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CAFR (Year Ended December 31, 1997) co of 041r 4tg �Q �o 000 o w G O C4UNTV VILLAGE OF OAK BROOK, ILLINOIS - COMPREHENSIVE ANNUAL FINANCIAL REPORT - Year Ended December 31, 1997 VILLAGE OF OAK BROOK, ILLINOIS COMPREHENSIVE ANNUAL FINANCIAL REPORT YEAR ENDED DECEMBER 31, 1997 Prepared by: Finance Department Darrell J. Langlois Finance Director/Treasurer INTRODUCTORY SECTION VILLAGE OF OAK BROOK, ILLINOIS TABLE OF CONTENTS INTRODUCTORY SECTION Principal officials i Organizational chart Letter of transmittal from the Village Manager Letter of transmittal from the Finance Director/Treasurer iv -xi Certificate of excellence in financial reporting xii FINANCIAL SECTION _ INDEPENDENT AUDITOR'S REPORT 1 GENERAL PURPOSE FINANCIAL STATEMENTS Combined balance sheet-All fund types and account groups 2 - 3 _ Combined statement of revenues, expenditures and changes in fund balances - All governmental fund types 4 Combined statement of revenues, expenditures and changes in fund balances -Budget and actual -All governmental fund types 5 Combined statement of revenues, expenses and changes in retained earnings -All proprietary fund types 6 Combined statement of cash flows -All proprietary fund types 7 Combined statement of plan net assets -Pension trust funds 8 Notes to financial statements 9 -29 SUPPLEMENTARY INFORMATION Required supplemental information: Analysis of funding progress I1linois Municipal Retirement Fund 30 Schedule of funding progress Police Pension Fund 31 Firefighters' Pension Fund 32 General Fund: Schedule of revenues, expenditures and changes in fund balance-Budget and actual 33 Schedule of revenues -Budget and actual 34 Schedule of expenditures -Budget and actual 35 -42 Special Revenue Funds: Combining balance sheet 43 Combining statement of revenues, expenditures and changes 44 -45 in fund balances - Budget and actual VILLAGE OF OAK BROOK, ILLINOIS TABLE OF CONTENTS FINANCIAL SECTION (Continued) SUPPLEMENTARY INFORMATION (Continued) Enterprise Funds: Combining balance sheet 46 -47 Combining statement of revenues, expenses, and changes in retained earnings 48 Combining statement of cash flows 49 Waterworks System Fund: Statement of revenues, expenses, and changes in retained earnings - Budget and actual 50 Schedule of operating expenses -Budget and actual 51 Schedule of property, plant and equipment and accumulated depreciation 52 - 53 Sports Core Fund: Statement of revenues, expenses, and changes in retained earnings - Budget and actual 54 Schedule of operating revenues -Budget and actual 55 Schedule of operating expenses -Budget and actual 56 - 58 Schedule of property, plant and equipment and accumulated depreciation 59 -60 Internal Service Funds: Combining balance sheet 61 Combining statement of revenues, expenses and changes in retained earnings 62 Combining statement of cash flows 63 Self-Insurance Fund: _ Statement of revenues, expenses and changes in retained earnings -Budget and actual 64 Garage Fund: Statement of revenues, expenses and changes in retained earnings -Budget and actual 65 _ Capital Replacement Fund: Statement of revenues, expenses and changes in retained earnings -Budget and actual 66 VILLAGE OF OAK BROOK, ILLINOIS TABLE OF CONTENTS FINANCIAL SECTION (Continued) SUPPLEMENTARY INFORMATION (Continued) _ Pension Trust Funds: Combining statement of plan net assets 67 Combining statement of changes in plan net assets 68 Police Pension Fund: Statement of changes in plan net assets -Budget and actual 69 Firefighters'Pension Fund: Statement of changes in plan net assets -Budget and actual 70 General Fixed Assets Account Group: Schedule of general fixed assets -By source 71 Schedule of general fixed assets -By function and activity 72 Schedule of changes in general fixed assets - By function and activity 73 STATISTICAL SECTION General governmental expenditures by function-Last ten fiscal years 74 General revenues by source -Last ten fiscal years 75 Property tax levies and collections -Last ten fiscal years 76 Assessed and estimated actual value of taxable property (in thousands) -Last ten levy years 77 Property tax rates -All direct and overlapping governments -Last ten levy years 78 Ratio of net general bonded debt to equalized assessed value and net general bonded debt per capita- Last ten fiscal years 79 Computation of legal debt margin 80 Schedule of direct and overlapping bonded debt 81 Ratio of annual debt service expenditures for general bonded debt to total general expenditures - Last ten fiscal years 82 Revenue bond coverage-Waterworks system bonds -Last ten fiscal years 83 Demographic statistics 84 Property value and construction -Last ten fiscal years 85 Principal taxpayers 86 Schedule of insurance in force 87 Miscellaneous statistics 88 _ VILLAGE OF OAK BROOK, ILLINOIS PRINCIPAL OFFICIALS December 31, 1997 Karen M. Bushy,Village President Linda K. Gonnella, Village Clerk BOARD OF TRUSTEES Garry J. Bartecki Gerald McInerney George T. Caleel Alfred P. Savino William E. Kenny Mack H. Shumate, Jr. VILLAGE MANAGER Stephen B. Veitch, Village Manager FINANCE DEPARTMENT Darrell J. Langlois, Finance Director/Treasurer i VILLAGE OF OAK BROOK ORGANIZATIONAL CHART December, 1997 Citizens of Oak Brook Advisory Boards President and and Commissions Board of TrusteesVillagei ----Clerk N• -EFe-cTrical G ommission Board of Fire & Police Commissioners Village Attorney Village Manager Treasurer/Budget Officer Hotel Committee Library Commission Plan Commission Safety Pathway Committee Zoning Board of Appeals Police Pension Board Information Services Firefighters' Pension Board & Purchasing Financial Public Engineering and Q Fire and CommunityF Sports Services Works Capital Projects Library Police Development Core OF Oq,, � o e e O y - 6 O Z 'CFCOUNT`l \\�� VILLAGE OF OAK BROOK 1200 OAK BROOK ROAD OAK BROOK , ILLINOIS 60523 -2255 PHONE: 630 990-3000 FAX: 630 990-0876 March 2, 1998 President and Board of Trustees Village of Oak Brook Oak Brook,IL 60521 President Bushy and Trustees: I am pleased to present the Comprehensive Annual Financial Report for the Village of Oak Brook for the fiscal year ended December 31, 1997. This report has been prepared by Finance Director and Village Treasurer Darrell Langlois and his staff in accordance with all applicable standards of the Government Accounting Standards Board and the Government Finance Officers Association. The Comprehensive Annual Financial Report is a very important and legally essential document for the Village Board and the community. It is even more valuable when viewed in conjunction with the Village's Five-Year Financial Plan. The Annual Report presents a"snapshot"' of the Village's financial condition at a specific point in time; the Five-Year Plan presents a long range continuous view. Taken together, these documents present a complete picture of the present and future financial condition of our Village. The Village's continued financial health is reflected clearly in the Annual Financial Report. This strength is attributable to the Village Board's conservative financial policies, a history of careful financial planning, and rigorous day-to-day management of the Village's financial affairs. Virtually all of the indicators of financial condition are positive. As you know, however, this situation can change quickly as a result of economic downturns, State and Federal legislation or policy decisions of future Village Boards. Although we must continue to be vigilant, all information currently available suggests that the Village has an excellent opportunity to meet the challenges presented in coming years while maintaining a financial condition of which its citizens can be very proud. Sincerel Stephen B. Veitch Village Manager /sv iii 6E OF 04.t o e 'e O y G ?O coli I VILLAGE OF OAK BROOK 1200 OAK BROOK ROAD OAK BROOK , ILLINOIS 60523-2255 PHONE: 630 990-3000 FAX: 630 990-0876 March 2, 1998 President and Board of Trustees Village of Oak Brook Oak Brook, Illinois 60521 The Comprehensive Annual Financial Report of the Village of Oak Brook for the year ended December 31, 1997 is submitted herewith. Responsibility for both the accuracy of the information presented and the thoroughness and fairness of the presentation, including all disclosures, rests with the Village. I believe the data, as presented, is accurate in all material respects; that it is presented in a manner designed to fairly set forth the financial position and results of operations of the Village as measured by the financial activity of its various funds; and that all disclosures necessary to enable the reader to gain the maximum understanding of the Village's financial affairs have been included. The Comprehensive Annual Financial Report is presented in three sections: introductory, financial and statistical. The introductory section, which is unaudited, includes this transmittal letter, the Village's organizational chart and a list of principal officials as of the end of the reporting period. The financial section includes the general purpose financial statements and the combining and individual fund and account group financial statements and schedules, as well as the auditor's report on the financial statements and schedules. The statistical section, which is unaudited, includes financial and demographic information, which is generally presented on a multi-year basis. The financial reporting entity includes all funds and account groups of the primary government, as described in the notes to the financial statements, as well as its component units. The Village provides a full range of services including public safety (police, fire, bureau of inspection, and emergency medical service), public works maintenance, the water utility, engineering and public improvements, planning and zoning, general administration, operations of a free public library, and recreation facilities at the Oak Brook Sports Core, including an 18-hole golf course. The Police Pension Fund and the Firefighters' Pension Fund have been included as blended component units due to the significance of their financial relationships with the Village. However, the Intergovernmental Risk Management Agency and the DuPage Water Commission have not met the established criteria for inclusion in the reporting entity and, accordingly, are excluded from this Report. iv ECONOMIC CONDITION AND OUTLOOK The Village of Oak Brook is located about 15 miles west of the Chicago Loop, near the geographic center of the seven-county Chicago metropolitan area. Excellent transportation links are provided to all parts of the greater metropolitan area by a network of tollways and federal and state highways which pass through or near the Village. The Tri-State Tollway (1-294), running along the Village's eastern boundary, provides rapid access to the northern and southern suburbs, and into Wisconsin and Indiana. The East-West Tollway (1-88), passing through the Village's northern sector, joins the Eisenhower Expressway to the northeast, providing direct access to Chicago's Loop. Additional links include east-west arteries Illinois Route 38 and U.S. Route 34, which pass, respectively, to the north and south of the Village, and Illinois Route 83, which bisects the community in a north-south direction. The Oak Brook area is generally bounded on the north by the communities of Lombard, Villa Park, Elmhurst and Oakbrook Terrace and on the south by Downers Grove, Westmont, Clarendon Hills and Hinsdale. Oak Brook is a community that has demonstrated an extremely high degree of economic stability. While the Illinois unemployment rate hovers around 4.7%, DuPage County has established an unemployment rate of 2.9%, significantly lower than the norm. Based on current information provided by the Multiple Listing Service of Northern Illinois, the average selling price of completed homes in DuPage County is $215,145. In 1997, the average selling price of homes in Oak Brook was $608,774 and time on the market was approximately 144 days. According to the 1990 Census, over one-third of the households in Oak Brook are two- person, and over 62% of the occupants of the Village have resided in Oak Brook for over 10 years, indicating a strong level of population stability. Per capita income of Village residents in 1989 was $60,347 and the mean family income was $187,501. The Census also indicates that managerial, professional, and sales occupations are held by 74% of Village residents employed. The Village of Oak Brook has been and continues to be one of the preeminent business centers in the Chicago metropolitan area. Several Fortune 500 companies have facilities in the Village, including the corporate headquarters of Waste Management, Inc. and McDonalds Corporation. As a retail center, Oak Brook offers upscale shopping, fine restaurants, and Oakbrook Center, one of the leading outdoor shopping centers in the United States. These factors, as well as the overall strength of the Illinois economy, have enabled the Village to continue to operate without a real estate tax due to the sales taxes generated from retail business activities. v Changes are occurring that should enable the Village to continue to be successful in to the 21St century. As the Village evolved, thoughtful zoning regulations, particularly in the area of building and bulk regulations, contributed to its early success. However, with increasing competition from other suburbs, some changes to these regulations are occurring which will allow for taller buildings and greater floor area ratios. This has had a positive impact on the Village as indicated by McDonald's commitment to remain in the Village well in to the 21" century, and in the renovation of several older office buildings. The future viability of the office building sector is extremely important as approximately 35% of the Village's sales tax revenue is generated by this sector. MAJOR INITIATIVES 1997 The Village completed its 1997 paving program, continued implementation of Phase I of the Technology Plan, continued the multi-year project of paving the golf cart paths at the Golf Club, began the reconstruction of the 22nd Street/York Road intersection, entered into an intergovernmental a reement with DuPage County for the widening of 31s' Street, completed the design for the 1998 paving program, and began a program to replace all water meters over approximately five years in order to improve unaccounted water flow. In the Future Included in the 1998 budget is the 1998 paving program, the start of construction of a new Library building, completion of the 22nd Street/York Road intersection reconstruction project, improvements to the Village Hall HVAC/electrical system, design of a new or renovated Fire Station #1, improvements to the pumps at the 31 St Street booster station, cnntinuatinn and acceleration of the water meter replacement program, expansion of the Golf Club clubhouse, and construction of a pool side food service area at the Bath & Tennis Club. In later years, the Five-Year Financial Plan includes continuation of the annual paving program, completion of the new Library building, a substantial municipal building project incorporating a new or renovated Fire Station #1, replacement of the irrigation system at the Golf Club, significant building renovation in the Police Department, improvements to the Village's safety pathway system, and possible expansion of the Bath & Tennis clubhouse. The Village has carefully planned for and been accumulating funds over the last several years for all of these projects. In accordance with Village Board policy, it is anticipated that all of these projects will be completed without the issuance of bonded debt. Vi FINANCIAL INFORMATION Accounting System and Budgetary Control The Village's accounting records for general governmental operations are accounted for on a modified accrual basis of accounting. Revenues are recorded when available and measurable. Expenditures are recorded when services or goods are received and liabilities are incurred. Accounting records for the Village's Proprietary Funds and Pension Trust Funds are maintained on an accrual basis. The Village places a great deal of emphasis upon internal accounting controls as they affect the overall accounting system. In developing and evaluating the Village's accounting system, consideration is given to the adequacy of internal accounting controls. Internal accounting controls are designed to provide reasonable, but not absolute, assurance regarding: (1) the safeguarding of assets against loss from unauthorized use or disposition; and (2) the reliability of financial records for preparing financial statements and maintaining accountability for assets. The concept of reasonable assurance recognizes that: (1) the cost of a control should not exceed the benefits likely to be derived; and (2) the evaluation of costs and benefits requires estimates and judgments by management. All internal control evaluations occur within the above framework. We believe that the Village's internal accounting controls adequately safeguard assets and provide reasonable assurance of proper recording of financial transactions. Budgetary control is maintained through a system of monthly revenue and expenditure/expense versus budget accounting reports which are provided to all Trustees and department heads. All disbursements receive approval of the Board of Trustees. Total expenditures in any fund are legally restricted to the total amount budgeted, which