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City Council Minutes 2009 01-27-09 MINUTES OF THE REGULAR MEETING OF THE CITY COUNCIL OF THE UNITED CITY OF YORKVILLE. ]KENDALL COUNTY. ILLINOIS, HELD IN THE CITY COUNCIL CHAMBERS, 800 GAME FARM ROAD ON TUESDAY. JANUARY 27, 2009 Mayor Burd called the meeting to order at 7:03 p.m. and led the Council in the Pledge of Allegiance. ROLL CALL Clerk Milschewski called the roll. Ward I Allen Present Werderich Present Ward II Golinski Present Plocher Present Ward III Mums Present Sutcliff Present Ward IV Besco Present Spears Present Also present: City Clerk Milschewski, City Treasurer Powell, City Attorney Orr, City Administrator McLaughlin, Assistant City Administrator Olson, Finance Director Mika, Public Works Director Dhuse, Police Chief Martin, Lieutenant Hart, Director of Parks & Recreation Mogle, Community Development Director Miller, Public Relations Officer Spies and City Engineer Wywrot. OUORUM A quorum was established. INTRODUCTION OF GUESTS Mayor Burd asked the staff and guests to introduce themselves. He welcomed the guests and asked them to enter their names on the attendance sheet provided. AMENDMENTS TO THE AGENDA Alderman Spears requested that Item #7 — Ordinance Amending the Code of Ordinances Declaring Dutch Elm Disease and Emerald Ash Borer as Nuisances be removed from the consent agenda and placed on the regular agenda under the Public Works Committee report. She also asked that the Ordinance Approving a Variance for 604 and 620 W. Veterans Parkway (ZBA 2008 -09) under the Plan Commission report be tabled per the owner's request. Mayor Burd asked that Item #3 - Acceptance of the FY 2007 /2008 Annual Financial Reports (CC 2009- 04) under the Mayor's Report be moved to the second item under Presentation. The amendments were unanimously approved by a viva voce vote. COMMITTEE MEETING DATES Public Works Committee 6:00 p.m., February 17, 2009 City Hall Conference Room Economic Development Committee 7 :00 P.M., February 3, 2009 City Hall Conference Room Administration Committee 6:30 p.m., February 12, 2009 City Hall Conference Room Public Safety Committee 6:00 P.M., February 26, 2009 City Hall Conference Room PUBLIC FORUM Discussion of City Leash Law Mayor Burd explained that the city's leash was changed after an adjudication session concerning the police being called by a neighbor on a gentleman who was in his yard with his dog. This violated the ordinance and he was fined $50.00 because his dog was not on a leash. Mayor Burd spoke with the adjudication officer and they felt that laws should not be used as vendettas. She brought the change in the ordinance to the Public Safety Committee and then to the City Council where the code was amended to allow dogs to be in their yard unleashed. She explained that he leash law is only enforced when violations are reported, the police are not looking for them. She stated that as mayor, she takes resident's concerns seriously so she wanted them to have an opportunity to discuss the leash law. The Minutes of the Regular Meeting of the Citv Council — January 27. 2009 — Da L22 Alderman Munns stated that he wished he had heard comments before he voted because he felt that he may have voted differently. He stated he looked at the law from his perspective as a dog owner and did not consider other points. Fred DuSell, 478 Kelly, commented he was happy that the City Council was rethinking the issue. He stated he was a dog owner for years and that he has learned that dogs are unpredictable. He felt that the city should not go with the amendment that was passed and dogs should be kept leashed; unleashed dogs are a public safety issue. Bob Grezlik, 301 E. Somonauk, explained that he enjoys walking in various parts of the city. He stated that dogs see a stranger and come out to see who the stranger is and this can be very intimidating. He stated that he has been chased into the street by dogs and did not like that those dogs aren't confined. He was against the change unless a yard is totally fenced in. Matt May 873 Canyon Trail, agreed that the ordinance should be changed back. He explained that he has a neighbor with an unpredictable dog and that he paid $4,000.00 for a fence to protect his child from it. He asked that in the interest of public safety the City Council reconsider the amendment to the ordinance. Lisa Peterson, 1001 Adrian Street, explained she has a 100 pound dog that she rescued. The dog was abused and is not friendly. She walks the dog at 6.00 a.m. and has to contend with other peoples dogs that are unleashed. She felt that she should not have to worry about dogs chasing her and her dog. She also noted that some people are not responsible for cleaning up after their pets and that stray cats are a problem. She asked that the ordinance be reconsidered. Joyce Barrett, 1531 Cottonwood Trail, stated that elected officials should vote in the best interest of residents. She discussed the evolution of the dog ordinance beginning in 1974. The original ordinance was amended in 1983 to add fines; in 1993 to apply to all domestic animals and require animals to be contained by a lease, fence, etc.; in 2003 which addressed animals at large and in 2006 to address defecation. Mrs. Barrett stated that constraining dogs has been in effect for years and she found it difficult to understand why after the City Council's predecessors supported retraining animals this City Council decided to change it. She asked the Council to reconsider their decision. Mike Skinner, 1534 Walsh Drive, stated that he did not feel that the ordinance goes far enough; maybe it should be illegal to walk dogs on the sidewalk since he was once bit by a leashed dog walking on the sidewalk. He felt that what happens on his property is his responsibility. He explained that when his dog is in his yard unleashed she is fine and should be legal however if she leaves his yard he should be at fault and subject to fines. He stated he took offense that his dog is forced to be leased in his own yard or he has to fence in the yard. He felt that he should not be impacted by others who don't follow rules. He further stated that the city is turning into one with too many rules which are costing too much. He asked the City Council to keep the law as it currently is. Rolf Snobeck, 2679 Burr Street, indicated he was new to Yorkville and he owns two dogs. He felt this matter was about individual responsibility. He explained that he had a fenced yard in order to keep his pets safe and confined. His dogs are trained and don't need to be leashed if they are in his front yard with him. He asked the City Council not to punish those who take care of their pets. Larry Franklin, 212 E. Spring, agreed with the last two gentleman; his dogs should be able to be unleashed in his own yard. Jean McBride, 1212 Evergreen Lane, stated that she was unaware of the new ordinance or she would have come to address the City Council earlier. She suggested that the City Council let people know before they make decisions that affect so many. She stated that there are twelve dogs living on her block however she doesn't see most of them however if all twelve were Ieft unattended it would be a big problem. She felt that dogs are unpredictable and people should be able to walk through the city without any problems; dogs should be on a leash. Rosie Millen, 1807 Country Hills Drive, stated she agreed that it is the responsibility of the pet owner to control their dogs. She stated that she moved to Yorkville to be in a community without fences and she should not have to give up the freedom of playing with her dogs, without a leash, in her own yard just because it is not fenced in. She felt it was the responsibility of pet owners to train their dogs. She also noted that she has met many of her neighbors due to her dog. She encouraged the City Council to keep the ordinance as it is. I Ellen Feltes, 410 E. Main Street, stated she sympathized with responsible dog owners however what happens to the victims of a dog attack? The Minutes of the Rezular Meeting of the Citv Council — January 27, 2009 — ua L33 George Gilson, 498 Sunflower Court, stated he is a pet owner who supports the original ordinance. He asked the City Council to protect residents and to remember that there is no law to correct a child getting attacked. Jeff Peterson, 1001 Adrian Street, supported the former ordinance and stated that if dogs stay in their own yard, no one will call the police. Peggy Wilkinson, 505 Colton, asked that the previous ordinance be reinstated. She explained that she has been nipped when walking her dog and that she has a neighbor who leaves their dogs unsupervised and it chases pedestrians. If she called the police, they won't get there in time to see the dogs unsupervised. Bob Grezlik, 301 E. Somonauk, stated he lived near Ms. Wilkinson and agreed that her neighbor's dogs are intimidating. He asked what could be done and Chief Martin explained he should call the police and an officer will issue a citation based on his report. Mark Johnson, 204 Georgiana, reported that two of his family members have been bitted by dogs while in a public right of way or sidewalk. He explained he had an issue with electric fences because the batteries fail or some owners don't put the collar on. Also, walkers can't tell if there is an electric fence on a property. Some people put them beyond the sidewalk and he questioned if this was a violation or if a building permit was needed before they are installed. He stated that while he has neighbors who are good dog owners there are those who are not. He empathized with the good dog owners but felt that pets should be leashed. Carol Foster, 1312 Chestnut Circle, explained that she is a pet owner who walks her dogs several time a day. They are leashed and she cleans up after them. She was walking her dog when a neighbor let their dog out and it knocked into her. She stated that the owner apologized but she indicated that the next time this happens she will call the police. She felt that people should be responsible for their pets and that people in their yards with their pets was fine. She stated that those who let their pets out unleashed cause problems. There was not further public comment. Mayor Burd thanked everyone for attending and stated that the Public Safety Committee will revisit the ordinance. She suggested that the ordinance be redrafted now in order to be addressed before the April election. Alderman Spears thanked everyone for their comments. She stated that she received many emails regarding this subject. She gave statistics from the Police Department on loose dog calls and reported bites. She stated that before the Council voted on the recent change, Chief Martin had sent them a memo expressing his concern with the amendment. She felt that the majority of the City Council voted in error. She thanked Alderman Golinski for placing this on the agenda for further input. Alderman Allen commented that he did not have the opportunity to vote on the ordinance and that this was a great chance for the City Council to listen to residents. The Council has listened to a variety of views and can consider the input. He thanked everyone. Alderman Sutcliff thanked those present and stated that their input is invaluable. She stated that she had received emails both for and against the new ordinance and that it is the Council's job to take the comments and decide what is best for everyone. Alderman Werderich thanked everyone and commented that it is important to know the pulse of the community. Alderman Golinski commented that he thought it was a bad idea to change the ordinance and voted against the amendment. He noted that there are 4.7 million dog bites each year of which 300,000 victims are hospitalized. Also there have been five fatalities, two in Illinois, all of which were children under five years of age. He supported changing the ordinance back. Alderman Besco indicated that he had trouble with the amendment. He owns an elderly dog that can't walk very well. He leaves his dog out his front door because she is not a nuisance due to her age. On the other hand, his own daughter was approached by a stray in their own yard. He called the county but there is no dog catcher and he was told to catch the dog himself. He stated that there are responsible pet owners and there are those who are not. He asked Chief Martin how he would like to see the ordinance and then state he would take his advice. The Minutes of the Regular Meeting of the Citv Council — January 27. 2009 — Da eg_4 Alderman Munns stated that if no one abused the law, there wouldn't be a need to address this. He added that 100% of the emails he received requested that the ordinance be changed back. Alderman Spears stated that she received a letter from a Mr. Leonard regarding the ordinance. She contacted him and was told that his son was viciously attacked by two dogs which resulted in his being confined to a wheelchair. Mr. Leonard asked her to share his story because he does not want this to happen to anyone else. Alderman Spears stated that the ordinance will be placed on the next Public Safety Committee agenda for further review. Mayor Burd asked Attorney Orr to write an entirely new ordinance. Alderman Spears suggested that it come directly to the City Council to make the process faster. The City Council was in agreement. Attorney Orr stated that she would have a new ordinance ready for the next City Council meeting and she asked the Council to contact her with any suggestions, changes, etc. PRESENTATIONS Senate Bill 253 Regarding Housing Recovery Greg Millen, president of the Chamber of Commerce, along with Scott Eckstein of James Scott Custom Builders distributed information and addressed the City Council regarding Senate Bill 253 regarding housing recovery. Mr. Millen explained that as a local business owner he works with many area groups and homebuilders. He is trying to bring awareness for the Fix Housing First movement. Due to the huge downturn in the economy there has been lost wages and purchases which effect sale tax revenue. The downturn also has had a huge impact on real estate. The Fix Housing First movement allows buy -downs on mortgages. This reduces the interest rate which allows housing to be more affordable. It also frees up cash for people to spend elsewhere or to invest. When people spend elsewhere, it creates jobs. The government is bailing out companies whose CEO's make huge salaries. This movement suggests that the government bailout small businesses instead. Mr. Millen thanked the City Council for their time and asked the press to give the senate bill exposure. Alderman Besco asked who was sponsoring the bill and Mr. Eckstein stated he did not have that information. There has been some support for the bill but they are going for grass root support. This is not a bailout for builders but a bailout for homeowners. 75% of companies are family owned and they don't have the voice larger companies have. Alderman Spears asked if local banks were in support the bill. Mr. Eckstein stated that they have not seen opposition to it from any bank. A federal backed buy down of mortgages will not have a negative impact on banks. Alderman Spears asked if the Chamber of Commerce supported the bill. She was told that the Chamber developed awareness to bring this into the spot light. When prime goes down, banks have benefits to lending at reduced rates. The bill is not meant to hurt banks. Studies also show increased revenues to sale tax with the plan and the overall benefit of the bill surpasses the cost. The plan is not only to motivate new housing but also motivate the turnover of existing inventory. He felt that government has an economic responsibility to help people. Acceptance of the FY 2007 /2008 Annual Financial Reports (CC 2009 -04) Finance Director Mika distributed the official annual financial report and turned the floor over to Mike Senko and Tina Ward of Wolf & Company LLC. Mr. Senko thanked everyone on the staff for cooperating in order to get the report finished. He stated that despite a few struggles and a delay, the numbers are an accurate reflection of where the city is. He noted that the fund balance has decreased however this was budgeted for last year. The $2.9 million fund balance is less than what he would like. He recommended a balance for five to six months however the ending balance continues to be healthy. The city passed with a clean audit and should be proud. The policy and procedures tested were up to speed. Attorney Orr started that she has never worked with a municipality with a six month reserve; most have a three month reserve. She stated that she has never worked for a healthier municipality. She felt that Mr. Senko's recommendation is great however a three month reserve is good. City Treasurer Powell stated that the recommended reserve is 15% to 25% or three months in the fund balance. If this is exceeded, funds are available for expenditures. Mayor Burd asked if the recommendation was for a 50% reserve and Mr. Senko stated that it was. Administrator McLaughlin noted that in the prior year's budget the bonds for the downtown and roads were included. The Minutes of the Regular Meeting of the Citv Council — January 27, 2009 — Anse 5 Alderman Spears asked if there was a deficit in all the grants. Director Mika explained that the deficits could be a timing issue. Some funds were received this fiscal year and some will be seen on next year's report as they will be coming in soon. Alderman Spears asked if grant funds were in the next budget. Director Mika indicated some were in hand and others are due in. Alderman Spears asked if the city was in the position to apply for other matching grant and Mr. Senko stated that more information was needed to decide this. Alderman Allen noted a $2 million error on page seven of the report. Director Mika explained that there was a typo in the second to last sentence on the page. The Public Safety over budget amount should be $212,174.00. Alderman Besco asked if the statement that the Public Works expenditures were under budget $1 million was accurate. Administrator McLaughlin explained that capital projects are budgeted in the General Fund and are now being kept separate. Mayor Burd stated that she feels great with a 25% fund reserve. She indicated that this balance is hard to maintain in the current economy so she wasn't sure of raising the amount. There were no other comments. Mayor Burd thanked the auditors for their hard work. PUBLIC HEARINGS None. CITIZEN COMMENTS Jean McBride, 1212 Evergreen, stated that she doesn't usually pay attention to the City Council however she reviewed the agenda and saw under the Mayor's Report the discussion of boundary agreements. She emailed Alderman Golinski to find out the pros and cons. She received a reply of his perception and a map. She questioned if the City Council checked with the people affected, do they want to be in Yorkville or Millbrook. She asked the City Council to consider the property owners opinions. She was unsure as to how many people know about the boundary agreement and suggested getting more information out to the public. She felt that the city should not give up the opportunity for more commercial property. Mayor Burd noted that the City Council was not specifically discussing a boundary agreement with Millbrook, tonight's discussion will be more general. She suggested that Ms. McBride speak with the mayor of Millbrook and indicated that residents will have an opportunity for input because a public hearing will be held. Mike Skinner, 1534 Walsh Drive, indicated he was available if the City Council had any questions why the Zoning Board of Appeals voted against the variance for 604 and 620 W. Veterans Parkway. Mayor Burd explained that the item had been tabled. Mark Hameister, representing Merlin's at 102 Beaver Street, addressed the City Council. He commented on Mr. Millen's information on the housing recovery bill. He stated that he is trying to bring a business to Yorkville and have it be successful. He asked Aldermen Allen, Sutcliff and Plocher to make a motion to reconsider his sign variance. He explained that when the property was bought the code for a sign was 50 square feet however by the time construction began, the code had been changed. He stated that he met with Alderman Plocher and thought he supported the variance. Attorney Orr clarified that a motion had to be made by one of the aldermen voting against the variance to reconsider and that this could be done under Additional Business. Alderman Spears asked if the business owner was a resident of Yorkville and Mr. Hameister stated that it was. She asked if the sign being requested was the standard sign used by the chain and he stated that it was. Alderman Munns questioned if the new sign at Chignoli Auto was within code. Director Miller indicated he would have to pull the permit which was issued around the time of the change. He also explained the sign size was based on the lot size. Alderman Munns commented that Yorkville will be getting a good business with Merlin's and that he supported variances it brings business in. CONSENT AGENDA 1. Prestwick Sanitary Sewer Lift Station Agreement - authorize Mayor and City Clerk to execute (PW 2009 -01) 2. Saravanos Development — First Midwest Bank LOC #150017273 -201 Expiration - authorize City Clerk to call letter of credit if it is not renewed prior to April 17, 2009 (PW 2009 -02) 3. Kleinwachter Residential Development — Earthwork LOC Reduction 41 - authorize a reduction to Castle Bank Letter of Credit No. 7000266119 -900 in an amount not to exceed $105,5 73.74, The Minutes of the Regular Meeting of the Citv Council — January 27, 2009 — nape6 subject to verification that the developer has no outstanding debt owed to the city for this project (PW 2009 -03) 4. Resolution 2009 -01- ]DOT Highway Permit and Resolution - Milazzo Property - authorize Mayor and City Clerk to execute, subject to receipt of the following: a satisfactory sidewalk covenant agreement, a satisfactory bond in the amount of $30, 000 and proof of satisfactory comprehensive liability insurance coverage (PW 2009 -04) 5. Bristol Bay Unit 8 — Bond Reduction 43 - authorize a reduction to Armor Assurance Company Bond #ARM] 0694 for earthwork in an amount not to exceed $10,723.56; and authorize a reduction to Armor Assurance Company Bond #ARM10751 for Phase I landscaping in an amount not to exceed $168,251.45; and authorize a reduction to Armor Assurance Company Bond #ARM10750 for Phase 2 landscaping in an amount not to exceed $108,2 73.55, all subject to verification that the developer has no outstanding debt owed to the city for this project (PW 2009 -05) 6 Bristol Bay Units 1 -3 and 5 -7 — Bond Reduction #3 - authorize reductions to the following Armor Assurance Company Bonds for sitework. Bond #ARM10350 in an amount not to exceed $670,488.32, Bond #ARM10351 in an amount not to exceed $184,809.87, Bond #ARM10352 in an amount not exceed $204,338.05, Bond 4ARM10354 in an amount not to exceed $405,075.72, Bond #ARM] 0355 in an amount not to exceed $202,198.64, Bond #ARM] 0356 in an amount not to exceed $280,54 7.72; and authorize reductions to the following Armor Assurance Company Bonds for earthwork: Bond #ARM10687 in an amount not to exceed $4,431.38, Bond #ARM] 0688 in an amount not to exceed $3,172.62, Bond #ARM10689 in an amount not to exceed $3,014.36, Bond #ARMI0691 in an amount not to exceed $5,911.25, Bond #ARM] 0692 in an amount not to exceed $5,548.55, Bond #ARM10693 in an amount not to exceed $2,308.72; and authorize reductions to the following Safeco Insurance Company Bonds for landscaping: Bond #6544060 in an amount not to exceed $24,642.66, Bond #6544061 in an amount not to exceed $28,712.47, Bond #6544064 in an amount not to exceed $24,510.65, Bond #6544065 in an amount not to exceed $29,904.91, Bond #6544066 in an amount not to exceed $22,257 50; with all reductions subject to verification that the developer has no outstanding debt owed to the city for this project (PW 2009 -06) 7. Police Reports for November/December 2008 (PS 2009 -01) 8. Ordinance 2009 -04 - Amending the Code of Ordinances Regarding Term of Liquor Licenses - authorize Mayor and City Clerk to execute (PS 2009 -04) 9. Resolution 2009 -02 - Approving a Revised Policy for Athletic Field Use Policies and Procedures — authorize Mayor and City Clerk to execute (CC 2009 -02) Mayor Burd entertained a motion to approve the Consent Agenda as amended. So moved by Alderman Munns; seconded by Alderman Golinski. Motion approved by a roll call vote. Ayes -8 Nays -0 Golinski -aye, Werderich -aye, Plocher -aye, Spears -aye, Mums -aye, Sutcliff -aye, Allen -aye, Besco -aye PLAN COMMISSION /ZONING BOARD OF APPEAL None. MINUTES FOR APPROVAL A motion was made by Alderman Munns to approve the minutes of the City Council meeting of December 22, 2008 and the minutes of the Special City Council Meeting of November 8, 2008; seconded by Alderman Allen. Alderman Spears asked if the minutes could be voted on separately since not all the City Council was present at the November 8` meeting. Alderman Allen withdrew is second; Alderman Munns withdrew the motion. A motion was made by Alderman Munns to approve the minutes of the City Council meeting of December 22, 2008; seconded by Alderman Golinski. Motion approved by a viva voce vote. A motion was made by Alderman Munns to approve the minutes of the Special City Council Meeting of November 8, 2008; seconded by Alderman Allen. Attorney Orr stated that these minutes did not have to be approved because there wasn't a quorum at the meeting. The minutes should just be reflected in the clerk's records. The Minutes of the Regular Meeting of the Citv Council — January 27, 2009 — uage 7 BILLS FOR APPROVAL A motion was made by Alderman Munns to approve the paying of the bills listed on the Detailed Board Report dated January 20, 2009 totaling the following amounts: checks in the amount of $579,735,35 (vendors); $287,403.09 (payroll period ending 1/170/09); for a total of $867,138.44; seconded by Alderman Golinski. Alderman Spears asked if there was a change to the payroll summary sheet and Director Mika explained that there was a memo on each of the City Council's desk to explain the change. Alderman Spears asked if the motion reflects the change and Director Mika indicated that it did. Motion approved by a roll call vote. Ayes -8 Nays -0 Munns -aye, Plocher -aye, Spears -aye, Sutcliff -aye, Werderich -aye, Besco -aye, Golinski -aye, Allen -aye REPORTS MAYOR'S REPORT Boundary Agreements Discussion (CC 2008 -118) Mayor Burd stated that she wanted to discuss the pros and cons of boundary agreements not specific to anyone in general. She stated she was looking for direction so she can deal with other municipalities. Alderman Allen asked for clarification to Director Miller's December 22, 2008 memo regarding unincorporated territories within 1 '/2 miles of the corporate authorities' boundaries. Attorney Orr stated that she supported the memo however she hasn't reviewed any agreement because she was waiting for direction. Alderman Golinski stated that he was not against boundary agreements if they are used properly and they benefit the city. He felt that following the current logic, based on a plan from eleven years ago, was unfair. He stated he contacted a former City Council member in regards to the Plano agreement. Its necessity was explained to him and he stated that it made sense that the former City Council pursued the agreement. He did not feel that in the present economy it was necessary to rush into anything on the western edge of Yorkville. He noted that boundary agreements lock the city in for twenty years and currently there are too many unknowns (Prairie Parkway, landfill, etc) on the western edge. He suggested waiting to hear about the Prairie Parkway before proceeding. He also noted that there was nine years left on the Plano agreement which will need to be renegotiated and suggested that the city sit down with both Plano and Millbrook at that time. Alderman Besco agreed with Alderman Golinski in regards to the economy and rushing into any agreements. He felt that in due time the city could negotiate sensible agreements. He suggested that if the building boom returns an agreement is considered. He also noted that this area will have the only Prairie Parkway intersection for Yorkville. Alderman Spears noted that the Councils of both Plano and Yorkville sat down and worked out their agreement together. She stated she was against going forward with any more agreements and that she was against the one worked out with Montgomery because it was not satisfactory to property owners in the area. She stated that when she noted the deficit in the budget she was assured that business revenue would be coming in. If the city gives away anything with Prairie Parkway potential there will be a loss of taxes for Yorkville. She noted that the additional funds could be used for services for the residents and she was thinking of future residents and City Councils. She suggested that any discussion be tabled at this time Alderman Werderich felt that there should be a reason for an agreement and that everyone on the Council should be in agreement. Also, he felt that landowners affected by the, agreement should be consulted and everyone should be satisfied with it. Mayor Burd agreed that everyone did sit down together to discuss the Plano agreement. She indicated that several landowners didn't want the agreement because of the school district boundary. She stated that at the time of the discussions she was out of town so she was not aware of why the boundary was extended south of the Fox River. This extension impacted her property on River