HomeMy WebLinkAboutMinutes - 11/16/2015 - City CouncilREGULAR MEETING
November 16, 2015
Mayor Low called the regularly scheduled November 16, 2015 meeting of the McHenry City
Council to order at 7:00 p.m. In attendance were the following Aldermen: Santi, Glab, Schaefer,
Curry, Wimmer, Peterson and Condon. Absent: None. Also in attendance: City Administrator
Morefield, Deputy City Administrator Hobson, Director of Economic Development Martin,
Director of Finance Lynch, Director of Public Works Schmitt, Chief of Police Jones, City Engineer
Pieper, City Attorney McArdle and City Clerk Jones. Absent: None.
CITY OF MCHENRY MISSION STATEMENT
Mayor Low read aloud the Mission Statement of the City of McHenry.
PRESENTATION OF CHARACTER COUNTS! RECOGNITION AWARD
Mayor Low announced the first item on this evening's agenda is the presentation of
CHARACTER COUNTS! Recognition awards. Mayor Low stated the awards are presented to
ordinary citizens who have acted in an extraordinary way. Mayor Low noted that it is important
to understand the impact the event had on the entire community. Mayor Low introduced
Alderman Condon, chairperson of Character Counts!
Alderman Condon informed Council and those persons in attendance that it is with
pride and pleasure that she presents plaques and certificates to deserving individuals in the
community that have made a difference. Alderman Condon announced Mayor Low nominated
the "Blue Ribbon" community campaign, its formation, and work performed by the recipients
of this evening's awards for their efforts in bringing the community together.
Alderman Condon called upon Mrs. Erin Harris, wife of Officer Jim Harris, Carter
Nieman, Jenna Harris and Andrew Harris. Mrs. Harris was presented with a plaque for her
mobilization and participation in the Blue Ribbon event.
Alderman Condon called upon Mrs. Sara Aalto, wife of Officer Aalto, together with
Natalie Aalto, Jack Aalto and Rachel Aalto. Mrs. Aalto was presented with a plaque as
acknowledgment of the beautiful wreaths she made and her participation in the Blue Ribbon
event.
Certificates commemorating their participation in the Blue Ribbon event were awarded
to the following individuals and businesses: Jackie Harding, Mason Harding, Regean Harding,
Emerson Harding, Kennedy Harding, Katie DeGeorge, Emma DeGeorge, Kayleigh DeGeorge,
Johnie Downey, Rob Salazar, Jeanie Salazar, Addison Salazar, Kaleigh Salazar, MacKenzie
Salazar, Debbie Welter, Mark Amore, Jamie Amore, Ayden Amore, Lisa Micklinghoff, Gavin
Micklinghoff, Owen Micklinghoff, Ava Micklinghoff, Kristin Harvey, Brandon Harvey, Kristina
Harvey, Madison Harvey, MaKenna Harvey, Chase Harvey, Marie Barclay, Mike Watson, Rylee
Watson, Lexi Watson, All Safe Storage, Crossfit Prevail, and Rietesels Boat Covers.
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November 16, 2015
Mayor Low announced Mrs. Sue Maness was unable to attend tonight's meeting and asked the
Mayor to relay her gratitude and thanks to everyone involved in the event. Alderman
Condon thanked everyone for their participation.
PRESENTATION OF GOVERNMENT FINANCE OFFICERS ASSOCIATION DISTINGUISHED BUDGET
AWARD
City Administrator Morefield informed Council that the City of McHenry has been
recognized by the Government Finance Officers Association (GFOA) of the United States and
Canada with receipt of the GFOA Distinguished Budget Presentation Award for the current
Fiscal Year 2015/2016 Budget. Mr. Morefield introduced Ms. Patrice Sutton of the GFOA.
