North Cook News

Village of Northbrook Committee of the Whole met Oct. 22

Here is the agenda provided by the committee:

1. ROLL CALL

Attendee Name Title Status

Kathryn Ciesla Village President Present

Robert Israel Trustee Present

Heather Ross Trustee Absent

Daniel Pepoon Trustee Present

Johannah Hebl Trustee Present

Joy Ebhomielen Trustee Present

Michelle Kohler Trustee Present

Also Present: Village Manager Cara Pavlicek

Deputy Village Manager Jim Hawkins

Assistant to the Village Manager Sam Reiss

CFO Steve Drazner

Deputy CFO Anita Bozic

Fire Chief Schweihs

Interim Police Chief Ustich

Public Works Director Kelly Hamill

CIO Lori Baker

Interim DPS Director Amy McEwan

Deputy Director DPS Michaela Kohlstedt

Director of Human Resources Sarah Bagley

Village Attorney Steve Elrod

2. MINUTES APPROVAL

A. October 8, 2024 Committee of the Whole Minutes for Approval

RESULT: APPROVED [5 –0]

MOVER: Johannah Hebl, Trustee

SECONDER: Joy Ebhomielen, Trustee

AYES: Israel, Hebl, Pepoon, Ebhomielen, Kohler

NAYES: None

ABSTAIN: Kathryn Ciesla, President

ABSENT: Heather Ross, Trustee

3. DISCUSSION TOPICS

A. Presentation of Annual Comprehensive Financial Report, Board Communication

A. First Quarter, Fiscal Year 2025 Presentation of Financial Review, Economic Indicators, Financial Summary, Schedule of Investments, and Overtime Ended April 30, 2024

CFO Drazner began with a Q1/FY2025 financial review for the first three months of the current year.

The General Fund, Original, and Amended Budget are the same. As of 7/31/2024, the revenue side is $18 million versus a $62 million budget. A slide showed the percentages of revenue categories the Village has collected so far. The distribution side of the budget is not even throughout the year, so the numbers are different. The number for property taxes is 49%.

Licenses, fees and permits are shifted and will level out over the year. Revenues are good.

Expenses are at 25%. This number is a little under due to some vacancies and timing delays. There was a $2 million transfer from the Health Insurance Fund to the General Fund. This was budgeted. Revenues for overtime were transferred back to the General Fund.

A slide showed by category the major revenues for FY/24 actual to FY/25 for comparison purposes and for FY/24 actual to FY/25 budgeted to the first quarter of the current year.

Sales tax shows a three-month delay. It is on track but is approximately 4.5% behind collections made last year. Drinking and eating establishments for the first quarter are doing slightly better than the last couple of years.

Sales tax by shopping districts shows that the downtown is a little bit better. Northbrook Court is stable. Village Square is slightly better and Willow Festival is stable.

Property taxes are good. Natural gas tax and electric tax are on track. There is no telecommunications tax. Licenses, Permits and Fees are on track. The Use Tax, items bought online, is right around where it should be. Personal Property Replacement Tax is expected to have a $300,000 shortfall due to computations by the State. Income Tax is doing fine.

Charges for services include the Village Fire Protection District. They owe the Village for one-half of last year and one-half of the current year. The number will go up approximately $3 million.

Expenses are doing fine overall.

Enterprise Funds show that the Water Fund has sufficient funds however, current projects may lessen this amount by the end of the year. The Stormwater Fund will be discussed in the near future.

A surplus transfer from last year’s audit was $4 million, which went to the Capital Projects Facilities Fund.

Trustee Hebl stated she was happy to see the sales tax numbers in the downtown move upward. DPS Deputy Director Kohlstedt reported for the Development & Planning Services Department. 

General construction indicators are going in an upward trend. The number of inspections is standard. Non-residential permits are going up. New construction of single-family homes went down. There is an increase in the number of large residential additions.

The Gateway site work is completed. Site work permits can be closed out. Sales of the units have been completed. An application is expected from a developer to buy 25 pads at the Gateway site.

There will be overall the same unit count but with small deviations.

Permits have been issued for all of the townhome units on Point Drive. Five of the units will be designated for affordable housing.

Northbrook area multi-family shows the trend is pretty level. Units and rents in a ten-mile radius show Northbrook rents are higher than the surrounding area. Both NorthShore 770 and The Elaine have lower vacancy rates than our neighbors.

The retail market had a drop in vacancy rates for 2024. Village Square is filling in. Sanders Court is doing better. The largest retail vacancy space is the former Best Buy building in Willow Festival.

Office market vacancy is going down. More permits are coming in for renovations. The vacancy is going down in the Skokie Corridor. The vacancy is lower for the industrial market in the South Shermer Corridor than at Sky Harbor. The largest vacant industrial space is 4000 Commercial Avenue.

Unemployment shows Northbrook at 5%, average for the quarter reviewed.

The area for larger vacancies is in Sky Harbor. South Shermer Corridor zoning is I-1 (Restricted Industrial District) and ICS (Industrial Commercial Services). The Board asked if it made sense to expand the zoning for Sky Harbor, which is only I-1.

CFO Drazner continued his presentation by comparing overtime salaries for Q1 this year to Q1 last year for all departments.

4. REMARKS FOR THE GOOD OF THE ORDER - None

5. CLOSED SESSION

A motion by Trustee Pepoon and seconded by Trustee Israel to go into closed session to discuss minutes pursuant to 5 ILCS 120/(c) (21) and the purchase or lease of real property for the use of the public body pursuant to 5 ILCS 120/(c)(5).

RESULT: CONVENE INTO CLOSED SESSION AT 7:00 P.M. [5 – 0]

MOVER: Dan Pepoon, Trustee

SECONDER: Robert Israel, Trustee

AYES: Israel, Hebl, Pepoon, Ebhomielen, Kohler

NAYES: None

ABSTAIN: Kathryn Ciesla, President

ABSENT: Heather Ross, Trustee

RESULT: RECONVENE INTO OPEN SESSION AT 7:25 P.M. [5 – 0]

MOVER: Daniel Pepoon, Trustee

SECONDER: Joy Ebhomielen, Trustee

AYES: Israel, Pepoon, Hebl, Ebhomielen, Kohler

NAYES: None

ABSTAIN: Kathryn Ciesla, President

ABSENT: Heather Ross, Trustee

6. ADJOURN

RESULT: ADJOURN AT 7:25 P.M. [5 – 0]

MOVER: Johannah Hebl, Trustee

SECONDER: Daniel Pepoon, Trustee

AYES: Israel, Pepoon, Hebl, Ebhomielen, Kohler

NAYES: None

ABSTAIN: Kathryn Ciesla, President

ABSENT: Heather Ross, Trustee

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