingency 1. Allow the contingency to remain in General Fund fund balance. 2. Create a separate fund. 3. "designate" a portion of General Fund fund balance. Capital Improvements Plan Multi -Year, Prioritized flan Infrastructure and Other Long -Lived, High -Cost Assets C 1P Development Will Precede AnnualBudget Work