Ms. Sutton stated that she is honored to present the Distinguished Budget Award to the
City of McHenry. Ms. Sutton noted that the Award reflects the dedication of City Administrator
Morefield and Director of Finance Lynch, together with the commitment of the governing body
and Staff to meeting the highest principles of governmental budgeting. In order to receive the
award, the City of McHenry had to satisfy nationally recognized guidelines for effective budget
presentation as a policy document; a financial plan; an operations guides and, a
communications device. Ms. Sutton presented the award to Financial Director Carolyn Lynch.
Mayor Low thanked Ms. Sutton for her attendance at this evening's meeting and stated
that it is an honor for the City of McHenry to receive the Award.
PRESENTATION OF FISCAL YEAR 2014/2015 ANNUAL FINANCE REPORT CONDUCTED BY EDER
CASELLA CO.
City Administrator Morefield introduced Mr. John Albanese and Mr. Kevin Smith of Eder,
Casella & Co.
Mr. Albanese provided a brief outline of the Annual Financial Report for the year ending
April 30, 2015. He noted that the completion of the audit was extended this year because of
new Governmental Accounting Standards Board (GASB) regulations requiring that the actuarial
report be finished prior to the finalization of the audit. Mr. Albanese stated that the audit
document includes important information about the City of McHenry's result for 2014/2015
fiscal year and its current financial condition. Mr. Albanese informed Council that the General
Fund Balance includes the year end results and the total fund balance is $10,038,901, which is a
$1,486,343 increase over last fiscal year.
City Administrator Morefield noted that at the direction of the Finance and Personnel
Committee, Staff is in the process of developing a revised/expanded "Fund Balance and Reserve
Policy to establish principles and parameters to which a Fund Balance target would be defined
at the beginning of each budget period that achieves the objectives of financial stability,
appropriate case flow for operations, and assurance that the City of McHenry would be able to
response to emergencies with fiscal strength. The Fund Balance and Reserve Policy would more
clearly delineate uses for the Unassigned Fund Balance — General Fund, which would include
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November 16, 2015
steps to be taken to correct fund balance deficiencies that may occur in the event unexpected
situations cause the City to fall below the minimum identified levels.
Responding to an inquiry from Alderman Curry regarding the timeliness of the Audit,
Mr. Albanese explained that the new standard (GASB 67) requiring police pension fund
disclosures caused some delay because it is new to everyone and requires a learning curve. Mr.
Albanese added next year, GASB 68 will be utilized requiring more detail on pension funds.
PUBLIC INPUT SESSION
Mr. Marion Metz, 3813 Waukegan Road, addressed Council. Mr. Metz stated that his
concerns are for children and fiscal responsibility. First, Mr. Metz expressed concern and
surprise that a gun range was being opened in such close proximity to a school. Second, Mr.
Metz stated that while the Council and Staff of the City of McHenry are doing a fine job the
State of Illinois is in a bad position. Mr. Metz exhibited some airline magazines obtained during
his travels that advertise the benefits of various States. He opined that the State of Illinois
appears not to be listening to the taxpayers and voters, but might listen to elected officials. Mr.
Metz informed Council that he has some ideas that might provide opportunities for the City of
McHenry and the State and to please contact him if there is any interest. Mr. Metz thanked
Council for the work they do, their time and attention.
CONSENT AGENDA
A. Resolution adopting the 2016 City Council Meeting Schedule;
B. Annual Resolution to IDOT permitting municipal repair work in state right-of-ways;
C. Ordinance authorizing the Mayor's execution of an Intergovernmental Agreement between the City of McHenry,
County of McHenry, City of Crystal Lake, City of Harvard, City of Marengo, City of Woodstock, Village of Huntley,
Village of Johnsburg, Village of Ringwood, and Village of Lakewood for General Public Dial -a -Ride Transit Service in
2016;
D. Payment of $49,774.38 to Stuckey Construction for change orders and authorize payment of $56,213, for project add-
ons pertaining to construction of the McHenry Recreation Center;
