HomeMy WebLinkAboutMinutes - 12/14/2009 - City Council REGULAR MEETING
DECEMBER 14, 2009
Mayor Low called the regularly scheduled December 14, 2009 meeting of the McHenry
City-Council to order at 7:30 p.m. In attendance were the following Aldermen: Santi, Glab,
Schaefer, Blake, Wimmer, and Condon. Absent: Peterson. Also in attendance were: City
Administrator Maxeiner, City Clerk Jones, City Attorney McArdle, Deputy City Administrator
Martin, Assistant City Administrator Hobson, Construction Neighborhood Services Director
Schwalenberg, Finance Director Black, Parks and Recreation Director Merkel, Chief of Police
Brogan.
PUBLIC INPUT SESSION
In response to Mayor Low's inquiry there was no one who signed in to speak during the
Ten Minute Public Input Session on matters unrelated to this evening's City Council Agenda.
CONSENT AGENDA
Motion by Wimmer,seconded by Santi, to approve the Consent Agenda as presented:
A. City Council Minutes:
December 7,2009 regularly scheduled meeting;
B. List of Bills:
ACE HARDWARE, BJORKMAN'S 2,252.90
ADAMS STEEL SERVICE INC 40.83
AT&T 26.93
AUTO TECH CENTERS INC 639.25
B&W CONTROL SYSTEMS INTE 583.00
BAKER & SON CO, PETER 101.66
BAXTER & WOODMAN 1,117.10
BERKHEIMER CO INC, G W 486.48
BOTTS WELDING & TRUCK SE 38.50
BUSS FORD SALES 282.82
CAPITAL GAINS INCORPORAT 4,335.00
CARQUEST AUTO PARTS STOR 576.93
CDS OFFICE TECHNOLOGIES 275.00
CDW GOVERNMENT INC 290.00
CENTEGRA OCCUPATIONAL ME 62.72
CHICAGO ARMY NAVY SUPPY 168.75
CHICAGO INTERNATIONAL TR 2,637.78
CINTAS CORPORATION #355 992.37
COMCAST CABLE 74.90
COMED 108.28
COMMUNICATIONS REVOLVING 115.00
CONCRETE SOLUTIONS 233.69
CONSTELLATION NEWENERGY 14,281.97
CRESCENT ELECTRIC SUPPLY 133.50
CURRAN CONTRACTING COMPA 40.00
DREISILKER ELECTRIC MOTO 72.93
DURA WAX COMPANY INC, TH 84.00
ED'S AUTOMOTIVE/JIM'S MU 92.00
FAMILY TAILOR SHOP 27.00
FAST EDDIES CAR WASH 196.85
FISCHER BROS FRESH 2,297.13
FOXCROFT MEADOWS INC 121.90
FRIEDLE, JEFFFREY M 32.33
FUTURE LINK OF ILLINOIS 5,435.00
GARCIA, CINDY 15.00
GENESIS TRUCK PARTS 51.50
`� GITZKE, WILLIAM J 188.40
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December 14,2009
HARRIS, JAMES 24.00
HOLTZ, CHUCK 40.00
ICC 100.00
KALE UNIFORMS INC 216.92
KIMBALL MIDWEST 190.95
KING, LAURA 152.87
KUNZER, KATHLEEN 350.00
LEE AUTO MCHENRY 158.75
LEXISNEXIS 110.00
MCHENRY ANALYTICAL WATER 1,955.00
MCHENRY COMMUNITY SCHOOL 1,283.63
MCHENRY COUNTY RECORDER 612.50
MCHENRY NAPA 1,598.32
MCHENRY SPECIALTIES 90.00
MEADE ELECTRIC COMPANY I 675.00
MID AMERICAN WATER OF WA 640.00
MINUTEMAN PRESS OF MCH 44.00
OLSEN SAFETY EQUIPMENT C 343.74
ONEYS TREE FARM 144.00
PERRICONE GARDEN CENTER 46.80
PETROLIANCE LLC 2,554.48
PETTIBONE & CO, P F 163.99
PITNEY BOWES INC 255.00
POLERECKY, ROSS 116.48
PRECISION SERVICE & PART 330.00
PRIME TACK & SEAL CO 972.00
PROMISING PICASSOS INC 812.00
PROSAFETY INC 94.50
RASMUSSEN REBUILDING & M 40.00
RICHARDS, GAYLE 50.00
RIVERSIDE BAKE SHOP 52.44
SHAW SUBURBAN MEDIA 86.70
SPRINT 124.86
STANDARD INDUSTRIAL & AU 521.00
STANS OFFICE TECHNOLOGIE 179.00
TASER INTERNATIONAL 273.36 '
TRAFFIC CONTROL & PROTEC 855.18
TRANSCHICAGO TRUCK GROUP 13.02
VIKING CHEMICAL COMPANY 16,371.90
WASTE MANAGEMENT OF WI P 7,481.87
WATER PRODUCTS - AURORA 403.62
WATER WELL SOLUTIONS 931.87
WOOD, ROLAND 125.41
XYBIX SYSTEMS INC 30.00
