East Central Reporter

City of Olney City Council met March 10.

Here are the minutes provided by the council:

AGENDA #1 “CALL TO ORDER” The March 10, 2025, meeting of the Olney City Council was called to order at 6:00 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. Roger Boyd led the group in prayer.

AGENDA #3 “ROLL CALL” The following Council members were present: Mark Lambird, John McLaughlin, Morgan Fehrenbacher, Julia Eichhorst, and Jack Eyer. Also present were City Manager Allen Barker, City Treasurer Jane Guinn, City Attorney Bart Zuber, City Engineer Mike Bridges, and City Clerk Kelsie Sterchi.

AGENDA #4 “PUBLIC COMMENTS/PRESENTATIONS” No one from the public wished to speak.

AGENDA #5 “PRESENTATION OF CONSENT AGENDA”

5-A “Approve Minutes of the Council Meeting on February 24, 2025”

5-B “Approve and Authorize Payment of Accounts Payable March 11, 2025” Pooled Cash $235,342.95, Manual Pooled Cash $149,473.90, Petty Cash $339.55, Walnut/Main Storm Sewer $243,619.09, ISO $812.00, Foreign Fire $1,955.33, IMRF $25,479.79, Tourism $2,500.00

5-C “Raffle License: Olney Little League”

5-D “Payment Request: Main St. Storm Sewer”

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. A majority affirmative voice vote was received.

AGENDA #8 “CONSIDERATION OF ITEMS REMOVED FROM CONSENT AGENDA” No items were requested for removal from the consent agenda.

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

9-A “Discussion/Request: Contribution Amount for the Olney Public Library Utilities” Olney Public Library Director Logan Braddock was present to speak with the Council. Each year, the City budgeted $8,600.00 to go towards library utilities. Mr. Braddock indicated that the utility totals had exceeded the $8,600.00 over the past few years. Because of this, he was requesting that the City budget more funds to help make up the difference.

Councilwoman Eichhorst asked how much more the utility totals were coming in versus what was budgeted. Mr. Braddock replied that so far in the fiscal year, utilities had hit a total of $9,600.00, and there was still 2 months left in the fiscal year. Mrs. Guinn confirmed that utility totals had ended up at $10,109.00 last year and were coming in at $10,195.00 this year.

Councilman McLaughlin asked if granting the request would be as simple as increasing the line item in the upcoming 2025/2026 budget. Mr. Barker confirmed, and Mrs. Guinn told the Council that she planned to budget $11,000.00 for library utilities unless the Council was not in support of the request.

Councilman Eyer wondered if the increase in cost was due to more use or higher utility fees. Mr. Braddock believed that it was due to higher utility fees. The library had replaced its HVAC to a more energy-efficient model and were still coming in over the $8,600.00 amount.

Councilman Eyer moved to support increasing budgeted funds from $8,600.00 to $11,000.00 in future budgets, seconded by Councilwoman Fehrenbacher. A majority affirmative voice vote was received.

9-B “Tourism Grant Request: White Squirrel Bluegrass Festival on September 6, 2025” The Council was provided with a Tourism Grant Application from Olney Festivals of Illinois for the upcoming White Squirrel Bluegrass Festival on September 6, 2025. The Council was also provided with a copy of Tourism Grant guidelines. Steve Marrs was present to speak on the request.

This would be the third year that Mr. Marrs was hosting the White Squirrel Bluegrass Festival in the City Park. While the Tourism Grant program had been suspended over the past few years, Mr. Marrs had still requested sponsorships for the event from the Council. The Council contributed $2,500.00 in 2023 and $5,000.00 in 2024. Now that the Tourism Grant Program was back up and running, Mr. Marrs needed to formally apply for funding. He was asking for an amount of $5,000.00 this year.

Mr. Marrs stated that local banks and businesses also contributed some sponsorships to the event. The event planners were still finding their footing on best ways to advertise and to get to the point where they would no longer need to ask for funding from the City.

