City Council Meeting Agenda September 22, 2014

City of Rochelle Council Chambers

420 North 6th Street, Rochelle IL  61068

I. CALL TO ORDER:

• Pledge to the Flag

• Prayer

II. ROLL CALL:

III. PROCLAMATIONS, COMMENDATIONS, ETC:

•  pdf National Fire Prevention Week – October 5-11, 2014 (402 KB)

IV. REPORTS AND COMMUNICATIONS:

• Mayor

• Council Members

•  pdf Financial Statement August 2014 (787 KB)

V. PUBLIC COMMENTARY:

VI. BUSINESS ITEMS:

1) CONSENT AGENDA ITEMS BY OMNIBUS VOTE with Recommendations:

a) Approve Minutes of City Council Meeting – pdf September 8, 2014 (144 KB)

b) Approve Bills – pdf 082914-090414 (78 KB) pdf 090514-091114 (86 KB)

c) Approve Payroll - pdf 081814-083114 (150 KB) pdf 090114-091414 (50 KB)

d) Authorize the Rochelle Lions Club Annual Candy Sale as Requested –  pdf October 10-11, 2014 (18 KB)

e) Authorize the Midstates Jeepster Association to Reserve Parking Lot #3 –  pdf October 10, 2014 (92 KB)

2) Treatment Plant Blower Replacement Project

3) Ordinance Adding Sec. 110-555

4) Resolution for Improvement by Municipality - Veterans Parkway Project

5) Purchase of Front End Wheel Loader at Auction – Engineering Department

6) Reduction in Surety – Prologis Park Rochelle Unit 4 Subdivision

7) Fraternal Order of Police Agreement 2014-2018

8) Consent to Assignment of Contracts to Rochelle Energy, LLC

VII. DISCUSSION ITEMS:

1) Enjoy Rochelle Tourism Website

VIII. EXECUTIVE SESSION

IX. ADJOURNMENT


Agenda Item #2 Treatment Plant Blower Replacement Project

References:

pdf Recommendation from Trotter and Associates, Inc. (222 KB)
pdf Memo from Matt Hansen, Willett Hofmann & Associates (2.04 MB)

Recommended Action:

Consider bids for the Treatment Plant Blower Replacement Project

History and Fact:

Last November the Illinois Clean Energy Community Foundation awarded the City $54,000 to help pay for the purchase and installation of a new turbo blower at the treatment plant. This technology is expected to help reduce the plant's electric bill which currently averages $18,589 per month.
Subsequent to the required public notice, the Deputy City Clerk opened four bids for the project on August 22nd. Staff and our consultant from Trotter and Associates, Inc. have reviewed the bids and recommend the acceptance of the lowest responsible base bid from Dahme Mechanical Industries, Inc. of $248,888, minus a reduction of $37,000 to utilize Aerzen equipment, for a total amount of $211,888.
The RMU Water Reclamation Capital Outlay Budget for Fiscal Year 14/15 includes $125,000 for the Treatment Plan Blower Replacement project. Based on an annual savings of $26,295, our consultant expects a payback of six years with the use of a more energy efficient blower.

Discussion:

The Mayor and Council considered the bids at their meeting on September 8th. Following some discussion, the council requested additional information about how the budgeted amount was determined and technical information on the turbo blower. As a result, Matt Hansen from Willett Hofmann and Associates contacted Trotter & Associates and found that their engineer's estimate for the construction was $245,480. In addition, he discussed the project cost with the Water Reclamation Staff and they reviewed the project file. Staff does not know how the budget was established and they were unable to find any detailed cost estimate for the project. Although it cannot be proven, it is possible that this project was planned to be budgeted across two fiscal years. The additional technical information on the 100 Hp high speed turbo blower by Aerzen has also been provided.

Recommendation:

Accept the bid of $248,888, minus a reduction of $37,000 to utilize Aerzen equipment, for a total amount of $211,888 for the Treatment Plant Blower Replacement Project and reject all other bids.


Agenda Item #3 Ordinance Adding Section 110-555 of the Municipal Code

References:

pdf Memo from Building Inspector Kip Countryman (84 KB)
pdf Ordinance Adding Section 110-555 of the Municipal Code (102 KB)

pdf Zoning Map with Sexually-Oriented Land Uses (1.54 MB)

Recommended Action:

Consider an Ordinance Adding Section 110-555 of the Municipal Code to Categorize and Provide for Zoning of Sexually-Oriented Land Uses

History and Fact:

The Illinois Municipal Code authorizes municipalities to adopt and amend a zoning ordinance for the regulation of zoning districts and associated permitted uses. Section 110 of the Municipal Code of the City of Rochelle currently contains a definition for "sexually oriented materials". This use is also listed in the District Use Classification List as being permitted in the I-3 District if a special use permit is granted by the City Council.

