Minutes of the Budget Hearing of the Gurnee Village Board - March 31, 2014

 

MINUTES OF THE COMMITTEE OF THE WHOLE MEETING

OF THE GURNEE VILLAGE BOARD

 

GURNEE VILLAGE HALL

MARCH 31, 2014

 

 

Call to Order

Mayor Kovarik called the meeting to order at 7:30 p.m.

 

Other Officials in Attendance

Patrick Muetz, Village Administrator; David Ziegler, Assistant Village Administrator/Community Development Director; Scott Drabicki, Village Engineer; Erik Jensen, Management Analyst; Diane Lembesis, Finance Director; Christine Palmieri, Director of Human Resources; Chris Velkover, Information Systems Director; Tom Rigwood, Director of Public Works; Fred Friedl, Fire Chief; John Kavanagh, Deputy Fire Chief; Kevin Woodside, Police Chief

 

Roll Call

PRESENT:       6- Garner, Balmes, Hood, Wilson, Ross, Park    

ABSENT:         0-  None

 

A. DISCUSSION ITEMS

 

1. Budget Hearing #3: Wrap-up Session

 

Mr. Muetz presented the following Power Point presentation to the Board.

 

Budget Process

 

  • Tonight is the third meeting to discuss the FY 14/15 budget.
  • The Approval of the FY 14/15 is expected to be included on the April 7th Board Agenda.
  • Fiscal Year starts May 1st
  • In May or June we will pass the Appropriation Ordinance. 

 

FY 14/15 Budget Highlights

 

  • Balanced Budget –
    • All Funds Combined – $2.56 million surplus.
    • General Fund - $631 thousand surplus.
  • No New Taxes or Tax Increases.
  • 7.05 Full Time Equivalent Increase in Headcount.
  • $3.3 million dedicated solely to roadway improvements.

 

FY 13/14 Year End Highlights

 

  • General Fund for FY 13/14 is expected to end with $700k deficit due to $3.4 million transfer to capital.
    • Revenues = $36.74 million, Expenditures = $37.44 million
  • Without transfer, General Fund would finish with a $2.68 million surplus.
    • Revenues = $36.74 million, Expenditures = $34.04 million
  • Revenues projected to exceed budget by 2.4%.
  • Expenditures are projected to exceed budget by 7.3% due to the transfer to the Capital Improvement Fund.  When Capital Transfer is removed, expenditures would end 2.5% under budget.

 

General Fund

 

Beginning Unrestricted Cash May 1, 2014                   $21,961,352

Revenues FY 14/15                                                      $37,121,647

Expenditures FY 14/15                                                ($35,490,115)

Projected Unrestricted Cash April 30, 2015                  $22,592,884

 

Capital Improvement Fund

 

Beginning Unrestricted Cash May 1, 2014                     $5,938,914

Revenues FY 14/15                                                           $764,000

Expenditures FY 14/15                                                  ($4,485,500)

Projected Unrestricted Cash April 30, 2015                   $2,217,514

 

Utility Fund Combined

 

Beginning Unrestricted Cash May 1, 2014                     $4,751,956

Revenues FY 14/15                                                        $8,313,929

Expenditures FY 14/15                                                  ($7,778,224)

Projected Unrestricted Cash April 30, 2015                   $5,287,661

 

All Funds Combined

 

Beginning Unrestricted Cash May 1, 2014                 $102,334,950

Revenues FY 14/15                                                      $57,949,836

Expenditures FY 14/15                                                ($55,388,938)

Projected Unrestricted Cash April 30, 2015                $104,895,848

 

Further Discussion

 

Trustee Park said the State of Illinois has had a number of discussions regarding reducing the amount of funding to Illinois communities and asked if the Village is prepared to adjust.

 

Mr. Muetz the response of the Village will depend on the severity of the reductions.  Management would look to Departments to curtail spending, however, if serve, the Village may have to look at its reserves.

 

Village Finance Director, Ms. Lembesis said if the State cuts our funding percentage we may have to go into reserves.  She said keep in mind any reduction wouldn’t happen until January of 2015.

 

Trustee Park said the State has also had discussions on transportation capital bill.  He said a very sizable portion is for localized roadways.  He also said it included both bonded and pay as you go options.  He stated it is worth-while for the Village to keep an eye on this.  He finished by saying a funding mechanism being discussed is a sales tax on services.

 

Mayor Kovarik said we watch it but we try to be self-sufficient.

 

Trustee Wilson thanked Village staff for their work on the budget.

 

Mr. Muetz stated the Finance Director and Department Heads did a very good job this year preparing the budget and making adjustments as the process evolved.

Adjournment

 

It was moved by Trustee Balmes, seconded by Trustee Park to adjourn the meeting.

 

Voice Vote:      ALL AYE:         Motion Carried.
 

Mayor Kovarik adjourned the meeting at 7:46 p.m.

 

 

 

Andrew Harris,

Village Clerk