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Home My WebLink About4.1 Annual Report of the Audit Committee and Acceptance of the 2023 Annual Comprehensive Financial Report (Audit) for the Village of Mount ProspectM+awn �'xyt�lts�=e Item Cover Page Subject Annual Report of the Audit Committee and Acceptance of the 2023 Annual Comprehensive Financial Report (Audit) for the Village of Mount Prospect Meeting July 9, 2024 - /COMMITTEE OF THE WHOLE OF THE MOUNT PROSPECT VILLAGE BOARD Fiscal Impact (Y/N) Dollar Amount Budget Source Category MAYORS REPORT Type Action Item Information The Audit Committee has prepared its annual report on committee activities for the Village Board. A primary function of the Audit Committee is oversight of the annual audit process. The audit process for 2023 has concluded, and the Annual Comprehensive Financial Report (ACFR) has been provided to the Village Board for review and final acceptance. The Audit Committee Chair and Village staff will be available to present information and answer questions on the recently concluded audit process and 2023 ACFR. Please click here to view the 2023 ACFR Report. Discussion At the June 10, 2024, meeting, the Audit Committee met with Village staff and Don Shaw, the Audit Manager from Lauterbach & Amen, LLP in charge of the audit. Staff and the auditors made a presentation on the 2023 audit. Items discussed included the overall results of the audit, financial statements, audit opinions, and the management letter. The audit firm expressed a clean opinion on the Village's financial statements. It is the highest possible opinion a village can receive. This opinion means the financial statements present fairly, in all respects, the financial position for the year ended December 31, 2023, in accordance with generally accepted accounting principles. While the actual statement at the top of the page is much more detailed, it is the key statement from the audit firm demonstrating that they found no significant issues that impacted their overall determination on the accuracy of the Village's financial statements and position. $43.7 million of the General Fund's $52.6 Million in Reserve is unrestricted. The Village's General Fund reported remarkable growth in Intergovernmental Revenues. Sales tax, income tax, use tax, ambulance billing fees, and a few other outperforming revenues allowed the Village to add $4.3 million to the overall reserves of the General Fund. The actual surplus for 2023 is $14.8 million. The Village Board approved certain transfers of $13.4 million from the 2022 surplus. These transfers are booked as a 2023 expense for accounting purposes. • All Village Departments performed within their approved budgetary constraints and were reported under budget. • $43.7 million of the overall Governmental Activity Fund's $90.2 million balance is unrestricted. • $39.9 million of the overall Business Type Activity Fund's $56.2 million balance is invested in capital assets and infrastructures. • Police and Fire Pension Funds show a funded ratio of 57.3 percent and 59.2 percent, respectively. The unfunded liability totals $67 million for Police and $54.3 million for Fire. • The Committee also reviewed the audit firm's Management Letter and Auditor Communication to the Board that accompanied the audit report. The Management Letter tells whether there are any material weaknesses in internal control. The auditors did not report any material weaknesses in the internal control. • The 2023 management letter addressed the recommendation to implement two new upcoming GASB standards: o GASB Statement No. 100 - Accounting Changes and Errors Corrections and GASB Statement o GASB Statement No. 101 - Compensated Absences. These are new accounting standards applicable to the Village starting December 2024. Auditors informed the Audit Committee that they will work with staff to implement these standards during the audit for 2024. The ACFR also included the Certificate of Achievement for Excellence in Financial Reporting received from GFOA for the 2022 Audit. This marks the 30th consecutive year of the Village receiving this award. The Village has also submitted the 2023 audit for the award. The Village became a Triple Crown Winner by winning awards in all three categories. 1) Certificate of Achievement for Excellence in Financial Reporting, 2) Distinguished Budget Award, and 3) PAFR - Popular Annual Financial Reporting. The Village is among the 513 municipal towns nationwide to win all three awards. The Auditor also commended staff efforts. They were impressed with the amount of work performed ahead of their arrival. Each request was handled in a timely manner, and overall, our books were kept very neat and clean. Staff informed the Audit Committee that 2024 would be the final year with Lauterbach & Amen, LLP, and the Village has allowed a one-year extension while we carry out the RFP seeking a new audit firm. After discussion, the Audit Committee unanimously agreed to grant a one-year extension to the current auditors. Staff will publish RFP at the end of 2025, and the Audit Committee will review the responses and interview audit firms for the audit starting 1-1-2026. Alternatives 1. Accept the annual report of the Audit Committee and the Annual Comprehensive Financial Report for the Village for the year ended December 31, 2023. 2. Action at the discretion of the Village Board. Staff Recommendation Staff recommends acceptance of the annual report of the Audit Committee and the Annual Comprehensive Financial Report for the Village for the year ended December 31, 2023. Attachments 1. Mount Prospect ACFR 23 2. Mount Prospect Management Letter 23 3. Mount Prospect SAS 114 23 4. Annual Report Audit Committee - 2023 For the fiscal year ended VAIAMt • A& Annuat Comprehensive Financiat Report VILLAGE OF MOUNT PROSPECT, ILLINOIS ANNUAL COMPREHENSIVE FINANCIAL REPORT FOR THE FISCAL YEAR ENDED DECEMBER 31, 2023 Prepared by: Finance Department Amit R. ThaUd ar Director of Finance Jennifer Fitzgerald Deputy Director of Finance VILLAGE OF MOUNT PROSPECT, ILLINOIS TABLE OF CONTENTS INTRODUCTORY SECTION PAGE List of Principal Officials 1 Organizational Chart 2 Letter of Transmittal 3 Certificate of Achievement for Excellence in Financial Reporting 9 FINANCIAL SECTION INDEPENDENT AUDITOR'S REPORT 12 INDEPENDENT AUDITOR'S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENT PERFORMED IN ACCORDANCE WITH GOVERNMENTAL AUDITING STANDARDS 15 MANAGEMENT'S DISCUSSION AND ANALYSIS 18 BASIC FINANCIAL STATEMENTS Government -Wide Financial Statements Statement of Net Position 32 Statement of Activities 34 Fund Financial Statements Balance Sheet - Governmental Funds 36 Reconciliation of Total Governmental Fund Balance to the Statement of Net Position - Governmental Activities 38 Statement of Revenues, Expenditures and Changes in Fund Balances - Governmental Funds 40 Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances to the Statement of Activities - Governmental Activities 42 Statement of Net Position - Proprietary Funds 44 Statement of Revenues, Expenses, and Changes in Net Position - Proprietary Funds 46 Statement of Cash Flows - Proprietary 47 Statement of Fiduciary Net Position 48 Statement of Changes in Fiduciary Net Position 49 Notes to the Financial Statements 50 REQUIRED SUPPLEMENTARY INFORMATION Schedule of Employer Contributions Illinois Municipal Retirement Fund 102 Police Pension Fund 103 Firefighters' Pension Fund 104 VILLAGE OF MOUNT PROSPECT, ILLINOIS TABLE OF CONTENTS PAGE FINANCIAL SECTION - Continued REQUIRED SUPPLEMENTARY INFORMATION - Continued Schedule of Changes in the Employer's Net Pension Liability/(Asset) Illinois Municipal Retirement Fund 105 Police Pension Fund 107 Firefighters' Pension Fund 19 Schedule of Investment Returns Police Pension Fund III Firefighters' Pension Fund 112 Schedule of Changes in the Employer's Total OPEB Liability 124 Retiree Benefit Plan 113 Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual 140 General Fund 115 Prospect/Main TIF - Special Revenue Fund 116 OTHER SUPPLEMENTARY INFORMATION Governmental Funds Major Governmental Funds General Fund Schedule of Revenues - Budget and Actual 120 Schedule of Expenditures - Budget and Actual 123 Schedule of Detailed Expenditures - Budget and Actual 124 Debt Service Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual 140 Nonmajor Governmental Funds Combining Balance Sheet 143 Combining Statement of Revenues, Expenditures and Changes in Fund Balances 144 Nonmajor Special Revenue Funds Combining Balance Sheet 146 Combining Statement of Revenues, Expenditures and Changes in Fund Balances 148 Motor Fuel Tax - Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual 150 Schedule of Expenditures - Budget and Actual 151 Refuse Disposal - Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual 152 Schedule of Revenues - Budget and Actual 153 Community Development Block Grant - Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual 154 Asset Seizure - Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual 155 VILLAGE OF MOUNT PROSPECT, ILLINOIS TABLE OF CONTENTS FINANCIAL SECTION - Continued PAGE OTHER SUPPLEMENTARY INFORMATION - Continued Federal Equitable Share - Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual 156 DUI Fines - Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual 157 Foreign Fire Insurance - Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual 158 Business District - Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual 159 Pension Stabilization - Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual 160 SMP TIF - Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual 161 Economic Emergency - Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual 162 Nonmajor Capital Projects Funds Combining Balance Sheet 163 Combining Statement of Revenues, Expenditures and Changes in Fund Balances 164 Capital Improvement - Capital Projects Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual 165 Schedule of Expenditures - Budget and Actual 166 Flood Control Construction - Capital Projects Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual 167 Schedule of Expenditures - Budget and Actual 168 Street Improvement Construction - Capital Projects Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual 169 Proprietary Funds Enterprise Funds Water and Sewer Fund Schedule of Revenues, Expenses and Changes in Net Position - Budget and Actual 172 Schedule of Operating Revenues 173 Schedule of Operating Expenses - Budget and Actual 174 Nonmajor Enterprise Funds Combining Statement of Net Position 177 Combining Statement of Revenues, Expenses and Changes in Net Position 178 Combining Statement of Cash Flows 179 Parking System Revenue Fund Schedule of Revenues, Expenses and Changes in Net Position - Budget and Actual 180 Schedule of Operating Expenses - Budget and Actual 181 VILLAGE OF MOUNT PROSPECT, ILLINOIS TABLE OF CONTENTS FINANCIAL SECTION - Continued PAGE OTHER SUPPLEMENTARY INFORMATION - Continued 209 Village Parking System Fund Schedule of Revenues, Expenses and Changes in Net Position - Budget and Actual 182 Schedule of Operating Expenses - Budget and Actual 183 Internal Service Funds 213 Combining Statement of Net Position 186 Combining Statement of Revenues, Expenses and Changes in Net Position 188 Combining Statement of Cash Flows 190 Computer Replacement Fund 217 Schedule of Revenues, Expenses and Changes in Net Position - Budget and Actual 192 Schedule of Operating Expenses - Budget and Actual 193 Risk Management Fund Schedule of Revenues, Expenses and Changes in Net Position - Budget and Actual 194 Schedule of Operating Revenues 195 Schedule of Operating Expenses - Budget and Actual 196 Vehicle Replacement Fund Schedule of Revenues, Expenses and Changes in Net Position - Budget and Actual 197 Schedule of Operating Revenues 198 Schedule of Operating Expenses - Budget and Actual 199 Vehicle Maintenance Fund Schedule of Revenues, Expenses and Changes in Net Position - Budget and Actual 200 Schedule of Operating Revenues 201 Schedule of Operating Expenses - Budget and Actual 202 Fiduciary Funds Pension Trust Funds Combining Statement of Fiduciary Net Position 204 Combining Statement of Changes in Fiduciary Net Position 205 Consolidated Year -End Financial Report 206 SUPPLEMENTAL SCHEDULES General Long -Term Debt Long -Term Debt Payable by Governmental Funds 209 Long -Term Debt Requirements General Obligation Refunding Bonds of 2016A 211 General Obligation Bonds of 2017 212 General Obligation Bonds of 2018A 213 General Obligation Bonds of 2018B 214 General Obligation Bonds of 2019A 215 General Obligation Bonds of 2019B 216 General Obligation Bonds of 2022A 217 General Obligation Refunding Bonds of 2022B 218 VILLAGE OF MOUNT PROSPECT, ILLINOIS TABLE OF CONTENTS STATISTICAL SECTION (Unaudited) PAGE Net Position by Component - Last Ten Fiscal Years 221 Changes in Net Position - Last Ten Fiscal Years 223 Fund Balances of Governmental Funds - Last Ten Fiscal Years 225 Changes in Fund Balances of Governmental Funds - Last Ten Fiscal Years 227 Assessed Value and Actual Value of Taxable Property - Last Ten Tax Levy Years 229 Direct and Overlapping Property Tax Rates - Last Ten Tax Levy Years 231 Principal Property Tax Payers - Current Fiscal Year and Nine Fiscal Years Ago 233 Property Tax Levies and Collections - Last Ten Fiscal Years 234 Sales Taxes by Category - Last Ten Fiscal Years 235 Business District Sales Taxes by Category - Last Ten Fiscal Years 237 Home Rule Sales Taxes by Category - Last Ten Fiscal Years 239 Direct and Overlapping Sales Tax Rates - Last Ten Fiscal Years 241 Ratios of Outstanding Debt by Type - Last Ten Fiscal Years 242 Ratios of General Bonded Debt Outstanding - Last Ten Fiscal Years 243 Schedule of Direct and Overlapping Governmental Activities Debt 244 Schedule of Legal Debt Margin 245 Demographic and Economic Statistics - Last Ten Fiscal Years 246 Principal Employers - Current Fiscal Year and Nine Fiscal Years Ago 247 Full -Time Equivalent Employees by Function/Program - Last Ten Fiscal Years 249 Operating Indicators by Function/Program - Last Ten Fiscal Years 251 Capital Asset Statistics by Function/Program - Last Ten Fiscal Years 253 Additional Disclosures Required by SEC Rule 15c2-12 256 INTRODUCTORY SECTION This section includes miscellaneous data regarding the Village including: • List of Principal Officials • Organizational Chart • Letter of Transmittal • Certificate of Achievement for Excellence in Financial Reporting VILLAGE OF MOUNT PROSPECT, ILLINOIS Principal Officials December 31, 2023 Vincent Dante Terri Gens John J. Matuszak LEGISLATIVE Mayor Paul Wm. Hoefert Trustees ADMINISTRATION Michael J. Cassady, Village Manager Alexander D. Bertolucci, Assistant Village Manager Karen Agoranos, Village Clerk Amit R. Thakkar, Director of Finance/Treasurer Jason C. Shallcross, Director of Community Development William M. Schroeder, Director of Building and Inspection Services Julie K. Kane, Director of Human Services Michael Eterno, Chief of Police John Dolan, Fire Chief Sean P. Dorsey, Director of Public Works 1 Agostino S. Filippone WIlliam Grossi Colleen E. Saccotelli VILLAGE OF MOUNT PROSPECT, ILLINOIS Organizational Structure Electorate Village Board Mayor Six Trustees Elected At Large Fire Pension Police Pension Board Board Village Manager H I I Fire & Police Foreign Fire Village Finance CommissionersInsurance Tax Administration W Department H Board I I Community Human Services Development Department Department Ifl Police Fire Department Department R] Public Works Department 2 6 .911, 1 OR No Finance Economic Development Commission Commission Transportation Planning & Safety Zoning Commission Commission Special EventsAudit Committee Commission H MAYOR Paul wrrw. Hoefeirt TRUSTEES "Vincent J. Pante Agostino S. Filippone herd Denis William A. Crossi John J. MatUszak Colleen E. Saccotelli May 9, 2024 NMI iM • ' " The Honorable Paul W. Hoefert, Village President Members of the Board of Trustees Village Manager Michael J. Cassady, and Citizens of the Village of Mount Prospect, Illinois VILLAGE MANAGER Michael ]. Cassady Phone: 847/392-6009 Fax: 847/392-6022 www.rnountprospect.org The Annual Comprehensive Financial Report of the Village of Mount Prospect, Illinois for the fiscal year ended December 31, 2023, is submitted herewith. The report consists of management's representations concerning the finances of the Village of Mount Prospect. Responsibility for both the accuracy of the data and the completeness and fairness of the presentation, including all disclosures, rests with the Village. To provide a reasonable basis for making these representations, the management of the Village has established a comprehensive internal control framework that is designed both to protect the government's assets from loss, theft or misuse and to compile sufficient reliable information for the preparation of the Village of Mount Prospect's financial statements in conformity with Generally Accepted Accounting Principles (GAAP). Because the cost of internal controls should not outweigh their benefits, the Village's comprehensive framework on internal controls has been designed to provide reasonable rather than absolute assurance that the financial statements will be free from material misstatement. The Village has implemented GASB Statement No. 34, Basic Financial Statements - and Management Discussion and Analysis - for state and local governments, including infrastructure reporting. As management, we assert that, to the best of our knowledge and belief, this financial report is complete and reliable in all material respects. The Village's financial statements have been audited by Lauterbach & Amen, LLP, a firm of licensed certified public accountants. The goal of the independent audit is to provide reasonable assurance that the financial statements of the Village of Mount Prospect for the year ended December 31, 2023, are free from material misstatement. The independent audit involved examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements; assessing the accounting principles used and significant estimates made by management; and evaluating the overall financial statement presentation. The independent auditor concluded based upon their audit that there was a reasonable basis for rendering an unmodified opinion that the Village's financial statements for the fiscal year ended December 31, 2023, are fairly presented in conformity with GAAP. The independent auditor's report is presented as the first component of the financial section of this report. GAAP requires that management provide a narrative introduction, overview, and analysis to accompany the basic financial statements in the form of Management's Discussion and Analysis (MD&A). This letter of transmittal is designed to complement the MD&A and should be read in conjunction with it. The Village's MD&A can be found immediately following the report of the independent auditors. 3 Profile of the Village of Mount Prospect The Village of Mount Prospect, a home rule community as defined by the Illinois Constitution, was incorporated on February 3, 1917, and is located 23 miles northwest from downtown Chicago in Cook County. The Village currently has land area of 10.8 square miles and a population of 56,852 (2020 Census). The Village operates under the Council/Manager form of government. Policymaking and legislative authority are vested in the Village Board, which consists of a Mayor, and six -member Board of Trustees. The Village Board is responsible for, among other things, passing ordinances, adopting the budget, appointing committee members and hiring the Village Manager. The Village Manager is responsible for carrying out the policies and ordinances of the Village Board, overseeing the day-to-day operations of the Village, and appointing the heads of the Village's departments. The Board is elected on a non-partisan basis. Board members are elected to four-year staggered terms with three Board members elected every two years. The Mayor is elected to a four-year term. The Mayor and Village Trustees are elected at large. The Village provides a full range of services including police, fire, public works (including water and sewer), human services, finance, community development and communication (television) services. The annual budget serves as the foundation for the Village's financial planning and control. All departments of the Village are required to submit their budget requests to the Finance Director by mid-July each year. Revenue estimates are completed by the Finance Department in preparation for departmental budget reviews with the Village Manager and Finance Director in early August. Initial budget requests are compiled by the end of August. A proposed budget is prepared and delivered to the Village Board and Finance Commission at the end of September. The proposed budget is also made available for public inspection in the Village Clerk's Office, on the Village website and at the Mount Prospect Public Library. A series of workshops are held with members of the Village Board and Finance Commission in October and November. The Finance Commission also meets separately with staff in October. The Village Board is required to hold a public hearing on the proposed budget and to adopt a final budget no later than December 31 st of each year, the close of the Village's previous budget year. The budget is prepared by fund and by department. Expense cost centers are created within departments giving a true picture of the cost of providing a particular service (e.g., Police Department Investigations). Budget amendments require approval of the Village Board. Budget -to -actual comparisons are provided for each individual governmental fund for which an appropriated annual budget has been adopted. For the General Corporate Fund and major special revenue funds, this comparison is presented in the required supplementary information. For governmental funds, other than the General Corporate Fund and major special revenue funds, with appropriated annual budgets, this comparison is presented in the non -major governmental fund subsection of this report. Major initiatives The Village staff, following directives of the Village Board and the Village Manager, has been involved in a variety of projects throughout the year - projects which reflect initiatives found in the Village's Strategic Plan and a commitment to ensuring its citizens are able to live and work in an enviable environment. Below is a list of the more significant accomplishments and initiatives that address various goals identified for 2023. • Fund Balance Policy: The Village recently revised its fund balance policy. The previous policy recommended a fund balance between 20 and 30 percent for the General Fund. The revised policy now recommends a fund balance between 30 and 50 percent, with a target fund balance of 40 percent. As of December 31, 2023, the unassigned fund balance was 52 percent of the annual expenditures. The fund balance is a vital indicator of the Village's robust financial health. • Economic Emergency Fund: The Village initiated an Economic Emergency Fund in 2023. The Fund is designed to handle short-term uncertainties and economic emergencies. In 2023, the Village funded the Economic Emergency Fund with $6.5 million from the General Fund surplus from the year 2022. The Village is planning to fund a second installment of $6.5 million from the 2023 surplus. Once funded with the second installment, the fund will hold two months' worth operating expenses for the General Fund. 0 • HQ Residence Project: The Village entered into a TIF redevelopment agreement with T2 Capital Management, LLC to demolish and redevelop its old Police and Fire HQ building. The redevelopment is named HQ Residence and will have 6 -storey 88 luxury rental units and 3,500 sq. ft. of retail space. The project is expected to be completed in 2025. The Village received $2.0 million from the sale of old Police and Fire HQ buildings in 2022. Cloud HQ: The old United Airlines HQ campus in the Village of Mount Prospect was bought by a well- known cloud/data center construction and management company called Cloud HQ. Cloud HQ will be building a 1.8 million sq. ft. data center and investing $2.5 billion in the Village of Mount Prospect. The project is expected to bring over 1,000 construction jobs and upon completion, the job site will employ more than 450 full-time engineers, security, and maintenance personnel. The project is crucial for the Village and is expected to bring significant revenues from property and utility taxes. A groundbreaking ceremony was hosted by Cloud HQ in 2022, and the first data center building is expected to open in 2025-2026. Currently, ComEd is building a substation with 252 megawatts to support the data center operations. • Sidewalk Policy & Program: The Village successfully implemented various strategies to repair the sidewalks and have mitigated over 2,000 vertical offsets in the Village's sidewalk network. • Streetlights Program: The Village completed the conversion of 80 streetlights to LED fixtures, reducing energy usage on Central Road. • Traffic Control on Major Corridors: The Village completed Phase II engineering for the Rand Road/ Central Road/Mount Prospect Road intersection. The Village also started Phase II engineering for the Rand Road/Kensington Road/Route 83 intersection. • American Rescue Plan: The Village will be deploying $5.3 million from the American Rescue Plan toward an interconnect project with the Northwest Water Commission. The project will provide a backup source for the water supply. An intergovernmental agreement was approved by the Village Board in 2022, and the project is expected to be completed by December 2024. The Village is also deploying $900,000 toward a gravity sewer project at Fairview Garden and the project is expected to be completed in 2024. • South Mount Prospect TIF: The Village successfully established its South Mount Prospect Tax Increment Financing District in 2022. The Tax Increment Financing District is expected to generate significant increments supporting the infrastructure needs of the Village within the TIF district in the coming years. The Cloud HQ data center project will be one of the main projects creating incremental value for the TIF district. In the first year (2023), the South Mount Prospect TIF generated $2.0 million in the TIF increment. • Triple Crown Winner: GFOA's Triple Crown recognizes governments who have received GFOA's Certificate of Achievement for Excellence in Financial Reporting, Popular Annual Financial Reporting Award, and the Distinguished Budget Presentation Award. The Village of Mount Prospect received such a prestigious status by winning all three awards. There are 571 towns that received this status throughout the nation and the Village is proud to be on that list. • Revenue Outperformance: The Village's General Fund revenues have outperformed significantly. The Village has seen a significant increase in its intergovernmental revenues from the State of Illinois. This item is discussed in detail in the Management Discussion and Analysis section. • Elimination of Vehicle Sticker Program: The Village suspended the vehicle sticker program in 2023. The Village permanently eliminated the vehicle sticker program during the 2024 budget approval process. The Village will now use sales tax revenues to replace $1.3 million in lost vehicle sticker revenues. Collective Bargaining Agreement: In 2023, The Village negotiated and settled a five-year collecting bargaining agreement with IUOE Operating Engineers 150. The new agreement brings 40 Public Works employees to the Village's health insurance plan. Previously, these employees were covered by union health insurance (insurance costs were paid by the Village). Having these employees on the Village's insurance plan presents an opportunity to control health insurance costs. Now, Public Works union employees contribute toward the health insurance plans and the overall increase in the health insurance costs is better controlled for the Village's insurance plan than the union health insurance plan. The Village also settled a three-year agreement with MAP for police patrol in 2023 and for a sergeants' collective bargaining agreement in 2024. Please refer to the Strategic Plan tab of the 2024 Annual Budget document for a complete listing of major initiatives and accomplishments. All Departments continue to perform exceptionally well by delivering high quality services to our residents and business community. Initiatives included in the Village's strategic plan have provided a focus for these services. The Village's Annual Budget and Audit Documents were again recognized for their clarity and usability by the GFOA, and Mount Prospect was recognized as a Tree City U.S.A. for the 39"' consecutive year. Factors Affecting Financial Condition The information presented in the financial statements is perhaps best understood when it is considered from the broader perspective of the specific environment within which the Village operates. Local economy. The Village continues to benefit from growth in the local economy. Several factors influence the economy of a specific community, and various measures are used to gauge the economic outlook. Perhaps four of the most objective measures are the level of retail sales, the employment level of the community, income levels in the community and building activity. In Illinois, sales tax is allocated based on the point-of-sale and accordingly represents the sales in the community. Total state sales tax received during the calendar year ended December 31, 2023, were $34.9 million compared to $31.1 million for the previous year, an increase of 12.2 percent. The Village of Mount Prospect represents the fifth largest center of economic development in the State of Illinois. The economic segment generating the most sales tax contains products with inelastic demand, which protects the Village's sales tax revenue. Besides that, the 2020 Census data reflected an increase of 2,685 in the Village's population. The newly added population counts have resulted in additional per capita allocation from the State of Illinois (income tax, motor fuel tax, and use tax). In addition, the Village's median household income has increased to $100,526 from $92,477. This increase in the median household income and a solid financial position make the Village a perfect candidate for AAA bond ratings in the near future. The global economy experienced a relatively inflationary environment in 2023. The inflation index CPI -U recorded a 40 -year high mark in June 2022 at 9.1 percent. Since then, inflation has decreased, but not to the expected level. The current inflation rate, labor shortage, supply chain issues, global uncertainties, market conditions and certain other external factors are affecting the regional economy, and the Village is not an exception to these impacts. The Village is in a strong financial position and has no immediate concern about any short-term impacts of these factors. However, staff is evaluating the long-term impacts of these factors and working to create an improvised financial plan that can provide sustainable and long-term support for the Village's operations. The Village Administration started an Economic Emergency Fund in FY 2023 and funded the same with $6.5 million from the 2022 surplus. The Administration proposes to fund the second installment of $6.5 million in 2024. Conservative budget practices, robust internal controls, and strong fiscal policies and measures have created the Village's strong financial position. The Village is divided mainly between Elk Grove Township and Wheeling Township, and a small portion is within the jurisdiction of Maine Township. In the most recent triennial assessment of 2022, the Village gained $325 million in its equalized assessed value for the tax year 2022, payable in 2023. The total equalized assessed value is now $2.17 billion. Due to increased assessed values, the Village's property tax rate has decreased to 0.942, 10.7 percent from the previous rate. Mount Prospect's average unemployment rate during 2023 was 2.9%. The unemployment rate slightly decreased from the prior year (3.1% in 2022). The average unemployment rate for Cook County for 2023 was 4.0%, while the same for the State of Illinois was 4.7%. Mount Prospect's median family income of $100,526 as of July 1, 2022 (per the census.gov data) was 28.4% higher than the median for Cook County ($78,304) and 28.9% higher than the median for the State of Illinois ($78,020). The Village is strategically located in the middle of a thriving economic activity center for the Midwest region of our country. It is close to major interstate highways, including I-90 and 1-294, while its proximity to O'Hare International Airport makes the Village's location a prime spot. The Village's commercial and industrial real estate has a very low vacancy rate. Despite certain economic challenges, the Village's revenues have performed consistently due to a substantial and diversified tax base. The United Airlines HQ Campus was bought by Cloud HQ in December 2021. Cloud HQ is building a 1.8 million sq. ft. data center and is investing $2.5 billion in the Village of Mount Prospect. The Chicago Bears (NFL team) recently announced the possibility of making Arlington Heights Racecourse their new home; the Village of Mount Prospect Village Hall is approximately 5 miles away. The Bears will possibly be building an NFL stadium along with mixed -used space. This project is expected to generate significant opportunities for all the surrounding towns including the Village of Mount Prospect. The Village of Mount Prospect downtown is still seeing significant investments from private developers and the Prospect & Main TTF district has made many major projects possible. The South Mount Prospect TIF is also expected to perform well and provide significant funding for the infrastructure improvements within the TIF district. Long-term financial planning. In 2003, the Village conducted its first long-range financial planning workshop. The workshop's goal was to put the Village's financial condition back on firm ground so as not to overburden residents and businesses from a tax standpoint or reduce the scope and quality of municipal services that would jeopardize the livability and curb appeal of the community. The Village has continued this process since 2003 and has regularly conducted annual financial planning and budgeting workshops. During FY 2022, the Village also conducted its first Citizens' Summit, received feedback on its current strategic planning, and explored various ideas. During workshops in 2023, Village staff discussed the prior year's unaudited and audited results, quarterly financial performances, and major items of interest. Two additional tools have been developed to manage the Village's long-range finances. The first is a Five -Year Community Investment Program that outlines the major capital expenditure/project initiatives of the Village over the next five years and identifies funding sources. Over the next five years (2024-2028), the Village has identified $166.5 million in water and sewer, flood control, street, public building, equipment, and other miscellaneous capital projects. The second is the Village Strategic Plan for 2023-2024, which was completed around mid -2023. The strategic plan provides the mission, vision, goals for vision attainment, and the organization's strategic action plan. An implementation guide was developed in August 2023, using the goals identified in the Strategic Plan. This implementation guide provides the objectives, short-term challenges and opportunities, and action items to be taken to accomplish the goals of the Village. Action items were prioritized as top or high priority by the Village Board and fall into three categories: Policy Agenda, Management Agenda, and Management in Progress. The implementation guide is updated annually, reflecting work completed and changing priorities. Funding initiatives identified in the strategic plan are prioritized during the budget process. Awards. The Government Finance Officers Association of the United States and Canada (GFOA) awarded a Certificate of Achievement for Excellence in Financial Reporting to the Village of Mount Prospect for its comprehensive annual financial report for the year ending December 31, 2022. The Certificate of Achievement is a prestigious national award recognizing conformance with the highest standards for preparation of state and local government financial reports. To be awarded a Certificate of Achievement, a governmental unit must publish an easily readable and efficiently organized Comprehensive Annual Financial Report and its contents must conform to program standards. Such reports must satisfy both generally accepted accounting principles and applicable legal requirements. A Certificate of Achievement is valid for a period of only one year. The Village of Mount Prospect has received Certificates of Achievement since 1983. It is believed that the current report continues to conform to the Certificate of Achievement program requirements and will be submitted to GFOA for evaluation. 7 In addition, the Village of Mount Prospect also received the Government Finance Officers Association's Award for Distinguished Budget Presentation for its annual budget for the fiscal year beginning January 1, 2023, and ending December 31, 2023. To qualify for the Distinguished Budget Presentation 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 communications device. The Village of Mount Prospect has received this award each year since 1994. The Village is awaiting word regarding the Budget Award for its 2024 Budget document. Acknowledgments The preparation of this report on a timely basis could not have been accomplished without the efficient and dedicated services of the entire staff of the Finance Department. I would like to express special appreciation to Jennifer Fitzgerald - Deputy Finance Director, Accountants Rumiana Nihtianova and Terri Atienza, and our AP and Risk Coordinator - Mike Grochocki, who contributed significantly to its preparation. Additionally, I would like to acknowledge the Mayor, the Board of Trustees, the Finance Commission, the Audit Committee, and the Village Manager for their leadership and support in planning and conducting the financial affairs of the Village in a fiscally responsible and sustainable manner. Respectfully submitted, 1 6 - ;R Z� �zl Amit R. Thakkar Finance Director Government Finance Officers Association Certificate of Achievement for Excellence in Financial Reporting Presented to Village of Mount Prospect Illinois For its Annual Comprehensive Financial Report For the Fiscal Year Ended December 31, 2022 Executive Director/CEO 0 FINANCIAL SECTION This section includes: Independent Auditor's Reports Management's Discussion and Analysis Basic Financial Statements Required Supplementary Information Other Supplementary Information Supplemental Schedules 10 INDEPENDENT AUDITOR'S REPORTS This section includes the opinion of the Village's independent auditing firm. 11 668 N. RIVER ROAD • NAPERVILLE, ILLINOIS IINOIS 60563 PHONE: 630.393 1483 • FAX 630.393 251 5 www.laxiteirba-a(,,~txi ieii.r,oin7 CERTIFIED PUBI.AC; ACCOUNTANTS INDEPENDENT AUDITOR'S REPORT May 9, 2024 The Honorable Mayor Members of the Board of Trustees Village of Mount Prospect, Illinois Report on the Audit of the Financial Statements Opinion We have audited the accompanying financial statements of the governmental activities, the business -type activities, each major fund, and the aggregate remaining fund information of the Village of Mount Prospect (the Village), Illinois, as of and for the year ended December 31, 2023, and the related notes to the financial statements, which collectively comprise the Village's basic financial statements as listed in the table of contents. In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, the business -type activities, each major fund, and the aggregate remaining fund information of the Village of Mount Prospect, Illinois, as of December 31, 2023, and the respective changes in financial position, and, where applicable, cash flows thereof for the year then ended in accordance with accounting principles generally accepted in the United States of America. Basis fon Opinions We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of the Village, and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions. Responsibilities of Management for the Financial Statements Management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America, and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the Village's ability to continue as a going concern for twelve months beyond the financial statement date, including any currently known information that may raise substantial doubt shortly thereafter 12 Village of Mount Prospect, Illinois May 9, 2024 Auditor's Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinions. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with generally accepted auditing standards will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements. In performing an audit in accordance with generally accepted auditing standards and Government Auditing Standards, we: • Exercise professional judgment and maintain professional skepticism throughout the audit. • Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. • Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Village's internal control. Accordingly, no such opinion is expressed. • Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements. • Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the Village's ability to continue as a going concern for a reasonable period of time. We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control -related matters that we identified during the audit. Required Supplementary Information Accounting principles generally accepted in the United States of America require that the management's discussion and analysis, the budgetary comparison schedules, and supplementary pension and other post -employment benefit (OPEB) schedules, as listed in the table of contents, be presented to supplement the basic financial statements. Such information is the responsibility of management and, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board, who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management's responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. 13 Village of Mount Prospect, Illinois May 9, 2024 Supplementary Information Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the Village of Mount Prospect, Illinois' basic financial statements. The other supplementary information and supplemental schedules are presented for purposes of additional analysis and are not a required part of the basic financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the basic financial statements. The information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, other supplementary information and supplemental schedules are fairly stated, in all material respects, in relation to the basic financial statements as a whole. Other Information Management is responsible for the other information included in the annual report. The other information comprises the introductory and statistical sections but does not include the basic financial statements and our auditor's report thereon. Our opinions on the basic financial statements do not cover the other information, and we do not express an opinion or any form of assurance thereon. In connection with our audit of the basic financial statements, our responsibility is to read the other information and consider whether a material inconsistency exists between the other information and the basic financial statements, or the other information otherwise appears to be materially misstated. If, based on the work performed, we conclude that an uncorrected material misstatement of the other information exists, we are required to describe it in our report. Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated May 9, 2024, on our consideration of the Village's internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the Village's internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the Village's internal control over financial reporting and compliance. & AM", . z;) LAUTERBACH & AMEN, LLP 14 668 N. RIVER ROAD • NAPERVILLE, ILLINOIS IINOIS 60563 PHONE: 630.393 1483 • FAX 630.393 251 5 www.laxiteirba-a(,,~txi ieii.r,oin7 CERTIFIED PUBI.AC; ACCOUNTANTS INDEPENDENT AUDITOR'S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENTAL AUDITING STANDARDS May 9, 2024 The Honorable Mayor Members of the Board of Trustees Village of Mount Prospect, Illinois We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of the governmental activities, the business - type activities, each major fund, and the aggregate remaining fund information of the Village of Mount Prospect (the Village), Illinois, as of and for the year ended December 31, 2023, and the related notes to the financial statements, which collectively comprise the Village's basic financial statements, and have issued our report thereon dated May 9, 2024. Report on Internal Control Over Financial Reporting In planning and performing our audit of the financial statements, we considered the Village's internal control over financial reporting (internal control) as a basis for designing audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the Village's internal control. Accordingly, we do not express an opinion on the effectiveness of the Village's internal control. A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements, on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the Village's financial statements will not be prevented, or detected and corrected, on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance. Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or, significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses or significant deficiencies may exist that were not identified. Report on Compliance and Other Matters As part of obtaining reasonable assurance about whether the Village's financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the financial statements. