PA S T, P R E S E N T & F U T U R EF INANC IA L NEWSLE T T E R 2012

A Message from your Village PresidentAs I write this greeting in early 2013, I do so with an enormous sense of pride and gratitude. I am excited that all of us can truly embrace and believe in our motto which calls for Shaping our Future. Some may say we have completed an amazing turnaround in the last four years, but I prefer to believe that we have just begun a turnaround. As I look over the list of achievements of recent

years and the list of projects for the short and long term, I believe that the Bensenville of the future will far surpass any of the best periods of our impressive past.

To have reached this point would have not been possible without the collective efforts of all of you. From the unyielding commitment of our Board of Trustees and innovative Village staff, to the countless residents and business owners who stepped forward to contribute their thoughts, ideas, and time, our recent success comes from your efforts. But it is imperative that we don’t stop here, nor that we allow ourselves to lose sight of what contributed to this success. We have a great deal of work and opportunity ahead of us in the coming days as we strive to build on our growing stability, but we will do so with the knowledge that growth comes from thoughtful evaluation, planning, and execution, not from quick and uninformed decisions. You have my commitment that every decision made under my watch will be made with a

fair and complete evaluation of how that individual decision impacts many others that may follow, and that nothing will be done that is not completely transparent to all of you.

When you look at the enormity of running an entity as large and complex as the Village of Bensenville, you will find a myriad of decisions to be made and projects to be carried out. Some are small and clear, others quite large and complex. What matters most is treating each with clarity and sound judgment, and maintaining balance and perspective. No decision is insignificant, but allotting resources appropriately goes a long way to balancing not only the workload, but our budget. After a period of neglectful fiscal behavior, I am pleased to say that for the fourth consecutive year Bensenville will again operate under a balanced budget. Because of our recent success, we now have an A+ bond rating with a positive outlook. This change greatly enhances our ability to borrow and invest, and projects to save us $1.7 million over the next ten years. That is all money that can be put to meaningful use in our community. Our Village staff has been streamlined so that we can function more effectively on behalf of our residents. Our leadership team has focused their efforts on areas that will position Bensenville as a leader rather than a follower. In the past year, it was Bensenville that finally brought together regional, state and federal officials to develop the plan that led to funding for the long-discussed Elgin-O’Hare Western Access. By settling or dismissing literally hundreds of contentious lawsuits, we have reduced the Village’s Governance and Legal Budgets by $4 million. These savings allow us to be positioned at the forefront of the incredible economic opportunities that await us as O’Hare airport expands and the new Elgin-O’Hare Western Access brings consumers and business travelers to our doorstep.

We have much more to accomplish in the coming years. We have focused on our key fundamentals to prepare for transformative projects that will come as the economy improves. We are always looking for ways to improve customer service and municipal operations. We have asked you to participate in this continuous improvement effort in our community survey and Neighborhood Conversations. Your feedback has led to direct improvements in service delivery and allows us to be true to our motto – We Are Here To Help.

I invite you to read through this newsletter and discover many of the great things happening in Bensenville.

“I believe that the Bensenville of the future will farsurpass any of the best periods of our impressive past.”

FRANK SOTO | VILLAGE PRESIDENT

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FRANK SOTO

great things happening in Bensenville.I invite you to read through this newsletter and discover many of the

FRANK SOTO

great things happening in Bensenville.I invite you to read through this newsletter and discover many of the

| VILLAGE PRESIDENT | VILLAGE PRESIDENT

I invite you to read through this newsletter and discover many of the

past.”impressive impressive

THE TURNAROUNDAs we look back on the rich history of our commu-nity, we find roots well beyond our incorporation in 1884. From the first dozen German families that settled in the area in 1835, through the development of schools, churches and community organizations in the 1880s, Bensenville’s history was one of hard work, growth, and community pride. Our residents and their livelihood have almost always been intertwined with the movement of people and goods. At the turn of the century, nearly every working resident in town was employed by the railroads. By the 1930’s, an average of 80 trains passed through town every day. A decade or so later, just under half of our workforce was employed in the burgeoning aircraft industry. The steady commercial growth and abundance of jobs led to a thriving middle class and as we entered the last quarter of the 20th century, our community enjoyed the fruits of our labor as new schools and a library were built, the arts flourished, and parks and leisure facilities grew. However, as Bensenville grew and prospered, it did not always adapt. Times changed and as the new millennium arrived the very things that made our history so great – location, transportation, jobs – all suddenly came to work against us. Just as it had been literally at its inception almost two hundred years ago, Bensenville was figuratively at the crossroads in the most recent decade.

Our community motto Honoring Our Past, Shaping Our Future rang a bit hollow as jobs evaporated, our boundaries were violated, and that strong working class made a rapid exodus from Bensenville. We were caught unprepared and were collectively unresponsive to the new realities. The spiral continued through 2008 when Forbes magazine wrote Bensenville leads our list of America's dying small towns. The choices were to let the town slowly disappear, or, find a way to move in the only direction available – up. The question was how? Today, just four years later, the questions are really how far and how fast?

