City Council Minutes 2005 10-25-05 MINUTES OF THE REGULAR MEETING OF THE CITY COUNCIL
OF THE UNITED CITY OF YORKVILLE. KENDALL COUNTY. ILLINOIS,
HELD IN THE CITY COUNCIL CHAMBERS,
800 GAME FARM ROAD ON
TUESDAY, OCTOBER 25.2005.
Mayor Prochaska called the meeting to order at 7:01 P.M and led the Council in the Pledge of
Allegiance.
ROLL CALL
Clerk Milschewski called the roll.
Ward I James Absent
Leslie Present
Ward II Burd Present
Wolfer Present
Ward III Ohare Present
Munns Present
Ward IV Besco Present
Spears Present
Also present: City Clerk Milschewski, City Treasurer Powell, City Attorney Wyeth, Police Chief
Martin, Director of Public Works Dhuse, Finance Director Pleckham and City Intern Olson.
OUORUM
A quorum was established.
INTRODUCTION OF GUESTS
Mayor Prochaska asked the staff and guests to introduce themselves. He welcomed the guests
and asked them to enter their names on the attendance sheet provided.
AMENDMENTS TO THE AGENDA
None.
COMMITTEE MEETING DATES
Public Works Committee 7:00 P.M., Monday, November 7, 2005
City of Yorkville Conference Room
800 Game Farm Road
Economic Development Committee 7:00 P.M., Thursday, November 17, 2005
City of Yorkville Conference Room
800 Game Farm Road
Administration Committee 7:00 P.M., Thursday, November 3, 2005
City of Yorkville Conference Room
800 Game Farm Road
Public Safety Committee 7:00 P.M., Thursday, November 10, 2005
City of Yorkville Conference Room
800 Game Farm Road
Ad Hoc Technology Committee T.B.A.
PRESENTATIONS
None.
PUBLIC HEARINGS
(� Raintree Village H Special Service Area 2004 -107
Mayor Prochaska entertained a motion to go into public hearing for the purpose of discussing the
Raintree Village H Special Service Area 2004 -107. So moved by Alderman Wolfer;
seconded by Alderman Besco.
Motion approved by a roll call vote. Ayes -7 Nays -0
Besco -aye, Burd -aye, Leslie -aye, Munns -aye, Ohare-aye, Spears -aye, Wolfer -aye
David We from Concord Homes addressed the City Council. He explained this SSA would be
for the southern section of the development and would cover public improvements such as
sewers, roads, public lands, etc. The total amount of the bond will be $9,409,510.00 with amount
for the public improvements being $6,690,094.00.
The Minutes of the Regular Meeting of the Citv Council — October 25. 2005 — nage 2
Mayor Prochaska opened the floor for public comment.
John Butler a resident of Raintree Village inquired about the difference in the total amount for the
bond versus the amount for public improvements. Kevin McCann, from Spear Financial (the
City's bond consultants), explained the difference. A portion of the bond issue will be used for
construction (approximately $7 million) while 10% will be placed in a reserve debt service
account (approximately $1 million). He further explained that while the debt service reserve is
borrowed, it earns interest which is used to lower the annual payments and to make the final
payment of the bond. Also interest will be capitalized for two years (approximately $1 million)
to make sure there is no tax bill until the house is built.
Mr. Butler asked if the details of the SSA will be posted so that residents could investigate it
further and try to understand it. Mr. McCanna stated that the amounts would be detailed in the
bond documents when it was finalized and this information would be available at the City offices
in a day or two.
Mr. Butler asked what the duties of David Taussig & Associates were and Mr. McCanna
explained that they were hired by the City to do an annual report on the SSA.
Mr. Butler commented that it seemed that when compared to a normal issuance of bonds, SSA's
are an inefficient means of financing the infrastructure. He questioned why a company like
Lennair needs to finance the construction through an SSA when they are capable of funding the
infrastructure themselves. He questioned the thirty -yeas burden placed on homeowners for this
mechanism and suggested that it would be better for the developers to charge the appropriate
amount for the houses to cover the costs.
There were no other public comments. Mayor Prochaska opened the floor for City Council
comment.
Alderman Spears asked Mr. Butler if he was aware of the SSA when he purchased his house. He
explained that he did but he did not have a lot of information regarding SSA's. He stated that he
did not have a problem with the SSA on his property however he has further researched them
since his purchase and feel they are inefficient. Alderman Spears noted that some members of the
City Council are against SSA's.
Mr. Butler also commented that the public notice for the hearing did not clarify the areas that eh
SSA affected. He stated that he spoke with Director Pleckham who was very helpful and
clarified the public notice for him.
