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HomeMy WebLinkAbout11-8-2011 Clerical Committee Minutes CLERICAL COMMITTEE Tuesday November 8, 2011- 6:45 p.m. Donald E. Edwards Way 50 North 4th Avenue Canton IL 61520 Aldermen in attendance: Dave Pickel, Justin Ne~son, Jim Hartford, Jeff Fritz, Gerald Ellis, Craig West Aldermen absent: Alderman Eric Schenck, Alderman Jeremy Pasley Staff in attendance: City Clerk Diana Tucker, City Attorney Chrissie Peterson, City Administrator Jim Snider, Mayor Kevin Meade, Comptroller Caty Campbell, Treasurer Nikki Marter, Police Chief Dan Taylor, Fire Chief Keith Frank, Joe Ginger Video Services. SRPED Mark Rothert In the audience: Dan Oaks, Phil Fleming, George Hall, Carol Davis, News Media- John Froehling from Daily Ledger. Finance Alderman Craig West, Chairman BILLS Page 11 of the bill list reflects the purchase of additional Christmas decorations that will be paid out of the Hotel/Motel tax fund in the amount of $4,000.00. A bill for the purchase of salt for the winter season is on the bill list in the amount of $34,418.85 Alderman Nelson asked if the City has researched the option of going with just one cell phone plan instead of using two different providers. The police department has a government contract with Verizon that is not available with US Cellular. City Administrator Jim Snider explained he will look into the possibility of using one provider when the contract expires. Motion and second were made by Aldermen West/Pickel to send to Council for consideration. The motion carried by voice vote and was unanimous. TREASURER'S REPORT Treasurer Nikki Marter explained that at the end of October the total available cash was 2.5 million dollars. The total investments at the end of October were 6.6 million dollars. The general fund had a loss at the end of October in the amount of $177,000.00 and a YTD gain of $40.500.00. The water and sewer fund had a gain at the end of October of $277,559.00 and a YTD gain in the amount of $900,310.00. The water and sewer bond payment is due December 1, 2011 in the amount of $1,760,515.00 Alderman Pickel asked if the City has been in communication with the business that is delinquent on their revolving loan. Attorney Peterson stated that the City has been in communication with the business and would provide additional information to him. Motion and second were made by Aldermen West/Fritz to send to Council for consideration. The motion carried by voice vote and was unanimous. ELECTRIC AGGREGATION RELATED ITEMS-INTEGRYS ENERGY SERVICES City Administrator Jim Snider explained that he is still working on the agreement with Integrys. A memo was distributed to address the value of using Integrys as a supplier of electricity versus going with a broker. City Administrator Jim Snider explained that Integrys gave a good explanation of the benefit of using a supplier over selecting a broker. George Hall addressed the committee about his concerns on selecting Integrys as a supplier of electricity instead of using a broker and using a bidding process. Hall further explained that most of the savings in the last three years is due to the downturn with the economy and not a direct savings from Intergrys. George Hall explained that other reputable firms are in the state that could provide the same service. George suggested using a bidding process (as conducted by several surrounding municipalities) which would provide transparency in the rates provided. City Administrator Jim Snider explained that the City will be able to better view the results in the future. This is an opportunity to be a progressive community that identifies opportunities. The City has used Integrys in the past and has been satisfied with their services. The committee has the final determination if the City will use the existing provider or use the bidding process. 2011 TAX LEVY The Truth in Taxation Act provides that not less than 20 days before any taxing body makes its levy it must determine how many dollars in aggregate property tax extensions will be necessary. If the amount determined is more than 105% of the previous year's extensions plus any amount abated by corporate authorities prior to the extension, an additional notice published in the newspaper and a public hearing are required before the levy can be adopted. Outlined below is the recommended $79,498 increase in the levy for 2011. The overall increase is in line with the projected 4% increase in the City's EAV for 2011. In other words, although the levy will increase by $79,498, the increase will possibly be offset by the projected increase in the City's EAV. If the projected growth in the EAV occurs, a property owner would pay the same levy to the City if said property is assessed at the same level in 2011 as it was in 2010. t have provided comments on each of the levy amounts listed below. We will not have a Truth in Taxation Public Hearing and notice published unless we make additional changes. Outlined below you can see the proposed tax rate computation for 2010 on an assessed valuation of 112,828,692. 