State of Roselle address tackles budget woes

Roselle's budget woes were at the heart of Village President Gayle Smolinski's annual State of the Village address this week.

Smolinski said Roselle's roughly $1 million budget shortfall from its general fund already has caused pay cuts and salary freezes for nonunion village employees this fall, along with some restructuring and layoffs earlier this year.

But harder times still could lie ahead, she said, as sales-, income- and hotel-tax revenues all continue to fall.

"We knew this was coming and budgeted conservatively for this year" she said. "However, it became worse than we anticipated."

The village is currently in talks with the fire, police and public works unions to negotiate possible pay cuts or freezes and prevent layoffs until Roselle's finances recover.

As part of its cost-cutting, Roselle also has delayed several capital projects and equipment purchases. But workers will move ahead with a $4 million repaving project on Foster Avenue and replacing a water main on the roadway.

Roselle will issue bonds to fund the project through the federal Build American Bonds program, which allows the village to recoup 35 percent of the interest over the life of the loan.

Repayment will come from utility and motor fuel taxes, which must be used for infrastructure work and can't be used to supplement the ailing general fund, Smolinski said.

"We have to keep our infrastructure up in order to provide service," she said Thursday. "If we had to try and save up the money for Foster, it would take forever. And the road really needed to be done yesterday."

Smolinski also discussed financial ideas in play for Roselle's long-term future, including rolling out a new economic development brochure, exploring home-rule status for the village and sharing training resources, such as public works equipment, between departments or even with other municipalities.

Only two audience members asked questions, with one expressing distaste for the new red-light camera at Rodenburg Road and Central Avenue. It was the second installed after the two cameras at Lake Street and Gary Avenue last year, which generate about $360,000 annually for Roselle.

But Smolinski said the cameras are not only helping during a budget crunch, but they are also making the roads safer since accident rates have dropped at Lake and Gary.

"Honestly, it's less of a revenue source than we anticipated," Smolinski said Thursday. "But let's face it ... we need revenue as well as safety. It's not like we're putting them on every street."