E. Ordinance amending Municipal Code Chapter 4, Sec 4-6(1) reducing number of Class A liquor licenses from 25 to 24;
F. Authorization to advertise for bids for printing of 2016 City Newsletter & Parks Brochure;
G. supporting the Development of Intergovernmental Agreements for the Consolidation of Police Dispatch Services at an
H. Motion to approve City Council Minutes:
a. October 19, 2015; and
b. November 2, 2015; and
I. Approval of As Needed Checks, in the amount of $38,921.27 and
J. Approval of List of Bills, in the amount of $1,233,190.89.
Motion by Wimmer, second by Schaefer, approving the Consent Agenda, as presented.
Voting Aye: Santi, Glab, Curry, Schaefer, Wimmer, Peterson, Condon.
Voting Nay: None.
Absent: None.
Motion carried.
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MOTION TO GRANT A FENCE VARIANCE FROM THE CORNER SIDE YARD SETBACK HEIGHT
REQUIREMENT, FROM 48" TO 72 " FOR THE PROPERTY LOCATED AT 2618 WALL STREET
City Administrator Morefield informed Council that the owners of the property at 2618
Wall Street, Robert and Roberta Rakoczy, submitted an application to erect a six foot (72")
fence along the side yard facing Hillside Lane. City Administrator Morefield stated that while it
is apparently, according to the Plat of Survey, a corner side yard, by definition of the Zoning
Ordinance, it is actually defined as a front yard because it is the smaller/shorter of the two
roadway frontages. The Municipal Code states that fences located in the front yard may not be
higher than 42" and, therefore, a variance is required to allow for the installation of the
proposed 72" fence. In accordance with the fence variance procedures, the applicant submitted
a completed "Abutting Property Owner/Current Resident Fence Variance Notification" verifying
that the abutting and/or adjacent property owners have been notified.
Staff has inspected the site and submits the proposed fence will not create line -of -sight
issues. Staff believes the proposed 72 fence, as proposed, would be more aesthetically
pleasing, practical and appropriate. Staff noted that no variance is being requested for the
required setbacks, only the height of the fence.
Responding to an inquiry from Alderman Curry, Director of Economic Development
Martin stated that the property fronts on Hillside and that no negative input has been received
from any of the neighboring properties.
Motion by Curry, second by Wimmer, granting a fence variance from the corner side
yard setback height requirement, from 42" to 72", for the property located at 2618 Wall Street,
McHenry, Illinois, as presented.
Voting Aye: Santi, Glab, Curry, Schaefer, Wimmer, Peterson, Condon.
Voting Nay: None.
Absent: None.
Motion carried.
MOTION TO APPROVE A RESOLUTION SETTING THE PROPERTY TAX LEVY REQUEST FOR 2015
(COLLECTED IN 2016) AT $4,761,635; AND ESTABLISH THE DATE OF DECEMBER 7, 2015, AS
THE DATE TO CONDUCT A PUBLIC HEARING TO CONSIDER APPROVAL OF THE PROPERTY TAX
LEVY
City Administrator Morefield informed Council that approximately 82.8% of the Fiscal
Year 2015/2016 budgeted General Fund Revenues are derived from Sales Tax, Income Tax and
Property Tax receipts with the remaining approximate 17.2% coming from other miscellaneous
sources (i.e., intergovernmental taxes, grants, franchise fees, licenses and permits, fines and
forfeitures and charges for services).
Despite the fact that as a "Home Rule" community the City of McHenry is no longer
subject to the Property Tax Extension Limitation Law (PTELL), which limits increases to
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residents' property taxes by preventing a local government's property tax levy from growing at
a faster pace than the rate of inflation, of 5%, whichever is less, the City of McHenry has
continued to follow PTELL for establishing the property tax levy. Over the past four years,
(2011, 2012, 2013 and 2014), the City has chosen to maintain a flat property tax levy request at
the amount requested in 2010.
