East Central Reporter

City of Olney Council met April 8.

Here is the minutes provided by the council:

AGENDA #1 “CALL TO ORDER” The April 8, 2019, meeting of the Olney City Council was called to order at 7:00 p.m. in the Council Chambers of the Olney City Hall located at 300 S. Whittle Avenue, Olney, Illinois, with Mayor Mark Lambird presiding.

AGENDA #2 “PLEDGE OF ALLEGIANCE TO THE FLAG-PRAYER” Council members and visitors joined in the pledge of allegiance to the flag. Chris Jennette led the group in prayer.

AGENDA #3 “ROLL CALL” The following Council members were present: Morgan Fehrenbacher, Les Harrison, Belinda Henton, John McLaughlin and Mark Lambird. Also present were City Manager Allen Barker, City Treasurer Jane Guinn, City Clerk Kelsie Sterchi, and City Engineer Mike Bridges. City Attorney Zuber entered the meeting after Item 9-A.

AGENDA #4 “PUBLIC HEARING: 2019/2020 FISCAL BUDGET” This item was addressed after Agenda #7 “Consideration of Consent Agenda.”

AGENDA #5 “PRESENTATION OF CONSENT AGENDA”

5-A “Approve Minutes of Council Meeting on March 25, 2019”

5-B “Approve and Authorize Payment of Accounts Payable April 9, 2019” Pooled Cash $108,910.72, Manual Pooled Cash $105,580.29, Petty Cash $230.15, Housing Rehab Grant $25,255.00, Tree Project $682.50, Fire Pension $600.00, IMRF $25,758.10, Tourism $240.50

5-C “Raffle License: RMH Foundation”

5-D “Raffle License: Center Shrine Club”

5-E “Request: Allowance for Liquor Sales to Begin at 9:00 A.M. on April 28, 2019, for the Olney Elks #926 District Deputy Meeting”

5-F “Raffle License-Relay for Life – Team Runyon Family”

AGENDA #6 “REMOVAL OF ITEMS FROM CONSENT AGENDA” No items were requested for removal from the consent agenda.

AGENDA #7 “CONSIDERATION OF CONSENT AGENDA” Councilman McLaughlin moved to approve the items on the consent agenda, seconded by Councilwoman Fehrenbacher. Councilwomen Fehrenbacher, Henton, Councilmen Harrison and McLaughlin voted yes. Mayor Lambird abstained. The motion carried.

Mayor Lambird then addressed Agenda #4 “Public Hearing: 2019/2020 Fiscal Budget.”

The Illinois State Statute requires the Council to hold a public hearing for the tentative fiscal year 2019/2020 budget. Notice was given to the media that the tentative budget was available for viewing at City Hall. The purpose of the hearing would be to allow the public to express their opinions and to ask questions regarding the tentative budget. Mayor Lambird then addressed the audience by asking if anyone had comments concerning the proposed budget. No one from the public wished to speak. The public hearing was closed.

AGENDA #8 “CONSIDERATION OF ITEMS REMOVED FROM CONSENT AGENDA” No consideration was necessary since no items were removed from the consent agenda.

AGENDA #9 “PRESENTATION OF ORDINANCES, RESOLUTIONS, ETC.”

9-A “Discussion/Possible Action: Demolition of the Musgrove House” Mr. Barker explained that the topic of the Musgrove House demolition had been going on for the past few years. Currently, the Girl Scouts meet at the Musgrove House and store all of their necessary equipment there as well. Mr. Barker had met with Mary Lou Spieth, Girl Scouts, on April 3, 2019, to discuss the timeline for the relocation of the Girl Scout meetings so that plans to demolish the Musgrove House could move forward.

Mrs. Spieth was present at this meeting. She thanked the Council for allowing the Girl Scouts to use the Musgrove House for several years at no charge. She explained that establishing a timeline was necessary because arrangements would need to be made to find alternate storage for their gear. She did not know how long it would take to find appropriate storage.

Councilman McLaughlin asked if area churches could be available. Mrs. Spieth replied that churches were available for meetings, but would not be sufficient for all of the Girl Scout storage.

