Government Center

719 S. Batavia Ave., Bldg. A

Geneva, IL 60134

Kane County

KC Finance and Budget Committee

Meeting Minutes

BERMAN, Lenert, Juby, Lewis, Sanchez, Surges, Tepe, ex-officios Roth (County Vice Chair)

and Pierog (County Chair)

Wednesday, February 26, 2025

9:00 AM

County Board Room

Call To Order

Vice-Chairman Lenert called the meeting to order at 9:00 AM.

Roll Call

Board Member Bill Lenert

PRESENT

Board Member Anita Lewis

Board Member Jarett Sanchez

Board Member Clifford Surges

Board Member Vern Tepe

Ex-Officio County Board Vice Chair Bill Roth

Board Member Dale Berman

Board Member Leslie Juby

REMOTE

Ex-Officio County Board Chair Corinne M. Pierog

Also present: Co. Bd. Members Allan*, Gripe, Kious*, Molina*, Penesis*, Strathmann;

Treasurer Lauzen; Auditor Wegman; Fin. Exec. Dir. Hopkinson*; SA Mosser & staff

Frank, Hunt*; Dev. Dir. VanKerkhoff & staff Thavong; ITD CIO Lasky* & staff Peters;

KaneComm Dir. Guthrie; KCHD CFO Snowden*; KCAC Admin. Youngsteadt*; and

members of the press and public.

Remote Attendance Requests

Vice-Chairman Lenert announced the remote attendance requests for today's meeting.

He asked the Committee if there were any objections to Committee Members Berman

and Juby attending today's meeting remotely. There were no objections.

Approval of Minutes: January 29, 2025

RESULT:

MOVER:

APPROVED BY UNANIMOUS CONSENT

Anita Lewis

Public Comment

Michelle Bettag, St. Charles, spoke on the April 1, 2025 Sales Tax Referendum. She

feels as if this referendum is a direct response to the unmandated SAFE-T Act. While

attending the January meeting, Bettag learned information that the County has elected

to use this proposed sales tax for public safety, crime prevention, detention, fire

fighting, police, medical, ambulance, and other emergency services. However, as of

Monday, February 24, 2025, she believes that the narrative has changed, such as

development of new buildings. Bettag explained that voters will see on the ballot that

this sales tax will be to pay for public safety purposes. She explained that shall Kane

County be authorized to impose an increase on its share of local sales tax by .75%.

This would mean that a consumer would pay .75 cent per $100 tangible personal

property. Bettag stated that the County did not say that this sales tax would raise

another $51M. She explained that she has attended the sales tax referendum

presentations and has heard Madam Chairman Pierog state that there are no lactation

rooms in County buildings and leaking pipes are an issue. However, the voter will be

unaware that this proposed tax would cover these items. Bettag explained that the

County received $105M in COVID Funding, and approximately $20M was utilized for

repairs. She stated that if she were to inherit a substantial amount of money, she would

expend this on needed repairs. She noted that commercial property value is

decreasing. The County does have a large amount of assets within the 27 properties.

Bettag suggested that the County may need to sell some properties. Lastly, Bettag

spoke on the Geneva mother and child that was murdered by an illegal immigrant. She

stated that more public attention needs to be shed on this issue.

Treasurer's Report (C. Lauzen)

Monthly Report

(Madam Chairman Pierog arrived remotely at 9:05 a.m.)

Treasurer Lauzen stated the monthly report was on file. He shared "Alice in

Wonderland" video clips. He stated that one needs to know where they are

going. Don't act crazy. Avoid distractions. Lauzen spoke on the 80/20 Rule. He

stated that typically 80% of the work accomplished is done by 20% of people.

He explained that there is a bipartisan group of board members that are trying to

do a good job on behalf of the taxpayers. Lauzen commended numerous Board

Members. He stated that 80% of distraction is caused by 20% of antagonists.

Lauzen explained that he would like to address gossip, the completed audit, and

accurate office duties. He explained that the current leadership has been in

place for five years and it is time to take responsibility for what is occurring in the

County. Lauzen spoke on gossip. He addressed a rumor that states that County

money is missing. He provided further details of the County's transfer of assets

from the brokerage companies, Truist, Raymond James, and Stifel, to U.S.

