City Council

MINUTES CITY OF DEKALB CITY COUNCIL COMMITTEE OF THE WHOLE MEETING FEBRUARY 9, 2015 The City Council of DeKalb, Illinois held a Committee of the Whole Meeting on Monday, February 9, 2015 in the City Council Chambers of the DeKalb Municipal Building, 200 South Fourth Street, DeKalb, Illinois. Mayor Rey called the meeting to order at 5:03 p.m. A. ROLL CALL City Clerk Marcia Sweigert called the roll and the following members of City Council were present: Alderman Bill Finucane, Alderman Bob Snow, Alderman Ron Naylor, Alderman Monica O’Leary, and Mayor John Rey. The following members of City Council were absent at roll call: Alderman David Jacobson (arrived at 5:05 p.m.), Alderman Dave Baker (arrived at 5:09 p.m.), and Alderman Kristen Lash (arrived at 5:11 p.m.). Also present were City Manager Anne Marie Gaura, Assistant City Manager Patty Hoppenstedt, Police Chief Gene Lowery, Finance Director Cathy Haley, Fire Chief Eric Hicks, Community Development Director Ellen Divita, Public Works Director T.J. Moore, City Attorney Dean Frieders, Principal Planner Derek Hiland, Management Analyst Lauren Stott, Management Intern Jared Heyn, City Clerk Marcia Sweigert, and Deputy Clerk Ruth Scott. B. ITEMS ALSO ON THE REGULAR AGENDA None. C. CONSIDERATIONS 1. Popular Annual Financial Report (PAFR) Management Analyst Stott presented the PAFR for the fiscal year ending June 30, 2014. She stated the PAFR summarized the finances of the City over the year in a comprehensive report with increased transparency. The report provides analysis of the City’s financial information and also provides an economic outlook for the City. The full document can be found on the City’s website. Management Intern Jared Heyn proceeded to explain the sales tax portion of the PAFR. He stated that sales tax for the City is broken into four separate components: State, county, municipal retailers’ occupation tax, and the City’s home rule tax. DeKalb Committee of the Whole Meeting February 9, 2015 Page 2 of 6 collects from the City home rule tax and from the municipal retailers’ occupation tax. Management Intern Heyn said that annual sales tax was consistent. He also stated that the City raised the home rule tax rate from 1.25% to 1.75%. Management Intern Heyn also talked about understanding the City’s municipal debt and bond rating. The City uses Moody’s Investors Services to calculate bond rating, which is currently at Aa2 due to the current level of debt. This rating will provide the City with a lower rate on new bonds. The City’s total debt will be paid off by 2030 if it incurs no more new debt. Finance Director Haley spoke regarding the higher level of financial information for the City that the report provides. The report explains the City’s net position overall and is broken down into governmental and business activities. Finance Director Haley stated that, with the exception of water and the airport, revenues were higher than expenditures. She said this was a great step towards the City’s goal. She added that the equalized assessed evaluation dropped for part of fiscal year 2014 which impacted the City’s property tax rate. Finance Director Haley thanked Management Analyst Stott and Management Intern Heyn for preparing the PAFR stating they spent a lot of time on the report and did a great job. Mayor Rey thanked the Finance Department for preparing the PAFR. Alderman O’Leary asked Finance Director Haley if the report contained actual percentages of the where the money goes. Finance Director Haley stated the percentages were from June 2013-2014 and added that some of the percentages have changed. Alderman Naylor referred to the gross expenditures on page 15 of the report represented in the pie charts and asked if Public Works fell under Public Safety or Community Development. Finance Director Haley said it fell under Community Development. Alderman Naylor asked Finance Director Haley to clarify the net position in the report. He wanted to know what was included in business activities versus government activities. Finance Director Haley said the governmental activities included long term liabilities, capital assets, general funds, and TIFs. They included everything but airport, water and refuse, which are considered business activities. 2. Police Department Facility Construction Costs. Public Works Director Moore provided a recap of the construction costs of the Police Department. The City was asked to begin working on the project in October 2011. After exploring multiple sites, the Council decided on the Lincoln Highway site, which was already owned by the City. Authorization was approved to hire an architect, get the design and a builder with a $12 million budget.  Committee of the Whole Meeting February 9, 2015 Page 3 of 6 Public Works Director Moore reviewed the memo presented to Council regarding the budget overages and stated the overages totaled approximately $200,000. Alderman O’Leary asked if the purchase of furniture was included in the budget. Public Works Director Moore stated furniture was included in the initial budget but the budgeted amount was not adequate. Alderman O’Leary stated she didn’t realize the cost only pertained to the design and asked why the City didn’t take the furniture that was already in the Police Station. Public Works Director Moore said the existing furniture was in poor condition. When moving some of the furniture was attempted, it came apart. City Manager Gaura said that furniture left behind after the Police Department moved has been used where needed at City Hall. Alderman O’Leary inquired as to the administration costs. Public Works Director Moore said they were used during construction. Alderman Naylor recalled that