North Egypt News

Mt. Vernon City Council met September 17.

Here is the minutes provided by the Council:

Mayor John Lewis called the meeting to order.

Pastor Randy Steele of Southwest Christian Church gave the Invocation.

The Pledge of Allegiance was recited.

Roll Call:

Roll call showed present: Council Member Jeff May, Council Member Jim Rippy, Council Member Mike Young, and Mayor John Lewis. Absent: Council Member Donte Moore

Presentation Of Journals:

The Journal for the September 4, 2018 Regular City Council Meeting was presented for approval.

Council Member Mike Young motioned to approve the Journal as presented. Seconded by Council Member Jeff May. Yeas: May, Rippy, Young, and Lewis. Absent: Moore.

Visitors/Citizens Requests/Addresses From The Audience:

No comments were heard.

Approval Of Consolidated Vouchers For Accounts Payable:

The Consolidated Vouchers for Accounts Payable were presented to Council for approval. Council Member Jim Rippy asked when the expenditures for the Chesley Industrial Park will end. City Manager Mary Ellen Bechtel stated that the construction should be completed in the next couple of weeks.

Council Member Jeff May asked if the payroll information reflected the overtime costs due to the September 8, 2018 rain event. Bechtel replied no, but she does not expect the amount to be outstanding.

Council Member Jim Rippy stated that the report shows that overtime accounted for 6.2% of the payroll costs. City Manager Mary Ellen Bechtel stated that overtime is underbudget and she expects that overtime costs will remain underbudget. Two and a half percent (2.5%) was allocated for overtime in the total budget. As of the last City Council Meeting,.08% has been expedited. Finance Director Merle Hollmann agreed that overtime costs were on target. He explained that Rippy was calculating the overtime percentage with total payroll costs, but Bechtel was calculating the overtime percentage with the total budget. Rippy asked that a graph be prepared that shows the percentage of overtime by payroll over the past year. Council Member Jeff May agreed the percentage of payroll is a good method and asked that the graph show the last two to three years of overtime. Bechtel stated that overtime costs have been reduced especially in the Police and Fire Departments. She explained that hiring additional people will not solve the overtime problem because most of the overtime is caused by emergency events.

Council Member Jeff May motioned to approve the Consolidated Vouchers for Accounts Payable in the amount of $1,330,087.26. Seconded by Council Member Mike Young. Yeas: May, Rippy, Young, and Lewis. Absent: Moore.

Bids & Quotes:

City Manager Mary Ellen Bechtel presented the bids received for the North 44th Street Water Line Replacement. Five bids were received:

Contractor; Bid Amount:

1. J. K. Trotter, Mt. Vernon, IL; $84,877.10

2. Rend Lake Plumbing, Bonnie, IL; $75,136.46

3. Haier Plumbing, Okawville, IL; $83,613.00

4. Mideastern Plumbing, Carlyle, IL; $71,447.00

5. Wiggs Excavating, Bonnie, IL; $99,974.00

Bechtel and Public Works Director Matt Fauss recommended the acceptance of the low bid of $71,447.00 from Mideastern Plumbing, Carlyle, IL. Bechtel stated that the engineer’s estimate was $84,877.10

Council Member Mike Young motioned to accept the low bid of $71,447.00 from Mideastern Plumbing, Carlyle, IL for the North 44th Street Water Line Replacement. Seconded by Council Member Jeff May. Yeas: May, Rippy, Young, and Lewis. Absent: Moore.

City Manager Mary Ellen Bechtel presented the bids received for the Downtown Sidewalk and Curb Project. Areas to be improved are 9th Street and Harrison, 10th Street North of Main Street, and Main Street West of 8th Street. Eight bids were received:

Contractor; Bid Amount:

1. Rollie Excavating, Woodlawn, IL; $ 51,959.70

2. T & L Contracting, Centralia, IL; $ 72,207.29

3. Evrard-Strang Construction, Marion, IL; $ 82,150.43

4. Guinzy Construction, Ashley, IL; $109,463.74

5. Stulz Excavation, Alton, IL; $ 84,844.85

6. KRB Excavating, Inc, Trenton, IL; $ 96,524.00

7. Bevis Construction, Mt. Vernon, IL; $ 55,457.50

8. Hanks Excavating, Belleville, IL; $105,191.50

Bechtel and Public Works Director Matt Fauss recommended the acceptance of the low bid of $51,959.70 from Rollie Excavating, Woodlawn, IL. Bechtel stated that the engineer’s estimate was $58,492.77. This project is funded by the Downtown TIF District and Special Service Area #1.

