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City Council Packet 2005 05-10-05 :c � c�r o United City of Yorkville ir- -0 County Seat of Kendall County �'`' 800 Game Farm Road EST. 1836 Yorkville, Illinois, 60560 Telephone: 630-553-4350 O I X ` V. Fax: 630-553-7575 171 "" o Website: www.yorkville.il.us AGENDA CITY COUNCIL MEETING CITY COUNCIL CHAMBERS 7:00 PM Revised 5/9/05 Tuesday, May 10, 2005 Call to Order: 7:00 p.m. Pledge of Allegiance: Roll Call by Clerk: WARD I WARD II WARD III WARD IV Rich Sticka Valerie Burd Marty Munns Joe Besco Paul James Larry Kot Wanda Ohare Rose Ann Spears Establishment of Quorum: Swearing-In: Swear-in newly elected officials: Ward 1 Alderman, Jason Leslie; Ward 2 Alderman, Dean Wolfer; Ward 3 Alderman, Marty Munns; Ward 4 Alderman, Joe Besco. Introduction of Guests: Amendments to Agenda: Committee Meeting Dates: Public Works Committee Meeting: Ad-hoc: Technology Committee 7:00 p.m., Monday, May 23, 2005 7:00 p.m., Wednesday, May 25, 2005 City Hall Conference Room City Hall Conference Room Economic Development Committee: 7:00 p.m., Thursday, May 19, 2005 City Hall Conference Room Administration Committee Meeting: 6:30 p.m., Thursday, June 2, 2005 City Hall Conference Room Public Safety Committee Meeting: 6:30 p.m., Thursday, May 12, 2005 City Hall Conference Room Public Hearings: None City Council Meeting Agenda May 10, 2005 Page 2 Citizen Comments: Presentations: 1. In Town Road Program General Obligation Bond Sale (Alternate Revenue Source) by Speer Financial Consent Agenda 1. Police Reports for February and March 2005 2. Water Department Report for February 2005 3. Resolution Approving Agreement with Nicor, Inc. for Access to Nicor's Easystreet Website - authorize Mayor and City Clerk to execute 4. Resolution Approving Agreement with Schoppe Design Associates, Inc. for Professional Services - authorize Mayor and City Clerk to execute 5. Ordinance Amending Ordinance 2003-79 Establishing Municipal Water Connection Fees - authorize Mayor and City Clerk to execute 6. 2005 In-Town Road Program—Results of Bid Opening - award to Aurora Blacktop, Inc. in an amount not to exceed$659,419.35 7. Resolution Approving Installation of Sanitary Sewer Pump and Flood Control System at 305 W. Kendall Drive - authorize Mayor and City Clerk to execute Plan Commission/Zoning Board of Appeals: Minutes for Approval(Corrections and Additions): Minutes of City Council— April 12, 2005 Minutes of Committee of the Whole—January 6, 2004 Minutes of Special Committee of the Whole—March 29, 2005 Bill payments for approval from the current Bill List (Corrections and Additions): Checks total these amounts: $ 558,749.32 (vendors) $ 154,685.14 (payroll period ending 4/16/05) $ 713,434.46 (total) Reports: Mayor's Report: 1. Presentation of Certificate to Steven Bozue for Graduating from Police Training 2. Proclamation for Blue Star Salute Day 3. Proclamation for Poppy Awareness Days 4. Proclamation for Volunteer Appreciation Day 5. Selection of Mayor Pro Tern for FY 05/06 6. Appointment of Department Heads 7. Appointment to Committees/Commissions City Council Meeting Agenda May 10, 2005 Page 3 Reports(con't): City Attorney's Report: 1. Ordinance Rezoning Autumn Creek City Clerk's Report: 1. Appointment of Deputy Clerk City Treasurer's Report: City Administrator's Report: Finance Director's Report: Director of Public Works Report: Chief of Police Report: Executive Director of Parks &Recreation Report: Community & Liaison Report: Committee Reports: Public Works Committee Report: 1. No Report Economic Development Committee Report: 1. Resolution Approving the Final Plat of Subdivision for Whispering Meadows Units 3 &4 2. Swanson Lane Estates—Annexation and Planned Unit Development Agreement and Preliminary Plan a. Ordinance Authorizing the Execution b. Ordinance Annexing Public Safety Committee Report: 1. No Report Administration Committee Report: 1. Ordinance Authorizing $3,825,000 General Obligation Bonds (Alternate Revenue Source), Series 2005A for the In Town Road Program Additional Business: Adjournment: City Council Meeting Agenda May 10, 2005 Page 4 COMMITTEES, MEMBERS AND RESPONSIBILITIES F/Y 2004 —2005 PUBLIC WORKS; Committee Departments Liaisons Chairman: Alderman Besco Water and Sewer Park Board Committee: Alderman Munns Streets and Alleys YBSD Committee: Alderman Sticka Sanitation and Waste Committee: Alderwoman Burd ECONOMIC DEVELOPMENT Committee Departments Liaisons Chairman: Alderman Sticka Planning& Building&Zoning Chamber of Commerce Committee: Alderwoman Burd Business & Economic Dev. Kendall County Econ. Dev. Committee: Alderwoman Spears Plan Commission Committee: Alderman Munns Bristol Plan Commission Yorkville Econ. Dev. Corp. Aurora Area Convention & Tourism Council Downtown Re-development PUBLIC SAFETY Committee Departments Liaisons Chairman: Alderman Kot Police Human Resource Comm. Committee: Alderwoman Ohare Schools School District Committee: Alderwoman Spears Public Relations KenCom Committee: Alderman James !ADMINISTRATION Committee Departments Liaisons --- -- ---- Chairman: Alderman James Finance Metra Committee: Alderwoman Ohare Public Properties Library Committee: Alderman Kot Personnel Cable Consortium Committee: Alderman Besco AD-HOC: TECHNOLOGY; -- ------- --------------------------- Committee Chairman: Alderman Munns Committee: Alderman Kot Committee: Alderman Sticka Committee: Alderwoman Ohare Tf11Chn / The McGrawilil(companies Steven Murphy Sarah Ward Eubanks STANDARD Managing Director Managing Director 55 Water Street,38th Floor 130 East Randolph Street BtPOOR'S New York,NY 10041-0003 Suite 2900 tel 212 4382066 Chicago,IL 60601 steve_murphy@standardandpoors.com tel 312 233-7001 sarah_eubanks@standardandpoors.com reference no.:719001 April 25, 2005 United City of Yorkville 800 Game Farm Road Yorkville, IL 60560 Attention: Ms. Traci Pleckham, Finance Director Re: US$3,825,000 United City of Yorkville, Kendall County, Illinois, General Obligation Bonds (Alternate Revenue Source), Series 2005A, dated:May 1, 2005, due:December 30, 2006- 2022 Dear Ms. Pleckham: Pursuant to your request for a Standard& Poor's rating on the above-referenced obligations, we have reviewed the information submitted to us and, subject to the enclosed Terms and Conditions, have assigned a rating of"A-". Standard &Poor's views the outlook for this rating as stable. A copy of the rationale supporting the rating is enclosed. The rating is not investment, financial, or other advice and you should not and cannot rely upon the rating as such. The rating is based on information supplied to us by you or by your agents but does not represent an audit. We undertake no duty of due diligence or independent verification of any information. The assignment of a rating does not create a fiduciary relationship between us and you or between us and other recipients of the rating. We have not consented to and will not consent to being named an"expert" under the applicable securities laws, including without limitation, Section 7 of the Securities Act of 1933. The rating is not a "market rating"nor is it a recommendation to buy, hold, or sell the obligations. This letter constitutes Standard & Poor's permission to you to disseminate the above-assigned rating to interested parties. Standard &Poor's reserves the right to inform its own clients, subscribers, and the public of the rating. Standard & Poor's relies on the issuer/obligor and its counsel, accountants, and other experts for the accuracy and completeness of the information submitted in connection with the rating. This rating is based on financial information and documents we received prior to the issuance of this letter. Standard & Poor's assumes that the documents you have provided to us are final. If any subsequent changes were made in the final documents, you must notify us of such changes by sending us the revised final documents with the changes clearly marked. To maintain the rating, Standard & Poor's must receive all relevant financial information as soon as such information is available. Placing us on a distribution list for this information would facilitate the process. You must promptly notify us of all material changes in the financial Ms. Traci Pleckham Page 2 April 25, 2005 information and the documents. Standard &Poor's may change, suspend, withdraw, or place on CreditWatch the rating as a result of changes in, or unavailability of, such information. Standard & Poor's reserves the right to request additional information if necessary to maintain the rating. Please send all information to: Standard &Poor's Ratings Services Public Finance Department 55 Water Street New York, NY 10041-0003 Standard& Poor's is pleased to be of service to you. For more information on Standard &Poor's, please visit our website at www.standardandpoors.com. If we can be of help in any other way, please call or contact us at nypublicfinance@standardandpoors.com. Thank you for choosing Standard& Poor's and we look forward to working with you again. Sincerely yours, Standard & Poor's Ratings Services a division of The McGraw-Hill Companies, Inc. By: Steven J. Murphy' Managing Director ed enclosures cc: Ms. Brenda K. Housten Kelly K. Kost, Esq. ;}STANDARD PC)OT S z` 1 a3�. < - z 17 �_" L E .7 `�r�'� � ,� Publication date:26-Apr-2005 Reprinted from RatingsDirect Summary: United City of Yorkville, IL Primary Credit Analyst(s):Ryan M Brady,New York(1)212-438-2123;ryan_brady@standardandpoors.com Secondary Credit Analyst(s):Jeffrey Panger,New York(1)212-438-2076;jeff_panger@standardandpoors.com Credit Profile Rationale Standard & Poor's Ratings Services assigned its'A-'rating to United City of US$3.1325 mil GO bnds Yorkville, Ill.'s GO bonds, series 2005A, and affirmed its various ratings on the (alternate rev source)ser 2005A dtd 05/01/2005 due city's outstanding debt. 12/30/2006-2022 A- The 'A-'rating reflects the GO pledge of the city. Sale date:10-MAY-2005 AFFIRMED The rating additionally reflects the city's: Outstanding ARS GO bnds A-(SPUR) • Proximity to the strong DuPage County area economy; Issuer Credit Rating • Above-average income and wealth levels; and • Sound financial position. Outstanding debt certs BBB+ OUTLOOK:STABLE A high debt burden and looming growth pressures offset the above strengths. The series 2005 bonds are alternate revenue source bonds payable from sales tax revenues. Sales tax revenues must provide for 1.25x debt service on the bonds and all parity alternate revenue source bonds. Additional security is provided by the village's full faith and credit pledge to levy property taxes should the alternate revenue source be insufficient. Yorkville is a nonhome rule jurisdiction, situated in Kendall County, southwest of Aurora, Ill. ('AA'GO rating)and Naperville, Ill. ('AAA' GO rating).The city has seen relatively significant population increases, due to the combination of the high demand for affordable residential development in the area and numerous annexations. Population grew to 8,749 in 2003 from 6,189 in 2000, a 41.3% increase in three years. The city is poised for considerable development, as growth from Chicago, Ill. pushes westward. Management estimates that future annexations and continued strong demand for new houses will drive the population to at least 25,000 by 2010. Assessed value (AV) has had solid gains in recent history, growing 22% in fiscals 2003 and 2002,to a current$201 million. Before fiscal 2002, the tax base had increased an average of 5%annually since fiscal 1996. Because the city is nonhome rule, it is subject to statutory tax caps, limiting its levy-raising ability net of new construction; however, these limitations are tempered by a rapidly growing tax base. In addition, when the city reaches a population of 25,000, expected within the next five years, the city will achieve home-rule status, increasing taxing and borrowing capacity. Residents commute to jobs in Kane and DuPage counties ('AA' and 'AAA' GO ratings, respectively). Major area employers include: • Harper-Wyman Co., Appliance Control Group, thermostatic controls (1,400 employees); • Waubonsee Community College(750); and • Lyon Metal Products, steel storage equipment(600). Despite access to a wide variety of employment opportunities, the city's unemployment rate typically exceeds state and national averages. In 2003, the city's unemployment rate averaged 8.9%, which was high compared to the state(6.0%) and national (6.7%) levels.Although more recent figures are unavailable for the city through June 2004, strong employment growth improved the county's unemployment rate (5.8%), and it is now on par with the national rate. Income levels are above average. Median household income levels for Yorkville are 124%and 134%of state and national averages, respectively.An above-average market value per capita ($71,055) paints an accurate picture of the wealth levels in the township, as the tax base is predominantly residential. Outlook The stable outlook reflects the expectation that the city will maintain structural balance as capital needs rise from growth. Finances and Debt The city's financial position remains healthy in light of rapid population growth that is expected to translate into capital pressures on the city and other local jurisdictions, potentially leading to a higher debt burden as new school, library, and park facilities are built to serve the larger population.At fiscal year-end 2004 (April 30), the unreserved general fund balance stood at$1.4 million, or a sound 23.8%of operating expenditures, up from the previous fiscal year when it totaled $955,000, or 17.4% of operating expenditures. The influx of new residents into the city has increased license, permit, and fee revenues by more than five times in a four-year period to $1.8 million in fiscal 2004 from $342,000 in fiscal 2001.Additionally, sales tax revenues have increased to $1.9 million from$1.0 million in the same time frame. Continual growth of these revenue streams in conjunction with higher-than-anticipated property tax revenues due to new residential construction has lead management to expect that financial operations will generate a surplus in fiscal 2005, despite state-shared revenue cuts. The city relies on state distributions of sales and income tax revenues (35%) and property taxes(20%)as its primary operating revenue sources. Based on 2003 special census results, management expects the city to realize an additional $200,000 of income tax revenues in fiscal 2005, as the state's income tax distribution is population driven. However, despite the city's proactive approach to setting appropriate staffing levels and improving processes to accommodate heightened service needs, staffing costs are expected to significantly rise in the future, potentially offsetting gains related to population growth. The city's overall debt burden is high at$7,887 per capita and 11.1% of market value. However, these ratios are somewhat inflated because included is $26.3 million of special assessment debt that is not borne by the entire population. If this debt is excluded, overall net debt is significantly lowered to $4,319, or 6.1%. Debt-service carrying charges are moderate at 8%of expenditures, and amortization of outstanding debt is average,with 45%of outstanding principal maturing within 10 years. The city maintains a six-year(2004-2009)capital improvement plan (CIP) totaling $54.0 million. The CIP is relatively evenly distributed among water, sewer, and street projects, with the bulk of the projects planned for the first four years. Despite the relatively large size of the CIP, management does not intend to raise the necessary funds through debt financing. Instead,the city is expecting to be able to use monies previously raised through the issuance of debt certificates,future water system connection fees,funding from developers, motor fuel taxes, and a small portion of the general fund balance, to fund various capital projects. Complete ratings information is available to subscribers of RatingsDirect, Standard & Poor's Web-based credit analysis system, at www.ratingsdirect.com.All ratings affected by this rating action can be found on Standard & Poor's public Web site at www.standardandpoors.com; under Credit Ratings in the left navigation bar, select Find a Rating, then Credit Ratings Search. This report was reproduced from Standard &Poor's RatingsDirect,the premier source of real-time,Web-based credit ratings and research from an organization that has been a leader in objective credit analysis for more than 140 years.To preview this dynamic on-line product,visit our RatingsDirect Web site at www.standardandpoors.com/ratingsdirect. Published by Standard&Poor's,a Division of The McGraw-Hill Companies,Inc.Executive offices:1221 Avenue of the Americas,New York,NY 10020.Editorial offices:55 Water Street,New York,NY 10041. Subscriber services:(1)212-438-7280.Copyright 2005 by The McGraw-Hill Companies,Inc. Reproduction in whole or in part prohibited except by permission.All rights reserved.Information has been obtained by Standard&Poor's from sources believed to be reliable.However,because of the possibility of human or mechanical error by our sources,Standard&Poor's or others,Standard& Poor's does not guarantee the accuracy,adequacy,or completeness of any information and is not responsible for any errors or omissions or the result obtained from the use of such information.Ratings are statements of opinion,not statements of fact or recommendations to buy,hold,or sell any securities. The McGrow•Hill companies ;4 Lta` :5 STATE OF ILLINOIS ) )ss COUNTY OF KENDALL ) RESOLUTION NO. 2005- RESOLUTION APPROVING AGREEMENT WITH NICOR, Inc. FOR ACCESS TO NICOR'S "EASYSTREET"WEBSITE WHEREAS,the City Council of the United City of Yorkville has considered approval of an agreement with Nicor, Inc. for access to its"EasyStreet Website; and WHEREAS, a copy of said agreement is attached hereto and incorporated herein as Exhibit "A"; and NOW THEREFORE, upon Motion duly made, seconded and approved by the majority of those members of the City Council voting,the Agreement in the form set forth in Exhibit "A" is hereby approved, and the Mayor and City Clerk are authorized to execute said Agreement on behalf of the United City of Yorkville. WANDA OHARE JOSEPH BESCO VALERIE BURD PAUL JAMES DEAN WOLFER MARTY MUNNS ROSE SPEARS JASON LESLIE Approved by me, as Mayor of the United City of Yorkville, Kendall County, Illinois, this Day of , A.D. 2005. MAYOR Passed by the City Council of the United City of Yorkville, Kendall County, Illinois this day of , A.D. 2005. ATTEST: CITY CLERK Prepared by: John Justin Wyeth City Attorney United City of Yorkville 800 Game Farm Road Yorkville, IL 60560 STATE OF ILLINOIS ) )ss COUNTY OF KENDALL ) RESOLUTION NO. 2005- RESOLUTION APPROVING AGREEMENT WITH SCHOPPE DESIGN ASSOCIATES, INC. FOR PROFESSIONAL SERVICES WHEREAS,the City Council of the United City of Yorkville has considered approval of an agreement with Schoppe Design Associates, Inc. for Professional Services; and WHEREAS, a copy of said agreement is attached hereto and incorporated herein as Exhibit "A"; and NOW THEREFORE, upon Motion duly made, seconded and approved by the majority of those members of the City Council voting, the Agreement in the form set forth in Exhibit "A" is hereby approved, and the Mayor and City Clerk are authorized to execute said Agreement on behalf of the United City of Yorkville. WANDA OHARE JOSEPH BESCO VALERIE BURD PAUL JAMES DEAN WOLFER MARTY MUNNS ROSE SPEARS JASON LESLIE Approved by me, as Mayor of the United City of Yorkville, Kendall County, Illinois, this Day of , A.D. 2005. MAYOR Passed by the City Council of the United City of Yorkville, Kendall County, Illinois this day of , A.D. 2005. ATTEST: CITY CLERK Prepared by: John Justin Wyeth City Attorney United City of Yorkville 800 Game Farm Road Yorkville, IL 60560 CR"45 STATE OF ILLINOIS ) ) ss COUNTY OF KENDALL ) ORDINANCE No. 2005- ORDINANCE AMENDING ORDINANCE 2003-79 ESTABLISHING MUNICIPAL WATER CONNECTION FEES IN THE UNITED CITY OF YORKVILLE Whereas the United City of Yorkville has taken up, discussed and considered amending the City Ordinance 2003-79 regarding Municipal Water Connection Fees, and Whereas the Mayor and City Council have discussed that it may be prudent to amend said Ordinance 2003-79 to change certain connection fees by substituting the Chart defining Non-Residential Connection Fee depicted on the attached Exhibit"A", in place of the Chart defining Non Residential Fees in Ordinance 2003-79. NOW THEREFORE BE IT ORDAINED BY THE MAYOR AND CITY COUNCIL OF THE UNITED CITY OF YORKVILLE, upon Motion duly made, seconded and approved by a majority of those so voting, hereby enact the water tap-on fee schedule set out in the attached Exhibit "A", and 1. Any Ordinance or parts thereof in conflict with the provisions of this Ordinance are hereby repealed to the extent of such conflict with this Ordinance. 2. The portion of this Ordinance affecting the water connection fee as indicated in Exhibit"A" shall become effective on this date of passage, May 10, 2005. WANDA OHARE JOSEPH BESCO VALERIE BURD PAUL JAMES DEAN WOLFER MARTY MUNNS ROSE SPEARS JASON LESLIE Approved by me, as Mayor of the United City of Yorkville, Kendall County, Illinois, this Day of , A.D. 2005. MAYOR Passed by the City Council of the United City of Yorkville, Kendall County, Illinois this day of , A.D. 2005. ATTEST: CITY CLERK Prepared by: John Justin Wyeth City Attorney United City of Yorkville 800 Game Farm Road Yorkville, IL 60560 EXHIBIT A: NON-RESIDENTIAL CONNECTION FEE WATER SYSTEM CONNECTION FEE ANALYSIS United City of Yorkville,Kendall County, Illinois Water Water Meter Connection Size Fee 1" $2,660 1 'A" $3,000 2" $4,500 3" $7,500 4" $9,000 6" and Larger To be determined by the City Engineer & Public Works Director Legend Non-Residential Land Use shall be considered all Land uses other then those defined as"Residential Land Uses" in Ordinance 2003-79 TBD=Connection Fee To Be Determined by City Engineer & Public Works Director CA '7 STATE OF ILLINOIS ) )ss COUNTY OF KENDALL ) RESOLUTION NO. 2005- RESOLUTION APPROVING INSTALLATION OF SANITARY SEWER PUMP AND FLOOD CONTROL SYSTEM AT 305 W. KENDALL DRIVE,YORKVILLE WHEREAS, the City Council of the United City of Yorkville has considered approval of the installation of a Sanitary Sewer Pump and Flood Control System to correct the sanitary sewer connection at 305 W. Kendall Drive; and WHEREAS,the Public Works Director has explained the need for the installation to the satisfaction of the City Council; and WHEREASE, upon installation, the City shall turn over all right, title and interest, as well as responsibility to repair,to the homeowner of 305 W. Kendall Drive. NOW THEREFORE, upon Motion duly made, seconded and approved by the majority of those members of the City Council voting,the Public Works Director is authorized to have the Sanitary Sewer Pump and Flood Control System installed, and the City Attorney is directed to draft the appropriate document of conveyance of the pump and system to the homeowner whereby the homeowner shall accept the work, once completed. WANDA OHARE JOSEPH BESCO VALERIE BURD PAUL JAMES DEAN WOLFER MARTY MUNNS ROSE SPEARS JASON LESLIE Approved by me, as Mayor of the United City of Yorkville, Kendall County, Illinois, this Day of , A.D. 2005. MAYOR Passed by the City Council of the United City of Yorkville, Kendall County, Illinois this day of , A.D. 2005. ATTEST: CITY CLERK Prepared by: John Justin Wyeth City Attorney United City of Yorkville 800 Game Farm Road Yorkville, IL 60560 Requested Committee Reappointments 't CommissionCharles Kraupner (1`�- �1 1 Commission Sandra Adams I 1 ej Iuman Resources Lorene Frieders i _-4 r an Resources Dana Jones ire & Police Commission Robert Johnson i stir.-)r`' 1\\ ibrary Board Russell Walter 3?.-;,-T- t4 ibrary Board Marianne Wilkinson i,...-;:i-,-r Library Board Sandy Lindblom (i.-6 ?-ir Lipary Board (1 year) Beth Gambro L.-KA Board Chris Rollins i,=.!-,.0 a t. ark Board (School Dist.) None Named grade Committee (Bldg. Trade) Thomas Smith !---r.;''-. ;,Police Pension Fund Laurence DeBord (41 Recommended Committees Public Works Joe Besco—Chair Marty Munns Dean Wolfer Paul James Public Safety Wanda Ohare—Chair Rose Spears Dean Wolfer Jason Leslie Economic Development Marty Munns—Chair Valerie Burd Joe Besco Jason Leslie Administration Paul James—Chair Wanda Ohare Rose Spears Valerie Burd MINUTES OF THE REGULAR MEETING OF THE CITY COUNCIL DRAFTOF THE UNITED CITY OF YORKVILLE,KENDALL COUNTY,ILLINOIS HELD IN THE CITY COUNCIL CHAMBERS, 800 GAME FARM ROAD ON TUESDAY,APRIL 12,2005. Mayor Prochaska called the meeting to order at 7:03 P.M and led the Council in the Pledge of Allegiance. ROLL CALL Clerk Milschewski called the roll. Ward I James Absent Sticka Present Ward II Burd Present Kot Present Ward III Ohare Present Munns Present (Arrived at 7:30,absent from meeting from 7:45-8:00) Ward IV Besco Present Spears Present Also present: City Clerk Milschewski,City Administrator Graff,City Attorney Wyeth,Police Chief Martin,Director of Public Works Dhuse,Finance Director Pleckham and Executive Director of Parks&Recreation Brown. 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 Alderman Besco asked if Item#14—Fox Hill Mowing and Maintenance could be amended to delete the"in an amount not to exceed$5,924.00"wording. Attorney Wyeth recommended that the item be removed from the consent agenda and placed on the regular agenda under the Public Works Committee report to discuss the change. Alderman Spears asked if several items could be removed from the agenda as the Council just received documentation for these items before the meeting. Attorney Wyeth recommended that a motion be made to table the items when they were presented for a vote. Mayor Prochaska asked to move the Presentations to after the Committee Meeting Dates and the Citizen's Comments to after the Presentations. COMMITTEE MEETING DATES Public Works Committee 7:00 P.M.,Monday,April 25,2005 City of Yorkville Conference Room 800 Game Farm Road Economic Development Committee 7:00 P.M.,Thursday,April 21,2005 City of Yorkville Conference Room 800 Game Farm Road Administration Committee 7:00 P.M.,Thursday,May 5,2005 City of Yorkville Conference Room 800 Game Farm Road Public Safety Committee 6:30 P.M.,Monday,April 14,2005 City of Yorkville Conference Room 800 Game Farm Road Ad Hoc Technology Committee To be Announced Alderman Spears noted that the meeting for the Downtown Plan was scheduled the same night as the Public Safety Committee meeting. She asked if the meeting could be rescheduled. After a brief discussion,it was decided that the Public Safety Committee would meet and address as The Minutes of the Reeular Meetine of the City Council—April 12,2005-page 2 many items as possible and then adjourn at 7:00 P.M.so that those interested in attending the Downtown Plan meeting could leave. PRESENTATIONS Certificates of Appreciation for JoAnne Behrens and Joan Parker Mayor Prochaska explained that JoAnne Behrens and Joan Parker have been running the Salvation Army Golden Diners program for twenty years. He stated that this program has provided a valuable service to the seniors in the area both with meals at the Beecher Center and through the Meals on Wheels program. Mayor Prochaska stated that he could not express enough appreciation to these two ladies for what they have done for Yorkville over the years. He also noted that JoAnne Behrens was a recipient of a special woman's award from Lieutenant Governor Corrine Wood a few years ago. He presented them each with a Certificate of Appreciation for their dedication and service to the Salvation Army Golden Diners program. CITIZEN COMMENTS Feasibility Study of a Western Roadway Corridor and River Crossing Gary Golinski,502 Redhorse Lane,Yorkville,addressed the Council and asked that they either table or vote against the resolution approving Engineering Enterprises,Inc.(EEI)Scope of Service Proposal for the Feasibility Study of a Western Roadway Corridor and River Crossing. He stated that this item was originally presented at the August 10,2004 City Council meeting where it was tabled and that the minutes of that meeting reflect that a member of the Council would have to make a motion to bring it back. They also reflect that Alderman Kot was concerned that residents know when it would be done so Mayor Prochaska stated that the motion would be done first and then it would be added as a specific agenda item. Mr.Golinski continued by stating that the minutes further reflect that Alderman Kot verified that there would be two weeks before the item was voted on. Mr.Golinski stated that it appears that the current timing of this issue was designed to limit public participation;the study has been renamed,the scope of work has increased,it was placed on a Committee of the Whole(COW)meeting under the Economic Development Committee;it was never discussed at an Economic Development Committee meeting. Also because the COW meeting ran late into the evening it was not mentioned in the Kendall County Record. He also noted that the COW meeting was not held on it's regularly schedule day of the week due to elections. He noted that the study was not reintroduced by a member of the City Council and concerned citizens did not get the two week notice that was agreed upon by the City Council. He stated that the study is not being done in the spirit that the Council decided upon in August 2004 and that before tax payers money is committed to the study more discussion is needed. He again asked the City Council to vote against or table the item for further discussion. Sylvia Mayworm,225 Windham Circle,Yorkville,addressed the City Council and stated that she supports the study. She stated that she has talked to people about the study and feels there is a lot of misinformation and confusion about it.She stated that she would like to know exactly where the road will go and what its impact on residents and the environment would be. She stated that a study will determine this and help present all the facts of the road to residents. Chuck Brooks,347 Windham Circle,Yorkville,addressed the City Council. He stated that he is a new resident and he loves living in Yorkville and that he originally objected to the western roadway corridor. He noted that great development is happening in Yorkville which is a beautiful town that should be preserved. He stated that the Western Corridor Study is an opportunity to participate in inevitable growth. He stated that he does not want a potential bridge to impact his home and subdivision however if the study is done now,problems can be avoided in the future. As development comes,the study will protect Yorkville from harmful impact. He expressed his supports for the study. Rick Norris addressed the City Council. He explained that he and his wife both grew up in the St. Charles/Geneva area and that he moved to Yorkville about five years ago. H e noted that currently the traffic in Yorkville is nothing compared to the St.Charles area. . He suggested that the City Council take a look around and even drive up to St.Charles to see how the area was destroyed. Autumn Creek Dan Wagner of Wheaton,Illinois addressed the City Council on behalf of Dan Goodwin,8412 Route 34,Yorkville. He read a letter that Mr.Goodwin sent to the City Council dated April 11, 2005(see attached)asking that they table the vote on the Autumn Creek zoning and annexation for two weeks to allow him time to negotiate with Hinsdale Nursery to buy 20 acres which he would then donate to the United City of Yorkville. Eric Joestock,representing Hinsdale Nursery,addressed the City Council. He stated that the Annexation Agreement and Planned Unit Development Agreement have been before the City for The Minutes of the Reeular Meeting of the City Council—April 12,2005—paee 3 months. He stated that there were public hearings in October and November of 2004 and notices were sent out for them. He stated that Mr.Goodwin is now showing a last minute interest in the property for public use. He stated he questioned Mr.Goodwin's interest because he is a principal in Inland Realty and has substantial holding in the area from which he could donate public lands. Mr.Joestock stated that at this juncture,Mr.Goodwin's interest will significantly prejudice his client because plans have been made to transfer the nursery,there are certain dates that need to be met and delaying the approval of the agreements will cause tax problems. Michael Roth,attorney for Mr.Goodwin,addressed the Council. He clarified that he was representing Mr.Goodwin in a personal capacity and not in relationship to Inland. He recognized that the developer and the owner of the property have gone through a great deal of work along with the City on this project and he acknowledged that Mr.Goodwin has come in at the"eleventh hour"with his offer. He stated that Mr.Goodwin would have been at earlier Plan Commission meetings however he did not receive notice of any earlier public hearings. Mr.Roth stated that they are asking for a two week continence of this matter as it would be in the public's best interest. The additional time would allow the City and the interested parties to pursue another option for the twenty-acre parcel mentioned in Mr.Goodwin's letter. He explained that Mr. Goodwin owns 200 acres to the south of the parcel in question and is concerned that the commercial use intended for the property will change the character of the area and that traffic will hinder access to the site. He also noted that commercial development in this area is a deviation of the City's Comprehensive Plan. Mr.Roth stated that Mr.Goodwin does not have any intention of developing the twenty-acres and the continuance would give him time to explore the option of obtaining the property so he can donate it to the City. He further stated that he did not believe that Mr.Goodwin's interest in the property would cause a hardship to the current owner. He asked the City Council to table the matter until the next City Council meeting. Alderman Spears asked how the notices for public hearings were mailed. Mayor Prochaska stated that he clarified with City Attorney Wyeth that the City has a receipt indicating that a notice went to Mr.Goodwin's home. Chuck Byron with Pulte Home Corporation addressed the Council. He explained that Pulte Homes does not have an interest in the twenty acres in question but in the balance of the Hinsdale Nursery's property. He stated that they have had a contract with Mr.Title for the property for approximately 1 1/2 to 2 years that does call for a joint development of the twenty acre parcel. Pulte will develop the residential with Mr.Title retaining the commercial. He stated that it took a long time to work out the contract,to go through the process with the City and now they are prepared to move ahead. He stated that it is important that the property gets annexed and zoned as soon as possible because there are pending contractual commitments,final engineering being done and they want to break ground within the next thirty days. He stated that for Mr.Goodwin to show up at this time without a contract and ask for the process to be held up does a disservice to the City,Mr.Title and Pulte Homes. He urged the City Council to proceed with the action on the agenda. Ken Doty,8612 Kennedy Road,addressed the Council. He stated that he owns two acres adjacent to Hinsdale Nursery and he also has been working toward the vote tonight. He stated that he is planning on building a new home and has negotiated a deal with Pulte Homes that is tied in with the nursery property. He stated that for Mr.Goodwin and Inland to come forward and say they didn't know what was going on doesn't make sense. He asked the City Council to proceed with the vote. Donald Vey,62 Kingmoor Lane,expressed his concern for the traffic that will be generated by commercial development in this area. He stated that his property is across Route 34 from the nursery and currently it takes him several minutes to turn on to Route 34. He stated that an increase in traffic will only increase this time. Tom Boyd,72 Kingmoor Lane addressed the Council. He stated that he lives across the Fox River from Saw Wee Kee Park,a wilderness area. He questioned what type of impact a commercial area would make on such a beautiful area. He reiterated Mr.Vey's concern regarding traffic. He stated that one group has stated that they are ready to go in thirty days while the other is asking for fourteen days to give further consideration to this area.He stated that he felt that two weeks wasn't too much to ask for to give a last moment of consideration for this area. He urged the City Council to consider Mr.Goodwin's request. Dean Lefferman,attorney for Dan Goodwin,clarified that neither he nor his partner Michael Roth has ever billed one dollar to Inland Real Estate;they represent Mr.Goodwin not Inland. He explained that Mr.Goodwin did not intend his offer to be a subterfuge in order to develop his own farm. He explained that Mr.Goodwin did research the possibility to develop his farm as The Minutes of the Regular Meeting of the City Council—April 12,2005-page 4 commercial a few years ago and concluded it was not the right thing to do. He felt that it was more important to keep open space so that both he and the citizens of Yorkville can benefit from it. Will Battles from Hinsdale Nursery addressed the City Council. He stated that they have proof that Mr.Goodwin's family did receive notice of the public hearings. He noted that Mr.Goodwin has an interest in the community including land across Route 34 from the nursery property and he questioned why Mr.Goodwin has not donated some of this land to the United City of Yorkville. He stated that by doing this,Mr.Goodwin would not have to pay any money or complicate and delay the project underway. There were no other public comments PRESENTATIONS Certificates of Appreciation for JoAnne Behrens and Joan Parker Chief Martin arrived with a camera and Mayor Prochaska asked the City Council to join him for a photograph with JoAnne Behrens and Joan Parker. PUBLIC HEARINGS Draft Ordinance Amending Title 10 of the United City of Yorkville Zoning Code Building Height Mayor Prochaska entertained a motion to go into Public Hearing for the purpose of discussing the Draft Ordinance Amending Title 10 of the United City of Yorkville Zoning Code(Building Height). So moved by Alderman Ohare;seconded by Alderman Sticka. Motion approved by a roll call vote. Ayes-6 Nays-0 Besco-aye,Burd-aye,Kot-aye,Ohare-aye,Spears-aye,Sticka-aye Mayor Prochaska explained that the public hearing was for the change in zoning districts which will allow for taller buildings;to a maximum of 80'or 6 stories. There are expressed restrictions to the downtown area as these types of building will not be allowed. The downtown area building height will remain at 35'or three stories. Mayor Prochaska opened the floor for public comment;there was none. Mayor Prochaska opened the floor for City Council comments. Alderman Spears asked when the Bristol-Kendall Fire District(BKFD)was getting a ladder truck. Alderman Burd and Mayor Prochaska noted that the truck has been purchased and Alderman Sticks noted that the truck will have a 100'ladder. Alderman Burd asked if the restriction to the building height in the downtown area would impact the Downtown Study negatively. Mayor Prochaska stated that Downtown Study is in the initial stages and he suggested that if the study indicates that it may be better to do something else that this ordinance be revisited. Fred DuSell,478 Kelly Avenue,Yorkville addressed the City Council and expressed his concern that since the BKFD will have only one ladder truck,was there a contingency plan for the use of another truck in the event that their truck was incapacitated.Mayor Prochaska explained that the Police Department and BKFD have cooperative agreements with neighboring communities so if this truck is out of service,another community would cover Yorkville. Mr.DuSell asked that if the truck was out of service for a long time was there a plan to house another truck in Yorkville. Mayor Prochaska stated that he did not know the BKFD's plan and suggested that this be asked of their board. He also explained that the BKFD has plans to purchase another ladder truck in the future. There were no further comments or questions. Mayor Prochaska entertained a motion to close the public hearing. So moved by Alderman Burd; seconded by Alderman Ohare. Motion approved by a roll call vote. Ayes-6 Nays-0 Burd-aye,Kot-aye,Ohare-aye,Spears-aye,Sticka-aye,Besco-aye The Minutes of the Regular Meetine of the City Council—April 12,2005—paee 5 In-Town Road Program BINA Hearing Mayor Prochaska entertained a motion to go into Public Hearing for the purpose of discussing the In-Town Road Program BINA Hearing. So moved by Alderman Kot;seconded by Alderman Burd. Alderman Spears asked to table this item because the City Council just received information before the meeting. Mayor Prochaska stated that a public hearing cannot be tabled however it can be continued. Attorney Wyeth noted that no action was going to be taken tonight on this item. Motion approved by a roll call vote. Ayes-6 Nays-0 Besco-aye,Burd-aye,Kot-aye,Ohare-aye,Spears-aye,Sticka-aye Mayor Prochaska turned the floor over to Finance Director Pleckham who explained that BINA stood for the Bond Information Notification Act. She stated that since the City will be using Alternate Revenue Source Bonds as the revenue source for the In-Town Road Program it is required to hold a BINA hearing. She further explained that the City is budgeting utility taxes as the revenue source to pay off the bonds. If utility tax does not provide enough revenue,real estate taxes will be used. Mrs.Pleckham distributed a handout outlining the In-Town Program (see attached). She stated that the program is estimated to cost$4.7 million. Mayor Prochaska opened the floor for public comment;there was none. Mayor Prochaska opened the floor to City Council comments. Alderman Kot stated that he was pleased to see the program moving forward. He explained that the program has been in the works for several years and he noted that the streets listed in the handout are the worse streets in the City. The program will not only bring them up to a decent standard but will also add storm sewers where there are none. He stated that this program will re- vitalize the older part of the City and that this is a good project and should be kept moving forward. Mayor Prochaska read the names of the streets affected by the program(see attached). Alderman Burd asked if the City proceeds established a Tax Increment Financing District for downtown redevelopment,could improvements to Heustis,Mill and Hydraulic Streets be funded by the TIF. Mayor Prochaska stated that that was a possibility however these street have already been identified by this program which could be amended it the TIF is pursued. There were no further comments or questions. Mayor Prochaska entertained a motion to close the public hearing. So moved by Alderman Kot; seconded by Alderman Burd. Motion approved by a roll call vote. Ayes-6 Nays-0 Burd-aye,Kot-aye,Ohare-aye,Spears-aye,Sticka-aye,Besco-aye Proposed Fiscal Year 2005/2006 Budget Mayor Prochaska entertained a motion to go into Public Hearing for the purpose of discussing the proposed Fiscal Year 2005/2006 Budget. So moved by Alderman Sticks;seconded by Alderman Ohare. Motion approved by a roll call vote. Ayes-6 Nays-0 Besco-aye,Burd-aye,Kot-aye,Ohare-aye,Spears-aye,Sticka-aye Mayor Prochaska noted that the budget to be discussed is the one that the City Council agreed upon present. He stated that there is still an opportunity for amendments to the budget. Finance Director Pleckham distributed a handout outlining the highlights of the proposed 2005/2006 budget(see attached). She stated that part of the discussion at the March 29,2005 Budget Meeting concerned a Planning Department versus a Planning&Engineering Department. She stated that the direction as she understood it was to keep the Planning Department separate from the Engineering Department. She further explained that the City's