08/22/2013COMMITTEE OF THE WHOLE – Minutes of Meeting
August 22, 2013
The Village Board met as a Committee of the Whole in the Council Chambers of the
Village Hall at 3:00 p.m. on Thursday, August 22, 2013. In attendance were:
PRESENT:
Village Board Staff
Harriet Rosenthal, Mayor Kent Street, Village Manager
Robert Benton, Trustee Eric Burk, Director of Finance
Alan Farkas, Trustee Barbara Little, Director of Public Works and Eng.
Thomas Jester, Trustee Robert Phillips, Asst. Director of PW and Eng.
Robert Nadler, Trustee Eric Oscarson, Asst. to the Dir. of Public Works
William Seiden, Trustee Clint Case, Code Enforcement Supervisor
Barbara Struthers, Trustee
Public Comment
There was no one present for public comment.
Discussion of Capital Projects
Assistant Director of Public Works and Engineering Mr. Phillips led the discussion
regarding capital projects proposed for calendar year budget 2014.
The following projects warranted discussion:
Transportation/Street Projects
Street Rehabilitation Project – This project is proposed at $2.0 million, $494,000 will
be funded through Motor Fuel Tax revenue. Trustee Farkas asked if roadway
patching and other best practices are being utilized to control costs. Mr. Phillips
described that grinding and resurfacing is utilized in many locations to help reduce
costs, however, many of the older streets were not built to adequate specifications and
require a full reconstruction. Trustee Nadler questioned how much of our roadway we
will be rehabilitating. Mr. Phillips noted that 10% of the roadways (7 lane miles) are
completed every 3 years, as part of the street rehabilitation project, which does not
include larger infrastructure projects such as is being proposed in Briarwood Vista.
Trustee Benton asked if we measure the condition of the Village roadways. Mr.
Phillips noted that we contract with Infrastructure Management Services to complete
a roadway condition evaluation every 5 years.
National Pollutant Discharge Elimination System (NPDES) – Mr. Phillips reported
this is an IEPA mandate to reconstruct storm sewers and obtain NPDES permits to
ensure that discharged wastewater and storm water will achieve water quality
standards. Trustee Jester suggested that since the NPDES outfall inspection program
is a reoccurring annual expense, and less of a capital expenditure that it be included in
the operating department budget rather than being funded through the Infrastructure
Replacement Fund. Manager Street concurred and noted the $10,000
inspection/permit expense would be reallocated to the operating department but that
the engineering design and construction cost of $40,000 would remain in the capital
improvement program.
C.O.W; August 22, 2013
Deerfield Road Reconstruction – Mr. Phillips noted that the project is eligible for
Federal funding through the Surface Transportation Program and provides 70% of the
funding for the part of the project considered “Participating Work,” which totals
$13.5 million. Approximately 24% of the total work on Deerfield Road is within in
the City of Highland Park and approximately 76% is within Deerfield’s Village
limits. The scope of the roadway work in the Village will include resurfacing between
the Metra underpass and Rosemary Terrace and total reconstruction between
Rosemary Terrace and the east Village limit. The project also includes Deerfield’s
“Non-Participating Work” consisting of water main replacement and sanitary sewer
replacement at approximately $1.3 million. The Village needs to pay for these utility
repairs no matter the case. Additionally, there is a “Local Share” of approximately
$3.8 million that the City of Highland Park will reimburse to the Village at
approximately 24%. However, if the Village pursues a jurisdictional transfer to Lake
County then the County will pay the difference of the Non-Participating Work and
the Local Share, totaling approximately $2.5 million. Mayor Rosenthal noted that the
specifics of a possible jurisdictional transfer to the County would be discussed later in
the meeting.
Infrastructure Management Services (IMS) – Mr. Phillips reported the cost in 2014 is
$25,000. This roadway evaluation was last completed in 2009. He noted the roadways
should be rated at least a 70 out of 100. Trustee Nadler asked if we could conduct the
roadway evaluation every 7 years instead of every 5 years, especially since we know
which roadways we are planning to rehabilitate in 2014. Director Little responded
that the IMS allows staff to plan ahead, even if the construction isn’t completed right
away. She also noted that towns such as Highland Park conduct an IMS evaluation
every 3 years. Trustee Struthers noted that a lot of roadways have drastically changed
over the 5 years.
Pfingsten-Kates Road Rehabilitation/Bridge Rehabilitation – Mr. Phillips noted that
funds are budgeted for both the roadway rehabilitation and the bridge engineering
design. Trustee Benton noted the roadway is in poor condition and has received
increased demand due to the construction on Lake Cake Road. Trustee Nadler
suggested that the roadway condition be completed at the same time as the bridge
construction. Mr. Phillips noted that at a minimum, the bridge will be rehabilitated in
3 years as an engineering design needs to be created. Trustee Struthers asked if this
schedule could be accelerated. Mr. Phillips noted that even if the bridge could be
engineered and constructed in 2 years, the bridge is eligible for 80% Federal funding
and if the schedule was accelerated this 80/20 split would be forfeited. Manager
Street recommended postponing the roadway rehabilitation until the bridge work is
conducted, based on the Board’s discussion.
