HomeMy WebLinkAbout2018 BudgetBudget2018
January 01, 2018 -
December 31, 2018
The Village Of Bualo Grove
VILLAGE OF BUFFALO G ROVE
Adopted Budget: January 1, 2018 to December 31, 2018
Beverly Sussman, Village President
Dane Bragg, Village Manager
Janet Sirabian, Village Clerk
Jeffrey Berman, Trustee
Andrew Stein, Trustee
Lester Ottenheimer, Trustee
David Weidenfeld, Trustee
Joanne Johnson, Trustee
Eric Smith, Trustee
Cover Production: Vicarious Productions
TABLE OF CONTENTS
Section 1 Transmittal Letter
Dane C. Bragg, Village Manager ................................................................................................ 7
Section 2: Organization and Services
List of Principal Officials................................................................................................................. 21
Organizational Chart .................................................................................................................... 23
Village Commissions, Committees, & Boards ........................................................................... 24
Village Overview ............................................................................................................................ 25
Strategic Planning ......................................................................................................................... 32
Section 3: Budget Process and Structure
Budget Timeline .............................................................................................................................. 58
Budget Sections ............................................................................................................................. 59
Basis of Budgeting ......................................................................................................................... 60
Annual Budget vs. Financial Statement .................................................................................... 60
Fund Structure ................................................................................................................................ 60
Financial Policies and Goals ........................................................................................................ 61
Account Numbers ......................................................................................................................... 62
Current Village Funds .................................................................................................................... 65
Budget Responsibilities .................................................................................................................. 66
Section 4: Executive Overview
Budget in Brief ................................................................................................................................ 69
Revenue Trends and Projections ................................................................................................ 81
Expenditures Trends and Projections ......................................................................................... 94
Debt Position ................................................................................................................................. 102
Debt Service Schedules ............................................................................................................. 104
Fund Balance Projections by Fund ........................................................................................... 107
Section 5: Corporate Fund
Non-Operating Transfer .............................................................................................................. 114
Legislative ...................................................................................................................................... 122
Office of the Village Manager .................................................................................................. 132
Finance Department .................................................................................................................. 145
Human Resources Department ................................................................................................ 159
Community Development ......................................................................................................... 173
Police Department ...................................................................................................................... 193
Fire Department/EMA ................................................................................................................. 213
Public Works .................................................................................................................................. 234
Revenue....... ................................................................................................................................. 109
Section 6: Capital Improvement
Capital Improvement Plan ........................................................................................................ 285
Capital Projects – Streets Fund .................................................................................................. 329
Capital Projects – Facilities Fund .............................................................................................. 333
Motor Fuel Tax Fund .................................................................................................................... 340
Section 7: Enterprise Funds
Golf Course Funds ....................................................................................................................... 349
Water & Sewer Operating ......................................................................................................... 358
Refuse Fund .................................................................................................................................. 382
Section 8: Internal Service Funds
Building and Facility Maintenance Fund ................................................................................. 391
Central Garage Fund ................................................................................................................. 400
Information Technology Fund ................................................................................................... 409
Section 9: Fiduciary Funds
Fire Pension ................................................................................................................................... 417
Police Pension .............................................................................................................................. 424
Section 10: Other Funds
Debt Service Fund ....................................................................................................................... 433
Parking Lot Fund........................................................................................................................... 440
Appendix A: Comprehensive Fee & Tax Schedule
Fees Schedule ............................................................................................................................. 449
Fine Schedule .............................................................................................................................. 476
Appendix B: Financial Policies & Projections
Fund Balance and Reserve Policy ........................................................................................... 483
Debt Policy .................................................................................................................................... 485
Investment Policy ......................................................................................................................... 494
Revenue Collection Policy ......................................................................................................... 504
Procurement Policy ..................................................................................................................... 512
General Fund Forecast ............................................................................................................... 563
Fixed Asset and Capital Equipment Capitalization Policy .................................................. 585
Water Fund 20 Year Proforma ................................................................................................... 595
Stormwater Fund 20 Year Proforma ......................................................................................... 600
Post-issuance Procedures Manual ........................................................................................... 604
Appendix C: Human Resources
Health Plan Benefits ..................................................................................................................... 625
Employee Staffing Levels ........................................................................................................... 627
Appendix D: Document Definitions
Glossary ......................................................................................................................................... 633
Acronyms ...................................................................................................................................... 648
SECTION ONE: TRANSMITTAL LETTER
Village Hall • Fifty Raupp Boulevard • Buffalo Grove, IL 60089-2100 • (847) 459-2500
VILLAGE OF
BUFFALO GROVE
MANAGEMENT’S LETTER TO THE
CORPORATE AUTHORITIES OF
THE VILLAGE OF BUFFALO GROVE, ILLINOIS
October 30, 2017
Honorable President Beverly Sussman and Board of Trustees:
It is my pleasure to submit to the Village Board the proposed budget for the
Village of Buffalo Grove for the Fiscal Year ending December 31, 2018. The
document presented herein represents over five years of work to accomplish the
Village’s first program-based budget. The Village Board and staff team are very
proud of this significant achievement. Moving to the program-based format
gives invitation to a new perspective on providing the highest quality, most cost-
efficient services to our constituents.
Over the past five years, the leadership team has worked cooperatively to clear
significant financial hurdles, while repositioning the balance sheet with an eye
toward sustainability. The Village has tackled several key areas on the expense
ledger, including a centralized procurement program, renegotiating service and
commodity contracts, rightsizing staffing levels, pursuing alternate service
delivery models and more. On the revenue ledger, the Village has aggressively
pursued revenue-generating users to locate or expand within the corporate
limits, revised fine and fee structures, implemented a storm water management
fee and more.
The collective pursuit of the aforementioned measures has been and continues
to be the development of dedicated funding streams for adequate
maintenance and replacement of the Village’s infrastructure assets. To date,
the Village has established dedicated reserves for the water and sanitary sewer
utility, stormwater utility, building maintenance and fleet. In scanning the
horizon, the Village is faced with the same challenges as many other
municipalities of the same era – infrastructure is aging faster than resources are
or will be available to replace it – in spite of dedicated annual reserve
contributions.
With respect to future needs for capital assets, the budget document presented
herein is substantially a maintenance budget. Reserve contributions have been
carried forward at 2017 levels; there is little growth in revenue and little
corresponding growth in expenditures. A nominal-growth ad valorem tax rate is
recommended for the forthcoming year, with new growth dedicated primarily to
Page 7 of 648
Village Hall • Fifty Raupp Boulevard • Buffalo Grove, IL 60089-2100 • (847) 459-2500
increasing pension obligations. There are no material service or program
changes proposed for 2018.
STRATEGIC PLANNING AND MANAGEMENT
The Village completed an update to its 2012 strategic plan in 2017. The following
strategic themes, as defined by the Village Board, have guided the
development of the budget as a function of the Village’s vision and mission:
Service Optimization, Financial Stability, Collaboration, Economic Development
and Infrastructure Sustainability. A more detailed analysis of the strategic
initiatives can be found in Section 2: Organization and Services and Section 5:
Corporate Fund Summary and Detail sections. The strategic themes and key
performance indicators included in this budget establish the framework for the
Village’s 2018 work plan. Within this budget, financial resource allocations are
directly tied to desired strategic outcomes, as outlined in Section 4: Organization
and Services.
The Village’s three priority focus areas, as established by the Village Board, are
Economic Development, Leadership and Finance. Within these priority areas, a
number of initiatives have been identified to grow local economic activity, to
prepare the current and future Village Boards for the challenges ahead and to
continue the Village’s longstanding tradition of sound fiscal management.
Within the plan, the team identified goals and prioritized them by term and level
of importance, creating a matrix of goals within the following categories:
The strategic direction developed through the goal setting prioritization process
focuses on:
high quality, efficient customer services;
working cooperatively with other units of government to drive down the
cost of service delivery;
building reserves for future infrastructure maintenance and replacement;
diversifying revenue streams;
engaging Buffalo Grove citizens in the governance process;
developing the next generation of staff leadership;
improving the quality of life; and
enhancing environmental sustainability in the community.
PRIORITY AND TERM OF GOALS – STRATEGIC PLAN
Low Priority,
Short Term
Medium Priority,
Short Term
High Priority,
Short Term
Low Priority,
Mid Term
Medium Priority,
Mid Term
High Priority,
Mid Term
Low Priority,
Long Term
Medium Priority,
Long Term
High Priority,
Long Term
Page 8 of 648
Village Hall • Fifty Raupp Boulevard • Buffalo Grove, IL 60089-2100 • (847) 459-2500
The Village continued its commitment to long-term operational and capital
planning by updating and presenting its five-year Operating Financial Forecast
2018-2022 and the 20-Year Water and Sewer Pro-Forma, as well as the
Stormwater Fund 20 Year Pro-Forma. The 2018 projections were previously
presented to the Village Board on June 5, 2017; a copy of each is included in
Appendix B.
GENERAL OPERATIONS
The Village’s 2018 financial plan continues prior work in the areas of service
efficiency, cost reduction and capital investment targeted to the highest
priorities. As outlined later in this correspondence, the Village will continue its
plan to reinvest in core infrastructure assets through its Capital Improvement
Plan. Within the area of general operations, staffing levels are projected to
increase in areas related to the Village’s current focus, most notably planning
and development activities and the sale of services. Projected total personnel
will remain flat at 270, with full-time personnel expected to increase from 212 to
214 and part-time staff reduced from 58 to 56, year over year. Over the past five
years, total staffing Village-wide has decreased more than 21 percent through
attrition and alternate service delivery models, from a peak of 327 in 2010.
Technology investments continue to dominate internal projects for 2018,
including the ongoing implementation of the electronic work order and asset
management system (Cartegraph) for Public Works, selection and
implementation of a new Computer Aided Dispatch (CAD) and records
management system (RMS) for public safety operations (led by Northwest
Central Dispatch Agency) and electronic ticketing for the Police Department
(led by the Lake County Circuit Clerk). The Village has modernized a number of
former paper-based or analog processes over the past five years, including
electronic time sheet management and payroll, enterprise financial software,
electronic Freedom of Information Act (FOIA) processing and electronic
employee performance reviews. Scanning the horizon, the Village envisions
further expanding its catalog of electronic services for residents and businesses
into the foreseeable future.
The Village made a substantial investment in its Buffalo Grove Golf Course
operation with the remodeling of the common areas and restaurant space at
the clubhouse facility in 2017. A new tenant, Wild Buffalo restaurant, began
operations at the clubhouse in June, 2017. The golf enterprise continues to
struggle to achieve breakeven status in a highly saturated market with weak
demand. The Village Board has begun a business planning process for the golf
enterprise to contemplate the future direction of the operation and to tailor
investment strategies based on the desired approach, the results of which are
expected in 2018.
For 2018, fee revenue totaling $2,394,700 is expected from operations at both
golf courses. This revenue remains less than the pre-recession peak by
approximately $130,000 annually. Operating transfers totaling $304,555 are
budgeted to balance the fund, a decrease of $33,307 from 2017 estimated
Page 9 of 648
Village Hall • Fifty Raupp Boulevard • Buffalo Grove, IL 60089-2100 • (847) 459-2500
actual. To offset the highly competitive market for golf patrons, the Village has
taken extraordinary steps to reduce operating costs while maintaining the
highest level of service possible at both the Buffalo Grove Golf Club and
Arboretum Club courses. To that end, the Village Board approved an
agreement to outsource maintenance operations in 2015 with a projected
(contractual) savings of $1 million over five years.
As stated earlier, the Village has made a conscious effort to move to a program-
based budgeting model, developing service tiers and internal service funds for
village-wide in-house cost centers. Within Section 8: Internal Service Funds, the
information technology, building maintenance and central garage activities are
budgeted. Within each of the department or division budgets in Section 5:
Corporate Fund Summary & Detail can be found the chargeback for each
service to the department’s operating expenses. For 2018, internal service
chargebacks have been reallocated based on experience, which shows as a
net decrease in charges for operating departments and divisions.
General Fund Revenues
FY 2018 General Fund revenue is expected to
increase $294,206 over 2017 budget, primarily due
to construction and building fees. Total General
Fund revenue is estimated at $42,304,435.
The General Assembly passed several revenue
enhancements to balance the state’s budget in
2017, impacting sales and income tax proceeds for
2018. Home rule sales tax returns are now charged
a two percent administrative fee by the Illinois
Department of Revenue. In addition, the Local
Government Distributive Fund (LGDF) float was
collapsed and two months of payments to municipalities were forfeited. As a
result, any gains in state and home rule sales tax activity will be offset by the new
fees and loss of funds.
The General Assembly also increased the personal income tax rate from 3.75
percent of adjusted gross income to 4.95 percent, however, the local share was
proportionally diminished to offset any gains to municipal and county
governments. Income tax receipts stagnated in 2017 and are projected to
remain flat to declining for 2018. As a result, income tax receipts are expected
to decline $577,000 from 2017 budget to 2018 budget.
The ad valorem (property tax) levy is discussed in further detail within this
correspondence and within Section 4: Executive Overview. It is important to
note that, while the overall levy is projected to grow year-over-year, the increase
in the levy is driven entirely by sagging or reduced state revenues, offsetting 90
percent of the state revenue reduction.
The General Fund revenue projections included in the 2018 budget are
consistent with the five-year projections presented to the Village Board on June
Projected Revenue
Changes
$71,000 – Food /
Beverage Tax
$428,300 – Property Tax
$(577,300) – Income Tax
$85,000 – Ambulance
Transport Fees
$58,000 – Real Estate
Transfer Tax
Page 10 of 648
Village Hall • Fifty Raupp Boulevard • Buffalo Grove, IL 60089-2100 • (847) 459-2500
5, 2017. The projections have been further refined based on budget balancing
strategies and are included in Appendix B: Financial Policies and Projections.
Additional information concerning revenue projections and trends may be
reviewed in Section 4: Executive Overview.
General Fund Expenditures
The Village continues to aggressively manage expenditures with a strong focus
on lean and efficient operations and competitive third-party contracts. General
Fund actual expenditures as a percentage of budget are expected to be 97.9
percent for 2017, primarily due to reduced snow removal costs (weather-
related), settlement of collective bargaining agreements and mid-year
operating adjustments as a result of decreasing state income tax payments. The
2017 General Fund budget will increase $260,322 year-over-year inclusive of
contingency in the amount of $230,000. Wages and benefits are the largest
categorical expenditure at $31,782,106, or 75.2 percent of the operating budget.
Wages and benefits are projected to increase 5.4 percent year-over-year,
including collectively bargained salary increases from recently negotiated
contracts, pension contributions and two proposed staff positions in the
Community Development and Fire departments. The proposed expenditure
plan includes all necessary personnel wages and benefits, commodity costs and
general operations to operate the organization in accordance with the Village
Board’s expectations.
Fund Balance
The Village of Buffalo Grove utilizes an adopted fund
balance policy to provide for an unassigned fund
balance. As a home rule municipality, the Village is not
subject to state-mandated fund reserve policies. The
General Fund reserve policy was decreased in 2010
from 35 percent to 25 percent of the subsequent year’s
budget (less pension transfers), or approximately three
months of operating expenditures.
The Village’s fund balance policy is structured to
provide sufficient cash-flow as necessary. The Village’s
proactive fund management has been cited by Standard & Poor’s and Moody’s
Investor Services as a key factor in maintaining a AAA and Aaa bond rating,
respectively, and was again affirmed in 2017 for existing as well as new debt
issued in 2016.
For 2018, an unassigned fund balance of $10.18 million is required to maintain
sufficient operating cash within the General Fund. Unassigned fund balance is
projected to be $16.2 million, or 39.7 percent of the 2018 budget, less capital
projects and capital reserve transfers as of December 31, 2018. The proposed
budget does not anticipate the use of unassigned fund balance for general
operations. Use of fund balance is proposed for non-operating funds and for
capital expenditures in the Water and Sanitary Sewer Fund. There are two
capital projects that will require an additional source of funding – HVAC and roof
repairs.
Projected Fund
Balance
25% Reserve -
$10,176,870
35% Reserve -
$14,247,618
Projected
Reserve -
$16,155,722
(39.7%)
Page 11 of 648
Village Hall • Fifty Raupp Boulevard • Buffalo Grove, IL 60089-2100 • (847) 459-2500
ECONOMIC AND POLITICAL CLIMATE
National factors affecting the Village include proposed changes by the White
House to modify or impose tariffs on imported goods, stricter regulation of
immigration laws and work visas, modifications to the Affordable Care Act,
revisions to the corporate and personal tax code and the yet unapproved
Marketplace Fairness Act, which would create a national basis upon which to
tax internet sales. Modification of one or more of these regulations could affect
local industries positively or adversely.
With respect to workforce, Illinois has seen its seasonally adjusted employment
rate decrease from 5.8 percent to 5.0 percent for the year ending August 2017,
there has been a corresponding decrease in the total workforce of nearly
100,000 persons (1.4 percent decline) during the same period. The Chicago
metropolitan area labor force has not decreased as sharply as other areas of the
state, with a 0.9 percent reduction in total workforce over the same period.
Buffalo Grove’s total workforce decreased by 140 positions year-over-year, while
total employment decreased by 45 positions. The Village ended August 2017
with a seasonally-unadjusted unemployment rate of 4.0 percent1.
The Village straddles two counties (Cook and Lake),
which can complicate economic trend analysis. Due
to the community’s proximity to the Tri-State Tollway
employment corridor and its position as a regional
advanced manufacturing hub, it is logical to examine
the projections for employment growth for the Lake
County Local Workforce Investment Area. For the
2011-2019 projection period, the LWIA job market is
expected to grow 7.0 percent, or 25,981 total positions.
Industries with the greatest growth potential include
food preparation and serving related occupations
(14%), healthcare support occupations (12%),
computer and mathematical occupations (12%),
business and financial occupations (11%) and
transportation and material moving occupations (11%). Military occupations
expect the sharpest decline by 2019. Computer and mathematical occupations
have the highest average hourly earnings at $38.572 (2013) with 412 annual
openings.
The local housing market remained strong into 2017 but has cooled later in the
year. Median home sale prices hit a six-year year high of $322,800 in September
2015 and have hovered around $300,000 since that time3. Home values are
expected to increase 3.1 percent overall through August 2018 within the
Chicago metropolitan area and 1.9 percent in Buffalo Grove4. Buffalo Grove
1U.S. Department of Labor, Bureau of Labor Statistics, August 2017, Not Seasonally
Adjusted
2 Lake County LWIA Labor Market Update, March 2016
3 Zillow Home Index, Zillow.com
4 Zillow All Regions Home Value Forecast, August 2017
Key Stats
$294,900 –
Median Home
Value
2.6% - YoY
Increase –
Home Sale Price
4.0% -
Unemployment
Rate
0.65% -
Assumed
Investment Yield
Page 12 of 648
Village Hall • Fifty Raupp Boulevard • Buffalo Grove, IL 60089-2100 • (847) 459-2500
has consistently ranked high in the metropolitan area with shortest times from list
to sale and higher than average sale-to-list price ratios (94%)5
The State of Illinois remains the greatest external economic threat to the Village’s
operations. The legislature developed and adopted a patchwork budget in
June of this year. The budget was vetoed by Governor Bruce Rauner and
subsequently overridden by both chambers of the General Assembly. The 2018
budget was the first budget adopted since the Governor took office in 2015. As
discussed previously, a combination of revenue cuts, administrative fees and
diminished income tax receipts negatively impacted the Village’s budget by
approximately $470,000.
There are varying accounts of the structural imbalance facing the State of Illinois,
even with an increase in the corporate and personal income tax rates. At
present, Comptroller Susana Mendoza estimates the state’s backlog of unpaid
bills to be $16.5 billion6. The state is structuring debt issues to refinance some of
the unpaid invoices in the coming months. The state is not making any progress
toward reducing its actuarial unfunded pension liabilities, however, and the
Commission on Government Forecasting and Accountability predicts a
significant operating deficit for the 2019 fiscal year – with a flat spending plan the
backlog of bills continues to grow to as much as $25.5 billion7.
The state’s precarious financial position continues to have a negative impact on
the market for bonds issued by Illinois governments in general. Moody’s Investor
Services rated State of Illinois general obligation debt at Baa3 with a negative
outlook in October 2017, just one notch above junk status8. The City of Chicago
has held junk rating status since May of 2015.
The Village enjoys positive and cooperative relationships with all overlapping
taxing districts, including two townships, two counties, four elementary education
districts, two secondary education districts, two libraries and two park districts. In
recent years, the Village has worked with all of these districts on a number of
intergovernmental initiatives related to procurement, service delivery and
economic development.
From a market-based perspective, the 2018 budget anticipates corporate
investment returns of 0.65 percent, exclusive of pensions. The Village has
maintained an aggressive portfolio with regard to liquidity, holding as much as 60
percent of investments in short-term funds and in anticipation of a future
investment rate increase. Given the volatility of state shared revenues, it is
imperative that sufficient cash be held in short-term investments, which ultimately
reduces the Village’s investment yields. Pension performance has been
consistent and solid, with the Police and Fire pensions earning 6.4 and 7.05
percent returns, respectively, for the period ending December 31, 2016.
5 Zillow Buyer-Seller Index
6 Illinoiscomptroller.gov “the ledger” bill backlog 10/24/17
7 COGFA three Year Budget Forecast 2018-2020, cgfa.ilga.gov
8 Moody's Assigns Baa3 to Illinois' Payment Backlog Bonds; Outlook Negative,
moodys.com/research
Page 13 of 648
Village Hall • Fifty Raupp Boulevard • Buffalo Grove, IL 60089-2100 • (847) 459-2500
The overall economic climate has remained strong in the retail and industrial
sectors, while the office market continues to struggle. Office vacancy outside of
the Loop has remained abnormally high in all areas except Schaumburg, which
operates as a corporate hub for many enterprises. The City of Chicago
continues to aggressively poach corporate headquarters from the suburbs to the
downtown area, the most recent being the relocation of the McDonald’s
corporate campus from Oakbrook. The suburbs have had their own successes,
recently welcoming Zurich North America to its new headquarters facility in
Schaumburg and Caterpillar’s relocated headquarters to Deerfield.
The Village signed agreements with Connexion, Woodman’s Food Markets, Inc.
and ThermFlo Products over the past year to establish or expand operations in
Buffalo Grove. Connexion has completed the bulk of its expansion and ThermFlo
opened in its new location in July 2017. Woodman’s Food Markets began
construction of its new 242,000 square foot grocery store at Deerfield Parkway
and Milwaukee Avenue in September 2017.
2018 will mark the implementation phase of the Lake Cook Road Corridor Plan
and Market Study initiative, designed to stimulate economic growth in the heart
of Buffalo Grove. Lead consultant HOK Group will present plan findings and
recommendations to the Village Board before the end of 2017.
COMPREHENSIVE BUDGET
All Fund Revenue, Expense and Fund Balance
For 2018, the total budget will increase 0.7 percent, or $290,044, from 2017. The
budget increase is attributable to normal growth in wage and benefit costs,
commodities and long-term liability funding. The total budget has decreased 4.4
percent, or $3,304,464, since 2015. Capital projects total $7.7 million for
operating and enterprise projects and equipment, or 9.6 percent of the total
budget. The following table provides a summary of all funds.
Fund
12/31/18
Revenue & Other
Sources
General Fund $42,304,435
Special Revenue Funds 1,208,200
Debt Service Funds 1,682,693
Capital Project Funds 1,936,963
Enterprise Funds 15,485,199
Internal Service Funds 4,639,757
Permanent/Pension Funds 12,661,311
Total $79,954,558
Page 14 of 648
Village Hall • Fifty Raupp Boulevard • Buffalo Grove, IL 60089-2100 • (847) 459-2500
Balance Sheet Considerations
The Village did not issue any new debt in 2017. For 2018, the Village will retire an
additional $1,315,000 on the Series 2010-A, Series 2010-B, Series 2012 and Series
2016 issues. By year-end 2018, the Village will have outstanding bonded debt
totaling $13,050,000 with all current debt maturing no later than 2031.
The Village maintains a line of credit in the amount of $8.0 million for the Emerald
Ash Borer project and to provide cash as needed for capital projects. To date,
the Village has drawn $3.49 million of the total line. The Village has used the line
of credit entirely for the EAB response program. The Village will need to extend,
refinance or pay off the line of credit during Fiscal Year 2018.
The Village’s strategy to fund long term depreciation for
capital facilities and equipment was restructured in 2014
with the rebalanced budget process. A total of
$1,081,565 in reserve transfers for vehicles, building and
infrastructure asset replacement is included in the
budget. It should be noted that, due to scheduled and
deferred equipment replacements, the Village will draw
down its equipment reserve in the amount of $1.7 million
in 2018, which was planned for and funded through the
depreciation process.
CAPITAL INVESTMENTS
In addition to contributions for depreciated assets, the Village expends funds on
an annual basis for the maintenance and replacement of certain assets through
its Capital Improvement Plan. The plan is reviewed throughout the year with the
Village Board and is approved annually as part of the budget process. The
purpose of the plan is to present a five-year projection of anticipated projects in
order to secure necessary funding allocations to complete the projects. The
Capital Improvement Plan is often oversubscribed, meaning there are more
funds requested than available. For this reason, the plan is financially
constrained and made a part of the budget process.
For 2018, the capital plan budget (exclusive of equipment) is $5,513,014 on
requests totaling $11,608,763, or 47.5 percent. The unbudgeted portion of the
plan is driven by backlogged street maintenance work ($3.0 million) as well as
storm water projects ($583,000) and deferred facility maintenance ($707,000).
The Village completed a $6 million bond issue for street repair work in 2016.
The capital plan has shifted from technology-laden expenditures in recent years
to bricks-and-mortar system replacement of facilities. Aging facilities continue to
place a significant strain on the capital program. Preliminary analysis by Wold
Architects shows a need for $5.2 million in identified facility maintenance needs
over the next five to seven years. Many of these projects can no longer be
deferred. Factoring in maintenance and remodeling/expansion cost at existing
facilities, the capital need grows to $22.3 million. The architect will present a full
facility analysis report in 2018, inclusive of recommendations for relocation or
expansion of existing facilities.
Capital Program
$1,081,565 –
Capital Reserve
Transfer
$7,700,088 –
Capital Projects
& Equipment
9.6% of Total
Budget
Page 15 of 648
Village Hall • Fifty Raupp Boulevard • Buffalo Grove, IL 60089-2100 • (847) 459-2500
The Village generates revenue for the capital program from a number of sources
including direct transfers from the General Fund, federal Surface Transportation
Program funds, the Motor Fuel Tax Fund, a chargeback to the Refuse Fund, the
Water & Sewer Fund, the stormwater utility fee and the Golf Fund.
Water and sewer projects comprise 37 percent of the total capital expenditures
budgeted for the year, while 28 percent of the capital program is allocated to
streets. For more detailed information on the proposed capital plan, please refer
to Section 6: Capital Improvement Plan.
In addition to facility and infrastructure investments, the Village will also fund a
$2.2 million equipment replacement program for 2017. Included within this
program allocation is the replacement of one quint apparatus and one
ambulance for use by the Fire Department, comprising 43 percent of total
expenditures. A full listing of equipment replacement priorities is included in
Section 6: Capital Improvement Plan.
ENTERPRISE ACTIVITIES
Water and Sewer Utility
The Village Board approved a rate increase for water and sanitary sewer
services on July 9, 2012. The combined rate will increase from $5.91 per 1,000
gallons consumed to $6.14, effective January 1, 2018.
The Lake County Department of Public Works prepared a rate analysis for the
Southeast Wastewater Treatment Plant and published its rate for Lake County-
Buffalo Grove residents in October 2015. The base rate will remain at $4.00 per
1,000 gallons through 2018, while the summer sewer credit factor will increase
from 110 percent to 120 percent of average non-peak consumption, upon
execution of a new agreement for services. The Village Board has not yet
considered an extension of the agreement for service with Lake County.
The Northwest Water Commission passed an increase of 3.5 percent to its
wholesale rate for the 2017-18 fiscal year. The increased charge is factored into
the water rate charged by the Village to its residential and commercial
customers.
Stormwater Utility
The Village Board enacted a stormwater utility fee on January 1, 2016, with a
fixed fee of $5.08 monthly for single family residential parcels and a calculated
fee based on lot size for all other parcels. No change to the fee is contemplated
for 2018.
Page 16 of 648
Village Hall • Fifty Raupp Boulevard • Buffalo Grove, IL 60089-2100 • (847) 459-2500
FEES, SALES & USE TAXES AND THE PROPERTY TAX LEVY
The following rate/tax amendments are proposed in the FY 2018 budget:
Property Tax Levy
The 2017 (payable 2018) tax levy includes fully funded Fire, Police and IMRF
pension allocations as well as funding for public safety and debt service, for a
total Village levy of $16.7 million. Of the total levy request, $1,682,694 will be
used to service debt on the Series 2010-A, Series 2010-B, Series 2012 and Series
2016 bonds after abatements totaling $654,250. The property tax levy is
scheduled to increase 3.1 percent year-over-year after abatements.
The Village Board will consider amendments to the fire billing ordinance in 2018.
No additional fee, rate or tax amendments are proposed for the year except as
previously approved by the Village Board.
PERSONNEL FACTORS
Staffing
Personnel levels are projected to remain stable, with 214 full-time and 56 part-
time positions included in the budget. For all positions, the ratio of municipal
employees per 1,000 residents is 6.5, compared to a ratio of 7.8/1,000 in 2010.
Two full-time positions are proposed within the budget, a Battalion Chief/Training
Officer in the Fire Department and an Associate Planner in the Community
Development Department. Both positions have been identified as critical to
maintain service delivery at expected levels. Total staffing will remain at 270
inclusive of the proposed new positions.
Wages
It is desirable that the Village provide for a general wage increase in 2018 in
order to maintain a competitive environment for talented individuals. A 2.25
percent increase has been included in the salaries of full-time and part-time non-
represented personnel. Under the pay-for-performance plan for non-
represented employees, two allocations are provided for performance
incentives in 2018, $173,000 for satisfactory performance range movement and
$52,000 for performance that exceeds expectations, for a total of $225,000, or
0.99 percent of payroll.
In total, the wage pool for 2016 is $23.6 million, a 1.6 percent net increase against
2017 budget. The wage pool includes base wages, compensatory time payouts,
overtime, step increases, and pay for performance incentives for all employees.
The Village is currently operating under a collective bargaining agreement with
IAFF Local 3177 through April 30, 2020. A tentative agreement has been
established with the Metropolitan Alliance of Police through December 31, 2018,
subject to ratification by both parties.
Page 17 of 648
Village Hall • Fifty Raupp Boulevard • Buffalo Grove, IL 60089-2100 • (847) 459-2500
Training
It remains a high priority to provide necessary training and professional
development for Village personnel, both in terms of providing for a well-rounded
workforce and to develop the next generation of leaders within the organization.
The budget includes training and professional development for employees
totaling $240,400 inclusive of in-house training, tuition reimbursement and travel
expenses. The Village’s 2018 cost-per-employee for training activities is $890,
some15 percent or $162 less per employee than the national average.9
Employee Health & Wellness
For 2018, the Village will continue its membership with the Intergovernmental
Personnel Benefits Cooperative (IPBC) with network access provided through
Blue Cross Blue Shield of Illinois. The Village’s association with IPBC provides
balance and predictability to its self-funded health plan, with the incorporation
of a nine percent fund reserve mandated by the cooperative. For 2018, various
plan changes will take effect, including the phase-out of the PPO-B plan. Total
premium will remain flat year-over-year, after accounting for plan changes and
reserve contributions mandated by IPBC. For additional information on the
health plan rate structure, please review Appendix C: Human Resources.
Acknowledgements:
The development of an annual budget is both a monumental and rewarding
task, reflecting the contributions of the entire organization. This year’s financial
planning process has been no exception and reflects the values, mission and
vision of the entire Village. I cannot overemphasize my gratitude to the entire
Village staff for their diligence over the last several years as we have transitioned
to a new and exciting program budget. Many thanks to Director of Finance
Scott Anderson, Deputy Finance Director Andrew Brown and Management
Analyst Evan Michel for their contribution to creating the budget document.
Grateful appreciation is extended to Jennifer Maltas, Deputy Village Manager,
Mike Reynolds, Director of Public Works, Fire Chief Mike Baker, Police Chief Steve
Casstevens, Arthur Malinowski, Director of Human Resources, Chris Stilling,
Community Development Director, Franceska Fabyan, Accountant, Darren
Monico, Village Engineer, Brett Robinson, Purchasing Manager, Geoff Tollefson
and Joe Bridges of Golf, Nicole Woods, Village Planner, Brian Sheehan, Building
Commissioner, Mike Skibbe, Deputy Public Works Director and Peter Cahill,
Management Analyst for their cooperation, responsiveness and ability to get the
job done. Finally, the Village Board deserves sincere appreciation for their
stewardship over Village finances and thoughtful planning for the Village’s
future.
Respectfully,
Dane Bragg,
Village Manager
9 2016 Industry Training Report, training expenditures per learner, small companies,
trainingmag.com.
Page 18 of 648
PAGE INTENTIONALLY LEFT BLANK
SECTION TWO : ORGANIZATION
AND SERVICES
LIST OF PRINCIPAL OFFICIALS – ORGANIZATIONAL CHART – VILLAGE
COMMITTEE, COMMISSIONS, & BOARDS – VILLAGE OVERVIEW – STRATEGIC
PLANNING
PRINCIPAL OFFICIALS
Elected Officials
Beverly Sussman Janet Sirabian
Village President Village Clerk
Jeffrey Berman Andrew Stein Lester Ottenheimer
Village Trustee Village Trustee Village Trustee
David Weidenfeld Joanne Johnson Eric Smith
Village Trustee Village Trustee Village Trustee
Page 21 of 648
PRINCIPAL OFFICIALS
Appointed Officials/Department Directors
Dane Bragg Jennifer I. Maltas
Village Manager Deputy Village Manager
Christopher Stilling Scott Anderson Steven R. Casstevens
Community Development Finance Director Police Chief
Director
William Baker Michael Reynolds Arthur A. Malinowski
Fire Chief Public Works Director Human Resources Director
Page 22 of 648
ORGANIZATIONAL CHART
Residents of
Buffalo Grove
Village Board
Village Manager
Community
Development
Building and
Zoning
Enviromental
Health
Planning and
Economic
Development
Police
Department
Patrol
Investigations Youth
Services
Admin
Police Records
Fire Department
Emergency
Medical Services
Fire Suppression
and Rescue
Fire Prevention
&Education
Emergnecy
Management
Agency
Office of the
Village Manager
Legal
Human Resources
Communications
Information
Technology
Finance
General Services
Deputy Village
Clerk
Village Treasurer
Golf Opperations
Public Works
Admin
Engineering
Building
Maintenance
Central Garage
Streets,
Drainage
& Sewer
Forestry &
Grounds
Water
Page 23 of 648
VILLAGE COMMISSIONS, COMMITTEES & BOARDS
Village Commissions, Committees, and Boards are appointed by the Village’s Corporate
Authorities. The list of Commissions can be found in Title 2, Administration and Personnel, within
the Village’s Municipal Code. The Municipal Code can be found on the Village’s website at
www.vbg.org. Each Commission is established by parameters for its operation including, but not
limited to duties of the Commission, members, meeting schedule and purpose.
Individuals interested in volunteering for a Village Commission, Committee, or Board are
encouraged to complete an Online Volunteer Application available on the Village’s website or
by contacting Village Hall. Appointments are made by the Village President with the
concurrence of the Board of Trustees. The following is the list of approved Commissions,
Committees, and Boards as set forth in the Municipal Code.
Chapter 2.14 Police Pension Fund
Chapter 2.24 Health Commission
Chapter 2.26 Board of Local Improvements*
Chapter 2.28 Board of Police and Fire Commissioners
Chapter 2.32 Electrical Commission
Chapter 2.40 Arts Commission
Chapter 2.46 Planning and Zoning Commission
Chapter 2.48 Ethics Commission
Chapter 2.50 Firefighters Pension Fund
Chapter 2.52 Transportation Commission
Chapter 2.58 Commission for Residents with Disabilities
Chapter 2.60 Buffalo Grove Days Committee
* The Board of Local Improvements consists of the Village Engineer and members of the Village
Board.
Page 24 of 648
VILLAGE OVERVIEW
The Village of Buffalo Grove is located
approximately 33 miles northwest of
downtown Chicago and 20 miles north of
O’Hare International Airport. The Village’s
land area is 9.3 square miles, with 21.7
percent of the area in Cook County and
78.3 percent in Lake County. Neighboring
communities include Arlington Heights,
Lincolnshire, Long Grove, Riverwoods,
Vernon Hills, and Wheeling. The Village’s
current population is 41,778 (2013 U.S.
Census Bureau estimate).
Buffalo Grove was incorporated in 1958 and
experienced strong growth in population
and land area for several decades. The
Village’s Comprehensive Plan projects the
Village’s land area could reach
approximately 11.2 square miles with a total
population of 48,000.
The Village has excellent transportation
access for residents, businesses, employees,
and visitors. The Village is served by the
Metra North Central rail line connecting to
downtown Chicago and O’Hare airport.
Pace bus service provides access to
adjacent communities, as well as the Metra
Milwaukee District North rail line, and the
Skokie Swift CTA Yellow Line. The regional
road system serving the Village includes
Aptakisic Road, Arlington Heights Road,
Buffalo Grove Road, Lake Cook Road, and
State Routes 21, 22, 45, 83, and 68, with
direct links to Route 53 and Interstate 94.
The Village’s commercial base includes
several corporate business parks, a diverse
retail sector, and a wide range of
professional service, including medical
facilities. The Village’s residential areas
include single-family neighborhoods,
townhomes, condominiums, and
apartments. The housing stock is very
diverse, with units of different sizes and
designs available at various price points to
serve the community’s population.
The Village is served by four elementary
school districts and two high school districts,
all of which consistently receive
acknowledgement for providing high
quality education for children and young
adults in the community. Buffalo Grove is
served by two library districts and two park
districts. The Village has over 800 acres of
parks and open space, including two
municipal golf courses and a substantial
bike path and sidewalk network. Numerous
opportunities for cultural and entertainment
activities are available for residents and
visitors.
Page 25 of 648
COMMUNITY CHARACTERISTI CS
The following statistical data and graphics provide a demographic profile of the community.
The information is 2010 Census data unless otherwise noted.
Notable trends in the Village’s population include the increasing number of middle age and
senior adults, decreasing household size and increasing household and per capita income.
Median age: 42.9 (2011-2013 American Community Survey 3-Year estimates)
Median household income: $94,391 (2010-2012 American Community Survey 3-Year
estimates)
Per capita income: $45,077 (2010-2012 American Community Survey 3-Year estimates)
Total housing units: 16,997 (2014 Village estimate)
Persons per household: 2.55
Owner occupied units, persons per household: 2.63
Renter occupied units, persons per household: 2.18
HOUSING VALUE
The following information provides the average and median residential sale price from August
2016 - August 2017:
Number Sold Average Sale Price
Single Family Detached 560 353,250
Single Family Attached 244 244,167
Multi-Family 223 146,583
All Residential 1,027 248,000
Page 26 of 648
VILLAGE GOVERNMENT
Home Rule Authority
The Village of Buffalo Grove is a Home Rule Unit by virtue of the provisions of the Constitution of
the State of Illinois of 1970. Home Rule allows a community to take actions not specifically
prohibited by the state statutes. Conversely, a non-home rule community can only undertake
those actions specifically allowed for in the state statues. Home rule enables a municipality or
county to establish its own system of self-governance without receiving a charter from the state.
Home rule shifts much of the responsibility for local government from the state legislature to the
local community. The most significant powers granted to a home rule community include the
ability to enact its own police powers (health, safety, morals and general welfare), to issue
bonds without referendum and exemption from property tax caps under the Property Tax
Extension Law Limit (PTELL).
Council-Manager Form of Government
The Village established the council-manager form of government by referendum on July 1, 1980.
The council-manager form is the system of local government that combines the strong political
leadership of elected officials in the form of a council or board, with the strong managerial
experience of an appointed local government manager. The form establishes a representative
system where all policy is concentrated in the elected board and the board hires a
professionally trained manager to oversee the delivery of public services. Under council-
manager form, those duties not specifically reserved by the elected body pass to the Village
Manager and his/her professional staff.
Equalized Assessed Value
The equalized assessed value, or EAV, is the result of applying the state equalization factor to the
assessed value of a parcel of property. Tax bills are calculated by multiplying the EAV (after any
deductions for homesteads) by the tax rate.
Below are the Cook County, Lake County, and total EAV of property within the Village.
TAX YEAR COOK
COUNTY
% Increase
(Decrease)
LAKE
COUNTY
% Increase
(Decrease)
TOTAL
VALUE
% Increase
(Decrease)
2008 430,222,803 6.78% 1,450,871,616 3.05% 1,881,094,419 3.88%
2009 QL 453,182,604 5.34% 1,443,599,910 -0.50%1,896,782,514 0.83%
2010 TC 405,013,042 -10.63%1,369,087,745 -5.16%1,774,100,787 -6.47%
2011 370,243,748 -8.58%1,294,187,616 -5.47%1,664,431,364 -6.18%
2012 335,075,013 -9.50%1,196,068,204 -7.58%1,531,143,217 -8.01%
2013
QL/TC 279,396,765 -16.62%1,137,719,248 -4.88%1,417,116,013 -7.45%
2014 283,496,811 1.47% 1,141,563,977 0.34% 1,425,060,788 0.56%
2015 277,046,677 -2.28%1,198,647,088 5.00% 1,475,693,765 3.55%
2016 TC 335,031,209 20.93% 1,279,219,819 6.72% 1,614,251,028 9.39%
TC= Triennial property assessment cycle (Cook County)
QL= Quadrennial property assessment cycle (Lake County)
Page 27 of 648
MAJOR PLANNING INITIATIVES
Lake Cook Corridor Market Study and Plan
One of the key action steps from the 2016 Economic Development Strategic Plan was to
develop a vision for the Village’s Lake Cook Road Corridor via a consultant-led plan. The
project, which kicked off in early 2017, looks to explore how the Village can best reposition the
corridor to optimize its growth potential. The corridor is an important
asset to Buffalo Grove as it is a gateway into the community, offers
over one million square feet of commercial space, and is
home to important cultural and residential developments.
The Village retained nationally
renowned urban design and
consulting firm Hellmuth, Obata and Kassabaum (HOK)
to lead the Lake Cook Corridor Market Study and Plan in
2016. In 2017, the project team led the Village through
various stages of the project including public meetings,
workshops, charrettes, and other visioning sessions. The
project is expected to be completed by early 2018.
Annexation Strategies Report and Action Plan
In 2017, the Village completed an Annexation Strategies Report and Action Plan. The purpose
of the plan was to create an updated inventory of all remaining unincorporated properties and
evaluate opportunities to expand municipal boundaries. Some of the recommended strategies
include:
1.Develop a framework/outline for the completion of a
comprehensive plan update;
2.Finalize annexation agreements with the interested
properties along the Milwaukee Ave corridor;
3.Work with the Village of Lincolnshire on issues related
to shared access and floodplain/stormwater for the
northern Milwaukee Avenue area; and
4.Prepare an analysis to show the limits of the
floodplains/floodway and its impacts on the future
redevelopment for the entire Milwaukee Ave.
corridor.
Page 28 of 648
RECENT DEVELOPMENT AND BUSINESS ACTIVITY
Woodman’s Food Market
On September 27, 2017, Village officials and Woodman’s representatives celebrated the start of
construction of the new 242,000-square-foot Woodman’s Food Market grocery store on the
northwest corner of Milwaukee Avenue and Deerfield Parkway. In addition to the new
Woodman’s grocery store, the project will also include an additional 43,000 square feet of new
retail and office development on the south side of Deerfield Road by Shorewood Development
Group. The 25-acre project has involved coordination with multiple government partners
including the Lake County Department of Transportation (LCDOT) and the Illinois Department of
Transportation (IDOT) and will result in significant improvements to the intersection of Deerfield
Road and Milwaukee Avenue. The anticipated open date for both projects will be in the
summer/fall of 2018.
Woodman’s View looking North
Shorewood’s Retail/Office Development looking West
Page 29 of 648
Prairie Landing Residential Development
In early 2017, the Village approved plans for
a new residential development at the
northeast corner of Prairie Road and Route
22. The development, called Prairie Landing,
will feature new townhomes on the
property. Construction is currently
underway.
Therm-Flo Inc. and Zonatherm Products
Headquarters – 875 Busch Parkway
A formerly vacant property at 875 Busch
Parkway in the Corporate Grove industrial
park opened in 2017 with a new 40,437
square foot office and warehouse building.
Therm-Flo Inc. and its sister company
Zonatherm Products outgrew their former
facility in Wheeling and chose to expand in
Buffalo Grove. Therm-Flo Inc. designs, sells,
and services HVAC and generators
specifically for commercial data centers
and Zonatherm Products is a commercial
power system distributor.
Metro Storage – 847 Deerfield Parkway
In 2017, construction started for a new Metro
Storage facility at 847 Deerfield Parkway.
The development includes a new three story
116,412 square foot self-storage building on
the formerly vacant property.
Page 30 of 648
Goddard School - 1050 Barclay Boulevard
The Village Board approved plans to
develop a Goddard School, a 9,600 square
foot, one-story childcare and preschool
center at 1050 Barclay Blvd. Construction is
expected to begin in late 2017 or early 2018.
Burdeen’s Jewelry Addition - 1151 W Lake
Cook Road
Burdeen’s Jewelry located at 1151 W Lake
Cook Road began construction in 2017 for
an addition to their building. The addition
will be located on the northeast corner of
the property and provide over 3,015 square
feet of space over two floors.
Page 31 of 648
OVERVIEW OF 2018 -2023 STRATEGIC PLANN ING PROCESS
Strategic planning is a comprehensive and systematic
management tool designed to help organizations assess
the current environment, anticipate and respond
appropriately to changes in the environment, envision
the future, increase effectiveness, develop commitment
to the organization’s mission and achieve consensus on
strategies and objectives for achieving that mission.
Strategic planning for public organizations is based on
the premise that leaders must be effective strategists if
their organizations are to fulfill their missions, meet their
mandates, and satisfy their constituents in the years
ahead. An important component of this process is
evaluating the success of past planning initiatives.
In 2012, the Village of Buffalo Grove embarked on the
development of its first Strategic Plan. As part of the
project, the Village contracted with the NIU Center for
Governmental Studies to assist in the facilitation of the
process. The majority of the plan coordination and
development was done internally by Village staff. This to
the adoption of the 2013-2018 Village of Buffalo Grove
Strategic Plan. Five strategic planning priorities were
identified in this process, Service Optimization,
Organizational Culture, Revenue Growth, Economic
Development, and Infrastructure Sustainability.
As the first plan was coming to an end, the Village Board
directed staff to update the 2013-2018 Plan through the
development of revised strategic planning priorities; an
assessment of organizational strengths, weaknesses,
opportunities, and threats; and the identification of
strategic initiatives, goals, and action steps to achieve
the strategic priorities.
The Strategic Plan involved the hard work and dedication
of many individuals. The Village Board led the way with
the support of the Village management team. Village
staff members from all segments of the organization spent
countless hours developing a plan that would be
outcome-specific and measurable. Special thanks to
Trustees Joanne Johnson and Lester A. Ottenheimer III
who served as the Trustee Liaisons to the planning
process.
Each department has its unique strategic goals,
initiatives, and action steps included in their portion of
Section 5: Corporate Fund. However, only the near term
goals affecting this budget are listed. Included in this
section of the budget document is the Strategy Map as
well as an overview of the Strategic Priorities, Initiatives,
Goals, and Major Up Coming Action Steps. This section
likewise includes the Action Plan, which provides a
detailed analysis of strategic direction of the village.
Page 32 of 648
V ISION , MISSION, AND CORE VALUES
The Village’s Management Theme is “Achieving Excellence.”
MISSION
Excellence in Service Delivery: Continuously
evaluate programs and services to ensure they are
carried out efficiently and effectively.
Excellent Community Focus: Promote programs
and services which focus upon enhancements to
family values, social amenities, and enhanced
opportunities that contribute to business expansion
and success.
Excellent Organizational Dynamics: Ensure that the
organization remains accountable as it addresses
change and transition. We shall remain committed
to competent, dependable, and efficient service
delivery by all of our staff.
Excellent Fiscal Responsibility: Deliver valuable
public services in a responsive manner within the
parameters of adopted tax and fiscal duties.
Furthermore, we remain committed to managing
and maintaining public infrastructure and assets
with proactive services.
CORE VALUES
Strategy: The Village’s core strategy focuses on
fiscally prudent, high quality and differentiated
services to residents. Ongoing operations and
future services are defined in terms of short,
intermediate, and long-term strategies that reflect
the high-level service requirements, expectations,
and demographics of the community.
Efficiency: The Village strives to deliver products
and services in the most cost-effective manner,
seeking to minimize time and resources obligated
to core services and to lower the cost of service
delivery through competition, collaboration, and
innovation.
Culture: The Village maintains a culture of service,
loyalty, and dedication to our competencies
through adherence to a series of performance
metrics and accountability.
Technology: The Village’s priority is to launch
technology as a means to provide better and more
efficient services to our internal and external
customers. We evaluate and implement the
newest technology as an ongoing effort to improve
efficiency and enhance communications.
Page 33 of 648
VILLAGE BOARD PRIORITIES
ECONOMIC DEVELOPMENT
Goal: The Village Board will encourage and foster
economic development as a means to provide
resources for operational and capital needs as well
as to improve the quality of life of the community.
The Village Board is determined to take action on
development and redevelopment plans that:
1. Provide more Buffalo Grove based
opportunities for residents and
businesspersons to work, dine, shop and for
entertainment.
2.Increase local revenues (e.g., sales tax) by
supporting local economic development
projects consistent with approved plans.
The Village Board will explore and adopt financial
mechanisms that allow needed reinvestment to
occur – in the planning and development phases
of redevelopment.
Specific Actions: The Village Board will assess
successful projects in other communities to gain an
understanding of financial, legal, land use and
other tools available to develop successful local
projects.
Specific Actions: The Village Board will explore
establishing a commercial brokerage relationship to
seek and vet potential projects.
Specific Actions: For obsolescent, underutilized,
environmentally challenged and/or vacant
commercial properties, the Village Board will
identify and make available development finance
mechanisms for the redevelopment of the property,
dependent upon specific site/trade characteristics.
Specific Actions: The Village Board will implement
the goals adopted in the Economic Development
Strategic Plan.
LEADERSHIP
This Village Board Priority will be updated once a
consensus is reached regarding goals and action
steps.
FINANCIAL
Goal: The Village Board recognizes the need to
generate revenue streams and manage expense
structures in order to fund infrastructure
maintenance and replacement, as well as to
provide for high-quality services to its constituents.
The Village Board will allocate state shared
revenues to fund Tier II and Tier III services within five
years.
Specific Action: The Village Board will generate
revenue allocation profile by service. As part of the
program based budget, each service will show its
corresponding revenue source(s).
Specific Action: The Village Board will assess and
provide direction on any identified local revenue
sources that can be enhanced or implemented.
Specific Action: The Village Board will continue to
pursue entrepreneurial arrangements to sell
external services to other units of local government,
where a net benefit can be realized.
Specific Action: The Village Board will continue to
provide services based on core competencies,
seeking alternate service delivery models where
practical and beneficial.
Page 34 of 648
STRATEGY MAP
In order to achieve the board’s directive to identify Strategic Initiatives, Goals, and Action Steps staff developed
the following plan definitions and plan structure.
ithin each Strategic Planning Priority, there are Initiatives, Goals, and Acton Steps that are developed
by staff based on direction from the Village Board and feedback from employees. Each Action Step
contributes to the performance of a Goal. Each Goal promotes the effectiveness of a Strategy.
Initiatives enhance the village’s ability to promote the achievement of a Strategic Planning Priority. Each
Action Step includes the department responsible for its accomplishment, the Budget Program that funds
achievement of the goal, and a timeframe for completion of the goal.
Strategic
Planning
Priority
•A broad statement about what the village is striving to achieve.
Strategic
Initiative
•An area of focus that will enhance the village's performance related to a Planning Priority.
Strategic
Goal
•Defined activities that are measurable and contribute to the success of the initiative.
Action
Steps
•Specific projects, processes, or programs that are required to achieve the goal.
W
Page 35 of 648
STRATEGIC PLANNING PRIORITIES
he plan is comprised of five overarching
Strategic Planning Priorities based on feedback
received from employees, senior staff, and the
Village Board. These priorities direct the
development of the annual budget and guide the
Village’s work throughout program areas. The five
overarching Strategic Planning Priorities are as
follows:
SERVICE OPTIMIZATION:
Based on needs and expectations of the
community and prioritization of core services,
provide optimal service enhancing processes both
internal and external to the organization.
FINANCIAL STABILITY:
Maintain a positive financial position with a long-
term perspective by diversifying revenue sources,
aligning fee structures to adequately reflect service
demands, reducing the Village’s reliance on
property and state shared taxes, and ensuring
revenues adequately fund services and
infrastructure needs.
COLLABORATION:
Create and maintain an environment that engages
and empowers all employees, residents, and
organizations that serve the community in the
mission of the Village as well as encourage the
development of human capital and resources.
.
ECONOMIC DEVELOPMENT:
Maintain and enhance the quality of life in the
community through on-going assessment, public
and private partnerships, and by leveraging
resources to meet community objectives. Create
an inviting environment for doing business in the
community through targeted communication and
marketing methods, consistent with the needs and
values of the village.
INFRASTRUCTURE
SUSTAINABILITY:
Infrastructure, which includes Village buildings,
streets, utilities, information assets, vehicle fleet, and
other assets necessary for maintaining service
levels. Plan for the financial resources necessary to
maintain current infrastructure, upgrade for
efficiency or enhanced capabilities, and plan for
the future infrastructure needs of the community.
T
Page 36 of 648
SERVICE OPTIMIZATION
STRATEGIC INITIATIVE S
GOALS
MAJOR UPCOMING ACTION STEPS
Implement an online benefit administration
program
Develop a comprehensive plan to utilize existing
data collection practices to implement intelligent
policing practices
Investigate opportunities to sell water services to
smaller agencies and unincorporated areas
FINANCIAL STABILITY
STRA TEGIC INITIATIVE S
GOAL S
MAJO R UPCOMING ACTION STEPS
Evaluate opportunities for revenue enhancements
and cost containment strategies for BG Days.
Establish a strategy to fund the building reserve at
appropriate level
Examine dedicated funding source for Police and
Fire Pensions
External Service
Provisions
Intergovernmental
Partnerships
Internal
Operations
Explore opportunities to improve
customer experience
Implement an expanded portfolio of E-
services
Achieve economies of scale through
inter-agency cooperation
Investigate opportunities to sell services to
other communities
Work with other agencies to provide
increased public safety services
Instill a culture of continual process
improvement
Cost Control Reserve Growth
Revenue
Diversification
Evaluate village programs
Streamline village administrative
processes
Appropriately fund reserves
Streamline village administrative
processes
Undertake regular review of village fee,
fines, and rates
Page 37 of 648
COLLABORATION
STRATEGIC INITIATIVES
GOALS
MAJO R UPCOMING ACTION STEPS
Implement a plan to interview current staff
members to identify employee concerns and
opportunities
Develop plan to increase citizen engagement with
the Police Department through neighborhood
meetings
Implement a refresh of the village website
Establish enhanced public outreach for road
projects
Develop and implement a formal employee
onboarding program
Develop and implement a formal Village wide
employee recognition program
Develop a comprehensive plan to centralize and
standardize employee training
Develop and implement more opportunities for
departments to collaborate
Develop strategies to use a 501(c)3 to partner with
local agencies on programming
Establish elected official liaisons to local taxing
bodies
Citizen
Engagement
Employee
Development and
Recognition
Relationships with
Buffalo Grove
Entities
Develop plan to improve internal
communication between employees
and management
Encourage employees to grow and
develop in each stage of their careers
Foster an environment where employees
can gather knowledge, learn best
practices, and new skills
Support and recognize employee needs,
growth, and achievements
Assist other agencies with preparing for
emergencies
Enhance communication and
cooperation with area agencies
Page 38 of 648
ECONOMIC
DEVELOPMENT
STRATEGIC INITIATIVE S
GOALS
MAJOR UPCOMING ACTION STEPS
Update the Comprehensive Plan
Develop a vision for subareas and consider
creating a central business district
Schedule on-site visits at businesses or brokerages
and include the Police Department in visits
Enhance administrative forms and processes
INFRASTRUCTURE
SUSTAINABILITY
STRATEGIC INITIATIVE S
GOALS
MAJOR UPCOMING ACTION STEPS
Develop a comprehensive facilities study and plan
Implement new RMS and CAD System
Convert the Buffalo Grove Environmental Plan to a
Sustainability Plan
Economic Growth Land Use and
Development
Quality of Life
Develop business-friendly processes,
programs, and practices
Help broaden and enrich the labor pool for
local businesses
Improve communications businesses, owners,
and the development community
Create a vision for community
Facilitate commercial development and
redevelopment opportunities
Update the Buffalo Grove Municipal Code
Improve accessibility to, from, and around
the Village
Maintain and enhance the Village’s housing
stock and market
Environmental
Sustainability
Planning and
Programing
Program Funding
Encourage environmentally sustainable
development
Participate in regional environmental
planning
Review and evaluate current
environmental actions
Improve accessibility to, from, and
around the Village
Ensure that village facilities meet the
needs of employees and the public
Review current work cycles
Utilize information technology
Develop programs to assist residents
with infrastructure costs
Evaluate new sources of revenue
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Based on needs and expectations of the community and prioritization of core services, provide optimal service
enhancing processes both internal and external to the organization.
External Service Provisions
Strategic Goal: Explore opportunities to improve customer experience
Action Steps Responsible
Department Budget Program Term
Develop plan to educate the community regarding
false alarm billing procedures to increase
compliance
Finance Fiscal Services Mid
Implement a plan to streamline liquor licensing
process Finance Administration Mid
Explore opportunities for streamlining administrative
and customer service process in the Police
Department
Police Administration Long
Strategic Goal: Facilitate citizen participation in village programs
Action Steps Responsible
Department Budget Program Term
Develop a comprehensive plan to utilize existing
data collection practices to implement intelligent
policing practices
Police Tech Services Mid
Strategic Goal: Implement an expanded portfolio of E-services
Action Steps Responsible
Department Budget Program Term
Explore the implementation of an online portal for
the purchase Real Estate transfer stamps Finance Administration Near
Explore opportunities to facilitate online payments
of administrative adjudication payments Finance Administration Near
ACTION PLAN: SERVICE OPTIMIZATION
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Based on needs and expectations of the community and prioritization of core services, provide optimal service
enhancing processes both internal and external to the organization.
Intergovernmental Partnerships
Strategic Goal: Achieve economies of scale through inter-agency cooperation
Action Steps Responsible
Department Budget Program Term
Implement investment tracking software to provide
additional oversight of the village's investment
portfolio
Finance Administration Long
Investigate opportunities to sell water services to
smaller agencies and unincorporated areas PW PW Admin. Mid
Strategic Goal: Investigate opportunities to sell services to other communities
Action Steps Responsible
Department Budget Program Term
Explore shared services opportunities with other
municipal HR Departments
Human
Resources Risk Mgmt. Long
Investigate other opportunities to provide
overweight trucking enforcement and overnight
parking enforcement to other communities
Police Traffic Unit Near
Investigate opportunities to sell sign shop services to
smaller agencies PW PW Admin. Mid
Continue to investigate opportunities to share or
contract snow and ice activities with other
communities.
PW PW Admin. Long
Strategic Goal: Work with other agencies to provide increased public safety services
Action Steps Responsible
Department Budget Program Term
Explore a shared services model for Incident
Command Vehicle with other fire agencies Fire Administration Near
Explore opportunities to share Administrative
Adjudication services Police Tech Services Near
Improve communications with other communities
to streamline Joint Major Incident Command Police Patrol Mid
ACTION PLAN: SERVICE OPTIMIZATION
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Based on needs and expectations of the community and prioritization of core services, provide optimal service
enhancing processes both internal and external to the organization.
Internal Operations
Strategic Goal: Instill a culture of continual process improvement
Action Steps Responsible
Department Budget Program Term
Develop and implement a retention and scanning
policy for all village records CD CD Admin Long
Develop a plan to streamline travel and training
reimbursement Finance Fiscal Services Near
Explore the standardization of all village forms Finance Administration Mid
Evaluate the role and structures of the Fire
Protection Bureau Fire Administration Near
Evaluate the role and structures of the EMA Fire Administration Mid
Seek accreditation of Fire Department Fire Administration Long
Implement an online benefit administration
program
Human
Resources Benefits Admin Near
Evaluate the use of Citrix versus locally installed
programs OVM Administration Near
Assist in the creation of a performance
management consortium OVM Intergovernmental
Relations Near
Explore the current structure of Police command
staff Police Administration Mid
ACTION PLAN: SERVICE OPTIMIZATION
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Maintain a positive financial position with a long-term perspective by diversifying revenue sources, aligning fee
structures to adequately reflect service demands, reducing the Village’s reliance on property and state shared
taxes, and ensuring revenues adequately fund services and infrastructure needs.
Cost Control
Strategic Goal: Evaluate village programs
Action Steps Responsible
Department Budget Program Tem
Evaluate opportunities for revenue enhancements
and cost containment strategies for BG Days Finance Budgeting and
Reporting Near
Evaluate opportunities to streamline the payroll
process Finance Administration Mid
Review non-core services the village provides OVM Innovation and
Analytics Mid
Strategic Goal: Streamline village administrative processes
Action Steps Responsible
Department Budget Program Term
Use Cartegraph to benchmark costs and services PW PW Admin. Mid
ACTION PLAN: FINANCIAL STABILITY
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Maintain a positive financial position with a long-term perspective by diversifying revenue sources, aligning fee
structures to adequately reflect service demands, reducing the Village’s reliance on property and state shared
taxes, and ensuring revenues adequately fund services and infrastructure needs.
Reserve Growth
Strategic Goal: Appropriately fund reserves
Action Steps Responsible
Department Budget Program Term
Establish a strategy to fund the building reserve at
an appropriate level Finance Budgeting and
Reporting Near
Examine dedicated funding source for Police and
Fire Pensions Finance Budgeting and
Reporting Near
ACTION PLAN: FINANCIAL STABILITY
Page 44 of 648
Maintain a positive financial position with a long-term perspective by diversifying revenue sources, aligning fee
structures to adequately reflect service demands, reducing the Village’s reliance on property and state shared
taxes, and ensuring revenues adequately fund services and infrastructure needs.
Revenue Diversification
Strategic Goal: Undertake regular review of village fee, fines, and rates
Action Steps Responsible
Department Budget Program Term
Create procedure to update fee and fine
ordinance Finance Administration Near
Develop a listing of all locally controlled taxes and
fees the Village currently does not assess Finance Budgeting and
Reporting Mid
Complete Water Rate Study PW PW Admin. Near
Strategic Goal: Streamline village administrative processes
Action Steps Responsible
Department Budget Program Term
Streamline fire billing ordinance Fire Administration Near
ACTION PLAN: FINANCIAL STABILITY
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Create and maintain an environment that engages and empowers all employees, residents, and organizations
that serve the community in the mission of the Village as well as encourage the development of human capital
and resources.
Citizen Engagement
Strategic Goal: Enhance current communication tools
Action Steps Responsible
Department Budget Program Term
Evaluate the cost associated with starting a "block
party wagon" program OVM Administration Mid
Explore the development of a Citizen’s Academy
which covers all village services OVM Communications Mid
Develop plan to increase citizen engagement with
the police through neighborhood meetings Police Community
Relations Near
Evaluate the National Night Out Program Police Administration Mid
Investigate the opportunity to host "pop-up" city
halls to share economic development information CD Planning and ED Mid
Implement a refresh of the village website OVM Communications Near
Implement strategies identified through the Citizens
Survey OVM Innovation and
Analytics Mid
Establish Village Manager blog to address current
issues in the community OVM Communications Mid
Investigate an information technology platform for
citizen feedback/engagement OVM Communications Long
Complete Citizen Survey in 2020 to compare data
from 2017 results OVM Innovation and
Analytics Long
Establish enhanced public outreach for road
projects PW Engineering Near
Evaluate the cost associated with starting a "block
party wagon" program OVM Administration Mid
ACTION PLAN: COLLABORATION
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Create and maintain an environment that engages and empowers all employees, residents, and organizations
that serve the community in the mission of the Village as well as encourage the development of human capital
and resources.
Employee Development and Recognition
Strategic Goal: Encourage employees to grow and develop in each stage of their career
Action Steps Responsible
Department Budget Program Term
Develop and implement a formal Succession Plan
for all departments Fire Administration/Training Mid
Develop and implement a formal employee
onboarding program
Human
Resources
Recruitment and
selection Near
Develop and implement a formal Village wide
employee recognition program
Human
Resources
Training and Org
Development Near
Develop and implement a formal program which
assists retiring employees
Human
Resources Benefits Admin Mid
Develop and implement formal recruitment
strategy
Human
Resources
Recruitment and
selection Mid
Develop and implement formal employee
mentoring program
Human
Resources
Training and Org
Development Mid
Establish a plan to encourage a culture of
innovation OVM Innovation and
Analytics Mid
Strategic Goal: Develop plan to improve internal communication between employees and management
Action Steps Responsible
Department Budget Program Term
Develop and implement a budget seminar to
educate all employees on the budget process Finance Budgeting and
Reporting Mid
Develop an employee budget committee to
provide input in to the process Finance Budgeting and
Reporting Mid
Explore opportunities for senior management to
engage with village staff
Human
Resources
Training and Org
Development Mid
Enhance employee communication through
employee portal and newsletter
Human
Resources
Training and Org
Development Mid
Evaluate and make necessary changes to the
employee compensation program
Human
Resources Benefits Admin Long
Develop strategies to enhance communication
with employees about general Village business OVM Communications Mid
Develop a comprehensive cross training program
between all village departments OVM Administration Long
ACTION PLAN: COLLABORATION
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Create and maintain an environment that engages and empowers all employees, residents, and organizations
that serve the community in the mission of the Village as well as encourage the development of human capital
and resources.
Employee Development and Recognition
Strategic Goal: Foster an environment where employees can gather knowledge, learn best practices, and new
skills
Action Steps Responsible
Department Budget Program Term
Develop a comprehensive plan to centralize and
standardize employee training
Human
Resources
Training and Org
Development Near
Develop a comprehensive training and
advancement plan for new supervisors Police Training Near
Strategic Goal: Support and recognize employee needs, growth, and achievements
Action Steps Responsible
Department Budget Program Term
Develop a strategy to highlight employees
accomplishments via the e-news, newsletter, and
social media
Human
Resources
Training and Org
Development Near
Implement a plan to interview current staff
members to identify employee concerns and
opportunities
Human
Resources
Training and Org
Development Mid
Develop and implement more opportunities for
departments to collaborate OVM Communications Near
ACTION PLAN: COLLABORATION
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Create and maintain an environment that engages and empowers all employees, residents, and organizations
that serve the community in the mission of the Village as well as encourage the development of human capital
and resources.
Relationships with Buffalo Grove Entities
Strategic Goal: Assist other agencies with preparing for emergences
Action Steps Responsible
Department Budget Program Term
Standardize pre plans for all buildings in the
village Fire Fire Protection Bureau Long
Standardize all Emergency Plan’s for schools Fire Fire Protection Bureau Long
Strategic Goal: Enhance communication and cooperation with area agencies
Action Steps Responsible
Department Budget Program Term
Develop strategies to use a 501c3 to partner with
local agencies on programming OVM Administration Near
Establish elected official liaisons to local taxing
bodies OVM Village Board Near
Explore opportunities to share facilities with local
agencies OVM Intergovernmental
Relations Near
Explore shared services opportunities with local
taxing bodies OVM Intergovernmental
Relations Mid
Establish a comprehensive list of services provided
to the community by local non-profits and taxing
bodies
OVM Administration Long
ACTION PLAN: COLLABORATION
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Maintain and enhance the quality of life in the community through on-going assessment, public and private
partnerships, and by leveraging resources to meet community objectives. Create an inviting environment for
doing business in the community through targeted communication and marketing methods, consistent with the
needs and values of the village.
Economic Growth
Strategic Goal: Develop business-friendly processes, programs, and practices
Action Steps Responsible
Department Budget Program Term
Enhance administrative forms and processes CD Building and
Zoning Near
Recognize businesses that are new, expanding, or
are making a notable contribution to local
economy and quality of life
CD Planning and ED Near
Provide welcoming package and schedule a meet
and greet for new businesses CD Planning and ED Near
Evaluate opportunity to provide flexible work space
for entrepreneurs CD Planning and ED Mid
Strategic Goal: Help broaden and enrich the labor pool for local businesses
Action Steps Responsible
Department Budget Program Term
Facilitate partnerships between the workforce
development providers and local businesses CD Planning and ED Mid
Work with local businesses (particularly
manufacturing businesses) and high schools to
foster awareness of advanced manufacturing
industry and other budding industries
CD Planning and ED Long
Enhance workforce accessibility through
partnerships with local businesses CD Planning and ED Long
Strategic Goal: Improve communications and relations with current and potential businesses, owners, and the
development community
Action Steps Responsible
Department Budget Program Term
Create a business e-newsletter CD Planning and ED Near
Schedule on-site visits at businesses or brokerages
and include the Police Department in visits CD Planning and ED Near
Develop regularly scheduled roundtable discussions CD Planning and ED Mid
Continue to work on the branding and marketing
campaign OVM Communications Mid
ACTION PLAN: ECONOMIC DEVELOPMENT
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Maintain and enhance the quality of life in the community through on-going assessment, public and private
partnerships, and by leveraging resources to meet community objectives. Create an inviting environment for
doing business in the community through targeted communication and marketing methods, consistent with the
needs and values of the village.
Land Use and Development
Strategic Goal: Create a vision for community
Action Steps Responsible
Department Budget Program Term
Update the Comprehensive Plan CD Planning and ED Near
Develop a vision for subareas and consider
creating a central business district CD Planning and ED Mid
Evaluate opportunities to expand municipal
boundaries CD Planning and ED Long
Strategic Goal: Facilitate commercial development and redevelopment opportunities.
Action Steps Responsible
Department Budget Program Term
Create and update an inventory of commercial
properties CD Planning and ED Mid
Continue to refine Buffalo Grove’s planning,
development, and permit processes CD Building and
Zoning Mid
Continue to offer site-specific economic
development incentives, while exploring
opportunities to offer economic development
incentives for multi-site districts
CD Planning and ED Mid
Strategic Goal: Update the Buffalo Grove Municipal Code.
Action Steps Responsible
Department Budget Program Term
Revise the Sign Code CD Building and
Zoning Mid
Consider developing a Unified Development
Ordinance (UDO) CD Planning and ED Long
Update Zoning Code to reflect community vision
articulated in the comprehensive plan CD Planning and ED Long
ACTION PLAN: ECONOMIC DEVELOPMENT
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Maintain and enhance the quality of life in the community through on-going assessment, public and private
partnerships, and by leveraging resources to meet community objectives. Create an inviting environment for
doing business in the community through targeted communication and marketing methods, consistent with the
needs and values of the village.
Quality of Life
Strategic Goal: Improve accessibility to, from, and around the Village
Action Steps Responsible
Department Budget Program Term
Participate in regional transportation projects CD Planning and ED Near
Strategic Goal: Maintain and enhance the Village’s housing stock and market.
Action Steps Responsible
Department Budget Program Term
Diversify housing stock CD Planning and ED Long
ACTION PLAN: ECONOMIC DEVELOPMENT
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Infrastructure, which includes Village buildings, streets, utilities, information assets, vehicle fleet, and other assets
necessary for maintaining service levels. Plan for the financial resources necessary to maintain current
infrastructure, upgrade for efficiency or enhanced capabilities, and plan for the future infrastructure needs of
the community.
Environmental Sustainability
Strategic Goal: Encourage environmentally sustainable development
Action Steps Responsible
Department Budget Program Term
Promote energy efficiency programs CD Building and
Zoning Mid
Establish sustainable standards for buildings and
forestry PW PW Admin. Long
Strategic Goal: Participate in regional environmental planning
Action Steps Responsible
Department Budget Program Term
Implement Greenest Regions Compact 2 Finance Purchasing Long
Strategic Goal: Review and evaluate current environmental actions
Action Steps Responsible
Department Budget Program Term
Convert the Buffalo Grove Environmental Action
Plan to a Sustainability Plan Finance Purchasing Near
Review fleet purchases against green options to
determine optimal approach PW PW Admin. Long
ACTION PLAN: INFRASTRUCTURE SUSTAINABILITY
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Infrastructure, which includes Village buildings, streets, utilities, information assets, vehicle fleet, and other assets
necessary for maintaining service levels. Plan for the financial resources necessary to maintain current
infrastructure, upgrade for efficiency or enhanced capabilities, and plan for the future infrastructure needs of
the community.
Planning and Programing
Strategic Goal: Improve accessibility to, from, and around the Village
Action Steps Responsible
Department Budget Program Term
Maintain, enhance, and promote multimodal
infrastructure. PW PW Admin. Long
Strategic Goal: Ensure that village facilities meet the needs of employees and the public
Action Steps Responsible
Department Budget Program Term
Develop a comprehensive facilities study and plan OVM Administration Near
Strategic Goal: Review current work cycles
Action Steps Responsible
Department Budget Program Term
Develop formalized replacement schedule for
capital equipment Fire Administration Mid
Reduce tree trimming cycle to 5 years PW Forestry - Tree
Services Long
Strategic Goal: Utilize information technology
Action Steps Responsible
Department Budget Program Term
Evaluate opportunities for new in-squad technology Police Tech Services Mid
Implement new RMS and CAD System Police Tech Services Mid
Implement Cartegraph pavement asset
management module PW PW Admin. Long
ACTION PLAN: INFRASTRUCTURE SUSTAINABILITY
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Infrastructure, which includes Village buildings, streets, utilities, information assets, vehicle fleet, and other assets
necessary for maintaining service levels. Plan for the financial resources necessary to maintain current
infrastructure, upgrade for efficiency or enhanced capabilities, and plan for the future infrastructure needs of
the community.
Program Funding
Strategic Goal: Develop programs to assist residents with infrastructure costs
Action Steps Responsible
Department Budget Program Term
Explore low interest loans for residents facing
water/sewer repairs Finance Fiscal Services Mid
Strategic Goal: Evaluate new sources of revenue
Action Steps Responsible
Department Budget Program Term
Investigate revenue sources for infrastructure
improvements PW PW Admin. Long
ACTION PLAN: INFRASTRUCTURE SUSTAINABILITY
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SECTION THREE: BUDGET
PROCESS AND STRUCTURE
BUDGET TIMELINE – BUDGET SECTIONS – BASIS OF BUDGETING – ANNUAL
BUDGET VS FINANCIAL STATEMENT – FUND STRUCTURE – FINANCIAL POLICIES
& GOALS – ACCOUNT NUMBERS – CURRENT VILLAGE FUNDS – BUDGET
RESPONSIBILITIES
BUDGET PROCESS
This budget document is the result of the Village’s financial and operational planning process
and serves as the guide for implementing those plans. The process brings together input from
elected officials, department directors, departmental staff and the public in order to shape the
Village’s goals and objectives.
Staff begins preparing the next year’s budget nearly a year prior to its adoption. The Finance
Director projects fund balances remaining at the end of the current fiscal year and develops a
revenue projection for the following year. Individual departments are responsible for assessing
current conditions, programs and needs. Each Department Director is provided a target as a
parameter to work within while developing departmental budgets.
Committee of the Whole meetings are held throughout the year to discuss long-range financial
planning and provide updates on the Village’s current financial condition. Mid-year, the
Finance Director presents an update of the General Fund five year operating forecast and the
Water Fund’s twenty year water rate pro forma. Additionally, staff does a yearly review of all
rate schedules.
Once Department Directors have reviewed their programs and services, initial budget requests
are submitted to the Finance Director. The Finance Department then consolidates all requests
to analyze the budget as a whole. After an initial analysis, meetings are set up between the
Department Directors, Finance Director, and Village Manager. They review major operational
changes, discuss objectives and review capital project requests. An effort is made to combine
requests across departments and to discuss how to more efficiently accomplish departmental
goals. An assessment of anticipated revenues and budget capacity often dictates a reduction
in budget requests.
Over the next month, the Finance Department works to compile the budget document. In
addition to developing budget summaries for each department, the Finance Department
reviews and updates other sections of the document. Before the public hearing, the proposed
budget is made available to the public, both in hardcopy format at Village Hall and electronic
format on the Village’s website, www.vbg.org. While the proposed budget must be available
for public inspection at least ten days prior to passage, the Village routinely has it available in
advance of this deadline.
In November, a series of meetings are conducted covering the proposed budget and tax levy.
The Village Manager, Finance Director, and Department Directors are present to address any
issues or concerns presented by the Village Board and residents. After the public meetings, the
budget may be further revised and passed without further public inspection, notice or hearing.
Once approved, the budget is the official spending document for fiscal year 2018.
Once the budget has been approved, the Village Manager and Finance Director continue to
monitor the Village’s rate of revenue collections and expenditures to assure a healthy financial
condition. If revenue projections drop below staff’s original estimates, the Village Manager will
direct staff to reduce expenditures. Any spending that exceeds the total fund budget must be
passed by the Village Board in the form of a budget amendment.
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BUDGET TIMELINE
Date Event Requirement/Action
Friday, May 26, 2017 Budget Programs Created Staff identifies programs for FY 2018 Budget
Monday, June 05, 2017 Committee of the Whole Meeting Presentation of five year General and
Water Fund Operating Forecasts
Friday, June 09, 2017 Program Summaries Due Staff provides program narratives
Monday, June 19, 2017 Budget/CIP Instructions Distributed Finance staff distribution
Friday, June 23, 2017 FY 2018 Initialized in New World Systems Staff creates FY 2018 in NWS
Thursday, July 06, 2017
Capital Improvement Plan Project &
Building Maintenance Requests Due. IT
Project Requests Due
Department submits five year capital
requests and FY 2018 building remodeling
and technology requests
Monday, July 10, 2017 Village Fee & Fines Recommendation Department fee & fine recommendations
due to the Office of Village Manager
Wednesday, July 12, 2017 Wage & Benefit Discussion Review general wage adjustments,
performance pool, and health insurance
Tuesday, July 18, 2017 Capital Budget Meeting Review capital requests
Wednesday, July 26, 2017 Internal Service Budgets Distributed Budgets entered for Internal Service Funds
Friday, July 28, 2017 Salary and Health Insurance Budgets
Provided to Departments
HR staff provides wage and insurance line-
items. Census reports distributed for review
Friday, August 04, 2017 Capital Reserve Amounts Distributed
and Added into NWS
Reserve amounts calculated for vehicles,
technology and buildings.
Monday, August 07, 2017 Committee of the Whole Meeting
Staff provides six month financial update on
FY 2017 Budget. CIP Discussion, wage and
benefit recommendation, property tax levy
Wednesday, August 09, 2017 G/L and Worker's Comp budget
amounts provided
Budgets provided for general liability,
workers comp deductibles and premium
amount
Thursday, August 10, 2017 General Fund Revenue Estimate Staff compiles estimated actual for FY 2017
and budget for FY 2018
Friday, August 11, 2017 Preliminary Budgets added to New
World Systems All department budgets entered into NWS
August 14-18, 2017 Department Meetings
Department Directors discuss budget
requests to Village Manager/Deputy
Manager
Friday, August 18, 2017 Final Budget Requests Due Final department budget due.
Tuesday, August 22, 2017 Special Revenue Fund Budgets
Complete Final Fund Budgets Due
Tuesday, August 22, 2017 Fiduciary and Trust Fund Budgets
Complete Final Fund Budgets Due
Wednesday, August 30, 2017 RFP/RFQ/Bidding Calendar Department Directors report FY 2018
activity to Brett Robinson.
Friday, September 08, 2017 Village/Department Goals Submitted Goals approved for inclusion in Budget
Monday, October 02, 2017 Committee of the Whole Meeting Review preliminary budget and final CIP
amounts
Friday, October 13, 2017 Preliminary Detail Budget to Village
Board
Preliminary detail budget emailed to
Village Board
Monday, October 31, 2017 Draft Budget to Village Board Draft budget distributed to Village Board
Monday, October 30, 2017 Publish Public Hearing Notice Post public hearing announcement
regarding budget hearing
Monday, November 06, 2017 Village Board Meeting Truth-in-Taxation determination
Monday, November 13, 2017 Village Board Meeting FY 2018 Budget Presentation
Monday, December 04, 2017 Village Board Meeting FY 2017 tax levy (public hearing) Budget
adopted by resolution
Page 58 of 648
BUDGET SECTIONS
The Budget is divided into ten sections and four appendices:
1.Transmittal Letter: The Transmittal Letter provides the Village Board and the public with a
general summary of the most important aspects of the budget, including current and
previous fiscal years, and the views and recommendations of the Village Manager.
2.Organization and Services: This section includes a list of principal officials, an
organizational chart, and general background information. The Organization and
Services section provides an overview of Buffalo Grove as well as villagewide economic
development goals. Strategic goals are presented in this section as a function of the
overall revenue and expense profile, targeted priorities and performance measures.
3.Budget Process and Structure: This section provides the reader with general information
on how the budget was developed, including a timeline and its general format.
4.Executive Overview: In the Executive Overview section, the overall revenues and
expenditures are presented by fund, as are fund balance projections, debt levels,
staffing levels, and budget assumptions. Trend analysis allows the Village to monitor
changes and anticipate future issues. This section identifies the factors that affect
financial condition and logically arranges them to facilitate analysis and measurement.
This information serves as a management tool by combining information from Village
documents with relevant economic data.
5.General Fund Summary and Detail: This section provides more in-depth financial,
organizational and staffing information at the department level including program
variances, changes, and performance measures.
6.Capital Improvement Budget Summary: This section presents the planned investments in
the long-term assets of the Village. The Capital Improvement Plan provides a listing of
capital projects over a 5-year horizon.
7.Enterprise Fund Summary and Detail: This section provides more in-depth financial,
organizational and staffing information at the enterprise fund level including strategic
goals, accomplishments, program variances and performance measures.
8.Internal Service Funds: This section includes funds that finance and account for services
and commodities that are designated to other departments within the Village. The funds
generate revenue through the annually budgeted expenditures within the departments
that utilize those services.
9.Fiduciary Funds: This section presents both of the Village’s fiduciary funds – Police and
Firefighters Pension Funds.
10.Other Funds: This section provides the budgets for the Illinois Municipal Retirement Fund,
the Parking Lot Fund and the Facilities Development Debt Service Fund.
11.Appendix A Comprehensive Fee and Fine Schedule: All fees and fines for the Village of
Buffalo Grove.
12.Appendix B Financial Policies and Projections: All codified financial management
policies and projections presented to the Village Board throughout the year.
13.Appendix C Health Plan and Staffing: A summary of health insurance plan benefits and
aggregate staffing levels.
14.Appendix D Document Definitions: Includes definitions of key terms and acronyms found
throughout the budget book.
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BASIS OF BUDGETING
The Village of Buffalo Grove accounts for all funds and adopts a budget based on generally
accepted accounting principles (GAAP). A fund is a separate accounting entity with a set of
self-balancing accounts that records assets, liabilities, fund equity, revenues, and expenses or
expenditures. Funds are segregated for the purpose of carrying on specific activities or attaining
certain objectives in accordance with regulations, restrictions, or limitations.
The Village uses three fund types:
Governmental Funds: Use the modified accrual basis of accounting whereby revenues are
recognized when they are “measurable and available” and expenditures are recorded when
the related fund liability is incurred. Governmental funds usually account for tax-supported
activities.
Proprietary Funds: Use the full accrual basis of accounting. Under the full accrual basis, revenues
are recorded when earned and expenses are recorded at the time liabilities are incurred.
Proprietary funds are used to account for business-type activities.
Fiduciary Funds: Are accounted for on a full accrual basis. Fiduciary funds are used to account
for resources that are held by the government as an agent for parties outside the government
and cannot be used to support the Village’s own programs.
ANNUAL BUDGET VS. FINANCIAL STATEMENTS
With the exception of the treatment of depreciation, the budget basis is consistent with GAAP.
Depreciation is not shown in the budget; the full purchase price of capital expenditures is
included. A reconciliation of the difference is provided in the Village’s Comprehensive Annual
Financial Report (CAFR). Funds that are not budgeted, but are part of the Comprehensive
Annual Financial Report, are the Retiree Health Savings Fund and the School and Park District
Donations Fund.
FUND STRUCTURE
A fund is a grouping of related accounts that is used to maintain control over resources that
have been segregated for specific activities or objectives. The Village of Buffalo Grove, like
other governments, uses fund accounting to ensure and demonstrate compliance with finance-
related legal requirements. All funds are included in this budget document and are
appropriated by the Village Board. All funds are prepared on a cash-basis for budgeting
purposes. During the Village’s annual audit, final adjustments may be made to properly
account for modified or full accrual accounting based upon the fund type.
Governmental funds focus on the near-term inflows and outflows of spendable resources. The
majority of the Village’s business is accounted for in governmental funds including the General
Fund and the Special Revenue Funds: Parking Lot Fund and Motor Fuel Tax Fund. Other
Page 60 of 648
governmental funds include the Debt Service Fund which is established to pay the principal and
interest due on long-term debt. Additionally there are two Capital Project Funds: Capital
Projects – Facilities Fund and Capital Projects – Streets Fund. These funds provide resources for
the design and construction of capital projects, as well as the procurement of long-term assets.
The Village maintains two types of proprietary funds: an enterprise fund and three internal
service funds. Enterprise funds are used to report the business-type activities the Village engages
in and charge fees designed to recover the cost of the provided services. The Buffalo Grove
Golf Fund, Arboretum Golf Fund, Water & Sewer Funds, and Refuse Fund are included in this
grouping. Internal Service Funds finance and account for services and commodities that are
provided to all Village departments, in turn all the revenue generated in these funds are derived
from the departments which they serve through their budget, and are then transferred to the
Internal Service Funds. The Internal Service Funds are Information Technology, Central Garage,
and Building and Facility Maintenance. The Finance Department works closely with the Office of
the Village Manager and Public Works to develop these budgets and allocate charges for
service to each department.
Lastly, the Village acts as the fiduciary for the Police and Fire Pension Funds. The funds are
supported by employee and Village contributions and are established as single-employer
defined benefit funds. The funds are managed by pension boards and are not available to
support the Village’s programs. Civilian personnel are covered by the Illinois Municipal
Retirement Fund (IMRF), a multi-employer, defined benefit plan. The Village sends the employer
and employee contributions directly to IMRF.
FINANCIAL POLICIES AND GOALS
The Village of Buffalo Grove has adopted various revenue, debt, and reserve policies. These
policies provide and help maintain a favorable financial picture for the Village. The policies are
located in their entirety in Appendix B.
Investment Policy: This policy provides guidelines for investing Village funds in financial
instruments that provide for the safety of principal, remain sufficiently liquid to meet anticipated
operating requirements, and provide a market rate of return.
Purchasing Policy: This policy delineates the procedure for purchasing goods and services in the
Village. Competitive bidding is required for purchases over $20,000, except for professional
services.
Debt Policy: The Debt Policy governs how, when, and why debt is used. It is the policy of the
Village to never use debt to finance current operations.
Fund Balance Policy: This policy establishes the appropriate level of unassigned fund balance in
the General Fund. Fund balance reserves should only be used for capital improvements or as a
temporary stop-gap to bridge a deficit.
Capitalization Policy: Capital assets are assets with an initial, individual cost of more than $10,000
and an estimated useful life of greater than one year. Additions or improvements that
Page 61 of 648
significantly extend the useful life of an asset, or that significantly increase the capacity of an
asset, are capitalized.
BUDGETARY GOALS:
1.Prepare a budget, providing meaningful and readily understandable information to
interested residents as well as the Village Board and staff.
2.Prepare a budget that allows for the implementation of the Village Board’s goals and
objectives.
3.Pay for capital assets using pay-as-you-go financing.
4.Encourage intergovernmental cooperation.
5.Present a balanced budget defined as a budget where revenues meet or exceed
expenses.
ACCOUNT NUMBERS
Account numbers identify the fund, type of account, department, program, general revenue
and expenditure category, and type of purchase. Account numbers appears as follows:
100 15 0100 510 16
Fund Program
Major
Service Account Line Item
The first three digits (100) indicate the fund (see following chart for fund numbers).
The fourth and fifth digits (XXX.15) indicate the Program.
10 – Legislative
11 – Human Resources
12 - Finance
15 – Office of the Village Manager
21 – Police Administration
22 – Police Operations
23 – Police Administrative Service and
Support
31 – Community Development
Administration
32 – Planning and Economic
Development
33 – Property Maintenance and Code
Enforcement
34 – Health Services
40 – Fire Administration
41 – Fire Operations
42 – Fire Prevention
43 – Fire Support Services
44 – Emergency Management Agency
56 – Forestry
57 – Drainage
58 – Water
59 - Sewer
60 – Engineering
61 - Streets
70 – Transfer Non-Operating
75 – Capital Improvement
81 – Metra Parking
84 – Golf
85 – Debt
86 – Refuse
88 – Police Pension
89 – Fire Pension
Page 62 of 648
The Major Services are two digits represented between the program and account number
(XXX.XX.0100). Some major services are shared amongst departments while others are
department specific. The current major services are budgeted in FY 2018 are as follows:
0100 - Village Board
0101 - Volunteer Services
0102 - Administration
0103 - Intergovernmental Relations
0104 - Innovation and Analytics
0105 - Communications
0106 - Fiscal Services
0107 - Budgeting and Reporting
0108 - Utility Billing
0109 - Purchasing
0110 - Legal
0111 - Recruitment and Selection
0112 - Benefits Administration
0113 - Risk Management
0114 - Training and Organizational
Development
0115 - Contingency Reserve
0116 - Subsidies
0117 - Capital Projects
0200 - Property Maintenance &
Zoning Enforcement
0201 - Permitting & Inspections
0202 - Plan Review
0220 - Service to External Agencies
0240 - Health Inspections
0241 - Health Commission
0300 - EMS
0301 - Suppression
0302 - SRT
0330 - Public Education
0331 - Fire Inspections
0341 - Personnel
0400 - Patrol
0401 - Investigations
0420 - Records/Tech Services
0421 - Traffic Unit/Crossing Guards
0422 - Community
Relations/Social Worker/SRO
0423 - Property and Evidence
0501 - Street and Curb Maintenance
0502 - Snow and Ice Control
0601 - Tree Services
0602 - Parkway/Property
Maintenance
0701 - Storm Sewer Maintenance
0702 - Open Channel Maintenance
0704 - Customer Service Meters
0705 - Pumpage and Purification
0706 - Distribution
0707 - Community Outreach
0708 - Sewer Systems Operations and
Maintenance
0709 - Sewerage Lift Station Operation and
Maintenance
0710 - Underground Utility Locating
0801 - Asset Management
0802 - Development Review and
Management
0803 - Project Management
The first digit in the fourth grouping of numbers (XXX.XX.XXXX.5XX.XX) indicates whether this is an
income or expenditure account. All accounts are not program specific and may only be
applicable at the fund level.
1XX – Asset
2XX – Liability
3XX – Fund Equity
4XX – Income
5XX – Expenditure/Expense
6XX – Capital Outlay
7XX – Debt Service
8XX – Depreciation
Page 63 of 648
The next two digits in the third grouping of numbers (XXX.XX.XXXX.X10.XX) indicate the general
category to be charged.
500 - Personal Services
505 - Personal Benefits
510 - Operating Expenses
515 – Insurance
520 - Legal Services
525 - Commission & Committees
530 – Commodities
535 - Maintenance & Repairs – Facilities
540 - Maintenance & Repairs - Water & Sewer
545 - Maintenance & Repairs – Vehicles
550 - Maintenance & Repairs – Other
555 - Capital Equipment
560 - Capital Projects
565 - Debt Service
570 - Operating Transfers
580 - All Other Expense
The last two numbers in the string indicate the object within the Category. For example: 510.16-
Printing
Revenue accounts are not associated with a department or program and appear as follows:
100 465 90
Fund Program Account
The revenue account categories are as follows:
400 - Taxes – Property
410 - Taxes - State Shared
415 - Taxes – Local
420 - Business Licenses
425 - Liquor Licenses
430 - Animal Licenses
435 - Building Revenue & Fees
440 - Intergovernmental Revenue – Local
441 - Sales of Water
442 - Village Sewer
443 - Lake County Sewer
444 - Insurance Contributions
445 - Golf Course Fees
450 - Investment Revenue
455 - Fines & Fees
460 - Operating Transfers
465 - All Other Revenue
470 - Bond Proceeds
471 - Income from Joint Venture
472 - Capital Contributions
Page 64 of 648
CURRENT VILLAGE FUNDS
Type Fund Name Fund
No. Description
General General 100
The Village’s chief operating fund. Accounts for all
financial resources except those required to be
accounted for in another fund.
Special
Revenue
Parking Lot 120
Accounts for fees collected at the Village’s mass
transit parking station site and expenditures required to
maintain the parking lot.
Motor Fuel
Tax 130
Accounts for the use of the Village’s share of state
gasoline taxes. State law requires the MFT to be used
for the Village street program.
Debt Service Facilities
Development 140
Accounts for the accumulation of resources for, and
the payment of, general long-term debt principal and
interest.
Capital
Projects
Facilities 150 Accounts for the acquisition or construction of major
capital facilities (other than those in Enterprise Funds).
Street
Maintenance 160
Accounts for the costs of design, construction, and
construction engineering for various street
maintenance and construction projects.
Enterprise
Waterworks &
Sewerage 170 Accounts for the provision of water and sewer services
to customers of the Village.
Arboretum
Golf Course 190 Accounts for the operations of a municipal golf
course.
Buffalo Grove
Golf Course 180 Accounts for the operations of a municipal golf
course.
Refuse
Service 200 Accounts for the provision of refuse disposal services to
customers of the Village.
Internal
Service
Information
Technology 211
Accounts for all hardware, software, and other
information technology resources for the Village
departments.
Central
Garage 212 Accounts for all services and commodities to maintain
Village vehicles.
Building &
Facility
Maintenance
213
Accounts for all services and commodities to maintain
Village buildings and facilities utilized by all
departments.
Fiduciary
Police
Pension 220
Accounts for the accumulation of resources to be
used for the retirement annuity payments to sworn
police officers.
Fire Pension 230
Accounts for the accumulation of resources to be
used for the retirement annuity payments to
firefighters.
Page 65 of 648
BUDGET RESPONSIBILITY
The following departments are responsible for budgeting revenues and/or expenses in the listed
funds.
Fund Name Fund No. Department / Budget Responsibility
General
100 Legislative
Office of Village Manager
Legal
Finance
Human Resources
Fire
Police
Building and Zoning
Engineering
Public Works - Streets
Public Works - Administration
Public Works - Forestry
Public Works - Drainage
Operating Transfers - Finance
Parking Lot 120 Finance
Motor Fuel Tax 130 Engineering
Debt Service 140 Finance
Capital Projects - Facilities 150 Public Works - Administration
Capital Projects - Streets 160 Engineering
Water and Sewer 170 Public Works - Water & Sewer
Arboretum Golf Course 190 Arboretum Golf Course
Buffalo Grove Golf Club 180 Buffalo Grove Golf Course
Refuse 200 Finance
Information Technology 211 Office of the Village Manager
Finance
Central Garage 212 Public Works - Central Garage
Finance
Building and Facility Maintenance 213 Public Works - Building Maintenance
Finance
Police Pension 220 Finance
Fire Pension 230 Finance
Page 66 of 648
PAGE INTENTIONALLY LEFT BLANK
SECTION FOUR : EXECUTIVE
OVERVIEW
BUDGET IN BRIEF – REVENUE TRENDS AND PROJECTIONS – EXPENDITURE
TRENDS AND PROJECTIONS – DEBT POSITION – DEBT SERVICE SCHEDUL ES –
FUND BALANCE PROJECTIONS BY FUND
BUDGET IN BRIEF
The Village of Buffalo Grove embraces a fiscally conservative and forward-looking approach to
budgeting for the operations of municipal government. This approach is coupled with the
service-delivery expectations of the Village’s core customers – residents and businesses – and its
extended customers – visitors, regional entities and other units of government. Each year, the
Village determines its level of service, strategic goals, and expectations and staffing levels based
upon the demand for services, anticipated revenues and progress toward long-term operational
and capital development goals. The Village provides the following services: administration,
finance, public works, police protection, fire prevention and suppression, EMS, civil engineering,
building inspections, urban planning-zoning, golf operations and community event funding.
Additional services are provided by others through regional partnerships or commissions,
including the supply of potable water and dispatch services, information technology and
contract services including sanitary sewer treatment and refuse collection. Various direct and
indirect fees are collected for these services via the 911-surcharge, ad valorem tax levy and user
fees.
The FY 2018 Budget has been modified to focus on program costs rather than specific line items.
The purpose of a program based budget is to assist users of the document to better understand
where resources are allocated. The shift from a traditional line-item budget to a program-based
budget will help the reader easily understand what services cost rather than how much a
department spends in aggregate.
The budget document serves the following purposes:
1. To define the strategic goals and operating plan in accordance with Board direction
and staff recommendations for the orderly delivery of core and non-core services;
2. To designate financial resources necessary to achieve the strategic goals and to provide
for adequate operational and capital resources;
3. To communicate the Village’s financial plan for the fiscal year in a comprehensive and
comprehensible format; and
4. To articulate the methodology used by the Village to develop revenue and expense
projections, provide for long-term financial planning and maintain a stable and efficient
municipal government.
For fiscal year 2018, the Village’s proposed
budget is balanced and does not contemplate
the implementation of new taxes. The property
tax levy will increase by approximately 3.1
percent for the 2017 levy, payable in 2018. The
proposed tax levy includes fully funded requests
for pension contributions, the appropriation of
funds to service existing debt obligations and
sufficient funds for the general operation of the
Village. The following table illustrates the history
of total property levies for the tax years 2015,
2016 and 2017 (proposed) for the Cook and
Lake County portions of the Village.
$0
$4,000,000
$8,000,000
$12,000,000
$16,000,000
2015 2016 2017
Total Gross Tax Levy
Cook County Lake County
Page 69 of 648
The basis for developing the overall budget relies upon the initial forecast of anticipated
revenues derived from taxes, fees, licenses, intergovernmental revenue, fines, investment
proceeds, and interfund transfers. The following table depicts total revenues by category for all
funds for the years 2016, 2017 and 2018 (proposed).
REVENUES BY CATEGORY
The total revenue budget for 2018 is $79,918,281. This budget is a 0.3 percent decrease from the
2017 estimated actual amount and 4.4 percent less than the 2016 actual.
Account Category FY 2016 Actual FY 2017
Est. Actuals FY 2018 Budget
Property Taxes 15,034,583 15,674,776 16,111,946
Other Taxes-State 11,846,716 11,714,832 11,869,624
Other Taxes-Local 9,701,271 9,959,696 9,886,470
Licensing 326,176 328,365 311,865
Building Revenue & Fees 1,521,695 1,900,700 1,301,700
Intergovernmental Revenue-Local 301,246 264,878 270,197
Sales of Water/Sewer Fees 10,100,980 11,263,922 11,572,889
Golf Course Fees 2,237,350 2,299,342 2,392,500
Investment Revenue 7,219,211 7,719,800 6,957,800
Fines & Fees 1,909,937 1,943,199 1,937,789
Operating/Internal Service Transfers 12,068,711 12,663,123 11,958,556
All Other Revenue 11,302,210 4,393,250 5,346,945
Grand Total - All Fund Revenue $83,570,086 $80,125,883 $79,918,281
Page 70 of 648
The chart below summarizes total revenue by source including transfers. The other taxes
classification incorporates state shared taxes including income, sales and motor fuel taxes, and
local taxes including home rule sales tax, real estate transfer tax, telecommunications tax, food
and beverage tax, and utility use taxes. Charges for service include revenue collected for
construction permitting and inspection, water and sewer billing, and golf course fees. The All
Other Revenue category includes refuse fees collected on behalf of the Solid Waste Agency of
Northern Cook County, cable television franchise fees, storm water management fees, and
pension contributions made by sworn police officers and firefighters.
