Carpentersville could face staff cuts

Plugging a $1.5 million hole in Carpentersville's budget could mean staff cuts, slower emergency service response times, more crime and higher taxes, department heads are warning the village board.

During preliminary discussions of the upcoming budget, managers from the village's eight departments this week outlined areas for reduction and the potential ramifications if cuts are made.

General fund revenues for 2010-2011 are projected to drop from almost $25 million in 2009-2010 to about $23.3 million. The enterprise fund, which supports the village's water and sewer services, is anticipated to drop from $7.2 million to about $6.3 million.

Much of the village's financial woes stem from declining sales tax revenues, a housing market plagued with foreclosures and empty homes, as well as an unexpected dip in state income tax revenues.

"Sales taxes, state income tax and property taxes make up about 75 percent of our revenue," said Trustee Paul Humpfer, who also chairs the village's audit and finance commission. "We don't see a lot of hope that the 6 percent drop in sales tax will improve and the 16 percent less from state income taxes is really hurting us."

Humpfer said Tuesday's presentation was a preliminary overview from staff that would be taken into account when the new budget is finalized.

Predictions from staff won't make the budget process any easier.

A $314,381 reduction to the fire department's allocation could force the department to lay off two full-time firefighters or paramedics, reduce part-time staffing more than 11,000 hours and demote a full-time fire captain to lieutenant, Fire Chief John Schuldt told the board.

That could lead to increased response times, delays in firefighting and reduce staffing levels from 13 to 12 during the weekday and 11 on weekends and evenings.

"I am confident the board will look at the issues and address them the best they can with the economic times that are facing everybody," Schuldt said Wednesday.

Similarly, the police department is anticipating $604,448 less than in the next budget. Police Chief David Neumann said staff reductions could lead to increased response times for emergency and nonemergency calls and increased crime.

In the public works department, less funding could affect snow plowing early in the day, as well as fewer road repair projects.

Trustees agreed to give back 10 percent of their salaries and village staff did offered ideas on generating more revenue: Increasing the environmental surcharge on water bills from $9 to $24 per quarter would generate another $600,000; a 5-percent water and sewer rate hike would yield $250,000.

Meanwhile, should the village reduce or not abate the property tax levy as it historically does, the village could add $250,000 to budgeted general fund revenues and another $750,000 to the enterprise fund.