Loading...
HomeMy WebLinkAbout10/28/2021 FC MinutesFINANCE COMMISSION MEETING MINUTES Thursday, October 28, 2021 Village Hall — 3 d Floor, Executive Conference Room 50 S. Emerson St., Mount Prospect, IL I. Call to Order Meeting called to order at 7:00 p.m. Commission members present: Kenneth Arndt, Yulia Bjekic, Trisha Chokshi, Vince Grochocinski and Tom Pekras Commission members absent: Pam Bazan and Don Ocwieja Staff present: Director of Finance Amit Thakkar, Assistant to the Director of Finance Jennifer Fitzgerald and Assistant to the Village of Manager Alexander Bertolucci 11. Approval of Minutes a. Commissioner Grochocinski, seconded by Commissioner Bjekic moved to approve the minutes of the Finance Commission regular meeting of August 26, 2021. Chair Chokshi called a voice vote. Motion passed unanimously. III. Citizens to be Heard None. IV. Old Business None. V. New Business a) Budget 2022 Director of Finance Amit Thakkar gave an overview of the proposed 2022 budget and property tax levy. Commissioners discussed the Joint Village Board and Finance Commission budget workshops. Mr. Thakkar provided additional information in response to questions and comments from the Finance Commission regarding the budget, community investment plan and property tax levy. • The property tax levy is in dollars, the 2021 levy amount is the same dollar amount as 2020 levy. Rate decreased from 1.11% to 0.978% as EAV generated from construction outside the TIF district is added to the base (tax burden for existing taxpayers decrease). • Taxes and fees are independent of each other. The $5 storm water fee would fund storm water infrastructure. The currently allocated '/4 percent of sale tax revenue is insufficient. Chicago increased water rates charged to JAWA. The Village is finished paying the fixed fee to JAWA related to expansion of 1-90. Burns and McDonald updated the Village's Water Rate Study and rate increases are still called to fund water main replacement on a 130 year cycle. $5 storm water fee is a starting point for a storm water utility and eventually a rate based on impervious surface or other factors will be analyzed. Until 2016, the Village collected $1.5 million from a special service property tax Finance Commission Page 1 of 3 10/28/2021 for properties receiving Village water. There was an offset property owners received when that levy was terminated. • Staff will review the 2023 budget schedule based on feedback received from the Commission, Village Board, and staff. • Simplicity was the reason for keeping the storm water fee flat. This fee will go into a separate flood control fund. There are deferred infrastructure projects that would benefit from this funding. For example, funding will not be available for McDonalds Creek Stabilization Project without a storm water fee. • 2022 Budget is approving the storm water fee concept. A separate ordinance would be needed to be create the fee. • The private improvements in the Fairview Gardens Footing Tile Disconnect project is the most cost effective solution and saves $5.5 million. • The $5 million American Rescue Plan (ARP) funds in the Village Administration budget is a placeholder. How the Village should utilize these funds will be finalized in 2022. Projects and personnel funded by the ARP are recommended based on needs/service requests. If needs are still present when ARP funding ends, then the General Fund will fund these projects and personnel. • Revenues from annexed areas fund the hiring of the six (6) firefighters. The 2020 U.S. Census reports that Mount Prospect's population is 56,852, a 5,000 increase over 2010. Motor fuel tax, income tax and use tax are distributed to municipalities based on per capita. Motion by Commissioner Grochocinski, second by Commissioner Pekras, to concur with the recommended of zero (0) percent property tax increase. Chair Chokshi called a voice vote. Motion passed unanimously. Motion by Commissioner Pekras, second by Commissioner Bjekic, to approve the 2022 operating and capital expenditures. Chair Chokshi called a voice vote. Motion passed unanimously. b) IGA— Elk Grove Rural Fire Protection District Director of Finance Amit Thakkar stated this item was placed on the agenda in anticipation of an expected action. However, the expected action has not occurred and a report will be sent to the Commission once developments occur. c) TIF Updates Director of Finance Amit Thakkar stated the annual Prospect and Main TIF Joint Review Board meeting would be scheduled for November. He provided an overview on the audited financials of the TIF District. Commission members discussed the TIF district's declared surplus. In addition, there was discussion on the dynamics and pros and cons of tax increment financing as a tool to encourage development. VI. Any Other Business None. Finance Commission Page 2 of 3 10/28/2021 VII. Chairman's Report None. VIII. Finance Director's Report Mr. Thakkar and commission members recognized Thomas Pekras for his years of service on the Finance Commission as this would be his last meeting as a Commissioner. Commissioner Pekras thanked the Village for giving him the opportunity to serve and to give back to the community. He thanked all the people who he has worked with, mayors, trustees, commissioners, and department heads. XI. Next Meeting: Commissioner Bjekic, seconded by Commissioner Grochocinski moved to approve to cancel the regular meetings of the Finance Commission schedule for November and December. Chair Chokshi called a voice vote. Motion passed unanimously. IX. Adjournment: Motion by Commissioner Bjekic, seconded by Commissioner Arndt, to adjourn the meeting. Chair Chokshi called a voice vote. Motion Carried unanimously. The meeting adjourned at 9:27 pm. Alexander Bertolucci Assistant to the Village Manager Finance Commission Page 3 of 3 10/28/2021