Council Member Jim Rippy motioned to accept low bid of $51,959.70 from Rollie Excavating, Woodlawn, IL for the Downtown Sidewalk and Curb Project. Seconded by Council Member Mike Young. Yeas: May, Rippy, Young, and Lewis. Absent: Moore.

City Manager:

City Manager Mary Ellen Bechtel requested permission to request proposals for a new City-wide Telephone System. Assistant City Manager Nathan McKenna explained that the City is looking to update the current eight (8) year-old Toshiba system. One reason for the update is that the cost of landlines is increasingly going up. He is considering an internet-based voice over IP and consolidating a number of phone lines. The City budgeted $30,000 for the project to be paid out of the General Corporate Capital Fund.

Council Member Jim Rippy motioned to grant permission to request proposals for a new City- wide Telephone System. Seconded by Council Member Mike Young. Yeas: May, Rippy, Young, and Lewis. Absent: Moore.

City Manager Mary Ellen Bechtel requested permission to request bids for the Resealing of Parking Lots at Veteran’s Park, Aquatic Zoo, and City Hall. Bechtel explained that these parking lots were updated five years ago, and this is necessary to maintain them. The estimated cost is $28,000. Council Member Jeff May feels that the Aquatic Zoo should be paying its own way. Bechtel stated that it is not planned that the Aquatic Zoo pay for the resealing, but she will try.

Council Member Jeff May motioned to grant permission to request bids for the Resealing of Parking Lots at Veteran’s Park, Aquatic Zoo, and City Hall. Seconded by Council Member Mike Young. Yeas: May, Rippy, Young, and Lewis. Absent: Moore.

City Manager Mary Ellen Bechtel requested permission to close 9th Street between Main and Broadway on Saturday, December 1, 2018 from 9:00 a.m. to 8:00 p.m. for Christmas Parade Activities. Tourism Director Angela Schrum explained that the Downtown Christmas Tree will be moved to the eastside of the Courthouse to keep participants off the grassy area.

Council Member Mike Young motioned to grant approval to close 9th Street between Main and Broadway on Saturday, December 1, 2018 from 9:00 a.m. to 8:00 p.m. for Christmas Parade Activities. Seconded by Council Member Jeff May. Yeas: May, Rippy, Young, and Lewis. Absent: Moore.

City Manager Mary Ellen Bechtel introduced Greg Carleton of Krehbiel and Associates to present the City’s Audit Report for April 30, 2018. Carleton summarized the audit findings. He thanked the Mayor and Council for giving them the opportunity to serve the City as their Auditors. In addition, he thanked Merle Hollmann and the Finance Department as well as the other city employees who were involved in the audit process for their cooperation and willingness to help with the Audit. The City has received an unqualified Audit Opinion with no findings. This is the best that can be achieved. Three audit reports are found in the Report - the Independent Auditors Report, the report on Compliance and Internal Control, and the Report on Compliance required by the Uniform Guidance.

The General Corporate Fund balance (non GASB 34) increased by $37,738. General Corporate (Fund Basis) revenue was up 1.27% an increase of $182,185, expenditures were down 3.92% a decrease of $564,369. Expenditures were actively reduced by varying departments with staff cuts and other cost savings measures. The cut backs that were made will not be able to be duplicated in the future.

The Public Utilities Fund had an overall income of $933,234 compared to $1,049,876 at 4/30/17. This income is being reinvested into the water & sewer systems in the form of capital improvements that are being depreciated over a 50-year life. Improvements to the water and sewer systems that were capitalized during the year were $1,411,292 and principal paid on long- term debt was $511,732.

The Sanitation Fund has a net income of $99,184, 4/30/17 had a net income of $19,797.