2011 TAX Proposed 2010 Lv. Ext. Max. Rate 2009 Rate Corporate -0- -0-.25 -0- IMRF $ 325,530 $ 305,089 none .2704 Fire Protection $ 160,954 $ 150,062 .150 .1330 Fire Pension $ 483,922 $ 483,922 none .4289 Police Protection $ 80,918 $ 72,098 .075 .0639 Police Pension $ 283,313 $ 283,313 none .2511 Cemetery $ 26,000 $ 26,063 .025 .0231 Audit $ 27,500 $ 27,079 none .0240 Liability Insurance $ 209,130 $ 190,906 none .1692 Civil Def. ESDA $ 4,000 $ 3,723 .05 .0033 Social Security $ 221,504 $ 215,052 none .1906 Workers Comp. $ 244,092 $ 230,058 none .2039 Total: $2,066,863 $1,987,365 1.7614 Summarv of chan~es: Corporate: No levy for the past few years. The levy for Corporate is the primary source of property tax for many cities across Illinois. IMRF: Increase of $20,441 due to a 6.7% increase in the annual rate the city's contributes from 10.68%to 11.4%. Our contribution is expected to increase to 12.56% for 2012. . Fire Protedion: Increase of $10,892 to capture estimated growth in EAV. Fire Pension: No increase on levy. Police Protection: Increase of $8,820 to capture estimated growth in EAV. Police Pension: No increase on levy. Cemetery: No increase on levy. Audit: Increase on levy to $27,500. Reflects a small increase in the audit cost for 2011. Liability Insurance: Increase on levy to $209,130 to reflect the actual amount paid for liability insurance by the city for 2011. Civil Defense ESDA: No increase of levy. Social Security: Increase of levy to $221,504 to reflect 55 tax on wage increases for 2011. Workers Compensation Insurance: Increase on levy to $244,092 to reflect the actual amount paid for workman's compensation insurance by the city for 2011. Levy amounts us. extension amounts may vary when actual extension is computed by the County. Finally, our schedule to deal with our tax levy will be as follows: Tuesday, November 8, 2011 - Committee review and recommendation to the full Council for action on the dollar amounts of the 2011 Tax Levy Ordinance. Tuesday, November 15, 2011 - First Reading of Tax Levy Ordinance at Council Meeting. Tuesday, December 6, 2011 - Second and Final Reading of Tax Levy Ordinance Wednesday, December 7, 2011 - City Clerk files certified copy of Tax levy Ordinance with Fulton County Clerk. Motion and second were made by Aldermen West/Fritz to send to Council for consideration. The motion carried by voice vote and was unanimous. ENTERPRISE DRIVE- R.A. CULLINAN INVOICE FOR $16,965.83 The invoice in the amount of $16,965.83 covers the TIF work performed at Enterprise Drive. Motion and second were made by Aldermen West/Pickel to send to Council for consideration. The motion carried by voice vote and was unanimous. CANTON 2011 MFT MAINTENANCE PROGRAM- R.A. CULLINAN INVOICE FOR $261.618.27 Motion and second were made by Aldermen West/Pickel to send to Council for consideration. The motion carried by voice vote and was unanimous. INDUSTRIAL PARK LIFT STATION IMPROVEMENTS- SEWARD CONSTRUCTION INVOICE Motion and second were made by Aldermen West/Fritz to send to Council for consideration. The motion carried by voice vote and was unanimous. MAURER-STUTZ, INC. FY 11/12 GENERAL ENGINEERING AGREEMENT Mayor Meade explained that the agreement expired in May 2011. The agreement will allow Maurer and Stutz to provide general engineering services for the City for the 2011-2012 fiscal year. Motion and second were made by Aldermen West/Fritz to send to Council for consideration. The motion carried by voice vote and was unanimous. MAURER-STUTZ-INC. FY 11/12 PLANNING AND ZONING AGREEMENT Mayor Meade explained that the agreement expired May 2011. The agreement will allow Maurer and Stutz to provide planning and zoning services in the amount of $3,000.00 per month to the City for the 2011-2012 fiscal year. Motion and second were made by Aldermen West/Pickel to send to Council for consideration. The motion carried by voice vote and was unanimous. RADIO EQUIPMENT REPORT Fire Chief Keith Frank explained that the City has received radios by a grant provided from the State. The grant was applied by Fulton County ESDA. The Canton Fire Department received $30,000.00 worth of radios. A multi charger and software to program the radios was not included in the grant. The radios will need to be re-programmed within the next week. The total amount will be $1043.55. Motion and second were made by Aldermen West/Pickel to send to Council for consideration. The motion carried by voice vote and was unanimous. The finance committee adjourned at 7:47 pm Legal & Ordinance Alderman Jeff Fritz, Chairman A RESOLUTION APPROVING AND AUTHORIZING EXPENDITURE OF THE TIF FUNDS WITH SRC Carol Davis addressed the committee to seek support for the resolution approving and authorizing expenditure of the TIF funds with SRC. Carol further explained that in the past Spoon River College created ACT work tests that could be used by companies during a prescreening process. The program supports economic development in the community. The funding for the testing originally came from grant funds which was a benefit for everyone involved. The cost per person was $25.00 and did not increase during the two year period. In June of 2010 the grant expired and at that time SRC came to the Council to seek TIF funds. The college has been paying for the program and currently receives reimbursement from the TIF funds. The college would like to provide the services for another year. This program encourages other businesses to use the testing for entry level jobs. Since the program first was implemented two new Cook entities (Harvester Inn and Canton Polymer Technologies) will use the program as a prescreening tool. The total cost requested is $4,500.00 Motion and second were made by Aldermen Fritz/Pickel to send to Council for consideration. The motion