Finance Committee

Finance Committee Meeting Council Chambers August 21, 2013 8:00 a.m. Attendance: Committee Members Present: Chairman Joe LoVerde, John Johann, Robert Callero, Village Manager Steve Vinezeano, and Finance Director Scot Neukirch Committee Members Absent: None Non Committee Members Present: Village Attorney Joe Annunzio, Trustee Hanusiak, Economic Development Coordinator Ross Klicker and John Sullivan (attorney for Mid State Glass and Metal). Call To Order: Meeting opened at 8:05 a.m. Approval of Minutes: The minutes from the July 17, 2013 Finance Committee meeting were up for approval, motion made and all concurred. Accounts Payable Approval: The approval of the Accounts Payable registers for 7/12, 7/19, 7/28, 8/2 and 8/19 were up for approval, motion made and all concurred. Chairman LoVerde asked questions concerning several items on the registers. Finance Director Neukirch either answered or will follow up with the Chairman on the items in question. New Business 6B Application: Economic Development Coordinator Ross Klicker presented the 6B application for 7430 Croname. Mid States Glass will be a new company to the Village of Niles. The Community Development Department has determined that the application has merit. Mid States Glass is a contract glazing company that fabricates, assembles and factory glazes custom windows, storefronts and curtain wall systems. They have chosen this location because their business has outgrown their current location. Klicker presented information from the packet provided to the Committee and responded to questions. With its current vacant status the property is generating approximately $24,000 in property tax. With the 6B status it is estimated that the property will generate approximately $35,000 in property tax for the next 10 years. Motion was made and all concurred to refer the 6B application to the Village Board of Trustees. Update on 2013 Installment Loan: Finance Director Neukirch updated the Committee on the status of the 2013 installment loan that financed the purchase of two Fire Department vehicles. Neukirch explained that the funds have been provided to both companies that will be building the vehicles. The process went very smoothly with Fifth Third Bank. All that remains is some final forms that are completed when the vehicles are delivered to the Village and for the Village to make its annual payments. The Finance Department already made its first payment on August 15, 2013. Update on 2005 Refunding: Finance Director Neukirch updated the Committee on the status of the 2005 refunding. The Finance Department and the Village’s Financial Advisor solicited quotes from 3 banks to determine if going the private placement route was more advantageous for the Village than the competitive bid option. Fifth Third Bank provided the lowest quote of 1.3% to be closed in October. The Village’s Financial Advisor compared that to current competitive sale rates and determined with the Village staff that the private placement option was a better option for the Village. Currently the Village’s Bond Council is reviewing the documents associated with the private placement deal. Series 2014 Financial Advisor: Finance Director Neukirch presented the 3 quotes that were obtained for Financial Advisor services for the Village’s 2014 $10 million bond issue for its Storm Water Relief Program. Neukirch explained that the Village has obtained 3 quotes from 3 reputable firms, Speer Financial, Baird and Ehlers. All 3 quotes were within $400 of each other. Neukirch explained that Ehlers is the Financial Advisor that the Village  is already currently working with on the 2005 refunding and would be able to hit the ground running quicker than the other 2 firms. Therefore, staff recommended utilizing Ehlers for the 2014 issue even though their quote of $14,700 was $100 more than the lowest quote. After some discussion a motion was made and all approved to accept Ehlers as the Village’s Financial Advisor for the 2014 issue. Illinois Debt Recovery Update: Finance Director Neukirch gave an update on the revenue received from the Illinois Debt Recovery program. Neukirch explained that since 4/15/2013 the Village of Niles has recovered $62,940.59 in outstanding fines and tickets through this State program that utilizes tax returns and licensing programs to locate individuals that owe the Village money. If the State owes these individuals any money, it deducts the fees outstanding plus an additional State fee prior to paying the individual. Other Business Chairman LoVerde explained he would like to see more revenue ideas being brought to the Committee. Chairman LoVerde went on to further comment that he would like to see landscaping businesses have to be licensed in the Village. Staff will check with Community Development to determine if Niles is currently licensing landscaping companies. Bob Callero requested that the Village Attorney provide the Committee a list of movable businesses that are licensed in Niles. Chairman LoVerde also asked about advertising on benches and Village Manager Vinezeano explained that the Village owns most of the benches that have advertisement already and was looking to phase them out. Vinezeano explained that the benches generated approximately $3,100. Attorney Annunzio explained the Village should stay away from signage on the bus shelters because of potential liability with lawsuits. Public Comment Attorney Annunzio responded to Trustee Hanuziak’s question concerning environmental issues at the location that was requesting the 6B assistance. Attorney Annunzio explained that it is up to the State to monitor these issues. Executive Session Glenview Water Litigation Agreement: The Committee went in to executive session at 8:50. Executive Session Glenview Water Litigation Agreement: The Committee returned from executive session at 9:46. Motion made all concurred to recommend the agreement to the Village Board with any revisions or changes. Adjournment: Motion to adjourn was made and all concurred at 9:47 am. Prepared by Scot Neukirch on 8/21/2013