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:
• pdf National Suicide Prevention Awareness Month (252 KB)
• pdf National Fire Prevention Week – October 8-14, 2017 (301 KB)
• pdf Public Power Week – October 1-7, 2017 (125 KB)
IV. REPORTS AND COMMUNICATIONS:
• Mayor
• Council Members
• Good News
V. PUBLIC COMMENTARY:
VI. BUSINESS ITEMS:
1) CONSENT AGENDA ITEMS BY OMNIBUS VOTE with Recommendations:
a) Approve Minutes of City Council Meeting – pdf 9/11/17 (130 KB)
b) Accept and Place on File Minutes of Police and Fire Commission – pdf 6/27/17 (123 KB)
c) Accept and Place on File Budget Summary Month Ending pdf 8/31/17 (755 KB)
d) Approve Bills – pdf 09/19/17 (245 KB)
e) Approve Exceptions – pdf 09/06/17-09/18/17 (67 KB)
f) Approve Payroll – pdf 08/28/17-09/10/17 (52 KB)
g) Authorize Rochelle Community Action Network Food Truck Fair – pdf 10/21/17 (118 KB)
2) Resolution Directing All Street Lighting Costs to be Assumed by Rochelle Municipal Utilities and Removed as an Expense of the General Fund
3) Resolution Accepting Membership as a Member of the Quad Cities Health Insurance Pool Sub-Pool which is a Member of the Intergovernmental Personnel Benefit Cooperative
4) Ordinance Amending Ordinance No. 45-OH – Lee Ogle Enterprise Zone
5) Ordinance Approving a Utility Easement Agreement with Creekside LLC – Well 11
6) Ordinances Approving Utility Easement Agreements – Steward Road Transmission Line
7) Ordinance Amending and Updating Article VIII of Chapter 94 (Traffic and Vehicles) of the Municipal Code
8) Resolution Establishing Emergency Services Price Schedule
VII. DISCUSSION ITEMS:
VIII. EXECUTIVE SESSION
IX. ADJOURNMENT
Agenda Item 2 Resolution Directing All Street Lighting Costs to be Assumed by Rochelle Municipal Utilities and Removed as an Expense of the General Fund
Staff Contact:
Jeff Fiegenschuh, City Manager & Jason Bird, Superintendent of Electric
Summary:
After I was hired as the City Manager, but before I officially begin my duties in Rochelle, I began conducting research on ways to alleviate some of the budget issues for the general fund. I discovered that RMU bills the general fund for all energy used for street lighting purposes. Additionally, the City of Rochelle has levied the maximum of $.05\$100 EAV for street lighting. This generates approximately $110,000 annually. The billing cost to the general fund associated with street lighting last year was approximately $155,000. The remainder of the funds come from Motor Fuel Tax and the general levy.
Typically, when the electric utility is owned by the municipality the power costs associated with street lighting is absorbed by the utility as a cost of doing business. It is one of the many added benefits to municipally owned power. Attached to the staff report is a brief spread sheet highlighting 19 different municipally owned electric utilities. As you can see over 84% of them do not bill the general fund for the power used for street lighting.
Also included with this report is a recent audited revenue and expense report for the electric department. As you can see, the utility clearly has enough revenues to absorb the additional power expense. If the city council approves this policy, the $.05\$100 levy will be transferred to assist with police and fine pension funding. Any portion of the $.05 that is not utilized for those pension levies will be placed in the general fund. Ideally, when our budget issues are resolved and the police and fine pensions are funded at the 90% level, the $.05 levy will no longer be utilized.
Staff is presenting this to the UAB in anticipation they will recommend to the city council changing the policy.
Recommendation:
Approve the Resolution Directing All Street Lighting Costs to be Assumed by Rochelle Municipal Utilities
Supporting Documents:
pdf Spreadsheet detailing comparable communities (111 KB)
pdf Electric department audited numbers for 2015-2016 (41 KB)
Agenda Item 3 Resolution Accepting Membership as a Member of the Quad Cities Health Insurance (QCHIP) Pool Sub-Pool which is a member of the Intergovernmental Personnel Benefits Cooperative (IPBC)
Staff Contact:
Jeffrey A. Fiegenschuh, City Manager
Summary:
As you are all aware, in this ever changing environment, health care costs continue to rise. In Rantoul, as early as 2014 and 2015, the village averaged health care increases in excess of 15%, even with changing to a high deductible HSA (Health Savings Account) plan. Our organization was similar to Rochelle in employee size and services offered. Based on information from colleagues from across the state, our team decided one of the most efficient ways to mitigate against large future increases was to join a larger pool of employee lives. In 2016, we accomplished this by joining the IPBC sub pool EWBC (Easter Will Benefits Cooperative). Our initial premiums were 25% lower than our quoted renewal rates and our first year renewals were in single digits. This was the first time in multiple years the village saw renewals of less than 10%. Part of this can be attributed to joining the sub pool and increasing our lives covered from 120 to 400. Essentially we broadened and leveraged our risk.