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards. 15 Village of Mount Prospect, Illinois May 9, 2024 Purpose of this Report The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the Village's internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the Village's internal control and compliance. Accordingly, this communication is not suitable for any other purpose. & AM", . z;) LAUTERBACH & AMEN, LLP 16 MANAGEMENT'S DISCUSSION AND ANALYSIS 17 VILLAGE OF MOUNT PROSPECT, ILLINOIS MANAGEMENT'S DISCUSSION AND ANALYSIS For the Fiscal Year Ended December 31, 2023 The Village of Mount Prospect (the "Village") Management's Discussion and Analysis is designed to (1) assist the reader in focusing on significant issues, (2) provide an overview of the Village's financial activity, (3) identify changes in the Village's financial position (its ability to address the next and subsequent year challenges), (4) identify any material deviations from the financial plan (the approved budget), and (5) identify individual fund issues or concerns. Since the Management's Discussion and Analysis (MD&A) is designed to focus on the current year's activities, resulting changes and currently known facts, please read it in conjunction with the Transmittal Letter, and the Village's financial statements. USING THE FINANCIAL SECTION OF THIS ANNUAL COMPREHENSIVE FINANCIAL REPORT The primary focus of local governmental financial statements had been to summarize fund type information on a current financial resource basis. This approach was modified by Governmental Accounting Standards Board (GASB) Statement No. 34. As a result, these financial statements now present two kinds of statements, each with a different snapshot of the Village's finances. The financial statement's focus under GASB Statement No. 34 is on both the Village as a whole (government -wide) and on the major individual funds. Both perspectives (government -wide and major fund) allow the user to address relevant questions, broaden a basis for comparison (year to year or government to government) and enhance the Village's accountability. Government -Wide Financial Statements The government -wide financial statements are designed to be corporate -like in that all of the governmental and business -type activities are consolidated into columns that add to a total for the Primary Government. The focus of the Statement of Net Position (the "Unrestricted Net Position") is designed to be similar to bottom line results for the Village and its governmental and business -type activities. This statement combines and consolidates the governmental fund's current financial resources (short-term spendable resources) with capital assets and long- term obligations using the accrual basis of accounting and economic resources measurement focus. The Statement of Activities is focused on both the gross and net cost of various activities (including governmental and business -type), which are supported by the government's general taxes and other resources. This is intended to summarize and simplify the user's analysis of the cost of various governmental services and/or subsidy to various business -type activities. The governmental activities reflect the Village's basic services, including police, fire, public works, and administration. Property taxes, sales and income taxes and local utility taxes finance the majority of these services. The business -type activities reflect private sector type operations (water, sewer, and parking operations), where the fee for service typically covers all or most of the cost of operation, including depreciation. Fund Financial Statements Traditional users of governmental financial statements will find the Fund Financial Statements presentation more familiar. The focus is on major funds rather than (the previous model's) fund types. The Governmental Major Fund presentation is organized on a sources and uses of liquid resources basis. This is the manner in which the financial plan (the budget) is typically developed. The flow and availability of liquid resources is a clear and appropriate focus of any analysis of a government. Funds are established for various purposes and the Fund Financial Statement allows the demonstration of sources and uses and/or budgeting compliance associated therewith. (See independent auditor's report) 18 VILLAGE OF MOUNT PROSPECT, ILLINOIS MANAGEMENT'S DISCUSSION AND ANALYSIS (Continued) The Fund Financial Statements also allow the government to address its Fiduciary Funds (Pension Trust). While these funds represent trust responsibilities of the government, these assets are restricted in purpose and do not represent discretionary assets of the government. Therefore, these assets are not presented as part of the Government -Wide Financial Statements. While the Business -type Activities column on the Proprietary Fund Financial Statements is the same as the Business -type column on the Government -Wide Financial Statement, the Governmental Funds total column requires a reconciliation because of the different measurement focus (current financial resources versus total economic resources) which is reflected on the page following each statement. The flow of current financial resources will reflect bond proceeds and interfund transfers as other financial sources or uses, as well as capital expenditures and bond principal payments as expenditures. The reconciliation will eliminate these transactions and incorporate the capital assets and long-term obligation (bonds and others) into the Governmental Activities column (in the government -wide statements). Infrastructure Assets Historically, a government's largest group of assets (infrastructure - i.e., roads, bridges, storm sewers, etc.) have not been reported nor depreciated in governmental financial statements. GASB Statement No. 34 requires that these assets be valued and reported within the Governmental Activities column of the Government -wide Statements. Additionally, the government must elect to either (1) depreciate these assets over their estimated useful life or (2) develop a system of asset management designed to maintain the service delivery potential to near perpetuity. If the government develops the asset management system (the modified approach), which periodically (at least every third year), by category, measures and demonstrates its maintenance of locally established levels of service standards, the government may record its cost of maintenance in lieu of depreciation. The Village of Mount Prospect has chosen to depreciate assets over their useful life. If a road project is considered maintenance - a recurring cost that does not extend the road's original useful life or expand its capacity - the cost of the project will be expensed. An "overlay" of a road will be considered maintenance whereas a "rebuild" of a road will be capitalized. GOVERNMENT -WIDE STATEMENTS Statement of Net Position The Village's combined net position for the primary government increased from $39.1 million to $67.0 million. The net increase of $28.0 million is mainly attributable to intergovernmental revenues including state sales tax, income tax, use tax, ambulance billing fees and government grants, as well as under budget performance by all Village Departments. The net position for governmental activities is $10.8 million, while the net position for the business -type activities is $56.2 million. Table 1 reflects the condensed Statement of Net Position. For more detailed information see the Statement of Net Position in the basic financial statements. (This space is intentionally left blank.) (See independent auditor's report) 19 VILLAGE OF MOUNT PROSPECT, ILLINOIS MANAGEMENT'S DISCUSSION AND ANALYSIS (Continued) Table 1 Statement of Net Position As of December 31, 2023 (in millions) Current and Other Assets Capital Assets Total Assets Deferred Outflows of Resources Total Assets and Deferred Outflows of Resources Current Liabilities Noncurrent Liabilities Total Liabilities Deferred Inflows of Resources Total Liabilities and Deferred Inflows of Resources Net Position Net Investment in Capital Assets Restricted Unrestricted (Deficit) Total Net Position Governmental Activities Business -Type Activities Totals 2023 2022 2023 2022 2023 2022 $ 145.7 124.4 133.1 118.7 25.4 60.8 31.0 51.8 171.1 185.1 164.2 170.5 270.1 37.5 251.9 42.7 86.2 2.4 82.8 1.4 356.2 39.9 334.7 44.1 307.6 294.6 88.6 84.2 396.1 378.8 20.1 249.5 19.4 249.4 2.6 29.2 2.3 28.9 22.7 278.7 21.7 278.3 269.6 27.1 268.8 37.0 31.8 0.6 31.3 2.7 301.4 27.7 300.0 39.7 296.7 305.8 32.4 34.0 329.1 339.7 51.2 42.4 39.9 29.0 91.2 71.4 17.6 8.8 17.6 8.8 (58.0) (62.4) 16.3 21.2 (41.7) (41.1) 10.8 (11.1) 56.2 50.2 67.1 39.1 (Note: There may be some slight differences in totals due to rounding.) Normal Impacts There are six basic (normal) transactions that will affect the comparability of the Statement of Net Position summary presentation. Net results of activities - which will impact (increase/decrease) current assets and unrestricted net position. Borrowingfor or capital - which will increase current assets and long-term debt. Spending borrowed proceeds on new capital - which will reduce current assets and increase capital assets. There is a second impact, an increase in invested in capital assets and an increase in related net debt which will not change the invested in capital assets, net of debt. Spending of non -borrowed current assets on new capital - which will (a) reduce current assets and increase capital assets and (b) will reduce unrestricted net position and increase invested in capital assets, net of debt. Principal payment on debt - which will (a) reduce current assets and reduce long-term debt and (b) reduce unrestricted net position and increase invested in capital assets, net of debt. Reduction of capital assets through depreciation - which will reduce capital assets and invested in capital assets, net of debt. (See independent auditor's report) 20 VILLAGE OF MOUNT PROSPECT, ILLINOIS MANAGEMENT'S DISCUSSION AND ANALYSIS (Continued) Current Year Impacts Governmental activities net position increased by $21.9 million and the business -type activities net position increased by $6.0 million. The governmental activities total assets and deferred outflows increased by $12.9 million and the governmental activities total liabilities and deferred inflows decreased by $9.1 million, of which $0.1 million of decreases are attributable to the increases in the noncurrent liabilities and $9.9 million of decreases in the deferred inflows of resources, mainly due to changes in the IMRF Pension related items. The total assets increased by $18.1 million in governmental activities. Of this amount, $12.5 million is due to an increase in the current and other assets and $5.6 million in attributable to an increase in the capital assets. The decrease in deferred outflows of $5.3 million for the governmental activities was due to increases in the pension -related items for Police, Fire and IMRF pension funds. The net position of the business -type activities increased by $6.0 million. The increase in total net position is mainly attributable to the current surplus of revenues over expenses. The business -type activities total assets and deferred outflows increased by $4.4 million and the business -type activities total liabilities and deferred inflows decreased by $1.6 million. The current assets decreased by $5.7 million, mainly attributable to the use of unspent bond proceeds in 2023 for the appropriate projects. The business -type capital assets increased by $9.0 million. The liabilities for business -type activities increased from $31.3 million to $31.8 million. The noncurrent liabilities increased by $0.2 million, mainly due to increases in the pension -related items for IMRF pension funds. Changes in Net Position The Village's combined change in net position for the primary government in 2023 was an increase of $28.0 million versus an increase of $23.4 million in 2022. Activities for the governmental activities saw an increase in net position of $21.9 million from 2022, while activities for the business -type funds saw an increase in net position of $6.0 million from 2022. The following chart lists the revenues and expenses for the current and prior fiscal years. Table 2 focuses on the changes in net position of the governmental and business -type activities. (This space in intentionally left blank.) (See independent auditor's report) 21 VILLAGE OF MOUNT PROSPECT, ILLINOIS MANAGEMENT'S DISCUSSION AND ANALYSIS (Continued) Table 2 Change in Net Position For the Year Ended on December 31, 2023 (in millions) Governmental Business -Type Activities Activities 2023 2022 2023 2022 Revenues Program Revenues Charges for Services Operating Grants/Contributions Capital Grants/Contributions General Revenues Property Taxes Utility Taxes Business District Taxes Sales/Use Taxes Income Taxes Other Taxes American Rescue Plan Act Investment Income Other Totals 2023 2022 S 12.0 13.1 20.8 19.0 32.8 32.2 2.9 3.4 2.9 3.4 25.9 20.4 25.9 20.4 2.9 3.2 2.9 3.2 0.3 0.3 0.3 0.3 44.6 40.9 44.6 40.9 9.1 9.3 9.1 9.3 5.4 6.1 5.4 6.1 1.2 0.1 1.2 0.1 4.4 0.6 1.2 0.4 5.6 0.9 0.9 (0.2) 1.0 0.1 1.8 (0.1) 109.6 97.2 23.0 19.5 132.5 116.7 Expenses General Government 7.8 7.3 7.8 7.3 Public Safety 51.3 44.9 51.3 44.9 Highways and Streets 15.5 14.1 15.5 14.1 Health 5.3 5.0 5.3 5.0 Welfare 2.2 1.7 2.2 1.7 Culture and Recreation 0.4 0.3 0.4 0.3 Interest on Long -Term Debt 5.2 5.2 5.2 5.2 Water and Sewer 16.7 14.6 16.7 14.6 Parking 0.2 0.2 0.2 0.2 87.7 78.5 16.9 14.8 104.6 93.3 Change in Net Position 21.9 18.7 6.1 4.7 27.9 23.4 Net Position - Beginning (11.1) (29.8) 50.2 45.5 39.1 15.7 Net Position - Ending 10.8 (11.1) 56.3 50.2 67.0 39.1 (Note: There may be some slight differences in totals due to rounding.) (See independent auditor's report) 22 VILLAGE OF MOUNT PROSPECT, ILLINOIS MANAGEMENT'S DISCUSSION AND ANALYSIS (Continued) Normal Impacts There are eight basic impacts on revenues and expenses and are reflected below. Revenues: Economic condition - This can reflect a declining, stable or growing economic environment and has a substantial impact on state income, sales and utility tax revenue as well as public spending habits for building permits, elective user fees and volumes of consumption. Increase/decrease in Village approved rates - While certain tax rates are set by statute, the Village Board has significant authority to impose and periodically increase/decrease rates (water, sewer, licenses and fees, home rule sales tax, utility taxes, etc.). Changing patterns in intergovernmental and grant revenue (both recurring and non-recurring) - Certain recurring revenues (state shared revenues, etc.) may experience significant changes periodically while non- recurring (or one-time) grants are less predictable and often distorting in their impact on year-to-year comparisons. Market impacts on investment income - The Village's investment portfolio is managed using a short-term average maturity and the market condition may cause investment income to fluctuate less than alternative longer-term options. Expenses: Introduction of new programs - Within the functional expense categories (Public Safety, Highways and Streets, General Government, etc.) individual programs may be added or deleted to meet changing community needs or unfunded mandates from other governmental levels. Increase/Decrease in authorized personnel - Changes in service demand may cause the Village Board to increase/decrease authorized staffing levels. Staffing costs (salary and related benefits) represent approximately 42.0% of the Village's total budget. Salary increases (annual adjustments and merit) - The ability to attract and retain human and intellectual resources requires the Village to strive for a competitive salary range position in the marketplace. In addition, the Village has four separate bargaining units representing various segments of the employee population. Inflation - There is a higher rate environment and the inflation was at a forty -year high mark in 2022. Since then, inflation has decreased but not to the expected level. The Village's budget and financial plan is flexible to accommodate any short-term impacts on inflation. The Village is a major consumer of certain commodities, supplies, fuels and parts and the cost of these commodities and supplies has increased due to high inflation. CURRENT YEAR IMPACTS Governmental Activities Revenue: Total revenues for the Village's Governmental Activities for 2023 were $109.6 million. The year 2023 was challenging due to the uncertain economic environment, but the Village revenues, especially intergovernmental revenues, were stronger than usual. The Village collected an all-time high state sales tax. The sales and use tax revenue totaled $44.6 million, an increase of $3.5 million compared to 2022 revenues totaling $40.9 million. The income tax collection totaled $9.1 million, a decrease of $0.2 million compared to the 2022 collection of $9.3 million. Other taxes totaled $5.4 million for the year, a decrease of $0.7 million, mainly attributable to the lower collection of real estate transfer taxes (due to lower volume of real estate transactions). The Village collected $25.9 million in property tax payments, an increase of $5.5 million due to strong performances from the Village's TIF districts. Overall, the Village recognized revenues totaling $109.6 million, an increase of $12.4 million compared to 2022 revenues totaling $97.2 million. (See independent auditor's report) 23 VILLAGE OF MOUNT PROSPECT, ILLINOIS MANAGEMENT'S DISCUSSION AND ANALYSIS (Continued) Governmental Activities (cont.) Expenses: Total expenses for the Village's Governmental Activities for 2023 were $87.7 million. Public Safety, which includes Police and Fire, accounts for the largest portion of governmental expenses. Total Public Safety expenses in 2023 were $51.3 million, an increase of $6.4 million from 2022. The increase in the expenses is mainly attributable to the personnel, pension costs, and depreciation expenses for the new Police and Fire Headquarters. Expenses for Highways and Streets, which are made up of the Public Works divisions (excluding water and sewer), is the second largest category of governmental expenses totaling $15.5 million. The General Government expenses totaled $7.8 million, an increase of $0.5 million from the prior year. This increase of $0.5 million is mainly attributable to the cost -of -living adjustments for employee wages, contractual increases, and other inflationary increases for operating expenses. Business -Type Activities Revenues: Total revenues for the Village's Business -Type Activities for 2023 were $23.0 million. Business -type activities in the Village consist of Water and Sewer Operations and Parking Operations. Charges for service annually account for the largest share of revenue for business -type activities. Of the $23.0 million generated in 2023, $20.7 million is from water sales and sewer fees and charges, $0.2 million is from parking operations. Increased water and sewer rates contributed to the higher revenues for the Water and Sewer Operations. The Village also collected $1.2 million in investment income, an increase of $0.8 million from 2022. Expenses: Total expenses for the Village's Business -Type Activities for 2023 were $17.0 million. Of the total expenses for business -type activities, $16.7 million is attributable to Water and Sewer while $0.2 million is attributable to parking operations. $7.4 million in Water and Sewer Fund expenses were for the acquisition of water through the Northwest Suburban Municipal Joint Action Water Agency (JAWA). FINANCIAL ANALYSIS OF THE VILLAGE'S GENERAL FUND The General Fund is the Village's primary operating fund. It supports a majority of the day-to-day services delivered to its residences and businesses. The fund balance of the General Fund saw an increase of $4.3 million in 2023 from $48.2 million to $52.6 million. In 2023, the General Fund revenues came in over the approved 2023 budget. The Village earned $82.6 in General Fund revenues against the approved budget of $82.3. The final Village budget had anticipated a decrease in the General Fund's fund balance of $2.5 million; however, due to underbudget expenditures and outperforming revenues, the increase in the fund balance was $4.3 million. Out of the total fund balance of $52.6 million, $8.5 million is considered assigned fund balance for various projects and items per the approved redevelopment agreement. During the year 2023, the income tax revenue outperformed by $1.6 million, and the use tax outperformed by $0.2 million, and the sales tax also underperformed by $0.7 million compared to the original budget. The revised budget was adjusted to reflect the outperforming revenues. The interest income also outperformed by $2.3 million compared to the original budget. The revised budget was adjusted to reflect the outperforming revenues. The largest revenue source for the General Fund for the fiscal year 2023 was the intergovernmental revenues, totaling $41.8 million, while the property taxes totaled $18.1 million. (See independent auditor's report) 24 VILLAGE OF MOUNT PROSPECT, ILLINOIS MANAGEMENT'S DISCUSSION AND ANALYSIS (Continued) The licenses and permit fees came in right on budget and totaled $2.8 million. Charges for services outperformed by $0.5 million, mainly due to additional ambulance billing fees revenue collected from the Ground Emergency Medical Transport program. From the American Rescue Plan grant collected in 2021 and 2022, $1.2 million was recognized during the year 2023. The remaining amount will be recognized as revenue during the year 2024. General Fund Budgeting Highlights During 2023, the Village amended the general fund budget one time. Table 3 below reflects the original and revised budget and the actual revenues and expenditures for the General Fund. Table 3 General Fund Budgetary Changes For the Fiscal Year Ended December 31, 2023 (in millions) Original Final Budget Budget Actual Revenues and Other Financing Sources Taxes Intergovernmental Other Total Revenues and Other Financing Sources Expenditures and Other Financing Uses Expenditures Transfers Out Total Expenditures and Other Financing Uses Change in Fund Balance Other Major Funds $ 24.9 30.3 30.8 45.2 42.6 41.8 6.4 9.3 10.1 76.5 82.3 82.6 65.2 65.9 64.0 11.4 18.9 14.3 76.5 84.8 78.3 0.0 (2.5) 4.3 (Note: There may be some slight differences in totals due to rounding.) There are two (2) other Major Funds for Fiscal Year ended December 31, 2023. These two Funds are 1) Prospect and Main TIF Fund and 2) Debt Service Fund. Prospect and Main TIF - This special revenue type TIF Fund is used to account for the resources to acquire property and construct certain improvements in the Prospect/Main Tax Incremental Financing District. Financing is being provided by incremental property taxes, general obligation bond proceeds, and investment income. Total revenues for 2023 were $3.5 million, while the total revenues for 2022 were $1.3 million. The total expenditures for 2023 were $3.4 million, of which $1.8 million was used for capital outlay items and $1.3 million was used for the debt service payments. (See independent auditor's report) 25 VILLAGE OF MOUNT PROSPECT, ILLINOIS MANAGEMENT'S DISCUSSION AND ANALYSIS (Continued) Other Major Funds - Continued Debt Service - This Fund is used to accumulate monies for the payment of principal and interest on general obligation bonds and other borrowings. Total revenues for 2023 were $3.5 million, a decrease of $2.1 million from the prior year. Of this total revenue amount, $2.2 million was from property taxes $0.9 million was from state sales taxes, and $0.3 million was from other taxes. Total expenditures for 2023 were $4.5 million, a decrease of $1.9 from the prior year, mainly due to a refunding of the 2013 series general obligation bonds in the prior year and having no such refunding in 2023. Ending fund balance increased by $0.2 million to $1.3 million. Capital Assets At the end of 2023, the Village had a combined total of $185.1 million invested in a broad range of capital assets including Village facilities, roads, bridges, water/sewer lines and machinery and equipment (see Table 4 below). Table 4 Capital Assets at Year End Net of Depreciation (in millions) (Note: There may be some slight differences in totals due to rounding.) This amount represents a net increase (including additions and deletions) of $14.6 million from 2022. The following reconciliation in Table 5 summarizes the changes in Capital Assets. (This space in intentionally left blank.) (See independent auditor's report) 26 Governmental Business -Type Activities Activities Totals 2023 2022 2023 2022 2023 2022 Land $ 15.9 15.3 17.3 17.3 33.2 32.6 Construction in Progress 5.2 2.5 1.2 3.6 6.4 6.1 Buildings 59.6 60.6 1.2 1.2 60.8 61.8 Improvements Other than Buildings 1.0 1.0 1.0 1.0 Vehicles 4.2 4.2 4.2 4.2 Machinery and Equipment 3.8 4.1 1.0 1.1 4.8 5.2 Infrastructure 34.6 31.0 40.1 28.6 74.7 59.6 124.4 118.7 60.8 51.8 185.1 170.5 (Note: There may be some slight differences in totals due to rounding.) This amount represents a net increase (including additions and deletions) of $14.6 million from 2022. The following reconciliation in Table 5 summarizes the changes in Capital Assets. (This space in intentionally left blank.) (See independent auditor's report) 26 VILLAGE OF MOUNT PROSPECT, ILLINOIS MANAGEMENT'S DISCUSSION AND ANALYSIS (Continued) Table 5 Change in Capital Assets (in millions) Governmental Business -Type Activities Activities Totals Beginning Balance $ 118.7 51.8 170.5 Additions Depreciable 6.5 9.0 15.5 Nondepreciable 4.3 1.1 5.4 Retirements Depreciable (0.7) (0.4) (1.1) Depreciation (5.1) (1.1) (6.2) Retirement 0.6 0.4 1.0 Ending Balance 124.3 60.8 185.1 (Note: There may be some slight differences in totals due to rounding.) Table 5 above shows the change in capital assets during 2023. This year's major additions to the capital assets include the following (in millions): Governmental Activities Land - $0.6 Various construction projects in -progress - $3.7 Buildings - $0.5 Vehicles for Public Safety, Public Works and Village Fleet - $0.2 Purchases of various machinery & equipment - $0.3 Infrastructure Improvements - $5.6 Business -Type Activities Various construction projects in -progress - $1.1 Infrastructure Improvements - $9.0 More detailed information on capital asset activity can be found in Note 3 of the notes to the financial statements. (See independent auditor's report) 27 VILLAGE OF MOUNT PROSPECT, ILLINOIS MANAGEMENT'S DISCUSSION AND ANALYSIS (Continued) Debt Outstanding The Village of Mount Prospect had total long-term debt and loans payable of $285.5 million as of December 31, 2023. Of this amount, $255.4 is governmental activities and $30.1 is business -type activities. Long-term debt is comprised of general obligation debt, compensated absences to employees, total OPEB liability, notes payable, claims and judgements, and net pension liabilities for Police, Fire, and IMRF. Pension liability for police and fire decreased by $(5.3) million. The compensated absences had a net increase of $0.4 million, while the total OPEB (Other Post Employment Benefit) liability increased by $0.8 million. Decreases in long term debt include the retirement of $3.9 million (net of retirement of $3.9 million) in general obligation debt. The Village of Mount Prospect maintains an AA+ rating from Standard and Poor's. As a home rule authority, the Village of Mount Prospect does not have a legal debt limit. More detailed information on long-term debt activity can be found in Note 3 of the notes to the financial statements. Economic Factors and Next Year's Budget The Village's main operating General Fund held a strong cash and fund balance position as of December 31, 2023. The Village revised its fund balance policy in 2023. The new policy recommends that the Village maintain its fund balance between 30 and 50 percent of its annual budget. As of December 31, 2023, the unassigned fund balance stood at $43.7 million, representing 51.8 percent of the annual General Fund expenditures. Additionally, the Village has pledged and set aside $8.5 million for various projects and items. This $8.5 million is reported as an assigned fund balance for the General Fund. The assignment of fund balance is established for debt services, pension stabilization, TIF redevelopment, and capital projects. The General Fund reported $4.3 million in surplus for the year 2023. This surplus is after executing certain approved transfers from the 2022 surplus. However, these transfers from the General Fund are executed in 2023; for accounting purposes, these transfers are accounted as expenditures for 2023. In the absence of these transfers (conceptually funded from the 2022 surplus), the General Fund would report a surplus of $14.1 million for the year 2023. The Village also initiated an Economic Emergency Fund and funded it with $6.5 million from the 2022 General Fund surplus. The Fund will serve the Village in the long run by helping it deal with economic uncertainties and emergencies. The Village is expected to fund a second installment of $6.5 million in 2024. The Village gained population in the most recent census of 2020. The Village's official population stands at 56,852 and reflects an increase of 2,685 from the previous census. The added population is helping the Village obtain more per capita revenues from the State of Illinois. The Village gets motor fuel tax, income tax, and use tax from the State of Illinois on a per capita basis. The Village has seen significant growth in its income tax revenues in recent years. The State of Illinois currently shares 6.16 percent of the individual income tax and 6.85 percent of the corporate income tax with local municipal governments. The amount is reduced from its original allocation of 10 percent during the last decade. However, the Village is hopeful that with efforts from the Illinois Municipal League and other agencies, the LGDF (local government distributive fund) may increase in the coming years. Conservative approaches to estimating revenue and strong expenditure management by the various departments have allowed the Village to achieve strong financial health and fund balance. Continuing challenges in 2023 and beyond to include a reduction in revenue due to state budgetary issues, inflation, supply -chain issues, rising personnel and employee benefits costs, public safety pension costs, unfunded mandates, and legislative changes that restrain home -rule powers and Village's ability to control certain taxes and regulations. Recently, the proposed state budget included the elimination of grocery tax. If approved, the Village will lose $875,000 in annual grocery taxes for perpetuity. (See independent auditor's report) 28 VILLAGE OF MOUNT PROSPECT, ILLINOIS MANAGEMENT'S DISCUSSION AND ANALYSIS (Continued) In 2022, the Village's pension fund lost a sizable amount in unrealized investment losses. 2023 was a good year, and both pension funds recouped some of the unrealized losses in investment values. The public safety pension fund reported net investment income of $20.6 million and a net change in the fiduciary position of $17.6 million. The pension funding ratio for the Police Pension Fund has increased from 54.3 percent to 57.3 percent, while the Fire Pension Fund has increased from 54.6 percent to 59.2 percent. The Village has two Tax Increment Financing Districts, and both outperformed their tax increment forecast. The Prospect & Main TIF District reported a tax increment of $3.4 million, while the South Mount Prospect TIF District reported a tax increment of $2.0 million in its first year. There are several successful projects completed within Prospect & Main TIF District, and a few are still under construction, including HQ Residence and Maple Street Loft - Dawson Building. The South Mount Prospect TIF District includes an under -construction data center by Cloud HQ, representing $2.5 billion in investments from the private sector. The utility taxes to be generated from the Cloud HQ project will provide a great revenue diversification, and tax increments from this project will allow the Village to conduct various infrastructure improvement projects in South Mount Prospect. ComEd started building a new substation with 243 megawatts as part of the project in 2023. The Village's average unemployment for 2023 was 2.9 percent. This is below the state and national unemployment rates of 4.7 percent and 3.7 percent, respectively. The Village is mainly divided between Elk Grove Township and Wheeling Township, with a small portion within Maine Township. 2022 was the year of triennial assessments, and the data was reported in late 2023. Cook County data reported an increase of $325.1 million or 17.6 percent in the Village's equalized assessed value. The 2024 (amended) budget totals $180.1 million, an increase of 12.6% from the amended 2023 Budget. The General Fund marginally decreased by $352,792, or 0.4%, from the prior year. Of the total $180.1 million budget, the operating budget totals $90.9 million, and the Community Investment Program (capital improvement plan) totals $49.2 million. The carryover budget items from 2023 to 2024 totaling $13.8 million (for various capital projects in progress) are the main reason for an increase in the budget for 2024. In prior years, the village received $7.0 million in the American Rescue Plan. This amount is classified as deferred revenue and recognized as revenue in alignment with incurred expenditures for assigned projects. The Village has recognized $1.3 million in the American Rescue Plan grant; the remaining amount will be recognized in 2024. The Village is investing $6.2 million in water and sewer infrastructure projects from the American Rescue Plan grant. The Village's financial health and cash position are strong. The Village does not anticipate any short-term concerns; its financial position can handle short to medium term uncertainties and emergencies. The Village Board and Administration are committed to its strategic planning, and the Village Administration works diligently to carry out action items from its strategic planning. The Village's strong financial health results from a robust local economy, a fiscally responsible Village Board and Administration, and a talented team of employees. Request for Information This financial report is designed to provide a general overview of the Village of Mount Prospect's finances for all those with an interest in the government's finances. Questions concerning any of the information provided in this report or requests for additional financial information should be addressed to Amit Thakkar, Director of Finance/ Treasurer, Village of Mount Prospect, 50 South Emerson St, Mount Prospect, IL 60056. (See independent auditor's report) 29 BASIC FINANCIAL STATEMENTS The basic financial Statements include integrated sets of financial statements as required by the GASB. The sets of statements include: • Government -Wide Financial Statements • Fund Financial Statements Governmental Funds Proprietary Funds Fiduciary Funds In addition, the notes to the financial statements are included to provide information that is essential to a user's understanding of the basic financial statements. 30 VILLAGE OF MOUNT PROSPECT, ILLINOIS Statement of Net Position December 31, 2023 See Following Page 31 VILLAGE OF MOUNT PROSPECT, ILLINOIS Statement of Net Position December 31, 2023 ASSETS Current Assets Cash and Cash Equivalents Receivables - Net of Allowances Due from Other Governments Deposits - Insurance Prepaids/Inventories Total Current Assets Noncurrent Assets Capital Assets Nondepreciable Depreciable Accumulated Depreciation Total Capital Assets Other Assets Deposits - Insurance Equity Interest in Joint Venture Total Other Assets Total Noncurrent Assets Total Assets DEFERRED OUTFLOWS OF RESOURCES Deferred Items - IMRF Deferred Items - Police Pension Deferred Items - Firefighters' Pension Deferred Items - RBP Unamortized Asset Retirement Obligation Loss on Refunding Total Deferred Outflows of Resources Total Assets and Deferred Outflows of Resources Primary Government Governmental Business -Type Activities Activities Totals $ 104,082,363 22,394,277 126,476,640 34,792,336 2,292,812 37,085,148 1,145,857 932 1,146,789 3,514,594 — 3,514,594 829,447 202,263 1,031,710 144,364,597 24,890,284 169,254,881 21,143,481 18,548,245 39,691,726 212,566,248 66,942,532 279,508,780 (109,345,748) (24,709,409) (134,055,157) 124,363,981 60,781,368 185,145,349 1,311,858 — 1,311,858 — 464,034 464,034 1,311,858 464,034 1,775,892 125,675,839 61,245,402 186,921,241 270,040,436 86,135,686 356,176,122 8,128,184 1,526,259 9,654,443 16,190,440 — 16,190,440 10,319,773 — 10,319,773 2,561,633 208,879 2,770,512 — 712,500 712,500 271,145 — 271,145 37,471,175 2,447,638 39,918,813 307,511,611 88,583,324 396,094,935 The notes to the financial statements are an integral part of this statement. 32 LIABILITIES Current Liabilities Accounts Payable Accrued Payroll Retainage Payable Due to Other Governments Accrued Interest Payable Other Payables Current Portion of Long -Term Liabilities Compensated Absences Payable Claims Payable General Obligation Bonds Payable - Net Business District Limited Tax Note Payable Total Current Liabilities Noncurrent Liabilities Compensated Absences Payable Claims Payable Net Pension Liability - IMRF Net Pension Liability - Police Pension Net Pension Liability - Firefighters' Pension Total OPEB Liability - RBP Asset Retirement Obligation General Obligation Bonds Payable - Net Business District Limited Tax Note Payable Total Noncurrent Liabilities Total Liabilities DEFERRED INFLOWS OF RESOURCES Property Taxes Deferred items - Leases Deferred Items - IMRF Deferred Items - Police Pension Deferred Items - Firefighters' Pension Deferred Items - RBP Total Deferred Inflows of Resources Total Liabilities and Deferred Inflows of Resources NET POSITION Net Investment in Capital Assets Restricted Public Safety - Police Public Safety - Fire Highways and Streets Pension Stabilization Debt Service Unrestricted (Deficit) Total Net Position Primary Government Governmental Activities Business -Type Activities Totals $ 3,135,544 1,412,326 4,547,870 1,667,780 103,703 1,771,483 74,242 74,954 149,196 664,207 - 664,207 222,487 73,957 296,444 8,437,856 1,517 8,439,373 1,084,409 57,228 1,141,637 202,267 - 202,267 3,346,866 915,000 4,261,866 1,256,874 - 1,256,874 20,092,532 2,638,685 22,731,217 3,520,162 228,914 3,749,076 377,390 - 377,390 6,976,262 1,309,958 8,286,220 66,964,259 - 66,964,259 54,251,038 - 54,251,038 10,295,883 839,540 11,135,423 - 750,000 750,000 70,056,165 26,028,855 96,085,020 37,033,719 - 37,033,719 249,474,878 29,157,267 278,632,145 269,567,410 31,795,952 301,363,362 18,849,738 - 18,849,738 117,984 - 117,984 328,536 61,691 390,227 1,136,962 - 1,136,962 552,868 - 552,868 6,146,513 501,195 6,647,708 27,132,601 562,886 27,695,487 296,700,011 32,358,838 329,058,849 51,232,095 39,945,439 91,177,534 646,042 - 646,042 585,513 - 585,513 5,802,748 - 5,802,748 9,484,440 - 9,484,440 1,079,060 - 1,079,060 (58,018,298) 16,279,047 (41,739,251) 10,811,600 56,224,486 67,036,086 The notes to the financial statements are an integral part of this statement. 33 VILLAGE OF MOUNT PROSPECT, ILLINOIS Statement of Activities For the Fiscal Year Ended December 31, 2023 Governmental Activities General Government Public Safety Highways and Streets Health Welfare Culture and Recreation Interest on Long -Term Debt Total Governmental Activities Business -Type Activities Water and Sewer Parking Total Business -Type Activities Total Primary Government Program Revenues Charges Operating Capital for Grants/ Grants/ Expenses Services Contributions Contributions $ 7,767,590 8,140,677 51,279,223 3,751,029 62,644 — 15,496,993 121,898 2,453,817 — 5,269,605 2,201,654 — 399,335 — 408,122 5,221,510 87,644,697 12,013,604 2,915,796 — 16,726,332 20,652,203 231,287 165,621 16,957,619 20,817,824 104,602,316 32,831,428 2,915,796 — The notes to the financial statements are an integral part of this statement. 34 Net (Expenses)/Revenues Governmental Business -Type Activities Activities Totals 373,087 — 373,087 (47,465,550) — (47,465,550) (12,921,278) — (12,921,278) (5,269,605) — (5,269,605) (1,802,319) — (1,802,319) (408,122) — (408,122) (5,221,510) — (5,221,510) (72,715,297) — (72,715,297) 3,925,871 3,925,871 (65,666) (65,666) 3,860,205 3,860,205 (72,715,297) 3,860,205 (68,855,092) General Revenues Taxes Property 25,930,366 — 25,930,366 Utility 2,909,732 — 2,909,732 Business District 304,261 — 304,261 Home Rule Sales 7,308,754 — 7,308,754 Food and Beverage 1,605,888 — 1,605,888 Real Estate Transfer 956,954 — 956,954 Municipal Motor Fuel 725,594 — 725,594 Hotel/Motel 343,142 — 343,142 Other Taxes 506,119 — 506,119 Intergovernmental - Unrestricted Income Taxes 9,080,365 — 9,080,365 State Sales and Local Use Tax 37,299,554 — 37,299,554 Replacement Taxes 1,215,719 — 1,215,719 Charitable Games 3,066 — 3,066 American Rescue Plan Act 1,184,577 — 1,184,577 Investment Income 4,434,679 1,182,880 5,617,559 Miscellaneous 1,737,526 79,034 1,816,560 Transfers - Internal Activity (894,312) 894,312 — Total General Revenues 94,651,984 2,156,226 96,808,210 Change in Net Position 21,936,687 6,016,431 27,953,118 Net Position - Beginning (11,125,087) 50,208,055 39,082,968 Net Position - Ending 10,811,600 56,224,486 67,036,086 The notes to the financial statements are an integral part of this statement. 35 VILLAGE OF MOUNT PROSPECT, ILLINOIS Balance Sheet - Governmental Funds December 31, 2023 ASSETS Cash and Investments Receivables - Net of Allowances Property Taxes Other Taxes Leases Other Due from Other Governments Due from Other Funds Inventories Prepaids Total Assets LIABILITIES Accounts Payable Accrued Payroll Retainage Payable Due to Other Governments Due to Other Funds Other Payables Total Liabilities DEFERRED INFLOWS OF RESOURCES Property Taxes Deferred Items - Leases Total Deferred Inflows of Resources Total Liabilities and Deferred Inflows of Resources FUND BALANCES Nonspendable Restricted Committed Assigned Unassigned Total Fund Balances Total Liabilities, Deferred Inflows of Resources and Fund Balances The notes to the financial statements are an integral part of this statement. 36 General $ 50,957,108 17,853,762 10,731,093 134,945 269,930 81,434 20,000 3,193 310,996 80,362,461 742,182 1,614,124 349,574 97,835 7,266,646 10,070,361 17,614,813 117,984 17,732,797 27,803,158 314,189 8,544,250 43,700,864 52,559,303 80,362,461 Prospect and Main Debt TIF District Service Nonmajor Totals 3,517,866 1,276,937 31,338,402 87,090,313 25,096 1,234,925 2,039,830 21,153,613 1,759,914 12,491,007 — — 134,945 714,068 983,998 24,610 1,022,630 1,128,674 — — 20,000 — — 3,193 99,081 410,077 3,542,962 2,536,472 36,973,925 123,415,820 1,141,618 — 982,292 2,866,092 13,237 1,627,361 74,242 74,242 134,942 — 179,691 664,207 20,000 117,835 1,640,019 8,906,665 1,276,560 — 2,909,481 14,256,402 1,234,925 — 18,849,738 — — 117,984 1,234,925 — 18,967,722 1,276,560 1,234,925 2,909,481 33,224,124 99,081 413,270 2,266,402 1,301,547 14,252,341 17,820,290 1,558,290 1,558,290 18,154,732 26,698,982 — 43,700,864 2,266,402 1,301,547 34,064,444 90,191,696 3,542,962 2,536,472 36,973,925 123,415,820 The notes to the financial statements are an integral part of this statement. 37 VILLAGE OF MOUNT PROSPECT, ILLINOIS Reconciliation of the Total Governmental Fund Balance to the Statement of Net Position - Governmental Activities December 31, 2023 Total Governmental Fund Balances $ 90,191,696 Amounts reported for governmental activities in the Statement of Net Position are different because: Capital assets used in governmental activities are not financial resources and therefore, are not reported in the funds. 124,363,981 Less: Internal Service Capital Assets (6,806,704) Deferred outflows (inflows) of resources related to the pensions not reported in the funds. Deferred Items -1MRF 7,799,648 Deferred Items - Police Pension 15,053,478 Deferred Items - Firefighters' Pension 9,766,905 Deferred Items - RBP (3,455,604) Internal Service Funds are used by the Village to charge the costs of vehicle and equipment management and employee compensated absences to individual funds. The assets and liabilities of the internal service funds are included in the govermnental activities in the Statement of Net Position. 26,903,775 Long-term liabilities are not due and payable in the current period and therefore are not reported in the funds. Compensated Absences Payable (4,501,325) Net Pension Liability - TMRF (6,976,262) Net Pension Liability - Police Pension (66,964,259) Net Pension Liability - Firefighters' Pension (54,251,038) Total OPEB Liability - RBP (9,924,599) General Obligation Bonds Payable - Net (73,403,031) Unamortized Loss on Refunding 271,145 Business District Limited Tax Note Payable (38,290,593) Plus: Amounts Recorded in the Governmental Funds Balance Sheet 1,256,874 Accrued Interest Payable (222,487) Net Position of Governmental Activities 10,811,600 The notes to the financial statements are an integral part of this statement. 38 VILLAGE OF MOUNT PROSPECT, ILLINOIS Statement of Revenues, Expenditures and Changes in Fund Balances - Governmental Funds For the Fiscal Year Ended December 31, 2023 See Following Page VILLAGE OF MOUNT PROSPECT, ILLINOIS Statement of Revenues, Expenditures and Changes in Fund Balances - Governmental Funds For the Fiscal Year Ended December 31, 2023 Expenditures General Government General Revenues 43,975,847 Taxes $ 30,768,743 Intergovernmental 41,780,899 Licenses and Permits 2,782,346 Charges for Services 3,737,078 Fines and Forfeitures 332,710 Investment Income 2,746,117 Miscellaneous 459,586 Total Revenues 82,607,479 Expenditures General Government 7,571,521 Public Safety 43,975,847 Highways and Streets 10,276,613 Health 125,878 Welfare 1,672,152 Culture and Recreation 396,530 Capital Outlay — Debt Service Principal Retirement — Interest and Fiscal Charges — Total Expenditures 64,018,541 Excess (Deficiency) of Revenues Over (Under) Expenditures 18,588,938 Other Financing Sources (Uses) Disposal of Capital Assets 5,956 Transfers In — Transfers Out (14,280,911) (14,274,955) Net Change in Fund Balances 4,313,983 Fund Balances - Beginning 48,245,320 Fund Balances - Ending 52,559,303 The notes to the financial statements are an integral part of this statement. 40 Prospect and Main Debt TIF District Service Nonmajor Totals 3,428,908 2,501,763 3,891,396 40,590,810 — 923,656 8,994,522 51,699,077 488,918 2,161,070 270 2,782,616 1,825,683 — 8,636,606 10,462,289 5,161,200 8,898,278 — — — 332,710 39,269 78,219 969,434 3,833,039 23 — 1,310,693 1,770,302 3,468,200 3,503,638 20,327,515 109,906,832 280,734 — 1,080 7,853,335 940,485 44,916,332 2,902,854 13,179,467 5,039,868 5,165,746 488,918 2,161,070 — — — 396,530 1,825,683 — 8,636,606 10,462,289 605,000 667,938 2,430,000 2,104,268 1,933,030 130,268 4,968,030 2,902,474 3,379,355 4,534,268 20,073,109 92,005,273 88,845 (1,030,630) 254,406 17,901,559 — — 5,956 1,236,599 12,150,000 13,386,599 — — (14,280,911) 1,236,599 12,150,000 (888,356) 88,845 205,969 12,404,406 17,013,203 2,177,557 1,095,578 21,660,038 73,178,493 2,266,402 1,301,547 34,064,444 90,191,696 The notes to the financial statements are an integral part of this statement. 41 VILLAGE OF MOUNT PROSPECT, ILLINOIS Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances of the Governmental Funds to the Statement of Activities - Governmental Activities For the Fiscal Year Ended December 31, 2023 Net Change in Fund Balances - Total Governmental Funds $ 17,013,203 Amounts reported for governmental activities in the Statement of Activities are different because: Governmental funds report capital outlays as expenditures. However, in the Statement of Activities the cost of those assets is allocated over their estimated useful lives and reported as depreciation expense. Capital Outlays 10,774,407 Depreciation Expense (5,083,721) Disposals - Cost (712,146) Disposals - Accumulated Depreciation 635,650 Less: Internal Service Funds 539,246 The net effect of deferred outflows (inflows) of resources related to the pensions not reported in the funds. Change in Deferred Items - IMRF 16,342,733 Change in Deferred Items - Police Pension (3,810,921) Change in Deferred Items - Firefighters' Pension (6,187,375) Change in Deferred Items - RBP 708,614 The issuance of long-term debt provides current financial resources to governmental funds, while the repayment of the principal on long-term debt consumes the current financial resources of the governmental funds. Change in Compensated Absences Payable (382,019) Change in Net Pension Liability/(Asset) - IMRF (16,698,007) Change in Net Pension Liability - Police Pension 1,076,600 Change in Net Pension Liability - Firefighters' Pension 4,248,935 Change in Total OPEB Liability - RBP (878,342) Loss on Refunding on Debt Issuance (40,951) Retirement of Debt 3,035,000 Amortization of Bond Premium 206,335 Accreted Interest on Business District Limited Tax Note Payable (559,735) Change in Accrued Interest Payable 8,345 Internal service funds are used by the Village to charge the costs of vehicle and equipment management and employee compensated absences to individual funds. The net revenue of certain activities of internal service funds is reported with governmental activities. 1,700,836 Changes in Net Position of Governmental Activities 21,936,687 The notes to the financial statements are an integral part of this statement. 42 VILLAGE OF MOUNT PROSPECT, ILLINOIS Statement of Net Position - Proprietary Funds December 31, 2023 See Following Page 43 VILLAGE OF MOUNT PROSPECT, ILLINOIS Statement of Net Position - Proprietary Funds December 31, 2023 Governmental Business -Type Activities - Enterprise Activities Water and Internal Sewer Nonmajor Totals Service ASSETS Current Assets 18,548,245 — 18,548,245 384,986 Cash and Investments $ 22,112,891 281,386 22,394,277 16,992,050 Receivables - Net of Allowances (24,532,609) (176,800) (24,709,409) (11,122,402) Accounts - Billed 1,044,923 — 1,044,923 — Accounts - Unbilled 1,243,106 — 1,243,106 — Accrued Interest 12,291 Other 4,536 247 4,783 16,482 Due from Other Governments 932 — 932 17,183 Deposits - Insurance 61,245,402 — 61,245,402 3,514,594 Inventories 170,072 — 170,072 396,736 Prepaids 32,191 — 32,191 19,441 Total Current Assets 24,608,651 281,633 24,890,284 20,968,777 Noncurrent Assets Capital Assets Nondepreciable 18,548,245 — 18,548,245 384,986 Depreciable 66,765,732 176,800 66,942,532 17,544,120 Accumulated Depreciation (24,532,609) (176,800) (24,709,409) (11,122,402) Total Capital Assets 60,781,368 — 60,781,368 6,806,704 Other Assets Deposits - Insurance 1,311,858 Equity Interest in Joint Venture 464,034 — 464,034 — Total Other Assets 464,034 — 464,034 1,311,858 Total Noncurrent Assets 61,245,402 — 61,245,402 8,118,562 Total Assets 85,854,053 281,633 86,135,686 29,087,339 DEFERRED OUTFLOWS OF RESOURCES Deferred Items - IMRF 1,526,259 — 1,526,259 — Deferred Items - RBP 208,879 — 208,879 92,376 Unamortized Asset Retirement Obligation 712,500 — 712,500 — Total Deferred Outflows of Resources 2,447,638 — 2,447,638 92,376 Total Assets and Deferred Outflows of Resources 88,301,691 281,633 88,583,324 29,179,715 The notes to the financial statements are an integral part of this statement. 44 Governmental Business -Type Activities - Enterprise Activities Water and Internal Sewer Nonmajor Totals Service LIABILITIES Current Liabilities 228,914 - 228,914 82,597 Accounts Payable $ 1,399,943 12,383 1,412,326 171,617 Accrued Payroll 103,703 - 103,703 40,419 Retainage Payable 74,954 - 74,954 - Claims Payable 750,000 - 750,000 202,267 Accrued Interest Payable 73,957 - 73,957 - Other Payables 765 752 1,517 788,065 Compensated Absences Payable 57,228 - 57,228 20,649 General Obligation Bonds Payable 915,000 - 915,000 - Total Current Liabilities 2,625,550 13,135 2,638,685 1,223,017 Noncurrent Liabilities Compensated Absences Payable 228,914 - 228,914 82,597 Claims Payable 377,390 Net Pension Liability - IMRF 1,309,958 - 1,309,958 - Total OPEB Liability - RBP 839,540 - 839,540 371,284 Asset Retirement Obligation 750,000 - 750,000 - General Obligation Bonds Payable 26,028,855 - 26,028,855 - Total Noncurrent Liabilities 29,157,267 - 29,157,267 831,271 Total Liabilities 31,782,817 13,135 31,795,952 2,054,288 DEFERRED INFLOWS OF RESOURCES Deferred Items - IMRF 61,691 - 61,691 - Deferred Items - RBP 501,195 - 501,195 221,652 Total Deferred Inflows of Resources 562,886 - 562,886 221,652 Total Liabilities and Deferred Inflows of Resources 32,345,703 13,135 32,358,838 2,275,940 NET POSITION Net Investment in Capital Assets 39,945,439 - 39,945,439 6,806,704 Unrestricted 16,010,549 268,498 16,279,047 20,097,071 Total Net Position 55,955,988 268,498 56,224,486 26,903,775 The notes to the financial statements are an integral part of this statement. 45 VILLAGE OF MOUNT PROSPECT, ILLINOIS Statement of Revenues, Expenses and Changes in Net Position - Proprietary Funds For the Fiscal Year Ended December 31, 2023 Governmental Business -Type Activities - Enterprise Activities Water and Internal Sewer Nonmajor Totals Service Operating Revenues 6,070,899 (54,468) 6,016,431 1,700,836 Charges for Services $ 20,652,203 165,621 20,817,824 13,313,125 Contributions 55,955,988 268,498 56,224,486 1,774,3 89 Miscellaneous — 180,867 Total Operating Revenues 20,652,203 165,621 20,817,824 15,268,381 Operating Expenses Administration 14,786,411 231,287 15,017,698 2,842,156 Insurance and Claims 10,076,857 Depreciation and Amortization 1,012,285 — 1,012,285 1,294,501 Total Operating Expenses 15,798,696 231,287 16,029,983 14,213,514 Operating Income (Loss) 4,853,507 (65,666) 4,787,841 1,054,867 Nonoperating Revenues (Expenses) Disposal of Capital Assets (132) — (132) 37,134 Interest Income 1,171,682 11,198 1,182,880 601,640 Other Income 79,166 — 79,166 7,195 Property Taxes (1,909) — (1,909) — Interest Expense (925,727) — (925,727) — 323,080 11,198 334,278 645,969 Income (Loss) Before Transfers 5,176,587 (54,468) 5,122,119 1,700,836 Transfers In 894,312 — 894,312 — Change in Net Position 6,070,899 (54,468) 6,016,431 1,700,836 Net Position - Beginning 49,885,089 322,966 50,208,055 25,202,939 Net Position - Ending 55,955,988 268,498 56,224,486 26,903,775 The notes to the financial statements are an integral part of this statement. 46 VILLAGE OF MOUNT PROSPECT, ILLINOIS Statement of Cash Flows - Proprietary Funds For the Fiscal Year Ended December 31, 2023 Cash Flows from Noncapital Financing Activities Property Taxes (1,909) — (1,909) — Transfers In 894,312 — 894,312 — 892,403 — 892,403 — Cash Flows from Capital and Related Financing Activities Disposal of Capital Assets Purchase of Capital Assets Principal Paid on Debt Interest Paid on Debt Cash Flows from Investing Activities Interest Received Net Change in Cash and Cash Equivalents Cash and Cash Equivalents - Beginning Cash and Cash Equivalents - Ending 80,854 (10,103,426) — (10,103,426) (798,975) Governmental — (840,000) — Business -Type Activities - Enterprise Activities — (11,869,153) (718,121) Water and 1,054,867 Adjustments to Reconcile Operating Income Internal Sewer Nonmajor Totals Service Cash Flows from Operating Activities (Used in) Operating Activities: Receipts from Customers and Users $ 21,347,268 165,503 21,512,771 3,000,559 Interfund Services Provided — 7,195 (Increase) Decrease in Current Assets 12,266,011 Payments to Suppliers (12,563,789) (230,748) (12,794,537) (12,067,972) Payments to Employees (2,799,761) — (2,799,761) — 5,983,718 (65,245) 5,918,473 3,198,598 Cash Flows from Noncapital Financing Activities Property Taxes (1,909) — (1,909) — Transfers In 894,312 — 894,312 — 892,403 — 892,403 — Cash Flows from Capital and Related Financing Activities Disposal of Capital Assets Purchase of Capital Assets Principal Paid on Debt Interest Paid on Debt Cash Flows from Investing Activities Interest Received Net Change in Cash and Cash Equivalents Cash and Cash Equivalents - Beginning Cash and Cash Equivalents - Ending 1,171,682 11,198 1,182,880 601,640 (3,821,350) (54,047) (3,875,397) 3,082,117 25,934,241 335,433 26,269,674 13,909,933 22,112,891 281,386 22,394,277 16,992,050 Reconciliation of Operating Income to Net Cash 80,854 (10,103,426) — (10,103,426) (798,975) (840,000) — (840,000) — (925,727) — (925,727) — (11,869,153) — (11,869,153) (718,121) 1,171,682 11,198 1,182,880 601,640 (3,821,350) (54,047) (3,875,397) 3,082,117 25,934,241 335,433 26,269,674 13,909,933 22,112,891 281,386 22,394,277 16,992,050 Reconciliation of Operating Income to Net Cash Provided (Used) by Operating Activities Operating Income (Loss) 4,853,507 (65,666) 4,787,841 1,054,867 Adjustments to Reconcile Operating Income Income to Net Cash Provided by (Used in) Operating Activities: Depreciation and Amortization 1,012,285 — 1,012,285 1,294,501 Other Income (Expense) 79,166 — 79,166 7,195 (Increase) Decrease in Current Assets 695,065 (118) 694,947 (9,006) Increase (Decrease) in Current Liabilities (656,305) 539 (655,766) 851,041 Net Cash Provided by Operating Activities 5,983,718 (65,245) 5,918,473 3,198,598 The notes to the financial statements are an integral part of this statement. 47 VILLAGE OF MOUNT PROSPECT, ILLINOIS Statement of Fiduciary Net Position December 31, 2023 ASSETS Cash and Cash Equivalents Investments Illinois Police Officer's Pension Investment Fund Illinois Firefighters' Pension Investment Fund Due from Other Funds Prepaids Total Assets LIABILITIES Accounts Payable NET POSITION Net Position Restricted for Pensions The notes to the financial statements are an integral part of this statement. 48 Pension Tnist $ 1,424,904 89,128,770 78,077,324 97,835 19,691 168,748,524 25,951 168,722,573 VILLAGE OF MOUNT PROSPECT, ILLINOIS Statement of Changes in Fiduciary Net Position For the Fiscal Year Ended December 31, 2023 Total Additions 32,229,907 Deductions Administration 151,573 Benefits and Refunds 14,429,131 Total Deductions 14,580,704 Change in Fiduciary Net Position 17,649,203 Net Position Restricted for Pensions Beginning 151,073,370 Ending 168,722,573 The notes to the financial statements are an integral part of this statement. 49 Pension Trust Additions Contributions - Employer $ 9,336,301 Contributions - Plan Members 2,201,277 Total Contributions 11,537,578 Investment Income (Loss) Interest Earned 1,877,921 Net Change in Fair Value 19,029,616 20,907,537 Less Investment Expenses (215,208) Net Investment Income 20,692,329 Total Additions 32,229,907 Deductions Administration 151,573 Benefits and Refunds 14,429,131 Total Deductions 14,580,704 Change in Fiduciary Net Position 17,649,203 Net Position Restricted for Pensions Beginning 151,073,370 Ending 168,722,573 The notes to the financial statements are an integral part of this statement. 