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HomeMy WebLinkAbout2005-11-28 MinutesCALL TO ORDER Village President Rick Krier called the meeting to order at 7:30 p.m. and led the assemblage in the Pledge of Allegiance. Village Clerk Carol Fritzshall called the roll. Present were: Trustees Georgianne Brunner, Dan DiMaria, Roy Kogstad, Rita Minx, Dale Senensky, and Dan Staackmann. APPROVAL OF MINUTES a. Regarding the Minutes of the October 24, 2005 Regular Meeting, Trustee Minx moved to approve the Minutes as submitted, dispensing with the reading thereof. The motion was seconded by Trustee Brunner and passed: 6 ayes, 0 nays. Tr. Brunner Tr. Minx Tr. DiMaria ~ Tr. Kogstad Tr. Senensky ~ Tr. Staackmann b~ Regarding the Minutes of the November 10, 2005 Budget Workshop, Trustee Minx moved to approve the Minutes as submitted, dispensing with the reading thereof. The motion was seconded by Trustee Brunner. Trustee Kogstad noted several corrections: on page 2, paragraph 5, sentence 2, he asked that the phrase "except for Trustee Kogstad" be removed. On page 2, paragraph 8, sentence 2, he asked that the phrase "by the amount of the 2005 surplus" be removed. He also felt that sentence 5 in that paragraph ("There was no support for this recommendation.") was ambiguous. These corrections being duly noted, upon the vote, the motion passed: 6 ayes, 0 nays. Tr. Brunner ~ Tr. DiMaria ~ Tr. Kogstad Tr. Minx ~ Tr. Senensky ~ Tr. Staackmann PLEDGE ALLEGIANCE ROLL CALL OCT. 24 BOARD MEETING MINUTES APPROVED NOV. 10 BUDGET WORKSHOP MINUTES CORRECTED AND APPROVED Mayor Krier asked the Board's indulgence to alter the Agenda slightly, to move "Special Reports" ahead of the scheduled "Public Hearing". There were no objections. Iv. SPECIAL REPORTS Swearing In of New Firefighter/Paramedic Fire and Police Commission Chairman Mike Simkins said he was pleased to perform the swearing in of Morton Grove native Derek Faulstick. Today is Derek's first day on the job, but he has been an ESDA member for the past five years. He has completed paramedic school and is currently attending Oakton Community College to complete his Fire Science degree. Derek's mother, Barb Faulstick, proudly pinned on Derek's badge as the Board congratulated and welcomed him. Mr. Simkins commented that the Village often runs its firefighter testing with other Northwest Municipal Conference communities and doesn't often see a lot of "local" candidates. This testing cycle, however, the Village combined with just Niles and Wilmette, and he was gratified to see many local candidates come out to be tested. V. PUBLIC HEARINGS Finance Director Scot Neukirch opened the Public Hearing on the CY2006 Budget, asking for public input, comments, and questions. a. Benita Lojudas expressed concern that the Budget called fora 20% increase in taxes. Mayor Krier explained that the Board is seeking a 20% increase in the tax levy, which does not equate to a 20% increase in the resident's actual tax bill. He pointed out that the Village's portion of the entire tax bill is only about 14%. Ms. Lojudas said that it had taken her 60 years to be able to afford a home of her own and she hoped that the increase wouldn't amount to a lot of money on her tax bill. b. George Wozar, 8400 Callie, asked the Board why the Village needs a new police station. Mayor Krier explained that the Village is not building a new police station, it's expanding the former senior room, which is now the police training room. He noted that the plans for this renovation have been "on the shelf' for years. The cost for this project is $120,000, which includes $20,000 for painting. Trustee Senensky commented that the police station has not been painted since 1975. He said it was in dire need of a paint job and felt it was the least the Village could do for its police department. c~ Another resident from 8400 Callie questioned the tax increase, especially in light of the fact that the Board turned down the off-track betting facility, which would have generated much-needed revenue. Now it's going to Niles. He asked the Board why they didn't see fit to approve it but Niles did. Mayor Krier said that it was a tough issue and admitted the Village could certainly have used the revenue...but was the Village willing to do anything to get the reve- nue? He said the issue was not clear-cut and ultimately, the Board decided that having the off-track betting facility in Morton Grove wasn't worth it. Mayor Krier said it was a very close vote here and also in Niles, with the mayors in both cases casting the tie-breaking vote. SWEARING IN OF NEW FIREFIGHTER DEREK FAULSTICK COMMENTS ON 2006 BUDGET RESIDENT CONCERNED RE 20% TAX LEW INCREASE RESIDENT QUESTIONS POLICE DEPT RENOVATIONS RESIDENT THINKS BOARD SHOULD HAVE APPROVED OFF TRACK BETTING RATHER THAN RAISE TAXES V. PUBLIC HEARINGS (continued) Trustee Minx pointed out that the residents who had attended that particular meeting were also split as to the OTB, but the majority felt that it wasn't a revenue source the Village should opt for. The resident said the vote shouldn't have been based on moral values. He said he could not believe that people would rather have a property tax increase. Trustee Minx said that, personally, she was "on the fence" about the OTB because it didn't really bother her, but people she talked to did not want that business in town. The resident said that he had to accept that, but he felt that this tax increase was going to force people to move out of Morton Grove. Trustee DiMaria said that he felt the Board had made a big mistake, not only in voting against the OTB, but also by voting to remove it from the Village's zoning code altogether. He added that it's not the Board's job to legislate morality. Trustee DiMaria said that he had a big problem with a budget that turns down revenue