In an effort to control health care costs and mitigate future increases, I would like the city council to consider joining the QCHIP sub pool of IPBC. Based on the numbers the group provided our team, without any plan changes, the City’s renewal rate will drop from 7.6% to 3.1% (these are actual firm renewal numbers). Staff plans to make some additional benefit changes that may get the plan closer to renewal rate that offers identical rates as paid in the current plan year. If the council approves the change the city will remain with Blue Cross Blue Shield.
Other members of the QCHIP sub-pool include the communities of East Moline, Princeton, Colona, Lee County and Washington. Freeport is considering joining as well. If Rochelle joins the group our sub-pool will cover almost 800 lives. I realize many of you might not be familiar with the IPBC as an organization so I have included several attachments for your review including a power point outlining the organization along with a one-page history. Gallagher Benefits administers the program and a representative of their firm will be on hand to discuss the IPBC, its sub-pools and how the program works. He will also answer any questions you should have. I asked Attorney Lanzito to review the by-laws and the resolution, of which he has no concerns.
I am also providing two letters reference from other communities that joined two sub-pools of the organization along with the links below to news articles discussing two communities that moved to the IPBC or one of their sub- pools.
http://www.chicagotribune.com/suburbs/lake-zurich/news/
http://www.pantagraph.com/news/local/government-and-politics/city-could-switch-health-insurance-to-save-millons/article_7dc7787d-eca5-5268-8385-1ea797c145d0.html
Recommendation:
Approve the Resolution Accepting Membership as a Member of the Quad Cities Health Insurance Pool Sub-Pool which is a member of the Intergovernmental Personnel Benefits Cooperative
Supporting Documents:
pdf Spreadsheet Highlighting Savings (199 KB)
pdf Princeton Letter of Reference (69 KB)
pdf Channahon Letter of Reference (78 KB)
pdf Resolution Accepting Membership (87 KB)
pdf Exhibit A - Contract and By-Laws (297 KB)
Agenda Item 4 Ordinance Amending Ordinance No. 45-OH - Lee Ogle Enterprise Zone
Staff Contact:
Sue Messer
Summary:
On December 14, 2015 the Mayor and Council approved an Ordinance Establishing Lee Ogle Enterprise Zone. The new zone encompasses the City of Rochelle along with the City of Dixon, Ogle County and Lee County. The zone was established to provide incentives to promote the economic growth of the area, to reduce unemployment and to encourage expansion, rehabilitation and new construction of structures within the zone for a term of 15 years.
The Lee Ogle Enterprise Zone includes 9,600 acres divided between the two counties and both cities. Of the 9,600 acres, 1000 acres were left "undesignated" to allow for other communities to adopt the Enterprise Zone at a later date. The City of Amboy would like the zone to be expanded to include certain industrial and commercial property in its community. The proposed ordinance and agreement will add the City of Amboy as a “Designating Unit of Government” of the Lee Ogle Enterprise Zone.
Lee Ogle Enterprise Zone Administrator Andy Shaw will be in attendance at the meeting to answer any questions.
Recommendation:
Authorize an Ordinance Amending Ordinance No. 45-OH to add the City of Amboy into the Lee Ogle Enterprise Zone
Supporting Documents:
pdf Ordinance Amending Ordinance No. 45-OH (692 KB)
Agenda Item 5 Ordinance Approving a Utility Easement Agreement with Creekside Land Holdings LLC
Staff Contact:
Adam Lanning
Summary:
Well 11, located on Flag Road is a main supply well that has been taken out of service due to radium exceedances. With this occurrence, the City of Rochelle entered into a compliance commitment agreement with the Illinois EPA which requires the City to construct a radium removal plant for that well.
During the design process we discovered that storm water detention and compensatory storage was necessary to meet local and state requirements. An existing storm water detention pond just north of the site was identified as being the most practical location for the storm water needs of this project. The pond needs to be expanded and some crop damage and soil compaction may occur during the construction phase. The area affected is 6.67 acres plus the use of the existing pond.
