City Council

MINUTES CITY OF DEKALB REGULAR CITY COUNCIL MEETING DECEMBER 10, 2018 The City Council of DeKalb, Illinois held a Regular City Council meeting on December 10, 2018 in the City Council Chambers of the DeKalb Municipal Building, 200 South Fourth Street, DeKalb, Illinois. Mayor Smith called the meeting to order at 6:10 p.m. A. ROLL CALL City Clerk Lynn Fazekas called the roll, and the following members of City Council were present: Alderman Bill Finucane, Alderman Pat Fagan, Alderman Kate Noreiko, Alderman Mike Verbic, Alderman Tony Faivre, and Mayor Jerry Smith. Alderman David Jacobson arrived at 6:15 p.m. Also present were: Interim City Manager Ray Munch, Economic Development Planner Jason Michnick, Acting Finance Director Bob Miller, Community Development Director Jo Ellen Charlton, Police Chief Gene Lowery, and City Attorney Dean Frieders. B. PLEDGE OF ALLEGIANCE TO THE FLAG OF THE UNITED STATES Acting Fire Chief Jeff McMaster led the Pledge. C. APPROVAL OF THE AGENDA – ADDITIONS/DELETIONS Mayor Smith said he wanted to change the order of the agenda items in order to place the Northern Illinois MAC football championship celebration first. He also announced a request to remove Item F.3., Approval of the 2019 Schedule of Meetings, for separate consideration as G.8. MOTION Alderman Verbic moved to approve the agenda as amended. Alderman Faivre seconded. VOTE Motion was approved on 7-0 roll call vote. Aye: Fagan, Noreiko, Verbic, Faivre, Jacobson, Finucane, Smith. Nay: none. D. PUBLIC HEARINGS 1. Proposed FY2019 Budget. Regular Meeting Minutes December 10, 2018 Page 2 of 12 Mayor Smith opened the hearing at 6:28 p.m. Interim City Manager Munch provided a summary of budget appropriations. After ascertaining that no one had registered to speak to this item, Mayor Smith closed the public hearing at 6:30 p.m. 2. Backup Special Service Areas for Fatty’s/Culver’s, Popeye’s, University Village, University Plaza, First Rockford/Nelson, Casey’s, Cornerstone, Sonic, Bandit’s Castle, 1114 Blackhawk Road, Home2 Suites, 1792 Sycamore Road, Plaza DeKalb, and One Active Special Area for 924 Greenbrier Road. Mayor opened the public hearing at 6:30 p.m. City Attorney Frieders said these SSAs will provide backup funding sources for maintenance of stormwater detention and open space on these properties. After announcing that no one had registered to speak to this item, Mayor Smith closed the public hearing at 6:32 p.m. 3. Proposed Body Art Establishment Licensure for Mindful Tattoo, 625 E. Lincoln Highway. Mayor Smith announced the opening of the public hearing at 6:33 p.m. Jim Stoddard disclosed he is an attorney who represents the body art establishment Out on a Whim, Inc. Mr. Stoddard noted that Out on a Whim intends to renew its license, notwithstanding the resignation of one of its officers to form Mindful Tattoo. Michael Stiles identified himself as a former accountant of Out on a Whim. He said he resigned due to observing irregularities in sales tax reported, which he attributed to the business manager. Chris May pointed out only two body art licenses are allowed downtown. Robert Schaal said he thought three body art licenses might be too much. Melissa Schaal had signed up to speak to this item but did not. Chris Tsiftilis said he spoke on behalf of dad Pete Tsiftilis, the owner of the building in which Out on a Whim has operated for nearly 20 years, who supports the owners of Out on a Whim. Mayor Smith closed the public hearing at 6:44 p.m.  