Libertyville FD to hire deputy chief

Excerpts from ChicagoTribune.com:

As the state of Illinois grapples with its first complex budget under Governor Bruce Rauner, local governments like Libertyville are also feeling the strain. In April, the village's trustees decided to delay several key financial decisions, unsure of how the state's new policies would impact their finances. Six months later, while uncertainty still lingers, they've taken some steps to address pressing needs.

Among the deferred actions were hiring a new deputy fire chief, expanding the salt storage silo, funding a survey of downtown buildings for the historic preservation commission, and reducing the electric utility tax. At the time, Rauner had proposed a two-year freeze on property taxes and a permanent shift of half the municipal income tax to the state. Finance Director Patricia Wesolowski estimated that the loss of income tax would amount to $1 million annually, with an additional $600,000 in lost property tax increases over two years.

Though those proposals have since lost momentum, a new issue has emerged. As of November 10, Illinois is withholding around $660,000 in various local taxes. According to Wesolowski, this includes $440,000 in 911 fees, $150,000 in gasoline sales tax, and $70,000 in Libertyville’s share of the “use tax,” which applies to items purchased outside the state but used within Illinois.

The state was expected to pass a budget by July 1, but Rauner has refused to sign any unbalanced plan. With no resolution in sight, Illinois has stopped paying many of its bills and halted the transfer of tax revenue it collects on behalf of local governments.

In February, Libertyville signed a two-year agreement to provide fire services to the unincorporated area of Knollwood, located near Route 176 east of I-94. The village’s fire department had eliminated the deputy chief position after a retirement several years ago. Rehiring someone would cost approximately $150,000 in salary and benefits, and the individual would serve both Libertyville and Knollwood.

The contract stipulates $100,000 in annual payments, with Libertyville covering $50,000. It anticipated about 100 emergency calls per year, but as of early November, the department had already responded to 102. Despite ongoing concerns about future revenue from Springfield, the trustees agreed to fill the position.

"Chief Carani is stretched pretty thin, and that’s not healthy for an organization," said Village Trustee Todd Gaines.

Since 2009, Libertyville has built up a reserve fund of $4.2 million—well above the recommended level—through new taxes and the return of sales tax revenue. In April, trustees considered using part of that reserve to pay off construction debt early and allocate another portion toward underfunded police and fire pensions, which have been hit hard by recent benefit increases and longer retiree lifespans.

That decision was postponed, and on November 10, trustees voted to continue waiting, fearing the money might be needed if Illinois continues to withhold funds or indefinitely delays tax reimbursements.

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