is not changed without supplemental ordinance approval. The budget is monitored at the subfunction level by the encumbrance of estimated purchase amounts prior to the release of purchase orders to vendors. General Governmental Functions Revenues for general governmental functions as reported in the General Fund totaled $13,979,184 in 1997. Percent of Source Amount Total Intergovernmental $12,029,525 86.05% Licenses and Permits 404,998 2.90 Service Charges 305,137 2.18 Fines and Penalties 214,086 1.53 Interest on Investments 778,948 5.57 Miscellaneous 246.490 1.77 13.979.184 1 0.00 Vii Intergovernmental revenue, primarily the general sales tax, is the major revenue source for the Village, producing 86.05% of current year revenues. The Village has never levied a real estate tax for general governmental functions. However, the 1996 assessed valuation of real property in the Village was $938,947,979, an increase of$33,159,763, or 3.66% over the prior year. Expenditures for general governmental purposes, grouped by function as required by generally accepted accounting principles, totaled $12,428,077 in the General Fund. Percent of Function Amount Total General Government $ 3,402,007 27.37% Public Safety 6,847,213 55.09 Public Works 1,510,401 12.15 Culture and Recreation 668.456 5.39 12.428.077 100.00 Motor Fuel Tax Fund The Motor Fuel Tax Fund was established to account for the revenue received from the State of Illinois for the local share of motor fuel tax collections. The State collects the tax on each gallon of fuel sold within the State of Illinois and returns a percentage back to each municipality based on population. Motor Fuel Tax revenue from the State for the year ended December 31, 1997 was $225,603. In the future Motor Fuel Tax revenue will be used by the Village to partially finance strut reconstruction and resurfacing projects. Waterworks System Fund Selected data for the past year is presented in the following tabulation: Water Sales $3,145,814 Water Tap on Charges 115,247 Total Operating Revenues 3,432,412 Total Operating Expenses 3,268,633 Operating Income 163,779 Net Income 221,954 viii Sports Core Fund The 1997 financial statements reflect the seventeenth year of operation of the 18-hole golf course and expanded operations of the Bath and Tennis Club. Operating revenues totaled $2,724,169 and operating expenses, excluding depreciation, totaled $2,701,111. Major department activity is summarized as follows: Revenues Golf Club $1,796,312 65.94% Bath & Tennis Club 927.857 34.06 2.724.169 100.00 Operating_Expenses Golf Club $1,232,683 41.37% Bath & Tennis Club 1,468,428 49.28 Depreciation 278.606 9.35 2.979.717 100.00 Pensions Employees of the Village of Oak Brook participate in one of three pension plans. They are: (1) the Police Pension Fund of the Village of Oak Brook, covering the Village's sworn personnel in the Police Department; (2) the Firefighters' Pension Fund of the Village of Oak Brook, covering the Village's sworn personnel in the Fire Department; and (3) the Illinois Municipal Retirement Fund, which covers all of the remaining Village employees who are normally scheduled to work in excess of 1,000 hours per year on a regular basis. Illinois Municipal Retirement Fund employees also participate in Social Security. Based on the most recent actuarial studies, all three funds were in excess of 100% funded. General Fixed Assets The general fixed assets of the Village are those fixed assets used in the performance of general governmental functions. These exclude the fixed assets of the Enterprise and Internal Service Funds. As of December 31, 1997, the general fixed assets of the Village amounted to $7,040,868. This amount represents the original cost of the assets and is considerably less than their current value. Depreciation of general fixed assets is properly not recognized in the Village's governmental fund types. The Village does not capitalize infrastructure projects in the General Fixed Asset Account Group. ix Debt Administration As a means of financing, bonding has been used on three occasions in the Village's history. In 1973 and 1976, revenue bonds were issued for the purchase of the water system from the Oak Brook Utility Company and for improvements and expansion of the system. After receiving referendum approval, general obligation bonds were issued in 1977 for the purchase of the Sports Core and improvements to the Golf Club. All of the bonds have since been retired, with the Village now in the enviable position of having no bonded debt outstanding. Consistent with Village Board policy, no new bonded debt is anticipated in the 1998-2002 edition of the Five-Year Financial Plan. Cash Management It is the policy of the Village of Oak Brook to invest idle cash and increase investment income by the efficient use of money market accounts, certificates of deposit, the Illinois Public Treasurers' Investment Pool, the Illinois Metropolitan Investment Fund, and U.S. government securities. At December 31, 1997 the Village's investments, exclusive of the Pension Trust Funds, were distributed as follows: Illinois Public Treasurer's Investment Pool 51.47% U. S. Government Securities 28.08 Illinois Metropolitan Investment Fund 12.45 Certificates of Deposit 8.00 100.00 For the year ended December 31, 1997 the Village received $1,384,626 in interest income. Rise Management The Village of Oak Brook has a risk management program in place. For employee benefits, resources are accumulated in the Self-Insurance Fund in order to fund health and dental insurance claims. Insurance coverage for liability, property damage, and workmen's compensation is maintained through the Intergovernmental Risk Management Agency (IRMA) for all claims greater than $1,000. Various risk control techniques, including employee safety and accident prevention training, have been implemented to minimize accident related losses. OTHER INFORMATION Statutes require an annual audit to be performed on the books of account, financial records, and transactions of all administrative departments of the Village by independent certified public accountants selected by the Board of Trustees. This requirement has been complied with and the auditor's opinion has been included in this Report. x Certificate of Achievement The Government Finance Officers Association of the United States and Canada (GFOA) awarded a Certificate of Achievement for Excellence in Financial Reporting to the Village of Oak Brook for its Comprehensive Annual Financial Report for the year ended December 31, 1996. In order to be awarded a Certificate of Achievement, a governmental unit must publish an easily readable and efficiently organized comprehensive annual financial report, whose contents conform to program standards. Such reports must satisfy both generally accepted accounting principles and applicable legal requirements. A Certificate of Achievement is valid for a period of one year only. The Village has successfully obtained the Certificate of Achievement for 20 consecutive years. We believe that our current Report conforms to Certificate of Achievement Program requirements, and we are submitting it to GFOA to determine its eligibility for another Certificate. Acknowledgments The preparation of this Report could not be accomplished without the efficient and dedicated services of the entire staff of the Village of Oak Brook. We wish to express our appreciation to those persons who have made possible the publication of this Report, and to thank the President and members of the Board of Trustees for their interest and support in planning and conducting the financial operations of the Village in a responsible and progressive manner. Darrell J. La Blois Finance Officer/Treasurer Xi _ Certificate of Achievement for Excellence in Financial Reporting Presented to Village of Oak Brook, Illinois For its Comprehensive Annual Financial Report for the Fiscal Year Ended — December 31, 1996 A Certificate of Achievement for Excellence in Financial Reporting is presented by the Government Finance Officers Association of the United States and Canada to government units and public employee retirement systems whose comprehensive annual financial reports (CAFRs) achieve the highest standards in government accounting and financial reporting. ��PiCE OfFjC . i Q OF TH '��NITEDSTATES y W( AND ;N 2' RPNADA CORPORATION President 6 )a — SYAL CHICAGa Executive Director xii FINANCIAL SECTION INDEPENDENT AUDITOR'S REPORT LVA McGLADREY&PULLEN,LLP Certified Public Accountants and Consultants INDEPENDENT AUDITOR'S REPORT To the Honorable Village President and Members of the Board of Trustees Village of Oak Brook, Illinois We have audited the accompanying general purpose financial statements of the Village of Oak Brook, Illinois, as of and for the year ended December 31, 1997, as listed in the table of contents. These general purpose financial statements are the responsibility of the Village's management. Our responsibility is to express an opinion on these general purpose financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the 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 opinion. In our opinion, the general purpose financial statements referred to above present fairly, in all material respects, the financial position of the Village of Oak Brook, Illinois, as of December 31, 1997, and the results of its operations and the cash flows of its proprietary fund types for the year then ended in conformity with generally accepted accounting principles. As discussed in Note 10 to the financial statements, the Village adopted Governmental Accounting Standards Board Statements No. 25, Financial Reporting for Defined Benefit Pension Plans and Note Disclosures for Defined Contribution Plans, and No. 31, Accounting and Financial Reporting for Certain Investments and for External Investment Pools. Our audit was made for the purpose of forming an opinion on the general purpose financial statements taken as a whole. The combining and individual fund and account group financial statements and _ schedules, listed in the table of contents as supplementary information, are presented for purposes of additional analysis and are not a required part of the general purpose financial statements of the Village of Oak Brook, Illinois. Such information has been subjected to the auditing procedures applied in the audit of the general purpose financial statements and, in our opinion, is fairly presented in all material respects in relation to the general purpose financial statements taken as a whole. Z el-1411 Mokena, Illinois March 2, 1998 1 GENERAL PURPOSE FINANCIAL STATEMENTS This page was intentionally left blank. VILLAGE OF OAK BROOK, ILLINOIS COMBINED BALANCE SHEET ALL FUND TYPES AND ACCOUNT GROUPS December 31, 1997 Fiduciary Account Groups Governmental Fund Tes Proprietary Fund Types Fund Types General General Total Special Capital Internal Trust and Fixed Long-Term (Memorandum ASSETS AND OTHER DEBITS General Revenue Project Enterprise Service Agency Assets Debt Only) Cash and investments $ 14,079,235 $ 1,257,679 $ 2,402,093 $ 5,178,746 $ 2,344,897 $ 33,051,385 $ - $ - $ 58,314,035 Receivables, net of allowances for uncollectibles, where applicable Sales taxes 2,948,492 - - - - - - - 2,948,492 Utility taxes - - 195,107 - - - - - 195,107 State income taxes 84,989 - - - - - - - 84,989 Accounts 66,633 - - 397,497 223 - - - 464,353 Allotments - 17,989 - - - - - - 17,989 Accrued interest 81,234 8,885 20,644 42,626 18,003 357,556 - - 528,948 Other 515 29,889 - 38,153 - - - - 68,557 Due from other funds 84,758 27,832 - - - - - - 112,590 Advances to other funds 650,000 - - - - - - - 650,000 Inventories 4,721 - - 130,470 31,382 - - - 166,573 Restricted assets,cash and investments - - - 28,021 - - - - 28,021 Fixed assets, net of accumulated depreciation, where applicable - - - 21,359,038 1,481,328 - 7,040,868 - 29,881,234 Other assets, water purchase rights - - - 1,813,313 - - - - 1,813,313 Amounts to be provided for retirement of general long-term debt - - - - - - - 43,495 43,495 Total assets and other debits $18,000 577 $ 1,342,274 $ 2,617,844 $28,987,864 $ 3,875,833 $ 33,408,941 $ 7,040,868 $ 43,495 $ 95,317,696 2 Fiduciary Account Groups Governmental Fund Types Proprietary Fund Types Fund Types General General Total LIABILITIES,EQUITY AND Special Capital Internal Trust and Fixed Long-Term (Memorandum OTHER CREDITS General Revenue Project Enterprise Service Agency Assets Debt Only) Liabilities Accounts payable $ 245,653 $ 130,689 $ 105,926 $ 295,549 $ 62,246 $ 9,200 $ - $ - $ 849,263 Accrued payroll 288,843 - - 11,983 767 - - - 301,593 Compensated absences 424,087 - - 36,919 3,089 - - 43,495 507,590 Claims payable - - - - 87,809 - - - 87,809 Deposits payable 350,199 - 16,000 18,500 - - - - 384,699 Due to other funds 27,832 - - 77,811 6,947 - - - 112,590 Advances from other funds - - - 650,000 - - - - 650,000 Notes payable - - - 144,994 - - - - 144,994 Total liabilities 1,336,614 130,689 121,926 1,235,756 160,858 9,200 - 43,495 3,038 538 Equity and Other Credits Investment in general fixed assets - - - - - - 7,040,868 - 7,040,868 Contributed capital - - - 11,025,590 - - - - 11,025,590 Retained earnings: Reserved-Golf surcharge - - - 28,021 - - - - 28,021 Unreserved - - - 16,698,497 3,714,975 - - - 20,413,472 Fund balances: Reserved for inventories 4,721 - - - - - - - 4,721 Reserved for advances 650,000 - - - - - - - 650,000 Reserved for employee retirement - - - - - 33,399,741 - - 33,399,741 Unreserved 16,009,242 1,211,585 2,495,918 - - - - - 19,716,745 Total equity and other credits 16,663,963 1,211,585 2,495,918 27,752,108 3,714,975 33 399,741 7,040,868 - 92,279,158 Total liabilities,equity and other credits $ 18,000,577 $ 1,342,274 $ 2,617,844 $ 28,987,864 $ 3,875,833 $33,408,941 $7,040,868 $ 43,495 $ 95,317,696 See Notes to Financial Statements. 3 VILLAGE OF OAK BROOK, ILLINOIS COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES- ALL GOVERNMENTAL FUND TYPES _ Year Ended December 31, 1997 Total Special Capital (Memorandum General Revenue Project Only) Revenues: / — Intergovernmental $ 12,029,525-' $ 253,435 $ - 12,282,96(/ Utility taxes - - 1,989,147) 1,989,147 Hotel/motel taxes - 312,383) - 312,383 — Licenses and permits 404,998,/ - - 404,998 Service charges 305,137 - - 305,137 Fines and penalties 214,086/ - - 214,086 — Interest on investments 778,948/ 60,686/ 144,099/ 983,733 Miscellaneous 246,490 - - 246,490 Total revenues 13,979,184 626,504 2,133,246 16,738,934 Expenditures: Current: General government 3,402,007 - - 3,402,007 Public safety 6,847,213 - - 6,847,213 Public works 1,510,401 - - 1,510,401 — Culture and recreation 668,456 342,344 - 1,010,800 Capital outlay - - 2,170,265 2,170,265 Total expenditures 12,428,077 342,344 2,170,265 14,940,686 — Excess (deficiency) of revenues over expenditures 1,551,107 284,160 (37,019) 1,798,248 Other financing sources (uses): — Operating transfers in 237,400 - 1,080 238,480 Operating transfers (out) (128,897) (1,080) - (129,977) — 108,503 (1,080) 1,080 108,503 Excess (deficiency)of revenues and other financing sources over expenditures — and other financing uses 1,659,610 283,080 (35,939) 1,906,751 Fund balances: _ Beginning, as restated(Note 14) 15,004,353 928,505 2,531,857 18,464,715 Ending $ 16,663,963 $ 1.211.585 $ 2,495,918 $ 20,371.466 See Notes to Financial Statements. 4 I VILj iAGE Lr OAK'nKOOk, iLLII uv!) I I I I I I I 1 I I 1 COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES-BUDGET AND ACTUAL ALL GOVERNMENTAL FUND TYPES Year Ended December 31, 1997 General Special Revenue Capital Project Variance Variance Variance Favorable Favorable Favorable Budget Actual (Unfavorable) Budget Actual (Unfavorable) Budget Actual (Unfavorable) Revenues: Intergovernmental $ 12,290,025 $12,029,525 $ (260,500) $ 223,000 $ 253,435 $ 30,435 $ 166,060 $ - $ (166,060) Utility taxes - - - - - - 2,005,000 1,989,147 (15,853) Hotel/motel taxes - - - 278,500 312,383 33,883 - - - Licenses and permits 361,200 404,998 43,798 - - - - - - Service charges 327,100 305,137 (21,963) - - - - - - Fines and penalties 231,500 214,086 (17,414) - - - - - - Interest on investments 605,000 778,948 173,948 42,500 60,686 18,186 75,000 144,099 69,099 Miscellaneous 286,015 246,490 (39,525) - - - - - - Total revenues 14,100,840 13,979,184 (121,656) 544,000 626,504 82,504 2,246,060 2,133,246 (112,814) Expenditures: Current: General government 5,867,700 3,402,007 2,465,693 - - - - - - Public safety 6,904,010 6,847,213 56,797 - - - - - - Public works 1,655,180 1,510,401 144,779 - - - - - - Culture and recreation 685,890 668,456 17,434 342,345 342,344 1 - - - Capital outlay - - - - - - 3,495,950 2,170,265 1,325,685 Total expenditures 15,112,780 12,428,077 2,684,703 342 345 342,344 1 3,495,950 2170265 1,325,685 Excess(deficiency)of revenues over expenditures (1,011,940) 1,551,107 2563047 201,655 284,160 82,505 (1,249,890) (37,019) 1,212,871 Other financing sources(uses): Operating transfers in 237,400 237,400 - - - - - 1,080 1,080 Operating transfers(out) - (128,897) (128,897) (1,080) (1,080) - - - - 237400 108,503 (128,897) (1,080) (1,080) - - 1,080 1,080 Excess(deficiency)of revenues and other financing sources over expenditures and other financing uses $ (774.540) 1,659,610 $ 2-434-150 $ 200-575 283,080 $ 82,505 $ (1,249,890) (35,939) 1,213951 Fund balances: Beginning,as restated(Note 14) 15,004,353 928,505 2,531,857 Ending $16.663,963 $ 1-211-585 $ 2 495 918 See Notes to Financial Statements. 