The URL can be used to link to this page

Home My WebLink About10/12/2021 VB MinutesVillage of Mount Prospect Joint Village Board and Finance Commission Workshop Minutes Tuesday, October 12, 2021 / 6:00 p.m. 1 CALL TO ORDER The meeting was called to order at 6:07 p.m. by Mayor Hoefert in the boardroom at Village Hall, 50 S. Emerson Street. 1.1 Roll Call - Village Board Members present upon roll call by the Village Clerk: Mayor Paul Hoefert, Trustee Agostino Filippone, Trustee Terri Gens, Trustee John Matuszak, Trustee Peggy Pissarreck, Trustee Richard Rogers and Trustee Colleen Saccotelli. None were absent. 1.2 Roll Call - Finance Commission Members present by roll call by Chair Trisha Chokski: Commissioner Ken Arndt, Commissioner Pam Bazan, Commissioner Yulia Bjekic, Commissioner Vince Grochocinski, and Commissioner Tom Pekras. Commissioner Don Ocwieja was absent. 2. CITIZENS TO BE HEARD None. 3 DISCUSSION ITEMS Village Manager Michael Cassady stated the purpose of this workshop is to provide an overview of the proposed 2022 Budget and five-year Community Investment Plan. He introduced Director of Finance Amit Thakkar to make the presentation. Mr. Thakkar began with a general description of budget philosophy and explained operating versus capital budgets and balanced versus deficit budgets. Mr. Thakkar presented the 2022 budget highlights: • A 0% property tax increase • A balanced budget (Operating Revenues are funding Operating Expenditures) • Total Revenues - $154,130,092 • Total Expenditures - $155,196,933; an increase of $17.7 million or 12.8% from the amended 2021 Budget • Funds all pension obligations and debt service payments for 2022 • Water/sewer rates increase by 8% per the 2017 Water Rate Study; Refuse rates increase by 3.5% 2 • A new Storm Sewer Utility Fee of $5.00 per month is proposed to provide $1 million in flood control and storm sewer projects • Addition of six firefighters to improve response time and services to South Mount Prospect • Additional social case worker; position funded from the American Rescue Plan Mr. Thakkar provided details regarding the proposed 2022 budget revenues totaling $154,130,092, representing a 12.4% increase over 2021. The increase was primarily the result of various grant revenues for capital projects. The 2022 budget includes various capital project grants totaling $15.5 million from the American Rescue Plan, Surface Transportation Program Grant (STP), Congestion Mitigation and Air Quality Grant (CMAQ), and other State Grants. The top sources of revenues include: • Intergovernmental revenue - 35% • Charges for services - 25% • Property taxes - 14% • Other financing sources - 13% • Other taxes - 9% • Licenses, Permits & Fees - 2% • All other revenues - 2% Mr. Thakkar provided the property tax distribution for 2020 based on the average home value ($330,000) in Mount Prospect. • Education - 67.2% • Culture/Recreation - 12.1% • Village - 10.3% • County - 5.5% • Other - 4.9% Mr. Thakkar introduced the new Storm Sewer Utility Fee of $5.00 each month per customer. This monthly fee, applied to each utility account, will generate approximately $1.0 million in revenue that will be dedicated for storm sewer and flood control projects. This fee will be paid by all the residents and businesses of the Village, whether they are on the Village's current water and sewer system or not. 2022 Budget Expenditures total $155,196,933 representing a 12.8% increase over 2021. Mr. Thakkar stated the increase is primarily the result of increased investments in water and sewer projects including $6.9 million in Rand -Central -MP Road Intersection Improvements and $5.5 million in Emergency Water Interconnect. Expenditures Distribution: Village Operating Budget: 58.4% Community Investment Program- 29.4% All other categories - 14.6% Interfund Transfers - 5% Mr. Thakkar introduced the Community Investment Plan (CIP) budget for 2022-2026 totaling at $151,978,841. Mr. Thakkar stated $45,560,681 will be invested in 2022. The CIP budget includes the following major categories for 2022: • Streets & Sidewalks: 33% • Utilities - 31% 3 • Public Buildings - 16% • Flood Control & Storm - 10% • All other categories - 10% Mr. Thakkar distinguished between the 2022 budget for recurring projects (water and sewer