This year, Mr. Marrs felt he would need to increase ticket prices to $30.00 each, or $25.00 each if purchased in advance. He believed that increase should help in the future.

Referencing the budget that Mr. Marrs had provided with his application, Councilwoman Fehrenbacher saw that “Advertising and Insurance” was listed at $7,000.00. She asked how much the insurance was alone. Mr. Marrs replied that insurance cost about $500.00.

Referencing the Tourism Grant evaluation criteria, Councilwoman Fehrenbacher pointed out that in order to be awarded, the project or event needed to be “new” or “young.” She did not believe that a third-year event would be considered “new.” She wondered how Mr. Marrs planned to fund moving forward.

Mr. Marrs indicated that the key in moving forward would be support of festival-goers. He planned to try hosting the event one more time to see if it could become successful. He understood that new events took a few years to get off of the ground. The goal was to help promote Olney and to get attendees to spend money. Eventually, he hoped to see the event go from a one day event to a full weekend event.

Councilwoman Fehrenbacher asked what sponsorship levels were available. Mr. Marrs replied that sponsorships were between $125.00 and $250.00.

Councilman McLaughlin moved to approve the Tourism Grant Application, as presented, for the White Squirrel Bluegrass Festival on September 6, 2025, seconded by Councilwoman Eichhorst.

Councilman McLaughlin stated that he would be in favor of providing funding this one additional year and hoped that the event would take off.

Councilwoman Eichhorst asked if attendance had increased. Mr. Marrs believed he had about 200 attendees the first year and 250 last year. Most attendees were locals, but a fair amount attended from nearby communities.

A majority affirmative voice vote was received to the motions made above with Councilman Eyer abstaining.

9-C “Resolution: Waive Formal Bidding Procedures for the Purchase of a 2025 Pickup Truck” The Council was provided with a proposed resolution that would waive formal bidding procedures for the purchase of a 2025 GMC Sierra pickup truck.

Mr. Barker told the Council that the Water Plant had $38,000.00 budgeted for a pickup truck this fiscal year. Mr. Barker was able to purchase a truck from Eagleson’s at $32,915.06.

Councilman Eyer was impressed with the price tag of the truck. Mr. Barker indicated that GMC currently had incentives that Chevrolet was not offering which helped with the pricing.

Councilman Eyer moved to approve 2025-R-09, seconded by Councilwoman Eichhorst. A majority affirmative voice vote was received.

9-D “Resolution: Accept Water and Sewer Public Improvements Constructed in Lots 1-21 of Northfield Subdivision by Doll Real Estate LLC.” The Council was provided with a proposed resolution that would accept water and sewer public improvements constructed in lots 1-21 of Northfield Subdivision by Doll Real Estate LLC. (Doll’s). The Council was also provided with a letter requesting acceptance of water and sewer improvements, a letter requesting release of the first Residential Development Program rebate, and a copy of the Residential Development Agreement between the City of Olney and Doll Real Estate LLC.

Doll’s had submitted a letter confirming the completed construction of water and sewer improvements in lots 1-21 of Northfield Subdivision. Approval signatures had been received on the

Acceptance of Subdivision Improvements form. Typically, the City would accept all public improvements at the same time, however weather had delayed progress of the other improvements. Doll’s was interested in working on their reimbursements per the Residential Development Assistance Program.

Councilwoman Fehrenbacher moved to approve 2025-R-10, seconded by Councilwoman Eichhorst. A majority affirmative voice vote was received.

9-E “Ordinance: Authorize the Execution of Partial Release of Undertaking in Lieu of Completion Bond for Northfield Subdivision” The Council was provided with a proposed ordinance that would authorize the execution of a partial release of the Undertaking in Lieu of Completion Bond with Doll Real Estate LLC.

