by Sarah DeMaranville
Geneseo Current
GENESEO, IL — The City of Geneseo's proposed 2027 budget includes investments in infrastructure, utilities, and municipal equipment, while keeping general government spending nearly balanced.
The spending plan covers January 1 through December 31, 2027, and outlines how the city intends to fund operations, public safety, streets, parks, and utilities.
General Fund Nearly Balanced
The proposed budget projects approximately $9 million in General Fund revenue and expenditures, with a relatively small difference between the two.
Sales tax revenue is expected to remain steady at $1.9 million, while state income tax revenue is projected to increase from $900,000 to $950,000.
During an earlier budget presentation, Jamie Schweickhardt, the city's finance director, explained that revenue estimates are based on 10 years of historical collections, with adjustments to provide additional funding for police pensions, emergency services, and street improvements.
Employee health insurance premiums, fuel costs, and contractual salary increases are among the expenses expected to rise in 2027.
Electric Utility Spending Increases
The city's Electric Fund projects approximately $8.81 million in revenue and $11.09 million in expenditures for 2027. Much of the increased spending involves capital investments, with approximately $3.18 million budgeted across two capital asset categories.
During an earlier budget discussion, Schweickhardt explained that insurance reimbursements associated with the city's wind turbines could affect year-to-year comparisons of the utility's financial reserves.
The city received one insurance claim reimbursement for the first wind turbine in 2026, which was recorded as unbudgeted revenue. Although that reimbursement will not appear as revenue in 2027, it is included in the fund balance at the end of fiscal year 2026.
The city is still awaiting a decision on the second insurance claim reimbursement. If that claim is denied, the City Council will need to determine whether to proceed with replacing the generators on both wind turbines.
The proposed 2027 budget includes capital expenses for replacing both turbine generators. If the council moves forward with both replacements, those capital expenses would remain unchanged. However, if the council chooses to repair only one turbine, capital expenditures would decrease.
Infrastructure and Capital Improvements
The proposed Capital Projects Fund includes approximately $1.45 million in expenditures.
Major allocations include $400,000 for a bridge project, $249,000 for public works equipment, $200,000 for municipal building improvements, maintenance, and unexpected repairs, $150,000 for street overlays, and $150,000 for two police patrol vehicles. Additional funding is included for street maintenance, park improvements, and cemetery road repairs.
Other planned improvements include maintenance at the South Water Tower, water and sewer system upgrades, drainage improvements, roof work at the street department, and improvements to Shelter One and the pergolas at City Park.
The city's spending plan also includes continued commitments to downtown redevelopment projects.
Water and Sewer Operations
The proposed Water Fund budget includes approximately $2.53 million in revenue and $2.90 million in expenditures.
The Sewer Fund projects approximately $2.56 million in revenue and $2.60 million in expenditures.
Planned projects include cleaning the interior of the South Water Tower, upgrading water valves, relocating hydrants, and maintaining wastewater equipment.
City officials have previously explained that aging infrastructure, regulatory requirements, and long-term replacement needs are major factors affecting utility costs.
J.F. Edwards Expansion and Ford Road Infrastructure
One of the most significant expenditures in the proposed budget involves infrastructure improvements associated with the potential expansion of J.F. Edwards.
Approximately $1 million in initial infrastructure work is underway along Ford Road. A second phase, involving sanitary sewer improvements along Chicago Street, is included in the 2027 budget in anticipation of the company's possible expansion in early 2027.
The General Fund administration budget includes $675,000 for professional services, compared with $65,000 in 2026. City officials have connected the increased allocation to the second phase of the infrastructure project.
During an earlier budget discussion, Council Member Paula Simosky questioned the $675,000 expenditure and its potential impact on city reserves. The finance director explained that the city would initially cover the infrastructure costs because the tax increment financing (TIF) district does not yet have sufficient revenue.
The 23-year TIF district was specifically established to help recover the upfront costs of sanitary infrastructure improvements through future property tax revenues generated by development.
The finance director indicated that recovering those costs could span the life of the 23-year TIF district, depending on the amount of additional revenue generated. She also explained that available revenue, including savings from a retired bond obligation, would help offset the expense.
The second phase remains dependent on J.F. Edwards formally moving forward with its proposed expansion, with a decision from the company expected in 2027.
Financial Outlook
Overall, the proposed budget reflects continued investment in infrastructure while using existing financial resources to support major projects.
Although several funds project expenditures exceeding annual revenues, those differences include capital investments and do not necessarily represent recurring operating losses.
The city's five-year capital plan, covering 2027 through 2031, also identifies longer-term infrastructure and equipment needs.
The City Council is scheduled to consider the budget Tuesday, October 27. A public hearing begins at 5:45 p.m., followed by the Committee of the Whole meeting at 6 p.m. and a special City Council meeting for final budget consideration.
Sources: City of Geneseo Proposed FY2027 Budget; FY2027–2031 Capital Planning documents; October 27, 2026, City Council agenda packets; previous Geneseo Current reporting on the 2027 budget and J.F. Edwards infrastructure improvements; and earlier City Council budget presentation transcript.
Editor's note: Figures reflect the proposed budget and remain subject to change before adoption.
