HomeMy WebLinkAbout01-18-2022 Council Meeting Minutes ROLL CALL Yes No Absent
Alderperson Gossett X
Alderperson X
Lingenfelter
Alderperson Fritz X
Alderperson Hale X
Alderperson West X
Alderperson Lovell X
Alderperson Nelson X
Alderperson X
Chamberlin
ADDITIONS OR CORRECTIONS TO THE AGENDA
Attorney Jump asked to table item #5 under the legal and ordinance committee agenda until the
next meeting.
Motion and second were made by Alderpersons Nelson/West to table item #5 under the legal
and ordinance committee agenda.
ROLL CALL Yes No Absent
Alderperson Gossett X
Alderperson X
Lingenfelter
Alderperson Fritz X
Alderperson Hale X
Alderperson West X
Alderperson Lovell X
Alderperson Nelson X
Alderperson X
Chamberlin
The motion carried.
CONSENT AGENDA
APPROVAL OF THE COUNCIL MEETING MINUTES HELD JANUARY 4, 2021
POLICE REPORT
FIRE REPORT
PUBLIC WORKS REPORT
Motion and second were made by Alderpersons Nelson/Lingenfelter to approve the consent
agenda.
ROLL CALL Yes No Absent
Alderperson Gossett X
Alderperson X
Lingenfelter
Alderperson Fritz X
Alderperson Hale X
Alderperson West X
Alderperson Lovell X
Alderperson Nelson X
Alderperson X
Chamberlin
The motion carried.
COMMITTEE REPORTS:
FINANCE
ALDERPERSON ANDRA CHAMBERLIN, CHAIR
BILL LIST
No discussion took place regarding the bill list.
Motion and second were made by Alderpersons Chamberlin/Nelson to approve the bill list.
ROLL CALL Yes No Absent
Alderperson Gossett X
Alderperson X
Lingenfelter
Alderperson Fritz X
Alderperson Hale X
Alderperson West X
Alderperson Lovell X
Alderperson Nelson X
Alderperson X
Chamberlin
The motion carried.
DISBURSEMENT REPORT
Motion and second were made by Alderpersons Chamberlin/Nelson to approve the bill list.
ROLL CALL Yes No Absent
Alderperson Gossett X
Alderperson X
Lingenfelter
Alderperson Fritz X
Alderperson Hale X
Alderperson West X
Alderperson Lovell X
Alderperson Nelson X
Alderperson X
Chamberlin
The motion carried
TREASURER'S REPORT
Treasurer Wilkinson reported that the city currently has $250,000.00 in reserves for FY22. The
city is now putting money toward the obligations on the pension funds.
Motion and second were made by Alderpersons Chamberlin/Nelson to approve the treasurer's
report.
ROLL CALL Yes No Absent
Alderperson Gossett X
Alderperson X
Lingenfelter
Alderperson Fritz X
Alderperson Hale X
Alderperson West X
Alderperson Lovell X
Alderperson Nelson X
Alderperson X
Chamberlin
The motion carried
COMPTROLLER'S REPORT
Motion and second were made by Alderpersons Chamberlin/Nelson to approve the comptroller's
report.
ROLL CALL Yes No Absent
Alderperson Gossett X
Alderperson X
Lingenfelter
Alderperson Fritz X
Alderperson Hale X
Alderperson West X
Alderperson Lovell X
Alderperson Nelson X
Alderperson X
Chamberlin
The motion carried.
LEGAL AND ORDINANCE
ALDERPERSON CRAIG WEST, CHAIR
DISCUSS, CONSIDER AND VOTE ON AN ORDINANCE DECLARING SURPLUS REVENUE IN THE
CANTON 1- DOWNTOWN ST" AVENUE TIF DISTRICT SPECIAL TAX ALLOCATION FUND AND
AUTHORIZING PAYMENT OF THAT SURPLUS REVENUE TO THE FULTON COUNTY TREASURER
FOR DISTRIBUTION TO AFFECTED TAXING DISTRICTS ON A PRO RATA BASIS FOR TAX YEAR 2020
PAYABLE 2021. (1ST READING)
Attorney Jump explained that he intervened in the PTAB case filed by Canton Harvester Inn
seeking a significant reduction in their assessed value of their property.
