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HomeMy WebLinkAboutT17-02 IP,,, Ordinance No. T17-02 AN ORDINANCE AMENDING THE 2001 BUDGET BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS : Section 1 . That th 2001 budget of the City of Elgin adopted in lieu of an appropriation ordinance be and is hereby amended in accordance with the schedule which is attached hereto and made a part hereof by reference . Section 2 . That this ordinance shall be in full force and effect from and after its passage . _ / % '1_4014e_ . E. Schock, Mayor Presented: May 22 , 2002 Passed: May 22 , 2002 Omnibus Vote : Yeas : 7 Nays : 0 Recorded: May 23 , 2002 * Published: Attest : Dolonna Mecum, City Clerk . EXHIBIT A CITY OF ELGIN, ILLINOIS SUMMARY AND ANALYSIS OF BUDGET FOR THE YEAR 2001 unaudited Adopted YTD (12/12) Amended 2001 2001 2001 Fund Budget Expenditures Difference Budget General Fund (010) Boards/Commissions $718,650 $713,659 $4,991 $713,659 City Clerk 186,312 185,015 1,297 $185,015 Emergency Operations 41,925 24,303 17,622 $24,303 Fire 9,532,356 10,106,485 ($574,129) 10,106,485 Analysis: In the 2001, the Fire Department was confronted with the following challenges that led to the department going over budget: -Due to numerous shift vacancies as the result of injuries, OT costs and regular personnel earnings exceed their budgeted allotment by$360,000. Training Academy expenses were not budgeted for and expenditures came in at$55,685 Human Resources 661,821 651,057 10,764 651,057 Legal 637,760 645,920 ($8,160) 645,920 Analysis: In the 2001, the Legal Department was confronted with the following challenges that led to the department going over budget: Personnel costs came in slightly more than expected. Mayor/Council 113,037 111,276 1,761 111,276 Office of the City Manager/Hemmens 2,465,722 2,529,225 ($63,503) 2,529,225 Analysis: In the 2001,the City Manager's Office was confronted with the following challenges that led to the department going over budget: -A Director of Communications was hired, yet this person was not provided with an appropriate budget. Many necessary marketing efforts (i.e. Boeing)were undertaken. This has been resolved for 2002. Police 18,663,977 19,700,734 ($1,036,757) 19,700,734 Analysis: In the 2001, the Police Department was confronted with the following challenges that led to the department going over budget: -Personnel expenditures in general due to 9/11 efforts, and increasing Police Pension costs -Additional expenditures for 9/11 Special Police Detail was offset by additional revenue to the General Fund. EXHIBIT A (con't.) CITY OF ELGIN, ILLINOIS SUMMARY AND ANALYSIS OF BUDGET FOR THE YEAR 2001 l 1jnaudited Adopted YTD (12/12) Amended 2001 2001 2001 Fund Budget Expenditures Difference Budget General Fund (010) (con't) Non-Departmental (includes cash) 3,386,451 1,558,407 1,828,044 1,558,407 Economic Develop. and Business Services 177,868 198,858 ($20,990) 198,858 Analysis: In the 2001, the Economic Development Department was confronted with the following challenges that led ti the department going over budget: -Costs relating to numerous property appraisals that were not budgeted for. Code Admin. and Development Services 2,803,889 2,707,051 96,838 2,707,051 Planning and Neighborhood Services 1,163,548 1,010,613 152,935 1,010,613 Finance 1,367,604 1,353,877 13,727 1,353,877 Management Information Systems 1,085,224 1,058,524 26,700 1,058,524 Purchasing 363,531 370,224 ($6,693) 370,224 Analysis: In the 2001,the Purchasing Department was confronted with the following challenges that led to the department going over budget: -Personnel costs came in slightly more than expected due to the use of temp. personnel to fill in for a clerk on sick General Services Administration 138,291 146,375 ($8,084) 146,375 Analysis: In the 2001,the General Services Department was confronted with the following challenges that led to the department going over budget: Monies for miscellaneous expenditures were errenously left out of the budget. Building Maintenance 1,219,411 1,346,283 ($126,872) 1,346,283 Analysis: In the 2001,the Building Maintenance Department was confronted with the following challenges that led to the department going over budget: -Monies that were originally budgeted for in 2000 were not spent until 2001, resulting in the budget shortfall; Parks &Recreation 5,553,419 5,449,043 104,376 5,449,043 Public Works 8,544,635 8,235,018 309,617 8,235,018 TOTAL $58,827,432 $58,103,948 $723,484 $58,103,948 EXHIBIT A (con't) CITY OF ELGIN, ILLINOIS SUMMARY AND ANALYSIS OF BUDGET FOR THE YEAR 2001 Adopted YTD (12/12) Amended 2001 2001 2001 Fund Budget Expenditures Difference Budget Special Revenue Funds 201 Public Benefit $758,010 $330,188 $427,822 $330,188 220 E911 Telephone System 1,853,360 505,682 1,347,678 505,682 230 Community Development Block Grant 2,302,200 1,097,549 1,204,651 1,097,549 240 Spring Street Parking District 