Board of Trustees Meetings

FISCAL YEAR 2006-2007 BUDGET HEARING VILLAGE OF NILES April 18, 2006 6:00 P.M. PLEDGE OF ALLEGIANCE The Pledge of Allegiance was led by Village President Nicholas B. Blase. ROLL CALL The Fiscal Year 2006-2007 Budget Hearing of the Board of Trustees of the Village of Niles was called to order at 6:00 P.M. by President Blase. The following Trustees were present: Biederman, Bondi, Callero, Murphy, Preston and Przybylo. The following Directors and personnel were present: Village Manager George Van Geem Assistant Village Manager Steve Vinezeano Village Attorney Joseph J. Annunzio Comm. Devel. Director Chuck Ostman Family Services Director Marty Friedman Finance Director George Van Geem Fire Chief Harry Kinowski Police Chief Dean Strzelecki Fitness Center Director Carl Maniscalco Public Services Director Scott Jochim Senior Center Director Kelly Mickle GEORGE VAN GEEM Mr. Van Geem stated that it was his pleasure to Village Manager present to the Board of Trustees, the fiscal year 2006-2007 Budget for the Village of Niles, beginning May 1, 2006. Mr. Van Geem stated that this is a public hearing mandated by State Statute, and there is a requirement for due notice. The notice was published in the Niles Bugle on April 13, 2006. This budget is no different than prior years. The Department Heads worked very hard on putting together only those expenses that they require to run their departments in a responsible way. In January they had meetings with their staffs and analyzed their department operations, and made provisions for any changes or new programs, or funding just the same services that they have been used to providing. They submitted their information to the Finance Department in February where analysis was done. In March there were individual department meetings to discuss their needs and prioritize any spending. In April we met with members of the Village Board to go over the new budget. This hearing is the public’s opportunity to listen to and  April 18, 2006 make comments on the budget. The official adoption of the budget occurs in May in the form of an appropriation ordinance, which is also mandated by State Statute. The budget process is always one where we have to look and see where we have been, before we can figure out where we are going. We did analysis on the 2006 year we are in right now in order to determine trends, both on the revenue and on the expense side. On the revenue side, we are holding our own especially in our primary revenue source which is sales tax. We are seeing anywhere from a 3 to 3.5% increase from the prior year, which is a good stable growth. On the expense side, we have been able to hold the budget in line in all of the departmentS. There has been no extraordinary spending. So, between revenue and expenses we have balanced funds for the 2006 fiscal year. For this upcoming year, it is business as usual but we are trying to do it better and more efficiently by holding the line on costs. This budget proposes no increase in property taxes, all the major funds are balanced, and we have used the new 1/4% sales tax to re-institute some capital spending out of the general fund. That is spending that we have not been able to do for the last three years because funds were not available out of the general fund. We have done projects out of MFT funds and some water projects, but projects out of the general fund were on hiatus until the 1/4% sales tax was in place. STEVE VINEZEANO The General Government budget begins on page 16. Assistant Village Manager The General Government Department consists of Administration, Executive/Legislative, Police/Fire Commission, Legal and Personnel. You will find decreased budgets for each of these divisions except for Legal, which continues to be inflated due to outside union council. General Government maintains several goals above and beyond that of providing residents and businesses with responsive and quality service. First and foremost, we continue to take an aggressive approach to the procurement of grant funds. This is being done through both actively applying for established grant programs and one-on- one relationship building with state and federal legislators. Past procurement efforts have been very successful as we reap the benefits from technology enhancements for our police department, capital project funds for our infrastructure, funds for an Emergency Operations Center, and planning funds for the future of Milwaukee Avenue. Second, we continue to pursue cost efficiency opportunities such as the ticket amnesty program 2  April 18, 2006 and the consolidation of refuse collection, which could be as effectively applied commercially. And third, we plan to work more aggressively with other communities, public agencies, and regional organizations in the spirit of intergovernmental cooperation. This cooperation not only provides for progressive government, but may often result in cost efficiencies. Trustee Przybylo asked how we rate with other municipalities in terms of grants. Mr. Vinezeano said he has not researched the question, but felt that the Village is doing pretty good. He said he would answer the question at a later time. BILL SHAW Director of MIS Mr. Shaw stated that the MIS Department manages over 300 computers, 22 servers, and if you include security and telephones, over 3,500 devices total. Our infrastructure consists of over 100 miles of cabling. Last year MIS put our systems to the test to rate the Village’s susceptibility to CyberRisk and received one of the highest scores ever. This year the MIS Department has contracted