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Good evening, everybody. We'll call this meeting, special meeting for November 18, 2024, to order, and if you'd rise for the Pledge of Allegiance.

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I pledge allegiance and

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to the Republic.

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Nice to see everybody tonight. And if the clerk would please call the roll.

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Here.

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Here.

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Here. Here.

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Thank you, Madam Clerk. Before we move into our special business tonight, a shameless plug on my part.

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Tomorrow morning, you've got an opportunity of a lifetime at Fire Station 25 to meet the chief or a new fire chief.

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And ask him any questions about the upcoming rebuilds and our facility updates that are coming over the next couple of years.

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So please, 730, there'll be bagels, if you want to chat with me and ask me any questions.

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I'll be available as well, so see you tomorrow morning at Fire Station 25 on Dundee Road.

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And with that, Trustee Bochik, I'll entertain a motion to open the public hearing for the budget, please.

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Sure, I move to open the public hearing for the proposed fiscal year 2025 budget.

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Second.

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Motion and a second, and we need to roll call on.

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No, go ahead.

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Aye.

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Aye.

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Aye.

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Aye.

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Motion's carried and this public hearing is now open on the budget.

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I'll turn it over to Village Manager Bragg.

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Thank you, Mr. President.

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Good evening, everyone.

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Good evening.

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And it's a pleasure to be here for the annual budget presentation.

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I thank you for the opportunity.

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Trustee Widenfeld sends his regrets he could not be here.

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He's not feeling well this evening and he promised me it was

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not a reflection of his thoughts about our budget operations.

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So tonight we will be presenting to you the proposed spending prioritization for the

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coming year.

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As you all know, the budget is done in a program based format, and that's the format that

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we will walk through it this evening.

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The budget is a lot of work, and there are several pieces that we're going to talk about, including

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the financial summary, our capital projects, our three core focus areas, as well as our

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enterprise funds this evening. So my presentation is complete. Do you have any

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questions? No, I'm just kidding.

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So the budget is published. We actually begin our

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budget preparation process in June and then you see the actual detailed

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budgets start to emerge around the post Labor Day period and that culminates by

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the end of October with the complete budget document that was submitted to you

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on October 31st. You have opened the public hearing this evening and that

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public hearing will remain open through December 2nd, which will be your next

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regularly scheduled board meeting when you will be recommended to pass the

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budget and that time you will close the public hearing. To this evening we are

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going to cover as I said the three core areas and we will get started there. We're

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going to start with the budget transmittal letter which is on page six of the

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budget document. There are three guiding philosophies that we continue into 2025, emphasis on economic

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development, sustained community reinvestment, and forward focused planning. We've also aligned

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the draft budget with the Village Board's strategic goals, including the five core focus areas shown

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on this slide. I am not going to read them to you because I'm sure you are very familiar

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with them. The Strategic Plan Quick Guide provides more detail starting on page 31 of the document.

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But before we focus on the 2025 budget, I wanted to take a moment to review where we are today.

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The village board can celebrate the accomplishment of several major initiatives over the past couple of years with even more on the way and we'll talk a little bit about that this evening.

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We expect to end this year with more than $46 million General Fund reserves and nearly 60% of that is allocated for future capital projects in alignment with the board's goals.

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Over the last five years, we've seen more than $224 million in capital investment and

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critical infrastructure here in our community, and you can see and feel that improvement

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throughout the entire community.

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The village is one of the few municipalities in Illinois with a AAA rating for all of

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our existing debt from S&P Global.

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This year we were very excited to welcome the new Microcopark Amphitheater and Pavilion

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for Buffalo Grove Days, which you showed our support from the village in funding $600,000

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toward that project. We're going to see the Clove redevelopment coming to life with new restaurants,

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apartments, and more developments in the works, as we speak. We also have the new Multitonic

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Commercial Building in Route 83 and Lake Cook, that veterinary emergency group opened in this year,

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and a cameo appearance by Wildfork, along with the new lazy dog restaurant that is quickly

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under construction. We are also watching the bison crossing development take

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shape with the New Tesla dealer coming along quite nicely and the residential

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project to the south of that is set to be against construction in the second

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quarter of 2025.

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Trustee Bochek will appreciate it when I say we re-

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honed our public works department and their new building is 1650 lighter lane this

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year which is a major improvement for our operations for public works and our

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our team could not be more proud of that building and what it means for us as a community.

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And we successfully rolled out our first comprehensive branding campaign this year with broad community

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support and I think you can see the effects of Molly Gillespie and her team's work throughout

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the community.

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Which leads us to our operational and capital priorities for 2025.

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We have a general fund budget that supports about $57 million for operations in the coming

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year.

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In addition, we have plan draws on general fund reserves that total $7.2 million to support

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capital projects and equipment replacement.

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It's important to note that we do not use our reserves to cover operating costs and we

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do not use one-time revenues to support our operations, reserves and debt are for capital

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projects only.

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The village will end 2025 with a project of $38.8 million in general fund reserves, which

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to exceed our 35% reserve target just over that.

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It is important to note that the drawdown

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of capital reserves is not negative.

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It is a positive trend for you as a board.

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As we transition from debt financing

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to pay as you go financing for our infrastructure work,

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we will see the planned use of reserves

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to support infrastructure facility

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and equipment investments.

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For the Public Safety Pension Funds,

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we anticipate an increase of $11.5 million

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in assets in the coming year.

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and we are healthy funded in both the police and fire pensions.

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The village will continue a tradition of aggressive liability management committing 2.65 million to retire debt principle, and we will fund above the actuarial level for both the police and fire pension funds yet again.

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77% of the villages existing debt will be retired by 2035, 92% of our debt payments are serviced

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by sources other than property tax, including motor fuel taxes, cannabis tax, fixed facility

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fees, and other taxes. We're very proud of that.

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And I think the most important news for our residents, and we'll probably, this will probably

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get repeated several times tonight. The property tax levy will remain flat for the sixth

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straight year here in Buffalo Grove. We've continued to utilize conservative

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revenue estimates and Chris Black will talk a little bit through that due to

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market unpredictability particularly with income and sales tax receipts so we

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factored in any potential economic downturns there. We will continue our

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commitment to the infrastructure modernization program with 36.1 million in our

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IMP projects is coming here. And we have 1.8 million...

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We will continue the development of our branding and engagement programs with hopefully some exciting and very noticeable

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We will complete the transition of the former public works building into our interim fire station so

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that we can begin our fire station 25 demolition and reconstruction.

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And President Smith is right, if you haven't seen the inside of station 25 before it hits the wrecking ball,

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you really should.

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You will have a new appreciation for what the firefighters work in those conditions.

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We will begin design for the Clove Park and that will be the Keystone for the Clove Development Project.

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We have major capital investment and infrastructure including major projects like the Northwood subdivision drainage improvement project.

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And we will also continue our work on unified development ordinance project to modernize our regulations for building and development.

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On page 65 of your budget, you will find this table that's on the screen which is our cost of services slide.

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This is a great segue to give the community some context as to the cost of fees, taxes, and services here in Buffalo Grove.

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As you can see, Buffalo Grove continues to deliver all of our valuable services and capital investment very efficiently when compared to our peer communities.

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And we continue to be a smaller and smaller share of the property tax bill year after year.

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If we look at budget by the numbers, the 2025 budget will achieve the board's stated priorities by maintaining the community's high level of public services.

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in the areas of public works, public safety, and infrastructure management.

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Again, providing for a zero dollar increase in the operating property tax levy and a flat

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total tax levy year over year, allocating 1.9 million in capital reserve contributions

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in the coming year, and funding a total $51.3 million capital program dedicated to streets,

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sewer, water, and facility projects.

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In total, the village's 2025 budget is 161.4 million, which is a very slight 1% decrease year over year, which includes operations, our enterprise funds, fiduciary funds, and capital projects.

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Of that total, 57 million is allocated for our operations.

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We do include a general wage increase of 3% for our nonrepresented employees, and we anticipate that represented employees' increases will be about the same.

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For 2025, we plan a complement of 217 full-time and 38 part-time employees for a total

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staffing of 255.

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That is a .5 increase year-over-year.

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The only staffing changes of note are the addition of a full-time social worker position

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in the police department, which will complement our ever-expanding mental health support

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service in Buffalo Grove.

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As far as rates and fees, we have a standard 4% consumption-based increase in our water

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and sewer fees established by ordinance.

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We also have included a plan 10% increase for the water and sewer fixed facility fee.

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This will be the first increase since that fee was implemented in 2020.

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And the monthly refuse rate will increase 5% on May 1st of 2025.

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As I believe you will see during our presentation your staff team is more committed than ever to delivering on the value promises to our community meeting a village boards high priorities and providing the highest quality public services.

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I would like to hand over the presentation to our finance director Chris Black to deliver the budget summary.

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Thank you very much.

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Thank you, Mr. Bragg, and before you start, Chris, I just, to any of our residents that are listening out there, I implore you you don't need to read 500 pages of this, this budget, but Mr. Bragg's summary from page 6 to 16, take a half hour, read it.

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It's a fantastic summary of where we're at and where we're going and what our philosophy is and I highly recommend that.

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So thank you, it's all yours.

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Thank you.

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I first want to give a big thanks to the staff and to the board, the office, the village manager, for all the support on this budget.

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It's truly a team effort every year.

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I've been in several different communities and the way we pull together and all the assistance

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that's provided in terms of cooperation from operating departments and support is unparalleled

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anywhere that I've been.

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With the departure of Evan Mitchell, who worked, who worked, put a great deal of time kind

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of pulling together the budget book.