49 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 1- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The Village of Mount Prospect (Village), Illinois, was incorporated in 1917. The Village operates under the Council/Manager form of government. The appointed manager administers daily operations with the community while the elected Village Mayor and six -member Board of Trustees determine Village policy. The Village's major operations include public works, finance, police, fire, community development, human services and communications. The government -wide financial statements are prepared in accordance with generally accepted accounting principles (GAAP). The Governmental Accounting Standards Board (GASB) is responsible for establishing GAAP for state and local governments through its pronouncements (Statements and Interpretations). The more significant of the Village's accounting policies established in GAAP and used by the Village are described below. REPORTING ENTITY The Village is a municipal corporation governed by an elected mayor and six -member Board of Trustees. The accompanying financial statements present the government and its component units, entities for which the government is considered to be financially accountable. Blended component units are, in substance, part of the primary government's operations, even though they are legally separate entities. Thus, blended component units are appropriately presented as funds of the primary government. Each discretely presented component unit is reported in a separate column in the government -wide financial statements to emphasize that it is both legally and substantively separate from the government. Management has determined that there are two fiduciary component units that are required to be included in the financial statements of the Village as pension trust funds and there are no discretely component units to include in the reporting entity. Police Pension Employees Retirement System The Village's sworn police employees participate in the Police Pension Employees Retirement System (PPERS). PPERS functions for the benefit of these employees and is governed by a five -member pension board. Two members appointed by the Village's Mayor, one elected pension beneficiary and two elected police employees constitute the pension board. The participants are required to contribute a percentage of salary as established by state statute and the Village is obligated to fund all remaining PPERS costs based upon actuarial valuations. The State of Illinois is authorized to establish benefit levels and the Village is authorized to approve the actuarial assumptions used in the determination of contribution levels. Although it is legally separate from the Village, the PPERS is reported as if it were part of the primary government because its sole purpose is to provide retirement benefits for the Village's police employees. The PPERS is reported as a fiduciary fund, and specifically a pension trust fund, due to the fiduciary responsibility exercised over the PPERS. 50 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 1- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Continued REPORTING ENTITY - Continued Firefighters' Pension Employees Retirement System The Village's sworn firefighters participate in the Firefighters' Pension Employees Retirement System (FPERS). FPERS functions for the benefit of these employees and is governed by a five -member pension board, with two members appointed by the Village's Mayor, two elected from active participants of the Fund, and one elected pension beneficiary of the Fund. The participants are required to contribute a percentage of salary as established by state statute and the Village is obligated to fund all remaining FPERS costs based upon actuarial valuations. The State of Illinois is authorized to establish benefit levels and the Village is authorized to approve the actuarial assumptions used in the determination of contribution levels. Although it is legally separate from the Village, the FPERS is reported as if it were part of the primary government because its sole purpose is to provide retirement benefits for the Village's sworn firefighters. The FPERS is reported as a fiduciary fund, and specifically a pension trust fund, due to the fiduciary responsibility exercised over the FPERS. BASIS OF PRESENTATION Government -Wide Statements The Village's basic financial statements include both government -wide (reporting the Village as a whole) and fund financial statements (reporting the Village's major funds). Both the government -wide and fund financial statements categorize primary activities as either governmental or business -type. The Village's police and fire safety, highways and street maintenance and reconstruction, building code enforcement, public improvements, economic development, planning and zoning, and general administrative services are classified as governmental activities. The Village's waterworks and sewerage, and commuter parking activities are classified as business - type activities. In the government -wide Statement of Net Position, both the governmental and business -type activities columns are: (a) presented on a consolidated basis by column, and (b) reported on a full accrual, economic resource basis, which recognizes all long-term assets/deferred outflows and receivables as well as long-term debt/deferred inflows and obligations. The Village's net position is reported in three parts: net investment in capital assets; restricted; and unrestricted. The Village utilizes restricted resources to finance qualifying activities. The government -wide Statement of Activities reports both the gross and net cost of each of the Village's functions and business -type activities (administration and finance, public safety, public works, development services, etc.). The functions are supported by administration and finance revenues (property, sales and use taxes, certain intergovernmental revenues, fines, permits and charges, etc.). The Statement of Activities reduces gross expenses (including depreciation) by related program revenues, which include 1) charges to customers or applicants who purchase, use or directly benefit from goods, services or privileges provided by a given function or segment and 2) grants and contributions that are restricted to meeting the operational or capital requirements of a particular function or segment. The net costs (by function or business -type activity) are normally covered by general revenue (property taxes, intergovernmental revenues, fines, permits and charges, etc.). 51 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 1- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Continued BASIS OF PRESENTATION - Continued Government -Wide Statements - Continued This government -wide focus is more on the sustainability of the Village as an entity and the change in the Village's net position resulting from the current year's activities. Fund Financial Statements The financial transactions of the Village are reported in individual funds in the fund financial statements. Each fund is accounted for by providing a separate set of self -balancing accounts that comprise its assets/deferred outflows, liabilities/deferred inflows, fund equity, revenues and expenditures/expenses. Funds are organized into three major categories: governmental, proprietary, and fiduciary. The emphasis in fund financial statements is on the major funds in either the governmental or business -type activities categories. GASB Statement No. 34 sets forth minimum criteria (percentage of the assets/deferred outflows, liabilities/ deferred inflows, revenues or expenditures/expenses of either fund category or the governmental and enterprise combined) for the determination of major funds. The Village electively added funds, as major funds, which either had debt outstanding or specific community focus. The nonmajor funds are combined in a column in the fund financial statements. A fund is considered major if it is a primary operating fund of the Village or meets the following criteria: Total assets/deferred outflows, liabilities/deferred inflows, revenues, or expenditures/expenses of that individual governmental or enterprise fund are at least 10 percent of the corresponding total for all funds of that category or type; and Total assets/deferred outflows, liabilities/deferred inflows, revenues, or expenditures/expenses of the individual governmental or enterprise fund are at least 5 percent of the corresponding total for all governmental and enterprise funds combined. The various funds are reported by generic classification within the financial statements. The following fund types are used by the Village: Governmental Funds The focus of the governmental funds' measurement (in the fund statements) is upon determination of financial position and changes in financial position (sources, uses, and balances of financial resources) rather than upon net income. The following is a description of the governmental funds of the Village: General Fund is the general operating fund of the Village. It accounts for all revenues and expenditures of the Village which are not accounted for in other funds. The General Fund is a major fund. 52 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 1- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Continued BASIS OF PRESENTATION - Continued Governmental Funds - Continued Special Revenue Funds are used to account for the proceeds of specific revenue sources that are legally restricted to expenditures for specified purposes. The Village maintains one major special revenue fund, the Prospect and Main TIF Fund, which is used to account for the resources to acquire property and construct certain improvements in the Prospect and Main Tax Incremental Financing District. Financing is being provided by incremental property taxes, general obligation bond proceeds, and investment income. The Village also maintains eleven nonmajor special revenue funds. Debt Service Funds are used to account for the accumulation of funds for the periodic payment of principal and interest on general long-term debt. The Village maintains one major debt service fund, the Debt Service Fund. The Debt Service Fund is used to account for the payment of interest and principal on the Village's general long- term debt obligations for the governmental activities. Capital Projects Funds are used to account for financial resources to be used for the acquisition or construction of major capital facilities (other than those financed by business-type/proprietary funds). The Village maintains three nonmajor capital projects funds. Proprietary Funds The focus of proprietary fund measurement is upon determination of operating income, changes in net position, financial position, and cash flows. The generally accepted accounting principles applicable are those similar to businesses in the private sector. Enterprise Funds account for operations for which a fee is charged to external users for goods or services and the activity (a) is financed with debt that is solely secured by a pledge of the net revenues, (b) has third party requirements that the cost of providing services, including capital costs, be recovered with fees and charges or (c) establishes fees and charges based on a pricing policy designed to recover similar costs. The Village maintains one major enterprise fund, the Water and Sewer, which is used to account for the activities of the water and sewer operations. The Village operates sewerage lift and relief stations and waste water collection systems and the water distribution system. The Village maintains two nonmajor enterprise funds. Internal Service Funds are used to account for the financing of goods or services provided by an activity to other departments, funds or component units of the Village on a cost -reimbursement basis. The Village maintains four internal services funds. The Computer Replacement Fund is used to account for the acquisition of Village computer hardware. Financing is being provided by charges to various Village funds. The Risk Management Fund is used to account for the servicing and payment of claims for liability, property, casualty coverage, workers' compensation and medical benefits. Financing is being provided by charges in the various Village funds. The Vehicle Replacement Fund is used to account for the acquisition and depreciation of Village vehicles. Financing is being provided by charges to the General, Water and Sewer, Parking System Revenue and Village Parking Funds. The Vehicle Maintenance Fund is used to account for the maintenance and repair of all Village vehicles. Financing is being provided by charges to various Village funds. 53 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 1- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Continued BASIS OF PRESENTATION - Continued Proprietary Funds - Continued The Village's internal service funds are presented in the proprietary funds financial statements. Because the principal users of the internal services are the Village's governmental activities, the financial statements of the internal service funds are consolidated into the governmental column when presented in the government -wide financial statements. To the extent possible, the cost of these services is reported in the appropriate functional activity (general government, public safety, highways and streets, etc.). Fiduciary Funds Fiduciary funds are used to report assets held in a trustee or custodial capacity for others and therefore are not available to support Village programs. The reporting focus is on net position and changes in net position and is reported using accounting principles similar to proprietary funds. Pension Trust Funds are used to account for assets held in a trustee capacity for pension benefit payments. The Police Pension Fund accounts for the accumulation of resources to pay retirement and other related benefits for sworn members of the Village's police force. The Firefighters' Pension Fund accounts for the accumulation of resources to pay retirement and other related benefits for sworn members of the Village's Fire Department. The Village's pension trust funds are presented in the fiduciary fund financial statements. Since by definition these assets are being held for the benefit of a third party (pension participants) and cannot be used to address activities or obligations of the Village, these funds are not incorporated into the government -wide statements. MEASUREMENT FOCUS AND BASIS OF ACCOUNTING Measurement focus is a term used to describe "which" transactions are recorded within the various financial statements. Basis of accounting refers to "when" transactions are recorded regardless of the measurement focus applied. Measurement Focus On the government -wide Statement of Net Position and the Statement of Activities, both governmental and business -type activities are presented using the economic resources measurement focus as defined below. In the fund financial statements, the "current financial resources" measurement focus or the "economic resources" measurement focus is used as appropriate. All governmental funds utilize a "current financial resources" measurement focus. Only current financial assets/ deferred outflows and liabilities/deferred inflows are generally included on their balance sheets. Their operating statements present sources and uses of available spendable financial resources during a given period. These funds use fund balance as their measure of available spendable financial resources at the end of the period. 54 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 1- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Continued MEASUREMENT FOCUS AND BASIS OF ACCOUNTING - Continued Measurement Focus - Continued All proprietary and pension trust funds utilize an "economic resources" measurement focus. The accounting objectives of the "economic resources" measurement focus is the determination of operating income, changes in net position (or cost recovery), financial position, and cash flows. All assets/deferred outflows, liabilities/deferred inflows (whether current or noncurrent) associated with their activities are reported. Basis of Accounting In the government -wide Statement of Net Position and Statement of Activities, governmental and business -type activities are presented using the accrual basis of accounting. Under the accrual basis of accounting, revenues are recognized when earned and expenses are recorded when the liability/deferred inflow is incurred or economic asset used. Revenues, expenses, gains, losses, assets/deferred outflows, and liabilities/deferred inflows resulting from exchange and exchange -like transactions are recognized when the exchange takes place. In the fund financial statements, governmental funds are presented on the modified accrual basis of accounting. Under this modified accrual basis of accounting, revenues are recognized when "measurable and available." Measurable means knowing or being able to reasonably estimate the amount. Available means collectible within the current period or within sixty days after year end. The Village recognizes property taxes when they become both measurable and available in accordance with GASB Codification Section P70. A sixty-day availability period is used for revenue recognition for all other governmental fund revenues. Expenditures (including capital outlay) are recorded when the related fund liability is incurred, except for general obligation bond principal and interest which are recognized when due. In applying the susceptible to accrual concept under the modified accrual basis, those revenues susceptible to accrual are property taxes, sales and use taxes, income taxes, use taxes, telecommunications taxes, local and state motor fuel taxes, food and beverages taxes, replacement taxes, franchise taxes, utility taxes, hotel/motel taxes, fines, interest revenue, and charges for services. All other revenues are not susceptible to accrual because generally they are not measurable until received in cash. All proprietary funds and pension trust funds utilize the accrual basis of accounting. Under the accrual basis of accounting, revenues are recognized when earned and expenses are recorded when the liability is incurred or economic asset used. Proprietary funds distinguish operating revenues and expenses from nonoperating items. Operating revenues and expenses generally result from providing services and producing and delivering goods in connection with a proprietary fund's principal ongoing operations. The principal operating revenues of the Village's enterprise funds and of the Village's internal service funds are charges to customers for sales and services. The Village also recognizes as operating revenue the portion of tap fees intended to recover the cost of connecting new customers to the system. Operating expenses for enterprise funds and internal service funds include the cost of sales and services, administrative expenses, and depreciation on capital assets. All revenues and expenses not meeting this definition are reported as nonoperating revenues and expenses. VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 1- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Continued ASSETS/DEFERRED OUTFLOWS, LIABILITIES/DEFERRED INFLOWS, AND NET POSITION OR EQUITY Cash and Investments Cash and cash equivalents on the Statement of Net Position are considered to be cash on hand, demand deposits, cash with fiscal agent. For the purpose of the proprietary funds "Statement of Cash Flows," cash and cash equivalents are considered to be cash on hand, demand deposits, cash with fiscal agent, and all highly liquid investments with an original maturity of three months or less. Investments are generally reported at fair value. Short-term investments are reported at cost, which approximates fair value. For investments, the Village categorizes its fair value measurements within the fair value hierarchy established by generally accepted accounting principles. The hierarchy is based on the valuation inputs used to measure the fair value of the asset. Level I inputs are quoted prices in active markets for identical assets; Level 2 inputs are significant other observable inputs; Level 3 inputs are significant unobservable inputs. Interfund Receivables, Payables and Activity Interfund activity is reported as loans, services provided, reimbursements or transfers. Loans are reported as interfund receivables and payables as appropriate and are subject to elimination upon consolidation. Services provided, deemed to be at market or near market rates, are treated as revenues and expenditures/expenses. Reimbursements are when one fund incurs a cost, charges the appropriate benefiting fund and reduces its related cost as a reimbursement. All other interfund transactions are treated as transfers. Any residual balances outstanding between the governmental activities and business -type activities are reported in the government -wide financial statements as "internal balances." Receivables In the government -wide financial statements, receivables consist of all revenues earned at year-end and not yet received. Allowances for uncollectible accounts receivable are based upon historical trends and the periodic aging of accounts receivable. Major receivables balances for governmental activities include property taxes, sales and use taxes, income taxes, utility taxes, and grants. Business -type activities report charges for services as their major receivables. Prepaids/Inventories Prepaids/inventories are valued at cost, which approximates market, using the first-in/first-out (FIFO) method. The cost of governmental fund -type prepaids/inventories are recorded as expenditures when consumed rather than when purchased. Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as prepaids in both the government -wide and fund financial statements. Deferred Outflows/Inflows of Resources Deferred outflow/inflow of resources represents a consumption/acquisition of net assets that applies to a future period and therefore will not be recognized as an outflow of resources (expense)/inflow of resources (revenue) until that future time. 56 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 1- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Continued ASSETS/DEFERRED OUTFLOWS, LIABILITIES/DEFERRED INFLOWS, AND NET POSITION OR EQUITY - Continued Capital Assets Capital assets, which include property, plant, equipment, and infrastructure assets (e.g., roads, bridges, storm sewers, and similar items), are reported in the applicable governmental or business -type activities columns in the government -wide financial statements. Capital assets, other than infrastructure, buildings and improvements, purchased or acquired with an original cost of over $20,000 and infrastructure, buildings and improvements with an original cost of over $50,000 are reported at historical cost, or estimated historical cost. Additions, improvements, and other capital outlays that significantly extend the useful life of an asset are capitalized. Other costs incurred for repairs and maintenance are expensed as incurred. The accounting and financial reporting treatment applied to a fund is determined by its measurement focus. General capital assets are long-lived assets of the Village as a whole. Infrastructure such as streets and storm sewers are capitalized. In the case of the initial capitalization of general infrastructure assets (i.e., those reported by the governmental activities) the government chose to include all such items regardless of their acquisition date. The valuation basis for general capital assets is historical cost, or where historical cost is not available, estimated historical cost based on replacement costs. Capital assets in the proprietary funds are capitalized in the fund in which they are utilized. The valuation bases for proprietary fund capital assets are the same as those used for the general capital assets. Donated capital assets are capitalized at acquisition value on the date donated. Depreciation on all assets is computed and recorded using the straight-line method of depreciation over the following estimated useful lives: Buildings and Improvements 20 - 50 Years Vehicles 2 - 20 Years Machinery and Equipment 2 - 20 Years Infrastructure 15 - 50 Years Compensated Absences The Village accrues accumulated unpaid vacation and associated employee -related costs when earned (or estimated to be earned) by the employee. In accordance with GASB Statement No. 16, no liability is recorded for nonvesting accumulation rights to receive sick pay benefits. However, a liability is recognized for that portion of accumulated sick leave that is estimated to be taken as "terminal leave" prior to retirement. All vacation pay is accrued when incurred in the government -wide and proprietary fund financial statements. A liability for these amounts is reported in the governmental funds only if they have matured, for example, as a result of employee resignations and retirements. 57 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 1- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Continued ASSETS/DEFERRED OUTFLOWS, LIABILITIES/DEFERRED INFLOWS, AND NET POSITION OR EQUITY - Continued Long -Term Obligations In the government -wide financial statements, and proprietary fund types in the fund financial statements, long- term debt and other long-term obligations are reported as liabilities in the applicable governmental activities, business -type activities, or proprietary fund type Statement of Net Position. Bond premiums and discounts are deferred and amortized over the life of the bonds using the effective interest method. Bonds payable are reported net of the applicable bond premium or discount. Bond issuance costs are reported as expenses at the time of issuance. In the fund financial statements, governmental fund types recognize bond premiums and discounts, as well as bond issuance costs, during the current period. The face amount of debt issued is reported as other financing sources. Premiums received on debt issuances are reported as other financing sources while discounts on debt issuances are reported as other financing uses. Issuance costs, whether or not withheld from the actual debt proceeds received, are reported as debt service expenditures. Net Position In the government -wide financial statements, equity is classified as net position and displayed in three components: Net Investment in Capital Assets - Consists of capital assets, including restricted capital assets, net of accumulated depreciation, and reduced by the outstanding balances of any bonds, mortgages, notes or other borrowings that are attributable to the acquisition, construction, or improvement of those assets. Restricted - Consists of net position with constraints placed on the use either by (1) external groups such as creditors, grantors, contributors, or laws or regulations of other governments; or (2) law through constitutional provisions or enabling legislation. Unrestricted - All other net position balances that do not meet the definition of "restricted" or "net investment in capital assets." Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumption that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenditures/expenses during the reporting period. Actual results could differ from those estimates. 58 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 2 - STEWARDSHIP, COMPLIANCE AND ACCOUNTABILITY BUDGETARY INFORMATION All departments of the Village submit requests for appropriations to the Village Manager so that a budget may be prepared. The budget is prepared by fund and includes information on the past year, current year estimates and requested appropriations for the next fiscal year. Budgets are adopted on a basis consistent with generally accepted accounting principles. Annual appropriated budgets are adopted for the General, Special Revenue, Debt Service, Capital Projects, Enterprise, Internal Service and Pension Trust Funds. All annual appropriations lapse at fiscal year end. The proposed budget is presented to the governing body for review. The governing body holds public hearings and may add to, subtract from, or change appropriations, but may not change the form of the budget. The Village Manager is authorized to transfer budgeted amounts between departments within any fund; however, any revisions that alter the total expenditures of any fund must be approved by the governing body. Expenditures may not legally exceed budgeted appropriations at the fund level. During the year, budget amendments were approved by the Village Board. The final budget figures included in this report reflect all budget amendments made during the year. NOTE 3 - DETAIL NOTES ON ALL FUNDS DEPOSITS AND INVESTMENTS The Village maintains a cash and investment pool that is available for use by all funds except the pension trust funds. Each fund type's portion of this pool is displayed on the financial statements as "cash and investments." In addition, investments are separately held by several of the Village's funds. The deposits and investments of the pension trust funds are held separately from those of other funds. Permitted Deposits and Investments - Illinois Statutes authorizes the Village to make deposits/invest in commercial banks, savings and loan institutions, obligations of the U.S. Treasury and U.S. Agencies, obligations of States and their political subdivisions, credit union shares, repurchase agreements, commercial paper rated within the three highest classifications by at least two standard rating services, Illinois Funds and the Illinois Public Reserves Investment Management Trust. The Illinois Funds is an investment pool managed by the Illinois Public Treasurer's Office which allows governments within the State to pool their funds for investment purposes. Illinois Funds is not registered with the SEC as an investment company. Investments in Illinois Funds are valued at the share price, the price for which the investment could be sold. 59 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 3 - DETAIL NOTES ON ALL FUNDS - Continued DEPOSITS AND INVESTMENTS - Continued The Illinois Public Reserves Investment Management Trust (IPRIME) is an investment opportunity and cash management service for Illinois Municipal Treasurers acting on behalf of counties, townships, cities, towns, villages, special road districts, public water supply districts, fire protection districts, drainage districts, levee districts, sewer districts, housing authorities, and all other political corporations or subdivisions of the State of Illinois. Participation in IPRIME is voluntary. IPRIME is not registered with the SEC as an Investment Company. Investments in IPRIME are valued at the share price, the price for which the investment could be sold. Village Deposits. At year-end, the carrying amount of the Village's deposits for governmental and business -type totaled $34,039,237 and the bank balances totaled $35,425,955. In addition, the Village has $47,928,323 invested in IPRIME, and $44,509,080 invested in the Illinois Funds at year-end, which have an average maturity of less than one year. Interest Rate Risk. Interest rate risk is the risk that changes in interest rates will adversely affect the fair value of an investment. In accordance with its investment policy, the Village limits its exposure to interest rate risk by structuring the portfolio to provide liquidity for short and long-term cash flow needs while providing a reasonable rate of return based on the current market. Unless matched to a specific cash flow, maturities should not exceed two years from the date of purchase. Credit Risk. Credit risk is the risk that an issuer or other counterparty to an investment will not fulfill its obligations. The Village limits its exposure to credit risk by permitting investments in only those securities allowed under law and by specifically prohibiting investments in leveraged or derivative securities. The Illinois Funds were rated AAA by Fitch and the IPRIME investments were rated AAAm by Standard & Poor's. Custodial Credit Risk. In the case of deposits, this is the risk that in the event of a bank failure, the Village's deposits may not be returned to it. The Village's investment policy requires pledging of collateral for all bank balances in excess of federal depository insurance, at an amount not less than 105% of the fair market value of the funds secured, with the collateral witnessed by a written collateral agreement and held by an independent third party in the Village's name. At year-end, the entire amount of the bank balance of deposits was covered by collateral, federal depository or equivalent insurance. For an investment, this is the risk that in the event of the failure of the counterparty, the Village will not be able to recover the value of its investments or collateral securities that are in the possession of an outside party. To limit its exposure, the Village's investment policy requires all security transactions that are exposed to custodial credit risk to be processed on a delivery versus payment (DVP) basis with the underlying investments held by an independent third -party custodian and evidenced by safekeeping receipts and a written custodial agreement. The Illinois Funds, and money market mutual funds are not subject to custodial credit risk. 60 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 3 - DETAIL NOTES ON ALL FUNDS - Continued DEPOSITS AND INVESTMENTS - Continued Village - Continued Concentration Risk. This is the risk of loss attributed to the magnitude of the Village's investment in a single issuer. The Village's investment policy requires diversification of investment to avoid unreasonable risk. The Village's investment policy states the Village's portfolio shall be diversified in order to limit the investment holdings of a specific issuer or business sector to avoid over concentration in any one institution or area excluding investments in U.S. Treasury securities and authorized investment pools. At year-end, the Village does not have any investments over 5 percent of the cash and investment portfolio (other than investments issued or explicitly guaranteed by the U.S. government and investments in mutual funds, external investment pools, and other pooled investments). Police Pension Fund The Illinois Police Officers Pension Investment Fund (IPOPIF) is an investment trust fund responsible for the consolidation and fiduciary management of the pension assets of Illinois suburban and downstate police pension funds. IPOPIF was created by Public Act 101-0610, and codified within the Illinois Pension Code, becoming effective January 1, 2020, to streamline investments and eliminate unnecessary and redundant administrative costs, thereby ensuring assets are available to fund pension benefits for the beneficiaries of the participating pension funds. Participation in IPOPIF by Illinois suburban and downstate police pension funds is mandatory. Investments of the Fund are combined in a commingled external investment pool and held by IPOPIF. A schedule of investment expenses is included in IPOPIF`s annual comprehensive financial report. For additional information on IPOPIF's investments, please refer to their annual comprehensive financial report, which can be obtained from IFPIF at 456 Fulton Street, Suite 402 Peoria, Illinois 61602 or at www.ipopi£org. Deposits. The Fund retains all its available cash with one financial institution. Available cash is determined to be that amount which is required for the current expenditures of the Fund. The excess of available cash is required to be transferred to IPOPIF for purposes of the long-term investment for the Fund. At year-end, the carrying amount of the Fund's cash on hand totaled $774,851 and the bank balances totaled $774,851. Custodial Credit Risk. In the case of deposits, this is the risk that in the event of a. bank failure, the Fund's deposits may not be returned to it. The Fund's investment policy does not address custodial credit risk for deposits. At year-end, the entire carrying amount of the bank balance of deposits is covered by federal depository or equivalent insurance. For investments, the Fund's investment policy limits its exposure by requiring all security transactions that are exposed to custodial credit risk to be processed on a delivery versus payment (DVP) basis with the underlying investments held by a third party custodian, in the name of the respective Fund, and evidences by safekeeping receipts. Investments. At year-end the Fund has $89,128,770 invested in IPOPIF. The pooled investments consist of the investments as noted in the target allocation table available at www.ipopif�org. Investments in IPOPIF are valued at TPOPTF's share price, which is the price the investment could be sold. There are no unfunded commitments at year-end. The fund may redeem shares with a seven calendar day notice. IPOPIF may, at its sole discretion and based on circumstances, process redemption requests with fewer than a seven calendar day notice. Regular redemptions of the same amount on a particular day of the month may be arranged with IPOPIF. 61 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 3 - DETAIL NOTES ON ALL FUNDS - Continued DEPOSITS AND INVESTMENTS - Continued Police Pension Fund - Continued Investinent Policy. IPOPIF's current investment policy was adopted by the Board of Trustees on December 17, 2021. IPOPTF is authorized to invest in all investments allowed by Illinois Compiled Statutes (ILCS). The IPOPIF shall not be subject to any of the limitations applicable to investments of pension fund assets currently held by the transferor pension funds under Sections 1-113.1 through 1-113.12 or Article 3 of the Illinois Pension Code. Rate of Return For the year ended December 31, 2023, the annual money -weighted rate of return on pension plan investments, net of pension plan investment expense, was 12.96%. The money -weighted rate of return expresses investment performance, net of investment expense, adjusted for the changing amounts actually invested. Firefighters' Pension Fund The Illinois Firefighters' Pension Investment Fund (IFPIF) is an investment trust fund responsible for the consolidation and fiduciary management of the pension assets of Illinois suburban and downstate firefighter pension funds. IFPIF was created by Public Act 101-0610, and codified within the Illinois Pension Code, becoming effective January 1, 2020, to streamline investments and eliminate unnecessary and redundant administrative costs, thereby ensuring assets are available to fund pension benefits for the beneficiaries of the participating pension funds. Participation in IFPIF by Illinois suburban and downstate firefighter pension funds is mandatory. Investments of the Fund are combined in a commingled external investment pool and held by IFPIF. A schedule of investment expenses is included in IFPIF's annual report. For additional information on IFPIF's investments, please refer to their annual comprehensive financial report, which can be obtained from IFPIF at 1919 South Highland Avenue, Building A, Suite 237, Lombard, IL 60148 or at www.ifpi£org. Deposits. The Fund retains all its available cash with two financial institutions. Available cash is determined to be that amount which is required for the current expenditures of the Fund. The excess of available cash is required to be transferred to IFPIF for purposes of the long-term investment for the Fund. At year-end, the carrying amount of the Fund's cash on hand totaled $650,053 and the bank balances totaled $650,053. Custodial Credit Risk. In the case of deposits, this is the risk that in the event of a bank failure, the Fund's deposits may not be returned to it. The Fund's investment policy requires pledging of collateral for all bank balances in excess of federal depository insurance, at an amount not less than 110% of the fair market value of the funds secured, with the collateral held by an independent third parry or the Federal Reserve Bank, and evidenced by safekeeping receipts. At year-end, the entire carrying amount of the bank balance of deposits is covered by federal depository or equivalent insurance. For investments, the Fund will not be able to recover the value of its investments that are in possession of an outside party. To limit its exposure, the Fund's investment policy requires all security transactions that are exposed to custodial credit risk to be processed on a delivery versus payment (DVP) basis with the underlying investments held by a third -party custodian and evidenced by safekeeping receipts. 62 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 3 - DETAIL NOTES ON ALL FUNDS - Continued DEPOSITS AND INVESTMENTS - Continued Firefighters' Pension Fund - Continued Investments. At year-end the Fund has $78,077,324 invested in IFPIF. The pooled investments consist of the investments as noted in the target allocation table available at www.ifpif.org. Investments in IFPIF are valued at IFPIF's share price, which is the price the investment could be sold. There are no unfunded commitments at year- end. The plan may redeem shares by giving notice by 5:00 pm central time on the 1st of each month. Requests properly submitted on or before the Ist of each month will be processed for redemption by the 14th of the month. Expedited redemptions may be processed at the sole discretion of IFPIF. Investment Policy. IFPIF's current investment policy was adopted by the Board of Trustees on June 17, 2022. IFPIF is authorized to invest in all investments allowed by Illinois Compiled Statutes (ILLS). The IFPIF shall not be subject to any of the limitations applicable to investments of pension fund assets currently held by the transferor pension funds under Sections 1-113.1 through 1-113.12 or Article 4 of the Illinois Pension Code. Rate of Return For the year ended December 31, 2023, the annual money -weighted rate of return on pension plan investments, net of pension plan investment expense, was 14.80%. The money -weighted rate of return expresses investment performance, net of investment expense, adjusted for the changing amounts actually invested. PROPERTY TAXES Property taxes for 2022 attach as an enforceable lien on January 1, on property values assessed as of the same date. Taxes are levied by December of the subsequent fiscal year (by passage of a Tax Levy Ordinance). Tax bills are prepared by Cook County and are payable in two installments, on or about March 1 and September 1 during the following year. The County collects such taxes and remits them periodically. 63 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 3 - DETAIL NOTES ON ALL FUNDS - Continued CAPITAL ASSETS Governmental Activities Governmental capital asset activity for the year was as follows: Beginning Ending Balances Increases Decreases Balances Nondepreciable Capital Assets Land $ 15,327,776 615,000 — 15,942,776 Construction in Progress 2,505,965 3,661,220 966,480 5,200,705 17,833,741 4,276,220 966,480 21,143,481 Depreciable Capital Assets Buildings 73,507,433 450,000 — 73,957,433 Improvements Other than Buildings 1,516,920 42,997 1,516,920 Vehicles 12,945,780 1,022,260 507,505 13,460,535 Machinery and Equipment 6,778,600 281,374 204,641 6,855,333 Infrastructure 111,064,994 5,711,033 — 116,776,027 205,813,727 7,464,667 712,146 212,566,248 Less Accumulated Depreciation Buildings 12,912,870 1,467,537 — 14,380,407 Improvements Other than Buildings 513,660 42,997 — 556,657 Vehicles 8,715,784 1,004,524 494,373 9,225,935 Machinery and Equipment 2,693,827 502,145 141,277 3,054,695 Infrastructure 80,061,536 2,066,518 — 82,128,054 104,897,677 5,083,721 635,650 109,345,748 Total Net Depreciable Capital Assets 100,916,050 2,380,946 76,496 103,220,500 Total Net Capital Assets 118,749,791 6,657,166 1,042,976 124,363,981 64 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 3 - DETAIL NOTES ON ALL FUNDS - Continued CAPITAL ASSETS - Continued Governmental Activities - Continued Depreciation expense was charged to governmental activities as follows: General Government $ 542,340 Public Safety 1,042,876 Highways and Streets 2,190,663 Health 2,349 Welfare 3,752 Culture and Recreation 7,240 Internal Service 1,294,501 Business -Type Activities Business -type capital asset activity for the year was as follows: Nondepreciable Capital Assets Land Construction in Progress Depreciable Capital Assets Building and Improvements Machinery and Equipment Infrastructure Less Accumulated Depreciation Building and Improvements Machinery and Equipment Infrastructure Total Other Capital Assets Total Capital Assets 5,083,721 Beginning Ending Balances Increases Decreases Balances $ 17,318,818 17,318,818 3,608,713 1,083,388 3,462,674 1,229,427 20,927,531 1,083,388 3,462,674 18,548,245 4,499,808 — 188,000 4,311,808 4,860,968 4,860,968 45,477,900 12,482,712 190,856 57,769,756 54,838,676 12,482,712 378,856 66,942,532 3,258,951 60,147 188,000 3,131,098 3,805,439 83,957 3,889,396 16,921,154 958,485 190,724 17,688,915 23,985,544 1,102,589 378,724 24,709,409 30,853,132 11,380,123 132 42,233,123 51,780,663 12,463,511 3,462,806 60,781,368 65 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 3 - DETAIL NOTES ON ALL FUNDS - Continued CAPITAL ASSETS - Continued Business -Type Activities - Continued Depreciation expense was charged to business -type activities as follows: Water and Sewer INTERFUND TRANSFERS Interfund transfers for the year consisted of the following: $ 1,102,589 Transfer In Transfer Out Amount Debt Service General $ 1,236,599 Nomnajor Governmental General 12,150,000 Water and Sewer General 894,312 14,280,911 The purpose of significant transfers from/to between funds are as follows: $1,236,599 transferred from the General Fund to the Debt Service Fund to support debt service requirements. $12,150,000 transferred from the General Fund to the Pension Stabilization Fund ($750,000) to provide an alternative revenue source supporting the annual pension costs generally funded from the annual property tax levy, to the Capital Improvement Fund ($2,000,000) to support small to midsize capital projects for the Village, to the Flood Control Fund ($1,000,000) to support various flood control capital and maintenance projects for the year, to the Street Improvement Fund ($1,900,000) to replace vehicle sticker revenues and general support for the street resurfacing program, and to the Economic Emergency Fund ($6,500,000) to provide funding to the newly established fund. $894,312 transferred to the Water and Sewer Fund from the General Fund to fund the Northwest Water interconnect project. INTERFUND BALANCES Interfund balances are advances in anticipation of receipts. The composition of interfund balances as of the date of this report, is as follows: Receivable Fund Payable Fund Amount General Nonmajor Governmental $ 20,000 Police Pension General 50,877 Fire Pension General 46,958 117,835 66 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 3 - DETAIL NOTES ON ALL FUNDS - Continued INTERGOVERNMENTAL RECEIVABLES The following receivables are included in due from other governments on the Statement of Net Position:: Governmental Business -Type Activities Activities Totals Mount Prospect Public Library $ 17,074 17,074 Grants 1,012,580 — 1,012,580 Miscellaneous 116,203 932 117,135 1,145,857 932 1,146,789 LONG-TERM DEBT General Obligation Bonds The Village issues general obligation bonds to provide funds for the acquisition and construction of major capital facilities. General obligation bonds have been issued for governmental and business -type activities. General obligation bonds are direct obligations and pledge the full faith and credit of the Village. General obligation bonds currently outstanding are as follows: Fund Debt Beginning Ending Issue Retired by Balances Issuances Retirements Balances $6,290,000 General Obligation Bonds of 2014, due in annual installments of $290,000 to $1,265,000 plus interest Debt at 3.00% through December 1, 2023. Service $ 1,265,000 67 1,265,000 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 3 - DETAIL NOTES ON ALL FUNDS - Continued LONG-TERM DEBT - Continued General Obligation Bonds - Continued Fund Debt Beginning Ending Issue Retired by Balances Issuances Retirements Balances $9,100,000 General Obligation Refunding Bonds of 2016A, due in annual installments of $120,000 to $1,905,000 plus interest at 3.00% Debt through December 1, 2028. Service $ 8,860,000 — 515,000 8,345,000 $9,740,000 General Obligation Bonds of 2017, due in annual installments of Prospect and $125,000 to $460,000 plus interest at Main TIF 4,520,000 — 170,000 4,350,000 2.50% to 4.00% through December 1, Water and 2037. Sewer 4,225,000 — 175,000 4,050,000 $11,950,000 General Obligation Prospect and Bonds of 2018A, due in annual Main TIF 6,675,000 — 225,000 6,450,000 installments of $115,000 to $700,000 plus interest at 3.25% to 5.00% Water and through December 1, 2037. Sewer 4,185,000 — 160,000 4,025,000 $38,440,000 General Obligation Bonds of 2018B, due in annual installments of $155,000 to $3,110,000 plus interest at 3.625% to Debt 5.000% through December 1, 2043. Service 37,225,000 $9,600,000 General Obligation Bonds of 2019A, due in annual installments of $60,000 to $800,000 plus interest at 2.00% to 5.00% through December 1, Water and 2039. Sewer 9,035,000 68 37,225,000 290,000 8,745,000 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 3 - DETAIL NOTES ON ALL FUNDS - Continued LONG-TERM DEBT - Continued General Obligation Bonds - Continued Fund Debt Beginning Ending Issue Retired by Balances Issuances Retirements Balances $7,725,000 General Obligation Bonds of 2019B, due in annual installments of $210,000 to $740,000 plus interest at 3.00% to 5.00% through December Prospect and 1, 2039. Main TIF $ 7,725,000 $8,935,000 General Obligation Bonds of 2022A, due in annual installments of $215,000 to $735,000 plus interest at 3.00% to 5.00% through December Water and 1, 2041. Sewer 8,685,000 $8,230,000 General Obligation Refunding Bonds of 2022B, due in annual installments of $650,000 to $855,000 plus interest at 2.80% Debt through December 1, 2033. Service 8,230,000 Limited Tax Note Payable 210,000 7,515,000 215,000 8,470,000 — 650,000 7,580,000 100,630,000 — 3,875,000 96,755,000 The Village has issued a note payable (direct borrowing) related to a developer agreement. The limited tax note payable has been issued for the governmental activities and is a limited obligation of the Village, payable solely from certain tax revenues as set forth in the developer agreement. The developer agreement term will expire upon the earlier to occur of (a) the expiration of the term of any bonds issued by the Village which yield developer proceeds equal to the maximum reimbursement amount, (b) the date which all obligations under this agreement have been discharged, including, but not limited to, payments on any bonds issued by the Village and on the note payable, or (c) 35 years following the issuance of the note payable. After a final accounting is completed and any remaining amounts are paid to the developer, the note payable shall be marked "cancelled" and returned to the Village. Notes payable currently outstanding are as follows: Fund Debt Beginning Issuances/ Ending Issue Retired by Balances Accretion Retirements Balances $25,000,000 Business District Limited Tax Note Payable of 2010, due in semiannual installments plus interest at 6.710% contingent upon sufficient Business pledged revenues. District $ 37,600,588 2,623,035 1,933,030 38,290,593 69 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 3 - DETAIL NOTES ON ALL FUNDS - Continued LONG-TERM DEBT - Continued Asset Retirement Obligation The Village has recognized an asset retirement obligation (ARO) and related deferred outflow of resources in connection with its obligation to seal and abandon various water wells at the end of their estimated useful lives in accordance with the Illinois Administrative Code Title 77. The ARO was measured using actual historical costs for similar abandonments, adjusted for inflation through the end of the year. The estimated remaining useful lives of the water wells are 98 years. Long -Term Liabilities Activity Changes in long-term liabilities during the fiscal year were as follows: Amounts Beginning Additions/ Ending within Type of Debt Balances Accretion Deductions Balances One Year Governmental Activities Compensated Absences General Internal Services Claims Payable Net Pension Liability IMRF Police Pension Firefighters' Pension Total OPEB Liability - RBP General Internal Services General Obligation Bonds Unamortized Premium Business District Limited Tax Note Payable Business -Type Activities Compensated Absences Net Pension Liability - TMRF Total OPEB Liability - RBP Asset Retirement Obligation General Obligation Bonds Unamortized Premium $ 4,119,306 764,038 382,019 4,501,325 1,063,760 51,887 102,718 51,359 103,246 20,649 541,708 449,919 411,970 579,657 202,267 (9,721,745) 16,698,007 - 6,976,262 - 68,040,859 - 1,076,600 66,964,259 - 58,499,973 - 4,248,935 54,251,038 - 9,046,257 878,342 - 373,859 - 2,575 74,500,000 - 3,035,000 2,144,366 - 206,335 37,600,588 2,623,035 1,933,030 9,924,599 371,284 71,465,000 1,938,031 3,170,000 176,866 38,290,593 1,256,874 245,197,058 21,516,059 11,347,823 255,365,294 5,890,416 298,126 11,984 23,968 286,142 57,228 (1,870,244) 3,180,202 - 1,309,958 - 891,417 - 51,877 839,540 - 750,000 - - 750,000 - 26,130,000 - 840,000 25,290,000 915,000 1,751,659 97,804 1,653,855 - 27,950,958 3,192,186 1,013,649 30,129,495 972,228 70 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 3 - DETAIL NOTES ON ALL FUNDS - Continued LONG-TERM DEBT - Continued Long -Term Liabilities Activity - Continued For the governmental activities, payments on the compensated absences, the net pension liabilities, and the total OPEB liability are made by the General Fund. Payments on general obligation bonds are being liquidated by the Debt Service Fund and the Prospect and Main TIF Fund, and the Business District Limited Tax Note Payable is being liquidated by the Business District Fund. Claims payable are being liquidated by the Risk Management Fund. Internal service funds predominantly serve the governmental funds. Accordingly, long-term liabilities for them are included as part of the above totals for governmental activities. Additionally, for business -type activities, compensated absences are liquidated by the Water and Sewer Fund. The net pension liability, the total OPEB liability, the asset retirement obligation, and the general obligation bonds are being liquidated by the Water and Sewer Fund. Debt Service Requirements to Maturity The annual debt service requirements to maturity, including principal and interest, are as follows: Governmental Activities General Obligation Fiscal Bonds Business -Type Activities General Obligation Bonds Year Principal Interest Principal Interest 2024 $ 3,170,000 2,669,826 915,000 887,482 2025 3,320,000 2,549,116 995,000 843,632 2026 3,480,000 2,434,986 1,085,000 795,932 2027 3,630,000 2,316,796 1,165,000 746,082 2028 3,800,000 2,197,422 1,255,000 699,882 2029 3,460,000 2,075,168 1,340,000 649,700 2030 3,750,000 1,932,872 1,435,000 595,750 2031 3,945,000 1,781,566 1,535,000 542,494 2032 4,150,000 1,622,362 1,625,000 484,306 2033 4,370,000 1,454,808 1,725,000 431,732 2034 3,715,000 1,280,170 1,825,000 377,920 2035 3,900,000 1,151,550 1,930,000 320,988 2036 4,090,000 1,014,519 2,030,000 261,244 2037 4,285,000 870,125 2,140,000 197,912 2038 3,260,000 718,400 1,390,000 130,650 2039 3,400,000 598,200 1,465,000 88,000 2040 2,765,000 469,600 700,000 43,050 2041 2,875,000 359,000 735,000 22,050 2042 2,990,000 244,000 — — 2043 3,110,000 124,400 — — Totals 71,465,000 27,864,886 25,290,000 8,118,806 71 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 3 - DETAIL NOTES ON ALL FUNDS - Continued LONG-TERM DEBT - Continued Legal Debt Margin Article VII, Section 6(k) of the 1970 Illinois Constitution governs the computation of legal debt margin. "The General Assembly may limit by law the amount and require referendum approval of debt to the incurred by home rule municipalities, payable from ad valorem property tax receipts, only in excess of the following percentages of the assessed value of its taxable property ... (2) if its population is more than 25,000 and less than 500,000 an aggregate of one percent: indebtedness which is outstanding on the effective date (July 1, 1971) of this constitution or which is thereafter approved by referendum... shall not be included in the foregoing percentage amounts." To date the Illinois General Assembly has set no limits for home rule municipalities. The Village is a home rule municipality. NET POSITION CLASSIFICATIONS Net investment in capital assets was comprised of the following as of December 31, 2023: Governmental Activities Capital Assets - Net of Accumulated Depreciation $ 124,363,981 Plus: Unamortized Refunding Loss Less Capital Related Debt: General Obligation Refunding Bonds of 2016A General Obligation Bonds of 2017 General Obligation Bonds of 2018A General Obligation Bonds of 2018B General Obligation Bonds of 2019B General Obligation Refunding Bonds of 2022B Premium on Debt Issuance Net Investment in Capital Assets 72 271,145 (8,345,000) (4,350,000) (6,450,000) (37,225,000) (7,515,000) (7,580,000) (1,938,031) 51,232,095 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 3 - DETAIL NOTES ON ALL FUNDS - Continued NET POSITION CLASSIFICATIONS - Continued Business -Type Activities Capital Assets - Net of Accumulated Depreciation $ Plus: Unspent Bond Proceeds Less Capital Related Debt: 60,781,368 6,107,926 General Obligation Bonds of 2017 (4,050,000) General Obligation Bonds of 2018A (4,025,000) General Obligation Bonds of 2019A (8,745,000) General Obligation Bonds of 2022A (8,470,000) Premium on Debt Issuance (1,653,855) Net Investment in Capital Assets 39,945,439 FUND BALANCE CLASSIFICATIONS In the governmental funds financial statements, the Village considers restricted amounts to have been spent when an expenditure is incurred for purposes for which both restricted and unrestricted fund balance is available. The Village first utilizes committed, then assigned and then unassigned fund balance when an expenditure is incurred for purposes for which all three unrestricted fund balances are available. Nonspendable Fund Balance. Consists of resources that cannot be spent because they are either: a) not in a spendable form; or b) legally or contractually required to be maintained intact. Restricted Fund Balance. Consists of resources that are restricted to specific purposes, that is, when constraints placed on the use of resources are either: a) externally imposed by creditors (such as through debt covenants), grantors, contributors, or laws or regulations of other governments; or b) imposed by law through constitutional provisions or enabling legislation. Committed Fund Balance. Consists of resources constrained (issuance of an ordinance) to specific purposes by the government itself, using its highest level of decision-making authority, the Board of Trustees; to be reported as committed, amounts cannot be used for any other purpose unless the government takes the same highest -level action to remove or change the constraint. Assigned Fund Balance. Consists of amounts that are constrained by the Board of Trustees's intent to be used for specific purposes but are neither restricted nor committed. Intent is expressed by a) the Board of Trustees itself or b) a body or official to which the Board of Trustees has delegated the authority to assign amounts to be used for specific purposes. The Village's highest level of decision-making authority is the Board of Trustees, who is authorized to assign amounts to a specific purpose. Unassigned Fund Balance. Consists of residual net resources of a fund that has not been restricted, committed, or assigned within the General Fund and deficit fund balances of other governmental funds. 