TIF Downtown Fund provided $269,043 worth of improvements to the downtown area during fiscal year 4/30/18. The Rt 15 and I 57 TIF provided $223,652 worth of improvements to this area during fiscal year 4/30/18. The Industrial Park TIF Fund provided $47,075 to this area during 4/30/18. TIF funds by statute have a life of 23 years.

The Health Insurance fund showed an increase in net assets of $699,457 for 4/30/18. The Health Insurance fund showed an increase in net assets of $265,970 for 4/30/17. The Health Insurance fund showed a decrease in net assets of ($624,774) for 4/30/16. The Health Insurance fund showed a decrease in net assets of ($206,366) for 4/30/15. The Health Insurance fund was established in January of 2008 in order to help the City control the cost of health care benefits for its employees.

During the year ended April 30, 2018, the Police Pension Fund investments experienced an increase in market value of (net) $1,143,252. The return on investment for the year was 8.71%. The Net Pension Liability (NPL) was $13,786,599 using a discount rate of 6.18%. The Police Pension is 59.12% funded as of April 30, 2018.

During the year ended April 30, 2018, the Firefighters Pension Fund investments experienced an increase in market value (net) of $894,411. The return on investment for the year was 7.54%. The Net Pension Liability (NPL) was $12,469,463 using a discount rate of 6.55%. The Fire Pension is 56.27% funded as of April 30, 2018.

At April 30, 2018 the City employed an average of 156 employees (full-time equivalents). April 30, 2017 was 164. April 30, 2016 was 176. Overall, the City added $7.6 million of capital improvements in the form of sidewalks, roads, water, and sewer upgrades. As of April 30, 2018, the total debt to the City is $37.6 million compared to $40 million on April 30, 2017.

Council Member Jeff May asked what the total dollar increase in the deferred pension liability. Carleton did not have the details, but he believed it to be around $1 million. In theory, the City is on schedule with the State mandated liability amount.

The Council will officially accept the Fiscal Year 2017-2018 Audit Report at the next meeting to give the Council time to review it completely.

City Manager Mary Ellen Bechtel presented the Reclassification of Funds Regarding Police & Fire Costs. She explained that one reclassification of the funds is due to her request to place the Police and Fire Department’s pension obligations in each budget. Finance Director Merle Hollmann explained that in the past the Police and Fire revenues from the tax levies went directly to the pension funds. No pension revenue or expense was recorded in the Police and Fire Departments. The Illinois Department of Insurance oversees the pension funds and the City needs to comply with their method. The accounting change was not worked out this year, so the budget reclassifications had to be adjusted. Bechtel explained the change will show an accurate representation of the actual cost of the Police and Fire Departments. Hollmann stated that the net will be the same, but the change will show more accountability.

The Budget Adjustments presented were 1). Number 2018-12 is the final budget adjustment for the fiscal year ended April 30, 2018 which reduces previously budgeted expenditures and equal amounts of revenue for recording Police and Fire Pension costs in the General Corporate Fund, 2). Number 2019-01 is a budget adjustment for the fiscal year ending April 30, 2019 and is to record grant funds and transfers from restricted DUI Fines to fund in-car video equipment purchased by the Police Department, and 3). Number 2019-02 is a budget adjustment for the fiscal year ending April 30, 2019 and is to record revenue and equal expense related reimbursement of overtime costs incurred by the Police Department for Christian Family Day.

Council Member Jeff May motioned to approve the Reclassification of Funds Regarding Police & Fire Costs. Seconded by Council Member Mike Young. Yeas: May, Rippy, Young, and Lewis. Absent: Moore.

City Attorney:

Corporation Counsel Bill Howard presented an Ordinance Rezoning Property at 2607 Benton Road from B-2 Secondary Business to R-1 Low-Density Residential. The petitioning party is Stark Development Group, LLC. City Manager Mary Ellen Bechtel stated that the request was unanimously approved by the Planning and Zoning Commission and no objectors were present. Mr. Stark stated that the rezoning was needed for him to construct a carport on the property.

Council Member Jim Rippy motioned to adopt Ordinance #2018-39, an Ordinance Rezoning Property at 2607 Benton Road from B-2 Secondary Business to R-1 Low-Density Residential. Seconded by Council Member Mike Young. Yeas: May, Rippy, Young, and Lewis. Absent: Moore.