5 VILLAGE OF OAK BROOK, ILLINOIS — COMBINED STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN RETAINED EARNINGS ALL PROPRIETARY FUND TYPES — Year Ended December 31, 1997 Total — Internal (Memorandum Enterprise Service Only) Operating revenues: Charges for services $ 6,114,974 $ 1,618,827 $ 7,733,801 Miscellaneous 41,607 - 41,607 — Total operating revenues 6,156,581 1,618,827 7,775,408 Operating expenses: — Operations 5,508,359 301,378 5,809,737 Claims and insurance - 838,122 838,122 Depreciation and amortization 739,991 246,165 986,156 — Total operating expenses 6,248,350 1,385,665 7,634,015 Operating income (loss) (91,769) 233,162 141,393 Nonoperating revenues (expenses): Investment income 280,539 120,354 400,893 –. Gain on sale of fixed assets 5,500 30,532 36,032 Interest expense (11,037) - (11,037) Total nonoperating revenues (expenses) 275,002 150,886 425,888 Income before operating transfers 183,233 384,048 567,281 Operating transfers in 128,897 - 128,897 Operating transfers (out) (219,300) (18,100) (237,400) Net income 92,830 365,948 458,778 Retained earnings: -- Beginning 16,633,688 3,349,027 19,982,715 Ending $ 16,726,518 $ 3,714,975 $ 20,441,493 See Notes to Financial Statements. 6 VILLAGE OF OAK BROOK,ILLINOIS COMBINED STATEMENT OF CASH FLOWS ALL PROPRIETARY FUND TYPES Year Ended December 31, 1997 Total Internal (Memorandum Enterprise Service Only) Cash Flows from Operating Activities Operating income(loss) $ (91,769) $ 233,162 $ 141,393 Adjustments to reconcile operating income(loss) to net cash provided by operating activities Depreciation and amortization 739,991 246,165 986,156 Changes in assets and liabilities Accounts receivable (24,017) - (24,017) Other receivable 211 - 211 Inventories (28,985) 9,172 (19,813) Accounts payable 6,951 43,063 50,014 Accrued payroll and compensated absences (31,833) (1,700) (33,533) Claims payable - (21,788) (21,788) Deposits payable 1,777 - 1,777 Net cash provided by operating activities 572,326 508,074 1,080,400 Cash Flows from Noncapital Financing Activities Advances from other funds 650,000 - 650,000 Net increase(decrease)in amounts due to other funds (547,144) 2,205 (544,939) Operating transfers in 128,897 - 128,897 Operating transfers(out) (219,300) (18,100) (237,400) Net cash provided by(used in) noncapital financing activities 12,453 (15,895) (3,442) Cash Flows from Capital and Related Financing Activities Purchase of fixed assets (408,944) (247,778) (656,722) Proceeds from sale of fixed assets 20,642 41,470 62,112 Proceeds from notes payable 149,425 - 149,425 Principal paid on notes payable (209,174) - (209,174) Interest paid on notes payable (11,037) - (11,037) Net cash(used in)capital and related financing activities (459,088) (206,308) (665,396) Cash Flows from Investing Activities Investment purchases (1,000,967) (270,128) (1,271,095) Investment maturities - 50,000 50,000 Water purchase rights rebate 91,075 - 91,075 Interest received on investments 270,667 119,459 390,126 Net cash (used in)investing activities (639,225) (100,669) (739,894) Net increase(decrease) in cash and cash equivalents (513,534) 185,202 (328,332) Cash and cash equivalents: Beginning 2,692,525 880,935 3,573,460 Ending $ 2.178.991 $ 1066,137 $ 3 245.128 Reconciliation of Cash and Cash Equivalents to Combined Balance Sheet Cash and cash equivalents $ 2,178,991 $ 1,066,137 $ 3,245,128 Investments 3,027,776 1,278,760 4,306,536 $ 5-206-767 $ 2-344-897 $ 7551664 See Notes to Financial Statements. 7 VILLAGE OF OAK BROOK, ILLINOIS _ COMBINED STATEMENT OF CHANGES IN PLAN NET ASSETS PENSION TRUST FUNDS Year Ended December 31, 1997 — Total Police Firefighters' (Memorandum Pension Pension Only) — Additions Contributions: — Employer $ 224,440 $ 178,626 $ 403,066 Plan members 163,534 121,790 285,324 Total contributions 387,974 300,416 688,390 — Investment income: Net appreciation in fair value of investments 191,290 84,867 276,157 — Interest 1,560,706 1,461,466 3,022,172 Net investment income 1,751,996 1,546,333 3,298,329 Total additions 2,139,970 1,846,749 3,986,719/ — Deductions Benefits 493,036 568,091 1,061,127 Administrative expenses 40,956 75,988 116,944 Total deductions 533,992 644,079 1,178,071 _ Net increase 1,605,978 1,202,670 2,808,648 Net assets held in trust for pension benefits: — Beginning, as restated (Note 10) 15,634,487 14,956,606 30,591,093 Ending $ 17,240,465 $ 16,159,276 $ 33,399,741 — 8 VILLAGE OF OAK BROOK, ILLINOIS NOTES TO FINANCIAL STATEMENTS Note 1. Financial Reporting Entity, Measurement Focus, Basis of Accounting and Basis of Presentation, and Significant Accounting Policies Financial Rep orting Entity: The Village of Oak Brook, Illinois, (Village) operates under a Village form of government with an elected Village President and Board of Trustees. Operational management is provided by a professional Village Manager employed by the Board of Trustees. Municipal services include: police protection, fire protection, recreation facilities, a free public library, water supply, storm water collection, public works operations, road maintenance, building and inspectional services and general administrative services. Generally accepted accounting principles require that the financial reporting entity include (1) the primary government, (2) organizations for which the primary government is financially accountable and (3) other organizations for which the nature and significance of their relationship with the primary government are such that exclusion would cause the reporting entity's financial statements to be misleading or incomplete. Based upon this criteria, there are no agencies or entities whose financial data should be combined with and included in the general purpose financial statements of the Village. Measurement Focus, Basis of Accounting and Basis of Presentation: The accounts of the Village are organized on the basis of funds and account groups. A fund is an independent fiscal and accounting entity with a self-balancing set of accounts. Fund accounting segregates funds according to their intended purpose and is used to aid management in demonstrating compliance with finance-related legal and contractual provisions. The minimum number of funds is maintained consistent with legal and managerial requirements. Account groups are a reporting device to account for certain assets and liabilities of the governmental funds not recorded directly in those funds. The Village has the following funds and account groups: Governmental funds are used to account for the Village's general government activities. Governmental fund types use the flow of current financial resources measurement focus and the modified accrual basis of accounting. Under the modified accrual basis of accounting revenues are recognized when susceptible to accrual (i.e., when they are "measurable and available"). "Measurable" means the amount of the transaction can be determined and "available" means collectible within the current period or soon enough thereafter to pay liabilities of the current period. The Village considers all revenues available if they are collected within 60 days after year-end. Expenditures are recorded when the related fund liability is incurred, except for unmatured principal and interest _ on general long-term debt which is recognized when due, and certain compensated absences which are recognized when the obligations are expected to be liquidated with expendable available financial resources. Sales taxes, taxes collected and held by the State at year-end on behalf of the Village, certain charges for services, and interest are susceptible to accrual and are recognized as revenue. Other receipts and taxes become measurable and available when cash is received by the Village and are recognized as revenue at that time. Entitlements and grants are recorded as revenue at the time of receipt or earlier if the susceptible to accrual criteria are met. Expenditure-driven grants are recognized as revenue when the qualifying expenditures have been incurred and all other grant requirements have been met. 9 VILLAGE OF OAK BROOK,ILLINOIS NOTES TO FINANCIAL STATEMENTS Note 1. Financial Reporting Entity, Measurement Focus, Basis of Accounting and Basis of Presentation, and Significant Accounting Policies (continued) Governmental funds include the following fund types: General Fund _ The General Fund is the Village's primary operating fund. It accounts for all financial resources of the Village, except those required to be accounted for in another fund. _ Special Revenue Funds The special revenue funds account for revenue sources that are legally restricted to expenditures for specific purposes (not including expendable trusts or major capital projects). Capital Project Fund The Capital Project Fund accounts for the acquisition of fixed assets or construction of major capital _ projects not being financed by proprietary funds. Proprietary funds are accounted for on the flow of economic resources measurement focus and use the accrual basis of accounting. Under this method, revenues are recorded when earned and expenses are recorded at the time the liabilities are incurred. The Village applies all applicable Governmental Accounting Standards Board (GASB) pronouncements as well as Financial Accounting Standards Board pronouncements issued on or before November 30, 1989, unless those pronouncements conflict with or contradict GASB pronouncements. The proprietary funds include the following fund types: Enterprise Funds Enterprise funds are used to account for those operations that are financed and operated in a manner similar to private business or where the Board has decided that the determination of revenues earned, costs — incurred and/or net income is necessary for management accountability. Internal Service Funds -- Internal service funds account for operations that provide services to other departments of the Village on a cost-reimbursement basis. — Fiduciary funds account for assets held by the Village in a trustee capacity or as an agent on behalf of others. The fiduciary funds consist of the pension trust funds. — 10 VILLAGE OF OAK BROOK, ILLINOIS NOTES TO FINANCIAL STATEMENTS Note 1. Financial Reporting Entity, Measurement Focus, Basis of Accounting and Basis of Presentation, and Significant Accounting Policies (continued) Pension Trust Funds Pension trust funds financial statements are prepared using the accrual basis of accounting. Plan member contributions are recognized in the period in which the contributions are due. Employer contributions to the plan are recognized when due and the employer has made a formal commitment to provide the contributions. Benefits and refunds are recognized when due and payable in accordance with the terms of the plan. Pension trust funds account for assets of the Village's police and firefighters' pension plans. Account groups are not funds and are concerned only with measurement of financial position, and are not involved with results of operations. The two account groups are as follows: The general fixed assets account group is used to account for fixed assets not accounted for in proprietary or trust funds. The general long-term debt account group is used to account for the general long-term debt and certain other liabilities that are not specific liabilities of proprietary or trust funds. The significant accounting policies followed by the Village include the following: Cash Equivalents: For purposes of reporting cash flows, the Village considers all highly liquid investments, with a maturity of three months or less when purchased,to be cash equivalents. _ Investments: Investments are carried at fair value, except for insurance contracts which are carried at contract value, which approximates fair value. Short-term Interfund Receivables/Pa, ate: During the course of operations, numerous transactions occur between individual funds for goods provided or services rendered. These receivables and payables are classified as "due from other funds" or "due to other funds" on the balance sheet. Advances to Other Funds: Noncurrent portions of long-term interfund loan receivables are reported as advances and are offset equally by a fund balance reserve account which indicates that they do not constitute expendable available financial resources and, therefore, are not available for appropriation. Inventories: Inventories are valued at cost (first-in, first-out) which approximates market. Inventories in the General Fund and Garage Fund consist of expendable supplies held for consumption; inventories in the Sports Core Fund consist of inventory held for resale. The cost is recorded as an expenditure at the time individual inventory items are utilized or sold. General Fund inventories are equally offset by a fund balance reserve which indicates that they do not constitute "available spendable resources" even though they are a component of net current assets. 11 VILLAGE OF OAK BROOK, ILLINOIS NOTES TO FINANCIAL STATEMENTS Note 1. Financial Reporting Entity, Measurement Focus, Basis of Accounting and Basis of Presentation, and Significant Accounting Policies (continued) Intangible Assets -Water Purchase Rights: The Village is a customer of the DuPage Water Commission, and has executed a Water Supply Contract with the Commission for a term ending in 2024. The Contract provides that the Village pay its proportionate share of"fixed costs" (debt service and capital costs) to the Commission, such _ obligation being unconditional and irrevocable whether or not water is ever delivered. These costs were capitalized until the Commission began to deliver water, and are amortized, using the straight-line method over the remaining term of the contract, and expensed along with the other 'operation and maintenance" charges from the Commission. Fixed Assets: Fixed assets used in governmental fund types of the Village are recorded in the general fixed asset account group at cost or estimated historical cost if purchased or constructed. Donated fixed assets are recorded at the estimated fair value at the date of donation. Assets in the general fixed asset account group are not depreciated. Public domain (infrastructure) general fixed assets consisting of roads, bridges, sidewalks, and other assets that are immovable and of value only to the Village are not capitalized. Property, plant and equipment in the proprietary funds of the Village are recorded at cost. Property, plant and equipment donated to these proprietary fund type operations are recorded at their estimated fair value at the date of donation. Property, plant and equipment are depreciated using the straight-line method over the estimated useful lives of the respective assets ranging from 2 to 40 years. Compensated Absences: Vested or accumulated vacation leave that is expected to be liquidated with expendable available financial resources is reported as an expenditure and a fund liability of the governmental fund that will pay it. Amounts of vested or accumulated sick leave that are not expected to be liquidated with expendable available financial resources are reported in the general long-term debt account group. No expenditure is reported for these amounts. 