HomeMy WebLinkAboutMinutes - 7/15/2024 - City CouncilCity of McHenry
Council Meeting Minutes
7.15.24
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MINUTES
REGULAR CITY COUNCIL MEETING
Monday, July 15, 2024, 7:00 p.m.
City Council Chambers, 333 S Green St, McHenry, IL 60050
Roll Call: Mayor Jett opened with the roll call.
Members present Alderman Santi, Alderman Glab, Alderman McClatchey, Alderwoman
Bassi, Alderman Davis, Alderman Koch, Alderwoman Miller, and Mayor Jett. Others present
Attorney McArdle, Administrator Ostrovsky, Director of Community Development Polerecky,
Finance Director Lynch-absent, Director of Parks and Recreation Hobson, Director of
Economic Development Martin, Chief of Police Birk, City Planner Sheriff, Director of Public
Works Wirch, Deputy Clerk Johnson, and City Clerk Ramel.
Pledge of Allegiance: Mayor Jett led the pledge.
Continued discussion and conceptual presentation by Shodeen Development regarding the
potential development of properties in downtown McHenry, including the Green/Elm Street
area and the property near the former Central Wastewater Treatment Plant site (Administrator
Ostrovsky)
Alderwoman Miller asked about the time frame, the Southwest building would be anticipated
2027.
Mayor Jett wanted to know if there is anything further regarding this, per David, taking public
comment may need further discussion after.
Public Comment: *(Clerks note: the following comments pertain to the COW meeting and the
first development presentation of Green & Elm please view the YouTube channel for the full
version).
James B., a Riverwalk Resident, would like to ask The City Council about ordinances that are
not being enforced with bikes, and motor vehicles asking the police to find them if they have
been abused.
John Cunat, a resident and business owner, talked about owning 4,000 apartments with
expertise in building. Stated that his parking ordinance is way under. To share a parking lot
with commercial and how there is nowhere for them to park when they get home. Talked about
the density of the parking. He is at 100% occupancy and talked about the density of the units
in this area, he does not object to any of them coming in however this is a bad spot for those.
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John Smith, Riverwalk President stated that he has concerns about constructive criticism. This
plan is four times the density of other apartments in the area. He did some research on the
parking and talked about the Green Street concert and how they were all full during that time
and how the spaces overlapped when the residents were going to be home, the shared parking
is peaking in the evenings stating it is a major issue and a study of what we need. This is a
major issue; we are on the right path.
John B, the owner of Riverside Residents Senior Living, talked about the traffic jam at the High
School, it is unacceptable already. Wants to know how this fits conceptually overall, there is no
way the traffic could work with the density.
Mayor Jett reinforced that these are conceptual plans, the colors, etc., were presented to help
The Council see the options regarding what the architecture could look like and help with their
decision-making process.
Judy Smith, resident, talked about the parking and the traffic will be increased with this project
and she cannot see where this could go.
Nicholas F, a resident of McHenry, would like to look at this project and wants to know why we
are going down the rabbit hole, and put requirements together. Working with Shodeen should
be a privilege to work here. Presenting the ideas to several developers who want to invest in
our city. Use an RFP.
Per Mayor Jett, there was an RFP and the only developer was Shodeen. This is a proposal
and the input is appreciated.
Jenny is a resident and also a teacher in town. Talked about the west side of town and how it
could use some development, and discussed the professionalism of how the audience and
others have spoken. Touching on the importance of wanting the town to grow and attracting
people here.
Dennis, a resident, thanked The Council/City for how much work has been done. Would like to
discuss the TIF, any development should include underground parking, and RiverPlace and
how they are set back from retail. Thinks a setback is important.
Jessica Bedwell, resident, talked about maintaining the small-town feel of local businesses,
and the parking garage.
RJ Fitzgerald, a resident, who works at Buddyz stated that he stares at the parking lot 80%
empty at times. Lives a block away from downtown, stated that many could walk and shop and
not have to use their car. Great opportunity for the development of The City.
Tom Weaver, resident, general comments have some concerns. Shodeen is a business and
sometimes they get too much power and that is of concern for him. Not helping another
business be profitable is a concern as well. There may be someone else who would like to
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come in and develop here to help level the playing field. Physical responsibility is important as
well. The ROI as well.
