Kane County Committee of the Whole met June 25
Kane County Committee of the Whole met June 25.
Here is the minutes provided by the committee:
1. Call to Order
Chairman Lauzen called the meeting to order at 4:00 PM.
2. Roll Call
Also present: Exec. Dir. Bldg. Mgmt. Sparks; Exec. Dir. of Finance Onzick & staff Gaber, Ramer-Holmes, Calamia, Waggoner, Dobersztyn; OCR staff Dahl; Supv. of Assessments Armstrong & staff Winter; Auditor Hunt; Health Dept. Exec. Dir. Jeffers & staff Snowden; Exec. Dir. HRM Wetzel; KaneComm Dir. Guthrie; Animal Control Admin Youngsteadt; Deputy Dir. of Transportation Rickert & staff Hopkinson; ITD Exec. Dir. Fahnestock & staff Lasky, Peters and members of the press and public.
3. Pledge of Allegiance
Chairman Lauzen asked Mark Armstrong to lead the pledge.
A change in the agenda order as followed. Minutes were approved during the presentations due to lack of quorum in the beginning of the meeting.
4. Public Comment
A. Revenue Forecast - J. Onzick
Finance Exec. Dir. Onzick reviewed a summary of changes in the FY19 Revenue Forecast. The Sales Tax Revenue, the RTA Sales Tax and a few miscellaneous revenues were discussed. (Allan and Kious arrived @ 4:10 p.m.) Transfers were allocated to the Property Tax Freeze Protection Fund to help pay for the wage increases due to the Collective Bargaining Units in Building Maintenance, Coroner's Office, and the Correctional Officers. These changes reflect an increase to the forecast of $839,922. However, they are still $400,000 below budget for the year. Onzick noted he would provide another update once the mid-year projections have been compiled and analyzed. Finance has also been expecting a revenue forecast update from the Illinois Municipal League and the Illinois Department of Revenue. (Surges arrived @ 4:12 p.m.)
B. General Fund Revenue - J. Onzick
Finance Exec. Dir. Onzick discussed the FY20 General Revenue Budget. The 2019 property tax budget was just over $34M. There was an additional $13,699 generated from new construction resulting in a collection of $580,000 in property taxes. Due to additional expenses, funds from the property tax revenue will be shifted to the IMRF, Insurance Liability, and FICA funds. This reduces the forecasted budget to a total of $33.7M.
Onzick noted a onetime adjustment of $22,000 was made to sales tax revenue due to an overpayment to the Illinois Department of Revenue according to the auditors. Next year, that reduction will be added back to the baseline. (Barreiro arrived @ 4:17 p.m.) The forecast provided by the Illinois Municipal League for the State Income tax revenue decreased in projections to $5.9M; however, the local use tax forecasted an increase of $220,000 totaling $2M. Onzick proposed allocating $500,000 from the above mentioned revenue sources into the Capital Fund contingent upon those revenues collections meeting budget to avoid funding for operations being dependent on those revenue streams meeting budget.
Onzick shared projections of the miscellaneous General Fund revenue. The TIF distribution tax totaled $10,000; indemnity fees $45,000, the Forest Preserve reimbursement of $65,225 and Investment income at $1,087,000. The rental income has been allocated to the Building Management budget and the additional items under miscellaneous were covered. The General Fund revenue proposed for 2020 reflects a decrease of $2M, totaling $61.7M. Onzick answered questions from the Committee.
6. Approval of Minutes: May 28, 2019
RESULT: APPROVED WITH VOICE VOTE [UNANIMOUS]
MOVER: Drew Frasz, Board Member
SECONDER: Barbara Wojnicki, Board Member
AYES: Christopher J Lauzen, Deborah Allan, Theresa Barreiro, Mark Davoust, Drew Frasz, Matt Hanson, Barbara Hernandez, John Hoscheit, Mo Iqbal, Chris Kious, Tom Koppie, Bill Lenert, Anita Lewis, John Martin, Myrna Molina, Jarett Sanchez, Douglas Scheflow, Monica Silva, Susan Starrett, Clifford Surges, Angela C Thomas, Steve Weber,
Penny Wegman, Barbara Wojnicki
ABSENT: Michael Kenyon
C. Supervisor of Assessments - M. Armstrong
Supv. of Assessments Armstrong provided the organizational chart of the department categories, staff members and their duties. He discussed each item within his budget reflecting a total expense budget reduction of 4%. The various memberships, state required training and certifications within the department were outlined. Armstrong noted the association memberships for legislation have saved Kane County more than half a million dollars in taxpayer funds over the past ten years. Brief conversation occurred.
D. Transportation - C. Schoedel
Deputy Dir. Rickert provided a PowerPoint presentation of the guiding principles used to compile their budget. The primary focus is public safety. The proposed FY20 budget of $90.7M is an approximated $20M decrease from the FY19 budget. The budget is capital driven and fluctuates significantly year to year. The current primary project is the Longmeadow Bridge. There is no increase in the property tax; however, there is an increase in the motor fuel tax and half of the increase will be allocated to future projects. There are 6 special revenue funds and 13 capital project funds. Rickert discussed the primary uses of each fund and their expenditures and revenues. The annual recurring revenues reflect an increase of 4.45% totaling $39.5M compared to FY19. The expenditures have increase to 4.21% totaling $27.4M. Rickert provided an overview of the 5-year Transportation Improvement Plan (TIP) that will be released in February 2020. Questions were answered from the Committee.
