Submitted By
Cara Pavlicek, Village Manager
Reviewed By
Agenda Item Title
Title
A Motion to Approve Staff Work in Excess of 2 hours, in Accordance with the Currently Adopted Village Board Protocols, Pursuant to a Trustee Request.
End
Overview
Overview
Trustee Boutet has submitted a request for staff to prepared information in advance of the Village Board’s FY2020 budget discussions.
Body
Staff Recommendation
Village Board direction is requested.
Fiscal Impact
N/A.
Background
Attached is an email from Trustee Boutet requesting staff prepare information related to the Village’s prior budget as well as future budget projections. Trustee Boutet has asked for the information within the next 2 -3 weeks. CFO Drazner has reviewed the request and advises he should be able to get this done in three weeks.
The current Village Board protocols adopted January 22, 2018, provide that when staff receives a request for information from an individual elected official, if “the request requires more than one-two hours of staff time to develop a work product, the Village Manager shall review the request and further direction and clarification from the full Village Board”
Specifically, Trustee Boutet has requested the following:
“1. 2020-2022 estimates based on current policies in effect in the 2019 approved budget. For comparison purposes, please include actuals and approved budgeted amounts for the years 2017-19 as well as projections for 2020-22.
a. All expenses, under current policy, normally covered in the budget, including:
i. The current level of services
ii. The cost to complete capital projects already approved by the board.
iii. The total cost of new capital projects normally expected in the budget
iv. All other mandatory expenses, such as debt service and pension payments
b. Sources of funding to support the total cost of current services, including:
i. Revenue based on the current levy and fee schedules.
ii. Use of estimated FY2019 year end fund balances, without reducing the balance below our cap.
iii. New or existing borrowing.
2. Information to assist the board’s understanding of the estimates provided above:
a. Major assumptions, including specific drivers of change. Please show the change in expense or major funding source for each year accounted for by each major driver.
b. Major existing discretionary non-core expenses
c. The amount of money which would result from changing the rates for revenue sources. For example, the amount of money that each marginal increase in the levy or one percent of sales tax would bring in.
d. Uncertainties
i. General trends that might affect the estimates, such as overall inflation, the effect a typical recession might have on revenue, and costs associated with any new requirements imposed by the State.
ii. Specific events that could significantly affect Village finances. For example, the updated actuary analysis of pension liabilities, any expiring union contracts, workers comp and lawsuits.
iii. Please estimate a likely range, for example, revised actuary estimates might increase annual pension contributions from between X and Y dollars, or for confidential issues, such as salary or benefit increases not already included in approved union contracts, please use existing costs or rates without making any assumptions or projections relating to future negotiations.”
A full copy of the request is attached.
Alternatives
The Board can delay action and seek more information.
Previous Board Action
N/A
Citizen Advisory Commission Action
N/A
Anticipated Future Actions/Commitments
The Finance Committee of the Village Board receives a recommended FY20 budget document on or about September 27, 2019 in accordance with the Village Code which provides:
“On or before the Village Board of Trustees' first regular meeting in November of each year, the Village Manager shall submit to the Board of Trustees an annual Municipal budget, such budget to contain estimates of revenues available to the Municipality for the fiscal year for which the budget is drafted, together with recommended expenditures for the Municipality and all of the Municipality's departments, commissions and boards. Revenue estimates and expenditure recommendations shall be presented in a manner which is in conformity with good fiscal management practice. Each budget shall show the specific fund from which each anticipated expenditure shall be made. (Ord. 1982-0-62, 11-1-82)”
Intergovernmental Cooperation Opportunities
N/A.