City Council Workshops

Monday, Nov. 11, 2019 1. Call to Order The Wheaton City Council Budget Workshop Session was called to order at 7:00 p.m. by Mayor Suess. The following were: Physically Present: Mayor Suess Councilman Barbier Councilwoman Bray-Parker Councilwoman Fitch Councilwoman Robbins Councilman Rutledge Councilman Zaruba Absent: None City Staff Present: Michael Dzugan, City Manager John Duguay, Assistant City Manager Robert Lehnhardt, Director of Finance William Murphy, Police Chief William Schultz, Fire Chief Department Heads I. Budget Overview City Manager Dzugan reviewed the proposed budget for 2020, which is to be adopted December 16. He reviewed the major components of the budget, which includes $18.6 million in projects as part of the Capital Improvement Plan. The City is projecting an excess in reserves of approximately $5.2 million, which the Council discussed distributing approximately 50% toward discretionary spending, 25% toward storm sewer improvements and 25% toward the building renewal fund. The property tax levy the Council discussed previously totals $20.9 million, which represents a 1.5% increase from the 2018 levy. The increase is mostly due to a request from the Library for an additional $200,000, and the Council also discussed two options for the levy of Special Service Area 8. Among the noteworthy changes City Manager Dzugan reviewed were the addition of one full-time employee in the Fire Department, approximately $700,000 in additional revenue the City is receiving through the Motor Fuel Tax, and an estimated $200,000 in additional internet sales tax revenue. City Manager Dzugan stated the City will need to increase its contributions toward pension funds approximately $1 million. Health insurance costs for the City are showing a decrease of $200,000, and the City will receive a reimbursement of $100,000 for its high percentage of employees participating in the wellness program. The budget also includes an increase of $85,000 for cyber security. City Manager Dzugan reviewed the City’s Data for Decisions initiative, which is helping inform the City’s decisions on items such as ambulance needs and police beats. 11/11/19 CITY COUNCIL BUDGET WORKSHOP SESSION Toward the City Council’s goal of no more than 2% increase in funds, the General Fund increased 3.1%, the majority of which is for pension increases and wages and benefits. At the same time, the City has seen some positive movement in revenues, including the increase in Motor Fuel Tax funding and an $800,000 increase in income tax revenues. The City has been aggressively seeking grants and received more than $2 million in federal funding toward specific road projects. Director of Finance Lehnhardt stated that the 2020 budget includes expenditures exceeding revenues by $1.4 million, but this is due to planned spending for capital expenditures, and the City has built reserves for this purpose. Director of Finance Lehnhardt reviewed the City’s expenditures for the 2020 budget, which calls for maintaining the current service levels. He stated the reserve fund balance is projected to be 48.3%, which is above the reserve target of 40%. In addition, he reviewed trends for the City’s major revenue sources, including a gradual decrease in telecommunications tax revenues as more residents migrate to data over the internet. II. Review of Calendar Year 2020 Draft Budget A. Library Library Director Adamowski reviewed the Wheaton Public Library’s updated mission statement, which is driving their goals and budget decisions. Alan Herbach of the Library Board stated the Library is requesting $4.03 million from the City. He stated their other revenues are projected to be $459,118. Library Director Adamowski stated the proposed budget includes a 2% increase, plus an increase to fund keeping the library open year-round. She reviewed some of the library’s strategic goals, including expanding strategic communications, increasing public awareness of library resources, and increasing marketing to increase transparency. Library Board President Christine Fenne stated one of the main goals addressed in this budget is remaining open on Sundays year-round, and extending Friday hours to 7 p.m. This is something the library has received feedback about from the community, and the Library determined it would take adding 4 positions at 25 hours each per week, for an annual cost of $95,000. Another goal the Library is working toward is developing a vision plan to update several areas within the library. To clarify a Council question, Library Board President Fenne stated the 4 positions would add to the workforce base to cover the additional hours that the library is open. Library Director Adamowski stated the changes the Library will be working toward would provide flexible spaces for teens to collaborate, a maker space and more. Library Director Adamowski stated this budget also calls for launching an updated POLARIS library system to improve staff workflows and improve service to residents. B. Downtown Wheaton Association Paula Barrington, Executive Director of the Downtown Wheaton Association (DWA) reviewed the organization’s mission, in cooperation with the City’s Economic Development Department. She reviewed their calendar of events, which has grown since past years, and highlighted their major 2 11/11/19 CITY COUNCIL BUDGET WORKSHOP SESSION