SYCAMORE CITY COUNCIL AGENDA April 21, 2014

Transcription

1 SYCAMORE CITY COUNCIL AGENDA April 21, 2014 CITY COUNCIL BUSINESS SPOTLIGHT 6:00 P.M. Immediately prior to the regular Council meeting, the City Council will visit Smart Motion Robotics, located at 805 Thornwood Drive, to learn more about the company including its history and automated robotics. As a leading robotic solutions provider, Smart Motion Robotics works with many industries to reduce costs, create efficiencies, and improve product quality. The company aims to eliminate many of the problems business owners have when trying to automate their operations. 1. CALL TO ORDER 2. INVOCATION REGULAR CITY COUNCIL MEETING 7:00 P.M. 3. PLEDGE OF ALLEGIANCE 4. APPROVAL OF AGENDA 5. AUDIENCE TO VISITORS 6. CONSENT AGENDA A. Approval of the Minutes for the Regular City Council Meeting of April 7, B. Approval of the Closed Session Minutes for the Meetings of October 7, 2013, November 18, 2013, December 2, 2013, February 3, 2014, and March 17, C. Release of Closed Session Minutes for the Meeting of October 7, D. Approval to Destroy the Auditory Tapes from the Closed Session City Council Meetings During the Period from April 6, 2012 through September 4, E. Payment of the Bills for April 21,

2 7. PRESENTATION OF PETITIONS, COMMUNICATIONS, AND BILLS. A. A Proclamation Declaring April 25, 2014 as Arbor Day in the City of Sycamore. 8. REPORTS OF OFFICERS 9. REPORTS OF STANDING COMMITTEES 10. APPOINTMENTS 11. PUBLIC HEARINGS None 12. ORDINANCES A. Ordinance No An Ordinance Concerning the Adoption of the Combined Budget and Appropriation Ordinance for the Fiscal Year in the City of Sycamore, Illinois. Second Reading. Ordinance formally adopts the Fiscal Year 2015 budget. This budget document compiles the numerical and narrative budgets for each General Fund department and each of the City s capital funds, special funds, and bond funds in one volume for easy reading and reference. Spending within the FY2015 Budget totals $56,689,816 inclusive of all City funds (including $28,633,794 in pass-through fuel funds). The General Fund expenditure budget totals $14,180,842. These expenditures are offset by $14,181,738 in anticipated General Fund revenues. No new taxes are proposed in the FY15 budget as anticipated revenues are comprised from existing sources. The estimated General Fund operating reserve or starting fund balance as of May 1, 2014 is $4,704,975 or 33% percent of the planned General Fund expenditures for FY2015. General Fund operating expenditures continue to be constrained to meet general revenues that are beginning to rebound from the depths of the great recession. Non-personnel categories have been increased by inflation for the first time since The only spending categories to experience increases in excess of inflation are those associated with safety and training. The City s employees have made a concerted effort to work safely and the results of less work injuries led to a decrease in the City s worker s compensation premiums for the first time in over 10 years. General capital reserves will again be brought into the General Fund to achieve departmental spending targets that continue basic services. Consistent with the 5-7 year plan to bring the General Fund to financial independence, capital transfers have been reduced by $100,000 from FY14. The proposed transfers of $385,000 are roughly half of the $728,000 that was relied on in FY12. This has been possible due to an improving economy, reducing debt service obligations through a refunding bond, the addition of new business and fiscal constraint. 2