opportunities, noting that he had made this comment during the budget workshops as well. The end result is that the revenue is not there and the Village now needs to move forward. He said the Board is trying to keep the increase to a minimum and has also considered other sources of revenue. d~ Melinda Mulford addressed the Board, speaking for Mark Olen, who was unable to attend. She read a letter composed by Mr. Olen. The letter ques- tioned the Board, asking why the Village is burdening families and seniors with an unconscionable increase in taxes and fees, which are already at an unman- ageable level. The tax increase is exorbitant-400% above the current rate of inflation. It will amount to a $210 yearly increase on residents' tax bills. Additionally, the 5% increase in water and sewer rates is only based on estimates. There will also be a 100% increase in the local gas tax. This is unfair and will cause local businesses to move out of town. The tax increase is unnecessary with no logical support. The Village should utilize the million dollar surplus it will have from the 2005 Budget and use the reserve funds to balance the budget. The Board shouldn't use "fear-mongering", as did former Administrator Czerwinski. Each Village department should pare down expenses, especially in the area of legal fees for police and fire negotiations. The Village should delay renovations until its finances stabilize. Mr. Olen's letter continued, stating that the Board was elected based on the promise of lowered taxes and reduced fees-not the opposite. This is dishonest and deceitful. The Board should listen to Trustee Kogstad. The taxpayers are imploring the Board to be cognizant of the residents' financial plights. Trustee Staackmann responded, commenting that this is the first time the Budget contemplates putting money away for capital projects so the Village won't have to borrow money to pay for them in the future. The Village will be able to reduce its debt service. He noted that the Village's water main system needs renovation-this is keeping the Village from obtaining a better Fire Department rating. As for the Police Department renovations, he pointed out that they have been "on hold" for years, and part of the expenses are a simple paint job, carpet replacement, etc. He said that Mr. Olen may want to "gamble" by using the Village's reserves to balance the budget, but it's not prudent and would have a negative impact on the Village's bond rating. He added that there isn't really a lot of dollars in reserve. RESIDENTS CONCERNED ABOUT PROPERTY TAX INCREASE AND INCREASES IN OTHER TAXES AND FEES V. PUBLIC HEARINGS (continued) Trustee Staackmann noted that the Village has debt and pension obligations must meet, and an aging infrastructure it must maintain. Taking money from the reserves is gambling even worse than the OTB. Trustee Kogstad said he thought that the Public Hearing should be limited to comments from residents only. If there is going to be a debate on the Budget, it should be held on December 12th when the Budget ordinance comes up for a second reading and a vote. Mayor Krier said he would let the trustees respond to residents' comments if they wanted to. Trustee Kogstad said that, in that case, he, too, would like to respond. He said that he felt the purpose of a Public Hearing was to let the public give their opinion. e. Chris Arns addressed the Board, saying that he would be happy to have a debate on the Budget. Regarding the debt service, he said there is $8 million dollars of Waukegan Road TIF debt that Mayor Krier has said will never be recouped. Mayor Krier said that the Village is still paying MB Bank out of the General Fund, and even though he doubted that the Waukegan Road TIF would ever generate the revenue necessary to pay back the General Fund, the debt to the bank still had to be paid. Mr. Arns asked if that's why taxes were being raised. Trustee DiMaria said that the Waukegan Road TIF may never generate the entire amount, but he did not feel it would end up an $8 million dollar "shortfall". He pointed out that that TIF is in its middle years and every year the revenue generated by it continues to grow. Trustee Minx agreed, stating that there was more increment this year than last. Finance Director Scot Neukirch said that the Waukegan Road TIF generated between $200,000 and $250,000 more in revenue this year than projected. Trustee Senensky told Mr. Arns that he respects Mr. Arns' opinion, but felt that he was blaming Mayor Krier for debt that occurred before the Mayor was even on the Board. Mr. Arns responded that the Board is responsible for raising the tax levy 20% to help pay for a failed TIF. Mr. Arns wondered what happened between the two budget workshops, commenting that, "In seven days, we went from a 5% tax levy increase to a 20% increase." Mayor Krier said the 20% increase has been discussed at varying times. With the original 5% increase, an $800,000 deficit was projected. That's why the last Budget Workshop was added to the schedule, to try to address some of the problems. He said the Village has been putting things off to keep costs down, but those things then become more expensive to do later. With all the development going on in the Village, things are getting better. He said the Village levies a dollar amount, but with all the development going on, people will end up paying less. The fact of the matter is the Village needs this increase. Mayor Krier said that this is a legitimate policy debate, adding that he respects Trustee Kogstad's position. There is not a million dollar surplus this year, only approximately $800,000. Even projecting a surplus and raising the tax levy 5%, the Village would still be seeing a shortfall in 2006. He likened the tax base to a pie. The bigger the pie, i.e., the bigger the tax base, the