73 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 3 - DETAIL NOTES ON ALL FUNDS - Continued FUND BALANCE CLASSIFICATIONS - Continued Minimum Fund Balance Policy. The Village's policy manual states that the General Fund should maintain an unrestricted fund balance level between 30% to 50% of the subsequent fiscal year's expenditures, the special revenue funds (except the CDBG Fund) should maintain a fund balance level between 10% and 25% of the annual budgeted expenditures, not including capital, debt service and transfers, the Debt Service Fund should maintain a fund balance level at a maximum of the amount of the next principal and interest payment due, and the Capital Projects Fund should maintain a fund balance level between 25% and 50% of the five-year average for capital expenditures supported by the fund to a maximum of $1 million. The following is a schedule of fund balance classifications for the governmental funds as of the date of this report: Special Revenue Prospect/ Main Debt General TIF Service Nonmajor Totals Fund Balances Nonspendable Inventories $ 3,193 3,193 Prepaids 310,996 99,081 410,077 314,189 99,081 413,270 Restricted 1,444,250 1,444,250 Public Safety 3,700,000 3,700,000 Police 646,042 646,042 Fire 585,513 585,513 Highways and Streets — 2,266,402 — 3,536,346 5,802,748 Pension Stabilization 9,484,440 9,484,440 Debt Service — — 1,301,547 — 1,301,547 — 2,266,402 1,301,547 14,252,341 17,820,290 Committed Refuse Disposal 1,558,290 1,558,290 Assigned Debt Service 1,444,250 1,444,250 TIF Redevelopment 3,700,000 3,700,000 Pension Stabilization 2,000,000 2,000,000 Capital Projects 1,400,000 18,154,732 19,554,732 8,544,250 18,154,732 26,698,982 Unassigned 43,700,864 43,700,864 Total Fund Balances 52,559,303 2,266,402 1,301,547 34,064,444 90,191,696 74 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 3 - DETAIL NOTES ON ALL FUNDS - Continued LEASES RECEIVABLE The Village is a lessor on the following leases at year end: Term Start Interest Lease Length Date Payments Rate Sprint Cell Tower 307 Months May 19, 1998 $2,000 per month 3.35% T -Mobile Cell Tower 30 Years October 16, 2000 $25,200 per year 3.35% During the fiscal year, the Village has recognized $41,646 of lease revenue. The future minimum lease assets and the net present value of these minimum lease receipts as of year-end, are as follows: Fiscal Year Principal Interest 2024 $ 20,679 4,521 2025 21,372 3,828 2026 22,088 3,112 2027 22,828 2,372 2028 23,593 1,607 2029 24,385 817 134,945 16,257 NOTE 4 - OTHER INFORMATION RISK MANAGEMENT The Village is exposed to various risks of loss related to torts; theft of, damage to and destruction of assets; errors and omissions; natural disasters; and injuries to the Village's employees. These risks, along with medical claims for employees and retirees, are provided for through the Village's participation in the Intergovernmental Risk Management Agency (IRMA) and the Intergovernmental Personnel Benefit Cooperative (IPBC). There have been no significant reductions in coverage from the prior year and settled claims have not exceeded coverage for any of the past three years. 75 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 4 - OTHER INFORMATION - Continued RISK MANAGEMENT - Continued Intergovernmental Risk Management Agency (IRMA) The Village participates in the Intergovernmental Risk Management Agency (IRMA). IRMA is an organization of municipalities and special districts in Northeastern Illinois which have formed an association under the Illinois Intergovernmental Cooperations Statute to pool its risk management needs. The agency administers a mix of self- insurance and commercial insurance coverages; property/casualty and workers' compensation claim administration/litigation management services; unemployment claim administration; extensive risk management/ loss control consulting and training programs; and a risk information system and financial reporting service for its members. Each member appoints one delegate, along with an alternate delegate, to represent the member on the Board of Directors. The Village does not exercise any control over the activities of the Agency beyond its representation on the Board of Directors. Initial contributions are determined each year based on the individual member's eligible revenue as defined in the by-laws of IRMA and experience modification factors based on past member loss experience. Each member assumes the first $10,000 (higher optional deductibles available) of each occurrence, and IRMA has self- insurance retentions at various amounts above that level. Members have a contractual obligation to fund any deficit of IRMA attributable to a membership year during which they were a member. Supplemental contributions may be required to fund these deficits. The Village's payments to IRMA are displayed on the financial statements as expenditures/expenses in the appropriate funds. The coverages provided by IRMA are generally consistent with the coverages in the prior year. The Village has chosen an optional higher deductible of $50,000. A related reserve deposit of $1,311,858 is being held at IRMA at December 31, 2023. The Village's insurance activities are reported in the Risk Management Fund which is an internal service fund. Premiums are paid into the Risk Management Fund by the departments of the General Fund and other funds based upon historical cost estimates. The total claims liability remaining as of December 31, 2023 was $579,657. 76 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 4 - OTHER INFORMATION - Continued RISK MANAGEMENT - Continued Intergovernmental Risk Management Agency (IRMA) - Continued Changes in the balances of claims liabilities during the fiscal year are as follows: Claims Payable - December 31, 2021 Incurred Claims Claims Paid Claims Payable - December 31, 2022 Incurred Claims Claims Paid Claims Payable - December 31, 2023 Workers' General Auto Compensation Liability Totals — 443,864 105,645 549,509 18,112 174,708 134,292 327,112 (18,112) (220,953) (95,848) (334,913) Intergovernmental Personnel Benefit Cooperative (IPBC) 397,619 144,089 541,708 478,717 (28,798) 449,919 (355,997) (55,973) (411,970) 520,339 59,318 579,657 Risks for medical and death benefits for employees and retirees are provided for through the Village's participation in the Intergovernmental Personnel Benefit Cooperative (IPBC). IPBC acts as an administrative agency to receive, process and pay such claims as may come within the benefit program of each member. IPBC maintains specific reinsurance coverage for claims in excess of $75,000 per individual employee participant. The Village pays premiums to IPBC based upon current employee participation and its prior experience factor with the pool. Current year overages or underages for participation in the pool are adjusted into subsequent years experience factor for premiums. There were no significant changes in insurance coverages from the prior year and settlements did not exceed insurance coverage in any of the past three fiscal years. A reserve deposit of $3,514,594 is being held at IPBC at December 31, 2023. CONTINGENT LIABILITIES Litigation From time to time, the Village is party to various pending claims and legal proceedings with respect to employment, civil rights, property taxes and other matters. Although the outcome of such matters cannot be forecasted with certainty, it is the opinion of management and the Village attorney that the likelihood is remote that any such claims or proceedings will have a material adverse effect on the Village's financial position or results of operations. 77 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 4 - OTHER INFORMATION - Continued CONTINGENT LIABILITIES - Continued Grants Amounts received or receivable from grantor agencies are subject to audit and adjustment by grantor agencies, principally the federal government. Any disallowed claims, including amounts already collected, may constitute a liability of the applicable funds. The amount, if any, of expenditures which may be disallowed by the grantor cannot be determined at this time although the Village expects such amounts, if any, to be immaterial. COMMITMENTS Solid Waste Agency of Northern Cook County (SWANCC) Annual payments to Solid Waste Agency of Northern Cook County (SWANCC) are based on estimated tonnage of waste transported to SWANCC. It is assumed that there will be no material changes in deliveries to SWANCC. For 2024, the Village estimates it will pay SWANCC $1,236,224, with annual increases ranging from 0% to 3% through 2031. Northwest Suburban Municipal Joint Action Water Agency (JAWA) The Village has committed to purchase water from the Northwest Suburban Municipal Joint Action Water Agency (JAWA). A new agreement, negotiated by the Member Communities and JAWA was approved on March 13, 2018. This Revised Water Supply Agreement will expire in FY 2032. The obligation to pay minimum annual amounts was removed from the new agreement. JOINT VENTURES Northwest Suburban Municipal Joint Action Water Agency (JAWA) The Village is a member of the Northwest Suburban Municipal Joint Action Water Agency (JAWA) which consists of seven municipalities. JAWA is a municipal corporation and public body politic and corporate established pursuant to the Intergovernmental Cooperation Act of the State of Illinois. JAWA is empowered to plan, construct, improve, extend, acquire, finance, operate and maintain a water supply system to serve its members and other potential water purchasers. The members form a contiguous geographic service area which is located 15 to 30 miles northwest of downtown Chicago. Under the Agency Agreement, additional members may join JAWA upon the approval of each member. 78 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 4 - OTHER INFORMATION - Continued JOINT VENTURES - Continued Northwest Suburban Municipal Joint Action Water Agency (JAWA) - Continued JAWA is governed by a Board of Directors which consists of one elected official from each member municipality. Each Director has an equal vote. The officers of JAWA are appointed by the Board of Directors. The Board of Directors determines the general policy of JAWA, makes all appropriations, approves contracts for sale or purchase of water, provides for the issuance of debt, adopts bylaws, rules and regulations, and exercises such powers and performs such duties as may be prescribed in the Agency Agreement or the bylaws. Complete financial statements can be obtained from the Northwest Suburban Municipal Joint Action Water Agency, 901 Wellington Avenue, Elk Grove Village, Illinois 60007. Revenues of the system consist of. (a) all receipts derived from Water Supply Agreements or any other contract for the supply of water; (b) all income derived from the investment of monies; and (c) all income, fees, water service charges, and all rates, rents and receipts derived by JAWA from the ownership and operation of the system and the sale of water. JAWA covenants to establish fees and charges sufficient to provide revenues to meet all its requirements. JAWA has entered into Water Supply Agreements with the seven -member municipalities for a term of 40 years, extending to December 31, 2032. The Agreements are irrevocable and may not be terminated or amended except as provided in the General Resolution. The obligation of the Village to make all payments as required by this agreement is unconditional and irrevocable, without regard to performance or nonperformance by JAWA of its obligations under this Agreement. The payments required to be made by the Village under this Agreement shall be required to be made solely from revenues to be derived by the Village from the operation of the Water System. Members are not prohibited by the Agreement, however, from using other available funds to make payments under the Agreement. This Agreement shall not constitute an indebtedness of the Village within the meaning of any statutory or constitutional limitation. The obligation of the Village to make payments required by this Agreement from revenues of the Water System shall be payable from the operation and maintenance account of the Water and Sewer Fund. In accordance with the joint venture agreement, the Village remitted $7,368,258 to JAWA for the year ended December 31, 2023. All payments were paid from the Water and Sewer Fund. Deposits with JAWA in the amount of $464,034 represent amounts held for security of debt service. 79 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 4 - OTHER INFORMATION - Continued JOINT VENTURES - Continued Solid Waste Agency of Northern Cook County (SWANCC) The Village is a member of the Solid Waste Agency of Northern Cook County (SWANCC) which consists of twenty-three municipalities. SWANCC is a municipal corporation and public body politic, established pursuant to the Constitution of the State of Illinois and the Intergovernmental Cooperation Act of the State of Illinois, as amended (the Act). SWANCC is empowered under the Act to plan, construct, finance, operate, and maintain a solid waste disposal system to serve its members. SWANCC is reported as a nonequity proprietary joint venture. SWANCC is governed by a Board of Directors which consists of one appointed representative from each member municipality. Each Director has an equal vote. The officers of SWANCC are appointed by the Board of Directors. The Board of Directors determines the general policy of SWANCC, makes all appropriations, approves contracts, adopts resolutions providing for the issuance of bonds or notes by SWANCC, adopts by-laws, rules and regulations, and exercises such powers and performs such duties as may be prescribed in the SWANCC agreement or by-laws. Separate audited financial statements are available from SWANCC's administrative office at 77 W Hintz Road, Suite 200, Wheeling, Illinois 60090. The Village's contract with SWANCC provides that each member is liable for its proportionate share of annual operating and fixed costs. The Village's share of these costs is expected to be funded through tipping fees paid by refuse haulers. In addition, the Village is obligated for any costs arising from defaults in payment obligations by other members. In accordance with the joint venture agreement, the Village remitted $1,099,741 to SWANCC for the year ended December 31, 2023, which is recorded in the Village's Refuse Disposal Fund. EMPLOYEE RETIREMENT SYSTEM - DEFINED BENEFIT PENSION PLANS The Village contributes to three defined benefit pension plans, the Illinois Municipal Retirement Fund (IMRF), a defined benefit agent multiple -employer public employee retirement system, the Police Pension Plan which is a single -employer pension plan, and the Firefighters' Pension Plan which is also a single -employer pension plan. IMRF does issue a publicly available financial report that includes financial statements and required supplementary information for the plan as a whole, but not by individual employer. That report may be obtained online at www.imr£ora. The Police and Firefighters' Pension Plans also issue separate reports that may be obtained by writing the Village at 50 South Emerson, Mount Prospect, Illinois 60056. The benefits, benefit levels, employee contributions and employer contributions are governed by Illinois Compiled Statutes (ILCS) and can only be amended by the Illinois General Assembly. 80 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 4 - OTHER INFORMATION - Continued EMPLOYEE RETIREMENT SYSTEM - DEFINED BENEFIT PENSION PLANS - Continued The aggregate amounts recognized for the pension plans are: Pension Expenses/ Net Pension Deferred Deferred (Revenues) Liabilities Outflows Inflows Village $ 1,413,610 8,286,220 9,654,443 390,227 Library 482,832 2,683,832 3,126,988 126,392 Police Pension 7,571,079 66,964,259 16,190,440 1,136,962 Firefighters' Pension 6,437,983 54,251,038 10,319,773 552,868 15,905,504 132,185,349 39,291,644 2,206,449 Illinois Municipal Retirement Fund (IMRF) Plan Descriptions Plan Adininistration. All employees (other than those covered by the Police and Firefighters' Pension Plan) hired in positions that meet or exceed the prescribed annual hourly standard must be enrolled in IMRF as participating members. The plan is accounted for on the economic resources measurement focus and the accrual basis of accounting. Employer and employee contributions are recognized when earned in the year that the contributions are required, benefits and refunds are recognized as an expense and liability when due and payable. Benefits Provided. IMRF has three benefit plans. The vast majority of IMRF members participate in the Regular Plan (RP). The Sheriff's Law Enforcement Personnel (SLEP) plan is for sheriffs, deputy sheriffs, and selected police chiefs. Counties could adopt the Elected County Official (ECO) plan for officials elected prior to August 8, 2011 (the ECO plan was closed to new participants after that date). IMRF provides two tiers of pension benefits. Employees hired before January 1, 2011, are eligible for Tier 1 benefits. Tier 1 employees are vested for pension benefits when they have at least eight years of qualifying service credit. Tier 1 employees who retire at age 55 (at reduced benefits) or after age 60 (at full benefits) with eight years of service are entitled to an annual retirement benefit, payable monthly for life, in an amount equal to 1-2/3% of the final rate of earnings for the first 15 years of service credit, plus 2% for each year of service credit after 15 years to a maximum of 75% of their final rate of earnings. Final rate of earnings is the highest total earnings during any consecutive 48 months within the last 10 years of service, divided by 48. Under Tier 1, the pension is increased by 3% of the original amount on January 1 every year after retirement. 81 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 4 - OTHER INFORMATION - Continued EMPLOYEE RETIREMENT SYSTEM - DEFINED BENEFIT PENSION PLAN - Continued Illinois Municipal Retirement Fund (IMRF) - Continued Plan Descriptions - Continued Benefits Provided - Continued. Employees hired on or after January 1, 2011, are eligible for Tier 2 benefits. For Tier 2 employees, pension benefits vest after ten years of service. Participating employees who retire at age 62 (at reduced benefits) or after age 67 (at full benefits) with ten years of service are entitled to an annual retirement benefit, payable monthly for life, in an amount equal to 1-2/3% of the final rate of earnings for the first 15 years of service credit, plus 2% for each year of service credit after 15 years to a maximum of 75% of their final rate of earnings. Final rate of earnings is the highest total earnings during any 96 consecutive months within the last 10 years of service, divided by 96. Under Tier 2, the pension is increased on January 1 every year after retirement, upon reaching age 67, by the lesser of: • 3% of the original pension amount, or • 1/2 of the increase in the Consumer Price Index of the original pension amount. Plan Membership. As of December 31, 2022, the measurement date, the following employees were covered by the benefit terms: Inactive Plan Members Currently Receiving Benefits 299 Inactive Plan Members Entitled to but not yet Receiving Benefits 196 Active Plan Members 255 Total 750 The IMRF data included in the table above includes membership of both the Village and the Library. Contributions. As set by statute, the Village's Regular Plan Members are required to contribute 4.50% of their annual covered salary. The statute requires employers to contribute the amount necessary, in addition to member contributions, to finance the retirement coverage of its own employees. For the year -ended December 31, 2023, the Village's and the Library's contribution was 5.05% of covered payroll. Net Pension Liability. The Village's net pension liability was measured as of December 31, 2022. The total pension liability used to calculate the net pension liability was determined by an actuarial valuation as of that date. 82 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 4 - OTHER INFORMATION - Continued EMPLOYEE RETIREMENT SYSTEM - DEFINED BENEFIT PENSION PLAN - Continued Illinois Municipal Retirement Fund (IMRF) - Continued Plan Descriptions - Continued Actuarial Assumptions. The total pension liability was determined by an actuarial valuation performed, as of December 31, 2022, using the following actuarial methods and assumptions: Actuarial Cost Method Entry Age Normal Asset Valuation Method Fair Value Actuarial Assumptions Interest Rate 7.25% Salary Increases 2.85% to 13.75% Cost of Living Adjustments 2.75% Inflation 2.25% For nondisabled retirees, the Pub -2010, Amount -Weighted, below -median income, General, Retiree, Male (adjusted 106%) and Female (adjusted 105%) tables, and future mortality improvements projected using scale MP -2020. For disabled retirees, the Pub -2010, Amount -Weighted, below -median income, General, Disabled Retiree, Male and Female (both unadjusted) tables, and future mortality improvements projected using scale MP -2020. For active members, the Pub -2010, Amount -Weighted, below -median income, General, Employee, Male and Female (both unadjusted) tables, and future mortality improvements projected using scale MP -2020. The long-term expected rate of return on pension plan investments was determined using a building-block method in which best -estimate ranges of expected future real rates of return (expected returns, net of pension plan investment expense, and inflation) are developed for each major asset class. These ranges are combined to produce the long-term expected rate of return by weighting the expected future real rates of return to the target asset allocation percentage and adding expected inflation. The target allocation and best estimates of geometric real rates of return for each major asset class are summarized in the following table: 83 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 4 - OTHER INFORMATION - Continued EMPLOYEE RETIREMENT SYSTEM - DEFINED BENEFIT PENSION PLAN - Continued Illinois Municipal Retirement Fund (IMRF) - Continued Plan Descriptions - Continued Actuarial Assumptions - Continued. Long -Term Expected Real Asset Class Target Rate of Return Fixed Income 25.50% 4.90% Domestic Equities 35.50% 6.50% International Equities 18.00% 7.60% Real Estate 10.50% 6.20% Blended 9.50% 6.25% - 9.90% Cash and Cash Equivalents 1.00% 4.00% Discount Rate The discount rate used to measure the total pension liability was 7.25%, the same as the prior valuation. The projection of cash flows used to determine the discount rate assumed that member contributions will be made at the current contribution rate and that Village contributions will be made at rates equal to the difference between the actuarially determined contribution rates and the member rate. Based on those assumptions, the Fund's fiduciary net position was projected to be available to make all project future benefit payments of current plan members. Therefore, the long-term expected rate of return on pension plan investments was applied to all period of projected benefit payments to determine the total pension liability. Discount Rate Sensitivity The following is a sensitivity analysis of the net pension liability/(asset) to changes in the discount rate. The table below presents the net pension liability/(asset) of the Village and the Library calculated using the discount rate as well as what the Village's and Library's net pension liability/(asset) would be if it were calculated using a discount rate that is one percentage point lower or one percentage point higher than the current rate: Current 1% Decrease Discount Rate 1% Increase (6.25%) (7.25%) (8.25%) Village $ 19,034,590 8,286,220 (177,435) Library 6,165,133 2,683,832 (57,469) Net Pension Liability/(Asset) 25,199,723 10,970,052 (234,904) VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 4 - OTHER INFORMATION - Continued EMPLOYEE RETIREMENT SYSTEM - DEFINED BENEFIT PENSION PLAN - Continued Illinois Municipal Retirement Fund (IMRF) - Continued Changes in the Net Pension Liability Total Pension Liability Service Cost Interest Differences Between Expected and Actual Experience Change of Assumptions Benefit Payments, Including Refunds of Member Contributions Net Change in Total Pension Liability Total Pension Liability - Beginning Total Pension Liability - Ending Plan Fiduciary Net Position Contributions - Employer Contributions - Members Net Investment Income Benefit Payments, Including Refunds of Member Contributions Other (Net Transfer) Position Plan Net Position - Beginning Plan Net Position - Ending Village Library Totals $ 1,351,370 6,328,402 1,334,089 437,696 2,255,716 432,100 1,789,066 8,584,118 1,766,189 (4,956,663) (1,605,418) (6,562,081) 4,057,198 1,520,094 5,577,292 88,590,452 32,197,688 120,788,140 92,647,650 33,717,782 126,365,432 1,201,063 389,013 1,590,076 686,939 222,494 909,433 (12,912,730) (4,182,317) (17,095,047) (4,956,663) (1,605,418) (6,562,081) 160,380 51,945 212,325 (15,821,011) (5,124,283) (20,945,294) 100,182,441 36,158,233 136,340,674 84,361,430 31,033,950 115,395,380 Employer's Net Pension Liability 8,286,220 2,683,832 10,970,052 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 4 - OTHER INFORMATION - Continued EMPLOYEE RETIREMENT SYSTEM - DEFINED BENEFIT PENSION PLAN - Continued Illinois Municipal Retirement Fund (IMRF) - Continued Pension Expense, Deferred Outflows of Resources, and Deferred Inflows of Resources Related to Pensions For the year ended December 31, 2023, the Village recognized pension expense of $1,413,610 and the Library recognized pension expense of $482,832. At December 31, 2023, the Village and the Library reported deferred outflows or resources and deferred inflows of resources related to pensions from the following sources: Difference Between Expected and Actual Experience Change in Assumptions Net Difference Between Projected and Actual Earnings on Pension Plan Investments Total Expense to be Recognized in Future Periods Contributions Sub to Measurement Date Total Deferred Amounts Related to IMRF Village Library Deferred Deferred Deferred Deferred Outflows of (Inflows) of Outflows of Inflows of Resources Resources Resources Resources Totals $ 1,612,551 (288,562) 522,291 (93,463) 1,752,817 — (101,665) — (32,929) (134,594) 7,055,693 — 2,285,276 — 9,340,969 8,668,244 (390,227) 2,807,567 (126,392) 10,959,192 986,199 — 319,421 — 1,305,620 9,654,443 (390,227) 3,126,988 (126,392) 12,264,812 $986,199 for the Village and $319,421 for the Library reported as deferred outflows of resources related to pensions resulting from employer contributions subsequent to the measurement date and will be recognized as a reduction of the net pension liability in the reporting year ended December 31, 2024. Amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized in pension expense in future periods as follows: Fiscal Deferred Outflows/(inflows) of Resources Year Village Library Totals 2024 $ (46,036) 2025 1,758,198 2026 2,511,115 2027 4,054,740 2028 Thereafter (14,911) (60,947) 569,465 2,327,663 813,327 3,324,442 1,313,294 5,368,034 Totals 8,278,017 2,681,175 10,959,192 86 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 4 - OTHER INFORMATION - Continued EMPLOYEE RETIREMENT SYSTEM - DEFINED BENEFIT PENSION PLAN - Continued Police Pension Plan Plan Descriptions Plan Administration. The Police Pension Plan is a single -employer defined benefit pension plan that covers all sworn police personnel. The defined benefits and employee and minimum employer contribution levels are governed by Illinois Compiled Statutes (40 ILCS 5/3-1) and may be amended only by the Illinois legislature. The Village accounts for the Fund as a pension trust fund. The Fund is governed by a five -member pension board. Two members of the Board are appointed by the Village President, one member is elected by pension beneficiaries and two members are elected by active police employees. Plan Membership. At December 31, 2023, the measurement date, membership consisted of the following: Inactive Plan Members Currently Receiving Benefits 86 Inactive Plan Members Entitled to but not yet Receiving Benefits 11 Active Plan Members 88 Total 185 Benefits Provided. The following is a summary of the Police Pension Plan as provided for in Illinois State Statutes. The Police Pension Plan provides retirement benefits through two tiers of benefits as well as death and disability benefits. Covered employees hired before January 1, 2011 (Tier 1), attaining the age of 50 or older with 20 or more years of creditable service are entitled to receive an annual retirement benefit of/z of the salary attached to the rank held on the last day of service, or for one year prior to the last day, whichever is greater. The annual benefit shall be increased by 2.5 percent of such salary for each additional year of service over 20 years up to 30 years, to a maximum of 75 percent of such salary. Employees with at least eight years but less than 20 years of credited service may retire at or after age 60 and receive a reduced benefit. The monthly benefit of a police officer who retired with 20 or more years of service after January 1, 1977 shall be increased annually, following the first anniversary date of retirement and be paid upon reaching the age of at least 55 years, by 3 percent of the original pension and 3 percent compounded annually thereafter. 87 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 4 - OTHER INFORMATION - Continued EMPLOYEE RETIREMENT SYSTEM - DEFINED BENEFIT PENSION PLANS - Continued Police Pension Plan - Continued Plan Descriptions - Continued Benefits Provided - Continued. Covered employees hired on or after January 1, 2011 (Tier 2), attaining the age of 55 or older with 10 or more years of creditable service are entitled to receive an annual retirement benefit equal to the average monthly salary obtained by dividing the total salary of the police officer during the 48 consecutive months of service within the last 60 months of service in which the total salary was the highest by the number of months of service in that period. Police officer salary for the pension purposes is capped at $106,800, plus the lesser of/Z of the annual change in the Consumer Price Index or 3 percent compounded. The annual benefit shall be increased by 2.5 percent of such a salary for each additional year of service over 20 years up to 30 years to a maximum of 75 percent of such salary. Employees with at least 10 years may retire at or after age 50 and receive a reduced benefit (i.e., '/z percent for each month under 55). The monthly benefit of a Tier 2 police officer shall be increased annually at age 60 on the January V after the police officer retires, or the first anniversary of the pension starting date, whichever is later. Noncompounding increases occur annually, each January thereafter. The increase is the lesser of 3 percent or '/z of the change in the Consumer Price Index for the proceeding calendar year. Contributions. Covered employees are required to contribute 9.91% of their base salary to the Police Pension Plan. If an employee leaves covered employment with less than 20 years of service, accumulated employee contributions may be refunded without accumulated interest. The Village is required to contribute the remaining amounts necessary to finance the plan and the administrative costs as actuarially determined by an enrolled actuary. However, effective January 1, 2011, ILCS requires the Village to contribute a minimum amount annually calculated using the projected unit credit actuarial cost method that will result in the funding of 90% of the past service cost by the year 2040. For the year -ended December 31, 2023, the Village's contribution was 46.35% of covered payroll. Concentrations. At year end, the Pension Plan does not have any investments over 5 percent of net plan position available for retirement benefits (other than investments issued or explicitly guaranteed by the U.S. government and investments in mutual funds, external investment pools, and other pooled investments). VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 4 - OTHER INFORMATION - Continued EMPLOYEE RETIREMENT SYSTEM - DEFINED BENEFIT PENSION PLANS - Continued Police Pension Plan - Continued Actuarial Assumptions The total pension liability was determined by an actuarial valuation performed, as of December 31, 2023, using the following actuarial methods and assumptions: Actuarial Cost Method Entry Age Normal Asset Valuation Method Fair Value Actuarial Assumptions Interest Rate 6.80% Salary Increases 4.00% Adjustments Tier 1: 3.00%, Tier 2: 1.25% Inflation 2.50% Mortality rates for healthy individuals were based on the Pub -2010 Public Safety Mortality Table with with generational improvement scale MP -2021 applied from 2010. Mortality rates for disabled individuals were based the Pub -2010 Disabled Retiree Mortality Table with generational improvement scale MP -2021 applied from 2010. Discount Rate The discount rate used to measure the total pension liability was 6.80%, the same as the prior valuation. The projection of cash flows used to determine the discount rate assumed that member contributions will be made at the current contribution rate and that Village contributions will be made at rates equal to the difference between the actuarially determined contribution rates and the member rate. Based on those assumptions, the Fund's fiduciary net position was projected to be available to make all projected future benefit payments of current plan members. Therefore, the long-term expected rate of return on pension plan investments was applied to all period of projected benefit payments to determine the total pension liability. VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 4 - OTHER INFORMATION - Continued EMPLOYEE RETIREMENT SYSTEM - DEFINED BENEFIT PENSION PLANS - Continued Police Pension Plan - Continued Discount Rate Sensitivity The following is a sensitive analysis of the net pension liability to changes in the discount rate. The table below presents the net pension liability of the Village calculated using the discount rate as well as what the Village's net pension liability would be if it were calculated using a discount rate that is one percentage point lower or one percentage point higher than the current rate: Net Pension Liability Changes in the Net Pension Liability Balances at December 31, 2022 Current 1% Decrease Discount Rate 1% Increase (5.80%) (6.80%) (7.80%) $ 89,398,161 66,964,259 48,708,328 Changes for the Year: Service Cost Interest on the Total Pension Liability Changes of Benefit Terms Difference Between Expected and Actual Experience of the Total Pension Liability Changes of Assumptions Contributions - Employer Contributions - Employees Net Investment Income Benefit Payments, Including Refunds of Employee Contributions Other (Net Transfer) Net Changes Total Pension Plan Fiduciary Net Pension Liability Net Position Liability (A) (B) (A) - (B) $ 148,712,189 80,671,330 68,040,859 2,162,652 — 2,162,652 10,014,814 — 10,014,814 3,231,740 — 3,231,740 — 4,836,758 (4,836,758) 1,337,196 (1,337,196) 10,383,139 (10,383,139) (7,196,326) (7,196,326) — (71,287) 71,287 8,212,880 9,289,480 (1,076,600) Balances at December 31, 2023 156,925,069 89,960,810 66,964,259 90 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 4 - OTHER INFORMATION - Continued EMPLOYEE RETIREMENT SYSTEM - DEFINED BENEFIT PENSION PLANS - Continued Police Pension Plan - Continued Pension Expense, Deferred Outflows of Resources, and Deferred Inflows of Resources Related to Pensions For the year ended December 31, 2023, the Village recognized pension expense of $7,571,079. At December 31, 2023, the Village reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources: Difference Between Expected and Actual Experience $ Change in Assumptions Net Difference Between Projected and Actual Earnings on Pension Plan Investments Deferred Deferred Outflows of Inflows of Resources Resources Totals 4,259,917 (917,779) 3,342,138 6,565,426 (219,183) 6,346,243 5,365,097 5,365,097 Total Deferred Amounts Related to Police Pension 16,190,440 (1,136,962) 15,053,478 Amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized in pension expense in future periods as follows: Outflows/ Fiscal (Inflows) Year of Resources 2024 $ 3,660,133 2025 4,711,739 2026 6,223,347 2027 (80,366) 2028 538,625 Thereafter — Total 91 15,053,478 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 4 - OTHER INFORMATION - Continued EMPLOYEE RETIREMENT SYSTEM - DEFINED BENEFIT PENSION PLANS - Continued Firefighters' Pension Plan Plan Descriptions Plan Administration. The Firefighters' Pension Plan is a single -employer defined benefit pension plan that covers all sworn firefighter personnel. The defined benefits and employee and minimum employer contribution levels are governed by Illinois Compiled Statutes (40 ILCS 5/4-1) and may be amended only by the Illinois legislature. The Village accounts for the Fund as a pension trust fund. The Fund is governed by a five -member pension board. Two members of the Board are appointed by the Village President, one member is elected by pension beneficiaries and two members are elected by active fire employees. Plan Membership. At December 31, 2023, the measurement date, membership consisted of the following: Inactive Plan Members Currently Receiving Benefits 89 Inactive Plan Members Entitled to but not yet Receiving Benefits 4 Active Plan Members 78 Total 171 Benefits Provided. The following is a summary of the Firefighters' Pension Plan as provided for in Illinois State Statutes. The Firefighters' Pension Plan provides retirement benefits through two tiers of benefits as well as death and disability benefits. Covered employees hired before January 1, 2011 (Tier 1), attaining the age of 50 or older with 20 or more years of creditable service are entitled to receive an annual retirement benefit of 1/2 of the salary attached to the rank held on the last day of service, or for one year prior to the last day, whichever is greater. The annual benefit shall be increased by 2.5 percent of such salary for each additional year of service over 20 years up to 30 years, to a maximum of 75 percent of such salary. Employees with at least eight years but less than 20 years of credited service may retire at or after age 60 and receive a reduced benefit. The monthly benefit of a firefighter who retired with 20 or more years of service after January 1, 1977 shall be increased annually, following the first anniversary date of retirement and be paid upon reaching the age of at least 55 years, by 3 percent of the original pension and 3 percent compounded annually thereafter. 92 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 4 - OTHER INFORMATION - Continued EMPLOYEE RETIREMENT SYSTEM - DEFINED BENEFIT PENSION PLANS - Continued Firefighters' Pension Plan - Continued Plan Descriptions - Continued Benefits Provided - Continued. Covered employees hired on or after January 1, 2011 (Tier 2), attaining the age of 55 or older with 10 or more years of creditable service are entitled to receive an annual retirement benefit equal to the average monthly salary obtained by dividing the total salary of the firefighter during the 48 consecutive months of service within the last 60 months of service in which the total salary was the highest by the number of months of service in that period. Firefighters' salary for the pension purposes is capped at $106,800, plus the lesser of/Z of the annual change in the Consumer Price Index or 3 percent compounded. The annual benefit shall be increased by 2.5 percent of such a salary for each additional year of service over 20 years up to 30 years to a maximum of 75 percent of such salary. Employees with at least 10 years may retire at or after age 50 and receive a reduced benefit (i.e., '/z percent for each month under 55). The monthly benefit of a Tier 2 firefighter shall be increased annually at age 60 on the January 1St after the firefighter retires, or the first anniversary of the pension starting date, whichever is later. Noncompounding increases occur annually, each January thereafter. The increase is the lesser of 3 percent of/z of the change in the Consumer Price Index for the proceeding calendar year. Contributions. Covered employees are required to contribute 9.455% of their base salary to the Firefighters' Pension Plan. If an employee leaves covered employment with less than 20 years of service, accumulated employee contributions may be refunded without accumulated interest. The Village is required to contribute the remaining amounts necessary to finance the plan and the administrative costs as actuarially determined by an enrolled actuary. However, effective January 1, 2011, ILCS requires the Village to contribute a minimum amount annually calculated using the projected unit credit actuarial cost method that will result in the funding of 90% of the past service cost by the year 2040. For the year -ended December 31, 2023, the Village's contribution was 48.35% of covered payroll. Concentrations. At year end, the Fund does not have any investments over 5 percent of net plan position available for retirement benefits (other than investments issued or explicitly guaranteed by the U.S. government and investments in mutual funds, external investment pools, and other pooled investments). 