HomeMy WebLinkAbout3233_001COMMITTEE OF THE WHOLE
A G E N D A
Meeting Location: Meeting Date and Time:
Board Room, 2nd Floor Tuesday, September 14, 1982
112 East Northwest Highway 7:30 p.m.
I. CALL TO ORDER - ROLL CALL
II. ACCEPTANCE OF MINUTES OF AUGUST 24, 1982.
III- CITIZENS TO BE HEARD
IV. PRELIMINARY STAFF RECOMMENDATION REGARDING INSURANCE
At a previous meeting, the Mayor and Board of Trustees
instructed the staff to develop a recommendation regarding
our future participation in the Intergovernmental Risk
Management Agency. Our preliminary findings, described
in a memo from Mr. Hedstrom, which is attached, indicate
that we have saved money in the past by belonging to
IRMA and we predict that those savings will continue in
the future. The Board should take into consideration, in
making a decision about this matter, items other than purely
cost. For example, the safety programs developed by
IRMA and monitored on a continuing basis, are a significant
preventive measure that we have not received from private
market companies previously. Each community in IRMA is
rated annually as to its loss prevention techniques,
management's actual programs and policies to continue
loss prevention and the frequency and intensity of all
claims. Secondly, the Village is an active ..participant
in designing..and implementing the policy of the Agency.
We sit on the Board of Directors, have contact with the
Agency on each claim and ready access to its attorneys,
insurance professionals and Risk Manager. In my,pstimation,
our insurance program *process is as important as is
product; i.e., the end costs. After the Committee of
the Whole's initial review of this preliminary data, it
should be passed on to the Finance Commission for further
investigation and elaboration and returned to the Mayor
and Board for final action no later than the October 19
Village Board meeting. At that meeting, we should make
the formal decision as to whether or not we desire to
participate further in IRMA.
V. FUTURE WATER RATES -
At the last Village Board meeting, with the adoption of
the Ordinance calling for Special Service District #5,
the staff presented comparative costs and suggested
water rate increase proposals. The Board may recall
that 56% of our Agency costs would initially be placed
on the Property Tax through the Special Service District.
The remaining 44% of the costs would come from the water
and sewer bills. The Manager suggested that the Board
look at two alternate rate structures; the first being
fixed rates effective in May of 1983 at $2.10 per thousand.
That is a 47% increase over our current rates of $1.53. MENNEN=
The second rate structure dealt with staggered rates —
effective annually beginning in 1984. Attached to this, sEPTEMI
Agenda is a five-year budget projection for the water 198,
and sewer accounts assuming a rate of $2.10 per thousand
gallons.
Additionally, there is a sheet showing the annual Fund
balances, again based 'upon the rate of $2.10. The
fixed rate structure does provide some cash advantage
in the early years and would offer the Staff and the
Village the opportunity to better plan future expenses
qnd budgets. The staggered rate produces less cash in
the early years and a higher rate in the later years,
The staggered rate could ♦be accomplished by the adotin
of one Ordinance pofixing rates for the future
d or the Board
couladopt annual changes as the need arises, This
latter method introduces a degree of risk and annual
rate changes.
When the Water Agency floats the $110,000,000 Bond Issue,
we will have to demonstrate to the financial market our
commitment to raise sufficient revenues to pay both the
debt service and operating costs. The enactment of the
Special Service District covers debt service costs and
the enactment of water rate changes covers the operational
costs. In reviewing the Fund Balance Cash Statements,
the Board should be cautioned that a'significant amount
of that cash is in restricted accounts dictated by prior
Bond Ordinances of the Village. That is, some of those
funds cannot be used for operations, but must be reserved
for debt service and Bond coverages. Effectively, in
1985, those funds become somewhat unrestricted.
VI. VILLAGE REVENUES
At the last Village Board meeting, the staff was instructed
to keep this matter on the Committee of the Whole Agenda
to permit discussions regarding additional revenues,
Village expenditures and future fiscal management.
VII. MANAGER'S REPORT
1. Colony Country Townhomes
2. Cook County Housing Bonds Proposal
3. Status Reports
VIII -ANY OTHER BUSINESS
IX- ADJOURNMENT
DEFERRED ITEMS
Development Code Administrative Update
Management Salaries
Sign Ordinance
Library