Village of Swansea Finance Committee met March 27.
Village of Swansea Finance Committee met March 27.
Here is the agenda provided by the Committee:
Chairperson Matt Lanter called the Committee to order at 7:52 p.m. at the Swansea Government Center, 1444 Boul Avenue, in Swansea.
Members Present: Matt Lanter, Chairperson; Stephen Pulley, Trustee; Brian McGuire, Trustee (arrived at 7:02 pm); Brian Wells, Trustee
Members Absent: Marilyn Neumeyer, Trustee
Others Present: President Kenneth Mueller, Police Chief Steve Johnson, Deputy Police Chief Craig Coughlin, Fire Chief John McGuire, Street Dept. Work Leader John Budde, Waste Water Treatment Plant Work Leader Rick Tucker, Administrator Lyndon Joost. In the absence of Clerk Lauren O'Neill, Deputy Clerk Barb Kimutis recorded the minutes.
1. FY 2018 Tentative Budget - Administrator Joost called attention to the handout containing the Current Budget Year (FY 2017) with a projected amount of $63,538 left in Fund 01 - General Fund. The summary of Fund 97 now shows a negative ($28,920) balance in the Capital improvement Fund, but funds will be transferred at year end from Fund 01 to 97 to balance Fund 97. $34,618 is the projected positive balance that will stay in Fund 01 after transfers are made. Fund 99 - Non-home rule (1/2 cent sales tax} fund appears to be in good shape. Funds 21, 22, and 25 are Sewer Funds, showing a collective positive balance of $83,360. The rest of the funds on the page will also end the year with positive fund balances, with the exception of Fund 11 which shows an estimated change in cash balance ($161,840). This was an expected change due to the Rural King payments which were paid in FY 2017.
Administrator Joost continued by explaining the handout entitled FY 2017 Capital Purchases Previously Delayed. He stated that with these purchases incorporated into the current year, there would still be about $35,000 excess in the General Fund at the end of FY 2017. Then these items for purchase would not carry over.
Moving on to FY 2018 Budget Summary - Fund 01 shows $299.983 excess without transfers. Fund 97 shows ($268,553) which after transfers would still leave a positive balance of $31,430. So the General Fund would be balanced, but no salary increases/changes are yet included in this estimation. Joost explained that if Belleville is off by the $35,000 he has calculated, then the budget is in better shape, and increases could be possible. Fund 99 - is projected to have a positive balance at year end. Funds 21, 22, and 25 show a change in cash balance of ($133,421) reflecting expenditures for major sewer projects.
Fund 06 - MFT is projected to have a year-end balance of (S287,964) - Joost explained MFT runs on a calendar year, and our budget will look like this every year. Fund 31 - General Obligation Bonds Fund (Fire) is projected to have a year-end fund balance of ($42,607). This reflects the Village's plan to abate $50,000 from property taxes from the fund this year.
Fund 11 - Rural King Business District Fund is projected to have a year-end fund balance of ($1,917). This is ok. Fund 12-il 159 / Boul Ave Business District Fund is projected to have a year-end fund balance of $219,304. Funds 14 & 15 -TIF 1 & 2 - The Board need to decide on exactly what projects they wish to spend this money. Sidewalk & trails, and Police Department renovations were mentioned as possibilities.
Prior to the start of the meetings, Administrator Joost handed out Ordinance 1609 which had been passed in April of 2011, which amended the Municipal Code, Chapter 2 Part 6 by enacting a section which established a level of reserve funds for the General Fund and levels of funding in the Sewer Funds. Joost asked Trustee Wells for background and clarification about the intent of this ordinance.
The Tentative Budget was then reviewed, page by page. Conversation ensued about the proposed Administrative Staff needed for shift coverage in the Police Department. Trustee Wells asked Chief Johnson if a 10:00 a.m. start time would suffice. Chief Johnson concluded it would be hard to predict. Page 2. Third column from the left, highlighted cell, is the area mentioned earlier in reference to Ordinance 1609. The $299,983 in Fund 01 would be transferred to Fund 97. This will be reviewed on a month to month basis. Page 3. Mid page - Interfund Transfers. $9,920 is a transfer coming back to the General Fund for Sewer Billing Department indirect costs. Page 4. Dog Park Licenses - Assumes no revenue and minimal cost. Assumes the dog park will be open to the public on May 1' without the need for a license. Page5. Top center (53,576.00) is in reference to the Swansea Report. If the number of ads sold increases to the desired amount, there will still be a shortage, but the shortage will be picked up by the General Fund. Under Refuse & Recycling, the change in the fund balance is positive. The accumulation from the franchise fee is $53,586, which could pay for an extra limb pickup or a large item pickup. These dollars are segregated, and we are making more than it is costing us, so it would be a justifiable expense to plan and offer these extra services which would help the residents. Page 6. Gray bars at top and bottom are intended to show the accumulation of dollars from year to year.
Page 7. In some instances, costs exceeded donations. Chief Johnson is checking on this. Page 8. Yellow highlighted area is in reference to proposed purchase of a replacement Fire Truck/ Pumperata cost of $249,410. Near the bottom of the page, there is reference to the Park Grant opportunity which we are trying again to secure in FY 2018.
