Sangamon Sun

City of Lincoln Committee of the Whole met Dec. 11.

Here is the agenda provided by the committee:

PRESENT:

Alderman Steve Parrott Alderman Tracy Welch Alderman Ron Fleshman Alderwoman Michelle Bauer Alderman Ron Keller Alderwoman Heidi Browne Alderman Jeff Hoinacki Alderman Dayne Dalpoas

STAFF PRESENT:

City Clerk Peggy Bateman Treasurer Chuck Conzo City Attorney John Hoblit Fire Chief Mark Miller Police Chief PaulAdams

Building and Safety Officer Wes Woodhall Streets Superintendent Walt Landers Norm Bigott, Veolia Water North America

ABSENT:

City Administrator Elizabeth Kavelman Alderwoman Michelle Bauer

PRESIDING:

Mayor Seth Goodman

PUBLIC COMMENT:

Mayor Goodman called upon citizens registered to speak. There being none, Mayor Goodman moved down to other agenda items.

MORGAN GLEASON-LOGAN COUNTY TOURISM BUREAU FUNDING AGREEMENT:

Miss Morgan Gleason came to discuss the renewal of the funding agreement between the city and the tourism bureau. She listed a number of events that the bureau has sponsored in 2018.

Treasurer Chuck Conzo wanted to update the council on the proceeds for December. He said just over $14,000 is the amount, and it will exceed that. Alderman Welch wanted to hear Miss Gleason's thoughts on how things are going at the Lincoln Depot since the tourism group moved in. She talked about security concerns. Alderman Hoinacki mention the idea of a panic button.

Alderman Keller wanted to know if she has received feedback in relation to the relocation of the tourism office. She said she has not had any problems. Alderman Welch talked about the layout of the building and said the Veterans Day activity was perfect for seating etc.

Miss Gleason had a question for the council, she said people come from the community and ask about grant funding. She said tourism takes it case by case, she said it's generally for advertising, but she wanted to know about the potential for sponsorships. Alderman Welch said he's talked with the treasurer about considering some 15 percent back to tourism, his thoughts are that people think the city is serving as an extension of tourism. The item will be placed on the regular agenda.

JUSTIN CHEGER STONE RIVER GROUP-COMMERCIAL AGGREGATION FOR THE CITY OF LINCOLN:

Mr. Justin Cheger talked about saving the city on their power and natural gas supply. He wanted the city to proceed with the RFP process so the city can start saving money on their bills. He said the city would save about $31,000 annually on their electric-based on one projection he threw out. Fire Chief Mark Miller asked if the aggregation included all city buildings. Mr. Cheger explained it would include any municipal building, traffic lights, etc. Every meter would be included in that.

Alderman Fleshman said he noticed there were only three gas services listed for the city. There are only three locations identified for natural gas. Alderman Welch said he did work with the city clerk to gain information to help Mr. Cheger.

Crawford,Murphy,and Tilly (CMn-Discussion on New Commercial Structure for Sewer Rates: Alderman Fleshman opened discussion about proposed sewer rates, saying the city needs to generate about $1.5 million going forward. Mrs. Shannon Brady said the rates came about by trying to avoid impacting the biggest users in town. That's where the tiered structure came from. The base rate is at $35, because that's what the residents' base rates will be. Sixty-five percent of commercial users use 6,000 gallons or less so $35 will be their base rate. CMT talked about trying to make it as business friendly as possible.

Alderman Fleshman asked about drafting an ordinance next week. City Attorney John Hoblit weighed in, saying personally it was a lot, but if it needed to be done before January 1, 2019, he could spend time to make up the ordinance. Mayor Goodman asked if the council was pursuing this, Alderwoman Browne asked if it needed to be placed on the COW before it could be discussed, Alderman Welch said so long as it's drafted pretty quickly, it could be put on the agenda for next week and pulled off if need be.

Alderman Keller said since this is the first time we've floated the rates out there, does this necessitate a public hearing or some sort, so businesses had time to respond. CMT said these rates have been out, and this is not the first time, it's the resurrection of it following the residential. Alderman Dalpoas asked her to explain Jan. 1. She said it was ongoing for over a year now... it's one of those things they need to get moving on, it has lingered on, and the sooner the better. Mayor Goodman said it depends on what's practical.Attorney Hoblit said there are so many hours in the day and this is the first he's heard of it. He said he has two days, practical-at this juncture-no.

