Carol Stream's budget picture brightens

In a turnaround from previous budget estimates, Carol Stream Finance Director Jon Batek says early numbers indicate the village could end the fiscal year in April with a slight surplus.

Batek said several cost-cutting measures, including the buyout program offered at the beginning of the year, helped offset sagging revenues, which have been propped up by two new revenue sources.

After adopting a budget that included a deficit of about $513,000, Batek said savings resulting from the buyout program and keeping vacant positions unfilled helped the village create a budget surplus that should exceed $358,000.

“I say that with an asterisk and a bit of caution,” Batek said Tuesday. “We're not awash in cash and we're not saying this is the sign of a turnaround. We're expecting a real tough budget year.”

Despite new revenue from towing fees and a quarter-cent sales tax hike that took effect July 1, revenues remained stagnant because all other revenues are expected to dip about 4.2 percent over last year.

Batek said he expects a decrease next year as well and officials likely will continue to struggle for the foreseeable future to match expenditures with revenues.

“Obviously, we do the best we can with the expenditures that are in our immediate control,” Batek said. “But we continue to shrink as an organization because the revenues continue to fail to grow. Every year we have new expenditure mandates and that really hinders our ability to continue to provide other services.”

Batek noted that during the past three years, the overall budget has shrunk 20 percent from about $25 million to its present level around $20 million.

Twelve employees took buyout offers during the past fiscal year and replacements were hired at lower salaries.

Those buyouts helped reduce salary levels by $875,000.

Batek said he will continue to focus on the expense side of the budget equation, especially with today's struggling economy taking a bite out of revenues.

“If you're ending the same as last year, the impact of those new revenues has been essentially nullified,” he said. “We have a more diverse revenue base but, unfortunately, we have very few that are not susceptible to the deep economic issues we have experience.”

Department heads are now putting together their own estimates for Batek.

He said that's when the real work begins.

“We'll see where this all brings us,” he said. “Then we'll try our best to make the ends meet and put forth a solid fiscal year.”