revenues are up with just over$5.5 million in new revenue related to road funding/financing for the Grande Reserve. Mrs. Pleckham went through the handout and further explained the General Fund Revenues(state revenues,real estate tax revenues,etc.) Mayor Prochaska pointed out that as the City grows,expenses continue to grow however the City is not raising the rates. He used the Refuse Analysis to demonstrate this. He stated that new The Minutes of the Reeular Meeting of the City Council—April 12,2005—page 6 dollars coming into the community are being used to offset the higher costs. He stated that the City has tried to use the economic development coming into the City to help the existing taxpayers Alderman Burd asked if the change in the budget was$1 million more than last year and Mrs. Pleckham stated that there is a$1.1 million increase. Mayor Prochaska opened the floor for public comment. Jason Leslie,Ward 1 Alderman-elect,asked if the Motor Fuel Tax(MFT)was based on a local tax. Mayor Prochaska explained that MFT is based on population and not related to local gas stations. Mrs.Pleckham further explained that MFT funds are used toward road projects. Greg Millen from St.Joseph Cabinetry and Bob Dearborn from Bridge Street Café addressed the Council with their concerns that there is no line item for special events that affect the downtown businesses. Mr.Millen stated that his business has had an impact on activities and donations for special events downtown however he will be moving his business out of its present location. Mr. Millen commended the City for the turn around of the downtown area with such things as Public Works taking care of the sidewalks and parking. He stated that his and Mr.Dearborn's concern is that ownership of businesses in the downtown is changing and funding for activities will be down. He asked that the City consider a line item to help fund special events for the area. Bob Dearborn questioned if the City still received the hotel tax and he asked if it was earmarked for special events. Mayor Prochaska explained that the tax is used to help promote special events by purchasing radio time,print advertising,etc. He noted that the City is funding the Downtown Revitalization Study and many of the streets on the In-Town Road Program are in the downtown area. He also noted that the Facade Program is still available however the City has not received many requests. He explained that there isn't a line item for special events in the downtown area however there are things like the Fine Arts Fair at the Riverfront Park which is being organized by the City and hopefully will draw people into the downtown area. He also noted that there is a pilot program for a trolley for the holiday season in the budget. Alderman Burd noted that the City also recently hired a Community Relations Director,Glory Spies,who will be researching grants and be developing ideas for new events. Mayor Prochaska added that Ms.Spies started on April 11,2005 and she will be dealing with community relations and special events within the City. She will be talking to various groups to see what is going on in town. Both the Mayor and Alderman Burd encouraged the businessmen to call Ms.Spies with any ideas or concerns. Mr.Millen noted that last year the trolley was privately funded and asked for clarification that the City would now be funding it. Mayor Prochaska stated that there are funds in the new budget for the trolley. He stated that the plan is to have it available the weekend of the Christmas Walk as well as the following weekend. Alderman Spears asked Mr.Millen and Mr.Dearborn how much they thought should be budgeted and for what. Mr.Millen stated that his concern was for the man-hours needed to plan and run the events. He stated that Oswego has two full-time employees,one with the Chamber of Commerce and the other with the city who work six to eight weeks in advance of their Christmas events. Mr.Dearborn stated that the businesses where looking at$25,000.00 which also included the trolley. Administrator Graff stated that he was contacted by the downtown businessmen who inquired about a Tax Increment Financing District for the downtown area. Mr.Graff stated he explained to the businessmen that there is no funding in this year's budget to explore the TIF district for this area. He stated that this could evolve when the budget is revised mid-year. Mayor Prochaska stated that the Downtown Study is also an important piece needed to go ahead with any program. Tom Boyd,72 Kingmoor Lane addressed the Council. He explained that he has been a resident for about thirty years and that three things attracted him to Yorkville;a music store in the downtown area,a used car lot on Route 34 that also had puppies for sale and the saw mill. He stated that the saw mill is only mentioned in a negative way but is something unique to Yorkville. He stated that these three things are elements of poetry that sell"city-folk"on places like Yorkville. He suggested that things in the downtown remain"turn of the century"as in 1900 not 2000. There were no further comments or questions. The Minutes of the Regular Meeting of the City Council—April 12,2005—_page 7 Mayor Prochaska entertained a motion to close the public hearing. So moved by Alderman Sticka;seconded by Alderman Kot. Motion approved by a roll call vote. Ayes-7 Nays-0 Burd-aye,Kot-aye,Munns-aye,Ohare-aye,Spears-aye,Sticka-aye,Besco-aye CONSENT AGENDA 1. City Engineer Vehicle Agreement-authorize the Mayor to execute 2. School District 115 Request to Waive Water Tap-on Fee for Grande Reserve Grade School—authorize waiving the city portion of any water tap-on fees associated with building their new facility in Grande Reserve 3. Water Department Report for December 2004 and January 2005 4. Hydraulic Avenue Interceptor-Change Order#2—authorize increase in an amount not to exceed$36,150.00 and authorize Mayor to execute 5. Whispering Meadows Unit 2—Bond Reduction for Underground,Earthwork and Paving-authorize reduction in an amount not to exceed$1,456,031.92 6. Whispering Meadows Unit 1—Bond Reduction for Underground,Earthwork and Paving- authorize reduction in an amount not to exceed$1,843,091.05 7. Whispering Meadows Units 1 &2—Mass Grading—authorize release of bond #929327301 in an amount of$1,151,130.00 8. Cannonball Booster Station&South PRV Station-Change Order#1 —authorize increase in an amount not to exceed$31,528.91 and authorize Mayor to execute 9. Resolution 2005-18—IDOT Highway Permit Application for 272 E.Veteran's Parkway-authorize the Mayor and City Clerk to execute 10.Resolution 2005-19—MFT Resolution for Maintenance of Streets and Highways by Municipality Under the Illinois Highway Code for Fiscal Year 2005-2006-authorize the Mayor and City Clerk to execute 11. Mill and Van Emmon Watermain Replacement-Change Order#1—authorize increase in an amount not to exceed$13,153.73 and authorize Mayor to execute 12.Van Emmon Storm Sewer Repair —authorize payments to Dennis W.Dwyer,Inc.in an amount not to exceed$11,094.88 for the replacement of a 36"storm sewer on East Van Emmon Street 13. Rob Roy Creek Interceptor Contract#1 -Change Order#2—authorize increase in an amount not to exceed$9,000.57 and authorize Mayor to execute 14. Reserve at the Fox—Construction Guarantee—direct City Engineer to obtain a construction guarantee in the form of a bond or Letter of Credit in the amount of $517.629.08 to guarantee the satisfactory completion of the remaining items at the Reserve at the Fox 15. 500,000 Gallon Water Tower Painting—award bid to Maxcor Inc.in an amount not to exceed$193,000.00 16. 2005 In-Town Drainage Projects—Result of Bid Opening—award bid to R.A. Ubert Construction in an amount not to exceed$921,017.00 17. Hiring of Maintenance Worker II(Julie Locator)for Fiscal Year 2005/2006—approve new hire,subject to FY 05/06 budget approval Mayor Prochaska entertained a motion to approve the Consent Agenda as amended. So moved by Alderman Kot;seconded by Alderman Sticka. Motion approved by a roll call vote. Ayes-7 Nays-0 Burd-aye,Kot-aye,Munns-aye,Spears-aye,Sticka-aye,Ohare-aye,Besco-aye PLANNING COMMISSION/ZONING BOARD OF APPEAL No report. MINUTES FOR APPROVAL A motion was made by Alderman Ohare to approve the minutes of the City Council meetings from February 22,2005 and March 8,2005;seconded by Alderman Burd. Alderman Kot noted that there was an error in the Depo Court report for March 22,2005;it did not list him in attendance even though he was. Clerk Milschewski stated she would make the correction. Motion approved by a viva voce vote. A motion was made by Alderman Ohare to approve the minutes of the Committee of the Whole meeting from March 6,2004;seconded by Alderman Burd. The Minutes of the ReeuIar Meetine of the City Council—April 12,2005—paee 8 Alderman Ohare asked if all the old minutes had been typed and Clerk Milschewski explained that there is only one outstanding set and it is currently being typed by a minute taker. Motion approved 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 April 1,2005 totaling the following amounts:checks in the amount of $625,107.65(vendors);$150,861.71(payroll period ending 3/19/05);for a total of$775,969.36; seconded by Alderman Burd. Motion approved by a roll call vote. Ayes-6 Nays-0 Present-1 Besco-aye,Burd-aye,Kot-aye,Munns-aye,Ohare-aye,Spears-present,Sticka-aye REPORTS MAYOR'S REPORT Resolution 2005-20 Approving Engineering Enterprises,Inc.(EEI)Scope of Service for Design and Construction Engineering Services Raymond Regional Stormwater Management Facility Mayor Prochaska entertained a motion to approve a Resolution Approving Engineering Enterprises,Inc.(EEI)Scope of Service for Design and Construction for the Raymond Regional Stormwater Management Facility. So moved by Alderman Besco;seconded by Alderman Ohare. Mayor Prochaska noted that lie stated the motion incorrectly. Alderman Ohare withdrew her second and Alderman Besco withdrew the motion. Mayor Prochaska entertained a motion to approve a Resolution Approving Engineering Enterprises,Inc.(EEI)Scope of Service for Design and Construction for the Raymond Regional Stormwater Management Facility subject to the funding being secured and identified. So moved by Alderman Besco;seconded by Alderman Ohare. Alderman Spears stated that this was one of the items on the agenda that she would like to have tabled because the information was just received by the City Council. Administrator Graff explained that the paperwork was not available earlier because City Attorney Wyeth was out of town at a seminar. He stated that the City Council had the engineering scope of services and discussed it at the Committee of the Whole meeting. The Council just received the actual Resolution. A motion was made by Alderman Spears to table the Resolution Approving Engineering Enterprises,Inc.(EEI)Scope of Service for Design and Construction for the Raymond Regional Stormwater Management Facility;seconded by Alderman Burd. Motion to table defeated by a roll call vote. Ayes-3 Nays-4 Burd-aye,Kot-nay,Munns-aye,Ohare-nay,Spears-aye,Sticka-nay,Besco-nay Motion approved by a roll call vote. Ayes-6 Nays-1 Ohare-aye,Spears-nay,Sticka-aye,Besco-aye,Burd-aye,Kot-aye,Munns-aye Resolution 2005-21 Approving Engineering Enterprises,Inc.(EEL)Scope of Service for Design and Construction Engineering Services Raymond Storm Sewer Outfall Mayor Prochaska entertained a motion to approve a Resolution Approving Engineering Enterprises,Inc.(EEI)Scope of Service for Design and Construction for the Raymond Regional Storm Sewer Outfall project subject to funding being secured and identified. So moved by Alderman Sticka;seconded by Alderman Burd. A motion was made by Alderman Spears to table the Resolution Approving Engineering Enterprises,Inc.(EEI)Scope of Service for Design and Construction for the Raymond Regional Storm Sewer Outfall project because the document was received right before the meeting; seconded by Alderman Burd. Motion to table defeated by a roll call vote. Ayes-3 Nays-4 Kot-nay,Munns-aye,Ohare-nay,Spears-aye,Sticka-nay,Besco-nay,Burd-aye The Minutes of the Regular Meeting of the City Council—April 12,2005—page 9 Mayor Prochaska noted that the funding will come from developers in the area affected by the project. Motion approved by a roll call vote. Ayes-6 Nays-1 Spears-nay,Sticka-aye,Besco-aye,Burd-aye,Kot-aye,Munns-aye,Ohare-aye Coffee with the Mayor Mayor Prochaska reported that the next Coffee with the Mayor would be held on April 16,2005 at Kettley and Company Realtors,807 N.Bridge Street from 9:00 A.M.to 11:00 A.M. Proclamation for National Library Week Mayor Prochaska read the National Library Week 2005 Proclamation(see attached). He entertained a motion to ratify the proclamation. So moved by Alderman Kot;seconded by Alderman Ohare. Motion approved by a roll call vote. Ayes-7 Nays-0 Kot-aye,Munns-aye,Ohare-aye,Spears-aye,Sticka-aye,Besco-aye,Burd-aye Committee Appointments Mayor Prochaska reminded the City Council that it was time for new committee appointments. He asked the Council members to let him know which committees they would like to be on. Alderman Burd asked if the City had a resolution that set up a procedure for the committees. Mayor Prochaska stated that as far as he knew it was a historical procedure and he was not aware if an ordinance or resolution existed addressing the procedure. Alderman Burd requested that the City Clerk to investigate if any ordinances or resolutions exist that govern how committees are developed. Route 34 Adopt a Highway—Cleanup Date Mayor Prochaska explained that the area on Route 34 from Cannonball Trail to Eldamain Road has been designated the City Council area for the Adopt a Highway Program. He noted that a clean-up had been scheduled last year however was cancelled due to inclement weather. He asked the City Council to join him on April 30,2005 beginning at 7:00 A.M.to clean up the section of road. He stated that it takes about 2-3 hours to do. Alderman Sticks stated that he and Alderman Kot thought the second half of May would be a good time to do this. Mayor Prochaska invited the newly elected alderman to join in. Alderman Ohare stated it was a requirement that the newly elected alderman be there. Human Resource Commission Sponsorship Request Form Mayor Prochaska stated that the Human Resource Commission has sent the City Council a form to consider for the purpose of sponsorship. Alderman Ohare asked that the meeting of the HRC be clarified on form. Alderman Spears noted that the meeting information was on the form and Mayor Prochaska suggested it be underlined. Mayor Prochaska entertained a motion to approve the use of the Request Form for Sponsorship from the United City of Yorkville as presented by the Human Resource Commission. So moved by Alderman Spears;seconded by Alderman Burd. Motion approved by a roll call vote. Ayes-7 Nays-0 Munns-aye,Ohare-aye,Spears-aye,Sticka-aye,Besco-aye,Burd-aye,Kot-aye Community Relations Director Mayor Prochaska reported that Glory Spies has begun work with the City as its Community Relations Director and he welcomed her to the City. ATTORNEY'S REPORT Wilkinson Sanitary Sewer Easement and Contract Attorney Wyeth reported that the sanitary sewer construction agreement for the Wilkinson property has been signed by the land owners. Mayor Prochaska entertained a motion to approve the Wilkinson Sanitary Sewer Easement and Contract as presented by the City Attorney and authorize the Mayor and City Clerk to execute the document. So moved by Alderman Sticka;seconded by Alderman Ohare. Motion approved by a roll call vote. Ayes-7 Nays-0 Ohare-aye,Spears-aye,Sticka-aye,Besco-aye,Burd-aye,Kot-aye,Munns-aye CITY CLERK'S REPORT No report. The Minutes of the Regular Meeting of the City Council—April 12,2005—nage 10 CITY TREASURER'S REPORT No report. CITY ADMINISTATOR'S REPORT City Newsletter Administrator Graff reported the newsletter will be going out this week. Letter of Appreciation from Kendall County Share Your Blessings Program Administrator Graff reported that some of the elected officials and City employees participated in the Kendall County Share Your Blessing Program during the Christmas holidays. The City has received a"Certificate of Appreciation"from Kendall County and a thank you letter sent by the family the City sponsored(see attached)which Administrator Graff read. Mayor Prochaska thanked all those who participated. FINANCE DIRECTOR'S REPORT No report. DIRECTOR OF PUBLIC WORKS REPORT Hydrant Flushing Director Dhuse reminded everyone that hydrant flushing will begin next week on the north side of the Fox River and continue on the south side the following week. Street Sweeper Director Dhuse reported that the City has received its new street sweeper and it has been in use already. CHIEF OF POLICE REPORT Illinois Law Enforcement Medal of Honor Chief Martin reported that he submitted Sergeant Klingel and Officer Robbie Hart's names for the Illinois Law Enforcement Medal of Honor Award. He proudly announced that they will be two of thirteen officers state-wide that will be receiving the award on May 6,2005 from Governor Blagojevich in Springfield,Illinois. He stated that two of Yorkville's finest are also the finest in the state. Mayor Prochaska and the City Council expressed their pride in the two officers. EXECUTIVE DIRECTOR OF PARKS&RECREATION REPORT Annual Golf Outing Director Brown reported the 20th Annual Golf Outing will be held on May 6,2005 and that registration for the event is filling up fast. Grants Director Brown reported that the City has received notification from the Illinois Department of Natural Resources(IDNR)that it will be receiving a 50/50 matching OSLAD grant in the amount of$128,000.00 for the Cannonball Ridge Park. In addition to this grant,the IDNR will be in Yorkville on April 14,2005 for a final review on the bike path grant for$200,000.00. COMMUNITY&LIAISON REPORT Aurora Area Convention and Visitors Bureau Alderman Burd reported that the following AACVB items: o They have changed their by-laws to increase the membership on the Board to thirty people or five more positions to allow representation from the Kane and Kendall County Boards as well as the Kane and Kendall County Forest Preserve Districts o The Midwest Literary Festival will be held in Aurora in September 2005 where the AACVB will have a tent along with Home Depot and there may also be a Film Festival. She encouraged everyone to attend the event. o The AACVB will be moving to new offices in early May 2005. She stated she would provide their new address to the City Council. o There is interested in building a conference center and hotel in Sandwich,Illinois. o The AACVB is running a promotion on WGN and WLS for girl-friend getaway packages o The AACVB has distributed 80,000 brochures this year and have had 443,000 website hits compared to 246,000 last year. Elder Friendly Summit Alderman Spears reported that the Elder Friendly Summit was held and she thanked Alderman Ohare for finding a site for the event,the Trinity United Methodist Church. Alderman Spears reported that close to sixty people were in attendance including a state representative,Kendall County Board members and representatives from the Police Department. She stated that everyone worked together for the benefit of the elderly and as a result of the meeting,there will be workshops to address particular concerns. She stated that representatives from Joliet,Illinois requested that the United City of Yorkville and Joliet work together. The Minutes of the Regular Meeting of the City Council—April 12,2005—page 11 Alderman Burd thanked Alderman Spears for her work with the event. Alderman Spears also thanked the businesses who participated. COMMITTEE REPORTS PUBLIC WORKS COMMITTEE REPORT Fox Hill Mowing&Maintenance—Results of Bid Opening A motion was made by Alderman Besco to award to English and Sons Landscaping as the result of the bid opening for the Fox Hill Mowing&Maintenance for Fiscal Year 2005/2006;seconded by Alderman Burd. Mayor Prochaska noted that there was a Scrivener's error on the Consent Agenda item which included the verbiage"in an amount not to exceed$5,924.89". Director Dhuse explained that he would prefer not to see this terminology used because the bid is based on a number of mowings which may need to be increased dependant on the growing season. He stated that there is more than$5,924.80 in the budget to cover this expense. He further explained that English&Sons had the lowest bid using an hourly rate. Motion approved by a roll call vote. Ayes-7 Nays-0 Spears-aye,Sticka-aye,Besco-aye,Burd-aye,Kot-aye,Munns-aye,Ohare-aye ECONOMIC DEVELOPMENT COMMITTEE REPORT Ordinance 2005-24 Prairie Gardens Second Amendment to Annexation and Planned Unit Development Agreement A motion was made by Alderman Sticka to approve the Prairie Gardens Second Amendment to Annexation and Planned Unit Development Agreement and approve the Ordinance authorizing the Mayor and City Clerk to execute all documents;seconded by Alderman Ohare. A motion was made by Alderman Spears to table the Ordinance because she questioned that the exhibits were not attached at the Committee of the Whole meeting and she was told the City Council would have the exhibits tonight;she did not receive them in her information packet; seconded by Alderman Burd. Motion to table defeated by a roll call vote. Ayes-2 Nays-5 Sticka-nay,Besco-aye,Burd-nay,Kot-nay,Munns-nay,Ohare-nay,Spears-aye Attorney Grant representing the developer distributed"Exhibit A"(see attached)and discussed the changes made to the exhibit;lots identified as"A-G"are now being identified as"1-7". He apologized for not having gotten the exhibit to the City Council earlier. Motion approved by a roll call vote. Ayes-7 Nays-0 Sticka-aye,Besco-aye,Burd-aye,Kot-aye,Munns-aye,Ohare-aye,Spears-aye Ordinance 2005-25 Autumn Creek Annexation and Planned Unit Development Agreement A motion was made by Alderman Sticka to approve the Autumn Creek Annexation and Planned Unit Development Agreement and approve the Ordinance authorizing the Mayor and City Clerk to execute all documents;seconded by Alderman Ohare. Alderman Sticka commented that it was suggested earlier in the meeting to delay this approval for two weeks and he felt that the request is inappropriate. He stated that everything has been done properly and he could not imagine a neighbor and a businessman would not be aware of this transaction. He felt that a third party coming in at this time to interfere with the transaction is also inappropriate. He stated that he believed that commercial zoning in this location is needed for Yorkville to capture the tax dollars that will be generated. Alderman Burd asked for clarification if commercial in this area was included in the Comprehensive Plan. Mayor Prochaska stated that the plan does indicate commercial development along Route 34 however it does not specify any particular properties. He demonstrated the area on the Comprehensive Plan map. Alderman Burd stated that she felt that Mr.Goodwin's request to delay the vote is this more of a private thing than something that should be brought before the City Council for consideration. Alderman Spears commented it was apparent that Mr.Goodwin has a high caliber staff of attorneys however it has been proven that he did receive notice of the public hearings. The Minutes of the Regular Meeting of the City Council—April 12,2005—page 12 She commented that she was offended that Mr.Goodwin suddenly wants to donate a twenty-acre parcel to the City. She stated that the developer has gone through all the proper procedures and she agreed with Alderman Burd that this matter is between the property owners and it should have been addressed and settled before it came before the City Council for a vote. Mayor Prochaska stated that he was not aware of Mr.Goodwin's intent however any offer of land being donated to the City would be welcomed. He encouraged the discussion regarding the twenty acres to continue between the property owners. He also stated that the City Council has a duty to consider a property recommended by the Plan Commission in a timely fashion. City Attorney Wyeth stated that this is the first time that this has been before the City Council. He stated that timeliness is an important issue however it could still be tabled if the City Council so wished. Alderman Ohare clarified that the Plan Commission recommended this development and Attorney Wyeth stated that they did. There was no further discussion. Motion approved by a roll call vote. Ayes-7 Nays-0 Besco-aye,Burd-aye,Kot-aye,Munns-aye,Ohare-aye,Spears-aye,Sticka-aye Ordinance 2005-26 Autumn Creek—Annexation A motion was made by Alderman Sticka to approve the Ordinance annexing the Autumn Creek Subdivision;seconded by Alderman Munns. Motion approved by a roll call vote. Ayes-7 Nays-0 Burd-aye,Kot-aye,Munns-aye,Ohare-aye,Spears-aye,Sticka-aye,Besco-aye Swanson Lane Estates Annexation and Planned Unit Development Agreement A motion was made by Alderman Sticks to approve the Swanson Lane Estates Annexation Agreement and Preliminary Plan and approve the Ordinance authorizing the Mayor and City Clerk to execute all documents;seconded by Alderman Kot. Attorney Wyeth stated that the attorney for the developer has asked that this item be tabled until the next City Council meeting as they are concluding one final matter. A motion was made by Alderman Burd to table this item until the next City Council meeting; seconded by Alderman Ohare. Motion to table approved by a roll call vote. Ayes-7 Nays-0 Besco-aye,Burd-aye,Kot-aye,Munns-aye,Ohare-aye,Spears-aye,Sticka-aye Swanson Lane Estates—Annexation A motion was made by Alderman Sticka to approve the Ordinance annexing the Swanson Lane Estates property;seconded by Alderman Kot. A motion was made by Alderman Burd to table this item until the next City Council meeting; seconded by Alderman Ohare. Motion to table approved by a roll call vote. Ayes-7 Nays-0 Burd-aye,Kot-aye,Munns-aye,Ohare-aye,Spears-aye,Sticka-aye,Besco-aye 55 Riverside Street—1'/2 Mile Review A motion was made by Alderman Sticka to approve 55 Riverside Street Kendall County 1 1/2 mile review as recommended by the Planning Commission;seconded by Alderman Munns. Alderman Ohare stated that she asked Administrator Graff why the City Council did not receive any information on this review who explained to her that this was a Kendall County subdivide from one lot to two lots. He indicated that upon the City Council's approval,a letter will be sent to letter to Kendall County advising them of the City Council's decision. Alderman Sticka noted that the Council received a letter objecting to rezoning however he was not sure this was a rezoning. He explained that the Council's approval informs the County that the City does not see any harm to the United City of Yorkville if this lot is divided. The Minutes of the Reeular Meetine of the City Council—April 12,2005—pane 13 Owner of the property,Brian Henrichs,explained the zoning question His lot has A-1 Kendall County zoning however the County changed their Comprehensive Plan to indicate this area is zoned R-3. He further explained that he is asking that his three acre parcel be split into one 1.1 acre lot and one 1.9 acre lot He explained that he is subdividing to build a larger house on his lot for his family and then he will sell the smaller house they now occupy. Alderman Ohare asked Mr.Henrichs to comment on the letter of objection. Attomey Wyeth cautioned the City Council on what they wanted to asked about the letter. He clarified that the City Council was reviewing the request to subdivide the lot. There was further discussion regarding the County's rezoning. Alderman Burd stated that she found the review and rezoning question to be confusing. Mr. Henrichs explained that when he moved there eight years ago the property was zoned Kendall County A-1. He reiterated that the County has reclassified their zoning and that this process will allow his property to meet the County's new requirements. Motion approved by a roll call vote. Ayes-7 Nays-0 Ohare-aye,Spears-aye,Sticka-aye,Besco-aye,Burd-aye,Kot-aye,Munns-aye Ordinance 2005-27 Granting Rezoning and Special Use for Countryside Pump Station A motion was made by Alderman Sticka to approve the Ordinance granting rezoning and special use for the Countryside Pump Station;seconded by Alderman Kot. Motion approved by a roll call vote. Ayes-6 Nays-0 Present-1 Munns-aye,Ohare-aye,Spears-present,Sticka-aye,Besco-aye,Burd-aye,Kot-aye Ordinance 2005-28 Granting Rezoning and Special Use for Bruell Street Pump Station A motion was made by Alderman Sticka to approve the Ordinance granting rezoning and special use for the Bruell Street Pump Station;seconded by Alderman Kot. Alderman Sticka clarified that the City owns the property which was acquired to construct the pump stations. He stated is would be nonsensical for the City to forbid itself the zoning to build the station. Alderman Spears expressed her concern that the City Council did not receive the documentation in a timely manner. She stated that she was not opposing what is presented but she would like to really know what she is voting on. Motion approved by a roll call vote. Ayes-6 Nays-0 Present-1 Spears-present,Sticka-aye,Besco-aye,Burd-aye,Kot-aye,Munns-aye,Ohare-aye Resolution 2005-22 Approving Re-subdivision of Grande Reserve Unit 7 Lot 3011 A motion was made by Alderman Sticks to approve a Resolution approving the re-subdivision of Grande Reserve Unit 7 lot 3011;seconded by Alderman Spears. Mayor Prochaska clarified that this is the piece of property that the Grande Reserve had originally set up as a school/park site. Now that the school is being built there,the developer wants to divide it so there is a distinct difference between the City's and School District's property. Motion approved by a roll call vote. Ayes-7 Nays-0 Kot-aye,Munns-aye,Ohare-aye,Spears-aye,Sticka-aye,Besco-aye,Burd-aye Approving Engineering Enterprises,Inc. Professional Engineering Services for Feasibility Study of a Western Roadway Corridor and Fox River Crossing, Illinois Route 71 to Base Line Road A motion was made by Alderman Sticks to approve a Resolution to approve Engineering Enterprises,Inc.(EEI)Professional Engineering Service Proposal for a Feasibility Study of a Westem Roadway Corridor and Fox River Crossing from Route 71 to Baseline Road subject to securing funding;seconded by Alderman Ohare. Alderman Kot commented that he has received calls from residents even up to right before the meeting. He stated that he doesn't support the study as presented. He stated that he did not have a problem with the study from Route 34 to Baseline Road however he did have a problem with the bridge crossing. He commented that he would much rather see the bridge portion deleted from the study until a need is established either through this study or another study. He The Minutes of the Regular Meeting of the City Council—April 12.2005—pare 14 questioned why funds should be spent on an environmental impact study,bridge design,right of ways,etc. He stated that he has yet to see anywhere in writing that the need for a bridge has been established. He stated that the study should not just look at what is happening today but should look ahead ten or fifteen years. He noted that it should also take into consideration the Prairie Parkway and the Eldamain Road Bridge. Mayor Prochaska clarified that Alderman Kot was recommending that rather than doing a feasibility study on the river crossing look at a needs assessment for a bridge between Route 47 and Eldamain Road. Alderman Kot agreed. Alderman Spears questioned what the actual cost for the eastern Fox River Crossing Study using Countryside Parkway was. Mayor Prochaska stated that the cost was around$35,000.00. He clarified that it was not as detailed as the proposed study. Alderman Spears stated that she reviewed the study and the summary from Smith Engineering which stated that an eastern crossing of the Fox River would be beneficial and was feasible to construct. The study also stated that an eastern crossing would provide access from the existing and proposed development on the City's southwest side to the new commercial development on the north side of Yorkville. The study noted that even though the Illinois Department of Transportation is considering a new bridge as part of the Prairie Parkway and Kendall County is considering a bridge at Eldamain Road the eastern bridge would serve regional traffic. The study also contained preliminary cost estimates. She stated that the concern with this study was that the soil borings along the river were poor. She noted that the EEI proposal is not even addressing the soil borings. Mayor Prochaska clarified that Smith Engineering did not do soil borings but used soil maps from the Soil Conservation Department. He explained that Smith Engineering would have had to have gotten permission from land owners to do the borings and the land owner where the bridge is proposed to go was not and still isn't excited that the bridge will go through his property. Alderman Spears stated that it was not presented to the City Council that Smith Engineering reviewed a map to get this information. Alderman Spears stated that she had a hard time with the first proposal received from EEI because it seemed like if the City Council let them do the study they wanted to be considered as the consulting firm in return. She stated that the current proposal before the Council does not ask that they are considered but rather includes this in the study. She stated that she compared item per item on the studies and little changed until Part 2—Phase 1 Engineering Report. She asked if the extra$100,000.00 for the study pertained to the changes to Part 2. John Whitehouse with EEI addressed the City Council and explained that Part 2—Phase 1 was added for informational purposes to define what the next step would be once the results of the feasibility study were accepted and if the City decides to move forward. He explained that the study is development related because there are corridors that exist now that may close due to future development. Part 2 identifies the type of work that will go forward to identify specific parcels that need to be acquired. He stated that it is not a contract for that work. Mr.Whitehouse further explained that the difference in the cost between this proposal and the original is due to the fact that this study is for a distance 2'h times longer than original proposal. The second proposal also includes an environmental study. He stated that the proposal excludes any structural engineering such as those related to railroad crossings,river crossings and creek crossings because the environmental study could potentially exclude these crossings. Mr.Whitehouse also noted that Smith Engineering's overall transportation study identified this corridor in their need assessment as a potential route because of the traffic in the City. Alderman Spears stated that she was in favor of the eastern Fox River Crossing and that if the City Council allocates any money she would prefer to see it go to this study.She stated that she did not like a proposed road crossing Rob Roy Creek and she was concerned with the environmental affects. She stated that EEI's first proposed study indicated that the Beecher Road route had the potential to be a Route 47 truck bypass between Routes 34 and 71. It also indicated that IDOT funding may become feasible if this corridor is utilized in this way. She stated she had a concern with the location of the road and the property owners. She stated that future City Council's may determined to change weight limits on this proposed road and allow it to be a truck route. Mayor Prochaska stated that Eldamain Road will be the road to connect both the industrial areas to the north and south because Kendall County has determined that this is the road they want to take completely south out of the County. He stated that while an eastern bridge is still being considered,an eastern bridge will not help those living west of the City. He stated that the study is to look at a corridor from north to south where developers can build to. Alderman Sticks asked the City Council to imagine the outcry from residents if in twenty-years this road is passing through built up neighborhoods and a City Council determines to change it to The Minutes of the Regular Meeting of the City Council—April 12,2005—page 15 a truck route. He stated that if the City does the study and does it properly there will be a corridor defined. As subdivisions are proposed and come into the City,it will be an obligation on part of the developer to build the road. He stated that the road should be designed to be one that cannot handle the weight of any trucks. He stated that he sees that the bridge is a problem and that he agreed with Alderman Spear's comment that an eastern bridge would allow people on the other side of the river to access our commercial corridor however it does not address the traffic issue. He further stated that he would be comfortable with Alderman Kot's suggestion that the bridge feasibility be removed from the study. He stated that the current traffic study on Fox Road could indicate a bridge is needed. He stated that he would like to establish the corridor because if the City doesn't it will be missing an opportunity to get a road built that will solve traffic problems that will only get worse. Alderman Sticka stated that the City needs to go forward with something and he suggested that the study should go to River Road not just to Route 34. Alderman Kot stated that Alderman Sticka's comments were well taken. He reiterated that he would like to see something from a professional engineering company stating that there is a need for the bridge. He asked that the need be established first. Alderman Munns commented that the residents that have talked to him have indicated that the problem is not getting out of town going north but rather going south over the river. He stated that doing the study and stopping at Route 34 or River Road does not make sense. He stated that if it is going to be done it should go over the river. Alderman Ohare clarified that the Council was being asked to approve a Resolution to do the study;not construct the road. The study will determine if the road is feasible;if there is a value to the road. She stated that she could not see how the Council could not do this because the current traffic,let alone future traffic,warrants the study be done. Alderman Spears noted that the eastern crossing connects to Van Emmon Road approximately 1500 feet west of Route 71. She stated that she does not understand what the concern is that we cannot get people from Route 71 across the river across the commercial area. Alderman Besco commented that the City Council would be remiss in their responsibilities if they did not explore every avenue. He noted that if you travel on Route 47 you can see the need for another route. He stated that people from the River's Edge subdivision have called him because they do not want to see the traffic near their homes. He stated that he tells them that this is just a study to see if the route is needed and to site a road for the future and that he feels the study is necessary. He explained that he has told home owner's in River's Edge that their home may be worth half a million dollars but it isn't worth anything if an ambulance can't get to it in an emergency. He stated that the infrastructure is needed and everyone should keep an open mind. The City is not doing this to make people mad but rather for the safety of the citizens of the United City of Yorkville. Alderman Munns added that everyone wants a north/south road but not near their house. Mayor Prochaska noted that the choosing of the engineering study has been brought to his attention. He stated that it was recommended by the City Council to use EEI because they do not have any projects underway with any individual developers. Alderman Sticka noted that there is no appearance of a conflict of interest. Alderman Spears asked if there was a conflict with Smith Engineering who did the eastern crossing study. Mayor Prochaska state that the Economic Development Committee recommended EEI for the Fox Study as opposed to Smith Engineering because Smith Engineering is doing the engineering for some of the developments in the area. They are also doing engineering for some of the developments to the north along the proposed corridor. Alderman Spears stated that she has been bringing it up for about five years to seriously start pursuing other engineering companies. She stated that EEI is a great firm however for the betterment of the City other firms should be investigated. She stated that there is a safety factor using EEI because they have done excellent work and have never failed the City. She stated that she would like to see Smith Engineering submit a proposal for the study. Mayor Prochaska stated that about five years ago the City did go out and offer work to all the engineering companies in the general area of Yorkville and the answer came back that if the companies could not have all the work they did not want to do"bits and pieces"of projects. Bits and pieces of projects put the engineering companies into the possibility of a conflict. Alderman Burd expressed her concern that this item showed up suddenly last week on the agenda and the City Council promised residents that they would get prior notice before this was taken up for consideration. She stated that she did not feel the Council delivered on the promise. Because The Minutes of the Regular Meeting of the City Council—April 12,2005—page 16 of this concern and other things she would like to have time to investigate she made a motion to table this item until the next City Council meeting;seconded by Alderman Kot. Motion approved by a roll call vote. Ayes-4 Nays-3 Kot-aye,Munns-nay,Ohare-nay,Spears-aye,Sticka-aye,Besco-nay,Burd-aye PUBLIC SAFETY COMMITTEE REPORT No report. ADMINISTRATION COMMITTEE REPORT YBSD Intergovernmental Agreement A motion was made by Alderman Ohare to approve an Intergovernmental Agreement between the Yorkville-Bristol Sanitary District and the United City of Yorkville for accounting provided by the City;seconded by Alderman Sticka. Motion approved by a roll call vote. Ayes-7 Nays-0 Besco-aye,Burd-aye,Kot-aye,Munns-aye,Ohare-aye,Spears-aye,Sticka-aye ADDITIONAL BUSINESS United City of Yorkville Generic Website Alderman Spears asked if anyone has seen the generic Yorkville website. She asked if there was anything that could be done about the site which has erroneous information on it. The City Council discussed the information posted on the website. Mayor Prochaska stated we live in a country that allows the expression of opinions and he stated that people should not be encouraged to go to the website. Information for New Aldermen Alderman Spears suggested that a permanent information packet be compiled for the new aldermen including procedures that the City Council follows. She asked if an ordinance had been passed to follow Robert's Rules of Order. Mayor Prochaska stated that this would have to be researched. She stated she vaguely remembered that when she was first on the Council that there was a get together to discuss information about what is being done on the City Council. She suggested that this be done for the new aldermen and she would like to know what the procedures are. Mayor Prochaska stated that he has been thinking of having a workshop day with all the boards to explain what their roles are and to address any questions. Bridge Telephone Calls Alderman Burd invited anyone in her ward with concerns about the proposed Fox River bridge to contact her. She stated that she has only talked to a few people and the ones that have contacted her have been in favor of the study. Robert's Rules of Order Alderman Spears stated that when Jeff Spang was on the Council,he bought everyone a copy of Robert's Rules of Order. She recommended that the City Council find funding to purchase books for each City Council member. Attorney Wyeth stated that he was waiting for the new members of the Council