2025 Popular Annual Financial Report
Village of Buffalo Grove, Illinois
Table of Contents 2
Message from the Village President Budget Overview
3
A Closer Look at Buffalo Grove
4
Top Employers and Taxpayers Local Economy Revenue Overview
5
Major Village Initiatives & Developments
6
Village Pension Obligations Expense Overview Finance and Liabilities
7
Infrastructure Modernization Program (IMP)
Village of Buffalo Grove 50 Raupp Boulevard Buffalo Grove, IL 60089 info@vbg.org
2025 PAFR - PAGE 2
Village Trustees
Lester Ottenheimer
Message from the Village President I am very pleased annual
BG is... Eric N. Smith
to present Buffalo Grove's
Popular Annual Financial Report for the
Responsible
fiscal year ended December 31, 2025.
I'm proud of our ability to deliver the Buffalo Grove
David Weidenfeld
community with an overview of the Village’s progress and financial performance in a manner that is both transparent and easy to understand. This report
does
Safe
Budget Overview
not replace the Annual Comprehensive Financial
Buffalo Grove's 2025 budget is designed to provide residents and other
Report (ACFR),
interested parties with an easy-to-navigate format that clearly explains how
but rather provides a summary of
financial activities. The full disclosure financial
Joanne Johnson
Resilient
the Village allocates its resources. Each program strives to make BG more
statements, or ACFR, are available online at
responsible, resilient and/or safe. Every program consists of major services
vbg.org/financialreports.
the Village provides for its residents and the business community. Therefore, the budget document is organized by areas, programs and major services.
Analysis conducted within this report outlines growth
The gray boxes on the following pages provide an overview of each area.
drivers, capital projects and summarized financial and trend data. The presentation of financial information in
Each program provides oversight over the services that are provided either
the report has been derived from audited financial
directly to the community or indirectly as an internal support function. How
statements and conforms to generally accepted
resources are allocated within the annual budget provides the reader insight
accounting principles (GAAP) and related reporting
as to what the strategic priorities are and what services are valued by Village
standards.
stakeholders.
The
2025
budget
supports
18
programs
that
deliver
47
services.
Frank Cesario
The Village continues to prioritize financial transparency and open communication with its
Each year, the Village determines its level of service, strategic goals and
residents and businesses. I hope the information and
expectations
data provided in this guide to local financial activities
anticipated revenues and progress toward long-term operational and capital
in 2025 gives you a snapshot of the challenges and
development goals.
and
staffing
levels
based
upon
the
demand
for
services,
opportunities the Village of Buffalo Grove is managing today and into the future.
Denice Bocek
Sincerely,
The
Village
Clerk's
office
maintains
all
of
the
Village’s official records, meeting minutes and documents including
Eric N. Smith, Village President
Kevin Richards
as
well
business
as
and
a
range
liquor
of
services
licensing,
registration and municipal code updates.
voter
Janet Sirabian
A Closer Look at BG The
Village’s
net
position
increased
BG Quick Facts by
$23.4
million
(or
16.3
2025 PAFR - PAGE 3
percent)
during the fiscal year ended December 31, 2025. The governmental net position increased by $20.0 million (33.0 percent) and the business-type activities net position increased by $3.5 million (4.1 percent).
Equalized assessed valuation increased by $114.6 million or 6.0 percent to
$2.03 billion for the 2024 levy year (collected in 2025). Net position (in millions)
87%
38%
of residents have some level of post-secondary education
of residents were born outside of the United States
BG is... Responsible BG is committed to
$129,395
43,212
Median household income in BG
Total population in BG
being prudent stewards of the public dollar.
To achieve this commitment the village takes the
97%
79%
of residents in the labor force are currently employed
of residents have access to 4+ acres per 1,000 residents
42
11,167
is the median age of a BG resident
Single-family homes in Buffalo Grove
following actions:
Innovating the
Did you know?
