HomeMy WebLinkAboutMinutes - 08/14/1996 - City Council (2) REGULAR MEETING
AUGUST 14, 1996
The Regular Meeting of the McHenry City Council was called to order by Mayor
Steven Cuda on Wednesday, August 14, 1996 at 7:30 P.M. in the Council Chambers
of the Municipal Center. At roll call the following Aldermen were present: Bolger,
Locke, Bates, Baird. Lawson arrived at 7:35 P.M. Absent: None. City Staff in
attendance were: City Clerk Althoff, City Administrator Jordan, Director of Public
Works Batt, Director of Building and Zoning Lobaito Director of Parks and Recreation
Merkel, and Chief of Police Joyce. City Attorney McArdle arrived at 7:50 P.M.
Absent: None.
TEN MINUTE PUBLIC INPUT SESSION
Laura Davis and Linda Hiatt, residents of Orleans Avenue, addressed Council
expressing their concerns over the additional influx of traffic the new McHenry City
Centre industrial development will create. A copy of the petition they were
distributing within their Mill Creek Subdivision was presented along with their request
to place further discussion of their concerns on the next regularly scheduled Council
agenda. Mayor Cuda directed staff to place this item on the September 4, 1996
regular Council Meeting agenda, allowing staff ample time to supply Council with the
pertinent information regarding this issue.
Alderman Lawson arrived at 7:35 P.M.
CONSENT AGENDA
Motion by Bolger, seconded by Lawson, to approve the Consent Agenda as
follows:
(1) July 31 , 1996 Regular City Council Meeting Minutes;
(2) Tuition Reimbursement Request - Dan Marcinko: ACC 151 , Principles of
Accounting, $124.00;
(3) Picnic/Beer Permit Requests.
Voting Aye: Bolger, Locke, Bates, Lawson, Baird.
Voting Nay: None.
Absent: None.
Motion carried.
STATUS UPDATE - COUNTY ZONING PETITION #96-22
John Fuhler, Jr., Petitioner for County Zoning Petition #96-22 requesting
rezoning from Agricultural to Commercial and a conditional use permit for outdoor
commercial storage and caretaker living quarters for a mini-warehouse operation within
1 1/2 mile of City, was in attendance. Mr. Fuhler explained as he had agreed to all
the conditions required by the City of McHenry, and as the County Board had not
rezoned the property, but only allowed the mini-warehouse conditional use in the
current Agricultural zoning district, he respectfully requested the removal of restrictive
language required by the City of McHenry from the real estate deed to the property
in question. He noted the deed restriction was no longer necessary. Some discussion
followed. As City Attorney McArdle was not in attendance, it was the consensus of
Council to postpone further discussion and action on this issue until after he arrived.
ENABLING ORDINANCES- EAST OF THE FOX RIVER SANITARY SEWER EXTENSION
AND SOUTH WASTEWATER TREATMENT PLANT EXPANSION
Carl Moon of Baxter & Woodman and Harold Warren of Warren & Associates
were in attendance. City Administrator Jordan informed Council with regard to the
South Wastewater Treatment Plant expansion, it was staff's recommendation to
increase the plant's capacity to the 10,000 P.E. He cited the numerous annexations
yet to be developed, the Illinois Environmental Protection Agency's recent report of
the South Wastewater Treatment Plant's 100% capacity levels, and the 2-3 year
project completion time.
Harold Warren addressed Council. He explained the first $3.6 million enabling
East of the River sanitary sewer extension General Obligation Alternate Revenue Bond
would be refinanced with sales tax revenue received from the commercial properties
located East of the River. There would be no additional costs to taxpayers.
August 14, 1996 Page 2
The second $6.0 million enabling South Wastewater Treatment Plant expansion
revenue bond would be financed from a pledged revenue source. In this particular
instance, from the Water and Sewer Enterprise Fund.
City Attorney McArdle arrived at 7:50 P.M.