to come onboard and then he will be addressing Robert's Rules of Order in his Attorney's Report. Late Documents Alderman Besco noted the number of late documentation and Mayor Prochaska explained that Attorney Wyeth was out of town before the meeting. Attorney Wyeth apologized for putting off the historic documentation until the City Council meeting and stated he will have documentation prepared for the Committee of the Whole meetings. Route 47 Traffic Mayor Prochaska asked Director Dhuse about the back up of traffic on Route 47 near Jericho and Galena Roads. Director Dhuse stated he would check with IDOT regarding the timing of the traffic signals. Gas Prices Mayor Prochaska reported that he received two responses from area gas stations. They both explained the formulas used in determining gas process which are based on the amount of gas sold,traffic volume,etc.He asked that they review their marketing study used to determine prices. He stated that there is not a lot the City can do unless it can be proven that the gas stations are doing something illegal when setting the prices. He stated that he told the people representing the Shell gas stations that he hates to say certain things such as telling residents of Yorkville to go somewhere else to buy gas. He suggested that if people are going elsewhere to buy gas they should also buy things like coffee,bread,lotto tickets,etc.at places other than the gas stations. He also stated that he has checked with Chief Martin but unfortunately it is not cost effect for the City to purchase gas somewhere else because of the tax exemption. Liquor Sales Aldermen-elect Jason Leslie noted that he recently was at the Big Easy Restaurant.He stated that at midnight when it closed due to the liquor sale time restrictions,there was a mass exodus across The Minutes of the Reeular Meetin¢of the City Council—April 12,2005—paee 17 town to Susie's Pizza in the County which stays open later. He expressed his concern that people who had been drinking traveled through the main intersection of the City to another location to continue drinking. He felt that this was a safety issue. Mayor Prochaska suggested that this be addressed at a Public Safety Committee meeting. EXECUTIVE SESSION Mayor Prochaska entertained a motion to go into Executive Session for the purpose of discussing 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. So moved by Alderman Munns;seconded by Alderman Ohare. Motion approved by a roll call vote. Ayes-7 Nays-1 Present-0 Ohare-aye,Besco-aye,Burd-aye,Kot-aye,Munns-aye,Spears-nay,Sticka-present Mayor Prochaska asked that the City Clerk and City Attorney be included and he noted that no action would be taken after the session. The City Council took a ten minute break and entered into Executive Session at 10:15 P.M. The City Council returned to regular session at 10:41 P.M. ADJOURNMENT Mayor Prochaska entertained a motion to adjourn. So moved by Alderman Besco;seconded by Alderman Munns. Motion approved by a viva voce vote. Meeting adjourned at 10:41 P.M. Minutes submitted by: Jacquelyn Milschewski, City Clerk City of Yorkville,Illinois Page 1 of 6 UNITED CITY OF YORKVILLE DRAFT COMMITTEE OF THE WHOLE MEETING Tuesday,January 6,2004 7:00 PM City Conference Room City Staff and Council Present: Mayor Prochaska Alderman Larry Kot Alderwoman Wanda Ohare Alderman Paul James Alderman Rich Sticka Alderwoman Val Burd Alderwoman Rose Spears City Administrator Anton Graff City Treasurer Bill Powell Finance Director Traci Pleckham Park&Rec Director Laura Brown Public Works Director Eric Dhuse EDC Lynn Dubajik Police Chief Harold Martin City Attorney Dan Kramer(arrived 7:18) Guests signed in: Jeff Lindt-State Treasurer Office Bob Westfall-Sprint The meeting was called to order at 7:03 by Mayor Art Prochaska. Public Hearing: none Presentation: 1. Illinois Funds Money Market: Mayor Prochaska introduced Mr. Jeff Lindt from the State Treasurer's Office. He stated that the Illinois Funds was created in 1975 by Alan Dickson. It is one of 32 accounts in the United States and the 4th largest. There is over $4 Billion in the account. They have many objectives for the account. He went on to state that there are two funds in the account. The first being the Money Market Fund, which is the most liquid and the Prime Fund is a 30 day, and probably not as suitable for the City of Yorkville. There is free checking with the Money Market Fund as well. The yield is much higher with the money market fund and you can move your money through phone, wire transfer, and on-line. With the money market fund comes an option for direct deposit. This is only allowed for State Municipalities, so if the City signs up, they will be open to using future products that others may not have access to. He continued to discuss the specifics and opened for questions. Mayor Prochaska questioned what the rate of flux in the interest. Mr. Lindt stated they are currently at just under 1%, as of the 30th they were at .92%. It fluctuates a little just like every other bank, they are just a little bit lower due to their rate. When you sign up with Money Market fund,the accounts have a fax that shows account of any transfer of money, there is a monthly I-fax which is statements and there is quarterly I-fax that explains up coming events in the Treasurer's Office and lastly there is a yearly report on the account. He stated that there is also fax on demand, so if a statement is needed for a 1 Page 2 of 6 meeting, they can call up from the City to have that information available that day as needed. The bank they use now has never had any complaints with use. Bill Powell, City Treasurer, stated that as far as collateralization is concerned, which the City has always had issues with in the past, anything with the Illinois Funds is 100% collateral at 100%of the time. He restated that the City can have as many accounts as they want too. The City can organize the money more properly as needed. Mr. Lindt went on to state that every single State University is part of the Illinois funds and 91 of the 98 Community Colleges use it as well. They also represent many of the state municipalities and Police Pensions. The savings of using the E-Pay system to come is incredible for the municipalities. Mr. Powell recapped for the Council that the Money Market account can be used for all checking needs or just investing or both combined. It is a very versatile funding option. Public Works Committee: 3. Sprintcom Lease Agreement—PW 12/22/03: Mr. Bob Westfall with Sprint stood before the Committee on this item. Alderman Kot stated that a lady with Sprint spoke to the Public Works Committee regarding this issue at their last meeting and his only concern is that the maintenance and access issues that Eric Dhuse had stated in his memo had been addressed. Mr. Dhuse stated that they can work out gate situation in the agreement and as far as access and maintenance; he is comfortable how it will be handled. There was question regarding who would be paying the City employees if maintenance was needed after hours and Mr. Westfall stated Sprint would cover any overtime costs to the City. The Committee agreed that this would be a good revenue source for the City's water fund. They unanimously agreed, with requested changes to be made, to move this on for approval on 1-13-04 at City Council as consent agenda. Mayor: 1. Goal Setting: Mayor Prochaska stated that City staff has met with two more groups; the McGrath Group(out of IML) and Gregg Kuhn with the Parr Group. Both of these groups should be getting staff scope of services. One thing that has brought up by all groups is that the City Council needs to do general goal setting for the City before doing goal setting for specific employees. Mayor Prochaska has one issue, which is a timing issue being that they are already in January now and they will need performance reviews done before the onset of pledges. One thing they have discussed is that the general goal setting may be longer than what is possible in one meeting. He is recommending to the Council to continue looking at getting together a general goal setting for the City Council with the growth coming on in 2 Page 3 of 6 the City, but yet not get too far behind with some of the performance reviews. He stated that somewhere at the end of this month or somewhere in early February, if they could do a performance review `executive session' as a group as two separate evenings to separate the discussion on evaluations and one as general city goal setting. Alderwoman Burd feels that it would be better to have one open session for the Council to sit down and discuss their opinions on what is best in looking at employees as far as what should be expected out of the different positions before sitting down with each employee and doing evaluations. Mayor Prochaska stated they can do that, but if the Council wants facilitators to come in and help,they will need to get things moving to have the reviews done in time. The Council had a group discussion with City Attorney, Dan Kramer, about how to go about handling the situation. The Committee decided to handle this as follows: • The staff has been recommended to go back to their respective committees and discuss the staffing and operations that will go on for the following year. • Have a goal setting session for the basic goals of the City first. • Receive scope of services from companies and let Council decide if these are the steps all want to take. • Have executive session for individual employees by March 1, as stated in their contracts. They set to have on Saturday, February 7, 2004 a portion of the meeting with the Council bringing in their thoughts and then later on going into executive session. The Mayor will put together an agenda for this date and set time after Coffee with the Mayor. Each Council will bring in their top 5 goals. Economic Development Committee: 1. Yorkville Hill Landscaping PUD Amendment—COW 12/16/03 & 11/28/03: Mr. Kramer stated to the Committee that there is still a fence issue that is in the process of being resolved by Mike Shoppe in talking with John McAdams. Before Kelly Kramer can modify the amendment, this will need to be worked out. This will come back to COW on January 20, 2004. 2. Raintree Village PUD Amendment—COW 12/16/03: Mr. Kramer stated that they did look over the amendment and there was one change needing to be made. Raintree has been asked to put a clause in stating the rec building must be maintain for recreation use for the residents of the subdivision. They agreed to this clause and with one spelling change needing to be made, the Committee agreed to move this on to City Council agenda for the following week. 3. Gary& Lelalu Maxwell Annexation Agreement—COW 12/16/03: Mr. Kramer stated this was held up per the Maxwell's request and are now ready to go. No changes needed, so this will go on to City Council agenda for the following week. 3 Page 4 of 6 4. Plan Commission Restructure Ordinance—EDC 12/18/03: Mr. Kramer stated that they had modified the ordinance to state 10 members for the Plan Commission Ordinance. The Plan Commission will select a deputy chairman on there own. The Committee agreed to this change and this will move on to City Council on consent agenda for January 13, 2004 with changes made as stated above. Park Board: no report Public Works Committee: 1. Acceptance of Fox Hill Units 1,2,3, 4, 6 and Route 34 Improvements—COW 12/16/03: Tony Graff stated to the Committee that there were some items on the punch list to be completed and some outstanding bills that need to be paid as well. The bills in the amount of$1224.00 for cleaning manholes and $596.61 for water service repair need to be paid as well before acceptance. The Committee unanimously agreed for this all to be completed and on to City Council for next City Council Meeting when all work complete and paid. 2. O'Keefe Watermain Easement—PW 12/22/03: Mr. Kramer has looked over the plat of easement and the Grant of Easement for the O'Keefe water main and he is recommending that they be approved and recorded. The Committee agreed to move this on to City Council as consent agenda. 4. North Water Tower Change Order#2—PW 12/22/03: Change order#2 for the North Water Tower is in the amount of$5535.00 for work related to the electrical service and for painting. Mr. Wywrot has recommended for this change order and the Committee agreed to move this on to City Council as consent agenda. 5. September and October 2003 Water Reports (CA)—PW 12/22/03: The reports were presented to the Committee and showed nothing out of the ordinary. The Committee agreed to move this on to City Council as consent agenda. 6. Well#7 Drilling Change Order#2 (CA)—PW 12/22/03: Layne-Western has requested an extension on the completion date of this project. EEI and Mr. Wywrot both recommend this extension be approved. The Committee agreed to move on to City Council as consent agenda. The new completion date will be set at January 30, 2004. 7. City Hall Parking Lot Change Order#2—PW 12/22/03: This is the final balancing change order in the amount of$8054.22 of a decrease. The decreases were related to sub grade repair, aggregate base and certain storm sewer items. Mr.Wywrot is recommending this change order be accepted and the Committee agreed to move this on to City Council as consent agenda. The City has saved approximately$8,000.00 on this project. 4 Page 5 of 6 Public Safety Committee: 1. Police Reports for November 2003—PS 12/17/03: The Public Safety Committee looked over the reports and found nothing out of the ordinary reported. The Committee agreed to move the reports on to City Council as Consent Agenda. Administration Committee: 1. Employee Manual—Final Draft—COW 12/16/03: Alderwoman Spears stated that they did look over the Final Draft, but the Committee had made changes. Mayor Prochaska had those changes in front of him at this meeting. The Committee members each received a copy of these changes that the Attorney recommended needing changed. The Committee reviewed these changes and found other changes they felt should be made. The Committee members will bring this back to the next COW agenda with their changes made to the Attorney's recommended changes. 2. Investment Policy—Admin 12/11/03: Mr. Kramer stated to the Committee that Bill Powell had done a good job with this policy. Mr. Kramer and Kelly Kramer had both looked this over and were comfortable with the wording in it. Mr. Powell stated that this had been reviewed by PTW. He had incorporated wording regarding references to Illinois funds and pointed out those references to the Committee. The Committee agreed to move this on to City Council as consent agenda for approval. 3. 2003-2004 Revised Budget: The Committee members were requested to look over the 2003-2004 budget and bring back to the next COW for discussion. Additional Business: • Alderwoman Burd reminded those present of the workshop on Saturday at Lincolnway H.S. • Alderwoman Ohare requested a reminder memo to go out to Employees to purchase from businesses within the City limits when possible. Mayor Prochaska stated that he had spoke to department heads regarding this issue. • Alderman James questioned if the Mill Street sidewalks were filled in with blacktop temporarily? He was informed that was only temporarily filled with blacktop. • Mayor Prochaska stated to the Committee that he was made aware of concerns with the performance of employees. He stated they will go over the employee manuals procedure and go from there. • Mayor Prochaska stated that they have copies of all the Wal-Mart invoices upon completing the budget. • Mayor Prochaska stated there had been a request for a copy of the Nextel bill. He questioned Mr. Kramer that if this information is turned over at an open meeting would some of the private, unpublished numbers that are on the bills then become available for public viewing. Mr. Kramer stated that they could go into executive session so those numbers would not be made public. He also stated that they 5 Page 6 of 6 could have the numbers blacked out if part of the Department. The Nextel bill will be made available for the Admin Committee to review at that Committee's next meeting. The Committee also discussed who in the City Staff has Palm Pilots so the Admin Committee can prove they are justified. • Mayor Prochaska questioned when the $3.5 million Bond will be on the agenda. It will be on City Council in February. There has only been a public hearing on it so far. The meeting was adjourned at 9:30 pm. Minutes typed by: Sheila Teausaw 6 Page 1 of 5 DRAFT UNITED CITY OF YORKVILLE COMMITTEE OF THE WHOLE SPECIAL MEETING - BUDGET City Conference Room Tuesday, March 29,2005 - 7:00 p.m. In Attendance: City Art Prochaska—Mayor Harold Martin—Chief of Police Valerie Burd - Alderwoman Tony Graff—City Administrator Marty Munns-Alderman John Wyeth— City Attorney Wanda Ohare - Alderwoman Eric Dhuse— Public Works Director Paul James, Alderman Bill Powell—City Treasurer Rose Spears -Alderwoman Larry Kot—Alderman Guests Kathy Farren—Kendall County Record Allecia Vermillion—The Beacon News Dean Wolfer The meeting was called to order at 7:03pm by Mayor Art Prochaska. The Mayor stated that the only item on the agenda was the 05/06 Budget. He added that Finance Director Pleckham was absent due to illness. As part of the budget, Ms. Pleckham had prepared spreadsheets for the following: 1. Current Staff Analysis 2. Employee Benefit Cost Analysis 3. Requested New Hires There was a brief discussion of the HMO and PPO programs, how they work and the associated costs to the City. NEW HIRES Police Cadet Program Discussion Discussion then turned to proposed new hires. Alderman Spears recommended hiring a Community Development Director rather than a Parks Designer and suggested adding a Police Cadet Program. She then distributed a handout of research she had done pertaining to the Cadet program and stated this program would be cost saving. Ms. Spears suggested modeling the program after the one that Aurora has implemented. She reported the average salary for a police officer is $26/hour, while the rate for a cadet would be $10.50/hour, therefore saving overtime paid to officers. Page 2 of 5 Alderman Kot said the Public Safety Committee had previously supported the program, however,there was not enough money in the budget. He suggested that the committee not reduce the overtime budget though. Chief Martin said that $38,500 of the budgeted $50,000 overtime money was spent. The cost of one cadet was estimated at $9,000 per year. Ms. Spears felt that the funding may be found in other areas of the budget. Mayor Prochaska said the Kendall County Explorer Post should be considered in discussions of the Cadet Program as well. While he supported the Cadet Program, Mr. Kot cautioned about being very careful how the Cadets are used since they are not armed. Community Development Director, Parks Planner Discussion Mayor Prochaska said a Community Development Director and a Parks Designer position were included in the proposed budget. He said he would not want a Community Development Director designing parks, however, Ms. Spears said her research found that other communities utilize that position to design parks. Land cash can be used for Park Designer salaries according to the Mayor, but the project must be specific. Deposits from developers are required for planning and engineering services provided by the City. This is required by ordinance. Alderman Munns questioned if the Park Designer would only design parks. It was pointed out by Alderman James that last year, 2,000 manhours were spent on designing parks at a cost of$150,000. Mayor Prochaska added that design work needs to be done with concept parks, Hoover, Beecher and Riverfront Park. The City code also requires evaluation/equipment replacement every 10-12 years. Alderwoman Burd suggested hiring a person with a comprehensive background who could perform several facets of these jobs. However, the workload is too great now and a Park Designer is needed to take advantage of land cash before it reverts back to the developer since there is a time limit on land cash. Funding the position was also discussed and Alderman Munns suggested perhaps a position needed to be cut. Alderman Munns had to leave at this point (7:50pm). Ms. Burd said that overall, she is more worried about the 51 subdivisions coming to Yorkville than she is about parks planning. She felt that a Community Development Director should be hired first. Ms. Spears added that the Director could also update the master plan and land development to save money now paid to a consultant. It was decided that a Park Planner should also be well-versed in landscape design. In addition, the Committee decided that the Community Development Director Page 3 of 5 position would be moved to July and the Land Use Planner would move to November. There was a brief discussion of an office manager/coordinator position. There is already a job description in place for this position and that description will be reviewed prior to hiring. GENERAL FUND SUMMARY It was noted that the Building and Zoning budget decreased due to the comprehensive plan, stormwater and pollution control,ordinance work and updating subdivision ordinances. The Streets department increased by 135% due to the In- Town Road Program. GENERAL FUND REVENUES The following line items were discussed. Page 1: General Fund Revenues Miscellaneous income results from fines, rebates, etc. Page 2: Finance& Administration The cost of the special census was discussed briefly. The cost of the census last year was $78,000, while the cost this year will be approximately$170,000 according to Administrator Graff. This census will be a whole census, not just a partial one and the costs have increased. In addition, a flat rate is paid to the Department of Census. There will be an additional gain of$200,000 in revenues in one year as a result of the census. Other points discussed were: 1. Salaries were discussed briefly and it was noted that salary costs had increased greatly as well as health benefits. 2. Contractual services includes copier repairs, printers, etc. 3. Wearing apparel was also discussed. 4. Alderwoman Burd asked about funding for the trolley, but Mayor Prochaska noted that sponsorships should be researched for this pilot project. 5. Training & conferences went up 37.5% and were discussed. Page 3: Finance& Administration 1. Postage costs increased by 37.5% due to increased mailings including the newsletters. 2. Discussed also was merit pay. 3. General maintenance as well as police and other uniforms increased. (Alderman Munns returned at this time--9pm) Page 4 of 5 Page 8: Streets 1. It was noted that money was budgeted for a new employee as well as replacement phones. If this is not spent, it is returned to the general fund. 2. Sidewalks will be replaced in conjunction with the In-Town Road Program and will actually decrease the costs. 3. IMRF decreased due to adjustment Page 10: MFT MFT will have a carryover of funds CAPITAL FUNDS Page 12: Police Capital New weather warning sirens were paid for by developers. Page 13: Public Works Capital There was a short discussion regarding a new Public Works facility. Page 15: Sewer Improvement 1. Mayor Prochaska pointed out that the Rob Roy Creek expenditure and bonds are tied together in regards to the high percentage increase shown in the budget. 2. Ms. Spears raised the issue of having an in-house engineer, however, the Mayor said sewers require a very specialized type of engineering. Page 16: Water Improvement It was noted that the City is waiting for IEPA loan approval. Page 18: Debt Service Some new development fees are used to help pay the city hall bonds. Page 19: Water Operations 1. There are extra part-time seasonal workers this year which accounted for an increase in salaries (due to additional water treatment facilities). 2. Postage & shipping increased due to newsletters and mailing of water bills Alderman Kot ascertained that the Public Works Director salary increase had been included in the budget. Page 22 Land Cash 1. Land cash is a per unit fee and is set when final plat is recorded. 2. Mayor Prochaska added that line items with very high amounts are parks expected to be built this year Page 25,26 & 27 Parks & Recreation 1. A 60% increase in wearing apparel was attributed to additional seasonal help due to more parks/parkways that need mowing and maintenance. Page 5 of 5 2. Alderman Munns commented that not all parks employees need to carry cell phones, especially when working in crews. He felt a 43% increase was too much. 3. The Mayor suggested that Laura Brown could provide a breakdown of who has cell phones. 4. Mayor Prochaska commented that increased legal expenses were to "true up"the expenses. 5. An 80% increase in professional growth was attributed to training for new employees, re-certification of existing employees and for additional staff. 6. Promotions were briefly discussed and Ms. Spears cautioned against too many supervisors. 7. Recording secretary costs up 66%due to clerk recommendations and full schedule of meetings. 8. Alderwoman Burd inquired about additional flower plantings. 9. Alderman Munns commented that "telephone internet", VPN and cellular phones expenses were almost double. This was due to improvements of the system. 10. Travel expenses increased due to training and out of town expenses. 11. Gasoline increased 100% due to additional vehicles and additional parks to travel to and from. It was suggested that additional explanation was needed in this line item. Page 28 Library 1. Salaries increased 50% ($100,000) since full time employees will be added and the number of part time employees will increase as well. However, it was noted that no increase was shown in benefits possibly because they are eligible to purchase their own insurance. 2. Funding is by tax levy and Mayor Prochaska reminded everyone that the City Council has no voice in the library budget. Alderwoman Burd commented that they are still accountable to the taxpayers. 3. Alderman Munns said more detail should be included in the Library budget. This ended the discussion of the various items on the budget. The budget will be available for viewing by the public, after which a notice will be placed for a Public Hearing. The budget must be passed by April 30th, with votes occurring on the 12th or 26th—if there are issues. The meeting was adjourned at 10:23pm. Minutes respectfully submitted by Marlys Young, Minute Taker C trY ;-''n,' 4,0 C/7). United City of Yorkville Memo 800 Game Farm Road EST. sicQ L 1836 Yorkville, Illinois 60560 Telephone: 630-553-4350 .6� 11 p Fax: 630-553-7575 `2 '41<tE ‘‘y Date: May 9, 2005 To: Mayor and Alderman From: John Justin Wyeth, City Attorney Subject: Zoning Ordinance for Autumn Creek The recently passed Annexation Agreement for Autumn Creek provides that the City shall enact an Ordinance establishing zoning. The City is required to pass the Zoning Ordinance, and the appropriate Ordinance is enclosed with the Council Packets. The Zoning categories are those which the Council previously passed in the Annexation Agreement This is a routine enactment in furtherance of the City's obligation under the Annexation Agreement. STATE OF ILLINOIS ) ) SS: COUNTY OF KENDALL ) ORDINANCE NO. 2005- AN ORDINANCE REZONING CERTAIN PROPERTY TO AN R-2 ONE FAMILY RESIDENCE DISTRICT (208.42 ACRES),REZONING CERTAIN PROPERTY TO AN R-3 ONE FAMILY RESIDENCE DISTRICT (56.58 ACRES)AND REZONING CERTAIN PROPERTY TO A B-3 SERVICE BUSINESS DISTRICT (21.05 ACRES) AND APPROVING A SPECIAL USE FOR PLANNED DEVELOPMENT WITHIN UNITED CITY OF YORKVILLE, KENDALL COUNTY,ILLINOIS (COMMONLY KNOWN AS AUTUMN CREEK) WHEREAS, Richard J. Theidel and LaSalle Bank National Association, as Successor Trustee under Trust Agreement dated February 15, 1977, legal owners of record of 286.05 acres, more or less, described on Exhibits A, B and C attached hereto (the "Property") and Pulte Home Corporation, a Michigan corporation,the contract purchaser of 265 acres, more or less, described on Exhibits B and C have duly made application for the rezoning of the Property and approval of a Special Use for a Planned Development therefor to be known as Autumn Creek; and WHEREAS, a Public Hearing upon such application was held on October 13, 2004 before the Yorkville Plan Commission in accordance with the laws of the State of Illinois; and WHEREAS, the Yorkville Plan Commission recommended the rezoning of the Property as an R-2 One Family Residence District for a part of the Property, an R-3 One Family Residence District for a part of the Property and a B-3 Service Business District for a part of the Property and approval of a Special Use for a Planned Development therefor in accordance with a Preliminary Plan prepared by Smith Engineering Consultants, Inc. NOW, THEREFORE, BE IT ORDAINED BY THE MAYOR AND THE CITY COUNCIL OF THE CITY OF YORKVILLE, KENDALL COUNTY, ILLINOIS THAT: Section One: The City Council approves the Plan Commission's recommendation and hereby rezones the Property to R-2 One Family Residence District as to the 208.42 acres legally described on Exhibit A attached hereto, to R-3 One Family Residence District as to the 56.58 acres legally described on Exhibit B attached hereto and to B-3 Service Business District as to 21.05 acres legally described on Exhibit C attached hereto (the acreage of each parcel is approximate). Section Two: A Special Use for a Planned Development is hereby approved for the Property in accordance with the Preliminary Plan dated August 10, 2004 last revised February 28, 2005, prepared by Smith Engineering Consultants, Inc. Section Four: The Planned Development shall be developed pursuant to the Preliminary Plan dated August 10, 2004 last revised February 28, 2005 prepared by Smith Engineering Consultants, Inc. and the Zoning Ordinance of the United City of Yorkville. Section Five: That this Ordinance shall be in full force and effect from and after its passage and approval as provided by law. CHO1/12423309.1 2 PASSED this day of May, 2005. WANDA OHARE JOSEPH BESCO VALERIE BURD PAUL JAMES DEAN WOLFER MARTY MUNNS ROSE SPEARS JASON LESLIE Approved by me, as Mayor of the United City of Yorkville, Kendall County, Illinois this day of May, A.D., 2005. Mayor Passed by the City Council of the United City of Yorkville, Kendall County, Illinois this day of May, A.D., 2005. ATTEST: City Clerk Prepared by: • John Justin Wyeth City Attorney United City of Yorkville 800 Game Farm Road Yorkville, IL 60560 CHO1/12423309.1 3 EXHIBIT A THAT PART OF THE NORTH HALF OF SECTION 15, AND PART OF SECTION 22, TOWNSHIP 37 NORTH, RANGE 7, EAST OF THE THIRD PRINCIPAL MERIDIAN, DESCRIBED AS FOLLOWS: BEGINNING AT THE SOUTHEAST CORNER OF LOT 27, IN BRISTOL LAKE SUBDIVISION, ACCORDING TO THE PLAT THEREOF RECORDED AS DOCUMENT 137733 IN PLAT BOOK 10, AT PAGE 58, ON MAY 10, 1962; THENCE NORTH 33 DEGREES 54 MINUTES 02 SECONDS WEST 1955.00 FEET AS MEASURED ALONG THE EAST LINE OF SAID SUBDIVISION; THENCE NORTH 34 DEGREES 07 MINUTES 27 SECONDS WEST 895.36 FEET; THENCE NORTH 87 DEGREES 37 MINUTES 05 SECONDS EAST 1,298.88 FEET; THENCE SOUTH 36 DEGREES 46 MINUTES 33 SECONDS EAST 2185.47 FEET TO THE CENTERLINE OF KENNEDY ROAD; THENCE SOUTH 39 DEGREES 49 MINUTES 58 SECONDS EAST 3,743.16 FEET TO THE NORTHERLY RIGHT OF WAY LINE OF U.S. ROUTE 34 PER GRANT DATED APRIL 13, 1923 AND RECORDED APRIL 18, 1923 IN BOOK 76, PAGE 82, AND BY GRANT DATED APRIL 7, 1923 AND RECORDED APRIL 18, 1923 IN DEED RECORDED IN BOOK 76, PAGE 30; THENCE SOUTH 55 DEGREES 17 MINUTES 34 SECONDS WEST 2,335.08 FEET AS MEASURED ALONG SAID RIGHT OF WAY LINE; THENCE NORTH 38 DEGREES 05 MINUTES 33 SECONDS WEST 2,024.55 FEET; THENCE SOUTH 49 DEGREES 01 MINUTES 25 SECONDS WEST 825.40 FEET; THENCE NORTH 41 DEGREES 12 MINUTES 35 SECONDS TO THE CENTERLINE OF SAID KENNEDY ROAD; THENCE NORTH 55 DEGREES 15 MINUTES 19 SECONDS EAST 953.70 FEET; THENCE NORTH 55 DEGREES 17 MINUTES 45 SECONDS EAST 627.79 FEET AS MEASURED ALONG SAID KENNEDY ROAD; THENCE SOUTH 41 DEGREES 22 MINUTES 15 SECONDS EAST 1,639.93 FEET; THENCE NORTH 49 DEGREES 38 MINUTES 42 SECONDS EAST 127.04 FEET; THENCE NORTH 33 DEGREES 32 MINUTES 52 SECONDS WEST 1,329.42 FEET; THENCE NORTH 55 DEGREES 04 MINUTES 45 SECONDS EAST 306.88 FEET; THENCE NORTH 34 DEGREES 55 MINUTES 15 SECONDS WEST 287.11 FEET TO THE CENTERLINE OF SAID KENNEDY ROAD; THENCE SOUTH 55 DEGREES 04 MINUTES 45 SECONDS WEST 299.24 FEET; THENCE NORTH 33 DEGREES 54 MINUTES 02 SECONDS WEST 33.00 FEET TO THE POINT OF BEGINNING, ALL IN KENDALL COUNTY, ILLINOIS. EXCEPTING THEREFROM THE 2 FOLLOWING DESCRIBED PARCELS: (EXCEPTION 1) THAT PART OF THE SOUTH HALF OF SECTION 22, TOWNSHIP 37 NORTH, RANGE 7, EAST OF THE THIRD PRINCIPAL MERIDIAN, DESCRIBED AS FOLLOWS: COMMENCING AT THE SOUTHEAST CORNER OF LOT 27, IN BRISTOL LAKE SUBDIVISION, ACCORDING TO THE PLAT THEREOF RECORDED AS DOCUMENT 137733 IN PLAT BOOK 10, AT PAGE 58, ON MAY 10, 1962; THENCE SOUTH 33 DEGREES 54 MINUTES 02 SECONDS EAST 33.00 FEET TO THE CENTERLINE OF KENNEDY ROAD; THENCE NORTH 55 DEGREES 04 MINUTES 45 SECONDS EAST 299.54 FEET; THENCE SOUTH 34 DEGREES 55 MINUTES 15 SECONDS EAST 287.11 Exhibit A—Page 1 of 3 CHO1/12423309.1 FEET; THENCE SOUTH 55 DEGREES 04 MINUTES 45 SECONDS WEST 306.88 FEET; THENCE SOUTH 33 DEGREES 32 MINUTES 52 SECONDS EAST 1,329.42 FEET; THENCE SOUTH 47 DEGREES 23 MINUTES 40 SECONDS EAST 1,248.20 FEET TO THE POINT OF BEGINNING; THENCE SOUTH 34 DEGREES 42 MINUTES 26 SECONDS EAST 65.03 FEET; THENCE SOUTH 27 DEGREES 28 MINUTES 29 SECONDS EAST 238.29 FEET; THENCE SOUTH 34 DEGREES 42 MINUTES 26 SECONDS EAST 588.23 FEET TO THE NORTHERLY RIGHT OF WAY LINE OF U.S. ROUTE 34 PER GRANT DATED APRIL 13, 1923 AND RECORDED APRIL 18, 1923 IN BOOK 76, PAGE 82, AND BY GRANT DATED APRIL 7, 1923 AND RECORDED APRIL 18, 1923 IN DEED RECORDED IN BOOK 76, PAGE 30; THENCE SOUTH 55 DEGREES 17 MINUTES 34 SECONDS WEST 998.07 FEET AS MEASURED ALONG SAID RIGHT OF WAY LINE; THENCE NORTH 38 DEGREES 05 MINUTES 33 SECONDS WEST 891.55 FEET; THENCE NORTH 55 DEGREES 18 MINUTES 39 SECONDS EAST 1,080.71 FEET TO THE POINT OF BEGINNING, ALL IN KENDALL COUNTY, ILLINOIS. ALSO EXCEPTING: (EXCEPTION 2) THAT PART OF THE SOUTH HALF OF SECTION 22, TOWNSHIP 37 NORTH, RANGE 7, EAST OF THE THIRD PRINCIPAL MERIDIAN, DESCRIBED AS FOLLOWS: COMMENCING AT THE SOUTHEAST CORNER OF LOT 27, IN BRISTOL LAKE SUBDIVISION, ACCORDING TO THE PLAT THEREOF RECORDED AS DOCUMENT 137733 IN PLAT BOOK 10, AT PAGE 58, ON MAY 10, 1962; THENCE SOUTH 33 DEGREES 54 MINUTES 02 SECONDS EAST 33.00 FEET TO THE CENTERLINE OF KENNEDY ROAD; THENCE NORTH 55 DEGREES 04 MINUTES 45 SECONDS EAST 1,213.59 FEET; THENCE SOUTH 39 DEGREES 49 MINUTES 58 SECONDS EAST 1,007.09 FEET; THENCE SOUTH 50 DEGREES 10 MINUTES 02 SECONDS WEST 216.00 FEET, PERPENDICULAR TO THE LAST DESCRIBED COURSE, TO THE POINT OF BEGINNING; THENCE SOUTH 39 DEGREES 49 MINUTES 58 SECONDS EAST 40.63 FEET; THENCE SOUTH 50 DEGREES 10 MINUTES 02 SECONDS WEST 150.00 FEET; THENCE SOUTH 39 DEGREES 49 MINUTES 58 SECONDS EAST 507.00 FEET; THENCE SOUTH 48 DEGREES 43 MINUTES 37 SECONDS WEST 108.94 FEET; THENCE SOUTH 43 DEGREES 23 MINUTES 04 SECONDS WEST 90.66 FEET; THENCE SOUTH 38 DEGREES 15 MINUTES 18 SECONDS WEST 90.66 FEET; THENCE SOUTH 33 DEGREES 07 MINUTES 32 SECONDS WEST 90.66 FEET; THENCE SOUTH 27 DEGREES 59 MINUTES 46 SECONDS WEST 90.66 FEET; THENCE SOUTH 22 DEGREES 51 MINUTES 59 SECONDS WEST 90.66 FEET; THENCE SOUTH 17 DEGREES 44 MINUTES 14 SECONDS WEST 16.14 FEET; THENCE SOUTH 53 DEGREES 57 MINUTES 34 SECONDS WEST 57.66 FEET; THENCE NORTH 72 DEGREES 03 MINUTES 50 SECONDS WEST 149.94 FEET TO A POINT OF CURVE, SAID CURVE BEING CONCAVE SOUTHEASTERLY, HAVING A RADIUS OF 1,217.00 FEET AND A CHORD THAT BEARS SOUTH 15 DEGREES 39 MINUTES 16 SECONDS WEST, A DISTANCE OF 96.91 FEET; THENCE SOUTHERLY, ALONG THE ARC OF SAID CURVE, 96.94 FEET; THENCE SOUTH 81 DEGREES 43 MINUTES 08 SECONDS EAST 178.07 FEET; THENCE SOUTH 15 DEGREES 28 MINUTES 28 SECONDS WEST 42.05 FEET; THENCE SOUTH 08 DEGREES 13 MINUTES 23 SECONDS WEST 86.11 FEET;THENCE SOUTH 05 DEGREES Exhibit A—Page 2 of 3 CHO1/12423309.1 44 MINUTES 10 SECONDS WEST 83.97 FEET; THENCE SOUTH 05 DEGREES 44 MINUTES 08 SECONDS WEST 67.26 FEET; THENCE SOUTH 05 DEGREES 54 MINUTES 56 SECONDS WEST 208.06 FEET; THENCE SOUTH 89 DEGREES 06 MINUTES 18 SECONDS EAST 16.20 FEET TO A POINT OF CURVE, SAID CURVE BEING CONCAVE SOUTHWESTERLY, HAVING A RADIUS OF 550.00 FEET AND A CHORD THAT BEARS SOUTH 61 DEGREES 54 MINUTES 22 SECONDS EAST, A DISTANCE OF 502.79 FEET; THENCE SOUTHEASTERLY, ALONG THE ARC OF SAID CURVE, 522.18 FEET; THENCE SOUTH 34 DEGREES 42 MINUTES 26 SECONDS EAST 180.38 FEET; THENCE SOUTH 55 DEGREES 18 MINUTES 39 SECONDS WEST 1,115.71 FEET; THENCE NORTH 38 DEGREES 05 MINUTES 33 SECONDS WEST 1,132.98 FEET; THENCE NORTH 49 DEGREES 01 MINU l'E 25 SECONDS EAST 193.13 FEET TO A POINT OF CURVE SAID CURVE BEING CONCAVE NORTHERLY, HAVING A RADIUS OF 535.00 FEET AND A CHORD THAT BEARS SOUTH 81 DEGREES 28 MINUTES 46 SECONDS EAST, A DISTANCE OF 141.98 FEET; THENCE EASTERLY, ALONG THE ARC OF SAID CURVE, 142.40 FEET; THENCE SOUTH 89 DEGREES 06 MINUTES 18 SECONDS EAST 137.36 FEET; THENCE NORTH 00 DEGREES 53 MINUTES 42 SECONDS EAST 70.00 FEET; THENCE NORTH 06 DEGREES 43 MINUTES 11 SECONDS EAST 426.30 FEET; THENCE SOUTH 41 DEGREES 22 MINUTES 15 SECONDS EAST 147.55 FEET; THENCE NORTH 49 DEGREES 38 MINUTES 42 SECONDS EAST 127.04 FEET; THENCE NORTH 33 DEGREES 32 MINUTES 52 SECONDS WEST 1,329.42 FEET; THENCE NORTH 55 DEGREES 04 MINUTES 45 SECONDS EAST 306.88 FEET; THENCE NORTH 34 DEGREES 55 MINUTES 55 SECONDS EAST 247.11 FEET; THENCE NORTH 55 DEGREES 04 MINUTES 45 SECONDS EAST 211.83 FEET TO A POINT OF CURVE, SAID CURVE BEING CONCAVE SOUTHWEST, HAVING A RADIUS OF 25.00 FEET AND A CHORD THAT BEARS SOUTH 79 DEGREES 55 MINUTES 15 SECONDS EAST, A DISTANCE OF 35.36 FEET; THENCE SOUTHEASTERLY, ALONG THE ARC OF SAID CURVE 39.27 FEET; THENCE SOUTH 34 DEGREES 55 MINUTES 15 SECONDS EAST 5.00 FEET; THENCE SOUTH 55 DEGREES 04 MINUTES 45 SECONDS WEST 150.00 FEET; THENCE SOUTH 34 DEGREES 55 MINUTES 15 SECONDS EAST 82.00 FEET; THENCE SOUTH 38 DEGREES 16 MINUTES 14 SECONDS EAST 75.87 FEET; THENCE SOUTH 49 DEGREES 38 MINUTES 58 SECONDS EAST 95.60 FEET; THENCE SOUTH 62 DEGREES 05 MINUTES 29 SECONDS EAST 95.60 FEET; THENCE SOUTH 74 DEGREES 32 MINUTES 01 SECOND EAST 95.60 FEET; THENCE SOUTH 86 DEGREES 58 MINUTES 32 SECONDS EAST 95.60 FEET; THENCE NORTH 84 DEGREES 33 MINUTES 20 SECONDS EAST 72.11 FEET; THENCE NORTH 89 DEGREES 06 MINUTES 12 SECONDS EAST 65.28 FEET; THENCE SOUTH 84 DEGREES 17 MINUTES 48 SECONDS EAST 65.28 FEET; THENCE SOUTH 77 DEGREES 41 MINUTES 48 SECONDS EAST 65.28 FEET; THENCE SOUTH 71 DEGREES 05 MINUTES 47 SECONDS EAST 65.28 FEET; THENCE SOUTH 64 DEGREES 29 MINUTES 47 SECONDS EAST 65.28 FEET; THENCE SOUTH 57 DEGREES 19 MINUTES 55 SECONDS EAST 76.42 FEET; THENCE SOUTH 49 DEGREES 36 MINUTES 13 SECONDS EAST 76.42 FEET; THENCE SOUTH 41 DEGREES 57 MINUTES 01 SECOND EAST 76.43 FEET; THENCE NORTH 51 DEGREES 59 MINUTES 16 SECONDS EAST 150.36 FEET TO THE POINT OF BEGINNING; ALL IN KENDALL COUNTY ILLINOIS. Exhibit A-Page 3 of 3 CHO1/12423309.1 EXHIBIT B THAT PART OF THE SOUTH HALF OF SECTION 22, TOWNSHIP 37 NORTH, RANGE 7, EAST OF THE THIRD PRINCIPAL MERIDIAN, DESCRIBED AS FOLLOWS: COMMENCING AT THE SOUTHEAST CORNER OF LOT 27, IN BRISTOL LAKE SUBDIVISION, ACCORDING TO THE PLAT THEREOF RECORDED AS DOCUMENT 137733 IN PLAT BOOK 10, AT PAGE 58, ON MAY 10, 1962; THENCE SOUTH 33 DEGREES 54 MINUTES 02 SECONDS EAST 33.00 FEET TO THE CENTERLINE OF KENNEDY ROAD; THENCE NORTH 55 DEGREES 04 MINUTES 45 SECONDS EAST 1,213.59 FEET; THENCE SOUTH 39 DEGREES 49 MINUTES 58 SECONDS EAST 1,007.09 FEET; THENCE SOUTH 50 DEGREES 10 MINUTES 02 SECONDS WEST 216.00 FEET, PERPENDICULAR TO THE LAST DESCRIBED COURSE, TO THE POINT OF BEGINNING; THENCE SOUTH 39 DEGREES 49 MINUTES 58 SECONDS EAST 40.63 FEET; THENCE SOUTH 50 DEGREES 10 MINUTES 02 SECONDS WEST 150.00 FEET; THENCE SOUTH 39 DEGREES 49 MINUTES 58 SECONDS EAST 507.00 FEET; THENCE SOUTH 48 DEGREES 43 MINUTES 37 SECONDS WEST 108.94 FEET; THENCE SOUTH 43 DEGREES 23 MINUTES 04 SECONDS WEST 90.66 FEET; THENCE SOUTH 38 DEGREES 15 MINUTES 18 SECONDS WEST 90.66 FEET; THENCE SOUTH 33 DEGREES 07 MINUTES 32 SECONDS WEST 90.66 FEET; THENCE SOUTH 27 DEGREES 59 MINUTES 46 SECONDS WEST 90.66 FEET; THENCE SOUTH 22 DEGREES 51 MINUTES 59 SECONDS WEST 90.66 FEET; THENCE SOUTH 17 DEGREES 44 MINUTES 14 SECONDS WEST 16.14 FEET; THENCE SOUTH 53 DEGREES 57 MINUTES 34 SECONDS WEST 57.66 FEET; THENCE NORTH 72 DEGREES 03 MINUTES 50 SECONDS WEST 149.94 FEET TO A POINT OF CURVE, SAID CURVE BEING CONCAVE SOUTHEASTERLY, HAVING A RADIUS OF 1,217.00 FEET AND A CHORD THAT BEARS SOUTH 15 DEGREES 39 MINUTES 16 SECONDS WEST, A DISTANCE OF 96.91 FEET; THENCE SOUTHERLY, ALONG THE ARC OF SAID CURVE, 96.94 FEET; THENCE SOUTH 81 DEGREES 43 MINUTES 08 SECONDS EAST 178.07 FEET; THENCE SOUTH 15 DEGREES 28 MINUTES 28 SECONDS WEST 42.05 FEET; THENCE SOUTH 08 DEGREES 13 MINUTES 23 SECONDS WEST 86.11 FEET; THENCE SOUTH 05 DEGREES 44 MINUTES 10 SECONDS WEST 83.97 FEET; THENCE SOUTH 05 DEGREES 44 MINUTES 08 SECONDS WEST 67.26 FEET; THENCE SOUTH 05 DEGREES 54 MINUTES 56 SECONDS WEST 208.06 FEET; THENCE SOUTH 89 DEGREES 06 MINUTES 18 SECONDS EAST 16.20 FEET TO A POINT OF CURVE, SAID CURVE BEING CONCAVE SOUTHWESTERLY, HAVING A RADIUS OF 550.00 FEET AND A CHORD THAT BEARS SOUTH 61 DEGREES 54 MINUTES 22 SECONDS EAST, A DISTANCE OF 502.79 FEET; THENCE SOUTHEASTERLY, ALONG THE ARC OF SAID CURVE, 522.18 FEET; THENCE SOUTH 34 DEGREES 42 MINUTES 26 SECONDS EAST 180.38 FEET; THENCE SOUTH 55 DEGREES 18 MINUTES 39 SECONDS WEST 1,115.71 FEET; THENCE NORTH 38 DEGREES 05 MINUTES 33 SECONDS WEST 1,132.98 FEET; THENCE NORTH 49 DEGREES 01 MINUTE 25 SECONDS EAST 193.13 FEET TO A POINT OF CURVE SAID CURVE BEING CONCAVE NORTHERLY, HAVING A RADIUS OF 535.00 FEET AND A CHORD THAT BEARS SOUTH 81 DEGREES 28 MINUTES 46 SECONDS EAST, A DISTANCE OF 141.98 FEET; THENCE EASTERLY, ALONG THE ARC OF SAID CURVE, EXHIBIT B- Page 1 of 2 CH01/12423309.1 142.40 FEET; THENCE SOUTH 89 DEGREES 06 MINUTES 18 SECONDS EAST 137.36 FEET; THENCE NORTH 00 DEGREES 53 MINUTES 42 SECONDS EAST 70.00 FEET; THENCE NORTH 06 DEGREES 43 MINUTES 11 SECONDS EAST 426.30 FEET; THENCE SOUTH 41 DEGREES 22 MINUTES 15 SECONDS EAST 147.55 FEET; THENCE NORTH 49 DEGREES 38 MINUTES 42 SECONDS EAST 127.04 FEET; THENCE NORTH 33 DEGREES 32 MINUTES 52 SECONDS WEST 1,329.42 FEET; THENCE NORTH 55 DEGREES 04 MINUTES 45 SECONDS EAST 306.88 FEET; THENCE NORTH 34 DEGREES 55 MINUTES 55 SECONDS EAST 247.11 FEET; THENCE NORTH 55 DEGREES 04 MINUTES 45 SECONDS EAST 211.83 FEET TO A PONT OF CURVE, SAID CURVE BEING CONCAVE SOUTHWEST, HAVING A RADIUS OF 25.00 FEET AND A CHORD THAT BEARS SOUTH 79 DEGREES 55 MINUTES 15 SECONDS EAST, A DISTANCE OF 35.36 FEET; THENCE SOUTHEASTERLY, ALONG THE ARC OF SAID CURVE 39.27 FEET; THENCE SOUTH 34 DEGREES 55 MINUTES 15 SECONDS EAST 5.00 FEET; THENCE SOUTH 55 DEGREES 04 MINUTES 45 SECONDS WEST 150.00 FEET; THENCE SOUTH 34 DEGREES 55 MINUTES 15 SECONDS EAST 82.00 FEET; THENCE SOUTH 38 DEGREES 16 MINUTES 14 SECONDS EAST 75.87 FEET; THENCE SOUTH 49 DEGREES 38 MINUTES 58 SECONDS EAST 95.60 FEET; THENCE SOUTH 62 DEGREES 05 MINUTES 29 SECONDS EAST 95.60 FEET; THENCE SOUTH 74 DEGREES 32 MINUTES 01 SECOND EAST 95.60 FEET; THENCE SOUTH 86 DEGREES 58 MINUTES 32 SECONDS EAST 95.60 FEET; THENCE NORTH 84 DEGREES 33 MINUTES 20 SECONDS EAST 72.11 FEET; THENCE NORTH 89 DEGREES 06 MINUTES 12 SECONDS EAST 65.28 FEET; THENCE SOUTH 84 DEGREES 17 MINUTES 48 SECONDS EAST 65.28 FEET; THENCE SOUTH 77 DEGREES 41 MINUTES 48 SECONDS EAST 65.28 FEET; THENCE SOUTH 71 DEGREES 05 MINUTES 47 SECONDS EAST 65.28 FEET; THENCE SOUTH 64 DEGREES 29 MINUTES 47 SECONDS EAST 65.28 FEET; THENCE SOUTH 57 DEGREES 19 MINUTES 55 SECONDS EAST 76.42 FEET; THENCE SOUTH 49 DEGREES 36 MINUTES 13 SECONDS EAST 76.42 FEET; THENCE SOUTH 41 DEGREES 57 MINUTES 01 SECOND EAST 76.43 FEET; THENCE NORTH 51 DEGREES 59 MINUTES 16 SECONDS EAST 150.36 FEET TO THE POINT OF BEGINNING; ALL IN KENDALL COUNTY ILLINOIS. Exhibit B-Page 2 of 2 CHO1/12423309.1 EXHIBIT C THAT PART OF THE SOUTH HALF OF SECTION 22, TOWNSHIP 37 NORTH, RANGE 7, EAST OF THE THIRD PRINCIPAL MERIDIAN, DESCRIBED AS FOLLOWS: COMMENCING AT THE SOUTHEAST CORNER OF LOT 27, IN