3 Aside from conventional operating expenditures, other significant General Fund expenditures include the following: Debt service of $408,500 to fund the principal and interest on the 2007 general obligation bond ($200,000); 2005 refunding bond ($55,000); and the 2002 general obligation bond ($153,500). An allocation of $360,000 ( ) to pay the FY15 sales tax rebates. Relatively static health insurance premiums (line items 8474 & 8477) and a slight decrease in workers compensation costs. A slight ($4,000) decrease in Dispatch Services was negotiated with DeKalb County. A reserve transfer of $75,000 to the Employee Benefit Assistance Fund (Fund 23) for accrued leave payouts in the event of the retirement of several senior employees in FY2015. The City Council has maintained a commitment to capital infrastructure improvements. This commitment honors the deep community concern about failing streets, in particular. The ability to maintain this commitment is also based, in part, on prudent fiscal measures taken in years past to segregate capital funds from operational funds, and to appropriately match such funds with uses that reflect community expectations. In FY2015 the capital and special funds will remain balanced with appropriate reserves. Highlights of the FY capital program are listed below: A street maintenance program of $2,698,000 ($2,305,000 from the Street Maintenance Fund and $393,000 from the Motor Fuel Tax Fund). This will include residential streets and the widening and resurfacing of Bethany Road from Peace Road to Aster Drive which will begin in the spring of Additional streets may be added in FY15 after the effects the voracious winter had on our streets are assessed. Phase II (chlorination of the excess flow clarifier and the addition of a centrifuge) design of Phase III will begin in FY15. A rolling stock plan has been identified to begin a systematic rotation of front-line vehicles and equipment; notably police cars, fire trucks and ambulances and dump trucks with plows. The City intends to make significant technology upgrades including a redesigned website and new phone system. 3

4 The expenditures and offsetting revenues associated with a new officer to replace the second School Resource Officer will be reflected in the revised budget issued in the fall. Total revenues and expenditures in the General Fund will increase by $60,000 and the budget remains balanced. The budget is on the City s website at on reserve at the Sycamore Public Library and available for purchase at cost in the City Clerk s Office. B. Ordinance No An Ordinance Amending Title 1, Administration, Chapter 10, Personnel Rules, of the City Code of the City of Sycamore to Authorize Non-Elective Positions for the City of Sycamore, Illinois. Second Reading. Coincident with the adoption of the fiscal year budget, the Council establishes the employees in its budget by adopting a new list of appointments. The attached ordinance accomplishes this purpose. One additional patrol officer position has been added to the Police Department to reflect a replacement for the second School Resource Officer that will be assigned to the Sycamore Middle School. C. Ordinance No An Ordinance Establishing Offices and Fixing the Compensation of Certain Appointed Officers of the City of Sycamore, Illinois, County of DeKalb, State of Illinois for the Fiscal Year Commencing on the First Day of May, 2014 and Ending on the Thirtieth Day of April, Second Reading. The FY City Budget assumes certain levels of compensation for exempt employees, which include management positions and a number of part-time positions. In FY2015 inflationary increases mirror those of employees covered under collective bargaining agreements. The attached ordinance displays these levels of compensation and related benefits. D. Ordinance No An Ordinance Amending the Fiscal Year Budget in the City of Sycamore, Illinois. First and Second Reading. In order to keep the City s official budget document consistent with Council direction, the City s budget may be adjusted during the year to reflect actual bid prices, show revised priorities, register unforeseen costs (e.g. utilities), or balance accounts prior to the audit. The two typical occasions are at the close of a fiscal year and roughly midway through a fiscal year once the prior year s audit is completed. The attached ordinance amends the Fiscal Year 2014 budget by making the adjustments shown in the following table: 4