Property Tax
20%
Other Taxes
27%
Licensing
0.3%
Charges for
Service
19%
Investment
Revenue
9%
Fines and Fees
3%
Operating
Transfers/Internal
Service
15%
All Other
Revenue
7%
Revenues by Source
Page 71 of 648
SUMMARY OF REVENUES BY SOURCE - ALL FUNDS
Description General Parking
Lot
Motor Fuel
Tax
Debt
Service
Capital
Projects
Facilities
Capital
Projects
Streets
Water &
Sewer
Arboretum
Golf
Course
Property
Tax 14,933,253 - - 1,178,693 - - - -
Other Taxes 20,742,981 - 1,000,000 - - - - -
Licensing 311,865 - - - - -
Charges for
Service 1,185,700 - - - - - 11,688,889 1,263,320
Investments 141,300 - - - - - 16,500 -
Fines and
Fees 1,736,789 207,000 - - - - - -
Operating/
Int.
Service
Trans.
877,000 - - 504,000 701,768 360,000 - 227,647
All Other
Revenue 2,375,547 1,200 - 875,195 - - -
FY 2018
Budget 42,304,435 208,200 1,000,000 1,682,693 1,576,963 360,000 11,705,389 1,490,967
FY 2017
Budget $42,010,229 $211,200 $1,000,000 $1,673,895 $2,440,303 $1,537,950 $11,446,543 $1,465,228
SUMMARY OF REVENUES BY SOURCE - ALL FUNDS CONTINUED
Description
Buffalo
Grove Golf
Course
Inform.
Technology
Central
Garage
Building
Services
Refuse Police
Pension
Firefighters
Pension All Funds
Property
Tax - - - - - - - 16,111,946
Other Taxes - - - - - 6,557 6,556 21,756,094
Licensing - - - - - - - 311,865
Charges for
Service 1,129,180 - - - - - - 15,267,089
Investment - - - - - 3,400,000 3,400,000 6,957,800
Fines and
Fees - - - - - - - 1,943,789
Operating/
Int.
Service
Trans.
77,186 1,409,555 1,652,632 1,577,570 - 2,673,256 1,897,942 11,958,556
All Other
Revenue 2,200 - - - 1,080,000 702,000 575,000 5,611,142
FY 2018
Budget 1,208,566 1,409,555 1,652,632 1,577,570 1,080,000 6,781,813 5,879,498 79,918,281
FY 2017
Budget $1,201,385 $1,351,359 $1,756,782 $1,462,984 $1,045,000 $6,367,129 $4,630,904 $79,600,981
Page 72 of 648
REVENUES BY SOURCE SUMMARIZED - ALL FUNDS
Summary
by Funds General Special
Revenue
Capital
Projects
Debt
Service Enterprise Internal
Service
Trust &
Agency Total
Property
Tax 14,933,253 - - 1,178,693 - - - 16,111,946
Other Taxes 20,742,981 1,000,000 - - - - 13,113 21,756,094
Licensing 311,865 - - - - - - 311,865
Charges for
Service 1,185,700 - - - 14,081,389 - - 15,267,089
Investment
Revenue 141,300 - - - 16,500 - 6,800,000 6,957,800
Fines and
Fees 1,736,789 207,000 - - - - - 1,943,789
Operating
Transfers 877,000 - 1,061,768 504,000 304,833 4,639,757 4,571,198 11,958,556
All Other
Revenue 2,375,547 1,200 875,195 - 2,200 - 2,357,000 5,611,142
FY 2018
Budget 42,304,435 1,208,200 1,936,963 1,682,693 14,404,922 4,639,757 13,741,311 79,918,281
FY 2017
Budget $42,010,229 $1,211,200 $3,978,253 $1,673,895 $14,160,340 $4,571,125 $12,043,033 $79,600,891
TOTAL REVENUE BY FUN D
Fund Fund
#
FY 2015
Actual
FY 2016
Actual
FY 2017
Budget
FY 2018
Budget
% of Prior
Year Budget
General 100 40,820,195 42,307,345 42,010,229 42,304,435 100.70%
Parking Lot 120 183,329 207,874 211,200 208,200 98.58%
Motor Fuel Tax 130 1,014,469 1,056,515 1,000,000 1,000,000 100.00%
Debt Service 140 808,057 869,039 1,673,895 1,682,693 100.53%
Capital Projects - Facilities 150 1,158,644 938,356 2,440,303 1,576,963 64.62%
Capital Projects – Streets 160 0 7,174,727 1,537,950 360,000 23.41%
Water & Sewer 170 10,968,724 10,663,069 11,446,543 11,705,389 102.26%
Buffalo Grove Golf Course 180 1,233,526 1,221,616 1,201,385 1,208,566 100.60%
Arboretum Golf Course 190 1,472,929 1,395,703 1,465,228 1,490,967 100.76%
Refuse Service 200 1,039,875 1,135,748 1,045,000 1,080,000 103.35%
Information Technology 211 957,961 1,064,828 1,351,359 1,409,555 104.31%
Central Garage 212 1,528,484 1,456,984 1,756,782 1,652,632 94.07%
Building Maintenance 213 1,392,642 1,198,562 1,462,984 1,577,570 107.83%
Police Pension 220 3,322,713 6,659,320 6,367,129 6,781,813 106.51%
Fire Pension 230 3,506,006 6,230,400 4,630,904 5,879,498 126.96%
Total $70,266,762 $83,570,086 $79,600,891 $79,918,281 100.40%
Page 73 of 648
EXPENDITURES BY CATEGORY
The development of projected expenses relies upon the forecasting of categorical expenditures
in the areas of wages, benefits, operating expenditures, commodities, repairs and maintenance,
capital outlay, reserve transfers, contractual services, internal services, transfers and debt. These
are new account categories that represent the foundation of the Village’s shift to a program-
based budget. Within the Expenditure Trends and Projections presented later in this section,
each account category will be defined and the major expenditures noted.
Depreciation is not budgeted, but is accounted for in the FY 2016 actual totals. The
Comprehensive Annual Financial Report (CAFR) reports depreciation in the Enterprise Funds and
reclassifies capital expenses as additions to assets on the balance sheet.
As a service provider, over half of the Village’s total budget (55.9 percent) is apportioned to
wages and benefits. Included within those categories are salaries, health insurance,
training/education, and pension contributions. Thus, a great deal of effort is expended in
managing collective bargaining activities, wage and compensation programs and employee
benefits as a core cost containment strategy. The following table depicts total expenses by
category for all funds for the years 2016, 2017 and 2018 (proposed).
Expenses by Category for All Funds
Account Category FY 2016 Actual FY 2017
Est. Actual FY 2018 Budget
Wages 21,388,021 22,178,964 23,595,976
Benefits 16,858,135 17,417,986 18,645,998
Operating Expenses 3,569,850 3,776,949 3,930,227
Commodities 6,114,888 7,612,366 7,269,666
Repairs and Maintenance 1,284,556 1,886,159 2,123,575
Capital Outlay 12,202,857 6,437,036 5,513,074
Reserve Transfers 42,096 1,118,502 1,081,565
Contractual Services 3,086,698 3,475,805 3,571,794
Internal Services 3,722,321 4,571,124 4,639,759
Transfers 3,637,227 3,856,862 2,923,323
Debt 1,182,788 2,095,280 2,137,927
Depreciation 1,832,377 - -
Grand Total All Fund Expense $74,921,815 $74,427,033 $75,432,884
The Village further analyzes and presents budgeted revenues and expenses by fund, including
the general (main operating), enterprise, fiduciary, internal service and capital funds.
Page 74 of 648
The chart below details department expenditures by account category.
The Public Works Department has additional commodity expenses of $1,954,000 related to the
purchase of water and $3,626,600 related to sewers, which are paid, from the Water and Sewer
Fund.
$0
$2,000,000
$4,000,000
$6,000,000
$8,000,000
$10,000,000
$12,000,000
$14,000,000
$16,000,000
General Fund Expenditures by Account
Internal Services
Contractual Services
Reserve Transfers
Repairs and Maint
Commodities
Operating Expenses
Benefits
Wages
Page 75 of 648
SUMMARY OF EXPENDITURES BY SOURCE - ALL FUNDS
The following chart provides a summary of expenditures by source. Approximately 56 percent of
all expenditures are allocated to personal services and benefits. Commodities represent the
next largest percentage of the total Village Budget at 9.6 percent. It is anticipated in the
budget that $7.7 million in capital projects and equipment purchases will be made. Significant
projects include replacing the Combined Area Fire Training Site (CAFT) Training Center, the
annual street maintenance program, resurfacing of various Village-owned parking lots, system
repairs for water, sewer, and drainage utilities. The projects include repairing sections of water
main and storm sewer main. All capital expenditures on facilities and infrastructure are
maintenance-type costs, no facility improvements are budgeted.
Within Operating Transfers, there is a transfer to the General Fund of $765,000 paid by the Water
and Sewer Fund to reimburse for administrative, maintenance and operating expenditures
accounted for outside of the Water and Sewer Fund. A transfer of approximately $1 million from
the General Fund to the Capital Project Funds will support non-enterprise capital spending. The
Internal Service Funds charge back $4.6 million to cover the costs associated with providing
technology, building maintenance and central garage functions.
The debt service obligations paid through the Debt Service Fund for principal and interest owed
on General Obligation Bonds Series 2010A, 2010B, 2012, and 2016 and an installment purchase
contract total $2,137,927 in 2018.
SUMMARY OF EXPENDITURES BY SOURCE - ALL FUNDS
Description Wages &
Benefits
Operating
Expenses Commodities Repairs &
Maintenance
Capital
Outlay
Operating
Transfers
General Fund 31,782,106 2,278,012 364,010 657,120 345,350 1,366,323
Parking Lot - 149,237 13,750 90,000 - 12,000
Motor Fuel Tax - - - - 1,000,000 -
Total Special Revenue Funds - 149,237 13,750 90,000 1,000,000 12,000
Debt Service Fund - - - - - -
Capital Projects - Facilities - - - - 1,576,963 -
Capital Projects - Streets - - - - 360,000 -
Total Capital Projects Funds - - - - 1,936,963 -
Water & Sewer 1,451,855 120,946 5,580,600 177,300 2,129,700 945,000
Buffalo Grove Golf Course 391,065 144,568 51,000 19,000 20,000 -
Arboretum Golf Course 222,901 170,147 53,000 8,500 55,000 -
Refuse Service - - 1,060,000 - - 600,000
Total Enterprise Funds 2,065,821 435,661 6,744,600 204,800 2,204,700 1,545,000
Information Technology - 408,989 - - - -
Central Garage 769,475 46,727 5,000 744,930 20,143 -
Building Maintenance 691,572 81,601 142,306 421,725 5,918 -
Total Internal Service 1,461,047 537,317 147,306 1,171,655 26,061 -
Police Pension 3,950,000 315,000 - - - -
Fire Pension 2,983,000 215,000 - - - -
Total Fiduciary Funds 6,933,000 530,000 - - - -
All Funds 2018 Budget $42,241,974 $3,930,227 $7,269,666 $2,123,575 $5,513,074 $2,923,323
All Funds 2017 Budget 39,959,307 3,811,600 6,884,391 2,163,291 6,816,609 4,043,956
Page 76 of 648
Budget by Fund Type
SUMMARY OF EXPENDITURES BY SOURCE - ALL FUNDS CONTINUED
Description Reserve
Transfers
Debt
Service
Contractual
Services
Internal
Services
Grand Total
General Fund 854,119 - 1,146,798 3,498,601 42,292,439
Parking Lot - - 6,400 54,763 326,150
Motor Fuel Tax - - - - 1,000,000
Total Special Revenue Funds - - 6,400 54,763 1,326,150
Debt Service Fund - 1,687,694 - - 1,687,694
Capital Projects - Facilities - - - - 1,576,963
Capital Projects - Streets - - - - 360,000
Total Capital Projects Funds - - - - 1,936,963
Water & Sewer 92,644 450,233 146,005 633,066 11,727,349
Buffalo Grove Golf Course 70,600 - 393,294 118,761 1,208,288
Arboretum Golf Course 10,000 - 688,931 282,765 1,491,244
Refuse Service - - - - 1,660,000
Total Enterprise Funds 1,545,000 450,233 1,228,230 1,034,592 16,086,881
Information Technology - - 995,566 - 1,409,555
Central Garage - - 3,500 27,782 1,652,632
Building Maintenance - - 191,300 24,051 1,577,570
Total Internal Service Funds - - 1,190,366 51,803 4,639,757
Police Pension - - - - 4,265,000
Fire Pension - - - - 3,198,000
Total Fiduciary Funds - - - - 7,463,000
All Funds 2018 Budget $1,081,565 $2,137,927 $3,571,794 $4,639,759 $75,432,884
All Funds 2017 Budget 1,126,557 2,095,280 3,648,497 4,571,125 $75,120,613
General
56%
Special Revenue
2%
Capital Projects
3%
Enterprise
21%
Internal Service
6%
Fiduciary
10%
Debt Service
2%
Page 77 of 648
TOTAL EXPENDITURES BY FUND AND BY CATEGO RY
The chart below provides expenditure summaries for all fifteen Village funds and further divides
those fund totals into expenditures by category. The total budget for all Village expenditures in
2018 is $75,432,884. That total is 0.4 percent more than the 2017 budget and 0.7 percent more
than actual expenditure in 2016. Over fifty-six percent of all expenditures support the General
Fund. The General Fund is the main operating fund of the Village and accounts for critical core
services such as police, fire, and public works.
By
F
u
n
d
Fund Fund
#
FY 2015
Actual
FY 2016
Actual
FY 2017
Budget
FY 2018
Budget
% of Prior
Year
Budget
General 100 38,755,925 40,647,493 42,002,395 42,292,439 100.69%
Parking Lot 120 184,852 175,793 211,021 326,150 154.55%
Motor Fuel Tax 130 1,688,228 1,282,619 1,500,000 1,000,000 66.67%
Debt Service 140 806,748 896,456 1,679,144 1,687,694 100.51%
Capital Projects - Facilities 150 2,746,734 846,995 1,974,144 1,576,963 79.88%
Capital Projects-Streets 160 440,422 7,629,014 350,000 360,000 102.86%
Water & Sewer 170 9,366,915 9,914,814 11,659,680 11,727,349 100.58%
Buffalo Grove Golf Course 180 1,351,796 1,256,918 1,719,385 1,208,288 70.27%
Arboretum Golf Course 190 1,994,178 1,745,147 1,465,228 1,491,244 101.78%
Refuse Service 200 777,105 978,565 1,310,000 1,660,000 126.72%
Information Technology 211 957,961 1,032,609 1,351,359 1,409,555 104.31%
Central Garage 212 1,528,484 1,427,420 1,756,782 1,652,632 94.19%
Building Maintenance 213 1,393,658 1,171,348 1,462,984 1,577,570 107.83%
Police Pension 220 3,192,215 3,516,502 3,945,000 4,265,000 108.11%
Firefighter Pension 230 2,314,558 2,400,122 2,732,912 3,198,000 117.02%
TOTAL $66,919,660 $74,921,815 $75,120,613 $75,432,884 100.42%
Wage & Benefits 36,794,702 38,246,156 39,959,307 42,241,974 105.71%
By
C
a
t
e
g
o
r
y
Operating Expenses 3,439,789 3,569,850 3,811,600 3,930,227 103.11%
Commodities 6,011,508 6,114,888 6,884,391 7,269,666 105.56%
Repairs & Maintenance 1,764,845 1,284,556 2,163,291 2,123,575 98.16%
Capital Outlay 6,366,111 12,202,857 6,816,609 5,513,074 80.88%
Operating Transfers 3,482,930 3,637,227 4,043,956 2,923,323 72.29%
Reserve Transfers 118,667 42,096 1,126,557 1,081,565 96.01%
Debt Service 815,843 1,182,788 2,095,280 2,137,927 102.04%
Contractual Services 2,594,882 3,086,698 3,648,497 3,571,794 97.90%
Internal Services 3,879,087 3,722,321 4,571,125 4,639,759 101.50%
Depreciation 1,651,296 1,832,377 - - -
Grand Total $66,919,660 $74,921,815 $75,120,613 $75,432,884 100.41%
Page 78 of 648
SUMMARY OF REVENUE AND EXPENDITURES BY CATEGORY
Account Category FY 2016
Actual
FY 2017
Est. Actual FY 2018 Budget
Property Taxes 15,034,583 15,674,776 16,111,946
Other Taxes-State 11,846,716 11,714,832 11,869,624
Other Taxes-Local 9,701,271 9,959,696 9,886,470
Licensing 326,176 328,365 311,865
Building Revenue & Fees 1,521,695 1,900,700 1,301,700
Intergovernmental Revenue-Local 301,246 264,878 270,197
Sales of Water/Sewer Fees 10,100,980 11,263,922 11,572,889
Golf Course Fees 2,237,350 2,299,342 2,392,500
Investment Revenue 7,219,211 7,719,800 6,957,800
Fines & Fees 1,909,937 1,943,199 1,937,789
Operating/Internal Service Transfers 12,068,711 12,663,123 11,958,556
All Other Revenue 11,302,210 4,393,250 5,346,945
Grand Total - All Fund Revenue $83,570,086 $80,125,883 $79,918,281
Account Category FY 2016 Actual FY 2017
Est. Actual FY 2018 Budget
Wages 21,388,021 22,178,964 23,595,976
Benefits 16,858,135 17,417,986 18,645,998
Operating Expenses 3,569,850 3,776,949 3,930,227
Commodities 6,114,888 7,612,366 7,269,666
Repairs and Maintenance 1,284,556 1,886,159 2,123,575
Capital Outlay 12,202,857 6,437,036 5,513,074
Reserve Transfers 42,096 1,118,502 1,081,565
Contractual Services 3,086,698 3,475,805 3,571,794
Internal Services 3,722,321 4,571,124 4,639,759
Transfers 3,637,227 3,856,862 2,923,323
Debt 1,182,788 2,095,280 2,137,927
Depreciation 1,832,377 - -
Grand Total All Fund Expense $74,921,815 $74,427,033 $75,432,884
Page 79 of 648
PERSONNEL AND BENEFI TS
The Village of Buffalo Grove relies upon a lean and efficient professional staff to accomplish the
mission, vision, and strategic goals of the organization. The Village has historically maintained a
highly competitive total workforce compared to other municipalities in the region. The Village’s
ratio of employees per 1,000 residents has declined substantially in recent years as a result of the
economic downturn and rightsizing of staff.
Over the past few years, the Village has implemented several programs to contain the costs of
personnel and benefits by:
1.Implementing alternate service delivery models.
2.Reevaluating employee salary ranges every three years and placing limits on
compensation increases for employees at the top of their salary ranges.
3.Implementing a comprehensive wellness program with a goal to contain healthcare
costs.
4.Gradually increasing the employee contribution to health insurance from 10 percent
to 15 percent over a five-year period (15% for 2018).
5.Restructuring health insurance plans to gain short-term financial savings and long-
term sustainability.
For 2018, the Village proposes a full-time staff complement of 214 full-time personnel and 56 part-
time personnel.
FY 2016 FY 2017 FY 2018
FT PT FT PT FT PT
Office of Village Manager/Administration 3 0 3 1 3 1
Community Development 12 1 12 1 13 2
Finance & General Service 9 0 9 0 9 0
Fire Services 59 2 59 2 60 3
Golf Operations 3 32 3 32 3 32
Human Resources 2 0 2 0 2 0
Police Services 74 13 75 8 75 8
Public Works/Engineering 50 9 49 11 49 10
Total 212 58 212 58 214 56
Full & Part-Time Grand Total 270 270 270
Page 80 of 648
REVENUE TRENDS AND P ROJECTIONS
As a part of the development of both long-term financial forecasting and the corresponding
annual budget, the Village continually reviews external and internal functions that impact, or
may impact, the collection of revenue.
The national economy affects both state and local economies, although this impact varies by
jurisdiction and may actually have an inverse effect on a community. The state economy has
played a significant role in the compilation of the budget. Several critical revenues that the
state shares with the Village have been the subject of legislative debate. Two legislative
measures were passed in FY 2017 that will have a deleterious impact on Village revenues. Those
measures include a ten percent reduction of the local government distributive fund payments
and a two percent administrative fee levied against local taxes that are collected by the State
of Illinois on behalf of the Village.
Some of the economic indicators the Village uses in financial analysis include: inflation (CPI),
employment (ECI), housing starts, spending patterns, interest rates, and manufacturing activity.
Inflation- As inflation goes up, the cost of goods sold go up, increasing retail sales tax revenue .
As prices rise, so will business income tax receipts. Conversely, the Village will have to pay more
for goods and services.
Employment- Retail and vehicle sales tend to have inverse relationships with the unemployment
rate. Sales tend to move in the opposite direction of the unemployment rate. Chronic
unemployment often spills over into the residential real estate market, resulting in reduced real
estate transfer tax revenue.
Housing Starts- This indicator provides a sense of the overall demand for housing, which can be
indicative of local housing activity. Data maintained by local realtor groups is useful in
projecting the future of market recoveries. This metric is a regional measure that is influenced by
development opportunities.
Spending Patterns- Relates to how much it costs to buy a constantly evolving basket of
consumer goods.
Interest Rates- Interest rates impact the Village’s revenues in several ways. First, investment
income will be affected by interest rates. Second, the availability and cost of capital directly
affects business expansion and retail purchases. As credit is extended and/or rates are lowered,
revolving purchases may increase, thereby increasing development plans and retail sales and,
by extension, sales tax and business license revenues.
Manufacturing Activity- If a Village has a large manufacturing sector, the ISM (Institute of Supply
Management) Index becomes a significant factor in revenue analysis and forecasting .
Manufacturers respond to the demand for their products by increasing production, building up
inventories to meet the demand. The increased production often requires new workers, which
lowers unemployment figures and can stimulate the local economy.
Healthcare Benefits- Are usually the largest dollar component of the overall benefit category
within governmental budgets. Inflation in this category has traditionally run much higher than
the CPI rate on a national level. The Village has mitigated the impact of medical inflation
through pooling risk.
Page 81 of 648
PROPERTY TAX
Property taxes (net of Road and Bridge taxes) are anticipated to be approximately $16.1 million
and will be levied in 2018. This is referred to as the 2017 property tax levy, payable in 2018.
Property taxes account for about twenty percent of all budgeted revenues. The total levy is
anticipated to increase by 3.1 percent over the property taxes extended in 2017.
There are three components to the property tax levy, the Corporate Tax Levy, the Pension and
Special Purpose Levies, and the Debt Service Levy. The Corporate Tax Levy helps to support the
public safety departments including police and fire. The Village is recommending a three
percent increase to support these operations.
Property tax levies for Police and Fire pensions are based on an independent actuarial analysis
of both funds’ normal costs as well as to provide an amount necessary to amortize a portion of
the unfunded actuarial liability. The levies both exceed the minimum requirements as
calculated under the Illinois Pension Code as it applies to police and fire sworn employee plans.
The amount required for the Illinois Municipal Retirement Fund (IMRF) is provided directly to the
Village by the IMRF. The amounts levied for FICA and Medicare are dictated by the Internal
Revenue Service. Over half of the tax levy request supports public safety departments as noted
in the chart below.
The final component of the tax levy is for debt service obligations. Revenues collected through
this levy are used to pay principal and interest on the Village’s outstanding general obligation
bonds. Principal and interest on General Obligation Bonds due in 2018 is $1,682,694. $654,250 of
the tax levy for debt service will be abated to reduce the growth in the overall levy extension.
DISTRIBUTION OF PROPERTY TAX DOLLARS
Corporate
Levy - Public
Safety
55%
Pension Levies
38%
Debt Service Levy
7%
Page 82 of 648
The Village of Buffalo Grove levies property taxes within two counties, Cook and Lake, and the
Illinois Department of Revenue is tasked with the responsibility of assigning a tax burden to each
county. For the 2017 property tax levy, seventy-four percent of all assessed valuation is located
in Lake County and twenty-six percent is located in Cook County. The chart above shows the
growth of all real property in the Village over the last ten years.
Market values have stabilized and are seeing signs of positive growth after a four-year decline
during the recession ending for the FY 2015 tax levy. Total Equalized Assessed Value (EAV) for
the 2017 tax levy is $1.61 billion.
The rate at which property taxes are levied is determined by dividing the amount of tax
requested by the EAV. The EAV is defined as one-third of the market value of all real property in
the Village of Buffalo Grove. The Village levies the dollars needed to fund operations, provide
the statutory requirement for pensions and meet its debt requirements. The rate is the fulcrum
between the dollars requested and the value of all real property. In a declining market value
environment the tax rate will increase even if the tax levy dollar amount remains constant. If all
property values change uniformly across all classes of property, and the levied dollars do not
change, there will be no impact to a property owner’s tax bill . In reality, property values do not
change in this manner. The five-year average decline in assessed values across both counties is
1.95 percent.
$0
$200,000,000
$400,000,000
$600,000,000
$800,000,000
$1,000,000,000
$1,200,000,000
$1,400,000,000
$1,600,000,000
$1,800,000,000
$2,000,000,000
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
Total Equalized Assessed Value
Page 83 of 648
STATE SHARED SALES TAX
Retail sales tax is collected by the State of Illinois. The municipality where the tax is collected
receives one percent of the revenues. The largest sales tax generators in the Village are grocery
stores and businesses selling building and electrical supplies. The Village works closely with
brokers and commercial realtors to market available commercial properties. Sales tax remains
an important component of the revenue profile.
Sales taxes had little growth (less than 1%) year over year. The proposed FY 2018 budget
includes a partial year of sales tax for Woodman’s Food Market. The FY 2017 budget
anticipated $5.7 million in sales tax revenue. The estimated actual will meet the budget target.
For 2018, the budget is anticipated to be $5.8 million or a 1.8 percent increase.
The following chart shows the last ten years of state sales tax revenue.
$0
$1,000,000
$2,000,000
$3,000,000
$4,000,000
$5,000,000
$6,000,000
$7,000,000
2009 2010 2011 2012 2013 2014 2015 2016 2017
est
2018
bud
State Sales Tax History
Page 84 of 648
HOME RULE SALES TAX
Home rule sales tax is collected by the State of Illinois. The municipality where the tax is
collected receives one percent of the revenues. In 1992, the Village assessed a one-half cent
($.05) local option sales tax against all retail sales except food and drug items and personal
property titled with the State of Illinois. Performance of this revenue tends to follow performance
of the above referenced state sales tax, except for those excluded retail classes. The Village
Board voted in 2004, effective for January 1, 2005, to increase the home rule sales tax to one
percent (1%). In 2018, revenues are anticipated to increase by 2.7 percent from the 2017-
estimated actual amount of $3.7 million to $3.8 million. The State of Illinois imposed a two
percent administration fee on the collection of revenue on behalf of the Village that will impact
FY 2018 net proceeds.
The following is a ten-year review of home rule sales tax collections.
$0
$500,000
$1,000,000
$1,500,000
$2,000,000
$2,500,000
$3,000,000
$3,500,000
$4,000,000
2009 2010 2011 2012 2013 2014 2015 2016 2017 est 2018
bud
Home Rule Sales Tax History
Page 85 of 648
The following chart is a distribution of sales taxes obtained from the Illinois Department of
Revenue based upon standard industrial classification (SIC) code reporting. The data
encompasses the 2016 calendar year. The largest single sales class is Drug and Miscellaneous
Retail at 23.03 percent.
Distribution of Sales Tax by SIC Code Reporting
PREPARED FOOD & BEVERAGE TAX
The Village receives one cent ($0.01) for each dollar of prepared food and beverage sales. This
tax is levied on the purchase of prepared food for immediate consumption and the sale of liquor
for consumption on or off premises. Similar to sales tax, inflationary growth is the central driver of
revenue increases for the next year. There are 108 food establishments and liquor stores that
generate this tax. This revenue has had consistent growth as a large percentage of the dining
options within the Village are value-oriented. The estimated revenue for 2018 is 10.21 percent
above the budget target. The budget for 2018 is $771,470. The tax was enacted in 2008.
General
Merchandise,
0.07%
Food, 17.43% Drinking and
Eating Places,
9.25%
Apparel, 0.75%
Furniture & H.H. &
Radio, 2.99% Lumber, Bldge,
Hardware,
16.78%
Automotive &
Filling Stations,
8.74%
Drugs & Misc.
Retail, 23.03%
Agriculture &
All Others,
18.42%
Manufacturers,
1.89%
Page 86 of 648
ILLINOIS INCOME & USE TAX
Illinois income tax is imposed on every individual, corporation, trust and estate earning or
receiving income in the state. The tax rate is levied at 4.95 percent of income for individuals and
5.25 percent for corporations. The Village receives a pro rata allocation of Income Tax from the
State of Illinois based on .08 percent of net personal taxes and 9.14 percent of corporate taxes.
In July 2017, the state passed its first budget in over two years. As a part of the state’s budget-
balancing process, there was a reduction in revenue shared with municipalities. Incorporated in
this budget is the state’s ten percent reduction in the Local Government Distributive Fund
(income tax proceeds).
The use tax is a form of sales tax designed to distribute the tax burden fairly among consumers
and assures fair competition between in-state and out-of-state businesses. The tax is owed on
goods purchased out of Illinois and brought into the state.
Based upon data provided by the Illinois Municipal League, the FY 2018 income tax budget is
$3.7 million ($90.27 per capita) and Use Tax is $1.07 million ($25.90 per capita). Collectively,
income and use tax will be at budget and are projected to decrease nine percent in FY 2018.
The Village of Buffalo Grove’s unemployment statistics have consistently beat the metro and
state averages, with an August 2017 rate of 4.0 percent.
The spike in revenue during FY 2015 was discovered to be an accounting error by the State of
Illinois where funds were distributed in excess of the allotted municipal share. The error amount
was returned in FY 2016-2017.
$0
$1,000,000
$2,000,000
$3,000,000
$4,000,000
$5,000,000
$6,000,000
2009 2010 2011 2012 2013 2014 2015 2016 2017
est
2018
bud
Income & Use Tax Revenue History
Page 87 of 648
UTILITY USE TAXES
The Village of Buffalo Grove administers three utility taxes for electricity, natural gas, and
telecommunications. Use taxes for electricity and natural gas were first imposed in FY 2010. The
amount levied for electricity is the maximum amount allowed by state statute and is based on a
sliding scale that nets approximately $.05 per kilowatt-hour. Revenue is estimated to be $1.68
million for 2017 and the budget is largely unchanged for 2018 at $1.67 million. Utility taxes for
natural gas are levied at a rate of $0.05 per therm. The estimated amount for 2017 is $1 million
with the budget for FY 2018 remaining unchanged.
Since both electricity and natural gas use taxes are based on unit charges there are no
fluctuations due to commodity pricing. Absent any increase in households or commercial
buildings within the Village, this revenue source has little room for future growth. Weather
conditions are the primary driver for changes in revenue, but the movement toward more
efficient building technologies and appliances will be a constant pressure downward on the
collection of this revenue.
TELECOMMUNICATIONS T AX
The Telecommunications Tax is levied at six percent on all types of telecommunications except
for digital subscriber lines (DSL) purchased, used, or sold by a provider of internet service. The
unbundling of phone and data services for the purpose of extending the tax has had a
significant negative impact on collections as well as the shift away from landline telephones.
Voice over Internet Protocol (VoIP) phone services are subject to this taxation.
The estimated actual for 2017 will underperform budgeted expectations by eight percent. The
budget for FY 2018 ($1.5 million) will be the same as the estimated actual for the current year.
Page 88 of 648
REAL ESTATE TRANSFER TAX
Real estate transfer tax is collected at the rate of $3 per $1,000 of sales consideration. In recent
years, this revenue has relied heavily on the sale of large commercial properties (sales
consideration greater than one million dollars). The estimated amount for FY 2017 will exceed
budget by 29.1 percent as the real estate market posted strong sales activity through much of
the year.
The budget for 2018 is 17.8 percent less than the 2017 estimated actual of $1.23 million and 6.1
percent higher than the previous year’s budget.
BUILDING REVENUE & F EES
A significant percentage of this revenue is considered non-recurring and is reliant upon
economic conditions and private development opportunities. For 2018, the most significant
project will be Woodman’s Food Market. See Section 2 for all development projects anticipated
for the next year. All other revenue is anticipated to be collected on improvements to existing
structures. Total building revenues and fees for 2017 are estimated to come in fifty percent over
the budget amount. The total amount budgeted for FY 2018 is $1.21 million.
STORM WATER MANAGEMENT FEES
This revenue source was added in FY 2016. The system user fees are charged to all properties in
the Village for the proportionate cost of maintaining the storm water conveyance operating
costs and infrastructure. The fee is charged as a flat rate for all residential properties based
upon the average lot size within the Village. Commercial/industrial users pay a fee on the
actual surface area. The budget for FY 2018 is $1.1 million.
$0
$200
$400
$600
$800
$1,000
$1,200
$1,400
2009 2010 2011 2012 2013 2014 2015 2016 2017 Est 2018
Bud
Th
o
u
s
a
n
d
s
Real Estate Transfer Tax
Page 89 of 648
FINES AND FEES
This revenue accounts for all fines levied by the police department and fees for ambulance
transport and life support functions by the fire department. The Village has incorporated an
administrative adjudication program whereby local ordinance violations can be heard at
Village Hall. The benefit is that violators do not have to travel to either of the county courts and
the Village, in turn, does not have to pay a large percentage of the fine revenue to the counties
to dispense of the violations. Revenues are up 3.8 percent against budgeted expectations in FY
2017 and anticipated to remain unchanged for FY 2018.
MOTOR FUEL TAX
For FY 2018, the Village anticipates $1 million in Motor Fuel Tax proceeds as estimated by the
Illinois Municipal League. Local governments receive 1.25 percent of taxes assessed on gasoline
and diesel and is then distributed on a per capita basis. Street maintenance is a high priority for
the Village of Buffalo Grove as noted in the Capital Improvement Plan (CIP), detailed in Section
6 of this document. It is assumed that elevated fuel costs, alternative energy options, availability
and improvement of public transportation, and environmental awareness have already slowed
the growth of MFT revenues in recent years. It is becoming more common for employers to
provide more flexible work schedules and telecommuting to attract talented employees as
technology and traditional work environments evolve. These changes will impact growth in this
revenue.
WATER AND SEWER FEES
Total fees collected for the sale of water combined with revenue collected on behalf of Lake
County Public Works for 2018 is $11.7 million. Over a quarter of the revenue (30.1 percent) is
billed by the Village and then remitted directly to Lake County for sanitary sewer treatment fees.
Lake County owns and operates the southeast region sewer treatment plant. The Village bills
the services on their behalf to reduce overhead and administrative costs. The budgeted
assumption for annual consumption is 1.25 billion metered gallons.
The decline in water usage has appeared to stabilize over the last three years. The decreased
demand was due to weather (summer irrigation), an effective campaign to conserve water,
eco-friendly landscape designs, energy efficient appliances and a decrease in average
household size. The Village does not impose a minimum or fixed fee for service connection, but
will be researching the feasibility of one in future budgets. The Village completed a Village-wide
meter replacement program in FY 2016. The additional water fee revenue collected due to the
improved accuracy of the new meters will be used to pay for the cost of the meters over the
next fourteen years of installment loan payments.
It is estimated that the total amount of water consumed by the Village will remain unchanged in
2018. The chart below illustrates the annual water consumption of all users (residential,
commercial, and industrial).
Page 90 of 648
The justification for the water rate is based on a Water Fund sustainability study entitled the
Twenty Year Water Fund Pro-forma Analysis. The study is located in Appendix B. The purpose
behind the analysis was to design a fee structure that would adequately fund a utility system
with a present day replacement cost of $0.5 billion. The components of the rate address
operating costs, capital maintenance and repairs, and building reserves for future infrastructure
needs.
During high cost growth years (1980-2000), the Village amassed significant cash reserves from
developer fees. The original infrastructure was constructed by developers and donated to the
Village. During that period of time, the intent of the water user rate was to recover operating
costs only. As the development and related revenues slowed, cash reserves were used to
subsidize the water rate to cover both operating and capital expenses.
The three-year rate history is:
Year Water Rate* Sewer Rate* Combined Rate*
2016 4.56 1.13 5.69
2017 4.74 1.17 5.91
2018 $4.93 $ 1.21 $6.14
*all rates are per 1,000 gallons metered
Effective January 1, 2015 – rates are increased by 4 percent per annum
The annual rate increase will take several years to stabilize the fund and begin to accumulate a
reserve for future infrastructure improvements. Any significant improvement will require debt
financing and/or an alternative source of revenue. The following chart shows the impact on
cash reserves based on the proposed rate structure and forecasted expenses over the next
twenty years.
100,000
300,000
500,000
700,000
900,000
1,100,000
1,300,000
1,500,000
1,700,000
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
Annual Gallons Billed (in thousands)
Page 91 of 648
Working Cash represents a minimal amount of cash on hand needed that would cover 25
percent of operating expenses.
The Lake County sanitary sewer fee estimate is on target with the 2017 budget and there is no
change in the rate for 2018. The Village is working with Lake County Public Works Department
on a new use agreement. One change will be the summer sewer credit rate. Presently the cap
is at 110 percent of non-summer usage. The cap is proposed to increase to 120 percent for
2018.
The Lake County Board sets the sanitary sewer charge. The revenue collected is a pass through
as the amount is remitted to Lake County upon collection. This fee is charged to Lake County
customers. Cook County residents are charged for sanitary sewer fees through a property tax
levied by the Metropolitan Water Reclamation District of Greater Chicago.
GOLF COURSE FEES
The Village owns and operates two municipal golf courses. A 2.9 percent increase in operating
revenue was budgeted for FY 2018 for the Buffalo Grove Golf Club and 1.6 percent at the
Arboretum. The golf industry as a whole continues to struggle with declining numbers of players
in a market that is oversaturated with golf courses. In FY 2018, there is no anticipated growth in
paid rounds above what will be played in the current year.
Total revenue at both courses is anticipated to be $2.47 million in FY 2018. There will be a
collective budget subsidy transfer out of the General Fund to the golf courses of approximately
$0.3 million at the end of the year.
-$8,000
-$6,000
-$4,000
-$2,000
$0
$2,000
$4,000
$6,000
$8,000
2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036
Th
o
u
s
a
n
d
s
Cash Position
Net Reserve Required Working Cash*
Page 92 of 648
INVESTMENT REVENUES
The Village’s investments are guided by three policies that address permitted investments in the
portfolios of the Police Pension Fund, Firefighters’ Pension Fund, and all other funds. Total
investment revenue is expected to be $6.9 million. All funds other than pension funds have
durations less than three years with an average expected yield of 0.65 percent. All investments
are laddered to meet the cash flow needs of the fund. The primary strategy for non-pension
investments is safety and liquidity. Both pension funds have interest rate targets of seven
percent for their actuarial assumption. The pension funds are the only Village funds that
purchase equity investments. The Police and Firefighter Pension Fund Boards are fiduciaries of
their respective funds and separately administer the funds’ investments with the assistance o f
outside financial advisors.
PENSION REVENUES
The Village maintains two pension trust funds mandated by Illinois Compiled Statutes, one for
sworn police officers and one for sworn firefighters. All other full-time Village employees are
covered by the Illinois Municipal Retirement Fund (IMRF), a statewide Public Employees
Retirement System (PERS).
Revenues received by the Police and Firefighter Pension Funds are calculated by an
independent actuary. The property tax levies for the Police and Firefighter Pension Funds are
anticipated to increase by 5.8 percent and 1.8 percent, respectively. The levy for IMRF and
Social Security/Medicare will increase by 2.0 percent. Employees contribute 9.91 percent of
salary for police and 9.455 percent for firefighters. Employees contribute 4.5 percent of salary for
IMRF, 6.2 percent for Social Security and 1.45 percent for Medicare.
The actuarially assumed rate of investments is 7.0 percent for the public safety funds and 7.5 for
IMRF. The public safety pension funds are structured to be 100 percent funded by the year 2040 .
IMRF has a rolling amortization period. The current level of funding for the pension funds are
Police Pension Fund (63.6%), Firefighters’ Pension Fund (75.1%), and IMRF (83.7%).
OTHER REVENUE SOURCES
The above information highlights the key revenue sources of the Village. Other revenues are less
material and are projected to be in line with inflation or other economic trends. There are no
new taxes or fees contemplated within the FY 2018 budget.
Page 93 of 648
EXPENDITURE TRENDS A ND PROJECTIONS
The presentation of expenditures has changed for this year as the Village has adopted a
program-based budget. Program budgets are structured to organize the budget into service
areas, rather than just departments with a grouping of related line items. A budget that is
prioritized around programs will be more meaningful to stakeholders because programs are the
basis for the consumption of services. Interested parties can relate to police patrols, snow
plowing, and emergency medical services, whereas, they may not relate to individual line items
within a department budget.
In general, when prices cannot be accurately determined or specific quantities identified, an
incremental analysis is performed comparing the estimated actual expense for 2017 along with
expenditure trend information. Economic indicators such as the CPI and PPI are built-in cost
escalators for many expenditure items.
To help control costs, the Village has centralized the purchasing function, which controls
purchases through a central contact (Purchasing Manager). This has allowed the Village to
better leverage purchasing power and provide better oversight of contracts for products and
services.
The Purchasing manager is the delegate for the Village to the Suburban Purchasing
Cooperative. The Suburban Purchasing Cooperative is a joint purchasing program sponsored by
the Northwest Municipal Conference (NWMC), DuPage Mayors & Managers Conference
(DMMC) South Suburban Mayors and Managers Association (SSMMA) and Will County
Governmental League (WCGL). Together the SPC represents 140 municipalities and townships in
northeastern Illinois.
The following are the major account categories across all programs.
WAGES
The primary mission of the Village of Buffalo Grove is to provide high quality services to residents
and those employed within its boundaries. To accomplish that purpose in 2018, 31.3 percent of
all Village expenditures are allocated to salaries and wages, up 1.4 percent from 2017. Total
wages for FY 2018 are $23,595,976.
The Village’s pay ranges are evaluated each year to establish both internal and external equity
within the market and to ensure fair and competitive wages. In FY 2015, a pay for performance
system was implemented that measures employee progress against stated goals, fostering a
stronger environment of accountability.
There are two organized labor groups subject to collective bargaining – International
Association of Firefighters (IAFF) Local #3177 – representing the Village’s 42
firefighter/paramedics and 9 fire lieutenants and the Metropolitan Alliance of Police (MAP) –
representing the Village’s 46 police officers. The current Agreement with IAFF became effective
on May 1, 2017 and expires on April 30, 2020. Members of the IAFF bargaining group will receive
a 2.00 percent increase for the May 1, 2017 through April 30, 2018 labor agreement year. Wages
for the May 1, 2018 through April 30, 2019 labor agreement year will be determined via
negotiations in mid-2018. The current Agreement with MAP expired on December 31, 2016. At
this time, parties have tentatively agreed to a successor Agreement for the 2-year period of
January 1, 2017 – December 31, 2018. Ratification of the new Agreement by both parties is
anticipated to occur prior to the end of 2017.
Page 94 of 648
The non-represented work force will receive a 2.25 percent general wage increase. The
proposed increase in wages from the 2017 budget is 5.2 percent. That increase is due to a
general wage adjustment for non-represented employees of 2.25 percent, two new employees,
and pay for performance range movement with an estimated effective increase of 2.57
percent. The wages of the represented police and firefighter personnel will increase based on
their respective negotiated agreements.
The components of the total wage pool are noted below.
BENEFITS
The total budget for benefits is $18,645,998. This account category includes group health and
life insurance costs, employer pension contributions, worker’s compensation insurance, and
training.
The Village of Buffalo Grove is a member of the Intergovernmental Personnel Benefits
Cooperative. The IPBC is a pooled benefit cooperative with approximately 118 member
communities. For 2018, the total amount budgeted for health insurance is $4.2 million, down $0.1
million from the 2017 budget. The other large component of personnel benefit cost is the Retiree
Health Savings (RHS) Program reserve. The RHS Program is designed to monetize unused
employee sick time at the end of employment to be used for unreimbursed medical expenses.
The Village has been proactive in trying to contain medical costs. Those efforts will continue in
2018 by focusing on wellness and disease management. Employees cover fifteen percent of
the premium for the plan they choose to participate in, while retirees who elect to stay on one
of the Village healthcare plans pay one-hundred percent of the premium. In an effort to control
costs and continue to offer quality insurance plans, the Village consolidated its two PPO plans
into one and will continue to market an HMO program.
Seventy percent of benefit costs are related to pension costs. $6.48 million is the Village’s
employer obligation for current and future annuitants and $6.78 million will be distributed to
retired pensioners. The following is a distribution of all charges.
Base Wages
92%
Overtime
6%
Range Movement
2% PFP
0%
Allocation of Funds By Category- 2018 Compensation
Page 95 of 648
Distribution of Benefit Costs
OPERATING EXPENSES
Total budgeted expenditures for Operating Expenses are $3,930,227. This is the largest
expenditure category. The primary driver of costs within this category are:
Insurance Premium - G/L and W/C $733,148
Northwest Central Dispatch $575,211
Pension Fund Investment Fees $400,000
Telephone - Land and Cellular $199,000
Computer Services $178,289
ComEd Lease (Metra Parking Lot) $128,337
Credit Card Fees $ 93,100
Golf Cart Lease $89,000
Northern Illinois Police Crime Lab $61,625
Postage $60,000
Audit Fees $46,640
Printing $35,572
Village Newsletter $33,000
Buffalo Grove Days $30,000
Police and Fire Commission $29,500
Travel $25,750
The costs noted above represent approximately seventy percent of the expenditure category .
The Village moved to a fully insured risk model in FY 2017. The premium for general liability and
Health Insurance,
$4,286,345
Training,
$164,650
Memberships,
$82,090
Clothing
Allowance,
$133,724
Safety
Equipment,
$80,935
Tuition
Reimbursement,
$50,000
Employee
Recognition,
$10,000
Employer Pension
Contributions,
$6,476,609
Pensioneer
Annuities,
$6,783,000
Unemployment,
$44,760
Page 96 of 648
worker’s compensation coverage is $733,148. The fee ($575,211) made to Northwest Central
Dispatch is for shared 911 dispatch services. $400,000 is anticipated to be spent by the Police
and Firefighters’ Pension Funds for Investment Fees . The market value of both funds is
approximately $150 million for an average investment cost of 25 basis points (.25%). There is a
twenty-year land lease with ComEd for the right-of-way that traverses the Metra parking lot. The
annual lease payment is $128,337. Membership in the Northern Illinois Police Crime Lab will cost
$61,625. The remainder of the costs are self-explanatory or are minor.
COMMODITIES
A total of $7,269,666 will be spent on commodities. Commodities include: energy costs,
wholesale purchase of water from the Northwest Water Commission, pass through fees paid to
Lake County Public Works for sanitary sewer service, chemicals for snow and ice, fertilization,
and pass through tipping fees remitted to the Solid Waste Agency of Northern Cook County
(SWANCC).The following is a distribution of costs:
Distribution of Commodity Costs
Lake County sanitary sewer fees account for 48 percent of the Village’s entire commodities
budget. As these fees are a pass through, there is corresponding revenue to offset this expense .
The same is true with tipping fees as the fee is collected by the Village’s franchised waste hauler,
remitted to the Village, and then paid to the Solid Waste Agency of Northern Cook County. The
third highest commodity expense is for the joint purchase of water through the Northwest Water
Commission. Economies of scale are reached through shared purchasing of water with the
Villages of Wheeling, Arlington Heights, and Palatine.
The Village purchases salt on joint bid contracts through the State of Illinois and Lake County.
These and other cooperatives create additional economies of scale and leverage buying
power. The most significant sources of electricity expenses are to power the sanitary sewer lift
station pumps, the booster pumps for water delivery, and street lighting.
Water -
Wholesale,
$1,700,000
Electricity,
$467,611
Natural Gas,
$33,750
Chemicals -
Snow/Ice,
$269,000
Chemicals -
Fertilizer, $17,200
Small
Equipment/Tools,
$64,155 Street Signs,
$47,500
Sanitary Sewer
Fees (Pass-thru to
Lake County),
$3,485,000
Tipping Fees
(Pass-thru to
SWANCC),
$1,060,000
Page 97 of 648
REPAIRS AND MAINTENANCE
In the FY 2018 Budget, $2,123,575, is programmed for minor repairs to Village facilities and
infrastructure, the water utility system, vehicles (including fuel costs) and mobile electronics
(radios and mobile data terminals). The following chart provides detail as to which systems are
being repaired.
Distribution of Maintenance Costs
Over a third of the costs are related to fuels and shop labor for Village vehicles. The next largest
expenditure is for temporary street repairs and sidewalk maintenance.
CAPITAL OUTLAY
A total of $7,700,088 will be spent on capital projects and acquisition. All equipment purchased
that exceeds $5,000 is capitalized. Capital projects are those that typically exceed $25,000 and
either are new construction (or acquisition) or add to service life of the asset.
Seven percent of all 2018 budgeted expenditures are for capital outlay. These items are
identified in detail in the 2018-2022 Capital Improvement Plan as shown in Section 6: Capital
Improvement Budget Summary. Each year, all proposed capital projects are assessed in terms
of reliability, performance and forecast maintenance experience and a plan is developed to
gauge the operational importance of the request versus the Village’s ability to pay for the
improvement.
Several significant capital projects are programmed for 2018. The first project is the annual street
maintenance program. This program continues to be a top priority of the Village Board. The
resources directed to maintaining and improving the Village’s roadway system are received
from the State of Illinois pro rata share of Motor Fuel Tax.
Streets and
Sidewalks,
$510,250
Street Lighting,
$224,000
Facilities,
$231,150
Parking Lots,
$90,000
Urban Forest,
$101,000
Golf Courses,
$19,500
Water/Sewer
System, $114,500
Vehicles,
$817,585 Mobile
Electronics,
$23,000
Page 98 of 648
The second project includes are the improvements needed at Village facilities. These
improvements include replacing the combined area fire training (CAFT) building and parking lot
repairs at various locations. There are two repairs that are not budgeted, but will need to be
evaluated during the year. They are HVAC unit replacement and roof repairs. The repairs, if
required, will need an alternative source of funding.
The amount budgeted for facilities in 2018 is $1.67 million, which accounts for thirty percent of
the capital improvement budget. The Village will be reimbursed for eighty percent of the CAFT
building construction by the other member agencies.
The third project of note is water and sewer repair and replacement, like roads and facilities they
need to be maintained and replaced on a cyclical basis that carries on in perpetuity. The
largest projects in those funds are water main replacements ($1 million), lift station repair and
rehabilitation ($0.9 million), and pump house repairs and security improvements ($0.2 million).
Total outlay for fiscal year 2018 is $2.1 million, or 38.2 percent of the total capital improvement
budget.
RESERVE TRANSFERS
The Village maintains four capital reserve funds. The first fund is the reserve for capital
replacement. This reserve was established to fund all vehicles and specialized equipment. As
the asset nears the end of its service life, the funds are in place for a replacement purchase. The
second reserve is a reserve for technology. This reserve commits funds for future technology
investments. By allocating a transfer to the reserves each year, the capital-spending amount is
smoothed out and not subject to spikes. The third reserve is a reserve for buildings and facilities.
Budgeted dollars will be allocated to future building repairs including roofs and mechanical
systems. The fourth reserve as noted above is for infrastructure. Those reserves will be allocated
to maintaining the storm water system. As the Village facilities continue to age, maintenance
costs will continue to rise. In total $1.082 million will be committed in 2018 for these four reserves.
Page 99 of 648
CONTRACTUAL SERVICES
$3,571,794 is allocated to contractual services. Included within this total are maintenance
contracts, consulting agreements, contractual services and inspections, communication costs,
and legal fees. The chart below shows the distribution of costs.
Below is a chart, which includes top fifteen contacted service providers to the village from 2016
Treasurers Report:
Contracted Service Provider Service Provided Amount of Contract
Arrow Road Construction Company Streets maintenance 3,869,438
Siemens Industry, Inc. Performance contacting 2,708,194
Chicagoland Paving Contractors Streets maintenance 1,533,194
A Lamp Concrete Contractors, Inc. Street and watermain
improvement 1,398,915
HD Supply WaterWorks Performance contracting 1,353,377
Reliable Property Services, Inc. Golf course maintenance 1,168,531
Civiltech Engineering, Inc. Engineering services 971,520
Intergovernmental Risk Management Agency Liability Insurance 941,533
Northwest Central Dispatch System Emergency management
services 641,126
Gewalt Hamilton Associates, Inc. Engineering services 631,804
Marc Kresmery Construction, LLC Lift station repairs 551,162
InterDev IT services 413,266
Constellation NewEnergy Inc. Energy services 379,593
Tressler, LLP Legal services 355,337
Aldridge Electric, Inc. Streetlight maintenance 281,425
Public Safety
Equipment &
Service
4%
Village
Communications
7%
IT/GIS Support
15%
I/T Maintenance
4%
Software
Maintenance
4% Legal Services
14%
Insurance
2%
Golf Course
30%
General
Government
Services, 3%
PW Services, 17%
Distribution of Contractual Service Costs
Page 100 of 648
INTERNAL SERVICE FUN DS
Operating departments and programs are charged for services related to Information
Technology, Central Garage, and Building Maintenance. The budget is developed around a
combination of the budgeted costs (known) plus a portion of overhead to operate the Internal
Service Fund (shared) and a component to anticipate future needs (estimate). Future funding is
contributed to smooth budgeted expenditures so that a department and/or program do not
incur a spike when a significant service or repair is incurred.
Information Technology cost are levied on a user basis for global costs. These are costs whereby
all departments derive a benefit (i.e. servers, internal connectivity). Direct costs (specialized
software, support, etc.) are not shared as they only benefit a department or program.
Central Garage costs are allocated to the department based on the services provided to
maintain a department owned vehicle.
Building Maintenance initially was charged a flat amount based on the square footage of a
building. Over the last two years, the charge back methodology has shifted to a model that
blends a fixed square footage amount with actual experience. For each year that data is
collected more emphasis will be placed on actual experience.
The Information Technology Fund’s budget is $1,409,555, Central Garage is budgeted at
$1,652,632, and Building Maintenance is budgeted at $1,577,570. The Internal Service Funds are
not intended to carry a fund balance at the end of a fiscal year. The Internal Services Funds are
intended to break even however, this may result in additional expenditures incurred by each
department to fund any additional costs, if a fund or funds come in over budget. Concurrently,
if the internal service funds come in below the budgeted amount(s), a refund will be distributed
to the departments, which will show the expenditure below budget for the year.
DEBT SERVICE EXPENDITURES
The Village currently has four bond issues outstanding as of January 1, 2018, all being General
Obligation Bonds (Series 2010A, Series 2010B, Series 2012, and Series 2016). Bond descriptions
and amortization schedules are listed within the Debt Position of this section. Most Village debt
service revenues are obtained through property tax. Two funds will be abating a portion of the
2018 principal and interest due. The Refuse fund will transfer $500,000 and the Water and Sewer
Fund will provide $180,000. The operating transfers from these funds to abate a portion of the
taxes are attributed to Public Service Center and road improvements.
The cost related to servicing the debt for performance contracting (water meter replacements)
will be paid from additional revenue earned through the use of meters that are more efficient.
The principal and interest on the water meter purchase contract is $450,233 in FY 2018. The line
of credit principal and interest is paid from the Capital Projects Fund.
Page 101 of 648
DEBT POSITION
From time-to-time, the Village may use the issuance of long-term debt to further the Village’s
Capital Improvement Program. Long-term debt is used only for capital projects that cannot be
financed from current revenue sources. The Village accounts for repayment of long-term debt
in the Facilities Development Debt Service Fund. In FY 2018, debt service consists of $405,000 for
Series 2010A, $271,938 for Series 2010B, $237,525 for Series 2012, and $768,231 for Series 2016.
Total debt outstanding as of December 31, 2017 is $14.365 million. The Village has an $8 million
line of credit with a balance of $3.49 million as of October 31, 2017. The line of credit was
extended in November 2015 for an additional three years. Below is a chart depicting the future
principal and interest payments of all general obligation debt, exclusive of the line of credit.
0
200,000
400,000
600,000
800,000
1,000,000
1,200,000
1,400,000
1,600,000
1,800,000
2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031
Debt Service Schedule by Fiscal Year
Series 2012 Series 2010B Series 2010A Series 2016
Page 102 of 648
The Village of Buffalo Grove is a home-rule community and has no legal debt limit by statue. The
Village monitors the overlapping debt of all taxing districts and is sensitive to the burden debt
places on the taxpayer. As of December 31, 2017, the Village’s ratio of General Obligation
bonded debt to EAV was 1.03 percent. Please see Appendix B: Financial Policies and
Projections for a copy of the Village’s Debt Policy. Below is a chart depicting debt as a
percentage of EAV from 2010-2017.
0.00%
0.20%
0.40%
0.60%
0.80%
1.00%
1.20%
2010 2011 2012 2013 2014 2015 2016 2017
Ratio of General Obligation Debt to EAV
Page 103 of 648
DEBT SERVICE SCHEDUL ES
Overview
The following summarizes the debt service obligations of the Village as of December 31, 2017.
2010A General Obligation Refunding Bonds
Purpose: Refunding all of the Village's outstanding debt: Series 2001A and
Series 2001B. The 2001A Bonds were issued to partially finance the
rehabilitation and improvement of existing golf course facilities
and the 2001B proceeds were used to finance the refunding of the
Village's outstanding debt at that time.
Maturity Date: 12/30/2020
Original Principal Amount: $5,310,000
Investment Rating: Moody's Investors Service: AAA
Standard & Poor's: AAA
Principal Outstanding: $1,470,000
Interest: $146,750
2010B General Obligation Bonds
Purpose: Proceeds used to finance public capital infrastructure
improvements including storm water drainage, the construction of
water detention facilities, installation of storm sewers and storm
box culverts, roadway reconstruction, landscape walls
reconstruction, and sidewalk removal and restoration.
Maturity Date: 12/30/2025
Original Principal Amount: $2,600,000
Investment Rating: Moody's Investors Service: AAA
Standard & Poor's: AAA
Principal Outstanding: $2,045,000
Interest Outstanding: $391,648
2012 General Obligation Bonds
Purpose: Proceeds used to complete street improvement projects identified
in the FY 2013 Capital Improvement Plan.
Maturity Date: 12/30/2030
Original Principal Amount: $6,000,000
Investment Rating: Moody's Investors Service: AAA
Standard & Poor's: AAA
Principal Outstanding: $6,000,000
Interest Outstanding: $1,392,550
2016 General Obligation Bonds
Purpose: Proceeds used to complete street improvement projects identified
in the FY 2016 Capital Improvement Plan.
Maturity Date: 12/30/2031
Original Principal Amount: $6,125,000
Investment Rating: Moody's Investors Service: AAA
Standard & Poor's: AAA
Principal Outstanding: $6,125,000
Interest Outstanding: $1,005,806
Page 104 of 648
Debt Service Schedules
Annual Payments - General Obligation Debt
Principal
Fiscal Year Series 2010A Series 2010B Series 2012 Series 2016 Total
2018 360,000 205,000 100,000 650,000 1,315,000
2019 370,000 210,000 100,000 530,000 1,210,000
2020 395,000 220,000 100,000 570,000 1,285,000
2021 - 225,000 415,000 300,000 940,000
2022 - 235,000 425,000 305,000 965,000
2023 - 240,000 440,000 310,000 990,000
2024 - 250,000 450,000 315,000 1,015,000
2025 - 260,000 470,000 325,000 1,055,000
2026 - - 650,000 330,000 980,000
2027 - - 650,000 335,000 985,000
2028 - - 700,000 345,000 1,045,000
2029 - - 750,000 350,000 1,100,000
2030 - - 750,000 360,000 1,110,000
2031 - - - 370,000 370,000
Total $1,125,000 $1,845,000 $6,000,000 $5,395,000 $14,365,000
Debt Service Schedules
Annual Payments - General Obligation Debt
Interest
Fiscal Year Series 2010A Series 2010B Series 2012 Series 2016 Total
2018 45,000 66,938 137,525 118,231 367,694
2019 30,600 59,763 135,525 105,231 331,119
2020 15,800 52,413 133,525 94,631 296,369
2021 - 44,713 131,525 83,231 259,469
2022 - 36,725 123,225 77,231 237,181
2023 - 28,265 114,725 71,131 214,121
2024 - 19,385 105,925 64,931 190,241
2025 - 10,010 96,925 58,631 165,566
2026 - - 86,938 52,131 139,069
2027 - - 72,313 45,531 117,844
2028 - - 56,875 38,413 95,288
2029 - - 39,375 30,650 70,025
2030 - - 20,625 21,900 42,525
2031 - - - 11,100 11,100
Total $91,400 $318,212 $1,255,026 $872,973 $2,537,611
Page 105 of 648
Debt Service Schedules
Annual Payments - General Obligation Debt
Principal and Interest
Fiscal Year Series 2010A Series 2010B Series 2012 Series 2016 Total
2018 405,000 271,938 237,525 768,231 1,682,694
2019 400,600 269,763 235,525 635,231 1,541,119
2020 410,800 272,413 233,525 664,631 1,581,369
2021 - 269,713 546,525 383,231 1,199,469
2022 - 271,725 548,225 382,231 1,202,181
2023 - 268,265 554,725 381,131 1,204,121
2024 - 269,385 555,925 379,931 1,205,241
2025 - 270,010 566,925 383,631 1,220,566
2026 - - 736,938 382,131 1,119,069
2027 - - 722,313 380,531 1,102,844
2028 - - 756,875 383,413 1,140,288
2029 - - 789,375 380,650 1,170,025
2030 - - 770,625 381,900 1,152,525
2031 - - - 381,100 381,100
Total $1,216,400 $2,163,212 $7,255,026 $6,267,973 16,902,611
Page 106 of 648
FUND BALANCE PROJECT IONS BY FUND
The fund balance is the fund equity of governmental funds. Changes in fund balances are the
result of the difference of revenues to expenditures. Fund balances increase when revenues
exceed expenditures and decrease when expenditures exceed revenues. For the General
Fund, only unassigned fund balance is noted. The Village of Buffalo Grove uses cash and
investments as a proxy for fund equity in the enterprise funds. The following table depicts the
proposed revenues and expenditures by fund for the FY 2018 budget, with surplus (deficit) shown
for each fund.
Fund
Fund Balance
January 1,
2018
2018
Revenue
2018
Expenditures
Excess of
Revenue over
Expenditures
Fund Balance
December 31,
2018
General Fund 16,143,726 42,304,435 42,292,439 11,996 16,155,722
Special Revenue
Funds
Parking Lot 93,479 208,200 326,150 (117,950) (24,471)
Motor Fuel Tax 1,539,455 1,000,000 1,000,000 - 1,539,455
Debt Service Fund
Debt Service (27,417) 1,682,693 1,687,694 (5,001) (32,418)
Capital Project Funds
Facilities (3,626,197) 1,576,963 1,576,963 - (3,626,197)
Streets (206,350) 360,000 360,000 - (206,350)
Enterprise Funds
Water and Sewer 2,969,722 11,705,389 11,727,349 (21,960) 2,947,762
Arboretum Golf
Course - 1,208,5661 1,208,566 - -
B.G. Golf Course - 1,491,2442 1,491,244 - -
Refuse 1,255,008 1,080,000 1,660,000 (580,000) 675,008
Internal Service
Funds
Information
Technology - 1,409,555 1,409,555 - -
Central Garage - 1,652,632 1,652,632 - -
Building
Maintenance - 1,577,570 1,577,570 - -
Trust and Agency
Funds
Police Pension 56,384,952 6,781,813 4,265,000 2,516,813 58,901,765
Firefighter Pension 50,348,164 5,879,498 3,198,000 2,681,498 53,029,762
Total All Funds $124,874,542 $79,954,558 $75,433,162 $4,485,397 $129,360,038
Multiple funds have in excess of 10 percent change in fund balance in fiscal year 2018. The
Parking Lot Fund will be drawing down on reserves to resurface the parking lot. The Debt Service
Fund has a small fund balance that will be used to offset debt service expenditures in 2018. The
Refuse Fund is budgeted to transfer $500,000 to the Debt Service Fund to cover a portion of the
road repairs funded by the Series 2016 bonds. The Police and Firefighters’ Pension Funds will
generate a surplus of $5.2 million. That surplus is committed for future pension annuitants. Across
all funds, the budgeted revenues and expenditures should increase the total fund balance 3.6
percent by the end of FY 2018.
1 Includes an Operating Transfer of $227,647 2 Includes an Operating Transfer of $76,908
Page 107 of 648
SECTION FIVE : CORPORATE FUND
REVENUE – NON OPERATING TRANSFERS – LEGISLATIVE – OFFICE OF THE
VILLAG E MANAGER – FINANCE DEPARTMENT – HUMAN RESOURCES
DEPARTMENT – COMMUNITY DEVELOPMENT DEPARTMENT – POLICE
DEPARTMENT – FIRE DEPARTMENT – PUBLIC WORKS DEPARTM ENT
REVENUE – GENERAL FUND
The General Fund Revenue Budget for 2018 is $42,010,229 representing a 0.70 percent increase
over the 2017 budgeted amount, and a decrease of $2,910.00 over the 2016 actual revenues.
Property taxes, state shared taxes (sales tax and income tax), home-rule sales tax, prepared
food & beverage tax, telecommunications tax, and other taxes comprise 85.15 percent of the
revenue budgeted in 2018.
For a more detailed description on revenues and assumptions, refer to Section 4 Executive
Overview.
PROGRAM AREAS
Revenue Collection ……………………………….………………………………………………..…………112
Page 109 of 648
2018 REVENUE - GENERAL FUND PROGRAM SUMMARY
Revenue - General Fund
Revenue Colelction
Page 110 of 648
2018 REVENUE – GENERAL FUND PROGRAM BUDGET SUMMARY
Revenue
Collection
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Revenue 41,046,382 42,307,345 42,010,229 41,883,405 42,304,435 0.70%
Total $41,046,382 $42,307,345 $42,010,229 $41,883,405 $42,304,435 0.70%
Revenue
Collection
100%
Program Budget Summary
Page 111 of 648
PROGRAM AREA: REVENUE COLLECTION
The General Fund collects revenue from multiple sources. The main sources are Property Taxes,
Local Government distributed revenues from the State of Illinois, locally administered and
collected taxes, Licensing, Fees, Fines, and other sources. Property taxes are allocated in the
general fund to support a portion of the expenditures incurred to operate public safety. Other
revenue sources cover the remaining expenditures for public safety. The local government
distributed revenues from the State of Illinois include Sales, Income, Use, Telcomm, and other
taxes collected by the State of Illinois on behalf of the VIlalge of Buffalo Grove. The Village
administeres and collects food and beverage tax, franchise fees, and utility taxes.
FUNDING SOURCE
Revenue
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
KEY PERFORMANCE MEASURES
Revenue Collection Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Percent of tax levy collected 99.00% 99.85% 97.84% 98.47% 100.00%
Record 12 months of Local Government
Distributive Fund Revenue from the State
of Illinois
12 12 12 12 12
Page 112 of 648
M AJOR SERVICE: REVENUE COLLECTION
Account 2015 Actual 2016 Budget 2017 Budget 2017 Est.
Actuatl
2018
Budget
% Change
FY17-FY18
Fund:
Revenue–
General Fund
- - - - - -
Property Taxes 14,114,566 4,441,210 14,504,881 14,504,881 14,933,253 2.95%
State and
Local Taxes 20,969,470 20,466,009 21,267,407 20,579,232 20,742,981 -2.47%
Inter-
governmental 309,993 301,246 302,573 264,878 270,197 -10.70%
Licensing 350,042 307,177 286,140 304,365 287,865 0.60%
Building
Revenue &
Fee’s
1,020,105 1,221,068 920,200 1,384,200 1,209,700 31.46%
Fine & Fee’s 1,748,855 1,718,647 1,672,778 1,736,199 1,736,789 3.83%
Charges for
Service 393,688 1,385 - - - 0.00%
Investment
Income 25,054 65,600 65,800 103,300 141,300 114.74%
Operating
Transfers 1,120,393 1,157,065 901,000 901,000 877,000 -2.66%
All Other
Revenue 994,217 2,627,937 2,089,450 2,105,350 2,105,350 0.76%
Total Revenue–
General Fund $141,046,382 $42,307,345 $42,010,229 $41,883,405 $42,304,435 0.70%
Revenue
Collection
100%
2018 Revenue - General Fund
Page 113 of 648
NON -OPERATING TRANSFERS
This program provides for transfers from prior accumulations of Corporate Fund reserves for
capital projects and other operating uses as recommended and authorized within the Village’s
Fund Balance Use policy for the General Fund.
PROGRAM AREAS
Non-Operating Transfers ………………………….………………………………………………..…………118
Page 114 of 648
2018 NON-OPERATING TRANSFERS PROGRAM SUMMARY
Non-Operating Transfers
General Government
Public Works
Page 115 of 648
2018 NON-OPERATING TRANSFERS PROGRAM BUDGET SUMMARY
Non-Operating
Transfer
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Non-Operating
Transfers 2,403,292 2,268,499 2,824,956 2,587,862 1,596,323 -43.49%
Total $2,403,292 $2,268,499 $2,824,956 $2,587,862 $1,596,323 -43.49%
Non-Operating
Transfers
100%
Program Budget Summary
Page 116 of 648
2018 NON-OPERATING TRANSFERS DEPT. COST TYPE SUMMARY
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Wages - - - - - -
Benefits 11,890 113,963 - - - -
Operating
Expenses 89,107 376,453 599,653 587,862 534,555 -10.86%
Commodities - - - - - -
Repairs and
Maintenance - - - - - -
Capital Outlay 2,302,295 1,778,083 2,225,303 2,000,000 1,061,768 -52.29%
Reserve Transfers - - - - - -
Contractual
Services - - - - - -
Internal Services 370,525 - - - - -
Total $2,773,817 $2,268,499 $2,824,956 $2,587,862 $1,596,323 -43.49%
Operating
Expenses
33%
Capital Outlay
67%
Cost Type Summary
Page 117 of 648
PROGRAM AREA : NON -OPERATING TRANSFER
Funds will be transferred to the Facilities Development Capital Project Fund for various capital
development programs authorized by the Corporate Authorities as part of the Village’s FY 2018
through FY 2022 Capital Improvement Plan. Funding for these transfers will come from prior
accumulation of General Fund reserves.
MAJOR SERVICES
General Government
Public Safety
Public Works
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
Page 118 of 648
KEY PERFORMANCE MEASURES
General Government Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Subsidy to Buffalo Grove Golf Course No Yes Yes Yes Yes
Subsidy to Arboretum Club No Yes Yes Yes Yes
Public Safety Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Transfer Required Amount of Property
Taxes to Police Pension Fund Yes Yes Yes Yes Yes
Transfer Required Amount of Property
Tax to Fire Pension Fund Yes Yes Yes Yes Yes
Public Works Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Transfer Budgeted Amount for Capital
Projects – Streets Yes Yes Yes Yes Yes
Transfer Budgeted Amount for Capital
Projects – Facilities Yes Yes Yes Yes Yes
Page 119 of 648
MAJOR SERVICE: GENER AL GOVERNMENT
The general government non-operating transfer functions as a pass through for the general fund
to allocate money to other funds for a variety of purposes or projects. Most common uses of the
non-operating transfers are moving general fund revenues to other funds to fund capital
improvements or subsidize operations.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General - - - - - -
Personnel Wages - - - - - -
Personnel Benefits 11,890 113,963 - - - -
Operating Expenses 89,107 376,453 599,653 587,862 534,555 -10.86%
Commodities - - - - - -
Repairs & Maintenance - - - - - -
Capital Outlay 964,311 - - - - -
Capital Reserve Transfers - - - - - -
Contractual Services - - - - - -
Internal Service Transfers 370,525 - - - - -
Total General Government $1,435,833 $490,416 $599,653 $587,862 $534,555 -10.86%
Under Major Service: General Government, Account Class- Operating Expenditures the amount
of $534,555 is comprised of both golf transfers and contingency.
Commodities
100%
2018 Non-Operating Transfer - General
Government
Page 120 of 648
MAJOR SERVICE: PUBLIC WORKS
Non-operating transfers for public works fund the Capital Improvement Plan (Section 6). These
funds are used for capital improvements to infrastructure, buildings, and systems throughout the
Village based on needs and funds available identified through the budget process.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General
Fund - - - - - -
Personnel Wages - - - - - -
Personnel Benefits - - - - - -
Operating
Expenses - - - - - -
Commodities - - - - - -
Repairs &
Maintenance - - - - - -
Capital Outlay 1,337,984 1,778,083 2,225,303 2,000,000 1,061,768 -52.29%
Capital Reserve
Transfers - - - - - -
Contractual
Services - - - - - -
Internal Service
Transfers - - - - - -
Total Public Works $1,337,984 $1,778,083 $2,225,303 $2,000,000 $1,061,768 -52.29%
Capital Outlay
100%
2018 Non-Operating Transfer - Public Works
Page 121 of 648
LEGISLATIVE
The objective of the Village Board is to set policies that provide the community efficient and
economical government service, and to establish policy and enact ordinances that protect the
health, safety and welfare of residents. Legislative also includes Boards and Commissions
estabilished by the Village Board.
PROGRAM AREAS
Legislative….……………………………...…….……………………………………………………..…………123
Page 122 of 648
2018 LEGISLATIVE STRUCTURE
Village Board and Village Clerk
Village Manager
Village Staff
Page 123 of 648
2018 LEGISLATIVE PROGRAM SUMMARY
Legislative
Village Board
Volunteer Services
Page 124 of 648
2018 LEGISLATIVE PROGRAM BUDGET SUMMARY
Legislative 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Legislative 134,623 222,642 165,425 161,604 151,225 -8.58%
Total $134,623 $222,642 $165,425 $161,604 $151,225 -8.58%
Legislative
100%
Program Budget Summary
Page 125 of 648
2018 LEGISLATIVE COST TYPE SUMMARY
Legislative 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-
FY18
Personnel Wages 32,650 33,000 33,000 33,000 33,000 0.00%
Personnel Benefits 29,747 33,467 37,525 37,865 42,625 13.59%
Operating Expenses 35,180 41,632 38,900 39,919 43,100 10.79%
Commodities - - - - - -
Repairs and Maint - - - - - -
Capital Outlay 267 79,854 - - - -
Reserve Transfers - - - - - -
Contractual Services 36,779 34,689 56,000 50,820 32,500 -41.96%
Internal Services - - - - - -
Total $134,623 $222,642 $165,425 $161,604 $151,225 -10.31%
Personnel
Wages
22%
Personnel
Benefits
28%
Operating
Expenses
29%
Contractual
Services
21%
Cost Type Summary
Page 126 of 648
LEGISLATIVE VARIANCES
Legislative 2017
Budget
2017
Est.
Actual
2018
Budget
% Change
FY17-FY18 Comments
Benefits 37,525 37,865 42,625 13.59% Increase in Dues and Memberships
Operating
Expenses 38,900 39,919 43,100 10.79%
Increased usage of the Senior Taxi
Program and cost of the volunteer
reception.
Contractual
Services 56,000 50,820 32,500 -41.96%Consulting Services from Peter
Burchard no longer needed.
KEY PERFORMANCE MEASURES
Village Board Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Number of Board Meetings 24 26 26 24 24
Volunteer Services Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Committies and Commissions Meetings 125 81 134 130 125
Page 127 of 648
PROGRA M AREA: LEGISLATIVE
The objective of the Village Board is to
assure the community efficient and
economical government service, and to
establish policy and enact ordinances that
protect the health, safety and welfare of
residents. An overview of Village
commissions, committees, and boards as
codified in the Municipal Code may be
reviewed in Section 2: Organization and
Services.
MAJOR SERVICES
Village Board
Volunteer Services
PROGRAM CHANGES OF NOTE
Elimination of leadership coaching contract.
Page 128 of 648
MAJOR SERVICE: VILLAGE BOARD
Members of the Board are assigned specific areas of responsibility by the Village President and
represent the Village at meetings, workshops, and public hearings related to their responsibilities.
Board members are elected at-large and each serves a four year term of office, establishes the
vision and direction for the Village, and coordinates operations through the Village Manager.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General
Personnel Wages 32,650 33,000 33,000 33,000 33,000 0.00%
Personnel Benefits 29,747 33,467 37,525 37,865 42,625 13.59%
Operating Expenses 10,669 13,922 11,200 13,719 15,400 10.80%
Commodities - - - - - -
Repairs & Maintenance - - - - - -
Capital Outlay 267 79,854 - - - -
Capital Reserve Transfers - - - - - -
Contractual Services 36,779 34,689 56,000 50,820 32,500 -41.96%
Internal Service Transfers - - - - - -
Total Major Service:
Village Board $110,112 $194,932 $137,725 $135,404 $123,525 -8.58%
*The Personnel Benefits associated with the Village Board are membership dues to organizations such as the Illinois
Municipal League, Lake County Municipal League, Northwest Municipal Conference, Buffalo Grove Lincolnshire
Chamber of Commerce, and Transportation Management Association of Lake Cook. Membership dues account for
93.84 percent of the account class.
Personnel
Wages
27%
Personnel
Benefits
35%
Operating
Expenses
12%
Contractual
Services
26%
2018 Major Service: Village Board
Page 129 of 648
MAJOR SERVICE: VOLUNTEER S ERVICES
Village commissions, committees, and board are codified in the Buffalo Grove Municipal Code.
Membership is composed of Village residents and is appointed by the Village President with the
consent of the Village Board. There are currently more than 100 volunteers that serve on eleven
commissions, committees, and boards.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Act.
2018
Budget
% Change
FY17-FY18
Fund: General
Personnel Wages - - - - - -
Personnel Benefits - - - - - -
Operating Expenses 24,511 27,710 27,700 26,200 27,700 0.00%
Commodities - - - - - -
Repairs & Maintenance - - - - - -
Capital Outlay - - - - - -
Capital Reserve Transfers - - - - - -
Contractual Services - - - - - -
Internal Service Transfers - - - - - -
Total Major Service:
Volunteer Services $24,511 $27,710 $27,700 $26,200 $27,700 0.00%
Operating
Expenses
100%
2018 Major Service: Volunteer Services
Page 130 of 648
COMMISSIONS AND COMMITTIES ALLOCATION OF FUNDING
Commissions and Committees FY 2018 Budget
Arts Commission 4,000
Blood Commission 300
Buffalo Grove Days* 30,000
Farmer's Market 2,500
Fire and Police Commission** 29,500
Fireworks for the Fourth 22,500
Plan Commission 4,000
Residents with Disabilities 700
Symphonic Band 16,200
Total Commissions and Committees 109,700
*Budgeted in Finance Department
**Budgeted in Human Resources Department
Page 131 of 648
OFFICE OF THE VILLAG E MANAGER
Buffalo Grove operates under the council/manager form of government by referendum. The
Village Manager is appointed and serves at the pleasure of the Village Board, who are elected.
The Village Manager function is similar to that of a general manager in a multi-division service
organization.
PROGRAM AREAS
General Administration….……………………………...…….…………………………………….…………140
Page 132 of 648
2018 OFFICE OF THE VILLAGE MANAGER DEPARTMENT STRUCTURE
Village Manager
Deputy Village Manager
OVM Staff & Communications
Information Technology
(Sec 8: Internal Service Fund)
Page 133 of 648
2018 OFFICE OF THE VILLAGE MANAGER STAFFING SUMMARY
Office of the Village Manager/Administration FY 2016 FY 2017 FY 2018
FT PT FT PT FT PT
Deputy Village Manager 1 0 1 0 1 0
Management Analyst 1 0 1 0 1 0
Administrative Assistant 0 0 0 1 0 1
Village Manager 1 0 1 0 1 0
Total 3 0 3 1 3 1
Full & Part-Time Total 3 4 4
2018 STAFF TIME BY FUNCTIONAL AREA
Functional Area Number of
Employees
Percentage of Resource
Allocation Spent Per Functional
Area
Administration 2.3 67.5%
Intergovernmental Relations 0.5 14.3%
Innovation and Analytics 0.5 14.3%
Communications 0.2 5.7%
Page 134 of 648
2018 OFFICE OF THE VILLAGE MANAGER PROGRAM SUMMARY
General Administration
Administration
Intergovernmental
Relations
Innovation and
Analytics
Communications
Page 135 of 648
2018 OFFICE OF THE VILLAG E MANAGER PROGRAM BUDGET SUMMARY
OVM 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
General
Administration 905,774 684,288 738,902 778,296 864,653 17.02%
Total 905,774 684,288 $738,902 $778,296 $864,653 17.02%
General
Administration
100%
Program Budget Summary
Page 136 of 648
2018 OFFICE OF THE VILLAGE MANAGER COST TYPE SUMMARY
OVM 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Personnel Wages 593,813 420,433 432,600 474,019 503,815 16.46%
Personnel Benefits 208,873 145,100 158,342 153,217 164,662 3.99%
Operating Expenses 14,861 11,314 10,185 13,285 10,463 2.73%
Commodities - - - - - -
Repairs and
Maintenance - - 500 500 500 0.00%
Capital Outlay - - - - - -
Reserve Transfers - - 6,620 6,620 6,980 5.44%
Contractual Services 31,246 66,100 81,000 81,000 85,800 5.93%
Internal Services 56,981 41,341 49,655 49,655 92,433 86.15%
Total $905,774 $684,288 $738,902 $778,296 $864,653 17.02%
Personnel Wages
58%
Perssonel Benefits
19%
Operating
Expenses
1%
Repairs and
Maint
0%
Reserve Transfers
1%
Contractual
Services
10%
Internal
Services
11%
Cost Type Summary
Page 137 of 648
OFFICE OF THE VILLAGE MANAGER VARIANCES
OVM 2017
Budget
2017
Est.
Actual
2018
Budget
% Change
FY17-FY18 Comments
Wages 432,600 474,019 503,815 16.46%
Increase in Village Manager’s
Salary and regular wage
progression.
Internal Services 49,655 49,655 92,433 86.15% Change in the allocation
formula
KEY PERFORMANCE MEASURES
Intergovernmental Relations Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
GovITC New Members 2 0 0 2 2
Performance Management Consortium
Members 12 N/A 6 12 15
Innovation and Analytics Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Ongoing Process Improvement Projects 5 4 4 5 6
Communications Benchmark 2015
Actual
2016
Actual
2017 Est.
Actual
2018
Estimate
LinkedIn Followers 400 N/A 280 366 400
Website Views 300,000 N/A 268,154 250,000 240,000
Nextdoor Followers 4,000 N/A N/A 3,815 4,000
Facebook Follwers 3,000 N/A 1,885 2,550 3,000
Twitter Followers 1,000 N/A 600 885 1,000
E-News Subscribers 2,800 N/A 2,958 2,807 2,800
Page 138 of 648
STRATEGIC PLANNING
The Village Board directed staff to update the 2013-2018 Plan
through the development of revised strategic planning priorities.
The updated plan is comprised of five overarching Strategic
Planning Priorities based on feedback received from employees,
senior staff, and the Village Board. These priorities direct the
development of the annual budget and guide the Village’s work
throughout program areas. The five overarching Strategic
Planning Priorities are as follows: Service Optimization, Financial
Stability, Collaboration, Economic Development, and
Infrastructure Sustainability. Each department has unique
strategic goals, initiatives, and action steps however, they may
not have them in each priority. All goals were identified as near,
mid, or long term. Only the near term goals affecting this budget are listed.
COLLABORATION
Action Step Strategic Initiative Budget Program Priority
Develop 501(c)3 to Enhance
Programming
Relationships with
Buffalo Grove Entities Administration High
Refresh Village Website Citizen Engagement Communications High
Departmental Collaboration
Employee
Development and
Recognition
Communications High
Share Facilities Relationships with
Buffalo Grove Entities
Intergovernmental
Relations Medium
Elected Official Ride Along
Program Citizen Engagement Legislative Low
Trustee Liaisons to Local Taxing
Bodies
Relationships with
Buffalo Grove Entities Village Board High
INFRASTRUCTURE SUSTAINABILITY
Action Step Strategic Initiative Budget Program Priority
Comprehensive Facilities Plan Planning and
Programming Administration High
SERVICE OPTIMIZATION
Action Step Strategic Initiative Budget Program Priority
Evaluate Technology
Infrastructure Internal Operations Administration Medium
Performance Management
Consortium Internal Operations Intergovernmental
Relations Medium
Page 139 of 648
PROGRA M AREA: GENERAL ADMINISTRATION
Buffalo Grove operates under the council /
manager form of government by
referendum. The Village Manager function
is similar to that of a general manager in a
multi-division service organization. The
Office of the Village Manager provides
general management, staff leadership, and
administrative review to all Village
Departments.
MAJOR SERVICES
Administration
Intergovernmental Relations
Innovation and Analytics
Communications
PROGRAM CHANGES OF NOTE
The increase to the Personnel Wages account is attributed the the new contract for the Village
Manager as well as range movement for other employees. The increase to the Internal Service
Transfers account is a result of the use based recalculation of the Building Maintence Internal
Service Fund.
Page 140 of 648
MAJOR SERVIC E: ADMINISTRATION
The Office of the Village Manager (OVM) provides general management, staff leadership, and
administrative review and oversight to all Village departments. Strategic and long range
planning of Village services, capital planning, project management, and special projects are
facilitated through this program.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General
Personnel Wages 390,221 276,284 284,280 311,499 331,080 16.46%
Personnel Benefits 137,259 95,351 104,054 100,686 108,207 3.99%
Operating Expenses 9,766 7,435 6,693 8,732 6,878 2.76%
Commodities - - - - - -
Repairs & Maintenance - - 330 330 330 0.00%
Capital Outlay - - - - - -
Capital Reserve Transfers - - 4,352 4,352 4,588 5.42%
Contractual Services - - - - - -
Internal Service Transfers 37,443 27,167 32,632 32,632 60,744 86.15%
Total Major Service:
Administration $574,689 $406,237 $432,341 $458,231 $511,827 18.39%
Personnel Wages
65%
Personnel
Benefits
21%
Operating
Expenses
1%
Repairs &
Maintenance
0%
Capital Reserve
Transfers
1% Internal
Service
Transfers
12%
2018 Major Service: Administration
Page 141 of 648
MAJOR SERVICE: INTERGOVERNMENTAL RE LATIONS
The Intergovernmental Relations major service is responsible for monitoring local government
entities, state and federal government activities, developing the legislative program, managing
the village’s partnerships with other agencies, and coordinating legislative activities with other
public and private sector entities.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General
Personnel Wages 84,830 60,062 61,800 67,717 71,973 16.46%
Personnel Benefits 29,839 20,729 22,620 21,888 23,523 3.99%
Operating Expenses 2,123 1,616 1,455 1,897 1,494 2.68%
Commodities - - - - - -
Repairs & Maintenance - - 71 71 71 0.00%
Capital Outlay - - - - - -
Capital Reserve Transfers 945 945 997 5.50%
Contractual Services - - - - - -
Internal Service Transfers 8,141 5,906 7,093 7,093 13,204 86.16%
Total Major Service:
Intergovernmental Relations $124,933 $88,313 $93,984 $99,611 $111,262 18.38%
Personnel Wages
65%
Personnel Benefits
21%
Operating
Expenses
1%
Repairs &
Maintenance
0%
Capital Reserve
Transfers
1% Internal
Service
Transfers
12%
2018 Major Service: Intergovernmental Relations
Page 142 of 648
MAJOR SERVICE: INNOVATION AND ANALY TICS
This program uses continuous analysis and investigation of past performance to improve village
processes. The innovation and analytics program focuses on developing new insights and
understanding of organizational performance based on data and best practices.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General
Personnel Wages 84,830 60,062 61,800 67,717 71,973 16.46%
Personnel Benefits 29,839 20,729 22,620 21,888 23,523 3.99%
Operating Expenses 2,123 1,616 1,455 1,897 1,494 2.68%
Commodities - - - - - -
Repairs & Maintenance - - 71 71 71 0.00%
Capital Outlay - - -
Capital Reserve Transfers - - 945 945 997 5.50%
Contractual Services - - - - - -
Internal Service Transfers 8,141 5,906 7,093 7,093 13,204 86.16%
Total Major Service:
Innovation And Analytics $124,933 $88,313 $93,984 $99,611 $111,262 18.38%
Personnel
Wages
65%
Personnel
Benefits
21%
Operating
Expenses
1%
Repairs &
maintenance
0%
Capital Reserve
Transfers
1% Internal
Service
Transfers
12%
2018 Major Service: Innovation and Analytics
Page 143 of 648
MAJOR SERVICE: COMMUNICATIONS
The Village utilizes a third party communications firm for its communications function. The
contract is managed by the Deputy Village Manager and includes graphic design services;
development and layout of the Village News; press release development and review;
management of social media accounts; website support; and on-call communications support.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General
Personnel Wages 33,932 24,025 24,720 27,086 28,789 16.46%
Personnel Benefits 11,936 8,291 9,048 8,755 9,409 3.99%
Operating Expenses 849 647 582 759 597 2.58%
Commodities - - - - - -
Repairs & Maintenance 28 28 28 0.00%
Capital Outlay - - - - - -
Capital Reserve Transfers 378 378 398 5.29%
Contractual Services 31,246 66,100 81,000 81,000 85,800 5.93%
Internal Service Transfers 3,256 2,362 2,837 2,837 5,281 86.15%
Total Major Service:
Communications $81,219 $101,425 $118,593 $120,843 $130,302 9.87%
Personnel
Wages
23%
Personnel
Benefits
8%
Operating
Expenses
0%
Repairs &
Maintenance
0%
Capital Reserve
Transfers
0%
Contractual
Services
69%
2018 Major Service: Communications
Page 144 of 648
FINANCE DEPARTMENT
The Finance Department is established to provide the Village with a wide range of financial,
analytical, and administrative support. The Finance Department is committed to serving the
needs of internal and external customers by providing excellent customer service through sound
financial management and professionalism.
PROGRAM AREAS
Financial Management ………………………….………………………………………………..…………153
Page 145 of 648
2018 FINANCE DEPARTMENT STRUCTURE
Director of
Finance/Treasurer
Purchasing Manager Deputy Director of
Finance
Utility Billing Clerk
Accountant
Licensing Clerk
Accounts Payable
Clerk
Payroll Clerk
Cashier
Page 146 of 648
2018 FINANCE DEPARTMENT STAFFING SUMMARY
Finance & General Services FY 2016 FY 2017 FY 2018
FT PT FT PT FT PT
Accountant 1 0 1 0 1 0
Deputy Finance Director 1 0 1 0 1 0
Cashier 1 0 1 0 1 0
Clerk II 2 0 2 0 2 0
Clerk III 1 0 1 0 1 0
Director of Finance/Treasurer 1 0 1 0 1 0
Payroll Clerk III 1 0 1 0 1 0
Purchasing Manager 1 0 1 0 1 0
Total 9 0 9 0 9 0
Full & Part-Time Total 9 9 9
2018 STAFF TIME BY FUNCTIONAL AREA
Functional Area Number of
Employees
Percentage of Resource Allocation
Spent Per Functional Area
Fiscal Services 3.5 28.67%
Administration 1.0 19.27%
Budgeting and Reporting 1.5 21.63%
Utility Billing 1.0 10.00%
Purchasing 2.0 20.43%
Page 147 of 648
2018 FINANCE DEPARTMENT PROGRAM SUMMARY
Financial
Management
Fiscal Services
Administration
Budgeting and
Reporting
Utility Billing
Purchasing
Page 148 of 648
2018 FINANCE DEPARTMENT BUDGET SUMMARY
Finance Dept. 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Financial
Management 1,155,134 1,363,474 1,418,821 1,439,328 1,516,040 6.85%
Total $1,155,134 $1,363,474 $1,418,821 $1,439,328 $1,516,040 6.85%
Financial
Management
100%
Program Budget Summary
Page 149 of 648
2018 FINANCE DEPARTMENT COST TYPE SUMMARY
Finance Department 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Personnel Wages 660,738 742,633 772,349 798,960 816,246 5.68%
Personnel Benefits 232,896 312,867 353,052 338,397 354,457 0.40%
Operating
Expenses 173,622 210,768 173,393 185,944 175,015 0.94%
Commodities - - - - - -
Repairs and
Maintenance - - 2,000 - - -100.00%
Capital Outlay - - - - - -
Reserve Transfers - - 8,660 8,660 8,660 0.00%
Contractual
Services 26,003 23,447 20,000 18,000 22,000 10.00%
Internal Services 61,875 73,759 89,367 89,367 139,662 56.28%
Total $1,155,134 $1,363,474 $1,418,821 $1,439,328 $1,516,040 6.85%
Perssonel
Wages
54% Personnel
Benefits
23%
Operating
Expenses
12%
Reserve
Transfers
1%
Contractual
Services
1%
Internal
Services
9%
Cost Type Summary
Page 150 of 648
FINANCE DEPARTMENT VARIANCES
Finance
Department
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18 Comments
Repairs and
Maint 2,000 - - -100.00%Reduced due to historical usage.
Contractual
Services 20,000 18,000 22,000 10.00% Renegotiated pricing for water bill
printing
Internal Services 89,367 89,367 139,662 56.28% Change in the allocation formula
KEY PERFORMANCE MEASURES
Fiscal Services Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
New/updated licensing information
entered in operating system within 5
business days of receipt
75.00% N/A N/A N/A 75.00%
Daily deposits and transactions posted
next business day 80.00% N/A N/A N/A 85.00%
Administration Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Buffalo Grove Days financial report
issued within 30 days of event Yes Yes Yes Yes Yes
Budgeting and Reporting Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
GFOA CAFR award received Yes Yes Yes Yes Yes
GFOA PAFR award received Yes Yes Yes Yes Yes
GFOA Budget award received Yes Yes Yes Yes Yes
Utility Billing Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Utility billings generated from tower
reading system import 90.00% N/A N/A N/A 96.00%
Payment plan compliance and/or
completion 80.00% 14/16
(87.50%)
33/34
(97.06%)
9/11
(81.82%)
18/18
(100.00%)
Purchasing Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Bid process completed 60 days or less 80.00% 21/24
(87.50%)
24/29
(82.76%)
32/36
(88.89%)
34/40
(85.00%)
Invoices paid within 60 days or less 90.00% N/A N/A N/A 92.00%
Page 151 of 648
STRATEGIC PLANNING
The Village Board directed staff to update the 2013-2018 Plan
through the development of revised strategic planning priorities.
The updated plan is comprised of five overarching Strategic
Planning Priorities based on feedback received from employees,
senior staff, and the Village Board. These priorities direct the
development of the annual budget and guide the Village’s work
throughout program areas. The five overarching Strategic
Planning Priorities are as follows: Service Optimization, Financial
Stability, Collaboration, Economic Development, and
Infrastructure Sustainability. Each department has unique
strategic goals, initiatives, and action steps however, they may
not have them in each priority. All goals were identified as near,
mid, or long term. Only the near term goals affecting this budget are listed.
FINANCIAL STABILITY
Action Step Strategic Initiative Budget Program Priority
Update Fee & Fine Schedule Revenue Diversification Administration Medium
Break Even Strategies for BG Days Cost Control Budgeting and
Reporting High
Fund Building Reserve Reserve Growth Budgeting and
Reporting High
Fund Public Safety Pensions Reserve Growth Budgeting and
Reporting High
INFRASTRUCTURE SUSTAINABILITY
Action Step Strategic Initiative Budget Program Priority
Sustainability Plan Environmental
Sustainability Purchasing Medium
SERVICE OPTIMIZATION
Action Step Strategic Initiative Budget Program Priority
Real Estate Transfer Stamp
Payment Online
External Service
Provisions
Administration Low
Administrative Adjudication
Payment Online
External Service
Provisions
Administration Medium
Streamline Travel & Training
Process
Internal Operations Fiscal Services Medium
Page 152 of 648
PROGRAM AREA : FINANCIAL MANAGEMENT
The Financial Management function is carried out in a broad
staff support environment, where the Finance Department
assists other departments at different service levels.
Major services have been established to account for all
Village financial management program activities. The
Finance Department policy and procedures can be found
in Appendix B. The adopted Investment and Purchasing
Policies are affirmed as part of the Village’s annual audit
process as well as during the preparation of the
Comprehensive Annual Financial Report.
MAJOR SERVICES
Fiscal Services
Administration
Budgeting and Reporting
Utility Billing
Purchasing
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
Page 153 of 648
M AJOR SERVICE: FISCAL SER VICES
The Finance Department provides fiscal services externally to Buffalo Grove residents and
internally to other operating departments. Services rendered to the public include liquor,
business, alarm, and other licensing, Metra parking pass management, collection of local taxes
and debts owed to the Village. Internal fiscal services provided to departments include
banking, payroll, cashiering, accounts payable/receivable, data entry, and management.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General
Personnel Wages 147,032 206,082 215,925 223,365 229,433 6.26%
Personnel Benefits 72,780 121,670 137,298 131,599 137,844 0.40%
Operating Expenses 18,284 31,850 31,309 40,921 30,725 -1.87%
Commodities - - - - - -
Repairs & Maintenance - - 400 - - -100.00%
Capital Outlay - - - - - -
Capital Reserve Transfers - - 1,732 1,732 1,732 0.00%
Contractual Services - - - - - -
Internal Service Transfers 19,336 14,752 17,873 17,873 27,932 56.28%
Total Fiscal Services $257,432 $374,354 $404,537 $415,490 $427,666 5.72%
Personnel
Wages
54%
Personnel
Benefits
32%
Operating
Expenses
7%
Contractual
Services
7%
Internal Service
Transfers
0%
2018 Fiscal Services
Page 154 of 648
MAJOR SERVICE: ADMINISTRATION
Administration is the oversight of the Finance Department as a whole, including major services,
employees, project management, and a cost center for indirect expenditures that support the
department. This also includes the management of staff, budget process, and purchasing.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General
Personnel Wages 126,697 134,601 140,597 145,441 148,164 5.38%
Personnel Benefits 29,112 34,764 39,228 37,599 39,385 0.40%
Operating Expenses 82,058 103,233 78,600 79,979 77,925 -0.86%
Commodities - - - - - -
Repairs & Maintenance - - 400 - - -100.00%
Capital Outlay - - - - - -
Capital Reserve Transfers - - 1,732 1,732 1,732 0.00%
Contractual Services - 3,800 - - - -
Internal Service Transfers 7,734 14,751 17,875 17,875 27,934 56.28%
Total Administration $245,601 $291,149 $278,432 $282,626 $295,140 6.00%
Personnel Wages
50%
Personnel
Benefits
13%
Operating
Expenses
26%
Contractual
Services
10%
Internal Service
Transfers
1%
2018 Administration
Page 155 of 648
MAJOR SERVICE: BUDGETING AND REPORT ING
Budgeting and Reporting Services include the Comprehensive Annual Financial Report (CAFR),
annual budget document, Popular Annual Financial Report (PAFR), and other internal reportin g
and analytical documents. A budget, Investment, and debt report are provided monthly to the
appropriate level of management to communicate the position of the function at that time in
the fiscal year.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Act.
2018
Budget
% Change
FY17-FY18
Fund: General
Personnel Wages 160,839 167,554 178,902 185,066 189,437 5.89%
Personnel Benefits 43,668 52,144 58,842 56,400 59,076 0.40%
Operating Expenses 52,681 44,142 47,475 47,394 50,465 6.30%
Commodities - - - - - -
Repairs & Maintenance - - 400 - - -100.00%
Capital Outlay - - - - - -
Capital Reserve Transfers - - 1,732 1,732 1,732 0.00%
Contractual Services 2,060 - - - - -
Internal Service Transfers 11,602 14,752 17,873 17,873 27,932 56.28%
Total
Budgeting/Reporting $270,850 $278,592 $305,224 $308,465 $328,642 7.67%
Personnel
Wages
58% Personnel
Benefits
18%
Operating
Expenses
15%
Contractual
Services
8%
Internal Service
Transfers
1%
2018 Budgeting and Reporting
Page 156 of 648
MAJOR SERVICE: UTILITY BILLING
Utility Billing services include monthly and bi-monthly water, sewer, and stormwater billing. The
services provided also include payment plan management, shut off notices, water meter and
water meter communication device maintenance, and account/service maintenance.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General
Personnel Wages 57,616 60,679 60,906 63,004 65,297 7.21%
Personnel Benefits 29,112 34,763 39,228 37,600 39,384 0.40%
Operating Expenses 453 5,957 325 1,854 325 0.00%
Commodities - - - - - -
Repairs & Maintenance - - 400 - - -100.00%
Capital Outlay - - - - - -
Capital Reserve Transfers - - 1,732 1,732 1,732 0.00%
Contractual Services 23,943 19,647 20,000 18,000 22,000 10.00%
Internal Service Transfers 7,734 14,752 17,873 17,873 27,932 56.28%
Total Utility Billing $118,858 $135,798 $140,464 $140,063 $156,670 11.54%
Personnel Wages
42%
Personnel
Benefits
25%
Operating
Expenses
0%
Commodities
14%
Contractual
Services
18%
Internal Service
Transfers
1%
2018 Utility Billing
Page 157 of 648
MAJOR SERVICE: PURCHASING
The Purchasing Service has two direct outputs, support service to all departments for Accounts
Payable and project and contract management through the Purchasing Manager. The
Accounts Payable function of the purchasing service handles all data entry for vendors of the
Village, processes purchase orders, completes invoice batches, and processes all payments.
