HomeMy WebLinkAbout11-01-2011 Council Meeting Minutes
A regular meeting of the Canton City Council was held on November 1, 2011 6:30pm in the Council
Chambers, The Donald E. Edwards Way-50 North 4th Avenue, Canton, Illinois 61520.
Aldermen in attendance:
Aldermen Jeff Fritz, Eric Schenck, Jim Hartford, Dave Pickel, Justin Nelson, Craig West and Jeremy Pasley
Aldermen absent: Gerald Ellis
Staff in attendance:
Comptroller Caty Campbell, City Attorney Chrissie Peterson, Mayor Kevin Meade, City Administrator Jim
Snider, City Clerk Diana Tucker, Treasurer Nickie Marter, Deputy Police Chief Rick Nichols, Fire Chief
Keith Frank, Interim Public Works Director Bill Terry, City Engineer Keith Plavec
Media in attendance:
Daily Ledger- John Froehling, Daily Ledger
Video Services by 1oe Ginger
Others in the audience: Jean Beachom,lohn Nania, Rich Spilky (Integry Representatives)
Phil Fleming
THE PLEDGE OF ALLEGIANCE OPENED THE MEETING FOLLOWED BY THE INVOCATION GIVEN BY CITY
ADMINISTRATOR 11M SNIDER
ROLL CALL Yes No Absent
Alderman Schenck x
Alderman Pasley x
Alderman Fritz x
Alderman West x
Alderman Nelson x
Alderman Ellis x
Alderman Pickel x
Alderman Hartford x
CONSENT AGENDA
Minutes of Council meetin~ held October 18. 2011
Minutes of Mechanical Committee meetin~ held October 25. 2011
Motion and second was made by Aldermen Hartford/Pickel to accept the minutes as presented and be
placed on file.
The motion carried by voice vote and was unanimous.
PUBLIC PARTICIPATION
David Stremmel- Posting removal for property demolition
Not present for discussion
COMMITTEE REPORTS:
Public Safetv & Traffic - Alderman Jim Hartford, Chairman
TIRE PURCHASE- FIRE ENGINE # 1
Firefighters noticed that the tread on Engine #1 was worn, so they took the truck to KC Sales to have
them take a look. The tread is thinner than allowed and some cord is showing.
Chief Frank received a price from KC Sales of Canton and also checked them by comparing with a
dealership in Peoria. The pricing on the tires is state pricing, so it was identical at both shops. From the
looks of the two bids, it appears that KC Sales presented the lower price in the amount of $2085.20.
Motion and second were made by Aldermen Hartford/Nelson to approve the tire purchase for fire
engine # 1 in the amount of $2085.20
ROLL CALL Yes No Absent
Alderman Schenck x
Alderman Pasley x
Alderman Fritz x
Alderman West x
Alderman Nelson x
Alderman Ellis x
Alderman Pickel x
Alderman Hartford x
The motion carried.
CHUBBS SUBCLASS E LIQUOR LICENSE (SAMPLE51
Mayor Meade explained that Chubb's completed an application for a subclass E liquor license (samples).
The license would allow Chubb's to offer wine tasting on different occasions.
Motion and second were made by Aldermen Hartford/Pickel to approve the subclass E liquor license for
Chubb's.
EAP REQUEST
During last week's committee meeting Chief Frank discussed the employee assistance program that
would be offered by North Central Behavioral Health Services. The total cost per year for the program
based on the number of current full time employees would be $3,744.00. The amount for the
remainder of this year would be $1,872.00 which would be paid from the budgeted wellness program
fund.
Motion and second were made by Aldermen Hartford/Nelson to approve the EAP request for the annual
amount of $3,744.00 and $1,872.00 for the remainder of this year.
ROLL CALL Yes No Absent
Alderman Schenck x
Alderman Pasley x
Alderman Fritz x
Alderman West x
Alderman Nelson x
Alderman Ellis x
Alderman Pickel x
Alderman Hartford x
The motion carried
Streets and Garba~e- Alderman Justin Nelson. Chairman
CHRISTMAS PARADE
The Christmas parade will be held November 26, 2011 at 10:OOam. The parade route will start at the
high school and end at the Santa House. This will be presented as a resolution below.