Steve Kline was present at the meeting to discuss the TIF items on the agenda. Steve further
explained that there will be a revision to the TIF ordinance because of the potential amount that
the city will need to hold back as it relates to the PTAB. The amended ordinance will be brought
back to the next council meeting. The surplus agreement for TIF 1 only pertains to the hotel.
DISCUSS, CONSIDER AND VOTE ON AN ORDINANCE DECLARING SURPLUS REVENUE IN THE
CANTON 2-ROUTE 9/CHESTNUT STREET TIF DISTRICT SPECIAL TAX ALLOCATION FUND AND
AUTHORIZING PAYMENT OF THAT SURPLUS REVENUE TO THE FULTON COUNTY TREASURER
FOR DISTRIBUTION TO THE AFFECTING TAXING DISTRICTS ON A PRO RATA BASIS FOR TAX YEAR
2020 PAYABLE 2021. (1ST READING)
Steve Kline explained that this ordinance pertains to Canton's TIF district 2. The only difference
are the actual numbers. Once approved, the amount shown in the ordinance will be returned by
the city to the county treasurer. The county treasurer will then redistribute the surplus funds to
all of the affected taxing bodies.
DISCUSS, CONSIDER AND VOTE ON AN ORDINANCE APPROVING AND AUTHORIZING THE
EXECUTION OF A PROFESSIONAL SERVICES AGREEMENT FOR THE ESTABLISHMENT AND
ANNUAL ADMINISTRATION OF CANTON BUSINESS DEVELOPMENT NO 1 BY AND BETWEEN THE
CITY OF CANTON, FULTON COUNTY ILLINOIS AND JACOB & KLEIN, LTD. AND THE ECONOMIC
DEVELOPMENT GROUP, LTD (1ST READING)
Spoon River Partnership Economic Development Director Cole McDaniel explained that over the
last 18 months he has been working to identify some of the needs within the city. It became very
clear with some of the projects in town and having some vacant buildings that there is a huge
financial gap in getting the buildings renovated and getting tenants into them. It was identified
that there are a significant number of properties that need to be demolished, which requires
funding. The Odd Fellows building and the Legacy bookstore are significant projects that will
require a substantial investment. There is a huge financing gap for developers or entrepreneurs.
It became clear that a source of financing would need to be identified and incentivized at some
rate.
Steve Kline further explained that he worked to identify the boundaries of a proposed business
district. A business development district operates very similarly as TIF district, but there are some
major differences. The bid differences that are the source of the funds are not real estate taxes.
A business development district source of funds is a municipal sales tax. It is a special business
development district tax that the city would impose and it would be effective within the
designated project area. The concept is to have this done in a couple of stages. The first stage is
to address the more immediate need and projects. There are a couple of anchor projects in the
downtown and one on 5t" Avenue that Cole has been working on. They could benefit by being
included in the business development district. The idea is to begin with an area that would
include the area outlined in the map displayed at the council meeting. It is a relatively small
number of properties. Within this area a business district development plan could begin. The
plan could then be submitted to the Illinois Department of Revenue by April 1, 2022. The
department of revenue will only accept new business development districts twice per year. They
will accept new business development districts on April 15t for the new tax taking effect July 1.
The second deadline is October 151 for the BDD taxed to become effective as of January 1 of the
following year. In order to make this tool available for the April 1 deadline the city needs to start
with the area that needs it the most. A characteristic study and a plan with the necessary findings
would be submitted so the city can establish a business development district. If the city wanted
to proceed with a second phase of business development district, then the city would look at
additional areas which would then expand the business development district in order to finish
the second part. The city would then amend the business development district on or before
October 1. The business development district would overlap a large portion of TIF district#2 and
include a majority of TIF district #1. It would then extend to the north end of the community.