86,880 60,000 26,880 60,000 250 Drug Asset Forfeiture 200,955 58,936 142,019 58,936 251 Auto Theft Task Force 421,687 388,486 33,201 388,486 252 Bureau of Justice Grant 195,638 32,096 163,542 32,096 260 S. Grove Special Tax Allocation 2,385,088 671,360 1,713,728 671,360 261 Dundee Special Tax Allocation 276,350 230,250 46,100 230,250 270 Fox Bluff Corporate Center 161,000 2,406,563 (2,245,563) 2,406,563 275 Elgin Riverboat 37,698,575 24,447,491 13,251,084 24,447,491 276 Elgin Riverboat Lease 8,381,410 5,702,169 2,679,241 5,702,169 280 Illinois Municipal Retirement 5,215,345 5,260,434 (45,089) 5,260,434 290 Motor Fuel Tax 3,182,805 2,629,723 553,082 2,629,723 295 Elgin Sports Complex 3,250,167 3,220,143 30,024 3,220,143 TOTAL $66,369,470 $47,041,070 $19,328,400 $47,041,070 r Debt Service 301 Corporate Bond Fund 10,982,400 17,666,261 (6,683,861) 17,666,261 TOTAL $10,982,400 $17,666,261 ($6,683,861) $17,666,261 Capital Improvement 340 Park Development Fund 300,000 184,226 115,774 184,226 350 Downtown Redevelopment 102,056 86,652 15,404 86,652 375 1995A GO Bond Projects 1,167,589 1,269,922 ($102,333) 1,269,922 376 1996A GO Bond Projects 40,000 243,077 ($203,077) 243,077 378 Tyler Creek 1,060,000 293,788 766,212 293,788 385 Capital Improvement 214,707 26,128 188,579 26,128 395 1995 GO Bond Projects 1,220,000 572,906 647,094 572,906 396 1996 GO Bond Projects 5,200,000 1,827,902 3,372,098 1,827,902 398 1998 GO Bond Projects 470,000 82,480 387,520 82,480 399 1999 GO Bond Projects 700,000 511,077 188,923 511,077 380 2000 GO Bond Projects 22,845,920 10,770,519 12,075,401 10,770,519 381 2001 GO Bond Projects 7,425,000 473,601 6,951,399 473,601 TOTAL $40,745,272 $16,342,278 $24,402,994 $16,342,278 r EXHIBIT A (con't) CITY OF ELGIN, ILLINOIS SUMMARY AND ANALYSIS OF BUDGET FOR THE YEAR 2001 rbk 2001 2001 2001 Fund Budget Expenditures Difference Budget Enterprise Funds 401 Water Operating 17,088,116 15,923,361 $1,164,755 15,923,361 420 Water Development 1,249,949 272,744 977,205 272,744 430 Sewer Operating 3,823,760 3,493,425 $330,335 3,493,425 440 Sewer Development 2,102,750 81,182 2,021,568 81,182 501 Cemetery Operating 481,174 441,680 39,494 441,680 540 Golf Operating 1,471,881 1,443,695 $28,186 1,443,695 TOTAL $26,217,630 $21,656,087 4,561,543 21,656,087 Internal Service 601 Equipment Replacemnt 2,530,970 2,279,578 251,392 2,279,578 630 Risk Management 5,645,439 1,948,976 3,696,463 1,948,976 635 Medical Insurance 6,004,359 4,503,852 1,500,507 4,503,852 TOTAL $14,180,768 $8,732,406 5,448,362 8,732,406 Trust and Agency 520 Cemetery Perpetual Care 132,500 108,343 24,157 108,343 701 Police Pension 3,695,585 2,736,674 958,911 2,736,674 e'* 711 Fire Pension 3,346,530 2,147,655 1,198,875 2,147,655 TOTAL $7,174,615 $4,992,672 2,181,943 4,992,672 TOTAL GROSS EXPENDITURES $224,497,587 $174,534,722 $49,962,865 $174,534,722 Ordinance No. T17-02 AN ORDINANCE AMENDING THE 2001 BUDGET BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS : Section 1 . That th 2001 budget of the City of Elgin adopted in lieu of an appropriation ordinance be and is hereby amended in accordance with the schedule which is attached hereto and made a part hereof by reference . Section 2 . That this ordinance shall be in full force and effect from and after its passage. s/ Ed Schock Ed Schock, Mayor Presented: May 22 , 2002 Passed: May 22 , 2002 Omnibus Vote : Yeas : 7 Nays : 0 Recorded: May 23 , 2002 Published: Attest : s/ Dolonna Mecum Dolonna Mecum, City Clerk ' 1 EXHIBIT A ' CITY OF ELGIN, ILLINOIS SUMMARY AND ANALYSIS OF BUDGET FOR THE YEAR 2001 Unaudited Adopted YTD (12/12) Amended 2001 2001 2001 Fund Budget Expenditures Difference Budget General Fund (010) Boards/Commissions $718,650 $713,659 $4,991 $713,659 City Clerk 186,312 185,015 1,297 $185,015 Emergency Operations 41,925 24,303 17,622 $24,303 Fire 9,532,356 10,106,485 ($574,129) 10,106,485 nal sis: In the 2001, the Fire Department was confronted with the following challenges that led to the department •oing over budget: Due to numerous shift vacancies as the result of injuries, OT costs and regular personnel earnings exceed their budgeted allotment by$360,000. -Training Academy expenses were not budgeted for and expenditures came in at$55,685 Human Resources 661,821 651,057 10,764 651,057 Legal 637,760 645,920 ($8,160) 645,920 nalysis: In the 2001, the Legal Department was confronted with the following challenges that led to the department oing over budget: Personnel costs came in slightly more than expected. Mayor/Council 113,037 111,276 1,761 111,276 Office of the City Manager/Hemmens 2,465,722 2,529,225 ($63,503) 2,529,225 nal sis: In the 2001, the City Manager's Office was confronted with the following challenges that led to the epartment going over budget: A Director of Communications was hired,yet this person was not provided with an appropriate budget. Many necessary marketing efforts (i.e. Boeing)were undertaken. This