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Finance director: five-year plan widens after adding public-works projects; pension funding drives assumptions
Summary
Finance Director Susie Mica told trustees the five-year plan expanded after engineering and street/water projects were added; pension funding assumptions and CPI caps explain year-to-year shifts in property‑tax allocations, and staff urged ranking projects and exploring revenue streams.
Finance Director Susie Mica reviewed the village's updated five-year financial plan and explained why the new draft shows a larger projected deficit than an earlier version.
Mica said missing engineering and public-works projects were the main cause of the roughly $31 million increase in projected deficits compared with the prior draft, and she described pension-funding assumptions and CPI tax levy caps that cause property-tax allocations to shift year to year. "One big thing that needs to take play in this is that we have the pension laws that are out there that we have to be 90% funded by the year 2040," she said, explaining how funding schedules can temporarily increase pension contributions and depress other general fund uses.
Trustees pressed on revenue options (sales and property tax impacts, TIF limitations) and vehicle-replacement strategies; Mica advised prioritizing the capital list, exploring alternative financing for vehicle acquisition, and using the board's August–September budget review schedule to refine options. The board did not vote on the five-year plan but scheduled review steps in the budget calendar.