Road. She stated that she was looking at what was best for the greater good. She noted that the property owners who did not like the Montgomery agreement stayed unincorporated. Mayor Burd noted that Joliet is aggressively moving towards Yorkville's border. They are annexing property to hold until the market picks up. She stated that Millbrook agreement was just a draft. The land west of High Point Road was given to Plano but Millbrook wants Yorkville out of the agreement with The Minutes of the Regular Meeting pf the Citv Council — January 27, 2009 — nage 8 Plano in this area. The area north of Route 71 is the only area under discussion. She further noted that Newark was surprised when Yorkville took away part of their library district. She stated that as long as she is mayor, she wants to work with Yorkville's neighbors. She stated that Millbrook may become aggressive with their annexations so she thought it would benefit the city to work rationally with Millbrook. Alderman Sutcliff stated that it was good to enter into agreements because it allows the city to plan for the future in regards to services. She felt that the communities around Yorkville should have the opportunity for boundary agreements and that it was common courtesy to work together. She noted that the school district has gotten hold on growth. She questioned how many students will be in the Millbrook area. Alderman Plocher stated his only concern was with Joliet because a patchwork of a city is hard on services. Alderman Munns agreed that with the current economy there was no need to rush things. He stated that while he supported playing nice he felt that the Council had to think about the city's "own team ". Mayor Burd asked the City Council if negotiations for boundary agreements should proceed. She polled the alderman; Aldermen Golinski, Spears and Besco were against proceeding. Aldermen Werderich, Plocher, Sutcliff and Allen supported negotiations. Alderman Munn was not present for the poll. Mayor Burd indicated that she would go ahead with discussions after the mayor of Millbrook returned from a trip. Amendment to an Agreement with the Chief Martin (CC 2009 -03) Mayor Burd entertained a motion to approve an amendment to an agreement with the Police Chief Harold 0. Martin III and the United City of Yorkville and authorize the Mayor and City Clerk to execute. So moved by Alderman Spears; seconded by Alderman Werderich. Motion approved by a roll call vote. Ayes -6 Nays -0 Sutcliff- -aye, Spears -aye, Plocher -aye, Werderich -aye, Besco -aye, Allen -aye * Aldermen Munns and Golinski were not present for the vote. Ordinance 2009 -05 Abating the Tax hereto Levied for the Year 2008 to Pay Principal of and Interest of $2,020,000.00 General Obligation Bonds (Alternate Revenue Source), Series 2008, of the United City of Yorkville, Kendall County, Illinois (CC 2009 -05) Mayor Burd entertained a motion to approve and ordinance Abating the Tax hereto Levied for the Year 2008 to Pay Principal and Interest of $2,020,000.00 General Obligation Bonds (Alternate Revenue Source), Series 2008, and authorize the Mayor and City Clerk to execute. So moved by Alderman Werderich; seconded by Alderman Sutcliff. Motion approved by a roll call vote. Ayes -6 Nays -0 Spears -aye, Plocher -aye, Werderich -aye, Besco -aye, Allen -aye, Sutcliff-aye * Aldermen Munns and Golinski were not present for the vote. City Employee Use of REC Center (CC 2009 -06) Mayor Burd entertained a motion to approve the establishment of an employee rate per month for the United City of Yorkville full time employees and permanent part time employees working more than 20 hours per week with at least 12 months of service to use the Rec Center. So moved by Alderman Sutcliff; seconded by Alderman Plocher. Director Mogle reported that he brought this proposal forward to encourage employees to use the facility. The payback to the city is the health and well being of employees and the increased revenue when they have their family members join at the standard rate. He stated he contacted other municipalities and based his proposal on that of Orland Park. His hope was to have the City Council set a rate for employees. Alderman Golinski stated he supported the Rec Center but was told that it would pay for itself. He felt this was a nice gesture but the center is currently operating at a deficit. He did not agree that giving employees a reduced rate would increase revenue. He stated it was time to tighten belts. The Minutes of the Regular Meeting of the Citv Council — January 27, 2009 — Mee 9 Alderman Munns stated he has seen the benefits of healthier employees and questioned if this would help save on health insurance premiums. Alderman Werderich stated he could not support the agreement as written. He was unsure that the suggested $10.00 fee would cover expenses. He supported some other discount but not what was proposed. He understood that this was something that could be offered the employees without affecting the city's bottom line. He stated that it has been brought to his attention by resident that the facility is small and he felt this could impact members. He stated that he would like to see something else. Mayor Burd asked how the amount was reached and Director Mogle explained that he approached the Park Board to allow employees to have a basic membership at no cost. The Park Board struggled with this and felt that there should be a cost in order to cover expenses so he researched what other communities do. He reiterated that the felt that this would bring in additional revenue and could be a way to get into the black. Alderman Spears asked if the center was profitable and Director Mogle stated that he did not know the profit margin. He went on to explain what each membership (basic vs. premium) covered. Alderman Spears stated she did not support the Rec Center because of the tax dollars being used. She stated that the Rec Center was supposed to support itself. She also commented that resident rates are only $8.00 less than non - resident rates. She suggested that current members be surveyed to see if they supported this. She also stated she would like the figures from other communities before she made a decision. Mayor Burd stated that Director Mogle could bring this information back at the next City Council meeting. Alderman Allen asked what Alderman Werderich had in mind. Alderman Werderich stated that there were not enough facts on the table. Mayor Burd asked how many people this would affect. Director Mogle stated that there were 100 full time employees and that the current membership was around 1000. He did not feel that amount of employees would impact the center. Alderman Plocher commented that the Park Board discussed this at great length. Also, this would be a positive for the employee during a time other things are being taken away from them. A motion was made by Alderman Spears to table this matter; seconded by Alderman Besco. Motion to table defeated by a roll call vote. Ayes -3 Nays -4 Present -1 Spears -aye, Plocher -nay, Werderich -aye, Golinski -nay, Besco -aye, Allen- present, Sutchff- -nay, Munns -nay Alderman Golinski asked if this could be taxable and Director Mogle stated that it was not because it is a city business. Director Mogle went through the figures of the fees he anticipated if employees had their families join. Alderman Besco stated that employee could stay in shape with a basic membership. He felt that the cost of this will be hard to explain to the taxpayers; employees get a break while they pay the full rate. He stated he could not support this. A motion was made by Alderman Allen to approve the establishment of an employee rate of $30.00 per month for the United City of Yorkville full time employees and permanent part time employees working more than 20 hours per week with at least 12 months of service to use the Rec Center; seconded by Alderman Golinski Mayor Burd asked what the corporate rate was and Director Mogle indicated that was based on the number of employees. Alderman Werderich asked if the reduced rate was for the basic or premium membership. Director Mogle stated it would be the premium membership. Motion approved by a roll call vote. Ayes -6 Nays -1 Present -1 Allen -aye, Sutcliff-aye, Munns -aye, Spears- present Plocher -nay, Werderich -aye, Golinski -aye, Besco -aye The Minutes of the Regular Meeting of the Citv Council — January 27, 2009 — na 10 Resolution 2009 -03 Of Support for SB.253 — A Bill to Amend the Internal Revenue Code of 1986 to Expand the Application of Homebuyer Credit, and for Other Purposes (CC 2009 -07) Mayor Burd entertained a motion to approve a resolution of Support for SB253 — A Bill to Amend the Internal Revenue Code of 1986 to expand the Application of Homebuyer Credit, and for Other Purposes and authorize the Mayor and City Clerk to execute. So moved by Alderman Golinski; seconded by Alderman Werderich. Motion approved by a roll call vote. Ayes -8 Nays -0 Werderich -aye, Golinski -aye, Besco -aye, Allen -aye, Sutcliff -aye, Munns -aye, Spears -aye, Plocher -aye CITY COUNCIL REPORT No report. ATTORNEY'S REPORT No report. CITY CLERK'S REPORT No report. CITY TREASURER'S REPORT No report. CITY ADMINISTATOR'S REPORT Mayor Burd asked about the goal setting meeting and Administrator McLaughlin stated he would get dates together. FINANCE DIRECTOR'S REPORT Director Mika stated that the city secretary will be contacting the aldermen to arrange a date for the budget workshop. DIRECTOR OF PUBLIC WORKS REPORT Director Dhuse reported that more fiords will be appropriated through MFT for salt. CHIEF OF POLICE'S REPORT Chief Martin reported that two BASSET classes were scheduled for February 9 ffi and February 23r Also the Polar Plunge would be held on March 8, 2009. Alderman Allen expressed his concern for safety with a peeping tom runnin around. Chief Martin reported that a suspect had been caught three weeks ago and the matter was resolved. DIRECTOR OF PARKS & RECREATION'S REPORT No report. COMMUNITY DEVELOPMENT DIRECTOR REPORT None. COMMUNITY RELATIONS OFFICER'S REPORT Mrs. Spies reported that the Green Committee would be holding an environmental fair on March 21, 2009 from 11:30 a.m. to 5:00 p.m. at the Rec Center. COMMUNITY & LIAISON REPORT Cable Consortium Alderman Golinski reported that he attended the Cable Consortium meeting where they voted to refund second quarter fees. School Board J Alderman Sutcliff reported that she attended the School Board meeting where their strategic plan report, school boundaries and the increase in students was discussed. Metro Mayors Breakfast Mayor Burd reported that she attended the Metro Mayors breakfast where the impeachment process, capital bill and the Route 47 widening was discussed. The Minutes of the Regular Meeting of the City Council — January 27, 2009 — Daze 11 ADDITIONAL MAYORS REPORT Mayor Burd entertained a motion to approve the independent auditor's financial report from Wolf and Company, LLC for the fiscal year ended April 30, 2008, as presented. So moved by Alderman Golinski; seconded by Alderman Werderich. Motion approved by a roll call vote. Ayes -8 Nays -0 Allen -aye, Sutcliff -aye, Munns -aye, Spears -aye, Plocher -aye, Werderich -aye, Golinski -aye, Besco -aye I COMMITTEE REPORTS PUBLIC WORKS COMMITTEE REPORT CMAQ Grant Applications (PW 2009 -13) Resolution 2009 -04 Authorization to Participate in Congestion Mitigation/Air Quality Improvement Program (CMAQ) for the Route 47 Trail Improvements A motion was made by Alderman Besco to approve a resolution of authorization to participate in Congestion Mitigation/Air Quality Improvement Program (CMAQ) for the Route 47 Trail Improvements and authorize the Mayor and City Clerk to execute; seconded by Alderman Allen. Alderman Spears asked what the actual fee was that the city would be responsible for and Director Miller explained that it was 20% match or $181,024.00. Alderman Spears asked if funds had been identified and Director Miller stated they had not. He fiuther explained that the project wasn't scheduled to begin until 2010 and that finds would be due as the project proceeds not up front. Alderman Spears asked how much was due in 2010. Director Miller stated that IDOT will proceed with the engineering work as it is completed. At this time the city will be invoiced for its portion. City Engineer Wywrot added that IDOT typically charges 15% of construction cost for engineering which is due after the project is completed. Alderman Plocher asked if Route 47 was looked into and Mr. Wywrot stated that there wasn't an agreement yet but the city should plan for the sidewalks and trails along Route 47. Motion approved by a roll call vote. Ayes -8 Nays -0 Golinski -aye, Besco -aye, Allen -aye, Sutcliff -aye, Munns -aye, Spears -aye, Plocher -aye, Werderich -aye Resolution 2009 -05 Authorization to Participate in Congestion Mitigation/Air Quality Improvement Program (CMAQ) for the US 34 Trail Improvements A motion was made by Alderman Besco to approve a resolution of authorization to participate in Congestion Mitigation/Air Quality Improvement Program (CMAQ) for the Route 34 Trail Improvements and authorize the Mayor and City Clerk to execute; seconded by Alderman Golinski. Motion approved by a roll call vote. Ayes -8 Nays -0 Besco -aye, Allen -aye, Sutcliff -aye, Munns -aye, Spears -aye, Plocher -aye, Werderich -aye, Gohnski -aye Resolution 2009- 06 Authorization to Participate in Congestion Mitigation/Air Quality Improvement Program (CMAQ) for the Kennedy Road Trail Improvements A motion was made by Alderman Besco to approve a resolution of authorization to participate in Congestion Mitigation/Air Quality Improvement Program (CMAQ) for the Kennedy Road Trail Improvements and authorize the Mayor and City Clerk to execute; seconded by Alderman Golinski. Motion approved by a roll call vote. Ayes -8 Nays -0 Sutcliff -aye, Munns -aye, Spears -aye, Plocher -aye, Werderich -aye, Golinski -aye, Besco -aye, Allen -aye Resolution 2009 -07 Authorization to Participate in Congestion Mitigation/Air Quality Improvement Program (CMAQ) for the Game Farm Road/Somonauk Street Trail Improvements A motion was made by Alderman Besco to approve a resolution of authorization to participate in Congestion Mitigation/Air Quality Improvement Program (CMAQ) for the Game Farm Road/Somonauk The Minutes of the ReLyular Meeting of the Citv Council — January 27, 2009 — naee 12 Street Trail Improvements and authorize the Mayor and City Clerk to execute; seconded by Alderman Golinski. Motion approved by a roll call vote. Ayes -8 Nays -0 Munns -aye, Spears -aye, Plocher -aye, Werderich -aye, Golinski -aye, Besco -aye, Allen -aye, Sutcliff- -aye Ordinance 2009 -06 Amending the Code of Ordinance Declaring Dutch Elm Disease and Emerald Ash Borer as Nuisances (PW 2009 -07) A motion was made by Alderman Besco to approve an ordinance amending the Code of Ordinance Declaring Dutch Elm Disease and Emerald Ash Borer as Nuisances and authorize Mayor and City Clerk to execute; seconded by Alderman Golinski. i Alderman Spears asked if the city entered into compliance with the Department of Agriculture and Director Dhuse stated it had. Alderman Spears asked if specific tree removal people would be used and Director Dhuse said yes. Motion approved by a roll call vote. Ayes -8 Nays -0 Spears -aye, Plocher -aye, Werderich -aye, Gohnski -aye, Besco -aye, Allen -aye, Sutcliff -aye, Munns -aye ECONOMIC DEVELOPMENT COMMITTEE REPORT No report. PUBLIC SAFETY COMMITTEE REPORT No report. ADMINISTRATION COMMITTEE REPORT No report. ADDITIONAL BUSINESS Police Department Alderman Spears pointed out the wonderful job the Police Department was doing especially with working with other municipalities. She indicated that she supported additional equipment for the detectives. Public Forums Alderman Spears requested that the City Council consider more public forums on ordinances that impact many residents in an effort to keep them informed. She stated that she read about the reading of ordinance before they are adopted. She suggested three reading before an ordinance is voted on. President Obama's Speech Alderman Sutcliff read selections from President Obama's inaugural speech and stated that some of the things he said apply to the City Council. She stated that his speech addresses the concern of residents of how the City Council is acting. Merlin Muffler Variance Alderman Werderich echoed the concerns from the gentleman representing Merlin Muffler. He asked that one of the aldermen who voted against the variance make a motion to reconsider. No motion was made. EXECUTIVE SESSION Mayor Burd entertained a motion to into Executive Session for the purpose of litigation, when an action against, affecting or on behalf of the particular public body has been filed and is pending before a court or administrative tribunal, or when the public body finds that an action is probable or imminent, in which case the basis for the finding shall be recorded and entered into the minutes of the closed meeting. So moved by Alderman Werderich; seconded by Alderman Golinski. 1 Motion approved by a roll call vote. Ayes -8 Nays -0 Spears -aye, Sutcliff -aye, Werderich -aye, Besco -aye, Gohnski -aye, Allen -aye, Munns -aye, Plocher -aye The City Council entered into executive session at 10:25. The City Council returned to regular session at 11:05 I The Minutes of the Regular Meeting of the Citv Council — January 27, 2009 — Daee 13 ADJOURNMENT Mayor Burd entertained a motion to adjourn the meeting. So moved by Alderman Besco; seconded by Alderman Allen. Motion unanimously approved by a viva voce vote. Meeting adjourned at 11:05 P.M. Minutes submitted by: i Jacquelyn Milschewski, City Clerk City of Yorkville, Illinois I' REGULAR CITY COUNCIL MEETING January 27, 2009 i PLEASE PRINT NAME: ADDRESS: lo2,6 U ?&-, i�v - 1 Yo eK I )e ml&� se IvIve, G GQC= Z1, 301 6 7 S u ST 24q 9� 7<? r J SIGNIN 0 P er REGULAR CITY COUNCIL MEETING January 27, 2009 I PLEASE PRINT N ADDRESS: 0- / got SIGNM i www.f ixhousi ngf i rst.com Fix Housing First is an initiative to fix Main Street and is NOT a typical business bailout! This is an initiative to save the American Dream by assisting homeowners by: • stabilizing home values • avoiding foreclosures l • providing opportunities to build new homes l • providing potential for new home buyers w /federally reduced interest rate assistance vs generally lowering interest rates which discourage reinvestment in housing • move up opportunities for growing families • ability for babyboomer's & empty nesters to downsize without worrying about the negative impact of their financial losses • creating 940,000 new jobs annually • increase average homeowner equity by $25k by 2012 • generate renew at the federal and state levels that will exceed the cost of the program • tax credits allow credits to be used at time of closing expanding it from 1 St time home buyers to all primary resident home buyers • 3% loan on a 300k equals $1,260 pmt vs at 6% equals $1,800 pmt, is a savings of $540 per month Housing is of the Cen�ter of Ourconar�c Crisis Fanni .on 5u me rrcdc�ic Mac ' .onfiJence -1 ,5pen di n E)edi n in �� ` �, Mukual etc- came'alu ommeriial'. a nr4 Homc6uilding' Activity onstruction Construction ing Loans ua irs c cam me mial n 'C,pG ntC Imo, Limb C oU 51 F1 is�tk6utrgm u�ti�lier �,fect ( C r'ixH ouslngFirst.co ni N F_l. M& i® F.I..ST R A HOUSING RECOVERY PLAN TO REVIVE THE AMERICAN ECONOMY EFFECTIVE AND MEANINGFUL ACTION THAT WORKS FOR MAIN STREET The Problem: Falling home values are at the core of the current economic crisis. • Home prices and properly values continue to dramatic -alty decline across the country affecting hard - working Americans everywhere • Amerleams are hesltantto buy homes now because they fear prices won't stabilize anytime soon • Exisling home inventory is nearing an all-time high and increasing as foreclosures flood the market • AN sectors of-the economy are affected because housing is so central to our daily eves, • Thousands (soon to be millions) of jobs across all industries have been Post as a result of the housing crisis • Consumers have stopped purchasing and sminall businesses are failing • Time Is of4he essence — single =day market changes can quickly wipe out the $790 billion economic recovery plan The Solution: Foreclosure Prevention coupled with short -term, targeted incentives will encourage Americans to buy homes again. • Contikus and onliance Foreclosure Prevention measures to keep people in their homes, help stabilize home prices and bokter the economy — Unfortunately, these rmeasures will , take time to implernomt and are complicated and eurnbsrsonde. • Implementing A viable foredl ®sure plan is absolutely essen gall to stabilizing the housing market Millions of rnorlpAges are already Underwater end more adjusta le rate morteages are +due to reset over the next thirty six months. f xisting ma- gape foreclesure programs trrust'be stw4thened to: — 1004101e voluntary, alferimiNves to foreclosure for lenders and borrowers — increase the capacity and flexibility offed'erallylnsured refinance programs — Provide below market mortgages to Improve affordability for homeowners and, maximize tender recoveries • Enhamee the Horne 111uyer Tax Credit: — Eligible purchases: Primary residences between Apdf 9, 200.8, and December 31, 2009 — Credit amount: 114%a of home price capped at 11 % of FHA, Fanr eMae or FreddisMac loan limits (gemgraphiealfy dependent), ranging between approximately $14,$0 and $2.2;1100 — Recapture: Modified to only be repaid If home is sold witkin 3 years — Monetization: Allow credit to be used towards down+ payment • Create below market 30 -.year fixed -rate mortgage for home purchases: — 2.9.9% rate available for contracts closed between now and ;tune 30, 2009 — 3.9! °/a rate for contracts closed between June 30, 9009 and December 31, 2009 • Both, of these Incentives worked in 1175, when Congress passed a she*term $2,90 tax credit for all new homes ($12 adjusted for today's median horse prices) coupled with subsidized mortgage rates. —fihe Stimulus,;ump started the depressed economy and the effects continued long after the measures expired The Effect: Reviving demand positively affects the global economy. • Stops the fall Ini home values. • Encourages people to buy NOW instead of later. • Restores consurner confidence and gets them spending again. • Enhances the hard work that has been done to shore up our financial- system. • Creates jobs opportunities across the country4n every secter. • Energizes 4he econemyl 3 M_a -ny - Ac#cnowle- d_g:efa Io.0 -n,g Root of the :Pro:bam 'The government and': taxpayers.: .hate :an enormously strong .incentive to address t he housing market given' that' he losses to banks 'will .:not:end. and the economy is unlikely to stop declining. until the :housing;market:sta ilizes " R Glenn: Hubbard and Christopher Mayer, Columbia siness Schoo The =Wa'I: reef Jou:rn:a October 2,. 2008 `At the, heart of:th► :crisis lies: a steep; .nationwide :,fall in price of homes:" Etlward .Glaeser;: Harvartl :Ec.onoimist,. The Boston: G[obe; November 2; 2008 "But we're to: need to create; programs in wfrich new player, new buyers new homeowners; new families are back: act�ely trying:. to': buy a home instead of renting, and it is my opinion; the only:way. this:will'occur s ahro —,a federal program: o:lowerinterest rates for mortgages: Larry Fink;. Ch airman: and CEO;: BlackRock, CNBC Novem 12., 2008 "l have always said that:.the decline fn he:. housing :market is at.: the. root: of the economic downturn :and rour financial rharket stress." Henry Paulson Treasury Secretary, The New York Times;; November :18 2008 "Key, going:forward, .is :the..stabilization: of housing prices:" A'la:n MulalLy, ford Co -GEO, Reuters, September 5, 2008' 'A necessarycondition:.forIhI'' :cr %s s::fo end s.a sta it nation- of�home prices. in the U.S."– Alan: Greenspan, :C- ongressional - Testimony :::October 200`8 HO F - MF IMPLEMENTATION FLOW (coNT.) Assuming both the enhanced Down Payment and Lower Interest Rate proposals are accepted, the below is a hypothetical Flow Chart that outlines the technical process of purchasing a home with these incentives. Family Signs Family Applies for Goq�'± Contract For Their 2.999'0 FHA Insured ►► Dream Home Mortgage from L ®ter n 5 Lender CLOma Fes` Lender Underw lees & APpt'oves, L FHA tnswres Loan Then Funds Loan teoer Oan Ab Q t�rcf~ 4 ei "Is U. S. Treasury ebt BON INVEST TREASURY 0 c n m a v v n CD m v CD Cl) 6/29/06 7/27/06 8/24/06 9/21/06 10/19/06 11/16/06 12/14/06 1/11/07 2/8/07 3/8/07 4/5/07 5/3/07 5/31/07 6/28/07 7/26/07 8/23/07 9/20/07 10/18/07 11/15/07 12/13/07 1/10108 2/7/08 3/6/08 4/3/08 5/1/08 5/29/08 6/26/08 7/24/08 8/21/08 9/18/08 10/16/08 11/13/08 12111/08 O N A O O O O O O d7 O Z ou O O O O O �D Co CL -< o 0 c� m m Q e - n Q co CD v (� c (D CL U) h ML v m Th Solution 60 Housing Stimulus Bill of July '08 (not enough to be effective) Requested Expand cap to $10,000 to $22,000 (3.6% of FHA, Fannie or Freddie conforming loan limit) Real Tax Credit (only repayable if home is sold ithin first three years of purchase) Change to Fannie or Freddie Loan Limit qualifications Expand to all Pri Expa009 nd to closings on or �`.ore� er..3,1 -- ,. 2 Claimable at time of closi • Create explicit statutory language permitting the tax creditor a refund anticipation loan to be i acceptable source of down payment Create a temporary 30 year, fixed rate mort gage 2.99% through 06/30/09 and 3.99% through 12131/09 Allows FNMA /FHLMC to purchase these low ' rate, FHA insured loans from lenders at full price and then resell them at lower market prices, thus subsidizing he difference Histo r Proves Th t t Works: 1975 Year Housing Starts Real GDP Unemployment Dove Jones Consumer Existing (thousands) (% change) Rate (percent) Industrial Confidence Homes Sales (Dee avg) Index (thousands) (at year end) 1972 2 5.3 5.6 890 116.1 2 9 254 1973 2 9 045 5.8 4 ®9 850 70.6 2 9 334 1974 1 9 338 -0.5 5.6 616 43.2 2 9 273 Housing Sti,nulus introduced but not But imme date impact or stock marke , soon enoua to remedy tl ese metrics consum sentiment and home sales 197 1,160 0.2 8.5 852 93.7 2,480 00 Houit Smufrs' ad a huge i pract the ve nex ;year 1,537 5.3 7.7 1 9 004 98.9 3 0 1977 81 3 646 1978 2 5.6 6.1 805 102.2 3 2005 2 2.9 5.1 I 10 103.8 7 2006 1 9 801 2.8 4.6 12,463 P 110.0 6 2007 I 1 2.0 4.6 13 90.6 5 2008 I 625 -0.3 6.5 9 38 5 9 180 Fix HOLISMqFirst com ! - ! x I& Falling Home values is Bad for Local & State Governments Local - and } it State ti Tax Revenue Need to Return to Normal Supply and Demand Market Balance (Units in Thousands) Existing Inventory Versus Monthly Sales January 2005 through November 2008 Stave off 4,000 Left Axis- Existing Single Family Inventory 800 ,r - -Right Axis -Existing Single Family Monthly Sales foreclosures 3,500 t o rower absolute 3,000 675 supply. 2,500 z v, 2,000 550 - Spur sales 1,500 through a 1,000 , , . - 425 housi r stimulus. 