less people will have to put in to come up with the tax levy amount. RESIDENT CONCERNED RE TIF DISTRICTS V. PUBLIC HEARINGS (continued) Mayor Krier expressed hope that there would be even more residential and business development ahead. He also agreed with Trustee Staackmann, pointing out that the Village is putting money away now to pay for needed capital improvement projects in the future. Trustee DiMaria commented that the Board is elected to make decisions that are best for the Village. The department heads have cut expenses as far as they can without sacrificing services. He said that this Board has done a good job of working together, adding that he was proud of the Caucus Party for "stepping up". They were diligent and took their fiscal responsibility seriously. He told Mr. Arns, "It's real easy (to complain) when you don't come up with solutions." Mr. Arns said that he had given at least 20 suggestions to the Board to no avail. Trustee DiMaria agreed, and noted that the Board has taken at least one of Mr. Arns' suggestions-increasing the commuter parking fee-and implemented it. He added that the Village is a business, and he doesn't know of any business where the costs go down all the time. He said the Village staff does a great job of "shopping around" to get the lowest costs for goods and services, and felt it was an insult to the Village department heads to suggest otherwise. Mr. Arns said his idea of "fiscal responsibility" is to set a budget and then stick to it. Trustee DiMaria said that Mr. Arns complains to the Board when there's adeficit-and then complains to the Board when there's a surplus. He said that he can show anyone interested why the Village needs the money. Mr. Arns said the biggest increase is the $10 million dollars for the Lehigh- Ferris TIF-for what? He told the Board, "You've forgotten about the seniors over age 75-the fastest growing segment in the Village-and those living just over the poverty threshold." He said the Board owes it to the seniors to cut expenses. He said he "wasn't impressed" at the Budget Workshops and felt that seeing "huge swings" in the budget meant that "padding" the budget was occurring. He said he did not want the Village to lose another $10 million dollars (in the Lehigh-Ferris TIF) on top of the $8 million it's losing for the Waukegan Road TIF. He felt a panel should be set up to investigate. Mr. Arns wondered what the Senior Housing Committee had to say about the 20% increase in the tax levy. Mayor Krier pointed out that, in 1999, the Village's full- time personnel numbered 170; in 2006, it numbers 163. He said the Village is not padding the budget with personnel. Mr. Arns said he never asked about the Village's headcount. Mayor Krier said the Village has unfunded mandates. Mr. Arns said, "Businesses have Sarbannes Oxley." David Conrad noted that, earlier this year, when the Board was contemplating the purchase of a video camera and associated equipment for the taping of Village Board meetings, a resident had come forward and given the Board some lower-priced options than what it was looking at. However, the Board went for the more expensive purchase. He said that residents do bring ideas to the Board. He said that if he, personally, wants to make an expensive purchase, he figures out what he'll have to do without in order to be able to afford what he wants to buy. He asked Mayor Krier when he changed, noting that a 20% increase sounds unreasonable, when just last year, the then- Trustee Krier was proposing budget cuts. Mr. Conrad said that jumping from a 5% to a 20% increase is "too much". He felt the Board should look for ways to "cut the fat." RESIDENT FEELS BOARD DOESN'T LISTEN TO RESIDENTS V. PUBLIC HEARINGS (continued) Mr. Conrad said that the Natural Resources Commission is looking for ways to fund a tree program, possibly by including a fee for trees in the cost of a build- ing permit, and by making sure that all the builders have all their licenses and all their fees paid up before the job can begin. He felt that Village Planner Bonnie Jacobsen and Deputy Building Administrator Bill Zimmer could "pay" for their jobs by doing a better job of ensuring that all license and other fees are paid up before issuing a permit. Mr. Conrad said again, "We bring ideas-you don't listen...your minds are made up." He said that he didn't think the voters were voting for that when they voted Caucus. He said, "It seems like nothing has changed." Trustee Minx said that one of the services that residents pay for is solid waste disposal service. She said she doesn't think that people want to pay fees for other services, like paying a police officer to show up. She said that it's an "eye-opener" to see what it takes to run the Village. Mr. Conrad said he wants to make sure that contractors and developers have paid all the fees due the Village. He said he never suggested "fees for services". Trustee Minx said that previous administrations stuck with keeping taxes low, probably because they didn't want to have this type of budget hearing. She agreed with Trustee DiMaria, that the Board came together to try to solve the problems. Trustee Kogstad said that he could have lived with the tax levy increasing from 5% to 7%, but increasing it to 20% is "way too much and unreasonable." Trustee Minx said that tax levy hasn't changed-instead, the Village implemented the garbage fee. She told Trustee Kogstad, "You're trying to take two wrongs and make a right, and that's not good either." Trustee Staackmann said the staff has researched residents' ideas and some suggestions were found to be unsound. g. Bill Luksha said that he attended every Budget Workshop, and thanked Mr. Neukirch for making extra copies of his Budget presentation for him. He said he felt that one of the biggest expenses in the Budget was