REQUEST TO PURCHASE TRUCK
Interim Public Works Director Bill Terry explained that the request is to purchase a truck in the amount
of approximately $27,000.00 which includes a plow package.
Motion and second were made by Aldermen Nelson/Pickel to approve the purchase of a truck from the
state bid received in the approximate amount of $27,000.00.
ROLL CALL Yes No Absent
Alderman Schenck x
Alderman Pasley x
Alderman Fritz x
Alderman West x
Alderman Nelson x
Alderman Ellis
Alderman Pickel x
Alderman Hartford x
The motion carried
Lake, euildinas & Grounds - Alderman Eric Schenck, Chairman
Nothing for council action.
Public Works, Water & Sewer - A/derman Justin Nelson Actina Chairman
Alderman Ellis (Absent)
APPLICATION FOR PAYMENT NO 6 AND FINAL FOR CHESTNUT STREET EXTENSION FROM OTTO BAUM
IN THE AMOUNT OF $21,700.20
Motion and second were made by Aldermen Nelson/Pickel to approve the application for payment.
ROLL CALL Yes No Absent
Alderman Schenck x
Alderman Pasley x
Alderman Fritz x
Alderman West x
Alderman Nelson x
Alderman Ellis x
Alderman Pickel x
Alderman Hartford x
The motion carried
APPLICATION FOR PAYMENT NO 7 FOR WWTP CHLORINATION IMPROVEMENTS FROM LEANDER
CONSTRUCTION IN THE AMOUNT OF $60128.64
Keith Plavec explained that the payment would be paid by bond dollars and the City would still hold a
retainer in the amount of $11,285.00.
Motion and second were made by Aldermen Nelson/Hartford to approve the application for payment
ROLL CALL Yes No Absent
Alderman Schenck x
Alderman Pasley x
Alderman Fritz x
Alderman West x
Alderman Nelson x
Alderman Ellis x
Alderman Pickel x
Alderman Hartford x
The motion carried
APPLICATION FOR PAYMENT NO 2 FOR WWTP UV DISINFECTION PROJECT FROM LEANDER
CONSTRUCTION IN THE AMOUNT OF $141,913.80
Motion and second were made by Aldermen Nelson/Hartford to approve the application for payment
ROLL CALL Yes No Absent
Alderman Schenck x
Alderman Pasley x
Alderman Fritz x
Alderman West x
Alderman Nelson x
Alderman Ellis X
Alderman Pickel x
Alderman Hartford x
The motion carried
INTEGRYS- CITY OF CANTON ELECTRIC AGGREGATION PROPOSAL
City Administrator Jim Snider explained the following:
As a follow up to Intergrys' presentation to the Mechanical Committee Meeting last Tuesday, I posed a
couple of questions to them in light of the City of Peoria's decision to select Good Energy as their
consultant for municipal electricity aggregation. Outlined below is Kevin Ritter's response to these two
questions:
• With Good Energy securing the rights to market the City of Peoria, they have signed up
several of the area cities in the region, thus the question - why not go with them so that we
could potentially save in the purchase price of electricity with them purchasing such a large
block of electricity for the region?
Intergrys' Response: Bundling municipalities to buy in bulk may not be in the best interest of the City
of Canton. The costs to serve (transmission costs) are relatively stable as compared to the actual
power supply. This fact could make it less expensive to serve some residents while making it more
expense to serve other residents. We estimate that the resident's in the City of Canton have a
relatively stable profile (the average usage among homes is similar) and this will allow Integrys to
create a custom price which could beat a larger pool of very different usage profiles. Plus, we don't
think it likely, but even if there is "larger bulk" cost savings these same savings could be eroded by not
timing the electricity market and other factors that I explain further in the next answer.
• Good Energy is a pure broker and will bid out its demand to several ARES. Wouldn't we be
assured a lower cost for our residents with an open bidding process in place instead of
relying on Integrys to purchase a more competitive rate?