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I want to give a special thanks to Christine Berman who puts so much work into this assembly

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of the book.

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And also to Tyler for assistance in setting things up in Miley and Tim in particular.

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You'll notice that it was the whole color scheme and the whole branding was changed throughout

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the book and it took a considerable amount of work and a thank you or due to all of those

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guys.

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I just want to kind of add on to some of the bigger picture items that Dane walked through.

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My remarks can be focused particularly on the general fund and some of the changes that

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we saw there.

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Overall we've kind of, we've continued to focus on using conservative revenue estimates.

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You know, as we've talked about the economy over the last three or four years, we, it seems

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like we're moving into that soft landing that we've, that everyone is hoping for, at least

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that's what we're seeing so far.

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But we always are going to be facing other threats.

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That's the big thing that comes up now as we've discussed is that the state is looking

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at having budget problems and we could be looking at having shared revenues cut or reduction

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shared revenues, particularly the income tax.

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So while he's dealing with some type of threat that we have to be prepared for, we've provided

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services efficiently and effectively and really limited the growth and operating costs.

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That's something that the board deserves credit and we deserve credit as a management

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team.

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It's very easy when revenues are performing well to expand services or add staff to provide

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the services we've all been provided.

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And I think we've done very well in maintaining the service that we have and expanding on them

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but kind of maintaining stable operating costs.

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I mean, finally, as Dave mentioned, we've taken the additional revenue and the strong revenue

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performance and we've taken that extra money and we've ported into either capital improvements,

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you know, reducing, you know, reducing the debt that we had to issue for the public works

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building by paying cash is as well as, you know, in rather than expanding our operations.

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The other items that we'll mention again the sixth year of the flat lobby

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And as well as the eight, almost $8 million in capital improvements that we're providing

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from the general fund.

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In terms of general fund revenue, you can see here that our toll is about $57 million.

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We saw a $3 million increase in grant revenue from last year.

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It was kind of an accounting measure on how we handled the Rescue Plan Act funds.

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If you, in that of that, a revenue's increased about $2 million or 3.6%.

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property tax revenues account for about 29.5% of our overall general fund revenue, although

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it's not our most popular tax and that's a lot of understatement is our most stable

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than we lobby it, we feel relatively certain that we're going to collect it.

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About 50% of other revenues, mainly the sales tax and the state shared revenue which includes

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income tax, use tax, and then the 4% for real estate transfer fees and building permit fees.

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There's a great deal of sensitivity that goes on within our economy, and we can see

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an advent flow with those revenue sources.

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In terms of revenue trends, and this is a slide that you've seen in past years during

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the budget process, we experience exceptional growth from 2000 through 2023, particularly

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in sales tax and income tax, about 8.8 million overall, it's 6.4 million in the sales

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tax gross, although we provide some of that back to business and incentives, in 2.4 million

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in income taxes. We've seen some leveling off as we're trying to illustrate here in the

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sales tax and income tax revenue, although the performance is still over budget. And then

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on the slide to the right where we show food and beverage real estate transfer and building

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permit fees. I mean you can see that the real estate transfer fees peaked in 2022. And again

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we're still meeting that about a million dollars a year we budget but we're not going

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to. We're unlikely at least from what we're looking at now to see the performance that we

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saw in 2022.

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Again with the property tax levy. We haven't seen an increase and we're not

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about 16.8 goes to general fund operations and other 335,000 for debt service.

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And I'll hit on it later, but we've also seen an increase in EV over the last two years.

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General fund revenue growth, real simple chart here, our sales tax increase is about 1.3 million

219
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between the home rule and state sales tax, about an 8.1% increase.

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Ambulance fees have increased by about $400,000 between the EMT program and

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the increase in ambulance fees.

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That 0.4 million is all going to be put towards the debt service.

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00:25:37,560 --> 00:25:42,600
17.4 million bond issue that we're planning on in 2025 for

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fire stations, 25 and 26.

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00:25:45,320 --> 00:25:50,040
And then investment income is up about $300,000, $300,000.

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What we've tried to do strategically is we expect declining rates to invest some funds

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out longer term in terms of our access funds that we're not going to need over the next

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00:26:04,140 --> 00:26:10,780
two years and try to bank some of those returns over that extended period of time.

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General fund operations, this is the overall summary you can see, about 60,

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you know,

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is 67% is for salary and benefits as we are a service organization that the effective

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expenditure increase is 2 million dollars or 2.6%.

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Salaries were up 0.6 million or 2.6% as Dave mentioned, we have a 3% increase in wages

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00:26:46,030 --> 00:26:52,310
and we have the same amount of full time employees and we've increased a half part time position.

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benefits increase 0.3 million again 2.6 percent we seem really continued stability and

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00:27:00,730 --> 00:27:05,110
benefits overall you know obviously as we've talked about with our public safety pension

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00:27:05,110 --> 00:27:10,310
we're over contributing so we're in a position where we're not increasing that at all

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and our health insurance is state stable operating costs

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00:27:16,480 --> 00:27:20,940
operating costs are up about 10.8 percent

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It's mostly driven by IT costs and then in facility operations costs and then we'll see a $200,000 increase in our sales tax incentives that comes with our increasing sales tax revenue.

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00:27:33,640 --> 00:27:43,860
And finally, the debt service transfer goes up about $0.5 million, that's related to the debt service on fire stations 25 and 26.

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The use of capitol resource, which Dane mentioned, we're 2 million towards facilities.

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00:27:52,140 --> 00:28:00,880
That's mostly planned repairs at Village Hall and for the fire department, infrastructure

244
00:28:00,880 --> 00:28:09,380
about 3 million, about 2.5 million of that is to the Northwood's Stormwater project, 1.7 million

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00:28:09,380 --> 00:28:13,240
for vehicles, and then about a half million for IT services.

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This is all those items listed are in the capital requests summary, which will be covered

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later, but on page 199.

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And then finally, a projection of our year-end capital reserves in 2025 were expecting

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00:28:30,890 --> 00:28:33,470
to be at about 19.4 million in reserves.

250
00:28:34,470 --> 00:28:40,290
At the end of each fiscal year, we kind of determined an actual reserve balance and allocate

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the amount to the various areas for usage.

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00:28:45,030 --> 00:28:47,270
As Dave mentioned, we're contributing $1.9 million

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about $1.00 towards those reserves.

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About $1.1 million is going towards vehicles.

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00:28:53,090 --> 00:28:55,010
I'd be happy to answer any questions you have.

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00:28:55,190 --> 00:28:56,630
Otherwise, I'll turn it over to Chris Stilling

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so he can present the BGS responsible section.

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00:29:00,910 --> 00:29:01,250
Good evening.

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00:29:01,830 --> 00:29:02,470
Good evening.

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00:29:02,790 --> 00:29:03,410
I'll be brief.

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00:29:04,050 --> 00:29:05,090
This is where the fund begins.

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00:29:05,110 --> 00:29:08,190
You'll see staff standing up here giving various presentations.

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00:29:08,190 --> 00:29:11,410
So the first one is a legislative program.

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00:29:11,650 --> 00:29:14,470
Again, this is found on page 84 of your budget book.

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00:29:15,010 --> 00:29:17,470
There are no major changes proposed for 2025.

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00:29:17,650 --> 00:29:20,830
However, there are some increases related to the fireworks and

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00:29:20,830 --> 00:29:21,930
various commission costs.

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00:29:23,730 --> 00:29:29,170
Next we have general administration, which can be found on page 88 of your budget book.

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00:29:29,170 --> 00:29:33,870
This includes four service areas with an overall budget of $1.55 million.

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00:29:34,770 --> 00:29:37,110
There are no major changes proposed for 2025.

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00:29:37,110 --> 00:29:41,890
There was a slight decrease in the budget for this year or for the upcoming year.

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00:29:42,390 --> 00:29:49,510
A few of the key strategic priorities for 2025 include enhanced hip reporting and continue with facilities planning.

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00:29:50,070 --> 00:29:53,730
With that, I'll turn over to Katie Goldbach to provide personal administration.

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If any of the trustees have any questions or either Chris or Chris.

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00:30:00,500 --> 00:30:08,460
Bus in. Otherwise, we'll keep on moving. Hi, Katie. All right. Well, thank you very much.

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00:30:09,500 --> 00:30:26,460
Next slide here is going to be a personnel administration on slide 27. This portion of the budget can be found on page 99 of your budget document. There are no major changes proposed for 2025 and the proposed budget remains relatively unchanged.

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and decreases related to personnel and commission costs.

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00:30:30,620 --> 00:30:36,000
A couple of key strategic priorities for 2025 include the implementation of a learning

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00:30:36,000 --> 00:30:40,420
management system along with training and development initiatives specifically as it relates

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00:30:40,420 --> 00:30:44,400
to supervisors and continuing with recruitment and retention initiatives.

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00:30:45,200 --> 00:30:47,760
At this time I'm happy to answer any questions you may have.

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00:30:49,220 --> 00:30:53,080
Seeing none, I would like to introduce Molly Gillespie who will go through communications

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and engagement.

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Thank you.

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00:30:54,520 --> 00:30:55,040
Thank you, Katie.

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00:30:55,040 --> 00:30:56,100
Good

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00:31:00,030 --> 00:31:00,390
evening.

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00:31:00,690 --> 00:31:00,950
Hello.

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00:31:01,610 --> 00:31:09,230
A communications engagement program area is found on pages 109 and 113 in your budget document.

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00:31:10,050 --> 00:31:15,290
This was a new program area that was first included in the 2023 budget following the creation

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00:31:15,290 --> 00:31:16,010
of my department.