has been resolved for 2002. Police _ 18,663,977 19,700,734 ($1,036,757) 19,700,734 nal sis: In the 2001,the Police Department was confronted with the following challenges that led to the department going over budget: Personnel expenditures in general due to 9/11 efforts, and increasing Police Pension costs Additional expenditures for 9/11 Special Police Detail was offset by additional revenue to the General Fund. EXHIBIT A (con't.) CITY OF ELGIN, ILLINOIS SUMMARY AND ANALYSIS OF BUDGET FOR THE YEAR 2001 Unaudited Adopted YTD(12/12) Amended 2001 2001 2001 Fund Budget Expenditures Difference Budget General Fund(010) (con't) Non-Departmental (includes cash) 3,386,451 1,558,407 1,828,044 1,558,407 Economic Develop.and Business Services 177,868 198,858 ($20,990) 198,858 Analysis: In the 2001,the Economic Development Department was confronted with the following challenges that led t the department going over budget: -Costs relating to numerous property appraisals that were not budgeted for. Code Admin. and Development Services 2,803,889 2,707,051 96,838 2,707,051 Planning and Neighborhood Services 1,163,548 1,010,613 152,935 1,010,613 Finance 1,367,604 1,353,877 13,727 1,353,877 Management Information Systems 1,085,224 1,058,524 26,700 1,058,524 Purchasing 363,531 370,224 ($6,693) 370,224 Analysis: In the 2001,the Purchasing Department was confronted with the following challenges that led to the department going over budget: I-Personnel costs came in slightly more than expected due to the use of temp. personnel to fill in for a clerk on sick General Services Administration 138,291 146,375 ($8,084) 146,375 Analysis: In the 2001,the General Services Department was confronted with the following challenges that led to the department going over budget: -Monies for miscellaneous expenditures were errenously left out of the budget. Building Maintenance 1,219,411 1,346,283 ($126,872) 1,346,283 Analysis: In the 2001,the Building Maintenance Department was confronted with the following challenges that led to the department going over budget: -Monies that were originally budgeted for in 2000 were not spent until 2001, resulting in the budget shortfall; Parks&Recreation 5,553,419 5,449,043 104,376 5,449,043 Public Works 8,544,635 8,235,018 309,617 8,235,018 TOTAL $58,827,432 $58,103,948 $723,484 $58,103,948 • ' . EXHIBIT A (con't) CITY OF ELGIN, ILLINOIS SUMMARY AND ANALYSIS OF BUDGET FOR THE YEAR 2001 Adopted YTD(12/12) Amended 2001 2001 2001 Fund Budget Expenditures Difference Budget Special Revenue Funds 201 Public Benefit $758,010 $330,188 $427,822 $330,188 220 E911 Telephone System 1,853,360 505,682 1,347,678 505,682 230 Community Development Block Grant 2,302,200 1,097,549 1,204,651 1,097,549 240 Spring Street Parking District 86,880 60,000 26,880 60,000 250 Drug Asset Forfeiture 200,955 58,936 142,019 58,936 251 Auto Theft Task Force 421,687 388,486 33,201 388,486 252 Bureau of Justice Grant 195,638 32,096 163,542 32,096 260 S. Grove Special Tax Allocation 2,385,088 671,360 1,713,728 671,360 261 Dundee Special Tax Allocation 276,350 230,250 46,100 230,250 270 Fox Bluff Corporate Center 161,000 2,406,563 (2,245,563) 2,406,563 275 Elgin Riverboat 37,698,575 24,447,491 13,251,084 24,447,491 276 Elgin Riverboat Lease 8,381,410 5,702,169 2,679,241 5,702,169 280 Illinois Municipal Retirement 5,215,345 5,260,434 (45,089) 5,260,434 290 Motor Fuel Tax 3,182,805 2,629,723 553,082 2,629,723 295 Elgin Sports Complex 3,250,167 3,220,143 30,024 3,220,143 TOTAL $66,369,470 $47,041,070 $19,328,400 $47,041,070 Debt Service 301 Corporate Bond Fund 10,982,400 17,666,261 (6,683,861) 17,666,261 TOTAL $10,982,400 $17,666,261 ($6,683,861) $17,666,261 Capital Improvement 340 Park Development Fund 300,000 184,226 115,774 184,226 350 Downtown Redevelopment 102,056 86,652 15,404 86,652 375 1995A GO Bond Projects 1,167,589 1,269,922 ($102,333) 1,269,922 376 1996A GO Bond Projects 40,000 243,077 ($203,077) 243,077 378 Tyler Creek 1,060,000 293,788 766,212 293,788 385 Capital Improvement 214,707 26,128 188,579 26,128 395 1995 GO Bond Projects 1,220,000 572,906 647,094 572,906 396 1996 GO Bond Projects 5,200,000 1,827,902 3,372,098 1,827,902 398 1998 GO Bond Projects 470,000 82,480 387,520 " 82,480 399 1999 GO Bond Projects 700,000 511,077 188,923 511,077 380 2000 GO Bond Projects 22,845,920 10,770,519 12,075,401 10,770,519 381 2001 GO Bond Projects 7,425,000 473,601 6,951,399 473,601 TOTAL $40,745,272 $16,342,278 $24,402,994 $16,342,278 EXHIBIT A (con't) CITY OF ELGIN, ILLINOIS SUMMARY AND ANALYSIS OF BUDGET FOR THE YEAR 2001 2001 2001 2001 Fund Budget Expenditures Difference Budget Enterprise Funds 401 Water Operating 17,088,116 15,923,361 $1,164,755 15,923,361 420 Water Development 1,249,949 272,744 977,205 272,744 430 Sewer Operating 3,823,760 3,493,425 $330,335 3,493,425 440 Sewer Development 2,102,750 81,182 2,021,568 81,182 501 Cemetery Operating 481,174 441,680 