HomeMy WebLinkAboutMinutes - 04/05/2000 - City Council REGULAR MEETING
APRIL 5, 2000
A Regular Meeting of the McHenry City Council was called to order by Mayor Cuda
at 7:30 P.M. on Wednesday, April 5, 2000 in the Council Chambers of the Municipal
Center. At roll call the following Aldermen were present: Bolger, Glab, McClatchey,
Murgatroyd, Baird. Absent: None. City Staff in attendance were: City Administrator Lobaito,
City Clerk Althoff, City Attorney McArdle, Chief of Police Kostecki, Director of Public Works
Batt, Director of Parks and Recreation Merkel, Director of Community Development
Napolitano, Assistant Administrator Maxeiner. Absent: None.
TEN MINUTE PUBLIC INPUT SESSION
Jim Doran of 4400 Shamrock Lane addressed Council stating his opposition to the
proposed 5% Telecommunications Tax. Mr. Doran inquired as to the Council's
preparedness in dealing with the numerous telecommunication companies once this
proposed tax was approved, and their awareness of the 1.75% service charge these
companies are permitted.
In response to Mr. Doran's inquiry, Staff did note the proposed tax includes cellular
telephone usage. Mr. Doran opined local businesses will pass the tax on to their
customers who, as City residents, are already being taxed. In conclusion, he questioned
the morality of instituting a tax measure without asking for the support and approval of
one's constituents.
Joe D'Angelo Jr. of 5300 West Elm Street, a local business owner, addressed
Council stating his opposition to the proposed telecommunications tax. Stating he
represented several area businesses, Mr. D'Angelo suggested Council consider an
advisory referendum. He also distributed a letter he had penned to the Northwest Herald
Editor opposing the proposed telecommunications tax.
Perry Moy of 3917 W. Main Street, owner and proprietor of local restaurant Plum
Garden, addressed Council, also stating his opposition to the proposed 5%
telecommunications tax. He informed Council of the numerous negative comments
overheard in his restaurant regarding the proposed tax. He supported Mr. Doran's
comment regarding businesses passing on the tax cost to their customers. He also noted
once instituted, it would be difficult to rescind this tax or implement a sunset clause.
Mr. Ed Adesko of 5104 Sandburg presented a Petition opposing the proposed 5%
telecommunications tax signed by approximately 80 City of McHenry residents. He noted
only one individual refused to §I�n the Petition. Mr. Adesko also suggested Council
reconsider the inclusion of a pool in the'proposed recreation center facility.
Mayor Cuda responded, noting the initiation of the proposed 5%
telecommunications tax was as yet to be formally considered by Council. The proposed tax
will be discussed at the April 19, 2000 regularly scheduled Council Meeting.
Alderman Glab stated he too had received phone calls in opposition to the
telecommunications tax. He supported Mayor Cuda's statement that Council had yet to
give the proposal full consideration. The issue required the presentation of additional
information.
Alderman Murgatroyd left the meeting 7:45 p.m.
CONSENT AGENDA
Motion by Baird, seconded by Bolger, to approve the Consent Agenda, as follows:
• Approve resolution in support of continued participation in McHenry County
Municipal Risk Management Association;
• Approve recommendation for promotion of Tom Spaeth to Water Operator II in the
Public Works Water Division;
• Approve City Council Minutes:
■ March 15, 2000 regularly scheduled meeting;
■ March 22, 2000 regularly scheduled meeting;
■ March 13, 2000 Committee of the Whole meeting.
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Voting Aye: Bolger, Glab, McClatchey, Baird.
Voting Nay: None.
Absent: Murgatroyd.
Motion carried.
Alderman Glab requested Staff include all future Personnel items as permitted
under the Open Meetings Act in Executive Session. Staff acknowledged and agreed to his
request.
Alderman Murgatroyd returned to the meeting at 7:50 p.m.
ORDINANCE GRANTING ZONING MAP AMENDMENT - 700 NORTH FRONT STREET,
OMEGA INVESTMENTS LLC
As Council did not unanimously approve the motion to direct Staff to draft an
ordinance approving the zoning map amendment for the property commonly known as 700
North Front Street, from RS-4 to C-3 Community Commercial Zoning District, final approval
for formal Council action was identified as a separate agenda item.
