Finance & Administration Committee

         

 

Minutes of a regular meeting of the Finance and Administration Committee of the City of O’Fallon, held at the Public Safety Building, 285 N. Seven Hills Road, O’Fallon, Illinois on March 23, 2015.

 

CALL TO ORDER: 5:30pm

 

ROLL CALL: COMMITTEE MEMBERS: Bennett, Chairman, Drolet, Gerrish

McCoskey, Albrecht

NON-COMMITTEE ALDERMEN: Holden, Meile, Roach, Hagarty, True, Cozad

STAFF LIAISON: Evans, Denton, Funk

GUESTS/RESIDENTS:  Malare, Pitts, Witter

    

Approval Minutes: - February 23, 2015 Motion Albrecht, Second Gerrish

 All Ayes. Motion carried.

   

 

Item A: Motion to approve Ordinance to transfer Bond Cap to SWIDA: Director of Finance discussed the transfer of industrial revenue bond volume cap in the amount of $2,914,300 to Southwestern Illinois Development Authority.  If the city does not use or transfer the bond authority by May 1, it reverts back to the State.  As the City does not have a qualifying use for the authority in 2015, staff recommends that it be transferred to SWIDA for use in our 4 county region.  Motion by Albrecht, Second by Drolet   All Ayes.  Motion carried.

 

Item A: Proposed FY 2016 Budget: Director of Finance did a final overview of the proposed FY 2016 budget and explained a few changes that were made after the February meeting all pertaining to the reduction in Telecommunication tax revenue by $150,000.  Changes were made reducing total revenue from $850,000 to $700,000 affecting the general fund, parks and strategic plan fund.   Director of Finance explained that the Telecom tax revenue has been significantly lower due to a large $1 billion class action settlement agreement where AT& T collected state and local taxes on its mobile device plans which were improperly collected; therefore, the money already remitted to the local and state agencies is being returned by reducing the revenue due from future remittances, thereby necessitating this budget change.

 

Director of Finance mentioned the additional charts and graphs included in the packet as a way to give a different perspective to the budget.  Alderman Drolet questioned the 35.8% decrease in Franchise revenue on the 2016 Revenue Budget by category handout.  Staff explained that it was due to the change in accounting for revenues that was shared with Parks.  Rather than “double-dipping” staff was trying to clean up the budget process.

 

Alderman Bennett brought up whether the new revenue source from video gambling should be earmarked for something other than general fund use.  After some discussion, no formal decision was made. There were no other questions.

 

Director informed the Aldermen that the 1^st reading on the budget would be on Monday, April 6^th and the Public Hearing and adoption set for April 20^th.   Staff said budget books would be but in their mailbox and available on-line prior to the meeting.  Motion by Albrecht, Second by McCoskey.  All Ayes.

 

Motion to Adjourn: Albrecht, Second McCoskey  All Ayes. Motion carried.                                                  

Next Meeting:   Monday, April 27, 2015