39,494 441,680 540 Golf Operating 1,471,881 1,443,695 $28,186 1,443,695 TOTAL $26,217,630 $21,656,087 4,561,543 21,656,087 Internal Service 601 Equipment Replacemnt 2,530,970 2,279,578 251,392 2,279,578 630 Risk Management 5,645,439 1,948,976 3,696,463 1,948,976 635 Medical Insurance 6,004,359 4,503,852 1,500,507 4,503,852 TOTAL $14,180,768 $8,732,406 5,448,362 8,732,406 Trust and Agency 520 Cemetery Perpetual Care 132,500 108,343 24,157 108,343 701 Police Pension 3,695,585 2,736,674 958,911 2,736,674 711 Fire Pension 3,346,530 2,147,655 1,198,875 2,147,655 TOTAL $7,174,615 $4,992,672 2,181,943 4,992,672 TOTAL GROSS EXPENDITURES $224,497,587 $174,534,722 $49,962,865 $174,534,722 OFAgenda Item No. § City of Elgin 1,7 I,I,,,,, - E Er , I Ipl. Ili 0 May 3 , 2002 G l,sl ��I. � rrt . " rflrl Ul;l 111'� '' TO: Mayor and Members of the City Council NI ' i111 FINANCIALLY STABLE CITY GOVERNMENT FROM: Olufemi Folarin, Interim City Manager EF FIC IENT SERVICES. ANDQUALITY INFRASTRUCTURE SUBJECT: 2001 Budget Amendments PURPOSE The purpose of this memorandum is to provide the Mayor and members of City Council with information regarding proposed amendments to the 2001 Budget . BACKGROUND Budget amendments are brought before the City Council each year for consideration as required by Illinois Statutes . These adjustments are necessary in order to implement City Council decisions made during the year and to make adjustments to reflect actual financial and programmatic changes which occurred. While much of this information has been previously reported to the City Council , this memorandum is designed to provide supplemental information regarding the proposed 2001 budget amendments . Due to the fact that the City is required to use fund accounting, which breaks the budget up into several funds, the budget must be amended to reflect the financial activity undertaken in the previous year. Due to the planning nature of municipal budgeting, it is impossible to predict with complete accuracy the funding levels necessary at the fiscal year' s inception. By amending the City budget in a retroactive fashion, the amended budget can reflect the actual funding requirements needed by the City. If an account expends over its budgeted amount, it is amended. However, if it comes in under budget, it may or may not be amended. Amendments to the 2001 Budget The attached includes the recommended amendments to the 2001 budget and a description of each budget adjustment . These amendments essentially reflect the estimates provided to the City Council in the Proposed 2002 Budget and 2002-2006 Financial Plan. 20'01 Budget Amendments May 3 , 2002 Page 2 General Fund The City Council was provided with a great deal of information projecting the financial position of this fund. As you are aware, 2001 was a challenging year for the City of Elgin. While revenues met budget targets, primarily due to strong vehicle sales in the 4th Quarter, expenditures came in at a higher level than anticipated during 2001 for selected departments (please refer to Exhibit A) . This situation reduced the City' s operating surplus by over 1 . 8 million dollars (please refer to Exhibit B) . It should be noted that in all cases, the increase in expenditures was either offset by revenue increases (i .e . police special detail overtime) or circumstances beyond the control of the respective department . The City of Elgin has been in the fortunate position of maintaining an operating surplus for the last several years as the City has enjoyed significant economic prosperity. Due to this reduction in the operating surplus, longer-term projections have placed pressure on this quasi-revenue source . As you will see in the attached, at this point, it is projected that the City will experience an operating deficit in 2002 (please refer to Exhibit B) . However, numerous programs (i .e . Twenty-Point Plan) have been established in order to address the situation and has been put into place for 2002 and beyond (please refer to Exhibit C) . Staff is confident that this operating deficit, as currently projected, will be eliminated resulting from these efforts . It should be further mentioned, that the City still retains a General Fund Cash Reserve exceeding 16% of total General Fund Revenue. It is projected that the City will not have to tap this precious resource; however, if the need arises this serves as an excellent financial safety-net . Special Revenue Funds In total, the special revenue funds were $19, 328, 400 under budget . The Fox Bluff Corporate Center exceeded the budgeted amount due to expenditures planned for 2000 that were not finalized until 2001 . This was not problematic as unencumbered cash was available to address the issue . Debt Service The Corporate Bond faced a similar situation as that of Fox Bluff . Once again, expenditures planned for 2000 were not expended until 2001 . This accounts for the