City Administrator Morefield noted that the entirety of the General Fund Balance is
currently identified as "Unassigned." The City continues to face a multitude of economic
uncertainties and challenges at the local and state levels. In an effort to account for this the City
Administration is in the process of updating the Fund Balance and Reserve Policy for
consideration and adoption by Council in order to establish a defined planned use of the
existing and future General Fund Balance. City Administrator Morefield advised Council that the
policy document would be presented as part of the Fiscal Year 2016/2017 Budget development
process.
City Administrator Morefield informed Council that annually, prior to the end of the
calendar year, the City of McHenry must provide the amounts required for the property tax
levy, so the funds generated through the revenue mechanism will become available during the
next municipal fiscal year. The levy request must be approved by the City Council and
submitted to the McHenry County Clerk by the last Tuesday in December (the 29th of December
in 2015). City Administrator Morefield noted that with this date in mind, Staff is seeking
approval of the 2015 Property Tax Resolution indicating the levy amount and Public Hearing for
December 7, 2015. Upon adoption of the Resolution, the Property Tax Public Hearing and
consideration/adoption of the levy amount will take place at the December 7, 2015 City Council
meeting.
City Administrator Morefield noted that change in the EAV (Equalized Assessed Value)
also drives changes in the property tax bill. When the EAV declines the tax rates must go up in
order to fully fund the property tax levy because the same amount of money needs to be
collected across the new lower values. The increase is reflective of the proposed municipal rate
increase and the potential EAV decline, but does not take into consideration actions taken by
the other taxing jurisdictions that comprise the total property tax bill. City Administrator
Morefield stated that in 2015, the portion of a resident's tax bill directed to the City of McHenry
was only 6.7% of the total amount.
Alderman Curry opined that he is pleased to see the flat tax levy in the City of McHenry.
Alderman Santi concurred with Alderman Curry.
Alderman Santi expressed surprise at the amount for allocated for streets and inquired
about eligibility for state or federal funding. Director of Public Works Schmitt, responding to
Alderman Santi's inquiry, stated that the entire expense is for resurfacing, which is not entitled
to funding.
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November 16, 2015
Responding to an inquiry from Alderman Schaefer regarding when information could be
anticipated from the County, Director of Finance Lynch stated that she spoke this afternoon
with a representative of the County and was told they are awaiting information from Nunda
Township. Alderman Schaefer thanked Staff for mentioning the other taxing bodies
represented in the property tax bill.
Motion by Curry, second by Santi, approving the Resolution setting the Property Tax
Levy request for 2015 (collected in 2016) at $4,761,635, and establishing the date of December
7, 2015, as the date to conduct a Public Hearing to consider approval of the Property Tax Levy.
Voting Aye: Santi, Glab, Curry, Schaefer, Wimmer, Peterson, Condon.
Voting Nay: None.
Absent: None.
Motion carried.
MOTION TO AUTHORIZE THE MAYOR'S EXECUTION OF AN EASEMENT AGREEMENT BETWEEN
THE CITY OF MCHENRY AND MCHENRY COUNTRY CLUB FOR THE PURCHASE OF A 1,593
SQUARE FOOT PERPETUAL UTILITY EASEMENT, IN THE AMOUNT OF $60,464; AND GRANTING
USE TO THE CITY OF TEMPORARY CONSTRUCTION EASEMENTS TO FACILITATE THE
CONVEYANCE OF SANITARY SEWER LINES TO THE SOUTH WASTEWATER TREATMENT PLANT
City Administrator Morefield informed Council that plans are complete for the
installation of a 24 forcemain to convey raw wastewater from the Central Wastewater
Treatment Plant (CWWTP) to the South Wastewater Treatment Plan (SWWTP). The conveyance
line sections required to complete the directional boring of the 24" forcemain include:
• Under the channel at the Riviera Marina;
• Across the first fairway and part of the parking lot at the McHenry Country Club to the
intersection of John Street and Riverstream Drive;
• Then south starting at the east end of Fairway Drive to the SWWTP.