having to make payments to the Elliotts ($500,000 to $800,000) and to Walgreens and Osco ($250,000 each), and to Menards and Charter One as well. He said those payments add up to almost $2 million dollars. The legal fees for Police Department and Fire Department negotiations are also $250,000. He asked what the Groot fee will be reduced by. Mayor Krier said the tipping fee (what is charged at the dump site) will be paid for by the Village under the proposed budget. That means residents will pay approximately $17 to $20 less annually. Mr. Luksha said he was also present representing the seniors. He said the only trustee favoring reasonable taxes was Trustee Kogstad. He pointed out that Mayor Krier ran on that same platform. Mr. Luksha said, during the Budget Workshops, Trustee DiMaria apparently wanted to be "a big spender" so that his children wouldn't have to pay for the costs of the infrastructure repairs, and that Trustee Staackmann appeared to be interested only in "sticking up for businesses." RESIDENT CONCERNED RE ECONOMIC DEVELOPMENT AGREEMENT PAYOUTS V. PUBLIC HEARINGS (continued) Mr. Luksha said that he put a lot of hours into campaigning for the Caucus Party and he is miffed. He felt this tax levy increase was a political plot put together by Corporation Counsel Liston and the Action Party trustees to manipulate the Caucus Party Board. Trustee DiMaria responded by telling Mr. Luksha, "That is the furthest thing from the truth." He said the Caucus Party was not putting their own interests ahead of the Village's, rather, they're doing their best for the Village. Mayor Krier agreed, saying that the smart thing would be to reduce taxes and try to get elected again-but that wouldn't be the "right thing". He said he was very proud of how everyone worked together. He said that the fact that there's a surplus this year is not thanks to him, but thanks to the board and the department heads. By 2007, there will be more residents, and after this budget, the Village's "house" will be in good shape. Mayor Krier said, "The Village's payroll is approximately $1 million dollars per month, so the Village needs its reserves. The Village needs to plan for the worst. We're patching up our infrastructure. Trustee Kogstad's suggestions are a plausible choice, but this is what we need to do now. It's tough, it's not the "easy thing" to do." Mr. Luksha commented that the Village owns $3 million dollars worth of land in the Lehigh-Ferris TIF that it could sell-that would bring in some money. Trustee Kogstad said the land is probably worth $3.5 million now. He said, regarding the infrastructure (sewer system), that the 20% tax levy wouldn't even help for that, because the Water Fund doesn't get money from the General Fund, it's a totally separate Fund. Trustee Staackmann said that residents should realize that there needs to be a balance between residential and commercial properties. Regarding revenue- sharing agreements with several commercial entities, he said, "Commercial properties pay property taxes and get charged for Fire Department services. Commercial property owners get very little from the Village, but the Village gets a lot back." He pointed out that, for example, Menards is a nearly $100 million dollar business. Trustee Staackmann told Mr. Luksha that the fact that it's a "balancing act" between commercial and residential property owners is the point he was trying to make in the Budget Workshops. Mr. Luksha said that if this large tax levy increase is a one-time thing, why doesn't the Village just borrow the money instead of raising taxes. Mayor Krier said that this is the choice the Village is making. h~ Patrick Kansoer said that this is a 400% increase in the tax levy over last year's. He felt the Village's budgeting process was backwards and based on wrongful assumptions. He said the Village should take the money it has and apply it to the spending. Instead, department heads tell the Village what they want to spend and the Village raises taxes. He reminded the Board that it's the taxpayers' money, not their money. He said this tax levy increase isn't about losing Abt, it's about lack of vision, discipline, and creativity. Mr. Kansoer said, regarding the proposed $120,000 budgeted for Police Department improvements, that he appreciates the dedicated men and women who put their life on the line, but the problem is a misallocation of department resources. He felt that more aggressive traffic and parking enforcement RESIDENT CRITICAL OF VILLAGE BUDGETING PROCESS V. PUBLIC HEARINGS (continued) would result in more tickets being written, which in turn would mean an increase in revenue and in safety. He felt that it was a misallocation of department resources to have 40% of the Police Department staff hold com- mand personnel instead of being out patrolling. Regarding the proposed increase in the local motor fuel tax, Mr. Kansoer noted that Trustee Kogstad's proposal to eliminate this surcharge, made earlier this year, was roundly rebuffed. Now the budget calls fora 100% increase in this tax. Mr. Kansoer pointed out that this increase will bring in $320,000 in revenue, a meaningful amount which now makes the local motor fuel tax a meaningful tax. He noted that, contrary to what was during previous discus- sions about this tax, the revenue this tax generates will not be used to help keep the Village's roads in repair; instead it will go into the General Fund. Regarding the 5% sewer rate increase and the 3% water rate increase to balance out the City of Chicago's rate increase (which hasn't and may not happen), some of the revenue these increases will generate will be used for infrastructure repairs. Mr. Kansoer wondered if the Village was facing an imminent infrastructure crisis, or if this is a case of "the sky is falling". Mr. Kansoer said that, at