Finance Committee

Finance Committee Meeting Council Chambers November 4, 2011 8:00 a.m. Attendance Committee Members Present: Mayor Callero, Chairman Lo Verde, John Johann, Village Manager Van Geem and Finance Director Neukirch Committee Members Absent: None Non Committee Members Present: Trustee Louella Preston, Dan Berg(Sikich LLC) and Assistant Finance Director Laurie Nannini Meeting Opened Meeting opened at 8:06 a.m. Approval of Minutes The minutes from the October 27, 2011 Finance Committee meeting were approved. Motion made, all concurred. Accounts Payable Approval The motion was made and all concurred to approve the Accounts Payable registers for October 14, 21 and 28. Sikich Presentation Dan Berg, from Sikich accounting firm gave an overview of the FY 2011 audit process and some highlights of the information contained in the Comprehensive Annual Financial Report (CAFR). This was the first year that Village staff worked with Sikich on the CAFR and Mr Berg stated that the process went well based on his experience. Sikich has over 350 clients. The audit began in April of 2011 when Sikich came out for a planning meeting. In May, Sikich came out for a week to perform preliminary field work. In July, Sikich came out for the remaining testing and field work. Mr Berg said that the Committee should be aware of the pension fund’s under funded status and the negative fund balance in the Family Fitness Fund. The Committee asked varies questions. Finance Director Neukirch expressed his appreciation of the professional way that Mr Berg’s team performed the audit thanked the Finance staff, in particular Laurie Nannini, for all of their hard work during the process. Mr Berg echoed Finance Director Neukirch’s comments. Outstanding Police Fines Village Manager Van Geem discussed the collection process of the outstanding fines in the Police Department. Staff has done research in to other options to help collect the outstanding fines. Village Manager Van Geem introduced the option of having the State of Illinois hold up the license plate sticker renewal process for people who owe the Village a certain amount of tickets or money, which is to be determined. The motion was made and all concurred that the Village will pursue this option, present the agreement to the Village Board for approval and send letters to those individuals in advance that would be subject to this. Other Business Trustee Preston asked about the status of the mid year budget presentation. Finance Director Neukirch explained that based on his experience and direction from previous Finance Committees that having a pre-board focused on a mid year budget update may not be very informative. The reason’s given were that as of October 31, the Village only has 3 months of sales tax receipts, no property tax receipts, hasn’t begun the winter salting, hasn’t paid the 2nd debt service payments and many other variables that make an analysis pure speculation at that point. Village Board members all receive a monthly report which includes budget status information. Staff is always available to answer any questions. FY 2012 actual progress will be discussed during the open meetings tentatively scheduled to start in February as part budget process. Staff is going to try to move the budget process up as much as possible, therefore staff would like to focus its efforts on that as opposed to giving a mid year presentation and then giving basically the same information again in another presentation a month or two later. The Committee will let the Village Board decide if a mid year budget presentation will be scheduled and if necessary, what information will be covered. Adjournment A motion to adjourn was made, seconded and all concurred. The meeting adjourned at 8:52 a.m. Next Meeting The next Finance Committee meeting is tentatively scheduled for Wednesday December 14, 2011 in the Council Chambers. Prepared by Scot Neukirch on 11/4/11