Manteno board approves preliminary budget despite $1.7 million shortfall; staff says insurance changes will lower premiums

Manteno village officials approved the preliminary budget at a finance meeting after staff presented a set of cost and revenue updates and recommended changes to employee health coverage.

Staff member Chris reviewed renewal options secured through HomeStar Insurance Services and said the carrier’s original 9.9% renewal had been negotiated down to 3.9%. Chris said an alternate UnitedHealthcare plan would lower premiums about 1.35% compared with last year, and that switching the village’s dental plan to a different vendor would cut dental costs about 16.27%. After accounting for the village’s long-standing practice of reimbursing employee deductibles under union agreements, staff projected a net village savings in the range of $25,000–$30,000; the premium reduction alone was described as roughly $45,000.

Board members pressed staff on plan design details the village would cover, including increases to individual and family deductibles (from about $1,500 to $2,500 for individuals and from $3,000 to $5,000 for families) and whether the village reimburses deductibles for employees who decline coverage because they have a spouse plan (staff said they do not reimburse those non-participating employees). Chris said HomeStar adjudicates claims and that reimbursements are limited to amounts allowed by the plan.

The meeting then moved into a wide-ranging discussion of the preliminary budget. Staff and members identified several drivers of the current shortfall: an unbudgeted property-tax rebate, a $160,000 forensic audit, and about $100,000 in additional village-attorney fees. Together those items were described as accounting for most of the year-over-year increase that produced roughly a $1 million swing; the current draft shows a $1.7 million deficit on the preliminary budget.

Members asked for better cost-tracking for village-supported events. Staff agreed to provide post-event reports that document public-works and police hours, direct costs and sponsorship revenue so the board can assess whether sponsorship tiers, charging user groups or trimming event scope would reduce net village expense. A board member said she would also pursue a conversation with the Chamber of Commerce about whether larger sponsorships could help offset village labor costs for major events such as Oktoberfest.

On capital needs, the board discussed whether to repair a municipal dump truck (a transmission repair quoted under $10,000) or pursue a full replacement (a new truck estimate given as about $275,000). Staff said they are soliciting seasonal lease/rental quotes for a comparable snow-plow truck and expected numbers by the next meeting.

The board moved to pass the preliminary budget with the deficit noted and adjourned. The vote was taken by voice and no roll-call tally was recorded in the transcript.

What’s next: staff will return post-event cost reports, provide lease/rental quotes for snowplow equipment, and follow up with additional budget detail at the next board meeting.