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HomeMy WebLinkAbout09/26/2024 FC MinutesFINANCE COMMISSION v M'""'t''")s-4� MEETING MINUTES Thursday, September 26, 2024 Emergency Operation Center 1700 W Central Road Mount Prospect, IL 60056 I. Call to Order The meeting was called to order at 6:07 p.m. Commission members present: Vince Grochocinski, Ken Arndt and Edward Derfler Commission members absent: Commissioner Don Ocwieja Staff present: Director of Finance Amit Thakkar, Deputy Director of Finance Jennifer Fitzgerald, Director of Public Works — Sean Dorsey and Jason Leib — Deputy Director of Public Works, Alex Bertolucci — Assistant Village Manager, Mike Eterno — Police Chief, John Dolan — Fire Chief, Anthony Adante — Deputy Police Chief, Bart Tweedie — Deputy Police Chief, Tom Wang — Deputy Fire Chief, Bryan Loomis —Assistant Fire Chief, Josh Alain —Asst. to the Village Manager II. Approval of Minutes a. Motion by Ken Arndt, seconded by Vince Grochocinski, to approve the minutes of the Finance Commission meeting of August 22, 2024. Vice Chair Ed Derfler called a voice vote. Motion Passed unanimously. III. Citizens to be Heard None IV. Old Business None V. New Business Budget 2025: Finance Director Thakkar gave a presentation on the budget 2025. The major highlights of the budget was: a) It is a balanced budget. Total revenue will be $160.9 million, and total expenditures will be $165.4 million. The budget involves $4.5 million in planned cash use from previously issued bonds and resources. b) The total property tax levy for the year will be $18.2 million. The levy will be the lowest in the last ten years. It reflects a 6.3 percent reduction compared to the current levy. For an average household, this provides a reduction of $65 for the average Village levy. c) In order to achieve a 6.3 percent reduction in the levy, the Village will be abating $2 million in pension costs and $3.1 million in additional debt service abatements from the General Fund. d) Water and Sewer charges will increase by 6.75 percent, an increase of $83 per year for an average user of 5,000 gallons per month. e) Refuse charges will increase from an annual amount of $281.4 to $291.3. Finance Commission Page 1 of 3 f) The ambulance billing fee will be based on the actual cost per call and will increase to $3000 per call from $1500 per call. g) There is an increase in the replacement cost of the vehicles, to the tune of 42% in some cases, resulting in an increase of vehicle lease by 23 percent. h) The budget includes two new charges, building improvement charges totaling $1.6 million, and technology replacement charges totaling $783,943. Finance Director Thakkar provided a detailed analysis of revenue items, property taxes, and major revenue sources. He also provided a detailed analysis of expenditures, including operating expenditures, CIP items, internal service fund and debt service funds. Finance Director also handled the operating budget presentation of Village Administration, Finance Department, Human Services, and Community & Economic Development Department. Police Chief Mike Eterno presented the police department's operating budget and discussed various budget components, including personnel, pension, operating, and other items. Fire Chief John Dolan presented the Fire Department's budget and answered various questions that the Finance Commission asked about Elk Grove Rural Fire Protection District. The Public Works Director, Sean Dorsey, presented multiple components of the Public Works operating budget and answered questions from the Finance Commission. In the end, the Director of Finance presented the concluding part of the budget with the General Fund reserves estimated at $41.9 million, 50 % of the next year's annual expenditures. Finance Commissioner Ken Arndt asked questions about the performance of the Prospect & Main TIF. The Finance Director mentioned that the Commission had a presentation on TIF in August, and more details will be shared soon. Trustee Ken Arndt also expressed concerns about referendums from SD 57 and Mount Prospect Park District and the Village should provide more information about the great job the Village is doing on the property tax front. VI. AnV Other Business None VII. Chairperson's Report None VIII. Finance Director's Report None IX. Next Meeting: October 24, 2024 — Budget Session X. Adiournment: Finance Commission Page 2 of 3 Motion by Commissioner Arndt, seconded by Commissioner Vince Grochocinski, to adjourn the meeting. Vice Chair Derfler called a voice vote. The motion was carried unanimously. The meeting adjourned at 8:50 p.m. Minutes Prepared by: Amit Thakkar (Director of Finance) Jennifer Fitzgerald (Deputy Director of Finance) Finance Commission Page 3 of 3