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What share of my property tax bill goes to the Village?A typical homeowner with a $200,000 home within the Village contributes approximately $504, or roughly 10%, of their annual tax bill to the Village. The rest goes to several other agencies including school districts and DuPage County.

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aWhat other revenue does theVillage receive?This year the Village budgeted to collect a total of $37,032,578 in total operating revenue. The single biggest category of revenue is charges for services which accounts for nearly 40% of all revenue. This segment represents line items for which the Village charges residents and businesses directly for services as opposed to amounts that are collected through taxes. This helps to keep property taxes to a minimum and shifts costs to the actual users in fair proportions. In addition to charges for services, the Village also relies on property taxes, sales taxes, intergovernmental revenue, licenses and permits, fines, and miscellaneous revenue to fund operating expenditures. The graph below shows the various sources of revenue expected to be collected this year.

Estimated Operating Revenues

Property Taxes $6,390,043 17.26%Sales Taxes $7,523,100 20.31%Other Taxes $3,334,500 9.00%Intergovernmental $3,500,000 9.45%Licenses & Permits $861,500 2.33%Fines $798,500 2.16%Charges for Services $14,323,875 38.68%Miscellaneous $301,060 .81%

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EARNING A PLACE OF HONOR

Our staff is working on a plan to rededicate Redmond Park in honor of our military Veterans in Bensenville. These plans include renaming the baseball field Memorial Field and the softball field Liberty Field. In addition, from June 20-23 Redmond Park will host The Wall That Heals, the traveling replica of the Vietnam Veterans Memorial. More than 72 volunteers are needed to make this possible, so if you are interested in sharing your time for a good cause, call 630 594 1190.

BUSINESS OUTLOOK

ENSURING FINANCIAL DILIGENCEAfter years of questionable financial practices, Bensenville is now enjoying the results of operating under a balanced budget for four consecutive years. Our elected officials and professional staff take seriously our responsibilities as stewards to protect the financial position of our community. We want to report to you from time to time on our progress.• Our improved bond rating will save us over $1.7 million over

the next decade in interest charges• Eliminating the multitude of lawsuits to which we were a party has saved us $4 million annually in our Governance and Legal budget• The Edge Ice Arena operations have been restructured, resulting in more than $450,000 in annual profits that go toward paying off the facility’s debt. Four years ago the Edge operated at nearly a $270,000 annual loss. This is more than a $725,000 turnaround.• By taking our insurance out to bid like all of our contracts, the Village will save over $79,000 annually• Electric aggregation will provide an annual average of $310 in savings to Bensenville homeowners As part of our focus on transparency, you can now find all budget and audit information on line at www.bensenville.il.us. We will also make available on the website all contracts that we enter into via our new Citizen Transparency Center, created in partnership with the Illinois Policy Institute. All local residents and business owners have a right to understand how we

operate and we are committed to transparency in all transactions. Bensenville received a 98% rating from the Institute, which makes us the fifth highest ranked of more than 300 communities rated. Bensenville is a leader in municipal government in the area of transparency

2012 was an extraordinary year for economic growth in Bensenville, and 2013 looks to be even more exciting. In the past year, 154 new business came to our community. The more tax revenue these businesses provide, the better we can manage property tax levels for homeowners. Our sales tax revenues are up over 23% since 2009, and 2012 was the highest sales tax year ever, including pre-recession years. But don’t read that message incorrectly. Our goal in attracting new businesses is not to just derive tax revenue from them. Sales tax revenue is one way to objectively verify our growth over previous years. Local businesses provide jobs for Bensenville residents, they add great dining and shopping options, and they help make us a better community in all respects. Because of our proximity to O’Hare and Chicago, and because we feel we have a lot to offer in terms of location and labor, we see no reason why Bensenville can not compete for industry on a global basis.

Our recent growth has come in part from efforts to build relationships with the business community. The Village has eliminated confrontational and burdensome permit processes and established a Business Advisory Council to allow us to work together on solving key issues affecting all of us. By reducing costs and time needed to secure permits, and by eliminating unnecessary fees, we’ve encouraged businesses to invest in innovation and growth. The occupancy rate in our industrial park, once the lowest in the region, is now at an all time high.

We are pleased to announce that plans for a new McDonald’s restaurant were recently approved by the Village Board. In addition, not only are all of our previously vacant car dealerships now full, but Roesch Ford has begun an extensive remodel of their dealership on Grand Avenue. PNC Bank has constructed a new branch in town and many other retail, dining, and manufacturing firms are headed our way. As more businesses open, they bring employees and new consumers to Bensenville, compounding the benefit to our community.

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A STEWARD OF OUR RESOURCESWhere is the revenue used?In 2012 the Village Operating Expenditures (including debt service payments) were budgeted at $34,194,502. This money was used to fund all the various services the Village provides including Police Protection, Clean Water, Sanitary Sewer Disposal, Recycling and Refuse, Storm Sewers, Maintenance of Village Streets and Sidewalks, Snow Plowing, Economic Development, Code Enforcement, the Edge Ice Arenas, Village Owned Parks, Recreation Programs and Special Events including Music in the Park. Additionally, the Village uses operating revenues to pay down existing debt service. The Chart below shows Village operating Expenditures by functional category.