292
00:31:16,650 --> 00:31:21,450
The program covers three service areas that often overlap including marketing and public relations,

293
00:31:21,870 --> 00:31:23,830
content development, and community engagement.

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00:31:23,830 --> 00:31:34,030
The total 2025 budget for this program area is $483,919, a 7% increase from the 2024 adopted budget.

295
00:31:34,710 --> 00:31:40,350
The only variance of note is personnel benefits, which were conservatively budgeted previously and have been adjusted accordingly.

296
00:31:40,870 --> 00:31:43,830
There are no major changes proposed in 2025.

297
00:31:44,770 --> 00:31:51,030
With the expenses and operations seen, it continued focused on strategic goals involving brand integration,

298
00:31:51,030 --> 00:31:58,590
the development of us communications and engagement framework and evaluation of special events and programming landscape and resources.

299
00:31:59,410 --> 00:32:01,010
I'm happy to take any questions.

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00:32:01,630 --> 00:32:02,050
Questions?

301
00:32:03,850 --> 00:32:04,450
Seeing none.

302
00:32:04,810 --> 00:32:06,590
Trustee Cesaria.

303
00:32:07,210 --> 00:32:07,850
Okay, there we go.

304
00:32:08,630 --> 00:32:12,570
What do we have in here for the continuation of our rebranding?

305
00:32:14,050 --> 00:32:19,070
So, actually, not in this specific program area, but in the capital facilities budget.

306
00:32:19,290 --> 00:32:25,310
We do have planned, there will be an image later on Jim discusses his program area, but

307
00:32:25,310 --> 00:32:32,550
the overpass signage in Route 83, we're looking to do signage on both sides with illumination

308
00:32:32,550 --> 00:32:32,910
as well.

309
00:32:33,530 --> 00:32:36,070
That was the picture everybody liked when we went through the process.

310
00:32:36,330 --> 00:32:36,450
Yes.

311
00:32:37,650 --> 00:32:38,510
Very exciting.

312
00:32:39,010 --> 00:32:39,350
Thank you.

313
00:32:41,030 --> 00:32:44,510
Any other questions? I'll pass the floor over to Assistant Village Manager, Tyler Grace.

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00:32:50,000 --> 00:32:55,900
Thank you, Molly. So to kick off here, we'll look at the administrative services portion

315
00:32:55,900 --> 00:33:01,120
of the budget, which can be found on page 105. This program did experience significant change

316
00:33:01,120 --> 00:33:06,060
in 2024 with the retirement of the administrative services director. The program has been consolidated

317
00:33:06,060 --> 00:33:13,680
under the Assistant Village Manager and continues to provide key support services to the

318
00:33:13,680 --> 00:33:18,080
2025 budget, including reductions in wages and benefits due to the overall reduction in staff.

319
00:33:18,580 --> 00:33:25,660
And additionally, it increases proposed to allow for the addition of a contracted risk manager who will focus on risk reduction opportunities and best practices.

320
00:33:26,360 --> 00:33:30,740
Strategic priorities for the administrative services department include the continuation of digitizing and

321
00:33:30,740 --> 00:33:35,520
automating process flows and a focus on developing interdepartmental access to key data points.

322
00:33:37,770 --> 00:33:42,090
Next up is the information technology portion of the budget, which you can find on page 114.

323
00:33:42,090 --> 00:33:46,950
The IT Fund's overall proposed budget for 2025 is $2.6 million.

324
00:33:47,590 --> 00:33:53,590
Due to anticipated increases in software contracts, there is a proposed increase in operating expenses for 2025.

325
00:33:54,350 --> 00:33:59,290
Key action items for the IT team include the development of multiple long range planning documents,

326
00:33:59,650 --> 00:34:02,610
an assessment of the security of the municipal network, and

327
00:34:02,610 --> 00:34:05,850
supporting the design and deployment of network infrastructure in the new station point.

328
00:34:06,730 --> 00:34:08,210
I'd be happy to take any questions.

329
00:34:11,240 --> 00:34:11,940
Thank you, Tyler.

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00:34:11,940 --> 00:34:17,580
With that, I'd be happy to pass it over to Mr. Black for the, to cover the financial management portion.

331
00:34:20,380 --> 00:34:21,820
All right, thank you, Tyler.

332
00:34:23,760 --> 00:34:27,440
The financial management section is found on page 94.

333
00:34:27,880 --> 00:34:32,900
Total budget for the program is 1.6 million, a 7.1% increase from the prior year.

334
00:34:33,500 --> 00:34:39,700
The primary increases are salary adjustments for cost of living and merit.

335
00:34:39,700 --> 00:34:44,840
In terms of strategic priorities, new financial software research direction and

336
00:34:44,840 --> 00:34:50,520
funding, and as well as police and fire pension and evaluating future funding strategies.

337
00:34:55,100 --> 00:34:59,780
The next section that I'll cover here is the police pension fund on page 116.

338
00:35:00,440 --> 00:35:07,500
Total revenue is about 14 million made up of investment revenue, employee contributions, and employer contribution.

339
00:35:07,500 --> 00:35:16,320
The employer contribution is $3.5 million, which is 8% above the actuarly required contribution.

340
00:35:16,840 --> 00:35:20,200
This supports expenses of about $6.7 million.

341
00:35:21,000 --> 00:35:28,320
The police pension funding ratio at the year end 2023 is 77.8%.

342
00:35:34,000 --> 00:35:42,100
Fire pension, which is found on page 118, total revenues 9.51 million made up of investment

343
00:35:42,100 --> 00:35:48,000
revenue and employee contribution, as well as the employer contribution of about $2.37 million,

344
00:35:48,780 --> 00:35:52,700
which is 4% above the ex-railer required contribution.

345
00:35:53,100 --> 00:35:55,640
This supports expenses of about 5.4 million.

346
00:35:57,320 --> 00:36:05,500
The police pension, excuse me, the fire pension funded ratio is at the end of 23 as a healthy 83%.

347
00:36:12,660 --> 00:36:22,180
And then finally the debt service fund, which is on page 120, the total revenue is about $4.93 million.

348
00:36:23,080 --> 00:36:26,200
This is part of his presentation.

349
00:36:27,160 --> 00:36:33,100
Only about 7.7% of that is from property taxes, the $335,269.

350
00:36:33,800 --> 00:36:38,800
And we're baiting slightly over $4 million from a variety of funding sources.

351
00:36:38,800 --> 00:36:46,960
The majority of the increase in expenses are due to the 2020 plan, 2025 bond issue that I mentioned earlier.

352
00:36:48,820 --> 00:36:55,820
If you do not have any questions, I'd turn things over to Michael Skibby to present the BG is resilient section.

353
00:36:56,560 --> 00:36:57,160
Any questions?

354
00:36:58,420 --> 00:37:00,740
Okay, thank you.

355
00:37:04,620 --> 00:37:05,480
Thank you, Chris.

356
00:37:06,340 --> 00:37:08,220
And yes, Buffalo Grove is resilient.

357
00:37:08,220 --> 00:37:16,580
This section covers many of the public works operating budgets, and it largely hits on strategic goal number one, right, the maintenance of effective village government.

358
00:37:17,120 --> 00:37:20,640
We are physically responsible and provide outstanding responsive services.

359
00:37:21,800 --> 00:37:26,180
More broadly, within public works as a whole, there are no staffing changes proposed within the budget.

360
00:37:27,080 --> 00:37:32,820
And I will be covering the first three operating divisions within the general fund, including streets, forestry and drainage.

361
00:37:33,740 --> 00:37:37,460
The streets budget begins on page 122 of the budget document.

362
00:37:38,000 --> 00:37:46,460
Individual programs include street and curb maintenance, snow and ice control, I'm sorry, I mentioned it, I might be coming this way, and signage and striping.

363
00:37:47,080 --> 00:37:54,320
Total program expenses of $1,133,964 represent a 2% increase year over year.

364
00:37:55,100 --> 00:38:01,600
There are two variances listed in the street budget, while snow and ice commodities, that line items increase $73,000.

365
00:38:01,600 --> 00:38:06,700
The repairs and maintenance line items decreased about $50,000, helping to offset that and

366
00:38:06,700 --> 00:38:08,640
leaving to that 2% overall budget change.

367
00:38:09,560 --> 00:38:15,280
We'll continue with forestry, which begins on page 128 of your budget document.

368
00:38:15,900 --> 00:38:19,460
The forestry programs continue to include tree services, property and

369
00:38:19,460 --> 00:38:21,800
parkway maintenance, and natural area maintenance.

370
00:38:22,360 --> 00:38:26,380
We're continuing our blended service model within forestry, with outsourced tree trimming.

371
00:38:26,380 --> 00:38:34,020
this year. The total program expenses are $3,052,303, which represent a 1% increase year

372
00:38:34,020 --> 00:38:38,980
over year. There's one variance within the repairs and maintenance line item. This is

373
00:38:38,980 --> 00:38:43,800
down about 10% year over year due to decreased plan maintenance projects that are hitting the

374
00:38:43,800 --> 00:38:50,060
general fund for this year. We have the Bordeaux court area, natural area conversion. That's coming

375
00:38:50,060 --> 00:38:55,520
up and you'll see that within the capital plan. And that brings us to drainage, which begins

376
00:38:55,520 --> 00:38:57,320
on page 133 of the budget.

377
00:38:58,180 --> 00:38:59,980
Drainage programs include storm sewer maintenance

378
00:38:59,980 --> 00:39:01,160
and over channel maintenance.