Where Your Property Tax Dollars Go
administrative, personnel, and legislative functions
Managing the Village's finances, pension funds and debt service
Open BG provides a hub of direct access to the Village’s financial,
Overseeing the
historical and contractual data.
strategic use
Anyone can use this data to participate in and improve government. Check it out at vbg.org/openbg.
of information
74.9%
technology resources
17% 8.1%
2025 Top Employers and Tax Payers
Local Economy
BG has a distinctive local economy with an employment
manage operating and capital resources.
2025 PAFR - PAGE 4
External economic factors at the national and state level continue to impact the Village’s revenue profile and, subsequently its ability to
base of 17,000 daily workers.
BG is...
Resilient
BG strives to provide
Property tax collections totaled $18,070,495 which is an increase from BG has over 10 million square feet of commercial, office,
the previous year’s total of $17,696,110, an increase of 2.1 percent.
and industrial space. BG is home to several advanced
manufacturing centers as well as many high-profile firms
Water and Sewer collections increased from $16,714,336 in 2024 to
such as Siemens, Plexus and Yaskawa.
$17,231,813 in 2025, a total increase of 3.1 percent.
and maintain the highest quality
Sales taxes, both state shared and home rule, generated $22,768,216 in
infrastructure.
2025 versus $18,050,925 in 2024, an increase of 26.13 percent.
To achieve this commitment the village takes the
Revenue Overview
following actions:
Revenues for the Village’s governmental activities for the year ended December 31, 2025 were $77.1 million, an increase of $7.4 million or 10.6 percent. Property taxes continue to be the Village’s largest source Maintaining the
of revenue (23.4 percent) at $18.1 million. Included within the property
village's streets,
tax revenues are the pension levies for the Police and Firefighter Pension
grounds, water,
Funds and IMRF/Social Security. The pension levies account for 44.5
percent of the property tax levy. Other taxes and intergovernmental
drainage, and sewer
revenue including sales tax, state income tax, utility tax, prepared food
systems.
and beverage tax, hotel tax and real estate transfer tax total $35.6
million or 46.2 percent of total governmental activities revenue.
Improving the quality of municipal buildings, parking lots, and vehicles.
Did you know? Did you know? Buffalo Grove was recently ranked among the top cities
MoneyGeek.com
recently
evaluated
small
cities
and
in the country on U.S. News and World Report's lists of
towns across the United States - those with 30,000 to the Best Places to Live in America. Taking into account
100,000 - and happiness, ranked them according to the factorsresidents such as overall affordability,
Directing long term structural needs through engineering.
desirability and job market, Buffalo Grove ranked as the per capita cost of crime. They ranked Buffalo Grove the
#1 best place to live in Illinois and #15 best place to live
#1 safest town in the U.S., with a $22 crime cost per in America, in addition to being ranked the #18 safest
capita.
place to live in America based on annual crime data.
2025 Major Village Initiatives & Developments
2025 PAFR - PAGE 5
BG is... Safe BG knows that the community expects to be safe in their homes, at work, and around town.
To achieve this
Investing in BG
Progress at The Clove
A Vibrant Corridor
In 2025, the Village issued over 2,400
Progress continued at The Clove
Lazy Dog Restaurant and Wild Fork Grocer
commercial and residential permits.
redevelopment as planning began for the
opened for business at Lake Cook Road
These permits represent a total project
one-acre central park, while Dutch Bros
and Route 83. Both businesses have
valuation of $111.5 million in community
and Whole Foods announced plans to
enjoyed early success and are key
investment.
open at the site. The development also
additions to the Lake Cook Corridor.
welcomed its first residential tenants.
commitment, the village takes the following actions:
Ensuring the public's safety through emergency medical , fire, and police
Elsewhere around BG in 2025...
services.
Buffalo Grove again earned a AAA
Bond Rating from S&P. Phase I of a major redevelopment of
Chase Plaza was approved. The Village Board approved an amendment for a 41 unit townhome
Inspecting the environmental and health impacts of businesses.
development located within the Prairie View Station Area Plan. New businesses Belle Tire and Extra
Modernizing Public Safety
Electrifying Developments
Ground was broken for the
Anchor tenant Tesla opened for business
reconstruction of Fire Station 25 on
at the Bison Crossing Development on
Dundee Road. The new, state-of-the-art
Dundee Road, while construction
facility replaces the old station which had
continued on over 200 new luxury
stood since 1975. The facility is
apartments at the site. Rivian Automotive
anticipated to open in fall of 2026.
also rolled into BG, opening a new sales and service center at 909 Asbury Drive.
