City of Lockport, Illinois FISCAL YEAR 2017 BUDGET City of Lockport, Illinois

General discussion & next steps The budget was prepared by the Finance Department, reviewed with each Department Head and Elected Official in August and September Made available to the public Public Hearing to be held November 2nd Seek Council approval November 16th

BUDGET SUMMARY – BY FUND The City is planning to draw down additional, available reserves from the: General Fund, MFT Fund, Capital Projects Fund and Water & Sewer Fund. This will provide Lockport with funds for additional Infrastructure Projects, while retaining a strong Fund (Equity) Balance. The City will remain within the parameters of its self-imposed Fund Balance Policy.

General Fund Revenues & Expenses Property Taxes make up the largest share of General Fund Revenues. The City’s portion of a tax bill is approximately 10%. Expense: The largest amount allocated to Police, followed by Public Works, & Administration

General Fund - Highlights The General Fund planned draw down of excess reserves $3,150,000 for Capital Ending General Fund balance 4 months = to Policy Property Tax will be discussed at November meeting Income Tax Revenue not reduced by State budgeted at expected level Dissolution of Central Square Recognition of Rental Income Renovation Expense Relocation of CED Continued operating expenses Pension: Police: 58% funded IMRF: 85% funded Expense per Actuary with potential for additional buy down

General Fund Operating Expenses - Highlights Bricks & Mortar Façade 50/50 Grant & Code Compliance Community Room at Police Department Central Square Renovation Consultants Development Engineer Economic Development Consultant Attorneys, Actuary, Misc. Consultants Events Central Square Festivities Summer Art Series Old Canal Days

OTHER FUNDS

OTHER FUNDS GARBAGE FUND The City’s Garbage operations are provided by Waste Management. Revenues - monthly garbage collection rate Expenditures – contract with Waste Management ends 10/31/2018 Small increase each November TIF FUND Created for Downtown and Star Business Park Revenues -Property Tax Expenses - Will not be frequent until additional resources are Realized in Fund

Water & Sewer Revenue and Expense Expense Breakdown Operations 40% Projects 55% Revenue breakdown User Fees 57% Developer Reimbursements 17%

Water/Sewer Funds - Highlights The Water and Sewer Fund is a balanced budget. Repay $125,000 to the General Fund for 2008 loan The Water and Sewer Fund will drawdown excess Fund Balance by $7,417,500 in 2017 $13,694,000 projects, engineers and consultants Debt 2 existing IEPA loans 2012 Alternative Revenue Bond (pro-rated with Streets) New IEPA low interest loan for Iron Removal Facility on Well 14

EMPLOYEE OVERVIEW

Expense breakdown Payroll is the largest overall expense in general fund

Payroll related New Hires: Director of Public Works (temporary combination 2 positions into 1 in 2011) Building Maintenance part time worker Part time co-op laborer for sewer department Stable employee base. Still 9% below staffing level in 2009

Capital Projects Fund This fund is utilized to budget for capital outlay and projects within governmental activities. 2017 drawdown of $400,000 in reserves. Several revenue sources are utilized for these activities: Non-Home Rule Sales Tax Electric Excise Tax Annexation/Road Impact Fees Telecom Utility Tax Grants/Contributions Transfers from the General Fund

Equipment Purchases Police Dept: $185,000 Ford Interceptor Squad Cars $30,000 each (2 Capital, 1 State Seizure & 1 Fed Seizure) Chevy Tahoe to be used with truck scales (Fed Seizure) Investigations vehicle $25,000 (State Seizure) Street Dept: $205,000 Large Dump Truck 2 Pickup Trucks Water Dept: $70,000 Sewer Dept: $113,000 Pickup Truck John Deere Tractor 6” Trailer Mount Diesel Pump North Plant Blower & Motor Administration: $275,000 split over 2 years ERP Software for City Wide Use

WATER/SEWER PROJECTS: $12,579,000 CAPITAL PROJECTS ROAD PROJECTS: $9,391,000 WATER/SEWER PROJECTS: $12,579,000

Capital Projects

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