Mr. Warren informed Council that passage of these enabling ordinances would
not commit the City to expending the full bond amounts, $3.6 million and $6.0 million
respectfully. Enabling ordinances were only the first step in the bond process,
allowing expenditures up to the stated bond amount. Before bonds are sold, bid
specifications can be created and contracts awarded, allowing for a more definitive
project cost and subsequent bond sale amount. Mr. Warren clarified the need to
reference two types of bond authorizations in regard to the $6 million enabling South
Wastewater Treatment Plant expansion ordinance. As a result of the City of
McHenry's $4,575,000 outstanding Water/Sewer Revenue Bond Issue the City is
required to comply with two separate State Statutes; one regarding the issuance of
revenue bonds; the other regarding the issuance of alternate bonds. Alternate bonds
are considered double barreled security, as they are general obligations of the City,
payable from property taxes and other funds can be used to pay debt. In this case,
water and sewer funds.
City Engineer Carl Moon of Baxter & Woodman addressed Council. He
referenced numbers prepared for the City of McHenry in 1991 in anticipation of the
South Wastewater Treatment Plant's expansion to 10,000 P.E. capacity. At that time,
Council decided to wait until the existing plant reached current capacity. Cost
estimates at that .time for construction for the full 10,000 P.E. capacity was $4.2
million. Phasing the project resulted in cost estimates of $2.8 million for Phase A, a
5,000 P.E. capacity and $1 .6 million for Phase B and the balance of the 10,000 P.E.
capacity. Moon noted as there have been numerous regulation changes and major
equipment modifications over the past five years, a new cost analysis would be
required. He stated the cost of this analysis might be substantial. A tentative cost
estimate based on a 3%-5% annual increase would be $5.4 million for the total
construction of the 10,000 P.E. capacity, $3.6 million for Phase A and $2.0 million
for Phase B. A lengthy discussion followed.
Alderman Locke requested Council consider the creation of a sanitary district.
Alderman Bolger inquired as to any infiltration problems at the South Wastewater
Treatment Plant. Director of Public Works Batt noted there is little or no infiltration
problems at this time. Alderman Lawson expressed his concerns regarding the lack
of cost information provided to Council prior to this evening's meeting regarding the
South Wastewater Treatment Plant's expansion enabling ordinance. Director of Public
Works Batt stated staff did not request Council authorization for a new cost analysis,
as the passage of the enabling ordinance was just the first step in the bond process,
and once passed, all subsequent expenditures can be reimbursed by the bond's
issuance. Further discussion continued. It was the consensus of Council that City
water and sewer rates should not be increased to cover the cost of this sanitary sewer
plant expansion. Council requested City Engineers Baxter & Woodman provide a not
to exceed cost with regard to the revised cost analysis for the expansion of the South
Wastewater Treatment Plant to 10,000 P.E. capacity for review at the September 4,
1996 regular Council Meeting.
Motion by Bolger, to pass the $6.0 million revenue enabling ordinance for the
expansion of the South Wastewater Treatment Plant.
Motion died for lack of a second.
August 14, 1996 Page 3
Alderman Lawson suggested further discussion regarding the $6.0 million
enabling ordinance for the expansion of the South Wastewater Treatment Plant be
continued at the September 4, 1996 regular Council Meeting. Council concurred and
requested the following information be provided for further discussion:
(1) Provide the information used to determine the need for 10,000 P.E.,
rather than 5,000 P.E.;
(2) Comparisons of P.E. ratios by zoning classifications;
(3) Rate of development projected out using historical data from Building and
Zoning Department;
(4) Comparison of Lake-in-the-Hills recent $1 .2 million expansion.
Motion by Baird, seconded by Lawson, to pass the $3.6 million Enabling
Ordinance for East of the River sanitary sewer extension General Obligation Alternate
Revenue Bonds, which will be financed with sales tax revenue received from the
commercial properties located East of the River.
Voting Aye: Bolger, Locke, Bates, Lawson, Baird.
Voting Nay: None.
Absent: None.
Motion carried.
Mayor Cuda called for a recess at 9:10 P.M. The meeting reconvened at 9:23
P.M. with everyone still in attendance.
Mayor Cuda requested Council continue the discussion regarding John Fuhler's
County Petition #96-22, since City Attorney McArdle was now present.