Mrs. Spieth noted that because the Girl Scouts were not-for-profit, extra funds were not available to rent a storage unit each month. Mayor Lambird asked how many square feet would be needed for storage. Mrs. Spieth estimated that an area the size of a small storage unit would suffice. Councilwoman Fehrenbacher asked if an upstairs area could be used. Mrs. Spieth replied it would be too difficult to go up and down stairs as much of their equipment was heavy.

Mrs. Spieth understood the reasons that the Musgrove House needed to be demolished. She was aware of the danger with automobiles accessing the driveway during ball season. Councilman McLaughlin agreed, but felt that the biggest issue was the monetary need for upkeep. He recalled a number close to $50,000.00 for repairs alone.

Once a storage space was secured, Mrs. Spieth indicated that plans could move forward on the demolition. She would be holding a leader meeting within the next two weeks to get the word out to the other Girl Scout leaders. She did not ask any of the leaders to attend this evening’s meeting because she did not want any uproar.

Mayor Lambird expressed his appreciation for all the Girl Scouts have done for the community, and wished to make the transition as easy as possible. Mrs. Spieth thanked him, and offered that she would also be contacting the elementary school, as she believed Tiger Zone may be making some changes.

City Attorney Zuber entered the meeting at 7:06 p.m.

9-B “Resolution: Accept Bid for Furnishing and Delivery of Concrete for Street Patching, Curb and Gutter Construction, and Miscellaneous Construction” The Council was provided with a proposed resolution to accept a bid for the furnishing and delivery of concrete for street patching, curb and gutter construction, and miscellaneous construction.

Mr. Barker explained that bids had been solicited for various mixes of concrete with two options. Option 1 was for six months and Option 2 for one year. Bids were opened on April 4th with two bids received. Doll’s Inc., of Olney, Illinois, bid for Option 2 only and Schrey Systems of Olney, Illinois, bid for both options. It was recommended to accept the low bids from Schrey Systems for Option 2.

Councilman McLaughlin moved to approve 2019-R-21, seconded by Councilman Harrison. A majority affirmative voice vote was received.

9-C “Resolution: Accept Bid for Sand, Pea Gravel, Crushed Stone and Riprap” The Council was provided with a proposed resolution to accept a bid for sand, pea gravel, crushed stone and riprap.

Mr. Barker indicated that bids had also been solicited for sand, pea gravel, crushed stone and riprap. Option 1 was for six months and Option 2 for one year. Bids were opened on April 4th with only one bid received from Charles Heuerman Trucking of Teutopolis, Illinois. Mr. Barker recommended accepting the bid received.

Councilwoman Fehrenbacher asked who was the current supplier. From the audience, Street Department Supervisor Tyler Kocher told that all but riprap was being supplied by Tri-State Logistics. Riprap was supplied by Charles Heuerman Trucking.

Councilwoman Henton wondered why only one bid was received. Mr. Kocher replied that Tri-State Logistics had planned on submitting a bid but had forgotten. Mrs. Sterchi referenced that in addition to publications in the newspaper, notices are sent each year to those that request being sent the information. This year, four companies were automatically sent details.

Councilman McLaughlin moved to approve 2019-R-22, seconded by Councilwoman Fehrenbacher. A majority affirmative voice vote was received.

9-D “Ordinance: Authorize Sale of Personal Property from the Park Department – 2000 Dodge Pickup Truck” The Council was provided with a proposed ordinance that would authorize the sale of a 2000 Dodge pickup truck from the Park Department to Scrap Daddy Inc., of Olney, Illinois.

Mr. Barker indicated that the truck was coming out of service as it had been replaced by a newer model. The truck was in too poor of condition to recommend sale for anyone to drive.

Councilwoman Henton moved to approve Ordinance 2019-12, seconded by Councilman Harrison. A majority affirmative voice vote was received.

9-E “Resolution: Accept Quotes Received for Chemicals for the Musgrove Aquatic Center and Waive Formal Bidding Procedures” This agenda item will be taken up at the April 22, 2019, City Council meeting.

9-F “Resolution: Accept Bid for Demolition of 520 W. North Avenue” The Council was provided with a proposed resolution to accept a bid for demolition of 520 W. North Avenue.

Bids for this demolition were opened on April 5th. Mr. Barker reported that two bids were received. Doll’s Inc., of Olney, Illinois, bid $5,200.00, and the low bid was received from Hemrich Excavating of Noble, Illinois, in the amount of $4,000.00. Mr. Barker recommended accepting the low bid.