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 accordance with the provisions of GASB Statement No. 16, Accounting for Compensated Absences, no liability is recorded for nonvesting accumulating rights to receive sick pay benefits. However, a liability is recognized for that portion of accumulating sick leave benefits that it is estimated will be taken as termination benefit at retirement. Reservations of Fund Balances: Reservations of fund balances represent those assets which are not available for — appropriation and are not considered expendable available resources. Memorandum Only Total Columns: The total columns on the general purpose financial statements are captioned -- "memorandum only" because they do not represent consolidated financial information and are presented only to facilitate financial analysis. The columns do not present information that reflects financial position, results of operations or cash flows in accordance with generally accepted accounting principles. Interfund eliminations have not been made in the aggregation of this data. 12 VILLAGE OF OAK BROOK, ILLINOIS NOTES TO FINANCIAL STATEMENTS Note 2. Budgets and Deficits Budgets The Village follows these procedures in establishing the budgetary data reflected in the financial statements: a) All departments of the Village submit budget requests to the Village Manager so that a budget may be prepared. b) The Village Manager submits to the Village Board of Trustees a proposed operating budget for the fiscal year commencing the following January 1. The operating budget includes proposed expenditures and the means of financing them. c) Public hearings are conducted by the Village to obtain taxpayer comments. d) Subsequently, the budget is adopted by the Village Board. e) Annual budgets are adopted for all funds on a basis consistent with generally accepted accounting principles. f) Formal budgetary integration is employed as a management control device during the year for all funds of the Village. g) Appropriations lapse at year-end. h) The Village Manager and Budget Officer are authorized to transfer budgeted amounts between line items within any program; however, any revisions that alter the total expenditures of any program or fund must be approved by the Village Board. The level of legal control is the individual fund budget in total. i) Budgeted amounts as presented in the report are as amended by the Village Board. After Village Board transfers, no fund had an excess of expenditures/expenses, exclusive of depreciation and amortization over budget for the fiscal year. Deficit Fund Equity: The Sports Core Fund, an enterprise fund, had a deficit in retained earnings of$834,823 as '- of December 31, 1997. This deficit is due primarily to depreciation expense. The deficit is expected to be eliminated in the course of future operations of the Sports Core. 13 VILLAGE OF OAK BROOK, ILLINOIS NOTES TO FINANCIAL STATEMENTS Note 3. Deposits and Investments The Village maintains separate cash accounts for each fund and an investment pool that is available for use by all funds, except the pension trust funds. Each fund type's cash account and its portion of this pool are included in "cash and investments" on the combined balance sheet. In addition, investments are separately held by several of the Village's funds. As required by State statute, the deposits and investments of the pension trust funds are held separately from those of other funds. Statutes authorize the Village to make deposits in insured commercial banks and savings and loan institutions, and _ make investments in obligations of the U.S. Treasury and other U.S. agencies, insured credit union shares, money market mutual funds with portfolios of securities issued or guaranteed by the United States or agreements to repurchase these same obligations, repurchase agreements, short-term commercial paper rated within the three ` highest classifications by at least two standard rating services, and the Illinois Public Treasurers' Investment Pool. Pension funds may also invest in certain non-U.S. obligations, Illinois municipal corporations tax anticipation warrants, veteran's loans, obligations of the State of Illinois and its political subdivisions, and life insurance general and separate accounts. Deposits: As of December 31, 1997, the carrying amount of the Village's deposits totaled $2,954,748, with the bank balances totaled $3,647,346. The Village's deposits are categorized below to give an indication of the level of risk assumed by the Village. Category 1 Deposits covered by federal depository insurance, or by collateral held by the Village, or its agent, in the Village's name $ 3,647,346 Category 2 Deposits covered by collateral held by the pledging financial institution's trust department, or by its agent, in the Village's name - Category 3 Deposits covered by collateral held by the pledging financial institution, or its trust department, or its agent but not in the Village's name, and deposits which are uninsured and uncollateralized - $ 3,647,346 Investments: The Village's investments are categorized to give an indication of the level of risk assumed by the Village. Category 1 includes investments that are insured or registered or the securities are held by the Village or its agent in the Village's name. Category 2 includes uninsured and unregistered securities which are held by the counterparty's trust department or agent in the Village's name. Category 3 includes uninsured and unregistered '— securities which the securities are held by the counterparty, or by its trust department or agent but not in the Village's name. 14 VILLAGE OF OAK BROOK,ILLINOIS — NOTES TO FINANCIAL STATEMENTS Note 3. Deposits and Investments (Continued) Carrying Amount Category 1 2 3 Total State and local obligations $ - $ - $ 337,893 $ 337,893 U.S. government securities 22,596,455 - 11,601,340 34,197,795 $ 22,596,455 $ - $ 11,939,233 Investments not subject to risk categorization: Illinois Metropolitan Investment Fund 3,113,956 Insurance contracts 4.842,713 Illinois Public Treasurers' Investment Pool 12,894,951 Total investments $ 55,387,308 The above deposits of $2,954,748 and investments of $55,387,308 totaling $58,342,056 are reported in the financial statements as follows: -- Cash and investments $ 58,314,035 Restricted assets, cash and investments 28,021 $ 58,342,056 Note 4. Fixed Assets General Fixed Assets The following is a summary of changes in the general fixed assets during the year: Balance January 1 As Balance Previously January 1 Balance Reported Adjustment As Restated Additions Retirements December 31 Land $ 616,829 $ - $ 616,829 $ - $ - $ 616,829 Buildings and improvements 4,225,453 - 4,225,453 86,647 - 4,312,100 Other equipment 1,193,571 - 1,193,571 89,109 - 1,282,680 Computer equipment 441,019 - 441,019 388,240 - 829,259 Library books 691,884 (691,884) - - - - Totals $ 7,168,756 $ (691,884) $6,476,872 $ 563,996 $ - $ 7,040,868 15 VILLAGE OF OAK BROOK,ILLINOIS NOTES TO FINANCIAL STATEMENTS Note 4. Fixed Assets (continued) As of January 1, 1997, the Village changed its capitalization policy to exclude from capitalization purchases of — library books. As a result, the general fixed asset account group has been retroactively restated to remove the cost of library books. Proprietary Fixed Assets The following is a summary of proprietary fund type fixed assets as of December 31, 1997. _ Enterprise Waterworks Sports System Core Total Land and improvements $ 215,800 $ 10,157,203 $ 10,373,003 _ Buildings and improvements 959,151 2,859,020 3,818,171 Equipment 611,277 944,795 1,556,072 Waterworks system 14,939,148 - 14,939,148 16,725,376 13,961,018 30,686,394 Less: accumulated depreciation 6,291,691 3,035,665 9,327,356 $ 10,433,685 $ 10,925,353 $ 21,359,038 — Internal Service -- Capital Garage Replacement Total Automotive equipment $ - $ 3,032,555 $ 3,032,555 Equipment 112,602 - 112,602 112,602 3,032,555 3,145,157 Less: accumulated depreciation 76,903 1,586,926 1,663,829 $ 35,699 $ 1,445,629 $ 1,481,328 16 VILLAGE OF OAK BROOK, ILLINOIS NOTES TO FINANCIAL STATEMENTS Note 5. Risk Management The Village 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. The Village participates in the Intergovernmental Risk Management Agency (IRMA) which is an organization of municipalities and special districts in Northeastern Illinois which have formed an association under the Illinois Intergovernmental Cooperation's Statute to pool its risk management needs. The Village pays annual premiums to IRMA for its workers' compensation, general liability and property coverage. The Village assumes the first $1,000 of each occurrence, with IRMA having a mix of self-insurance and commercial insurance at various amounts above that level. The Village appoints one delegate, along with an alternate delegate, to represent the Village on the Board of Directors. The Village does not exercise any control over the activities of the Agency beyond it representation on the Board of Directors. The Village, along with IRMA's other members, has a contractual obligation to fund any deficit of IRMA attributable to a membership year during which it was a member. Supplemental contributions may be required to fund these deficits. In addition, the Village provides medical and dental coverage to Village employees, their dependents, and retirees through a limited self-insurance program. The Village is self-insured for the first $25,000 per individual for medical claims up to a maximum limit of $939,767 for all individuals. Commercial insurance is carried for amounts in excess of the self-insured amounts. The Village is entirely self-insured for dental claims up to the annual benefit limit of $1,000 per individual. The Village's self-insurance activities are reported in the Self-Insurance Fund, an Internal Service Fund. Premiums are paid into the Self-Insurance Fund by the departments of the General Fund and other funds based upon equivalent premium estimates. Liabilities are reported when it is probable that a loss has occurred and the _ amount of the loss can be reasonably estimated. Reported liabilities are estimated based on historical cost information and include an amount for claims that have been incurred but not reported. The total claim liability at year-end was $87,809. A reconciliation of claims payable for the current year and that of the preceding year is as follows: 1997 1996 Claims payable, beginning of year $ 109,597 $ 55,632 _ Claims incurred and changes in estimate 711,771 590,934 Claims paid (733,559) (536,969) Claims payable, end of year $ 87,809 $ 109,597 17 VILLAGE OF OAK BROOK,ILLINOIS NOTES TO FINANCIAL STATEMENTS Note 6. Long-Term Debt Changes in long-term debt: During the year,the changes in general long-term debt were as follows: Balances Balances January 1 Increases Decreases December 31 Compensated absences $ 58,711 $ - $ 15,216 $ 43,495 Notes Payable The Village has issued notes payable to provide funds for the acquisition of capital assets for proprietary activities. These notes,therefore, are reported in the proprietary funds. Notes payable, currently outstanding, are as follows: Fund Debt Balances Balances Issue Retired By January 1 Debt Issued Debt Retired December 31 1989 Sports Core Equipment Refunding Note due in monthly payments of$6,802 through May 12, 1997 including interest at 6.85%, secured by various Sports Sports Core equipment Core $ 33,738 $ - $ 33,738 $ - -" 1993 Sports Core Tennis Dome Refunding Note due in monthly -` payments of$2,806 through October 28, 1998 (at which time the remainder is due) including Sports interest at 4.81%, unsecured Core 171,005 149.425 175,436 144,994 $ 204,743 $ 149,425 $ 209,174 $ 144,994 18 VILLAGE OF OAK BROOK,ILLINOIS T NOTES TO FINANCIAL STATEMENTS Note 6. Long-Term Debt (continued) Legal Debt Margin 1996 Assessed Valuation $ 938,947,979 Legal Debt Limit- 8.625%of Assessed Valuation $ 80,984,263 Amount of Debt Applicable to Debt Limit - Legal Debt Margin $ 80,984,263 Chapter 24, Section 8-5-1 of the Illinois Revised Statutes provides, ".. no municipality having a population of less than 500,000 shall become indebted in any manner or for any purpose, to an amount, including existing indebtedness in the aggregate exceeding 8.625% on the value of the taxable property therein,to be ascertained by the last assessment for state and county purposes, previous to the incurring of the indebtedness or, until January 1, 1983, if greater, the sum that is produced by multiplying the municipality's 1978 equalized valuation by the debt limited percentage in effect on January 1, 1979." Note 7. Interfund Account Balances Individual fund interfund receivable and payable balances as of December 31, 1997, are as follows: Due From/To Other Funds Receivable Fund Payable Fund Amount General Sports Core $ 72,455 General Water 5,356 _ General Garage 6,947 Foreign Fire Insurance Tax General 27,832 $ 112,590 Advance From/To Other Funds Receivable Fund Pavable Fund Amount General Sports Core $ 650,000 19 VILLAGE OF OAK BROOK, ILLINOIS NOTES TO FINANCIAL STATEMENTS Note 8. Commitments DuPage Water Commission The Village is a customer of the DuPage Water Commission, and has executed a Water Supply Contract with the Commission for a term ending in 2024. The Contract provides that the government pay its proportionate share of -- "fixed costs" (debt service and capital costs) to the Commission, such obligation being unconditional and irrevocable whether or not water is ever delivered. These costs are expensed along with the "operation and maintenance" charges from the Commission. Fiscal Year Ending December 31 Amount 1998 $ 841,800 1999 841,800 -- 2000 841,800 2001 841,800 2002 841,800 These amounts have been calculated using the Village's current allocation percentage. In future years, this allocation percentage will be subject to change. Estimates for the remaining years of the contract are not �. currently available. However, the Village does not expect the minimum amounts for the remaining years of the contract to materially vary from the amounts presented above. Other The Village has construction commitments of approximately$106,000 as of December 31, 1997. 20 VILLAGE OF OAK BROOK, ILLINOIS NOTES TO FINANCIAL STATEMENTS Note 9. Segment Information- Enterprise Funds The Village maintains the following enterprise funds which are intended to be self-supporting through user fees charged for services to the public. Financial segment information as of and for the year ended December 31, 1997 is as follows: Waterworks Sports Svstem Core Total Operating revenues $ 3,432,412 $ 2,724,169 $ 6,156,581 Depreciation and amortization expense 461,385 278,606 739,991 Operating income(loss) 163,779 (255,548) (911,769) Operating transfers in - 128,897 128,897 Operating transfers (out) (219,300) - (219,300) Net income (loss) 221,954 (129,124) 92,830 Plant, property and equipment Additions 256,539 152,405 408,944 Deletions - 26,946 26,946 Total assets 17,840,680 11,147,184 28,987,864 Net working capital 5,314,343 (112,607) 5,201,736 Total equity 17,561,341 10,190,767 27,752,108 Note 10. Accounting Changes Governmental Accounting Standards Board (GASB) Statement No. 25, Financial Reporting for Defined Benefit Pension Plans and Note Disclosures for Defined Contribution Plans, establishes financial reporting standards for defined benefit pension plans and for the notes to the financial statements of defined contribution plans of state and local governmental entities. The standards of this Statement apply to the police and firefighters' pension trust funds of the Village. In addition to certain changes in disclosure requirements, Statement No. 25 requires that plan investments be reported at fair value. The Village adopted this Statement for the fiscal year ending December 31, 1997, and the net assets held for pension benefits as of December 31, 1996, have been retroactively restated to reflect this adoption. The effects of this restatement on the net assets held in trust for pension benefits are as follows: December 31, 1996 _ Police Firefighters' Pension Pension Trust Trust Net assets held in trust for pension benefits, as previously reported $ 15.473,180 $ 14,591,868 Adjustment to recognize net appreciation in fair value of investments 161,307 364,738 Net assets held in trust for pension benefits, as restated $ 15,634,487 $ 14,956,606 21 VILLAGE OF OAK BROOK, ILLINOIS NOTES TO FINANCIAL STATEMENTS Note 10. Accounting Changes (continued) The effect of this change was to increase the change in net assets by $191,290 and $84,867 in the Police and Firefighters' Pension Trust Funds, respectively, for the year ended December 31, 1997. The effect for the year ended December 31, 1996, would have been to decrease the change in net assets by $553,537 and $371,816 in the Police and Firefighters'Pension Trust Funds, respectively. The Village also adopted GASB Statement No. 31,Accounting and Financial Reporting for Certain Investments and for External Investment Pools as of January 1, 1997. GASB Statement No. 31 establishes fair value ` standards for investments in (a) participating interest-earning investment contracts, (b) external investment pools, (c) open-ended mutual funds, (d) debt securities, and (e) equity securities, option contracts, stock warrants, and stock rights that have readily determinable fair values. The Village is required to report these types of investments at fair value in the balance sheet and recognize as revenue in the operating statements all investment income which includes changes in the fair value of investments. The adoption of this Statement did not have a material effect on the Village's financial statements. Note 11. Deferred Compensation Plan The Village offers its employees a deferred compensation plan created in accordance with Internal Revenue Code Section 457. The plan, available to all Village employees, permits them to defer a portion of their salary until future years. In prior years, the Village accounted for the assets and related liabilities of the plan in an agency fund. Effective January 1, 1997, the assets of the plan were placed in trust accounts with the plan administrators for the exclusive benefit of the plan's participants and are no longer considered assets of the Village. Note 12. Employee Retirement Systems Plan Descriptions and Provisions: Illinois Municipal Retirement Fund - The Village contributes to the Illinois Municipal Retirement Fund -- ("IMRF"), a defined benefit agent multiple-employer public employee retirement system that acts as a common investment and administrative agent for local governments and school districts in Illinois. The Village's total payroll for the year ended December 31, 1997, was $8,797,716. Of this amount, $3,624,221 was reported to and -�- covered by the IMRF system. 