The Purchasing Manager coordinates the competitive bid requests for quotes, services,
proposals, and other large purchasing initiatives and contracts. In most cases, organization wide
contracts are managed through the Purchasing Manager.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General
Personnel Wages 168,554 173,717 176,019 182,084 183,915 4.49%
Personnel Benefits 58,224 69,526 78,456 75,199 78,768 0.40%
Operating Expenses 20,146 25,586 15,684 15,796 15,575 -0.69%
Commodities - - - - - 0.00%
Repairs & Maintenance - - 400 - - -100.00%
Capital Outlay - - - - - 0.00%
Capital Reserve Transfers - - 1,732 1,732 1,732 0.00%
Contractual Services - - - - - 0.00%
Internal Service Transfers 15,469 14,752 17,873 17,873 27,932 56.28%
Total Purchasing $262,393 $283,581 $290,164 $292,684 $307,922 6.12%
Personnel Wages
60%
Personnel
Benefits
26%
Operating
Expenses
5%
Contractual
Services
9%
Internal Service
Transfers
0%
2018 Purchasing
Page 158 of 648
HUMAN RESOURCES DEPARTMENT
The Department of Human Resources is responsible for a variety of elements related to staffing,
retention, and training of Village employees. The major programs for this department include
legal, recruitment and selection, benefits and administration, risk management, and training
and organizational development.
PROGRAM AREAS
Human Resources and Risk Management….………………………………...…….………….…………167
Page 159 of 648
2018 HUMAN RESOURCES DE PARTMENT STRU CTURE
Director of Human Resources
Management Analyst
Page 160 of 648
2018 HUMAN RESOURCES DEPARTMENT STAFFING SUMMARY
Human Resources FY 2016 FY 2017 FY 2018
FT PT FT PT FT PT
Director of Human Resources 1 0 1 0 1 0
Management Analyst 1 0 1 0 1 0
Total 2 0 2 0 2 0
Full & Part-Time Total 2 2 2
2018 STAFF TIME BY FUNCTIONAL AREA
Functional Area Number of
Employees
Percentage of Resource
Allocation Spent Per Functional
Area
Legal 0.2 10%
Recruitment and Selection 0.4 20%
Benefits Administration 0.6 30%
Risk Management 0.6 30%
Training and Organizational Development 0.2 10%
Page 161 of 648
2018 HUMAN RESOURCES DEPARTMENT PROGRAM SUMMARY
Human Resources
Legal
Recruitment
Benefits
Administration
Risk Management
Training and
Organizational
Development
Page 162 of 648
2018 HUMAN RESOURCES PROGRAM BUDGET SUMMA RY
Human Resources 2015
Actual 2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Human Resources 768,689 861,434 1,079,904 837,715 1,086,243 0.59%
Total $768,689 $861,434 $1,079,904 $837,715 $1,086,243 0.59%
Human
Resources and
Risk
Management
100%
Program Budget Summary
Page 163 of 648
2018 HUMAN RESOURCES COST TYPE SUMMARY
Wages
32%
Benefits
16%
Operating
Expenses
6%
Reserve Transfers
0%
Contractual
Services
43%
Internal Services
3%
Cost Type Summary
Human Resources 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Personnel Wages 191,533 207,189 331,681 210,800 345,777 4.25%
Personnel Benefits 142,224 181,159 181,454 147,208 178,868 -1.43%
Operating
Expenses 48,923 57,897 64,838 45,776 60,688 -6.40%
Commodities - - - - - 0.00%
Repairs and
Maintenance - - - - - 0.00%
Capital Outlay 19,511 10,974 - - - 0.00%
Reserve Transfers - - 1,045 1,045 1,045 0.00%
Contractual
Services 350,349 385,411 479,400 411,400 466,400 -2.71%
Internal Services 16,149 18,804 21,486 21,486 33,465 55.75%
Total $768,689 $861,434 $1,079,904 $837,715 $1,086,243 0.59%
Page 164 of 648
HUMAN RESOURCES DEPARTMENT
Human
Resources
Department
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Comments
Wages 331,681 210,800 345,777 4.25% 2018 Wages line includes Pay For
Performance Allocation.
Operating
Expenses 64,838 45,776 60,688 -6.40%
Decrease due to reduction in
Contractual Expenses and the
BFPC Budget.
Internal Services 21,486 21,486 33,465 55.75% Change in the allocation formula
KEY PERFORMANCE MEASURES
Legal Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Labor Agreements Completed
Through Negotiations 1 1 0 2 1
Recruitment and Selection Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Police and Fire Applicants (2015
Police,2016 Fire, 2017 Police, 2018 Fire) 250 259 309 212 300
Benefits Administration Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Participation in Wellness Program 50% 30% 69% 56% 60%
Employees in HMO Health Plan 20 8 11 12 20
Risk Management Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Worker’s Compensation Claims Per
Total FT Employees <10% 12.04% 11.32% 7.55% 10%
Training and Development Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Lunch and Learns 4 2 4 4 4
Supervisory Trainings 4 1 1 1 4
Page 165 of 648
STRATEGIC PLANNING
The Village Board directed staff to update the 2013-2018 Plan
through the development of revised strategic planning priorities.
The updated plan is comprised of five overarching Strategic
Planning Priorities based on feedback received from employees,
senior staff, and the Village Board. These priorities direct the
development of the annual budget and guide the Village’s work
throughout program areas. The five overarching Strategic
Planning Priorities are as follows: Service Optimization, Financial
Stability, Collaboration, Economic Development, and Infrastructure
Sustainability. Each department has unique strategic goals,
initiatives, and action steps however, they may not have them in
each priority. All goals were identified as near, mid, or long term.
Only the near term goals affecting this budget are listed.
COLLABORATION
Action Step Strategic Initiative Budget Program Priority
Employee Onboarding
Employee
Development and
Recognition
Recruitment and
Selection High
Village-wide Employee
Recognition
Employee
Development and
Recognition
Training and Org
Development High
Comprehensive Training Program
Employee
Development and
Recognition
Training and Org
Development High
Highlight Employee Achievements
to Public
Employee
Development and
Recognition
Training and Org
Development Medium
SERVICE OPTIMIZATION
Action Step Strategic Initiative Budget Program Priority
Shared Human Resources
Programs
Intergovernmental
Partnerships Risk Mgmt. Low
Online Benefit Administration Internal Operations Benefits Admin High
Page 166 of 648
PROGRAM AREA : HUMAN RESOURCES AND RISK MANAGEMENT
The Department of Human Resource is responsible for a
variety of elements related to staffing, retention, and
training of Village employees. This department also
manages the risk management function.
MAJOR SERVICES
Legal
Recruitment and Selection
Benefits Administration
Risk Management
Training and Organizational Development
PROGRAM CHANGES OF NOTE
Increase due to the expansion of in-service training opportunities under the new Buffalo Grove
Academy- $20,000 in Training and Development.
Page 167 of 648
MAJOR SERVICE: LEGAL
The legal program is managed by the Director of Human Resources and includes expenses
related to the Village’s legal activities, including but not limited to the work performed by the
Village Attorney, labor & employment Law counsel, and Village Prosecutor. Additionally,
contingencies for special counsel related to actual/potential economic development activities,
may ultimately be deemed reimbursable to the Village via other sources.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 17,411 20,718 33,591 2,571 34,578 2.94%
Personnel Benefits 12,870 18,300 16,408 1,795 17,887 9.01%
Operating Expenses 12,304 12,630 17,813 12,948 16,880 -5.24%
Commodities - - - - - -
Repairs & Maintenance - - - - - -
Capital Outlay 2,439 1,434 - - - -
Capital Reserve Transfers - - 262 262 262 0.00%
Contractual Services 317,976 374,747 406,238 370,000 424,233 4.43%
Internal Service Transfers 2,782 1,882 - - 3,706 0.00%
Total Fiscal Services $365,782 $429,711 $474,312 $387,576 $497,546 4.90%
Personnel Wages
7% Personnel
Benefits
4% Operating
Expenses
3%
Capital Reserve
Transfers
0%
Contractual
Services
85%
Internal Service
Transfers
1%
2018 Major Service: Legal
Page 168 of 648
M AJOR SERVICE: RECRUITMENT AND SELE CTION
The Human Resources Department is responsible for finding qualified employees, managing the
hiring process and selecting the appropriate candidate for the position. This program includes
the Fire and Police Commission. The hiring process includes multiple steps and various practices,
including the use of application forms, interviews, pre-employment testing, reference and
background checks, and employment offers.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-
FY18
Fund: General
Personnel Wages 52,236 41,438 62,950 51,414 69,155 9.86%
Personnel Benefits 38,609 36,600 50,052 35,905 35,774 -28.53%
Operating Expenses 7,333 9,645 8,736 7,295 6,661 -23.76%
Commodities - - - - - -
Repairs & Maintenance - - - - - -
Capital Outlay - 2,868 - - - -
Capital Reserve Transfers - - 521 521 521 0.00%
Contractual Services - 2,369 4,296 9,200 7,667 78.46%
Internal Service Transfers - 3,763 4,858 682 7,410 52.56%
Total Fiscal Services $98,178 $96,683 $131,413 $105,017 $127,188 -3.22%
Personnel Wages
54%
Personnel Benefits
28%
Operating
Expenses
5%
Capital Reserve
Transfers
1%
Contractual
Services
6%
Internal Service
Transfers
6%
2018 Major Service: Recruitment And Selection
Page 169 of 648
MAJOR SERVICE: BENEFITS ADMINISTRAT ION
Benefits administration is the process of establishing, maintaining, and managing benefits for the
employees of an organization. Employee benefits typically include medical insurance, pension
plans, vacation time, sick time, and FMLA leave.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-
FY18
Fund: General
Personnel Wages 52,237 62,157 100,774 77,122 103,733 2.94%
Personnel Benefits 38,938 53,979 49,293 53,856 53,660 8.86%
Operating Expenses 13,421 15,400 16,963 10,943 9,990 -41.11%
Commodities - - - - - -
Repairs & Maintenance - - - - - -
Capital Outlay 7,316 2,619 - - - -
Capital Reserve Transfers - - - - - -
Contractual Services 15,567 3,555 29,514 13,800 11,500 -61.04%
Internal Service Transfers 5,633 5,639 8,314 10,402 11,116 33.70%
Total Fiscal Services $133,112 $143,348 $204,858 $166,123 $190,000 -7.25%
Personnel Wages
54%
Personnel Benefits
28%
Operating
Expenses
5%
Capital Reserve
Transfers
1%
Contractual
Services
6%
Internal Service
Transfers
6%
2018 Major Service: Benefits Administration
Page 170 of 648
MAJOR SERVICE: RISK MANAGEMENT
Risk management is a program designed to identify potential events that may affect the
government and to protect and minimize risks to the government’s property, services, and
employees. The importance of risk management has been growing steadily for a variety of
reasons including legal, political, and medical liability, increased use of technology, and higher
litigation costs. The Village utilizes third party administrators, CCMSI and IPRF, to administer
claims in cooperation with the Human Resources Department.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 52,237 62,156 100,774 77,122 103,734 2.94%
Personnel Benefits 38,938 53,979 49,293 53,856 53,660 8.86%
Operating Expenses 13,421 15,400 16,963 10,943 9,990 -41.11%
Commodities - - - - - -
Repairs & Maintenance - - - - - -
Capital Outlay 7,316 2,619 - - - -
Capital Reserve Transfers - - - - - -
Contractual Services 15,567 3,555 29,514 13,800 11,500 -61.04%
Internal Service Transfers 5,633 5,639 8,314 10,402 11,116 33.70%
Total Fiscal Services $133,112 $143,348 $204,858 $166,123 $190,000 -7.25%
Personnel Wages
55%
Personnel
Benefits
28%
Operating
Expenses
5%
Contractual
Services
6%
Internal Service
Transfers
6%
2018 Major Service: Risk Management
Page 171 of 648
MAJOR SERVICE: TRAINING AND ORGANIZ ATIONAL DEVELOPMENT
Human Resources coordinates the appropriate training for employees with specific identifiable
knowledge and skills for use in their position and to improve employees’ abilities to handle a
variety of assignments and to cultivate employees’ capabilities beyond those required by the
current job. This program also includes the Employee Recognition programs such as the Golden
Ticket program and Employee Recognition Week.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General
Personnel Wages 17,412 20,719 33,591 2,571 34,578 2.94%
Personnel Benefits 12,870 18,300 16,408 1,795 17,887 9.01%
Operating Expenses 2,444 4,822 4,363 3,648 17,166 293.47%
Commodities - - - - - -
Repairs & Maintenance - - - - - -
Capital Outlay 2,439 1,434 - - - -
Capital Reserve Transfers - - 262 262 262 0.00%
Contractual Services 1,238 1,185 9,838 4,600 11,500 16.89%
Internal Service Transfers 2,102 1,882 - - 116 0.00%
Total Fiscal Services $38,505 $48,342 $64,462 $12,876 $81,510 26.45%
Personnel Wages
43%
Personnel Benefits
22%
Operating
Expenses
21%
Capital Reserve
Transfers
0%
Contractual
Services
9%
Internal Service
Transfers
0%
2018 Major Service: Training And Organizational Development
Page 172 of 648
COMMUNITY DEVELOPMEN T
The Community Development Department consists of four functions: Administration, Building &
Zoning, Environmental Health Services, and Planning & Economic Development. The
department reviews plans, issues permits, processes annexation, performs comprehensive
planning, zoning reviews, and performs necessary inspections. The department is further
responsible for health, housing, and property maintenance inspections to protect the health and
well-being of Buffalo Grove’s residents.
PROGRAM AREAS
Administration…..................................................................................................................................... 182
Building & Zoning…………………………..………………………………………………………………..…..184
Planning & Economic Development…………………..……………………………………………………188
Environmental Health Services……………………………..………………………………………………...191
Page 173 of 648
2018 COMMUNITY DEVELOPMEN T DEPARTMENT STRUCTURE
Director of Community
Development
Village Planner
Associate Planner
Permit Technician/Deputy
Village Clerk
Administration/Permit
Clerks (3)
Building Commissioner
Inspectors (4)
Plan Reviewer
Property Maintenance
Inspectors (2)
Page 174 of 648
2018 COMMUNITY DEVELOPMENT STAFFING SUMMARY
The current approved staffing level for the department is 13. The proposed staffing level for 2018
is 15 with the proposed addition of an Associate Planner position and a part-time Property
Maintenance Technician to assist with the shard services agreement with Long Grove.
2018 STAFF TIME BY FUNCTIONAL AREA
Functional Area (# of Employees) Number of
Employees
Percentage of Resource
Allocation Spent Per Functional
Area
Community Development Administration 1 8%
Building & Zoning 10 69%
Environmental Health Services 1.5 9%
Planning & Economic Development 2.5 14%
Community Development FY 2016 FY 2017 FY 2018
FT PT FT PT FT PT
Administrative Assistant 2 0 2 0 2 0
Associate Planner 0 0 0 0 1 0
Building Commissioner 1 0 1 0 1 0
Building Inspector 1 0 1 0 1 0
Clerk 0 1 0 1 0 1
Community Development Director 1 0 1 0 1 0
Deputy Clerk 1 0 1 0 1 0
Electrical Inspector 1 0 1 0 1 0
Health Inspector 1 0 1 0 1 0
Planner 1 0 1 0 1 0
Plan Reviewer 1 0 1 0 1 0
Plumbing Inspector 1 0 1 0 1 0
Property Maintenance Inspector 1 0 1 0 1 1
Total 12 1 12 1 13 2
Full & Part-Time Total 13 13 15
Page 175 of 648
2018 COMMUNITY DEVELOPMENT PROGRAM SUMMARY
Community
Development
Administration
General
administration
Building &
Zoning
Property
maintenance,
zoning and
rental
enforcement
Building permits
and inspections
Plan review
Planning &
Economic
Development
Planning
services
Planning &
Zoning
Commision
Enviromental
Health Services
Health
inspections
Page 176 of 648
2018 COMMUNITY DEVELOPMEN T BUDGET SUMMARY
Community
Development
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Community
Development
Administration
130,123 143,331 149,817 159,306 163,906 9.40%
Building & Zoning 1,024,360 1,254,168 1,335,899 1,393,925 1,464,182 9.60%
Planning &
Economic
Development
219,505 458,183 400,907 298,698 307,325 -23.30%
Environmental
Health Services 150,734 175,505 180,990 139,393 192,418 6.30%
Total $1,524,722 $2,031,187 $2,067,613 $1,991,322 $2,127,831 2.90%
Community
Development
Administration
8%
Building &
Zoning
69%
Planning &
Economic
Development
14%
Environmental
Health Services
9%
2018 Budget Summary
Page 177 of 648
2018 COMMUNITY DEVELOPMENT COST TYPE SUMMARY
Community
Development
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Wages 937,979 1,148,076 1,173,076 1,165,393 1,289,675 9.90%
Benefits 391,328 495,627 497,968 469,913 506,347 1.70%
Operating
Expenses 11,573 16,007 27,249 10,251 11,649 -57.20%
Commodities 156 1,434 2,000 1,500 1,000 -50.00%
Repairs and Maint - - - - - -
Capital Outlay - - - - - -
Capital Reserve
Transfers - - 13,855 5,800 13,855 0.00%
Contractual
Services 61,352 239,528 194,900 179,900 79,000 -59.50%
Internal Services
Transfers 122,334 130,515 158,565 158,565 226,305 42.70%
Total $1,524,722 $2,031,187 $2,067,613 $1,991,322 $2,127,831 2.90%
Wages and
Benefits
81%
Contractual
Services
10%
Commodities
0%
Operating
Expenses
0%
Internal
Service
Fund
8%
Reserve
Transfers
1%
Cost Type Summary
Page 178 of 648
COMMUNITY DEVELOPMENT VARIANCES
Community
Development
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18 Comments
Wages 1,173,076 1,165,393 1,289,675 9.90%
The increase is the result
of adding an Associate
Planner position as well a
part-time Property
Maintenance Inspector
to assist with Long Grove
inspections.
Operating
Expenses 27,249 10,251 11,649 -57.20%
The decrease is the result
of the Village not
participating in the
Northwest Economic
Development Program.
The Village had originally
budgeted $15,000 for
FY17, however we
choose not to participate
in the program.
Commodities 2,000 1,500 1,000 -50.00%Reduced due to
historical usage.
Contractual
Services 194,900 179,900 79,000 -59.50%
This expense has
decreased because the
Village will be completing
the Lake Cook Corridor
study in FY17. The
upcoming
Comprehensive Plan has
been budgeted in the
CIP.
Internal Services
Transfers 158,565 158,565 226,305 42.70% Change in the allocation
formula
Page 179 of 648
KEY PERFORMANCE MEASURES
General Administration Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Non-Commercial FOIA Response
Completed Within 5 Business Days 100% Compliance 95% 100% 100% 100%
Building & Zoning Benchmark 2015
Actual
2016
Actu
al
2017
Estimated
Actual
2018
Estimate
Code Enforcement Compliance
Within 45 Calendar Days 90% Compliance 92% 91% 98% 95%
Inspection Compliance Rate for
First Inspection 75% Compliance 76% 78% 78% 80%
Plan Reviews Completed Within
14 Business Days 90% Compliance 91% 91% 92% 90%
Annual Rental License 100% Compliance 85% 96% 98% 100%
Planning & Economic Development Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Planning & Zoning Commission
Public Hearing Notification
Requirements
100% Compliance 100% 97% 100% 100%
Planning & Zoning Commission
Cases Recommended to the
Village Board Within 30 days
100% Compliance 80% 95% 100% 100%
Health Inspections Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Food Establishment Compliance
Rate for First Inspection 80% Compliance 86% 87% 84% 85%
Page 180 of 648
STRATEGIC PLANNING
The Village Board directed staff to update the 2013-2018 Plan
through the development of revised strategic planning priorities.
The updated plan is comprised of five overarching Strategic
Planning Priorities based on feedback received from employees,
senior staff, and the Village Board. These priorities direct the
development of the annual budget and guide the Village’s work
throughout program areas. The five overarching Strategic
Planning Priorities are as follows: Service Optimization, Financial
Stability, Collaboration, Economic Development, and
Infrastructure Sustainability. Each department has unique
strategic goals, initiatives, and action steps however, they may
not have them in each priority. All goals were identified as near,
mid, or long term. Only the near term goals affecting this budget are listed.
ECONOMIC DEVELOPMENT
Maintain and enhance the quality of life in the community through on-going assessment, public
and private partnerships and by leveraging resources to meet community objectives. Create
an inviting environment for doing business in the community through targeted communication
and marketing methods, consistent with the needs and values of the village.
Action Step Strategic Initiative Budget Program Priority
Enhance Forms and Processes Economic Growth Planning and ED Medium
Recognize Business Achievement Economic Growth Planning and ED Medium
Meet and Greet for New Businesses Economic Growth Planning and ED Medium
Business E-Newsletter Economic Growth Planning and ED Medium
On-Site Visits Economic Growth Planning and ED Medium
Update the Comprehensive Plan Land Use and Development Planning and ED High
Regional Transportation Projects Quality of Life Planning and ED Low
Page 181 of 648
P ROGRAM AREA: ADMINISTRATION
The Administration division is responsible for
leading the department and ensuring
orderly development, redevelopment, and
property maintenance within the Village of
Buffalo Grove.
MAJOR SERVICES
General Administration
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
Page 182 of 648
M AJOR SERVICE : GENERAL ADMINISTRATI ON
The General Administration service includes administering the department and ensuring orderly
development, redevelopment, and property maintenance within the Village of Buffalo Grove.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Wages 75,038 91,846 93,846 93,231 103,174 9.90%
Benefits 31,306 39,650 39,837 37,593 40,508 1.70%
Operating Expenses 926 1,279 2,180 820 932 -57.20%
Commodities 12 115 160 120 80 -50.00%
Repairs and
Maintenance - - - - - -
Capital Outlay - - - - - -
Capital Reserve
Transfers - - 1,108 464 1,108 0.00%
Contractual Services 13,054 - - 14,392 - 0.00%
Internal Services
Transfers 9,787 10,441 12,685 12,685 18,104 42.70%
Total General
Administration $130,123 $143,331 $149,817 $159,306 $163,906 9.40%
Wages
63%
Benefits
25%
Operating
Expenses
0%
Commodities
0%
Capital Reserve
Transfers
1%
Internal
Services
Transfers
11%
2018 General Administration
Page 183 of 648
PROGRAM AREA: BUILDING & ZON ING
The Building & Zoning division provides for
the administration, plan review and
inspection of all new residential,
commercial, and industrial construction,
existing structures, and all businesses
pursuant to Village ordinances, codes, and
applicable State Statutes. This program
includes the following services:
Property Maintenance, Zoning and
Rental Enforcement
Permitting and Inspections
Building Permit Plan Review
MAJOR SERVICES
Property Maintenance, Zoning, and Rental Enforcement
Permitting and Inspections
Building Permit Plan Review
PROGRAM CHANGES OF NOTE
The Building & Zoning division proposes to add a part-time Property Maintenance Technican. This
position will be funded by an inter-governmental agreement between Buffalo Grove and the
Village of Long Grove.
Page 184 of 648
MAJOR SERVICE: PROPERTY MAINTENANCE AND RENTAL
ENFORCEMENT
Property Maintenance and Rental Enforcement services include all property maintenance and
zoning inspections to ensure all properties within the Village are properly maintained. This service
is also responsible for licensing and inspecting all rental dwellings in Buffalo Grove as well as
property maintenance inspections for the Village of Long Grove.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Personnel Wages 196,976 241,096 246,346 244,733 270,832 9.90%
Personnel Benefits 82,179 104,082 104,573 98,682 106,333 1.70%
Operating Expenses 2,430 3,357 5,722 2,153 2,446 -57.20%
Commodities 33 301 420 315 210 -50.00%
Repairs and Maintenance - - - - - -
Capital Outlay - - - - - -
Capital Reserve Transfers - - 2,910 1,218 2,910 0.00%
Contractual Services - - - 37,779 - -
Internal Services Transfers 25,690 27,408 33,299 33,299 47,524 42.70%
Total Property Maintenance
and Rental Enforcement $307,308 $376,244 $393,270 $418,178 $430,255 9.40%
Personnel
Wages
63%
Personnel
Benefits
25%
Operating
Expenses
0%
Commodities
0%
Capital Reserve
Transfers
1%
Internal
Services
Transfers
11%
2018 Property Maintenance and Rental Enforcement
Page 185 of 648
Presonnel
Wages
61%
Personnel
Benefits
24%
Operating
Expenses
0%
Commodities
0%
Capital Reserve
Transfers
1%
Contractual
Services
3% Internal
Services
Transfers
11%
2018 Permitting and Inspections
MAJOR SERVICE: PERMITTING & INSPECT IONS
The Permitting and Inspections services include the issuance of permits and inspections of all
residential and commercial permits within the Village.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Personnel Wages 375,192 459,231 469,230 466,157 515,870 9.90%
Personnel Benefits 156,531 198,251 199,187 187,965 202,539 1.70%
Operating Expenses 4,629 6,415 10,900 4,100 4,660 -57.20%
Commodities 62 574 800 600 400 -50.00%
Repairs and
Maintenance - - - - - -
Capital Outlay - - - - - -
Capital Reserve
Transfers - - 5,542 2,320 5,542 0.00%
Contractual Services - - 25,000 71,960 30,000 20.00%
Internal Services
Transfers 48,934 52,206 63,426 63,426 90,522 42.70%
Total Permitting and
Inspections $585,348 $716,677 $774,085 $796,529 $849,532 9.70%
Page 186 of 648
MAJOR SERVICE: PLAN REVIEW
Plan Review services include plan reviews of all new residential, commercial, and industrial
construction, existing structures, and all businesses pursuant to Village ordinances, codes, and
applicable state statutes.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Personnel Wages 84,418 103,327 105,577 104,885 116,071 9.90%
Personnel Benefits 35,220 44,606 44,817 42,292 45,571 1.70%
Operating Expenses 1,042 1,439 2,452 923 1,048 -57.20%
Commodities 14 129 180 135 90 -50.00%
Repairs and
Maintenance - - - - - -
Capital Outlay - - - - - -
Capital Reserve
Transfers - - 1,247 522 1,247 0.00%
Contractual Services - - - 16,191 - -
Internal Services
Transfers 11,010 11,746 14,271 14,271 20,367 42.70%
Total Plan Review $131,704 $161,247 $168,544 $179,219 $184,395 9.40%
Personnel
Wages
63%
Personnel
Benefits
25%
Operating
Expenses
0%
Commodities
0%
Capital Reserve
Transfers
1% Internal
Services
Transfers
11%
2018 Plan Review
Page 187 of 648
PROGRAM AREA: PLANNING & ECONOMIC DEVELOPMENT
The Planning & Economic Development
division is responsible for reviewing new
development and redevelopment
proposals, implementing economic
development strategies, administrating the
comprehensive plan, Sign Code and
preparing long-range plans. The Planning &
Economic Development Division is
responsible for oversight of the Village’s
Planning & Zoning Commission.
MAJOR SERVICES
Planning Services
Planning & Zoning Commission
PROGRAM CHANGES OF NOTE
The Planning & Economic Development division propses to add an Associate Planner position.
The Associate Planner will be responsible for assiting with day to day planning and zoning
operations including reviewing building permits for Zoning and Sign Code compliance,
managing minor Planning & Zoning Commission cases and assisting with economic
development efforts. Reductions in costs are attributed to the completion of the Lake Cook
Corridor study. The 2018/19 Comprehensive Plan has been budgeted as part of the Capital
Improvement Plan.
Page 188 of 648
MAJOR SERVICE: PLANNING SERVICES
Planning Services include reviewing new development and redevelopment proposals,
implementing economic development strategies, administering the comprehensive plan,
enforcing the Sign Code, and preparing long-range plans.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Personnel Wages 103,178 126,288 129,038 128,193 141,864 9.90%
Personnel Benefits 43,046 54,519 54,776 51,690 55,698 1.70%
Operating Expenses 1,273 1,759 2,997 1,128 1,281 -57.20%
Commodities 17 158 220 165 110 -50.00%
Repairs and
Maintenance - - - - - -
Capital Outlay - - - - - -
Capital Reserve
Transfers - - 1,524 638 1,524 0.00%
Contractual Services - 189,437 120,000 19,789 - -100.00%
Internal Services
Transfers 13,457 14,357 17,442 17,442 24,894 42.70%
Total Planning
Services $160,971 $386,518 $325,998 $219,045 $225,371 -30.90%
Personnel
Wages
63%
Personnel
Benefits
25%
Operating
Expenses
0%
Commodities
0%
Capital Reserve
Transfers
1% Internal
Services
Transfers
11%
2018 Planning Services
Page 189 of 648
MAJOR SERVICE: PLANNING AND ZONING COMMISSION
The Planning & Zoning Commission is responsible for hearing special uses, variations and all other
development proposals within the Village. This division is responsible for oversight of the Village’s
Planning & Zoning Commission.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Personnel Wages 37,519 45,923 46,923 46,616 51,587 9.90%
Personnel Benefits 15,653 19,825 19,919 18,797 20,254 1.70%
Operating Expenses 463 639 1,090 410 466 -57.20%
Commodities 6 57 80 60 40 -50.00%
Repairs and Maintenance - - - - - -
Capital Outlay - - - - - -
Capital Reserve Transfers - - 554 232 554 0.00%
Contractual Services - - - 7,196 - -
Internal Services Transfers 4,893 5,221 6,343 6,343 9,052 42.70%
Total Planning and Zoning
Commission $58,534 $71,665 $74,909 $79,653 $81,953 9.40%
Personnel
Wages
63%
Personnel
Benefits
25%
Operating
Expenses
0%
Commodities
0%
Capital Reserve
Transfers
1%
Internal
Services
Transfers
11%
2018 Planning and Zoning Commission
Page 190 of 648
PROGRAM AREA: ENVIRONMENTAL HEALTH SERVICES
The Environmental Health division is
responsible for promoting public health and
safety to prevent environmental health
hazards that can lead to illness in the
community. Responsibilities include food
establishment inspections, temporary food
event permitting, food establishment plan
review, food handling complaint
investigation, mobile vending licensing, and
inspecting day care centers/homes.
MAJOR SERVICES
Health Inspections
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
Page 191 of 648
MAJOR SERVICE: HEALT H INSPECTIONS
Health Inspections services includes promoting public health and safety to prevent
environmental health hazards that can lead to illness in the community. Responsibilities include
food establishment inspections, temporary food event permitting, food establishment plan
review, food handling complaint investigation, mobile vending licensing, and inspecting day
care centers/homes.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Personnel Wages 65,659 80,365 82,115 81,578 90,277 9.90%
Personnel Benefits 27,393 34,694 34,858 32,894 35,444 1.70%
Operating Expenses 810 1,119 1,907 718 815 -57.20%
Commodities 11 100 140 105 70 -50.00%
Repairs and
Maintenance - - - - - -
Capital Outlay - - - - - -
Capital Reserve
Transfers - - 970 406 970 0.00%
Contractual Services 48,298 50,091 49,900 12,593 49,000 -1.80%
Internal Services
Transfers 8,563 9,136 11,100 11,100 15,841 42.70%
Total Health Services $150,734 $175,505 $180,990 $139,393 $192,418 6.30%
Personnel
Wages
47%
Personnel
Benefits
18%
Operating
Expenses
0%
Commodities
0%
Capital Reserve
Transfers
1%
Contractual
Services
26%
Internal Services
Transfers
8%
2018 Health Services
Page 192 of 648
POLICE DEPARTMENT
The Buffalo Grove Police Department is currently staffed by 63 sworn and 20 civilian personnel,
providing law enforcement services to a community of 41,778 residents. The department is led
by the Chief of Police and is structured into two divisions, Administration and Operations. Each
Division is led by a Deputy Chief, with a supporting chain of command consisting of officers and
civilian personnel, sergeants, lieutenants, and commanders. The Administrative Division consists
of Administrative Services and Staff Support, while the Operations Division contains Patrol and
the Investigations group. All of these groups and divisions within the Buffalo Grove Police
Department work in concert to promote public safety and serve the community with pride,
professionalism, and integrity.
PROGRAM AREAS
Administration……………………………………….………………………………………………..…………201
Operations..………………………………………….………………………………………………..…………203
Services & Support………………………………….………………………………………………..…………206
Page 193 of 648
Chief of Police
Deputy Chief of
Administration
Commander - Staff
Support
Traffic Unit
Sergeant (1)
Officers (3)
Sergeant -
Administrative Services
Evidence/Property
Custodian
Records Department
Supervisor (1)
Clerks (3; 2 FT, 1 PT)
Lieutenant -
Administrative Services
Community Relations
Unit
P-CORE (2)
Crime Prevention (1)
School Resource
Officers SRO (2)
BGHS Liaison (1)
Police Social Worker
Technical Services
Deputy Chief of
Operations
Commander -
Investigations
Criminal/Juvenile
Investigations
Investigators (4)
Task Force Members
DEA (1)
ICE (1)
Directed Patrol Unit
DPU (2)
K-9 Unit
Patrol - Day Shift
Lieutenant
Sergeants (2)
Officers (9)
Patrol - Afternoon Shift
Lieutenant
Sergeants (2)
Officers (10)
Patrol - Night Shift
Lieutenant
Sergeants (2)
Officers (9)
Community Service
Officers (2)
Desk Officers
(5; 3 FT, 2 PT)
Administrative
Assistant
2018 POLICE DEPARTMENT STRUCTUR E
Page 194 of 648
2018 POLICE DEPARTMENT STAFFING SUMMARY
The current approved staffing level for the department is 83 full and part time employees.
2018 STAFF TIME BY FUNCTIONAL AREA
Functional Area (# of Employees) Number
of Employees
Percentage of Resource
Allocation Spent Per Functional
Area
Administration Division 6.0 9.79%
Patrol Operations 43.0 53.66%
Investigations Operations 10.0 14.06%
Traffic Unit/Crossing Guards 6.5 5.81%
Training 1.0 2.05%
Community Relations/Social Worker/SRO 7.0 8.60%
Records 3.5 3.29%
Tech Services 1.0 1.31%
Property and Evidence 10.0 1.43%
Police Services FY 2016 FY 2017 FY 2018
FT PT FT PT FT PT
Chief of Police 1 0 1 0 1 0
Clerk 2 1 2 1 2 1
Community Service Officer 2 0 2 0 2 0
Crossing Guard 0 9 0 5 0 5
Deputy Police Chief 2 0 2 0 2 0
Desk Officer 2 2 3 2 3 2
Evidence Custodian 1 1 1 0 1 0
Lieutenant 4 0 4 0 4 0
Patrol Officer 47 0 46 0 46 0
Police Commander 2 0 2 0 2 0
Police Sergeant 8 0 8 0 8 0
Records Supervisor 1 0 1 0 1 0
Social Worker 0 1 1 0 1 0
Technical Services Administrator 1 0 1 0 1 0
Administrative Assistant 1 0 1 0 1 0
Total 74 13 75 8 75 8
Full & Part-Time Total 84 83 83
Page 195 of 648
2018 POLICE DEPARTMENT PROGRAM SUMMARY
Administration
Office of the
Chief of Police
Operations
Patrol
Investigations
Services &
Support
Traffic
Training
Community
Relations
Records
Tech Services
Property &
Evidence
Page 196 of 648
2018 POLICE PROGRAM BUDGET SUMMA RY
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Administration 1,054,637 1,426,034 1,441,255 1,441,255 1,495,072 3.73%
Operations 10,468,991 9,574,227 10,104,545 10,062,699 10,383,427 2.76%
Services &
Support 1,989,395 2,740,931 3,337,180 3,337,180 3,414,194 2.31%
Total $13,513,023 $13,741,192 $14,882,980 $14,841,134 $15,292,698 2.75%
Administration
10%
Operations
68%
Support &
Services
22%
Program Budget Summary
Page 197 of 648
2018 POLICE COST TYPE SUMMARY
2015
Actual
2016
Actual
2017
Budget 2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Wages 7,433,349 7,546,577 8,022,110 8,004,567 8,235,458 2.66%
Benefits 4,013,992 4,250,870 4,496,642 4,472,340 4,639,585 3.18%
Operating
Expenses 854,556 964,651 957,043 957,043 978,446 2.24%
Commodities - - - - - -
Repairs and
Maintenance 475,542 366,372 489,554 489,554 442,960 -9.52%
Capital Outlay 14,698 7,314 23,450 23,450 23,452 0%
Reserve
Transfers - - 178,915 178,916 178,916 0%
Contractual
Services 71,148 41,148 41,148 41,148 41,148 0%
Internal
Services 489,938 564,260 674,117 674,116 752,733 11.66%
Total $13,513,023 $13,741,192 $14,882,980 $14,841,134 $15,292,698 2.75%
Wages 54%
Benefits
30%
Operating
Expenses
7% Repairs and
Maint
3%
Capital Outlay
0%
Reserve Transfers
1%
Contractual
Services
0.27%
Internal Services
5%
2018 Cost Type Summary
Page 198 of 648
POLICE DEPARTMENT VARIANCES
Police
Department
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Comments
Repairs and
Maintenance 489,555 489,555 442,960 -9.52%Variance caused by changes in
maintenance schedules
Internal Services 674,116 674,116 752,734 11.66% Change in the allocation formula
KEY PERFORMANCE MEASURES
Administration Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Leadership Training Hours 750 727 1032 1500 1500
Patrol Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Crime Op Cards 1,130 1,395 915 1,080 1,150
Directed Patrol 95 N/A 75 115 120
Investigations Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Criminal Cases Cleared 154 194 183 127 127
K-9 Sniffs/ Searches 174 N/A 144 204 230
Administrative Services Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Community Special Events 50 46 68 70 80
Social Worker Cases 350 223 410 600 600
Staff Support Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Truck Enforcement Investigations 175 167 190 200 215
Crashes 1350 1,446 1,473 1400 1375
Department Training Hours 7000 7,488 8,000 7000 7000
FOIA Requests Completed 450 425 467 430 470
Evidence Collected 1,000 1,119 1,366 1,100 1,200
Page 199 of 648
STRATEGIC PLANNING
The Village Board directed staff to update the 2013-2018 Plan
through the development of revised strategic planning priorities.
The updated plan is comprised of five overarching Strategic
Planning Priorities based on feedback received from employees,
senior staff, and the Village Board. These priorities direct the
development of the annual budget and guide the Village’s work
throughout program areas. The five overarching Strategic
Planning Priorities are as follows: Service Optimization, Financial
Stability, Collaboration, Economic Development, and
Infrastructure Sustainability. Each department has unique
strategic goals, initiatives, and action steps however, they may
not have them in each priority. All goals were identified as near,
mid, or long term. Only the near term goals affecting this budget are listed.
COLLABORATION
Action Step Strategic Initiative Budget Program Priority
Police Sponsored Neighborhood
Meetings Citizen Engagement Community Relations High
Supervisor Training Program
Employee
Development and
Recognition
Training High
SERVICE OPTIMIZATION
Action Step
Strategic Initiative Budget Program Priority
Share Administrative Adjudication
Services
Intergovernmental
Partnerships Tech Services Medium
Sell Overweight Truck
Enforcement Services
Intergovernmental
Partnerships Traffic Unit Medium
Page 200 of 648
P ROGRAM AREA : ADMINISTRATION
The Administration of the Buffalo Grove Police Department is led by the
Chief of Police. It is the Chief’s responsibility to provide direction and
functional supervision over sworn and non-sworn management,
professional, technical, administrative, dispatch, and contracted law
enforcement personnel of the police department. The Office of the
Chief plans, organizes, coordinates, and directs the Village’s
comprehensive police services and law enforcement program.
Administration manages and develops the department budget,
policies, general orders, accreditation, community outreach, agency
goals & objectives and training methods. This area’s sole major service
is to provide the key leadership of the organization in directing the
aforementioned areas.
MAJOR SERVICES
Administration
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
Page 201 of 648
MAJOR SERVICE: ADMINISTRATION
Department leadership strives to ensure the entire department’s overall mission, goals, and
objectives are accomplished in a professional, efficient, and fiscally responsible manner.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual.
2018
Budget
% Change
FY17-FY18
Fund: General
Personnel Wages 592,561 776,228 785,522 785,522 816,372 3.93%
Personnel
Benefits 322,526 429,858 464,288 464,288 480,576 3.51%
Operating
Expenses 66,727 145,069 87,898 87,898 91,831 4.47%
Commodities - - - - - -
Repairs &
Maintenance 36,340 26,915 34,687 34,687 31,681 -8.67%
Capital Outlay 3,601 614 1,864 1,864 1,851 -0.66%
Capital Reserve
Transfers - - 13,424 13,424 13,335 -0.66%
Contractual
Services - - - - - -
Internal Service
Transfers 32,882 47,350 53,572 53,572 59,426 10.93%
Total Major
Service $1,054,637 $1,426,034 $1,441,255 $1,441,255 $1,495,072 3.73%
Personnel Wages
55%
Personnel
Benefits
32%
Operating
Expenses
6%
Repairs &
Maintenance
2%
Capital Outlay
0%
Capital Reserve
Transfers
1%
Internal Service
Transfers
4%
2018 Administration
Page 202 of 648
PROGRAM AREA : OPERATIONS
The Operations Division is led by a Deputy Chief and is
divided into two sections; Patrol and Investigations. The
Patrol Section is the uniformed division and most visible part
of the police department. The three shifts (day, evening, &
night) respond to a myriad of calls for service, ranging from
the simplest lockout of a vehicle to a violent domestic
dispute. These officers are at the forefront of all citizen
encounters with the police department. Investigations are
led by a Commander and include the Investigations & Youth
Section, which is comprised of four Investigators. In addition,
the department has one officer assigned to the Drug Enforcement Agency Task Force, and one
Investigator assigned to the Homeland Security Department – Immigrations and Customs
Enforcement Task Force. The Directed Patrol Unit (DPU) is also under the direction of the
Investigations Commander. They, along with the K-9 officer, focus on drug activity and other
criminal activity throughout the Village.
MAJOR SERVICES
Patrol
Investigations
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
Page 203 of 648
Personnel Wages
55% Personnel
Benefits
31%
Operating
Expenses
6%
Repairs &
Maintenance
2%
Capital Outlay
0%
Capital Reserve
Transfers
1%
Internal Service
Transfers
5%
2018 Patrol
MAJOR SERVICE: PATROL
Patrol consists of three watches – day, afternoon, and night. Each is supervised by one
Lieutenant and two Sergeants. This section also includes two Community Service Officers (CSO),
two full-time Desk Officers and three part-time Desk Officers. The Patrol Section is the forefront of
the police department. Officers assigned to patrol wear their uniform daily and are the first on
scene any time a person calls 911. Patrol responds to a multitude of calls for service, including:
automobile/ traffic crashes, domestic disputes, robberies, medical emergencies and burglaries,
among many more.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General
Personnel Wages 4,695,379 4,549,412 4,411,331 4,393,787 4,505,691 2.14%
Personnel Benefits 2,547,770 2,575,582 2,442,929 2,418,627 2,515,865 2.99%
Operating
Expenses 454,834 516,104 469,505 469,505 476,715 1.54%
Commodities - - - - - -
Repairs &
Maintenance 252,091 182,864 218,812 218,812 197,769 -9.62%
Capital Outlay 129,752 4,962 13,200 13,200 13,268 0.51%
Capital Reserve
Transfers - - 95,085 95,085 95,570 0.51%
Contractual
Services 30,000 - - - - -
Internal Service
Transfers 312,378 382,750 379,469 379,469 425,889 12.23%
Total Patrol $8,422,204 $8,211,674 $8,030,331 $7,988,485 $8,230,767 2.50%
Page 204 of 648
Personnel
Wages
53%
Personnel
Benefits
30%
Operating
Expenses
6%
Repairs &
Maintenance
6%
Capital Outlay
0%
Capital Reserve
Transfers
1%
Internal Service
Transfers
4%
2018 Investigations
MAJOR SERVICE: INVESTIGATIONS
The Investigations Section has several key components. The criminal and juvenile investigators
follow up on criminal matters ranging from homicide to theft. These investigators are generally
plain clothes officers who utilize a variety of investigative tools such as computers, gps tracking
devices, unmarked/undercover vehicles and are the final authority in criminal investigations.
Another component of the Investigations unit is the Directed Patrol Unit. Along with the K-9
officer, they focus on drug activity and other criminal activity throughout the Village. Task force
investigators are assigned to duties with the Drug Enforcement Agency and the Department of
Homeland Security.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General
Personnel Wages 1,095,995 728,190 1,085,285 1,085,285 1,132,479 4.35%
Personnel Benefits 610,610 410,482 618,594 618,594 649,302 4.96%
Operating
Expenses 120,330 84,347 116,826 116,826 121,307 3.84%
Commodities - - - - - -
Repairs &
Maintenance 117,464 83,576 138,743 138,743 125,216 -9.75%
Capital Outlay 30,048 716 3,106 3,106 3,086 -0.66%
Capital Reserve
Transfers - - 22,373 22,373 22,226 -0.66%
Contractual
Services - - - - - -
Internal Service
Transfers 72,340 55,242 89,287 89,287 99,044 10.93%
Total Investigations $2,046,787 $1,362,553 $2,074,214 $2,074,214 $2,152,660 3.78%
Page 205 of 648
P ROGRAM AREA : SERVICES & SUPPORT
The Services and Support Sections are led by the Deputy Chief of
Administration. This area of the police department includes a
Commander, Lieutenant, Administrative Services Sergeant, Traffic
Unit, Community Relations Unit, School Resource Officers, Records
Unit, Technical Services Administrator, Evidence/Property Custodian
and the department’s full-time Police Social Worker.
MAJOR SERVICES
Traffic
Training
Community Relations/Social Worker/SRO
Records
Tech Services
Property and Evidence
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
Page 206 of 648
Personnel Wages
54%
Personnel Benefits
29%
Operating
Expenses
5%
Repairs &
Maintenance
6%
Capital Outlay
0%
Capital Reserve
Transfers
1%
Internal Service
Transfers
5%
2018 Traffic
MAJOR SERVICE: TRAFFIC
The Traffic Unit focuses on the education and enforcement of traffic laws in an effort to reduce
the frequency and severity of traffic crashes in the Village. This team works closely with local
schools, businesses, and the Engineering Division with the shared goal of the safer movement of
bicycles, pedestrians and vehicles throughout the Village. The crossing guards also play a role in
getting students to school safely.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General
Personnel Wages 475,344 471,610 486,502 486,502 481,313 -1.07%
Personnel Benefits 230,847 243,180 252,597 252,597 255,206 1.03%
Operating Expenses 42,070 44,172 44,332 44,332 46,073 3.93%
Commodities - - - - -
Repairs & Maintenance 66,840 47,464 61,375 61,375 55,363 -9.80%
Capital Outlay 2,880 409 1,242 1,242 1,234 -0.66%
Capital Reserve Transfers - - 8,949 8,949 8,890 -0.66%
Contractual Services - - - - - -
Internal Service Transfers 26,305 31,567 35,715 35,715 39,618 10.93%
Total Traffic Unit/Crossing
Guards $844,286 $838,402 $890,712 $890,712 $887,697 -0.34%
Page 207 of 648
Personnel Wages
42%
Personnel Benefits
41%
Operating
Expenses
13%
Capital Outlay
0%
Capital Reserve
Transfers
1%
Internal Service
Transfers
3%
2018 Training
M AJOR SERVICE : TRAINING
The main function of the Training Unit is to maintain training records and schedule on-going
training for the entire department. Because laws and procedures are constantly changing in law
enforcement, ongoing training is a crucial function of police work. It is the training division’s
mission to ensure all officers are kept up to date with current certifications as well as training
officers for new or more technical functions of police work.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General
Personnel Wages 122,015 116,512 121,811 121,811 127,162 4.39%
Personnel Benefits 108,813 115,509 119,488 119,488 126,401 5.79%
Operating Expenses 39,487 32,508 37,273 37,273 39,231 5.25%
Commodities - - - - - -
Repairs &
Maintenance - - - - - -
Capital Outlay 720 102 311 311 309 -0.66%
Capital Reserve
Transfers - - 2,237 2,237 2,223 -0.66%
Contractual Services - - - - - -
Internal Service
Transfers 6,576 7,892 8,929 8,929 9,904 10.93%
Total Training $277,611 $272,523 $290,049 $290,049 $305,230 5.23%
Page 208 of 648
MAJOR SERVICE: COMMUNITY RELATIONS
The Community Relations, Police Social Worker, and School Resource Officers all provide
additional support to residents and businesses to develop more meaningful relationships with the
community. These services help provide positive contacts to youth, elderly, and citizens in crisis,
and are an outstanding resource to utilize in furthering community outreach goals.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 101,645 504,005 697,328 697,329 717,105 2.84%
Personnel Benefits 56,128 289,859 399,593 399,593 412,847 3.32%
Operating Expenses 14,693 10,866 73,281 73,281 75,337 2.81%
Commodities - - - - - -
Repairs & Maintenance - 23,732 30,687 30,687 27,681 -9.80%
Capital Outlay 720 - 2,174 2,173 2,160 -0.66%
Capital Reserve Transfers - - 15,661 15,662 15,558 -0.66%
Contractual Services - - - - - -
Internal Service Transfers 6,576 - 62,501 62,500 69,331 10.93%
Total Community
Relations $179,762 $828,462 $1,281,225 $1,281,225 $1,320,019 3.03%
Personnel Wages
55%
Personnel Benefits
31%
Operating
Expenses
6%
Repairs &
Maintenance
2%
Capital Outlay
0%
Capital Reserve
Transfers
1%
Internal Service
Transfers
5%
2018 Community Relations
Page 209 of 648
MAJOR SERVICE : RECORDS
The Records Unit keeps all of the various reports, citations, warrants, and arrest data in a safe
and secure environment. They fulfill various FOIA and media requests, and are crucial in
corresponding with the county clerk’s office, sheriff’s office, coroner, medical examiner, defense
and prosecuting attorneys. They also supply accurate and timely departmental data to various
local, state, and federal agencies as required by law.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General Fund
Personnel Wages 240,797 248,414 259,210 259,210 269,721 4.05%
Personnel Benefits 96,502 116,884 126,088 126,088 125,580 -0.40%
Operating Expenses 42,492 60,036 54,417 54,417 54,471 0.10%
Commodities - - - - -
Repairs & Maintenance - - - - - -
Capital Outlay 2,161 307 932 932 926 -0.66%
Capital Reserve Transfers - - 6,712 6,712 6,668 -0.66%
Contractual Services - - - - - -
Internal Service Transfers 19,729 23,675 26,786 26,786 29,713 10.93%
Total Records $401,681 $449,316 $474,145 $474,145 $487,078 2.73%
Personnel Wages
56%
Personnel
Benefits
26%
Operating
Expenses
11%
Capital Outlay
0%
Capital Reserve
Transfers
1%
Internal Service
Transfers
6%
2018 Records
Page 210 of 648
MAJOR SERVICE: TECHNICAL SERVICES
The Technical Services Unit provides needed support and training for the squad fleet and
building information technology needs. It also identifies new software and hardware needs, as
well as repairs and restores current technology when it is not working properly. This unit also
serves as the project manager in implementing new technologies in the department.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General
Personnel Wages 68,492 77,828 80,215 80,215 84,451 5.28%
Personnel Benefits 30,775 35,070 37,372 37,372 37,694 0.86%
Operating Expenses 8,934 6,748 7,333 7,333 7,303 -0.41%
Commodities - - - - - -
Repairs &
Maintenance 2,807 1,821 5,250 5,250 5,250 0.00%
Capital Outlay 3,896 102 311 311 309 -0.66%
Capital Reserve
Transfers - - 12,237 12,237 12,223 -0.12%
Contractual Services 41,148 41,148 41,148 41,148 41,148 0.00%
Internal Service
Transfers 6,576 7,892 8,929 8,929 9,904 10.93%
Total Technical
Services $162,628 $170,609 $192,795 $192,795 $198,282 2.85%
Personnel
Wages
42%
Personnel
Benefits
19%
Operating
Expenses
4%
Repairs &
maintenance
3%
Capital Outlay
0%
Capital Reserve
Transfers
6%
Contractual
Services
21%
Internal Service
Transfers
5%
2018 Tech Services
Page 211 of 648
MAJOR SERVICE: P ROPERTY AND EVIDENCE
The primary function of the Property and Evidence Unit is to properly store and secure evidence
needed for court purposes. The proper handling, storage and destruction of critical documents
and evidence must comply with state law and court directed guidelines and mandates. In
addition, the task of administrative adjudication is assigned to the full time evidence custodian.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General
Personnel Wages 41,121 74,378 94,906 94,906 101,164 6.59%
Personnel Benefits 10,021 34,446 35,693 35,693 36,114 1.18%
Operating Expenses 64,989 64,801 66,178 66,178 66,178 0.00%
Commodities - - - - - -
Repairs &
Maintenance - - - - - -
Capital Outlay 720 102 311 311 309 -0.66%
Capital Reserve
Transfers - - 2,237 2,237 2,223 -0.66%
Contractual Services - 0 0 0 0.00%
Internal Service
Transfers 6,576 7,892 8,929 8,929 9,904 10.93%
Total Property and
Evidence $123,427 $181,619 $208,254 $208,254 $215,892 3.67%
Personnel Wages
47%
Personnel
Benefits
17%
Operating
Expenses
31%
Capital Outlay
0%
Capital Reserve
Transfers
1%
Internal Service
Transfers
4%
2018 Property and Evidence
Page 212 of 648
FIRE D EPARTMENT
The Buffalo Grove Fire Department is a full service fire department providing the following major
programs: Administration, Operations, Fire Prevention, and Emergency Management. These
services are provided by 57 full time sworn personnel, two full time personnel and two part time
personnel. The 57 sworn personnel operate out of three strategically located fire stations, one
with administrative offices. The fire department provides a wide variety of services including fire
suppression, Emergency Medical Services (EMS), technical rescue services including above and
below grade rescue and high angle rescue, underwater rescue and recovery, and hazardous
materials response.
PROGRAM AREAS
Administration......................................................................................................................................... ...........221
Operations............................................................................................................................................... 225
Fire Prevention......................................................................................................................................... 229
Emergency Management......................................................................................................................232
Page 213 of 648
2018 FIRE DEPARTMENT STRUCTURE
Fire Chief
Fire Prevention
Bureau (2.5)
EMS Battalion
Chief
Deputy
Fire Chief
Shift Battalion
Chief
Fire Station 25
Lieutenant
FF/PMs (5)
Fire Station 26
Lieutenant
FF/PMs (5)
Fire Station 27
Lieutenant
FF/PMs (4)
Shift Battalion
Chief
Fire Station 25
Lieutenant
FF/PMs (5)
Fire Station 26
Lieutenant
FF/PMs (5)
Fire Station 27
Lieutenant
FF/PMs (4)
Shift Battalion
Chief
Fire Station 25
Lieutenant
FF/PMs (5)
Fire Station 26
Lieutenant
FF/PMs (5)
Fire Station 27
Lieutenant
FF/PMs (4)
Training
Battalion Chief
Emergency
Management (.5)
Administrative
Assistant
Page 214 of 648
2018 FIRE DEPARTMENT STAFFING SUMMARY
Fire Services FY 2016 FY 2017 FY 2018
FT PT FT PT FT PT
Battalion Chief 4 0 4 0 5 0
Deputy Fire Chief 1 0 1 0 1 0
EMA Coordinator 0 1 0 1 0 1
Fire Chief 1 0 1 0 1 0
Fire Inspector 1 0 1 0 1 1
Public Education Officer 0 1 0 1 0 1
Fire Lieutenant 9 0 9 0 9 0
Firefighter/Paramedic 42 0 42 0 42 0
Administrative Assistant 1 0 1 0 1 0
Total 59 2 59 2 60 3
Full & Part-Time Total 61 61 63
2018 STAFF TIME BY FUNCTIONAL AREA
Functional Area Number
of Employees
Percentage of Resource
Allocation Spent Per Functional
Area
Administration 3 4.8%
Administration – Support 1 1.6%
Administration – Training 1 1.6%
Operations – EMS 30 48.8%
Operations – Suppression 20 33.1%
Operations – SRT 4 6.5%
Fire Prevention Inspections 1.5 2.4%
Fire Prevention – Public Education 0.5 0.6%
Emergency Management 0.5 0.6%
Page 215 of 648
2018 FIRE DEPARTMENT PROGRAM SUMMARY
Administration
Administration
Support
Training
Operations
Emergency
Medical
Services
Suppression
Special Rescue
Teams
Fire Prevention
Fire Inspections
Public
Education
Emergency
Management
EMA
Page 216 of 648
2018 FIRE DEPARTMENT PROGRAM BUDGET SUMMARY
Fire
Department
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Admin/
Support 1,142,755 1,189,001 1,242,676 1,246,894 1,418,695 14.16%
Operations 10,331,709 12,257,775 10,647,367 10,664,701 10,620,963 -0.25%
Fire Prevention 144,913 147,693 150,529 153,422 272,799 81.23%
Emergency
Management 48,496 49,046 49,586 50,138 50,701 2.25%
Total $11,667,873 $13,643,515 $12,090,158 $12,115,155 $12,363,158 2.26%
Administration/
Support
11%
Operations
86%
Fire Prevention
2%
Emergency
Management
1%
Program Budget Summary
Page 217 of 648
2018 FIRE DEPARTMENT COST TYPE SUMMARY
Fire
Department
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Personnel
Wages 6,387,311 6,628,710 6,611,597 6,634,000 7,040,867 6.49%
Personnel
Benefits 3,331,012 3,615,429 3,300,916 3,319,574 3,379,708 2.39%
Operating
Expenses 647,612 538,746 607,994 594,925 574,912 -5.44%
Commodities 19,179 30,424 31,480 31,000 31,480 0.00%
Repairs and
Maintenance 13,667 23,541 50,900 50,000 50,900 0.00%
Capital
Outlay 318,911 1,806,943 7,500 7,500 7,500 0.00%
Reserve
Transfers - - 207,795 207,795 207,795 0.00%
Contractual
Services 32,327 96,450 122,615 121,000 114,750 -6.41%
Internal
Services 917,854 903,272 1,149,361 1,149,361 955,246 -16.89%
Total $11,667,873 $13,643,515 $12,090,158 $12,115,155 $12,363,158 2.26%
Wages
57%
Benefits
27%
Operating
Expenses
12%
Commodities
0%
Repairs and
Maint
1%
Capital Outlay
2%
Contractual
Services
1%
Cost Type Summary
Page 218 of 648
FIRE DEPARTMENT VARIANCES
Fire Department 2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18 Comments
Operating
Expenses 1,757,355 1,740,225 1,530,158 -12.9%Reduction in Internal Service
Charges
Reserve
Transfers 207,795 207,795 281,168 35.3% Addition of department
equipment
KEY PERFORMANCE MEASURES
Administration Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Average training hours per person 220 270 210 238 239
Operations Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Average response times in minutes 4:00-6:00 04:56 04:58 04:59 04:58
Fire Prevention Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Total public attendance at educational
events 10,000 8,104 13,239 9,821 10,388
Emergency Management Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Annual training hours 96 96 96 96 96
Page 219 of 648
STRATEGIC PLANNING
The Village Board directed staff to update the 2013-2018 Plan
through the development of revised strategic planning priorities.
The updated plan is comprised of five overarching Strategic
Planning Priorities based on feedback received from employees,
senior staff, and the Village Board. These priorities direct the
development of the annual budget and guide the Village’s work
throughout program areas. The five overarching Strategic
Planning Priorities are as follows: Service Optimization, Financial
Stability, Collaboration, Economic Development, and
Infrastructure Sustainability. Each department has unique
strategic goals, initiatives, and action steps however, they may
not have them in each priority. All goals were identified as near,
mid, or long term. Only the near term goals affecting this budget are listed.
FINANCIAL STABILITY
Action Step Strategic Initiative Budget Program Priority
Streamline Fire Billing Ordinance Revenue Diversification Administration Medium
SERVICE OPTIMAZATION
Action Step Strategic Initiative Budget Program Priority
Shared Incident Command
Vehicle
Intergovernmental
Partnerships Administration Medium
Evaluate Fire Protection Bureau Internal Operations Administration Low
Page 220 of 648
PROGRAM AREA : ADMINISTRATION
The Administration program areas provide the support
necessary for the effective provision of emergency services
across an array of multiple disciplines. Administration
coordinates and organizes the physical and personnel
resources that support the major program areas. This is
accomplished through the development of strategic
planning documents, budget forecasting, inclusive
decision making, training, and decentralizing the typical
hierarchal structure.
MAJOR SERVICES
Administration
Support
Training
PROGRAM CHANGES OF NOTE
For budget year 2018, the fire department is requesting funding to reinstate the Training/Safety
Officer position that has been vacant since 2013. This request would fund the re-establishment of
the full time Battalion Chief of Training/Safety position within the Fire Department. Since 2010,
the fire department has downsized its 40 hour staff by 50% (Deputy Chief, Training/Safety
Battalion Chief, Deputy Fire Marshal, Public Educator/Fire Inspector, FPB Administrative Assistant)
leaving the Fire Chief, Deputy Fire Chief, EMS/Safety Battalion Chief, Fire Inspector and
Administrative Assistant as the remaining 40 hour executive staff. The Training/Safety Battalion
Chief position was eliminated in 2013 due to budget reductions and a voluntary separation
agreement offered by the Village and the responsibilities were combined to create the
EMS/Safety Battalion Chief position.
The Training/Safety Division of the fire department is responsible for planning, organizing,
documenting, and leading the initial and ongoing educational and training programs for 57
sworn personnel. In addition, this division has significant responsibilities in the areas of
emergency incident safety, compliance with state and federal mandates (OSHA), Mutual Aid
Box Alarm System (MABAS) coordination and response, the Combined Area Fire Training (CAFT)
facility training development and coordination, and overall fire department operations. This
individual would function as a safety officer at the scene of fires and other emergency incidents.
Currently, the wide-ranging responsibilities and functions of the Training/Safety Officer are split
between the 40 hour EMS/Safety Battalion Chief and two 24/48 hour shift Battalion Chiefs. This
results in the three Chief Officers being removed from other significant department
responsibilities and programs in order to work on training or safety related activities. This also
affects the degree of overall coordination and effectiveness of the Training Division. This change
is reflected in the Training Service Area budget.
Page 221 of 648
MAJOR SERVICE: ADMINISTRATION
Administration coordinates and organizes the physical and personnel resources that support the
major program areas. This is accomplished through the development of strategic planning
documents, budget forecasting, inclusive decision making, training, and decentralizing the
typical hierarchal structure.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General
Personnel Wages 405,000 415,540 425,929 425,929 432,420 1.52%
Personnel Benefits 155,040 158,736 162,705 162,705 165,735 1.86%
Operating Expenses 20,000 20,000 20,000 20,000 20,000 0.00%
Commodities - - - - - -
Repairs & Maintenance 5,000 35,000 35,000 35,000 35,000 0.00%
Capital Outlay - - - - - -
Capital Reserve Transfers - - - - - -
Contractual Services - - - - - -
Internal Service Transfers - - - - - -
Total Major Service $585,040 $629,276 $643,634 $643,634 $653,155 1.48%
Personnel Wages
66%
Personnel
Benefits
26%
Operating
Expenses
3%
Repairs &
Maintenance
5%
2018 Administration
Page 222 of 648
MAJOR SERVICE: ADMINISTRATION/SUPPO RT
The Administration/Support services provide the support necessary for the effective provision of
emergency services across an array of multiple disciplines.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General Fund
Personnel Wages 60,433 61,665 62,924 64,209 65,519 4.12%
Personnel Benefits 38,194 38,972 39,768 40,580 41,360 4.00%
Operating Expenses 219,736 219,709 219,411 221,370 209,063 -4.72%
Commodities 5,000 5,000 5,000 5,000 5,000 0.00%
Repairs & Maintenance 2,250 2,250 2,250 2,250 2,250 0.00%
Capital Outlay 76,658 80,295 7,500 7,500 7,500 0.00%
Capital Reserve Transfers - - 72,795 72,795 72,795 0.00%
Contractual Services 80,437 76,800 76,800 76,800 76,800 0.00%
Internal Service Transfers 75,007 75,034 112,594 112,594 85,680 -23.90%
Total Major Service $557,715 $559,725 $599,042 $603,260 $565,967 -5.52%
Wages and
Benefits
44%
Operating
Expenses
2%
Commodities
13%
Repairs &
maintenance
17%
Capital Outlay
0%
Capital
Reserve
Transfers
3%
Contractual
Services
4%
Internal Service
Transfers
17%
2018 Administration/Support
Page 223 of 648
MAJOR SERVICE: TRAINING
The Training/Safety Division of the fire department is responsible for planning, organizing,
documenting, and leading the initial and ongoing educational and training programs for 57
sworn personnel. In addition, this division has significant responsibilities in the areas of
emergency incident safety, compliance with state and federal mandates (OSHA), Mutual Aid
Box Alarm System (MABAS) coordination and response, the Combined Area Fire Training (CAFT)
facility training development and coordination, and overall fire department operations.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General -
Personnel Wages - - - - 134,900 100.00%
Personnel Benefits - - - - 54,673 100.00%
Operating Expenses - - - - 10,000 100.00%
Commodities - - - - - -
Repairs & Maintenance - - - - - -
Capital Outlay - - - - - -
Capital Reserve Transfers - - - - - -
Contractual Services - - - - - -
Internal Service Transfers - - - - - -
Total Major Service - - - - $199,573 100.00%
Personnel
Wages
68%
Personnel
Benefits
27%
Operating
Expenses
5%
2018 Training
Page 224 of 648
PROGRAM AREA : OPERATIONS
There are 57 full time sworn members operating out of
three strategically located fire stations, one with
administrative offices. The fire department provides a
wide variety of services including fire suppression,
Emergency Medical Services (EMS), technical rescue
services including above and below grade rescue and
high angle rescue, underwater rescue and recovery,
and hazardous materials response.
MAJOR SERVICES
Emergency Medical Services
Suppression
Special Rescue Teams
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
Page 225 of 648
MAJOR SERVICE: EMERGENCY MEDICAL SE RVICES
Buffalo Grove Fire department’s EMS is dedicated to increasing survival and reducing disability
from out-of-hospital emergencies in the Village by providing the highest quality patient care in
the pre-hospital setting. To accomplish this, EMS adheres to a philosophy of cooperative
decision-making and the development of innovative strategic initiatives that address the
demand for services and encourage system efficiencies. EMS is designed to enhance these
efforts, is developed through strong partnerships with other regional EMS agencies, and remains
in the forefront in the emergency medical field.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General
Personnel Wages 3,192,985 3,381,097 3,357,517 3,363,736 3,502,995 4.33%
Personnel Benefits 1,738,858 1,902,355 1,707,762 1,707,778 1,664,760 -2.52%
Operating
Expenses 243,460 173,201 191,572 211,786 212,756 11.06%
Commodities 1,739 8,486 9,120 8,832 8,950 1.86%
Repairs &
Maintenance 1540 6,297 5,280 4,740 2,000 -62.10%
Capital Outlay 179,646 996,519 81,000 - - -100.00%
Capital Reserve
Transfers - - 27,587 81,000 - -100.00%
Contractual
Services 4625 - - 12,900 11,250 100.00%
Internal Service
Transfers 530,014 496,942 388,581 389,982 295,696 -23.90%
Total Major
Service $5,892,867 $6,964,897 $5,768,419 $5,780,754 $5,698,407 -1.21%
Personnel Wages
62%
Personnel
Benefits
29%
Operating
Expenses
9%
Commodities
0%
Repairs &
maintenance
0%
Contractual
Services
0%
2018 EMS
Page 226 of 648
MAJOR SERVICE: SUPPRESSION
Suppression services are the most visible and familiar services of any fire department, but as time
goes on, suppression means more than putting water on fire, it means considering the needs of
the community as a whole.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General
Personnel Wages 2,115,531 2,254,064 2,238,345 2,242,491 2,335,330 4.33%
Personnel Benefits 1,158,236 1,268,236 1,138,508 1,138,519 1,175,907 3.28%
Operating
Expenses 159,003 115,467 99,511 144,074 39,350 -60.46%
Commodities 1,160 5,658 6,080 5,888 6,250 2.80%
Repairs &
Maintenance 627 4,198 3,520 3,160 6,800 93.18%
Capital Outlay 119,388 698,025 - - - 0.00%
Capital Reserve
Transfers - - 107,413 54,000 135,000 25.68%
Contractual
Services - - 9,246 8,600 4,000 -56.70%
Internal Service
Transfers 337,138 331,295 648,185 646,622 493,245 -23.90%
Total Major Service $3,891,083 $4,676,943 $4,250,808 $4,243,354 $4,195,882 -1.29%
Personnel Wages
56%
Personnel Benefits
28%
Operating
Expenses
13%
Commodities
0%
Repairs &
maintenance
0%
Capital Reserve
Transfers
3%
Contractual
Services
0%
2018 Suppression
Page 227 of 648
MAJOR SERVICE: SPECIAL RESCUE TEAMS
The Special Rescue Teams (SRT) of the Buffalo Grove Fire Department respond to many and
varied emergencies that strike residents of Buffalo Grove and surrounding communities. SRT
consists of Haz-Mat, Water Rescue, and Rescue response capabilities, while some personnel are
part of the State of Illinois Urban Search and Rescue Task Force (USAR).
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Act.
2018
Budget
% Change
FY17-FY18
Fund: General
Personnel Wages 375,112 382,767 390,579 398,550 406,684 4.12%
Personnel Benefits 210,934 215,238 219,631 224,113 228,687 4.12%
Operating Expenses 1,100 1,100 1,100 1,100 74,473 6670.30%
Commodities 6,980 6,980 6,980 6,980 6,980 0.00%
Repairs &
Maintenance 4,850 4,850 4,850 4,850 4,850 0.00%
Capital Outlay - - - - - 0.00%
Capital Reserve
Transfers - - - - - 0.00%
Contractual Services 5,000 5,000 5,000 5,000 5,000 0.00%
Internal Service
Transfers - - - - - 0.00%
Total Major Service $603,976 $615,935 $628,140 $640,593 $726,674 15.69%
Personnel
Wages
56%
Personnel
Benefits
31% Operating
Expenses
10%
Commodities
1%
Repairs &
maintenance
1%
Contractual
Services
1%
2018 SRT
Page 228 of 648
PROGRAM AREA : FIRE PREVENTION BURE AU
The Fire Prevention Bureau has the responsibility
and authority to enter, investigate, and perform
routine fire inspections of all buildings, structures,
and properties in the Village of Buffalo Grove with
the exception of owner-occupied residential
structures.
It is the responsibility of the Fire Prevention Bureau
to enforce the Illinois Life Safety Code,
International Fire Code, International Building
Code, local adopted codes, and amendments
and other local fire safety regulations. This
includes the inspection of all Life Hazard Use
Properties such as gas stations, schools, nursing homes, daycare facilities, auto repair/auto body
shops, places of assembly and large retail operations, and the inspection of all Non-Life Hazard
businesses, offices and multi-family residences and other structures.
The Fire Department continued its focus on public education, conducting an open house,
participating in Buffalo Grove Days and other Village wide events in 2017. In addition to these
large programs, the members of the Buffalo Grove Fire Department conducted school drills and
attended many block parties and special events throughout the year.
MAJOR SERVICES
Fire Inspections
Public Fire Education
PROGRAM CHANGES OF NOTE
For budget year 2018, the Fire Department is requesting funding to add a part-time Fire Inspector
position to the Fire Prevention Bureau. Ongoing demands of the full time building and zoning
personnel assigned part time to the Fire Prevention Bureau is resulting in fewer inspections being
completed, increased time for annual inspections and increased workload on the Fire
Prevention Bureau employee.
Page 229 of 648
MAJOR SERVICE: FIRE INSPECTIONS
It is the responsibility of the Fire Prevention Bureau to enforce the Illinois Life Safety Code,
International Fire Code, International Building Code, local adopted codes, and amendments
and other local fire safety regulations. This includes the inspection of all Life Hazard Use
Properties such as gas stations, schools, nursing homes, daycare facilities, auto repair/auto body
shops, places of assembly and large retail operations, and the inspection of all Non-Life Hazard
businesses, offices and multi-family residences and other structures.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General
Personnel Wages 84,688 86,417 88,180 89,980 112,912 28.05%
Personnel Benefits 25,745 26,271 26,807 27,353 42,614 58.97%
Operating Expenses 1,500 1,500 1,500 1,500 1,500 0.00%
Commodities 300 300 300 300 300 0.00%
Repairs &
Maintenance - - - - - 0.00%
Capital Outlay - - - - - 0.00%
Capital Reserve
Transfers - - - - - 0.00%
Contractual Services - - - - - 0.00%
Internal Service
Transfers - - - - 80,625 100.00%
Total Major Service $112,233 $114,488 $116,787 $119,133 $237,951 103.75%
Personnel Wages
47%
Personnel
Benefits
18%
Operating
Expenses
1%
Commodities
0%
Internal Service
Transfers
34%
2018 Fire Inspections
Page 230 of 648
MAJOR SERVICE: PUBLI C FIRE EDUCATION
The Fire Department continued its focus on public education, conducting an open house,
participating in Buffalo Grove Days and other Village wide events in 2017. In addition to these
large programs, the members of the Buffalo Grove Fire Department conducted school drills and
attended many block parties and special events throughout the year.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General Fund
Personnel Wages 23,553 24,033 24,524 25,024 25,535 4.12%
Personnel Benefits 2,207 2,252 2,298 2,345 2,393 4.13%%
Operating Expenses 5,920 5,920 5,920 5,920 5,920 0.00%
Commodities 1,000 1,000 1,000 1,000 1,000 0.00%
Repairs &
Maintenance - - - - - 0.00%
Capital Outlay - - - - - 0.00%
Capital Reserve
Transfers - - - - - 0.00%
Contractual Services - - - - - 0.00%
Internal Service
Transfers - - - - - 0.00%
Total Major Service $32,680 $33,205 $33,742 $34,289 $34,848 3.28%
Personnel Wages
73%
Personnel
Benefits
7%
Operating
Expenses
17%
Commodities
3%
2018 Public Fire Education
Page 231 of 648
PROGRAM AREA : EMERGENCY MANAGEMENT
The Village’s Emergency Management Agency (EMA) is
responsible for reducing the effects of disasters before they
occur, through mitigation planning and coordinating the
operations and response to a disaster, managing resources and
coordination of recovery efforts following a disaster as well as
providing public information.
In addition, a part of the EMA is the Village’s Emergency
Operations Center (EOC). Activated during large-scale
emergencies or special events, the EOC is a central location for
senior officials from village, state, and federal agencies and
relevant private entities to coordinate response efforts, make
decisions, and gather and disseminate information. The EOC is
also the central point for allocation and deployment of
resources to support response and recovery efforts, such as
vehicles, heavy equipment, fuel, and other emergency supplies.
MAJOR SERVICES
Emergency Management
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
Page 232 of 648
MAJOR SERVICE: EMERG ENCY MANAGEMENT
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: General
Personnel Wages 22,644 23,127 23,599 24,081 24,572 4.12%
Personnel Benefits 3,302 3,369 3,437 3,507 3,579 4.13%
Operating Expenses 1,850 1,850 1,850 1,850 1,850 0.00%
Commodities 3,000 3,000 3,000 3,000 3,000 0.00%
Repairs &
maintenance - - - - - 0.00%
Capital Outlay - - - - - 0.00%
Capital Reserve
Transfers - - - - - 0.00%
Contractual Services 17,700 17,700 17,700 17,700 17,700 0.00%
Internal Service
Transfers - - - - - 0.00%
Total Major Service $48,496 $49,046 $49,586 $50,138 $50,701 2.25%
Personnel Wages
48%
Personnel
Benefits
7%
Operating
Expenses
4%
Commodities
6%
Contractual
Services
35%
2018 Emergency Management
Page 233 of 648
PUBLIC WORKS DEPARTM ENT
The Public Works Department is divided into three functional areas of responsibility:
Administration, Engineering, and Operations. These areas function across three budgeted funds;
Operating, Enterprise and Internal Services. The Sections within the department are
Administration, Street, Forestry & Grounds, Drainage, Central Garage, Building Maintenance,
Engineering, Water, and Sewer. Only General Fund Programs are listed in this section, Enterprise
Fund programs can be found in Section 7 and Internal Service Fund programs can be found in
Section 8.
PROGRAM AREAS
Streets ...................................................................................................................................................... 243
Public Works Administration .................................................................................................................. 251
Forestry and Grounds .............................................................................................................................261
Drainage ..................................................................................................................................................268
Engineering ............................................................................................................................................. 275
Page 234 of 648
2018 PUBLIC WORKS DEPARTMENT STRUCTURE
Public Works
Administration
Operations
Maintenance
Building
Maintenance
(Sec 8: Internal Service
Fund)
Central Garage
(Sec 8: Internal Service
Fund)
Forestry
Streets
Utilities
Water
(Sec 7: Enterprise Fund)
Sewer
(Sec 7: Enterprise Fund)
Drainage
Engineering
Page 235 of 648
2018 PUBLIC WORKS STAFFING SUMMARY
The current approved staffing level for the department is 59. There are no additional proposed
positions for 2018. Part time staffing is proposed to reduce from 11 to 10, year over year.
Public Works/Engineering FY 2016 FY 2017 FY 2018
FT PT FT PT FT PT
Automotive Mechanic II 3 0 3 0 1 0
Automotive Mechanic III 1 0 1 0 3 0
Automotive Shop Assistant 0 1 0 1 0 1
Building Maintenance Supervisor 1 0 0 0 0 0
Building Maintenance Manager 0 0 1 0 1 0
Building Maintenance Worker 2 0 2 0 2 0
Building Maintenance Worker II – CL 1 0 1 0 1 0
Civil Engineer I 1 0 1 0 0 0
Civil Engineer II 1 0 1 0 2 0
Clerk II 0 1 0 0 0 0
Deputy Director of Public Works 1 0 1 0 1 0
Director of Public Works 1 0 1 0 1 0
Engineering Aide 0 1 0 2 0 2
Engineering Technician 1 0 1 0 1 0
Fleet Manager 1 0 1 0 1 0
Forestry and Grounds Supervisor 1 0 0 0 0 0
Forestry & Grounds Manager 0 0 1 0 1 0
Laborer – Seasonal 0 6 0 6 0 4
Laborer – Part Time 0 0 0 0 0 2
Maintenance Worker I 8 0 7 0 8 0
Maintenance Worker II 13 0 13 0 12 0
Maintenance Worker II – CL 6 0 6 0 5 0
Management Analyst 0 0 0 0 1 0
Superintendent of Maintenance 1 0 1 0 1 0
Seasonal Snow Plow Driver 0 1 0 1 0 1
Administrative Assistant 2 0 2 1 2 0
Sewer & Drainage Manager 1 0 1 0 1 0
Streets Manager 1 0 1 0 1 0
Superintendent of Utilities 1 0 1 0 1 0
Village Engineer 1 0 1 0 1 0
Water Manager 1 0 1 0 1 0
Total 50 9 49 11 49 10
Full & Part-Time Total 59 60 59
Page 236 of 648
2018 STAFF TIME BY FUNCTIONAL AREA
Functional Area Number of Employees
Percentage of Resource
Allocation Spent Per Functional
Area
Administrative Division 7.0 10.5%
Engineering Division 5.0 10.5%
Street Section 7.0 10.5%
Forestry & Grounds Section 11.0 29.8%
Drainage Section 2.0 3.5%
Water Section 8.0 14.0%
Sewer Section 4.0 7.0%
Building Maintenance Section 4.5 8.8%
Central Garage Section 5.5 10.5%
Page 237 of 648
2018 PUBLIC WORKS PROGRAM SUMMARY
Public Works
Administration
Budgeting
C.I.P.
Strategic
Planning
Technology
Regulatory
Compliance
Contract /
Project
Management
Administration
Community
Outreach
Streets
Street and Curb
Maintenance
Snow and Ice
Control
Roadway,
Signage, and
Striping
Service to Other
Divisions
Administration
Community
Outreah
Forestry and
Grounds
Tree Services
Property &
Parkway
Maintenance
Services to
Other Divisions
Administration
Community
Outreach
Drainage
Storm Sewer
Maintenance
Open Channel
Maintenance
Services to
Other Divisions
Administration
Community
Outreach
Engineering
Asset
Management
Developments
Project
Management
Services to
External
Agencies
Administration
Community
Outreach
Page 238 of 648
2018 PUBLIC WORKS PROGRAM BUDGET SUMMA RY
Public Works 2015
Actual
2016
Actual
2017
Budget 2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Public Works
Administration 475,041 356,241 453,178 447,678 1,217,459 168.65%
Streets 2,376,321 1,974,425 2,434,393 2,224,637 2,391,803 -1.75%
Forestry and
Grounds
1,951,554 1,714,533 2,027,761 1,867,027 1,956,665 -3.51%
Drainage 818,939 782,350 1,018,150 1,097,037 967,609 -4.96%
Engineering 688,976 732,181 800,154 758,482 760,732 -4.93%
Water 6,213,780 6,127,638 6,278,590 6,187,644 6,320,525 0.67%
Sanitary Sewer 3,824,800 3,911,640 5,381,094 5,905,696 5,406,824 0.48%
Central Garage 1,493,410 1,427,419 1,756,782 1,543,104 1,652,632 -5.93%
Building
Maintenance
1,374,531 1,171,348 1,462,984 1,542,568 1,577,570 7.83%
Total $19,217,352 $18,197,775 $21,613,086 $21,573,873 $22,251,819 2.95%
Public Works
Administration
6%
Streets
11%
Forestry and
Grounds
9%
Drainage
4%
Engineering
3%
Water
28%
Sanitary Sewer
24%
Central
Garage
8%
Building
Maintenance
7%
Program Budget Summary
Page 239 of 648
2018 PUBLIC WORKS COST TYPE SUMMARY
Public Works 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Personnel
Wages 4,234,486 4,141,220 4,556,472 4,399,554 4,865,358 6.78%
Personnel
Benefits 3,304,707 2,238,747 2,333,132 2,251,259 2,519,463 7.99%
Operating
Expenses 1,289,886 2,416,900 132,298 167,571 159,308 20.42%
Commodities 5,172,581 5,289,298 5,960,161 6,428,866 6,059,436 1.67%
Repairs and
Maintenance 1,680,574 1,191,907 2,045,025 1,770,087 1,935,775 -5.34%
Capital Outlay 2,601,966 1,244,126 3,793,149 3,842,549 3,869,144 2.00%
Reserve
Transfers 33,637 4,375 572,490 572,490 579,965 1.31%
Contractual
Services 265,781 255,274 592,012 513,152 707,243 19.46%
Internal Services 1,351,243 1,408,772 1,628,343 1,628,342 1,554,565 -4.53%
Total $19,934,861 $18,190,619 $21,613,082 $21,573,870 $22,250,257 2.95%
Personnel
Wages
22%
Personnel
Benefits
11%
Operating
Expenses
1% Commodities
27%
Repairs and
Maintenance
9%
Capital Outlay
17%
Reserve Transfers
3%
Contractual
Services
3% Internal
Services
7%
Cost Type Summary
Page 240 of 648
PUBLIC WORKS DEPARTMENT VARIANCES
Public Works
Department
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18 Comments
Wages 4,556,472 4,399,554 4,865,358 6.78%
$99,000 - Salary
Adjustments, 88,000 in Merit
Increases, $62,000
Understated in 2017
Central garage Budget for
PW Admin $$, $44,000 in
Position Adjustments (AA &
MWI-PT), $21,000 Increase
in Overtime.
Benefits 2,333,132 2,251,259 2,519,463 7.99% Commensurate to salary
adjustments.
Operating
Expenses 132,298 167,571 159,308 20.42%
$10,000 Parkway
Restoration Materials.,
Approx $2,000 ea. in other
Sections.
Contractual
Services 592,012 513,152 707,243 19.46%
$40,000 Striping, $25,000
Forestry Mowing, $14,000
Roof Evaluations(transfer
from R&M) & $ 30,000 in Fire
& Safety Services (Transfer
from R&M).
Page 241 of 648
STRATEGIC PLANNING
The Village Board directed staff to update the 2013-2018 Plan
through the development of revised strategic planning priorities.
The updated plan is comprised of five overarching Strategic
Planning Priorities based on feedback received from employees,
senior staff, and the Village Board. These priorities direct the
development of the annual budget and guide the Village’s work
throughout program areas. The five overarching Strategic
Planning Priorities are as follows: Service Optimization, Financial
Stability, Collaboration, Economic Development, and
Infrastructure Sustainability. Each department has unique
strategic goals, initiatives, and action steps however, they may
not have them in each priority. All goals were identified as near,
mid, or long term. Only the near term goals affecting this budget are listed.
COLLABORATION
Action Step Strategic Initiative Budget Program Priority
Outreach for Road Projects Citizen Engagement Engineering High
FINANCIAL STABILITY
Action Step Strategic Initiative Budget Program Priority
Complete Water Rate Study Revenue Diversification PW Admin. Medium
Page 242 of 648
PROGRAM AREA: STREET
This Section provides for the maintenance of
118 centerline miles of street and
approximately 236 miles of curb and gutter
to ensure that they are clean, safe, and
structurally sound for vehicle use. Major
tasks of this Section include street and curb
maintenance, snow and ice control,
roadway signage and striping, service to
other divisions, administration, and
community outreach.
MAJOR SERVICES
Street and Curb Maintenance
Snow and Ice Control
Roadway, Signage, and Striping
Services to Internal Village Departments
Administration
Community Outreach
PROGRAM CHANGES OF NOTE
Personnel costs such as salary, benefits and related items for the Deputy Director, Maintenance
& Utilities Superintendent, Management Analyst and Administrative Assistant have been moved
to the Department’s Administrative budget.
Page 243 of 648
KEY PERFORMANCE MEASURES
Street and Curb Maintenance Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Street sweeping (Miles) 3,200 2,489 3,525 2,877 3,000
Pot hole repairs (Tons) 60 67 65 69 68
Snow and Ice Control Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Length of time to clear roads following
a snow event. (hours) 8 8 8 8 8
Tons of road salt per inch of snow 40 33 70 57 35
Roadway, Signage, Striping Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Street signs replaced annually (count) 150 280 64 49 131
Striping Annually (Miles) 20 24 31 10 12
Services to Internal Village Departments Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Signage for other VBG Departments
(count) 10,000 2,431 5,535 23,146 10,370
Streets plowed in other communities
(Miles) 12 12 12 12 12
Community Outreach Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Banners Printed Annually (count) 60 54 74 52 60
BG days (hours) 800 712.25 920 800 810
Administration Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Necessary section administrative work
(VCS, New World, Cartegraph, Neo-
Gov, Meetings & Committees) hours
1,200 705 950 1,090 1,200
Departmental safety & training (hours) 720 852 789 618 750
Page 244 of 648
MAJOR SERVICE: STREET AND CURB MAIN TENANCE
The Street Section sweeps all Village streets on a regular basis. The streets are swept once a
month during the spring, summer and fall season. During the winter season the streets are swept
as weather permits. Public Works staff also does general maintenance on the sweeper
equipment and some repairs. On average staff sweeps 3,200 miles of road a year and
maintains 120.7 center lane miles. During the winter season, the 120.7 center lane miles are
maintained with UPM cold patch, this product is used to fill in pot holes created during the winter
season. Likewise, the Village uses on average 60 tons of cold patch a year. During the spring,
summer and fall asphalt hot mix is used to make permanent repairs to areas of the roadway that
are in need of repair. Concrete and mortar are utilized to repair curbs where needed. These
repairs are temporarily patched with mortar and permanently repaired with concrete. During
and after all these unique tasks, all equipment is repaired and maintained as needed.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 181,759 119,426 186,438 168,939 161,892 -13.17%
Personnel Benefits 74,630 90,266 86,554 78,691 83,439 -3.60%
Operating Expenses 1,621 1,937 2,172 3,173 2,369 9.07%
Commodities 52,902 47,322 78,915 79,675 79,433 0.66%
Repairs & Maintenance 113,842 50,648 105,163 83,975 117,888 12.10%
Capital Outlay 101,084 78,746 150 - 150 0.00%
Reserve Transfers - - 19,842 19,842 19,842 0.00%
Contractual Services 19,546 (5,211) 25,000 17,500 36,250 45.00%
Internal Service Transfers 48,696 110,473 104,365 104,365 96,689 -7.35%
Total Street & Curb
Maintenance $594,080 $493,607 $608,599 $556,160 $597,952 -1.75%
Personnel
Wages
27%
Personnel
Benefits
14%
Operating
Expenses
1%
Commodities
13%
Repairs &
maintenance
20%
Capital
Outlay
0%
Reserve
Transfers
3%
Contractual
Services
6% Internal
Service
Transfers
16%
2018 Street and Curb Maintenance
Page 245 of 648
MAJOR SERVICE: SNOW AND ICE CONTROL
Staff prepares the snow & ice program year round. In the summer months, village staff reviews
the program, conducts round table meetings, and makes adjustments with the routes as
needed. In the fall, all equipment including plow trucks, sidewalk plow units, snow blowers, and
shovels are prepared. During the fall, each driver participates in a comprehensive training
program, which reviews all of the recent plan changes. Public Works staff regularly meets the
benchmark goal of having all streets cleared eight hours after any snowfall. Through the review
process, efficiencies have been identified which reduced snow removal cost to $12.78 per inch/
mile and have reduced tons of salt per inch of snow down to 35 tons by using more liquids. The
inclusion of a liquid program is a key aspect of the snow & ice program. In the spring, staff
makes all repairs and adjustments needed to equipment and review the past years snow events
to determine what will be improved upon.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 181,759 119,426 186,438 168,939 161,892 -13.17%
Personnel Benefits 74,630 90,266 86,554 78,691 83,439 -3.60%
Operating Expenses 1,621 1,937 2,172 3,173 2,369 9.07%
Commodities 52,902 47,322 78,915 79,675 79,433 0.66%
Repairs & Maintenance 113,842 50,648 105,163 83,975 117,888 12.10%
Capital Outlay 101,084 78,746 150 - 150 0.00%
Reserve Transfers - - 19,842 19,842 19,842 0.00%
Contractual Services 19,546 (5,211) 25,000 17,500 36,250 45.00%
Internal Service Transfers 48,696 110,473 104,365 104,365 96,689 -7.35%
Total Snow and Ice Control $594,080 $493,607 $608,599 $556,160 $597,952 -1.75%
Personnel Wages
27%
Personnel
Benefits
14%
Operating
Expenses
1%
Commodities
13%
Repairs &
Maintenance
20%
Capital Outlay
0%
Reserve Transfers
3%
Contractual
Services
6%
Internal Service
Transfers
16%
2018 Snow and Ice Control
Page 246 of 648
MAJOR SERVICE: ROADWAY, SIGNAGE, AN D STRIPING
The Village established a sign program in 1990 and has been expanding the offering of services
ever since. The Public Works Department has updated software programs on an as needed
basis and has purchased state of the art printers, the department to comply with all governing
codes for uniform traffic control devices. The Village’s striping program has been in operation as
long as the sign program. Currently, the department stripes all Village owned roads, striping stop
bars, crosswalks, edge lines, double yellow lines and turn lanes. Both of these programs are in
transition and are taking measures to update and/or adjust the programs as needed. The
estimated 2018 performance indicators reflect this transition due to the sign program’s full
change to an upgraded system.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 181,759 119,426 186,438 168,939 161,892 -13.17%
Personnel Benefits 74,630 90,266 86,554 78,691 83,439 -3.60%
Operating Expenses 1,621 1,937 2,172 3,173 2,369 9.07%
Commodities 52,902 47,322 78,915 79,675 79,433 0.66%
Repairs & Maintenance 113,842 50,648 105,163 83,975 117,888 12.10%
Capital Outlay 101,084 78,746 150 - 150 0.00%
Reserve Transfers - - 19,842 19,842 19,842 0.00%
Contractual Services 19,546 (5,211) 25,000 17,500 36,250 45.00%
Internal Service Transfers 48,696 110,473 104,365 104,365 96,689 -7.35%
Total Roadway, Signage,
and Striping $594,080 $493,607 $608,599 $556,160 $597,952 -1.75%
Personnel
Wages
27%
Personnel
Benefits
14%
Operating
Expenses
1%
Commodities
13%
Repairs &
maintenance
20% Capital Outlay
0%
Reserve
Transfers
3%
Contractual
Services
6%
Internal Service
Transfers
16%
2018 Roadway, Signage & Striping
Page 247 of 648
MAJOR SERVICE: SERVICES TO INTERNAL VILLAGE DEP ARTMENTS
Over the last several years, the amount of requests for singe form internal village departments
and the Buffalo Grove Park District have increase consistently. In 2017, 23,146 signs, banners,
and stickers were produced, the most in a single year. The Village of Buffalo Grove has a several
agreements with outside agencies to provide services such as to plow and/or maintain roads as
well as provide signage.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 36,352 23,885 37,288 33,788 32,378 -13.17%
Personnel Benefits 14,926 18,053 17,311 15,738 16,688 -3.60%
Operating Expenses 324 387 434 635 474 9.22%
Commodities 10,580 9,464 15,783 15,935 15,887 0.66%
Repairs & Maintenance 22,768 10,130 21,033 16,795 23,578 12.10%
Capital Outlay 20,217 15,749 30 - 30 0.00%
Reserve Transfers - - 3,968 3,968 3,968 0.00%
Contractual Services 3,909 (1,042) 5,000 3,500 7,250 45.00%
Internal Service Transfers 9,739 22,095 20,873 20,873 19,338 -7.35%
Total Services to Internal
Village Departments $118,815 $98,721 $121,720 $111,232 $119,591 -1.75%
Personnel
Wages
27%
Personnel
Benefits
14%
Operating
Expenses
1%
Commodities
13%
Repairs &
Maintenance
20%
Capital Outlay
0%
Reserve
Transfers
3%
Contractual
Services
6%
Internal Service
Transfers
16%
2018 Service to Internal Village Departments
Page 248 of 648
MAJOR SERVICE: ADMINISTRATION
The addition of several new software solutions has increased the number administrative services
are performed in the department. The planning and data entry components of these processes
are vital to keeping these programs running effectively. The department trains on a weekly,
monthly, and annual basis to maintain the integrity of these processes and increase safety.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 109,053 71,656 111,860 101,364 97,136 -13.16%
Personnel Benefits 44,778 54,160 51,933 47,214 50,063 -3.60%
Operating Expenses 976 1,165 1,304 1,900 1,419 8.82%
Commodities 31,741 28,394 47,349 47,805 47,657 0.65%
Repairs & Maintenance 68,308 30,386 63,095 50,385 70,730 12.10%
Capital Outlay 60,652 47,246 90 - 90 0.00%
Reserve Transfers - - 11,906 11,906 11,906 0.00%
Contractual Services 11,726 (3,126) 15,000 10,500 21,750 45.00%
Internal Service Transfers 29,217 66,281 62,619 62,619 58,014 -7.35%
Total Administration $356,451 $296,162 $365,156 $333,693 $358,765 -1.75%
Personnel
Wages
27%
Personnel
Benefits
14%
Operating
Expenses
1%
Commodities
13% Repairs &
Maintenance
20%
Capital Outlay
0%
Reserve
Transfers
3%
Contractual
Services
6%
Internal Service
Transfers
16%
2018 Administration
Page 249 of 648
MAJOR SERVICE: COMMUNITY OUTR EACH
The Village has had several festivals that the department works on either directly or indirectly
making signs, banners and stickers for these events as well as install ing, posting, or delivering
materials. Buffalo Grove Days is the largest investment of time, equipment, and material. The
Public Works Department dedicates over 800 person-hours for BG Days activities. Other events
include, Farmer’s Market, Fire Department Open House, July 4 th Fireworks, Electronics Recycling
Events, Green Fair, and July 4th Rotary Concerts.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 36,352 23,885 37,288 33,788 32,378 -13.17%
Personnel Benefits 14,926 18,053 17,311 15,738 16,688 -3.60%
Operating Expenses 324 387 434 635 474 9.22%
Commodities 10,580 9,464 15,783 15,935 15,887 0.66%
Repairs & Maintenance 22,768 10,130 21,033 16,795 23,578 12.10%
Capital Outlay 20,217 15,749 30 - 30 0.00%
Reserve Transfers - - 3,968 3,968 3,968 0.00%
Contractual Services 3,909 (1,042) 5,000 3,500 7,250 45.00%
Internal Service Transfers 9,739 22,095 20,873 20,873 19,338 -7.35%
Total Community Outreach $118,815 $98,721 $121,720 $111,232 $119,591 -1.75%
Personnel
Wages
27%
Personnel
Benefits
14%
Operating
Expenses
1%
Commodities
13%
Repairs &
Maintenance
20%
Capital Outlay
0%
Reserve
Transfers
3%
Contractual
Services
6%
Internal Service
Transfers
16%
2018 Community Outreach
Page 250 of 648
PROGRAM AREA : ADMINISTRATION
Public Works Administration develops and
oversees effective Public Works service
delivery programs and policies. Strategic
and long range planning of departmental
service programs, capital improvement
planning, project management and
programming and certain special projects,
such as new computer application
development, are also provided through
administration.
MAJOR SERVICES
Budgeting
Capital Improvement Plan
Strategic Planning
Technology
Regulatory Compliance
Contract/Project Administration
Administration
Community Outreach
PROGRAM CHANGES OF NOTE
Personnel costs such as salary, benefits and related items for the Deputy Director, Maintenance
& Utilities Superintendent, Management Analyst and Administrative Assistant have been moved
to the Department’s Administrative budget.