Ambiron to perform their Trustkeeper Cyberscan monthly on our systems to continue to ensure the safety and security of our data. With their assistance we have tightened our security even more, earning us a Trusted Commerce certification. This rating certifies that Niles meets or exceeds the required data security for electronic commerce on our network. The bottom line is “Niles information is safe”. Three years ago we implemented our Geographical Information System. To date, we have delivered almost 400 different maps which works out to be one every two days. Many projects such as the Milwaukee Corridor Study have been greatly enhanced through the infusions of GIS data. We have provided marketing and analysis data for Family Fitness, we create maps for the Senior Center to assist them in delivering services directly to our residents, Street Maps for the Chamber of Commerce and District Maps for our schools, libraries and park districts. And as promised, Police and Fire are now using GIS based dispatching. We were asked by both centers to act as coordinator for this project which means not only did we provide RED Center and the NSECC with our Village data; we worked with all 16 communities to create a regional GIS for each group. Community Development has our first users creating their own maps and now almost every presentation they make, use maps or data they get from our GIS. Our GIS coordinator just finished GPS’ing our Combined Sewer Overflows for Public Services to help them meet their EPA requirements. GIS has helped every department in the Village and we have so much more we want to achieve. 3  April 18, 2006 The MIS Department is focused on distributing more GIS capabilities directly to our users in the new fiscal year. We are preparing to move the management of our utility-based assets over to Public Services. We are planning to host map applications on our website. In addition, our employees will begin to see GIS mapping as a standard method to access their application data on their own desktops. The Village of Niles Computer Systems run on a combination of Microsoft and Novell environments. In the past, running multiple environments was the only way to provide top-notch support and training for our employees, and keep our information safe and secure. CHARLES OSTMAN The Community Development Department budget Director of Comm. Development can be found starting on Page 41. The Community Development Department has proposed in the 2006- 2007 budget no significant changes. Our departmental software and the GIS system has been fully implemented for nearly three years, and has proven to be a very effective time saving tool for this department in managing and retrieving information. The investment and your continued commitment to this technology is important in our daily interactions with residents, business owners, property owners of Niles, or interested parties looking to locate in Niles. In 2005 and 2006 this Board approved the adoption of the International Codes. Account 3115 reflects the required training for this major change in the model codes adopted and code publications associated with this change. Just recently the State of Illinois adopted a comprehensive energy code for commercial buildings which previously was not part of any plan review process. This account will provide the additional training required for this new code. The consultants/outside services required by this Department is funded under Account 3320. This Department maintains a consultant who makes regular inspections of seven nursing homes with a total of 1369 beds. The consultant provides inspection services that encompass detailed monthly inspections, investigation and reporting of incidents, and consultation availability on a 24/7 basis, and reinforces the Village’s commitment to ensure their expected services to these residents. The semi- annual inspection services of 200 elevators/escalators and plan reviews are also included in this account, and are reimbursed through the annual business licensing or permit fees. Additional required consultants include lab tests required by the Health Officer, background checks and building code interpretations. 4  April 18, 2006 Account 3370 represents Special Services and includes digitizing and archiving records including zoning, building, and the associated construction drawings. As indicated in the budget, the funds were not used during the last budget cycle as part of a cost savingS plan to incorporate a three-year cycle instead of every two years. Also as required by the Health Officer, included in this account are materials for the control of rodents and mosquitoes which carry the West Nile Virus. Account 3050 for 2006 represents the development and printing of the Niles Economic Brochure which included a mailing to retailers, developers and real estate firms that represent major retailers. Overall, the Department is experiencing a significant increase of activity over the previous year. The value of construction for the 2005 calendar year totaled just over $63 million, representing an increase of nearly 200% compared to the previous year. The permit revenue increased 70% for the same period to just over $680,000 reflecting approximately 1% of the value of construction. This calendar year all indications to date are an even busier year with the value of construction valued at $26 million, already representing 41% of 2005 for only the first quarter of 2006. To date, permit revenue of $374,000 represents 55% of the previous year. Another significant increase in activity is the required semi-annual