Council was assured that the initial $12 million budgeted would be enough money to build the Police Station. Further, he was concerned that some aspects of the building Council was told would initially be included, such as a basement, shooting range, etc. Alderman Naylor asked if the all of the project documentation had been consummated. Public Works Director Moore stated that everything was closed out. Alderman Jacobson asked if there were any lien waivers. Finance Director Haley stated they are complete through fiscal year 2014 and nothing is remaining for fiscal year 2015. Alderman Naylor asked if everything was paid out. Finance Director Haley said, “yes”. Mayor Rey asked if each item was on the spreadsheet. Finance Director Haley said, “yes”. City Attorney Frieders added that the project would be handled differently if it occurred today. He also said that the lien waivers were processed through Chicago Title. Mayor Rey asked if the payments through Chicago Title were less than $12 million. City Attorney Frieders said, “yes”. Alderman Naylor asked if it was known what the project manager was responsible for. City Attorney Frieders said the original contract breaks that out. Committee of the Whole Meeting February 9, 2015 Page 4 of 6 Alderman Naylor asked if the overages were a result of the project manager and if numbers were available for that. Mayor Rey indicated the page numbers in the report for the payments to Chicago Title. Alderman Jacobson said the City lost the shooting range, the basement, and terrazzo tile and stated it is imperative in the future that these types of projects are guaranteed with maximum prices. He added that that the City did not get the building wanted for $12 million. There was a brief discussion regarding the architectural fee. Mayor Rey indicated the need for changes in procedure with transparency. Alderman Naylor asked what the total budget number was that they had to work within. City Attorney Frieders said they had a total GMP of $9.8 million. They contemplated $2.1 million for non-building costs. 3. Chapter 23 “Unified Development Ordinance (UDO)”, Article 7 “Supplemental District Regulations”. City Manager Gaura stated she would like to pare the discussion of this item with the Planning and Zoning Commission to a maximum of four meetings and then bring it back to a Committee of the Whole meeting. Principal Planner Hiland said that Article 7 had the most changes of the four sections of code. A new section of code was added to embrace new technology. Principal Planner Hiland stated that amendments before Council deal with satellite dish regulations, traffic access and impact studies, and embracing solar. It also deals with recommendations for retail sale, medical cannabis and the resale of firearms. Mayor Rey asked if the zoning maps were relevant to the discussion. Principal Planner Hiland said, “yes”. There is a 500 foot buffer. One is labeled dispensaries and cultivation centers. It relates to where tobacco could be grown and sold and, also, residential land uses. Principal Planner Hiland said they could create a 200 foot buffer for the next meeting. Mayor Rey asked if the 2500 ft. buffer in dark blue was the most restricted in terms of available space. Principal Planner Hiland said, “yes”. Alderman Jacobson asked if this relates to schools. Principal Planner Hiland stated the schools fall under daycare. Residential encompasses parks. Alderman Finucane asked if it was the same footprint for dispensaries, the same of marijuana. Principal Planner Hiland said that it’s for Council to decide. The planning is consistent with state statute.  Committee of the Whole Meeting February 9, 2015 Page 5 of 6 Alderman Finucane asked Principal Planner Hiland to clarify the difference in recommendations between tobacco and cannabis. City Attorney Frieders said there is a 200 foot set-back for tobacco. The cannabis recommendation is a 1,000 foot set-back. There is a 2,500 foot set-back for cultivation. The recommendation mirrors the state statute. Alderman Lash asked how the average for occupation is being defined. Principal Planner Hiland said it allows the operation of a business from a home if it doesn’t negatively impact the neighborhood. City Attorney Frieders stated that the provisions being referenced are in the current protocol. What is incompatible is shown in the red line in the packet. Alderman Lash said that no home occupation is to be in the garage. She knows that a selling point is a work shop. She asked if an exception could be made for that. Principal Planner Hiland stated that visitors coming to the home to purchase the wares seem to be the problem. Alderman Jacobson stated he would like to move this item to the next Committee of the Whole meeting, as did Mayor Rey. City Attorney Frieders encouraged Council to expedite this item due to medical cannabis. Alderman Naylor discussed adding firearm retailers and asked why cannabis was not added. City Attorney Frieders said it was excluded on geographic limitations because of the 1,000 foot setback. D. RECESS FOR EXECUTIVE SESSION OF THE CITY COUNCIL 1. Approval to Hold an Executive Session to Discuss Personnel as Provided for in 5 ILCS 120/2(c)(1). Not acted upon at this meeting. 2. Approval to Hold an Executive Session to Discuss Purchase or Lease of Real Property as Provided for in 5 ILCS 120/2(c)(5). Not acted upon at this meeting. E. ADJOURNMENT MOTION Committee of the Whole Meeting February 9, 2015 Page 6 of 6 Mayor Rey moved to adjourn the meeting, seconded by Alderman Jacobson. Mayor Rey declared the meeting adjourned at 5:50 p.m. ____________________________________ MARCIA E. SWEIGERT, City Clerk Approved by City Council Date: March 9, 2015