City Council Meeting Agenda May 26, 2015

City Council Meeting Agenda May 26, 2015

City of Rochelle Council Chambers

420 N 6th Street, Rochelle, IL 61068


• Pledge to the Flag

• Prayer




• Mayor

• Council Members




a) Approve Minutes of City Council Meeting –  pdf May 11, 2015 (142 KB)

b) Approve Bills – pdf 050115-050715 (77 KB) pdf 050815-051415 (94 KB)

c) Approve Payroll –  pdf 042715-051015 (50 KB)

2) City Hall Roof Replacement Project

3) Resolution Granting Real Estate Tax Abatement for Project Green

4) Resolution of Support for Tiger Grant


1) Brownsfield Grant

2) Electric Rate Modifications




Agenda Item #2 City Hall Roof Replacement Project


pdf Award Recommendation from Willett Hofmann & Associates and Bid Tabulation (1.65 MB)

Recommended Action:

Consider bids for the City Hall Roof Replacement Project

History and Fact:

The north addition to the City Hall facility was completed in 1995. The asphalt roof on the north addition, central portion and southern wing were all installed at that time. It is assumed that the membrane roof on the south wing was also installed in 1995. Last year City staff noticed a deterioration of the shingles on the south side of the north addition, peeling and decaying fascia and soffit and failing gutters. As a result, the City hired Willett Hofmann & Associates to inspect the roofs and provide project specifications for the removal and replacement of the City Hall roof, including asphalt shingles, flat membrane roofing, gutters, downspouts, soffit and fascia.


Willett Hoffman & Associates (WHA) estimated the entire City Hall Roof Replacement Project at $140,000. This amount was included in the FY 2015-16 Capital Outlay Budget for the Municipal Building. WHA divided the project into four parts to aid in the flexibility and funding. The base bid included the removal of the existing asphalt roof and the installation of a new asphalt shingle roof system. The three alternate bids were for the replacement of the membrane roof system, replacing the gutter and downspouts and replacing the fascia and soffit.

Subsequent to the required public notice, the City opened bids from three contractors on May 15th. The apparent low bidder for the entire project, including the base and 3 alternates, is Sterling Commercial Roofing with a total bid of $190,400. Our consultant, Alan Hulstedt of Willett Hofmann believes that the bids came in over the estimate due to the small site and limited access directly below the roof edge which will require the work in Alternate Bids #2 & #3 to be done from a lift rather than scaffolding. In addition, the composite product specified in Alternate Bid #3 has significantly increased in cost.

In order to stay within budget and address the failing roof, Assistant to the City Manager Sue Messer recommends that the City award the Base Bid and Alternate Bid #1 to Bruns Construction, the low bidder for those two segments, for the sum of $120,550 and complete the remaining work at a future date. Completing only the roofs at this time will not negatively impact the completion of the fascia, soffit, gutter and downspout in the future.


Accept the base bid and alternate bid #1 for the City Hall Roof Replacement Project from Bruns Construction for a total of $120,550 and reject all other bids.


Agenda Item #3 Resolution Granting Real Estate Tax Abatement to Project Green


pdf Memo from Economic Development Director Jason Anderson (32 KB)

pdf Resolution Granting Real Estate Tax Abatement to Project Green (66 KB)

Recommended Action:

Consider Granting Real Estate Tax Abatement to Project Green

History and Fact:

The Greater Rochelle Economic Development Corporation (GREDCO) has been informed that a company is considering establishing a new agricultural/industrial business in Rochelle. GREDCO is recommending that the City provide financial incentives to this business in the form of property tax abatements.


This project has been evaluated to determine the anticipated economic impact to the community including an estimated job creation of 20-22 full time positions with annual wages from $30,000- $120,000 and an estimated capital investment of $7,000,000. Based on this evaluation a three year abatement schedule is proposed. Attracting businesses to locate in the City of Rochelle is extremely important in creating jobs for our citizens and expanding the economic base of the community.


Approve Resolution Granting Real Estate Tax Abatement to Project Green.


Agenda Item #4 Resolution in Support of a TIGER Grant Application for the Lee-Ogle Freight Rail Expansion Project


pdf Memo from Economic Development Jason Anderson (85 KB)

pdf Resolution in Support of TIGER Grant Application (128 KB)

Recommended Action:

Consider Resolution

History and Fact:

The Transportation Investment Generating Economic Recovery, or TIGER Discretionary Grant program, provides a unique opportunity for the Department of Transportation to invest in road, rail, transit and port projects. Since 2009, Congress has dedicated more than $4.1 billion to fund projects that have a significant impact on the Nation, a region or a metropolitan area. Earlier this year the United States Department of Transportation announced that approximately $500 million will be made available for transportation projects across the country under the seventh round of the TIGER grand program.


The City of Rochelle (CIR) Railroad currently facilitates rail switching services for a number of industrial users. However, the CIR is reaching capacity and will require an expansion in order to provide more efficient switching capabilities of unit trains and accommodate future rail customers. Therefore, the City is putting together a TIGER Grant application for $12,650,000 to advance the Lee-Ogle Freight Rail Expansion Project. This project will include the expansion of three tracks, two structures and drainage facilities. If successful, the City’s commitment of $1,000,000 in local matching funds will be used to purchase right of way through future rail revenues.

Final applications for the TIGER Grant must be submitted by June 5, 2015.


Approve a Resolution in Support of a TIGER Grant Application for the Lee-Ogle Freight Rail Expansion Project


Discussion Item #1 Brownsfield Grant

The United States Environmental Protection Agency (USEPA) defines a brownfield as "real property, the expansion, redevelopment, or reuse of which may be complicated by the presence or potential presence of a hazardous substance, pollutant, or contaminant".

In 2013, Rochelle built an inventory of potential brownfield properties. Using that inventory, the City applied for a USEPA brownfields grant to begin to address these properties. In 2014, the USEPA awarded Rochelle $400,000 in federal grant funds. The three-year grant runs from October 2014 to September 2017. During that time, Rochelle will inventory, characterize, investigate, and complete remedial planning on brownfield properties.

Community Development Director Michelle Pease will provide an overview of the progress thus far and respond to questions from the Mayor and Council.


Discusstion Item #2 Electric Rate Modifications

RMU has retained Universal Financial Solutions (UFS) to perform rate design analysis since 2012. For fiscal year 2015/16, UFS has again reviewed RMU’s rate structure with a resulting average rate modification of 2% based on the updated financial projections including cost factor changes and the fiscal year 2015/16 budget draft.

The UAB recommended approval of the electric rate modification at its April 8th meeting.

RMU Business and Financial Analyst Dan Westin will provide additional information on the rate modifications and respond to questions from the Mayor and Council.