Page 9. Top of this page has highlights in yellow referring to the hiring of a part-time janitor, which will be charged to Central Services. Page 10. Inter-fund transfer 01 to 97 shows nothing at this time. Gray shaded area is calculation of Sewer Billing Department shared costs. Page 11. Costs associated with newly Elected Officials-name plates, fees for training will be added.
Page 12. Joost said he removed funds for an Intern. Page 13. $4,800 near the bottom is for software for code enforcement. Randy Tedesco is doing analysis of costs for the inspection agreement with St. Clair County. The intent is to see if it would make sense to hire someone to do the inspections for the Village. Trustee Wells said he would like to get information about the causes of failed inspections. Page 15. Details with Dispatching. About 1/3 of the way up the page, the numbers are based on the assumption that they work for the Village to the end of June and receive 1 pay in July. Base compensation - Full-time Admin. Michele Russell, and a 2" full-time on 4:00pm. to midnight shift. Third full-time is budgeted at zero. Assumption is made that full-time employees will not work holidays, and the shifts will be filled with part-time staff. Page 17. City of Belleville Dispatch Services - With current calculations, Joost estimates a savings of $35,000. Page 23. Dog Park Expenses -$100 could be expected to be used in and around the Dog Park. Page 24. In reference to Fund 97, the bottom gray line indicates the transfer is not yet included. Page 25. 4" line down, Other Revenue- $61,561 is coming in from the Foreign Fire Insurance Board for soil tests and concrete for the training site. Central Services - Equipment/Software Purchase & Lease - waiting to hear from REJIS if any of this has been purchased/installed. Bracket for TV with wireless connection to lap-top was purchased, and (9) chairs for office staff are needed and the potential exists to find suitable used chairs for about $200/each. Page 26, Police Department-Top section - Equipment Purchase / Lease-2 of 3 were removed to Come out of the current year budget. The cell highlighted in yellow shows a $107,830 projected year-end expenditure on vehicles Page 27. Chief McGuire said the dual band radios will be purchased in FY 2017, not FY2018. The biggest expense is the Amkus ION Battery Spreader & Cutter Sets, needed for stronger new materials cars are built with today. Street Dept. Work Leader John Budde said his budget is very thin, and consists of a tire mounting machine, wheel balancer, side shooter bucket for skidsteer, and a truck purchase. It was recognized during the meeting that the side shooter bucket should only be $6,000, thus freeing up $5,500. Budde was asked what he would ask for under Parks, if he were able, by Trustee Pulley, and Budde answered another mower. Discussion ensued about the number of times per year the tire mounting machine is used. Page 29. Fund 99 - Non-Home Rule Capital Fund. The intention is to bid oil through the General Fund, and fund Urban Way street improvements out of MFT. There is $21,453 excess in the fund. Trustee Wells has tried to determine the amount the Township collects from Swansea Residents for roads & bridges, and he has received a response from Tom Holbrook's Office that the amount is about $617,000. The Village receives about $100,000 from the Township as our share of that tax. Page 30. Mid page shows $5,427 surplus left in Fund 21 after transfer of $155,000 from Fund 22.
Page 31. Yellow bar shows transfer of $155,000 which is balancing the above. Page 33. 2" and 3" line from the bottom shows gas electric for plant and lift station. This is a best guess at this time. Page 34. Anticipated Projects - Orange bar across middle of page. Lift Station & Force Main - in annexation area - actual construction costs. Bristol Hills sewer extension is also a possible project. Sewer improvements - the repaving of Schae Fries after FY2017 sewer project. Trustee McGuire inquired about 4 sludge valves which he thought should be under replacement equipment. Waste Water Treatment Plant Work Leader Rick Tucker said the entire package is estimated to cost between $20,000 and $30,000. Trustee Lanter had questions about the IGD Block Grant. Page 35. $100,000 is shown for sewer lines. Funds are proposed for the purchase a camera for the Village to video sewer lines. Currently, the Village buys that service from TWM at about $150 / hour. Page38. Sewer Reserve Fund 25 - Based on our ordinance that fund needs to have a balance of at least 5% of the year's projected rate revenue, there really only needs to be about $160,000 in this fund. Transfers could maybe be avoided by reducing this Fund 25 balance to about $200,000 and transferring to Fund 21.
Page 40. Go Bond Fund 31. Yellow highlight indicates property tax collected, less planned abatement of $50,000. The Ordinance to abate is ready to go, but Village needs to wait on County. Page 42. Other Revenues - Agreement states that if we sign a new contract, we get $8,000 back from Clearwave for running Fiber Optic to 1444 Boul Ave. Street Scape can be added now or later. Classic Auto Body-project has not been done yet. John Walter, who will serve as Village Treasurer after the election interjected that some of the money in the 159/Boul Ave Business District Fund should be expended. Trustee Pulley said he would still like to see a Swansea sign by Century Brass and streetscape on Boul Ave. Page 44. TIF #1 - Boul Avenue area projects have been included in Engineering & Street improvements, including sidewalk from High Mount School, a trail, and a trail head park. After Boul Avenue, the intent is to look at 159 going south, and Garden Street area. Page 45. TIF #2 - includes anticipated 1400 N. Illinois building improvements.
Administrator Joost called for any additional questions or comments. Trustees Wells and Pulley expressed their gratitude for the work done on the budget.
Trustee Wells made a motion to adjourn, Trustee McGuire seconded; with all in favor. Committee closed at 9:29 pm.