Budget cuts found in Vernon Hills

Canceling the annual employee appreciation dinner and deferring the purchase of squad cars are among dozens of suggestions the Vernon Hills village board will consider to close a budget gap of nearly $1.2 million.

Department heads and village administrators compiled an extensive list of cost cuts and other savings after a dire report that revenues at the midpoint of the budget year were much less than expected.

Mass layoffs are not on the list, and basic services, including snow plowing and police protection, are not expected to be affected by the proposed reductions.

Budget adjustments will be considered Tuesday by the village board at its informal work session that follows the regular meeting beginning at 7 p.m. at village hall, 290 Evergreen Drive.

Drops in sales, state income, telecommunications and motel/hotel taxes have changed the current budget outlook from being $241,000 in the black to $879,000 in the red.

That news led the staff to examine expenses and consider other measures to offset those drops. Revisions of more than $1 million were identified, reducing the deficit to $146,000. That figure could increase, however, if some of the savings are set aside as contingencies for unforeseen expenses.

"That's a picture between now and the end of the fiscal year, but you can see there's still a deficit there," said Village Manager Mike Allison.

Among the cuts to be considered this week are $30,000 in police overtime. Police will not be used this year for traffic control at the annual holiday light show, and a critical incident training exercise will be not be held. Delaying the purchase of squad cars will save another $90,000.

The proposed cuts also include $10,000 less for replacement light poles; tens of thousands in postage in various departments; and office supplies, training, furniture, contractual services and other expenses.

Savings also were realized as products or services cost less than expected or the scope of projects were reduced.

Allison stressed the suggestions may get the village through the current year, but that 2010-11 will be another matter, particularly since a $1 million land sale will not be on next year's books.

Whether revenues continue to slide or rebound is another wild card.

"The real challenge is going to be going forward," Allison said.