difference. • 2001 Budget Amendments May 3 , 2002 Page 3 Capital Improvements The only amendments needed in the capital improvement funds are the addition of an appropriation for the 1995A Bond Fund (375 Fund) and 1996A Bond Fund (Fund 376) , for $102, 333 and $203 , 077, respectively. For Fund 375, this is being made due to the completion of some work which was expected to be completed in 2000 . For Fund 397, there were various water and sewer projects to be completed that were anticipated to have been drawn from another bond fund. In both cases, there was sufficient cash to cover the projects . Enterprise Funds All of the enterprise funds came in under budget . Internal Services All of the internal service funds came in under budget . Trust and Agency All of the trust and agency funds came in under budget . COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED None ( ij FINANCIAL IMPACT t The budget amendments will adjust the 2001 Budget to reflect the financial demands placed on the organization. Sufficient revenues exist to fund the proposed changes . LEGAL IMPACT None ALTERNATIVES 1 . The City Council could choose not to amend the 2001 budget . 2 . Amend the 2001 Budget . RECOMMENDATION It is recommended that the City Council adopt the proposed amendments to the 2001 budget . Respectfully submitted, a � Olufemi 1'arin Inte 'm ty Manager SRS :srs Attachments EXHIBIT A CITY OF ELGIN, ILLINOIS SUMMARY AND ANALYSIS OF BUDGET FOR THE YEAR 2001 .!audited Adopted YTD (12/12) Amended 2001 2001 2001 Fund Budget Expenditures Difference Budget General Fund (010) Boards/Commissions $718,650 $713,659 $4,991 $713,659 City Clerk 186,312 185,015 1,297 $185,015 Emergency Operations 41,925 24,303 17,622 $24,303 _9.532.356 __10.106.485 (S574.1291 1 nal sis: In the 2001,the Fire Department was confronted with the following challenges that led to the department oing over budget: Due to numerous shift vacancies as the result of injuries, OT costs and regular personnel earnings exceed their budgeted allotment by$360,000. Training Academy expenses were not budgeted for and expenditures came in at$55,685 Per a contractual arrangement, medical and laboratory costs exceed the budget by$51,310 Human Resources 661,821 651,057 10,764 651,057 Legal 637,760 645,920 ($8,160) 645,920 nal sis: In the 2001,the Legal Department was confronted with the following challenges that led to the department going over budget: Personnel costs came in slightly more than expected. Mayor/Council 113,037 111,276 1,761 111,276 Office of the City Manager/Hemmens 2,465,722 2,529,225 ($63,503) 2,529,225 Analysis: In the 2001,the City Manager's Office was confronted with the following challenges that led to the department going over budget: -A Director of Communications was hired, yet this person was not provided with an appropriate budget. Many necessary marketing efforts (i.e. Boeing)were undertaken. This has been resolved for 2002. Police 18,663,977 19,700,734 ($1,036,757) 19,700,734 nal sis: In the 2001,the Police Department was confronted with the following challenges that led to the department going over budget: Personnel expenditures in general due to 9/11 efforts, and increasing Police Pension costs Additional expenditures for 9/11 Special Police Detail was offset by additional revenue to the General Fund. Note:Due to the above, the overage is not the result of budget mis-management. EXHIBIT A (con't.) CITY OF ELGIN, ILLINOIS SUMMARY AND ANALYSIS OF BUDGET FOR THE YEAR 2001 ,audited Adopted YTD(12/12) Amended 2001 2001 2001 Fund Budget Expenditures Difference Budget General Fund (010)(con't) Non-Departmental(includes cash) 3,386,451 1,558,407 1,828,044 1,558,407 Economic Develop. and Business Services 177,868 198,858 ($20,990) 198,858 Analysis: In the 2001,the Economic Development Department was confronted with the following challenges that led the department going over budget: -Costs relating to numerous property appraisals that were not budgeted for. Code Admin. and Development Services 2,803,889 2,707,051 96,838 2,707,051 Planning and Neighborhood Services 1,163,548 1,010,613 152,935 1,010,613 Finance 1,367,604 1,353,877 13,727 1,353,877 Management Information Systems 1,085,224 1,058,524 26,700 1,058,524 Purchasing • 363,531 370,224 ($6,693) 370,224 Analysis: In the 2001,the Purchasing Department was confronted with the following challenges that led to the department going over budget: -Personnel costs came in slightly more than expected due to the use of temp. personnel to fill in for a clerk on sick leave. General Services Administration 138,291 146,375 ($8,084) 146,375 Analysis: In the 2001,the General Services Department was confronted with the following challenges that led to the department going over budget: - Monies for miscellaneous expenditures were errenously left out of the budget. Building Maintenance 1,219,411 1,346,283 ($126,872) 1,346,283 Analysis: In the 