An addition to the existing utility easement, purchased from the McHenry Country Club in 2010,
is required to soften the curve of the 24 forcemain into a directional bore pit northwest of the
existing parking lot. Temporary construction easements are required adjacent to John Street
and at the east end of Fairway Drive.
Representatives of the McHenry Country Club requested Staff and the City Engineer
investigate the installation of a parking lot as part of the 24" Forcemain Project as
compensation for the permanent utility easement and temporary construction easements. It
was determined that the engineer opinion of probably cost (EOPC) estimates the cost of the
parking lot (including a 20% contingency) would be $60, 464. City Administrator Morefield
informed Council that the McHenry Country Club Board opted to accept a payment of $60,464,
rather than the City constructing the parking lot as part of the 24" Forcemain Project.
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City Administrator Morefield reiterated that at the November 2, 2015 City Council
meeting, Council tabled the matter rather than taking action, in order to incorporate specific
and clear language regarding easement restoration in the Easement Agreement. Based on this,
in amending the easement language it was identified that some additional specificity was
required in defining the easement areas and modifying the easement restoration language. City
Administrator Morefield informed Council that Exhibit A identified the easement area and
Exhibit B defines temporary construction easements needed for the forcemain project, which
are just east of Fairway Drive
Motion by Santi, second by Condon, approving the Mayor's execution of an Easement
Agreement between the City of McHenry and the McHenry Country Club, for the purchase of a
1,593 square foot perpetual utility easement and granting to the City of McHenry a Temporary
Construction Easements to facilitate the conveyance of sanitary sewer lines to the South
Wastewater Treatment Plant, in the amount of $60,464;.
Voting Aye: Santi, Glab, Curry, Schaefer, Wimmer, Peterson, Condon.
Voting Nay: None.
Absent: None.
Motion carried.
MOTION TO APPROVE THE SOLE SOURCE PURCHASE OF FITNESS EQUIPMENT FOR THE
MCHENRY RECREATION CENTER FROM DIRECT FITNESS SOLUTIONS FOR THE AMOUNT OF
282 835• AND AUTHORIZE A BUDGET AMENDMENT IN THE RECREATION CENTER FUND FOR
THE AMOUNT OF $282,835
City Administrator Morefield informed Council that in implementing the McHenry
Recreation Center project during Fiscal Year 2015/2016, the purchase and/or leasing of fitness
equipment was purposefully deferred until such time as construction of the facility was nearing
completion and more in-depth research could be conducted by a Recreation Center Manager in
order to determine the best option for the Center. With the hiring of Matt LaPorte, as
Recreation Center Manager, earlier this year and the McHenry Recreation Center slated for
occupancy in February 2016, it is time to move forward with purchasing fitness equipment.
City Administrator Morefield introduced Deputy City Administrator Hobson. Deputy City
Administrator Hobson complimented Recreation Center Manager LaPorte on the outstanding
job he did in selection of the equipment deemed best for the City of McHenry. Deputy City
Administrator Hobson requested that Recreation Center Manager LaPorte provide Council with
information regarding the equipment since he did such a great job with the task assigned.
Manager LaPorte informed Council that in preparing the research for a fitness
equipment recommendation, Staff visited several recreation entities with similar sized facilities
or those that had recently purchased equipment. In addition, facility managers were
interviewed in an effort to obtain input regarding the process of obtaining equipment, technical
attributes of equipment selected and general recommendations. Following the
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recommendations of facility managers, sales representatives and Staff's experience in facility
management, Staff provided Council with a selection of cardio and strength equipment
ascertained to be best suited to the current and future fitness needs of the community
adhering to the current trends in fitness.
Manager LaPorte stated that upon conclusion of the research, Staff met with the sales
representatives from the top major fitness equipment vendors servicing Parks and Recreation
Departments/Park District agencies, including:
• Life Fitness;
• Precor/Freemotion (Direct Fitness Solutions);
• Matrix; and
• Cybex/Octane (Midwest Commercial Fitness).
