HomeMy WebLinkAbout4-18-06 City Council Meeting Minutes
A regular meeting of the Canton City Council was held on April 18, 2006 in Council
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Chambers at 50 North 4 Avenue.
PLEDGE OF ALLEGIANCE OPENED THE MEETING, FOLLOWED BY THE
INVOCATION GIVEN BY NANCY WHITES CITY CLERK.
Mayor Heinze called the meeting to order at 6:30 p.m. Present – Aldermen Jim Hartford,
Joe Berardi, Larry Sarff, Craig West, Les Carl, Rick Reed, Eric Schenck. Absent –
Alderman Kevin Meade.
MINUTES OF APRIL 4, 2006 COUNCIL MEETING. Motion
and second by
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Aldermen Hartford/Reed, to approve the minutes of April 4, 2006 and place on file.
Voice vote, motion carried unanimously.
MINUTES OF CLERICAL COMMITTEE APRIL 11, 2006. Motion
and second by
Aldermen Carl/Sarff, the minutes of April 11, 2006 be accepted as amended. (The
amendments…the heading says Mechanical Committee and the date of 3-28-06.) Voice
vote, motion carried unanimously.
BILLS FOR MARCH. Motion
and second by Aldermen West/Sarff, to pay all bills
that have been approved by committee. Roll call. AYES – Aldermen Schenck, Reed,
Carl, West, Sarff, Berardi, Hartford. NAYS – None. 7 AYES, 0 NAYS, 1 ABSENT.
Motion carried.
TREASURER’S REPORT. Motion
and second by Aldermen West/Hartford, the
treasurer’s report be accepted and placed on file. Voice vote, motion carried
unanimously.
COMMITTEE REPORTS:
Finance.
Council Action
Motion
and second by Aldermen Carl/West, to recommend the approval of Fulton
County Board paying ½ of 4 inch line for animal shelter and ½ of material. Discussion.
Cost would be $3,383 for 4 inch line and $5,750 for material. Alderman Hartford ask
what size line is the city putting in? Alderman Carl answered it would be a 10 inch line.
Kent McDowell of the Fulton County Board spoke and said his committee has the animal
shelter. They don’t have much money and they are non profit and are asking for you not
to charge them double rates for water. The facility will be used by both the city and the
county. Mayor Heinze asked Kent if the County Board had approved the expenditure for
the water line and pipe cost? Kent said he did not know as he cannot speak for the Board.
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Council meeting 4-18, 2006
City Attorney Jim Elson said the council could not vote on the double water rates for the
animal shelter tonight as it is not on the agenda. If this is agreed to it will require several
ordinance changes. Alderman Berardi said we need to help with their cost, we did it for
the Ethanol Plant and wanted Jim to explain the ordinance changes? City attorney Jim
Elson remarked that he was not involved in the Ethanol Plant contract. We are not
talking about an intergovernmental contract as this is a non-profit organization.
Alderman Meade said this should be under the Legal & Ordinance Committee for when
the committee meets again. Roll call. AYES – Aldermen Hartford, Berardi, Sarff, West,
Carl, Reed, Schenck. NAYS – None. 7 AYES, 0 NAYS, 1 ABSENT. Motion carried.
Addition of Greenwood Cemetery Employee to City Health Insurance. Motion
and
second by Aldermen Carl/Reed, to add one employee from the Greenwood Cemetery to
the city’s health insurance. Roll call. AYES – Aldermen Schenck, Reed, Carl, West,
Sarff, Berardi, Hartford. NAYS – None – 7 AYES, 0 NAYS, 1 ABSENT. Motion
carried.
Renewal of Service & License Agreement. Motion
and second by Aldermen
Carl/Sarff, to renew the Utility Service Agreements on the LOCIS system and related
billing software from the Water and Sewer funds of $2,022 and the cost to the General
Fund $1,650.00. Roll call. AYES – Aldermen Hartford, Berardi, Sarff, West, Carl.
Reed, Schenck. NAYS – None. 7 AYES, 0 NAYS, 1 ABSENT. Motion carried.
Water Treatment Plant Generator. Motion
and second by Aldermen Carl/Hartford,
to approve Altorfer Power Systems to remove the rear bearing housing from the 3412
Generator and to have the housing repaired and sleeved for bearing replacement in the
estimated cost of $2,745.00. Roll call. AYES – Aldermen Schenck, Reed, Carl, West,
Sarff, Berardi, Hartford. NAYS – None. 7 AYES, 0 NAYS, 1 ABSENT. Motion
carried.
Legal & Ordinance.
Council Action
Wal-Mart Development Agreement.
Mayor Heinze said the agreement is still in
progress. The water line, we were successful in getting them to agree looping the line.
