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HomeMy WebLinkAbout12-15-2020 Council Meeting Minutes City of Canton Council Meeting 2 North Main Street Canton IL 61520 ZOOM Video conferencing 12-15-2020- 6:30pm A regular meeting of the Council meeting was held on December 15, 2020 (6:30pm) via zoom webinar. STAFF IN ATTENDANCE Mayor Kent McDowell, Attorney Chris Jump, City Clerk Diana Pavley Rock, Treasurer Crystal Wilkinson, Utility DirectorJoe Carruthers,Street Superintendent Ron Robinson, Beka Schulz-CLA,, City Engineer Keith Plavec, System Maintenance Director Dash Wilson, Public Safety Director Richard Fairburn OTHERS IN ATTENDANCE: Kim Bunner,Aaron Phillips MEDIA IN ATTENDANCE: WBYS Radio, Fulton Democrat VIDEO SERVICES BY ZOOM I PLEDGE OF ALLEGIANCE OPENED THE MEETING INVOCATION—Mayor Kent McDowell PUBLIC PARTICIPATION -Dominic Hewitt from a 1045 (landlord for the Kroger store in Canton) explained how the recent COVID 19 pandemic has put some pressure on the grocery stores along with the minimum wage increase. Dominic would like to propose video gaming availability for the Kroger store in Canton. In order to have video gaming an establishment must have an onsite for consumption liquor license. This liquor license would be a class A or a class C. This is what 1045 is asking for. 1045 is a large national retailer and has locations across the country. There are locations in Nevada with enclosed rooms for video gaming. 1045 would have policies and procedures in place. It is not 1045, nor Kroger's plan to become a bar. 1045 is looking for a partnership with municipalities across the state. Currently there are over 100 stores with this type of liquor license. Canton is losing out on the revenue that is generated from video gaming. I Alderwoman Lingenfelter asked if the Council granted this request, would the hours of the video gaming be the same as the store's hours and would it have a separate entry way to get into the video gaming area. Dominic explained that it would be the same hours as the Kroger store. There would be an enclosed room inside the current grocery store. It would be anticipated that 6 video gaming machines would be installed if approved. 1045 is currently just wanting to know who is interested in the state, and if it is recommended this will then be presented to the corporation of Kroger's. Currently this is a request directly from the owners of the building. An identification scanner would be installed and the store clerk would have view of anyone going in and out of the.gaming area. The scanner would be at the door entering the gaming area. You must have a valid ID to go inside the door. The clerk would also have a direct sight to the access area. Alderman Fritz asked how who verifies the ID—and that it actually belongs to the person going inside. It would be the clerk's responsibility to make sure that it is indeed the person that belongs to the ID. Alderman Fritz said he does not think this is a very secure system since the clerk in the store would also be doing other transactions. Attorney Jump said that the current liquor license that Kroger's holds does not allow onsite consumption. Once a new license would be issued the clerk could bring the alcohol in to the gaming area. 1045 would hold this license if granted. Attorney Jump said that the City currently does not have a gaming license. The proposal from 1045 would be to get either a class A or a class C liquor license to be able to have video gaming terminals. ROLL CALL Yes No Absent Alderman Justin X Nelson Alderwoman X Lingenfelter Alderman Fritz X Alderwoman Hale Arrived Late Alderman West X Alderman Lovell X Alderman Quin Arrived Late Mayhew Alderwoman X Chamberlin ADDITIONS OR CORRECTIONS TO THE AGENDA CONSENT AGENDA APPROVAL OF THE COUNCIL MEETING MINUTES HELD DECEMBER 1, 2020 PUBLIC WORKS REPORT POLICE REPORT FIRE REPORT COMPTROLLER'S REPORT Motion and second were made by Aldermen Nelson/West to approve the consent agenda and place it on file. ROLL CALL Yes No Absent Alderman Justin X Nelson Alderwoman X Lingenfelter Alderman Fritz X Alderwoman Hale X Alderman West X Alderman Lovell X Alderman Quin X Mayhew Alderwoman X Chamberlin The motion carried. COMMITTEE REPORTS: FINANCE ALDERWOMAN ANDRA CHAMBERLIN PRESENTATION AND APPROVAL OF AUDIT BY AARON PHILLIPS Aaron Phillips thanked Treasurer Wilkinson, City Clerk Diana Pavley Rock, Comptroller Beka Schultz for their hard work and dedication throughout the year in getting ready for the audit. The audit consists of the audit reporting package as of April 30, 2020. It includes the audited financial