Gurnee ends fiscal year $253,000 in red

GURNEE -- Village trustees have reviewed the audit for the past fiscal year and were content in spite of finding some red ink.

The village collected $33.3 million in revenue and had expenses of $33.5 million, off by $253,000 for the year that ended April 30.

Mayor Kristina Kovarik said the village's conservative fiscal practices in recessionary times have been effective in managing the village's affairs.

"We've had a good year in a tough economy," Village Administrator Jim Hayner said at Monday's Village Board session, indicating some optimism for the coming year.

Kristin Kazenas of the auditing firm of Crowe Horwath LLP, Oak Brook, said revenues decreased $1.8 million, or 5.2 percent, last year when compared to the previous fiscal year. Expenses increased by $135,000, a 0.4 percent increase over the previous year.

Sales tax revenues were down 6.4 percent, or $1.8 million from the previous year.

"Sales tax is highly dependent on economic conditions and consumer confidence; therefore it is not surprising that this revenue is seeing a decline," Kazenas pointed out.

Other tax revenue sources were relatively flat, such as the 3 percent amusement tax from Six Flags Great America theme park that increased by $7,000, and a slight 3 percent increase in food and beverage taxes.

Charges for various service revenues dropped 10.3 percent over the previous year. Kazenas said that was primarily due to decreases in building permits and related inspection fees.