Funding Sources:
Source: Budgeted Amount: Proposed Expenditure:
Capital Improvement fund Budgeted $49,136
Recommendation:
Authorize an Ordinance Approving a Utility Easement Agreement with Creekside Land Holdings LLC at a cost of $49,360.
Supporting Documents:
pdf Ordinance Approving a Utility Easement Agreement (117 KB)
Agenda Item 6 Ordinances Approving Utility Easement Agreements - Steward Road Transmission Line
Staff Contact:
Jason Bird
Summary:
The City has been working for several months to obtain utility easements for the Steward Road Reconductoring project. Through negotiation and design, we have been able to reduce the size and cost of the easements. Including these two proposed agreements, a total of ten easement agreements have been finalized and two more are anticipated in the next month.
Funding Sources:
Source: Capital Project Steward Line Budgeted Amount:2.5 million, we expect to complete project within the budget numbers Proposed Expenditure:
Ravnaas and Gilbert (2.55 acres) $9,920.00
Chicago Title Land Trust (3.03 acres) $11,840.00
Recommendation:
Authorize an Ordinance Approving a Utility Easement Agreement with Martin Ravnaas, Jr., Robert Ravnaas and Mary Gilbert
Authorize an Ordinance Approving a Utility Easement Agreement with Chicago Title Land Trust Company, Trust #5486
Supporting Documents:
pdf Easement Agreement (93 KB)
pdf Drawings of the easement (308 KB)
pdf Easement Agreement (72 KB)
pdf Drawings of the easement (331 KB)
Agenda Item 7 Ordinance Amending and Updating Article VIII of Chapter 94 (Traffic and Vehicles) of the Municipal Code of the City of Rochelle
Staff Contact:
Sam Tesreau, City Engineer
Summary:
Since the inception of the Overweight Truck permit system in May 2013 the permit fees have remained the same. Discussions began in Fall 2016 between City Engineering staff and the Trucking Advisory Committee (TAC) with regards to increases to the current permit fees. The fees collected are primarily used for administration, service charges, equipment and other operational expenses of the overweight truck permit system. Furthermore, overweight funds are budgeted each year to help supplement ongoing maintenance and/or infrastructure improvements on identified truck routes within the City of Rochelle.
The expenses for daily operations and administration of the overweight permit system, along with increased expenses for maintenance of and/or infrastructure improvements, continue to increase each year. It is the opinion of Engineering staff that fees need to increase on a regular basis to keep up with the City’s expenses. After much discussion over several months the TAC voted unanimously to increase current overweight/oversize permit fees by 6%. In addition, there were several areas within the current Overweight ordinance that staff identified, along with our online permitting system administrator OxCart, which needed clarification or revision. Those areas have been revised within the ordinance as well as the fee structure.
The increased amount will be rounded up to the nearest whole dollar amount and the new fees will go into effect January 1, 2018. This will allow sufficient time for any necessary website changes and daily/annual permit users to become aware of the increases and modifications to the ordinance while factoring such increases into their business expense for FY 2018. Approximately $35,000 has been received in overweight permit fees since January 1, 2017.
Recommendation:
Please consider approval of the recommended fee increase to be applied to all overweight oversize truck permits effective January 1, 2018 as well as the revised ordinance amending and updating Article VIII of Chapter 94 of the Rochelle Municipal Code.
Supporting Documents:
Agenda Item 8 Resolution Establishing Emergency Services Price Schedule
Staff Contact:
Dave Sawlsville
Summary:
The Naperville Fire Department conducted a survey of Illinois Fire Department ambulance user fees in early 2016. Compared to over 120 fire departments responding to the survey, Rochelle’s ambulance user fees are substantially lower than surrounding communities.
The City’s current Emergency Service Price Schedule was adopted on June 25th of 2012. Based on the Naperville study and the fact that the cost of providing these services continues to rise, I recommend a rate increase effective October 1, 2017. Please note that with the recommended increase our rates will be closer to the area average but still below what many communities are currently charging.
Recommendation:
Approve a Resolution Establishing Emergency Services Price Schedule effective October 1, 2017.
Supporting Documents:
pdf Naperville Fire Department Study (204 KB)
pdf Ambulance Rates Current and Recommended (229 KB)
pdf Resolution Establishing Emergency Services Price Schedule effective October 1, 2017 (109 KB)
