The Waterloo City Council on Monday night approved a $64 million budget for the city in advance of the 2024-25 fiscal year that begins May 1.

Budgeted revenues are at $63,571,655, with expenditures at $63,961,150. This represents a deficit of $389,495.

The nearly $64 million in city expenses is down from an estimated $65,727,812 for the 2023-24 fiscal year ending April 30.

Per the budget report on the city’s website, there is a 2 percent budgeted decrease in expenditures from the current fiscal year budget.  

The major differences between last year’s budget and the one for the coming fiscal year, according to the report,  includes a decrease in capital outlay and an increase in salaries and service charges.

“Several of the projects completed in prior fiscal years have not been paid as the city is waiting to be billed by the state,” the report states. “These payments are reflected in the FY 2024-25 budget.”

Mayor Stan Darter cited the recent Moore Street project as an item the city is waiting to be billed for. 

“We owe it. We just don’t know when they will bill us for it,” he said.

Major capital expenditures in the current fiscal year include sidewalk and road improvements, water infrastructure, which includes completion of a water treatment plant and water tower, sewer main lining, and the purchase of a turbine generator. 

Other significant capital outlay includes vehicle and equipment purchases in the police, street and utility departments, the budget report states.

The combined revenues for all city funds to support the new fiscal year budget are $65.5 million, this report states, which includes $12 million of invested funds and $17 million from an Illinois Environmental Protection Agency loan for the new water plant.  

The current fiscal year combined budgeted revenues were $67 million, which included $5.4 million of invested funds and $29.7 million from an IEPA loan. Excluding use of invested funds and transfers from other funds, there is a 1.6 percent decrease in combined revenues.  

In the general fund, the largest budgeted disbursements are for the street department ($5,656,500) and police ($3,676,000). Both are up 4 percent from the 2023-fiscal year budget.

The largest source of general fund revenues is sales tax. Based on historical data, sales tax is expected to provide one-third of the general fund budget for fiscal year 2024-25, according to the budget report.

Waterloo is expecting to see an increase in sales tax revenue this coming fiscal year. It received $3.2 million in sales tax revenue this current fiscal year, and is expecting to receive $3.3 million in the upcoming fiscal year.  

General fund revenue for the upcoming fiscal year is budgeted at $12.2 million, a decrease from last year’s budget.

“Increases in projected revenue include an increase in fines and forfeitures, charges for services, investment income, hotel/motel tax and miscellaneous income,” the budget report states. “Decreases in projected revenue include general property tax, licenses, permits and fees, and other financing sources.” 

As for general fund disbursements, budgeted capital outlay projects are budgeted at $4,945,150 – up 6 percent from the last budget – with budgeted salaries at $3,436,600 – up 4 percent.

In other news from Monday’s meeting, aldermen approved professional services agreements with HMG Engineers for five street projects totaling $488,000. 

The engineering is for future projects on Third Street, Fourth Street, Flower Street, Columbia Avenue and HH Road. 

Darter reiterated that these actions were simply for the engineering of these five road projects and stressed that not all of them will be completed in the upcoming fiscal year. 

The council also approved Huebner Concrete as low bidder in the amount of $184,933 for the city’s annual street, curb, and sidewalk improvement program.  

An action that was not passed unanimously dealt with the purchase of license plate reader software from Axon in the amount of $28,106.10 over two years for the Waterloo Police Department. 

The motion passed by a 6-2 vote, with aldermen Joel Vogt and Matt Buettner voting against. 

Darter explained after the meeting that Waterloo police vehicles have been equipped with LPR hardware for several years and the measure passed Monday night was to get the software activated. 

This technology capability is different from four LPR cameras purchased in 2020 that are mounted on utility poles at the north and south ends of Route 3 as vehicles enter and leave the city. 

LPR technology sends information that can be used by law enforcement agencies throughout the area to assist in locating stolen vehicles, finding missing people and arresting fugitives.