Regular Meeting Minutes December 10, 2018 Page 3 of 12 4. Proposed Body Art Establishment Licensure for Tall Tattoo, LLC, 205 S. Third Street. Mayor Smith opened the public hearing 6:45 p.m. Carrie McFalls said she supports the applicant as a friend and artist. She asked why DeKalb couldn’t have three or four body art establishments. Rhia Doktor spoke in support of the applicant, citing ways applicant gives back to the community. Jason Moses said he supports the applicant, who is his brother. He suggested the code be overridden, as he does not believe the business will affect the nearby church, and wants to give applicant a chance. Jim Stoddard, attorney representing Out on a Whim, again pointed out that Whim is a current license holder and license holders are limited downtown to two. After ascertaining there was no one else who wished to speak to this item, Mayor Smith closed the hearing at 6:52 p.m. E. SPECIAL ITEMS OR PRESENTATIONS AND CITIZENS’ COMMENTS 1. Special Items a. Proudly DeKalb  Northern Illinois University MAC Football Champions. This item was moved to the top of the Agenda via amendment. Representatives of NIU’s administration and football program spoke, and they displayed the MAC trophy in front of the dais. 2. Presentations a. DeKalb Chamber of Commerce Annual Presentation by Executive Director Matt Duffy. Mr. Duffy presented an overview of the Chamber’s events over the past year. b. DeKalb County Economic Development Corporation Annual Presentation by Paul Borek. Mr. Borek shared a graphic presentation of DCEDC’s accomplishments in 2018. Regular Meeting Minutes December 10, 2018 Page 4 of 12 3. Approval of the Mayor’s Appointments a. Appointment of Marilyn Cleland to the DeKalb Public Library Board for the Completion of a Three-Year Term through June 30, 2020. b. Appointment of Leslie Metz to the DeKalb Public Library Board for the Completion of a Three-Year Term through June 30, 2020. c. Reappointment of Dan Kenney to the Citizens’ Environmental Commission for a Two-Year Term through December 31, 2021. d. Reappointment of Ken Koch to the Citizens’ Environmental Commission for a Two-Year Term through December 31, 2021. e. Reappointment of Clare Kron to the Citizens’ Environmental Commission for a Two-Year Term through December 31, 2021. f. Reappointment of Sharon Skala to the Citizens’ Environmental Commission for a Two-Year Term through December 31, 2021. Mayor Smith read each of the above proposed appointments. MOTION Alderman Finucane moved to approve the appointments in omnibus fashion. Alderman Fagan seconded. Alderman Finucane pointed out that the reappointments to the Environmental Commission could not be two-year terms and expire in 2021. Attorney Frieders confirmed the terms are two-year terms. MOTION Alderman Finucane moved to amend the Environmental Commission appointments to expire December 31, 2020. Alderman Fagan seconded. VOTE Motion to amend the expiration dates was approved 7-0 on roll call vote. Aye: Noreiko, Verbic, Faivre, Jacobson, Finucane, Fagan, Smith. Nay: none. VOTE Original motion to approve the appointments passed as amended on 7-0 roll call vote. Aye: Verbic, Faivre, Jacobson, Finucane, Fagan, Noreiko, Smith. Nay: none.  Regular Meeting Minutes December 10, 2018 Page 5 of 12 4. Public Participation There was none. F. CONSENT AGENDA 1. Approval of City Council Minutes a. Minutes of the Committee of the Whole Meeting of November 13, 2018. b. Minutes of the Regular City Council Meeting of November 13, 2018. 2. Receive & File a. Accounts Payable and Payroll through December 10, 2018, in the Amount of $2,478,164.66. 3. Approval of the 2019 Schedule of Meetings. (Item was pulled via amendment from Consent Agenda to be considered separately as Item G8.) 4. Ordinance 2018-086 Authorizing the 2018 Levy and 2019 Collection of Taxes In and For the Corporate and Municipal Purposes and Special Service Areas of the City of DeKalb for the Fiscal Year 2019. (Second Reading) 5. Ordinance 2018-087 Abating Taxes Levied for Corporate Purposes of the City of DeKalb for the Tax Levy Year 2018 (Bonds). (Second Reading) 6. Resolution 2018-157 Authorizing an Intergovernmental Agreement with the Illinois Department of Transportation for Public Transit Funding from the Illinois Downstate Operating Assistance Program from July 1, 2018 through June 30, 2019, in an amount not to Exceed $5,192,400. Mayor Smith read each item of the Consent Agenda by title only, noting item