Villa Park projects healthy reserves but warns of multi‑million sewer, road and tech costs

Villa Park City staff told the City Council at a special budget workshop that the city is in a strong fiscal position heading into the FY2026–27 budget process, but identified several large capital projects and outside cost drivers that could affect next year’s spending.

“We are in a very good financial position,” the presenter said, reporting the city is not facing a structural imbalance and that a five‑year projection shows revenues supporting operations. Finance staff said the council’s current-year revenue budget of $6.0 million is now projected at about $6.44 million, roughly $350,000 above budget, while adopted expenditures rose from $7.1 million to $7.2 million and the city underspent by about $1.8 million overall.

That underspending, plus a fund balance carried forward from prior years, leaves Villa Park with sizable reserves: staff said the city has roughly $8.9 million in carried fund balance and projects an ending fund balance of about $9.9 million for June 30, 2026. Undesignated reserves were described as just under $2.7…