Councilwoman Henton asked if a lien would be placed on the property after demolition. Mr. Barker confirmed.

Councilman Harrison moved to approve 2019-R-23, seconded by Councilwoman Fehrenbacher. A majority affirmative voice vote was received.

9-G “Resolution: Amend the 2018/2019 Budget in the Street Department for the Whittle/Monroe Storm Sewer Project” The Council was provided with a proposed resolution that would amend the 2018/2019 Street Department budget for the Whittle/Monroe Storm Sewer Project.

Mr. Barker reminded the Council that an unexpected and necessary repair project had been recently completed at the intersection of S. Whittle Avenue and E. Monroe Street. Because the project was not included in the 2018/2019 budget, a budget amendment was needed. There were still funds available in the Ludlow Storm Sewer Project line item that could be transferred for this purpose. The project totaled $19,944.00 with City crews completing the work.

Councilwoman Henton moved to approve 2019-R-24, seconded by Councilwoman Fehrenbacher. Councilwomen Fehrenbacher, Henton, Councilmen Harrison, McLaughlin, and Mayor Lambird voted yes. There were no opposing votes. The motion carried.

9-H “Resolution: Transfer Money from the Tourism Fund to the General Corporate Fund” The Council was provided with a proposed resolution that would transfer $10,000.00 from the Tourism Fund to the General Corporate Fund.

Mrs. Guinn reminded the Council that the 2018/2019 budget had included a planned transfer of $10,000.00 from the Tourism Fund to the General Fund to help offset some of the City Clerk’s salary in relation to her time spent on tourism-related tasks. Mrs. Guinn was seeking approval to make the transaction.

Councilman Harrison moved to approve 2019-R-25, seconded by Councilwoman Henton. Councilman Harrison, Councilwomen Henton, Fehrenbahcer, and Mayor Lambird voted yes. Councilman McLaughlin voted no. The motion carried.

9-I “Resolution: Designate Funds for Capital Expenditures in the General Fund” The Council was provided with a proposed resolution to designate funds for capital expenditures in the General Fund.

Mrs. Guinn reminded the Council that at the end of each fiscal year, money is typically set aside for future projects. Mrs. Guinn proposed transferring from the General Fund $50,000.00 to the Main Street Resurfacing Account, $50,000.00 to the Pacific Cycle Roof Account, and $50,000.00 to the Walnut/Main Storm Sewer Account.

Councilman McLaughlin moved to approve 2019-R-26, seconded by Councilwoman Fehrenbacher. Councilwomen Henton, Fehrenbacher, Councilmen McLaughlin, Harrison, and Mayor Lambird voted yes. There were no opposing votes. The motion carried.

9-J “Resolution: Designate Funds for Capital Expenditures in the Water Fund” The Council was provided with a proposed resolution to designate $100,000.00 to be transferred from the Water Fund to the Water Capital Improvement Account.

Councilman Harrison moved to approve 2019-R-27, seconded by Councilman McLaughlin. Councilmen McLaughlin, Harrison, Mayor Lambird, Councilwomen Fehrenbacher and Henton voted yes. There were no opposing votes. The motion carried.

9-K “Resolution: Designate Funds for Capital Expenditures in the Sewer Fund” The Council was provided with a proposed resolution to designate $50,000.00 to be transferred from the Sewer Fund to the Sewer Capital Improvement Account.

Councilwoman Fehrenbacher moved to approve 2019-R-28, seconded by Councilman McLaughlin. Mayor Lambird, Councilwomen Fehrenbacher, Henton, Councilmen Harrison and McLaughlin voted yes. There were no opposing votes. The motion carried.

9-L “Resolution: Transfer Money from the General Fund to the Fire Pension Fund” The Council was provided with a proposed resolution that would transfer $100,000.00 from the General Fund to the Fire Pension Fund. The goal for such transfer was to have the Fire Pension Fund reach $2,500,000.00. Until this is done, the amount of investments made in variable equities is capped at 10%. For the last three years, the Fire Pension Fund has showed unfavorable spending. The transfer would be one step in helping the Fund get to the $2,500,000.00 sooner.

Mrs. Guinn pointed out that by the end of the current fiscal year, the Fire Pension Fund would be about ($80,000.00) unfavorable.