2001,the Building Maintenance Department was confronted with the following challenges that led to the department going over budget: - Monies that were originally budgeted for in 2000 were not spent until 2001, resulting in the budget shortfall; however, the 2000 allocation was not spent and thus remained in cash. Parks&Recreation 5,553,419 5,449,043 104,376 5,449,043 Public Works 8,544,635 8,235,018 309,617 8,235,018 TOTAL $58,827,432 $58,103,948 $723,484 $58,103,948 EXHIBIT A (con't) CITY OF ELGIN, ILLINOIS SUMMARY AND ANALYSIS OF BUDGET FOR THE YEAR 2001 Adopted YTD(12/12) Amended 2001 2001 2001 Fund Budget Expenditures Difference Budget Special Revenue Funds 201 Public Benefit $758,010 $330,188 $427,822 $330,188 220 E911 Telephone System 1,853,360 505,682 1,347,678 505,682 230 Community Development Block Grant 2,302,200 1,097,549 1,204,651 1,097,549 240 Spring Street Parking District 86,880 60,000 26,880 60,000 250 Drug Asset Forfeiture 200,955 58,936 142,019 58,936 251 Auto Theft Task Force 421,687 388,486 33,201 388,486 252 Bureau of Justice Grant 195,638 32,096 163,542 32,096 260 S.Grove Special Tax Allocation 2,385,088 671,360 1,713,728 671,360 261 Dundee Special Tax Allocation 276,350 230,250 46,100 230,250 270 Fox Bluff Corporate Center 161,000 2,406,563 (2,245,563) 2,406,563 275 Elgin Riverboat 37,698,575 24,447,491 13,251,084 24,447,491 276 Elgin Riverboat Lease 8,381,410 5,702,169 2,679,241 5,702,169 280 Illinois Municipal Retirement 5,215,345 5,260,434 (45,089) 5,260,434 290 Motor Fuel Tax 3,182,805 2,629,723 553,082 2,629,723 295 Elgin Sports Complex 3,250,167 3,220,143 30,024 3,220,143 TOTAL $66,369,470 $47,041,070 $19,328,400 $47,041,070 Debt Service 301 Corporate Bond Fund 10,982,400 17,666,261 (6,683,861) 17,666,261 TOTAL $10,982,400 $17,666,261 ($6,683,861) $17,666,261 Capital Improvement 340 Park Development Fund 300,000 184,226 115,774 184,226 350 Downtown Redevelopment 102,056 86,652 15,404 86,652 375 1995A GO Bond Projects 1,167,589 1,269,922 ($102,333) 1,269,922 376 1996A GO Bond Projects 40,000 243,077 ($203,077) 243,077 378 Tyler Creek 1,060,000 293,788 766,212 293,788 385 Capital Improvement 214,707 26,128 188,579 26,128 395 1995 GO Bond Projects 1,220,000 572,906 647,094 572,906 396 1996 GO Bond Projects 5,200,000 1,827,902 3,372,098 1,827,902 398 1998 GO Bond Projects 470,000 82,480 387,520 82,480 399 1999 GO Bond Projects 700,000 511,077 188,923 511,077 380 2000 GO Bond Projects 22,845,920 10,770,519 12,075,401 10,770,519 381 2001 GO Bond Projects 7,425,000 473,601 6,951,399 473,601 • TOTAL $40,745,272 $16,342,278 $24,402,994 $16,342,278 • EXHIBIT A (con't) CITY OF ELGIN, ILLINOIS SUMMARY AND ANALYSIS OF BUDGET FOR THE YEAR 2001 2001 2001 2001 Fund Budget Expenditures Difference Budget Enterprise Funds 401 Water Operating 17,088,116 15,923,361 $1,164,755 15,923,361 420 Water Development 1,249,949 272,744 977,205 272,744 430 Sewer Operating 3,823,760 3,493,425 $330,335 3,493,425 440 Sewer Development 2,102,750 81,182 2,021,568 81,182 501 Cemetery Operating 481,174 441,680 39,494 441,680 540 Golf Operating 1,471,881 1,443,695 $28,186 1,443,695 TOTAL $26,217,630 $21,656,087 4,561,543 21,656,087 Internal Service 601 Equipment Replacemnt 2,530,970 2,279,578 251,392 2,279,578 630 Risk Management 5,645,439 1,948,976 3,696,463 1,948,976 635 Medical Insurance 6,004,359 4,503,852 1,500,507 4,503,852 TOTAL $14,180,768 $8,732,406 5,448,362 8,732,406 Trust and Agency 520 Cemetery Perpetual Care 132,500 108,343 24,157 108,343 701 Police Pension 3,695,585 2,736,674 958,911 2,736,674 711 Fire Pension 3,346,530 2,147,655 1,198,875 2,147,655 TOTAL $7,174,615 $4,992,672 2,181,943 4,992,672 TOTAL GROSS EXPENDITURES $224,497,587 $174,534,722 $49,962,865 $174,534,722 • . Exhibit B Updated General Fund Base Budget Projections 2001-2006 2001 2002 2003 2004 2005 2006 Actual Adopted Projected Projected Projected Projected P'fi tv.:6 ..... (unaudited) .- Sales Tax $15,521,807 $15,218,400 $15,979,320 $16,778,286 $17,617,200 $18,498,060 Property Tax 16,627,194 17,020,000 18,325,000 19,525,000 20,350,000 21,150,000 Income Tax,etc. 6,615,790 6,883,000 7,158,320 7,444,653 7,742,439 8,052,136 Charges for 3,461,940 2,365,280 2,459,891 2,539,838 2,622,382 2,807,610 Service Licenses,Permits 2,115,239 2,105,575 2,454,991 2,558,972 2,648,782 2,741,843 and Fines Transfers In 5,979,284 6,609,000 7,005,540 7,233,220 7,468,300 7,711,019 Operating 3,199,122 1,352,163 0 376,466 1,950,368 4,217,714 Surplus Other Revenues 4,733,734 4,931,430 5,718,353 6,188,064 6,553,636 7,015,727 Riverboat 1,200,000 1,344,000 1,387,680 1,432,780 1,479,345 1,527,424 Transfer for Vehicle Sticker 1ota1 $59,454,110 $57,828,848 $60,489,095 $64,077,279 $68,432,452 $73,721,533 BEarnenefitsings and $43,092,296 $40,795,540 $42,223,384 $43,701,202 $45,230,744 $46,813,820 Commodities and 1,801,935 1,422,450 1,458,011 1,501,752 1,546,804 1,593,208 Supplies Contractual 10,391,955 