Title
FY2026 Budget Amendment #2
History
Budget Amendment #2 updates multiple Village funds to align the FY2026 budget with current grant awards, redevelopment financing activity, capital project needs, and internal staffing reallocations. These adjustments include revenue and expenditure changes that maintain stable operations while ensuring appropriations accurately reflect ongoing program requirements.
As several development initiatives continue to advance, a third amendment may be necessary later this year. Staff will continue monitoring spending and revenue trends and will recommend additional adjustments if warranted.
Adjustment to General Fund Revenues
-Strong Sales Tax Performance
The Village is experiencing a $2.5 million increase in general sales tax revenue, driven largely by the community’s strengthened economic environment and improved public perception. Based on feedback received from businesses, residents, and community stakeholders, this growth reflects:
-A significant reduction in the prior cycle of continuous negative publicity.
-A visible increase in public safety presence and performance.
-High operational and community standards.
-A renewed, proactive “open for business” approach attracting commercial activity.
These improvements have contributed directly to more organic consumer spending and strengthened trust in the Village’s commercial corridors.
-Grocery Tax Transition
Following the State of Illinois’ elimination of the grocery tax, staff analyzed expected impacts on the Village’s sales tax base. Initial baselines projected a shift of $4.0-$4.5 million. The adopted FY2026 budget reduced the general sales tax line by $4.0 million and established a separate grocery tax revenue line of equal value. After three months of actual receipts showing a stable baseline of approximately $300,000 per month, the revised year-end grocery tax projection is now $3.5 million.
-Intergovernmental Facility Use Revenue
During final budget adoption, ...
Click here for full text