Bank. Lauzen provided the Treasurer Office's two-year results, such as $3B of

property taxes being collected and $38M of interest being earned. He

commended his staff on their hard work. Lauzen spoke on the interest earned

from FY2019 to FY2024. He questioned where is this money and how was it

utilized. He spoke on the accounting's fiscal year-end (FYE) November 30, 2023

bookkeeping entry. When the FYE financial books were closed, Lauzen found

that the County had $81K more in the bank than listed in the books. He stated

that the FY2023 Audit was closed and signed off on by Fin. Exec. Dir.

Hopkinson, Madam Chairman Pierog, Baker Tilly, and the Kane County Board.

He explained that in December 2024, a resolution was put forth for an

emergency appropriation of $210K for an agreement with Lauterbach & Amen

for accounting services. He believes this money is being misappropriated.

Lauzen reviewed the Request for Proposal's (RFP) Scope of Services, which

includes journal entries and bank reconciliation. Instead, they are looking into

the FY2023 closed audit. Additionally, the accounting personnel has been

doubled to nine accountants. Lauzen stated that everything the Treasury

receives is given to accounting with reconciliation to the penny, which is

sufficient for bookkeeping. He spoke on Hopkinson's questions regarding

reconciliation issues. He addressed a letter that he received that stated, "It

would be great if we could work together". He explained that this quote was

stated after two pages of criticism. Lauzen spoke on the financial security brief

on January 31, 2025, that listed all the County's account numbers and balances.

He asked members to consider the source of the false accusations. In

conclusion, Lauzen stated that all County assets were transferred successfully,

the FY2023 Audit was closed, accounting receives everything the Treasury

does, and to stop the political posturing.

State's Attorney Mosser explained that she was asked to come today to address

the requests by the Finance Department of the Treasurer's Office. She spoke on

the duties of the Treasurer's Office, which are listed in the Kane County Code,

55 ILCS 5/3-10005 et al. She shared each statute that addressed the duties and

responsibilities of the Treasury. Mosser stated that Treasurer Lauzen has been

compliant on all of these. She reviewed her investigation into this matter. She

explained that these statutes address what a Treasurer can and cannot do. It

also governs what the County Board can request of the Treasurer. Mosser

explained that the Finance Department has requested information regarding

accounts from April 2023 through September 2023. She stated that the

Treasurer has provided all account details regarding this. However, the Finance

Department continued with questions regarding these details. Mosser stated that

these requests should be made by the County Board and not the Finance

Department. Additionally, the information requested was from a time period

when the audit was completed and closed, which showed no money was

missing. Mosser questioned why this information is being requested in 2025,

when no suspected money has been missing from County funds. Lastly, while

members of the County Board may not agree on how Lauzen runs his office, he

is the duly elected Treasurer and is complying with all statutes and County

Code. Mosser recommended that this Committee inquire why these actions are

being taken by the Finance Department. She noted that Lauzen regularly seeks

advice from the State's Attorney's Office to ensure that he is compliant with the

law. In her opinion, Lauzen is well within the law and these requests from the

Finance Department do not comply with what the Treasurer statutorily is

required to turn over, nor is the request timely or relevant at this time.

Auditor's Report (P. Wegman)

Monthly Report

Auditor Wegman stated the monthly report was on file. No additional report was

made. Wegman addressed questions and comments from the Committee.

Approving January 2025 Claims Paid

KC Executive Committee

RESULT:

TO:

MOVED FORWARD BY ROLL CALL VOTE

KC Executive Committee

Jarett Sanchez

Clifford Surges

MOVER:

SECONDER:

Bill Lenert, Leslie Juby, Anita Lewis, Jarett Sanchez, Clifford

Surges, and Vern Tepe

AYE:

Dale Berman

AWAY:

Finance Director's Report (K. Hopkinson)

Monthly Finance Reports

Fin. Exec. Dir. Hopkinson stated the monthly financial reports were on file. She

highlighted the unearned revenue portion of the report. She explained that the

County Clerk's Office has utilized approximately $400K of the $2M grant. This

money is to be applied to FY2024 for the purchase of election equipment. The

Finance Department is in the process of reclassifying some of this unearned

revenue, which has been sitting as a liability. Hopkinson addressed the bank

reconciliations. She stated that she did not have a personal discussion with

State's Attorney Mosser about this matter. She explained that when accountants

book journal entries they need supporting documentation. When there is no

supporting documentation for an entry it is deemed a plug entry. While trying to

reconcile last year, the Finance Department was confused by multiple entries

made in April 2023. Hopkinson explained that the County's auditing firm

determined that this was immaterial to the total financial amounts of the County.

