Peoria County Board hears Genera Fund Report
Peoria County Board and Elected Officials met Tuesday, Nov. 15.
Here are the minutes as provided by Peoria County:
Mary Ardapple - Chairman; Robert Baietto, James Dillon, James Fennell, Allen Mayer, Stephen Morris, Michael Phelan, Andrew Rand, Sharon Williams - Board Members; Jerry Brady - State's Attorney; Elizabeth Derry - Regional Office of Education; Jason Hauer - Recorder of Deeds; Gene Huber - Health Department; Michael McCoy - Sheriff; Edward O'Connor - Treasurer; Steve Sonnemaker - County Clerk; Carol VanWinkle - County Auditor
MEMBERS ABSENT: Johnna Ingersoll; Judge Stephen Kouri; Robert Spears
OTHERS PRESENT: Scott Sorrel - County Administrator; Mark Rothert, Shauna Musselman - Assistant County Administrators; Larry Evans, Julie Dickerson - State's Attorney Office; Eric Dubrowski - Chief Financial Officer; Randy Brunner - Finance; Gretchen Pearsall - Director of Strategic Communications; Dan O'Connell - Facilities Director; Doug Gaa, Denise Patton - Sheriff's Office; Nicole Demetreas - Treasurer's Office; Karen Raithel - Recycling & Resource Conservation; Mark Little, Anita Meeker, Tom Seckler - Information Technology; Jamie Harwood - Coroner-Elect; Steve Rieker - Citizen; Chris Kaergard - PJS
County Board and Elected Officials
November 15, 2016
The meeting was called to order at 2:00 p.m. by Chairperson Ardapple.
Call to Order
A motion to approve the minutes of October 27, 2016 was made by Mr. Baietto and seconded by
Ms. Van Winkle. The motion carried.
Approval of Minutes
Mr. Dubrowski summarized financial data through August 31, 2016. He stated that through August, year to date revenues are down $2.3 million, and expenses are down $1.5 million, for a net impact of an $833,000.00 deficit. He added that the figure pro-rated equates to $1.25 million.
General Fund Report
Mr. Dubrowski advised that year to date revenues stand at $25.6 million, expenditures stand at $27.4, resulting in a deficit of $1.7 million. As compared to the year to date revised budget, which is based upon historical averages, revenues are down $2.3 million and expenses down $1.5 million.
Mr. Dubrowski advised that revenues for Countywide Elected Offices are running below budget year to date, in large part due to revenue stamps in the Recorder of Deeds budget, which should resolve itself in the fourth quarter. Revenues in the Circuit Clerk, Sheriff and County Clerk's offices are down in comparison to historical year to date figures. He noted that the County Clerk's figures are an anomaly this year as higher revenues will be recognized in December from recording and tax sale related revenue. Mr. Sonnemaker commented that the monthly revenues and expenditure figures are not reflective of the office budget as a whole, as both tend to ebb and flow in the County Clerk's office. Mr. Dubrowski explained that the historical averages contained in the report are a valid means of comparison. Mr. O'Connor suggested specifically indicating those offices in the monthly report whose revenues and expenditures tend to ebb and flow. Mr. Dubrowski also indicated that the report contains a department feedback section as well for items of note. He advised that utilizing the methodology of historical year to date budget averages, the elected offices overall are under budget.
Mr. Dubrowski advised that revenues for General County and Countywide Administrative Departments are showing a shortfall of $1.4 million. He stated that majority of that decrease is within General County, and in large part due to the impact of the Department of Revenue's misclassification of CPPRT revenue and a statewide decrease in income taxes. He also stated that local sales taxes continue to struggle.
Mr. Sorrel advised that the status of the recommended budget has not altered, although it does not appear that there is a majority of the County Board that is willing to adopt the budget as presented.
He stated that he does not yet have direction in order to provide Elected Officials and Appointed Department Heads specific requests. He stated that direction will come from the Budget and Executive Committees as well as the Committee of the Whole, which meets Thursday evening. He advised that the County Board's leadership will continue to make themselves available to meet with elected and appointed officials, and it is anticipated that a special County Board Meeting will be scheduled on December 1, 2016 with the intent to adopt the budget. He noted that discussion of budgets for 2018 and beyond will be determined by how deep the cuts are in the 2017 budget. He advised that the scenario presented by staff would be a $2.5 million - $3 million reduction in spending in 2017 and rightsizing the organization out to 2020. He stated that absent a significant change in the local economy, a similar discussion on the budget will take place in 2020.
Sheriff McCoy commented that elected officials worked closely with Administration to form a budget that they were ensured would be acceptable for the coming year; however, discussion now revolves around the necessity of a reduction in employees. He reiterated that the budget deficit is a revenue issue, not a spending issue, and a reduction of employees does not address revenue issues.
He suggested a further look at potential revenue opportunities for the budget beyond 2017 in order to help offset a reduction in force. Mr. O'Connor recommended approval of the budget as submitted, with further discussion and an amended budget later in 2017 addressing the ongoing issues.
Mr. Rand stated that the $495,000.00 gap between revenue and expense, and the recommendation of a one-time use of fund balance to fill the gap is an untenable and temporary solution, and with ongoing revenue issues the problem will only be compounded in future years. Mr. Phelan advised that even if the levy were to be increased to the maximum, structural problems would still exist, with expenses exceeding revenues.
Ms. Ardapple noted that the County Board approved an expenditure of $400,000.00 in 2015 for the Efficiency Study, with only $190,000.00 of that amount being expended. She stated that with the input and cooperation of this committee has resulted in a Strategic Plan that has been approved by the County Board as a working document, with reports coming back to the committee on a quarterly basis. She also commented that working teams will be implemented through the organization to work on strategies after future budget decisions are made. She also noted that the County has recouped approximately $79,000.00 of the $190,000.00 expended. Efficiency Study
There being no further business, the meeting was adjourned by Chairperson Ardapple at 3:10 p.m.