Alderman Ohare questioned why Mr. Butler bought a house with an SSA considering his concern
with it- Mr. Butler stated he accepts the fact he has an SSA and his consumer decision was based
on the cost of the house. He bought a good house at a lower initial cost and with higher than
average taxes which was a good decision for him. However, he felt that the infrastructure for the
development could be attained without the need for an SSA and that the SSA was a marketing
ploy -
Alderman Leslie asked if this marketing ploy factored into Mr. Butler's purchase of his house.
Mr. Butler stated that it did not. Mr. Butler explained that his SSA amount is not part of his
escrow account so he had to calculate how this affected his budget so that he could set this
amount aside. He questioned what the benefit of the SSA was to the entire City when Lennair
has the funds to construct the infrastructure.
City Treasurer Powell agreed with Mr. Butler that SSA's require education on the part of real
estate agents, tax assessor, homeowners, etc. He noted that there is a cost to financing the
infrastructure and this is passed down to the home buyer. He commented that the lower cost of
the house allows some buyers to purchase more home than if they bought one without an SSA
and that the buyer has the right to pay the SSA assessment upfront when the home is bought. He
felt there SSA's have a place in Yorkville as well as other communities as long as the buyers are
aware of what they are committing to.
Alderman Burd commented that the Economic Development Committee would be having further
discussion regarding SSA's at their meetings. Alderman Burd stated that the Committee would
like to discuss SSA's with the public because they are looking for the downside of SSA's because
all they hear are positive things. She stated she would like to talk with resident's who have
SSA's to hear their reaction to them. She questioned that if the SSA can be paid off in the
beginning why is an extra layer needed. She stated that the realtors she has spoken with are
against SSA's because they lead to more bankruptcies and foreclosures. She felt they should be
looked at from the resident's angle not the developer side.
The Minutes of the Regular Meeting of the Citv Council — October 25. 2005 — Mgt 3
Mayor Prochaska and Alderman Munns noted that this will be on the Economic Development
Committee meeting agenda November 17, 2005 and invited anyone with questions to attend.
Mayor Prochaska stated that Mr. Butler made a strong argument however he would like to see the
information that he based it on. He asked if Mr. Butler would provide Director Pleckham with
the information so the City Council could use it to look at SSA's in a different way.
Mr. Butler agreed to pass his information on to Director Pleckham. He commented that the first
homebuyer of the property has a large burden placed on him and he could see where people could
get in over their heads. He was surprised that more residents did not show up to discuss this
tonight however he felt the confusion of the public notice might have deterred them. He again
thanked Director Pleckham for her assistance in this matter.
Mayor Prochaska entertained a motion to close the public hearing. So moved by Alderman
Ohare; seconded by Alderman Besco.
Motion approved by a roll call vote. Ayes -7 Nays -0
Burd -aye, Leslie -aye, Munns -aye, Ohare -aye, Spears -aye, Wolfer -aye, Besco -aye
CITIZEN COMMENTS
Paul Burd, 300 E. Hydraulic, addressed the City Council. He stated that at the last City Council
meeting it was implied and reported that there might be something improper and maybe illegal
concerning where he and his wife Alderman Burd live in regards to the downtown TIF district.
He stated he wanted to comment on this and set the record straight. He explained that he and
Alderman Burd purchased the property in question in 1988 and it was not in any previous City
plans. He further explained that originally the property consisted of the brick factory building
that is now townhomes, a lot on the other side of this building and the house they live in. In 1995
they sold the property and were going to move out of state. A developer offered to purchase the
property and part of the purchase contract was to rezone from manufacturing to multifamily. The
property was rezoned and all three parcels fell under a Planned Unit Development Agreement.
He stated that at the time most of the City Council voted for the rezoning and PUD. He noted
that Mayor Prochaska voted against it at the time and Mayor Prochaska stated he thought he was
the only one who voted against it. Mr. Burd stated that through some events, he and Alderman
Burd regained possession of their house and the eastern lot but not the factory building. Other
than this nothing has changed since 1995. He stated that there is nothing improper with
Alderman Burd living there. He further noted that the Facade ordinance does not affect them as
its boundary ends at Mill Street. He stated that if the property is sold, he hopes to make money
on it after living there all these years and working on the house which is just what any
homeowner should expect.