BRISTOL LAKE SUBDIVISION, ACCORDING TO THE PLAT THEREOF RECORDED AS DOCUMENT 137733 IN PLAT BOOK 10, AT PAGE 58, ON MAY 10, 1962; THENCE SOUTH 33 DEGREES 54 MINUTES 02 SECONDS EAST 33.00 FEET TO THE CENI'P.RLINE OF KENNEDY ROAD; THENCE NORTH 55 DEGREES 04 MINUTES 45 SECONDS EAST 299.54 FEET; THENCE SOUTH 34 DEGREES 55 MINUTES 15 SECONDS EAST 287.11 FEET'; THENCE SOUTH 55 DEGREES 04 MINUTES 45 SECONDS WEST 306.88 FEET; THENCE SOUTH 33 DEGREES 32 MINUTES 52 SECONDS EAST 1,329.42 FEET; THENCE SOUTH 47 DEGREES 23 MINUTES 40 SECONDS EAST 1,248.20 FEET TO THE POINT OF BEGINNING; THENCE SOUTH 34 DEGREES 42 MINUTES 26 SECONDS EAST 65.03 FEET; THENCE SOUTH 27 DEGREES 28 MINUTES 29 SECONDS EAST 238.29 FEET; THENCE SOUTH 34 DEGREES 42 MINUTES 26 SECONDS EAST 588.23 FEET TO THE NORTHERLY RIGHT OF WAY LINE OF U.S. ROUTE 34 PER GRANT DATED APRIL 13, 1923 AND RECORDED APRIL 18, 1923 IN BOOK 76, PAGE 82, AND BY GRANT DATED APRIL 7, 1923 AND RECORDED APRIL 18, 1923 IN DEED RECORDED IN BOOK 76, PAGE 30; THENCE SOUTH 55 DEGREES 17 MINUTES 34 SECONDS WEST 998.07 FEET AS MEASURED ALONG SMD RIGHT OF WAY LINE; THENCE NORTH 38 DEGREES 05 MINUTES 33 SECONDS WEST 891.55 FEET; THENCE NORTH 55 DEGREES 18 MINUTES 39 SECONDS EAST 1,080.71 FEET TO THE POINT OF BEGINNING, ALL IN KENDALL COUNTY, ILLINOIS. EXHIBIT C CHO1/12423309.1 STATE OF ILLINOIS ) )ss COUNTY OF KENDALL ) RESOLUTION NO. 2005- RESOLUTION APPROVING THE FINAL PLAT OF SUBDIVISION FOR WHISPERING MEADOWS UNITS 3 & 4 WHEREAS, the City Council of the United City of Yorkville has considered a Petition to approve the Final Plat of Subdivision for the Whispering Meadows Subdivision, Units 3 &4; and WHEREAS, the City Council of the United City of Yorkville has received a positive recommendation from the Plan Commission of the United City of Yorkville recommending approval of said Final Plat of Subdivision. NOW THEREFORE, upon Motion duly made, seconded and approved by the majority of those members of the City Council voting, the following action is hereby taken by the City Council of the United City of Yorkville: The Final Plats of Subdivision for Whispering Meadows Subdivision, Units 3 &4, are approved and all appropriate City officials are hereby authorized to execute same subject to legal and staff review and conditioned on adjustments consistent with the staff review. WANDA OHARE JOSEPH BESCO VALERIE BURD PAUL JAMES DEAN WOLFER MARTY MUNNS ROSE SPEARS JASON LESLIE Approved by me, as Mayor of the United City of Yorkville, Kendall County, Illinois, this Day of , A.D. 2005. MAYOR Passed by the City Council of the United City of Yorkville, Kendall County, Illinois this day of , A.D. 2005. ATTEST: CITY CLERK Prepared by: John Justin Wyeth City Attorney United City of Yorkville 800 Game Farm Road Yorkville, IL 60560 STATE OF ILLINOIS ) ) SS. COUNTY OF KENDALL ) ANNEXATION AND PLANNED UNIT DEVELOPMENT AGREEMENT OF SWANSON LANE ESTATES This Annexation and Planned Unit Development Agreement (hereinafter "Agreement"), is made and entered into this day of May, 2005 by and between the UNITED CITY OF YORKVILLE, a municipal corporation, hereinafter referred to as CITY, and Gordon and Marcia Swanson hereinafter referred to as "OWNER/DEVELOPER." WITNESSETH: WHEREAS, OWNER/DEVELOPER owns fee simple interest to the real property which is legally described in Exhibit "A" attached hereto, consisting of approximately 14.96 acres, more or less (hereinafter "PROPERTY"); and which is depicted in the Final/Preliminary Plat of Planned Unit Development(the "Final Plat") which is attached hereto and incorporated herein as Exhibit "B," and WHEREAS, the PROPERTY is contiguous to the corporate boundaries of the CITY; and is not located within the corporate boundaries of any other municipality; WHEREAS, a portion of the PROPERTY is classified as flood plain; and WHEREAS, the CITY and OWNER/DEVELOPER agree said Planned Unit Development as shown on the Final Plat consisting of a 6 lot subdivision with the Estate Class One Zoning Use shall be exclusively for a residential subdivision; and WHEREAS, it is the desire of CITY and OWNER/DEVELOPER to annex the PROPERTY and provide for the orderly development of the PROPERTY and to develop the PROPERTY in the CITY in accordance with the terms of this Agreement and the Ordinances of the CITY; as a Planned Unit Development establishing a unique open space character and to provide for the orderly flow of traffic in the development and to adjoining real property; and to provide rezoning to a Estate Class One Zoning Use; and WHEREAS, it is the desire of the CITY and OWNER/DEVELOPER to enter into this Agreement and facilitate development of the PROPERTY pursuant to the terms and conditions of this Agreement and the Ordinances of the CITY; and WHEREAS, OWNER/DEVELOPER and CITY has or will perform and execute all acts required by law to effectuate such Agreement; and 1 WHEREAS, all notices required by law relating to the annexation of the PROPERTY to the CITY and rezoning of the PROPERTY have been given to the persons or entities entitled thereto, pursuant to the applicable provisions of the Illinois Compiled Statutes; and WHEREAS, the Corporate Authorities of the CITY have duly fixed the time for a public hearing on this Agreement and pursuant to legal notice have held such hearing thereon all as required by the provisions of the Illinois Compiled Statues; and WHEREAS, the Corporate Authorities, and the Plan Commission of the CITY have duly held all public hearings relating to this Agreement all as required by the provisions of the CITY's Ordinances and Illinois Compiled Statutes; and WHEREAS, the OWNER/DEVELOPER and CITY agree that upon execution the this Agreement the subject PROPERTY shall be designated a Planned Unit Development with an Estate Class One Zoning Use; and WHEREAS, the OWNER/DEVELOPER agrees to make landscaping improvements consistent with the Landscaping Plan prepared by Don Halamka and Associates which is attached hereto as Exhibit "C" (the "Final Landscaping Plan"); and WHEREAS, the OWNER/DEVELOPER agrees to make certain engineering improvements consistent with the engineering plans prepared by Landmark Consulting, P.C. attached hereto as Exhibit "D" (the "Final Engineering," and together with the Final Plat and the Final Landscaping Plan, the "Final Plans"). WHEREAS, in reliance upon the development of the PROPERTY in the manner proposed, OWNER/DEVELOPER and the CITY have agreed to execute all Ordinances and other documents that are necessary to accomplish the annexation and rezoning of the PROPERTY. NOW, THEREFORE, in consideration of the mutual covenants, agreements and conditions herein contained, and by authority of and in accordance with the aforesaid statutes of the State of Illinois,the parties agree as follows: A. That the PROPERTY shall be annexed to the CITY and that the development of said property shall be consistent with the terms of this Agreement including the Final Plans. OWNER/DEVELOPER shall pay the fees set forth on Exhibit E. As a condition of approval of this Agreement and the recording of the Final Plat, OWNER/DEVELOPER shall permit the CITY Building and Zoning Department to inspect the PROPERTY to determine the improvements to be completed. B. OWNER/DEVELOPER, except to the extent varied by this Agreement, including the Exhibits hereto, agree that PROPERTY's development shall comply with all requirements as set out in the United City of Yorkville Zoning Ordinance and Subdivision Control Ordinance at the time of execution of this Agreement. No change in the United City of Yorkville Zoning Ordinance, Subdivision Control Ordinance, City Reimbursement of Consultants and of Review 2 Fees Ordinance, and City Development Fee, which have been enacted subsequent to the execution of this Agreement shall alter the lot sizes, setbacks, performance standards, or other standards or requirements for this Development as set forth herein or as provided in the Ordinances in effect at the time of execution of the Agreement. Purchasers of individual lots with the Planned Unit Development, however, will be bound by changes in building codes, building material changes and the like that may be enacted by the CITY, so long as the same are applied in a nondiscriminatory manner throughout the CITY. The City agrees that should the United City of Yorkville revise, alter or otherwise modify the parking requirements contained in its Zoning Ordinance to provide for a reduction from the standard as of the date of this Agreement, the City will allow the OWNER/DEVELOPER to comply with reduced standard. C. Utilities and Public Improvements. That on-site infrastructure construction and engineering within the Planned Unit Development shall be governed by the standards contained in the Yorkville Subdivision Control Ordinance and other applicable Ordinances unless specifically addressed in the following, in which case this Agreement shall control,to wit: 1. Roadway right-of -ways, widths of streets, and roadway construction standards shall comply with the requirements as set out on the Final Plans including specifically (but not to limit the totality of items shown on the Final Plat and Final Engineering)the following: ---Swanson Lane shall be a private road, and therefore lots shall not be required to abut a"public street"; ---The width of Swanson Lane will be narrower than required by City Ordinance; ---Swanson Lane shall not have sidewalks, or a paved trail; and ---Boomer Road shall be narrower than required by City Ordinance. Notwithstanding the foregoing, OWNER/DEVELOPER agrees that the CITY shall insepect the condition of Boomer Road at the time that the water main serving the PROPERTY is installed across and under Boomer Road. In the event that the CITY reasonably determines that Boomer Road does not have an adequate base, OWNER/DEVELOPER shall make additional improvements to the Roadway, including widening it to twenty (20) feet. To provide for the maintenance of Swanson Lane, the OWNER/DEVELOPER shall record a Declaration of Covenants encumbering each lot with the financial obligation to maintain the entire road (both jointly and severally) and the Declaration will further provide that the Homeowners will agree to enter into a Special Service Area Agreement in a form acceptable to the City in the event that the Homeowner's Association fails to maintain the roadway. 2. SANITARY SEWER FACILITIES: OWNER/DEVELOPER shall not be required to connect to the sanitary sewer system adjacent to the PROPERTY, and shall be permitted to use septic fields or mechanical sewer systems for each residence upon engineering for same on a lot by lot analysis according to best standards for such systems, and giving primary consideration to the close proximity of Blackberry Creek for each system, and upon obtaining a license for each system from the Kendall County Health Department. OWNER/DEVELOPER acknowledges that CITY cannot issue a building permit until 3 a copy of the Kendall County Health Department permit is tendered. OWNER/DEVELOPER is hereby made responsible for notifying subsequent lot owners of this requirement. 3. In the event the CITY requires OWNER/DEVELOPER to oversize water mains, sanitary sewer mains, or storm sewer lines, the parties shall enter into a written agreement specifically providing that said costs shall be reimbursed by the CITY, or be the subject of a Recapture Agreement and Recapture Ordinance in favor of OWNER/DEVELOPER before OWNER/DEVELOPER is required to perform any over sizing. 4. CITY acknowledges that no storm water detention will be required because sufficient open space and vegetation exist (or will be added pursuant to the Landscaping Plan) so that no detention facility shall be necessary. OWNER/DEVELOPER will conform with the landscape maintenance guidelines attached hereto as Exhibit F. 5. That off-site improvements for the provision of water and other utility and infrastructure services shall be provided by OWNER/DEVELOPER according to the City Subdivision Control Ordinance. After the installation of improvements by OWNER/DEVELOPER, the United City of Yorkville shall deliver to the subdivision site potable water characterized by such minimum flows and pressures as required by the Illinois Environmental Protection Agency. 6. OWNER/DEVELOPER and CITY agree that easements are necessary for off-site improvements to serve said property with utility and municipal services. The United City of Yorkville hereby agrees to use its best efforts, including condemnation, to assist the OWNER/DEVELOPER in the acquisition of easements or permission to use easements from Kendall Township, Kendall County, and the State of Illinois. The actual cost of acquisition of any easement shall be at the expense of OWNER/DEVELOPER. 7. Easements will be dedicated as shown on the Final Plat and Final Engineering and will vary from the subdivision code for lots bordering Blackberry Creek. The Swanson Lane ingress/egress easement shall also include additional easements for the installation and maintenance of public utilities. 8. As depicted on the Final Plat, a Floodplain Management and Conservation Easement (the "Conservation Easement") will be dedicate on a portion of the PROPERTY. Development and construction of improvements within the Conservation Easement will prohibited as set for on the Final Plat. The Declaration of Covenants shall provide that the individual lot owners shall each have the rights to enforce the restrictions. In addition OWNER/DEVELOPER shall enter into an agreement with an independent third-party who will be granted enforcement rights. Such agreement will also provide that the third-party will do maintenance and preservation activities within the Conservation Easement. OWNER/DEVELOPER will obtain the consent of the CITY to any proposed third-party. The CITY hereby 4 consents to the OWNER/DEVELOPER entering into an agreement with either the Conservation Foundation or the Kendall County Forest Preserve District. D. Zoning 1. Setbacks will be as shown on the Final Plat. 2. OWNER/DEVELOPER shall be allowed a maximum height of 35' which is in variance with the City ordinance which limits building height to 25'. The additional height is consistent with the luxury homes which will be built on the site pursuant to the subdivision covenants which require a minimum home size of 2,500 square feet. E. The Planned Unit Development being approved, as part of this Agreement shall be constructed in substantial conformance with the Final Plans. Deviations from the characteristics of the Final Plat shall be allowed only if approved by majority vote of the City Council, or upon City Engineer's approval as to technical parts of the Final Engineering. The OWNER/DEVELOPER agrees that prior to the issuance of any building permit the site will conform to the CITY Landscape Plan and the CITY's Landscape Ordinance, except that no trees shall be required because of the heavily wooded nature of the PROPERTY. F. Approval of Final Plans. The Final Plans are hereby approved. OWNER/DEVELOPER shall cause the Final Plat to be duly recorded with the Kendall County Recorder's Office provided OWNER/DEVELOPER complies with applicable CITY regulations pertaining to (i) the payment of applicable fees to the CITY as provided for in this Agreement and (ii) the procurement of such approvals as may be required by other governmental authorities with jurisdiction thereover. G. AMENDMENTS TO ORDINANCES. All ordinances, regulations, and codes of the CITY, including, without limitation those pertaining to subdivision controls, zoning, storm water management and drainage, building requirements, official plan, and related restrictions, as they presently exist, except as amended, varied, or modified by the terms of this Agreement, shall apply to the Subject Property and its development for a period of ten (10) years from the date of this Agreement except to the extent this would affect the United City of Yorkville ISO Insurance Policy in which case said changes would be applicable to OWNER/DEVELOPER 90 days after passage by the City Council, so long as said changes are applied uniformly throughout the City . Any Agreements, repeal, or additional regulations which are subsequently enacted by the CITY shall not be applied to the development of the Subject Property except upon the written consent of DEVELOPER during said ten (10) year period. After said ten (10) year period, the Subject Property and its development will be subject to all ordinances, regulations, and codes of the CITY in existence on or adopted after the expiration of said five (5) year period, provided, however, that the application of any such ordinance, regulation or code shall not result in a reduction in the number of residential building lots herein approved for the Subject Property, alter or eliminate any of the ordinance variations provided for herein, nor result in any subdivided lot or structure constructed within the Subject Property being classified as non- conforming under any ordinance of the CITY. The foregoing to the contrary notwithstanding, in the event the CITY is required to modify, amend or enact any ordinance or regulation and to apply the same to the Subject Property pursuant to the express and specific mandate of any 5 superior governmental authority, such ordinance or regulation shall apply to the Subject Property and be complied with by DEVELOPER, provided, however, that any so called "grandfather" provision contained in such superior governmental mandate which would serve to exempt or delay implementation against the Subject Property shall be given full force and effect. H. PROCEDURE FOR ACCEPTANCE OF ANY PUBLIC IMPROVEMENTS. The public improvements constructed as a part of the development shall be accepted by the CITY pursuant to the provisions of the Subdivision Ordinance. The CITY shall exercise good faith and due diligence in accepting said public improvements following DEVELOPER's completion thereof in compliance with the requirements of said ordinance, and shall adopt the resolution accepting said public improvements not later than thirty (30) days following the approval of the as built plans. I. GENERAL PROVISIONS. Enforcement. This Agreement shall be enforceable in the Circuit Court of Kendall County by any of the parties or their successors or assigns by an appropriate action at law or in equity to secure the performance of the covenants and agreements contained herein, including the specific performance of this Agreement. This Agreement shall be governed by the laws of the State of Illinois. Successors and Assigns. This Agreement shall inure to the benefit of and be binding upon the OWNER/DEVELOPER and their successors in title and interest, and upon the CITY, and any successor municipalities of the CITY. It is understood and agreed that this Agreement shall run with the land and as such, shall be assignable to and binding upon subsequent grantees and successors in interest of the OWNER/DEVELOPER and the CITY. The foregoing to the contrary notwithstanding, the obligations and duties of OWNER/DEVELOPER hereunder shall not be deemed transferred to or assumed by any purchaser of a lot improved with a dwelling unit who acquires the same for residential occupation, unless otherwise expressly agreed in writing by such purchaser. This Agreement contains all the terms and conditions agreed upon by the parties hereto and no other prior agreement, regarding the subject matter hereof shall be deemed to exist to bind the parties. The parties acknowledge and agree that the terms and conditions of this Agreement, including the payment of any fees, have been reached through a process of good faith negotiation, both by principals and through counsel, and represent terms and conditions that are deemed by the parties to be fair, reasonable, acceptable and contractually binding upon each of them. Notices. Any notices required hereunder shall be in writing and shall be served upon any other party in writing and shall be delivered personally or sent by registered or certified mail, return receipt requested,postage prepaid, addressed as follows: If to the CITY: United City of Yorkville Mayor Arthur F. Prochaska, Jr. 6 800 Game Farm Road Yorkville, IL 60560 With a Copy to: United City of Yorkville's Attorney John Justin Wyeth Wyeth, Heitz &Bromberek 300 East Fifth Avenue, Suite 380 Naperville, IL 60560 If to the DEVELOPER/ OWNER: Gordon and Marcia Swanson Or to such other addresses as any party may from time to time designate in a written notice to the other parties. Severability. This Agreement is entered into pursuant to the provisions of Chapter 65, Sec. 5/11-15.1-1, et seq., Illinois Compiled Statutes (2002). In the event any part or portion of this Agreement, or any provision, clause, word or designation of this Agreement is held to be invalid by any court of competent jurisdiction, said part, portion, clause, word or designation of this Agreement shall be deemed to be excised from this Agreement and the invalidity thereof shall not effect such portion or portions of this Agreement as remain. In addition, the CITY, OWNER/DEVELOPER shall take all action necessary or required to fulfill the intent of this Agreement as to the use and development of the Subject Property. Agreement. This Agreement, and any Exhibits or attachments hereto, may be amended from time to time in writing with the consent of the parties, pursuant to applicable provisions of the City Code and Illinois Compiled Statutes. This Agreement may be amended by the CITY and the owner of record of a portion of the Subject Property as to provisions applying exclusively thereto, without the consent of the owner of other portions of the Subject Property not affected by such Agreement. Conveyances. Nothing contained in this Agreement shall be construed to restrict or limit the right of the OWNER/DEVELOPER to sell or convey all or any portion of the Subject Property, whether improved or unimproved. Necessary Ordinances and Resolutions. The CITY shall pass all ordinances and resolutions necessary to permit the OWNER/DEVELOPER, and their successors 7 or assigns, to develop the Subject Property in accordance with the provisions of this Agreement, provided said ordinances or resolutions are not contrary to law. The CITY agrees to authorize the Mayor and City Clerk to execute this Agreement or to correct any technical defects which may arise after the execution of this Agreement. Term of Agreement. The term of this Agreement shall be for ten (10) years. In the event construction is commenced within said five year period all of the terms of this Agreement shall remain enforceable despite said time limitation, unless modified by written agreement of the CITY and DEVELOPER/OWNER. Captions and Paragraph Headings. The captions and paragraph headings used herein are for convenience only and shall not be used in construing any term or provision of this Agreement. Recording. This Agreement shall be recorded in the Office of the Recorder of Deeds, Kendall County, Illinois, at the expense of OWNER/DEVELOPER. Recitals and Exhibits. The recitals set forth at the beginning of this Agreement, and the exhibits attached hereto, are incorporated herein by this reference and shall constitute substantive provisions of this Agreement. Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same document. No Moratorium. The CITY shall not limit the number of building or other permits that may be applied for due to any CITY imposed moratorium and shall in no event unreasonably withhold approval of said permits. Nothing contained herein shall effect any limitations imposed as to sanitary sewer or water main extensions by the Illinois Environmental Protection Agency, or Yorkville-Bristol Sanitary District. Time is of the Essence. Time is of the essence of this Agreement and all documents, agreements, and contracts pursuant hereto as well as all covenants contained in this Agreement shall be performed in a timely manner by all parties hereto. Exculpation. It is agreed that the CITY is not liable or responsible for any restrictions on the CITY's obligations under this Agreement that may be required or imposed by any other governmental bodies or agencies having jurisdiction over the Subject Property, the CITY, the OWNER/DEVELOPER, including, but not limited to, county, state or federal regulatory bodies. 8 IN WITNESS THEREOF, the undersigned have hereunto set their hands and seals this day of May, 2005. UNITED CITY OF YORKVILLE, Kendall County, Illinois By: MAYOR Attest: CITY CLERK OWNER/DEVELOPER: By: Attest: Dated: EXHIBIT A Legal Description EXHIBIT B Final Plat EXHIBIT C Final Landscaping Plans EXHIBIT D Final Engineering EXHIBIT E Statement of Fees EXHIBIT F Landscape Maintenance Guidelines 9 fO o United City of Yorkville Memo : 1 -6 800 Game Farm Road EST - °;_ ins Yorkville, Illinois 60560 Telephone: 630-553-4350 t 11caves 1Tp Fax: 630-553-7575 4CE XV'N Date: May 9, 2005 To: Mayor and City Council From: Lisa Pickering, Clerk's Office Assistant CC: Department Heads Subject: Additional information for City Council packet—May 10, 2005 Attached please find information on the following items: EDC #2a— Swanson Lane Estates Ordinance Authorizing the Execution and EDC #2b— Swanson Lane Estates Ordinance Annexing. Please add this information to your packet. ENC' c�, STATE OF ILLINOIS ) ) ss COUNTY OF KENDALL ) ORDINANCE NO. 2005- AN ORDINANCE AUTHORIZING THE EXECUTION OF AN ANNEXATION AGREEMENT OF SWANSON LANE ESTATES WHEREAS, it is prudent and in the best interest of the UNIIED CITY OF YORKVILLE, Kendall County, Illinois, that a certain Annexation Agreement pertaining to the annexation of real estate described on the Exhibit "A" attached hereto and made a part hereof entered into by the UNITED CITY OF YORKVILLE; and WHEREAS, said Annexation Agreement has been drafted and has been considered by the City Council; and WHEREAS, the legal owners of record of the territory which is the subject of said Agreement are ready, willing and able to enter into said Agreement and to perform the obligations as required hereunder; and WHEREAS, the statutory procedures provided in 65 ILCS 11-15.1.1, as amended, for the execution of said Annexation Agreement has been fully complied with; and Page 1 of 3 WHEREAS,the property is presently contiguous to the City NOW THEREFORE, BE IT ORDAINED BY THE MAYOR AND THE CITY COUNCIL OF THE UNITED CITY OF YORKVILE, KENDALL COUNTY, ILLINOIS, AS FOLLOWS; Section 1: The Mayor and the City Clerk are herewith authorized and directed to execute, on behalf of the City, an Annexation Agreement concerning the annexation of the real estate described therein, a copy of which Annexation Agreement is attached hereto and made a part hereof. Section 2: This ordinance shall be in full force and effect from and after its passage and approval as provided by law. WANDA OHARE JOSEPH BESCO VALERIE BURD PAUL JAMES DEAN WOLFER MARTY MUNNS ROSE SPEARS JASON LESLIE Approved by me, as Mayor of the United City of Yorkville, Kendall County, Illinois, this Day of , A.D. 2005. MAYOR Page 2 of 3 Passed by the City Council of the United City of Yorkville, Kendall County, Illinois this day of , A.D. 2005. ATTEST: CITY CLERK Prepared by: John Justin Wyeth City Attorney United City of Yorkville 800 Game Farm Road Yorkville, IL 60560 Page 3 of 3 Ebe STATE OF ILLINOIS ) ) ss COUNTY OF KENDALL ) ORDINANCE NO. 2005- AN ORDINANCE ANNEXING CERTAIN TERRITORY TO THE UNITED CITY OF YORKVILLE, KENDALL COUNTY, ILLINOIS Swanson Lane Estates WHEREAS, a written petition, signed by the legal owner of record of all land within the territory hereinafter described, has been filed with the City Clerk of the United City of Yorkville, Kendall County, Illinois, requesting that said territory be annexed to the United City of Yorkville; and, WHEREAS, there are no electors residing within the said territory or more than 51% of the electors residing within the territory have joined in the petition; and, WHEREAS, the said territory is not within the corporate limits of any municipality but is contiguous to the United City of Yorkville; and, WHEREAS, legal notices regarding the intention of the United City of Yorkville to annex said territory have been sent to all public bodies required to receive such notices by state statute; and, WHEREAS, copies of such notices required to be recorded, if any, have been recorded in the Office of the Recorder Kendall County, Illinois; and, WHEREAS, the legal owner of record of said territory and the United City of Yorkville have entered into a valid and binding annexation agreement relating to such territory; and, WHEREAS, all petitions, documents, and other necessary legal requirements are in full compliance with the terms of the annexation agreement and with the statutes of the State of Illinois, specifically Section 7-1-8 of the Illinois Municipal Code; and, WHEREAS, it is in the best interests of the United City of Yorkville that the territory be annexed thereto, NOW, THEREFORE, BE IT ORDAINED by the Mayor and City Council of the United City of Yorkville, Kendall County, Illinois, as follows: SECTION 1: The following described territory, That territory described in the Legal Description which is attached hereto and made a part of this Ordinance. said territory also being indicated on an accurate map of the annexed territory(which is attached hereto and made a part of this Ordinance), is hereby annexed to the United City of Yorkville, Kendall County, Illinois. SECTION 2: The City Clerk is hereby directed to record with the Kendall County Recorder and to file with the Kendall County Clerk a certified copy of the Ordinance, together with an accurate map of the territory annexed attached to this Ordinance. SECTION 3: This Ordinance shall be in full force and effect from and after its passage and approval as provided by law. WANDA OHARE JOSEPH BESCO VALERIE BURD PAUL JAMES DEAN WOLFER MARTY MUNNS ROSE SPEARS JASON LESLIE Approved by me, as Mayor of the United City of Yorkville, Kendall County, Illinois, this Day of , A.D. 2005. MAYOR Passed by the City Council of the United City of Yorkville, Kendall County, Illinois this day of , A.D. 2005. ATTEST: CITY CLERK Prepared by: John Justin Wyeth City Attorney United City of Yorkville 800 Game Farm Road Yorkville, IL 60560 I�tiiIN1 / EXTRACT OF MINUTES of a regular public meeting of the City Council of the United City of Yorkville, Kendall County, Illinois, held at the City Council Chambers of the City Hall, 800 Game Farm Road, Yorkville, Illinois, at 7:00 p.m., on the 10th day of May, 2005. The Mayor called the meeting to order and directed the City Clerk to call the roll. Upon roll call,the following at said location answered present: Arthur F. Prochaska, Jr., Mayor, and Aldermen • The following Aldermen were absent: The Mayor announced that the City Council (the "City Council") would next consider the adoption of an ordinance entitled: AN ORDINANCE authorizing and providing for the issuance of $3,825,000 General Obligation Bonds (Alternate Revenue Source), Series 2005A, of the United City of Yorkville, Kendall County, Illinois, and providing for the imposition of taxes to pay the same. such ordinance being before the City Council in words and figures as follows: 1841881.01.09.B 2128684•TAS•4/20/05 ORDINANCE NUMBER AN ORDINANCE authorizing and providing for the issuance of $3,825,000 General Obligation Bonds (Alternate Revenue Source), Series 2005A, of the United City of Yorkville, Kendall County, Illinois, and providing for the imposition of taxes to pay the same. Adopted by the City Council on the 10th day of May, 2005 TABLE OF CONTENTS SECTION HEADING PAGE PREAMBLES 1 SECTION 1. DEFINITIONS 4 SECTION 2. INCORPORATION OF PREAMBLES 7 SECTION 3. AUTHORIZATION 7 SECTION 4. DETERMINATION TO ISSUE BONDS 7 SECTION 5. BOND DETAILS 7 SECTION 6. REDEMPTION 9 SECTION 7. EXECUTION; AUTHENTICATION 12 SECTION 8. REGISTRATION OF BONDS; PERSONS TREATED AS OWNERS; GLOBAL BOOK-ENTRY SYSTEM 13 SECTION 9. FORM OF BOND 16 SECTION 10. TREATMENT OF BONDS AS DEBT 24 SECTION 11. INVESTMENTS 24 SECTION 12. ALTERNATE BOND FUND 25 SECTION 13. PLEDGED TAXES;TAX LEVY 26 SECTION 14. FILING WITH COUNTY CLERK 27 SECTION 15. ABATEMENT OF PLEDGED TAXES 28 SECTION 16. GENERAL COVENANTS 28 SECTION 17. ADDITIONAL BONDS 30 SECTION 18. DEFEASANCE 30 SECTION 19. SALE OF THE BONDS 31 SECTION 20. USE OF PROCEEDS 31 SECTION 21. GENERAL ARBITRAGE COVENANTS 33 SECTION 22. REGISTERED FORM 34 SECTION 23. THIS ORDINANCE A CONTRACT 34 SECTION 24. CONTINUING DISCLOSURE UNDERTAKING 34 SECTION 25. DUTIES OF BOND REGISTRAR 35 SECTION 26. MUNICIPAL BOND INSURANCE 35 SECTION 27. SEVERABILITY 36 SECTION 28. REPEALER 36 SECTION 29. EFFECTIVE DATE 37 THIS TABLE OF CONTENTS IS FOR CONVENIENCE ONLY AND IS NOT A PART OF THE ORDINANCE. -11- ORDINANCE NUMBER AN ORDINANCE authorizing and providing for the issuance of $3,825,000 General Obligation Bonds (Alternate Revenue Source), Series 2005A, of the United City of Yorkville, Kendall County, Illinois, and providing for the imposition of taxes to pay the same. WHEREAS, the United City of Yorkville, Kendall County, Illinois (the "City"), is a duly organized and existing municipality and unit of local government of the State of Illinois, and is operating under and pursuant to the provisions of the Illinois Municipal Code, and all laws amendatory thereof and supplementary thereto (the "Municipal Code"); and WHEREAS, the City Council of the City (the "Corporate Authorities") has determined that it is advisable, necessary and in the best interests of the City, in order to promote and protect the public health, welfare, safety and convenience of the residents of the City, to pay the costs of funding various road and street improvements within the City (the "Project"); and WHEREAS, the Corporate Authorities have determined and do hereby determine that the Project is a lawful corporate purpose; and WHEREAS, the estimated costs of acquiring, constructing and installing the Project, including engineering, legal, financial, bond discount, printing and publication costs, and other expenses, are $3,825,000; and WHEREAS, there are insufficient funds on hand and lawfully available to pay costs of the Project, and there exists a source of funds, other than enterprise revenues, namely, those taxes imposed by the City upon public utilities pursuant to Section 8-11-2 of the Municipal Code or substitute taxes therefor as provided by the State of Illinois in the future, as authorized to be issued at this time pursuant to the Local Government Debt Reform Act of the State of Illinois, as amended(the "Reform Act"); and WHEREAS, the costs of the Project is expected to be defrayed by up to $3,825,000 of the proceeds of alternate bonds issued pursuant to the Reform Act; and WHEREAS, it is necessary and for the best interests of the City that the Project be undertaken, and in order to raise the funds required for such purpose, it will be necessary for the City to borrow an amount not to exceed $3,825,000 and in evidence thereof to issue alternate bonds, being General Obligation Bonds (Alternate Revenue Source) payable from any revenue source as provided by the Reform Act, in an aggregate principal amount not to exceed $3,825,000, all in accordance with the Reform Act; and WHEREAS, the Corporate Authorities, on the 22nd day of March, 2005, adopted Ordinance Number 2005-_(the "Authorizing Ordinance"), authorizing the issuance of certain Alternate Bonds, being General Obligation Bonds (Alternate Revenue Source) payable from revenue sources as provided by the Reform Act (the "2005A Alternate Bonds"), in an amount not to exceed$3,825,000 for the Project; and WHEREAS, on the _day of March, 2005, the Authorizing Ordinance, which included therein a notice in the statutory form, was published in the Kendall County Record, and an affidavit evidencing the publication of the Authorizing Ordinance and said notice has heretofore been presented to the Corporate Authorities and made a part of the permanent records of the City; and WHEREAS, no petition has ever been filed with the City Clerk, requesting that the question of the issuance of the 2005A Alternate Bonds for the Project be submitted to referendum; and WHEREAS, the Corporate Authorities have been authorized to issue the 2005A Alternate Bonds to the amount of$3,825,000 in accordance with the provisions of the Reform Act and the Authorizing Ordinance; $-0- of such bonds have heretofore been issued by the City; and the Corporate Authorities hereby determine that it is necessary and advisable that there be issued at this time$3,825,000 of the authorized amount; and -2- WHEREAS, the 2005A Alternate Bonds to be issued will be payable from the Pledged Revenues and the Pledged Taxes,both as hereinafter defined; and WHEREAS, the Corporate Authorities hereby determine that the Pledged Revenues will provide in each year to final maturity of the proposed 2005A Alternate Bonds an amount not less than 1.25 times debt service of the proposed 2005A Alternate Bonds, said series of bonds being the only series of alternate bonds payable in part from the Pledged Revenues; and WHEREAS, such determination of the sufficiency of the Pledged Revenues is supported by reference to the most recent audit of the City, for the fiscal year ended April 30, 2004 (the "Audit"), which Audit(i)has been presented to and accepted by the Corporate Authorities, (ii) is now on file with the City Clerk and (iii) is for a fiscal year ending not earlier than 18 months previous to the time of the issuance of the proposed 2005A Alternate Bonds; and WHEREAS, pursuant to and in accordance with the provisions of the Bond Issue Notification Act of the State of Illinois, as amended, the Mayor (the "Mayor"), on the 15th day of March, 2005, executed an Order calling a public hearing (the "Hearing") for the 12th day of April, 2005, concerning the intent of the Corporate Authorities to sell not to exceed $3,825,000 General Obligation Bonds (Alternate Revenue Source); and WHEREAS, notice of the Hearing was given by (i) publication at least once not less than seven (7) nor more than thirty (30) days before the date of the Hearing in the Kendall County Record, the same being a newspaper of general circulation in the City and (ii) posting at least 96 hours before the Hearing a copy of said notice at the principal office of the Corporate Authorities; and WHEREAS, the Hearing was held on the 12th day of April, 2005, and at the Hearing, the Corporate Authorities explained the reasons for the proposed bond issue and permitted persons desiring to be heard an opportunity to present written or oral testimony within reasonable time limits; and -3- WHEREAS, the Hearing was finally adjourned on the 12th day of April, 2005, and not less than seven(7)days have passed since the final adjournment of the Hearing; and WHEREAS, the Property Tax Extension Limitation Law of the State of Illinois, as amended (the "Tax Limitation Law"), imposes certain limitations on the "aggregate extension" of certain property taxes levied by the City, but provides that the definition of "aggregate extension" contained in Section 18-185 of the Tax Limitation Law does not include "extensions ... payments of principal and interest on bonds issued under Section 15 of the Local Government Debt Reform Act"; and WHEREAS, the County Clerk of Kendall County, Illinois (the "County Clerk"), is therefore authorized to extend and collect said direct annual ad valorem tax so levied for the payment of the 2005A Alternate Bonds for the Project without limitation as to rate or amount; Now, THEREFORE, Be It Ordained by the City Council of the United City of Yorkville, Kendall County, Illinois, as follows: Section 1. Definitions. The words and terms used in this Ordinance shall have the meanings set forth and defined for them herein unless the context or use clearly indicates another or different meaning is intended, including the words and terms as follows: "Additional Bonds" means any Alternate Bonds issued in the future in accordance with the provisions of the Reform Act on a parity with and sharing equally in the Pledged Revenues with the Bonds. "Alternate Bonds" means any outstanding Bonds issued as alternate bonds under and pursuant to the provisions of the Reform Act, and includes,expressly,the Bonds. "Applicable Law" means,collectively,the Municipal Code and the Reform Act. -4- "Bond" or "Bonds" or "2005A Alternate Bonds" means one or more, as applica- ble, of the $3,825,000 General Obligation Bonds (Alternate Revenue Source), Series 2005A, authorized to be issued by this Ordinance. "Bond Fund" means the 2005A Alternate Bond Fund established hereunder and further described herein. "Bond Register" means the books of the City kept by the Bond Registrar to evidence the registration and transfer of the Bonds. "Bond Registrar" or "Paying Agent" means The Bank of New York Trust Company, N.A., Chicago, Illinois, a national banking association having trust powers, or a successor bank with trust powers or a trust company, duly authorized to do business as a bond registrar and as paying agent as herein required. "City" means the United City of Yorkville,Kendall County,Illinois. "Code" means the Internal Revenue Code of 1986, as amended. "County Clerk" means the County Clerk of The County of Kendall,Illinois. "Designated Officers" means the Mayor, City Clerk, or Treasurer, or assigns, or any of them acting together. "Expense Fund" means the fund established hereunder and further described herein. "Fiscal Year" means that twelve-calendar month period selected by the Corporate Authorities as the Fiscal Year for the City. "Municipal Code" means the Illinois Municipal Code, as supplemented and amended. "Ordinance" means this ordinance as supplemented or amended from time to time. -5- "Outstanding" or "outstanding" when used with reference to the Bonds and Additional Bonds means such of those bonds which are outstanding and unpaid; provided, however, such term shall not include Bonds or Additional Bonds (i)which have matured and for which moneys are on deposit with proper paying agents or are otherwise sufficiently available to pay all principal thereof and interest thereon or (ii)the provision for payment of which has been made by the City by the deposit in an irrevocable trust or escrow of funds or direct, full faith and credit obligations of the United States of America, the principal of and interest on which will be sufficient to pay at maturity or as called for redemption all the principal of, redemption premium, if any, and interest on such Bonds or Additional Bonds. "Pledged Moneys" means, collectively, Pledged Revenues and Pledged Taxes as both are defined herein. "Pledged Revenues" means those taxes imposed by the City upon public utilities pursuant to Section 8-11-2 of the Municipal Code or substitute taxes therefor as provided by the State of Illinois in the future. "Pledged Taxes" means the ad valorem taxes levied against all of the taxable property in the City without limitation as to rate or amount, pledged hereunder by the City as security for the Bonds. "Project" is defined in the preambles hereto. "Purchase Price"means the price paid for the Bonds, to-wit: $ , plus accrued interest. "Purchaser" means , , Illinois. "Record Date" means the fifteenth day of the month of any regularly scheduled interest payment date. -6- "Reform Act" means the Local Government Debt Reform Act of the State of Illinois, as supplemented and amended. "Tax-exempt" means, with respect to the Bonds, the status of interest paid and received thereon as not includible in the gross income of the owners thereof under the Code for federal income tax purposes except to the extent that such interest is taken into account in computing an adjustment used in determining the alternative minimum tax for certain corporations. "Treasurer" means the Treasurer of the City. Section 2. Incorporation of Preambles. The Corporate Authorities hereby find that the recitals contained in the preambles to this Ordinance are true and correct and do incorporate them into this Ordinance by this reference, and such finding shall be incontestable under the Reform Act as therein provided. Section 3. Authorization. It is hereby found and determined that the Corporate