City of Dekalb City Council and Finance Advisory Committee met Nov. 17.
Here are the minutes provided by the committee:
The City of DeKalb City Council and Finance Advisory Committee convened for a Special meeting on November 17, 2025, called pursuant to Chapter 2 “City Council”, Section 2.05 “Special Meetings”, of the Municipal Code of the City of DeKalb, Illinois. The meeting was held in the Yusunas Meeting Room at the DeKalb Public Library, 309 Oak Street, DeKalb, Illinois.
A. CALL TO ORDER
Mayor Barnes called the meeting to order at 6:00 p.m.
B. ROLL CALL
1. City Council
City Clerk Brad Hoey called the roll, and the following members of the City Council were present. First Ward Alderman Carolyn Zasada, Third Ward Alderman Tracy Smith, Fourth Ward Alderman Justin Carlson, Fifth Ward Alderman Andre Powell, Sixth Ward Alderman Mike Verbic, and Mayor Cohen Barnes. Second Ward Alderman Barb Larson and Seventh Ward Alderman John Walker were absent.
2. Finance Advisory Committee (FAC)
City Clerk Hoey called the roll, and the following members of the FAC were present: Linda Babcock, Paul Callighan, Lynn Neeley, and Brian Ohlinger. Greg Perkins was absent.
Mayor Barnes noted that Alderman Walker and Mr. Perkins had informed him in advance of their absences.
Others in attendance included City Manager Bill Nicklas, Assistant City Manager Bob Redel, Director of Financial Services Susan Hauman, Human Resources Director Michelle Anderson, Public Works Director Andy Raih, Deputy Police Chief Jason Leverton, Senior Accountant Meagan Challand, Planning Director Dan Olson, City Engineer John Laskowski, IT Director Jeremy Alexander, Communications & Engagement Manager Scott Zak, and Recording Secretary Ruth Scott.
C. APPROVAL OF THE AGENDA
MOTION: Alderman Smith moved to approve the agenda; seconded by Alderman Carlson.
VOTE: Motion carried by a 6-0-2 roll call vote of the City Council. Aye: Zasada, Smith, Carlson, Powell, Verbic, Barnes. Nay: None. Absent: Larson, Walker. Mayor Barnes declared the motion passed.
D. PUBLIC PARTICIPATION
Chad Glover, Executive Director of Opportunity DeKalb, thanked the Council for its past support of the Breakthrough Business Academy and emphasized the importance of continued funding.
Mayor Barnes asked City Manager Nicklas to revisit the topic during the budget discussion.
E. CONSIDERATION OF THE PROPOSED FY2026 BUDGET.
Mayor Barnes read the item by title only.
MOTION: Alderman Verbic moved to bring the item to the floor for discussion; seconded by Alderman Powell.
Prior to his overview, City Manager Nicklas said the proposed FY2026 budget document is the result of many public meetings and a lot of staff effort. He noted the presence of some omissions and errors in the document and thanked those who pointed them out.
City Manager Nicklas began the FY2026 budget presentation with an overview of the General Fund, highlighting its strength and planned uses, supported by a spreadsheet of 2026 activities.
â–ª $1.4 million for street maintenance
â–ª $540,000 for equipment and vehicles
â–ª Nearly $1.9 million for extra police and fire pension payments
â–ª $2.3 million for bond debt service
In total, $6.16 million is planned to be used from the General Fund reserve.
City Manager Nicklas explained that the current level of General Fund reserve spending isn’t sustainable long-term but is needed to meet obligations and maintain services. He noted that pension costs are now spread across departments, making them less visible, and pointed out that DeKalb does not levy taxes for debt service, unlike some other communities.
City Manager Nicklas then reviewed the City’s support for social service agencies, including $300,000 in Human Services Funding grants and $400,000 in federal CDBG funds. He referenced the funding request from Mr. Glover earlier in the meeting and asked the Council for direction on including it in the FY2026 budget. He also noted that $50,000 remains in the Emergency Assistance Fund and could be repurposed if needed.