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Final action will be May 1 meeting.
Community & Industrial Development.
Council Action
Property for sale in Industrial Park.
Public Works Director Clif O’Brien was to look
at the road that is to be used for this project for proposed storage units. Clif said 2/3rds of
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Council meeting 4-18-06
Motion
the property is blacktop roadway, and will be okay for their use. and second by
Aldermen West/Carl, to offer the property for sale at $15,000. Discussion. Alderman
Hartford said he does not feel this is the best use of the property and he is against it.
Alderman Berardi agreed with Alderman Hartford as he said we don’t gain anything from
it, and no jobs will be created, and we don’t know where Route 336 is going. Alderman
Carl said that was the price from the very beginning, and the land has been for sale since
1980. We should have something built on that lot so we can get some tax money. A lot
of those lots have businesses on them that we did not want either. Alderman Sarff said he
agreed with Alderman Hartford. Roll call. AYES – Aldermen West, Carl, Reed. NAYS
– Aldermen Hartford, Berardi, Sarff, Schenck. Motion defeated.
Negotiations, Grievance & Personnel.
Council Action
None.
Alderman Sarff asked for an executive session for Police negotiations and Public Works
clerical position.
COMMUNICATIONS FROM MAYOR HEINZE.
Greenwood Cemetery – Action Item.
Mayor Heinze reported that we budgeted
Motion
$47,000 and we have only given them $39,000 to date. and second by Aldermen
Sarff/West, to transfer the additional $8,000 to the Greenwood Cemetery Board.
Discussion. Mayor Heinze said the Board of Directors do a terrific job for very little
recognition. Roll call. AYES – Aldermen Schenck, Reed, Carl, West, Sarff, Berardi,
Hartford. NAYS – None. Motion carried.
Economic Development Agreement
. Mayor Heinze reported that originally the council
approved $70,000 and talked at the committee two weeks ago to increasing the amount to
Motion
$85,000.and second by Aldermen Carl/West, to approve the amendment to the
development agreement to increase the funding to $85,000. Roll call. AYES –
Aldermen Hartford, Berardi, Sarff, West, Carl, Reed, Schenck. NAYS – None. 7
AYES, 0 NAYS, 1 ABSENT. Motion carried.
City Attorney Jim Elson has been in contact with the attorney from Peoria who represent
the TIF area on West Maple for the City. Wants to discuss in executive session next
week.
OLD BUSINESS:
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Council meeting 4-18-06
ORDINANCE – ADOPTING THE BUDGET FOR ALL CORPORATE
PURPOSES OF THE CITY IN LIEU OF AN APPROPRIATION
ORDINANCE, FOR THE FISCAL YEAR BEGINNING MAY 1, 2006
AND ENDING APRIL 30, 2007.
Motion
Second reading, read by title. and
second by Aldermen Carl/Reed, the ordinance be placed on its passage. Discussion.
Alderman Sarff mentioned Amendment A that has been presented that will amend the
ordinance. Alderman Schenck said that he was presenting it.
Motion
and second by Aldermen Schenck/Reed, to amend the ordinance to reduce the
total amount of expenditures in the Budget by $395,841.00, according to the items listed
in Amendment A.
Amendment A… New Figures
GENERAL GOVERNMENT – FUND 01 Budget
1.Eliminate Human Resources Position (-$30,000)
1-50-400 Personnel Services – Salaries $291,143
2.Eliminate Human Resources Health Insurance (-$12,000)
1-50-403 Personnel Services-Health Insurance $300,000
3.Reduce Miscellaneous Expense (-$15,000)
1-50-490 Other-Miscellaneous Expense $ 5,000
4.Reduce Contingency Fund (-$275,351)
Contingency-General Fund $ 57,000
WATER/SEWER FUND-FUND 30
5.Reduce Contingency Fund for Operations (-$63,490)
Contingency – W/S Fund $205,972
Discussion. Alderman Schenck, the Budget has expenditures in excess of $85,000.
This amendment seeks to help balance the budget. There were two items he said he did
not reduce. 1) Payment HHS Loan. 2) The payment of the Fire Truck. And if left in
the Budget would still result in the Budget having expenditures in excess of revenues.
The purpose of this amendment is to avoid having to tap into the Reserve Funds in order
to implement the Budget.
Alderman Berardi: I’m puzzled about paying off the HHS Loan when we’re paying 1%.
How much money do we have in the Reserve Fund? If we have money in reserves why
are we looking at deficit spending of 1 million dollars?
Mayor Heinze: we owe $320,000 on HHS Loans, I’m asking the federal government to
forgive $150,000 and we will pay $150,000.
Alderman Carl: the effective rate would be a lot greater than 1%. It is a savings of
$150,000.
