===== PDF PAGE 1 ===== [Extraction: OCR (rendered-page OCR)] Y OF Eit WEST CHICAGO WHERE HISTORY & PROGRESS MEET FINANCE COMMITTEE THURSDAY, NOVEMBER 4, 2021! 6:00 P.M. — CITY COUNCIL CHAMBERS AGENDA 1. Call to Order, Roll Call, and Establishment of a Quorum 2. Approval of Minutes A. Finance Committee Meeting Minutes of September 23, 2021 3. Public Participation / Presentations A. 2020 Audit 4. Items for Consent A. Ordinance No. 21-O0-0030 — Fourth Quarter 2021 Budget Amendment 5. Items for Discussion 6. Unfinished Business 7. New Business 8. Reports from Staff 9. Executive Session (if needed) 10. Adjournment 1Rescheduled from November 25, 2021 475 Main Street West Chicago, Illinois 60185 T (630) 293-2200 F (630) 293-3028 www. westchicago.org Ruben Pineda MAYOR Nancy M. Smith Michael L. Guttman CITY CLERK CITY ADMINISTRATOR ===== PDF PAGE 2 ===== [Extraction: OCR (rendered-page OCR)] DRAFT MINUTES- Pending Approval MINUTES FINANCE COMMITTEE September 23, 2021 . Call to Order, Roll Call, and Establishment of a Quorum. Alderman Dimas called the meeting to order at 6:00 P.M. Roll call found Aldermen Dimas, Dettmann, Sheahan, Swiatek, Stout and Morano present. Alderman Chassee was absent. Staff in attendance: City Administrator Michael Guttman, Administrative Services Director Linda Martin, Community Development Director Tom Dabareiner, and Chief of Police Colin Fleury. . Approval of Minutes A. Finance Committee Meeting minutes of July 22, 2021 Alderman Swiatek moved and Alderman Morano seconded a motion to approve the minutes. Voting Aye: Aldermen Dimas, Dettmann, Sheahan, Swiatek, Stout, and Morano. Voting Nay: 0. Absent: Alderman Chassee. Motion Carried . Public Participation / Presentations - None . Items for Consent A. Ordinance No. 21-O-0023 — Termination of the Downtown TIF District B. Ordinance No. 21-O-0024 — Third Quarter Budget Amendment C. Resolution No. 21-R-0083 — Update Terms to a Certain Labor Agreement between the City of West Chicago and the Fraternal Order of Police Alderman Stout moved and Alderman Swiatek seconded a motion to approve the items for consent. Voting Aye: Alderman Dimas, Dettmann, Sheahan, Swiatek, Stout, and Morano. Voting Nay: 0. Absent: Alderman Chassee. Motion Carried . Items for Discussion — None . Unfinished Business — None . New Business - None . Reports from Staff Page 1 ===== PDF PAGE 3 ===== [Extraction: OCR (rendered-page OCR)] DRAFT MINUTES- Pending Approval City Administrator, Michael Guttman, informed the Committee that due to the recent census the City has lost about $350,000 in revenue. He said Community Development Director Tom Dabareiner is investigating the reasons but it is believed to be due to changes in households. 9. Executive Session (if needed) — None 10. Adjournment Alderman Morano moved and Alderman Dettmann seconded a motion to adjourn at 6:03 p.m. Voice Vote: All Aye. Absent: Alderman Chassee. Respectfully submitted, Josie Avilex Page 2 ===== PDF PAGE 4 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED DECEMBER 31, 2020 ===== PDF PAGE 5 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED DECEMBER 31, 2020 Prepared by Linda Martin Director of Administrative Services ===== PDF PAGE 6 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS TABLE OF CONTENTS PAGE INTRODUCTORY SECTION Principal Officials 1 Organization Chart 2 Letter of Transmittal 3 - 7 Certificate of Achievement for Excellence in Financial Reporting 8 FINANCIAL SECTION INDEPENDENT AUDITORS' REPORT 9 - 11 MANAGEMENT’S DISCUSSION AND ANALYSIS 12 - 22 BASIC FINANCIAL STATEMENTS Government-Wide Financial Statements Statement of Net Position 23 - 24 Statement of Activities 25 - 26 Fund Financial Statements Balance Sheet – Governmental Funds 27 - 28 Reconciliation of Total Governmental Fund Balance to the Statement of Net Position – Governmental Activities 29 Statement of Revenues, Expenditures and Changes in Fund Balances – Governmental Funds 30 - 31 Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances to the Statement of Activities – Governmental Activities 32 Statement of Net Position – Proprietary Funds 33 - 34 Statement of Revenues, Expenses, and Changes in Net Position – Proprietary Funds 35 Statement of Cash Flows – Proprietary Funds 36 Statement of Fiduciary Net Position 37 Statement of Changes in Fiduciary Net Position 38 Notes to Financial Statements 39 - 78 REQUIRED SUPPLEMENTARY INFORMATION Schedule of Employer Contributions Illinois Municipal Retirement Fund 79 Police Pension Fund 80 ===== PDF PAGE 7 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS TABLE OF CONTENTS PAGE FINANCIAL SECTION – Continued REQUIRED SUPPLEMENTARY INFORMATION – Continued Schedule of Changes in the Employer’s Net Pension Liability/(Asset) Illinois Municipal Retirement Fund 81 - 82 Police Pension Fund 83 - 84 Schedule of Investment Returns Police Pension Fund 85 Schedule of Changes in the Employer’s Total OPEB Liability Retiree Benefits Plan 86 - 87 Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual General Fund 88 Public Benefit - Special Revenue Fund 89 TIF Special Tax Allocation #1 – Special Revenue Fund 90 OTHER SUPPLEMENTARY INFORMATION Schedule of Revenues – Budget and Actual – General Fund 91 - 92 Schedule of Expenditures – Budget and Actual – General Fund 93 Schedule of Detailed Expenditures – Budget and Actual – General Fund 94 - 101 Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual Capital Improvement - Capital Projects Fund 102 Schedule of Expenditures – Budget and Actual Capital Improvement – Capital Projects Fund 103 Combining Balance Sheet – Nonmajor Governmental Funds 104 Combining Statement of Revenues, Expenditures and Changes in Fund Balances Nonmajor Governmental Funds 105 Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual TIF Special Tax Allocation #2 – Special Revenue Fund 106 Capital Equipment Replacement – Capital Projects Fund 107 Schedule of Revenues, Expenses and Changes in Net Position – Budget and Actual Waterworks – Enterprise Fund 108 Schedule of Operating Expenses – Budget and Actual – Waterworks – Enterprise Fund 109 - 111 Schedule of Revenues, Expenses and Changes in Net Position – Budget and Actual Sewerage – Enterprise Fund 112 Schedule of Operating Expenses – Budget and Actual – Sewerage – Enterprise Fund 113 - 114 ===== PDF PAGE 8 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS TABLE OF CONTENTS PAGE OTHER SUPPLEMENTARY INFORMATION – Continued Schedule of Revenues, Expenses and Changes in Net Position – Budget and Actual Commuter Parking – Enterprise Fund 115 Schedule of Operating Expenses – Budget and Actual – Commuter Parking – Enterprise Fund 116 Consolidated Year-End Financial Report 117 SUPPLEMENTAL SCHEDULE Long-Term Debt Requirements IEPA Waterworks Revolving Loan 118 STATISTICAL SECTION (Unaudited) Net Position by Component – Last Ten Fiscal Years 119 - 120 Changes in Net Position – Last Ten Fiscal Years 121 - 122 Fund Balances of Governmental Funds – Last Ten Fiscal Years 123 - 124 General Governmental Revenues by Sources – Last Ten Fiscal Years 125 - 126 General Governmental Expenditures by Function – Last Ten Fiscal Years 127 - 128 Changes in Fund Balances for Governmental Funds – Last Ten Fiscal Years 129 - 130 Assessed Value and Actual Value of Taxable Property Last Ten Fiscal Years 131 - 132 Direct and Overlapping Property Tax Rates – Last Ten Tax Levy Years 133 - 134 Principal Property Tax Payers – Current Fiscal Year and Nine Fiscal Years Ago 135 Property Tax Levies and Collections – Last Ten Fiscal Years 136 Ratios of Outstanding Debt by Type – Last Ten Fiscal Years 137 Ratio of General Bonded Debt Outstanding – Last Ten Fiscal Years 138 Schedule of Direct and Overlapping Governmental Activities Debt 139 Schedule of Legal Debt Margin 140 Pledged Revenue Coverage – Last Ten Fiscal Years 141 Demographic and Economic Statistics – Last Ten Fiscal Years 142 Principal Employers – Current Fiscal Year and Nine Fiscal Years Ago 143 Full-Time Equivalent City Government Employees by Function – Last Ten Fiscal Years 144 - 145 Operating Indicators by Function/Program – Last Ten Fiscal Years 146 - 147 Capital Asset Statistics by Function/Program – Last Ten Fiscal Years 148 - 149 ===== PDF PAGE 9 ===== [Extraction: embedded PDF text] INTRODUCTORY SECTION This section includes miscellaneous data regarding the City of West Chicago including:  List of Principal Officials  Organizational Chart  Letter of Transmittal  GFOA Certificate of Achievement for Excellence in Financial Reporting ===== PDF PAGE 10 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS List of Principal Officials December 31, 2020 LEGISLATIVE City Mayor: Ruben Pineda City Clerk: Nancy M. Smith ALDERMEN James Beifuss Noreen Ligino-Kubinski Heather Brown Jayme Sheahan Lori Chassee Jeanne Short Matthew Garling Melissa Ferguson Sandra Dimas Alton Hallett Michael Ferguson Rebecca Stout John Jakabcsin Christopher Swiatek ADMINISTRATIVE City Administrator: Michael L. Guttman ADMINISTRATIVE SERVICES Director of Administrative Services: Linda M. Martin Assistant Director of Administrative Services: Nikki Giles 1 ===== PDF PAGE 11 ===== [Extraction: embedded PDF text] Services Director) SERVICES DEPARTMENT ADMINISTRATIVE (Administrative Development Director) CHART COMMUNITY DEPARTMENT DEVELOPMENT (CommunityCHICAGO CITY CITY CLERK OF ADMINISTRATOR WORKS WorksWEST CHICAGO Director) (Public DEPARTMENT CITIZENS PUBLICOF WEST AND COUNCIL CITY ATTORNEY MAYORCITY CITY ORGANIZATIONAL Police) of POLICE (Chief DEPARTMENT AND BOARDS COMMISSIONS 2 ===== PDF PAGE 12 ===== [Extraction: embedded PDF text] September 30, 2021 The Honorable Mayor Ruben Pineda Members of the West Chicago City Council City Administrator Michael Guttman Citizens of the City of West Chicago The Comprehensive Annual Financial Report of the City of West Chicago (City) for the fiscal year ended December 31, 2020, is hereby submitted as mandated by local ordinances and state statutes. These ordinances and statutes require that the City issue a report on its financial position and activity following the end of a fiscal period, and that this report be audited by an independent accounting firm of certified public accountants. Responsibility for both the accuracy of the data, and the completeness and reliability of the information presented in this report, including all disclosures, rests with management. The City is also responsible for establishing and maintaining internal controls designed to ensure that the assets of the City are protected from loss, theft or misuse, and to ensure adequate accounting of data is compiled to allow for the preparation of the City of West Chicago’s financial statements in accordance with generally accepted accounting principles (GAAP). Internal control is designed to provide reasonable, but not absolute, assurance that these objectives are met. The concept of reasonable assurance recognizes that the cost of a control should not exceed the benefits likely to be derived and that the valuation of the costs and benefits requires estimates and judgments by management. As management, we assert that, to the best of our knowledge and belief, this financial report is complete and reliable in all material respects. The City’s financial statements have been audited by Lauterbach & Amen, LLP, a firm of licensed certified public accountants. The goal of the independent audit is to provide reasonable assurance that the financial statements of the City of West Chicago for the fiscal period ended December 31, 2020, are free of material misstatement. The auditors’ report is presented as the first component of the financial section of this report. GAAP requires that management provide an introduction, overview and analysis to accompany the basic financial statements in the form of Management’s Discussion and Analysis (MD&A). This letter of transmittal is designed to complement the MD&A and should be read in conjunction with it. The City’s MD&A can be found immediately following the report of the independent auditors. 3 ===== PDF PAGE 13 ===== [Extraction: embedded PDF text] PROFILE OF THE CITY OF WEST CHICAGO The City of West Chicago is a diverse, family-oriented community with a rich cultural mix and a proud heritage, located in northeastern Illinois, approximately 30 miles west of Chicago. West Chicago is the first Illinois community established by the railroads and continues to be a convenient transportation hub served by three major rail lines, Illinois' third-busiest airport and three State highways. The population has nearly tripled since the 1970s, with an official population of 27,086, based upon the results of the census conducted in 2010. West Chicago became a home rule unit of government on March 3, 2004. The equalized assessed valuation of the City reflects its strong economic condition. The City’s assessed valuation has more than doubled since 1996, and one of the City’s primary goals continues to be the active pursuit of commercial and industrial development that will aid in alleviating the tax burden on residents, while diversifying the long-term tax base. The City operates under the Mayor-Council form of government. Policymaking and legislative authority are vested in the City Council, which is comprised of a Mayor and two Aldermen from each of seven wards. The City Council is responsible for, among many responsibilities, passing ordinances, adopting an annual budget, appointing committees and hiring the City Administrator. The Council members are elected to four-year staggered terms with seven Council members being elected every two years. The Mayor is elected to a four-year term, as is the City Clerk. The City Administrator is responsible for carrying out the policies of and ordinances adopted by the City Council, for overseeing the day-to-day operations of the City, and for appointing all City staff except the Chief of Police. The City provides a full range of services, including: police protection, the construction and maintenance of streets and other infrastructure, water and wastewater treatment, the distribution of potable water, the collection of wastewater and stormwater, cultural events, as well as community and economic development. The annual budget serves as the foundation for the City’s financial planning and control. It further prioritizes our core services and administrative functions and reflects the policy direction established by the City Council. All department directors of the City are required to submit their budget requests to the City Administrator, who then uses these requests as the starting point for developing a proposed budget. The City Administrator presents the proposed budget to the City Council, and budget workshops with the Finance Committee begin shortly thereafter. The City targets budget adoption at a Council meeting approximately one month prior to the beginning of the fiscal year. Once approved, the City Administrator is given the flexibility to transfer amounts between departments and line items within a fund, but City Council action is necessary to transfer money between funds. The following are some of the major components of the Budget Policy that the City Council has used as a continuing foundation for fiscal discipline:  Revenues are conservatively projected using historical trends, reasonably expected changes in the coming year, and an analysis of anticipated economic conditions in the region, the state and the nation.  Expenditures reflect realistic projections of anticipated expenses. Efforts are made to ensure that programs and services are realistically funded. Expenditures will be paid with current revenues. 4 ===== PDF PAGE 14 ===== [Extraction: embedded PDF text] MAJOR INITIATIVES The City has been involved in a variety of projects throughout the year, which reflect its commitment to ensuring that its citizens are able to experience a high quality of life in an enviable environment. The most significant of these projects are outlined below:  The DuPage Business Center (DBC), in the southwest corner of the City, recognized ten projects either under construction or recently completed. Collectively these projects total over three million square feet of new construction in the 640-acre Business Center, which will add significantly to the property tax base and generate hundreds of new jobs for area residents. The DBC is home to some of the most sizeable and significant development in the western suburbs.  Efforts to fight against COVID-19 were expanded to include regional strategies in order to help mitigate the health and economic impact of the pandemic on individuals hardest effected in DuPage County. Several of the special events cancellations were replaced with a series of Social Distancing Safe Community activities, as well as a “Distance Socially, Eat Locally” campaign, to encourage safe community involvement and participation.  Healthy West Chicago once again partnered with the National Forum for Heart Disease and Stroke Prevention for the 2020 Move with Mayor Challenge. With a total of 11,082,789 steps, the City took first place in the September 2020 DuPage Walking Challenge. FACTORS AFFECTING LOCAL FINANCIAL CONDITION Local Economy As West Chicago has persistently transitioned itself into a center for commerce and industry, the diversity of its retail and industrial bases has helped to reduce dependency on outside revenues. The City continues to aggressively pursue economic development opportunities and partnerships with commercial and corporate developers and business owners, while supporting existing relationships, despite the current state of the economy. Long-Term Financial Planning The City performs an annual review of its strategy designed to address the structural and cyclical financial challenges that continue to face the City. This strategy includes five major components: Reduction in Operating Expenditures – To address the structural problem of rising operating costs, the City annually undergoes a target budgeting process to manage the organization’s expenditure and revenue patterns. Additionally, a comprehensive multi- phased review of both the budget and cost for services continued to determine alternative ways of providing existing services, with any cost savings that result from such adjustments being reallocated to other operational and maintenance needs. Systematic Use of Fund Reserves – As part of its policy, the City met its reserve target for the fiscal period ending December 31, 2020. The City maintains operating reserves that may be utilized during economic downturns and other unexpected circumstances. The systematic use of reserves helps to smooth the City’s expenditure patterns and minimize fluctuations in the level of services provided and maintained. 5 ===== PDF PAGE 15 ===== [Extraction: embedded PDF text] Identification and Implementation of New Revenues – The City annually assesses new sources of revenue to ensure the continued delivery of core services to our customers. New revenue sources that are adopted adhere to the City Council’s direction that users should pay for certain services from which only they benefit and/or require. Increased Economic Development Focus – The City’s Economic Development Program is designed to increase and diversify the City’s sales tax, utility tax and real estate tax bases. By doing so, the City has become more self-sufficient, generating revenues and reducing dependency on outside revenue sources. Maintain and Improve City Services – The City has a proud history of providing exceptional services. During the implementation of this strategy, it was imperative that the residents and businesses not experience a reduction in service levels unless absolutely necessary. With few exceptions, the City has been able to provide excellent service with fewer employees and leaner budgets. In addition to this financial strategy, the City continues to have a five-year Capital Improvement Plan (CIP) and a process that projects future operating budgets. The CIP lends guidance and continuity in the planning and development of budgets, but more importantly, it identifies and prioritizes infrastructure maintenance and replacement needs, and plans for projects several years in advance. The Capital Projects Fund, Water Fund and Sewer Fund each have their respective five-year plans. Financial Policies The following policies had significant impact on the City’s financial statements: The City Council has continued its policy to participate in local agency and other agreements to maximize infrastructure improvements by way of federal funding, and to seek out various intergovernmental partnerships to further subsidize the cost of such improvements. These proactive measures have allowed the City to continue its aggressive street reconstruction, maintenance and resurfacing programs, along with other public infrastructure improvements. However, as a direct result of the financial uncertainty associated with the COVID-19 pandemic, the City Council exercised prudent direction to delay those projects not already in-process to Fiscal Year 2021. In 2020, the Washington Street Reconstruction Project and the construction of the road salt storage facility were completed. The City Council’s continued partnership with the Boards of the Fire Protection District, School District 33, School District 94, DuPage Airport Authority and the Library District allowed for a partial property tax abatement relative to the development of the Scannell Property (Shorr Packaging). This development project is expected to enhance the work force and have a meaningful impact on economic development in the area. Following the direction of the City Council, an Intergovernmental Agreement with DuPage County was executed for CARES Act funds for public safety payroll costs which helped offset the anticipated revenue loss from declining income tax, motor fuel tax, personal property replacement tax and sales tax receipts. Supplemental funds were also received to assist families facing food insecurity in the community. 6 ===== PDF PAGE 16 ===== [Extraction: embedded PDF text] AWARDS AND ACHIEVEMENTS The Government Finance Officers Association of the United States and Canada (GFOA) awarded a Certificate of Achievement for Excellence in Financial Reporting to the City of West Chicago for its comprehensive annual financial report (CAFR) for the fiscal year ended December 31, 2019. This was the twenty-first consecutive year that the City has received this prestigious award. In order to be awarded a Certificate of Achievement, the City must publish an easily readable and efficiently organized comprehensive annual financial report. This report must satisfy both generally accepted accounting principles and applicable legal requirements. This report can be viewed on the City’s website at www.westchicago.org. A Certificate of Achievement is valid for a period of one year only. We believe that our current comprehensive annual financial report continues to meet the Certificate of Achievement Program’s requirements, and we are submitting it to the GFOA to determine its eligibility for another Certificate. The preparation of this report was made possible by the dedicated service of the entire staff of the Department of Administrative Services. Each member of the Department has our sincere appreciation for the contribution made in the preparation of this report. In closing, we would like to acknowledge and thank the Mayor and City Council for their leadership and support in planning and conducting the financial operations of the City in a progressive manner throughout the year, and for their support in maintaining high standards of professionalism in the management of the City’s finances. Respectfully submitted, Linda M. Martin Nikki T. Giles Director of Administrative Services Assistant Director of Administrative Services 7 ===== PDF PAGE 17 ===== [Extraction: embedded PDF text] Government Finance Officers Association Certificate of Achievement for Excellence in Financial Reporting Presented to City of West Chicago Illinois For its Comprehensive Annual Financial Report For the Fiscal Year Ended December 31, 2019 Executive Director/CEO 8 ===== PDF PAGE 18 ===== [Extraction: embedded PDF text] FINANCIAL SECTION This section includes:  Independent Auditors’ Report  Management’s Discussion and Analysis  Basic Financial Statements  Required Supplementary Information  Other Supplementary Information  Supplemental Schedule ===== PDF PAGE 19 ===== [Extraction: OCR (rendered-page OCR)] INDEPENDENT AUDITORS’ REPORT ===== PDF PAGE 20 ===== [Extraction: embedded PDF text] INDEPENDENT AUDITORS' REPORT September 30, 2021 The Honorable City Mayor Members of the City Council City of West Chicago, Illinois Report on the Financial Statements We have audited the accompanying financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of West Chicago, Illinois, as of and for the year ended December 31, 2020, and the related notes to the financial statements, which collectively comprise the City’s basic financial statements as listed in the table of contents. Management’s Responsibility for the Financial Statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. Auditor’s Responsibility Our responsibility is to express opinions on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. 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 involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the City’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the City’s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions. 9 ===== PDF PAGE 21 ===== [Extraction: embedded PDF text] City of West Chicago, Illinois September 30, 2021 Page 2 Opinions In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of West Chicago, Illinois, as of December 31, 2020, and the respective changes in financial position and, where applicable, cash flows thereof for the year then ended in accordance with accounting principles generally accepted in the United States of America. Other Matters Required Supplementary Information Accounting principles generally accepted in the United States of America require that the management’s discussion and analysis as listed in the table of contents and budgetary information reported in the required supplementary information as listed in the table of contents, be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board, who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. Other Information Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the City of West Chicago, Illinois’ basic financial statements. The introductory section, other supplementary information, supplemental schedule, and statistical section are presented for purposes of additional analysis and are not a required part of the basic financial statements. The other supplementary information and supplemental schedule are the responsibility of management and were derived from and relate directly to the underlying accounting and other records used to prepare the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the other supplementary information and supplemental schedule are fairly stated, in all material respects, in relation to the basic financial statements as a whole. 10 ===== PDF PAGE 22 ===== [Extraction: embedded PDF text] City of West Chicago, Illinois September 30, 2021 Page 3 Other Matters – Continued Other Information – Continued The introductory and statistical sections have not been subjected to the auditing procedures applied in the audit of the basic financial statements and, accordingly, we do not express an opinion or provide any assurance on them. Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated September 30, 2021, on our consideration of the City’s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the City’s internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the City’s internal control over financial reporting and compliance. Lauterbach & Amen, LLP LAUTERBACH & AMEN, LLP 11 ===== PDF PAGE 23 ===== [Extraction: OCR (rendered-page OCR)] MANAGEMENT?’S DISCUSSION AND ANALYSIS ===== PDF PAGE 24 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Management’s Discussion and Analysis December 31, 2020 Our discussion and analysis of the City of West Chicago’s financial performance provides an overview of the City of West Chicago’s financial activities for the fiscal year ended December 31, 2020. Please read it in conjunction with the transmittal letter, which can be found in the introductory section of this report and the City of West Chicago’s financial statements, located in the basic financial statements section of this report. FINANCIAL HIGHLIGHTS  The City’s net position increased as a result of this year’s operations. Net position of business- type activities decreased by $5,744,152, or 7.1 percent, while net position of the governmental activities increased by $4,077,503 or 9.9 percent.  During the year, government-wide revenues for the primary government totaled $35,307,797, while expenses totaled $36,974,446, resulting in a decrease to net position of $1,666,649.  The City of West Chicago’s net position totaled $120,602,615 at December 31, 2020, which includes $147,781,708 net investment in capital assets, $5,496,546 subject to external restrictions, and $32,675,639 unrestricted deficit net position that is relative to a multi-year trend of spending reserves and current assets.  The General Fund reported an increase this year of $3,553,011, resulting in an ending fund balance of $19,039,335, an increase of 22.9 percent. USING THIS REPORT This annual report consists of a series of financial statements. The Statement of Net Position and the Statement of Activities provide information about the activities of the City of West Chicago as a whole and present a longer-term view of the City’s finances. For governmental activities, these statements tell how these services were financed in the short term as well as what remains for future spending. Fund financial statements also report the City’s operations in more detail than the government-wide statements by providing information about the City of West Chicago’s most significant funds. The remaining statements provide financial information about activities for which the City acts solely as a trustee or agent for the benefit of those outside of the government. Government-Wide Financial Statements The government-wide financial statements provide readers with a broad overview of the City of West Chicago’s finances, in a manner similar to a private-sector business. The Statement of Net Position reports information on all of the City of West Chicago’s assets/deferred outflows and liabilities/deferred inflows, with the difference between the two reported as net position. Over time, increases or decreases in net position may serve as a useful indicator of whether the financial position of the City is improving or deteriorating. Consideration of other non-financial factors, such as changes in the City’s property tax base and the condition of the City’s infrastructure, is needed to assess the overall health of the City of West Chicago. 