379
00:39:01,740 --> 00:39:05,640
The total program expenses of $798,418

380
00:39:06,100 --> 00:39:08,100
represent a 3% increase year over year.

381
00:39:09,020 --> 00:39:10,420
There are no program variances,

382
00:39:11,120 --> 00:39:13,280
and again, no staffing changes within drainage.

383
00:39:14,640 --> 00:39:16,160
Any questions on these three?

384
00:39:17,260 --> 00:39:19,380
I will turn it over to Kyle Johnson,

385
00:39:19,380 --> 00:39:21,460
who will continue with the engineering portion of the budget.

386
00:39:21,840 --> 00:39:22,720
Thank you, thank you.

387
00:39:23,280 --> 00:39:23,840
Thank you.

388
00:39:23,840 --> 00:39:28,080
The engineering program begins on page 137 of the draft budget.

389
00:39:28,420 --> 00:39:33,400
It has an overall budget of 1.1 million, which represents no change over the previous year.

390
00:39:34,120 --> 00:39:39,440
The primary impacts to engineering since 2023 are a significant surge in development activity and

391
00:39:39,440 --> 00:39:42,880
turnover in staffing, which is led to the use of consultant services in the interim.

392
00:39:43,960 --> 00:39:52,020
A previous reorganization of public works rolls into 2025 for engineering as we have filled the roles for day-to-day capital improvement and development inspection.

393
00:39:52,020 --> 00:39:54,660
However, we're still looking for another senior level engineer.

394
00:39:55,320 --> 00:39:59,720
In 2025, we anticipate the engineering team rounding out and development leveling off.

395
00:40:00,060 --> 00:40:04,440
Thus, the only program variance for engineering is the result of anticipating both those will occur,

396
00:40:04,680 --> 00:40:07,920
resulting in lower applicable costs, but some support will still be needed.

397
00:40:08,500 --> 00:40:13,580
Strategic goals in 2025 focus on a long-term storm water management plan and

398
00:40:13,580 --> 00:40:14,800
the continuation of the IMP.

399
00:40:15,100 --> 00:40:16,340
I'm now happy to answer any questions.

400
00:40:17,760 --> 00:40:19,940
With that, I'll hand it over to Jim Warren said.

401
00:40:19,940 --> 00:40:20,040
Good

402
00:40:23,660 --> 00:40:24,720
evening.

403
00:40:25,040 --> 00:40:25,240
Good evening.

404
00:40:25,240 --> 00:40:25,360
Good job.

405
00:40:31,640 --> 00:40:36,260
We'll be covering the Building Maintenance Budget section which begins on page 142 of

406
00:40:36,260 --> 00:40:36,940
the budget document.

407
00:40:38,160 --> 00:40:46,420
With an overall proposed budget of $2,277,980, this represents a 10% increase year over year.

408
00:40:47,380 --> 00:40:51,520
Variance is mainly due to increased costs of bringing in a new facility online.

409
00:40:52,420 --> 00:40:57,160
The proposed budget allows us to continue to focus on long-term facility plans while keeping

410
00:40:57,160 --> 00:41:02,500
up with our immediate roughing, HVAC, and other critical needs for our village-owned facilities.

411
00:41:06,450 --> 00:41:10,710
Essential Garage Budget Section begins on page 144 of your budget document.

412
00:41:11,390 --> 00:41:20,730
An overall proposed budget of $1,957,335, this represents a 2% increase year-over-year.

413
00:41:21,390 --> 00:41:26,930
The overall Central Garage Program continues with our blended fleet model service that started in 2021.

414
00:41:26,930 --> 00:41:32,430
one. This program allows us to staff for the values and contract for the peak workloads.

415
00:41:33,310 --> 00:41:41,230
This allows us to pivot based on future opportunities and needs. With that, any questions?

416
00:41:42,590 --> 00:41:45,010
The picture on page 144. What is that?

417
00:41:47,300 --> 00:41:48,120
Holes in the ground.

418
00:41:52,600 --> 00:41:58,360
There are no other questions. I'll turn it over to Chris Black.

419
00:41:58,360 --> 00:41:59,360
All

420
00:42:06,170 --> 00:42:09,550
right, we have the parking lot fund, which is on page 146.

421
00:42:09,910 --> 00:42:21,090
As we've discussed in previous years since the onset of COVID-19 parking revenues decline requiring a general fund subsidy to mitigate annual fund deficits.

422
00:42:21,690 --> 00:42:30,010
Total fund revenue this year is 221,000, the 3% increase over the prior year, daily parking fees have been increased by $18,000.

423
00:42:30,010 --> 00:42:37,390
The revenues plan, the revenues include a plan support from the general fund totaling $160,000.

424
00:42:37,890 --> 00:42:42,670
Expenses increased by 3% to 220,100.

425
00:42:42,810 --> 00:42:48,370
The last payment on the parking lot fund was this year during 2024,

426
00:42:48,570 --> 00:42:52,890
the lease agreement expires in summer of 2025.

427
00:42:54,210 --> 00:43:01,570
We've budgeted additional funds for either a lease or a transition cost as part of the budget.

428
00:43:05,840 --> 00:43:12,320
If there are not any questions, I'll now turn things over to Chief Buds to present the BG is safe section.

429
00:43:14,600 --> 00:43:15,120
Thank you, Chris.

430
00:43:15,420 --> 00:43:15,680
Thank you.

431
00:43:16,600 --> 00:43:17,580
Good evening, everybody.

432
00:43:19,880 --> 00:43:20,480
EG is safe.

433
00:43:22,380 --> 00:43:26,800
The lease department's budget section begins on page 149 of your document.

434
00:43:27,600 --> 00:43:33,620
As you see, the three major services for police are patrol, investigations, and traffic.

435
00:43:34,360 --> 00:43:36,860
The patrol service is accounting for 81% of this.

436
00:43:38,320 --> 00:43:45,820
You'll see a slight budget, overall increase of 4.6% for 2025 in this program, which is mostly due to salaries, benefits, and capital.

437
00:43:47,660 --> 00:43:53,660
There are small increases to some of our operating expenses, but they only account for 0.35% of the overall budget.

438
00:43:53,660 --> 00:43:57,240
There were no significant variances to note beyond salaries and benefits.

439
00:44:00,670 --> 00:44:04,230
In community services on page 155 of your document,

440
00:44:05,590 --> 00:44:10,790
25, the police department will be adding a second full-time social worker to better serve the community.

441
00:44:11,670 --> 00:44:17,270
Can you continue to rise exponentially, increasing the workload of our current police social worker?

442
00:44:18,190 --> 00:44:21,910
By integrating additional full-time social worker into the police department,

443
00:44:21,910 --> 00:44:29,910
The department can more effectively address the complex social issues that impact residents ultimately leading to a safer and more cohesive community.

444
00:44:30,790 --> 00:44:39,110
This will enhance the capacity and effectiveness of social services, ultimately benefiting clients, the community and the police and fire departments.

445
00:44:40,090 --> 00:44:44,070
There are no other proposed changes to our community services program in 2025.

446
00:44:45,070 --> 00:44:46,890
I'll be happy to answer any questions you may have.

447
00:44:50,240 --> 00:44:50,720
Thank you, Chief.

448
00:44:51,180 --> 00:44:53,100
I will turn it over to Fire Chief Kane.

449
00:44:53,520 --> 00:44:53,980
Thank you.

450
00:45:00,430 --> 00:45:08,930
Good evening. Good evening. The 2025 fire department budget is found on pages 159 through 168 of your budget

451
00:45:08,930 --> 00:45:14,710
book. The Buffalo Grove Fire Department services are broken down into the two programs of public safety,

452
00:45:14,910 --> 00:45:21,390
fire, and emergency management. Public safety fire has four major service areas, which are listed

453
00:45:21,390 --> 00:45:28,190
on page 159. These service areas are fire prevention, emergency medical services, fire suppression,

454
00:45:28,190 --> 00:45:35,050
and special rescue teams. These critical public services are provided by 57 full-time sworn personnel,

455
00:45:35,290 --> 00:45:40,130
including two current vacancies, along with four full-time and two part-time civilian personnel.

456
00:45:40,750 --> 00:45:46,710
There are no requested staffing changes for 2025. The Public Safety Fire Program portion found on

457
00:45:46,710 --> 00:45:57,110
page 162 of the 2025 Fire Department budget is $16,55,842. The variance is listed on page 162 of the budget

458
00:45:57,110 --> 00:46:01,510
document aligned with projects and advancements to accomplish goals set forth in the village's

459
00:46:01,510 --> 00:46:06,370
strategic plan, as well as address the cost increases in new maintenance contracts for EMS

460
00:46:06,370 --> 00:46:11,750
equipment, up-contained breathing apparatus certification equipment and atmospheric meters,

461
00:46:12,210 --> 00:46:18,110
as well as an increase in general vehicle and equipment repair costs and a decrease in

462
00:46:18,110 --> 00:46:22,810
consultant fees due to the initial payments for the strategic plan being accounted for in 2024.

463
00:46:23,890 --> 00:46:29,670
The emergency management program is found on page 165 and is two service areas, community

464
00:46:29,670 --> 00:46:32,750
emergency response team or SIRT and mobile com.

465
00:46:33,610 --> 00:46:37,570
These two services are coordinated by one third time emergency management coordinator

466
00:46:37,570 --> 00:46:40,130
with approximately 69 community volunteers.

467
00:46:40,910 --> 00:46:46,650
Emergency management portion of the 2025 requested fire department budget is found on page 166

468
00:46:46,650 --> 00:46:53,850
and is 163,000 by 125 dollars for the two fire department program areas.