Alderman Glab again stated his opposition to the zoning amendment, citing the
extremely tiny lot size.
Motion by Baird, seconded by Murgatroyd, to acknowledge the unanimous
recommendation of the Zoning Board of Appeals, and to pass an ordinance providing for a
map amendment from RS-4 High Density Single Family Residential to C-3 Community
Commercial Zoning District, for the property located at the northeast corner of the Oak
Street and Route 31 intersection, commonly known as 700 North Front Street.
Voting Aye: Bolger, McClatchey, Murgatroyd, Baird.
Voting Nay: Glab. --
Absent: None.
Motion carried.
ORDINANCE GRANTING A MAP AMENDMENT AND VARIANCE — 712 NORTH FRONT
STREET, DANNY CHANG
As Council did not unanimously approve the motion to direct Staff to draft an
ordinance approving the map amendment and variance for the property commonly known
as 712 North Front Street, final approval has been placed for formal Council action as a
separate agenda item.
Alderman Glab opined the zoning amendment would be more acceptable as C-1
Convenience Commercial Zoning District as opposed to the proposed C-3 Community
Commercial Zoning District. Additional discussion followed regarding the variance,
reducing the rear yard setback from 15' to 10'.
Motion by Murgatroyd, seconded by Baird, to accept the unanimous
recommendation of the Zoning Board of Appeals and to pass an ordinance granting a map
amendment from RS-4 High Density Single Family District to C-3 Community Commercial
Zoning District, with a variance to permit a reduction in the required rear yard setback from
15' to 10', for the property located at the southeast corner of Front Street and Kane
Avenue, commonly known as 712 North Front Street, subject to the following conditions:
• The property shall be developed in substantial conformance with the latest site
plan, floor plan and building elevations, prepared by Architectural Services Inc.
and dated 9/9/99 with a revision date of 11/02/99;
■ The permitted ground sign for the subject property shall be limited to a
monument type design, located within 25 ' of the west property line and with a
maximum height of 8';
■ Landscaping shall be installed and maintained along the east property line to
buffer the building and parking area from adjacent residential properties; and
■ Building and parking lot lighting shall be designed and installed so that it does
not shine beyond the property line.
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Voting Aye: Bolger, McClatchey, Murgatroyd, Baird.
Voting Nay: Glab.
Absent: None.
Motion carried.
DISCUSSION: ROYAL DRIVE AND CRYSTAL LAKE ROAD IMPROVEMENTS
City Engineering firm representatives Carl Moon and Al Stefan were in attendance.
City Administrator Lobaito noted, as per Council direction, at the February 16, 2000
regularly scheduled Council meeting, Staff is providing additional information regarding the
feasibility of constructing an island on Royal Drive from Oakwood Drive to Crystal Lake
Road. City Engineering firm Baxter and Woodman provided the following five alternatives
for Council consideration:
Altemative 1 - $167,694
The least costly alternative because it salvages the most pavement, driveways, and curb
Parkway re-grading and shaping is minimized because much of the existing road would be
salvaged. Along with cost, another benefit is that parking would remain in front of the
retirement home. A drawback is that this alternative presents the most pavement area to
maintain.
Altemative 2 - $173,698
The next least costly alternative which differs from Alternative 1 in that no parking is
provided in front of the retirement home. This is a benefit from a maintenance standpoint,
however.
Altemative 3 - $185,265
This is the second most costly alternative because of the raised median in the center of the
road. One benefit is that the raised median gives the road aesthetic value while providing
enough sight restrictions to rivers to cause them to slow down. The raised median also
presents the least amount of pavement to maintain. The drawback is that some access is
lost to the Post Office and the retirement home because of the median.
Altemative 4 - $192,498
This is the most costly alternative because the change of alignment requires that the total
width of the pavement be reshaped to move the crown of the road to the appropriate
location. The benefit of this alternative is that it provides aesthetic value, while slowing
traffic down the most because of its curved alignment.