12 ===== PDF PAGE 25 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Management’s Discussion and Analysis December 31, 2020 USING THIS REPORT – Continued Government-Wide Financial Statements – Continued The Statement of Activities presents information showing how the government’s net position changed during the most recent fiscal period. All changes in net position are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of related cash flows. Thus, revenues and expenses are reported in this statement for some items that will only result in cash flows in future fiscal periods (e.g., uncollected taxes and earned but unused vacation leave). Both of the government-wide financial statements distinguish functions of the City of West Chicago that are principally supported by taxes and intergovernmental revenues (governmental activities) from other functions that are intended to recover all or a significant portion of their costs through user fees and charges (business-type activities). The governmental activities of the City of West Chicago include general government, public safety and culture and recreation. The business-type activities of the City of West Chicago include waterworks, sewerage and commuter parking operations. Fund Financial Statements A fund is a grouping of related accounts that is used to maintain control over resources that have been segregated for specific activities or objectives. The City of West Chicago, like other local governments, uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. All of the funds of the City can be divided into three categories: governmental funds, proprietary funds, and fiduciary funds. Governmental Funds Governmental funds are used to account for essentially the same functions reported as governmental activities in the government-wide financial statements. However, governmental fund financial statements focus on near-term inflows and outflows of spendable resources, as well as on balances of spendable resources available at the end of the fiscal period. Such information may be useful in evaluating the City of West Chicago’s near-term financing requirements. Because the focus of governmental funds is narrower than that of the government-wide financial statements, it is useful to compare the information presented for governmental funds with similar information presented for governmental activities in the government-wide financial statements. By doing so, readers may better understand the long-term impact of the government’s near-term financing decisions. Both the governmental fund balance sheet and the governmental fund statement of revenues, expenditures, and changes in fund balances provide a reconciliation to facilitate the comparison between governmental funds and governmental activities. The City of West Chicago maintains seven individual governmental funds. Information is presented separately in the governmental fund balance sheet and in the governmental fund statement of revenues, expenditures, and changes in fund balances for the General Fund, Public Benefit Fund, TIF Special Tax Allocation #1 Fund, and Capital Improvement Fund, all of which are considered major funds. Data from the other three governmental funds are combined into a single, aggregated presentation. Individual fund data for each of these nonmajor governmental funds is provided in the form of combining statements elsewhere in this report. 13 ===== PDF PAGE 26 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Management’s Discussion and Analysis December 31, 2020 USING THIS REPORT – Continued Fund Financial Statements – Continued Governmental Funds – Continued The City of West Chicago adopts an annual budget for all of the governmental funds. A budgetary comparison schedule for these funds has been provided to demonstrate compliance with this budget. Proprietary Funds The City of West Chicago maintains one proprietary fund type: enterprise. Enterprise funds are used to report the same functions presented as business-type activities in the government–wide financial statements. The City of West Chicago utilizes enterprise funds to account for its water and sewer operations, water and sewer construction, water and sewer debt retirement, and commuter parking operations. Proprietary fund financial statements provide the same type of information as the government-wide financial statements, only in more detail. The proprietary fund financial statements provide separate information for the Waterworks and Sewerage Funds, which are considered to be major funds of the City, and the Commuter Parking Fund, which is a nonmajor fund. Fiduciary Funds Fiduciary funds are used to account for resources held for the benefit of parties outside the government. Fiduciary funds are not reflected in the government-wide financial statements because the resources of those funds are not available to support the City of West Chicago’s own programs. The accounting use for fiduciary funds is much like that used for proprietary funds. Notes to the Financial Statements The notes provide additional information that is essential to a full understanding of the data provided in the government-wide and fund financial statements. Other Information In addition to the basic financial statements and accompanying notes, this report also presents certain required supplementary information concerning the City of West Chicago’s Illinois Municipal Retirement Fund (I.M.R.F.), Police Pension Fund, and retiree benefits plan, as well as budgetary comparison schedules for the General Fund and any major special revenue funds. The combining statements referred to earlier in connection with nonmajor governmental funds are presented immediately following the required supplementary information on pensions. 14 ===== PDF PAGE 27 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Management’s Discussion and Analysis December 31, 2020 GOVERNMENT-WIDE FINANCIAL ANALYSIS Net position may serve over time as a useful indicator of a government’s financial position. The following tables show that in the case of the City of West Chicago, assets/deferred outflows exceeded liabilities/deferred inflows by $120,602,615. Net Position Governmental Business-Type Activities Activities Totals 2020 2019 2020 2019 2020 2019 Current Assets $ 36,887,030 $ 31,284,965 $ (13,283,384) $ (8,905,152) $ 23,603,646 $ 22,379,813 Capital Assets 53,700,103 54,970,284 96,752,296 98,828,924 150,452,399 153,799,208 Total Assets 90,587,133 86,255,249 83,468,912 89,923,772 174,056,045 176,179,021 Deferred Outlflows 8,310,088 10,656,094 1,124,743 276,575 9,434,831 10,932,669 Total Assets/Deferred Outflows 98,897,221 96,911,343 84,593,655 90,200,347 183,490,876 187,111,690 Current Liabilities 3,859,961 4,591,208 2,039,989 2,290,082 5,899,950 6,881,290 Noncurrent Liabilities 31,576,084 41,501,352 5,544,412 5,936,596 37,120,496 47,437,948 Total Liabilities 35,436,045 46,092,560 7,584,401 8,226,678 43,020,446 54,319,238 Deferred Inflows 18,051,149 9,486,259 1,816,666 1,036,929 19,867,815 10,523,188 Total Liabilities/Deferred Inflows 53,487,194 55,578,819 9,401,067 9,263,607 62,888,261 64,842,426 Net Position Net Investment in Capital Assets 53,700,103 54,970,284 94,081,605 95,532,108 147,781,708 150,502,392 Restricted 5,316,225 3,615,057 180,321 180,321 5,496,546 3,795,378 Unrestricted (Deficit) (13,606,301) (17,252,817) (19,069,338) (14,775,689) (32,675,639) (32,028,506) Total Net Position $ 45,410,027 $ 41,332,524 $ 75,192,588 $ 80,936,740 $ 120,602,615 $ 122,269,264 A large portion of the City’s net position, $147,781,708, reflects its investment in capital assets (i.e., land, construction in progress, land improvements, buildings and improvements, machinery and equipment, and infrastructure), less any related debt used to acquire those assets that is still outstanding. The City uses these capital assets to provide services to citizens; consequently, these assets are not available for future spending. Although the City’s investment in its capital assets is reported net of related debt, it should be noted that the resources needed to repay this debt must be provided from other sources, since the capital assets themselves cannot be used to liquidate these liabilities. An additional portion, $5,496,546, of the City of West Chicago’s net position represents resources that are subject to external restrictions on how they may be used. The remaining $32,675,639 represents unrestricted deficit net position that is relative to a multi-year trend of spending reserves and current assets. 15 ===== PDF PAGE 28 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Management’s Discussion and Analysis December 31, 2020 GOVERNMENT-WIDE FINANCIAL ANALYSIS – Continued Changes in Net Position Governmental Business-Type Activities Activities Totals 2020 2019 2020 2019 2020 2019 Revenues Program Revenues Charges for Services $ 5,733,341 $ 6,489,489 $ 7,108,241 $ 8,764,421 $ 12,841,582 $ 15,253,910 Operating Grants/Contrib. 7,227 128,544 - - 7,227 128,544 Capital Grants/Contrib. 1,643,965 895,088 - 219,837 1,643,965 1,114,925 General Revenues Property Taxes 4,713,460 4,666,636 9,916 8,882 4,723,376 4,675,518 Other Taxes 681,403 641,440 - - 681,403 641,440 Sales and Use Taxes 8,163,522 7,470,171 - - 8,163,522 7,470,171 Income Taxes 2,943,407 2,883,008 - - 2,943,407 2,883,008 Replacement Taxes 166,337 198,860 - - 166,337 198,860 Utility Taxes 2,083,483 2,205,508 - - 2,083,483 2,205,508 Interest Income 6,086 25,729 1,538 7,598 7,624 33,327 Miscellaneous 1,690,936 732,686 354,935 428,265 2,045,871 1,160,951 Total Revenues 27,833,167 26,337,159 7,474,630 9,429,003 35,307,797 35,766,162 Expenses General Government 12,085,019 9,233,858 - - 12,085,019 9,233,858 Public Safety 10,448,934 12,429,913 - - 10,448,934 12,429,913 Culture and Recreation 49,692 49,692 - - 49,692 49,692 Streets and Highways 1,170,904 5,193,137 - - 1,170,904 5,193,137 Interest on Long-Term Debt 1,115 250 - - 1,115 250 Waterworks - - 7,223,329 6,710,153 7,223,329 6,710,153 Sewerage - - 5,895,441 16,363,298 5,895,441 16,363,298 Commuter Parking - - 100,012 114,234 100,012 114,234 Total Expenses 23,755,664 26,906,850 13,218,782 23,187,685 36,974,446 50,094,535 Change in Net Position 4,077,503 (569,691) (5,744,152) (13,758,682) (1,666,649) (14,328,373) Net Position - Beginning 41,332,524 41,902,215 80,936,740 94,695,422 122,269,264 136,597,637 Net Position - Ending $ 45,410,027 $ 41,332,524 $ 75,192,588 $ 80,936,740 $ 120,602,615 $ 122,269,264 Net position of the City of West Chicago’s governmental activities increased 9.9 percent ($45,410,027 at December 31, 2020, compared to $41,332,524 at December 31, 2019). Unrestricted net position, the part of net position that can be used to finance day-to-day operations without constraints, totaled a deficit of $13,531,301 at December 31, 2020. Net position of business-type activities decreased 7.1 percent ($75,192,588 at December 31, 2020 compared to $80,936,740 at December 31, 2019). The City reported a deficit of $3,384,427 in the Waterworks Fund and a deficit of $2,304,146 in the Sewerage Fund and a deficit of $55,579 in the Commuter Parking Fund. 16 ===== PDF PAGE 29 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Management’s Discussion and Analysis December 31, 2020 GOVERNMENT-WIDE FINANCIAL ANALYSIS – Continued Governmental Activities Revenues for governmental activities totaled $27,833,167 while the cost of all governmental functions totaled $23,755,664. This results in a net position increase of $4,077,503 at December 31, 2020. At December 31, 2019, revenues for governmental activities totaled $26,337,159, while the cost of all governmental functions totaled $26,906,850, which resulted in a drawdown of $569,691. Revenues for capital grants/contributions, sales and use taxes, and miscellaneous revenues increased $748,877, $693,351, and $958,250, respectively. Revenues for charges for services, operating grants/contributions, and utility taxes decreased by $756,148, $121,317, and $122,025, respectively. The following table graphically depicts the major revenue sources of the City of West Chicago. It depicts very clearly the reliance on property taxes, sales and use taxes, charges for services and other general revenues to fund governmental activities. It also clearly identifies the less significant percentage the City receives from replacement taxes. Revenues by Source - Governmental Activities Interest Income, Misc, 6.1% 0.1% Charges for Services, 20.6% Other, 7.5% Operating Grants/Contrib., Replacement 0.1% Taxes, 0.5% Capital Income Taxes, Grants/Contrib., 10.6% 5.9% Sales and Use Property Taxes, Taxes, 29.3% Other Taxes, 16.9% 2.4% 17 ===== PDF PAGE 30 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Management’s Discussion and Analysis December 31, 2020 GOVERNMENT-WIDE FINANCIAL ANALYSIS – Continued Governmental Activities – Continued The ‘Expenses and Program Revenues’ Chart identifies those governmental functions where program expenses greatly exceed revenues. These expenses and revenues do not include the major revenue sources, such as property taxes, sales and use taxes and income taxes, described earlier. The Statement of Activities further outlines those revenues and expenses considered program specific. Expenses and Program Revenues - Governmental Activities Revenues Expenses $14,000,000 $12,000,000 $10,000,000 $8,000,000 $6,000,000 $4,000,000 $2,000,000 $- General Public Safety Culture and Streets and Interest on Government Recreation Highways Long-Term Debt Business-Type Activities Business-type activities posted total revenues of $7,474,630, while the cost of all business-type activities totaled $13,218,782. This results in a net position decrease of $5,744,152. At December 31, 2019, revenues of $9,429,003, were less than expenses of $23,187,685 (which includes $10,586,384 disposal of capital assets), resulting in a decrease of $13,758,682. The chart below compares program revenues to expenses for business-type activities. Program Revenues and Expenses - Business- Type Activities Revenues Expenses $8,000,000 $7,000,000 $6,000,000 $5,000,000 $4,000,000 $3,000,000 $2,000,000 $1,000,000 $- Waterworks Sewerage Commuter Parking 18 ===== PDF PAGE 31 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Management’s Discussion and Analysis December 31, 2020 FINANCIAL ANALYSIS OF THE GOVERNMENT’S FUNDS As noted earlier, the City of West Chicago uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. Governmental Funds The focus of the City of West Chicago’s governmental funds is to provide information on near-term inflows, outflows, and balances of spendable resources. In particular, unassigned fund balance may serve as a useful measure of a government’s net resources available for spending at the end of the fiscal year. At December 31, 2020, the City’s governmental funds reported combined ending fund balances of $27,897,110, which is an increase of $5,582,929 from last year’s total of $22,314,181. Of the $27,897,110 total, $15,925,019, or 57.1 percent, of the fund balance constitutes unassigned fund balance, while $118,494, or 0.4 percent, is designated as nonspendable, $5,316,225, or 19.1 percent, has been classified as restricted funds and $6,537,372, or 23.4 percent, has been classified as assigned funds. The General Fund is the chief operating fund of the City. The General Fund reported an increase change in fund balance for the fiscal year of $3,553,011, an increase of 22.9 percent. Overall, budgeted expenditures totaled $21,006,400 while actual expenditures totaled $18,646,037, due to intentional delays in projects and restricted spending due to the uncertainty of the pandemic’s impact on the City’s financial picture in the short- and mid-term. These variances are further outlined on the General Fund Schedule of Revenues, Expenditures and Changes in Fund Balance. The Public Benefit Fund is used to account for the accumulation of funds from Kerr McGee to fund projects that meet the criteria established by the City Council and as detailed in the City Code. The Public Benefit Fund fund balance remained stable for the fiscal year, reporting an increase of $559. The TIF Special Tax Allocation #1 Fund reported an increase of $260,489 for the year, the majority of which resulted from actual revenues totaling $998,613 and actual expenditures totaling $738,124, which was $264,276 less than expenditures budgeted, due to projects and events delayed due to the pandemic. The fund balance of $1,191,714 will be used for ongoing projects and prospective development. The Capital Improvement Fund reported an increase in fund balance of $1,193,533 for the year, which resulted from actual expenditures of $2,410,462 being below actual revenues totaling $3,603,995, due to projects not already in-progress or awarded a contract prior to March 2020 were moved to Fiscal Year 2021 as a result of the financial uncertainty associated with the pandemic. 19 ===== PDF PAGE 32 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Management’s Discussion and Analysis December 31, 2020 FINANCIAL ANALYSIS OF THE GOVERNMENT’S FUNDS – Continued Proprietary Funds The City of West Chicago’s proprietary funds provide the same type of information found in the government-wide financial statements, but in more detail. The City reports the Waterworks Fund and the Sewerage Funds as two major proprietary funds. The Waterworks Fund accounts for all of the operations of the municipal water plant and distribution system while the Sewerage Fund accounts for all of the operations of the municipal sewer treatment plant and collection system. Water is sold to municipal customers at a rate of $3.88 per one thousand gallons of water ($2.90 per one hundred cubic feet for water) and a rate of $5.61 per one thousand gallons of sewer ($4.20 per one hundred cubic feet for sewer). The variance between the cost of operations and the rates charged to customers is intended to finance the debt and infrastructure of the utility system, including labor costs, supplies, infrastructure maintenance and future infrastructure improvements. The Commuter Parking Fund is recorded as a nonmajor fund. Each year, the City of West Chicago projects the user rates charged to be sufficient that the funds operate at a breakeven level, including amortization of future capital costs. Periodically, there will be an annual surplus or decrease due to the timing of capital projects. The decrease in net position in the Waterworks Fund during the fiscal year was $3,384,427, while the decrease in the previous fiscal year was $2,341,617. The Sewerage Fund experienced a decrease in net position of $2,304,146, while the previous fiscal year reported a decrease of $11,463,632 (due in large part to the disposal of capital assets). The Commuter Parking Fund had a decrease in net position for the fiscal year of $55,579 compared to the increase in the previous fiscal year of $46,567. Total net position in the Proprietary Funds was $75,192,588 (net investment in capital assets, restricted, and unrestricted) at December 31, 2020. GENERAL FUND BUDGETARY HIGHLIGHTS The City of West Chicago Council made two budget amendments to the General Fund during the fiscal year. General Fund actual revenues for the year totaled $22,199,048 compared to budgeted revenues of $17,478,000. There was better than anticipated actual results within all revenue categories, except interest income which came in slightly lower than anticipated. Overall General Fund revenues were decreased $1,370,000 due to anticipated revenue loss as a result of the pandemic. Original budgeted expenditures of $20,651,400 were increased $355,000 for other contractual services. The General Fund actual expenditures for the year were $2,360,363 lower than budgeted ($18,646,037 actual compared to $21,006,400 final budgeted). The general government’s actual expenditures were lower than budgeted expenditures by $1,875,138 due to overall cost controlling measures. In addition, public safety actual expenditures were lower than budgeted expenditures by $486,180 due to overall cost controlling measures. 20 ===== PDF PAGE 33 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Management’s Discussion and Analysis December 31, 2020 CAPITAL ASSETS AND DEBT ADMINISTRATION Capital Assets The City of West Chicago’s investment in capital assets for its governmental and business type activities as of December 31, 2020 was $150,452,399, net of accumulated depreciation. This investment in capital assets includes land, construction on progress, land improvements, buildings and improvements, machinery and equipment, and infrastructure. Capital Assets - Net of Depreciation Governmental Business-Type Activities Activities Totals 2020 2019 2020 2019 2020 2019 Land $ 20,218,128 $ 20,218,128 $ 28,040,111 $ 28,040,111 $ 48,258,239 $ 48,258,239 Construction in Progress - 2,756,726 1,065,717 2,268,665 1,065,717 5,025,391 Land Improvements 1,381,959 1,438,275 485,608 517,720 1,867,567 1,955,995 Buildings and Improvements 4,067,014 1,146,049 16,883,311 16,310,501 20,950,325 17,456,550 Machinery and Equipment 2,630,304 2,623,313 3,221,716 3,257,076 5,852,020 5,880,389 Infrastructure 25,402,698 26,787,793 47,055,833 48,434,851 72,458,531 75,222,644 Totals $ 53,700,103 $ 54,970,284 $ 96,752,296 $ 98,828,924 $ 150,452,399 $ 153,799,208 This year’s major additions included: Construction in Progress $ 30,645 Buildings and Improvements 1,510,812 Machinery and Equipment 558,101 $ 2,099,558 Additional information on the City of West Chicago’s capital assets can be found in Note 3 of this report. 21 ===== PDF PAGE 34 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Management’s Discussion and Analysis December 31, 2020 CAPITAL ASSETS AND DEBT ADMINISTRATION – Continued Debt Administration At December 31, 2020, the City of West Chicago had total outstanding debt of $2,670,691 as compared to $3,296,816 at December 31, 2019, a decrease of $626,125. The following is a comparative statement of outstanding debt: Long-Term Debt Outstanding Governmental Business-Type Activities Activities Totals 2020 2019 2020 2019 2020 2019 IEPA Revolving Loan $ - $ - $ 2,670,691 $ 3,296,816 $ 2,670,691 $ 3,296,816 Chapter 65, Section 5/8-5-1 of the Illinois Compiled Statutes governs computation of the legal debt margin. The City is a home rule municipality and to date, the Illinois General Assembly has set no limits for home rule municipalities. Additional information on the City of West Chicago long-term debt can be found in Note 3 of this report. ECONOMIC FACTORS AND NEXT YEAR’S BUDGET AND RATES The City of West Chicago’s elected and appointed officials considered many factors when setting the fiscal year 2021 budget, tax rates and fees that will be charged for its governmental and business-type activities. One of those factors is the economy. Unemployment rates for December 31, 2020, for DuPage County was 6.7 percent and the state and national unemployment rates were 8.0 and 6.7 percent, respectively. The City of West Chicago’s unemployment rate was 6.8 percent. Amounts available for appropriation in the General Fund are $19,906,300, a decrease of 5.24% from the final 2020 budget of $21,006,400. The City of West Chicago has budgeted increases in sales and electricity use tax of 6 percent and 3.75 percent, respectively. The City of West Chicago’s major initiatives in the 2021 budget include a return to an aggressive street resurfacing program and the SCADA upgrade for the water system. The City of West Chicago maintains its strong commitment to fiscal accountability and pledges to continue to seek innovative strategies to maximize financial responsibility. In March 2020, the World Health Organization declared the COVID-19 virus a public health emergency. As of the date of this report, the extent of the impact of COVID-19 on the City’s operations and financial position cannot be determined. REQUESTS FOR INFORMATION This financial report is designed to provide a general overview of the City of West Chicago’s finances for all those with an interest in the government’s finances. Questions concerning any of the information provided in this report or requests for additional information should be directed to the Director of Administrative Services, City of West Chicago, 475 Main Street, West Chicago, IL 60185. 22 ===== PDF PAGE 35 ===== [Extraction: embedded PDF text] BASIC FINANCIAL STATEMENTS The basic financial Statements include integrated sets of financial statements as required by the GASB. The sets of statements include: • Government-Wide Financial Statements • Fund Financial Statements Governmental Funds Proprietary Funds Fiduciary Fund In addition, the notes to the financial statements are included to provide information that is essential to a user’s understanding of the basic financial statements. ===== PDF PAGE 36 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Statement of Net Position December 31, 2020 Governmental Business -Type Activities Activities Totals ASSETS Current Assets Cash and Investments $ 8,139,645 $ 398,696 $ 8,538,341 Receivables - Net of Allowances 8,660,616 5,198,178 13,858,794 Internal Balances 19,460,053 (19,460,053) - Prepaid Items/Inventories 118,494 38,190 156,684 Total Current Assets 36,378,808 (13,824,989) 22,553,819 Noncurrent Assets Capital Assets Nondepreciable 20,218,128 29,105,828 49,323,956 Depreciable 78,004,972 109,807,449 187,812,421 Accumulated Depreciation (44,522,997) (42,160,981) (86,683,978) Total Capital Assets 53,700,103 96,752,296 150,452,399 Other Assets Net Pension Asset - IMRF 508,222 541,605 1,049,827 Total Noncurrent Assets 54,208,325 97,293,901 151,502,226 Total Assets 90,587,133 83,468,912 174,056,045 DEFERRED OUTFLOWS OF RESOURCES Deferred Items - IMRF 257,808 274,743 532,551 Deferred Items - Police Pension 7,977,280 - 7,977,280 Deferred Items - ARO 75,000 850,000 925,000 Total Deferred Outflows of Resources 8,310,088 1,124,743 9,434,831 Total Assets and Deferred Outflows of Resources 98,897,221 84,593,655 183,490,876 The notes to the financial statements are an integral part of this statement. 23 ===== PDF PAGE 37 ===== [Extraction: embedded PDF text] Governmental Business -Type Activities Activities Totals LIABILITIES Current Liabilities Accounts Payable $ 887,654 $ 1,035,954 $ 1,923,608 Accrued Payroll 467,542 138,628 606,170 Accrued Interest Payable - 22,879 22,879 Deposits Payable 1,809,786 142,395 1,952,181 Other Payables 300,416 17,850 318,266 Current Portion of Long-Term Debt 394,563 682,283 1,076,846 Total Current Liabilities 3,859,961 2,039,989 5,899,950 Noncurrent Liabilities Compensated Absences Payable 1,578,253 159,853 1,738,106 Net Pension Liability - Police Pension 24,353,133 - 24,353,133 Total OPEB Liability - RBP 5,569,698 2,506,188 8,075,886 IEPA Revolving Loan Payable - 2,028,371 2,028,371 Asset Retirement Obligation 75,000 850,000 925,000 Total Noncurrent Liabilities 31,576,084 5,544,412 37,120,496 Total Liabilities 35,436,045 7,584,401 43,020,446 DEFERRED INFLOWS OF RESOURCES Deferred Items - IMRF 1,704,688 1,816,666 3,521,354 Deferred Items - Police Pension 11,330,161 - 11,330,161 Property Taxes 5,016,300 - 5,016,300 Total Deferred Inflows of Resources 18,051,149 1,816,666 19,867,815 Total Liabilities and Deferred Inflows of Resources 53,487,194 9,401,067 62,888,261 NET POSITION Net Investment in Capital Assets 53,700,103 94,081,605 147,781,708 Restricted - Motor Fuel Tax 2,071,213 - 2,071,213 Restricted - Public Safety 927,219 - 927,219 Restricted - Property Taxes - TIF 1,373,072 - 1,373,072 Restricted - Public Benefit Projects 944,721 - 944,721 Restricted - Water - 180,321 180,321 Unrestricted (Deficit) (13,606,301) (19,069,338) (32,675,639) Total Net Position $ 45,410,027 $ 75,192,588 $ 120,602,615 The notes to the financial statements are an integral part of this statement. 24 ===== PDF PAGE 38 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Statement of Activities For the Fiscal Year Ended December 31, 2020 Program Revenues Charges Operating Capital for Grants/ Grants/ Expenses Services Contributions Contributions Governmental Activities General Government $ 12,085,019 $ 3,433,651 $ 7,227 $ - Public Safety 10,448,934 1,345,890 - - Culture and Recreation 49,692 953,800 - - Streets and Highways 1,170,904 - - 1,643,965 Interest and Fiscal Charges 1,115 - - - Total Governmental Activities 23,755,664 5,733,341 7,227 1,643,965 Business-Type Activities Waterworks 7,223,329 3,422,705 - - Sewerage 5,895,441 3,641,234 - - Commuter Parking 100,012 44,302 - - Total Business-Type Activities 13,218,782 7,108,241 - - Total Primary Government $ 36,974,446 $ 12,841,582 $ 7,227 $ 1,643,965 General Revenues Taxes Property Taxes Telecommunications Taxes Amusement Taxes Cannabis Taxes Intergovernmental - Unrestricted Sales and Use Taxes Income Taxes Replacement Taxes Utility Taxes Interest Income Miscellaneous Change in Net Position Net Position - Beginning Net Position - Ending The notes to the financial statements are an integral part of this statement. 25 ===== PDF PAGE 39 ===== [Extraction: embedded PDF text] Net (Expenses)/Revenues Primary Government Governmental Business-Type Activities Activities Totals $ (8,644,141) $ - $ (8,644,141) (9,103,044) - (9,103,044) 904,108 - 904,108 473,061 473,061 (1,115) - (1,115) (16,371,131) - (16,371,131) - (3,800,624) (3,800,624) - (2,254,207) (2,254,207) - (55,710) (55,710) - (6,110,541) (6,110,541) (16,371,131) (6,110,541) (22,481,672) 4,713,460 9,916 4,723,376 577,082 - 577,082 88,601 - 88,601 15,720 - 15,720 8,163,522 - 8,163,522 2,943,407 - 2,943,407 166,337 - 166,337 2,083,483 - 2,083,483 6,086 1,538 7,624 1,690,936 354,935 2,045,871 20,448,634 366,389 20,815,023 4,077,503 (5,744,152) (1,666,649) 41,332,524 80,936,740 122,269,264 $ 45,410,027 $ 75,192,588 $ 120,602,615 The notes to the financial statements are an integral part of this statement. 