Authorities have been authorized by law to borrow the sum of$3,825,000 upon the credit of the City and as evidence of such indebtedness to issue bonds of the City in said amount, the proceeds of said bonds to be used for the Project, and that it is necessary to borrow $3,825,000 of said authorized sum and issue the Bonds in evidence thereof for purposes of paying costs of the Project, and that it is necessary and for the best interests of the City that there be issued at this time $3,825,000 of the bonds so authorized for the Project. Section 4. Determination to Issue Bonds. It is necessary and in the best interests of the City for the City to undertake the Project for the public health, safety and welfare, and to issue the Bonds to enable the City to pay the costs thereof. Section 5. Bond Details. For the purpose of providing for the payment of the costs of the Project, there shall be issued and sold the Bonds in the principal amount of$3,825,000. The -7- Bonds shall each be designated "General Obligation Bond (Alternate Revenue Source), Series 2005A," and be dated May 1, 2005 (the "Dated Date"), and shall also bear the date of authentication thereof. The Bonds shall be in fully registered form, shall be in denominations of $5,000 or authorized integral multiples thereof (but no single Bond shall represent principal maturing on more than one date), as shall be numbered in such reasonable fashion as may be selected by the Bond Registrar, and shall mature (subject to prior redemption as hereinafter provided) serially on December 30 of the years and in the amounts and shall bear interest at the rates percent per annum as follows: YEAR AMOUNT($) RATE(%) 2006 30,000 2007 160,000 2008 170,000 2009 175,000 2010 185,000 2011 195,000 2012 205,000 2013 215,000 2014 225,000 2015 235,000 2016 250,000 2017 260,000 2018 275,000 2019 290,000 2020 300,000 2021 320,000 2022 335,000 Each Bond shall bear interest from the later of its Dated Date as herein above provided or from the most recent interest payment date to which interest has been paid or duly provided for, until the principal amount of such Bond is paid or duly provided for, such interest (computed upon the basis of a 360-day year of twelve 30-day months) being payable semiannually on each June 30 and December 30, commencing on June 30, 2006. Interest on each Bond shall be paid -8- by check or draft of the Paying Agent,payable upon presentation thereof in lawful money of the United States of America, to the person in whose name such Bond is registered at the close of business on the Record Date. The principal of the Bonds shall be payable in lawful money of the United States of America upon presentation thereof at the principal corporate trust office of the Paying Agent in Chicago,Illinois, or at successor Paying Agent and address. Section 6. Redemption. (a) Optional Redemption. The Bonds maturing on or after December 30, 2015, are subject to redemption prior to maturity at the option of the City as a whole, or in part in any order of maturity determined by the City (less than all of the Bonds of a single maturity to be selected by the Bond Registrar), on June 30, 2015, or on any date thereafter, at the redemption price of par plus accrued interest to the date of redemption. (b) Mandatory Redemption. The Bonds are not subject to mandatory redemption. (c) Redemption Procedure. The Bond Registrar shall proceed with mandatory redemption without further notice or direction from the City. For redemptions at the option of the City,the City shall, at least 45 days prior to the redemption date (unless a shorter time period shall be satisfactory to the Bond Registrar), notify the Bond Registrar of such redemption date and of the principal amount and maturities of Bonds to be redeemed. For purposes of any redemption of less than all of the Bonds of a single maturity, the particular Bonds or portions of Bonds to be redeemed shall be selected by lot not more than 60 days prior to the redemption date by the Bond Registrar for the Bonds of such series and maturity by such method of lottery as the Bond Registrar shall deem fair and appropriate;provided, that such lottery shall provide for the selection for redemption of Bonds or portions thereof so that any $5,000 Bond or $5,000 portion of a Bond shall be as likely to be called for redemption as any other such$5,000 Bond or$5,000 portion. -9- The principal amounts of Bonds to be mandatorily redeemed in each year may be reduced through the earlier optional redemption thereof, with any partial optional redemptions of such Bonds credited against future mandatory redemption requirements in such order of the mandatory redemption dates as the City may determine. In addition, on or prior to the 60th day preceding any mandatory redemption date, the Bond Registrar may, and if directed by the Council shall, purchase Bonds required to be retired on such mandatory redemption date. Any such Bonds so purchased shall be cancelled and the principal amount thereof shall be credited against the mandatory redemption required on such next mandatory redemption date. The Bond Registrar shall promptly notify the City and the Paying Agent in writing of the Bonds or portions of Bonds selected for redemption and, in the case of any Bond selected for partial redemption,the principal amount thereof to be redeemed. Unless waived by the registered owner of Bonds to be redeemed, official notice of any such redemption shall be given by the Bond Registrar on behalf of the City by mailing the redemption notice by first-class mail not less than 30 days and not more than 60 days prior to the date fixed for redemption to each registered owner of the Bond or Bonds to be redeemed at the address shown on the Bond Register or at such other address as is furnished in writing by such registered owner to the Bond Registrar. All official notices of redemption shall include the name of the Bonds and at least the information as follows: (1) the redemption date; (2) the redemption price; (3) if less than all of the Bonds of a single maturity are to be redeemed, the identification (and, in the case of partial redemption of any Bonds, the respective principal amounts) of the Bonds to be redeemed; -10- (4) a statement that on the redemption date the redemption price will become due and payable upon each such Bond or portion thereof called for redemption and that interest thereon shall cease to accrue from and after said date;and (5) the place where such Bonds are to be surrendered for payment of the redemption price, which place of payment shall be the principal corporate trust business office of the Paying Agent. Prior to any redemption date, the City shall deposit with the Paying Agent an amount of money sufficient to pay the redemption price of all the Bonds or portions of Bonds which are to be redeemed on that date. Official notice of redemption having been given as aforesaid, the Bonds or portions of Bonds so to be redeemed shall, on the redemption date, become due and payable at the redemption price therein specified, and from and after such date (unless the City shall default in the payment of the redemption price), such Bonds or portions of Bonds shall cease to bear interest. Neither the failure to mail such redemption notice, nor any defect in any notice so mailed,to any particular registered owner, shall affect the sufficiency of such notice with respect to other Bonds. Notice having been properly given, failure of a registered owner to receive such notice shall not be deemed to invalidate, limit or delay the effect of the notice or redemption action described in the notice. Such notice may be waived in writing by the registered owner entitled to receive such notice, either before or after the event, and such waiver shall be the equivalent of such notice. Waivers of notice by registered owners shall be filed with the Bond Registrar,but such filing shall not be a condition precedent to the validity of any action taken in reliance upon such waiver. Upon surrender of such Bonds for redemption in accordance with said notice, such Bonds shall be paid by the Paying Agent at the redemption price. The procedure for payment of interest due on or prior to the redemption date shall be as herein provided for payment of interest otherwise due. Upon surrender for any partial redemption of any Bond, there shall be prepared for the registered owner a new Bond or Bonds of like tenor, of authorized denominations, of the -11- same maturity and bearing the same rate of interest in the amount of the unpaid principal. If any Bond or portion of Bond called for redemption shall not be so paid upon surrender thereof for redemption, the principal shall, until paid or duly provided for,bear interest from the redemption date at the rate borne by the Bond or portion of Bond so called for redemption. All Bonds which have been redeemed shall be cancelled and destroyed by the Bond Registrar and shall not be reissued. Section 7. Execution; Authentication. The Bonds shall be executed on behalf of the City with the manual or facsimile signature of the Mayor and attested with the manual or facsimile signature of the City Clerk, as they may determine, and shall have impressed or imprinted thereon the corporate seal or facsimile thereof of the City. In case any officer whose signature shall appear on any Bond shall cease to be such officer before the delivery of such Bond, such signature shall nevertheless be valid and sufficient for all purposes, the same as if such officer had remained in office until delivery. All Bonds shall have thereon a certificate of authentication substantially in the form hereinafter set forth duly executed by the Bond Registrar as authenticating agent of the City and showing the date of authentication. No Bond shall be valid or obligatory for any purpose or be entitled to any security or benefit under this Ordinance unless and until such certificate of authentication shall have been duly executed by the Bond Registrar by manual signature, and such certificate of authentication upon any such Bond shall be conclusive evidence that such Bond has been authenticated and delivered under this Ordinance. The certificate of authentication on any Bond shall be deemed to have been executed by it if signed by an authorized officer of the Bond Registrar, but it shall not be necessary that the same officer sign the certificate of authentication on all of the Bonds issued hereunder. -12- Section 8. Registration of Bonds; Persons Treated as Owners; Global Book-Entry System. (a) General. The City shall cause books for the registration and for the transfer of the Bonds as provided in this Ordinance to be kept at the principal corporate trust office of the Bond Registrar, which is hereby constituted and appointed the registrar of the City for this issue. The City is authorized to prepare, and the Bond Registrar shall keep custody of,multiple Bond blanks executed by the City for use in the transfer and exchange of Bonds. Upon surrender for transfer of any Bond at the principal corporate trust office of the Bond Registrar, duly endorsed by, or accompanied by a written instrument or instruments of transfer in form satisfactory to the Bond Registrar and duly executed by the registered owner or his attorney duly authorized in writing, the City shall execute and the Bond Registrar shall authenticate, date and deliver in the name of the transferee or transferees a new fully registered Bond or Bonds of the same maturity of authorized denominations, for a like aggregate principal amount. Any fully registered Bond or Bonds may be exchanged at said office of the Bond Registrar for a like aggregate principal amount of Bond or Bonds of the same maturity of other authorized denominations. The execution by the City of any fully registered Bond shall constitute full and due authorization of such Bond and the Bond Registrar shall thereby be authorized to authenticate, date and deliver such Bond;provided, however, the principal amount of outstanding Bonds of each maturity authenticated by the Bond Registrar shall not exceed the authorized principal amount of Bonds for such maturity less previous retirements. The Bond Registrar shall not be required to transfer or exchange any Bond during the period from the close of business on the 15th day of the month of any interest payment date on the Bonds, nor to transfer or exchange any Bond after notice calling such Bond for redemption has been mailed, nor during a period of fifteen (15) days next preceding mailing of a notice of redemption of any Bonds. -13- The person in whose name any Bond shall be registered shall be deemed and regarded as the absolute owner thereof for all purposes, and payment of the principal of or interest on any Bond shall be made only to or upon the order of the registered owner thereof or his legal representative. All such payments shall be valid and effectual to satisfy and discharge the liability upon such Bond to the extent of the sum or sums so paid. No service charge shall be made for any transfer or exchange of Bonds, but the City or the Bond Registrar may require payment of a sum sufficient to cover any tax or other governmental charge that may be imposed in connection with any transfer or exchange of Bonds, except in the case of the issuance of a Bond or Bonds for the unredeemed portion of a Bond surrendered for redemption. (b) Global Book-Entry System. The Bonds shall be initially issued in the form of a separate single fully registered Bond for each of the maturities of the Bonds determined as described in Section 5 hereof. Upon initial issuance, the ownership of each such Bond shall be registered in the Bond Register in the name of Cede &Co., or any successor thereto("Cede"), as nominee of The Depository Trust Company, New York, New York, and its successors and assigns ("DTC"). All of the outstanding Bonds shall be registered in the Bond Register in the name of Cede, as nominee of DTC, except as hereinafter provided. The Mayor, City Clerk and Treasurer and the Bond Registrar are each authorized to execute and deliver, on behalf of the City, such letters to or agreements with DTC as shall be necessary to effectuate such book-entry system (any such letter or agreement being referred to herein as the "Representation Letter"), which Representation Letter may provide for the payment of principal of or interest on the Bonds by wire transfer. With respect to Bonds registered in the Bond Register in the name of Cede, as nominee of DTC, the City and the Bond Registrar shall have no responsibility or obligation to any broker- -14- dealer, bank or other financial institution for which DTC holds Bonds from time to time as securities depository (each such broker-dealer, bank or other financial institution being referred to herein as a "DTC Participant") or to any person on behalf of whom such a DTC Participant holds an interest in the Bonds. Without limiting the immediately preceding sentence, the City and the Bond Registrar shall have no responsibility or obligation with respect to (i) the accuracy of the records of DTC, Cede or any DTC Participant with respect to any ownership interest in the Bonds, (ii)the delivery to any DTC Participant or any other person, other than a registered owner of a Bond as shown in the Bond Register, of any notice with respect to the Bonds, including any notice of redemption, or(iii)the payment to any DTC Participant or any other person, other than a registered owner of a Bond as shown in the Bond Register, of any amount with respect to the principal of or interest on the Bonds. The City and the Bond Registrar may treat and consider the person in whose name each Bond is registered in the Bond Register as the holder and absolute owner of such Bond for the purpose of payment of principal and interest with respect to such Bond, for the purpose of giving notices of redemption and other matters with respect to such Bond, for the purpose of registering transfers with respect to such Bond, and for all other purposes whatsoever. The Bond Registrar shall pay all principal of and interest on the Bonds only to or upon the order of the respective registered owners of the Bonds, as shown in the Bond Register, or their respective attorneys duly authorized in writing, and all such payments shall be valid and effective to fully satisfy and discharge the City's obligations with respect to payment of the principal of and interest on the Bonds to the extent of the sum or sums so paid. No person other than a registered owner of a Bond as shown in the Bond Register, shall receive a Bond evidencing the obligation of the City to make payments of principal and interest with respect to any Bond. Upon delivery by DTC to the Bond Registrar of written notice to the effect that DTC has determined to substitute a new nominee in place of Cede, and subject to the provisions in -15- Section 5 hereof with respect to the payment of interest to the registered owners of Bonds at the close of business on the 15th day of the month of the applicable interest payment date, the name "Cede" in this Ordinance shall refer to such new nominee of DTC. In the event that (i) the City determines that DTC is incapable of discharging its responsibilities described herein and in the Representation Letter, (ii)the agreement among the City, the Bond Registrar and DTC evidenced by the Representation Letter shall be terminated for any reason or (iii)the City determines that it is in the best interests of the beneficial owners of the Bonds that they be able to obtain certificated Bonds, the City shall notify DTC and DTC Participants of the availability through DTC of certificated Bonds and the Bonds shall no longer be restricted to being registered in the Bond Register in the name of Cede, as nominee of DTC. At that time, the City may determine that the Bonds shall be registered in the name of and deposited with such other depository operating a universal book-entry system, as may be acceptable to the City, or such depository's agent or designee, and if the City does not select such alternate universal book-entry system, then the Bonds may be registered in whatever name or names registered owners of Bonds transferring or exchanging Bonds shall designate, in accordance with the provisions of Section 8(a)hereof. Notwithstanding any other provisions of this Ordinance to the contrary, so long as any Bond is registered in the name of Cede, as nominee of DTC, all payments with respect to principal of and interest on such Bond and all notices with respect to such Bond shall be made and given,respectively,in the name provided in the Representation Letter. Section 9. Form of Bond. The Bonds shall be in substantially the form hereinafter set forth;provided, however, that if the text of the Bonds is to be printed in its entirety on the front side of the Bonds, then the second paragraph on the front side and the legend"See Reverse Side -16- for Additional Provisions" shall be omitted and the text of paragraphs set forth for the reverse side shall be inserted immediately after the first paragraph. -17- [Form of Bond-Front Side] REGISTERED REGISTERED No. $ UNITED STATES OF AMERICA STATE OF ILLINOIS COUNTY OF KENDALL UNITED CITY OF YORKVILLE GENERAL OBLIGATION BOND (ALTERNATE REVENUE SOURCE) SERIES 2005A See Reverse Side for Additional Provisions Interest Maturity Dated Rate: Date: December 30, Date: May 1, 2005 CUSIP: Registered Owner: CEDE&Co. Principal Amount: Dollars KNOW ALL PERSONS BY THESE PRESENTS that the United City of Yorkville, Kendall County, Illinois, a municipality and unit of local government and political subdivision of the State of Illinois (the "City"), hereby acknowledges itself to owe and for value received promises to pay to the Registered Owner identified above,or registered assigns as hereinafter provided, on the Maturity Date identified above, the Principal Amount identified above and to pay interest (computed on the basis of a 360-day year of twelve 30-day months) on such Principal Amount from the later of the Dated Date of this Bond identified above or from the most recent interest payment date to which interest has been paid or duly provided for at the Interest Rate per annum identified above, such interest to be payable semiannually on June 30 and December 30 of each year, commencing on June 30, 2006, until the Principal Amount is paid or duly provided for. The Principal Amount of this Bond is payable in lawful money of the United States of America upon presentation at the principal corporate trust office of The Bank of New York Trust -18- Company, N.A., Chicago, Illinois, as paying agent and bond registrar (the "Paying Agent" or "Bond Registrar"). Payment of interest shall be made to the Registered Owner hereof, as shown on the registration books of the City maintained by Bond Registrar at the close of business on the Record Date. The Record Date shall be the 15th day of the month of any regular or other interest payment date occurring on the 30th day of any month and 15 days preceding any interest payment date occasioned by the redemption of Bonds on other than the 30th day of a month. Interest shall be paid by check or draft of the Paying Agent, payable upon presentation in lawful money of the United States of America, mailed to the address of such Registered Owner as it appears on such registration books or at such other address furnished in writing by such Registered Owner to the Bond Registrar. g g verse Reference is hereby made to the further provisions of this Bond set forth on the reverse hereof, and such furtherP rovisions shall for all purposes have the same effect as if set forth at this place. It is hereby certified and recited that all acts, conditions and things required to be done precedent to and in the issuance of this Bond have been done and have happened and have been performed in regular and due form of law; that the indebtedness of the City, including the issue of Bonds of which this is one,does not exceed any limitation imposed by law, unless the Pledged Taxes shall have been extended pursuant to the general obligation full faith and credit promise supporting the Bonds, in which case the amount of the Bonds then outstanding shall be included in the computation of indebtedness of the City for purposes of all statutory provisions or limitations until such time as an audit of the City shall show that the Bonds have been paid from the Pledged Revenues for a complete Fiscal Year; that provision has been made for the collection of the Pledged Revenues,the levy and collection of the Pledged Taxes, and the segregation of the Pledged Moneys to pay the interest hereon as it falls due and also to pay and discharge the -19- principal hereof at maturity; and that the City hereby covenants and agrees that it will properly account for said Pledged Moneys and will comply with all the covenants of and maintain the funds and accounts as provided by the Ordinance. For the prompt payment of this Bond, both principal and interest at maturity, the full faith, credit and resources of the City are hereby irrevocably pledged. This Bond shall not be valid or become obligatory for any purpose until the certificate of authentication hereon shall have been signed by the Bond Registrar. -20- IN WITNESS WHEREOF, the United City of Yorkville, Kendall County, Illinois,by its City Council, has caused this Bond to be executed with the manual or duly authorized facsimile signature of its Mayor and attested by the manual or duly authorized facsimile signature of its City Clerk and its corporate seal or a facsimile thereof to be impressed or reproduced hereon, all as appearing hereon and as of the Dated Date identified above. Mayor,United City of Yorkville, Kendall County,Illinois A n1'EST: City Clerk,United City of Yorkville, Kendall County,Illinois [SEAL] CERTIFICATE OF AUTHENTICATION Date of Authentication: This Bond is one of the Bonds described in the within-mentioned Ordinance and is one of the General Obligation Bonds (Alternate Revenue Source), Series 2005A, of the United City of Yorkville,Kendall County, Illinois. THE BANK OF NEW YORK TRUST COMPANY,N.A., Chicago,Illinois, as Bond Registrar By: Authorized Signer -21- [Form of Bond-Reverse Side] UNITED CITY OF YORKVILLE,KENDALL COUNTY,ILLINOIS GENERAL OBLIGATION BOND (ALTERNATE REVENUE SOURCE) SERIES 2005A This bond and the bonds of the series of which it forms a part ("Bond" and "Bonds" respectively) are of an authorized issue of Three Million Eight Hundred and Twenty-Five Thousand Dollars ($3,825,000) of like dated date and tenor except as to maturity and rate of interest, and are issued pursuant to the Illinois Municipal Code, as amended (the "Municipal Code"), the Local Government Debt Reform Act, as amended, and all acts of the General Assembly of the State of Illinois, and as supplemented and amended (collectively, the "Applicable Law"),for the purpose of financing various road and street improvements within the City (the "Project"), as more fully described in the Ordinance as herein below defined. The Bonds are issued pursuant to an ordinance adopted by the City Council of the City on the 10th day of May, 2005 (the "Ordinance"), to which reference is hereby expressly made for further definitions and terms and to all the provisions of which the Registered Owner by the acceptance of this Bond assents. The Bonds are payable from means those taxes imposed by the City upon public utilities pursuant to Section 8-11-2 of the Municipal Code or substitute taxes therefor as provided by the State of Illinois in the future (the "Pledged Revenues"). The Bonds are also payable from ad valorem taxes levied against all of the taxable property in the City without limitation as to rate or amount (the "Pledged Taxes") (the Pledged Revenues and the Pledged Taxes being collectively called the "Pledged Moneys"), all in accordance with the provisions of the Applicable Law. The City reserves the right to issue Additional Bonds without limit from time to time payable from -22- the Pledged Revenues, and any such Additional Bonds shall share ratably and equally in the Pledged Revenues with the Bonds;provided, however, that no Additional Bonds shall be issued except in accordance with Applicable Law. Under the Applicable Law and the Ordinance, available Pledged Revenues shall be deposited into and segregated in the Pledged Revenues Account of the 2005A Alternate Bond Fund, and the Pledged Taxes shall be deposited into and segregated in the General Account of the 2005A Alternate Bond Fund, each as created by the Ordinance. Moneys on deposit in said Accounts shall be used and are pledged for paying the principal of and interest on the Bonds and for any further purposes in the priority of lien and as provided by the terms of the Ordinance. The Bonds may be subject to optional redemption as set forth in the Ordinance. Notice of any such redemption shall be given by the Bond Registrar on behalf of the City as set forth in the Ordinance. This Bond may be transferred or exchanged, but only in the manner, subject to the limitations, and upon payment of the charges as set forth in the Ordinance. The City, the Paying Agent and the Bond Registrar may deem and treat the Registered Owner hereof as the absolute owner hereof for the purpose of receiving payment of or on account of principal hereof and interest due hereon and for all other purposes, and neither the City,the Paying Agent nor the Bond Registrar shall be affected by any notice to the contrary. -23- ASSIGNMENT FOR VALUE RECEIVED the undersigned sells, assigns and transfers unto [Identifying Numbers] (Name and Address of Assignee) the within Bond and does hereby irrevocably constitute and appoint as attorney to transfer the said Bond on the books kept for registration thereof with full power of substitution in the premises. Dated: Signature guaranteed: NOTICE: The signature to this transfer and assignment must correspond with the name of the Registered Owner as it appears upon the face of the within Bond in every particular, without alteration or enlargement or any change whatever. Section 10. Treatment of Bonds as Debt. The Bonds shall be payable from the Pledged Moneys and shall not constitute an indebtedness of the City within the meaning of any constitutional or statutory limitation, unless the Pledged Taxes shall have been extended pursuant to the general obligation, full faith and credit promise supporting the Bonds, as set forth herein, in which case the amount of the Bonds then Outstanding shall be included in the computation of indebtedness of the City for purposes of all statutory provisions or limitations until such time as an audit of the City shall show that the Bonds have been paid from the Pledged Revenues for a complete Fiscal Year, in accordance with the Reform Act. Section 11. Investments. Moneys on deposit in and to the credit of the Bond Fund shall be invested by the Treasurer, but only in investments then permitted under Illinois law. Such -24- investments shall mature or be subject to redemption at the option of the holder thereof prior to the time when needed and may be sold from time to time by the Treasurer as funds may be needed for the purpose for which said Subaccount has been created. After making provision for the payment of any amount of excess arbitrage profits, as provided in the Code, attributable to investment earnings or profits to any hereinafter created Rebate Fund for the Outstanding Bonds, all earnings or profit on any funds so invested in the Bond Fund shall be retained therein. Moneys in the Bond Fund shall be invested by the Treasurer, if necessary, in investments restricted as to yield, which investments may be in United States Treasury Obligations—State and Local Government Series, if available, and to such end the Treasurer shall refer to any investment restrictions covenanted by the City or any Designated Officer thereof as part of the transcript of proceedings for the issuance of the Bonds, and to appropriate opinions of counsel. Section 12. Alternate Bond Fund. There is hereby created a special fund of the City, which fund shall be held by the Treasurer separate and apart from all other funds and accounts of the City and be known as the"2005A Alternate Bond Fund" (the "Bond Fund"). The purpose of the Bond Fund is to provide a fund to receive and disburse the Pledged Revenues and to receive and disburse Pledged Taxes for any (or all) of the Bonds. There are hereby created two accounts of the Bond Fund, designated the Pledged Revenues Account and the General Account. All Pledged Revenues shall be deposited to the Pledged Revenues Account, and all Pledged Taxes shall be deposited to the credit of the General Account. The Bond Fund and its respective accounts constitute a trust fund established for the purpose of carrying out the covenants, terms and conditions imposed upon the City by this Ordinance. Any Pledged Taxes received by the City shall promptly be deposited into the Pledged Taxes Account of the Bond Fund. Pledged Taxes on deposit to the credit of the Pledged Taxes Account shall be fully spent to pay the principal of and interest on the Bonds for which such -25- taxes were levied and collected prior to use of any moneys on deposit in the Pledged Revenues Account of the Bond Fund. There shall be credited to the Pledged Revenues Account of the Bond Fund and held, in cash and investments, on or before the first day of each month by the financial officer of the City, without any further official action or direction, the Pledged Revenues. Each monthly deposit shall be a fractional amount of the interest becoming due on the next succeeding interest payment date on all Bonds and also a fractional amount of the principal becoming due on the next succeeding maturity date of all of the Bonds until there shall have been accumulated and held, in cash and investments, in the Pledged Revenues Account on or before the month preceding such maturity date of interest or maturity date of principal, an amount sufficient to pay such principal or interest,or both. In computing the fractional amount to be set aside each month in the Pledged Revenues Account, the fraction shall be so computed that a sufficient amount will be set aside in said Account and will be available for the prompt payment of such principal of and interest on all Bonds and shall be not less than one-sixth of the interest becoming due on the succeeding interest payment date and not less than one-twelfth of the principal becoming due on the next succeeding principal payment date on all Bonds outstanding until there is sufficient money in said Account to pay such principal or interest, or both. Credits to the Pledged Revenues Account need not be made at such time as there shall be a sufficient sum, held in cash and investments, in said Account to meet principal and interest requirements in said Account on the next two (2) succeeding debt service payment dates on the Bonds outstanding. Section 13. Pledged Taxes; Tax Levy. The Bonds are Alternate Bonds. For the purpose of providing funds to pay the principal of and interest on the Bonds, and as provided in -26- Section 15 of the Reform Act, there is hereby levied upon all of the taxable property within the City, in the years for which any of the Bonds are Outstanding, a direct annual tax for each of the years while the Bonds or any of them are Outstanding, in amounts sufficient for that purpose, and there be and there hereby is levied upon all of the taxable property in the City the direct annual taxes in the amounts as follows (the "Pledged Taxes"): YEAR AMOUNT 2005 $ for interest up to and including December 30, 2006 2006 $ for interest and principal 2007 $ for interest and principal 2008 $ for interest and principal 2009 $ for interest and principal 2010 $ for interest and principal 2011 $ for interest and principal 2012 $ for interest and principal 2013 $ for interest and principal 2014 $ for interest and principal 2015 $ for interest and principal 2016 $ for interest and principal 2017 $ for interest and principal 2018 $ for interest and principal 2019 $ for interest and principal 2020 $ for interest and principal 2021 $ for interest and principal Following any extension of Pledged Taxes, interest or principal coming due at any time when there are insufficient funds on hand from the Pledged Taxes to pay the same shall be paid promptly when due from current funds on hand in advance of the collection of the Pledged Taxes herein levied; and when the Pledged Taxes shall have been collected, reimbursement shall be made to said funds in the amount so advanced. Section 14. Filing with County Clerk. After this Ordinance becomes effective, a copy hereof, certified by the City Clerk, shall be filed with the County Clerk. The County Clerk shall in and for each of the years required ascertain the rate percent required to produce the aggregate -27- Pledged Taxes hereinbefore levied in each of said years; and the County Clerk shall extend the same for collection on the tax books in connection with other taxes levied in said years in and by the City for general corporate purposes of the City; and in said years the Pledged Taxes shall be levied and collected by and for and on behalf of the City in like manner as taxes for general corporate purposes of the City for said years are levied and collected, and in addition to and in excess of all other taxes. The Pledged Taxes are hereby irrevocably pledged to and shall be used only for the purpose of paying principal of and interest on the Bonds. Section 15. Abatement of Pledged Taxes. As provided in the Applicable Law and upon the terms and conditions set forth herein, whenever the Pledged Revenues shall have been determined by the Treasurer to provide in any calendar year an amount not less than 1.00 times debt service of all outstanding Bonds in the next succeeding Bond Year (June 30 and December 30) and whenever the Pledged Revenues have been deposited in the Pledged Revenues Account of the Bond Fund in an amount sufficient to pay debt service on all Outstanding Bonds in the next succeeding Bond Year, the Treasurer shall, prior to the time the Pledged Taxes levied in such calendar year are extended, direct the abatement of the Pledged Taxes, and proper notification of such abatement shall be filed with the County Clerk in a timely manner to effect such abatement. Section 16. General Covenants. The City covenants and agrees with the registered owners of the Bonds, so long as any Bonds remain Outstanding, as follows: A. The City pledges the Pledged Revenues to the payment of the Bonds, and the Corporate Authorities covenant and agree to provide for, collect and apply Pledged Revenues, or any combination thereof, to the payment of the Bonds payable from such Pledged Revenues as hereinabove provided and the provision of not less than an additional .25 times debt service. The determination of the sufficiency of the Pledged -28- Revenues pursuant to this subsection (A) shall be supported by reference to the most recent audit of the City, and the reference to and acceptance of such audit by the Corporate Authorities shall be conclusive evidence that the conditions of Section 15 of the Reform Act have been met. B. The City will punctually pay or cause to be paid from the Bond Fund the principal of and interest on the Bonds in strict conformity with the terms of the Bonds and this Ordinance, and it will faithfully observe and perform all of the conditions, covenants and requirements thereof and hereof. C. The City will pay and discharge, or cause to be paid and discharged, from the Bond Fund any and all lawful claims which, if unpaid, might become a lien or charge upon the Pledged Moneys, or any part thereof, or upon any funds in the hands of the Paying Agent, or which might impair the security of the Bonds. Nothing herein contained shall require the City to make any such payment so long as the City in good faith shall contest the validity of said claims. D. The City will keep, or cause to be kept, proper books of record and accounts, separate from all other records and accounts of the City,in which complete and correct entries shall be made of all transactions relating to the Pledged Moneys and the Bond Fund. E. The City will preserve and protect the security of the Bonds and the rights of the registered owners of the Bonds, and will warrant and defend their rights against all claims and demands of all persons. From and after the sale and delivery of any of the Bonds by the City, the Bonds shall be incontestable by the City. F. The City will adopt, make, execute and deliver any and all such further ordinances, resolutions, instruments and assurances as may be reasonably necessary or -29- proper to carry out the intention of, or to facilitate the performance of, this Ordinance, and for the better assuring and confirming unto the registered owners of the Bonds of the rights and benefits provided in this Ordinance. G. As long as any Bonds are Outstanding, the City will continue to deposit and apply the Pledged Revenues and, if applicable, the Pledged Taxes as provided herein. The City covenants and agrees with the purchasers of the Bonds and with the registered owners thereof that so long as any Bonds remain Outstanding, the City will take no action or fail to take any action which in any way would adversely affect the ability of the City to levy the Pledged Taxes and to collect and to segregate the Pledged Moneys. The City and its officers will comply with all present and future applicable laws in order to assure that the Pledged Taxes can be levied and extended and that the Pledged Revenues and the Pledged Taxes may be collected and deposited into the Bond Fund, as provided herein. H. The Outstanding Bonds shall be and forever remain until paid or defeased the general obligation of the City, for the payment of which its full faith and credit are pledged, and shall be payable, in addition to from the Pledged Revenues, as herein provided,from the levy of the Pledged Taxes as provided in the Reform Act. Section 17. Additional Bonds. The City reserves the right to issue Additional Bonds from time to time payable from the Pledged Revenues, and any such Additional Bonds shall share ratably and equally in the Pledged Revenues with the Bonds;provided, however, that no Additional Bonds shall be issued except upon compliance with the provisions of the Reform Act as the Reform Act is written at this time. Section 18. Defeasance. Bonds which are no longer Outstanding Bonds as defined in this Ordinance shall cease to have any lien on or right to receive or be paid from Pledged Moneys and shall no longer have the benefits of any covenant for the registered owners of -30- Outstanding Bonds as set forth herein as such relates to lien and security of the Bonds in the Pledged Moneys. Section 19. Sale of the Bonds. The Bonds hereby authorized shall be sold and executed as in this Ordinance provided as soon after the passage hereof as may be, and thereupon be deposited with the Treasurer, and be by said Treasurer delivered to the Purchaser,upon receipt of the Purchase Price. The contract for the sale of the Bonds presented to the Corporate Authorities at this time is hereby approved and confirmed, it being hereby found and determined that said contract is in the best interests of the City and that no person holding an office of the City either by election or appointment, is in any manner financially interested, either directly in his own name or indirectly in the name of any other person, association, trust or corporation, in said contract for the purchase of the Bonds. The Designated Officers are hereby authorized to execute such additional certificates, agreements and contracts, including, specifically, a tax exemption certificate and agreement, as shall be reasonably and customarily necessary to effectuate the sale of the Bonds. The use by the Purchaser of any Preliminary Official Statement and any final Official Statement relating to the Bonds is hereby ratified, approved and authorized; the execution and delivery of said final Official Statement is hereby authorized; and the officers of the Corporate Authorities are hereby authorized to take any action as may be required on the part of the City to consummate the transactions contemplated by the Purchase Contract, this Ordinance, said Preliminary Official Statement, said final Official Statement and the Bonds. Section 20. Use of Proceeds. The proceeds derived from the sale of the Bonds shall be used as follows: -31- A. Accrued interest [and capitalized interest in the amount of $ ] shall be credited to the Pledged Revenues Account of the Bond Fund and applied to pay first interest due on the Bonds. B. The amount necessary of the proceeds of the Bonds shall be deposited into a separate fund, hereby created, designated the "Expense Fund" to be used to pay expenses of issuance of Bonds. Disbursements from such fund shall be made from time to time by the Treasurer without further action of the Corporate Authorities. Any excess in said fund shall be deposited into the Pledged Revenues Account of the Bond Fund after six months from the date of issuance of the Bonds. C. The balance of the proceeds derived from the sale of the Bonds shall be deposited into a separate fund, hereby created and known as the "2005A Capital Project Fund" (the "Project Fund"). Disbursements from the Project Fund shall be made by the Treasurer only upon presentation by the engineer in responsible charge of the Project of customary lien waivers and related documentation. Upon the completion of the Project or the depletion of the Project Fund, whichever shall first occur, the engineer shall provide and the Treasurer shall forthwith transmit to the Corporate Authorities a certification evidencing the completion of the Project or the depletion of the Project Fund, as appropriate, and the Project Fund shall be closed. In the event that funds shall remain in the Project Fund upon the transmittal of such certification, all such funds shall be transferred to the Pledged Revenues Account of the Bond Fund and shall be used to pay principal of and interest on the Bonds. Moneys to the credit of and on deposit in the Project Fund may be invested by the Treasurer with no further