the November 14th meeting, a resident asked the Mayor if the 2006 Budget contained a 20% increase in the tax levy. Mayor Krier responded to the resident by saying, "Have you ever known taxes to go down?" Mr. Kansoer said that, since Mayor Krier and the Caucus Party campaigned on lowering taxes and controlling spending, it was reasonable for the resident to assume that that would happen. Mr. Kansoer wondered if that had been an attempt at humor by the Mayor or a display of arrogance. Mr. Kansoer called the 2006 budget a "stew of humbug". He said that Mayor Krier spoke of "making hard choices" and "spreading out the pain"-but all the pain is being borne by the taxpayers. Almost 21 % of the Village's residents are living paycheck-to-paycheck. He felt the Board should prioritize the real needs of the Village departments and develop a real list of needs versus wants. He said that would involve having "honest dialogue" with the depart- ment heads. He quoted Mayor Krier as saying that "Residents demand service at this level," at the November 14th Board meeting, and wondered how Mayor Krier knew that. He suggested that the Board should have "honest dialogue" with the taxpayers to determine if there were services people were willing to do without, rather than paying higher taxes. Mr. Kansoer said that this budget provided a golden opportunity for Mayor Krier to show the "change" that resi- dents voted for in April. Instead, residents are getting "business as usual". Laurel Letwat, a 37-year resident, said she had served as Village nurse for 8 years. She said that it had been suggested at a town hall meeting that em- ployee health care costs are a big part of the budget. The suggestion was that FORMER employees pay more toward their health care. They currently pay about 10%. vniuRSE The Board's response to that suggestion was that Morton Grove does it the FEELS way other municipalities do. Ms. Letwat felt that, since Morton Grove doesn't EMPLOYEES have the same kind of tax base as does Niles or Park Rid e, the shouldn't g y SHOULD PAY MORE FOR handle the employee health care costs the same way those towns do. She felt HEALTH CARE the Village's employees should pay a higher percentage, like people who work V. PUBLIC HEARINGS (continued) in the private sector. She asked the Board to consider this solution and said was a fair, equalizing idea. She told the Board, regarding the budget, don't buy what you don't have money for, and don't offer (to employees) what you can't pay for. Trustee DiMaria pointed out, regarding Ms. Letwat's suggestion, that the Village's employees are paid less than in other towns. He felt it would be difficult to hire and retain people of good caliber by telling them that they would be paid less than they'd make in other towns and that they'd be charged more for health care than they'd pay in other towns. He said that the Village absorb- ing more of their health care costs was a "trade-ofP'. Joe Hedrick said this is a matter of "promises made, promises kept." He said promises to fund the pensions were made a long time ago and they haven't been kept. Now this administration has to increase its contributions, basically paying $4 now for the $1 that should have been paid in years past. He felt the Board should review its pension process, possibly having all new hires get a different pension process instead of the "same old". He also suggested that the Village charge a fixed amount for its health plans and offer different "levels" of health plans. Mr. Hedrick further suggested that the Village freeze salaries. As a way to generate revenue, Mr. Hedrick suggested the Village rent out some of the storefronts it owns on Dempster to political parties for elections. Mayor Krier said the Village does not want to be a landlord. He said that Morton Grove was promised money from the State of Illinois, and hopefully will receive $130,000 of that money in 2006. He said it wasn't a good idea to rent out storefronts. Those properties are now tax-exempt, and if the Village charges rent for those properties, they would lose their tax-exempt status. Mayor Krier went on to say that it hurts that people think the Board hasn't been diligent in looking at things. He said the Board has sat down and discussed costs with every department head-none of them are getting their "wish list", only what they really need. Mayor Krier said it was insulting to hear people say "it just happens that way." He pointed out that his administration has held more open meetings than any other, and there is always plenty of open discussion. Trustee Staackmann told Mr. Hedrick that the Village does offer two different health plans and they have discussed having staff further investigate what can be done about health care costs. He also noted that Mr. Wade, the new Village Administrator, had commented upon his initial review of the Village's budget, that it was very "lean". k. Ron Fine, a 38-year resident, commented that residents should look at their tax bills to see what percentage of it goes to the Village and to all the services provided by the Village. He said he had had a conversation with Mr. Neukirch about this. Mr. Fine said, to put it in perspective, that if you have a house whose market value is between $350,000 and $370,000, the increase on your tax bill will be about $170. Mr. Fine said the Village needs the money, and he didn't like seeing the Board castigated because "they bust their buns to help the Village." RESIDENT SUGGESTS RENTING OUT PROPERTIES FOR POLITICAL PARTIES DURING ELECTIONS RESIDENT DEFENDS TAX INCREASE V. VI. VII. VIII. IX. A. PUBLIC HEARINGS (continued) There being no further comments, Trustee DiMaria moved to close the Public Hearing, seconded by Trustee Minx. The motion passed unanimously via voice vote. The Public Hearing closed at 9:25 