The item will be placed on the next Committee of the Whole agenda.

ORDINANCE-REZONING OF 1500 N. MCLEAN AND 518 YOSEMITE:

Mr. Wes Woodhall opened discussion saying the property owners want to change classification in order to sell the property, it is classified as "commercial," however, the owners would like to move it to a C1 classification. The item will be placed on the agenda.

RESOLUTION-1984 AERIAL TOWER TRUCK SURPLUS EQUIPMENT:

Fire Chief Miller opened discussion saying he is working with the city attorney on a resolution for this. It will be finalized later this week. Three parties are interested and have submitted bids for this apparatus. The city is getting close and can sell the truck as soon as there is a resolution. The item will be placed on the agenda.

RESOLUTION-ABATING PROPERTY TAX FOR $2,285,000.00 GO BONDS (ALT. REV. SOURCE), SERIES 2014 FOR TAX YEAR 2018:

Treasurer Chuck Conzo said by abating this, the city will not be paying for this out of the property tax levy, but other revenue streams. He said the purpose of the resolution is to abate this tax so there is no tax levy for it in the annual property tax. The item will be placed on the agenda.

RESOLUTION-ABATING PROPERTY TAX FOR $5,285,000.00 GO BONDS (ALT. REV. SOURCE), SERIES 2014 FOR TAX YEAR 2018:

Treasurer Chuck Conze said this is an Illinois EPA sewer loan repayment. In 2004, the city was required to upgrade the sewer plant on a small scale. It was a 20 year loan. The bond rates were favorable about halfway through. It will be paid for in 2024. He said that it will be paid for by an enterprise fund. The item will be placed on the agenda.

RESOLUTION-ABATING PROPERTY TAX FOR $3,270,000.00 GO BONDS (ALT.REV. SOURCE), SERIES 2018 FOR TAX YEAR 2018:

Treasurer Chuck Conzo said this series was issued in 2018-a 15-year bond, that is not for our police station. He said it was a well done project. The item will be placed on the agenda.

ORDINANCE-APPROVING TAX LEVY FOR TAX YEAR 2018:

Treasurer Chuck Conzo said the overall levy will be a zero increase. He touched on the Consumer Price Index (CPI) revenue for 2018. He was looking over a document shared with the council. He said it's been kept low over the past six years. He said this is an increase only to the city's property tax. He said we're talking about very small numbers. It needs to be filed by December 25. Alderman Hoinacki said Treasurer Conzo would like an answer, he said the years we kept it flat, he heard very few comments from people thanking the city for keeping the rate flat. He said keeping it flat, he doesn't know if that's an answer or not.

Alderman Keller said his suggestion would be to keep it flat for the coming year. Treasurer Conzo said by keeping it flat the city would have $5,508 in the general and special funds, if they take the 1 percent it's $10,044, of it they take 1.5 percent, or 2.1 percent the amount continues to increase for the assessed valuation in the city. Treasurer Conzo talked about the CPI again, next year it could be 1.1 percent or 2.1 percent. He gave an example of what happens to and IRA if you stop contributing to it.

Alderman Parrott said taxes will likely go up in some capacity because of the new gubernatorial administration. He said he thinks residents will be taxed, and taxed, and taxed. He said at a minimum, flat, there had been some talk of even lowering, if possible, too. Alderman Dalpoas said he tended to agree, he said we owe it to the residents to keep it flat if it's possible, especially in terms of the new sewer rates. He asked how the city can get into a position where we can give a tax cut to the residents of Lincoln.

Alderman Fleshman said even at a flat rate the city is gaining on the pension funds. Treasurer Conze responded and touched on the Personal Property Replacement Tax (PPRT). He shared percentages going into the police and fire pension funds. Alderman Welch said it's the right thing to do-to at least keep it flat. He said we're still ahead over a couple of years, but it doesn't amount to much-but every dollar counts these days. Alderman Hoinacki said to place it on the agenda, to keep the tax levy flat.

ORDINANCE-CITY OWN STREET CAMPUS VIEW DRIVE:

Alderman Welch said so as many people know the council has been talking about Campus View Drive and the ownership of the road. He said he'd let the city attorney explain what's been placed in the ordinance. Mr. Hoblit said the homeowners have been paying taxes, but the road has not been maintained. The item will be placed on the agenda.