She noted that the County has approximately $400M in cash that is distributed

across 187 funds. She stated that just because there is a difference and the

audit is complete, it does not mean that the difference doesn't matter. She

explained that the missing money is still as such. The Finance Department is still

in the reconciliation process. Hopkinson explained that during the process, staff

has been able to identify specific differences that is causing the County to not be

reconciled. This is due to not having the proper documentation. Hopkinson

spoke on an email she received from ASA Frank and Treasurer Lauzen, which

requested all financial questions be submitted in writing. She was advised that

these questions would be answered, but these have yet to be received.

Hopkinson has said that when banks do transfers there is a possibility that there

is an explanation for this difference. She simply would like to know this

explanation. She explained that when the County's investments were transferred

in April 2023 from the brokerage companies, the County's General Ledger costs

and market value must be reported in the audited financial statements. There is

a discloser in the audited financial statement's footnotes that shows the

difference between cost and market value, and the carrying cost on the County's

General Ledger was $2M higher than when the money arrived at the bank in

April 2023. In May/June 2023, U.S. Bank made adjustments/corrections in the

bank statements and changed the total to $500K. Hopkinson questioned how

the cost changed from the County's previous banks to the new one, and what

was incorrect. She stated that her department must report cost and market value

and when there is a change of $500K in cost, there needs to be supporting

documentation for this. Hopkinson and ASA Frank addressed questions and

comments from the Committee. Discussion ensued. ASA Frank stated that the

County Board needs to make a decision on whether to move forward on

pursuing this reconciliation matter, or not.

New Business

Approving a FY25 Budget Adjustment to the Development and Community

Services Department for the Implementation of a United States National Park

Service Historic Revitalization Grant Program

Dev. Dir. VanKerkhoff stated that the vast majority of these funds are

pass-through grants. The grant will be awarded to the County and then

distributed to property owners of historic buildings in the rural parts of Kane

County.

KC Executive Committee

RESULT:

TO:

MOVED FORWARD BY ROLL CALL VOTE

KC Executive Committee

Jarett Sanchez

MOVER:

Anita Lewis

SECONDER:

Dale Berman, Bill Lenert, Leslie Juby, Anita Lewis, Jarett

Sanchez, Clifford Surges, and Vern Tepe

AYE:

Authorizing an Agreement with Tyler Technologies for Computer-Aided Dispatch

CAD2CAD Custom Export Interface

KC Executive Committee

RESULT:

TO:

MOVED FORWARD BY ROLL CALL VOTE

KC Executive Committee

Anita Lewis

MOVER:

Jarett Sanchez

SECONDER:

Dale Berman, Bill Lenert, Leslie Juby, Anita Lewis, Jarett

Sanchez, Clifford Surges, and Vern Tepe

AYE:

Repealing Section 2-196(a) of the Kane County Code and Replacing it with a

New Section 2-196(a) (Depositories for Funds of County Treasurer/Collector)

(Committee Member Berman left at 9:47 a.m.)

KC Executive Committee

RESULT:

TO:

MOVED FORWARD BY ROLL CALL VOTE

KC Executive Committee

Clifford Surges

MOVER:

Jarett Sanchez

SECONDER:

Bill Lenert, Leslie Juby, Anita Lewis, Jarett Sanchez, Clifford

Surges, and Vern Tepe

AYE:

Dale Berman

ABSENT:

Authorizing the Number of Procurement Cards Issued to the Office of

Emergency Management and Each of Their Transaction Limits

RESULT:

MOVER:

APPROVED BY ROLL CALL VOTE

Anita Lewis

Jarett Sanchez

SECONDER:

Bill Lenert, Leslie Juby, Anita Lewis, Jarett Sanchez, Clifford

Surges, and Vern Tepe

AYE:

Dale Berman

ABSENT:

Acknowledging the Annual Review of the Number of Procurement Cards Issued

to the Kane County Sheriff’s Office and Each of Their Transaction Limits

RESULT:

MOVER:

APPROVED BY ROLL CALL VOTE

Jarett Sanchez

Anita Lewis

SECONDER:

Bill Lenert, Leslie Juby, Anita Lewis, Jarett Sanchez, Clifford

Surges, and Vern Tepe

AYE:

Dale Berman

ABSENT:

Acknowledging Annual Review of Number of Procurement Cards Issued to

Coroner’s Office and Each of Their Transaction Limits

RESULT:

MOVER:

APPROVED BY ROLL CALL VOTE

Jarett Sanchez

Anita Lewis

SECONDER:

Bill Lenert, Leslie Juby, Anita Lewis, Jarett Sanchez, Clifford

Surges, and Vern Tepe

AYE:

Dale Berman

ABSENT:

Authorizing the Number of Procurement Cards Issued to the Kane County

Judiciary and Each of Their Transaction Limits

RESULT:

MOVER:

SECONDER:

APPROVED BY ROLL CALL VOTE

Jarett Sanchez

Anita Lewis

Bill Lenert, Leslie Juby, Anita Lewis, Jarett Sanchez, Clifford

Surges, and Vern Tepe

AYE:

Dale Berman

ABSENT:

Authorizing Number of Procurement Cards Issued to the State’s Attorney’s

Office and Each of Their Transaction Limits

RESULT:

MOVER:

APPROVED BY ROLL CALL VOTE

Vern Tepe

Jarett Sanchez

SECONDER:

Bill Lenert, Leslie Juby, Anita Lewis, Jarett Sanchez, Clifford

Surges, and Vern Tepe

AYE:

Dale Berman

ABSENT:

Authorizing Number of Procurement Cards Issued to the Office of Community

Reinvestment and Each of Their Transaction Limits

RESULT:

APPROVED BY ROLL CALL VOTE

Jarett Sanchez

Anita Lewis

MOVER:

SECONDER:

Bill Lenert, Leslie Juby, Anita Lewis, Jarett Sanchez, Clifford

Surges, and Vern Tepe

AYE:

Dale Berman

ABSENT:

Authorizing Two (2) Procurement Cards Issued to the Kane County Division of

Transportation and the Transaction Limits Thereof

RESULT:

MOVER:

APPROVED BY ROLL CALL VOTE

Jarett Sanchez

Anita Lewis

SECONDER:

Bill Lenert, Leslie Juby, Anita Lewis, Jarett Sanchez, Clifford

Surges, and Vern Tepe

AYE:

Dale Berman

ABSENT:

Authorizing Number of Procurement Cards Issued to Kane County Health

Department and Each of Their Transaction Limits

RESULT:

MOVER:

APPROVED BY ROLL CALL VOTE

Jarett Sanchez

Vern Tepe

SECONDER:

Bill Lenert, Leslie Juby, Anita Lewis, Jarett Sanchez, Clifford

Surges, and Vern Tepe

AYE:

Dale Berman

ABSENT:

Authorization Number of Procurement Cards Issued to the Kane County Clerk

and Each of Their Transaction Limits

RESULT:

MOVER:

APPROVED BY ROLL CALL VOTE

Anita Lewis

Vern Tepe

SECONDER:

Bill Lenert, Leslie Juby, Anita Lewis, Jarett Sanchez, Clifford

Surges, and Vern Tepe

AYE:

Dale Berman

ABSENT:

Acknowledging Annual Review of Number of Procurement Cards Issued to

County Board Office and Each of Their Transaction Limits

RESULT:

MOVER:

APPROVED BY ROLL CALL VOTE

Vern Tepe

Jarett Sanchez

SECONDER:

Bill Lenert, Leslie Juby, Anita Lewis, Jarett Sanchez, Clifford

Surges, and Vern Tepe

AYE:

Dale Berman

ABSENT:

10.

Old Business

Committee Member Surges stated that the Human Services Committee will be

discussing the Kane County Board Members Travel Policy. He spoke on the tragic

accident that occurred in the north-end of the County on Monday, February 24, 2025.

He asked the Committee to pray for the victim's family, driver's involved, and all Kane

County staff that were involved. He stated that Kane County does a lot of good, and

they cannot forget about the families that are impacted by the services the County

offers. This incident was a large reminder of this.

Committee Member Gripe stated that one of the resources that is offered by the Kane

County Health Department (KCHD) is Fox Valley Hands for Hope. This is a free grief

counseling service. Gripe explained that anyone who needs help, can reach out to

them for resources. Discussion ensued. Vice-Chairman Lenert recommended that this

group be shared in Kane County Connects.

11.

12.

Reports Placed On File

RESULT:

MOVER:

APPROVED BY UNANIMOUS CONSENT

Jarett Sanchez

Committee Chairman's Comments

Vice-Chairman Lenert stated that on April 1, 2025, the County will find out if the sales

tax referendum passed or not. He suggested that the Committee consider

implementing an attrition program. If this referendum does not pass, the County will be

facing severe budget cuts. Lenert believes that an attrition program would be the best

first step in addressing this.

13.

Executive Session (if needed)

None.