NorthTrails Subdivision – Mr. Phillips noted $100,000 is proposed in 2014 for
engineering design with expectations to construct in 2015. He noted that staff has
already televised the sewers in this subdivision and concluded that root intrusion is
not the cause for the drainage backups. Trustee Seiden noted this drainage issue was
not known by the Board previously and is concerned there are other areas of the
Village experiencing similar issues. Mr. Phillips noted that the subdivision was
planned to be included in future year street rehabilitation programs but the extent of
the drainage issues was not fully known. Mayor Rosenthal noted that the Village is
working with neighboring municipalities to address flooding in the Middle Fork.
Trustee Nadler asked if improvements to the subdivision could be completed prior to
C.O.W; August 22, 2013
2015. Mr. Phillips responded that staff needs1 year to complete the engineering
design to ensure that the appropriate construction is completed next year to remedy
the drainage problems.
Briarwood Vista Infrastructure Rehabilitation – Mr. Phillips reported that the Board
recently awarded the engineering design contract to Gewalt Hamilton and the
contractor is scheduled to begin engineering work in September. The project will take
2 years to complete and includes water main and storm sewer lateral replacement,
lighting system improvements and roadway rehabilitation.
Light System Improvements – Mr. Phillips reported that $150,000 is proposed to
install new street lighting on Hazel Avenue. Mayor Rosenthal asked how many
lighting systems are in the Village. Mr. Phillips noted there are 21 lighting systems
and most often they are installed during roadway improvements. The Board suggested
postponing this improvement.
Alley Rehabilitation – Mr. Phillips report that $200,000 is proposed for alley
construction. This would allow for 2-3 alleys to be paved each year. There are 11
alleys total in the Village. Mayor Rosenthal recalled abandoning alleys in the past and
asked if any more could be vacated. Trustee Jester expressed concern that paving
alleys could contribute to flooding. Mr. Phillips stated the alleys would be constructed
with a reverse crown and a drain would be installed. Manager Street reported that
staff would re-evaluate alleys and determine if homes have alternative access points
that would allow for more alleys to be vacated. This project will be removed from this
year’s capital improvement plan.
Chestnut Street Parkway Improvement – Assistant to the Director of Public Works
Mr. Oscarson reported that over the next few years 150 trees will be removed from
the parkway on the east side of Chestnut Street from Hazel Avenue to the northern
limits of the Village. Many of the trees have been affected by the Emerald Ash Borer.
A landscape plan is being developed to replace the removed vegetation with a
mixture of native low growing trees, shrubs and grasses. The project is proposed to be
implemented in 2 phases. $100,000 is proposed for 2015 and $150,000 is proposed
for 2016. Mayor Rosenthal requested that staff research possible funding sources (i.e.
grants) for sustainable projects.
Bikeway/Sidewalk Improvements
South Side Deerfield Road Sidewalk – Mayor Rosenthal noted the sidewalk
construction on the south side of Deerfield has been delayed since 2007 and it is
time to move forward with the project. Mr. Phillips reported that plats, legals, and
appraisals are complete but property acquisition is still being negotiated.
Satelite Wastewater Facilities
Deerfield Road and Warwick Road Pump Stations – Mr. Phillips reported that
composite sampling equipment needs to be upgraded and that this will eventually
be an EPA mandate. Mayor Rosenthal requested staff to prepare a list of pumping
stations and a description of each facility’s function, purpose and date of
construction.
Village Center Redevelopment
Northeast Corner Park (Deerfield and Waukegan Roads) – Assistant Lichterman
recalled that the Board authorized Rosborough Partners to prepare a design plan
C.O.W; August 22, 2013
for the corner park that would include 3 sculptures. Rosborough has prepared two
designs. The minimal change approach keeps the existing paving and most of the
trees while adding low shrubs, flowers, and lighting to highlight the sculptures.
The budget for this work is approximately $50,0000. The second design involves
removing most what is currently at the corner park and includes all new plantings,
pavement and benches at an approximate cost of $250,000. Mr. Lichterman
described the sculptures would be on a rotating basis, similar to the model in
place at the North Shore Sculpture Park in Skokie, and that a stipend would be
paid to the artists every few years. Also, sponsorships would be incorporated into
the corner park. Mayor Rosenthal suggested that staff pursue the sculpture park
concept and design a plan to accommodate 3 sculptures not to exceed $10,000.
Public Building Improvements
Public Works Facility – Director Little reported that $75,000 is proposed to
construct a new roof at the Public Works Facility. The current roof is the original
from 1989.
Fire Protection at Storage Yard – Mr. Phillips reported that the Fire Marshal has
recommended that fire suppression is installed at the storage facility. The
approximate cost is $120,000. Trustee Farkas asked if the building is covered by
insurance. Mr. Oscarson reported the building is insured and houses
approximately $1.5 million of equipment. Manager Street suggested that staff
evaluate the adequacies of the insurance on the building and come back with more
information.