5 Line Item Original Revised Note $1,000 $18,600 Police Asset Forfeitures Reflect Actual $16,500 $34,100 Purchase of Live Scan Fingerprinting Machine $60,000 $110,000 MFT salt increase approved on January 8, $22,500 $15,000 Offset increase in $25,000 $22,500 Offset increase in $0 $10,000 Purchase of new special event fencing $27,500 $29,850 Fire 2% bring to actual $0 $500 Fire 2% bring to actual $7,500 $10,000 Fire 2% bring to actual $2,000 $12,000 Fire 2% bring to actual $490,500 $548,000 Reflect refunds/transfers officers leaving plan $6,000 $12,000 Actual Fees / State Required Ethics Training $332,500 $333,000 Reflect actual pension disbursements $8,000 $14,000 Actual Fees / State Required Ethics Training $8,000,000 $10,000,000 Reflect Actual Sales Tax received $4,560,000 $5,500,000 Reflect Actual Sales Tax received $10,250,000 $6,000,000 Reflect Actual Sales Tax received $5,850,000 $3,000,000 Reflect Actual Sales Tax received $20,000 $40,000 Reflect actual legal costs $12,122,000 $15,062,000 Corresponding rebates to airlines $15,663,000 $8,563,000 Corresponding rebates to airlines $0 $87,500 Min/Max program additional expense (2010/2011) $200,000 $230,000 Increase in property transactions $195,000 $225,000 Corresponding transfer to School District $0 $49,253 Park District Reimbursement $0 $30,000 Roll-over item; did not use in FY $2,000,000 $2,049,253 Park District paving costs added E. Ordinance No An Ordinance Executing an Extension to the Agreement Between the City of Sycamore and the Sycamore Chamber of Commerce for Visitor Attraction and Economic Development in the City of Sycamore, Illinois. First and Second Reading. An extension of the three-year contract between the City of Sycamore and the Sycamore Chamber of Commerce for tourism and community development services that is set to expire on April 30 th was considered at the April 7 th Council meeting. Highlights of the proposed agreement that was considered include: A three year term (May 1, 2014-April 30, 2017) No change in funding for year 1 ($50,000; FY15). 5

6 An increase to $52,500 in FY2016 and $55,000 in FY2017. The Chamber will continue to provide the following services: 1.) Maintaining a professional staff including a full-time Executive Director and Discover Sycamore/Tourism Director to maintain a visitor attraction program and to assist the City in its business attraction efforts. 2.) Providing oral presentations to the City Council regarding ongoing tourism and community development activities of the Chamber. 3.) Providing periodic reports to the City Manager identifying (a) efforts to market Sycamore to visitors; (b) the impact of sponsored events in drawing day trippers or overnight guests to Sycamore; and (c) the number and nature of inquiries concerning available Sycamore retail space. 4.) Maintaining a current database concerning downtown Sycamore office and retail space including available space, rent per square foot, associated utility costs, and contact persons. 5.) Providing advice and assistance to the City on business and industry retention matters. This means informing the City Manager of any confirmed intentions of local businesses to expand or relocate as soon as they are learned. 6.) Participate as a member of the DeKalb County Convention and Visitors Bureau and provide financial support on behalf of the City and Chamber. The City s obligations include the following: 1.) Providing the Chamber a grant in the amount payable in two equal installments to partially offset the cost of the downtown coordinator and to help finance a variety of marketing and advertising brochures aimed at attracting visitors. 2.) The referral of retail prospects to the Chamber for further information about vacant downtown storefronts and other retail locations. 3.) Informing the Chamber as soon as practicable about any likely changes in the City s tax policy, retention policy, incentive policy, and any other policies that may be critical to the Chamber s business attraction and retention efforts. Toward this end, regular contact is maintained between the City Manager and the Chamber staff, and the City Manager sits as an ex-officio member of the Chamber Board of Directors (the School District and Park District also have exofficio representatives on the Chamber board). 6