500 _ ~ • 0 300 LO LO LO LO 0 LO LO LO LO to LO LO Co m m co m m m 0 m m co m r- r-- r-- r- r- n r` r- ti � r oo oo oo oo oo CO oo oo m oo co ogoo coq000 _ o o00 00000000g00000999999Q000009999 99 N N W �. j 7 t O N N N CO Q j = N V 0 N N N (6 0- N 7 m N U > O U N N (0 4 N >> 7 N U 0 �tL�Qg� - 'Q tnOZp�u �Qg��QcgOZp�tL2< :i < n0Z�] �w2 <U) Z Source: National Association of Realtors, Zeman & Associates analysis. Note: Single family monthly sales was calculated by dividing NAR monthly inventory by NAR month's supply. Calculation differs from reported NAR monthly sales estimates due to NAR adjustment factor. /U "Compared to a fairly smaff.zh are of fore closures or shot sales a year ago, dis#ressed sales are currently 35 to 40 percent of transactions. s. These,a the median price down because many are b at discounted prices." — Lawr Yu National Association of R ief Economist, October 24, .200.8 - -- --- - - -- --------- --------------------------- --------- ------ Johnny Isakson, United States Senator from Georgia Page 1 of 2 Johnny United States Senate 'b Georgia Home I Contact Info I Constituent Services I News center I Legislation & Issues I Visiting Washington I Photo Gallery ( Georgia Profile FOR IMMEDIATE RELEASE Thursday, January 15, 2009 Isakson Introduces Legislation to Stimulate Housing Market, Expand Tax Credit for Homebuyers Would Eliminate Requirement That Tax Credit - Be Repaid WASHINGTON - Drawing on more than three decades of experience in the real estate industry, U.S. Senator Johnny Isakson, R -Ga., today introduced legislation to jump -start housing demand and to boost the economy by expanding the homebuyer tax credit passed by Congress last year. "Unfortunately, home prices and property values continue to decline across the country as foreclosures flood the market. Americans are hesitant to buy homes and existing home inventory is nearing an all -time high," Isakson said. "Our economic crisis started with housing, and our economy will continue to suffer unless we do something now to immediately fix this problem. We must create targeted incentives that will encourage Americans to buy homes again." Last year, Isakson introduced legislation to specifically target those homes that were causing the unprecedented increase in housing inventory by offering tax credits to individuals purchasing a foreclosed home or a home where foreclosure is pending. In April 2008, the Senate passed legislation to stimulate the nation's declining housing market that included Isakson's proposal. I However, the final version of the legislation that was signed into law only included a tax credit for first -time homebuyers that must be repaid over a 15 -year period. The legislation introduced by Isakson today would expand that tax credit to include all purchasers and would eliminate the current requirement that it be repaid. Repayment of the tax credit would only be required if the home is sold within three years. Specifically, Isakson's Fix Housing First Homebuyer Tax Credit legislation would also enhance the existing homebuyer tax credit by: • Extending the eligibility period for the credit to December 31, 2009; • Increasing the credit amount to 10 percent of the home price capped at 3.5 percent of FHA loan limits (geographically dependent) — ranging between approximately $10,000 and $22,000; • "Monetizing" the credit so it is available at time of closing; and • Allowing the credit to be used in conjunction with mortgages financed by state or local bonds. Isakson has pushed hard for a non - repayable tax credit for homebuyers because he knows that it will work. In the mid- 1970s, America faced a similar housing crisis when a period of easy credit and loose underwriting flooded the market with new construction. Interest rates rose, the economy slowed and America was left with a three -year supply of vacant homes. Congress responded by passing a $2,000 tax credit for anyone purchasing a new home for their principal residence. Isakson believes the results were clear and swift as home values stabilized, housing inventory dropped and the market recovered. Isakson spent more than three decades in the real estate business, beginning his business career in 1967 when he opened the first Cobb County, Ga., office of a small, family -owned real estate business, Northside Realty. Isakson later served as president of Northside for 20 years, presiding over the company's growth into the largest independent residential real estate brokerage company in the Southeast and one of the largest in America. http: / /isakson.senate.gov /press /2009 /011509housing.htm 1/27/2009 Effects of Reviving the Housing Market I Fix Housing First Page 1 of 1 1 V A Plan for Housing Stimulus Home The Issues Resource Center Media Room Supporters Effects of Reviving the Housing Market Take Action. Tell Congress to include housing in The Problem I The Solution I The Effects the stimulus bill currently being decided upon. Your Input Counts. Reviving demand will positively affect the global economy. While housing is at the root of our economic crisis, it can also be the spark that turns the economy around. Notable Voices Despite best intentions, the legislation failed to either stimulate or stabilize the market. The measure's failure can be attributed to three core factors: "This is the worst financial crisis that the U.S. and other advanced economies have experienced since the Great Depression. A A short-term, meaningful tax credit coupled with a below- market mortgage will get stimulus package legislated only in homebuyers back in the market quickly. With market activity, housing inventory will February or M arch of next year — will be drop, stabilizing both home prices and home values. In turn, delinquent mortgages too late." and foreclosures will markedly decline, shoring up financial institutions. Nourlel Roubinl a housin stimulus goes well beyond homebuyers. Increased property NeNYo k o n l T Oct of Economics Importantly, 9 9 Y Y p p Y Congressional Testlmory, October 30, 2008 values positively affect all home owners, restoring consumer confidence to resume normal spending. In addition, a stable housing market creates millions of jobs across the country in Get Involved every sector – raw material suppliers, contractors, trades, furniture makers, and much more. Join the Fix Housing First Coalition And it will not take long. A short-term housing stimulus will immediately motivate homebuyers and, thus, raise property values and home prices, shore up our financial systems, restore consumer confidence and create job opportunities. In The News A plan to rebuild the housing market "Congress and the administration should... For a limited time, say up to the end of 2009, allow buyers to use the value of their down - payment (or some part of it) as a tax deduciton." The Financial Times November t t, 2008 -- A plan to rebuild the housing market About Us Contact Us http : / /www.fixhousingfirst.com/the- issues /the- effects.php 1/27/2009 Home Builders: We Want a Bailout, Too! I NBC San Diego Page 1 of 2 VALLEY VIEW CASINO MASAN DIEG Search NEWS i i LU`PL US. S WL RLD ENTERTAINMENT WEIRD BUSINESS GREEN rg, p far EmaJ and McRae! Jena Sub.ftP w R.'S Most Viewed -News 1r,¢�•�,I Home Builders Lobby Congress for Billions , t B Ba lboa Grabs Girl, a, In By 01-1131S FRATES Jan,26, 2009130 comments Updated 11:98 PM PST, Mon, Dec 8, 2008 _ .. ........ ................... . ........ ...... . ...... . ......__ _._._... _ _._ 12 Your Water Bill Could Be Going Related Topka:.4ny Ho-xe�d 1 Raal Eclxe Sator I I'almednld.nB I Way Up r,nw.chon Sector] Revdsnaal Rsai Estate Manaeemete and Os +obprent I Real Estate I Ec:.:.en:c tanws I Eeon - Cnrs 1 _ 3 hours ago 115 comments 2es,'nese I Florae Finanung C.etla Fit 1. m.M J i l l. :' � 0 Cops :'TacticalTakeover _ ...... m ....... ............_.. P ...__a .. Co .....ms . ..................._........... Bandits' Caught Cie ............. . ...................................`...,...... ............................... by Image,, Why, homebuilders argue, should the Industry that tri Jan 26, 2009 11 comments 1 ggered the recession not get some government assistance to help The nation's home builders, tired of being left off the right the faltering economy? economic bailout train, launched a lobbying campaign on Monday to push for $200 billion in housing assistance in a stimulus bill that is likely to be a top priority when the new Congress convenes In January. Why, homebuilders argue, should the Industry that triggered the recession not get some government assistance to help right the faltering economy? "Housing has led the country into and out of every recession since World War 11, yet no one is pointing to how we can lead them out," said Jerry Howard chief executive officer of the National Association of Home Builders. "Everyone's pinning the blame on how we got them into it, but nobody's helping figure out how we lead them out," The association has teamed with other housing - related industries to form the Fix Housing First Coalition. With Congress back in town this week to consider a bailout for the Big Three automakers, the housing industry thought it was a good time to remind lawmakers that they still haven't addressed the cause of the recession. "The root cause of all of those problems is housing and the challenge is to get folks to focus on the underlying problem and not on the symptoms," said Ken Gear, a lobbyist with home builder Pull e Homes, one of the coalition's founding companies. On Monday, the coalition launched a weeklong inside - the - Beltway print advertising campaign and next week will begin airing radio ads in states and congressional districts with lawmakers who sit on key economic committees, Howard said. The group would not disclose the cost of its advertising efforts. The group Is also working to win local media coverage of struggling business owners, the local drywall subcontractor who lost his business and Is facing foreclosure, for instance. Also on the local level, the coalition is asking its membership to call or e-mail their lawmakers to push for housing relief. Because this is the first such grassroots push, officials did not know how many contacts they might generate. But this summer, during debate over reforming Fannie Mae and Freddie. Mac, the home builders association generated 10,000 phone calls in two days, Howard said. Come January, the coalition plans to fly in housing workers to Washington to press their case and plans a more aggressive national media campaign, Howard said. The coalition Is asking Congress to support measures almost identical to ones it passed during the 1974 -75 recession — a buydown of mortgage Interest rates and tax credits for home buyers. The $200- billion plan would provide home buyers with a credit worth up to $20,000 and would drop mortgage Interest rates to as low as 3 and 4 percent next year. The plan is aimed at coaxing scared homebuyers back into the market. While there has been much talk about stemming foreclosures and keeping people in their homes, Howard said lawmakers also need to focus on increasing housing demand. "The bottom line is that until you stabilize house values, which means limiting supply and stimulating demand, you cannot stop the declines in the financial sector. You can't stop the declines in the manufacturing sectors," Howard said. "And when you have three sectors In the tank, you can't stop worldwide recession." http : / /www.nbesandiego.com/news /us world/ Homebuilders _lobby_Congress_for_ billions.... 1/27/2009 Join the 2009 campaign to "Fix Housing First" and stimulate the economy, by Linda Choj... Page 1 of 2 UPDATED: 3 :40 p.m. EST, January 27, 2009 Cleveland, OH, Snow 23• F • Complete Forecast I Homepage "Site Index I RSS Feeds I About Us I Contact Us I Advertise Everything Cleveland *,k IT'S A GREAT TIME TO BUY f fill ill NEWS LOCAL BUSINESS SPORTS BLOGS MULTIMEDIA ENTERTAINMENT LIVING JOBS AUTOS ESTATE CLASSIFIEDS SHOPPING PLA AN -- ------ --- •--- - ----- - SEARCH: Enter Keyword(s) ®Of THE PLAIN DEALER ' Today's Paper & More STATE D REAL _.. __..... -- - ._......,.. _..... _ _.. __.... -- - - ......._ -. _ ...._........._ ....... . ......... -____ - .... ..... ... _ _....... _ _ .._ . .... e I •R a Es tate Home _ Join the 2009 campaign to "Fix Housing First" and Page PRINT EDITION stimulate the economy, b Linda Cho nacki le. HEADLINES y y • Area Area C Cleveelala nd • Suburb Maps Zaremba properties offer Monday. December 22, 2008 style and comfort at Cleveland convenient locations Happy New Year! With the New Year comes our hope for a stronger and more vibrant Community News Resort-like living and ; economy and real estate market in Northeast Ohio in 2009. Remodel Ohio modern, updated suites • Sophisticated offered at The Marsol But, according to Jeff Budzowski, GMB, CAPS, the new president of the Home Builders Home Pine Ridge offers choice, Association of Greater Cleveland and a partner in Tower Park Construction, LTD., In order to Home Finance amenities and value fix the economy, we have to "Fix Housing First." •More Headlines • New Home Guide "Fix Housing First is a campaign that the National Association of Home Builders is pushing Living - ......... -' - - .._ - -" ....... - Congress to do. The ball out money being spent to stabilize the economy will not be effective if we don't re- establish confidence in the homeowner. Home prices and property values are on Age Real Estate ' a steep ecline across the count g causin a dramatic near standstill in home purchases. Agent Housing accounts for nearly 13 percent of the U.S. Gross Domestic Product. Almost 85,000 Find a Real Estate jobs have been lost In the past two months In the construction industry alone. Many other jobs Broker were lost indirectly as a result of the housing crisis," stated Budzowski. - SHARE THIS STORY ♦ Advertisement 5i' Reddit 49g del.ic[o.us Goggle ,V Yahoo • H�04�IL I D SITE TOOLS BLACK CAR E -mail This Print This e =.J Newsletters,. 3udzowski feels that getting the government to act now is critical. Sion uD for breakino news uodates from "Foreclosure prevention, coupled with short-term, targeted incentives, will encourage The Plain Dealer Americans to buy homes again. Congress needs to make the Home Buyer Tax Credit for residences a true tax credit and not a zero - percent interest loan. And this tax credit should be available to all homebuyers, not just first -lime buyers. SPONSORED LINKS j "in addition, buyers should have access to discounted mortgage financing that would ; • Search Virtually Any encourage eligible homebuyers to enter the market. History proves that tax credits for Home homebuyers work to bolster the economy. "In 1975, Congress passed a short-term tax credit for all new homes, coupled with subsidized mortgage rates. This stimulus jump- started the depressed economy, and the effects continued long after the measure expired. "So I am asking the public to contact their congressional representatives to tell them to'Fix Housing First' It's easy to do; I did it in about five minutes," said Budzowski. According to Budzowski, The National Association of Home Builders has made it easy for the public to quickly contact their representatives. Just visit www.fixhousingfirst.com and you'll rind a direct link to your congressional leaders. "If you believe, as I do, that the strength of America's economy begins with confidence in homeownership, then you have to do it now[ And, you have got to tell everyone you know how important it is to contact their representatives, as well," CONTINUED 1 j 2 j 3 Next . ........ .._..._._._.... _......_._.... - - - ._... . ....................... . .._..... _............_..._. - Home I News I Sports I Forums I Blogs I Multimedia I Entertainment I Jobs I Autos I Real Estate I Classifieds I Shopping Complete Forecast I RSS Feeds ! RSS Terms and Conditions I Site Index I About Us ! Contact Us I Advertise I Help /Feedback http:// www. cleveland. com/ pdrealestate/ plaindealer /index.ssf?/base /zre /12299769151473... 1/27/2009 Fix Housing First Media Room Page 1 of 2 A Plan for Housing Stimulus Home The Issues Resource Center Media Room Supporters Media Room Take Action! New Study Finds Housing Stimulus Essential to Economic Recovery Tell Congress to include housing in the stimulus bill currently being (Washington, D.C.) January 13, 2009 - Without substantial demand stimulus for the decided upon. Your Input Counts. housing sector, the stimulus package currently being considered by Congress will only have a limited effect and would fail to reverse the loss of trillions of dollars in homeowner equity, according to a study released today by the Fix Housing First Coalition. The study, conducted by Califomia -based expert services consulting firm LECG LLC, shows that when housing stimulus is combined with a general economic recovery program like that under discussion by the new Administration and Congress, increased economic activity grows strongly across all sectors of the economy. Notable Voices Using a well regarded economic model, researchers studied the impact of a short- "Homeowners across the country are a u term program espoused by the Fix Housing First Coalition that would combine a losing the equity Y the Y have built p in their significant tax credit for all homebuyers from $10,000 to $22,000 with a time- homes as prices continue to fall. Sales of restricted mortgage rate write down to 2.99 %. The economic analysis demonstrated existing homes and new construction that adding these housing stimulus provisions to the anticipated economic recovery continue to be lethargic." bill would over a four year period: Andrew Jakabovics Associate Director, Economic Mobility Program • Increase GDP by 1 percent annually center for American Progress, October 28, 2008 • Create 940,000 newjobs annually; • Increase average homeowner equity by $25,000 by 2012; • Increase aggregate homeowner equity by more than $2 trillion by 2012; and Get Involved • Generate revenues at the federal and state level that will exceed the cost of the Join the Fix Housing First Coalition program. "A strong direct stimulus to housing demand is essential to turn the economy around in a timely and dependable fashion," noted Dwight M. Jaffee, Professor of Finance In The News and Real Estate, Haas School of Business, University of California, Berkeley who contributed to the study. " "Every key economic indicator - GDP, employment, A Ian to rebuild the housing consumer confidence and housing market activity- rebounds significantly faster if p housing is included in the stimulus package." market "Congress and the administration should... For a The lack of demand for housing has created a self - perpetuating downward spiral that limited time, say up to the end of 2009, allow buyers to use the value of their down - payment (or some part shows no signs of abating. Potential homebuyers are fearful of entering the market of It) as a tax deduciton." out of concern that the house they buy today will be worth less in six months. When The Financial Times November 11, 2008 there are no buyers, prices continue to fall, thus confirming buyers' worst fears. It Is a _A plan to rebuild the housing market classic market failure that is pulling down the entire economy. National Association of Home Builders economist David Crowe added, "Three million home building - related jobs across the country have been lost as a result of the slowdown in housing production, which represents $145 billion in lost wages and $4.9 billion in lost purchases. Deterioration in these jobs has now spilled over into virtually all sectors of the U.S. job market." "The collapse in home equity has devastated homeowners across the country and placed many of them and their community and condominium associations in very tenuous financial positions," said Thomas M. Skiba, CEO of Community Associations Institute. "Reviving the housing market in a way that restores that equity has to be a critical element in any economic recovery plan." While the new study demonstrates the effectiveness of the Fix Housing First Coalition proposal, it also found that the program is consistent with the criteria established for a http: / /www.fixhousingfirst .com/media- room/2009 /01/ new - study - finds- housing - stimul.php 1/27/2009 Congress Considers "Fix Housing First" Tax Credit: Green Building Elements Page } of GREEN BUIL DING ��1���T� o �c-�"'.�,�/—/ VAvje,t_s,owuvasoom�` Qree ���� _ ��� C onciress -Considers Tax Credit Written by Joel Bittle *nomments Published un January uord,uoo m Money, mowu ' mon effort m stabilize the housing market, Georgia Senato Johnny maksonm��v�uuum.*mc seeks m��me����v�u���o�n�����/��m�fferingotaxoreduonlym,rirst r time home buyers that must ue repaid over a10-yeo period, the expanded proposal includes tax credits for all ' purchasers that uo not need mue repaid unless the home /u sold within three years. Included m the proposal are the following: ° Extending the eligibility period for the credit m December u1.uo09. ° Increasing the credit amount m10 percen m the home price capped atuo percen of FHA loan limits. ° ^Mvnetmno^ the credit oon/n available at time ofclosing ° Allowing the credit to be used in conjunction with mortgages financed by state or local bonds. o " Read more vnMonm The National Association of Home Builders, along with hundreds of businesses and organizations, stands firmly behind adding the Fix Housing First provisions to the anticipated economic recovery package. An economic study espoused uv the Ou*ousinoFin$ coalition projects that, over a four year period, results of a housing stimulus will include an annual I % GDP increase, the creation oro*o.000 jobs, and onincrease in average homeowner equity by $25,000, resulting in state and federal rev that will exceed the cost of the program. The housing industry has ground to a halt after the subprime mortgage fiasco and the resulting foreclosures left many markets flooded with new construction. Home values fell and credit dried up. rno way to fix the problem, according to Senator Isakson, is to offer a non-repayable tax credit to home buyers, a measure that worked when a similar housing crisis left a three year supply of vacant homes in the mid 1979s. nroouaowm would like to see green building incentives added to a housing stimulus pac perhaps something involving energy efficiency guidelines or the new taxibrealks for wind and solar, but green building can only continue to grow in a strong housing market. � DigQ submit r� submit to reddit vote now Tags: congress, nnanvialoumvmu.»vmouwwrtamxmmuo.taxcr,uus . You might also like: mm L ng The Vicious Circle ofUoownhoymem Warren Buffett Talks About the Economv on Niahtiv Business Recort's 30th Anniversary Show Targe 8 Call-To Service No Can "Cram Downs" Reduce Foreclosures and /mom, rxesvv^nmvv Add a comment v,n"vouo" Recommend this ooxtn1 httn://pmccobuildingeloozento.uozo/20Og/Ul/23/coogroGo-coomidcro-fix-hono' -fizot-tox-ure'.. 1/27/2009 Ho u.sin g 'rs. the Center of O u r Economic Crisis F annie ae 6 ©rret�die Ma t onsumer Conf idonce 5p endin g k hve md t 5116z x. rrte rta in me r7t, increasing utualunr Aut6, et H ome c lues omm er6aI a`n anJ ome a ii onstruction �■ onstri� i " 5penc4.ing L oam �-6ftt r. {cet ian memal,mom: �, ..ter5 (Tc;rm: c ousin _ ' :istr utvrs, 50dirs ultiplier Effect rrC)juct' f&, ett:, Lawn r� " etc- Fix I l i I j United City of Yorkville, Illinois Annual Financial Report For the Year Ended April 30, 2008 i k Wolf & Company LLP Certified Public Accountants i I i UNITED CITY OF YORKVILLE, ILLINIOS Table of Contents PAGE i INDEPENDENT AUDITOR'S REPORT 1 MANAGEMENT'S DISCUSSION AND ANALYSIS 2 -9 BASIC FINANCIAL STATEMENTS Government -Wide Financial Statements Statement of Net Assets 10 -11 Statement of Activities 12 -13 Fund Financial Statements Balance Sheet - Governmental Funds 14 Reconciliation of Balance Sheet of Governmental Funds to the Statement of Net Assets 15 Statement of Revenues, Expenditures, and Changes in Fund Balances - Governmental Funds 16 Reconciliation of Statement of Revenues, Expenditures, and Changes in Fund Balances of Governmental Funds to Statement of Activities 17 Statements of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual - General Fund 18 Statements of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual - Library Fund 19 -21 Statement of Net Assets - Proprietary Funds 22 -23 Statement of Revenues, Expenses, and Changes in Fund Net Assets - Proprietary Funds 24 Statement of Cash Flows - Proprietary Funds 25 -26 Statement of Fiduciary Net Assets 27 Statement of Changes in Fiduciary Net Assets 28 Notes to the Financial Statements 29 -63 REQUIRED SUPPLEMENTARY INFORMATION Schedules of Funding Progress and Employer Contribution Illinois Municipal Retirement Fund 64 Police Pension Fund 65 UNITED CITY OF YORKVILLE, ILLINIOS Table of Contents PAGE COMBINING AND INDIVIDUAL STATEMENTS AND SCHEDULES GOVERNMENTAL FUND TYPES GENERAL FUND Schedule of Revenues - Budget and Actual 66 -67 Schedule of - Expenditures Budget and Actual 68 -74 p g NONMAJOR GOVERNMENTAL FUNDS Combining Balance Sheet - Nonmajor Governmental Funds 75 -76 Combining Statement of Revenues, Expenditures, and Changes in Fund Balances - Nonmajor Governmental Funds 77 -78 SPECIAL REVENUE FUNDS Motor Fuel Tax Fund Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual 79 Police Equipment Capital Fund Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual 80 Public Works Equipment Capital Fund - Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual 81 Parks and Recreation Equipment Capital Fund Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual 82 Land Cash Fund Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual 83 -84 UNITED CITY OF YORKVILLE, ILLINIOS Table of Contents PAGE SPECIAL REVENUE FUNDS (CONT.) Land Acquisition Fund Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual 85 i Parks and Recreation Fund Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual 86 -88 Fox Industrial Fund Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual 89 Countryside TIF Fund Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual 90 Downtown TIF Fund Schedule of Revenues, Expenditures, and Changes in Fund Balance — Budget and Actual 91 DEBT SERVICE FUND Debt Service Fund Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual 92 CAPITAL PROJECTS FUND Municipal Building Fund Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual 93 UNITED CITY OF YORKVILLE, ILLINIOS Table of Contents PAGE PROPRIETARY FUND TYPES Sewer Operation and Improvement Fund Schedule of Revenues, Expenses, and Changes in Net Assets - Budget and Actual 94 Water Operation and Improvement Fund Schedule of Revenues, Expenses, and Changes in Net Assets - Budget and Actual 95 STATISTICAL SECTION (UNAUDITED) Schedule of Assessed Valuations, Tax Rates, Tax Extensions and Tax Collections 96 -97 I i INDEPENDENT AUDITOR'S REPORT I i i I� !Wolf & Company LLP Co tified PrrGGcllccouw(wt.i A Wolf Financial Group Member INDEPENDENT AUDITOR'S REPORT To the Honorable Mayor '[embers of the City Council united City of Yorkville, Illinois We have audited the accompanying financial statements of the governmental activities, business -type activities, the discretely presented component unit, each major fund, budgetary comparison information for the General and Library Funds, and the aggregate remaining fund information for United City of Yorkville, Illinois, as of and for the year ended April 30, 2008, which collectively comprise the City's basic financial statements as listed in the table of contents. These financial statements are the responsibility of the management of United City of Yorkville, Illinois. Our responsibility is to express opinions on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the basic financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our inion. o � p p' p In our opinion, the basic financial statements referred to above present fairly, in all material respects, the financial position of United City of Yorkville, Illinois, as of April 30, 2008, and the results of its operations and cash flows of the proprietary fund, and budgetary comparison of the General and Library Funds for the year then ended, in conformity with accounting principles generally accepted in the United States of America. Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the basic financial statements of United City of Yorkville, Illinois. The accompanying information listed as schedules in the table of contents is presented for purposes of additional analysis and is not a required part of the basic financial `atements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial itements and, in our opinion, is fairly stated, in all material respects, in relation_ to the basic financial statements taken as a whole. I The Management's Discussion and Analysis and the required supplementary information listed in the table of contents are not a required part of the basic financial statements but are supplementary information required by the Governmental Accounting Standards Board. We have applied certain limited procedures which consisted principally of inquiries of management regarding the methods of measurement and presentation of the supplementary information. However, we did not audit the information and express no opinion on it. The information in the statistical section listed in the table of contents was not audited by us and, accordingly, we do not express an opinion thereon. lnJ C L LO Oak Brook, Illinois January 19, 2009 I 2100 Clearwater Drive Oak Brook, Illinois 60523 -1927 630.545.4500 main A 630.574.7818 far A www.wolfcpa.com MANAGEMENT'S DISCUSSION AND ANALYSIS I I �I I i i I I i I CITY OF YORKVILLE, ILLINOIS MANAGEMENT'S DISCUSSION AND ANALYSIS April 30, 2008 As management of the City of Yorkville ( "City "), we offer readers of the City's financial statements this narrative overview and analysis of the financial activities of the City for the fiscal year ended April 30, 2008. Since the Management's Discussion and Analysis ( "MD &A ") is designed to focus on the current year's activities, resulting changes and currently known facts, it should be read in conjunction with the City's financial statements. Iinancial Highlights The assets of the City of Yorkville exceeded its liabilities at the close of the fiscal year by $77,172,735 (net assets). Of this amount, $8,529,170 is restricted for capital projects /debt service and $69,127,312 is invested in capital assets net of related debt, leaving a net asset balance of ($483,747) as unrestricted. The government's total net assets increased by $3,720,982 (5.1 %) during the fiscal year ended April 30, 2008. Governmental activities net assets increased by $1,780,487 (3.3 %) and the business -type activities net assets increased by $1,940,495 (10.2 %). As of the close of the current fiscal year, the City's General Fund reported an ending fund balance of $2,952,336, a decrease of $2,365,488 in comparison with the prior year. A majority of this decrease represents the completion of Phase II of the In -Town Road Program. At the end of the current fiscal year, unreserved fund balance for the General Fund was $2,665,300. Overview of the Financial Statements This discussion and analysis is intended to serve as an introduction to the City's basic financial statements. The = j City's basic financial statements comprise three components: 1) government -wide financial statements, 2) fund j financial statements, and 3) notes to the financial statements. This report also contains other supplementary I - information in addition to the basic financial statements. zrnment -Wide Financial Statements The government -wide financial statements are designed to provide readers with a broad overview of the City's finances, in a manner similar to a private- sector business. The statement of net assets presents information on all of the City's assets and liabilities, with the difference between the two reported as net assets. Over time increases or decreases in net assets may serve as a useful indicator of whether the financial position of the City is improving or deteriorating. The statement of activities presents information showing how the City's net assets changed during the most recent fiscal year. All changes in net assets are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of related cash flows. Thus, revenues and expenses are reported in this statement for some items that will only result in cash flows in future fiscal periods. The Governmental Activities reflect the City's basic services, including administration, public safety, highways and streets, and culture and recreation. Property taxes, shared state taxes and local utility taxes finance the majority of these services. The Business -Type Activities reflect private sector type operations, where the fee for service typically covers all or most of the cost of operations, including depreciation. 