Committee Approves Coal Fund Spending and $100,000 Cap for 127 N. Main Renovation

Montgomery County Board Finance & Budget Committee | May 7 Meeting

Article Summary: The Montgomery County Board Finance & Budget Committee on Thursday, May 7, 2026, recommended a series of Coal Fund 375 expenditures totaling roughly $40,260 and approved a separate budget cap of up to $100,000 from the same fund for repairs and improvements at the 127 N. Main Street building. The Coal Fund balance stands at $10.989 million following a March royalty payment.

Coal Fund 375 Key Points:

• Coal Fund 375 expenditures of approximately $40,260 were recommended, including $21,312.05 to GTSI and $7,400 to replace the transmission in the sheriff’s vehicle.
• A separate motion set a Coal Fund 375 budget not to exceed $100,000 for repairs and improvements at 127 N. Main Street.
• The Coal Fund balance reached $10.989 million after a March royalty payment of $177,964.86.
• County Clerk Sandy Leitheiser reminded the committee at an earlier coordinating meeting that Fund 375 requests should begin with submissions to the County Board Administration office.

HILLSBORO — The Montgomery County Board Finance & Budget Committee on Thursday, May 7, 2026, voted unanimously to recommend a series of Coal Fund 375 expenditures and to authorize up to $100,000 from the same fund for repairs and improvements at 127 N. Main Street in Hillsboro.

The expenditure motion, made by committee member Evan Young and seconded by Dr. Patty Whitworth, recommended approval of the following Coal Fund 375 payments:

• $6,300 to Reid Baugher Century 21 Realty;
• $450 to Lipe Architecture;
• $273.47 to Ace Hardware;
• $2,060 to Dan Heise Plumbing;
• $11.97 to Ace Hardware (a second invoice);
• $93.75 to Mac’s Fire & Safety;
• $91.92 to Johnston Fire & Safety;
• $21,312.05 to GTSI;
• $1,672.92 to Motorola;
• $594.97 to Paragon Micro;
• $7,400 to replace the transmission in the sheriff’s vehicle.

The expenditures total approximately $40,260, with the GTSI payment representing the single largest line item. The minutes do not detail the specific equipment or services tied to each vendor. Sheriff Tyson Holshouser had informed the committee earlier in the meeting about the transmission problems in his department vehicle.

Larger 127 N. Main Budget Approved

A separate motion, made by Young and seconded by Rob Corso, recommended setting a Coal Fund 375 budget not to exceed $100,000 for repairs and improvements at the 127 N. Main Street building. That motion was also approved unanimously.

The 127 N. Main Street project has been moving on parallel tracks in two committees. The Buildings & Grounds Committee discussed the same $100,000 cap two days earlier, on May 5, after Maintenance Director Phil Ernst reported that he had contracted an engineer who determined the building meets ADA compliance under grandfathering status. Ernst told the Buildings & Grounds Committee that completed work and quotes on the building total $27,743.73 — primarily for electric, lighting, sewer and HVAC work.

Coal Fund Balance

The county Coal Fund continues to grow. A March royalty payment of $177,964.86 brought the Coal Fund balance to $10.989 million, the committee noted while reviewing capital improvement and Coal Fund reports.

The fund is the county’s primary source for capital expenditures, equipment replacement and similar one-time spending that falls outside the operating budget. Drawing the $100,000 cap from Coal Fund 375 keeps the 127 N. Main project off the operating books and ties it to a revenue stream that is itself directly linked to county coal royalty activity.

Process Reminder

At the April 30 Coordinating Committee meeting, County Clerk Sandy Leitheiser reminded committee members that under County Board Rules of Order, Fund 375 requests should begin with submissions to the County Board Administration office. The reminder followed earlier discussions about how Fund 375 requests reach the finance committee. The May 7 expenditures appear to have followed that submission path.

Other Business

The committee also recommended approval of a 36-month electricity and natural gas contract with Direct Energy, signed by County Board Administration on April 17 with Highway Department and Health Department accounts removed at the request of the board at its April meeting. The committee separately noted that Treasurer Nikki Lohman has filed claim forms with the Illinois State Treasurer’s Unclaimed Property division — the Frerichs “ICash” program — requesting nearly $6,000 owed to Montgomery County.

The Finance & Budget Committee’s recommendations now move to the full county board for final action.