City of Rochelle Council Chambers
420 N 6th Street, Rochelle, IL 61068
I. CALL TO ORDER:
• Pledge to the Flag
• Prayer
II. ROLL CALL:
III. PROCLAMATIONS, COMMENDATIONS, ETC:
- Irish - American Heritage Month - pdf March 2016 (289 KB)
IV. REPORTS AND COMMUNICATIONS:
• Mayor
• Council Members
• Swearing In Ceremony – Firefighter Kenneth Dougherty
• Financial Statement – pdf January 2016 (830 KB)
V. PUBLIC COMMENTARY:
VI. BUSINESS ITEMS:
1) CONSENT AGENDA ITEMS BY OMNIBUS VOTE with Recommendations:
a) Approve Minutes of City Council Meeting – pdf February 8, 2016 (47 KB)
b) Approve Bills – pdf 012815-020416 (97 KB) , pdf 020516-021116 (86 KB)
c) Approve Payroll – pdf 011816-013116 (49 KB)
d) Approve Cinco de Mayo Planning Committee Request – pdf May 7, 2016 (102 KB)
2) Ordinance Amending the Municipal Code to Create One Restaurant Liquor License
3) Contractor Quote - 5Kv Phase One Project
4) Golf Course Loan Repayment
5) Bad Debt Write Off Policy – Rochelle Municipal Utilities
6) Purchase of Replacement Pump - First Avenue Lift Station
7) Land Purchase Agreement – Patterson Properties
VII. DISCUSSION ITEMS:
VIII. EXECUTIVE SESSION
IX. ADJOURNMENT
Agenda Item #2 Ordinance Amending Section 6-46 of the Municipal Code to Create One Restaurant Liquor License
References:
Recommended Action:
Consider Ordinance Amending Section 6-46 of the Municipal Code to Create One Restaurant Liquor License
History and Fact:
The City has received a request for a restaurant liquor license for El Tapatio. This business plans to locate at 1310 North Seventh Street in Rochelle, the former Pizza Hut restaurant.
Discussion:
The Liquor Commissioner, Mayor Olson, has reviewed the request and has no objection to the creation of an additional restaurant license to accommodate El Tapatio’s request. The addition of this license will result in a total of two restaurant licenses in the City of Rochelle.
Recommendation:
Approve Ordinance Amending Section 6-46 of the Municipal Code of the City of Rochelle to Create One Restaurant Liquor License
Agenda Item #3 Contractor Quote - 5Kv Phase I Project
References:
pdf Memo from Electric Operation Superintendent Jason Bird (95 KB)
pdf Big D Electric Hourly Rates Schedule March 1, 2016-February 29, 2017 (102 KB)
Recommended Action:
Consider quote for contractor assistance with the 5Kv Phase I Project
History and Fact:
In June of 2014 the Mayor and Council approved a bid for the conduit and installation required for Phase I of the 5Kv project. Phase I of this project converts our 4160kV distribution circuit to a 13.8Kv feeder in the northwest section of the community.
Discussion:
The 2015-16 Electric Operations Capital Outlay Budget includes $165,000 for engineering the 5Kv Phase II project. Electric Operation Superintendent Jason Bird believes that these funds would be better used on Phase I. He has obtained two quotes for time and equipment costs necessary to have contractors assist RMU crews. Mr. Bird’s recommendation is to hire Big D Electric, based on the hourly rates schedule provided, since they are less than the other quote. Upon council approval, Big D will arrive in Rochelle on March 7th and continue to work until they are released from the project.
Recommendation:
Approve the hiring of Big D Electric, based on the hourly rates schedule provided, to assist RMU crews with the 5Kv Phase I project.
Agenda Item #4 Golf Course Loan Repayment
References:
pdf Memo from Finance Director Chris Cardott (30 KB)
Recommended Action:
Consider Golf Course Loan Repayment
History and Fact:
In March of 2013 the Mayor and Council, in cooperation with the Flagg Rochelle Community Park District, approved an Intergovernmental Agreement and Contract to Purchase the local golf course and banquet facility at a purchase price not to exceed $800,000. The following month the two entities closed on the property at a cost to each of $388,666.95.
In order to fund the purchase of the golf course property, the City Manager recommended a transfer from the Electric Fund to the Solid Waste Fund. The transfer was authorized through a council resolution which provided for $388,666.95 to be advanced from the Electric Fund to the Solid Waste Fund and for the full balance, including principal and interest of .20% per year, to be repaid to the Electric Fund no later than April 4, 2018.
Discussion:
Per Finance Director Chris Cardott, the outstanding principal balance of the bonds is $388,666.95 plus accrued interest of $2,199.85 which equals a total payoff of $390,866.80. City Manager David Plyman recommends transferring $370,925.92 from the Health Fund and $19,940.88 from the Hotel/Motel Fund to the Solid Waste Fund in order to pay the debt to the Electric Fund in full. If approved, the Health Fund will be depleted.