2 CITY OF YORKVILLE, ILLINOIS MANAGEMENT'S DISCUSSION AND ANALYSIS (CONT.) April 30, 2008 Fund Financial Statements A fund is a grouping of related accounts that is used to maintain control over resources that have been segregated for specific activities or objectives. The City uses fund accounting to ensure and demonstrate compliance with finance- related legal requirements. All of the funds of the City can be divided into three categories: governmental funds, proprietary funds and fiduciary funds. Governmental funds are used to account for essentially the same functions reported as governmental activities in the government -wide financial statements. However, unlike the government -wide financial statements, governmental fund financial statements focus on near -term inflows and outflows of spendable resources, as well as on balances of spendable resources available at the end of the fiscal year. Because the focus of governmental funds is narrower than that of the government -wide financial statements, it is useful to compare the information presented for governmental funds with similar information presented for governmental activities in the government -wide financial statements. By doing so, readers may better understand the long -term impact of the City's near -term financing decisions. Both the governmental fund balance sheet and the governmental fund statement of revenues, expenditures and changes in fund balances provide a reconciliation to facilitate this comparison between governmental funds and governmental activities. The City maintains two individual major governmental funds. Information is presented separately in the governmental fund balance sheet and in the governmental fund statement of revenues, expenditures and changes in fund balances for the General Fund and Library Fund, both of which are considered to be major funds. Information from the City's other governmental funds are combined into a single column presentation. Individual fund information for these non -major governmental funds is provided elsewhere in the report. The City maintains one type of proprietary fund (enterprise funds). Enterprise funds are used to report the same functions presented as business -type activities in the government -wide financial statements. The City uses enterprise funds to account for its water and sewer operations. Proprietary funds provide the same type of information as the government -wide financial statements. The proprietary fund financial statements provide separate information for the Water Operation and Improvement Fund and the Sewer Operation and Improvement Fund, both of which are considered to be major funds of the City. Fiduciary funds are used to account for resources held for the benefit of parties outside the City. Fiduciary funds are not reflected in the government -wide financial statements because the resources of those funds are not available to support the City's own programs. The accounting used for fiduciary funds is similar to that used by proprietary funds. Notes to the Financial Statements The notes provide additional information that is essential to a full understanding of the information provided in the government -wide and fund financial statements. Other Information In addition to the basic financial statements, this report also includes certain required supplementary information related to budgetary information and the City's progress in funding its obligation to provide pension benefits to its employees. Nonmajor fund information can be found following the required supplementary information. 3 CITY OF YORKVILLE, ILLINOIS MANAGEMENT'S DISCUSSION AND ANALYSIS (CONT.) April 30, 2008 GOVERNMENT -WIDE FINANCIAL ANALYSIS Statement of Net Assets The following chart reflects the condensed Statement of Net Assets (in millions): Total Governmental Business -Type Primary Activities Activities Government 2008 2007 2008 2007 2008 2007 Assets: Current and Other Assets $ 11.6 $ 15.0 $ 16.9 $ 16.6 $ 28.5 $ 31.6 Capital Assets 67.0 62.2 40.5 36.6 107.5 98.8 Total Assets 78.6 77.2 57.4 53.2 136.0 130.4 Liabilities: Other Liabilities 4.5 5.1 0.7 0.7 5.2 5.8 Long -term Liabilities 17.8 17.6 35.7 32.7 53.5 50.3 Total Liabilities 22.3 22.7 36.4 33.4 58.7 56.1 Net Assets: Invested in Capital Assets, Net 53.3 51.9 15.9 14.9 69.2 66.8 Restricted 3.6 6.8 4.9 5.5 8.5 12.3 Unrestricted (0.7) (4.2) 0.2 (0.6) (0.5) (4.8) Total Net Assets $ 56.2 $ 54.5 $ 21.0 $ 19.8 $ 77.2 $ 74.3 The largest portion of the City of Yorkville's net assets, or 90 %, reflects its investment in capital assets (e.g., land, buildings, machinery, and equipment), less any related debt used to acquire and construct those assets that -'11 outstanding. The City of Yorkville uses its capital assets to provide services to citizens; consequently, these assets are not available for future spending. Although the City of Yorkville's investment in its capital assets is reported net of related debt, it should be noted that the resources needed to repay this debt must be provided from other sources, since the capital assets themselves can not be used to liquidate these liabilities. An additional portion of the City of Yorkville's net assets, or 11 %, represents resources that are subject to external restrictions on how they may be used. At the end of the current fiscal year, the City of Yorkville is able to report positive balances in total net assets in both the governmental and business -type activities . The same situation held true for the prior year. 4 CITY OF YORKVILLE, ILLINOIS MANAGEMENT'S DISCUSSION AND ANALYSIS (CONT.) April 30, 2008 The following chart reflects the condensed Statement of Activities (in millions): Total Governmental Business -Type Primary Activities Activities Government 2008 2007 2008 2007 2008 201' ' REVENUES Program Revenues: Charges for Services $ 2.2 $ 2.4 $ 2.8 $ 2.5 $ 5.0 $ 4.9 Operating Grants /Contributions 0.8 0.8 Cap. Grants /Contributions 1.9 3.9 1.9 2.1 3.8 6.0 General Revenues: Property Taxes 3.6 2.0 3.6 2.0 Other Taxes 5.7 5.4 5.7 5.4 Other 3.8 3.4 2.0 4.5 5.8 7.9 Transfer In 0.5 2.7 0.5 2.7 18.5 19.8 6.7 9.1 25.2 28.9 EXPENSES General Government 5.7 4.9 5.7 4.9 Public Safety 3.2 2.7 3.2 2.7 Public Works 3.5 4.1 3.5 4.1 Library 1.0 0.8 1.0 0.8 Parks and Recreation 2.2 2.1 2.2 2.1 Community Development 0.5 0.5 0.5 0.5 Interest Long -Term Debt 0.7 1.0 0.7 1.0 Water 3.0 3.0 3.0 3.0 Sewer 1.2 1.2 1.2 1.2 Transfer Out 0.5 2.7 0.5 ? 16.8 16.1 4.7 6.9 21.5 2� z Change in Net Assets 1.7 3.7 2.0 2.2 3.7 5.9 Ending Net Assets $ 56.2 $ 54.5 $ 21.0 $ 19.8 $ 77.2 $ 74.3 I Beginning Balances for both governmental activities and business -type activities were restated at the beginning of the year for a net decrease of $0.8 million. For additional information on the restated balances, see Note 9 to the financial statements. Governmental Activities. Governmental activities increased the City of Yorkville's Net Assets by $1.7 million, thereby accounting for 48% of the total increase in the net assets of the City of Yorkville. 5 I I CITY OF YORKVILLE, ILLINOIS MANAGEMENT'S DISCUSSION AND ANALYSIS (CONT.) April 30, 2008 FINANCIAL ANALYSIS OF THE GOVERNMENT'S FUNDS Governmental Funds. The focus of the City of Yorkville's governmental funds is to provide information on near -term inflows, outflows, and balances of spendable resources. Such information is useful in assessing the City of Yorkville's financing requirements. In particular, unreserved fund balance may serve as a useful . sure of a government's net resources available for spending at the end of the fiscal year. As of the end of the current fiscal year, the City of Yorkville's governmental funds reported combined ending fund balances of $6,959,146, a decrease of $2,797,249 in comparison with the prior year. Approximately 43.7% of this amount, $3,041,566, constitutes unreserved fund balance, which is available for spending at the government's discretion. The remainder of fund balance is reserved to indicate that it is not available for new spending because it has already been committed to insurance, debt service, and capital project commitments. The General Fund is the chief operating fund of the City of Yorkville. At the end of the current fiscal year, unreserved fund balance of the General Fund was $2,665,300, while the total fund balance reported is $2,952,336. As a measure of the General Fund's liquidity, it may be useful to compare both unreserved fund balance and the total fund balance to total fund expenditures. At April 30, 2008, unreserved fund balance represented 71 days of average 2008 expenditures. - The fund balance of the City of Yorkville's General Fund decreased by $2,275,334 during the current fiscal year. A majority of this decrease represents the completion of Phase lI of the In -Town Road Program, in which funds for this project were reported as reserved in prior year. The fund balance of the City of Yorkville's Library Fund increased by $175,061 during the current fiscal year. Proprietary Funds. The City of Yorkville's proprietary funds provide the same type of information found in the government -wide financial statements, but in more detail. Net assets of the Water Operation and Improvement Fund at the end of the year amounted to $17,045,606 and V. , for the Sewer Operation and Improvement Fund amounted to $3,952,418. Both the Water Operation and li._,rovement Fund and the Sewer Operation and Improvement Fund had increases in net assets of $1,038,510 and $901,985, respectively. _ 6 CITY OF YORKVILLE, ILLINOIS MANAGEMENT'S DISCUSSION AND ANALYSIS (CONT.) April 30, 2008 The following chart reflects the condensed General Fund Budgetary Comparison Schedule (in millions): Original Final Budget Budget Actual Revenues: r' Taxes $ 7.6 $ 7.3 $ 7.3 Fees 4.9 4.2 3.5 Other 5.3 4.1 1.4 Total Revenues 17.8 15.6 12.2 Expenditures: General Government 5.4 5.4 5.7 Public Safety 3.2 3.3 3.0 Community Development 0.6 0.5 0.5 Public Works 7.1 5.8 4.5 Total Expenditures 16.3 15.0 13.7 Excess (Deficiency) of Revenues over Expenditures 1.5 0.6 (1.5) Other Financing Sources and Uses (1.1) (1.0) (0.8) Change in Fund Balance $ 0.4 $ (0.4) $ (2.3) Significant differences between the original budget and final amended budget can be briefly summarized as follows: • $359,247 decrease in budgeted Taxes. ) $745,593 decrease in budgeted Licenses, Permits and Fees. • $1,148,890 decrease in budgeted Other revenue. • $1,277,235 decrease in budgeted Public Works expenditures. Significant differences between the final amended budget and actual costs can be briefly summarized as follows: • $627,035 less actual Licenses, Permits and Fees than the final amended budget. • $3,070,032 less actual Other revenue than the final amended budget. • $1,335,903 less in actual Public Works expenditures than the final amended budget. There was an amendment to the original budget in FY08 in order to reallocate expenditures between General Administration, Public Works, Parks and Recreation and Debt Service functions in order to more accurately project expenditures. Property Taxes were under budget by $46,207, as other taxes were over budget by $94,263. General Government expenditures were over budget by $245,200, Public Safety expenditures were over budget by $2212,174; and Public Works expenditures were under budget by $1,335,903. 7 _ . CITY OF YORKVILLE, ILLINOIS MANAGEMENT'S DISCUSSION AND ANALYSIS (CONT.) April 30, 2008 - CAPITAL ASSET AND DEBT ADMINISTRATION Capital Assets Change in Capital Assets (in millions) Restated Net Balance Additions/ Balance Governmental Activities May 1, 2007 Deletions April 30, 2008 Non- Depreciable Assets: Land /Construction in Progress $ 38.1 $ (4.8) $ 33.3 Depreciable Capital Assets: Infrastructure 24.0 1.8 25.8 Buildings 5.1 8.6 13.7 Equipment 4.0 (0.1) 3.9 Vehicles/Furniture/Fixtures 2.5 0.4 2.9 Accumulated Depreciation on Capital Assets (11.4) (1.2) (12.6) $ 62.3 $ 4.7 $ 67.0 The construction of the new Library was completed and placed into service as of the end of the year. Total cost of the Library, which was accumulated in construction in progress in prior years, was $8,606,251. Restated Net Balance Additions/ Balance Business -Tyne Activities May 1, 2007 Deletions April 30, 2008 i- 11- Depreciable Assets: _ Land/Construction in Progress $ 5.8 $ (3.4) $ 2.4 Depreciable Capital Assets: Infrastructure 16.8 7.4 24.2 V ehicles/Fumiture/Fixtures 18.5 0.1 18.6 Accumulated Depreciation on Capital Assets (3.9) (0.8) (4.7) $ 37.2 $ 3.3 $ 40.5 During the fiscal year there were additions to the water and sewer infrastructure totaling $7.4 million, including prior year adjustments and construction in progress. For more detailed information related to capital assets, see Note 5 to the financial statements. 8 CITY OF YORKVILLE, ILLINOIS MANAGEMENT'S DISCUSSION AND ANALYSIS (CONT.) April 30, 2008 3= Debt Administration At April 30, 2008, the City had outstanding debt as follows: Governmental Business -Type ' Activities Activities Total General Obligation & Alternative Revenue Source Bonds $ 16,255,000 $ 19,300,000 $ 35,555,000 Debt Certificates 570,000 10,198,112 10,768,112 Loans Payable 556,890 6,177,531 6,734,421 $ 17,381,890 $ 35,675,643 $ 53,057,533 There were no significant changes in credit ratings and /or any debt limitations that may affect the financing of planned facilities or services. For more detailed information related to long -term debt, see Note 6 to the financial statements. ECONOMIC FACTORS The United City of Yorkville was established in 1834, and has been the county seat of Kendall County since 1859. It is located approximately 45 miles southwest of Chicago. According to the 2000 Census, the City had a population of 6,189. A special census was completed in May of 2006 resulting in a population total of more than 11,000. An additional special census is planned during fiscal year 2008 -2009. Based on information from the Illinois Department of Employment Security, the 2007 average unemploymer for Kendall County was 4.5 %, which favorably compares to the State of Illinois rate of 5.0 %. Preliminary 206,___ unemployment rates for Kendall County and the State are 7.2% and 7.3% respectively. The 2000 Census reported that the median value of the City's owner - occupied homes was $157,700, which compares with $154,900 for the County and $130,000 for the State. According to the 2000 Census, the City had a median family income of $67,521. This compares to $69,383 for the County and $55,545 for the State. CONTACTING THE CITY'S FINANCIAL MANAGEMENT This financial report is designed to provide our citizens, customers, investors and creditors with a general overview of the City's finances. Questions concerning this report or requests for additional financial information should be directed to the City Finance Director, Susan Mika, or City Treasurer, William Powell, United City of Yorkville, 800 Game Farm Road, Yorkville, Illinois 60560. 9 i i I BASIC FINANCIAL STATEMENTS j UNITED CITY OF YORKVILLE, ILLINOIS Statement of Net Assets April 30, 2008 i (See Following Page) - i I UNITED CITY OF YORKVILLE Statement of Net Assets April 30, 2008 Primary Government Governmental Business -Type Activities Activities Total ASSETS Current Assets Cash and Cash Equivalents $ 5,440,498 4,254,365 9,694,863 Receivables Property Taxes Receivable -3,033,744 3,033,744 Intergovernmental Receivables 1,741,444 1,741,444 Accounts Receivable 1,085,875 346,092 1,431,967 Other Receivables 13,421 13,421 Internal Balances (86,307) 86,307 Other Assets 296,722 60,000 356,722 Total Current Assets 11,511,976 4,760,185 16,272,161 Capital Assets (Net of Accumulated Depreciation) Land, Land Improvements and Construction in Progress 33,258,775 2,353,848 35,612,623 Infrastructure 17,502,394 15,581,356 33,083,750 Building and Improvements 12,514,443 12,514,443 Equipment and Vehicles 3,678,656 22,573,829 26,252,485 Total Capital Assets 66,954,268 40,509,033 107,463,301 Other Assets Net Pension Benefit 16,161 16,161 Assets Held for Others 11,091,000 11,091,000 Deferred Charges 75,466 1,049,244 1,124,710 Total Other Assets 91,627 12,140,244 12,231,871 Total Assets 78,557,871 57,409,462 135,967,333 i See accompanying Notes to the Financial Statements. 10 i Primary Government Governmental Business-Type Activities Activities Total i T T A BILITIES Current Liabilities Accounts Payable 928,628 260,657 1,189,285 Accrued Payroll 70,457 6,156 76,613 Interest Payable 244,190 386,276 630,466 Deferred Revenue 3,244,759 3,244,759 Other 45,075 28,514 73,589 Total Current Liabilities 4,533,109 681,603 5,214,712 - Noncurrent Liabilities Long Term Obligations Due within One Year Bonds Payable 310,000 230,000 540,000 Loans Payable 171,079 171,079 Debt Certificates Payable 140,000 305,000 445,000 Note Payable 100,000 100,000 Compensated Absences 277,351 44,100 321,451 Long Term Obligations Due in more than One Year Bonds Payable 15,945,000 19,070,000 35,015,000 Loans Payable 1,890 2,891,758 2,893,648 Debt Certificates Payable 430,000 9,893,112 10,323,112 Note Payable 350,000 350,000 Compensated Absences 190,810 10,092 200,902 Other Liabilities 105,000 3,114,694 3,219,694 Total Noncurrent Liabilities 17,850,051 35,729,835 53,579,886 Total Liabilities 22,383,160 36,411,438 58,794,598 ILL C ASSETS Invested in Capital Assets, Net of Related Debt 53,202,922 15,924,390 69,127,312 Restricted for Capital Improvements 3,630,544 4,706,722 8,337,266 Debt Service 191,904 191,904 Unrestricted (658,755) 175,008 (483,747) Total Net Assets $ 56,174,711 20,998,024 77,172,735 11 UNITED CITY OF YORKVILLE Statement of Activities For the Year Ended April 30, 2008 ! i Program Revenues Operating Capital Charges for Grants and Grants and Functions/Proerams Expenses Service Contributions Contributions Primary Government: Governmental Activities: General Government $ 5,688,953 1,775,663 297,460 Public Safety 3,233,955 1,870 4,295 Public Works 3,511,697 1,804,875 Library 955,385 27,045 22,074 Culture and Recreation 2,157,818 376,857 417,893 100,500 Community Development 553,220 39,045 Interest on Long -Term Debt 723,618 Total Governmental Activities 16,824,646 2,179,565 778,342 1,909,670 Business -Type Activities: Water 3,036,973 1,920,029 1,461,096 Sewer 1,177,924 855,334 434,351 Total Business -Type Activities 4,214,897 2,775,363 - 1,895,447 I Total Primary Government $ 21,039,543 4,954,928 778,342 3,805,117 General Revenues Property Taxes Sales Taxes Income Taxes Utility Tax Other Taxes Total Taxes Development Fees I\ Connection Fees — - Investment Earnings Miscellaneous Transfers Total General Revenues Change in Net Assets Net Assets - Beginning, As Restated Net Assets - Ending I See accompanying Notes to the Financial Statements. 12 Net (Expense) Revenue and Changes in Net Assets Primary Government Governmental Business -Type Activities Activities Total (3,615,830) (3,615,830) (3,227,790) (3,227,790) (1,706,822) (1,706,822) (906,266) (906,266) (1,262,568) (1,262,568) (514,175) (514,175) (723,618) (723,618) (11,957,069) - (11,957,069) 344,152 344,152 111,761 111,761 455,913 455,913 (11,957,069) 455,913 (11,501,156) 3,644,499 3,644,499 2,507,664 2,507,664 1,053,292 1,053,292 1,612,834 1,612,834 534,601 534,601 9,352,890 - 9,352,890 2,447,936 2,447,936 1,670,495 1,670,495 320,046 230,212 550,258 1,076,159 124,400 1,200,559 540,525 (540,525) 13,737,556 1,484,582 15,222,138 1,780,487 1,940,495 3,720,982 54,394,224 19,057,529 73,451,753 56,174,711 20,998,024 77,172,735 13 UNITED CITY OF YORKVILLE, ILLINOIS Balance Sheet Governmental Funds April 30, 2008 Nonmajor Total General Library Governmental Governmental Fund Fund Funds Funds Assets Cash and Cash Equivalents $ 281,077 _646,688 4,512,733 5,440,498 Receivables Property Taxes Receivable 2,374,324 659,420 3,033,744 Intergovernmental Receivables 1,446,693 294,751 1,741,444 Accounts Receivable 1,085,875 1,085,875 Interfund Receivables 1,027,671 291,544 3,620 1,322,835 Other Assets 287,036 9,686 296,722 Total Assets $ 6,502,676 1,597,652 4,820,790 12,921,118 Liabilities Accounts Payable $ 654,856 37,123 236,649 928,628 Accrued Payroll 52,516 5,360 12,581 70,457 Accrued Compensated Absences Retainage Payable 32,867 12,208 45,075 Unearned Revenue 2,810,101 658,252 40,317 3,508,670 Interfund Payables 1,409,142 1,409,142 Total Liabilities 3,550,340 712,943 1,698,689 5,961,972 Fund Balances Reserved for Prepaids 287,036 287,03E Capital Purposes 3,630,544 3,630,544 — Unreserved, Undesignated Reported In ` General Fund 2,665,300 2,665,300 Special Revenue Funds 884,709 243,340 1,128,049 Debt Service Funds (237,259) (237,259) Capital Project Funds (514,524) (514,524) I Total Fund Balances 2,952,336 884,709 3,122,101 6,959,146 Total Liabilities and Fund Balances $ 6,502,676 1,597,652 4,820,790 12,921,118 I I See accompanying Notes to the Financial Statements. 14 UNITED CITY OF YORKVILLE, ILLINOIS Reconciliation of the Balance Sheet of Governmental Funds to the Statement of Net Assets April 30, 2008 Total Fund Balances - Governmental Funds $ 6,959,146 Amounts reported for governmental activities in the Statement of Net Assets difference because: Capital assets used in governmental activities are not financial resources and, therefore, are not reported in the funds. 66,954,268 Costs related to the issuance of long -term debt are recorded as expenditures when incurred in the governmental funds, but are amortized over the life of the debt issue in the Statement of Net Assets. 75,466 Revenues in the Statement of Activities which do not 1? rovide current financial resources are deferred in the funds' statements. 263,911 Net pension asset is not a current resource, therefore, is not reported in funds. 16,161 Long -term liabilities are not due and payable in the current period and, therefore, are not reported in the funds. (17,381,890) I Interest on long -term liabilities is shown as an expenditure when paid by the funds, but accrued in the Statement of Net Assets. (244,190) Compensated absences are not reported in the funds, but are accrued in the Statement of Net Assets. (468,161) i Net Assets of Governmental Activities $ 56,174,711 I See accompanying Notes to the Financial Statements. 15 I I UNITED CITY OF YORKVILLE, ILLINOIS I Statement of Revenues, Expenditures, and Changes in Fund Balances I Governmental Funds For the Year Ended April 30, 2008 Nonmajor Total General Library Governmental Governmental Fund Fund Funds Funds Revenues Property Taxes $ 1,960,605 1,471,929 211,965 3,644,499 Sales Tax 2,506,434 2,506,434 Income Tax 1,053,292 1 Motor Fuel Tax 328,650 328,650 Utility Tax 549,535 549,535 Other Taxes 1,259,282 6,320 1,265,602 Licenses, Permits and Fees 3,544,628 181,801 782,507 4,508,936 Fines 111,271 7,294 118,565 Investment Income 142,763 39,531 137,752 320,046 Contributions 8,509 47,518 56,027 Grants 313,375 13,565 399,670 726,610 Other Revenue 794,468 5,161 189,814 989,443 Total Revenues 12,235,653 1,734,110 2,097,876 16,067,639 Expenditures Current General Government 5,652,456 5,652,456 Public Safety 3,015,178 3,015,178 Public Works 4,473,822 4 Library 797,388 797,388 Culture and Recreation 2,231,553 2,231,553 Community Development 541,649 11,571 553,220 Total Current Expenditures 13,683,105 797,388 2,243,124 16,723,617 Capital Outlays 339,726 1,314,969 1,654,695 Debt Service Principal 345,000 345,000` Interest and Fees 421,935 346,882 768,817 _ Total Debt Service Expenditures - 421,935 691,882 1,113,817 Total Expenditures 13,683,105 1,559,049 4,249,975 19,492,129 Excess (Deficiency) of Revenues Over Expenditures (1,447,452) 175,061 (2,152,099) (3,424,490) Other Financing Sources (Uses) Proceeds from Sale of Assets 86,716 86,716 Transfers In 1,089,025 1,713,983 2,803,008 Transfers Out (1,916,907) (345,576) (2,262,483) Total Other Financing Sources (Uses) (827,882) - 1,455,123 627,241 Net Change in Fund Balances (2,275,334) 175,061 (696,976) (2,797,249) Fund Balances at Beginning of Year, As Restated 5,227,670 709,648 3,819,077 9,756,395 - Fund Balances at End of Year $ 2,952,336 884,709 3,122,101 6,959,146 See accompanying Notes to the Financial Statements. 16 UNITED CITY OF YORKVILLE, ILLINOIS Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances of Governmental Funds to the Statement of Activities For the Year Ended April 30, 2008 i Amounts reported for governmental activities in the Statement of Activities are different because: I Net Change in Fund Balances - Total Governmental Funds $ (2,797,249) Governmental funds report capital outlays as expenditures. However, in the Statement of Activities the cost of those assets is allocated over their estimated useful lives and reported as depreciation expense. This is the amount by which capital outlays ($3;$13,571) plus contributions ($1,905,375) exceeded depreciation ($1,484,032) and disposals ($13,606) in the current period. 4,221,308 The issuance of long -term debt provides current financial resources to governmental funds, while the repayment of the principal of long -term debt consumes the current financial resources of governmental funds. Neither transaction, however, has any effect on net assets. This amount represents principal reductions during the year. 345,000 Increase in Net Pension Asset 16,161 Interest on long -term debt is shown as a fund expenditure when paid, but is accrued in the Statement of Activities. 45,199 Costs related to the issuance of debt were reported as changes in current financial resources in the governmental funds; however, these amounts are deferred and amortized in the Statement of Activities. This is the amount of current year amortization expense. (9 Revenues in the Statement of Activities that do not provide current financial resources are not reported in the funds' financial statements. This is the net change of revenues deferred/recognized during the year. 4,878 Change in compensated absences are not recorded as an expenditure in the fund statement, but are reported in the Statement of Activities. (45,557) Change in Net Assets of Governmental Activities $ 1,780,487 See accompanying Notes to the Financial Statements. 17 UNITED CITY OF YORKVILLE, ILLINOIS Statement of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual General Fund I For the Year Ended April 30, 2008 Variance from Original Final Budget Budget Budget Actual Over (Under) Revenues Property Taxes $ 1,953,490 1003,387 1,960,605 (42,782) Sales Tax 3,120,000 2,775,000 2,506,434 (268,566) Income Tax 974,748 974,748 1,053,292 78,544 Utility Tax 425,000 425,000 549,535 124,535 Other Taxes 1,163,676 1,099,532 1,259,282 159,750 Licenses, Permits and Fees 4,917,256 4,171,663 3,544,628 (627,035) Fines 80,000 80,000 111,271 31,271 Investment Income 75,000 100,000 142,763 42,763 Grants 14,500 69,660 313,375 243,715 Other Revenue 5,093,550 3,864,500 794,468 (3,070,032) Total Revenues 17,817,220 15,563,490 12,235,653 (3,327,837) Expenditures Current General Government 5,441,544 5,407,256 5,652,456 245,200 Public Safety 3,215,632 3,227,352 3,015,178 (212,174) Community Development 573,535 524,771 541,649 16,878 Public Works 7,086,960 5,809,725 4,473,822 (1,335,903) Total Expenditures 16,317,671 14,969,104 13,683,105 (1,285,999) I Excess (Deficiency) of Revenues over Expenditures 1,499,549 594,386 (1,447,452) (2,041,838) r Other Financing Sources (Uses) Transfers In 883,500 883,500 1,089,025 205,525 Transfers Out (1,969,225) (1,916,907) (1,916,907) Total Other Financing Sources (Uses) (1,085,725) (1,033,407) (827,882) 205,525 Net Change in Fund Balance 413,824 (439,021) (2,275,334) (1,836,313) Fund Balance at Beginning of Year, As Restated 5,227,670 5,227,670 5,227,670 Fund Balance at End of Year $ 5,641,494 4,788,649 2,952,336 (1,836,313) See accompanying Notes to the Financial Statements. 