7 4.) Work cooperatively with the Chamber to help expand its funding base through public grant sources. This assistance typically takes the form of information regarding the City s demographics and its attractions. This continued support of the Chamber is included in the FY2015 Hotel/Motel Tax Fund budget. F. Ordinance No An Ordinance Amending Title 4, Public Health and Safety, Chapter 1, Fire Department, Section 4-1-7, Ambulance Service, Subsection B, Fees For Service, in the City Code of the City of Sycamore, Illinois. First and Second Reading. On April 7 th, the City Council reviewed Fire Department proposal to increase certain ambulance fees to a level consistent with the average of surrounding communities. The last time the City made adjustments to its ambulance billing fees was in February Since that time, the Fire Department has seen the costs of operating its ambulance service increase. In addition to increases in labor rates, the cost of ambulance supplies has increased 31% since These costs are being driven specifically by increases in the costs of medicines. For example, a medicine that cost $15 in the past now costs $110. Ambulance fees are charged based on level of service (BLS-Basic Life Support, ALS 1- Advanced Life Support 1, ALS 2, Treat-No Transport, and ALS Intercept) and residency (resident, non-resident, fire protection district resident). Additionally, there is a mileage charge based on the number of miles a patient is transported. The Fire Department occasionally has to respond to a request from private ambulance agencies or for-profit entities for a bariatric lift assist. A bariatric lift assist is when the private ambulance crew does not have enough man power to safely lift and move a patient due to the size of the patient and number of staff assigned to the call. While the City incurs overtime and worker s compensation liability for these calls, there is currently no charge for this service. A fee for this type of service ensures private companies offset these costs rather than Sycamore taxpayers. To review the current fee structure, the Fire Department undertook a survey of comparable communities. The results of the survey suggested that Sycamore was below the average for ambulance user fees. As a result of the survey and in order to keep pace with the costs of providing the service, the following adjustments to the current ambulance fee structure are being recommended: Increase the ALS 2 resident rate by $50 Increase the ALS 1 resident rate by $100 Increase the BLS resident rate by $23 Increase the ALS 1 non-resident rate by $150 Increase the BLS non-resident rate by $25 Increase the transport mileage charge to $10 per mile Create a bariatric lift assist fee to private ambulance agencies or for-profit entities at $700 7

8 The following chart summarizes the rate changes: Resident Fire Prot. Dist. Non-Resident New Old Diff. New Old Diff. New Old Diff. ALS2 $750 $ $800 $800 0 $1,000 $1,000 0 ALS1 $550 $ $553 $553 0 $850 $ BLS $423 $ $423 $423 0 $575 $ Treat, No Transport $200 $200 0 Bariatric Patient Lift Assist: $700 Mileage (per loaded mile): New rate $10 Old Rate $8 G. Ordinance No An Ordinance Amending Title 3, Business and License Regulations, Chapter 4, Peddlers, Solicitors and Itinerant Merchants, Section 3-4-3, Application for Permit; Fee, Subsection B, Fee and Section 3-4-7, Expiration of Permit; Renewal, Subsection B, Continuance of Permit; Fee, in the City Code of the City of Sycamore, Illinois. First and Second Reading. On April 7 th, the Council considered implementing proposed license fees for solicitors, peddlers and itinerant merchants who conduct business in Sycamore. Currently, the City Code only requires Solicitors, Peddlers and Itinerant Merchants to pay for the cost of a background check in order to obtain a license to operate within the City. The City Clerk recently surveyed area communities and found most have a fee for these types of licenses which offsets some of the cost of issuing the permits. The City routinely receives phone calls especially during warmer weather when solicitors are in town to verify that they have been authorized to conduct business in the City. The following fee changes are being proposed: Solicitor fees: $25 per day Peddler fees: $50 per year Itinerant merchant fees: $50 per year Part of the proposed fees would offset a better identification program to help residents and the Police Department easily identify that the solicitor has applied for and received a permit from the City. H. Ordinance No An Ordinance Amending Section J, Table of Permitted Uses, to Allow Assisted Living Facilities as a Special Use in C-3 Highway Business Zoning Districts in the City of Sycamore, Illinois. First and Second Reading. 8

9 Over the past year the City has spoken to several parties interested in the possibility of locating an assisted living facility in Sycamore. Demand for assisted living residential care facilities in general has continued to increase as the population ages. The City s Unified Development Ordinance allows assisted living facilities as special uses in R-2, R-3 and C-1 zoning classifications. The companies looking to establish these types of facilities have indicated a desire to locate in an area that is near medical facilities and general amenities. Property located near Bethany Road between Route 23 and Peace Road has been targeted as possible locations for such businesses. The properties in question are zoned C-3, Highway Business District. Given the service component associated with assisted living facilities, communities tend to wrestle with the appropriate zoning. Some larger communities have established additional layers of zoning for uses that overlap different types of zoning based on intensity. Sycamore has traditionally limited the number of zoning classifications and utilizes special use designations to address these types of situations. Staff reviewed possible locations within the C-3 zoning and recommends assisted living facilities be allowed as a special use with the following conditions: The subject property does not front Route 23, Route 64, Bethany Road or Peace Road. The character and use of the facility is consistent with surrounding uses. Must comply with all other provisions of the City s Unified Development Ordinance. J. RESIDENTIAL USES AG R-1 R-2 R-3 R-4 C-1 C-2 C-3 C-4 M-1 M-2 ORI Accessory Apartment S S P P P Accessory Office S S P P Apartment Hotels & Efficiency Apartments S S Assisted Living Facility S S S S Bed & Breakfast Inn S S S S S S Boarding House S S Convalescent, Nursing Home, Rest Home S S Convents, Rectories, Parish Houses S S Day Care Home, Licensed by IL DCFS S Development Sales Office P P P The Plan Commission considered this item on April 14 th and voted 11-0 to forward a favorable recommendation to the City Council. 13. RESOLUTIONS 9

