Carol Stream OKs smaller budget
Carol Stream officials have continued to shrink the village’s budget to deal with projected revenues that are flat, or in some cases, declining.
On Monday, the village board approved a $43.1 million budget for the 2012 fiscal year, which begins May 1, 2011.
The budget is made up primarily of two different parts: the general fund, which handles day to day operations of the village such as police and public works; and the water and sewer fund, which is driven by rates that pay for the costs of those utilities.
In the case of the latter, village trustees approved an increase of water rates by 21 cents per 1,000 gallons to pass on a rate increase by the DuPage Water Commission.
The $20 million general fund budget is a 4.9 percent decrease from last year, and indicative of a trend over the last three years of scaling back to meet declining revenue expectations, said Jon Batek, the village’s finance director.
“We’re operating at levels we haven’t seen in several years,” Batek said. “We have to do everything in our power to stay within means of total spending.”
No additional revenues were proposed, following last year’s implementation of a 0.25 percent increase in the nonhome rule sales tax.
Expenditures are being reduced by 5 percent, mainly due to continued decreases in staffing levels. A voluntary employee buyout program that began in 2010 has resulted in about 20 positions being either eliminated or left vacant.
A projected $513,000 budget deficit last fiscal year was plugged by use of cash reserves. But Batek said he expects a $450,000 surplus at the end of the current fiscal year April 30, primarily due to the staffing reductions.
This year, $135,000 will be used from reserves.
Batek said village officials are keeping their eyes on Springfield, but noted the proposed state budget doesn’t include any cuts to municipalities’ share of income tax revenue.
“We feel comfortable that if things remain relatively calm and status quo, we shouldn’t have any difficulties in the upcoming fiscal period,” Batek said.