revenue-generating events in 2019: Let’s Wine about Winter, with a profit of approximately $7,000, and the Wheaton Wine Walk and Chili Cook-off, which each earned approximately $17,000. Executive Director Barrington outlined the DWA’s partnership with the DuPage Convention and Visitors Bureau related to the Frida Kahlo exhibition coming to the College of DuPage this summer. Because it is expected to bring 150,000+ visitors to DuPage County, the DWA is planning tie-ins to bring business to downtown. Donna Hesik, president of the Downtown Wheaton Association Board, reviewed the ideas for events, including a juried art show using a well-known production company. Executive Director Barrington also reviewed the success of the Brokers Walk to introduce local commercial brokers and property owners to available properties. She also outlined numerous businesses that will be opening soon in downtown Wheaton. Jim Mathieson of the Downtown Wheaton Association Board reviewed the proposed budget, which shows a net gross income of $210,000. The budget presented is a balanced budget, covering the cost of two full-time employees and other expenses. C. Wheaton Municipal Band Dotti Mackey of the Wheaton Municipal Band Commission reviewed the band’s activities. She stated the commission is planning ideas for an opening concert in the new Memorial Park band shell. Don Cavalli, the band’s president and manager, stated the proposed budget asks for a 2.7% increase. This would be used for an increase in salaries for the performers. He stated approximately 16% of their budget is contributed by the Friends of the Band organization. D. Fire Department i. General Fund Fire Chief Schultz reviewed the department’s accomplishments for 2019, including receiving an ISO regrading from class 3 to class 2. This puts the Wheaton Fire Department among the top 3% of departments nationwide. In addition, the department conducted a full-scale disaster drill involving an active shooter scenario in coordination with the Wheaton Police Department and School District 200. The department continued its warning siren replacement program as well. For its 2020 goals, the department will be completing a new EMS contract to replace the expiring contract. The department will also implement a newly created position with the merging of two positions related to emergency management and EMS management. The City will be looking to complete facility improvement projects at Fire Station 38, complete an ambulance user fee analysis and implement an improved mass emergency notification system. Director of Finance Lehnhardt stated the proposed budget shows an increase of 1.1%. ii. Foreign Fire Insurance Tax Fund Director of Finance Lehnhardt stated this fund collects for fire department-related expenses, including facility improvements. iii. Wireless Alarm Network Director of Finance Lehnhardt reviewed this fund, which covers the administering of the City’s 3 11/11/19 CITY COUNCIL BUDGET WORKSHOP SESSION Wireless Fire Alarm Network. iv. Fire Pension Fund For the Fire Pension Fund, which is a fiduciary trust fund, Director of Finance Lehnhardt reviewed that this fund is defined by state statute. In response to a Council question, Director of Finance Lehnhardt stated this fund is 70.53% funded. E. Police Department i. General Fund Police Chief Murphy reviewed the department’s accomplishments, which included the third phase of the Drive 25 speed limit reduction plan for residential streets. The department conducted enforcement and saw a reduction in 85th percentile speed in nearly every area that was measured. The Police Department also conducted a safety drill with School District 200 and the Wheaton Fire Department designed around an active shooter scenario. Police Chief Murphy stated the department’s goals include using the Data for Decisions team to assess potential rezoning of police beats and enhancing the department’s officer wellness program to improve stress resiliency. The focus will be providing tools and support to help officers cope with traumatic incidents. In addition, Police Chief Murphy reviewed the department’s reorganization of its auxiliary unit to part-time Community Service Officer positions to better suit the department’s needs. He also discussed recent retirements that led to the addition of new officers. He stated the process takes at least 9 months from when a new officer is hired until they have completed training. In response to Council questions about officers assigned to other organizations, Police Chief Murphy stated one Wheaton Police Officer is assigned to a state-run taskforce working to prevent narcotics from coming into communities. Police Chief Murphy stated this assignment is part of a multi-jurisdiction unit that is helping limit the supply of narcotics in this area. ii. Parking Fund Director of Finance Lehnhardt stated the City will soon be performing a comprehensive look at expenditures and revenues, new technology, parking garages and all aspects of parking. iii. Police Pension Fund Director of Finance Lehnhardt stated this is a fiduciary trust fund defined by state statute. He stated of note is that the Police Department has had 15 retirements since 2016. III. Public Comments There were no public comments. IV. City Council/Staff Comments There were no City Council/Staff comments. V. Adjournment The meeting was adjourned at 9:22 p.m. 4