Fox Lake tries to cut deficit without layoffs
Fox Lake officials said they are not pushing employees out the door, but if certain people would like to retire on their own, the door is open.
Officials approved opening up an early retirement program for village employees Tuesday night. The retirement program will save the village hundreds of thousands of dollars, said Village Manager Nancy Schuerr, while also giving eligible employees a chance to start collecting their pension funds.
"We have about 12 employees that are eligible for the program," she said. "To achieve a balanced budget, about three or four of them would need to take advantage of the early retirement program."
The village has been operating with a deficit budget of $250,000 and has been looking for ways to cut back.
The early retirement is only one of multiple initiatives put in place.
Treasurer Paul Christensen said the village is also rewriting their 911 emergency dispatch contract with Grayslake to increase the amount of money the village brings in.
In addition, the village has required residents to pick up the entire cost of garbage pickup, rather than paying half the cost for residents.
Schuerr said officials from the Illinois Municipal Retirement Fund will come in to speak to the early retirement employees and show them their options. Employees have one year to decide if they want to take the retirement package.
She added that only key personnel who choose to retire early will be replaced.
"Most, if not all, retiring employees will not be replaced, which will help us with future budgeting," she said. "Also, people who choose to take advantage of early retirement cannot work in Fox Lake or any municipality that uses IMRF. Not even part time."
Mayor Cindy Irwin said its a win-win situation for everyone because the village saves money while eligible employees can start to draw off their retirement packages.
"I think it's great," she said. "And, from what I understand, there are many employees who are looking at taking advantage of it."