10 A. Resolution No. 595 A Resolution Authorizing the City Manager to Execute an Agreement for Renewal of Aggregation Program for Electrical Load in the City of Sycamore, Illinois. In March of 2012, voters approved a referendum which authorized the City Council to enact an Electric Aggregation Program. Through membership in the Northern Illinois Municipal Electric Collaborative (NIMEC), the City solicited bids and entered into a two year contract with First Energy for a fixed rate for electricity of 4.81 cents/kwh. Since the program was implemented, participating households have saved an average of $300 in electric supply costs, for a cumulative City-wide savings of over $1,500,000. The current two year contract with First Energy will expire in August of NIMEC has solicited bids for electricity prices for one, two and three year terms, and the bids will be presented to the Council on April 21 st. There have been a few noteworthy changes in the electrical market over the past two years: The margin between market rates as contracted through municipal aggregation and Commonwealth Edison s blended rate has narrowed. ComEd s rates were higher than market rates for several years in large part due to a 2007 decision to lock in fixed rates. The great recession combined with collapsing natural gas prices put enormous downward pressure on electricity prices. Many of ComEd s fixed rate contracts matured in 2013, resulting in rates that have fallen closer to market rates achieved through municipal aggregation. Typically, long-term power rates are higher than short-term rates. However, that currently is not the case. Regulated transmission charges are set to increase for the next two years, but drop in the third year. Therefore municipal aggregation rates for 36 months are being bid lower than 12- and 24-month terms. Additionally, the recent cold snap has also put upward pressure on short term rates. To protect the City from locking in rates above ComEd s blended rate, NIMEC bids contain an escape clause. In the event the ComEd rate is set below the aggregated rate, the City has the option of suspending the program, returning residents to the lower ComEd rate. Previously, the ComEd rate was fixed for 12 months however it is now a moving target, making comparison more difficult. The ComEd rate historically has been set annually for the Energy Year beginning in June through May. The Illinois Commerce Commission has recently approved ComEd s request to re-set the rate in the fall. Further complicating the ComEd rate is a monthly true-up, adjustment based upon actual usage. ComEd buys power in large blocks based upon historical usage projections. Actual usage varies. The difference is charged to ComEd customers (who buy their power from ComEd) in a line item called the Purchased Electricity Adjustment (PEA). 10