statement, the annual financial report, the TIF financial statements and the year end financial report that is filed for granting agency purposes (GATA). All of the reporting is now done,with the exception of the consolidated year end GATA report. This should be finished this week. As far as how things looked this year—Aaron said that all of the books and records are in great shape. Everyone has been in place for several years now. Cash balances agree to the system, bank reconciliations are accurate, and there were not any real changes in how transactions were recorded. .,There were no transactions that were found to be unusual and everything was recorded in a timely manner. Aaron further said he really doesn't have anything to report—as far as any problems. It is a clean opinion on the financial statements as well as the internal controls. The City can have assurance that things in the finance department are operating smoothly. The financial statements are on a one- year basis, but Aaron likes to look at the trend analysis. This shows what the operating results are this year compared to the past several years. • Alderwoman Angela Hale joined the meeting during this time. There are a couple things to point out as an organization as a whole. Cash and Cash equivalent –and restricted cash. This year's total was 9.8 million dollars. Last year,this was 8.8 million. The total cash and reserves on hand in all funds is up about 1 million dollars. Approximately half of this amount is related to the MFT funds and the restricted motor fuel tax money. There were not a lot of project in the MFT in 2020. It's great to see the cash balances go up, but this must be taken into consideration. The other point to make—is total liabilities/debt was 15.9 million dollars last year, and this year it is 13.6 million dollars. Over the last year the City reduced its long-term debt by 2.3 million dollars. The City is operating with very good financial results this year. The general fund is the operating fund of the City. The revenues over the last six years have gone up. Just between this year and last year the increase was$600,000.00. Over the last six years it is up almost two million dollars. The big increases are in the intergovernmental revenues—which is the sales tax. We have seen the sales tax go up considerably over the last couple of years. The City has had flat property tax rates for the last five years. The assessed evaluation over the last six years has increased 9%. Looking at these figures over the last six years shows that the revenues have really increased. Looking at the general fund over the last six years shows that these are solid numbers. Back in 2015 the total expenditures were 8.8 million dollars. This year they are at 9.6 million dollars. This reflects approximately an $800,000.00 increase from six years ago. Aaron said this really is not very significant when you consider wage increases and cost increases. From a cost effectiveness standpoint and operating stand point you can see that the City is very diligent to keep these costs down. Costs really have not gone up very much vs the revenue. Aaron said the City has 2 million dollars in reserves against the 9-million-dollar operating budget. This reflects approximately 4 months of reserves. The rule of thumb is to have 6 months of operating reserves, but this is still significantly better than it has been over the years. The water sewer fund revenues have gone up significantly. They lagged slightly in 2020 vs 2019. This was due to some timing of cash flows and usage seemed to be down slightly. The operating and maintenance expenses are higher than in the past. This is directly related to the meter project in 2020 and replacing meters. The water sewer fund is starting to reimburse the other funds for some of their costs. The water sewer fund should be operating like a for profit business and be able to cover its expenses. The reserves over the last six years are up approximately 2 million dollars.This is significantly better off from where the City was 4 years ago. The City is only looking at 4 more years of the high principal and interest amounts on the bonds. The City has been doing a good job of paying these bonds off. Payroll related expenditures are approximately 70%of the operating expenses. It's trended from 73%to this year around 67%because of some capital outlay this year. Payroll is such a significant portion of the expenditures. In 2015 the total personnel were 9.3 million dollars. This year the personnel cost is 10.3 million dollars. This reflects a 1 million dollar increase