Intergrys' Response: Bidding does not assure a lower cost for residents and we have evidence that it
could actually create higher costs for the residents. There are three main factors to buying electricity
that could make a bidding process less competitive:
1. The Consultin~ Fee and Motivation: The consultant will have a fee that is placed on top of the
chosen supplier's price. It is a pre-determined premium cost applied to each kilowatt hour. A
town of 10,000 homes using 12,000 kilowatts annually per home equals 120,000,000 total
kilowatt hours. 120,000,000 x$.0004 =$48,000 annual fee. The fee is passed on to the
residents resulting in a higher price. We do not know the specific arrangement with Good
Energy but their fee is likely similar to this scenario. As you can see from this arrangement, the
broker's motivation is not to obtain a lower price but rather to get the bid done quickly. At
Integrys we set a price goal with the City and review the market to determine the best time to
lock-in.
2. Consultants Do Not Know The Wholesale Electricitv Market: A consultant conducting an RFP
on a random bid day can result in a higher price to the City. This is really regardless of which
supplier is chosen because the electricity futures market may be higher when the bid is
started. Integrys' provides the flexibility of locking into a contract price on a day that the
electricity futures are trading at a monthly low, ensuring the City can achieve a low contract
price for its residents. The electric futures market can be volatile and fluctuate 1-2 percent a
day. Timing this event is one of the most important things we can do for you. This is one
major advantage of partnering directly with Integrys.
3. Bid Process and "Holdin~ Bids" Creates Premium Costs: The bid process typically requires
holding market prices for 24 to 48 hours while an advisory board (or group of municipalities)
reviews the various bids. This "bid holding" in turn requires the supplier to purchase options
to protect against possible market shifts. These contracts for multi-year deals will further
increase the price (approximately $.25 -$3.00/MWh) and have to be added to the price by
every supplier. With Integrys' turnkey approach, the City would set a savings target discount
in advance of price execution and thus avoid these extra premium costs.
The action requested for Tuesday night is approval from the Council for the City Administrator to
negotiate an agreement with Integrys Energy Services to provide professional energy consulting services
for the City of Canton for the procurement of electricity for the City of Canton residential and small
commercial accounts otherwise known as an electricity residential opt-out program.
Kevin Ritter with Integrys will be available Tuesday evening to answer any additional questions you may
have. If it is the Council's pleasure, we could move forward on November 15th with a first reading of an
ordinance to place the referendum question on the March, 2012 primary ballot.
Alderman Pasley asked if any other city uses Ingtegrys.
It was explained that aggregation in Illinois is very new. Northern Illinois has 19 out of 20 towns recently
passing referendums. Of those towns five selected Integrys as their energy provider from a bidding
process. Integrys has successfully conducted aggregation services in the state of Ohio (where
aggregation services have been going on for several years) for over 25 towns.
Motion and second were made by Aldermen Schenck/Pickel to direct staff to move forward with
preparing an agreement with Intregry's for aggregate services.
Alderman Nelson asked what determines the size of a small business that would be included in the
services. Integrys representatives explained that most communities lump a group into the small
commercial or small business category and they are using the rate classes that Ameren has as the
designation. Ameren has two business classes above the residential classes. The City would decide if
they want the businesses included in the aggregation or if they would only want the residential classes
included in the aggregation.
Alderman Nelson asked if residents are being contacted at this time. Integrys representatives explained
that Integrys has been marketing their services. To offer aggregation in a community the law requires
that two formal public hearings take place to answer citizen's questions. If the referendum passes in
March another communication comes from Integrys that provides an opportunity for an opt- out. If the
person is with another supplier they will not receive any notice. If someone is already with Integrys
they will be given the lower rate offered.
Further information will be brought back at next week's committee meeting.
A PRE-ANNEXATION AGREEMENT BETWEEN THE CITY OF CANTON AND GLENNA PRATHER AND
JUDITH TUTTLE.
Motion and second were made by Aldermen Nelson/Pickel to approve the pre-annexation agreement
between the City of Canton and Glenna Prather and ludith Tuttle.
ROLL CALL Yes No Absent
Alderman Schenck x
Alderman Pasley x
Alderman Fritz x
Alderman West x
Alderman Nelson x
Alderman Ellis X
Alderman Pickel x
Alderman Hartford x
The motion carried
Communications from Mavor Kevin R. Meade
SALVATION ARMY
Captain Tim Nauta of the Salvation Army is again asking us to participate in their Red Kettle Campaign.
This year the City will be soliciting donations at Hy-Vee on Friday, November 11`n
Let's all remember those in our community who are less fortunate than ourselves and will truly benefit
from an hour or two of your time.