ZAHN, DAN 278.00
GRAND TOTALS 80,402.56
FUND TOTALS
GENERAL FUND 22,764.06
CAPITAL IMPROVEMENTS FUND 521.00
WATER/SEWER FUND 45,165.50
INFORMATION TECHNOLOGY FUND 6,368.90
RETAINED PERSONNEL ESCROW 1,248.10
POLICE PENSION FUND 4,335.00
TOTALS 80,402.56
Voting Aye: Santi,Glab, Schaefer, Blake, Wimmer, Condon.
Voting Nay: None.
Absent: Peterson.
Motion carried.
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December 14,2009
REQUEST FOR TEMPORARY ADVERTISING SIGN PERMIT AND WAIVER OF ASSOCIATED FEES—
OUTLAWS OF MCHENRY COUNTY BASEBALL ORGANIZATION
Deputy City Administrator Martin stated a request was submitted by Outlaws of
McHenry County Baseball Organization to post 32 temporary advertising signs throughout town
to advertise their December 19th fundraiser at Edgebrook Elementary School. Proceeds from
the fundraiser will be utilized to fund a trip to a baseball tournament in Cooperstown, New
York.
Deputy City Administrator Martin noted Staff has reviewed the request and believes
posting 32 signs is excessive and would recommend granting a permit to allow 10 signs being
posted at the following locations:
• Richmond Road and McCullom Lake Road;
• Elm Street and Crystal Lake Road;
• Elm Street and Meadow Lane;
• Front Street and Kane Avenue;
• Crystal Lake Road and Bull Valley Road;
• Richmond Road and Pearl Street;
• Crystal Lake Road and Royal Drive;
• Elm Street and Ringwood Road;
• Chapel Hill Road and Lincoln Road;
• Route 31 and Veterans Parkway.
Deputy City Administrator Martin noted the signs would be posted upon being granted
Council approval and be removed on December 20'.
Alderman Glab expressed concern regarding the size of the proposed signs. Additionally,
he stated he does not know that much about the organization and their fundraising efforts in
the City. City Administrator Maxeiner responded the signs would be 18" by 24". Alderman Glab
noted he could support the request provided the sign size was limited to 18" by 24".
Motion by Santi, seconded by Condon, to accept Staffs recommendation to approve a
temporary advertising sign permit to allow the posting of ten 18" by 24" advertising signs at the
following locations from December 15th until December 20th as requested by Outlaws of
McHenry County Baseball Organization, and to waive all associated fees:
• Richmond Road and McCullom Lake Road;
• Elm Street and Crystal Lake Road;
• Elm Street and Meadow Lane;
• Front Street and Kane Avenue;
• Crystal Lake Road and Bull Valley Road;
• Richmond Road and Pearl Street;
• Crystal Lake Road and Royal Drive;
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December 14,2009
• Elm Street and Ringwood Road;
• Chapel Hill Road and Lincoln Road;
• Route 31 and Veterans Parkway.
Voting Aye: Santi, Glab, Schaefer, Blake, Wimmer, Condon.
Voting Nay: None.
Absent: Peterson.
Motion carried.
REQUEST FOR AMENDMENT TO THE DEVELOPMENT AGREEMENT FOR THE PROPERTY
LOCATED AT 1110 NORTH GREEN STREET—CURTIS COMMERCIAL
City Administrator Maxeiner stated a request is before Council to amend the
Development Agreement with Curtis Commercial for the property located at 1110 North Green
Street, formerly owned by the City of McHenry. City Administrator Maxeiner expressed
appreciation that so many were in attendance and interested enough to attend the meeting.