CONSENT AGENDA
1. Monthly Treasurer's Report for August 2005
2. Resolution 2004 -71— Adopting Recommended Plan to Implement Governance
Enhancements as Proposed by Dr. Curt Wood and Dr. Gerald Gabris - authorize the
Mayor and City Clerk to execute
3. Bruell Street Sanitary Sewer — Shed Replacement — authorize purchase of tool shed
from Shedcraft & Decks, Inc. in an amount not to exceed $7,281. 00
4. Rob Roy Creek Interceptor Contract 3 — Change Order #2 — authorize increase in an
amount not to exceed $244,359.50, funding from the Yorkville Bristol Sanitary
District Infrastructure Participation Fee
5. Recreation Office Internet Contract — approve 24 month contract with SBC at $36.99
per month with no modem cost
6. Water Department Reports for July 2005
7. River's Edge Unit 1— Letter of Credit Expiration — authorize the City Clerk to call
Letter of Credit should it become necessary
8. 2005 Joint & Crack Filling - Change Order #1 - authorize increase in an amount not
to exceed $3,330.63 and authorize Mayor to execute
9. Rob Roy Creek Interceptor Contract #3 — authorize a ninety day time extension to
March 1, 2006 and authorize City Engineer to execute
10. Kylyn's Ridge Unit 1 — Old Second Letter of Credit # 15367 — Reduction #4 -
authorize reduction in an amount not to exceed $244,577.31
11. Kylyn's Ridge Unit 2 — Old Second Letter of Credit #15540 — Reduction #3 -
authorize reduction in an amount not to exceed $81,676.68
12. Castle Bank - Letters of Credit No. 606 & No. 607 Kylyn's Ridge Unit 1 — Reduction
#4 - authorize reduction in an amount not to exceed $244,5 77.31
13. Fox Hill Unit 7 Letters of Creditl — Reduction #4 - authorize reduction of Old Second
Letter of Credit #15716 in an amount not to exceed $3,420. 60 and authorize
The Minutes of the Regular Meeting of the Citv Council — October 25, 2005 — Dam
14. reduction of Old Second Letter of Credit #15804 in an amount not to exceed
$285,355.40
15. Resolution 2005 -72 — IDOT Highway Permit and Resolution — Heartland Center -
authorize City Clerk to execute
16. Resolution 2005 -73 — IDOT Highway Permit and Resolution — McVickers
Development - authorize City Clerk to execute
17. Final Acceptance of Heartland in Yorkville Units 1, 2 and 3 — accept the public
improvements
18. Water Department Reports for August 2005
19. Resolution 2005 -74 - Fox Industrial Park Project— Supplemental MFT Appropriation
Resolution - authorize City Clerk to execute
20. In -town Drainage Improvements - Change Order Nos. 8 -11— authorize the total
increase in an amount not to exceed $27,392. 00 (No. 8 - $4,242. 00, No. 9 -
$11,120.00, No. 10 - $3,015. 00 and No. I1- $9, 015.00) and authorize the Mayor and
City Clerk to execute
21. Rob Roy Creek Interceptor Contract 5 — Temporary Easement - authorize Mayor to
execute
22. Rob Roy Creek Interceptor Contract 4 — Bid Results - award to D. Construction, Inc.
in an amount not to exceed $1,495,900. 00, funding in accordance with the Yorkville -
Bristol Sanitary District Intergovernmental Agreement
23. Resolution 2005 -75 — IDOT Highway Permit and Resolution — Raintree Village
Route 126 Improvements — authorize Mayor and City Clerk to execute
24. Nextel Second Line Option — approve implementing second line option
Mayor Prochaska entertained a motion to approve the Consent Agenda as presented. So moved
by Alderman Besco; seconded by Alderman Ohare.
Motion approved by a roll call vote. Ayes -7 Nays -0
Burd -aye, Leslie -aye, Munns -aye, Spears -aye, Wolfer -aye, Ohare -aye, Besco -aye
PLANNING COMMISSIONMONING BOARD OF APPEAL
No report.
MINUTES FOR APPROVAL
A motion was made by Alderman Ohare to approve the minutes of the City Council meetings of
September 13, 2005 and September 27, 2005 and the Committee of the Whole meeting from
August 16, 2005; seconded by Alderman Besco.
Alderman Leslie stepped out of the meeting during this vote.
Motion approved as corrected by a viva voce vote.
BILLS FOR APPROVAL
A motion was made by Alderman Ohare to approve the paying of the bills listed on the Detailed
Board Report dated October 14, 2005 totaling the following amounts: checks in the amount of
$689,180.25 (vendors); $183,141.74 (payroll period ending 1011105); for a total of $872,321.99
seconded by Alderman Burd.