93 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 4 - OTHER INFORMATION - Continued EMPLOYEE RETIREMENT SYSTEM - DEFINED BENEFIT PENSION PLANS - Continued Firefighters' Pension Plan - Continued Actuarial Assumptions The total pension liability was determined by an actuarial valuation performed, as of December 31, 2023, using the following actuarial methods and assumptions: Actuarial Cost Method Entry Age Normal Asset Valuation Method Fair Value Actuarial Assumptions Interest Rate 7.125% Salary Increases 4.00% Cost of Living Adjustments Tier 1: 3.00%, Tier 2: 1.125% Inflation 2.25% Mortality rates for healthy individuals were based on the Pub -2010 Public Safety Mortality Table with with generational improvement scale MP -2021 applied from 2010. Mortality rates for disabled individuals were based the Pub -2010 Disabled Retiree Mortality Table with generational improvement scale MP -2021 applied from 2010. Discount Rate The discount rate used to measure the total pension liability was 7.125%, the same as the prior valuation. The projection of cash flows used to determine the discount rate assumed that member contributions will be made at the current contribution rate and that Village contributions will be made at rates equal to the difference between the actuarially determined contribution rates and the member rate. Based on those assumptions, the Fund's fiduciary net position was projected to be available to make all projected future benefit payments of current plan members. Therefore, the long-term expected rate of return on pension plan investments was applied to all period of projected benefit payments to determine the total pension liability. VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 4 - OTHER INFORMATION - Continued EMPLOYEE RETIREMENT SYSTEM - DEFINED BENEFIT PENSION PLANS - Continued Firefighters' Pension Plan - Continued Discount Rate Sensitivity The following is a sensitive analysis of the net pension liability to changes in the discount rate. The table below presents the net pension liability of the Village calculated using the discount rate as well as what the Village's net pension liability would be if it were calculated using a discount rate that is one percentage point lower or one percentage point higher than the current rate: Net Pension Liability Changes in the Net Pension Liability Balances at December 31, 2022 Current 1% Decrease Discount Rate 1% Increase (6.125%) (7.125%) (8.125%) $ 71,835,915 54,251,038 39,818,711 Changes for the Year: Service Cost Interest on the Total Pension Liability Changes of Benefit Terms Difference Between Expected and Actual Experience of the Total Pension Liability Changes of Assumptions Contributions - Employer Contributions - Employees Net Investment Income Benefit Payments, Including Refunds of Employee Contributions Other (Net Transfer) Net Changes Total Pension Plan Fiduciary Net Pension Liability Net Position Liability (A) (B) (A) - (B) $ 128,902,013 70,402,040 58,499,973 1,831,764 — 1,831,764 9,057,113 — 9,057,113 454,716 — 454,716 4,499,543 (4,499,543) 864,081 (864,081) 10,309,190 (10,309,190) (7,232,805) (7,232,805) — (80,286) 80,286 4,110,788 8,359,723 (4,248,935) Balances at December 31, 2023 133,012,801 78,761,763 54,251,038 R VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 4 - OTHER INFORMATION - Continued EMPLOYEE RETIREMENT SYSTEM - DEFINED BENEFIT PENSION PLANS - Continued Firefighters' Pension Plan - Continued Pension Expense, Deferred Outflows of Resources, and Deferred Inflows of Resources Related to Pensions For the year ended December 31, 2023, the Village recognized pension expense of $6,437,983. At December 31, 2023, the Village reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources: Difference Between Expected and Actual Experience Change in Assumptions Net Difference Between Projected and Actual Earnings on Pension Plan Investments Total Deferred Amounts Related to Firefighters' Pension Deferred Deferred Outflows of Inflows of Resources Resources Totals $ 1,431,152 (322,283) 1,108,869 4,162,405 (230,585) 3,931,820 4,726,216 4,726,216 10,319,773 (552,868) 9,766,905 Amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized in pension expense in future periods as follows: Outflows/ Fiscal (Inflows) Year of Resources 2024 $ 2,452,782 2025 4,001,730 2026 4,181,987 2027 (945,380) 2028 75,786 Thereafter — Total 9,766,905 96 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 4 - OTHER INFORMATION - Continued OTHER POST -EMPLOYMENT BENEFITS General Information about the OPEB Plan Plan Description. The Village's defined benefit OPEB plan, Village of Mount Prospect Retiree Benefit Plan (RBP), provides OPEB for all permanent full-time general and public safety employees of the Village. RBP is a single -employer defined benefit OPEB plan administered by the Village. Article 1 l of the State Compiled Statutes grants the authority to establish and amend the benefit terms and financing requirements to the Village Board. No assets are accumulated in a trust that meets the criteria in paragraph 4 of Statement 75. Benefits Provided. RBP provides pre and post -Medicare postretirement health insurance to retirees, their spouses, and dependents (enrolled at time of employee's retirement). Plan Membership. As of December 31, 2023, the measurement date, the following employees were covered by the benefit terms: Inactive Plan Members Currently Receiving Benefits 74 Inactive Plan Members Entitled to but not yet Receiving Benefits — Active Plan Members 300 Total The plan membership as noted above includes both the Village and the Library members. Total OPEB Liability 374 The Village's total OPEB liability was measured as of December 31, 2023, and was determined by an actuarial valuation as of that date. Actuarial Assumptions and Other Inputs. The total OPEB liability in the December 31, 2023 actuarial valuation was determined using the following actuarial assumptions and other inputs, applied to all periods included in the measurement, unless otherwise specified: 97 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 4 - OTHER INFORMATION - Continued OTHER POST -EMPLOYMENT BENEFITS - Continued Total OPEB Liability - Continued Actuarial Assumptions and Other Inputs - Continued. Inflation 2.50% Salary Increases 3.25% Discount Rate 4.00% Healthcare Cost Trend Rates 7.50% decreasing to an ultimate rate of 4.50% Retirees' Share of Benefit -Related Costs 100% of projected health insurance premiums for retirees The discount rate was based on the S&P Municipal Bond 20 Year High -Grade Rate Index for tax exempt general obligation municipal bonds rated AA or better as of December 31, 2023. Mortality rates were based on the SOA Pub -2010 General Headcount Weighted Mortality Table fully generational using Scale MP -2021. Change in the Total OPEB Liability Balance at December 31, 2022 Changes for the Year: Service Cost Interest on the Total OPEB Liability Changes of Benefit Terms Difference Between Expected and Actual Experience Changes of Assumptions or Other Inputs Benefit Payments Net Changes Balance at December 31, 2023 Total OPEB Liability S 10,311,533 509,065 456,913 (136,031) 437,350 (443,407) 823,890 11,135,423 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 4 - OTHER INFORMATION - Continued OTHER POST -EMPLOYMENT BENEFITS - Continued Sensitivity of the Total OPEB Liability to Changes in the Discount Rate The discount rate used to measure the total pension liability was 4.00%, while the prior valuation used 4.31%. The following presents the total OPEB liability, calculated using the discount rate, as well as what the total OPEB liability would be if it were calculated using a discount rate that is one percentage point lower or one percentage point higher: Current 1% Decrease Discount Rate 1% Increase (3.00%) (4.00%) (5.00%) Total OPEB Liability $ 12,749,264 11,135,423 9,815,170 Sensitivity of the Total OPEB Liability to Changes in the Healthcare Cost Trend Rates The following presents the total OPEB liability, calculated using a variable Healthcare Trend Rate, as well as what the total OPEB liability would be if it were calculated using a Healthcare Trend Rate that is one percentage point lower or one percentage point higher: Healthcare Cost Trend I% Decrease Rates 1% Increase (Varies) (Varies) (Varies) Total OPEB Liability $ 9,442,894 11,135,423 13,315,686 VILLAGE OF MOUNT PROSPECT, ILLINOIS Notes to the Financial Statements December 31, 2023 NOTE 4 - OTHER INFORMATION - Continued OTHER POST -EMPLOYMENT BENEFITS - Continued OPEB Expense and Deferred Outflows of Resources and Deferred Inflows of Resources Related to OPEB For the year ended December 31, 2023, the Village recognized OPEB expense of $397,838. At December 31, 2023, the Village reported deferred outflows of resources and deferred inflows of resources related to OPEB from the following sources: Difference Between Expected and Actual Experience $ Change in Assumptions Net Difference Between Projected and Actual Earnings Total Deferred Amounts Related to OPEB Deferred Deferred Outflows of Inflows of Resources Resources Totals — (3,401,109) 2,770,512 (3,246,599) (3,401,109) (476,087) 2,770,512 (6,647,708) (3,877,196) Amounts reported as deferred outflows of resources and deferred inflows of resources related to OPEB will be recognized in OPEB expense as follows: Net Deferred Fiscal (Inflows) Year of Resources 2024 $ (568,140) 2025 (568,140) 2026 (568,143) 2027 (250,616) 2028 (339,069) Thereafter (1,583,088) Totals (3,877,196) 100 REQUIRED SUPPLEMENTARY INFORMATION Required supplementary information includes financial information and disclosures that are required by the GASB but are not considered a part of the basic financial statements. Such information includes: • Schedule Employer Contributions Illinois Municipal Retirement Fund Police Pension Fund Firefighters' Pension Fund • Schedule of Changes in the Employer's Net Pension Liability/(Asset) Illinois Municipal Retirement Fund Police Pension Fund Firefighters' Pension Fund • Schedule of Investment Returns Police Pension Fund Firefighters' Pension Fund • Schedule of Changes in the Employer's Total OPEB Liability Retiree Benefit Plan • Budgetary Comparison Schedules General Fund Prospect/Main TIF - Special Revenue Fund Notes to the Required Supplementary Information Budgetary information - Budgets are adopted on a basis consistent with generally accepted accounting principles. 101 VILLAGE OF MOUNT PROSPECT, ILLINOIS Illinois Municipal Retirement Fund Schedule of Employer Contributions December 31, 2023 Actuarially Fiscal Determined Year Contribution Contributions in Relation to the Actuarially Contribution Determined Excess/ Contribution (Deficiency) Contributions as Covered a Percentage of Payroll Covered Payroll 2015 Totals S 1,863,012 S 1,863,012 $ — S 16,256,645 11.46% 2016 Totals 1,968,206 2,031,571 63,365 16,567,389 12.26% 2017 Totals 1,900,189 1,941,668 41,479 16,965,974 11.44% 2018 Totals 1,930,380 2,032,727 102,347 17,940,334 11.33% 2019 Totals 1,600,357 1,677,888 77,531 18,248,083 9.19% 2020 Totals 2,006,703 2,006,703 — 17,965,116 11.17% 2021 Totals 2,064,998 2,080,887 15,889 18,772,708 11.08% 2022 Totals 1,590,076 1,590,076 — 19,414,843 8.19% 2023 Village 986,199 986,199 — 20,776,848 4.75% Library 319,421 319,421 — 5,070,110 6.30% Totals 1,305,620 1,305,620 — 25,846,958 5.05% Notes to the Required Supplementary Information: Actuarial Cost Method Entry Age Normal Amortization Method Level % Pay (Closed) Remaining Amortization Period 21 Years Asset Valuation Method 5 -Year Smoothed Fair Value Inflation 2.25% Salary Increases 2.85% to 13.75%, Including Inflation Investment Rate of Return 7.25% Retirement Age See the Notes to the Financial Statements Mortality For non -disabled retirees, the Pub -2010, Amount -Weighted, below - median income, General, Retiree, Male (adjusted 106%) and Female (adjusted 105%) tables, and future mortality improvements projected using scale MP -2020. For disabled retirees, the Pub -2010, Amount - Weighted, below -median income, General, Disabled Retiree, Male and Female (both unadjusted) tables, and future mortality improvements projected using scale MP -2020. For active members, the Pub -2010, Amount -Weighted, below -median income, General, Employee, Male and Female (both unadjusted) tables, and future mortality improvements projected using scale MP -2020. Note: This schedule is intended to show information for ten years. Information for additional years will be displayed as it becomes available. 102 VILLAGE OF MOUNT PROSPECT, ILLINOIS Police Pension Fund Schedule of Employer Contributions December 31, 2023 Fiscal Year Actuarially Determined Contribution Contributions in Relation to the Actuarially Determined Contribution Contribution Excess/ (Deficiency) Covered Payroll Contributions as a Percentage of Covered Payroll 2014 $ 2,922,979 $ 2,924,226 $ 1,247 $ 7,848,795 37.26% 2015 2,909,868 2,918,395 8,527 8,049,995 36.25% 2016 3,204,363 3,232,887 28,524 8,276,985 39.06% 2017 3,817,579 3,747,825 (69,754) 8,354,290 44.86% 2018 3,601,216 3,608,602 7,386 8,526,976 42.32% 2019 3,607,934 3,582,409 (25,525) 8,505,172 42.12% 2020 3,864,556 3,855,754 (8,802) 8,791,984 43.86% 2021 3,985,302 3,977,102 (8,200) 9,034,880 44.02% 2022 3,820,016 3,821,104 1,088 9,702,264 39.38% 2023 4,760,936 4,836,758 75,822 10,434,700 46.35% Notes to the Required Supplementary Information: Actuarial Cost Method Entry Age Normal Amortization Method Level % Pay (Closed) Remaining Amortization Period 19 Years Asset Valuation Method 5 -Year Smoothed Fair Value Inflation 2.50% Salary Increases 4.00% Investment Rate of Return 6.80% Retirement Age See the Notes to the Financial Statements Mortality RP -2014 Mortality Table with a Blue Collar Adjustment, with improvement Scale MP -2020 applied generationally from 2013. 103 VILLAGE OF MOUNT PROSPECT, ILLINOIS Firefighters' Pension Fund Schedule of Employer Contributions December 31, 2023 Fiscal Year Actuarially Determined Contribution Contributions in Relation to the Actuarially Determined Contribution Contribution Excess/ (Deficiency) Covered Payroll Contributions as a Percentage of Covered Payroll 2014 $ 2,468,554 2,466,165 $ (2,389) $ 6,495,510 37.97% 2015 2,526,101 2,532,316 6,215 6,441,588 39.31% 2016 2,589,599 2,806,983 217,384 6,981,704 40.20% 2017 3,206,186 3,396,834 190,648 7,284,199 46.63% 2018 3,320,940 3,332,773 11,833 7,519,070 44.32% 2019 3,375,839 3,363,390 (12,449) 7,854,176 42.82% 2020 3,488,379 3,494,838 6,459 8,024,566 43.55% 2021 3,649,130 3,651,864 2,734 8,353,578 43.72% 2022 3,667,817 3,678,359 10,542 8,566,519 42.94% 2023 4,427,561 4,499,543 71,982 9,305,298 48.35% Notes to the Required Supplementary Information: Actuarial Cost Method Entry Age Normal Amortization Method Level % Pay (Closed) Remaining Amortization Period 19 Years Asset Valuation Method 5 -Year Smoothed Fair Value Inflation 2.50% Salary Increases 4.00% Investment Rate of Return 7.125% Retirement Age See the Notes to the Financial Statements Mortality RP -2014 Mortality Table with a blue collar adjustment, with improvement scale MP -2020 applied gencrationally from 2013. 104 VILLAGE OF MOUNT PROSPECT, ILLINOIS Illinois Municipal Retirement Fund Schedule of Changes in the Employer's Net Pension Liability/(Asset) December 31, 2023 Total Pension Liability Service Cost Interest Changes in Benefit Terms Differences Between Expected and Actual Experience Change of Assumptions Benefit Payments, Including Refunds of Member Contributions Net Change in Total Pension Liability Total Pension Liability - Beginning Total Pension Liability - Ending Plan Fiduciary Net Position Contributions - Employer Contributions - Members Net Investment Income Benefit Payments, Including Refunds of Member Contributions Other (Net Transfer) Net Change in Plan Fiduciary Net Position Plan Net Position - Beginning Plan Net Position - Ending Employer's Net Pension Liability/(Asset) Plan Fiduciary Net Position as a Percentage of the Total Pension Liability Covered Payroll Employer's Net Pension Liability/(Asset) as a Percentage of Covered Payroll 12/31/2014 12/31/2015 12/31/2016 12/31/2017 Total Total Total Total S 1,830,586 1,810,785 1,768,746 1,811,298 5,880,604 6,548,331 6,803,558 7,087,425 1,583,453 (1,203,005) (756,505) 570,864 3,126,293 113,021 (232,520) (3,034,659) (3,179,063) (3,603,793) (3,834,437) (4,289,989) 9,241,873 3,665,339 3,748,842 2,144,939 79,082,287 88,324,160 91,989,499 95,738,341 88,324,160 91,989,499 95,738,341 97,883,280 S 1,908,296 1,863,011 2,031,571 1,941,668 757,565 731,552 745,535 766,547 4,666,652 403,461 5,536,369 14,755,335 (3,179,063) (3,603,793) (3,834,437) (4,289,989) 284,199 (348,936) 403,724 (1,351,715) 4,437,649 (954,705) 4,882,762 11,821,846 76,759,094 81,196,743 80,242,038 85,124,800 81,196,743 80,242,038 85,124,800 96,946,646 S 7,127,417 11,747,461 10,613,541 936,634 91.93% 87.23% 88.91% 99.04% S 16,258,793 16,256,645 16,567,389 16,965,974 43.84% 72.26% 64.06% 5.52% Note: This schedule is intended to show information for ten years. Information for additional years will be displayed as it becomes available. Changes of Assumptions. Changes in assumptions related to the discount rate were made in 2014 through 2020. Changes in assumptions related to the demographics were made in 2014 and 2017. 105 12/31/2018 12/31/2019 12/31/2020 12/31/2021 12/31/2022 Total Total Total Total Village Library Totals 1,690,492 1,858,283 1,889,347 1,729,570 1,351,370 437,696 1,789,066 7,223,810 7,700,258 8,093,842 8,171,763 6,328,402 2,255,716 8,584,118 3,043,104 1,402,150 (2,265,155) 2,012,623 1,334,089 432,100 1,766,189 3,019,891 — (798,053) — (4,822,107) (5,514,317) (5,580,626) (5,950,015) (4,956,663) (1,605,418) (6,562,081) 10,155,190 97,883,280 5,446,374 108,038,470 1,339,355 113,484,844 5,963,941 114,824,199 4,057,198 88,590,452 1,520,094 32,197,688 5,577,292 120,788,140 108,038,470 113,484,844 114,824,199 120,788,140 92,647,650 33,717,782 126,365,432 2,032,727 1,677,888 2,006,704 2,080,887 1,201,063 389,013 1,590,076 1,104,133 879,607 828,036 920,693 686,939 222,494 909,433 (5,230,039) 17,276,295 15,388,334 20,022,657 (12,912,730) (4,182,317) (17,095,047) (4,822,107) (5,514,317) (5,580,626) (5,950,015) (4,956,663) (1,605,418) (6,562,081) 1,969,030 527,892 (302,878) 79,127 160,380 51,945 212,325 (4,946,256) 14,847,365 12,339,570 17,153,349 (15,821,011) (5,124,283) (20,945,294) 96,946,646 92,000,390 106,847,755 119,187,325 100,182,441 36,158,233 136,340,674 92,000,390 106,847,755 119,187,325 136,340,674 84,361,430 31,033,950 115,395,380 16,038,080 6,637,089 (4,363,126) (15,552,534) 8,286,220 2,683,832 10,970,052 85.16% 94.15% 103.80% 112.88% 91.06% 92.04% 91.32% 17,940,334 18,248,083 17,965,116 18,772,708 14,664,986 4,749,857 19,414,843 89.40% 36.37% (24.29%) (82.85%) 56.50% 56.50% 56.50% 106 VILLAGE OF MOUNT PROSPECT, ILLINOIS Police Pension Fund Schedule of Changes in the Employer's Net Pension Liability December 31, 2023 Total Pension Liability Service Cost Interest Changes in Benefit Terms Differences Between Expected and Actual Experience Change of Assumptions Benefit Payments, Including Refunds of Member Contributions Net Change in Total Pension Liability Total Pension Liability - Beginning Total Pension Liability - Ending Plan Fiduciary Net Position Contributions - Employer Contributions - Members Net Investment Income Benefit Payments, Including Refunds of Member Contributions Administrative Expenses Net Change in Plan Fiduciary Net Position Plan Net Position - Beginning Plan Net Position - Ending Employer's Net Pension Liability Plan Fiduciary Net Position as a Percentage of the Total Pension Liability Covered Payroll Employer's Net Pension Liability as a Percentage of Covered Payroll 107 12/31/2014 12/31/2015 12/31/2016 $ 1,890,407 1,777,310 1,732,924 6,479,504 7,210,826 8,221,483 860,183 95,650 (5,201,074) 4,844,398 7,268,193 29,971 (4,117,120) (4,529,962) (4,688,978) 9,957,372 11,822,017 94,326 88,451,950 98,409,322 110,231,339 98,409,322 110,231,339 110,325,665 $ 2,924,226 2,918,395 3,232,887 851,363 795,827 815,684 3,845,862 545,802 4,161,658 (4,117,120) (4,529,962) (4,688,978) (60,382) (49,947) (44,605) 3,443,949 (319,885) 3,476,646 55,375,976 58,819,925 58,500,040 58,819,925 58,500,040 61,976,686 $ 39,589,397 51,731,299 48,348,979 59.77% 53.07% 56.18% $ 7,848,795 8,049,995 8,276,985 504.40% 642.63% 584.14% 12/31/2017 12/31/2018 12/31/2019 12/31/2020 12/31/2021 12/31/2022 12/31/2023 1,557,284 1,575,461 1,576,407 1,571,647 1,613,165 1,825,295 2,162,652 7,951,856 8,195,228 8,574,834 8,826,306 8,899,357 9,808,132 10,014,814 - - 202,152 - - - - (1,650,048) (208,550) (439,430) (2,533,619) 1,303,302 1,372,725 3,231,740 385,618 1,320,658 (343,513) (485,790) 12,017,565 834,969 - (4,404,364) (5,407,697) (5,887,879) (6,306,360) (6,518,558) (6,839,629) (7,196,326) 3,840,346 5,475,100 3,682,571 1,072,184 17,314,831 7,001,492 8,212,880 110,325,665 114, l 66,011 119,641,111 123,323,682 124,395,866 141,710,697 148,712,189 114,166,011 119,641,111 123,323,682 124,395,866 141,710,697 148,712,189 156,925,069 3,747,825 3,608,602 3,582,499 3,855,754 3,977,102 3,821,104 4,836,758 830,240 838,893 860,265 860,062 887,126 1,020,818 1,337,196 8,967,014 (3,697,156) 13,440,246 10,224,907 11,280,599 (13,736,952) 10,383,139 (4,404,364) (5,407,697) (5,887,879) (6,306,360) (6,518,558) (6,839,629) (7,196,326) (48,339) (37,596) (35,695) (59,676) (60,168) (68,343) (71,287) 9,092,376 (4,694,954) 11,959,436 8,574,687 9,566,101 (15,803,002) 9,289,480 61,976,686 71,069,062 66,374,108 78,333,544 86,908,231 96,474,332 80,671,330 71,069,062 66,374,108 78,333,544 86,908,231 96,474,332 80,671,330 89,960,810 43,096,949 53,267,003 44,990,138 37,487,635 45,236,365 68,040,859 66,964,259 62.25% 55.48% 63.52% 69.86% 68.08% 54.25% 57.33% 8,354,290 8,526,976 8,505,172 8,791,984 9,034,880 9,702,264 10,434,700 515.87% 624.69% 528.97% 426.38% 500.69% 701.29% 641.75% 108 VILLAGE OF MOUNT PROSPECT, ILLINOIS Firefighters' Pension Fund Schedule of Changes in the Employer's Net Pension Liability December 31, 2023 Total Pension Liability Service Cost Interest Changes in Benefit Terms Differences Between Expected and Actual Experience Change of Assumptions Benefit Payments, Including Refunds of Member Contributions Net Change in Total Pension Liability Total Pension Liability - Beginning Total Pension Liability - Ending Plan Fiduciary Net Position Contributions - Employer Contributions - Members Net Investment Income Benefit Payments, Including Refunds of Member Contributions Administrative Expenses Net Change in Plan Fiduciary Net Position Plan Net Position - Beginning Plan Net Position - Ending Employer's Net Pension Liability Plan Fiduciary Net Position as a Percentage of the Total Pension Liability Covered Payroll Employer's Net Pension Liability as a Percentage of Covered Payroll 109 12/31/2014 12/31/2015 12/31/2016 $ 1,673,836 1,515,101 1,429,810 5,780,241 6,270,507 7,296,444 225,575 1,603,162 (1,491,027) 3,234,155 7,648,623 396,832 (4,158,988) (4,594,876) (4,981,207) 6,754,819 12,442,517 2,650,852 79,149,378 85,904,197 98,346,714 85,904,197 98,346,714 100,997,566 2,466,165 644,384 3,963,252 2,532,317 606,932 1,806,126 2,806,983 668,070 3,049,538 (4,158,988) (4,594,876) (4,981,207) (62,889) (62,136) (55,257) 2,851,924 288,363 1,488,127 53,716,415 56,568,339 56,856,702 56,568,339 56,856,702 58,344,829 $ 29,335,858 41,490,012 42,652,737 65.85% 57.81% 57.77% $ 6,495,510 6,441,588 6,981,704 451.63% 644.10% 610.92% 12/31/2017 12/31/2018 12/31/2019 12/31/2020 12/31/2021 12/31/2022 12/31/2023 1,426,033 1,427,248 1,479,272 1,581,259 1,623,510 1,746,912 1,831,764 7,228,968 7,510,621 7,617,301 7,829,880 8,064,784 8,784,556 9,057,113 - - 403,544 - - - - 1,470,077 (2,255,993) 64,710 970,396 1,328,239 80,779 454,716 (572,774) 809,820 (346,430) (518,533) 7,790,489 227,213 - (5,427,385) (5,909,909) (6,234,640) (6,541,877) (6,788,536) (6,965,087) (7,232,805) 4,124,919 1,581,787 2,983,757 3,321,125 12,018,486 3,874,373 4,110,788 100,997,566 105, l 22,485 106,704,272 109,688,029 113,009,154 125,027,640 128,902,013) 105,122,485 106,704,272 109,688,029 113,009,154 125,027,640 128,902,013 133,012,801 3,396,834 3,332,773 3,363,390 3,494,838 3,651,864 3,678,359 4,499,543 678,476 688,000 793,037 758,838 782,338 811,804 864,081 9,323,369 (1,914,014) 10,947,884 11,556,727 7,021,828 (12,071,065) 10,309,190 (5,427,385) (5,909,909) (6,234,640) (6,541,877) (6,788,536) (6,965,087) (7,232,805) (50,783) (63,660) (40,260) (36,998) (109,735) (69,199) (80,286) 7,920,511 (3,866,810) 8,829,411 9,231,528 4,557,759 (14,615,188) 8,359,723 58,344,829 66,265,340 62,398,530 71,227,941 80,459,469 85,017,228 70,402,040 66,265,340 62,398,530 71,227,941 80,459,469 85,017,228 70,402,040 78,761,763 38,857,145 44,305,742 38,460,088 32,549,685 40,010,412 58,499,973 54,251,038 63.04% 58.48% 64.94% 71.20% 68.00% 54.62% 59.21% 7,284,199 7,519,070 7,854,176 8,024,566 8,353,578 8,566,519 9,305,298 533.44% 589.24% 489.68% 405.63% 478.96% 682.89% 583.01% 110 VILLAGE OF MOUNT PROSPECT, ILLINOIS Police Pension Fund Schedule of Investment Returns December 31, 2023 Annual Money - Weighted Rate of Return, Net Fiscal of Investment Year Expense 2014 6.92% 2015 0.92% 2016 7.15% 2017 14.29% 2018 (5.21%) 2019 20.29% 2020 13.20% 2021 15.66% 2022 (14.40%) 2023 12.96% 111 VILLAGE OF MOUNT PROSPECT, ILLINOIS Firefighters' Pension Fund Schedule of Investment Returns December 31, 2023 Annual Money - Weighted Rate of Return, Net Fiscal of Investment Year Expense 2014 7.60% 2015 3.38% 2016 5.58% 2017 16.49% 2018 (2.80%) 2019 16.52% 2020 16.49% 2021 8.87% 2022 (14.43%) 2023 14.80% 112 VILLAGE OF MOUNT PROSPECT, ILLINOIS Retiree Benefit Plan Schedule of Changes in the Employer's Total OPEB Liability December 31, 2023 Total OPEB Liability - Ending 10,889,132 Covered -Employee Payroll $ 26,110,072 Total OPEB Liability as a Percentage of Covered -Employee Payroll 41.70% Notes: This schedule is intended to show information for ten years. Information for additional years will be displayed as it becomes available. No assets are accumulated in a trust that meets the criteria in paragraph 4 of Statement 75. Changes ofAssumptions. Changes in assumptions related to the discount rate were made in 2018 through 2023. 113 12/31/2018 Total OPEB Liability Service Cost $ 523,084 Interest 463,660 Changes in Benefit Terms — Differences Between Expected and Actual Experience (1,152,702) Change of Assumptions or Other inputs (1,704,999) Benefit Payments (387,384) Net Change in Total OPEB Liability (2,258,341) Total OPEB Liability - Beginning 13,147,473 Total OPEB Liability - Ending 10,889,132 Covered -Employee Payroll $ 26,110,072 Total OPEB Liability as a Percentage of Covered -Employee Payroll 41.70% Notes: This schedule is intended to show information for ten years. Information for additional years will be displayed as it becomes available. No assets are accumulated in a trust that meets the criteria in paragraph 4 of Statement 75. Changes ofAssumptions. Changes in assumptions related to the discount rate were made in 2018 through 2023. 113 12/31/2019 12/31/2020 12/31/2021 12/31/2022 12/31/2023 457,933 560,011 882,943 836,978 509,065 457,768 407,957 329,431 338,311 456,913 (530,505) (1,053,887) (966,849) (1,745,478) (136,031) 1,326,575 3,217,155 (283,951) (3,099,372) 437,350 (422,580) (452,279) (404,187) (433,573) (443,407) 1,289,191 2,678,957 (442,613) (4,103,134) 823,890 10,889,132 12,178,323 14,857,280 14,414,667 10,311,533 12,178,323 14,857,280 14,414,667 10,311,533 11,135,423 26,958,649 27,836,531 28,741,218 29,641,953 30,605,316 45.17% 53.37% 50.15% 34.79% 36.38% 114 VILLAGE OF MOUNT PROSPECT, ILLINOIS General Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual For the Fiscal Year Ended December 31, 2023 Budget Original Final Actual Revenues Taxes $ 24,937,571 30,307,571 30,768,743 Licenses and Permits 2,711,500 2,756,500 2,782,346 Intergovernmental 45,150,308 42,617,308 41,780,899 Charges for Services 2,991,000 3,220,000 3,737,078 Fines and Forfeitures 301,300 301,300 332,710 Interest 126,000 2,710,000 2,746,117 Miscellaneous 236,650 351,650 459,586 Total Revenues 76,454,329 82,264,329 82,607,479 Expenditures General Government 81357,702 8,442,702 7,571,521 Public Safety 42,748,009 44,079,394 43,975,847 Highways and Streets 11,265,528 10,540,544 10,276,613 Health 167,210 167,210 125,878 Welfare 2,204,197 2,206,696 1,672,152 Culture and Recreation 410,507 444,507 396,530 Total Expenditures 65,153,153 65,881,053 64,018,541 Excess (Deficiency) of Revenues Over (Under) Expenditures 11,301,176 16,383,276 18,588,938 Other Financing Sources (Uses) Disposal of Capital Assets 5,956 Transfers Out (11,350,000) (18,850,000) (14,280,911) (11,350,000) (18,850,000) (14,274,955) Net Change in Fund Balance (48,824) (2,466,724) 4,313,983 Fund Balance - Beginning 48,245,320 Fund Balance - Ending 52,559,303 115 VILLAGE OF MOUNT PROSPECT, ILLINOIS Prospect and Main TIF - Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual For the Fiscal Year Ended December 31, 2023 Budget Original Final Actual Revenues Taxes Property Taxes $ 1,900,000 3,400,000 3,428,908 Interest — 40,000 39,269 Miscellaneous 5,000 5,000 23 Total Revenues 1,905,000 3,445,000 3,468,200 Expenditures General Government Other Employee Costs 1,500 164,500 162,975 Contractual Services 80,000 100,000 117,759 Commodities and Supplies 1,500 1,500 — Capital Outlay Other 1,206,000 2,011,000 1,825,683 Debt Service Principal Retirement 605,000 605,000 605,000 Interest and Fiscal Charges 668,038 668,038 667,938 Total Expenditures 2,562,038 3,550,038 3,379,355 Net Change in Fund Balance (657,038) (105,038) 88,845 Fund Balance - Beginning 2,177,557 Fund Balance - Ending 2,266,402 116 OTHER SUPPLEMENTARY INFORMATION Other supplementary information includes financial statements and schedules not required by the GASB, nor a part of the basic financial statements, but are presented for purposes of additional analysis. Such statements and schedules include: • Budgetary Comparison Schedules - Major Governmental Funds • Combining Statements - Nonmajor Governmental Funds • Budgetary Comparison Schedules - Nonmajor Governmental Funds • Budgetary Comparison Schedules - Enterprise Funds • Combining Statements - Internal Service Funds • Budgetary Comparison Schedules - Internal Service Funds • Combining Statements - Pension Trust Funds • Consolidated Year -End Financial Report 117 GOVERNMENTAL FUNDS 118 MAJOR GOVERNMENTAL FUNDS GENERAL FUND General Fund: The General Fund is used to account for all financial resources except those required to be accounted for in another fund. SPECIAL REVENUE FUND Prospect and Main TIF Fund: The Prospect/Main TIF Fund is used to account for the resources to acquire property and construct certain improvements in the Prospect/Main Tax Incremental Financing District. Financing is being provided by incremental property taxes, general obligation bond proceeds, and investment income. See the Schedule of Revenues, Expenditures and Changes in Fund Balance in the Required Supplementary Information section of this report. DEBT SERVICE FUND Debt Service Fund: The Debt Service Fund is used to account for the accumulation of funds for the periodic payment of principal and interest on general long-term debt. 119 VILLAGE OF MOUNT PROSPECT, ILLINOIS General Fund Schedule of Revenues - Budget and Actual For the Fiscal Year Ended December 31, 2023 Taxes Property Taxes - General Property Taxes - Police Pension Property Taxes - Firefighters' Pension Road and Bridge Property Tax Auto Rental Tax Food and Beverage Tax Real Estate Transfer Tax Hotel/Motel Tax Telecommunications Tax Home Rule Sales Tax Gas Utility Tax Electric Utility Tax Total Taxes Licenses and Permits Liquor Licenses Business Licenses Contractor Licenses Alarm Licenses Elevator Licenses Building Permit Fees Reinspection Fees Gaming License Fees Vacant Structure Registration Fees Truck Rental Fees Utility Permit Fees ZBA Hearing Fees Village Impact Fees False Alarm Fees Landlord/Tenant Fees Cable TV Franchise Fees Total Licenses and Permits 120 Budget Original Final Actual S 9,396,074 9,396,074 9,590,404 4,385,936 4,385,936 4,443,258 4,052,561 4,052,561 4,100,243 136,000 136,000 119,473 35,000 35,000 29,751 1,080,000 1,214,000 1,216,606 1,125,000 956,000 956,954 175,000 93,000 93,568 1,320,000 976,000 1,062,819 1,500,000 7,245,000 7,308,754 627,000 713,000 720,646 1,105,000 1,105,000 1,126,267 24,937,571 30,307,571 30,768,743 180,000 180,000 182,519 150,000 150,000 152,824 115,000 115,000 119,400 45,000 45,000 44,206 25,000 25,000 26,410 1,000,000 1,000,000 1,021,541 1,000 1,000 1,175 85,500 85,500 98,900 2,000 2,000 6,000 1,500 1,500 6,515 3,000 3,000 6,400 10,000 10,000 6,600 50,000 137,000 136,160 6,000 6,000 11,200 305,000 305,000 312,103 732,500 690,500 650,393 2,711,500 2,756,500 2,782,346 VILLAGE OF MOUNT PROSPECT, ILLINOIS General Fund Schedule of Revenues - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2023 Intergovernmental State Sales Tax State Income Tax State Use Tax Charitable Games Tax Cannabis Education Fund Municipal Cannabis Tax Replacement Taxes Replacement Taxes - Road and Bridge Grant - Body Armor Grant - American Rescue Plan Act Grant- Other Total Intergovernmental Charges for Services Maintenance of State Highways Ambulance Transport Fees Forest River Rural FPD Other Programs Special Detail Revenue Police Training Revenue Fire Training Revenue Lease Payments - Cell Towers General Store Lease Total Charges for Services Fines and Forfeitures Fines - Parking Fines - Local Ordinances Fines - Code Enforcement Fines - Circuit Court Fines - Parental Responsibility Forfeited Escrow Funds Total Fines and Forfeitures 121 Budget Original Final Actual $ 28,500,000 27,910,000 27,842,458 7,521,500 9,080,500 9,080,365 2,063,700 2,250,700 2,250,111 3,000 3,000 3,066 110,800 110,800 86,048 30,000 30,000 80,937 825,000 1,194,000 1,193,793 6,000 6,000 21,926 8,000 8,000 7,084 5,942,368 1,999,368 1,184,577 139,940 24,940 30,534 45,150,308 42,617,308 41,780,899 45,000 122,000 121,628 2,700,000 2,852,000 3,271,918 45,000 45,000 83,185 2,500 2,500 42,385 17,500 17,500 22,629 35,000 35,000 22,302 10,000 10,000 18,285 125,000 125,000 88,289 46,000 46,000 66,457 2,991,000 3,220,000 3,737,078 165,000 165,000 153,937 1,000 1,000 237 35,000 35,000 34,781 65,000 65,000 98,780 300 300 1,050 35,000 35,000 43,925 301,300 301,300 332,710 VILLAGE OF MOUNT PROSPECT, ILLINOIS General Fund Schedule of Revenues - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2023 Interest Investment Income Interest - Escrow Funds Total Interest Miscellaneous Reimburse - H/S Youth Officer Reimburse - Mount Prospect Library Shared Cost - Sidewalk Shared Cost - Tree Replacement Reimburse - Village Property Other Reimbursements Human Services Revenue Fire and Police Reports Animal Release Fees Subpoena Fees Other Revenue Total Miscellaneous Total Revenues 122 Budget Original Final Actual $ 125,000 2,709,000 2,713,205 1,000 1,000 32,912 126,000 2,710,000 2,746,117 108,000 108,000 105,828 10,000 10,000 37,137 15,000 15,000 1,950 2,000 2,000 — 13,656 45,000 45,000 94,951 600 600 666 6,000 6,000 6,550 200 200 375 350 350 195 49,500 164,500 198,278 236,650 351,650 459,586 76,454,329 82,264,329 82,607,479 VILLAGE OF MOUNT PROSPECT, ILLINOIS General Fund Schedule of Expenditures - Budget and Actual For the Fiscal Year Ended December 31, 2023 General Government Public Representation - Administration Village Administration Finance Department Community Development - Administration Benefit Payments Total General Government Public Safety Community Development - Code Enforcement Police Department Fire Department Total Public Safety Highways and Streets Public Works Department Health Community Development - Health Welfare Human Services Department Community Development - Housing Total Welfare Culture and Recreation Public Representation - Community and Civic Services Total Expenditures 123 Budget Original Final Actual $ 214,089 214,089 165,182 4,930,101 5,075,101 4,708,504 1,746,748 1,686,748 1,533,547 1,460,020 1,460,020 1,157,543 6,744 6,744 6,745 8,357,702 8,442,702 7,571,521 1,386,029 1,386,029 1,313,094 21,575,071 21,977,493 21,926,267 19,786,909 20,715,872 20,736,486 42,748,009 44,079,394 43,975,847 11,265,528 10,540,544 10,276,613 167,210 167,210 125,878 1,924,212 1,926,711 1,397,174 279,985 279,985 274,978 2,204,197 2,206,696 1,672,152 410,507 444,507 396,530 65,153,153 65,881,053 64,018,541 VILLAGE OF MOUNT PROSPECT, ILLINOIS General Fund Schedule of Detailed Expenditures - Budget and Actual For the Fiscal Year Ended December 31, 2023 General Government Public Representation - Administration Mayor and Board of Trustees Personal Services Employee Benefits Other Employee Costs Contractual Services Commodities and Supplies Total Mayor and Board of Trustees Village Administration Village Manager's Office Personal Services Employee Benefits Other Employee Costs Contractual Services Utilities Commodities and Supplies Office and Other Equipment Insurance Total Village Manager's Office Legal Services Contractual Services Human Resources Personal Services Employee Benefits Other Employee Costs Contractual Services Commodities and Supplies Total Human Resources 124 Budget Original Final Actual $ 25,006 25,006 25,015 1,917 1,917 1,914 - 6,000 4,720 181,652 175,652 127,247 5,514 5,514 6,286 214,089 214,089 165,182 655,874 655,874 662,588 536,923 332,423 206,533 26,256 26,256 16,451 77,511 77,511 23,068 4,000 4,000 3,216 8,430 8,430 4,944 252 252 248 26,351 26,351 26,351 1,335,597 1,131,097 943,399 643,020 643,020 605,318 299,887 299,887 289,451 265,031 614,531 662,892 73,060 73,060 18,263 20,550 20,550 9,398 1,250 1,250 775 659,778 1,009,278 980,779 VILLAGE OF MOUNT PROSPECT, ILLINOIS General Fund Schedule of Detailed Expenditures - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2023 General Government - Continued Village Administration - Continued Information Technology Personal Services Employee Benefits Other Employee Costs Contractual Services Utilities Commodities and Supplies Office and Other Equipment Total Information Technology Communications Personal Services Employee Benefits Other Employee Costs Contractual Services Total Communications Television Services Personal Services Employee Benefits Contractual Services Commodities and Supplies Office and Other Equipment Total Television Services Marketing and Public Relations Personal Services Employee Benefits Contractual Services Total Marketing and Public Relations 125 Budget Original Final Actual $ 443,624 443,624 444,403 158,291 158,291 147,744 7,000 7,000 398 721,885 721,885 631,607 28,500 28,500 25,322 500 500 482 15,000 15,000 8,840 1,374,800 1,374,800 1,258,796 100,773 100,773 100,771 37,217 37,217 38,670 2,200 2,200 1,798 48,050 48,050 42,528 188,240 188,240 183,767 77,375 77,375 74,581 31,494 31,494 43,089 6,944 6,944 7,094 518 50,000 50,000 112,241 165,813 165,813 237,523 110,019 110,019 97,999 36,762 36,762 22,597 179,000 179,000 155,493 325,781 325,781 276,089 VILLAGE OF MOUNT PROSPECT, ILLINOIS General Fund Schedule of Detailed Expenditures - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2023 General Government - Continued Village Administration - Continued Community Engagement Other Employee Costs Contractual Services Utilities Commodities and Supplies Total Community Engagement Village Clerk's Office Administration and Support Personal Services Employee Benefits Other Employee Costs Contractual Services Commodities and Supplies Total Village Clerk's Office Total Village Administration Finance Department Administration and Support Personal Services Employee Benefits Other Employee Costs Contractual Services Utilities Commodities and Supplies Office and Other Equipment Insurance Total Administration and Support 126 Budget Original Final Actual $ 4,800 4,800 893 22,000 22,000 17,537 1,250 1,250 905 650 650 570 28,700 28,700 19,905 129,684 129,684 126,574 48,918 48,918 46,238 2,035 2,035 450 26,535 26,535 28,837 1,200 1,200 829 208,372 208,372 202,928 4,930,101 5,075,101 4,708,504 256,193 256,193 259,588 97,565 97,565 94,918 23,840 23,840 8,052 235,375 190,375 176,756 2,600 2,600 1,622 8,975 8,975 3,150 88,500 88,500 74,018 15,540 15,540 15,541 728,588 683,588 633,645 VILLAGE OF MOUNT PROSPECT, ILLINOIS General Fund Schedule of Detailed Expenditures - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2023 General Government - Continued Finance Department - Continued Accounting Personal Services Employee Benefits Other Employee Costs Contractual Services Commodities and Supplies Total Accounting Insurance Customer Service Personal Services Employee Benefits Other Employee Costs Contractual Services Commodities and Supplies Total Customer Set -vice Total Finance Department Community Development - Administration Administration and Support Personal Services Employee Benefits Other Employee Costs Contractual Services Utilities Commodities and Supplies Insurance Total Administration and Support 127 Budget Original Final Actual $ 408,597 408,597 367,907 115,133 115,133 123,626 4,200 4,200 1,633 1,100 1,100 453 5,160 5,160 2,999 534,190 534,190 496,618 42,507 42,507 26,283 290,256 290,256 289,554 91,607 91,607 72,252 2,400 2,400 924 49,685 34,685 12,053 7,515 7,515 2,218 441,463 426,463 377,001 1,746,748 1,686,748 1,533,547 144,107 144,107 138,960 48,096 48,096 40,483 5,005 5,005 4,257 36,000 36,000 32,888 3,120 3,120 1,029 1,150 1,150 158 9,789 9,789 9,789 247,267 247,267 227,564 VILLAGE OF MOUNT PROSPECT, ILLINOIS General Fund Schedule of Detailed Expenditures - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2023 General Government - Continued Community Development - Administration - Continued Planning and Zoning Personal Services Employee Benefits Other Employee Costs Contractual Services Commodities and Supplies Total Planning and Zoning Economic Development Personal Services Employee Benefits Other Employee Costs Contractual Services Budget Original Final Actual $ 233,879 233,879 259,005 85,111 85,111 79,360 8,256 8,256 4,639 26,078 26,078 15,501 5,730 5,730 3,243 359,054 359,054 361,748 106,137 106,137 45,945 31,812 31,812 12,361 3,120 3,120 3,220 275,000 275,000 138,419 Total Economic Development 416,069 416,069 199,945 Administration and Support - Building and Inspections Personal Services 290,809 290,809 247,888 Employee Benefits 109,824 109,824 95,389 Utilities 19,038 19,038 7,050 Insurance 17,959 17,959 17,959 Total Administration and Support - Building and Inspections 437,630 437,630 368,286 Total Community Development - Administration 1,460,020 1,460,020 1,157,543 Benefit Payments Contractual Services 6,744 6,744 6,745 Total General Government 128 8,357,702 8,442,702 7,571,521 VILLAGE OF MOUNT PROSPECT, ILLINOIS General Fund Schedule of Detailed Expenditures - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2023 Public Safety Community Development - Code Enforcement Building Inspection Personal Services Employee Benefits Other Employee Costs Contractual Services Commodities and Supplies Total Community Development - Code Enforcement Police Department Administration and Support Personal Services Employee Benefits Other Employee Costs Contractual Services Utilities Commodities and Supplies Office and Other Equipment Insurance Total Administration and Support Records Personal Services Employee Benefits Contractual Services Commodities and Supplies Office and Other Equipment Total Records Patrol and Traffic Enforcement Personal Services Employee Benefits Contractual Services Commodities and Supplies Office and Other Equipment Total Patrol and Traffic Enforcement 129 Budget Original Final Actual $ 833,577 833,577 860,362 375,946 375,946 350,549 14,500 14,500 12,128 138,006 138,006 77,585 24,000 24,000 12,470 1,386,029 1,386,029 1,313,094 969,769 969,769 934,553 4,753,038 4,815,538 4,891,488 176,770 176,770 165,779 303,343 303,343 248,642 10,000 10,000 7,597 30,255 30,255 21,395 23,240 23,240 16,543 210,121 210,121 210,122 6,476,536 6,539,036 6,496,119 446,371 446,371 462,629 217,284 217,284 194,190 5,188 5,188 3,564 5,630 5,630 3,343 545 545 - 675,018 675,018 663,726 8,722,366 8,934,216 9,368,576 1,600,879 1,728,951 1,698,509 549,668 549,668 450,345 114,190 114,190 118,112 6,765 6,765 5,210 10,993,868 11,333,790 11,640,752 VILLAGE OF MOUNT PROSPECT, ILLINOIS General Fund Schedule of Detailed Expenditures - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2023 Public Safety - Continued Police Department - Continued K-9 Unit Personal Services Employee Benefits Contractual Services Commodities and Supplies Total K-9 Unit Crime Prevention and Public Services Personal Services Employee Benefits Other Employee Costs Contractual Services Commodities and Supplies Budget Original Final Actual $ 142,353 142,353 - 11,064 11,064 - 5,660 5,660 1,500 5,040 5,040 832 164,117 164,117 2,332 282,260 282,260 319,434 73,247 73,247 64,132 4,770 4,770 4,784 1,785 1,785 2,563 27,065 27,065 32,721 Total Crime Prevention and Public Services 389,127 389,127 423,634 Civic Events Personal Services 79,827 Employee Benefits 1,567 Total Civic Events 81,394 Investigative Personal Services 1,613,047 1,613,047 1,419,574 Employee Benefits 220,497 220,497 205,421 Contractual Services 28,772 28,772 24,797 Utilities 3,500 3,500 1,013 Commodities and Supplies 4,935 4,935 3,460 Office and Other Equipment 855 855 718 Total Investigative 1,871,606 1,871,606 1,654,983 Equipment Maintenance Contractual Services 959,264 959,264 918,097 Commodities and Supplies 35,495 35,495 35,566 Office and Other Equipment 10,040 10,040 9,664 Total Equipment Maintenance 1,004,799 1,004,799 963,327 Total Police Department 21,575,071 21,977,493 21,926,267 130 VILLAGE OF MOUNT PROSPECT, ILLINOIS General Fund Schedule of Detailed Expenditures - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2023 Public Safety - Continued Fire Department Administration and Support Personal Services Employee Benefits Other Employee Costs Contractual Services Commodities and Supplies Office and Other Equipment Insurance Total Administration and Support Fire Department Operations Personal Services Employee Benefits Other Employee Costs Contractual Services Commodities and Supplies Office and Other Equipment Total Fire Department Operations Fire Prevention Personal Services Employee Benefits Other Employee Costs Contractual Services Commodities and Supplies Total Fire Prevention Communications Contractual Services Utilities Commodities and Supplies Office and Other Equipment Total Communications 131 Budget Original Final Actual $ 786,744 766,744 769,359 4,387,250 4,387,250 4,442,097 60,300 57,300 50,112 534,750 1,277,750 1,254,557 12,850 12,850 9,304 4,000 4,000 2,866 202,375 202,375 202,375 5,988,269 6,708,269 6,730,670 9,594,688 9,870,688 9,859,133 1,708,015 1,670,117 1,681,440 87,542 87,542 93,649 153,392 153,392 151,081 23,350 23,350 13,649 168,355 162,398 168,609 11,735,342 11,967,487 11,967,561 296,805 296,805 288,812 95,526 95,526 119,016 3,780 3,780 828 2,500 2,500 1,605 16,700 16,700 16,377 415,311 415,311 426,638 4,000 4,000 - 13,000 13,000 13,618 1,500 1,050 694 10,000 10,450 9,555 28,500 28,500 23,867 VILLAGE OF MOUNT PROSPECT, ILLINOIS General Fund Schedule of Detailed Expenditures - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2023 Public Safety - Continued Fire Department - Continued Equipment Maintenance Contractual Services Commodities and Supplies Emergency Preparedness Personal Services Employee Benefits Other Employee Costs Contractual Services Commodities and Supplies Total Emergency Preparedness Paid on Call Personal Services Employee Benefits Other Employee Costs Office and Other Equipment Total Paid on Call Total Fire Department Total Public Safety Highways and Streets Public Works Department Administration and Support Personal Services Employee Benefits Other Employee Costs Contractual Services Utilities Commodities and Supplies Office and Other Equipment Insurance Total Administration and Support 132 Budget Original Final Actual $ 1,269,649 1,269,649 1,269,649 171 1,269,649 1,269,649 1,269,820 199,263 199,263 196,323 71,969 71,969 71,920 1,000 1,000 538 1,500 1,500 3,026 15,450 15,450 11,894 289,182 289,182 283,701 45,440 25,440 23,649 3,016 3,016 1,813 8,600 8,600 8,349 3,600 418 418 60,656 37,474 34,229 19,786,909 20,715,872 20,736,486 42,748,009 44,079,394 43,975,847 310,749 310,749 312,821 172,916 172,916 180,145 33,704 40,072 40,949 1,499,562 1,493,994 1,452,845 4,503 4,503 4,781 17,769 16,969 18,787 1,461 1,461 1,460 260,119 260,119 260,119 2,300,783 2,300,783 2,271,907 VILLAGE OF MOUNT PROSPECT, ILLINOIS General Fund Schedule of Detailed Expenditures - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2023 Highways and Streets - Continued Public Works Department - Continued Street and Buildings Division Administration Personal Services Employee Benefits Utilities Commodities and Supplies Total Administration Maintenance - Public Buildings Personal Services Employee Benefits Contractual Services Utilities Commodities and Supplies Other Expenditures Total Maintenance - Public Buildings Street Maintenance Personal Services Employee Benefits Contractual Services Commodities and Supplies Total Street Maintenance Snow Removal Personal Services Employee Benefits Contractual Services Commodities and Supplies Office and Other Equipment Total Snow Removal 133 Budget Original Final Actual $ 137,011 137,011 127,864 45,062 45,062 43,815 4,503 4,503 4,787 550 550 155 187,126 187,126 176,621 601,146 601,146 626,635 243,306 243,306 225,782 495,685 489,460 492,855 44,346 47,751 19,467 165,274 168,094 158,438 4,685 4,685 - 1,554,442 1,554,442 1,523,177 344,745 344,745 297,961 119,635 119,635 89,303 988,774 364,439 358,385 51,319 51,319 46,017 1,504,473 880,138 791,666 422,830 422,830 459,286 153,529 153,529 139,377 115,452 115,452 49,162 15,687 15,687 9,808 12,480 12,480 - 719,978 719,978 657,633 VILLAGE OF MOUNT PROSPECT, ILLINOIS General Fund Schedule of Detailed Expenditures - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2023 Highways and Streets - Continued Public Works Department - Continued Street and Buildings Division - Continued Storm Sewer/Basin Maintenance Personal Services Employee Benefits Contractual Services Commodities and Supplies Total Storm Sewer/Basin Maintenance Maintenance of State Highways Personal Services Employee Benefits Contractual Services Commodities and Supplies Total Maintenance of State Highways Traffic Sign Maintenance Personal Services Employee Benefits Commodities and Supplies Total Traffic Sign Maintenance Civic Events Personal Services Employee Benefits Commodities and Supplies Total Civic Events Capital Expenditures Other Total Street and Buildings Division 134 Budget Original Final Actual $ 100,381 100,381 91,392 32,261 32,261 27,075 11,864 11,864 6,755 10,877 10,877 6,394 155,383 155,383 131,616 44,891 44,891 41,302 15,416 15,416 13,090 21,618 21,618 21,324 34,954 34,954 33,508 116,879 116,879 109,224 79,608 79,608 76,274 25,764 25,764 17,603 35,982 35,982 33,371 141,354 141,354 127,248 44,430 44,430 41,177 15,669 15,669 13,467 30 30 9 60,129 60,129 54,653 315,000 4,439,764 3,815,429 3,886,838 VILLAGE OF MOUNT PROSPECT, ILLINOIS General Fund Schedule of Detailed Expenditures - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2023 Highways and Streets - Continued Public Works Department - Continued Forestry Division Administration and Support Personal Services Employee Benefits Commodities and Supplies Total Administration and Support Maintenance of Grounds Personal Services Employee Benefits Contractual Services Commodities and Supplies Office and Other Equipment Total Maintenance of Grounds Forestry Program Personal Services Employee Benefits Other Employee Costs Contractual Services Utilities Commodities and Supplies Total Forestry Program Public Grounds Beautification Personal Services Employee Benefits Contractual Services Commodities and Supplies Total Public Grounds Beautification 135 Budget Original Final Actual $ 129,267 129,267 127,554 45,031 45,031 38,713 2,810 2,810 2,535 177,108 177,108 168,802 218,214 218,214 201,507 79,975 79,975 63,416 336,523 329,972 306,690 10,546 19,546 19,511 38,476 36,027 35,979 683,734 683,734 627,103 519,852 519,852 519,952 188,398 188,398 171,892 6,723 8,699 8,881 488,638 486,662 450,580 8,112 8,112 5,923 13,038 13,038 12,809 1,224,761 1,224,761 1,170,037 109,962 109,962 104,963 49,136 49,136 39,396 2,867 2,867 2,625 39,226 39,226 37,102 201,191 201,191 184,086 VILLAGE OF MOUNT PROSPECT, ILLINOIS General Fund Schedule of Detailed Expenditures - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2023 Highways and Streets - Continued Public Works Department - Continued Forestry Division Civic Events Personal Services Employee Benefits Total Civic Events Holiday Personal Services Employee Benefits Total Holiday Total Forestry Division Engineering Division Engineering Services Personal Services Employee Benefits Other Employee Costs Contractual Services Utilities Commodities and Supplies Office and Other Equipment Total Engineering Services Traffic Control and Street Lighting Personal Services Employee Benefits Contractual Services Utilities Commodities and Supplies Total Traffic Control and Street Lighting Total Engineering Division 136 Budget Original Final Actual $ 48,954 48,954 48,069 19,627 19,627 16,804 68,581 68,581 64,873 10,057 10,057 9,906 4,969 4,969 4,094 15,026 15,026 14,000 2,370,401 2,370,401 2,228,901 892,353 892,353 808,698 265,096 265,096 227,143 5,786 5,786 6,819 131,309 131,309 138,716 6,365 6,365 4,773 8,292 8,292 6,504 2,658 2,658 2,600 1,311,859 1,311,859 1,195,253 54,467 54,467 51,693 12,886 12,886 11,531 18,341 18,341 5,727 15,000 15,000 683 30,337 30,337 28,880 131,031 131,031 98,514 1,442,890 1,442,890 1,293,767 VILLAGE OF MOUNT PROSPECT, ILLINOIS General Fund Schedule of Detailed Expenditures - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2023 Highways and Streets - Continued Public Works Department - Continued Capital Expenditures Infrastructure Resurfacing/Curbs Miscellaneous - Forestry Total Capital Expenditures Total Highways and Streets Health Community Development - Health Health Inspections Personal Services Employee Benefits Contractual Services Commodities and Supplies Total Health Welfare Human Services Department Administration and Support Personal Services Employee Benefits Other Employee Costs Contractual Services Utilities Commodities and Supplies Office and Other Equipment Insurance Total Administration and Support 137 Budget Original Final Actual $ 393,300 292,651 283,906 318,390 318,390 311,294 711,690 611,041 595,200 11,265,528 10,540,544 10,276,613 131,334 131,334 95,229 29,500 29,500 23,880 6,226 6,226 6,769 150 150 - 167,210 167,210 125,878 161,054 161,054 161,246 67,716 67,716 52,428 1,832 1,832 1,021 38,224 37,987 17,822 5,252 5,252 4,399 4,397 4,397 4,615 569 569 309 12,053 12,053 12,054 291,097 290,860 253,894 VILLAGE OF MOUNT PROSPECT, ILLINOIS General Fund Schedule of Detailed Expenditures - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2023 Welfare - Continued Human Services Department - Continued Social Services Personal Services Employee Benefits Other Employee Costs Contractual Services Commodities and Supplies Total Social Services Nursing/Health Services Personal Services Employee Benefits Other Employee Costs Contractual Services Commodities and Supplies Office and Other Equipment Total Nursing/Health Services Community Connections Center Personal Services Employee Benefits Other Employee Costs Contractual Services Utilities Commodities and Supplies Total Community Connections Center Total Human Services Department 138 Budget Original Final Actual $ 408,848 408,848 378,249 122,573 122,573 118,449 4,852 4,852 3,079 467,668 467,668 79,010 765 765 241 1,004,706 1,004,706 579,028 121,830 121,830 98,371 47,019 47,019 14,810 788 818 718 2,808 2,808 144 3,454 5,524 5,006 700 1,336 1,274 176,599 179,335 120,323 251,191 251,191 238,530 79,787 79,787 64,508 2,624 2,624 2,113 108,325 108,725 132,592 5,738 5,338 3,968 4,145 4,145 2,218 451,810 451,810 443,929 1,924,212 1,926,711 1,397,174 VILLAGE OF MOUNT PROSPECT, ILLINOIS General Fund Schedule of Detailed Expenditures - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2023 Welfare - Continued Community Development - Housing Housing Inspections Personal Services Employee Benefits Contractual Services Commodities and Supplies Total Community Development - Housing Total Welfare Culture and Recreation Public Representation - Community and Civic Services Community Groups and Miscellaneous Contractual Services Other Expenditures Total Community Groups and Miscellaneous 4th of July and Civic Events Contractual Services Commodities and Supplies Total 4th of July and Civic Events Holiday Decorations Contractual Services Commodities and Supplies Total Holiday Decorations Total Culture and Recreation Total Expenditures 139 Budget Original Final Actual $ 180,953 180,953 179,451 58,292 58,292 55,338 40,440 40,440 40,189 300 300 - 279,985 279,985 274,978 2,204,197 2,206,696 1,672,152 224,741 264,247 260,103 6,120 6,120 2,733 230,861 270,367 262,836 31,139 31,139 28,455 45,366 39,860 21,433 76,505 70,999 49,888 76,942 74,042 55,400 26,199 29,099 28,406 103,141 103,141 83,806 410,507 444,507 396,530 65,153,153 65,881,053 64,018,541 VILLAGE OF MOUNT PROSPECT, ILLINOIS Debt Service Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual For the Fiscal Year Ended December 31, 2023 Revenues Taxes Property - Levy Other Taxes Home Rule Sales Tax Video Gaming Tax Intergovernmental State Sales Tax Interest Total Revenues Expenditures Debt Service Principal Retirement Interest and Fiscal Charges Total Expenditures Excess (Deficiency) of Revenues Over (Under) Expenditures Other Financing Sources Transfers In Net Change in Fund Balance Fund Balance - Beginning Fund Balance - Ending 140 Budget Original Final Actual $ 2,208,250 2,208,250 2,208,250 923,656 — — 145,000 294,000 293,513 — 923,656 923,656 5,000 79,000 78,219 3,281,906 3,504,906 3,503,638 2,385,000 2,385,000 2,430,000 2,193,106 2,193,106 2,104,268 4,578,106 4,578,106 4,534,268 (1,296,200) (1,073,200) (1,030,630) 1,400,000 1,400,000 1,236,599 103,800 326,800 205,969 1,301,547 NONMAJOR GOVERNMENTAL FUNDS SPECIAL REVENUE FUNDS Motor Fuel Tax Fund: The Motor Fuel Tax Fund is used to account for the activities involved with street maintenance and construction. Financing is provided by the Village's share of state gasoline taxes. State law requires these gasoline taxes to be used to maintain streets. The Refuse Disposal Fund: - The Refuse Disposal Fund is used to account for the revenues and expenditures associated with providing solid waste collection services. Financing provided by restricted user fees and recycling income. Community Development Block Grant (CDBG) Fund: The Community Development Block Grant Fund is used to account for the revenue and expenditures associated with the CDBG. The grant is provided by the U.S. Department of Housing and Urban Development to develop urban communities by expanding economic opportunities and providing decent housing and a suitable living environment. The beneficiaries of CDBG must be individuals with low and/or moderate incomes. Asset Seizure Fund: The Asset Seizure Fund is used to account for the revenues and expenditures associated with the asset seizure program in which the Village participates. Funds received are restricted for use in the fight against drugs. Federal Equitable Share Fund: The Federal Equitable Share Fund is used to account for the revenues and expenditures associated with the Federal Shared Funds program. The use of funds is restricted for use in the fight against drugs. DUI Fines Fund: The DUI Fines Fund is used to account for the revenues and expenditures associated with the Cook County DUI fine program. Use of funds is restricted to fight against drunk driving. Foreign Fire Insurance Fund: The Foreign Fire Insurance Fund is used to account for the revenues derived from the Foreign Fire Insurance Tax and disbursement of these funds for the benefit, use and maintenance related to the Fire Department. Business District Fund: The Business District Fund is used to account for the revenues and expenditures associated with the Business Districts within the Village. The Village currently has one Business District, the Randhurst Village Business District Area. Pension Stabilization Fund: The Pension Stabilization Fund is used to account for amounts set aside for future pension levy abatements. A pension stabilization fund is a financial reserve or pool of assets established to provide stability and support for a pension system. It is primarily designed to address funding shortfalls or unfunded liabilities within a pension plan. 141 NONMAJOR GOVERNMENTAL FUNDS - Continued SPECIAL REVENUE FUNDS - Continued SMP TIF Fund : The SMP TIF Fund is used to account for the resources to acquire properties, conduct economic development activities, and construct infrastructure improvements in the South Mount Prospect Tax Increment Financing District. Financing is provided by incremental property taxes and investment income. Economic Emergency Fund: The Economic Emergency Fund is used to account for money set aside by the Village board for unplanned or emergency expenses. The fund is created from reported surplus from the General Fund. A recommendation from the Finance Commission and an approval from the Village Board is needed before these funds can be spent. CAPITAL PROJECTS FUNDS Capital Improvement Fund: The Capital Improvement Fund is used to account for the resources to provide for certain capital improvements and the replacement of Village equipment. Financing is being provided by home rule sales tax, developer contributions, transfers from other funds, and investment income. Flood Control Construction Fund: The Flood Control Construction fund is used to account for the resources to implement flood control projects throughout the Village. Financing is provided by home rule sales taxes, service charges, and investment income. Street Improvement Construction Fund: The Street Improvement Construction Fund is used to account for the resources to reconstruct Village streets. Financing is being provided by various taxes, licenses, permits, fees and interest income. 