Minutes - 11/12/2012 - Board of TrusteesMINUTES OF THE NOVEMBER 12, 2012 SPECIAL MEETING
OF THE PRESIDENT AND BOARD OF TRUSTEES OF THE
VILLAGE OF OAK BROOK APPROVED AS WRITTEN ON
DECEMBER 11, 2012
1. CALL TO ORDER
The Special Meeting of the Village Board of Trustees was called to order by President
Gopal Lalmalani in the Samuel E. Dean Board Room of the Butler Government Center at
7:02 p.m. The Pledge of Allegiance was given.
2. ROLL CALL
Village Clerk Charlotte Pruss called the roll with the following persons:
PRESENT: President Gopal Lalmalani, Trustees Stelios Aktipis, Mark Moy, Gerald
Wolin, Asif Yusuf, and Elaine Zannis.
ABSENT: Trustee Michael Manzo
IN ATTENDANCE: David Niemeyer, Village Manager; Blaine Wing, Assistant Village
Manager; Sharon Dangles, Finance Director; Michael Hullihan, Public Works Director;
and Trey VanDyke, Sports Core Director.
3. RESIDENTNISITOR COMMENT - NONE
4. 2013 BUDGET WORKSHOP
A. Sports Core Operations
Sports Core Director Van Dyke began the Power Point Presentation with a brief summary
of the Sports Core.
2012 Season Performance:
• Overall poor economy
• Poor weather leading to less green fees, golf cart revenues, golf food and beverage
sales and less soccer rentals
• Flood in 2008 and 2010 have convinced many traditional golf members to "pay as
they go" rather than buying a season membership
• Polo incurred a loss this year but expect to see a recovery in 2013
• Food and Beverage operations starting to show signs of recovery and expected to
have a positive impact in 2013
Sports Core Revenue distribution of $3.6 M:
• Golf 54%
• Golf Surcharge 4%
• Bath and Tennis 26%
• Food and Beverage 16%
Revenue Highlights:
• Total revenues for 2013 are budgeted at $3.6M, an increase of $.3M from 2012
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• Outstanding loan of $2.087M. In addition, based on 2012 estimates the Sports
Core is expected to need another $82,000 to maintain a positive cash position
• The Food & Beverage operation at the Bath & Tennis Club is continuing to market
events to preferred caterers to bring in additional revenue
• B & T Membership fees are expected to increase 3%
• Polo will be continued in the 2013 budget and be expanded to six matches, which
will be supported by sponsorship and admission revenues at $42,890
• Open field revenues are budgeted to increase by $17,460 compared to the 2012
budget
Expenditures ($3.4M):
• Personnel 45%
• Operational & Contractual 25%
• Material and Supplies 19%
• Capital 9%
• Other Expenditures 2%
Expenditure Highlights:
• Draft budget for 2013 is $3.4M, an increase of $135,875 or 4% from the 2012
Budget
• Total personnel costs of $1.6M, which is an increase of $58,285 or 4%
• The 2013 Budget is $316,000 which $187,800 is expected to be covered by grant
revenues
Director Van Dyke noted that there is a Survey out right now and a Master Plan Group is
awaiting the results of that survey. He also noted ongoing discussions with District 53.
Further discussion and comments were made regarding the following:
• The future of the Sports Core
• The previous separation of the Golf Course and the Pool Food Operations
• The planning and adjustments for the future. Creating targets for the future should
be a goal
• Reserve Fund study needs to be done for the Bath & Tennis
• The effect of the economy golf revenue
• Creating a strategy to pay off the existing $2M loan
• Creating new ways and means to be profitable
• Comparing Private to Public
Director Van Dyke briefly discussed the history of membership and number of customers
at the Golf Course as well as other courses.