Business development districts don't rely on real estate tax. A business development district
relies on a municipal sales tax that is special to the redevelopment area that the city council
designates for a business development district. The tax that is imposed for this area- would be
imposed in quarter percent increments, but not to exceed a full one percent at any time during
the life of the business development district. There are different types of taxes that the city could
potentially impose within the business district. The first type is the retailer's occupation tax. The
only exception is that it does not apply to item that is sold and registered for title with the Illinois
Secretary of State (automobile sales) The second tax is the service occupation tax. This would
include anything bought at a fast-food restaurant, clothing etc. A tax of the consequence of the
service being provided is a service occupation tax. The retailer's occupation tax and the service
occupation tax would both beat the same rate that the city would impose. The third type of tax
that can be imposed by the city is a hotel tax. A hotel tax for a business development district
operates differently than what the city currently collects. When the city collects hotel tax now,
it goes into a fund that needs to be used for tourism and promotion. If it's collected within a
business development district as a BDD tax that hotel tax then goes directly in the business
development district fund and can be used for all kinds of eligible expenses that can be
reimbursed. When the tax is imposed, it only affects the properties that are within the business
development district area. This is not taxed on the whole community.
One of the largest differences between TIF and a business development district is that among
these different potential uses of business district funds is construction of new buildings. In a TIF
district you can't use TIF funds to reimburse the vertical construction of new private buildings. A
business development district allows the use of BDD funds to reimburse a portion or all of the
construction costs for private buildings otherwise, the list is very similar as the use of TIF funds.
Cole McDaniel explained that the former IH site and the Opera House lot and other vacant
properties would become much more attractive to developers by having the business
development district program and funds available to them. The program would be a good way
to incentivize these larger projects for developers.
Steve Kline further explained that there are no referendum requirements in regards to the
business development district tax. The city can use the BDD act as the authority to impose the
tax.
It will be essential for the city to keep a list of addresses within the business development district.
Last year a new law took place regarding online sales. If anyone purchases an item online, the
City of Canton receives tax revenue. This same law would apply to the business development
district even if it is purchased online.
The fee included in the proposal for Jacob & Klein LTD and the Economic Development Group is
$34,500.00 plus any reimbursable costs. The process is much shorter than creating a TIF district.
If the council approves the agreement in February, a public hearing would take place the
beginning of March to approve the business development district. The plans and the ordinances
would be submitted to the department of revenue. It would then be on the list with the
department of revenue to begin the tax on July 111
TIF 1 or TIF 2 can be used to help establish a business development district. Comptroller Beka
Schultz explained that a portion could be paid out of this fiscal year, and the remaining amount
could be paid out of next fiscal year. Treasurer Wilkinson said that she would rather use the TIF
2 fund. The Business Development District could then reimburse city funds.
DISCUSS, CONSIDER AND VOTE ON AN ORDINANCE APPROVING AND AUTHORIZING THE
EXECUTION OF A TIF INTERGOVERNMENTAL AGREEMENT BY AND BETWEEN THE CITY OF
CANTON, FULTON COUNTY, ILLINOIS AND THE CANTON UNION SCHOOL DISTRICT #66. 1sT
READING
Steve Kline explained that the city established TIF district #3 in 2017. The city was in discussion
with the superintendent about a TIF intergovernmental agreement about what was done for TIF
district#2. A draft was developed at that time, but there was not ever any feedback to complete
it. In November 2021 a staff member from Jacob & Klein was in Canton for a joint board review
meeting for the TIF district and the current school superintendent inquired about the availability
of the intergovernmental agreement.
DISCUSS, CONSIDER AND VOTE ON A RESOLUTION APPROVING AN AGREEMENT TO PROVIDE
FIRE PROTECTION AND EMS ASSISTANCE BY THE CITY OF CANTON TO ILLINOIS COMMUNITY
COLLEGE DISTRICT#534, A/K/A SPOON RIVER COLLEGE.
This item was tabled.
