Dupage Policy Journal

With a recession anticipated, Village of Lisle Chief Financial Officer/Deputy Village Manager Sarah Mitchell told the Village Board of Trustees that the Illinois Municipal League is not expecting there will be additional growth despite an increase in income tax revenues over the last year.

"Income tax revenues are 24.8% or 433,000 higher than last year and 73.1% of the budgeted amount,” Mitchell told the Village Board of Lisle at the Dec.19 meeting. “This is a result of an improving labor market, extraordinary corporate income tax receipts and higher estimated tax payments from individuals. The Illinois Municipal League does not expect the sizable growth to continue due to the probability of a recession.” 

Mitchell spoke at the Village Board of Lisle meeting to give a financial update as the fiscal year meets the halfway point. This was an update on the community's status after the second quarter, which was completed on Oct. 31.  At that time the village had $11.9 million in General Fund revenue. This is 63% of the budget for the year, and an increase of more than $1 million over the last fiscal year. She said this was most likely because of inflation and increases in sales and income tax.

For sales tax, $205,136 more was collected than the same time last year. Fines and penalties increased by $65,771 compared to last year, and income tax revenue is 25% or $432,689 higher than last year. Interest income also climbed $250,565 in a year's time.

Trustees learned during the meeting that other revenue funds reached $11.2 million, which is also more than 61.1% of the budget at this point and approximately a million dollar increase from last year. However, there was $561,656 transferred from the General Fund into the other revenue funds for stormwater projects. 

One area of revenue to show a decrease is water and sewer revenue, which reflected approximately a 4% drop over last year even though usage is about the same as last year’s second quarter. The city began a new rate for these utilities in May 2021.

General Fund expenditures increased by approximately a half-a-million dollars hitting $7.5 million, but other fund revenues fell under the $7 million mark, showing a $672,554 decrease from last year. These are due to fund transfers and updates in capital improvement plans, along with debt service payment changes.