ORDINANCE-RESIDENTIAL SEWER RATES:

Alderman Fleshman explained some edits to the ordinance that he would like to made. Alderman Welch said he and Alderman Fleshman sat down and looked at this-they agree with the content provided, but instead of the chart for Tier 1 and Tier 2-that the city goes back to the tiers and the rates. He said for the most part everything in the ordinance is an accurate reflection of what was discussed.

Treasurer Conze went to make copies of the document at hand. The council moved forward with other agenda items and then returned to the Residential Sewer Rates discussion around 8:43 p.m. The item was then placed on the agenda.

ORDINANCE-CHANGES TO LIQUOR REGULATIONS:

Alderwoman Browne said the Liquor Commission met last week. She said what the group proposes is combining the Class B and Class C licenses, eliminating the capped number for licenses, among other things.She said the group does not want to discourage businesses from opening up or expanding, they want to provide honest opportunities for people.

Mr. Danny Wheat came forward, he said the group had dug way back, and even received information from the City of Taylorville on how they run their liquor licenses. He said we lost one liquor license, a bar license for a business, because there were not any available. He mentioned two restaurant licenses that have opened up,but there are not liquor licenses available. He said he'd hate for a Ruby Tuesday's to come to Lincoln, but have to pass up the opportunity because there are not any liquor licenses available. Alderwoman Bauer said the city is discouraging free enterprise.

Alderman Parrott asked about pitfalls of the establishment of video gambling and research conducted by the University of Illinois.He wanted to know what the downfalls are of providing more licenses. Mr.Wheat said he talked with the City of Springfield, and they have adopted the philosophy is that the strong will survive. Alderman Parrott talked about increases in crime rates relating to liquor licenses. He then talked about the state's potential to legalize marijuana. He said there will be a cost associated with the increase in liquor and gambling.He said he hopes the council really looks and sees this is not the best for the city or residents, he said this will increase crime.

Alderwoman Browne wanted to ask a couple of questions, she asked what he would like to see. He said we could look at the current ordinance and clean it up. He said there's ways of doing that. Alderman Parrott asked how many businesses have we turned away? Mr. Wheat said there are at least four waiting. Alderman Welch asked if he wanted to keep a cap in place and increase the cap. He said individuals want the dollar from the gaming, that's why they want to expand. Alderman Parrott said this is about the gambling.

Police Chief Adams was asked to weigh in on crime and the issues. He said he agreed with Alderman Parrott, he said we'll be legalizing cannabis.He said we can't solve that issue. He said people are going to still be doing this, in Springfield or wherever, but the city has the ability to capture some funds, butit's up to the council. Fire Chief Miller said alcohol and gambling addiction does lead to other mental health issues down the road that his department responds to. He said if there is a demand for that, it will increase the need for their services, and the need for funds for their operations.

Mr. Wheat, said he is here for the restaurants, the video gaming can be controlled by making it a stricter license. He said we're not here to push video gaming, we're hereto push business for Lincoln.Mr.Wheat said the city lost business because there wasn't a liquor license. Alderman Parrott wanted to know why there's a need to combine the Class B and C licenses. Mr. Wheat could not disclose who the applicants have been.

Alderman Welch said it seems it all leads back to video gaming, because if the request had not come in for the expansion of businesses to accommodate video gaming, the council would not be having this discussion. Alderman Dalpoas asked if there has been any consideration to adding a restaurant only license. He wanted to know if the council had the ability to control this by ordinance. Alderman Hoinacki said he wouldn't think so, the state would be able to override that.

Mr. Wheat said it takes a long time to get a liquor license, several weeks or a month. Mayor Goodman weighed in. Then City Attorney Hoblit talked about how the licenses could be denied, doors don't just open up to everyone. Alderman Parrott said there has to be something set in place, check and balances for how the licenses are awarded or denied. He wanted to know what the group had in place. Mr.Wheat said as far as video gaming, they don't do a thing. As far as liquor licenses, the applicants go through finger printing, background checks, the application process. Alderman Parrott again asked about the criteria. Alderman Welch wanted to know what the analysis was, if the committee delves any deeper to see if the applicant is a good fit for the community. Mr. Wheat says he's going to the locations.