Sewer Projects
Sewers – Mr. Phillips reported that the proposed sewer projects consist of
$125,000 for sewer lining, $125,000 for inflow and infiltration consulting services
and $115,000 for the Red Zone sanitary sewer inspection program.
Project Funding
Manager Street requested that Finance Director Burk review the funding options.
Director Burk noted that the 5 year proposed Capital Improvement Plan totals nearly $43
million. He emphasized that the Infrastructure Replacement Fund will not generate
enough revenue to cover the approximately $28 million of the 5 year proposed costs or
the approximately $8 million proposed in 2014.
The General Fund ended fiscal year 2013 with an addition to the Fund Balance of
approximately $500,000. Preliminary indications are that the General Fund could absorb
a $2 million transfer to the IRF in calendar year 2014. Budgeted regular revenues in the
IRF for calendar year 2014 total approximately $1.1 million. IRF revenue plus a General
Fund transfer total approximately $3.1 million and this falls short of the proposed
expenditures by approximately $5.1 million.
Director Burk noted possible options to make up the roughly $5 million shortfall include,
reducing the scope of work, issuing debt, increasing the property tax levy, or making a
larger General Fund transfer. He also noted that the jurisdictional transfer to Lake County
is worth approximately $2.5 million and that would also help reduce expenditures.
C.O.W; August 22, 2013
Trustee Farkas stated that the Fund Balance policy approved by the Board requires the
Village hold 30% in reserves. Mr. Burk noted that the Village currently holds about 50%
in reserves and in order to reduce the balance to 30% would require a $7 million draw
down that could affect the Village’s rating by investment agencies. Trustee Jester noted
that the reality is that the Board has been slowly reducing the fund balance and the
problem is that the IRF does not have a substantive on-going revenue stream so General
Fund transfers are required every year. Mayor Rosenthal noted that our official fund
balance policy is that at least 30% be held in reserves but she recalled that the Board
informally committed to keeping 40% in reserves. Trustee Jester stated that it is
reasonable to issue bonds for projects such as Deerfield Road that have a 50 year
lifespan. Trustee Struthers noted that she would be comfortable not abating the treatment
plant debt this year.
Trustee Nadler inquired about the implication of the jurisdictional transfer to the County.
Trustee Struthers reported she is concerned with losing control over a main arterial
roadway in the Village. Village Attorney Coblentz noted that the Village has concurrence
and has “veto power” on Deerfield Road becoming a 4 lane road. He stated that an
Intergovernmental Agreement will be drafted and requires Board approval and the
Memorandum of Understanding (MOU) is just a starting template.
Mr. Phillips noted that the Village will maintain the roadway including patching, snow
plowing and street sweeping. Trustee Farkas requested that Attorney Coblentz work with
the County to strength the language so that the Board is more comfortable with the terms
of the agreement. Mayor Rosenthal noted that if the language in the MOU could be made
less ambiguous she would be comfortable with the jurisdictional transfer. Trustee Jester
recommended that staff prioritize the projects now that they have a better sense of the
Board’s level of financial comfort.
Discussion of Inflow and Infiltration
Assistant Oscarson reported that over the past few years the Village has put forth a
significant effort to identify areas of the Village’s infrastructure that allow Inflow and
Infiltration (I/I) into the sanitary sewer system. RJN group was contracted to help identify
deficiencies in the system and staff is correcting public infrastructure defects.
The next step is to begin eliminating I/I deficiencies on private property. Mr. Oscarson
noted this requires a 2 phased approach. First, would be to eliminate sources of I/I on the
outside of homes, which would have little repair costs to the homeowners. This would
include downspout disconnections, replacing clean-out caps, covering window wells, and
yard drain disconnections. Staff recommends contracting with RJN group to assist with
this effort. The second step would be to eliminate I/I from interior sources such as sump
pumps and foundation drains, which would be more costly to the homeowners.
Trustee Farkas asked if staff could monetize the figures so the Board could determine the
cost of this additional treatment. Mr. Phillips noted while costs are significant, it is less of
a cost issue and more of a design capacity issue at the Water Reclamation Facility.
Mr. Oscarson recommended adopting a revised sewer ordinance based on the IEPA
model ordinance that would require a home inspection when homes are sold. He noted
C.O.W; August 22, 2013
many municipalities in the area have a similar closing inspection to ensure compliance
with the sewer ordinance. He also noted the due to the cost of the repair to the
homeowners some municipalities offer a 50/50 cost share program to correct the
deficiencies. Trustee Jester requested that staff research how the sewer ordinance and
closing inspection are working for the other communities.
Manager Street reported that staff will investigate the sewer ordinance further and discuss
best practices with neighboring municipalities.
Adjournment
Trustee Benton made a motion to adjourn. The motion was seconded by Trustee Jester
and approved on a unanimous voice vote.
The meeting adjourned at 5:30 p.m.
Respectfully submitted,
Andrew Lichterman
Assistant to the Village Manager