22 VILLAGE OF OAK BROOK, ILLINOIS NOTES TO FINANCIAL STATEMENTS Note 12. Employee Retirement Systems (continued) All employees hired in positions that meet or exceed the prescribed annual hourly standard must be enrolled in IMRF as participating members. Pension benefits vest after eight years of service. Participating members who retire at or after age 60 with 8 years of service are entitled to an annual retirement benefit, payable monthly for life, in an amount equal to 1-2/3 percent of their final rate (average of the highest 48 consecutive months' earnings during the last 10 years) of earnings, for each year of credited service up to 15 years, and 2 percent for each year thereafter. IMRF also provides death and disability benefits. These benefit provisions and all other requirements are established by state statute. Participating members are required to contribute 4.5 percent of their annual salary to IMRF. The Village is required to contribute the remaining amounts necessary to fund the coverage of its own employees in the system, using the actuarial basis specified by state statute. Police Pension Plan - Police sworn personnel are covered by the Police Pension Plan which is 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 and may be amended only by the Illinois legislature. The Village's payroll for employees covered by the Police Pension Plan for the year ended December 31, 1997, was $1,817,044 out of a total Village payroll of$8,797,716. As of December 31, 1997, the Police Pension Plan membership consisted of: Retirees and beneficiaries currently receiving benefits Terminated employees entitled to benefits but not yet receiving them 20 Current employees: Vested/nonvested 39 Total 59 The Police Pension Plan 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 3%annually. Covered employees are required to contribute 9%of their base salary to the Police Pension Plan. If an employee leaves covered employment with less than 20 years of service, accumulated employee contributions may be refunded without accumulated interest. The Village is required to contribute the remaining amounts necessary to finance the plan as actuarially determined by an enrolled actuary. By the year 2033 the Village's contributions must accumulate to the point where the past service cost for the Police Pension Plan is fully funded. 23 VILLAGE OF OAK BROOK, ILLINOIS NOTES TO FINANCIAL STATEMENTS Note 12. Employee Retirement Systems (continued) Firefighters'Pension Plan- Fire sworn personnel are covered by the Firefighters' Pension Plan which is a defined _ benefit single-employer pension plan. Although this is a single-employer pension plan,the defined benefits as well as the employee and employer contributions levels are mandated by Illinois Compiled Statutes and may be amended only by the Illinois legislature. The Village's payroll for employees covered by the Firefighters' Pension Plan for the year ended December 31, 1997, was $1,476,242 out of a total Village payroll of$8,797,716. As of December 31, 1997, the Firefighters' Pension Plan membership consisted of: Retirees and beneficiaries currently receiving benefits and terminated employees entitled to benefits but not vet receiving them 21 Current employees: Vested/nonvested 29 Total 50 The Firefighters' Pension Plan 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 a monthly retirement benefit of one-half of the monthly salary attached to the rank held in the fire service at the date of retirement. The monthly pension shall be increased by one-twelfth of 2% of such monthly salary for each _ additional month over 20 years of service through 30 years of service and one-twelfth of 1% of such monthly service for each additional month over 30 years of service, to a maximum of 75% of such monthly salary. Employees with at least 10 years but less than 20 years of credited service may retire at or after age 60 and receive a reduced retirement benefit. The monthly pension of a firefighter who retired with 20 or more years of service after January 1, 1977, shall be increased 3%annually. Covered employees are required to contribute 8-1/4% of their salary to the Firefighters' Pension Plan. If an r employee leaves covered employment with less than 20 years of service, accumulated employee contributions may be refunded without accumulated interest. The Village is required to contribute the remaining amounts necessary to finance the plan as actuarially determined by an enrolled actuary. By the year 2033 the Village's contributions must accumulate to the point where the past service cost for the Firefighter's Pension Plan is fully funded. Investment Concentrations As of December 31, 1997, the Police Pension Plan holds an insurance contract from Nationwide Life Insurance Company with a carrying value of$1,036,671 which represents 6.01%of Plan assets. W Funding Status and Progress The amount shown below as the "pension benefit obligation" is a standardized disclosure measure of the present value of pension benefits, adjusted for the effects of projected salary increases and step-rate benefits, estimated to _ be payable in the future as a result of employee service to date. The measure is intended to help users assess the funding status of the system on a going-concern basis, assess progress made in accumulating sufficient assets to pay benefits when due, and make comparisons among employers. The measure is the actuarial present value of credited projected benefits and is independent of the funding method used to determine contributions to the —' systems. 24 VILLAGE OF OAK BROOK, ILLINOIS NOTES TO FINANCIAL STATEMENTS Note 12. Employee Retirement Systems (continued) The pension benefit obligations were computed as part of actuarial valuations performed as of the following dates, and the significant actuarial assumptions used in those valuations are as follows: Illinois Municipal Police Pension Firefighters'Pension Retirement Fund Plan Plan Actuarial valuation date December 31, 1996 December 31, 1997 December 31, 1997 Significant actuarial assumptions a) Rate of return on investment of 7.50 compounded 7.50%compounded 7.50%compounded present and future assets annually annually annually b) Projected salary increases- 4.00 compounded 5.25%compounded 5.50%compounded attributable to inflation annually annually annually c) Additional projected salary .4%to 7.0%depending on increases-attributable to age and service attributable seniority/merit to seniority and merit d) Post-retirement benefit increases 3.00% 3.00%compounded 3.00%compounded annually annually * Separate information is not available. The unfunded pension benefit obligation applicable to the Village's employees as of the preceding valuation dates and within their respective system plan are as follows: Illinois Municipal Police Firefighters' Retirement Pension Pension Total Pension benefit obligation: Retirees and beneficiaries currently receiving benefits $ ** $ 7,993,529 $ 8,554,803 $ 16,548,332 _ Terminated employees not yet receiving benefits 767,858 *** *** 767,858 Current employees: Accumulated employee contributions including allocated investment earnings 1,175,142 1,414,916 1,125,643 3,715,701 Employer-financed vested 2,328,404 6,073,977 4,788,684 13,191,065 Employer-financed nonvested 261,505 621,758 1,039,293 1,922,556 Total pension benefit obligation 4,532,909 16,104,180 15,508,423 36,145,512 Net assets available for benefits, at market 5,039,789 17,240,465 16,159,276 38,439,530 (Assets in excess of)pension benefit obligation $ (506,880) $ (1,136,285) $ (650,853) $ (2,294,018) 25 VILLAGE OF OAK BROOK, ILLINOIS NOTES TO FINANCIAL STATEMENTS Note 12. Employee Retirement Systems (continued) ** For IMRF, the pension benefit obligation applicable to retirees and beneficiaries currently receiving benefits _ is not included in the above schedule due to the fact that this obligation was transferred from the Village to IMRF as a whole when the annuity became payable. The amount reported is from a separate plan within the IMRF structure and represents one retired employee. _ *** The concept of vesting is not clearly defined in Illinois State Statutes. Benefit accrual rates are delineated, but they do not assist in definitively determining vesting status. As such, no detail allocation can be _ determined for the Police and Firefighters' Pension Funds. Actuarial assumptions used to determine the pension benefit obligation for 1996 for IMRF were changed due to _ the 1993-1995 experience study. The principal changes were: • Fewer members are expected to take refunds. _ • Most SLEP members are expected to retire. • The inflation salary assumption was lowered to 4.00%from 4.25%. • Expected salary increases due to longevity were increased. Actuarially Determined Contributions Required and Contributions Made: The funding policy provides for actuarially determined periodic contributions at rates that will accumulate sufficient assets to pay benefits when due without having to be increased for future taxpayers. The contribution rate for normal cost is determined using the entry age normal actuarial funding method. All use the level percentage of payroll method to amortize the unfunded liability over a 36-year period. Actuarial assumptions of investment rate of return used to determine the pension benefit obligation for 1997 for Police Pension were changed from 7.25%to 7.50%. 26 VILLAGE OF OAK BROOK,ILLINOIS NOTES TO FINANCIAL STATEMENTS Note 12. Employee Retirement Systems (continued) The following contributions to the systems for the year ended December 31, 1997, were determined in accordance with actuarially determined requirements computed through actuarial valuations: Illinois Municipal Police Firefighters' Retirement Pension Pension Contribution requirements: As a dollar amount: Normal cost $ 432,925 $ 376,306 $ 328,679 Amortization of unfunded actuarial accrued liability/(surplus) 9,301 (17,977) (38,844) Death and disability cost 10,905 - - Supplemental retirement benefits 19,885 - - $ 473,016 $ 358,329 $ 289,835 As a%of current covered payroll: Normal cost 11.94% 20.71% 22.26% Amortization of unfunded actuarial accrued liability/(surplus) 0.26% (0.99)% (2.63)% Death and disabilitv cost 0.30% - - Supplemental retirement benefits 0.55% - - 13.05% 19.72% 19.63% Contributions made: _ As a dollar amount Employer $ 309,925 $ 224,440 $ 178,626 Employee 163,091 163,534 121,790 $ 473,016 $ 387,974 $ 300,416 -- As a%of current covered payroll Employer 8.55% 12.40% 12.10% Employee 4.50% 9.00% 8.25% 13.05% 21.40% 20.35% Trend Information: Historical trend information gives an indication of the progress made in accumulating sufficient assets to pay benefits when due. The available trend information for these systems is presented within the required supplementary information of this report. 27 VILLAGE OF OAK BROOK, ILLINOIS NOTES TO FINANCIAL STATEMENTS Note 12. Employee Retirement Systems (continued) Within the Village's financial statements the required three-year historical trend information for each system is as _ follows: Illinois Municipal Police Firefighters' Fiscal Retirement Pension Pension Year Fund Plan Plan Net assets available for benefits 1995 96.89 97.95 103.73 _ as a%of the pension benefit 1996 111.18 101.43 102.36 obligation 1997 * 107.06 104.20 Unfunded(assets in excess of)pension benefit obligation as a percentage 1995 4.16 16.07 (31.19) of annual covered payroll 1996 (15.80) (12.39) (21.55) 1997 * (62.53) (44.09) Employer contributions As a percentage of annual 1995 9.17 16.12 17.92 covered payroll 1996 8.37 12.88 6.62 1997 8.55 12.35 12.10 * For IMRF, pension benefit obligation is not available at December 31, 1997. Note 13. Contingent Liabilities Litigation: The Village is a defendant in various lawsuits. Although the outcome of these lawsuits is not presently determinable, in the opinion of the Village's attorney, the resolution of these matters will not have a material effect on the financial condition of the Village. _ Grants: Amounts received or receivable from grantor agencies are subject to audit and adjustment by grantor agencies, principally the federal government. Any disallowed claims, including amounts already collected, may _ constitute a liability of the applicable funds. The amount, if any, of expenditures which may be disallowed by the grantor cannot be determined at this time although the Village expects such amounts, if any, to be immaterial. DuPage Water Commission: The Village's agreement with the DuPage Water Commission provides that each member is liable for its proportionate share of any cost arising from defaults in payment obligations by other members. _ 28 This page was intentionally left blank. L y SUPPLEMENTARY FINANCIAL INFORMATION i — VILLAGE OF OAK BROOK,ILLINOIS REQUIRED SUPPLEMENTARY INFORMATION ANALYSIS OF FUNDING PROGRESS ILLINOIS MUNICIPAL RETIREMENT FUND December 31,1997 Net (Overfunded) Assets Unfunded Available Pension for Benefit Benefits Unfunded Obligation _ Net as a (Assets in as a Assets Percentage Excess of) Percentage Calendar Available Pension of Pension Pension Annual of Annual Year for Benefit Benefit Benefit Covered Covered Ended Benefits Obligation Obligation Obligation Payroll Payroll 1987 $ 1,195,714 $ 1,490,597 80.22 % $ 294,883 $ 1,538,494 19.17 % 1988 1,331,778 1,715,964 77.61 384,186 1,726,898 22.25 1989 1,363,418 1,783,586 76.44 420,168 1,859,331 22.60 1990 1,720,746 2,266,520 75.92 545,774 2,017,357 27.05 1991 2,044,423 2,408,970 84.87 364,547 2,183,468 16.70 1992 2,369,632 2,559,996 92.56 190,364 2,285,435 8.33 1993 2,677,785 2,867,734 93.38 189,949 2,374,822 8.00 1994 2,972,261 3,123,466 95.16 151,205 2,706,579 5.59 1995 4,026,496 4,155,650 96.89 129,154 3,104,866 4.16 1996 5,039,789 4,532,909 111.18 (506,880) 3,207,244 (15.80) Analysis of the dollar amounts of net assets available for benefits,pension benefit obligation, and unfunded pension benefit obligation in isolation can be misleading. Expressing the net assets available for benefits as a percentage of the pension benefit obligation provides one indication of funding status on a going-concern basis. Analysis of this percentage over time indicates whether the system is becoming financially stronger or weaker. Generally, the greater this percentage, the stronger the PERS. Trends in unfunded pension benefit obligation and annual covered payroll are both affected by inflation. Expressing the unfunded pension benefit obligation as a percentage of annual covered payroll approximately adjusts for the effects of inflation and aids analysis of progress made in accumulating sufficient assets to pay benefits when due. Generally,the smaller the percentage,the stronger the PERS. 30 VILLAGE OF OAK BROOK,ILLINOIS REQUIRED SUPPLEMENTARY INFORMATION SCHEDULE OF FUNDING PROGRESS POLICE PENSION FUND v Actuarial OAAL as a Actuarial Accrued Overfunded Percentage of Actuarial Value of Liability(AAL) AAL Funded Covered Covered Valuation Assets Entry Age (OAAL) Ratio Payroll Payroll Date (a) (b) (b-a) (a/b) (c) ((b-a)/c) i 12/31/97 $ 17,240,465 $ 15,849,416 $(1,391,049) 108.8% $ 1,817,044 (76.56)% SCHEDULE OF EMPLOYER CONTRIBUTIONS Year Annual Ended Required Percentage December 31 Contribution Contributed 1997 $ 216,370 103.7% Information is presented for all years for which the information, according to the parameters, is available. The information presented in the required supplementary schedules was determined as part of the actuarial valuations at the dates indicated. Additional information as of the latest actuarial valuation follows: Valuation date 12/31/97 Actuarial cost method Entry age Amortization method Level percentage of pay closed Remaining amortization period 36 years Asset valuation method Market Actuarial assumptions: Investment rate of return 7.5% Projected salary increases * 5.25% *Includes inflation at cost-of-living Cost-of-living adjustments 3.0%per year i i 31 VILLAGE OF OAK BROOK,ILLINOIS REQUIRED SUPPLEMENTARY INFORMATION SCHEDULE OF FUNDING PROGRESS FIREFIGHTERS' PENSION FUND Actuarial OAAL as a Actuarial Accrued Overfunded Percentage of Actuarial Value of Liability(AAL) AAL Funded Covered Covered Valuation Assets Entry Age (OAAL) Ratio Payroll Payroll Date (a) (b) (b-a) (a/b) (c) ((b-a)/c) 12/31/97 $ 16,159,276 $ 15,009,251 $ (1,150,025) 107.7% $ 1,476,242 (77.90)% SCHEDULE OF EMPLOYER CONTRIBUTIONS Year Annual _ Ended Required Percentage December 31 Contribution Contributed _ 1997 $ 180,026 99.2% Information is presented for all years for which the information, according to the parameters, is available. The information presented in the required supplementary schedules was determined as part of the actuarial valuations at the dates indicated. Additional information as of the latest actuarial valuation follows: _ Valuation date 12/31/97 Actuarial cost method Entry age Amortization method Level percentage of pay closed Remaining amortization period 36 years Asset valuation method Market Actuarial assumptions: Investment rate of return 7.50% Projected salary increases * 5.50% * Includes inflation at cost-of-living Cost-of-living adjustments 3.0%per year 32 This page was intentionally left blank. — .. sem. 6. GOVERNMENTAL FUND TYPES V w GENERAL FUND s General Fund - to account for resources traditionally associated with gov- ernments which are not required to be accounted for in another fund. VILLAGE OF OAK BROOK,ILLINOIS SCHEDULE OF REVENUES-BUDGET AND ACTUAL GENERAL FUND Year Ended December 31, 1997 Variance Favorable Budget Actual (Unfavorable) Intergovernmental: Municipal sales tax $ 11,323,000 $ 11,001,446 $ (321,554) Illinois state income tax 632,840 691,348 58,508 Corporate personal property replacement taxes 170,385 191,222 20,837 York Township road and bridge tax 136,000 145,509 9,509 Foreign fire insurance tax 27,800 - (27,800) 12,290,025 12,029,525 (260,500) Licenses and permits 361,200 404,998 43,798 Service charges 327,100 305,137 (21,963) Fines and penalties 231,500 214,086 (17,414) Interest on investments 605,000 778,948 173,948 Franchise fees 192,000 212,020 20,020 _ Other 94,015 34,470 (59,545) 1,810,815 1,949,659 138,844 Total revenues $ 14,100,840 $ 13,979,184 $ (121,656) 34 VILLAGE OF OAK BROOK,ILLINOIS _ SCHEDULE OF EXPENDITURES-BUDGET AND ACTUAL GENERAL FUND Year Ended December 31, 1997 Variance Favorable Budget Actual (Unfavorable) General government: Legislative and General Management: Board of Trustees: Personnel $ 59,850 $ 52,413 $ 7,437 Materials and supplies 10,950 4,449 6,501 Operation and contractual 61,620 