9,514,960 9,752,834 10,045,419 10,346,782 10,657,185 Services Other Expenses 964,676 590,580 605,345 623,504 642,210 661,477 Contingencies 235,411 625,000 465,750 482,209 499,408 517,382 Transfers Out 765,364 5,430,160 5,567,990 5,735,030 5,907,081 6,084,293 Capital Expense 850,310 38,170 39,315 40,495 41,709 42,961 Total S58,101,947 $58,416,860 $60,112,629 $62,129,611 $64,214,738 $66,370,326 Expenditures Operating 1,352,163 ($588,012)* 376,466 1,950,368 4,217,714 $7,351,207 Position Year-end Cash $9,690,238 $9,691,357 $9,666,110 $9,959,376 $10,293,622 $10,639,163 Reserve %of Total 16.34% 16.59% 16.08% 16.03% 16.03% 16.03% Expenditures *A 2002 Mid-Year Budget Review Session will review YTD revenues and expenditures in order to make the necessary adjustments to eliminate this operating deficit. EXHIBIT C UPDATE ON THE TWENTY (20) POINT PLAN FOR 2001 AND 2002 ORIGINALLY ISSUED: OCTOBER 17, 2002 The City of Elgin has, in recent years, provided a great amount of autonomy to its departments in the administration of their budgets . Although these departments have been excellent stewards of their allotted fund s, present economic conditions demand a higher level of scrutiny and a stronger and more centralized control . While the City remains financially strong, the general fund is currently facing reduced revenues as a result of the recession. Sales taxes, hotel/motel taxes and state shared revenues will realize reductions in 2001 and 2002 . Furthermore, in certain areas, expenditures have increased by a greater than anticipated amount . In order to be pro-active duringthis time of budget retrenchment, the following g mandates are hereby put into place : 1 . For the remainder of 2001, all departments are being requested to stay within their year-end estimated amount as opposed to the budgeted amount . Thus, the estimated amount for 2001 as established by the Budget Officer, is the new budget amount . Please make every effort to stay within these established amounts . Status Report: Completed and will continue into 2002 (SRS) . 2 . Expenditure control will now be effective at the "line-item" level as opposed to the division. Meaning that, no single line item will be allowed to go over the budgeted amount until an appropriate transfer has been made . In furtherance of this, purchase order approval will be removed from the department level as it relates to accounts over budget . The appropriate transfers can be made if a request is made to the Budget Officer. Status Report: Completed and is the new standard from this point forward (SRS) . 3 . Starting in 2002, there will be quarterly financial meetings between the department heads, the Fiscal Services Manager and the Budget Officer. At this time, all accounts will be reviewed to insure budgetary control . Status Report: The initial meetings will take place during April, 2002 (SRS) . • Update on the Twenty Point Plan April 11, 2002 - Page 2 4 . Starting in 2002, the general fund financial plan will designate several expenditures to be budgeted for the first and second halves of 2002 . Meaning that, if the given 2002 revenue projections hold the expenditures will be made . If not, they may be postponed. Status Report: Completed and is this will remain as the new practice from this point forward (SRS) . 5 . Starting in 2002 , there will be a midyear budget review session by the Budget Team. At this time, the Budget Officer in conjunction with the Fiscal Services Manager will provide an update on the current state of expenditures and revenue as it pertains to the adopted 2002 Budget . At this time, the Budget Team may provide a recommendation to the City Manager regarding upward or downward adjustments to the 2002 Budget . Status Report: Will be conducted in early July, 2002 and will be presented to the City Council (SRS) . 6 . All Base Budgets for 2002 will be reduced. Status Report: Completed. The Base Budget was reduced in the general fund by approximately $1,000, 000 (SRS) . 7 . Effective immediately, all requests for out-of-state travel in 2002 must be expressly approved by the City Manager' s Office . All requests should be forwarded to the City Manager with an explanation of need from the Department Head or Group Manager. Status Report: Completed and is the new standard from this point forward (SRS) . 8 . There will not be any increases in the agency funding amounts . All requests for special events funding must be presented to the City Manager' s Office. Status Report: Completed and will be recommended to the City Council for the 2003 Budget (SRS) . 9 . All cell-phone and telephone use will be examined. In addition, it is requested that the Director of Purchasing move forward with a project to consolidate the City' s cell-phone • Update on the Twenty Point Plan April 11, 2002 - Page 3 accounts and look for less costly long-distance-distance service . Status Report: A new long-distance calling plan has been put into place which will save the City over $20, 000 per annum in General Fund Revenues. Cell-phone use is currently being examined. (SRS) . 