As part of the development of Northfield Subdivision, Doll Real Estate LLC. had executed an Undertaking in Lieu of Completion Bond as part of their construction of these lots. Water and sewer improvements were completed in an acceptable manner, and in the previous agenda item, the Council voted to accept those improvements. Mr. Barker explained that the next step would be to authorize this partial release until the rest of the public improvements were completed. This action was also related to moving forward with reimbursements for the Residential Development Assistance Program.

Councilman McLaughlin moved to approve Ordinance 2025-05, seconded by Councilwoman Fehrenbacher. A majority affirmative voice vote was received.

9-F “Resolution: Acknowledge Option to Not Renew Municipal Parking Lot Lease” The Council was provided with a proposed resolution that would acknowledge the option to not renew a municipal parking lot lease. The Council was also provided with a copy of the current lease with First National Bank in Olney (FNBO) for maintenance and use of their parking lot as a municipal parking lot. The lease term was set to expire on May 12, 2025.

Mr. Barker reminded the Council that the City had a current lease with FNBO regarding the parking lot north of the courthouse. Due to the upcoming main branch move from Main Street to Route 130, FNBO would be selling the parking lot. Therefore, there was no need to continue a lease with FNBO for the parking lot.

Councilman McLaughlin moved to approve 2025-R-11, seconded by Councilwoman Eichhorst. A majority affirmative voice vote was received.

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 noted that the Main Street Storm Sewer Project was coming along, but it was also seeing some issues. He requested the public’s continued patience.

Mr. Zuber wished to clarify with the Council that agenda item 9-E only released a part of the Undertaking in Lieu of Completion Bond. The Council indicated their understanding.

10-B “RCDC Report” There was no report.

10-C “Chamber of Commerce Report” Councilwoman Eichhorst said the upcoming Ladies Night Out event was sold out.

10-D “Tourism Board Report” There was no report.

AGENDA #11 “2025/2026 BUDGET DISCUSSIONS”

11-A “Water Fund” The Council had been provided with budget spreadsheets in their mailboxes earlier in the week.

Mrs. Guinn expected the Water Fund to receive a total revenue of $2,600,817.00 next fiscal year, and expected expenditures to come in at $3,067,474. This would leave that budget unfavorable by ($466,657.00), however she reminded the Council that $60,000.00 of that would be a carry-over from the current fiscal year for boring work related to the Route 130 railroad overpass that was not able to yet be completed. She had also removed the $90,000.00 line item for a utility truck and would be taking approximately $316,000.00 out of reserves to make up the difference.

The main revenue source from the Water Fund came from utility income. Mrs. Guinn expected that revenue alone would total $2,275,000.00 in the next fiscal year. Debt service/capital improvement would be at $178,000.00.

In expenditures, Water Plant Personnel costs would total $618,100.00, and Contractual Services would total $309,978.00. Increases here were due to the need of a new truck transmission, flusher maintenance, tree removal, survey postage, and a backup turbidimeter.

Supplies would be totaling $322,000.00.

Capital Outlay for the Water Plant would include $100,000.00 for carbon replacement, and $8,000.00 for clarifier valve replacement.

Water Distribution Personnel costs would total $404,773.00, Contractual Services would total $119,400.00, and Supplies would total $87,500.00.

Capital Outlay for Water Distribution included the $60,000.00 for boring work that Mrs. Guinn had earlier mentioned, $100,000.00 as a placeholder for necessary water main replacement, and $825,000.00 to replace the water main on E. North Avenue, between S. Whittle Avenue and S. East Street.

Debt Service would total $27,724.00.

11-B “Sewer Fund” Mrs. Guinn expected this Fund to receive $2,225,250.00 in revenue next fiscal year. She also expected expenditures to total $21,90,513.00. This would leave the Sewer Fund budget favorable by $34,737.00.

Most revenue would come from utilities, and Mrs. Guinn expected that alone to total $2,000,000.00. Debt service/capital improvement should total $125,000.00.

Personnel costs would come in at $474,528.00, Contractual Services would total $501,078.00, and Supplies would total $355,050.00.