Altemative 5 - $176,999
This would appear to be the least costly because it salvages the most curb and gutter. It is
more costly than Alternatives 1 and 2, however, because the entire width of the pavement
would have to be reshaped, as in Alternative 4.
City Administrator Lobaito noted all of the alternatives provide for 12' driving lanes,
clear lane delineations, and maintain the existing width of Royal Drive, 100' west of the
intersection of Royal Drive and Oakwood Drive. Some discussion followed regarding the
five alternatives and their associated costs. Staff noted, although the proposed street
improvement alternatives range in cost from approximately $168,000 to $193,000, cost
benefits will be realized with associated future projects, specifically traffic signal
installation and traffic lane improvements at the Crystal Lake Road and Royal Drive
intersection.
In response to Alderman Glab's inquiry, Staff noted each of the proposed
alternatives includes the anticipated Street 2000 improvement costs for Royal Drive. The
additional cost is for curbing and striping.
In response to Mayor Cuda's inquiry regarding the completion of engineering
studies, Staff noted an Engineering Services Agreement had not yet been approved for the
proposed installation of a traffic signal and lane improvements at Royal Drive and Crystal
Lake Road.
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Alderman Murgatroyd noted, as the proposed Royal Drive street improvements are
associated with the larger future Crystal Lake Road traffic signal installation and lane
improvement project, Council should address the overall coordination of the project, as
opposed to the consideration of each individual project phase. He suggested Council
postpone further discussion until both the engineering and planning studies are completed
for the entire project.
Alderman Glab suggested if these projects are to be coordinated and the Royal
Drive street improvement postponed, monies budgeted for Royal Drive in the Streets 2000
Program should be reallocated to another street in this area.
Baxter and Woodman representative Mr. Stefan stated the City of McHenry 2000
Street Program as currently proposed will in all likelihood come in over budget. In
response to Alderman Glab's suggestion, Staff stated Planning Resources will be asked to
include Royal Drive improvements within their current study of Crystal Lake Road.
Alderman Baird, citing the potential need for deceleration lanes at the Royal Drive
and Crystal Lake Road intersection, supported the coordination of the Crystal Lake Road
traffic signal installation and lane improvements with the Royal Drive lane improvement
project.
Mayor Cuda suggested a boulevard affect on Royal Drive at Crystal Lake Road,
similar to the existing one on Royal Drive at Route 120. City Administrator Lobaito noted
this suggestion had been considered but discarded due to cost and the existence of
numerous significant access points on Royal Drive, including the McHenry Post Office, the
Oaks Marathon Service Station, the Northfox Condominium entrance, and Alden Terrace.
Some discussion followed regarding the narrowing of Royal Drive.
Alderman McClatchey supported the postponement of the proposed Royal Drive
lane improvements until the completion of Planning Resources study of Crystal Lake Road.
Alderman Glab suggested Royal Drive be included in the proposed 2000 Streets
Program, up to Chesterfield. It was the consensus of Council to remove the section of
Royal Drive from Crystal Lake Road to Oakwood Drive from the proposed 2000 Streets
Program. In addition, Council directed Staff to encourage Planning Resources to complete
their Crystal Lake Road study. The study should first be reviewed and considered by either
the Public Works Committee or the Community Development Committee prior to full
Council consideration. Council stated the study should be presented for full Council
consideration prior to the end of the summer season.
SEMI-ANNUAL PRINCIPAL AND INTEREST PAYMENTS FOR 1997A, 1997B AND 1993
BONDS IN THE AMOUNT OF $840,300
City Clerk Althoff informed Council, as per the Bond Agreements for Series 1993
Water Sewer Revenue Bonds, 1997A Alternate General Obligation Bonds, and 1997B
General Obligation Bonds, semi-annual principal and interest payments are due prior to
May 1, 2000. The principal and interest payments are as follows:
Series 1993 Water Sewer Revenue Bonds $519,525.00
Series 1997A Alternate General Obligation Bonds $233,125.00
Series 1997B Water Sewer General Obligation Bonds $ 87,650.00
for a total of$840,300.00. City Clerk Althoff noted the Agenda supplement only referenced
interest payments; however, the payments did include both principal and interest as stated
above.
