Lake in the Hills village officials this week are reviewing proposed expenditures of roughly $17 million for the 2014 calendar year, resulting in a surplus of $123,180 in the general fund by year end.
Officials are proposing a .2 percent reduction in the village's property tax levy -- going from $5,665,770 collected this year to $5,656,140 to be collected in 2014.
It's the third straight year the village has reduced its tax levy, Village Administrator Gerald Sagona said in a staff memo.
Officials anticipate having $7.2 million in general fund reserves by year end, which is above the threshold set by village code of maintaining 25 percent of the previous year's receipts in the fund.
The 2014 budget includes money for one new full-time position, which will be funded through the revenues derived from airport operations. Nonunion village employees will receive a 2 percent Cost of Living Adjustment (COLA) starting Jan. 1 and possibly a merit adjustment in July.
Meanwhile, employee health insurance costs are increasing by 10 percent, effective July 1, documents show.
Among the proposed capital expenditures are $52,500 for the expansion of the Splash Pad at Sunset Park, and $166,380 for the 14th annual Summer Sunset Festival.
The village also is in the midst of a multiyear water main replacement program, scheduled for completion in 2016. A 3 percent increase in the water rates is included in the 2014 budget to fund the improvements.
General fund revenues in 2014 are expected to be roughly $17.2 million, an increase of about $879,000 from this year.
Sales tax revenues -- generated through a 1 percent base rate and .75 percent home rule rate -- are estimated to be $3.8 million, an increase of about $129,000 from estimated revenues for fiscal year 2013.
The village's sales tax rate is the lowest among municipalities with commercial developments along the Randall Road corridor, Sagona noted in his memo.
Revenues from use tax, collected by the Illinois Department of Revenue and distributed to municipalities on a per capita basis, are anticipated to increase 4.9 percent in 2014. Income tax revenues also will be higher next year by $161,480. However, the village's telecommunications tax receipts, which includes the utility tax on telecommunications and an infrastructure maintenance fee, is estimated to dip by $42,980 in 2014.
Officials expect that revenue to continue declining as fewer residents opt for cellular and Internet-based home phone services.
Officials anticipate receiving roughly $300,000 next year for providing police dispatch services to Huntley, Fox River Grove, Marengo and Union.