The goal was to select equipment that matched the visually appealing nature of the new
Center, make an impression, was reliable and offered an investment in the latest technology.
After applying all of these criteria it was determined that the Precor/Freemotion line of fitness
equipment has the features best suited to the McHenry Recreation Center.
Manager LaPorte indicated that Staff feels the reliability, performance and technology
found in the Precor fitness lines; and the additional pieces sold through Direct Fitness Solutions
from Freemotion, Dynamic, SCI-FIT, and Troy are the right selection for the new McHenry
Recreation Center. When considering the lines from the other companies; the Precor line had
the best technology, performance history, visual appeal and range of selection from one
vendor. Additionally, the purchase price was the lowest of the three price estimates
accumulated.
Manager LaPorte explained to Council that for the reasons indicated, the specific line of
equipment has been chosen, and as such, the specificity of the purchase would require it to be
a sole source purchase. A sole source purchase typically means that only one supplier is capable
of delivering the required product. Similar types of goods may exist, but only one supplier for
reasons of expertise, and/or standardization, quality, compatibility with existing equipment,
specifications, or availability, is the only source that is acceptable to meet a specific need.
Direct Fitness Solutions is the sole source dealer of Precor, Freemotion and Dynamic fitness.
brands.
Deputy City Administrator Hobson stated that looking at the present and to the future,
Director Fitness has worked with Staff to partner with the City of McHenry to offer top of the
line equipment at a great rate.
Responding to an inquiry from Council, Manager LaPorte noted Staff also analyze
acquiring fitness equipment through a lease option. Each of the options provided created an
additional cost, which the Center would have to account for on an annual basis for as much as
$102,888 per year for a 36-months lease, down to $65,448 per year for a 60 months lease.
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Manager LaPorte explained that leasing options vary greatly depending on the overall amount
spent on equipment. Staff determined that the healthy status of the Recreation Center Fund
afforded the City the opportunity to purchase the equipment and eliminate the unnecessary
cost addition of leasing.
Alderman Schaefer stated that the matter has been discussed in detail at the Parks and
Recreation Committee level and he feels that purchasing the equipment is the right way to go.
Responding to Alderman Curry's inquiry regarding whether the on -screen advertising is
a revenue source, Manager LaPorte stated affirmatively. Alderman Curry inquired about
whether Staff had a feel for the ongoing maintenance of the equipment. Manager LaPorte
informed Council that there would be a 3-year warranty on the cardio equipment, the strength
equipment is mainly cable. The equipment has an anticipated life span of 7-10 years. Manager
LaPorte informed Council that the equipment would be cleaned daily and a bi-annual
professional cleaning and maintenance would be enacted, likely extending the life of the
equipment.
Alderman Condon opined that she is excited to see the Recreation Center become a
reality.
Alderman Santi stated that the Recreation Center is a beautiful structure. Alderman
Santi expressed some concern that the technology of the equipment might change/upgrade
over a brief period of time. Manager LaPorte informed Council that the basic components of
the machine do not change and the software receives regular updates.
Manager LaPorte introduced Mike Munson, Regional Sales Manager for Direct Fitness
Solutions address Council. Mr. Munson informed Council that Precor updates the software
automatically to users/operators. Precor will train Staff in the use of the equipment and would
be happy to engage members with Open House events. Mr. Munson noted that the company is
located in Mundelein, which is near the City of McHenry and would be able to address any
issues or concerns quickly. Manager LaPorte added that the equipment is a uniform line and
that each console on the equipment comes with a tutorial.
Motion by Schaefer, second by Santi, approving the sole -source purchase of fitness
equipment for the McHenry Recreation Center from Direct Fitness Solutions, in the amount of
$282,835, and authorizing a budget amendment in the Recreation Center Fund, in the amount
of $282,835.