inspections of additional food service establishments by the Health Inspector. By the end of this calendar year the health inspections will increase to over 250 inspections, including all his other responsibilities. Our efforts for 2006-07 will be to increase information on the Village web site and have handouts available in the Department. Efforts this year will also be focused on drafting a condominium conversion ordinance, updating Chapter 22 for business licensing, and reviewing licensing requirements for general contractors. Account 1530 reflects the budget for planning and reflects no increase. POLICE CHIEF The Police Department's mission is to equally and DEAN STRZELECKI fairly protect all those people within its jurisdiction without regards to race, creed, color, religion, ethnicity, gender, age, or sexual orientation. This mission is achieved successfully with our staff of 61 sworn officers, 55 member Auxiliary force, and a civilian support group of approximately 38 full-time and part-time employees. The civilian support group encompasses the Records Department, Community Service officers, and Operational Support officers that double as booking officers. Our main goal for 2006-07 will once again be to 5  April 18, 2006 reduce the opportunity for crime. This year, however, we will concentrate more on Crime Prevention while continuing our efforts in arresting and prosecuting those that commit crime in our community. Prevention programs will be put in place, educating our senior citizens in the area of Crimes against the elderly, specifically scams. Programs are being developed to educate all residents in the rapidly growing area of Identity Theft. We will continue to provide the Community Policing/School Resource Officer program. This program establishes a relationship for residents and landlords in community policing areas to work together in order to make the quality of life better for the residents. Another major goal is to continue to keep our officers trained in all areas of Law Enforcement and Law Enforcement equipment. Training our officers is still one of our most important tasks. Training in rapid deployment, Crime Prevention and areas of weapon handling will be top priorities. We will seek assistance to fund this training through grants and other sources of support. There is an additional training burden due to the unfounded mandate passed by the State of Illinois requiring 20 hours of certified training of Chiefs and Deputy Chiefs. In the equipment area, we will initiate a three year program to replace the video cameras in all the squad cars. These are becoming more and more beneficial in the area of officer safety as well as providing evidence in certain traffic related incidents. A plan is also in place to equip three additional squads with Automated External Defibrillators better known as AEDs, so that the entire fleet is equipped with these devices. Finally, the 2006-2007 budget will allow us to maintain all of our community service programs and crime prevention efforts in order to continue the high quality service to the members of our community. HARRY KINOWSKI POLICE CHIEF The Fire Department Budget reflects the cost of normal operations with no increase due to new programs. Division 1210 - Administration, is basically the same as last year adjusted for increases in RED and MABAS. There is minor replacement of office equipment. Division 1220-EMS/FPB is actually lower by 8% as we have completed major expenditures for the stretcher replacement program and the medical data program. Additional paramedic training is required in the area of Pediatric Pre-Hospital Care. Division 1230- Suppression, reflects an increase of approximately 4%. This is due to the increased cost of supplies and tools. Additional mandatory training for special team members in the discipline 6  April 18, 2006 of TRT (Tactical Rescue Team) and HAZMAT. Each department in MABAS Div III has agreed to support six members in each of the special team disciplines who will all be state certified. We have completed training on water rescue/first responder which is required due to the number of retention ponds in the community. This cost includes specialized equipment for the rescue process. This is not an underwater dive team. We have met with Joan Brody, grant specialist, who is working with us researching the possibility of grants for special training based upon the requirements at the state and federal level. The grant will cover travel and lodging if required and the cost of labor and overtime for attending school. Research for grants for protective vests, audio/video equipment, personal safety equipment, roof simulator, and enhancements to the existing AVL system (Automatic Vehicle Locator) is also being worked on. Two grants have been written by RED Center and NIPSTA. The RED Grant is on behalf of the eleven member communities which will cover software and hardware for data mobile terminals in fire apparatus and associated software. The NIPSTA grant is on behalf of the 23 member communities specifically for two training devices, an incident command simulator to permit real-time scenarios based upon emergency events to insure that a proper command structure is put in place at the department level all the way through to NIMS. Also, NIPSTA is seeking a fire/EMS driver simulator to provide realistic emergency handling of vehicles to reduce accidents and increase safety. MARTY FRIEDMAN This has been a very interesting year for Family Director of Family Services Services. Our caseload stayed at around 400 families. Over 200 of those