HomeMy WebLinkAbout09/25/2012 COW Minutesr
COMMITTEE OF THE WHOLE MINUTES
September 25, 2012
IV
CALL TO ORDER — ROLL CALL
The meeting was called to order at 7:05 p.m. in the Village Board Room of the Village
Hall, 50 South Emerson Street, by Mayor Irvana Wilks. Trustees present included Paul
Hoefert, John Korn, Arlene Juracek, John Matuszak, Steven Polit, and Michael Zadel.
Staff present included Village Manager Michael Janonis, Finance Director David Erb,
and Administrative Intern Alexander Bertolucci.
APPROVAL OF COMMITTEE OF THE WHOLE MINUTES FOR SEPTEMBER 11,
2012
Motion made by Trustee Polit seconded by Trustee Hoefert. Minutes were approved.
CITIZENS TO BE HEARD
None
AMENDMENTS TO CHAPTER 5 OF THE VILLAGE CODE - AUDIT COMMITTEE
- Creation and Purpose: the purpose of the committee will be to focus on
assessing compliance with existing policies, procedures and the adequacy of
internal controls.
Finance Director David Erb presented the amendments to Chapter 5 of the Village
Code with respect to the governance and administration of the Audit Committee.
Material changes appear in the purpose and membership sections of the code along
with the process for selecting the committee chair.
- Membership: The Finance Director will become an ex- officio member and will
be replaced on the committee by a second member of the board of trustees.
Also the chair will now be selected by all members of the committee.
Audit Committee Chair Tom Munz commended the Board on their foresight to
establish the Village's Audit Committee. Also, he stated the proposed amendments
provide the committee an expanded advisory role for internal controls.
General comments from the Village Board members included the following items:
- Questions regarding the scope and duty of the committee.
- Discussion about audit firms with the concern that some firms becoming
complacent on standards.
Consensus of the Village Board was to move forward with the amendments as
proposed.
Committee of the Whole Page 1 of 3 09/25/12
V. COMPREHENSIVE ANNUAL FINANCIAL REPORT — DECEMBER 31, 2011
Finance Director David Erb provided an overview of the Comprehensive Annual
Financial Report for the fiscal year ending December 31, 2011. Lauterbach & Amen
performed the audit on the Village's financials. The auditor's examination found the
Village's financial statements to be fairly presented and prepared in accordance with
generally accepted accounting principles.
The audit did report the following minor deficiencies:
- Compliance with the Fund Balance Policy. The Village's Special Revenue
and Capital Improvement Funds did not meet the 25% fund balance
requirement. Staff will review the Fund Balance Policy and address these
funds specifically since not all funds can be treated equally.
- Compliance with the Investment Policies. The Village exceeds the
requirement that limits the amount cash in one bank. This is due to the
limited amount of available and credible options for short term investments.
Staff will monitor short term investments more frequency and will continue to
look for alternative investments.
- The audit committee reported one significant deficiency in the area of fixed
assets but the issue was related to timing. The reports were finalized after
the auditor completed their field reports.
Audit Committee Chair Tom Munz stated it is difficult to maintain a fund balance of
25% with the smaller funds. He also noted that there were only three (3) audit
adjustments for 2011. The committee is very pleased with the condition of the Village's
finances.
General comments from the Village Board members included the following items:
- The Village may fall below the required fund levels but should also be
proactive in managing these policies.
- Questions regarding Fund Balance targets and if the current targets will be
maintained or changed.
Consensus of the Village Board was to accept the Comprehensive Annual Financial
Report and accompanying communications for the fiscal year ended December 31,
2011.
VI. AMENDMENTS TO CHAPTER 9 AND 19, AND APPENDIX A OF THE VILLAGE
CODE FOR WATER AND SOLID WASTE COLLECTION
Finance Director David Erb presented the proposed amendments to the Village Code
that are required for implementing a monthly billing cycle for the water and refuse bills.
The Enterprise Resource Planning (ERP) software has afforded the Village the
opportunity to adopt monthly billing.
The recommended amendments will provide the following benefits:
- Bill consistency with other utility bills.
- Identify and respond to issues sooner (i.e. water leaks, miss reads)
- Shortens the period of time of delinquency from 90 to 60 days.
- Another step toward the Automatic Meter Reading (AMR) System
- Reduces the multi - family late fee rate by 10 %.
Committee of the Whole Page 2 of 3 09/25/12
Staff will continue to work with residents regarding delinquent bills and still offer the
administrative discount to the Multi - Family Units who pay early. If approved, the monthly
billing cycle will go into effect in October and adjustments may be required after the
break in period.
General comments from the Village Board members included the following items:
- The Multi - Family Units early payment discounts provide opportunity for better
management.
- Allows the Village to match the billing cycle of JAWA and will improve the
Village's cash flow.
- Questions regarding the ERP software system and its capabilities of direct
debt and automatic payments.
- Discussion and questions as to the Village's procedure with handling
delinquent bills, water shut -off notices and finding and repairing leaks within
the system.
Consensus of the Village Board was to support the staff recommendations for the
amendments to the Village Code to allow changes regarding water and solid waste
billing.
VII. MANAGER'S REPORT
None
VIII. ANY OTHER BUSINESS
Trustee Steve Polit stated the Downtown Merchants Association weekly car show will
hold this year's final event on September 29, 2012. He also thanked all the participants
for making these events successful.
IX. ADJOURNMENT
The meeting adjourned at 8:10 p.m.
Alexander Bertolucci
Administrative Intern
Committee of the Whole Page 3 of 3 09/25/12