26 ===== PDF PAGE 40 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Balance Sheet - Governmental Funds December 31, 2020 Special Public General Benefit ASSETS Cash and Investments $ - $ 874,779 Receivables - Net of Allowances Property Taxes 3,838,721 - Other 2,878,575 - Due From Other Funds 18,881,536 - Prepaids/Inventories 115,884 - Advances to Other Funds - 69,942 Total Assets 25,714,716 944,721 LIABILITIES Accounts Payable 589,853 - Accrued Payroll 437,021 - Deposits Payable 1,809,786 - Advances from Other Funds - - Other Payables - - Total Liabilities 2,836,660 - DEFERRED INFLOWS OF RESOURCES Property Taxes 3,838,721 - Total Liabilities and Deferred Inflows of Resources 6,675,381 - FUND BALANCES Nonspendable 115,884 - Restricted 2,998,432 944,721 Assigned - - Unassigned 15,925,019 - Total Fund Balances 19,039,335 944,721 Total Liabilities, Deferred Inflows of Resources and Fund Balances $ 25,714,716 $ 944,721 The notes to the financial statements are an integral part of this statement. 27 ===== PDF PAGE 41 ===== [Extraction: embedded PDF text] Revenue Capital TIF Projects Special Tax Capital Allocation #1 Improvement Nonmajor Totals $ 1,283,139 $ 3,350,291 $ 2,631,436 $ 8,139,645 1,136,142 - 41,149 5,016,012 - 766,029 - 3,644,604 - 578,517 - 19,460,053 1,631 979 - 118,494 - - - 69,942 2,420,912 4,695,816 2,672,585 36,448,750 10,453 115,328 172,020 887,654 12,661 17,860 - 467,542 - - - 1,809,786 69,942 - - 69,942 - 300,416 - 300,416 93,056 433,604 172,020 3,535,340 1,136,142 288 41,149 5,016,300 1,229,198 433,892 213,169 8,551,640 1,631 979 - 118,494 1,190,083 - 182,989 5,316,225 - 4,260,945 2,276,427 6,537,372 - - - 15,925,019 1,191,714 4,261,924 2,459,416 27,897,110 $ 2,420,912 $ 4,695,816 $ 2,672,585 $ 36,448,750 The notes to the financial statements are an integral part of this statement. 28 ===== PDF PAGE 42 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Reconciliation of Total Governmental Fund Balance to the Statement of Net Position - Governmental Activities December 31, 2020 Total Governmental Fund Balances $ 27,897,110 Amounts reported for governmental activities in the Statement of Net Position are different because: Capital assets used in governmental activities are not financial resources and therefore, are not reported in the funds. 53,700,103 Deferred outflows (inflows) of resources related to the pensions not reported in the funds. Deferred Items - IMRF (1,446,880) Deferred Items - Police Pension (3,352,881) Deferred Items - Asset Retirement Obligation 75,000 Long-term liabilities are not due and payable in the current period and therefore are not reported in the funds. Compensated Absences Payable (1,972,816) Net Pension Liability/(Asset) - IMRF 508,222 Net Pension Liability - Police Pension (24,353,133) Total OPEB Liability - RBP (5,569,698) Asset Retirement Obligation (75,000) Net Position of Governmental Activities $ 45,410,027 The notes to the financial statements are an integral part of this statement. 29 ===== PDF PAGE 43 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Statement of Revenues, Expenditures and Changes in Fund Balances - Governmental Funds For the Fiscal Year Ended December 31, 2020 See Following Page ===== PDF PAGE 44 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Statement of Revenues, Expenditures and Changes in Fund Balances - Governmental Funds For the Fiscal Year Ended December 31, 2020 Special Public General Benefit Revenues Taxes $ 4,337,076 $ - Intergovernmental 11,514,774 - Charges for Services 2,784,197 - Licenses and Permits 1,023,714 - Fines and Forfeitures 971,630 - Interest Income 3,335 559 Miscellaneous 1,564,322 - Total Revenues 22,199,048 559 Expenditures Current General Government 8,256,462 - Public Safety 10,388,620 - Capital Outlay - - Debt Service Interest and Fiscal Charges 955 - Total Expenditures 18,646,037 - Net Change in Fund Balances 3,553,011 559 Fund Balances - Beginning 15,486,324 944,162 Fund Balances - Ending $ 19,039,335 $ 944,721 The notes to the financial statements are an integral part of this statement. 30 ===== PDF PAGE 45 ===== [Extraction: embedded PDF text] Revenue Capital TIF Projects Special Tax Capital Allocation #1 Improvement Nonmajor Totals $ 1,022,519 $ 714,075 $ 35,268 $ 6,108,938 - 2,779,092 - 14,293,866 - - 953,800 3,737,997 - - - 1,023,714 - - - 971,630 797 996 399 6,086 (24,703) 109,832 41,485 1,690,936 998,613 3,603,995 1,030,952 27,833,167 737,964 - - 8,994,426 - - - 10,388,620 - 2,410,462 455,615 2,866,077 160 - - 1,115 738,124 2,410,462 455,615 22,250,238 260,489 1,193,533 575,337 5,582,929 931,225 3,068,391 1,884,079 22,314,181 $ 1,191,714 $ 4,261,924 $ 2,459,416 $ 27,897,110 The notes to the financial statements are an integral part of this statement. 31 ===== PDF PAGE 46 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances to the Statement of Activities - Governmental Activities For the Fiscal Year Ended December 31, 2020 Net Change in Fund Balances - Total Governmental Funds $ 5,582,929 Amounts reported for governmental activities in the Statement of Activities are different because: Governmental funds report capital outlays as expenditures. However, in the Statement of Activities the cost of those assets is allocated over their estimated useful lives and reported as depreciation expense. Capital Outlays 639,127 Depreciation Expense (1,909,308) Deferred outflows (inflows) of resources related to the pensions not reported in the funds. Change in Deferred Items - IMRF (706,041) Change in Deferred Items - Police Pension (9,997,288) Change in Deferred Items - Asset Retirement Obligation 75,000 The issuance of long-term debt provides current financial resources to governmental funds, while the repayment of the principal on long-term debt consumes the current financial resources of the governmental funds. Change in Compensated Absences Payable (202,032) Change in Net Pension Liability/(Asset) - IMRF 1,503,154 Change in Net Pension Liability - Police Pension 10,021,848 Change in Total OPEB Liability - RBP (854,886) Change in Asset Retirement Obligation (75,000) Changes in Net Position of Governmental Activities $ 4,077,503 The notes to the financial statements are an integral part of this statement. 32 ===== PDF PAGE 47 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Statement of Net Position - Proprietary Funds December 31, 2020 See Following Page ===== PDF PAGE 48 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Statement of Net Position - Proprietary Funds December 31, 2020 Business-Type Activities - Enterprise Nonmajor Commuter Waterworks Sewerage Parking Totals ASSETS Current Assets Cash and Investments $ - $ - $ 398,696 $ 398,696 Receivables - Net of Allowances Property Taxes - 9,872 - 9,872 Accounts 2,364,637 2,823,669 5,188,306 Advances to Other Funds - 1,850,000 - 1,850,000 Prepaids 26,877 11,313 - 38,190 Total Current Assets 2,391,514 4,694,854 398,696 7,485,064 Noncurrent Assets Capital Assets Nondepreciable 28,097,524 960,054 48,250 29,105,828 Depreciable 86,801,846 22,321,041 684,562 109,807,449 Accumulated Depreciation (32,920,531) (8,723,030) (517,420) (42,160,981) Total Capital Assets 81,978,839 14,558,065 215,392 96,752,296 Other Assets Net Pension Asset - IMRF 309,279 228,337 3,989 541,605 Total Noncurrent Assets 82,288,118 14,786,402 219,381 97,293,901 Total Assets 84,679,632 19,481,256 618,077 104,778,965 DEFERRED OUTFLOWS OF RESOURCES Deferred Items - IMRF 156,890 115,829 2,024 274,743 Deferred Items - ARO 850,000 - - 850,000 Total Deferred Outflows of Resources 1,006,890 115,829 2,024 1,124,743 Total Assets and Deferred Outflows of Resources 85,686,522 19,597,085 620,101 105,903,708 The notes to the financial statements are an integral part of this statement. 33 ===== PDF PAGE 49 ===== [Extraction: embedded PDF text] Business-Type Activities - Enterprise Nonmajor Commuter Waterworks Sewerage Parking Totals LIABILITIES Current Liabilities Accounts Payable $ 406,222 $ 625,682 $ 4,050 $ 1,035,954 Accrued Payroll 78,033 59,455 1,140 138,628 Accrued Interest Payable 22,879 - - 22,879 Deposits Payable - 142,395 - 142,395 Due to Other Funds 12,019,895 7,440,158 - 19,460,053 Advances from Other Funds 1,850,000 - - 1,850,000 Other Payables - - 17,850 17,850 Compensated Absences 38,697 1,266 - 39,963 IEPA Revolving Loan 642,320 - - 642,320 Total Current Liabilities 15,058,046 8,268,956 23,040 23,350,042 Noncurrent Liabilities Compensated Absences 154,790 5,063 - 159,853 Total OPEB Liability - RBP 1,253,091 1,253,097 - 2,506,188 IEPA Revolving Loan 2,028,371 - - 2,028,371 Asset Retirement Obligation 850,000 - - 850,000 Total Noncurrent Liabilities 4,286,252 1,258,160 - 5,544,412 Total Liabilities 19,344,298 9,527,116 23,040 28,894,454 DEFERRED INFLOWS OF RESOURCES Deferred Items - IMRF 1,037,391 765,894 13,381 1,816,666 Total Liabilities and Deferred Inflows of Resources 20,381,689 10,293,010 36,421 30,711,120 NET POSITION Net Investment in Capital Assets 79,308,148 14,558,065 215,392 94,081,605 Restricted - Water - 180,321 - 180,321 Unrestricted (Deficit) (14,003,315) (5,434,311) 368,288 (19,069,338) Total Net Position $ 65,304,833 $ 9,304,075 $ 583,680 $ 75,192,588 The notes to the financial statements are an integral part of this statement. 34 ===== PDF PAGE 50 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Statement of Revenues, Expenses and Changes in Net Position - Proprietary Funds For the Fiscal Year Ended December 31, 2020 Business-Type Activities - Enterprise Nonmajor Commuter Waterworks Sewerage Parking Totals Operating Revenues Charges for Services $ 3,389,761 $ 3,595,554 $ 18,865 $ 7,004,180 Licenses and Permits - - 25,437 25,437 Total Operating Revenues 3,389,761 3,595,554 44,302 7,029,617 Operating Expenses Operations 5,178,231 5,573,721 86,087 10,838,039 Depreciation 1,968,776 320,765 13,925 2,303,466 Total Operating Expenses 7,147,007 5,894,486 100,012 13,141,505 Operating (Loss) (3,757,246) (2,298,932) (55,710) (6,111,888) Nonoperating Revenues (Expenses) Water and Sewer Connection Fees 32,944 45,680 - 78,624 Property Taxes - 9,916 - 9,916 Interest Income 705 833 - 1,538 Other Income 415,492 (63,024) 131 352,599 Interest Expense and Fiscal Charges (76,322) (955) - (77,277) Disposal of Capital Assets - 2,336 - 2,336 372,819 (5,214) 131 367,736 Change in Net Position (3,384,427) (2,304,146) (55,579) (5,744,152) Net Position - Beginning 68,689,260 11,608,221 639,259 80,936,740 Net Position - Ending $ 65,304,833 $ 9,304,075 $ 583,680 $ 75,192,588 The notes to the financial statements are an integral part of this statement. 35 ===== PDF PAGE 51 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Statement of Cash Flows - Proprietary Funds For the Fiscal Year Ended December 31, 2020 Business-Type Activities - Enterprise Funds Nonmajor Enterprise Waterworks Sewerage Commuter Fund Fund Parking Totals Cash Flows from Operating Activities Receipts from Customers and Users $ 5,135,032 $ 5,737,277 $ 44,321 $ 10,916,630 Payments to Employees (1,794,661) (1,298,820) (22,600) (3,116,081) Payments to Suppliers (2,486,811) (4,375,567) (65,318) (6,927,696) 853,560 62,890 (43,597) 872,853 Cash Flows from Noncapital Financing Activities Property Taxes - 9,916 - 9,916 Cash Flows from Capital and Related Financing Activities Purchase of Capital Assets (151,818) (75,020) - (226,838) Disposal of Capital Assets - 2,336 2,336 Interest on Capital Debt (76,322) (955) - (77,277) Principal on Capital Debt (626,125) - - (626,125) (854,265) (73,639) - (927,904) Cash Flows from Investing Activities Interest Received 705 833 - 1,538 Net Change in Cash and Cash Equivalents - - (43,597) (43,597) Cash and Cash Equivalents - Beginning - - 442,293 442,293 Cash and Cash Equivalents - Ending - - 398,696 398,696 Reconciliation of Operating Income to Net Cash Provided (Used) by Operating Activities Operating Income (Loss) (3,757,246) (2,298,932) (55,710) (6,111,888) Adjustments to Reconcile Operating Income to Net Cash Provided by Operating Activities: Depreciation Expense 1,968,776 320,765 13,925 2,303,466 Other Income 448,436 (17,344) 131 431,223 (Increase) Decrease in Current Assets 1,296,835 2,159,067 (112) 3,455,790 Increase (Decrease) in Current Liabilities 896,759 (100,666) (1,831) 794,262 Net Cash Provided by Operating Activities $ 853,560 $ 62,890 $ (43,597) $ 872,853 The notes to the financial statements are an integral part of this statement. 36 ===== PDF PAGE 52 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Statement of Fiduciary Net Position December 31, 2020 Pension Trust Police Pension ASSETS Cash and Cash Equivalents $ 2,158,388 Investments U.S. Treasuries 1,823,953 U.S. Agencies 9,545,685 Coporate Bonds 2,316,797 Municipal Bonds 1,774,715 Mutual Funds 22,204,571 Insurance Contracts 540,128 Accrued Interest 79,031 Prepaids 6,297 Total Assets 40,449,565 LIABILITIES Accounts Payable 15,998 NET POSITION Net Position Restricted for Pensions $ 40,433,567 The notes to the financial statements are an integral part of this statement. 37 ===== PDF PAGE 53 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Statement of Changes in Fiduciary Net Position For the Fiscal Year Ended December 31, 2020 Pension Trust Police Pension Additions Contributions - Employer $ 2,662,500 Contributions - Plan Members 443,247 Total Contributions 3,105,747 Investment Income Interest Earned 867,519 Net Change in Fair Value 4,054,465 4,921,984 Less Investment Expenses (50,933) Net Investment Income 4,871,051 Total Additions 7,976,798 Deductions Administration 58,044 Benefits and Refunds 2,214,956 Total Deductions 2,273,000 Change in Fiduciary Net Position 5,703,798 Net Position Restricted for Pensions Beginning 34,729,769 Ending $ 40,433,567 The notes to the financial statements are an integral part of this statement. 38 ===== PDF PAGE 54 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The City of West Chicago (City), Illinois, incorporated in 1849, is a municipal corporation governed by an elected Mayor and City Council. The City’s major operations include public safety, highway and street maintenance and reconstruction, forestry, building, code enforcement, public improvements, economic development, planning and zoning, water, sewer, commuter parking services, and general administrative services. The government-wide financial statements are prepared in accordance with generally accepted accounting principles (GAAP). The Governmental Accounting Standards Board (GASB) is responsible for establishing GAAP for state and local governments through its pronouncements (Statements and Interpretations). The more significant of the City’s accounting policies established in GAAP and used by the City are described below. REPORTING ENTITY The City’s financial reporting entity comprises the following: Primary Government: City of West Chicago In determining the financial reporting entity, the City complies with the provisions of GASB Statement No. 61, “The Financial Reporting Omnibus – an Amendment of GASB Statements No. 14 and No. 34,” and includes all component units that have a significant operational or financial relationship with the City. Based upon the criteria set forth in the GASB Statement No. 61, there are no component units included in the reporting entity. Police Pension Employees Retirement System The City’s sworn police employees participate in the Police Pension Employees Retirement System (PPERS). PPERS functions for the benefit of these employees and is governed by a five-member pension board. Two members appointed by the City’s Mayor, one elected pension beneficiary and two elected police employees constitute the Pension Board. The participants are required to contribute a percentage of salary as established by state statute and the City is obligated to fund all remaining PPERS costs based upon actuarial valuations. The State of Illinois is authorized to establish benefit levels and the City is authorized to approve the actuarial assumptions used in the determination of contribution levels. Although it is legally separate from the City, the PPERS is reported as if it were part of the primary government because its sole purpose is to provide retirement benefits for the City’s police employees. The PPERS is reported as a fiduciary fund, and specifically a pension trust fund, due to the fiduciary responsibility exercised over the PPERS. 39 ===== PDF PAGE 55 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – Continued BASIS OF PRESENTATION Government-Wide Statements The City’s basic financial statements include both government-wide (reporting the City as a whole) and fund financial statements (reporting the City’s major funds). Both the government-wide and fund financial statements categorize primary activities as either governmental or business-type. The City’s police, highway and street maintenance and reconstruction, forestry, building, code enforcement, public improvements, economic development, planning and zoning, and general administrative services are classified as governmental activities. The City’s water, sewer and parking services are classified as business-type activities. In the government-wide Statement of Net Position, both the governmental and business-type activities columns are: (a) presented on a consolidated basis by column; and (b) reported on a full accrual, economic resource basis, which recognizes all long-term assets/deferred outflows and receivables as well as long-term debt/deferred inflows and obligations. The City’s net position is reported in three parts: net investment in capital assets; restricted; and unrestricted. The City first utilizes restricted resources to finance qualifying activities. The government-wide Statement of Activities reports both the gross and net cost of each of the City’s functions and business-type activities (general government, public safety, water, sewer, etc.). The functions are supported by general government revenues (property, sales and use taxes, certain intergovernmental revenues, fines, permits and charges, etc.). The Statement of Activities reduces gross expenses (including depreciation) by related program revenues, which include 1) charges to customers or applicants who purchase, use or directly benefit from goods, services or privileges provided by a given function or segment and 2) grants and contributions that are restricted to meeting the operational or capital requirements of a particular function or segment. The net costs (by function or business-type activity) are normally covered by general revenue (property tax, sales tax, intergovernmental revenues, interest income, etc.). The City allocates indirect costs paid from the General Fund to other funds for personnel who perform administrative services for those funds, along with other indirect costs deemed necessary for their operations. This government-wide focus is more on the sustainability of the City as an entity and the change in the City’s net position resulting from the current year’s activities. 40 ===== PDF PAGE 56 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – Continued BASIS OF PRESENTATION – Continued Fund Financial Statements The financial transactions of the City are reported in individual funds in the fund financial statements. Each fund is accounted for by providing a separate set of self-balancing accounts that comprises its assets/deferred outflows, liabilities/deferred inflows, fund equity, revenues and expenditures/expenses. Funds are organized into three major categories: governmental, proprietary, and fiduciary. The emphasis in fund financial statements is on the major funds in either the governmental or business-type activities categories. GASB Statement No. 34 sets forth minimum criteria (percentage of the assets/deferred outflows, liabilities/deferred inflows, revenues or expenditures/expenses of either fund category or the governmental and enterprise combined) for the determination of major funds. The City can electively add funds, as major funds, which either have debt outstanding or specific community focus. The nonmajor funds are combined in a column in the fund financial statements. A fund is considered major if it is the primary operating fund of the City or meets the following criteria: Total assets/deferred outflows, liabilities/deferred inflows, revenues, or expenditures/expenses of that individual governmental or enterprise fund are at least 10 percent of the corresponding total for all funds of that category or type. Total assets/deferred outflows, liabilities/deferred inflows, revenues, or expenditures/expenses of the individual governmental fund or enterprise fund are at least 5 percent of the corresponding total for all governmental and enterprise funds combined. The various funds are reported by generic classification within the financial statements. The following fund types are used by the City: 41 ===== PDF PAGE 57 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – Continued BASIS OF PRESENTATION – Continued Fund Financial Statements – Continued Governmental Funds The focus of the governmental funds’ measurement (in the fund statements) is upon determination of financial position and changes in financial position (sources, uses, and balances of financial resources) rather than upon net income. The following is a description of the governmental funds of the City: General Fund is the general operating fund of the City. It is used to account for all financial resources except those required to be accounted for in another fund. The General Fund is a major fund. Special revenue funds are used to account for the proceeds of specific revenue sources that are legally restricted to expenditures for specified purposes. The City maintains two major and two nonmajor special revenue funds. The two major funds are the Public Benefit Fund, which is used to account for the accumulation of restricted funds from Kerr McGee to fund projects that meet the criteria established by the City Council and as detailed in the City Code, and the TIF Special Tax Allocation #1 Fund, which is used to account for the accumulation of funds from restricted incremental revenue generated within the TIF #1 area. Debt service funds are used to account for the accumulation of funds for the periodic payment of principal and interest on general long-term debt. The City does not currently utilize debt service funds. Capital projects funds are used to account for financial resources to be used for the acquisition or construction of major capital facilities (other than those financed by business-type/proprietary funds). The City maintains one major and one nonmajor capital projects fund. The Capital Improvement Fund, the major fund, is used to account for property taxes, natural gas use taxes and home rule sales taxes that are set aside for funding major capital improvements throughout the City. Proprietary Funds The focus of proprietary fund measurement is upon determination of operating income, changes in net position, financial position, and cash flows. The generally accepted accounting principles applicable are those similar to businesses in the private sector. The following is a description of the proprietary funds of the City: Enterprise funds are required to account for operations for which a fee is charged to external users for goods or services and the activity (a) is financed with debt that is solely secured by a pledge of the net revenues, (b) has third party requirements that the cost of providing services, including capital costs, be recovered with fees and charges, or (c) establishes fees and charges based on a pricing policy designed to recover similar costs. 42 ===== PDF PAGE 58 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – Continued BASIS OF PRESENTATION – Continued Fund Financial Statements – Continued Proprietary Funds – Continued Enterprise funds – Continued. The City maintains two major and one nonmajor enterprise funds; the major funds are the Waterworks and the Sewerage Funds. The Waterworks Fund is used to account for the provision of potable water and water treatment services to the residents of the City. All activities necessary to provide such services are accounted for in this fund, including, but not limited to, administration, operations and maintenance, financing and related debt service, billing and collection. The Sewerage Fund is used to account for the provision of sewer repair, treatment, and improvement services to the residents of the City. All activities necessary to provide such services are accounted for in this fund, including, but not limited to, administration, operations and maintenance, financing and related debt service, billing and collection. Fiduciary Funds Fiduciary funds are used to report assets held in a trustee or agency capacity for others and therefore are not available to support City programs. The reporting focus is on net position and changes in net position and is reported using accounting principles similar to proprietary funds. Pension trust funds are used to account for assets held in a trustee capacity for pension benefit payments. The Police Pension Fund accounts for the accumulation of resources to be used for disability and retirement annuity payments to employees covered by the plan. The City’s fiduciary fund is presented in the fiduciary fund financial statements. Since by definition these assets are being held for the benefit of a third party (other local governments, private parties, pension participants, etc.) and cannot be used to address activities or obligations of the City, this fund is not incorporated into the government-wide statements. MEASUREMENT FOCUS AND BASIS OF ACCOUNTING Measurement Focus Measurement focus is a term used to describe “which” transactions are recorded within the various financial statements. Basis of accounting refers to “when” transactions are recorded regardless of the measurement focus applied. 43 ===== PDF PAGE 59 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – Continued MEASUREMENT FOCUS AND BASIS OF ACCOUNTING – Continued Measurement Focus – Continued On the government-wide Statement of Net Position and the Statement of Activities, both governmental and business-type activities are presented using the economic resources measurement focus as defined below. In the fund financial statements, the “current financial resources” measurement focus or the “economic resources” measurement focus is used as appropriate. All governmental funds utilize a “current financial resources” measurement focus. Only current financial assets/deferred outflows and liabilities/deferred inflows are generally included on their balance sheets. Their operating statements present sources and uses of available spendable financial resources during a given period. These funds use fund balance as their measure of available spendable financial resources at the end of the period. All proprietary and pension trust funds utilize an “economic resources” measurement focus. The accounting objectives of this measurement focus are the determination of operating income, changes in net position (or cost recovery), financial position, and cash flows. All assets/deferred outflows and liabilities/deferred inflows (whether current or noncurrent) associated with their activities are reported. Proprietary and pension trust fund equity is classified as net position. Basis of Accounting In the government-wide Statement of Net Position and Statement of Activities, both governmental and business-type activities are presented using the accrual basis of accounting. Under the accrual basis of accounting, revenues are recognized when earned and expenses are recorded when the liability/deferred inflow is incurred or economic asset is used. Revenues, expenses, gains, losses, assets/deferred outflows, and liabilities/deferred inflows resulting from exchange and exchange-like transactions are recognized when the exchange takes place. In the fund financial statements, governmental funds are presented on the modified accrual basis of accounting. Under this modified accrual basis of accounting, revenues are recognized when “measurable and available.” Measurable means knowing or being able to reasonably estimate the amount. Available means collectible within the current period or within sixty days after year-end. The City recognizes property taxes when they become both measurable and available in accordance with GASB Codification Section P70. 44 ===== PDF PAGE 60 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – Continued MEASUREMENT FOCUS AND BASIS OF ACCOUNTING – Continued Basis of Accounting – Continued A sixty-day availability period is used for revenue recognition for all other governmental fund revenues. Expenditures (including capital outlay) are recorded when the related fund liability is incurred, except for general obligation bond principal and interest which are recognized when due. In applying the susceptible to accrual concept under the modified accrual basis, those revenues susceptible to accrual are property taxes, sales and use taxes, franchise fees, interest revenue, and charges for services. All other revenues are not susceptible to accrual because generally they are not measurable until received in cash. All proprietary and pension trust utilize the accrual basis of accounting. Under the accrual basis of accounting, revenues are recognized when earned and expenses are recorded when the liability is incurred or economic asset is used. Proprietary funds distinguish operating revenues and expenses from nonoperating items. Operating revenues and expenses generally result from providing services and producing and delivering goods in connection with a proprietary fund’s principal ongoing operations. The principal operating revenues of the City’s enterprise funds are charges to customers for sales and services. The City also recognizes as operating revenue the portion of tap on fees intended to recover the cost of connecting new customers to the system. Operating expenses for enterprise funds include the cost of sales and services, administrative expenses, and depreciation of capital assets. All revenues and expenses not meeting this definition are reported as nonoperating revenues and expenses. ASSETS/DEFERRED OUTFLOWS, LIABILITIES/DEFERRED INFLOWS, AND NET POSITION OR EQUITY Cash and Investments Cash and cash equivalents on the Statement of Net Position are considered to be cash on hand, demand deposits, and cash with fiscal agent. For the purpose of the proprietary funds “Statement of Cash Flows,” cash and cash equivalents are considered to be cash on hand, demand deposits, cash with fiscal agent, and all highly liquid investments with an original maturity of three months or less. Investments are generally reported at fair value. Short-term investments are reported at cost, which approximates fair value. For investments, the City categorizes its fair value measurements within the fair value hierarchy established by generally accepted accounting principles. The hierarchy is based on the valuation inputs used to measure the fair value of the asset. Level 1 inputs are quoted prices in active markets for identical assets, Level 2 inputs are significant other observable inputs, and Level 3 inputs are significant unobservable inputs. 