Village finance staff reported at the Oct. 5 board meeting that property tax receipts are running behind last year and that staff have adjusted revenue projections and five-year forecasts accordingly.

Margaret (Finance staff) told the board, “property taxes at this point are now running less than last year by about 3,000,000,” and said Cook County has notified the village that tax bills will likely be delayed into September or October. She said staff expect most property tax revenue to arrive by December but warned of timing issues that could affect cash flow.

The updated forecast presented covers 2026–2030 and incorporates current financial policies, known contract and wage obligations, and assumptions about capital needs. Margaret told the board the general fund is now projected to finish the year about $652,000 over its revenue budget; after planned expenditures the village is still projecting a general‑fund drawdown of roughly $3,700,000 compared with an earlier plan for a $4,800,000 drawdown. Fund reserves at month end were reported at $14.5 million, about 50% of operating expenses.

Staff also reported mixed performance across other revenue streams: sales tax receipts for the month were strong at 62.4% of the monthly budget, though use tax receipts have declined because some transactions have been reclassified. Margaret said the department of revenue has had reporting errors they are reconciling. She noted several revenue sources — income tax, utility tax, cable franchise, parking fees, garbage and sewer charges, and vehicle licenses — were higher than projections for the month.

On the expenditure side, staff said year-to-date spending is higher than last year but generally in line with expectations. The water fund is projected to exceed its revenue budget by about $190,000 and to end the month with reserves near $3.2 million. Staff said capital project invoicing lags have left the capital projects fund at a low percent of budget for the year; invoices tied to golf-course construction will raise that figure as they arrive.

Board members and staff discussed risks that could change the forecast, including potential pension legislation, state shared‑revenue reductions, tariffs affecting local auto sales, and the federal outlook for tax-exempt bond rules. Margaret said property-tax levy rules allow a 2.9% increase next year under current policy, and staff will present home‑rule revenue options — including fee and tax proposals — to the finance committee for consideration as they finalize the draft budget.

The forecast assumes a 7% water-rate increase in 2026 (subject to the pending rate study) and a placeholder 5% sewer fee increase to support capital. Staff said they are continuing to refine assumptions for use tax and PPRT (personal property replacement tax) because recent legislative changes and state budget actions have made historical comparisons unreliable.

Staff said debt‑service plans assume potential bond issues in 2026 and 2029, but those plans remain flexible pending final capital and election‑cycle decisions. The draft budget and updated forecast will be returned to the board next month with more detailed capital and staffing recommendations for the finance committee’s review.

Ending: The board did not take new formal budget actions at the meeting; staff will return with a refined draft budget and a finance‑committee discussion of home‑rule options and any actuarial analysis if pension legislation moves forward.