33,365 28,255 132,420 90,227 42,193 Village Clerk: Personnel 72,355 72,352 3 Materials and supplies 11,435 9,475 1,960 Operation and contractual 11,885 11,882 3 95,675 93,709 1,966 Legal: Personnel 103,895 103,894 1 Materials and supplies 3,655 3,066 589 Operation and contractual 40,770 40,766 4 148,320 147,726 594 General Management: Personnel 253,085 253,082 3 Materials and supplies 2,850 2,147 703 Operation and contractual 2,585 733 1,852 258,520 255,962 2,558 Human Resources: Personnel 45,685 45,522 163 Materials and supplies 1,040 1,040 - Operation and contractual 163,165 163,160 5 209,890 209,722 168 Risk Management: Personnel 16,225 15,746 479 Operation and contractual 487,300 476,160 11,140 503,525 491,906 11,619 (continued) 35 VILLAGE OF OAK BROOK,ILLINOIS SCHEDULE OF EXPENDITURES-BUDGET AND ACTUAL (Continued) GENERAL FUND Year Ended December 31, 1997 Variance Favorable Budget Actual (Unfavorable) General government: (continued) Legislative and General Management: (continued) Emergency Management: Personnel $ 11,500 $ 10,090 $ 1,410 Materials and supplies 1,485 608 877 Operation and contractual 3,950 1,837 2,113 Capital 3,900 3,550 350 20,835 16,085 4,750 General Services: Personnel 41,650 36,072 5,578 Materials and supplies 37,850 32,406 5,444 Operation and contractual 130,940 130,939 1 Capital 42,360 - 42,360 252,800 199,417 53,383 Purchasing and Grants: Personnel 67,850 63,070 4,780 Materials and supplies 2,870 2,869 1 r Operation and contractual 365 70 295 71,085 66,009 5,076 Information Systems: Personnel 184,745 159,289 25,456 Materials and supplies 45,090 26,849 18,241 r Operation and contractual 137,415 82,178 55,237 Capital 388,245 388,240 5 755,495 656,556 98,939 r Village Communications Center: Personnel 405,455 381,372 24,083 r Materials and supplies 990 987 3 Operation and contractual 12,720 9,373 3,347 Capital 40,000 18,133 21,867 _ 459,165 409,865 49,300 Total Legislative and r General Management 2,907,730 2,637,184 270,546 (continued) 36 VILLAGE OF OAK BROOK,ILLINOIS SCHEDULE OF EXPENDITURES-BUDGET AND ACTUAL (Continued) GENERAL FUND Year Ended December 31, 1997 Variance Favorable Budget Actual (Unfavorable) General government: (continued) _ Financial Services: Financial Services Management: Personnel $ 103,640 $ 103,218 $ 422 Materials and supplies 915 833 82 Operation and contractual 10,060 9,155 905 114,615 113,206 1,409 -" Accounting and Reporting: Personnel 234,670 215,585 19,085 Materials and supplies 11,450 10,043 1,407 Operation and contractual 12,645 12,292 353 Capital 6,500 - 6,500 265,265 237,920 27,345 Total Financial Services 379,880 351,126 28,754 Engineering and Capital Projects: Engineering: Personnel 283,725 283,720 5 Materials and supplies 7,590 1,884 5,706 Operation and contractual 23,775 16,610 7,165 Capital 12,000 11,436 564 327,090 313,650 13,440 Municipal Building Improvements: Operation and contractual 300,000 18,912 281,088 Capital 1,953,000 81,135 1,871,865 2,253,000 100,047 2,152,953 Total Engineering and Capital Projects 2,580,090 413,697 2,166,393 Total general government 5,867,700 3,402,007 2,465,693 (continued) 37 VILLAGE OF OAK BROOK,ILLINOIS SCHEDULE OF EXPENDITURES-BUDGET AND ACTUAL (Continued) GENERAL FUND Year Ended December 31, 1997 _ Variance Favorable Budget Actual (Unfavorable) Public safety: Police Department: Police Services Management: Personnel $ 231,570 $ 231,569 $ 1 Materials and supplies 10,670 9,865 805 Operation and contractual 44,755 44,712 43 286,995 286,146 849 Police Field Services: Personnel 2,175,810 2,175,810 - Materials and supplies 6,640 6,242 398 Operation and contractual 206,820 206,401 419 Capital 23,000 22,989 11 2,412,270 2,411,442 828 Police General Support: _ Personnel 155,985 155,846 139 Materials and supplies 12,615 12,243 372 Operation and contractual 7,820 6,803 1,017 Capital 745 744 1 177,165 175,636 1,529 Police Investigations: Personnel 388,875 387,850 1,025 Materials and supplies 10,450 7,617 2,833 Operation and contractual 32,400 26,863 5,537 Capital 6,300 5,426 874 438,025 427,756 10,269 (continued) r. 38 VILLAGE OF OAK BROOK,ILLINOIS SCHEDULE OF EXPENDITURES-BUDGET AND ACTUAL (Continued) GENERAL FUND Year Ended December 31, 1997 Variance Favorable Budget Actual (Unfavorable) Public safety: (continued) _ Police Department: (continued) Police Records: Personnel $ 162,070 $ 162,066 $ 4 Materials and supplies 6,055 5,820 235 Operation and contractual 5,665 5,107 558 173,790 172,993 797 Public Relations/Crime Prevention: Personnel 69,395 69,393 2 Materials and supplies 2,830 2,824 6 Operation and contractual 6,220 6,220 - 78,445 78,437 8 Total Police Department 3,566,690 3,552,410 14,280 Fire and Community Development: Fire Service Management: Personnel 210,430 210,425 5 Materials and supplies 660 483 177 Operation and contractual 7,405 7,403 2 218,495 218,311 184 Fire Suppression: Personnel 1,822,705 1,822,703 2 Materials and supplies 18,365 18,365 - Operation and contractual 199,700 199,695 5 Capital 52,055 52,051 4 2,092,825 2,092,814 11 Emergency Medical Services: Personnel 323,855 315,180 8,675 Materials and supplies 7,050 6,557 493 Operation and contractual 203,045 190,313 12,732 Capital 10,000 6,050 3,950 543,950 518,100 25,850 (continued) 39 VILLAGE OF OAK BROOK,ILLINOIS SCHEDULE OF EXPENDITURES-BUDGET AND ACTUAL (Continued) GENERAL FUND Year Ended December 31, 1997 - Variance Favorable - Budget Actual (Unfavorable) Public safety: (continued) Fire and Community Development: (continued) Code Enforcement: Personnel $ 284,060 $ 283,812 $ 248 Materials and supplies 6,740 6,738 2 Operation and contractual 39,380 39,360 20 Capital 7,460 7,456 4 -_ 337,640 337,366 274 Planning and Zoning: ._ Personnel 115,060 112,450 2,610 Materials and supplies 1,500 180 1,320 Operation and contractual 27,850 15,582 12,268 _ 144,410 128,212 16,198 Total Fire and Code Enforcement 3,337,320 3,294,803 42,517 _ Total public safety 6,904,010 6,847,213 56,797 Public works: Public Works Management: - Personnel 209,125 209,121 4 _ Materials and supplies 2,230 2,230 - Operation and contractual 11,380 11,216 164 222,735 222,567 168 Mosquito Control: Operation and contractual 50,520 36,083 14,437 Building and Grounds: Personnel 91,230 57,740 33,490 Materials and supplies 8,905 6,465 2,440 Operation and contractual 143,520 129,197 14,323 Capital 12,900 7,968 4,932 256,555 201,370 55,185 (continued) 40 VILLAGE OF OAK BROOK, ILLINOIS SCHEDULE OF EXPENDITURES-BUDGET AND ACTUAL (Continued) GENERAL FUND Year Ended December 31, 1997 Variance Favorable Budget Actual (Unfavorable) Public works: (continued) Streets -General Salaries: Personnel $ 490,320 $ 490,318 $ 2 Street Maintenance: Materials and supplies 2,740 1,996 744 Operation and contractual 123,125 107,630 15,495 Capital 1,000 857 143 126,865 110,483 16,382 Traffic and Lighting Maintenance: Operation and contractual 116,110 116,107 3 Snow Removal: Personnel 41,740 41,739 1 Materials and supplies 44,525 41,884 2,641 Operation and contractual 46,375 42,155 4,220 132,640 125,778 6,862 Drainage Maintenance: Operation and contractual 57,285 57,281 4 Forestry: Personnel 16,770 12,586 4,184 Materials and supplies 1,350 925 425 Operation and contractual 122,110 100,043 22,067 140,230 113,554 26,676 Safety Pathway Maintenance: Operation and contractual 24,720 22,261 2,459 Recycling Subsidy: Operation and contractual 5,200 4,951 249 Traffic and Lighting Improvements: Capital 31,510 9,160 22,350 (continued) 41 VILLAGE OF OAK BROOK,ILLINOIS _ SCHEDULE OF EXPENDITURES-BUDGET AND ACTUAL (Continued) GENERAL FUND Year Ended December 31, 1997 Variance Favorable Budget Actual (Unfavorable) Public works: (continued) Jorie Boulevard Project: Operation and contractual $ 490 $ 488 $ 2 Total public works 1,655,180 1,510,401 144,779 Culture and recreation: ._ Library General Salaries: Personnel 338,265 335,138 3,127 Library General Operations: Personnel 7,000 6,149 851 Materials and supplies 9,000 7,355 1,645 .. Operation and contractual 44,310 37,069 7,241 Capital 4,500 4,446 54 64,810 55,019 9,791 Library Technical Services: Materials and supplies 9,800 8,505 1,295 Operation and contractual 6,795 3,894 2,901 16,595 12,399 4,196 Library Reference and Adult Services: Materials and supplies 24,160 24,156 4 Operation and contractual 9,740 9,739 1 _ Capital 55,575 55,556 19 89,475 89,451 24 Library Youth Services: Materials and Supplies 1,055 1,055 - Operation and Contractual 1,595 1,585 10 _ Capital 19,600 19,314 286 22,250 21,954 296 Community Events: Operation and contractual 154,495 154,495 - Total culture and recreation 685,890 668,456 17,434 Total expenditures $ 15,112,780 $ 12,428,077 $ 2,684,703 42 - - SPECIAL REVENUE FUNDS Hotel/Motel Tax Fund - to account for local hotel/motel tax receipts re- stricted for promoting tourism and conventions in the Village. Motor Fuel Tax Fund - to account for State Gasoline Tax Allocations re- stricted for local roadway program expenditures. Foreign Fire Insurance Tax Fund - to account for Foreign Fire Insurance revenue restricted for the purchase of items for the benefit of the fire department. VILLAGE OF OAK BROOK,ILLINOIS COMBINING BALANCE SHEET SPECIAL REVENUE FUNDS December 31, 1997 Foreign Fire Hotel/Motel Motor Fuel Insurance ASSETS Tax Tax Tax Total Cash and investments $ 431,355 $ 826,324 $ - $ 1,257,679 _ Receivables: Allotments - 17,989 - 17,989 Accrued interest 2,868 6,017 - 8,885 Other-Hotel/motel tax 29,889 - - 29,889 Due from other funds - - 27,832 27,832 Total assets $ 464,112 $ 850,330 $ 27,832 $ 1,342,274 LIABILITIES AND FUND BALANCES Liabilities — Accounts payable $ 130,689 $ - $ - $ 130,689 Fund Balances Unreserved 333,423 850,330 27,832 1,211,585 Total liabilities and fund balances $ 464,112 $ 850,330 $ 27,832 $ 1,342,274 43 VILLAGE OF OAK BROOK,ILLINOIS ... COMBINED STATEMENT OF REVENUES,EXPENDITURES AND CHANGES IN FUND BALANCES-BUDGET AND ACTUAL _ SPECIAL REVENUE FUNDS Year Ended December 31, 1997 Hotel/Motel Tax Variance Favorable Budget Actual (Unfavorable) Revenues: Intergovernmental $ - $ - $ - Hotel/motel taxes 278,500 312,383 33,883 Interest on investments 10,000 19,397 9,397 Total revenues 288,500 331,780 43,280 -- Expenditures-current: Culture and recreation 342,345 342,344 1 Excess (deficiency) of revenues over expenditures (53,845) (10,564) 43,281 i Other financing(uses): Operating transfers (out) - - - Excess (deficiency)of revenues and other financing sources over expenditures ... and other financing uses $ (53,845) (10,564) $ 43,281 Fund balances: ... Beginning 343,987 Ending $ 333,423 i 44 - Motor Fuel Tax Foreign Fire Insurance Tax Totals _ Variance Variance Variance Favorable Favorable Favorable Budget Actual (Unfavorable) Budget Actual (Unfavorable) Budget Actual (Unfavorable) $ 223,000 $ 225,603 $ 2,603 $ - $ 27,832 $ 27,832 $ 223,000 $ 253,435 $ 30,435 - - - - - - 278,500 312,383 33,883 32,500 41,289 8,789 - - - 42,500 60,686 18,186 255,500 266,892 11,392 - 27,832 27,832 544,000 626,504 82,504 - - - - - - 342,345 342,344 1 255,500 266,892 11,392 - 27,832 27,832 201,655 284,160 82,505 (1,080) (1,080) - - - - (1,080) (1,080) - $ 254,420 265,812 $ 11,392 $ - 27,832 $ 27,832 $ 200,575 283,080 $ 82,505 584,518 - 928,505 $ 850,330 $ 27,832 $1,211,585 45 r a This page was intentionally left blank. r 4 i r - PROPRIETARY FUND TYPES ` to.,, 6w i i i This page was intentionally left blank. VILLAGE OF OAK BROOK,ILLINOIS COMBINING BALANCE SHEET ENTERPRISE FUNDS December 31, 1997 Waterworks Sports ASSETS System Core Total Current Assets Cash and investments $ 5,148,714 $ 30,032 $ 5,178,746 Receivables,net of allowances for -- uncollectibles,where applicable Billed water sales 134,759 - 134,759 Unbilled water sales 262,738 - 262,738 Accrued interest 42,626 - 42,626 Other 4,845 33,308 38,153 Inventories - 130,470 130,470 ... Total current assets 5,593,682 193,810 5,787,492 Restricted Assets Cash and investments - 28,021 28,021 Fixed Assets Property, plant and equipment 16,725,376 13,961,018 30,686,394 Accumulated depreciation (6,291,691) (3,035,665) (9,327,356) 10,433,685 10,925,353 21,359,038 Other Assets Water purchase rights 1,813,313 - 1.813,313 Total assets $ 17,840,680 $ 11,147,184 $ 28,987,864 46 Waterworks Sports LIABILITIES AND FUND EQUITY System Core Total _ Current Liabilities Accounts payable $ 253,571 $ 41,978 $ 295,549 Accrued payroll 3,336 8,647 11,983 Compensated absences 17,076 19,843 36,919 Deposits payable - 18,500 18,500 Due to other funds 5,356 72,455 77,811 Notes payable - 144,994 144,994 Total current liabilities 279,339 306,417 585,756 Advances from other funds - 650,000 650,000 Total liabilities 279,339 956,417 1,235,756 Fund Equity Contributed capital - 11,025,590 11,025,590 Retained earnings (deficit): Reserved-Golf surcharge - 28,021 28,021 Unreserved 17,561,341 (862,844) 16,698,497 Total retained earnings (deficit) 17,561,341 (834,823) 16,726,518 Total fund equity 17,561,341 10,190,767 27,752,108 Total liabilities and fund equity $ 17,840,680 $ 11,147,184 $ 28,987,864 47 VILLAGE OF OAK BROOK,ILLINOIS COMBINING STATEMENT OF REVENUES,EXPENSES, AND CHANGES IN RETAINED EARNINGS ENTERPRISE FUNDS Year Ended December 31, 1997 Waterworks Sports System Core Total Operating revenues: Charges for services $ 3,390,805 $ 2,724,169 $ 6,114,974 Miscellaneous 41,607 - 41,607 _ Total operating revenues 3,432,412 2,724,169 6,156,581 Operating expenses: Operation of facilities 2,807,248 2,701,111 5,508,359 _ Depreciation and amortization 461,385 278,606 739,991 Total operating expenses 3,268,633 2,979,717 6,248,350 Operating income(loss) 163,779 (255,548) (91,769) Nonoperating revenues (expenses): Interest on investments 277,475 3,064 280,539 Gain on sale of fixed assets - 5,500 5,500 Interest expense - (11,037) (11,037) Total nonoperating revenues (expenses) 277,475 (25473) 275,002 Income(loss)before operating transfers 441,254 (258,021) 183,233 Operating transfers in - 128,897 128,897 Operating transfers (out) (219,300) - (219,300) Net income(loss) 221,954 (129,124) 92,830 Retained earnings (deficit): Beginning 17,339,387 (705,699) 16,633,688 Ending $ 17,561,341 $ (834,823)$ 16,726,518 i 48 VILLAGE OF OAK BROOK,ILLINOIS COMBINING STATEMENT OF CASH FLOWS ENTERPRISE FUNDS _. Year Ended December 31, 1997 Waterworks Sports System Core Total Cash Flows from Operating Activities Operating income(loss) $ 163,779 $ (255,548) $ (91,769) Adjustments to reconcile operating income(loss)to net cash provided by(used in)operating activities: Depreciation and amortization 461,385 278,606 739,991 Changes in assets and liabilities: Accounts receivable (24,017) - (24,017) Other receivable (2,182) 2,393 211 Inventories - (28,985) (28,985) Accounts payable 3,384 3,567 6,951 Accrued payroll and compensated absences (11,823) (20,010) (31,833) Deposits payable - 1,777 1,777 Net cash provided by(used in)operating activities 590,526 (18,200) 572,326 Cash Flows from Noncapital Financing Activities Advances from other funds - 650,000 650,000 Net increase(decrease)in amounts due to other funds 5,356 (552,500) (547,144) Operating transfers in - 128,897 128,897 Operating transfers(out) (219,300) - (219,300) Net cash provided by(used in) noncapital financing activities (213,944) 226,397 12,453 Cash Flows from Capital and Related Financing Activities _ Purchase of fixed assets (256,539) (152,405) (408,944) Proceeds from sale of fixed assets - 20,642 20,642 Proceeds from notes payable - 149,425 149,425 Principal paid on notes payable - (209,174) (209,174) Interest paid on notes payable - (11,037) (11,037) Net cash(used in)capital and related financing activities (256,539) (202,549) (459,088) Cash Flows from Investing Activities Investment purchases (1,000,967) - (1,000,967) Water purchase rights rebate 91,075 - 91,075 Interest received on investments 267,603 3,064 270,667 Net cash provided by(used in)investing activities (642,289) 3,064 (639,225) _ Net increase(decrease)in cash and cash equivalents (522,246) 8,712 (513,534) Cash and cash equivalents: Beginning 2,643,184 49,341 2,692,525 Ending $ 2,120,938 $ 58,053 $ 2,178.991 Reconciliation of Cash and Cash Equivalents to Combining Balance Sheet Cash and cash equivalents $ 2,120,938 $ 58,053 $ 2,178,991 Investments 3,027,776 - 3,027,776 $ 5,148,714 $ 58,053 $ 5,206,767 49 VILLAGE OF OAK BROOK,ILLINOIS STATEMENT OF REVENUES,EXPENSES,AND CHANGES IN RETAINED EARNINGS -BUDGET AND ACTUAL r WATERWORKS SYSTEM Year Ended December 31, 1997 Variance Favorable Budget Actual (Unfavorable) Operating revenues: Charges for services: Water sales $ 3,249,500 $ 3,145,814 $ (103,686) Unmetered sales 7,500 4,147 (3,353) Water tap on charges 48,400 115,247 66,847 Fire service charges 42,000 95,924 53,924 Meter fees and special services 25,700 29,673 3,973 Miscellaneous 39,700 41,607 1,907 Total operating revenues 3,412,800 3,432,412 19,612 Operating expenses: Operation of facilities 3,040,350 2,807,248 233,102 Depreciation and amortization - 461,385 (4611385) Total operating expenses 3,040,350 3,268,633 (228,283) Operating income 372,450 163,779 (208,671) -� Nonoperating revenues (expenses): Interest on investments 210,000 277,475 67,475 Income before operating transfers 582,450 441,254 (141,196) Operating transfers (out) (219,300) (219,300) - Net income $ 363,150 221,954 $ (141,196) -- Retained earnings: Beginning 17,339,387 Ending $ 17,561,341 50 VILLAGE OF OAK BROOK,ILLINOIS SCHEDULE OF OPERATING EXPENSES-BUDGET AND ACTUAL WATERWORKS SYSTEM Year Ended December 31, 1997 a Variance Favorable Budget Actual (Unfavorable) _ Operation of facilities: Public Works: Water