Councilman McLaughlin asked if the $100,000.00 proposed to be transferred from the General Fund was unrestricted and could be used for any purpose. Mrs. Guinn confirmed.

Councilwoman Fehrenbacher moved to approve 2019-R-29, seconded by Councilman Harrison. Councilwomen Fehrenbacher, Henton, Councilman Harrison, and Mayor Lambird voted yes. Councilman McLaughlin voted no. The motion carried.

9-M “Resolution: Amend the 2018/2019 Budget in the Sewer Department for Coliform Water Baths” The Council was provided with a proposed resolution that would amend the 2018/2019 Sewer Department Budget for the purchase of coliform water baths.

Mr. Barker explained that Sewer Department Supervisor Jeff Lathrop had requested a budget amendment that would take $2,500.00 from the Fehrenbacher LS Rehab line item for the purchase of a water bath for fecal coliform testing.

Councilwoman Henton moved to approve 2019-R-30, seconded by Councilman McLaughlin. Councilmen Harrison, McLaughlin, Councilwomen Henton, Fehrenbacher, and Mayor Lambird voted yes. There were no opposing votes. The motion carried.

9-N “Resolution: Accept a Proposal to Apply to the Illinois Commerce Commission for Assistance in Repairs to the Whittle Avenue Grade Crossing” The Council was provided with a proposed resolution that would allow Charleston Engineering to apply to the Illinois Commerce Commission for assistance on repairs to the Whittle Avenue grade (railroad) crossing.

The City had been in contact with the Illinois Commerce Commission concerning the Whittle Avenue grade crossing. The Commerce Commission had encouraged the City to apply for assistance from the Grade Crossing Protection Fund. If approved, the project would include improvements to the approaches, the crossing and signalization. While no contribution from the City was required, Mr. Barker explained that a contribution of up to $25,000.00 would enhance the application.

City Engineer Bridges believed the project would take about two years to complete.

Mr. Barker added that part of the project would require the closure of Railroad Street from the Whittle Avenue side. Entry to Railroad Street from S. Fair Street would still be open.

Councilman McLaughlin moved to approve 2019-R-31, seconded by Councilman Harrison. A majority affirmative voice vote was received.

9-O “Resolution: Accept Quote for Pacific Cycle Roof Repairs & Waive Formal Bidding Procedures” The Council was provided with a proposed resolution that would accept a quote for Pacific Cycle roof repairs and waive formal bidding procedures.

Mr. Barker stated that the City had previously contracted with A.C.I. Roofer to re-roof the Pacific Cycle building. The project has been done in phases, and was not yet totally completed. A.C.I. had proposed to move forward with an additional phase that would include three east bays of the warehouse at a total of 110,000 square feet. The quote for the project came in at $354,242.00. Mr. Barker added that the City currently had $375,000.00 reserved for the roofing project.

Councilwoman Fehrenbacher moved to approve 2019-R-32, seconded by Councilman McLaughlin. Councilmen McLaughlin, Harrison, Mayor Lambird, Councilwomen Fehrenbacher and Henton voted yes. There were no opposing votes. The motion carried.

9-P “Resolution: Authorize a Bank Account for the Elliott Street Bridge Project, Transfer Funds from the UDAG Account & Close Out the UDAG Account” The Council was provided with a proposed resolution that would authorize a bank account for the Elliott Street Bridge Project, transfer funds from the UDAG Recapture Account, and close out the UDAG Recapture Account.

Mrs. Guinn told the Council that the Elliott Street Bridge Project would need its own bank account. Additionally, the UDAG Recapture Account still held $11,823.00 that could be used for the project. Mrs. Guinn requested that the $11,823.00 be transferred to the newly proposed Elliott Street Bridge Project Account. From there, she proposed that the UDAG Recapture Account be closed. Mrs. Guinn added that there were no Federal attachments to the account.

Councilwoman Henton moved to approve 2019-R-33, seconded by Councilwoman Fehrenbacher. Mayor Lambird, Councilwomen Fehrenbacher, Henton, Councilmen Harrison and McLaughlin voted yes. There were no opposing votes. The motion carried.