Capital Outlay for the Sewer Fund would include $40,000.00 as a placeholder for necessary sewer line repairs, $35,500.00 for sewer line camera software, and $700,000.00 for a building to house caustic.

Debt service would total $84,357.00.

Councilman McLaughlin felt that $700,000.00 for a chemical storage building seemed extreme.

From the audience, Sewer Department Supervisor Jeff Lathrop clarified that it would not simply be a storage building, but more of a facility. It would require new tanks, pumps, and heating. He explained that the caustic could not get below 55-degrees or else it would crystalize. The facility would also require concrete, drains, insulation, wiring, and an eyewash station. Currently, the Sewer Plant did not have the appropriate storage facility for this chemical.

Mr. Bridges confirmed that the facility could easily cost $700,000.00.

Councilman Eyer asked for the dimensions of the building. Mr. Bridges replied that it would be 30-foot by 30-foot.

Councilman Eyer asked if the caustic vendor would allow the City to utilize their tanks if purchasing from them. Mr. Lathrop indicated that only one vendor had offered such, but noted that other safety concerns would need to be addressed.

Councilwoman Fehrenbacher asked if Mr. Lathrop could explore other options. Mr. Lathrop replied that he had intent to contact some other individuals, but that had not yet taken place. He pointed out that the once vendor he had spoken with stated that they would require a multi-year contract instead of the customary annual bidding.

11-C “Tourism Fund” In this Fund, Mrs. Guinn anticipated to receive $122,725.00 in revenue with $88,020.00 in expenses. This would leave the Fund favorable by $34,680.00.

Most of the budget was similar to years past, but an amount of $2,500.00 was included to go towards a welcome sign. This amount was coming out of the 175th Anniversary account as it had been earmarked for this purpose, and Project Community was actively working on this sign project.

AGENDA #12 “CLOSED SESSION: SALE OR LEASE PRICE OF REAL PROPERTY; ACQUISITION OF REAL PROPERTY; AND APPOINTMENT, EMPLOYMENT, COMPENSATION, AND PERFORMANCE OF SPECIFIC EMPLOYEES”

Councilwoman Eichhorst moved to adjourn to closed session to discuss the sale or lease price of real property; acquisition of real property; and appointment, employment, compensation, and performance of specific employees, seconded by Councilwoman Fehrenbacher. A majority affirmative voice vote was received.

The meeting adjourned to closed session at 6:27 p.m.

AGENDA #13 “RECONVENE OPEN SESSION”

Councilman McLaughlin moved to enter back into open session, seconded by Councilwoman Fehrenbacher. A majority affirmative voice vote was received. Open session resumed at 6:46 p.m.

13-A “Approve Minutes of Closed Session on February 24, 2025” Councilman McLaughlin moved to approve the minutes of closed session from February 24, 2025, seconded by Councilwoman Eichhorst. A majority affirmative voice vote was received.

13-B “Discussion/Possible Action: Authorization of Potential Real Estate Agreement” Mayor Lambird said that a Request for Proposals (RPF) would be published regarding approximately 6 acres of land near Herman Drive in the Industrial Park. Notice would need to be published in the Olney Gazette, and the RFPs would close the first week of April.

Councilman McLaughlin moved to authorize RPFs for approximately 6 acres on land with property tax parcel number 11-10-1010-120, seconded by Councilwoman Eichhorst. A majority affirmative voice vote was received.

The Council would reserve the right to select any proposal received, to negotiate changes to any proposal received, to waive any requirements or formalities, and further to reject any or all proposals received. The City Attorney would draft and publish the Request for Proposals to Acquire City Owned Real Estate.

AGENDA #14 “ADJOURN”

With no further business to discuss, Councilman McLaughin moved to adjourn, seconded by Councilwoman Eichhorst. A majority affirmative voice vote was received.

The meeting adjourned at 6:48 p.m.

https://cms2.revize.com/revize/olneynew/cc%20Mar%2010%202025.pdf