The Milan Village Council met Jan. 17 to present the police pension board tax levy request.
Here are the meeting's minutes, as provided by the council:
"The Village Council is comprised of seven members. A Mayor and six Council Members who are elected at large. The length of each term is four years. With overlapping elections terms, only one half of the Village Council is elected every two years. This ensures some carryover in experience and background on the Council at all times. The Village Mayor is elected at-large and separately from the Trustees. The Village Mayor, by statute and ordinance, has additional duties such as holding the position of Liquor Control Commissioner, and serving as official signatory for certain Village expenditures."
Posted 01/13/2016 12:27:28 PM VILLAGE OF MILAN COUNCIL MEETING January 17, 2017 Milan Municipal Building Council Chamber 5:30 P.M.
AGENDA
1. Roll Call
2. Pledge of Allegiance
3. Consideration of the Minutes of January 3, 2017
4. Consideration of the Treasurer’s Report
5. Consideration of the Semi-Monthly and Miscellaneous Bills
6. Presentation of the Milan Police Pension Board Tax Levy Request 7
. Committee Reports
8. Citizens Opportunity to Address the Village Board
9. Adjourn
The regular meeting of the Milan Village Board of Trustees was held January 17, 2017 5:30 p.m. in the Milan Municipal Building. In the absence of Mayor Dawson Mayor Pro Tem Wilson presided.
Roll Call showed present, Trustees Jerry Wilson, Bruce Stickell Jay Zimmerman and Jody Taylor. Trustees Jim Flannery and Harry Stuart was absent.
PLEDGE OF ALLEGIANCE
Attorney Scott led the Pledge of Allegiance.
CONSIDERATION OF THE MINUTES
Copies of the minutes of the regular meeting of January 3, 2017 were given to all Trustees. There being no additions or corrections, Trustee Zimmerman moved to approve the minutes as presented and Trustee Stickell seconded the motion. All Trustees voted "Aye". Motion carried.
CONSIDERATION OF THE TREASURER’S REPORT
In the absence of Treasurer Sarah Bohnsack, Mark Hunt presented the treasurer’s report which showed activity April 1, 2016 through December 31, 2016.
He stated the General Fund had revenue in the amount of $2,577,675. The Street Department had major expenses in December for tree removal and creek clean out along the levee at West 9th Street.
The Park Department went over budget due to equipment purchase of a John Deere mower which was not budgeted for.
The Garbage Fund is holding its own with a small balance. Camden Centre generated $30,238 for the eight month period but had $155,558 in expenses showing a loss of $24,332.
The TIF Funds are all healthy. The Water/Sewer Fund had a couple of large equipment repairs this month but is still maintaining a nice fund balance.
There being no questions on the report, Trustee Taylor moved to approve the Treasurer’s report as presented and Trustee Zimmerman seconded the motion. All Trustees voted “Aye”. Motion carried.
CONSIDERATION OF THE SEMI-MONTHLY AND MISCELLANEOUS BILLS
Trustee Taylor stated there was only one bill run this time in the amount of $48,135.76. Larger bills were Mid American Energy and tree removal, air handler repair and parts for the influent pump at the Sewer Plant. The larger bills made up approximately $30,500 of the total cost of the bills.
There being no discussion on the bills, Trustee Taylor moved to pay the bills in the amount of $48,135.76. Trustee Zimmerman seconded the motion. Roll Call vote showed Trustees Stickell, Zimmerman, Taylor and Wilson voted “Aye”. Motion carried. The bills will be paid from the following accounts:
General $ 20,880.10 Garbage 2,135.40 Motor Fuel Tax 4,274.27 Camden Centre 2,512.46 Tax Allocation II 33.62 Camden Centre Deposit 100.00 Water & Sewer 18,199.91 Total $ 48,135.76
PRESENTATION OF THE MILAN POLICE PENSION BOARD TAX LEVY REQUEST
Administrator Seiver stated the Milan Police Pension Fund Actuarial Valuation Report from the Department of Insurance was received this week. As usual the report wasn’t received in time to consider its findings in the Annual Tax Levy. $250,000 was used as the village’s allocation for their share of the police pension amount. The Secretary of the Milan Police Pension Fund, Arion Cox is here to present the findings of the actuarial report.
Ms. Cox stated the Milan Police Pension Board is requesting the Village Board to levy $495,577.00 for their contribution to the Milan Police Pension. This amount was determined by the actuarial calculation prepared by Foster and Foster for the State of Illinois Department of Insurance.
Currently the village has 14 active officers, 10 retirees, 2 beneficiaries and 1 disabled officer at this time. The pension consists of three types of contributions, active officers contribution of 9.917% of their salary, interest from police pension investments the goal being 6.5% and the tax levied by the village for their share of the amount needed to make whole the pension. The pension fund receives approximately $96,000 from officer contributions but currently is paying $565,759 to the benefactors of the fund. By January 2018 that number will change to $600,735 if no officers retire between now and then. The fund is limited to 45% of its total portfolio that can be invested in Mutual Funds and Stocks. Last year the Mutual Funds lost $237,000 but to date has made $273,000 so it has regained the loss and gained $36,000. If the Mutual Funds continue as they are it will help the market value even though it will not reach the 6.5% mandated return.
Administrator Seiver stated the village contribution figured on the tax levy is $234,000. Property tax would have to be raised 45% in order to collect enough revenue to meet $496,000 required by the pension actuary. This would mean we would not meet the 5% truth in taxation requirements and would have to advertise in the paper the excess increase over 5%.
Trustee Stickell stated he would rather raise the local sales tax to 7.5% to meet the sales tax of surrounding communities. Also it would place the burden on anyone buying in Milan and not just the homeowners. It would have to pass a referendum, but would be more acceptable than a property tax increase.
January 17, 2017 There being no further discuss on the Actuarial Valuation Report Mayor Pro Tem Wilson asked for a motion to accept the report. Trustee Stickell moved to accept the report as presented and Trustee Zimmerman seconded the motion. All Trustees voted “Aye”. Motion carried.
COMMITTEE REPORTS
Administrator Seiver stated there will be a Finance meeting right after the adjournment of tonight’s Council meeting to bring Council up to date on what is happening on third floor to initiate the new call center. Discussion may also include the Ordinance regarding travel, meal and lodging expenses while on village business and the Franchise Ordinance with Mid American Energy.
CITIZENS OPPORTUNITY TO ADDRESS THE VILLAGE BOARD
There were no comments from the audience.
ADJOURN
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