Finance Committee and InsuranceApril 22, 2015 – FY16 Proposed Budget Public Hearing Print
PUBLIC HEARING NOTIFICATION
The City of Countryside will conduct a Public Hearing concerning the proposed City appropriation budget for fiscal year 2015/2016 during which time all interested parties will be heard.
CITY HALL, CITY OF COUNTRYSIDE
5550 EAST AVENUE, COUNTRYSIDE, IL
WEDNESDAY, APRIL 22, 2015 AT 7:15 P.M.
I. Roll Call.
II. Commencement of Public Hearing: Presentation by Treasurer.
III. Public Comment.
PROPOSED APPROPRIATION FOR THE FISCAL YEAR 2016
CITY COUNCIL OF THE CITY OF COUNTRYSIDE, ILLINOIS
HELD IN THE COUNCIL CHAMBERS ON WEDNESDAY, APRIL 22, 2015
CALL TO ORDER
Mayor Krzeminski called the Public Hearing to order at 7:15 p.m. City Clerk Sweeney called the Roll of those physically present as follows:
Alderman Pondelicek Alderman Jasinski
Alderman Michalczyk Alderman Von Drasek
Alderman McDermott Alderman Musillami
City Clerk Sweeney
Acting Treasurer Paul
Also Present: City Admin. Paul, Police Chief Ford, Asst. Admin. Peterson, ESDA Coord. Norman.
Mayor Krzeminski stated that City Administrator and Acting Treasurer Ms. Paul will present the Fiscal Year 2016 Proposed Budget for the City of Countryside.
Ms. Paul will provide an overview of the proposed budget after which time public comment and questions from the City Council will be entertained. She summarized the funds – stating that Flagg Creek golf course fund was added this past year. Out of the ten funds shown, five funds are balanced and five funds show a deficit; all funds showing a deficit do have adequate reserves to cover those deficits; those reserves will be drawn down to pay for projects during the year.
Estimated Revenues for 2016 are $11,551,280 – an increase of 2.5% over the previous year. Proposed expenditures for 2016 are $11,700,852 – an increase of 3.8%.
General Fund Revenues – estimated sales tax $8.35M accounts for 72% of General Fund Revenue – the percentage is higher this year because property tax was eliminated. State Income Tax – the City received an amount per capita from the State – up to $583K, representing 5% of the general budget. This item bears close watching as it is one of the municipal revenues Gov. Rauner is considering cutting; it would be a huge amount to try to make up if this amount is cut or eliminated. Restaurant tax is over $500K with the addition of several new restaurants. Electric Use tax represents 4% of general fund revenue – 80% coming from commercial and 20% from residential. Video Gaming revenue is budgeted at $200K (up 100%) along with Building Permits – $200K. All other revenue individual line items are less than $200K and collectively represent about $1M.
General Fund Expenses – categories include Salaries & Benefits to employees, including IMRF, Police Pension contribution and health insurance contributions represent $6.4M or 55% of the total General Fund budget – for personnel. Other large expenditures are Risk Management, Legal Fees, Building Code Enforcement and IT Services. There are some tax sharing agreements and debt service. The city transferred $550K to a CIP Fund to cover General Fund’s share of projects; other expenditures are $1.5M.
Capital Improvements & Equipment – ITEP Phase 2 Engineering Fees for $100K – the City will expand the ornamental street lights to 55thSt. – with an 80/20 split for engineering fees – 80% paid by the State and 20% paid by the City. The City will build a bike path going down Brainard Avenue – also an 80/20 split. Several upgrades to this building with the purchase of IT equipment and electrical scheduled due to several problems; storm sewer cleaning and sewer improvements are also City expenses.
Motor Fuel Fund – the City received a per capita amount from the State; there are projects worked on every other year. The City will undertake resurfacing projects on Hillsdale, Stalford and 9thAvenue this year.
Emergency 911 Fund – the City outsourced the dispatch center and contracted with South West Central Dispatch, who receive 100% of all wireless and 16% of landline surcharge revenue. The outsourcing has resulted in higher costs in the 911 Fund but lower costs in the General Fund. The City receives 25% discount from SWCD until October 1, 2015.
Hotel-Motel Fund – the City charges a 5% tax on room charges at all hotels/motels in Countryside. Major expenditures this coming year are special events, CBA contributions, decorations, banners, a tax-sharing agreement with Holiday Inn for improvements (owners spending $7-8M to improve this facility) – also Route 66 benches installed along Joliet Road.
Commercial TIF Fund – the City Center is near completion with the last lot closing scheduled in the next two weeks; activity should begin shortly and in the Fall a new Chick fil-A will be operational. Additional sales tax revenue is now coming in from new retail stores and restaurants. TIF liabilities include $5.5M owed to the General Fund; that will be repaid through TIF revenue. The City currently owes $1.7M on the note which was originally $5 million.
Drug Forfeiture Fund – revenues are collected on the seizure of property; once the case is settled, a portion of the funds comes back to each agency involved in the seizure; it is difficult to estimate these revenues. Seized funds can only be used for specific purposes – the proposed budget includes the purchase of two vehicles, mobile vision equipment, tasers and ammunition.
Water Fund – There was an increase of .54/1,000 gallons of water passed along from the Village of McCook to all Countryside water customers. An additional $375K was included in the 2016 budget for the purchase of water from McCook via the City of Chicago. Also, $435M is budgeted for infrastructure improvements including water main replacement at 6thAve. loop and South cul-de-sac. The Ward 2 lift station was completely reconstructed last year; ongoing maintenance is the only expense so Sewer Rates remain the same.
Flagg Creek Golf Course Fund – the City took administrative oversight of the golf course as of September 2014; greens fees were increased by one dollar. Overall revenues are estimated at $249K below last year primarily due to contractual changes with the golf instructor and outsourcing concessions this year. FY 16 expenditures are $397 below last year due to the same reasons (contractual changes) plus over $100K in golf course maintenance that was done last year is not included in this year’s budget. That concludes the summary. Ms. Paul asked for public comment.
Al Arneson, 121 Constance Lane, asked about the percentage of health care subsidized by the City. Ms. Paul stated that it is roughly 80% paid by the City, 20% paid by employees. Regarding the TIF, has any incremental property tax increase been budgeted – once property is developed. Ms. Paul stated that $90,000 is budgeted for FY16.
Mayor Krzeminski asked if anyone has any further questions. There were none.
There being no further business to discuss, Ald. McDermott moved to adjourn the meeting, seconded by Ald. Musillami and carried by Roll Call vote -6/0/0.
Mayor Krzeminski declared the meeting adjourned at 7:30 p.m.
Dated SHARON SWEENEY, CITY CLERK