Finance Committee

123 Madison Street Village of Oak Park Oak Park, Illinois 60302 www.oak-park.us Meeting Minutes Finance Committee Monday, October 8, 2018 6:30 PM Public Works Center, 201 South Blvd. 1. Call To Order Trustee Button called the meeting to order at 6:35 p.m. 2. Roll Call Present: Members of the Finance Committee: Trustee Andrews, Trustee Button, Trustee Taglia, and President Abu-Taleb (6:38 p.m.). Absent: Trustee Tucker Also Present: Trustee Boutet, Trustee Moroney (6:38 p.m.), Village Manager Pavlicek, Village Attorney Paul Stephanides, CFO Drazner, Deputy CFO Kramer, Finance Budget & Review Analyst Keane, Police Budget & Revenue Analyst Murphy, Public Works Director Wielebnicki, Village Engineer McKenna, Assistant Village Engineer Kutz, Public Works Budget & Review Analyst Stanislavski, Fire Chief Ebsen, Deputy Fire Chief Pilafas, Development Customer Services Director Grossman, Assistant Director Davis, Parking Services Manager Gillespie, and IT Director Nepomuceno 3. Public Comment Chris Donovan: Mr. Donovan spoke in opposition of FY2019 CIP budget expenses allocated for the Madison Street Diet and related expenses before a plan is approved in an open and transparent process. Jack Chalabian: Mr. Chalabian requested the Village Board prioritize bike boulevards and lowering viaducts where construction is already planned for as part of the FY2019 CIP. Jenna Holzberg: Ms. Holzberg spoke representing Bike Walk Oak Park and requested the Village Board support the 2015 adopted Bike Plan and Bike Boulevards with allocated funding and implementation. Stefanie Glover: Ms. Glover suggested the Village Board remove allocated funding for the Madison Street project in the absence of an approved Developer. Village of Oak Park Page 1 Printed on 10/29/2018 Finance Committee Meeting Minutes October 8, 2018 4. Approval of Minutes A. MOT 18-394 Minutes from the June 18, 2018 Meeting of the Finance Committee. It was moved by Trustee Andrews and seconded by Trustee Button to approve the June 18, 2018 Finance Committee meeting minutes. A voice vote was taken and the motion was approved. 5. New Business B. ID 18-965 Finance Committee Review of the Recommended Five Year Capital Improvement Plan (CIP) 2019-2023. i. Overview of the CIP Process (5-year capital plan) 10 minutes ii. Review of the Capital Improvement Fund 20 minutes Pages 7-65 iii. Review of the Sustainability Fund 15 minutes Pages 66-70 iv. Review of the Building Maintenance Fund 20 minutes Pages 71-161 v. Review of the Fleet Replacement Fund 10 minutes Pages 162-168 vi. Review of the Water and Sewer Fund 15 minutes Pages 206-238 vii. Review of the Parking Fund 15 minutes Pages 189-205 viii. Review of the Equipment Replacement Fund 20 minutes Pages 169-187 Village Manager Pavlicek summarized the history and purpose of discussing the Capital Improvement Plan (CIP) as a five year draft. Ms. Pavlicek explained how this allows the Village Board, for the benefit of staff and the public, to prioritize competing capital expenses and plan for costs involved. CFO Drazner highlighted what funds and revenue streams typically pay for capital projects. Public Works Director Wielebnicki explained the importance of planning for a strategic five-year infrastructure maintenance and replacement plan. Mr. Wielebnicki outlined how they identify needs and determine costs for the CIP. Trustee Andrews thanked staff for the “Pro forma CIP Financial Data” spreadsheet provided to the Village Board and suggested all funds, including TIF funds, allocated for capital improvement projects be included in that document in a way that is easy for the public to understand how Village of Oak Park Page 2 Printed on 10/29/2018 Finance Committee Meeting Minutes October 8, 2018 much capital improvement projects cost and related revenue sources. Discussion was had to correct language that can be confusing. Trustee Moroney requested it be very clear what amount of proposed spending would contribute to debt. Village Manager Pavlicek stated how revenue sources for the CIP are identified and provided to the public in the budget process. The Village Manager requested the opportunity to review recommended process and presentation changes before implementing. Ms. Pavlicek suggested additions be made to the CIP to respond to concerns rather than change the document as it is presented. Trustee Boutet, Moroney, and Andrews expressed concern to budget within a desired maximum 3% levy increase. Village President Abu-Taleb further explained that a five-year plan is for guidance and is not officially budgeted for until each years budget permits. Trustee Button reminded her colleagues that the agenda was written to cover all aspects of the CIP. Members of the Finance Committee reviewed each fund area of the CIP; Capital, Sustainability, Building Maintenance, Fleet Replacement, Water and Sewer, Parking, and Equipment Replacement. Summary sheets were provided for each area. The Finance Committee asked questions referencing each funding area working to initiate prioritizing need versus want and what cheaper options might exist for different CIP proposed projects and what revenue sources exist for each fund. Trustee Moroney reiterated his concern that the proposed CIP will not permit the Village to stay within a 3% levy. Trustees Andrews and Boutet shared his concern. Trustee Button and President Abu-Taleb highlighted the need to consider CIP projects as investment opportunities and the need for considering safety related to infrastructure maintenance. Manager Pavlicek stated her obligation to inform the Board of infrastructure and capital funding needs and to present a balanced budget. Ms. Pavlicek informed the Committee that revenue sources exist to fund the CIP. President Abu-Taleb requested staff review the practice of transferring funds from an enterprise fund to a self-insured fund. Village Manager Pavlicek responded that she will provide an analysis of options for funding the self-insured fund. Trustee Boutet requested the Committee review the Madison Street TIF. Ms. Pavlicek explained the budget place holders that exist related to potential TIF projects. Village Engineer McKenna and Public Works Director Wielebnicki responded to questions regarding streetscaping and the estimated costs for the road diet, including sewer work and repaving that needs to be done despite what type of development project is decided Village of Oak Park Page 3 Printed on 10/29/2018 Finance Committee Meeting Minutes October 8, 2018 on. Additional bike and safety improvements were discussed. Ms. Pavlicek summarized the advantages to adopting the CIP before adopting the Budget. Trustee Andrews suggested the Village Board needs to do a better job of directing staff on long term priorities for developing the CIP and that the budget process might need to start much earlier in the year. Trustee Boutet agreed. Trustee Boutet had two additional suggestions for staff to consider; she recommended the Village consider a wayfinding app rather than signage. Trustee Boutet also suggested the Village consider transferring Dole Library to other governmental partners who have use for it without the Village needing to budget maintenance for it. Trustee Moroney and Andrews responded that Dole Library is an asset that should not be released without gain. Trustee Moroney reiterated his concern that the CIP as presented is too expensive and adopting it without a better understanding of the financial impact ahead of the budget relinquishes their opportunity to provide detailed direction on these expenses. Trustee Andrews suggests the Village Board needs to provide a budget for capital projects a year in advance so that staff have proper direction for presenting a CIP five-year plan. Trustee Button does not agree that changes to the process are necessary. President Abu-Taleb reiterated that the CIP is a plan and opportunity will exist for the Village Board to vote on projects. The Village Manager explained that the Village has planned for larger capital projects and the budget does responsibly account for costs presented in the CIP. 6. Old Business There was no old business. 7. Adjournment It was moved by Trustee Button and seconded by Trustee Taglia to adjourn. A voice vote was taken and the motion was approved. The meeting adjourned at 8:50 p.m. Respectfully submitted, Village Clerk Vicki Scaman Village of Oak Park Page 4 Printed on 10/29/2018