Alderman Welch asked Alderman Parrott what he would be comfortable with and what his recommendation would be to the committee. Alderman Parrott said he didn't want to make it so that it was so easy that anyone can open up. He said he is not going to vote on something for the benefit of tax dollars if it's going to cost tax dollars to correct issues such as burglaries, etc. He said as a city, if we're only looking at a dollar amount-and that is the wrong thing to do. Alderman Parrott said we keep losing businesses, let's fix issues, but not create more issues down the road.

Alderman Welch said everyone wants the machines. Mayor Goodman said his understanding was, if they didn't meet the criteria, they would not get renewed. He said what other businesses in this town do we try to control. He said why would we, and why should we control businesses that are able to keep their doors open, he said that's the philosophy they had in the meeting. He said they need to be fair across the board.

Treasurer Conze said he agreed completely and asked the council to put some of this in perspective. He asked Mr.Wheat how many new liquor licenses were awarded in the last fiscal year. Zero is what he showed. Mr. Wheat said we've had three in the last month. But in 2018 there were zero during that time. He said suppressing business and turning business away is not a good way to operate. He said you just approved a flat tax levy. he's not an advocate or detractor of video gaming, but given the flat tax, you have to make up for revenue loss in some way-some $280,000.

Treasurer Conzo said you're going to eliminate that revenue, the same for liquor licenses. Alderman Parrott said he is not in favor of adding more, however he is just one person, just one vote. Treasurer Conzo said his point is that if you don't have video gaming then you don't have that revenue, you wouldn't have that revenue from the other licenses.

Alderman Parrott said that mentalityis again, why the State of Illinois wants to legalize cannabis too. He said are we just looking at dollars? Alderman Welch said if a company wants to take the risk to invest their money, to expand their business or whatever, then they take on that risk, and if you remove the percentages and put everyone on the same playing field-the economy will determine who is successful.

He said video gaming is starting to level out. He recommended Alderman Parrott join the next meeting, and that the percentage is removed, or even raising the cap so that there is still a limit.

Alderman Dalpoas said he also recommended understanding the process and learning what mechanisms are in place. He wanted to see this flushed out a bit. Alderman Welch said the council needed a clear direction, saying the council has talked about this a dozen times. Mayor Goodman said this has been sitting for a long time. He said we want our community to get better businesses and our businesses to be more profitable.

Alderman Parrott said this is not a new thing the city made up about the percentages, there are reasons why Vegas wouldn't open up more gambling, he said they have limits and there must be reasons for that as well.

Mr. Kevin Bateman came forward and said a good business plan will survive and a bad one doesn't. There are only so many pieces of the pie. He mentioned reviewing the past several months to see what business have closed.

Mayor Goodman asked for other comments and then asked the council how they wanted to move forward. Alderan Welch invited Alderman Parrott to meet with him. Mr. Wheat wanted to know who Alderman Parrott is representing-himself or his ward. Alderman Parrott said he is representing his ward and the City of Lincoln. Mr. Wheat asked, "Really?" and discussion continued.

Alderman Parrott again revisiting some statistics from the University of Illinois. He asked Mr. Wheat if he has any statistics. Mr. Wheat said he cared more about the city than statistics. Mayor Goodman said he thinks the committee needs to just schedule the next meeting. He would be in touch and schedule another meeting. The item will be brought back during the new Committee of the Whole meeting.

ANNOUNCEMENTS:

Mayor Goodman asked if anyone had any announcements.

Alderman Parrott asked about posters that are being hung in the Lincoln Depot, he saw posters during the night of the parade, he asked if there should be any posters hung in there by any groups... Chief Miller weighed in.Alderman Parrott wanted to know if the city had oversight at all. Chief Miller said there isn't someone in there all the time, so there's little oversight. He had not received any calls relating to this. Alderman Parrott also said the clock is an hour fast. Alderman Welch asked if they were going to turn on a TV in there.

ADJOURNMENT:

There being no further discussion to come before the City Council of Lincoln, Alderman Keller motioned to adjourn, seconded by Alderman Welch. Mayor Goodman adjourned the meeting at 8:46 p.m.

https://www.lincolnil.gov/index.php?option=com_content&view=article&id=939:december-11-2018-committee-of-the-whole&catid=50&Itemid=82