official action or direction by the Corporate Authorities in lawful investments as at the time permitted under Illinois law. -32- Section 21. General Arbitrage Covenants. The City hereby covenants that it will not take any action, omit to take any action or permit the taking or omission of any action within its control (including, without limitation, making or permitting any use of the proceeds of the Bonds) if taking, permitting or omitting to take such action would cause any of the Bonds to be an arbitrage bond or a private activity bond within the meaning of the Code or would otherwise cause the interest on the Bonds to be included in the gross income of the recipients thereof for federal income tax purposes. The City acknowledges that, in the event of an examination by the Internal Revenue Service of the exemption from Federal income taxation for interest paid on the Bonds, under present rules, the City is treated as the "taxpayer" in such examination and agrees that it will respond in a commercially reasonable manner to any inquiries from the Internal Revenue Service in connection with such an examination. The City also agrees and covenants with the purchasers and holders of the Bonds from time to time outstanding that, to the extent possible under Illinois law, it will comply with whatever federal tax law is adopted in the future which applies to the Bonds and affects the tax- exempt status of the Bonds. The Corporate Authorities hereby authorize the officials of the City responsible for issuing the Bonds, the same being the Mayor, City Clerk and Treasurer, to make such further covenants and certifications as may be necessary to assure that the use thereof will not cause the Bonds to be arbitrage bonds and to assure that the interest on the Bonds will be exempt from federal income taxation. In connection therewith, the City and the Corporate Authorities further agree: (a)through their officers,to make such further specific covenants,representations as shall be truthful, and assurances as may be necessary or advisable; (b) to consult with counsel approving the Bonds and to comply with such advice as may be given; (c) to pay to the United States, as necessary, such sums of money representing required rebates of excess arbitrage -33- profits relating to the Bonds; (d) to file such forms, statements, and supporting documents as may be required and in a timely manner; and (e) if deemed necessary or advisable by their officers,to employ and pay fiscal agents,financial advisors, attorneys, and other persons to assist the City in such compliance. Section 22. Registered Form. The City recognizes that Section 149 of the Code requires the Bonds to be issued and to remain in fully registered form in order to be and remain Tax-exempt. In this connection, the City agrees that it will not take any action to permit the Bonds to be issued in,or converted into,bearer or coupon form. Section 23. This Ordinance a Contract. The provisions of this Ordinance shall constitute a contract between the City and the registered owners of the Bonds, in accordance with the terms hereof; and no changes, additions or alterations of any kind shall be made hereto. Section 24. Continuing Disclosure Undertaking. The Mayor or Treasurer is hereby authorized, empowered and directed to execute and deliver the Continuing Disclosure Undertaking (the "Continuing Disclosure Undertaking") in substantially the same form as now before the Corporate Authorities, or with such changes therein as the individual executing the Continuing Disclosure Undertaking on behalf of the City shall approve, the official's execution thereof to constitute conclusive evidence of the approval of such changes. When the Continuing Disclosure Undertaking is executed and delivered on behalf of the City as herein provided, the Continuing Disclosure Undertaking will be binding on the City and the officers, employees and agents of the City, and the officers, employees and agents of the City are hereby authorized, empowered and directed to do all such acts and things and to execute all such documents as may be necessary to carry out and comply with the provisions of the Continuing Disclosure Undertaking as executed. Notwithstanding any other provision of this Ordinance, the sole remedies for failure to comply with the Continuing Disclosure Undertaking shall be the ability of -34- the beneficial owner of any Bond to seek mandamus or specific performance by court order, to cause the City to comply with its obligations under the Continuing Disclosure Undertaking. Section 25. Duties of Bond Registrar. If requested by the Bond Registrar, the Mayor and City Clerk are authorized to execute the Bond Registrar's standard form of agreement between the City and the Bond Registrar with respect to the obligations and duties of the Bond Registrar hereunder which may include the following: (a) to act as bond registrar,authenticating agent,paying agent and transfer agent as provided herein; (b) to maintain a list of Bondholders as set forth herein and to furnish such list to the City upon request,but otherwise to keep such list confidential; (c) to give notice of redemption of Bonds as provided herein; (d) to cancel and/or destroy Bonds which have been paid at maturity or upon earlier redemption or submitted for exchange or transfer; (e) to furnish the City at least annually a certificate with respect to Bonds cancelled and/or destroyed; and (f) to furnish the City at least annually an audit confirmation of Bonds paid, Bonds outstanding and payments made with respect to interest on the Bonds. Section 26. Municipal Bond Insurance. In the event the payment of principal and interest on the Bonds is insured pursuant to a municipal bond insurance policy (the "Municipal Bond Insurance Policy") issued by a bond insurer (the "Bond Insurer"), and as long as such Municipal Bond Insurance Policy shall be in full force and effect, the City and the Bond Registrar agree to comply with such usual and reasonable provisions regarding presentment and payment of the Bonds, subrogation of the rights of the Bondholders to the Bond Insurer when holding Bonds, amendment hereof, or other terms, as approved by the Corporate Authorities on advice of counsel, their approval to constitute full and complete acceptance by the City of such terms and provisions under authority of this section. -35- Section 27. Severability. If any section, paragraph, clause or provision of this Ordinance shall be held invalid, the invalidity of such section, paragraph, clause or provision shall not affect any of the other provisions of this Ordinance. Section 28. Repealer. All ordinances, resolutions or orders, or parts thereof, in conflict with the provisions of this Ordinance are to the extent of such conflict hereby repealed. -36- Section 29. Effective Date. This Ordinance shall be effective immediately upon its passage and approval. ADOPTED by the City Council on the 10th day of May, 2005, pursuant to a roll call vote as follows: PAUL JAMES MARTY MUNNS JASON LESLIE WANDA O'HARE VALERIE BURD ROSE SPEARS DEAN WOLFER JOSEPH BESCO APPROVED by me, as Mayor of the United City of Yorkville,Kendall County, Illinois, the 10th day of May, 2005. MAYOR PASSED by the City Council of the United City of Yorkville,Kendall County, Illinois, the 10th day of May, 2005. Attest: CITY CLERK -37- Alderman moved and Alderman seconded the motion that said ordinance as presented by the Mayor be adopted. The Mayor then gave a public recital of the nature and purpose of the ordinance, which included a reading of the title of the ordinance and statements (1)that the ordinance provided for the issuance of general obligation alternate bonds for the purpose of financing certain road and street improvements within the City, (2)that the bonds are issuable pursuant to authority of the Illinois Municipal Code and the Local Government Debt Reform Act, (3) that the ordinance provides for the bonds to be paid by those taxes imposed by the City upon public utilities pursuant to Section 8-11-2 of the Illinois Municipal Code or substitute taxes therefor as provided by the State of Illinois in the future,but there is also a backup levy of taxes to pay the bonds, and (4) that the ordinance provides many details for the bonds, including tax-exempt status covenants,provision for terms and form of the bonds, and appropriations. Thereupon the Mayor directed that the roll be called for a vote upon the motion to adopt such ordinance. Upon the roll being called,the following Aldermen voted: AYES: NAY: ABSENT: Whereupon the Mayor declared the motion carried and the ordinance adopted, and did direct the City Clerk to record the same in full in the records of the Corporate Authorities, which was thereupon done. Other business not pertinent to the adoption of said ordinance was duly transacted at said meeting. Upon motion duly made and seconded, the meeting was adjourned. City Clerk -2- STATE OF ILLINOIS ) ) SS COUNTY OF KENDALL ) CERTIFICATION OF ORDINANCES AND MINUTES I, the undersigned, do hereby certify that I am the duly qualified and acting City Clerk of the United City of Yorkville, Kendall County, Illinois (the "City"), and as such officer I am the keeper of the books,records, files, and journal of proceedings of the City and of the City Council (the "Corporate Authorities")thereof. I do further certify that the foregoing constitutes a full, true and complete transcript of the minutes of the legally convened meeting of the Corporate Authorities held on the 10th day of May, 2005, insofar as same relates to the adoption of an ordinance numbered and entitled: AN ORDINANCE authorizing and providing for the issuance of $3,825,000 General Obligation Bonds (Alternate Revenue Source), Series 2005A, of the United City of Yorkville, Kendall County, Illinois, and providing for the imposition of taxes to pay the same. true, correct and complete copies of which said ordinance as adopted at said meeting appear in the foregoing transcript of the minutes of said meeting. I do further certify that the deliberations of the Corporate Authorities on the adoption of said ordinance were taken openly; that the votes on the adoption of said ordinance were taken openly; that said meeting was held at a specified time and place convenient to the public; that notice of said meeting was duly given to all of the news media requesting such notice; that an agenda for the meeting was posted at least 96 hours before the meeting at the location where said meeting was held and at the principal office of the Corporate Authorities; that said agenda contained a separate specific item concerning the proposed adoption of said ordinance, a true, correct and complete copy of said agenda as so posted being attached to this certificate; that said meeting was called and held in strict accordance with the provisions of the Illinois Municipal Code and the Open Meetings Act of the State of Illinois, as amended; and that the Corporate Authorities have complied with all of the applicable provisions of said laws and its own procedural rules in the adoption of said ordinances. IN WrrNEss WHEREOF I have hereunto affixed my official signature and the seal of the City, this 10th day of May, 2005. City Clerk [SEAL] -2- STATE OF ILLINOIS ) ) SS COUNTY OF KENDALL ) FILING CERTIFICATE I, the undersigned, do hereby certify that I am the duly qualified and acting County Clerk of The County of Kendall, Illinois (the "County"), and as such officer I do hereby certify that on the day of May, 2005, there was filed in my office a duly certified copy of an ordinance numbered and entitled: AN ORDINANCE authorizing and providing for the issuance of $3,825,000 General Obligation Bonds (Alternate Revenue Source), Series 2005A, of the United City of Yorkville, Kendall County, Illinois, and providing for the imposition of taxes to pay the same. passed by the City Council of the United City of Yorkville, Kendall County, Illinois, on the 10th day of May,2005, and approved by the Mayor of said City; and that the same has been deposited in the official files and records of my office. IN WITNESS WHEREOF I have hereunto affixed my official signature and the seal of the County this day of May, 2005. County Clerk of The County of Kendall, Illinois [SEAL] May_, 2005 We hereby certify that we have examined certified copy of the proceedings (the "Proceedings") of the City Council of the United City of Yorkville, Kendall County, Illinois (the "City"),passed preliminary to the issue by the City of its fully registered General Obligation Bonds (Alternate Revenue Source), Series 2005A (the "Bonds"), to the amount of$3,825,000, dated May 1, 2005, due serially on December 30 of the years and in the amounts and bearing interest at the rates percent per annum as follows: YEAR AMOUNT($) RATE(%) 2006 30,000 2007 160,000 2008 170,000 2009 175,000 2010 185,000 2011 195,000 2012 205,000 2013 215,000 2014 225,000 2015 235,000 2016 250,000 2017 260,000 2018 275,000 2019 290,000 2020 300,000 2021 320,000 2022 335,000 the Bonds due on or after December 30, 2015, being subject to redemption prior to maturity at the option of the City as a whole or in part in any order of their maturity as determined by the City (less than all of the Bonds of a single maturity to be selected by the Bond Registrar), on June 30, 2015, or on any date thereafter, at the redemption price of par plus accrued interest to the redemption date as provided in the Proceedings, and we are of the opinion that the Proceedings show lawful authority for said issue under the laws of the State of Illinois now in force. We further certify that we have examined the form of bond prescribed for said issue and find the same in due form of law, and in our opinion said issue, to the amount named, is valid 1841905.01.05.B 2128684•TAS•4/20/05 and legally binding upon the City, and is payable (i)from those taxes imposed by the City upon public utilities pursuant to Section 8-11-2 of the Illinois Municipal Code, as amended, or substitute taxes therefore as provided by the State of Illinois in the future and (ii) from ad valorem property taxes upon all taxable property in the City without limitation as to rate or amount, except that the rights of the owners of the Bonds and the enforceability of the Bonds may be limited by bankruptcy, insolvency, reorganization, moratorium and other similar laws affecting creditors' rights and by equitable principles, whether considered at law or in equity, including the exercise of judicial discretion. It is our opinion that, subject to the City's compliance with certain covenants, under present law, interest on the Bonds is not includible in gross income of the owners thereof for federal income tax purposes and is not included as an item of tax preference in computing the alternative minimum tax for individuals and corporations under the Internal Revenue Code of 1986, as amended, but is taken into account in computing an adjustment used in determining the federal alternative minimum tax for certain corporations. Failure to comply with certain of such City covenants could cause interest on the Bonds to be included in gross income for federal income tax purposes retroactively to the date of issuance of the Bonds. Ownership of the Bonds may result in other federal tax consequences to certain taxpayers, and we express no opinion regarding any such collateral consequences arising with respect to the Bonds. We express no opinion herein as to the accuracy, adequacy or completeness of any information furnished to any person in connection with any offer or sale of the Bonds. In rendering this opinion, we have relied upon certifications of the City with respect to certain material facts solely within the City's knowledge. Our opinion represents our legal judgment based upon our review of the law and the facts that we deem relevant to render such opinion and is not a guarantee of a result. This opinion is given as of the date hereof and we assume no obligation to revise or supplement this opinion to reflect any facts or circumstances that may hereafter come to our attention or any changes in law that may hereafter occur. KKost/TAStratton:kd -2- 7� 't,t✓l Lti l .c0 car o United City of Yorkville Memo 800 Game Farm Road EST. etare°' ,als Yorkville, Illinois 60560 Telephone: 630-553-4350 S911 p Fax: 630-553-7575 Date: May 10, 2005 To: Mayor and City Council From: Liz D'Anna, Deputy Clerk R Ordinance Authorizing $3,825,000 General Obligation Bonds (Alternate Revenue Source), Series 2005A for the In Town Road Program Please add the attached updated Ordinance (based on the bond sale this morning) to your packet for the City Council meeting tonight. Thank you, EXTRACT OF MINUTES of a regular public meeting of the City Council of the United City of Yorkville, Kendall County, Illinois, held at the City Council Chambers of the City Hall, 800 Game Farm Road, Yorkville, Illinois, at 7:00 p.m., on the 10th day of May, 2005. The Mayor called the meeting to order and directed the City Clerk to call the roll. Upon roll call, the following at said location answered present: Arthur F. Prochaska, Jr., Mayor, and Aldermen The following Aldermen were absent: The Mayor announced that the City Council (the "City Council") would next consider the adoption of an ordinance entitled: AN ORDINANCE authorizing and providing for the issuance of $3,825,000 General Obligation Bonds (Alternate Revenue Source), Series 2005A, of the United City of Yorkville, Kendall County, Illinois, and providing for the imposition of taxes to pay the same. such ordinance being before the City Council in words and figures as follows: 1841881.01.10.B 2128684•TAS•5/10/05 ORDINANCE NUMBER AN ORDINANCE authorizing and providing for the issuance of $3,825,000 General Obligation Bonds (Alternate Revenue Source), Series 2005A, of the United City of Yorkville, Kendall County, Illinois, and providing for the imposition of taxes to pay the same. Adopted by the City Council on the 10th day of May, 2005 TABLE OF CONTENTS SECTION HEADING PAGE PREAMBLES 1 SECTION 1. DEFINITIONS 4 SECTION 2. INCORPORATION OF PREAMBLES 7 SECTION 3. AUTHORIZATION 7 SECTION 4. DETERMINATION TO ISSUE BONDS 7 SECTION 5. BOND DETAILS 7 SECTION 6. REDEMPTION 9 SECTION 7. EXECUTION; AUTHENTICATION 12 SECTION 8. REGISTRATION OF BONDS; PERSONS TREATED AS OWNERS; GLOBAL BOOK-ENTRY SYSTEM 13 SECTION 9. FORM OF BOND 17 SECTION 10. TREATMENT OF BONDS AS DEBT 24 SECTION 11. INVESTMENTS 24 SECTION 12. ALTERNATE BOND FUND 25 SECTION 13. PLEDGED TAXES; TAX LEVY 26 SECTION 14. FILING WITH COUNTY CLERK 27 SECTION 15. ABATEMENT OF PLEDGED TAXES 28 SECTION 16. GENERAL COVENANTS 28 SECTION 17. ADDITIONAL BONDS 30 SECTION 18. DEFEASANCE 30 SECTION 19. SALE OF THE BONDS 31 SECTION 20. USE OF PROCEEDS 31 SECTION 21. GENERAL ARBITRAGE COVENANTS 32 SECTION 22. REGISTERED FORM 34 SECTION 23. THIS ORDINANCE A CONTRACT 34 SECTION 24. CONTINUING DISCLOSURE UNDERTAKING 34 SECTION 25. DUTIES OF BOND REGISTRAR 35 SECTION 26. MUNICIPAL BOND INSURANCE 35 SECTION 27. SEVERABILITY 36 SECTION 28. REPEALER 36 SECTION 29. EFFECTIVE DATE 37 THIS TABLE OF CONTENTS IS FOR CONVENIENCE ONLY AND IS NOT A PART OF THE ORDINANCE. -11- ORDINANCE NUMBER AN ORDINANCE authorizing and providing for the issuance of $3,825,000 General Obligation Bonds (Alternate Revenue Source), Series 2005A, of the United City of Yorkville, Kendall County, Illinois, and providing for the imposition of taxes to pay the same. WHEREAS, the United City of Yorkville, Kendall County, Illinois (the "City"), is a duly organized and existing municipality and unit of local government of the State of Illinois, and is operating under and pursuant to the provisions of the Illinois Municipal Code, and all laws amendatory thereof and supplementary thereto (the "Municipal Code"); and WHEREAS, the City Council of the City (the "Corporate Authorities") has determined that it is advisable, necessary and in the best interests of the City, in order to promote and protect the public health, welfare, safety and convenience of the residents of the City,to pay the costs of funding various road and street improvements within the City (the "Project"); and WHEREAS, the Corporate Authorities have determined and do hereby determine that the Project is a lawful corporate purpose; and WHEREAS, the estimated costs of acquiring, constructing and installing the Project, including engineering, legal, financial, bond discount, printing and publication costs, and other expenses, are $3,825,000; and WHEREAS, there are insufficient funds on hand and lawfully available to pay costs of the Project, and there exists a source of funds, other than enterprise revenues, namely, those taxes imposed by the City upon public utilities pursuant to Section 8-11-2 of the Municipal Code or substitute taxes therefor as provided by the State of Illinois in the future, as authorized to be issued at this time pursuant to the Local Government Debt Reform Act of the State of Illinois, as amended(the "Reform Act"); and WHEREAS, the costs of the Project is expected to be defrayed by up to $3,825,000 of the proceeds of alternate bonds issued pursuant to the Reform Act; and WHEREAS, it is necessary and for the best interests of the City that the Project be undertaken, and in order to raise the funds required for such purpose, it will be necessary for the City to borrow an amount not to exceed $3,825,000 and in evidence thereof to issue alternate bonds, being General Obligation Bonds (Alternate Revenue Source) payable from any revenue source as provided by the Reform Act, in an aggregate principal amount not to exceed $3,825,000, all in accordance with the Reform Act; and WHEREAS, the Corporate Authorities, on the 22nd day of March, 2005, adopted Ordinance Number 2005-23 (the "Authorizing Ordinance"), authorizing the issuance of certain Alternate Bonds, being General Obligation Bonds (Alternate Revenue Source) payable from revenue sources as provided by the Reform Act (the "2005A Alternate Bonds"), in an amount not to exceed$3,825,000 for the Project; and WHEREAS, on the day of March, 2005, the Authorizing Ordinance, which included therein a notice in the statutory form, was published in the Kendall County Record, and an affidavit evidencing the publication of the Authorizing Ordinance and said notice has heretofore been presented to the Corporate Authorities and made a part of the permanent records of the City; and WHEREAS, no petition has ever been filed with the City Clerk, requesting that the question of the issuance of the 2005A Alternate Bonds for the Project be submitted to referendum; and WHEREAS, the Corporate Authorities have been authorized to issue the 2005A Alternate Bonds to the amount of$3,825,000 in accordance with the provisions of the Reform Act and the Authorizing Ordinance; $-0- of such bonds have heretofore been issued by the City; and the Corporate Authorities hereby determine that it is necessary and advisable that there be issued at this time$3,825,000 of the authorized amount; and -2- WHEREAS, the 2005A Alternate Bonds to be issued will be payable from the Pledged Revenues and the Pledged Taxes,both as hereinafter defined; and WHEREAS, the Corporate Authorities hereby determine that the Pledged Revenues will provide in each year to final maturity of the proposed 2005A Alternate Bonds an amount not less than 1.25 times debt service of the proposed 2005A Alternate Bonds, said series of bonds being the only series of alternate bonds payable in part from the Pledged Revenues; and WHEREAS, such determination of the sufficiency of the Pledged Revenues is supported by reference to the most recent audit of the City, for the fiscal year ended April 30, 2004 (the "Audit"), which Audit (i)has been presented to and accepted by the Corporate Authorities, (ii) is now on file with the City Clerk and (iii) is for a fiscal year ending not earlier than 18 months previous to the time of the issuance of the proposed 2005A Alternate Bonds; and WHEREAS, pursuant to and in accordance with the provisions of the Bond Issue Notification Act of the State of Illinois, as amended, the Mayor(the "Mayor"), on the 15th day of March, 2005, executed an Order calling a public hearing (the "Hearing") for the 12th day of April, 2005, concerning the intent of the Corporate Authorities to sell not to exceed $3,825,000 General Obligation Bonds (Alternate Revenue Source); and WHEREAS, notice of the Hearing was given by (i) publication at least once not less than seven (7) nor more than thirty (30) days before the date of the Hearing in the Kendall County Record, the same being a newspaper of general circulation in the City and (ii) posting at least 96 hours before the Hearing a copy of said notice at the principal office of the Corporate Authorities; and WHEREAS, the Hearing was held on the 12th day of April, 2005, and at the Hearing, the Corporate Authorities explained the reasons for the proposed bond issue and permitted persons desiring to be heard an opportunity to present written or oral testimony within reasonable time limits; and -3- WHEREAS,the Hearing was finally adjourned on the 12th day of April, 2005, and not less than seven(7) days have passed since the final adjournment of the Hearing; and WHEREAS, the Property Tax Extension Limitation Law of the State of Illinois, as amended (the "Tax Limitation Law"), imposes certain limitations on the "aggregate extension" of certain property taxes levied by the City, but provides that the definition of "aggregate extension" contained in Section 18-185 of the Tax Limitation Law does not include "extensions ... payments of principal and interest on bonds issued under Section 15 of the Local Government Debt Reform Act"; and WHEREAS, the County Clerk of Kendall County, Illinois (the "County Clerk"), is therefore authorized to extend and collect said direct annual ad valorem tax so levied for the payment of the 2005A Alternate Bonds for the Project without limitation as to rate or amount; Now, THEREFORE, Be It Ordained by the City Council of the United City of Yorkville, Kendall County,Illinois, as follows: Section 1. Definitions. The words and terms used in this Ordinance shall have the meanings set forth and defined for them herein unless the context or use clearly indicates another or different meaning is intended,including the words and terms as follows: "Additional Bonds" means any Alternate Bonds issued in the future in accordance with the provisions of the Reform Act on a parity with and sharing equally in the Pledged Revenues with the Bonds. "Alternate Bonds" means any outstanding Bonds issued as alternate bonds under and pursuant to the provisions of the Reform Act, and includes,expressly,the Bonds. "Applicable Law" means,collectively, the Municipal Code and the Reform Act. -4- "Bond" or "Bonds" or "2005A Alternate Bonds" means one or more, as applica- ble, of the $3,825,000 General Obligation Bonds (Alternate Revenue Source), Series 2005A, authorized to be issued by this Ordinance. "Bond Fund" means the 2005A Alternate Bond Fund established hereunder and further described herein. "Bond Register" means the books of the City kept by the Bond Registrar to evidence the registration and transfer of the Bonds. "Bond Registrar" or "Paying Agent" means The Bank of New York Trust Company, N.A., Chicago, Illinois, a national banking association having trust powers, or a successor bank with trust powers or a trust company, duly authorized to do business as a bond registrar and as paying agent as herein required. "City" means the United City of Yorkville,Kendall County,Illinois. "Code" means the Internal Revenue Code of 1986, as amended. "County Clerk" means the County Clerk of The County of Kendall, Illinois. "Designated Officers" means the Mayor, City Clerk, or Treasurer, or assigns, or any of them acting together. "Expense Fund" means the fund established hereunder and further described herein. "Fiscal Year"means that twelve-calendar month period selected by the Corporate Authorities as the Fiscal Year for the City. "Municipal Code" means the Illinois Municipal Code, as supplemented and amended. "Ordinance" means this ordinance as supplemented or amended from time to time. -5- "Outstanding" or "outstanding" when used with reference to the Bonds and Additional Bonds means such of those bonds which are outstanding and unpaid; provided, however, such term shall not include Bonds or Additional Bonds (i) which have matured and for which moneys are on deposit with proper paying agents or are otherwise sufficiently available to pay all principal thereof and interest thereon or (ii) the provision for payment of which has been made by the City by the deposit in an irrevocable trust or escrow of funds or direct, full faith and credit obligations of the United States of America, the principal of and interest on which will be sufficient to pay at maturity or as called for redemption all the principal of, redemption premium, if any, and interest on such Bonds or Additional Bonds. "Pledged Moneys" means, collectively, Pledged Revenues and Pledged Taxes as both are defined herein. "Pledged Revenues" means those taxes imposed by the City upon public utilities pursuant to Section 8-11-2 of the Municipal Code or substitute taxes therefor as provided by the State of Illinois in the future. "Pledged Taxes" means the ad valorem taxes levied against all of the taxable property in the City without limitation as to rate or amount, pledged hereunder by the City as security for the Bonds. "Project" is defined in the preambles hereto. "Purchase Price" means the price paid for the Bonds, to-wit: $3,818,085.80, plus accrued interest. "Purchaser" means UBS Financial Services Inc., Chicago, Illinois. "Record Date" means the fifteenth day of the month of any regularly scheduled interest payment date. -6- "Reform Act" means the Local Government Debt Reform Act of the State of Illinois, as supplemented and amended. "Tax-exempt" means, with respect to the Bonds, the status of interest paid and received thereon as not includible in the gross income of the owners thereof under the Code for federal income tax purposes except to the extent that such interest is taken into account in computing an adjustment used in determining the alternative minimum tax for certain corporations. "Treasurer" means the Treasurer of the City. Section 2. Incorporation of Preambles. The Corporate Authorities hereby find that the recitals contained in the preambles to this Ordinance are true and correct and do incorporate them into this Ordinance by this reference, and such finding shall be incontestable under the Reform Act as therein provided. Section 3. Authorization. It is hereby found and determined that the Corporate Authorities have been authorized by law to borrow the sum of$3,825,000 upon the credit of the City and as evidence of such indebtedness to issue bonds of the City in said amount, the proceeds of said bonds to be used for the Project, and that it is necessary to borrow $3,825,000 of said authorized sum and issue the Bonds in evidence thereof for purposes of paying costs of the Project, and that it is necessary and for the best interests of the City that there be issued at this time$3,825,000 of the bonds so authorized for the Project. Section 4. Determination to Issue Bonds. It is necessary and in the best interests of the City for the City to undertake the Project for the public health, safety and welfare, and to issue the Bonds to enable the City to pay the costs thereof. Section 5. Bond Details. For the purpose of providing for the payment of the costs of the Project, there shall be issued and sold the Bonds in the principal amount of$3,825,000. The -7- Bonds shall each be designated "General Obligation Bond (Alternate Revenue Source), Series 2005A," and be dated May 1, 2005 (the "Dated Date"), and shall also bear the date of authentication thereof. The Bonds shall be in fully registered form, shall be in denominations of $5,000 or authorized integral multiples thereof (but no single Bond shall represent principal maturing on more than one date), as shall be numbered in such reasonable fashion as may be selected by the Bond Registrar, and shall mature (subject to prior redemption as hereinafter provided) serially on December 30 of the years and in the amounts and shall bear interest at the rates percent per annum as follows: YEAR AMOUNT($) RATE(%) 2006 30,000 4.00 2007 160,000 4.00 2008 170,000 4.00 2009 175,000 4.00 2010 185,000 4.00 2011 195,000 4.00 2012 205,000 4.00 2013 215,000 4.00 2014 225,000 4.00 2016 485,000 4.00 2017 260,000 4.10 2018 275,000 4.15 2019 290,000 4.25 2022 955,000 4.375 Each Bond shall bear interest from the later of its Dated Date as herein above provided or from the most recent interest payment date to which interest has been paid or duly provided for, until the principal amount of such Bond is paid or duly provided for, such interest (computed upon the basis of a 360-day year of twelve 30-day months)being payable semiannually on each June 30 and December 30, commencing on June 30, 2006. Interest on each Bond shall be paid by check or draft of the Paying Agent, payable upon presentation thereof in lawful money of the United States of America, to the person in whose name such Bond is registered at the close of -8- business on the Record Date. The principal of the Bonds shall be payable in lawful money of the United States of America upon presentation thereof at the principal corporate trust office of the Paying Agent in Chicago, Illinois, or at successor Paying Agent and address. Section 6. Redemption. (a) Optional Redemption. The Bonds maturing on or after December 30, 2015, are subject to redemption prior to maturity at the option of the City as a whole, or in part in any order of maturity determined by the City (less than all of the Bonds of a single maturity to be selected by the Bond Registrar), on June 30, 2015, or on any date thereafter, at the redemption price of par plus accrued interest to the date of redemption. (b) Mandatory Redemption. The Bonds due on December 30, 2016, are subject to mandatory redemption, in integral multiples of$5,000 selected by lot by the Bond Registrar, at a redemption price of par plus accrued interest to the redemption date, on December 30, 2015, in the principal amount of$235,000. The Bonds due on December 30, 2022, are subject to mandatory redemption, in integral multiples of $5,000 selected by lot by the Bond Registrar, at a redemption price of par plus accrued interest to the redemption date, on December 30 of the years and in the principal amounts as follows: YEAR PRINCIPAL AMOUNT 2020 $300,000 2021 320,000 2022 (maturity) 335,000 (c) Redemption Procedure. The Bond Registrar shall proceed with mandatory redemption without further notice or direction from the City. For redemptions at the option of the City, the City shall, at least 45 days prior to the redemption date (unless a shorter time period shall be satisfactory to the Bond Registrar), notify the Bond Registrar of such redemption date and of the principal amount and maturities of Bonds to be redeemed. For purposes of any -9- redemption of less than all of the Bonds of a single maturity, the particular Bonds or portions of Bonds to be redeemed shall be selected by lot not more than 60 days prior to the redemption date by the Bond Registrar for the Bonds of such series and maturity by such method of lottery as the Bond Registrar shall deem fair and appropriate;provided, that such lottery shall provide for the selection for redemption of Bonds or portions thereof so that any $5,000 Bond or $5,000 portion of a Bond shall be as likely to be called for redemption as any other such $5,000 Bond or$5,000 portion. The principal amounts of Bonds to be mandatorily redeemed in each year may be reduced through the earlier optional redemption thereof, with any partial optional redemptions of such Bonds credited against future mandatory redemption requirements in such order of the mandatory redemption dates as the City may determine. In addition, on or prior to the 60th day preceding any mandatory redemption date, the Bond Registrar may, and if directed by the Council shall, purchase Bonds required to be retired on such mandatory redemption date. Any such Bonds so purchased shall be cancelled and the principal amount thereof shall be credited against the mandatory redemption required on such next mandatory redemption date. The Bond Registrar shall promptly notify the City and the Paying Agent in writing of the Bonds or portions of Bonds selected for redemption and, in the case of any Bond selected for partial redemption, the principal amount thereof to be redeemed. Unless waived by the registered owner of Bonds to be redeemed, official notice of any such redemption shall be given by the Bond Registrar on behalf of the City by mailing the redemption notice by first-class mail not less than 30 days and not more than 60 days prior to the date fixed for redemption to each registered owner of the Bond or Bonds to be redeemed at the address shown on the Bond Register or at such other address as is furnished in writing by such registered owner to the Bond Registrar. -10- All official notices of redemption shall include the name of the Bonds and at least the information as follows: (1) the redemption date; (2) the redemption price; (3) if less than all of the Bonds of a single maturity are to be redeemed, the identification (and, in the case of partial redemption of any Bonds, the respective principal amounts) of the Bonds to be redeemed; (4) a statement that on the redemption date the redemption price will become due and payable upon each such Bond or portion thereof called for redemption and that interest thereon shall cease to accrue from and after said date;and (5) the place where such Bonds are to be surrendered for payment of the redemption price, which place of payment shall be the principal corporate trust business office of the Paying Agent. Prior to any redemption date, the City shall deposit with the Paying Agent an amount of money sufficient to pay the redemption price of all the Bonds or portions of Bonds which are to be redeemed on that date. Official notice of redemption having been given as aforesaid, the Bonds or portions of Bonds so to be redeemed shall, on the redemption date, become due and payable at the redemption price therein specified, and from and after such date (unless the City shall default in the payment of the redemption price), such Bonds or portions of Bonds shall cease to bear interest. Neither the failure to mail such redemption notice, nor any defect in any notice so mailed,to any particular registered owner, shall affect the sufficiency of such notice with respect to other Bonds. Notice having been properly given, failure of a registered owner to receive such notice shall not be deemed to invalidate, limit or delay the effect of the notice or redemption action described in the notice. Such notice may be waived in writing by the registered owner entitled to receive such notice, either before or after the event, and such waiver shall be the equivalent of such notice. Waivers of notice by registered owners shall be filed with the Bond -11- Registrar,but such filing shall not be a condition precedent to the validity of any action taken in reliance upon such waiver. Upon surrender of such Bonds for redemption in accordance with said notice, such Bonds shall be paid by the Paying Agent at the redemption price. The procedure for payment of interest due on or prior to the redemption date shall be as herein provided for payment of interest otherwise due. Upon surrender for any partial redemption of any Bond, there shall be prepared for the registered owner a new Bond or Bonds of like tenor, of authorized denominations, of the same maturity and bearing the same rate of interest in the amount of the unpaid principal. If any Bond or portion of Bond called for redemption shall not be so paid upon surrender thereof for redemption,the principal shall, until paid or duly provided for,bear interest from the redemption date at the rate borne by the Bond or portion of Bond so called for redemption. All Bonds which have been redeemed shall be cancelled and destroyed by the Bond Registrar and shall not be reissued. Section 7. Execution; Authentication. The Bonds shall be executed on behalf of the City with the manual or facsimile signature of the Mayor and attested with the manual or facsimile signature of the City Clerk, as they may determine, and shall have impressed or imprinted thereon the corporate seal or facsimile thereof of the City. In case any officer whose signature shall appear on any Bond shall cease to be such officer before the delivery of such Bond, such signature shall nevertheless be valid and sufficient for all purposes, the same as if such officer had remained in office until delivery. All Bonds shall have thereon a certificate of authentication substantially in the form hereinafter set forth duly executed by the Bond Registrar as authenticating agent of the City and showing the date of authentication. No Bond shall be valid or obligatory for any purpose or be entitled to any security or benefit under this Ordinance unless and until such certificate of -12- authentication shall have been duly executed by the Bond Registrar by manual signature, and such certificate of authentication upon any such Bond shall be conclusive evidence that such Bond has been authenticated and delivered under this Ordinance. The certificate of authentication on any Bond shall be deemed to have been executed by it if signed by an authorized officer of the Bond Registrar, but it shall not be necessary that the same officer sign the certificate of authentication on all of the Bonds issued hereunder. Section 8. Registration of Bonds; Persons Treated as Owners; Global Book-Entry System. (a) General. The City shall cause books for the registration and for the transfer of the Bonds as provided in this Ordinance to be kept at the principal corporate trust office of the Bond Registrar, which is hereby constituted and appointed the registrar of the City for this issue. The City is authorized to prepare, and the Bond Registrar shall keep custody of,multiple Bond blanks executed by the City for use in the transfer and exchange of Bonds. Upon surrender for transfer of any Bond at the principal corporate trust office of the Bond Registrar, duly endorsed by, or accompanied by a written instrument or instruments of transfer in form satisfactory to the Bond Registrar and duly executed by the registered owner or his attorney duly authorized in writing, the City shall execute and the Bond Registrar shall authenticate, date and deliver in the name of the transferee or transferees a new fully registered Bond or Bonds of the same maturity of authorized denominations, for a like aggregate principal amount. Any fully registered Bond or Bonds may be exchanged at said office of the Bond Registrar for a like aggregate principal amount of Bond or Bonds of the same maturity of other authorized denominations. The execution by the City of any fully registered Bond shall constitute full and due authorization of such Bond and the Bond Registrar shall thereby be authorized to authenticate, date and deliver such Bond;provided, however, the principal amount -13- of outstanding Bonds of each maturity authenticated by the Bond Registrar shall not exceed the authorized principal amount of Bonds for such maturity less previous retirements. The Bond Registrar shall not be required to transfer or exchange any Bond during the period from the close of business on the 15th day of the month of any interest payment date on the Bonds, nor to transfer or exchange any Bond after notice calling such Bond for redemption has been mailed, nor during a period of fifteen (15) days next preceding mailing of a notice of redemption of any Bonds. The person in whose name any Bond shall be registered shall be deemed and regarded as the absolute owner thereof for all purposes, and payment of the principal of or interest on any Bond shall be made only to or upon the order of the registered owner thereof or his legal representative. All such payments shall be valid and effectual to satisfy and discharge the liability upon such Bond to