Erin O, resident of Lakemore, talked about the Riverwalk and how amazing it is. Feels that The
City is going to be a concrete jungle, that is not the McHenry that has been known. We are set
apart from everyone else, talked about how busy Green Street is, and considered that traffic.
Increasing the population will affect the schools and the community as well with the new
apartments. Thanked the service for The City Council.
Nathan Fenton, the resident, loves what has been done over the past few years, moved here
20 years ago, and watched The City stagnate, cities that survive are ready to take risks,
motivate, and bring in younger populations to move here. Stated that this needs to grow and
move forward.
Cynthia Lock, a resident, would like good intentional development built on the successes that
have already been made. Confident that there will be a developer who will be here to give The
City a chance and The City should tell them what we want.
Mayor Jett would like more direction from The Council after hearing from the residents during
the public comment.
Alderman McClatchey is a no on this main reason is the height of Green Street and would not
like people's taxes to be raised, squeezing too much in small spots and also the parking.
Alderwoman Bassi stated that the ask is too high the density and the building height is too high
she is a firm no. Max height two stories on Green Street and 2 on 120 as well when asked
what would be acceptable from Mayor Jett.
Alderwoman Miller is ready to move it to the next level, the concept has predicted, respecting
the future and some like to walk, etc. This type of development is a fit with some areas to
tweaking to get it to the next discussion of what we want it to look like in the end, comfortable
with the height.
Alderman Glab, will not get his vote with apartments, stay away from development that creates
more need for parking until we fix that. Emphasizing that The City should be looking at a parking
garage.
Alderman Santi is comfortable with negotiating within the perspective of what is needed as The
City for a downtown. Not mind building off of Green Street, it was negotiated that we have the
standstill, for the next 8 months. A parking garage discussion could continue on its own, though
being creative on how to do so.
Alderman Davis agrees with many of the comments, onboard with Alderman Santi and
Alderwoman Miller. Opportunity to grow here in this town, this purpose is not the best situation
right now, modify some of the plans and also add additional parking. The way the town is
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organized therefore will be a problem with the traffic, what could be done to tweak the project
as presented.
Alderman Koch is not concerned about the height, or the parking problem and wants to see the
businesses do good. The more congestion the harder it is to get around there adding to a
problem where there is no solution. Wants to see growth as well.
*Clerks Note: The following starts at the beginning of the Rivera Site, as presented by
David from the Shodeen Development Group.
The Rivera Site has been broken into two different segments. West and East of the Lift Station.
Bar building 3 floors of residential over one floor of parking, and the North side bar building 3
levels of residential over one floor of parking. The Center is donut-shaped 4 floors of residential
over one floor of parking. Private amenities include a pool, BBQ area, and other items.
Proposed hotel 130 rooms, 5 levels over one level parking garage. The total parking is 839 for
this conceptual plan.
Breakdown from David, Shodeen Development Group’s presentation:
Construction: $190,000,000
City Grant: N/A
Connection Fee- Waived
Land Cost: - The City of McHenry
Public Utility:- The City of McHenry
Total Development Value: $190,000,000
TIF Req: $35,000,000
Net Total after TIF: $155,000,000
Alderman Santi asked about some concerns, there is soil testing that is ongoing per David.
Wanted to know if a total townhome project was something that could be completed per David,
he said that they could look at the site for that kind of development. Does the hotel help or hurt
the development, David did not think that would be a viable use without the hotel.
Alderwoman Bassi wanted to know if there was only one way to enter, it was confirmed by
David that this was true. Proposed if they can acquire the Carey Electric property to allow
another way into the property and if are there other lands that would allow this. An entrance by
John Street is not viable at this time. In April on the 1st stated that there was a hotel study that
was not favorable that he was going to move forward anyway and wanted to know why he was
pursuing it. David stated that it could be favorable if it provides services to those that are
adjacent to the hotel. The residents are associated with the hotel and can use those services.