142 VILLAGE OF MOUNT PROSPECT, ILLINOIS Nonmajor Governmental Funds Combining Balance Sheet December 31, 2023 Special Capital Revenue Projects Totals ASSETS Cash and Investments $ 13,478,849 17,859,553 31,338,402 Receivables - Net of Allowances — 74,242 74,242 Property Taxes 2,039,830 — 2,039,830 Other Taxes 1,190,999 568,915 1,759,914 Other 714,068 — 714,068 Due from Other Governments 581,780 440,850 1,022,630 Prepaids 99,081 — 99,081 Total Assets LIABILITIES Accounts Payable Accrued Payroll Retainage Payable Due to Other Governments Due to Other Funds Other Payables Total Liabilities FUND BALANCES Nonspendable Restricted Committed Assigned Total Fund Balances Total Liabilities and Fund Balances 143 18,104,607 18,869,318 36,973,925 341,948 640,344 982,292 13,237 — 13,237 — 74,242 74,242 179,691 — 179,691 20,000 — 20,000 1,640,019 — 1,640,019 2,194,895 714,586 2,909,481 99,081 — 99,081 14,252,341 — 14,252,341 1,558,290 — 1,558,290 — 18,154,732 18,154,732 15,909,712 18,154,732 34,064,444 18,104,607 18,869,318 36,973,925 VILLAGE OF MOUNT PROSPECT, ILLINOIS Nonmajor Governmental Funds Combining Statement of Revenues, Expenditures and Changes in Fund Balances For the Fiscal Year Ended December 31, 2023 Special Capital Revenue Projects Totals Revenues 1,080 — 1,080 Public Safety Taxes $ 3,165,802 725,594 3,891,396 Intergovernmental 3,918,178 5,076,344 8,994,522 Licenses and Permits — 270 270 Charges for Services 5,161,200 — 5,161,200 Investment Income 421,149 548,285 969,434 Miscellaneous 248,912 1,061,781 1,310,693 Total Revenues 12,915,241 7,412,274 20,327,515 Expenditures General Government 1,080 — 1,080 Public Safety 940,485 — 940,485 Highways and Streets 2,902,854 — 2,902,854 Health 5,039,868 — 5,039,868 Welfare 488,918 — 488,918 Capital Outlay — 8,636,606 8,636,606 Debt Service Principal Retirement 1,933,030 — 1,933,030 Interest and Fiscal Charges 130,268 — 130,268 Total Expenditures 11,436,503 8,636,606 20,073,109 Excess (Deficiency) of Revenues Over (Under) Expenditures 1,478,738 (1,224,332) 254,406 Other Financing Sources Transfers In 7,250,000 4,900,000 12,150,000 Net Change in Fund Balances Fund Balances - Beginning Fund Balances - Ending 144 8,728,738 3,675,668 12,404,406 7,180,974 14,479,064 21,660,038 15,909,712 18,154,732 34,064,444 VILLAGE OF MOUNT PROSPECT, ILLINOIS Nonmajor Governmental - Special Revenue Funds Combining Balance Sheet December 31, 2023 See Following Page 145 VILLAGE OF MOUNT PROSPECT, ILLINOIS Nonmajor Governmental - Special Revenue Funds Combining Balance Sheet December 31, 2023 ASSETS Cash and Investments Receivables - Net of Allowances Property Taxes Other Taxes Other Due from Other Governments Prepaids Total Assets LIABILITIES Accounts Payable Accrued Payroll Due to Other Governments Due to Other Funds Other Payables Total Liabilities FUND BALANCES Nonspendable Restricted Committed Total Fund Balances Total Liabilities and Fund Balances Motor Community Fuel Refuse Development Asset Tax Disposal Block Grant Seizure $ 3,335,673 1,219,342 9,350 77,315 221,891 1,544 652,145 21,602 — 560,178 - - 99,081 — 3,580,710 1,970,568 569,528 77,315 29,590 299,960 11,466 - - 13,237 — 14,774 — 164,917 - - — 10,000 — 383,145 — 44,364 313,197 569,528 — — 99,081 — 3,536,346 77,315 — 1,558,290 — 3,536,346 1,657,371 77,315 3,580,710 11970,568 569,528 77,315 146 Federal Foreign Equitable DUI Fire Business Pension Economic Share Fines Insurance District Stabilization SMP TIF Emergency Totals 427,390 141,337 585,533 227,387 750,000 9,832 6,695,690 13,478,849 - - - - 2,039,830 - 2,039,830 - 969,108 - - - 1,190,999 - 60,379 - - - 714,068 581,780 99,081 427,390 141,337 585,533 1,256,874 750,000 2,049,662 6,695,690 18,104,607 20 - 912 - 341,948 13,237 179,691 - 10,000 - 20,000 1,256,874 - - - 1,640,019 20 1,256,874 - 10,912 - 2,194,895 99,081 427,390 141,337 585,513 750,000 2,038,750 6,695,690 14,252,341 1,558,290 427,390 141,337 585,513 750,000 2,038,750 6,695,690 15,909,712 427,390 141,337 585,533 1,256,874 750,000 2,049,662 6,695,690 18,104,607 147 VILLAGE OF MOUNT PROSPECT, ILLINOIS Nonmajor Governmental - Special Revenue Funds Combining Statement of Revenues, Expenditures and Changes in Fund Balances For the Fiscal Year Ended December 31, 2023 Revenues Taxes Intergovernmental Charges for Services Investment Income Miscellaneous Total Revenues Expenditures General Government Public Safety Highways and Streets Health Welfare Debt Service Principal Retirement Interest and Fiscal Charges Total Expenditures Excess (Deficiency) of Revenues Over (Under) Expenditures Other Financing Sources Transfers In Net Change in Fund Balances Fund Balances - Beginning Fund Balances - Ending Motor Community Fuel Refuse Development Asset Tax Disposal Block Grant Seizure 2,453,817 — 399,335 3,784 — 5,161,200 138,751 37,487 — 2,877 41,326 118,003 89,583 — 2,633,894 5,316,690 488,918 6,661 19,727 2,902,854 — 5,039,868 — - - 488,918 — 2,902,854 5,039,868 488,918 19,727 (268,960) 276,822 — (13,066) (268,960) 276,822 — (13,066) 3,805,306 1,380,549 — 90,381 3,536,346 1,657,371 — 77,315 148 Federal Foreign Equitable DUI Fire Business Pension Economic Share Fines Insurance District Stabilization SMP TIF Emergency Totals - - 121,120 1,004,852 - 2,039,830 - 3,165,802 20,966 276 - 1,040,000 - - - 3,918,178 5,161,200 7,082 2,151 18,665 18,446 195,690 421,149 248,912 28,048 2,427 139,785 2,063,298 - 2,039,830 195,690 12,915,241 73,220 - 97,538 750,000 - 1,933,030 - - 130,268 - 1,080 - 1,080 - - 9401485 2,902,854 5,039,868 488,918 1,933,030 - 130,268 73,220 - 97,538 2,063,298 750,000 1,080 - 11,436,503 (45,172) 2,427 42,247 (750,000) 2,038,750 195,690 1,478,738 - - 750,000 - 6,500,000 7,250,000 (45,172) 2,427 42,247 2,038,750 6,695,690 8,728,738 472,562 138,910 543,266 750,000 - - 7,180,974 427,390 141,337 585,513 750,000 2,038,750 6,695,690 15,909,712 149 VILLAGE OF MOUNT PROSPECT, ILLINOIS Motor Fuel Tax - Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual For the Fiscal Year Ended December 31, 2023 Revenues Intergovernmental Motor Fuel Tax Allotments Investment Income Miscellaneous Total Revenues Expenditures Highway and Streets Street Maintenance Net Change in Fund Balance Fund Balance - Beginning Fund Balance - Ending 150 Budget Original Final Actual $ 1,895,700 2,454,700 2,453,817 8,000 139,000 138,751 10,000 10,000 41,326 1,913,700 2,603,700 2,633,894 3,256,975 3,256,975 (1,343,275) (653,275) 2,902,854 (268,960) 3,805,306 3,536,346 VILLAGE OF MOUNT PROSPECT, ILLINOIS Motor Fuel Tax - Special Revenue Fund Schedule of Expenditures - Budget and Actual For the Fiscal Year Ended December 31, 2023 Highway and Streets Street Division Street Maintenance Contractual Services Snow Removal Contractual Services Commodities and Supplies Total Snow Removal Traffic Control/Street Lighting Contractual Services Utilities Total Traffic Control/Street Lighting Street Improvement Projects Infrastructure Total Expenditures 151 Budget Original Final Actual $ 194,259 194,259 193,108 89,598 89,598 83,140 403,104 403,104 212,427 492,702 492,702 295,567 105,854 105,854 105,385 264,160 264,160 208,794 370,014 370,014 314,179 2,200,000 2,200,000 2,100,000 3,256,975 3,256,975 2,902,854 VILLAGE OF MOUNT PROSPECT, ILLINOIS Refuse Disposal - Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual For the Fiscal Year Ended December 31, 2023 Revenues Charges for Services Investment Income Miscellaneous Total Revenues Expenditures Health Refuse Disposal Division Personal Services Employee Benefits Other Employee Costs Contractual Services Commodities and Supplies Insurance Total Expenditures Net Change in Fund Balance Fund Balance - Beginning Fund Balance - Ending 152 Budget Original Final $ 5,104,200 5,184,200 1,000 38,000 6,000 115,000 Actual 5,161,200 37,487 118,003 5,111,200 5,337,200 5,316,690 342,239 342,239 297,489 136,688 136,688 129,563 1,636 1,636 1,443 4,502,935 4,506,935 4,557,545 44,475 44,475 37,664 16,164 16,164 16,164 5,044,137 5,048,137 5,039,868 67,063 289,063 276,822 1,657,371 VILLAGE OF MOUNT PROSPECT, ILLINOIS Refuse Disposal - Special Revenue Fund Schedule of Revenues - Budget and Actual For the Fiscal Year Ended December 31, 2023 Charges for Services Single -Family Service Charges Multi -Family Service Charges Single -Family Penalties Multi -Family Penalties Contract Administrative Fees Recycling Bins Yard Waste Cart Rental Total Charges for Services Investment Income Miscellaneous Reimbursements Other Total Miscellaneous Total Revenues 153 Budget Original Final Actual $ 3,749,200 3,749,200 3,733,047 1,178,300 1,258,300 1,258,778 31,000 31,000 32,101 5,100 5,100 7,347 113,800 113,800 100,000 2,000 2,000 725 24,800 24,800 29,202 5,104,200 5,184,200 5,161,200 1,000 38,000 37,487 1,000 110,000 109,660 5,000 5,000 8,343 6,000 115,000 118,003 5,111,200 5,337,200 5,316,690 VILLAGE OF MOUNT PROSPECT, ILLINOIS Community Development Block Grant - Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual For the Fiscal Year Ended December 31, 2023 Revenues Intergovernmental Grant - CDBG Miscellaneous Program Income Total Revenues Expenditures Welfare Community Programs Residential Rehabilitation Total Expenditures Net Change in Fund Balance Fund Balance - Beginning Fund Balance - Ending 154 Budget Original Final Actual $ 430,000 430,000 399,335 50,000 82,000 89,583 480,000 512,000 488,918 35,500 51,400 61,650 444,500 444,458 427,268 480,000 495,858 488,918 16,142 VILLAGE OF MOUNT PROSPECT, ILLINOIS Asset Seizure - Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual For the Fiscal Year Ended December 31, 2023 Revenues Intergovernmental Seized Assets Investment Income Total Revenues Expenditures Public Safety Other Employee Costs Contractual Services Equipment Total Expenditures Net Change in Fund Balance Fund Balance - Beginning Fund Balance - Ending 155 Budget Original Final Actual $ 1,000 150 1,000 150 3,784 2,877 1,150 1,150 6,661 1,000 1,000 — 2,000 2,000 — 3,000 19,800 19,727 6,000 22,800 19,727 (4,850) (21,650) (13,066) 77,315 VILLAGE OF MOUNT PROSPECT, ILLINOIS Federal Equitable Share - Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual For the Fiscal Year Ended December 31, 2023 Revenues Intergovernmental Federal Equitable Shared Funds Investment Income Total Revenues Expenditures Public Safety Contractual Services Equipment Total Expenditures Net Change in Fund Balance Fund Balance - Beginning Fund Balance - Ending 156 Budget Original Final Actual $ 50,500 50,500 20,966 300 300 7,082 50,800 50,800 28,048 1,000 1,000 — 90,000 90,000 73,220 91,000 91,000 73,220 (40,200) (40,200) (45,172) IRPM reya 427,390 VILLAGE OF MOUNT PROSPECT, ILLINOIS DUI Fines - Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual For the Fiscal Year Ended December 31, 2023 Revenues Intergovernmental DUI Fines Investment Income Total Revenues Expenditures Public Safety Other Employee Costs Contractual Services Equipment Total Expenditures Net Change in Fund Balance Fund Balance - Beginning Fund Balance - Ending 157 Budget Original Final Actual $ 3,000 3,000 276 100 100 2,151 3,100 3,100 2,427 1,000 1,000 — 1,000 1,000 — 1,000 1,000 — 3,000 3,000 — 100 100 2,427 138,910 141,337 VILLAGE OF MOUNT PROSPECT, ILLINOIS Foreign Fire Insurance - Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual For the Fiscal Year Ended December 31, 2023 Revenues Taxes Other Taxes Foreign Fire Insurance Tax Investment Income Total Revenues Expenditures Public Safety Other Employee Costs Contractual Services Commodities and Supplies Equipment Total Expenditures Net Change in Fund Balance Fund Balance - Beginning Fund Balance - Ending 158 Budget Original Final Actual $ 75,000 122,000 121,120 600 19,600 18,665 75,600 141,600 139,785 — 1,800 1,712 5,000 15,200 15,183 — 100 46 65,000 80,700 80,597 70,000 97,800 97,538 5,600 43,800 42,247 REAMT.T.1 585,513 VILLAGE OF MOUNT PROSPECT, ILLINOIS Business District - Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual For the Fiscal Year Ended December 31, 2023 Budget Original Final Actual Revenues Taxes Other Taxes Food and Beverage Tax $ 340,000 390,000 389,282 Hotel/Motel Tax 160,000 250,000 249,574 Movie Theater Tax 45,000 62,000 61,735 Business District Tax 275,000 303,000 304,261 Intergovernmental State Sales Tax 600,000 1,040,000 1,040,000 Investment Income 1,500 18,500 18,446 Total Revenues 1,421,500 2,063,500 2,063,298 Expenditures Debt Service Principal Retirement 1,421,500 1,933,030 1,933,030 Interest and Fiscal Charges — 130,470 130,268 Total Expenditures 1,421,500 2,063,500 2,063,298 Net Change in Fund Balance Fund Balance - Beginning Fund Balance - Ending — 159 VILLAGE OF MOUNT PROSPECT, ILLINOIS Pension Stabilization - Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual For the Fiscal Year Ended December 31, 2023 Revenues Investment Income $ Expenditures Public Safety Employee Benefits Budget Original Final 750,000 750,000 Excess (Deficiency) of Revenues Over (Under) Expenditures (750,000) (750,000) Other Financing Sources Transfers In 750,000 750,000 Net Change in Fund Balance Fund Balance - Beginning Fund Balance - Ending 160 Actual 750,000 (750,000) 750,000 750,000 750,000 VILLAGE OF MOUNT PROSPECT, ILLINOIS SMP TIF - Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual For the Fiscal Year Ended December 31, 2023 Revenues Taxes Other Taxes Property Taxes Expenditures General Government Administration and Support Contractual Services Commodities and Supplies Capital Outlay Other Total Expenditures Net Change in Fund Balance Fund Balance - Beginning Fund Balance - Ending 161 Budget Original Final Actual $ 155,100 1,984,100 2,039,830 5,000 5,000 — 100,000 100,000 1,080 100 100 — 50,000 50,000 — 155,100 155,100 1,080 1,829,000 2,038,750 2,038,750 VILLAGE OF MOUNT PROSPECT, ILLINOIS Economic Emergency - Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual For the Fiscal Year Ended December 31, 2023 Budget Original Final Revenues Investment Income $ — 196,000 Expenditures General Government Administration and Support Excess (Deficiency) of Revenues Over (Under) Expenditures — 196,000 Other Financing Sources Transfers In — 6,500,000 Net Change in Fund Balance Fund Balance - Beginning Fund Balance - Ending 162 Actual 195,690 195,690 6,500,000 6,696,000 6,695,690 6,695,690 VILLAGE OF MOUNT PROSPECT, ILLINOIS Nonmajor Governmental - Capital Projects Funds Combining Balance Sheet December 31, 2023 ASSETS Cash and Investments Receivables - Net of Allowances Other Taxes Due from Other Governments Total Assets LIABILITIES Accounts Payable Retainage Payable Total Liabilities FUND BALANCES Flood Street Capital Control Improvement Improvement Construction Construction Totals $ 8,183,148 3,617,302 6,059,103 17,859,553 200,000 107,634 261,281 568,915 440,850 440,850 8,383,148 3,724,936 6,761,234 18,869,318 499,748 13,713 126,883 640,344 74,242 74,242 573,990 13,713 126,883 714,586 Assigned 7,809,158 3,711,223 6,634,351 18,154,732 Total Liabilities and Fund Balances 8,383,148 3,724,936 6,761,234 18,869,318 163 VILLAGE OF MOUNT PROSPECT, ILLINOIS Nonmajor Governmental - Capital Projects Funds Combining Statement of Revenues, Expenditures and Changes in Fund Balances For the Fiscal Year Ended December 31, 2023 Flood Street Capital Control Improvement Improvement Construction Construction Totals Revenues 4,435,878 238,572 3,962,156 Taxes Excess (Deficiency) of Revenues Other S 725,594 725,594 Intergovernmental 2,000,000 1,076,344 2,000,000 5,076,344 Licenses, Permits and Fees 270 270 Investment Income 304,839 68,298 175,148 548,285 Miscellaneous — 324,523 737,258 1,061,781 Total Revenues 2,304,839 1,469,165 3,638,270 7,412,274 Expenditures Capital Outlay 4,435,878 238,572 3,962,156 8,636,606 Excess (Deficiency) of Revenues Over (Under) Expenditures (2,131,039) 1,230,593 (323,886) (1,224,332) Other Financing Sources Transfers In 2,000,000 1,000,000 1,900,000 4,900,000 Net Change in Fund Balances (131,039) 2,230,593 1,576,114 3,675,668 Fund Balances - Beginning 7,940,197 1,480,630 5,058,237 14,479,064 Fund Balances - Ending 7,809,158 3,711,223 6,634,351 18,154,732 164 VILLAGE OF MOUNT PROSPECT, ILLINOIS Capital Improvement - Capital Projects Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual For the Fiscal Year Ended December 31, 2023 Budget Original Final Actual Revenues Taxes Other Taxes Home Rules Sales Tax $ 1,500,000 Intergovernmental State Sales Tax — 2,000,000 2,000,000 Investment Income 8,000 305,000 304,839 Total Revenues 1,508,000 2,305,000 2,304,839 Expenditures Capital Outlay Equipment 159,000 159,000 159,721 Building Improvements 768,500 2,330,020 2,056,123 Infrastructure 2,961,331 2,472,062 2,220,034 Total Expenditures 3,888,831 4,961,082 4,435,878 Excess (Deficiency) of Revenues Over (Under) Expenditures Other Financing Sources Transfers In Net Change in Fund Balance Fund Balance - Beginning Fund Balance - Ending 165 (2,380,831) (2,656,082) (2,131,039) 1,000,000 2,000,000 2,000,000 (1,380,831) (656,082) (131,039) 7,940,197 7,809,158 VILLAGE OF MOUNT PROSPECT, ILLINOIS Capital Improvement - Capital Projects Fund Schedule of Expenditures - Budget and Actual For the Fiscal Year Ended December 31, 2023 Capital Outlay Equipment Finance Department Software Thermal Imaging Cameras Furniture and Equipment Total Equipment Building Improvements Public Works Facility Improvements HVAC Replacements Parking Lot Improvements Village Hall Facility Improvements Fire Station Improvements Other Public Building Improvements Total Building Improvements Infrastructure Residential Street Lights Residential Street Light Improvements Facade Program Flood Control Improvement Kensington Road Bike Path Brick Sidewalks Bridge Rehab Pedestrian Bridge Central Road Pedestrian Crossing Total Infrastructure Budget Original Final Actual $ 10,000 10,000 11,000 54,000 54,000 53,815 95,000 95,000 94,906 159,000 159,000 159,721 200,000 247,551 248,048 82,500 982,436 868,228 55,000 55,000 55,000 185,000 776,871 696,292 100,000 151,410 71,803 146,000 116,752 116,752 768,500 2,330,020 2,056,123 220,331 220,331 68,940 225,000 212,233 177,328 100,000 100,000 - 1,085,000 862,706 862,706 295,000 35,566 35,566 125,000 125,000 91,567 130,000 116,135 93,660 - 491 341 781,000 799,600 889,926 2,961,331 2,472,062 2,220,034 Total Expenditures 3,888,831 4,961,082 4,435,878 166 VILLAGE OF MOUNT PROSPECT, ILLINOIS Flood Control Construction - Capital Projects Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual For the Fiscal Year Ended December 31, 2023 Revenues Taxes Other Taxes Home Rule Sales Tax Intergovernmental State Sales Tax Grants Investment Income Miscellaneous Fees Reimbursements Total Revenues Expenditures Capital Outlay Public Improvements Infrastructure Other Total Expenditures Excess (Deficiency) of Revenues Over (Under) Expenditures Other Financing Sources Transfers In Net Change in Fund Balance Fund Balance - Beginning Fund Balance - Ending 167 Budget Original Final Actual $ 575,000 — — — 1,076,344 1,076,344 788,000 788,000 — 2,000 69,000 68,298 10,000 10,000 12,520 15,000 313,000 312,003 1,390,000 2,256,344 1,469,165 1,752,150 1,222,150 190,197 162,880 81,643 48,375 1,915,030 1,303,793 238,572 (525,030) 952,551 1,230,593 1,000,000 1,000,000 1,000,000 474,970 1,952,551 2,230,593 1,480,630 3,711,223 VILLAGE OF MOUNT PROSPECT, ILLINOIS Flood Control Construction - Capital Projects Fund Schedule of Expenditures - Budget and Actual For the Fiscal Year Ended December 31, 2023 Capital Outlay Public Improvements Infrastructure Levee Repairs Culvert and Ditch Levee Supplies Creek Bank Stabilization Creek Tree Trimming Private Property Drainage Levee 37 Natural Gas Storm Sewer Improvements Total Infrastructure Other Electricity Residential Reimbursements Contractual Services Total Other Budget Original Final Actual $ 43,280 43,280 50,661 32,460 32,460 8,750 5,410 5,410 5,146 175,000 175,000 - 25,000 25,000 25,000 150,000 150,000 100,426 50,000 3,000 3,000 214 1,268,000 788,000 - 1,752,150 1,222,150 190,197 3,780 3,780 4,505 5,000 5,000 - 154,100 72,863 43,870 162,880 81,643 48,375 Total Expenditures 1,915,030 1,303,793 238,572 168 VILLAGE OF MOUNT PROSPECT, ILLINOIS Street Improvement Construction - Capital Projects Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual For the Fiscal Year Ended December 31, 2023 Revenues Taxes Other Taxes Home Rule Sales Tax Municipal Motor Fuel Tax Intergovernmental State Sales Tax Licenses, Permits and Fees Investment Income Miscellaneous Other Total Revenues Expenditures Capital Outlay Contractual Services Infrastructure Street Resurfacing Total Expenditures Excess (Deficiency) of Revenues Over (Under) Expenditures Other Financing Sources Transfers In Net Change in Fund Balance Fund Balance - Beginning Fund Balance - Ending 169 Budget Original Final Actual $ 1,500,000 — — 650,000 726,000 725,594 — 2,000,000 2,000,000 270 8,000 176,000 175,148 65,000 437,000 737,258 2,223,000 3,339,000 3,638,270 40,000 40,000 38,252 3,450,000 4,029,246 3,923,904 3,490,000 4,069,246 3,962,156 (1,267,000) (730,246) (323,886) 1,900,000 1,900,000 1,900,000 633,000 1,169,754 1,576,114 5,058,237 6,634,351 PROPRIETARY FUNDS 170 ENTERPRISE FUNDS The Enterprise Funds are used to account for operations that are financed and operated in a manner similar to private business enterprises where the intent is that costs of providing goods or services to the general public on a continuing basis be financed or recovered primarily through user charges; or where it has been decided that periodic determination of revenues earned, expenses incurred and/or net income is appropriate for capital maintenance, public policy, management control, accountability or other purpose. Water and Sewer Fund: The Water and Sewer Fund is a major fund and is used to account for the activities of the water and sewer operations. The Village operates sewerage lift and relief stations and waste water collection systems and the water distribution system. Parking System Revenue Fund: The Parking System Revenue Fund is a nonmajor fund and is used to account for the provision of public parking services with fees shared with the commuter railroad. All activities are accounted for including administration, operations, maintenance and collection. Village Parking System Fund: The Village Parking System Fund is a nonmajor fund and is used to account for the provision of Village -owned public parking services including the Village Hall parking deck and leased commuter spaces. All activities are accounted for including administration, operations, maintenance, financing, related debt service and billing and collection. 171 VILLAGE OF MOUNT PROSPECT, ILLINOIS Water and Sewer - Enterprise Fund Schedule of Revenues, Expenses and Changes in Net Position - Budget and Actual For the Fiscal Year Ended December 31, 2023 Operating Revenues Charges for Services Operating Expenses Administration and Maintenance Operating Income (Loss) Nonoperating Revenues (Expenses) Investment Income Other Income Property Taxes Disposal of Capital Assets Principal Payment Interest Expense Transfers and Contributions Transfers In Change in Net Position - Budgetary Basis Adjustments to GAAP Basis Depreciation Amortization of Unamortized Bond Premium Amortization of Asset Retirement Obligation Total Adjustments to GAAP Basis Change in Net Position - GAAP Basis Net Position - Beginning Net Position - Ending 172 Budget Original Final Actual S 20,110,800 21,236,800 20,652,203 27,703,954 27,669,823 14,786,411 (7,593,154) (6,433,023) 5,865,792 25,000 1,198,000 1,171,682 36,000 81,000 79,166 (1,909) (132) (840,000) (840,000) — (929,181) (929,181) (925,727) (1,708,181) (490,181) 323,080 5,300,000 5,300,000 894,312 (4,001,335) (1,623,204) 7,083,184 (1,102,589) 97,804 (7,500) (1,012,285) 6,070,899 55,955,988 VILLAGE OF MOUNT PROSPECT, ILLINOIS Water and Sewer - Enterprise Fund Schedule of Operating Revenues - Budget and Actual For the Fiscal Year Ended December 31, 2023 Charges for Services Water Sales Sewer Fees Water Penalties Water Meter Fees Water and Sewer Taps Sewer Penalties Budget Original Final Actual $ 15,667,500 16,389,500 16,404,314 3,747,800 4,151,800 4,060,810 105,000 105,000 132,163 28,300 28,300 16,000 1,000 1,000 7,445 26,200 26,200 31,471 535,000 535,000 — Total Operating Revenues 20,110,800 21,236,800 20,652,203 173 VILLAGE OF MOUNT PROSPECT, ILLINOIS Water and Sewer - Enterprise Fund Schedule of Operating Expenses - Budget and Actual For the Fiscal Year Ended December 31, 2023 Administration and Maintenance Administration and Support Personal Services Employee Benefits Other Employee Costs Contractual Services Utilities Insurance Commodities and Supplies Capital Expenses Total Administration and Support Maintenance of Buildings Personal Services Employee Benefits Contractual Services Utilities Commodities and Supplies Total Maintenance of Buildings Maintenance of Grounds Personal Services Employee Benefits Contractual Services Commodities and Supplies Total Maintenance of Grounds Water Supply Maintenance and Repair Personal Services Employee Benefits Contractual Services Utilities Commodities and Supplies Distribution System Total Water Supply Maintenance and Repair 174 Budget Original Final Actual $ 564,647 564,647 542,871 259,059 259,059 132,156 47,211 52,501 58,081 333,265 387,975 476,537 11,648 11,648 8,403 208,340 208,340 208,340 15,302 15,302 13,434 1,500 1,500 - 1,440,972 1,500,972 1,439,822 195,472 195,472 181,236 84,610 84,610 54,270 10,400 10,400 5,193 7,167 7,167 7,475 1,791 1,791 1,791 299,440 299,440 249,965 56,397 56,397 33,792 18,700 18,700 12,544 56,280 56,280 53,091 7,063 7,063 6,772 138,440 138,440 106,199 397,982 397,982 404,517 162,991 162,991 171,476 101,920 92,555 93,244 86,561 86,561 89,624 58,212 63,212 56,971 40,000 40,000 27,220 847,666 843,301 843,052 VILLAGE OF MOUNT PROSPECT, ILLINOIS Water and Sewer - Enterprise Fund Schedule of Operating Expenses - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2023 Administration and Maintenance - Continued Water Distribution Maintenance and Repair Personal Services Employee Benefits Contractual Services Commodities and Supplies Distribution System Capital Expenses Total Water Distribution Maintenance and Repair Water Valve and Hydrant Maintenance Personal Services Employee Benefits Contractual Services Commodities and Supplies Total Water Valve and Hydrant Maintenance Water Meter Installation, Repair and Replacement Personal Services Employee Benefits Contractual Services Commodities and Supplies Capital Expenses Total Water Meter Installation, Repair and Replacement Equipment Maintenance Contractual Services Sanitary Sewer Maintenance and Repair Personal Services Employee Benefits Contractual Services Utilities Commodities and Supplies Total Sanitary Sewer Maintenance and Repair 175 Budget Original Final Actual $ 632,240 632,240 606,425 208,088 208,088 198,317 252,387 259,025 255,961 88,816 96,986 53,916 10,400 8,400 1,600 1,170 1,193,101 1,204,739 1,116,219 232,649 232,649 223,544 61,384 61,384 60,567 65,762 65,762 67,374 109,717 109,717 73,060 469,512 469,512 424,545 60,105 60,105 52,236 16,320 16,320 12,029 134,919 133,328 90,574 3,717 3,717 3,677 70,331 64,649 66,358 285,392 278,119 224,874 1,195,671 1,195,671 1,195,671 415,807 415,807 405,035 154,221 154,221 137,123 186,341 186,341 142,316 26,409 26,409 18,445 26,982 26,982 24,843 809,760 809,760 727,762 VILLAGE OF MOUNT PROSPECT, ILLINOIS Water and Sewer - Enterprise Fund Schedule of Operating Expenses - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2023 Administration and Maintenance - Continued Water System Improvements Capital Expenses Sanitary System Improvements Capital Expenses Storm Sewer Improvements Capital Expenses Improvements to Public Buildings Capital Expenses Lake Michigan Water Acquisition Contractual Services Total Lake Michigan Water Acquisition Total Operating Expenses 176 Budget Original Final Actual $ 5,100,000 6,074,821 317,530 2,090,000 4,819,748 661,600 800,000 1,532,034 24,093 5,500,000 969,266 86,821 7,534,000 7,534,000 7,368,258 7,534,000 7,534,000 7,368,258 27,703,954 27,669,823 14,786,411 VILLAGE OF MOUNT PROSPECT, ILLINOIS Nonmajor Enterprise Funds Combining Statement of Net Position December 31, 2023 ASSETS Current Assets Cash and Investments Receivables - Net of Allowances Other Total Current Assets Noncurrent Assets Capital Assets Depreciable Accumulated Depreciation Total Noncurrent Assets Total Assets Accounts Payable Other Payables Total Liabilities LIABILITIES NET POSITION Parking System Village Parking Revenue System Totals $ 218,848 62,538 281,386 — 247 247 218,848 62,785 281,633 176,800 — 176,800 (176,800) — (176,800) 218,848 62,785 281,633 10,395 1,988 12,383 481 271 752 10,876 2,259 13,135 Unrestricted 207,972 60,526 268,498 177 VILLAGE OF MOUNT PROSPECT, ILLINOIS Nonmajor Enterprise Funds Combining Statement of Revenues, Expenses and Changes in Net Position For the Fiscal Year Ended December 31, 2023 Operating Revenues Charges for Services Parking Fees Rental Fees Convenience Fees Total Operating Revenues Operating Expenses Administration, Maintenance and Improvements Parking System Village Parking Revenue System Totals $ 122,036 27,962 149,998 — 7,704 7,704 6,866 1,053 7,919 128,902 36,719 165,621 105,167 126,120 231,287 Operating Income (Loss) 23,735 (89,401) Nonoperating Revenues Investment Income 6,807 4,391 Change in Net Position Net Position - Beginning Net Position - Ending 178 (65,666) 11,198 30,542 (85,010) (54,468) 177,430 145,536 322,966 207,972 60,526 268,498 VILLAGE OF MOUNT PROSPECT, ILLINOIS Nonmajor Enterprise Funds Combining Statement of Cash Flows For the Fiscal Year Ended December 31, 2023 Cash Flows from Operating Activities Receipts from Customers and Users Payments to Suppliers Cash Flows from Investing Activities Interest Received Net Change in Cash and Cash Equivalents Cash and Cash Equivalents - Beginning Cash and Cash Equivalents - Ending Reconciliation of Operating Income to Net Cash Provided (Used) by Operating Activities Operating Income (Loss) Adjustments to Reconcile Operating Income Income to Net Cash Provided by (Used in) Operating Activities: (Increase) Decrease in Current Assets Increase (Decrease) in Current Liabilities Net Cash Provided by Operating Activities 179 Parking System Village Parking Revenue System Totals $ 128,902 36,601 165,503 (104,868) (125,880) (230,748) 24,034 (89,279) (65,245) 6,807 4,391 11,198 30,841 (84,888) (54,047) 188,007 147,426 335,433 218,848 62,538 281,386 23,735 (89,401) (65,666) 299 240 539 24,034 (89,279) (65,245) VILLAGE OF MOUNT PROSPECT, ILLINOIS Parking System Revenue - Enterprise Fund Schedule of Revenues, Expenses and Changes in Net Position - Budget and Actual For the Fiscal Year Ended December 31, 2023 Operating Revenues Charges for Services Parking Fees Convenience Fees Total Operating Revenues Operating Expenses Administration, Maintenance and Improvements Operating Income (Loss) Nonoperating Revenues Interest Income Change in Net Position Net Position - Beginning Net Position - Ending 180 Budget Original Final Actual $ 85,200 1,920 85,200 1,920 122,036 6,866 87,120 87,120 128,902 121,952 127,052 105,167 (34,832) (39,932) 23,735 216 216 6,807 (34,616) (39,716) 30,542 207,972 VILLAGE OF MOUNT PROSPECT, ILLINOIS Parking System Revenue - Enterprise Fund Schedule of Operating Expenses - Budget and Actual For the Fiscal Year Ended December 31, 2023 Administration, Maintenance and Improvements Contractual Services Utilities Insurance Commodities and Supplies Budget Original Final Actual $ 98,005 103,105 92,050 10,764 10,764 4,180 1,502 1,502 1,502 11,681 11,681 7,435 Total Operating Expenses 121,952 127,052 105,167 181 VILLAGE OF MOUNT PROSPECT, ILLINOIS Village Parking System - Enterprise Fund Schedule of Revenues, Expenses and Changes in Net Position - Budget and Actual For the Fiscal Year Ended December 31, 2023 Operating Revenues Charges for Services Parking Fees Rental Fees Convenience Fees Total Operating Revenues Operating Expenses Administration, Maintenance and Improvements Operating (Loss) Nonoperating Revenues Interest Income Change in Net Position Net Position - Beginning Net Position - Ending 182 Budget Original Final Actual $ 15,400 15,400 27,962 9,000 9,000 7,704 360 360 1,053 24,760 24,760 36,719 142,875 147,875 126,120 (118,115) (123,115) (89,401) 600 600 4,391 (117,515) (122,515) (85,010) 60,526 VILLAGE OF MOUNT PROSPECT, ILLINOIS Village Parking System - Enterprise Fund Schedule of Operating Expenses - Budget and Actual For the Fiscal Year Ended December 31, 2023 Budget Original Final Actual Administration, Maintenance and Improvements Contractual Services $ 51,002 56,002 38,871 Insurance 5,865 5,865 5,865 Commodities and Supplies 608 608 608 Capital Expenses 85,400 85,400 80,776 Total Operating Expenses 142,875 147,875 126,120 183 INTERNAL SERVICE FUNDS Internal Service Funds are used to account for the financing of goods or services provided by one department or agency to other departments or agencies other governmental unit, or to other governmental units, on a cost - reimbursement basis. Computer Replacement Fund: The Computer Replacement Fund is used to account for the acquisition of Village computer hardware. Financing is being provided by charges to various Village funds. Risk Management Fund: The Risk Management Fund is used to account for the servicing and payment of claims for liability, property, casualty coverage, workers' compensation and medical benefits. Financing is being provided by charges in the various Village funds. Vehicle Replacement Fund: The Vehicle Replacement Fund is used to account for the acquisition and depreciation of Village vehicles. Financing is being provided by charges to the General, and Water and Sewer Funds. Vehicle Maintenance Fund: The Vehicle Maintenance Fund is used to account for the maintenance and repair of all Village vehicles. Financing is being provided by charges to various Village funds. 184 VILLAGE OF MOUNT PROSPECT, ILLINOIS Internal Service Funds Combining Statement of Net Position December 31, 2023 See Following Page 185 VILLAGE OF MOUNT PROSPECT, ILLINOIS Internal Service Funds Combining Statement of Net Position December 31, 2023 ASSETS Current Assets Cash and Investments Receivables - Net of Allowances - Accounts Accrued Interest Other Due from Other Governments Deposits - Insurance Inventories Prepaids Total Current Assets Noncurrent Assets Capital Assets Nondepreciable Depreciable Accumulated Depreciation Other Assets Deposits - Insurance Total Noncurrent Assets Total Assets DEFERRED OUTFLOWS OF RESOURCES Deferred Items - RBP Total Assets and Deferred Outflows of Resources LIABILITIES Current Liabilities Accounts Payable Accrued Payroll Claims Payable Other Payables Compensated Absences Payable Total Current Liabilities Noncurrent Liabilities Compensated Absences Payable Claims Payable Total OPEB Liability - RBP Total Noncurrent Liabilities Total Liabilities DEFERRED INFLOWS OF RESOURCES Deferred Items - RBP Total Liabilities and Deferred Inflows of Resources NET POSITION Investment in Capital Assets Unrestricted Total Net Position 186 Computer Replacement $ 468,010 468,010 201,675 (10,960) 190,715 190,715 658,725 658,725 20,857 20,857 20,857 20,857 190,715 447,153 637,868 Risk Vehicle Vehicle Management Replacement Maintenance Totals 989,684 14,117,565 1,416,791 16,992,050 - 12,291 - 12,291 5,774 10,211 497 16,482 - 6,615,989 17,183 17,183 3,514,594 - - 3,514,594 5,827,567 20,756,056 396,736 396,736 5,657 - 13,784 19,441 4,515,709 14,140,067 1,844,991 20,968,777 - 384,986 - 384,986 - 17,250,383 92,062 17,544,120 - (11,019,380) (92,062) (11,122,402) - 6,615,989 - 6,806,704 1,311,858 - - 1,311,858 1,311,858 6,615,989 - 8,118,562 5,827,567 20,756,056 1,844,991 29,087,339 92,376 92,376 5,827,567 20,756,056 1,937,367 29,179,715 84,322 12,441 53,997 171,617 377,390 40,419 40,419 202,267 - - 202,267 788,065 - - 788,065 20,649 20,649 1,074,654 12,441 115,065 1,223,017 82,597 82,597 377,390 - - 377,390 371,284 371,284 377,390 - 453,881 831,271 1,452,044 12,441 568,946 2,054,288 221,652 221,652 1,452,044 12,441 790,598 2,275,940 - 6,615,989 - 6,806,704 4,375,523 14,127,626 1,146,769 20,097,071 4,375,523 20,743,615 1,146,769 26,903,775 187 VILLAGE OF MOUNT PROSPECT, ILLINOIS Internal Service Funds Combining Statement of Revenues, Expenses and Changes in Net Position For the Fiscal Year Ended December 31, 2023 Computer Replacement Operating Revenues Charges for Services $ 181,000 Contributions — Miscellaneous — Total Operating Revenues 181,000 Operating Expenses Administration and Maintenance 143,885 Insurance and Claims — Depreciation 10,515 Total Operating Expenses 154,400 Operating Income (Loss) 26,600 Nonoperating Revenues (Expenses) Disposal of Capital Assets (29,588) Interest Income 13,238 Other Income — (16,350) Change in Net Position 10,250 Net Position - Beginning 627,618 Net Position - Ending 188 637,868 Risk Vehicle Vehicle Management Replacement Maintenance Totals 8,228,003 1,774,389 180,867 2,326,330 2,577,792 13,313,125 1,774,389 180,867 10,183,259 2,326,330 2,577,792 15,268,381 374,692 54,789 2,268,790 2,842,156 10,076,857 10,076,857 1,283,986 — 1,294,501 10,451,549 1,338,775 2,268,790 14,213,514 (268,290) 987,555 309,002 1,054,867 4,375,523 20,743,615 1,146,769 26,903,775 189 66,722 — 371134 13,240 537,651 37,511 601,640 7,195 — 7,195 13,240 611,568 37,511 645,969 (255,050) 1,599,123 346,513 1,700,836 4,630,573 19,144,492 800,256 25,202,939 4,375,523 20,743,615 1,146,769 26,903,775 189 VILLAGE OF MOUNT PROSPECT, ILLINOIS Internal Service Funds Combining Statement of Cash Flows For the Fiscal Year Ended December 31, 2023 Computer Replacement Cash Flows from Operating Activities Receipts from Customers and Users $ — Interfund Services Provided 181,000 Payments to Suppliers (123,028) 57,972 Cash Flows from Capital and Related Financing Activities Disposal of Capital Assets — Purchase of Capital Assets — Cash Flows from Investing Activities Interest Received 13,238 Net Change in Cash and Cash Equivalents 71,210 Cash and Cash Equivalents - Beginning 396,800 Cash and Cash Equivalents - Ending 468,010 Reconciliation of Operating Income to Net Cash Provided (Used) by Operating Activities Operating Income (Loss) 26,600 Adjustments to Reconcile Operating Income to Net Cash Provided by (Used in) Operating Activities Depreciation 10,515 Other Income — (Increase) Decrease in Current Assets — Increase (Decrease) in Current Liabilities 20,857 Net Cash Provided by Operating Activities 57,972 190 Risk Vehicle Vehicle Management Replacement Maintenance Totals 3,000,559 7,194,324 2,322,869 2,567,818 3,000,559 12,266,011 (9,616,859) (50,538) (2,277,547) (12,067,972) 578,024 2,272,331 290,271 3,198,598 80,854 80,854 (798,975) — (798,975) (718,121) — (718,121) 13,240 537,651 37,511 601,640 591,264 2,091,861 327,782 3,082,117 398,420 12,025,704 1,089,009 13,909,933 989,684 14,117,565 1,416,791 16,992,050 (268,290) 987,555 309,002 1,054,867 1,283,986 — 1,294,501 7,195 — 7,195 11,624 (10,656) (9,974) (9,006) 834,690 4,251 (8,757) 851,041 578,024 2,272,331 290,271 3,198,598 191 VILLAGE OF MOUNT PROSPECT, ILLINOIS Computer Replacement - Internal Service Fund Schedule of Revenues, Expenses and Changes in Net Position - Budget and Actual For the Fiscal Year Ended December 31, 2023 Operating Revenues Charges for Services Water and Sewer Fund General Fund Total Operating Revenues Operating Expenses Administration Capital Outlay Depreciation Total Operating Expenses Operating Income (Loss) Nonoperating Revenues (Expenses) Disposal of Capital Assets Investment Income Change in Net Position Net Position - Beginning Net Position - Ending 192 Budget Original Final Actual $ 9,050 9,050 9,050 171,950 171,950 171,950 181,000 181,000 181,000 401,000 401,000 143,885 10,515 401,000 401,000 154,400 (220,000) (220,000) 26,600 — (29,588) 14,000 13,238 14,000 (16,350) (220,000) (206,000) 10,250 627,618 637,868 VILLAGE OF MOUNT PROSPECT, ILLINOIS Computer Replacement - Internal Service Fund Schedule of Operating Expenses - Budget and Actual For the Fiscal Year Ended December 31, 2023 Administration Capital Outlay Depreciation Budget Original Final Actual $ 401,000 401,000 143,885 — 10,515 Total Operating Expenses 401,000 401,000 154,400 193 VILLAGE OF MOUNT PROSPECT, ILLINOIS Risk Management - Internal Service Fund Schedule of Revenues, Expenses and Changes in Net Position - Budget and Actual For the Fiscal Year Ended December 31, 2023 Budget Original Final Actual Operating Revenues Charges for Services $ 8,528,950 8,528,950 8,228,003 Contributions 1,674,520 1,674,520 1,774,389 Miscellaneous 1,000 1,000 180,867 Total Operating Revenues 10,204,470 10,204,470 10,183,259 Operating Expenses Administration 385,000 385,000 374,692 Insurance and Claims 9,588,466 10,228,466 10,076,857 Total Operating Expenses 9,973,466 10,613,466 10,451,549 Operating Income (Loss) 231,004 (408,996) (268,290) Nonoperating Revenues Investment Income 5,000 5,000 13,240 Change in Net Position 236,004 (403,996) (255,050) Net Position - Beginning 4,630,573 Net Position - Ending 4,375,523 194 VILLAGE OF MOUNT PROSPECT, ILLINOIS Risk Management - Internal Service Fund Schedule of Operating Revenues - Budget and Actual For the Fiscal Year Ended December 31, 2023 Charges for Services General Fund Refuse Disposal Fund Water and Sewer Fund Parking System Revenue Fund Village Parking System Fund Vehicle Maintenance Fund Library Total Charges for Services Contributions Employee Health Insurance Dental Insurance Additional Life Insurance Vision Insurance Retiree Health Insurance Dental Insurance Vision Insurance Total Contributions Miscellaneous Other Reimbursements Miscellaneous Income Total Miscellaneous Budget Original Final Actual $ 7,108,010 7,108,010 6,873,810 23,064 23,064 23,064 243,440 243,440 245,440 9,266 9,266 1,502 4,901 4,901 5,865 33,019 33,019 33,019 1,107,250 1,107,250 1,045,303 8,528,950 8,528,950 8,228,003 612,480 612,480 704,888 132,940 132,940 154,597 5,000 5,000 30,913 15,904 15,904 (4,190) 875,700 875,700 850,473 32,096 32,096 36,746 400 400 962 1,674,520 1,674,520 1,774,389 180,250 1,000 1,000 617 1,000 1,000 180,867 Total Operating Revenues 10,204,470 10,204,470 10,183,259 195 VILLAGE OF MOUNT PROSPECT, ILLINOIS Risk Management - Internal Service Fund Schedule of Operating Expenses - Budget and Actual For the Fiscal Year Ended December 31, 2023 Administration Medical Program Claims Administration Insurance and Claims Casualty and Property Program Liability Insurance Other Insurance Property Claims Liability Claims Workers' Compensation Claims Unemployment Compensation Claims Tree Hazard Study Other Claims Total Casualty and Property Program Medical Program Medical Expense - HMO Plan Medical Expense - Indemnity Plan Medical Expense - Dental Health and Wellness Supplies Liffe Insurance Total Medical Program Total Insurance and Claims Budget Original Final Actual $ 385,000 385,000 374,692 675,000 675,000 901,415 50,000 50,000 31,997 80,000 80,000 - 170,000 170,000 57,054 400,000 600,000 592,630 25,000 25,000 - 10,400 10,400 9,665 25,000 25,000 41,324 1,435,400 1,635,400 1,634,085 1,347,320 1,347,320 1,149,775 6,435,270 6,875,270 6,870,381 297,976 297,976 345,740 22,500 22,500 16,650 50,000 50,000 60,226 8,153,066 8,593,066 8,442,772 9,588,466 10,228,466 10,076,857 Total Operating Expenses 9,973,466 10,613,466 10,451,549 196 VILLAGE OF MOUNT PROSPECT, ILLINOIS Vehicle Replacement - Internal Service Fund Schedule of Revenues, Expenses and Changes in Net Position - Budget and Actual For the Fiscal Year Ended December 31, 2023 Budget Original Final Actual Operating Revenues Charges for Services $ 2,327,370 2,327,370 2,326,330 Operating Expenses Administration 1,295,000 1,510,034 54,789 Depreciation 1,283,986 Total Operating Expenses 1,295,000 1,510,034 1,338,775 Operating Income 1,032,370 817,336 987,555 Nonoperating Revenues Disposal of Capital Assets — 81,000 66,722 Investment Income 85,000 538,000 537,651 Other Income 7,195 85,000 619,000 611,568 Change in Net Position 1,117,370 1,436,336 1,599,123 Net Position - Beginning 19,144,492 Net Position - Ending 20,743,615 197 VILLAGE OF MOUNT PROSPECT, ILLINOIS Vehicle Replacement - Internal Service Fund Schedule of Operating Revenues - Budget and Actual For the Fiscal Year Ended December 31, 2023 Charges for Services General Fund Manager's Office Community Development - Planning Community Development - Building Community Development - Housing Community Development - Health Police Department Fire Department Public Works Department Engineering Division Human Services Water and Sewer Fund Other Fees Budget Original Final Actual $ 15,050 15,050 15,050 1,500 1,500 1,500 8,640 8,640 8,640 11,720 11,720 11,720 1,500 1,500 1,500 226,540 226,540 226,540 862,100 862,100 862,100 606,180 606,180 606,180 13,000 13,000 13,000 1,810 1,810 11810 578,290 578,290 578,290 1,040 1,040 - Total Operating Revenues 2,327,370 2,327,370 2,326,330 198 VILLAGE OF MOUNT PROSPECT, ILLINOIS Vehicle Replacement - Internal Service Fund Schedule of Operating Expenses - Budget and Actual For the Fiscal Year Ended December 31, 2023 Administration Capital Outlay Human Services Vehicles Police Vehicles Fire Vehicles Public Works Total Capital Outlay Depreciation Budget Original Final 28,000 464,000 42,000 761,000 1,295,000 431,234 247,000 831,800 1,510,034 Actual 332 6,782 47,675 54,789 1,283,986 Total Operating Expenses 1,295,000 1,510,034 1,338,775 199 VILLAGE OF MOUNT PROSPECT, ILLINOIS Vehicle Maintenance - Internal Service Fund Schedule of Revenues, Expenses and Changes in Net Position - Budget and Actual For the Fiscal Year Ended December 31, 2023 Operating Revenues Charges for Services Operating Expenses Administration and Maintenance Operating Income (Loss) Nonoperating Revenues Interest Income Change in Net Position Net Position - Beginning Net Position - Ending 200 Budget Original Final Actual $ 2,577,792 2,577,792 2,577,792 2,578,756 2,559,186 2,268,790 (964) 18,606 309,002 1,800 1,800 37,511 836 20,406 346,513 800,256 1,146,769 VILLAGE OF MOUNT PROSPECT, ILLINOIS Vehicle Maintenance - Internal Service Fund Schedule of Operating Revenues - Budget and Actual For the Fiscal Year Ended December 31, 2023 Charges for Services General Fund Manager's Office Television Services Division Community Development - Planning Community Development - Building Community Development - Housing Community Development - Health Police Department Fire Department Public Works Department Engineering Division Human Service Charges Water and Sewer Fund Budget Original Final Actual $ 3,867 3,867 3,867 4,124 4,124 4,124 3,867 3,867 3,867 5,413 5,413 5,413 27,067 27,067 27,067 3,867 3,867 3,867 656,564 656,564 656,564 407,549 407,549 407,549 802,208 802,208 802,208 42,018 42,018 42,018 3,867 3,867 3,867 617,381 617,381 617,381 201 2,577,792 2,577,792 2,577,792 VILLAGE OF MOUNT PROSPECT, ILLINOIS Vehicle Maintenance - Internal Service Fund Schedule of Operating Expenses - Budget and Actual For the Fiscal Year Ended December 31, 2023 Administration and Maintenance Vehicle Division Administration Personal Services Employee Benefits Other Employee Costs Contractual Services Utilities Commodities and Supplies Office Equipment Insurance Total Vehicle Division Administration Vehicle Maintenance Program Personal Services Employee Benefits Contractual Services Commodities and Supplies Other Equipment Total Vehicle Maintenance Program Budget Original Final Actual $ 130,611 130,611 127,110 64,521 64,521 68,960 7,395 13,466 10,785 66,739 63,739 26,324 4,773 4,773 3,196 2,515 2,515 2,273 664 664 658 13,819 13,819 13,819 291,037 294,108 253,125 955,369 955,369 897,141 364,276 364,276 302,077 107,647 85,006 77,828 857,896 857,896 737,167 2,531 2,531 1,452 2,287,719 2,265,078 2,015,665 Total Operating Expenses 2,578,756 2,559,186 2,268,790 202 PENSION TRUST FUNDS Police Pension Fund: The Police Pension Fund is used to account for the resources necessary to provide retirement and disability benefits to personnel of the Mount Prospect Police Department. Revenues are provided by the following: Village contributions (made possible by a property tax levy), employee withholdings and investment income. Firefighters' Pension Fund: The Firefighters' Pension Fund is used to account for the resources necessary to provide retirement and disability benefits to personnel of the Mount Prospect Fire Department. Revenues are provided by the following: Village contributions (made possible by a property tax levy), employee withholdings and investment income. 