How the economy could affect county forest preserve

The nation's continued economic woes could negatively affect the Lake County Forest Preserve District and its many services and attractions, new district documents indicate.

Declining real-estate values and the struggling home-construction industry will slow the growth rate of the district's property-tax revenue, Executive Director Tom Hahn wrote in a memo released to the board Tuesday.

That decline in anticipated revenue could force officials to limit program expansion in upcoming years, Hahn wrote. It also could force officials to seek alternative revenue sources.

Additionally, as airline fares and gasoline costs increase, district officials expect Lake County residents will travel less and rely more heavily on district amenities for recreation.

That could lead to pressure to open relatively new preserves sooner than initially planned, Hahn wrote.

The district's financial picture is not dire, however. The agency's savings are sound, and it will be able to improve core programs over the next year, Hahn wrote.

"Even with these lower revenue projections, the district is able to live within its means," he wrote.

Forest board President Bonnie Thomson Carter insisted neither program cuts nor staff reductions are necessary.

"We've been frugal and responsible with the taxpayers' money," said Carter, an Ingleside Republican. "We're not spending more than we have."

Hahn's memo accompanied the proposed 2008-09 budget, unveiled at Tuesday's forest board meeting in Waukegan.

The proposed spending plan covers expenses and revenue for the next fiscal year, which begins July 1. Commissioners are expected to formally review the plan May 8 and vote on it June 10.

The plan predicts officials will spend about $127.8 million on land purchases, facility improvements, salaries and other expenditures.

Conversely, it calls for about $107.4 million in revenue from property taxes, fees and other sources.

The roughly $20.4 million difference will be bridged with money from the district's savings, officials said.

All local government agencies that rely on property taxes for revenue are experiencing a financial pinch because of the sliding economy, Carter said.

So, of course, are many local residents. And if people will visit preserves more often over the next year, officials want to ensure the additional usage doesn't hamper the excursions.

"We want to be able to give them that safe, clean environment that they've come to know," Carter said.

The nation's economic downturn isn't all bad for the forest district, officials said. With fewer homes being built in the area, more land acquisition opportunities should arise, Hahn said.

Officials already have identified more than 10,000 acres that could be "excellent additions" to the district's land holdings, Hahn wrote.

Available funding for such purchases is dwindling, however. Officials next could ask voters in November for more money for land purchases, but they haven't decided whether to put a request on the ballot.