the extent of the sum or sums so paid. No service charge shall be made for any transfer or exchange of Bonds, but the City or the Bond Registrar may require payment of a sum sufficient to cover any tax or other governmental charge that may be imposed in connection with any transfer or exchange of Bonds, except in the case of the issuance of a Bond or Bonds for the unredeemed portion of a Bond surrendered for redemption. (b) Global Book-Entry System. The Bonds shall be initially issued in the form of a separate single fully registered Bond for each of the maturities of the Bonds determined as described in Section 5 hereof. Upon initial issuance, the ownership of each such Bond shall be registered in the Bond Register in the name of Cede &Co., or any successor thereto ("Cede"), as nominee of The Depository Trust Company, New York, New York, and its successors and assigns ("DTC"). All of the outstanding Bonds shall be registered in the Bond Register in the name of Cede, as nominee of DTC, except as hereinafter provided. The Mayor, City Clerk and -14- Treasurer and the Bond Registrar are each authorized to execute and deliver, on behalf of the City, such letters to or agreements with DTC as shall be necessary to effectuate such book-entry system (any such letter or agreement being referred to herein as the "Representation Letter"), which Representation Letter may provide for the payment of principal of or interest on the Bonds by wire transfer. With respect to Bonds registered in the Bond Register in the name of Cede, as nominee of DTC,the City and the Bond Registrar shall have no responsibility or obligation to any broker- dealer, bank or other financial institution for which DTC holds Bonds from time to time as securities depository (each such broker-dealer, bank or other financial institution being referred to herein as a "DTC Participant") or to any person on behalf of whom such a DTC Participant holds an interest in the Bonds. Without limiting the immediately preceding sentence, the City and the Bond Registrar shall have no responsibility or obligation with respect to (i) the accuracy of the records of DTC, Cede or any DTC Participant with respect to any ownership interest in the Bonds, (ii)the delivery to any DTC Participant or any other person,other than a registered owner of a Bond as shown in the Bond Register, of any notice with respect to the Bonds, including any notice of redemption, or(iii) the payment to any DTC Participant or any other person, other than a registered owner of a Bond as shown in the Bond Register, of any amount with respect to the principal of or interest on the Bonds. The City and the Bond Registrar may treat and consider the person in whose name each Bond is registered in the Bond Register as the holder and absolute owner of such Bond for the purpose of payment of principal and interest with respect to such Bond, for the purpose of giving notices of redemption and other matters with respect to such Bond, for the purpose of registering transfers with respect to such Bond, and for all other purposes whatsoever. The Bond Registrar shall pay all principal of and interest on the Bonds only to or upon the order of the respective registered owners of the Bonds, as shown in the Bond -15- Register, or their respective attorneys duly authorized in writing, and all such payments shall be valid and effective to fully satisfy and discharge the City's obligations with respect to payment of the principal of and interest on the Bonds to the extent of the sum or sums so paid. No person other than a registered owner of a Bond as shown in the Bond Register, shall receive a Bond evidencing the obligation of the City to make payments of principal and interest with respect to any Bond. Upon delivery by DTC to the Bond Registrar of written notice to the effect that DTC has determined to substitute a new nominee in place of Cede, and subject to the provisions in Section 5 hereof with respect to the payment of interest to the registered owners of Bonds at the close of business on the 15th day of the month of the applicable interest payment date, the name "Cede" in this Ordinance shall refer to such new nominee of DTC. In the event that (i) the City determines that DTC is incapable of discharging its responsibilities described herein and in the Representation Letter, (ii)the agreement among the City, the Bond Registrar and DTC evidenced by the Representation Letter shall be terminated for any reason or (iii) the City determines that it is in the best interests of the beneficial owners of the Bonds that they be able to obtain certificated Bonds, the City shall notify DTC and DTC Participants of the availability through DTC of certificated Bonds and the Bonds shall no longer be restricted to being registered in the Bond Register in the name of Cede, as nominee of DTC. At that time, the City may determine that the Bonds shall be registered in the name of and deposited with such other depository operating a universal book-entry system, as may be acceptable to the City, or such depository's agent or designee, and if the City does not select such alternate universal book-entry system, then the Bonds may be registered in whatever name or names registered owners of Bonds transferring or exchanging Bonds shall designate, in accordance with the provisions of Section 8(a)hereof. -16- Notwithstanding any other provisions of this Ordinance to the contrary, so long as any Bond is registered in the name of Cede, as nominee of DTC, all payments with respect to principal of and interest on such Bond and all notices with respect to such Bond shall be made and given, respectively, in the name provided in the Representation Letter. Section 9. Form of Bond. The Bonds shall be in substantially the form hereinafter set forth;provided, however, that if the text of the Bonds is to be printed in its entirety on the front side of the Bonds, then the second paragraph on the front side and the legend "See Reverse Side for Additional Provisions" shall be omitted and the text of paragraphs set forth for the reverse side shall be inserted immediately after the first paragraph. -17- [Form of Bond-Front Side] REGISTERED REGISTERED No. $ UNITED STATES OF AMERICA STATE OF ILLINOIS COUNTY OF KENDALL UNITED CITY OF YORKVILLE GENERAL OBLIGATION BOND (ALTERNATE REVENUE SOURCE) SERIES 2005A See Reverse Side for Additional Provisions Interest Maturity Dated Rate: Date: December 30, Date: May 1, 2005 CUSIP: Registered Owner: CEDE&Co. Principal Amount: Dollars KNOW ALL PERSONS BY THESE PRESENTS that the United City of Yorkville, Kendall County, Illinois, a municipality and unit of local government and political subdivision of the State of Illinois (the "City"), hereby acknowledges itself to owe and for value received promises to pay to the Registered Owner identified above,or registered assigns as hereinafter provided, on the Maturity Date identified above, the Principal Amount identified above and to pay interest (computed on the basis of a 360-day year of twelve 30-day months) on such Principal Amount from the later of the Dated Date of this Bond identified above or from the most recent interest payment date to which interest has been paid or duly provided for at the Interest Rate per annum identified above, such interest to be payable semiannually on June 30 and December 30 of each year, commencing on June 30, 2006, until the Principal Amount is paid or duly provided for. The Principal Amount of this Bond is payable in lawful money of the United States of America upon presentation at the principal corporate trust office of The Bank of New York Trust -18- Company, N.A., Chicago, Illinois, as paying agent and bond registrar (the "Paying Agent" or "Bond Registrar"). Payment of interest shall be made to the Registered Owner hereof, as shown on the registration books of the City maintained by Bond Registrar at the close of business on the Record Date. The Record Date shall be the 15th day of the month of any regular or other interest payment date occurring on the 30th day of any month and 15 days preceding any interest payment date occasioned by the redemption of Bonds on other than the 30th day of a month. Interest shall be paid by check or draft of the Paying Agent, payable upon presentation in lawful money of the United States of America, mailed to the address of such Registered Owner as it appears on such registration books or at such other address furnished in writing by such Registered Owner to the Bond Registrar. Reference is hereby made to the further provisions of this Bond set forth on the reverse hereof, and such further provisions shall for all purposes have the same effect as if set forth at this place. It is hereby certified and recited that all acts, conditions and things required to be done precedent to and in the issuance of this Bond have been done and have happened and have been performed in regular and due form of law; that the indebtedness of the City, including the issue of Bonds of which this is one, does not exceed any limitation imposed by law, unless the Pledged Taxes shall have been extended pursuant to the general obligation full faith and credit promise supporting the Bonds, in which case the amount of the Bonds then outstanding shall be included in the computation of indebtedness of the City for purposes of all statutory provisions or limitations until such time as an audit of the City shall show that the Bonds have been paid from the Pledged Revenues for a complete Fiscal Year; that provision has been made for the collection of the Pledged Revenues,the levy and collection of the Pledged Taxes, and the segregation of the Pledged Moneys to pay the interest hereon as it falls due and also to pay and discharge the -19- principal hereof at maturity; and that the City hereby covenants and agrees that it will properly account for said Pledged Moneys and will comply with all the covenants of and maintain the funds and accounts as provided by the Ordinance. For the prompt payment of this Bond, both principal and interest at maturity, the full faith, credit and resources of the City are hereby irrevocably pledged. This Bond shall not be valid or become obligatory for any purpose until the certificate of authentication hereon shall have been signed by the Bond Registrar. -20- IN WITNESS WHEREOF, the United City of Yorkville, Kendall County, Illinois, by its City Council, has caused this Bond to be executed with the manual or duly authorized facsimile signature of its Mayor and attested by the manual or duly authorized facsimile signature of its City Clerk and its corporate seal or a facsimile thereof to be impressed or reproduced hereon, all as appearing hereon and as of the Dated Date identified above. Mayor,United City of Yorkville, Kendall County,Illinois Ai PEST: City Clerk, United City of Yorkville, Kendall County, Illinois [SEAL] CERTIFICATE OF AUTHENTICATION Date of Authentication: This Bond is one of the Bonds described in the within-mentioned Ordinance and is one of the General Obligation Bonds (Alternate Revenue Source), Series 2005A, of the United City of Yorkville,Kendall County, Illinois. THE BANK OF NEW YORK TRUST COMPANY,N.A., Chicago,Illinois, as Bond Registrar By: Authorized Signer -21- [Form of Bond-Reverse Side] UNITED CITY OF YORKVILLE,KENDALL COUNTY,ILLINOIS GENERAL OBLIGATION BOND (ALTERNATE REVENUE SOURCE) SERIES 2005A This bond and the bonds of the series of which it forms a part ("Bond" and "Bonds" respectively) are of an authorized issue of Three Million Eight Hundred and Twenty-Five Thousand Dollars ($3,825,000) of like dated date and tenor except as to maturity and rate of interest, and are issued pursuant to the Illinois Municipal Code, as amended (the "Municipal Code"), the Local Government Debt Reform Act, as amended, and all acts of the General Assembly of the State of Illinois, and as supplemented and amended (collectively, the "Applicable Law"),for the purpose of financing various road and street improvements within the City (the "Project"), as more fully described in the Ordinance as herein below defined. The Bonds are issued pursuant to an ordinance adopted by the City Council of the City on the 10th day of May, 2005 (the "Ordinance"), to which reference is hereby expressly made for further definitions and terms and to all the provisions of which the Registered Owner by the acceptance of this Bond assents. The Bonds are payable from means those taxes imposed by the City upon public utilities pursuant to Section 8-11-2 of the Municipal Code or substitute taxes therefor as provided by the State of Illinois in the future (the "Pledged Revenues"). The Bonds are also payable from ad valorem taxes levied against all of the taxable property in the City without limitation as to rate or amount (the "Pledged Taxes") (the Pledged Revenues and the Pledged Taxes being collectively called the "Pledged Moneys"), all in accordance with the provisions of the Applicable Law. The City reserves the right to issue Additional Bonds without limit from time to time payable from -22- the Pledged Revenues, and any such Additional Bonds shall share ratably and equally in the Pledged Revenues with the Bonds;provided, however, that no Additional Bonds shall be issued except in accordance with Applicable Law. Under the Applicable Law and the Ordinance, available Pledged Revenues shall be deposited into and segregated in the Pledged Revenues Account of the 2005A Alternate Bond Fund, and the Pledged Taxes shall be deposited into and segregated in the General Account of the 2005A Alternate Bond Fund, each as created by the Ordinance. Moneys on deposit in said Accounts shall be used and are pledged for paying the principal of and interest on the Bonds and for any further purposes in the priority of lien and as provided by the terms of the Ordinance. The Bonds may be subject to optional and mandatory redemption as set forth in the Ordinance. Notice of any such redemption shall be given by the Bond Registrar on behalf of the City as set forth in the Ordinance. This Bond may be transferred or exchanged, but only in the manner, subject to the limitations, and upon payment of the charges as set forth in the Ordinance. The City, the Paying Agent and the Bond Registrar may deem and treat the Registered Owner hereof as the absolute owner hereof for the purpose of receiving payment of or on account of principal hereof and interest due hereon and for all other purposes, and neither the City,the Paying Agent nor the Bond Registrar shall be affected by any notice to the contrary. -23- ASSIGNMENT FOR VALUE RECEIVED the undersigned sells, assigns and transfers unto [Identifying Numbers] (Name and Address of Assignee) the within Bond and does hereby irrevocably constitute and appoint as attorney to transfer the said Bond on the books kept for registration thereof with full power of substitution in the premises. Dated: Signature guaranteed: NOTICE: The signature to this transfer and assignment must correspond with the name of the Registered Owner as it appears upon the face of the within Bond in every particular, without alteration or enlargement or any change whatever. Section 10. Treatment of Bonds as Debt. The Bonds shall be payable from the Pledged Moneys and shall not constitute an indebtedness of the City within the meaning of any constitutional or statutory limitation, unless the Pledged Taxes shall have been extended pursuant to the general obligation, full faith and credit promise supporting the Bonds, as set forth herein, in which case the amount of the Bonds then Outstanding shall be included in the computation of indebtedness of the City for purposes of all statutory provisions or limitations until such time as an audit of the City shall show that the Bonds have been paid from the Pledged Revenues for a complete Fiscal Year,in accordance with the Reform Act. Section 11. Investments. Moneys on deposit in and to the credit of the Bond Fund shall be invested by the Treasurer, but only in investments then permitted under Illinois law. Such -24- investments shall mature or be subject to redemption at the option of the holder thereof prior to the time when needed and may be sold from time to time by the Treasurer as funds may be needed for the purpose for which said Subaccount has been created. After making provision for the payment of any amount of excess arbitrage profits, as provided in the Code, attributable to investment earnings or profits to any hereinafter created Rebate Fund for the Outstanding Bonds, all earnings or profit on any funds so invested in the Bond Fund shall be retained therein. Moneys in the Bond Fund shall be invested by the Treasurer, if necessary, in investments restricted as to yield, which investments may be in United States Treasury Obligations—State and Local Government Series, if available, and to such end the Treasurer shall refer to any investment restrictions covenanted by the City or any Designated Officer thereof as part of the transcript of proceedings for the issuance of the Bonds, and to appropriate opinions of counsel. Section 12. Alternate Bond Fund. There is hereby created a special fund of the City, which fund shall be held by the Treasurer separate and apart from all other funds and accounts of the City and be known as the "2005A Alternate Bond Fund" (the "Bond Fund"). The purpose of the Bond Fund is to provide a fund to receive and disburse the Pledged Revenues and to receive and disburse Pledged Taxes for any (or all) of the Bonds. There are hereby created two accounts of the Bond Fund, designated the Pledged Revenues Account and the General Account. All Pledged Revenues shall be deposited to the Pledged Revenues Account, and all Pledged Taxes shall be deposited to the credit of the General Account. The Bond Fund and its respective accounts constitute a trust fund established for the purpose of carrying out the covenants, terms and conditions imposed upon the City by this Ordinance. Any Pledged Taxes received by the City shall promptly be deposited into the Pledged Taxes Account of the Bond Fund. Pledged Taxes on deposit to the credit of the Pledged Taxes Account shall be fully spent to pay the principal of and interest on the Bonds for which such -25- taxes were levied and collected prior to use of any moneys on deposit in the Pledged Revenues Account of the Bond Fund. There shall be credited to the Pledged Revenues Account of the Bond Fund and held, in cash and investments, on or before the first day of each month by the financial officer of the City, without any further official action or direction, the Pledged Revenues. Each monthly deposit shall be a fractional amount of the interest becoming due on the next succeeding interest payment date on all Bonds and also a fractional amount of the principal becoming due on the next succeeding maturity date of all of the Bonds until there shall have been accumulated and held, in cash and investments, in the Pledged Revenues Account on or before the month preceding such maturity date of interest or maturity date of principal, an amount sufficient to pay such principal or interest,or both. In computing the fractional amount to be set aside each month in the Pledged Revenues Account, the fraction shall be so computed that a sufficient amount will be set aside in said Account and will be available for the prompt payment of such principal of and interest on all Bonds and shall be not less than one-sixth of the interest becoming due on the succeeding interest payment date and not less than one-twelfth of the principal becoming due on the next succeeding principal payment date on all Bonds outstanding until there is sufficient money in said Account to pay such principal or interest,or both. Credits to the Pledged Revenues Account need not be made at such time as there shall be a sufficient sum, held in cash and investments, in said Account to meet principal and interest requirements in said Account on the next two (2) succeeding debt service payment dates on the Bonds outstanding. Section 13. Pledged Taxes; Tax Levy. The Bonds are Alternate Bonds. For the purpose of providing funds to pay the principal of and interest on the Bonds, and as provided in -26- Section 15 of the Reform Act, there is hereby levied upon all of the taxable property within the City, in the years for which any of the Bonds are Outstanding, a direct annual tax for each of the years while the Bonds or any of them are Outstanding, in amounts sufficient for that purpose, and there be and there hereby is levied upon all of the taxable property in the City the direct annual taxes in the amounts as follows (the "Pledged Taxes"): YEAR AMOUNT 2005 $292,859.09 for interest up to and including December 30, 2006 2006 $316,778.76 for interest and principal 2007 $320,378.76 for interest and principal 2008 $318,578.76 for interest and principal 2009 $321,578.76 for interest and principal 2010 $324,178.76 for interest and principal 2011 $326,378.76 for interest and principal 2012 $328,178.76 for interest and principal 2013 $329,578.76 for interest and principal 2014 $330,578.76 for interest and principal 2015 $336,178.76 for interest and principal 2016 $336,178.76 for interest and principal 2017 $340,518.76 for interest and principal 2018 $344,106.26 for interest and principal 2019 $341,781.26 for interest and principal 2020 $348,656.26 for interest and principal 2021 $349,656.26 for interest and principal Following any extension of Pledged Taxes, interest or principal coming due at any time when there are insufficient funds on hand from the Pledged Taxes to pay the same shall be paid promptly when due from current funds on hand in advance of the collection of the Pledged Taxes herein levied; and when the Pledged Taxes shall have been collected, reimbursement shall be made to said funds in the amount so advanced. Section 14. Filing with County Clerk. After this Ordinance becomes effective, a copy hereof, certified by the City Clerk, shall be filed with the County Clerk. The County Clerk shall in and for each of the years required ascertain the rate percent required to produce the aggregate -27- Pledged Taxes hereinbefore levied in each of said years; and the County Clerk shall extend the same for collection on the tax books in connection with other taxes levied in said years in and by the City for general corporate purposes of the City; and in said years the Pledged Taxes shall be levied and collected by and for and on behalf of the City in like manner as taxes for general corporate purposes of the City for said years are levied and collected, and in addition to and in excess of all other taxes. The Pledged Taxes are hereby irrevocably pledged to and shall be used only for the purpose of paying principal of and interest on the Bonds. Section 15. Abatement of Pledged Taxes. As provided in the Applicable Law and upon the terms and conditions set forth herein, whenever the Pledged Revenues shall have been determined by the Treasurer to provide in any calendar year an amount not less than 1.00 times debt service of all outstanding Bonds in the next succeeding Bond Year (June 30 and December 30) and whenever the Pledged Revenues have been deposited in the Pledged Revenues Account of the Bond Fund in an amount sufficient to pay debt service on all Outstanding Bonds in the next succeeding Bond Year, the Treasurer shall, prior to the time the Pledged Taxes levied in such calendar year are extended, direct the abatement of the Pledged Taxes, and proper notification of such abatement shall be filed with the County Clerk in a timely manner to effect such abatement. Section 16. General Covenants. The City covenants and agrees with the registered owners of the Bonds, so long as any Bonds remain Outstanding,as follows: A. The City pledges the Pledged Revenues to the payment of the Bonds, and the Corporate Authorities covenant and agree to provide for, collect and apply Pledged Revenues, or any combination thereof, to the payment of the Bonds payable from such Pledged Revenues as hereinabove provided and the provision of not less than an additional .25 times debt service. The determination of the sufficiency of the Pledged -28- Revenues pursuant to this subsection (A) shall be supported by reference to the most recent audit of the City, and the reference to and acceptance of such audit by the Corporate Authorities shall be conclusive evidence that the conditions of Section 15 of the Reform Act have been met. B. The City will punctually pay or cause to be paid from the Bond Fund the principal of and interest on the Bonds in strict conformity with the terms of the Bonds and this Ordinance, and it will faithfully observe and perform all of the conditions, covenants and requirements thereof and hereof. C. The City will pay and discharge, or cause to be paid and discharged, from the Bond Fund any and all lawful claims which, if unpaid, might become a lien or charge upon the Pledged Moneys, or any part thereof, or upon any funds in the hands of the Paying Agent, or which might impair the security of the Bonds. Nothing herein contained shall require the City to make any such payment so long as the City in good faith shall contest the validity of said claims. D. The City will keep, or cause to be kept, proper books of record and accounts, separate from all other records and accounts of the City, in which complete and correct entries shall be made of all transactions relating to the Pledged Moneys and the Bond Fund. E. The City will preserve and protect the security of the Bonds and the rights of the registered owners of the Bonds, and will warrant and defend their rights against all claims and demands of all persons. From and after the sale and delivery of any of the Bonds by the City, the Bonds shall be incontestable by the City. F. The City will adopt, make, execute and deliver any and all such further ordinances, resolutions, instruments and assurances as may be reasonably necessary or -29- proper to carry out the intention of, or to facilitate the performance of, this Ordinance, and for the better assuring and confirming unto the registered owners of the Bonds of the rights and benefits provided in this Ordinance. G. As long as any Bonds are Outstanding, the City will continue to deposit and apply the Pledged Revenues and, if applicable, the Pledged Taxes as provided herein. The City covenants and agrees with the purchasers of the Bonds and with the registered owners thereof that so long as any Bonds remain Outstanding,the City will take no action or fail to take any action which in any way would adversely affect the ability of the City to levy the Pledged Taxes and to collect and to segregate the Pledged Moneys. The City and its officers will comply with all present and future applicable laws in order to assure that the Pledged Taxes can be levied and extended and that the Pledged Revenues and the Pledged Taxes may be collected and deposited into the Bond Fund, as provided herein. H. The Outstanding Bonds shall be and forever remain until paid or defeased the general obligation of the City, for the payment of which its full faith and credit are pledged, and shall be payable, in addition to from the Pledged Revenues, as herein provided,from the levy of the Pledged Taxes as provided in the Reform Act. Section 17. Additional Bonds. The City reserves the right to issue Additional Bonds from time to time payable from the Pledged Revenues, and any such Additional Bonds shall share ratably and equally in the Pledged Revenues with the Bonds;provided, however, that no Additional Bonds shall be issued except upon compliance with the provisions of the Reform Act as the Reform Act is written at this time. Section 18. Defeasance. Bonds which are no longer Outstanding Bonds as defined in this Ordinance shall cease to have any lien on or right to receive or be paid from Pledged Moneys and shall no longer have the benefits of any covenant for the registered owners of -30- Outstanding Bonds as set forth herein as such relates to lien and security of the Bonds in the Pledged Moneys. Section 19. Sale of the Bonds. The Bonds hereby authorized shall be sold and executed as in this Ordinance provided as soon after the passage hereof as may be, and thereupon be deposited with the Treasurer, and be by said Treasurer delivered to the Purchaser, upon receipt of the Purchase Price. The contract for the sale of the Bonds presented to the Corporate Authorities at this time is hereby approved and confirmed, it being hereby found and determined that said contract is in the best interests of the City and that no person holding an office of the City either by election or appointment, is in any manner financially interested, either directly in his own name or indirectly in the name of any other person, association, trust or corporation, in said contract for the purchase of the Bonds. The Designated Officers are hereby authorized to execute such additional certificates, agreements and contracts, including, specifically, a tax exemption certificate and agreement, as shall be reasonably and customarily necessary to effectuate the sale of the Bonds. The use by the Purchaser of any Preliminary Official Statement and any final Official Statement relating to the Bonds is hereby ratified, approved and authorized; the execution and delivery of said final Official Statement is hereby authorized; and the officers of the Corporate Authorities are hereby authorized to take any action as may be required on the part of the City to consummate the transactions contemplated by the Purchase Contract, this Ordinance, said Preliminary Official Statement, said final Official Statement and the Bonds. Section 20. Use of Proceeds. The proceeds derived from the sale of the Bonds shall be used as follows: A. Accrued interest shall be credited to the Pledged Revenues Account of the Bond Fund and applied to pay first interest due on the Bonds. -31- B. The amount necessary of the proceeds of the Bonds shall be deposited into a separate fund, hereby created, designated the "Expense Fund" to be used to pay expenses of issuance of Bonds. Disbursements from such fund shall be made from time to time by the Treasurer without further action of the Corporate Authorities. Any excess in said fund shall be deposited into the Pledged Revenues Account of the Bond Fund after six months from the date of issuance of the Bonds. C. The balance of the proceeds derived from the sale of the Bonds shall be deposited into a separate fund, hereby created and known as the "2005A Capital Project Fund" (the "Project Fund"). Disbursements from the Project Fund shall be made by the Treasurer only upon presentation by the engineer in responsible charge of the Project of customary lien waivers and related documentation. Upon the completion of the Project or the depletion of the Project Fund, whichever shall first occur, the engineer shall provide and the Treasurer shall forthwith transmit to the Corporate Authorities a certification evidencing the completion of the Project or the depletion of the Project Fund, as appropriate, and the Project Fund shall be closed. In the event that funds shall remain in the Project Fund upon the transmittal of such certification, all such funds shall be transferred to the Pledged Revenues Account of the Bond Fund and shall be used to pay principal of and interest on the Bonds. Moneys to the credit of and on deposit in the Project Fund may be invested by the Treasurer with no further official action or direction by the Corporate Authorities in lawful investments as at the time permitted under Illinois law. Section 21. General Arbitrage Covenants. The City hereby covenants that it will not take any action, omit to take any action or permit the taking or omission of any action within its control (including, without limitation, making or permitting any use of the proceeds of the -32- Bonds) if taking, permitting or omitting to take such action would cause any of the Bonds to be an arbitrage bond or a private activity bond within the meaning of the Code or would otherwise cause the interest on the Bonds to be included in the gross income of the recipients thereof for federal income tax purposes. The City acknowledges that, in the event of an examination by the Internal Revenue Service of the exemption from Federal income taxation for interest paid on the Bonds, under present rules, the City is treated as the "taxpayer" in such examination and agrees that it will respond in a commercially reasonable manner to any inquiries from the Internal Revenue Service in connection with such an examination. The City also agrees and covenants with the purchasers and holders of the Bonds from time to time outstanding that, to the extent possible under Illinois law, it will comply with whatever federal tax law is adopted in the future which applies to the Bonds and affects the tax- exempt status of the Bonds. The Corporate Authorities hereby authorize the officials of the City responsible for issuing the Bonds, the same being the Mayor, City Clerk and Treasurer, to make such further covenants and certifications as may be necessary to assure that the use thereof will not cause the Bonds to be arbitrage bonds and to assure that the interest on the Bonds will be exempt from federal income taxation. In connection therewith, the City and the Corporate Authorities further agree: (a)through their officers,to make such further specific covenants,representations as shall be truthful, and assurances as may be necessary or advisable; (b) to consult with counsel approving the Bonds and to comply with such advice as may be given; (c) to pay to the United States, as necessary, such sums of money representing required rebates of excess arbitrage profits relating to the Bonds; (d) to file such forms, statements, and supporting documents as may be required and in a timely manner; and (e) if deemed necessary or advisable by their -33- officers,to employ and pay fiscal agents,financial advisors, attorneys, and other persons to assist the City in such compliance. Section 22. Registered Form. The City recognizes that Section 149 of the Code requires the Bonds to be issued and to remain in fully registered form in order to be and remain Tax-exempt. In this connection, the City agrees that it will not take any action to permit the Bonds to be issued in, or converted into,bearer or coupon form. Section 23. This Ordinance a Contract. The provisions of this Ordinance shall constitute a contract between the City and the registered owners of the Bonds, in accordance with the terms hereof; and no changes, additions or alterations of any kind shall be made hereto. Section 24. Continuing Disclosure Undertaking. The Mayor or Treasurer is hereby authorized, empowered and directed to execute and deliver the Continuing Disclosure Undertaking (the "Continuing Disclosure Undertaking") in substantially the same form as now before the Corporate Authorities, or with such changes therein as the individual executing the Continuing Disclosure Undertaking on behalf of the City shall approve, the official's execution thereof to constitute conclusive evidence of the approval of such changes. When the Continuing Disclosure Undertaking is executed and delivered on behalf of the City as herein provided, the Continuing Disclosure Undertaking will be binding on the City and the officers, employees and agents of the City, and the officers, employees and agents of the City are hereby authorized, empowered and directed to do all such acts and things and to execute all such documents as may be necessary to carry out and comply with the provisions of the Continuing Disclosure Undertaking as executed. Notwithstanding any other provision of this Ordinance, the sole remedies for failure to comply with the Continuing Disclosure Undertaking shall be the ability of the beneficial owner of any Bond to seek mandamus or specific performance by court order, to cause the City to comply with its obligations under the Continuing Disclosure Undertaking. -34- Section 25. Duties of Bond Registrar. If requested by the Bond Registrar, the Mayor and City Clerk are authorized to execute the Bond Registrar's standard form of agreement between the City and the Bond Registrar with respect to the obligations and duties of the Bond Registrar hereunder which may include the following: (a) to act as bond registrar, authenticating agent,paying agent and transfer agent as provided herein; (b) to maintain a list of Bondholders as set forth herein and to furnish such list to the City upon request,but otherwise to keep such list confidential; (c) to give notice of redemption of Bonds as provided herein; (d) to cancel and/or destroy Bonds which have been paid at maturity or upon earlier redemption or submitted for exchange or transfer; (e) to furnish the City at least annually a certificate with respect to Bonds cancelled and/or destroyed; and (f) to furnish the City at least annually an audit confirmation of Bonds paid, Bonds outstanding and payments made with respect to interest on the Bonds. Section 26. Municipal Bond Insurance. In the event the payment of principal and interest on the Bonds is insured pursuant to a municipal bond insurance policy (the "Municipal Bond Insurance Policy") issued by a bond insurer (the "Bond Insurer"), and as long as such Municipal Bond Insurance Policy shall be in full force and effect, the City and the Bond Registrar agree to comply with such usual and reasonable provisions regarding presentment and payment of the Bonds, subrogation of the rights of the Bondholders to the Bond Insurer when holding Bonds, amendment hereof, or other terms, as approved by the Corporate Authorities on advice of counsel, their approval to constitute full and complete acceptance by the City of such terms and provisions under authority of this section. -35- Section 27. Severability. If any section, paragraph, clause or provision of this Ordinance shall be held invalid, the invalidity of such section, paragraph, clause or provision shall not affect any of the other provisions of this Ordinance. Section 28. Repealer. All ordinances, resolutions or orders, or parts thereof, in conflict with the provisions of this Ordinance are to the extent of such conflict hereby repealed. -36- Section 29. Effective Date. This Ordinance shall be effective immediately upon its passage and approval. ADOPTED by the City Council on the 10th day of May, 2005,pursuant to a roll call vote as follows: PAUL JAMES MARTY MUNNS JASON LESLIE WANDA O'HARE VALERIE BURD ROSE SPEARS DEAN WOLFER JOSEPH BESCO APPROVED by me, as Mayor of the United City of Yorkville, Kendall County, Illinois,the 10th day of May, 2005. MAYOR PASSED by the City Council of the United City of Yorkville, Kendall County,Illinois,the 10th day of May, 2005. Attest: CITY CLERK -37- Alderman moved and Alderman seconded the motion that said ordinance as presented by the Mayor be adopted. The Mayor then gave a public recital of the nature and purpose of the ordinance, which included a reading of the title of the ordinance and statements (1)that the ordinance provided for the issuance of general obligation alternate bonds for the purpose of financing certain road and street improvements within the City, (2) that the bonds are issuable pursuant to authority of the Illinois Municipal Code and the Local Government Debt Reform Act, (3) that the ordinance provides for the bonds to be paid by those taxes imposed by the City upon public utilities pursuant to Section 8-11-2 of the Illinois Municipal Code or substitute taxes therefor as provided by the State of Illinois in the future,but there is also a backup levy of taxes to pay the bonds, and (4) that the ordinance provides many details for the bonds, including tax-exempt status covenants, provision for terms and form of the bonds, and appropriations. Thereupon the Mayor directed that the roll be called for a vote upon the motion to adopt such ordinance. Upon the roll being called,the following Aldermen voted: AYES: NAY: ABSENT: Whereupon the Mayor declared the motion carried and the ordinance adopted, and did direct the City Clerk to record the same in full in the records of the Corporate Authorities, which was thereupon done. Other business not pertinent to the adoption of said ordinance was duly transacted at said meeting. Upon motion duly made and seconded, the meeting was adjourned. City Clerk -2- STATE OF ILLINOIS ) ) SS COUNTY OF KENDALL ) CERTIFICATION OF ORDINANCES AND MINUTES I, the undersigned, do hereby certify that I am the duly qualified and acting City Clerk of the United City of Yorkville, Kendall County, Illinois (the "City"), and as such officer I am the keeper of the books,records, files, and journal of proceedings of the City and of the City Council (the "Corporate Authorities")thereof. I do further certify that the foregoing constitutes a full,true and complete transcript of the minutes of the legally convened meeting of the Corporate Authorities held on the 10th day of May, 2005, insofar as same relates to the adoption of an ordinance numbered and entitled: AN ORDINANCE authorizing and providing for the issuance of $3,825,000 General Obligation Bonds (Alternate Revenue Source), Series 2005A, of the United City of Yorkville, Kendall County, Illinois, and providing for the imposition of taxes to pay the same. true, correct and complete copies of which said ordinance as adopted at said meeting appear in the foregoing transcript of the minutes of said meeting. I do further certify that the deliberations of the Corporate Authorities on the adoption of said ordinance were taken openly; that the votes on the adoption of said ordinance were taken openly; that said meeting was held at a specified time and place convenient to the public; that notice of said meeting was duly given to all of the news media requesting such notice; that an agenda for the meeting was posted at least 96 hours before the meeting at the location where said meeting was held and at the principal office of the Corporate Authorities; that said agenda contained a separate specific item concerning the proposed adoption of said ordinance, a true, correct and complete copy of said agenda as so posted being attached to this certificate; that said meeting was called and held in strict accordance with the provisions of the Illinois Municipal Code and the Open Meetings Act of the State of Illinois, as amended; and that the Corporate Authorities have complied with all of the applicable provisions of said laws and its own procedural rules in the adoption of said ordinances. IN WITNESS WHEREOF I have hereunto affixed my official signature and the seal of the City,this 10th day of May, 2005. City Clerk [SEAL] -2- STATE OF ILLINOIS ) ) SS COUNTY OF KENDALL ) FILING CERTIFICATE I, the undersigned, do hereby certify that I am the duly qualified and acting County Clerk of The County of Kendall, Illinois (the "County"), and as such officer I do hereby certify that on the day of May, 2005, there was filed in my office a duly certified copy of an ordinance numbered and entitled: AN ORDINANCE authorizing and providing for the issuance of $3,825,000 General Obligation Bonds (Alternate Revenue Source), Series 2005A, of the United City of Yorkville, Kendall County, Illinois, and providing for the imposition of taxes to pay the same. passed by the City Council of the United City of Yorkville, Kendall County, Illinois, on the 10th day of May, 2005, and approved by the Mayor of said City; and that the same has been deposited in the official files and records of my office. IN WITNESS WHEREOF I have hereunto affixed my official signature and the seal of the County this day of May, 2005. County Clerk of The County of Kendall,Illinois [SEAL] ir PUBLIC FINANCE CONSULTANTS SINCE 1954 SPEER FINANCIAL, INC. KEVIN W.McCANNA DAVID F.PHILLIPS LARRY P.BURGER DANIEL D.FORBES BARBARA L.CHEVALIER RAPHALIATA McKENZIE PRESIDENT SR.VICE PRESIDENT VICE PRESIDENT VICE PRESIDENT VICE PRESIDENT VICE PRESIDENT May 10, 2005 The Honorable Arthur F. Prochaska, Jr. and Members of the City Council United City of Yorkville 800 Game Farm Road Yorkville, Illinois 60560 Dear Mayor Prochaska and City Council Members: Bids were received today for the $3,825,000 General Obligation Bonds (Alternate Revenue Source), Series 2005A. There were two bids received which are listed at the bottom of this letter in accordance with the signed bids. Upon examination, it is our opinion that the bid of UBS Financial Services, Inc., Chicago, Illinois, is the best bid received, and it is further our opinion that the bid is favorable to the City and should be accepted. We therefore recommend that the Bonds be awarded to that bidder at a price of$3,818,085.80, plus accrued interest, being at a true interest rate of 4.1893%. The bidders are listed in alphabetic order as follows: True Account Managers Interest Rate Harris Trust and Savings Bank, Chicago, IL 4.2247% UBS Financial Services, Inc., Chicago, IL 4.1893% Respectfully submitted, r -- - Barbara L. Chevalier Vice President BLC/rmr Enclosures SUITE 4100.ONE NORTH LASALLE STREET•CHICAGO,ILLINOIS 60602•(312)346-3700•FAX(312)346-8833 SUITE 608.531 COMMERICAL STREET•WATERLOO,IOWA 50701•(319)291-2077•FAX(319)291-8628 SPEER FINANCIAL, INC. PUBLIC FINANCE CONSULTANTS SINCE 1954 SUITE 4100•ONE NORTH LASALLE STREET•CHICAGO,ILLINOIS 60602•(312)346-3700•FAX(312)346-8833 Insured Investment Rating: Standard & Poor's ... AAA (Ambac Insured) Underlying Investment Rating: Standard & Poor's ... A- $3,825,000 UNITED CITY OF YORKVILLE Kendall County, Illinois General Obligation Bonds (Alternate Revenue Source), Series 2005A Date of Sale: May 10, 2005 Average Life: 11.123 Years Bond Buyer Index: 4.38 (Based on TIC) True Bidders* Price Maturities Rates Interest** UBS Financial Services, Inc., Chicago, IL 99.819% 2006-2016 4.000% 4.1893% 2017 4.100% $1,788,058.29 2018 4.150% 2019 4.250% 2020-2022 4.375% Harris Trust and Savings Bank, Chicago, IL 99.739% 2006 3.500% 4.2247% FTN Financial Capital Markets 2007-2010 3.750% $1,803,252.67 Isaak Bond Investments, Inc. 2011 3.875% Northern Trust Securities, Inc. 2012 3.900% The Bankers Bank 2013 4.100% Bernardi Securities, Inc. 2014 4.125% Wells Fargo Brokerage Services LLC 2015-2016 4.200% Axelrod Associates, Inc. 2017-2018 4.250% 2019-2020 4.300% 2021 4.350% 2022 4.400% *Syndicate information is provided by the underwriter. The information contained in this report is the most current available. **The true interest rate reflects the time value of money where dollars spent in early years have a greater weight than dollars spent in a later years. 