45 ===== PDF PAGE 61 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – Continued ASSETS/DEFERRED OUTFLOWS, LIABILITIES/DEFERRED INFLOWS, AND NET POSITION OR EQUITY – Continued Receivables In the government-wide financial statements, receivables consist of all revenues earned at year-end and not yet received. Allowances for uncollectible accounts receivable are based upon historical trends and the periodic aging of accounts receivable. Major receivable balances for governmental activities include property taxes, sales and use taxes, franchise fees, and grants. Business-type activities report utility charges as their major receivables. Interfund Receivables, Payables and Activity Interfund activity is reported as loans, services provided, reimbursements or transfers. Loans are reported as interfund receivables and payables as appropriate and are subject to elimination upon consolidation. Services provided, deemed to be at market or near market rates, are treated as revenues and expenditures/expenses. Reimbursements are when one fund incurs a cost, charges the appropriate benefiting fund and reduces its related cost as a reimbursement. All other interfund transactions are treated as transfers. Transfers between governmental or proprietary funds are netted as part of the reconciliation to the government-wide financial statements. Prepaids/Inventories Prepaids/inventories are valued at cost, which approximates market, using the first-in/first-out (FIFO) method. The costs of governmental fund-type prepaids/inventories are recorded as expenditures when consumed rather than when purchased. Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as prepaids in both the government-wide and fund financial statements. Capital Assets Capital assets purchased or acquired with an original cost of $10,000 - $30,000 or more, depending on asset class, are reported at historical cost or estimated historical cost. Contributed assets are reported at acquisition value as of the date received. Additions, improvements and other capital outlays that significantly extend the useful life of an asset are capitalized. Other costs incurred for repairs and maintenance are expensed as incurred. 46 ===== PDF PAGE 62 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – Continued ASSETS/DEFERRED OUTFLOWS, LIABILITIES/DEFERRED INFLOWS, AND NET POSITION OR EQUITY – Continued Capital Assets – Continued The accounting and financial reporting treatment applied to a fund is determined by its measurement focus. General capital assets are long-lived assets of the City as a whole. Infrastructure such as streets and traffic signals are capitalized. The valuation basis for general capital assets are historical cost, or where historical cost is not available, estimated historical cost based on replacement costs. Capital assets in the proprietary funds are capitalized in the fund in which they are utilized. The valuation bases for proprietary fund capital assets are the same as those used for the general capital assets. Donated capital assets are capitalized at estimated fair value on the date donated. Depreciation on all assets is computed and recorded using the straight-line method of depreciation over the following estimated useful lives: Land Improvements 20 Years Buildings and Improvements 50 Years Machinery and Equipment 5 - 15 Years Infrastructure 65 Years Deferred Outflows/Inflows of Resources Deferred outflow/inflow of resources represents an acquisition/reduction of net position that applies to a future period and therefore will not be recognized as an outflow of resources (expense)/inflow of resources (revenue) until that future time. Compensated Absences The City accrues accumulated unpaid vacation and associated employee-related costs when earned (or estimated to be earned) by the employee. In accordance with GASB Statement No. 16, no liability is recorded for nonvesting accumulation rights to receive sick pay benefits. However, a liability is recognized for that portion of accumulated sick leave that is estimated to be taken as “terminal leave” prior to retirement. All vacation pay is accrued when incurred in the government-wide and proprietary fund financial statements. A liability for these amounts is reported in the governmental funds only if they have matured, for example, as a result of employee resignations and retirements. 47 ===== PDF PAGE 63 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – Continued ASSETS/DEFERRED OUTFLOWS, LIABILITIES/DEFERRED INFLOWS, AND NET POSITION OR EQUITY – Continued Long-Term Obligations In the government-wide financial statements and for proprietary fund types in the fund financial statements, long-term debt and other long-term obligations are reported as liabilities in the applicable governmental activities, business-type activities, or proprietary fund type Statement of Net Position. Bond premiums and discounts are deferred and amortized over the life of the bonds using the effective interest method. Bonds payable are reported net of the applicable bond premium or discount. Bond issuance costs are reported as expenses at the time of issuance. In the fund financial statements, governmental fund types recognize bond premiums and discounts, as well as bond issuance costs, during the current period. The face amount of debt issued is reported as other financing sources. Premiums received on debt issuances are reported as other financing sources while discounts on debt issuances are reported as other financing uses. Issuance costs, whether or not withheld from the actual debt proceeds received, are reported as debt service expenditures. Net Position In the government-wide financial statements, equity is classified as net position and displayed in three components: Net Investment in Capital Assets – Consists of capital assets including restricted capital assets, net of accumulated depreciation and reduced by the outstanding balances of any bonds, mortgages, notes or other borrowings that are attributable to the acquisition, construction, or improvement of those assets. Restricted – Consists of net position with constraints placed on the use either by (1) external groups such as creditors, grantors, contributors, or laws or regulations of other governments; or (2) law through constitutional provisions or enabling legislations. Unrestricted – All other net position balances that do not meet the definition of “restricted” or “net investment in capital assets”. 48 ===== PDF PAGE 64 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 2 – STEWARDSHIP, COMPLIANCE AND ACCOUNTABILITY BUDGETARY INFORMATION Budgets are adopted on a basis consistent with generally accepted accounting principles. Annual appropriations are adopted for the general, special revenue (except for the TIF Special Tax Allocation #3 Fund), capital projects, and enterprise funds. All annual appropriations lapse at fiscal year end. All departments of the City submit requests for appropriation to the City Administrator so that a budget may be prepared. The budget is prepared by fund, function, and activity, and includes information on the past year, current year estimates, and requested appropriations for the next fiscal year. The proposed budget is presented to the governing body for review. The governing body holds a public hearing and may add to, subtract from, or change appropriations, but may not change the form of the budget. The Budget Officer is authorized to transfer budgeted amounts between departments and line items within any fund; however, any revisions that alter the total expenditures of any fund must be approved by the City Council. Expenditures may not legally exceed budgeted appropriations at the fund level. During the year, two supplementary appropriations were approved. NOTE 3 – DETAIL NOTES ON ALL FUNDS DEPOSITS AND INVESTMENTS The City maintains a cash and investment pool that is available for use by all funds except the pension trust fund. Each fund type's portion of this pool is displayed on the financial statements as "cash and investments”. In addition, investments are separately held by several of the City's funds. The deposits and investments of the pension trust fund are held separately from those of other funds. Permitted Deposits and Investments – Statutes authorize the City to make deposits/invest in commercial banks, savings and loan institutions, obligations of the U.S. Treasury and U.S. Agencies, obligations of States and their political subdivisions, credit union shares, repurchase agreements, commercial paper rated within the three highest classifications by at least two standard rating services, Illinois Funds and the Illinois Metropolitan Investment Fund. Illinois Funds is an investment pool managed by the Illinois Public Treasurer’s Office which allows governments within the State to pool their funds for investment purposes. The Illinois Funds is not registered with the SEC as an investment company. Investments in Illinois Funds are valued at the share price, the price for which the investment could be sold. 49 ===== PDF PAGE 65 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 3 – DETAIL NOTES ON ALL FUNDS – Continued DEPOSITS AND INVESTMENTS – Continued The Illinois Metropolitan Investment Fund (IMET) is a non-for-profit investment trust formed pursuant to the Illinois Municipal Code. IMET is managed by a Board of Trustees elected from the participating members. IMET is not registered with the SEC as an Investment Company. Investments in IMET are valued at the share price, the price for which the investment could be sold. The deposits and investments of the Pension Fund are held separately from those of other City funds. Statutes authorize the Pension Fund to make deposits/invest in interest bearing direct obligations of the United States of America; obligations that are fully guaranteed or insured as to the payment of principal and interest by the United States of America; bonds, notes, debentures, or similar obligations of agencies of the United States of America; savings accounts or certificates of deposit issued by banks or savings and loan associations chartered by the United States of America or by the State of Illinois, to the extent that the deposits are insured by the agencies or instrumentalities of the federal government; credit unions, to the extent that the deposits are insured by the agencies or instrumentalities of the federal government; State of Illinois bonds; pooled accounts managed by the Illinois Funds Market Fund (formerly known as IPTIP, Illinois Public Treasurer’s Investment Pool), or by banks, their subsidiaries or holding companies, in accordance with the laws of the State of Illinois; bonds or tax anticipation warrants of any county, township, or municipal corporation of the State of Illinois; direct obligations of the State of Israel; money market mutual funds managed by investment companies that are registered under the Federal Investment Company Act of 1940 and the Illinois Securities Law of 1953 and are diversified, open-ended management investment companies, provided the portfolio is limited to specified restrictions; general accounts of life insurance companies; and separate accounts of life insurance companies and mutual funds, the mutual funds must meet specific restrictions, provided the investment in separate accounts and mutual funds does not exceed ten percent of the Pension Fund’s plan net position; and corporate bonds managed through an investment advisor, rated as investment grade by one of the two largest rating services at the time of purchase. Pension Funds with plan net position of $2.5 million or more may invest up to forty-five percent of plan net position in separate accounts of life insurance companies and mutual funds. Pension Funds with plan net position of at least $5 million that have appointed an investment advisor, may through that investment advisor invest up to forty-five percent of the plan net position in common and preferred stocks that meet specific restrictions. In addition, Pension Funds with plan net position of at least $10 million that have appointed an investment advisor, may invest up to fifty percent of its net position in common and preferred stocks and mutual funds that meet specific restrictions effective July 1, 2011 and up to fifty-five percent effective July 1, 2012. City Interest Rate Risk, Credit Risk, Custodial Credit Risk and Concentration of Credit Risk Deposits and Investments. At year-end, the carrying amount of the City’s deposits for governmental and business-type activities totaled $4,730,412 and the bank balances totaled $5,240,839. Additionally, at year-end the City has $3,766,728 invested in the Illinois Funds and $41,201 invested in the Illinois Metropolitan Investment Fund, which are both measured at net asset value per share as determined by the pool. 50 ===== PDF PAGE 66 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 3 – DETAIL NOTES ON ALL FUNDS – Continued DEPOSITS AND INVESTMENTS – Continued City Interest Rate Risk, Credit Risk, Custodial Credit Risk and Concentration of Credit Risk – Continued Interest Rate Risk. Interest rate risk is the risk that changes in interest rates will adversely affect the fair value of an investment. The City’s investment policy states that the investment portfolio shall remain sufficiently liquid to enable the City to meet all operating requirements which may be reasonably anticipated in any City Fund. The average maturity for the Illinois Funds is less than one year and the Illinois Metropolitan Investment Fund is less than one year to three years. Credit Risk. Credit risk is the risk that an issuer or other counterparty to an investment will not fulfill its obligations. Besides investing in instruments authorized under State Statute, the City’s investment policy does not further limit investment choices. The City limits its exposure to credit risk by primarily investing in Illinois Funds which were rated AAAm by Standard & Poor’s, in Illinois Metropolitan Investment Trust Convenience Fund which is rated Aaa to bf by Moody’s Moody’s Investor Services, and in the Illinois Metropolitan Investment Trust 1-3 Year Fund that is rated AAAf to bf by Moody’s Moody’s Investor Services. Custodial Credit Risk. In the case of deposits, this is the risk that in the event of a bank failure, the City’s deposits may not be returned to it. To limit its exposure, the City’s investment policy states funds on deposit in excess of FDIC or Federal Savings and Loan Insurance Corporation limits must be secured by collateral. Acceptable collateral shall consist of any of the following: U.S. Government Securities, obligations of Federal Agencies, obligations of the State of Illinois, general obligations of Municipal Bonds rated “A” or better, and any other collateral identified by the Illinois State Statutes as acceptable for use by the Treasurer of the State of Illinois. At year-end, the entire amount of the bank balance of deposits was covered by collateral, federal depository or equivalent insurance. In the case of investments, this is the risk that, in the event of the failure of the counterparty, the City will not be able to recover the value of its investments or collateral. The City’s investment policy does not specifically address custodial credit risk for investments. At year-end, the City’s investment in the Illinois Funds and the Illinois Metropolitan Investment Trust are not subject to custodial credit risk. Concentration of Credit Risk. This is the risk of loss attributed to the magnitude of the City’s investment in a single issuer. The City’s investment policy states that the investment portfolio of the City shall not exceed the following limits:  No financial institution shall hold more than 40% of the portfolio. This shall not include United States of America Securities held in safekeeping  The Illinois Investment Pool shall not exceed 80% of the portfolio At year-end, the City does not have any investments over 5 percent of cash and investments (other than investments issued or explicitly guaranteed by the U.S. government and investments in mutual funds, external investment pools, and other pooled investments). 51 ===== PDF PAGE 67 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 3 – DETAIL NOTES ON ALL FUNDS – Continued DEPOSITS AND INVESTMENTS – Continued Police Pension Fund Interest Rate Risk, Credit Risk, Custodial Credit Risk and Concentration of Credit Risk Deposits. At year-end, the carrying amount of the Police Pension Fund’s (the Fund) deposits totaled $2,158,388 and the bank balances totaled $2,165,618. Investments. The fair value and maturities of the Fund’s investments at year-end are as follows: Investment Maturities (in Years) Fair Less Than Greater Investment Type Value 1 1 to 5 6 to 10 Than 10 U.S. Treasuries $ 1,823,953 $ 290,101 $ 522,586 $ 1,011,266 $ - U.S. Agencies 9,545,685 203,134 2,540,808 6,688,611 113,132 Corporate Bonds 2,316,797 50,304 922,694 1,343,799 - Municipal Bonds 1,774,715 101,284 944,304 575,632 153,495 $ 15,461,150 $ 644,823 $ 4,930,392 $ 9,619,308 $ 266,627 The Fund has the following recurring fair value measurements as of December 31, 2020: Fair Value Measurements Using Quoted Prices in Active Significant Markets for Other Significant Indentical Observable Unobservable Assets Inputs Inputs Investments by Fair Value Level Total (Level 1) (Level 2) (Level 3) Debt Securities U.S. Treasuries $ 1,823,953 $ 1,823,953 $ - $ - U.S. Agencies 9,545,685 - 9,545,685 - Corporate Bonds 2,316,797 - 2,316,797 - Municipal Bonds 1,774,715 - 1,774,715 - Equity Securities Mutual Funds 22,204,571 - 22,204,571 - Insurance Contracts 540,128 540,128 - - Total Investments by Fair Value Level $ 38,205,849 $ 2,364,081 $ 35,841,768 $ - 52 ===== PDF PAGE 68 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 3 – DETAIL NOTES ON ALL FUNDS – Continued DEPOSITS AND INVESTMENTS – Continued Police Pension Fund Interest Rate Risk, Credit Risk, Custodial Credit Risk and Concentration of Credit Risk – Continued Investments – Continued. Debt Securities classified in Level 2 of the fair value hierarchy are valued using a matrix pricing technique. Matrix pricing is used to value securities based on the securities’ relationship to benchmark quoted prices. Interest Rate Risk. In accordance with the Fund’s investment policy, the Fund limits its exposure to interest rate risk by structuring the portfolio to provide liquidity while at the same time matching investments with anticipated cash flow requirements. Credit Risk. The Fund helps limit its exposure to credit risk by primarily investing in securities issued by the United States Government and/or its agencies that are implicitly guaranteed by the United States Government. The Pension Fund’s investment policy establishes criteria for allowable investments; those criteria follow the requirements of the Illinois Pension Code. The investments in the securities of the U.S. Agency Obligations were rated AA+ or Aaa by Standard & Poor’s or Moody’s Investor Services. Corporate bonds were rated A2 to Aaa by Moody’s Investor Services. Municipal bonds were rated AA to AAA or A2 to Aa1 by Standard & Poor’s or Moody’s Investor Services. Custodial Credit Risk. At December 31, 2020, all of the Fund’s deposits were covered by federal depository or equivalent insurance. The Fund’s investment policy states security shall be held with a third-party custodian and all securities purchased by, and all collateral obtained by, the Board should be properly designated as an asset of the Board. No withdrawal of securities, in whole or in part, shall be made from safekeeping except by an authorized member of the Board or the Board’s designee. The Fund will accept any of the following assets as collateral: government securities, obligations of Federal Agencies, obligations of Federal Instrumentalities, and obligations of the State of Illinois. Securities transactions between a broker/dealer and the third-party custodian involving a purchase or sale of securities by transfer of money or securities must be made on a “delivery versus payment” basis, if applicable, to insure that the third party custodian will have the security or money, as appropriate, in hand at the conclusion of the transaction. Concentration of Credit Risk. At December 31, 2020, the Pension Fund does not have any investments over 5 percent of net position available for benefits (other than investments issued or explicitly guaranteed by the U.S. government and investments in mutual funds, external investment pools, and other pooled investments). Agency investments represent a large portion of the portfolio; however, the investments are diversified by maturity date and as mentioned earlier are backed by the issuing organization. Although unlike Treasuries, agency securities do not have the “full faith and credit” backing of the U.S. Government, they are considered to have a moral obligation of implicit backing and are supported by Treasury lines of credit and increasingly stringent federal regulation. In order to reduce the risk of default, the investment portfolio of the Pension Fund shall not exceed the following diversification limits unless specifically authorized by the Board of Trustees: 53 ===== PDF PAGE 69 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 3 – DETAIL NOTES ON ALL FUNDS – Continued DEPOSITS AND INVESTMENTS – Continued Police Pension Fund Interest Rate Risk, Credit Risk, Custodial Credit Risk and Concentration Risk – Continued Concentration Credit Risk – Continued.  Exposure of the portfolio to any one corporate issuer, other than securities of the United States Government or agencies, shall not exceed 3% of the market value of the fixed income portfolio  Holdings in individual issuers shall be large enough for easy liquidation  The fixed income portfolio may be invested in securities with a maturity up to thirty (30) years, so long as the average effective duration of the portfolio will not exceed 125% of the duration of the Lehman Corporate Government Bond Index, A Rated and Above Bond Index duration  No more than 5% of the Fund assets shall be invested in the common stock or capital stock of any one issuing company nor shall the aggregate investment in any one issuing company exceed 5% of the outstanding capital stock of the company The Fund’s investment policy in accordance with Illinois Compiled Statutes (ILCS) establishes the following target allocation across asset classes: Long-Term Expected Real Asset Class Target Rate of Return Fixed Income 45.00% 1.40% Domestic Equities 49.50% 5.90% - 7.70% International Equities 5.50% 7.20% Cash and Cash Equivalents 0.00% 0.00% Illinois Compiled Statutes (ILCS) limit the Fund’s investments in equities, mutual funds and variable annuities to 65%. The long-term expected rate of return on the Fund’s investments was determined using an asset allocation study conducted by the Fund’s investment management consultant in March 2021 in which best-estimate ranges of expected future real rates of return (net of pension plan investment expense and inflation) were developed for each major asset class. These ranges were combined to produce the long- term expected rate of return by weighting the expected future real rates of return by the target asset allocation percentage and by adding the expected inflation. Best estimates or arithmetic real rates of return for each major asset class included in the Fund’s target asset allocation as of December 31, 2020 are listed in the table above. 54 ===== PDF PAGE 70 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 3 – DETAIL NOTES ON ALL FUNDS – Continued DEPOSITS AND INVESTMENTS – Continued Police Pension Fund Interest Rate Risk, Credit Risk, Custodial Credit Risk and Concentration Risk – Continued Concentration Credit Risk – Continued. At year-end, the Pension Fund has diversified its insurance contracts and equity mutual funds as follows: Equity Mutual Funds Fair Value AQR LG Cap Defensive $ 1,022,938 Cohen and Steers 421,099 First Eagle Overseas 299,925 Goldman Sachs Intl Eqty 409,336 Oppenheimer Developing 376,584 MFS Intl Growth CL I 549,338 Pioneer Equity Income 2,122,911 T Rowe Price Growth Stock 4,848,999 T Rowe Price Small 1,719,582 TIAA CREF Small Cap 2,357,159 Vanguard 500 Index 5,404,557 Victory Sycamore 650,162 Vanguard S&P 500 ETF 271,171 Hartford Core Equity 1,750,810 $ 22,204,571 Insurance Contracts Fair Value Protective Life Annuity $ 300,005 Nationwide 240,123 $ 540,128 Rate of Return For the year ended December 31, 2020, the annual money-weighted rate of return on pension plan investments, net of pension plan investment expense, was 14.03%. The money-weighted rate of return expresses investment performance, net of investment expense, adjusted for the changing amounts actually invested. 55 ===== PDF PAGE 71 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 3 – DETAIL NOTES ON ALL FUNDS – Continued SALES TAX AGREEMENT The City of West Chicago entered into a tax rebate agreement with a corporation in 2015. Under this agreement, the City rebates a portion of sales taxes. For the fiscal year ended December 31, 2020, the City rebated a total of $98,565 in taxes under this agreement. CAPITAL ASSETS Governmental Activities Governmental capital asset activity for the year was as follows: Beginning Ending Balances Increases Decreases Balances Capital Assets - Not Being Depreciated Land $ 20,218,128 $ - $ - $ 20,218,128 Construction in Progress 2,756,726 - 2,756,726 - 22,974,854 - 2,756,726 20,218,128 Other Capital Assets Land Improvements 2,040,245 - - 2,040,245 Buildings and Improvements 3,184,512 2,989,570 - 6,174,082 Machinery and Equipment 6,219,755 406,283 - 6,626,038 Infrastructure 63,164,607 - - 63,164,607 74,609,119 3,395,853 - 78,004,972 Less Accumulated Depreciation Land Improvements 601,970 56,316 - 658,286 Buildings and Improvements 2,038,463 68,605 - 2,107,068 Machinery and Equipment 3,596,442 399,292 - 3,995,734 Infrastructure 36,376,814 1,385,095 - 37,761,909 42,613,689 1,909,308 - 44,522,997 Total Other Capital Assets 31,995,430 1,486,545 - 33,481,975 Total Capital Assets $ 54,970,284 $ 1,486,545 $ 2,756,726 $ 53,700,103 Depreciation expense was charged to governmental activities as follows: General Government $ 24,730 Public Safety 84,874 Culture and Recreation 49,692 Highways and Streets 1,750,012 $ 1,909,308 56 ===== PDF PAGE 72 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 3 – DETAIL NOTES ON ALL FUNDS – Continued CAPITAL ASSETS – Continued Business-Type Activities Business-type capital asset activity for the year was as follows: Beginning Ending Balances Increases Decreases Balances Capital Assets - Not Being Depreciated Land $ 28,040,111 $ - $ - $ 28,040,111 Construction in Progress 2,268,665 39,645 1,242,593 1,065,717 30,308,776 39,645 1,242,593 29,105,828 Other Capital Assets Land Improvements 1,253,338 - - 1,253,338 Buildings and Improvements 25,978,730 1,277,968 - 27,256,698 Machinery and Equipment 8,958,818 151,818 - 9,110,636 Infrastructure 72,186,777 - - 72,186,777 108,377,663 1,429,786 - 109,807,449 Less Accumulated Depreciation Land Improvements 735,618 32,112 - 767,730 Buildings and Improvements 9,668,229 705,158 - 10,373,387 Machinery and Equipment 5,701,742 187,178 - 5,888,920 Infrastructure 23,751,926 1,379,018 - 25,130,944 39,857,515 2,303,466 - 42,160,981 Total Other Capital Assets 68,520,148 (873,680) - 67,646,468 Total Capital Assets $ 98,828,924 $ (834,035) $ 1,242,593 $ 96,752,296 Depreciation expense was charged to business-type as follows: Waterworks $ 1,968,776 Sewerage 320,765 Commuter Parking 13,925 $ 2,303,466 57 ===== PDF PAGE 73 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 3 – DETAIL NOTES ON ALL FUNDS – Continued INTERFUND RECEIVABLES, PAYABLES AND TRANSFERS Interfund Balances Interfund balances are advances to cover cash shortages. The composition of interfund balances as of the date of this report, is as follows: Receivable Fund Payable Fund Amount General Waterworks $ 12,019,895 General Sewerage 6,861,641 Capital Improvement Sewerage 578,517 $ 19,460,053 Interfund Advances Interfund advances as of the date of this report are as follows: Receivable Fund Payable Fund Amount Public Benefit TIF Special Tax Allocation #1 $ 69,942 Sewerage Waterworks 1,850,000 $ 1,919,942 The interfund advance from the Public Benefit Fund is for the purchase of properties within the TIF District as part of future land improvement programs. A total of up to $1.5 million dollars was approved by the City Council for lending to the TIF District for this purpose in lieu of selling additional bonds at a higher interest rate. The amounts will be repaid, with accrued interest, as part of the agreement over the remaining years of the TIF District. The interfund advance from the Sewerage Fund was for the payoff of the Waterworks General Obligation Alternate Revenue Source Bonds of 2002. The amount will be repaid, with accrued interest. PROPERTY TAXES Property taxes for 2019 attach as an enforceable lien on January 1, on property values assessed as of the same date. Taxes are levied by December of the subsequent fiscal year (by passage of a Tax Levy Ordinance). Tax bills are prepared by DuPage County and are payable in two installments, on or about June 1 and September 1. The County collects such taxes and remits them periodically. 