Page 251 of 648
KEY PERFORMANCE MEASURES
Budgeting Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Hours dedicated to budgeting 100 165 137 137 576
Capital Improvement Plan Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Hours dedicated to the development of
the Capital Improvement Plan 125 151 126 126 530
Strategic Planning Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Hours dedicated to achieving and
developing strategic planning actions 300 362 301 301 1,269
Page 252 of 648
MAJOR SERVICE : BUDGETING
This major Service area includes annual budget development and administration.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 15,884 11,020 12,380 12,380 39,295 217.41%
Personnel Benefits 6,029 4,341 5,883 5,683 16,664 183.26%
Operating Expenses 377 298 465 390 480 3.23%
Commodities - - - - - -
Repairs & Maintenance 2 - 100 100 100 0.00%
Capital Outlay 38 - 690 690 690 0.00%
Reserve Transfers 0 - 229 229 229 0.00%
Contractual Services 90 - - - - -
Internal Service Transfers 1,333 2,153 2,912 2,912 3,415 17.27%
Total Budgeting $23,753 $17,812 $22,659 $22,384 $60,873 168.65%
Personnel
Wages
65%
Personnel
Benefits
27%
Operating
Expenses
1%
Repairs &
Maintenance
0%
Capital Outlay
1%
Reserve
Transfers
0%
Internal Service
Transfers
6%
2018 Budgeting
Page 253 of 648
MAJOR SERVICE : CAPITAL IMPROVEMENT PLAN
This major service includes long-range capital planning for all Village facilities, equipment, and
infrastructure. Additionally, the annual Capital Improvement Plan is prepared and presented for
Village Board approval.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 12,707 8,816 9,904 9,904 31,436 217.41%
Personnel Benefits 4,823 3,473 4,707 4,547 13,331 183.22%
Operating Expenses 301 238 372 312 384 3.23%
Commodities - - - - - -
Repairs & Maintenance 2 - 80 80 80 0.00%
Capital Outlay 31 - 552 552 552 0.00%
Reserve Transfers - - 183 183 183 0.00%
Contractual Services 72 - - - - -
Internal Service Transfers 1,066 1,723 2,330 2,330 2,732 17.25%
Total Capital Improvement
Plan $19,002 $14,250 $18,128 $17,908 $48,698 168.63%
Personnel Wages
65%
Personnel
Benefits
27%
Operating
Expenses
1%
Repairs &
Maintenance
0%
Capital Outlay
1%
Reserve Transfers
0%
Internal Service
Transfers
6%
2018 Capital Improvement Plan
Page 254 of 648
MAJOR SERVICE : STRATEGIC PLANNING
This major service includes ongoing participation in the strategic planning process and
implementation of the identified strategic priorities.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 31,768 22,039 24,759 24,759 78,591 217.42%
Personnel Benefits 12,058 8,682 11,766 11,366 33,328 183.26%
Operating Expenses 753 596 930 780 960 3.23%
Commodities - - - - - -
Repairs & Maintenance 5 - 200 200 200 0.00%
Capital Outlay 76 - 1,380 1,380 1,380 0.00%
Reserve Transfers - - 458 458 458 0.00%
Contractual Services 179 - - - - -
Internal Service Transfers 2,665 4,306 5,824 5,824 6,829 17.26%
Total Strategic Planning $47,504 $35,623 $45,317 $44,767 $121,746 168.65%
Personnel
Wages
65%
Personnel
Benefits
27%
Operating
Expenses
1%
Repairs &
Maintenance
0%
Capital Outlay
1%
Reserve
Transfers
0%
Internal Service
Transfers
6%
2018 Strategic Planning
Page 255 of 648
MAJOR SERVICE : TECHNOLOGY
This major service includes the effort required to manage the department’s growing technology
assets. Included in this group is Cartegraph Asset Management, Laserfische, GPS vehicle
tracking, SCADA, and GIS integration.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 54,005 37,467 42,090 42,090 133,604 217.42%
Personnel Benefits 20,498 14,760 20,003 19,323 56,658 183.25%
Operating Expenses 1,281 1,013 1,581 1,326 1,632 3.23%
Commodities - - - - - -
Repairs & Maintenance 8 - 340 340 340 0.00%
Capital Outlay 130 - 2,346 2,346 2,346 0.00%
Reserve Transfers - - 779 779 779 0.00%
Contractual Services 305 - - - - -
Internal Service Transfers 4,531 7,321 9,901 9,901 11,609 17.25%
Total Technology $80,758 $60,561 $77,040 $76,105 $206,968 168.65%
Personnel
Wages
65%
Personnel
Benefits
27%
Operating
Expenses
1%
Repairs &
Maintenance
0%
Capital Outlay
1% Reserve
Transfers
0%
Internal Service
Transfers
6%
2018 Technology
Page 256 of 648
MAJOR SERVICE : REGULATORY COMPLIANCE
This major service includes the effort required to achieve and maintain regulatory compliance at
the department level. Included is MWRD sanitary sewer compliance, IEPA sewer & water
compliance and NPDES stormwater compliance.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 31,768 22,039 24,759 24,759 78,591 217.42%
Personnel Benefits 12,058 8,682 11,766 11,366 33,328 183.26%
Operating Expenses 753 596 930 780 960 3.23%
Commodities - - - - - -
Repairs & Maintenance 5 - 200 200 200 0.00%
Capital Outlay 76 - 1,380 1,380 1,380 0.00%
Reserve Transfers 0 - 458 458 458 0.00%
Contractual Services 179 - - - - -
Internal Service Transfers 2,665 4,306 5,824 5,824 6,829 17.26%
Total Regulatory
Compliance $47,504 $35,623 $45,317 $44,767 $121,746 168.65%
Personnel
Wages
65%
Personnel
Benefits
27%
Operating
Expenses
1%
Repairs &
Maintenance
0%
Capital Outlay
1%
Reserve
Transfers
0%
Internal Service
Transfers
6%
2018 Regulatory Compliance
Page 257 of 648
MAJOR SERVICE : CONTRACT/PROJECT MANAGEMENT
This major service includes the effort required to oversee annual capital improvement projects as
well as special projects as identified throughout the year. These projects include any activities
that are overseen by any personnel other than the Building Maintenance Supervisor. Projects
include lift station replacement, Buffalo Grove Golf Course Restaurant remodeling, roof
replacements projects and various facility-remodeling projects.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 25,414 17,631 19,807 19,807 62,873 217.43%
Personnel Benefits 9,646 6,946 9,413 9,093 26,662 183.25%
Operating Expenses 603 477 744 624 768 3.23%
Commodities - - - - - -
Repairs & Maintenance 4 - 160 160 160 0.00%
Capital Outlay 61 - 1,104 1,104 1,104 0.00%
Reserve Transfers - - 366 366 366 0.00%
Contractual Services 143 - - - - -
Internal Service Transfers 2,132 3,445 4,660 4,660 5,463 17.23%
Total Contract/Project
Management $38,003 $28,499 $36,254 $35,814 $97,396 168.65%
Personnel
Wages
65%
Personnel
Benefits
27%
Operating
Expenses
1%
Repairs &
Maintenance
0%
Capital Outlay
1%
Reserve
Transfers
0%
Internal Service
Transfers
6%
2018 Contract/Project Management
Page 258 of 648
MAJOR SERVICE : ADMINISTRATION
This major service includes the effort required for the overall administrative functions for the
department. Examples would include purchase order processing, credit card processing, filing,
customer service, various Village related committee participation and Human Resource related
activities.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 111,186 77,138 86,657 86,657 275,069 217.42%
Personnel Benefits 42,202 30,388 41,182 39,782 116,648 183.25%
Operating Expenses 2,636 2,088 3,255 2,730 3,360 3.23%
Commodities - - - - - -
Repairs & Maintenance 15 - 700 700 700 0.00%
Capital Outlay 268 - 4,830 4,830 4,830 0.00%
Reserve Transfers - - 1,603 1,603 1,603 0.00%
Contractual Services 628 - - - - -
Internal Service Transfers 9,327 15,072 20,386 20,386 23,901 17.24%
Total Administration $166,262 $124,686 $158,613 $156,688 $426,111 168.65%
Personnel Wages
65%
Personnel
Benefits
27%
Operating
Expenses
1%
Repairs &
Maintenance
0%
Capital Outlay
1%
Reserve Transfers
0%
Internal Service
Transfers
6%
2018 Administration
Page 259 of 648
MAJOR SERVICE : COMMUNITY OUTREACH
This major service includes the activities related to the responding to request from citizens. These
responses include not only Freedom of Information Act requests, but also all requests for service
through BG Connect and Cartegraph.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 34,944 24,243 27,235 27,235 86,450 217.42%
Personnel Benefits 13,264 9,551 12,943 12,503 36,661 183.25%
Operating Expenses 829 656 1,023 858 1,056 3.23%
Commodities - - - - - -
Repairs & Maintenance 5 - 220 220 220 0.00%
Capital Outlay 84 - 1,518 1,518 1,518 0.00%
Capital Reserve Transfers - - 504 504 504 0.00%
Contractual Services 197 - - - - -
Internal Service Transfers 2,932 4,737 6,407 6,407 7,512 17.25%
Total Community Outreach $52,255 $39,187 $49,850 $49,245 $133,921 168.65%
Personnel Wages
65%
Personnel Benefits
27%
Operating
Expenses
1%
Repairs &
Maintenance
0%
Capital Outlay
1%
Capital Reserve
Transfers
0%
Internal Service
Transfers
6%
2018 Community Outreach
Page 260 of 648
PROGRAM AREA : FORESTRY & GROUNDS
The Forestry and Grounds Section provides
for the maintenance and care of 20,185
parkway trees and 151 acres of public
property, which includes 74-landscaped
roadway medians, 39 retention and
detention basins. Major tasks of this Section
include tree services, property and parkway
maintenance, service to other divisions,
administration, and community outreach.
MAJOR SERVICES
Tree Services
Property and Parkway Maintenance
Service to Other Divisions
Administration
Community Outreach
PROGRAM CHANGES OF NOTE
Personnel costs such as salary, benefits and related items for the Deputy Director, Maintenance
& Utilities Superintendent, Management Analyst and Administrative Assistant have been moved
to the Department’s Administrative budget.
Page 261 of 648
KEY PERFORMANCE MEASURES
Tree Services Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Cycle Tree Trimming Program (each) 4,350 2,328 2,145 4,650 4,500
Tree Removals (each) 200 1,063 347 361 200
Tree Replacement (each) 200 3,300 2,094 156 200
Property and Parkway Maintenance Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Parkway Restoration (square feet) 43,828 28,006 51,012 52,466 51,739
Natural Area Maintenance (hours) 393 91.5 333 755 900
Landscape Maintenance (hours) 836 397 1,039 1,072 1,056
Service to Other Divisions Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Snow and Ice Control (hours) 1320 1,997 1,835 642 1,492
Golf Course Tree Maintenance (hours) 445.5 N/A 304 586 445
Administration Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Supervision, New World, VCS,
Cartegraph, NeoGov, Accreditation,
Research (hours)
1,701 2,022 1,380 1,380 1,594
Training, Meetings, Committees (hours) 928 954 1,036 819 937
Community Outreach Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Holiday Lights (hours) 235 278 268 191 246
BG Days (hours) 445 530 360 360 417
Arbor Day (hours) 30 25 32 32 30
Page 262 of 648
MAJOR SERVICE: TREE SERVICE S
Forestry and Grounds staff maintains 21,710 trees throughout the Village. To achieve a goal of a
five-year cycle trimming program; staff must trim 4,350 trees annually. Trees will be removed
annually as they decline due to environmental factors and storm related events. After trees are
removed, they are replaced with a diverse selection of trees to maintain a sustainable urban
forest.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 323,904 336,227 355,855 317,181 344,235 -3.27%
Personnel Benefits 138,059 165,084 167,582 162,695 168,760 0.70%
Operating Expenses 4,604 11,268 4,414 11,040 8,220 86.23%
Commodities 624 1,932 5,060 5,282 5,080 0.40%
Repairs & Maintenance - (17,760) 40,840 32,460 40,860 0.05%
Capital Outlay 119,823 141 - - - -
Reserve Transfers 13,455 - 28,338 28,338 28,338 0.00%
Contractual Services 43,174 72,549 79,200 60,000 89,200 12.63%
Internal Service Transfers 136,979 116,372 129,815 129,815 97,973 -24.53%
Total Tree Services $780,622 $685,813 $811,104 $746,811 $782,666 -3.51%
Personnel
Wages
44%
Personnel
Benefits
22%
Operating
Expenses
1%
Commodities
1%
Repairs &
Maintenance
5%
Reserve Transfers
4%
Contractual
Services
11%
Internal Service
Transfers
12%
2018 Tree Services
Page 263 of 648
MAJOR SERVICE: PAR KWAY AND PROPERTY MA INTENANCE
Various restorations are performed on Village parkways and maintained properties due to utility
repairs and snow and ice control operations. Continued maintenance is important to properly
manage the 170 acres of natural areas in the Village. Exotic, invasive plant species are
controlled with the use of mechanical and chemical operations. Many of these natural areas
are contiguous with the eleven miles of creek banks through the Village. There are 155 acres of
Village owned properties and maintained areas including rights of way that include various
tasks: mowing, fertilizing, weed control, mulching beds, trimming bushes, planting flowers and
watering.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 242,928 252,170 266,891 237,886 258,176 -3.27%
Personnel Benefits 103,545 123,813 125,687 122,021 126,570 0.70%
Operating Expenses 3,453 8,451 3,311 8,280 6,165 86.20%
Commodities 468 1,449 3,795 3,962 3,810 0.40%
Repairs & Maintenance - (13,320) 30,630 24,345 30,645 0.05%
Capital Outlay 89,867 106 - - - -
Reserve Transfers 10,091 - 21,254 21,254 21,254 0.00%
Contractual Services 32,380 54,412 59,400 45,000 66,900 12.63%
Internal Service Transfers 102,734 87,279 97,361 97,361 73,480 -24.53%
Total Parkway & Property
Maintenance $585,466 $514,360 $608,329 $560,109 $587,000 -3.51%
Personnel Wages
44%
Personnel Benefits
22% Operating
Expenses
1%
Commodities
1%
Repairs &
Maintenance
5%
Reserve Transfers
4%
Contractual
Services
11%
Internal
Service
Transfers
12%
2018 Parkway & Property Maintenance
Page 264 of 648
MAJOR SERVICE: SERVICE TO OTH ER DIVISIONS
This service includes any additional support provided from Forestry and Grounds operations to
other divisions; this support include snow and ice control and tree maintenance on both Village
golf courses.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 80,976 84,057 88,964 79,295 86,059 -3.27%
Personnel Benefits 34,515 41,271 41,896 40,674 42,190 0.70%
Operating Expenses 1,151 2,817 1,104 2,760 2,055 86.14%
Commodities 156 483 1,265 1,321 1,270 0.40%
Repairs & Maintenance - (4,440) 10,210 8,115 10,215 0.05%
Capital Outlay 29,956 35 - - - -
Reserve Transfers 3,364 - 7,085 7,085 7,085 0.00%
Contractual Services 10,793 18,137 19,800 15,000 22,300 12.63%
Internal Service Transfers 34,245 29,093 32,454 32,454 24,493 -24.53%
Total Service to Other
Divisions $195,156 $171,453 $202,778 $186,704 $195,667 -3.51%
Personnel
Wages
44%
Personnel
Benefits
22% Operating
Expenses
1%
Commodities
1%
Reserve
Transfers
4%
Contractual
Services
11%
Internal Service
Transfers
12%
2018 Service to Other Divisions
Page 265 of 648
MAJOR SERVI CE: ADMINISTRATION
In the Administration process, many hours are required to manage staff and prepare daily
Forestry operations. Various software programs track staff hours, work productivity, employee
performance, and purchasing / invoicing and continued APWA reaccreditation efforts. All other
general supervisory time includes purchase order processing, accident investigations, safety
training, human resource issues, reviewing plans for pre-construction and post-construction
projects, along with training and education hours.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 121,464 126,085 133,446 118,943 129,088 -3.27
Personnel Benefits 51,772 61,906 62,842 61,010 63,285 0.70%
Operating Expenses 1,727 4,225 1,655 4,140 3,082 86.28%
Commodities 234 725 1,897 1,980 1,905 0.37%
Repairs & Maintenance - (6,659) 15,315 12,172 15,322 0.05%
Capital Outlay 44,933 53 - - - -
Reserve Transfers 5,045 - 10,626 10,626 10,626 0.00%
Contractual Services 16,190 27,207 29,700 22,500 33,450 12.63%
Internal Service Transfers 51,367 43,639 48,680 48,680 36,740 -24.53%
Total Administration $292,732 $257,181 $304,161 $280,051 $293,498 -3.51%
Personnel
Wages
44%
Personnel
Benefits
22%
Operating
Expenses
1%
Commodities
1%
Repairs &
Maintenance
5%
Reserve
Transfers
4%
Contractual
Services
11%
Internal Service
Transfers
12%
2018 Administration
Page 266 of 648
MAJOR SERVICE: COMMUNITY OUTREACH
Holiday Lighting, Arbor Day, and BG Days are three annual projects that some or all Forestry
staff. The Holiday Lighting project begins in October with set-up to be ready to light by
Thanksgiving every year. The removal of lights takes place after the second week in January
and take a couple of months to finish, weather permitting. Every year the Forestry and Grounds
section celebrates Arbor Day by passing out sapling trees to every third grade class in all
elementary schools in Buffalo Grove. BG Days takes place once a year and three Forestry staff
members are dedicated for three weeks during the set up and take down of this event.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 40,488 42,028 44,482 39,648 43,029 -3.27%
Personnel Benefits 17,257 20,635 20,948 20,337 21,095 0.70%
Operating Expenses 576 1,408 552 1,380 1,028 86.23%
Commodities 78 242 633 660 635 0.32%
Repairs & Maintenance - (2,220) 5,105 4,058 5,108 0.06%
Capital Outlay 14,978 18 - - - -
Reserve Transfers 1,682 - 3,542 3,542 3,542 0.00%
Contractual Services 5,397 9,069 9,900 7,500 11,150 12.63%
Internal Service Transfers 17,122 14,546 16,227 16,227 12,247 -24.53%
Total Community Outreach $97,578 $85,726 $101,389 $93,352 $97,834 -3.51%
Personnel Wages
44%
Personnel
Benefits
22%
Operating
Expenses
1%
Commodities
1%
Repairs &
Maintenance
5%
Reserve Transfers
4%
Contractual
Services
11%
Internal Service
Transfers
12%
2018 Community Outreach
Page 267 of 648
PROGRAM AREA : DRAINAGE
This Section provides for the preventive
maintenance of the Village storm sewer and
drainage system in accordance with
guidelines established by the Illinois
Environmental Protection Agency (IEPA), the
Lake County Stormwater Management
Commission (LCSMC) and the Metropolitan
Water Reclamation District of Greater
Chicago (MWRDGC). The system is
comprised of 39 retention/detention basins
(81 acres), 11.3 miles of stream/creeks, 189
miles of storm sewer, approximately 10,000
structures, 1 stormwater lift station. Major
tasks of this Section include storm sewer
maintenance, open channel maintenance,
service to other divisions, administration and
community outreach.
MAJOR SERVICES
Storm Sewer Maintenance
Open Channel Maintenance
Service to Other Divisions
Administration
Community Outreach
PROGRAM CHANGES OF NOTE
Personnel costs such as salary, benefits and related items for the Deputy Director, Maintenance
& Utilities Superintendent, Management Analyst and Administrative Assistant have been moved
to the Department’s Administrative budget.
Page 268 of 648
KEY PERFORMANCE MEASURES
Storm Sewer Maintenance Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Flushing Sewers (feet) 25,000 4,000 8,500 5,964 6,000
Structure Maintenance (hours) 1,000 1,164 754 510 800
Open Channel Maintenance Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Channel Maintenance (hours) 1,600 1,945 1,031 1,106 1,350
Basin Maintenance (hours) 1,000 879 219 531 600
Service to Other Divisions Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Forestry & Grounds Assistance (hours) 250 168 59.5 402 250
Citizen Inquires (hours) 300 433 95 260 270
Snow & Ice Control (hours) 330 444 410 160 332
Administration Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
VCS, New World, Cartegraph, Neo-Gov,
Meetings & Committee Hours 380 301 437 340 350
Departmental Safety & Training (Hours) 200 128 209 130 150
Community Outreach Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
BG Days (hours) 180 281 381 260 280
Page 269 of 648
Personnel
Wages
17%
Personnel
Benefits
12%
Operating
Expenses
0%
Commodities
0%
Repairs &
Maintenance
1%
Capital Outlay
31%
Reserve
Transfers
28%
Internal
Service
Transfers
11%
2018 Storm Sewer Maintenance
MAJOR SERVICE: STORM SEWER MAINTENA NCE
This program is establi shed to provide for the preventive maintenance for the Village storm
sewer and drainage system. The storm sewer program goals account for the cleaning of the
entire system on a 5-6 year cycle. The maintenance program includes annual cleaning and
inspections of catch basins, curb inlets and cleaning of the storm sewer system with a high-
pressure flusher. Storm sewer, catch basin and inlet cleaning, manhole, inlet and catch
basin inspection will be performed throughout the year. Pipe failure and structure failures will
be repaired on an as needed basis throughout the Village.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 61,332 83,006 80,652 81,200 57,078 -29.23%
Personnel Benefits 34,884 38,893 35,595 44,864 39,364 10.59%
Operating Expenses 1,335 1,592 2,679 4,005 1,531 -42.85%
Commodities 56 206 368 315 385 4.62%
Repairs & maintenance 2,359 18,707 4,235 3,255 4,487 5.95%
Capital Outlay 164,112 107,674 105,000 122,500 105,000 0.00%
Reserve Transfers - - 94,798 94,798 94,798 0.00%
Contractual Services - - - - - -
Internal Service Transfers 22,551 23,744 33,026 33,026 36,020 9.07%
Total Storm Sewer
Maintenance $286,629 $273,822 $356,353 $383,963 $338,663 -4.96%
Page 270 of 648
MAJOR SERVICE: OPEN CHANNEL MAINTEN ANCE
This program is established to provide for the preventive maintenance for the Village storm sewer
and drainage system. This program also provides for debris removal, reshaping, and
maintenance of approximately 11 miles of open ditch flows through the Village. This ditch
work occurs in the early spring and fall, prior to heavy rains. Any observation of potentially
improper or polluted flow is followed-up to eliminate any such improper flow.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Act.
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 70,094 94,864 92,173 92,800 65,232 -29.23%
Personnel Benefits 39,868 44,450 40,680 51,274 44,988 10.59%
Operating Expenses 1,526 1,820 3,062 4,577 1,750 -42.85%
Commodities 64 235 420 360 440 4.76%
Repairs & maintenance 2,695 21,380 4,840 3,720 5,128 5.95%
Capital Outlay 187,557 123,056 120,000 140,000 120,000 0.00%
Reserve Transfers - - 108,340 108,340 108,340 0.00%
Contractual Services - - - - - -
Internal Service Transfers 25,772 27,136 37,744 37,744 41,166 9.07%
Total Open Channel
Maintenance $327,576 $312,941 $407,259 $438,815 $387,044 -4.96%
Personnel Wages
17% Personnel Benefits
12%
Operating
Expenses
0%
Commodities
0%
Repairs &
Maintenance
1%
Capital Outlay
31%
Reserve Transfers
28%
Internal
Service
Transfers
11%
2018 Open Channel Maintenance
Page 271 of 648
MAJOR SERVICE: SERVICE TO OTHER DIVISIONS
This service includes any additional support provided from Forestry and Grounds operations to
other divisions; this support includes snow and ice control and helping Forestry with creek
maintenance.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 26,285 35,574 34,565 34,800 24,462 -29.23%
Personnel Benefits 14,950 16,669 15,255 19,228 16,870 10.59%
Operating Expenses 572 682 1,148 1,716 656 -42.86%
Commodities 24 88 158 135 165 4.43%
Repairs & maintenance 1,011 8,017 1,815 1,395 1,923 5.95%
Capital Outlay 70,334 46,146 45,000 52,500 45,000 0.00%
Reserve Transfers - - 40,628 40,628 40,628 0.00%
Contractual Services - - - - - -
Internal Service Transfers 9,665 10,176 14,154 14,154 15,437 9.06%
Total Service to Other
Divisions $122,841 $117,352 4152,723 $164,556 $145,141 -4.96%
Personnel
Wages
17%
Personnel
Benefits
12%
Operating
Expenses
0%
Commodities
0%
Repairs &
Maintenance
1%
Capital Outlay
31%
Reserve
Transfers
28%
Internal
Service
Transfers
11%
2018 Service to Other Divisions
Page 272 of 648
MAJOR SERVICE: ADMINISTRATION
In the Administration process, many hours are required to manage staff and prepare daily
Drainage operations. Various software programs track staff hours, work productivity,
employee performance, purchasing / invoicing and continued APWA reaccreditation
efforts. All other general supervisory time includes purchase order processing, accident
investigations, safety training, human resource issues, reviewing plans for pre-construction and
post-construction projects, along with training and education hours.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 8,762 11,858 11,522 11,600 8,154 -29.22%
Personnel Benefits 4,983 5,556 5,085 6,409 5,623 10.58%
Operating Expenses 191 227 383 572 219 -42.71%
Commodities 8 29 53 45 55 7.84%
Repairs & maintenance 337 2,672 605 465 641 5.95%
Capital Outlay 23,445 15,382 15,000 17,500 15,000 0.00%
Reserve Transfers - - 13,543 13,543 13,543 0.00%
Contractual Services - - - - - -
Internal Service Transfers 3,222 3,392 4,718 4,718 5,146 9.05%
Total Administration $40,948 $39,116 $50,909 $54,852 $48,381 -4.96%
Personnel
Wages
17%
Personnel
Benefits
12%
Operating
Expenses
0%
Commodities
0%
Repairs &
Maintenance
1%
Capital Outlay
31%
Reserve
Transfers
28%
Contractual
Services
0%
Internal
Service
Transfers
11%
2018 Administration
Page 273 of 648
MAJOR SERVICE: COMMUNITY OUTREACH
This program area provides for all tasks that are related to any community program which
include Buffalo Grove Days and the Public Works Open House.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 8,762 11,858 11,522 11,600 8,154 -29.23%
Personnel Benefits 4,983 5,556 5,085 6,409 5,623 10.58%
Operating Expenses 191 227 383 572 219 -42.82%
Commodities 8 29 53 45 55 3.77%
Repairs & Maintenance 337 2,672 605 465 641 5.95%
Capital Outlay 23,445 15,382 15,000 17,500 15,000 0.00%
Reserve Transfers - - 13,543 13,543 13,543 0.00%
Contractual Services - - - - - -
Internal Service Transfers 3,222 3,392 4,718 4,718 5,146 9.07%
Total Community Outreach $40,948 $39,116 $50,909 $54,852 $48,381 -4.97%
Personnel
Wages
17%
Personnel
Benefits
12% Operating
Expenses
0%
Commodities
0%
Repairs &
Maintenance
1%
Capital Outlay
31%
Reserve
Transfers
28%
Internal
Service
Transfers
11%
2018 Community Outreach
Page 274 of 648
PROGRAM AREA : ENGINEERING
Engineering consists of subdivision and
development control, capital improvement
engineering, and general engineering
services. Engineering ensures that safe,
efficient, and economical land
development and utility service is provided
in all new developments of the Village. The
Engineering division works closely with the
Community Development Department on
permit and zoning reviews as well as the
Police Department on traffic and signage
related issues.
MAJOR SERVICES
Asset Management
Developments
Engineering Projects
Service to Other Divisions
Administration
Community Outreach
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
Page 275 of 648
KEY PERFORMANCE MEASURES
Asset Management Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Improve 6 miles of Roads (miles) 6 2.44 19.6 2.41 2.5
Inspect 1/3 of Village Sidewalk 100,000 lf 20,000 15,000 20,000 20,000
Televise 2% of Sanitary Sewer within
Cook County 10,000 lf 25,000 25,000 25,000 25,000
Televise 5% of Sanitary Sewer within Lake
County 50,000 lf 50,000 50,000 50,000 50,000
Developments Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Development Reviews (hours) 1,000 882 1,176 1,189 1,000
Project Management Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Engineering Divison Projects (hours) 400 468 514 395 500
Administration Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Training, Meetings (hours) 800 885 1034.5 806 800
Community Outreach Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Building Permit Reviews (hours) 250 157 187 368.5 250
Drainage Inspection/Sump Pumps
(hours) 300 282 235 263 300
Residential inspections 600 479.5 503 779 600
Meetings with residents/walk in
appointments, phone call discussions
(hours)
400 313.5 406 606 500
Page 276 of 648
MAJOR SERVICE: ASSET MANAGEMENT
The Engineering Division manages several assets for the Village including the Village streets,
sidewalks, curbs and gutter, bike paths, water main, sanitary sewer, and storm sewer.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 107,814 76,455 122,300 114,200 118,375 -3.21%
Personnel Benefits 48,593 35,585 52,137 51,494 50,314 -3.50%
Operating Expenses 2,067 1,076 2,663 1,175 1,163 -56.33%
Commodities - 69 188 - - -100.00%
Repairs & Maintenance - 49 825 825 825 0.00%
Capital Outlay - 117 - - - 0.00%
Reserve Transfers - - 2,794 2,794 2,807 0.47%
Contractual Services - - - - - 0.00%
Internal Service Transfers 13,770 8,680 19,132 19,132 16,701 -12.71%
Total Asset Management $172,244 $122,031 $200,039 $189,620 $190,185 -4.93%
Personnel
Wages
62%
Personnel
Benefits
26%
Operating
Expenses
1%
Repairs &
maintenance
0%
Capital Outlay
1%
Reserve Transfers
1%
Internal
Service
Transfers
9%
2018 Asset Management
Page 277 of 648
MAJOR SERVICE: DEVELOPMENTS
The Engineering Division reviews all proposed residential and commercial developments for
compliance with the Village Code. The Division will also perform construction inspection of all
aspects of a development, both private and public.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 43,126 76,455 48,920 45,680 47,350 -3.21%
Personnel Benefits 19,437 35,585 20,855 20,598 20,126 -3.50%
Operating Expenses 827 1,076 1,065 470 465 -56.34%
Commodities - 69 75 - - -100.00%
Repairs & Maintenance - 49 330 330 330 0.00%
Capital Outlay - 117 - - - 0.00%
Reserve Transfers - - 1,118 1,118 1,123 0.45%
Contractual Services - - - - - 0.00%
Internal Service Transfers 5,508 8,680 7,653 7,653 6,680 -12.71%
Total Developments $68,898 $122,031 $80,016 $75,849 $76,074 -4.93%
Personnel Wages
62%
Personnel
Benefits
26%
Operating
Expenses
1%
Repairs &
maintenance
0%
Capital Outlay
1%
Reserve Transfers
1% Internal Service
Transfers
9%
2018 Developments
Page 278 of 648
MAJOR SERVICE: ENGINEERING PROJECTS
The Engineering Division performs internal projects that include Geographic Information Systems
(GIS) and the monitoring of Village environmental projects such as the Kildeer Creek Stabilization
Project and the Buffalo Creek Nature Preserve proposed Creek Stabilization Project.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 21,563 76,455 24,460 22,840 23,675 -3.21%
Personnel Benefits 9,719 35,585 10,427 10,299 10,063 -3.49%
Operating Expenses 413 1,076 533 235 233 -56.29%
Commodities - 69 38 - - -100.00%
Repairs & Maintenance - 49 165 165 165 0.00%
Capital Outlay - 117 - - - 0.00%
Reserve Transfers - - 559 559 562 0.54%
Contractual Services - - - - - 0.00%
Internal Service Transfers 2,754 8,680 3,826 3,826 3,340 -12.70%
Total Engineering Projects $34,449 $122,031 $40,008 $37,924 $38,038 -4.92%
Personnel
Wages
62%
Personnel
Benefits
26%
Operating
Expenses
1%
Repairs &
maintenance
0%
Capital Outlay
1%
Reserve
Transfers
1%
Internal
Service
Transfers
9%
2018 Engineering Projects
Page 279 of 648
MAJOR SERVICE: SERVICE TO EXTE RNAL AGENCIES
The Engineering Division provides plan review and engineering assistance to other governmental
agencies for road and utility work that is within the Village corporate limits but not within the
Village’s road jurisdiction. These agencies are Lake and Cook County, the Illinois Department of
Transportation, and the Northwest Water Commission. The Village works in cooperation with
these agencies to help complete these projects.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 21,563 76,455 24,460 22,840 23,675 -3.21%
Personnel Benefits 9,719 35,585 10,427 10,299 10,063 -3.49%
Operating Expenses 413 1,076 533 235 233 -56.29%
Commodities - 69 38 - - -100.00%
Repairs & maintenance - 49 165 165 165 0.00%
Capital Outlay - 117 - - - 0.00%
Reserve Transfers - - 559 559 562 0.54%
Contractual Services - - - - - 0.00%
Internal Service Transfers 2,754 8,680 3,826 3,826 3,340 -12.70%
Total Service to External
Agencies $34,449 $122,031 $40,008 $37,924 $38,038 -4.92%
Personnel
Wages
62%
Personnel
Benefits
26%
Operating
Expenses
1%
Repairs &
Maintenance
0%
Capital Outlay
1%
Reserve
Transfers
1%
Internal Service
Transfers
9%
2018 Service to External Agencies
Page 280 of 648
MAJOR SERVICE: ADMINISTRATION
The Engineering Division Administration portion covers such items as vacation, sick, holiday and
personal time for all employees. This also includes training and education, staff meetings, Board
meetings and other Village meetings.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 129,376 76,455 146,760 137,040 142,050 -3.21%
Personnel Benefits 58,311 35,585 62,564 61,792 60,377 -3.50%
Operating Expenses 2,481 1,071 3,194 1,410 1,391 -56.45%
Commodities - 69 222 - - -100.00%
Repairs & maintenance - 50 990 990 990 0.00%
Capital Outlay - 119 - - - 0.00%
Reserve Transfers - - 3,353 3,353 3,364 0.33%
Contractual Services - - - - - 0.00%
Internal Service Transfers 16,524 8,677 22,960 22,960 20,040 -12.72%
Total Administration $206,692 $122,026 $240,044 $227,545 $228,212 -4.93%
Personnel
Wages
62%
Personnel
Benefits
26%
Operating
Expenses
1%
Repairs &
Maintenance
0%
Capital Outlay
1%
Reserve
Transfers
1%
Internal
Service
Transfers
9%
2018 Administration
Page 281 of 648
MAJOR SERVICE: COMMUNITY OUTREACH
The Engineering Division provides plan review and approvals to the Building and Zoning Division
for Village permits and projects. The Division also welcomes and responds to any resident
inquiries for various Village issues or questions relating to any issue in the Village. Division Staff also
respond to flooding, drainage, sump pump questions and traffic related issues.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Act.
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 107,814 76,455 122,300 114,200 118,375 -3.21%
Personnel Benefits 48,593 35,585 52,137 51,494 50,314 -3.50%
Operating Expenses 2,067 1,076 2,663 1,175 1,163 -56.33%
Commodities - 69 188 - - -100.00%
Repairs & maintenance - 49 825 825 825 0.00%
Capital Outlay - 117 - - - 0.00%
Reserve Transfers - - 2,794 2,794 2,807 0.47%
Contractual Services - - - - - 0.00%
Internal Service Transfers 13,770 8,680 19,132 19,132 16,701 -12.71%
Total Community Outreach $172,244 $122,031 $200,039 $189,620 $190,185 -4.93%
Personnel
Wages
62%
Personnel
Benefits
26%
Operating
Expenses
1%
Repairs &
Maintenance
0%
Capital Outlay
1%
Reserve
Transfers
1%
Internal
Service
Transfers
9%
2018 Community Outreach
Page 282 of 648
PAGE INTENTIONALLY LEFT BLANK
Page 283 of 648
SECTION SIX : CAPITAL
IMPROVEMENT
CAPITAL IMPROVEMENT PLAN – CAPITAL IMPROVEMENT STREETS – CAPITAL
IMPROVEMENT FACILITIES – MOTOR FUEL TAX
CAPITAL IMPROVEMENT REQUEST SUMMARY
The Capital Improvement Plan (CIP) is intended to be a decision-making tool for the Village
Board and staff. The operational need for capital expenditures must be weighed against the
ability of the Village to finance these projects. Capital improvement projects represent the
equipment and infrastructure resources that all municipalities need to provide resident and
business services. A capital expenditure is incurred when the Village spends money to buy fixed
assets or add value to an existing fixed asset.
The Village Board’s ultimate approval of the CIP does not authorize spending on the included
projects. Each project must still be accepted for the current year’s budget. Projects must then
go through the procurement process including Board authorization to bid and Board award of
bid. This ensures that the project remains consistent with the budget and that identified funding
is available at the time of award.
Staff continues to review and evaluate each project into the 2018 budget cycle. Ongoing
projects are revisited yearly and changes in priority are made as conditions warrant. This
document represents the formal requests that were received from all Village departments for
inclusion in the 2018-2022 CIP but, as in past years, not all projects presented here will ultimately
receive funding within the proposed 2018 budget.
Projects identified for FY 2018 total $11,608,763 and fall under six categories. The following chart
illustrates each category’s percentage as it relates to funding the capital program for FY 2018.
Water Main &
Sanitary Sewer
25%
Buildings and
Grounds
20%
Golf Course
Improvements
2% Technology
2%
Storm Sewer
System
8%
Street,
Sidewalk &
Bikepath
43%
2018 Capital Project Request by Category
Page 285 of 648
The impact of the CIP on the 2018 budget and beyond will be significant as aging infrastructure
is a reoccurring theme that needs to be addressed. Facility costs continue to rise and become a
more pressing issue as the resources available for repairs are only keeping the buildings
operational. None of the capital improvements budgeted for facilities improves environmental
efficiency, workspace, overall functionality, or safety of the buildings. These expenditures allow
the buildings to meet minimum standards for staff to occupy.
Information technology infrastructure and data sharing are high priority programs for the Village
of Buffalo Grove. The strategic plan outlines the need to upgrade hardware and software. FY
2017 will see new software implemented and existing software upgraded. Information
Technology expenses have been moved to the Section 7: IT Internal Service Fund.
The largest outlay for the CIP is the annual street maintenance program. The work is carefully
scheduled so that maintenance and resurfacing activities can be accomplished before more
costly road reconstruction becomes necessary. It is imperative that the Village maintain this
program. A more severely deteriorated or failed road is much more costly to replace than
performing periodic maintenance. The cost of reconstruction can be as much as three times the
amount of timely maintenance. The Engineering Division assesses all Village maintained roads
annually in a continuous process that serves as the basis for road repair, maintenance, and
replacement. The operating budgets for road repairs and emergency maintenance activities
can remain low in the Village continues to maintain a minimum average pavement condition.
Page 286 of 648
The capital reserve for vehicle replacement is funded through an amortization process where
funds are reserved over the service life of the vehicle to fund its future replacement. This joint
effort between OVM, Finance, and Central Garage is intended to put high quality equipment in
service so each department can complete its responsibilities. Below is a list of the 2018 budgeted
vehicle purchases:
Unit # Description of Current Unit Department Projected 2018
Replacement Cost
226 Ford Ambulance-09 Fire $197,957
237 KME Custom Quint - 03 Fire $750,750
712 Ford Explorer - 15 Police $36,127
717 Ford Explorer - 15 Police $36,127
718 Ford Crown Victoria -11 Police $39,127
720 Ford Explorer - 15 Police $36,127
722 Ford F350 Pickup - 08 Police $39,000
401 Chevrolet C2500 - 00 Public Works Administration $29,270
FEL4 John Deere Backhoe - 99 Water $166,000
453 Ford F-350 Utility - 08 Sanitary Sewer $122,416
458 Ford Ranger W/ Cap 09 Sanitary Sewer $42,226
470 Ford F-350 Pickup - 08 Forestry $45,334
471 Ford F-350 Pickup - 08 Forestry $67,613
C01 Morbark Chipper -95 Forestry $150,200
431 Int.2654 Hi-Ranger Lift 50 ft.-92 Forestry $188,500
FEL- Track Skid Steer Streets $83,000
E29 Stepp Hot Patcher Streets $70,300
301 Ford Ranger - 10 Community Development $29,000
302 Ford Ranger - 10 Community Development $29,000
303 Ford Ranger - 10 Community Development $29,000
TOTAL $2,187,074
The street and streetscape programs will be active again in FY 2018. The Village will also
complete roof repairs and needed maintenance in addition to continued improvements of
sidewalks and bike paths.
The Village will make needed upgrades, repairs, and maintenance to water facilities, water
mains and storm sewer systems. These capital outlays are ongoing as these systems are very
expensive to maintain. The Village has a twenty year water proforma, which not only takes into
account the revenues that will/can be generated, but the costs that are anticipated to be
incurred over that time. The Village assesses the system and plans upgrades and replacements
to avoid incurring excess costs due to breaks and failures.
Page 287 of 648
2018 Capital Projects Budgeted by Fund
General Fund Requested Budgeted
Annual Sidewalk/Bike Path Maintenance $325,000 $200,000
Storm Water System Upgrades and Repairs $883,000 $300,000
Villagewide Comprehensive Plan $100,000 $100,000
Subtotal $1,308,000 $600,000
Motor Fuel Tax Fund
Annual Street Maintenance $4,000,000 $1,000,000
Subtotal $4,000,000 $1,000,000
Capital Project- Streets Fund
Collector Route Maintenance and Rehabilitation Program $300,000 $0
Dundee Road Median Improvements $40,000 $40,000
Dundee Road and Buffalo Grove Road Intersection $20,000 $20,000
Lake Cook Road Improvement $0 $0
Weiland Road/Prairie Road Improvements $300,000 $300,000
Subtotal $660,000 $360,000
Capital Projects - Facilities Fund
Building Replacement - CAFT $1,065,195 $1,065,195
Flooring Capital Replacement Projects $82,768 $82,768
Fire Sprinkler System - Fire Station 27 $0 $0
HVAC Unit Replacements $250,000 $0
Municipal Parking Facility Maintenance $314,000 $314,000
Roof Capital Replacement Projects $429,800 $0
Fire Station Sign Replacement $28,000 $0
Village Campus Long Range Planning $80,000 $80,000
Village Gateway Feature $25,000 $25,000
Subtotal $2,274,763 $1,566,963
Water & Sewer Fund
Capacity Management Operations & Maintenance $64,000 $64,000
Lift Station Repair & Rehabilitation $440,000 $70,000
Pump House Repairs & Security Improvements $480,000 $50,000
Villagewide Sanitary Sewer Replacement $735,000 $735,000
Villagewide Water Main Replacement $1,190,000 $1,190,000
SCADA Improvements $200,000 $0
Subtotal $3,109,000 $2,109,000
Golf Fund
Golf Course Improvements $200,000 $0
Golf Course Irrigation Improvements $33,000 $0
Golf Course Parking Lot Maintenance $24,000 $0
Subtotal $257,000 $0
Total $11,608,763 $5,635,963
Page 288 of 648
General
Fund
11%
Motor Fuel Tax
Fund
18%
Capital Project-
Streets Fund
6%
Capital
Projects -
Facilities Fund
28%
Water & Sewer
Fund
37%
2018 Capital Projects Budgeted by Fund
Page 289 of 648
2018-2022 CAPITAL PROJECT REQUEST SUMMARY TABLE
Buildings and Grounds Improvements 2018 2019 2020 2021 2022
Building Replacement - CAFT 1,065,195 -188,000 -188,000 -188,000 -
Flooring Capital Replacement Projects 82,768 98,154 - - -
Fire Sprinkler System - Fire Station 27 - - 100,000 - -
HVAC Unit Replacements 250,000 120,000 120,000 120,000 120,000
Municipal Parking Facility Maintenance 314,000 202,000 213,000 125,000 150,000
Roof Capital Replacement Projects 429,800 - - 79,100 -
Fire Station Sign Replacement 28,000 28,000 28,000 - -
Village Campus Long Range Planning 80,000 - - - -
Village Gateway Feature 25,000 50,000 25,000 - -
Villagewide Comprehensive Plan 100,000 100,000 - - -
Subtotal 2,374,763 410,154 298,000 136,100 270,000
Golf Course Improvements
Golf Course Improvements 200,000 400,000 125,000 - -
Golf Course Irrigation Improvements 33,000 25,000 55,000 - -
Golf Course Parking Lot Maintenance 24,000 - 15,000 - -
Subtotal 257,000 425,000 195,000 0 0
Street, Sidewalk & Bikepath Maintenance
Annual Street Maintenance 4,000,000 4,000,000 4,000,000 4,000,000 4,000,000
Collector Route Maintenance and Rehabilitation Program 300,000 190,000 2,235,000 2,205,000 40,000
Dundee Road Median Improvements 40,000 40,000 40,000 40,000 40,000
Dundee Road and Buffalo Grove Road Intersection 20,000 - - - -
Lake Cook Road Improvement - 210,000 210,000 210,000 -
Annual Sidewalk/Bike Path Maintenance 325,000 325,000 325,000 325,000 325,000
Weiland Road/Prairie Road Improvements 300,000 500,000 - - -
Subtotal 4,985,000 5,265,000 6,810,000 6,780,000 4,405,000
Storm Water Management
Storm Water System Upgrades and Repairs 883,000 470,000 420,000 420,000 400,000
Subtotal 883,000 470,000 420,000 420,000 400,000
Technology
SCADA Improvements 200,000 110,000 20,000 20,000 20,000
Subtotal 200,000 110,000 20,000 20,000 20,000
Water Main & Sanitary Sewer Systems
Capacity Management Operations & Maintenance 64,000 42,000 19,000 39,000 50,000
Lift Station Repair & Rehabilitation 440,000 620,000 320,000 320,000 320,000
Pump House Repairs & Security Improvements 480,000 640,000 340,000 220,000 220,000
Villagewide Sanitary Sewer Replacement 735,000 485,000 435,000 435,000 400,000
Villagewide Water Main Replacement 1,190,000 1,540,000 1,500,000 1,000,000 1,000,000
Subtotal 2,909,000 3,327,000 2,614,000 2,014,000 1,990,000
Total $11,608,763 $10,007,154 $10,357,000 $9,370,100 $7,085,000
Grand Total 2018-2022 $48,428,017
* 2018-2022 projects requests do not include facility maintenance estimates to be provided as part of the Facility Study.
Page 290 of 648
BUILDINGS & GROUNDS IMPROVEMENTS
The Village is responsible for maintaining 23 structures within its corporate boundaries. Village
buildings and grounds must be maintained regularly to remain functional. Village facilities must
also periodically be upgraded to ensure efficient operations. Expenditures in this category
historically include projects that:
Maintain the safety and appearance of Village owned property;
Maximize the life of facilities;
Maintain value of facilities through preventative maintenance before they
become more expensive to repair; and
Insure that any issues affecting health and safety of building occupants are
promptly addressed.
The Village’s facilities include:
Village Hall;
Public Service Center & Salt Dome;
Police Department;
Fire Station Admin, Stations 25, 26, & 27, Fire Training Facility and Classroom Trailer
Pump Stations 1, 2, 6, & 7;
BGGC & Arboretum Clubhouses, Halfway Houses, and Maintenance Buildings
Train Station and Warming Shelters; and
Youth Center.
Page 291 of 648
BUILDING REPLACEMENT – CAFT
Summary: This proposal will fund the replacement of the CAFT training classroom which
had an animal infestation. Once a health analysis was completed, it was also
determined that the windows had been leaking for a number of years and
there was a health hazard associated with mold growth. The building, which
was constructed in 2000, was actually three donated mobile offices
connected together with a wood shell and pitched roof applied. Due to the
construction of the classroom, the classroom was never intended to be a
permanent structure and had an estimated life span of 5 to 10 years. The
building was demolished in July 2016 with the intent of building a permanent
structure. Building estimates have been gathered from architects and pre-
fabricated building manufacturers which resulted in a construction estimate of
$921,155. This cost will be divided by the five (5) CAFT fire departments with
each being responsible for their cost of approximately $188,000. The initial cost
could be provided by the Village with an agreement that the other fire
departments would pay their share over a defined period (3-5 years).
Budget Impact: This project would be funded through the General Fund’s operating revenues.
5 Year Expenditure History
Budgeted
Amount
FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2017
- - - - 850,000 850,000
Actual
Expenditures - - - - 45,000 45,000
5 Year Projected Expenditures
Expense
Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 TOTAL
Land
Design Services 52,040 - - - - 52,040
Construction 921,155 - - - - 921,155
Equipment 52,000 - - - - 52,000
Contingency 40,000 (188,000) (188,000) (188,000) - ( 524,000)
Sub-Total $1,065,195 ($188,000) ($188,000) ($188,000) - $501,195
Category: Facilities Maintenance
Fund: Capital Projects - Facilities
Account Number: 150.75.560.30
Initial Proposal Date: 2017
Project Coordinator: Fire
Page 292 of 648
FLOORING CAPITAL REPLACEMENT PROJECTS
Summary: This category covers planned flooring (carpet and tile) replacements within
Village facilities. On average the carpet to be replaced will be 4 – 6 years
past the date it was scheduled to be replaced. 2018 flooring projects include
the second floor of the Public Service Center and the youth investigations area
at Police HQ.
Prior to 2017, this CIP item was specifically for carpeting, but several tile flooring
issues arose in FY 2016 and a decision was made to include all types of flooring
in this replacement schedule.
Budget Impact: This project is funded through the General Fund’s operating revenues.
5 Year Expenditure History
Budgeted
Amount
FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2016
- - 32,452 166,595 159,033 358,080
Actual
Expenditures - - 32,452 44,932 159,033 236,417
5 Year Projected Expenditures
Expense
Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 TOTAL
Land - - - - - -
Design Services - - - - - -
Construction 82,768 98,154 - - - 180,922
Equipment - - - - - -
Contingency - - - - - -
Sub-Total $82,768 $98,154 - - - $180,922
Category: Buildings & Grounds Improvements
Fund: Capital Projects - Facilities
Account Number: 150.75.560.30
Initial Proposal Date: 2015
Project Coordinator: Public Works
Page 293 of 648
FIRE SPRINKLER SYSTEM – FIRE STATION 27
Summary: This proposal will address the need for the first floor of Fire Station 27 to have a
fire sprinkler system installed. The basement area of the fire station has been
retrofitted with a fire sprinkler system and this project will complete the retrofit
for the entire fire station.
Budget Impact: This project would be funded through the General Fund’s operating revenues.
5 Year Expenditure History
Budgeted
Amount
FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2017
- - - - - -
Actual
Expenditures - - - - - -
5 Year Projected Expenditures
Expense
Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 TOTAL
Land
Design Services - - 1,000 - - 1,000
Construction - - 59,000 - - 59,000
Equipment - - 40,000 - - 40,000
Contingency - - - - - -
Sub-Total - - $100,000 - - $100,000
Category: Buildings & Grounds Improvements
Fund: Capital Projects - Facilities
Account Number: 150.75.560.30
Initial Proposal Date: 2016
Project Coordinator: Fire
Page 294 of 648
HVAC UNIT REPLACEMEN TS
Summary: This project will provide for HVAC unit replacements at various Village facilities.
The Village maintains 61 HVAC units in total, and more than half currently
exceed their 18 year life expectancy. Specific replacements identified for
2018 include Village Hall (two units), Youth Center (one unit), and Police (two
units). Units are prioritized based on their ongoing repair history and difficulty in
acquiring replacements parts, not strictly on age.
Budget Impact: This project would be funded through the General Fund’s operating revenues.
5 Year Expenditure History
Budgeted
Amount
FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2017
- - - 120,000 550,000 670,000
Actual
Expenditures - - - 92,237 550,000 642,237
5 Year Projected Expenditures
Expense
Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 TOTAL
Land - - - - - -
Design Services - - - - - -
Construction 250,000 120,000 120,000 120,000 120,000 730,000
Equipment - - - - - -
Contingency - - - - - -
Sub-Total $250,000 $120,000 $120,000 $120,000 $120,000 $730,000
Category: Buildings & Grounds Improvements
Fund: Capital Projects - Facilities
Account Number: 150.75.560.30
Initial Proposal Date: 2015
Project Coordinator: Public Works
Page 295 of 648
MUNICIPAL PARKING FACILITY MAINTENANCE
Summary: This program provides for the routine sealing, restriping, and reconstruction of
municipal lots. The 2018 planned improvements include lots at the Metra train
station (140k), the Public Service Center (161k), Fire Stations #25, #26, #27 and
CAFT (11k total), and Village Reservoirs #1, #2, and #6 (2k).
Budget Impact: This project is funded through the General Fund’s operating revenues.
5 Year Expenditure History
Budgeted
Amount
FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2017
74,100 110,000 170,000 125,000 254,000 733,100
Actual
Expenditures 67,000 110,000 116,828 99,787 125,000 518,615
5 Year Projected Expenditures
Expense
Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 TOTAL
Land - - - - - -
Design Services - - - - - -
Construction 314,000 202,000 213,000 125,000 150,000 1,004,000
Equipment - - - - - -
Contingency - - - - - -
Sub-Total $314,000 $202,000 $213,000 $125,000 $150,000 $1,004,000
Category: Buildings & Grounds Improvements
Fund: Capital Projects - Facilities
Account Number: 150.75.560.40
Initial Proposal Date: Ongoing
Project Coordinator: PW-Engineering
Page 296 of 648
ROOF CAPITAL REPLACEMENT PROJECTS
Summary: This category covers full roof replacements on Village owned buildings. For
2018, work is planned to include Police HQ and the Public Service Center.
Prior to 2014 these projects were not programmed in the CIP. Maintenance
and repair work remains in the Building Maintenance operating budget within
Public Works, and is separate from these replacements. Replacement projects
were identified during the 2017 roof inspection reports prepared by Industrial
Roofing Services.
Budget Impact: This project is funded through the General Fund’s operating revenues.
5 Year Expenditure History
Budgeted
Amount
FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2017
- 225,000 - 286,825 276,850 788,675
Actual
Expenditures - - 197,766 72,000 276,850 546,616
5 Year Projected Expenditures
Expense
Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 TOTAL
Land - - - - - -
Design Services - - - - - -
Construction 429,800 - - 79,100 - 508,900
Equipment - - - - - -
Contingency - - - - - -
Sub-Total $429,800 - - $79,100 - $508,900
Category: Buildings & Grounds Improvements
Fund: Capital Projects - Facilities
Account Number: 150.75.560.40
Initial Proposal Date: 2014
Project Coordinator: Building Maintenance
Page 297 of 648
FIRE STATION SIGN REPLACEMENT – FIRE STATION 25, 26, 27
Summary: This proposal will address the current condition of the exterior landscaping at
all three fire stations. A comprehensive landscaping plan that takes into
consideration ongoing maintenance and screening needs from the nearby
residents along with the replacement of the current fire station signs will need
to be completed. The current signs are made of wood, in poor general
condition and are placed parallel to the street which makes it difficult for
passing motorists to identify the fire station location until they are past the fire
station entrance. This proposal provides for the replacement of all three fire
station signs with masonry signs oriented perpendicular to the street.
Budget Impact: This project is funded through the General Fund’s operating reve nues.
5 Year Expenditure History
Budgeted
Amount
FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2017
- - - - 28,000 28,000
Actual
Expenditures - - - - - -
5 Year Projected Expenditures
Expense
Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 TOTAL
Land 10,000 10,000 10,000 - - 30,000
Design Services 5,000 5,000 5,000 - - 15,000
Construction 13,000 13,000 13,000 - - 39,000
Equipment - - - - - -
Contingency - - - - - -
Sub-Total $28,000 $28,000 $28,000 - - $84,000
Category: Buildings and Grounds Improvements
Fund: Capital Projects - Facilities
Account Number: 150.75.560.30
Initial Proposal Date: 2016
Project Coordinator: Fire
Page 298 of 648
VILLAGE CAMPUS LONG RANGE PLANNING
Summary: Several buildings on the Village Campus are nearing the end of their useful life,
where major renovations and mechanical system replacements begin to
reach a significant percentage of the estimated replacement cost of the
facilities. When factoring in the current space needs and business formats that
have changed since the buildings were built, it is prudent to begin analyzing
the cost-benefit for extensive rehabilitation versus new construction. For
example, 40 years is the higher end of the life spectrum for the occupancy
load of Village Hall (Originally built in 1970) or the industrial load of Public Works
(Originally built in 1976). This item is requested in order to begin long term
planning of the Village Campus as an asset. In 2017, an initial space needs
analysis was completed and 2018 will bring further evaluation of options for
renovating or building new facilities as part of a comprehensive plan.
Budget Impact: This project is funded through the General Fund’s operating revenues.
5 Year Expenditure History
Budgeted
Amount
FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2017
- - - - 100,000 100,000
Actual
Expenditures - - - - 20,000 20,000
5 Year Projected Expenditures
Expense
Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 TOTAL
Land - - - - - -
Design Services 80,000 - - - - 80,000
Construction - - - - - -
Equipment - - - - - -
Contingency - - - - - -
Sub-Total $80,000 - - - - $80,000
Category: Buildings and Grounds Improvements
Fund: Capital Projects - Facilities
Account Number: 150.75.560.30
Initial Proposal Date: 2017
Project Coordinator: OVM
Page 299 of 648
VILLAGE GATEWAY FEATURE (MILWAUKEE AVE/DEERFIELD PARKWAY)
Summary: As part of the Woodman’s project located at the northwest corner of Deerfield
Parkway and Milwaukee Avenue, staff is proposing to replace the existing
Village entrance sign with a new “gateway” feature which may include a new
sign, landscaping and pedestrian amenities. While Woodman’s will own the
parcel, the Village will obtain an easement to allow the construction and
maintenance of the new feature. Staff is proposing to complete a design in
2018 (landscaping design and engineering) and begin construction in 2019.
Budget Impact: This project is funded through the General Fund’s operating revenues.
5 Year Expenditure History
Budgeted
Amount
FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2017
- - - - 25,000 25,000
Actual
Expenditures - - - - - -
5 Year Projected Expenditures
Expense
Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 TOTAL
Land - - - - - -
Design Services 25,000 - - - - 25,000
Construction - 50,000 25,000 - - 75,000
Equipment - - - - - -
Contingency - - - - - -
Sub-Total $25,000 $50,000 $25,000 - - $100,000
Category: Buildings & Grounds Improvements
Fund: Capital Projects - Facilities
Account Number: 150.75.560.30
Initial Proposal Date: 2017
Project Coordinator: Community Development
Page 300 of 648
VILLAGEWIDE COMPREHENSIVE PL AN
Summary: The Village Board has expressed interest in creating a new comprehensive plan.
Undertaking this project fulfills recommendations outlined in the 2016 Economic
Development Strategic Plan and was also discussed in the “2016 and 2017
Strategic Planning and Initiatives” section of the 2017 Village of Buffalo Grove
Budget. A more current comprehensive plan will provide a necessary framework
and guidance to ensure that the decisions affecting the future of Buffalo Grove
will be in accordance with the community’s long-term goals and vision. Subject
to the desired timeline and the appropriation of funds, a request for proposals for
this project is scheduled in early 2018 with a kickoff in mid-2018 and completion
scheduled for late 2019 or early 2020.
Budget Impact: This project is funded through the General Fund’s operating revenues.
5 Year Expenditure History
Budgeted
Amount
FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2017
- - - - - -
Actual
Expenditures - - - - - -
5 Year Projected Expenditures
Expense
Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 TOTAL
Land - - - - - -
Design Services 100,000 100,000 - - - 200,000
Construction - - - - - -
Equipment - - - - - -
Contingency - - - - - -
Sub-Total $100,000 $100,000 - - - $200,000
Category: Buildings and Grounds Improvements
Fund: Capital Projects – Facilities
Account Number: 150.75.560.30
Initial Proposal Date: 2018
Project Coordinator: Community Development
Page 301 of 648
GOLF COURSE IMPROVEM ENTS
The Village operates and contracts out the maintenance of two golf courses, the Buffalo Grove
Golf Course and the Arboretum Club. The Village is responsible for capital improvements for golf
course grounds, Buffalo Grove Golf Club, which was built in 1965, and the Arboretum Club,
which was built in 1989.
Beyond the courses themselves, each facility includes a clubhouse with restaurant space, pro
shop space, a maintenance facility and associated irrigation, cart path, and parking lot
infrastructure. The Arboretum Club also includes premier banquet facilities. The Village owned
golf course facilities, along with the grounds, must be maintained regularly to remain functional
and must be periodically upgraded to ensure efficient operations.
Page 302 of 648
GOLF COURSE IMPROVEMENTS
Summary: This project will include reconstruction and restoration efforts on the golf
courses. In 2018, the 5th tee box at Arboretum is requested for reconstruction
(25k). In 2019 through 2021, a three year project to restore all 69 sand traps at
Arboretum is also requested (75k each year). Proposed for 2018 is the design
for the removal of sediment from the pond at the 15th hole at Arboretum (50k)
with construction planned for 2019 (250k). Also proposed for 2018 is limited
erosion control at various places throughout Arboretum (50k in each of the
next three years).
Budget Impact: This project would be funded through the Golf reserve for equipment.
5 Year Expenditure History
Budgeted Amount FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2017
- - - - 25,000 25,000
Actual
Expenditures - - - - - -
5 Year Projected Expenditures
Expense
Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 TOTAL
Land - - - - - -
Design Services 50,000 25,000 - - - 75,000
Construction 150,000 375,000 125,000 - - 650,000
Equipment - - - - - -
Contingency - - - - - -
Sub-Total $200,000 $400,000 $125,000 - - $725,000
Category: Buildings & Grounds Improvements
Fund: Golf Reserves/ General Fund
Account Number:
Initial Proposal Date: 2016
Project Coordinator: Golf
Page 303 of 648
GOLF COURSE IRRIGATION REPAIRS
Summary: This project will support irrigation repairs and piping replacements at both golf
course facilities. For 2018, a section of irrigation pipe crossing the creek and
feeding the back nine at BGGC is requested for replacement (25,000). In
addition, a variable frequency drive (VFD) is needed for Arboretum golf course
(8,000). Additional work to irrigation pumps and control systems is requested
through 2020.
Budget Impact: This project would be funded through any proceeds from the golf business or
General Fund subsidy.
5 Year Expenditure History
Budgeted
Amount
FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2017
- - - - 33,000 33,000
Actual
Expenditures - - - - - -
5 Year Projected Expenditures
Expense
Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 TOTAL
Land - - - - - -
Design Services - - - - - -
Construction 25,000 - - - - 25,000
Equipment 8,000 25,000 55,000 - - 88,000
Contingency - - - - - -
Sub-Total $33,000 $25,000 $55,000 - - $113,000
Category: Buildings & Grounds Improvements
Fund: Golf Reserves/ General Fund
Account Number:
Initial Proposal Date: 2016
Project Coordinator: Golf
Page 304 of 648
GOLF COURSE PARKING LOT MAINTENANCE
Summary: This program provides for the routine sealing, restriping, and reconstruction of
golf course parking lots. The 2018 planned improvements include the Buffalo
Grove Golf Course main lot maintenance (8k) and Arboretum Golf Course
parking lot maintenance (16k).
This work is being separated from Municipal Parking Facility Maintenance in
2018.
Budget Impact: This project would be funded through any proceeds from the golf business or
General Fund subsidy.
5 Year Expenditure History
Budgeted
Amount
FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2017
- - - - - -
Actual
Expenditures - - - - - -
5 Year Projected Expenditures
Expense Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 TOTAL
Land - - - - - -
Design Services - - - - - -
Construction 24,000 - 15,000 - - 39,000
Equipment - - - - - -
Contingency - - - - - -
Sub-Total $24,000 - $15,000 - - $39,000
Category: Buildings & Grounds Improvements
Fund: Golf Reserves/ General Fund
Account Number:
Initial Proposal Date: 2018
Project Coordinator: PW-Engineering
Page 305 of 648
STREET, SIDEWALK & B IKEPATH MAINTENANCE
The Village roadway network is comprised of state, county, and municipal roadways. Each
roadway carries with it a function such as arterial, collector or local streets. The break-down is as
follows:
Municipal Roadways 118.26 miles
State Roadways 8.95 miles
Cook County Roadways 7.25 miles
Lake County Roadways 10.82 miles
Total 145.28 miles
Municipal roadways are evaluated every year and recommendations for the next several years
of street projects are developed. The projects involve traditional maintenance and
rehabilitation of local streets based upon a defined service life. The defined service life is
designed to maintain quality surface conditions and avoid more costly roadway rebuilds. Due
to funding issues, since 2008 not all streets identified for maintenance have been repaired. Cuts
in the program were necessary given the economic climate and funding limitation internally
and from the State of Illinois. Bonds were recently issued in 2012 and 2016 in an effort to
maintain pace with current road life cycles. The majority of work to be performed during the
2018 construction season will be for the rehabilitation of street surface and curb/gutter along
various identified local streets as well as a patching, crack sealing, and pavement rejuvenation
program designed to extend the life of various streets.
The following streets were identified from the results of the pavement inspection program and
are scheduled for repair in 2018 depending upon funding availability:
Street Miles Street Miles
Anderson Lane 0.17 Green Knolls Drive 0.50
Bristol Lane 0.38 Fairfax Lane 0.25
Caren Court 0.07 Farnsworth Lane 0.07
Caren Drive 0.51 Franklin Lane 0.21
Checker Drive 0.04 Fremont Way 0.54
Gail Court 0.05 Ronnie Drive 0.36
Gail Drive 0.6 TOTAL 3.7
The Village of Buffalo Grove recognizes the need to have a network of pedestrian and mixed-
use paths throughout the community. The Village currently maintains 224 miles of concrete
sidewalks and bikeways. The Village actively pursues grant funding to expand or improve the
current system as available.
Page 306 of 648
ANNUAL STREET MAINTENANCE
Summary: The annual street maintenance and rehabilitation program is covered in each
year’s CIP. The Village streets are reviewed annually and evaluated for all
types of maintenance or improvement.
Budget Impact: This project is funded through an internal transfer from the General Fund’s
operating revenues, bond proceeds, and a portion of home rule sales tax
fund.
5 Year Expenditure History
Budgeted
Amount
FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2017
5,950,000 2,250,000 1,800,000 8,000,000 1,200,000 19,200,000
Actual
Expenditures 5,684,477 2,014,665 1,688,228 7,011,616 1,200,000 17,598,986
5 Year Projected Expenditures
Expense
Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 TOTAL
Land - - - - - -
Design Services 450,000 450,000 450,000 450,000 450,000 2,250,000
Construction 3,550,000 3,550,000 3,550,000 3,550,000 3,550,000 17,750,000
Equipment - - - - - -
Contingency - - - - - -
Sub-Total $4,000,000 $4,000,000 $4,000,000 $4,000,000 $4,000,000 $20,000,000
Category: Street, Sidewalk & Bike Path Maintenance
Fund: Capital Projects - Streets
Account Number: 160.75.560.20
Initial Proposal Date: Ongoing
Project Coordinator: PW-Engineering
Page 307 of 648
COLLECTOR ROUTE MAINTENANCE AND REHABILITATION PROGRAM
Summary: These Village streets have been identified by the Illinois Department of
Transportation as collector routes due to their width and amount of traffic.
Federal funding is available at up to 80% reimbursement for design and
construction as part of the Federal process. Currently Brandywyn Lane and
Thompson Boulevard are in design for anticipated 2020 and 2021 construction.
Bernard Drive is proposed to begin the Phase I process in 2018.
Budget Impact: These projects are funded through an internal transfer from the General Fund’s
operating revenues, federal funding, bond proceeds, and a portion of home
rule sales tax fund.
5 Year Expenditure History
Budgeted
Amount
FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2017
- - - - 300,000 300,000
Actual
Expenditures - - - - 300,000 300,000
5 Year Projected Expenditures
Expense
Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 TOTAL
Land - - - - - -
Design Services 500,000 350,000 1,050,000 950,000 200,000 3,050,000
Construction - - 10,000,000 10,000,000 - 20,000,000
Equipment - - - - - -
Contingency (200,000) (160,000) (8,815,000) (8,745,000) (160,000) (18,080,000)
Sub-Total $300,000 $190,000 $2,235,000 $2,205,000 $40,000 $4,970,000
Category: Street, Sidewalk & Bike Path Maintenance
Fund: Capital Projects - Streets
Account Number: 160.75.560.20
Initial Proposal Date: 2017
Project Coordinator: PW-Engineering
Page 308 of 648
DUNDEE ROAD MEDIAN IMPROVEMENTS
Summary: This project would continue improvements to the street scape along the
Dundee Road corridor through the addition of landscaped medians.
Budget Impact: This project is funded through an internal transfer from the General Fund’s
operating revenues.
5 Year Expenditure History
Budgeted
Amount
FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2017
- 40,000 40,000 40,000 40,000 160,000
Actual
Expenditures - - - - - -
5 Year Projected Expenditures
Expense
Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 TOTAL
Land - - - - - -
Design Services - - - - - -
Construction 40,000 40,000 40,000 40,000 40,000 200,000
Equipment - - - - - -
Contingency - - - - - -
Sub-Total $40,000 $40,000 $40,000 $40,000 $40,000 $200,000
Category: Street, Sidewalk & Bike Path Maintenance
Fund: Capital Projects - Streets
Account Number: 160.75.560.20
Initial Proposal Date: 2013
Project Coordinator: PW-Engineering
Page 309 of 648
DUNDEE ROAD AND BUFFALO GROVE ROAD INTERSECTION
Summary: The Illinois Department of Transportation is added right turning lanes on the
northwest and northeast corners of the intersection in 2017 to improve the
intersection performance. The Village is required to pay for the local
improvements such as moving or replacing the Village owned utilities and
street lights.
Budget Impact: This project is funded through an internal transfer from the General Fund’s
operating revenues.
5 Year Expenditure History
Budgeted
Amount
FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2017
- - - 150,000 80,000 230,000
Actual
Expenditures - - - - 60,000 60,000
5 Year Projected Expenditures
Expense
Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 TOTAL
Land - - - - - -
Design Services - - - - - -
Construction 20,000 - - - - 20,000
Equipment - - - - - -
Contingency - - - - - -
Sub-Total $20,000 - - - - $20,000
Category: Street, Sidewalk & Bike Path Maintenance
Fund: Capital Projects - Streets
Account Number: 160.75.560.20
Initial Proposal Date: 2015
Project Coordinator: PW-Engineering
Page 310 of 648
LAKE COOK ROAD IMPROVEMENT
Summary: The Cook County Highway and Transportation Department is planning on
improving Lake Cook Road from Lexington Drive to Raupp Boulevard. The
design is anticipated to be completed in late 2017 with construction expected
to begin in 2019. The Village is responsible for a local share of the cost for such
items as pedestrian facilities, street lights, and utility relocations. The local
share is $2.13 million however; the Village received a $1.5 million Surface
Transportation Program Grants, which reduces the local share to 630,000 to be
spread out over three years.
Budget Impact: This project is funded through an internal transfer from the General Fund’s
operating revenues.
5 Year Expenditure History
Budgeted
Amount
FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2017
- 113,000 113,000 50,000 50,000 326,000
Actual
Expenditures - 63,000 5,000 112,556 35,000 215,556
5 Year Projected Expenditures
Expense
Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2021 TOTAL
Land - - - - - -
Design Services - - - - - -
Construction - 710,000 710,000 710,000 0 2,130,000
Equipment - - - - - -
Contingency - (500,000) (500,000) (500,000) (1,500,000)
Sub-Total - $210,000 $210,000 $210,000 - $630,000
Category: Street, Sidewalk & Bike Path Maintenance
Fund: Capital Projects - Streets
Account Number: 160.75.560.20
Initial Proposal Date: 2008
Project Coordinator: PW-Engineering
Page 311 of 648
ANNUAL SIDEWALK/BIKE PATH MAINTENANCE
Summary: Annual sidewalk and bike path maintenance and rehabilitation program. In
FY 2018 new pedestrian facility improvements include repairing sidewalk in the
southern section of the Village.
Budget Impact: This project is funded through an internal transfer from the General Fund’s
operating revenues.
5 Year Expenditure History
Budgeted
Amount
FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2017
325,000 100,000 325,000 325,000 325,000 1,400,000.00
Actual
Expenditures 214,500 93,936 422,421 308,300 250,000 1,289,157.00
5 Year Projected Expenditures
Expense
Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 TOTAL
Land - - - - - -
Design Services - - - - - -
Construction 325,000 325,000 325,000 325,000 325,000 1,625,000
Equipment - - - - - -
Contingency - - - - - -
Sub-Total $325,000 $325,000 $325,000 $325,000 325,000 $1,625,000
Category: Street, Sidewalk & Bike Path Maintenance
Fund: General Fund
Account Number: 100.55.10.535.05
Initial Proposal Date: Ongoing
Project Coordinator: PW- Engineering
Page 312 of 648
WEILAND ROAD/PRAIRIE ROAD IMPROVEMENT
Summary: The Lake County Department of Transportation is planning on improving
Weiland Road and Prairie Road from Route 22 to Lake Cook Road. The design
is anticipated to be completed in 2017 with construction expected to begin in
2018. The Village is responsible for a local share of the cost for such items as
pedestrian facilities, street lights, and utility relocations.
Budget Impact: This project is funded through an internal transfer from the General Fund’s
operating revenues.
5 Year Expenditure History
Budgeted
Amount
FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2017
100,000 - - - 50,000 150,000
Actual
Expenditures 100,452 - - - - 100,452
5 Year Projected Expenditures
Expense
Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2021 TOTAL
Land - - - - - -
Design Services - - - - - -
Construction 300,000 500,000 - - - 800,000
Equipment - - - - - -
Contingency - - - - - -
Sub-Total $300,000 $500,000 - - - $800,000
Category: Street, Sidewalk & Bike Path Maintenance
Fund: Capital Projects - Streets
Account Number: 160.75.560.20
Initial Proposal Date: 2008
Project Coordinator: PW-Engineering
Page 313 of 648
STORM SEWER SYSTEM
The Village of Buffalo Grove maintains a piped network of 180 miles of storm sewer, one storm
water lift station at Jackson Drive, and several miles of creeks and streams. While most periodic
maintenance and cleaning efforts are included in the Public Works Drainage Section operating
budget, system repairs are being included in the CIP due to the size and scope of necessary
repairs.
Repair locations are identified through the annual Storm Sewer Televising program. The program
allows a televised inspection of ten percent of the Village’s storm sewers each year. Tapes are
then reviewed by engineering staff and repair recommendations are grouped by point repair,
sewer lining, or pipe replacement.
In the past, most storm sewer repairs have been handled by in-house Public Works staff or in
conjunction with scheduled street maintenance. But, as infrastructure ages, the list of identified
repairs has increased. A contractual repair contract will be necessary and repairs will be
addressed in order of priority.
Beginning in 2016, a Storm Water Utility Fee was established in order to provide a separate utility
funding source for storm water work. Previously, work was charged to the General Fund.
It is anticipated that the storm sewer system repair program will be an ongoing need.
Page 314 of 648
STORM WATER SYSTEM UPGRADES AND REPAIRS
Summary: This program provides for storm sewer lining, point repairs, or replacements at
priority locations within the Village’s storm sewer network as identified through
the Annual Storm Sewer Televising Inspection Program. The identified 2018
projects include streambank stabilization within the Buffalo Creek Nature
Preserve in conjunction with a section 319 Grant (263k), Navajo Trail storm
sewer and rear yard storm sewer repairs (100k), and Gail Drive and Green
Knolls Drive sewer rehabilitation in conjunction with the road program (200k).
In addition, funding is set aside to complete GPS inventory of all pipes, catch
basins, streams, detention basins and related infrastructure (10k). Funding is
also being requested to install four level sensors at various locations throughout
the village with real time data capability (100k). Finally, for major road
improvements by other jurisdictions, the Village is responsible for the cost of the
Village’s storm sewer relocation costs. The estimated cost for Lake Cook Road
is 20k in 2019, 2020, and 2021. The estimated cost for Weiland Road is
estimated to be 50k in 2018 and 2019.
Budget Impact: This project is funded through the Village’s Storm Water Utility Fee.
5 Year Expenditure History
Budgeted
Amount
FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2017
200,000 200,000 200,000 330,000 778,000 1,708,000
Actual
Expenditures 133,084 200,000 250,000 307,639 300,000 1,190,723
5 Year Projected Expenditures
Expense
Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 TOTAL
Land - - - - - -
Design Services - - - - - -
Construction 1,053,000 470,000 420,000 420,000 400,000 2,763,000
Equipment - - - - - -
Contingency (170,000) - - - - (170,000)
Sub-Total $883,000 $470,000 $420,000 $420,000 $400,000 $2,593,000
Category: Storm Sewer
Fund: Storm Water Utility Fund
Account Number: 100.55.25.560.40
Initial Proposal Date: 2013
Project Coordinator: PW-Engineering
Page 315 of 648
TECHNOLOGY
The Village of Buffalo Grove’s Information Technology (IT) group is responsible for maintenance
of local and wide area networks that facilitate effective interdepartmental communication
among Village offices and facilities. The Village made a strategic move to join the Government
Information Technology Consortium (GovITC) in 2014. The Deputy Village Manager is the
president of the consortium and oversees the Village’s contract. The entire Village network
includes:
50 Virtual servers
230+ Desktop and mobile workstations
Approximately 100 printers and specialty devices
The backbone of the Village’s data systems is a redundant wide area network comprised of
fiber optic cable and secure wireless transmission. This network links the data systems of three fire
stations, two golf courses, Police Headquarters, Public Works, and Village Hall.
Technology is a key part of the Village’s vision and mission and that is reflected in this year’s CIP
requests.
Page 316 of 648
SCADA IMPROVEMENTS
Summary: The proposed expenses implement the recommended improvements as
detailed in the SCADA System Master Plan. The main goal for 2018 is to
maintain reliable radio communications to the lift station sites for control and
telemetry purposes. This work was deferred in 2017 due to budget constraints
and is being requested again in 2018. Work also continues to update software
and hardware within the SCADA system in order to update security and
alarming functionality, and replace key components which are no longer
serviceable due to manufacturer obsolescence.
Budget Impact: This program is funded by the Water & Sewer Fund Reserves.
5 Year Expenditure History
Budgeted
Amount
FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2017
77,000 85,800 200,000 200,000 - 562,800
Actual
Expenditures - 129,042 25,000 180,000 - 334,042
5 Year Projected Expenditures
Expense
Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 TOTAL
Land - - - - - -
Design Services 20,000 10,000 - - - 30,000
Construction - - - - - -
Equipment 180,000 100,000 20,000 20,000 20,000 340,000
Contingency - - - - - -
Sub-Total $200,000 $110,000 $20,000 $20,000 $20,000 $370,000
Category: Technology
Fund: Water & Sewer
Account Number: 170.55.35.560.60
Initial Proposal Date: 2012
Project Coordinator: Public Works
Page 317 of 648
WATER MAIN & SANITAR Y SEWER SYSTEMS
The Village of Buffalo Grove’s oldest water main was constructed in 1929 with the majority,
approximately 50 percent, of water main put into place between 1983 and 1996. Currently, the
water main system has 181 linear miles of water main and has a replacement value of
approximately 773 million. Other water system features include:
2,475 Hydrants
1,900 Valves
Four Pump Houses with storage reservoirs and back-up deep wells
Due to the relatively young age of the water system, between 1993 and 2010 the only major
capital expense was $229,527 for the St. Mary’s Parkway water main replacement. In the most
recent five-year period between 2013 and 2017, there were $3,095,253 in capital expenses
related to water system replacements and improvements.
The Village of Buffalo Grove’s sanitary sewer system is a combination of gravity lines, force mains,
and lift stations. There are 134.20 miles of gravity sewer and 5.07 miles of force main. Currently,
there are 12 sanitary sewer lift stations in operation (six in Cook County and six in Lake County).
All municipal waste is conveyed through Village owned and maintained sanitary sewer mains.
The wastewater is then routed to either Lake County Public Works or Metropolitan Water
Reclamation District (Cook County).
Expenditures in this category historically include repairs and reliability enhancements to the
water and wastewater systems.
Page 318 of 648
CAPACITY MANAGEMENT OPERATIONS & MAINTENANCE (CMOM)
Summary: On July 10, 2014, MWRD adopted Article 8 of the Watershed Management
Ordinance (WMO) that outlines the requirements of the new Inflow/Infiltration
Control Program (IICP) that applies to all separate sanitary sewer systems tributary
to MWRD. These requirements are essentially a revision and update of the MWRD’s
Operation and Maintenance Requirements as released in 1989 as part of the
Sanitary Sewer Evaluation Survey (SSES). Per the MWRD guidance document, the
primary purpose of the IICP is to reduce sanitary sewer overflows (SSOs) and
basement backups (BBs). There is a minimum level of requirements for all
communities with additional requirements where SSOs and BBs occur. The IICP is
split into two program requirements; a Short Term Program and a Long Term
Program. The requirements of the Short Term Program are to be met by the end of
2019. The Long Program then starts in 2020 and continues in perpetuity or until
MWRD develops a program to replace it.
Budget Impact: This program is funded by the Water and Sewer Fund Reserves.
5 Year Expenditure History
Budgeted
Amount
FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2017
- - - - - -
Actual
Expenditures - - 9,600 5,700 54,000 69,300
5 Year Projected Expenditures
Expense
Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 TOTAL
Land - - - - - -
Design Services 64,000 42,000 19,000 39,000 50,000 214,000
Construction - - - - - -
Equipment - - - - - -
Contingency - - - - - -
Sub-Total $64,000 $42,000 $19,000 $39,000 $50,000 $214,000
Category: Water Main & Sanitary Sewer
Fund: Water & Sewer Fund
Account Number: 170.55.36.560.70
Initial Proposal Date: 2017
Project Coordinator: Public Works
Page 319 of 648
LIFT STATION REPAIR & REHABILITATION PROGRAM
Summary: This program continues the replacement of the Golfview Lift Station and other
required work identified at the Village’s 12 lift stations sites, such as condition
evaluations, pump repairs, cathodic protection system renovations,
maintenance lift repairs, and contractual painting. In 2018, design for
rehabilitation of Chatham Lift Station is planned.
Budget Impact: This program is funded by the Water & Sewer Fund Reserves.
5 Year Expenditure History
Budgeted
Amount
FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2017
780,000 530,000 560,000 560,000 900,000 3,330,000
Actual
Expenditures 976 530,000 363,432 220,000 780,000 1,894,408
5 Year Projected Expenditures
Expense
Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 TOTAL
Land - - - - - -
Design Services 40,000 30,000 30,000 30,000 30,000 180,000
Construction 380,000 570,000 270,000 270,000 270,000 1,760,000
Equipment 20,000 20,000 20,000 20,000 20,000 100,000
Contingency - - - - - -
Sub-Total $440,000 $620,000 $320,000 $320,000 $320,000 $2,020,000
Category: Water Main & Sanitary Sewer
Fund: Water & Sewer Fund
Account Number: 170.55.36.560.70
Initial Proposal Date: 2001
Project Coordinator: Public Works
Page 320 of 648
PUMP HOUSE & SECURITY IMPROVEMENTS
Summary: This program incorporates pump house repair projects identified in the 2008
Comprehensive Water Study Update and improvements identified in the
federally mandated vulnerability study.
In 2018, brick fascia repairs and access hatch security improvements, along
with other minor pump house site improvements, will continue. In addition,
design work will commence in 2018 for parts and material storage at Pump
Station #2 and a weather enclosure over the well head at Pump Station #7
with construction proposed for 2019. Well maintenance at Stations #1 & #2
are being programmed at this time for completion in future years 2019 and
2020.
Budget Impact: This program is funded by the Water & Sewer Fund Reserves.
5 Year Expenditure History
Budgeted
Amount
FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2017
610,318 550,000 550,000 550,000 300,000 2,560,318
Actual
Expenditures 17,209 300,000 400,000 350,000 300,000 1,367,209
5 Year Projected Expenditures
Expense
Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 TOTAL
Land - - - - - -
Design Services 80,000 40,000 20,000 20,000 20,000 180,000
Construction 400,000 600,000 300,000 200,000 200,000 1,700,000
Equipment - - - - - -
Contingency - - - - - -
Sub-Total $480,000 $640,000 $320,000 $220,000 $220,000 $1,880,000
Category: Water Main & Sanitary Sewer
Fund: Water & Sewer Fund
Account Number: 170.55.35.560.60
Initial Proposal Date: 2010
Project Coordinator: PW-Engineering
Page 321 of 648
VILLAGEWIDE SANITARY SEWER REPLACEMENT PROGRAM
Summary: This program provides for sanitary sewer lining, point repairs or replacements at
priority locations. The locations are identified through the Annual Sanitary
Sewer Televising Inspection Program and reviewing maintenance and flushing
reports. The remaining portions of the major sewer interceptor and the
associated manholes on Old Arlington Heights Road are planned to be lined
(400k) as well as other sanitary manholes in Cook County are planned to be
lined (100k). The annual sewer televising program is planned to review
approximately ten perecnt of the total Village’s sanitary sewer system (100k)
and smoke testing is planned for 2018 (50k). For major road improvements
by other jurisdictions, the Village is responsible for the cost of the Village’s
sanitary sewer relocation costs. The estimated cost for Lake Cook Road is 35k
in 2019, 2020 and 2021. The estimated cost for Weiland Road is 50k in 2018 and
2019.
Budget Impact: This program is funded by the Water & Sewer Fund Reserves.
5 Year Expenditure History
Budgeted
Amount
FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2017
- 700,000 850,000 1,175,000 1,210,000 3,935,000
Actual
Expenditures - 505,031 652,934 517,346 1,210,000 2,885,311
5 Year Projected Expenditures
Expense
Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 TOTAL
Land - - - - - -
Design Services - - - - - -
Construction 735,000 485,000 435,000 435,000 400,000 2,490,000
Equipment - - - - - -
Contingency - - - - - -
Sub-Total $735,000 $485,000 $435,000 $435,000 $400,000 $2,490,000
Category: Water Main & Sanitary Sewer
Fund: Water & Sewer Fund
Account Number: 170.55.36.560.70
Initial Proposal Date: 2012
Project Coordinator: PW-Engineering
Page 322 of 648
VILLAGEWIDE WATER MAIN REPLACEMENT PROGR AM
Summary: This program provides for water main replacements at priority locations in the
Village as identified through Water Service Interruption Reports. Projects have
been identified at various locations within the Village and are proposed for repair
in future years (1 million each year). Example projects are adding a second water
main feed near Aptakisic Road and Prairie Road, a second feed near Lucinda
Lane and Mike Rylko Park, water main replacement along South Buffalo Grove
Road, and replacement in a portion of the Cambridge neighborhood. This
includes design and construction management as needed. For major road
improvements by other jurisdictions, the Village is responsible for the cost of the
Village’s water main relocation costs. The estimated cost for water main
relocation within Lake Cook Road is 500k in 2019, 2020 and 2021. The estimated
cost for relocation within Weiland Road is 75k in 2018 and 40k in 2019. An
additional 40k is proposed for water main leak detection in 2018. A full water
model is proposed for 2018 (75k).
Budget Impact: This program is funded by the Water & Sewer Fund Reserves.
5 Year Expenditure History
Budgeted Amount FY 2013 FY 2014 FY 2015 FY 2016 Estimated TOTAL FY 2017
160,000 1,376,000 850,000 500,000 1,070,000 3,956,000
Actual
Expenditures 153,150 1,566,560 154,779 620,764 600,000 3,095,253
5 Year Projected Expenditures
Expense Category FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 TOTAL
Land - - - - - -
Design Services 175,000 100,000 100,000 75,000 75,000 525,000
Construction 1,015,000 1,440,000 1,400,000 925,000 925,000 5,705,000
Equipment - - - - - -
Contingency - - - - - -
Sub-Total 1,190,000 1,540,000 1,500,000 1,000,000 1,000,000 6,230,000
Category: Water Main & Sanitary Sewer
Fund: Water & Sewer Fund
Account Number: 170.55.35.560.60
Initial Proposal Date: 2012
Project Coordinator: PW-Engineering
Page 323 of 648
RESERVE FOR CAPITAL REPLACEMENT – VEHICLES
The Village maintains unique sets of capital equipment for five divisions; Police, Fire, Public Works,
Engineering, and Community Development. When a vehicle or piece of equipment is acquired,
a projected life span is assigned and amortization costs are calculated based on past
performance of vehicles or equipment of similar class that are in current inventory. Additionally,
vehicles and equipment are assessed on an annual basis to determine whether the projected
replacement date is reasonable and units, which evaluate favorably for condition, operational
need, cost of operation/maintenance, equipment suitability and parts availability can be
deferred beyond the original replacement date projections.
The Village maintains a capital replacement fund with the intent to fund the amortization on
each vehicle. Ideally, when vehicles are scheduled for replacement the replacement cost will
be fully funded with available money.
The 2018 budget includes 518,300 to fund the reserve account in order to minimize a direct
impact on the operating budget as equipment comes up for replacement in the near future.
Currently, 6.9 million is in the reserve account and the table below shows the projected
replacement costs through 2024. It is important that the reserve be funded in order to minimize
impact to future budgets.
Finally, the Village Board's approval of the funding reserve does not authorize spending for
equipment replacement. Each replacement vehicle or equipment purchase must go through
the procurement process including Board authorization to bid and award of bid. This ensures
that the procurement remains consistent with the budget and that identified funding is available
at the time of purchase.
Planned Capital Reserve Replacements by Department - Vehicles (in dollars)
Department 2018 2019 2020 2021 2022 2023 2024 Subtotal
OVM - 17,557 - - - - 20,191 37,749
Fire 948,707 496,298 96,672 866,440 69,418 302,449 550,598 3,330,582
Police 186,508 120,540 50,401 60,117 - - 138,621 556,187
Comm
Development 87,000 19,440 - - - - 100,050 206,490
Engineering - - 57,797 - - 30,717 - 88,514
Building
Maintenance - 151,471 49,119 - 10,015 - 99,971 310,576
Streets 153,300 688,238 202,300 - 183,653 - 454,237 1,681,729
Forestry 451,647 309,605 8,648 - 228,335 - 356,046 1,354,282
Drainage - - - - 391,926 - - 391,926
Water 166,000 413,498 138,749 - 181,140 - 190,900 1,090,287
Sanitary Sewer 164,642 448,038 - 65,987 - - 147,852 826,520
Central Garage - 133,773 20,000 - - - 153,839 307,612
Public Works
Administration 29,270 - - - - - - 29,270
Total $2,187,074 $2,798,458 $623,686 $992,544 $1,064,487 $333,166 $2,212,305 $10,211,720
Page 324 of 648
The following graph projects the balance of the Reserve for Capital Replacement for Vehicles
assuming a yearly funding level of $600,000.
The graph below charts total replacement cost against the capital reserve fund balance. All
vehicles have an estimated replacement value of $12.2 million. The two lines show where the
Village was as the budget was proposed last year (2017 est.) vs the proposed 2018 Budget (2018
est.). The improved funding ratio from 2019 through 2021 is directly attributed to the outsourcing
of the Golf department maintenance for both Arboretum and Buffalo Grove Golf Club. The Golf
department’s capital reserve was exhausted funding the 2017 Buffalo Grove Golf Club
improvements.
-
1,000,000.00
2,000,000.00
3,000,000.00
4,000,000.00
5,000,000.00
6,000,000.00
2018 2019 2020 2021 2022 2023 2024
Projected Reserve Balance - Vehicles
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
2017 2018 2019 2020 2021 2022 2023
Projected Funding Ratio
Est 2018
Est 2017
Page 325 of 648
CAPITAL PROJECTS - STREETS FUND
Capital Projects – Streets is a program that funds street improvement, repair, and replacement.
The elements of this program have been identified and recommended as part of the Village’s
comprehensive Capital Improvement Plan for the period FY 2018 through FY 2022. Proceeds for
the street maintenance fund are funded through transfers from the General Fund.
PROGRAM AREAS
Capital Projects – Street ………….……………….………………………………………………..…………329
Page 326 of 648
2018 CAPITAL PROJECTS – STREET PROGRAM SUMMARY
Capital Projects - Streets
Street Improvement and Repair
Page 327 of 648
2018 CAPITAL PROJECTS - STREET PROGRAM BUDGET SUMMA RY
Capital Projects – Streets
Funding Source
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Revenue - 7,174,727 1,537,950 95,000 360,000 -76.59%
Total - $7,174,727 $1,537,950 $95,000 $360,000 -76.59%
Capital Projects – Streets
Expenditures
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Street Improvement
and Repair 81,460 7,629,014 350,000 350,000 360,000 2.86%
Total $81,460 $7,629,014 $350,000 $350,000 $360,000 2.86%
Expenditures that exceed revenues are funded through unreserved fund balance.
Street
Improvement
and Repair
100%
Program Budget Summary
Page 328 of 648
PROGRAM AREA : CAPITAL PROJECTS - STREETS
The identified projects have been previously planned as part of the FY 2018 portion of the
Village’s comprehensive Capital Improvement Plan for FY 2018 through FY 2022. Funding will
come from unreserved General Fund Balances and other sources as authorized under current
Village use policies.
FUNDING SOURCE
Revenue
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
Page 329 of 648
FUNDING SOURCE: REVE NUE
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: Capital Projects
-Street
Bond Proceeds - 6,125,000 - - - 0.00%
Operating Transfers - 1,049,727 1,537,950 95,000 360,000 -76.59%
Total - $7,174,727 $1,537,950 $95,000 $360,000 -76.59%
Expenditures that exceed revenues are funded through unreserved fund balance.
Operating
Transfers
100%
2018 Revenue Collection
Page 330 of 648
PROGRAM AREA : CAPITAL PROJECTS - STREETS
The Village is responsible for street, curb, and gutter throughout the Village. The maintenance,
upkeep, repair and replacement of these assets are funded through this fund. This fund serves
as the accounting guide for the approved budget items included in the Capital Improvement
Plan for the Village of Buffalo Grove.
MAJOR SERVICES
Building and Structure Improvement and Repair
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
Page 331 of 648
MAJOR SERVICE : STREET IMPROVEMENT AND REPA IR
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: Capital Projects
Street
Capital Outlay 81,460 7,527,979 350,000 350,000 360,000 2.86%
Operating Transfers - 87,447 - - - 0.00%
All Other Expenses - 13,588 - - - 0.00%
Total Street Repair and
Maintenance $81,460 $7,629,014 $350,000 $350,000 $360,000 2.86%
Expenditures that exceed revenues are funded through unreserved fund balance.
Capital
Outlay
100%
2018 Street Improvement and Repair
Page 332 of 648
CAPITAL PROJECTS - FACILITIES FUND
This fund provides for the accounting of design, acquisition, and construction elements of various
Village capital facilities and equipment.
PROGRAM AREAS
Capital Projects – Facilities ……………….………………………………………………..…………........336
Page 333 of 648
2018 CAPITAL PROJECTS – FACILITIES PROGRAM SUMMARY
Capital Projects - Facilities
Building and Structure
Improvement and Repair
Page 334 of 648
2018 CAPITAL PROJECTS - FACILITIES PROGRAM BUDGET SUMMA RY
Capital Projects –
Facilities
Funding Source
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Revenue 1,337,984 928,356 2,440,303 1,875,303 1,576,963 -35.38%
Total $1,337,984 $928,356 $2,440,303 $1,875,303 $1,576,963 -35.38%
Capital Projects –
Facilities
Expenditures
2015
Actual 2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Building/Structure
Improvement and
Repair
2,746,734 846,995 1,974,723 1,215,850 1,576,963 -20.14%
Total $2,746,734 $846,995 $1,974,723 $1,215,850 $1,576,963 -20.14%
Expenditures that exceed revenues are funded through Capital reserve.
CAPITAL PROJECTS – FACILITIES VARIANCES
Capital Projects –
facilities Capital
Projects - Facilities
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Comments
Capital Outlay 1,974,723 1,215,850 1,576,963 -20.14%Reduction in Capital Improvement
Plan Funding.
Building/Structure
Improvement and
Repair
100%
Program Budget Summary
Page 335 of 648
PROGRAM AREA : CAPITAL PROJECTS - FACILITIES
The identified projects have been previously planned for as part of the FY 2018 portion of the
Village’s comprehensive Capital Improvement Plan for FY 201 8 through FY 2022. Funding will
come from several sources, most notably the transfer of prior accumulations of unreserved
General Fund Balance and Water and Sewer Fund equity as authorized under current Village
use policies.
FUNDING SOURCE
Revenue
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
Page 336 of 648
FUNDING SOURCE: REVE NUE
The Village has multiple buildings and structures for which it is responsible for maintenance,
upkeep, repair, and replacement. This fund serves as the accounting guide for the approved
budget items included in the Capital Improvement Plan for the Village of Buffalo Grove.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: Capital
Projects Facilities
Operating Transfers 1,337,984 928,356 1,875,303 1,875,303 701,768 -62.58%
All Other Revenue - - 565,000 - 875,195 54.90%
Total Revenue
Collection $1,337,984 $928,356 $2,440,303 $1,875,303 $1,576,963 35.38%
Expenditures that exceed revenues are funded through Capital reserve.
Operating
Transfers
45% All Other
Revenue
55%
2018 Revenue Collection
Page 337 of 648
PROGRAM AREA : CAPITAL PROJECTS - FACILITIES
The identified projects have been previously planned for as part of the FY 2018 portion of the
Village’s comprehensive Capital Improvement Plan for FY 2018 through FY 2022. Funding will
come from several sources, most notably the transfer of prior accumulations of unreserved
General Fund Balance and Water and Sewer Fund equity as authorized under current Village
use policies.
MAJOR SERVICES
Building and Structure Improvement and Repair
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
Page 338 of 648
M AJOR SERVICE : BUILDING AND STRUCTU RE IMPROVEMENT AND
REPAIR
The Village has multiple buildings and structures for which it is responsible for maintenance,
upkeep, repair, and replacement. This fund serves as the accounting guide for the approved
budget items included in the Capital Improvement Plan for the Village of Buffalo Grove.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: Building
Maintenance
Personnel Wages - - - - - -
Personnel Benefits - - - - - -
Operating Expenses - - - - - -
Commodities - - - - - -
Repairs &
Maintenance - - - - - -
Capital Outlay 2,746,734 846,995 1,974,723 1,215,850 1,576,963 -20.14%
Capital Reserve
Transfers - - - - - -
Contractual Services - - - - - -
Internal Service
Transfers - - - - - -
Total Building and
Structure Improvement
and Repair
$2,746,734 $846,995 $1,974,723 $1,215,850 $1,576,963 -20.14%
*Expenditures that exceed revenues are funded through Capital reserve.
Capital
Outlay
100%
2018 Building and Structure Improvement and
Repair
Page 339 of 648
MOTOR FUEL TAX FUND
Motor Fuel Tax improvements and projects are needed to provide for safety and capacity
improvements for Village roadways. They also provide for the ongoing maintenance and
improvement of local Village-owned streets.
PROGRAM AREAS
Motor Fuel Tax …………………………………….………………………………………………..…………343
Page 340 of 648
2018 MOTOR FUEL TAX FUND PROGRAM SUMMARY
Motor Fuel Tax Fund Expenditures
Street Repair and Maintenance
Page 341 of 648
2018 MOTOR FUEL TAX FUND PROGRAM BUDGET SUMMARY
Motor Fuel Tax
Funding Source
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018 Budget % Change
FY17-FY18
Revenue 1,873,676 1,056,515 1,000,000 1,040,000 1,000,000 0.00%
Total $1,873,676 $1,056,515 $1,000,000 $1,040,000 $1,000,000 0.00%
Motor Fuel Tax
Expenditures
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Street Repair and
Maintenance 1,781,905 1,282,619 1,500,000 1,500,000 1,000,000 -33.33%
Total $1,781,905 $1,282,619 $1,500,000 $1,500,000 $1,000,000 -33.33%
Expenditures over revenues are funded through unreserved fund balance.
MOTOR FUEL TAX VARIANCES
Motor Fuel Tax 2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Comments
Capital Outlay 1,500,000 1,500,000 1,000,000 -33.33%Current year budget will not spend
down fund balance for projects.
Street Repair
and Maintenace
100%
Program Budget Summary
Page 342 of 648
PROGRAM AREA : MOTOR FUEL TAX
Motor Fuel Tax (MFT) Fund revenues are distributed by the Illinois Department of Transportation.
In previous fiscal years the Village of Buffalo Grove allocated 25 percent of Home Rule Sales Tax
to the MFT Fund, due to budgetary constraints the funds are no longer transfered to the MFT
Fund.
FUNDING SOURCE
Revenue
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
KEY PERFORMANCE MEASURES
Street Repair and Maintenance Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Record monthly distributions within one
week of receipt 12 12 12 12 12
Account for 12 payments per fiscal year
on a modified accrual basis Yes Yes Yes Yes Yes
Page 343 of 648
FUNDING SOURCE : REVENUE
Motor Fuel Tax is distributed through the Illinois Department of Transportation based on
population. The Village collects motor fuel tax on a monthly basis and accounts for it on a
modified accrual basis.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: MFT
State Shared Taxes 1,014,469 1,056,515 1,000,000 1,040,000 1,000,000 0.00%
Operating Transfers 859,207 - - - - -
Total $1,873,676 $1,056,515 $1,000,000 $1,040,000 $1,000,000 0.00%
*Expenditures over revenues are funded through unreserved fund balance.
State Shared
Taxes
100%
2018 Revenue Collection
Page 344 of 648
MOTOR FUEL TAX : EXPENDITURES
Detailed plans and specifications a prepared for identified streets including surface treatments,
base repairs and any necessary drainage and curb improvement. Construction is performed by
a contractor selected through a competitive bidding process with construction engineering to
be performed by a consulting engineer. The Village Engineer performs administration of the
engineering service and construction contracts.
MAJOR SERVICES
Street Repair and Maintenance
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
Page 345 of 648
M AJOR SERVICE : STREET REPAIR AND MA INTENANCE
The purpose of the Motor Fuel Tax Funds are for road construction, reconstruction, resurfacing,
and general maintenance of roadways for which the Village is responsible. These funds are a
special revenue fund which is distributed based on the population of the Village.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actuatl
2018
Budget
% Change
FY17-FY18
Fund: MFT
Personnel Wages - - - - - 0.00%
Personnel Benefits - - - - - 0.00%
Operating
Expenses - - - - - 0.00%
Commodities - - - - - 0.00%
Repairs &
Maintenance - - - - - 0.00%
Capital Outlay $1,781,905 $1,282,619 $1,500,000 $1,500,000 $1,000,000 -33.33%
Contractual
Services - - - - - 0.00%
Total Street Repair
and Maintenance $1,781,905 $1,282,619 $1,500,000 $1,500,000 $1,000,000 -33.33%
Expenditures over revenues are funded through unreserved fund balance.
Street Repair
and
Maintenance
100%
2018 Street Repair and Maintenance
Page 346 of 648
PAGE INTENTIONALLY LEFT BLANK
SECTION SEVEN : ENTERPRISE FUND
GOLF OPERATIONS – WATER AND SEWER – REFUSE
GOLF
The Village of Buffalo Grove operates two municipal golf courses. The Arboretum Club on Half-
Day Road and the Buffalo Grove Golf Club on Raupp Boulevard.