469
00:46:54,090 --> 00:47:02,090
The total 2025 requested fire department budget is 16,189,367 dollars.

470
00:47:02,390 --> 00:47:04,470
I'd be happy to answer any questions you may have.

471
00:47:06,690 --> 00:47:11,590
Seeing no questions, following me, we'll be Nicole Woods with the community development portion of the budget.

472
00:47:12,090 --> 00:47:12,510
Thank you, too.

473
00:47:20,720 --> 00:47:21,520
Good evening.

474
00:47:21,860 --> 00:47:22,060
Hello.

475
00:47:22,440 --> 00:47:22,760
Hello.

476
00:47:23,380 --> 00:47:27,680
I'm excited to be here tonight to present the Community Development Budget for 2025.

477
00:47:28,660 --> 00:47:32,360
The 2025 budget represents no changes in terms of our staff positions.

478
00:47:32,840 --> 00:47:37,460
We look to maintain our 12 full-time positions which we had budgeted in 2024.

479
00:47:38,360 --> 00:47:43,040
Our total budget is approximately 2.3 million which represents roughly a 9% increase

480
00:47:43,040 --> 00:47:45,340
compared to last year due to changes in benefits.

481
00:47:46,160 --> 00:47:50,940
Now I will provide a brief overview of the budget breakdown within our three program areas.

482
00:47:50,940 --> 00:47:57,300
First, building and permitting program area, which starts on page 169.

483
00:48:00,560 --> 00:48:04,960
This program area focuses on permits, plan review, inspections, property maintenance,

484
00:48:05,340 --> 00:48:13,300
and our rental program, as well as speech therapy, as a joke, because I messed up.

485
00:48:13,440 --> 00:48:14,800
It does not, it does not.

486
00:48:16,100 --> 00:48:16,680
Yeah.

487
00:48:19,620 --> 00:48:25,580
There are no major changes proposed for 2025, the budget for this program is 1.26 million.

488
00:48:26,500 --> 00:48:32,380
Second is our planning, zoning and development program area, which starts on page 173.

489
00:48:33,200 --> 00:48:36,460
This program area looks at implementing our long-term visions and plans.

490
00:48:36,900 --> 00:48:40,840
It also works with our planning and zoning commission on development projects as well as special

491
00:48:40,840 --> 00:48:41,900
uses and variations.

492
00:48:41,900 --> 00:48:51,820
There are no major changes proposed for 2025, and the budget for this program is around 799,000.

493
00:48:52,580 --> 00:48:52,920
Thank you.

494
00:48:53,140 --> 00:48:58,300
Finally, is our Environmental Health Services Program Area, which starts on page 178.

495
00:48:59,140 --> 00:49:02,020
This includes food and health inspections for various businesses.

496
00:49:02,720 --> 00:49:08,760
Again, there are no major changes for 2025, and the budget for this program is 287,000.

497
00:49:09,660 --> 00:49:10,220
That's it.

498
00:49:10,980 --> 00:49:15,280
And if there are no comments or questions, I would be happy to pass off.

499
00:49:16,160 --> 00:49:16,720
Sure.

500
00:49:29,070 --> 00:49:29,950
That does.

501
00:49:30,670 --> 00:49:32,290
However, I'm going to amend that.

502
00:49:32,470 --> 00:49:39,410
I think the entire budget for runs the whole gambit as I say to our high school students,

503
00:49:39,410 --> 00:49:43,130
we do everything from soup to nuts from when it starts at an inception of an idea

504
00:49:43,130 --> 00:49:47,010
to the final break to the final inspection to the certificate of occupancy.

505
00:49:47,670 --> 00:49:49,310
So yes and no.

506
00:49:50,390 --> 00:49:57,010
and speech therapy. What a deal. Thank you. Okay. Any other questions?

507
00:49:57,470 --> 00:50:01,230
Thank you, Nicole. Thank you. Now I'll introduce Jeff Talison to talk about golf.

508
00:50:07,320 --> 00:50:14,280
Hey, Jeff. Starting on page 183 of the budget document, the village's golf operator

509
00:50:14,280 --> 00:50:18,980
is continuing to see excellent revenue growth through to a re-birth and demand for golf.

510
00:50:19,480 --> 00:50:24,460
Along with complimentary weather this year, both facilities have reached over

511
00:50:24,460 --> 00:50:31,240
are 3.5 million in revenues, which is a 5% increase over last year actually. Starting

512
00:50:31,240 --> 00:50:36,540
with Buffalo Grove Golf Course, which you can see on page 184 of the budget document,

513
00:50:36,880 --> 00:50:41,900
the FIS programming is 7% increase in total revenues for next year, which will be offset

514
00:50:41,900 --> 00:50:47,840
against a 4% increase in total expenditure. The increase in revenues will be driven by moderate

515
00:50:47,840 --> 00:50:53,340
rate increases charged with a lot of patrons. All our largest variance and expenses for Buffalo

516
00:50:53,340 --> 00:50:58,500
Club Road will be capital outlay to reinvest back into the course to better the experience

517
00:50:58,500 --> 00:51:05,880
for the customers. Moving on to the Arboretum Golf Club, which is on page 185 of the budget

518
00:51:05,880 --> 00:51:11,700
document, staff are planning for an 8% increase in total revenues, which would be offset

519
00:51:11,700 --> 00:51:17,220
against a 3% increase in total expenses. The increase in revenues will be a result of increase

520
00:51:17,220 --> 00:51:22,760
rates being charged, while still positioning the Arboretum as an attractive option in the premium

521
00:51:22,760 --> 00:51:37,520
of course market and we have no variances on expenses within the conclusion staff is pretty confident both budgets position golf operations and a positive financial position for fiscal year 25 and I'd be happy to answer any questions.

522
00:51:47,620 --> 00:51:48,180
Yes.

523
00:51:48,180 --> 00:51:48,420
Yes.

524
00:51:58,610 --> 00:52:01,300
Thank you.

525
00:52:01,560 --> 00:52:02,100
Thank you.

526
00:52:02,820 --> 00:52:03,440
Thanks, Chef.

527
00:52:04,160 --> 00:52:05,500
Turn it over to

528
00:52:05,500 --> 00:52:05,700
Pop.

529
00:52:12,620 --> 00:52:13,320
Thank you.

530
00:52:13,580 --> 00:52:17,080
We'll continue on page 186 of the draft budget with the water

531
00:52:17,080 --> 00:52:22,460
program. As mentioned by Village Manager Bragg, revenue shows a 4% increase in the water consumption

532
00:52:22,460 --> 00:52:27,840
rate. 2025 will also bring about our first program increase to the fixed facility fee.

533
00:52:28,220 --> 00:52:33,440
This fee was originally codified as the aggregate of the CPIU over the last five years.

534
00:52:33,940 --> 00:52:40,380
Rather than follow that mechanism at over 22%, staff was recommending a 10% increase for 2025.

535
00:52:41,340 --> 00:52:45,160
Another adjustment to water revenue is that Piccara water sales are expected to come

536
00:52:45,160 --> 00:52:49,520
online in quarter one of this year, not exactly a full year but close to.

537
00:52:51,120 --> 00:52:54,420
Water has an overall expense budget of 15.9 million.

538
00:52:54,780 --> 00:52:57,160
This represents an 18% increase year over year.

539
00:52:57,680 --> 00:53:03,880
This increasing cost is largely represented by the $2 million increase, $6.7 million total

540
00:53:04,430 --> 00:53:05,380
capital outweigh.

541
00:53:07,940 --> 00:53:13,020
Moving on to the sewer program on page 191, there are no significant changes within the

542
00:53:13,020 --> 00:53:18,980
sewer program, sewer has an overall budget of 8.6 million, which represents a 14% increase

543
00:53:18,980 --> 00:53:24,240
year over year. This increase in cost is largely due to the $900,000 increase in capital

544
00:53:24,240 --> 00:53:29,220
outlay. As you have heard tonight, 2025 will be a big year for the Infrastructure Modernization

545
00:53:29,220 --> 00:53:34,580
Program. As projects will look to connect across all infrastructure needs. Overall, the Water

546
00:53:34,580 --> 00:53:40,400
Sewer Capital projects are 9.7 million in total cost. These are entirely funded by the Water

547
00:53:40,400 --> 00:53:45,400
sewer fun on a cash basis. This work is generally comprised of the Bernard Drive West utility

548
00:53:45,400 --> 00:53:50,120
replacements, a kickoff of the Mill Creek neighborhood, significant skater upgrades

549
00:53:50,120 --> 00:53:55,260
and software improvements, and design of future water main and sewer improvements. As most

550
00:53:55,260 --> 00:53:59,260
of these projects will integrate into roadway improvements as well, I'll go into more detail

551
00:53:59,260 --> 00:54:04,420
on the work later on in the presentation during the CIP section. Now, happy to take any questions.

552
00:54:17,590 --> 00:54:22,770
So if you separate out, you've got the consumption rate, which really speaks to the operation,

553
00:54:22,910 --> 00:54:27,330
the purchase of water sale, the fixed facility fee speaks to having the infrastructure

554
00:54:27,330 --> 00:54:31,750
in the ground, the ability for the water or sewer to make it tour from your home, whatever

555
00:54:31,750 --> 00:54:32,470
it's supposed to do.

556
00:54:32,890 --> 00:54:37,690
So having that tap that service available to you is what the fixed facility fee speaks

557
00:54:37,690 --> 00:54:42,130
particularly to, which is how we keep up that infrastructure and maintain it long-term

558
00:54:50,870 --> 00:54:51,250
right.

