Title
Accounts Payable Advanced Payment
History
The Village is continually seeking new and better ways to improve services to both internal and external customers. With regard to the Village’s current Accounts Payable (AP) process, we are looking to address two issues:
• Invoices not paid in a timely manner due to the 2- or 3-week span between Board meetings, as well as requiring the bill listing 1 week before the Board meeting, leading to 3- and 4-week delays.
- Moving to weekly payments will give an invoice a “second chance” to get paid the next week if approval was not complete in time for approval.
• Approvals not finalized in time for approval list.
- Invoices that are “approved” an hour after the approval list has been submitted. That invoice now needs to wait 3-4 weeks for the next board meeting to seek approval, then paid thereafter.
To make the AP payment process more efficient, staff is proposing to modify the AP process to reduce the length of time from Tyler Invoice approval to vendor payment, while still allowing elected officials an opportunity to review payments before they are made.
For AP payments, staff is proposing to move to a weekly check run. In brief, the Finance Department would distribute the weekly voucher list to the Board on Friday. If there are no objections to items on the voucher list, the Finance Department would issue payments on the following Tuesday. Voucher lists would then be ratified at a subsequent board meeting similar to how payroll is ratified.
The proposed “AP Advanced Payment Process” would be as follows:
1. Invoice is approved by the Department.
2. Invoice is reviewed by Finance and the Village Manager’s Office, depending on dollar amount.
3. On Friday, a Voucher List is created for all fully approved invoices and distributed to the Board members.
4. Board members may review voucher list and inquire over the weekend and on Monday.
5. On Tuesday, if there are no objections, Finance will process payments for items on the Voucher List.
6. Voucher Lists will be ratified at a subsequent Village Board meeting.
In order to memorialize this new process, Village Code section 1-17-4 would need to be amended. Staff would work with the Village Attorney to draft the ordinance amendment and place it on an upcoming Committee of the Whole and Board of Trustees agenda.
In the meantime, because the first BOT meeting in January has been cancelled as a result of the New Year holiday, staff is recommending a motion to authorize an AP Advanced Payment, in the process outlined above, on December 23, 2025; December 30, 2025; January 6, 2026; and January 13, 2026 with these advanced payments being ratified at the January 19, 2026 BOT meeting.
Recommended Action/Motion
I move to authorize an AP Advanced Payment on December 23, 2025; December 30, 2025; January 6, 2026; and January 13, 2026 with these advanced payments being ratified at the January 19, 2026 BOT meeting;
AND
Direct Village staff and the Village Attorney to draft an Ordinance formalizing Accounts Payable Advanced Payment to be presented to the Village Board at a future meeting.