The question was raised regarding hotel rates, depending on the size of the room view of the
room, and day of the week $190-$385 a night, per David as asked by Alderwoman Bassi. There
are no comparable area hotels to compare the pricing to. There could be product demand per
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David to help fill the gap, and another way to look at it would be more of a competitive edge
with the gap in the market. What town and properties are like this confirmed that Geneva is
$385 for the hotel. Also stated by Alderwoman Bassi that Geneva is not like McHenry, but
David sees some similarities.
Alderman Glab wanted to know why he would bring back a 6 story building if many did not want
that on Green Street. Stated that the area impacts many, such as D’s Marine would not like to
see that business dissolved. The hotel will impact the area and the site lines etc. Would hate
to see The City give leverage to that. The height is a big issue and again the 6 stories are too
much, not sure he wants to see a hotel there. The density is also a concern wanted to know
where all the people are going to go.
Alderwoman Bassi wanted to know what developments Shodeen owned any of the land. It was
confirmed that he doesn’t own the land. The city of McHenry taxpayers would be giving him the
land for free, is that a correct statement as asked to David? In concept, Shodeen would own
the land, per Administrator Ostrovsky The City will never own those. The deposits that have
been put down have been paid back.
Alderwoman Miller talked about owning the wastewater property and how it has been out for
RFP and mixed-use was declined, by the process of elimination minus commercial
development there are only three other choices, industrial, commercial, or maintain it being
vacant. The only other viable way would be residential use, being open to the concept of 12
acres is a large amount of land. Would love to see a boutique hotel, and events upscale
experience. Stated that people want to live here and they will fill the housing.
Alderman McClatchey would like to make it something special, was under the understanding
that we bought Carey Electric for the road. Townhomes would be perfect.
Alderman Davis likes the concept of being a boutique hotel there is a gap in the area. Would
like to bring that in, concerned about the high school this particular plan could be worked to the
way we want it. Likes the idea of being on the water with the boating community traffic and right
now it is not. Not necessarily the best plan but can also be tweaked.
Alderman Glab talked about building this for our residents and the opportunities for what our
existing residents could do. Do not want to impact the residents that are already here and how
it affects them.
This conversation went on for some time.
Public Comment:
Tony Esposito, the Resident, spoke with every Alderman/Alderwoman. The President of the
Riverwalk Townhome is not against development but stated that it is destructive to the
community. Talked about the quarter of Million dollars from the units at The Riverwalk
Townhomes. The property cannot handle what is being proposed. Talked about Rivera Drive
which will dump traffic into Waukegan, and would like some consideration.
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John Smith, Riverwalk Foundation, President. He is pro-growth and that is how the Riverwalk
has been founded on. Talked about being on the golf course staring at a large building. Wanted
to know with the TIF money if there could be pods where local developers could put up
townhomes like that.
John Cunat stated that The Riverwalk turned out great. His family donated a million dollars
towards it. Stated that it sounds like we are buying the developer, and there is no fire protection
near that development and thinks the developments are out of place. The concept of having
townhomes would look a lot nicer.
Jessie Rights, resident would be right next to the development but his house is the oldest house
on that road. Nobody has reached out to him or asked for output and stated they are the young
people that they wanted to bring in. Stated that this is segregated and that this is not bringing
the community together. Wanted to know where there is a park, it should be a public space for
those to gather. Parking is a concern as well.
Barb Roth, resident, loves the town, grew up here, and came back to teach in this town been
here 70 years. It has been amazing growth, one big community. Thanked everyone for what
they do. Talked about the traffic and how hard it is to get out of Waukegan Road and would
like us to think of those things.
Beatrice Walter, resident- Discontinue talks with Shodeen,
Hans Herman, Resident- When looking at the development it is a crown jewel piece of property.
Talked about the new townhomes facing Lake Zurich with beautiful townhomes, with the access
of the river that would add value.
Dennis Finn, resident, Low-density townhomes could be built on this property. The agreement
with Shodeen should be terminated as allowed with the standstill agreement. Want to know
why we are negotiating with only one developer.
Bobbie Bahne, the resident, is Very excited about the development and knows that this is
needed. She commends Alderwoman Miller and her statements. Stated that she walks
everywhere and wants to have access to amenities within the community. Hopes that The
Council continues to discuss this, and encourage The City Council, to get educated on the
entire community's needs to thrive.