over the last six years. The gross wages are up only $100,000.00. Health insurance is up approximately $180,000.00 over the last six years. The pension contributions (IMRF, police and fire pension) have a combined expenditure this year of 2.2 million dollars. In 2015 this amount was 1.5 million dollars. This reflects a 45% increase over the last six years. Aaron said hopefully these are under control and we won't see a large increase going forward. Health insurance is up 11% over the last six years. The City has done a really good job of managing the health insurance costs. Aaron said he does not have any concerns with internal controls or how the City is handling the finances. The City has been able to refinance debt and lower the cost. From a financial stand point, Aaron said the City is doing a great job. Mayor McDowell thanked City Clerk Diana Pavley Rock, Comptroller Beka Schultz, Treasurer Wilkinson and all of the department heads for the work that they have been doing the past few years and getting things stabilized. Motion and second were made by Alderman Nelson/Chamberlin to approve the audit as presented. City Clerk Diana Pavley Rock said that she would like the record to reflect that Alderman Quin Mayhew and Alderwoman Hale has joined the meeting. ROLL CALL Yes No Absent Alderman Justin X Nelson Alderwoman X Lingenfelter Alderman Fritz X Alderwoman Hale X Alderman West X Alderman Lovell X Alderman Quin X Mayhew Alderwoman X Chamberlin The motion carried. I BILL LIST Motion and second were made by Alderman Chamberlin/Nelson to approve the bill list. ROLL CALL Yes No Absent Alderman Justin X Nelson Alderwoman X Lingenfelter Alderman Fritz X Alderwoman Hale X Alderman West X Alderman Lovell X Alderman Quin X Mayhew Alderwoman X Chamberlin The motion carried. DISCUSS, CONSIDER AND VOTE ON A RESOLUTION APPROVNG THE FINANCING FOR A DUMP TRUCK WITH USDA RURAL DEVELOPMENT COMMUNITY FACILTIES GRANT FUNDS TO BE REIMBURSED TOWARDS THE PURCHASE PRICE. RESOLUTION#5289 A meeting previously took place with the Finance Committee and it was their recommendation to select Ipava State Bank at a 2.001% rate with a 4-year term. Attorney Jump said he would like to have the Mayor vote on this item and the next item since they are corporate authority matters. Motion and second were made by Alderman Nelson/Chamberlin to approve the resolution and place it on file ROLL CALL Yes No Absent Alderman Justin X Nelson Alderwoman X Lingenfelter Alderman Fritz X Alderwoman Hale X Alderman West X Alderman Lovell X Alderman Quin X Mayhew Alderwoman X Chamberlin Mayor McDowell voted Aye The motion carried. DISCUSS, CONSIDER AN VOTE ON A RESOLUTION APPROVING THE PURCHASE OF A DUMP TRUCK WITH THE USDA RURAL DEVELOPMENT COMMUNITY FACILTIES GRANT FUNDS TO BE REIMBURSED TOWARDS THE PURCHASE PRICE. RESOLUTION #5290 Motion and second were made by Alderman Nelson/Lingenfelter to approve the resolution and place it on file ROLL CALL Yes No Absent Alderman Justin X Nelson Alderwoman X Lingenfelter Alderman Fritz X Alderwoman Hale X Alderman West . X Alderman Lovell X Alderman Quin X Mayhew Alderwoman X Chamberlin Mayor McDowell voted Aye The motion carried. DISCUSS, CONSIDER AND VOTE ON AN ORDINANCE ABATING ALL OF THE BOND LEVY FOR THE 2020-2021 FISCAL YEAR(TO PAY DEBT SERVICES ON THE CITY'S OUTSTANDING $4,870,000 GENERAL OBLIGATION REFUNDING BONDS ALTERNATE REVENUE SOURCE, SERIES 2020 AND $7,560,000 GENERAL OBLIGATION REFUNDING BONDS ALTERNATE REVENUE SOURCE,SERIES 2020A(2ND READING) ORDINANCE#4208 Motion and second were made by Alderman Nelson/Hale to approve the ordinance and place it on file. ROLL CALL Yes No Absent Alderman Justin X Nelson Alderwoman X Lingenfelter Alderman Fritz X Alderwoman Hale X Alderman West X Alderman Lovell X Alderman Quin X Mayhew Alderwoman X Chamberlin The motion carried. DISCUSS, CONSIDER AND VOTE ON AN ORDINANCE LEVYING AND ASSESSING TAXES FOR CORPORATE PURPOSES OF THE CITY OF CANTON ILLINOIS FOR THE FISCAL YEAR BEGINNING MAY 1, 2020 AND ENDING APRIL 30, 2021. (2ND READING) ORDINANCE#4209 Attorney Jump said there will be a slight decrease in the amount originally estimated due to reducing the amount of the library corporate levy to the statutory cap. The comptroller was advised to reduce this number so it was not over the amount permitted by the statute. This resulted in a slight decrease of the estimated increase. The new tax levy ordinance would provide for a total amount of 3,118,679.00. This amount will be reflected in the ordinance.This is 10.22% lower than the estimate. Motion and second were made by Alderman Nelson/Lovell to