11 Muncipal aggregation enrollees do not pay this charge. The PEA can change each month, and is limited to a ½ charge. In 27 of the last 33 months, the PEA has been a ½ charge. In order to control for the additional complexities outlined above and ensure Sycamore participants achieve a cost savings, NIMEC will monitor the program s rates each month relative to the variable ComEd rate. In the event the ComEd rate is set below the aggregated rate or the rolling 12-month period s savings turn negative, the City will be able to suspend the program and all ratepayers can return to ComEd. Like the current contract there will be no early termination fees, so residents are free to leave the program at any time, should they determine another offer to be more attractive. Should an aggregation program be suspended and residents returned to ComEd, residents have two months to move to another supplier. If not, they are then locked into ComEd for an additional 10 months. NIMEC anticipates ComEd s rate to fall generally in the 7.5 per kwh range when they are set in June. In addition, NIMEC has noted that rates in the electric market have been increasing and expect the trend to continue going forward. The City will have 24 hours to accept one of the bids or all bids can be rejected and the aggregated load will be re-bid in the summer after ComEd s rate is established. Action will be recommended once bids are received and reviewed. B. Resolution No. 596 A Resolution for Maintenance of Streets and Highways by the City of Sycamore Under the Illinois Highway Code from May 1, 2014 to April 30, The attached resolution commits $350,000 in motor fuel tax funds for several recurring maintenance costs in the FY2015 budget. The breakdown is shown below: a. Snow and ice control (salt purchases): $130,000; b. A portion of salaries related to ongoing street maintenance and repair by the Public Works department: $100,000; and c. Electrical costs for street light and signal maintenance: $120,000. This resolution does not include costs associated with engineering work in the 2014 street maintenance program. C. Resolution No. 597 A Resolution for Improvement by Municipality Under the Illinois Highway Code in the City of Sycamore, Illinois. The attached resolution identifies parts of Russet Lane, Brookhill Lane, Ironwood Drive, Woodgate Drive and Oakland Drive as streets that will receive maintenance work in FY15 funded by motor fuel tax funds. These streets are only part of a longer list of streets that are on the City s re-surfacing list for the summer of The FY15 budget includes allocations of $393,000 in line-item and $43,000 in The attached resolution includes the budgeted amounts plus a contingency. 11

12 D. Resolution No. 598 A Resolution Approving an Extension to the Contract Between the City of Sycamore and Municipal Engineering Corporation for Contractual Engineering Services During the Period May 1, 2014 Through April 30, The agreement with Municipal Engineering Corporation Principal Engineer John Brady that the City entered into in June 2008 for contractual engineering services is set to expire at the end of April. The attached contract includes an extension of two years with no change in the monthly retainer of $4,850. Two additional one year mutual options would include 2% increases in the monthly retainer and no changes in the hourly billing rate if exercised. A special focus of Mr. Brady s consulting work has been the annual street maintenance program. Because of Mr. Brady s long experience and familiarity with the City s streets and alleys, he is especially well-suited to the engineering duties associated with this program. In addition, under the proposed contract, Mr. Brady will be expected to apply himself diligently to the completion of assigned projects within time guidelines established by the City. In the course of his firm s work, he or his employees will have reasonable access to City offices during regular working hours to examine City records, drawings, specifications, and other materials that may supplement the work of his firm, and to consult with the City engineer and other City employees. The City Manager will continue to provide guidelines and supervision to ensure that Mr. Brady s work complies with generally accepted engineering practices and methods, and meets the City s specifications and requirements. The attached contract details the reciprocal responsibilities of the Municipal Engineering Corporation and the City of Sycamore. E. Resolution No. 599 A Resolution Approving a Preliminary Engineering and Construction Guidance Agreement with Testing Services Corporation for Motor Fuel Tax Funds in FY15 for the City of Sycamore, Illinois. In order to use motor fuel tax funds for the engineering behind MFT related street repairs the Illinois Department of Transportation requires that an Engineering and Construction Guidance Agreement is approved for each firm. Testing Service Corporation (TSC) is a professional firm that provides a variety of services in the Geotechnical Engineering, Construction Materials Testing and Environmental fields The total combined FY2015 cost of the services provided in Resolution 599 is estimated to be $5,000 which will be expended from the Motor Fuel Tax Fund. 12

13 F. Resolution No. 600 A Resolution Approving a Preliminary Engineering and Construction Guidance Agreement with Municipal Engineering Corporation for Motor Fuel Tax Funds in FY15 for the City of Sycamore, Illinois. As noted in Resolution 599, the attached agreement is required to use Motor Fuel Tax Funds for engineering and construction guidance for street repairs. This agreement is with Municipal Engineering Corporation, a consulting engineering firm that has assisted the City with the annual Street Maintenance Program since inception in In FY2015 approximately $38,000 is allowed under the Illinois Department of Transportation guidelines and is budgeted in line item CONSIDERATIONS A. Consideration of an Administration Request for a Closed Session to Discuss Pending Litigation. 15. OTHER NEW BUSINESS 16. ADJOURNMENT 13