559
00:54:55,370 --> 00:54:59,730
Correct. Correct. I mean it may go to a portion of the debt service that's speaking

560
00:54:59,730 --> 00:55:02,510
to the long-term use of it but again for water and sewer to your point.

561
00:55:10,240 --> 00:55:11,020
Our rich man,

562
00:55:15,040 --> 00:55:22,180
Refuse can be found on page 196 of your budget book, and it includes a budget of roughly $1.2 million.

563
00:55:22,920 --> 00:55:28,080
There are no major changes proposed for 2025 as we are in the second year of our contract extension,

564
00:55:28,380 --> 00:55:32,640
which we will see a slight increase in rates come May 1 of 2025.

565
00:55:33,240 --> 00:55:37,460
Unless there are any questions, I'll hand it back to Mr. Powell.

566
00:55:38,480 --> 00:55:38,960
Thank you.

567
00:55:39,660 --> 00:55:43,700
Thank you for the introduction.

568
00:55:45,020 --> 00:55:52,240
The capital improvement plan begins on page 198 of the draft budget.

569
00:55:52,720 --> 00:55:56,040
The program is 53.1 million overall.

570
00:55:57,040 --> 00:56:01,260
Starting in 2024, there was an emphasis on facility work and the resumption of the

571
00:56:01,260 --> 00:56:03,000
infrastructure modernization program.

572
00:56:03,480 --> 00:56:06,000
2025 will see a continuation of those efforts.

573
00:56:06,660 --> 00:56:12,020
While the CIP represents the largest in the village's history, over 17 million is in grants

574
00:56:12,020 --> 00:56:12,860
and other sources.

575
00:56:12,860 --> 00:56:19,800
Starting with the capital projects streets, there is over 26 million program for this year.

576
00:56:20,220 --> 00:56:23,400
This represents an increase over 14 million from the previous year.

577
00:56:23,780 --> 00:56:28,080
We can contribute these costs to a high level of opportunity management, which is the result

578
00:56:28,080 --> 00:56:32,380
of leveraging other fund sources to get more work completed for each village dollar spent.

579
00:56:33,240 --> 00:56:37,560
Overall, the village's commitment is around 14 million, which is supported by contributions

580
00:56:37,560 --> 00:56:43,060
from the general fund, motor fuel tax, cash reserves, and a proposed $8 million bond issue.

581
00:56:43,060 --> 00:56:49,480
Projects included in this year's program include the Bernard Drive West project at approximately

582
00:56:49,480 --> 00:56:50,120
$10 million.

583
00:56:50,800 --> 00:56:55,040
This includes 5 million in STP funding and 1.8 million in ITEP funding.

584
00:56:55,720 --> 00:57:00,820
This will complete a full rehabilitation of the corridor, including road reconstruction,

585
00:57:01,360 --> 00:57:06,400
box culvert replacement, like path addition, storm sewer improvements and water main replacement.

586
00:57:06,960 --> 00:57:10,040
Another major project is the Mill Creek Contract 1.

587
00:57:10,040 --> 00:57:13,540
this will start to approach the Mill Creek neighborhood much like we did

588
00:57:13,540 --> 00:57:17,380
Cambridge a few years ago. This approach will aim to complete all the work

589
00:57:17,380 --> 00:57:21,300
necessary, lowering the long-term burden to residents in the area as we move

590
00:57:21,300 --> 00:57:25,580
through. And contract one will focus on Dundee Road and the Northern section of

591
00:57:25,580 --> 00:57:29,980
the neighborhood. Another significant project is the Northwood Street and

592
00:57:29,980 --> 00:57:34,420
Stormwater project. This was pushed from a late 2024 start to an early 2025

593
00:57:34,420 --> 00:57:39,780
start. However, all work is still planned to be entirely completed in 2025. This

594
00:57:39,780 --> 00:57:42,720
This will address the areas need for both street and storm water improvements.

595
00:57:43,460 --> 00:57:47,880
The project will be completed in partnership with Lake County SMC, the Buffalo Grove Park

596
00:57:47,880 --> 00:57:49,460
District, and Vernon Township.

597
00:57:50,240 --> 00:57:52,740
Another project is a village-wide resurfacing program.

598
00:57:53,040 --> 00:57:57,380
This will aim to resurface streets that are beyond their usable life or over 20 years old.

599
00:57:58,080 --> 00:58:02,040
The focus is to find logical connections of roadways, generally those that make up a neighborhood

600
00:58:02,040 --> 00:58:03,500
and complete all the work at one time.

601
00:58:04,460 --> 00:58:08,560
Also in 2025, we'll start a phase one engineering study for Checker Drive.

602
00:58:08,560 --> 00:58:11,000
This will follow the same playbook as Thomson,

603
00:58:11,240 --> 00:58:14,180
Brandywine, and Bernard in an effort to pursue federal funding.

604
00:58:14,960 --> 00:58:18,160
And lastly, general maintenance projects such as sidewalk maintenance,

605
00:58:18,440 --> 00:58:22,260
pavement patching, bike path repair, and many more will be included on the street side.

606
00:58:22,960 --> 00:58:24,300
I'm now happy to answer any questions.

607
00:58:25,860 --> 00:58:26,240
With that?

608
00:58:26,460 --> 00:58:26,520
Oh.

609
00:58:27,620 --> 00:58:28,360
With that?

610
00:58:28,880 --> 00:58:30,720
I'll hand it over to the game one step.

611
00:58:35,760 --> 00:58:36,240
Oh, again.

612
00:58:39,260 --> 00:58:39,780
All right.

613
00:58:39,900 --> 00:58:44,460
The Capital Projects Equipment and Vehicle Budget Section begins on page 266

614
00:58:44,460 --> 00:58:45,440
of your budget document.

615
00:58:46,680 --> 00:58:55,600
With an overall proposed budget of $2,579,617, this represents a 9% decrease year-over-year.

616
00:58:56,340 --> 00:59:01,020
The variance is due to the decrease in equipment and vehicles purchased for 2025.

617
00:59:02,020 --> 00:59:07,540
The anticipate that availability for equipment and vehicles will stabilize in 2025 with the

618
00:59:07,540 --> 00:59:11,120
return of many state and cooperative purchasing contracts.

619
00:59:12,300 --> 00:59:20,420
While our equipment and vehicles make up $1,792,000 of the CIP, the remaining funds are

620
00:59:20,420 --> 00:59:22,640
programmed for fire and IT items.

621
00:59:27,520 --> 00:59:33,620
The Capital Projects Facilities Budget Section begins on page 269 of your budget document.

622
00:59:34,500 --> 00:59:43,120
With an overall proposed budget of $13,560,000 and $33, the main projects include $10,8 million

623
00:59:43,120 --> 00:59:49,960
dollars for the design and construction of the fire station 25 as well as park improvements

624
00:59:49,960 --> 00:59:57,320
at village rotary green park and the planning for the park at the clove. Also included

625
00:59:57,320 --> 00:59:59,600
it as the overpass signage.

626
01:00:00,000 --> 01:00:12,160
That Molly had mentioned previously to bring the overall concept of the new branding forward to the community. And with that, any questions?

627
01:00:15,160 --> 01:00:31,360
Okay. Seeing none, I'll turn it back over to Chris Black. All right, we're almost to the end here. State Motor Fuel Tax is on page 270. The total revenue is about 1.95 million an increase of 7%.

628
01:00:32,920 --> 01:00:39,640
From the previous year, we typically use estimates provided by the state.

629
01:00:40,560 --> 01:00:49,960
Total fund expense is $1.9 million, $875,000 is dedicated to annual debt service on the 2020 bonds.

630
01:00:50,380 --> 01:00:54,880
This plan and then the remainder will be used for MFT, eligible infrastructure projects.

631
01:00:54,880 --> 01:01:10,750
And then finally we have the local model fuel tax fund revenues from the 2% per gallon tax is 640,000 a decrease of 6% from the prior year.

632
01:01:11,230 --> 01:01:23,970
A total fund expense is only $246,900 and that's dedicated again to annual debt service on the 2020 bonds as well as some debt service on the

633
01:01:23,970 --> 01:01:28,330
the plan $8 million street issue for 2025.

634
01:01:29,570 --> 01:01:31,970
And if you don't have any questions on those two items,

635
01:01:32,150 --> 01:01:35,450
I will turn it up over to Mr. Bragg for his closing remarks.

636
01:01:36,530 --> 01:01:37,330
Thank you, Chris.

637
01:01:43,060 --> 01:01:43,560
Thank you, Chris.

638
01:01:45,420 --> 01:01:49,000
Well, there's nothing quite as exciting to close on as local motor fuel tap.

639
01:01:49,440 --> 01:01:49,820
What is there?

640
01:01:51,140 --> 01:01:51,900
All right, right, right.

641
01:01:53,700 --> 01:01:56,340
Well, I want to thank you all for your time this evening.

642
01:01:56,340 --> 01:02:00,620
and I just want to give a high level recap of where we're at.

643
01:02:00,820 --> 01:02:06,760
Overall our operating budget is going to remain very efficient with very modest changes in our commodity cost wages and benefits.

644
01:02:07,000 --> 01:02:08,080
You can see year over year.

645
01:02:08,980 --> 01:02:16,900
Our reliance on bond and reserve funds is limited to planned capital projects and equipment replacements and accordance with your adopted financial policies.

646
01:02:17,660 --> 01:02:22,040
Our fund balance reserves exceed our minimum and meet our optimum requirements.