203 VILLAGE OF MOUNT PROSPECT, ILLINOIS Pension Trust Funds Combining Statement of Fiduciary Net Position December 31, 2023 ASSETS Cash and Cash Equivalents Investments Illinois Police Officer's Pension Investment Fund Illinois Firefighters' Pension Investment Fund Due from Other Funds Prepaids Total Assets LIABILITIES Accounts Payable NET POSITION Net Position Restricted for Pensions 204 Police Pension $ 774,851 Firefighters' Pension Totals 650,053 1,424,904 89,128,770 — 89,128,770 — 78,077,324 78,077,324 50,877 46,958 97,835 11,517 8,174 19,691 89,966,015 78,782,509 168,748,524 5,205 20,746 25,951 89,960,810 78,761,763 168,722,573 VILLAGE OF MOUNT PROSPECT, ILLINOIS Pension Trust Funds Combining Statement of Changes in Fiduciary Net Position For the Fiscal Year Ended December 31, 2023 Additions Contributions - Employer Contributions - Plan Members Total Contributions Investment Income (Loss) Interest Earned Net Change in Fair Value Less Investment Expenses Net Investment Income Total Additions Deductions Administration Benefits and Refunds Total Deductions Change in Fiduciary Net Position Net Position Restricted for Pensions Beginning Ending 205 Police Firefighters' Pension Pension Totals $ 4,836,758 4,499,543 9,336,301 1,337,196 864,081 2,201,277 6,173,954 5,363,624 11,537,578 592,916 1,285,005 1,877,921 9,915,658 9,113,958 19,029,616 10,508,574 10,398,963 20,907,537 (125,435) (89,773) (215,208) 10,383,139 10,309,190 20,692,329 16,557,093 15,672,814 32,229,907 71,287 80,286 151,573 7,196,326 7,232,805 14,429,131 7,267,613 7,313,091 14,580,704 9,289,480 8,359,723 17,649,203 80,671,330 70,402,040 151,073,370 89,960,810 78,761,763 168,722,573 VILLAGE OF MOUNT PROSPECT, ILLINOIS Consolidated Year -End Financial Report December 31, 2023 CSFA # Program Name State Federal Other Total 494-00-1439 Statewide Planning and Research Funds S Other Grant Programs and Activities All Other Costs Not Allocated 206 19,653 19,653 — 1,881,661 472,101 2,353,762 102,228,901 102,228,901 19,653 1,881,661 102,701,002 104,602,316 SUPPLEMENTAL SCHEDULES 207 VILLAGE OF MOUNT PROSPECT, ILLINOIS Schedule of General Long -Term Debt Long -Term Debt Payable by Governmental Funds December 31, 2023 See Following Page 208 VILLAGE OF MOUNT PROSPECT, ILLINOIS Schedule of General Long -Term Debt Long -Term Debt Payable by Governmental Funds December 31, 2023 AMOUNTS TO BE PROVIDED FOR THE RETIREMENT OF GENERAL LONG- TERM DEBT GENERAL LONG-TERM DEBT PAYABLE General Obligation Bonds Payable Business District Limited Tax Note Payable Compensated Absences Payable Net Pension Liability - IMRF Net Pension Liability - Police Pension Net Pension Liability - Firefighters' Pension Total OPEB Liability - RBP Unamortized Bond Premium Totals 209 General General General General Obligation Obligation Obligation Obligation Bonds of Bonds of Bonds of Bonds of 2016A 2017 2018A 2018B $ 8,345,000 4,350,000 6,450,000 37,225,000 $ 8,345,000 4,350,000 6,450,000 37,225,000 8,345,000 4350,000 6,450,000 37,225,000 General General Business Net Net Net Obligation Obligation District Pension Pension Pension Total Unamortized Bonds of Bonds of Limited Tax Compensated Liability Liability Liability OPEB Bond 2019B 2022B Note Absences IMRF Police Firefighters Liability Premiums Totals 7,515,000 7,580,000 38,290,593 4,604,571 6,976,262 66,964,259 54,251,038 10,295,883 1,938,031 254,785,637 7,515,000 7,580,000 71,465,000 — — 38,290,593 — — — — — — 38,290,593 — 4,604,571 — — — — — 4,604,571 — 6,976,262 — — — — 6,976,262 — 66,964,259 — — — 66,964,259 — 54,251,038 — — 54,251,038 — 10,295,883 — 10,295,883 1,938,031 1,938,031 7,515,000 7,580,000 38,290,593 4,604,571 6,976,262 66,964,259 54,251,038 10,295,883 1,938,031 254,785,637 210 VILLAGE OF MOUNT PROSPECT, ILLINOIS Long -Term Debt Requirements General Obligation Refunding Bonds of 2016A December 31, 2023 Date of Issue Date of Maturity Authorized Issue Denomination of Bonds Interest Rate Interest Dates Principal Maturity Date Payable at December 1, 2016 December 1, 2028 $9,100,000 $5,000 3.00% June 1 and December 1 December 1 Zions Bancorporation CURRENT AND LONG-TERM PRINCIPAL AND INTEREST REQUIREMENTS Fiscal Requirements Interest Due On Year Principal Interest Totals Jun.I Amount Dec.I Amount 2024 $ 1,060,000 250,350 1,310,350 2024 125,175 2024 125,175 2025 1,740,000 218,550 1,958,550 2025 109,275 2025 109,275 2026 1,795,000 166,350 1,961,350 2026 83,175 2026 83,175 2027 1,845,000 112,500 1,957,500 2027 56,250 2027 56,250 2028 1,905,000 57,150 1,962,150 2028 28,575 2028 28,575 8,345,000 804,900 9,149,900 211 402,450 402,450 VILLAGE OF MOUNT PROSPECT, ILLINOIS Long -Term Debt Requirements General Obligation Bonds of 2017 December 31, 2023 Date of Issue Date of Maturity Authorized Issue Denomination of Bonds Interest Rates Interest Dates Principal Maturity Date Payable at December 20, 2017 December 1, 2037 $9,740,000 $5,000 2.50% to 4.00% June 1 and December 1 December 1 Zions Bancorporation CURRENT AND LONG-TERM PRINCIPAL AND INTEREST REQUIREMENTS Fiscal Requirements Interest Due On Year Principal interest Totals Jun.l Amount Dec.l Amount 2024 $ 375,000 271,900 646,900 2024 135,950 2024 135,950 2025 405,000 256,900 661,900 2025 128,450 2025 128,450 2026 440,000 240,700 680,700 2026 120,350 2026 120,350 2027 465,000 227,500 692,500 2027 113,750 2027 113,750 2028 500,000 215,876 715,876 2028 107,938 2028 107,938 2029 530,000 202,750 732,750 2029 101,375 2029 101,375 2030 565,000 188,174 753,174 2030 94,087 2030 94,087 2031 600,000 171,932 771,932 2031 85,966 2031 85,966 2032 640,000 147,932 787,932 2032 73,966 2032 73,966 2033 690,000 122,332 812,332 2033 61,166 2033 61,166 2034 730,000 100,770 830,770 2034 50,385 2034 50,385 2035 775,000 77,956 852,956 2035 38,978 2035 38,978 2036 820,000 53,738 873,738 2036 26,869 2036 26,869 2037 865,000 28,112 893,112 2037 14,056 2037 14,056 8,400,000 2,306,572 10,706,572 4,350,000 Governmental Activities 4,050,000 Business -Type Activities 8,400,000 212 1,153,286 1,153,286 VILLAGE OF MOUNT PROSPECT, ILLINOIS Long -Term Debt Requirements General Obligation Bonds of 2018A December 31, 2023 Date of Issue Date of Maturity Authorized Issue Denomination of Bonds Interest Rates Interest Dates Principal Maturity Date Payable at May 1,2018 December 1, 2037 $11,950,000 $5,000 3.25% to 5.00% June 1 and December 1 December 1 Zions Bancorporation CURRENT AND LONG-TERM PRINCIPAL AND INTEREST REQUIREMENTS Fiscal Requirements Interest Due On Year Principal Interest Totals Jun.l Amount Dec.l Amount 2024 $ 425,000 395,368 820,368 2024 197,684 2024 197,684 2025 470,000 374,118 844,118 2025 187,059 2025 187,059 2026 520,000 350,618 870,618 2026 175,309 2026 175,309 2027 565,000 324,618 889,618 2027 162,309 2027 162,309 2028 610,000 302,018 912,018 2028 151,009 2028 151,009 2029 655,000 277,618 932,618 2029 138,809 2029 138,809 2030 710,000 251,418 961,418 2030 125,709 2030 125,709 2031 765,000 223,018 988,018 2031 111,509 2031 111,509 2032 815,000 198,156 1,013,156 2032 99,078 2032 99,078 2033 870,000 171,668 1,041,668 2033 85,834 2033 85,834 2034 925,000 141,220 1,066,220 2034 70,610 2034 70,610 2035 985,000 108,844 1,093,844 2035 54,422 2035 54,422 2036 1,050,000 75,600 1,125,600 2036 37,800 2036 37,800 2037 1,110,000 38,850 1,148,850 2037 19,425 2037 19,425 10,475,000 3,233,132 13,708,132 6,450,000 Governmental Activities 4,025,000 Business -Type Activities 10,475,000 213 1,616,566 1,616,566 VILLAGE OF MOUNT PROSPECT, ILLINOIS Long -Term Debt Requirements General Obligation Bonds of 2018B December 31, 2023 Date of Issue Date of Maturity Authorized Issue Denomination of Bonds Interest Rates Interest Dates Principal Maturity Date Payable at October 16, 2018 December 1, 2043 $38,440,000 $5,000 3.625% to 5.000% June 1 and December 1 December 1 Zions Bancorporation CURRENT AND LONG-TERM PRINCIPAL AND INTEREST REQUIREMENTS Fiscal Requirements Interest Due On Year Principal Interest Totals Jun.l Amount Dec.l Amount 2024 $ 770,000 1,568,750 2,338,750 2024 784,375 2024 784,375 2025 155,000 1,530,250 1,685,250 2025 765,125 2025 765,125 2026 160,000 1,522,500 1,682,500 2026 761,250 2026 761,250 2027 165,000 1,514,500 1,679,500 2027 757,250 2027 757,250 2028 175,000 1,506,250 1,681,250 2028 753,125 2028 753,125 2029 1,645,000 1,497,500 3,142,500 2029 748,750 2029 748,750 2030 1,820,000 1,415,250 3,235,250 2030 707,625 2030 707,625 2031 1,910,000 1,324,250 3,234,250 2031 662,125 2031 662,125 2032 2,005,000 1,228,750 3,233,750 2032 614,375 2032 614,375 2033 2,105,000 1,128,500 3,233,500 2033 564,250 2033 564,250 2034 2,210,000 1,023,250 3,233,250 2034 511,625 2034 511,625 2035 2,295,000 943,138 3,238,138 2035 471,569 2035 471,569 2036 2,380,000 857,075 3,237,075 2036 428,538 2036 428,537 2037 2,470,000 767,825 3,237,825 2037 383,913 2037 383,912 2038 2,560,000 675,200 3,235,200 2038 337,600 2038 337,600 2039 2,660,000 576,000 3,236,000 2039 288,000 2039 288,000 2040 2,765,000 469,600 3,234,600 2040 234,800 2040 234,800 2041 2,875,000 359,000 3,234,000 2041 179,500 2041 179,500 2042 2,990,000 244,000 3,234,000 2042 122,000 2042 122,000 2043 3,110,000 124,400 3,234,400 2043 62,200 2043 62,200 37,225,000 20,275,988 57,500,988 214 10,137,995 10,137,993 VILLAGE OF MOUNT PROSPECT, ILLINOIS Long -Term Debt Requirements General Obligation Bonds of 2019A December 31, 2023 Date of Issue Date of Maturity Authorized Issue Denomination of Bonds Interest Rates Interest Dates Principal Maturity Date Payable at June 3, 2019 December 1, 2039 $9,600,000 $5,000 2.00% to 5.00% June 1 and December 1 December 1 Zions Bancorporation CURRENT AND LONG-TERM PRINCIPAL AND INTEREST REQUIREMENTS Fiscal Requirements Interest Due On Year Principal Interest Totals Jun.l Amount Dec.l Amount 2024 $ 315,000 298,050 613,050 2024 149,025 2024 149,025 2025 345,000 282,300 627,300 2025 141,150 2025 141,150 2026 375,000 265,050 640,050 2026 132,525 2026 132,525 2027 405,000 246,300 651,300 2027 123,150 2027 123,150 2028 435,000 230,100 665,100 2028 115,050 2028 115,050 2029 465,000 212,700 677,700 2029 106,350 2029 106,350 2030 495,000 194,100 689,100 2030 97,050 2030 97,050 2031 525,000 179,250 704,250 2031 89,625 2031 89,625 2032 555,000 163,500 718,500 2032 81,750 2032 81,750 2033 585,000 146,850 731,850 2033 73,425 2033 73,425 2034 620,000 129,300 749,300 2034 64,650 2034 64,650 2035 655,000 110,700 765,700 2035 55,350 2035 55,350 2036 685,000 91,050 776,050 2036 45,525 2036 45,525 2037 725,000 70,500 795,500 2037 35,250 2037 35,250 2038 760,000 48,750 808,750 2038 24,375 2038 24,375 2039 800,000 25,000 825,000 2039 12,500 2039 12,500 8,745,000 2,693,500 11,438,500 215 1,346,750 1,346,750 VILLAGE OF MOUNT PROSPECT, ILLINOIS Long -Term Debt Requirements General Obligation Bonds of 2019B December 31, 2023 Date of Issue Date of Maturity Authorized Issue Denomination of Bonds Interest Rates Interest Dates Principal Maturity Date Payable at November 25, 2019 December 1, 2039 $7,725,000 $5,000 3.00% to 5.00% June 1 and December 1 December 1 Zions Bancorporation CURRENT AND LONG-TERM PRINCIPAL AND INTEREST REQUIREMENTS Fiscal Requirements Interest Due On Year Principal Interest Totals Jun.l Amount Dec.l Amount 2024 $ 235,000 254,850 489,850 2024 127,425 2024 127,425 2025 260,000 243,100 503,100 2025 121,550 2025 121,550 2026 290,000 230,100 520,100 2026 115,050 2026 115,050 2027 320,000 215,600 535,600 2027 107,800 2027 107,800 2028 350,000 199,600 549,600 2028 99,800 2028 99,800 2029 380,000 185,600 565,600 2029 92,800 2029 92,800 2030 415,000 170,400 585,400 2030 85,200 2030 85,200 2031 445,000 157,950 602,950 2031 78,975 2031 78,975 2032 475,000 144,600 619,600 2032 72,300 2032 72,300 2033 510,000 130,350 640,350 2033 65,175 2033 65,175 2034 545,000 115,050 660,050 2034 57,525 2034 57,525 2035 580,000 98,700 678,700 2035 49,350 2035 49,350 2036 615,000 81,300 696,300 2036 40,650 2036 40,650 2037 655,000 62,850 717,850 2037 31,425 2037 31,425 2038 700,000 43,200 743,200 2038 21,600 2038 21,600 2039 740,000 22,200 762,200 2039 11,100 2039 11,100 7,515,000 2,355,450 9,870,450 216 1,177,725 1,177,725 VILLAGE OF MOUNT PROSPECT, ILLINOIS Long -Term Debt Requirements General Obligation Bonds of 2022A December 31, 2023 Date of Issue Date of Maturity Authorized Issue Denomination of Bonds Interest Rates Interest Dates Principal Maturity Date Payable at February 8, 2022 December 1, 2041 $8,935,000 $5,000 3.00% to 5.00% June 1 and December I December 1 Zions Bancorporation CURRENT AND LONG-TERM PRINCIPAL AND INTEREST REQUIREMENTS Fiscal Requirements Interest Due On Year Principal Interest Totals Jun.I Amount Dec.I Amount 2024 $ 235,000 305,800 540,800 2024 152,900 2024 152,900 2025 255,000 294,050 549,050 2025 147,025 2025 147,025 2026 280,000 281,300 561,300 2026 140,650 2026 140,650 2027 305,000 267,300 572,300 2027 133,650 2027 133,650 2028 335,000 252,050 587,050 2028 126,025 2028 126,025 2029 360,000 235,300 595,300 2029 117,650 2029 117,650 2030 390,000 217,300 607,300 2030 108,650 2030 108,650 2031 425,000 197,800 622,800 2031 98,900 2031 98,900 2032 455,000 176,550 631,550 2032 88,275 2032 88,275 2033 480,000 162,900 642,900 2033 81,450 2033 81,450 2034 510,000 148,500 658,500 2034 74,250 2034 74,250 2035 540,000 133,200 673,200 2035 66,600 2035 66,600 2036 570,000 117,000 687,000 2036 58,500 2036 58,500 2037 600,000 99,900 699,900 2037 49,950 2037 49,950 2038 630,000 81,900 711,900 2038 40,950 2038 40,950 2039 665,000 63,000 728,000 2039 31,500 2039 31,500 2040 700,000 43,050 743,050 2040 21,525 2040 21,525 2041 735,000 22,050 757,050 2041 11,025 2041 11,025 8,470,000 3,098,950 11,568,950 1,549,475 1,549,475 217 VILLAGE OF MOUNT PROSPECT, ILLINOIS Long -Term Debt Requirements General Obligation Refunding Bonds of 2022B December 31, 2023 Date of Issue Date of Maturity Authorized Issue Denomination of Bonds Interest Rate Interest Dates Principal Maturity Date Payable at September 7, 2022 December 1, 2033 $8,230,000 $5,000 2.80% June 1 and December 1 December 1 PNC Bank CURRENT AND LONG-TERM PRINCIPAL AND INTEREST REQUIREMENTS Fiscal Requirements Interest Due On Year Principal Interest Totals Jun.I Amount Dec.1 Amount 2024 $ 670,000 212,240 882,240 2024 106,120 2024 106,120 2025 685,000 193,480 878,480 2025 96,740 2025 96,740 2026 705,000 174,300 879,300 2026 87,150 2026 87,150 2027 725,000 154,560 879,560 2027 77,280 2027 77,280 2028 745,000 134,260 879,260 2028 67,130 2028 67,130 2029 765,000 113,400 878,400 2029 56,700 2029 56,700 2030 790,000 91,980 881,980 2030 45,990 2030 45,990 2031 810,000 69,860 879,860 2031 34,930 2031 34,930 2032 830,000 47,180 877,180 2032 23,590 2032 23,590 2033 855,000 23,940 878,940 2033 11,970 2033 11,970 7,580,000 1,215,200 8,795,200 218 607,600 607,600 STATISTICAL SECTION (Unaudited) This part of the annual comprehensive financial report presents detailed information as a context for understanding what the information in the financial statements, note disclosures, and required supplementary information says about the Village's overall financial health. Financial Trends These schedules contain trend information to help the reader understand how the Village's financial performance and well-being have changed over time. Revenue Capacity These schedules contain information to help the reader assess the Village's most significant local revenue sources. Debt Capacity These schedules present information to help the reader assess the affordability of the Village's current levels of outstanding debt and the government's ability to issue additional debt in the future. Demographic and Economic Information These schedules offer demographic and economic indicators to help the reader understand the environment within which the Village's financial activities take place. Operating Information These schedules contain service and infrastructure data to help the reader understand how the information in the Village's financial report relates to the services the Village provides and the activities it performs. 219 VILLAGE OF MOUNT PROSPECT, ILLINOIS Net Position by Component - Last Ten Fiscal Years* December 31, 2023 (Unaudited) See Following Page 220 VILLAGE OF MOUNT PROSPECT, ILLINOIS Net Position by Component - Last Ten Fiscal Years* December 31, 2023 (Unaudited) Governmental Activities Net Investment in Capital Assets Restricted Unrestricted Total Governmental Activities Net Position Business -Type Activities Net Investment in Capital Assets Unrestricted Total Business -Type Activities Net Position Primary Government Net Investment in Capital Assets Restricted Unrestricted Total Primary Government Net Position Data Source: Audited Financial Statements 2014 2015(l) 2016 $ 46,326,047 43,755,661 33,224,875 4,186,505 5,319,794 4,557,424 (10,441,020) (99,563,419) (91,778,462) 40,071,532 (50,487,964) (53,996,163) 26,854,967 36,336,899 36,588,628 7,734,851 5,580,049 4,610,400 34,589,818 41,916,948 41,199,028 73,181,014 80,092,560 69,813,503 4,186,505 5,319,794 4,557,424 (2,706,169) (93,983,370) (87,168,062) 74,661,350 (8,571,016) (12,797,135) (1) The Village implemented GASB Statement No. 68 in fiscal year 2015. (2) The Village implemented GASB Statement No. 75 for fiscal year 2018. * Accrual Basis of Accounting 221 2017 2018(2) 2019 2020 2021 2022 2023 34,171,129 30,192,091 31,568,036 26,448,689 38,294,932 42,417,521 51,232,095 4,104,560 7,065,413 8,691,355 5,811,511 7,199,628 8,842,728 17,597,803 (95,150,426) (107,779,949) (107,707,787) (90,600,371) (75,314,733) (62,385,336) (58,018,298) (56,874,737) (70,522,445) (67,448,396) (58,340,171) (29,820,173) (11,125,087) 10,811,600 35,765,755 32,472,358 33,196,889 20,547,932 29,676,988 28,959,971 39,945,439 6,266,907 8,411,004 5,924,760 17,346,891 15,780,856 21,248,084 16,279,047 42,032,662 40,883,362 39,121,649 37,894,823 45,457,844 50,208,055 56,224,486 69,936,884 62,664,449 64,764,925 46,996,621 67,971,920 71,377,492 91,177,534 4,104,560 7,065,413 8,691,355 5,811,511 7,199,628 8,842,728 17,597,803 (88,883,519) (99,368,945) (101,783,027) (73,253,480) (59,533,877) (41,137,252) (41,739,251) (14,842,075) (29,639,083) (28,326,747) (20,445,348) 15,637,671 39,082,968 67,036,086 222 C m m M V L� 'S V' U C, N In L� \+IcM l� N _---- N In In In In oC l� l� l� O ! n ar N 00 � M M N Vl W 7 7 C 00 lC M M M O M O M crl Ol N 7 Vl 01 N M 7 l� l� 00 l� GO ti Vl M In l� 't 7 7 In 00 M l� rn v F j F 7 l� ^ C, M iG 4, N r Vl N L o F Vt M N C Mni N � N_ lD Vl l� O V In 07 In N 00 JD Iq V 4` lD M l� N V N O d' O V W ll N m K l� m_ N a V M V V �D O N 4` Xl OC lO OC In JD cwtl 'T V' V' C, M In N In V M V V cS M M N OC R Y u 0.,1i ,°2 c'a F F! a O C7 x> U ON a O In O U u CJ In C W 01 C O D\ oo -- 00 O C 01 OC It CT In V In M W N l� T lC 0. 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M N N lD M, lG V1 1� lc M N n N M N O Vel K Q, JNO VNi c 0, O W O t, --i lC M 7 l0 N C V) M O � l� N 00 CC � l- C vl D` oC M � r N N Ol N M M O1 --i M vt O NV O V l0 M N -- 00 00 l� 7 �.^. � .-• yr � yr N V O G. CI M C 0 r - 217" -- M O lC V'1 C\ L- �D L� •� L� 00 0o O M N vi C It lh It O r. (V V d\ O N M C� N 1 't -� N O ni M. Vt N V �h O co N V1 yJ f � N 't vi - N lL C7, Vl I� m r. N CA Vl G1 V N Cl N V M O M M 'V O N 01 Cl � � lD •� N � V � vi lD lD Vl M d' M M 00 00 00 M h [ C, 't M O1 --i M vt O NV O V l0 M N -- 00 00 l� 7 �.^. � .-• yr � yr N V O G. CI M C 0 r - 217" -- M �E r or v� v1 O lC V'1 C\ L- �D L� •� L� 00 0o O M N N v r. (V V - -� 0o n 0o O co M a c V1 yJ f � N O\ M Vl I� m Vl C �E r or v� v1 O lC V'1 C\ L- �D L� •� L� 00 l0 c L� lD .-. V v r. (V V - -� V1 yJ f l� N C I- m �E r or v� v1 O lC V'1 C\ L- �D L� •� L� 00 l0 c L� lD .-. V v r. (V V - -� F O O . a � � z N b zi P� tI F5 > > m -"' N N VILLAGE OF MOUNT PROSPECT, ILLINOIS Fund Balances of Governmental Funds - Last Ten Fiscal Years* December 31, 2023 (Unaudited) General Fund Nonspendable Committed Assigned Unassigned Total General Fund All Other Governmental Funds Nonspendable Restricted Committed Assigned Unassigned Total All Other Governmental Funds Total Fund Balances Data Source: Audited Financial Statements *Modified Accrual Basis of Accounting 225 2014 2015 2016 $ 337,165 12,508,457 204,023 17,016,920 188,247 18,496,104 12,845,622 17,220,943 18,684,3 51 (789) (448,034) (688,716) 147,412 107,609 96,771 13,941,797 5,212,985 4,557,424 7,371,630 3,679,129 3,224,446 (789) (448,034) (688,716) 21,460,050 8,551,689 7,189,925 34,305,672 25,772,632 25,874,276 2017 2018 2019 2020 2021 2022 2023 261,219 220,065 370,162 381,902 342,372 407,655 314,189 - - 3,393,000 2,300,000 - - - 3,700,000 7,250,000 8,544,250 19,137,752 22,837,502 22,914,986 23,492,469 30,752,940 40,587,665 43,700,864 19,398,971 23,057,567 26,678,148 26,174,371 34,795,312 48,245,320 52,559,303 83,232 74,703 100,288 108,495 79,781 100,675 99,081 8,919,560 39,339,578 28,845,580 6,071,511 7,456,454 9,073,560 17,820,290 934,034 1,012,349 1,289,792 1,558,290 3,579,214 7,182,152 7,245,942 7,150,936 8,157,144 14,469,146 18,154,732 12,582,006 46,596,433 36,191,810 14,264,976 16,705,728 24,933,173 37,632,393 31,980,977 69,654,000 62,869,958 40,439,347 51,501,040 73,178,493 90,191,696 226 VILLAGE OF MOUNT PROSPECT, ILLINOIS Changes in Fund Balances for Governmental Funds - Last Ten Fiscal Years* December 31, 2023 (Unaudited) Revenues Taxes Intergovernmental Licenses, Permits, and Fees Charges for Services Fines and Forfeitures Investment Income (Loss) Other Reimbursements Miscellaneous Total Revenues Expenditures General Government Public Safety Highways and Streets Health Welfare Culture and Recreation Capital Outlay Debt Service Principal Retirement Interest and Fiscal Charges Total Expenditures Excess (Deficiency) of Revenues Over Expenditures Other Financing Sources (Uses) Disposal of Capital Assets Debt Issuance Premium on Debt Issuance Payment to Escrow Agent Transfers In Transfers Out Net Change in Fund Balances Debt Service as a Percentage of Noncapital Expenditures Data Source: Audited Financial Statements *Modified Accrual Basis of Accounting 227 2014 2015 2016 $ 32,564,624 33,433,891 34,113,260 23,914,974 26,018,173 27,434,551 3,516,082 3,915,635 4,001,458 5,220,730 5,664,398 6,347,775 587,966 511,536 414,884 (46,495) 24,784 76,594 12,075,460 20,998,508 35,000 983,623 656,877 549,816 66,741,504 70,225,294 72,973,338 7,050,018 7,598,649 9,435,601 30,706,685 30,350,270 32,512,612 8,291,698 7,744,122 8,148,696 4,590,027 4,589,156 4,585,572 1,865,265 1,961,516 1,994,918 421,517 467,611 499,208 12,075,460 20,998,508 10,718,553 2,987,587 3,048,912 3,243,840 1,914,718 1,799,590 2,017,192 69,902,975 78,558,334 73,156,192 (3,161,471) (8,333,040) (182,854) 6,290,000 — 17,835,000 294,697 — 1,022,839 (18,573,342) 81,599 1,637,926 — (281,599) (1,637,926) 6,584,697 (200,000) 284,497 3,423,226 (8,533,040) 101,643 7.02% 6.20% 7.32% 2017 2018 2019 2020 2021 2022 2023 31,784,137 33,080,547 32,718,562 31,600,945 34,781,161 35,967,861 40,590,810 29,199,312 32,811,854 34,650,218 36,297,359 46,969,768 49,245,896 51,699,077 3,982,497 4,085,141 4,249,613 3,816,507 3,913,269 3,888,922 2,782,616 5,810,731 5,834,187 6,267,680 6,785,463 7,967,914 8,930,352 8,898,278 415,189 403,842 286,328 242,004 445,604 313,457 332,710 196,995 675,700 1,375,199 234,783 986 841,017 3,833,039 19,824 112,429 31,204 592,352 1,660,393 621,494 2,089,687 1,798,702 2,755,196 1,770,302 72,001,037 78,664,093 80,200,298 81,066,748 95,877,404 101,942,701 109,906,832 10,060,904 9,566,297 9,384,171 8,044,415 8,079,371 7,190,518 7,853,335 34,279,062 36,287,527 36,783,615 37,584,244 38,791,777 39,908,856 44,916,332 8,762,136 9,658,459 10,456,537 10,576,961 12,006,572 12,959,107 13,179,467 4,500,280 4,835,310 4,849,613 4,793,171 4,985,328 5,037,865 5,165,746 1,953,055 1,798,458 1,676,723 1,824,289 2,126,344 2,030,206 2,161,070 585,907 572,169 388,375 166,740 306,890 303,830 396,530 5,786,667 15,245,784 26,616,871 33,239,574 11,101,659 5,581,945 10,462,289 3,518,904 3,671,871 3,787,500 4,015,000 4,590,000 6,054,521 4,968,030 1,378,256 2,484,885 3,409,229 3,253,348 3,123,295 3,134,366 2,902,474 70,825,171 84,120,760 97,352,634 103,497,742 85,111,236 82,201,214 92,005,273 1,175,866 (5,456,667) (17,152,336) (22,430,994) 10,766,168 19,741,487 17,901,559 6,106,701 37,673,023 (6,847,042) (22,430,611) 11,061,693 21,637,976 17,013,203 6.99% 8.00% 9.60% 9.46% 10.72% 12.29% 9.69% 228 646,600 383 295,525 1,990,817 5,956 4,815,000 45,500,000 7,725,000 - - 8,230,000 - 115,835 1,783,506 394,075 - (4,153,816) - - - (8,249,328) - 600,000 2,354,391 3,709,981 5,188,000 4,544,819 4,613,401 13,386,599 (600,000) (2,354,391) (2,170,362) (5,188,000) (4,544,819) (4,688,401) (14,280,911) 4,930,835 43,129,690 10,305,294 383 295,525 1,896,489 (888,356) 6,106,701 37,673,023 (6,847,042) (22,430,611) 11,061,693 21,637,976 17,013,203 6.99% 8.00% 9.60% 9.46% 10.72% 12.29% 9.69% 228 VILLAGE OF MOUNT PROSPECT, ILLINOIS Assessed Value and Actual Value of Taxable Property - Last Ten Tax Levy Years December 31, 2023 (Unaudited) Tax Levy Residential Commercial Industrial Railroad Year Property Property Property Property 2013 $ 948,371,026 $ 272,696,503 $ 135,438,749 $ 787,806 2014 989,619,882 285,736,126 114,184,895 836,775 2015 962,934,812 279,463,359 111,147,033 1,005,644 2016 1,191,992,297 304,999,806 121,128,843 1,037,906 2017 1,185,479,107 321,277,244 162,946,209 1,022,879 2018 1,171,019,649 326,069,226 171,888,945 1,095,851 2019 1,352,621,864 405,952,345 211,550,243 1,182,888 2020 1,341,377,216 418,382,455 230,358,924 1,224,387 2021 1,230,475,305 399,062,987 215,638,131 1,224,387 2022 1,525,284,520 417,627,492 227,197,566 1,417,634 Data Source: Office of the Cook County Clerk Note: Property in the Village is reassessed every three years. Property is assessed at 33% of actual value. 229 Total Taxable Assessed Value Total Direct Tax Rate Estimated Actual Taxable Value Estimated Actual Taxable Value as a Percentage of Actual Value $ 1,357,294,084 1.275 $ 4,071,882,252 33.333% 1,390,377,678 1.276 4,171,133,034 33.333% 1,354,550,848 1.352 4,063,652,544 33.333% 1,619,158,852 1.157 4,857,476,556 33.333% 1,670,725,439 1.143 5,012,176,317 33.333% 1,670,073,671 1.142 5,010,221,013 33.333% 1,971,307,340 0.988 5,913,922,020 33.333% 1,991,342,982 0.978 5,974,028,946 33.333% 1,846,400,810 1.055 5,539,202,430 33.333% 2,171,527,212 0.942 6,514,581,636 33.333% 230 V N � N O O O O O O O O O O O O O O O O O O O O O O O N O O O N O V p O O N N O l0 V O O M O O O O O C) O O O V'1 O O E, l0 V V1 O O \O p O W Cl M M �tb M W M M O �o 00 M N r- O cC M_ 7 M_ O_ N 01 01 O N p O O M_ O O _U 1 a0 N N N , Ol Vl V V O O vl O M O O O O O o O O 00 O O M vl N O O O O O O O O O O O O O O O O O O O O O O O N Cl O O N O 0� O 3 3 3 a a oc Do a1 O\ 7 V1 O M a1 V1 Q, CO V1 M M x M _ O O co O �_ M �!1 �Y O_ Io V1 M O r- V1 O V1 p O O z N N i Vl V O O M O O O O O O O O O O M V V O l� Vl N O O O O O O O O O O O O O O O O O O O O O O O N O O O N O O O O O 00 O N Q\ N O N Cl, N \D O\ 01 CO O O O ID \D ol \D ID N 0\ MM_ 7 O O U O lC O lC �_ _ 01 ID M 't CY O O M M M N O O O O O O O O O O O O O O O O O O O O O O N O O O M O 01 l- 0 0 o v N 0 0 0 0 0 0 0 0 0 0 0 0 0 0 In o O 7 O N V'1 GO M O �O \O O \D �O 00M_ o_ 7 h N 00 oV'1 �G �G cY O_ l� N �D x w O1 x �t 01 O1 p O O N M M l0 Vl O O V O O O O O O O O O Vl V : _ Vl N O O O O O O O O O O O O O O O O O O O O Cl Cl N O O O N O O Cl Cl �D N NIt a, co It --� O _--� Iclr� N--�--� p O O N M M M V1 O O V O O O O O O O O O V lD N l0 N O O O O O O O O O O O O O o o O o O O O O O N Cl Cl O M O ,ItO x 0` O O 141 x �c O OIcQ` N D` O_ �_ N a1 M_ �--i �D W I�c It p N O O O O O O O O O O O O O O O O O O O O O O N O O O M O M w C` 'n �_ O O O �--� O a, C` C` O I�c h 0` -�t M O N C` ":" m lzl� N O O O O O O O O O O O O O O O O O O O O O O N O O O M O V N � O V c3 C U 7fi:d �tb �°n 34 a Q 1 a0 a a ,a a vun v° a ° w � o y y c by ° o y oo F" o a 3 3 3 a a o 15, o U Cq C7 a W W a U U w H H H C7 C7 C7 �� z U> i O GO h V'1 Go O V C\ V N 01 l wl wl In l� 01 •--i l� Vl l� Vl CO O CO ct ,--� N M Vl N M M O V O M vl O O — - N O V O, o I N 00 Ic O O O M N Ol d, � N dl C, O D` Ic 7 \D N •--i M O N Cc O\ Io M--� N M M O M O M V p o O N O M 1� O D O\ Ic V1 O O O W V1 V'1 lc N O N O N co co •--� w co a, 7 w r N N M a O o �n p cc D1 Nm N O 7 vi Ic •u Q a w p oo V �O O •--i O�t l� V tov 01 V o O ar- v O 4tQ C d\ v \O o :C G' Cp O b WV N M M O It V O V Vl O o O v N O oo V � O o N _ � l0 7k x h x N h It N N Q, O M V O` N W N of N N O_ O1 M W v1 M Ol p N M N W a1 U "bp M IO n I -o V m N m •--i m -C N O lc O`. NS l- N N O N O N y o wl wl In x I N J Hy Q Vl U° O •0 •u Q a w cc. x v 79 v O 4tQ �o �'" :C G' Cp O b WV W 3 iC ° s. W Q-.' iC iC 7k 7k 7k '� 7k 4t,k' `i' ti _ � l0 7k °' F°-� � �." •O p 3 O �, ,' ;� r�- V U �bq U V p�y �bA 7 Q U "bp °" m N N C4 N p .�' k > O O 70 Cr CU O bU n Q Q Q Q v Q F y 7 O v O v ° Cn C4 O O N O •vf1j O O C'' R� Ar J7. O p .� w tOi aJ �y f.. 'O ,.Oa sa un un cG cry a cry cl� Q a W c. x U un cry F• cr Q z VILLAGE OF MOUNT PROSPECT, ILLINOIS Principal Property Tax Payers - Current Fiscal Year and Nine Fiscal Years Ago December 31, 2023 (Unaudited) Taxpayer Taxable Assessed Value 2023 Rank Percentage of Total Village Taxable Assessed Value Taxable Assessed Value 2014 Rank Percentage of Total Village Taxable Assessed Value Tur Ventures LLC $ 32,347,758 1 1.49% Randhurst Casto Conger 29,170,334 2 1.34% $ 21,621,707 1 1.56% Home Properties Colony 29,077,674 3 1.34% 15,776,353 3 1.13% CRP 3 West Central LLC 19,483,754 4 0.90% 10,134,949 6 0.73% Mount Prospect Plaza 16,446,943 5 0.76% 1450 Owner LLC 16,322,328 6 0.75% Golf Plaza II 9,445,512 7 0.43% Maple Street Lofts 9,094,179 8 0.42% Menard - Properties 8,658,300 9 0.40% Costco 8,491,424 10 0.39% 7,286,163 9 0.52% Ramco Gershenson Prop 21,063,705 2 1.51% Golf Plaza I & 11 13,805,868 4 0.99% First Industrial 7,854,178 7 0.56% Cummings Allison Corp 6,949,469 10 0.50% United Airlines Inc. 11,320,095 5 0.81% LIT Industrial Limited 7,308,985 8 0.53% Totals 178,538,206 Data Source: Office of the Cook County Clerk 8.22% 123,121,472 8.84% Note: Every effort has been made to seek out and report the largest taxpayers. However, many of the taxpayers contain multiple parcels and it is possible that some parcels and their valuations were overlooked. 233 VILLAGE OF MOUNT PROSPECT, ILLINOIS Property Tax Levies and Collections - Last Ten Fiscal Years December 31, 2023 (Unaudited) Data Source: Office of the County Note: Property in the Village is reassessed each year. Property is assessed at 33% of actual value Other Information: The Statement requires that the information in this schedule be shown for each period for which levied and should be consistent with the periods shown in the schedule of direct and overlapping revenue rates and schedule of direct and overlapping property tax rates. Therefore, most Illinois governments should disclose this by the tax levy year, not the fiscal year. 234 Taxes Collected within the Collections Tax Levied for Fiscal Year of the Levy in Total Collections to Date Fiscal Levy the Fiscal Percentage Subsequent Percentage Year Year Year Amount of Levy Years Amount of Levy 2014 2013 $ 17,301,436 $ 17,064,355 98.63% $ (85,887) $ 16,978,468 98.13% 2015 2014 17,730,922 17,521,845 98.82% (132,705) 17,389,140 98.07% 2016 2015 18,312,756 18,130,372 99.00% (225,091) 17,905,281 97.77% 2017 2016 18,727,305 18,534,114 98.97% (244,355) 18,289,759 97.66% 2018 2017 19,087,264 18,865,586 98.84% (246,348) 18,619,238 97.55% 2019 2018 19,087,266 18,710,515 98.03% (228,332) 18,482,183 96.83% 2020 2019 19,469,004 19,187,932 98.56% (51,810) 19,136,122 98.29% 2021 2020 19,469,002 19,207,967 98.66% 30,780 19,238,747 98.82% 2022 2021 19,469,003 19,181,887 98.53% 159,200 19,341,087 99.34% 2023 2022 20,443,677 20,367,778 99.63% — 20,367,778 99.63% Data Source: Office of the County Note: Property in the Village is reassessed each year. Property is assessed at 33% of actual value Other Information: The Statement requires that the information in this schedule be shown for each period for which levied and should be consistent with the periods shown in the schedule of direct and overlapping revenue rates and schedule of direct and overlapping property tax rates. Therefore, most Illinois governments should disclose this by the tax levy year, not the fiscal year. 234 VILLAGE OF MOUNT PROSPECT, ILLINOIS Sales Taxes by Category - Last Ten Fiscal Years December 31, 2023 (Unaudited) General Merchandise Food Drinking and Eating Places Apparel Furniture and H.H., and Radio Lumber, Building Hardware Automobile and Filling Stations Drugs and Miscellaneous Retail Agriculture and All Others Manufacturers Totals Village Direct Sales Tax Rate Number of Taxpayers Data Source: Illinois Department of Revenue 2014 2015 2016 $ 1,135,237 1,112,640 1,114,510 891,855 949,277 951,863 778,314 825,994 884,477 163,857 162,116 163,438 221,977 220,663 209,712 756,113 791,285 821,872 1,578,004 1,540,910 1,492,452 4,574,353 5,460,292 6,594,754 2,802,361 3,629,675 3,611,295 383,370 433,798 500,200 13,285,441 15,126,650 16,344,573 1.00% 1.00% 1.00% 899 997 987 Data available for calendar year only. The fiscal year of the Village is the same as the calendar year. Excludes Home Rules Tax portion. 235 2017 2018 2019 2020 2021 2022 2023 1,082,424 1,086,859 992,680 863,330 955,318 992,430 1,036,858 877,665 856,379 884,898 985,767 985,071 1,142,947 1,231,263 879,654 937,398 997,318 870,374 1,035,832 1,182,293 1,240,628 157,352 140,366 172,171 145,070 220,190 207,198 215,273 202,302 210,670 197,569 160,490 193,957 296,442 322,244 846,376 913,446 965,237 1,095,425 1,151,396 1,185,052 1,128,800 1,676,338 1,816,029 1,942,864 1,951,579 2,276,879 2,509,920 2,422,544 8,965,486 13,018,288 13,336,938 14,089,151 18,596,445 19,688,632 22,337,303 3,649,578 3,751,156 3,788,000 1,629,707 3,653,554 3,715,106 4,806,367 184,759 95,752 101,939 131,654 200,527 155,768 141,178 18,521,934 22,826,343 23,379,614 21,922,547 29,269,169 31,075,788 34,882,458 1.00% 1.00% 1.00% 1.00% 1.00% 1.00% 1.00% 1,102 1,078 1,040 987 3,616 4,914 5,928 236 VILLAGE OF MOUNT PROSPECT, ILLINOIS Business District Sales Taxes by Category - Last Ten Fiscal Years December 31, 2023 (Unaudited) General Merchandise Food Drinking and Eating Places Apparel Furniture, H.H., and Radio Lumber, Building Hardware Automobile and Filling Stations Drugs and Miscellaneous Retail Agriculture and All Others Manufacturers Total Village Direct Sales Tax Rate Data Source: Illinois Department of Revenue 2014 2015 2016 $ 85,937 84,364 82,142 20,989 20,747 21,846 48,185 51,419 54,393 19,302 19,963 21,716 16,461 16,088 15,551 104,434 107,339 108,480 32,071 37,063 31,889 4,554 5,057 5,323 331,933 342,040 341,340 0.25% 0.25% 0.25% Data available for calendar year only. The fiscal year of the Village is the same as the calendar year. Note: Amount reported net of IDOR 2% compliance administration and enforcement charge. 237 2017 2018 2019 2020 2021 2022 2023 76,426 62,848 28,214 19,626 23,759 24,910 25,942 20,186 20,417 18,526 21,501 25,736 23,049 22,611 51,629 50,063 53,476 36,543 40,161 42,631 50,144 20,126 18,060 22,600 12,802 16,484 16,453 15,590 14,438 12,976 12,336 3,661 2,308 14,906 16,640 109,058 112,957 115,524 126,618 139,161 137,256 131,069 - 16 53 22 25,843 31,732 29,430 26,739 38,231 42,507 36,128 5,230 6,372 7,101 2,566 4,941 5,849 6,018 - 80 119 97 322,936 315,425 287,207 250,056 290,877 307,733 304,261 0.25% 0.25% 0.25% 0.25% 0.25% 0.25% 0.25% 238 VILLAGE OF MOUNT PROSPECT, ILLINOIS Home Rule Sales Taxes by Category - Last Ten Fiscal Years December 31, 2023 (Unaudited) Total Number of Taxpayers Village Home Rule Sales Tax Rate Data Source: Illinois Department of Revenue 5,395,213 5,447,220 5,546,692 889 997 987 1.00% 1.00% 1.00% Data available for calendar year only. The fiscal year of the Village is the same as the calendar year. Interest income included in warrants is not reflected in this schedule. *Excluding additional allocations received (excluded from IDOR online report). "Amount reported net of IDOR compliance administration and enforcement charge. 239 2014* 2015* 2016* General Merchandise $ 864,254 861,799 858,739 Food 234,082 249,683 246,759 Drinking and Eating Places 766,264 808,304 862,052 Apparel 163,487 161,630 162,986 Furniture and H.H. and Radio 218,184 217,031 206,542 Lumber, Building Hardware 752,301 787,000 817,396 Automobile and Filling Stations 956,255 893,301 831,269 Drugs and Miscellaneous Retail 508,772 488,963 439,702 Agriculture and All Others 550,929 548,380 623,624 Manufacturers 380,685 431,129 497,623 Total Number of Taxpayers Village Home Rule Sales Tax Rate Data Source: Illinois Department of Revenue 5,395,213 5,447,220 5,546,692 889 997 987 1.00% 1.00% 1.00% Data available for calendar year only. The fiscal year of the Village is the same as the calendar year. Interest income included in warrants is not reflected in this schedule. *Excluding additional allocations received (excluded from IDOR online report). "Amount reported net of IDOR compliance administration and enforcement charge. 239 2017** 2018** 2019** 2020** 2021** 2022** 2023** 822,252 806,891 675,585 577,971 678,058 669,247 697,195 231,474 238,527 249,420 268,755 306,796 331,838 339,570 831,312 852,731 913,754 764,116 932,604 1,058,134 1,124,167 154,603 137,624 169,062 142,434 216,205 203,245 210,969 196,588 204,642 192,307 157,506 190,925 290,069 313,838 828,391 891,206 942,053 1,068,094 1,125,051 1,155,838 1,099,583 937,688 1,029,522 1,031,563 924,782 1,172,729 1,346,105 1,305,812 473,116 517,588 533,057 754,906 1,148,221 1,223,910 1,212,637 702,386 667,655 611,860 528,437 722,886 803,621 795,136 179,655 91,683 97,836 126,659 194,381 150,434 138,034 5,357,465 5,438,069 5,416,497 5,313,660 6,687,856 7,232,441 7,236,941 1,102 1,078 1,040 987 3,616 4,914 5,928 1.00% 1.00% 1.00% 1.00% 1.00% 1.00% 1.00% 240 VILLAGE OF MOUNT PROSPECT, ILLINOIS Direct and Overlapping Sales Tax Rates - Last Ten Fiscal Years December 31, 2023 (Unaudited) Fiscal Year State Tax County Rate Regional Transportation Authority Village Direct Rate Total 2014 5.00% 1.00% 1.00% 1.00% 9.00% 2015 5.00% 1.00% 1.00% 1.00% 9.00% 2016 5.00% 2.00% 1.00% 1.00% 10.00% 2017 5.00% 2.00% 1.00% 1.00% 10.00% 2018 5.00% 2.00% 1.00% 1.00% 10.00% 2019 5.00% 2.00% 1.00% 1.00% 10.00% 2020 5.00% 2.00% 1.00% 1.00% 10.00% 2021 5.00% 2.00% 1.00% 1.00% 10.00% 2022 5.00% 2.00% 1.00% 1.00% 10.00% 2023 5.00% 2.00% 1.00% 1.00% 10.00% Data Source: State of Tllinois Note: Business district is assessed additional 0.25% sales tax. 241 VILLAGE OF MOUNT PROSPECT, ILLINOIS Ratios of Outstanding Debt by Type - Last Ten Fiscal Years December 31, 2023 (Unaudited) Business -Type Governmental Activities Activities Data Source: Audited Financial (1) The Village entered into five installment contracts with the Illinois Environmental Protection Agency to provide funds for the construction of flood control projects. The contracts are for a 20 -year period with equal semiannual installments. Only one of the five original loans remain outstanding. (2) The Village entered into an installment note to provide funding for the construction of certain flood control projects. The loan is payable in annual installments over a seven-year period. (3) See the schedule of Demographic and Economic Information for personal income and population data. Note: Details of the Village's outstanding debt can be found in the notes to financial statements. 242 Business Percentage Fiscal General IEPA District General Total of Year Obligation Loan Installment Limited Tax Obligation Primary Personal Per Ended Bonds Payable (1) Note (2) Note Payable Bonds Government Income (3) Capita (3) 2014 $ 48,433,628 $ 721,927 $ 2,340,000 $ 31,514,427 $ —S 83,009,982 4.61%S 1,532 2015 45,927,931 543,015 1,940,000 31,790,140 — 80,201,086 4.46% 1,481 2016 43,905,073 359,175 1,525,000 31,767,253 — 77,556,501 4.31% 1,432 2017 45,784,843 170,271 1,105,000 32,525,273 5,063,964 84,649,351 4.71% 1,563 2018 85,737,998 57,500 590,000 33,192,363 9,827,936 129,405,797 7.19% 2,389 2019 90,476,575 35,329,187 19,567,083 145,372,845 8.08% 2,684 2020 86,146,970 35,905,176 19,206,498 141,258,644 6.50% 2,587 2021 81,283,168 36,730,522 18,644,921 136,658,611 5.94% 2,404 2022 76,644,366 37,600,588 27,881,659 142,126,613 5.76% 2,500 2023 73,403,031 38,290,593 26,943,855 138,637,479 5.12% 2,439 Data Source: Audited Financial (1) The Village entered into five installment contracts with the Illinois Environmental Protection Agency to provide funds for the construction of flood control projects. The contracts are for a 20 -year period with equal semiannual installments. Only one of the five original loans remain outstanding. (2) The Village entered into an installment note to provide funding for the construction of certain flood control projects. The loan is payable in annual installments over a seven-year period. (3) See the schedule of Demographic and Economic Information for personal income and population data. Note: Details of the Village's outstanding debt can be found in the notes to financial statements. 242 VILLAGE OF MOUNT PROSPECT, ILLINOIS Ratios of General Bonded Debt Outstanding - Last Ten Fiscal Years December 31, 2023 (Unaudited) Fiscal Year General Obligation Bonds Less Amounts Available in Debt Service Fund Total Percentage of Total Taxable Assessed Value of Property (1) Per Capita (2) 2014 $ 48,433,628 $ 131,635 $ 48,301,993 1.19% $ 892 2015 45,927,931 154,206 45,773,725 1.10% 845 2016 43,905,073 168,152 43,736,921 1.08% 807 2017 50,848,807 184,195 50,664,612 1.04% 935 2018 95,565,934 2,546,115 93,019,819 1.86% 1,717 2019 110,043,658 1,850,968 108,192,690 2.16% 1,997 2020 105,353,468 1,261,124 104,092,344 1.76% 1,906 2021 99,928,089 1,533,779 98,394,310 1.65% 1,731 2022 104,526,025 864,746 103,661,279 1.87% 1,823 2023 100,346,886 1,079,060 99,267,826 1.52% 1,746 Data Sources: Audited financial statements and Office of the County Cleric (1) See the schedule of Assessed Value and Actual Value of Taxable Property for property value data. (2) See the schedule of Demographic and Economic Information for personal income and population data. Note: Details regarding the Village's outstanding debt can be found in the notes to the financial statements. 243 VILLAGE OF MOUNT PROSPECT, ILLINOIS Schedule of Direct and Overlapping Governmental Activities Debt December 31, 2023 (Unaudited) Governmental Unit (1) Gross Debt (2) Percentage Debt Applicable to the Village of Mount Prospect (3) Village Share of Debt Village of Mount Prospect S 111,693,624 100.00% $ 111,693,624 County of Cook 2,251,061,750 1.18% 26,540,018 Forest Preserve District of Cook County 98,005,000 1.18% 1,155,479 Metropolitan Water Reclamation District 1,758,435,000 1.20% 21,066,051 Community College District #535 42,855,000 0.02% 7,285 Community College District #512 235,760,000 9.88% 23,302,518 School District #214 22,265,000 19.36% 4,310,727 School District #207 158,100,000 0.08% 128,061 School District #57 4,945,000 94.36% 4,666,300 School District #26 10,955,000 78.59% 8,609,863 School District #25 91,070,000 2.37% 2,162,002 School District #23 11,100,000 8.91% 989,454 School District #21 81,005,000 3.21% 2,602,691 School District #59 21,370,000 18.30% 3,909,642 Arlington Heights Park District 8,450,000 1.91% 161,395 Des Plaines Park District 5,893,615 1.59% 93,591 Mount Prospect Park District 22,733,345 68.70% 15,617,581 Total Overlapping Debt 4,824,003,710 115,322,658 Total Direct and Overlapping Debt 4,935,697,334 227,016,282 Data Source: Governmental units and the percentage of overlapping debt from the County Clerk's office. Gross debt of the overlapping governmental units obtained from ACFR's on file with the Cook County Treasurer's Office. (1) Gross bonded debt excluding outstanding general obligation (alternate revenue bonds) which are expected to be paid from sources other then general taxation. (2) Determined by ratio of 2021 assessed value of property subject to taxation in overlapping unit to value of property subject to taxation in the Village. (3) Amount in column (2) multiplied by amount in column (1). 244 VILLAGE OF MOUNT PROSPECT, ILLINOIS Schedule of Legal Debt Margin December 31, 2023 (Unaudited) The Village is a home rule municipality. Article VII, Section 6(k) of the 1970 Illinois constitution governs computation of legal debt margin. The General Assembly may limit by law the amount and require referendum approval of debt to be incurred by some home rule municipalities, payable from ad valorem property tax receipts, only in excess of the following percentages of the assessed value of its taxable property ... (2) if its population is more than 25,000 and less than 500,000 an aggregate of one percent: indebtedness which is outstanding on the effective date (July 1, 1971) of this constitution or which is thereafter approved by referendum... shall not be included in the foregoing percentage amounts. To date the General Assembly has set no limits for home rule municipalities. The government is a home rule municipality. 245 VILLAGE OF MOUNT PROSPECT, ILLINOIS Demographic and Economic Statistics - Last Ten Fiscal Years December 31, 2023 (Unaudited) Fiscal Year (1) Population (2) Equalized Assessed Value Personal Income (1) Per Capita Personal Income (3) Unemployment Rate 2014 54,167 $ 1,390,377,678 $ 1,798,831,903 $ 33,209 5.50% 2015 54,167 1,354,550,848 1,798,831,903 33,209 4.30% 2016 54,167 1,619,158,852 1,798,831,903 33,209 4.60% 2017 54,167 1,670,725,439 1,798,831,903 33,209 3.70% 2018 54,167 1,670,073,671 1,798,831,903 33,209 2.90% 2019 54,167 1,971,307,340 1,798,831,903 33,209 2.70% 2020 54,604 1,991,342,982 2,174,658,904 39,826 6.60% 2021 56,852 1,846,400,810 2,299,777,104 40,452 5.00% 2022 56,852 2,171,527,212 2,466,751,428 43,389 3.10% 2023 56,852 N/A 2,706,951,128 47,614 2.90% Data source: (1) U.S. Department of Commerce, Bureau of the Census (2) Office of the Cook County Cleric (3) IDES Local Area Unemployment Statistics N/A - Not Available 246 VILLAGE OF MOUNT PROSPECT, ILLINOIS Principal Employers - Current Fiscal Year and Nine Fiscal Years Ago December 31, 2023 (Unaudited) Employer CVS Caremark Robert Bosch Tool Corporation Cummins -Allison Mount Prospect School District 57 Village of Mount Prospect Township High School District 214 Rauland Borg Wal-Mart Supercenter #1681 Home Depot #1913 Costco Carson Pirie Scott Data Sources: Village Records 2023 2014 Percentage Percentage of Total of Total Village Village Employees Rank Employment Employees Rank Employment 725 1 1.28% 1,240 1 2.29% 650 2 1.14% 650 2 1.20% 391 3 0.69% 507 3 0.88% 323 4 0.57% 271 6 0.50% 306 5 0.54% 306 4 0.56% 300 6 0.53% 225 8 0.42% 300 7 0.53% 300 5 0.55% 271 8 0.48% 200 10 0.37% 260 9 0.46% 218 9 0.40% 245 10 0.43% 234 7 0.45% 3,771 6.65% 4,151 7.62% 247 VILLAGE OF MOUNT PROSPECT, ILLINOIS Full -Time and Part -Time Employees by Function/Program - Last Ten Fiscal Years December 31, 2023 (Unaudited) See Following Page 248 VILLAGE OF MOUNT PROSPECT, ILLINOIS Full -Time Equivalent Employees by Function/Program - Last Ten Fiscal Years December 31, 2023 (Unaudited) Function/Program 2014 2015 2016 Public Representation/Community and Civic Services 2.05 2.15 2.20 General Government Village Administration Administration 15.45 16.85 16.75 Finance 13.00 13.00 13.00 Total 28.45 29.85 29.75 Community Development Community Development 18.50 18.50 18.75 Community Development/CDBG 1.00 1.00 0.75 Total 19.50 19.50 19.50 Human Services Department 9.50 9.50 9.50 Public Safety and Protection Police Department 100.50 99.50 101.50 Fire Department 74.50 75.00 81.00 Total 175.00 174.50 182.50 Public Works Department Administration 2.85 2.85 3.85 Streets/Buildings/Parking 12.40 12.40 12.35 Forestry 9.35 9.25 8.35 Engineering 8.00 8.00 8.00 Water/Sewer 24.75 24.75 2.90 Refuse Disposal 2.90 2.90 24.75 Parking 0.90 0.90 0.90 Vehicle Maintenance 10.75 10.75 10.75 Total 71.90 71.80 71.85 Village Total 306.40 307.30 315.30 Data Source: Village Budget 249 3.35 4.75 5.10 5.10 5.10 5.10 5.10 2017 2018 2019 2020 2021 2022 2023 2.10 2.05 0.80 0.80 0.70 0.70 0.70 17.35 13.00 15.85 13.50 15.50 13.50 16.00 14.00 16.00 13.00 15.50 13.00 16.00 13.00 30.35 29.35 29.00 30.00 29.00 28.50 29.00 18.75 0.75 21.00 21.25 21.25 20.75 20.75 21.75 19.50 21.00 21.25 21.25 20.75 20.75 21.75 9.55 10.55 9.55 9.55 9.55 11.05 11.05 102.50 81.00 103.00 81.00 104.00 80.75 105.50 80.75 105.50 80.75 104.50 86.79 105.50 87.45 183.50 184.00 184.75 186.25 186.25 191.29 192.95 3.35 4.75 5.10 5.10 5.10 5.10 5.10 12.35 14.20 16.05 16.30 16.00 16.00 17.00 8.35 8.35 9.55 9.55 9.55 9.55 9.55 8.00 7.90 8.40 8.40 8.40 8.40 8.40 25.25 25.75 23.30 23.30 23.30 23.85 23.85 2.90 0.90 10.75 10.75 9.60 10.10 9.65 9.65 9.65 71.85 71.70 72.00 72.75 72.00 72.55 73.55 316.85 318.65 317.35 320.60 318.25 324.84 329.00 250 VILLAGE OF MOUNT PROSPECT, ILLINOIS Operating Indicators by Function/Program - Last Ten Fiscal Years December 31, 2023 (Unaudited) Function/Program 2014 2015 2016 Finance Department Vehicle Stickers Issued 42,789 41,964 41,323 Utility Bills 152,649 152,703 152,872 Real Estate Transfer Tax Stamps Sold 1,426 1,433 1,541 Community Development Building Division Permits Issued 2,653 2,490 2,500 Plan Reviews 471 536 513 Building Code Inspections 10,952 10,590 9,535 Environmental Health Division Inspections Food Service 434 409 405 Multi -family Buildings 1,068 1,043 1,000 Public Safety Police Number of Crimes 2,480 2,399 2,235 Number of Service Calls 18,594 18,906 18,232 Number of Arrests 1,307 1,178 1,083 Moving Violations 4,928 4,839 4,137 Parking Citations 7,671 7,166 5,637 Fire Fire Calls 1,926 1,883 1,889 EMS Calls 3,985 4,061 4,032 Fire Prevention Inspections 3,047 2,700 3,800 Training Hours 24,033 25,990 29,024 Public Works Streets Street Resurfacing (Miles) 18.80 9.80 6.30 Crack Filling (Lbs) 59,568 51,412 53,623 Leaves Removed (Tons) 2,081 1,988 1,676 Water Water Mains Installed (Lineal Feet) - 1,990 600 Water Billed (1,000 Gallons) 1,301,528 1,204,478 1,224,661 Sanitary Sewers Cleaned (Ft) 90,000 120,000 75,000 Refuse (Single/Multi-Family) Solid Waste Collected (Tons) 30,320 30,605 26,574 Recycling (Tons) 5,498 5,369 5,355 Data Source: Various Village Departments * Numbers affected by COVID-19. ** Village suspended Vehicle Sticker issuance 251 2017 2018 2019 2020 2021 2022 2023 18,393 18,339 18,483 15,650 22,138 16,186 17,372 40,638 39,214 37,945 35,337 35,687 33,000 - ** 152,689 152,689 149,186 149,305 152,408 153,437 156,083 1,472 1,473 1,455 1,485 1,596 1,477 1,172 2,375 2,562 2,502 2,500 2,935 2,454 2,379 425 465 575 600 636 992 972 9,640 9,320 9,100 9,000 10,480 7,336 8,560 400 359 406 432 1,216 447 471 1,000 1,025 1,015 1,000 902 1,303 1,693 2,387 2,335 2,392 2,102 1,645 1,694 1,785 18,393 18,339 18,483 15,650 22,138 16,186 17,372 1,102 1,019 1,113 919 628 785 789 3,842 3,440 3,404 2,501 2,087 2,958 2,946 8,179 5,564 4,366 3,692 6,691 4,289 4,688 1,816 1,884 1,855 1,793 1,767 2,037 1,902 4,105 4,195 4,598 4,069 4,734 4,986 5,394 2,075 2,600 3,000 1,500 * 1,956 2,530 3,000 31,626 31,651 31,258 24,221 * 29,587 31,440 36,900 7.00 7.00 6.80 7.10 7.73 8.55 9.21 51,412 54,000 54,000 54,000 55,371 52,251 43,961 1,848 1,856 1,853 1,889 1,100 1,941 2,050 1,990 3,900 4,510 5,326 6,513 6,785 12,884 1,208,079 1,179,096 1,183,694 1,219,545 1,259,250 1,259,369 1,271,971 100,000 75,000 60,000 60,000 52,000 48,000 43,562 29,613 28,235 28,854 28,776 28,704 20,488 21,884 5,492 5,086 4,672 4,859 4,486 4,398 4,067 252 VILLAGE OF MOUNT PROSPECT, ILLINOIS Capital Asset Statistics by Function/Program - Last Ten Fiscal Years December 31, 2023 (Unaudited) Function/Program 2014 2015 2016 Public Safety Police Stations Patrol Units Fire Fire Stations Fire Engines/Vehicles Public Works Residential Streets (Miles) Water Water Mains (Miles) Fire Hydrants Storage Capacity (Gallons) Wastewater Sanitary Sewer (Miles) Storm Sewers (Miles) Combined Sewers (Miles) Data Source: Various Village departments 253 1 1 1 32 32 30 3 3 3 23 22 21 134 134 135 160 160 160 2,242 2,240 2,243 8.8M 8.8M 8.8M 71 71 72 135 108 108 54 54 55 2017 2018 2019 2020 2021 2022 2023 1 1 1 1 1 1 1 31 31 30 30 30 32 31 3 3 3 3 3 3 4 21 21 22 22 22 24 25 135 135 135 135 136 136 136 160 160 160 160 160 160 160 2,246 2,246 2,246 2,246 2,246 2,246 2,246 8.8M 8.8M 8.8M 8.8M 8.8M 8.8M 8.8M 72 72 72 72 72 72 72 110 110 110 110 110 110 110 55 55 55 55 55 55 55 254 ADDITIONAL DISCLOSURES REQUIRED BY SEC RULE 15C2-12 255 VILLAGE OF MOUNT PROSPECT, COOK COUNTY, ILLINOIS FINANCIAL INFORMATION STATEMENT OF INDEBTEDNESS Assessed Valuation of Taxable Real Property, 2022 Estimated True Value of Taxable Real Property, 2022 Direct Bonded Debt payable from Property Taxes (1) Payable From Property taxes Self -Supporting Debt Total Direct Bonded Debt Overlapping Bonded Debt Payable from Property Taxes (2) Schools Other Than Schools Total Overlapping Bonded Debt Total Direct and Overlapping Bonded Debt Total Direct and Overlapping Bonded Debt Excl. Self -Supporting Amount As Percent of Per Capita Applicable as of Assessed Estimated 2020 Census December 31, 2023 Value True Value 56,852 $2,171,527,212 100.00% 33.33% $32,477.32 6,514,581,636 300.00% 100.00% 97,431.97 $45,570,000 2.10% 0.70% $801.55 91,413,624 4.21% 1.40% 1,607.92 $136,983,624 7.70% 2.57% $2,499.94 $50,688,543 2.33% 0.78% $891.59 64,634,115 2.98% 0.99% 1,136.88 $115,322,658 5.98% 1.99% $2,028.47 $252,306,282 13.68% 4.56% $4,437.95 $160,892,658 7.41°% 2.470/t, $2,830.03 Notes: 1. The Village is a home -rule unit under the Illinois constitution and, therefore, has no debt limit nor is it required to seek referendum approval for the issuance of general obligation debt. 2. See "Detailed Overlapping Bonded Indebtedness Payable From Property Taxes at December 31, 2023". RETIREMENT SCHEDULE OF OUTSTANDING VILLAGE GENERAL OBLIGATION BONDED DEBT (Note 1) (As of December 31, 2023) Principal Maturities Due Source of Payments Total Maturities Calendar Property Annual Cumulative Date Taxes Amount Percent Debt Service Tax Levies Levy Property Year Taxes 2024 4,085,000 4,085,000 4.2% 2023 7,642,309 2025 4,315,000 4,315,000 8.7% 2024 7,707,749 2026 4,565,000 4,565,000 13.4% 2025 7,795,919 2027 4,795,000 4,795,000 18.4% 2026 7,857,879 2028 5,055,000 5,055,000 23.6% 2027 7,952,304 2029 4,800,000 4,800,000 28.5% 2028 7,524,869 2030 5,185,000 5,185,000 33.9% 2029 7,713,624 2031 5,480,000 5,480,000 39.6% 2030 7,804,060 2032 5,775,000 5,775,000 45.5% 2031 7,881,668 2033 6,095,000 6,095,000 51.8% 2030 7,981,540 2034 5,540,000 5,540,000 57.6% 2031 7,198,088 2035 5,830,000 5,830,000 63.6% 2034 7,302,538 2036 6,120,000 6,120,000 69.9% 2035 7,395,763 2037 6,425,000 6,425,000 76.5% 2036 7,493,038 2038 4,650,000 4,650,000 81.4% 2037 5,499,050 2039 4,865,000 4,865,000 86.4% 2038 5,551,200 2040 3,465,000 3,465,000 90.0% 2039 3,977,650 2041 3,610,000 3,610,000 93.7% 2040 3,991,050 2042 2,990,000 2,990,000 96.8% 2041 3,234,000 2043 3,110,000 3,110,000 100.0% 2042 3,234,400 $96,755,000 $96,755,000 256 Notes: 1. The Village is a home rule unit under the 1970 Illinois Constitution and as such has no debt limit, nor is it required to seek referendum approval for the issuance of general obligation debt. The Village has used alternative revenue sources including Home -rule sales tax, water/sewer charges etc. to perform the debt service for certain bonds. The Village abates the property taxes for the bonds paid with the alternative revenue sources. DEBT RATIOS AND PER CAPITAL DEBT -GENERAL OBLIGATION BOND SALES 2006-2022 (Note 1) Notes: 1. Information in table pulled from applicable Official Statements. 