58 ===== PDF PAGE 74 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 3 – DETAIL NOTES ON ALL FUNDS – Continued LONG-TERM DEBT IEPA Revolving Loan The City has entered into an agreement with the IEPA to provide low interest financing for waterworks improvements. The IEPA revolving loan currently outstanding is as follows: Fund Debt Beginning Ending Issue Retired By Balances Issuances Retirements Balances IEPA Waterworks Revolving Loan ($11,000,000), due in semi- annual installments of $353,428, including interest at 2.57% through September 9, 2024. Waterworks $ 3,296,816 $ - $ 626,125 $ 2,670,691 Asset Retirement Obligation The City has recognized an asset retirement obligation (ARO) and related deferred outflow of resources in connection with its obligation to seal and abandon various water wells and demolition of the City’s underground storage tanks at the end of their estimated useful lives in accordance with federal, state, and/or local requirements. The ARO was measured using actual historical costs for similar abandonments, adjusted for inflation through the end of the year. The estimated remaining useful lives of the water wells are 25-50 years and the storage tank is 5 years. Noncommitment Debt Special Service Area Bonds Special service area bonds have been paid in full as of the date of this report. These bonds are not an obligation of the government and are secured by the levy of an annual tax on the real property within the special service area. The government is in no way liable for repayment but is only acting as agent for the property owners in levying and collecting the tax, and forwarding the collections to bondholders. 59 ===== PDF PAGE 75 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 3 – DETAIL NOTES ON ALL FUNDS – Continued LONG-TERM DEBT Long-Term Liability Activity Changes in long-term liabilities during the fiscal year were as follows: Amounts Beginning Ending Due within Type of Debt Balances Additions Deductions Balances One Year Governmental Activities Compensated Absences $ 1,770,784 $ 404,064 $ 202,032 $ 1,972,816 $ 394,563 Net Pension Liability/(Asset) IMRF 994,932 - 1,503,154 (508,222) - Police Pension 34,374,981 - 10,021,848 24,353,133 - Total OPEB Liability - RBP 4,714,812 854,886 - 5,569,698 - Asset Retirement Obligation - 75,000 - 75,000 - 41,855,509 1,333,950 11,727,034 31,462,425 394,563 Business-type Activities Compensated Absences 159,703 80,226 40,113 199,816 39,963 Net Pension Liability/(Asset) IMRF 1,021,141 - 1,562,746 (541,605) - Total OPEB Liability - RBP 2,117,002 389,186 - 2,506,188 - IEPA Revolving Loan 3,296,816 - 626,125 2,670,691 642,320 Asset Retirement Obligation - 850,000 - 850,000 - $ 6,594,662 $ 1,319,412 $ 2,228,984 $ 5,685,090 $ 682,283 For governmental activities, the General Fund and makes payments on the net pension liabilities, the total OPEB liability, the compensated absences, and the asset retirement obligation. For business-type activities, the Waterworks Fund makes payments on the IEPA revolving loan. The compensated absences, the net pension liability, and the total OPEB liability are liquidated from the Waterworks and Sewerage Funds. The asset retirement obligation is being liquidated by the Waterworks Fund. 60 ===== PDF PAGE 76 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 3 – DETAIL NOTES ON ALL FUNDS – Continued LONG-TERM DEBT – Continued Debt Service Requirements to Maturity The annual debt service requirements to maturity, including principal and interest, are as follows: Business-Type Activities IEPA Revolving Fiscal Loan Year Principal Interest Totals 2021 $ 642,320 $ 64,536 $ 706,856 2022 658,933 47,923 706,856 2023 675,977 30,879 706,856 2024 693,461 13,395 706,856 Totals $ 2,670,691 $ 156,733 $ 2,827,424 Legal Debt Margin Article VII, Section 6(k) of the 1970 Illinois Constitution governs the computation of legal debt margin. “The General Assembly may limit by law the amount and require referendum approval of debt to be incurred by home rule municipalities, payable from ad valorem property tax receipts, only in excess of the following percentages of the assessed value of its taxable property…(2) if its population is more than 25,000 and less than 500,000 an aggregate of one percent:…indebtedness which is outstanding on the effective date (July 1, 1971) of this constitution or which is thereafter approved by referendum…shall not be included in the foregoing percentage amounts.” To date the Illinois General Assembly has set no limits for home rule municipalities. The City is a home rule municipality. 61 ===== PDF PAGE 77 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 3 – DETAIL NOTES ON ALL FUNDS – Continued NET POSITION CLASSIFICATIONS Net investment in capital assets was comprised of the following as of December 31, 2020: Governmental Activities Capital Assets - Net of Accumulated Depreciation $ 53,700,103 Business-Type Activities Capital Assets - Net of Accumulated Depreciation 96,752,296 Less Capital Related Debt: IEPA Revolving Loan (2,670,691) Net Investment in Capital Assets $ 94,081,605 FUND BALANCE CLASSIFICATIONS In the governmental funds financial statements, the City considers restricted amounts to have been spent when an expenditure is incurred for purposes for which both restricted and unrestricted fund balance is available. The City first utilizes committed, then assigned and then unassigned fund balance when an expenditure is incurred for purposes for which all three unrestricted fund balances are available. Nonspendable Fund Balance. Consists of resources that cannot be spent because they are either: a) not in a spendable form; or b) legally or contractually required to be maintained intact. Restricted Fund Balance. Consists of resources that are restricted to specific purposes, that is, when constraints placed on the use of resources are either: a) externally imposed by creditors (such as through debt covenants), grantors, contributors, or laws or regulations of other governments; or b) imposed by law through constitutional provisions or enabling legislation. Committed Fund Balance. Consists of resources constrained (issuance of an ordinance) to specific purposes by the government itself, using its highest level of decision-making authority, the City Council; to be reported as committed, amounts cannot be used for any other purpose unless the government takes the same highest-level action to remove or change the constraint. Assigned Fund Balance. Consists of amounts that are constrained by the City Council’s intent to be used for specific purposes but are neither restricted nor committed. Intent is expressed by: a) the City Council itself; or b) a body or official to which the City Council has delegated the authority to assign amounts to be used for specific purposes. The City’s highest level of decision-making authority is the City Council, who is authorized to assign amounts to a specific purpose 62 ===== PDF PAGE 78 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 3 – DETAIL NOTES ON ALL FUNDS – Continued FUND BALANCE CLASSIFICATIONS – Continued Unassigned Fund Balance. Consists of residual net resources of a fund that has not been restricted, committed, or assigned within the General Fund and deficit fund balances of other governmental funds. Minimum Fund Balance Policy. The City’s budget policy states that General Fund should maintain a minimum fund balance equal to 25% of current budget projected revenue, with a target goal to increase the amount to 35%. The following is a schedule of fund balance classifications for the governmental funds as of the date of this report: Special Revenue Capital TIF Projects Public Special Tax Capital General Benefit Allocation #1 Improvement Nonmajor Totals Fund Balances Nonspendable Prepaids/Inventories $ 115,884 $ - $ 1,631 $ 979 $ - $ 118,494 Restricted Motor Fuel Tax 2,071,213 - - - - 2,071,213 Public Safety 927,219 - - - - 927,219 Property Taxes TIF - - 1,190,083 - 182,989 1,373,072 Public Benefit Projects - 944,721 - - - 944,721 2,998,432 944,721 1,190,083 - 182,989 5,316,225 Assigned Capital Projects - - - 4,260,945 2,276,427 6,537,372 Unassigned 15,975,019 - - - - 15,975,019 Total Fund Balances $ 19,089,335 $ 944,721 $ 1,191,714 $ 4,261,924 $ 2,459,416 $ 27,947,110 . 63 ===== PDF PAGE 79 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 4 – OTHER INFORMATION JOINT VENTURE The West Chicago/Winfield Wastewater Authority (the “Authority”) was created and established by an Intergovernmental Agreement dated April 19, 2018, between the City of West Chicago, Illinois and the Village of Winfield, Illinois for the purpose of jointly treating and processing wastewater. In accordance with the Intergovernmental Agreement dated April 19, 2018, the City of West Chicago is designated as the Operating Agency and has the day-to-day responsibilities of operations and maintenance of the Treatment Plant. The City of West Chicago is reimbursed one-eighth of the cost of salary and benefits paid to its Director of Public Works and his Administrative Assistant. A complete separate financial statement for the Authority can be requested from the Operating Agency at 475 Main Street, West Chicago, Illinois, 60185. RISK MANAGEMENT The City is exposed to various risks of loss related to torts; theft of, damage to and destruction of assets; errors and omissions; natural disasters; and injuries to the City’s employees. These risks are provided for through participation in the Intergovernmental Risk Management Agency (IRMA) and private insurance coverage. The City has purchased insurance from private insurance companies, covered risks included medical, dental, life, and other. Premiums have been displayed as expenditures/expenses in appropriate funds. There were no significant changes in insurance coverage from the prior year and settlements did not exceed insurance coverage in any of the past three fiscal years. IRMA 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 their risk management needs. The agency administers a mix of self-insurance and commercial insurance coverages; property/casualty and workers’ compensation claim administration/litigation management services; unemployment claim administration; extensive risk management/loss control consulting and training programs; and a risk information system and financial reporting service for its members. The City’s payments to IRMA are displayed on the financial statements as expenditures/expenses in appropriate funds. The City assumes the first $2,500 of each occurrence, and IRMA has a mix of self- insurance and commercial insurance at various amounts above that level. Each member appoints one delegate, along with an alternate delegate, to represent the member on the Board of Directors. The City does not exercise any control over the activities of the Agency beyond its representation on the Board of Directors. Initial contributions are determined each year based on the individual members’ eligible revenue as defined in the by-laws of IRMA and experience modification factors based on past member loss experience. Members have a contractual obligation to fund any deficit of IRMA attributable to a membership year during which they were a member. Supplemental contributions may be required to fund these deficits. 64 ===== PDF PAGE 80 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 4 – OTHER INFORMATION – Continued CONTINGENT LIABILITIES Litigation The City is a defendant in various lawsuits. Although the outcome of these lawsuits is not presently determinable, in the opinion of the City’s attorneys, the resolution of these matters will not have a material adverse effect on the financial condition of the City. 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 City expects such amounts, if any, to be immaterial. Financial Impact from COVID-19 In March 2020, the World Health Organization declared the COVID-19 virus a public health emergency. As of the date of this report, the extent of the impact of COVID-19 on the City’s operations and financial position cannot be determined. EMPLOYEE RETIREMENT SYSTEM – DEFINED BENEFIT PENSION PLANS The City contributes to two defined benefit pension plans, the Illinois Municipal Retirement Fund (IMRF), a defined benefit agent multiple-employer public employee retirement system; and the Police Pension Plan that is a single-employer pension plan. Separate financial statements for the Police Pension Plan can be obtained from the Treasurer of the Police Pension Plan at 475 Main Street, West Chicago, IL 60185. IMRF does issue a publicly available financial report that includes financial statements and required supplementary information for the plan as a whole, but not by individual employer. That report may be obtained online at www.imrf.org. The benefit, benefit levels, employee contributions, and employer contributions are governed by Illinois Compiled Statutes (ILCS) and can only be amended by the Illinois General Assembly. The aggregate amount of pension expense recognized for the two pension plans is: Net Pension Expenses/ Liabilities/ Deferred Deferred (Revenues) (Assets) Outflows Inflows IMRF $ (908,080) $ (1,049,827) $ 532,551 $ 3,521,354 Police Pension 2,637,940 24,353,133 7,977,280 11,330,161 $ 1,729,860 $ 56,346,067 $ 10,295,793 $ (8,597,521) 65 ===== PDF PAGE 81 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 4 – OTHER INFORMATION – Continued EMPLOYEE RETIREMENT SYSTEM – DEFINED BENEFIT PENSION PLANS – Continued Illinois Municipal Retirement Fund (IMRF) Plan Descriptions Plan Administration. All employees (other than those covered by the Police Pension Plan) hired in positions that meet or exceed the prescribed annual hourly standard must be enrolled in IMRF as participating members. The plan is accounted for on the economic resources measurement focus and the accrual basis of accounting. Employer and employee contributions are recognized when earned in the year that the contributions are required; benefits and refunds are recognized as an expense and liability when due and payable. Benefits Provided. IMRF has three benefit plans. The vast majority of IMRF members participate in the Regular Plan (RP). The Sheriff’s Law Enforcement Personnel (SLEP) plan is for sheriffs, deputy sheriffs, and selected police chiefs. Counties could adopt the Elected County Official (ECO) plan for officials elected prior to August 8, 2011 (the ECO plan was closed to new participants after that date). IMRF provides two tiers of pension benefits. Employees hired before January 1, 2011, are eligible for Tier 1 benefits. Tier 1 employees are vested for pension benefits when they have at least eight years of qualifying service credit. Tier 1 employees who retire at age 55 (at reduced benefits) or after age 60 (at full benefits) with eight years of service are entitled to an annual retirement benefit, payable monthly for life, in an amount equal to 1-2/3% of the final rate of earnings for the first 15 years of service credit, plus 2% for each year of service credit after 15 years to a maximum of 75% of their final rate of earnings. Final rate of earnings is the highest total earnings during any consecutive 48 months within the last 10 years of service, divided by 48. Under Tier 1, the pension is increased by 3% of the original amount on January 1 every year after retirement. Employees hired on or after January 1, 2011, are eligible for Tier 2 benefits. For Tier 2 employees, pension benefits vest after ten years of service. Participating employees who retire at age 62 (at reduced benefits) or after age 67 (at full benefits) with ten years of service are entitled to an annual retirement benefit, payable monthly for life, in an amount equal to 1-2/3% of the final rate of earnings for the first 15 years of service credit, plus 2% for each year of service credit after 15 years to a maximum of 75% of their final rate of earnings. Final rate of earnings is the highest total earnings during any 96 consecutive months within the last 10 years of service, divided by 96. Under Tier 2, the pension is increased on January 1 every year after retirement, upon reaching age 67, by the lesser of:  3% of the original pension amount; or  1/2 of the increase in the Consumer Price Index of the original pension amount. 66 ===== PDF PAGE 82 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 4 – OTHER INFORMATION – Continued EMPLOYEE RETIREMENT SYSTEM – DEFINED BENEFIT PENSION PLANS – Continued Illinois Municipal Retirement Fund (IMRF) – Continued Plan Descriptions – Continued Plan Membership. As of December 31, 2020, the measurement date, the following employees were covered by the benefit terms: Inactive Plan Members Currently Receiving Benefits 108 Inactive Plan Members Entitled to but not yet Receiving Benefits 55 Active Plan Members 66 Total 229 Contributions. As set by statute, the City’s Regular Plan Members are required to contribute 4.50% of their annual covered salary. The statute requires employers to contribute the amount necessary, in addition to member contributions, to finance the retirement coverage of its own employees. For the year-ended December 31, 2020, the City’s contribution was 11.44% of covered payroll. Net Pension Liability/(Asset). The City’s net pension liability/(asset) was measured as of December 31, 2020. The total pension liability used to calculate the net pension liability was determined by an actuarial valuation as of that date. Actuarial Assumptions. The total pension liability was determined by an actuarial valuation performed, as of December 31, 2020, using the following actuarial methods and assumptions: Actuarial Cost Method Entry Age Normal Asset Valuation Method Market Actuarial Assumptions Interest Rate 7.25% Salary Increases 2.85% to 13.75% Cost of Living Adjustments 2.25% Inflation 2.25% 67 ===== PDF PAGE 83 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 4 – OTHER INFORMATION – Continued EMPLOYEE RETIREMENT SYSTEM – DEFINED BENEFIT PENSION PLANS – Continued Illinois Municipal Retirement Fund (IMRF) – Continued Plan Descriptions – Continued Actuarial Assumptions – Continued. For nondisabled retirees, the Pub-2010, Amount-Weighted, below- median income, General, Retiree, Male (adjusted 106%) and Female (adjusted 105%) tables, and future mortality improvements projected using scale MP-2020. For disabled retirees, the Pub-2010, Amount- Weighted, below-median income, General, Disabled Retiree, Male and Female (both unadjusted) tables, and future mortality improvements projected using scale MP-2020. For active members, the Pub-2010, Amount-Weighted, below-median income, General, Employee, Male and Female (both unadjusted) tables, and future mortality improvements projected using scale MP-2020. The long-term expected rate of return on pension plan investments was determined using a building- block method in which best-estimate ranges of expected future real rates of return (expected returns, net of pension plan investment expense, and inflation) are developed for each major asset class. These ranges are combined to produce the long-term expected rate of return by weighting the expected future real rates of return to the target asset allocation percentage and adding expected inflation. The target allocation and best estimates of geometric real rates of return for each major asset class are summarized in the following table: Long-Term Expected Real Asset Class Target Rate of Return Fixed Income 28.00% 1.30% Domestic Equities 37.00% 5.00% International Equities 18.00% 6.00% Real Estate 9.00% 6.20% Blended 7.00% 2.85% - 6.95% Cash and Cash Equivalents 1.00% 0.70% Discount Rate The discount rate used to measure the total pension liability was 7.25%, the same as in prior valuation. The projection of cash flows used to determine the discount rate assumed that member contributions will be made at the current contribution rate and that City contributions will be made at rates equal to the difference between the actuarially determined contribution rates and the member rate. Based on those assumptions, the Fund’s fiduciary net position was projected to be available to make all projected future benefit payments of current plan members. Therefore, the long-term expected rate of return on pension plan investments was applied to all period of projected benefit payments to determine the total pension liability. 68 ===== PDF PAGE 84 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 4 – OTHER INFORMATION – Continued EMPLOYEE RETIREMENT SYSTEM – DEFINED BENEFIT PENSION PLANS – Continued Illinois Municipal Retirement Fund (IMRF) – Continued Discount Rate Sensitivity The following is a sensitivity analysis of the net pension liability/(asset) to changes in the discount rate. The table below presents the net pension liability/(asset) of the City calculated using the discount rate as well as what the City’s net pension liability/(asset) would be if it were calculated using a discount rate that is one percentage point lower or one percentage point higher than the current rate: Current 1% Decrease Discount Rate 1% Increase (6.25%) (7.25%) (8.25%) Net Pension Liability/(Asset) $ 3,717,810 $ (1,049,827) $ (4,836,597) Changes in the Net Pension Liability/(Asset) Total Pension Plan Fiduciary Net Pension Liability Net Position Liability/(Asset) (A) (B) (A) - (B) Balances at December 31, 2019 $ 39,014,741 $ 36,998,668 $ 2,016,073 Changes for the Year: Service Cost 588,612 - 588,612 Interest on the Total Pension Liability 2,775,712 - 2,775,712 Difference Between Expected and Actual Experience of the Total Pension Liability 408,035 - 408,035 Changes of Assumptions (276,821) - (276,821) Contributions - Employer - 670,212 (670,212) Contributions - Employees - 263,633 (263,633) Net Investment Income - 5,300,760 (5,300,760) Benefit Payments, including Refunds of Employee Contributions (2,046,716) (2,046,716) - Other (Net Transfer) - 326,833 (326,833) Net Changes 1,448,822 4,514,722 (3,065,900) Balances at December 31, 2020 $ 40,463,563 $ 41,513,390 $ (1,049,827) 69 ===== PDF PAGE 85 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 4 – OTHER INFORMATION – Continued EMPLOYEE RETIREMENT SYSTEM – DEFINED BENEFIT PENSION PLANS – Continued Illinois Municipal Retirement Fund (IMRF) – Continued Pension Expense, Deferred Outflows of Resources, and Deferred Inflows of Resources Related to Pensions For the year ended December 31, 2020, the City recognized pension revenue of $908,080. At December 31, 2020, the City reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources: Deferred Deferred Outflows of Inflows of Resources Resources Totals Difference Between Expected and Actual Experience $ 309,904 $ (76,335) $ 233,569 Change in Assumptions 222,647 (197,637) 25,010 Net Difference Between Projected and Actual Earnings on Pension Plan Investments - (3,247,382) (3,247,382) Total Deferred Amounts Related to IMRF $ 532,551 $ (3,521,354) $ (2,988,803) Amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized in pension expense in future periods as follows: Net Deferred Fiscal (Inflows) Year of Resources 2021 $ (793,839) 2022 (386,910) 2023 (1,278,684) 2024 (529,370) 2025 - Thereafter - Total $ (2,988,803) 70 ===== PDF PAGE 86 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 4 – OTHER INFORMATION – Continued EMPLOYEE RETIREMENT SYSTEM – DEFINED BENEFIT PENSION PLANS – Continued Police Pension Plan Plan Descriptions Plan Administration. The Police Pension Plan is a single-employer defined benefit pension plan that covers all sworn police personnel. The defined benefits and employee and minimum employer contribution levels are governed by Illinois Compiled Statutes (40 ILCS 5/3-1) and may be amended only by the Illinois legislature. The City accounts for the Fund as a pension trust fund. The Fund is governed by a five-member pension board. Two members of the Board are appointed by the City Mayor, one member is elected by pension beneficiaries and two members are elected by active police members. Plan Membership. At December 31, 2020, the measurement date, membership consisted of the following: Inactive Plan Members Currently Receiving Benefits 31 Inactive Plan Members Entitled to but not yet Receiving Benefits 14 Active Plan Members 41 Total 86 Benefits Provided. The following is a summary of the Police Pension Plan as provided for in Illinois State Statutes. The Police Pension Plan provides retirement benefits through two tiers of benefits as well as death and disability benefits. Covered employees hired before January 1, 2011 (Tier 1), attaining the age of 50 or older with 20 or more years of creditable service are entitled to receive an annual retirement benefit of ½ 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 annual benefit shall be increased by 2.5 percent of such salary for each additional year of service over 20 years up to 30 years, to a maximum of 75 percent of such salary. Employees with at least eight years but less than 20 years of credited service may retire at or after age 60 and receive a reduced benefit. The monthly benefit of a police officer who retired with 20 or more years of service after January 1, 1977 shall be increased annually, following the first anniversary date of retirement and be paid upon reaching the age of at least 55 years, by 3 percent of the original pension and 3 percent compounded annually thereafter. 71 ===== PDF PAGE 87 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 4 – OTHER INFORMATION – Continued EMPLOYEE RETIREMENT SYSTEM – DEFINED BENEFIT PENSION PLANS – Continued Police Pension Plan – Continued Plan Descriptions – Continued Benefits Provided – Continued. Covered employees hired on or after January 1, 2011 (Tier 2), attaining the age of 55 or older with 10 or more years of creditable service are entitled to receive an annual retirement benefit equal to the average monthly salary obtained by dividing the total salary of the police officer during the 48 consecutive months of service within the last 60 months of service in which the total salary was the highest by the number of months of service in that period. Police officer salary for the pension purposes is capped at $106,800, plus the lesser of ½ of the annual change in the Consumer Price Index or 3 percent compounded. The annual benefit shall be increased by 2.5 percent of such a salary for each additional year of service over 20 years up to 30 years to a maximum of 75 percent of such salary. Employees with at least 10 years may retire at or after age 50 and receive a reduced benefit (i.e., ½ percent for each month under 55). The monthly benefit of a Tier 2 police officer shall be increased annually at age 60 on the January 1st after the police officer retires, or the first anniversary of the pension starting date, whichever is later. Noncompounding increases occur annually, each January thereafter. The increase is the lesser of 3 percent of ½ of the change in the Consumer Price Index for the proceeding calendar year. Contributions. Covered employees are required to contribute 9.91% 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 City is required to contribute the remaining amounts necessary to finance the plan and the administrative costs as actuarially determined by an enrolled actuary. However, effective January 1, 2011, ILCS requires the City to contribute a minimum amount annually calculated using the projected unit credit actuarial cost method that will result in the funding of 90% of the past service cost by the year 2040. For the year-ended December 31, 2020, the City’s contribution was 60.75% of covered payroll. Concentrations. At December 31, 2020, the Pension Fund does not have any investments over 5 percent of net position available for benefits (other than investments issued or explicitly guaranteed by the U.S. government and investments in mutual funds, external investment pools, and other pooled investments). 72 ===== PDF PAGE 88 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 4 – OTHER INFORMATION – Continued EMPLOYEE RETIREMENT SYSTEM – DEFINED BENEFIT PENSION PLANS – Continued Police Pension Plan – Continued Actuarial Assumptions The total pension liability was determined by an actuarial valuation performed, as of December 31, 2020, using the following actuarial methods and assumptions: Actuarial Cost Method Entry Age Normal Asset Valuation Method Market Actuarial Assumptions Interest Rate 6.50% Salary Increases Graded by Years of Service Cost of Living Adjustments 2.25% Inflation 2.25% Mortality rates were based on Pub-2010(A) adjusted for Plan Status, Collar, and Illinois Public Pension Data. Discount Rate A Single Discount Rate of 6.14% was used to measure the total pension liability, while the prior year used 5.60%. The projection of cash flow used to determine this Single Discount Rate assumed that the plan members’ contributions will be made at the current contribution rate, and that employer contributions will be made at rates equal to the difference between actuarially determined contribution rates and the member rate. The Single Discount Rate reflects: 1. The long-term expected rate of return on pension plan investments (during the period in which the fiduciary net position is projected to be sufficient to pay benefits); and 2. The tax-exempt municipal bond rate based on an index of 20-year general obligation bonds with an average AA credit rating (which is published by the Federal Reserve) as of the measurement date (to the extent that the contributions for use with the long-term expected rate of return are not met). For the purpose of the most recent valuation, the expected rate of return on plan investments is 6.50%, the municipal bond rate is 2.00%, and the resulting Single Discount Rate is 6.14%. 