He provided a brief time line of the project and explained that there are three components of
the proposed amendment to the original development agreement.
City Administrator Maxeiner noted the agreement amendment is necessary as revenues
have been significantly impacted by the downturn in lending and housing markets. The external
impacts, such as material prices and the prevailing wage decision from the Illinois Department
of Labor have driven the cost of the project up.
City Administrator Maxeiner further stated Council has three options available this
evening:
1) Accept the proposed amendment to the development agreement;
2) Deny the proposed amendment to the development agreement;
3) Modify and approve the proposed amendment to the development agreement.
City Administrator Maxeiner stated Option 3, to modify the proposal, would require an
additional $1.4 million in public funds. The City does not have the additional funds necessary
and thus Option 3 is not likely feasible at this time. If denial of the proposal is chosen, it would
lead to a $1.7 million shortfall and the developer would likely walk away from the project,
particularly if such a shortfall is inevitable. To assist Council in understanding the ramifications
of denying the proposal, City Administrator Maxeiner summarized the current financial
difficulties and unfinished projects being realized when developers have walked away from
projects in both the Village of Algonquin and the City of Woodstock.
City Administrator Maxeiner stated Option 2, denial of the proposed amendment to the
agreement, in light of the developer's current financial situation would likely lead to
foreclosure. In that event the current development agreement might be invalid. The project is
currently "upside down"which would inhibit finding a buyer. If Council denies the proposal, it is
unlikely to result in the parking deck being built. Additionally, there would be no parking
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December 14,2009
improvements made on the former Wahl Appliance lot as would be the case if Council approves
the proposal.
City Administrator Maxeiner stated Option 1 would result in completion of the project
within the shortest amount of time. This would also result in getting the land back on the tax
rolls. It would enable the City to avoid having to deal with an out-of-town bank or third party.
City Administrator Maxeiner stated Option 1 would add 25 to 30 public parking spaces to the
downtown inventory.
City Administrator Maxeiner concluded his presentation noting it is Staffs
recommendation to approve Option 1.
Mayor Low thanked City Administrator Maxeiner for his comprehensive presentation.
Alderman Glab addressed Council stating rubber pavers have been purchased from his
employer by the developer for use in his project, and to avoid any perception of impropriety, he
wished to recuse himself from the meeting.
City Attorney McArdle noted Alderman Glab would only have to recuse himself if he had
any indirect financial interest in the project. In his opinion, there was no potential for a conflict
of i me rest.
Alderman Glab stated he would feel more comfortable recusing himself from the
meeting. Alderman Glab departed Council Chambers at 8:08 p.m.
Alderman Wimmer noted the matter before Council this evening presents a difficult
decision.
Alderman Condon concurred. She noted if the developer cannot afford to construct the
parking structure, the 46 public spaces would be gone. She opined Council must find the best
solution to a bad situation. She stated it does not matter who is at fault, the situation must be
rectified.
Alderman Santi stated when the original development agreement was made and the
first amendment approved by Council, he was looking forward to complimenting Curtis
Commercial on a job well-done. However, the job is incomplete. He noted all residents and
business people who had contacted him cried out for more parking. Alderman Santi stated he is
not comfortable with the current situation.This location requires parking.
Alderman Santi stated somehow the project needs to be completed as per the
development agreement. The City will not have the opportunity in the future to create a multi-
level parking garage on this site. He noted this project does not just impact this site, it impacts
the entire City.
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December 14,2009
Alderman Schaefer concurred with Aldermen Condon and Santi. He noted he has always
wanted the project to be completed as originally depicted in the development agreement. He
stated the issue is with inadequate parking. Alderman Schaefer stated he does not believe a
vacant downtown building would benefit anyone. He regrets one Alderman has recused himself
from the proceedings and one Alderman is absent from this meeting as a decision must be
made this evening.
Alderman Blake noted Council is faced with a difficult decision. He believes the
proposed compromise stated in Option 1 would be the best choice. He noted he would prefer
to see the project completed as originally agreed upon but that is not possible at this time. He
opined Option 1 is the only feasible alternative and noted he is most concerned about the City
being able to achieve a positive result from amending the initial agreement.