SALARIES $8,521,550BENEFITS $3,329,345TEAM DEVELOPMENT $260,745PROFESSIONAL SERVICES $2,138,289CONTRACTUAL SERVICES $8,063,084COMMODITIES $912,963OTHER EXPENSES $1,113,550PROGRAMS $2,226,883DEBT SERVICE $7,628,093TOTAL $34,194,502

If you compare Operating Revenues to Operating Expenditures you will see that we have budgeted almost $3 million more in revenue than in expenditures. This budget reflects our continued trend over the last four years of not operating at a deficit. Additionally, the Village does not rely on any one-time revenue sources or accounting gimmicks to cover routine operating expenditures.

What are charges for services?Some Village services are funded through a direct charge for that service rather than through another revenue source such as a tax. One service the Village provides in this manner is clean water. The Village does not utilize any tax revenue to fund the water utility; rather it relies on direct charges through billing directly for this service. The following chart shows where the $14,323,875 in charges in services comes from.

Water and Sewer $9,604,675 Edge/Redmond Park $2,489,000 Inspection Fees $76,600 Movie Theatre Complex $113,000 Programs/Other $427,100 Recycling and Refuse $1,567,000 Commuter Parking $35,000 Dial-A-Bus $11,500 Total $14,323,875

VILLAGE OF BENSENVILLE WINS AWARD FOR EXCELLENCE IN GOVERNMENT FINANCECHICAGO, IL - June 10, 2012 - The Government Finance Officers Association of the United States and Canada (GFOA) announced the winners of its 2012 Awards for Excellence in Government Finance. The GFOA’s most prestigious awards recognize contributions to the practice of government finance that exemplify outstanding financial management. The awards stress practical, documented work that offers leadership to the profession and promotes improved public finance. The Village of Bensenville is just the third Illinois municipality to ever win this International award.

The Village won in the category of eGovernment and Technology. Below is a synopsis of the Village’s winning submittal:

Bensenville is a municipal leader through implementing an electronic Customer Relationship Management (CRM) system that makes interactions with the Village much more efficient and transparent for our homeowners and businesses. This system is the future of customer service in local government; it provides information not only to the Village but also to its partners. Unlike other organizations, Bensen-ville shares tools and resources with business partners to better serve the entire community. Once the village implemented the system throughout all departments to track performance and business processes, providing real-time information via the Internet, it expanded the project to include private-sector and intergovernmental partners, improving transparency, collaboration, communication, and performance. Bensenville cut through the bureaucracy that often keeps information in silos, giving its private business partners access to the same information that village staff has, resulting in better service and one-stop service for the citizens.

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A NEW IMAGE FOR BENSENVILLEAs a symbol of Bensenville’s turnaround and the opportunity we are poised to take advan-tage of, we present our new logo and taglines.

A modern logo and fresh taglines will help revitalize Bensenville’s image and elevate our profile as a great place to live and do business. Bensenville is uniquely positioned to be the Gateway to Opportunity, due to our community resources, proximity to major transportation hubs, and our transformation over the past four years. Our secondary tagline, Where Opportunity Takes Off! tells the commercial sector that Bensenville is open for business and is the place to invest in their future. We are excited to unveil the new logo and taglines and will be marketing our new image throughout 2013 and beyond.

STAYING CONNECTEDIt has never been easier to keep up to date with what’s happening in OUR community. On your phone, PC, laptop or tablet, the Village of Bensenville website offers easy integration, so you’ll stay connected at home, in the office, or when you are away.

Follow us on Facebook and Twitter by clicking on the icons in the lower left hand corner of the website (our Bensenville Mobile App is coming this Spring). Receive e-mail and cell phone notifica-tions, by clicking on the NOTIFY ME button in the upper left hand corner of the website, then choose the NEWS FLASH: BENSENVILLE NEWS envelope icon for e-mail alerts or the phone icon for phone alerts. You can choose one, the other or both. In 2012 we also began use of our Global Connect reverse 9-1-1 system to call residents and businesses with automated messages in English and Spanish in emergency situations.

www.bensenville.il.us

NOW THAT YOU’VE HEARD FROM US…We need to hear from you. Input from residents and businesses are critical to our mission. We welcome your input through our Neighborhood Conversa-tions program and periodic neighbor-hood surveys. In fact, many of our latest initiatives have come from what we heard directly through these programs. Our staff has undergone extensive training in customer service and we are increasing our efforts to be responsive to your needs. In fact, we were recently awarded recognition for the implementa-tion of our new Customer Relationship Management (CRM) system, which tracks our interactions with customers to ensure transparency and responsiveness.

If there’s anything you need from us, we welcome your phone call to Village Hall at 630 766 8200.

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