B. Chamber and Economic Development followed by Hotel/Motel Fund, Experience Oak
Brook Request
Economic Development Objectives include:
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• Work with Commercial Revitalization Committee and other government agencies
to advance plans achieve left turn egress to I -88 from Harger Road
• Proposed roundabout
• Develop directory sign for Jorie/Kensington Road businesses
• Minor sign codes updated to address business concerns
• Work with Oakbrook Shopping Center and Sears to ensure upgrading of
infrastructure and positive future development of the mall
• Continue to work with the Chamber on redeveloping aging office and retail
properties as well as promoting undeveloped properties
• Work with Chamber and neighboring communities on resolving Flagg Creek issus
that inhibit business development
John Hrudicka, Chairman of the Greater Oak Brook Economic Development Partnership
Council addressed the Board with a presentation highlighting the efforts of the Council
which include:
• Tracking Oak Brook's current and relocating office and retail tenants
• Recruitment and Retention efforts; significant and ongoing work with landlords to
retain current office and retail tenants and with tenant representatives to achieve
office and retail relocations with Oak Brook businesses everyday
• Marketing Oak Brook's office and retail locations through technology and events
• Tracking, Recruitment & Retention
• Marketing Effort using technology
Result Highlights include:
• 25 New Office/Retail Leases (Significant: Panera Bread, Morton Salt, PLS, Tricor
Braun)
• 39 Renewed Office/Retail Leases (Significant: Federal Signal, Ace Hardware,
Chiro One, Delta Dental)
• 8 Expansions (Significant: Comcast, Millennium Management, Lewis University)
• 2,600 New Employees
2012 Year In Review Highlights:
• Engaged a record number (120) new office and retail tenant representatives
• Established the new Oak Brook Workforce and Jobs Partnership (and first CEO
Workforce Advisory Group) to address emerging workforce issues and attract a
new, skilled workforce and young residents to Oak Brook
• Formed the first Oak Brook Transportation Partnership (with the Village of Oak
Brook) to address Oak Brook's top transportation challenges
New Economic Development Work highlights:
• Workforce and Jobs Partnership to address Oak Brook's skill shortages and make
Oak Brook and accessible and appealing place to work
• Transportation Partnership to address local train station shuttles, expanded bus
service and access from surrounding expressways
• Marketing to Young Employees and Residents to address local professional,
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residential and social options for young employees
Experience Oak Brook is viewed as the best community specific resource for information
about Oak Brook's hotels, restaurants, retail stores and attractions and the latest local
special promotions. Experience Oak Brook now also provides Oak Brook with a dedicated
community staff person for Oak Brook meeting and convention sales, information and
assistance in Shelly Encher.
John then presented the new Experience Oak Brook video production.
The Board thanked John for an excellent presentation and for all their accomplishments
and hard work throughout the year.
Brief discussion ensued about the trends of "young people" living in downtown Chicago.
Jeff Kennedy briefly reiterated some of the previous comments of the Board.
Hotel/Motel Tax Fund:
• This fund is used to account for revenues and expenditures related to the Village's
3% (1% Advertising and 2% Beautification Program) hotel tax in the Village.
C. General Fund Expenditures in the following departments:
1) Public Works — Mosquito Control; Building & Grounds; Forestry; Municipal
Building Improvements
Public Works Director Hullihan presented the highlights of the General Corporate Fund:
• Mosquito Control
• Buildings and Ground (321) Village owned buildings indicating a 3% increase
• Forestry; including leaf pick -up program and inclusion of Emerald Ash Borer
• Municipal Building Improvements (421) expenditures 10% less than last year
D. Water Operations
Public Works Director Hullihan presented the Water Operations Budget highlighting the
Capital Improvements.
2013 Objectives for the Water Fund:
• Upgrade automatic metering system collector units to digital technology
• Upgrade motor controls at Well #6
• Replace altitude valves at 35`s Street Pressure Control Station
E. Other Funds:
Infrastructure Fund includes Geographic Information Services, Water System
Improvements, Engineering Department Management and Administration, Roadway
Improvements, Stormwater Management Improvements, and Safety Pathway.
Motor Fuel Tax (MFT) funds are partially funded by the Village's share of the State tax on
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gasoline which provides partial funding for Village street construction and maintenance
projects. MFT funds are allowed to accrue until sufficient funds are available to do a
major project and the Village is projecting that 2015 is the next scheduled MFT year.
Garage Fund provides vehicle maintenance services to all departments. Due to aging fleet
of vehicles, the 2013 Budget proposes a new fleet program and the objective to perform
police vehicle set -ups in -house if possible.
Finance Director Dangles presented the Equipment Replacement fund. She highlighted the
2013 Objectives as well as the Five Year Plan. Assistant Manager Wing pointed out to
the Board that the Village also now has a Fleet Program that has cut the fleet from 96
vehicles to a number in the low 80's. The Village is also currently using more fuel
efficient vehicles.
Assistant Village Manager Wing presented the Self- Insurance Fund. He stated that
insurance costs continue to rise which thereby will be increasing the employee portion
while decreasing the Village's share. Those changes are due to take place January 1, 2013.
The Village will be paying 80% and the employees 20 %. The Village is proposing a
second Tier which will be the Village paying 75% and the employees paying 25 %. He
indicated that this is possibly the largest employee contribution in the State. Additionally,
he stated that on January 1, 2013 the Village will be proposing a new four Tier Drug
Program which could result in an annual savings of about $20,000. He further indicated
that he will bring further details back to the Board in April 2013.
5. ADJOURNMENT
Motion by Trustee Yusuf, seconded by Trustee Moy to adjourn the Special Meeting of
the Board of Trustees at 9:25 p.m. VOICE VOTE: Motion carried.
ATTEST:
/s /Charlotte K. Pruss
Charlotte K. Pruss
Village Clerk
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