CITY OF OLNEY
CITY COUNCIL MEETING
APRIL 13, 2009


AGENDA #1 “CALL TO ORDER” The April 13, 2009 meeting of the Olney City Council was called to order at 7:30 p.m. in the Council Chambers of the Olney City Hall located at 300 S. Whittle Avenue, Olney, Illinois, with Mayor Tom Fehrenbacher presiding.

AGENDA #2 “PLEDGE OF ALLEGIANCE TO THE FLAG-PRAYER” Council members and visitors joined in the pledge of allegiance to the flag. John Monroe led the group in a prayer.

AGENDA #3 “ROLL CALL” The following Council members were present: Brad Brown, Pete Weber, Bill Weems, Bob Ferguson and Tom Fehrenbacher. Also present were City Manager Randy Bukas, City Attorney Larry Taylor, City Treasurer Brad Yockey, City Engineer Roger Charleston and City Clerk Belinda Henton.

AGENDA #4 “APPROVE MINUTES OF COUNCIL MEETING ON MARCH 23, 2009” Councilman Weber moved to approve the minutes of the March 23, 2009 Council meeting, seconded by Councilman Brown. Councilmen Brown, Weber, Weems and Mayor Fehrenbacher voted yes. Councilman Ferguson abstained. There were no opposing votes. The motion carried.
AGENDA #5 “PRESENTATION OF ORDINANCES, RESOLUTIONS, ETC.”

5-A “Public Hearing: 2009/2010 Fiscal Budget” State statutes require a public hearing on the proposed budget which gives the public an opportunity to ask questions on the proposed budget. The public was asked for any questions or comments on the proposed budget. No comments were heard from the public. The public hearing closed at 7:32 p.m.

5-B “Invitation: Alcohol Awareness March-April 19” Bea Gardner introduced several East Richland High School and West Richland High School students who invited the Council and public to attend their alcohol awareness march on April 19.

5-C “Request: Use of Community Building for Concert” Serena Jones requested to use the Community Building on May 29 for a concert. This concert will be an alternative to other types of end of the year parties. Miss Jones told the Council there would be a $5.00 entrance fee to cover the cost of renting the Community Building and band expenses. There will be at least three to four chaperones. She expects attendance to be about 100.

Mr. Bukas asked if she had plans to hang any banners on the walls. The last group that used the building damaged the new drywall. Miss Jones indicated they would take precautions to prevent any damage to the building.

Councilman Weems moved to approve the request for the use of the Community Building for a concert on May 29, seconded by Councilman Brown. Councilmen Weber, Weems, Ferguson, Mayor Fehrenbacher and Councilman Brown voted yes. There were no opposing votes. The motion carried.

5-D “Discussion: Children’s Memorial Garden” The City has been approached by a group of parents that have lost a child to create an Angel of Hope Memorial Garden. This group came into existence around November 2007 and has been headed up by Cheryl Ginder. She has set up a 501 (3) C. A number of sites have been considered by the group. The City Council gave tentative approval in 2008 to have the garden in Musgrove Park in front of the playground. Mrs. Ginder requested formal approval on March 23, 2009, and the Council requested the City Manager to solicit additional community input and make a recommendation to the Council.

Mr. Bukas received very little public input. He evaluated several sites and narrowed his search to four main areas; City cemeteries, City Park, Musgrove Park and Senior Citizen Park. Criteria he used to evaluate the sites were the availability of water, electricity, parking, curb appeal and what landscaping is around the site. Mr. Bukas then reviewed the four locations with the Council. After careful consideration and review, the two sites Mr. Bukas felt made the most sense were Senior Citizen Park on Main Street and the grass area north of White Squirrel Drive near Ludlow Street in the City Park.

Mrs. Ginder preferred that the Council wait another two weeks before making a decision to allow her group to think about the suggestions. Steve Eichhorst agreed this matter should be tabled pending further consideration. Mary Spillman felt their committee should gather public input from the community. Mr. Eichhorst suggested that their committee meet with Mr. Bukas prior to the next council meeting.