F3 had previously been removed for separate consideration during Approval of Agenda. MOTION Alderman Faivre moved to approve the Consent Agenda. Alderman Verbic seconded. VOTE Motion was approved on 7-0 roll call vote. Aye: Faivre, Jacobson, Finucane, Fagan, Noreiko, Verbic, Smith. Nay: none. The mayor declared the motion passed. Regular Meeting Minutes December 10, 2018 Page 6 of 12 G. ITEMS FOR SEPARATE ACTION 1. Ordinance 2018-090 Adopting the Annual Budget of the City of DeKalb, Illinois for the Fiscal Year Beginning January 1, 2019 and Ending December 31, 2019 in the Amount of $89,231,343, and Approving Related Regulations Having Financial Impact. (First Reading) Mayor Smith read the ordinance by title only. MOTION Alderman Noreiko moved to pass first reading. Alderman Faivre seconded. Interim City Manager Munch presented the timeline of the budget process. Dwayne Brown urged the City to become more competitive by gradually lowering sales taxes. He also voiced support for cost-containment measures and funding the pensions. Council reviewed the current (2018) revenue shortfall and how it will be handled to bring reserves back up to 25% of fund balance. Use of fund balance to cover airport operating deficits was brought up as well. MOTION Alderman Jacobson moved that the budget be amended to require that, in relation to special service funds including the airport, any negatives are made whole by fund balance in the General Fund. Alderman Fagan seconded. VOTE Motion was approved on 7-0 roll call vote. Aye: Jacobson, Finucane, Fagan, Noreiko, Verbic, Faivre, Smith. Nay: none. Mayor Smith declared the amendment passed. MOTION Alderman Faivre moved that the budget return for further consideration by the first meeting in March so Finance Advisory Committee can continue to review the budget and make recommendations. Alderman Jacobson seconded. VOTE Motion was approved by 7-0 roll call vote. Aye: Finucane, Fagan, Noreiko, Verbic, Faivre, Jacobson, Smith. Nay: none. Mayor Smith declared the amendment passed. MOTION  Regular Meeting Minutes December 10, 2018 Page 7 of 12 Alderman Noreiko moved that vacant positions must come before the City Council for authorization to fill the positions during the time of the hiring freeze, except for Police and Fire departments. Alderman Jacobson seconded. Council continued to refine this amendment, then Aldermen Noreiko withdrew it and Alderman Jacobson withdrew his second in order to accept verbatim the suggested wording of the City Attorney. MOTION Alderman Noreiko moved to amend Section 8 of the FY19 budget to indicate that no vacancies in any position other than a sworn firefighter or police position or telecommunicator shall be filled without the approval of Council prior to July 1, 2019. Alderman Jacobson seconded the motion. VOTE Motion was approved 7-0 on roll call vote. Aye: Fagan, Noreiko, Verbic, Faivre, Jacobson, Finucane, Smith. Nay: none. Mayor Smith declared the amendment passed. VOTE Original motion to approve first reading of the budget was passed as amended on 6-1 roll call vote. Aye: Finucane, Fagan, Noreiko, Verbic, Faivre, Smith. Nay: Jacobson. 2. Ordinance 2018-085 Adopting Chapter 37 "Tax Increment Financing Regulations". (Second Reading) Mayor Smith read the ordinance by title only. MOTION Alderman Finucane moved to pass the ordinance. Alderman Faivre seconded. Economic Development Planner Michnick traced events leading to the development of this ordinance. He reported that Illinois Department of Revenue will not grant permission to share sales tax information on a single business, so sales tax revenues cannot be used as a TIF project performance metric. Steve Kapitan said he was supportive of the regulations in general, but says infrastructure improvements, as opposed to maintenance, are appropriate. Mayor Smith read part of his latest letter to the State’s Attorney and reported on his latest discussions with the SA. Regular Meeting Minutes December 10, 2018 