FY25 GFOA Budget - Flipbook - Page 8
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BUDGET MESSAGE
growth) in accordance with PTELL. We have estimated this year's extension to be approximately
3.64% above the prior year with a more conservative budget estimate based on collections of 3.5%.
This should continue to help us provide for both rising inflationary expenses and long-term
liabilities.
Ambulance Fees – For several years, the District has entered into an agreement allowing increased
payments for Medicaid transports. The District follows the Ground Emergency Medical Transport
(GEMT) model for determining ambulance fee rates. The fee rates and federal reimbursements have
increased our revenues annually. Taking a conservative approach, the 2025 Budget is projecting
ambulance receipts to total $2,450,250, an 11% increase over 2024. These additional funds should
be used to fund new EMS initiatives.
Fire Recovery – This continues to be a stable source with limited growth. State Statute only allows
the District to charge non-residents for certain services. Most of the revenue in this category comes
from non-resident vehicle accidents or hazardous materials spills.
Grants – The District has received over $1.5 million in grants over the last few years. Several
successful grants include Intergovernmental Risk Management (IRMA), Assistance to Firefighters
(AFG), Office of the State Fire Marshal (OFSM), and DuPage County. Staff continues to make this a
focus for 2025.
Interest Income – In 2023, staff negotiated interest rates with Fifth Third Bank. The negotiations
increased the rate from 0.55% to 4.75%. However, the District has seen the rate drop and is
expected to receive $70,000, a 54% decrease over 2024.
Misc. – Other small revenue sources include builders’ fees, inspections, pre-plan reviews, and Knox
boxes, all of which generally remain under $100,000. In 2025, The District should continue to see
an increase in builders’ fees due to the development of the Grass Lands subdivision at W. Bartlett
Rd and Route 59.
Reserves
A multi-year view is necessary when considering the existence of reserves and the year-to-year
surpluses or deficits that create or deplete them. A surplus or deficit is a timing difference between
receiving revenues and paying expenditures, particularly capital funds. We maintain level funding
each year in these funds, knowing that the expenses will vary yearly. Thus, establishing a surplus
for several years or spending down reserves is appropriate and planned. Funding capital
expenditures with current dollars would not be fiscally prudent or responsible. In this case, these
reserves can be likened to a savings account to pre-fund expected purchases. Additionally, these
funds can be used to fund one-time emergency purchases. These fund balance levels will fluctuate
yearly based on our capital project needs. The District’s vehicle, building, and equipment reserve
funds are within or more than our fund balance targets. For example, the District will have a 2million-dollar vehicle purchase in the next few years. Funds to pay for this vehicle will come from
the vehicle reserve fund.
Additionally, the District maintains reserves in general and ambulance funds. These funds help
smooth out the year when revenues come in late or under projections. The Government Finance
Officer Association's (GFOA) best practice is to maintain these funds at no less than 25% of
expected revenues. Both funds are within target. General at 26% and Ambulance at 29%.
P a g e 8 |BARTLETT FIRE PROTECTION DISTRICT | BUDGET MESSAGE