families have had a senior with either financial or emotional issues. Family discord continues to be the most predominant issue. We have seen an increase in domestic violence, which has lead us to determine that one staff member needed to be assigned to work with the police department on this issue. The number of requests for financial help stayed flat this year with no increase in requests for assistance. Family Service revised our policy regarding requests for financial help, by having every person who requests financial help assigned to a worker who helps those people develop a financial plan for themselves. So far we have seen a dramatic decline in those people who are in chronic financial difficulty. The issue of divorce and its impact on children continues to be a large issue in our community. The issue of lack of available services to the chronically mentally ill continues to grow. There have been changes in the mental health code which in the long 7  April 18, 2006 run, will assist in hospitalizing people when they need it. Our work with the schools in Niles has increased somewhat as we are more involved at the high school level now. Family Service is involved in developing an anti-bullying program with the Niles Township schools. We continue to take an active role in the Teen Center. Over the last year, three of our staff members received their LCSW which is the recognized credential in the State of Illinois for Social Workers. We plan on expanding our community presentations in the next year to include a series on parenting in the 21st Century, a series on grand parenting, along with our grief support, caretakers support, and parent of special needs children support group. We have tried to not increase our budget requests for the year, increasing only those items that would directly affect direct service. KELLY MICKLE The staff of the Niles Senior Center strives to meet Director of Senior Center the ever changing needs of its members. We offer a variety of social and educational programs, and information and referral services, for all of Niles seniors, a diverse group that includes well seniors as well as those with limited abilities. Our ongoing mission also encompasses the health needs of our membership with program focused on wellness and illness prevention. We currently mail Program Guides to approximately 4053 households, representing approximately 6806 registered members. During the past year we have averaged 21 new members a month. We are planning a variety of new programs in the coming year, as well as continuing with our current schedule. Our newest Program Coordinator, Kathlyn Williams, has a Masters in Performance Arts and has agreed to start a drama group. We are hoping that once the group is up and running, we can introduce an intergenerational component and schedule performances in the schools. We are also planning to use Kathlyn’s expertise in helping us pull together our first annual talent show. We plan to continue our day trips but have recently instituted a trip policy to help both members and staff better evaluate if individuals are physically and safely able to participate. Because of both staffing and liability issues we will no longer be offering extended trips. We will instead offer presentations by different touring companies. Our nurses plan to continue the many support groups they have run on a weekly and monthly basis as well as the newly added Cancer Survivor Group. In the coming months they will become certified in Tai Chi through the Arthritis Foundation. Tai Chi will then be offered to members in their support groups and, if openings are available, other members of the Senior Center. 8  April 18, 2006 Changes from the 2005-2006 Budget include replacement of a copier, and decreased service in home delivered meals. The flu clinic will go up about $3500 because Nurse Friedman has ordered additional vaccine this year because of requests last year for more shots. CARL MANISCALCO The Niles Family Fitness Center has been in Director of Fitness Center operation for just over seven years. Customer service and satisfaction is the number one goal of the entire fitness center staff. The 2007 budget reflects our commitment to providing quality fitness programs. Memberships - There are approximately 3,800 members at the Family Fitness Center. 98% of these members hold annual memberships with 345 on the new monthly payment plan and 42% of these members are residents. There are currently 502 corporate memberships. The goals for the next fiscal year are to increase memberships and also to increase revenues. New member promotions and member retention programs will be used to accomplish these goals. Facility Fees - The daily admission fees for use of the Fitness Center, pool, gym, birthday parties and daily drop-in aquacize and aerobic classes have generated approximately $120,000 per year, which accounts for 10% of total revenues each year. Another large revenue source is the birthday party rental program. In 2005, 400+ birthdays were booked generating $70,000 in revenues. Facility fees are an important part of the Fitness Center operation. Our facility is clean, safe and professionally staffed which is why more than 200,000 people visit the facility each year. There are about 17,000 guests in addition to the members and that is an average of 700 people per day. Recreation Programs - In 2005, there were 2800 registrations for our popular youth programs. The Fitastic Young programs include Tae Kwon Do, sports training, and strength training. Teens are involved in dance, fitness challenges, special