Page 8 of 12 Aldermen Jacobson and Verbic questioned whether action on this question might be premature. MOTION Alderman Finucane moved to postpone action on this ordinance until the second Council meeting in January. Alderman Jacobson seconded. VOTE Motion to postpone was approved on 7-0 roll call vote. Aye: Noreiko, Verbic, Faivre, Jacobson, Finucane, Fagan, Smith. Nay: none. 3. Ordinance 2018-088 Amending Chapter 38 “Intoxicating Liquors”, Section 38.24 “Powers of the Liquor Commissioner”, as it Pertains to Providing a Process for Granting Deviations from Otherwise Applicable Distance Setback Requirements. (Second Reading) Mayor Smith read the ordinance by title only. MOTION Alderman Verbic moved to approve the ordinance. Alderman Faivre seconded. VOTE Motion was approved on 6-1 roll call vote. Aye: Verbic, Faivre, Jacobson, Finucane, Noreiko, Smith. Nay: none. Absent: Fagan (recusal). Mayor Smith declared the ordinance passed. 4. Resolution 2018-158 Approving a Body Art Establishment License for Mindful Tattoo, 625 E. Lincoln Highway. Mayor Smith read the resolution by title only. MOTION Alderman Verbic moved to pass the resolution. Alderman Faivre seconded. Attorney Frieders reminded Council that Chapter 67 limits body art licenses in the Central Business District to two. Out on a Whim changed ownership and continuation of its license was approved, he said, so Council may be faced with decisions to change the number of licenses allowed.  Regular Meeting Minutes December 10, 2018 Page 9 of 12 Jim Stoddard, attorney for Out on a Whim, asserted that his client still held a license and did intend to renew it, and that the director/officer who resigned from the company has not given up her ownership share. Melissa Schaal, Robert Schaal, and Chris Tsiftilis had signed up to speak to this item, but each either declined or was absent when called to speak. Michael Stiles questioned whether the applicants have the business know-how and understand applicable state regulations. He suggested higher licensure fees. Mark Doherty took the floor, but Attorney Frieders at that point asked Council to delay further consideration of this item until it had dispensed with action items through G7. MOTION Alderman Fagan moved to delay further discussion of this resolution until disposal of Item G7. Alderman Verbic seconded. VOTE Motion was approved by 7-0 roll call vote. Aye: Faivre, Jacobson, Finucane, Fagan, Noreiko, Verbic, Smith. Nay: none. This item was picked up again following disposition of the rest of the action items on this Agenda. Attorney Frieders at that point asked to postpone the item to the December 18 Special Council Meeting so that Council could additionally contemplate an ordinance to increase the number of body art establishment licenses in the Central Business District (CBD). MOTION Alderman Jacobson moved to postpone this item until December 18. Alderman Finucane seconded. Council discussed the sales tax issues brought up earlier in the evening, and the original reasons for the City’s two-license limit in the CBD. VOTE Motion was approved on 7-0 roll call vote. Aye: Verbic, Faivre, Jacobson, Finucane, Fagan, Noreiko, Smith. Nay: none. Mayor Smith declared the motion passed. 5. Resolution 2018-159 Approving a Body Art Establishment License for Tall Tattoo, LLC, 205 S. Third Street. Mayor Smith read the resolution by title only. Regular Meeting Minutes December 10, 2018 Page 10 of 12 MOTION Alderman Verbic moved to approve the resolution. Alderman Verbic seconded. Attorney Frieders said staff give a negative recommendation for this license, due to insufficient setback of the establishment from a church and criminal offenses in the applicant’s background. VOTE Motion failed on 0-6 roll call vote. Aye: none. Nay: Jacobson, Finucane, Fagan, Noreiko, Verbic, Faivre. Mayor Smith declared the resolution failed. 