With little fanfare, Brookfield’s village board unanimously passed its 2011 budget on Dec. 13, a document that offers little in the way of change from the 2010 version. Two weeks prior, village officials described it as a “stop-gap” document that meets obligations. In reality, the budget is incomplete. While the document passed Dec. 13 anticipates a balanced budget, the bottom line depends greatly on a pair of union contracts that have not even been negotiated yet.
Included among nine items on the board’s omnibus agenda, along with the village’s 2010 tax levy, the budget estimates the village’s revenues outpacing expenditures by just $10,190 in the general operating fund, which pays for day-to-day expenses, such as salaries and benefits.
But the 2011 budget contemplates no pay raises for village employees across the board. While that will indeed be the case for all non-union employees and for public works and clerical employees, who have already agreed to a pay freeze, that is not the case for police officers and firefighters.
Both of those contracts expire on Dec. 31. When the police and fire unions agreed to a one-year pay freeze in 2010, it was to avoid layoffs. At that time both pledged they would not accept another wage freeze.
Negotiations on those contracts have not even begun. Police are scheduled to meet with village management for a first round of negotiations on Jan. 6. Management is still trying to nail down a date with firefighters.
Part of the delay is that in November, Brookfield’s firefighters switched their union representation. Previously, they were part of the Service Employees International Union (SEIU) Local 73. On Nov. 23, the firefighters became certified members of the International Association of Firefighters Local 4828.
“We thought it would be better for the department if we were part of a strictly firefighters union,” said Brad Pacyga, a seven-year Brookfield firefighter/paramedic who is president of the Brookfield local.
Pacyga said the decision to switch union representation was not related to the way SEIU handled negotiations earlier this year. According to IAFF attorney J. Dale Berry, SEIU at first tried to challenge the switch but later backed off. A call to Tim McDonald, who was the SEIU’s representative for Brookfield firefighters, was not returned.
“[Negotiations] had nothing to do with the union change,” Pacyga said.
Village Manager Riccardo Ginex said he’s “optimistic” with respect to upcoming negotiations.
“On Jan. 6, we’ll see where it’s going to go,” Ginex said. “I hope the negotiations go well and quickly, and I know the board feels the same way.”
During the last negotiations, the village threatened police and fire with job cuts unless the union agreed to a pay freeze. Jobs could still be on the line, depending on what firefighters and police officers are seeking, Ginex said.
“Would we like to give raises to everyone? We would,” said Ginex.
Just how much room there is to maneuver is unclear. If the unions press for both increases in base pay and reinstatement of step raises, it could trigger cuts. The 2011 budget does set aside $210,000 as a “contingency.” The 2010 budget also set aside some money as a contingency, which went untouched.
“It depends on how much we have in our contingency, which we haven’t had to touch in the last couple of years,” Ginex said.
The contingency is set aside for emergency expenditures. The last major use of the contingency came in 2007, when it was used to help fund construction at Jaycee/Ehlert Park.
“I think reductions are on the table if the unions are asking for specific cost increases we just can’t handle,” Ginex said.
The budget also indicates that residents will face an increase in garbage collection rates, a topic officials discussed on Nov. 29. According to the budget document passed on Dec. 13, the revenue from customer charges is expected to increase 10 percent in 2011 and by 4.5 percent in 2012.
The 2011 increase reflects the rate increase in the contract with the village’s waste hauler and a need to bring rates into line with costs associated with waste hauling. In 2010, Brookfield is transferring more than $100,000 from its general fund to the garbage fund to cover a shortfall in revenue.
Water charges also look like they’ll be going up in 2011 and 2012. The village expects to see revenue increases of 5 percent in each of the next two years. Both increases are tied to rate increases being passed along to the village by the Brookfield-North Riverside Water Commission, according to the village’s finance director, Doug Cooper. Those increases are in addition to the 5-percent water utility tax imposed by the board earlier this year.