Voting Aye: Santi, Glab, Schaefer, Curry, Wimmer, Peterson, Condon.
Voting Nay: None.
Absent: None.
Motion carried.
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MOTION TO APPROVE THE PURCHASE AND INSTALLATION OF MCHENRY RECREATION
FURNITURE FROM THE FRANK COONEY COMPANY, FOR THE AMOUNT OF $76,462, AND
AUTHORIZE A BUDGET AMENDMENT IN THE RECREATION CENTER FUND FOR THE AMOUNT
OF $76,462
City Administrator Morefield informed Council that within the overall budget for the
Recreation Center, the purchase of furniture was not included in the bid for construction, yet
the process was a part of FGM's assistance on the project. Through FGM's assistance and
numerous meetings with the Parks and Recreation Department Staff, a thorough list to
accommodate all the needs for the new facility and potential offerings was developed.
Staff proposes using two separate cooperative purchasing entities:
1. National Cooperative Purchasing Alliance (NCPA); and
2. The Cooperative Purchasing Network (TCPN).
Using the two separate entities provides Staff the opportunity to use nationally and
competitively -bid contracts for this purchase. NCPA and TCPN are national governmental
purchasing cooperatives that offer competitively bid and awarded contracts with national
vendors for commonly purchased products and services allowing government entities to make
compliant purchases at a valued rate. Agencies in Illinois are permitted to use cooperative
purchasing contracts, such as NCPA and TCPN as an alternative to bidding per Chapter 5, Act
220, Section 2 and 3 concerning Intergovernmental Cooperation (5 ILCS 220/2 and 220/3). The
Governmental Joint Purchasing Act (30 ILCS 525) allows member agencies to legally purchase
through these contracts without duplicating its own competitive -bidding process and
requirements. The result of this cooperative effort is a high -quality selection of nationally -
leveraged, competitively -bid contract solutions to assist in meeting the ever changing needs of
current and future member agencies.
Based on the specific furniture selections and related contract, or bid price, under which
the selections are included, there are four separate components to the furniture purchase:
1. NCPA contract with Frank Cooney Company (No. 62794): $23,094.40
2. TCPN contract with Frank Cooney Company (No. 62794A): $39,866.10
3. Items not available on contract price under bid dollar
requirements - quotes provided by Frank Cooney Company
(No.62794B) $ 6,351.50
4 Installation of furniture and removal of garbage - quote by
Frank Cooney Company (No. 62794C) $ 7,150.00
$76,462.00
The total amount for furniture procurement and installation would be $76,462. City
Administrator Morefield noted that this amount is $8,538 less than the $85,000 line item
placed on the original budget for furniture. The proposed purchase would be made using funds
from the Recreation Center Fund.
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Alderman Condon opined that it is wonderful to actually see the building coming
together.
Alderman Glab expressed concern regarding the cost of some of the items on the list of
furniture.
Mayor Low thanked everyone involved in the project for the efforts. She stated that she
is happy to see the project coming together.
Motion by Condon, second by Santi, approving the purchase and installation of
McHenry Recreation Center furniture from The Frank Cooney Company, in the amount of
$76,462, as follows:
1. NCPA contract with Frank Cooney Company (No. 62794): $23,094.40
2. TCPN contract with Frank Cooney Company (No. 62794A): $39,866.10
3. Items not available on contract price under bid dollar
requirements - quotes provided by Frank Cooney Company
(No.62794B) $ 6,351.50
4 Installation of furniture and removal of garbage - quote by
Frank Cooney Company (No. 62794C) $ 7,150.00
and authorizing a budget amendment in the Recreation Center Fund, in the amount of $76,462,
to account for said purchases.
Voting Aye: Santi, Curry, Schaefer, Wimmer, Peterson, Condon.
Voting Nay: Glab.
Absent: None.
Motion carried.