73 ===== PDF PAGE 89 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 4 – OTHER INFORMATION – Continued EMPLOYEE RETIREMENT SYSTEM – DEFINED BENEFIT PENSION PLANS – Continued Police Pension Plan – Continued Discount Rate Sensitivity The following is a sensitivity analysis of the net pension liability to changes in the discount rate. The table below presents the net pension liability of the City calculated using the discount rate as well as what the City’s net pension liability would be if it were calculated using a discount rate that is one percentage point lower or one percentage point higher than the current rate: Current 1% Decrease Discount Rate 1% Increase (5.14%) (6.14%) (7.14%) Net Pension Liability $ 35,833,403 $ 24,353,133 $ 15,053,913 Changes in the Net Pension Liability Total Pension Plan Fiduciary Net Pension Liability Net Position Liability (A) (B) (A) - (B) Balances at December 31, 2019 $ 69,104,750 $ 34,729,769 $ 34,374,981 Changes for the Year: Service Cost 1,803,080 - 1,803,080 Interest on the Total Pension Liability 3,802,792 - 3,802,792 Difference Between Expected and Actual Experience of the Total Pension Liability (1,541,342) - (1,541,342) Changes of Assumptions (6,109,580) - (6,109,580) Contributions - Employer - 2,662,500 (2,662,500) Contributions - Employees - 443,247 (443,247) Net Investment Income - 4,871,051 (4,871,051) Benefit Payments, including Refunds of Employee Contributions (2,214,956) (2,214,956) - Administration Expense (58,044) (58,044) - Net Changes (4,318,050) 5,703,798 (10,021,848) Balances at December 31, 2020 $ 64,786,700 $ 40,433,567 $ 24,353,133 74 ===== PDF PAGE 90 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 4 – OTHER INFORMATION – Continued EMPLOYEE RETIREMENT SYSTEM – DEFINED BENEFIT PENSION PLANS – Continued Police Pension Plan – Continued Pension Expense, Deferred Outflows of Resources, and Deferred Inflows of Resources Related to Pensions For the year ended December 31, 2020, the City recognized pension expense of $2,637,940. At December 31, 2020, the City reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources: Deferred Deferred Outflows of Inflows of Resources Resources Totals Difference Between Expected and Actual Experience $ 1,114,072 $ (1,610,923) $ (496,851) Change in Assumptions 6,863,208 (6,643,195) 220,013 Net Difference Between Projected and Actual Earnings on Pension Plan Investments - (3,076,043) (3,076,043) Total Deferred Amounts Related to Police Pension $ 7,977,280 $ (11,330,161) $ (3,352,881) Amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized in pension expense in future periods as follows: Net Deferred Outflows/ Fiscal (Inflows) Year of Resources 2021 $ (184,925) 2022 (453,097) 2023 (1,778,813) 2024 (973,974) 2025 (257,561) Thereafter 295,489 Total $ (3,352,881) 75 ===== PDF PAGE 91 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 4 – OTHER INFORMATION – Continued OTHER POST-EMPLOYMENT BENEFITS General Information about the OPEB Plan Plan Description. The City’s defined benefit OPEB plan, Retiree Benefits Plan (RBP), provides OPEB for eligible permanent full-time general and public safety employees of the City. RBP is a single- employer defined benefit OPEB plan administered by the City. Article 11 of the State Compiled Statutes grants the authority to establish and amend the benefit terms and financing requirements to the City Council. No assets are accumulated in a trust that meets the criteria in paragraph 4 of Statement 75. Benefits Provided. RBP provides healthcare insurance coverage and benefits for eligible retirees and their dependents. The premium cost terms provide for payment of 100 percent of health insurance premiums for non-Medicare-eligible retirees and 100 percent of health insurance premiums for Medicare-eligible retirees paid by retirees. Plan Membership. As of December 31, 2020, the measurement date, the following employees were covered by the benefit terms: Inactive Plan Members Currently Receiving Benefits 12 Inactive Plan Members Entitled to but not yet Receiving Benefits - Active Plan Members 73 Total 85 Total OPEB Liability The City’s total OPEB liability was measured as of December 31, 2020 and was determined by an actuarial valuation as of December 31, 2019. Actuarial Assumptions and Other Inputs. The total OPEB liability in the December 31, 2020 actuarial valuation was determined using the following actuarial assumptions and other inputs, applied to all periods included in the measurement, unless otherwise specified: 76 ===== PDF PAGE 92 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 4 – OTHER INFORMATION – Continued OTHER POST-EMPLOYMENT BENEFITS – Continued Total OPEB Liability – Continued Actuarial Assumptions and Other Inputs – Continued. Inflation 2.25% Salary Increases 3.00% Discount Rate 2.12% Healthcare Cost Trend Rates 6.60% - 7.70% for 2020, Decreasing to an Ultimate Rate of 5.00% for 2030 and Later Years Retirees' Share of Benefit-Related Costs 100% of Projected Health Insurance Premiums for Retirees The discount rate was based on combination of the Expected Long-Term Rate of Return on Plan Assets and the Municipal Bond Rate. Mortality rates were based on the Sex Distinct Raw Rates as developed in the PubS-2010(A) Study improved to 2017 using MP-2019 Improvement Rates and RP-2014 with Blue Collar Adjustment and MP-2016 Improvement Rates, weighted per IMRF Experience Study dated November 8, 2017.These rates are improved generationally using MP-2019 Improvement Rates. Change in the Total OPEB Liability Total OPEB Liability Balance at December 31, 2019 $ 6,831,814 Changes for the Year: Service Cost 93,208 Interest on the Total Pension Liability 184,368 Changes of Benefit Terms - Difference Between Expected and Actual Experience - Changes of Assumptions or Other Inputs 1,172,614 Benefit Payments (206,118) Net Changes 1,244,072 Balance at December 31, 2020 $ 8,075,886 77 ===== PDF PAGE 93 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Notes to the Financial Statements December 31, 2020 NOTE 4 – OTHER INFORMATION – Continued OTHER POST-EMPLOYMENT BENEFITS – Continued Sensitivity of the Total OPEB Liability to Changes in the Discount Rate The discount rate used to measure the total pension liability was 2.12%, while the prior valuation used 2.74%. The following presents the total OPEB liability, calculated using the discount rate, as well as what the total OPEB liability would be if it were calculated using a discount rate that is one percentage point lower or one percentage point higher: Current 1% Decrease Discount Rate 1% Increase (1.12%) (2.12%) (3.12%) Total OPEB Liability $ 9,657,376 $ 8,075,886 $ 6,842,948 Sensitivity of the Total OPEB Liability to Changes in the Healthcare Cost Trend Rates The following presents the total OPEB liability, calculated using a varied Healthcare Trend Rate, as well as what the total OPEB liability would be if it were calculated using a Healthcare Trend Rate that is one percentage point lower or one percentage point higher: Healthcare Cost Trend 1% Decrease Rates 1% Increase (Varies) (Varies) (Varies) Total OPEB Liability $ 6,804,506 $ 8,075,886 $ 9,648,849 OPEB Expense and Deferred Outflows of Resources and Deferred Inflows of Resources Related to OPEB For the year ended December 31, 2020, the City recognized OPEB expense of $1,450,190. Per GASB Statement No. 75, under the Alternative Measurement Method, changes in Total OPEB Liability are immediately recognized as expense, resulting in no deferred outflows of resources or deferred inflows of resources related to OPEB. SUBSEQUENT EVENT American Rescue Plan Act On March 11, 2021, the American Rescue Plan Act of 2021 was signed into law. This act provides $350 billion in funding for local governments. The City has been allocated $3,645,480 to be received in two installments. On September 1, 2021 the City received their first installment of $1,822,740. 78 ===== PDF PAGE 94 ===== [Extraction: embedded PDF text] REQUIRED SUPPLEMENTARY INFORMATION Required supplementary information includes financial information and disclosures that are required by the GASB but are not considered a part of the basic financial statements. Such information includes: • Schedule of Employer Contributions Illinois Municipal Retirement Fund Police Pension Fund • Schedule of Changes in the Employer’s Net Pension Liability/(Asset) Illinois Municipal Retirement Fund Police Pension Fund • Schedule of Investment Returns Police Pension Fund • Schedule of Changes in the Employer's Total OPEB Liability Retiree Benefits Plan • Budgetary Comparison Schedule General Fund Public Benefit – Special Revenue Fund TIF Special Tax Allocation #1 – Special Revenue Fund Notes to the Required Supplementary Information Budgetary Information – Budgets are adopted on a basis consistent with generally accepted accounting principles. ===== PDF PAGE 95 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Illinois Municipal Retirement Fund Required Supplementary Information Schedule of Employer Contributions December 31, 2020 Contributions in Relation to Contributions as Actuarially the Actuarially Contribution a Percentage of Fiscal Determined Determined Excess/ Covered Covered Year Contribution Contribution (Deficiency) Payroll Payroll 2015 $ 673,208 $ 673,208 $ - $ 5,107,796 13.18% 2016 760,973 760,973 - 5,666,218 13.43% 2017 725,095 725,095 - 5,722,922 12.67% 2018 748,485 748,485 - 6,031,302 12.41% 2019 554,570 554,570 - 5,899,672 9.40% 2020 670,212 670,212 - 5,858,490 11.44% Notes to the Required Supplementary Information: Actuarial Cost Method Entry Age Normal Amortization Method Level % Pay (Closed) Remaining Amortization Period 23 Years Asset Valuation Method 5-Year Smoothed Fair Value Inflation 2.50% Salary Increases 3.35% - 14.25% Investment Rate of Return 7.25% Retirement Age See the Notes to the Financial Statements Mortality IMRF specific mortality table was used with fully generational projection scale MP-2017 (base year 2015). Note: This schedule is intended to show information for ten years. Information for additional years will be displayed as it becomes available. 79 ===== PDF PAGE 96 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Police Pension Fund Required Supplementary Information Schedule of Employer Contributions December 31, 2020 Contributions in Relation to Contributions as Actuarially the Actuarially Contribution a Percentage of Fiscal Determined Determined Excess/ Covered Covered Year Contribution Contribution (Deficiency) Payroll Payroll 2015 $ 1,953,538 $ 1,800,000 $ (153,538) $ 4,092,955 43.98% 2016 2,496,300 2,174,000 (322,300) 4,279,402 50.80% 2017 2,357,486 2,358,000 514 4,429,181 53.24% 2018 2,499,282 2,500,000 718 4,352,534 57.44% 2019 2,563,133 1,949,252 (613,881) 4,452,989 43.77% 2020 2,662,434 2,662,500 66 4,382,854 60.75% Notes to the Required Supplementary Information: Actuarial Cost Method Entry Age Normal Amortization Method Level % Pay (Closed) Remaining Amortization Period 15 Years Asset Valuation Method Fair Value Inflation 2.25% Salary Increases Graded by Years of Service Investment Rate of Return 6.50% Retirement Age See the Notes to the Financial Statements Mortality PubS-2010(A) Adjusted for Plan Status, Collar, and Illinois Public Pension Data, as Appropriate Note: This schedule is intended to show information for ten years. Information for additional years will be displayed as it becomes available. 80 ===== PDF PAGE 97 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Illinois Municipal Retirement Fund Required Supplementary Information Schedule of Changes in the Employer's Net Pension Liability(Asset) December 31, 2020 12/31/2015 Total Pension Liability Service Cost $ 571,996 Interest 2,352,359 Differences Between Expected and Actual Experience (9,382) Change of Assumptions 80,218 Benefit Payments, Including Refunds of Member Contributions (1,512,334) Net Change in Total Pension Liability 1,482,857 Total Pension Liability - Beginning 31,876,833 Total Pension Liability - Ending $ 33,359,690 Plan Fiduciary Net Position Contributions - Employer $ 673,208 Contributions - Members 230,043 Net Investment Income 140,645 Benefit Payments, Including Refunds of Member Contributions (1,512,334) Administrative Expense 398,615 Net Change in Plan Fiduciary Net Position (69,823) Plan Net Position - Beginning 28,433,476 Plan Net Position - Ending $ 28,363,653 Employer's Net Pension Liability/(Asset) $ 4,996,037 Plan Fiduciary Net Position as a Percentage of the Total Pension Liability 85.02% Covered Payroll $ 5,107,796 Employer's Net Pension Liability/(Asset) as a Percentage of Covered Payroll 97.81% Note: This schedule is intended to show information for ten years. Information for additional years will be displayed as it becomes available. 81 ===== PDF PAGE 98 ===== [Extraction: embedded PDF text] 12/31/2016 12/31/2017 12/31/2018 12/31/2019 12/31/2020 $ 563,551 $ 620,392 $ 566,525 $ 602,034 $ 588,612 2,455,010 2,609,972 2,599,095 2,692,802 2,775,712 616,330 (516,181) 89,045 (172,461) 408,035 (126,634) (1,103,990) 1,066,640 - (276,821) (1,553,071) (1,650,895) (1,805,678) (1,897,435) (2,046,716) 1,955,186 (40,702) 2,515,627 1,224,940 1,448,822 33,359,690 35,314,876 35,274,174 37,789,801 39,014,741 $ 35,314,876 $ 35,274,174 $ 37,789,801 $ 39,014,741 $ 40,463,563 $ 760,973 $ 725,095 $ 748,485 $ 554,570 $ 670,212 254,980 262,899 271,408 265,485 263,633 1,966,231 5,355,309 (1,942,525) 6,121,775 5,300,760 (1,553,071) (1,650,895) (1,805,678) (1,897,435) (2,046,716) 259,549 (416,512) 478,710 (124,338) 326,833 1,688,662 4,275,896 (2,249,600) 4,920,057 4,514,722 28,363,653 30,052,315 34,328,211 32,078,611 36,998,668 $ 30,052,315 $ 34,328,211 $ 32,078,611 $ 36,998,668 $ 41,513,390 $ 5,262,561 $ 945,963 $ 5,711,190 $ 2,016,073 $ (1,049,827) 85.10% 97.32% 84.89% 94.83% 102.59% $ 5,666,218 $ 5,722,922 $ 6,031,032 $ 5,899,672 $ 5,858,490 92.88% 16.53% 94.70% 34.17% (17.92%) 82 ===== PDF PAGE 99 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Police Pension Fund Required Supplementary Information Schedule of Changes in the Employer's Net Pension Liability December 31, 2020 12/31/2015 Total Pension Liability Service Cost $ 1,339,124 Interest 2,354,602 Change of Benefit Terms - Differences Between Expected and Actual Experience 3,296,819 Change of Assumptions 6,855,504 Benefit Payments, Including Refunds of Member Contributions (1,595,484) Pension Plan Administrative Expense - Net Change in Total Pension Liability 12,250,565 Total Pension Liability - Beginning 41,676,250 Total Pension Liability - Ending $ 53,926,815 Plan Fiduciary Net Position Contributions - Employer $ 1,800,000 Contributions - Members 416,324 Net Investment Income 1,079,639 Benefit Payments, Including Refunds of Member Contributions (1,595,484) Administrative Expense (81,217) Net Change in Plan Fiduciary Net Position 1,619,262 Plan Net Position - Beginning 21,715,759 Plan Net Position - Ending $ 23,335,021 Employer's Net Pension Liability $ 30,591,794 Plan Fiduciary Net Position as a Percentage of the Total Pension Liability 43.27% Covered Payroll $ 4,092,955 Employer's Net Pension Liability as a Percentage of Covered Payroll 747.43% Note: This schedule is intended to show information for ten years. Information for additional years will be displayed as it becomes available. 83 ===== PDF PAGE 100 ===== [Extraction: embedded PDF text] 12/31/2016 12/31/2017 12/31/2018 12/31/2019 12/31/2020 $ 1,346,476 $ 1,426,187 $ 1,349,278 $ 1,296,222 $ 1,803,080 3,142,264 3,240,378 3,419,420 3,560,231 3,802,792 - - - 269,777 - (372,812) 324,349 (338,074) 375,254 (1,541,342) (631,278) (1,417,146) (1,140,533) 7,382,782 (6,109,580) (1,696,065) (1,958,572) (1,995,003) (2,405,200) (2,214,956) - - - - (58,044) 1,788,585 1,615,196 1,295,088 10,479,066 (4,318,050) 53,926,815 55,715,400 57,330,596 58,625,684 69,104,750 $ 55,715,400 $ 57,330,596 $ 58,625,684 $ 69,104,750 $ 64,786,700 $ 2,174,000 $ 2,358,000 $ 2,500,000 $ 1,949,252 $ 2,662,500 427,412 430,974 432,433 441,291 443,247 1,820,171 3,115,545 (1,163,991) 5,220,951 4,871,051 (1,696,065) (1,958,572) (1,995,003) (2,405,200) (2,214,956) (71,463) (61,553) (61,890) (61,544) (58,044) 2,654,055 3,884,394 (288,451) 5,144,750 5,703,798 23,335,021 25,989,076 29,873,470 29,585,019 34,729,769 $ 25,989,076 $ 29,873,470 $ 29,585,019 $ 34,729,769 $ 40,433,567 $ 29,726,324 $ 27,457,126 $ 29,040,665 $ 34,374,981 $ 24,353,133 46.65% 52.11% 50.46% 50.26% 62.41% $ 4,279,402 $ 4,429,181 $ 4,352,534 $ 4,452,989 $ 4,382,854 694.64% 619.91% 667.21% 771.95% 555.65% 84 ===== PDF PAGE 101 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Police Pension Fund Required Supplementary Information Schedule of Investment Returns December 31, 2020 Annual Money- Weighted Rate of Return, Net Fiscal of Investment Year Expense 2015 4.99% 2016 7.85% 2017 12.01% 2018 (3.89%) 2019 17.79% 2020 14.03% Note: This schedule is intended to show information for ten years. Information for additional years will be displayed as it becomes available. 85 ===== PDF PAGE 102 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Retiree Benefits Plan Required Supplementary Information Schedule of Changes in the Employer's Total OPEB Liability December 31, 2020 12/31/2017 Total OPEB Liability Service Cost $ 99,027 Interest 220,826 Changes in Benefit Terms - Differences Between Expected and Actual Experience - Change of Assumptions or Other Inputs - Benefit Payments (205,343) Net Change in Total OPEB Liability 114,510 Total OPEB Liability - Beginning 6,517,955 Total OPEB Liability - Ending 6,632,465 Covered-Employee Payroll $ 6,941,151 Total OPEB Liability as a Percentage of Covered-Employee Payroll 95.55% Notes: This schedule is intended to show information for ten years. Information for additional years will be displayed as it becomes available. Changes of Assumptions. Changes in assumptions related to the discount rate were made in 2017 to 2020. 86 ===== PDF PAGE 103 ===== [Extraction: embedded PDF text] 12/31/2018 12/31/2019 12/31/2020 ` $ 102,436 $ 46,336 $ 93,208 224,412 251,531 184,368 - - - - (1,247,848) - (485,359) 1,759,270 1,172,614 (226,720) (224,709) (206,118) (385,231) 584,580 1,244,072 6,632,465 6,247,234 6,831,814 6,247,234 6,831,814 8,075,886 $ 7,149,386 $ 7,406,846 $ 7,629,051 87.38% 92.24% 105.86% 87 ===== PDF PAGE 104 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS General Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual Revenues Taxes $ 4,373,000 $ 4,163,000 $ 4,337,076 Intergovernmental 10,026,000 9,246,000 11,514,774 Charges for Services 2,297,000 2,272,000 2,784,197 Licenses and Permits 772,000 772,000 1,023,714 Fines and Forfeitures 825,000 470,000 971,630 Interest Income 5,000 5,000 3,335 Miscellaneous 550,000 550,000 1,564,322 Total Revenues 18,848,000 17,478,000 22,199,048 Expenditures Current General Government 9,776,600 10,131,600 8,256,462 Public Safety 10,874,800 10,874,800 10,388,620 Debt Service Interest and Fiscal Charges - - 955 Total Expenditures 20,651,400 21,006,400 18,646,037 Net Change in Fund Balance $ (1,803,400) $ (3,528,400) 3,553,011 Fund Balance - Beginning 15,486,324 Fund Balance - Ending $ 19,039,335 88 ===== PDF PAGE 105 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Public Benefit - Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual Revenues Interest Income $ - $ - $ 559 Expenditures Capital Outlay Building and Grounds Improvement - - - Net Change in Fund Balance $ - $ - 559 Fund Balance - Beginning 944,162 Fund Balance - Ending $ 944,721 89 ===== PDF PAGE 106 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS TIF Special Tax Allocation #1 - Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual Revenues Taxes Property Taxes $ 975,000 $ 975,000 $ 1,022,519 Interest Income 700 700 797 Miscellaneous 1,500 1,500 (24,703) Total Revenues 977,200 977,200 998,613 Expenditures Current General Government 1,001,700 1,001,700 737,964 Debt Service Interest and Fiscal Charges 700 700 160 Total Expenditures 1,002,400 1,002,400 738,124 Net Change in Fund Balance $ (25,200) $ (25,200) 260,489 Fund Balance - Beginning 931,225 Fund Balance - Ending $ 1,191,714 90 ===== PDF PAGE 107 ===== [Extraction: embedded PDF text] OTHER SUPPLEMENTARY INFORMATION Other supplementary information includes financial statements and schedules not required by the GASB, nor a part of the basic financial statements, but are presented for purposes of additional analysis. Such statements and schedules include: • Budgetary Comparison Schedules – Major Governmental Funds • Combining Statements – Nonmajor Governmental Funds • Budgetary Comparison Schedules – Nonmajor Governmental Funds • Budgetary Comparison Schedules – Enterprise Funds • Consolidated Year-End Financial Report ===== PDF PAGE 108 ===== [Extraction: embedded PDF text] INDIVIDUAL FUND DESCRIPTIONS GENERAL FUND The General Fund is used to account for all financial resources except those required to be accounted for in another fund. SPECIAL REVENUE FUNDS The Special Revenue Funds are used to account for the proceeds of specific revenue sources (other than fiduciary funds or capital projects funds) that are legally restricted to expenditure for specified purposes. Public Benefit Fund The Public Benefit Fund is used to account for the accumulation of funds from Kerr McGee to fund projects that meet the criteria established by the City Council and as detailed in the City Code TIF Special Tax Allocation Fund #1 The TIF Special Tax Allocation #1 Fund is used to account for the accumulation of funds from incremental revenue generated within the TIF #1 area. TIF Special Tax Allocation Fund #2 The TIF Special Tax Allocation #2 Fund is used to account for the accumulation of funds from incremental revenue generated within the TIF #2 area. TIF Special Tax Allocation Fund #3 The TIF Special Tax Allocation #3 Fund is used to account for the accumulation of funds from incremental revenue generated within the TIF #3 area. CAPITAL PROJECTS FUNDS Capital Projects Funds are created to account for all resources used for the acquisition of capital facilities by a governmental unit except those financed by Proprietary Funds. Capital Improvement Fund The Capital Improvement Fund is used to account for property taxes, natural gas use taxes and home rule sales taxes that are set aside for funding major capital improvements throughout the City. Capital Equipment Replacement Fund The Capital Equipment Replacement Fund is used to account for funds set aside be the City Council during the budget process and costs allocated to user departments for future capital fleet purchases. ===== PDF PAGE 109 ===== [Extraction: embedded PDF text] INDIVIDUAL FUND DESCRIPTIONS ENTERPRISE FUNDS Enterprise Funds are used to account for operations that are financed and operated in a manner similar to private business enterprises where the intent is that costs of providing goods or services to the general public on a continuing basis be financed or recovered primarily through user charges; or where it has been decided that periodic determination of revenues earned, expenses incurred and/or net income is appropriate for capital maintenance, public policy, management control, accountability or other purpose. Waterworks Fund The Waterworks Fund is used to account for the provision of potable water and water treatment services to the residents of the City. All activities necessary to provide such services are accounted for in this fund, including, but not limited to, administration, operations and maintenance, financing and related debt service, billing and collection. Sewerage Fund The Sewerage Fund is used to account for the provision of sewer repair, treatment, and improvement services to the residents of the City. All activities necessary to provide such services are accounted for in this fund, including, but not limited to, administration, operations and maintenance, financing and related debt service, billing and collection. Commuter Parking Fund The Commuter Parking Fund is used to account for commuter parking facilities operated be the City that are financed by user fees. PENSION TRUST FUND Police Pension Fund The Police Pension Fund is used to account for the accumulation of resources to be used for retirement annuity payments to employees on the police force at appropriate amounts and times in the future. Resources are contributed by employees at rates fixed by law and by the City at amounts determined by an annual actuarial study. ===== PDF PAGE 110 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS General Fund Schedule of Revenues - Budget and Actual For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual Taxes Property Taxes $ 3,708,000 $ 3,533,000 $ 3,655,673 Telecommunications Tax 575,000 575,000 577,082 Amusement Tax 90,000 55,000 88,601 Cannabis Tax - - 15,720 4,373,000 4,163,000 4,337,076 Intergovernmental Sales Tax 3,985,400 3,735,400 4,174,428 Income Tax 2,889,600 2,489,600 2,943,407 Utility Tax 1,442,000 1,342,000 1,369,408 Use Tax 800,000 800,000 1,210,002 MFT Allotments 725,000 725,000 1,643,965 Personal Property Replacement Tax 180,000 150,000 166,337 Grants 4,000 4,000 7,227 10,026,000 9,246,000 11,514,774 Charges for Services Weed Cutting Fees 2,500 2,500 1,870 Brush Collection Fees 106,000 106,000 106,733 Police Counter Service 15,000 15,000 - Police Contractual Services 463,500 338,500 294,345 Change of Occupancy Fees 110,000 110,000 147,486 Rental Inspections 160,000 160,000 169,353 Business Registration 30,000 30,000 26,783 Foreclosed or Vacant Registration 25,000 25,000 24,904 Relocate Fees 5,000 5,000 7,215 Police Towing 35,000 35,000 37,375 Plan Review Fees 20,000 20,000 18,437 Engineering Fees 400,000 400,000 845,098 Transfer Station Fees 650,000 650,000 642,474 Cable Franchise Fee 275,000 275,000 248,100 Arts Commission - - 500 Property Rental - 100,000 175,705 Tower Rental Fees - - 37,819 2,297,000 2,272,000 2,784,197 91 ===== PDF PAGE 111 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS General Fund Schedule of Revenues - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual Licenses and Permits Building Permits $ 500,000 $ 500,000 $ 842,930 Building Contractors Licenses 50,000 50,000 56,900 Oversize Truck Permits 25,000 25,000 42,540 Liquor Licenses 100,000 100,000 4,040 Vending Machine/Business Licenses 75,000 75,000 61,735 Other Licenses and Permits 22,000 22,000 15,569 772,000 772,000 1,023,714 Fines and Forfeits Circuit Court Fines 360,000 210,000 211,527 Local Fines 465,000 260,000 292,183 Seizures - - 467,920 825,000 470,000 971,630 Interest Interest Income 5,000 5,000 3,335 Miscellaneous Cemetery Lot Sales 40,000 40,000 19,500 Other Reimbursements 50,000 50,000 1,773,639 Health Insurance Reimbursements 160,000 160,000 161,877 IPBC and IRMA Revenue 200,000 200,000 (676,808) Other Miscellaneous 100,000 100,000 286,114 550,000 550,000 1,564,322 Total Revenues $ 18,848,000 $ 17,478,000 $ 22,199,048 92 ===== PDF PAGE 112 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS General Fund Schedule of Expenditures - Budget and Actual For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual General Government Legislative $ 225,900 $ 225,900 $ 174,610 Administration 1,243,900 1,598,900 1,018,483 Administrative Services 3,132,200 3,132,200 2,742,838 Public Works 3,675,100 3,675,100 3,073,224 Community Development 1,499,500 1,499,500 1,247,307 9,776,600 10,131,600 8,256,462 Public Safety Police Department 10,874,800 10,874,800 10,388,620 Debt Service Interest and Fiscal Charges - - 955 Total Expenditures $ 20,651,400 $ 21,006,400 $ 18,646,037 93 ===== PDF PAGE 113 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS General Fund Schedule of Detailed Expenditures - Budget and Actual For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual General Government Legislative Personal Services Salary of Aldermen $ 33,600 $ 33,600 $ 22,575 Salary of Mayor 15,000 15,000 15,250 Salary of Corporate Counsel 3,000 3,000 2,875 Salary of City Clerk 4,500 4,500 4,575 FICA and Medicare 4,100 4,100 3,244 Contractual Services Legal Fees 40,000 40,000 40,540 Consultants 1,000 1,000 - Training and Tuition 3,000 3,000 - Memberships/Dues/Subscriptions 45,000 45,000 19,545 Legal Notices 1,500 1,500 28 Printing and Binding 10,000 10,000 2,926 Legal Reporter Fees 500 500 - Commodities Computer and Office Supplies 800 800 10 Postage 700 700 - Miscellaneous Commodities 2,500 2,500 2,241 Grant Distribution 60,000 60,000 60,000 Other Charges 700 700 801 Total Legislative 225,900 225,900 174,610 94 ===== PDF PAGE 114 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS General Fund Schedule of Detailed Expenditures - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual General Government - Continued Administration Personal Services Administrative Salaries $ 178,200 $ 178,200 $ 183,796 FICA and Medicare 13,800 13,800 11,648 ICMA 9,500 9,500 9,849 IMRF 20,400 20,400 20,545 Contractual Services Legal Fees 6,000 6,000 11,652 Newsletter Preparation 30,000 30,000 21,004 Training and Tuition 3,500 3,500 214 Memberships/Dues/Subscriptions 5,600 5,600 5,903 Software Maintenance 11,700 11,700 9,648 Telephone and Alarms 21,000 21,000 63,776 Electric 1,000 1,000 869 Printing and Binding 5,000 5,000 - Advertising 35,000 35,000 2,028 Other Contractual Services 810,000 1,165,000 392,248 IRMA General Insurance 3,800 3,800 3,900 Commodities Sales Tax Rebate 60,000 60,000 92,933 Computer and Office Supplies 1,300 1,300 6,170 Gallery 200 6,000 6,000 3,000 Arts Programming Supplies 15,000 15,000 2,483 Special Events 500 500 - Gas and Oil 1,000 1,000 371 Postage 100 100 - Miscellaneous 5,000 5,000 50,592 Other Charges 500 500 125,854 Total Administration 1,243,900 1,598,900 1,018,483 95 ===== PDF PAGE 115 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS General Fund Schedule of Detailed Expenditures - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual General Government - Continued Administrative Services Personal Services Administrative Salaries $ 376,800 $ 376,800 $ 373,460 Administrative Salaries - Overtime 300 300 - FICA and Medicare 29,000 29,000 26,498 ICMA 7,000 7,000 6,862 Health/Dental/Life Insurance 1,903,000 1,903,000 1,790,417 IMRF 43,300 43,300 42,654 Contractual Services Legal Fees 36,500 36,500 9,718 Audit Fees 15,500 15,500 15,500 Consultants 162,000 162,000 188,843 Network Charges 15,100 15,100 12,098 Pre-Employment Exams 25,000 25,000 5,527 Training and Tuition 10,000 10,000 2,092 Memberships/Dues/Subscriptions 