p.m. RESIDENTS' COMMENTS (Agenda Items Only) Raymond Solal said, regarding the Budget, that he "protests the expendi- RESIDENT tures" and thought that the Budget Workshops had been conducted in a THINKS TAX LEW "bunker" atmosphere, with no questions being allowed until the end. He didn't Is roo feel that the trustees had taken a close look at the expenditures. Mr. Solal HIGH said, by his calculations, that the per capita cost of government in Morton Grove is $2,150. Regarding Ordinance 05-57 (the tax levy ordinance), Mr. Solal said that the Village is living beyond its means. He said this tax increase is going to "drum him out of his house" and felt that the Board is trying to push senior citizens and working families out of Morton Grove. He asked the Board to work for the citizens. Mr. Solal also felt the publication of the Public Hearing was inadequate and should be altered. PRESIDENT'S REPORT Mayor Krier read of proclamation in recognition of resident Lucia Klas on PROCLAMATION the occasion of her 100th birthday. Ms. Klas was not in attendance but Mayor O Krier said he would present the proclamation to her at her birthday party at LU A KLAS ON HER St. Martha's. 100" BIRTHDAY Mayor Krier announced afive-minute recess. CLERK'S REPORT Clerk Fritzshall had no report. STAFF REPORTS Village Administrator: Mr. Wade reminded the assemblage that the December 26, 2005 Board DEC. 12 BOARD MEETING Meeting has been cancelled. He also reminded the assemblage that the CANCELLED Public Hearing on the 2006 Tax Levy would be held at the December 12, 2006 Board Meeting. to IX. STAFF REPORTS (continued) A. Village Administrator: (continued) 2. Mr. Wade said that Village staff had met with representatives from the Illinois Department of Transportation (IDOT) last week and received direction regard- ing the next steps that will be taken regarding the Dempster Street Corridor improvement project. Another meeting with IDOT will be held in December. B. Corporation Counsel: Ms. Liston had no report. X. A. Trustee Brunner: TRUSTEES'REPORTS Trustee Brunner presented Ordinance OS-47, Authorizing Application to the Illinois Department of Transportation for the Village of Morton Grove to be Designated as a Section 5310 Public Body Provider. She explained that being designated as a Section 5310 Public Body Provider by the Illinois Department of Transportation is a prerequisite for the Village to be eligible for a grant to pay for a paratransit service bus for seniors and disabled people. Trustee Brunner noted that a Public Hearing on this had been held at the Civic Center on November 17, 2005. She also requested that the "first reading" requirement be waived. Trustee Brunner moved to adopt Ordinance 05-47. Trustee Minx seconded the motion. Motion passed: 6 ayes, 0 nays. Tr. Brunner Tr. Minx Tr. DiMaria ~ Tr. Kogstad Tr. Senensky ~ Tr. Staackmann Trustee Brunner thanked Jackie Walker O'Keefe of the Family & Senior Services Department for all her efforts on obtaining grant funds for the para- transit service bus. 2' Next, Trustee Brunner presented for a first reading Ordinance OS-54, Amending Title 1, Chapter 8 to Add a New Subchapter D, Entitled "Director of Family and Senior Services" in the Village of Morton Grove Municipal Code. Trustee Brunner explained that the Department of Family and Senior Services was created in 2001 to administer senior service programs, Village social services, the Village Nurse program, and to manage the day-to-day operations of the American Legion Memorial Civic Center. Previously, this department had been administered by the Assistant Village Administrator. Upon her depar- ture in 2004, the Village Social Worker has been serving as Acting Director. The Board has now decided to create a permanent directorship for this de- partment. MET WITH IDOT RE DEMPSTER STREET ORD. 05-47 AUTHORIZES APPLICATION TO IDOT TO BE DESIGNATED AS A SECTION 5310 PUBLIC BODY PROVIDER (TO HELP WITH GRANT ELIGIBILITY) ORD. 05-54 AMENDS MUNICIPAL CODE TO ADD DIRECTOR OF FAMILY AND SENIOR SERVICES 11 X. A. TRUSTEES' REPORTS (continued) Trustee Brunner: (continued) Mayor Krier noted, in Section 1-8D-2, "Qualifications", that it says, "The Director shall possess at least a master's degree in a field related to this position." He felt this was limiting and thought it should be changed to read that having a master's degree would be "desirable", but not mandatory, as the word "shall" indicates. Corporation Counsel Liston suggested that that sentence be deleted in its entirety. The Board and Mayor Krier concurred. B. Trustee DiMaria: Trustee DiMaria presented Resolution OS-45, Appropriation of 2006 Motor Fuel Tax Funds for the Maintenance of Streets and Highways, MFT Section 06-00000-OOGM. This is the second reading of this Ordinance. Trustee DiMaria explained that the Village is required by the State to estimate and appropriate funds for expenses for the 2006 Motor Fuel Tax Program. The total estimated amount is $658,814. Trustee DiMaria moved, seconded by Trustee Senensky, to approve Resolution 05-45. Motion passed: 6 ayes, u nays. Tr. Brunner ~ Tr. DiMaria ~ Tr. Kogstad Tr. Minx ~ Tr. Senensky ~ Tr. Staackmann 2~ Next, Trustee DiMaria presented Ordinance OS-51, Amending Title 5, Chapter 9, Section 9 of the Municipal Code of the Village Regarding Municipal Parking Fees. This is the second reading of this Ordinance. Trustee DiMaria explained that a survey had been conducted of parking rates charged by other municipalities. The survey results indicated that Morton Grove's parking fees were the lowest of all communities surveyed. This ordinance would increase the commuter parking rates to $1.75 per day, which would bring in additional revenue to the Village of approximately $48,220 annually. Trustee DiMaria moved to adopt Ordinance 05-51. Trustee Minx seconded the motion, which