E. Human Resources - S. Wetzel
F. Exec. Dir. Wetzel provided an overview of the staff members and responsibilities. A list of services provided for all Kane County employees was outlined. Wetzel discussed each item within the budget showing an increase of 2.84% for FY20 totaling $298,687 compared to last year's total budget expense of $290,436. Changes in the budget for FY20 included the addition of one staff member, two employees on MERP and one employee on the single PPO rate. Wetzel answered questions from the Committee.
Building Management - R. Sparks
Bldg. Mgmt. Exec. Dir. Sparks shared an overview of the Department's mission statement and goals. The department organizational chart was presented including an itemized list of staffing of the various operations. Sparks notated past trends demonstrated an inaccurate proposed budget for utility expenses causing the increase in the FY20 budget.
The proposed increase will avoid having to reallocate funds at the end of the year. It was suggested to have staff work with finance to have the previous year trends itemized to compare expenses. Brief conversation occurred.
G. Mill Creek - R. Sparks
Exec. Dir. Sparks provided the Mill Creek SSA budget analysis noting the total budget change was a -1.38% for FY20. The Mill Creek Special Service Area (MC SSA) provides administrative services for the maintenance, planning and management of the subdivision. The services for the subdivision are funded through a tax levy paid by the residents of Mill Creek. The organizational chart of management staff was presented noting staff has remained the same. Questions were answered from the Committee.
H. Health Department - B. Jeffers
Exec. Dir. Jeffers provided a brief overview of the department's mission and goals. A graph showing the various revenue sources from 2015 to 2020 was provided.
The revenue sources have been consistent over the past years. Grants and permits are
the trending variables that reflect changes each year. The overall proposed budget demonstrates an increase to $6.6M compared to $6.5M for FY19. In the budget expenditure summary, their headcount has remained the same. Jeffers explained the net change in payroll, staff turnover, new CBA and contractual expenses. The personnel organizational chart outlined each division and the various staff members. The Health Department consistently submits a balanced budget.
I. Animal Control - B. Youngsteadt
Admin. Youngsteadt reviewed the organizational chart and the three divisions that make up Animal Control. A breakdown of each employee's position, salary and benefits was provided. Referencing a graph of revenue vs expenses from 2016-2020, Youngsteadt noted the funding has been provided by the customers not the General Fund. The personnel analysis was covered, the year-over-year number of positions have remained the same. Youngsteadt discussed the different organizations and memberships they work with. The expenses are projected to have a slight increase from $869,137 for FY19 to $871,700 for FY20. Youngsteadt reviewed each expenditure item reflecting the changes. Questions were answered from the Committee.
J. Finance - J. Onzick
Dir. Onzick provided an overview of the Finance Department. The organizational chart included the inclusion of the payroll department. Payroll moved into Finance in 2019 increasing the head count by two. An additional payroll accounting clerk position was approved and included in the expenses. In 2020, the full expense outline will be provided. Since 2013 staff has reduced non-payroll expenses by 25%. The Payroll expenses have increased by 4.92%, which includes the 2% wage increase approved in FY19. In addition, an estimated 5% increase will be anticipated due to the 5-year outside Auditor contract expiring this year. The new state required reports will be a factor in the cost of the audit. The implemented changes were reflected in the contractual expense line item of the budget summary.
The overall budget is proposed to increase by 4.9% for FY20. Onzick discussed the increased output and value since 2013. The department has absorbed the ever increasing workload to meet the demands of new tracking requirements including CYEFR for grants, GASB 84 effective 2020 and GASB87 effective 2021. Co. Bd. member Hoscheit felt some of the grant funds should be allocated to the additional mandated reporting required. Brief conversation ensued. Onzick answered questions from the Committee.
K. Debt Service - J. Onzick
Dir. Onzick discussed the Debt Service Fund budgets for FY20. Each item was reviewed. The four debt service budgets covered were the Motor Fuel Tax Debt Service, Recovery Zone Bond Debt Service, JJC/AJC Refunding Debt Service and the Longmeadow Capitalization Interest Debt Service Fund. Brief discussion occurred.
7. Executive Session (If Needed)
RESULT: ADJOURNED BY VOICE VOTE [UNANIMOUS]
MOVER: Penny Wegman, Board Member
SECONDER: Susan Starrett, Board Member
AYES: Christopher J Lauzen, Deborah Allan, Theresa Barreiro, Mark Davoust, Drew Frasz, Matt Hanson, Barbara Hernandez, John Hoscheit, Mo Iqbal, Chris Kious, Bill Lenert, John Martin, Douglas Scheflow, Monica Silva, Susan Starrett, Clifford Surges, Angela C Thomas, Steve Weber, Penny Wegman, Barbara Wojnicki
ABSENT: Michael Kenyon, Tom Koppie, Anita Lewis, Myrna Molina, Jarett Sanchez
This meeting adjourned at 5:44 PM.