Addressing Mr. Glover, Mayor Barnes recalled that two years ago the City contributed $125,000 to Opportunity DeKalb to support the Breakthrough Community Business Academy. The result of that investment, as he understands it, is the development of Breakthrough DeKalb – an entrepreneurship program that stemmed from that original funding.
Mr. Glover explained that the City’s $125,000 helped start the Breakthrough Community Business Academy, a 12-week entrepreneurship program. It has since grown into Breakthrough Business, which includes the Academy, two years of business support, and efforts to improve access to capital, especially for low- to moderate-income entrepreneurs. The long-term goal is to support business growth and property redevelopment, following successful models from other communities.
Mayor Barnes expressed willingness to contribute again. However, he stressed the need for broader regional support, encouraging other communities and organizations to help fund the program since it benefits the entire county.
Mayor Barnes also explained that this specific request is not included in the proposed budget document, noting it was shared by email as a separate, one-time request.
Alderman Zasada suggested viewing the funding request in the broader context of the City’s overall support for nonprofits, expressing interest in seeing a list of all current contributions to such organizations to better understand how this request fits within the larger funding picture.
At this point in the meeting, FAC Chair Neeley and Mayor Barnes briefly discussed the funding request, with Chair Neeley noting the FAC had not received any prior information. Mayor Barnes clarified that the request had previously been brought before the Council by Mr. Glover, who also provided supporting documentation via email.
City Manager Nicklas directed the Council to page 151 of the proposed budget, highlighting a $300,000 allocation for Human Services Funding under Contractual Services. He clarified that this amount does not include the Opportunity DeKalb request. Instead, he pointed to a separate $20,000 line item in the Community Development budget, which could be used to support the request for one year without affecting human services funds. He added that this amount had been set aside in anticipation of emerging needs.
Mayor Barnes confirmed support for including $20,000 for Opportunity DeKalb in the budget, with $50,000 reserved for 2026 emergencies, subject to Council approval.
Alderman Verbic added that the City should consider supporting administrative costs based on the number of DeKalb residents served.
City Manager Nicklas confirmed that updates will be made to the budget narrative and spreadsheets. The revised budget will be distributed Thursday ahead of the November 24 hearing.
Mayor Barnes apologized to the FAC for the off-agenda discussion and confirmed the City’s commitment to providing $20,000 to Opportunity DeKalb.
Alderman Verbic thanked City Manager Nicklas, saying the information provided was very helpful.
Mayor Barnes also praised City Manager Nicklas for producing a clear, outstanding budget and thanked him for his efforts.
City Manager Nicklas responded that it’s the City’s duty to make the budget understandable and accessible, especially at the local level. He added that residents can find full details on the City’s website.
City Manager Nicklas continued with the overview of the proposed FY2026 budget, covering key funds and initiatives.
Special Revenue Funds
â–ª GEMT Fund. Reimburses the City for ambulance service gaps, recovering most costs.
â–ª Transportation Fund. A major $22 million federally funded bus facility will be built in 2026 to support operations. Elburn route ridership has grown significantly.
â–ª Motor Fuel Tax (MFT) Fund. $3.15 million will support street maintenance, funded by MFT, Fund 400, and General Fund reserves.
Special Service Areas (SSAs). These funds maintain common areas in subdivisions where HOAs no longer function, funded by a small extra tax on residents. Two larger SSAs were highlighted:
â–ª Market Square: Driving aisles to be resurfaced.
â–ª Ridgebrook: Continued exterior improvements; funding reduced due to a healthy balance. Tax Increment Financing (TIF) Funds
â–ª TIF 3: Covers the downtown business district.
â–ª TIF 4: Newest district. Some of the funds will be used for environmental studies on the Protano site for which the City is seeking IEPA grants for full cleanup and redevelopment.