5-E “Discussion: Eliminate Stop Sign on S. Elliott at E. South” Mayor Fehrenbacher was asked by a citizen if a stop sign was necessary at the corner of Elliott Street and South Avenue. Mayor Fehrenbacher brought this issue to the Council for a determination. Police Chief Chaplin surveyed the neighborhood and felt a four-way stop is necessary. Several neighbors were present. Don Barnett spoke on behalf of the neighborhood that it is a safety issue to retain the four-way stop.

No action was taken by the Council.

5-F “Resolution: Accept Bids for Water Plant and Swimming Pool Chemicals” Bids were opened on April 8 for Water Plant and Swimming Pool chemicals. Frank Bradley, Water Plant Supervisor, suggested accepting all low bids.

Councilman Weems moved to approved Resolution 2009-R-16, seconded by Councilman Ferguson. Councilmen Weems, Ferguson, Mayor Fehrenbacher, Councilmen Brown and Weber voted yes. There were no opposing votes. The motion carried.

Councilman Brown moved to approve Resolution 2009-R-17, seconded by Councilman Ferguson. Councilman Ferguson, Mayor Fehrenbacher, Councilmen Brown, Weber and Weems voted yes. There were no opposing votes. The motion carried.

5-G “Resolution: Accept Bid for Fine Bubble Diffusers” Currently, the Sewer Plant uses course bubble diffusers, but they propose installing fine bubble diffusers to save energy. Two bids were received. The low bid did not meet all of the bid specifications. Staff recommended awarding the bid to Resslers in the amount of $128,800.

The City has received a Department of Commerce & Economic Opportunity grant in the amount of $54,330 to help pay for this project. This project should pay for itself in two years.

Councilman Weems moved to approve Resolution 2009-R-18, seconded by Councilman Brown. Mayor Fehrenbacher, Councilmen Brown, Weber, Weems and Ferguson voted yes. There were no opposing votes. The motion carried.

5-H “Resolution: Accept Bid for Police Department Entrance Door” On April 8 bids were opened for the replacement of the Police Department front entrance door. The low bid was from Illini Builders in the amount of $6,129. Staff recommended that the bid be awarded to Illini Builders.

Councilman Brown moved to approve Resolution 2009-R-19, seconded by Councilman Weems. Councilmen Brown, Weber, Weems, Ferguson and Mayor Fehrenbacher voted yes. There were no opposing votes. The motion carried.

5-I “Request: Permit to Sell Merchandise in City Park” The Richland County Farmers Market submitted an application to sell merchandise in the City Park between June and October. They will be selling home-grown produce, crafts and baked goods.

Councilman Ferguson moved to approve the permit to sell merchandise in the City Park, seconded by Councilman Weber. Councilmen Weber, Weems, Ferguson, Mayor Fehrenbacher and Councilman Brown voted yes. There were no opposing votes. The motion carried.

5-J “Resolution: Approve 2009 MFT Street Maintenance Program” City Engineer Charleston presented a Resolution for Maintenance of Streets in the amount of $100,000 for the annual street maintenance program. Included in the $100,000 is $30,000 set aside for concrete for the Hunley Drive project. The remaining $70,000 would be used for patching potholes and the oil and chip program. The Council was provided with a list of streets that need to be improved. Mr. Charleston did not believe the $70,000 available would be enough to complete the entire list. There were 42,301 square yards of streets that need repairs. Mr. Charleston estimated half of the square yardage would be ripped up and primed.

Mayor Fehrenbacher noted there are a lot of streets in South Cove showing wear. Mr. Charleston pointed out there is a special account set up to maintain those streets. They are not maintained out of MFT fund. Mr. Yockey reported the South Cove fund balance is approximately $20,000, and several streets have been recently patched.

Councilman Brown moved to approve the MFT resolution, seconded by Councilman Weber. Councilmen Weems, Ferguson, Mayor Fehrenbacher, Councilmen Brown and Weber voted yes. There were no opposing votes. The motion carried.

