South Cook News

City of Oak Forest Committee of the Whole met April 9

Here are the minutes provided by the committee:

Mayor Kuspa called the Committee of the Whole meeting to order at 6: 33 p. m. with the Pledge of Allegiance and the Roll Call as follows:

Present: Mayor Henry Kuspa

Alderman Keeler

Alderman Wolf (arrived 6:47 p. m.)

Alderman Selman

Alderman Emmett

Alderman Hortsman

Absent Alderman McCarthy

Alderman Danihel

Also Present City Clerk Nicole Tormey

Treasurer Ericka Vetter

City Administrator Tim Kristin

Finance Director Colleen Julian

Police Chief Jason Reid

4. Discussion of FY 2024-2025 city budget and water rates

Finance Director Colleen Julian reported an anticipated deficit of $767,000.00 when the levy was prepared. There is sufficient funds in the fund balance that could absorb that deficit. Proposed today for the final general fund budget is a deficit of $ 645,000.00. Finance Director and Treasurer Vetter met with each department head and discussed changes from the initial proposal from last fall. The reason for the deficit decrease is the removal of $200,000. 00 for storage facility in the capital improvement plan by the Police Department. They are postpoing that. The Police Department indicated their highest priority is to purchase tasers at this time. There is money in drug forfeiture to pay for the half of the tasers. There is also an increase from the Fire Department for maintenance on vehicles and computer module. Our fund balance after the deficit is still $ 12 million which meets and exceeds our policy.

A summary of pay ranges was discussed regarding union, non- union, Communications Director and part-time employees.

Alderman Emmett asked if the Economic Director' s salary is included in the budget.

Colleen Julian stated yes, it is funded. Alderman Emmett would like consideration given to employees who are performing two jobs and taking on extra duties. City Administrator Tim Kristin reported there is a career progression plan in place.

Colleen Julian asked if there were any more questions regarding the general fund. Mayor Kuspa, seeing none.

In discussion of all funds, Colleen Julian stated they want positive fund balances. They are projecting positive fund balances in all of the funds except TIF 3. As for the negative fund balances in TIF 4 and 5, long term projections show they will be positive. There is current development in TIF 3. All of the lines of credit have been paid off.

Colleen Julian reported that meetings with the Regional Water System were attended and they are expected an increase of $.15 from Chicago per 1,000 gallons. Oak Lawn is less than a penny per 1,000 gallons. A proposal was given for an increase of the water rate to $11.12, an increase of $.10 for tier 1 ( first 25, 000 gallons), $.12 for tier 2 and $.05 on sewer rate. The increases are the increases from Chicago and Oak Lawn. No changes to base or shut off fee.

Mayor Kuspa reported Alderman Wolf arrived at 6: 47 p. m.

Alderman Hortsman asked about the southeast part of town user of water, the hospital property. Colleen Julian reported they are not using the city's water.

Alderman Emmett asked about the line they ran from behind the Dan Gorman Field House into the hospital grounds. They are demoing there, he asked if they are using our water. He thought the line was to replenish their water. Colleen Julian reported they spent a fortune to tap into our water and then they stopped using it. City Administrator Tim Kristin reported the line is metered. If water is used, they will be billed. Mayor Kuspa explained why they needed our water but now it is shut down.

Alderman Selman asked about the 20, 000 and 30, 000 break and what tier. Colleen Julian stated less than 25, 000 is tier 1. He also asked about the bond that is going to expire in 2027 and if it was from 2004. Colleen Julian replied the 2004 bond is a general fund bond.

Colleen Julian went over the capital needs for the water and sewer fund. Baxter & Woodman reported the city needs $ 15. 6 million for water mains. Public Works has identified $ 7.6 million in other projects such as SCADA, lift stations, pump stations, sewer main replacement. The city has $23 million worth of projects and we have $8 million over the next few years. There is definite need in the capital water and sewer fund.

TIF 3 is negative but it is expected long term to have positive fund balances. She is confident they will be able to pay their bills in TIF 3. TIF 4 and 6, the short term note has been paid off. It needs redevelopment but that is happening.

The last couple years there was a pretty large infusion from Rebuild Illinois but that is over. We are back to our normal road program. There have been a couple years were the city has been under budget. There has been some positive budget variances with salt. The normal road program with the MFT is around $700,000.00. There is $ 220,000.00 for the sidewalks for south of 155th to 158th, all the L streets. City Administrator Tim Kristin reported they received grant of easements from everyone but five homeowners. They are submitting to the state now.

Alderman Emmett asked if the grant is still ours for the sidewalks. Colleen Julian stated yes.

Alderman Wolf also wondered if the grant was still available.

Colleen Julian asked for any questions.

Alderman Hortsman asked about the water fund and infrastructure. He asked if Baxter & Woodman' s report also included inspection of the water tanks to make sure they are not leaking. Colleen Julian stated it does address the water mains. She does not know if it is for the tanks. She does know there are two water tanks that need to be done asap which are included in the budget.

Mayor Kuspa asked for any other questions or comments. Mayor Kuspa thanked Colleen for getting them the information in a timely manner.

Colleen Julian reported the plan is to come back in a couple weeks to pass the budget.

The only thing that will change from the presentation and next week is if there is a purchase or a completion of something. It is budget neutral because it was budgeted for this fiscal year.

5. Executive Session

None.

6. Citizen Participation

None.

7. Old Business

None.

8. New Business

None.

9. Motion to Adjourn

Alderman Emmett made the motion to adjourn. Alderman Hortsman seconded.

Roll call vote was taken as follows:

AYES NAYS ABSTAIN ABSENT

Alderman Emmett

Alderman Hortsman

Alderman Danihel

Alderman Keeler

Alderman McCarthy

Alderman Wolf

Alderman Selman

The motion carried 5/ 0, 2 absent.

Meeting adjourned at 7: 07 p. m.

https://www.oak-forest.org/AgendaCenter/ViewFile/Minutes/_04092024-1895