HomeMy WebLinkAbout10/17/2002 FC minutes RAFT
FINANCE COMMISSION
MINUTES OF TItE MEETING
OCTOBER 17, 2002
VILLAGE HALL BUILDING
DRAFT
I. CALL TO ORDER
The meeting was called to order at 7:00 p.m. Those present included Vice-Chairman George Busse and
Commissioners Charles Bennett, Vince Grochocinski, Ann Hull, Tom Pekras and Ann Smilanic. Also
present were Village Manager Michael Janonis, Assistant Village Manager Dave Strahl, MIS
Coordinator Joan Middleton, Acting Production Coordinator Howard Kleinstein, Director of Human
Services Nancy Morgan, Deputy Director of Human Services Jan Abernethy, Director of Finance Doug
Ellsworth, Deputy Director of Finance Carol Widmer and Finance Administrative Assistant Lisa
Burkemper. Chairman John Kom was absent.
II. APPROVAL OF MINUTES
Commissioner Ann Hull motioned to approve the minutes of June 27, 2002. Commissioner Vince
Grochocinski seconded the motion and the minutes were accepted as presented.
Commissioner Tom Pekras motioned to approve the minutes of September 26, 2002. Commissioner
Charles Bennett seconded the motion and the minutes were accepted as presented.
III. REVIEW OF THE PROPOSED 2003 VILLAGE BUDGET
Overview
Village Manager Michael Janonis began the discussion with a brief overview of the 2003 Proposed
Budget. In order to balance the budget Mr. Janonis stated $450,000 in cuts had been made and $770,000
would be drawn down from fund balance. Mr. Janonis also stated that there were no new initiatives in
the 2003 Proposed Budget.
Director of Finance Doug Ellsworth provided a brief overview of the 2003 Proposed Budget. Mr.
Ellsworth stated that overall the 2003 Proposed Budget totals $80,145,386, ~vhich represents an increase
of 6.4%. Some the 2003 Proposed Budget highlights mentioned were that the operating budget reflects a
2.2% increase over last year, the general fund budget includes a dra~vdown of $772,343 in fund balance,
property taxes show an increase of 4.8% and there is a $12.2 million bond issue proposed for the balance
of the new village hall/parking deck.
Commissioner Ann Smilanic asked why the Series 1996A B&I Street Improvement bond issue remained
in the proposed budget since it had matured on December I, 2001. Director of Finance Doug Ellsworth
stated that the bond issue remained on the 2003 Proposed Budget as a reference since the budget shows
prior year activity.
IZillage Administration
Village Manager Michael Janonis began his discussion with Public Representation. Mr. Janonis stated
the Public Representation budget was down 1.2% overall. Commissioner Ann Smilanic asked what
civic donations were listed under contractual services. Mr. Janonis stated that the Village is solicited and
in turn makes donations to various parties including several of the school districts.
Assistant Village Manager Dave Strahl outlined the proposed budget for the Manager's Office. The
overall proposed budget reflects a 12.6% increase. To reduce costs the Manager's Office eliminated
their intern position and suspended out of state travel~ Mr. Strahl did note that contractual services
showed an increase of 33% over the 2002 budget. The increase represents the hourly rate increase for
the Village Attorney.
Commissioner Charles Bennett asked why there was an increase of 33% in contractual services for the
Village Attorney. Mr. Strahl stated that it has been 15 years since the last basic service rate increase.
Furthermore, the attorney's retainer has been changed to include ail the days the attorney is scheduled to
be working in the office.
Mr. Strahl also outlined the overall proposed budget decrease of 5.9% within the Human Resources
budget. Part of the decrease is attributable to a cut in funding for training of $15,700 and a cut of $3,000
in the merit pay pool. Mr. Strahl also explained the creation of the new Information Technology
Division. The new division is being created to consolidate all technology usage village wide. Mr. Strahl
stated there is no new money needed for this conversion as all the money is being taken from other
department budgets.
Commissioner George Busse asked what the merit pay pool is used for and if it is strictly used in the
manager's office or if it is Village-wide. Mr. Janonis stated the merit pay pool is limited to non-union
employees and is used like a bonus program.
Mr. Janonis also highlighted the TV Services Division with an 11.6% decrease in their budget, the
Village Clerks office whose budget is upl.7% and the Public Information Division that showed a
decrease of 21.3% over the 2002 Budget. Mr. Janonis further stated that TV Services has cut standard
equipment purchases and that the Public Information Division expects to save $50,000 in printing
services associated with the Village Newsletter.
Human Services
Director of Human Services Nancy Morgan began her proposed budget presentation by stating the
departments 2003 Proposed Budget totaled $756,285, which represents a 9% decrease from the 2002
Budget. Ms. Morgan also stated that of the $756,285, $65,000 was allocated as relocation expenses for
the department. Ms. Morgan also discussed the four major program areas within Human Services. They
are Social Services, Health Services, Senior Citizen Recreation Activities and Youth Activities.
Ms. Morgan highlighted several line items that showed a significant change over the 2002 Budget. One
item discussed was the decrease of $65,000 in the office lease/relocation expenses associated with the
department moving to their new location. Another item discussed was the budget category for senior
center leisure activities, which showed a decrease of 19% over the 2002 Budget. The decrease is
attributed to the closing of the senior center and the relocation of senior center activities.
Commissioner George Busse asked what the Vision Group was. Ms. Morgan stated that it is an
interdepartmental group that addresses problems and problem areas within the village. Ms. Morgan also
stated at one time the group was quite large, however currently it is made up of a small group of people.
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inance Department
Director of Finance Douglas Ellsworth began his presentation with an overview of the Finance
Department budget, which is down 7.5% over 2002. The decease is mostly due to the elimination of the
Data Processing division, which will now become part of the Information Technology Division within
the Manger's Office. Mr. Ellsworth stated that the largest increases in the budget are associated with
health insurance, pensions and liability insurance. Mr. Ellsworth mentioned several significant increases
or decreases in specific line items. Some increases mentioned were full time earnings and IMRF pension
expenses in the Accounting Division. These items show an increase of 15.3% and 29% respectively.
This increase is due to the data entry clerk's position being transferred from the Data Processing
Division to the Accounting Division.
Commissioner Ann Smilanic stated that she would like to see the vehicle sticker program eliminated this
year. Ms. Smilanic also asked how many tickets are issued each year for vehicle sticker violations. Mr.
Ellsworth stated he was in the process of producing a memo that will highlight the financial impacts of
eliminating the vehicle sticker.
Commissioner George Busse asked if the Resource Center came to fruition whose department would it
fall under. Mr. Janonis stated that it would probably initially fall under Police or Human Services. Mr.
Busse suggested that maybe the $1,000 set aside for the Vision Program under Human Services could be
used as seed money to get the process started on the Resource Center.
IV. CHAIRMAN'S REPORT
There was nothing to report.
V. FINANCE DIRECTOR'S REPORT
There was nothing to report
VI. OTHER BUSINESS
There was nothing to report.
VII. NEXT MEETING: OCTOBER 24, 2002
Commissioner Vince Cn'ochocinski motioned to adjourn which Commissioner Ann HulI seconded. The
meeting was adjourned at 9:45 p.m. The next meeting will be October 24, 2002.
Respectfully submitted,
Lisa Burkemper
Administrative Assistant
Finance Department