The overall objective of the Funds is to maintain the physical quality of two 18-hole golf courses,
a driving range, and practice areas in a manner that is acceptable to the patron and to
enhance the enjoyment of the game. Pro Shop activities provide support services to the patron
in the form of retail activity.
PROGRAM AREAS
Buffalo Grove Golf Club………………………….……………………………………………..…..…………352
The Arboretum Club……………………………….………………………………………………..….………355
Page 349 of 648
2018 GOLF FUND PROGRAM SUMMARY
Golf
Buffalo Grove Golf Club
Arboretum Club
Page 350 of 648
2018 GOLF FUND PROGRAM BUDGET SUMMARY
Golf 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18 Revenue Source
Buffalo Grove
Golf Club 1,315,945 1,221,616 1,201,385 1,226,800 1,208,288 0.57%
Arboretum Club 1,472,929 1,395,703 1,465,228 1,410,904 1,490,967 1.76%
Total $2,788,874 $2,617,319 $2,666,613 $2,637,704 $2,699,255 1.22%
Golf 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18 Expenditures
Buffalo Grove
Golf Club 1,357,896 1,256,917 1,719,385 2,052,985 1,208,288 -29.73%
Arboretum Club 1,867,318 1,745,147 1,465,228 1,411,181 1,491,244 1.78%
Total $3,225,214 $3,002,064 $3,184,613 $3,464,166 $2,699,032 -15.25%
Expenditures that exceed revenues are funded through the capital reserve and an operating
transfer from the general fund. In fiscal year 2017, previous year’s deficit is related to the
unbudgeted expenditure for depreciation.
BGGC
40%
Arboretum Club
60%
Program Budget Summary
Page 351 of 648
PROGRAM AREA : BUFFALO GROVE GOLF COURSE
FUNDING SOURCE
Revenue
PROGRAM CHANGES OF NOTE
Expendatures are down due to the completion of the restaruant and other facility improvemnts.
BUFFALO GROVE GOLF COURSE VARIANCES
Buffalo Grove
Golf Course
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Comments
Wages 329,812 311,971 291,880 -11.50%Full time position replaced with
part time position.
Benefits 111,805 99,235 99,185 -33.33%Full time position replaced with
part time position.
Commodities 64,000 47,000 51,000 -20.31%Reduction due to historical trend.
Capital Outlay 485,000 845,000 20,000 -95.88%Completed Clubhouse restaurant
project.
Internal Service 104,269 104,269 118,761 13.90% Change in the allocation formula.
KEY PERFORMANCE MEASURES
Buffalo Grove Golf Club Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Total paid rounds 30,000 28,659 26,975 27,437 28,500
Number of weekday outings 30-35 26 32 27 35
Percentage of rounds played by
residents 40%-42% 41% 43% 40% 41%
Page 352 of 648
BUFFALO GROVE GOLF COURSE: REVENUE
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: Golf
Charges for
Service 1,093,389 1,043,742 1,097,700 1,055,767 1,129,180 2.87%
Other Revenue 4,451 3,515 500 500 2,200 340.00%
Operating
Transfer 218,105 174,359 103,185 170,533 76,908 -25.47
Total Revenue
Collection $1,315,945 $1,221,616 $1,201,385 $1,226,800 $1,208,288 0.57%
Expenditures that exceed revenues are funded through the capital reserve and an operating
transfer from the general fund in fiscal year 2017, previous year’s deficit is related to the
unbudgeted expenditure for depreciation
Charges for
Service
94%
Other Revenue
0%
Operating
Transfer
6%
2018 Revenue Collection
Page 353 of 648
Personnel Wages
24%
Personnel
Benefits
8%
Operating
Expenses
12%
Commodities
4%
Repairs and
Maintenance
2%
Capital Outlay
2%
Reserve Transfers
6%
Contractual
Services
32%
Internal Services
10%
2018 Buffalo Grove Golf Club
M AJOR SERVICE : BUFFALO GROVE GOLF C LUB
Built in 1965 and purchased by the Village in 1977, the Buffalo Grove Golf Club features bent
grass greens that are complemented with bluegrass fairways and tees. A mix of mature trees,
sand and water will challenge shot-making abilities of all skill levels. Buffalo Grove Golf Club can
be played from 6,883 yards to as short as 5,983 yards. The course offers three sets of tees.
Course amenities include a driving range, chipping green, putting green, locker rooms, and a
full service restaurant.
Buffalo Grove Golf
Course
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Personnel Wages 374,244 328,875 329,812 311,971 291,880 -11.50%
Personnel Benefits 132,592 110,201 111,805 99,235 99,185 -11.29%
Operating
Expenses 146,268 171,420 142,166 147,127 144,568 1.69%
Commodities 63,930 47,343 64,000 47,000 51,000 -20.31%
Repairs and
Maintenance 29,877 22,435 20,000 36,050 19,000 -5.00%
Capital Outlay 2,125 5,167 485,000 845,000 20,000 -95.88%
Reserve Transfers - 2,031 70,600 70,600 70,600 0.00%
Contractual
Services 386,291 382,652 391,733 391,733 393,294 0.40%
Internal Services 135,685 83,409 104,269 104,269 118,761 13.90%
Operating Transfers 54,100 70,600 - - - 0.00%
Depreciation 32,784 32,784 - - - 0.00%
Total $1,357,896 $1,256,917 $1,719,385 $2,052,985 $1,208,288 -29.73%
Expenditures that exceed revenues are funded through the capital reserve and an operating
transfer from the general fund. I n fiscal year 2017, previous year’s deficit is related to the
unbudgeted expenditure for depreciation
Page 354 of 648
PROGRAM AREA : ARBORETUM CLUB
The Arboretum Golf Course is owned and operated by the Village, The Arboretum Club opened
in 1990. The 27,000 square foot clubhouse boasts spacious locker rooms for men and woman; a
pro shop filled with a fine selection of clubs, shoes, golf apparel, and accessories; a snack shop
for quick refreshments before play and between nines; a bar and restaurant for leisurely
enjoyment before or after a round.
FUNDING SOURCE
Revenue
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
ARBORETUM GOLF CLUB VARIANCES
Arboretum
Golf Course
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Comments
Reserve Transfer 55,400 55,400 10,000 -81.95%Reserve Contribution reduced.
Internal Service 220,308 220,308 282,765 28.35% Change in the allocation formula.
KEY PERFORMANCE MEASURES
Arboretum Club Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Total paid rounds 24,000 24,367 21,799 23,900 24,100
Number of weekday outings 30 27 29 32 30
Percentage of rounds played by
residents 37%-39% 40% 34% 38% 39%
Page 355 of 648
ARBORETUM CLUB: REVENUE
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: Golf- Arbo
Charges for
Service 1,238,089 1,193,608 1,268,760 1,243,575 1,263,320 -00.43%
Operating Transfer 234,840 202,095 196,468 167,329 227,647 13.33%
Total Revenue
Collection $1,472,929 $1,395,703 $1,465,228 $1,410,904 $1,490,967 1.76%
Expenditures that exceed revenues are funded through the capital reserve and an operating
transfer from the general fund. In fiscal year 2017, previous year’s deficit is related to the
unbudgeted expenditure for depreciation
Charges for
Service
85%
Operating
Transfer
15%
2018 Revenue Collection
Page 356 of 648
MAJOR SERVICE : ARBORETUM CLUB
Arboretum Club 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Personnel Wages 240,881 163,395 168,400 146,900 173,900 3.27%
Personnel Benefits 78,719 29,990 50,590 27,154 49,001 -3.14%
Operating Expenses 95,410 196,198 168,527 196,360 170,147 0.96%
Commodities 53,555 42,822 53,000 44,000 53,000 0.00%
Repairs and
Maintenance 8,123 3,043 8,466 10,622 8,500 0.40%
Capital Outlay - 9,732 55,100 25,000 55,000 -0.18%
Reserve Transfers - - 55,400 55,400 10,000 -81.95%
Contractual Services 667,134 669,661 685,437 685,437 688,931 0.51%
Internal Services 234,840 173,197 220,308 220,308 282,765 28.35%
Operating Transfer - - - - - 0.00%
Depreciation 488,656 457,109 - - - 0.00%
Total $1,867,318 $1,745,147 $1,465,228 $1,411,181 $1,491,244 1.78%
Expenditures that exceed revenues are funded through the capital reserve and an operating
transfer from the general fund. In fiscal year 2017, previous year’s deficit is related to the
unbudgeted expenditure for depreciation
Personnel
Wages
12%
Personnel
Benefits
3%
Operating
Expenses
11%
Commodities
3%
Repairs and
Maint
1%
Capital Outlay
4%
Reserve Transfers
1%
Contractual
Services
46%
Internal Services
19%
2018 Arboretum Club
Page 357 of 648
WATER AND SEWER FUND
Water usage is projected to be low from a historical standpoint, but in line with the current trend
of actual usage in 2016 and 2017. Water Fund revenues include building fees, sales of water,
investment income and all other revenues.
Building Revenue & Fees: The revenue for development fees is $60,000 for the proposed budget.
This account group takes into consideration anticipated building and development plans.
Building revenue and fees are developed in conjunction with estimates used by the Community
Development Department.
Sales of Water: Significant revenue accrues from the metered sale of water along with sanitary
sewer treatment fees due the County of Lake. The combined water and sewer rate for 2018
adjusts to $6.13/1,000 gallons. The water rate is $4.92 and Sewer is $1.21. The combined rate will
continue to increase four percent each year. The rate recommendations were the result of the
twenty-year proforma analysis. This report is updated and reviewed annually.
Over the last three years, water usage has stabilized and no significant growth in consumption
was factored for FY 2018. Consumption has significantly decreased in the last ten years. The
decrease in consumption is due to several factors including economic decisions to better
manage water use, recent weather patterns of cooler and wetter summers, and more efficient
appliances.
The last line item of significance is Lake County Sanitary Sewer Treatment Fees. Lake County
residents pay $4/1,000 gallons of water metered for sanitary sewer treatment. The rate is set by
the County of Lake. The village bills on behalf of the county to save administrative costs. Cook
County residents pay for sanitary sewer treatment through a property tax levied by the
Metropolitan Water Reclamation District of Chicago.
The water and sewer-staffing summary and staff time by functional area can be found under
the Public Works department in Section 5.
PROGRAM AREAS
Water …………………………………………………………………………………………………..…………362
Sewer …………………………………………………………………………………………………..…………372
Page 358 of 648
2018 WATER AND SEWER DEPARTMENT STRUCTURE
Public Works
Administration
Operations
Utilities
Water
Sewer
Page 359 of 648
Water
Customer
Service Meters
Pumpage and
Purification
Distribution
Service to
External
Agencies
Administration
Miscellaneous
Services
Sewer
Sewer System
Operations and
Maintenance
Sewerage Lift
Station
Operation and
Maintenance
Underground
Utility Locating
Service to
External
Agencies
Administration
Miscellaneous
Services
Page 360 of 648
2018 WATER AND SEWER PROGRAM BUDGET SUMMAR Y
Water and
Sewer
Revenues
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Water 5,598,314 6,096,813 6,434,720 6,310,050 6,541,842 1.67%
Sewer 4,774,192 4,566,256 5,011,823 5,510,872 5,163,547 3.03%
Total $10,372,506 $10,663,069 $11,446,543 $11,820,922 $11,705,389 2.26%
Water and
Sewer
Expenditures
2015
Actual
2016
Actual
2017
Budget 2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Water 6,213,780 6,127,638 6,278,590 6,187,644 6,320,525 0.67%
Sewer 3,824,270 3,911,640 5,381,094 5,905,696 5,406,824 0.48%
Total $10,038,580 $10,039,278 $11,659,684 $12,093,340 $11,727,349 0.58%
Expenditures over revenues will utilize fund balance to fund sewer projects
WATER FUND VARIANCES
Water Fund 2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Comments
Repair and
Maintenance 118,900 107,700 134,500 13.12 Increase for facilities sidewalk,
curbs, and bikeways.
Water
54%
Sewer
46%
Program Budget Summary
Page 361 of 648
PROGRAM AREA : WATER
This section provides for the repair and
maintenance of 181.3 miles of water main,
1,903 valves, 2,500 fire hydrants, four pump
stations, and four emergency back-up deep
wells that comprise the Village’s water
system. The system is maintained in
accordance with guidelines established by
the Illinois Environmental protection Agency
(IEPA), the American Water Works
Association (AWWA) and the Northwest
Water Commission. Major tasks of this
section include repairing water main breaks,
flushing and repairing fire hydrants, reading
and repairing water meters, well and pump
house maintenance and collecting water
samples. Financial information is located in
the enterprise fund, Section 7 of the budget
document.
MAJOR SERVICES
Funding Source
Customer Service Meters
Pumpage and Purification
Distribution
Service to Internal Departments
Administration
Special Events and Annual Projects
PROGRAM CHANGES OF NOTE
Personnel costs such as salary, benefits and related items for the Deputy Director, Maintenance
& Utilities Superintendent, Management Analyst and Administrative Assistant have been moved
to the Department’s administrative budget.
Page 362 of 648
KEY PERFORMANCE MEASURES
Customer Service Meters Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Meter Exchanges (each) 75 9 118 122 130
New Meter Installs (each) 30 21 26 40 60
Pumpage & Purification Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Water Produced (MGD) 4.000 3.387 3.660 4.609 3.990
Water Samples (hours) 200 610 481 200 200
Pump House Maintenance (hours) 1,750 881 1,230 1,330 1,500
Distribution Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Water Main Repairs (each) 60 21 68 35 50
Hydrant Repair & Replace (each) 120 82 51 216 200
Valve Repair & Replace (each) 15 6 25 15 20
Hydrant Flushing (each) 5,000 2,412 2,429 2,418 2,500
Valve Turning (each) 650 123 246 95 143
Service to External Agencies Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Citizen Inquiries/High Billing (Hours) 550 129 84 510 550
Snow and Ice Control (Hours) 600 112 68 17 200
Local Agency Assistance (Hours) 100 40 52 36 100
Administration Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
VCS, New World, Cartegraph, Neo-Gov,
Meetings & Committee(hours) 2,000 247 740 1,800 2,000
Departmental Safety & Training (Hours) 200 409 150 215 200
Misc Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Special Events (hours) 500 520 580 480 500
Page 363 of 648
FUNDING SOURCE : REVENUE
Water Revenue 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Building Revenue & Fees
Water Connection Fees 5,275 10,700 2,500 5,000 5,000 0%
Building Revenue & Fees
Water Meter Sales 10,070 11,172 2,500 6,000 5,000 16.67%
Building Revenue & Fees
System Improvement
Fees
18,182 18,382 5,000 18,500 5,000 72.97%
Sales of Water Resident-
Regular 5,449,200 5,586,896 6,315,670 6,151,050 6,397,092 -4.00%
Sales of Water Debt
Service Charge - 47 - - - -
Sales of Water Penalties 98,437 109,156 100,000 110,000 110,000 0%
Sales of Water
Construction Water - 423 250 - 250 -
Sales of Water Fees-Turn
On 1,300 1,605 1,000 3,000 3,000 0%
Investment Revenue 10,112 14,157 7,800 16,500 16,500 0%
All Other Revenue Grants - 94,326 - - - -
All Other Revenue
Miscellaneous Income 5,737 249,945 - - - -
Total Water Revenue $5,598,313 $6,096,809 $6,434,720 $6,310,050 $6,541,842 2.00%
Sales of Water
Resident - Regular
98%
Sales of Water
Penalties
2%
Investment
Revenue
0%
Revenue
Page 364 of 648
2018 WATER EXPENDITURES
Water 2015
Actual
2016
Actual 2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Personnel Wages 535,884 612,624 676,217 692,165 637,832 -5.68%
Personnel Benefits 941,818 378,900 386,182 368,532 396,618 2.70%
Operating
Expenses 1,187,817 1,466,454 16,519 12,276 16,350 -1.02%
Commodities 1,888,053 1,877,136 1,986,300 1,912,500 1,954,000 -1.63%
Repairs &
Maintenance 37,574 58,440 118,900 107,700 134,500 13.12%
Capital Outlay 1,219,221 1,404,876 2,486,836 2,486,836 2,570,233 3.35%
Reserve Transfers - - 61,700 61,700 61,700 0.00%
Contractual
Services - - 120,443 120,443 122,005 1.30%
Internal Service
Transfers 403,413 329,208 425,493 425,492 427,287 0.42%
Total Water $6,213,780 $6,127,638 $6,278,590 $6,187,644 $6,320,525 0.67%
Perssonel Wages
54%
Personnel
Benefits
23% Operating
Expenses
0%
Commodities
31%
Repairs &
Maintenance
2%
Capital Outlay
41%
Reserve Transfers
1%
Contractual
Services
2%
Internal Service
Transfers
7%
2018 Water ExpendItures
Page 365 of 648
MAJOR SERVICE: CUSTOMER SERVICE MET ERS
This program area provides for the repair, maintenance and customer service functions required
for the management of approximately 13,000 water meters used to track water consumption by
the water customers of the Village of Buffalo Grove. Tasks include water meter reading, issuing
water shut-off notices and shutting off water for non-payment, meter exchanges and new meter
installs.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Act.
2018
Budget
%
Change
FY17-
FY18
Fund: General
Personnel Wages 107,177 102,104 135,243 138,433 127,566 -5.68%
Personnel Benefits 188,364 63,150 77,236 73,706 79,324 2.70%
Operating
Expenses 237,563 244,409 3,304 2,455 3,270 -1.03%
Commodities 377,610 312,856 397,260 382,500 390,800 -1.63%
Repairs &
Maintenance 7,515 9,740 23,780 21,540 26,900 13.12%
Capital Outlay 243,844 234,146 497,367 497,367 514,047 3.35%
Reserve Transfers - - 12,340 12,340 12,340 0%
Contractual
Services - - 24,089 24,089 25,651 6.48%
Internal Service
Transfers 80,682 54,868 85,098 85,098 85,458 0.42%
Total Customer
Service Meters $1,242,755 $1,021,273 $1,255,717 $1,237,528 $1,265,356 0.64%
Personnel
Wages
10%
Personnel
Benefits
6%
Operating
Expenses
0%
Commodities
31%
Repairs &
Maintenance
2%
Capital Outlay
41%
Reserve
Transfers
1%
Contractual
Services
2%
Internal Service
Transfers
7%
2018 Customer Service Meters
Page 366 of 648
MAJOR SERVICE: PUMPAGE & PURIFICATI ON
This program area provides for the repair, maintenance and operations of the Village’s pumping
and purification facilities and infrastructure. The Village owns four water pumping stations and
reservoirs, all equipped with a backup deep well for emergency use. Annually, the Village
pumps 1.3 billion gallons of water. Tasks include daily station checks, secondary chlorination,
water sampling on a daily, monthly, and periodic basis, and the production of the annual
Consumer Confidence Report as required by the IEPA.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: Water and
Sewer
Personnel Wages 133,971 102,104 169,054 173,042 159,458 -5.68%
Personnel Benefits 235,454 63,150 96,546 92,133 99,155 2.70%
Operating
Expenses 296,954 244,409 4,130 3,069 4,088 -1.02%
Commodities 472,013 312,856 496,575 478,125 488,500 -1.63%
Repairs &
Maintenance 9,393 9,740 29,725 26,925 33,625 13.12%
Capital Outlay 304,805 234,146 621,709 621,709 642,558 3.35%
Reserve Transfers - - 15,425 15,425 15,425 0%
Contractual
Services - - 30,111 30,111 30,111 0%
Internal Service
Transfers 100,853 54,868 106,373 106,373 106,822 0.42%
Total Pumpage &
Purification $1,553,443 $1,021,273 $1,569,648 $1,546,912 $1,579,742 0.64%
Personnel
Wages
10%
Personnel Benefits
6%
Operating
Expenses
0%
Commodities
31%
Repairs &
Maintenance
2%
Capital Outlay
41%
Reserve Transfers
1%
Contractual
Services
2%
Internal Service
Transfers
7%
2018 Pumpage & Purification
Page 367 of 648
MAJOR SERVICE: DISTRIBUTION
This program area provides for the repair, maintenance and operation of the Village’s water
distribution system. The system consists of 181.3 miles of watermain, 2,500 fire hydrants and 1,900
water valves. Annually, the section addresses approximately 75 service interruptions. Tasks
include annual fire hydrant flow testing, valve turning and exercising, system repairs and assisting
contractors on new watermain installations.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: Water and
Sewer
Personnel Wages 214,354 102,104 270,487 276,866 255,132 -5.68%
Personnel Benefits 376,727 63,150 154,473 147,412 158,647 2.70%
Operating
Expenses 475,127 244,409 6,607 4,910 6,540 -1.01%
Commodities 755,221 312,856 794,520 765,000 781,600 -1.63%
Repairs &
maintenance 15,029 9,740 47,560 43,080 53,800 13.12%
Capital Outlay 487,689 234,146 994,734 994,734 1,028,093 3.35%
Reserve Transfers - - 24,680 24,680 24,680 0%
Contractual
Services - - 48,177 48,177 48,177 0%
Internal Service
Transfers 161,365 54,868 170,197 170,196 170,916 0.42%
Total Distribution $2,485,512 $1,021,273 $2,511,435 $2,475,055 $2,527,585 0.64%
Personnel
Wages
10%
Personnel
Benefits
6%
Operating
Expenses
0%
Commodities
31%
Repairs &
maintenance
2%
Capital Outlay
41%
Reserve
Transfers
1%
Contractual
Services
2%
Internal Service
Transfers
7%
2018 Distribution
Page 368 of 648
MAJOR SERVICE: SERVICE TO INTERNAL DEPARTMENTS
This program area provides for the efforts of the Water Section activities assisting other sections
or agencies. Service to other agencies reduce working hours from daily Water Section
operations, included snow & ice control activities and time spent assisting other sections with
emergency work such as flooding and tree debris collection and removal. Customer Inquiries
including high bill complaint verification & trouble shooting.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: Water and Sewer
Personnel Wages 26,794 102,104 33,811 34,608 31,892 -5.68%
Personnel Benefits 47,091 63,150 19,309 18,427 19,831 2.70%
Operating Expenses 59,391 244,409 826 614 818 -0.97%
Commodities 94,403 312,856 99,315 95,625 97,700 -1.63%
Repairs & Maintenance 1,879 9,740 5,945 5,385 6,725 13.12%
Capital Outlay 60,961 234,146 124,342 124,342 128,512 3.35%
Reserve Transfers 0 0 3,085 3,085 3,085 0%
Contractual Services 0 0 6,022 6,022 6,022 0%
Internal Service Transfers 20,171 54,868 21,275 21,275 21,364 0.42%
Total Service to External
Agencies $310,690 $1,021,273 $313,930 $309,383 $315,949 0.64%
Personnel
Wages
10%
Personnel
Benefits
6%
Operating
Expenses
0%
Commodities
31%
Repairs &
Maintenance
2%
Capital Outlay
41%
Reserve Transfers
1%
Contractual
Services
2%
Internal Service
Transfers
7%
2018 Service to Internal Departments
Page 369 of 648
MAJOR SERVICE: ADMINISTRATION
In the Administration process, many hours are required to manage staff and prepare daily
schedules for Water Section operations. Various software programs track staff hours, work
productivity, employee performance, and purchasing/invoicing and continued APWA
reaccreditation efforts. All other general supervisory time includes purchase order processing,
accident investigations, safety training, human resource issues, and reviewing plans for pre and
post construction projects, along with training and education hours also included in the
administrative program budget.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Act.
2018
Budget
% Change
FY17-FY18
Fund: Water and Sewer
Personnel Wages 26,794 102,104 33,811 34,608 31,892 -5.68%
Personnel Benefits 47,091 63,150 19,309 18,427 19,830 2.70%
Operating Expenses 59,391 244,409 826 614 816 -1.21%
Commodities 94,403 312,856 99,315 95,625 97,700 -1.63%
Repairs & Maintenance 1,879 9,740 5,945 5,385 6,725 13.12%
Capital Outlay 60,961 234,146 124,342 124,342 128,511 3.35%
Reserve Transfers - - 3,085 3,085 3,085 0%
Contractual Services - - 6,022 6,022 6,022 0%
Internal Service Transfers 20,171 54,868 21,275 21,275 21,363 0.41%
Total Administration $310,690 $1,021,273 $313,930 $309,383 $315,944 0.64%
Personnel
Wages
10%
Personnel
Benefits
6%
Operating
Expenses
0%
Commodities
31%
Repairs &
maintenance
2%
Capital Outlay
41%
Reserve Transfers
1%
Contractual
Services
2%
Internal Service
Transfers
7%
2018 Administration
Page 370 of 648
MAJOR SERVICE: SPECIAL EVENTS AND A NNUAL PROJECTS
This program area provides for the tracking of all tasks that are not included in the major
program areas. Tasks would include BG Days event set up and take down.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: Water and Sewer
Personnel Wages 26,794 102,104 33,811 34,608 31,892 -5.68%
Personnel Benefits 47,091 63,150 19,309 18,427 19,831 2.70%
Operating Expenses 59,391 244,409 826 614 818 -0.97%
Commodities 94,403 312,856 99,315 95,625 97,700 -1.63%
Repairs & maintenance 1,879 9,740 5,945 5,385 6,725 13.12%
Capital Outlay 60,961 234,146 124,342 124,342 128,512 3.35%
Reserve Transfers - - 3,085 3,085 3,085 0%
Contractual Services - - 6,022 6,022 6,022 0%
Internal Service Transfers 20,171 54,868 21,275 21,275 21,364 0.42%
Total Special Events and
Annual Projects $310,690 $1,021,273 $313,930 $309,383 $315,949 0.64%
Personnel
Wages
10%
Personnel
Benefits
6%
Operating
Expenses
0%
Commodities
31%
Repairs &
Maintenance
2%
Capital Outlay
41%
Reserve Transfers
1%
Contractual
Services
2%
Internal Service
Transfers
7%
2018 Special Events and Annual Projects
Page 371 of 648
PROGRAM AREA : SEWER
This section provides for the inspection,
cleaning and maintenance of the 134 miles
of sanitary gravity sewer, five miles of force
main, 12 sanitary lift stations and 3,251
manholes that comprise the Village’s
sanitary sewer system. The system is
maintained in accordance with guidelines
established by the Illinois Environmental
protection Agency (IEPA) Lake County and
the Metropolitan Water Reclamation District
of Greater Chicago (MWRDGC). Major
tasks of this section include flushing and root
cutting of the system, manhole repairs,
clearing blockages and inflow/infiltration
(I/I) testing and repairs. Financial
information is located in the enterprise fund,
Section 7 of the budget document.
MAJOR SERVICES
Funding Source
Sewer System Operations and Maintenance
Sewerage Lift Station Operation and Maintenance
Underground Utility Locating
Service to Other Divisions
Administration
Special Projects
PROGRAM CHANGES OF NOTE
Personnel costs such as salary, benefits and related items for the Deputy Director, Maintenance
& Utilities Superintendent, Management Analyst and Administrative Assistant have been moved
to the Department’s Administrative budget.
SEWER FUND VARIANCES
Sewer Fund 2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Comments
Wages 348,000 367,234 294,220 -15.45%Public Works Reclassified
Administration Salary distribution.
Benefits 247,254 212,422 214,982 -13.05%Decrease commensurate with
change in wages category.
Repair and
Maintenance 35,900 39,100 42,800 19.22% Increase for lift station
maintenance.
Internal Service 231,720 231,720 205,778 -11.20%Change in the allocation formula.
Page 372 of 648
KEY PERFORMANCE MEASURES
Storm Sewer Maintenance Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Flushing Sewers (feet) 150,000 18,800 24,395 10,800 24,000
Structure Maintenance (hours) 600 793 467 335 500
Sewerage Lift Station Operation and
Maintenance Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Station Check (hours) 2,000 2,094 1,256 1,780 1,800
Generator Check (hours) 1,000 1,179 884 660 800
Station Repairs (hours) 600 392 487 342 450
Underground Utility Locating Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Locates per Year (qty) 12,000 18,574 11,225 11,016 12,000
Service to External Agencies Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Citizen Inquiries (hours) 135 143 109 133.5 135
Snow and Ice Control (hours) 495 888 816 240.75 498
Local Agency Assistance (hours) 80 45 34 100 80
Administration Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
VCS, New World, Cartegraph, Neo-Gov,
Meetings & Committees (hours) 400 350 376 310 360
Department Safety & Training (hours) 300 258 210 260 250
Misc Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
BG Days (hours) 30 85 94.12 24 30
Page 373 of 648
FUNDING SOURCE : REVENUE
Sewer Revenue 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
Lake County Sewer Tap On
Fees 84,506 159,739.40 50,000 510,000 100,000
Village Sewer Tap On Fees 4,600 5,050 1,000 1,000 1,000
Village Sewer Resident Regular 1,358,903 1,378,819 1,560,823 1,516,872 1,577,547
Lake County Sewer Sanitary
Service Fees 3,326,182 3,022,647 3,400,000 3,483,000 3,485,000
Sewer Revenue Total $4,774,191 $4,566,255 $5,011,823 $5,510,872 $5,163,547
Lake County
Sewer Tap On
Fees
2%
Village Sewer
Tap On Fees
0%
Village Sewer
Resident
Regular
31%
Lake County
Sewer Sanitary
Sewer Service
Fees
67%
2018 Revenue Collection
Page 374 of 648
2018 SEWER EXPENDiTURES
Sewer 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Personnel Wages 343,266 331,470 348,000 367,234 294,220 -15.45%
Personnel Benefits 170,354 189,150 247,254 212,422 214,982 -13.05%
Operating
Expenses 33,854 42,066 12,076 11,176 12,800 6.00%
Commodities 2,919,962 3,116,250 3,496,500 4,034,400 3,626,600 3.72%
Repairs &
maintenance 12,760 29,928 35,900 39,100 42,800 19.22%
Capital Outlay 151,798 19,014 954,700 954,700 954,700 0.00%
Reserve Transfers - - 30,944 30,944 30,944 0.00%
Contractual
Services - - 24,000 24,000 24,000 0.00%
Internal Service
Transfers 192,806 183,762 231,720 231,720 205,778 -11.20%
Total Sewer $3,824,800 $3,911,640 $5,381,094 $5,905,696 $5,406,824 0.48%
Personnel Wages
54%
Personnel
Benefits
23%
Operating
Expenses
1%
Commodities
0%
Repairs &
maintenance
2%
Capital Outlay
54%
Reserve Transfers
2% Contractual
Services
1%
Internal Service
Transfers
12%
2018 Sewer Expenditures
Page 375 of 648
MAJOR SERVICE: SEWERAGE SYSTEM MAIN TENANCE
The sanitary sewer program goals account for the cleaning of the entire system on a 5-6
year basis in accordance with MWRD and Lake County maintenance guidelines. This
program is established to provide inspection, cleaning and maintenance of the Village's
sanitary sewer system. This is essential to provide a safe and efficient system, which has the
potential to operate at 100% of the designed flow capacity and to reduce the possibility
of sewage back up in residences. Other activities in the program include repair or
replacement of sanitary sewer pipe, repair or replacement of manholes, and cleaning of
the sanitary sewer system.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: Water and Sewer
Personnel Wages 51,490 55,245 52,200 55,085 44,133 -15.45%
Personnel Benefits 25,553 31,525 37,088 31,863 32,247 -13.05%
Operating Expenses 5,078 7,011 1,811 1,676 1,920 6.02%
Commodities 437,994 519,375 524,475 605,160 543,990 3.72%
Repairs & Maintenance 1,914 4,988 5,385 5,865 6,420 19.22%
Capital Outlay 22,770 3,169 143,205 143,205 143,205 0%
Reserve Transfers 0 0 4,642 4,642 4,642 0%
Contractual Services 0 0 3,600 3,600 3,600 0%
Internal Service Transfers 28,921 30,627 34,758 34,758 30,867 -11.19%
Total Sewerage System
Maintenance $573,720 $651,940 $807,164 $885,854 $811,024 0.48%
Personnel
Wages
5%
Personnel
Benefits
4%
Operating
Expenses
0%
Commodities
67%
Repairs &
Maintenance
1%
Capital Outlay
18%
Reserve Transfers
1%
Contractual
Services
0%
Internal Service
Transfers
4%
2018 Sewerage System Maintenance
Page 376 of 648
MAJOR SERVICE: SEWAGE LIFT STATION MAINTENANCE
This program requires daily checks on the SCADA program of lift stations seven days a week
and preventative maintenance of the sanitary system on a predetermined schedule. This
program provides for physical inspection of manholes and sewers to gather data related
to the structural integrity, flow conditions, and extraneous water, etc. lift Station and
generator checks are preformed weekly.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: Water and
Sewer
Personnel Wages 102,980 55,245 104,400 110,170 88,266 -15.45%
Personnel Benefits 51,106 31,525 74,176 63,727 64,495 -13.05%
Operating Expenses 10,156 7,011 3,623 3,353 3,840 5.99%
Commodities 875,989 519,375 1,048,950 1,210,320 1,087,980 3.72%
Repairs &
Maintenance 3,828 4,988 10,770 11,730 12,840 19.22%
Capital Outlay 45,539 3,169 286,410 286,410 286,410 0%
Reserve Transfers 0 0 9,283 9,283 9,283 0%
Contractual Services 0 0 7,200 7,200 7,200 0%
Internal Service
Transfers 57,842 30,627 69,516 69,516 61,733 -11.20%
Total Sewage Lift
Station
Maintenance
$1,147,440 $651,940 $1,614,328 $1,771,709 $1,622,047 0.48%
Personnel Wages
5%
Personnel Benefits
4%
Operating
Expenses
0%
Commodities
67%
Repairs &
Maintenance
1%
Capital Outlay
18%
Reserve Transfers
1%
Contractual
Services
0%
Internal Service
Transfers
4%
2018 Sewage Lift Station Maintenance
Page 377 of 648
MAJOR SERVICE: UNDERGROUND UTILITY LOCATING
Activities in the program are performed by a Maintenance Worker that could require one to five
locates per request. Water main, sanitary sewer main, storm sewer main, street light and b-box
locates are made after a request is sent to Public Works building with information of the
excavation from J.U.L.I.E . In the past three years, the Village had 13,605 locate requests.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: Water and
Sewer
Personnel Wages 102,980 55,245 104,400 110,170 88,266 -15.45%
Personnel Benefits 51,106 31,525 74,176 63,727 64,495 -13.05%
Operating Expenses 10,156 7,011 3,623 3,353 3,840 5.99%
Commodities 875,989 519,375 1,048,950 1,210,320 1,087,980 3.72%
Repairs &
Maintenance 3,828 4,988 10,770 11,730 12,840 19.22%
Capital Outlay 45,539 3,169 286,410 286,410 286,410 0%
Reserve Transfers - - 9,283 9,283 9,283 0%
Contractual Services - - 7,200 7,200 7,200 0%
Internal Service
Transfers 57,842 30,627 69,516 69,516 61,733 -11.20%
Total Underground
Utility Locating $1,147,440 $651,940 $1,614,328 $1,771,709 $1,622,047 0.48%
Personnel Wages
5%
Personnel Benefits
4%
Operating
Expenses
0%
Commodities
67%
Repairs &
Maintenance
1%
Capital Outlay
18%
Reserve Transfers
1%
Contractual
Services
0%
Internal Service
Transfers
4%
2018 Underground Utility Locating
Page 378 of 648
MAJOR SERVICE: SERVICE TO OTHER DIV ISIONS
Services to external agencies reduce working hours from daily sanitary sewer operations. These
services include snow and ice control and helping Forestry with creek maintenance.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Fund: Water and Sewer
Personnel Wages 51,490 55,245 52,200 55,085 44,133 -15.45%
Personnel Benefits 25,553 31,525 37,088 31,863 32,247 -13.05%
Operating Expenses 5,078 7,011 1,811 1,676 1,920 6.02%
Commodities 437,994 519,375 524,475 605,160 543,990 3.72%
Repairs & Maintenance 1,914 4,988 5,385 5,865 6,420 19.22%
Capital Outlay 22,770 3,169 143,205 143,205 143,205 0%
Reserve Transfers - - 4,642 4,642 4,642 0%
Contractual Services - - 3,600 3,600 3,600 0%
Internal Service Transfers 28,921 30,627 34,758 34,758 30,867 -11.19%
Total Service to Other
Divisions $573,720 $651,940 $807,164 $885,854 $811,024 0.48%
Personnel
Wages
5%
Personnel
Benefits
4%
Operating
Expenses
0%
Commodities
67%
Repairs &
Maintenance
1%
Capital Outlay
18%
Reserve
Transfers
1%
Contractual
Services
0%
Internal Service
Transfers
4%
2018 Service to Other Divisons
Page 379 of 648
MAJOR SERVICE: ADMINISTRATION
In the administration process, many hours are required to manage staff and prepare daily sewer
operations. Various software programs track staff hours, work productivity, employee
performance, and purchasing / invoicing and continued APWA reaccreditation efforts. All
other general supervisory time includes purchase order processing, accident investigations,
safety training, human resource issues, and reviewing plans for pre and post construction projects,
along with training and education hours.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: Water and Sewer
Personnel Wages 17,163 55,245 17,400 18,362 14,711 -15.45%
Personnel Benefits 8,518 31,525 12,363 10,621 10,749 -13.06%
Operating Expenses 1,693 7,011 604 559 640 5.96%
Commodities 145,998 519,375 174,825 201,720 181,330 3.72%
Repairs & Maintenance 638 4,988 1,795 1,955 2,140 19.22%
Capital Outlay 7,590 3,169 47,735 47,735 47,735 0%
Reserve Transfers - - 1,547 1,547 1,547 0%
Contractual Services - - 1,200 1,200 1,200 0%
Internal Service Transfers 9,640 30,627 11,586 11,586 10,289 -11.19%
Total Administration $191,240 $651,940 $269,055 $295,285 $270,341 0.48%
Personnel
Wages
5%
Personnel
Benefits
4%
Operating
Expenses
0%
Commodities
67%
Repairs &
Maintenance
1%
Capital Outlay
18%
Reserve
Transfers
1%
Contractual
Services
0%
Internal Service
Transfers
4%
2018 Administration
Page 380 of 648
MAJOR SERVICE: SPECIAL PROJECTS
This program area provides for the tracking of all tasks that are not included in the major
program areas. Tasks would include BG Days event set up and take down.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Act.
2018
Budget
% Change
FY17-FY18
Fund: Water and Sewer
Personnel Wages 17,163 55,245 17,400 18,362 14,711 -15.45%
Personnel Benefits 8,518 31,525 12,363 10,621 10,749 -13.06%
Operating Expenses 1,693 7,011 604 559 640 5.96%
Commodities 145,998 519,375 174,825 201,720 181,330 3.72%
Repairs & Maintenance 638 4,988 1,795 1,955 2,140 19.22%
Capital Outlay 7,590 3,169 47,735 47,735 47,735 0%
Reserve Transfers - - 1,547 1,547 1,547 0%
Contractual Services - - 1,200 1,200 1,200 0%
Internal Service Transfers 9,640 30,627 11,586 11,586 10,289 -11.19%
Total Special Projects $191,240 $651,940 $269,055 $295,285 $270,341 0.48%
Personnel Wages
5%
Personnel Benefits
4% Operating
Expenses
0%
Commodities
67%
Repairs &
Maintenance
1%
Capital Outlay
18%
Reserve Transfers
1%
Contractual
Services
0%
Internal Service
Transfers
4%
2018 Special Projects
Page 381 of 648
REFUSE FUND
The Refuse Fund was established as required by the project use agreement between the Village
and the Solid Waste Agency of Northern Cook County (SWANCC). The Fund accounts for all user
fees collected by the Village on behalf of the Agency for transfer and waste disposal services.
The budget is based on the FY 2017-2018 commitment by the Village of an estimated 15,289 tons
of refuse to be processed at a rate of $49.17/ton.
On April 16, 2012, the Village Board approved a five-year contract with Waste Management. On
July 8, 2015, the agreement was amended to extend the contract to April 30, 2019. The
negotiated rates are fixed during the duration of the initial contract, upon renewal the rates
increased five percent on May 1, 2017. The effective rates are noted below and will be valid
through April 30, 2019.
PROGRAM AREAS
Refuse Collection ………………….……………….………………………………………………..…………385
Page 382 of 648
2018 REFUSE FUND
Refuse
Refuse Collection
Page 383 of 648
2018 REFUSE COLLECTION PROGRAM BUDGET SUMMARY
Refuse
Funding Source
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Revenue 1,039,875 1,135,748 1,045,000 1,080,000 1,080,000 33.49%
Total $1,039,875 $1,135,748 $1,045,000 $1,080,000 $1,080,000 33.49%
Refuse
Expenditures
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Refuse Collection 777,105 978,565 1,310,000 1,610,000 1,660,000 26.71%
Total $777,105 $978,565 $1,310,000 $1,610,000 $1,660,000 26.71%
Expenditures that exceed revenues are funded through unreserved fund balance.
REFUSE FUND VARIANCES
Refuse Fund 2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Comments
All other
Expenses 760,000 1,060,000 1,060,000 39.47% Increase in SWANCC Fee’s.
Refuse
Collection
100%
Program Budget Summary
Page 384 of 648
PROGRAM AREA : REFUSE
The effective rates are noted below and will be valid through April 30, 2019. The tipping fee is
charged by the Solid Waste Agency of Northern Cook County (SWANCC) and is administered
outside of the Waste Management contract.
FUNDING SOURCE
Revenue
PROGRAM CHANGES OF NOTE
Single Family Monthly Rate Multi Family Monthly Rate
Solid Waste Collection with Cart $7.99 $7.92
Recycling Collection with Cart $3.36 1.94*
Landscape Collection without Cart $3.15 -
Additional weekly service $4.46* N/A
Tipping Fee $5.65 $4.50
Total - 1 Collection per Week $20.15 $12.42
Total - 2 Collections per Week $24.61* N/A
* Optional service
Page 385 of 648
FUNDING SOURCE: REVE NUE
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: Refuse
All Other
Revenue 1,039,875 1,135,748 1,045,000 1,080,000 1,080,000 33.49%
Total Revenue
Collection $1,039,875 $1,135,748 $1,045,000 $1,080,000 $1,080,000 33.49%
Expenditures that exceed revenues are funded through unreserved fund balance.
All Other
Revenue
100%
2018 Revenue Collection
Page 386 of 648
PROGRAM AREA : REFUSE
MAJOR SERVICES
Refuse Collection
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
Page 387 of 648
MAJOR SERVICE : REFUSE COLLECTION
.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: Refuse
Operating Transfers 75,000 275,000 550,000 550,000 600,000 9.09%
All Other Expenses 702,105 703,565 760,000 1,060,000 1,060,000 39.47%
Total Refuse
Collection $777,105 $978,565 $1,310,000 $1,610,000 $1,660,000 26.72%
Expenditures that exceed revenues are funded through unreserved fund balance.
Operating
Transfers
36%
All Other
Expenses
64%
2018 Refuse Collection
Page 388 of 648
PAGE INTENTIONALLY LEFT BLANK
SECTION EIGHT : INTERNAL
SERVICE FUND
BUILDING MAINTENANCE – CENTRAL GARAGE – INFORMATION
TECHNOLOGY
BUILDING MAINTENANCE INTERNAL
SERVICE FUND
The Building Maintenance Section provides a clean, healthy, safe, and efficient working
environment in facilities, public areas and meeting places. This Section is responsible for
maintaining approximately 200,000 square feet of occupied building space as well as 2,700
streetlights. Major tasks of this Division include HVAC, plumbing and electrical repairs and
maintenance, street light maintenance, and building custodial service contract administration.
The Building Maintenance staffing summary and staff time by functional area can be found
under the Public Works department on page Section 5.
PROGRAM AREAS
Support Village Operations ……………………………………………………………………..…………396
Page 391 of 648
2018 BUILDING MAINTENANCE STRUCTURE
Public Works
Operations
Maintenance
Building Maintenance
Page 392 of 648
2018 BUILDING MAINTENANCE PROGRAM SUMMARY
Building Maintenance
Support Village Operations
Page 393 of 648
2018 BUILDING MAINTENANCE PROGRAM BUDGET SUMMA RY
Building
Maintenance
Revenues
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Funding Source 1,392,642 1,198,562 1,462,984 1,462,984 1,577,570 7.83%
Total $1,392,642 $1,198,562 $1,462,984 $1,462,984 $1,577,570 7.83%
Building
Maintenance
Expenditures
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Support Village
Operations 1,374,531 1,171,348 1,462,984 1,542,568 1,577,570 7.83%
Total $1,374,531 $1,171,348 $1,462,984 $1,542,568 $1,577,570 7.83%
At the end of the fiscal year, a true up is preformed and any amount expended above budget
is amended and charged back to the appropriate fund/department.
Support Village
Operations
100%
Program Budget Summary
Page 394 of 648
BUILDING MAINTENACE FUND VARIANCES
Building
Maintenance
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Comments
Wages 427,596 435,467 491,040 14.84% Public Works Reclassified
Administration Salary distribution.
Operating
Expenses 58,471 81,471 81,601 39.56%
Reallocated funds for “keep
stock” inventory for all Village
facilities.
Contractual
Services 146,069 146,069 191,300 30.97%
Reallocated contract from
repair and maintenance for
custodial services.
Internal Service - - 24,021 100.00% Change in the allocation
formula.
Page 395 of 648
P ROGRAM AREA: SUPPORT VILLAGE OPER ATIONS
This program focuses on the maintenance
of all HVAC units, electrical, plumbing, and
flooring. It likewise supports the yearly
elevator inspections as well as all Fire Alarm
and Sprinkler testing. This area includes
Building Maintenance staff’s daily activities,
which include inspection of the building of
its mechanical as well as electrical
operations, completing operating tasks.
MAJOR SERVICES
Support Village Operations
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
Page 396 of 648
KEY PERFORMANCE MEASURES
Police Benchmark *2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Repair Tasks Completed 124 N/A 89 135 150
Staff Hours Utilized 319 N/A 277 381 300
Contracted Projects 2 N/A 2 2 2
Contract Oversight Hours Utilized 16.6 N/A 30 10 10
Fire Department Benchmark *2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Repair Tasks Completed 46 N/A 26 53 65
Staff Hours Utilized 190 N/A 247 148.50 175
Contracted Projects 1.6 N/A 2 2 1
Contract Oversight Hours Utilized 36.6 N/A 60 25 25
Village Hall Benchmark *2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Repair Tasks Completed 154 N/A 128 160 175
Staff Hours Utilized 533 N/A 347.01 603 650
Contracted Projects 1.6 N/A 1 2 2
Contract Oversight Hours Utilized 19.3 N/A 20 18 20
Golf Operations Benchmark *2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Repair Tasks Completed 112 N/A 79 169 90
Staff Hours Utilized 1,108 N/A 763 1,737 825
Contracted Projects 2 N/A 2 1 1
Contract Oversight Hours Utilized 91.6 N/A 30 225 20
Public Service Center Benchmark *2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Repair Tasks Completed 169 N/A 145 171 191
Staff Hours Utilized 554 N/A 640.75 223.50 800
Contracted Projects 2 N/A 4 1 2
Contract Oversight Hours Utilized 29.6 N/A 25 40 24
Page 397 of 648
Water Pump House Facilities Benchmark *2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Repair Tasks Completed 15 N/A 10 17 19
Staff Hours Utilized 38 N/A 21.50 44.50 50
Contracted Projects 1 N/A 1 1 -
Contract Oversight Hours Utilized - N/A 20 10 -
Sanitary Sewer Lift Station Facilities Benchmark *2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Repair Tasks Completed 15 N/A 12 16 18
Staff Hours Utilized 38 N/A 32 40 42
Contracted Projects - N/A N/A N/A N/A
Contract Oversight Hours Utilized - N/A - - -
Pace Metra Facility Benchmark *2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Repair Tasks Completed 23 N/A 22 23 25
Staff Hours Utilized 81 N/A 78.25 81.25 85
Contracted Projects 2 N/A 2 1 1
Contract Oversight Hours Utilized - N/A 10 15 15
Administration Benchmark *2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
New World, VCS, Cartegraph,
Accreditation, Purchasing/Acquisitions,
Research, Neo-Gov, - Hours
1,760 N/A 1,560 1,820 1,900
Training, Meetings, Committees - Hours 200 N/A 200 200 200
Contract Management - Hours 233 N/A 160 360 180
Special Events Benchmark *2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Buffalo Grove Days - Hours 39 N/A 38 40 40
*Note: 2015 Actuals were not tracked by facility.
Page 398 of 648
MAJOR SERVICE: SUPPORT VILLAGE OPER ATIONS
Building
Maintenance
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Personnel Wages 357,091 408,149 427,596 435,467 491,040 14.84%
Personnel Benefits 198,412 219,267 200,902 198,764 200,532 -0.18%
Operating
Expenses 12,001 38,639 58,471 81,471 81,601 39.56%
Commodities 149,442 94,676 142,251 144,607 142,306 0.04%
Repairs and
Maintenance 533,498 318,134 462,675 511,170 421,725 -8.85%
Capital Outlay 529 - 5,893 5,893 5,918 0.00%
Reserve Transfers - - 19,127 19,127 19,127 0.00%
Contractual
Services 76,211 92,483 146,069 146,069 191,300 30.97%
Internal Services 47,347 - - - 24,021 100.00%
Total $1,374,531 $1,171,348 $1,462,984 $1,542,568 $1,577,570 7.83%
At the end of the fiscal year, a true up is preformed and any amount expended above budget
is amended and charged back to the appropriate fund/department.
Personnel
Wages
31%
Personnel
Benefits
13%
Operating
Expenses
5%
Commodities
9%
Repairs and
Maintenance
27%
Capital Outlay
0%
Reserve
Transfers
1% Contractual
Services
12%
Internal
Services
2%
Cost Type Summary
Page 399 of 648
CENTRAL GARAGE INTERNAL
SERVICE FUND
The Central Garage Section provides for the repair and maintenance of the Village’s fleet of 164
vehicles and 83 pieces of equipment. This Section is also responsible for managing the Village’s
vehicle and equipment fueling system in accordance with the requirements established by the
Office of the Illinois State Fire Marshal (OSFM). Detailed financial information can be found in the
internal service fund, Section 8, of the budget document.
The Central Garage staffing summary and staff time by functional area can be found under the
Public Works department in Section 5.
PROGRAM AREAS
Support Village Operations ……………………………………………………………………..…………404
Page 400 of 648
2018 CENTRAL GARAGE DEPARTMENT STRUCTURE
Public Works
Operations
Maintenance
Central Garage
Page 401 of 648
2018 CENTRAL GARAGE PRO GRAM SUMMARY
Central Garage
Support Village Operations
Page 402 of 648
2018 CENTRAL GARAGE PROGRAM BUDGET SUMMARY
Central Garage
Revenues
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Funding Source 1,528,484 1,456,984 1,756,782 1,747,240 1,652,632 -5.93%
Total $1,528,484 $1,456,984 $1,756,782 $1,747,240 $1,652,632 -5.93%
Central Garage
Expenditures
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Support Village
Operations 1,493,409 1,427,420 1,756,782 1,543,104 1,652,632 -5.93%
Total $1,493,409 $1,427,420 $1,756,782 $1,543,104 $1,652,632 -5.93%
CENTRAL GARAGE FUND VARIANCES
Central Garage 2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Comments
Repair and
Maintenance 887,400 680,467 744,930 -16.05%Decreased due to historical trend.
Internal Service - - 27,782 100.00
% Change in the allocation formula.
Support Village
Operations
100%
Program Budget Summary
Page 403 of 648
P ROGRAM AREA: SUPPORT VILLAGE OPER ATIONS
Maintenance services support Village
operations by providing each department
with cost-effective service for each vehicle
and piece of equipment. In addition, in-
house service allows for immediate
attention to any mechanical failure that
could critically hamper the ability of a
vehicle or piece of equipment to operate
effectively to deliver services to Village
residents. The garage provides mechanical
service year round twenty-four hours a day
with a technician assigned to on call after
hours duty on a rotating basis. Specialized
testing and repair is contracted on an as
needed basis.
MAJOR SERVICES
Support Village Operations
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
Page 404 of 648
KEY PERFORMANCE MEASURES
Police Department Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Repairs Completed 2,329 2,094 2,410 2,564 2,356
Staff Hours Utilized 1,672 1,518 1,717 1,826 1,687
Total P.D. Fleet Inventory 42 42 42 43 43
Fire Department Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Repairs Completed 1,577 1,422 1,579 1,732 1,577
Staff Hours Utilized 1,621 1,530 1,898 1,718 1,715
Total F.D. Fleet Inventory 32 32 34 32 33
Office of the Village Manager Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Repairs Completed 19 8 32 17 19
Staff Hours Utilized 10 3 10 10 8
Total O.V.M. Fleet Inventory 1 1 1 1 1
Golf Operations Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Repairs Completed 13 30 9 2 13
Staff Hours Utilized 20 43 11 6 20
Total Golf Fleet Inventory 1 1 1 1 1
Community Development Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Repairs Completed 167 221 158 216 198
Staff Hours Utilized 106 122 95 164 127
Total CD Fleet Inventory 7 7 7 7 7
Street Section Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Repairs Completed 1,214 1,049 1,127 1,068 1,244
Staff Hours Utilized 1,209 1,232 1,301 1,199 1,244
Total Street Fleet Inventory 39 37 38 39 39
Page 405 of 648
Forestry & Grounds Section Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Repairs Completed 712 708 749 742 733
Staff Hours Utilized 610 774 693 611 692
Total Forestry & Grounds Fleet Inventory 75 76 76 75 75
Drainage Section Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Repairs Completed 142 168 116 156 168
Staff Hours Utilized 104 223 99 176 166
Total Drainage Fleet Inventory 3 2 3 3 3
Engineering Section Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Repairs Completed 62 9 100 144 84
Staff Hours Utilized 36 11 56 84 50
Total Engineering Fleet Inventory 6 5 6 6 6
Building Maintenance Section Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Repairs Completed 154 160 168 212 180
Staff Hours Utilized 156 169 176 258 201
Total Building Maintenance Fleet
Inventory 4 3 3 4 4
Water Utilities Section Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Repairs Completed 575 387 676 521 528
Staff Hours Utilized 656 417 777 596 596
Total Water Fleet Inventory 32 32 32 32 32
Sanitary Sewer Section Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Repairs Completed 207 212 148 217 192
Staff Hours Utilized 8 211 173 252 212
Total Sanitary Sewer Fleet Inventory 22 23 23 22 22
Page 406 of 648
Central Garage Section Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Repairs Completed 60 87 33 49 56
Staff Hours Utilized 15 54 12 60 12
Total Central Garage Fleet Inventory 1 1 1 1 1
Central Garage Administration Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
CFA, New World, VCS, Cartegraph,
Accreditation, Fuel Reporting,
Acquisitions, Fleet Purchases, Research –
Hours
2,404 2,340 2,502 2,630 2,490
Training, Meetings, Committees – Hours 109 190 208 100 166
Page 407 of 648
MAJOR SERVICE: SUPPORT VILLAGE OPER ATIONS
Central Garage 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Personnel Wages 537,281 554,425 502,047 499,588 511,623 1.91%
Personnel Benefits 271,508 269,789 258,890 255,398 257,852 -0.40%
Operating Expenses 18,604 16,983 44,727 45,239 46,727 4.47%
Commodities 1,798 6,119 5,000 4,554 5,000 0.00%
Repairs and
Maintenance 635,606 573,468 887,400 680,467 744,930 -16.05%
Capital Outlay 2,664 - 20,143 20,143 20,143 0.00%
Reserve Transfers - 4,375 35,075 35,075 35,075 0.00%
Contractual Services 1,661 2,260 3,500 2,640 3,500 0.00%
Internal Services 24,288 - - - 27,782 100.00
%
Total $1,493,410 $1,427,419 $1,756,782 $1,543,104 $1,652,632 -5.93%
Personnel Wages
31%
Personnel
Benefits
16%
Operating
Expenses
3%
Commodities
0%
Repairs and
Maintenance
45%
Capital Outlay
1%
Reserve Transfers
2%
Contractual
Services
0% Internal Services
2%
Support Village Operations
Page 408 of 648
INFORMATION TECHNOLO GY
INTERNAL SERVICE FUND
Information Technology provides management, review, and oversight of each Village
Department’s information system needs. Information Technology is provided through the
Government IT Consortium of which the Village of Buffalo Grove is a founding member. Each
member of the consortium shares the same contractor for IT services. Contract administration is
housed within the Office of the Village Manager. The Division is staffed by full-time employees
hired by the Consortium’s contractor with IT management provided by the manager of the
Consortium. Information Technology allows all departments to access the network, email, and
all other technologies. The IT fund allocations are distributed by function based on applications
used by department and IT users. Most of the costs budgeted in the fund are contracted
service or maintenance agreements programs the Village utilizes.
PROGRAM AREAS
Support Village Operations ……………………………………………………………………..…………413
Page 409 of 648
2018 INFORMATION TECHNOLOGY DEPARTMENT STRUCTURE
Office of the Village Manager
Information Technology
Page 410 of 648
2018 INFORMATION TECHNOLOGY PROGRAM SUMMARY
Information Technology
Support Village Operations
Page 411 of 648
2018 INFORMATION TECHNOLOGY BUDGET SUMMARY
Central Garage
Revenues
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Funding Source 957,961 1,064,828 1,351,359 1,351,413 1,409,555 4.31%
Total $957,961 $1,064,828 $1,351,359 $1,351,413 $1,409,555 4.31%
Central Garage
Expenditures
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Support Village
Operations 925,743 1,032,609 1,351,359 1,344,200 1,409,555 4.31%
Total $925,743 $1,032,609 $1,351,359 $1,344,200 $1,409,555 4.31%
Support Village
Operations
100%
Program Budget Summary
Page 412 of 648
P ROGRAM AREA: SUPPORT VILLAGE OPER ATIONS
Information Technology allows all departments to access the network, email, and all other
technologies. The IT fund allocations are distributed by function based on applications used by
department and IT users. Most of the costs budgeted in the fund are contracted service or
maintenance agreements programs the Village utilizes.
MAJOR SERVICES
Support Village Operations
PROGRAM CHANGES OF NOTE
The Government IT Consortium recently passed
a policy regarding computer replacement that
requires each member to replace computers
on a specified schedule. The purpose of this
policy is to make computing more efficient but
also to ensure that IT does not have to spend a
lof of time repairing old computers. It is
important to keep in mind that prior to forming
the IT Consortium the Village did not have a
formal replacement strategy. The Village
began budgeting $26,000 a year for this
purpose upon joining. An analysis of the
computer inventory showed that the Village
needs to budget $67,000 for this purpose. There
are still computers over 10 years old that are in
use by employees.
Government IT Consortium
Mission
The mission of the Government IT
Consortium is to reduce the costs of IT by
sharing service providers, making joint
purchases, and sharing infrastructure.
Page 413 of 648
KEY PERFORMANCE MEASURES
Information Technology Ticket Resolution
Time Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Network Support 90% N/A 90% 90% 90%
Application Support 90% N/A 70% 80% 90%
Printer Support 90% N/A 90% 90% 90%
Server Support 90% N/A 90% 90% 90%
Telecommunications Support 90% N/A 90% 90% 90%
Workstation Support 90% N/A 90% 90% 90%
Page 414 of 648
MAJOR SERVICE: SUPPORT VILLAGE OPER ATIONS
IT Fund 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Personnel Wages - - - - - -
Personnel Benefits - - - - - -
Operating Expenses 226,638 132,910 307,507 300,350 408,989 33.00%
Commodities - - - - - -
Repairs and
Maintenance 7,273 4,267 5,000 5,000 5,000 0.00%
Capital Outlay 84,466 35,689 - - - -
Reserve Transfers - - - - - -
Contractual Services 607,366 859,743 1,038,852 1,038,850 995,566 -4.17%
Internal Services - - - - - -
Total $925,743 $1,032,609 $1,351,359 $1,344,200 $1,409,555 4.31%
Operating
Expenses
29%
Repairs and
Maintenance
0% Contractual
Services
71%
Support Village Operations
Page 415 of 648
SECTION NINE : F IDUCIARY FUND S
FIRE PENSION FUND – POLICE PENSION FUND
FIRE PENSION FUND
The Firefighters Pension Fund provides retirement, disability and survivor benefits for all sworn fire
personnel. The defined benefit pension plan is in conformance with Illinois State Statutes under
the oversight of the Illinois Division of Insurance. Employees contribute 9.455 percent of their
annual salary to the Firefighter Pension Fund.
PROGRAM AREAS
Fire Pension …………………………….……….………………………………………………..…………420
Page 417 of 648
2018 FIRE PENSION PROGRAM SUMMARY
Fire Pension
Fund Management
Page 418 of 648
2018 FIRE PENSION PROGRAM BUDGET SUMMARY
Fire Pension
Funding Source
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Revenue 3,506,006 6,230,402 4,630,904 6,265,322 5,879,498 26.96%
Total $3,506,006 $6,230,402 $4,630,904 $6,265,322 $5,879,498 26.96%
Fire Pension
Expenditures
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund
Management 2,314,558 2,400,122 2,732,912 2,913,000 3,198,000 17.01%
Total $2,314,558 $2,400,122 $2,732,912 $2,913,000 $3,198,000 17.01%
Fund
Management
100%
Program Budget Summary
Page 419 of 648
PROGRAM AREA : FIR E PENSION
Standards have been established regarding investment returns and salary increases in order to
actuarially determine annual employer contribution levels. The Village’s annual benchmark for
investment return is 7.0 percent. The annual acturarial s alary increase assumption remains at
4.25 to 9.73 percent. The Firefighters Pension Board has invested 61.09 percent of its portfolio in
equity related instruments (mutual funds and separate stocks) and 38.91 percent in fixed income
investments (money market funds, certificates of deposit, treasury bonds, and government
agencies). The Firefighters Pension’s r ate of return for the last fiscal year is 7.05 percent, net of
investment fees. The prior year rate of return was 1.33 percent, and the five year return is 7.77
percent.
FUNDING SOURCE
Revenue
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
KEY PERFORMANCE MEASURES
Revenue Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Rate of investment return 7.00% 1.33% 7.05% 8.50% 7.50%
Levy more than the Illinois Department
of Insurance Minimum for the Fire
Pension Fund
Yes Yes Yes Yes Yes
Page 420 of 648
FUNDING SOURCE: REVE NUE
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
State Shared Taxes 12,729 12,761 8,742 7,648 6,556 -25.00%
Investment
Revenue 779,155 3,557,060 2,200,000 3,875,000 3,400,000 54.55%
Property Tax 2,189,409 2,153,279 1,862,674 1,862,674 1,897,942 1.89%
All Other Revenue 524,714 507,302 559,488 520,000 575,000 2.78%
Total Revenue
Collection $3,506,006 $6,230,402 $4,630,904 $6,265,322 $5,879,498 26.96%
State Shared
Taxes
0%
Investment
Revenue
58%
Property Tax
32%
All Other
Revenue
10%
2018 Revenue Collection
Page 421 of 648
PROGRAM AREA : FIR E PENSION
The 2018 budget includes pensions for 40 annuitants. 25 are traditional retirements, four are
disability pensions, and four are surviving spouse/children. The Fire Pension Fund currently has 55
active plan members and 1 inactive plan member entitled to but not receiving benefits.
MAJOR SERVICES
Fund Management
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
KEY PERFORMANCE MEASURES
Fire Pension Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Retiree Distributions made monthly 12 12 12 12 12
Comply with Investment Policy Yes Yes Yes Yes Yes
Page 422 of 648
MAJOR SERVICE : PENSION FUND MANAGEMENT
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Personnel
Benefits 2,141,667 2,225,410 2,532,912 2,703,000 2,983,000 17.81%
All Other
Expenses 172,891 174,712 200,000 210,000 215,000 7.50%
Total Pension
Fund
Management
$2,314,558 $2,400,122 $2,732,912 $2,913,000 $3,198,000 17.01%
Personnel
Benefits
93%
All Other
Expenses
7%
2018 Pension Fund Management
Page 423 of 648
POLICE PENSION FUND
The Police Pension Fund provides retirement, disability, and survivor benefits for all sworn police
personnel. The defined benefit pension plan is in conformance with Illinois State Statutes under
the oversight of the Illinois Division of Insurance. Employees contribute 9.91 percent of their
annual salary to the Police Pension Fund.
PROGRAM AREAS
Police Pension …………………………….……….………………………………………………..…………429
Page 424 of 648
2018 POLICE PENSION PROGRAM SUMMARY
Police Pension
Fund Management
Page 425 of 648
2018 POLICE PENSION PROGRAM BUDGET SUMMARY
Police Pension
Funding Source
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Revenue 3,322,713 6,659,320 6,367,129 6,938,295 6,781,813 6.51%
Total $3,322,713 $6,659,320 $6,367,129 $6,938,295 $6,781,813 6.51%
Police Pension
Expenditures
2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund
Management 3,192,214 3,516,502 3,945,000 3,843,000 4,265,000 8.11%
Total $3,192,214 $3,516,502 $3,945,000 $3,843,000 $4,265,000 8.11%
Fund
Management
100%
Program Budget Summary
Page 426 of 648
PROGRAM AREA : POLICE PENSION
Standards have been established regarding investment returns and salary increases in order to
actuarially determine annual employer contribution levels. The annual benchmark for
investment returns is 7.0 percent. The annual acturiaial salary increase assumption remains at
4.00-8.67 percent. The Police Pension Board has invested 60.17 percent of its investment portfolio
in equity related instruments (mutual funds and separate stocks) and 39.83 percent in fixed
income investments ( money market funds, certificates of deposit, treasury bonds, and
government agencies). The Police Pension’s rate of return fo r the last fiscal year was 6.40
percent, net of investment fees. The previous fiscal year return was 0.33 percent, with a five-year
return of 7.48
percent.
FUNDING SOURCE
Revenue
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
KEY PERFORMANCE MEASURES
Revenue Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Rate of investment return 7.00% 0.33% 6.40% 8.50% 7.50%
Levy more than the Illinois Department
of Iinsurance Minimum for the Police
Pension Fund
Yes Yes Yes Yes Yes
Page 427 of 648
FUNDING SOURCE: REVENUE
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
State Shared Taxes 12,729 12,702 8,742 7,648 6,557 -24.99%
Investment
Revenue 369,321 3,582,393 3,150,000 3,725,000 3,400,000 8.94%
Property Tax 2,271,586 2,416,010 2,525,647 2,525,647 2,673,256 5.84%
All Other Revenue 669,077 648,215 682,740 680,000 702,000 2.82%
Total Revenue
Collection $3,322,713 $6,659,320 $6,367,129 $6,938,295 $6,781,813 6.51%
State Shared
Taxes
0%
Investment
Revenue
50% Property Tax
40%
All Other
Revenue
10%
2018 Revenue Collection
Page 428 of 648
PROGRAM AREA : POLICE PENSION
The 2016 budget includes pensions for 52 annuitants, 38 are traditional retirements, two are
disability pensions, two are surviving spouses, and six are deferred pensioners. The Police Pension
Fund currently has 63 active plan members and 3 inactive plan members, entitled to but not
receiving benefits.
MAJOR SERVICES
Fund Management
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
KEY PERFORMANCE MEASURES
Police Pension
Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Retiree Distributions made monthly 12 12 12 12 12
Comply with Investment Policy Yes Yes Yes Yes Yes
Page 429 of 648
MAJOR SERVICE : PENSION FUND MANAGEMENT
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Act.
2018
Budget
% Change
FY17-FY18
Personnel Benefits 2,969,656 3,283,543 3,650,000 3,563,000 3,950,000 8.22%
All Other Expenses 222,558 232,959 295,000 280,000 315,000 6.78%
Total Police
Pension $3,192,214 $3,516,502 $3,945,000 $3,843,000 $4,265,000 8.11%
Personnel
Benefits
93%
All Other
Expenses
7%
2018 Pension Fund Management
Page 430 of 648
PAGE INTENTIONALLY LEFT BLANK
SECTION TEN : OTHER FUND S
DEBT SERVICE FUND – PARKING LOT FUND
DEBT SERVICE FUND
The Debt Service Fund provides for the payment of principal, interest, and fiscal agent fees on
corporate purpose general obligation bonds. All bonds were issued to fund various capital
development and construction projects in the Village.
PROGRAM AREAS
Debt Service Payments ……………………….………………………………………………..…………436
Page 433 of 648
2018 DEBT SERVICE FUND PROGRAM SUMMARY
Debt Service Fund
Debt Service Payments
Page 434 of 648
2018 DEBT SERVICE FUND PROGRAM BUDGET SUMMARY
Funding Source 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Revenue 830,233 869,039 1,673,895 1,673,895 1,682,693 0.53%
Total $830,233 $869,039 $1,673,895 $1,673,895 $1,682,693 0.53%
Expenditures 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Debt Service
Payments 806,748 896,456 1,679,144 1,679,144 1,687,694 0.51%
Total $806,748 $896,456 $1,679,144 $1,679,144 $1,687,694 0.51%
Debt Service
Paymentse
100%
Program Budget Summary
Page 435 of 648
PROGRAM AREA : DEBT SEVICE FUND
As of January 1, 2018, the Village has $14.37 million in outstanding general obligation debt with
an average interest rate of 2.53 percent. Property taxes will be levied as the primary funding
source for the annual principal and interest payments. The Village Board has adopted a policy
that governs debt issuance. As tenets of that policy (1) no debt financing will be used to
finance current expenditures, (2) capital projects will not be financed beyond their useful lives,
(3) total outstanding general obligation debt will not exceed the amount allowed non-home
rule municipalities, and (4) pay-as-you-go financing is the preferred method of financing. The
Village’s bond rating was upgraded in 2010 to AAA by Standard & Poor’s and Moody’s Investor
Services and the Village affirmed that rating in 2017 for existing as well as new debt.
FUNDING SOURCE
Revenue
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
KEY PERFORMANCE MEASURES
Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Debt payments made timely 4 3 4 4 4
Levy amount needed for current year
debt service payments Yes No No No No
.
Page 436 of 648
FUNDING SOURCE : REVENUE
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: Debt Service
Property Taxes - Lake
County 480,076 451,332 889,120 889,120 892,978 0.43%
Property Taxes - Cook
County 147,981 142,041 280,775 280,775 285,715 1.76%
Interfund Transfer 204,176 267,447 504,000 504,000 504,000 0.00%
Other Revenue - Misc - 8,219 - - - -
Total Revenue
Collection $832,233 $869,039 $1,673,895 $1,673,895 $1,682,693 0.53%
State Shared
Taxes
100%
2018 Revenue Collection
Page 437 of 648
DEBT SERVICE FUND : EXPENDITURES
MAJOR SERVICES
Debt Service Payments
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
KEY PERFORMANCE MEASURES
Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Debt Per Capita Less than
$400 $245 $382 $346 $314
Equalized Assessed Valuation (in
Millions) 1.500 1.493 1.556 1.585 1.598
Page 438 of 648
M AJOR SERVICE : DEBT SERVICE PAYMENT S
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Capital Outlay 806,748 896,456 1,679,144 1,679,144 1,687,694 0.51%
Total Debt Service
Fund $806,748 $896,456 $1,679,144 $1,679,144 $1,687,694 0.51%
Capital
Outlay
100%
2018 Debt Service
Page 439 of 648
PARKING LOT FUND
The Parking Lot Fund provides for the accounting of both revenues and expenditures related to
the Village’s operation of the commuter station parking lot at the Canadian National/METRA
site.
The Village has invested significant resources to modernize the Metra parking lot payment
system. Commuters have the option to pay with cash or credit card at the terminals located in
the Metra station. Additionally, payments are accepted through the website of the automated
fare box company or through a downloadable app on supporting smart phone devices at no
additional charge by the Village.
PROGRAM AREAS
Commuter Parking Lot …………………………….………………………………………………..…………443
Page 440 of 648
2018 PARKING LOT FUND PROGRAM SUMMARY
Parking Lot Fund
Commuter Parking Lot
Page 441 of 648
2018 PARKING LOT FUND PROGRAM BUDGET SUMMARY
Funding Source 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Revenue 183,329 207,874 211,200 214,400 208,200 -1.42%
Total $183,329 $207,874 $211,200 $214,400 $208,200 -1.42%
Expenditures 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Parking lot repair and
maintenance 184,852 175,793 211,021 181,387 326,150 54.56%
Total $184,852 $175,793 $211,021 $181,387 $326,150 54.56%
PARKING LOT FUND VARIANCES
Parking Lot Fund 2017
Budget
2017 Est.
Actual
2018
Budget
%
Change
FY17-
FY18
Comments
Repair and
Maintenance 17,500 - 144,763 727.22% Parking Lot Maintenance and
Resurfacing
Parking Lot Fund
100%
Program Budget Summary
Page 442 of 648
PROGRAM AREA : PARKING LOT FUND
As fuel costs continue to fluctuate and employment numbers steadily increase, the revenue
performance should begin trending upward for Metra fees.
FUNDING SOURCE
Revenue
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
KEY PERFORMANCE MEASURES
Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Parking pass type offered 2 2 2 2 3
Parking passes sold online 300 N/A N/A 320 400
.
Page 443 of 648
FUNDING SOURCE : REVENUE
The Village maintains and collects fees that support the Parking Lot Fund. Revenues for
commuter rail are tied directly to the economy and employment trends. Rates for daily parking
are $2.00/day. The Village offers a bi-monthly prepaid parking pass for $80.00 and an annual
pass for $450.00 which saves commuters time and money over paying daily.
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: Parking Lot
Parking Fees - Daily 57,907 93,631 70,000 88,000 82,000 17.14%
Parking Fees - Passes 124,750 113,109 140,000 125,000 125,000 -10.71%
Facility Rental 672 1,134 1,200 1,400 1,200 0.00%
Total Revenue
Collection $183,329 $207,874 $211,200 $214,400 $208,200 -1.42%
State Shared
Taxes
100%
2018 Revenue Collection
Page 444 of 648
PARKING LOT FUND : EXPENDITURES
Expenditures are based on projections for maintenance for the parking lot and commuter
station. The largest obligation is for a land lease from Commonwealth Edison.
MAJOR SERVICES
Commuter Parking Lot
PROGRAM CHANGES OF NOTE
No additional personnel or programs requested in 2018.
KEY PERFORMANCE MEASURES
Benchmark 2015
Actual
2016
Actual
2017
Estimated
Actual
2018
Estimate
Utility bills processed timely 24 24 24 24 24
Page 445 of 648
M AJOR SERVICE : COMMUTER PARKING LOT
Account 2015
Actual
2016
Actual
2017
Budget
2017 Est.
Actual
2018
Budget
% Change
FY17-FY18
Fund: Parking Lot
Operating Expenses 168,802 175,793 179,771 181,387 167,637 -6.75%
Commodities - - 13,750 - 13,750 0.00%
Repairs & Maintenance 16,050 - 17,500 - 144,763 727.22%
Total Parking Lot Fund $184,852 $175,793 $211,021 $181,387 $326,150 54.56%
Capital
Outlay
100%
2018 Commuter Parking Lot
Page 446 of 648
PAGE INTENTIONALLY LEFT BLANK
APPENDIX A: COMPREHE NSIVE
FEE AND FINE SCHEDUL E
FEE SCHEDULE – FINE SCHEDULE
Buffalo Grove
Municipal Code
Section
Classification Fee
2.63.130
subsection B.
Expense of preparing and filing a certified report
with the Secretary of State. $20.00
3.06.020
subsection A.
All one and two family dwelling—Variations for
principal structures $125.00
3.06.020
subsection A.
All one and two family dwelling—Variations other
than principal structures $75.00
3.06.020
subsection B.
All multiple family dwellings—Variations for principal
structures $175.00
3.06.020
subsection B.
All multiple family dwellings—Variations, other than
principal structures $125.00
3.06.020
subsection C.
All business, office/research and industrial
buildings—Variations for principal structures $175.00
3.06.020
subsection C.
All business, office/research and industrial
buildings—Variations, other than principal structures $125.00
3.06.020
subsection D. To appeal a decision of the Building Commissioner $175.00
3.06.020
subsection E.
Variation for special uses property in R-E through R-
7 districts $100.00
3.06.020
subsection E.
Variation for special uses property in all other
districts $200.00
3.06.020
subsection F.
Planned unit development (PUD) amendment—
Variation $100.00
3.06.020
subsection F.
Planned unit development (PUD) new
development—Variation $200.00
3.06.020
subsection G.
Rezoning or variation (if not part of a petition for
special use or PUD) $200.00
3.06.020
subsection H. Zoning text amendment—Variation $100.00
3.06.020
subsection I.
Concept/preliminary plan review for sites five acres
or less -variation $150.00
3.06.020
subsection I.
Concept/preliminary plan review per acre (or
fraction thereof) for sites larger than five acres—
Variation
$25.00
3.06.030
subsection A.
Special uses for property in R-E through R-7 districts.
Petition filing fee $100.00
3.06.030
subsection A.
Special uses for property in all other districts. Petition
filing fee $200.00
3.06.030
subsection B.
Planned unit development (PUD) amendment.
Petition filing fee $100.00
3.06.030
subsection B.
Planned unit development (PUD) new
development. Petition filing fee $200.00
3.06.030
subsection C.
Rezoning or variation (if not part of a petition for
special use or PUD). Petition filing fee $200.00
3.06.030
subsection D. Zoning text amendment. Petition filing fee $100.00
3.06.030
subsection E.
Concept/preliminary plan review for sites five acres
or less. Petition filing fee $150.00
Page 449 of 648
Buffalo Grove
Municipal Code
Section
Classification Fee
3.06.030
subsection E.
Concept/preliminary plan review per acre (or
fraction thereof) for sites larger than five acres.
Petition filing fee
$25.00
3.06.030
subsection G.
Development Ordinance variation for residential
property. Petition filing fee $125.00
3.20.060
subsection A.
For industrial projects or pollution control facility
revenue bonds
One-tenth of one
percent of the principal
amount of any bonds
issued pursuant to the
provisions of Chapter
3.20.
3.20.060
subsection B. For multi-family housing project revenue bonds
One percent of the
principal amount of
any bonds issued
pursuant to the
provisions of Chapter
3.20.
3.36.030 Nonresident who utilizes the emergency medical
service: BLS $800.00*
3.36.030 Nonresident who utilizes the emergency medical
service: ALS Level 1 $950.00*
3.36.030 Nonresident who utilizes the emergency medical
service: ALS Level 2 $1,100.00*
3.36.030 Nonresident who utilizes the emergency medical
service: Treat, Non-Transport $175.00*
3.36.030 Nonresident who utilizes the emergency medical
service: Mileage/mile $13.50*
3.36.030 Resident who utilizes the emergency medical
service: BLS $600.00
3.36.030 Resident who utilizes the emergency medical
service: ALS Level 1 $700.00
3.36.030 Resident who utilizes the emergency medical
service: ALS Level 2 $900.00
3.36.030 Resident who utilizes the emergency medical
service: Treat, Non-Transport $0.00
3.36.030 Resident who utilizes the emergency medical
service: Mileage/mile $13.50
3.36.030 *Nonresident annual fee increase
Beginning January 1,
2017 the fees for non-
residents shall increase
by five percent and
each year thereafter.
3.38.030
Nonresident or resident who utilizes the emergency
services of the Buffalo Grove Fire Department:
Motor Vehicle Incidents Level 1
$435.00
3.38.030
Nonresident or resident who utilizes the emergency
services of the Buffalo Grove Fire Department:
Motor Vehicle Incidents Level 2
$495.00
Page 450 of 648
Buffalo Grove
Municipal Code
Section
Classification Fee
3.38.030
Nonresident or resident who utilizes the emergency
services of the Buffalo Grove Fire Department:
Motor Vehicle Incidents Level 3
$605.00
3.38.030
Resident who utilizes the emergency services of the
Buffalo Grove Fire Department: Motor Vehicle
Incidents Level 4
$900.00
3.38.030
Nonresident who utilizes the emergency services of
the Buffalo Grove Fire Department: Motor Vehicle
Incidents Level 4
$1,800.00
3.38.030
Resident who utilizes the emergency services of the
Buffalo Grove Fire Department: Motor Vehicle
Incidents Level 5
$1,100.00
3.38.030
Nonresident who utilizes the emergency services of
the Buffalo Grove Fire Department: Motor Vehicle
Incidents Level 5
$2,200.00
3.38.030
Nonresident or resident who utilizes the emergency
services of the Buffalo Grove Fire Department:
Motor Vehicle Incidents Level 6
Itemized
3.38.030
Resident who utilizes the emergency services of the
Buffalo Grove Fire Department: Hazardous
Materials Incidents Level 1
$350.00
3.38.030
Nonresident who utilizes the emergency services of
the Buffalo Grove Fire Department: Hazardous
Materials Incidents Level 1
$700.00
3.38.030
Resident who utilizes the emergency services of the
Buffalo Grove Fire Department: Hazardous
Materials Incidents Level 2
$1,250.00
3.38.030
Nonresident who utilizes the emergency services of
the Buffalo Grove Fire Department: Hazardous
Materials Incidents Level 2
$2,500.00
3.38.030
Resident who utilizes the emergency services of the
Buffalo Grove Fire Department: Hazardous
Materials Incidents Level 3
$2,500.00
3.38.030
Nonresident who utilizes the emergency services of
the Buffalo Grove Fire Department: Hazardous
Materials Incidents Level 3
$5,900.00
3.38.030
Nonresident or resident who utilizes the emergency
services of the Buffalo Grove Fire Department: Haz
Mat Technician per hour
$50.00
3.38.030
Resident who utilizes the emergency services of the
Buffalo Grove Fire Department: Pipeline/Power line
Incidents Level 1
$200.00
3.38.030
Nonresident who utilizes the emergency services of
the Buffalo Grove Fire Department: Pipeline/Power
line Incidents Level 1
$400.00
3.38.030
Resident who utilizes the emergency services of the
Buffalo Grove Fire Department: Pipeline/Power line
Incidents Level 2
$500.00
Page 451 of 648
Buffalo Grove
Municipal Code
Section
Classification Fee
3.38.030
Nonresident who utilizes the emergency services of
the Buffalo Grove Fire Department: Pipeline/Power
line Incidents Level 2
$1,250.00
3.38.030
Resident who utilizes the emergency services of the
Buffalo Grove Fire Department: Pipeline/Power line
Incidents Level 3
Itemized
3.38.030
Nonresident who utilizes the emergency services of
the Buffalo Grove Fire Department: Pipeline/Power
line Incidents Level 3
Itemized
3.38.030
Nonresident who utilizes the emergency services of
the Buffalo Grove Fire Department: Fire
Investigations per hour
$275.00
3.38.030
Resident who utilizes the emergency services of the
Buffalo Grove Fire Department: Water Incidents
Level 1
$200.00
3.38.030
Nonresident who utilizes the emergency services of
the Buffalo Grove Fire Department: Water Incidents
Level 1
$400.00
3.38.030
Resident who utilizes the emergency services of the
Buffalo Grove Fire Department: Water Incidents
Level 2
$400.00
3.38.030
Nonresident who utilizes the emergency services of
the Buffalo Grove Fire Department: Water Incidents
Level 2
$800.00
3.38.030
Resident who utilizes the emergency services of the
Buffalo Grove Fire Department: Water Incidents
Level 3
$1,000.00
3.38.030
Nonresident who utilizes the emergency services of
the Buffalo Grove Fire Department: Water Incidents
Level 3
$2,000.00
3.38.030
Nonresident or resident who utilizes the emergency
services of the Buffalo Grove Fire Department:
Water Incidents Technician per hour
$50.00
3.38.030
Nonresident or resident who utilizes the emergency
services of the Buffalo Grove Fire Department:
specialized rescue
Itemized
3.38.030
Nonresident or resident who utilizes the emergency
services of the Buffalo Grove Fire Department:
Technician per hour
$50.00
3.52.020
subsection A.
Daily fee for the purpose of parking within the
Village's commuter parking $2.00
3.52.030 Parking for a defined two-month period paid the
1st through 15th of first month $80.00
3.52.030 Parking for a defined two-month period paid the
16th through end of first month $60.00
3.52.030 Parking for a defined two-month period paid the
1st through 15th of second month $40.00
3.52.030 Parking for a defined two-month period paid the $20.00
Page 452 of 648
Buffalo Grove
Municipal Code
Section
Classification Fee
16th through end of second month
3.52.055
subsection B.
Daily fee for parking within a commuter parking lot
(from 6:00 a.m. to 8:00 p.m.) $1.50
3.56.030
subsection A. Telecommunication infrastructure maintenance fee
1% of all gross charges
by telecommunications
retailer to service
addresses within the
Village for
telecommunications
originating or received
in the Village
3.65.030
subsection A. Gas tax $0.05 per therm
3.70.010 Administrative fee for persons arrested, processed
and released on bail $20.00
3.71.030
subsections C.
Stormwater utility fee tier 1: Residential (single family
attached and detached). Annual fee $60.96
3.71.030
subsections C.
Stormwater utility fee tier 2: Multi-family,
commercial and industrial. Annual fee
$0.006950 × Property
Square Footage
3.72.010 Fingerprinting service $50.00
3.72.020 Local records check for visa/immigration matters $15.00
5.04.110
subsection A.
Annual fee for a business license for service/retail
and wholesale sales/office up to 5,000 square feet $90.00
5.04.110
subsection A.
Annual fee for a business license for service/retail
and wholesale sales/office up to 10,000 square feet $150.00
5.04.110
subsection A.
Annual fee for a business license for service/retail
and wholesale sales/office up to 20,000 square feet $200.00
5.04.110
subsection A.
Annual fee for a business license for service/retail
and wholesale sales/office up to 50,000 square feet $300.00
5.04.110
subsection A.
Annual fee for a business license for service/retail
and wholesale sales/office up to 75,000 square feet $350.00
5.04.110
subsection A.
Annual fee for a business license for service/retail
and wholesale sales/office up to and including
100,000 square feet
$400.00
5.04.110
subsection A.
Annual fee for a business license for service/retail
and wholesale sales/office more than 100,000
square feet
$450.00
5.04.110
subsection A.
Annual fee after July 1st for a business license for
service/retail and wholesale sales/office up to 5,000
square feet
$45.00
5.04.110
subsection A.
Annual fee after July 1st for a business license for
service/retail and wholesale sales/office up to
10,000 square feet
$75.00
5.04.110
subsection A.
Annual fee after July 1st for a business license for
service/retail and wholesale sales/office up to
20,000 square feet
$100.00
5.04.110
subsection A.
Annual fee after July 1st for a business license for
service/retail and wholesale sales/office up to $150.00
Page 453 of 648
Buffalo Grove
Municipal Code
Section
Classification Fee
50,000 square feet
5.04.110
subsection A.
Annual fee after July 1st for a business license for
service/retail and wholesale sales/office up to
75,000 square feet
$175.00
5.04.110
subsection A.
Annual fee after July 1st for a business license for
service/retail and wholesale sales/office up to and
including 100,000 square feet
$200.00
5.04.110
subsection A.
Annual fee after July 1st for a business license for
service/retail and wholesale sales/office more than
100,000 square feet
$225.00
5.04.110
subsection A.
Renewal fee after January 15th for a business
license for service/retail and wholesale sales/office
up to 5,000 square feet
$135.00
5.04.110
subsection A.
Renewal fee after January 15th for a business
license for service/retail and wholesale sales/office
up to 10,000 square feet
$225.00
5.04.110
subsection A.
Renewal fee after January 15th for a business
license for service/retail and wholesale sales/office
up to 20,000 square feet
$300.00
5.04.110
subsection A.
Renewal fee after January 15th for a business
license for service/retail and wholesale sales/office
up to 50,000 square feet
$450.00
5.04.110
subsection A.
Renewal fee after January 15th for a business
license for service/retail and wholesale sales/office
up to 75,000 square feet
$525.00
5.04.110
subsection A.
Renewal fee after January 15th for a business
license for service/retail and wholesale sales/office
up to and including 100,000 square feet
$600.00
5.04.110
subsection A.
Renewal fee after January 15th for a business
license for service/retail and wholesale sales/office
more than 100,000 square feet
$675.00
5.04.110
subsection A.
License fee for a food establishment or
service/retail with food accessory up to 5,000
square feet
$100.00
5.04.110
subsection A.
License fee for a food establishment or
service/retail with food accessory up to 10,000
square feet
$150.00
5.04.110
subsection A.
License fee for a food establishment or
service/retail with food accessory up to and
including 20,000 square feet
$200.00
5.04.110
subsection A.
License fee for a food establishment or
service/retail with food accessory more than 20,000
square feet
$250.00
5.04.110
subsection A.
License fee after July 1st for a food establishment or
service/retail with food accessory up to 5,000
square feet
$50.00
5.04.110
subsection A.
License fee after July 1st for a food establishment or
service/retail with food accessory up to 10,000 $75.00
Page 454 of 648
Buffalo Grove
Municipal Code
Section
Classification Fee
square feet
5.04.110
subsection A.
License fee after July 1st for a food establishment or
service/retail with food accessory up to and
including 20,000 square feet
$100.00
5.04.110
subsection A.
License fee after July 1st for a food establishment or
service/retail with food accessory more than 20,000
square feet
$125.00
5.04.110
subsection A.
License renewal fee after Jan 15th for a food
establishment or service/retail with food accessory
up to 5,000 square feet
$150.00
5.04.110
subsection A.
License renewal fee after Jan 15th for a food
establishment or service/retail with food accessory
up to 10,000 square feet
$225.00
5.04.110
subsection A.
License renewal fee after Jan 15th for a food
establishment or service/retail with food accessory
up to and including 20,000 square feet
$300.00
5.04.110
subsection A.
License renewal fee after Jan 15th for a food
establishment or service/retail with food accessory
with more than 20,000 square feet
$375.00
5.04.110
subsection A.
License fee for industrial/research and
development (including industrial w/food
accessory or processing) up to 100,000 square feet
$200.00
5.04.110
subsection A.
License fee for industrial/research and
development (including industrial w/food
accessory or processing) up to 150,000 square feet
$250.00
5.04.110
subsection A.
License fee for industrial/research and
development (including industrial w/food
accessory or processing) up to 200,000 square feet
$300.00
5.04.110
subsection A.
License fee for industrial/research and
development (including industrial w/food
accessory or processing) up to 250,000 square feet
$350.00
5.04.110
subsection A.
License fee for industrial/research and
development (including industrial w/food
accessory or processing) up to 300,000 square feet
$400.00
5.04.110
subsection A.
License fee for industrial/research and
development (including industrial w/food
accessory or processing) up to 350,000 square feet
$450.00
5.04.110
subsection A.
License fee for industrial/research and
development (including industrial w/food
accessory or processing) up to 400,000 square feet
$500.00
5.04.110
subsection A.
License fee for industrial/research and
development (including industrial w/food
accessory or processing) up to 450,000 square feet
$550.00
5.04.110
subsection A.
License fee for industrial/research and
development (including industrial w/food
accessory or processing) up to and including
500,000 square feet
$600.00
5.04.110 License fee for industrial/research and $700.00
Page 455 of 648
Buffalo Grove
Municipal Code
Section
Classification Fee
subsection A. development (including industrial w/food
accessory or processing) more than 500,000 square
feet
5.04.110
subsection A.
License fee after July 1st for industrial/research and
development (including industrial w/food
accessory or processing) up to 100,000 square feet
$100.00
5.04.110
subsection A.
License fee after July 1st for industrial/research and
development (including industrial w/food
accessory or processing) up to 150,000 square feet
$125.00
5.04.110
subsection A.
License fee after July 1st for industrial/research and
development (including industrial w/food
accessory or processing) up to 200,000 square feet
$150.00
5.04.110
subsection A.
License fee after July 1st for industrial/research and
development (including industrial w/food
accessory or processing) up to 250,000 square feet
$175.00
5.04.110
subsection A.
License fee after July 1st for industrial/research and
development (including industrial w/food
accessory or processing) up to 300,000 square feet
$200.00
5.04.110
subsection A.
License fee after July 1st for industrial/research and
development (including industrial w/food
accessory or processing) up to 350,000 square feet
$225.00
5.04.110
subsection A.
License fee after July 1st for industrial/research and
development (including industrial w/food
accessory or processing) up to 400,000 square feet
$250.00
5.04.110
subsection A.
License fee after July 1st for industrial/research and
development (including industrial w/food
accessory or processing) up to 450,000 square feet
$275.00
5.04.110
subsection A.
License fee after July 1st for industrial/research and
development (including industrial w/food
accessory or processing) up to and including
500,000 square feet
$300.00
5.04.110
subsection A.
License fee after July 1st for industrial/research and
development (including industrial w/food
accessory or processing) more than 500,000 square
feet
$350.00
5.04.110
subsection A.
License fee renewal after January 15th for
industrial/research and development (including
industrial w/food accessory or processing) up to
100,000 square feet
$300.00
5.04.110
subsection A.
License fee renewal after January 15th for
industrial/research and development (including
industrial w/food accessory or processing) up to
150,000 square feet
$375.00
5.04.110
subsection A.
License fee renewal after January 15th for
industrial/research and development (including
industrial w/food accessory or processing) up to
200,000 square feet
$450.00
5.04.110 License fee renewal after January 15th for $525.00
Page 456 of 648
Buffalo Grove
Municipal Code
Section
Classification Fee
subsection A. industrial/research and development (including
industrial w/food accessory or processing) up to
250,000 square feet
5.04.110
subsection A.
License fee renewal after January 15th for
industrial/research and development (including
industrial w/food accessory or processing) up to
300,000 square feet
$600.00
5.04.110
subsection A.
License fee renewal after January 15th for
industrial/research and development (including
industrial w/food accessory or processing) up to
350,000 square feet
$675.00
5.04.110
subsection A.
License fee renewal after January 15th for
industrial/research and development (including
industrial w/food accessory or processing) up to
400,000 square feet
$750.00
5.04.110
subsection A.
License fee renewal after January 15th for
industrial/research and development (including
industrial w/food accessory or processing) up to
450,000 square feet
$825.00
5.04.110
subsection A.
License fee renewal after January 15th for
industrial/research and development (including
industrial w/food accessory or processing) up to
and including 500,000 square feet
$900.00
5.04.110
subsection A.
License fee renewal after January 15th for
industrial/research and development (including
industrial w/food accessory or processing) more
than 500,000 square feet
$1,050.00
5.04.110
subsection A.
Licensee fee for hotel/motel up to and including
150,000 square feet $750.00
5.04.110
subsection A.
Licensee fee for hotel/motel more than 150,000
square feet $1,000.00
5.04.110
subsection A.
Licensee fee after July 1st for hotel/motel up to and
including 150,000 square feet $375.00
5.04.110
subsection A.
Licensee fee after July 1st for hotel/motel more
than 150,000 square feet $500.00
5.04.110
subsection A.
Licensee fee renewal after January 15th for
hotel/motel up to and including 150,000 square
feet
$1,125.00
5.04.110
subsection A.
Licensee fee renewal after January 15th for
hotel/motel more than 150,000 square feet $1,500.00
5.04.170 Day care business license
$85.00 annually, $42.50
if purchased on or after
July 1st of any year
5.08.050
subsection A. Amusement permit fee $50.00
5.08.050
subsection B. Carnival fee $10.00 per day
5.08.050 Mechanical inspection fee (charged per ride per $5.00
Page 457 of 648
Buffalo Grove
Municipal Code
Section
Classification Fee
subsection C. day)
5.10.040
subsection A. Arts and crafts vendor six days or fewer $20.00
5.10.040
subsection A. Arts and crafts vendor per week $50.00
5.10.040
subsection A. Arts and crafts vendor per month $75.00
5.10.040
subsection A. Arts and crafts vendor per year $150.00
5.12.050 Amusement device fee
$50.00 for each device;
however, for any
license issued between
November 1st and April
30th of the following
calendar year, the fee
shall be $25.00 for each
device.
5.20.070
subsection A. Class A liquor license $2,500.00
5.20.070
subsection B. Class B liquor license $2,300.00
5.20.070
subsection C. Class C liquor license $2,500.00
5.20.070
subsection D. Class D liquor license $1,800.00
5.20.070
subsection D.
Class D liquor license, if authorized by the Liquor
Control Commissioner and approved by the Village
Board, combined with a Class A or Class B
$300.00 plus cost of
Class A or Class B liquor
license
5.20.070
subsection D1. Class D1 liquor license $1,800.00
5.20.070
subsection E. Class E liquor license $1,500.00
5.20.070
subsection F.4. Class F liquor license $2,000.00
5.20.070
subsection
G.1.d.
Class G1 liquor license $25.00
5.20.070
subsection
G.2.c.
Class G2 liquor license $100.00
5.20.070
subsection
G.3.c.
Class G3 liquor license $25.00
5.20.070
subsection
G.4.b.
Class G4 liquor license $25.00
5.20.070
subsection Class G5 liquor license $25.00
Page 458 of 648
Buffalo Grove
Municipal Code
Section
Classification Fee
G.5.d.
5.20.070
subsection
G.6.d.
Class G6 liquor license $25.00
5.20.070
subsection
G.7.c.
Class G7 liquor license $100.00
5.20.070
subsection H.4. Class H liquor license $250.00
5.20.070
subsection I. Class I liquor license $1,200.00
5.20.070
subsection J. Class J liquor license $4,000.00
5.20.070
subsection K. Class K liquor license $4,000.00
5.20.071 First time liquor license applicant fee $500.00
5.20.075
subsection B.2. Monthly tasting permit $25.00
5.20.075
subsection C.2. Yearly tasting permit $1,000.00
5.20.090
subsection B.
Fee for a make-up liquor/alcohol awareness
training seminar
shall not exceed
$500.00 per licensee
5.20.100
subsection C. Fee to transfer liquor license $100.00
5.20.155
subsection D.
Application fee for video gaming (regardless of
number of terminals) $250.00
5.20.155
subsection E. Annual fee for video gaming locations $1,000.00
5.20.165
subsection C.4.
Processing fee for special server application for
minors $35.00
5.24.050
subsection B. Solicitor permits
$50.00 (which includes
one solicitor) plus
$15.00 for each
additional person that
is added to the permit
5.28.020
subsection E. Business public passenger vehicle license fee
$50.00, provided that
the fee for licenses
issued for less than a
year shall be prorated
for the period from the
date of issuance to the
end of the year.
5.28.030
subsection E. Annual fee for a public passenger vehicle license $20.00
5.28.030
subsection E.
Annual fee for a public passenger vehicle license
issued July 1st or after $10.00
5.28.150
subsection G. Chauffeur's license original application filing fee $75.00
Page 459 of 648
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Municipal Code
Section
Classification Fee
5.28.150
subsection G. Chauffeur's license renewal application filing fee $35.00
5.32.040 Tobacco dealer's license $75.00
5.32.070 Tobacco dealer license fee for mechanical
devices (for each mechanical device) $50.00
5.44.050 Massage establishment license application fee
$250.00, provided the
fee for licenses issued
for less than a calendar
year shall be prorated
for the period from the
date of issuance to
December 31st of that
year.
5.46.040
subsection B.
Application fee for initial license for a pawnbroker
or resale shop dealer $250.00
5.46.060 Resale shop license fee $1,500.00
5.46.060 Pawn shop license fee $2,000.00
5.52.050 Food/beverage vending machines license per year $30.00
5.52.050 Food/beverage vending machines license for half
of a year $15.00
5.52.070 Health Officer reinspection fee for a
food/beverage vending machine $10.00
5.70.050
subsection B.
Processing fee for an Adult Establishment license or
renewal $200.00
6.08.030
subsection C. Animal impound fee per day $15.00
6.08.030
subsection C.
Additional fee for animals not wearing a current
license tag (in addition to the payment for a
license if the animal is unlicensed)
$100.00
6.08.030
subsection C. Additional fee for dogs running at large $50.00
6.08.030
subsection C.
Additional fee for second and subsequent offenses
of a dog running at large $100.00
6.12.020
subsection A. Tag fee for each dog or cat $1.00
6.12.020
subsection D. Licensee fee for cats, dogs and animals.
$10.00, except for an
animal found to be a
potentially dangerous
shall be $50.00. There
shall be no license fee
for dogs leading
special needs persons,
or dogs use as part of
law enforcement.
8.16.020
subsection C. Annual fee for a food-vending vehicle license $100.00
8.16.030 Food-vending vehicle mobile food vendor permit
original application fee. $75.00
Page 460 of 648
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Municipal Code
Section
Classification Fee
8.16.030 Food-vending vehicle mobile food vendor permit
renewal application fee. $35.00
8.20.170 Licensee fee for garbage and refuse removal
services $500.00
8.44.040
subsection B.1. Annual licensing fee to operate a swimming pool $50.00
9.04.030
subsection A.
