Gurnee adopts $101.4 million 2025–26 budget, approves fee, transfers and multiple public-safety and capital contracts

The Village of Gurnee Board of Trustees on April 7 approved the village’s $101.4 million fiscal 2025–26 budget, a package of fee and rate changes and a slate of contracts and capital transfers, voting unanimously on each item.

The adopted budget carries no property-tax increase, keeps the village’s reserves above policy and plans a net use of approximately $2.1 million in fund balance for capital spending next year, village staff told trustees.

The budget package also included a 6% increase in water rates, a $4.0 million general-fund capital contribution (split as $2.75 million to the capital improvement fund, $1 million to the golf course fund and $250,000 to the water and sewer fund), and approvals of multiple professional-service and equipment contracts for public safety, streets and public works.

Village staff summarized the budget at a public hearing before the vote, saying the document was prepared without a property-tax increase, maintains healthy reserves across funds and keeps the village’s debt burden low. Pat, a village staff member who presented budget details, said the general fund is projected to end the year with about $33.4 million — roughly 73.8% of expenditures less transfers — above the village policy target of 60–65%.

Why it matters

The budget determines the level of capital work the village will deliver next year, funds staff and public-safety programs and sets user rates residents pay for water and other services. The board’s approvals move forward a multi-year capital program that includes roughly $20 million in projects for transportation, buildings, water and vehicle replacement.

Key details from the meeting

Budget totals and reserves: Staff presented a total budget across all funds of $101,400,000, up about $2.3 million (2.3%). The presenters said the planned net use of fund balance (across all funds) is $2.1 million and that the capital improvement fund will still show a projected balance of $2.1 million after the current planned drawdown. Village staff said the water and sewer fund will finish next year with about $4.5 million (roughly 41.7% of revenues). The health insurance fund showed a projected shortfall tied to moving from self-insurance toward a government pool for health coverage.

Water rates and fee schedule: As part of the annual fee ordinance, trustees approved a 6% increase in water rates. Staff said the village remains one of the lowest-cost water providers in its JAWA purchasing group even after the increase. The fee ordinance also adjusted hydrant-meter billing to monthly from quarterly and raised tanker-fill fees to better reflect cost recovery.

Capital transfers: The board approved transfers that staff described as coming from 2023–24 surpluses. The approved allocation moves $2.75 million to the capital improvement fund, $1 million to the golf course…