647
01:02:22,040 --> 01:02:31,600
Our tax levy will remain flat for the sixth consecutive year of factoring in death service pensions public safety expenditures as well as debt service abatements.

648
01:02:32,000 --> 01:02:35,740
Our net tax rate will remain flat or decrease year over year.

649
01:02:36,440 --> 01:02:40,780
The capital program is funded at $51.3 million for 2025.

650
01:02:41,920 --> 01:02:51,440
We have $1.9 million in capital reserve transfers into the reserves program for 2025 with the opportunity to reserve additional funds.

651
01:02:51,440 --> 01:03:00,460
if they're available. Our General Fund reserves are projected to decrease slightly year over year, about $7 million for capital related projects.

652
01:03:01,280 --> 01:03:05,840
And we're continuing our plan to provide for sustainable, cost-efficient, and reliable services.

653
01:03:06,720 --> 01:03:11,940
I think we put together the most responsible spending plan that you could ask for, frankly.

654
01:03:12,440 --> 01:03:18,840
And I cannot tell you how proud I am of the ability that we've had to control the impact on the property tax levy

655
01:03:18,840 --> 01:03:21,860
or the last five going on six years.

656
01:03:22,940 --> 01:03:25,500
I think a lot of credit goes to you guys as a board.

657
01:03:26,360 --> 01:03:28,680
You've been resilient and we've pushed through a lot

658
01:03:28,680 --> 01:03:29,720
in the last few years.

659
01:03:30,140 --> 01:03:32,560
Sometimes a lot of uncertainty we've pushed through.

660
01:03:33,280 --> 01:03:36,400
But we hear the compliments from our community

661
01:03:36,820 --> 01:03:38,380
for the investment that you're making

662
01:03:39,000 --> 01:03:41,460
to make Buffalo Grove and even better place to live.

663
01:03:42,240 --> 01:03:46,060
I want to thank all of you as well as all of these

664
01:03:46,060 --> 01:03:48,720
It's wonderful people sitting out here this evening.

665
01:03:49,340 --> 01:03:55,160
They put in a mountain of work into this process, and I would love to tell you that I can

666
01:03:55,160 --> 01:04:01,660
just make all the operating costs stay really tight and flat, and I have some magic one.

667
01:04:02,200 --> 01:04:07,420
But the reality is it's all the people here, and all the people who work for them working

668
01:04:07,420 --> 01:04:12,300
very diligently every day to manage costs and make sure that we're delivering the best

669
01:04:12,300 --> 01:04:14,020
value that we possibly can for you.

670
01:04:14,780 --> 01:04:18,540
So thank you to each one of you, I appreciate it very much.

671
01:04:18,820 --> 01:04:29,520
I look forward to your comments and questions, and I recommend approval, request approval of the 2025 budget at your December 2nd Village Board meeting.

672
01:04:30,180 --> 01:04:37,160
And that completes my comments and my presentation, and we are happy to answer any questions that you guys have at the board.

673
01:04:37,540 --> 01:04:42,560
Thank you Mr. Bragg, appreciate it, questions, comments, trustee Stein.

674
01:04:42,560 --> 01:04:43,320
And

675
01:04:46,360 --> 01:05:11,220
there we go, this is my 14th budget that I have sat through as a village trustee and I want to say that over the years that this has definitely morphed into something that is very understandable, something that a layperson can look at and see what's happening and I truly appreciate in the direction that it's gone.

676
01:05:11,220 --> 01:05:20,660
I appreciate all of your staff's work in putting a budget together that allows us to go six

677
01:05:20,660 --> 01:05:25,420
years in a row without having to raise our property tax portion of the levy.

678
01:05:27,940 --> 01:05:35,300
Being that this is my last time up here, I just want to say that I hope that with the continued

679
01:05:35,300 --> 01:05:40,420
guidance of the board that you will be able to continue to bring the value that you bring

680
01:05:40,420 --> 01:05:47,040
to our residents going forward and I am enthusiastically looking forward to voting to approve

681
01:05:47,040 --> 01:05:47,600
this budget.

682
01:05:48,140 --> 01:05:48,540
So thank you.

683
01:05:49,120 --> 01:05:49,840
Thank you.

684
01:05:49,880 --> 01:05:50,400
Trustee Stein?

685
01:05:50,820 --> 01:05:51,480
Trustee Adenheim?

686
01:05:51,880 --> 01:05:52,300
Thank you.

687
01:05:53,020 --> 01:05:58,140
I want to echo a lot of what Trustee Stein said, but Andy and I've been sitting up here

688
01:05:58,540 --> 01:06:00,500
a long time, probably longer than anybody.

689
01:06:01,240 --> 01:06:07,700
And Mr. Bragg and staff, I want to give you a compliment and that is since she started doing

690
01:06:07,700 --> 01:06:12,500
this. Each year it's gotten simpler and simpler and easier and easier for us to understand,

691
01:06:12,980 --> 01:06:17,760
which means you've put a lot more work into it because it makes it easy for us. But

692
01:06:17,760 --> 01:06:23,700
I appreciate the ease of which you could look at this document and understand what is going

693
01:06:23,700 --> 01:06:29,640
on. It seems to me that each year when you ask for questions there's less and less questions.

694
01:06:30,380 --> 01:06:34,060
And I think that's a compliment to you as well because it means that you're well prepared,

695
01:06:34,060 --> 01:06:37,960
you anticipate the questions, and you know what we're going to ask and you answer them,

696
01:06:37,980 --> 01:06:39,840
so I want to thank you very much for that as well.

697
01:06:40,260 --> 01:06:40,880
Thank you.

698
01:06:41,300 --> 01:06:42,500
Thank you, Trustee Annamar.

699
01:06:42,900 --> 01:06:43,720
Trustee Sariah.

700
01:06:44,300 --> 01:06:49,580
I would ask you to harken back to when you join the village and compare the reserves today with

701
01:06:49,580 --> 01:06:53,060
that era. How do they look at that?

702
01:06:54,660 --> 01:07:01,660
You know, I want to say the magic number that we had when I got here was about 9.4 million

703
01:07:01,660 --> 01:07:03,760
in reserves in the general fund.

704
01:07:05,600 --> 01:07:08,020
You know, it was and trustees,

705
01:07:08,360 --> 01:07:10,560
Ottenheimer and Stein came on in 2011

706
01:07:11,300 --> 01:07:14,180
and it was a pretty difficult time for us

707
01:07:14,180 --> 01:07:15,160
as an organization.

708
01:07:15,940 --> 01:07:19,380
We were faced with some very long-term

709
01:07:19,380 --> 01:07:21,700
and systemic financial problems

710
01:07:22,260 --> 01:07:25,340
that really required us to make some

711
01:07:25,960 --> 01:07:29,180
very difficult decisions in a very short window,

712
01:07:29,180 --> 01:07:36,740
So frankly, in order to balance the budget and be accountable to our community, to our

713
01:07:36,740 --> 01:07:38,180
residents, as we said, we would do.

714
01:07:39,240 --> 01:07:43,200
And some of you have been here longer, some of you have been here less time.

715
01:07:43,800 --> 01:07:48,080
But we have come out of that, I think, much, much stronger.

716
01:07:48,500 --> 01:07:50,120
You can see it on our balance sheet.

717
01:07:50,860 --> 01:07:53,140
You can see it in our bond ratings.

718
01:07:53,560 --> 01:07:55,860
You can see it in our audits.

719
01:07:55,860 --> 01:07:59,200
you can see it in the type of work we're doing in the community.

720
01:08:00,080 --> 01:08:05,200
So you guys are, as a board, I think now have that opportunity to be much more proactive.

721
01:08:06,220 --> 01:08:09,580
And it's great to have the kind of reserves that we do have,

722
01:08:10,040 --> 01:08:12,940
not because we don't want to utilize our residents' money,

723
01:08:13,160 --> 01:08:19,120
but because we want to make sure that we're not utilizing it in terms of debt

724
01:08:19,780 --> 01:08:24,700
and not managing our finances well, we want to utilize it to reinvest in our community.

725
01:08:24,700 --> 01:08:30,640
And so it's it's been a long road, but and that was a long answer to a very short question.

726
01:08:30,760 --> 01:08:39,160
I'll just and I do think calling out to our residents there's a feature to the discipline that you bring, which is when we have debt

727
01:08:39,160 --> 01:08:45,500
We have dedicated revenue to attack that correct and I would say not a lot of entities

728
01:08:45,500 --> 01:08:53,240
do that. Good. Can we get slide 51 up, Bill Fatt? Page 51.

729
01:08:53,240 --> 01:08:57,580
All right, Tyler, this is your test. There's a picture on there because you just

730
01:08:57,580 --> 01:09:01,740
heated up perfectly talking about spending our residents money.

731
01:09:05,070 --> 01:09:05,370
51.

732
01:09:07,450 --> 01:09:08,470
Yeah, page 51.

733
01:09:09,010 --> 01:09:11,330
Oh, page 51 of the budget. I will

734
01:09:17,410 --> 01:09:20,230
describe it while we pull this up. This is the

735
01:09:20,230 --> 01:09:29,770
picture of the middle rate for $100 valuation. And it shows it going down year by year by year.

736
01:09:30,170 --> 01:09:36,450
And we talk about the property tax being flat. When you see it looking at value, it's declining.

737
01:09:37,110 --> 01:09:41,490
I wonder if it might bring that to life a little bit because when we say something's flat,

738
01:09:41,490 --> 01:09:46,310
everyone has a different view of what flat is, which is almost true. So if you don't mind.