Motion approved by a roll call vote. Ayes -7 Nays -0
Besco -aye, Burd -aye, Leslie -aye, Munns -aye, Ohare -aye, Spears -aye, Wolfer -aye
REPORTS
MAYOR'S REPORT
Ordinance 2005 -87 Amending and Restating Ordinance 2005 -77 Vacating Scott Road
Mayor Prochaska entertained a motion to approve an ordinance amending and restating
Ordinance 2005 -77 — Vacating Scott Road. So moved by Alderman Besco; seconded by
Alderman Ohare.
City Attorney Wyeth noted that one of the owner's names was omitted from the original
ordinance.
Motion approved by a roll call vote. Ayes -7 Nays -0
Leslie -aye, Munns -aye, Ohare -aye, Spears -aye, Wolfer -aye, Besco -aye, Burd -aye
The Minutes of the Regular Meeting of the Citv Council — October 25, 2005 — naue 5
CITY COUNCIL REPORT
No report.
ATTORNEY'S REPORT
No report.
CITY CLERK'S REPORT
No report.
CITY TREASURER'S REPORT
City Treasurer Powell reported that the Annual Treasurer's Report for Fiscal Year 2004/2005
would be published on October 27, 2005 in the Kendall County Record. It has also been filed
with the City Clerk's office and will be filed in the Kendall County Clerk's office.
CITY ADMINISTATOR'S REPORT
No report.
FINANCE DIRECTOR'S REPORT
No report.
DIRECTOR OF PUBLIC WORKS REPORT
No report.
CHIEF OF POLICE REPORT
No report.
EXECUTIVE DIRECTOR OF PARKS & RECREATION REPORT
No report.
COMMUNITY & LIAISON REPORT
Facade Committee
Alderman Burd reported that she attended the Facade Committee meeting where they approved
the payment of $5,130.50 to Bob Dearborn for the garbage enclosure at 213 Bridge Street. She
also stated that she would be working on an amendment to the Facade Program ordinance.
COMMITTEE REPORTS
PUBLIC WORKS COMMITTEE REPORT
No report.
ECONOMIC DEVELOPMENT COMMITTEE REPORT
No report.
PUBLIC SAFETY COMMITTEE REPORT
No report.
ADMINISTRATION COMMITTEE REPORT
Resolution 2005 -76 Bristol Bay SSA Resolution Declaring Official Intent
A motion was made by Alderman Ohare to approve a resolution declaring official intent
regarding Special Service Area Number 2005 -109, Bristol Bay I as presented, seconded by
Alderman Wolfer.
Motion approved by a roll call vote. Ayes4 Nays -3
Leslie -aye, Munns -aye, Ohare -aye, Spears -nay, Wolfer -aye, Besco -nay, Burd -nay
Ordinance 2005- 88 Rob Roy Creek Bond Ordinance
A motion was made by Alderman Ohare to approve an ordinance authorizing and providing for
the issue of not to exceed $12,000,000.00 General Obligation Bonds (Alternate Revenue Source)
Series 2005D, of the United City of Yorkville, Kendall County, Illinois, for the purpose of
financing the construction of a sanitary interceptor sewer and related improvements, prescribing
all of the details of said bond, and providing for the collection and segregation of the revenues
sufficient to pay such bonds as presented; seconded by Alderman Wolfer.
Motion approved by a roll call vote. Ayes -7 Nays -0
Ohare -aye, Spears -aye, Wolfer -aye, Besco -aye, Burd -aye, Leslie -aye, Munns -aye
The Minutes of the Regular Meeting of the Citv Council — October 25. 2005 — nage 6
ADDITIONAL BUSINESS,
None.
EXECUTIVE SESSION
Mayor Prochaska entertained a motion to go into an Executive Session for the purpose of
discussing:
1. The purchase or lease of real property for the use of the public body.
2. For the appointment, employment, compensation, discipline, performance, or dismissal of
specific employees of the public body or legal counsel for the public body, including
hearing testimony on a complaint lodged against an employee of the public body or
against legal counsel for the public body to determine its validity.
He asked that the City Clerk Milschewski, City Attorney Wyeth, Director of Public Works
Dhuse, Finance Director Pleckham and City Intern Olson be included. He noted that no action
would be taken after the session.
The City Council entered into executive session at 7:50.
The City Council returned to regular session at 8:19
ADJOURNMENT
Mayor Prochaska entertained a motion to adjourn. So moved by Alderman Ohare; seconded by
Alderman Burd.
Motion approved by a viva voce vote.
Meeting adjourned at 8:19 P.M.
Minutes submitted by:
Jacquelyn Milschewski,
City Clerk City of Yorkville, Illinois
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