Alarm registration fee for both original and renewal
permits for any single police burglar alarm or single
fire alarm for any occupancy.
$10.00
9.04.030
subsection A.
Alarm registration fee for both original and renewal
permits for any combination fire/police alarm for
any occupancy.
$20.00
9.04.080 For the first response to premises at which no other
false alarm has occurred within the Annual Period $0.00
9.04.080
For the second response to premises at which a
previous false alarm has occurred within the
Annual Period
$75.00
9.04.080
For the third response to premises at which a
previous false alarm had occurred within the
Annual Period
$125.00
9.04.080
For the fourth response to premises at which a
previous false alarm had occurred within the
Annual Period
$175.00
9.04.080
For the fifth through ninth responses to premises at
which a previous false alarm had occurred within
the Annual Period
$200.00
9.04.080
For the tenth or more responses to premises at
which a previous false alarm had occurred within
the Annual Period
$250.00
BG-15-307
subsection B.
Category 1A: Fee for single vehicle with 2 axles,
max weight across axles of 48000 and max weight
on any single axle of 25000 for a single trip; round
trip; quarterly and annually
$15.00; $25.00; $85.00;
$340.00
BG-15-307
subsection B.
Category 2A: Fee for single vehicle with 2 axles,
max weight across axles of 54000 and max weight
on any single axle of 28000 for a single trip; round
trip; quarterly and annually
$20.00; $35.00; $100.00;
$400.00
BG-15-307
subsection B.
Category 3A: Fee for single vehicle with 3+ axles,
max weight across axles of 60000, max weight on
any single axle of 21000 and max weight for any 2
axle tandem of 40000 for a single trip; round trip;
quarterly and annually
$25.00; $45.00; $115.00;
$460.00
BG-15-307
subsection B.
Category 4A: Fee for single vehicle with 3+ axles,
max weight across axles of 68000, max weight on
any single axle of 25000 and max weight for any 2
axle tandem of 48000 for a single trip; round trip;
quarterly and annually
$30.00; $55.00; $130.00;
$520.00
BG-15-307 Category 5A: Fee for single vehicle with 3+ axles, $60.00; $115.00;
Page 461 of 648
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Municipal Code
Section
Classification Fee
subsection B. max weight across axles of 72000, max weight on
any single axle of 25000 and max weight for any 2
axle tandem of 48000 for a single trip; round trip;
quarterly and annually
$270.00; $1080.00
BG-15-307
subsection B.
Category 6A: Fee for single vehicle with 3+ axles,
max weight across axles of 80000, max weight on
any single axle of 27000 and max weight for any 2
axle tandem of 54000 for a single trip; round trip;
quarterly and annually
$70.00; $135.00;
$285.00; $1140.00
BG-15-307
subsection B.
Category 7A: Fee for single vehicle with 4+ axles,
max weight across axles of 72000, max weight on
any single axle of 21000 and max weight for any 2
axle tandem of 40000 for a single trip; round trip;
quarterly and annually
$35.00; $65.00; $145.00;
$580.00
BG-15-307
subsection B.
Category 8A: Fee for single vehicle with 4+ axles,
max weight across axles of 76000, max weight on
any single axle of 23000 and max weight for any 2
axle tandem of 44000 for a single trip; round trip;
quarterly and annually
$40.00; $75.00; $160.00;
$640.00
BG-15-307
subsection B.
Category 9A: Fee for single vehicle with 4+ axles,
max weight across axles of 80000, max weight on
any single axle of 27000, max weight for any 2 axle
tandem of 54000, and max weight on 3 or 4 axle
group of 60,000 for a single trip; round trip; quarterly
and annually
$60.00; $100.00;
$225.00; $900.00
BG-15-307
subsection B.
Category 1B: Fee for single combination vehicle
with 5+ axles, max weight across axles of 88000,
max weight on any single axle of 23000 and max
weight for any 2 axle tandem or 3 or 4 axle group
44000 for a single trip; round trip; quarterly and
annually
$30.00; $55.00; $190.00;
$760.00
BG-15-307
subsection B.
Category 2B: Fee for single combination vehicle
with 5+ axles, max weight across axles of 100000,
max weight on any single axle of 25000 and max
weight for any 2 axle tandem or 3 or 4 axle group
48000 for a single trip; round trip; quarterly and
annually
$40.00; $75.00; $220.00;
$880.00
BG-15-307
subsection B.
Category 3B: Fee for single combination vehicle
with 6+ axles, max weight across axles of 110000,
max weight on any single axle of 23000, max
weight for any 2 axle tandem of 44000 and max for
any 3 or 4 axle group of 54000 for a single trip;
round trip; quarterly and annually
$45.00; $85.00; $235.00;
$940.00
BG-15-307
subsection B.
Category 4B: Fee for single combination vehicle
with 6+ axles, max weight across axles of 120000,
max weight on any single axle of 25000, max
weight for any 2 axle tandem of 48000 and max for
any 3 or 4 axle group of 60000 for a single trip;
round trip; quarterly and annually
$50.00; $95.00; $250.00;
$1000.00
Page 462 of 648
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Municipal Code
Section
Classification Fee
BG-15-307
subsection B.
Category 5B: Fee for single combination vehicle
with 6+ axles, max weight across axles of 143000,
max weight on any single axle of 27000, max
weight for any 2 axle tandem of 54000 and max for
any 3 or 4 axle group of 78000 for a single trip;
round trip; quarterly and annually
$60.00; $115.00;
$325.00; $1300.00
BG-15-307
subsection B.
Category 6B: Fee for single combination vehicle
with 7+ axles, max weight across axles of 162000,
max weight on any single axle of 25000, max
weight for any 2 axle tandem of 50000, max for any
3 axle group of 75000 and max for any four axle
group of 10000 for a single trip; round trip; quarterly
and annually
$70.00; $135.00;
$400.00; $1600.00
BG-15-307
subsection B.
Category 7B: Fee for single combination vehicle
with 7+ axles, max weight across axles of 187000,
max weight on any single axle of 25000, max
weight for any 2 axle tandem of 50000, max for any
3 axle group of 75000 and max for any four axle
group of 10000 for a single trip; round trip; quarterly
and annually
$80.00; $155.00;
$500.00; $2000.00
BG-15-307
subsection B.
Category 1C: Fee for over dimension (oversized
vehicles) with a max sizes: WIDTH: 10'; HEIGHT: 13'6";
LENGTH: 115' for single trip, round trip, quarterly and
annually
$15.00; $25.00; $75.00;
$300.00
BG-15-307
subsection B.
Category 2C: Fee for over dimension (oversized
vehicles) with a max sizes: WIDTH: 12'; HEIGHT: 13'6";
LENGTH: 115' for single trip, round trip, quarterly and
annually
$20.00; $40.00; $120.00;
$480.00
BG-15-307
subsection B.
Category 3C: Fee for over dimension (oversized
vehicles) with a max sizes: WIDTH: 14'; HEIGHT: 13'6";
LENGTH: 115' for single trip, round trip, quarterly and
annually
$30.00; $55.00; $165.00;
$660.00
BG-15-307
subsection B.
Category 4C: Fee for over dimension (oversized
vehicles) with a max sizes: WIDTH: 18'; HEIGHT: 16';
LENGTH: 135' for single trip and round trip
$50.00; $95.00
BG-15-307
subsection B.
Category 5C: Fee for over dimension (oversized
vehicles) with a max sizes: WIDTH: >18'; HEIGHT: >16';
LENGTH: >135' for single trip and round trip
$100.00; $195.00
10.20.040 Administrative fee for a properly impounded
vehicle $500.00
10.20.050
subsection C.
Administrative fee for a properly impounded
vehicle to be posted for a vehicle to be released
prior to a preliminary probable cause hearing
$500.00
12.04.040
subsection F.
Application fee for construction of any facility that
affects a public right-of-way $750.00
12.08.030 Driveway apron, service walk, carriage walk or
other appurtenance permit fee $50.00
13.04.040 Water system improvement fee for single-family $680.00
Page 463 of 648
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Municipal Code
Section
Classification Fee
subsection B. dwelling
13.04.040
subsection B. Water system improvement fee for townhouse $585.00
13.04.040
subsection B.
Water system improvement fee for condominium
unit $485.00
13.04.040
subsection B.
Water system improvement fee for multi-family
apartment unit $390.00
13.04.040
subsection B.
Water system improvement fee for business,
commercial or industrial
$95.00 per 100 gallons
of maximum daily
usage
13.04.060
Fee for connecting to a water main for each 1 inch
water connection (which includes labor cost but
not the cost of the meter)
$100.00
13.04.060
Fee for connecting to a water main for each 1.25
inch water connection (which includes labor cost
but not the cost of the meter)
$125.00
13.04.060
Fee for connecting to a water main for each 1.5
inch water connection (which includes labor cost
but not the cost of the meter)
$150.00
13.04.060
Fee for connecting to a water main for each 2 inch
water connection (which includes labor cost but
not the cost of the meter)
$400.00
13.04.060
Fee for connecting to a water main for each 2.5
inch water connection (which includes labor cost
but not the cost of the meter)
$625.00
13.04.060
Fee for connecting to a water main for each 3 inch
water connection (which includes labor cost but
not the cost of the meter)
$900.00
13.04.060
Fee for connecting to a water main for each 4 inch
water connection (which includes labor cost but
not the cost of the meter)
$1,600.00
13.04.060
Fee for connecting to a water main for each 6 inch
water connection (which includes labor cost but
not the cost of the meter)
$1,800.00
13.04.060
Fee for connecting to a water main for each 8 inch
water connection (which includes labor cost but
not the cost of the meter)
$2,000.00
13.04.180
subsection C. Cost to remove, test and replacement water meter
$150.00, provided the
cost may increase if
additional work is
required to shut off the
water or otherwise
complete the test.
13.04.190
subsection B.
Annual increase for each user/consumer of water
services
Beginning January 1,
2015 the water service
rate will be increased
by four percent each
year thereafter.
Page 464 of 648
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Municipal Code
Section
Classification Fee
13.04.190
subsection C.
Monthly basic charge to each user/consumer of
water service $1.90
13.04.210
Fee a contractor or owner to use water before
water is installed on any building where the value
of construction is between $0.00 and $29,999.99
$17.50
13.04.210
Fee a contractor or owner to use water before
water is installed on any building where the value
of construction is between $30,000 and $49,999.99
$18.50
13.04.210
Fee a contractor or owner to use water before
water it is installed on any building where the value
of construction is between $50,000.00 and
$74,999.99
$20.00
13.04.210
Fee a contractor or owner to use water before
water it is installed on any building where the value
of construction is $75,000.00 or more
$20.00 plus $0.25 per
thousand dollars in
excess of $75,000.00
13.04.230
Surcharge if Village cannot access to read,
examine, test, replace and repair water meters
(per water billing period)
$100.00
13.04.250
subsection A. Reconnection fee for delinquent payment $50.00
13.04.250
subsection A.
Reconnection fee for delinquent payment if
reconnected after 4:00 pm Monday through Friday
or on Saturday or Sunday
$100.00
13.04.250
subsection D.
Processing fee if the reconnection fee is returned
due to insufficient funds $25.00
13.04.290
subsection A.3.
Sewer user charges for each user/consumer
serviced by the Lake County sanitary sewer.
$4.00 per 1,000 gallons
of water consumed
13.04.290
subsection D.
Sewer user rate basic charge for operation,
maintenance and replacement
Beginning January 1,
2015 the basic unit
charge of $1.05 will
increase by four
percent each year
thereafter.
13.04.290
subsection D.
The bimonthly fixed sewer user rate for all non-
metered residential users
Beginning January 1,
2015 the bimonthly
fixed rate for all non-
metered residential
users of $15.60 shall
increase by four
percent each year
thereafter.
13.04.310
subsection B.
Permit and inspection fee for construction of a
private sewage disposal system $25.00
13.04.320
subsection F.1.
Fee paid per 6-inch connection to the Village
sewer system $50.00
13.04.320
subsection F.1.
Fee paid per 8-inch connection to the Village
sewer system $200.00
13.04.320 Fee paid per 10-inch connection to the Village $300.00
Page 465 of 648
Buffalo Grove
Municipal Code
Section
Classification Fee
subsection F.1. sewer system
13.04.320
subsection F.2.
Fees paid for each connection to the Village sewer
system in Lake County per residential unit $5,150.00
13.04.320
subsection F.2.
Fees paid for each connection to the Village sewer
system in Lake County per industrial, commercial
and institutional
$5,150.00 per single-
family residential
equivalent.
13.05.130
subsection B.
Water reconnection fee after defects and
corrections have been eliminated $1,500.00
13.18.090 Review of plans and inspection fee for each water
well permit issued. $500.00
14.12.030
subsection A. Wall signs, non-illuminated
$50.00 plus $0.25 cents
per square foot of
larger face, plus $50.00
plan review fee
14.12.030
subsection A. Wall signs, illuminated
$50.00 plus $0.25 cents
per square foot of
larger face $50.00 plan
review fee, plus a
$50.00 electrical fee
14.12.030
subsection A. Ground signs
$75.00 plus $0.25 cents
per square foot of
larger face, plus $50.00
plan review fee. If
internally illuminated, a
$50.00 electrical fee
shall apply
14.12.030
subsection A.
Banners, pennants, searchlights, balloons or gas-
filled figures and Grand Opening signs $50.00
14.12.030
subsection A. Temporary identification sign $50.00
14.12.030
subsection A. Permit renewal for special signs $50.00
14.12.030
subsection A. Tenant panel sign $50.00
14.12.030
subsection A. For Rent, Sale, Lease signs less than 6 square feet. $0.00
14.12.030
subsection A. For Rent, Sale, Lease signs more than 6 square feet.
$75.00 plus $0.25 cents
per square foot of
larger face, plus $50.00
plan review fee, plus (if
applicable) a $50.00
annual renewal fee
14.12.030
subsection A. An awning sign Priced as a wall sign
14.12.030
subsection A.
All other signs requiring a permit, that are not
combined with additional sign fees $50.00
14.20.060 Renewal fee for a "For Rent, Sale, or Lease" sign $50.00
14.40.020 Variance application fee $125.00
Page 466 of 648
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Municipal Code
Section
Classification Fee
subsection B.
15.04.020
Section 108.2
subsection A.1.
Building permit fee for construction costs up to one
thousand dollars. $50.00
15.04.020
Section 108.2
subsection A.1.
Building permit fee for construction costs over one
thousand dollars.
$50.00 for the first
$1,000 of construction
cost plus $10.00 for
each additional $1,000
or fraction thereof.
15.04.020
Section 108.2
subsection A.1.
Building permit fee for decks, sheds, gazebos and
patios
$50.00 base fee plus
$0.15 per square foot.
(not including any
electrical fees).
15.04.020
Section 108.2
subsection A.2.
Building plan review fee for buildings of up to 500
square feet $50.00
15.04.020
Section 108.2
subsection A.2.
Building plan review fee for buildings of 501 through
1,000 square feet $75.00
15.04.020
Section 108.2
subsection A.2.
Building plan review fee for buildings of 1,001
through 2,000 square feet $125.00
15.04.020
Section 108.2
subsection A.2.
Building plan review fee for buildings of 2,001
through 3,000 square feet $175.00
15.04.020
Section 108.2
subsection A.2.
Building plan review fee for buildings of 3,001
through 4,000 square feet $200.00
15.04.020
Section 108.2
subsection A.2.
Building plan review fee for buildings of 4,001
through 5,000 square feet $250.00
15.04.020
Section 108.2
subsection A.2.
Building plan review fee for buildings of 5,001 and
over square feet $0.05 per square foot.
15.04.020
Section 108.2
subsection A.2.
Alterations and remodeling where it is impractical
to compute plan review fees on a square foot basis
One-quarter percent
(.0025) of the cost of
the work to be
performed with a
minimum fee of $50.00
15.04.020
Section 108.2
subsection A.2.
Amendment Form plan review fee. $50.00
15.04.020
Section 108.2
subsection A.3.
Plumbing permit fees for a water heater $50.00
15.04.020
Section 108.2
subsection A.3.
Plumbing permit fees for each sump pump pit $15.00
Page 467 of 648
Buffalo Grove
Municipal Code
Section
Classification Fee
15.04.020
Section 108.2
subsection A.3.
Plumbing permit fees for each sewer service $15.00
15.04.020
Section 108.2
subsection A.3.
Plumbing permit fees for each water service $15.00
15.04.020
Section 108.2
subsection A.3.
Plumbing permit fees for each water meter $15.00
15.04.020
Section 108.2
subsection A.3.
Plumbing permit fees for each clean out $10.00
15.04.020
Section 108.2
subsection A.3.
Plumbing permit fees for each plumbing fixture or
opening not listed $10.00
15.04.020
Section 108.2
subsection A.3.
Plumbing permit fees for an in-ground swimming
pool $60.00
15.04.020
Section 108.2
subsection A.3.
Plumbing permit fees for a lawn sprinkler system $4.00/head $75.00
minimum
15.04.020
Section 108.2
subsection A.3.
Plumbing permit fees for a sewer repair $65.00
15.04.020
Section 108.2
subsection A.3.
Plumbing permit fees for a RPZ installation (new or
replacement) $50.00
15.04.020
Section 108.2
subsection A.3.
Minimum plumbing fee $50.00
15.04.020
Section 108.2
subsection A.3.
Plumbing permit fees for a plan review fee
$50.00 or 25 percent of
building plan review
fee, whichever is
greater
15.04.020
Section 108.2
subsection A.4.
Electrical permit fee for each closed circuit of 15
AMPS $7.00
15.04.020
Section 108.2
subsection A.4.
Electrical permit fee for each closed circuit of 20
AMPS $12.00
15.04.020
Section 108.2
subsection A.4.
Electrical permit fee for each closed circuit of 30
AMPS $20.00
15.04.020
Section 108.2
subsection A.4.
Electrical permit fee for each closed circuit of 40
AMPS $25.00
15.04.020
Section 108.2
Electrical permit fee for each closed circuit of 50
AMPS $30.00
Page 468 of 648
Buffalo Grove
Municipal Code
Section
Classification Fee
subsection A.4.
15.04.020
Section 108.2
subsection A.4.
Electrical permit fee for each closed circuit of 60
AMPS $40.00
15.04.020
Section 108.2
subsection A.4.
Electrical permit fee for services, including service
revisions, of 100 AMPS $50.00
15.04.020
Section 108.2
subsection A.4.
Electrical permit fee for services, including service
revisions, of 101 through 200 amp $75.00
15.04.020
Section 108.2
subsection A.4.
Electrical permit fee for services, including service
revisions, of 201 through 400 amp $100.00
15.04.020
Section 108.2
subsection A.4.
Electrical permit fee for services, including service
revisions, of 401 through 800 amp $150.00
15.04.020
Section 108.2
subsection A.4.
Electrical permit fee for services, including service
revisions, of 801 through 1199 amp $200.00
15.04.020
Section 108.2
subsection A.4.
Electrical permit fee for services, including service
revisions, of 1200 through 4000 amp $250.00
15.04.020
Section 108.2
subsection A.4.
Electrical permit fee for services, including service
revisions, of 4001 through 8000 amp $300.00
15.04.020
Section 108.2
subsection A.4.
Electrical permit fee for feeder circuits of 60
through 100 amp $35.00
15.04.020
Section 108.2
subsection A.4.
Electrical permit fee for feeder circuits of 101
through 200 amp $50.00
15.04.020
Section 108.2
subsection A.4.
Electrical permit fee for feeder circuits of 201
through 400 amp $65.00
15.04.020
Section 108.2
subsection A.4.
Electrical permit fee for feeder circuits of 401
through 600 amp $85.00
15.04.020
Section 108.2
subsection A.4.
Electrical permit fee for feeder circuits of 601
through 1000 amp $110.00
15.04.020
Section 108.2
subsection A.4.
Electrical permit fee for feeder circuits of 1001
through 2000 amp $130.00
15.04.020
Section 108.2
subsection A.4.
Electrical permit fee for a motor three quarter
horsepower or more
The circuit fee plus
$25.00 for the first and
$15.00 for each
additional
15.04.020 Electrical permit fee except for residential units, the $10.00 plus the circuit
Page 469 of 648
Buffalo Grove
Municipal Code
Section
Classification Fee
Section 108.2
subsection A.4.
fee for a motor less than three-quarter horsepower fee
15.04.020
Section 108.2
subsection A.4.
Audio communications system fee $50.00
15.04.020
Section 108.2
subsection A.4.
Burglar alarm system fee $50.00
15.04.020
Section 108.2
subsection A.4.
Electronic computer/data processing system fee $50.00
15.04.020
Section 108.2
subsection A.4.
Fire alarm system fee $100.00
15.04.020
Section 108.2
subsection A.4.
Intercom and public address system fee $50.00 per system
15.04.020
Section 108.2
subsection A.4.
Relocatable wired partitions system fee $50.00
15.04.020
Section 108.2
subsection A.4.
Temporary wiring system fee $50.00
15.04.020
Section 108.2
subsection A.4.
Electrical permit minimum fee for all installations,
except signs $50.00
15.04.020
Section 108.2
subsection A.4.
Electrical permit fees for a sign of 15 AMPS $7.00
15.04.020
Section 108.2
subsection A.4.
Electrical permit fees for a sign of 20 AMPS $12.00
15.04.020
Section 108.2
subsection A.4.
Electrical permit fees for a sign of 30 AMPS $20.00
15.04.020
Section 108.2
subsection A.4.
Electrical permit fees for a sign of 40 AMPS $25.00
15.04.020
Section 108.2
subsection A.4.
Electrical permit fees for a sign of 50 AMPS $30.00
15.04.020
Section 108.2
subsection A.4.
Electrical permit fees for a sign of 60 AMPS $40.00
15.04.020
Section 108.2
subsection A.4.
Electrical permit minimum plan review fee
$50.00 or 25 percent of
the building plan
review fee—whichever
is greater.
Page 470 of 648
Buffalo Grove
Municipal Code
Section
Classification Fee
15.04.020
Section 108.2
subsection A.5.
Mechanical permit fees for heating in residential
(new or replacement unit) $50.00
15.04.020
Section 108.2
subsection A.5.
Mechanical permit fees for heating in all non-
residential uses (new installations) per 2,000 square
feet or fraction thereof
$50.00
15.04.020
Section 108.2
subsection A.5.
Mechanical permit fee for air conditioning (window
units not included) in a residence (new or
replacement unit)
$50.00
15.04.020
Section 108.2
subsection A.5.
Mechanical permit fee for air conditioning (window
units not included) in any non-residential unit (new
installations) per 2,000 square feet or fraction
thereof
$50.00
15.04.020
Section 108.2
subsection A.5.
Minimum mechanical permit fee for modification
of existing duct work $50.00
15.04.020
Section 108.2
subsection A.5.
Mechanical permit fee plan review fee
$50.00 or 25 percent of
building plan review
fee—Whichever is
greater
15.04.020
Section 108.2
subsection A.6.
Elevator permit fee—New installation charge per
each elevator, dumbwaiter, moving walk,
escalator, conveyor or manlift (includes initial
inspection)
$125.00
15.04.020
Section 108.2
subsection A.6.
Elevator permit fee—Semi-annual
inspection/Certificate of compliance per each
inspection per elevator, dumbwaiter, moving walk,
escalator, conveyor or manlift
$80.00
15.04.020
Section 108.2
subsection A.6.
Elevator permit fee—Semi-annual
inspection/Certificate of compliance per each
inspection for repairs and reinspection
$80.00
15.04.020
Section 108.2
subsection A.6.
Elevator permit fee—Plan review fee for each
elevator, conveyor, dumbwaiter, moving walk,
escalator or manlift for buildings of four stories or
less
$175.00
15.04.020
Section 108.2
subsection A.6.
Elevator permit fee—Additional fee per floor for
every story above four stories: $10.00
15.04.020
Section 108.2
subsection A.7.
Fire protection system fee, new automatic sprinkler
system, each system, 1-100 heads $125.00
15.04.020
Section 108.2
subsection A.7.
Fire protection system fee, new automatic sprinkler
system, every 100 additional heads or fraction
thereof
$50.00
15.04.020
Section 108.2
subsection A.7.
Fire protection system fee, renovation to an existing
system of 20 heads or less $25.00
15.04.020 Fire protection system fee, renovation to an existing $50.00
Page 471 of 648
Buffalo Grove
Municipal Code
Section
Classification Fee
Section 108.2
subsection A.7.
system of 21-100 heads
15.04.020
Section 108.2
subsection A.7.
Fire protection system fee, renovation to an existing
system every 100 additional heads or fraction
thereof
$50.00
15.04.020
Section 108.2
subsection A.7.
Fire protection system fee, renovation to partial
system of the domestic water system $50.00
15.04.020
Section 108.2
subsection A.7.
Fire protection system fee, renovation to existing
system: standpipes (each) $50.00
15.04.020
Section 108.2
subsection A.7.
Fire protection system fee, renovation to existing
system: fire pumps (each) $50.00
15.04.020
Section 108.2
subsection A.7.
Fire protection system fee, renovation to existing
system: hood suppression systems $50.00
15.04.020
Section 108.2
subsection A.7.
Fire protection system fee, renovation to existing
system: clean agent extinguishing systems $50.00
15.04.020
Section 108.2
subsection A.7.
Fire protection system fee, renovation to existing
system: alternate fire extinguishing systems $50.00
15.04.020
Section 108.2
subsection A.7.
Fire protection system fee, renovation to existing
system: means of egress access control systems $50.00
15.04.020
Section 108.2
subsection A.7.
Fire protection system fee, renovation to existing
system: plan review/inspection fee for fire
suppression systems
$100.00
15.04.020
Section 108.2
subsection A.7.
Fire alarm system fee: New or modification to an
existing system (this is in addition to a $100.00
electrical fee)
$60.00
15.04.020
Section 108.2
subsection A.7.
Fire alarm system fee: Plan review/inspection fee
for fire alarm systems of 5,000 square feet or less $50.00
15.04.020
Section 108.2
subsection A.7.
Fire alarm system fee: Plan review/inspection fee
for fire alarm systems of 5,001 to 10,000 square feet
$5.00 per device
(minimum $100.00)
15.04.020
Section 108.2
subsection A.7.
Fire alarm system fee: Plan review/inspection fee
for fire alarm systems of 10,000 square feet or more
$5.00 per device
(minimum $150.00)
15.04.020
Section 108.2
subsection A.8.
Above-ground pool installation or alteration permit
fee $50.00
15.04.020
Section 108.2
subsection A.9.
Plan review fee for the Health Department
$50.00 or 25% of
building plan review
fee—Whichever is
greater
Page 472 of 648
Buffalo Grove
Municipal Code
Section
Classification Fee
15.04.020
Section 108.2
subsection A.10.
Any inspection or reinspection not covered by the
fees designated in section 108.2 (per inspection) $50.00
15.04.020
Section 108.2
subsection A.11.
Where work has been started prior to the issuance
of a permit, the normal permit fee shall be
increased to
Doubled the original
permit fee (with a
minimum of $50.00 and
a maximum of
$1,000.00)
15.04.020
Section 108.2
subsection A.12.
The fee for Certificate of Occupancy: residential
(per unit) $50.00
15.04.020
Section 108.2
subsection A.12.
The fee for Certificate of Occupancy: non-
residential (per unit) $150.00
15.04.020
Section 108.2
subsection A.13.
Zoning/Code Compliance Letter (non-residential
only) $150.00
15.04.020
Section 108.2
subsection A.14.
Parking Lot Repairs/Restriping $50.00
15.04.020
Section 108.2
subsection A.15.
Permit fee for Fire Department construction
inspections (includes one reinspection) $50.00
15.04.020
Section 108.2
subsection A.15.
Fee per reinspection by the Fire Department after
the first reinspection $50.00
15.04.020
Section 108.2
subsection A.15.
Fire Department annual safety inspection fee
(original inspection or the first reinspection) $0.00
15.04.020
Section 108.2
subsection A.15.
Fire Department annual safety inspection fee per
reinspection subsequent to first reinspection $50.00
15.04.020
Section 108.2
subsection A.16.
Temporary food service permit fee $75.00
15.20.030
subsection A. Fence permit fee
$35.00 for the first one
hundred lineal feet and
$5.00 for each
additional one hundred
lineal feet or any part
thereof
15.32.030 Contractor, subcontractor or construction
manager annual fee
$100.00 for the first
trade. If registering for
more than one trade
then $100.00 for the first
trade and $50.00 for
each subsequent
trade. Any contractor
Page 473 of 648
Buffalo Grove
Municipal Code
Section
Classification Fee
registering on or after
July 1st will pay one-half
the required fee until
the end of the year.
15.32.040
subsection A.2. Electrical contractor annual registration fee $50.00
15.36.050
subsection C.
New license or renewal license for renting a single
family home, condominium, townhome, or row
house. (includes the initial inspection and one
reinspection )
$75.00
15.36.050
subsection C.
New license or renewal license for renting an
apartment complex (includes the initial inspection
and one reinspection )
$150.00 per building
plus $30.00 per dwelling
unit
15.36.050
subsection C.
The fee for any reinspection after the first
reinspection $50.00
15.36.060
subsection F.
The fee for any reinspection after the first
reinspection (except that a single reinspection shall
be conducted at the end of the conditional
license term without any fee for the purpose of
determining compliance)
$50.00
16.20.020
subsection D. Concept plan filing fee
$150.00 plus $25.00 for
each acre or fraction
thereof in excess of 5
acres, not to exceed
$1,000.00
16.20.020
subsection H.
Public Hearing fee and an Engineering Review fee
for a public hearing with the Planning and Zoning
Commission
1.0% of the total
estimated cost of
construction of all
improvements required
pursuant to Title 16.
16.20.080
subsection D.1. Plat filing application fee for a developer
3.5% of the total
estimated cost of all
improvements, both
public and private,
governed by Title 16,
less the amount of the
engineering review fee,
paid pursuant to
Section 16.20.020
16.20.105
subsection C. Filing fee for an administrative subdivision $100.00
16.20.105
subsection D.
Initial payment and recoverable cost escrow for an
administrative subdivision $500.00
17.36.020
subsection A.2.
Permit fee for any construction, reconstruction, re-
striping or expansion or modification of a parking
lot
$50.00 plus an
engineering and
reviewing fee of 3.5% of
the first $10,000 of the
construction cost
Page 474 of 648
Buffalo Grove
Municipal Code
Section
Classification Fee
estimate plus 1.0% of
the remaining
construction cost
estimate
19.01.030
subsection C.
Subdivider or developer cash contribution for
library services (per person in the subdivision or
development)
$93.85
19.01.040
subsection B.
Fair market value of improved land in the Village
for purposes of determining cash contributions in
lieu of land (per acre)
$175,000.00
Page 475 of 648
Chapter/Section Title/Offenses
Minimum
Fine/Fine
Paid
Before
Hearing
Maximum
Fine*
Minimum
Fine —
Must
Appear
at
Hearing
Chapter 3.52 Municipal Commuter Station Parking Lot
Fees
3.52.020 Failure to Pay Daily Parking Fee—Metra $25 $50
3.52.040 Resident Parking Only Violation—Metra $25 $50
3.52.055 Failure to Pay Daily Parking Fee—
Township $25 $50
Chapter 5.20 Liquor Controls
5.20.190.A Alcohol
underage/possession/consumption $75
5.20.190.B. and
C.
Alcohol sale, give, or deliver to
underage $250
5.20.192 Social Hosting Responsibility $150
Chapter 5.24 Solicitors
5.24.020 Soliciting without a permit $50
5.24.080 Soliciting—Failure to leave when
requested $50
5.24.090 Soliciting where posted "No Soliciting" $50
5.24.100 Soliciting in violation of soliciting
hours/days $50
Chapter 5.32 Tobacco
5.32.090 Sale/delivery of tobacco products to a
minor $75
5.32.105 Possession of tobacco products by
minor $50
Chapter 5.40 Hours of Operation Adjacent to
Residential Areas
5.40.040 Violation of Hours of Operation
requirements $75
Chapter 6.12 Care and Control
6.12.010 No Rabies Vaccination—1st Violation $50
6.12.010 No Rabies Vaccination—2nd Violation $75
6.12.010 No Rabies Vaccination—3rd Violation $100
6.12.020 No Dog or Cat License $100
6.12.060 Failure to Remove Excrement—1st
Violation $50
6.12.060 Failure to Remove Excrement—2nd
Violation $75
6.12.060 Failure to Remove Excrement—3rd
Violation $100
6.12.070 Dog or Cat at Large—1st Violation $50
6.12.070 Dog or Cat at Large—2nd Violation $75
6.12.070 Dog or Cat at Large—3rd Violation $100
6.12.080 Excessive Number of Animals—1st
Violation $50
Page 476 of 648
Chapter/Section Title/Offenses
Minimum
Fine/Fine
Paid
Before
Hearing
Maximum
Fine*
Minimum
Fine —
Must
Appear
at
Hearing
6.12.080 Excessive Number of Animals—2nd
Violation $75
6.12.080 Excessive Number of Animals—3rd
Violation $100
6.12.090 Prohibited Animal—1st Violation $50 6.12.090 Prohibited Animal—2nd Violation $75 6.12.090 Prohibited Animal—3rd Violation $100
6.12.120 Found to be potentially dangerous
animal $75
6.12.150.D Excessive Dog Barking—1st Violation $50 6.12.150.D Excessive Dog Barking—2nd Violation $75 6.12.150.D Excessive Dog Barking—3rd Violation $100 Chapter 8.20 Refuse 8.20.020 Lack of required refuse service $50 8.20.030 Littering $100 8.20.070 Garbage—Out Too Early $25 8.20.090 Garbage—Unsecured $25 8.20.100 Illegal Dumping/Burning $50
Chapter 8.24 Nuisances and Miscellaneous Health
Laws
8.24.020 Stagnant water creating mosquito
nuisance $50
8.24.060 Pest infestation—Insects $50 8.24.070 Pest infestation—Rodents $50 8.24.110 Use Constituting Nuisance $50 Chapter 8.32 Weeds, Grass, Refuse and Junk 8.32.010.A Weeds in Excess of 12 Inches $50 8.32.010.B Grass in Excess of 6 Inches $50 Chapter 9.04 Alarm Systems 9.04.020 No Valid Alarm Permit $25 Chapter 9.16 Controlled Substances 9.16.020 Possession of Cannabis (under 10 grams) $200 Chapter 9.17 Drug Paraphernalia 9.17.020 Possession/sale of drug paraphernalia $100 Chapter 9.28 Disorderly Conduct 9.28.010 Disorderly conduct $100
9.28.010.C Possession of fireworks $50 9.28.025 Public Nuisance Assemblage/Social Host $100 Chapter 9.32 Smoking in Public Places 9.32.020 Smoking in Enclosed Public Place $50 9.32.030 Smoking in Place of Employment $50 9.32.040 Smoking in Open Air Dining Area $50 9.32.050 Smoking at Entrance $50
Page 477 of 648
Chapter/Section Title/Offenses
Minimum
Fine/Fine
Paid
Before
Hearing
Maximum
Fine*
Minimum
Fine —
Must
Appear
at
Hearing
Chapter 9.38 Noise
9.38.020 Noise Prohibited $75
9.38.030 Noise within a multi-family structure $100
9.38.037 Construction regulations—Hours of work $75
Chapter 9.48 Trespass and Damage to Property
9.48.020 Trespass $75
9.48.030A Damage to Village property $75
9.48.040 Graffiti $75
Chapter 9.52 Theft
9.52.020 Theft $150
Chapter 9.68 Curfew
9.68.010 Curfew $75
Chapter 9.70 Truancy
9.70.010 Truancy $75
Chapter 9.80 Weapons
9.80.010 Air rifle/BB gun/Gun discharge $75
Chapter 10.08 Snow
10.08.010 Parking—After 2 inch Snow $25 $50
10.08.020 Dumping Snow in Street $25 $50
Chapter 10.16,
Section
10.16.010
Buffalo Grove Vehicle and Traffic Code.
Adoption by Reference of the Illinois
Vehicle Code (IVC)
5/3-401 No valid registration $50 $75
5/3-413(a) No front/rear registration plate $50 $75
5/3-413(b) Improper display of license plate $50 $75
5/3-413(f) Operation of vehicle w/expired
registration $50 $75
5/3-413(g) Use of license plate cover $50 $75
5/3-701 Inoperable odometer under mileage
plates $50 $75
5/1-100 et seq. Miscellaneous Traffic Code Violations $50 $75
5/11-1003(a) Jay Walking $25 $50
5/11-1301.3 Handicapped Zone Parking $250 $375
5/11-
1303.(a).1.b. Parked Blocking Sidewalk $25 $50
5/11-
1303.(a).2.b. Parked Within 15 feet of Fire Hydrant $25 $50
5/11-
1303.(a).2.c. Parked Within 20 feet of Crosswalk $25 $50
5/11-
1303.(a).2.d.
Parked Within 30 feet of Traffic Control
Device $25 $50
5/11-
1303.(a).3.b. Parking Where Prohibited $25 $50
Page 478 of 648
Chapter/Section Title/Offenses
Minimum
Fine/Fine
Paid
Before
Hearing
Maximum
Fine*
Minimum
Fine —
Must
Appear
at
Hearing
5/11-
1303.(a).3.b. Parking in Loading Zone $25 $50
5/11-1304.a. Parking over 12 inches from Curb $25 $50 5/11-1304.a. Parking—Left Wheels to Curb $25 $50
5/11-1304.5 Parking of Vehicle With Expired
Registration $25 $50
5/6-112 Driver's license not on person $50 $75
5/6-116 Failure to notify Secretary of State—
Change of address $50 $75
5/12-713 Improperly marked vehicles—Contractor $50 $75 5/12-101 Unsafe equipment $50 $75
5/12-201(a) Driving motorcycle w/out lighted
headlight $50 $75
5/12-201(b) Driving w/out lights when required $50 $75 5/12-201(b) Only one tail light $50 $75 5/12-201(c) No rear license plate light $50 $75 5/12-204 Improper lamp or flag on projected load $50 $75
5/12-207 Improper use of spot lamp/aux driving
lamps $50 $75
5/12-208 No stop lights $50 $75 5/12-209(c) Defective back-up lights $50 $75 5/12-210 Failure to dim headlights $50 $75 5/12-211 Only one headlight $50 $75 5/12-301 Defective brakes $50 $75 5/12-405(c) Use of unsafe tire $50 $75 5/12-502 No rear view mirror $50 $75 5/12-503(a) Illegally Tinted Windows $50 $75 5/12-503(c) Obstructed windshield $50 $75
5/12-503(d) Obstructed windows—Snow, ice,
moisture $50 $75
5/12-503(d) No windshield clearing device (wipers) $50 $75 5/12-601(a) Defective or no horn $50 $75 5/12-602 Loud muffler—Excessive noise $50 $75
5/12-603.1 Failure to Wear Properly Adjusted Seat
Belt $50 $75
5/12-608 No bumper or unlawful bumper height $50 $75 5/12-610.2 Use of Mobile Telephones $50
5/12-611 Illegal operation of sound
amplification—75' $50 $75
5/12-702 No flags, flares, warning devices carried $50 $75
5/12-710 Inadequate or no splash guards (mud
flaps) $50 $75
Title 10, Chapter
BG-4 Towing
Page 479 of 648
Chapter/Section Title/Offenses
Minimum
Fine/Fine
Paid
Before
Hearing
Maximum
Fine*
Minimum
Fine —
Must
Appear
at
Hearing
BG-4-101.E.1. Abandoned vehicle over 7 days $25 $50
Title 10, Chapter
BG-11 Rules of the Road
BG-11-1303.C.1. Parking on Parkway or Median $25 $50
BG-11-
1303.C.2.b. Parking—Blocking Driveway $25 $50
BG-11-
1303.C.2.c. Parking in Posted Fire Lane $25 $50
BG-11-1308.1. Parking on Street 2 am to 6 am $25 $50
BG-11-1311 Selling Vehicle on Street $25 $50
Chapter 12.20 Trees, Shrubs, and Other Plants
12.20.070 Trees/vegetation obstructing public
sidewalks $100
12.20.080 Trees/vegetation creating visual
obstructing $100
Chapter 13.05 Water System Cross-connection Control
13.05.110. A.2. Inspection and maintenance $50
Chapter 13.16 Water Conservation
13.16.020 Sprinkling Ban Violation (12:00—6:00
p.m.)$100
Title 14 Sign Code
14.12.010 Signs Installed without a Permit $50
14.32.060 Signs Placed in the Public Right-of-Way $50
Chapter 15.04,
Section
15.04.010
International Building Code. Adoption
by Reference of the International
Building Code (IBC)
IBC 105.1 Failure to secure required permit
(Commercial) $200
Chapter 15.05,
Section
15.05.010
International Residential Code One- and
Two-Family Dwellings. Adoption by
Reference of the International
Residential Code One- and Two-Family
Dwellings (IRC)
IRC 105.1 Failure to secure required permit
(Residential) $50
Chapter 15.06,
Section
15.06.010
Property Maintenance Code. Adoption
by Reference of the International
Property Maintenance Code (IPMC)
IPMC 302.8, as
amended
Parking on non-approved
surface/grass/lawn $50
IPMC 302.8, as
amended Unlicensed vehicle $100
IPMC 302.8, as
amended Vehicle in a state of disrepair $75
Page 480 of 648
Chapter/Section Title/Offenses
Minimum
Fine/Fine
Paid
Before
Hearing
Maximum
Fine*
Minimum
Fine —
Must
Appear
at
Hearing
IPMC 304 Property in disrepair $75 IPMC 307 Junk/Garbage/Debris on property $75 Chapter 15.12 Plumbing Code 15.12.030 Downspout and sump pump discharges $75 Chapter 15.20 Fence Code 15.20.100 Fence in Disrepair $100 Chapter 15.36 Residential Rental Housing Program 15.36.040 Renting property without a license $100
15.36.060 Failure to schedule/allow rental
inspection $100 $100
Chapter 17.12 Definitions
17.12.230 Use or occupancy of a One-Family
Dwelling by more than one family $25 $25
Chapter 17.36 Driveways and Off-Street Parking and
Loading Facilities
17.36.030 Improper Recreational Vehicle Parking $50 $50
17.36.030 Improper parking of a commercial
vehicle/Residential District $25 $25
17.36.030 Oversized Vehicle $25 $25
17.36.030 Improperly maintained parking lots $50 $50
17.36.030 Improperly marked accessible parking
spaces $50 $50
Page 481 of 648
APPENDIX B : FINANCIAL POLICIES
AND PROJECTIONS
FUND BALANCE AND RESERVE POLICY – DEBIT POLICY – INVESTMENT POLICY
–REVENUE COLLECTION POLICY – PROCUREMENT POLICY – GENERAL FUND
FORECAST – FIXED ASSET & CAPITAL EQUIPMENT CAPITALI ZATION – WATER
FUND 20 YEAR PRO-FORMA STORMWATER FUND 20 YEAR PROFORMA – POST-
ISSUANCE PROCEDURES MANUAL
FUND BALANCE AND RESERVE POLICY
Page 483 of 648
Fund Balance and Reserve Policy
Definitions
Fund Balance – the difference between assets and liabilities in a Governmental Fund.
Nonspendable Fund Balance – the portion of a Governmental Fund’s net assets that are not
available to be spent , either short tern or long term, in either form or through legal restrictions.
Restricted Fund Balance – the portion of a Government Fund’s net assets that are subject to
external enforceable legal restrictions.
Committed Fund Balance – the portion of a Governmental Fund’s net assets with self -imposed
constraints or limitations that have been placed by formal action at the highest level of decision-
making.
Assigned Fund Balance – the portion of a Governmental Fund’s net assets to denote an
intended use of resources.
Unassigned Fund Balance – available expendable financial resources in a Governmental Fund
that are not the object of tentative management plan (i.e. designations). (Only in the General
Fund, unless negative)
Note: In Non-Governmental Funds, management may decide to “assign” funds for a specific
purpose. This will be done as an internal budgeting procedure rather than as a formal
accounting entry, creating a fund automatically assigns fund balance.
Fund Policy A.It is the policy of the Village of Buffalo Grove to maintain Committed Fund Balance in theGeneral Fund to fund operations for a period of at least three months. The committe damount in the General Fund is adjusted annually with the adoption of the annual budgetand is calculated as three months (25 percent) of General Fund expenditures (excluding
transfers to fund capital projects and pensions). During the development of the
subsequent year’s annual budget, should the Committed Fund Balance be expected to
fall below the 25 percent target notification will be given to the Village’s Finance
Committee. While identified uses of Fund Balance may be proposed that couldcontinue the trend below 25%, such uses will be disclosed and approved by theCommittee.B.The annual budget (appropriation) will include a contribution to (or drawdown from) theCommitted Fund Balance to assure compliance with this policy. The levels of otherrequired restrictions, commitments, and assignments will fluctuate depending on activity.C.Unassigned Fund Balance shall be reviewed annually and, where appropriate, adetermination will be made as to how much of the unassigned fund balance will be
transferred to the Reserves for Capital Replacement. Although the policy minimum is 25
percent for Committed Fund Balance, 30 percent is considered the preferred balance
and any unassigned balances exceeding 30 percent will be considered for transfer.
D.This policy may be amended from time to time according to the requests of the Village
of Buffalo Grove President and Board of Trustees.E.The Village will spend the most restricted dollars before less restricted, in the followingorder;a.Nonspendable Fund Balance (if funds become spendable)b.Restricted Fund Balancec.Committed Fund Balanced.Assigned Fund Balancee.Unassigned Fund Balance
F.The Finance Director will determine if a portion of fund balance should be assigned.
Page 484 of 648
VILLAGE OF BUFFALO GROVE
DEBT POLICY
I.PURPOSE AND GOALS
The Debt Policy sets forth comprehensive guidelines for the financing of capital expenditures. It
is the objective of the policies that (1) the Village obtain financing only when necessary, (2) the
process for identifying the timing and amount of debt or other financing be as efficient as
possible, (3) the most favorable interest rate and other related costs be obtained, and (4) when
appropriate, future financial flexibility be maintained.
Debt financing, which includes general obligation bonds, special assessment bonds, revenue
bonds, temporary notes, lease/purchase agreements, lines of credit, and other Village
obligations permitted to be issued or incurred under Illinois law, shall only be used to purchase
capital assets that cannot be acquired from either available current revenues or fund balances.
The useful life of the asset or project shall exceed the payout schedule of any debt the Village
assumes.
To enhance creditworthiness and prudent financial management, the Village is committed to
systematic capital planning and long-term financial planning. Evidence of this commitment to
capital planning will be demonstrated through the annual adoption of a Capital Improvement
Plan (CIP) identifying the benefits, costs and method of funding each capital improvement
planned for the succeeding five years.
GOALS
In following this policy, the Village shall pursue the following goals when issuing debt:
•Long-term debt will not be used to finance current operations or to capitalize operating
expenses. The capitalization of expenses, which represents a shift of operating costs into
long-term debt, should be a practice that is expressly prohibited. Long-term debt will be
used only for capital projects that cannot be financed from current revenue sources. Where
capital improvements or acquisitions are financed through the issuance of debt, such debt
will be retired in a period not to exceed the expected life of the improvement or acquisition.
•Assess financial alternatives to include new and innovative financing approaches as well as
seeking categorical grants, revolving loans or other state/federal aid
•The Village will also issue long-term debt for refunding of other outstanding debt for the
purpose of interest rate savings. As a guide, the minimum net present value savings shall be
three percent (3%) of the par value of the proposed new bonds to be issued. However,
circumstances may occur where a refunding may be advantageous with net present value
savings of less than 3%. In those cases, approval of the President and Board of Trustees will
be required in order to proceed.
•Determine the amortization (maturity) schedule which will best fit with the overall debt
structure of the Village’s general obligation debt and related tax levy at the time the new
debt is issued. The Village may choose to delay principal payments or capitalize interest
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during the project construction. For issuance of revenue bonds, the amortization schedule
which will best fit with the overall debt structure of the enterprise fund and its related rate
structure will be considered. Consideration will be given to coordinating the length of the
issue with the lives of assets, whenever practicable, while considering repair and
replacement costs of those assets to be incurred in future years as an offset to the useful
lives, and the related length of time in the payout structure.
•Level or declining debt service shall be employed unless operational matters dictate
otherwise, or except to achieve overall level debt service with existing bonds. The Village
shall be mindful of the potential benefits of bank qualification and will strive to limit its
annual issuance of debt to $10 million or less when such estimated benefits are greater
than the benefits of exceeding the bank qualification limit. Should subsequent changes in
the law raise this limit, then the Village policy will be adjusted accordingly.
•The cost of taxable debt is higher than for tax-exempt debt. However, the issuance of
taxable debt is mandated in some circumstances and may allow valuable flexibility in
subsequent contracts with users or managers of the improvement constructed with the
bond proceeds. Therefore, the Village will usually issue obligations tax exempt, but may
occasionally issue taxable obligations.
II.DEBT ISSUANCE IN GENERAL
A.Authority and Purposes of the Issuance of Debt
The laws of the State of Illinois authorize the issuance of debt by the Village. The Local
Bond Law confers upon municipalities the power and authority to contract debt, borrow
money, and issue bonds for public improvement projects as defined therein. Under
these provisions, the Village may contract debt to pay for the cost of acquiring,
constructing, reconstruction, improving, extending, enlarging, and equipping such
projects or to refund bonds. The Village Charter authorizes the Village Board to incur
debt by issuing bonds for any lawful municipal purpose as authorized by the State
Constitution or it Home Rule Powers.
B.Types of Debt Issued
i) Short-Term (three years or less) The Village may issue short-term debt to finance the
purchase of capital equipment having a life exceeding one year or provide increased
flexibility in financing programs.
ii)Long-Term (more than three years) The Village may issue long-term debt which may
include, but not limited to, general obligation bonds, certificates of participation,
capital appreciation bonds, tax increment allocation revenue bonds, special
assessment bonds, special service area bonds, self-liquidation bonds and double
barreled bonds. The Village may also enter into long-term leases for public facilities,
property, and equipment with a useful life greater than one year.
C.Capital Improvement Program
The Capital Improvement Plan (CIP) as approved by the Village Board shall
determine the Village’s capital needs. The program shall be a five-year plan for the
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acquisition, development and/or improvement of the Village’s infrastructure. The first
year of the program shall be the Capital Budget. If the current resources are insufficient
to meet the needs identified in the Capital Budget, the Village Board may consider
incurring debt to fund the shortfall. The Village Board, upon advice from the Village’s
financial advisor, may also consider funding multiple years of the Capital Improvement
Program by incurring debt. The CIP should be revised and supplemented each year in
keeping with the Village’s policies on debt management.
D. Structure of Debt Issues
The duration of a debt issue shall not exceed the economic or useful life of the
improvement or asset that the issue is financing. The Village shall design the financing
schedule and repayment of the debt so as to take best advantage of market conditions
and, as practical, to recapture or maximize its credit capacity for future use, and
moderate the impact to the taxpayer.
E. Sale of Securities
All debt issues should be sold through a competitive bidding process based upon the
lowest offered True Interest Cost (TIC), unless the Board deems a negotiated sale the
most advantageous to the Village.
F. Credit Enhancements
The Village may enter into agreements with commercial banks or other financial entities
for the purpose of acquiring letters of credit, municipal bond insurance, or other credit
enhancements that will provide the Village with access to credit under terms and
as specified in such agreements when their use is judged cost effective or otherwise
advantageous. Any such agreements shall be approved by the Village Board.
III. LEGAL CONSTRAINTS AND OTHER LIMITATIONS ON THE ISSUANCE OF DEBT
The Village Board may utilize the guidelines established by this policy, or may choose, in
its discretion, to consider other relevant factors in incurring debt. The validity of any
debt incurred in accordance with applicable law shall not be invalidated, impaired or
otherwise affected by non-compliance with any part of the procedure set forth pursuant
to this policy.
A. State Law
30 ILCS 305/0.01, et. Seq.: the short title is “The Bond Authorization Act.”
B. Authority for Debt
The Village may, by bond ordinance, incur indebtedness or borrow money, and
authorize the issue of negotiable obligations, including refunding bonds, for any capital
improvement of property, land acquisition, or any lawful purpose except current
expenses, unless approved by the Village Board.
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C.Debt Limitation
Because the Village of Buffalo Grove is a Home Rule Community, the debt limitations of
the bond laws are not applicable.
D.Methods of Sale
All bonds shall be sold at a public sale, except that bonds may be sold at a private sale
in accordance with 30 ILCS 350/10. The Village may issue short-term notes by
negotiated sale if the bond ordinance or subsequent resolution so provides.
i)Bonds All bonds will mature within the period or average period of usefulness of the
assets financed; and the bonds will mature in installments, the first of which is
payable not more than five years from the dated date of the bonds. Term bonds may
be allowable if recommended by the Village’s financial advisor and approved by the
Village Board.
ii)Financial Advisor To ensure independence, the Financial Advisor will not bid on nor
underwrite any Village debt issues on which it is advising.
IV.DEBT ADMINISTRATION
A.Financial Disclosures
The Village shall prepare appropriate disclosures as required by the Security and
Exchange Commission, the federal government, the State of Illinois, rating agencies,
underwriters, investors, agencies, taxpayers, and other appropriate entities and persons
to ensure compliance with applicable laws and regulations.
B.Review of Financing Proposals
All capital financing proposals that involve a pledge of the Village’s credit through the
sale of securities, execution of loans or lease agreements and/or otherwise directly
involve the lending or pledging of the Village’s credit shall be referred to the Director of
Finance/Treasurer who shall determine the financial feasibility, and the impact on
existing debt of such proposal, and shall make recommendations accordingly to the
Village Manager.
C.Establishing Financing Priorities
The Director of Finance/Treasurer shall administer and coordinate the Village’s debt
issuance program and activities, including timing of issuance, method of sale, structuring
the issue, and marketing strategies. The Director of Finance/Treasurer along with the
Village’s financial advisor shall meet, as appropriate, with the Village Manager and
Village Board regarding the status of the current year’s program and to make specific
recommendations.
D.Rating Agency Relations
The Village shall endeavor to maintain effective relations with the rating agencies. The
Village Manager, Director of Finance/Treasurer, and the Village’s financial advisors
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should meet with, make presentations to, or otherwise communicate with the ratings
agencies on a consistence and regular basis in order to keep the agencies informed
concerning the Village’s capital plan, debt issuance program, and other appropriate
financial information.
E. Refunding Policy
The Village should consider refunding outstanding debt when legally permissible and
financially advantageous. A net present value debt service savings of at least three
percent or greater should be achieved.
F. Post-Issuance Compliance
The Finance Director/Treasurer shall be responsible for following post-issuance
compliance for all debt issues. The procedures are noted in the Post-Issuance
Procedures Manual for Tax-Exempt Bonds Issued by The Village of Buffalo Grove.
V. GLOSSARY OF TERMS
Ad Valorem Tax – A direct tax based “according to value” of property.
Advanced Refunding Bonds – Bonds issued to refund an outstanding bond issue prior to the
date which the outstanding bonds become due or callable. Proceeds of the advanced
refunding bonds are deposited in escrow with a fiduciary, invested in United States Treasury
Bonds or other authorized securities, and used to redeem the underlying bonds at maturity
or call date.
Amortization – the process of paying the principal amount of an issue of bonds by periodic
payments either directly to bondholders or to a sinking fund for the benefit of bondholders.
Arbitrage – Usually refers to the difference between the interest paid on the tax-exempt
securities and the interest earned by investing the proceeds in higher yielding taxable
securities. Internal Revenue Service regulations govern arbitrage (references I.R.S. Reg.
1.103-13 through 1.103-15).
Arbitrage Bonds – Bonds which are deemed by the I.R.S. to violate federal arbitrage
regulations. The interest on such bonds becomes taxable and the bondholders must include
this interest as part of gross income for federal income tax purposes (I.R.S. Reg. 1.103-13
through 1.103-15).
Assessed Value – An annual determination of the just or fair market value of property for
purposes of ad valorem taxation.
Basis Point – 1/100 of one percent.
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Bond – Written evidence of the issuer’s obligation to repay a specified principal amount on
a date certain, together with interest at a stated rate, or according to a formula for
determining that rate.
Bond Anticipation Notes (BANS) – Short-term interest bearing notes issued by a
government in anticipation of bonds to be issued at a later date. The notes are retired from
proceeds of the bond issue to which they are related.
Bond Counsel – An attorney retained by the Village to render a legal opinion whether the
Village is authorized to issue the proposed bonds, has met all legal requirements necessary
for issuance, and whether interest on the bonds is, or is not, exempt from federal and state
income taxation.
Bonded Debt – The portion of an issuers total indebtedness represented by outstanding
bonds.
Callable Bond – A bond which permits or requires the issuer to redeem the obligation
before the state maturity date at a specified price, the call price, usually at or above par
value.
Capital Appreciation Bonds (CAB) – A long-term security on which the investment return is
reinvested at a state compound rate until maturity. The investor receives a single payment
at maturity representing both the principal and investment return.
Commercial Paper – Very short-term, unsecured promissory notes issued in either
registered or bearer form, and usually backed by a line of credit with a bank.
Coupon Rate – The annual rate of interest payable on a coupon bond (a bearer bond or
bond registered as to principal only, carrying coupons evidencing future interest payments),
expressed as a percentage of the principal amount.
Debt Limit – The maximum amount of debt which an issuer is permitted to incur under
constitutional, statutory or charter provision.
Debt Service – The amount of money necessary to pay interest on an outstanding debt, the
serial maturities of principal for serial bonds, and the required contributions to an
amortization or sinking fund for term bonds.
Demand Notes (Variable Rate) – A short-term security which is subject to a frequently
available put option feature under which the holder may put the security back to the issuer
after giving specified notice. Many of these securities are floating or variable rate, with the
put option exercisable on dates on which the floating rate changes.
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Double Barreled Bonds (Alternative Revenue Bonds) – A bond which is payable from the
revenues of a governmental enterprise and are also backed by the full faith and credit of
the governmental unit.
Enterprise Funds - Funds that are financed and operated in a manner similar to private
business in that goods and services provided are financed primarily through user charges.
General Obligation Bond - A bond for whose payment the full faith and credit of the issuer
has been pledged. More commonly, but not necessarily, general obligation bonds are
payable from ad valorem property taxes and other general revenues.
Lease Purchase Agreement (Capital Lease) - A contractual agreement whereby the
government borrows funds from a financial institution or a vendor to pay for capital
acquisition. The title to the asset(s) normally belongs to the government with the lessor
acquiring security interest or appropriate lien therein.
Letter of Credit - A commitment, usually made by a commercial bank, to honor demands for
payment of a debt upon compliance with conditions and/or the occurrence of certain
events specified under the terms of the commitment.
Level Debt Service - An arrangement of serial maturities in which the amount of principal
maturing increases at approximately the same rate as the amount of interest declines.
Long-Term Debt - Long-term debt is defined, for purposes of this policy, as any debt
incurred whose final maturity is more than three years.
Maturity - The date upon which the principal of a municipal bond becomes due and payable
to bondholders.
Mini-bonds - A small denomination bond directly marketed to the public.
Net Interest Cost (NIC) - The traditional method of calculating bids for new issues of
municipal securities. The total dollar amount of interest over the life of the bonds is
adjusted by the amount of premium or discount bid, and then reduced to an average annual
rate. The other method is known as the true interest cost (see "true interest cost").
Offering Circular - Usually a preliminary and final document prepared to describe or
disclose to investors and dealers information about an issue of securities expected to be
offered in the primary market. As a part of the offering circular, an official statement shall
be prepared by the Village describing the debt and other pertinent financial and
demographic data used to market the bonds to potential buyers.
Other Contractual Debt - Purchase contracts and other contractual debt other than bonds
and notes. Other contractual debt does not affect annual debt limitation and is not a part of
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indebtedness within the meaning of any constitution or statutory debt limitation or
restriction.
Par Value or Face Amount - In the case of bonds, the amount of principal which must be paid at
maturity.
Parity Bonds - Two or more issues of bonds which have the same priority of claim or lien
against pledged revenues or the issuer's full faith and credit pledge.
Principal - The face amount or par value of a bond or issue of bonds payable on stated dates of
maturity.
Private Activity Bonds - One of two categories of bonds established under the Tax Reform Act
of 1986, both of whom are subject to certain tests and State volume caps to preserve tax
exemption.
Ratings - Evaluations of the credit quality of notes and bonds, usually made by independent
rating services, which generally measure the probability of the timely repayment of principal
and interest on municipal bonds.
Refunding Bonds - Bonds issued to retire bonds already outstanding.
Registered Bond - A bond listed with the registrar as to ownership, which cannot be sold or
exchanged without a change of registration.
Reserve Fund - A fund which may be used to pay debt service if the sources of the pledged
revenues do not generate sufficient funds to satisfy the debt service requirements.
Self-Supporting or Self Liquidating Debt - Debt that is to be repaid from proceeds derived
exclusively from the enterprise activity for which the debt was issued.
Short-Term Debt -Short-term debt is defined for purposes of this policy as any debt incurred
whose final maturity is three years or less.
Spread - The income earned by the underwriting syndicate as a result of differences in the price
paid to the issuer for a new issue of municipal bonds, and the prices at which the bonds are
sold to the investing public, usually expressed in points or fractions thereof.
Tax-Exempt Bonds - For municipal bonds issued by the Village tax-exempt means interest on
the bonds are not included in gross income for federal income tax purposes; the bonds are not
items of tax preference for purposes of the federal, alternative minimum income tax imposed
on individuals and corporations; and the bonds are exempt
from taxation by the State of Illinois.
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Tax Increment Bonds - Bonds secured by the incremental property tax revenues generated
from a redevelopment project area.
Term Bonds - Bonds coming due in a single maturity.
True Interest Cost (TIC) - Also known as Canadian Interest Cost. A rate which, when used to
discount each amount of debt service payable in a bond issue, will produce a present value
precisely equal to the amount of money received by the issuer in exchange for the bonds. The
TIC method considers the time value of money while the net interest cost (NIC) method does
not.
Yield to Maturity - The rate of return to the investor earned from payments of principal and
interest, with interest compounded semiannually and assuming that interest paid is reinvested
at the same rate.
Zero Coupon Bond - A bond which pays no interest, but is issued at a deep discount from par,
appreciating to its full value at maturity.
Dated April 18, 2016
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VILLAGE OF BUFFALO GROVE
INVESTMENT POLICY
I. Policy:
The Village of Buffalo Grove, as a public agency, has an inherent fiduciary responsibility to properly account
for and manage public funds. Public funds are to be considered current operating funds, special funds, debt
service and other funds of any kind or character belonging to or in the custody of any public agency (Chapter
30, paragraph 235/1 through 235/7, Public Funds Investment Act, Illinois Complied Statutes
II. Scope:
This investment policy applies to all financial assets of the Village of Buffalo Grove except for the Police and
Firefighter’s Pension Funds which are subject to those individual fund boards.
1. Pooling of Funds
Except for cash in certain restricted and special funds, the Village of Buffalo Grove will consolidate and
reserve balances from all funds to maximize investment earnings and to increase efficiencies with regard
to investment pricing, safekeeping and administration. Investment income will be allocated to the various
funds based on their respective participation and in accordance with generally accepted accounting
principles.
III. General Objectives:
The primary objectives, in priority order, of investment activities shall be safety, liquidity, and yield:
1. Safety
Safety of principal is the foremost objective of the investment program. Investments shall be undertaken
in a manner that seeks to ensure the preservation of capital in the overall portfolio. The objective will be
to mitigate credit risk and interest rate risk
(a). Credit Risk
The Village of Buffalo Grove will minimize credit risk, which is the risk of loss due to the failure
of the security issuer or backer, by:
Limiting investment to the types of securities listed in Section VII of this Investment
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Policy.
Pre-qualifying the financial institutions, broker/dealers, intermediaries, and adviser with
which the Village of Buffalo Grove will do business in accordance with Section V.
Diversifying the investment portfolio so that the impact of potential losses from any one
type of security or from any one individual issuer will be minimized.
(b). Interest Rate Risk
The Village of Buffalo Grove will minimize interest rate risk, which is the risk that the marker
values of securities in the portfolio will fall due to changes in market interest rates, by:
Structuring the investment portfolio so that securities mature to meet cash
requirements for ongoing operations, thereby avoiding the need to sell securities on the
open market prior to maturity
Investing operating funds primarily in shorter-term securities, money market mutual
funds, or similar investment pools and limiting the average maturity of the portfolio in
accordance with this policy (see section VIII).
2. Liquidity
The investment portfolio shall remain sufficiently liquid to meet all operating requirements that may be
reasonably anticipated. This is accomplished by structuring the portfolio so that securities mature
concurrent with cash needs to meet anticipated demands (static liquidity). Furthermore, since all possible
cash demands cannot be anticipated, the portfolio should consist largely of securities with active
secondary or resale markets (dynamic liquidity). Alternatively, a portion of the portfolio may be placed in
money market mutual funds or local government investment pools which offer same day liquidity for
short-term funds.
3. Yield
The investment portfolio shall be designed with the objective of attaining a market rate of return
throughout budgetary and economic cycles, taking into account the investment risk constraints and
liquidity needs. Return on investment is of secondary importance compared to the safety and liquidity
objectives described above. The core of investments is limited to relatively low risk securities in
anticipation of earning a fair return relative to the risk being assumed. Securities shall generally be held
until maturity with the following exceptions:
A security with declining credit may be sold early to minimize loss of principal.
A security swap would improve the quality, yield, or target duration in the portfolio.
Liquidity needs of the portfolio require that the security be sold.
IV. Standards of Care:
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1.Prudence
The standard of prudence to be used by investment officials shall be the “prudent person” standard and
shall be applied in the context of managing the overall portfolio. Investment officers acting in accordance
with written procedures and this investment policy and exercising due diligence shall be relieved of
personal responsibility for an individual security’s credit risk or market price changes, provided deviations
from expectations are reported in a timely fashion and the liquidity and the sale of securities are carried
out in accordance with the terms of this policy.
2.Ethics and Conflicts of Interest
Officers and employees involved in the investment process shall refrain from personal business activity
that could conflict with the proper execution and management of the investment program, or that could
impair their ability to make impartial decisions. Employees and investment officials shall disclose any
material interests in financial institutions with which they conduct business. They shall further disclose
any personal financial/investment positions that could be related to the performance of the investment
portfolio. Employees and officers shall refrain from undertaking personal investment transactions with
the same individual with whom business is conducted on behalf of the Village of Buffalo Grove.
3.Delegation of Authority
Authority to mange the Village of Buffalo Grove’s investment program is derived from the following:
The establishment of investment policies is the responsibility of the Village Board. Management and
administrative responsibility for the investment program is hereby delegated to the Finance Director who,
under the direction of the Village Manager, shall establish written procedures for the operation of the
investment program consistent with this investment policy. Procedures should include references to:
safekeeping, delivery vs. payment, investment accounting, repurchase agreements, wire transfer
agreements, collateral/depository agreements and banking service contracts. Such procedures shall
include explicit delegation of authority to persons responsible for investment transactions. No person
may engage in an investment transaction except as provided under the terms of this policy and the
procedures established by the Finance Director. The Finance Director shall be responsible for all
transactions undertaken and shall establish a system of controls to regulate the activities of subordinate
officials. The Finance Director may from time to time amend the written procedures in a manner not
inconsistent with this policy or state statutes.
The responsibility for investment activities of the Police and Firefighter Pension Funds rest with the
trustees of the respective fund boards.
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V. Authorized Financial Institutions, Depositories and Broker/Dealers:
The Finance Director will maintain a list of financial institutions authorized to provide investment services. In
addition, a list will be maintained of approved security broker/dealers selected by credit worthiness. These
may include “primary” dealers or regional dealers that qualify under Securities and Exchange Commission
(SEC) Rule 15C3-1 (uniform net capital rule). No public deposit shall be made except at a qualified public
depository as established by state statutes.
All financial institutions and broker/dealers who desire to become qualified become qualified bidders for
investment transactions must supply the Finance Director with the following:
Audited financial statements demonstrating compliance with state and federal capacity adequacy
guidelines
Proof of National Association of Security Dealers (NASD) certification (not applicable to Certificate of
Deposit counterparties)
Proof of state registration
Completed broker/dealer questionnaire
Certification of having read the Village’s Investment Policy
VI. Safekeeping and Custody:
All trades of marketable securities will be executed by delivery vs. payment (DVP) to ensure that securities
are deposited in an eligible financial institution prior to the release of funds.
Securities will be held by an independent third-party custodian selected by the Village as evidenced by
safekeeping receipts in the Village’s name. The safekeeping institution shall annually provide a copy of their
most recent report on internal controls (Statement of Auditing Standard No. 70, or SAS 70).
1. Internal Controls
The Finance Director is responsible for establishing and maintaining an internal control structure designed
to ensure that the assets of the Village of Buffalo Grove are protected from loss, theft or misuse. Details
of the internal controls system shall be documented in an investment procedures manual and shall be
reviewed and updated annually. The internal control structure shall be designed to provide reasonable
assurance that these objectives are met. The concept of reasonable assurance recognizes that (1) the cost
of a control should not exceed the benefits likely to be derived and (2) the valuation of costs and benefits
requires estimates and judgments by management.
The internal controls structure shall address the following points:
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Control of collusion
Separation of transaction authority from accounting and recordkeeping
Custodial safekeeping
Avoidance of physical delivery securities
Clear delegation of authority to subordinate staff members
Written confirmation of transactions for investments and wire transfers
Dual authorizations of wire transfers
Development of a wire transfer agreement with the lead bank and third-party custodian
Accordingly, the Finance Director shall establish a process for annual independent review by an external
auditor to assure compliance with policies and procedures.
VII. Suitable and Authorized Investments:
The Village may invest in any type of the security allowed for in Illinois Compile Statutes (30 ILCS 235/2)
regarding the investment of public funds. Approved investments include:
Bonds, notes, certificates of indebtedness, treasury bill, or any other securities now or hereafter
issued, which are guaranteed by the full faith and credit of the United States of American as to
principal and interest;
Bonds, notes, debentures or other similar obligations of the United States of America or its agencies;
Interest-bearing savings accounts, interest-bearing certificates of deposit or interest-bearing time
deposits or any other investments constituting direct obligations of any bank as defined by the
Illinois Banking Act; and is insured by the Federal Deposit Insurance Corporation;
Short-term obligations of corporations organized in the United States with assets exceeding
$500,000,000 if (i) such obligations are rated at the time of purchase at one of the three highest
classifications established by at least two standard rating services and which mature not later than
180 days for the date of purchase, (ii) such purchases do not exceed 10% of the corporation’s
outstanding obligations and (iii) no more than 25% of the Village’s funds may be investing in short-
term obligations of corporations;
Illinois Public Treasurer’s Investment Pool (Illinois Funds), and the Illinois Metropolitan Investment
Fund (IMET)
Short-term discount obligations of the Federal National Mortgage Association (FNMA) or I shares of
other forms of securities or other allowable investments legally issued by savings and loan
associations incorporated under the laws of this state or any other state or under the laws of the
United States. Investments may be made only in those savings and loan associations of which the
shares or investment certificates are insured by the Federal Deposit Insurance Corporation (FDIC).
Investment options suitable under ILCS including Fixed Rate General Obligation Municipal Bonds
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whose credit quality is restrict to “AA” or better.
1. Collateralization:
It is the policy of the Village of Buffalo Grove and in accordance with the GFOA’s Recommended Practices
on the Collateralization of Public Deposits (attachment #2), the Village requires that funds on deposit in
excess of FDIC limits be secured with some form of collateral, including surety bonds or letters of credit.
The Village will accept any of the following assists as collateral:
Government Securities
Obligations of Federal Agencies
Obligations of Federal Instrumentalities
Fixed Rate General Obligation Municipal Bonds rated “AA” or better
Obligations of the State of Illinois
(The Village reserves the right to accept/reject any form of the above named securities.)
The amount of collateral provided will not be less than 103% of the fair market value of the net amount of
public funds secured. The ratio of fair market value of collateral to the amount of funds secured will be
reviewed monthly, and additional collateral will be required when the ratio declines below the level
required and collateral will be released if the fair market value exceeds the required level. Pledged
collateral will be held in safekeeping by an independent third party depository designated by the Village
of Buffalo Grove and evidenced by a safekeeping agreement. Collateral agreements will preclude the
release of the pledged assets without an authorized signature from the Village of Buffalo Grove. The
Village realizes that there is a cost factor involved with collateralization and the Village will pay any
reasonable and customary fees related to collateralization.
VIII. Investment Parameters:
1. Diversification
In order to reduce the risk of default, the investment portfolio of the Village of Buffalo Grove shall be
diversified by:
Limiting investments to avoid over-concentration in securities from a specific issuer or business
sector (U.S. Treasury and Agency securities),
- Monies deposited at a financial institution shall not exceed 75% of the capital stock and
surplus of that institution.
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-Commercial paper shall not exceed 33% of the Village’s investment portfolio.
-Brokered certificates of deposit shall not exceed 25% of the Village’s investment
portfolio.
Investing in securities with varying maturities, and
Continuously investing a portion of the portfolio in readily available funds such as local
government investment pools (LGIPs), money market funds or overnight repurchase agreements
to ensure that appropriate liquidity is maintained in order to meet ongoing obligations.
2.Maximum Maturities
To the extent possible, the Village of Buffalo Grove will attempt to match its investments with anticipated
cash flow requirements. Unless matched to a specific cash flow, the Village will not directly invest in
securities maturing more than three years from the date of purchase.
Reserve funds and other funds with longer-term investment horizons may be invested in securities
exceeding three year if the maturities of such investments are made to coincide as nearly as practicable
with the expected use of funds.
Because of inherent difficulties in accurately forecasting cash flow requirements, a portion of the
portfolio should be continuously invested in readily available funds such as LGIPs, money market funds, or
overnight repurchase agreements to ensure that appropriate liquidity is maintained to meet ongoing
obligations.
IX. Reporting:
The Finance Director shall prepare as investment report at least quarterly, including a management summary
that provides an analysis of the status of the current investment portfolio. This management summary will
be prepared in a manner which will allow the Village to ascertain whether investment activities during the
reporting period have conformed to the investment policy. This report should be provided to the Village
Manager and Village Board. The report will include the following:
Listing of individual securities held, by fund, at the end of the reporting period.
Average weighted yield to maturity of portfolio.
Listing of investments by maturity date.
Percentage of total portfolio which each type of investment represents.
1.Performance Standards
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The investment portfolio will be managed in accordance with the parameters specified within this policy.
The portfolio should obtain a market average rate of return during a market/economic environment of
stable interest rates. Portfolio performance should be compared to appropriate benchmarks on a regular
basis. The benchmarks shall be reflective of the actual securities being purchased and risks undertaken,
and the benchmark shall have similar weighted average as the portfolio.
2. Market Yield
The Village’s investment strategy is passive. Given this strategy, the basis used by the Finance Director to
determine whether market yield are being achieved shall be the six-month U.S. Treasury Bill.
3. Marking to Market
The market value of the portfolio shall be calculated at least quarterly and a statement of the market
value of the portfolio shall be issued at least quarterly. This will ensure that review of the investment
portfolio, in terms of value and price volatility, has been performed consistent with the GFOA
recommended Practices on “Mark-to-Market Practices for State and Local Government Investment
Portfolios and Investment Pools” (attachment #3). In defining market value, considerations should be
given to the GASB Statement 31 pronouncement.
X. Investment Policy Adoption:
The Village of Buffalo Grove’s investment policy shall be adopted by resolution of the Village B oard of
Trustees. This policy shall be reviewed on an annual basis by the Finance Director and any modifications
thereto must be approved by the Village Board of Trustees.
XI. Glossary:
AGENCIES: Informal name that refers to securities issued by the United States government and U.S.
government sponsored instrumentalities.
ASKED: The trading price proposed by the prospective seller of securities. Also called the offer or offered
price.
BANKERS' ACCEPTANCE (BA): A short-term financial instrument that is the unconditional obligation of
the accepting bank.
BASIS POINT (BP): A unit of measurement for interest rates or yields that are expressed in percentages. (One
hundred basis points equal 1 percent.)
BID: The trading price acceptable to a prospective buyer of securities.
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BOND EQUIVALENT YIELD (BEY): An annual yield, expressed as a percentage, describing the return
provided to bond holders. The BEY is a way to compare yields available from discount securities such as
Treasury bills and BAs with yields available from coupon securities.
BROKER: A party who brings buyers and sellers together. Brokers do not take ownership of the property
being traded. They are compensated by commissions. They are not the same as dealers; however, the
same individuals and firms that act as brokers in some transactions may act as dealers in other
transactions.
BROKERED AND NEGOTIABLE CERTIFICATES OF DEPOSIT: Short-term (2 to 52 weeks) large denomination
($100,000 minimum). Certificate of Deposit that is issued at a discount on its par value, or at a fixed
interest rate payable at maturity and are freely traded in secondary markets.
CERTIFICATE OF DEPOSIT (CD): A deposit of funds, in a bank or savings and loan association, for a
specific term that earns interest at a specified rate or rate formula. CDs may be secured or unsecured,
may be in negotiable or nonnegotiable form and may be issued in either physical or book entry form.
COLLATERAL: Securities, evidence of deposit or other property which a borrower pledges to secure
repayment of a loan. Also refers to securities pledged by a bank to secure deposits of public monies.
COMMERCIAL PAPER (CP): Unsecured, short-term promissory notes issued by corporations for specific
amounts and with specific maturity dates.
COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR): The official annual report for the Village of
Glenview. It includes five combined statements and basic financial statements for each individual fund
and account group prepared in conformity with GAAP. It also includes supporting schedules necessary to
demonstrate compliance with finance-related legal and contractual provisions, extensive introductory
material, and a detailed Statistical Section.
COUPON: (a) The annual rate of interest that a bond's issuer promises to pay the bondholder on the
bond's face value. (b) A certificate attached to a bond evidencing interest due on a payment date.
DEALER: A firm or individual who buys and sells for their own account. Dealers have ownership between
a purchase from one party and a sale to another party. Dealers are compensated by the spread between
the price they pay and the price they receive.
DEBENTURE: A bond secured only by the general credit of the issuer.
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DELIVERY VERSUS PAYMENT (DVP): The simultaneous exchange of securities and cash. The safest
method of settling either the purchase or sale of a security. In a DVP settlement, the funds are wired
from the buyer's account and the security is delivered from the seller's account in simultaneous
independent wires.
DISCOUNT: The amount by which the price for a security is less than its par.
DISCOUNT SECURITIES: Securities that do not pay periodic interest. Investors earn the difference
between the discount issue price and the full face value paid at maturity. Treasury bills, bankers’
acceptances and zero coupon bonds are discount securities.
DIVERSIFICATION: Dividing investment funds among a variety of securities offering independent returns.
FEDERAL CREDIT AGENCIES: Agencies of the Federal Government set up to supply credit to various classes of
institutions and individuals, e.g., S & L's, small business firms, students, farmers, farm cooperatives, and
exporters.
FEDERAL DEPOSIT OF INSURANCE CORPORATION (FDIC): A federal agency that insures bank deposits,
currently up to $100,000 per deposit.
FEDERAL FUNDS RATE: The rate for which overnight federal funds are traded.
FEDERAL HOME LOAN BANKS (FHLB): The institutions that regulate and lend to savings and loan
associations. The Federal Home Loan Banks play a role analogous to that played by the Federal Reserve
Banks vis-à-vis member commercial banks.
FEDERAL NATIONAL MORTGAGE ASSOCIATION (FNMA or FANNIE MAE): FNMA is a federal corporation
working under the auspices of the Department of Housing & Urban Development, HUD. It is the largest
single provider of residential mortgage funds in the United States. Fannie Mae, as the corporation is
called, is a private stockholder-owned corporation. The corporation's purchases include a variety of
adjustable mortgages and second loans in addition to fixed-rate mortgages. FNMA assumes and
guarantees that all security holders will receive timely payment of principal and interest.
FEDERAL OPEN MARKET COMMITTEE (FOMC): Consists of seven members of the Federal Reserve Board
and five of the twelve Federal Reserve Bank Presidents. The President of the New York Federal Reserve
Bank is a permanent member while the other Presidents serve on a rotation basis. The Committee
periodically meets to set Federal Reserve guidelines regarding purchases and sales of Government
Securities in the open market as a means of influencing the volume of bank credit and money.
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FEDERAL RESERVE SYSTEM: The central bank of the United States created by Congress and consisting of
a seven member Board of Governors in Washington, D.C., 12 regional banks and about 5,700 commercial
banks that are members of the system.
GOVERNMENT NATIONAL MORTGAGE ASSOCIATION (GNMA OR GINNIE MAE): GNMA, like FNMA, was
chartered under the Federal National Mortgage Association Act of 1938. Securities guaranteed by GNMA and
issued by mortgage bankers, commercial banks, savings and loan associations and other institutions. Security
holder is protected by full faith and credit of the U.S. Government. Ginnie Mae securities are backed by FHA,
VA or FMHM mortgages. The term pass-throughs is often used to describe Ginnie Maes.
LIQUIDITY: A liquid asset is one that can be readily converted to cash through sale in an active secondary
market.
LOCAL GOVERNMENT INVESTMENT POOL (LGIP): Pools through which governmental entities may invest
short term cash. Examples of LGIP's are the Illinois Funds, administered by the Illinois State Treasurer
and the Illinois Metropolitan Investment Fund.
MARKET VALUE: The price at which a security could presumably be purchased or sold.
MARK TO MARKET: The process of restating the carrying value of an asset or liability to equal its current
market value.
MASTER REPURCHASE AGREEMENT: A written contract covering all future transactions between parties. The
agreement establishes each party’s right in the transaction. Repurchase Agreements (REPO’s) are a form of
short-term borrowing for dealers in government securities. The dealer sells the government securities to
investors, usually on an overnight basis, and then buys them back the following day. For the party selling the
security (and agreeing to repurchase it in the future), it is a repo; for the party on the other end of the
transaction (buying the security and agreeing to sell in the future), it is a reverse repurchase agreement. A
master agreement will often specify, among other things, the right to liquidate the underlying securities in
the event of default.
MATURITY: The date upon which the principal or stated value of an investment becomes due and
payable.
MONEY MARKET: The aggregation of buyers and sellers actively trading money market instruments.
OFFER OF OFFERED PRICE: The trading price proposed by the prospective seller of securities (also called the
asked or asking price).
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OPEN MARKET OPERATIONS: Purchases and sales of government and certain other securities in the
open market by the New York Federal Reserve Bank as directed by the FOMC in order to influence the
volume of money and credit in the economy. Purchases inject reserves into the bank system an d
stimulate growth of money and credit; sales have the opposite effect. Open market operations are the
Federal Reserve's most important and most flexible monetary policy tool.
PORTFOLIO: Collection of financial assets belonging to a single owner.
PREMIUM: The amount by which the price for a security is greater than its par amount.
PRIMARY DEALER: A group of government securities dealers that submit daily reports of market activity and
positions and monthly financial statements to the Federal Reserve Bank of New York and are subject to its
informal oversight. Primary dealers include Securities and Exchange Commission (SEC)-registered securities
broker-dealers, banks, and a few unrelated firms.
PRUDENT PERSON RULE: An investment standard. In some states the law requires that a fiduciary, such
as a trustee, may invest money only in a list of securities selected by the state - the so-called legal list. In
other states the trustee may invest in a security if it is one which would be bought by a prudent person
of discretion and intelligence who is seeking a reasonable income and preservation of capital.
QUALIFIED PUBLIC DEPOSITORIES: A financial institution which does not claim exemption from the
payment of any sales or compensating use or ad valorem taxes under the laws of this state, which has
segregated for the benefit of the commission eligible collateral having a value of not less than its
maximum liability and which has been approved by the Public Deposit Protection Commission to hold
public deposits.
RATE OF RETURN: The yield obtainable on a security based on its purchase price or its current market
price. This may be the amortized yield to maturity on a bond or the current income return.
REINVESTMENT RISK: The risk that all or part of the principal may be received when interest rates are lower
than when the security was originally purchased, so that the principal must be reinvested at a lower rate
than the rate originally received by the investor.
REPURCHASE AGREEMENT (RP OR REPO): See Master Repurchase Agreement.
SAFEKEEPING: A service rendered by banks whereby securities and valuables of all types and
descriptions are held by the bank.
SEC RULE 15C3-1: See uniform net capital rule.
SECONDARY MARKET: Markets for the purchase and sale of any previously issued financial instrument.
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SECURITIES & EXCHANGE COMMISSION (SEC): The federal agency with responsibility for regulating
financial exchanges for cash instruments.
SPREAD OVER TREASURIES: The difference between the bond equivalent yield for any investment and
the bond equivalent yield for a Treasury investment with the same maturity.
TREASURY BILLS (T-BILLS): Short-term obligations issued by the U.S. Treasury for maturities of one year
or less. They do not pay interest but are issued on a discount basis instead.
TREASURY BONDS (T-BONDS): Long-term obligations issued by the U.S. Treasury with initial maturities of
more than ten years.
TREASURY NOTES (T-NOTES): Medium-term obligations issued by the U.S. Treasury with initial
maturities of from one to ten years.
UNIFORM NET CAPITAL RULE: Securities and Exchange Commission requirement that member firms as
well as non-member broker dealers in securities maintain a maximum ratio of indebtedness to liquid
capital of 15 to 1; also called net capital rule and net capital ratio. Indebtedness covers all money owed
to a firm including margin loans and commitments to purchase securities, one reason new public issues
are spread among members of underwriting syndicate. Liquid capital includes cash and assets easily
converted to cash.
YIELD: Loosely refers to the annual return on an investment expressed as a percentage on an annual basis.
For interest-bearing securities, the yield is a function of the rate, the purchase price, the income that can be
earned from the reinvestment of income received prior to maturity, call or sale. Different formulas or
methods are used to calculate yields.
Adopted April 18, 2016
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VILLAGE OF BUFFALO GROVE – REVENUE COLLECTION POLICY
1. Purpose
The purpose of this document is to serve as a guide to identify major revenue sources, the method
of collection, and the process of improving compliance rates. The ability of Village to influence the
success of collection is discussed with each category.
2. Scope
The scope of this document will be to explore all defined and ordinary revenue streams of the
Village. Revenues will be identified by category, which will correspond directly to the budget
document. Within each category a discussion of each type or similar type revenue will be
addressed. This document will not discuss each revenue line item in the budget, nor will it go in
depth about miscellaneous one time or non-recurring revenue.
3. Overview
Listed below is an overview of each revenue category that includes a short synopsis of the system of
collection of major revenues and the influence the Village has on the collection of the revenue. It
also includes a collection plan to improve collection of the revenue.
4. Revenue Sources
4.1 Real Estate Taxes
Real estate property tax revenues are one of the most stable as collections typically
exceed ninety-nine percent of the amount levied each year. Once the counties are
directed to extend the levy, the Village has no ability to either control the timing of the
tax bill mailings or the collection of the amount due. The counties control the revenue
distribution dates to the Village. The counties do add late fees to late payments. In the
event the property tax is not collected from a parcel the property will be sold at a
judicial sale to recoup the amount owed.
The Village does have an option to allow each county to overextend the levy to offset
loss in collections. Lake County allows for an over-extension of two percent on the debt
service levies. Cook County allows for an overextension of three percent on corporate
purpose and pension levies and five percent on debt service levies. Historically, with
strong rates of collection, the Village opts out of the over-extension option through
resolution.
4.2 Utility Billing Enterprise
The Village directly bills all water utility customers for the amount of water consumed
and for a storm water management fee. The storm water fee is charged as a flat amount
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to residential properties and based upon square footage for commercial/industrial
properties. In order to create efficiencies in billing, the Village also bills all Lake County
sanitary sewer fees to Lake County properties.
Over ninety-three percent of the water billing revenue due is paid on time. The entire
Village is billed over a two month period. Commercial, industrial and multifamily
properties are billing monthly. Lake County single family households are billed on odd
months and Cook County single family households are billed on even months.
The Village uses a combination of penalties including late fees and service interruption
fees to reduce the number of delinquent service accounts.
Late fees are assessed to service accounts that fail to pay the amount due by the due
date. Water utility customers have approximately twenty-one days to pay the Village.
The late fee is charged at a rate of 1.5 percent per month on the balance due.
For those accounts that fall into delinquency past sixty days, the account is subject to be
shut off. A warning notice is mailed to the service address with the date of the
impending service interruption. Once the water is turned off, the customer must pay a
service interruption charge to reinstate service.
At any point in the billing and collection process, up to water being shut off, a resident
can enter into a payment plan for past due balances. Upon a successful completion of
the terms of the plan, the customer will avoid losing water service. A utility customer is
limited to one payment plan arrangement per year.
All customers are required to pay the entire water bill balance, current and outstanding,
before a real estate transfer tax stamp is issued.
4.3 State Taxes
The State is responsible for collecting and remitted base sales taxes (1%), home rule
sales tax (1%), income and use tax (per capita), telecommunications tax (6%) and motor
fuel tax (per capita). Enforcement of revenue collection is handled by the Illinois
Department of Revenue (IDOR). Payments are made to the village on a monthly basis.
Staff monitors the IDOR website to ensure timely remittances from the State of Illinois.
4.4 Locally Collected Taxes/Fees
The Village collects certain tax revenues, defined by state or local ordinance, directly
from the taxpayer. These types of taxes include natural gas ($.05/therm), electricity
(sliding usage scale – maximum by statute), and cable franchise (5%). The finance
department currently monitors these taxes on a monthly basis for the utility taxes and
bi-monthly for the cable franchise fees.
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Upon a new property being established in the Village, that address is forwarded to the
utility companies including, ComEd, NiCOR or Northshore Gas, Comcast and/or AT&T to
establish tax collections. Staff is provided with an annual list of accounts by the utility
companies to cross reference with the Village’s GIS data.
4.5 Village Imposed Taxes
The Village imposes taxes related to locally generated revenue from specific businesses.
These taxes are defined by ordinance. These taxes include prepared food and beverage
tax(1%) and hotel/motel tax (5%). Staff reviews the State of Illinois tax filings (ST-1) to
compare to the amount paid to the Village. The Village requires state tax
documentation to be remitted with the payment of these taxes for auditing purposes.
The Village reserves the right to audit a businesses’ tax records if staff determines that
the business may either be underreporting taxable income or not submitting taxes on a
timely basis.
Real estate transfer taxes ($3/$1,000 sales consideration) are collected when homes are
sold. The real estate transfer tax stamp will not be issued unless all obligations owed the
Village are satisfied.
4.6 Licensing Fees
Business, tobacco, liquor, vending machine, chauffer, alarm, and pet licenses are minor
revenue sources and renew annually. The major licensing efforts are for business
licenses that are due January 1st and liquor licenses due May 1st when the renewal
period ends the Community Development will send the inspector out to ensure those
businesses that did not renew, or the new businesses that did not obtain the proper
licenses are no longer conducting business. Businesses found to be without the
appropriate licensing will be closed until the license fee and all associated fines for
operating without a license are paid.
Gaining compliance for pet licensing is a perennial challenge. For animal licensing, the
Village will attempt to work with the counties to obtain rabies certificate data. Those
residences with a pet that received a rabies inoculation, but did not purchase an animal
tag, will receive a notice about the Village ordinance requiring a tag.
4.7 Community Development Revenue and Fees
Building development, engineering, contractor registration, plan review, filing,
inspection, and permits fees are easy to collect based upon the conditional nature of the
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fee. Without the payment of the fee work cannot proceed. The Community
Development Department performs random inspections of neighborhoods to ensure all
work is being completed under permit and to the specifications of adopted building
codes. To improve compliance, the Village doubles the cost of permit fees when work is
completed without a permit.
4.8 Fines and Administrative Fees
Fines and administrative fees are an important revenue into the Village of Buffalo
Grove. Certain line items like accident reports, impounding fees, DUI assessments,
subpoena fees, and bail fees have a high rate of collection because the user has a direct
need as a result of paying those fees. Other items Village ordinance fines, false alarm
fees, and paramedic services are more volatile. Paramedic Service fees are collected
less than billed due to insurance reductions and in some cases the timeliness is
stretched out over a long period of time due to the fact that users do not pay and these
fees are ultimately collected through a collection agency or written off.
Village ordinance fines are more difficult to collect. There is an escalating penalty based
on the length a ticket remains unpaid. There are also two programs in place to recapture
unpaid fines. One was mentioned previously, a resident cannot sell a home until all
financial obligations are met The second program is the Village’s participation in the
Illinois Debt Recovery Program. This program collects any debt due the Village through a
garnishment from the debtors pay check or tax refund. This will be an additional part of
the regular collection process for the Village of Buffalo Grove. After the debt has been
outstanding for seven years it is no longer eligible for the Illinois debt recovery program
it will be sent to a collection agency to be recouped.
The Village also collects a portion of tickets that go to Cook and Lake County. The Village
adopted an Administrative Adjudication Program. Local ordinance violations are sent to
administrative adjudication to be heard. Upon the disposition of the hearing, the
adjudicate must pay the fine prior to leaving Village Hall.
4.9 Golf Revenues
The Village owns and operates two 18 hole golf courses. Fees are charges to play daily
golf, use the driving range, to obtain a membership, and purchase merchandise.
Collection rates are not an issue as a service or product is not received without
payment.
Both golf courses are home to restaurant facilities that are required to pay rent for use
of the Village owned facilities. Both tenants currently pay 5 percent of the net earnings
from their restaurant operations back to the village. The funds are due by the 15 th of
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the concurring month. The rent payment is to be accompanied by the state of Illinois
sales tax submission document to ensure the appropriate amount is paid to the Village
as an internal audit of the process. Within the lease agreement is the option for Village
staff to inspect financial records.
4.10 Investment Income
The Village has implemented a strategy of purchasing A+ or higher municipal step bonds
and other securities backed by FDIC, insurance, or the full faith in credit of the United
States Government. The terms will be staggered to take advantage of better interest
rates on longer term investments, while concurrently investing in short term ventures
that yield a competitive term and make funds available as the Village needs them based
on the cash flow analysis completed by the finance department. The collection of this
revenue is highly reliable and therefore there is no plan to improve collections.
The Village will look for opportunities to increase revenue by continuous reviewing collection
patterns of revenue and examine methods to increase the compliance rates. The policy will be
reviewed annually and amended with new sources of revenue and/or changes in the strategies
to collect the revenue.
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Village of Buffalo Grove
Finance Department
VILLAGE OF BUFFALO GROVE
PROCUREMENT POLICY
This policy is intended for use by Village Personnel as a general reference and will be revised as
policies and procedures require revisions or clarification.
Approved by Village Resolution 2015- 24 on August 3, 2015
Previous Resolution No. 2013-09 on March 4, 2013
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VILLAGE OF BUFFALO GROVE PROCUREMENT POLICY
INTRODUCTION
This procurement policy is intended for use as a guide to the Village of Buffalo Grove procurement
methods. When used properly, the policies will enable the Village to obtain needed materials,
equipment, supplies, and services efficiently and economically. While this policy does not answer
all questions related to purchasing, it does provide the foundation for a sound procurement policy.
This policy is intended for use by the Village’s Personnel as a general reference and will be revised
as policies and procedures require revisions or clarification. This procurement policy may
sometimes hereafter by referred to as “policy”
The basic goals of the Village’s procurement program are:
1. To comply with the legal requirements of public procurement and purchasing.
2. To assure vendors that impartial and equal treatment is afforded to all who wish to do
business with the Village.
3. To receive maximum value for each dollar spent by awarding purchase orders to the
lowest responsible bidder, taking into consideration quality, performance, technical
support, delivery schedule, past performance and other relevant factors.
4. To provide Village departments the required goods, equipment and services at the time
and place needed and in the proper quantity and quality.
5. To promote environmentally safe products and services while taking into consideration
factors such as price, performance, availability and safety.
6. To promote good and effective vendor relations, cultivated by informed and fair buying
practices and strict maintenance of ethical standards.
The purpose of this purchasing policy is to provide the Village of Buffalo Grove staff with guidelines
and directions for the acquisition of goods and services. This policy is designed to be a fluid
document and will be modified from time to time to conform to changes in legislation, technology
and actual practice.
The Village Manager, or his/her designee, shall be the final authority with regards to enforcement
of any of the provisions of this policy. Failure to follow the procedures outlined in this policy may
lead to disciplinary action in accordance with the provisions of the Village of Buffalo Grove
Personnel Manual.
This policy is not intended to provide third parties with any specific rights when transacting with
the Village of Buffalo Grove. All policies and procedures in this Policy are subject to modification by
the appropriate Village employees and, therefore, vendors or other third parties shall not be
entitled to rely on the contents of this policy.
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PROCUREMENT GUIDELINES & SUMMARY
Amount Of Purchase Procurement Method Notification Approval
Purchases of $100.00 or less Petty Cash Procedures
Credit Card
Supervisor or
Designee
Supervisor or
Designee
$100.01 to $250.00 Purchases Request for Payment Method
Or Invoice submitted
Purchase Order Procedure
Department
Supervisor or
Designee
Department
Supervisor or
Designee
$250.01 to $1,499.99 Purchases Quotes (verbal, fax, email,
written)
3 Quotes Recommended
Purchase Order Procedure
Department
Supervisor or
Designee
Purchasing
Manager
$1,500.00 to $3,499.99 Purchases Quotes (written, faxed or email)
3 Quotes Required
Purchase Order Procedure
Department
Director or
Designee
Finance Director
or Purchasing
Manager
$3,500.00 to $20,000.00 Purchases Contact the Purchasing Manager
Quotes (written, faxed or email)
3 Quotes or State Contract/GSA
Purchase Order Procedures
Department
Director or
Designee
Village Manager
or Designee
Purchase Exceeds $20,000.00 Contact the Purchasing Manager
Formal Procurement Process
Award by Village Board
Village
Manager or
Designee
Village Board
Ultimate authority to make purchases resides with the Village Board.
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RESPONSIBILITIES OF PURCHASING AGENTS
THE PURCHASING MANAGER’S RESPONSIBILITIES
1. To facilitate the involvement of local vendors in the Village’s procurement policy.
2. Impartial judgments in the selection of vendors which are based on product quality, price,
warranty, and performance and vendor delivery, service, and performance.
3. Complying with all Village procurement procedures and State Statutes covering
procurement and disposal.
4. Maintaining a store of office supplies and helping establish guidelines for maintaining
general janitorial maintenance supplies.
5. Preparing formal bid packets and quotation requests.
6. Managing the formal bid process, including advertising for bids, notifying vendors,
accepting bid proposals, opening bids, tabulating bids, and serving as the primary resource
for questions from vendors.
7. Purchase review and final preparation of all purchase orders.
8. Maintaining adequate procurement records, including a database of vendors established in
an accessible vendor file.
9. Upon request, assist departments in locating the best source for supplies, materials, and
equipment.
10. Assisting departments in conducting negotiations with vendors concerning prices, bids,
terms, deliveries, and adjustments.
11. Maintaining a central file of contracts and related documents including but not limited to
certified payroll submissions and associated waivers of lien.
12. Assisting departments with the informal bid process.
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THE VILLAGE MANAGER’S RESPONSIBILITIES
1.Purchase all materials, supplies, equipment, personal services and contracts for which funds are
provided in the budget, but no item or personal service which exceeds any budget
appropriation may be purchased.
2.For a purchase of more than twenty thousand dollars, with the exception of professional
services, the Village Manager should solicit bids and such bids shall be presented to the
Corporate Authorities for approval or rejection.
3.The Village Manager shall solicit bids for any public improvement which will exceed twenty
thousand dollars, which is not to be paid for in whole or in part by a special assessment or
special tax.
4.The Village Manager will make recommendations to the Corporate Authorities with respect to
all bids.
5.The Village Manager may issue rules and regulations governing requisitions and the transaction
of the business of the purchasing agent and the heads of departments, officers and employees of
the Village.
6.In case of circumstances creating an emergency, the Village Manager may, without prior
consent of the Corporate Authorities, award contracts and make purchases for the purpose of
meeting the emergency. In such cases the Village Manager will notify the Corporate Authorities
as soon as is practicable of all emergency procurements that exceed $20,000
DEPARTMENT AND EMPLOYEE RESPONSIBILITIES
1.It is the responsibility of each department to requisition goods and services in such a way as to
allow time for competitive bidding, ordering, and delivery of materials. Exceptions shall be
made only on rare occasions, when a true emergency exists.
2.It is the responsibility of the Department director or his designee, in consultation with the
Purchasing Manager, to obtain these goods based upon competitive bids and to give
consideration to product price, value, quality, performance, and delivery.
