Wheeling approves 2010 budget, but still undecided on layoffs

Consider it a Christmas bonus.

Wheeling village employees will be able to at least get through the holidays with some peace of mind before the ax falls in 2010.

The village board this week approved the final 2010 budget, but officials still are undecided on how many employees will be laid off next year.

The administration recommended eliminating about 10 employee positions, but the final number could be more, officials have said.

The layoffs could affect five police officers, according to the head of the police union.

"They haven't made any decision yet on layoffs," village Finance Director Michael Mondschain said. "The village's goal is to reduce the deficit to $1 million or less and so the board and the staff are still continuing to explore options as to how to reduce the deficit to that number."

Layoffs won't be finalized until sometime after Jan. 1, Mondschain added.

The village board this week approved a total budget for all funds of nearly $75 million for next year. That includes roughly $32 million in general fund expenditures for operations, water and sewer projects, debt service payments, police and fire pension contributions, tax increment financing and capital projects costs.

Officials whittled a projected $5.3 million deficit next year down to $2.4 million largely by increasing the village's portion of the property tax levy by 7.5 percent from the 2009 extension, raising the hotel/motel tax from 5 percent to 6 percent and increasing the water and sewer rate by 4.5 percent.

The village also saved money by eliminating the Fourth of July parade/fireworks and holiday lighting next year, cutting down on legal costs, changing insurance providers, and deferring street improvements.

Officials are scrimping where they can. The village board cut meal allowances for employees traveling out-of-town on village business. Under the new policy, employees get a per day meal allowance only if staying overnight.

Mondschain said it may not be that significant in a $75 million budget, but it still saved the village $5,000.

"It's just another measure," Mondschain said. "We are trying to look at all of our policies and procedures to cut costs."

The village's general fund balance at the end of 2009 is estimated to be roughly $14.5 million.

The 2010 village budget represents a 23 percent decrease in expenditures from 2009. That's because the village is spending roughly $22 million less next year because two of its largest construction projects - the new village hall and public works facility - are now complete. The village took on $40 million in additional bond debt for those projects.

The village still has some renovation left to do at the police department and a new fire station to build.