approve the ordinance and place it on file. i ROLL CALL Yes No Absent Alderman Justin X Nelson Alderwoman X Lingenfelter Alderman Fritz X Alderwoman Hale X Alderman West X Alderman Lovell X Alderman Quin X Mayhew Alderwoman X Chamberlin Mayor McDowell voted Aye. The motion carried. LEGAL AND ORDINANCE ALDERMAN CRAIG WEST, CHAIRMAN NEGOTIATIONS, GRIEVANCE & PERSONNEL ALDERMAN JUSTIN NELSON, CHAIRMAN COMMUNITY& INDUSTRIAL DEVELOPMENT ALDERMAN JOHN LOVELL, CHAIRMAN PUBLIC WORKS, WATER&SEWER ALDERWOMAN ANGELA LINGENFELTER, CHAIRMAN DISCUSS, CONSIDER AND VOTE ON THE PURCHASE OF TWO NEW 2021 CHEVROLET SILVERADO 3500 HD 4WD WORK TRUCKS FROM NATIONAL AUTO FLEET GROUP FOR A TOTAL OF $87.225.66 FOR THE TWO TRUCKS. Both of the vehicles will have plows on them and the price includes stickers for each truck. The estimated budget was $90,000.00 so the purchase price is under budget. Utility Director Joe Carruthers explained that a memo document was submitted with the council packet regarding the fleet program. The fleet program helps to get rid of old equipment and replace them with new equipment. The state purchasing program no longer exists and now is bid by now. Bid by Now offers government entities to bid. Recently the City found that the state bid by purchasing now offers very little in the form of municipal government equipment. Source Well provides a bidding process for equipment that would be needed. Bid packets are put together and goes directly to Chevrolet. Research was completed and a warranty is included. The vehicles are supplied to the City with the snow plow package. Old equipment will be sold for FY22. This year the City will be working on a heavy equipment fleet program in the upcoming year. The City will be wanting to present a spray patching machine and research is continuing. Further information will be brought back. The City already sold a 1994 truck from the cemetery. The 2"d vehicle that will be sold is a truck from the system maintenance department. This will most likely go to auction in mid- May/June. Motion and second were made by Alderman Lingenfelter to purchase the new 2021 Chevrolet 3500 HD 4WD work trucks from National Auto Fleet Group for a total amount of$87,225.66 for the two trucks. ROLL CALL Yes No Absent Alderman Justin X Nelson Alderwoman X Lingenfelter Alderman Fritz X Alderwoman Hale X Alderman West X Alderman Lovell X I Alderman Quin X Mayhew Alderwoman X Chamberlin Mayor McDowell voted Aye. The motion carried. Alderwoman Lingenfelter congratulated Caleb Hale for passing the state certification as a Class 1 plant operator. Utility Director Joe Carruthers said the City has developed some great training opportunities for staff. The City has some upcoming mechanical training currently scheduled with Spoon River College and Joliet College coming up in 2021. Alderwoman Lingenfelter wanted to let everyone know that there is a great laser light show at Westgate Subdivision from 5:30-9:30pm. The light show lasts 30 minutes and runs with music. Brew N Cue has a 20-foot decorated patriotic Christmas tree in their parking lot. The tree recognizes fallen heroes. The tree was donated and the names of fallen soldiers was put on each star on the tree. Several people volunteered and donated decorations. Treasurer Wilkinson thanked Comptroller Beka Schultz, City Clerk Diana Pavley Rock, Mayor McDowell and all of the department heads for making good financial decisions. The City has some really good people and she is very proud of the decision making in maintaining a good financial position. The City did increase their credit rating in the last month due to the positive work in finances. Mayor McDowell thanked all of the staff for the work. The pandemic has created some extra challenges that nobody could see or prepare for, but everyone has done a great job working together to accomplish great work. PUBLIC SAFETY AND TRAFFIC ALDERWOMAN ANGELA HALE, CHAIRMAN STREETS AND GARBAGE ALDERMAN JEFF FRITZ, CHAIRMAN LAKE, BUILDINGS AND GROUNDS ALDERMAN QUIN MAYHEW, CHAIRMAN MAYOR COMMUNICATION Mayor McDowell encourages everyone to support the small businesses during the holidays. Mayor McDowell wished everyone a very Merry Christmas. OLD BUSINESS NEW BUSINESS I ADJOURNMENT MOTION and second were made by Aldermen Nelson/Mayhew to adjourn without the need for executive session. ROLL CALL Yes No Absent Alderman Justin X Nelson Alderwoman X Lingenfelter Alderman Fritz X Alderwoman Hale X Alderman West X Alderman Lovell X Alderman Quin X Mayhew Alderwoman X Chamberlin The motion carried. Mayor Kent McDowell City Clerk Diana Pavley Rock