passed: 6 ayes, 0 nays. Tr. Brunner ~ Tr. DiMaria ~ Tr. Kogstad Tr. Minx ~ Tr. Senensky ~ Tr. Staackmann Trustee Kogstad commented that, during the Budget Workshops, when the subject of increasing the commuter parking fees was under discussion, several residents had expressed concern that higher parking fees would result in more commuters trying to find "free" parking on residential streets in the train station neighborhood. He wondered if the police could step up enforcement of the area once the higher fee goes into effect. RES. 05-45 APPROPRIATES 2006 MOTOR FUEL TAX FUNDS ORD. 05-51 AMENDS MUNICIPAL CODE, INCREASES COMMUTER PARKING FEES CONCERN RE COMMUTERS PARKING ON NEIGHBORHOOD STREETS 12 X. B. TRUSTEES' REPORTS (continued) Trustee DiMaria: (continued) Trustee Senensky said that possibly residents of School Street and Georgiana Avenue could apply for zone parking. He added that the Village is also work- ing with the Cook County Forest Preserve District to keep the forest preserve gates closed until 9:00 a.m. to prevent commuters from parking in the forest preserve. Mayor Krier said that zone parking is a matter that needs to be con- sidered by the Traffic Safety Commission. He said that any resident or Board member could bring the matter before that Commission for discussion. He added that the area should be monitored first, to see if commuter parking on those streets becomes a problem. 3. Trustee DiMaria then introduced for a first reading Ordinance OS-53, An Ordinance Amending Title 7, Chapter 4, Water Regulations and Chapter 5, Sewer Regulations of the Municipal Code of the Village of Morton Grove and Establishing Water and Sewer Rates. He explained that, during the Budget Workshops, the Board had decided to raise water and sewer rates each by 5%. This will help offset an increase in the water rates from the City of Chicago, which is anticipated to hit the Village sometime in 2006. The additional revenue will be used to build up a reserve to pay for capital improvement projects that will be need to be completed over the next few years. There was no further discussion on this ordinance. Next, Trustee DiMaria presented for a first reading Resolution OS-53, Authorization to Execute a Contract with Wachs Utility Services Ltd. For the 2005 Water Distribution Leak Detection Survey. Trustee DiMaria explained that the Village annually contracts a leak detection company to examine the Village's water distribution system to identify undetected leaks, which in turn reduces water loss. In 2004, a total of 45 leaks were located and repaired. If the leak detection survey had not located these leaks so that Public Works could make the necessary repairs, the Village would have lost over 94,000 gallons of water per day, or $43,377 per year. The Village received two bids for this project, with the low bid coming from Wachs Utility Services of Wheeling, IL, in the amount of $8,232. There was no further discussion on this resolution. C. Trustee Kogstad: Trustee Kogstad asked if the Board had any objection to dispensing with the reading of Ordinance OS-55, Ordinance OS-56, Ordinance OS-57, Resolution OS-48, Resolution OS-49, and Resolution OS-50. Each is up for a first reading only. ORD. 05-53 AMENDS MUNICIPAL CODE, INCREASES WATER AND SEWER RATES (FIRST READING) RES. 05-53 AUTHORIZES CONTRACT FOR 2005 WATER DISTRIBUTION LEAK DETECTION SURVEY (FIRST READING) 13 X. C. D. TRUSTEES' REPORTS (continued) Trustee Kogstad: (continued) Mayor Krier asked Trustee Kogstad if he would agree that a first reading of each of these ordinances and resolutions had indeed occurred. Trustee Kogstad said yes. The Board concurred, and there was no further discussion FIRST READING on any of the above-noted ordinances or resolutions. OF For the record, a first reading occurred for: ORD. 05-55 • Ordinance OS-55, Amending Title 4, Chapter 17E of the Municipal Code Entitled "Local Motor Fuel Tax"; ORD. 05-56 Ordinance OS-56, An Ordinance Adopting the Budgets for All • ORD. 05-57 Corporate Purposes of the Village of Morton Grove and the RES. 05-45 Morton Grove Library, Cook County, Illinois, For the Calendar Year RES. 05-49 Effective January 1, 2006, and Ending December 31, 2006; • Ordinance OS-57, An Ordinance Levying and Assessing Taxes for RES. 05-50 the Village of Morton Grove, Cook County, Illinois, For Calendar Year Beginning January 1, 2006 and Ending December 31, 2006; • Resolution OS-48, Tax Abatement Resolution for 2005 Tax Levy Relating to Ordinance No. 02-30; • Resolution OS-49, Tax Abatement Resolution for 2005 Tax Levy Relating to Ordinance No. 98-41; and • Resolution OS-50, Tax Abatement Resolution for 2005 Tax Levy Relating to Ordinance No. 99-1. Trustee Minx: RES. 05-51 Trustee Minx presented Resolution OS-51, Authorizing the Village of AUTHORIZES Morton Grove to Share Costs with the Villa a of Niles for a Coo erative g P VILLAGE TO SHARE COSTS Sel'VICe FeaSlblllty Study. WITH NILES FORA She explained that the Villages of Niles and Morton Grove have a long history COOPERATIVE SERVICE of providing mutual aid to each other and sharing apparatus and personnel FEASIBILITY resources. In 2004, an Oversight Committee was formed, comprised of STUDY elected and appointed officials from both Villages, to assess and enhance the mutual cooperation between the two Villages. The Committee prepared a Request For Proposals to solicit bids from qualified consultants to perform a study to identify opportunities to improve efficiency and effectiveness while maintaining high service levels for emergency and non-emergency operations. The Committee determined that Emergency Services Consulting, Inc. (ESCi) of Oregon would conduct this study at a cost of $39,695. Morton Grove will reimburse Niles for 50% of the cost of the study, and in return will be entitled to all reports, data, and