Motion by MpQlatchey, sopond®d by Bolger, to approve and authorize the payment
of sgmi,annual principal and interest payments on
Series 1993 Water Sewer Revenue Bonds $519,525.00
Series 1997A Alternate General Obligation Bonds $233,125.00
Series 1997B Water Sewer General Obligation Bonds $ 87,650.00
for a total payment of$840,300.00.
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Voting Aye: Bolger, Glab, McClatchey, Murgatroyd, Baird.
Voting Nay: None.
Absent: None.
Motion carried.
HEALTH INSURANCE RENEWAL
Assistant Administrator Maxeiner informed Council in January Staff directed health
insurance broker Scott Smiricky of the Splinter Group to obtain quotes from health
insurance providers for the annual renewal of the City's medical self-insurance health
program. The following health insurance renewal quotations were obtained:
Table A
City of McHenry,Illinois
Health Insurance Renewal Quotations
Specific Rates
30 95 Annual
Single Family S ecific
Current
Monumental/Howard $50.20 $102.98 $135,469
Renewal
Monumental/Howard (15/12 - Laser Target 63.11 128.75 169,495
Specific)
Monumental/Howard (15/12 - No Laser) 63.11 128.75 169,495
Monumental/Howard (24/12) 62.95 128.36 168,992
American Stop Loss(15/12) 72.99 175.25 226,061
SLI (15/12) 58.74 139.87 180,598
Cairnstone Kemper(15/12) 64.16 161.67 207,401
Cairnstone Kemper(15/12 - Laser Target 64.16 161.67 207,401
Specific)
Aggregate Factors
30 95 Aggregate
Sinple Family Attachment
Current
Monumental/Howard $161.16 $414.39 $530,422
Renewal
Monumental/Howard (15/12 - Laser Target 142.31 365.92 468,380
Specific)
Monumental/Howard (15/12 - No Laser) 166.03 432.06 552,319
Monumental/Howard (24/12) 196.18 504.44 645,686
American Stop Loss (15/12) 206.05 494.52 637,931
SLI (15/12) 195.16 485.96 624,252
Cairnstone Kemper(15/12) 166.36 419.23 537,812
Cairnstone Kemper(15/12 - Laser Target 187.97 473.68 607,664
Specific)
PPO/Pre Admin Fixed
Fees Fee Costs
Current
Monumental/Howard $7,050 $15,825 $165,604
Renewal
Monumental/Howard (15/12 - Laser Target 7,050 16,575 199,720
Specific)
Monumental/Howard (15/12 - No Laser) 7,050 16,575 199,720
Monumental/Howard (24/12) 7,050 16,575 202,067
American Stop Loss(15/12) 7,050 16,575 258,341
SLI (15/12) 7,050 16,575 213,703
Cairnstone Kemper(15/12) 7,050 16,575 241,136
Cairnstone Kemper(15/12 - Laser Target 7,050 16,575 241,136
Specific)
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Staff is recommending Council approve the renewal with current carrier
Monumental/Howard who provided the most favorable renewal quote. Mr. Smiricky will
attend the next Finance and Personnel Committee Meeting to discuss the renewal rates
and provide a progress report regarding the program's performance over the past year.
The health insurance plan has currently, after eleven months, incurred approximately
$613,000 in fixed administrative costs, medical, vision, dental and prescription claims.
Projecting this figure for the full 1999-2000 plan year, it is estimated the health plan
program will incur approximately $668,700. The City's 1999-2000 budget reflects a figure
of$749,972 for the program.
Assistant Administrator Maxeiner opined the City will, in all likelihood, again institute
the shared savings program with plan participants, after the close of the 1999-2000 fiscal
year. Assistant Administrator Maxeiner also noted the renewal quote by
Monumental/Howard of $668,100 is $28,000 less than the City's current health plan
maximum exposure, based on 95 family and 30 single participants. While fixed costs are
rising dramatically, approximately 22% over the prior year, the positive experience of the
City's plan over the past two years has resulted in a 12% reduction in the City's claim
exposure.