9-Q “Discussion/Action on Amendments to Proposed Annual Budget for Fiscal Year 2019/2020” Before the last City Council meeting, the preliminary budget for 2019/2020 had been distributed into the Council mailboxes. Since the last Council meeting, Mrs. Guinn had made the necessary adjustments in reducing $2,000.00 from the Swimming Pool Bathhouse Roof line item and increasing the Riding Mowers line item by $2,000.00.

The only other change made was to the income and expense expected for the Housing Rehab Grant. This change was due to certain aspects of the grant not taking place this fiscal year.

Councilwoman Henton asked if the commitment of up to $25,000.00 for the grade crossing repairs should be listed. Mrs. Guinn replied that it should not be listed at this time because work on that project would not take place for at least a couple of years.

AGENDA #10 “REPORTS FROM ELECTED AND APPOINTED OFFICIALS”

10-A “Status Report-City Manager” The Council was provided with a Status Report from the City Manager. Mr. Barker also told the Council that sidewalk work had been completed near the alley extension between Main and Chestnut Streets, near Prairie Farms. The sidewalk work completed the City’s portion of the closure of the 100 block of S. Camp and the inclusion of the alley extension. From this point, Mr. Barker stated that Prairie Farms would be adding trees.

Councilwoman Fehrenbacher wondered when Prairie Farms would be adding the trees. Mr. Barker was unsure of a date, but knew it would be this Spring. The Councilwoman felt that the trees should be planted before summer. Mr. Barker replied that Prairie Farms was working towards that final step of the project.

10-B “RCDC Report” RCDC Executive Director Courtney Yockey reported that Yamato had opened and was staying quite busy. Additionally, RCDC’s next business workshop would be held on April 11th, the CEO Shark Tank Competition would be held on April 10th, and the CEO trade show would be held on April 24th.

Mr. Yockey continued that last month, the U.S. 50 Coalition had a successful meeting. An economic impact analysis was being created with the help of the Rural Economic Technical Assistance Center with the Illinois Institute of Rural Affairs.

Councilwoman Henton asked when the hotel would open. Mr. Yockey indicated that work was coming along, and that the hotel would open soon.

10-C “Chamber of Commerce Report” Councilwoman Fehrenbacher told that the Chamber Board meeting would be held on April 11th, and that April 16th was the day of the Chamber’s Annual Meeting/Luncheon.

10-D “Parks & Recreation Board Report” The Parks & Recreation Board had not met for the month, so there was no report.

10-E “Tourism Board Report” Councilwoman Henton said she would be having a conference call with the ILLINOISouth executive committee on April 9th.

AGENDA #11 “PUBLIC COMMENTS/PRESENTATIONS” From the audience, Bill Clow wished to speak. Mr. Clow was representing Richland County’s Finance Committee. In recent correspondence from Judge Dunn, the Judge stated that if the City had any public work to be done, he could supply workers and supervisors. If the City was interested, they would need to provide trash bags and rakes. Mr. Clow would have the community service supervisors get in touch with Park Department Supervisor Frank Bradley.

Councilman McLaughlin had recently been at Rotary Park for the Rotary Clubs’ clean up day. He noticed that there were large potholes along the drive inside of the park. He asked if those could be patched before the disc golf tournament on April 20th, as long as the area dried up. Mr. Bradley and Mr. Kocher believed so.

AGENDA #12 “CLOSED SESSION: SALE OR LEASE PRICE OF REAL PROPERTY; ACQUISITION OF REAL PROPERTY; APPOINTMENT, EMPLOYMENT, COMPENSATION, AND PERFORMANCE OF SPECIFIC EMPLOYEES; AND COLLECTIVE NEGOTIATING MATTERS” Councilman Harrison moved to adjourn to closed session to discuss sale or lease price of real property; acquisition of real property; appointment, employment, compensation, and performance of specific employees; and collective negotiating matters, seconded by Councilwoman Fehrenbacher. A majority affirmative voice vote was received.

Councilmen Harrison, McLaughlin, Councilwomen Fehrenbacher, Henton, Mayor Lambird, City Treasurer Guinn, City Attorney Zuber, and City Clerk Sterchi left the Council Chambers at 7:28 p.m.

AGENDA #13 “RECONVENE OPEN SESSION” Upon return of those who were in closed session to the Council Chambers, Councilwoman Henton moved to enter back into open session, seconded by Councilwoman Fehrenbacher. A majority affirmative voice vote was received. Open session resumed at 7:52 p.m.

