Northfield Village Council Meeting 1-27-2021: Finance Director Calls Village Revenue ‘Sluggish’ to Start the Year

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By Emily Chesnic

As the COVID-19 pandemic continues, Northfield Village must “stay the course” – cautiously spending while continuing to navigate through unprecedented and unpredictable circumstances – says Finance Director Jennifer Potvin.

At the Jan. 27 regular meeting, Potvin provided Council with a financial report for January, stating what she sees is “not a surprise.”

She told Council members the village started 2021 “sluggish” in regard to revenue.

“This shows we are very much in the midst of a pandemic,” she said.

Income tax collection this month is down 50 percent, said Potvin.

However, she pointed out January 2020 – before the pandemic hit – was an “extraordinary” month for revenue.

Shortly after the health crisis began, the finance director saw revenue down 25 percent to 35 percent each month last year.

“Like everything else we have been doing during the pandemic, we are going to have to continue to manage through it,” she told Council.

The budget process now is underway in the village, which will be “helpful” moving ahead, said Potvin. “The Mayor [Jesse Nehez] and I have been discussing the budget and will be proposing a very conservative budget to maintain cash balances.”

She said the goal since the arrival of the pandemic has been to keep cash balances in the village’s non-restricted funds.

“We did achieve that goal,” said Potvin. “We will have some challenges in the next few months, but again, that is not a surprise.”

The village’s revenue line items, including revenue from the admissions tax and mayor’s court, are down due the pandemic, she said.

“We need to continue the same approach we took in 2020 and monitor every month and make adjustments as we go,” she said. “This is no different than an economic downturn. I feel we are doing a good job managing through it.”

Potvin told Council the village should keep watching the financial situation closely, limiting spending.

“These are historic, different times. I continue to be cautiously optimistic and always tell you where I feel we are heading. I knew January would be a difficult month,” she told Council. “The news changes every day. I don’t know what else we can do, and I don’t think we are doing anything different than any other community.”

 

Fire Engine Purchase

Also, at the meeting, Council adopted legislation approving a contract with Atlantic Emergency Solutions Inc. for the purchase of a Pierce Enforcer Pumper Engine and authorizing an agreement with Bank Capital Services, Inc. for financing the purchase.

The vote was not unanimous, however, as Councilmen Nick Magistrelli and Alan Hipps voted against the measures, citing a concern for the village’s financial situation at this time.

Hipps specifically said given the village’s “financial outlook currently,” he had to vote “no.”

“I hope for everyone in the village, we don’t have an ‘I told you so” moment, where we can’t afford it,” he said.

Earlier this month, Law Director Brad Bryan told Council Finley Fire Equipment, of Ohio, merged with Virginia-based company, Atlantic Emergency Solutions, changing the party the village now is communicating with concerning the fire vehicle purchase, with the merger not altering the price of the truck or contract terms.

At the end of 2020, the village approved purchasing the new fire engine, at a cost of $574,251, with the truck likely to arrive in the community by the end of 2021 to replace an aged engine.

Council members in favor of the purchase have said a new engine is necessary at this time to ensure the continued safety of the community and the village’s fire personnel.

 

Workspace Project

Service Director Jason Walters told Council he has been able to drastically cut the budget for his department but expressed a need to revise the working conditions in his building, especially with sewer billing now taking place on site.

After hearing more on the need for an additional workstation, Council approved spending up to $37,000 to work with ECR Ergonomics on the space.

“This is going to help provide a better work situation for us,” he said.

Village Website
The website for Northfield Village remains under construction.

At the Jan. 27 meeting, Council approved a contract with Revize Software System, a Michigan-based company that designs and maintains government websites.

The decision was not unanimous, as Magistrelli voiced his desire for the village to partner with a local company for the website project.

Invoice Dilemma

At the Jan. 27 work session, taking place just prior to the start of the regular meeting, Council discussed an invoice for work not authorized by the village.

In December, the village replaced Richard Wasosky, who served as village engineer for 35 years, hiring Daniel Collins as the new full-time engineer.

Bryan told Council the village received an invoice from Wasosky, requesting payment for 53 hours of time spent doing paperwork, in preparation for his departure.

The invoice came as a surprise, with Council spending time debating what the appropriate action should be regarding the matter.

Council agreed not to pay the invoice, as it came unexpected, with Bryan stating the village legally is entitled to the records Wasosky kept during his employment.

Other Meeting News:

• Council had a brief discussion regarding the village’s existing contract with Waste Management Inc. for refuse collection in the community, with some members of Council recommending the village allow residents to select their own trash haulers, after the contract expires.

• Collins, the new village engineer, told Council he would be working on a design for Coventry Drive in 2021, so the village possibly could solicit bids for the project this year, if financially able to move ahead on it.