Assistant Administrator Maxeiner also presented the 2000-2001 premium figures as
follows:
Table 8
City of McHenry, Illinois
Internal Health Plan Premiums
1999-00 Plan Year 2000-01 Plan Year
Single Rate Family Rate Single Rate Family
Rate ---.
Medical Rates:
Fixed Costs Per Participant $68.39 $121.17 $81.26 $146.90
Aggregate Factor 161.16 414.39 142.31 365.92
(Maximum Claims Exposure)
Expected Claims 128.93 331.51 113.85 292.74
Vision 6.55 16.00 6.78 16.56
Prescription Plan 24.19 52.90 28.67 62.69
Planned Reserve 0.00 0.00 28.00 68.00
Total Medical, Vision, Rx Rate $260.29 $604.46 $258.56 $586.89
Dental Rates:
Fixed Cost Per Participant $2.80 $2.80 $3.00 $3.00
Expected Claims 15.70 52.20 18.50 54.25
Total Dental Rate 18.50 55.00 21.50 57.25
Less Employee Contribution 0.00 15.00 0.00 16.50
Net Dental Rate 18.50 40.00 21.50 40.75
Total Both Rates $278.79 $644.46 $280.06 $627.64
1999-00 Internal $302.00 $707.00
Premium
2000-01 Recommended Premium $280.06 $627.64
Percentage Increase (Decrease) -7.3% -11.2%
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He noted although the dental premium has increased slightly, the medical premium
has decreased for both the single and family rate. In addition, Assistant Administrator
Maxeiner suggested Council consider utilizing the expected claims level figure as opposed
to the maximum claim exposure figure to determine the annual employee premium figures.
As the maximum claim exposure, or aggregate factor, is established at 125% of the
expected claims level, the health plan has typically been over-funded. Therefore, the
shared savings program would, in all likelihood, be implemented annually, unless claim
costs reach the maximum exposure level of 125%.
Assistant Administrator Maxeiner also suggested Council consider including a
reserve factor in the employee premium calculation. The reserve factor would permit the
creation of an insurance reserve fund to better manage any future claims experience
and/or market fluctuation. Once the reserve fund reaches 30% of the expected claims for
the plan year, the reserve factor would be eliminated from the calculation of the
employee's health premium. Assistant Administrator Maxeiner noted the proposed
employee health premium rates for the 2000-2001 year include the reserve factor and are
yet lower than the employee health premiums established for the 1999-2000 fiscal year.
Motion by Murgatroyd, seconded by Glab, to approve and authorize the health
insurance renewal with Monumental/Howard, who provided the most favorable renewal
quotation, and to implement the employee health and dental premium rate structure as
presented, subject to final budget approval.
Voting Aye: Bolger, Glab, McClatchey, Murgatroyd, Baird.
Voting Nay: None.
Absent: None.
Motion carried.
DISCUSSION: CITY SEAL
City Clerk Althoff presented several City Seal renderings and a final composite for
Council consideration and comment. She noted the renderings and composite were
prepared by local illustrator Lori Wilhelm. City Clerk Althoff also suggested Council
consider the development of a logo incorporating aspects of both the Police Department
Identification Patch and the Parks and Recreation Department Identification Seal. Some
discussion followed.
Alderman McClatchey suggested the size of the word "McHenry" be increased and
the exterior sunburst design be eliminated. Further comments should be provided within
the next week to Mayor Cuda for consideration. City Clerk Althoff was directed to meet with
Ms. Wilhelm and incorporate these comments and suggestions into a new City Seal
composite for further consideration by Council.
In response to Mayor Cuda's inquiry, Director of Public Works Batt noted Council
will be provided with color selections for the new elevated water storage tank.
AWARD OF BID — POLICE DEPARTMENT LAPTOP COMPUTERS
Chief of Police Kostecki informed Council the 1999-2000 Budget includes $24,000
for the purchase of mobile data terminals. In addition, the City has been awarded an
$18,000 Federal COPS More Grant to offset the $24,000 purchase price. Chief of Police
Kostecki stated Council approved rejecting the original mobile data terminal bids as the
_ original laptop computer equipment specified was no longer available. In the interim, the
State of Illinois developed an tested a new data network offering more capability with a
lower initial equipment purchase price.
