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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. Regular Meeting Page 2 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 Regular Meeting Page 3 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. Regular Meeting Page 4 November 16, 2015 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 Regular Meeting Page 5 November 16, 2015 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. Regular Meeting Page 6 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. Regular Meeting Page 7 November 16, 2015 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 Regular Meeting Page 8 November 16, 2015 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. Regular Meeting Page 9 November 16, 2015 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. Regular Meeting Page 10 November 16, 2015 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. Regular Meeting Page 11 November 16, 2015 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. Regular Meeting Page 12 November 16, 2015 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 Regular Meeting Page 13 November 16, 2015 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