Recommendation:
Approve the transfer of $370,925.92 from the Health Fund and $19,940.88 from the Hotel/Motel Fund to the Solid Waste Fund in order to pay the debt to the Electric Fund.
Agenda Item #5 Bad Debt Write Off Policy – Rochelle Municipal Utilities (RMU)
References:
pdf Memo from RMU Customer Service Supervisor Barbara Bell (95 KB)
Recommended Action:
Consider Approving Write-Off Policy
History and Fact:
Section 98-6 of the Municipal Code of the City of Rochelle provides for the collection of utility bills by RMU, subject to the provisions of that Code and other applicable legislation. It is recognized, however, that circumstances may arise which could make the recovery of certain debts impossible, impractical or financially unfeasible, and that it may be in the best interest of the City to write off those debts.
Discussion:
Currently, many uncollectable utility accounts are listed as “collections” and remain as part of the receivables balance. The final bill dates range from January 1991 to September 2015. Therefore, RMU Customer Service Supervisor Barbara Bell recommends that the City of Rochelle adopt a write off policy for uncollectible accounts.
The proposed policy outlines the steps to be taken prior to writing off debt including reporting the debt to a collection agency and tracing the debtor. The policy also lists the conditions under which a debt will be written off and gives the Customer Service Supervisor the authority to write off the debt once all of the legal avenues, procedures and steps in the policy have been exhausted. The write off policy does not constitute forgiveness of the debt and the debt is still owed by the debtor.
Recommendation:
Approve Write-Off Policy for Rochelle Municipal Utilities
Agenda Item #6 Purchase of Replacement Pump – First Avenue Lift Station
References:
pdf Memo from Water/Water Reclamation Superintendent Adam Lanning (51 KB)
pdf Proposal for Sulzer/ABS Pump (31 KB)
Recommended Action:
Consider the purchase of a replacement pump for the First Avenue Lift Station
History and Fact:
The City of Rochelle currently operates and maintains a wastewater lift station located along First Avenue near the street department shop. This lift station serves Creston, the landfill and most of the north east side of Rochelle pumping approximately 800,000 gallons per day.
Discussion:
Recently, one of the two pumps at the First Avenue lift station experienced a catastrophic failure. At this point the cause is unknown. Since this pump is a proprietary item, RMU only requested a quote through the original supplier, Flow Technics, Inc. The resulting proposal is for a new replacement ABS 2800 gallon per minute pump at a cost of $28,475 (plus freight). Using a different brand would require modifications to the mounting hardware thus driving up the cost.
Superintendent Adam Lanning recommends approving the purchase of a new ABS submersible pump to replace the damaged equipment since this is a critical piece of equipment. Installation of the pump will be done in-house.
Recommendation:
Approve the purchase of a Sulzer/ABS Pump from Flow-Technics, Inc. in the amount of $28,475.
Agenda Item #7 Land Purchase Agreement – Patterson Properties
References:
pdf Memo from Community Development Director Michelle Pease (93 KB)
pdf Land Purchase Agreement (62 KB)
pdf Ordinance Authorizing the Purchase of Six Properties Owned by CDBNA LLC (77 KB)
Recommended Action:
Consider Land Purchase Agreement – Patterson Properties
History and Fact:
The Rochelle Street Department, Airport and Police Department currently rent a 6,000 square foot building from Windstar Van Lines on south Illinois Route 251. This building is rented for $5,850 per year with a lease expiring on May 1, 2016. Despite this storage facility, the Street Department currently has several pieces of equipment and materials being stored outside in the elements. Due to the Street Department’s main facility being located in the floodway, expansion is not an option.
Discussion: The six former Patterson properties located on west Second Avenue and North Washington are available for purchase. The properties include two vacant lots, a gravel parking lot, a 2,120 square foot Quonset structure, a 15,386 square foot building, and the remains of a fire damaged structure. The larger building would allow for the inside storage of all Street Department equipment and materials at a location that is convenient to the department’s main facility. In addition purchasing these properties would serve the long term goal of cleaning up the area between the railroad tracks.
City staff members have negotiated a Land Purchase Agreement for the six properties which includes a purchase price of $50,000 and a closing to be held on or before March 18th. Contingencies in the agreement include the demolition/removal of the fire-damaged structure located on one of the properties, including the floors and foundation, removal of all fencing, grading the property to a level grade and planting of grass seed. An $80,000.00 check which is held by the City as a guarantee for the completion of the demolition of the fire-damaged structure located on the Property will also be released.
This property has been approved by the EPA as a Brownfields property and a Phase I ESA has been completed by an independent environmental consultant. A Letter of Reliance for the Phase I ESA was released by CDBNA LLC (American Midwest Bank). Community Development capital funds for Brownfields properties are available to cover the purchase price.
Recommendation:
Approve an Ordinance Authorizing the Purchase of Six Properties Owned by CDBBNA LLC Per the Land Purchase Agreement.