Space Self Storage opened along the Lake Cook Corridor. The Village launched a Events and
Programming Study to evaluate
Developing standards for the permitting and
community events and venues.
zoning of the
In 2025, 131 businesses opened,
village's
expanded or relocated in Buffalo Grove.
built
environment.
BG Police Quick Facts
Affirmative Action Recruiting Plan has been in place since 1986 and updated
2025 PAFR - PAGE 6
Village Pension Obligations The Fire Pension Fund had a funded ratio of 83.5%
return is 8.36 as of December 31, 2025
Adequate Reserves
assumption is 7% with a the five-year average
The Police Pension Fund had a funded ratio of
The Village had $20,394,591
79.8% as of December 31, 2025. The annual
in unassigned fund balance
interest rate assumption is 7% with a five-year
available in the General Fund
average return of 9.07% as of December 31, 2025.
on December 31, 2025.
73% of total retirement expenses are related to pension costs. In 2025, the Village contributed $5.7 million in employer obligations for current and future annuitants and $12.1 million was distributed to retired pensioners.
Financial Stability ⏤the ⏤bond rating
Expense Overview
The Village holds a AAA
The cost of all governmental activities this year was $60.2
current bonded general
million, an increase of 7.8 percent from 2024 ($4.3 million).
obligation debt.
highest possible
from Standard & Poor's on all
The largest increase was made in General Government
Policing Annual
expenses of $4.6 million in 2025. Public Works expenses
review revealed the
increased by $1.4 million (4.1 percent) while Public Safety
23rd consecutive
2025
as of December 31, 2025. The annual interest rate
every 3 years.
Biased Based
Finance and Liabilities
expenses decreased by $1.4 million (4.1 percent)
Public Safety Pension Funding
year without any complaints of biased based profiling.
The Fire Pension Fund is funded at 83.5%, and the Police Pension Fund is funded at 79.8%.
State statute mandates
that pensions be funded at 100% by 2040. Officers complete an 8-hour mental health first aid and a 40-hour crisis
Expenses from all business-type activities increased by $0.5
intervention training.
million or 3.2 percent. The Water Fund expenses increased by $0.3 million, and compared favorably to the yearly budget. Golf expenses remained consistent at $3.0 million in total.
The Village's financial policy requires a 25% fund balance for general operations. Learn more at www.vbg.org/financialreports.
2025 PAFR - PAGE 7
Infrastructure Modernization Program (IMP)
About the Infrastructure Modernization Program
The Infrastructure Modernization Program (IMP) encompasses the largest initiative in the Village’s history to replace and rehabilitate core infrastructure assets. Due to the development patterns of the Village since 1958, much of the water and sewer infrastructure as well as road deficiencies exist in the Cook County portions of the Village. However, given the desire to balance the needs of the entire village with this initiative, several projects are planned village-wide now through 2027. In 2024, the Village launched Phase II of the IMP, taking a different approach focusing on effective opportunity management and grant funding. It also has a heavy emphasis on facility modernization, as evidenced by the Village's new Public Works facility, completed in 2024, and Fire Station 25, currently under construction. Key 2025 IMP Project Impacts and Results
Project
Street Miles
Water Miles
Total Cost
Street Resurfacing
2.81
0.00
$3,179,511
Mill Creek Subdivision Phase I Utility & Street Improvements
0.60
0.73
$2,276,091
Northwoods Neighborhood Stormwater Improvements
1.36
0.10
8,918,727
Bernard Drive West
0.95
0.96
186,580
TOTAL
5.72
1.80
$19,087,169
Connect with the Village and stay informed
Village of Buffalo Grove 50 Raupp Boulevard Buffalo Grove, IL 60089 info@vbg.org