event trips and community service activities. Tots have many programs to choose from in the Let’s Play Funtastic Children’s Programs. The program now offers four learning levels that are age appropriate. The new tot camp generated $9,000 in revenues. These programs are marketed through the seasonal brochure, school newsletter, and weekly press releases. Aquatics - Learn to Swim program revenues should increase from last year. Group swim lessons averaged 270 participants per week and produced $73,000 in revenue. Private lessons averaged 40 lessons per week and generated $39,000 through March in revenue. Special events are planned for the entire family. Lifeguard training is done every 9  April 18, 2006 three weeks to ensure the safety of all swimmers. The Aquacize program offers 16 free classes a week and continues to be one of the most popular group exercise programs in the center. Each quarterly report shows net profit covering all open swim, open gym, and free classes when all program and daily fees are recorded. Adult Fitness - The 2007 budget will include many revenue producing specialty programs such as: Pilates, Spinning, and Tai Chi. We currently offer 45 adult fitness classes a week; 17 of these are paid classes. The paid classes generated over $42,000 in revenues. The new group exercise express pass for fitness classes is sold to non-members for classes that are free for members. The program has produced 170 passes and $16,000 in revenue. Fitness evaluations and individual fitness programs designed by the fitness staff promote exercise adherence and member retention. Our member retention is 55%, which is significantly higher than the national average of 30%. Equipment - New fitness equipment is needed to replace original cardiovascular equipment. We will replace the lower body strength equipment at a cost of $18,000. The BodyMaster line is durable and user friendly. The rest of the equipment budget will be used for cardiovascular equipment. The equipment is needed to stay competitive, attract new members, increase member retention and avoid costly repairs. Marketing - The Fitness Center has seen a tremendous growth in marketing this past year. The outdoor marketing campaign started with the Bus Shelters, Ad Benches and the Free Bus throughout town. The new business-to-business program has also seen a positive response. The Fitness Center distributes monthly promotion fliers to local businesses and they, in turn, promote their businesses in our new member packets. There are currently 18 businesses in the program with many more to join this year. New member promotions have been very successful this year. In June, the membership special produced 171 new members. In September, 192 new members signed up. In January, 147 new members signed up and took advantage of the special. Direct mail postcards, the new website, newspaper advertising, seasonal brochures, press releases, the Niles Focus, and school fliers were used to attract new members and retain current members. This program will continue this year and continue to generate new memberships and retain our current members. We have become active in the Niles Chamber of Commerce, participating in Tri-Chamber Business Expos, Business After Hours Events and Women in business Networking Group. Our email campaign 10  April 18, 2006 to update our members with fitness center information, new reward programs and new membership promotions began this year and was met with positive comments. New Programs - The monthly membership payment program has 355 members. The new Pay as You Go pass is attractive to younger members as an incentive to recommend our center to their friends. The member referral program gives members an incentive to recommend our center to their friends. The member retention program promotes renewing memberships before they expire. This is accomplished by giving members promotional items such as a duffel bag. The member awards program promotes exercise adherence by tracking a member’s monthly workouts. Workout 12 or more times and you are entered in a monthly drawing to win prizes. All of these new programs are designed to increase member retention and attract new members. The Family Fitness Center will continue to provide quality programs and services for Niles residents. We offer individuals of all ages the best fitness experience with the most impressive range of fitness options. One of our members said, “I always have great things to share about the Fitness Center and am always referring this facility to potential members”. SCOTT JOCHIM - Acting Mr. Jochim stated that included in the Public Director of Public Services Services budget (1410-3110) covers the mandated safety training for all Public Service employees. The Public Services Department has maintained an aggressive schedule for safety training to maintain compliance with regulations as well as develop employee skills. Our goal is to reduce the number of work related injuries each year toward our ultimate goal of zero incidents. We also take advantage of free training services from manufacturers, vendors, NIPSTA, the Illinois Department of labor and utility companies whenever possible to reduce costs. We have 22 streets that will be resurfaced on this budget. This, again, highlights an aggressive program. Our goal is to complete the project plans in the late fall, early winter, and bid these projects in late winter to obtain the best pricing from our roadway vendors. It should be noted that a grant for $200,000 from the State of Illinois will be offsetting the costs associated with the first four