2. Excludes the Village's general obligation bonds which are payable from non -property taxes. 3. Village population estimates used in these calculations were 56,265 in 2001-2009, and 54,167 in 2010-2019 and 56,852 beginning in 2020. EQUALIZED ASSESSED VALUATION FOR TAXING PURPOSES (Note 1) Real Property Tax Net For Plus Total For All Increase Levy General Taxing Incremental Taxing Over Year (2) Purposes (3) Valuation Purposes (4) Prior Year 2012 1,568,774,082 38,247,882 Ratio to Equalized Assessed Value Per Capita (3) 2013 1,357,294,084 Direct Debt Direct & Overlapping Debt Direct & Overlapping Debt 1,390,377,678 33,230,688 Including Excluding Including Excluding Including Excluding Village Issue Self- Self- Self- Self- Self- Self - Sale Date Amount Supporting Supporting (2) Supporting Supporting (2) Supporting Supporting (2) December 15, 2006 10,000,000 0.78% 0.69% 2.72% 2.63% 2,362.39 2,287.21 February 17, 2009 10,000,000 0.72% 0.72% 2.45% 2.45% 2,445.85 2,445.85 December 1, 2009 3,430,000 0.70% 0.70% 2.47% 2.47% 2,749.42 2,749.42 December 1, 2009 2,650,000 0.70% 0.70% 2.47% 2.47% 2,749.42 2,749.42 July 29, 2011 4,100,000 0.60% 0.60% 2.80% 2.80% 2,921.82 2,921.82 July 29, 2011 5,160,000 0.60% 0.60% 2.80% 2.80% 2,921.82 2,921.82 January 3, 2012 2,975,000 0.60% 0.60% 2.80% 2.80% 2,921.82 2,921.82 September 10, 2013 9,800,000 0.92% 0.92% 3.42% 3.42% 3,042.80 3,043.80 February 4, 2014 6,279,000 1.13% 1.09% 3.74% 3.71% 3,253.40 3,223.59 September 8, 2016 8,735,000 2.00% 1.16% 5.29% 4.45% 3,356.50 3,309.47 December 1, 2016 9,100,000 1.90% 1.09% 5.25% 4.43% 3,356.50 3,296.96 December 20, 2017 9,740,000 1.64% 1.04% 3.78% 3.19% 3,385.89 2,829.19 May 1, 2018 7,060,000 1.62% 0.62% 3.79% 2.75% 4,214.20 2,450.93 October 16, 2018 38,440,000 2.39% 1.28% 4.55% 3.41% 4,214.20 3,135.48 June 3, 2019 9,600,000 6.87% 2.56% 12.69% 8.38% 4,444.69 2,935.89 November 25, 2019 7,725,000 6.87% 2.56% 12.69% 8.38% 4,444.69 2,935.89 February 8, 2022 8,935,000 7.70% 2.56% 13.68% 8.55% 4,443.50 2,776.43 September 7, 2022 8,230,000 7.70% 2.56% 13.68% 8.55% 4,443.50 2,776.43 Notes: 1. Information in table pulled from applicable Official Statements. 2. Excludes the Village's general obligation bonds which are payable from non -property taxes. 3. Village population estimates used in these calculations were 56,265 in 2001-2009, and 54,167 in 2010-2019 and 56,852 beginning in 2020. EQUALIZED ASSESSED VALUATION FOR TAXING PURPOSES (Note 1) Real Property Tax Net For Plus Total For All Increase Levy General Taxing Incremental Taxing Over Year (2) Purposes (3) Valuation Purposes (4) Prior Year 2012 1,568,774,082 38,247,882 1,607,021,964 (7.5%) 2013 1,357,294,084 32,976,484 1,390,270,568 (13.5%) 2014 1,390,377,678 33,230,688 1,423,608,366 2.4% 2015 1,354,550,848 32,251,850 1,386,802,698 (2.6%) 2016 1,619,158,852 47,669,419 1,666,828,271 20.2% 2017 1,670,725,439 - 1,670,725,439 0.2% 2018 1,670,073,671 2,279,575 1,672,353,246 0.1% 2019 1,962,779,503 8,527,837 1,971,307,340 17.9% 2020 1,977,147,038 14,195,944 1,991,342,982 1.0% 2021 1,834,713,374 11,687,436 1,846,400,810 (7.3%) 2022 2,111,145,161 60,382,051 2,171,527,212 17.6% 257 Notes 1. Property in Cook County is separated into two primary classifications for assessment purposes (10% for residential and 25% for commercial property). After the assessor establishes the fair market value of a parcel of land, the value is multiplied by one of the classification percentages to arrive at the assessed valuation for that parcel. The Illinois Department of Revenue furnishes each county with an adjustment factor (the equalization factor) to equalize the level of assessment between counties. After the equalization factor is applied, the valuation of the property for taxing purposes has been established, and tax rates are applied to the equalized valuation. 2. Under the current triennial reassessment system in Cook County, the Village was most recently reassessed in 2022, and its equalized assessed value increased by 17.6 percent, or $325.1 million, compared to the prior year. 3. Excludes four categories of exemptions: the Senior Citizens' Homestead Exemption; the General Homestead Exemption; the Senior Citizens' Tax Freeze Homestead Exemption and the Long -Term Homeowner Exemption. 4. The Village's tax rate is calculated based on the village's Net Equalized Assessed Valuation (shown in this table as "Net for General Taxing Purposes") and is extended against its entire Equalized Assessed Valuation (shown in this table as "Total for all Taxing Purposes") excluding only the statuary exemptions. Of the taxes collected, that portion applicable to incremental valuation (valuation of tax increment districts) is remitted to the Village by the County Collector for deposit in the applicable tax allocation fund. The Equalized Assessed Valuation for which the Village receives its portion of the total tax rate for all non -TIF purposes is shown in this table as "Net for General Taxing Purposes". DETAILED OVERLAPPING BONDED INDEBTEDNESS PAYABLE FROM PROPERTY TAXES AT DECEMBER 31, 2023 SCHOOL DISTRICTS: Elementary Districts: Mount Prospect No. 57 Community Consolidated No. 59 River Trails No. 26 Wheeling Community Consolidated No. 21 Arlington Heights No. 25 Prospect Heights No. 23 High School Districts: Wheeling/Elk Grove No. 214 Maine Township No. 207 Community Colleges: Oakton No. 535 Harper No. 512 Total Schools OTHER THAN SCHOOL DISTRICTS: Cook County, Including Forest Preserve District Metropolitan Water Reclamation District Park Districts: Mount Prospect Arlington Heights Des Plaines Percent of Village's Applicable Share Village's 2022 of Gross Debt to be Real Property Gross Paid From Property Taxes (1) in Taxing Body Bonded Debt Percent Amount 37.7% 4,945,000 94.364% 4,666,300 26.7% 21,370,000 18.295% 3,909,642 26.4% 10,955,000 78.593% 8,609,863 3.4% 81,005,000 3.213% 2,602,691 3.2% 91,070,000 2.374% 2,162,002 2.5% 11,100,000 8.914% 989,454 99.8% 22,265,000 19.361% 4,310,727 0.2% 158,100,000 0.081% 128,061 0.2% 42,855,000 0.017% 7,285 99.8% 235,760,000 9.884% 23,302,518 50,688,543 100.0% 2,349,066,750 1.179% 27,695,497 100.0% 1,758,435,000 1.198% 21,066,051 66.8% 22,733,345 68.699% 15,617,581 2.8% 8,450,000 1.910% 161,395 1.8% 5,893,615 1.588% 93,591 Total Other Than Schools 64,634,115 258 Notes: 1. Village's share based upon 2022 Real Property valuations. TAX RATES PER $100 EQUALIZED ASSESSED VALUATION (Note 1) Village of Mount Prospect: Bonds and Interest Pensions (Police, Fire) Police Protection Fire Protection Total Village Cook County, Including Forest Preserve District Metropolitan Water Reclamation District Mount Prospect Park District Mount Prospect Public Library Special Service Area No. 5 Community Consolidated School District No. 59 Township High School District No. 214 Harper College No. 512 All Other Total (2) Village as a Percent of Total Lew Years 2018 2019 2020 2021 2022 $0.148 $0.132 50.138 $0.157 $0.104 0.401 0.370 0.366 0.379 0.397 0.292 0.261 0.223 0.240 0.204 0.302 0.225 0.251 0.279 0.237 $1.143 $0.988 $0.978 $1.055 $0.942 0.549 0.543 0.511 0.523 0.512 0.396 0.389 0.378 0.382 0.374 0.633 0.547 0.554 0.617 0.547 0.696 0.599 0.593 0.647 0.495 - - - - 0.000 3.173 2.751 2.735 3.076 2.844 2.669 2.356 2.382 2.664 2.352 0.443 0.403 0.409 0.457 0.410 0.106 0.090 0.087 0.095 0.081 $9.808 $8.666 $8.627 $9.516 $8.557 11.7% 11.4% 11.3% 11.1% 11.0% Notes 1. As a home rule unit under the 1970 Illinois Constitution, the Village has no statutory tax rate or levy limitations. 2. Tax rate applicable to the largest tax code in the Village and most recent available from Cook County. TAX EXTENSIONS AND COLLECTIONS (Village Purposes Only) Levy Year Collection Year Total Taxes Extended Total Taxes Collected as of December 31, 2023 (Note 1) Amount Percent (2) 2013 2014 17,305,500 17,017,128 98.33% 2014 2015 17,741,219 17,421,947 98.20% 2015 2016 18,313,527 17,948,393 98.01% 2016 2017 18,733,668 18,385,014 98.14% 2017 2018 19,096,392 18,804,998 98.47% 2018 2019 19,088,942 18,708,934 98.01% 2019 2020 19,469,004 19,187,932 98.56% 2020 2021 19,469,002 19,238,747 98.82% 2021 2022 19,469,002 19,341,087 99.34% 2022 2023 20,443,677 20,367,778 99.63% Notes: 1. Source: Cook County Treasurer's Office. Tax payments, including late payments and proceeds from tax sales, are shown as collections in the year when due. The "Amount Collected" is not the same as distributions to the Village because tax refunds (pursuant to court orders, first time homestead exemptions other exemptions, etc.) are deducted from "Amount Collected" and interest earnings are added to "Amount Collected" in calculating the distributions. 2. Cook County property taxes are payable in two installments: the first on March 1, and the second on the latter of August 1 or 30 days after the mailing of the tax bills. The first installment is an estimated bill and is 55% of the prior year's bill. The second installment is based on the current levy, assessment and equalization and reflects any changes from the prior year in those factors. 259 TEN LARGEST TAXPAYERS Equalized Assessed Percent of Rank Taxpayer Business/Properties Valuation (1) Village (2) 1 TUR Ventures LLC 2 CRP 3 West Center LLC 3 LBX Mount Prospect LLC 4 DLC Management Corp 5 Maple Street Lofts 6 Home Properties 7 Menards - Properties 8 CR Golf Plaza II LLC 9 MT Prospect Greens LLC 10 Costco Operations Center Industrial Shopping Center Shopping Center Apartments Apartments Hardware and Home Building Store Shopping Center Apartments Membership Warehouse Club Notes: 1. Valuations as of January 1, 2022 for 2022 tax purposes (payable 2023). 2. Total 2022 Village valuation is $ 2,171,527,212 41,498,170 1.91% 22,981,507 1.06% 18,512,903 0.85% 14,893,117 0.69% 11,256,245 0.52% 20,233,518 0.93% 10,795,490 0.50% 10,421,602 0.48% 9,776,844 0.45% 8,843,242 0.41% $169,212,638 7.79% 2015 AND 2022 TAX BASE DISTRIBUTION BY PROPERTY CLASSIFICATION* * A breakdown by property classification of the Village's levy year 2023 valuation is not available as of the date of this report. 260 Village of Mount Prospect Taxable Valuation Percent of Total Classification 2015 2022 % 2015 2022 Residential 962,934,812 1,500,421,807 55.82% 71.09% 68.62% Commercial 279,463,359 374,504,816 34.01% 20.63% 17.13% Industrial 111,147,033 310,169,978 179.06% 8.21% 14.19% Railroad 1,005,644 1,391,583 38.38% 0.07% 0.06% Total 1,354,550,848 2,186,488,184 61.42% 100.00% 100.00% * A breakdown by property classification of the Village's levy year 2023 valuation is not available as of the date of this report. 260 GENERAL FUND (Note 1) Summary Statement of Revenues, Expenditures and Changes in Fund Balance (Fiscal Years Ending December 31) Revenues: Property Taxes Sales Taxes State Income Taxes Licenses, Permits & Fees Utility Taxes Charges for Service Fines & Forfeits Investment Income Food & Beverage Tax Real Estate Transfer Tax All Other Revenues Total Revenues Expenditures: General Government Public Representation Division Village Manager's Office Finance Department Community Development -Administration Benefit Payments Total General Government Public Safety: Code Enforcement Police Department Fire & Emergency Protection Department Total Public Safety Highways & Streets Health Welfare Culture & Recreation Net Transfers (In)/Out Total Expenditures Revenues Over (Under) Expenditures Ending Fund Balance Actual 2023 2019 2020 2021 2022 Budget Actual $ 16,081,608 16,367,630 16,226,617 16,286,923 17,970,571 18,253,378 24,249,211 22,693,522 30,100,672 30,307,782 35,155,000 35,151,212 5,765,484 5,886,270 7,175,489 9,263,878 9,080,500 9,080,365 2,733,317 2,402,150 3,462,218 2,568,330 2,756,500 2,782,346 3,292,347 3,025,210 3,053,871 3,215,723 1,818,000 1,846,913 1,875,941 2,320,837 3,153,582 3,938,175 3,220,000 3,737,078 286,328 242,004 445,604 313,457 301,300 332,710 430,397 99,325 (3,025) 606,334 2,710,000 2,746,117 884,637 818,911 1,080,890 1,246,766 1,214,000 1,216,606 1,434,580 962,687 1,471,917 1,555,691 956,000 956,954 3,144,713 3,870,492 2,895,216 6,539,583 7,082,458 6,509,756 $ 60,178,563 58,689,038 69,063,051 75,842,642 82,264,329 82,613,435 113,322 120,925 166,216 152,110 214,089 165,182 3,662,546 3,498,838 3,689,825 4,252,225 5,075,101 4,708,504 2,781,155 1,548,016 1,515,447 1,624,954 1,686,748 1,533,547 1,129,783 1,723,458 1,063,237 1,085,561 1,460,020 1,157,543 5,993 6,173 6,358 6,549 6,744 6,745 7,692,799 6,897,410 6,441,083 7,121,399 8,442,702 7,571,521 962,937 1,062,597 1,094,230 1,126,233 1,3 86,029 1,313,094 18,975,187 19,085,680 20,023,450 19,942,165 21,977,493 21,926,267 16,188,816 17,096,913 17,616,782 18,751,795 20,715,872 20,736,486 36,126,940 37,245,190 38,734,462 39,820,193 44,079,394 43,975,847 8,674,121 8,705,967 9,370,338 8,807,969 10,540,544 10,276,613 195,532 132,833 166,502 128,135 167,210 125,878 1,372,853 1,446,675 1,422,835 1,562,184 2,206,696 1,672,152 388,375 166,740 306,890 303,830 444,507 396,530 2,107,362 4,598,000 4,000,000 4,688,401 18,850,000 14,280,911 56,557,982 59,192,815 60,442,110 62,432,111 84,731,053 78,299,452 3,620,581 (503,777) 8,620,941 13,410,531 (2,466,724) 4,313,983 $ 26,678,148 26,174,371 34,795,312 48.245,320 45,778,596 52,559,303 261 Assets: Cash & Investments Receivables Property Taxes Other Taxes All Other Due From Other Funds Due From Other Governments All Other Assets Total Assets Liabilities & Fund Balance Accounts Payable Deferred Revenues Property Taxes All Other Liabilities Fund Balance: Nonspendable Restricted Committed Assigned Unassigned Total Fund Balance Total Liabilities & Fund Balance Balance Sheet - December 31 2019 2020 2021 2022 2023 $ 20,838,531 20,649,384 29,375,181 46,145,782 50,957,108 16,545,722 16,397,406 16,259,186 17,863,091 17,853,762 8,518,372 7,968,423 9,859,038 9,727,019 10,731,093 359,574 305,811 312,830 473,104 404,875 10,000 20,000 48,570 48,244 92,748 296,195 81,434 370,162 906,902 2,143,866 407,655 314,189 $ 46,680,931 46,276,170 58,042,849 74,922,846 80,362,461 $ 517,940 606,869 773,678 552,803 742,182 16,539,009 16,354,772 16,156,364 14,164,411 17,614,813 2,945,834 3,140,158 6,317,495 11,960,312 9,446,163 370,162 381,902 342,372 407,655 314,189 3,393,000 2,300,000 3,700,000 7,250,000 8,544,250 22,914,986 23,492,469 30,752,940 40,587,665 43,700,864 $ 26,678,148 26,174,371 34,795,312 48,245,320 52,559,303 $ 46,680,931 46,276,170 58,042,849 74,921846 80,362,461 Notes: 1. This condensed financial information for the years ending December 31, 2019-2023 has been excerpted from the full Annual Comprehensive Financial Reports of the Village. The accounting policies of the Village conform to GAAP and are disclosed in the audited financial statements. A summary of some of the policies are: The General Fund is accounted for using the modified accrual basis of accounting. Revenues are recognized when they become measurable and available as net current assets. Expenditures are generally recognized when the related fund liability is incurred. 262 COMBINED STATEMENT -ALL FUNDS (Note 1) Fund Balances 2019-2023 and Summary 2023 Revenues, Excess Revenues and Fund Balance (Fiscal Years Ended December 31) Governmental Fund Types (2): 2019 General Fund * S 26,678,148 Special Revenue Funds: Fund Balance Motor Fuel Tax S 2,465,613 Community Development Block Grant 18,253,378 Refuse Disposal 1,167,139 Asset Sci7ure 135,102 DEA shared Funds 50,545 DUI Fines 143,435 Foreign Fire Tax Fund 438,552 Business District Fund Police & Fire Building Construction* 14,141,970 Pension Stabilization Fund 25,202,939 Economic Emergency Fund 1,020,102 South Mount Prospect TIF 1,380,549 Prospect/Main TIF* 8,532,044 Total Special Revenue 27,074,400 Debt Service * 3,455,359 Capital Projects (3) 5,662,051 Total Governmental S 62,869,958 Proprietary & Fiduciary Fund Types 51,989 Enterprise Funds (4): 472,562 2020 2021 2022 Fiscal Year Ended December Revenue Incl. Transfers Property Tax Total 31, 2023 Revenue Over (Under) Expenditures Fund Balance 26,174,371 34,834,789 48,245,320 18,253,378 82,613,435 4,313,983 52,559,303 3,789,560 4,480,280 3,805,306 2,633,894 (268,960) 3,536,346 Internal Service Funds (5) 22,226,789 23,618,874 488,918 25,202,939 1,020,102 L091,050 1,380,549 Pension Trust Funds: 5,316,690 276,822 1,657,371 120,643 105,505 90,381 6,661 (13,066) 77,315 51,989 57,872 472,562 96,474,332 28,048 (45,172) 427,390 149,962 148,677 138,910 2,427 80,459,469 138,910 413,755 478,814 543,266 8,359,723 139,784 42,247 585,513 210,909,923 234,399,707 251702,008 226,484,364 2,063,298 71,118,439 25366,470 44,134 Total All Funds (Memo Only) S 273,779,881 274,839,054 304242,525 299,662,857 25,930,366 194,417,826 750,000 342,040,103 750,000 750,000 6,695,690 6,695,690 6,695,690 Cash & Invesmrents at 12/31 (6): 2019 2,039,830 2,039,830 2.038,750 2,038,750 25,991 395,781 2,177,557 3,428,908 3,468,200 88,845 2,266,402 5,616,136 6,757,979 9,358,531 5,468,738 23,633,440 8,815,156 18,173,687 3,126,865 1,782,485 1,095,578 2,208,250 4,740,237 205,969 1,301,547 5,521,975 8,165,264 14,479,064 16,992,050 12,312,275 3,675,668 18,154,732 40,439,347 51,540,517 73,178,493 25,930,366 123,299,387 17,010,776 90,189,269 Water and Sewer * 38,572,493 42,982,296 45,147,298 49,885,089 22,797,363 6,070,899 55,955,988 Village Parking System 549,156 430,837 310,546 322,966 176,819 (54,468) 268,498 Internal Service Funds (5) 22,226,789 23,618,874 25,752,604 25,202,939 15,914,350 1,700,836 26,903,775 Pension Trust Funds: Police Pension 78,333,544 86,908,231 96,474,332 80,671,330 16,557,093 9,289,480 89,96(),810 Firefighter's Pension 71,227,941 80,459,469 85,017,228 70,402,040 15,672,814 8,359,723 78,761,763 Total Proprietary & Fiduciary S 210,909,923 234,399,707 251702,008 226,484,364 71,118,439 25366,470 251,850,834 Total All Funds (Memo Only) S 273,779,881 274,839,054 304242,525 299,662,857 25,930,366 194,417,826 42377,246 342,040,103 * Designated as major funds. Cash & Invesmrents at 12/31 (6): 2019 2020 2021 2022 2023 General Fund S 20,838,531 20.649,384 29,375,181 46,145,782 50,957,108 Internal Service Funds 11,707,300 13,783,192 14,008,929 13,909,933 16,992,050 Police & Fire Building Construction 17,938,945 153,863 Prospect & Main TIF 9,716,685 10,018 341,682 1,927,204 3,517,866 Other Special Revenue Funds 5,427,444 5,825,227 6,378,108 7,404,244 13,478,849 Debt Service Funds 3,448,379 3,119,837 1,767,712 448,161 1,276,937 Subtotal S 69,077,284 43,541521 51,871,612 69,835,324 86,222,810 Capital Project Funds 6,262,008 5,325,291 7,948,358 12,304,169 17,859,553 Water &Sewer 19,536,350 17,631,177 16,311,963 25,934,241 22,112,891 Other Enterprise Funds 576,470 446,638 327,112 335,433 281,386 Pension Trust Funds 149,345,705 167,194,366 181536,181 150,542,958 168,630,998 Total S 244,797,817 234,138,993 257,995,226 258,952,125 295,107,638 + Starting year 2019 Other Fiduciary Funds are merged with General Fund 263 Notes: 1. This condensed financial information for the years ending December 31, 2019-2023 has been excerpted from the full Annual Comprehensive Financial Reports of the Village. The accounting policies of the village conform to GAAP and are disclosed in the audited financial statements. A summary of some of the policies are: All Governmental Funds are accounted for using the modified accrual basis of accounting. Revenues are recognized when they become measurable and available as net current assets; expenditures are recognized when the related fund liability is incurred. All Proprietary Funds and Pension Trust Funds are accounted for using the accrual basis of accounting. The Village's Annual Comprehensive Financial Report for the year ended December 31, 2023, included an unmodified "Independent Auditor's Report". Similar unqualified/unmodified opinions were included in the Village's Annual Comprehensive Financial Reports for the years ending December 31, 2019-2023. The "Independent Auditor's Report" included in the latest audit states, in part: In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, the business -type activities, each major fund, and the aggregate remaining fund information of the Village of Mount Prospect, Illinois, as of December 31, 2023, and the respective changes in financial position and, where applicable, cash flows thereof for the year then ended in accordance with accounting principles generally accepted in the United States of America. " 2. The Village's property tax revenue recognition policy conforms to the provisions of "NCGA Interpretation 3, Revenue Recognition Property Taxes." The current net tax levy receivable is recognized in the balance sheet along with a corresponding amount of deferred revenue. In addition, the debt service payments and liabilities related to the current net tax levy are not reflected in the Debt Service Funds; the un -matured principal is reflected in the General Long -Term Debt Account Group. 3. Includes the Capital Improvement Fund, which accounts for the resources used to provide for mid- sized capital projects. Financing is provided by one-quarter cent home rule sales tax, developer contributions, inter -fund transfers, investment income, and bond proceeds. 4. Fund balances shown for the Enterprise Funds are total fund equity, including contributed capital and retained earnings, and the column "Revenue Over Expenditures" represents the change in that amount. 5. The Village has created a new Police and Fire Building Construction fund during the year 2018. This fund is created to account for bond proceeds and construction cost associated with new Police and Fire buildings. 6. The Village created a Risk Management Fund in 1984 to account for the servicing and payment of claims for liability, property, casualty coverage and Workers' Compensation. Financing is provided by charges to the various Village funds. The Village created a Vehicle Replacement Fund in fiscal year 1991 to account for the acquisition and depreciation of Village vehicles. Financing is provided by charges to the General, Water and Sewer, and Parking Funds. The Village created a Vehicle Maintenance Fund in 1996 to account for the maintenance and repair of all Village vehicles except Fire Department vehicles. In 1997, the Village created a Computer Replacement Fund to account for the acquisition and depreciation of Village computer hardware. 7. The Village created the Pension Stabilization Fund starting in 2022. The fund will provide alternative revenue sources (other than property taxes) for funding the annual pension costs and will allow the Village to abate a portion of the real estate taxes levied for the public safety pensions. 8. Excludes agency funds. 264 CAPITAL ASSETS (Note) (December 31, 2023) Note: Capital assets, which include property, plant, equipment, and infrastructure assets (e.g., roads, bridges, storm sewers, and similar items), are reported in the applicable governmental or business -type activities columns in the government -wide financial statements. Capital assets are defined by the Village as assets with an initial, individual cost of more than $20,000, except for infrastructure for which the cost is $50,000 and an estimated useful life in excess of one year. Such assets are recorded at historical cost or estimated historical cost if purchased or constructed. Donated capital assets are recorded at estimated fair market value at the date of donation. 265 Governmental Business Type Activities Activities Capital Assets Not Being Depreciated Capital Assets Not Being Depreciated Land $ 15,942,776 Land $ 17,318,818 Construction in Progress 5,200,705 Construction in Progress 1,229,427 Total Assets Not Being Depreciated $ 21,143,481 Total Assets Not Being Depreciated $ 18,548,245 Capital Assets Being Depreciated Capital Assets Being Depreciated Buildings $ 73,957,433 Buildings and Improvements S 4,311,808 Improvements Other Than Buildings 1,516,920 Equipment 4,860,968 Infrastructure and All Other 137,091,895 Infrastructure 57,769,756 Total Capital Assets Being Depreciated $ 212,566,248 Total Capital Assets Being Depreciated $ 66,942,532 Less Accumulated Depreciation $ 109,345,748 Less Accumulated Depreciation $ 24,709,409 Total Capital Assets Being Depreciated, Net $ 103,220,500 Total Capital Assets Being Depreciated, Net S 42,233,123 Net Assets $ 124,363,981 Net Assets $ 60,781,368 Note: Capital assets, which include property, plant, equipment, and infrastructure assets (e.g., roads, bridges, storm sewers, and similar items), are reported in the applicable governmental or business -type activities columns in the government -wide financial statements. Capital assets are defined by the Village as assets with an initial, individual cost of more than $20,000, except for infrastructure for which the cost is $50,000 and an estimated useful life in excess of one year. Such assets are recorded at historical cost or estimated historical cost if purchased or constructed. Donated capital assets are recorded at estimated fair market value at the date of donation. 265 FOR THE FISCAL YEAR ENDED DECEMBER 311 2023 50 South Emerson St Mount Prospect, IL 60056 Phone: 847.818.5276 668 N. RIVER ROAD • NAPERVILLE, ILLINOIS IINOIS 60563 PHONE: 630.393 1483 • FAX 630.393 251 5 www.laxiteirba-a(,,~txi ieii.r,oin7 CERTIFIED PUBI.AC; ACCOUNTANTS May 9, 2024 The Honorable Mayor Members of the Board of Trustees Village of Mount Prospect, Illinois In planning and performing our audit of the financial statements of the Village of Mount Prospect (the Village), Illinois, for the year ended December 31, 2023, we considered its internal control structure in order to determine our auditing procedures for the purpose of expressing our opinion on the financial statements and not to provide assurance on the internal control structure. We do not intend to imply that our audit failed to disclose commendable aspects of your system and structure. For your consideration, we herein submit our comments and suggestions which are designed to assist in effecting improvements in internal controls and procedures. Those less -significant matters, if any, which arose during the course of the audit, were reviewed with management as the audit field work progressed. The accompanying comments and recommendations are intended solely for the information and use of the Board, Finance Director and senior management of the Village of Mount Prospect, Illinois. We will review the status of these comments during our next audit engagement. We have already discussed many of these comments and suggestions with various Village personnel. We would be pleased to discuss our comments and suggestions in further detail with you at your convenience, to perform any additional study of these matters, or to review the procedures necessary to bring about desirable changes. We commend the finance department for the well prepared audit package and we appreciate the courtesy and assistance given to us by the entire Village staff. z"al" I& Aon, .rC14v LAUTERBACH & AMEN, LLP CURRENT RECOMMENDATIONS GASB STATEMENT NO. 100 ACCOUNTING CHANGES AND ERROR CORRECTIONS Comment In June 2022, the Governmental Accounting Standards Board (GASB) issued Statement No. 100, Accounting Changes and Error Corrections, which establishes accounting and financial reporting requirements for (a) accounting changes, and (b) the correction of an error in previously issued financial statements (error correction). Accounting changes are (a) changes in accounting principle, (b) changes in accounting estimates, or (c) changes to or within the financial reporting entity. Error corrections are (a) errors from mathematical mistakes, mistakes in the application of accounting principles, or oversight or misuse of facts that existed at the time the financial statements were issued, or (b) a change from (i) applying an accounting principle that is not generally accepted to transactions or other events that previously were significant to (ii) applying a generally accepted accounting principle to those transactions or other events is an error correction. GASB Statement No. 100 requires that (a) changes in accounting principal and error corrections are reported retroactively, (b) changes in accounting estimates are reported prospectively, and (c) changes to or within the financial reporting entity should be reported by adjusting the current reporting period's beginning net position, fund balance, or fund net position, as applicable, for the effect of the change as if the change occurred as of the beginning of the reporting period. GASB Statement No. 100, Accounting Changes and Error Corrections is applicable to the Village's financial statements for the year ended December 31, 2024. Recommendation Lauterbach & Amen, LLP will work directly with the Village to review any accounting changes or error corrections to determine the appropriate financial reporting for these activities under GASB Statement No. 100. Management Response Management acknowledges this comment and, if applicable, will work to implement it when required by GASB. 2. GASB STATEMENT NO. 101 COMPENSATED ABSENCES Comment In June 2022, the Governmental Accounting Standards Board (GASB) issued Statement No. 101, Compensated Absences, which establishes standards of accounting and financial reporting for (a) compensated absences, and (b) associated salary -related payments, including certain defined contribution pensions and defined contribution other post -employment benefits (OPEB). The statement requires that a liability should be recognized for any type of leave that has not been used at year-end if (a) The leave is attributable to services already rendered, (b) the leave accumulates, and (c) the leave is more likely than not to be used for time off or otherwise paid in cash or settled through noncash means. Examples of leave that should be reviewed, and potentially measured under GASB Statement No. 101 are vacation leave, paid time off leave, holiday leave, and sick leave. Examples of leave that are excluded from GASB Statement No. 101 are parental leave, military leave, and jury duty leave. GASB Statement No. 101, Compensated Absences is applicable to the Village's financial statements for the year ended December 31, 2024. CURRENT RECOMMENDATIONS - Continued 2. GASB STATEMENT NO. 101 COMPENSATED ABSENCES - Continued Recommendation Lauterbach & Amen, LLP will work directly with the Village to review the new compensated absences and associated salary -related payments, including certain defined contribution pensions and defined contribution other post -employment benefits criteria to determine the appropriate financial reporting for these activities under GASB Statement No. 101. Management Response Management acknowledges this comment and, if applicable, will work to implement it when required by GASB. PRIOR RECOMMENDATIONS GASB STATEMENT NO. 96 SUBSCRIPTION -BASED INFORMATION TECHNOLOGY ARRANGEMENTS Comment In May 2020, the Governmental Accounting Standards Board (GASB) issued Statement No. 96, Subscription -Based Information Technology Arrangements, which provides guidance regarding the information needs of financial statement users by improving accounting and financial reporting for Subscription -Based Information Technology Arrangements (SBITAs) by governments. It establishes uniform accounting and financial reporting requirements for SBITAs, improves the comparability of financial statements among governments that have entered into SBITAs, and enhances the understandability, reliability, relevance, and consistency of information about SBITAs. GASB Statement No. 96, Subscription -Based Information Technology Arrangements is applicable to the Village's financial statements for the year ended December 31, 2023. Recommendation Lauterbach & Amen, LLP will work directly with conjunction with the Village's current arrangements these activities under GASB Statement No. 96. Status the Village to review the new SBITA criteria in to determine the appropriate financial reporting for As the Village has no material SBITAs, there was no impact on the financial statements in the current year, therefore this comment is considered implemented. The Village and Lauterbach & Amen will continue to monitor SBITAs in the future to determine if additional reporting is required. This comment is implemented and will not be repeated. 2. GASB STATEMENT NO. 94 PRIVATE -PUBLIC AND PUBLIC -PUBLIC PARTNERSHIPS AND AVAILABILITY PAYMENT ARRANGEMENTS Comment In March 2022, the Governmental Accounting Standards Board (GASB) issued Statement No. 94, Public - Private and Public -Public Partnerships and Availability Payment Arrangements, which provides guidance regarding the information needs of financial statement users by improving the comparability of financial statements among governments that enter into public-private and public -public partnerships (PPPs) and availability payment arrangements (APAs) and by enhancing the understandability, reliability, relevance, and consistency of information about PPPs and APAs. A PPP is an arrangement in which a government (the transferor) contracts with an operator to provide public services by conveying control of the right to operate or use a nonfinancial asset, such as infrastructure or other capital asset (the underlying PPP asset), for a period of time in an exchange or exchange -like transaction. Some PPPs meet the definitions Service Concession Arrangements (SCAB) if (a) the operator collects and is compensated by fees from third parties, (b) the transferor (government) determines or has the ability to modify or approve which services the operator is required to provide, to whom the operator is required to provide the services, and the prices or rates that can be charged for the services, and (c) the transferor (government) is entitled to significant residual interest in the service utility of the underlying PPP asset at the end of the arrangement. An APA is an arrangement in which a government compensates an operator for activities that may include designing, constructing, financing, maintaining, or operating an underlying nonfinancial asset for a period of time in an exchange or exchange -like transaction. GASB Statement No. 94, Public -Private and Public -Public Partnerships and Availability PaymentArrangements is applicable to the Village's financial statements for the year ended December 31, 2023. PRIOR RECOMMENDATIONS - Continued 2. GASB STATEMENT NO. 94 PRIVATE -PUBLIC AND PUBLIC -PUBLIC PARTNERSHIPS AND AVAILABILITY PAYMENT ARRANGEMENTS - Continued Recommendation Lauterbach & Amen, LLP will work directly with the Village to review the new criteria associated with PPPs and APAs to determine the appropriate financial reporting for these activities under GASB Statement No. 94. Status The Village does not have any partnerships to evaluate. This comment has been implemented and will not be repeated in the future. 3. FUND NOT IN COMPLIANCE WITH FUND BALANCE POLICY Comment Previously, we noted the following funds with fund balance that was not in compliance with the Board approved fund balance policy: Per 2022 Fund Balance Amount Not Budget per ACFR In Compliance Flood Control Construction Fund Minimum 5 -Year Average of Capital Expenditures $ 3,240,408 25% per Policy 25% 810,102 8,120 801,982 Recommendation We recommended the Village investigate the fund balances and adopt future budgets to address these items not in compliance. Status The comment has been implemented and will not be repeated in the future. C@ii.RTIFIF-D PUBIACJ ACCOUNTANTS May 9, 2024 The Honorable Mayor Members of the Board of Trustees Village of Mount Prospect, Illinois 668 N. RIVER ROAD • NAPERVIILLE, ILLINOIS 60563 PHONE_ 630.393.1483 FAX 630.393.2516 www.la«teirba-aohame n.uo m We have audited the financial statements of the governmental activities, the business -type activities, each major fund, and the aggregate remaining fund information of the Village of Mount Prospect (the Village), Illinois for the year ended December 31, 2023. Professional standards require that we provide you with information about our responsibilities under generally accepted auditing standards (and, if applicable, Government Auditing Standards and the Uniform Guidance), as well as certain information related to the planned scope and timing of our audit. We have communicated such information in our letter to you dated May 9, 2024. Professional standards also require that we communicate to you the following information related to our audit. Significant Audit Findings Qualitative Aspects of Accounting Practices Management is responsible for the selection and use of appropriate accounting policies. The significant accounting policies used by the Village are described in the Note 1 to the financial statements. No new accounting policies were adopted and the application of existing policies was not changed during the year ended December 31, 2023. We noted no transactions entered into by the Village during the year for which there is a lack of authoritative guidance or consensus. All significant transactions have been recognized in the financial statements in the proper period. Accounting estimates are an integral part of the financial statements prepared by management and are based on management's knowledge and experience about past and current events and assumptions about future events. Certain accounting estimates are particularly sensitive because of their significance to the financial statements and because of the possibility that future events affecting them may differ significantly from those expected. The most sensitive estimates affecting the governmental and business -type activities' financial statements were: Management's estimate of the depreciation expense on capital assets is based on assumed useful lives of the underlying capital assets, the net pension liability is based on estimated assumptions used by the actuary, the total OPEB liability is based on estimated assumptions used by the actuary, and the asset retirement obligation is based on the historical costs for similar abandonment, adjusted for inflation. We evaluated the key factors and assumptions used to develop the depreciation expense, the net pension liability, the total OPEB liability, and the asset retirement obligation estimates in determining that it is reasonable in relation to the financial statements taken as a whole. The financial statement disclosures are neutral, consistent, and clear. Difficulties Encountered in Performing the Audit We encountered no significant difficulties in dealing with management in performing and completing our audit. Corrected and Uncorrected Misstatements Professional standards require us to accumulate all known and likely misstatements identified during the audit, other than those that are clearly trivial, and communicate them to the appropriate level of management. Any material misstatements detected as a result of audit procedures were corrected by management. Village of Mount Prospect, Illinois May 9, 2024 Page 2 Significant Audit Findings - Continued Disagreements with Management For purposes of this letter, a disagreement with management is a financial accounting, reporting, or auditing matter, whether or not resolved to our satisfaction, that could be significant to the financial statements or the auditor's report. We are pleased to report that no such disagreements arose during the course of our audit. Management Representations We have requested certain representations from management that are included in the management representation letter dated May 9, 2024. Management Consultations with Other Independent Accountants In some cases, management may decide to consult with other accountants about auditing and accounting matters, similar to obtaining a "second opinion" on certain situations. If a consultation involves application of an accounting principle to the Village's financial statements or a determination of the type of auditor's opinion that may be expressed on those statements, our professional standards require the consulting accountant to check with us to determine that the consultant has all the relevant facts. To our knowledge, there were no such consultations with other accountants. Other Audit Findings or Issues We generally discuss a variety of matters, including the application of accounting principles and auditing standards, with management each year prior to retention as the Village's auditors. However, these discussions occurred in the normal course of our professional relationship and our responses were not a condition to our retention. Other Matters We applied certain limited procedures to the required supplementary information (RSI), as listed in the table of contents, that supplements the basic financial statements. Our procedures consisted of inquiries of management regarding the methods of preparing the information and comparing the information for consistency with management's responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We did not audit the RSI and do not express an opinion or provide any assurance on the RSI. We were engaged to report on the other supplementary information and supplemental schedules, as listed in the table of contents, which accompany the financial statements but are not RSI. With respect to this supplementary information, we made certain inquiries of management and evaluated the form, content, and methods of preparing the information to determine that the information complies with the accounting principles generally accepted in the United States of America, the method of preparing it has not changed from the prior period, and the information is appropriate and complete in relation to our audit of the financial statements. We compared and reconciled the supplementary information to the underlying accounting records used to prepare the financial statements or to the financial statements themselves. We were not engaged to report on the introductory section and statistical section, which accompany the financial statements but are not RST. Such information has not been subjected to the auditing procedures applied in the audit of the basic financial statements, and accordingly, and we do not express an opinion or provide any assurance on it. Village of Mount Prospect, Illinois May 9, 2024 Page 3 Restrictions on Use This information is intended solely for the use of the Board of Trustees and management of the Village and is not intended to be, and should not be, used by anyone other than these specified parties. We wish to express our gratitude to the Board of Trustees and staff (in particular the Finance Department) of the Village of Mount Prospect, Illinois for their valuable cooperation throughout the audit engagement. Z"&i" & Aon, .rCZ;V LAUTERBACH & AMEN, LLP .Village of Mount Prospect int p( Mount Prospect, Illinois INTEROFFICE MEMORANDUM 1 TO: VILLAGE PRESIDENT AND BOARD OF TRUSTEES FROM: VINCENT GROCHOCINSKI, AUDIT COMMITTEE CHAIR DATE: JUNE 24, 2024 SUBJECT: ANNUAL REPORT OF AUDIT COMMITTEE — 2023 The audit for the fiscal year 2023 is complete and included as part of your materials for review and acceptance. The audit firm of Lauterbach & Amen, LLP performed the Village's external audit. This audit marked the fourth year of a five-year engagement with the Village. The Audit Committee met on June 10, 2024, to discuss the 2023 audit report and findings. The meeting agenda included discussing the results of the 2023 Annual Comprehensive Financial Report (ACFR), Auditor Communication to the Village Board, and Management Letter comments as prepared by Lauterbach & Amen. Audit Committee activities included: • At the June 10 meeting, the Audit Committee met with the Village staff and the Audit Manager in charge of the audit, Don Shaw. A presentation on the 2023 audit was made by staff and Auditors. Items discussed included the overall results of the audit, financial statement, audit opinion, and management letter items. The following are some of the significant items from the 2022 Audit. • On page 12 of the Comprehensive Annual Financial Report, the firm expresses its opinion that the financial statements present fairly, in all respects, the financial position for the year ended December 31, 2023, in accordance with generally accepted accounting principles. o While the actual statement at the top of the page is much more detailed, it is the key statement from the audit firm demonstrating that they found no significant issues that impact their overall determination on the accuracy of the Village's financial statements and position. o Other items and comments on Financials: ■ The General Fund Reserves are $52.6 million, of which $43.7 million is unrestricted. The Village's General Fund reported remarkable growth in the Intergovernmental Revenues. The sales tax, income tax, use tax, ambulance billing fees, and a few other outperforming revenues allowed the Village to add $4.3 million to the overall reserves of the General Fund. The actual surplus for the 2023 is $14.8 million. The Village Board approved certain transfers from the 2022 surplus of $13.4 million. For accounting purposes, these transfers are booked as an expense for 2023. Annual Report of Audit Committee — 2022 Activities July 10, 2023 Page 2 ■ All the Village Departments performed within their approved budgetary constraints and were reported under budget. ■ The overall Governmental Activity Fund Balance is $90.2 million, of which $43.7 million is unrestricted. ■ The overall Business Type activity Fund Balance is $56.2 million, of which $39.9 million is invested in capital assets and infrastructures. ■ Police and Fire Pension Funds show a funded ratio of 57.3 percent and 59.2 percent, respectively. The unfunded liability totals $67.0 million for the Police and $54.3 million for the Fire Pension Fund. • The Committee also reviewed the audit firm's Management Letter and Auditor Communication to the Board that accompanied the audit report. The Management Letter communicates whether there are any material weaknesses in internal control. The auditors did not report any material weaknesses in the internal control. • The 2023 management letter addressed the recommendation to implement two new upcoming GASB standards. They are GASB Statement No. 100 — Accounting Changes and Errors Corrections and GASB Statement No. 101 — Compensated Absences. These are new accounting standards applicable to the Village starting December 2024. Auditors informed the Audit Committee that they will be working with staff to implement these standards during the audit for the year 2024. • The ACFR also included the Certificate of Achievement for Excellence in Financial Reporting received from GFOA for the 2022 Audit. This marks the 30th consecutive year the Village receiving this award. The Village has also submitted the 2023. The Village became a Triple Crown Winner by winning awards in all three categories. 1) Certificate of Achievement for Excellence in Financial Reporting, 2) Distinguished Budget Award, and 3) PAFR - Popular Annual Financial Reporting. The Village is among the 513 municipal towns nationwide to win all three awards. • The Auditor also commended the efforts of the staff. They were impressed with the amount of work performed ahead of their arrival. Each request was handled in a timely manner, and overall, the books were kept very neat and clean. • Staff also informed the Audit Committee that 2024 would be the final year for the current auditors, and we have allowed a one-year extension while we carry out the RFP seeking a new audit firm. After discussion, the Audit Committee unanimously agreed to grant a one-year extension to the current auditors. Staff will publish RFP at the end of 2025 and the Audit Committee will review the responses and interview audit firms for the audit starting 1-1-2026. Please contact me should you have any questions or need additional information related to this report or the Audit Committee activities. Respectfully Submitted, Vincent Grochocinski