DISCUSS, CONSIDER AND VOTE ON A RESOLUTION APPROVING AN INTERGOVERNMENTAL
AGREEMENT WITH THE VILLAGE OF ST. DAVID FOR THE SALE OF ROAD SALT. RESOLUTION
#5351
Attorney Jump was contacted by the Village of St. David regarding the sale of road salt. The
Village of St. David sent a draft intergovernmental agreement for Attorney Jump's review. The
City of Canton would purchase road salt from the State of Illinois to the extent permissible. The
City of Canton would then sell the road salt to St. David up to 5 tons. The Village of St. David
would be responsible for picking up and transporting the road salt. The Village of St. David would
then pay to the City of Canton the cost that was paid for the salt. The contract will be for 1 year.
Motion and second were made by Alderpersons Nelson/West to approve the resolution and
place it on file.
ROLL CALL Yes No Absent
Alderperson Gossett X
Alderperson X
Lingenfelter
Alderperson Fritz X
Alderperson Hale X
Alderperson West X
Alderperson Lovell X
Alderperson Nelson X
Alderperson X
Chamberlin
The motion carried.
DISCUSS, CONSIDER AND VOTE ON AN ORDINANCE VACATING A PORTION OF NORTH AVENUE
E ROAD, CANTON IL(1ST READING) ORDINANCE #4270
City Engineer Keith Plavec explained that several aldermen were approached by the Grzanich
family. They are wanting to construct a home along Cass Place, but they are having some issues
with the flood plain. They are trying to get more land so they can get the house to fit outside of
the flood plain. The vacation is approximately a 50- foot strip just on the south side of Cass.
Maurer and Stutz prepared the vacation plat. Attorney Jump prepared the vacation ordinance
that is being presented. The homeowner would be responsible for the survey, plat and recording
fees.
Motion and second were made by Alderpersons Nelson/Fritz to waive the first reading of the
ordinance.
ROLL CALL Yes No Absent
Alderperson Gossett X
Alderperson X
Lingenfelter
Alderperson Fritz X
Alderperson Hale X
Alderperson West X
Alderperson Lovell X
Alderperson Nelson X
Alderperson X
Chamberlin
The motion carried.
Motion and second were made by Alderpersons West/Nelson to approve the ordinance and
place it on file.
ROLL CALL Yes No Absent
Alderperson Gossett X
Alderperson X
Lingenfelter
Alderperson Fritz X
Alderperson Hale X
Alderperson West X
Alderperson Lovell X
Alderperson Nelson X
Alderperson X
Chamberlin
The motion carried.
NEGOTIATIONS, GRIEVANCE & PERSONNEL
ALDERPERSON JUSTIN NELSON, CHAIR
DISCUSS AND CONSIDER COLLECTIVE NEGOTIATING MATTERS BETWEEN THE CITY OF CANTON
AND ITS EMPLOYEES OR THEIR REPRESENTATIVES, OR DELIBERATIONS CONCERNING SALARY
SCHEDULES FOR ONE OR MORE CLASSES OF EMPLOYEES
No discussion took place in open session.
DISCUSS, CONSIDER AND VOTE ON A RESOLUTION APPROVING A COLLECTIVE BARGAINING
AGREEMENT AND RELATED AGREEMENTS BETWEEN THE CITY OF CANTON AND THE ILLINOIS
FRATERNAL ORDER OF POLICE LABOR COUNCIL, UNIT#840 RESOLUTION #5352
This item was discussed at the clerical committee meeting held on 01-18-2022. It was the
recommendation of the committee to send to council for consideration.
Motion and second were made by Alderpersons Nelson/Chamberlin to approve the resolution
and place it on file.
ROLL CALL Yes No Absent
Alderperson Gossett X
Alderperson X
Lingenfelter
Alderperson Fritz X
Alderperson Hale X
Alderperson West X
Alderperson Lovell X
Alderperson Nelson X
Alderperson X
Chamberlin
The motion carried.
COMMUNITY& INDUSTRIAL DEVELOPMENT
ALDERPERSON JOHN LOVELL, CHAIR
DISCUSS, CONSIDER AND VOTE ON A SPECIAL EVENT AND ROAD CLOSURE REQUEST FOR THE
RED DOG RUN FOR CF TO BE HELD APRIL 23, 2022
An application was submitted for the annual Red Dog Run event and road closure on 151 Avenue
between Chestnut Street and Elm Street to be held April 23, 2022.