Discussion:

Community Development Department Staff have worked with Attorney Cooper's office to more accurately define a miscellaneous use for "Sexually-Oriented Land Uses". These changes are being proposed to ensure compliance with the Zoning Code, ensure these types of uses are permitted in limited circumstances and to fully define the varieties of these uses through ten new definitions. Per the proposed ordinance, this use will be allowed in the I-3 (Heavy Industry) zoning district and I-2 (General Industry) zoning district as a special use. In addition, the proposed section 110-555 includes specific restrictions where this land use may not be located including: within 1,000 foot radius of another similar use, within 1,000 foot radius of any residential use, church, place of religious worship, park, playground, or athletic field and within a 1 mile radius of any school.

On September 8th the Planning and Zoning Commission held a public hearing to review the revised ordinance. The commission subsequently voted to recommend approval of the ordinance by a vote of 4-0.

Recommendation:

Approve an Ordinance Adding Section 110-555 of the Municipal Code to Categorize
and Provide for Zoning of Sexually-Oriented Land Uses


Agenda Item #4 Resolution for Improvement by Municipality - Veterans Parkway Project

References:

pdf Memo from City Engineer Sam Tesreau (31 KB)
pdf Resolution for Improvement by Municipality Under the Illinois Highway Code (89 KB)

Recommended Action:

Consider Approval of a Resolution for Improvement by Municipality Under the Illinois Highway Code

History and Fact:

In December of 2012, the Mayor and Council approved a Local Agency agreement for maintenance assistance on Veterans Parkway through the Illinois Department of Transportation (IDOT) Federal Aid for Surface Transportation Urban (STU) program. This agreement ensured that funds were being set aside by the City to cover the local share of the project cost. The STU program funds up to 80% of the eligible and awarded costs of maintenance projects, like Veterans Parkway, that meet the program's criteria.

Discussion:

The Veterans Parkway Project was completed earlier this year at a final cost of $513,000.
City Council approval of the proposed resolution is required to fund the local share of the project, $104,000, through a transfer from the Motor Fuel Tax funds.

Recommendation:

Approve a Resolution for Improvement by Municipality Under the Illinois
Highway Code to appropriate $104,000.


Agenda Item #5 Purchase of Front End Wheel Loader at Auction – Engineering Department

References:

pdf Memo from City Engineer Sam Tesreau (81 KB)
pdf Ordinance Authorizing Purchase of Front End Wheel Loader at Auction without Competitive Bidding (73 KB)

Recommended Action:

Consider the purchase of a front end wheel loader

History and Fact:

The City Engineer and Street Department Superintendent have been discussing the need to purchase additional construction equipment over the next 5 years to use for infrastructure projects that are done in house. The Street Department's current wheel loader is nearly 18 years old and has over 9,500 hours on it. This piece of equipment is used on a regular basis for in house projects as well as routine maintenance of the City's streets.

Discussion:

Staff has discovered that a front end wheel loader will be available at auction beginning as early as October. Therefore, they would like an opportunity to inspect and potentially purchase the loader within the next month. The 2014-15 Capital Improvements fund will be able to absorb the cost of this purchase by delaying specific line item expenditures for miscellaneous capital improvement projects until fiscal year 2015-16.

The Rochelle Municipal Code provides that the City Council may, by a two-thirds vote of council members holding office, authorize a purchase without competitive bidding. Furthermore, the proposed ordinance includes a provision for the City Council to provide a maximum bid amount to the City Manager privately, and to purchase the equipment if the City is the successful bidder.

Recommendation:

Approve an Ordinance Authorizing Purchase of Front End Wheel Loader at Auction without Competitive Bidding.


Agenda Item #6 Reduction in Surety – Prologis Park Rochelle Unit 4 Subdivision

References:

pdf Memo from City Engineer Sam Tesreau (37 KB)
pdf Bond No. 82195292 (129 KB)

pdf (129 KB) pdf Resolution Releasing a Bond for Completion of Land Improvements (64 KB)

Recommended Action: Consider a Resolution Releasing a Bond for Completion of Land Improvements

History and Fact:

In May of 2013 Prologis submitted Bond No. 82195292 for private stormwater grading and public land improvements along Caron Court for the Prologis Park Rochelle Unit 4 Subdivision. Due to the completion of a majority of the required improvements covered by this bond, Vice President of Prologis Jim Nass has requested a reduction in the surety.