6. Resolution 2018-160 Authorizing an Agreement with Environmental Systems Research Institute, Inc. for the Renewal of Desktop Software Maintenance and Online Subscription Services in an Amount Not to Exceed $23,860.00. Mayor Smith read the resolution by title only. MOTION Alderman Finucane moved to approve the resolution. Alderman Verbic seconded. Information Technology Director Thorson said terms of service for this annual renewal have not changed. VOTE Motion was approved on 6-0-1 roll call vote. Aye: Finucane, Fagan, Noreiko, Verbic, Faivre, Smith. Nay: none. Absent: Jacobson. 7. Resolution 2018-156 Approving the Cancellation of the December 26, 2018 Committee of the Whole and Regular Meeting of the City Council, and Approving the Payment of Invoices for the Second Part of December Prior to the January 14, 2019 Regular Meeting of City Council. Mayor Smith read the resolution by title only. MOTION Alderman Noreiko moved to approve the resolution. Alderman Verbic seconded. VOTE Motion was approved on 7-0 roll call vote. Aye: Fagan, Noreiko, Verbic, Faivre, Jacobson, Finucane, Smith. Nay: none. Mayor Smith declared the motion passed.  Regular Meeting Minutes December 10, 2018 Page 11 of 12 8. Approval of the 2019 Schedule of Meetings. Mayor Smith read the action item by title, and noted this was the item removed from the Consent Agenda for separate consideration. MOTION Alderman Noreiko moved to approve the Schedule of Meetings. Alderman Fagan seconded. Interim City Manager Munch noted corrections to be made to dates for the City Council meetings in March. VOTE Motion was approved on 7-0 roll call vote. Aye: Noreiko, Verbic, Faivre, Jacobson, Finucane, Fagan, Smith. Nay: none. H. NEW OR UNFINISHED BUSINESS 1. Request for Proposals for Plumbing Inspection Services. Jo Ellen Charlton informed Council of the need to contract plumbing inspection services for calendar year 2019. 2. Tax Increment Financing District 2 Expiration. Economic Development Planner Michnick covered the options for remaining funds, including an overview of potential projects. The City must designate remaining funds for projects or they become surplus. Steve Kapitan said he supports the Egyptian Theatre upgrades. He also commented on the 145 Fisk project and stand-alone infrastructure projects. Council members asked for more detail on certain projects and declared support for some (Egyptian) and doubt about others (fiber optic). Alderman Verbic suggested DeKalb put something else in place for Egyptian for when TIF goes away, and to address downtown safety concerns, though he cautioned that purchases of cameras would involve ongoing maintenance expenses. Staff requested direction for the December 18 Special Meeting. Consensus of Council members was to continue plans for TIF projects. I. REPORTS – COMMUNICATIONS Alderman Jacobson related a vacation story involving the NIU championship game. Regular Meeting Minutes December 10, 2018 Page 12 of 12 Alderman Finucane reported on the “Freezing for Food” charitable event. Aldermen Noreiko and Faivre spoke about activities happening downtown. Mayor Smith talked about appointing a replacement for Third Ward Alderman Michael Marquardt. City Clerk Fazekas spoke about City meetings being convenient to the public. Police Chief Lowery thanked the public and Target Corp for assisting the department in helping children have a good Christmas. Economic Development Director Charlton outlined three public hearings coming before the Planning & Zoning Commission. Mayor Smith, speaking on behalf of Public Works, advised residents that leaves left in bags will be picked up by the trash hauler until the end of the month. J. RECESS FOR EXECUTIVE SESSION OF CITY COUNCIL No executive session occurred during this meeting. K. ADJOURNMENT MOTION Alderman Noreiko moved to adjourn at 10:15 p.m. Alderman Fagan seconded. VOTE Motion was approved on majority voice vote. Mayor Smith declared the Regular Meeting adjourned at 10:16 p.m. _____________________________________ LYNN A. FAZEKAS, City Clerk Approved by City Council: January 14, 2019.