carried by voice vote and was unanimous. NOISE ORDINANCE Attorney Peterson explained that she received copies of the counties noise ordinance. Attorney Peterson and Chief Taylor reviewed the counties ordinance. Attorney Peterson suggested making a few changes in the noise ordinance that will bring the cities ordinances in line with the counties noise ordinance. New provisions will be made in the ordinance to explain how far noise can travel. Changes in the provisions regarding mufflers and the revving of engines will also be addressed in the new ordinance. Attorney Peterson will prepare a draft ordinance for council review. INTERGOVERNMENTAL AGREEMENT BETWEEN THE CITY OF CANTON AND FULTON COUNTY FOR ANIMAL CONTROL SERVICES. City Administrator Jim Snider explained that the existing animal control agreement with Fulton County expired on November 1, 2011. The City currently pays the County $10,000.00 per year for our share of these services. Fulton County has indicated to the City that they are incurring a significant operating loss providing these services. The County indicates that the City's portion of total share expenditures is $27,701.33 (44%) The County is proposing the City of Canton pay our proportional share of this operating (oss going forward along with the $10.000.00 contribution we are paying now. Under this scenario we would have paid an additional $13,680.97 additionally for FY 2011. The County is proposing that the agreement be made retroactive to November 2010. The agreement will be placed on the mechanical committee agenda in two weeks for further review. Alderman Nelson asked if the surrounding communities inside of Fulton County are required to pay the County for the services. George Hall stated that he would find out and let Alderman Nelson know. The legal and ordinance committee adjourned at 8:00 pm Community & Industrial Development Alderman Jeremy Pasley, Chairman (absent) Alderman Pickel acting chair UPDATE FROM MARK ROTHERT SRPED EXECUTIVE DIRECTOR Mark Rothert provided the following update: GENERAL ECONOMIC DEVELOPMENT POINTS • 61 EAST SIDE SQUARE: o Approached by high school building trades class for interior work. o Plan to create a working group on creating an incubator and creating the vision for it • THEATER PROJECT o Surveys on the theater sent out through high school civics class o Item for discussion in executive session • MAIN STREET: o Attended Illinois Main Street conference o Munchkin Masquerade a huge success • RETAIL DEVELOPMENT o Made outreach to several commercial brokers o Mailed letters to several retail headquarter officials o For sale sign in front of Sirloin Stockade, commercial brokers out of Quad Cities. o Small business Saturday (Saturday after Thanksgiving, November 26th) • COMMERCIAL/INDUSTRIAL DEVELOPMENT o Davis Sand and Gravel (land purchase; TIF Agreement) o Country Kennels (TIF Agreement) o BT Interiors (TIF Agreement) o Sent information to two industrial corporations • TOURISM REPORT: Please see attached report from Dana Smith. ~ CHANNEL 22 COMMERCIAL: Working with Bixler and Ginger to get the word out on that. Several business commercials have already been shot. ~ GRANT: please see ArtPlace memo. • BUILDING CODE FAQ: I am working on a FAQ to hand out to business owners and potential developers. I will confer with the City first to make sure this document is accurate. This was an action step that came out of a SRPED meeting with city officials several months ago. ArtPlace is a collaboration of top national foundations, the National Endowment for the Arts and various federal agencies to accelerate creative place making across the U.S. Participating foundations include • Bloomberg Philanthropies, • The Ford Foundation, • The James Irvine Foundation, • The John S. and James L. Knight Foundation, • The Kresge Foundation, ~ The McKnight Foundation, • The Andrew W. Mellon Foundation, • The Rockefeller Foundation, • Rasmuson Foundation, • The Robina Foundation and an • Anonymous donor. In addition to the NEA, federal partners are the departments of Housing and Urban Development, Health and Human Services, Agriculture, Education and Transportation, along with leadership from the White House Office of Management and Budget and the Domestic Policy Council. ArtPlace believes that art, culture and creativity expressed powerfully through place can create vibrant communities, thus increasing the desire and the economic opportunity for people to thrive in place. It is all about the local. ArtPlace periodically awards grants to organizations doing groundbreaking work in creative place making. Their next round of funding for 2012 starts with a letter of intent due by November 15, 2011. ArtPlace made a total of almost $12 million grants in 2011 and expects to make grants in that amount again in 2012. PROPOSAL ArtPlace's goals for creative place-making through the arts fits perfectly with previously proposed plans here in Canton for additional murals in Canton's downtown. I would propose that the City of Canton take a lead and submit a letter of intent to apply for ArtPlace funds. FINANCIAL IMPACT In its first year, ArtPlace made grants ranging in size from $63,100 to $1 million. The average grant was $349,784 and the median grant was $275,000. In looking at communities that received a grant that were near Canton's size, we would be competitive by applying for an amount that is $100,000 or (ower. As for a local match, ArtPlace