Alderman Berardi, still asking why pay off $150,000 when we have a deficit in the
Budget.
Alderman Carl asked for the City Treasurer Kathy Luker to explain. Kathy Luker - the
HHS Loan balance is $320,000 with interest due through December 13, 2013 of $13,600.
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Council meeting 4-18-06
That is 1% of the total amount owed. We budgeted $150,000 principal amount to pay off
this loan. If we could do that, we also budgeted $1,600 for interest to pay off that loan.
Early pay off savings in principal would be $170,000 if they accept it. Early pay off
savings in interest is $12,000.
Alderman Berardi, we’re looking at a deficit of $500,000, isn’t that right?
City Treasurer Kathy Luker, with contingency funds. When you talk Budget you should
talk without contingency because that is used for emergencies. And looking at the
General Fund without contingency is a negative $189,379.00, if you look at the amount
of expenditures above revenues. If you remove that $140,000 extra we’re paying to pay
down the HHS Loan and also remove the extra $124,379.00 in principal to pay for the
fire truck. If these two items were removed, we will have a positive balance in our
Budget of $75,000 without contingency.
Alderman Berardi, ask how much funds are in the Reserve Account?
City Treasurer Kathy Luker, her treasurer’s report shows $483,781 in checking account,
prime account $1.5 million, money market $122,000, garbage depreciation $148,000,
working cash CD $127,000, working cash money market $14,000.
Alderman Hartford ask if $57,000 is enough to have in the General Fund for
contingency?
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Alderman Schenck, the contingency fund could be increased later on by a 2/3 vote
assuming we have the funds to do that.
Alderman Sarff, Kathy what was the formula the auditors in the past would like us to
have on reserve?
City Treasurer Kathy Luker, that would be three months expenses which is 25%.
Alderman Schenck, we can spend out of the contingency fund by a vote of majority.
Alderman Hartford, ask Kathy Luker if this was a good thing or bad thing?
Kathy Luker, not a good thing to me because of the fact it’s not put there to be spent, its
there for emergencies and nothing else.
Alderman Carl, feels $57,000 would be too small amount for the General Budget.
Alderman Sarff, the treasurer will know when funds are needed and she can bring it to
council, and we could pass on first reading. Roll call. AYES – Aldermen Schenck, Carl,
Sarff, Berardi, Hartford. NAYS – Aldermen Reed, West. 5 AYES, 2 NAYS, 1
ABSENT. Motion carried.
Voting on the Budget Ordinance as amended. Roll call. AYES – Aldermen Hartford,
Berardi, Sarff, West, Carl, Reed, Schenck. NAYS – None. 7 AYES, 0 NAYS 1
ABSENT. Motion carried. Ordinance being #1863.
NEW BUSINESS:
ORDINANCE – AMENDING TITLE 4, CHAPTER 1, TITLE 5, CHAPTER 2,
AND TITLE 5, CHAPTER 6 OF THE CANTON MUNICIPAL CODE BY
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Council meeting 4-18-06
ADOPTING THE 2003 BUILDING CODES, INCLUDING THE APPENDIX
CHAPTERS AND THE 2004 SUPPLEMENT.
First reading, read by title.
ORDINANCE – GRANTING A SPECIAL USE PERMIT FOR THE OPERATION
OF AN ASSISTED LIVING CENTER.
First reading, read by title.
ORDINANCE – AMENDING THE CANTON CITY CODE PERTAINING TO
STRIP MINING.
First reading, read by title.
RESOLUTION – INTERGOVERMENTAL AGREEMENT WITH SALEM,
ILLINOIS. Motion
First reading read by title. and second by Aldermen
Reed/Hartford, the resolution be adopted. Voice vote, motion carried unanimously.
Resolution being #3754.
RESOLUTION – AUTHORIZING THE TRANSFER OF MONEY FROM THE
GENERAL FUND TO THE CIVIL DEFENSE FUND OF THE CITY OF
CANTON, ILLINOIS.Motion
First reading, read by title. and second by Alderman
Reed/West, the resolution be adopted. Roll call. AYES – Aldermen Schenck, Reed,
Carl, West, Sarff, Beradi, Hartford. NAYS – None. 7 AYES, 0 NAYS, 1 ABSENT.
Motion carried. Resolution being #3755.
Alderman Sarff ask where the lake level is at? Water Treatment Plant Supt. Greg Pollitt
mentioned minus 9 and ¾ inches.
Motion
Adjournment. and second by Aldermen Hartford/Sarff, to adjourn. Voice vote,
motion carried unanimously. The regular scheduled council meeting adjourned at 7:26
p.m.
______________________________
Nancy Whites, City Clerk
APPROVED:
_____________________________
Rodney W. Heinze, Mayor
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