Operations: Personnel $ 361,390 $ 360,097 $ 1,293 '— Materials and supplies 9,945 4,609 5,336 Operation and contractual 2,669,015 2,442,542 226,473 Total water operations 3,040,350 2,807,248 233,102 Capital Improvements: Capital 712,620 256,539 456,081 Less: items capitalized (712,620) (256,539) (456,081) Total capital improvements - - - Total operation of facilities 3,040,350 2,807,248 233,102 Depreciation and amortization: Depreciation - 405,808 (405,808) Amortization - 55,577 (55,577) Total depreciation and amortization - 461,385 (461,385) Total operating expenses $ 3,040,350 $ 3,268,633 $ (228,283) s 51 VILLAGE OF OAK BROOK,ILLINOIS SCHEDULE OF PROPERTY, PLANT AND EQUIPMENT AND ACCUMULATED DEPRECIATION WATERWORKS SYSTEM FUND Year Ended December 31, 1997 Property,Plant, and Equipment Additions Balance and Balance January 1 Transfers Disposals December 31 Land and land rights $ 215,800 $ - $ - $ 215,800 Service of supply plant- wells and springs 314,753 - - 314,753 Structure and improvements 644,398 - - 644,398 Electrical pumping equipment 432,286 4,884 - 437,170 Water treatment equipment 8,149 - - 8,149 Distribution, reservoirs,mains ._ and standpipes 13,848,358 166,172 - 14,014,530 Meters and meter installation 657,663 85,483 - 743,146 Hydrants 181,472 - - 181,472 Office furniture and equipment 20,763 - - 20,763 Tools, shop and garage equipment 20,189 - - 20,189 Laboratory equipment 1,070 - - 1,070 Miscellaneous equipment 112,533 - - 112,533 Intangible plant-organization 11,403 - - 11,403 $_16,468,837 $ 256,539 $ - $ 16,725,376 r 52 Rate of Depreciation Accumulated Depreciation or Additions Amortization Balance and Balance Net Asset (Years) January 1 Transfers Disposals December 31 Value $ - $ - $ 215,800 40 180,894 7,869 - 188,763 125,990 40 113,930 16,109 - 130,039 514,359 40 140,677 10,868 - 151,545 285,625 10 8,149 - - 8,149 - 40 4,641,758 348,286 - 4,990,044 9,024,486 15 555,136 10,480 - 565,616 177,530 40 91,949 4,537 - 96,486 84,986 10 20,763 - - 20,763 - 5 15,666 3,938 - 19,604 585 5 1,070 - - 1,070 - 5 104,488 3,721 - 108,209 4,324 5 11,403 - - 11,403 - $ 5,885,883 $ 405,808 $ - $ 6,291,691 $ 10,433,685 53 VILLAGE OF OAK BROOK,ILLINOIS STATEMENT OF REVENUES,EXPENSES,AND CHANGES IN RETAINED EARNINGS-BUDGET AND ACTUAL SPORTS CORE FUND Year Ended December 31, 1997 Variance Favorable Budget Actual (Unfavorable) Operating revenues: Charges for services: Golf $ 1,754,960 $ 1,796,312 $ 41,352 Bath and tennis 965,685 927,857 (37,828) Total operating revenues 2,720,645 2,724,169 3,524 Operating expenses: Golf club 1,283,825 1,232,683 51,142 Bath and tennis 1,508,005 1,468,428 39,577 Depreciation - 278,606 (278,606) Total operating expenses 2,791,830 2,979,717 (18707) Operating(loss) (71,185) (255,548) (184,363) Nonoperating revenues (expenses): ._ Interest on investments 2,500 3,064 564 Gain on sale of fixed assets 785,000 5,500 (779,500) Interest expense (11,065) (11,037) 28 ... 776,435 (2,473) (778,908) Income (loss) before operating transfers 705,250 (258,021) (963,271) Operating transfers in 123,675 128,897 5,222 Net income(loss) $ 828,925 (129,124) $ (958,049) Retained earnings (deficit): Beginning (705,699) Ending $ (834,823) 54 VILLAGE OF OAK BROOK,ILLINOIS SCHEDULE OF OPERATING REVENUES-BUDGET AND ACTUAL SPORTS CORE FUND Year Ended December 31, 1997 Variance Favorable Budget Actual (Unfavorable) Charges for services: _ Golf Fees $ 1,087,160 $ 1,158,049 $ 70,889 Golf surcharge 70,500 71,712 1,212 Memberships 240,450 232,232 (8,218) Merchandise sales 193,600 184,604 (8,996) Food sales 75,050 57,952 (17,098) Beverage sales 88,200 91,763 3,563 1,754,960 1,796,312 41,352 Bath and Tennis: —" Fees 104,010 193,367 89,357 Memberships 205,875 195,520 (10,355) Merchandise sales 1,500 376 (1,124) '— Food sales 436,900 358,849 (78,051) Beverage sales 144,300 116,728 (27,572) Miscellaneous 73,100 63,017 (10,083) 965,685 927,857 (37,828) Total operating revenues $ 2,720,645 $ 2,724,169 $ 3,524 55 VILLAGE OF OAK BROOK,ILLINOIS SCHEDULE OF OPERATING EXPENSES -BUDGET AND ACTUAL SPORTS CORE FUND Year Ended December 31, 1997 Variance Favorable Budget Actual (Unfavorable) Operations -Golf Club: General Operations: Personnel $ 265,240 $ 262,545 $ 2,695 Materials and supplies 198,045 198,040 5 Operation and contractual 87,860 87,854 6 551,145 548,439 2,706 Range Operations: Personnel 77,435 45,094 32,341 Materials and supplies 8,225 5,989 2,236 -- Operation and contractual 2,300 2,300 - 87,960 53,383 34,577 Golf Cart Operations: Personnel 20,030 20,026 4 Materials and supplies 575 344 231 Operation and contractual 42,150 42,148 2 62,755 62,518 237 Y Golf Course Maintenance: Personnel 318,320 318,318 2 Materials and supplies 115,975 107,942 8,033 -• Operation and contractual 39,920 38,034 1,886 474,215 464,294 9,921 Golf Course Lounge Operations: Personnel 35,005 35,002 3 Materials and supplies 71,745 69,047 2,698 Operation and contractual 1,000 - 1,000 107,750 104,049 3,701 Total golf club 1,283,825 1,232,683 51,142 (continued) r 56 VILLAGE OF OAK BROOK,ILLINOIS SCHEDULE OF OPERATING EXPENSES -BUDGET AND ACTUAL (Continued) SPORTS CORE FUND Year Ended December 31, 1997 Variance Favorable Budget Actual (Unfavorable) Operations -Bath and Tennis: General Operations: Personnel $ 234,700 $ 233,314 $ 1,386 Materials and supplies 30,190 30,187 3 _ Operation and contractual 103,145 103,144 1 368,035 366,645 1,390 _ Swimming Operations: Personnel 104,570 98,780 5,790 Materials and supplies 10,235 10,232 3 Operation and contractual 30,850 25,109 5,741 145,655 134,121 11,534 Tennis Operations -Outdoor: Personnel 67,030 67,025 5 Materials and supplies 20,540 20,537 3 Operation and contractual 13,985 13,981 4 101,555 101,543 12 Tennis Operations -Indoor: Personnel 78,985 78,972 13 Materials and supplies 2,470 2,457 13 Operation and contractual 70,150 44,332 25,818 151,605 125,761 25,844 (continued) 57 VILLAGE OF OAK BROOK,ILLINOIS SCHEDULE OF OPERATING EXPENSES-BUDGET AND ACTUAL (Continued) SPORTS CORE FUND Year Ended December 31, 1997 Variance Favorable Budget Actual (Unfavorable) Operations -Bath and Tennis: (continued) Food and Beverage: Personnel $ 349,590 $ 351,597 $ (2,007) Materials and supplies 257,310 255,255 2,055 Operation and contractual 134,255 133,506 749 741,155 740,358 797 Total bath and tennis 1,508,005 1,468,428 39,577 Capital Improvements: Capital outlay 268,940 152,405 116,535 Less: items capitalized (268,940) (152,405) (116,535) Total capital improvements - - - Depreciation - 278,606 (278,606) Total operating expenses $ 2,791,830 $ 2,979,717 $ (187,887) s 1 i� 58 This page was intentionally left blank. VILLAGE OF OAK BROOK,ILLINOIS i SCHEDULE OF PROPERTY,PLANT AND EQUIPMENT AND ACCUMULATED DEPRECIATION SPORTS CORE FUND Year Ended December 31, 1997 Property, Plant and Equipment Additions Balance and Balance -� January 1 Transfers Disposals December 31 Land $ 8,292,249 $ - $ - $ 8,292,249 Land improvements -Golf course 1,696,103 17,240 - 1,713,343 Land improvements -Bath and tennis 151,611 - - 151,611 Buildings -Golf 726,184 - - 726,184 Buildings -Bath and tennis 2,132,836 - - 21132,836 Machinery and equipment-Golf 699,588 118,890 26,946 791,532 Machinery and equipment-Bath and tennis 103,011 16,275 - 119,286 .. Computer equipment 21,367 - - 21,367 Vehicles 12,610 - - 12,610 $ 13,835,559 $ 152,405 $ 26,946 $ 13,961,018 59 Rate of Depreciation Accumulated Depreciation or Additions Amortization Balance and Balance Net Asset (Years) January 1 Transfers Disposals December 31 Value $ - $ - $ - $ - $ 8,292,249 25 868,936 68,268 - 937,204 776,139 10 130,937 13,783 - 144,720 6,891 40 228,909 17,380 - 246,289 479,895 40 1,011,901 92,261 - 1,104,162 1,028,674 10 444,030 72,148 11,804 504,374 287,158 10 52,575 13,540 - 66,115 53,171 5 20,669 545 - 21,214 153 4 10,906 681 - 11,587 1,023 $ 2,768,863 $ 278,606 $ 11,804 $ 3,035,665 $ 10,925,353 60 i i �s i i This page was intentionally left blank. i i i i i i i INTERNAL SERVICE FUNDS Self-Insurance Fund - to account for all costs associated with self- insurance risks for health and dental insurance. Garage Fund - to account for all costs associated with the operation and maintenance of the Village's vehicle fleet equipment. Capital Replacement Fund - to account for revenues and expenditures relative to the replacement of major capital equipment, primarily vehicles. '- VILLAGE OF OAK BROOK,ILLINOIS COMBINING BALANCE SHEET INTERNAL SERVICE FUNDS December 31, 1997 Self- Capital ASSETS Insurance Garage Replacement Total Current Assets Cash and investments $ 310,400 $ 64,059 $ 1,970,438 $ 2,344,897 Receivables: - _ Accounts - 223 - 223 Accrued interest 2,414 - 15,589 18,003 Inventories - 31,382 - 31,382 Total current assets 312,814 95,664 1,986,027 2,394,505 Fixed Assets Equipment - 112,602 3,032,555 3,145,157 Accumulated depreciation - (76,903) (1,586,926) (1,663,829) Total fixed assets - 35,699 1,445,629 1,481,328 Total assets $ 312,814 $ 131,363 $ 3,431,656 $ 3,875,833 LIABILITIES AND FUND EQUITY Current Liabilities Accounts payable $ 500 $ 7,750 $ 53,996 $ 62,246 Accrued payroll -. 767 - 767 Compensated absences - 3,089 - 3,089 Claims payable 87,809 - - 87,809 Due to other funds - 6,947 - 6,947 Total liabilities 88,309 18,553 53,996 160,858 Fund Equity Retained earnings 224,505 112,810 3,377,660 3,714,975 Total liabilities and fund equity $ 312,814 $ 131,363 $ 3,431,656 $ 3,875 833 61 VILLAGE OF OAK BROOK,ILLINOIS COMBINING STATEMENT OF REVENUES,EXPENSES AND CHANGES IN RETAINED EARNINGS INTERNAL SERVICE FUNDS Year Ended December 31, 1997 Self- Capital ` Insurance Garage Replacement Total Operating revenues: Charges for services $ 837,277 $ 332,100 $ 449,450 $ 1,618,827 Operating expenses: - Operation of garage - 301,378 - 301,378 Claims and insurance 838,122 - - 838,122 Depreciation - 17,844 228,321 246,165 Total operating expenses 838,122 319,222 228,321 1,385,665 Operating income(loss) (845) 12,878 221,129 233,162 Nonoperating revenues: Interest on investments 12,357 3,671 104,326 120,354 ... Gain on sale of fixed assets - - 30,532 30,532 Income before operating transfers 11,512 16,549 355,987 384,048 Operating transfers (out) - (18,100) - (18,100) Net income(loss) 11,512 (1,551) 355,987 365,948 Retained earnings: _ Beginning 212,993 114,361 3,021,673 3,349,027 Ending $ 224,505 $ 112,810 $ 3377,660 $ 3,714,975 62 VILLAGE OF OAK BROOK,ILLINOIS COMBINING STATEMENT OF CASH FLOWS INTERNAL SERVICE FUNDS Year Ended December 31, 1997 Self- Capital Insurance Garage Replacement Total _ Cash Flows From Operating Activities Operating income (loss) $ (845) $ 12,878 $ 221,129 $ 233,162 Adjustments to reconcile operating income(loss)to net cash provided by(used in) operating activities: Depreciation - 17,844 228,321 246,165 Changes in assets and liabilities: Inventories - 9,172 - 9,172 _ Accounts payable 500 (11,433) 53,996 43,063 Accrued payroll and compensated absences - (1,700) - (1,700) Claims payable (21,788) - - (21,788) Net cash provided by(used in) operating activities (22,133) 26,761 503,446 508,074 Cash Flows From Noncapital Financing Activities Net increase in amounts due to other funds - 2,205 - 2,205 Operating transfers (out) - (18,100) - (18,100) Net cash flows (used in)noncapital financing activities - (15,895) - (15,895) Cash Flows From Capital and Related Financing Activities Acquisition of equipment - - (247,778) (247,778) Proceeds from sale of equipment - - 41,470 41,470 Net cash (used in) capital and related financing activities - - (206,308) (206,308) Cash Flows from Investing Activities Investment purchases (11,730) - (258,398) (270,128) Investment maturities 50,000 - - 50,000 Interest received on investments 13,332 3,671 102,456 119,459 Net cash provided by(used in) investing activities 51,602 3,671 (155,942) (100,669) - Net increase in cash and cash equivalents 29,469 14,537 141,196 185,202 Cash and cash equivalents: Beginning 109,478 49,522 721,935 880,935 Ending $ 138,947 $ 64,059 $ 863,131 $ 1,066,137 Reconciliation of Cash and Cash Equivalents to Combining Balance Sheet Cash and cash equivalents $ 138,947 $ 64,059 $ 863,131 $ 1,066,137 Investments 171,453 - 1,107,307 1,278,760 $ 310,400 $ 64,059 $ 1,970,438 $ 2,344,897 63 VILLAGE OF OAK BROOK,ILLINOIS STATEMENT OF REVENUES,EXPENSES AND CHANGES IN RETAINED EARNINGS-BUDGET AND ACTUAL _ SELF-INSURANCE FUND Year Ended December 31, 1997 Variance Favorable Budget Actual (Unfavorable) Operating revenues: Charges for services $ 853,700 $ 837,277 $ (16,423) r Operating expenses: Claims and insurance: Insurance 166,495 160,463 6,032 Health claims 586,335 593,666 (7,331) Dental claims 85,300 83,993 1,307 Total operating expenses 838,130 838,122 8 Operating income(loss) 15,570 (845) (16,415) Nonoperating revenues: Interest on investments 17,500 12,357 (5,143) Net income $ 33.070 11,512 $ (21,558) Retained earnings: ,.. Beginning 212,993 Ending $ 224,505 64 VILLAGE OF OAK BROOK,ILLINOIS STATEMENT OF REVENUES,EXPENSES AND CHANGES IN RETAINED EARNINGS-BUDGET AND ACTUAL GARAGE FUND Year Ended December 31, 1997 _ Variance Favorable Budget Actual (Unfavorable) Operating revenues: Charges for services $ 332,100 $ 332,100 $ - Operating expenses: Garage Operations: Personnel 77,255 77,250 5 Materials and supplies 85,960 85,956 4 Operation and contractual 136,395 136,390 5 Capital 1,785 1,782 3 301,395 301,378 17 Depreciation - 17,844 (17,844) Total operating expenses 301,395 319,222 (17,827) Operating income 30,705 12,878 (17,827) Nonoperating revenues: Interest on investments 2,625 3,671 1,046 Income before operating transfers 33,330 16,549 (16,781) Operating transfers (out) (18,100) (18,100) - Net income(loss) $ 15,230 (1,551) $ (16,781) Retained earnings: Beginning 114,361 Ending $ 112,810 65 VILLAGE OF OAK BROOK,ILLINOIS STATEMENT OF REVENUES,EXPENSES AND CHANGES IN RETAINED EARNINGS -BUDGET AND ACTUAL CAPITAL REPLACEMENT FUND Year Ended December 31, 1997 Variance Favorable Budget Actual (Unfavorable) Operating revenues: Charges for services $ 449,450 $ 449,450 $ - -" Operating expenses: Capital 332,225 247,778 84,447 Less: items capitalized (332,225) (247,778) (84,447) Depreciation - 228,321 (228,321) Total operating expenses - 228,321 (228,321) Operating income 449,450 221,129 (228,321) Nonoperating revenues: Interest on investments 84,000 104,326 20,326 Gain on sale of fixed assets - 30,532 30,532 Net income $ 533,450 355,987 $ (177,463) Retained earnings: ... Beginning 3,021,673 Ending $ 3,377,660 i r r rr 66 FIDUCIARY FUND TYPES tow 60 6.. i V.. PENSION TRUST FUNDS Police Pension Fund - to account for the accumulation of resources to pay pension costs. Resources are contributed by sworn police personnel at rates fixed by State Statutes and by the Village as a percentage of payroll based upon an annual actuarial valuation. Firefighters' Pension Fund - to account for the accumulation of resources to pay pension costs. Resources are contributed by sworn fire personnel at rates fixed by State Statutes and by the Village as a percentage of payroll based upon an annual actuarial valuation. VILLAGE OF OAK BROOK,ILLINOIS COMBINING STATEMENT OF PLAN NET ASSETS PENSION TRUST FUNDS December 31, 1997 Police Firefighters' ASSETS Pension Pension Total Cash and investments $ 17,045,903 $ 16,005,482 $ 33,051,385 Accrued interest receivable 194,562 162,994 357,556 Total assets 17,240,465 16,168,476 33,408,941 LIABILITIES Accounts payable - 9,200 9,200 Net assets held in trust for pension benefits $ 17,240,465 $ 16,159,276 $ 33,399,741 67 VILLAGE OF OAK BROOK,ILLINOIS COMBINING STATEMENT OF CHANGES IN PLAN NET ASSETS PENSION TRUST FUNDS Year Ended December 31, 1997 Police Firefighters' Pension Pension Total Additions Contributions: Employer $ 224,440 $ 178,626 $ 403,066 Plan members 163,534 121,790 285,324 Total contributions 387,974 300,416 688,390 Investment income: Net appreciation in fair value of investments 191,290 84,867 276,157 Interest 1,560,706 1,461,466 3,022,172 Net investment income 1,751,996 1,546,333 3,298,329 Total additions 2,139,970 1,846,749 3,986,719 — Deductions Benefits 493,036 568,091 1,061,127 Administrative expenses 40,956 75,988 116,944 Total deductions 533,992 644,079 1,178,071 Net increase 1,605,978 1,202,670 2,808,648 — Net assets held in trust for pension benefits: Beginning, as restated(Note 10) 15,634,487 14,956,606 30,591,093 Ending $ 17,240,465 $ 16,159,276 $ 33,399 741 - - - 68 VILLAGE OF OAK BROOK,ILLINOIS STATEMENT OF CHANGES IN PLAN NET ASSETS-BUDGET AND ACTUAL POLICE PENSION FUND Year Ended December 31, 1997 Budget Actual Variance Additions Contributions: Employer $ 289,090 $ 224,440 $ (64,650) Plan member 181,620 163,534 (18,086) Total contributions 470,710 387,974 (82,736) Investment income: Net appreciation in fair value of investments - 191,290 191,290 Interest 1,007,500 1,560,706 553,206 Net investment income 1,007,500 1,751,996 744,496 Total additions 1,478,210 2,139,970 661,760 Deductions Benefits 493,040 493,036 4 Administrative expense 41,955 40,956 999 Total deductions 534,995 533,992 1,003 Net increase $ 943,215 1,605,978 $ 662,763 Net assets held in trust for pension benefits: Beginning, as restated(Note 10) 15,634,487 Ending $ 17,240,465 69 VILLAGE OF OAK BROOK,ILLINOIS STATEMENT OF CHANGES IN PLAN NET ASSETS -BUDGET AND ACTUAL FIREFIGHTERS' PENSION FUND Year Ended December 31, 1997 Budget Actual Variance Additions Contributions: Employer $ 193,070 $ 178,626 $ (14,444) Plan member 126,960 121,790 (5,170) Total contributions 320,030 300,416 (19,614) Investment income: Net appreciation in fair value of investments - 84,867 84,867 Interest 955,500 1,461,466 505,966 Net investment income 955,500 1,546,333 590,833 Total additions 1,275,530 1,846,749 571,219 — Deductions Benefits 568,095 568,091 4 _ Administrative expense 75,990 75,988 2 Total deductions 644,085 644,079 6 Net increase $ 631,445 1,202,670 $ 571,225 Net assets held in trust for pension benefits: ... Beginning, as restated(Note 10) 14,956,606 Ending $ 16,159,276 ... 