HomeMy WebLinkAbout3. 2014 Proposed Budget MemoVillage of Mount Prospect
Mount Prospect, Illinois
INTEROFFICE MEMORANDUM
TO: MAYOR AND BOARD OF TRUSTEES
FINANCE COMMISSION MEMBERS
FROM: FINANCE DIRECTOR
DATE: OCTOBER 11, 2013
SUBJECT: 2014 PROPOSED BUDGET
The Village Manager's Office and the entire management team would like to present the proposed 2014
Annual Budget. The document is presented in the same format as last year. We encourage you to read the
Assistant Village Manager's budget message, prepared by Mr. Strahl, which can be found in the Introductory
Section of the budget document. This correspondence discusses the state of the Village's finances and
highlights the more significant issues relative to the budget.
The total proposed budget for 2014 is $98,614,422. This represents a decrease of 1.3% from the amended
2013 budget. The 2014 General Fund budget, as presented, is balanced. The 2014 Forecast budget for the
General Fund in the 2013 budget cycle originally anticipated a deficit of $323,900. Significant effort was put
forth by all the departments to keep budget submittals to a minimum. For 2015, the General Fund is showing
a deficit of $603,285. Following is a bullet list of noteworthy issues for the proposed 2011 budget:
• The General Fund, as presented, is balanced and totals $45,809,066.
• A proposed property tax increase of 5.0% is projected for the 2013 tax levy. Absent this proposed
increase, the General Fund budget would return a deficit of $823,895.
• A 9.5% increase to the water /sewer rate is the only other tax or fee increases included in this proposed
budget. The larger than usual increase to the water rate is necessary to cover the increased cost for
water purchases that have resulted from the planned increases by the City of Chicago (15% in 2014).
• The proposed budget does not include any assumptions related to the proposed street funding plan.
More direction for staff is expected during the budget review process.
• Finance Commission meetings to review the budget are scheduled for October 17 and 24 while budget
presentations to the Village Board will be held at Committee of the Whole meetings scheduled for
October 22 and November 12.
As in the past, each department will make a brief budget presentation where key staff will be on hand to
answer questions and help facilitate your review of the budget. Please contact the Assistant Village Manager
or myself with any questions.
DAVID O. ERB
FINANCE DIRECTOR