18 UNITED CITY OF YORKVILLE, ILLINOIS Statement of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual Library Fund For the Year Ended April 30, 2008 Various from Original Final Budget Budget Budget Actual Over (Under) Revenues Property Taxes $ 1,149,638 1,365,661 1,471,929 106,268 Other Taxes Personal Property Replacement Taxes 3,360 3,360 6,320 2,960 Licenses, Permits and Fees _ - Development Fees - Building 150,000 150,000 81,025 (68,975) Development Fees - Books 150,000 150,000 81,025 (68,975) Copy Fees 1,221 1,221 2,292 1,071 Library Subscription Cards 8,500 8,500 17,459 8,959 Total Licenses, Permits and Fees 309,721 309,721 181,801 (127,920) Fines 2,808 2,808 7,294 4,486 Investment Income 6,102 6,102 39,531 33,429 Contributions 3,202 3,202 8,509 5,307 Grants 17,500 17,500 13,565 (3,935) Other Revenue Rental Income 960 960 4,024 3,064 Sale of Books 1,144 1,144 1,137 (7) Total Other Revenue 2,104 2,104 5,161 3,057 - Total Revenues 1,494,435 1,710,458 1,734,110 23,652 Expenditures - Current Library Salaries - Employees 471,377 500,000 394,851 (105,149) Group Health Insurance 45,717 45,717 47,950 2,233 Group Life Insurance 3,000 744 (2,256) Dental and Vision Assistance 4,200 4,200 3,204 (996) Bonding 1,176 1,176 1,875 699 Attorney 3,500 3,500 960 (2,540) Contract Services 5,000 4,891 (109) Maintenance - Bldg/Janitorial 5,000 5,000 5,609 609 Maintenance - Office Equipment 5,000 15,298 4,554 (10,744) Maintenance - Photocopier 12,680 12,680 461 (12,219) See accompanying Notes to the Financial Statements. (Cont.) 19 UNITED CITY OF YORKVILLE, ILLINOIS Statement of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual (Cont.) Library Fund For the Year Ended April 30, 2008 Various from Original Final Budget Budget Budget Actual Over (Under) Expenditures (Cont.) Current (Cont.) Library (Cont.) Electricity/Gas 87,500 87,500 23,723 (63,777) Telephone 6,000 6,000 5,941 (59) Subscriptions 10,000 3,745 (6,255) Training and Conferences 2,000 2,000 225 (1,775) Public Relations 2,500 2,500 918 (1,582) Employee Recognition 2,000 2,000 1,526 (474) Contingencies 25,000 25,000 12,380 (12,620) Library Supplies 10,000 10,000 9,934 (66) Custodial Supplies 9,000 20,000 9,452 (10,548) Office Supplies 10,000 6,365 (3,635) Postage and Shipping 4,000 3,000 1,791 (1,209) Publishing and Advertising 2,000 2,000 60 (1,940) Mileage 1,000 1,000 1,110 110 Videos 5,000 5,000 6,058 1,058 Alarm Monitoring 3,000 3,000 3,411 411 Library Programming 10,000 10,000 10,450 450 Library Board Expenses 2,000 2,000 295 (1,705) Books - Adult 30,000 30,000 26,364 (3,636) Books - Juvenile 30,000 30,000 30,496 496 Books - Audio 10,000 10,000 5,511 (4,489) Books - Reference 30,000 30,000 24,789 (5,211) Books - Development Fee 150,000 150,000 53,569 (96,431;, Memorials /Gifts 3,202 3,202 10,682 7,480 _ Bldg - Development Fees 150,000 150,000 2,043 (147,957) CD's/Music 5,000 5,000 3,798 (1,202) Meeting Room 800 800 IMRF Participants 15,641 15,641 12,457 (3,184) Social Security/Medicare 39,755 39,755 30,207 (9,548) Computer Equipment & Software 18,000 18,000 14,876 (3,124) Automation 30,000 30,000 19,313 (10,687) Total Current Expenditures 1,231,248 1,308,169 797,388 (510,781) Capital Outlay Building Expansion 339,726 339,726 See accompanying Notes to the Financial Statements. (Cont.) 20 UNITED CITY OF YORKVILLE, ILLINOIS Statement of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual (Cont.) Library Fund For the Year Ended April 30, 2008 Various from Original Final Budget Budget Budget Actual Over (Under) Expenditures (Cont.) Debt Service Interest 421,936 451,447 421,935 (29,512) Total Expenditures 1,653,184 1,759,616 1,559,049 (200,567) Net Change in Fund Balance (158,749) (49,158) 175,061 224,219 Fund Balance at Beginning of Year 709,648 709,648 709,648 Fund Balance at End of Year $ 550,899 660,490 884,709 224,219 i I I See accompanying Notes to the Financial Statements. 21 I I UNITED CITY OF YORKVILLE, ILLINOIS Statement of Net Assets Proprietary Funds April 30, 2008 I Sewer Water Operation and Operation and Improvement Improvement Fund Fund Total Assets Current Assets: Cash and Cash Equivalents $ 3,443,862 810,503 4,254,365 Receivables Accounts, Net of Allowance 124,312 221,780 346,092 Other 13,421 13,421 Interfund Receivables 89,927 89,927 Other Assets 60,000 60,000 Total Current Assets 3,658,101 1,105,704 4,763,805 - Noncurrent Assets Capital Assets not being Depreciated 514,289 1,839,559 2,353,848 Capital Assets being Depreciated, Net 8,926,254 29,228,931 38,155,185 Total Noncurrent Assets 9,440,543 31,068,490 40,509,033 Other Assets Assets Held for Others 11,091,000 11,091,000 Deferred Charges 158,833 890,411 1,049,244 Total Other Assets 11,249,833 890,411 12,140,244 Total Assets 24,348,477 33,064,605 57,413,082 Liabilities Current Liabilities Accounts Payable 9,916 250,741 260,657 Retainage Payable 4,000 24,514 28,514 Accrued Payroll 1,754 4,402 6,156 Interest Payable 230,976 155,300 386,276 Interfund Payable 3,620 3,626, Current Portion of Long -Term Debt Bonds Payable 140,000 90,000 230,000 Debt Certificates Payable 235,000 70,000 305,000 Loans Payable 112,768 58,311 171,079 Compensated Absences 9,537 34,563 44,100 Total Current Liabilities 743,951 691,451 1,435,402 Noncurrent Liabilities Bonds Payable 14,280,000 4,790,000 19,070,000 Debt Certificates Payable 2,660,000 7,233,112 9,893,112 Loans Payable 1,120,949 1,770,809 2,891,758 Compensated Absences 10,092 10,092 Other Liabilities 1,591,159 1,523,535 3,114,694 Total Noncurrent Liabilities 19,652,108 15,327,548 34,979,656 Total Liabilities 20,396,059 16,018,999 36,415,058 See accompanying Notes to the Financial Statements. (Cont.) 22 UNITED CITY OF YORKVILLE, ILLINOIS Statement of Net Assets (Cont.) Proprietary Funds April 30, 2008 Sewer Water Operation and Operation and Improvement Improvement Fund Fund Total Assets vested in Capital Assets - Net of Related Debt 391,667 15,532,723 15,924,390 _ Restricted for Capital Purposes 4,706,722 4,706,722 Restricted for Debt Service 191,904 191,904 Unrestricted (1,337,875) 1,512,883 175,008 Total Net Assets 3,952,418 17,045,606 20,998,024 Total Liabilities and Net Assets $ 24,348,477 33,064,605 57,413,082 I 'r See accompanying Notes to the Financial Statements. 23 UNITED CITY OF YORKVILLE, ILLINOIS Statement of Revenues, Expenses, and Changes in Fund Net Assets Proprietary Funds For the Year Ended April 30, 2008 I Sewer Water Operation and Operation and Improvement Improvement Fund Fund Total Operating Revenues Charges for Services $ 855,334 1,920,029 2,775,363 Operating Expenses Operations 302,823 1,409,327 1,712,150 Improvements 8,792 379,354 388,146 Depreciation 69,044 715,877 784,921 Total Operating Expenses 380,659 2,504,558 2,885,217 Operating Income (Loss) 474,675 (584,529) (109,854) Nonoperating Revenues (Expenses) Connection Fees 732,375 938,120 1 Recapture Fees 14,200 14,200 28,400 Investment Income 114,227 115,985 230,212 Other Revenue 96,000 96,000 Amortization Expense (31 (92 (124,007) Interest Expense (766,127) (439,546) (1,205,673) Total Nonoperating Revenues (Expenses) 63,537 631,890 695,427 Income before Transfers and Contributions 538,212 47 585,573 Other Financing Sources (Uses) Contributions - Capital Assets 434,351 1,461,096 1,895,44; ) Transfers In 150,000 200,000 350,000 Transfers Out (220,578) (669,947) (890,525) - Total Other Financing Sources (Uses) 363,773 991,149 1,354,922 Change in Net Assets 901 1,038,510 1,940,495 Net Assets at Beginning of Year, As Restated 3,050,433 16,007,096 19,057,529 Net Assets at End of Year $ 3,952,418 17,045,606 20,998,024 See accompanying Notes to the Financial Statements. 24 UNITED CITY OF YORKVILLE, ILLINOIS I Statement of Cash Flows Proprietary Funds For the Year Ended April 30, 2008 Sewer Water Operation and Operation and Improvement Improvement Fund Fund Total Cash Flows from Operating Activities Cash Received From Customers $ 846,657 1,945,389 2,792,046 Cash Payments For Goods And Services (161,519) (1,404,691) (1,566,210) Cash Payments To Employees (182,868) (385,453) (568,321) Net Cash Provided by Operating Activities 502,270 155,245 657,515 Cash Flows from Noncapital Financing Activities Interfund Borrowing 2,652,820 (650,055) 2,002,765 Transfers In 150,000 200,000 350,000 Transfers Out (220,578) (669,947) (890,525) Other Revenues 14,200 110,200 124,400 Net Cash Provided (Used) by Noncapital Financing Activities 2,596,442 (1,009,802) 1,586,640 Cash Flows from Capital and Related Financing Activities Connection Fees 732,375 938,120 1,670,495 Purchases of Capital Assets (30,778) (395,061) (425,839) Proceeds from Capital Debt 476,615 476,615 Principal Paid on Capital Debt (469,565) (201,880) (671,445) Interest Paid on Capital Debt (740,673) (365,692) (1,106,365) Net Cash Provided (Used) by Capital and Related Financing Activities (508,641) 452,102 (56,539) C ', Flows Provided by Investing Activities ,vestment Income 114,227 115,985 230,212 Net Increase (Decrease) in Cash and Cash Equivalents 2,704,298 (286,470) 2,417,828 Cash and Cash Equivalents at Beginning of Year 739,564 1,096,973 1,836,537 Cash and Cash Equivalents at End of Year $ 3,443,862 810,503 4,254,365 See accompanying Notes to the Financial Statements. 25 (Cont.) UNITED CITY OF YORKVILLE, ILLINOIS Statement of Cash Flows (Cont.) Proprietary Funds For the Year Ended April 30, 2008 Sewer Water Operation and Operation and Improvement Improvement Fund Fund Total 1 Reconciliation of Operatine Income (Loss) to Net Cash Provided by Operatine Activities - Operating Income (Loss) $ 474,675 (584,529) (109,854) Adjustments to Reconcile Operating Income (Loss) to Net Cash Provided by Operating Activities Depreciation 69,044 715,877 784,921 Changes in Assets and Liabilities: Accounts and Other Receivables (8,677) 50,360 41,683 Other Assets (25,000) (25,000) Accounts Payable (33,167) (23,954) (57,121) Accruals and Other Liabilities 395 22,491 22,886 Net Cash Provided by Operating Activities $ 502,270 155,245 657,515 Non -cash Transaction Developer Contributions of Systems $ 434,351 1,461,096 1,895,447 l See accompanying Notes to the Financial Statements. 26 UNITED CITY OF YORKVILLE, ILLINOIS Statement of Fiduciary Net Assets Trust and Agency Funds April 30, 2008 Pension YBSD - Trust Fund Agency Fund —As Cash and Cash Equivalents $ 61,628 28,727 Investments 2,550,910 Receivables Interest Receivable 19,056 Accounts Receivable 507,004 Total Assets 2,631,594 535,731 Liabilities Due to Other Governments 535,731 Net Assets Held for Employees' Pension Benefits $ 2,631,594 See accompanying Notes to the Financial Statements. 27 UNITED CITY OF YORKVILLE, ILLINOIS Statement of Changes in Fiduciary Net Assets Pension Trust - Police Pension Trust Fund For the Year Ended April 30, 2008 I Additions Contributions Employer $ 275,149'' Plan Members 176,036 Total Contributions 451,180 Investment Income Net Appreciation in Fair Value of Investments 60,773 Realized Gains 16,882 Dividend Income 16,037 Interest Income 87,736 Less Investment Expense (11,352) Net Investment Income 170,076 Total Additions 621,256 Deductions Salaries 113,548 Contributions Returned 22,663 Legal Expenses 3,000 Accounting Expenses 5,300 Administrative Expenses 2,023 Total Deductions 146,534 Change in Net Assets 474,722 i Net Assets - Beginning of Year 2,156,872 Net Assets - End of Year $ 2,631,594 See accompanying Notes to the Financial Statements. 28 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements April 30, 2008 1. Summary of Significant Accounting Policies The United City of Yorkville (City) is an Illinois unit of local government. The financial statements include all functions, programs and activities under control of the City Council. The City's major operations include public safety, public works, library, culture and recreation, community development, water and sewer services, and general administration. The City Council has oversight responsibility for the City, the Public Library and the Park and Recreation Board. Oversight responsibility includes designation of management and all other control over operations of these entities. The financial statements of the City have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) as applicable to governments, as promulgated by the Governmental Accounting Standards Board (GASB). The following is a summary of the significant accounting policies: A. Reporting Entity The City of Yorkville has adopted the provision of Government Accounting Standards Board (GASB) Statement No. 14, The Financial Reporting Entity, under which the financial statements include all the organizations, activities, functions and component units for which the City is financially accountable. Financial accountability is defined as the appointment of a voting majority of the component unit's board, and either (1) the City's ability to impose its will over the component unit, or (2) the possibility that the component unit will provide a financial benefit to or impose a financial burden on the City. Included within the reporting entity as part of the primary government: City of Yorkville Public Library The Board of the City of Yorkville Public Library is appointed by the City's Mayor and approved by the City Council. Although the Library Board has taxing authority, its levy request must be included with the City's overall tax levy and is not considered legally separate from the City. City of Yorkville Park and Recreation Board The City of Yorkville Park and Recreation Board is appointed by the City's Mayor and approved by the City Council and is not considered legally separate from the City. Police Pension Fund The City established a Police Pension Fund during fiscal year 2002, in accordance with State Statutes which requires such a fund for municipalities with populations in excess of 5,000. Credits which were earned by police employees in the IMRF plan were transferred to the fund. The Police Pension Employees Retirement System (PPERS) functions for the benefit of these employees and is _ governed by a five member pension board. Two members are appointed by the Mayor, one is elected from pension beneficiaries and two are elected from active police employees. The City and PPERS participants are obligated to fund all PPERS costs based upon actuarial valuations. The City's contribution will be funded through an annual property tax levy. The State of Illinois is authorized to establish benefit levels and the City is authorized to approve the actuarial assumptions used in the determination of contribution levels. Although it is legally separate from the City, the PPERS is reported as if it were part of the City because its sole purpose is to provide retirement benefits for the City's police employees. The PPERS is reported as a pension trust fund. 29 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements April 30, 2008 1. Summary of Significant Accounting Policies (Cont.) B. Basis of Presentation The City's basic financial statements consist of government -wide statements, including a statement of net assets and a statement of activities, and fund financial statements which provide a more detailed level of financial information. The government -wide focus is more on the sustainability of the City as an entity and the change in aggregate financial position resulting from activities of the 1 fiscal period. Government -wide Financial Statements The statement of net assets and the statement of activities display information about the City as a whole. In the government -wide statement of net assets, both the governmental and business -type activities columns are presented on a consolidated basis by column. These statements include the financial activities of the primary government, except for fiduciary activities. The effect of interfund activity has been removed from these statements. Governmental activities, which normally are supported by taxes and intergovernmental revenues, are reported separately from business -type activities, which rely to a significant extent on fees and charges for support. The government -wide statement of activities reflects both the direct expenses and net cost of each function of the City's governmental activities and business -type activities. Direct expenses are those that are clearly identifiable with a specific function. Program revenues include charges paid by the recipient for the goods or services offered by the program, grants and contributions that are restricted to meeting the operational or capital requirements of a particular program, and interest earned on grants that is required to be used to support a particular program. For identifying the function to which program revenue pertains, the determining factor for charges for service is which function generates the revenue. For grants and contributions, the determining factor is the function to which the revenues are restricted. Revenues, which are not classified as program revenues, are presented as general revenues of the City, with certain limited exceptions. The comparison of direct expenses with program revenues identifies the extent to which each government function or business segment is self - financing or draws from the general revenues of the City. Fund Financial Statements The financial transactions of the City are recorded in individual funds. A fund is defined as a fiscal and accounting entity with a self - balancing set of accounts that comprise its assets, liabilities, fund equity, revenues, and expenditures or expenses, as appropriate. Separate statements for each fund category — governmental, proprietary, and fiduciary — are presented. The emphasis of fund financial statements is on major governmental and enterprise funds, each displayed in a separate column. All remaining governmental and enterprise funds are aggregated and presented as nomnajor funds. The City reports the following major governmental funds: The General Fund is the general operating fund of the City. It is used to account for all financial resources, except those required to be accounted for in another fund. The Library Fund is used to record activity relating to the library. 30 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements April 30, 2008 -r r 1. Summary of Significant Accounting Policies (Cont.) B. Basis of Presentation (Cont.) Fund Financial Statements (Cont.) Enterprise Funds are used to account for operations (a) that are financed and operated in a manner similar to private business enterprises — where the intent of the governing body is that the costs (expenses, including depreciation) of providing goods or services to the general public on a continuing basis be financed or recovered primarily through ,user charges; or (b) where the governing body has decided that periodic determination of revenues earned, expenses incurred and/or net income is appropriate for capital maintenance, public policy, . management control, accountability or other purposes. The City reports the following major enterprise funds: Sewer Operation and Improvement Fund — This fund accounts for the operation and sewer infrastructure maintenance of the City-owned sewer distribution system, as well as the construction of new sewer systems within the City limits. Revenues are generated through charges to users based on sewer consumption. Water Operation and Improvement Fund — This fund accounts for the operation and maintenance of the City-owned water distribution system and construction of new water systems. Revenues are generated through charges to users based on water consumption. Additionally, the City also reports a pension trust fund and an agency fund. Pension trust funds account for the activities of the City's public safety employees' retirement system, which accumulates resources for pension benefit payments to qualified public safety employees. The agency fund reported by the City represents funds that are custodial in nature and do not involve measurement of results of operations. Neither of these fund types are included in the government - wide statement of net assets or statement of activities. C. Measurement Focus and Basis of Accounting The government -wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting, as well as the proprietary and fiduciary fund financial ` statements. The economic resources measurement focus means all assets and liabilities (whether current or noncurrent) are included on the balance sheet and the operating statements present increases (revenues) and decreases (expenses) in total net assets. Under the accrual basis of accounting, revenues are recognized when earned, if measurable, and expenses are recognized as incurred, regardless of the timing of related cash flows. 31 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements April 30, 2008 1 I 1. Summary of Significant Accounting Policies (Cont.) C. Measurement Focus and Basis of Accounting (Cont.) I Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Revenues are recognized as soon as they are both measurable and available. Revenues are considered to be available when they are i collectible within the current period or soon enough thereafter to pay liabilities of the current period. For this purpose the City considers revenues to be available if they are collected within sixty (60) J days of the end of the current fiscal period. Revenues accrued at the end of the year include charges for services, licenses and permits, fines and forfeitures, intergovernmental revenues, investment earnings, property taxes, sales taxes and income taxes. All other revenue items are considered to be measurable and available only when cash is received by the government. Nonexchange transactions, in which the City receives value without directly giving equal value in return, include taxes, grants, and donations. Expenditures generally are recorded when a liability is incurred, as under accrual accounting. However, debt service expenditures, as well as expenditures related to - - compensated absences and claims and judgments, are recorded only when payment is due. Differences occur from the manner in which the governmental activities and the government -wide financial statements are prepared due to the inclusion of capital asset and long -term debt activity. Governmental fund financial statements, therefore, include a reconciliation with brief explanations to better identify the relationship between the government -wide statements and the statements for governmental funds. Private- sector standards of accounting and financial reporting issued prior to December 1, 1989, generally are followed in both the government -wide and proprietary fund financial statements to the extent that those standards do not conflict with or contradict guidance of the Governmental Accounting Standards Board. Proprietary funds separate all activity into two categories: operating and non - operating revenues and expenses. Operating revenues and expenses result from providing services and producing and delivering goods. Non - operating revenues and expenses include capital and noncapital financing activities and investing activities. - Proprietary fund operating revenues, such as charges for services, result from exchange transactions associated with the principal activity of the fund. Exchange transactions are those in which each party receives and gives up essentially equal values. Nonoperating revenues, such as subsidies and investment earnings, result from nonexchange transactions or ancillary activities. D. Budgets and Budgetary Accounting Budgets are adopted on a basis consistent with accounting principles generally accepted in the United States of America (GAAP), except for depreciation expense in proprietary funds. Annual budgets are adopted for all funds. All annual appropriations lapse at fiscal year end. 32 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements April 30, 2008 1. Summary of Significant Accounting Policies (Cont.) D. Budgets and Budgetary Accounting (Cont.) The City follows these procedures in establishing the budgetary data reflected in the financial statements: 1) Prior to May 1, the Mayor submits to the City Council the proposed budget for the fiscal year commencing the following May 1. The operating budget includes proposed expenditures and the means of financing them. 2) Public hearings are conducted at the City Offices to obtain taxpayer comments. 3) Prior to May 1, the budget is legally adopted by a vote of the City Council through passage of an ordinance. 4) Formal budgetary integration is employed as a management control device during the year for the General Fund, Special Revenue Funds, Debt Service Fund and Capital Projects Funds. The budget officer is authorized to transfer budgeted amounts between departments within any fund; however, any revisions that alter the total expenditures of any fund must be approved by the City Council. E. Capital Assets Capital assets, which include property, plant, equipment, and infrastructure assets (e.g., roads, bridges and similar items), are reported in the applicable governmental or business -type activities columns in the government -wide financial statements. Capital assets are defined by the City as assets with an initial, individual cost above a set dollar threshold based on the asset type (see chart below). All capital assets are valued at historical cost or estimated historical cost if actual historical cost is not available. Donated capital assets are recorded at estimated fair market value at the date of donation. The cost of normal maintenance and repairs that do not add to the value of the asset or materially extend asset lives are not capitalized. All reported capital assets except land and construction in progress are depreciated. Depreciation on all assets is provided on the straight -line basis over the following estimated useful lives: Estimated ' Capitalization Useful Threshold Lives Land $ 25,000 N/A Land Improvements 20,000 N/A Site Improvements 20,000 3 - 50 years Buildings 50,000 10 - 50 years Building Improvements 25,000 10 - 20 years Vehicles, Machinery and Equipment 5,000 3 - 10 years Software 25,000 2 - 7 years Infrastructure - Street Network 50,000 30 - 40 years Infrastructure - Water Network 75,000 20 - 75 years Infrastructure - Sanitary Network 75,000 25 - 60 years Infrastructure - Storm Sewer 50,000 20 - 60 years 33 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements April 30, 2008 i -i, j 1. Summary of Significant Accounting Policies (Cont.) F. Investments 1 Investments are recorded at fair value. Fair value for the investment in the Illinois Funds Money Market is the same as the value of the pool shares. State statute requires the State Treasurer's Illinois Funds Money Market to comply with the Illinois Public Funds Investment Act. } G. Allowance for Uncollectible Taxes No provision for uncollectible taxes on the current year's levy has been provided, based on the City's collection experience. The City's policy is to write -off uncollected taxes receivable of prior years. H. Estimates Management uses estimates and assumptions in preparing financial statements. Those estimates and assumptions affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities, and the reported revenues and expenditures. Actual results could differ from those estimates. I. Property Tax Revenue Recognition Property taxes (2007 levy) were levied in September of 2007 by passage of a Tax Levy Ordinance. 2007 taxes attach as an enforceable lien on January 1, 2007. Tax bills are prepared by Kendall County and issued on or about February 1, 2008. They are payable in two installments on or about July 1, 2008 and on or about September 1, 2008. The County collects and distributes such taxes to the taxing authorities within the County. Property tax revenues are recognized when they become both measurable and available. Property tax revenue recorded during the current fiscal year represents receipts of the 2006 tax levy. Substantially all property taxes recorded as receivable by the City as April 30, 2008 are anticipated to be received by November 1, 2008. As these taxes are levied to fund operations for the 2008 -2009 fiscal year, the revenue has been deferred at April 30, 2008. 1 J. Deferred Revenue Deferred revenues arise when potential revenue does not meet both the measurable and available criteria. Deferred revenues also arise when resources are received prior to the government having a legal claim to them. In a subsequent period when both recognition criteria are met, or when the government has a legal claim to the resources, the liability is removed and the revenue recognized. K. Interfund Receivables and Payables Activity between funds that are representative of lendingiborrowing arrangements outstanding at the end of the fiscal year are referred to as either " Interfund Payables/Receivables" for the current portion of interfund loans or "Advances to /from Other Funds" for the noncurrent portion of interfund loans. Any residual balances outstanding between the governmental activities and business -type activities are reported in the government -wide financial statements as "Internal Balances." Noncurrent advances between funds, if any, as reported in the fund financial statements, are offset by a fund balance reserve account in applicable governmental funds to indicate that they are not available for appropriation and are not expendable available financial resources. 34 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements April 30, 2008 1. Summary of Significant Accounting Policies (Cont.) L. Compensated Absences Vested or accumulated vacation leave that is expected to be liquidated with expendable available financial resources is reported as an expenditure and fund liability of the governmental fund that will pay it. The government -wide financial statements record unused vacation leave as expenses and liabilities when earned by employees. Vested or accumulated vacation leave of proprietary funds is recorded as an expense and liability of those funds as the benefits accrue to employees. In addition, an accrual for sick time has been made in long -term liabilities for eligible employees. The City's policy allows employees who have been employed by the City for ten years or more to receive payment for 50% of their unused accumulated sick time at retirement. M. Long -Term Debt In the government -wide financial statements and in the proprietary funds in the fund financial statements, long -term obligations are reported as liabilities in the applicable governmental activities, business -type activities and proprietary fund type financial statements. Bonds payable are reported at face value. Net bond premiums, discounts, and/or issuance costs are reported as deferred charges and amortized over the term of the related debt. In the fund financial statements, governmental fund types recognize bond premiums and discounts, as well as bond issuance costs, during the current period. The face amount of debt issued is reported as other financing sources. Premiums received on debt issuances are reported as other financing sources while discounts on debt issuances are reported as other financing uses. Issuance costs are reported as debt service expenditures. N. Fund Equity/Net Assets In the fund financial statements, governmental funds report reservations of fund balance for amounts that are not available for appropriation or are legally restricted by outside parties for use for a specific purpose. Designations of fund balance represent tentative management plans that are subject to change. Net assets represent the difference between assets and liabilities. Net assets invested in capital assets, net of related debt consists of capital assets, net of accumulated depreciation, reduced by the outstanding balances of any borrowing used for the acquisition or construction of improvements of those assets. Net assets are reported as restricted when there are limitations imposed on their use either through the enabling legislation adopted by the City or through external restrictions imposed by creditors, grantors, laws, or regulations of other governments. When an expenditure /expense is incurred for purposes for which both restricted and unrestricted resources are available, it is the City's policy to apply restricted resources first, then unrestricted resources as needed. 