Motion and second were made by Alderpersons Lovell/Nelson to approve the special event and
road closure request for the Red Dog event for CF to be held April 23, 2022.
ROLL CALL Yes No Absent
Alderperson Gossett X
Alderperson X
Lingenfelter
Alderperson Fritz X
Alderperson Hale X
Alderperson West X
Alderperson Lovell X
Alderperson Nelson X
Alderperson X
Chamberlin
The motion carried.
PUBLIC WORKS, WATER& SEWER
ALDERPERSON ANGELA LINGENFELTER, CHAIR
DISCUSS, CONSIDER AND VOTE ON A RESOLUTION APPROVING AN AGREEMENT BETWEEN
THE CITY OF CANTON, ILLINOIS AND AMEREN ILLINOIS COMPANY FOR A NEW TRANSFOMER
TO BE LOCATED AT 25495 N LAKESHORE DRIVE CANTON ILLINOIS (WATER PLANT)
RESOLUTION #5353
Utility Director Joe Carruthers explained that currently they have an old substation. The power
station was built for high power electrical equipment at the water plant that is not there
anymore. The agreement with Ameren eliminates the old equipment and puts a new power
service in that will be compatible with the plant improvements that are scheduled.
The water treatment plant is a good location for solar power. There is a location for this type of
project. The solar equipment could then further save utility costs into the future. The USEDA
funds are not intended for this cost.
Motion and second were made by Alderpersons Nelson/Lingenfelter to approve the resolution
and place it on file.
ROLL CALL Yes No Absent
Alderperson Gossett X
Alderperson X
Lingenfelter
Alderperson Fritz X
Alderperson Hale X
Alderperson West X
Alderperson Lovell X
Alderperson Nelson X
Alderperson X
Chamberlin
The motion carried.
PUBLIC SAFETY AND TRAFFIC
ALDERPERSON ANGELA HALE, CHAIR
STREETS AND GARBAGE
ALDERPERSON JEFF FRITZ, CHAIR
LAKE, BUILDINGS AND GROUNDS
ALDERPERSON GREG GOSSETT, CHAIR
MAYOR COMMUNICATION
Mayor McDowell thanked the public works department for their work during the recent winter
storm.
Condolences were sent to city employee Cole Swibold for the recent passing of his father.
The city will remain on zoom during the month of February due to the rapid increase in covid
cases.
Chief Mike Eveland wanted to congratulate the police department employees after a recent call
to the Carrolton Apartments. A letter was submitted by the resident at the apartment on how
well the police department responded.
OLD BUSINESS
NEW BUSINESS
ADJOURNMENT
MOTION and second were made by Alderpersons Nelson/Chamberlin to adjourn into executive
session for 51LCS 120/2 C1, C2, C11.
ROLL CALL Yes No Absent
Alderperson Gossett X
Alderperson X
Lingenfelter
Alderperson Fritz X
Alderperson Hale X
Alderperson West X
Alderperson Lovell X
Alderperson Nelson X
Alderperson X
Chamberlin
The motion carried.
CITY OF CANTON
RECONVENED COUNCIL MEETING MINUTES
DONALD E EDWARDS WAY
50 NORTH 4T" AVENUE CANTON IL
01-18-2022
VIA ZOOM
Mayor McDowell called the meeting to order after the executive session meeting.
ROLL CALL Yes No Absent
Alderperson Gossett X
Alderperson X
Lingenfelter
Alderperson Fritz X
Alderperson Hale X
Alderperson West X
Alderperson Lovell X
Alderperson Nelson X
Alderperson X
Chamberlin
The motion carried.
No further discussion took place in open session.
ADJOURNMENT
MOTION and second were made by Alderpersons Nelson/Chamberlin to adjourn.
ROLL CALL Yes No Absent
Alderperson Gossett X
Alderperson X
Lingenfelter
Alderperson Fritz X
Alderperson Hale X
Alderperson West X
Alderperson Lovell X
Alderperson Nelson X
Alderperson X
Chamberlin
The motion carried
Diana Pavley Rock, City Clerk
Kent McDowell, Mayor