3,400 3,400 1,929 Software Maintenance 160,500 160,500 120,018 Telephone and Alarms 20,400 20,400 32,693 Advertising 1,500 1,500 140 Other Contractual Services 34,000 34,000 17,892 IRMA General Insurance 3,800 3,800 3,900 Office Equipment Maintenance and Repair 21,600 21,600 10,959 Postage Meter Rental 1,600 1,600 1,750 Copier Fees 1,100 1,100 958 Commodities Computer and Office Supplies 12,500 12,500 4,640 Gas and Oil 100 100 - Postage 6,000 6,000 3,675 Miscellaneous Commodities 600 600 - Safety Program 4,100 4,100 2,249 Special Events 6,000 6,000 7,137 Bank Fees 10,000 10,000 7,037 Other Charges 200 200 - 96 ===== PDF PAGE 116 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS General Fund Schedule of Detailed Expenditures - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual General Government - Continued Administrative Services - Continued Capital Outlay Other Capital Outlay $ 179,300 $ 179,300 $ 31,260 MIS Replacement 42,000 42,000 22,932 Total Administrative Services 3,132,200 3,132,200 2,742,838 Public Works Personal Services Administrative Salaries 217,400 217,400 209,800 Operating Salaries 679,300 679,300 599,638 Administrative Salaries - Overtime 75,000 75,000 52,283 FICA and Medicare 74,400 74,400 65,306 IMRF 111,300 111,300 97,919 Contractual Services Legal Fees 1,000 1,000 12,248 Legal Notices 100 100 - Pre-employment Exams 500 500 915 Training and Tuition 3,500 3,500 4,350 Memberships/Dues/Subscriptions 1,300 1,300 1,232 Telephone and Alarms 50,000 50,000 76,891 Interments Program 20,000 20,000 22,050 Brush Pickup 96,800 96,800 96,775 Grounds Maintenance 55,000 55,000 49,405 Cemetery Maintenance 7,200 7,200 7,200 Janitor Contract 41,600 41,600 39,565 Heating Gas 7,000 7,000 3,662 Electric 135,000 135,000 187,314 Refuse Disposal 45,000 45,000 21,187 Other Contractual Services 135,000 135,000 48,436 97 ===== PDF PAGE 117 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS General Fund Schedule of Detailed Expenditures - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual General Government - Continued Public Works - Continued Contractual Services - Continued IRMA General Insurance $ 54,200 $ 54,200 $ 54,300 Other Insurance 16,000 16,000 21,154 Payment to Taxing Bodies 175,000 175,000 174,391 Vehicle Maintenance and Repair 40,000 40,000 61,120 Commodities Computer and Office Supplies 3,500 3,500 1,759 Parts for Vehicles 175,000 175,000 171,698 Tools and Equipment 77,500 77,500 44,343 Gas and Oil 66,500 66,500 36,468 Postage 100.00 100 27 Uniforms and Safety Equipment 15,100.00 15,100 16,804 Miscellaneous 82,200.00 82,200 90,519 Capital Outlay Vehicles 456,600 456,600 456,600 Street Improvements 757,000 757,000 347,865 Total Public Works 3,675,100 3,675,100 3,073,224 98 ===== PDF PAGE 118 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS General Fund Schedule of Detailed Expenditures - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual General Government - Continued Community Development Personal Services Commissions Salary $ 1,000 $ 1,000 $ 530 Administrative Salaries 525,000 525,000 410,707 FICA and Medicare 40,500 40,500 30,394 IMRF 60,200 60,200 46,484 Contractual Services Legal Fees 70,000 70,000 31,703 Training and Tuition 4,800 4,800 - Memberships/Dues/Subscriptions 3,400 3,400 2,064 Enforcement & Inspections 345,000 345,000 352,350 Plan Review 150,000 150,000 146,217 Software Maintenance 11,800 11,800 12,044 Legal Notices 3,200 3,200 2,411 Telephone and Alarms 57,000 57,000 92,243 Weed Cutting 4,000 4,000 2,513 Printing and Binding 3,200 3,200 1,512 Legal Reporter 8,000 8,000 7,759 Filing Fees 3,000 3,000 3,429 Microfiche Expenses 7,000 7,000 3,572 Other Contractual Services 109,100 109,100 60,989 IRMA General Insurance 5,400 5,400 7,445 Copier Fees 1,000 1,000 811 Commodities Computer and Office Supplies 2,600 2,600 2,017 Maps and Plats 500 500 209 Gas and Oil 1,000 1,000 165 Postage 800 800 31 Uniforms and Safety Equipment 300 300 - Miscellaneous Commodities 500 500 - Special Events 75,800 75,800 21,764 Prospect Development 1,000 1,000 - Other Charges 700 700 184 99 ===== PDF PAGE 119 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS General Fund Schedule of Detailed Expenditures - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual General Government - Continued Community Development - Continued Capital Outlay Office Equipment $ 2,300 $ 2,300 $ 6,360 Vehicles 1,400 1,400 1,400 Total Community Development 1,499,500 1,499,500 1,247,307 Total General Government 9,776,600 10,131,600 8,256,462 Public Safety Police Department Personal Services Administrative Salaries 693,500 693,500 714,977 Patrolman Salaries 3,872,300 3,872,300 3,493,146 Sergeants Salaries 745,300 745,300 750,755 CSO Salaries 169,700 169,700 113,566 Contract Services Salaries 10,000 10,000 461 Administrative Services - Overtime 430,000 430,000 412,946 CSO - Overtime 10,000 10,000 2,757 FICA and Medicare 443,100 443,100 407,883 Police Pension 2,662,500 2,662,500 2,662,500 IMRF 47,700 47,700 42,323 Contractual Services Legal Fees 113,000 113,000 86,299 Training and Tuition 56,900 56,900 18,203 Officer Training and Mileage 4,000 4,000 - Memberships/Dues/Subscriptions 18,100 18,100 12,571 Software Maintenance 66,500 66,500 20,660 Telephone and Alarms 104,100 104,100 249,751 Printing and Binding 7,000 7,000 4,512 Grounds Maintenance 1,200 1,200 1,015 DuComm Quarterly Share 416,200 416,200 410,944 Other Contractual Services 126,200 126,200 141,034 Graffiti Removal 12,000 12,000 9,203 100 ===== PDF PAGE 120 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS General Fund Schedule of Detailed Expenditures - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual Public Safety - Continued Police Department - Continued Contractual Services - Continued Reception Support $ 138,000 $ 138,000 $ 122,003 Crossing Guard - Contractual 36,000 36,000 13,296 IRMA General Insurance 206,500 206,500 206,855 Other Insurance 10,000 10,000 14,170 Radio/Radar Equipment Maint. and Repai 17,800 17,800 19,955 Office Equipment and Repair 11,300 11,300 9,097 Postage Meter Rental 1,200 1,200 1,217 Copier Fees 6,700 6,700 8,858 Commodities Computer and Office Supplies 5,000 5,000 2,215 Field Equipment 8,000 8,000 15,785 Gas and Oil 77,100 77,100 47,048 Postage 6,000 6,000 8,039 Uniform and Safety Equipment 88,800 88,800 64,873 Vehicle License Fees 1,400 1,400 654 First Aid Supplies 1,900 1,900 411 Ammunition and Firearms 52,800 52,800 27,586 Educational Programming 10,000 10,000 4,165 Cert Supplies 5,000 5,000 - Miscellaneous Commodities 14,800 14,800 12,901 Tools and Equipment 100 100 - Capital Outlay Vehicles 167,100 167,100 167,100 Other Capital Outlay - - 86,886 Total Public Safety 10,874,800 10,874,800 10,388,620 Debt Service Interest and Fiscal Charges - - 955 Total Expenditures $ 20,651,400 $ 21,006,400 $ 18,646,037 101 ===== PDF PAGE 121 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Capital Improvement - Capital Projects Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual Revenues Taxes Utility Taxes $ 850,000 $ 850,000 $ 714,075 Intergovernmental Sales Taxes 2,703,000 2,378,000 2,779,092 Interest Income 2,000 2,000 996 Miscellaneous 4,200 4,200 109,832 Total Revenues 3,559,200 3,234,200 3,603,995 Expenditures Capital Outlay 4,940,800 4,940,800 2,410,462 Net Change in Fund Balance $ (1,381,600) $ (1,706,600) 1,193,533 Fund Balance - Beginning 3,068,391 Fund Balance - Ending $ 4,261,924 102 ===== PDF PAGE 122 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Capital Improvement - Capital Projects Fund Schedule of Expenditures - Budget and Actual For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual Capital Outlay Administrative Salaries $ 143,600 $ 143,600 $ 149,054 Operational Salaries 186,000 186,000 177,888 Administrative Salaries - Overtime 20,000 20,000 13,609 FICA and Medicare 26,800 26,800 25,206 Health/Dental/Life Insurance 43,300 43,300 41,388 IMRF 40,000 40,000 38,416 Legal Fees - - 16,018 Auditing Fees 3,700 3,700 3,700 Legal Notices 1,000 1,000 84 Other Contractual Services 943,900 943,900 932,363 Traffic Signal Maintenance 25,000 25,000 29,415 Street Light Maintenance 30,000 30,000 26,636 IRMA General Insurance 5,200 5,200 5,200 Sales Tax Rebate 60,000 60,000 55,632 Materials 21,000 21,000 40,637 Street Patch Materials 1,000 1,000 - Street Paint 2,000 2,000 2,015 Ice Control Materials 30,000 30,000 23,355 Storm Sewer Repair 25,000 25,000 6,892 Rock Salt 415,700 415,700 221,110 Bit Patch Cold 8,000 8,000 5,062 Bit Patch Hot 45,000 45,000 25,500 Building and Grounds Improvements 40,000 40,000 45,270 Street Improvements 1,445,400 1,445,400 44,411 Land 250,000 250,000 - Other Capital Outlay 1,129,200 1,129,200 481,601 Total Expenditures $ 4,940,800 $ 4,940,800 $ 2,410,462 103 ===== PDF PAGE 123 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Nonmajor Governmental Funds Combining Balance Sheet December 31, 2020 Special Capital Revenue Projects TIF TIF Capital Special Tax Special Tax Equipment Allocation #2 Allocation #3 Replacement Totals ASSETS Cash and Investments $ 144,561 $ 38,428 $ 2,448,447 $ 2,631,436 Receivables - Net of Allowances Property Taxes 19,887 21,262 - 41,149 Total Assets 164,448 59,690 2,448,447 2,672,585 LIABILITIES Accounts Payable - - 172,020 172,020 DEFERRED INFLOWS OF RESOURCES Property Taxes 19,887 21,262 - 41,149 Total Liabilities and Deferred Inflows of Resources 19,887 21,262 172,020 213,169 FUND BALANCES Restricted 144,561 38,428 - 182,989 Assigned - - 2,276,427 2,276,427 Total Fund Balances 144,561 38,428 2,276,427 2,459,416 Total Liabilities, Deferred Inflows of Resources and Fund Balances $ 164,448 $ 59,690 $ 2,448,447 $ 2,672,585 104 ===== PDF PAGE 124 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Nonmajor Governmental Funds Combining Statement of Revenues, Expenditures and Changes in Fund Balances For the Fiscal Year Ended December 31, 2020 Special Capital Revenue Projects TIF TIF Capital Special Tax Special Tax Equipment Allocation #2 Allocation #3 Replacement Totals Revenues Taxes $ 18,719 $ 16,549 $ - $ 35,268 Charges for Services - - 953,800 953,800 Interest Income - - 399 399 Miscellaneous - - 41,485 41,485 Total Revenues 18,719 16,549 995,684 1,030,952 Expenditures Capital Outlay 58,062 - 397,553 455,615 Net Change in Fund Balances (39,343) 16,549 598,131 575,337 Fund Balances - Beginning 183,904 21,879 1,678,296 1,884,079 Fund Balances - Ending $ 144,561 $ 38,428 $ 2,276,427 $ 2,459,416 105 ===== PDF PAGE 125 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS TIF Special Tax Allocation #2 - Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual Revenues Taxes Property Taxes $ 13,500 $ 13,500 $ 18,719 Expenditures General Government Capital Outlay Prospect Development 100,000 100,000 58,062 Net Change in Fund Balance $ (86,500) $ (86,500) (39,343) Fund Balance - Beginning 183,904 Fund Balance - Ending $ 144,561 106 ===== PDF PAGE 126 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Capital Equipment Replacement - Capital Projects Fund Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual Revenues Charges for Services $ 953,800 $ 953,800 $ 953,800 Interest Income 400 400 399 Miscellaneous - - 41,485 Total Revenues 954,200 954,200 995,684 Expenditures Capital Outlay Vehicles 1,641,300 1,641,300 397,553 Net Change in Fund Balance $ (687,100) $ (687,100) 598,131 Fund Balance - Beginning 1,678,296 Fund Balance - Ending $ 2,276,427 107 ===== PDF PAGE 127 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Waterworks - Enterprise Fund Schedule of Revenues, Expenses and Changes in Net Position - Budget and Actual For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual Operating Revenues Charges for Services Water Service $ 4,500,000 $ 4,500,000 $ 3,389,761 Operating Expenses Operations Water Distribution 4,716,800 4,716,800 3,001,732 Water Treatment Plant 2,865,400 2,865,400 2,176,499 Depreciation - - 1,968,776 Total Operating Expenses 7,582,200 7,582,200 7,147,007 Operating (Loss) (3,082,200) (3,082,200) (3,757,246) Nonoperating Revenues (Expenses) Connection Fees 23,500 23,500 32,944 Interest Income 1,000 1,000 705 Other Income 91,000 91,000 415,492 Principal Retirement (626,200) (626,200) - Interest Expense (80,800) (80,800) (76,322) (591,500) (591,500) 372,819 Change in Net Position $ (3,673,700) $ (3,673,700) (3,384,427) Net Position - Beginning 68,689,260 Net Position - Ending $ 65,304,833 108 ===== PDF PAGE 128 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Waterworks - Enterprise Fund Schedule of Operating Expenses - Budget and Actual For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual Water Distribution Personal Services Administrative Salaries $ 558,000 $ 558,000 $ 588,682 Operational Salaries 441,500 441,500 465,104 Administrative Salaries - Overtime 35,000 35,000 39,513 FICA and Medicare 79,200 79,200 78,074 ICMA 6,900 6,900 6,983 Health/Dental/Life Insurance 453,800 453,800 427,755 Unemployement Insurance - - 1,053 IMRF 118,400 118,400 119,855 Contractual Services Legal Fees 35,000 35,000 59,465 Auditing Fees 13,100 13,100 13,100 JULIE System 2,200 2,200 2,216 Consultants 100,000 100,000 105,834 Pre-Employment Exams 600 600 590 Training and Tuition 3,000 3,000 2,397 Memberships/Dues/Subscriptions 2,500 2,500 258 Software Maintenance 8,000 8,000 9,024 Legal Notices 500 500 - Telephone and Alarms 30,100 30,100 89,762 Heating and Gas 2,500 2,500 2,004 Electric 320,000 320,000 357,174 Lab Results 7,000 7,000 6,591 Printing and Binding 2,100 2,100 2,787 Grounds Maintenance 8,700 8,700 7,125 Other Contractual Services 250,000 250,000 29,855 IRMA General Insurance 98,200 98,200 98,300 Other Insurance - - 3,000 Sales Tax Rebate - - 25,000 Vehicle Maintenance and Repair 8,000 8,000 6,963 Building Maintenance and Repair 92,000 92,000 547 Distribution System Maintenance and Repair 57,000 57,000 71,023 Pump Station Maintenance and Repair 460,000 460,000 45,656 Reservoir Maintenance and Repair 45,000 45,000 14,854 Postage Meter Rental 1,400 1,400 1,806 109 ===== PDF PAGE 129 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Waterworks - Enterprise Fund Schedule of Operating Expenses - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual Water Distribution - Continued Commodities Copier Rental $ 500 $ 500 $ 885 Computer and Office Supplies 6,500 6,500 2,717 Parts for Vehicles 20,000 20,000 22,735 Tools and Equipment 10,000 10,000 8,257 Gas and Oil 20,000 20,000 13,508 Postage 5,000 5,000 4,173 Uniforms and Safety Equipment 8,700 8,700 8,977 Parts and Equipment - Wells 27,000 27,000 5,102 Parts and Equipment - Distribution 45,000 45,000 67,288 Parts and Equipment - Pump Station 10,000 10,000 10,113 Lab Supplies 500 500 - Water Meters 30,000 30,000 26,294 Miscellaneous Commodities 8,500 8,500 9,184 Bank Fees 15,000 15,000 12,249 Capital Outlay Vehicles 127,900 127,900 127,900 Other Capital Outlay 1,117,500 1,117,500 - MIS Replacement 25,000 25,000 - Total Water Distribution 4,716,800 4,716,800 3,001,732 Water Treatment Plant Personal Services Administrative Salaries 206,800 206,800 212,973 Operational Salaries 470,100 470,100 413,648 Administrative Salaries - Overtime 70,000 70,000 74,741 FICA and Medicare 57,200 57,200 53,023 IMRF 85,500 85,500 (370,618) OPEB Pension Expense - - 194,590 Contractual Services Training and Tuition 1,000 1,000 522 Memberships/Dues/Subscriptions 500 500 399 Telephone and Alarms 27,800 27,800 85,313 110 ===== PDF PAGE 130 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Waterworks - Enterprise Fund Schedule of Operating Expenses - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual Water Treatment Plant - Continued Contractual Services - Continued Heating and Gas $ 4,000 $ 4,000 $ 3,763 Electric 150,000 150,000 142,235 Lab Results 2,000 2,000 2,170 Grounds Maintenance 27,500 27,500 21,151 Janitorial Service 22,000 22,000 20,870 Refuse Disposal 700,000 700,000 701,686 Other Contractual Services 19,000 19,000 19,912 IRMA General Insurance 36,200 36,200 36,200 Building Maintenance and Repair 20,000 20,000 22,910 WTP Operations Repair 43,000 43,000 38,498 Copier Rental 5,000 5,000 1,891 Equipment Rental 3,000 3,000 1,950 Commodities Computer and Office Supplies 1,000 1,000 568 Parts for Vehicles 2,000 2,000 463 Tools and Equipment 2,000 2,000 1,529 Gas and Oil 2,000 2,000 3,135 Uniforms and Safety Equipment 4,700 4,700 5,545 Parts for Building Repairs 5,000 5,000 18,699 Lab Supplies 13,000 13,000 13,632 Chemicals 450,000 450,000 419,269 Parts for WTP Operations 10,000 10,000 13,400 Miscellaneous Commodities 1,500 1,500 2,267 Capital Outlay Vehicles 4,600 4,600 4,600 Other Capital Outlay 419,000 419,000 167,383 2,865,400 2,865,400 2,328,317 Less Nonoperating Items Capital Assets Capitalized - - (151,818) Total Water Treatment Plant 2,865,400 2,865,400 2,176,499 Total Operating Expenses $ 7,582,200 $ 7,582,200 $ 5,178,231 111 ===== PDF PAGE 131 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Sewerage - Enterprise Fund Schedule of Revenues, Expenses and Changes in Net Position - Budget and Actual For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual Operating Revenues Charges for Services Sewer Service $ 5,300,000 $ 5,300,000 $ 3,595,554 Operating Expenses Operations Wastewater Treatment - - 35,558 Sanitary Sewer Collection 8,163,000 8,616,800 5,523,790 Special Service Area #2 63,800 63,800 14,373 Depreciation - - 320,765 Total Operating Expenses 8,226,800 8,680,600 5,894,486 Operating (Loss) (2,926,800) (3,380,600) (2,298,932) Nonoperating Revenues (Expenses) Connection Fees 25,000 25,000 45,680 Property Taxes 9,000 9,000 9,916 Interest Income 1,000 1,000 833 Other Income 73,600 73,600 (63,024) Interest and Fiscal Charges - - (955) Disposal of Capital Assets - - 2,336 108,600 108,600 (5,214) Change in Net Position $ (2,818,200) $ (3,272,000) (2,304,146) Net Position - Beginning 11,608,221 Net Position - Ending $ 9,304,075 112 ===== PDF PAGE 132 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Sewerage - Enterprise Fund Schedule of Operating Expenses - Budget and Actual For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual Wastewater Treatment Personal Services Administrative Services $ - $ - $ 30,231 FICA and Medicare - - 1,986 IMRF - - 3,341 Total Wastewater Treatment - - 35,558 Sanitary Sewer Collection Personal Services Administrative Salaries 582,300 582,300 613,977 Operational Salaries 611,800 611,800 607,078 Administrative Salaries - Overtime 50,000 50,000 42,927 FICA and Medicare 95,200 95,200 93,701 ICMA 6,900 6,900 6,983 Health/Dental/Life Insurance - 453,800 427,757 Unemployement Insurance - - 1,053 IMRF 142,400 142,400 (183,291) OPEB Pension Expense - - 194,596 Contractual Services Legal Fees 15,000 15,000 7,754 Auditing Fees 7,400 7,400 7,400 JULIE System 2,200 2,200 2,216 Consultants 100,000 100,000 105,834 Training and Tuition 6,000 6,000 990 Software Maintenance 12,000 12,000 13,579 Telephone and Alarms 20,400 20,400 68,492 Heating Gas 6,000 6,000 5,748 Electric 50,000 50,000 42,956 Grounds Maintenance 3,900 3,900 3,395 Other Contractual Services 3,150,000 3,150,000 2,991,931 IRMA General Insurance 103,400 103,400 103,400 Sales Tax Rebate - - 25,000 Vehicle Maintenance and Repair 10,000 10,000 13,686 Lift Station Maintenance and Repair 105,000 105,000 37,599 Sewer Main Maintenance and Repair 875,000 875,000 - Postage Meter Rental 1,400 1,400 1,803 113 ===== PDF PAGE 133 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Sewerage - Enterprise Fund Schedule of Operating Expenses - Budget and Actual - Continued For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual Sanitary Sewer Collection - Continued Commodities Copier and Rental $ 500 $ 500 $ 885 Computer and Office Supplies 5,000 5,000 2,775 Parts for Vehicles 25,000 25,000 16,500 Tools and Equipment 12,000 12,000 7,739 Gas and Oil 15,000 15,000 8,832 Postage 2,000 2,000 1,640 Chemicals 1,500 1,500 1,912 Parts for Lift Stations 25,000 25,000 16,237 Material for Trench Backfill 5,000 5,000 3,834 Parts for Mains 3,000 3,000 6,461 Miscellaneous Commodities 8,000 8,000 11,963 Bank Fees 13,500 13,500 12,248 Capital Outlay Vehicles 196,200 196,200 196,200 Other Capital Outlay 1,895,000 1,895,000 75,020 8,163,000 8,616,800 5,598,810 Less Nonoperating Items Capital Assets Capitalized - - (75,020) Total Sanitary Sewer Collection 8,163,000 8,616,800 5,523,790 Special Service Area #2 Personal Service Operational Salaries 5,000 5,000 4,536 Administrative Salaries - Overtime 200 200 71 FICA and Medicare 400 400 354 IMRF 600 600 526 Commodities Electric 5,000 5,000 5,306 Grounds Maintenance 2,600 2,600 3,580 Capital Outlay Other Capital Outlay 50,000 50,000 - Total Special Service Area #2 63,800 63,800 14,373 Total Operating Expenses $ 8,226,800 $ 8,680,600 $ 5,573,721 114 ===== PDF PAGE 134 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Commuter Parking - Enterprise Schedule of Revenues, Expenses and Changes in Net Position - Budget and Actual For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual Operating Revenues Charges for Services Parking Fees $ 80,000 $ 80,000 $ 18,865 Licenses and Permits Parking Permits 68,000 68,000 25,437 Total Operating Revenues 148,000 148,000 44,302 Operating Expenses Operations 201,000 201,000 86,087 Depreciation - - 13,925 Total Operating Expenses 201,000 201,000 100,012 Operating (Loss) (53,000) (53,000) (55,710) Nonoperating Revenues Other Income - - 131 Change in Net Position $ (53,000) $ (53,000) (55,579) Net Position - Beginning 639,259 Net Position - Ending $ 583,680 115 ===== PDF PAGE 135 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Commuter Parking - Enterprise Fund Schedule of Operating Expenses - Budget and Actual For the Fiscal Year Ended December 31, 2020 Budget Original Final Actual Operations Personal Services Administrative Salaries $ 8,100 $ 8,100 $ 8,424 Operational Salaries 12,100 12,100 12,811 Administrative Salaries Overtime 1,000 1,000 1,365 FICA and Medicare 1,700 1,700 1,727 IMRF 2,700 2,700 (2,362) Contractual Services Auditing Fees 1,300 1,300 1,300 Telephone and Alarms 2,000 2,000 5,736 Electric 20,000 20,000 16,133 Printing and Binding 400 400 380 Grounds Maintenance 5,100 5,100 4,440 Janitorial Services 3,600 3,600 845 Contractual Services 25,000 25,000 10,216 Commodities Postage 1,000 1,000 935 Miscellaneous Commodities 3,000 3,000 1,093 Bank Fees 6,000 6,000 3,074 Capital Outlay Building and Ground Improvements 108,000 108,000 19,970 Total Operations $ 201,000 $ 201,000 $ 86,087 116 ===== PDF PAGE 136 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Consolidated Year-End Financial Report December 31, 2020 CSFA # Program Name State Federal Other Totals 494-00-0967 High-Growth Cities Program $ 63,245 $ - $ - $ 63,245 494-00-1488 Motor Fuel Tax Program 170,938 - - 170,938 494-10-0343 State and Community Highway Safety/ National Priority Safety Program - 275 - 275 494-42-0495 Local Surface Transportation Program - - 320,052 320,052 Other Grant Programs and Activities - 1,535,257 5,037 1,540,294 All Other Costs Not Allocated - - 34,879,642 34,879,642 Totals $ 234,183 $ 1,535,532 $ 35,204,731 $ 36,974,446 117 ===== PDF PAGE 137 ===== [Extraction: OCR (rendered-page OCR)] SUPPLEMENTAL SCHEDULE ===== PDF PAGE 138 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Long-Term Debt Requirements IEPA Waterworks Revolving Loan December 31, 2020 Date of Issue October 8, 2002 Date of Maturity September 9, 2024 Authorized Issue $11,000,000 Interest Rate 2.57% Interest Dates March 9 and September 9 Principal Maturity Dates March 9 and September 9 Payable at Illinois Environmental Protection Agency CURRENT AND LONG-TERM PRINCIPAL AND INTEREST REQUIREMENTS Fiscal Year Principal Interest Totals 2021 $ 642,320 $ 64,536 $ 706,856 2022 658,933 47,923 706,856 2023 675,977 30,879 706,856 2024 693,461 13,395 706,856 $ 2,670,691 $ 156,733 $ 2,827,424 118 ===== PDF PAGE 139 ===== [Extraction: embedded PDF text] STATISTICAL SECTION (Unaudited) This part of the comprehensive annual financial report presents detailed information as a context for understanding what the information in the financial statements, note disclosures, and required supplementary information says about the City’s overall financial health. Financial Trends These schedules contain trend information to help the reader understand how the City’s financial performance and well-being have changed over time. Revenue Capacity These schedules contain information to help the reader assess the City’s most significant local revenue sources. Debt Capacity These schedules present information to help the reader assess the affordability of the City’s current levels of outstanding debt and the City’s ability to issue additional debt in the future. Demographic and Economic Information These schedules offer demographic and economic indicators to help the reader understand the environment within which the City’s financial activities take place. Operating Information These schedules contain service and infrastructure data to help the reader understand how the information in the City’s financial report relates to the services the City provides and the activities it performs. ===== PDF PAGE 140 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Net Position by Component - Last Ten Fiscal Years December 31, 2020 (Unaudited) 2011 2012 2013 2014 Governmental Activities Net Investment in Capital Assets $ 89,692,289 $ 88,988,913 $ 87,923,548 $ 55,050,037 Restricted 1,708,723 2,340,095 2,335,435 3,218,725 Unrestricted 16,795,258 12,681,105 13,063,574 12,673,884 Total Governmental Activities Net Position 108,196,270 104,010,113 103,322,557 70,942,646 Business-Type Activities Net Investment in Capital Assets 52,523,108 53,326,830 56,991,020 102,204,573 Restricted 4,435,213 3,614,442 760,002 1,040,810 Unrestricted 4,383,915 3,913,218 3,062,891 3,785,237 Total Business-Type Activities Net Position 61,342,236 60,854,490 60,813,913 107,030,620 Primary Government Net Investment in Capital Assets 142,215,397 142,315,743 144,914,568 157,254,610 Restricted 6,143,936 5,954,537 3,095,437 4,259,535 Unrestricted 21,179,173 16,594,323 16,126,465 16,459,121 Total Primary Government Net Position $ 169,538,506 $ 164,864,603 $ 164,136,470 $ 177,973,266 Data Source: City Records 119 ===== PDF PAGE 141 ===== [Extraction: embedded PDF text] 2015 2016 2017 2018 2019 2020 $ 55,619,533 $ 54,867,141 $ 49,943,090 $ 54,014,124 $ 54,970,284 $ 53,700,103 3,305,503 2,636,828 2,216,378 2,944,399 3,615,057 5,316,225 (9,065,624) (10,545,812) (12,294,029) (15,056,308) (17,252,817) (13,606,301) 49,859,412 46,958,157 39,865,439 41,902,215 41,332,524 45,410,027 103,770,812 104,429,071 105,803,874 105,354,380 95,532,108 94,081,605 1,088,552 2,409 - - 180,321 180,321 2,453,473 1,383,690 (554,848) (10,658,958) (14,775,689) (19,069,338) 107,312,837 105,815,170 105,249,026 94,695,422 80,936,740 75,192,588 159,390,345 159,296,212 155,746,964 159,368,504 150,502,392 147,781,708 4,394,055 2,639,237 2,216,378 2,944,399 3,795,378 5,496,546 (6,612,151) (9,162,122) (12,848,877) (25,715,266) (32,028,506) (32,675,639) $ 157,172,249 $ 152,773,327 $ 145,114,465 $ 136,597,637 $ 122,269,264 $ 120,602,615 120 ===== PDF PAGE 142 ===== [Extraction: embedded PDF text] - - 2020 12,085,019 10,448,934 49,692 1,170,904 1,115 23,755,664 7,223,329 5,895,441 100,012 13,218,782 36,974,446 3,433,651 1,345,890 953,800 7,227 1,643,965 7,384,533 3,422,705 3,641,234 44,302 7,108,241 14,492,774 $ $ - 2019 128,544 895,088 7,513,121 3,934,811 4,678,920 150,690 219,837 8,984,258 16,497,379 9,256,029 12,429,913 49,692 5,193,137 250 26,929,021 6,710,153 5,776,914 114,234 12,601,301 39,530,322 4,041,799 1,551,190 896,500 $ $ - - - 2018 1,759,322 194,395 732,621 6,046,666 1,163,807 3,106,749 158,493 355,577 4,784,626 10,831,292 13,667,469 10,121,701 339 23,789,509 6,936,383 6,822,477 127,980 13,886,840 37,676,349 3,082,228 278,100 $ $ - - - 2017 1,257,271 3,820 704,074 5,181,341 4,423,819 6,218,263 141,988 645,461 11,429,531 16,610,872 13,329,708 11,092,178 407 24,422,293 6,208,086 6,061,776 113,075 12,382,937 36,805,230 2,365,076 851,100 $ $ - - - - 2016 1,297,112 15,150 716,433 5,620,015 4,430,455 6,070,820 139,977 10,641,252 16,261,267 13,704,876 11,555,771 518 25,261,165 6,923,648 6,552,406 99,935 13,575,989 38,837,154 2,810,520 780,800 $ $ - - - 2015 1,400,121 19,280 688,950 5,296,600 4,581,798 5,768,370 139,635 1,051,704 11,541,507 16,838,107 13,280,738 12,524,954 608 25,806,300 6,211,353 6,075,753 91,985 12,379,091 38,185,391 2,391,549 796,700 $ $ - - 121 2014 11,058,516 1,955,626 12,592 9,701,162 1,195 22,729,091 5,812,503 5,888,300 140,431 11,841,234 34,570,325 2,018,188 788,000 1,178,937 51,746 930,849 4,967,720 4,889,559 6,022,231 137,147 11,048,937 16,016,657 $ $ - - - 2013 8,912,745 9,388,129 4,103,870 1,769 22,406,513 6,136,247 6,073,613 84,748 12,294,608 34,701,121 2,007,405 1,373,123 1,557,400 150,805 806,014 5,894,747 4,218,252 5,328,023 131,813 9,678,088 15,572,835 $ $ - - 2012 9,184,108 6,730,139 83,232 8,851,135 38,097 24,886,711 6,816,837 6,602,525 112,319 13,531,681 38,418,392 1,899,106 1,419,816 181,074 819,317 4,319,313 4,707,616 5,492,604 133,077 1,317,363 11,650,660 15,969,973 $ $ - - 2011 8,797,675 1,591,915 193,879 8,399,317 40,332 19,023,118 5,999,102 7,596,138 127,748 13,722,988 32,746,106 2,246,202 1,448,786 78,140 792,266 4,565,394 4,720,319 5,591,347 124,830 2,633,360 13,069,856 17,635,250 Years $ $ ILLINOIS FiscalTen Activities Activities Activities Debt Last - Position Government Government (Unaudited) Revenues Expenses Net Recreation Highways Revenues ParkingCHICAGO, Revenues Activities Activities Services Recreation Primary Primary Activities Services Highways Government Parking Long-Term Position and and Grants/Contributions Safety Program Expenses 2020 Business-Type Governmental Business-Type for Activities Government and on Governmental Grants/Contributions for Grants/Contributions and Safety Net Total Program Program Total Activities Activities 31,WEST in Total Total Revenues General Public Culture Streets Total Waterworks Sewerage Commuter TotalOF General Public Culture Streets Interest Waterworks Sewerage Commuter Charges Operating Capital Charges Capital Governmental Business-Type Governmental Business-TypeCITY Changes December Expenses Program ===== PDF PAGE 143 ===== [Extraction: embedded PDF text] - - - 2020 (16,371,131) (6,110,541) (22,481,672) 