3.While the Department director may delegate minor purchases to employees, he/she is still
responsible for ensuring such purchases are made according to the provisions of this policy.
4.No Department Director or employee is authorized to make any commitment to any
salesperson or firm that will bind the Village in any way. During meetings with salespersons, no
employee shall make any indication that he/she will recommend a particular product for
purchase.
5.It is the responsibility of all Village of Buffalo Grove employees to comply with all rules and
regulations set forth herein. As directed by the Village Manager, any employee deliberately
violating the policy regarding unauthorized purchases shall be held personally accountable for
the purchases. Failure to follow the procedures outlined in the Policy may lead to disciplinary
action in accordance with the provisions of the Village of Buffalo Grove Employee Manual.
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THE PURCHASING MANAGER’S RESPONSIBILITIES TO VENDORS
1. Encourage good Village/vendor relations.
2. Encourage businesses located within the Village to participate in the Village’s procurement
policy, by notifying all known in-Village vendors of opportunities to bid.
3. Conduct business with vendors in a professional manner that promotes honesty and
fairness.
4. Accept, and in some cases require, samples from vendors to be used for testing. A fair trial
shall be given to all samples and the outcome of the test shall be presented to the vendor, in
general terms.
5. Make every effort to be available for appointments during normal business hours on
reasonable notice.
6. Arrange interviews between salespersons and department directors as needed.
7. Write all correspondence to salespersons and vendors, except when technical details can be
better written by the department.
8. Keep on file vendor information, catalogs, samples, price quotes, etc. to be used by all
departments.
THE VENDOR’S RESPONSIBILITIES TO VILLAGE OF BUFFALO GROVE
1. Understand the needs of Village of Buffalo Grove and to try to find the right product at the
right price, quality, and quantity that benefits the Village as a whole.
2. Conduct themselves in a professional manner: being honest about the supplies, services and
products they represent.
3. Honor purchase orders generated as a result of providing price quotes on specified items
and quantities.
4. Respond to Bids, Requests for Proposals, and Requests for Qualifications in a professional
and ethical fashion. See Appendix D for causes for debarment from bidding.
5. Complete on a biennial basis the Village of Buffalo Grove Qualified Vendor Registration
form. (Appendix E)
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PAYMENT
The Village is bound by State Statute (50 ILCS 505/1 et seq.) which states that payments are to be
made pursuant to the Illinois Local Government Prompt Payment Act. It is important to note that
all contracts and agreements with Vendors reflect these particular payment terms.
CONFLICTS OF INTEREST
The Purchasing Manager shall not knowingly initiate a purchase order when there is a conflict of
interest. All known or suspected conflict of interest situations shall be referred to the Office of the
Village Manager. A conflict of interest exists when a Village employee or officer (The Village
President, the members of the Village Board of Trustees, the Village Clerk, the Village Treasurer, the
members of the Zoning Board of Appeals and the Plan Commission, the Village Manager and his
Assistant or Assistants, or the heads of the various departments within the Village) is an officer or
director of the supplier, or owns five percent (5%) or more of the supplier of products and or
services to the Village of Buffalo Grove.
GIFTS AND FAVORS
Employees shall not solicit, accept or agree to accept any gift of any kind from any person or
business entity doing business or wishing to do business with the Village, except where said gift is
expressly permitted by the Illinois State Officials and Employees Ethics Act (5 ILCS 430/1-5). A
"gift" means any gratuity, discount, entertainment, hospitality, loan, forbearance, or other tangible
or intangible item having monetary value including, but not limited to, cash, food and drink, and
honoraria for speaking engagements related to or attributable to government employment or the
official position of an employee. Employees shall comply with the Illinois State Officials and
Employees Ethics Act at all times.
The Purchasing Manager may accept samples from vendors only for the purpose of testing
products.
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8 | P a g e
PROCUREMENT METHODS
PETTY CASH
Purpose: To reimburse an employee for small incidental purchases.
Appropriate use of the Petty Cash: Petty cash funds may be used for small incidental nonrecurring
cash purchases that do not exceed $100.00. The use of petty cash should not be considered as a
substitute for regular procurement procedures.
It is recommended that wherever possible a Village issued credit card/procurement card be used in
the place of petty cash.
Requests for reimbursement using petty cash must be accompanied by the Petty Cash Form
(Appendix F). These forms must be completed and then submitted to the Accounts Payable Clerk.
ADVANCE CHECK REQUEST
Purpose: To request a check for payment when an invoice is not issued.
Appropriate use of Advance Check Request for Payment: Occasionally, a check is needed when
there is no invoice. These occurrences include, but are not limited to:
1. An employee request for reimbursement for out of pocket expense.
2. Vendors requiring payment in advance.
3. Mail in catalog orders requiring pre-payment.
When the Advance Check Request form is used, a cash receipt, a written quote, or a copy of the
catalog order must be submitted as supporting documentation.
For a copy of the Advance Check Request form see Appendix G.
PURCHASE ORDERS
Purpose: To provide a legal document that places an obligation on both the Village and the vendor.
When properly endorsed by the Finance Department, the purchase order obligates the Village to
purchase the items listed at the prices stated. The vendor is obligated according to the terms and
prices stated on the purchase order to deliver the goods or services. The purchase order provides
specifications for goods and services ordered and shipping and billing information.
Appropriate Use of the Purchase Order: A purchase order shall be used for procurement of any
item or service that requires a written order or any purchase of $100.01 or more. Purchase orders
are not required for prepaid orders.
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BLANKET PURCHASE ORDERS
Purpose: Blanket purchase orders will be used for repetitive purchases from certain vendors.
Appropriate Use of the Blanket Purchase Order: If the Village has entered into contract with a
Vendor then a Blanket purchase may be issued for each fiscal year of that contract. Departments
should follow standard purchase order procedures. For repetitive purchases, rather than issuing a
purchase order for each purchase, one purchase order with a dollar limit is issued for a period of up
to three months.
PROCUREMENT CARD PROGRAM
A policy has been designed to establish the procedures to be used with the Village of Buffalo Grove’s
procurement card program. Refer to Appendix F for the complete policy.
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SPECIAL PROCUREMENT
ELECTRONIC EQUIPMENT
The IT (Information Technology) Department or a company contracted by the Village to supply IT
services will purchase or authorize the purchase of all computers, peripherals, printers, cell phones
and all other electronics governed by the Communications and Information Technology Policy. The
IT Department or a company contracted by the Village to supply IT services will then be responsible
for communicating to the Office of the Village Manager and requesting a Purchase Order or
instructing the department requesting services or equipment to enter the information required to
create a Purchase Order. The IT Department or the company contracted by the Village to supply IT
services will setup and install equipment in the appropriate departments.
ELECTRONIC EQUIPMENT MAINTENANCE
When a copier, large format printer, scanner or multifunction print device requires maintenance,
the department should use the contact information located on the device.
If you have maintenance or repair need for a cell phone or pager, contact the IT department or the
company contracted by the Village to supply IT services.
When maintenance or repair is needed for all other electronic equipment, including but not limited
to computers, printers, and telephones, the IT department or the company contracted by the Village
to supply IT services shall be contacted. The IT department or the company contracted by the
Village to supply IT services will either repair, service or make arrangements for outsourcing the
repair.
VEHICL ES/EQUIPMENT REPAIR
The Central Garage is responsible for the maintenance repair and replacement of all Village owned
vehicles. Central Garage personnel will determine when repairs can be made at the garage or
should be outsourced. Before outsourcing work, the Fleet Manager will notify the applicable
Department director with a recommendation of the work to be performed, along with estimates or
quotes.
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BUILDINGS
The Public Works Department shall be contacted for Village building repairs and remodeling
requests. For Village property the Public Works department will assess the need or problem and
recommend the best course of action to correct the problem(s).
Repair services for Village buildings or equipment that are not covered by maintenance agreements
shall be obtained by the following procedures:
1.Estimates of the repair/improvement work shall be gathered and reviewed before
proceeding with the repairs/improvements.
2.As repairs/improvements to public facilities will likely require prevailing wage to be paid,
the rider in Appendix I. should be provided to contractors when requesting quotes.
3.If emergency repairs are needed, Emergency Procurement procedures should be followed.
MAINTENANCE AGREEMENTS
Departments should follow these guidelines for all maintenance agreements:
1.All maintenance agreements must be reviewed by the Village Attorney.
2.Maintenance agreements shall be considered for any equipment/asset that requires
frequent adjustment or repairs.
3.Maintenance agreements are a form of contract. Department Directors are not authorized to
sign contracts in excess of $3,500.00
4.Copies of all maintenance agreements will be filed with the Purchasing Manager.
5.Purchase order procedures shall be followed.
ENVIRONMENTALLY PREFERABLE PURCHASING
The purchase and use of products and services can have a profound impact on the environment.
The Village of Buffalo Grove recognizes the positive impact that it can make on the environment
through purchasing decisions that Village staff make. It is the intent of the Village of Buffalo Grove
to integrate environmental considerations into the aspects of procurement.
Village staff should seek to reduce the environmental damages associated with their purchases by
increasing their acquisition of environmentally preferable products and services to the extent
feasible, consistent with price, performance, availability, and safety considerations.
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WRITTEN CONTRACTS
Contracts range from written contracts described in this section to purchase orders
incorporating specifications, which are also contracts. The following purchases will require
contracts:
1. Supplies, equipment, apparatus, and material requiring an expenditure of more than
$20,000.00.
2. All maintenance agreements and leases.
3. Construction and repair (including demolition and renovation) projects requiring an
expenditure of more than $20,000.
4. Change Orders: Contracts for construction or repair projects can have change orders during
the project prior to completion, without going through a new bid process, providing the
bidding laws are not evaded. Change orders that exceed 10% of the total contract price
must be approved by the Village Board and then should only be approved if it is in the best
interests of the Village of Buffalo Grove. Change orders up to $10,000.00 (but less than 10%
of total contract price) can be approved by the Village Manager.
5. Any work that that can be considered an improvement to public facilities and therefore
invokes prevailing wage rates must have a written contract. At a minimum the rider in
Appendix I. must be attached to a quote provided for such work and signed by the
contractor/vendor performing the work.
All contracts that commit the Village to an expenditure of more than $3,500.00 shall be
submitted to the Village Manager or Finance Director for approval signature. Contracts at or
below $3,500 may be signed by a Department Director after review by the Village Attorney with
the contract forwarded to the Purchasing Manager. Contracts that commit the Village to an
expenditure of more than $20,000 can only be signed by the Village President or Village
Manager.
While Illinois law and Village policy mandate when written contracts are required, this does not
preclude the use of written contracts at any time. It should also be remembered that the need
for a contract might vary according to circumstances and, a written contract may be used
whenever it is deemed necessary and advisable by the Purchasing Manager or Village Attorney.
MULTI-YEAR CONTRACTS
Unless otherwise provided by law, a contract for supplies or services may be entered into for
any period of time deemed to be in the best interests of the Village of Buffalo Grove. The term of
the contract and conditions of renewal or extension, if any, must be included in the solicitation
and funds must be available for the first fiscal period at the time of contracting. Payment and
performance obligations for succeeding fiscal periods shall be subject to the availability and
appropriation of funds therefor.
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INFORMAL PURCHASES
Any procurement not exceeding $20,000.00 may be made in accordance with the following
purchase procedures, provided however, that purchases are not artificially divided so as to create
an Informal purchase. The splitting of a purchase or contract into two or more purchases for the
purpose of avoiding the bidding or quotation process is in violation of State law and Village policy.
INFORMAL BUYING REQUIREMENTS – PURCHASES OF $250.00 OR LESS
The informal buying requirements cover purchases for construction or repair work and contracts
for the purchase or lease-purchase of apparatus, supplies, materials, or equipment involving the
expenditure of $250.00 or less.
Pricing may be obtained verbally, or by electronic or written submission. No advertisement is
required. The Village of Buffalo Grove standard is to seek three quotes for all purchases that do not
qualify for the informal purchase exception rules. If the purchase is for a routine operating good or
service, the price comparison needs to be performed at least once each fiscal year.
INFORMAL QUOTE REQUIREMENTS – PURCHASES BETWEEN $250.01 & $3499.99
The informal quote requirements cover contracts for construction or repair work and contracts for
the purchase or lease-purchase of apparatus, supplies, materials, or equipment involving the
expenditure of $250.01 to $3,499.99.
Pricing may be obtained by electronic or written submission. No advertisement is required. The
Village of Buffalo Grove standard is to seek three quotes for all purchases that do not qualify for the
exception rules.
INFORMAL PROPOSAL REQUIREMENTS – PURCHASES BETWEEN $3500.00 & $20,000.00
The informal proposal requirements cover contracts for construction or repair work and contracts
for the purchase or lease-purchase of apparatus, supplies, materials, or equipment involving the
expenditure of $3,500.00 to $20,000.00.
Informal proposals may be obtained by electronic or written submission. No advertisement is
required but it is recommended. The Village of Buffalo Grove standard is to seek at least three
quotes for all purchases that do not qualify for the exception rules.
INFORMAL PURCHASE EXCEPTIONS
Exceptions to obtaining price quotes from more than one vendor should be limited to the following;
1.There are a variety of numerous items in the order, including but limited to maintenance
repair and operational (MRO) supplies and office supplies.
2.Specifications are sufficiently detailed, or the item being sought is highly unique and/or
specialized.
3.Sole source procurement.
Exceptions must be noted with the Purchase Order.
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FORMAL PROCUREMENT REQUIREMENTS
Procurement involving the expenditure of $20,000.00 or more requires Village Board approval.
Exception to this rule is provided for only in the case of emergency and is detailed in the section
titled Emergency Procurement.
COMPETITIVE SEALED BIDS
The formal bidding requirements cover contracts for construction or repair work and contracts for
the purchase or lease-purchase of apparatus, supplies, materials, or equipment involving the
expenditure of more than $20,000.00. Bids should be used where detailed specifications are
available and pricing is of the upmost concern.
A notice to bidders, “Invitation to Bid” must be advertised locally. The advertisement must include:
1. A general description of the service or supplies sought after by the Village of
Buffalo Grove, with details on how to obtain more specific information of those
services/supplies.
2. Notification that only sealed bids shall be reviewed.
3. Bonding and Insurance requirements as might be necessary.
4. Date, time and location of bid opening.
Bid notices should be mailed/e-mailed to Vendors the week the notice is published. Contract
documents should be made available to Vendors in the office of the person authorized to administer
the bid. If copies of contract documents are expensive to reproduce, a fee may be required by the
Village to create those documents.
Pursuant to authority in chapter 2.08 of the Buffalo Grove Municipal Code the Village may utilize
Bids obtained through the Illinois Government Joint Purchase Act (30ILCS 525/0.01)
Bids will be opened at the time and date as advertised on the “Notice to Bidders”. Bids received
after the time and date specified shall not be accepted.
Both Bid Bonds and Bid deposit checks are acceptable methods of providing earnest payment to
show good faith in entering into a Contract with the Village of Buffalo Grove. If the low bidder
chooses not to enter into a contract with the Village, the Village shall reserve the right to retain
those funds.
See Appendix A for more information on the Formal Bid Process.
The requirement for competitive sealed bids may be waived by a two-thirds vote of the Village
Trustees.
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STANDARD FOR AWARDING BID
The standard for awarding contracts is based on the lowest responsive and responsible bidder, or
bidders, taking into consideration quality, performance, and the time specified in the proposals for
the performance of the contracts. If a supplier is recommended who has not quoted the lowest
price, the reasons for selecting the supplier should be documented.
Appendix A. Bid Evaluation and Award, fully details the methods to be used in determing lowest
responsive and responsible bidder.
Single Bids. When only a single bid or quote is received that fact alone shall not prevent the Village
from accepting that bid or quote.
BID/QUOTE RECORDS
The Village must keep a record of all bids/quotes sought, but those records are not subject to public
inspection until the contract has been awarded.
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REQUESTS FOR PROPOSALS
The formal Request for Proposal (RFP) process cover contracts for construction or repair work and
contracts for the purchase or lease-purchase of apparatus, supplies, materials, or equipment
involving the expenditure of $20,000 or more. An RFP should be used in those occasions where the
need for quality or expertise exceeds the concern for pricing. RFP documents will likely include a
section detailing what criteria shall be used to make the selection for the vendor to be awarded the
contract.
A notice to proposers, “Request for Proposal” should be advertised locally. The advertisement
should include:
(a.) A general description of the service or supplies sought after by the Village of Buffalo
Grove, with details on how to obtain more specific information of those services/supplies;
(b.) Notification that only sealed proposals shall be reviewed;
(c.) Bonding and Insurance requirements as might be necessary; and
(d.) Date, time and location Proposals are due.
A Request for Proposal should be mailed/e-mailed to potential Proposers the week the notice is
published. Contract documents should be made available to Proposers in the office of the person
authorized to administer the bid. If copies of contract documents are expensive to reproduce, a fee
may be required by the Village to create those documents.
Proposals will be opened at the time and date as advertised in the Request for Proposal. Proposals
received after the time and date specified shall not be accepted.
Both Bid Bonds and Bid deposit checks are acceptable methods of providing earnest payment to
show good faith in entering into a Contract with the Village of Buffalo Grove. If the low bidder
chooses not to enter into a contract with the Village the Village shall reserve the right to retain
those funds.
See Appendix B. for more information on the Competitive Sealed Proposal process.
REQUEST FOR PROPOSAL
The request for Competitive Sealed Proposals is an exception to the bid process. The reasons for
selection of this method of procurement and the procedures to be followed are set forth in
Appendix B.
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EXCEPTIONS TO BID/ PROCUREMENT REQUIREMENTS
SOLE SOURCE PROCUREMENT
A contract may be awarded for a supply, service, or construction item without competition when,
the Finance Director, Purchasing Manager, or a designee of either determines in writing that there
is only one source for the required supply, service, or construction item. Purchases made in this
fashion in excess of $20,000 must be brought before the Village Board in the form of a request for
Bid Waiver.
EMERGENCY PROCUREMENTS
Notwithstanding any other provision of this Policy, the Village Manager, Finance Director or
Purchasing Manager may make or authorize others to make emergency procurements when there
exists a threat to public health, welfare, or safety under emergency conditions; provided that such
emergency procurements shall be made with such competition as is practicable under the
circumstances.
If emergency purchases are needed during business hours, begin Purchase Order procedures
immediately and contact the Purchasing Manager for Purchase Order approval. When emergency
purchases occur during non business hours, contact the Purchasing Manager immediately the next
business day. A written determination of the basis for the emergency and for the selection of the
particular contractor shall be included in the contract file.
The Village Manager must authorize any emergency procurement for more than $20,000. In such
cases the Village Manager will notify the Corporate Authorities as soon as is practicable of all
emergency procurements that exceed $20,000.
PROFESSIONAL SERVICES
Professional services including but not limited to Accounting, Auditing, Financial, Recruitment,
Employment, Procurement, Information Technology, Legal, Land Survey, Architectural and
Engineering services, are generally procured through a Request for Qualifications followed by or in
conjunction with a Request for Proposals. The Village will award the contract based upon quality,
performance, and the time specified in the proposals for the performance of the contracts.
FUEL PROCUREMENT
Due to the speculative nature of fuel purchases and an ever increasing volatile market, the Village
Manager working in coordination with the Fleet Manager has been authorized by Section 2.08.040
of the Village of Buffalo Grove Municipal Code to make purchases in excess of the bid limit in order
to secure fuel at the best possible price for the Village of Buffalo Grove.
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COOPERATIVE PROCUREMENT
In some cases the Village has an opportunity to purchase through a joint procurement agency. Joint
Procurement cooperatives can save the Village of Buffalo Grove money through collective buying
power. It may also be the case that other agencies have gone through the Bid process for items or
services the Village now seeks. In those cases the Finance Department may recommend that the
Village Board “Accept 3rd Party* Bids for ________ and purchase using a joint procurement agency bid”.
The Illinois State Intergovernmental Cooperation Act (5 ILCS 220) allows for cooperative
procurement.
* 3rd Party includes but is not limited to; the State of Illinois Central Management Services, United
States General Services Administration, Northwest Municipal Conference and the North Suburban
Municipal Partnering Initiative.
Pursuant to authority in chapter 2.08 of the Buffalo Grove Municipal Code the Village may utilize
Bids obtained through the Illinois Government Joint Purchase Act (30 ILCS 525/0.01)
ASSET SHARING POLICY
A subset of Cooperative Procurement is Asset Sharing. The Village of Buffalo Grove is committed to
providing safe, efficient and effective services to the Residents of Buffalo Grove and other external
stakeholder groups through the sharing of assets where appropriate and practical.
It is the policy of the Village of Buffalo Grove to ensure that certain criteria are evaluated when
making capital asset purchases. The administrative guidelines outlined in Appendix J. apply to all
situations where the sharing of assets could be of mutual benefit to those involved and reduce the
overall lifecycle cost of the asset. This Policy shall apply to all departments of the Village and
include such things as vehicles, equipment, trailers, and tools.
The purpose of the Asset Sharing Policy(“Policy”) is to provide the Village of Buffalo Grove staff
with guidelines and directions for acquiring assets that can be shared. The benefit to all parties is a
more effective use of resources, enhanced inter-governmental cooperation, and more efficient use
of taxpayer dollars through cost sharing.
The Policy is designed to be a fluid document and will be modified from time to time to conform to
changes in law, technology and actual practice.
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APPENDIX A
FORMAL BID REQUIREMENTS
THE INVITATION FOR BIDS.
The Invitation for Bids is used to initiate competitive sealed bid procurement.
The Invitation for Bids shall include the following:
1.instructions and information to bidders concerning the bid submission requirements,
including the time and date set for receipt of bids, the address of the office to which bids are
to be delivered, the maximum time for bid acceptance by the Village of Buffalo Grove, and
any other special information;
2.the purchase description, evaluation factors, delivery or performance schedule, and such
inspection and acceptance requirements as are not included in the purchase description;
and
3.the contract terms and conditions, including warranty and bonding or other security
requirements, as applicable.
Incorporation by Reference. The Invitation for Bids may incorporate documents by reference.
Acknowledgement of Addendums. The Invitation for Bids shall require the acknowledgement of the
receipt of all Addendums issued.
BIDDING TIME.
Bidding time is the period of time between the date of distribution of the Invitation for Bids and the
time and date set for receipt of bids. In each case bidding time will be set to provide bidders a
reasonable time to prepare their bids. A minimum of 10 days shall be provided unless a shorter
time is deemed necessary for a particular procurement as determined in writing by the Purchasing
Manager.
BIDDER SUBMISSIONS.
Bid Form. The Invitation for Bids shall provide a form which shall include space in which the bid
price shall be inserted and which the bidder shall sign and submit along with all other necessary
submissions.
BID SAMPLES AND DESCRIPTIVE LITERATURE.
1."Descriptive literature" means information available in the ordinary course of business
which shows the characteristics, construction, or operation of an item which enables the
Village of Buffalo Grove to consider whether the item meets the Village’s needs.
2."Bid sample" means a sample to be furnished by a bidder to show the characteristics of the
item offered in the bid.
3.Bid samples or descriptive literature may be required when it is necessary to evaluate
required characteristics of the items bid.
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4. The Invitation for Bids shall state that bid samples or descriptive literature should not be
submitted unless expressly requested and that, regardless of any attempt by a bidder to
condition the bid, unsolicited bid samples or descriptive literature which are submitted at
the bidder's risk will not be examined or tested, and will not be deemed to vary any of the
provisions of the Invitation for Bids.
PUBLIC NOTICE.
Distribution. Invitations for Bids or Notices of the Availability of Invitations for Bids shall be mailed
or otherwise furnished to a sufficient number of potential bidders for the purpose of securing
competition. Notices of Availability shall indicate where, when, and for how long Invitations for
Bids may be obtained; generally describe the supply, service, or construction desired; and may
contain other appropriate information. Where appropriate the Purchasing Manager may require
payment of a fee or a deposit for the supplying of the Invitation for Bids.
Publication. Every procurement in excess of $20,000 shall be publicized in one or more of the
following ways:
1. in a newspaper of general circulation;
2. in a newspaper of local circulation in the area pertinent to the procurement;
3. in industry media;
4. through electronic mailing lists,
5. through the internet, agency web site, or other publicly accessible electronic media, or
6. in a government publication designed for giving public notice.
Public Availability. A copy of the Invitation for Bids shall be made available for public inspection at
the Purchasing Manager's office or the public information office of such officer's agency.
BIDDERS LISTS.
Purpose. Bidders lists may be compiled to provide the Village of Buffalo Grove with the names of
businesses that may be interested in competing for various types of the Village of Buffalo Grove
contracts. Unless otherwise provided, inclusion or exclusion of the name of a business does not
indicate whether the business is responsible in respect to a particular procurement or otherwise
capable of successfully performing a Village of Buffalo Grove contract.
Public Availability. Names and addresses on bidders lists shall be available for public inspection,
unless an exemption to the Illinois Freedom of Information Act applies.
PRE-BID CONFERENCES.
Pre-bid conferences may be conducted to explain the procurement requirements. They shall
be announced to all prospective bidders known to have received an Invitation for Bids. The
conference should be held long enough after the Invitation for Bids has been issued to allow bidders
to become familiar with it, but sufficiently before bid opening to allow consideration of the
conference results in preparing their bids. Nothing stated at the pre-bid conference shall change the
Invitation for Bids unless a change is made by written addendum.
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ADDENDUMS TO INVITATIONS FOR BIDS.
Form. Addendums to Invitations for Bids shall be identified as such and shall require that the
bidder acknowledge receipt of all Addendums issued. The amendment shall reference the portions
of the Invitation for Bids it amends.
Distribution. Addendums shall be sent to all prospective bidders known to have received an
Invitation for Bids.
Timeliness. Addendums shall be distributed within a reasonable time to allow prospective bidders
to consider them in preparing their bids. If the time and date set for receipt of bids will not permit
such preparation, such time shall be increased to the extent possible in the addendum or, if
necessary, by telephone and confirmed in the addendum.
PRE-OPENING MODIFICATION OR WITHDRAWAL OF BID S.
Procedure. Bids may be modified or withdrawn by written notice received in the office designated
in the Invitation for Bids prior to the time and date set for bid opening. An electronic modification
or withdrawal received from the bidder or, as applicable, the receiving prior to the time and date
set for bid opening will be effective provided that there is objective evidence, in electronic form or
from the receiving company, confirming that the message was received prior to the time and date
set for bid opening.
Disposition of Bid Security. If a bid is withdrawn in accordance with this Section, the bid security, if
any, shall be returned to the bidder.
Records. All documents relating to the modification or withdrawal of bids shall be made a part of
the appropriate procurement file.
LATE BIDS, LATE WITHDRAWALS, AND LATE MODIFICATIONS.
Any bid received after the time and date set for receipt of bids is late. Any withdrawal or
modification of a bid received after the time and date set for opening of bids at the place designated
for opening is late.
Notice. Bidders submitting late bids that will not be considered for award shall be so notified as
soon as practicable.
Records. Records equivalent to those required in the Section titled “Pre-Opening Modification or
Withdrawal of Bids”, shall be made and kept for each late bid, late modification, or late withdrawal.
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RECEIPT, OPENING, AND RECORDING OF BIDS.
Receipt. Upon its receipt, each bid and modification shall be time-stamped but not opened and shall
be stored in a secure place until the time and date set for bid opening. Bids submitted through
electronic means shall be received in such a manner that the time and date of submittal, along with
the contents of such bids shall be securely stored until the time and date set for bid opening.
Opening and Recording. Bids and modifications shall be opened publicly, in the presence of one or
more witnesses, at the time, date, and place designated in the Invitation for Bids. The name of each
bidder, the bid price, and such other information as is deemed appropriate by the Purchasing
Manager, shall be read aloud or otherwise made available. Such information also shall be recorded
at the time of bid opening; that is, the bids shall be tabulated or a bid abstract made. The names and
addresses of witnesses shall also be recorded at the opening. The opened bids shall be available for
public inspection except to the extent the bidder designates trade secrets or other proprietary data
to be confidential as set forth in the Subsection titled “Confidential Data” of this Section, or as
otherwise provided by law. Information marked Confidential shall be readily separable from the bid
in order to facilitate public inspection of the non-confidential portion of the bid. Price, makes and
model or catalogue of the items offered, deliveries, and terms of payment shall be publicly available
at the time of bid opening regardless of any designation to the contrary.
Confidential Data. The Purchasing Manager shall examine the bids to determine the validity of any
requests for nondisclosure of trade secrets and other proprietary data identified in writing. If the
parties do not agree as to the disclosure of data, the Purchasing Manager shall inform the bidders in
writing what portions of the bids will be disclosed and that, the bids will be disclosed. The bids shall
be open to public inspection subject to any continuing prohibition on the disclosure of confidential
data unless subject to an exemption under applicable law.
Proposals and bids are exempt from disclosure until an award or final selection is made pursuant to
5 ILCS 140/7(1)(h).
BID EVALUATION AND AWARD
The standard for awarding contracts is based on the lowest responsive and responsible bidder, or
bidders, taking into consideration quality, performance, and the time specified in the proposals for
the performance of the contracts. If a supplier is recommended who has not quoted the lowest
price, the reasons for selecting the supplier should be documented.
Product Acceptability. The Invitation for Bids shall set forth any evaluation criterion to be used in
determining product acceptability. It may require the submission of bid samples, descriptive
literature, technical data, or other material. It may also provide for accomplishing any of the
following prior to award:
(a) inspection or testing of a product prior to award for such characteristics as quality or
workmanship;
(b) examination of such elements as appearance, finish, taste, or feel; or
(c) other examinations to determine whether it conforms with any other purchase description
requirements.
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The acceptability evaluation is not conducted for the purpose of determining whether one bidder's
item is superior to another but only to determine that a bidder's offering is acceptable as set forth
in the Invitation for Bids. Any bidder's offering which does not meet the acceptability requirements
shall be rejected as nonresponsive.
Determination of Lowest Bidder. Following determination of product acceptability, if any is
required, bids will be evaluated to determine which bidder offers the lowest cost to the Village of
Buffalo Grove in accordance with the evaluation criteria set forth in the Invitation for Bids. Only
objectively measurable criteria which are set forth in the Invitation for Bids shall be applied in
determining the lowest bidder. Examples of such criteria include, but are not limited to,
transportation cost, and ownership or life cycle cost formulas. Evaluation factors need not be
precise predictors of actual future costs, but to the extent possible such evaluation factors shall:
(a) be reasonable estimates based upon information the Village of Buffalo Grove has available
concerning future use; and
(b) treat all bids equitably.
Responsive and Responsible Bidder. In an effort to determine a “Responsive and/or Responsible”
Bidder the Village will take in consideration responses from references provided by Bidders as well
as information as might be solicited from other local municipalities or governmental agencies, in
addition, the following shall be considered when determining whether the bidder is responsive and
responsible:
(a) The ability, capacity and skill of the bidder to perform the contract and to provide the
service required;
(b) Whether the bidder can perform the contract or provide the service promptly, or within the
time specified, without delay or interference;
(c) The character, integrity, reputation, judgment, experience and efficiency of the bidder;
(d) The quality of the performance of previous contracts or services;
(e)The previous and existing compliance by the bidder with laws and ordinances relating to
the contract and service;
(f) The sufficiency of the financial resources and ability of the bidder to perform the contract
or provide the service;
(g) The quality, availability and adaptability of the supplies or contractual services to the
particular use required;
(h) The ability of the bidder to provide future maintenance and service for the use of the
subject of the contract; and
(i) The number and scope of conditions attached to the bid.
Restrictions. Nothing in this Section shall be deemed to permit contract award to a bidder
submitting a higher quality item than that designated in the Invitation for Bids if such bidder is not
also the lowest bidder. Further, this Section does not permit negotiations with any bidder.
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LOW TIE BIDS.
Definition. Low tie bids are low responsive bids from responsible bidders that are identical in price
and which meet all the requirements and criteria set forth in the Invitation for Bids.
Award. Awards shall not be made by drawing lots, or by dividing business among identical bidders.
The Purchasing Manager shall bring before the Village Board a request to reject all Bids and
negotiate with the Low Tie Bidders.
Records shall be made of all Invitations for Bids on which tie bids are received showing at least the
following information:
(a) the identification number of the Invitation for Bids;
(b) the supply, service, or construction item; and
(c) a listing of all the bidders and the prices submitted.
A copy of each such record shall be sent to the Village Clerk’s Office
DOCUMENTATION OF AWARD.
Following award, a record showing the successful bidder shall be made a part of the
procurement file.
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APPENDIX B
COMPETITIVE SEALED PROPOSALS.
Conditions for Use.
(a) A contract may be entered into by competitive sealed proposals when the Purchasing
Manager, Village Manager, the Finance Director, or a designee of any of the foregoing above
determines in writing, , that the use of competitive sealed bidding is either not practicable or not
advantageous to the Village of Buffalo Grove.
(b) Contracts for the design-build, design-build-operate-maintain, or design-build-finance-
operate-maintain project delivery methods shall be entered into by competitive sealed proposals.
REQUEST FOR PROPOSAL S.
Proposals shall be solicited through a Request for Proposals.
Public Notice. Adequate public notice of the Request for Proposals shall be given in the same
manner as provided in Formal Bid Requirements, Public Notice section of Appendix A.
Receipt of Proposals. Proposals shall be opened so as to avoid disclosure of contents to competing
proposers during the process of negotiation. A Register of Proposals shall be prepared and shall be
open for public inspection after contract award.
Evaluation Factors. The Request for Proposals shall state the relative importance of price and other
factors and subfactors, if any.
Discussion with Responsible Proposers and Revisions to Proposals. As provided in the Request for
Proposals, discussions may be conducted with responsible proposers who submit proposals
determined to be reasonably susceptible of being selected for award for the purpose of clarification
to assure full understanding of, and responsiveness to, the solicitation requirements. Proposers
shall be accorded fair and equal treatment with respect to any opportunity for discussion and
revision of proposals, and such revisions may be permitted after submissions and prior to award
for the purpose of obtaining best and final offers. In conducting discussions, there should be no
disclosure of any information derived from proposals submitted by competing proposers.
Award. Award shall be made to the responsive and responsible proposer whose proposal conforms
to the solicitation and is determined in writing to be the most advantageous to the Village of Buffalo
Grove taking into consideration price, reference responses and the evaluation factors set forth in
the Request for Proposals and any related Addendums.
Debriefings. The Purchasing Manager is authorized to provide debriefings that furnish the basis for
the source selection decision and contract award.
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When Competitive Sealed Bidding is Not Practicable. Competitive sealed bidding is not practicable
unless the nature of the procurement permits award to a low bidder who agrees by its bid to
perform without condition or reservation in accordance with the purchase description, delivery or
performance schedule, and all other terms and conditions of the Invitation for Bids. Factors to be
considered in determining whether competitive sealed bidding is not practicable include:
(a) whether the contract needs to be other than a fixed-price type;
(b) whether oral or written discussions may need to be conducted with proposers concerning
technical and price aspects of their proposals;
(c) whether proposers may need to be afforded the opportunity to revise their proposals, including
price;
(d) whether award may need to be based upon a comparative evaluation as stated in the Request
for Proposals of differing price, quality, and contractual factors in order to determine the most
advantageous offering to the Village of Buffalo Grove. Quality factors include technical and
performance capability and the content of the technical proposal; and
(e) whether the primary consideration in determining award may not be price.
When Competitive Sealed Bidding is Not Advantageous. A determination may be made to use
competitive sealed proposals if it is determined that it is not advantageous to the Village of Buffalo
Grove, even though practicable, to use competitive sealed bidding. Factors to be considered in
determining whether competitive sealed bidding is not advantageous include:
(a) if prior procurements indicate that competitive sealed proposals may result in more beneficial
contracts for the Village of Buffalo Grove; and
(b) whether the factors are desirable in conducting a procurement rather than necessary; if they
are, then such factors may be used to support a determination that competitive sealed bidding is
not advantageous.
DETERMINATIONS.
The Village Manager or the Finance Director may make determinations by category of
supply, service, infrastructure facility, or construction item that it is either not practicable or not
advantageous to the Village of Buffalo Grove to procure specified types of supplies, services, or
construction by competitive sealed bidding. Procurements of the specified types of supplies,
services, or construction may then be made by competitive sealed proposals based upon such
determination. The officer who made such determination may modify or revoke it at any time, and
such determination should be reviewed for current applicability from time to time.
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CONTENT OF THE REQUEST FOR PROPOSALS.
The Request for Proposals shall be prepared in accordance with the Invitation for Bids
section in Appendix A of this policy provided that it shall also include:
(a) a statement that discussions may be conducted with proposers who submit proposals
determined to be reasonably susceptible of being selected for award, but that proposals may be
accepted without such discussions; and
(b) a statement of when and how price should be submitted.
(c) a listing of the criteria by which staff will make a selection and recommendation to the Village
Board may also be included.
PROPOSAL PREPARATION TIME.
Proposal preparation time shall be set to provide proposers a reasonable time to prepare
their proposals. A minimum of 10 days shall be provided unless a shorter time is deemed necessary
for a particular procurement as determined in writing by the Purchasing Manager.
FORM OF PROPOSAL.
The manner in which proposals are to be submitted, including any forms for that purpose,
may be designated as a part of the Request for Proposals.
PUBLIC NOTICE.
Public notice shall be given by distributing the Request for Proposals in the same manner
provided for distributing an Invitation for Bids
USE OF BIDDERS LISTS.
Bidders lists compiled and maintained in accordance with the Bidders Lists section of
Appendix A. of this policy may serve as a basis for soliciting competitive sealed proposals.
PRE-PROPOSAL CONFERENCES.
Pre-proposal conferences may be conducted in accordance with the Pre-Bid Conferences
section of Appendix A. Any such conference should be held prior to submission of initial proposals.
ADDENDUMS TO REQUESTS FOR PROPOSALS.
Addendums to Requests for Proposals may be made in accordance with the Addendums to
Invitations for Bids section of Appendix A. prior to submission of proposals.
MODIFICATION OR WITHDRAWAL OF PROPOSALS.
Proposals may be modified or withdrawn prior to the established due date in accordance
with Section the Pre-Opening Modification or Withdrawal of Bids section of Appendix A. For the
purposes of this Section and the Late Proposals, Late Withdrawals, and Late Modifications section
of this Appendix B. the established due date is either the time and date announced for receipt of
proposals or receipt of modifications to proposals, if any; or if discussions have begun, it is the time
and date by which best and final offers must be submitted, provided that only proposers who
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submitted proposals by the time announced for receipt of proposals may submit best and final
offers.
LATE PROPOSALS, LATE WITHDRAWALS, AND LATE MODIFICATIONS.
Any proposal, withdrawal, or modification received after the established due date at the
place designated for receipt of proposals is late. Late Proposals may only be considered in
accordance with the Late Bids, Late Withdrawals, and Late Modifications section of Appendix A. of
this Policy
RECEIPT AND REGISTRATION OF PROPOSALS.
Proposals shall not be opened publicly but shall be opened in the presence of two or more
Village employees. Proposals and modifications shall be time-stamped upon receipt and held in a
secure place until the established due date. After the date established for receipt of proposals, a
Register of Proposals shall be prepared which shall include for all proposals the name of each
proposer, the number of modifications received, if any, and a description sufficient to identify the
supply, service, or construction item offered. The Register of Proposals shall be open to public
inspection only after award of the contract. Proposals and modifications shall be shown only to the
Village of Buffalo Grove personnel having a legitimate interest in them.
EVALUATION OF PROPOSALS.
Evaluation Factors in the Request for Proposals. The Request for Proposals can include the
following evaluation factors (and subfactors), including price, and their relative importance.
Evaluation. The evaluation shall be based on the evaluation factors set forth in the Request for
Proposals.
1. Classifying Proposals. For the purpose of conducting Village staff discussions, proposals
shall be initially classified as:
(a) acceptable;
(b) potentially acceptable, that is, reasonably susceptible of being made
acceptable; or
(c) unacceptable.
2. Proposers whose proposals are unacceptable shall be so notified promptly.
3. Selection Criteria. Proposals will be evaluated by a selection committee made up of Village
staff, which will subsequently present its recommendation to the Buffalo Grove Village
Board. The recommendation for the successful Proposer may be based on the following or
similar criteria, though the weight of each item will vary with the project:
(a) 15 % Proposer’s experience, capacity and capability to provide the
required equipment, installation and training services in a professional,
timely, reliable and secure manner.
(b) 15 % Proposer’s understanding of the Village’s technical requirements and
demonstrated ability to meet or exceed the same.
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(c) 50 % The cost of providing the equipment, installation and training
services.
(d) 10 % Ability to interact productively with Village staff, as required.
(e) 10 % Information obtained through reference checks.
Proposal Discussions/Interviews with Individual Proposers.
"Proposers" Defined. "Proposers" includes only those businesses submitting proposals that are
acceptable or potentially acceptable. The term shall not include businesses who submitted
unacceptable proposals.
Purposes of Discussions. Discussions or Interviews are held to:
(a) promote understanding of the Village of Buffalo Grove’s requirements and the proposers'
proposals; and
(b) facilitate arriving at a contract that will be most advantageous to the Village of Buffalo Grove
taking into consideration price and the other evaluation factors set forth in the Request for
Proposals.
Conduct of Discussions. Proposers shall be accorded fair and equal treatment with respect to any
opportunity for discussions and revisions of proposals. The Purchasing Manager should establish
procedures and schedules for conducting discussions. If during discussions there is a need for any
substantial clarification of or change in the Request for Proposals, the Request shall be amended to
incorporate such clarification or change. Auction techniques (revealing one proposer's price to
another) and disclosure of any information derived from competing proposals are prohibited. Any
substantial oral clarification of a proposal shall be reduced to writing by the proposer.
Best and Final Offers. The Purchasing Manager shall establish a common date and time for the
submission of best and final offers. Best and final offers shall be submitted only once; provided,
however, the Purchasing Manager or the Village Manager may make a written determination that it
is in the Village of Buffalo Grove’s best interest to conduct additional discussions or change the
Village of Buffalo Grove’s requirements and require another submission of best and final offers.
Otherwise, no discussion of or changes in the best and final offers shall be allowed prior to award.
Proposers shall also be informed that if they do not submit a notice of withdrawal or another best
and final offer, their immediate previous offer will be construed as their best and final offer.
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APPENDIX C
VILLAGE OF BUFFALO GROVE PUBLIC CONTRACT STATEMENTS
The Village of Buffalo Grove is required to obtain certain information in the administration and awarding of public contracts. The following Public
Contract Statements shall be executed and notarized.
PUBLIC CONTRACT STATEMENTS
CERTIFICATION OF CONTRACTOR/BIDDER
In order to comply with 720 Illinois Compiled Statutes 5/33 E-1 et seq., the Village of Buffalo Grove requires the following certification be
acknowledged:
The below-signed bidder/contractor hereby certifies that it is not barred from bidding or supplying any goods, services or construction let
by the Village of Buffalo Grove with or without bid, due to any violation of either Section 5/33 E-3 or 5/33 E-4 of Article 33E, Public
Contracts, of the Chapter 720 of the Illinois Compiled Statutes, as amended. This act relates to interference with public contracting, bid
rigging and rotating, kickbacks, and bidding.
CERTIFICATION RELATIVE TO 65 ILCS 5/11-42.1-1
In order to comply with 65 Illinois Complied Statutes 5/11-42.1-1, the Village of Buffalo Grove requires the following certification:
The undersigned does hereby swear and affirm that it is not delinquent in the payment of any tax administered by the Illinois
Department of Revenue unless it is contesting, in accordance with the procedures established by the appropriate revenue Act, its
liability for the tax or the amount of the tax. The undersigned further understands that making a false statement herein: (1) is a Class
A Misdemeanor, and (2) voids the contract and allows the Village to recover all amounts paid to it under the contract.
CONFLICT OF INTEREST
The Village of Buffalo Grove Municipal Code requires the following verification relative to conflict of interest and compliance with general ethics
requirements of the Village:
The undersigned supplier hereby represents and warrants to the Village of Buffalo Grove as a term and condition of acceptance of this
(bid or purchase order) that none of the following Village Officials is either an officer or director of supplier or owns five percent (5%)
or more of the Supplier: the Village President, the members of the Village Board of Trustees, the Village Clerk, the Village Treasurer,
the members of the Zoning Board of Appeals and the Plan Commission, the Village Manager and his Assistant or Assistants, or the
heads of the various departments within the Village.
If the foregoing representation and warranty is inaccurate, state the name of the Village official who either is an officer or director of your
business entity or owns five percent (5%) or more thereof:
(Official)
Print Name of Contractor/Bidder/Supplier
Signature
Title
Subscribed and Sworn to before me this day of , 20___.
Notary Public Notary Expiration Date
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APPENDIX D
CAUSES FOR DEBARMENT
The Purchasing Manager or Finance Director may debar a proposer, bidder, vendor, subcontractor, or
supplier(collectively “Vendor”) for-
(1) Conviction of, or civil judgment for,-
(a) Commission or attempted commission of fraud or a criminal offense in connection with (A)
obtaining, (B) attempting to obtain, or (C) performing a private or public contract or subcontract.
(b) Violation or attempted violation of Federal or State statutes, or any other legally applicable
law, regulation, or rule relating to the submission of bids, proposals, or claims;
(c) Commission or attempted commission of embezzlement, theft, forgery, bribery, falsification
or destruction of records, making false statements, tax evasion, or receiving stolen property; or
(d) Commission or attempted commission of any other offense, or engaging in or attempting to
engage in conduct indicating a lack of truthfulness, veracity, or honesty which affects the
responsibility of the Vendor.
(2) Violation of the terms of a Village contract or subcontract so serious as to justify debarment,
including but not limited to-
(a) Willful failure to perform in accordance with the terms of one or more contracts or
subcontracts;
(b) A history of failure to perform one or more contracts or subcontracts;
(c) A history of unsatisfactory performance of one or more contracts or subcontracts; or
(d) A history of failure to meet prevailing wage obligations, or any other contracting or
subcontracting obligation imposed by the Village of Buffalo Grove Municipal Code or any other
law.
(3) Making or attempting or causing to be made or attempting to cause to be made any false,
deceptive, or fraudulent material statement in any bid, proposal, or application for Village or any
government work or in the performance of any such contract for the Village or a government agency,
or application for any permit or license;
(4) Refusal to cooperate with reasonable requests of Village inspectors, representatives, or other
appropriate Village personnel with respect to work under contract provisions, plans, or specifications,
or otherwise, pursuant to the duties of those Village personnel;
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(5) Founding, establishing or operating an entity in a manner designed to evade the application or
defeat the purpose of these rules or any provision of the Municipal Code of Buffalo Grove, Village of
Buffalo Grove rule or regulation, the statutes, rules or regulations of the State of Illinois, Cook
County, Lake County, or any federal statute, rule or regulation, or any other legally applicable law,
regulation, or rule;
(6) Improper conduct, including but not limited to the commission or attempted commission of;
(a) intentional or negligent billing irregularities;
(b) submitting false or frivolous or exaggerated claims, documents, or records;
(c) falsification of claims, documents, or records;
(d) willful or grossly negligent destruction of documents or records the Vendor had an obligation
to maintain;
(e) bribery or coercion of a government official, or other unlawful tampering with a government
official;
(f) use of false or deceptive statements to obtain some benefit, or causing competition to be
restrained or limited;
(g) misrepresentation to any governmental agency or government official;
(h) violation of ethical standards established by the Village, or other dishonesty incident to
obtaining, prequalifying for, or performing any contract or modification thereof;
(i) violation of ethical standards established by the Village or other dishonesty or incident to
applying, obtaining, qualifying for, or acquiring any Village certification, license, or permit;
(7) Any other cause of so serious or compelling a nature that it affects the responsibility of the
Vendor, including, but not limited to, those specifically enumerated in 65 ILCS 5/8-10-11.
(8) Debarment by any other government agency.
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APPENDIX E
Qualified Vendor
PDF form
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Automated Clearing House
PDF form
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Tax Exempt Letter
PDF Form
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APPENDIX F
PROCUREMENT CARD POLICY
PURPOSE
This policy has been designed to establish the procedures to be used with the Village of Buffalo Grove’s
procurement card program. This policy intends to accomplish the following:
- Establish appropriate internal controls over the purchase card process to ensure cards are only used
for authorized purposes.
- Ensure the Village bears no legal liability from inappropriate use of procurement cards.
- To provide a convenient source of funding for employees who must procure for the Village.
- Verify payments for purchases are made on a timely basis to minimize finance charges.
BACKGROUND
The Village has used various methods to process the purchase of goods and services. Traditional
procurement utilizing a purchase order or check request has worked well in the past for repetitive vendor
invoicing and acquisitions of large ticket items where timing is not critical in the invoicing and payment
process. The concern is the use of petty cash, advanced check requests, or employee reimbursement
requests in the accounts payable process. These non traditional methods of procurement are due
primarily to the timing of the request in light of the next warrant cycle or that the form of payment
(check) is occasionally not accepted by merchants. To promote vendor acceptance, improve operational
efficiency, and tighten the controls on the use of petty cash and advanced checks the Finance
Department is initiating the procurement card program. This program has a number of unique controls
that ensure that the card can be used only for specific purposes and within specific dollar limits.
GENERAL INFORMATION
- The procurement card is a tool for designated Village employees to use when making low-dollar
purchases for official business needs.
- Each purchase card will include both the individual cardholder and corporate name. However the
purchase card issuer will not maintain individual cardholder credit records.
- A signed agreement with the Village prior to receiving the card makes the cardholder responsible for
any misuse of the card. Failure to comply with these procedures will result in revocation of the card
and fraudulent misuse may result in termination of the cardholder.
- Purchase cards must be returned to the Finance Department upon leaving the Village’s employment.
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AUTHORIZATIONS AND SPENDING LIMITS
Each individual’s card will have monthly maximum spending limits. Additional restrictions exist on the
type of purchase each employee can use the purchase card for, based on the employee’s need.
A Procurement Card is NOT:
-a means to avoid appropriate procurement or payment procedures
-a card to access cash or credit (ATM)
-for items and services for personal, non-business use
-for tax reportable services (any vendor that is NOT incorporated is subject to the 1099 reporting
process for each calendar year)
The following list covers purchases for which purchase card use is expressly prohibited:
-Alcoholic Beverages
-Capital Equipment
-Cash Advances (ATM Machines)
-Computer Hardware and Software (with the exception of the IT Department or department
technology liaison)
-Legal Services
-Temporary Help
-Clothing or other personal items
-Telephone calls
RESPONSIBILITIES OF CARDHOLDERS
-The card must NOT be used for personal transactions.
-The card must NOT be loaned to others.
-Splitting of purchases into multiple parts in order to circumvent limits on the card is prohibited.
-The cardholder is responsible for all inappropriate charges.
-The cardholder shall not accept cash in lieu of a credit to the Procurement Card account.
-The card must be kept in a secure location at all times.
-The Village is a tax-exempt entity. Each cardholder should do their best to ensure that the Village is
not charged sales tax.
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DEPARTMENT CARDS
- The card must be kept in a secure location at all times.
- All users must have a signed “Cardholder Agreement for Authorized Use of Purchase Card” on file
in the Finance Department.
REPORTING LOST OR STOLEN CARDS
- Cardholders must notify the Issuing Bank and Finance Department immediately when a card is lost
or stolen.
- Report a lost or stolen card or other emergency situations, by calling the Issuing Bank’s Customer
Service number.
REQUIRED RECEIPT DOCUMENTATION
- Receipts must be obtained with all purchases, identifying the date and itemized list of all purchases.
- Receipts should be attached to a “Record of Purchase Card Use Form” and coded to the appropriate
expenditure/expense accounts. The completed “Record of Purchase Card Use Form” should then
be signed and attached to the billing statement prior to turning it into the Department Director for
review and signature.
- The Department Director is responsible for reviewing all charges and receipts prior to signing the
“Record of Purchase Card Use Form” and delivering all documentation to the Finance Department.
- Forward the signed “Record of Purchase Use Form” with the statement and attached original
receipts, to the Finance Department within five business days of receiving the statement. All late
charges incurred due to cardholder delay in reporting purchases will be charged to that cardholder’s
department.
- Only signed and properly documented payment requisitions will be accepted.
- The Village Manager will review the Village-wide statement prior to payment.
THE FOLLOWING ARE ACCEPTABLE RECEIPTS
- Credit Card Orders: charge slip with only the total does not qualify as an original receipt. A receipt
needs to include an original record of what was purchased. Any exceptions must be documented.
- Pick Up Orders: Attach the detailed cash register receipt.
- Phone/Fax Orders: original invoice or packing slip providing the packing slip shows what was
purchased and pricing
- Internet Orders: Print and attach a copy of the order screen or confirmation screen that shows what
was purchased and the dollar amount.
- Registration Fees: Attach the registration form. The form must show who the registration is for, the
registration amount and what was included in the registration fee.
- Documentation Not Available: If unable to obtain any type of documentation, write the receipt up
by hand. Include the date of the purchase, vendor, items and price. Also attach a brief explanation as
to why the original receipt is not attached. This is the exception rather than the rule, individuals not
obtaining adequate support multiple times may have their card revoked.
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RETURNS, CREDITS OR DISPUTED ITEMS
-Returns: A credit should be issued for any item that the supplier has approved for return. The credit
will appear on a subsequent statement. Any item purchased with the card that is returned must be
returned for credit. Do not accept a refund in cash or check format.
-The cardholder is responsible for following up with the merchant or issuing bank on any erroneous
charges, disputed items or returns as soon as possible. Disputed billings can result from failure to
receive the goods charged, defective merchandise, incorrect amounts, duplicate charges or credit not
processed.
-If you have a problem with a purchased item or a billing resulting from use of the procurement card,
you should first try to reach a resolution with the supplier that provided the item.
-If a disputed charge can not be resolved with the supplier, complete the Cardholder Statement of
Questioned Item Form attached. The written dispute notice must be received by the issuing bank
within 30 days of the date of the bank statement.
-Credits: request from the merchant that a credit be placed on your card account. Obtain a receipt for
the credit like any other purchase documentation.
RESPONSIBILITIES OF FINANCE DEPARTMENT
-Receive and review the Village’s combined billing statement. When the statement is received the
majority of the receipts should already be in to the Finance Department.
-Review information submitted by cardholder. Match receipts with statement of account. All receipts
will be compared to the purchase record submitted by the cardholder.
-Verify purchases are for use in Village business. Sign the cardholder’s payment requisition to certify
that purchases were for Village business purposes.
-Verify travel-related charges have been authorized by the Village Manager.
-Provide monthly statements of accounts to individual cardholders for their records.
-Make payments on a timely basis to ensure the Village does not accrued finance charges.
-If the Finance Department cannot verify that the purchase made was necessary and for official use,
the purchase will be reviewed by the Village Manager. If it is determined the purchase was not
appropriate, then the cardholder must provide a credit voucher proving the items have been returned
for credit or a personal check for the full amount of that purchase.
-Annual inventory of purchase cards: On an annual basis, the Finance Department will verify that
each cardholder is in physical possession of their assigned card.
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Cardholder Agreement for Authorized Use of Purchase Card
1.) I, _____________________________________, have read and do understand the Village’s Procurement
Card Policy.
2) I further agree to abide by the terms and conditions in that policy and understand that
this card is subject to revocation if I fail to act in accordance with the policy.
3) I agree that if I engage in fraudulent activity or violate the terms and conditions of the
Village’s Procurement Card Policy , as amended from time to time, I will fully reimburse the Village
for all such transactions
4) I understand that that if I engage in fraudulent activity or violate the terms and conditions
of the Village’s Procurement Card Policy , as amended from time to time, I will be subject to
disciplinary action that may include termination.
5) Upon my termination or resignation as an employee with the Village, I agree to return
the purchase card to the Finance Department and will not attempt to use the card after my
employment is completed.
Printed name: __________________________________
Signature: _____________________________________
Date: _______________________
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Cardholder Addition or Change Request Form
TO: Finance Department
FROM: _______________________________
SUBJECT: Request for Procurement Card or Change of Status
□Request the following employee by authorized a Village Purchase Card.
□Request the following employee have their Village Purchase Card limit(s) changed.
Full Name: ______________________________________
Signature: _______________________________________
Title:
Single Purchase Limit (Not to exceed $X,XXX.XX): $
Monthly Cycle Limit (Not to exceed $X,XXX.XX): $
□Cancel / Reason:
______________________________________ Date: _________________
Department Director
______________________________________ Date: _________________
Finance Director
______________________________________ Date: __________________
Village Manager
* Merchant Category Code
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Cardholder Statement of Questioned Item
Cardholder name: ________________________________ Date of purchase: __________
(print)
Vendor name: __________________________________________
The following item(s) listed on the billing statement is disputed:
________________________________________________________________________
Reason: Provide information as to why item(s) do not meet your requirements. Indicate actions
requested of merchant, reasons merchant refused to correct dispute, and any other information
that is available to assist the Finance Department to negotiate the dispute:
__________________________________________________________________________________________________________________
__________________________________________________________________________________________________________________
__________________________________________________________________________________________________________________
__________________
Action Requested:
Return item and obtain credit
Exchange for same item
Exchange for different model, brand, etc. – with applicable deduction/increase in cost (this
action will require prior approval from cardholder if cost increase is a result)
Other comments:
_____________________________________________________________________
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VILLAGE OF
BUFFALO GROVE
PROCURMENT CARD POLICY
Record of Purchase Card Use Form
Cardholder name: ______________________________________________________
Description of Purchase Date Account Amount
Ensure all original receipts are attached to this form
Cardholder signature: _______________________________________________
Supervisor signature: ________________________________________________
Date received by Finance Department: _____________________________
Finance Department signature: _____________________________________
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*A receipt for goods purchased, must be attached to this form.
Date Department
Amount of
Reimbursement Requested By
Description of
Expense
Account Number Approved By
Signature
Amount Approved Received By
Signature
APPENDIX G
PETTY CASH REIMBURSEMENT REQUEST
Note: Reimbursements from petty cash cannot exceed $50.00.
Page 555 of 648
APPENDIX H
ADVANCE CHECK REQUEST FORM
Vendor: Date:
Requested By:
Purpose:
Check Amount:
Distribution of Charges:
Account: Amount: Account: Amount:
For use when payment is required in advance of normal accounts payable cycle.
Note: Check Number
Approved By:
_________________________
Page 556 of 648
APPENDIX I
PREVAILING WAGE RIDER
Terms
A. Contractor shall not pay less than the prevailing rates of wages to all laborers, workmen, and
mechanics performing work pursuant to this invitation to bid and shall comply with the requirements of the Illinois
Wages of Employees on Public Works Act (820 ILCS 130/1-12).
B. Contractor shall comply with all applicable laws, regulations and rules promulgated by any
federal, state, local, or other governmental authority or regulatory body pertaining to all aspects of the Work, now in
effect, or which may become in effect during the performance of the Work. The scope of the laws, regulations, and
rules referred to in this paragraph includes, but is in no way limited to, the Illinois Human Rights Act, Illinois Equal
Pay Act of 2003, Occupational Safety & Health Act along with the standards and regulations promulgated pursuant
thereto (including but not limited to those safety requirements involving work on elevated platforms), all forms of
traffic regulations, public utility, Interstate and Intrastate Commerce Commission regulations, Workers’
Compensation Laws, Public Construction Bond Act, Prevailing Wage Laws, Public Works Preference Act, Employment
of Illinois Workers on Public Works Act, USA Security Act, federal Social Security Act (and any of its titles), and any
other law, rule or regulation of the Illinois Department of Labor, Department of Transportation, Illinois
Environmental Protection Act, Illinois Department of Natural Resources, Illinois Department of Human Rights, Human
Rights Commission, EEOC, and the Village of Buffalo Grove.
C. To the fullest extent permitted by law, the Contractor hereby agrees to defend, indemnify
and hold harmless the Village, its officials, agents and employees against all injuries, deaths, loss, damages, claims,
patent claims, suits, liabilities, judgments, cost and expenses, which may in anywise accrue against the Village, its
officials, agents and employees arising in whole or in part or in consequence of the performance of this work by the
Contractor, its employees, or subcontractors, or which may in anywise result therefore, except that arising out of the
sole legal cause of the Village, its agents or employees, the Contractor shall, at its own expense, appear, defend and
pay all charges of attorneys and all costs and other expenses arising therefore or incurred in connections therewith,
and, if any judgment shall be rendered against the Village, its officials, agents and employees in any such action, the
Contractor shall, at its own expense, satisfy and discharge the same. Contractor expressly understands and agrees
that any performance bond or insurance policies required by this contract, or otherwise provided by the Contractor,
shall in no way limit the responsibility to indemnify, keep and save harmless and defend the Village, its officials,
agents and employees as herein provided.
D. In addition to the requirements set forth above, the Contractor (and any subcontractor
into whose subcontract this clause is incorporated) agrees to assume the entire liability for all personal injury claims
suffered by its own employees and waives any limitation of liability defense based upon the Worker's Compensation
Act and cases decided there under. Contractor agrees to indemnify and defend the Village from and against all such
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loss, expense, damage or injury, including reasonable attorneys' fees, which the Village may sustain as a result of
personal injury claims by Contractor’s employees, except to the extent those claims arise as a result of the Village’s
own negligence.
E.Within five (5) business days after the Village’s notice to the Contractor of the Village’s receipt of
a request made pursuant to the Illinois Freedom of Information Act [ILCS 140/1 et seq. – herein “FOIA”], the
Contractor shall furnish all requested records in the Contractor’s possession which are in any manner related to
this Contract, including but not limited to any documentation related to the Village and associated therewith. The
Contractor shall not apply any costs or charge any fees to the Village or any other person, firm or corporation for
its procurement and retrieval of such records in the Contractor’s possession which are sought to be copied or
reviewed in accordance with such FOIA request or requests. The Contractor shall defend, indemnify and hold
harmless the Village including its several departments and including its officers and employees and shall pay all of
the Costs associated with such FOIA request or requests including Costs arising from the Contractor’s failure or
alleged failure to timely furnish such documentation and/or arising from the Contractor’s failure or alleged failure
otherwise to comply with the FOIA, whether or not associated with the Contractor’s and/or the Village’s defense
of any litigation associated therewith. In addition, if the Contractor requests the Village to deny the FOIA request
or any portion thereof by utilizing one or more of the lawful exemptions provided for in the FOIA, the Contractor
shall pay all Costs in connection therewith. As used herein, “in the Contractor’s possession” includes documents in
the possession of any of the Contractor’s officers, agents, employees and/or independent contractors; and “Costs”
includes but is not limited to attorneys fees, witness fees, filing fees and any and all other expenses — whether
incurred by the Village or the Contractor.
F.Sexual Harassment Policy: The Contractor certifies that the firm has a written sexual harassment
policy defining sexual harassment as required in Section 2-105 of the Ill. Human Rights Act. 775 ILCA 5/1-105 et. seq.
G. Tax Payments: The Contractor certifies that the Contractor is not delinquent in the payment of any
tax administered by the Illinois Department of Revenue as set forth in 65 ILCS 5/11-42.1-1.
H. The parties hereto agree that for purposes of any lawsuit(s) between them concerning this rider
or contract, its enforcement, or the subject matter thereof, venue shall be in Circuit Court of Cook County, Cook
County, State of Illinois, and the laws of the State of Illinois shall govern the cause of action.
Accepted by ____________________., on _____________, 2015
Signature
Printed Name & Title
Page 558 of 648
CONTRACTOR’S DRUG-FREE WORKPLACE CERTIFICATION
The undersigned is an authorized representative of
Name of Company: ____________________________________________________________, and certifies that
they will comply with all requirements Pursuant to Chapter 30, Section 580/1 of the Illinois Compiled Statutes (30
ILCS 580/1) et. Seq. entitled "Drug Free Workplace Act"; the undersigned CONTRACTOR hereby certifies to the
contracting agency that it will provide a drug-free workplace by:
1. Publishing a statement:
a. Notifying employees that the unlawful manufacture, distribution, dispensation, possession, or
use of a controlled substance, including cannabis, is prohibited in the grantee's of
CONTRACTOR’S workplace.
b. Specifying the actions that will be taken against employees for violations of such prohibition.
c. Notifying the employee that, as a condition of employment on such contract or grant, the
employee will:
d. Abide by the terms of the statement; and
e. Notify the employer of any criminal drug statute conviction for a violation occurring in the
workplace no later than 5 days after such conviction.
2. Establishing a drug free awareness program to inform employees about:
a. the dangers of drug abuse in the workplace;
b. the grantee's or CONTRACTOR’S policy of maintaining drug free workplace;
c. any available drug counseling, rehabilitation, and employee assistance program; and
d. The penalties that may be imposed upon employees for drug violations.
3. Making it a requirement to give a copy of the statement required by subsection (a) to each employee
engaged in the performance of the contract or grant and to post the statement in a prominent place in
the workplace.
4. Notifying the contracting agency within 10 days after receiving notice under part (B) of paragraph (3) of
subsection (a) from an employee or otherwise receiving actual notice of such conviction.
5. Imposing a sanction on, or requiring the satisfactory participation in a drug assistance or rehabilitation
program by any employee who is so convicted, as required by Section 5 (30 ILCS 580/5) of the Act.
6. Assisting employees in selecting a course of action in the event drug counseling treatment, and
rehabilitation is required and indicating that a trained referral team in place.
7. Making a good faith effort to continue to maintain a drug free workplace through implementation of this
Section.
8. Failure to abide by this certification shall subject the CONTRACTOR to the penalties provided in Section 6
(30 ILCS 580/6) of the Act.
Signed:
Title/Position:
Subscribed and sworn to before me this ___________ day of ____________, 2015
Notary Public:
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NATIONAL SECURITY/USA PATRIOT ACT
Pursuant to the requirements of the USA Patriot Act and applicable Presidential Executive Orders, CONTRACTOR
represents and warrants to the Village of Buffalo Grove that neither it nor any of its principals, shareholders,
members, partners, or affiliates, as applicable, is a person or entity named as a Specially Designated National and
Blocked Person (as defined in Presidential Executive Order 13224) and that it is not acting, directly or indirectly,
for or on behalf of a Specially Designated National and Blocked Person. CONTRACTOR further represents and
warrants to the Village of Buffalo Grove that CONTRACTOR and its principals, shareholders, members, partners, or
affiliates, as applicable, are not, directly or indirectly, engaged in, and are not facilitating, the transactions
contemplated by this Agreement on behalf of any person or entity named as a Specially Designated National and
Blocked Person. CONTRACTOR hereby agrees to defend, indemnify and hold harmless the Village of Buffalo Grove,
its Corporate Authorities, and all Village of Buffalo Grove elected or appointed officials, officers, employees,
agents, representative, engineers, and attorneys, from and against any and all claims, damages, losses, risks,
liabilities, and expenses (including reasonable attorneys’ fees and costs) arising from or related to any breach of
the foregoing representations and warranties.
CONTRACTOR further represents and warrants it is not acting, directly or indirectly, for or on behalf of any person,
group, entity, or nation named by the United States Treasury Department as a Specially Designated National and
Blocked Person, or for or on behalf of any person, group, entity, or nation designated in Presidential Executive
Order 13224 as a person who commits, threatens to commit, or supports terrorism; and that CONTRACTOR is not
engaged in this transaction directly or indirectly on behalf of or facilitating this transaction directly or indirectly on
behalf of, any such person, group, entity, or nation. CONTRACTOR hereby agrees to defend, indemnify, and hold
harmless the Village of Buffalo Grove, its Corporate Authorities, and all Village of Buffalo Grove elected or
appointed officials, officers, employees, agents, representative, engineers, and attorneys, from and against any
and all claims, damages, losses, risks, liabilities, and expenses (including reasonable attorneys’ fees and costs)
arising from or related to any breach of the foregoing representation and warranty.
____________________________
CONTRACTOR
_________________
Date
Page 560 of 648
APPENDIX J
ASSET SHARING POLICY
ASSET SHARING GUIDELINES
A. Objectives
1. Through collaborative efforts between all Village Departments and other external
stakeholder groups (Park District, School District, County Government, etc…), Asset
Sharing initiatives will be used to reduce asset redundancy and save money.
2. To increase collaboration between both internal and external agencies and improve
productivity and organizational understanding.
3. Asset Sharing efforts are limited to local, regional, state and federal taxing bodies
only, except as provided for specific outside groups with the approval of the Village
Manager or designee.
B. Asset Sharing Considerations
Once an asset has been determined to be in need of replacement, the requesting department should
follow the process outlined below as part of its regular evaluation. (This process would apply to
new additions to the asset inventory as well).
1. Identify potential sharing partners.
a. Can the asset be shared with another department within the Village or
outside agency?
b. Is the sharing of the asset appropriate and practical with type of asset and
the department/agency for which it will be shared?
c. Will the proposed partner be willing to share equally, or in part, the cost of
the asset being purchased as well as the long-term operational cost once acquired?
2. Once a determination has been made that asset sharing is appropriate and practical,
and the parties have agreed to participate in such an engagement, an Intergovernmental
Agreement (IGA), Letter of Understanding (LOA) or some other written agreement should
be drafted or reviewed by the Village Attorney
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3.The agreement should clearly identify the responsibilities of the parties with respect
to:
a.Acquisition cost
b.Who will perform the maintenance
c.Maintenance costs allocation
d.Storage
e.Use and scheduling
f.Accounting and budgeting
g.Decommissioning and sale of the asset
h.Other operational considerations.
4.Village department directors will be responsible for ensuring that this policy is
communicated to all employees, particularly those with purchasing authority.
Page 562 of 648
Village of Buffalo Grove
A Financial Assessment of General Fund
Revenues and Expenditures
Village of Buffalo Grove - General Fund
Financial Forecast
FY 2018 – FY 2022
Page 563 of 648
The Five-Year Operating Forecast takes a forward look at the Village’s General Fund’s fund
revenues and expenditures. The primary objective of the forecast is to provide the Village
Board and related stakeholders with an early financial assessment and identify significant issues
that should be addressed in the budget development process. For the purposes of constructing
the forecast, operating revenues are measured against operating expenditures without
including any prior period fund balance to subsidize revenue.
The goals of the forecast are to assess the Village’s ability, over the next five years, to m aintain
current service levels based on projected revenue growth. As
part of the analysis to measure future sustainability is
ensuring proper funding of reserves is available for vehicles,
buildings, storm water infrastructure and technology. The
assessment analyzes the capacity to fund capital projects and
restore unassigned fund balance reserves to ultimately reach
a balance that will cover four and a half months of
expenditures (35%).
It is important to stress that this forecast is not a budget. It
does not dictate expenditure decisions; rather it identifies
the need to prioritize allocations of Village resources. The
forecast sets the stage for the budget process and aids both
staff and the President and Board of Trustees in establishing priorities and allocating resources
appropriately.
As a governmental entity, changes in strategy that involve service delivery should be slow and
methodical. The forecast provides a snapshot of the Village’s fiscal health based on numerous
assumptions over the next five years. The forecast is a planning tool and should be considered
fluid in its construction. As new significant data or trends emerge, the document will be
revised, at minimum, on an annual basis.
The intent of the Five-
Year Operating Forecast
is to evaluate resource
allocations to ensure the
proper funding levels for
services, capital,
infrastructure, and
maintaining reserves.
OVERVIEW AND SUMMARY
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FORECAST METHODOLOGIES AND ASSUMPTIONS
REVENUES
The General Fund is the main operating fund and accounts for the core and support services
provided by the Village including public safety (police & fire), public works, community
development, and administration. All major discretionary revenues such as property tax, sales
tax, income tax, telecommunication, and utility use tax are accounted for within the General
Fund. Other revenues sources would include licensing, fees for service, interest income and
fines. The Finance Department works with departments responsible for administering the
service and/or collecting the associated revenue to develop program revenues.
EXPENDITURES
Expenditures assumed in the forecast are based on the current service level or funding required
to maintain today’s level of recurring service. Final audited 2016 expenditures set the baseline
for analysis blended with estimates through the first half of FY 2017. The General Fund is the
primary focus of the forecast as it represents about 50 percent of the total Village Budget. The
second largest Village Fund is the Water and Sewer Fund accounting for 24 percent of the total
budget. A twenty-year funding analysis is completed annually for that enterprise activity.
In the absence of any known service level modifications, the forecast assumes the continuation
of current service levels and the costs projected over five years. Revenues are estimated based
on anticipated growth and do not consider increases in revenues generated by new fees or
increases in fees, new development, and/or charges beyond what is prescribed by current
ordinance.
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ECONOMIC OUTLOOK
In the development of a long-term financial forecast, the Village reviews external and internal
factors that could impact the either the collection of revenue or the price of acquiring goods or
providing services. Evaluating how the regional impact of the national economy (macro)
influences the local economy (micro) is an important step in the process.
The national economy affects both state and local economies, although this impact varies by
jurisdiction and may actually have an inverse effect on a community. Some of the economic
indicators the Village uses in the financial analysis include; inflation, stock market returns,
employment, housing starts, vehicle sales, interest rates, and manufacturing activity.
ECONOMIC INDICATORS - NATIONAL
Inflation – The Consumer Price Index (CPI) commonly referred to as the inflation rate, measures
the average price change for a market basket of consumer goods and services. The Bureau of
Labor Statistics classifies each expenditure item in the basket into more than 200 categories
cataloged into eight major groups. The Consumer Price Index is used as the inflationary factor
for specific non-personnel services.
As inflation goes up, the cost of goods sold go up, increasing retail sales tax revenue. As prices
rise, so will business income tax receipts. Conversely, the Village will have to pay more for
goods and services. The most recent (March 2017) Consumer Price Index is at 1.96 percent,
Capital projects use the Construction Cost Index which is 4.3 percent (December 2016).
Stock Market Returns – Stock market returns are a leading indicator and will change before the
economy changes. Approximately 56 percent of all Village pension funds are invested in mutual
funds and/or individual stocks. The performance of the stock market is a significant factor in
determining the growth of the property tax levy for pensions. When investment performance
does not attain the 7 percent annual earnings benchmark, there is additional pressure on the
tax levy to make up the difference.
Employment – Retail and vehicle sales tend to have inverse relationships with the
unemployment rate. Sales tend to move in the opposite direction of the unemployment rate.
Chronic unemployment often spills over into the residential real estate market resulting in lost
real estate transfer tax revenue.
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Housing starts - This indicator provides a sense of the overall demand for housing, which can be
indicative of local housing activity. Data maintained by local realtor groups is useful in
projecting the future of market recoveries.
Vehicle sales – Sales and use tax revenues tend to fall with vehicle sales, which are heavily
dependent upon both employment and interest rates. However, if increases in new vehicles are
expected to reduce the value of used vehicles, the sales and use tax base can actually decline if
the depreciation of used vehicles is not equally offset by the value of new vehicles.
Interest rates – The interest rate impacts the Village's revenues in several ways. First,
investment income will be affected by interest rates. Second, the availability and cost of capital
directly affect business expansion and retail purchases. As credit is extended and/or rates are
lowered, revolving purchases may increase, thereby increasing development plans and retail
sales and, by extension, sales tax, and business licenses revenues.
Manufacturing activity – If a Village has a large manufacturing sector, the ISM (Institute of
Supply Management Index) becomes a significant factor in revenue analysis and forecasting.
Manufacturers respond to the demand for their products by increasing production and building
up inventories to meet the demand. The increased production often requires new workers,
which lower unemployment figures and can stimulate the local economy.
ECONOMIC INDICATORS - LOCAL
Although national economic indicators do have some trickle-down impact on the Village
Budget, there are regional and local economic factors that have a direct influence over
revenues and expenditures. Some of those factors that have been considered moving into the
next five-year update include;
Impact of the Real Estate Market and Assessed Valuations. Assessed values for taxable
property are finally posting positive growth after six years of decline. Lake County
properties values grew by 6.72 percent, in FY 2016, representing the largest annual
increase since 2005. Cook County grew by 20.9 percent after the triennial property
reassessment. That was the largest annual percentage increase since 1989.
State of Illinois Budget Crisis. The State of Illinois continues to function without a
budget. Staff continues to monitor legislative discussions that could have a direct
financial impact on Village revenues.
Impact of Employer Pension Costs. The tax levies for the three pension systems account
for about 40 percent of the property tax levy. Additional pressure on the tax levy to
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support growing pension costs will impact the ability to increase taxes for core services.
The pension funds will continue to rely on a strong equity market to attain its
investment actuarial benchmark of 7 percent.
Health Care Inflation. After wages, health care cost are the single largest expenditure
category in the fund and the Village continually reviews the structure of the plan to try
to limit the amount of growth on an annual basis. The Village is a member of the
Intergovernmental Personnel Benefits Cooperative (IPBC). This insurance pool helps to
dilute risk and helps to leverage purchasing power.
Commercial/Retail Development. The economy’s impact on existing sales tax generators
as well as development or redevelopment of Dundee, Milwaukee Road corridors and
Lake Cook Corridors. The Village has embarked on a Lake Cook Corridor study to
evaluate the opportunities that redevelopment may have on the Village economy.
Infrastructure. The ability to keep pace with the maintenance needs of Village owned
assets continues to be a significant financial challenge.
Listed below is the five-year update to the General Fund Forecast. The remainder of the report
will describe the methodologies used to develop both revenues and expenditures.
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GENERAL FUND FIVE-YEAR FORECAST
Revenue 2018 2019 2020 2021 2022 Growth
Property Taxes 14,940,027 15,313,528 15,696,366 16,088,775 16,490,995 1.025
Income & Use Taxes 5,040,000 5,166,000 5,295,150 5,427,529 5,563,217 1.025
State Sales Tax 5,754,794 6,369,890 6,997,288 7,637,233 7,789,978 1.02
Home Rule Sales Tax 3,613,540 3,685,811 3,759,527 3,834,718 3,911,412 1.02
Real Estate Transfer Tax 1,000,000 1,030,000 1,060,900 1,092,727 1,125,509 1.03
Telecommunications Tax 1,513,000 1,513,000 1,513,000 1,513,000 1,513,000 1.00
Prepared Food and Beverage Tax 746,000 793,380 817,181 841,697 866,948 1.03
Utility Tax-Electric/Natural Gas 2,683,000 2,709,830 2,736,928 2,764,298 2,791,941 1.01
Licenses 291,600 291,600 291,600 291,600 291,600 1.00
Building Revenue & Fees 1,020,000 1,030,200 1,040,502 1,050,907 1,061,416 1.01
Intergovernmental Revenue-Local 270,956 276,375 281,902 287,540 293,291 1.02
Fines & Fees-Police & Fire 1,700,000 1,700,000 1,700,000 1,700,000 1,700,000 1.00
Storm Water Management Fees 1,152,000 1,200,000 1,200,000 1,200,000 1,200,000 1.00
Operating Transfers 901,000 901,000 901,000 901,000 901,000 1.00
Miscellaneous Revenue 1,520,414 1,535,618 1,550,974 1,566,484 1,582,148 1.01
Total Revenues 42,146,331 43,516,231 44,842,319 46,197,507 47,082,455
Annual Increase 3.3% 3.0% 3.0% 1.9%
Expenditures 2018 2019 2020 2021 2022 Growth
Personal Services 20,295,521 21,107,342 21,951,636 22,829,701 23,742,889 1.04
Personal Benefits 10,597,685 11,021,592 11,462,456 11,920,954 12,397,793 1.04
Operating Expenses 2,621,368 2,673,795 2,727,271 2,781,817 2,837,453 1.02
Insurance & Legal Services 1,235,770 1,285,201 1,336,609 1,390,073 1,445,676 1.04
Commodities 450,000 461,250 472,781 484,601 496,716 1.025
Maintenance & Repairs 2,969,172 3,043,401 3,119,486 3,197,473 3,277,410 1.025
Capital Outlay 446,000 457,150 468,579 480,293 492,301 1.025
All Other Expenses 450,000 461,250 472,781 484,601 496,716 1.025
Total Expenditures 39,065,516 40,510,982 42,011,599 43,569,513 45,186,953
Operating Surplus/(Deficit) 3,080,815 3,005,249 2,830,719 2,627,994 1,895,501
Annual Increase 3.7% 3.7% 3.7% 3.7%
Transfers 2018 2019 2020 2021 2022
Capital Reserve - Vehicles 800,000 800,000 800,000 800,000 800,000
Capital Reserve - Facilities 300,000 300,000 300,000 300,000 300,000
Capital Reserve - Technology 100,000 100,000 100,000 100,000 100,000
Capital Reserve – Storm Water 250,000 250,000 250,000 250,000 250,000
Motor Fuel Tax 722,708 737,162 751,905 766,944 782,282
Capital Improvement Plan 1,392,568 1,213,158 2,572,000 2,614,100 600,000
Total Transfers 3,565,276 3,400,320 4,773,905 4,831,044 2,832,282
Total Fund Surplus/(Deficit) (484,461) (395,071) (1,943,186) (2,203,049) (936,781)
Page 569 of 648
FORECAST STRUCTURE
The forecast provides two levels of analysis. The first level is to show the General Fund’s ability
to meet day-to-day expenditures. The highlighted row designated as Operating Surplus/
(Deficit) is an indicator of whether anticipated revenues support operating expenditures. In all
five years of the forecast, revenues will support current services. This is a measure of short-
term sustainability.
The second level of the analysis includes transfers for capital projects and infrastructure
reserves. Long term sustainability is measured through the Village’s ability to invest in
infrastructure including funding reserves for vehicles, buildings, equipment, technology, streets
(though Motor Fuel Tax), and projects in the Capital Improvement Plan. Commitments to lo ng-
term capital programs are identified under "General Fund Transfers – Projected.” All projects
submitted for inclusion in the FY 2017-2021 have been added to this report. After including
these transfers, the total fund surplus at the end of FY 2017 is estimated to be nearly $.04
million.
One of the financial indices the bond rating houses (Standard & Poors and Moody’s Investor
Services) cite as the reason for the current AAA bond rating is the low level of debt. The current
budgeting strategy is to try and fully fund capital reserve programs in order to remain on a pay-
as-you-go basis of capital asset financing. If reserve amounts are depleted, or inadequately
funded, staff will need to consider debt financing for future expenditures.
A continued commitment to properly funding capital will require a continued commitment to
economic development and building the sales tax base.
RESERVES
The General Fund Fund Balance Reserve Policy sets forth a minimum unassigned reserve level
of 25 percent of the subsequent year’s budget (less capital funding and reserve transfers).
Within the adopted Strategic Priorities is a goal of reestablishing a 35 percent threshold by the
end of FY 2017.
It is important to maintain a strong reserve level for several reasons, (1) it provides more time
to react and respond to revenue threats created by economic conditions, (2) it helps to better
withstand any unfunded legislative mandates that will create additional expenditure obligations
without corresponding revenue, and (3) to fund unforeseen infrastructure/capital asset costs.
Spending down of prior period reserve balances allows the Village time to reallocate resources
within the budget and restructure service levels to react to the fiscal environment. After
drawing down on the balance to respond to emergency conditions, it is important to rebuild
Page 570 of 648
those reserves in order to remain flexible to respond to the next threat. Fund balance should
never be used to support day-to-day operations. Absent an unforeseen economic crisis, the use
of reserves to support operating expenditures represents a budget that is structurally
unbalanced.
The following chart provides a history of fund balance reserves and includes estimates for the
current fiscal year and the five forecasted years using the assumptions in the financial forecast.
The red line on the graph represents the fund balance policy minimum of 25 percent less
pension and capital transfers. In FY 2016, the policy minimum is adjusted to 35 percent to be
consistent with Village Strategic Priorities. At the conclusion of the last audited fiscal year
(2016) unassigned fund balance represents 34.9 percent of the operating expenses of the FY
2017 Budget. Based upon the five-year analysis, if all capital and reserve transfers are made the
35 percent target will not be attained.
$0
$5
$10
$15
$20
Mi
l
l
i
o
n
s
Unassigned Fund Balance General Fund
Page 571 of 648
GENERAL FUND REVENUES
Approximately 85 percent of all General Fund revenue is generated from seven revenue
sources including property tax, combined sales tax including prepared food and beverage,
income and use tax, telecommunications tax, utility (natural gas & electricity) use tax and real
estate transfer tax.
Almost half of the Village’s major revenue sources are elastic. Elastic revenues are those
sources that tend to fluctuate with the economy. A balance between elastic and inelastic
revenue is desired as a hedge against market volatility. General Fund revenues considered
elastic include: sales and use taxes, income taxes, telecommunications tax, real estate transfer
tax, building revenue and fees, and investment income. The property tax is an example of a
non-elastic source of revenue as collections are stable and predictable.
With the tenuous financial condition of the State of Illinois, the Village continues to seek to be
less reliant on state-shared revenues (income, base sales, and telecommunication taxes) and
align core services with taxes/fees under local home rule control.
PROPERTY TAX
There are three components to the Village’s property tax levy. The first component is the
Corporate Levy. This levy helps to fund public safety (police and fire) operations. The growth in
the corporate levy is tied to inflation. The second component is the Debt Service Levy. This levy
covers the principal and interest payment on outstanding debt issuances. The last component is
the special purpose/pension levies.
The tax levies for the three pension funds (Police, Firefighters, and IMRF) are calculated by
independent actuaries. The levies are structured to cover the normal cost of the pension, an
amortized annual amount of the unfunded actuarial liability, and the interest cost on that
liability. Unfunded liability grows when actuarial assumptions are not met (interest rate) or
when legislative changes (Springfield) are enacted that modifies benefits. Those legislative
changes are deemed to be unfunded liabilities.
Each year the Village determines its levy amount. Since debt service payments are mandatory
as are pension contributions, the amount of control the Village has over the tax levy is limited
to the Corporate Levy.
Future ability to raise property tax revenue to support General Fund operations is challenging
as the corporate levy must compete for tax dollars with pension and debt service levies. In
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2003, levies for pensions accounted for 32.1 percent of the tax extension. In the most recent
tax year (2016), pensions represent 38 percent of property tax.
The chart below shows how property tax dollars are allocated.
Property Tax Dollar Distribution
The levy request is then applied to the equalized assessed value of all property within the
Village to determine a tax rate. Assuming the same tax levy amount, if the values go up the rate
goes down and conversely the rate goes up if the values decline.
The total equalized assessed value of property in Buffalo Grove is $1,556,226,496. Over the last
ten years, property values have averaged a 3.12 percent annual decline in Cook County and
1.41 percent annual decline in Lake County. Growth in the tax base returned in 2016. The more
new properties that are added to the tax base the lower the tax burden on all property owners.
Listed below is a history of equalized assessed valuations since 2008.
Corporate Levy -
Public Safety
55%
Pension Levies
38%
Debt Service Levy
7%
Page 573 of 648
Equalized Assessed Valuation
SALES TAX
Inflation sets the growth baseline for both the base (2%) and home rule sales taxes (2%).
Combined, this is the second largest revenue source for the Village. The base sales tax revenue
is directly related to the dollar value of sales made within the Village. Home rule sales tax
applies to the same transactions as the base sales tax except in the following transactions, food
for human consumption off the premises where sold (groceries), prescription and non-
prescription medicines and tangible personal property that is titled with an agency of the State
of Illinois.
The assumption for the five-year analysis is that the retail mix will remain substantially similar
to what is present today with the exception of new retailers where development plans are
approved. The forecast applied to both base and home rule sales tax produces the following;
0
200
400
600
800
1,000
1,200
1,400
1,600
1,800
2,000
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
Mi
l
l
i
o
n
s
Equalized Assessed Valuation
Cook County Total EAV Lake Couty
Page 574 of 648
Base Sales Tax
Home Rule Sales Tax
The Village strives to diversify its retail tax base so that no one sector is overly exposed to
economic and/or demand fluctuations. The following chart reflects the Illinois Department of
Revenue Standard Industry Codes (SIC) for sales tax remitted to the Village.
$0
$1,000
$2,000
$3,000
$4,000
$5,000
$6,000
$7,000
$8,000
$9,000
Th
o
u
s
a
n
d
s
$0
$500
$1,000
$1,500
$2,000
$2,500
$3,000
$3,500
$4,000
$4,500
Th
o
u
s
a
n
d
s
Page 575 of 648
RETAIL SALES TAX B Y SECTOR
INCOME TAX
The Illinois income tax is imposed on every individual, corporation, trust, and estate earning or
receiving income. The tax is calculated by multiplying net income by a flat rate. The current
rate is five percent of net income. The rate reverted to 3.75 percent beginning January 1, 2015,
to December 31, 2024. The rate will then reduce to 3.25 percent starting on January 1, 2025.
The formula for distribution for local governments was 10 percent of the revenue, allocated on
a per capita basis when the rate was 3 percent. When the state rate increased to 5 percent, the
increase was not included in the distribution making the effective per capita distribution to
municipalities six percent.
The Village’s unemployment rate as of May 2017 is 4.4 percent. The largest occupation sector is
within management, business, and finance at 14.83 percent of the workforce. The forecast
accounts for 2.5 percent growth each year through the duration of the forecast. The chart
below shows the performance of the income and use tax since FY 2007.
General
Merchandise, 0.08%
Food, 14.94%
Drinking and Eating
Places, 9.36%
Apparel, 0.93%
Furniture & H.H. &
Radio, 3.19%
Lumber, Bldge,
Hardware, 14.93%
Automotive & Filling
Stations, 9.90%
Drugs & Misc. Retail,
28.47%
Agriculture & All
Others, 15.63%
Manufacturers,
2.56%
Page 576 of 648
Income & Use Tax
PREPARED FOOD AND BEVERAGE TAX
This tax (1%) was adopted in 2008 and is levied on the purchase of prepared food for
immediate consumption and the sale of liquor. Similar to sales tax, inflationary growth is the
central driver of revenue increases with five-year increases projected at two percent annually.
109 establishments charge and remit this tax to the Village. The following chart shows the
growth of the revenue since inception.
Prepared Food and Beverage Tax
$0
$1,000
$2,000
$3,000
$4,000
$5,000
$6,000
Th
o
u
s
a
n
d
s
$200,000
$300,000
$400,000
$500,000
$600,000
$700,000
$800,000
$900,000
$1,000,000
Page 577 of 648
TELECOMMUNICATIONS TAX
This tax is levied at 6 percent on all types of telecommunications except for digital subscriber
lines (DSL) purchased, used, or sold by a provider of internet service (effective July 1, 2008). The
exemption of DSL service has made a significant impact on collections. Recent legislation has
also mandated that data packages no longer be bundled with all other telecommunications
billing for the sake of taxation. Those services have been exempted. This revenue is down 39
percent from the peak in FY 2007. The forecast calls for no change over the remainder of the
plan.
Telecommunications Tax
UTILITY USE TAX (NATURAL G AS & ELECTRICITY)
Natural gas and electricity charges are based on consumption and fluctuate with seasonal
demands. The Village is charging the highest statutory rate. Growth is projected over the next
five years to be one percent annually. Any new growth will be predicated on adding square
footage to houses or buildings and offset by more energy efficient construction and mechanical
systems.
REAL ESTATE TRANSFER TAX
Real estate transfer tax is collected at the rate of $3 per $1,000 of sales consideration. This
revenue reached a peak in 2005 at $1.3 million. There has been a recovery in sales since the
market reached a bottom in FY 2012. Traditional sales are increasing as well as the number of
$0
$500
$1,000
$1,500
$2,000
$2,500
$3,000
Th
o
u
s
a
n
d
s
Page 578 of 648
high-value commercial transactions. One extraordinary commercial transaction occurred in FY
2016 that was valued at $48.5 million. The sale of that stamp represented over 10 percent of
the total revenue.
Based upon the chart below (provided by Realtor.com), the median days on market is the
lowest in the last three years future reflecting a strengthening housing market.
Real Estate Transfer Tax
$0
$200
$400
$600
$800
$1,000
$1,200
Th
o
u
s
a
n
d
s
Page 579 of 648
EXPENDITURE REVIEW
The average annual increase in operating expenditures over the next five years is 3.7 percent.
In each of the next five years, wages and benefits account for about 73 percent of all
expenditures. The next largest expenditure account group is for maintenance and repairs (7
percent). For FY 2018 the distribution of General Fund expenditures is shown in the table
below.
EXPENDITURE DISTRIBUTION
PERSONAL SERVICES
Wages are anticipated to increase by a factor of 4 percent each year. The wage forecast
anticipates the general wage increases plus merit-based pay range adjustments. The forecast
does not anticipate any retirement incentives during the period. If one is offered, the forecast
will need to be adjusted to reflect the impact of retirements.
Over half of the workforce is covered by collective bargaining agreements and the Village has
less flexibility when addressing wages with those units in the police and fire departments.
Personnel levels have decreased significantly since 2010 as a result of the Village’s previous VSI
programs combined with reorganization strategies. Full-time staffing is at 212 employees or
11.9 percent less than staffing levels six years ago. It is anticipated that three new positions will
be created based on operational needs the forecast and have been added into the calculations
beginning in FY 2018.
48%
25%
6%
3%
1% 7%
1%
1% 3% 2%
3% Personal Services
Personal Benefits
Operating Expenses
Insurance & Legal
Commodities
Maintenance & Repairs
Capital Outlay
All Other Expenses
Capital Reserve Transfers
Motor Fuel Tax
Capital Improvement Plan
Page 580 of 648
A major initiative in FY 2015 was to establish a pay for performance system that will allow
employees to move through their pay ranges. A merit wage pool is included in the FY 2018
Budget and managed by the Human Resources Department. The ability to advance employees
through their pay range based upon performance is critical in maintaining an effective and
motivated workforce.
PERSONAL B ENEFITS
The largest single expenditure within Personal Benefits is for health insurance. The Village is a
member of the Intergovernmental Professional Benefits Cooperative (IPBC). As a member of
IPBC, the Village is better able to stabilize medical costs through risk pooling and provide a
mechanism to help establish positive cash flow and rebuild reserves. The forecast calls for 4
percent growth each year in premium expenses.
The employees’ contribution is set at 15 percent of the premium in FY 2018. Continued efforts
will be made to maintain costs. A renewed emphasis on wellness programs and evaluating data
will be critical in the next few years to help stabilize experience. It is anticipated that there will
be a significant amount of plan design challenge to control costs. Those changes may include
incentive components for switching plans, elimination of a high-cost hybrid PPO plan, and/or
the intuition of a high deductible plan offering.
Beginning in FY 2014, employer pension obligations for police and firefighters are classified
under Personal Benefits instead of all other expenses and the Illinois Municipal Retirement
Fund has been closed. Employer pension costs have been assigned to each operatin g
department budget. The intent of the change was to better represent the true cost of providing
a specific service. Employer pension obligations are anticipated to be $6.4 million in 2018 or
14.5 percent of the General Fund Budget.
In FY 2016, Moody’s Investor Services met with the Village to review financial performance
since the final quarter of 2014. Although the Aaa was affirmed, the Village was issued a
negative outlook. The negative outlook was driven by external factors including the lack of a
State of Illinois Budget and internal factors related to pension funding levels. Moody’s did
acknowledge that the Village continues to make 100 percent of its statutory contributions and
has remitted approximately $1.1 million in excess of actuarially determined levy amounts. The
concern that Moody’s articulated is that, despite the Village’s contributions, unfunded actuarial
accrued liabilities (UAAL) are growing. In order to mitigate the growth in the UAAL, the Village
will evaluate options to link a supplemental source of revenue to supplement tax levy
contributions.
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INSURANCE
Within the Insurance category is the premium paid for general liability and workers’
compensation coverage. In FY 2016, the Village moved from Intergovernmental Risk
Management Pool (IRMA) for general liability and workers’ compensation coverage to a fully
insured stand-alone program. The reason for the change was to establish a risk premium
structure that is more commensurate with the Village's service profile and asset values. The
intent is to move to a fully self-insured model by the end of the five-year forecast.
The deductible was raised in FY 2016 from $25,000 to $50,000 due to worker’s compensation
experience. The forecast assumes growth of 4 percent as recent claims experience will factor
into the rolling five-year claims experience modifier. With a change to the fully insured plan, the
Village should be able to be a more active partner in the management of workers comp claims
and future litigation.
COMMODITIES
The single largest expenditure within the Commodity account group is for purchase of salt for
the snow and ice control program. The forecast calls for increases of 2.5 percent per annum.
Staff continues to seek innovative ways to reduce commodity costs, such as bulk electric
procurement and utilizing centralized purchasing to leverage the Village's buying power.
MAINTENANCE & REPAIR
Expenditure growth in this account group is estimated to be 2.5 percent per year. Included in
these expenditures are costs related to the maintenance and repair of sidewalks and bike
paths, street patching, streetlights, building facilities, vehicles, and parkway trees. Included in
these costs are Internal Service Chargebacks for Central Garage and Building Maintenance
expenditures.
Page 582 of 648
GENERAL FUND TRANSFERS
Capital Reserves
Included in the transfers are $7.3 million for vehicles, technology, storm water, and building
reserves over the next five years. If the Village intends to continue with a pay-as-you-go
approach to acquiring vehicles and technology infrastructure and repairing facilities, then these
transfers must be programmed.
It should be noted that the reserve amount for facilities is the bare minimum to address various
maintenance needs and does not provide enough funding for major repairs including roof
replacements, purchase of mechanical systems and/or functional remodeling.
Capital Projects
There is $12.13 million in capital projects scheduled for completion during the five-year
forecast. The projects are taken from the current Capital Improvement Plan (CIP) and the
details of those projects are included in the FY 2017 annual budget. The amount of the transfer
does not include all of the costs necessary to address the entire street maintenance program.
The Village must continue to look at external debt financing to supplement state shared Motor
Fuel Tax revenues.
FINANCIAL RESULTS
Operating Budget
In each of the five years, revenues cover operating expenses and the budgets are anticipated to
be in balance. Predicted revenues provide an operational surplus of 6.4 percent. That means
that revenues can fall short of budget expectations by up to 6.4 percent without the budget
going into deficit for day-to-day functions.
Impact of Transfers and Capital Projects
After including amounts necessary for reserves and capital, there is a shortfall every year of the
forecast. This is anticipated and adjustments can be made to address funding levels. It is
important to note that reducing amounts spent on capital should not be viewed as budget cuts
(or savings) rather it is a conscious decision to defer spending to future years. The liability still
exists. Reserve spending needs to be reviewed in the same light.
While efforts will continue to focus on how to deliver the same high level of services at lower
unit costs, staff recognizes that revenues will also need to be reviewed. Every opportunity to
grow the sales tax base should continue to be considered. Staff must ensure that revenues are
Page 583 of 648
reviewed for adequacy (fees), efficiency (collections), and efficacy (diversified). New revenue
sources should be researched, discussed, and if warranted, presented to the Village Board for
consideration.
This report will be used as a guide for the development of the FY 2017 Budget and will help
shape the discussion about how the Village adapts to the current and future financial
landscape. Staff seeks further input from the Village Board on the operating forecast.
Page 584 of 648
FIXED ASSET AND CAPI TAL EQUIPMENT CAPITA LIZATION
Purpose and Overview:
The government’s role is to provide services to its citizens and as part of that duty, a responsibility
exists to maintain stewardship over the resources that are used to provide those services.
Control over fixed assets is necessary to ensure that these assets are used properly and
efficiently. Appropriate systems and procedures will be established and revised from time-to-
time in order to be assured that assets are adequately controlled.
The purpose of recording the general fixed assets of the Village is primarily for stewardship
purposes, in order to provide for physical and dollar control, and for an accounting of general
governmental capital planning and acquisitions over the years. In addition, generally accepted
accounting principles as they apply to public entities require the inclusion of financial data
regarding fixed and general asset accounting within the Village’s Comprehensive Annual
Financial Report.
Assets included within a fixed asset control system should possess the following attributes:
1. They must be tangible
2. Have a useful life of greater than one year
3. Be of a "significant" dollar value
The general purpose given to recording fixed and general assets is to facilitate the protective
custody of the property. A good system permits the fixation of responsibility of custody and for
the proper use of specific assets within the using department(s). The taking of an actual physical
inventory on a regular basis can increase the control capabilities of the Village’s system and
help insure overall integrity. Other purposes usually cited for asset control is:
1. Insuring assets for risk management purposes
2. Centralizing asset documentation and reporting systems
3. Developing estimates for asset replacement purposes
4. Allowing for completeness of financial statements
5. Providing for management of fixed assets regarding acquisition, declaration of
surplus and disposition.
The end purpose of this Policy will be to provide a guide to the organization, inventory and
reporting of data for the Village of Buffalo Grove’s Fixed and General Asset Management
System.
Asset Control Policy:
The following will apply regarding asset control policies for the Village of Buffalo Grove:
1. All assets acquired by the Village will be recorded within the Fixed Asset Management
System maintained within Lotus Notes as an independent database. Assets to be
controlled should be acquired as a capital acquisition and possess a significant value.