Debt Service. The City has managed debt responsibly. The main current obligation is Fire Station 4 ($400K/year). By 2030, it will be the only remaining bond, easing pressure on the General Fund.
Enterprise Funds
â–ª Water Fund: A recent study evaluated system capacity in light of new developments. More updates are expected soon.
â–ª Refuse & Recycling Fund: Operates with near break-even flow; a small surplus is projected.
â–ª Airport Fund: Running a surplus for the third year. Upgrades include fencing, paving, and snow removal equipment, supported by federal funding. Public Works Director Raih and Airport Manager Ben Trompeter were recognized for their leadership and dedication to ongoing improvements at the airport.
Internal Service Funds
▪ Workers’ Compensation & Liability Fund
â–ª Health Insurance Fund. Well-managed with strong reserves.
Human Resources Director Anderson and her team were recognized for their work.
Pension Funds. Police and Fire Pension funds have been discussed in detail over the past several months. It was noted that some figures require minor corrections. City Manager Nicklas thanked FAC member Paul Callighan for identifying an error in the Fund Balance Summary chart on page 21 of the proposed budget document and confirmed that an updated version will be provided.
DeKalb Public Library. Though independent, the library is included in the City’s corporate services. The City assists with finances, and their latest budget (including tax levy) is on page 268 of the proposed budget document.
Policies & Performance Measures. The City continues to earn the GFOA Distinguished Budget Presentation Award due to its focus on metrics and accountability. Performance measures begin on page 305 of the proposed budget document. Director of Financial Services Haumann and her staff were recognized for their contributions.
Alderman Zasada expressed strong appreciation for the Performance Measures section and commended City Manager Nicklas and his staff for consistently producing excellent budgets over the years.
Alderman Smith thanked City Manager Nicklas for road and alley improvements. He also asked for an update on progress with equipment needs, noting it’s been one of his long standing concerns.
City Manager Nicklas said they’re making headway on equipment and vehicles, especially for departments like Streets. Fire is doing pretty well. He noted that costs are still a big issue – one dump truck can cost a quarter million dollars, and prices keep going up. Some of that is due to changes in the companies making these specialized vehicles, which are now often owned by investors, not people with hands-on experience. That’s driving prices higher. So,
while progress has been made, rising costs in the last year or two have slowed things down again.
Alderman Smith agreed, saying the City had been in a slump but has done a great job steadily improving its equipment situation.
Mayor Barnes acknowledged public complaints about road conditions but said he’s noticed real improvement, especially compared to five to seven years ago. He praised the Council for continuing to invest in roads and said those efforts are starting to make a visible impact. He also expressed support for alley improvements, noting that some are in especially rough shape.
Alderman Verbic asked for more details about the $250,000 budgeted for the 250th anniversary of the United States in 2026. He wondered if there are plans to partner with other agencies to share costs.
City Manager Nicklas said there are no firm plans yet for the $250,000 set aside for the event. Discussions are ongoing, and the full amount may not be spent. No other agencies have offered funding so far, and any spending decisions will come back to the Council for approval.
Mayor Barnes once again praised City Manager Nicklas and his team for their excellent work on the budget and narrative.
F. ADJOURNMENT
MOTION – City Council: Alderman Carlson moved to adjourn the meeting; seconded by Alderman Verbic.
VOTE: Motion carried by a 6-0-2 voice vote. Aye: Zasada, Smith, Carlson, Powell, Verbic, Barnes. Nay: None. Absent: Larson, Walker. Mayor Barnes declared the motion passed.
MOTION – FAC: Ms. Babcock moved to adjourn the meeting; seconded by Mr. Ohlinger.
VOTE: Motion carried by a 4-0-1 voice vote. Aye: Babcock, Callighan, Neeley, Ohlinger. Nay: None. Absent: Perkins.
The meeting was adjourned at 7:01 p.m.
https://www.cityofdekalb.com/DocumentCenter/View/20059/3-111725-Jnt-CC-FAC-Minutes