Mayor Low stated because of the issue at hand she intends to deviate from usual
meeting format and allow comments from the audience, even though this is not a Public
Hearing during which public input is typically sought.
David Miller representing the Riverwalk Business Association addressed Council
expressing gratitude to Council for allowing him to speak. He noted inadequate parking has
been an issue in the City's downtown for years. He noted he had concerns when the original
development agreement included 80 spots with only 40 being reserved for the public. The
current proposal is for 31 public parking spaces which is woefully inadequate. Mr. Miller stated
paving the Wahl Appliance property is a waste of funds. Building a parking garage as originally
presented is the optimal choice.The developer is taking advantage of the current economy.
City resident Donald White addressed Council stating soil conditions have been cited by
the developer as the primary reason for abandoning the parking garage structure. He stated he
is familiar with issues concerning construction. He noted the newspaper article in the
Northwest Herald regarding this proposal did not make sense.The article alluded to the parking
structure being an underground facility and he believed this to be inaccurate. Mr. John Curtis of
Curtis Commercial agreed the article was inaccurate. The parking garage was to be constructed
above-grade.
Mr. White further noted if shallow caissons were used the cost impact on the developer
would be minimal. The parking garage should have been started in the summer. He noted is
appears the developer never intended to build the garage. Mr. White opined the commercial
space within the Riverwalk Center on the premises will be difficult to lease without sufficient
parking. He stated the City is being asked to settle for too few parking spaces. He questioned
why a performance bond was not required if public funds were to be utilized for this project.
Mr. White stated the developer should be made to stand behind his commitment. He
offered to put together an estimate of construction costs at no charge to the City to create the
parking structure on the site. He stated he would bring the cost estimate to Council within one
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December 14,2009
week. Council would then be able to determine if the developer's concerns regarding cost
overruns due to parking structure construction were accurate and/or valid.
Mr. Curtis, responding to Mr. White's remarks, noted the results of original soil borings
and the opinion of structural engineers have indicated there were no soil condition issues on
the site. When engineers reviewed the parking structure plans, other issues came to light which
drove up the proposed cost of the structure. He noted the discussion this evening is actu.-Ily
about a differential of fourteen parking spaces from the specifics of the original development
agreement.
Mr. Marck Alberts, project partner, stated there would actually be 54 parking spaces
which represented a difference of 20 parking spaces from the initial agreement.
Mr. Steve Murgatroyd, resident of 6012 Barkley Court and former Alderman of Ward 4,
addressed Council, stated when the TIF District was established it was recognized that the
downtown area is vital to the City.The discussion this evening has focused on parking. He noted
it was never the intent of the TIF District to be all about solving the inadequate parking issue.
He opined it is not the City's problem as to how the subject property would be marketed;that is
up to the developer. He stated if there were longer delays in concluding the project
construction and development, no one would be served; neither the developer, nor the City. He
granted the proposal to amend the agreement is certainly not the most optimal solution, but it
would be shortsighted to avoid addressing the issues expeditiously. Mr. Murgatroyd stated
while it is a difficult decision, it is prudent to finish the project. It would be in the City's best
interest to help make that happen.
Mayor Low invited further comments from Council.
Alderman Condon stated she wants to be clear on the number of parking spaces
available at the completion of this project. Mr. Curtis addressed Council clarifying with a revised
site plan which depicted 30 parking spaces: 25 spaces dedicated to the onsite condo units; 5
spaces dedicated for public use. Alderman Condon noted the best case scenario would be to
have two spaces dedicated for each of the 27 condo units. As that is not possible, at least one
space should be dedicated for each condo unit with the remainder for public use. Alderman
Condon questioned if the spaces allocated to the condo units could be used by the public until
the condos have been sold. Mr. Curtis replied in the affirmative.
Alderman Condon further stated as former Alderman Murgatroyd pointed out
inadequate parking has been an issue in the downtown for a long time and will continue to be
an issue. However,this project must move forward despite the parking issue.
Alderman Schaefer inquired if there were renderings of the proposed parking project.
Mr. Curtis presented a photograph of the proposed amended parking project.
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December 14,2009
Alderman Santi requested clarification regarding the results of the onsite soil borings.
He expressed concern with the proposed limited parking. He stated due to what has taken
place this evening he would like to review the matter further before taking any action.