Cynthia, resident, We need apartments in some places, we can tolerate townhomes on our
prime land, need to keep the traffic down, and density. Stop and think about where these things
go when needed. Find a way to retain some of the unique properties.
Carol Munson, resident, The Council doesn’t have the right to make these decisions. Stated
that we need more starter homes. Ask the residents in this town this is big and it should be put
out for the people to explain what they would like.
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Director Polerecky did a comp plan regarding public outreach during the last year. It was a
good turnout but not ever enough. The draft summary will be released to the public in the next
week or so, comments are also accepted. The consultant will be at Art in The Park for more
feedback.
Alderwoman Bassi gave a presentation. *Clerks Note: The Council/ The City has not been part
of the preparation of the presentation. Full coverage can be watched over the recording of this
meeting through The City of McHenry YouTube Channel, link below:
https://www.youtube.com/channel/UClTqhcvG4A7S2OIt04-bAmQ?app=desktop
Mayor Jett wanted to take a moment to bring up a letter to the editor that was written by
Alderwoman Bassi and submitted to the Shaw Media, Northwest Herald, which was published.
He wanted to bring this to The City and The Council's attention because there was
misinformation within this published piece including executive session information, he wanted
to question some of the false information and the motives behind it. Mayor Jett expressed his
disappointment in the judgment of Alderwoman Bassi as an elected Alderwoman. It was also
noted that Alderman Glab was also questioned on some of the stances he had taken as well
regarding previous meetings.
Consent Agenda. Motion to Approve the following Consent Agenda Items as presented:
A. Block Party Request for Jennifer Lane on August 17, 2024, from 12:00 noon to 9:00
p.m.; and the Block Party Request on Ryan Street on August 31, 2024, from 10:00
a.m. and 11:00 p.m. (Deputy Clerk Johnson)
B. July 1, 2024, City Council Meeting Minutes
C. Issuance of $416,463.73 Checks
D. As Needed $678,030.90 Checks
A motion was made by Alderman McClatchey and seconded by Alderman Santi to
approve the Consent Agenda Item as presented: Roll Call: Vote:7-ayes: Alderman Santi,
Alderman Glab, Alderman McClatchey, Alderwoman Bassi, Alderman Davis, Alderman Koch,
Alderwoman Miller. 0-nays, 0-abstained. Motion carried.
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Discussion: Alderwoman Bassi asked if the minutes from the last meeting were changed to
reflect her “no” vote on an item. It was corrected per Deputy Clerk Johnson and City Clerk
Ramel via email communication.
Individual Action Item Agenda
A. Green Street Café Purchase Option
A motion to approve a First Amended and Fully Exclusive Option Agreement to
Purchase Real Property located at 1219 Green Street (Director Polerecky)
A motion was made by Alderwoman Miller and seconded by Alderman Santi to approve
Individual Agenda Items as presented: Roll Call: Vote: 6-ayes: Alderman Santi, Alderman
Glab, Alderman McClatchey, Alderman Davis, Alderman Koch. 1-nays-Alderwoman Bassi. 0-
abstained. Motion approved.
Discussion Item Agenda
Staff Reports
Provided the 1st meeting of each month.
Director Polerecky will be sending out the comp plans to The Council and the public will be
seeing this as well.
Fireworks will be rescheduled per Director Hobson, due to the storms that caused the
cancelations.
Director Wirch is putting in an application for a grant.
Mayor’s Report:
City Council Comments:
Alderwoman Miller, developers have a realistic plan with an ROI, and are taking that risk she
wants them on board. There is no reward without risk.
Executive Session: Not needed
Adjourn: A motion was made by Alderman Davis and seconded by Alderwoman Bassi
to adjourn the meeting at 9:44 Roll Call: Vote: 7-ayes: Alderman Santi, Alderman Glab,
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Alderman McClatchey, Alderwoman Bassi, Alderman Davis, Alderman Koch, Alderwoman
Miller. 0-nay-, 0-abstained. Motion carried.
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Mayor Wayne Jett
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City Clerk Trisha Ramel