The appropriation ordinance is one of the most important ordinances adopted by the South Holland Village Board each year. This ordinance provides the legal authority under which the Village of South Holland allocates money to specific spending activities. In addition, it establishes the Village’s legal spending limit for the fiscal year, and serves as the basis for the property tax levy.
As a result, it is crucial for the Village Board and Administration to carefully anticipate and appropriate for all expenditures they wish to make during the fiscal year. Even so, one must remember that the appropriation ordinance only outlines those expenditures which can be made if adequate revenues are available; it does not necessarily mean that sufficient revenues are actually on hand to pay for such expenditures.
Illinois law requires municipalities to adopt the annual appropriation ordinance no later than the end of the first quarter of the new fiscal year.