739
01:09:46,970 --> 01:09:57,830
So to give a little context to that, when I got here in 2010, we were around the high 14%, almost 15% of the property tax spill as an example.

740
01:09:58,630 --> 01:10:03,630
And now we're at or maybe just below 9%, we're right around that mark.

741
01:10:04,290 --> 01:10:13,090
So what's happened is because we have not increased and I think this is a good thing.

742
01:10:13,090 --> 01:10:18,710
And we have not increased the tax levy proportionate with inflation over the last 15 years.

743
01:10:19,330 --> 01:10:26,550
So because of that, the actual rate that gets applied to whether it's a homeowner's tax bill or

744
01:10:26,550 --> 01:10:31,330
it's an office owner or an industrial owner, anyone's tax bill has gotten down.

745
01:10:31,330 --> 01:10:39,170
As you can see on the screen, we were over a dollar when we started and now we're down around 85 cents.

746
01:10:39,170 --> 01:10:44,450
That doesn't sound like a lot, but when you're talking about hundreds of thousands,

747
01:10:44,450 --> 01:10:50,590
if not millions of dollars of value, that adds up very quickly on a tax bill.

748
01:10:50,950 --> 01:10:53,810
17 million dollar, loving, you do that for seven, right?

749
01:10:54,110 --> 01:10:54,470
Correct.

750
01:10:54,930 --> 01:10:56,910
And there are two features of that, aren't there?

751
01:10:57,410 --> 01:11:00,370
Number one, there's the increase in value of each property, presumably.

752
01:11:01,010 --> 01:11:06,330
And number two, there's the increase in the number of properties that are taxed by the entity,

753
01:11:06,470 --> 01:11:08,150
because we have more properties joining our bill.

754
01:11:08,150 --> 01:11:09,030
Correct.

755
01:11:09,950 --> 01:11:10,070
Correct.

756
01:11:10,250 --> 01:11:14,790
So annexation and development allows us to build more EV.

757
01:11:15,470 --> 01:11:21,490
We, unlike other taxing districts, other taxing districts, levy a rate.

758
01:11:21,830 --> 01:11:25,090
We levy a dollar amount, municipalities too.

759
01:11:25,830 --> 01:11:32,610
And because of that, our levy is spread out across, you know, the taxable value that's

760
01:11:32,610 --> 01:11:35,690
available in the community and there's different classes that's kind of complicated.

761
01:11:37,430 --> 01:11:43,550
But I wanted to say that is when new development comes online or properties are annex and developed,

762
01:11:43,950 --> 01:11:51,490
that actually spreads out the cost over more payers or more value which ultimately brings down the rate.

763
01:11:51,870 --> 01:12:01,090
We've done that with record redevelopment in the village and overpaying the state mandated pension rate and all of our pension systems.

764
01:12:01,730 --> 01:12:09,750
Yes, and as you will see in 2025, we are working on pension funding strategies for you

765
01:12:10,510 --> 01:12:15,830
for you to come up as we approach the 2040 funding deadline.

766
01:12:16,250 --> 01:12:19,970
We want to make sure that we have the best strategies in place to meet those obligations.

767
01:12:20,250 --> 01:12:22,530
We have been funding above the actuarial levels.

768
01:12:23,090 --> 01:12:29,290
We have some of the best funded public safety pensions around, and we have the data to prove

769
01:12:29,290 --> 01:12:36,330
We're very proud of that, but obviously we want to make sure we're keeping pace with that, and we're meeting the funding targets for 20-40.

770
01:12:37,490 --> 01:12:38,150
Thank you.

771
01:12:38,450 --> 01:12:39,590
Thank you, Trustee Johnson.

772
01:12:40,450 --> 01:12:41,510
Thank you, Mr. President.

773
01:12:42,110 --> 01:12:45,250
I just wanted to speak really to the residents of Buffalo Grove.

774
01:12:45,830 --> 01:12:56,150
I think if you take the time to read the executive summary, or there's a chart that compares us to all of our peer municipalities.

775
01:12:57,090 --> 01:13:01,050
My feeling is that in Buffalo Grove, you get a lot of bang for your buck.

776
01:13:02,570 --> 01:13:06,370
We've rebuilt some of our major collector streets,

777
01:13:08,250 --> 01:13:11,090
largely with funds that don't come from the taxpayers.

778
01:13:11,810 --> 01:13:15,910
We're investing over 50 million in capital in this coming year,

779
01:13:17,850 --> 01:13:22,510
where we've got economic development going on all over the village,

780
01:13:22,510 --> 01:13:41,210
and I expect to see more, and all of that with keeping like we were just talking about the levy flat, which you may not see that decrease on your tax spell because of increasing value, but the rate at which your taxing has actually decreased.

781
01:13:41,210 --> 01:13:54,190
And we've also managed to maintain a AAA bond rating, which from my understanding we're in a group of just a handful of municipalities in the entire state of Illinois.

782
01:13:54,630 --> 01:14:09,130
Because the state of Illinois makes it a little more complicated to have the financial success that we have in Buffalo Grove because of not giving us the money that we should be getting or

783
01:14:09,130 --> 01:14:21,990
are placing unfunded mandates on us that cost us money and require us to spend money, yet they don't give us the funds to pay for those.

784
01:14:23,210 --> 01:14:36,130
So, and then lastly, I don't think people understand the pension crisis in the state of Illinois, but when we go down to Springfield and

785
01:14:36,130 --> 01:14:44,510
We see what our peer municipalities, how they fund their pension plans, and some of them are at 40%.

786
01:14:45,250 --> 01:14:52,290
And we talk about being in 85 to 88%, it's a significant difference.

787
01:14:52,950 --> 01:14:57,270
So to do all of this under duress is sort of how I feel.

788
01:14:57,570 --> 01:14:59,430
I think we're doing a great job.

789
01:14:59,430 --> 01:14:59,970
I appreciate it.

790
01:15:00,000 --> 01:15:28,940
We appreciate everything that our staff has done from the clerks all the way to the top because it's teamwork to get where we are today. So, I thank you. I think our residents should be very pleased with the village that they live in and the services they get, the safety they receive. They know they're always going to get water coming out of that tap and we're not really charging the heck out of them, like some other municipalities do. So, thank you.

791
01:15:28,940 --> 01:15:30,420
You know, thank you, Trustee Johnson.

792
01:15:30,780 --> 01:15:31,460
Trustee Bochek?

793
01:15:33,040 --> 01:15:34,460
Just real simple.

794
01:15:34,940 --> 01:15:37,440
I just wanted to say that, you know,

795
01:15:37,560 --> 01:15:41,360
it's kind of easy to hear zero tax-loving increase

796
01:15:41,360 --> 01:15:46,240
for six years, not realizing that there's pressure

797
01:15:46,240 --> 01:15:49,380
from outside, you know, our vehicle costs never go down.

798
01:15:49,960 --> 01:15:51,840
Our infrastructure costs never go down.

799
01:15:51,980 --> 01:15:55,340
There's unforeseeable things that come up

800
01:15:55,340 --> 01:15:56,400
that have to be addressed.

801
01:15:56,400 --> 01:16:04,540
And I just want to say how much I appreciate your creative solutions.

802
01:16:04,540 --> 01:16:13,580
We look for grants, we look for creative solutions, money that we're not currently using to get interest off of as another source of revenue.

803
01:16:14,760 --> 01:16:25,720
And in other words, we have a zero percent increase in our tax level because you are offsetting some of these

804
01:16:25,720 --> 01:16:36,140
It increases in cost with other sources to bring us to zero and thank you very much because I know it's a huge, huge effort and very much appreciated.

805
01:16:36,420 --> 01:16:36,760
Thank you.

806
01:16:36,940 --> 01:16:37,900
Thank you, Trustee Bojack.

807
01:16:38,780 --> 01:16:39,920
Any other comments or questions?

808
01:16:42,300 --> 01:16:42,740
Thank you.

809
01:16:42,940 --> 01:16:44,920
Thank you to everybody out in the audience.

810
01:16:46,040 --> 01:16:48,600
I know it's a major undertaking.

811
01:16:48,860 --> 01:16:54,980
We appreciate all the hard work and we'll keep this public hearing open until December 2nd,

812
01:16:54,980 --> 01:17:01,740
where we will actually have a vote on the 2025 budget,

813
01:17:01,920 --> 01:17:04,240
but thank you all so much for your hard work.

814
01:17:04,720 --> 01:17:05,640
It's much appreciated.

815
01:17:07,220 --> 01:17:09,940
And with that, we'll move on to public comment.

816
01:17:11,100 --> 01:17:12,900
Public comments limited to items

817
01:17:12,900 --> 01:17:14,620
that are not on the regular agenda.

818
01:17:14,800 --> 01:17:16,800
Is there anybody from the public like to be heard tonight?

819
01:17:18,220 --> 01:17:19,320
Doesn't look like it.

820
01:17:20,320 --> 01:17:21,860
So emotion is in order.

821
01:17:22,500 --> 01:17:22,900
So moved.

822
01:17:22,900 --> 01:17:23,840
Clerk,

823
01:17:25,920 --> 01:17:26,660
please call the roll.

824
01:17:28,730 --> 01:17:29,290
Aye.

825
01:17:30,950 --> 01:17:31,510
Aye.

826
01:17:31,930 --> 01:17:32,490
Aye.

827
01:17:34,110 --> 01:17:37,150
Thank you. This meeting is adjourned at 843.

828
01:17:37,650 --> 01:17:38,670
Thank you all so much.