work product from ESCi as a result of this study. Trustee Minx moved to approve Resolution 05-51, seconded by Trustee Staackmann. Motion passed: 6 ayes, 0 nays. Tr. Brunner ~ Tr. DiMaria ~ Tr. Kogstad Tr. Minx ~ Tr. Senensky ~ Tr. Staackmann 14 X. E. XI. XII. TRUSTEES' REPORTS (continued) Trustee Senensky: POLICE Trustee Senensky reported that interviews with the top three candidates for CHIEF INTERVIEWS police chief will be held this Wednesday. scHEDULED Trustee Staackmann Trustee Staackmann presented Resolution OS-52, Authorizing a Contractual RES. 05-52 Agreement with United Structural Systems of Chicago, Inc. For Founda- AUTHORIZES coNrRACr tion Repairs at Fire Station 5, 8954 Shermer Avenue. FOR FOUNDATION REPAIRS He explained that Chief Friel recently noticed foundation cracks and doors not AT FIRE closing properly at Fire Station 5. The Village's structural engineer further STATION 5 identified areas of floor and wall settlement in the apparatus room. There is (EMERGENCY apparently a loss of soil moisture causing an inability of the soil to be able to REPAIRS support the building. This resolution authorizes emergency repairs to be NEEDED) performed at Fire Station #5 by United Structural Systems of Chicago, Inc., located in Barrington, IL, a contractor experienced in stabilizing building settlement. The contract is not to exceed $20,750. Trustee Staackmann moved, seconded by Trustee Senensky, to adopt Resolution 05-52. Motion passed: 6 ayes, 0 nays. Tr. Brunner ~ Tr. DiMaria ~ Tr. Kogstad Tr. Minx ~ Tr. Senensky ~ Tr. Staackmann OTHER BUSINESS NONE WARRANTS Trustee Kogstad presented the Warrants, which totaled $2,090,055.22. He moved to approve the Warrants, subject to his review. The motion was seconded by Trustee Brunner. Trustee Kogstad asked, regarding a payout to Northern Trust Company on OUESTIRE page 13, why the amount was different than the amount on the debt service PAYOUT schedule. Mr. Neukirch explained that it's a variable rate loan, and the Village AMOUNT doesn't know until the bill comes in what the amount will be. Trustee Kogstad FROMEDEBT asked if the loan was based on the prime rate, the CPI, or what. Mr. Neukirch SERVICE said he wasn't sure, but would look into it and report back to Trustee Kogstad. SCHEDULE Mayor Krier called for the vote on the approval of the Warrants. Motion passed: 6 ayes, 0 nays. wARRANrs Tr. Brunner ~ Tr. DiMaria ~ Tr. Kogstad ~L APPROVED Tr. Minx ~ Tr. Senensky ~ Tr. Staackmann 15 XIII. 2. XIV. RESIDENTS' COMMENTS Nancy Lanning commented on another comment made earlier in the evening, about the police writing more tickets. She said she had recently been involved RESIDENT in an incident involving a small dog. Two police officers got involved, and URGES eventually it escalated to the point where five to six police officers and the Fire PEOPLE TO Department got involved. She said, "You can't have a police officer on every BE REALISTIC corner. It has to be realistic." Also, regarding health insurance, Mrs. Lanning, who's the widow of a Morton Grove police officer, said that she is living on his pension and her Social Security. She said that her health insurance costs go up every year, so she doesn't understand what people are thinking when they suggest that employees' share of the health insurance increase by 40 or 50 percent. Joe Hedrick said he was representing the American Legion Post 134 and that AMERICAN he wanted to make sure the lines of communication between the Village and LEGION POST the Legion were open. There was some concern because, at the recent CONCERNED Veterans' Da Parade, no Villa e officials were resent, and the should have y g p y Aeour COMMUNICATN been. He wondered if it had been a communication problem or what. Mayor WITH BOARD Krier said that he had called Commander Gonzalez to let him know that he was going to be out of town for the Parade, but he couldn't speak for the rest of the board members. Raymond Solal thanked Mr. Hedrick and said that he had been surprised to see no Village officials at the Veterans' Day Parade. Mr. Solal announced that RESIDENT he had received correspondence from the assessor's office indicating that THINKS there was no lot number for the parcel of land the Village received from the cROSs MCC in the cross license agreement. Mr. Solal felt that the whole Capulina LICENSE AGREEMENT right-of-way and cross license agreement was fraudulent and said that the land WITH MCC belongs to the Village. He asked the Board to reconsider the cross license IS FRAUIDULENT agreement because it was based on fraud, and therefore should be null and void. He said the County Clerk and the Assessor are aware of this situation and that it's up to the Village to take care of this. Mr. Solal stated that the water rate increase passed earlier in the evening was based on false information. He said there was no 3% increase from the City of Chicago so the Village shouldn't increase the water rates until necessary. He said that he believes, and has said this since 1992, that the Village can be run for less money than $48 million dollars. ADJOURNMENT There being no further business to come before the Board, Trustee Minx moved to adjourn the meeting. Trustee Brunner seconded the motion. Motion passed: 6 ayes, O nays. MEETING Tr. Brunner aye Tr. DiMaria a~ Tr. Kogstad ~ ADJOURNED Tr. Minx ~ Tr. Senensky ~ Tr. Staackmann The meeting adjourned at 10:11 p.m. ~ 16 PASSED this 9th day of January, 2406. Trustee Brunner Trustee DiMaria Trustee Kogstad Trustee Minx Trustee Senensky Trustee Staackmann APPROVED by me this 9t" day of January, 2006. Richard Krier, Village President Board of Trustees. Morton Grove. Illinois APPROVED and FILED in my office this 10th day of January, 2006. Carol A. Fritzshall, Village Clerk Village of Morton Grove Cook County, Illinois Minutes by: Teresa Cousar 17