Discussion:

City Engineer Sam Tesreau has reviewed the request for a reduction in Bond No. 82195292 and verified that a majority of the land improvements covered by this particular surety have been completed. The Rochelle Municipal Code provides for the release of the completion guarantee and bond on certain conditions, including the posting of a 24 month performance bond in the amount of no less than 10% of the original surety or $167,345, lien waivers for public improvements and acceptance of public improvements by the City Council.

Prologis has three other surety bonds which are not being reduced at this time since those public land improvements have not been completed. It appears that an extension will be required to complete the remaining improvements. Tesreau recommends an extension of no less than one year, or by October 15, 2015, to complete the improvements.

Recommendation:

Approve a Resolution Releasing a Bond for Completion of Land Improvements for Prologis Park Rochelle Unit 4 Subdivision subject to Prologis Land LLC providing the required lien waivers and other documents and posting the required performance bond.


Agenda Item #7 Fraternal Order of Police Agreement 2014-2018

References:

pdf Redlined Copy of the Tentative Agreement (539 KB)

Recommended Action:

Consider Ratification of Agreement between City of Rochelle and Fraternal Order of Police

History and Fact:

The current agreement with the Illinois Fraternal Order of Police expired on April 30, 2014. It was extended subject to negotiations and ratification of a new agreement. A tentative agreement, retroactive to May 1, 2014, has been reached for a new four year contract which will expire on April 30, 2018. The tentative agreement was ratified by members of the bargaining group on September 16, 2014.

Discussion:

The tentative agreement contains many of the same provisions as the previous agreement. In addition, it incorporates language changes and wage and benefit modifications negotiated during the past several months. Some of the more significant changes include:

Group Insurance:
Effective 1-1-18 employees pay 18% of the premium for family coverage.

Wage Schedule:
Effective 5-1-14, across the board increase of 2.5%.
Effective 5-1-15, across the board increase of 2.75%.
Effective 5-1-16, across the board increase of 3.0%
Effective 5-1-17, across the board increases of 3.25%

Recommendation:

Approve Ratification of an Agreement between the City of Rochelle and the Illinois Fraternal Order of Police on Behalf of Rochelle Lodge #127


Agenda Item #8 Consent to Assignment of Contracts to Rochelle Energy LLC

References:

pdf Consent to Assignment of Contracts (90 KB)

Recommended Action:

Consider Consent to Assignment of Contracts

History and Fact:

Rochelle Energy Center, LLC (REC), the owner/operator of the landfill gas to electricity plant located at the Rochelle Municipal Landfill, has for some time been negotiating a sale of the plant to an entity associated with Evensol Environmental Energy Solutions, a company located in the State of Oregon. In connection with an anticipated closing of the sale, REC has requested the City's consent to the assignment of three contracts between the City and REC to Rochelle Energy LLC, a Delaware limited liability company, which has been recently formed by Evensol. Each of the contracts (the Site Sublease Agreeement, the Landfill Gas Purchase Agreement, and the Power Purchase Agreement) requires the City's consent, which may not be unreasonably withheld.

Discussion:

City staff and the City attorney have reviewed materials provided by Evensol with respect to Evensol's experience and finances, on the basis of which they recommend that the City Council authorize the City Manager to consent to the assignment of the contracts. The assignment will not modify any of the terms of the contracts.

David Wentworth, the managing partner of Evensol, will be present to answer any questions the council may have with respect to the assignment. Mr. Wentworth appeared before the council on May 12th to present information concerning Evensol and the proposed sale.

Recommendation:

Approve Consent to Assignment of Contracts from Rochelle Energy Center, LLC to Rochelle Energy, LLC


Discussion Item #1 Enjoy Rochelle Tourism Website

Discussion:

The City of Rochelle has launched a new tourism website that is vibrant and easy to navigate. The Enjoy Rochelle website provides valuable information about things to do, lodging, dining and shopping in our community. In addition, it highlights upcoming events and provides an opportunity for our residents and visitors to sign up for alerts via text or email.

Public Relations and Marketing Manager Jenny Thompson will demonstrate the new website and respond to questions from the Mayor and Council.