5-K “Ordinance: Sale of Personal Property” Several years ago the City obtained a 1983 Honda motorcycle through a drug seizure. Staff would like to sell this property since the City has no use for it. Mr. Bukas suggested selling it through GovDeals.com.

Councilman Brown moved to pass Ordinance 2009-7, seconded by Councilman Ferguson. Councilman Ferguson, Mayor Fehrenbacher, Councilmen Brown, Weber and Weems voted yes. There were no opposing votes. The motion carried.

5-L “Resolution: Intent to Reimburse in Connection with Industrial Park Improvements” The Council was provided with a proposed resolution which will allow the City in the future to issue tax exempt bonds for reimbursement of industrial park improvement expenses. This resolution needs to be approved before costs are incurred on the project. Once approved this resolution will be sent to EDA to disclose the City’s possible intent to issue bonds.

Councilman Ferguson felt the Council needs to determine how this project will be funded because interest rates may be increasing.

Mr. Bukas explained that the City has submitted to EDA, through the Greater Wabash Regional Planning Commission, everything they need to start the review process. The City also asked for an additional $350,000 for costs to be incurred because of the roadway the CSX wants constructed. When the review is completed, the City will be ready to determine funding.

Councilman Weber moved to approve Resolution 2009-R-20, seconded by Councilman Ferguson. Mayor Fehrenbacher, Councilmen Brown, Weber, Weems and Ferguson voted yes. There were no opposing votes. The motion carried.

5-M “Resolution: East Fork Lake Boat Docks and Ramp Improvements” Mr. Bukas reported that the City received information that a $48,000 grant was approved through the Illinois Department of Natural Resources to extend the existing concrete ramp and install new docks at East Fork Lake. The City will match the grant with $12,000 of labor. A resolution needs to be adopted approving the project agreement. Originally, Mr. Bukas considered starting this project this fall, but since there are several fishing tournaments already scheduled well into October, he suggested delaying the project until September 2010.

Councilman Weems moved to approve Resolution 2009-R-21, seconded by Councilman Weber. Councilmen Brown, Weber, Weems, Ferguson and Mayor Fehrenbacher voted yes. There were no opposing votes. The motion carried.

5-N “Request: Raffle License Application” City Clerk Henton received a raffle license application from Big Brothers Big Sisters of Richland County.
Councilman Ferguson moved to approve the raffle license application, seconded by Councilman Weber. Councilmen Weber, Weems, Ferguson, Mayor Fehrenbacher and Councilman Brown voted yes. There were no opposing votes. The motion carried.

AGENDA #6 “APPROVE AND AUTHORIZE PAYMENT OF ACCOUNTS PAYABLE APRIL 14, 2009” Councilman Brown moved to approve and authorize payment of accounts payable for April 14, 2009 for Pooled Cash $143,871.14 and Manual Checks for Pooled Cash $160,008.28, Water Deposit Refunds $1,762.75, Motor Fuel Tax $923.50 and EDA $35,000.00 seconded by Councilman Ferguson. Councilmen Weems, Ferguson, Mayor Fehrenbacher, Councilmen Brown and Weber voted yes. There were no opposing votes. The motion carried.

AGENDA #7 “EXECUTIVE SESSION: ACQUISITION OF REAL PROPERTY” Councilman Weber moved to adjourn to executive session to discuss the acquisition of real property, seconded by Councilman Brown. Councilman Ferguson, Mayor Fehrenbacher, Councilmen Brown, Weber and Weems voted yes. There were no opposing votes. The motion carried.

Councilmen Brown, Weber, Weems, Ferguson, Mayor Fehrenbacher, City Manager Bukas, City Attorney Taylor and City Clerk Henton left the Council Chambers at 8:15 p.m. and returned into open session at 8:56 p.m.

AGENDA #8 “POSSIBLE ACTION ON ITEMS DISCUSSED DURING EXECUTIVE SESSION” Mayor Fehrenbacher announced no action was taken as a result of the executive session.

AGENDA #9 “REPORT: ELECTED AND APPOINTED OFFICIALS” No reports were given by any of the elected or appointed officials.