35 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements April 30, 2008 1. Summary of Significant Accounting Policies (Cont.) O. Assets Held for Others In June of 2004, the City entered into an intergovernmental agreement with Yorkville - Bristol Sanitary District for design and construction of the Rob Roy Creek Interceptor. At the date of completion, the Yorkville - Bristol Sanitary District will own and maintain the Interceptor. All costs associated with the construction of the infrastructure asset are recorded as Assets Held for Others in the City's financial statements. As of April 30, 2008, the balance of this project was $11,091,000 reported in the Sewer Operation and Improvement Fund. In connection with this project, the City issued a General Obligation Bonds, Series 2005D in fiscal year 2006 for $11,300,000. See Note 5 for more information on this long -term debt issue. P. Statement of Cash Flows For purpose of the statement of cash flows, the City considers all highly liquid investments with an original maturity of three months or less when purchased to be cash equivalents. "Cash and cash equivalents" includes cash on hand, savings accounts and checking accounts. 2. Legal Compliance and Accountability The following funds report deficit fund equity: Deficit Nonmajor Special Revenue Funds Land Cash $ (272,822) Parks and Recreation (31,925) Nonmajor Debt Service Fund (237,259) Nonmajor Capital Projects Fund Municipal Building (514,524) I The following funds report an excess of expenditures over budget: Excess Nonmajor Special Revenue Funds Police Equipment Capital $ 98,602 Land Acquisition 2,153 Parks and Recreation 50,273 Countryside TIF 2,414 Nonmajor Capital Projects Fund Municipal Building 22,363 36 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements April 30, 2008 3. Deposits and Investments A. Cash The carrying amount of cash, excluding the Pension Trust Fund, was $9,723,590 at April 30, 2008, while the bank balances were $9,900,890. The account balances at the banks were insured either by the Federal Deposit Insurance Corporation (FDIC) for $100,000, or collateralized with securities of the U.S. Government, or with letters of credit issued by the Federal Home Loan Bank held in the j City's name by financial institutions acting as the City's agent. At April 30, 2008, the Pension Trust Fund's carrying amount of cash was $44,949 and the bank balances were $49,449. The entire balance was covered under FDIC insurance as of April 30, 2008. B. Investments (excluding Pension Trust Fund) - . - The investments which the City may purchase are limited to the following: savings, checking, money market accounts, certificate of deposits, and the Illinois Funds Money Market Fund and Prime Fund. Any other type of investment will require City Council approval. All investments shall be as authorized in the Illinois Compiled Statutes regarding the investment of public funds. Except for amounts disclosed above, as of April 30, 2008, the City did not have any funds in investments. Interest Rate Risk. The City's policy states that a variety of financial instruments and maturities, properly balanced, will help to insure liquidity and reduce risk or interest rate volatility and loss of principal. The policy does not state specific limits in investment maturities as a means of managing its exposure to fair value losses arising from increasing interest rates. Credit Risk. Investments shall be made with judgment and care, under circumstances then prevailing, which persons of prudence, discretion, and intelligence exercise in management of their own affairs, not for speculation, but for investment, considering the safety of their capital, as well as the probable income to be derived. The standard of prudence to be used by investment officials shall be the `prudent person' standard and shall be applied in the context of managing an overall portfolio. i - I Custodial Credit Risk. For deposits and investments, custodial credit risk is the risk that, in the event of the failure of the counterparty, the City will not be able to recover the value of its investments or collateral securities that are in the possession of an outside party. The City's investment policy requires that all amounts in excess of any insurance limits be collateralized by approved securities or surety bonds issued by top -rated insurers, having a value of at least 110% of the deposits. Collateral is required as security whenever deposits exceed the insurance limits of the FDIC. Repurchase agreements must also be collateralized in the amount of 105% of market value of principal and accrued interest. Collateral shall be held at an independent, third party institution in the name of the City. The third party institution shall comply with all qualifications and requirements as set forth in the Illinois Complied Statutes 30 ILCS 235/6. 37 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements April 30,2008 3. Deposits and Investments (Cont.) B. Investments (excluding Pension Trust Fund) (Cont.) Concentration of Credit Risk. The City's policy states that a variety of financial instruments and maturities, properly balanced, will help to insure liquidity and reduce risk or interest rate volatility and loss of principal. Diversifying instruments and maturities will avoid incurring unreasonable risks in the investment portfolio regarding specific security types, issuers or individual financial institutions. The City shall diversify to the best of its ability based on the type of funds invested and the cash flow needs of those funds. The City places no limit on the amount the City may invest in any one issuer. C. Police Pension Investments The Pension Trust Fund is authorized to invest in investments permitted under Section 3 -135 of the Illinois Police Pension Code (40 ILCS 5/1 -101), which includes the following: (1) interest- bearing bonds or tax anticipation warrants of the United States, of the State of Illinois, or of any county, township or Municipal Corporation of the State of Illinois; (2) insured withdrawable capital accounts of State chartered savings and loan associations; (3) insured withdrawable capital accounts of federal chartered savings and loan associations if the withdrawable capital accounts are insured by the Federal Savings and Loan Insurance Corporation; (4) insured investments in credit union; (5) savings accounts or certificates of deposit of national or state banks; (6) securities described in section 1 -113 of the Illinois Code; (7) contracts and agreements supplemental thereto providing for investments in the general account of a life insurance company authorized to do business in the State of Illinois; (8) separate accounts of a life insurance company authorized to do business in Illinois, comprised of common or preferred stocks, bonds, or money market instruments; and (9) Federal National Mortgage Association (FNMA) and Student Loan Marketing Association (SLMA). The Pension Trust Fund's primary objective in dealing with investments is safety, liquidity, and return on investments. Safety is the foremost objective and investments shall be undertaken in a manner that seeks to insure the preservation of the capital. The investment portfolio shall remain sufficiently liquid to enable the Fund to meet all operating requirements that might be reasonably anticipated. Assets will be invested to achieve attractive real rates of return. � 38 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements April 30, 2008 3. Deposits and Investments (Cont.) C. Police Pension Investments (Cont.) The following schedule reports the fair values and maturities for Pension Trust Fund's investments at April 30, 2008: Investment Maturities Fair Less Than 1 to 5 6 to 10 More Than Investment Type Value One Year Years Years 10 Years Fixed Income Securities U.S. Treasuries $ 740,219 75,539 438,578 226,102 Federal Home Loan Mortgages 457,206 115,652 149,383 192,171 Federal National Mortgage 460,314 145,681 116,027 116,851 81,755 Federal National Mortgage Association 194,848 144,435 50,413 Total Fixed Income Securities 1,852,587 481,307 703,988 309,022 358,270 Mutual Funds 698,323 Money Market Funds 12,179 Total Investments $ 2,563,089 Interest Rate Risk. The Pension Trust Fund's investment policy states that no more than 5% of plan assets shall be invested in illiquid, long -term investments. Such investments may include certificates of deposits and guaranteed insurance contracts. Any other plan holding which would have a noticeable impact on market price in whole or in part is also defined as illiquid. Credit Risk. Credit risk is the risk that an issuer or other counterparty to an investment will not fulfill its obligations. The Pension Trust Fund helps limit its exposure to credit risk by primarily investing in securities issued by the United States Government and/or its agencies that are implicitly guaranteed by the United States Government. The investments in the securities of the United States Government agencies were all rated Triple A by Standard & Poor's and by Moody's Investor Services. The Pension Trust Fund's policy prescribe to the "prudent person" rule which states, "Investments shall be made with judgment and care, under circumstances then prevailing, which persons of prudence, discretion and intelligence exercise in the management of their own affairs, not for speculation, but for investment, considering the primary objective of safety as well as the second objective of the attainment of market rates of return." Custodial Credit Risk. For an investment, custodial credit risk is the risk that, in the event of the failure of the counterparty, the Pension Trust Fund will not be able to recover the value of its investments or collateral securities that are in the possession of an outside party. The Pension Trust Fund's investment policy does not state specific collateral requirements. I I I 39 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements April 30, 2008 3. Deposits and Investments (Cont.) C. Police Pension Investments (Cont.) Concentration of Credit Risk. There is a risk of loss attributed to the magnitude of the Fund's investment in a single issuer. The Fund does not have a formal policy with regards to concentration risk for investments. As of April 30, 2008, the Pension Trust Fund did not have over 5% of net plan assets invested in any agency securities or equities. Although agency investments represent a large portion of the portfolio, the investments are diversified by maturity dates and are backed by the issuing organization. - 4. Capital Assets Governmental Activities Restated Balances Balance, May 1 April 30, 2007 Additions Deletions 2008 Capital Assets Not Being Depreciated Land $ 28,805,610 550,000 29,355,610 Construction in Progress 9,323,066 3,186,350 (8,606,251) 3,903,165 38,128,676 3,736,350 (8,606,251) 33,258,775 Capital Assets Being Depreciated Buildings 5,131,405 8,606,251 (10,000) 13,727,656 Equipment 3,952,547 257,269 (292,239) 3,917,577 Vehicles 2,480,675 370,452 2,851,127 Infrastructure 24,004,961 1,804,875 25,809,836 35,569,588 11,038,847 (302,239) 46,306,196 I Less Accumulated Depreciation For Buildings 1,106,241 116,972 1,223,213 �• - - - Equipment 1,273,101 340,946 (9,335) 1,604,712 Vehicles 1,437,552 317,082 (279,298) 1,475,336 _ Infrastructure 7,598,410 709,032 8,307,442 11,415,304 1,484,032 (288,633) 12,610,703 Total Capital Assets Being Depreciated, Net 24,154,284 9,554,815 (13,606) 33,695,493 Governmental Activities Capital Assets, Net $ 62,282,960 13,291,165 (8,619,857) 66,954,268 40 i UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements April 30, 2008 4. Capital Assets (Cont.) Depreciation expense of $1,484,032 was charged to the governmental activities functional expense categories as follows: Governmental Activities Depreciation General Government $ 74,277 Public Safety 81,383 - Public Works 1,005,341 Library 21,744 Culture and Recreation 301,287 I $ 1,484,032 Business -Type Activities Restated Balances Balance, May 1 April 30, 2007 Additions Deletions 2008 Capital Assets Not Being Depreciated Land $ 615,376 615,376 Construction in Progress 5,146,716 1,805,654 (5,213,898) 1,738,472 5,762,092 1,805,654 (5,213,898) 2,353,848 Capital Assets Being Depreciated Equipment 18,509,668 125,000 18,634,668 Infrastructure 16,825,610 7,339,224 24,164,834 35,335,278 7,464,224 - 42,799,502 Less Accumulated Depreciation For Equipment 2,619,863 433,449 3,053,312 Infrastructure 1,239,533 351,472 1,591,005 - 3,859,396 784,921 - 4,644,317 Total Capital Assets Being Depreciated, Net 31,475,882 6,679,303 - 38,155,185 Business Type Activities Capital Assets, Net $ 37,237,974 8,484,957 (5,213,898) 40,509,033 Depreciation expense of $715,877 and $69,044 was charged to the Water and Sewer Fund functional expense categories, respectively. 41 UNITED CITY OF YORKV I LLE, ILLINOIS Notes to the Financial Statements (Cont.) April 30,2008 5. Changes in Long -Term Debt Debt service payments are paid from the Debt Service Fund for governmental activities and from the Water Operation and Improvement and Sewer Operation and Improvement Funds for business -type activities. The following is a summary of changes in the long -term debt of the City for the year ended April 30, 2008: Governmental Activities Obligations - - Obligations Outstanding Outstanding Due April 30, April 30, Within 2007 Additions Reductions 2008 One Year General Obligation and Alternate Revenue Source Bonds Series of 2002 $ 405,000 60,000 345,000 65,000 Series of 2005 3,525,000 3,525,000 Series of 2005A 3,795,000 160,000 3,635,000 170,000 Series of 2005B 7,250,000 7,250,000 25,000 Series of 2006 1,500,000 1,500,000 50,000 Total General Obligation and Alternate Revenue Source Bonds 16,475,000 - 220,000 16,255,000 310,000 Debt Certificates Series of 2002A Refunding 160,000 50,000 110,000 55,000 Series of 2004C 535,000 75,000 460,000 85,000 Total Debt Certificates 695,000 - 125,000 570,000 140,000 Other Liabilities Conover Sewer Recapture 1,890 1,890 Installment Loan Purchase 450,000 450,000 100,000 Compensated Absences 422,604 45,557 468,161 277,351 Other Commitments (as Restated) 105,000 105,000 Total Other Liabilities 529,494 495,557 - 1 377,35. $ 17,699,494 495,557 345,000 17,850,051 827,351 42 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements (Cont.) April 30, 2008 5. Changes in Long -Term Debt (Cont.) Business -Type Activities Obligations Obligations Outstanding Outstanding Due April 30, April 30, Within 2007 Additions Deletions 2008 One Year I General Obligation and Alternate Revenue Source Bonds Series of 2004B $ 3,255,000 135,000 3,120,000 140,000 Series of 2005C 1,965,000 75,000 1,890,000 80,000 Series of 2005D 11,300,000 11,300,000 Series of 2007A Refunding 3,020,000 30,000 2,990,000 10,000 Total General Obligation and Alternate Revenue Source Bonds 19,540,000 - 240,000 19,300,000 230,000 Debt Certificates Series of 2002 Capital Appreciation* 948,461 39,651 35,000 953,112 60,000 Series of 2003 - IRBB 1,795,000 80,000 1,715,000 85,000 Series of 2003 800,000 800,000 Series of 2004A 1,325,000 145,000 1,180,000 150,000 Series of 2006A Refunding 5,555,000 5,000 5,550,000 10,000 Total Debt Certificates 10,423,461 39,651 265,000 10,198,112 305,000 Loans Payable IEPA Loan L17- 013000 208,797 31,787 177,011 32,934 IEPA Loan L17- 115300 1,134,484 77,778 1,056,706 79,833 IEPA Loan L17- 156300 1,409,385 476,615 56,880 1,829,120 58,312 Total Loans Payable 2,752,666 476,615 166,445 3,062,837 171,079 Other Liabilities Compensated Absences 45,406 8,786 54,192 44,100 Other Commitments (as Restated) 1,319,742 1,794,952 3,114,694 Total Other Liabilities 1,365,148 1,803,738 - 3,168,886 44,100 'I $ 34,081,275 2,320,004 671,445 35,729,835 750,179 * $39,651 of the additions for this bond represents the accretion of interest. 43 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements (Cont.) April 30, 2008 5. Changes in Long -Term Debt (Cont.) Governmental Activities: I General Obligation and Alternate Revenue Source Bonds Series of 2002 $625,000 payable to BNY Midwest Trust Company at an interest rate ranging from 3.00% to 4.75% and maturing December 2012. Payable from Fox Industrial (Special Revenue) Fund. Debt service to maturity is as follows: Year Ended April 30 Principal Interest Total 2009 $ 65,000 15,556 80,556 2010 65,000 12,793 77,793 2011 70,000 9,933 79,933 2012 70,000 6,783 76,783 2013 75,000 3,563 78,563 $ 345,000 48,628 393,628 Series of 2005 $3,525,000 payable to BNY Midwest Trust Company at an interest rate ranging from 3.50% to 4.35% and maturing December 2024. Payable from Countryside TIF (Special Revenue) Fund. Debt service to maturity is as follows: Year Ended April 30 Principal Interest Total 2009 142,868 142,868 2010 $ 165,000 142,868 307,868 2011 170,000 137,093 307,093 2012 175,000 131,143 306,143 2013 180,000 124,668 304,668 2014 -2018 1,010,000 512,028 1,522,028 2019 -2023 1,240,000 288,703 1,528,703 2024 -2025 585,000 38,355 623,355 $ 3,525,000 1,517,726 5,042,726 44 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements (Cont.) April 30, 2008 5. Changes in Long -Term Debt (Cont.) Governmental Activities (Cont.): General Obligation and Alternate Revenue Source Bonds (Cont.) Series of 2005A $3,825,000 payable to BNY Midwest Trust Company at an interest rate ranging from 4.00% to 4.375% and maturing December 2022. Debt service to maturity is as follows: Year Ended April 30 Principal Interest Total 2009 $ 170,000 150,379 320,379 2010 175,000 143,579 318,579 2011 185,000 136,579 321,579 2012 195,000 129,179 324,179 2013 205,000 121,379 326,379 2014 -2018 1,185,000 475,694 1,660,694 2019 -2023 1,520,000 204,719 1,724,719 $ 3,635,000 1,361,508 4,996,508 Series of 2005B $7,250,000 payable to BNY Midwest Trust Company at an interest rate ranging from 4.00% to 4.75% and maturing December 2024. Debt service to maturity is as follows: 'I Year Ended April 30 Principal Interest Total i 2009 $ 25,000 321,225 346,225 2010 25,000 320,125 345,125 2011 75,000 319,125 394,125 2012 175,000 316,125 491,125 2013 290,000 309,125 599,125 2014 -2018 2,115,000 1,332,825 3,447,825 2019 -2023 3,060,000 798,919 3,858,919 2024 -2025 1,48 5,000 106,638 1,591,638 $ 7,250,000 3,824,107 11,074,107 I I 45 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements (Cont.) April 30, 2008 5. Changes in Long -Term Debt (Cont.) I � Governmental Activities (Cont.): General Obligation and Alternate Revenue Source Bonds (Cont.) Series of 2006 $1,500,000 payable to BNY Midwest Trust Company at an interest rate ranging from 4.75% to 4.80% and maturing December 2024. Debt service to maturity is as follows: Year Ended April 30 Principal Interest Total 2009 $ 50,000 71,300 121,300 2010 150,000 68,925 218,925 2011 150,000 61,800 211,800 2012 175,000 54,675 229,675 2013 150,000 46,363 196,363 2014 -2018 300,000 162,938 462,938 2019 -2023 325,000 97,625 422,625 2024 -2025 200,000 14,350 214,350 $ 1,500,000 577,976 2,077,976 Debt Certificates Series of 2002A Refundine $1,280,000 payable to BNY Midwest Trust Company at an interest rate ranging from 2.15% to 5.15% and - _ maturing January 2022. During fiscal year 2007, $925,000 of these Certificates were refunded from the proceeds of the Series of 2006A Refunding Debt Certificates. After the partial refunding, the Certificates bear an interest rate of 4.0% and mature in January 2010. Debt service to maturity is as follows: Year Ended April 30 Principal Interest Total 2009 $ 55,000 4,400 59,400 2010 55,000 2,200 57,200 110,000 6,600 116,600 46 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements (Cont.) April 30, 2008 5. Chances in Lonc -Term Debt (Cont.) Governmental Activities (Cont): Debt Certificates (Cont.) Series of 2004C $650,000 payable to Bernardi Securities at an interest rate ranging from 3.80% to 5.00% and maturing December 2012. Debt service to maturity is as follows: Year Ended April 30 Principal Interest Total 2009 $ 85,000 19,745 104,745 2010 90,000 16,515 106,515 2011 95,000 12,825 107,825 2012 95,000 8,740 103,740 2013 95,000 4,465 99,465 $ 460,000 62,290 522,290 Loans Payable Conover Sewer Recamute $1,890 owed to John Conover as reimbursement for sewer extensions. The loan is due in FY 2023. Note Payable Land Purchase Aereement In December 2007, the City entered into an agreement to purchase three parcels of land for the purpose of expanding the City's area available for recreational parks. The total purchase price is $550,000 to be paid over a period of five years. This is a non - interest bearing agreement. The remaining installment payments are due as follows: Year Ended Amount April 30 Due 2009 $ 100,000 2010 100,000 2011 125,000 2012 125,000 $ 450,000 47 i UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements (Cont.) April 30, 2008 5. Chanees in Lone -Term Debt (Cont.) Business -Type Activities: General Obligation and Alternate Revenue Source Bonds Series of 2004B (Alternate Revenue Service) $3,500,000 payable to BNY Midwest Trust Company for improvements to the Waterworks and Sewerage System of the City. The Series 2004B G.O. Bonds bear interest ranging from 2.50% to 4.00 %. The principal matures December 30, 2018. Debt service to maturity is as follows: Year Ended April 30 Principal Interest Total 2009 $ 140,000 111,138 251,138 2010 145,000 107,288 252,288 2011 155,000 103,300 258,300 2012 160,000 98,650 258,650 2013 170,000 93,850 263,850 2014 -2018 1,895,000 321,125 2,216,125 2019 455,000 18,200 473,200 $ 3,120,000 853,551 3,973,551 Series of 2005C $2,000,000 payable to BNY Midwest Trust Company at an interest rate ranging from 3.5% to 5.5% and maturing December 2024. Debt service to maturity is as follows: E Year Ended April 30 Principal Interest Total 2009 $ 80,000 86,300 166,300 2010 80,000 83,500 163,500 2011 85,000 80,700 165,700 2012 90,000 77,725 167,725 2013 90,000 74,575 164,575 2014 -2018 520,000 314,895 834,895 2019 -2023 645,000 190,150 835,150 2024 -2025 300,000 24,750 324,750 $ 1,890,000 932,595 2,822,595 48 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements (Cont.) April 30, 2008 5. Changes in Lone -Term Debt (Cont.) Business -Type Activities (Cont): General Obligation and Alternate Revenue Source Bonds (Cont.) Series of 2005D $11,300,000 payable to BNY Midwest Trust Company at an interest rate of 4.150% and maturing December 2016. This bond was issued to finance the construction of the Rob Roy Creek Interceptor, which the City agreed to fund as part of an intergovernmental agreement with the Yorkville- Bristol Sanitary District dated June of 2004. Principal and interest payments for this bond shall be paid from sewer connections fees, infrastructure participation fees, and, if those sources are not sufficient, property taxes. As of April 30, 2008, no such taxes have been extended by the City. Debt service to maturity is as follows: Year Ended April 30 Principal Interest Total 2009 $ 468,950 468,950 2010 1,000,000 468,950 1,468,950 2011 1,000,000 427,450 1,427,450 2012 1,000,000 385,950 1,385,950 2013 1,600,000 344,450 1,944,450 2014 -2017 6,700,000 610,050 7,310,050 $ 11,300,000 2,705,800 14,005,800 .l 49 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements (Cont.) April 30, 2008 5. Changes in Lone -Term Debt (Cont.) Business -Type Activities (Cont): General Obligation and Alternate Revenue Source Bonds (Cont.) Series of 2007A Refunding $3,020,000 payable to The Bank of New York Trust Company at an interest rate ranging from 4.0% to 4.25% and maturing December 2022. The proceeds from this- bond issue were used to refund a portion of the Series of 2003 Debt Certificates. Debt service to maturity is as follows: Year Ended April 30 Principal Interest Total 2009 $ 10,000 125,066 135,066 2010 10,000 124,666 134,666 2011 10,000 124,266 134,266 2012 10,000 123,866 133,866 2013 10,000 123,454 133,454 2014 -2018 75,000 608,944 683,944 2019 -2023 2,865,000 420,300 3,285,300 $ 2,990,000 1,650,562 4,640,562 J i 50 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements (Cont.) April 30, 2008 5. Chances in Lonc -Term Debt (Cont.) Debt Certificates Series 2002 Capital Appreciation Debt Certificates During fiscal year 2003, the City issued $2,899,365 in capital appreciation debt certificates. During fiscal year 2007, a portion of these Certificates were refunded with the proceeds from the Series of 2006A Refunding Debt Certificates. The Series 2002 Certificates outstanding as of April 30, 2008 totaling $948,461 bear interest ranging from 2.5% to 4.5 %. Interest is not paid but rather accretes to principal each May 1. After the partial refunding, principal matures on May 1, 2004'- May 1, 2012 in accreted values totaling $1,070,000. The debt payment schedule to maturity for the Capital Appreciation Debt Certificates is as follows: Fiscal Series 2002 Capital Year Appreciation Debt Certificates Ended Principal April 30 Accretion Repayment 2009 $ 39,013 60,000 2010 34,787 145,000 2011 27,200 215,000 2012 15,888 285,000 2013 365,000 $ 116,888 1,070,000 Accreted Value at April 30, 2008 $ 953,112 Series 2003 Illinois Rural Bond Bank $2,035,000 payable to U.S. Bank National Association at an interest rate ranging from 1.60% to 5.20% and maturing February 1, 2023. Debt service to maturity is as follows: Year Ended April 30 Principal Interest Total 2009 $ 85,000 79,475 164,475 2010 85,000 76,713 161,713 2011 90,000 73,653 163,653 2012 95,000 70,143 165,143 2013 100,000 66,248 166,248 2014 -2018 550,000 262,613 812,613 2019 -2023 710,000 112,520 822,520 $ 1,715,000 741,365 2,456,365 51 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements (Cont.) April 30, 2008 5. Chances in Lone -Term Debt (Cont.) Business -Type Activities (Cont): . Debt Certificates (Cont.) I Series 2003 Debt Certificates $4,800,000 payable to BNY Midwest Trust Company at an interest rate ranging from 3.80% to 5.00 % and maturing December 15, 2022. The Series 2003 Debt Certificates are being issued to finance improvements to the City's water system. During fiscal year 2007, $4,000,000 of this issue was refunded by the proceeds from the Series of 2006A Refunding Debt Certificates and the Series of 2007A General Obligation Refunding Bonds. After the partial refunding, the Certificates bear an interest rate ranging from 3.80% to 4.35% and mature in December 2018. Debt service to maturity is as follows: Year Ended April 30 Principal Interest Total 2009 $ 33,150 33,150 2010 33,150 33,150 2011 33,150 33,150 2012 33,150 33,150 20013 33,150 33,150 2014 -2018 500,000 116,700 616,700 2019 300,000 13,050 313,050 $ 800,000 295,500 1,095,500 Series 2004A Debt Certificates $1,600,000 payable to BNY Midwest Trust Company at an interest rate ranging from 1.40% to 3.60% and maturing December 30, 2014. The Series 2004A Debt Certificates are being issued to provide funds to _ extend sanitary sewer services. Debt service to maturity is as follows: Year Ended April 30 Principal Interest Total 2009 $ 150,000 35,975 185,975 2010 155,000 32,525 187,525 2011 160,000 28,573 188,573 2012 170,000 24,093 194,093 2013 175,000 18,738 193,738 2014 -2015 370,000 19,890 389,890 $ 1,180,000 159,794 1,339,794 52 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements (Cont.) April 30, 2008 5. Chances in Lone -Term Debt (Cont.) I Business -Type Activities (Cont): Debt Certificates (Cont.) Series 2006A Refundine Debt Certificates $5,555,000 payable to The Bank of New York Trust Company for the partial refunding of the Series of 2002 Capital Appreciation Debt Certificates, Series of 2002A Debt Certificates, and Series of 2003 Debt Certificates. The Series of 2006A Certificates bear interest at a rate - ranging from 4.0% to 4.20% and mature in December 2022. Debt service to maturity is as follows: Year Ended April 30 Principal Interest Total 2009 $ 10,000 226,206 236,206 2010 10,000 225,806 235,806 2011 70,000 225,406 295,406 2012 70,000 222,606 292,606 2013 355,000 219,806 574,806 2014 -2018 2,195,000 859,631 3,054,631 2019 -2023 2,840,000 315,244 3,155,244 $ 5,550,000 2,294,706 7,844,706 Loans Payable IEPA Loan L17- 013000 $549,081 payable to the Illinois Environmental Protection Agency for sewer construction assistance at - j 3.58% interest, maturing in January of 2013. Debt service to maturity is as follows: Year Ended April 30 Principal Interest Total 2009 $ 32,934 6,046 38,980 2010 34,125 4,855 38,980 2011 35,358 3,622 38,980 2012 36,636 2,344 38,980 2013 37,958 1,023 38,981 $ 177,011 17,890 194,901 53 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements (Cont.) April 30, 2008 5. Chang_ es in Lone_ -Term Debt (Cont.) Business -Type Activities (Cont.): I .. Loans Payable (Cont.) I I IEPA Loan L17- 115300 $1,656,809 payable to the Illinois Environmental Protection Agency for sewer construction assistance at 2.625% interest, maturing in September of 2019. Debt service to maturity is as follows: Year Ended April 30 Principal Interest Total 2009 $ 79,833 27,218 107,051 2010 81,942 25,109 107,051 2011 84,107 22,944 107,051 2012 86,329 20,721 107,050 2013 88,610 18,440 107,050 2014 -2018 479,433 55,820 535,253 2019 -2020 156,452 4,124 160,576 $ 1,056,706 174,376 1,231,082 IEPA Loan L17- 156300 $1,886,000 payable to the Illinois Environmental Protection Agency for sewer construction assistance at 2.50% interest, maturing in August of 2026. Debt service to maturity is as follows: Year - Ended April 30 Principal Interest Total 2009 $ 58,312 43,618 101,930 2010 81,451 39,449 120,900 2011 83,500 43,580 127,080 2012 85,600 41,531 127,131 2013 87,754 39,430 127,184 2014 -2018 473,013 152,138 625,151 2019 -2023 535,579 89,572 625,151 2024 -2027 423,912 21,085 444,997 $ 1,829,120 470,403 2,299,523 54 j UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements (Cont.) April 30, 2008 6. Commitments Agreements with Developers — Under an agreement entered into in the fiscal year ending April 2003, the City and developer of the Windett Ridge subdivision agreed upon a loan of up to $170,000 for sanitary sewer system improvements. The City is required to repay the advance to the developer within a ten -year period of receipt of the loan. Under an amendment to the agreement signed in fiscal year ending April 2005, the City and the developer agreed to reduce the loan by the amount of lot fees outstanding due the City. Per the amendment, the new loan amount is $114,600, which is due back to the developer by October 21, 2013. This loan is recorded in the Sewer Operation and Improvement Fund and is to be paid with general sewer connection fees. In December of 2002, the City entered into an agreement with the developer of the Raintree Village subdivision to reimburse the costs of sanitary sewer over - sizing within the development. The amount of eligible expenses to be reimbursed by the City totals $1,154,718, of which $285,549 has been paid as of April 30, 2008. Of the remaining balance, $318,433 is subject to an estimated interest rate of 4.5 %. Annual sewer charges assessed on the residents of the subdivision are earmarked to repay this obligation. The related sanitary sewer infrastructure was accepted by the City as an asset in December of 2007. This amount is recorded in the Sewer Operation and Improvement Fund. Under a planned unit development agreement entered into in June of 2003, the City agreed to reimburse the developer of the Grand Reserve subdivision for regional water improvements required to support the subdivision and the surrounding area. As of April 30, 2008, $827,596 of eligible costs have been agreed upon by the City to be reimbursed. These costs accrue interest at a rate of 5% beginning on May 30, 2007. The total balance to be reimbursed as of April 30, 2008, including interest, is $865,527. Water connection fees generated within the specific water pressure zone have been earmarked to repay the developer. As of year - end, the City had not accepted the water infrastructure assets from the developer. This amount is recorded in the Water Operation and Improvement Fund. In August of 2003, the City entered into a reimbursement agreement with the developer of the Fox Hill subdivision. The agreement allows for the reimbursement of eligible costs associated with the construction and over - sizing of water and sewer infrastructure lines within the area. Eligible costs are to be paid to the developer within 20 years of the agreement. This agreement was amended in April 2006 to include additional costs. Total eligible costs as of April 30, 2008 are $807,847, which accrues compounded interest of 5% annually. Interest for a portion of eligible costs is computed back to January 1, 1995. Total interest to date is $457,552. The amount recorded as a liability, including interest, as of April 30, 2008 is $1,265,398. 