Bid specifications were developed for this equipment and Council approved Staffs
request to advertise for bids at the March 1, 2000 regularly scheduled Council meeting.
Two bids were submitted and opened on March 21, 2000 at 11:00 a.m. The apparent low
bidder was Tall Grass Systems of Orland Park, Illinois in the amount of $19,101.19. It is
Staffs recommendation to award the bid for mobile data laptop computers to Tall Grass
Systems of Orland Park, Illinois in an amount not-to-exceed $19,101.19.
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In response to Council inquiry, Chief of Police Kostecki noted the balance of the
$24,000 will be utilized to purchase operating software and installation equipment.
Motion by Glab, seconded by McClatchey, to award the Police Department mobile
data laptop computer bid to the lowest qualified bidder, Tall Grass Systems of Orland Park,
Illinois, in an amount not-to-exceed $19,101.19.
Voting Aye: Bolger, Glab, McClatchey, Murgatroyd, Baird.
Voting Nay: None.
Absent: None.
Motion carried.
MAYOR STATEMENT AND REPORTS
Mayor Cuda acknowledged and introduced Northern Illinois Special Recreation
Association (NISRA) intern Susan Porpora to Council. Ms. Porpora was attending this
evening's Council meeting as part of her internship requirements.
COMMITTEE REPORTS
Finance and Personnel Committee Chairman Alderman Murgatroyd scheduled a
Finance and Personnel Committee meeting for Wednesday, April 12, 2000 at 6:30 p.m.
and Thursday, April 13, 2000 at 7:00 p.m. to begin 2000-2001 Budget discussions.
STAFF REPORTS
Director of Community Development Napolitano reminded Council of the Committee
of the Whole Meeting scheduled for Monday, April 10, 2000 at 7:30 p.m. to consider the
Shamrock Farm Concept Plan.
Director of Public Works Batt reported the east of the Fox River water main pipe
extension has been installed, including the line under the Fox River.
Director of Parks and Recreation Merkel reported the Parks and Recreation
Summer Brochure has been mailed to the community-at-large. Registration begins April
291h. Youth Soccer begins Saturday, April 81h at Althoff Park. The concession stand will be
open and staffed. Director Merkel then provided a Petersen Park field revision update. He
also informed Council a McHenry Zone Skatepark Meeting has been scheduled for
Thursday, April 13, 2000 at 7:30 p.m. in the classroom of the Municipal Center. In
response to Council inquiry, Director Merkel noted contract negotiations were ongoing with
Skatepark architectural design firm Thompson Dyke and Associates. Staff anticipates a
final draft proposal for Council consideration at the April 19, 2000 regularly scheduled
Council meeting. In conclusion Director Merkel noted Park Rangers will begin working
Saturday, April 8, 2000. Regularly scheduled hours are from 3 p.m. to 11 p.m. seven days
per week. He noted last year's three Park Rangers have returned to complete this season.
Alderman Glab suggested the Parks and Recreation Department consider adding
additional senior citizen programs.
Chief of Police Kostecki informed Council the third session of the Citizen's Police
Academy began Monday, March 20, 2000. He also reported the three new officers hired
under the COPS in School Grant Program had completed their field training. These officers
have now been assigned to regular patrols.
City Administrator Lobaito canceled Executive Session, noting the information he
anticipated regarding the Lullo case was not forthcoming. McMRMA (McHenry County
Municipal Risk Management Association) Attorney will be submitting a memo outlining the
entire case, the City's position, and the ultimate court decision.
City Clerk Althoff reported the McHenry Economic Development Commission
Riverwalk Committee was scheduled to appear before Council with their concept plan
within the next month.
NEW BUSINESS
There was no New Business.
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ADJOURNMENT
Motion by McClatchey, seconded by Glab, to adjourn the meeting at 8:55 p.m.
Voting Aye: Bolger, Glab, McClatchey, Murgatroyd, Baird.
Voting Nay: None.
Absent: None.
Motion carried.
The meeting was adjourned at 8:55 p.m.
C CITY ERK