COUNTY ZONING PETITION #96-22
Attorney McArdle was informed of Mr. Fuhler's request for the removal of
restrictive language from the real estate deed. City Attorney McArdle stated it was
his opinion that the City of McHenry was completely protected and all the conditions
would be upheld, as they were included within the County's written ordinance.
Motion by Locke, seconded by Bolger, to remove the required restrictive
language from the real estate deed associated with County Petition #96-22 based on
Attorney McArdle's recommendation, as the McHenry County Board has only allowed
a conditional use for mini-warehouse usage and caretaker living quarters on property
currently zoned County Agricultural, located on Route 120 just outside of McHenry's
City limits.
Voting Aye: Bolger, Locke, Bates, Lawson, Baird.
Voting Nay: None.
Absent: None.
Motion carried.
Council also recommended Mr. Fuhler and the other property owners consider
annexation to the City of McHenry.
MAYOR - STATEMENT AND REPORTS
Mayor Cuda had no Statement and Reports this evening.
COMMITTEE REPORTS
Chairman of the Building and Zoning Committee, Alderman Baird, scheduled a
Building and Zoning Committee meeting for Monday, September 9, 1996 at 7:30 P.M.
The agenda will include review of a Tree Preservation Ordinance, a revised Sign
Ordinance and the Landmark Commission's Preservation Ordinance.
STAFF REPORTS
Director of Public Works Batt informed Council that he and City Administrator
Jordan had met with Roger Gerstad of Gerstad Builders regarding the Green Street
property dispute between Gerstad Builders and property owner Don Jordan. Gerstad
Builders is still making every effort to obtain the required easement from Mr. Jordan
for the left-hand turn lane at the entrance to the Pebble Creek subdivision.
August 14, 1996 Page 4
Director of Public Works Batt also noted that Roger Gerstad has contacted City
resident Mr. William Knorr in response to Mr. Knorr's concerns over the detention
pond on his property in the Trails of Winding Creek subdivision.
Director of Public Works Batt then reported that Well #2 is being shut down as
per City Engineers Baxter & Woodman's recommendation. They have expressed
concerns that this well may have been affected by the underground fuel tanks' soil
contamination at this site. Batt also noted that Council will be presented with a
contract for Baxter & Woodman to provide additional services to clean up this site, as
well as the potential installation of additional monitoring wells. Director Batt will keep
Council apprised of the situation.
City Attorney McArdle requested that Potential Litigation be added to Executive
Session. Council concurred.
City Administrator Jordan informed Council staff has recently completed the
required reporting associated with the Ridgeview Drive DCCA Grant audit.
NEW BUSINESS
Alderman Bates expressed his concerns with the increase in construction traffic
through the Mill Creek subdivision associated with the development of the McHenry
City Centre property. Mayor Cuda stated Council had agreed to place further
discussion of this issue on the September 4, 1996 Council Meeting agenda.
Discussion followed regarding the temporary closing of Oak Street as it relates
to the realignment of Oak Street and Industrial Drive. Council requested City
Administrator Jordan and Director of Public Works Batt make every attempt to keep
Oak Street open throughout the realignment construction of Industrial Drive.
Alderman Baird requested staff determine how long Crystal Lake Avenue in
Crystal Lake will be closed
EXECUTIVE SESSION
Motion by Bates, seconded by Bolger, to go into Executive Session at 9:50 P.M.
to discuss Personnel and Potential Litigation.
Voting Aye: Bolger, Locke, Bates, Lawson, Baird.
Voting Nay: None.
Absent: None.
Motion carried.
Motion by Bates, seconded by Locke, to go back into Open Session at
10:18 P.M.
Voting Aye: Bolger, Locke, Bates, Lawson, Baird.
Voting Nay: None.
Absent: None.
Motion carried.
ADJOURNMENT
Motion by Bates, seconded by Locke, to adjourn the meeting.
Voting Aye: Bolger, Locke, Bates, Lawson, Baird.
Voting Nay: None.
Absent: None.
Motion carried.
The meeting adjourned at 10:19 P.M.
MAYOR CITY C ERK