PROCLAMATION -JAZZ AND BLUES DAY
Mayor Meade read the following proclamation:
WHEREAS, The mission of the Fulton County Rehabilitation Center is to provide training and opportunity
to its consumers, so they may achieve success toward independence in their lives, and
WHEREAS, To accomplish this mission the Fulton County Rehabilitation Center and its staff advocate for
and serve all eligible individuals without regard to disability, dependent status, race, creed, color, sex,
national origin, age, religion or financial status, and
WHEREAS, The Fulton County Rehabilitation Center insures quality of life to those it serves by giving
them exposure to opportunities, freedom of choice, opportunities for participation in community life,
and encouraging and developing self-direction in all they serve, and
WHEREAS, The Fulton County Rehabilitation Center serves over one hundred people with special needs
from Fulton and Mason Counties, and
WHEREAS, The economic downturn has affected the Fulton County Rehabilitation Center and is
exacerbated by the delinquency in reimbursements by the State of Illinois, and
WHEREAS, Despite drastic budget cuts the Fulton County Rehabilitation Center must look at alternate
funding sources to maintain the level of service provided to their consumers, and
WHEREAS, Robin Crowe a premier Blues performer from Peoria has agreed to perform at a concert to
benefit the Fulton County Rehabilitation Center, and
WHEREAS, Preston lackson and Friends are a preeminent Jazz group from Peoria who have agreed to
perform at a concert to benefit the Fulton County Rehabilitation Center, and
WHEREAS, The Canton High School Jazz Band featuring local high school Jazz musicians has agreed to
open a concert to benefit the Fulton County Rehabilitation Center, and
WHEREAS, Monical's Pizza of Canton has agreed to present "An Evening of Jazz and Blues" a concert to
benefit the Fulton County Rehabilitation Center.
Now, therefore, I do hereby proclaim that Friday November 4, 2011 shall be An Evening of Jazz and
Blues day in Canton, Illinois and urge our citizens to support the Fulton County Rehabilitation Center
though their attendance at the concert being held in the family friendly confine of Ingersoll Middle
School.
APPOINTMENT- PHIL FLEMING AND GARY LEASE/ PLANNING AND ZONING
Mayor Meade appointed Phil Fleming and Gary Lease to the planning and zoning board.
Motion and second were made by Aldermen Hartford/Nelson to approve the appointments.
The motion carried by voice vote and was unanimous.
CLOROX CHALLENGE FOR LINCOLN SCHOOL
Mayor Meade explained that voting is now open for the Bright Future Grant offered from the Clorox
challenge. Lincoln school could win up to $50.000.00 that would be used to build a walking track at the
school. Citizens can vote at www.powerabri~htfuture.com or text Clorox 2322 to the number 44144.
Voting is opened until December 9, 2011
LEAF COLLECTION/BURNING
Interim Public Works Director Bill Terry explained that the leaf collection program is currently taking
place. This week the department is picking up on Wednesday's garbage route and then going back to
the previous routes when they are finished. The department will continue to pickup leaves.
Fire Chief Keith Frank encouraged everyone to use common since when burning. The City ordinance
requires twenty feet between burning leaves and a structure. The leaves should not be burned in the
city streets. Citizens were reminded of the yard waste facility in town.
Mayor Meade congratulated the chamber of commerce for their success again this year with the
munchkin masquerade. A scarecrow contest was held that attracted many people to the downtown
area.
TAX LEVY
City Administrator Jim Snider distributed a memo for the tax levy with a proposed increase in the
amount of $79,498.00 for the 2011 Levy. This amount is in line with the anticipated growth in the EAV
of 4.0%. A hearing will not be required for anything below 5.0%. The Tax levy will be reviewed in
committee next week. The first reading will be held on November 15, 2011 and the final reading will be
held on December 6, 2011. The Clerk will file the levy with the county by the last Tuesday in December
2011.
TIF REVIEW BOARD UPDATE
On October 11, 2011 the joint review board held a meeting to discuss the proposed first amendment to
the IH TIF district. The joint review board voted unanimously to approve the action of presenting the
ordinance for the first amendment to the IH TIF district to the council. The first reading to the
amendment is listed below. Part of the amendment changes the name to Canton 1 Downtown/5tn
Avenue TIF District.