10 . With the assistance of the Director of Purchasing, all departments have done an excellent job at reducing the City' s costs through bulk purchasing efforts . These efforts must continue and it is requested that all departments work with the Purchasing Director in support of this on-going effort . Status Report: On-going and will continue, a recent example has been the efforts to consolidate the city's document reproduction function (SRS) . 11 . All efforts to reduce health care expenditures will be examined. It is requested that the Director of Human Resources move forward with all efforts to control healthcare costs, including the provision of a prescription drug program. Status Report: Completed and is the new standard from this point forward. It is estimated that savings from the drug program are estimated at $35,000 per annum (SRS) . 12 . All departments must prepare a detailed analysis of overtime and methods for reduction by December 15, 2001 . Further information in guiding this effort will be provided. Status Report: This is still in process, work remains to be completed (SRS) . 13 . No furniture or office equipment will be replaced in 2002, unless it is an item beyond repair. Status Report: Due to employee reorganization, an exception has been made to this mandate for the time-being. However, the expenditures are less than $5, 000 (SRS) . 14 . Departments will retain their authorization to spend $5000 without the City Manager' s approval . However, it is requested that increased scrutiny be placed on all expenditures. • Update on the Twenty Point Plan April 11, 2002 - Page 4 Status Report: Completed and is the new standard from this point forward (SRS) . • 15 . A three (3) month attrition policy for all non-sworn personnel will be established for 2002 . Meaning that, unless directed otherwise, positions will not be filled until a three (3) month vacancy period has passed. This will provide for cost savings . Status Report: Completed and is the new standard from this point forward (SRS) . 16 . The Community Development Group has done an excellent job of utilizing its fiscal impact analysis in examining the financial benefits of future development . This effort should continue and be coordinated with the Fiscal Services Manager and Budget Officer for a complete review of the costs and benefits of each large scale development . Status Report: The completion of a second year of a "Growth Budget" Analysis has been put into place in order to further refine the concepts presented in 2001(SRS) . 17 . It is requested the Budget Officer and Fiscal Services Manager continue to identify expenditure trends related to growth in coordination with the respective departments . Status Report: With the implementation of the 20 Point Plan, the Fiscal Services Manager and Budget Officer have been working closely to identify expenditure patterns and cost savings. This will continue (SRS) . 18 . A performance measurement program will be implemented and coordinated by the City Manager' s Office. This effort will assist in answering the question of how the organization is performing as opposed to what we are spending and producing. This effort will be utilized to enhance the operational efficiency of the organization. It will also demonstrate our commitment to the highest levels of performance and service to Update on the Twenty Point Plan April 11, 2002 - Page 5 the community. Further information in guiding this effort will be provided in the near future. Status Report: The City has sent in its application to join the International City/County Management Association's Performance Measurement Consortium. A tentative work schedule has been put into place and the effort will be coordinated by the Management Assistant. (SRS) . 19 . A cross departmental task force will be established to examine methods of alternative service deployment as it relates to City services . This effort will rest on creativity as we seek to expand our revenue base. Involvement by employees at all levels will be vital to this endeavor. This was a major topic of discussion by the City Council at its June 26, 2001 retreat . Further information in guiding this effort will be provided in the near future . Status Report: The City has retained the services of a Process Improvement Consultant in order to meet this mandate. Efforts will begin in earnest in May, 2002(SRS) . 20 . The City must continue to identify those requests that are community "needs" versus "wants" . This distinction will become increasingly important during the recession. Status Report: This is the new standard from this point forward (SRS) . If you have any questions, please call . Thank you. Respectfully submitted, Sean R. Stegall Assistant City Manager