Mary Hansen
The State Journal-Register
Though Springfield has improved its finances over the last six years, budget director Bill McCarty has concerns about the first quarter of fiscal 2017 that he reported to the city council at Wednesday’s meeting. The city took in $330,000 less than expected from March through May of this year, McCarty said.
The city got less than it was expecting for its share of income tax and property tax replacement funds from the Illinois Department of Revenue. Plus, the state previously overpaid on the property tax replacement, which means the city could see even less money in the coming months. But, McCarty said, it may be too early to see the impact. Still, Springfield’s spending seems to be on pace with what was budgeted, McCarty said.
Another big concern is a shortfall in the city sewer fund, caused primarily by lack of state payments. The state owes more than $1.2 million in grants and cost sharing. Also, despite the implementation of a 5 percent rate increase in recent years, that increase has not resulted in a bump in revenue, McCarty said.
As a result, Public Works has had to halt a program to assist residents in replacing old sewer lines.
Ward 7 Ald. Joe McMenamin asked if other city funds could cover the $300,000 that was budgeted to continue the replacements, for which there is a 40-person waiting list.
“We encouraged our property owners to go after this program,” he said. “It’s not fair now to cut the program off when there’s 40 people waiting in line for it.”
Fire pension board
Brandon Blough, a Springfield firefighter and member of the firefighter pension board, addressed aldermen about the dispute between the city and board over holiday pay.
Holiday pay has been included in pension calculations since the late 1990s, he said. And, if the board follows a November 2015 recommendation from the Illinois Department of Insurance to exclude the pay, it could face a lawsuit from current firefighters, Blough said.
Still, Langfelder said, the city stands by its position that the department’s recommendation should be followed. “If you go against the regulatory agency, it’s not good. (The department) is the regulatory agency,” he said.
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