4,713,460 577,082 88,601 15,720 8,163,522 2,943,407 166,337 2,083,483 6,086 1,690,936 20,448,634 9,916 1,538 354,935 366,389 20,815,023 4,077,503 (5,744,152) (1,666,649) $ $ - - 2019 (19,415,900) (3,617,043) (23,032,943) 4,666,636 562,050 79,390 7,470,171 2,883,008 198,860 2,205,508 25,729 732,686 22,171 18,846,209 8,882 7,598 428,265 (10,586,384) (10,141,639) 8,704,570 (569,691) (13,758,682) (14,328,373) $ $ - - - - 2018 (17,742,843) (9,102,214) (26,845,057) 4,623,840 669,750 94,615 6,871,960 2,593,920 152,578 2,070,351 12,224 637,785 17,727,023 9,049 8,095 584,062 601,206 18,328,229 (15,820) (8,501,008) (8,516,828) $ $ - - - - 2017 (19,240,952) (953,406) (20,194,358) 4,489,622 759,135 103,978 6,178,849 2,487,827 173,517 1,909,065 13,271 560,955 16,676,219 8,907 6,878 371,477 387,262 17,063,481 (2,564,733) (566,144) (3,130,877) $ $ - - - 2016 (19,641,150) (2,934,737) (22,575,887) 4,448,829 806,698 108,211 4,544,609 2,636,660 160,396 1,994,900 6,983 2,032,609 16,739,895 8,894 1,185,841 2,660 239,675 1,437,070 18,176,965 (2,901,255) (1,497,667) (4,398,922) $ $ - - - 2015 (20,509,700) (837,584) (21,347,284) 4,436,897 853,407 107,849 4,855,454 2,882,037 187,625 2,029,538 3,522 1,102,056 16,458,385 8,604 1,201,919 1,175 266,782 1,478,480 17,936,865 (4,051,315) 640,896 (3,410,419) $ $ - - - 122 2014 (17,761,371) (792,297) (18,553,668) 4,492,371 926,440 106,572 5,476,959 2,593,317 170,517 2,111,109 (7,465) 1,607,960 17,477,780 8,888 1,153,993 4,654 544,194 1,711,729 19,189,509 (283,591) 919,432 635,841 $ $ - - - 2013 (16,511,766) (2,616,520) (19,128,286) 4,534,973 922,803 109,811 4,515,729 2,580,764 169,568 2,051,702 21,399 917,461 15,824,210 8,804 1,071,655 6,142 1,489,342 2,575,943 18,400,153 (687,556) (40,577) (728,133) $ $ - - - 2012 (20,567,398) (1,881,021) (22,448,419) 4,711,890 1,059,853 116,375 4,405,831 2,379,976 144,979 2,013,401 79,150 1,465,234 16,376,689 11,671 1,103,876 6,878 270,850 1,393,275 17,769,964 (4,190,709) (487,746) (4,678,455) $ $ - - - 2011 (14,457,724) (653,132) (15,110,856) Position 4,701,295 1,275,911 108,060 4,158,709 2,117,490 157,985 2,098,719 102,820 1,638,724 16,359,713 11,557 1,131,916 121,733 459,444 1,724,650 18,084,363 1,901,989 1,071,518 2,973,507 $ Net $ in Taxes Changes Government (Expenses) Other Taxes Taxes Taxes Government Government Taxes Use Activities Activities Taxes Activities Activities Records Activities Activities tAxes Taxes Use Position Revenues and Income Business-Type Primary Income Governmental City Revenues and Activities Primary Primary Activities and Total Total Netin Net Revenues Property Telecommunications Amusement Cannabis Sales Income Replacement Utility Total Total Taxes Intergovernmental Interest Miscellaneous Transfers Property Sales Interest Miscellaneous Transfers Total Source: (Expenses) Governmental Business-Type Governmental Business-Type Governmental Business-Type Net General Changes Data ===== PDF PAGE 144 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Fund Balances of Governmental Funds - Last Ten Fiscal Years December 31, 2020 (Unaudited) 2011 2012 2013 2014 General Fund Nonspendable $ 1,134,891 $ 1,145,514 $ 1,028,304 $ 1,104,969 Restricted - 843,105 844,754 846,315 Unassigned 12,616,731 11,309,771 10,931,741 11,507,102 Total General Fund 13,751,622 13,298,390 12,804,799 13,458,386 All Other Governmental Funds Nonspendable 938,215 886,413 797,991 2,029 Restricted 1,708,723 1,496,990 1,490,681 2,372,410 Assigned 5,318,609 2,698,343 3,943,537 4,636,090 Total All Other Governmental Funds 7,965,547 5,081,746 6,232,209 7,010,529 Total All Governmental Funds $ 21,717,169 $ 18,380,136 $ 19,037,008 $ 20,468,915 Data Source: City Records 123 ===== PDF PAGE 145 ===== [Extraction: embedded PDF text] 2015 2016 2017 2018 2019 2020 736,988 549,669 94,055 78,908 105,861 115,884 846,315 360,944 624,061 1,211,793 1,535,492 2,998,432 12,302,595 12,733,258 11,841,410 12,126,823 13,844,971 15,925,019 13,885,898 13,643,871 12,559,526 13,417,524 15,486,324 19,039,335 12,815 2,056 2,176 2,275 2,568 2,610 2,459,188 2,275,884 1,592,317 1,732,606 2,079,565 2,317,793 4,006,583 4,190,745 5,109,310 5,896,981 4,745,724 6,537,372 6,478,586 6,468,685 6,703,803 7,631,862 6,827,857 8,857,775 $ 20,364,484 $ 20,112,556 $ 19,263,329 $ 21,049,386 $ 22,314,181 $ 27,897,110 124 ===== PDF PAGE 146 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS General Governmental Revenues By Source - Last Ten Fiscal Years December 31, 2020 (Unaudited) Source 2011 2012 2013 2014 Taxes $ 8,907,926 $ 8,598,434 $ 8,324,682 $ 8,383,993 Intergovernmental 6,580,649 7,234,262 7,517,487 8,475,887 Charges for Services 2,124,010 1,803,814 3,407,944 2,718,832 Licenses and Permits 634,929 481,698 530,638 484,106 Fines and Forfeits 936,049 1,033,410 999,346 782,187 Interest Income 102,148 78,908 21,307 (7,465) Miscellaneous 1,638,724 1,465,234 917,461 1,607,960 Totals $ 20,924,435 $ 20,695,760 $ 21,718,865 $ 22,445,500 Data Source: City Records 125 ===== PDF PAGE 147 ===== [Extraction: embedded PDF text] 2015 2016 2017 2018 2019 2020 $ 8,216,205 $ 8,109,944 $ 9,308,149 $ 7,611,134 $ 6,330,796 $ 6,108,938 7,844,832 7,321,942 7,501,738 10,392,896 12,758,459 14,293,866 2,982,446 3,193,936 2,987,175 2,951,250 4,365,673 3,737,997 608,401 843,502 653,852 887,198 1,108,091 1,023,714 997,523 850,994 832,420 1,281,202 1,015,725 971,630 3,522 6,983 13,271 12,224 25,729 6,086 1,102,056 2,032,609 560,955 637,785 732,686 1,690,936 $ 21,754,985 $ 22,359,910 $ 21,857,560 $ 23,773,689 $ 26,337,159 $ 27,833,167 126 ===== PDF PAGE 148 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS General Governmental Expenditures by Function - Last Ten Fiscal Years December 31, 2020 (Unaudited) Function 2011 2012 2013 2014 General Government $ 7,720,982 $ 8,940,416 $ 8,676,885 $ 8,128,303 Public Safety 8,468,368 8,825,728 9,248,035 9,162,072 Culture and Recreation 189,894 80,000 - - Capital Outlay 3,935,987 6,148,552 3,154,948 3,722,023 Debt Service Interest and Fiscal Charges 40,332 38,097 1,769 1,195 Totals $ 20,355,563 $ 24,032,793 $ 21,081,637 $ 21,013,593 Data Source: City Records 127 ===== PDF PAGE 149 ===== [Extraction: embedded PDF text] 2015 2016 2017 2018 2019 2020 $ 8,361,285 $ 7,893,627 $ 8,591,562 $ 8,150,224 $ 8,894,550 $ 8,994,426 9,104,514 9,849,220 10,003,049 10,011,442 9,886,973 10,388,620 - - - - - - 4,393,009 4,924,842 4,176,432 3,825,627 6,312,762 2,866,077 608 518 407 339 250 1,115 $ 21,859,416 $ 22,668,207 $ 22,771,450 $ 21,987,632 $ 25,094,535 $ 22,250,238 128 ===== PDF PAGE 150 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Changes in Fund Balances for Governmental Funds - Last Ten Fiscal Years December 31, 2020 (Unaudited) 2011 2012 2013 2014 Revenues Taxes $ 8,907,926 $ 8,598,434 $ 8,324,682 $ 8,383,993 Intergovernmental 6,580,649 7,234,262 7,517,487 8,475,887 Charges for Services 2,124,010 1,803,814 3,407,944 2,718,832 Licenses and Permits 634,929 481,698 530,638 484,106 Fines and Forfeits 936,049 1,033,410 999,346 782,187 Interest Income 102,148 78,908 21,307 (7,465) Miscellaneous 1,638,724 1,465,234 917,461 1,607,960 Total Revenues 20,924,435 20,695,760 21,718,865 22,445,500 Expenditures General Government 7,720,982 8,940,416 8,676,885 8,128,303 Public Safety 8,468,368 8,825,728 9,248,035 9,162,072 Culture and Recreation 189,894 80,000 - - Capital Outlay 3,935,987 6,148,552 3,154,948 3,722,023 Debt Service Interest and Fiscal Charges 40,332 38,097 1,769 1,195 Total Expenditures 20,355,563 24,032,793 21,081,637 21,013,593 Excess (Deficiency) of Revenues Over (Under) Expenditures 568,872 (3,337,033) 637,228 1,431,907 Other Financing Sources (Uses) Disposal of Capital Assets - - - - Transfer In - 50,000 19,644 7,776 Transfer Out - (50,000) - (7,776) - - 19,644 - Net Change in Fund Balances $ 568,872 $ (3,337,033) $ 656,872 $ 1,431,907 Debt Service as a Percentage of Noncapital Expenditures 0.24% 0.16% 0.01% 0.01% Data Source: City Records 129 ===== PDF PAGE 151 ===== [Extraction: embedded PDF text] 2015 2016 2017 2018 2019 2020 $ 8,216,205 $ 8,109,944 $ 9,308,149 $ 7,611,134 $ 6,330,796 $ 6,108,938 7,844,832 7,321,942 7,501,738 10,392,896 12,758,459 14,293,866 2,982,446 3,193,936 2,987,175 2,951,250 4,365,673 3,737,997 608,401 843,502 653,852 887,198 1,108,091 1,023,714 997,523 850,994 832,420 1,281,202 1,015,725 971,630 3,522 6,983 13,271 12,224 25,729 6,086 1,102,056 2,032,609 560,955 637,785 732,686 1,690,936 21,754,985 22,359,910 21,857,560 23,773,689 26,337,159 27,833,167 8,361,285 7,893,627 8,591,562 8,150,224 8,894,550 8,994,426 9,104,514 9,849,220 10,003,049 10,011,442 9,886,973 10,388,620 - - - - - - 4,393,009 4,924,842 4,176,432 3,825,627 6,312,762 2,866,077 608 518 407 339 250 1,115 21,859,416 22,668,207 22,771,450 21,987,632 25,094,535 22,250,238 (104,431) (308,297) (913,890) 1,786,057 1,242,624 5,582,929 - 56,369 64,663 - 22,171 - - 25,643 - - 500,000 - - (25,643) - - (500,000) - - 56,369 64,663 - 22,171 - $ (104,431) $ (251,928) $ (849,227) $ 1,786,057 $ 1,264,795 $ 5,582,929 0.00% 0.00% 0.00% 0.00% 0.00% 0.01% 130 ===== PDF PAGE 152 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Assessed Value and Actual Value of Taxable Property - Last Ten Fiscal Years December 31, 2020 (Unaudited) Tax Levy Fiscal Residential Commercial Year Year Property Farm Property 2011 2011 $ 439,560,682 $ 341,675 $ 100,671,895 2012 2012 395,571,348 370,108 92,055,282 2013 2013 367,424,630 392,261 82,237,691 2014 2014 354,736,670 426,235 79,649,467 2015 2015 363,843,948 462,209 81,068,291 2016 2016 390,758,862 487,626 89,670,605 2017 2017 409,838,459 537,746 95,961,612 2018 2018 427,634,113 512,185 95,314,124 2019 2019 445,466,549 498,632 97,014,387 2020 2020 463,824,523 497,883 97,567,069 Data Source: DuPage County Clerk's and Treasurer's Offices 131 ===== PDF PAGE 153 ===== [Extraction: embedded PDF text] Total Total Industrial Assessed Direct Property Railroad Value Tax Rate $ 146,221,310 $ - $ 686,795,562 0.5011 132,161,380 - 620,158,118 0.5545 124,152,620 - 574,207,202 0.5973 119,236,720 - 554,049,092 0.6187 122,668,530 - 568,042,978 0.6031 133,199,600 - 614,116,693 0.5582 143,776,700 5,370,770 655,485,287 0.5441 159,831,453 5,545,256 688,837,131 0.5178 173,613,020 5,783,209 722,375,797 0.5034 204,433,800 5,896,762 772,220,037 0.4996 132 ===== PDF PAGE 154 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Direct and Overlapping Property Tax Rates - Last Ten Tax Levy Years December 31, 2020 (Unaudited) Taxing Body 2011 2012 2013 Countywide DuPage County 0.1773 0.1929 0.2040 Forest Preserve District 0.1414 0.1542 0.1657 DuPage Airport Authority 0.0169 0.0168 0.0178 Local Wayne Township 0.0804 0.0896 0.0979 Wayne Township Road 0.0675 0.0730 0.0817 City of West Chicago - Wayne Township 0.5011 0.5545 0.5973 Winfield Township 0.1021 0.1174 0.1318 Winfield Township Road 0.1342 0.1543 0.1732 City of West Chicago - Winfield Township 0.5011 0.5545 0.5973 West Chicago Park District 0.3177 0.4948 0.4917 West Chicago Fire Protection District 0.8027 0.9212 1.0190 West Chicago Mosquito District 0.0122 0.0139 0.0153 West Chicago Library District 0.2529 0.2903 0.3225 Educational Grade School District 33 4.1734 4.6430 5.4481 High School District 94 2.0351 2.3008 2.5376 College of DuPage District 502 0.2495 0.2681 0.2956 Total Tax Rate - Winfield Township 8.9165 10.1222 11.4196 Share of Total Tax Rate Levied by the City of West Chicago 5.62% 5.48% 5.23% Total Tax Rate - Wayne Township 8.8281 10.0131 11.2942 Share of Total Tax Rate Levied by the City of West Chicago 5.68% 5.54% 5.29% Property tax rates are per $100 of assessed valuation. Data Source: DuPage County Clerk 133 ===== PDF PAGE 155 ===== [Extraction: embedded PDF text] 2014 2015 2016 2017 2018 2019 2020 0.2057 0.1971 0.1848 0.1749 0.1673 0.1655 0.1609 0.1691 0.1622 0.1514 0.1306 0.1278 0.1242 0.1205 0.0196 0.0188 0.0176 0.0166 0.0146 0.0141 0.0148 0.1025 0.1007 0.0959 0.0940 0.0929 0.0911 0.0904 0.0855 0.0840 0.0800 0.0784 0.0775 0.0744 0.0728 0.6187 0.6031 0.5582 0.5441 0.5178 0.5034 0.4996 0.1396 0.1370 0.1275 0.1192 0.1008 0.0939 0.0811 0.1835 0.1801 0.1676 0.1587 0.1526 0.1483 0.1448 0.6187 0.6031 0.5582 0.5441 0.5178 0.5034 0.4996 0.4239 0.5054 0.4889 0.4744 0.4683 0.4603 0.4339 1.0652 1.0556 0.9971 0.9663 0.9448 0.9295 0.9126 0.0161 0.0160 0.0152 0.0148 0.0143 0.0135 0.0136 0.3400 0.3367 0.3153 0.3056 0.2968 0.2893 0.2841 5.5749 5.5167 5.1727 4.8967 4.7555 4.6806 4.5774 2.6731 2.6293 2.4677 2.3770 2.3136 2.2573 2.2082 0.2975 0.2786 0.2626 0.2431 0.2317 0.2112 0.2114 11.7269 11.6366 10.9266 10.4220 10.1059 9.8911 9.6629 5.28% 5.18% 5.11% 5.22% 5.12% 5.09% 5.17% 11.5918 11.5042 10.8074 10.3165 10.0229 9.8144 9.6002 5.34% 5.24% 5.16% 5.27% 5.17% 5.13% 5.20% 134 ===== PDF PAGE 156 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Principal Property Tax Payers - Current Fiscal Year and Nine Fiscal Years Ago December 31, 2020 (Unaudited) 2020 2011 Percentage Percentage of Total City of Total City Taxable Taxable Taxable Taxable Assessed Assessed Assessed Assessed Value Rank Value Value Rank Value Discovery Drive Investors $ 12,252,020 1 1.70% DuPage Airport Authority 12,094,090 2 1.67% $ 16,614,290 1 2.42% DS Containers 10,499,960 3 1.45% Cabot IV LLC 10,031,340 4 1.39% Aspen Ridge, LLC 4,864,980 5 0.67% Riverwoods West Chicago 4,603,370 6 0.64% La Grou Management 4,403,090 7 0.61% 4,851,600 7 0.66% Simpson Manufacturing 4,390,280 8 0.61% Three Oaks Distribution 3,599,110 9 0.50% Ball Horticultural 3,509,810 10 0.49% A.A. Conte Joint Venture 4,736,700 8 0.64% Blackhawk Center, LLC 10,927,820 2 1.48% Northridge Holdings Ltd. 7,916,400 3 1.07% St. Andrews Country Club 7,783,890 4 1.06% Cobalt Industrial REIT II 7,437,800 5 1.01% Mapei Corp 4,918,710 6 0.67% Menards, Inc 3,515,090 9 0.48% Platinum Health Care 3,480,010 10 0.47% $ 70,248,050 9.72% $ 72,182,310 9.96% Data Source: Office of the DuPage County Clerk's 135 ===== PDF PAGE 157 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Property Tax Levies and Collections - Last Ten Tax Levy Years December 31, 2020 (Unaudited) Taxes Collected within the Collections Tax Levied Fiscal Year of the Levy in Total Collections to Date Levy for the Percentage Subsequent Percentage Year Fiscal Year Amount of Levy Years Amount of Levy 2010 $ 3,458,771 $ 3,451,954 99.80% $ 6,809 $ 3,458,763 100.00% 2011 3,458,693 3,453,662 99.85% N/A 3,453,662 99.85% 2012 3,458,498 3,453,081 99.84% N/A 3,453,081 99.84% 2013 3,458,756 3,452,708 99.83% N/A 3,452,708 99.83% 2014 3,458,444 3,453,211 99.85% N/A 3,453,211 99.85% 2015 3,458,315 3,450,239 99.77% N/A 3,450,239 99.77% 2016 3,460,067 3,455,985 99.88% N/A 3,455,985 99.88% 2017 3,568,729 3,563,021 99.84% N/A 3,563,021 99.84% 2018 3,569,845 3,560,169 99.73% 6,985 3,567,154 99.92% 2019 3,632,174 3,632,174 100.00% N/A 3,632,174 100.00% Note: Levies for all Special Services Area have been excluded from this table. Data Source: Office of the DuPage County Clerk's N/A - Not Available 136 ===== PDF PAGE 158 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Ratios of Outstanding Debt by Type - Last Ten Fiscal Years December 31, 2020 (Unaudited) Business-Type Activities IEPA Total Percentage Fiscal Revenue Primary of Personal Per Year Bonds Government Income (1) Capita (1) 2011 $ 7,769,704 $ 7,769,704 1.17% $ 287 2012 7,259,271 7,259,271 0.96% 268 2013 6,735,635 6,735,635 0.96% 249 2014 6,198,456 6,198,456 0.82% 229 2015 5,647,382 5,647,382 0.82% 208 2016 5,082,055 5,082,055 0.75% 188 2017 4,502,105 4,502,105 0.64% 166 2018 3,907,155 3,907,155 0.55% 144 2019 3,296,816 3,296,816 0.45% 122 2020 2,670,691 2,670,691 0.35% 99 Data Source: City's Records Note: Details regarding the City's outstanding debt can be found in the notes to the financial statements. (1) See the Schedule of Demographic and Economic Statistics for personal income and population data. 137 ===== PDF PAGE 159 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Ratios of General Bonded Debt Outstanding - Last Ten Fiscal Years December 31, 2020 (Unaudited) Gross Less: Amounts Percentage of General Available in Equalized Fiscal Obligation Debt Service Assessed Per Year Bonds Funds Totals Value (1) Capita (2) 2011 $ - $ - $ - 0.00% $ - 2012 - - - 0.00% - 2013 - - - 0.00% - 2014 - - - 0.00% - 2015 - - - 0.00% - 2016 - - - 0.00% - 2017 - - - 0.00% - 2018 - - - 0.00% - 2019 - - - 0.00% - 2020 - - - 0.00% - Data Source: City Records Note: Details regarding the City's outstanding debt can be found in the notes to the financial statements. (1) See the Ratios of Outstanding Debt by Type Schedule for Equalized Assessed Value data (Actual Taxable Value of Property). (2) See the Demographic and Economic Statistics Schedule for the Per Capita Income data. 138 ===== PDF PAGE 160 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Schedule of Direct and Overlapping Bonded Debt December 31, 2020 (Unaudited) Percentage to Debt City's Applicable Share of Governmental Unit Gross Debt to City (1) Debt City of West Chicago $ - 100.00% $ - DuPage County 129,265,000 1.74% 2,249,211 Forest Preserve District 81,645,000 1.74% 1,420,623 West Chicago Park District 25,655,005 73.14% 18,764,071 Winfield Park District 2,015,000 28.41% 572,462 School District #25 6,140,000 21.74% 1,334,836 School District #33 29,575,000 65.47% 19,362,753 School District #94 32,585,000 47.97% 15,631,025 U-46 School District 202,457,389 0.73% 1,477,939 U-303 School District 29,305,000 74.53% 21,841,017 Community College District #502 121,575,000 1.46% 1,774,995 Community College District #509 146,490,000 9.86% 14,443,914 Total Overlapping Debt 806,707,394 98,872,844 Total Direct and Overlapping Debt $ 806,707,394 $ 98,872,844 Data Source: DuPage County Clerks Note: Overlapping governments are those that coincide, at least in part, with the geographic boundaries of the City. This schedule estimates the portion of outstanding debt of those overlapping governments that is borne by the residents and businesses of the City. Every resident is not responsible for paying the debt of each overlapping government. (1) Determined by the ratio of assessed value of property in the City subject to taxation by the Governmental Unit to the total assessed value of property of the Governmental Unit. 139 ===== PDF PAGE 161 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Schedule of Legal Debt Margin December 31, 2020 (Unaudited) The City is a home rule municipality. Article VII, Section 6(k) of the 1970 Illinois constitution governs computation of legal debt margin. The General Assembly may limit by law the amount and require referendum approval of debt to be incurred by some home rule municipalities, payable from ad valorem property tax receipts, only in excess of the following percentages of the assessed value of its taxable property...(2) if its population is more than 25,000 and less than 500,000 an aggregate of one percent: indebtedness which is outstanding on the effective date (July 1, 1971) of this constitution or which is thereafter approved by referendum...shall not be included in the foregoing percentage amounts. To date the General Assembly has set no limits for home rule municipalities. 140 ===== PDF PAGE 162 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Pledged-Revenue Coverage - Last Ten Fiscal Years December 31, 2020 (Unaudited) (3) Net Revenue Available (4) Fiscal (1) (2) for Debt Service (5) Year Revenues Expenses Debt Service Principal Interest Coverage 2011 $ 12,036,602 $ 8,872,863 $ 3,163,739 $ 15,295,000 $ 753,061 0.20 2012 11,593,493 11,405,371 188,122 - - - 2013 12,122,215 10,177,161 1,945,054 - - - 2014 12,623,517 9,052,942 3,570,575 - - - 2015 10,626,728 9,704,717 922,011 - - - 2016 11,938,343 11,023,837 914,506 - - - 2017 11,029,165 9,558,809 1,470,356 - - - 2018 4,871,550 10,834,817 (5,963,267) - - - 2019 9,048,365 10,130,988 (1,082,623) - - - 2020 7,430,197 10,751,952 (3,321,755) - - - (1) As defined in applicable bond indentures and governing laws. (2) Totaled expenses exclusive of depreciation and bond interest. (3) Gross revenue minus expenses. (4) Revenue bonds through April 30, 2003, alternate revenue bonds subsequent to that date. (5) Net revenue available for debt service divided by total debt requirements. Data Source: City Records Note: Details regarding the City's outstanding debt can be found in the notes to the financial statements. 141 ===== PDF PAGE 163 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Demographic and Economic Statistics - Last Ten Fiscal Years December 31, 2020 (Unaudited) Per (2) Capita (1) (2) Fiscal (1) Personal Personal Median School Unemployment Year Population Income Income Age Enrollment Rate 2011 27,086 $ 663,552,828 $ 24,498 30.1 5,348 11.6 2012 27,086 755,157,680 27,880 33.0 7,765 8.6 2013 27,086 700,498,132 25,862 30.8 6,293 6.6 2014 27,086 751,636,500 27,750 33.2 7,552 5.5 2015 27,086 692,182,730 25,555 30.1 8,005 5.4 2016 27,086 681,104,556 25,146 31.6 8,390 6.4 2017 27,086 706,998,772 26,102 33.2 8,301 4.3 2018 27,086 706,782,084 26,094 33.0 8,350 3.0 2019 27,086 731,619,946 27,011 33.0 8,202 3.6 2020 27,086 768,971,540 28,390 34.0 8,463 6.8 Data Sources (1) U.S. Census Bureau (2) Illinois Department of Employment Security (using annual averages) 142 ===== PDF PAGE 164 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Principal Employers - Current Fiscal Year and Nine Fiscal Years Ago December 31, 2020 (Unaudited) 2020 2011 Percentage Percentage of Total of Total City City Employer Employees Rank Employment Employees Rank Employment Jel Sert 800 1 3.92% 1,000 1 6.77% West Chicago Elementary School District 610 2 2.99% 632 2 4.28% Ball Horticultural 450 3 2.20% 425 4 2.88% Mapei Corporation 350 4 1.71% 215 9 1.46% DS Containers 320 5 1.57% Community High School District 94 253 6 1.24% 250 6 1.69% Amazon 250 7 1.22% Innocor, Inc 225 8 1.10% OSI Industries LLC 212 9 1.04% WinCup 190 10 0.93% 196 10 1.33% St. Andrews Golf & Country Club 160 11 0.78% 150 12 1.02% In the Swim 150 12 0.73% Aperion Care 150 13 0.73% Menards 150 14 0.73% 150 12 1.02% American standard Circuits, Inc 144 15 0.70% General Mil 510 3 3.45% Siemans Energy 350 5 2.37% Sims Recycling Solutions, Inc 250 6 1.69% Advanced Urethane Technologies 235 7 1.59% Otto & Sons 230 8 1.56% Tomenson Machine Works 158 11 1.07% Aspen Marketing Services 150 12 1.02% 4,414 21.60% 4,901 33.20% Data Sources: City Community Development Department Records and U.S. Census Bureau. 143 ===== PDF PAGE 165 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Full-Time Equivalent City Government Employees by Function - Last Ten Fiscal Years December 31, 2020 (Unaudited) Function 2011 2012 2013 General Government Administration 1.13 1.13 1.00 Finance/Administrative Services 5.00 5.00 4.76 Museum/Marketing 0.50 0.50 0.50 Public Works 11.74 11.74 10.57 Community Development 5.50 5.00 3.50 Public Safety Police 47.00 49.00 49.00 Waterworks and Sewerage 37.50 37.50 34.47 Commuter Parking 0.38 0.38 0.25 Totals 108.75 110.25 104.05 Data Source: City Records 144 ===== PDF PAGE 166 ===== [Extraction: embedded PDF text] 2014 2015 2016 2017 2018 2019 2020 1.00 1.00 1.00 1.50 1.50 1.50 1.50 4.13 4.13 4.13 4.13 4.13 4.13 4.13 0.50 0.50 0.25 0.25 0.25 0.25 0.25 11.51 11.51 11.19 11.19 11.19 11.94 12.00 3.50 3.50 3.75 4.75 4.75 4.75 4.75 49.00 49.00 52.50 53.00 51.00 51.00 47.00 35.00 35.43 33.65 39.34 38.12 38.72 39.01 0.25 0.25 0.25 0.25 0.25 0.25 0.25 104.89 105.32 106.72 114.41 111.19 112.54 108.89 145 ===== PDF PAGE 167 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Operating Indicators by Function/Program - Last Ten Fiscal Years December 31, 2020 (Unaudited) Function/Program 2011 2012 2013 General Government Public Works Number of Parkway Trees Planted 85 300 373 Number of Parkway Trees Trimmed 1,458 1,287 2,336 Brush Pickup Program (Days to Collect) 4.0 4.0 4.0 Building Safety Inspections 12 12 12 Tunnel - Paint and Light Lens Replacements 22 42 12 Special Events Handled 3 4 6 Community Development Number of Building Permits Issued 954 1,199 899 Number of Building Inspections 1,116 1,049 1,134 Highways and Streets Sidewalk Replaced (Sq. Ft.) 9,849 10,000 18,207 Crack Sealing (Lbs. Installed) 37,320 36,429 21,480 Tons of Salt Used 3,000 2,800 3,250 Public Safety Fire Number of Fire Calls 1,279 1,238 1,015 Number of EMS Calls 1,629 1,629 1,804 ISO Rating 3/3 3/3 3/3 Police Part I Crime 374 379 424 Part II Crime 2,402 1,393 1,066 Calls for Service 38,910 38,509 33,867 Parking Tickets Issued 3,376 2,888 2,771 Waterworks and Sewerage Number of metered Accounts 6,430 6,432 6,435 Water Meters Read 38,580 35,000 34,000 Water Meter Service Requests 92 70 50 Water Meters Replaced 41 30 4,305 Average Daily Treated Water (Million Gallons) 3.00 3.45 3.42 Sanitary Sewer Repairs 2 1 2 Data Source: City Records Note: Indicators are not available for the general government function. 146 ===== PDF PAGE 168 ===== [Extraction: embedded PDF text] 2014 2015 2016 2017 2018 2019 2020 130 170 135 106 110 160 180 1,944 2,459 2,430 2,958 2,566 800 3,218 4.8 6.0 5.5 4.8 4.7 4.9 4.7 12 12 12 12 12 12 12 - 10 6 5 6 10 4 4 3 4 22 19 15 2 790 990 1,155 1,044 1,352 1,264 1,110 899 962 882 1,056 1,211 1,251 1,322 8,742 12,500 11,142 1,884 12,545 920 11,464 35,518 42,240 32,000 35,360 27,330 - - 3,180 3,210 2,500 2,050 2,270 2,540 2,700 1,122 1,130 1,095 1,113 1,238 1,250 1,138 1,778 1,934 2,073 2,134 2,339 2,350 2,148 3/3 3/3 4 2 2 2 2 373 383 329 342 265 258 271 1,521 1,315 1,427 1,456 1,589 1,596 708 31,053 34,028 44,087 42,780 40,713 33,516 31,689 3,413 3,049 3,780 3,026 3,094 2,301 1,293 6,428 6,471 6,452 6,450 6,455 6,455 6,457 2,500 9,911 152 29 - - - 75 61 1,471 1,252 961 723 586 3,000 39 75 50 35 16 20 3.36 3.45 3.54 3.42 3.66 3.62 3.43 2 1 2 4 4 1 4 147 ===== PDF PAGE 169 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO, ILLINOIS Capital Asset Statistics by Function/Program - Last Ten Fiscal Years December 31, 2020 (Unaudited) Function/Program 2011 2012 2013 General Government Public Works Streets (Miles) 167.20 174.18 174.18 Sidewalks (Miles) 111.18 111.00 111.00 Streetlights 964 961 961 Public Safety Police Stations 1 1 1 Patrol Units 27 27 27 Fire Stations 4 4 4 Waterworks and Sewerage Water Mains (Miles) 127.38 127.99 127.99 Fire Hydrants 1,518 1,528 1,528 Sanitary Sewers (Miles) 106.19 106.34 106.34 Manholes 2,202 2,211 2,211 Data Source: City Records 148 ===== PDF PAGE 170 ===== [Extraction: embedded PDF text] 2014 2015 2016 2017 2018 2019 2020 174.18 174.06 174.06 174.06 174.21 175.02 175.02 111.00 111.00 111.03 111.03 111.38 111.38 111.38 961 1,046 1,168 1,168 1,168 1,169 1,197 1 1 1 1 1 1 1 27 26 26 26 26 26 26 4 4 4 4 4 4 4 127.99 128.87 128.87 129.64 129.90 130.05 130.05 1,528 1,537 1,537 1,551 1,555 1,557 1,557 106.34 106.43 106.43 106.43 106.60 106.60 106.60 2,211 2,213 2,213 2,213 2,217 2,217 2,217 149 ===== PDF PAGE 171 ===== [Extraction: OCR (rendered-page OCR)] ORDINANCE NO. 21-0-0030 AN ORDINANCE AMENDING THE ANNUAL BUDGET FOR THE CITY OF WEST CHICAGO, DUPAGE COUNTY, ILLINOIS FOR THE FISCAL YEAR COMMENCING JANUARY 1, 2021 AND ENDING DECEMBER 31, 2021 PASSED AND ADOPTED BY ORDINANCE NO. 20-0-0020 WHEREAS, the City of West Chicago has heretofore adopted the annual budget procedure providing for in 65 ILCS 5/8-2-9.1 through 5/8-2-9.10; and, WHEREAS, the City of West Chicago has passed Ordinance No. 20-O0-0020 passing and adopting the “2021 Proposed Budget” (ANNUAL BUDGET); and, WHEREAS, said Ordinance No. 20-O-0020 was filed with the County Clerk of DuPage County as required by law; and, WHEREAS, the City Council approved a Budget Amendment on October 4, 2021 via Ordinance No. 21-O-0024; and, WHEREAS, the City of West Chicago desires to further revise the ANNUAL BUDGET to account for the unforeseen expenditures associated with condemnation litigation; and, WHEREAS, 65 ILCS 5/8-2-9.6 provides in part that by a vote of two-thirds of the corporate authorities then holding office, the annual budget of a municipality may be revised by deleting, adding to, changing or creating sub-classes within object classes and object classes themselves, provided no revision increasing the budget shall be made in the event funds are not available to effectuate the purpose of the revision. NOW, THEREFORE, BE IT ORDAINED, by the City Council of the City of West Chicago, DuPage County, Illinois, in regular session assembled as follows: SECTION 1. That the ANNUAL BUDGET of the City of West Chicago is hereby amended as detailed in “Exhibit A” and as summarized below: Amended Fund Original Amount Amount General Fund (01) Expenditures $20,224,300 $20,564,300 SECTION 2. That the City Clerk is authorized and directed to file a certified copy of this Ordinance with the County Clerk of DuPage County. SECTION 3. That all ordinances and resolutions, or parts thereof, in conflict with the provisions of this Ordinance are, to the extent of such conflict, expressly repealed. Ordinance No. 21-O-0030 Page 1 of 2 ===== PDF PAGE 172 ===== [Extraction: OCR (rendered-page OCR)] SECTION 4. That this Ordinance shall be in full force and effect from and after its passage by two-thirds of the corporate authorities and approval and publication in pamphlet form as provided by law. PASSED this 15" day of November 2021. Alderman J. Beifuss Alderman L. Chassee Alderman J. Sheahan Alderman H. Brown Alderman A. Hallett Alderman C. Dettmann Alderman M. Birch-Ferguson Alderman S. Dimas Alderman C. Swiatek Alderman M. Garling Alderman R. Stout Alderman J. Short Alderman J. Morano Alderman J. Jakabcsin APPROVED as to form: City Attorney APPROVED this 15 day of November 2021. Mayor Ruben Pineda ATTEST: City Clerk Nancy M. Smith PUBLISHED: Ordinance No. 21-00-0030 Page 2 of 2 ===== PDF PAGE 173 ===== [Extraction: OCR (rendered-page OCR)] Ordinance No. 21-0-0024 Third Quarter Budget Amendment Exhibit A original amended Legal Fees (FOIA Litigation, Ally Bank Litigation, Oasis Café Complaint and Partial Property Tax Abatements) 01-01-10-4100 50,000 40,000 90,000 01-05-01-4100 10,000 30,000 40,000 01-06-13-4100 43,000 113,000 156,000 New FOIA Software 01-02-10-4125 7,500 10,700 18,200 COVID Expenses 01-02-19-4225 150,000 - 150,000 Management Consultant During Chief of Police Vacancy and Firm to Fill Vacancy 01-06-13-4225 50,000 166,400 216,400 Increased Cost for Employment Exams, Advertising and Recruitment Processes 01-05-01-4108 7,500 25,000 32,500 Expenditures General Fund 318,000 19,906,300 20,224,300 Total