13-A “Resolution: Authorize Agreement with the International Association of Fire Fighters Local 4301” In the closed session of the last Council meeting, the Council had reviewed proposed changes to the agreement with the International Association of Fire Fighters Local 4301 (IAFF). The Council agreed that no further changes were necessary.

Councilwoman Henton moved to approve 2019-R-34, seconded by Councilwoman Fehrenbacher. Mayor Lambird, Councilwomen Fehrenbacher, Henton, Councilmen Harrison and McLaughlin voted yes. There were no opposing votes. The motion carried.

13-B “Discussion: Steps Necessary to Proceed with the Community Development Block Grant for Water Line Replacement Project” The Jasper/Lincoln water line was in desperate need of replacement. A Community Development Block Grant was available that could be used towards the project. In order to apply, the City’s water rates would need to be at least $30.52 for 5,000 gallons. Currently, the City’s rate was $27.81 for 5,000 gallons.

Mrs. Guinn distributed three proposals for raising water rates that would make the City eligible to apply for the grant. The first option would keep the charge for up to 2,000 gallons of water the same at $0.5535 per 100 gallons. The rate for additional water up to 48,000 gallons would increase by $0.0570 per 100 gallons. The debt service/capital improvement fee would also increase by $1.00.

The second option would increase the charge for up to 2,000 gallons of water by $0.0855 per 100 gallons. The rate for additional water up to 48,000 gallons would not increase past the current rate of $0.4310 per 100 gallons. The debt service/capital improvement charge would also raise by $1.00.

The third option would increase the charge for up to 2,000 gallons of water by $0.0442 per 100 gallons. The rate for additional water up to 48,000 gallons would also increase by $0.0442. The debt service/capital improvement charge would again raise by $1.00.

If the Council wished to increase rates in order to apply for the grant, Mrs. Guinn recommended Option 1.

Councilwoman Henton asked when the Council would need to decide. Mrs. Guinn replied that ideally, a decision would be made at the April 22, 2019, Council meeting with any new rates going into effect on July 1, 2019. Mr. Barker noted that the application should be submitted in August.

Councilman McLaughlin asked if the rate increases would also affect the large users such as CRMH, Prairie Farms and National Vinegar. Mrs. Guinn confirmed so, but would not affect districts to which the City sold water.

Councilman Harrison commented that the rate increases would be significant to large users.

Councilman McLaughlin was not in favor of Option 1. He felt that if an increase was mandated, it should be for all users of water.

The Council commented that they would be interested in seeing another option that would be a hybrid of Options 1 and 3.

Raising fees was never a desirable venture. Even so, Councilman Harrison noted that while conducting comparison surveys across 121 hospitals in surrounding states, Olney’s rates were very low in comparison. Councilman McLaughlin recalled that the last time water rates increased, a survey of surrounding communities showed that Olney’s was the lowest.

If the Council was interested in the possibility of increasing water rates, Mrs. Guinn wondered if sewer rates should also be addressed. She distributed a sewer rate proposal.

Option 1 would increase sewer rates by $0.0340 per 100 gallons for residential, commercial, industrial and institutional/governmental consumers. It would also increase the debt service/capital improvement charge by $1.00.

Option 2 would increase sewer rates by $0.0440 per 100 gallons for residential, commercial, industrial, and institutional/governmental customers. It would also increase the debt service/capital improvement charge by $0.50.

Option 3 would not increase sewer rates, but would increase the debt service/capital improvement fee by $0.75. Mrs. Guinn pointed out that Option 3 alone would take care of the payments for the wastewater loan that was being applied for.

Councilman McLaughlin was aware that a pricey UV project was coming up for sewer, and another $2,000,000.00 capital project expected for the 2020/2021 fiscal year. He felt the City should be thinking about how to pay for those projects. He also recalled that the Water Plant was in need of a pricey project. He recommended that the City Manager and Council review the departments’ five year plans regarding multi-million dollar projects.

AGENDA #14 “ADJOURN” With no further business to discuss, Councilman Harrison moved to adjourn, seconded by Councilwoman Fehrenbacher. A majority affirmative voice vote was received.

The meeting adjourned at 8:12 p.m.

http://www.ci.olney.il.us/cc%20Apr%208%202019.pdf