05/10/2005 09:39 FAX 312 683 6107 UBS FINANCIAL SERVICES lj001/001 OFFICIAL BID FORM United City of Yorkville May 10,2005 800 Game Farm Road Speer Financial, Inc. Yorkville, Illinois 60560 Fac.tinule: (312)346-8833 City Council Members: For the $3.825,000 General Obligation Bonds (Alternate Revenue Source), Series 2005A. of the United City of Yorkville, Kendall County, Illinois, as described in the annexed Official Notice of Sale, which is expressly made a part of this bid, we will pay you S.i , , /;, /0 (no less than$3,815,000)plus accrued interest from May 1, 2005, to the date of delivery for Bonds bearing interest as follows( •ch rate a multiple of 1/8 or 1/20 of 1%). MATURITIES-DECEMBER 30 5 30,000 2006 !i, e, 3205,000 2012 f•D ^ 33260,000 2017 / '/,6 t 160,000 2007 .11 % 215,000 2073 0 . 275,000 ^010 A.�ti 170,000 , 2008 t, 7, 225,000 2014 , D "v 290,000 201•97v�-5 175,000 2009 '%'1, y 235,000 2015 44!1 300,000 20201/',3,7 u 185,000 2010 'T D_ 250,000 2016 ' ,/) 'v ' 320,000 2021 , • �/ 195,000 2011 i1 1) v 335,000 2022�i3, Any consecutive maturizies may be aggregated into no more than three Fern bonds as the option of the kidder, in which case the mandatory redemption provisions shall be on the same schedule as above.. Maturiaes,- ' lG Tenn Maturity Maturities:o7lig0,2.22Term Maturitycda-,Maturities. Term Maturity The Bonds are to be executed and delivered to us in accordance with the terms of this bid accompanied by the.approving legal opinion of Chapman and Cutler LLP, Chicago, Illinois. The City will pay for the legal opinion, The underwriter agrees to apply for CUSIP numbers within 24 hours and pay the fee charged by the CUSIP Service Bureau and will accept the Bonds with the CLIS1P numbers as entered on the Bonds, As evidence of our good Faith, we enclose herewith a check or Surety Bond payable to the order of rhe Treasurer of the City in the amount of TWO PERCENT OF PAR(the "Deposit") under the terms provided in your Official Notice of Sale. Attached hereto is a list of members of our account On whose behalf this hid is made. Form of DeQosit Account Manager Information UBS FINANCIAL SERVICES INC. Check One: . . TRACY McBRIOE,CORP.V.P. Name ' 1$1 W.MADISON 42nd FL Certified/Cashier's Check LI CHICAGO,L 60602 . Financial Surety Bond • l l • . ess / , `64 6107 FAX) J Amount; $76,500 I / II �/�• "� 1 The above Cenified/Cashier's Check was returned and received City State/Zip- By: - Direct Phone'( ) • Check Number: FAX Number( ) E-Mail Address The foregoing hid was accepted and the Bonds sold by ordinance of the City on May 10, 2005, and receipt is hereby acknowledged of the good faith Deposit which is being held in accordance with the terms of the annexed Official Notice of Sale. UNITED CITY OF YORKVILLE,KENDALL COUNTY,ILLINOIS Mayor NOT PART OI:TIM BID• (Calculation o'true interest cost) Gross Interest $ .../ 2,7/st �'0 • Lees Premium/Pl Discoun $ /'-9,/4.2o • True Interest Cost $ / ?I( •etc 9 True Interest Rate -ji4.j:4"9.__3 % TOTAL BOND YEARS 42,544.38 AVERAGE LIFE 11.123 Years • United City of Yorkville, Kendall County,Illinois $3,825,000 General Obligation Bonds (Alternate Revenue Source), Series 2005A Final Debt Service Schedule Part 1 of 2 Date Principal Coupon Interest Total P+I Fiscal Total 05/01/2005 - - - - - 06/30/2006 - - 183,869.71 183,869.71 - 12/30/2006 30,000.00 4.000% 78,989.38 108,989.38 292,859.09 06/30/2007 - - 78,389.38 78,389.38 - 12/30/2007 160,000.00 4.000% 78,389.38 238,389.38 316,778.76 06/30/2008 - - 75,189.38 75,189.38 - 12/30/2008 170,000.00 4.000% 75,189.38 245,189.38 320,378.76 06/30/2009 - - 71,789.38 71,789.38 - 12/30/2009 175,000.00 4.000% 71,789.38 246,789.38 318,578.76 06/30/2010 _ - 68,289.38 68,289.38 _ 12/30/2010 185,000.00 4.000% 68,289.38 253,289.38 321,578.76 06/30/2011 - - 64,589.38 64,589.38 - 12/30/2011 195,000.00 4.000% 64,589.38 259,589.38 324,178.76 06/30/2012 - - 60,689.38 60,689.38 - 12/30/2012 205,000.00 4.000% 60,689.38 265,689.38 326,378.76 06/30/2013 - - 56,589.38 56,589.38 - 12/30/2013 215,000.00 4.000% 56,589.38 271,589.38 328,178.76 06/30/2014 - - 52,289.38 52,289.38 - 12/30/2014 225,000.00 4.000% 52,289.38 277,289.38 329,578.76 06/30/2015 - - 47,789.38 47,789.38 - 12/30/2015 235,000.00 4.000% 47,789.38 282,789.38 330,578.76 06/30/2016 - - 43,089.38 43,089.38 - 12/30/2016 250,000.00 4.000% 43,089.38 293,089.38 336,178.76 06/30/2017 - - 38,089.38 38,089.38 - 12/30/2017 260,000.00. 4.100% 38,089.38 298,089.38 336,178.76 06/30/2018 - - 32,759.38 32,759.38 - 12/30/2018 275,000.00 4.150% 32,759.38 307,759.38 340,518.76 06/30/2019 . - - 27,053.13 27,053.13 - 12/30/2019 290,000.00 4.250% 27,053.13 317,053.13 344,106.26 06/30/2020 -- - - 20,890.63 20,890.63 - 12/30/2020 300,000.00 4.375% 20,890.63 320,890.63 341,781.26 06/30/2021 - - 14,328.13 14,328.13 - 12/30/2021 320,000.00 4.375% 14,328.13 334,328.13 348,656.26 06/30/2022 - - 7,328.13 7,328.13 - 12/30/2022 335,000.00 4.375% 7,328.13 342,328.13 349,65.6.26 Total $3,825,000.00 - $1,781,144.25 $5,606,144.25 - Series 2005A Final I SINGLE PURPOSE I 5/10/2005 I 10:11 AM Speer Financial, Inc. - Public Finance Consultants Since 1954 Page 1 United City of Yorkville,Kendall County, Illinois $3,825,000 General Obligation Bonds (Alternate Revenue Source), Series 2005A Final Debt Service Schedule Part 2 of 2 Yield Statistics Bond Year Dollars $42,544.38 Average_Life 11.123 Years Average Coupon_._..._...._..____..___...._......___.._...____—__ 4.1865564% Net Interest Cost(NIC) 4.2028081% True Interest Cost(TIC) 4.1893420% Bond Yield for Arbitrage Purposes _ —_ 4.1682658% All Inclusive Cost(AIC) 4.1893420% IRS Form 8038 Net Interest Cost 4.1865564% Weighted Average Maturity 11.123 Years Series 2005A Final I SINGLE PURPOSE I 5/10/2005 I 10:11 AM Speer Financial, Inc. Public Finance Consultants Since 1954 Page 2 .Publication date:26-Apr-2005 .__. _._ —__ Reprinted from RatingsDirect Summary: United City of Yorkville, IL Primary Credit Analyst(s):Ryan M Brady,New York(1)212-438-2123;ryan brady@standardandpoors.com Secondary Credit Analyst(s):Jeffrey Panger,New York(1)212-438-2076;jeff_panger@standardandpoors.com '; f P;`- ,,,,,,,F-40-pm, � Rationale .-,-� 1 1 'A-' grate Standard&Poor's Ratings Services assigned itsrating to United City of ,,,stl P'o Yorkville Ill.'s GO bonds, series 2005A, and affirmed its various ratings on the al e, tereWso"roe ise ' , g - 2005, t o 0 2 05Fd e city's outstanding debt. ;vAgr6- 022 x, a "t- gfrOUlAV y�t0�-40,u, �s ;au-;; The'A-' rating reflects the GO pledge of the city. ,a a t o' 420O5� A e , , t l The rating additionally reflects the city's: 1'.9s am— oggaldstv L—tsiltuFir�� ,M 5 a l.w.; • Proximity to the strong DuPage County area economy; .I-s eVCfedlf Ra ing6;,,'t` 4. t—; 0M��� - F . = e • Above-average income and wealth levels; and l ''� °#, `j"' , • Sound financial position, aO fs n 11F.A t{ce s ,4 BBB- Y °.� '�,i 4, '� r. �. � _ T . ,, A high debt burden and looming growth pressures offset the above strengths. 74 Fkg-O T�OAC S�ABLE�+� The series 2005 bonds are alternate revenue source bonds payable from sales tax revenues. Sales tax revenues must provide for 1.25x debt service on the bonds and all parity alternate revenue source bonds. Additional security is provided by the village's full faith and credit pledge to levy property taxes should the alternate revenue source be insufficient. Yorkville is a nonhome rule jurisdiction, situated in Kendall County, southwest of Aurora, Ill. ('AA'GO rating)and Naperville, Ill. ('AAA' GO rating). The city has seen relatively significant population increases, due to the combination of the high demand for affordable residential development in the area and numerous annexations. Population grew to 8,749 in 2003 from 6,189 in 2000, a 41.3% increase in three years.The city is poised for considerable development, as growth from Chicago, Ill. pushes westward. Management estimates that future annexations and continued strong demand for new houses will drive the population to at least 25,000 by 2010. Assessed value(AV)has had solid gains in recent history, growing 22%in fiscals 2003 and 2002, to a current$201 million. Before fiscal 2002, the tax base had increased an average of 5%annually since fiscal 1996. Because the city is nonhome rule, it is subject to statutory tax caps, limiting its levy-raising ability net of new construction; however, these limitations are tempered by a rapidly growing tax base. In addition,when the city reaches a population of 25,000, expected within the next five years, the city will achieve home-rule status, increasing taxing and borrowing capacity. Residents commute to jobs in Kane and DuPage counties ('AA'and 'AAA'GO ratings, respectively). Major area employers include: • Harper-Wyman Co.,Appliance Control Group, thermostatic controls (1,400 employees); • Waubonsee Community College (750); and • Lyon Metal Products, steel storage equipment(600). Despite access to a wide variety of employment opportunities, the city's unemployment rate typically exceeds state and national averages. In 2003, the city's unemployment rate averaged 8.9%,which was high compared to the state(6.0%)and national (6.7%)levels. Although more recent figures are unavailable for the city through June 2004, strong employment growth improved the county's unemployment rate(5.8%), and it is now on par with the national rate. Income levels are above average. Median household income levels for Yorkville are 124% and 134% of state and national averages, respectively.An above-average market value per capita($71,055) paints an accurate picture of the wealth levels in the township, as the tax base is predominantly residential. Outlook The stable outlook reflects the expectation that the city will maintain structural balance as capital needs rise from growth. Finances and Debt The city's financial position remains healthy in light of rapid population growth that is expected to translate into capital pressures on the city and other local jurisdictions, potentially leading to a higher debt burden as new school, library, and park facilities are built to serve the larger population.At fiscal year-end 2004 (April 30), the unreserved general fund balance stood at$1.4 million,or a sound 23.8% of operating expenditures, up from the previous fiscal year when it totaled$955,000, or 17.4% of operating expenditures. The influx of new residents into the city has increased license, permit, and fee revenues by more than five times in a four-year period to$1.8 million in fiscal 2004 from $342,000 in fiscal 2001.Additionally, sales tax revenues have increased to $1.9 million from $1.0 million in the same time frame. Continual growth of these revenue streams in conjunction with higher-than-anticipated property tax revenues due to new residential construction has lead management to expect that financial operations will generate a surplus in fiscal 2005, despite state-shared revenue cuts. The city relies on state distributions of sales and income tax revenues (35%) and property taxes (20%)as its primary operating revenue sources. Based on 2003 special census results, management expects the city to realize an additional $200,000 of income tax revenues in fiscal 2005, as the state's income tax distribution is population driven. However, despite the city's proactive approach to setting appropriate staffing levels and improving processes to accommodate heightened service needs, staffing costs are expected to significantly rise in the future, potentially offsetting gains related to population growth. The city's overall debt burden is high at$7,887 per capita and 11.1% of market value. However,these ratios are somewhat inflated because included is$26.3 million of special assessment debt that is not borne by the entire population. If this debt is excluded, overall net debt is significantly lowered to $4,319, or 6.1%. Debt-service carrying charges are moderate at 8% of expenditures, and amortization of outstanding debt is average, with 45%of outstanding principal maturing within 10 years. The city maintains a six-year(2004-2009)capital improvement plan (CIP) totaling $54.0 million.The CIP is relatively evenly distributed among water, sewer, and street projects,with the bulk of the projects planned for the first four years. Despite the relatively large size of the CIP, management does not intend to raise the necessary funds through debt financing. Instead, the city is expecting to be able to use monies previously raised through the issuance of debt certificates, future water system connection fees,funding from developers, motor fuel taxes, and a small portion of the general fund balance, to fund various capital projects. Complete ratings information is available to subscribers of RatingsDirect, Standard & Poor's Web-based credit analysis system, at www.ratingsdirect.com.All ratings affected by this rating action can be found on Standard& Poor's public Web site at www.standardandpoors.com; under Credit Ratings in the left navigation bar, select Find a Rating, then Credit Ratings Search. M'�` ''`�C` iti .t ` � `tea","Y�.a"�c --P Y'°r �,.,,.� '4:sic.'S�R.. : g ,isr!ep as e reduced I S adoars iPoo s ati .gs® rec Fthe zp,.er,ttief sou se o�, spall evens dse c cal rafi gs : esea h ,,onp an-41 a organ zajait"' t p afltiawbee ales a oe eche creB ',arta s s o gi D 5e4�6'°; "s°u� '.t ' " ''+ 45'r' -'-� ttX, , r, t s r r a a,, Year p, p i ' Fis ,., .0e q©" ,o . I n N"Ra t ngs Aires,' ISmtepa I:,L i s a p area§nd poraxe / at ogsdtkect j` rr aw rar taP� }w r7 n g.ut ''al.,;., p �p t.�i�.� ���u .yc�u,. �_t:- ,��,r�w � :���r�'1��.F�a.r.�" "ciN :�`. ' � ‘s2� Published by Standard&Poor's,a Division of The McGraw-Hill Companies,Inc.Executive offices:1221 Avenue of the Americas,New York,NY 10020.Editorial offices:55 Water Street, New York,NY 10041. Subscriber services:(1)212-438-7280.Copyright 2005 by The McGraw-Hill Companies,Inc. Reproduction in whole or in part prohibited except by permission.All rights reserved.Information has been obtained by Standard&Poor's from sources believed to be reliable.However,because of the possibility of human or mechanical error by our sources,Standard&Poor's or others,Standard& Poor's does not guarantee the accuracy,adequacy,or completeness of any information and is not responsible for any errors or omissions or the result obtained from the use of such information.Ratings are statements of opinion,not statements of fact or recommendations to buy,hold,or sell any securities. The McGraw-Hill Companies FV SPEER FINANCIAL, INC. A Fr KEVIN W.McCANNA DAVID F.PHILLIPS LARRY P.BURGER PUBLIC FINANCE CONSULTANTS SINCE 1954 DANIEL D.FORBES BARBARA L.CHEVALIER RAPHALIATA McKENZIE PRESIDENT SR.VICE PRESIDENT VICE PRESIDENT VICE PRESIDENT VICE PRESIDENT VICE PRESIDENT May 10,2005 Mayor and City Council United City of Yorkville 800 Game Farm Road Yorkville,Illinois 60560 Attention: Ms.Traci Pleckham,Finance Director Re: Coverage Analysis for$3,825,000 General Obligation Bonds(Alternate Revenue Source), Series 2005A Dear Members of the City Council: As you requested, Speer Financial,Inc.has prepared the report attached hereto as Exhibit A. This report is based upon information supplied by the United City of Yorkville(the"City")as to the revenues from the taxes imposed by the City upon public utilities pursuant to Section 8-11-2 of the Illinois Municipal Code, as amended,or substitute taxes therefore as provided by the State of Illinois in the future(the "Pledged Revenues"). Based solely upon such information and such assumptions,the report demonstrates the sufficiency of the City's Pledged Revenues to provide an amount not less than 1.25 times debt service of the above-referenced bonds(the"Bonds")as required by the Local Government Debt Reform Act,P.A. 85- 1419,as amended(the"Act"). Speer Financial,Inc. is not a legal or accounting firm, and accordingly does not express any legal or accounting interpretations or conclusions in this report. This report is not a guarantee of the sufficiency of the Pledged Revenues to pay debt service on the Bonds. Speer Financial,Inc.hereby certifies that it is a feasibility analyst having a national reputation for expertise in such matters within the meaning of the Act. Speer Financial,Inc.is a nationally recognized firm of employee-owned municipal finance consultants. Since our founding in 1954,we have participated in the sale of over$13.0 billion in taxable and tax-exempt securities as general obligation bonds,revenue bonds, refunding bonds,tax increment bonds and special service area bonds. Attached hereto as Exhibit B is a list of the bond issues completed by Speer Financial,Inc. in the calendar year 2004. Sincerely, SPEE' ANCIAL, . --.....1.--- 'me i Barbara L.Chevalier Vice President Enclosures Copy to: Kelly K.Kost,Esq.,Chapman and Cutler LLP SUITE 4100•ONE NORTH LASALLE STREET•CHICAGO,ILLINOIS 60602•(312)346-3700•FAX-(312)346-8833 SUITE 608.531 COMMERICAL STREET•WATERLOO,IOWA 50701•(319)291-2077•FAX(319)291-8628 - EXHIBIT A-1 United City of Yorkville, Kendall County, Illinois $3,825,000 General Obligation Bonds (Alternate Revenue Source), Series 2005A Final Debt Service Schedule Part 1 of 2 Date Principal Coupon Interest Total P+I Fiscal Total 05/01/2005 - - - - - 06/30/2006 - - 183,869.71 183,869.71 - 12/30/2006 30,000.00 4.000% 78,989.38 108,989.38 292,859.09 06/30/2007 - - 78,389.38 78,389.38 - 12/30/2007 160,000.00 4.000% 78,389.38 238,389.38 316,778.76 06/30/2008 - - 75,189.38 75,189.38 - 12/30/2008 170,000.00 4.000% 75,189.38 245,189.38 320,378.76 06/30/2009 - - 71,789.38 71,789.38 - 12/30/2009 175,000.00 4.000% 71,789.38 246,789.38 318,578.76 06/30/2010 - - 68,289.38 _ 68,289.38 - 12/30/2010 185,000.00 4.000% 68,289.38 T 253,289.38 321,578.76 06/30/2011 - - 64,589.38 64,589.38 - 12/30/2011 195,000.00 4.000% 64,589.38 259,589.38 324,178.76 06/30/2012 - - 60,689.38 60,689.38 - 12/30/2012 205,000.00 4.000% 60,689.38 265,689.38 326,378.76 06/30/2013 - - 56,589.38 56,589.38 - 12/30/2013 215,000.00 4.000% 56,589.38 271,589.38 328,178.76 06/30/2014 - - 52,289.38 52,289.38 - 12/30/2014 225,000.00 4.000% 52,289.38 277,289.38 329,578.76 06/30/2015 - - 47,789.38 47,789.38 - 12/30/2015 235,000.00 4.000% 47,789.38 282,789.38 330,578.76 06/30/2016 - - 43,089.38 43,089.38 - 12/30/2016 250,000.00 4.000% 43,089.38 293,089.38 336,178.76 06/30/2017 - - 38,089.38 38,089.38 - 12/30/2017 260,000.00 4.100% 38,089.38 298,089.38 336,178.76 06/30/2018 - - 32,759.38 32,759.38 - 12/30/2018 275,000.00 4.150% 32,759.38 307,759.38 340,518.76 06/30/2019 - - 27,053.13 27,053.13 - 12/30/2019 290,000.00 4.250% 27,053.13 317,053.13 344,106.26 06/30/2020 - - 20,890.63 20,890.63 - 12/30/2020 300,000.00 4.375% 20,890.63 320,890.63 341,781.26 06/30/2021 - - 14,328.13 14,328.13 - 12/30/2021 320,000.00 4.375% 14,328.13 334,328.13 348,656.26 06/30/2022 - - 7,328.13 7,328.13 - 12/30/2022 335,000.00 4.375% 7,328.13 342,328.13 349,656.26 Total $3,825,000.00 - $1,781,144.25 $5,606,144.25 - Series 2005A Final I SINGLE PURPOSE I 5/10/2005 I 10:27 AM Speer-Financial, Inc. Public Finance Consultants Since 1954 Page 1 EXHIBIT A-1 United City of Yorkville, Kendall County, Illinois $3,825,000 General Obligation Bonds (Alternate Revenue Source), Series 2005A Final Debt Service Schedule Part 2 of 2 Yield Statistics Bond Year Dollars $42,544.38 Average Life 11.123 Years Average Coupon -.---_----__---- --_.----- _._.___._.... 4.1865564% Net Interest Cost(NIC) 4.2028081% True Interest Cost(TIC) 4.1893420% Bond Yield for Arbitrage Purposes 4.1682658% All Inclusive Cost(AIC) _._.. _....__. .................._ 4.1893420% IRS Form 8038 Net Interest Cost 4.1865564% Weighted Average Maturity 11.123 Years Series 2005A Final I SINGLE PURPOSE I 5/10/2005 I 1027 AM Speer Financial, Inc.. Public Finance Consultants Since 1954 Page 2 EXHIBIT A-2 United City of Yorkville, Kendall County, Illinois Projected Debt Service Coverage Table Utility Taxes Alternate Revenue Source Bonds (This Issue Only) Net Utility Taxes Revenue Available Debt Mandatory for Debt Total Service Coverage Remainder Year Service(1) Debt Service(2) Coverage Amounts(3) Available(4) 2006 $ 459,677 $ 292,859 1.57 x $ 366,074 $ 93,603 2007 459,677 316,779 1.45 x 395,973 63,704 2008 459,677 320,379 1.43 x 400,473 59,204 2009 459,677 318,579 1.44 x 398,223 61,454 2010 459,677 321,579 1.43 x 401,973 57,704 2011 459,677 324,179 1.42 x 405,223 54,454 2012 459,677 326,379 1.41 x 407,973 51,704 2013 459,677 328,179 1.40 x 410,223 49,454 2014 459,677 329,579 1.39 x 411,973 47,704 2015 459,677 330,579 1.39 x 413,223 46,454 2016 459,677 336,179 1.37 x 420,223 39,454 2017 459,677 336,179 1.37 x 420,223 39,454 2018 459,677 340,519 1.35 x 425,648 34,029 2019 459,677 344,106 1.34 x 430,133 29,544 2020 459,677 341,781 1.34 x 427,227 32,450 2021 459,677 348,656 1.32 x 435,820 23,857 2022 459,677 349,656 1.31 x 437,070 22,607 $ 5,606,144 Notes: (1) Based on the City's 2004 fiscal year report. (2) This issue only. (3) Equal to the mandatory 125% rate covenant. (4) Remainder available after deducting mandatory coverage amount. EXHIBIT A-3 STATEMENT 2 UNITED CITY OF YORKVILLE, ILLINOIS COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES ALL GOVERNMENTAL FUND TYPES For the Year Ended April 30, 2004 GENERAL SPECIAL DEBT CAPITAL TOTAL FUND REVENUE FUNDS SERVICE FUND PROJECTS FUND (MEMORANDUM ONLY) REVENUES Property Taxes $ 1,292,378 $ 267,876 $ - $ - $ 1,560,254 Sales Tax 1,892,287 - - - 1,892,287 Income Tax 408,429 - - - 408,429 Motor Fuel Tax - 199,973 - - 199,973 Utility Tax 459,677 - - - 459,677 Other Taxes 506,481 - - - 506,481 Sewer Maintenance Fees - 370,229 - - 370,229 Licenses, Permits & Fees 1,776,546 694,901 - 641,305 3,112,752 Fines 70,808 3,237 - - 74,045 Fees for Services - 237,580 - - 237,580 Deviation Fees - 336,700 - - 336,700 Investment Income 8,161 10,897 - 60,550 79,608 Other Revenue 8,396 232,195 147,752 - 388,343 Contributions - 12,988 - - 12,988 Connection Fees - 88,040 - 3,290,453 3,378,493 Grants 63,610 236,793 - - 300,403 TOTAL REVENUES 6,486,773 2,691,409 147,752 3,992,308 13,318,242 EXPENDITURES Current: General Government 2,759,717 - - 1,149,732 3,909,449 Public Safety 1,754,666 - - - 1,754,666 Streets & Sanitation 1,237,686 108,558 - 4,621,296 5,967,540 Culture & Recreation 1,120,823 - - 1,120,823 Sewer Maintenance - 159,441 - - 159,441 Capital Outlay - 446,255 - - 446,255 Land Acquisition - 351,928 - - 351,928 Debt Service: Principal - 50,000 593,337 - 643,337 Interest - 25,042 165,433 - 190,475 TOTAL EXPENDITURES 5,752,069 2,262,047 758,770 5,771,028 14,543,914 Excess (deficiency) of revenues over expenditures 734,704 429,362 (611,018) (1,778,720) (1,225,672) OTHER FINANCING SOURCES (USES) Debt Proceeds - 46,000 - 11,935,000 11,981,000 Accrued Interest on Bonds - - - 9,732 9,732 Premium on Bonds - - - 80,400 80,400 Operating Transfers In 598,178 869,855 618,115 254,874 2,341,022 Proceeds from Sale of Assets - - - 140,410 140,410 Operating Transfers Out (906,028) (242,907) - (2,309,695) (3,458,630) TOTAL OTHER FINANCING SOURCES (USES) (307,850) 672,948 618,115 10,110,721 11,093,934 Excess (deficiency) of revenues over expenditures and other sources (uses) 426,854 1,102,310 7,097 8,332,001 9,868,262 Fund Balances at beginning of year 1,016,448 1,280,422 8,443 3,134,304 5,439,617 Fund Balances at end of year $ 1,443,302 $ 2,382,732 $ 15,540 $ 11,466,305 $ 15,307,879 The accompanying notes to the financial statements are an integral part of this statement. 5 SPEER FINANCIAL, INC. 4/14/2005 CLIENT SALES OF SECURITIES 2004 EXHIBIT B Investment Issue Type of Date #of Net/True Interest Rate Last Issuer Rating Size Security of Sale Bidders Low Bid NO Bid Maturity 1 Fox Valley PD, IL N/R 2,139,035 G.O. Limited Tax Park 12-Jan 6 1.1200% 1.9500% 2004 2 Riverside/Brookfield THSD, IL MIG1 1,500,000 G.O. Limited Tax 13-Jan 3 1.1203% 1.2470% 2004 3 Cary PD, IL A3 5,000,000 Debt Certificates 15-Jan 4 4.3580% 4.5882% 2021 4 Downers Grove PD, IL Aaa(Ins)/Aa3 1,560,000 G.O. Refunding 15-Jan 6 1.3663% 1.7230% 2006 5 Downers Grove PD, IL Aaa(Ins)/Aa3 6,425,000 G.O. Ref Alt Rev Park 15-Jan 4 3.3010% 3.4696% 2019 6 Berkeley, IL AAA(Ins)/A 2,500,000 G.O. 20-Jan 3 3.8273% 3.9813% 2023 7 Franklin Park, IL N/R 14,865,000 G.O.Alt Rev 20-Jan Neg 4.8450% 2034 8 Franklin Park, IL N/R 20,135,000 G.O. Ref Alt Rev 20-Jan Neg 4.0750% 2022 9 Robins, IA N/R 350,000 G.O. Public Safety Facility 20-Jan 4 3.3369% 3.4865% 2014 10 Lockport Township PD, IL AAA(Ins)/A 4,000,000 G.O. Limited Tax Park 26-Jan 9 2.5300% 2.7188% 2011 11 Fox Valley PD, IL Al 2,080,000 G.O. Ref Alt Rev 26-Jan Neg 2.0847% 2008 12 Bartlett PD, IL N/R 190,460 G.O. Limited Tax Park 27-Jan 5 1.3759% 2.3940% 2004 13 Mt. Prospect PD, IL N/R 2,265,000 ICC Ref 27-Jan Neg 2.6225% 2009 14 Bloomingdale PD, IL N/R 476,860 G.O. Limited Tax Park 2-Feb 2 1.4500% 2.5669% 2004 15 Kane FPD, IL AAA(Ins)/AA 45,770,000 G.O. Ref 3-Feb 6 3.7616% 3.8216% 2020 16 Decatur PD, IL N/R 300,000 G.O. Airport 4-Feb 3 1.3835% 1.5958% 2004 17 Decatur PD, IL N/R 2,550,650 G.O. Park 4-Feb 7 1.5460% 1.6834% 2005 18 Coulter, IA N/R 39,000 Spec Asses St Improv 4-Feb Neg 4.8859% 2013 19 Montrose, IA N/R 470,000 G.O. Sewer Improvement 5-Feb 4 3.5266% 4.3079% 2019 20 Oak Forest PD, IL N/R 600,000 Debt Certificates 9-Feb Neg 2.7006% 2009 21 Latimer, IA N/R 505,000 G.O. Corporate Purpose 11-Feb Neg 4.6258% 2018 22 Winfield PD, IL N/R 350,000 Debt Certificates 17-Feb 6 2.2200% 3.9328% 2009 23 Glen Ellyn PD, IL N/R 1,185,400 G.O. Limited Tax Park 17-Feb 7 1.4231% 2.8227% 2005 24 River Trails PD, IL N/R 734,845 G.O. Limited Tax Park 19-Feb Neg 1.4000% 2004 25 Lisle PD, IL N/R 586,310 G.O. Limited Tax Park 19-Feb 6 1.4579% 2.8000% 2005 26 Palos Hills, IL AAA(Ins)/A 2,050,000 Debt Certificates 19-Feb 7 3.0331% 3.1913% 2014 27 Des Plaines PD, IL N/R 2,325,000 G.O. Ref Park 24-Feb 6 1.4423% 1.6494% 2005 28 Yorkville, IL BBB+ 1,600,000 Debt Certificates 24-Feb 4 2.9816% 4.3130% 2014 29 Yorkville, IL AAA(Ins)/A- 3,500,000 G.O. (Alt Rev) 24-Feb 5 3.6147% 4.0125% 2018 30 Beach Park, IL N/R 450,000 SSA No.Two Special Tax 24-Feb Neg 5.4216% 2013 31 Lombard PD, IL N/R 1,454,775 G.O. Limited Tax Park 24-Feb 5 1.5096% 2005 32 Blue Island PD, IL N/R 163,680 G.O. Limited Tax Park 26-Feb Neg 2.4100% 2006 33 Gurnee, IL Aa2/AA+ 3,140,000 G.O. Refunding 1-Mar Neg 3.2480% 2015 34 Grundy Cty Mem Hosp, IA N/R 4,025,000 Hospital Revenue Bonds 2-Mar Neg 4.3258% 2011 35 Waukegan, IL Aaa(Ins)/A2 8,245,000 Parking Fees/Sales Tax Rev 15-Mar 4 3.8691% 3.9868% 2024 36 Waukegan, IL Aaa(Ins)/A1 9,450,000 Taxable G.O. 15-Mar 10 3.0950% 3.3816% 2008 37 Decatur, IL Aaa(Ins)/A1 12,245,000 G.O. 15-Mar 4 3.9327% 4.0259% 2025 38 Decatur, IL Aaa(Ins)/A1 29,070,000 G.O. Ref 15-Mar ° 5 3.9449% 4.0798% 2025 39 Joliet, IL AAA(Ins)/A+ 25,000,000 WW&Sewerage Rev 16-Mar 5 3.4783% 3.5611% 2016 40 Elmhurst, IL N/R 17,860,000 Warrant Agreement 23-Mar Neg 6.0600% 2021 41 W. DesMoines Waterworks, IA Aaa(Ins)/A1 5,415,000 Water Rev Ref 31-Mar 2 3.6670% 3.7148% 2016 L SPEER FINANCIAL, INC. 4/14/2005 CLIENT SALES OF SECURITIES 2004 EXHIBIT B Investment Issue Type of Date #of Net/True Interest Rate Last Issuer Rating Size Security of Sale Bidders Low Bid High Bid Maturity 42 Bloomingdale PD, IL A+ 4,000,000 G.O. Park (Alt) 5-Apr 2 4.5939% 4.7990% 2023 43 Matteson, IL Al 1,000,000 G.O. (Sales Tax Alt) 5-Apr 3 2.7728% 3.0644% 2009 44 Tinley Park PD, IL N/R 935,000 Ref Loan Agreement 7-Apr 3 2.9700% 3.4809% 2019 45 Evanston/Skokie CCSD#65 Aaa(Ins) 5,810,000 G.O. Ref School 12-Apr 8 3.0818% 3.2208% 2011 46 Wheeling, IL AAA/AAA(Ins)/AA/AA+ 8,000,000 G.O. 12-Apr 3 4.3323% 4.4186% 2023 47 Elgin, IL Aaa/AAA(Ins)/Aa2/AA 11,860,000 G.O. Corporate Purpose 14-Apr 3 4.3892% 4.5042% 2023 48 Hiawatha, IA N/R 2,160,000 G.O. Capital Loan Notes 14-Apr 7 3.1808% 3.4910% 2014 49 Sullivan, IL N/R 1,040,000 G.O. WW& Sew Ref Alt 26-Apr 5 2.2468% 2.8468% 2008 50 Clarendon Hills PD, IL N/R 1,000,000 Debt Certificates 26-Apr 3 3.6027% 4.4653% 2014 51 Addison, IL AAA/AAA(Ins)/AA/AA+ 7,500,000 G.O. 3-May 8 3.9060% 4.1177% 2019 52 Arlington Heights, IL Aaa(ins)/Aa2 20,000,000 G.O. 3-May 3 4.9218% 4.9766% 2026 53 Round Lake Park, IL N/R 200,000 Debt Certificates 4-May Neg 3.5000% 2009 54 Union County, IA Aaa(Ins) 5,285,000 G.O. Urban Renewal Ref 4-May 8 3.7143% 3.8906% 2017 55 Roselle, IL AAA(Ins)/AA 2,050,000 G.O. (Alt Rev) 10-May 4 4.5425% 4.6523% 2023 56 Oakbrook Terrace, IL N/R 650,000 G.O. 11-May 3 4.1364% 4.4490% 2016 57 South Barrington, IL N/R 3,155,000 Taxable G.O 13-May Neg 2.2300% 2007 58 North Fayette CSD, IA N/R 1,470,000 Sales& Servs.Tax Rev 17-May 2 4.1818% 4.2529% 2013 59 DesPlaines, IL Aaa(Ins)/Aa3 8,400,000 G.O. 17-May 11 4.1507% 4.3477% 2020 60 DesPlaines, IL Aaa(Ins)/Aa3 8,900,000 Taxable G.O. 17-May 5 5.6535% 5.8144% 2021 61 Mt. Zion, IL N/R 300,000 G.O.Alt Rev 17-May Neg 2.9500% 2008 62 Springfield PD, IL N/R 1,600,000 G.O. (Ltd Tax) Park 19-May 5 3.6527% 4.5395% 2012 63 Sumner, IA N/R 285,000 G.O. Fire Station Notes 19-May 2 3.4476% 3.5918% 2013 64 Postville, IA N/R 4,520,000 Sewer Rev Bond Anticipation 24-May Neg 4.5000% 2007 65 Clinton, IA N/R 7,650,000 G.O. Refunding 25-May 10 2.7442% 2.8812% 2009 66 Lake in the Hills, IL Aa3 905,000 G.O. 27-May 4 3.8225% 4.0854% 2013 67 Waterloo, IA Aaa(Ins)/A2 9,745,000 G.O. 3-Jun 5 4.0456% 4.1783% 2019 68 Waterloo, IA Aaa(Ins)/A3 3,825,000 G.O.Taxable 3-Jun 5 5.5780% 6.0352% 2019 69 Oak Park, IL Aa3/AA 3,715,000 Taxable G.O. Corp Purpose 7-Jun 6 5.3026% 5.8187% 2014 70 Oak Park, IL Aaa/AAA(Ins)/Aa3/AA 11,500,000 G.O. Corporate Purpose 7-Jun 4 4.7692% 4.8794% 2024 71 Oak Park, IL Aa3/AA 1,265,000 G.O. Corporate Purpose 7-Jun 2 3.0937% 3.1650% 2009 72 Oak Park, IL Aa3/AA 2,740,000 G.O. Refunding 7-Jun Neg 3.7928% 2012 73 Waukegan PD, IL Aaa(Ins)/A1 9,495,000 G.O. Park (Alt) 8-Jun 8 3.8791% 4.0001% 2017 74 Central City, IA N/R 745,000 G.O. Corp Purpose Ref 9-Jun 5 3.7317% 4.1193% 2014 75 Gilbertville, IA N/R 750,000 G.O. Water Improvement 10-Jun 4 4.8766% 5.0750% 2024 76 La Porte City, IA N/R 600,000 G.O. Capital Loan Notes 15-Jun 4 3.9713% 4.0985% 2014 77 Manchester, IA N/R 2,375,000 G.O. Corporate Purpose 16-Jun 5 3.4374% 3.6753% 2014 78 River Trails PD, IL AAA(Ins)/A 1,380,000 G.O. Park(Alt Rev) 17-Jun 4 4.4235% 4.7125% 2019 79 Riverside, IL Aaa(Ins)/A1 2,060,000 G.O. 21-Jun 7 3.7441% 3.9679% 2014 80 Waterloo, IA N/R 330,000 G.O. Capital Loan Notes 21-Jun 2 4.4000% 4.9500% 2005 81 Chillicothe CUSD#321, IL A 1,140,000 G.O. School 22-Jun 7 2.8740% 3.1872% 2008 82 Roselle, IL AAA(Ins)/AA 1,450,000 G.O. (Alt Rev) 28-Jun 3 4.3531% 4.7603% 2021 SPEER FINANCIAL, INC. 4/14/2005 CLIENT SALES OF SECURITIES 2004 EXHIBIT B Investment Issue Type of Date #of Net/True Interest Rate Last Issuer Rating Size Security of Sale Bidders Low Bid High Bid Maturity 83 Bourbonnais Township PD, IL N/R 900,000 G.O. Ltd. Tax Park 28-Jun Neg 3.2732% 2009 84 Charleston, IL A 1,500,000 G.O. 6-Jul 5 4.0628% 4.2101% 2019 85 Tinley Park PD, IL Aaa(Ins)/A2 4,000,000 G.O. Ltd. Tax Park 7-Jul 11 3.2926% 3.4851% 2014 86 Waterloo, IA Aaa(Ins) 9,595,000 Sewer Rev Ref Taxable 8-Jul 5 5.0068% 5.2098% 2016 87 Waterloo, IA Aaa(Ins) 11,640,000 Sewer Rev Ref 8-Jul 3 3.4251% 3.4353% 2017 88 Villa Park, IL A2 1,650,000 Debt Certificates 12-Jul 3 4.5431% 4.9343% 2023 89 Aurora, IL N/R 7,140,000 Tax Increment Revenue 13-Jul Neg 5.6600% 2013 90 Yorkville, IL N/R 650,000 Debt Certificates 13-Jul 2 4.6677% 5.1148% 2012 91 Yorkville, IL A+/A1 12,205,000 Variable Rate Spec Tax 14-Jul Neg 2.0000% 2034 92 Goodwill Ind of NE IA, IA N/R 2,500,000 Facitlity Revenue Note 15-Jul Neg 4.4700% 2014 93 Tremont, IL N/R 1,250,000 Debt Certificates 19-Jul Neg 4.7332% 2023 94 Bremer County, IA N/R 2,065,000 GO Urban Ren Student Housing 21-Jul 5 4.1873% 4.5528% 2023 95 Lombard, IL AA- 7,190,000 G.O. Ltd.Tax Debt Certificates 22-Jul 4 3.2727% 3.4620% 2014 96 Lombard, IL N/R 175,000 Special Assessment#218 22-Jul Neg 5.5000% 2019 97 Peru, IL Aaa/AAA(Ins)/A2 4,750,000 G.O. 26-Jul 8 4.0248% 4.2024% 2021 98 Zion, IL AAA(Ins) 2,200,000 Taxable G.O. Alt Rev 27-Jul 5 5.3990% 5.9146% 2019 99 Lynwood, IL N/R 1,500,000 G.O. 27-Jul Neg 4.5765% 2019 100 Bensenville, IL Aaa (Ins) 4,000,000 G.O.Alt Rev 16-Aug Neg 4.5322% 2023 101 Bensenville, IL Aaa (Ins) 3,500,000 G.O.Alt Rev 16-Aug Neg 4.9429% 2023 102 Peoria, IL AA 2,875,000 Downtown Redev Park Rev Ref 17-Aug 4 2.6024% 2.9179% 2009 103 Peoria, IL Aaa/AA(Ins)/Aa3/AA 5,390,000 G.O. 17-Aug 4 4.9385% 4.4803% 2025 104 Hampshire, IL N/R 160,000 Special Service Area 19-Aug Neg 2.4550% 2008 105 Bourbonnais Township PD, IL N/R 250,000 Debt Certificates 19-Aug 1 3.6178% 2009 106 New Trier THSD#203, IL Aaa 7,998,637 G.O. Ltd. Tax CAB School 23-Aug 5 3.4740% 3.9970% 2014 107 Lena Community PD, IL N/R 246,870 G.O. Ltd Tax Park 23-Aug 3 2.5500% 2.9700% 2005 108 Peoria, IL Aaa/AAA(Ins)Aa3/AA 11,985,000 GO Refunding 31-Aug Neg 3.9048% 2018 109 Elgin, IL Aaa/AAA(Ins)/Aa2/AA 5,485,000 G.O. Refunding 31-Aug Neg 3.6788% 2017 110 Glendale Heights, IL Aa3 4,135,000 G.O. Refunding 2-Sep 9 2.5657% 2.8456% 2010 111 Glen Ellyn PD, IL N/R 1,850,000 G.O. Ref. Park 2-Sep 3 2.2212% 2.2454% 2007 112 Romeoville, IL Aaa/AAA(Ins)/A2 22,025,000 G.O. 3-Sep Neg 4.0319% 2024 113 Warrenville PD, IL N/R 3,450,000 Debt Certificates 8-Sep Neg 3.0742% 2009 114 Lena Community PD, IL N/R 110,000 Debt Certificates, 9-Sep Neg 3.7165% 2013 115 Savanna PD, IL N/R 120,000 G.O. Ltd Tax Park 9-Sep Neg 2.2200% 2005 116 Evanston/Skokie CCSD#65 Aaa(Ins) 9,040,000 G.O. Refunding School 13-Sep 12 1.8955% 2.1721% 2006 117 Aurora, IL AAA(Ins)/AA 10,000,000 G.O. 14-Sep 4 4.1045% 4.2142% 2024 118 Lake Villa Township, IL N/R 800,000 Debt Certificates 14-Sep 3 3.3873% 4.9254% 2014 119 Elgin CCD#509, IL Aa2 9,995,000 G.O. Refunding 14-Sep Neg 3.4675% 2013 120 Murphysboro PD, IL N/R 158,915 G.O. Park(Ltd Tax) 16-Sep 1 4.2618% 2011 121 Crystal Lake PD, IL A+ 1,500,000 Debt Certificates 16-Sep 3 4.1140% 4.2810% 2023 122 Crystal Lake PD, IL AA- 479,240 G.O. Ltd Tax Park 16-Sep 4 1.8824% 2.7311% 2005 123 Matteson, IL Aaa(Ins) 3,305,000 G.O. Ref(Alt Rev) 20-Sep Neg 3.0487% 2011 SPEER FINANCIAL, INC. 4/14/2005 CLIENT SALES OF SECURITIES 2004 EXHIBIT B Investment Issue Type of Date #of Net/True Interest Rate Last Issuer Rating Size Security of Sale Bidders Low Bid High Bid Maturity 124 Matteson, IL Al 2,930,000 G.O. Ref(Alt Rev) 20-Sep Neg 3.6357% 2016 125 Mt. Prospect PD, IL N/R 2,500,000 G.O. Ltd Tax Park 22-Sep 5 2.2082% 2.6177% 2007 126 Matteson, IL N/R 10,000,000 Tax Increment Revenue 23-Sep Neg 5.0296% 2017 127 Carpentersville, IL Aaa(Ins) 3,280,000 G.O. Ref 5-Oct Neg 3.4823% 2015 128 Homewood-Flossmoor PD, IL N/R 882,700 G.O. Ltd Tax Park 5-Oct 4 2.0000% 2.8258% 2005 129 Westchester PD, IL N/R 467,575 G.O. Ltd Tax Park 7-Oct Neg 2.0000% 2005 130 Minooka, IL N/R 5,850,000 Special Assess Improvement 8-Oct Neg 6.3750% 2034 131 Pekin PD, IL N/R 495,000 G.O. Limited Tax Park 13-Oct 4 2.1218% 2.7743% 2006 132 Oak Forest PD, IL N/R 775,000 G.O. Limited Tax Park 14-Oct 2 2.3398% 3.8500% 2006 133 Addison, IL N/R 2,500,000 G.O. 18-Oct Neg 3.3680% 2012 134 Lynwood, IL N/R 600,706 Sr Lien Cap Appr Tax Incr Rev 19-Oct Neg 10.2269% 2015 135 Lynwood, IL N/R 810,000 Jr Lien Cap Appr Tax Incr Rev 19-Oct Neg 136 Bensenville, IL N/R 225,000 G.O. Ltd.Tax Ref 19-Oct Neg 2.2902% 2006 137 Sycamore PD, IL N/R 486,160 G.O. Ltd.Tax Park 19-Oct 7 1.8000% 4.0000% 2005 138 Palos Park, IL N/R 450,000 Water&Sewer Alt Rev. 19-Oct Neg 3.6404% 2019 139 Lockport, IL AA- 2,480,000 G.O. Refunding 20-Oct 7 2.5074% 2.7254% 2009 140 Lockport, IL AA- 170,000 G.O. Ltd Tax 20-Oct 2 2.2040% 2.5705% 2007 141 Hanover Park, IL Aaa/AAA(Ins)/Aa3/AA- 7,000,000 G.O. 21-Oct 4 4.1135% 4.2062% 2024 142 Fairfax, IA N/R 700,000 G.O. Wastewater Improvement 25-Oct 3 4.0310% 4.1424% 2020 143 Clarendon Hills PD, IL N/R 138,000 G.O. 25-Oct 2 1.9800% 2.4000% 2005 144 Prospect Heights PD, IL N/R 2,215,000 G.O. Refunding Park(Alt Rev) 26-Oct 2 3.0449% 3.1940% 2010 145 Prospect Heights PD, IL N/R 499,050 G.O. Ltd Tax Park 26-Oct 4 1.9500% 2.7400% 2005 146 Des Moines, IA Aaa(Ins)/Aa2/AA+ 6,930,000 Water Revenue 26-Oct 3 4.0184% 4.1586% 2024 147 Des Moines, IA Aaa(Ins)/Aa2/AA+ 18,290,000 Water Rev Ref 26-Oct 4 3.5629% 3.7171% 2017 148 Vinton, IA N/R 940,000 G.O. Corp Purpose Notes 28-Oct 5 3.5242% 4.0464% 2016 149 Winnebago County, IL Aaa(Ins)/A1 10,000,000 G.O.Alt Rev 28-Oct 4 4.0969% 4.2173% 2022 150 Winnebago County, IL Aaa(Ins)/A1 4,400,000 G.O. 911 Surcharge Alt Rev 28-Oct 2 3.8396% 3.8995% 2019 151 Winnebago County, IL Aaa(Ins)/A1 2,600,000 G.O. Debt Certificates 28-Oct 4 2.3531% 2.5788% 2008 152 Capron, IL N/R 280,000 Debt Certificates, 1-Nov Neg 3.5048% 2008 153 Capron, IL N/R 3,000,000 G.O.WW& Sew Alt Rev 1-Nov Neg 4.7726% 2023 154 Freeport PD, IL N/R 850,000 G.O. Ltd Tax Park 2-Nov 5 2.1500% 2.9500% 2005 155 Dundee Township PD, IL N/R 1,669,475 G.O. Ltd Tax Park 3-Nov 3 2.1000% 2.6500% 2005 156 Bensenville PD, IL N/R 500,000 G.O. Ltd Tax Park 10-Nov 2 2.6288% 2.8346% 2007 157 Itasca PD, IL N/R 395,325 G.O. Ltd Tax Park 11-Nov Neg 2.0000% 2005 158 Highland Park, IL Aaa 10,175,000 Taxable G.O. Pension Funding 11-Nov Neg 4.8000% 2034 159 Highland Park, IL Aaa 6,415,000 Taxable G.O. Pension Funding 11-Nov Neg 4.8000% 2034 160 Hanover Park PD, IL N/R 749,670 G.O. Ltd Tax Park 15-Nov 4 2.2500% 2.6667% 2005 161 Geneva PD, IL AAA(Ins)/AA- 5,305,000 G.O. Ref 15-Nov 7 3.6156% 3.7777% 2017 162 Gurnee PD, IL N/R 715,000 G.O. Ltd Tax Park 15-Nov 5 2.0100% 3.3160% 2005 163 Orland Park, IL Aaa/AAA(Ins)/Aa3/AA 9,815,000 G.O. Ref 15-Nov 11 3.5788% 3.7561% 2018 164 DesPlaines, IL Aaa(Ins)/Aa3 5,550,000 G.O. 15-Nov Neg 4.1880% 2022 SPEER FINANCIAL, INC. 4/14/2005 CLIENT SALES OF SECURITIES 2004 EXHIBIT B Investment Issue Type of Date #of Net/True Interest Rate Last Issuer Rating Size Security of Sale Bidders Low Bid High Bid Maturity 165 DesPlaines, IL Aaa(Ins)/Aa3 1,030,000 G.O. Ref 15-Nov Neg 4.1880% 2022 166 DesPlaines, IL Aaa(Ins)/Aa3 2,330,000 G.O. Ref 15-Nov Neg 4.1880% 2022 167 Riverdale PD, IL N/R 150,000 G.O. Ltd Tax Park 16-Nov Neg 4.0400% 2007 168 Carbondale CHSD#165, IL AAA/AAA(Ins) 9,875,000 G.O. Ref School 17-Nov 6 3.7023% 3.8362% 2018 169 Forest Park PD, IL N/R 510,000 G.O. 18-Nov Neg 2.7026% 2009 170 Hawthorne PD, IL N/R 165,000 G.O. Park 18-Nov 1 2.6478% 2006 171 St. Charles CUSD#303, IL Aaa(Ins)/A2 4,325,000 Debt Certificates 22-Nov 3 4.1738% 4.2954% 2024 172 St. Charles CUSD#303, IL Aaa(Ins)/A2 2,300,000 Debt Certificates 22-Nov 2 3.5825% 3.6994% 2015 173 Chicago Ridge PD, IL N/R 299,555 G.O. Ltd. Tax Park 24-Nov 2 2.4500% 2.6188% 2005 174 Channahon PD, IL N/R 300,000 Debt Certificates 1-Dec 4 3.5000% 4.5121% 2013 175 Channahon PD, IL N/R 915,000 G.O. 1-Dec 5 2.3750% 2.9890% 2005 176 New Lenox PD, IL Aaa(Ins) 6,180,000 G.O. Refunding 1-Dec 9 3.3594% 3.7257% 2015 177 Cary PD, IL AAA(Ins)/AA- 5,725,000 G.O. Park Refunding (Alt Rev) 2-Dec 3 3.8929% 3.9207% 2017 178 Cary PD, IL AAA(Ins)/AA- 4,225,000 G.O. Park Refunding (Alt Rev) 2-Dec 5 3.2352% 3.2727% 2012 179 Cary PD, IL N/R 609,805 G.O. Ltd Tax Park 2-Dec 6 2.1500% 3.5500% 2005 180 Bloomingdale PD, IL N/R 675,295 G.O. Ltd Tax Park 6-Dec 2 2.3000% 3.0000% 2005 181 Carbondale CHSD#165, IL AAA/AAA(Ins) 1,005,000 G.O. Ref 6-Dec 5 3.3492% 3.5089% 2012 182 East Moline, IL Aaa (Ins) 1,315,000 G.O Ref Alt 6-Dec Neg 3.5441% 2016 183 Elkhart CSD, IN Aaa(Ins)/Aa3/A1 17,310,000 First Mortgage 7-Dec 4 4.3417% 4.3838% 2024 184 Vernon Hills, IL AAA/Aaa 3,540,000 G.O. Ref(Alt Rev) 7-Dec Neg 3.7302% 2018 185 Elmhurst, IL N/R 9,990,000 G.O. Ref 9-Dec Neg 4.0149% 2021 186 Huntley Area PLD, IL Aaa(Ins)/A2 2,055,000 G.O Ref 13-Dec 6 2.8386% 3.0821% 2011 187 Minooka, IL N/R 4,150,000 Debt Certificates 13-Dec Neg 3.5100% 2014 188 Minooka, IL N/R 115,000 Debt Certificates 13-Dec Neg 3.5100% 2005 189 La Grange, IL N/R 9,320,000 G.O. Library 13-Dec Neg 4.0729% 2024 190 Waukegan PD, IL N/R 500,000 G.O. Ltd Tax Park 14-Dec 6 2.2493% 2.7800% 2005 191 St. Charles PD, IL AA- 3,865,000 G.O. Ltd Park 14-Dec 3 2.8783% 2.9800% 2011 192 St. Charles PD, IL AA- 1,135,000 G.O. Ltd Park 14-Dec Neg 2.1000% 2005 193 Aurora, IL AAA(Ins)/AA 7,130,000 G.O. Corp Purpose Ref 14-Dec 6 3.6526% 3.7278% 2017 194 Montgomery, IL N/R 20,000,000 SSA No. Ten 14-Dec Neg 3.5000% 2007 195 Freeport, IL AAA(Ins)/A 8,665,000 G.O. Refunding 15-Dec Neg 4.1404% 2024 196 Waubonsee CCD#516, IL N/R 600,000 Taxable G.O. Ltd Tax 15-Dec Neg 3.9254% 2006 197 Yorkville, IL N/R 13,000,000 SSA 2004-104 16-Dec Neg 6.5000% 2034 198 Mattoon, IL N/R 4,210,000 G.O. (Sewerage Alt Rev) 16-Dec Neg 3.6600% 2018 199 Mattoon, IL N/R 2,105,000 G.O. (Alt Rev) 16-Dec Neg 3.7500% 2019 200 Maywood, IL N/R 6,375,000 G.O. TIF 20-Dec Neg 4.5000% 2013 201 Postville, IA N/R 1,200,000 Water Revenue 22-Dec Neg 2.9860% 2005 202 Collinsville, IL N/R 4,850,000 Debt Certificates 28-Dec Neg 5.7500% 2023 The above listing is a full and complete record of Speer Financial's sales of municipal securities for the time period shown. SPEER FINANCIAL, INC. 4/14/2005 CLIENT SALES OF SECURITIES 2004 EXHIBIT B Investment Issue Type of Date #of Net/True Interest Rate Last Issuer Rating Size Security of Sale Bidders Low Bid High Bid Maturity Note: All interest rates are Net Interest Cost(MC)except where True Interest Cost(TIC)is specified. THSD=Township High School District Ref. =Refunding PBC=Public Building Commission ICC= Installment Contract Certificates Moody's Rating Code: High to Low SD=School District (Alt.)=G.O. (Alternate Revenue Source)Bonds Grades: Aaa,Aa,A,Baa PD=Park District (Ins.)=Insured Within Each Non-Aaa Grade: 1,2,3 CCD=Community College District DC=Debt Certificates FPD=Forest Preserve District N/R= Not Rated CUSD=Community Unit School District Number Par Type of Sale of Issues % Amount % Number of Bidders Negotiated 72 35.64% 315,101,131 35.80% Competitive 130 64.36% 565,111,862 64.20% 605 Bidders Total Bond Sales To Date In 200, 202 100.00% 880,212,993 100.00% 4.7 Average FOR PRIOR YEAR 2003: Number Par Type of Sale of Issues % Amount % Number of Bidders Negotiated 79 34.80% 369,962,632 35.99% Competitive 148 65.20% 657,908,683 64.01% 710 Bidders Total Bond Sales In Calendar Ye: 227 100.00% 1,027,871,315 100.00% 4.8 Average