52% of this amount is recorded in the Water Operation and Improvement Fund; the remaining 48% of this amount is recorded in the Sewer Operation and Improvement Fund. In April of 2005, the City entered into a loan agreement with Centex Homes, Inc., a developer. This loan agreement is for the wetland design in the development that Centex Homes, Inc. is planning within the City. Under the agreement, the City is to hire and pay for the cost of the wetland designer for the project. The City received the funds in advance from Centex Homes, Inc. in April 2006. The amount is due back to the developer on January 31, 2010. The balance due as of April 30, 2008 is $105,000. This amount is recorded in governmental activities. 55 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements (Cont.) April 30, 2008 7. Transfers The following transfers were made during the fiscal year between funds within the primary government: Transfers Transfers In Out General Nonmajor Governmental $ 198,500 1,566,907 Sewer Operation and Improvement 220,578 150,000 Water Operation and Improvement - 669,947 200,000 Total General 1,089,025 1,916,907 Nonmajor Governmental General 1,566,907 198,500 Nonmajor Governmental 147,076 147,076 Total Nonmajor Governmental 1,713,983 345,576 Sewer Operation and Improvement General 150,000 220,578 Water Operation and Improvement General 200,000 669,947 Total $ 3,153,008 3,153,008 The following transfers were made during the fiscal year between funds within the primary government: Purpose of significant transfers is as follows: • $1,161,778 transferred from General Fund to Parks & Recreation Fund to supplement the operations of the City of Yorkville Park and Recreation Board and their culture and recreation activities. • $231,884 transferred from General Fund to Debt Service Fund (nonmajor) to cover bond principal and interest payments for governmental activities long -term debt. • $220,578 transferred from Sewer Operation and Improvement Fund to the General Fund for bond payments and personnel benefit costs. • $669,947 transferred from Water Operation and Improvement Fund to the General Fund for bond payments and personnel benefit costs. 56 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements (Cont.) April 30, 2008 i 8. Interfund Receivables and Payables Interfund receivables and payables as of April 30, 2008 are summarized below: Due From Due to Other Funds Other Funds General Nonmajor Governmental $ 1,027,671 Library Nonmajor Governmental 291,544 Nonmajor Governmental General 1,027,671 Library 291,544 Sewer Operation and Improvement 89,927 Water Operation and Improvement 3,620 Total Nomnajor Governmental 3,620 1,409,142 Sewer Operation and Improvement Nonmajor Governmental 89,927 Water Operation and Improvement Nonmajor Governmental 3,620 $ 1,412,762 1,412,762 Purpose of significant interfund receivables and payables are as follows: • $509,019 due from the Land Cash Fund ( nonmajor) to the General Fund representing cash borrowings which occurred during the year. • $291,544 due from the Debt Service Fund (nonmajor) to the Library Fund for property taxes collected in the Debt Service Fund belonging to the Library Fund. Repayment is expected within :. one year. • $513,938 due from the Municipal Building Fund (nonmajor) to the General Fund representing cash borrowings which occurred during the year. 57 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements (Cont.) April 30, 2008 9. Restatement The following adjustments and corrections were recorded in beginning fund balances /net assets: Governmental Activities Net Asset Balance as Previously Reported $ 54,562,942 Correction of Error in the Prior Year Recording of Capital Assets, Net of Accumulated Depreciation Taken in Prior Years 26,436 Correction of Error in the Prior Year Recording of Receivable in General Fund (90,154) Correction of Error in the Prior Year Recording of Liability (105,000) Adjusted Beginning Net Assets $ 54,394,224 Business -Type Activities Net Asset Balance as Previously Reported $ 19,754,947 Correction of Error in the Prior Year Recording of Capital Assets, Net of Accumulated Depreciation Taken in Prior Years 622,324 Correction of Error in the Prior Year Recording of Liabilities (1,319,742) Adjusted Beginning Net Assets $ 19,057,529 General Fund Fund Balance as Previously Reported $ 5,317,824 Correction of Error in the Prior Year Recording of Receivable (90,154) Adjusted Beginning Fund Balance $ 5,227,670 Sewer Operation and Improvement Net Asset Balance as Previously Reported $ 6,941,977 Correction of Error in the Prior Year Recording of Capital Assets, Net of Accumulated Depreciation Taken in Prior Years (3,198,476) Correction of Error in the Prior Year Recording of Liabilities (693,068) 1 Adjusted Beginning Net Assets $ 3,050,433 Water Operation and Improvement Net Asset Balance as Previously Reported $ 12,812,970 Correction of Error in the Prior Year Recording of Capital Assets, Net of Accumulated Depreciation Taken in Prior Years 3,820,800 Correction of Error in the Prior Year Recording of Liabilities (626,674) Adjusted Beginning Fund Balance $ 16,007,096 Restatements for capital assets and liabilities principally resulted from management's review of commitments discussed in Note 6. Further, capital assets contributed by developers for the Water and Sewer System have been analyzed and placed in the correct fund. 58 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements (Cont.) April 30, 2008 10. Defined Pension Benefit Plans A. Illinois Municipal Retirement Fund The City's defined benefit pension plan, Illinois Municipal Retirement (IMRF) provides retirement, disability, annual cost -of- living adjustments and death benefits to plan members and beneficiaries. IMRF is an agent multiple - employer pension plan that acts as a common investment and administrative agent for local Governments and school districts in Illinois. The Illinois Pension Code establishes the benefit provisions of the plan that can only be amended by the Illinois General Assembly. IMRF issues a publicly available financial report that, includes financial statements and required supplementary information. That report may be obtained by writing to the Illinois Municipal Retirement Fund, 2211 York Road, Suite 500, Oak Brook, Illinois 60523. Employees participating in IMRF are required to contribute 4.50% of their annual covered salary. The member rate is established by state statute. The City is required to contribute at an actuarially determined rate. The employer rate for calendar year 2007 was 7.61% of payroll. The employer contribution requirements are established and may be amended by the IMRF Board of Trustees. IMRF's unfunded actuarial accrued liability is being amortized as a level percentage of projected payrolls on a closed basis (overfunded liability amortized on open basis). The remaining amortization period at December 31, 2007 was 25 years. For December 31, 2007, the City's annual pension cost of $248,944 was equal to City's required and actual contributions. The required contribution was determined as part of the December 31, 2005 actuarial valuation using the entry age actuarial cost method. The actuarial assumptions included (a) 7.50% investment rate of return (net of administrative expenses), (b) projected salary increases of 4.00% a year attributable to inflation, (c) additional projected salary increases ranging from 0.4% to 10.0% per year depending on age and service, attributable to seniority/merit, and (d) post- retirement benefit increases of 3% annually. The actuarial value of IMRF assets was determined using techniques that smooth the effects of short-term volatility in the market value of investments over a five -year period with a 15% corridor. The assumptions used for the 2007 actuarial valuation were based on the 2002 - 2004 Experience Study. TREND INFORMATION Actuarial Annual Percentage Net Valuation Pension of APC Pension Date Cost (APC) Contributed Obligation 12/31/2007 $ 248,944 100% 0 12/31/2006 202,667 100% 0 12/31/2005 175,120 100% 0 12/31/2004 174,635 100% 0 12/31/2003 131,995 100% 0 12/31/2002 66,662 100% 0 59 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements (Cont.) April 30, 2008 10. Defined Pension Benefit Plans (Cont.) A. Illinois Municipal Retirement Fund Funded Status and Funding Progress As of December 31, 2007, the most recent actuarial valuation date, the Regular plan was 100.81% funded. The actuarial accrued liability for benefits was $4,104,243 and the actuarial value of assets } was $4,137,504, resulting in an overfunded actuarial accrued liability (UAAL) of $(33,261). The covered payroll (annual payroll of active employees covered by the plan) was $3,271,273 and the ratio of UAAL to the covered payroll was (1 %). The schedule of funding progress, presented as Required Supplementary Information following the Notes to the Financial Statements on page 64, presents multi -year trend information about whether the actuarial value of plan assets is increasing or decreasing over time relative to the actuarial accrued liability of benefits. B. Police Pension During fiscal year 2002, the City and members of the police force began making contributions to the newly formed Police Pension Fund. The following is a description of the plan: Plan Description: Police sworn personnel are covered by the Police Pension Fund, which is a defined benefit single- employer pension plan. Although this is a single- employer pension plan, the defined benefits and employee and employer contributions levels are governed by Illinois Compiled Statutes (40 ILCS 5/3) and may be amended only by the Illinois legislature. The City accounts for the plan as a pension trust fund. At April 30, 2007, the Police Pension Fund membership consisted of: Retirees and Beneficiaries Currently Receiving Benefits and Terminated Employees Entitled to Benefits but Not Yet Receiving Them 0 Current Employees Vested 12 Nonvested 16 i Total 28 The following is a summary of the Police Pension Fund as provided for in Illinois Compiled Statutes. The Police Pension Fund provides retirement benefits as well as death and disability benefits. Employees attaining the age of 50 or more with 20 or more years of creditable service are entitled to receive an annual retirement benefit of one -half of the salary attached to the rank held on the last day of service, or for one year prior to the last day, whichever is greater. The pension shall be increased by 2% of such salary for each additional year of service over 20 years up to 30 years, and 1% of such salary for each additional year of service over 30 years, to a maximum of 75% of such salary. Employees with at least 8 years but less than 20 years of credited service may retire at or after age 60 and receive a reduced benefit. The monthly pension of a police officer who retired with 20 or more years of service after January 1, 1977, shall be increased annually, following the first anniversary date of retirement and be paid upon reaching the age of at least 55 years, by 3% of the original pension and 3% simple interest annually thereafter. 60 UNITED CITY OF YORKVILLE, ILLINOIS i Notes to the Financial Statements (Cont.) April 30, 2008 10. Defined Pension Benefit Plans (Cont.) B. Police Pension (Cont.) Summary of Significant Accounting Policies and Plan Asset Matters Basis of Accountine — The financial statements are prepared using the cash basis of accounting. Employee contributions are recognized as additions in the period in which employee services are performed. Method Used to Value Investments — Investments are reported at fair value. Short-term investments are reported at cost, which approximates fair value. Investment income is recognized when earned. Gains and losses on sales and exchanges of fixed- income securities are recognized on the transaction date. Contributions Covered employees are required to contribute 9.91% of their base salary to the Police Pension Fund. If an employee leaves covered employment with less than 20 years of service, accumulated employee contributions may be refunded without accumulated interest. The City is required to contribute the remaining amounts necessary to finance the plan as actuarially determined by an enrolled actuary at the Illinois Department of Insurance. Future administrative costs are expected to be financed through investment earnings. C. Annual Pension Costs Employer contributions have been determined as follows: Illinois Municipal Police Retirement Pension Actuarial Valuation Date December 31, May 1, 2007 2007 Actuarial Cost Method Entry Age Entry Age Normal Normal Asset Valuation Method 5 Year Market Smoothed Market Amortization Method Level Percentage Level Percentage of Payroll of Payroll Amortization Period 25 Years 30 Years Closed Closed 61 I UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial Statements (Cont.) April 30, 2008 10. Defined Pension Benefit Plans (Cont.) C. Annual Pension Costs (Cont.) Illinois Municipal Police Retirement Pension j Significant Actuarial Assumptions: a) Rate of Return on Present and Future 7.50% 7.50% Assets Compounded Compounded Annually Annually b) Projected Salary Increase - Attributable 4.00% 5.50% to Inflation Compounded Compounded Annually Annually c) Additional Projected Salary Increases - .40%-10% Not Available Seniority/Merit The net pension obligation is the cumulative difference between the APC and the contributions actually made. Employer annual pension costs (APC), actual contributions and the net pension obligation (NPO) are as follows: Illinois Illinois Calendar Municipal Fiscal Police Year Retirement Year Pension Annual Pension Cost (APC) 2005 $ 175,120 2005 N/A 2006 202,667 2006 231,960 2007 248,944 2007 231,991 _ Actual Contribution 2005 175,120 2005 206,231 2006 202,667 2006 231,124 2007 248,944 2007 248,988 Percentage of APC 2005 100% 2005 N/A Contributed 2006 100% 2006 99.6% 2007 100% 2007 107.3% Net Pension Asset (Obligation) 2005 2005 N/A 2006 2006 (836) 2007 2007 16,161 N/A — The police pension fund was formed during fiscal year 2002; no actuarial valuation was performed for fiscal year 2005. 62 UNITED CITY OF YORKVILLE, ILLINOIS Notes to the Financial_ Statements (Cont.) April 30, 2008 10. Defined Pension Benefit Plans (Cont.) C. Annual Pension Costs (Cont.) The net pension asset (obligation) has been calculated as follows: Police Pension Annual Required Contributions $ 231,960 Interest on Net Pension Obligation 63 Adjustment to Annual Required Contribution (32) Annual Pension Cost 231,991 Contributions Made 248,988 Increase in Net Pension Asset (Obligation) 16,997 Net Pension Obligation, Beginning of Year (836) Net Pension Asset, End of Year $ 16,161 11. Risk Management I The City is exposed to various risks of loss related to torts; theft of, damage to, and destruction of assets; errors and omissions; injuries to employees; and natural disasters. These risks are covered by commercial insurance purchased from independent third parties. The City also purchased its employee health and accident insurance from commercial carriers. Settled claims from these risks have not exceeded commercial insurance coverage for the past three years. There were no significant reductions in insurance coverage during the fiscal year ended April 30, 2008. i j 63 I r REQUIRED SUPPLEMENTARY INFORMATION I UNITED CITY OF YORKVILLE, ILLINOIS Required Supplementary Information Illinois Municipal Retirement Fund April 30, 2008 Schedule of Funding Progress Actuarial Unfunded UAAL as a Actuarial Accrued (Overfunded) Percentage Actuarial Value of Liabilities (AAL) AAL Funded Covered of Covered Valuation Assets Entry Age (UAAL) Ratio Payroll Payroll Date (a) (b) (b -a) (a/b) (c) (b -a) /c 12/31/2007 $ 4,137,504 4,104,243 (33,261) 100.81 % 3,271,273 (1.02) % 12/31/2006 3,574,710 3,290,143 (284,567) 108.65 2,565,402 (11.09) 12/31/2005 3,213,956 2,925,186 (288,770) 109.87 2,151,352 (13.42) 12/31/2004 2,759,166 2,517,686 (241,480) 109.59 1,734,213 (13.92) 12/31/2003 2,915,820 2,694,940 (220,880) 108.20 1,425,431 (15.50) 12/31/2002 2,634,906 2,415,010 (219,896) 109.11 1,194,657 (18.41) On a market value basis, the actuarial value of assets as of December 31, 2007 is $4,440,795. On a market basis, the funded ratio would be 108.20 %. Schedule of Employer Contributions Actuarial Annual Valuation Employer Required Percent Date Contributions Contributions Contributed 12/31/2007 $ 248,944 248,944 100.0 % 12/31/2006 202,667 202,667 100.0 _ 12/31/2005 175,120 175,120 100.0 1 2/31/2004 174,635 174,635 100.0 - ✓31/2003 131,995 131,995 100.0 - 12/31/2002 66,662 66,662 100.0 - Digest of Changes - Assumptions The actuarial assumptions used to determine the actuarial accrued liability for 2007 are based on the 2002 -2004 Experience Study. The principal changes were: - The 1994 Group Annuity Mortality implemented. - For regular members, fewer normal and early retirements are expected to occur. I I 64 UNITED CITY OF YORKVILLE, ILLINOIS Required Supplementary Information Police Pension Fund April 30, 2008 Schedule of Funding Progress Actuarial Unfunded UAAL as a Actuarial Accrued (Overfunded) Percentage Actuarial Value of Liabilities (AAL) AAL Funded Covered of Covered Valuation Assets Entry Age (UAAL) Ratio Payroll Payroll Date (a) (b) (b -a) - (a/b) (c) (b -a) /c 4/30/2007 $ 2,156,872 5,728,722 3571850 37.65 % 1,573,832 227.0 % 4/30/2006 1,583,047 5,031,506 3,448,459 31.46 1,296,753 265.9 4/30/2005 NA NA NA NA NA NA 4/30/2004 NA NA NA NA NA NA 4/30/2003 517,894 3,418,034 2,900,140 15.15 789,173 367.5 4/30/2002 NA NA NA NA NA NA NA - The pension fund was formed during fiscal year 2002; no acturial valuation was performed for fiscal years 2004 and 2005. Schedule of Employer Contributions Actuarial Annual Valuation Employer Required Percent Date Contributions Contributions Contributed 4/30/2007 $ 248,988 231,991 107.3 % 4/30/2006 231,124 231,960 99.6 4/30/2005 N/A N/A N/A 4/30/2004 N/A N/A N/A 4/30/2003 117,713 175,120 148.8 65 GOVERNMENTAL FUND TYPES GENERAL FUND UNITED CITY OF YORKVILLE, ILLINOIS - Schedule of Revenues - Budget and Actual - . General Fund For the Year Ended April 30, 2008 Variance from Original Final Budget Budget Budget Actual Over (Under) )erty Taxes Property Taxes $ 1,828,490 1,878,387 1,832,180 (46,207) Township Road and Bridge Taxes 125,000 125,000 128,425 3,425 Total Property Taxes 1,953,490 2,003,387 1,960,605 (42,782) Intergovernmental Sales Tax 3,120,000 2,775,000 2,506,434 (268,566) Income Tax 974,748 974,748 1,053,292 78,544 Municipal Utility Tax 425,000 425,000 549,535 124,535 Other Taxes Personal Property Replacement Taxes 10,000 10,000 18,977 8,977 NICOR Franchise Taxes 300,000 350,000 384,088 34,088 Cable TV Franchise Taxes 129,144 150,000 172,913 22,913 Telephone Franchise Taxes 425,000 425,000 504,019 79,019 Hotel Tax 20,000 20,000 22,192 2,192 Amusement Tax 135,000 State Use Tax 144,532 144,532 157,093 12,561 Total Intergovernmental 5,683,424 5,274,280 5,368,543 94,263 Licenses, Permits and Fees Development Fees 1,475,000 1,475,000 1,366,886 (108,114) Road Contribution Fee 1,200,000 800,000 578,000 (222,000) Liquor Licenses 26,000 27,316 46,970 19,654 Other Licenses 3,000 3,400 4,323 923 Building Permits 1,550,000 1,200,000 867,869 (332,131) 'iling Fees 20,000 10,000 2,561 (7,439) Jarbage Surcharge 540,756 540,756 577,389 36,633 = Collection Fees - Sanitary District 35,000 55,916 55,916 - - Engineering Capital Fee 60,000 48,000 31,700 (16,300) Ordinance Fees 2,500 2,500 4,235 1,735 Traffic Signal Revenue 5,000 8,775 8,779 4 Total Licenses, Permits and Fees 4,917,256 4,171,663 3,544,628 (627,035) Fines 80,000 80,000 111,271 31,271 Investment Income 75,000 100,000 142,763 42,763 Grants Federal Grants 3,000 58,160 272,460 214,300 State Grants 1,500 1,500 1,870 370 Other Grants 10,000 10,000 39,045 29,045 Total Grants 14,500 69,660 313,375 243,715 (Cont.) 66 UNITED CITY OF YORKVILLE, ILLINOIS Schedule of Revenues - Budget and Actual (Cont.) General Fund For the Year Ended April 30, 2008 I Variance from Original Final Budget Budget Budget Actual Over (Under) Other Revenues Reimbursements Police Training 21,000, 21,000 15,106 (5,894) Police Protection 3,300 3,300 4,555 1,255 Donations 1,250 1,700 480 (1,220) Miscellaneous Income 5,068,000 3,838,500 774,327 (3,064,173) Total Other Revenues 5,093,550 3,864,500 794,468 (3,070,032) Total Revenues $ 17,817,220 15,563,490 12,235,653 (3,327,837) l 67 UNITED CITY OF YORKVILLE, ILLINOIS Schedule of Expenditures - Budget and Actual General Fund For the Year Ended April 30, 2008 Variance from Original Final Budget Budget Budget Actual Over (Under) k -feral Government Administration Salaries - Mayor $ 11,310 -11,310 9,960 (1,350) Salaries - City Clerk 6,410 8,600 8,525 (75) Salaries - City Treasurer 6,410 6,410 5,770 (640) Salaries - Alderman 40,880 40,880 38,925 (1,955) Salaries - Liquor Commissioner 1,000 1,000 1,000 Salaries - City Attorney 9,500 310 310 Salaries - Administrative 462,358 522,421 519,417 (3,004) Salaries - Part Time 22,500 7,500 9,095 1,595 Salaries - Overtime 750 750 387 (363) Legal Services 85,000 180,000 311,369 131,369 Codification 5,000 5,000 3,342 (1,658) Building Inspections 1,125,000 950,000 721,278 (228,722) Contractual Services 27,500 50,000 59,171 9,171 Special Census 300,000 (300,000) Cable Consortium Fee 35,000 38,000 66,562 28,562 Office Cleaning 7,500 7,500 7,599 99 Maintenance - Office Equipment 500 500 (500) Wearing Apparel 235 235 Facade Program 15,000 17,500 16,100 (1,400) Telephone 15,000 15,000 20,140 5,140 Cellular Telephone 1,920 2,500 3,501 1,001 Telephone Systems Maintenance 7,500 10,000 7,199 (2,801) Beaver St. Grant Expense 272,460 272,460 Dues 5,510 5,900 9,523 3,623 Illinois Municipal League Dues 800 800 918 118 Subscriptions 500 500 263 (237) Training and Conferences 19,500 6,000 6,414 414 Travel Expenses 7,500 24,000 24,630 630 Promotional/Marketing 12,000 12,000 12,511 511 Sponsorships 1,500 1,500 (1,500) YMCA Partnerships 1,500 1,500 1,500 Contingencies 146,500 146,500 67,813 (78,687) Office Supplies 8,500 10,000 12,882 2,882 Operating Supplies 5,000 6,250 8,742 2,492 Postage and Shipping 21,925 21,925 16,971 (4,954) Printing and Copying 11,000 11,000 20,609 9,609 Publishing and Advertising 5,000 5,000 1,959 (3,041) IMRF Participants 39,756 39,756 40,634 878 Social Security and Medicare 39,965 39,965 45,185 5,220 Computer Equipment and Software 2,000 3,500 2,020 (1,480) I (Cont.) 68 II UNITED CITY OF YORKVILLE, ILLINOIS Schedule of Expenditures - Budget and Actual (Cont.) General Fund For the Year Ended April 30, 2008 Variance from Original Final Budget Budget Budget Actual Over (Under) General Government (Cont.) i Administration (Cont.) Office Equipment 2,500 2,500 540 (1,960) Gas 30,000 30,000 33,391 3,391 Miscellaneous 250 2 2 Appreciation Dinner 10,000 Volunteer Appreciation Day 2,000 2,000 2,235 235 Website 2,500 1,250 232 (1,018) Community Events 45,200 35,200 20,802 (14,398) Tennis Court Refurbishing 40,000 46,000 45,823 (177) Salary Survey 60,063 Holiday Under the Stars 14,096 14,096 Total Administration 2,407,007 2,628,227 2,472,040 (156,187) Finance Salaries - Finance 306,327 328,883 325,803 (3,080) Salaries - Part Time 5,000 5,000 3,546 (1,454) Salaries - Overtime 750 750 (750) Benefits - Unemployment Comp. Tax 24,000 24,000 17,466 (6,534) Benefits - Health Insurance 850,000 850,000 925,178 75,178 Benefits - Group Life Insurance 75,000 32,000 30,707 (1,293) Benefits - Dental/Vision Asst 27,218 75,000 91,374 16,374 Audit Fees and Expenses 32,000 32,000 32,000 Employee Assistance 4,500 4,500 3,000 (1,500) Insurance - Liability and Property 163,422 163,422 266,737 103,315 Contractual Services 10,000 13,847 3,84 Maintenance - Office Equipment 500 500 (500 - Maintenance - Computers 2,000 2,000 125 (1,875) _ Maintenance - Photocopiers 22,750 24,000 21,612 (2,388) Accounting System Service Fee 9,200 12,200 12,972 772 Cellular Telephone 720 800 978 178 Dues 80 80 Subscriptions/Books 100 100 128 28 Training & Conferences 3,125 4,500 3,777 (723) Travel/Meals/Lodging 4,000 4,000 2,460 (1,540) Office Supplies 8,500 7,500 7,207 (293) Operating Supplies 5,000 8,000 8,056 56 Marketing - Hotel Tax 20,000 20,000 18,632 (1,368) IMRF Participants 28,642 28,642 24,986 (3,656) Social Security & Medicare 28,793 28,793 26,353 (2,440) Computer Equipment & Software 30,000 30,000 27,402 (2,598) Office Equipment 2,500 750 1,000 250 (Cont.) 69 UNITED CITY OF YORKVILLE, ILLINOIS - Schedule of Expenditures - Budget and Actual (Cont.) General Fund For the Year Ended April 30, 2008 Variance from Original Final Budget Budget Budget Actual Over (Under) eral Government (Cont.) Finance (Cont.) City Tax Rebate 750 750 (750) Sales Tax Rebate 725,000 625,000 376,045 (248,955) Salary Survey 67,051 Amusement Tax Rebate 74,250 Bad Debt 508,438 508,438 Total Finance 2,521,098 2,323,090 2,749,909 426,819 Engineering Salaries - Employees 332,757 359,959 353,766 (6,193) Salaries - Overtime 1,000 1,000 1,388 388 Contractual Services 47,500 (3,372) (3,372) Fees 2,000 2,000 1,062 (938) Maintenance - Vehicles 2,000 2,000 792 (1,208) Maintenance - Office Equip 1,000 1,000 347 (653) Maintenance - Computers 2,000 2,000 7 (1,993) Wearing Apparel 1,400 1,400 1,060 (340) Cellular Telephone 2,520 2,520 3,542 1,022 Dues 600 600 235 (365) Training and Conferences 4,000 4,000 82 (3,918) Travel Expense 1,000 1,000 880 (120) Tuition Reimbursement 2,580 2,580 (2,580) Books and Publications 200 200 (200) Engineering Supplies 3,000 3,000 1,497 (1,503) Office Supplies 2,500 2,500 1,181 (1,319) Printing and Copying 2,250 2,250 1,629 (621) IMRF Participants 27,393 27,393 27,244 (149) Social Security and Medicare 27,537 27,537 26,759 (778) Computer Equipment and Software 20,500 10,500 9,887 (613) Office Equipment 2,500 2,500 2,521 21 Salary Survey 27,202 Total Village Hall and Grounds 513,439 455,939 430,507 (25,432) Total General Government 5,441,544 5,407,256 5,652,456 245,200 (Cont.) 70 UNITED CITY OF YORKVILLE, ILLINOIS Schedule of Expenditures - Budget and Actual (Cont.) General Fund `. For the Year Ended April 30, 2008 Variance from Original Final Budget Budget Budget Actual Over (Under) Public Safety t Police Department Salaries - Employees 1,281,579, 1,315,000 1,209,876 (105,124) Salaries - Lieutenant/Sergeant 555,341 660,000 659,733 (267) Salaries - Crossing Guard 22,425 22,425 21,167 (1,258) Salaries - Police Clerks 111,269 180,000 168,213 (11,787) Salaries - Part Time 36,750 36,750 20,933 (15,817) Salaries - Overtime 