DuPage County moves to cut costs because of COVID-19

DuPage is working to slash operating expenses as the county prepares for a dramatic decline in sales tax revenue because of the COVID-19 pandemic.

Officials say it will take several months to know the true financial impact of the crisis, but they expect revenue to fall well short of projections.

That will have an impact on DuPage's $183.8 million general fund, which includes the budgets of most county offices and departments. Roughly 55% of revenue for that fund was expected to come from sales taxes.

Normally, DuPage receives about $3.5 million a week in total revenue for its general fund.

If there's a 20% reduction in sales tax collections and fees, the county would see its weekly revenue decline by roughly $500,000. If there's a 60% reduction, DuPage's weekly revenue would plummet by roughly $1.5 million.

In response, department heads and countywide elected officials have been asked to immediately reduce expenditures by a minimum of 15%.

"At this time, we are only focusing on the portions of the budget that are supplied through the general fund," said Nick Kottmeyer, DuPage's chief administrative officer. Several departments are partially or fully funded through other sources such as grants, utility fees or gas tax revenue.

Departments could reduce expenses by not filling open positions, limiting or reducing overtime, and delaying or eliminating purchases.

Kottmeyer said departments shouldn't lay off or furlough employees because it appears organizations may not qualify for federal reimbursement if they implement employee reduction plans.

"We do not want to be in a position where we're eliminating eligibility," he said.

DuPage also is tracking all virus-related costs because it may seek federal grant money to offset them. A team has been formed to pursue each of the opportunities for federal reimbursement on behalf of all county departments.

"Our plan is to be very aggressive but have all the documentation behind it," Kottmeyer said.

Finally, the county is developing long-term organizational expense reduction scenarios for the current and next fiscal years. The goal is to have department heads and countywide elected officials find ways to permanently reduce expenses.