expects applicants to have a substantial financial stake in any project that is proposed. To me this reads that the applicant should have at least 50% invested into the project. I would therefore recommend that the City Council pledge up to $50,000 for this project, through IH TIF funds. We would therefore ask for up to $50,000 in ArtPlace grant funding for a total project cost of $100,000. RECOMENDATION Discussion at Community and Industrial Committee. Motion and second were made by Aldermen Pickel/West to draft a letter of intent for council consideration. The motion carried by voice vote and was unanimous. INTERGOVERNMENTAL AGREEMENT BETWEEN THE CITY OF CANTON AND CANTON UNION SCHOOL DISTRICT # 66: PROPOSED RT 9 CHESTNUT STREET TIF DISTRICT Steve Kline explained that a copy of the proposed intergovernmental agreement was distributed for review. It was the intention of the City to work with the Canton School District and as part of the effort a meeting took place with the superintendent and the school board. A written agreement was proposed and the school district agreed to execute the agreement with the City. The terms of the agreement puts the school district at a neutral position and they will not be negatively impacted (financially) by the establishment of the TIF district. At the request of the school board the language was revised pertaining to the amount of state aid the school receives. Steve Kline further explained that he recommends that the City proceed with the agreement. Motion and second were made by Aldermen Pickel/Fritz to send to Council for consideration. The motion carried by voice vote and was unanimous. 61 EAST SIDE SQUARE- USE OF BUILDING TRADES CLASS FOR INTERIOR WORK BACKGROUND The property at 61 East Side Square, owned by the City, was constructed in 2010 with the help of building trades students from Canton High School. Recent discussions by the City Council have indicated a desire to turn this property into a business incubator. Details of what that incubator might look like still need fleshed out. To that end the Spoon River Partnership will be forming a committee to explore the issue, with participants from the Chamber of Commerce, Canton Main Street, and the City. However, the current building trades class at Canton High School lacks a project to work on for this fall and next spring. I have been approached to explore the possibility of this class doing work at 61 East Side Square to help finish out the interior of the property. I am bringing this issue to the Community and Industrial Committee meeting for discussion. PROPOSAL Because the incubator idea merits further analysis, one idea proposed is for the building trades class to work only on the four existing interior walls on both floors. Work on these walls would include insulation, dry-walling and running electrical wiring. Whether this property is to be an incubator or not, this work would eventually be done regardless. The building trades class can work on the project for about 2 hours a day, five days a week. The time spent on this project over the next several months will give the incubator exploratory committee time to do more analysis. FINANCIAL IMPACT Efforts will be made to secure donated building materials for the interior work. If such donations cannot be secured, the materials would need to be paid for by the City. Construction services (e.g. electrical wiring performed by an electrician) may also be required for parts of this project. RECCOMENDATION Discussion at Community and Industrial Committee. Motion and second were made by Aldermen Pickel/West to send to Council for consideration. The motion carried by voice vote and was unanimous. TIF REDEVELOPMENT AGREEMENT WITH DAVIS SAND AND GRAVEL INC. Mark Rothert expiained that the 4-1A expired last year and the city has the following year to use the TIF funds. Davis is planning on doing work that is TIF eligible expenses. The work will be performed on lot 6 and 7. Motion and second were made by Aldermen Pickel/West to send to Council for consideration. The motion carried by voice vote and was unanimous. TIF REDEVELOPMENT AGREEMENT WITH COUNTRY KENNELS Some expansions plans are being considered for building expansion. Building rehabilitation is considered a TIF eligible expense. Motion and second were made by Aldermen Pickel/Fritz to send to Council for consideration The motion carried by voice vote and was unanimous. TIF REDEVELOPMENT AGREEMENT WITH BT INTERIORS The eligible TIF expansion relates to architectural design work performed and site work. Motion and second were made by Aldermen Pickel/West to send to Council for consideration. The motion carried by voice vote and was unanimous. The Community & Industrial Development Committee adjourned at 8:35 p.m. Negotiations, Grievance & Personnel Alderman Dave Pickel, Chairman Chief Dan Taylor announced on behalf of the fire and police commissioners that the initial hiring list for the position of a police officer will be made available beginning tomorrow from the Mayor's office or from the City website. The applications will be due on December 9, 2011 an orientation will take place on December 17, 2011. Advertisement is being extended to various universities. Adiournment Motion and second were made by Aldermen Nelson/Pickel to go into executive session for the purpose of potential land sale. tion arried by voice vote and was unanimous. , a ucker City Clerk