80,000 80,000 61,862 (18,138) Cadet Program 33,000 33,000 29,640 (3,360) Legal Services 20,000 10,000 3,994 (6,006) Maintenance - Equipment 11,000 11,000 11,000 Maintenance - Vehicles 35,000 35,000 41,818 6,818 Maintenance - Office Equipment 4,500 4,500 4,500 Maintenance - Computers 10,000 10,000 9,971 (29) Maintenance - K -9 2,000 2,000 567 (1,433) Weather Warning Siren Maintenance 6,600 6,600 5,946 (654) Wearing Apparel 30,000 30,000 26,191 (3,809) Cops Grant -Vests 6,000 6,000 5,144 (856) Psychological Testing 3,500 4,000 2,620 (1,380) Health Services 3,500 4,000 4,658 658 Telephone 23,000 23,000 17,558 (5,442) Cellular Telephone 17,500 17,500 16,819 (681) MTD - Alerts Fee 10,562 10,562 5,534 (5,028) Dues 4,000 4,000 3,725 (275) Subscriptions 500 500 93 (407) Training and Conference 33,025 33,025 26,334 (6,691 Travel Expenses 12,075 12,075 14,548 2,473`= Community Relations 10,000 10,000 10,000 Police Commission 22,050 22,050 15,727 (6,323) Tuition Reimbursement 14,000 14,000 6,866 (7,134) Police Recruit Academy 20,000 20,000 13,795 (6,205) Gun Range Fees 1,000 1,000 500 (500) Special Response Team Fee 4,025 4,025 3,722 (303) Neighborhood Watch 1,200 1,200 328 (872) Citizens Police Academy 2,420 2,420 2,406 (14) Chaplain Program 1,400 1,400 36 (1,364) Compliance Checks 500 500 497 (3) Dare Program 5,000 5,000 4,765 (235) Office Supplies 10,000 10,000 8,879 (1,121) Evidence Tech Supplies 5,000 5,000 1,116 (3,884) Operating Supplies 19,320 19,320 13,162 (6,158) Postage and Shipping 5,000 5,000 3,186 (1,814) (Cont.) 71 UNITED CITY OF YORKVILLE, ILLINOIS Schedule of Expenditures - Budget and Actual (Cont.) General Fund For the Year Ended April 30, 2008 Variance from Original Final Budget Budget Budget Actual Over (Under) .ic Safety (Cont.) Police Department (Cont.) Printing and Copying 6,000 6,000 5,331 (669) Publishing and Advertising 2,000 2,000 1,537 (463) Gasoline 75,000 75,000 80,359 5,359 Ammunition 6,000 6,000 6,482 482 IMRF Participants 11,800 16,000 15,601 (399) Social Security and Medicare 140,750 165,500 165,051 (449) Police Pension 275,000 275,000 275,144 144 Computer Equipment and Software 7,500 7,500 7,500 Bike Patrol 2,500 2,500 744 (1,756) Salary Survey 215,041 Total Police Department 3,215,632 3,227,352 3,015,178 (212,174) Total Public Safety 3,215,632 3,227,352 3,015,178 (212,174) Community Development Building and Zoning Employee Salaries 314,498 305,000 301,857 (3,143) Legal Services 20,000 20,000 17,435 (2,565) Contractual Services 37,500 54,315 89,492 35,177 Planning Consultant 50,000 Economic Development 45,000 45,000 45,000 Cellular Telephone 1,000 1,000 978 (22) Dues 1,500 1,500 1,397 (103) Training and Conferences 7,500 7,500 7,352 (148) Travel Expense 2,500 2,500 1,376 (1,124) Operating Supplies 7,500 7,500 6,873 (627) _ Printing and Copying 2,000 2,000 815 (1,185) Publishing and Advertising 8,000 2,000 972 (1,028) Books and Maps 4,000 2,000 456 (1,544) IMRF Participants 24,563 24,563 23,171 (1,392) Social Security and Medicare 24,693 24,693 23,049 (1,644) Computer Equipment and Software 10,000 10,000 9,994 (6) Office Equipment 5,000 5,000 11,432 6,432 Salary Survey 8,281 Grant Matching Contribution 10,200 (10,200) Total Building and Zoning 573,535 524,771 541,649 16,878 Total Community Development 573,535 524,771 541,649 16,878 (Cont.) 72 UNITED CITY OF YORKVILLE, ILLINOIS Schedule of Expenditures - Budget and Actual (Cont.) General Fund I For the Year Ended April 30, 2008 Variance from Original Final Budget Budget Budget Actual Over (Under) Public Works Streets and Alleys Salaries - Employee 272,722 280,000 271,449 (8,551) Salaries - Part Time 9,600 5,500 4,475 (1,025) Salaries - Overtime 20,000 20,000 32,012 12,012 Engineering 250,000 250,000 180,651 (69,349) Inspections and Licenses 400 400 752 352 Contractual Services 2,000 2,000 1,370 (630) Maintenance - Equipment 8,000 8,000 15,214 7,214 Maintenance - Vehicles 15,000 15,000 11,933 (3,067) Maintenance - Traffic Signals 18,000 18,000 14,794 (3,206) Maintenance - Street Lights 26,500 26,500 25,408 (1,092) Maintenance - Storm Sewer 10,000 10,000 9,508 (492) Wearing Apparel 6,150 6,150 4,676 (1,474) Raymond Retention Base 75,000 75,000 1,390 (73,610) Raymond Storm Sewer 1,300,000 529,913 530,371 458 Rental - Equipment 2,000 2,000 353 (1,647) Electricity 74,400 74,400 100,847 26,447 Cellular Telephone 4,000 4,000 3,630 (370) Street Lighting 6,000 6,000 2,295 (3,705) Training and Conferences 7,525 7,525 4,395 (3,130) Operating Supplies 30,000 15,000 10,938 (4,062) Gasoline 30,250 30,250 41,627 11,377 Hand Tools 2,500 2,500 786 (1,714) Gravel 2,500 2,500 2,147 (353) IMRF Participants 21,238 21,238 23,282 2,04' Social Security and Medicare 21,349 21,349 23,468 2,119 Hanging Baskets 2,000 2,000 1,800 (200) Mosquito Control 30,000 30,000 28,414 (1,586) Safety Equipment 1,000 1,000 969 (31) Bristol Ridge Road 1,000,000 750,000 3,372 (746,628) In Town Road Program 2,500,000 2,500,000 2,036,590 (463,410) Tree and Stump Removal 23,000 23,000 13,150 (9,850) Sidewalk Construction 2,500 2,500 1,473 (1,027) Fox Hill SSA Expenses 18,000 18,000 26,434 8,434 Fox Road Sidewalk 25,000 25,000 (25,000) Road Contribution Fund Projects 180,000 126/71 Improvements 19,000 19,000 (19,000) Asphalt Pavement 27,573 Salary Survey 6,353 Total Streets and Alleys 6,049,560 4,803,725 3,429,973 (1,373,752) (Cont.) 73 UNITED CITY OF YORKVILLE, ILLINOIS Schedule of Expenditures - Budget and Actual (Cont.) General Fund For the Year Ended April 30, 2008 Variance from Original Final Budget Budget Budget Actual Over (Under) tic Works (Cont.) Health and Sanitation Garbage Services 1,031,400 1,000,000 1,038,809 38,809 Leaf Pickup 6,000 6,000 5,040 (960) Total Health and Sanitation 1,037,400 1,006,000 1,043,849 37,849 Total Public Works 7,086,960 5,809,725 4,473,822 (1,335,903) Total Expenditures $ 16,317,671 14,969,104 13,683,105 (1,285,999) 74 I I l I I I NONMAJOR GOVERNMENTAL FUNDS i I 'I UNITED CITY OF YORKVILLE, ILLINOIS Combining Balance Sheet Nonmajor Governmental Funds April 30, 2008 (See Following Page) I I I UNITED CITY OF YORKVILLE, ILLINOIS Combining Balance Sheet Nonmajor Governmental Funds -! April 30, 2008 Special Revenue Parks and Motor Police Public Works Recreation Fuel Equipment Equipment Equipment Land _ Tax Capital Capital Capital Cash Fund Fund Fund Fund Fund ASSETS Assets - Cash and Equivalents $ 387,105 209,016 551,415 57,875 Receivables: Intergovernmental Receivables 25,081 269,670 Interfund Receivables Other Assets Total Assets $ 412,186 209,016 551,415 57,875 269,670 LIABILITIES AND FUND BALANCES Liabilities Accounts Payable $ 74,541 11,751 44,120 14,500 33,473 Accrued Payroll Deferred Revenue Interfund Payables 1,157 509,019 Total Liabilities 75,698 11,751 44,120 14,500 542,492 Fund Balances - Unreserved Reserved for Capital Purposes 197,265 507,295 43,375 Unreserved Special Revenue Funds 336,488 (272,822) Debt Service Fund Capital Projects Fund Total Fund Balances 336,488 197,265 507,295 43,375 (272,82 1, Total Liabilities and Fund Balances $ 412,186 209,016 551,415 57,875 269,670 75 i Capital Special Revenue Projects Total Total Parks & Fox Countryside Downtown Nonmajor Municipal Nonmajor Recreation Industrial TIF TIF Special Debt Building Governmental `,Fund Fund Fund Fund Revenue Funds Service Fund Fund Funds 70,011 183,227 2,884,769 28,723 4,372,141 140,592 4,512,733 294,751 294,751 3,620 3,620 9,686 9,686 9,686 7907 183,227 2,884,769 28,723 4,676,578 144,212 - 4,820,790 56,724 603 351 236,063 586 236,649 12,581 12,581 12,581 40,317 40,317 40,317 2,000 1,557 513,733 381,471 513,938 1,409,142 111,622 2,160 351 802,694 381,471 514,524 1,698,689 2,882,609 3,630,544 3,630,544 (31,925) 183,227 28,372 243,340 243,340 (237,259) (237,259) (514,524) (514,524) (31,925) 183,227 2,882,609 28,372 3,873,884 (237,259) (514,524) 3,122,101 79,697 183,227 2,884,769 28,723 4,676,578 144,212 - 4,820,790 76 UNITED CITY OF YORKVILLE, ILLINOIS Combining Statement of Revenues, Expenditures, and Changes in Fund Balances Nonmajor Governmental Funds I For the Year Ended April 30, 2008 Special Revenue Parks and Motor Police Public Works Recreation Fuel Equipment Equipment Equipment Land Land Tax Capital Capital Capital Cash Acquisition Fund Fund Fund Fund Fund Fund _ Revenues Property Taxes $ Motor Fuel Tax 328,650 Licenses, Permits and Fees 101,100 239,900 18,800 60,313 Investment Income 22,600 Contributions 4,295 Grants 397,670 Other Revenue 42,818 Total Revenues 394,068 105,395 239,900 18,800 457,983 Expenditures Current Culture and Recreation 511,767 1,000 Community Development Total Current Expenditures - - - - 511,767 1,000 Capital Outlays 536,874 262,904 282,765 138,128 51,153 Debt Service Principal Interest and Fees Total Debt Service - - - Total Expenditures 536,874 262,904 282,765 138,128 511,767 52,153 Excess (Deficiency) of Revenues over Expenditures (142,806) (157,509) (42,865) (119,328) (53,784) (52,151 j t , Other Financing Sources (Uses) Sale of Capital Assets 400 72,316 14,000 Transfers In 125,000 42,500 48,245 2,153 Transfers Out (42,500) (16,000) Total Other Financing Sources (Uses) - 125,400 29,816 56,500 32,245 2,153 Net Change in Fund Balances (142,806) (32,109) (13,049) (62,828) (21,539) (50,000) Fund Balance at Beginning of Year 479,294 229,374 520,344 106,203 (251,283) 50,000 Fund Balance at End of Year $ 336,488 197,265 507,295 43,375 (272,822) 77 i Capital Special Revenue Projects Total Total Parks & Fox Countryside Downtown Nonmajor Municipal Nonmajor Recreation Industrial TIF TIF Special Debt Building Governmental Fund Fund Fund Fund Revenue Funds Service Fund Fund Funds i 169,251 7,954 34,760 211,965 211,965 328,650 328,650 297,744 717,857 64,650 782,507 7,133 4,707 103,312 137,752 137,752 18,223 22,518 25,000 47,518 2,000 399,670 399,670 146,996 189,814 189,814 472,096 173,958 111,266 34,760 2,008,226 89,650 2,097,876 1,718,786 2,231,553 2,231,553 269 4,914 6,388 11,571 11,571 1,718,786 269 4,914 6,388 2,243,124 - 2,243,124 I I 1,271,824 43,145 1,314,969 I 60,000 60,000 285,000 345,000 18,015 142,868 160,883 185,999 346,882 - 78,015 142,868 - 220,883 470,999 - 691,882 1,718,786 78,284 147,782 6,388 3,735,831 470,999 43,145 4,249,975 (1,246,690) 95,674 (36,516) 28,372 (1,727,605) (470,999) 46,505 (2,152,099) 86,716 86,716 1,161,778 1,379,676 334,307 1,713,983 (2,153) (60,653) (284,923) (345,576) 1,159,625 - - - 1,405,739 334,307 (284,923) 1,455,123 (87,065) 95,674 (36,516) 28,372 (321,866) (136,692) (238,418) (696,976) 55,140 87,553 2,919,125 4,195,750 (100,567) (276,106) 3,819,077 (31,925) 183,227 2,882,609 28,372 3,873,884 (237,259) (514,524) 3,122,101 78 SPECIAL REVENUE FUNDS I I UNITED CITY OF YORKVILLE, ILLINOIS Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual Motor Fuel Tax Fund For the Year Ended April 30, 2008 Variance from Final Budget Budget Actual Over (Under) Revenues Motor Fuel Tax $ 315,000 328,650 13,650 Investment Income 15,000 22,600 7,600 Other Revenue 157,000 42,818 (114,182) Total Revenues 487,000 394,068 (92,932) Expenditures Capital Outlay Streets and Alleys 677,000 536,874 (140,126) Net Change in Fund Balance (190,000) (142,806) 47,194 Fund Balance at Beginning of Year 479,294 479,294 Fund Balance at End of Year $ 289,294 336,488 47,194 i I 79 UNITED CITY OF YORKVILLE, ILLINOIS Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual Police Equipment Capital Fund For the Year Ended April 30, 2008 Variance from Final Budget Budget Actual Over (Under Revenues Licenses, Permits and Fees Police Development Fees $ 155,000 101,100 (53,900) Contributions 4,050 4,295 245 Other Revenue 7,500 (7,500) Total Revenues 166,550 105,395 (61,155) Expenditures Capital Outlay Police Equipment Lethal/Non- Lethal Weapons 8,000 4,811 (3,189) Equipment 20,000 30,026 10,026 K -9 Equipment 2,500 (2,500) Car Build Out 53,802 62,295 8,493 Vehicles 80,000 70,189 (9,811) Software 95,583 95,583 Total Expenditures 164,302 262,904 98,602 Excess (Deficiency) of Revenues over Expenditures 2,248 (157,509) (159,757) Other Financing Sources Sale of Capital Assets 400 400 - _ Transfers In 125,000 125,000 Total Other Financing Sources 125,400 125,400 - Net Change in Fund Balance 127,648 (32,109) (159,757) Fund Balance at Beginning of Year 229,374 229,374 Fund Balance at End of Year $ 357,022 197,265 (159,757) 80 UNITED CITY OF YORKVILLE, ILLINOIS Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual Public Works Equipment Capital Fund For the Year Ended April 30, 2008 Variance from Final Budget Budget Actual Over (Under) Revenues Licenses, Permits and Fees Development Fees $ 369,600 239,900 (129,700) Expenditures Capital Outlay Public Works Equipment Vehicles 313,316 268,429 (44,887) Skidsteer Upgrade 9,500 3,600 (5,900) Truck Accessories 14,000 5,587 (8,413) Facility Expansion 128,600 5,149 (123,451) Equipment 125,000 (125,000) Total Expenditures 590,416 282,765 (307,651) I Excess (Deficiency) of Revenues over Expenditures (220,816) (42,865) 177,951 Other Financing Sources (Uses) Sale of Capital Assets 63,316 72,316 9,000 Transfers Out (42,500) (42,500) Total Other Financing Sources (Uses) 20,816 29,816 (9,000) Change in Fund Balance (200,000) (13,049) 186,951 Fund Balance at Beginning of Year 520,344 520,344 Fund Balance at End of Year $ 320,344 507,295 186,951 81 UNITED CITY OF YORKVILLE, ILLINOIS Schedule of Revenues; Expenditures and Changes in Fund Balance - Budget and Actual Parks and Recreation Equipment Capital Fund For the Year Ended April 30, 2008 Variance from Final Budget 1 Budget Actual Over (Under' ) Revenues Licenses, Permits and Fees $ 18,000 18,800 800 Expenditures Capital Outlay Park Equipment Pick -Up Trucks 25,000 21,635 (3,365) Mower 66,000 59,975 (6,025) Computer Server 5,000 4,729 (271) Other 65,500 51,789 (13,711) Total Expenditures 161,500 138,128 (23,372) Excess (Deficiency) of Revenues over Expenditures (143,500) (119,328) 24,172 Other Financing Sources Sale of Capital Assets 16,000 14,000 (2,000) Transfers In 42,500 42,500 Total Other Financing Sources 58,500 56,500 (2,000) Net Change in Fund Balance (85,000) (62,828) 22,172 Fund Balance at Beginning of Year 106,203 106,203 ) _ Fund Balance at End of Year $ 21,203 43,375 22,172 I 82 UNITED CITY OF YORKVILLE, ILLINOIS Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual Land Cash Fund For the Year Ended April 30, 2008 Variance from Final Budget Budget Actual Over (Under) Revenues Licenses, Permits and Fees Autumn Creek $ 26,517 34,750 8,233 Blackberry Woods 4,545 5,682 1,137 Briarwood 113,043 (113,043) Country Hills 1,200 (1,200) Heartland Circle 20,000 (20,000) Hudson Lakes 10,000 (10,000) Kendallwood Estates 10,000 (10,000) Klyn's Crossing 1,570 (1,570) Prestwick 20,000 6,607 (13,393) River's Edge 2,684 (2,684) Sunflower 361 361 Whispering Meadows 14,100 11,842 (2,258) Woodworth 1,071 1,071 Total Licenses, Permits and Fees 224,020 60,313 (163,707) Grants OSLAD Grants Cannonball Ridge Park 128,000 128,000 Praire Meadows Park 400,000 127,207 (272,793) Whispering Meadows Park 362,000 142,463 (219,537) Total Grants 890,000 397,670 (492,330) Total Revenues 1,114,020 457,983 (656,037) Expenditures Current Culture and Recreation Grande Reserve Park 19,678 19,678 Prairie Meadows 150,000 231,450 81,450 Raintree Village 1,800 1,800 Whispering Meadows 350,000 215,865 (134,135) Hoover Holding Costs 379,282 (379,282) Mosier Holding Costs 15,700 42,974 27,274 Total Expenditures 894,982 511,767 (383,215) (Cont.) 83 UNITED CITY OF YORKVILLE, ILLINOIS Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual (Cont.) Land Cash Fund For the Year Ended April 30, 2008 Variance from Final Budget Budget Actual Over (Under' (Deficiency) of Revenues over Expenditures 219,038 (53,784) (272,822) Other Financing Sources (Uses) Transfers In 48,245 48,245 Transfers Out (16,000) (16,000) Total Other Financing Sources (Uses) 32,245 32,245 - Net Change in Fund Balance 251,283 (21,539) (272,822) Fund Balance at Beginning of Year (251,283) (251,283) Fund Balance at End of Year $ - (272,822) (272,822) l 84 UNITED CITY OF YORKVILLE, ILLINOIS Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual Land Acquisition Fund For the Year Ended April 30, 2008 Variance from _ Final Budget Budget Actual Over (Under) Expenditures Current Land Appraisals $ 1,000 1,000 Capital Outlay Land Acquisition 49,000 51,153 2,153 - Total Expenditures 50,000 52,153 2,153 Other Financing Sources Transfers In 2,153 (2,153) Net Change in Fund Balance (50,000) (50,000) - Fund Balance at Beginning of Year 50,000 50,000 Fund Balance at End of Year $ - - - 85 UNITED CITY OF YORKVILLE, ILLINOIS Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual Parks and Recreation Fund For the Year Ended April 30, 2008 Variance from Final Budget Budget Actual Over (Under) Revenues Licenses, Permits and Fees Fees for Programs $ 276,500 279,040 2,540 Concessions 18,000 18,704 704 Total Licenses, Permits and Fees 294,500 297,744 3,244 Investment Income 6,200 7,133 933 Contributions Donations 13,000 16,323 3,323 Tree Donations 1,300 1,900 600 Total Contributions 14,300 18,223 3,923 Grants Youth Services Grant 3,600 2,000 (1,600) Other Revenue Rental Income 1,815 3,215 1,400 Vending Machine Income 2,150 2,150 Golf Outing Revenue 30,694 30,694 Hometown Days Revenue 110,936 110,937 1 Total Other Revenue 145,595 146,996 1,401 Total Revenues 464,195 472,096 7,901 Expenditures Current Culture and Recreation Park Operations Salaries - Employees 427,000 428,388 1,388 Salaries - Part-Time 48,000 33,153 (14,847) Salaries - Overtime 7,000 3,593 (3,407) Master Plan/Community Survey 10,500 10,772 272 Park Contractual 21,500 20,400 (1,100) Maintenance - Equipment 8,000 6,254 (1,746) Maintenance - Parks 50,000 47,568 (2,432) Wearing Apparel 7,000 6,992 (8) Rental Equipment 3,000 2,783 (217) Cellular Telephone 4,000 4,259 259 (Cont.) 86 UNITED CITY OF YORKVILLE, ILLINOIS Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual (Cont.) Parks and Recreation Fund For the Year Ended April 30, 2008 Variance from Final Budget Budget Actual Over (Under) Expenditures (Cont.) Current (Cont.) Culture and Recreation (Cont.) Park Operations (Cont.) Land Developer 8,550.00 7,556 (994) Legal 3,000 14,385 11,385 Training and Conferences 8,000 11,082 3,082 Travel Expenses 3,000 3,109 109 Office Supplies 1,500 1,094 (406) Operating Supplies 30,000 29,646 (354) Hand Tools 3,500 3,450 (50) Christmas Decorations 5,000 3,250 (1,750) Public Decoration 3,000 1,730 (1,270) IMRF Participants 32,500 33,486 986 Social Security/Medicare 37,750 35,845 (1,905) Office Equipment 2,500 565 (1,935) Flowers/Trees 7,000 7,108 108 Total Park Operations 731,300 716,468 (14,832) Recreation Operations Salaries - Employee 393,000 409,665 16,665 Salaries - Concession 6,750 7,905 1,155 Salaries - Pre - School 83,000 73,453 (9,547) Salaries - Overtime 15 15 Salaries - Instructor Contractual 57,400 105,573 48,173 - Salaries - Recording Secretary 2,500 3,169 669 Maintenance Supplies 5,000 4,205 (795) Maintenance - Vehicles 2,500 1,334 (1,166) Maintenance - Office Equipment 6,000 4,294 (1,706) Youth Services Grant Expenses 2,000 2,100 100 Electricity 8,820 8,900 80 Telephone /Internet 1,300 1,328 28 Cellular Telephone 5,000 5,599 599 Portable Toilets 7,000 8,743 1,743 Publishing/Advertising 27,920 28,052 132 Books/Publications 500 321 (179) Beecher Deposit Refund 1,500 (1,500) Dues 2,500 3,552 1,052 (Cont.) 87 UNITED CITY OF YORKVILLE, ILLINOIS Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual (Cont.) Parks and Recreation Fund For the Year Ended April 30, 2008 Variance from Final Budget Budget Actual Over (Under), Expenditures (Cont.) Current (Cont.) - r Culture and Recreation (Cont.) Recreation Operations (Cont.) Professional Growth/Subscriptions Training and Conferences 10,200 5,281 (4,919) Travel Expenses 5,220 1,390 (3,830) Office Supplies 6,000 6,612 612 Program Supplies 50,100 64,351 14,251 Operating Supplies 3,800 3,407 (393) Recreation Equipment 6,000 6,424 424 Postage and Shipping 7,600 11,086 3,486 Gasoline 4,200 4,521 321 Mileage 200 370 170 Golf Outing Expenses 18,780 18,779 (1) Concessions 17,650 25,142 7,492 Hometown Days Expenses 95,686 98,780 3,094 Scholarships 1,800 512 (1,288) Program Refund 8,000 8,842 842 IMRF Participants 36,346 31,891 (4,455) Social Security/Medicare 36,537 39,543 3,006 Computer Equipment & Software 2,025 1,807 (218) Contingencies 14,364 5,372 (8,992,` Total Recreation 937,213 1,002,318 65,16.1 Total Expenditures 1,668,513 1,718,786 50,273 Excess (Deficiency) of Revenues over Expenditures (1,204,318) (1,246,690) (42,372) Other Financing Sources (Uses) Transfers In 1,161,778 1,161,778 Transfers Out (2,153) (2,153) Total Other Financing Sources (Uses) 1,161,778 1,159,625 2,153 Net Change in Fund Balance (42,540) (87,065) (44,525) Fund Balance at Beginning of Year 55,140 55,140 Fund Balance at End of Year $ 12,600 (31,925) (44,525) 88 UNITED CITY OF YORKVILLE, ILLINOIS Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual Fox Industrial Fund For the Year Ended April 30, 2008 Variance from Final Budget Budget Actual Over (Under) Revenues Property Taxes $ 146,600 169,251 22,651 Investment Income 3,500 4,707 1,207 Total Revenues 150,100 173,958 23,858 Expenditures Current Community Development Administration Fees 375 269 (106) Debt Service Principal 60,000 60,000 Interest 18,015 18,015 Total Debt Service 78,015 78,015 - Total Expenditures 78,390 78,284 (106) Net Change in Fund Balance 71,710 95,674 23,964 Fund Balance at Beginning of Year 87,553 87,553 d Balance at End of Year $ 159,263 183,227 23,964 I 89 UNITED CITY OF YORKVILLE, ILLINOIS Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual Countryside TIF Fund For the Year Ended April 30, 2008 Various from Final Budget Budget Actual Over (Under): Revenues Property Taxes $ 3,965 7,954 3,989 Investment Income 75,000 103,312 28,312 Total Revenues 78,965 111,266 32,301 Expenditures Current Community Development Administrative Fees 2,500 4,914 2,414 Debt Service Interest 142,868 142,868 Total Expenditures 145,368 147,782 2,414 Net Change in Fund Balance (66,403) (36,516) 29,887 Fund Balance at Beginning of Year 2,919,125 2,919,125 I Fund Balance at End of Year $ 2,852,722 2,882,609 29,887 I 90 UNITED CITY OF YORKVILLE, ILLINOIS Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual Downtown TIF Fund For the Year Ended April 30, 2008 Various from Final Budget Budget Actual Over (Under) Revenues Property Taxes $ 26,059 34,760 8,701 i Expenditures Current Community Development Administrative Fees 10,000 6,388 (3,612) Net Change in Fund Balance 16,059 28,372 12,313 Fund Balance at Beginning of Year Fund Balance at End of Year $ 16,059 28,372 12,313 91 DEBT SEVICE FUND i = I I i I i I UNITED CITY OF YORKVILLE, ILLINOIS Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual Debt Service Fund For the Year Ended April 30, 2008 Variance from Final Budget Budget Actual Over (Under) Revenues Other Revenue $ 44,500 (44,500) Expenditures Debt Services Principal 285,000 285,000 Interest 185 185,999 Total Expenditures 470,999 470,999 - Excess (Deficiency) of Revenues over Expenditures (426,499) (470,999) (44,500) Other Financing Sources Transfers In 334,307 334,307 Net Change in Fund Balance (92,192) (136,692) (44,500) Fund Balance at Beginning of Year (100,567) (100,567) Fund Balance at End of Year $ (192,759) (237,259) (44,500) �I 92 t.l. I I CAPITAL PROJECTS FUND UNITED CITY OF YORKVILLE, ILLINOIS Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual Municipal Building Fund For the Year Ended April 30, 2008 Variance from Final Budget Budget Actual Over (Under) Revenues Licenses, Permits and Fees $ 305,705 64,650 (241,055) Donations 25,000 25,000 Total Revenues 305,705 89,650 (216,055) I Expenditures Capital Outlays 20,782 43,145 22,363 Excess of Revenues over Expenditures 284,923 46,505 (238,418) Other Financing Uses Transfers Out (284,923) (284,923) Net Change in Fund Balance - (238,418) (238,418) Fund Balance at Beginning of Year (276,106) (276,106) Fund Balance at End of Year $ (276,106) (514,524) (238,418) 93 .I I PROPRIETARY FUND TYPES I UNITED CITY OF YORKVILLE, ILLINOIS Schedule of Revenues, Expenses and Changes in Net Assets - Budget and Actual Sewer Operation and Improvement Fund For the Year Ended April 30, 2008 Variance from Final Budget Budget Actual Over (Under) Operating Revenues Charges for Services $ 6,686,745 855,334 (5,831,411) Operating Expenses Operations 376,205 302,823 (73,382) Improvements 5,745,034 8,792 (5,736,242) Depreciation 69,044 69,044 Total Operating Expenses 6,121,239 380,659 (5,740,580) Operating Income 565,506 474,675 (90,831) Nonoperating Revenues (Expenses) Connection Fees 874,525 732,375 (142,150) Recapture Fees 14,200 14,200 Investment Income 65,000 114,227 49,227 Amortization Expense (31,138) (31,138) Interest Expense (712,506) (766,127) (53,621) Total Nonoperating Revenues (Expenses) 227,019 63,537 (163,482) Income before Transfers 792,525 538,212 (254,313) Other Financing Sources (Uses) 'ontributions - Capital Assets 434,351 434,351 Transfers In 150,000 -150,000 Transfers Out (220,578) (220,578) Total Other Financing Sources (Uses) (70,578) 363,773 434,351 Change in Net Assets 721,947 901,985 180,038 Net Assets at Beginning of Year, As Restated 3,050,433 3,050,433 Net Assets at End of Year $ 3,772,380 3,952,418 180,038 94 UNITED CITY OF YORKVILLE, ILLINOIS Schedule of Revenues, Expenses and Changes in Net Assets - Budget and Actual Water Operation and Improvement Fund For the Year Ended April 30, 2008 Variance from Final Budget Budget Actual Over (Under) Operating Revenues Charges for Services $ 1,641,000 1,920,029 279,029 Operating Expenses Operations 1,426,000 1,409,327 (16,673) Improvements 3,059,855 379,354 (2,680,501) Depreciation 715,877 715,877 Total Expenses 4,485,855 2,504,558 (1,981,297) Operating Income (Loss) (2,844,855) (584,529) 2,260,326 Nonoperating Revenues (Expenses) Connection Fees 1,062,000 938,120 (123,880) Recapture Fees 14,200 14,200 Investment Income 65,000 115,985 50,985 Other Revenue 2,096,000 96,000 (2,000,000) Amortization Expense (92,869) (92,869) Interest Expense (428,058) (439,546) (11,488) Total Nonoperating Revenues (Expenses) 2,794,942 631,890 (2,163,052) Income (Loss) Before Transfers and Contributions (49,913) 47,361 97,274 Other Financing Sources (Uses) Contributions - Capital Assets 1,461,096 1,461,096 Transfers In 200,000 200,000 Transfers Out (450,000) (669,947) (219,947) Total Other Financing Sources (Uses) (250,000) 991,149 1,241,149 Change in Net Assets (299,913) 1,038,510 1,338,423 Net Assets at Beginning of Year, As Restated 16,007,096 16,007,096 Net Assets at End of Year $ 15,707,183 17,045,606 1,338,423 a 95 STATISTICAL SECTION UNITED CITY OF YORKVILLE, ILLINOIS Schedule of Assessed Valuations, Tax Rates, Tax Extensions and Tax Collections April 30, 2008 (See Following Page) i UNTIED CITY OF YORKVILLE, ILLINOIS Schedule of Assessed Valuations, Tax Rates, Tax Extensions and Tax Collections April 30, 2008 Tax Levy Years 2007 2006 2005 2004 Assessed Valuations Farm $ 2,643,309 2,384,569 1,672,887 961,55. J Real Estate Lots 506,977,372 396,432,749 303,902,600 237,377,538 Railroads 17,328 17,328 17,425 17,382 $509,638,009 398,834,646 305,592,912 238,356,477 Tax Rates General Fund General Corporate 0.0864 0.0142 0.0120 0.0239 Garbage 0.0524 0.1220 0.1332 Police Protection 0.0699 0.0788 0.0750 0.0750 Crossing Guard 0.0047 0.0065 0.0062 0.0042 Illinois Municipal Retirement Fund and Social Security 0.1555 0.1809 0.1047 0.1865 Liability Insurance 0.0350 0.0404 0.0390 0.0525 Audit 0.0064 0.0081 0.0077 0.0062 Unemployment Tax 0.0059 0.0044 0.0033 0.0038 Police Pension 0.0526 0.0690 0.0819 0.0973 0.4164 0.4547 0.4518 0.5826 Library Fund - Operating 0.1292 0.1500 0.1500 0.1500 Library Fund - Bond and Interest Fund 0.0918 0.2197 0.6374 0.8244 0.6018 0.7326 Tax Extensions (. General Fund $ 2,122,133 1,813,501 1,569,528 1,388,669 Library Fund 658,430 598,226 458,390 357,535 Library Fund - Bond and Interest Fund 467,832 876,202 $ 3,248,395 3,287,929 2,027,918 1,746,204 Tax Collections - All Funds Collected to April 30, 2008 (Cash Basis) $ 3,286,237 2,023,203 1,845,264 Percentage of Extensions Collected 99.95% 98.80% 105.67% 96 I Tax Levy Years 2003 2002 2001 2000 1999 1998 1,128,633 700,520 815,985 768,854 692,281 636,937 200,663,326 164,461,506 134,511,183 116,881,878 109,711,442 104,124,981 18,084 12,718 10,966 12,995 8,345 6,702 201,810,043 165,174,744 135,33 8,134 117,663,727 110,412,068 104,768,620 0.1012 0.1990 0.2205 0.3155 0.2893 0.2964 0.1228 0.1151 0.1211 0.1411 0.1504 0.1498 0.0750 0.0713 0.0750 0.0750 0.0748 0.0742 0.0047 0.0034 0.0035 0.0036 0.0037 0.0045 0.1612 0.1462 0.1451 0.1961 0.2208 0.2195 0.0562 0.0613 0.0520 0.0551 0.0662 0.0514 0.0098 0.0113 0.0119 0.0128 0.0150 0.0158 0.0058 0.0089 0.0093 0.0115 0.0118 0.0125 0.1028 0.1083 0.1302 0.6395 0.7248 0.7686 0.8107 0.8320 0.8241 0.1500 0.1426 0.1600 0.1606 0.1497 0.1565 0.7895 0.8674 0.9286 0.9713 0.9817 0.9806 1,287,453 1,194,170 1,039,162 953,902 918,630 864,401 301,915 234,944 216,323 188,967 165,287 162,962 1,589,368 1,429,114 1,255,485 1,142,869 1,083,917 1,027,363 1,677,772 1,424,544 1,251,975 1,144,706 1,087,444 1,021,520 105.56% 99.68% 99.72% 100.16% 100.33% 99.43% 97 Meghan Gehr From: Travis Miller Sent: Friday, January 23, 2009 2:48 PM To: Meghan Gehr Subject: FW: Request to table our variance request From: randyburg @att.net [mailto:randyburg @att.net] Sent: Friday, January 23, 2009 2:44 PM To: Travis Miller Subject: Request to table our variance request Dear Mayor Burd and City Council members, We would appreciate it if you would table our request for a sign variance which is scheduled for the next City Council Meeting on 1/27/09. If possible, we would like to be on the agenda for 2/24/09. Thank you for your consideration. Sincerely, Randall Burggraf (responding for business owners at 620 -624 Veterans Pkwy- Pearle Vison, Amici's , Jimmy Johns, and Legends). I I I �I I 1