Motion by Santi, to table Agenda Item #6, Amendment to the Development Agreement
for the Development of 1110 North Green Street with Curtis Commercial.
The motion died for lack of a second.
Alderman Condon stated the community has already invested itself in this project. It is
different than any other City project to date.
Alderman Santi stated it bothers him that this important decision is being made with
two aldermen not present. He stated he is willing to take a chance that a bank may take over
this project.The developer should go back to his bank to seek additional funding.
Alderman Schaefer stated he does not care for the renderings of the garages he has
viewed this evening. He noted none of his questions have been answered satisfactorily. He is
not comfortable supporting the proposal to amend the agreement.
Mayor Low stated Alderman Glab has chosen not to participate in this evening's
proceedings despite the City Attorney's opinion there would be no perceived or actual conflict
of interest. Alderman Peterson chose to be on vacation and not present for this discussion.
Mayor Low further stated Mr. Curtis has been honest and a good partner with the City and she
wished to publicly acknowledge her appreciation regarding his handling of this matter.
Mayor Low stated the question before Council is what is best for the City of McHenry.
She understands this is an emotional issue. She realizes each Alderman will vote according to
how they truly feel about this proposal. Mayor Low stated everyone's opinion is respected
regardless of how the issue ultimately is decided.
Motion by Wimmer, seconded by Blake, to accept Staff's recommendation to pass an
ordinance authorizing the Mayor's execution of the second Amendment to the Redevelopment
Agreement for the property located at 1110 North Green Street with Curtis Commercial, to
allow the construction of a modified parking facility encompassing 16 individual garages, 9
covered parking spaces, and 5 uncovered parking spaces at ground level adjacent to the
Riverwalk Center development, and to construct a 25-space parking lot on the former Wahl
Appliance property on Court Street.
Voting Aye: Blake,Wimmer, Condon.
Voting Nay: Santi, Schaefer.
Absent: Glab, Peterson.
Motion carried.
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December 14,2009
Alderman Glab returned to the Council Chambers at 9:33 p.m.
MAYOR STATEMENT AND REPORT
Mayor Low announced her intent to appoint Michelle Rath Peterson to the Landmark
Commission to fill the unexpired term of Robert Dickman. The term would expire on April 30,
2011.
Motion by Santi, seconded by Schaefer, to approve the Mayor's appointment of
Michelle Rath Peterson to the City's Landmark Commission to fill the unexpired term of Robert
Dickman with a term expiring April 30, 2011.
Voting Aye: Santi, Glab, Schaefer, Blake, Wimmer, Condon.
Voting Nay: None.
Absent: Peterson.
Motion carried.
COMMITTEE REPORTS
There were no Committee Reports.
STAFF REPORTS
There were no Staff Reports.
FUTURE AGENDA ITEMS
There were no Future Agenda Items discussed.
EXECUTIVE SESSION:COLLECTIVE BARGAINING
Motion by Condon, seconded by Blake, to go into Executive Session to discuss Collective
Bargaining at 9:36 p.m.
Voting Aye: Santi, Glab, Schaefer, Blake, Wimmer, Condon.
Voting Nay: None.
Absent: Peterson.
Motion carried.
Council went into Executive Session at 9:45 p.m.
Motion by Schaefer, seconded by Santi,to go back into Open Session at 9:53 p.m.
Voting Aye: Santi, Glab, Schaefer, Blake, Wimmer, Condon.
Voting Nay: None.
Absent: Peterson.
Motion carried.
Council went back into Open Session at 9:53 p.m.
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December 14,2009
OPEN SESSION: MATTERS DISCUSSED IN EXECUTIVE SESSION
Motion by Schaefer, seconded by Blake, to accept Staffs recommendation to approve
the proposed Collective Bargaining Agreement with IUOE Local 150 as presented.
Voting Aye: Santi, Glab, Schaefer, Blake, Wimmer, Condon.
Voting Nay: None.
Absent: Peterson.
Motion carried.
ADJOURNMENT
Motion by Condon, seconded by Blake,to adjourn the meeting at 9:53 p.m.
Voting Aye: Santi, Glab, Schaefer, Blake, Wimmer, Condon.
Voting Nay: None.
Absent: Peterson.
Motion carried.
The meeting was adjourned at 9:53 p.m.
Mayor City Clerk