MOTION TO APPROVE AN AMENDMENT TO INCREASE THE AMOUNT BUDGETED IN THE
DEVELOPMENT EXPENSE ACCOUNT BY $125,000 FOR COST ASSOCIATED WITH SALES TAX
INCENTIVE AGREEMENTS WITH GARY LANG AUTO GROUP FV IL MCHENRY COMMONS
SHOPPING CENTER LLC, AND HIGHLAND PARK CVS
City Administrator Morefield informed Council that in January 2009, September 2011
and January 2015, the City of McHenry entered into sales tax incentive agreements respectively
with:
• Gary Lang;
• FV IL, McHenry Commons Shopping Center LLC; and
• Highland Park CVS, LLC.
These Agreements were set up to cover a portion of the development costs of their respective
properties within the City.
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For 2015/2016, the budget for the development expense account (100.04.6945) was set
at $275,000. The City of McHenry received tax data for four months of the new fiscal year and is
due to pay out one Incentive Agreement that runs from September, 2015 to August, 2015.
Following a review of the sales tax data and the upcoming incentive payouts, it appears as
though the budget is going to be short $125,000. In order to fully fund the Incentive
Agreements for Fiscal Year 2015/2016, a budget amendment is required.
City Administrator Morefield addressed questions presented by Council concerning
certain aspects of the Incentive Agreements. City Administrator Morefield stated that by State
law he is unable to discuss specific sales tax income due to confidentiality issues.
Motion by Schaefer, second by Condon, approving an amendment to increase the
amount budgeted in the Development Expense Account by $125,000 for costs associated with
Sales Tax Incentive Agreements with Gary Lang Auto Group, FV IL, McHenry Commons
Shopping Center, LLC, and Highland Park CVS.
Voting Aye: Santi, Glab, Schaefer, Curry, Wimmer, Peterson, Condon.
Voting Nay: None.
Absent: None.
Motion carried.
MAYOR'S STATEMENT AND REPORT
Mayor Low announced Saturday, November 21, 2015, from 12:00 PM to 4:00 PM the
McHenry Downtown Business Association Annual Christmas Walk will take place. Mayor Low
encourage everyone to Shop McHenry.
Mayor Low announced the annual tree lighting ceremony will be held in Veterans
Memorial Park on Saturday, November 21, 2015. Carolers will be in attendance from the high
school and there will be an appearance by Santa Claus.
Mayor Low announced Sunday, November 22, 2015, at 1:00 PM, the annual Toys for
Tots Parade will be held, culminating in Veterans Memorial Park where Marines will be
collecting toys.
ATTORNEY'S REPORT — IEPA SRF LOAN AGREEMENT, AVAILABILITY OF APPROPRIATIONS;
SUFFICIENCY OF FUNDS
Mayor Low announced that City Attorney McArdle would like to address Council.
Attorney McArdle informed Council that there is wording in the IEPA SRF Loan Agreement that
he felt needed to be brought to the attention of Council due to the current financial situation of
the State of Illinois.
Attorney McArdle advised Council that the wording in the Loan Agreement states that
the loan is subject to approval by the State and sufficiency of funds. Attorney McArdle advised
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Council that the language is boiler plate in the agreement, has never been an issue (the money
is funded through the Federal government), and is not negotiable.
Alderman Condon thanked City Attorney McArdle for bring the language to the
attention of Council.
COMMITTEE REPORTS
There were no Committee Reports.
STAFF REPORTS
There were no Staff Reports.
FUTURE AGENDA ITEMS
There were no Future Agenda Items.
ADJOURNMENT
Motion by Wimmer, seconded by Peterson, to adjourn the meeting at 8:37 pm.
Voting Aye: Santi, Glab, Schaefer, Curry, Wimmer, Peterson, Condon.
Voting Nay: None.
Absent: None.
Motion carried.
The meeting was adjourned at 8:37 pm.
f
Mayor
City Clerk