70 1 - 4 - I V . ACCOUNT GROUPS 4' 1 wo `r - 4` Lr, 4 . } 4 GENERAL FIXED ASSETS ACCOUNT GROUP General Fixed Assets Account Group - to account for fixed assets not ac- counted for in Proprietary or Trust Funds. VILLAGE OF OAK BROOK,ILLINOIS SCHEDULE OF GENERAL FIXED ASSETS -BY SOURCE GENERAL FIXED ASSETS ACCOUNT GROUP December 31, 1997 _ General Fixed Assets Land $ 616,829 Buildings and improvements 4,312,100 _ Other equipment 1,282,680 Computer equipment 829,259 $ 7,040,868 Investment in General Fixed Assets _ Current revenues $ 4,856,045 Proceeds of indebtedness 1,659,881 Gifts 524,942 $ 7,040,868 71 VILLAGE OF OAK BROOK,ILLINOIS SCHEDULE OF GENERAL FIXED ASSETS- BY FUNCTION AND ACTIVITY GENERAL FIXED ASSETS ACCOUNT GROUP i December 31, 1997 Buildings and Other Computer Function and Activity Land Improvements Equipment Equipment Totals General government: Board of Trustees $ 616,829 $ 9,974 $ 1,882 $ - $ 628,685 Village Clerk - - 4,228 - 4,228 General Management - 2,466,969 52,802 - 2,519,771 Emergency Management - - 5,182 - 5,182 Village Communication Center - - 53,309 - 53,309 Purchasing and Grants - - 941 - 941 Information Services - - - 829,259 829,259 i Finance and Accounting - - 21,512 - 21,512 Engineering - - 26,017 - 26,017 616,829 2,476,943 165,873 829,259 4,088,904 Public safety: Police Department - 124,778 473,352 - 598,130 Fire Department - 754,804 503,336 - 1,258,140 - 879,582 976,688 - 1,856,270 i Public works: Administrative - 686,046 9,385 - 695,431 Street Maintenance - 49,740 54,867 - 104,607 Forestry - - 65,335 - 65,335 735,786 129,587 - 865,373 Culture and recreation: Library - 219,789 10,532 - 230,321 $ 616.829 $ 4,312,100 $ 1,282,680 $ 829,259 $ 7,040,868 i i i ay 72 VILLAGE OF OAK BROOK,ILLINOIS _ SCHEDULE OF CHANGES IN GENERAL FIXED ASSETS- BY FUNCTION AND ACTIVITY GENERAL FIXED ASSETS ACCOUNT GROUP Year Ended December 31, 1997 Balance January 1 Balance as Restated Additions Retirements December 31 General government: Board of Trustees $ 628,685 $ - $ - $ 628,685 Village Clerk 4,228 - - 4,228 General Management 2,477,751 42,020 - 2,519,771 Emergency Management 1,632 3,550 - 5,182 Village Communication Center 39,538 13,771 - 53,309 Purchasing and Grants 941 - - 941 Information Services 441,019 388,240 - 829,259 Financial Services 21,512 - - 21,512 Engineering 14,581 11,436 - 26,017 3,629,887 459,017 - 4,088,904 Public safety: Police Department 571,583 26,546 - 598,129 Fire Department 1,193,279 64,861 - 1,258,140 1,764,862 91,407 - 1,856,269 Public works: Administrative 680,292 8,656 - 688,948 Street Maintenance 111,091 - - 111,091 Forestry 65,335 - - 65,335 856,718 8,656 - 865,374 Culture and recreation: Library 225,405 4,916 - 230,321 $ 6,476,872 $ 563,996 $ - $ 7,040,868 73 This page was intentionally left blank r,. 6. STATISTICAL SECTION L 6. L i L. L v. r r r r r r i r i r i i r r r r r r r kLLAGE OF OAK BROOK,ILLINOIS GENERAL GOVERNMENTAL EXPENDITURES BV FUNCTION LAST TEN FISCAL YEARS December 31, 1997 1989 1990 1991 1992 1993 *1993 1994 1995 1996 1997 General government $ 1,452,473 $ 1,657,457 $ 1,522,165 $ 1,697,019 $ 1,456,753 $ 914,394 $ 1,669,529 $ 2,329,107 $ 2,596,032 $ 3,402,007 Public safety 5,184,506 5,303,456 5,842,884 5,900,826 5,821,460 4,332,750 6,619,494 6,685,874 6,786,918 6,847,213 Public works 2,076,858 1,605,218 1,704,451 3,099,903 4,076,547 1,574,548 3,423,038 3,363,157 3,097,906 3,680,666 Culture and recreation 196,584 241,751 278,085 412,685 418,978 264,471 462,781 539,734 726,820 1,010,800 Debt service 955,025 922,716 987,505 949,288 959,375 944,820 944,821 - - - 9,865,446 $ 9,730,598 $ 10,335,090 $ 12,059,721 $ 12,733,113 $ 8,030,983 $ 13,119,663 $ 12,917,872 $ 13,207,676 $ 14,940,686 *During 1993 the Village changed its fiscal year-end from April 30 to December 31. This information is for the eight months ended December 31, 1993. NOTE: Includes General, Special Revenue, Debt Service and Capital Projects Funds. Data Source Village Records 74 VILLAGE OF OAK BROOK, ILLINOIS GENERAL REVENUES BY SOURCE LAST TEN FISCAL YEARS December 31, 1997 1989 1990 1991 1992 1993 *1993 1994 1995 1996 1997 Intergovernmental $ 7,151,393 $ 7,325,893 $ 7,294,865 $ 8,250,633 $ 10,248,950 $ 7,985,514 $ 11,218,902 $ 12,106,579 $ 12,149,759 $ 12,282,960 Property taxes 582,861 542,623 603,129 877,289 963,125 846,501 549,482 5,410 - - Utility taxes - - - 1,098,386 2,239,243 1,648,740 1,572,193 1,873,147 1,956,984 1,989,147 Hotel/motel taxes - - 89,664 196,609 210,066 163,784 235,606 274,041 290,198 312,383 Licenses and permits 261,081 305,085 342,354 299,111 353,747 261,461 322,779 477,624 374,617 404,998 Service charges 263,759 219,484 371,368 338,453 584,727 498,440 293,743 336,146 423,139 305,137 Fines and penalties 166,238 229,841 196,640 176,868 238,858 135,419 280,339 220,593 211,809 214,086 Interest on investment 418,479 538,159 376,261 221,019 173,404 171,420 426,127 713,992 784,652 983,733 Miscellaneous 234,158 154,064 453,184 82,512 81,625 189,205 233,836 253,327 296,482 246,490 $ 9,077,969 $ 9,315,149 $ 9,727,465 $ 11,540,880 $ 15 093,745 $ 11,900,484 $ 15,133,007 $ 16,260,859 $ 16,487,640 $ 163W934 934 * During 1993 the Village changed its fiscal year-end from April 30 to December 31. This information is for the eight months ended December 31, 1993. NOTE: Includes General, Special Revenue, Debt Service and Capital Projects Funds. Data Source Village Records 751 { I I { I { I 1 { .. VILLAGE OF OAK BROOK,ILLINOIS PROPERTY TAX LEVIES AND COLLECTIONS LAST TEN FISCAL YEARS December 31, 1997 �. Percent of Tax Total Total Total Tax Fiscal Levy Tax Tax Collections Year Year Levy Collection to Tax Levy 1989 1987 $ 580,309 $ 585,620 100.92 1990 1988 551,811 548,259 99.36 1991 1989 609,854 602,304 98.76 1992 1990 814,693 854,988 104.95 1993 1991 842,077 840,958 99.87 *1993 1992 848,710 846,501 99.74 1994 1993 555,221 549,482 98.97 1995 1994 - - N/A 1996 1995 - - N/A 1997 1996 - - N/A * During 1993 the Village changed its fiscal year-end from April 30 to December 31. This information is for the eight months ended December 31, 1993. Note: The Village levies property taxes for debt service purposes only. The levies were abated by$300,000 paid by the General Fund for 1984-1988 and the Debt Service Fund for 1989, paid by$290,000 paid by the Debt Service fund in 1993. All debt was retired in 1994. Data Source Village Records 76 r VILLAGE OF OAK BROOK, ILLINOIS ASSESSED AND ESTIMATED ACTUAL VALUE OF + TAXABLE PROPERTY (in thousands) LAST TEN LEVY YEARS December 31, 1997 Real Property Ratio of Total Estimated Assessed/Total Levy Actual Estimated Year Assessed Value Actual Value 1987 $ 611,665 $ 1,853,530 33.00 % 1988 669,030 2,027,364 33.00 1989 745,392 2,258,764 33.00 1990 806,397 2,443,627 33.00 1991 855,836 2,593,442 33.00 1992 878,225 2,634,675 33.00 1993 875,114 2,625,341 33.00 1994 887,591 2,662,773 33.00 1995 905,788 2,717,364 33.00 1996 938,948 2,816,844 33.00 Data Source County Clerk's Office 77 f i r r r r r r r r r r r i i I i i VILLAGE OF OAK BROOK, ILLINOIS PROPERTY TAX RATES - DIRECT AND OVERLAPPING GOVERNMENTS LAST TEN LEVY YEARS December 31, 1997 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 Village of Oak Brook 0.0949 0.0825 0.0818 0.1044 0.0994 0.0977 0.0641 0.0000 0.0000 0.0000 Basic Town 1.0587 1.1111 0.9311 0.8708 0.8354 0.8171 0.8348 0.8089 0.7141 0.6095 Junior College#502 0.2341 0.2088 0.2009 0.2092 0.2085 0.2087 0.2058 0.2068 0.2062 0.2053 Grade School#53 0.9364 0.9093 0.9134 0.9389 0.9923 1.0248 1.0683 1.0763 1.0605 1.0458 High School #86 1.8906 1.8774 1.7786 1.7205 1.6855 1.6595 1.6406 1.6122 1.5907 1.4944 Oak Brook Park District 0.1014 0.1834 0.1733 0.1695 0.2037 0.2051 0.2098 0.2064 0.2045 0.1997 Hinsdale Sanitary District 0.0379 0.0434 0.0000 0.0000 0.0080 0.0000 0.0000 0.0000 0.0000 0.0000 Total 4.3540 4.4159 4.0791 4.0133 4.0328 4.0129 4.0234 3.9106 3.7760 3.5547 Note: includes all county, forest preserve, township and water commission rates. Rates are per$100 of assessed valuation. Data Source County Clerk's Office 78 VILLAGE OF OAK BROOK, ILLINOIS RATIO OF NET GENERAL BONDED DEBT TO EQUALIZED ASSESSED VALUE AND NET GENERAL BONDED DEBT PER CAPITA LAST TEN FISCAL YEARS December 31, 1997 1989 1990 1991 1992 1993 *1993 1994 1995 1996 1997 Population(1) 9,151 9,151 9,151 9,087 9,087 9,087 9,087 9,087 9,087 9,087 Equalized assessed value (in thousands) $ 669,030 $ 745,392 $ 806,397 $ 855,836 $ 878,225 $ 878,225 $ 875,114 $ 887,591 $ 905,788 $ 938,948 Gross general bonded debt 4,950,000 4,250,000 3,450,000 2,650,000 1,800,000 900,000 - - - - Debt service monies available 629,291 432,693 202,468 242,137 261,159 265,447 - - - - Net general bonded debt 4,320,709 3,817,307 3,247,532 2,407,863 1,538,841 634,553 - - - - Ratio of net general bonded debt to equalized assessed value 0.01% 0.01% 0.00% 0.00% 0.00% 0.00% - - - - Net general bonded debt per capita 472.2 417.1 354.9 265 169.3 69.8 - - - - *During 1993 the Village changed its fiscal year-end from April 30 to December 31. This information is for the eight months ended December 31, 1993. Data Sources (1) Bureau of Census (2) County Clerk's Office (3) Village Records I i 1 1 1 I 1 1 1 79 1 — VILLAGE OF OAK BROOK,ILLINOIS COMPUTATION OF LEGAL DEBT MARGIN December 31, 1997 Assessed value(1) $ 938,947,979 Debt limit 8.625%of assessed value $ 80,984,263 Debt applicable to debt limit - $ 80,984,263 — Data Sources (1) County Clerk's Office w 80 VILLAGE OF OAK BROOK, ILLINOIS SCHEDULE OF DIRECT AND OVERLAPPING BONDED DEBT December 31, 1997 Percentage of Debt Applicable Gross to Oak Brook's — Governmental Unit Bonded Debt Oak Brook Share of Debt Village of Oak Brook $ - 100.00% $ - -" Du Page County 138,045,000 4.85 6,689,850 Du Page Forest Preserve 215,980,000 4.85 10,466,686 Du Page Water Commission 132,975,000 5.09 6,774,485 Park Districts 1,195,000 72.93 871,510 Elementary School Districts 30,960,000 9.65 2,986,525 High School Districts 20,275,000 5.94 1,203,648 Unit District 205 1,840,000 7.86 144,645 Total $ 541,270,000 $ 29,137,349 Data Source County Clerk's Office r 81 i ILLAGE OF OAK BROOK, ILLINOIS RATIO OF ANNUAL DEBT SERVICE EXPENDITURES FOR GENERAL BONDED DEBT TO TOTAL GENERAL EXPENDITURES LAST TEN FISCAL YEARS December 31, 1997 1989 1990 1991 1992 1993 *1993 1994 1995 1996 1997 Principal $ 700,000 $ 700,000 $ 800,000 $ 800,000 $ 850,000 $ 900,000 $ 900,000 $ - $ - $ - Interest 270,200 238,000 205,800 149,288 109,375 44,100 44,821 - - - Total debt service $ 970,200 $ 938,000 $ 1,005,800 $ 949,288 $ 959,375 $ 944,100 $ 944,821 $ - $ - $ Total general expenditures $ 9,865,446 $ 9,610,564 $ 10.239,015 $ 12,059,721 $ 12,733,113 $ 8,030,983 $ 13,119,663 $ 12,917,872 $ 13,207,676 $ 14,940,686 Ratio of debt service expenditures to general expenditures 9.83 9.76 9.82 7.87 7.53 11.76 7.2 N/A N/A N/A *During 1993 the Village changed its fiscal year-end from April 30 to December 31. This information is for the eight months ended December 31, 1993. Data Source Village Records 82 VILLAGE OF OAK BROOK, ILLINOIS REVENUE BOND COVERAGE-WATERWORKS SYSTEM BONDS LAST TEN FISCAL YEARS December 31, 1997 1989 1990 1991 1992 1993 *1993 1994 1995 1996 1997 Gross revenue $ 3,126,240 $ 3,260,984 $ 2,706,681 $ 3,569,522 $ 4,275,374 $ 2,594,477 $ 4,515,859 $ 3,973,247 $ 3,393,279 $ 3,432,412 Expenses 1,294,568 1,015,261 1,089,610 1,954,069 3,148,968 2,103,182 3,853,645 3,827,515 3,766,251 3,268,633 Net revenue available for debt service $ 1,831,672 $ 2,245,723 $ 1,617,071 $ 1,615,453 $ 1,126,406 $ 491,295 $ 662,214 $ 145,732 $ (372,972) $ 163,779 Debt service requirements Principal $ 425,000 $ 475,000 $ 500,000 $ 225,000 $ 225,000 $ - $ 225,000 $ 250,000 $ 275,000 $ - Interest 150,450 127,150 101,138 44,400 32,700 16,350 26,850 16,000 5,500 - $ 575,450 $ 602,150 $ 601,138 $ 269,400 $ 257,700 * 16,350 $ 251,850 $ 266,000 $ 280,500 $ - Coverage 3.18 3.73 2.69 5.99 4.37 30.05 2.63 0.55 (1.32) - * During 1993 the Village changed its fiscal year-end from April 30 to December 31. This information is for the eight months ended December 31, 1993. Data Source Village Records I 1 i 1 1 I 1 1 831 1 1 1 I I I ! ! I VILLAGE OF OAK BROOK, ILLINOIS DEMOGRAPHIC STATISTICS December 31, 1997 Per (1) Unemploy- Fiscal (1) Capita Median ment Year Population Income Age Percentage 1970 4,164 $ 8,997 34 0.07 % 1984 7,263 22,737 39 3.14 1989 9,151 26,818 41 2.05 1990 9,087 60,347 42 5.70 Data Sources (1) Bureau of Census (2) Bureau of Labor Statistics 84 VILLAGE OF OAK BROOK,ILLINOIS PROPERTY VALUE AND CONSTRUCTION LAST TEN FISCAL YEARS December 31, 1997 Commercial Residential Construction Construction Fiscal Number Value Number Value Property Value Year Of Units (in Thousands) of Units (in Thousands) (in Thousands) 1989 2 $ 8,399 47 $ 39,548 $ 1,823,100 1990 3 10,100 30 10,939 2,030,900 1991 1 15,400 15 5,834 2,197,400 1992 1 8,000 17 8,500 2,567,508 1993 - - 14 13,815 2,634,675 1993* 1 1,753 11 5,114 2,634,675 1994 2 2,602 22 15,834 2,625,341 1995 2 4,000 10 10,000 2,662,773 1996 2 12,345 22 14,035 2,717,364 1997 2 7,980 22 11,533 2,816,844 * During 1993 the Village changed its fiscal year-end from April 30 to December 31. This information is for the eight months ended December 31, 1993. ! Data Sources Village Records 85 VILLAGE OF OAK BROOK,ILLINOIS PRINCIPAL TAXPAYERS December 31, 1997 1996 Percentage Assessed of Total Valuation Assessed Taxpayers Type of Business (in Thousands) Valuation Oak Brook Urban Venture Shopping center $ 73,798 7.85 % McDonald's Corporation Office campus 48,772 5.19 Metropolitan Life Insurance Co. Life insurance 16,055 1.71 Manufacturers Life Real Estate Executive towers 12,045 1.28 Butler National Golf Club Golf course 11,674 1.24 York Road Limited Partnership Hotel/office building 10,693 1.14 Equitable Life Insurance Office buildings 10,563 1.12 Marshall Fields Retail stores 9,923 1.07 The Crossings of Oak Brook Office buildings 9,813 1.05 Teachers'Insurance and Annuity Assn. Office buildings 9,359 1.00 Data Source County Clerk's Office 86 VILLAGE OF OAK BROOK,ILLINOIS SCHEDULE OF INSURANCE IN FORCE December 31, 1997 Insurance Coverage Amount of Type of Insurance Company Expires Coverage Village Manager's Bond Hartford Insurance Company 12/31/98 $ 150,000 (4668010) Treasurer's Bond Hartford Insurance Company 12/31/98 100,000 (4668010) Host Liquor Liability Lloyds of London Insurance Company 11/24/98 1,000,000 (RBJ122592) Contingent Business Arkwright Insurance Company 12/31/98 7,000,000 Interruption Insurance for Loss of Sales Tax Revenues The Village entered into a contractual agreement with 14 other municipalities to form the Intergovernmental Risk Management Agency (IRMA), which through its risk-sharing provisions the Village with its insurance coverage for liability, property damage, workmens' compensation and surety risks not covered by the Village's Treasurers' or Village Manager's Bond. The Village's contributions to this cooperative agency was determined by the pro rata share for each municipality's audited revenues and loss experience for the previous year, to be sufficient annually to fund administrative expenses and create sufficient reserves for claim payments and the purchase of excess insurance. The Agency provides loss protection in excess of a deductible of$1,000 per occurrence to be paid by each municipality. The Agency is required to pay up to $250,000 per occurrence for loss or injury within the scope of its self-insurance coverage for property claims and up to $3,000,000 for general liability and auto liability. The Agency has also purchased excess catastrophe insurance over the amount of its obligations _ and aggregate stop loss insurance. The amount of excess insurance is $7,000,000 per occurrence for liability claims and $1,000,000,000 for property claims. As of December 31, 1997, IRMA members totaled 67 municipalities. Data Source Village Records 87 VILLAGE OF OAK BROOK,ILLINOIS MISCELLANEOUS STATISTICS December 31, 1997 Date of Incorporation February 21, 1958 Form of Government Seven-member Board of Trustees, including President; _ Village Manager appointed by Board of Trustees Area 8.5 square miles Miles of Streets 55 miles Number of Street Lights 453 Fire Protection Number of stations 2 Number of firefighters 28 Number of volunteers 11 Police Protection Number of stations 1 Number of policemen and officers 39 '— Detention facilities Juvenile 2 Adult 4 Education(Elementary Only) Attendance centers 2 Number of teachers 53 Number of students 613 Municipal Water Department Number of customers 5,236 Total water pumped Gallons (in 1,390,000 Thousands) Average daily consumption Gallons 3.81 million Miles of water mains 77 Building Permits Issued 580 Recreation Oak Brook Sports Core - 269 acres including Bath and Tennis club and 18-hole golf course Oak Brook Park District - 66 acres including indoor tennis, outdoor tennis, and recreation center Du Page County Forest Preserve- 373 acres Culture Number of libraries 1 Number of books and audiovisual materials 52,604 Census data 1960, 324; 1970, 4,164; 1975, 5,281; 1980, 6,641; 1984, 7,263; 1990, 9,087 Employees 145 full-time 288 part-time/seasonal Data Source Village Records 88