Mike Tennis, a self-employed financial consultant from Sleepy Hollow in Dundee Township, responded to the McHenry County Blog article this past week concerning Dundee Township Supervisor Patricia “Trish” Glees’ response to supervisor challenger Arin Thrower’s “Money Tree” video released on March 18.

Glees is the incumbent elected in 2017 as an independent and seeking reelection on the April 6 ballot as a Democrat.

Time to set the record straight for the McHenry County Blog and Dundee Township voters

I am the financial analyst that Supervisor Candidate Thrower referenced in the video posted on the McHenry County Blog website. Trish Glees’ claim that her opponent is fabricating stories is unfounded. Total Governmental Funds, excluding Road which Supervisor Glees does not directly manage, decreased $1,453,000 or 45% during the first three years Supervisor Glees served.

During a League of Women’s Voters-Elgin Area (LWVEA) videoed debate of supervisor candidates, there was a question whether Township expenses are balanced with revenues.

Trish Glees stated that Illinois’ code (statutes) requires a balanced budget. Trish indicated that she has accomplished that requirement. Having listened to the Township Board wrestle with budgets since Trish became supervisor, the Township’s Comprehensive Annual Financial Reports (CAFRs) were reviewed for purposes of “Fact Checking”, since numbers don’t lie.

The Township transparency of actual financial activities and financial condition are not available to the public until the annual audited report is available six or seven months after the Township’s end-of-February fiscal year end. So CAFRs for the Supervisor’s first three years in office were analyzed.

During the three year period Total Governmental Funds decreased from $3,820,000 to $2,184,000, a $1,637,000 or 43% decrease. To be fair, since the Township Supervisor does not have direct responsibility for the Road District Fund, those funds were excluded leaving a Total Governmental Funds, excluding Road, decrease of $1,453,000 or 45%.

At the beginning of fiscal year end 2/29/2020, there was a $1,189,000 balance in the Town Fund. Using the Town Fund’s expenditure rate of $1,367,000, the Town Fund had a sufficient balance on hand to operate 10 months even without tax collections of more than $1 million levied for Town expenditures.

The attached analysis shows, as of 2/29/2020, Total Governmental Funds, excluding the Road District Fund, had a $1,764,000 balance. When you excluded Non-Major Highway Department Funds for Building, IMRF and Insurance, Town Funds available to the Supervisor and Board amount to $1,459,000.

So what does this analysis tell us. The Supervisor has been operating the Town Fund, Cemetery Fund and General Assistance each of the past three years by drawing down fund balances. The yearly deficits have ranged from $184,000 to $990,000, averaging $484,000 a year. The assessor’s office, business manager and clerk’s offices, Open Space all incurring expenses supported by the Town Fund.

Because personnel costs account for the lion’s share of expenditures, during this pandemic year from March 2020 through February of 2021, staffing levels remained relatively unchanged, so the CAFR will likely show another six-figure year of deficits further drawing down fund balances.

Failure of the November tax referendum, coupled with increased salaries, especially for the Supervisor will further exacerbate fund balance deficits in the fiscal year that began this month.

In summary, the Supervisor’s balanced budget representations during the LWVEA Candidate Form were very misleading as was the statement made that Dundee Township received a $1.5 million grant in July 2019 (more than a year and a half ago) from Illinois’ Capital Development Program. The grant sum, based on discussion, has already been reduced in the FY22 budget to $900,000. Even that sum is suspect given the Governor’s proposed state budget only balances through borrowings and assumed corporate tax increases.

Hopefully, supervisor and trustee candidates running for office in the April General Election will set the record straight while campaigning.

As always, questions and comments are welcome.

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The Bond Debt Service Fund ending in fiscal year 2018-2019 reflects paying off the bonds issued in 1997, approved by the Open Space bond referendum of 1996.

On Sunday, the whole truth concerning the supervisor pay raise, and the pay cuts on trustees and the highway commissioner.