street resurfacing projects listed in the budget. (Chase, Jarvis, Nora and Neva off of Touhy and Harlem Avenues) While no major projects are scheduled in the MFT account this year, work will continue on the Phase I and Phase II engineering for the Milwaukee Avenue 11  April 18, 2006 Reconstruction Project, which is an improvement from Harlem Avenue to Albion Avenue. Construction should take place in the next budget year and includes the replacement and upsizing of the current watermain along this stretch. This year a detailed survey of the Village’s water system will be completed to search for undetected water leaks. This is completed with Village employees and a private contractor. Our goal is to reduce unmetered water to the lowest amount possible, enhancing revenue to the Village. We received two grants from the State of Illinois under the Illinois First program which will allow us to upgrade our water system. This includes: 1) A $205,000 grant for the Howard Street watermain looping; and 2) New water service connections from an existing watermain in the backyard to a new watermain in the street on Newcastle Avenue will be installed with a $75,000 grant. Also, we will continue our strong program of replacing older watermains prone to failure, saving the Village money from reduced/eliminated repair costs as well as loss water revenue, and reducing inconveniences to residents. The sewer lining program is a continuation of our annual program and will be completed in locations throughout the Village based upon the condition of the sewer main as determined by the sewer televising. GEORGE VAN GEEM Mr. Van Geem stated that in regard to Trustee Village Manager/Director Przybylo’s question about grants, a survey will be of Finance done, but in Fiscal Year 2005 we received $142,000 of grant revenue from outside agencies. This year we are going to quadruple that to $552,000 of grant money. This new budget calls for grant of $642,000. Now, more than ever, with money and revenues tight we are spending some time seeking the grants. We like to use other people’s money for our projects. Into the special funds, these are behind the scenes funds but they are still a very important part of the services that we provide. We have had five TIFs in the Village of Niles, all used to redevelop blighted or under-utilized property that have been turned into very successful retail centers. Out of the five TIFs, three of them have been closed and two are left - the Civic Center TIF and the Renaissance Touhy/Milwaukee TIF. Two of the TIFs that have been closed have some funds left in the bank accounts, so that money will be distributed this year, and this is reflected in the budget. The two active TIFs are used to account for continued debt service payments (our mortgage) on the 12  April 18, 2006 redevelopment projects that we have occurred in those TIF funds. Trustee Murphy asked when the TIF funds would be distributed and Mr. Van Geem said over the summer. Trustee Murphy asked if the two major school districts involved are aware of this, and Mr. Van Geem said yes, they were advised last year that a new tax base would be available to them. The Police and Fire Pension Funds are mandated by State Statute. They provide retirement benefits to the policemen and firemen currently employed by the Village of Niles as well as about 150 retirees. The goal of these funds is to obviously have enough money to pay for the benefits that you are obligated to pay in the future. The measurement of that is done by an actuary who determines what percent funded you are toward that goal. The Village of Niles is one of the more highly funded municipalities in the State of Illinois. We are not at 100%, but we are close to 90% funded. This year we tried to make an additional commitment to keep that funding level where it is right now. Debt service and capital projects use the 1/4% sales tax that we have adopted in the past, to pay any outstanding obligations toward the capital improvements that we have undertaken over the last few years. We have spent about $1.7 million per year providing refuse service to the residents in Niles. Unlike other communities, we include this service in the property tax bill. Risk Management is our insurance fund which captures all of the costs of insurance, whether it be a premium or a claim or consultant. We are self- insured and that has saved us a lot of money since 1998. In closing, our goal as a staff is to provide the absolute best service we can at an optimum cost. We look at every number and try to do it as efficiently as possible. Mr. Van Geem thanked the Mayor and the Board for their support because without them it would not be possible to provide the services to the residents. He thanked the Finance staff because they do a lot of work behind the scenes. He also thanked the Department Heads for working with their staff and working with him to prioritize the spending requests. That concludes the presentation for the public hearing. Motion was made by Trustee Callero, and seconded by Trustee Murphy, to adjourn to Executive Session at 7:00 PM. On roll call, the vote was: 13  April 18, 2006 Ayes - 6 Biederman, Bondi, Callero, Murphy, Preston, Przybylo Nays - 0 Absent - 0 Regular session was called back to order at 7:40 PM. ADJOURNMENT There being no further comments to come before the Board, motion to adjourn was made by Trustee Callero, seconded by Trustee Preston, and approved by unanimous voice vote. The meeting adjourned at 7:40 PM. ___________________________ __________________________________ Village Clerk Village President 14