AGENDA #10 “CITY MANAGER” Mr. Bukas briefly reviewed the East Industrial Park Project. Everything has been sent to EDA. Hopefully, EDA will allow city labor to lay the 16" and 12" water lines to save money. Mr. Bukas estimated 57 days of work for laying the water lines.

9-A “Discussion: 2009/2010 Fiscal Year Budget” The Council received a memo concerning changes in the proposed budget. Mr. Bukas reviewed these changes.

A line item has been created to transfer $250,000 in from the Pacific Cycle Building Fund for money for roof repairs. Application has been made for EDA and CDAP funds to help with roof repairs.

The Fire Department’s Equipment Replacement Fund was reduced from $50,000 to $25,000 and the breathing air compressor was eliminated.

The projected year ending balance for General Corporate is estimated at $194,900. With the proposed changes to the proposed 2009/2010 budget, General Corporate should have a surplus of $99,000.

A 10% water fund increase is proposed. This increase would raise an average user’s bill by approximately $2.25 per month.

The repainting of the Washington Street water tower has been removed from the proposed budget. Mr. Bukas suggested applying for an infrastructure grant from DCEO in 2010.

With the proposed water rate increase, the Water Fund would have a surplus of $93,083 in the proposed 2009/2010 budget.

Because of the proposed loan commitment to IEPA, sewer rates will need to increase. Sewer rates currently have three different charges; debt service fee, billing fee and usage fee. The billing fee of $.68 will remain the same. The debt service fee will decrease from $3.98 to $3.08. The usage fee will increase from $.247 per 100 galls to $.283. The usage fee is about a 14.5% increase. A household using 6,000 gallons per month will see an increase of $1.26 to their monthly bill.

For the year ending April 30, 2009, the Sewer Fund is projected to have a balance of $528. With the rate increase for 2009/2010, the project balance at the end of the fiscal year should be $24,366.

Mayor Fehrenbacher suggested not increasing the utility billing rates until commitment to the project is received.

Mr. Taylor explained a public hearing was conducted three weeks ago and the City is waiting for a response from EPA. Once authorization is received to go out for bids, bids are awarded and a loan agreement is entered into, that will be the time when an increase will need to be approved.

Councilman Brown requested that $25,000 be placed in the budget for concrete street repairs, especially around the Middle School.

The Richland County Recreation Council has been working on establishing bike paths. Councilman Brown also requested that $5,000 be budgeted for right of way purchases and design for bike paths.

Councilman Ferguson felt it would be beneficial for the City to publish a quarterly newsletter for the public. The annual cost would be approximately $4,000. Councilman Weems agreed.

Mayor Fehrenbacher requested that the City contribute $6,000 to the U.S. Route 50 Four-Lane Coalition so they can continue their efforts. Mr. Yockey suggested using the donations or contingency fund for this contribution.

Councilman Weems moved to contribute $6,000 to the U.S. Route 50 Four-Lane Coalition, seconded by Councilman Weber. Mayor Fehrenbacher, Councilmen Brown, Weber, Weems and Ferguson voted yes. There were no opposing votes. The motion carried.

Councilman Brown moved to take $25,000 out of this year’s budget and place it into reserves for concrete street repairs with intentions for the streets around the Middle School area, seconded by Councilman Ferguson. Councilmen Brown, Weber, Weems, Ferguson and Mayor Fehrenbacher voted yes. There were no opposing votes. The motion carried. Resolution 2009-R-22 will be prepared.

Councilman Brown moved to take $5,000 out of this year’s budget and place it into reserves for bike path development, seconded by Councilman Ferguson. Councilmen Weber, Weems, Ferguson and Councilman Brown voted yes. Mayor Fehrenbacher voted no. The motion carried. Resolution 2009-R-23 will be prepared.

AGENDA #11 “ADJOURN” Mayor Fehrenbacher moved to adjourn, seconded by Councilman Weber. Councilmen Weems, Ferguson, Mayor Fehrenbacher, Councilmen Brown and Weber voted yes.

The meeting of the City Council adjourned at 9:25 p.m.



Belinda C. Henton
City Clerk