main replacement, street resurfacing) totaling $16.0 million and the budget for non-recurring projects totaling $30.0 million. Mr. Thakkar presented a 2022 Community Investment Plan overview by department: • Public Works: $38.1 million; 83% • Fire Department - $1.2 million; 3% • Police Department - $399,000; 1% • Village Manager's Office (including Human Resources, Village Clerk, Communications and • Information Technology) - $5.4 million; 12%. This includes $5 million from the American Rescue Plan for CIP qualified items • Finance Department - $10,000 • Community and Economic Development - $350,000; 1% Director of Public Works Sean Dorsey provided an overview of notable 2022 Capital expenditures. Mr. Dorsey responded to questions from the Village Board and Finance Commission. Public Works 2022 Proposed Operation Budget: $28 million, representing a decrease of 1.2% over 2021. Director of Public Works Sean Dorsey detailed the department's budget by division: • Administration - $1.7 million • Engineering - $2.0 million • Forestry and Grounds - $2.2million • Refuse - $5.0 million • Streets and Buildings - $4.1 million • Water & Sewer - $12.7 million • Vehicle Maintenance - $2.4 million Public Representation and Village Administration Assistant Village Manager Nellie Beckner presented the operating budgets for both Public Representation and Village Administration. Public Representation - $613,657, representing a 6.9% over 2021 • Contractual Services - $82% • Commodities & Supplies - 12% The majority of these funds support Village -sponsored events including the Summer Block Party, Celebration of Cultures, Fridays on the Green, 4th of July Parade and other community everts. The 2022 budget includes $50,000 for Diversity, Equity and Inclusion consultant services. Village Administration Proposed Operating Budget: $4,386,316 representing a 1.7% increase over 2021. Ms. Beckner discussed the department's goals and mission. 4 Ms. Beckner stated Village Administration includes the following divisions and provided details on each division's budget: • Village Manager's Office - $1.1 million • Legal Services - $623,800 • Village Clerk's Office - $193,060 • Human Resources - $600,000 • Information Technology - $1.2 million • Communications - $551,290 Ms. Beckner responded to questions from the Board and Finance Commission. Finance Department 2022 Proposed Operating Budget - $2.1 million representing 5.3% decrease over 2021 Mr. Thakkar presented the department's key initiatives and mission statement. Mr. Thakkar provided details of the 2022 budget for each division within the Finance Department: • Finance Administration - $808,929 • Accounting - $521,1396 • Customer Service Division - $794,839 Human Services 2022 Proposed Operation Budget - $1.9 million representing a 52% increase over 2021 due to the proposed increase in staff (Police social worker and conversion of part-time position to full-time) and programs funded from the American Rescue Plan ($420,000). Director of Human Services Julie Kane presented the department's 2021 highlights, social services and public services provided by the department. Ms. Kane broke down the Human Services' budget by division: • Administration - $299,700 • Social Services - $933,482 • Community Connections Center - $439,483 • Nursing/Health Services - $187,216 Ms. Kane answered questions from the Board and Finance Commission. Mr. Thakkar provided closing comments. Mr. Thakkar stated discussion regarding the 2022 Operating Budgets for the remaining departments will take place on October 26, 2021. Clerk's note: The Joint Village Board and Finance Commission workshop scheduled for October 26, 2021 was rescheduled and followed the Village Board meeting on October 19, 2021; the October 26, 2021 workshop was cancelled. 4 VILLAGE MANAGERS REPORT No report. 5 5 ANY OTHER BUSINESS Trisha Chokshi, member the the Downtown Merchants Association, thanked the volunteers and the Public Works department for helping make Oktoberfest and Fall Fest a success. 6 ADJOURNMENT There being no further business to discuss, by unanimous voice vote of the Village Board, the October 12, 2021 Joint Village Board and Finance Commission workshop adjourned at 9:08 p.m. Respectfully submitted, Karen M. Agoranos, Village Clerk 6