The minimum value for control purposes will be $10,000 per individual piece of
equipment. Equipment carrying a value less than $10,000 will be accounted for
internally based the type of asset and upon the discretion of the Department Director.
The capitalization threshold for capital construction and/or infrastructure improvements
will be $25,000.
2. The cost of the asset will include the actual purchase price plus any other additional
charges incurred to put the asset into service. Absent any data on original cost, a
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realistic estimate will be used. New capital construction will be value as the sum of all
charges and costs to put the asset into service.
3.Responsibility for all asset control will be assigned to the individual department. All
changes in the inventory for whatever reason must be reported by that department.
4.The system will be maintained by the Department of Finance and General Services but
will be available within the MIS network within Lotus Notes as a read-only database.
Finance will input new acquisitions as well as deletions and transfers. The status of all
assets will be posted through an Inventory Control Record.
5.The department initiating an acquisition, deletion or transfer of an asset should notify the
Finance Department of these events. Changes to the database will be initiated as
appropriate.
6.All asset acquisitions should be by purchase order unless they are for assets donated or
contributed to the Village. All deletions/retirements will be declared surplus by
ordinance. Such ordinances will be prepared by the Finance Department.
7.All asset acquisitions will be identified, when appropriate, with tags provided by the
Finance Department. Tags will be affixed to the asset acquired by department
personnel.
8.At a minimum once per year, an inventory will be conducted of all general fixed assets.
This will be prior to the conclusion of the fiscal year and will be used for posting to the
Village’s financial records and for preparation of any surplus declaration.
9.Any final inventory values will be considered the official financial record of the Village
subject to independent review and audit.
Costing of General Fixed Assets:
General fixed assets should be recorded at their original cost; if original cost is unknown, an
estimate will be acceptable if reasonable and customary for similar assets. As stated, an asset
that is to be included within the inventory should have a significant value. The significant value
test is mostly subjective, and accordingly, it is necessary to exercise some level of judgment in
determining which items should be treated as controlled assets. The judgment will be minimized
when controls are improved when capitalization policies are in place and accepted.
Maintaining the System:
Accounting for additions can be accomplished through several methods. Data from
purchasing records for all assets that are quantified are to be noted on the departmental
requisition/purchase order for identification and entry into the database. Accounting for
deletions can be more difficult because of trade-ins, transfers, retirements, loss or strip downs for
spare parts. The database will be considered the primary link between the individual asset and
the general ledger fixed asset accounts. It should be possible to reconcile the detail in the fixed
asset database with the general ledger control account(s). The basic elements to be included
as part of the asset record will be as follows:
Description of the asset
Model and serial numbers
Date acquired/deleted/changed
Purchasing department as well as location of the asset
Estimated useful life
Cost, purchase order number, vendor
Asset control number
Date, method and authorization for disposition
Other information may be requested, as is determined necessary to maintain the control system.
Page 586 of 648
Once the asset control system is in place and operational, it will be necessary to perform
periodic reviews to determine whether the system has been properly established, supported and
functioning. The objective of an inventory is to determine if the assets are still in service, on-hand
and to make any corrective actions as soon as possible. In addition to what is assumed would
be a full departmental inventory, periodic review can consist of any of the following:
1. Reconciling the asset control ledgers to the Village’s general ledger
2. Tracing a random sample of assets from the database to the physical location of
assets
3. Taking the database list and tracing a random sample of entries to actual assets
Tagging of Assets:
There will be two primary considerations when a decision is made to tag an asset. First, is it
important to identify this individual asset from another of a similar kind? Will records need to be
changed each time the asset moves to a new location of is retired? If the answer is yes to both
questions, the assets should and will be tagged.
Inventory control numbers will be assigned in consecutive order without regard to type of asset
or location. The use of a permanent number (unless lost and replaced) permits control over an
asset throughout its useful life regardless of status until such asset is retired or disposed of. Once
an asset is disposed, the number will be retired and not reissued. Placement location will be left
to the discretion of the department. Ideally, tags will be placed where they are accessible and
not subject to defacement or marring by normal activity.
Inventory Control Record:
Anytime the status of an asset is affected, the Inventory Control Record (attached) must be
completed by the initiating department. With an acquisition, the Record will be prepared by
the Department of Finance and General Services although this does not preclude a purchasing
department from preparing a Record in the case of a donation or acquisition that may be
occur. With an acquisition, a copy of the Record will be returned to the purchasing department
with an assigned control tag.
Amendments and Adoptions to current Village of Buffalo Grove Policies:
The policies in the budget document are all reflective of their current, board approved, versions.
Policies and procedures are examined by staff annually, in some cases they may be looked
more frequently depending on the demands of the residents, department efficiencies, or market
demands. Any changes that are proposed by staff and presented to the board for approval
are done so in a manner that they are a standalone amendment to the current ordinance. No
policy and procedure shall be passed through the adoption of a larger document, such as the
budget or comprehensive annual financial report. Staff will clearly present the proposed
amendments to, or adoption of, any policy changes and additions. Each item will be presented
as a single item to ensure a transparent explanation of what is requested and the intended
outcome of the request.
Revenue Collection Policy
1. Purpose
The purpose of this document is to serve as a guide to identify major revenue sources, the
method of collection, and the process of improving compliance rates. The ability of Village
to influence the success of collection is discussed with each category.
Page 587 of 648
2.Scope
The scope of this document will be to explore all defined and ordinary revenue streams of
the Village. Revenues will be identified by category, which will correspond directly to the
budget document. Within each category a discussion of each type or similar type revenue
will be addressed. This document will not discuss each revenue line item in the budget, nor
will it go in depth about miscellaneous one time or non-recurring revenue.
3.Overview
Listed below is an overview of each revenue category that includes a short synopsis of the
system of collection of major revenues and the influence the Village has on the collection of
the revenue. It also includes a collection plan to improve collection of the revenue.
Page 588 of 648
4. Revenue Sources
4.1 Real Estate Taxes
Real estate property tax revenues are one of the most stable as collections
typically exceed ninety-nine percent of the amount levied each year. Once the
counties are directed to extend the levy, the Village has no ability to either
control the timing of the tax bill mailings or the collection of the amount due. The
counties control the revenue distribution dates to the Village. The counties do
add late fees to late payments. In the event the property tax is not collected
from a parcel the property will be sold at a judicial sale to recoup the amount
owed.
The Village does have an option to allow each county to overextend the levy to
offset loss in collections. Lake County allows for an over-extension of two percent
on the debt service levies. Cook County allows for an overextension of three
percent on corporate purpose and pension levies and five percent on debt
service levies. Historically, with strong rates of collection, the Village opts out of
the over-extension option through resolution.
4.2 Utility Billing Enterprise
The Village directly bills all water utility customers for the amount of water
consumed and for a storm water management fee. The storm water fee is
charged as a flat amount to residential properties and based upon square
footage for commercial/industrial properties. In order to create efficiencies in
billing, the Village also bills all Lake County sanitary sewer fees to Lake County
properties.
Over ninety-three percent of the water billing revenue due is paid on time. The
entire Village is billed over a two month period. Commercial, industrial and
multifamily properties are billing monthly. Lake County single family households
are billed on odd months and Cook County single family households are billed on
even months.
The Village uses a combination of penalties including late fees and service
interruption fees to reduce the number of delinquent service accounts.
Late fees are assessed to service accounts that fail to pay the amount due by the
due date. Water utility customers have approximately twenty-one days to pay
the Village. The late fee is charged at a rate of 1.5 percent per month on the
balance due.
For those accounts that fall into delinquency past sixty days, the account is
subject to be shut off. A warning notice is mailed to the service address with the
date of the impending service interruption. Once the water is turned off, the
customer must pay a service interruption charge to reinstate service.
At any point in the billing and collection process, up to water being shut off, a
resident can enter into a payment plan for past due balances. Upon a successful
Page 589 of 648
completion of the terms of the plan, the customer will avoid losing water service.
A utility customer is limited to one payment plan arrangement per year.
All customers are required to pay the entire water bill balance, current and
outstanding, before a real estate transfer tax stamp is issued.
4.3 State Taxes
The State is responsible for collecting and remitted base sales taxes (1%), home
rule sales tax (1%), income and use tax (per capita), telecommunications tax (6%)
and motor fuel tax (per capita). Enforcement of revenue collection is handled by
the Illinois Department of Revenue (IDOR). Payments are made to the village on a
monthly basis. Staff monitors the IDOR website to ensure timely remittances from
the State of Illinois.
4.4 Locally Collected Taxes/Fees
The Village collects certain tax revenues, defined by state or local ordinance,
directly from the taxpayer. These types of taxes include natural gas ($.05/therm),
electricity (sliding usage scale – maximum by statute), and cable franchise (5%).
The finance department currently monitors these taxes on a monthly basis for the
utility taxes and bi-monthly for the cable franchise fees.
Upon a new property being established in the Village, that address is forwarded
to the utility companies including, ComEd, NiCOR or Northshore Gas, Comcast
and/or AT&T to establish tax collections. Staff is provided with an annual list of
accounts by the utility companies to cross reference with the Village’s GIS data.
4.5 Village Imposed Taxes
The Village imposes taxes related to locally generated revenue from specific
businesses. These taxes are defined by ordinance. These taxes include prepared
food and beverage tax(1%) and hotel/motel tax (5%). Staff reviews the State of
Illinois tax filings (ST-1) to compare to the amount paid to the Village. The Village
requires state tax documentation to be remitted with the payment of these taxes
for auditing purposes.
The Village reserves the right to audit a businesses’ tax records if staff determines
that the business may either be underreporting taxable income or not submitting
taxes on a timely basis.
Real estate transfer taxes ($3/$1,000 sales consideration) are collected when
homes are sold. The real estate transfer tax stamp will not be issued unless all
obligations owed the Village are satisfied.
4.6 Licensing Fees
Business, tobacco, liquor, vending machine, chauffer, alarm, and pet licenses are
minor revenue sources and renew annually. The major licensing efforts are for
business licenses that are due January 1st and liquor licenses due May 1st when
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the renewal period ends the Community Development will send the inspector out
to ensure those businesses that did not renew, or the new businesses that did not
obtain the proper licenses are no longer conducting business. Businesses found
to be without the appropriate licensing will be closed until the license fee and all
associated fines for operating without a license are paid.
Gaining compliance for pet licensing is a perennial challenge. For animal
licensing, the Village will attempt to work with the counties to obtain rabies
certificate data. Those residences with a pet that received a rabies inoculation ,
but did not purchase an animal tag, will receive a notice about the Village
ordinance requiring a tag.
4.7 Community Development Revenue and Fees
Building development, engineering, contractor registration, plan review, filing,
inspection, and permits fees are easy to collect based upon the conditional
nature of the fee. Without the payment of the fee work cannot proceed. The
Community Development Department performs random inspections of
neighborhoods to ensure all work is being completed under permit and to the
specifications of adopted building codes. To improve compliance, the Village
doubles the cost of permit fees when work is completed without a permit.
4.8 Fines and Administrative Fees
Fines and administrative fees are an important revenue into the Village of Buffalo
Grove. Certain line items like accident reports, impounding fees, DUI assessments,
subpoena fees, and bail fees have a high rate of collection because the user has
a direct need as a result of paying those fees. Other items Village ordinance
fines, false alarm fees, and paramedic services are more volatile. Paramedic
Service fees are collected less than billed due to insurance reductions and in
some cases the timeliness is stretched out over a long period of time due to the
fact that users do not pay and these fees are ultimately collected through a
collection agency or written off.
Village ordinance fines are more difficult to collect. There is an escalating penalty
based on the length a ticket remains unpaid. There are also two programs in
place to recapture unpaid fines. One was mentioned previously, a resident
cannot sell a home until all financial obligations are met The second program is
the Village’s participation in the Illinois Debt Recovery Program. This program
collects any debt due the Village through a garnishment from the debtors pay
check or tax refund. This will be an additional part of the regular collection
process for the Village of Buffalo Grove. After the debt has been outstanding for
seven years it is no longer eligible for the Illinois debt recovery program it will be
sent to a collection agency to be recouped.
The Village also collects a portion of tickets that go to Cook and Lake County.
The Village adopted an Administrative Adjudication Program. Local ordinance
violations are sent to administrative adjudication to be heard. Upon the
Page 591 of 648
disposition of the hearing, the adjudicate must pay the fine prior to leaving
Village Hall.
4.9 Golf Revenues
The Village owns and operates two 18 hole golf courses. Fees are charges to play
daily golf, use the driving range, to obtain a membership, and purchase
merchandise. Collection rates are not an issue as a service or product is not
received without payment.
Both golf courses are home to restaurant facilities that are required to pay rent for
use of the Village owned facilities. Both tenants currently pay 5 percent of the
net earnings from their restaurant operations back to the village. The funds are
due by the 15th of the concurring month. The rent payment is to be
accompanied by the state of Illinois sales tax submission document to ensure the
appropriate amount is paid to the Village as an internal audit of the process.
Within the lease agreement is the option for Village staff to inspect financial
records.
Page 592 of 648
4.10 Investment Income
The Village has implemented a strategy of purchasing A+ or higher municipal
step bonds and other securities backed by FDIC, insurance, or the full faith in
credit of the United States Government. The terms will be staggered to take
advantage of better interest rates on longer term investments, while concurrently
investing in short term ventures that yield a competitive term and make funds
available as the Village needs them based on the cash flow analysis completed
by the finance department. The collection of this revenue is highly reliable and
therefore there is no plan to improve collections.
The Village will look for opportunities to increase revenue by continuous reviewing
collection patterns of revenue and examine methods to increase the compliance rates.
The policy will be reviewed annually and amended with new sources of revenue and/or
changes in the strategies to collect the revenue.
Page 593 of 648
Page 594 of 648
Page 1 of 5
VILLAGE OF
BUFFALO GROVE
TO: Dane C. Bragg, Village Manager
FROM: Scott D. Anderson, Finance Director
DATE: May 26, 2017
RE: FY 2017 – Water Fund 20 Year Pro Forma Annual Update
System Status Update
In FY 2017, the combined Village water and sewer rate was increased by four percent. The intent of
the rate is to match the true cost of the system (operating, capital, depreciation, and reserve costs)
with the consumption fees assessed to water customers. In determining the adequacy of the rate,
the Twenty-Year Water Fund Proforma is updated to provide either a justification for the current rate
or a recommendation to modify the water rate ordinance.
A review of the audited 2016 Water Fund performance results in the following;
The cash and investment balance is $2.97 million – an increase of $.3 million.
The fund generated a surplus of $.6 million. The previous year was a deficit of $1 million.
Total gallons billed were 1.24 billion (proforma estimate – 1.31 billion) an increase of 8.2
percent over the previous year. Almost half of the increase was generated during July (40
million gallons).
The rate increase in the current year was $.23, increasingthe water rate from $5.69/1,000 gallons to
$5.91/1,000 gallons.
Rate and Consumption History
The Village maintained a water and sewer rate of $1.80/1,000 gallons for a period of twenty-three
years (1983-2005). One significant reason leading to this period of rate stability was due to the age of
the water and sewer infrastructure. During the peak growth decades of the 1980’s and 1990’s,
developers donated approximately 53 percent of the water and sewer system assets. Through a
combination of minimal capital expenses, receipt of building and development fees, coupled with a
period of growing water consumption, the Water Fund was able to generate strong cash reserves to
allow for a strategy of pay-as-you-go financing for future infrastructure repair. Funding for future
infrastructure replacement (funding depreciation) was never a component of the rate structure.
Beginning in 2003, a pattern of declining water usage started. In 2002, 1.63 billion gallons of water
were billed. In 2016, 1.24 billion gallons were billed, a decrease of 23 percent. There is no
expectation that the amount of water billed will reach those levels again absent a significant drought
or the addition of heavy industrial uses.
The following chart shows the annual gallons billed since 2008.
Page 595 of 648
Page 2 of 5
Even with the decline, the Water Fund was able to cover its operating expenses and generate a small
surplus each year until 2006. A rate recommendation was made to increase the rate by 33 percent to
$2.40/1,000 gallons effective January 1, 2007. The increase stabilized the fund but did not start
building additional cash reserves for future asset replacement. A second rate increase of 25 percent
to $3.00/1,000 was implemented for 2010. Again, the increase helped to ensure that water sales
would offset operating expenditures. The next increase was to $4.05/1,000 or 35 percent in FY 2013
and the most recent increase to $5.47/1,000 or 4 percent. The new rates begin the process of
developing a fully loaded water rate that will fund operating, capital and infrastructure reserve
demands.
Consumption is trending higher beginning in FY 2016. Although weather played a factor, the
replacement of all water meters in 2016 has generated a plannedincremental increase in billed
consumption. It was estimated that the average inefficiencies in metering, due to corrosion in aging
meters, was about 2.5 percent. That assumption appears to be accurate. It will be easier to evaluate
at the end of FY 2017 as the conversion occurred the first half of 2016. Non-summer months will
need to be reviewed year-over-year as there is little fluctuation in demand during non summer
months.
Factors that continue to impact water usage include weather, conservation, mature landscaping and
more efficient appliances. The Village’s philosophy on establishing an infrastructure reserve is to cash
finance system replacement over the long term.
It is estimated in the study that the current fiscal year will close at 1.27 billion gallons billed. The
analysis uses an estimate of 1.3 billion gallons and will carry forward through the next 20 years.
Although there will be an increase in total consumers over the next two decades, continued
conservation efforts could partially counterbalance that growth.
Water Fund Financials
During the high growth years of the water system, the Water and Sewer Fund was able to amass a
cash balance that allowed for a reserve to address infrastructure maintenance and improvement.
Due to the relative age of the system, over a fifteen year span (1993-2007) the only capital expense
was $229,527 for the St. Mary’s Road water main replacement. Since 2008, $6.3 million in
infrastructure repairs and improvements has been spent. That does not include the $6 million in
water meter replacement costs. The meter replacement costs were funded through an installment
100,000
300,000
500,000
700,000
900,000
1,100,000
1,300,000
1,500,000
1,700,000
2008 2009 2010 2011 2012 2013 2014 2015 2016
Annual Gallons Billed (in thousands)
Page 596 of 648
Page 3 of 5
note the will be retired in 2030. In FY 2017, it is anticipated that another $2.1 million will be invested
in system infrastructure.
On the attached financial analysis, staff has presented a twenty-year estimate of revenues, operating
expenses, Capital expenses, and Operating Transfers. Revenues include all building fees and billed
amounts for water consumption. Operating expenses are those expenses related to the day-to-day
activities such as wholesale water purchase, labor and materials, and energy costs. Capital expenses
are those amounts spent to repair or improve capital assets and infrastructure. Operating transfers
are amounts paid to reimburse the General Fund for expenditures related to Water Fund activities.
Working cash represents 25 percent of operating expenses. Once the working cash balance reaches
the 25 percent threshold, remaining funds are then allocated as the ‘net reserve’ that is available for
capital and infrastructure spending. At the end of FY 2017, working cash is anticipated to be $1.3
million and the net reserve is $1.6 million. Those funds support an enterprise system valued at $.5
billion.
The following chart shows the impact of the current rate structure (with 4% inflationary increases
beginning FY 2017) on the fund’s cash position.
The Water Fund remains in a precarious financial position for the next few years. Any significant
unanticipated repairs will deplete the working cash and reserve balances. There is a cluster of
significant capital repairs in FY 2026-2029 that will put the fund in deficit. This is the fifty-year mark
of the construction boom in the 1980’s. The infrastructure will be near the end of its useful life.
The cash flow generated by the current rate structure will continue to support minor system repairs.
Any significant capital improvements that address large sections of main and/or replacement of lift
stations will likely require another souce of funding.
Water and Sewer System Assets
The utility system consists of 181 linear miles of water and sewer main. The value of the water main
alone in today’s dollars is approximately $200 million. The service life of the infrastructure ranges
from 50 years for cast iron main to 75 years for ductile iron. The replacement cost of the entire
system (water and sewer main, lift stations) at the end of the 20-year study, inflated at 3% per year,
(8,000,000)
(6,000,000)
(4,000,000)
(2,000,000)
-
2,000,000
4,000,000
6,000,000
8,000,000
Cash Position
Net Reserve Required Working Cash*
Page 597 of 648
Page 4 of 5
is $700 million. The assumption used for replacing any future water mains is that on any given year
where sections of the system have reached the end of their useful life 25% of the system will be
replaced. For instance, a water main constructed in 1966 has a replacement cost of about $372,000;
we forecasted that $94,000 in repairs would occur in FY 2017. This cost estimate compensates for
the improbability that the entire section will be replaced. The estimates reflect rolling replacements
where in certain instances only sections are repaired. Another factor for consideration is that the
replacement cost includes a curb-to-curb street reconstruction. About 50 percent of that expense
will be charged to the Capital Projects Street Fund or the Motor Fuel Tax Fund.
Within the straight-line depreciation calculation beginning with the oldest main constructed in 1929,
the first replacement should have occurred in 1979. Approximately $18 million in water mains have
‘expired’ but have not needed to be repaired. Estimating the actual asset life at times is more
abstract than qualitative. Pipe that is ensconced in stable soil and subjected to consistent water
pressure may have a service life that may double an engineering estimate, and conversely, weak soils
or pressure fluctuations may reduce the life by many years.
The following chart shows the pattern of construction of water main since 1929.
During the thirteen years spanning 1983-1996, almost 50% of the water system was constructed.
Fortunately, during those years, the more resilient ductile iron was used. The cost of that original
installation was paid by developers as specified within development agreements.
The age distribution of the water main leads to the cost estimates to replace the system noted in the
graph presented below:
0
20,000
40,000
60,000
80,000
19
2
9
19
5
8
19
6
0
19
6
2
19
6
6
19
6
8
19
7
0
19
7
2
19
7
4
19
7
6
19
7
8
19
8
0
19
8
2
19
8
4
19
8
6
19
8
8
19
9
0
19
9
2
19
9
4
19
9
6
19
9
8
20
0
0
20
0
2
20
0
4
20
0
6
20
0
8
20
1
0
Water Main Construction
in linear feet
$0
$20,000,000
$40,000,000
$60,000,000
$80,000,000
$100,000,000
20
2
0
20
3
0
20
4
0
20
5
0
20
6
0
20
7
0
20
8
0
20
9
0
Projected Infrastructure Replacement
Page 598 of 648
Page 5 of 5
Replacement costs begin to ramp up in the 2060s and 2070s as main installed during the peak
construction years reaches seventy years of age.
Water main is only one component of the delivery system. Other assets include the sanitary sewer
main, lift stations, and booster stations. The sanitary sewer mains have roughly the same total
mileage as the water main. The service life of the sewer mains should be significantly higher than
water mains as they are not subjected to pressure. Since the Village does not treat waste, there are
no treatment facilities to fund. For the purpose of the pro forma, the FY 2017-2021 Capital
Improvement Plan was added to the calculation. Beyond 2018, a flat amount is budgeted each year
to address sanitary sewer system and lift station repairs.
Water Rate Recommendations
Each year staff reviews the financial condition of the fund to determine the adequacy of current
rates. The rate is set by ordinance to increase in FY 2018 by 4 percent annually. There are no
changes recommended with this update.
The impact of infrastructure maintenance costs and the related strain on the water and sewer fund is
not unique to the Village of Buffalo Grove. All communities to varying degrees are challenged on how
to maintain and protect their system assets. A proper rate structure is the first step to ensuring that
the fund will have the resources available to maintain the integrity of the system.
Staff recommends reviewing the tap on fees for adequacy for 2018. There is the potential for
significant redevelopment and the fees need to cover the cost of material and labor to make the
connection. This will require an independent analysis from a consulting firm.
In the future, in the future, staff will present recommendations to institute a minimum usage for
billing. Residents who consume no water still should share fixed costs related to maintaining the
enterprise infrastructure.
Page 599 of 648
Page 1 of 4
VILLAGE OF
BUFFALO GROVE
TO: Dane C. Bragg, Village Manager
FROM: Mike Reynolds, Director of Public Works
DATE: May 30, 2017
RE: FY 2017 – Stormwater Fund 20 Year Pro Forma Annual Update
As part of the 2012 Strategic Planning process, the Village Board directed staff to investigate the
feasibility of implementing a Storm Water Utility Fee in Buffalo Grove. Presentations were made at the
March 3, 2014, July 20, 2015, and September 24, 2015, Committee of the Whole meetings. The Village
Board ratified staff's recommendation to enact a Storm Water Utility Fee on October 19, 2015, and the
new fee became effective on January 1, 2016.
Rate and Revenue Discussion
Base Fee Calculation: Staff proposed a tiered approach based upon a base fee per parcel square footage
value. Using the impervious data provided by GIS, the base fee was determined based upon the total
parcel square footage of all parcels within the Village that contain impervious surfaces such as buildings,
driveways and parking lots, and the funds required to maintain and update the stormwater system. This
resulted in a base fee of $0.006950 per square foot, which is the fee currently in place.
Tiered Fee Structure: The fee is applied to all parcels within the village that have impervious surface
using a tiered approach. The tiers are as follows:
Tier 1 - Single Family Residence Attached & Detached (fixed fee)
$0.006950 x Median Lot Size (8,771.66 square footage) = Annual Fee ($60.96)
Tier 2 - Multi-Family & Commercial / Industrial / Government/Non-Profit (calculated fee)
$0.006950 x Property Square Footage = Annual Fee (varies as calculated)
Fiscal year 2016 closed with revenues at 1.1 million, roughly 8.6% under expected revenues. This should
balance out in future years since this was the first year for the fund. Other variances include re-
classification of certain parcels, variances in the Lake and Cook County property databases, delinquent
accounts, and accounts where the correct property owner has yet to be determined. The analysis uses a
revenue estimate of 1.2 million dollars through 2036.
Stormwater Fund Financials
On the attached financial analysis (Attachment A), staff has presented an estimate of revenues,
operating expenses, Capital expenses and Operating Transfers through 2036 (20 years). Revenues
include stormwater grant funding (where applicable) and revenue amounts for the Stormwater fee.
Operating expenses are those expenses related to the day-to-day activities such as labor, equipment,
materials, and other costs associated with system operations. Capital expenses are those amounts
spent to repair or improve capital assets and infrastructure. Operating transfers are amounts received
Page 600 of 648
Page 2 of 4
from, or paid to the General Fund for expenditures related to Stormwater Fund activities. Ending cash
represents the fund balance available for capital projects. At the end of FY 2017, ending cash is
anticipated to be $729,000. Those funds are intended to support an enterprise system valued at $.25
billion. A summary of the 20-year fund performance is provided below.
Operating costs include 3% increases annually. In order to hold the “Reserve for Infrastructure” line
item at $250,000 annually, Capital replacement costs include 4% increases each year to address storm
sewer system repairs. While the Stormwater Fund appears to be solid through 2027, any significant
unanticipated repairs will deplete the working cash and reserve balances. The Board should consider a
rate increase beginning in 2021 to keep the fund solvent.
Stormwater System Assets
The stormwater system consists of 189 linear miles of stormwater pipe, 11.3 miles of ditches, streams,
and creeks, 39 (81 acres) detention/retention basins, 1 lift station, and thousands of structures. Public
Works and GIS staff continues to refine the program and inventory the stormwater system assets. Once
the inventory is complete and the GIS system has been updated, we will have a much clearer picture of
the system and the expected capital replacement requirements.
The value of the stormwater assets in the Village's portfolio in today’s dollars is approximately $250
million. The service life of the infrastructure can range from 50 years to 100 years. The replacement
cost of the entire system at the end of the 20-year study, inflated at 3% per year, is $452 million. The
original assumption used for future Stormwater replacements is that the system will have an 80-year life
and capital replacement would consist of 25% of the amortized value in any given year. However, we
have found that the 25% replacement value is not entirely accurate, particularly when we are trying to
combine this work with road and/or watermain projects in any given area. Based upon this,
consideration should be given to raising the replacement criteria to 50%. The cost estimate
-$7,000,000
-$6,000,000
-$5,000,000
-$4,000,000
-$3,000,000
-$2,000,000
-$1,000,000
$0
$1,000,000
$2,000,000
$3,000,000
20
1
7
20
1
8
20
1
9
20
2
0
20
2
1
20
2
2
20
2
3
20
2
4
20
2
5
20
2
6
20
2
7
20
2
8
20
2
9
20
3
0
20
3
1
20
3
2
20
3
3
20
3
4
20
3
5
20
3
6
Stormwater Utility 20-Year Pro-Forma
Beginning Cash Total Revenue Total Expenses Ending Cash
Page 601 of 648
Page 3 of 4
compensates for the improbability that entire sections of the system will be replaced. Estimating the
actual asset life at times is more abstract than qualitative. Pipe that is ensconced in stable soil and
subjected to consistent Stormwater impacts may have a service life that may double an engineering
estimate, and conversely, weak soils, capacity limitations, development, traffic or other external factors
may reduce the life by many years. However, as we are discovering with the water system, this 25%
ratio may not be the proper replacement target value.
Most of the storm sewer systems were installed as part of subdivision development. The following chart
shows the pattern of subdivision construction in the Village since 1957.
Regulatory Compliance
Since 2003, the Village has been required to comply with the National Pollutant Discharge Elimination
System (NPDES) permitting process. These regulations address “point source” and “non-point source”
pollution exposures and governs both sanitary and stormwater activities. This program is monitored
and enforced by the Illinois Environmental Protection Agency (IEPA). The Village has been and is
currently in compliance with these regulations. Among the major changes are additional stormwater
water quality monitoring, better filtering, and control of dewatering activities for water main breaks,
outdoor storage inspection, and enforcement activities and stronger code requirements for private
detention/retention pond inspections and compliance.
0
2
4
6
8
10
12
14
16
18
19
5
7
19
5
9
19
6
1
19
6
3
19
6
5
19
6
7
19
6
9
19
7
1
19
7
3
19
7
5
19
7
7
19
7
9
19
8
1
19
8
3
19
8
5
19
8
7
19
8
9
19
9
1
19
9
3
19
9
5
19
9
7
19
9
9
20
0
1
20
0
3
20
0
5
20
0
7
20
0
9
20
1
1
20
1
3
N
u
m
b
e
r
o
f
S
u
b
d
i
v
i
s
i
o
n
s
Year
Subdivisions by Year
Page 602 of 648
Page 4 of 4
The NPDES program is intended, among other things, to improve the water quality of lakes and streams
within a particular area. The Village has been active in several watershed groups including the Buffalo
Creek Clean Water Partnership (BCCWP) and the Des Plaines River Watershed Workgroup (DRWW). The
impact of this program and the activities of the various workgroups will have an impact on stormwater
management for many years to come.
Program Modifications in 2017
The inclusion of curb and gutter repairs and replacement as part of the annual street program
has allowed for more road construction annually.
Future Program Considerations
An emerging issue for the Village is the existence of small, rear-yard storm sewer systems that
were installed with the various developments. These systems, in many cases, were not per
code, but were accepted by the Village with the developments and are part of the Village’s
overall system. Many of these systems are now failing and require replacement with systems
meeting current standards. We recently replaced a system on Ronnie Dr. where we replaced
approximately 305’ of 4” perforated drain tile with 8” ADS pipe, 2 inlets, 3 in-line drains, 9 sump
pump connections and related restoration. The cost of this work was $26,000 to complete. We
estimate that there are approximately 20 locations where this type of issue exists, all of which
need immediate attention. We plan to include a request in the 2018 capital budget to address
these issues.
There is an 820’ segment of Corrugated Metal Pipe (CMP) where the bottom has completely
eroded away in several locations. The pipe runs between St. Mary’s Parkway and Buffalo Creek
and is located in the rear yards between the residences on Crestview and the apartments on
Buffalo Grove Rd. We plan to include a request in the 2018 capital budget to address this issue.
The inclusion of other PW operating expenses related to detention/retention basin maintenance
into the plan.
Additionally, staff continues to work with GIS to determine what parcels outside the Village
contribute to and benefit from our system and if the fee could possibly be applied to those
parcels.
Stormwater Rate Recommendations
Each year staff will review the financial condition of the fund to determine the adequacy of current
rates. The rate is set by ordinance with no pre-determined increases and there are no changes
recommended with this update. In the future, as the system inventory is solidified and other projects
become clearer, a rate increase may be appropriate. Using current assumptions, the fund will remain
relatively stable until 2027. The Board should consider rate increases beginning in 2021 and beyond.
The impact of infrastructure maintenance costs and the related challenges with the Stormwater Fund is
not unique to the Village of Buffalo Grove. All communities to varying degrees are challenged on how to
maintain and protect their system assets. A proper rate structure is the first step to ensuring that the
fund will have the resources available to maintain the integrity of the system.
Page 603 of 648
Post-Issuance Procedures Manual.doc
0000700
POST-ISSUANCE PROCEDURES
MANUAL
FOR
TAX-EXEMPT BONDS
ISSUED BY
THE VILLAGE OF BUFFALO GROVE
(THE “ISSUER”)
Adopted: __________
Revised: __________
__________
Page 604 of 648
-i-
NOTHING IN THIS MANUAL IS INTENDED TO REDUCE THE RESPONSIBILITY OF THE ISSUER. THESE
PROCEDURES ARE INTENDED TO FACILITATE COMPLIANCE WITH TAX RELATED COVENANTS MADE IN BOND
DOCUMENTS.
I. POLICY STATEMENT ........................................................................................................................ 1
II. PROCEDURES ............................................................................................................................... 2
A. Bonds Subject to these Procedures ........................................................................ 2
B. Facilities/Assets Subject to these Procedures ........................................................ 2
C. Assignment of Responsibility to Staff ..................................................................... 2
D. Duties of the Compliance Officer ........................................................................... 2
1. Maintaining List of Bonds .............................................................................. 2
2. Maintaining List of Facilities .......................................................................... 2
3. Recordkeeping ............................................................................................... 3
a. Transcript Items ...................................................................................... 3
b. Expenditure & Investment Items ........................................................... 3
c. Records of Use ........................................................................................ 4
d. Rebate & Yield Calculations .................................................................... 4
e. Actions under these Procedures ............................................................ 4
4. Arbitrage Computations ................................................................................ 5
5. Annual Review and Reports........................................................................... 5
6. Action on the Discovery of a Potential Violation .......................................... 5
a. Reallocation ............................................................................................ 5
b. Remediation ............................................................................................ 6
c. Voluntary Closing Agreement Program .................................................. 6
7. Action on IRS Contact .................................................................................... 6
a. Examination of Bonds ............................................................................. 6
b. Compliance Checks ................................................................................. 7
8. Training .......................................................................................................... 7
E. Changes to the Manual ........................................................................................... 7
F. Specific Procedures for Special Cases ..................................................................... 8
G. Authorization and Expense ..................................................................................... 8
Page 605 of 648
-ii-
Appendix A – List of Bonds
Appendix B-1 – List of Bond - Financed Property
Appendix B-2 – List of Disposed Bond - Financed Property
Appendix C – Glossary of Terms and Concepts
Page 606 of 648
I. Policy Statement
This Post-Issuance Procedures Manual (the “Manual”) is intended to provide
procedures (the “Procedures”) for compliance with the requirements of the Internal Revenue
Code of 1986, as amended (the “Code”), and applicable United States Treasury Regulations (the
“Regulations”) necessary to maintain the tax exemption of the interest on bonds or other
obligations issued by and for the benefit of the Issuer.
The Issuer has and will from time to time issue various issues of tax-exempt bonds, tax
credit bonds or direct pay bonds (the “Bonds”). Maintaining the tax-exempt or tax-advantaged
status of Bonds requires continuing compliance by the Issuer with certain covenants and
agreements contained in the documents relating to the issuance of the Bonds. In connection
with each issue of tax-exempt Bonds, the Issuer has covenanted or will covenant not to take
any action that would cause the interest on the Bonds to become included in the gross income
of the holders of the Bonds for federal income tax purposes. These Procedures are being
adopted by the Issuer to assist the Issuer in fulfilling covenants to maintain the tax-exempt or
tax-advantaged status of the Bonds. It is the intention of the Issuer that the Issuer will comply
with all applicable Federal tax law requirements and maintain sufficient records to
demonstrate such compliance.
The Issuer is aware that the Internal Revenue Service (“IRS”) maintains an active force
of revenue agents who examine bond issues for compliance. As a result of such examinations,
the IRS may require payment of financial penalties or impose other sanctions to preserve the
tax-exemption or tax-advantaged nature of the Bonds or may declare bonds to no longer be
tax-exempt or tax-advantaged. Any such declaration could result in legal action against the
Issuer. To minimize the risk of such occurrence, these Procedures have been adopted to
provide a framework for post-issuance compliance. This Manual is only for the benefit of the
Issuer. No other person (including an owner of a Bond) may rely on the Procedures included in
this Manual.
The Issuer is aware that the existence of adequate written procedures may influence
the IRS to settle matters on more favorable terms should such settlement be required.
Federal tax law imposes restrictions related to the investment and expenditure of Bond
proceeds and on the use of facilities financed with Bonds. Compliance with these restrictions is
often necessary to maintain the tax-exemption or tax-advantaged nature of the Bonds.
The Issuer is responsible for following tax-related covenants concerning the Bonds.
These Procedures are not intended to diminish or augment those covenants.
In order to most efficiently apply limited resources, these Procedures may be limited to
Bonds issued after a specified date.
Certain concepts and terms addressed and used in these Procedures are further
described in the glossary attached hereto, as Appendix C.
Page 607 of 648
-2-
II.Procedures
A.Bonds Subject to these Procedures
Attached hereto as Appendix A is a list of the Issuer’s outstanding Bonds subject to
these Procedures. The Compliance Officer (as hereinafter defined) should update this list
whenever Bonds are issued and whenever an issue of Bonds subject to the Procedures is fully
retired. If payments on the Bonds are provided for by an escrow, such Bonds should remain on
the list until the Bonds are paid in full.
B.Facilities/Assets Subject to these Procedures
Attached hereto as Appendix B-1 is a list of the facilities and assets financed, refinanced
or reimbursed with proceeds of the Bonds and that are subject to Federal tax restrictions.
Attached hereto as Appendix B-2 is a list of those facilities and assets that have been disposed
of.
The Issuer and the Compliance Officer recognize that a list of financed assets is
necessary to track Private Business Use of Bond financed facilities. In order to simplify the
maintenance of the list, the Compliance Officer may include entire buildings or other facilities
even if only partially financed with Bonds. The list for each issue of Bonds should be completed
within a reasonable period after the final allocation of Bond proceeds is made. In the case of
Refunding Bonds, the list of assets financed should include the list of assets financed by the
refunded obligations.
C.Assignment of Responsibility to Staff
The Issuer designates its Director of Finance (the “Compliance Officer”) as having
responsibility to keep all records required to be kept by the Issuer under these Procedures, to
make all reports to the Issuer’s governing body required by these Procedures, and to otherwise
assure that all actions required of the Issuer hereunder be taken. The Compliance Officer may
further delegate certain tasks to other officers, employees or agents of the Issuer. Such
delegation shall not relieve the Compliance Officer from responsibility to assure that all tasks
assigned to the Compliance Officer hereunder are completed in a timely fashion.
D.Duties of the Compliance Officer
1.Maintaining List of Bonds. The Compliance Officer is charged with maintaining
the list referred to in Section IIA hereof, and updating such list whenever a new issue of Bonds
subject to these Procedures is issued or when an issue of Bonds subject to these Procedures is
retired.
2. Maintaining List of Facilities. The Compliance Officer is charged with
maintaining the list referred to in Section IIB hereof. When an issue of Bonds financing or
refinancing a subject facility is retired or redeemed, the list shall identify the retirement or
redemption of the Bonds that financed or refinanced such subject facility. As proceeds of
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Bonds are spent, the Compliance Officer should update the list periodically at times convenient
to the Compliance Officer. The Compliance Officer may simplify the list by including entire
buildings or other facilities even if only a portion was Bond financed.
3. Recordkeeping. The Compliance Officer is hereby designated as the keeper of all
records of the Issuer with respect to the Bonds and that relate to the tax-exempt or
tax-advantaged status of the Bonds. The Compliance Officer shall report to the Issuer’s
governing body not less often than once per year concerning whether he or she has all of the
required records in his or her possession, or if not, whether he or she is taking appropriate
action to obtain or recover such records. The Compliance Officer should review the records
related to the Bonds and shall determine what requirements the Issuer must meet in order to
maintain the tax-exemption of interest paid on the Bonds or the tax-advantaged status of the
Bonds. The Compliance Officer should then prepare a list of the contracts, requisitions,
invoices, receipts and other information that may be needed in order to establish that (i) the
interest paid on the Bonds is entitled to be excluded from gross income for federal income tax
purposes or (ii) the Bonds remain tax-advantaged. Notwithstanding any other procedures of
the Issuer, such retained records shall be kept for at least as long as the related issue of Bonds
or any refunding obligations that may directly or indirectly refund such Bonds remain
outstanding, plus three years. Such records, at a minimum, shall include the following items.
a. Transcript Items. The Compliance Officer should receive, keep and
maintain a true, correct and complete counterpart of each document and agreement
delivered in connection with the issuance of the Bonds, including without limitation
(i) the proceedings of the Issuer authorizing the Bonds, (ii) any offering document with
respect to the offer and sale of the Bonds, (iii) any legal opinions with respect to the
Bonds delivered by any lawyers, (iv) notices and minutes of any public hearings held
with respect to the Bonds, (v) the tax documentation, including any Tax Exemption
Certificate and Agreement, any Tax Compliance Certificate and Agreement and any
Non-Arbitrage or Arbitrage Certificates or any tax-related covenants that may be
contained in the proceedings of the Issuer authorizing the Bonds, (vi) all written
representations of any person delivered in connection with the issuance and initial sale
of the Bonds, and (vii) the applicable series of Series 8038 Form filed with respect to the
Bonds along with proof of filing. It is likely that such transcript items will be found in
the form of or included in a bound volume or compact disc delivered to the Issuer after
the Bonds were issued.
b. Expenditure & Investment Items. The Compliance Officer should
maintain copies of:
(i) account statements showing the disbursements of all Bond
proceeds for their intended purposes, as well as any requisition requests and
the invoices and contracts (e.g., construction contracts, third party invoices) to
which the expenditure of funds relates;
(ii) account statements showing all investment activity of any and all
accounts in which the proceeds of the Bonds have been held;
Page 609 of 648
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(iii) all bid requests and bid responses used in the acquisition of any
special investments or derivative products used in connection with the Bonds,
including any swaps, swaptions, or other financial derivatives entered into in
order to establish that such instruments were acquired at fair market value; and
(iv) copies of any subscriptions to the U.S. Treasury for the purchase
of State and Local Government Series (SLGS) obligations.
To the extent that such records are not in the possession of the Compliance
Officer with respect to a particular issue of Bonds, investment or expenditure, the
Compliance Officer should make a note that such record is not in his or her possession.
In such case, the Compliance Officer should take reasonable steps to obtain such
records or, if not possible, consult with counsel concerning possible alternatives.
c.Records of Use. The Compliance Officer should maintain records
establishing that all Bond-financed property has been used for the purposes required
for interest on the Bonds to be excluded from gross income for federal income tax
purposes or for the Bonds to remain tax-advantaged. Such records shall include copies
of all significant contracts and agreements of the Issuer, including any leases,
management contracts, research agreements, or service contracts, with respect to the
use of any property owned by the Issuer and acquired or financed with the proceeds of
the Bonds (excluding arm’s length contracts covering 50 or fewer days). The
Compliance Officer shall cause such contracts to be reviewed either by staff of the
Issuer or by an outside consultant (i) to determine if such contracts cause any Private
Business Use of such facilities, or (ii) if the Compliance Officer cannot reasonably
determine whether such contract causes Private Business Use. If any such contract is
determined to cause Private Business Use of a Bond-financed facility, the Compliance
Officer should determine or cause to be determined for each year, the percentage of
such facility so privately used. Such determination may be made in consultation with
counsel or other consultants.
d.Rebate & Yield Calculations. The Compliance Officer should maintain
copies of any calculations of liability for arbitrage rebate or yield reduction payment
that is or may become due with respect to the Bonds, and any calculations prepared to
show that no arbitrage rebate is due, together, if applicable, with account statements
or cancelled checks showing the payment of any rebate amounts to the U.S. Treasury
together with any applicable IRS Form 8038-T, Arbitrage Rebate, Yield Reduction and
Penalty in Lieu of Arbitrage Rebate, or Form 8038-R, Request for Recovery of
Overpayments under Arbitrage Rebate Provisions, or any successor form to either of
those.
e.Actions under these Procedures. The Compliance Officer should retain all
records, memoranda and other documents and correspondence relating to these
Procedures or actions taken under these Procedures.
Page 610 of 648
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4. Arbitrage Computations. The Compliance Officer should review the agreements
of the Issuer with respect to each issue of Bonds and shall determine what actions are
necessary or advisable to comply with the arbitrage restrictions and arbitrage rebate
requirements of the Code. Some issues of Bonds may be exempt from the rebate requirement.
Taking into account any applicable exemptions from the arbitrage rebate requirement for each
issue of Bonds, the Compliance Officer should cause computations to be made at least once in
the first five years the Bonds are outstanding (and at least once every 5-year period thereafter
while the Bonds are outstanding) of the accrued arbitrage rebate amount (if any) with respect
to each issue of Bonds. The Compliance Officer should, if authorized, retain a law firm or other
consultant or use staff of the Issuer to prepare reports stating whether or not there is any
rebate or yield reduction payment liability to the U.S. Treasury related to the Bonds, and
setting forth any applicable exemptions from rebate liability that may be applicable to any
funds or accounts. Such report should be updated annually. Updates will not be required if a
report clearly indicates that no additional rebate or yield restriction liability will accrue. The
Compliance Officer is responsible for ensuring the timely payment to the U.S. Treasury of all
arbitrage rebate payments and yield reduction payments when due, including the filing of any
required IRS forms.
If and to the extent that any Bond proceeds are or become subject to a yield restriction
requirement, the Compliance Officer is responsible for investing or directing the investment of
such proceeds at a yield not in excess of the permitted yield and for making any yield reduction
payments to the U.S. Treasury as are necessary.
The Compliance Officer may, if authorized, retain a law firm or other consultant to
assist in making such determinations.
5. Annual Review and Reports. Not less often than once per year, the Compliance
Officer should conduct a review of records and other information described in these
Procedures to determine whether any or all of the Bonds comply with the tax requirements
applicable to such Bonds. The Compliance Officer, if authorized, may hire counsel or other
consultants to assist in such review. To the extent that any violations or potential violations of
tax requirements are discovered, the Compliance Officer may make recommendations or take
such actions as the Compliance Officer should reasonably deem necessary to assure the timely
correction of such violations or potential violations through remedial actions described in the
Regulations or the Tax Exempt Bonds Voluntary Closing Agreement Program described in
Treasury Notice 2008-31 or any successor guidance. The Compliance Officer should prepare a
written report (which may be marked as confidential) and should present such report to the
Issuer’s governing body no less frequently than once per year. The annual review requirement
will continue with respect to a particular Bond issue until the first review to occur after the
date that all Bonds of that issue and any refunding obligations that may directly or indirectly
refund such Bonds are fully paid and retired.
6. Action on the Discovery of a Potential Violation.
a. Reallocation. The Issuer and the Compliance Officer recognize that, in
limited circumstances, if there is a failure to spend Bond proceeds properly, such Bond
Page 611 of 648
-6-
proceeds can be reallocated to qualified costs that may be financed with Bond
proceeds, provided that such reallocation occurs within specified time frames. If the
Compliance Officer determines that a failure to spend Bond proceeds on qualified costs
has occurred, the Compliance Officer should (with the aid of a law firm or other
consultant or staff of the Issuer) determine if a reallocation of Bond proceeds is
possible.
b.Remediation. The Issuer and the Compliance Officer recognize that if,
among other things, there is a failure to use Bond proceeds properly, a failure to spend
all Bond proceeds, or a disposition of Bond-financed property or Private Business Use in
excess of allowed limits, a remedial action may be required in accordance with the Code
and the Regulations. The Compliance Officer should (with the aid of a law firm or other
consultant or staff of the Issuer) determine if such remedial actions are required and
possible. The Compliance Officer should prepare or cause to be prepared a
memorandum describing any such remedial action or proposed remedial action. The
memorandum should describe whether such remedial action will serve to cure any
particular tax law violation. The memorandum should include a full description of such
required actions of the Issuer. A copy of any such memorandum shall be given to the
Issuer’s governing body. Following any such remedial action, the Compliance Officer
should prepare a report describing the effect of such remedial action. The list of Bond-
financed property may need to be revised as a result of such remedial action and, if so,
the Compliance Officer should so revise the list.
c.Voluntary Closing Agreement Program. The Issuer and the Compliance
Officer recognize that if there is a violation of the covenants of the Issuer related to the
maintenance of the exclusion from gross income for federal income tax purposes of
interest on the Bonds or a violation of the covenants of the Issuer related to the
maintenance of the tax-advantaged status of the Bonds, then the Issuer may be able to
enter into a voluntary closing agreement with the IRS to preserve the favorable tax
status of the Bonds. The Compliance Officer should determine if a voluntary closing
agreement is desirable and possible. The Compliance Officer should coordinate the
Issuer’s efforts in obtaining any voluntary closing agreement. The Issuer may (to the
extent authorized) retain or consult with counsel to attempt to obtain a voluntary
closing agreement. Following the execution of any such closing agreement, the
Compliance Officer should prepare a report describing the effect of such closing
agreement. The list of Bond-financed Property may need to be revised as a result of
such closing agreement and, if so, the Compliance Officer should so revise the list.
7.Action on IRS Contact.
a.Examination of Bonds. The Issuer and the Compliance Officer recognize
that the IRS or another regulatory entity may undertake an examination of Bonds. In
the event that the Issuer is notified of such an examination, the Issuer shall as quickly as
possible notify the Compliance Officer. The Compliance Officer should coordinate the
defense of such examination and should determine if counsel should be hired and, if so,
which counsel. Except to the extent that the Issuer determines that another party
Page 612 of 648
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should undertake a response, the Compliance Officer will be responsible for compiling
answers to any information or document request that might be presented to the Issuer
as a result of such examination. If an examination cannot be closed without a closing
agreement, the Compliance Officer should use reasonable efforts to reach an
acceptable closing agreement with such regulatory agency and to obtain all required
Issuer approvals of such closing agreement.
Regardless of how an examination of the Bonds is closed, the Compliance Officer
should retain all communications with the IRS or other regulatory agency relating to
such examination among the records kept under Section II.D.3. of these Procedures
(Recordkeeping).
The Compliance Officer should advise the Issuer’s governing body of any such
examination when, as and in such manner as the Compliance Officer may deem
appropriate.
b. Compliance Checks. The IRS and other regulatory agencies may conduct
compliance checks from time to time. As part of such compliance check, the IRS or
another regulatory agency may send questionnaires to the Issuer. The Compliance
Officer may, if authorized, hire counsel to assist in the response to a compliance check.
The Compliance Officer should advise the Issuer’s governing body of any such
compliance check promptly after receiving notice thereof.
8. Training. The Compliance Officer should undertake to maintain a reasonable
level of knowledge concerning the rules related to tax-exempt and tax-advantaged bonds so
that he or she may fulfill his or her duties hereunder. The Compliance Officer may consult with
counsel, attend conferences and presentations of trade groups, read materials posted on
various web sites, including the web site of the Tax-Exempt Bond function of the IRS, and use
other means to maintain such knowledge. Recognizing that the Compliance Officer may not be
fully knowledgeable in this area, such officer may consult with in-house or outside counsel,
consultants and experts to assist in exercising his or her duties under these Procedures. The
Compliance Officer should endeavor to make sure that other staff of the Issuer is aware of the
need for continuing compliance and coordinate appropriate training and education of other
personnel of the Issuer. The Compliance Officer should provide copies of relevant Bond
documents and these Procedures to other staff members who may be responsible for taking
actions described in the Bond documents and in particular to any person who is expected to be
a successor Compliance Officer. The Compliance Officer should assist in the education of any
new Compliance Officer and the transition of the duties under these Procedures. The
Compliance Officer should review the Bond documents and these Procedures periodically to
determine if there are portions that need further explanation and, if so, will attempt to obtain
such explanation from counsel or other experts or consultants or staff.
E. Changes to the Manual
The Procedures contained herein may be revised and amended from time to time as
the Issuer and the Compliance Officer deem necessary to comply with the requirements of the
Page 613 of 648
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Code and Regulations. The Issuer and the Compliance Officer may, from time to time and upon
the issuance of new Bonds, contact outside counsel to determine whether the Procedures
contained herein adequately address the post-issuance responsibilities of the Issuer as
required by the Code and Regulations.
F.Specific Procedures for Special Cases
The Procedures contained herein specifically address post-issuance compliance
procedures with respect to tax-exempt governmental bonds issued for capital projects under
Section 103 of the Code. The Issuer and the Compliance Officer recognize that these
Procedures may be inadequate for other types of tax-exempt obligations (including TIF
financings), tax-credit or direct pay obligations, for which additional procedures may be
required. In the event that the Issuer issues private activity tax-exempt obligations, tax-
exempt obligations funding a significant amount of working capital, tax increment financing
bonds, tax-credit bonds, or direct pay bonds, the Issuer receives an indication from counsel
that additional procedures are required, or the Issuer enters into any derivative products,
these Procedures should be revised to reflect any specific rules and requirements and post-
issuance responsibilities applicable to such type of tax advantaged obligations and derivative
products.
G.Authorization and Expense
This Compliance Manual is not intended to provide authorization to the Compliance
Officer to enter into contracts for service or to spend Issuer funds. To the extent that the
Compliance Officer determines that such contracts or expenditures are desirable and are not
otherwise authorized, the Compliance Officer should obtain such authorization before entering
into such contracts and spending such Issuer funds.
Page 614 of 648
A-1
APPENDIX A
LIST OF BONDS
NAME OF ISSUE DATE OF ISSUANCE
FINAL
MATURITY DATE
Tax-Exempt Installment
Purchase Agreement Schedule
1
March 27, 2015 06/01/2029
General Obligation Corporate
Purpose Bonds, Series 2012
August 27, 2012 12/30/2030
General Obligation Refunding
Bonds, Series 2010A and
General Obligation Corporate
Purpose Bonds, Series 2010B
May 6, 2010 12/30/2025
Page 615 of 648
B-1-1
APPENDIX B-1
LIST OF BOND-FINANCED PROPERTY
DESCRIPTION OF THE
PROPERTY LOCATION
BONDS THAT FINANCED
THE PROPERTY
AMOUNT BOND
FINANCED
USEFUL
ECONOMIC LIFE
PLACED IN
SERVICE DATE
Water Meter Replacements
and AMI System
Tax-Exempt Installment
Purchase Agreement
Schedule 1
Approx.
$________ 20 years
Streetlights Tax-Exempt Installment
Purchase Agreement
Schedule 1
Approx.
$________ 20 years
SCADA upgrades Tax-Exempt Installment
Purchase Agreement
Schedule 1
Approx.
$________ 10 years
Road Improvements Various Village
Locations
General Obligation
Corporate Purpose
Bonds, Series 2012
[$6,100,00] 20 years
Storm water drainage
improvements, the
construction of water
detention facilities,
installation of storm sewers
and storm box culverts
Various Village
Locations
General Obligation
Refunding Bonds,
Series 2010A and
General Obligation
Corporate Purpose
Bonds, Series 2010B
Roadway Reconstruction Various Village
Locations
General Obligation
Refunding Bonds,
Series 2010A and
General Obligation
Corporate Purpose
Bonds, Series 2010B
Landscape Wall
Reconstruction
Various Village
Locations
General Obligation
Refunding Bonds,
Page 616 of 648
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Series 2010A and
General Obligation
Corporate Purpose
Bonds, Series 2010B
Sidewalk Removal and
Restoration
Various Village
Locations
General Obligation
Refunding Bonds,
Series 2010A and
General Obligation
Corporate Purpose
Bonds, Series 2010B
Public Golf Course
Improvements
General Obligation
Refunding Bonds,
Series 2010A and
General Obligation
Corporate Purpose
Bonds, Series 2010B
(Refunding Portion -
originally financed with
Series 2001A)
Construction of Commuter
Train Station
General Obligation
Refunding Bonds,
Series 2010A and
General Obligation
Corporate Purpose
Bonds, Series 2010B
(Refunding Portion -
originally financed with
Series 1994, which were
refunded by Series
2001B)
[Public Capital
Improvements - specific
descriptions]
General Obligation
Refunding Bonds,
Series 2010A and
Page 617 of 648
-3-
General Obligation
Corporate Purpose
Bonds, Series 2010B
(Refunding Portion -
originally financed with
Series 1995A & Series
1992, which were
refunded by Series
2001B)
Page 618 of 648
B-2-1
APPENDIX B-2
LIST OF DISPOSED BOND-FINANCED PROPERTY
DESCRIPTION OF THE
PROPERTY
FORMER
LOCATION
DATE OF
DISPOSAL
MANNER OF
DISPOSAL SALE PRICE
PERSON TO
WHOM SOLD
$
Page 619 of 648
C-1
APPENDIX C
GLOSSARY OF TERMS AND CONCEPTS
Private Business Use
“Private Business Use” means any use of Bond-financed property by any person other
than a state or local government unit, including as a result of (i) ownership, (ii) actual or
beneficial use pursuant to a lease or a management, service, incentive payment, research or
output contract or (iii) any other similar arrangement, agreement or understanding, whether
written or oral, except for use of Bond-financed property on the same basis as the general public.
Private Business Use includes any formal or informal arrangement with any person other than a
state or local governmental unit that conveys special legal entitlements to any portion of
Bond-financed property that is available for use by the general public or that conveys to any
person other than a state or local governmental unit any special economic benefit with respect to
any portion of the Bond-financed property that is not available for use by the general public. Use
by a natural person not engaged in any trade or business is not private use. Any use by the
federal government or by a corporation is Private Business Use.
Examples of common uses of Bond-financed property that may create Private Business
Use include the following:
Management contracts with private companies or individuals to manage all or a
portion of a Bond-financed facility (e.g., a contract with a private company to
manage a Bond-financed cafeteria, convention center, recreation center, etc.)
A lease of space in a Bond-financed facility to a non-governmental person (e.g., a
lease of space in a Bond-financed municipal building to Starbucks or McDonalds)
Rental arrangements whereby individuals, non-profit organizations or private
businesses rent space in a Bond-financed facility
There are certain exceptions to Private Business Use. For example, a “qualified
management contract” following certain guidelines set forth in Revenue Procedure 97-13 does
not create Private Business Use. In addition, under appropriate circumstances, short-term rentals
and other uses of up to 50 days (or in some cases 100 days or 200 days) are permitted.
Arbitrage & Arbitrage Rebate
Arbitrage generally is the earnings that an issuer will earn when it invests proceeds of the
Bonds in investments with a yield above the yield on the Bonds. Generally, an issuer is required
to make payments of any arbitrage it earns as a result of the investment of the proceeds of the
Bonds above the yield on the Bonds to the IRS, which is known as “arbitrage rebate.” There are
certain exceptions to the requirement to make arbitrage rebate payments to the IRS (e.g., small
issuer exceptions, spending exceptions, bona fide debt service fund exceptions).
Page 620 of 648
C-2
Yield Restriction and Yield Reduction Payments
Yield restriction is the requirement that an issuer not invest Gross Proceeds (defined
below) of the Bonds at a yield higher than Bond yield. Generally, in a capital project financing,
an issuer will have a 3-year “temporary period” during which it can invest proceeds of the Bonds
in its project fund above the yield on the Bonds. After such time, moneys are yield restricted and
cannot be invested above the yield on the Bonds (plus a de minimis percentage). Additionally,
after the expiration of the temporary period, proceeds generally cannot be invested in federally
guaranteed investments (including FDIC -insured accounts), other than certain de minimis
amounts. If an issuer invests amount above the yield on the Bonds after the expiration of a
temporary period, it may still be able to achieve yield compliance by making a yield reduction
payment to the IRS, which is a rebate payment or any other amount paid to the United States in
the same manner as rebate amounts are required to be paid or at such other time or in such
manner as IRS may prescribe that will be treated as a reduction in Yield of an investment under
the Regulations. Yield reduction payments may only be made in limited circumstances, and do
not work for all investments above Bond yield.
Gross Proceeds
“Gross Proceeds” generally means (i) sale proceeds of the Bonds and investment
earnings thereon and (ii) amounts reasonably expected to be used directly or indirectly to pay
principal or interest on the Bonds. In addition, a pledged fund may also constitute gross
proceeds. A pledge is any amount that is directly or indirectly pledged to pay the principal of or
interest on the bonds. A pledge by the issuer must provide reasonable assurance that such
moneys will be available to pay the debt service on the bonds even if the issuer has financial
difficulties. Gross proceeds may also arise if Bonds are outstanding longer than reasonably
necessary for their governmental purpose. Typically, Gross Proceeds will be contained in a
project fund, escrow fund (if the Bond issue is a refunding issue), costs of issuance fund, bond
fund and debt service reserve fund (if applicable).
If moneys or investments are pledged or otherwise set aside for payment of principal of or
interest on the Bonds, any amounts are derived from the sale of any right that is part of the terms
of a Bond or is otherwise associated with a Bond (e.g., a redemption right), or the Issuer enters
into any agreement to maintain certain levels of types of assets for the benefit of a holder of a
bond or any credit enhancement with respect to the Bonds, such amounts may also constitute
Gross Proceeds. Further, if any Bond-financed property is sold or otherwise disposed of any
amounts received from such sale or other disposition may also constitute Gross Proceeds.
Remediation
The Code prescribes three self-help mechanisms that an issuer may use to remediate
non-qualified Bonds as a result of violation of Private Business Use covenants. These include
redemption or defeasance of non-qualified bonds, alternative use of a facility (e.g., if a 501(c)(3)
organization leases a Bond-financed municipal facility) or alternative use of disposition proceeds
(e.g., if Bond-financed property is sold, the proceeds of the sale are used for other governmental
purposes that would have qualified for tax-exempt financing). Prior to taking such remedial
Page 621 of 648
C-3
actions, the issuer must satisfy certain pre-conditions. In addition, remedial actions are only able
to be taken within a specified time frame before or after the action causing Private Business Use.
Voluntary Closing Agreement Program
Through the Voluntary Closing Agreement Program (VCAP), issuers of Bonds can
voluntarily resolve violations of the Code and applicable Regulations (through closing
agreements with the IRS). VCAP can be used when a remedial action (described under
“Remediation”) is unavailable or there is another violation of the Code or Regulations that
cannot be fixed through self-help mechanisms. The incentive for an issuer to go to VCAP is that,
generally, a settlement in VCAP will be more favorable to the issuer than if the violation were
discovered in an examination.
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APPENDIX C : HUMAN RESOURCES
HEALTH PLAN BENEFITS – EMPLOYEE STAFFING LEVELS
HEALTH PLAN BENEFITS
The Village offers two health insurance coverage options (1 PPO and 1 HMO) on a self-insured,
pooled basis using the BlueCross BlueShield network. The Village also offers Basic Life /AD&D
through the Standard and Dental insurance coverage on a self-funded, pooled basis through
MetLife.
On January 1, 2012, the Village entered the Intergovernmental Personnel Benefits Cooperative
(IPBC). Established in 1978, the IPBC is a benefits pool, created under Illinois Law and regulated
by the Illinois Department of Insurance. Comprised of approximately 118 municipalities and
similar units of local government, the IPBC covers over 12,000 active employees and retiree lives.
Participation in the IPBC provides the Village with great benefits, including, but not limited to the
following:
1. IPBC rate increases have historically trended lower than industry benchmarks.
2. Economies of scale are experienced from negotiating and purchasing insurance
products in intergovernmental consortiums.
3. The IPBC has expanded access to more effective cost containment options by
negotiating contracts with BlueCross BlueShield, Cigna, and United Healthcare.
4. The IPBC provides a wealth of information and support services to assist the Village in
regard to the impact of Healthcare Reform, compliance, and cost analysis.
5. IPBC provides reimbursement for a range of wellness services including the village’s
PUSH Wellness program and annual employee flu shots.
2018 Changes to Health Insurance
Starting in 2018, the Village has reduced its health plan offerings from three plans to two. The
Village PPO plans were facing structural deficits coupled with significant premium increases
scheduled for upcoming year. Following a comprehensive review of the Village’s benefit plans,
staff determined that the PPO-B plan and subsequent usage was driving the overall PPO costs.
To that end, Staff engaged our Benefits Consultants at IPBC to determine a new plan that would
be financially sustainable and still provide a competitive benefit to employees. The Current PPO-
A and PPO-B plans will be eliminated and replaced with a new PPO that is more in line with
market peers. The Village will maintain the current HMO plan. The Village has successfully
negotiated the new plan with both unions and the new PPO plan will take effect on January 1,
2018 with open enrollment in November 2017.
The major changes to the PPO plan are as follows:
Elimination of the PPO A and PPO B plans.
Inclusion of a comprehensive vision plan in all new plans.
Increase to deductibles to $500 from $300 for a single employee and $1,500 from $900 for
a family.
Increase in Out-Of-Pocket Maximums to $1,600 from $1,500 for a single employee and
$4,800 from $4,500 for a Family.
Reduction of copays for primary care physician visits.
Page 625 of 648
2017 VERSUS 2018 PREMIUM STRUCTURE ($)
Medical Plans
2017 Monthly rates 2018 Monthly rates
PPO Medical Plan Employee Village Total Employee Village Total
90% In-Network /
70% Out of network
benefit
Single employee N/A N/A N/A $104.37 $591.46 $695.84
Single + 1
dependent N/A N/A N/A $210.84 $1,194.76 $1,405.61
Family N/A N/A N/A $372.62 $2,111.52 $2,484.15
2017 Monthly Rates 2018 Monthly Rates
HMO Medical Plan Employee Village Total Employee Village Total
Single employee $81.67 $462.78 $544.45 $81.83 $463.71 $545.54
Single + 1 dependent $1,64.97 $934.83 $,1099.80 $165.30 $936.71 $1,102.01
Family +2
dependents $,291.55 $1,652.14 $1,943.70 $294.03 $1,655.44 $1,947.58
Dental Plan
2017 Monthly Rates 2018 Monthly Rates
No employee
contribution Employee Village Total
Premium Employee Village Total
Single employee 0 $45.80 $45.80 0 $51.30 $51.30
Single + 1
dependent 0 $77.09 $77.09 0 $86.35 $86.35
Family + 2
dependents 0 $129.30 $129.30 0 $144.82 $144.82
Vision Plan
2017 Monthly Rates 2018 Monthly Rates
No employee
contribution Employee Village Total
Premium Employee Village Total
Single employee N/A N/A N/A 0 $4.78 $4.78
Single + 1
dependent N/A N/A N/A 0 $7.81 $7.81
Single + spouse N/A N/A N/A 0 $7.65 $7.65
Family N/A N/A N/A 0 $12.59 $12.59
Page 626 of 648
EMPLOYEE STAFFING LEVELS
Office of the Village Manager/ Administration FY 2016 FY 2017 FY 2018
FT PT FT PT FT PT
Deputy Village Manager 1 0 1 0 1 0
Management Analyst 1 0 1 0 1 0
Administrative Assistant 0 0 0 1 0 1
Village Manager 1 0 1 0 1 0
Total 3 0 3 1 3 1
Full & Part-Time Total 3 4 4
Human Resources FY 2016 FY 2017 FY 2018
FT PT FT PT FT PT
Director of Human Resources 1 0 1 0 1 0
Management Analyst 1 0 1 0 1 0
Total 2 0 2 0 2 0
Full & Part-Time Total 2 2 2
Finance & General Services
FY 2016 FY 2017 FY 2018
FT PT FT PT FT PT
Accountant 1 0 1 0 1 0
Deputy Finance Director 1 0 1 0 1 0
Cashier 1 0 1 0 1 0
Clerk II 2 0 2 0 2 0
Clerk III 1 0 1 0 1 0
Director of Finance/Treasurer 1 0 1 0 1 0
Payroll Clerk III 1 0 1 0 1 0
Purchasing Manager 1 0 1 0 1 0
Total 9 0 9 0 9 0
Full & Part-Time Total 9 9 9
Page 627 of 648
Fire Services FY 2016 FY 2017 FY 2018
FT PT FT PT FT PT
Battalion Chief 4 0 4 0 5 0
Deputy Fire Chief 1 0 1 0 1 0
EMA Coordinator 0 1 0 1 0 1
Fire Chief 1 0 1 0 1 0
Fire Inspector* 1 0 1 0 1 1
Public Education Officer 0 1 0 1 0 1
Fire Lieutenant 9 0 9 0 9 0
Firefighter/Paramedic 42 0 42 0 42 0
Administrative Assistant 1 0 1 0 1 0
Total 59 2 59 2 60 3
Full & Part-Time Total 61 61 63
Community Development FY 2016 FY 2017 FY 2018
FT PT FT PT FT PT
Administrative Assistant 2 0 2 0 2 0
Associate Planner 0 0 0 0 1 0
Building Commissioner 1 0 1 0 1 0
Building Inspector 1 0 1 0 1 0
Clerk 0 1 0 1 0 1
Community Development Director 1 0 1 0 1 0
Deputy Clerk 1 0 1 0 1 0
Electrical Inspector 1 0 1 0 1 0
Health Inspector 1 0 1 0 1 0
Planner 1 0 1 0 1 0
Plan Reviewer 1 0 1 0 1 0
Plumbing Inspector 1 0 1 0 1 0
Property Maintenance Inspector 1 0 1 0 1 1
Total 12 1 12 1 13 2
Full & Part-Time Total 13 13 15
Page 628 of 648
Police Services FY 2016 FY 2017 FY 2018
FT PT FT PT FT PT
Chief of Police 1 0 1 0 1 0
Clerk 2 1 2 1 2 1
Community Service Officer 2 0 2 0 2 0
Crossing Guard 0 9 0 5 0 5
Deputy Police Chief 2 0 2 0 2 0
Desk Officer 2 2 3 2 3 2
Evidence Custodian 1 1 1 0 1 0
Lieutenant 4 0 4 0 4 0
Patrol Officer 47 0 46 0 46 0
Police Commander 2 0 2 0 2 0
Police Sergeant 8 0 8 0 8 0
Records Supervisor 1 0 1 0 1 0
Social Worker 0 1 1 0 1 0
Technical Services Administrator 1 0 1 0 1 0
Administrative Assistant 1 0 1 0 1 0
Total 74 13 75 8 75 8
Full & Part-Time Total 84 83 83
Golf Operations FY 2016 FY 2017 FY 2018
FT PT FT PT FT PT
Head Golf Professional 2 0 2 0 2 0
Assistant Golf Professional 1 2 1 2 1 2
Golf Course Attendants- Seasonal 0 30 0 30 0 30
Total 3 32 3 32 3 32
Full & Part-Time Total 35 35 35
Page 629 of 648
Public Works/Engineering FY 2016 FY 2017 FY 2018
FT PT FT PT FT PT
Automotive Mechanic II 3 0 3 0 1 0
Automotive Mechanic III 1 0 1 0 3 0
Automotive Shop Assistant 0 1 0 1 0 1
Building Maintenance Supervisor 1 0 0 0 0 0
Building Maintenance Manager 0 0 1 0 1 0
Building Maintenance Worker 2 0 2 0 2 0
Building Maintenance Worker II – CL 1 0 1 0 1 0
Civil Engineer I 1 0 1 0 0 0
Civil Engineer II 1 0 1 0 2 0
Clerk II 0 1 0 0 0 0
Deputy Director of Public Works 1 0 1 0 1 0
Director of Public Works 1 0 1 0 1 0
Engineering Aide 0 1 0 2 0 2
Engineering Technician 1 0 1 0 1 0
Fleet Manager 1 0 1 0 1 0
Forestry and Grounds Supervisor 1 0 0 0 0 0
Forestry & Grounds Manager 0 0 1 0 1 0
Laborer – Seasonal 0 6 0 6 0 4
Laborer – Part Time 0 0 0 0 0 2
Maintenance Worker I 8 0 7 0 8 0
Maintenance Worker II 13 0 13 0 12 0
Maintenance Worker II – CL 6 0 6 0 5 0
Management Analyst 0 0 0 0 1 0
Superintendent of Maintenance 1 0 1 0 1 0
Seasonal Snow Plow Driver 0 1 0 1 0 1
Administrative Assistant 2 0 2 1 2 0
Sewer & Drainage Manager 1 0 1 0 1 0
Streets Manager 1 0 1 0 1 0
Superintendent of Utilities 1 0 1 0 1 0
Village Engineer 1 0 1 0 1 0
Water Manager 1 0 1 0 1 0
Total 50 9 49 11 49 10
Full & Part-Time Total 59 60 59
Page 630 of 648
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APPENDIX D : DOCUMENT
DEFINITIONS
GLOSSARY OF TERMS – ACRONYMS
GLOSSARY
The Annual Budget contains terminology unique to public finance and budgeting. This glossary
was prepared to assist the reader of this document in the understanding of some of these terms.
Abatement:
A partial or complete cancellation of a levy imposed by the Village. Abatements usually apply
to tax, levies special assessments, and service charges.
Ad Valorem Tax:
A direct tax based “according to value” of property.
Advanced Refunding Bonds:
Bonds issued to refund an outstanding bond issue prior to the date which the outstanding bonds
become due or callable. Proceeds of the advanced refunding bonds are deposited in escrow
with a fiduciary, invested in United States Treasury Bonds or other authorized securities, and used
to redeem the underlying bonds at maturity or call date.
Agencies:
Informal name that refers to securities issued by the United States government and U.S.
government sponsored instrumentalities.
Agency Fund:
A fund normally used to account for assets held by a government as an agent for individuals,
private organizations or other governments and/or other funds.
Amortization:
The process of paying the principal amount of an issue of bonds by periodic payments either
directly to bondholders or to a sinking fund for the benefit of bondholders.
Appropriation:
A legal authorization granted by the Village Board to make expenditures and to incur
obligations for specific purposes. An appropriation usually is limited in amount and time it may
be expended.
Arbitrage Bonds:
Bonds which are deemed by the I.R.S. to violate federal arbitrage regulations. The interest on
such bonds becomes taxable and the bondholders must include this interest as part of gross
income for federal income tax purposes (I.R.S. Reg. 1.103-13 through 1.103-15).
Asked:
The trading price proposed by the prospective seller of securities. Also called the offer or offered
price.
Assessed Valuation:
A value that is established for real or personal property and used as a basis for levying property
taxes. (Note: property values are established by the Township Assessor.)
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Assessed Value:
An annual determination of the just or fair market value of property for purposes of ad valorem
taxation.
Assets:
Property including cash on hand, facilities, and equipment owned by a government.
Audit:
An audit includes examining, on a test basis, evidence supporting the amounts and disclosures
in the basic financial statements. An audit also includes assessing the accounting principles
used and significant estimates made by management, as well as evaluating the overall basic
financial statement presentation.
Balance Sheet:
That portion of the Village's financial statement that discloses the assets, liabilities, reserves, and
balances of a specific governmental fund as of a specific date.
Bankers' Acceptance (BA):
A short-term financial instrument that is the unconditional obligation of the accepting bank.
Basis of Accounting:
A term used when revenues, expenditures, expenses, transfers, assets and liabilities are
recognized in the accounts and reported in the financial statements. Specifically, it relates to
the timing of the measurements made, regardless of the nature of the measurement, on the
cash, modified accrual, or the accrual method.
Basis Point:
1/100 of one percent.
Bid:
The trading price acceptable to a prospective buyer of securities.
Bond:
A written promise to pay a sum of money on a specific date at a specified interest rate. The
interest payments and the repayment of the principal are detailed in a bond ordinance. The
most common types of bonds are general obligation and revenue bonds. These are most
frequently used for the financing of capital improvements.
Bond Anticipation Notes (BANS):
Short-term interest bearing notes issued by a government in anticipation of bonds to be issued at
a later date. The notes are retired from proceeds of the bond issue to which they are related.
Bond Counsel:
An attorney retained by the Village to render a legal opinion whether the Village is authorized to
issue the proposed bonds, has met all legal requirements necessary for issuance, and whether
interest on the bonds is, or is not, exempt from federal and state income taxation.
Page 634 of 648
Bonded Debt:
The portion of an issuers total indebtedness represented by outstanding bonds.
Bond Equivalent Yield (BEY):
An annual yield, expressed as a percentage, describing the return provided to bond holders.
The BEY is a way to compare yields available from discount securities such as Treasury bills and
BAs with yields available from coupon securities.
Broker:
A party who brings buyers and sellers together. Brokers do not take ownership of the property
being traded. They are compensated by commissions. They are not the same as dealers;
however, the same individuals and firms that act as brokers in some transactions may act as
dealers in other transactions.
Brokered and Negotiable Certificates of Deposit:
Short-term (2 to 52 weeks) large denomination ($100,000 minimum). Certificate of Deposit that is
issued at a discount on its par value, or at a fixed interest rate payable at maturity and are freely
traded in secondary markets
Budget:
A plan of Village financial operations, which includes an estimate of proposed expenditures and
a proposed means of financing them. The term used without any modifier usually indicates a
financial plan for a single operating year. The budget is the primary means by which the
expenditure and service levels of the Village are controlled.
Budget Act:
The Budget Act allows the municipality to adopt a single document that serves as the annual
budget and the appropriation ordinance.
Budget Message:
The opening section of the budget, which provides the Village Board and the public with a
general summary of the most important aspects of the budget, changes from the current and
previous fiscal years, and the views and recommendations of the Village Manager.
Callable Bond:
A bond which permits or requires the issuer to redeem the obligation before the state maturity
date at a specified price, the call price, usually at or above par value.
Capital Appreciation Bonds (CAB):
A long-term security on which the investment return is reinvested at a state compound rate until
maturity. The investor receives a single payment at maturity representing both the principal and
investment return.
Page 635 of 648
Cash Management:
The management of cash necessary to pay for government services while investing temporary
cash excesses in order to earn interest revenue. Cash management refers to the activities of
forecasting the inflows and outflows of cash, mobilizing cash to improve its availability for
investment, establishing and maintaining banking relationships, and investing funds in order to
achieve the balance of the highest interest and return, liquidity and minimal risk with these
temporary cash balances.
Certificate of Deposit:
A negotiable or non-negotiable receipt for monies deposited in a bank of financial institution for
a specified period for a specified rate of interest.
Charges for Service:
User charges for services provided by the Village to those specifically benefiting from those
services.
Collateral:
Securities, evidence of deposit or other property which a borrower pledges to secure repayment
of a loan. Also refers to securities pledged by a bank to secure deposits of public monies.
Commercial Paper:
Very short-term, unsecured promissory notes issued in either registered or bearer form, and
usually backed by a line of credit with a bank.
Comprehensive Annual Financial Report (CAFR):
The official annual report for the Village of Buffalo Grove. It includes five combined statements
and basic financial statements for each individual fund and account group prepared in
conformity with GAAP. It also includes supporting schedules necessary to demonstrate
compliance with finance-related legal and contractual provisions, extensive introductory
material, and a detailed Statistical Section.
Coupon Rate:
The annual rate of interest payable on a coupon bond (a bearer bond or bond registered as to
principal only, carrying coupons evidencing future interest payments), expressed as a
percentage of the principal amount.
Dealer:
A firm or individual who buys and sells for their own account. Dealers have ownership between a
purchase from one party and a sale to another party. Dealers are compensated by the spread
between the price they pay and the price they receive.
Debenture:
A bond secured only by the general credit of the issuer.
Debt:
A financial obligation resulting from the borrowing of money. Debts of government include
bonds, notes, lines of credit, and land contracts.
Page 636 of 648
Debt Limit:
The maximum amount of debt which an issuer is permitted to incur under constitutional, statutory
or charter provision.
Debt Service:
The amount of money necessary to pay interest on an outstanding debt, the serial maturities of
principal for serial bonds, and the required contributions to an amortization or sinking fund for
term bonds.
Deficit:
The excess of expenditures or expenses over revenues or income during a single accounting
period.
Delivery Versus Payment:
The simultaneous exchange of securities and cash. The safest method of settling either the
purchase or sale of a security. In a DVP settlement, the funds are wired from the buyer's account
and the security is delivered from the seller's account in simultaneous independent wires.
Demand Notes (Variable Rate):
A short-term security which is subject to a frequently available put option feature under which
the holder may put the security back to the issuer after giving specified notice. Many of these
securities are floating or variable rate, with the put option exercisable on dates on which the
floating rate changes.
Department:
A major administrative division of the Village, which indicates overall management responsibility
for an operation.
Depreciation:
The allocation of the cost of a fixed asset over the asset ’s useful life. Through this process, the
entire cost of this asset less any salvage value is ultimately charged off as an expense. This
method of cost allocation is used in proprietary funds.
Discount:
The amount by which the price for a security is less than its par.
Discount Securities:
Securities that do not pay periodic interest. Investors earn the difference between the discount
issue price and the full face value paid at maturity. Treasury bil ls, bankers’ acceptances and
zero coupon bonds are discount securities.
Distinguished Budget Award Program:
Award program that recognizes exemplary budget documentation as prescribed by the
Government Finance Officers Association. Budgets are reviewed using a comprehensive
checklist and those judged proficient receive the award.
Diversification:
Dividing investment funds among a variety of securities offering independent returns.
Page 637 of 648
Double Barreled Bonds (Alternative Revenue Bonds):
A bond which is payable from the revenues of a governmental enterprise and are also backed
by the full faith and credit of the governmental unit.
Enterprise Fund:
A fund established to account for operations (a) that are financed and operated in a manner
similar to private business enterprises - where the intent of the governing body is that the costs
(expenses, including depreciation) of providing goods or services to the general public on a
continuing basis be financed or recovered primarily through user charges; or (b) where the
governing body has decided that periodic determination of revenues earned, expenses
incurred, and/or net income is appropriate for capital maintenance, public policy,
management control, accountability, or other purposes.
Expenditures:
Decreases in net financial resources. Expenditures include current operating expenses requiring
the present or future use of net current assets, debt service and capital outlays, and
intergovernmental transfers.
Expenses:
Charges incurred, whether paid or unpaid, resulting from the delivery of Village services.
Federal Credit Agencies:
Agencies of the Federal Government set up to supply credit to various classes of institutions and
individuals, e.g., S & L's, small business firms, students, farmers, farm cooperatives, and exporters.
Federal Deposit of Insurance Corporation (FDIC):
A federal agency that insures bank deposits, currently up to $100,000 per deposit.
Federal Funds Rate:
The rate for which overnight federal funds are traded.
Federal Home Loan Banks (FHLB):
The institutions that regulate and lend to savings and loan associations. The Federal Home Loan
Banks play a role analogous to that played by the Federal Reserve Banks vis-à-vis member
commercial banks.
Federal National Mortgage Association (FNMA or FANNIE MAE):
FNMA is a federal corporation working under the auspices of the Department of Housing &
Urban Development, HUD. It is the largest single provider of residential mortgage funds in the
United States. Fannie Mae, as the corporation is called, is a private stockholder-owned
corporation. The corporation's purchases include a variety of adjustable mortgages and second
loans in addition to fixed-rate mortgages. FNMA assumes and guarantees that all security
holders will receive timely payment of principal and interest.
Page 638 of 648
Federal Open Market Committee (FOMC):
Consists of seven members of the Federal Reserve Board and five of the twelve Federal Reserve
Bank Presidents. The President of the New York Federal Reserve Bank is a permanent member
while the other Presidents serve on a rotation basis. The Committee periodically meets to set
Federal Reserve guidelines regarding purchases and sales of Government Securities in the open
market as a means of influencing the volume of bank credit and money.
Federal Reserve System:
The central bank of the United States created by Congress and consisting of a seven member
Board of Governors in Washington, D.C., 12 regional banks and about 5,700 commercial banks
that are members of the system.
Fiscal Policy:
The Village's policies with respect to revenues, spending, and debt management as these relate
to government services, programs, and capital investment. Fiscal policy provides an agreed
upon set of principles for the planning and programming of government budgets and their
funding.
Fiscal Year:
A 12-month period to which the Village's annual operating budget applies and at the end to
which the Village determines its financial position and the results of its operation. The Village has
specified January 1 to December 31 as its fiscal year.
Fixed Assets:
Assets of a long-term character which are intended to continue to be held or used. Examples of
fixed assets include items such as land, buildings, machinery, furniture, and other equipment.
Fund:
An accounting entity with a self-balancing set of accounts, which are segregated for the
purpose of carrying on specific activities or attaining certain objectives in accordance with
special regulations, restrictions, or limitations.
Fund Balance:
The fund equity of governmental funds. Changes in fund balances are the result of the
difference of revenues to expenditures. Fund balances increase when revenues exceed
expenditures and decrease when expenditures exceed revenues.
Generally Accepted Accounting Principles (GAAP):
Uniform minimum standards and guidelines for financial accounting and reporting. They govern
the form and content of the financial statements of an entity. GAAP encompass the
conventions, rules and procedures necessary to define accepted accounting practice at a
particular time. They include not only broad guidelines of general application, but also detailed
practices and procedures. GAAP provides a standard by which to measure financial
presentations. The primary authoritative body on the application of GAAP to state and local
governments is the Governmental Accounting Standards Board (GASB).
Page 639 of 648
General Obligation Bonds:
Bonds that finance a variety of public projects such as streets, buildings, and improvements; the
repayment of these bonds is usually made from the Debt Service Fund, and these bonds are
backed by the full faith and credit of the issuing government.
GIS Consortium (GISC):
The Consortium gives the Village access to staffing and development tools through a
cooperative, regional consortium. Specifically GISC is a group of local communities working
together to develop geographic information systems (GIS) solutions. These local governments
have broad backgrounds in GIS-related technologies and share a common objective—to
achieve the full benefits of GIS by maximizing value while reducing cost and risk. The GIS
Consortium was established with the goal of investigating existing approaches to GIS in local
government and integrating best practices into a unified model.
Governmental Fund Types:
Funds used to account for the acquisition, use and balances of expendable financial resources
and the related current liabilities, except those accounted for in proprietary and trust funds. In
essence, these funds are an accounting segregation of financial resources. Expendable assets
are assigned to a particular governmental fund type according to the purposes for which they
may or must be used. Current liabilities are assigned to the fund type from which they are to be
paid. The difference between the assets and the liabilities of governmental fund types is
referred to as fund balance. The measurement focus in this fund type is on the determination of
financial position and changes in financial position (sources, uses and balances of financial
resources), rather than on net income determination. The statement of revenues, expenditures,
and changes in fund balance is the primary governmental fund type operating statement. It
may be supported or supplemented by more detailed schedules of revenues, expenditures,
transfers and other changes in fund balance. Under current GAAP, there are four governmental
fund types: general, special revenue, debt service and capital projects.
Governmental National Mortgage Association (GNMA OR GINNIE MAE):
GNMA, like FNMA, was chartered under the Federal National Mortgage Association Act of 1938.
Securities guaranteed by GNMA and issued by mortgage bankers, commercial banks, savings
and loan associations and other institutions. Security holder is protected by full faith and credit of
the U.S. Government. Ginnie Mae securities are backed by FHA, VA or FMHM mortgages. The
term pass-throughs is often used to describe Ginnie Maes.
Income:
A term used in proprietary fund type accounting to represent (1) revenues, or (2) the excess of
revenues over expenses.
Intergovernmental Revenue:
Funds received from federal, state, and other local government sources in the form of grants,
shared revenues, and payments in lieu of taxes.
Page 640 of 648
Internal Service Fund:
A fund that is comprised of one or more departments that provides services to other
departments within the governmental unit or amongst multiple governmental units. These
services are funded through expenditures in the departments that utilize the services provided
and recorded as revenue in the internal service fund created.
Investment Policy:
The Budget Act allows the municipality to adopt a single document that serves as the annual
budget and the appropriation ordinance.
Lease Purchase Agreement (Capital Lease):
A contractual agreement whereby the government borrows funds from a financial institution or
a vendor to pay for capital acquisition. The title to the asset(s) normally belongs to the
government with the lessor acquiring security interest or appropriate lien therein.
Letter of Credit:
A commitment, usually made by a commercial bank, to honor demands for payment of a debt
upon compliance with conditions and/or the occurrence of certain events specified under the
terms of the commitment.
Level Debt Service:
An arrangement of serial maturities in which the amount of principal maturing increases at
approximately the same rate as the amount of interest declines.
Levy:
(Verb) to impose taxes, special assessments, or service charges for the support of governmental
activities. (Noun) The total amount of taxes, special assessments, or service charges imposed by
the Village.
Liability:
Debt or other legal obligations arising out of transactions in the past, which must be liquidated,
renewed or refunded at some future date.
Liquidity:
A liquid asset is one that can be readily converted to cash through sale in an active secondary
market.
Local Government Investment Pool (LGIP): Pools through which governmental entities may invest
short term cash. Examples of LGIP's are the Illinois Funds, administered by the Illinois State
Treasurer and the Illinois Metropolitan Investment Fund.
Long-Term Debt:
Long-term debt is defined, for purposes of this policy, as any debt incurred whose final maturity is
more than three years.
Maturity:
The date upon which the principal of a municipal bond becomes due and payable to
bondholders.
Page 641 of 648
Major Services:
The actions a department undertakes to accomplish the work necessary in individual Program
Areas.
Market Value::
The price at which a security could presumably be purchased or sold.
Mark to Market:
The process of restating the carrying value of an asset or liability to equal its current market
value.
Master Repurchase Agreement:
A written contract covering all future transactions between parties. The agreement establishes
each party’s right in the transaction. Repurchase Agreements (REPO’s) are a form of short -term
borrowing for dealers in government securities. The dealer sells the government securities to
investors, usually on an overnight basis, and then buys them back the following day. For the
party selling the security (and agreeing to repurchase it in the future), it is a repo; for the party on
the other end of the transaction (buying the security and agreeing to sell in the future), it is a
reverse repurchase agreement. A master agreement will often specify, among other things, the
right to liquidate the underlying securities in the event of default.
Mini-bonds:
A small denomination bond directly marketed to the public.
Modified Accrual Basis:
The accrual basis of accounting adapted to the governmental fund-type measurement focus.
Under it, revenues and other financial resource increments (e.g., bond issue proceeds) are
recognized when they become susceptible to accrual; that is when they become both
"measurable" and "available" to financial expenditures of the current period: "Available ” means
collectible in the current period or soon enough thereafter to be used to pay liabilities of the
current period. Expenditures are recognized when the fund liability is incurred except for (1)
inventories of materials and supplies that may be considered expenditures either when
purchased or when used, and (2) prepaid insurance and similar items that may be considered
expenditures either when paid for or when consumed. All governmental funds, expendable trust
funds and agency funds are accounted for using the modified accrual basis of accounting.
Net Income:
Proprietary fund excess of operating revenues, non-operating revenues, and operating transfers
over operating expenses, non-operating expenses, and operating transfers out.
Net Interest Cost (NIC) - The traditional method of calculating bids for new issues of municipal
securities. The total dollar amount of interest over the life of the bonds is adjusted by the amount
of premium or discount bid, and then reduced to an average annual rate. The other method is
known as the true interest cost (see "true interest cost").
Offer to Offered Price:
The trading price proposed by the prospective seller of securities (also called the asked or asking
price).
Page 642 of 648
Offering Circular:
Usually a preliminary and final document prepared to describe or disclose to investors and
dealers information about an issue of securities expected to be offered in the primary market. As
a part of the offering circular, an official statement shall be prepared by the Village describing
the debt and other pertinent financial and demographic data used to market the bonds to
potential buyers.
Open Market Operations:
Purchases and sales of government and certain other securities in the open market by the New
York Federal Reserve Bank as directed by the FOMC in order to influence the volume of money
and credit in the economy. Purchases inject reserves into the bank system and stimulate growth
of money and credit; sales have the opposite effect. Open market operations are the Federal
Reserve's most important and most flexible monetary policy tool.
Other Contractual Debt:
Purchase contracts and other contractual debt other than bonds and notes. Other contractual
debt does not affect annual debt limitation and is not a part of indebtedness within the
meaning of any constitution or statutory debt limitation or restriction.
Par Value or Face Amount:
In the case of bonds, the amount of principal which must be paid at maturity.
Parity Bonds:
Two or more issues of bonds which have the same priority of claim or lien against pledged
revenues or the issuer's full faith and credit pledge.
Performance Contracting:
Performance Contracting allows the village to combine project planning with other
governmental units to combine purchasing power to share fixed costs of a project and pay
each participants own share of actual costs. Each participant shares the risks and rewards of
the project.
Principal:
The face amount or par value of a bond or issue of bonds payable on stated dates of maturity.
Private Activity Bonds:
One of two categories of bonds established under the Tax Reform Act of 1986, both of whom
are subject to certain tests and State volume caps to preserve tax exemption.
Portfolio:
Collection of financial assets belonging to a single owner.
Premium:
The amount by which the price for a security is greater than its par amount.
Page 643 of 648
Primary Dealer:
A group of government securities dealers that submit daily reports of market activity and
positions and monthly financial statements to the Federal Reserve Bank of New York and are
subject to its informal oversight. Primary dealers include Securities and Exchange Commission
(SEC)-registered securities broker-dealers, banks, and a few unrelated firms.
Program Area:
Provides an access point for individuals to search village services by function.
Program Based Budget:
Program-based budgeting is a budgeting structure where money is distributed by program or
functional area and based on the nature of the activities performed by the program.
Property Tax:
Taxes levied on real property according to the property's valuation and the tax rate.
Proprietary Fund Types:
The classification used to account for a Village's ongoing organizations and activities that are
similar to those often found in the private sector (i.e., enterprise and internal service funds). All
assets, liabilities, equities, revenues, expenses and transfers relating to the government's business
and quasi-business activities are accounted for through proprietary funds. The GAAP used are
generally those applicable to similar businesses in the private sector and the measurement focus
is on determination of net income, financial position and changes in financial position.
However, where the GASB has issued pronouncements applicable to those entities and
activities, they should be guided by these pronouncements.
Prudent Person Rule:
An investment standard. In some states the law requires that a fiduciary, such as a trustee, may
invest money only in a list of securities selected by the state - the so-called legal list. In other
states the trustee may invest in a security if it is one which would be bought by a prudent person
of discretion and intelligence who is seeking a reasonable income and preservation of capital.
Qualified Public Depositories:
A financial institution which does not claim exemption from the payment of any sales or
compensating use or ad valorem taxes under the laws of this state, which has segregated for
the benefit of the commission eligible collateral having a value of not less than its maximum
liability and which has been approved by the Public Deposit Protection Commission to hold
public deposits.
Rate of Return:
The yield obtainable on a security based on its purchase price or its current market price. This
may be the amortized yield to maturity on a bond or the current income return.
Ratings:
Page 644 of 648
Evaluations of the credit quality of notes and bonds, usually made by independent rating
services, which generally measure the probability of the timely repayment of principal and
interest on municipal bonds.
Refunding Bonds:
Bonds issued to retire bonds already outstanding.
Registered Bond:
A bond listed with the registrar as to ownership, which cannot be sold or exchanged without a
change of registration.
Reinvestment Risk:
The risk that all or part of the principal may be received when interest rates are lower than when
the security was originally purchased, so that the principal must be reinvested at a lower rate
than the rate originally received by the investor.
Repurchase Agreement (RP OR REPO):
See Master Repurchase Agreement.
Reserve Fund:
A fund which may be used to pay debt service if the sources of the pledged revenues do not
generate sufficient funds to satisfy the debt service requirements.
Retained Earnings:
An equity account reflecting the accumulated earnings of the Village's Proprietary Funds.
Revenue:
Funds that the government receives as income. It includes such items as tax receipts, fees from
specific services, receipts from other governments, fines, forfeitures, grants, shared revenues, and
interest income.
Safekeeping:
A service rendered by banks whereby securities and valuables of all types and descriptions are
held by the bank.
SEC RULE 15C3-1: See uniform net capital rule.
Secondary Market:
Markets for the purchase and sale of any previously issued financial instrument.
Securities and Exchange Commission (SEC):
The federal agency with responsibility for regulating financial exchanges for cash instruments.
Self-Supporting or Self Liquidating Debt:
Debt that is to be repaid from proceeds derived exclusively from the enterprise activity for which
the debt was issued.
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Short-Term Debt:
Short-term debt is defined for purposes of this policy as any debt incurred whose final maturity is
three years or less.
Spread:
The income earned by the underwriting syndicate as a result of differences in the price paid to
the issuer for a new issue of municipal bonds, and the prices at which the bonds are sold to the
investing public, usually expressed in points or fractions thereof.
Surplus:
Surplus is more than or in excess of what is needed or required
Tax Increment District:
A legal entity created by local resolution to promote improvements, jobs, etc. The taxes
generated from the assessed value "increment" above the base year is used to finance the costs
of the improvements, which generate the increased assessed valuation.
Tax-Exempt Bonds:
For municipal bonds issued by the Village tax-exempt means interest on the bonds are not
included in gross income for federal income tax purposes; the bonds are not items of tax
preference for purposes of the federal, alternative minimum income tax imposed on individuals
and corporations; and the bonds are exempt from taxation by the State of Illinois.
Tax Increment Bonds:
Bonds secured by the incremental property tax revenues generated from a redevelopment
project area.
Tax Levy:
The total amount to be raised by general property taxes for operating and debt service
purposes.
Tax Rate:
The amount of tax levied for each $100 of assessed valuation.
Tax Year:
Tax year pertains to the fiscal year in which the taxes are assessed and collected, but not distributed.
Term Bonds:
Bonds coming due in a single maturity.
Treasury Bills (T-BILLS):
Short-term obligations issued by the U.S. Treasury for maturities of one year or less. They do not
pay interest but are issued on a discount basis instead.
TREASURY BONDS (T-BONDS): Long-term obligations issued by the U.S. Treasury with initial
maturities of more than ten years.
Treasury Notes (T-NOTES):
Medium-term obligations issued by the U.S. Treasury with initial maturities of from one to ten
years.
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True Interest Cost (TIC):
Also known as Canadian Interest Cost. A rate which, when used to discount each amount of
debt service payable in a bond issue, will produce a present value precisely equal to the
amount of money received by the issuer in exchange for the bonds. The TIC method considers
the time value of money while the net interest cost (NIC) method does not.
Trust Funds:
Funds used to account for assets held by a government in a trustee capacity for individuals,
private organizations, other governments, and/or other funds.
Uniform Net Capital Rule:
Securities and Exchange Commission requirement that member firms as well as non-member
broker dealers in securities maintain a maximum ratio of indebtedness to liquid capital of 15 to 1;
also called net capital rule and net capital ratio. Indebtedness covers all money owed to a firm
including margin loans and commitments to purchase securities, one reason new public issues
are spread among members of underwriting syndicate. Liquid capital includes cash and assets
easily converted to cash.
Yield:
Loosely refers to the annual return on an investment expressed as a percentage on an annual
basis. For interest-bearing securities, the yield is a function of the rate, the purchase price, the
income that can be earned from the reinvestment of income received prior to maturity, call or
sale. Different formulas or methods are used to calculate yields.
Yield to Maturity:
The rate of return to the investor earned from payments of principal and interest, with interest
compounded semiannually and assuming that interest paid is reinvested at the same rate.
Zero Coupon Bond:
A bond which pays no interest, but is issued at a deep discount from par, appreciating to its full
value at maturity.
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Acronyms
CAD: Computer Aided Dispatch
CAFT: Combined Area Fire Traing
CIF: Capital Improvement Fund
CIP: Capital Improvement Plan
EAB: Emerald Ash Borer
EAV: Equalized Assessed Valuation
EMA: Emergency Management
Agency
FLSA: Fair Labor Standards Act
GAAP: Generally Accepted
Accounting Principals
GFOA: Government Finance Officers
Association
GovITC: Government Information
Technology Consortium
HVAC: Heating, Ventilation Air
Conditioning
IEPA: Illinois Environmental
Protection Agency
IMF: Infrastructure Maintenance
Fee
IMRF: Illinois Municipal Retirement
Fund
IRMA: Intergovernmental Risk
Management Agency
MCSC3: Mobile Comm Support
Center 3
MDC: Mobile Data Computer
MFT: Motor Fuel Tax
NWCDS: Northwest Central Dispatch
System
NWWC: Northwest Water Commission
OTSW: Opportunities, Threats,
Strengths, and Weaknesses
SOP: Standard Operating
Procedure
SWANCC: Solid Waste Agency of
Northern Cook County
TERF: Technology Equipment and
Replacement Fund
TIF: Tax Increment Financing
VSI: Voluntary Separation
Incentive
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