On October 11, 2011 the joint review board also discussed the proposed Canton 2 Route 9/Chestnut
Street TIF district plan projects and area. This meeting reconvened today and the result of the
discussion at this point resulted in the majority voting against the plan with the information currently
provided. The chair (Roy Webb) of the committee will provide their concerns in writing for further
review. The letter will be presented to the City by November 8, 2011. The concerns relate to the
boundaries and the fact that persons within the boundaries have not yet been annexed into the City of
Canton. The board expressed concerns over the fact that some of the parcels have not been annexed
into the City so it does not make them eligible to be included into the TIF district.
Steve Kline explained that the plan itself is a draft and it is not uncommon during a study period to
include properties that may not be annexed into the City. Many times a petitioner wants to know that
their property is going to be eligible to be included into a TIF district before they continue with an
annexation. Steve further explained that any properties that have not been properly annexed into the
City would need to be excluded from the plan.
The second concern raised by the joint review board was that there are properties currently listed in the
proposed Canton Route 9/Chestnut Street TIF district that are currently located within the existing IH TIF
district. Steve Kline explained that this is not an unusual procedure and when a new TIF district is being
established it is acceptable to remove properties from one TIF district and qualify them for another TIF
district with proper procedures to follow.
The third concern raised by the joint review board was there are parcels within the proposed Route
9/Chestnut Street TIF area that are owned by one local official. The official has provided a copy of the
tax bill and when the final map is prepared for approval this parcel will be excluded from the TIF district.
An official of the City that has a responsibility of establishing or administering the TIF district can't own
property inside the TIF district. If a piece of property is purchased at a later date by a City official the
information would need to be disclosed to the City Clerk. The options a city official would have would
be to either remove it from the TIF district by amendment or leave the property within the TIF and not
participate in any discussion or voting that would come before the council in the future.
Steve Kline further explained that he does not see these as valid objections to the project and the City
should stay on the timetable provided and hold the public hearing and establishing the TIF district as
discussed.
Mayor Meade explained that establishing the TIF districts within the community provides the City with
the tool to look for development. Without a TIF district the City would not have the tools available to
offer incentives for future developers that will benefit the entire community. If the City does not try to
develop these areas within the proposed TIF district the areas will more than likely look the same as it
does today within the next twenty years. The public hearing will be held next week to discuss the
proposed TIF district with the community.
OLD BUSINESS
AN ORDINANCE PROVIDING FOR A NO PARKING SIGN IN THE 600 BLOCK OF NORTH AVENUE B
PROHIBITING PARKING ON THE EAST SIDE OF THE STREET FROM VINE STREET TO MYRTLE STREET, IN
THE CITY OF CATNON, FULTON COUNTY, Illinois (2"d reading) #2049
Motion and second were made by Aldermen West/Nelson to approve the ordinance and place it on
record.
ROLL CALL Yes No Absent
Alderman Schenck x
Alderman Pasley x
Alderman Fritz x
Alderman West x
Alderman Nelson x
Alderman Ellis x
Alderman Pickei x
Alderman Hartford x
The motion carried
NEW BUSINESS
A RESOLUTION SUPPORTING CANTON UNION SCHOOL DISTRICT # 66 IN THEIR QUEST TO STOP THE SALE
OF SYNTHETIC MARUUANA WITHIN THE CITY LIMITS OF CANTON ILLINOIS. # 3968
Motion and second were made by Aldermen Hartford/Pickel to approve the resolution and place it on
record.
The motion passed by voice vote and was unanimous.
A RESOLUTION FOR TEMPORARY ROAD CLOSURE OF A STATE MAINTAINED ROADWAY FOR A PUBLIC
EVENT. # 3969
Motion and second were made by Aldermen Nelson/Hartford to approve the resolution.
The motion carried by voice vote and was unananimous.
AN ORDINANCE TO APPROVE THE FIRST AMENDMENT TO THE REDEVELOPMENT PLAN AND PROJECTS
FOR THE CANTON INTERNATIONAL HARVESTER SITE PROJECT AREA TAX INCREMENT FINANCING
DISTRICT. (1ST READING)
Adiournment
Motion and second was made by Aldermen Hartford/Pickel to adjourn without an executive session.
Motion carried by voice vote and was unanimous.
Ma r 'n R. eade
City Clerk Diana Tucker