Corporation Counsel Bill Howard presented a Resolution Approving a Collective Bargaining Agreement between the City of Mt. Vernon and the Telecommunicators and LEADS Coordinator from May 1, 2018- April 30, 2022. City Manager Mary Ellen Bechtel explained that this Agreement includes the following:

• Deletes the “Fair Share” language

• Allows the bargaining unit to administer the turn sheet

• Incorporates the 10-hour work shift

• Provides that the two personal days and birthday be accrued in the increments equal to the employee’s regular shift

• A 1.75% plus Step wage increase for each year during the four-year term

• Includes Emergency Medical Dispatch Certification Pay

• Change reference from “Lead Telecommunicator” to “Leads Coordinator”

Council Member Jeff May asked what the annualized wage increase over the four-year term.

Bechtel replied that for all six union contracts, the annualized increase is $1.3 million over the four-year term. May stated that the Agreement is fair, but it does create financial challenges.

Council Member Mike Young motioned to approve the Resolution Approving a Collective Bargaining Agreement between the City of Mt. Vernon and the Telecommunicators and LEADS Coordinator. Seconded by Council Member Jeff May. Yeas: May, Rippy, Young, and Lewis. Absent: Moore.

Corporation Counsel Bill Howard presented a Resolution Approving a Collective Bargaining Agreement between the City of Mt. Vernon and Patrol Officers from May 1, 2018- April 30, 2022. City Manager Mary Ellen Bechtel explained that this Agreement includes the following:

• States that officers wishing to be excluded on the volunteer turnsheet shall do so in writing

• Deletes the “Fair Share” language

• Includes drug and alcohol testing on officers in which the circumstance qualifies under 50 ILCS 727/1-25

• Provides that the two personal days and birthday be accrued in the increments equal to the employee’s regular shift

• States that employees on twelve-hour shifts shall work 84 hours per two-week period at the normal straight time rate

• Any “hold over” time worked after the end of a regular shift will be paid at the regular (1.5X) overtime rate

• Any “special details” mandated to work will be paid at the regular (1.5X) overtime rate with the exception of call backs, call outs, and full shifts

• The maximum forced overtime for an employee shall not exceed more that twelve (12) hours in a seven (7) day period

• City agrees to repair or replace as necessary an officer’s eyeglasses, contact lenses, prescription sunglasses up to $300 and watches up to $100 if damaged or destroyed in legitimate line of duty circumstances

• An 1.75% plus Step wage increase for each year during the four-year term

Council Member Jeff May motioned to approve the Resolution Approving a Collective Bargaining Agreement between the City of Mt. Vernon and the Patrol Officers. Seconded by Council Member Mike Young. Yeas: May, Rippy, Young, and Lewis. Absent: Moore.

Corporation Counsel Bill Howard presented a Resolution Approving an Agreement for Grant Consultation and other Professional Services between the City of Mt. Vernon and the Greater Egypt Regional Planning and Development Commission for the Administration of the CDBG Grant Utilizing Revolving Loan Funds. City Manager Mary Ellen Bechtel explained that the City received a Notice of State Award Finalist. In order to receive the grant, the City needs to enter into an Agreement with Greater Egypt Planning and Development Commission for the administration on this grant. Other items needed to satisfy the grant requirements are an environmental review, completion of internal control questionnaire, in-direct cost rate, and schedule of employees’ activities. This grant is for the replacement of 28,000 lineal feet of water lines at a cost of $1.6 million.

Council Member Jeff May motioned to approve the Resolution Approving an Agreement for Grant Consultation and other Professional Services between the City of Mt. Vernon and the Greater Egypt Regional Planning and Development Commission for the Administration of the CDBG Grant Utilizing Revolving Loan Funds. Seconded by Council Member Jim Rippy. Yeas: May, Rippy, Young, and Lewis. Absent: Moore.

Corporation Counsel Bill Howard presented a Resolution requesting Permission from IDOT to Close IL 15 and IL 37 on December 1, 2018 from 4:30 p.m. to 6 p.m. for the Christmas Parade.

Council Member Jim Rippy motioned to approve the Resolution requesting Permission from IDOT to Close IL 15 and IL 37 on December 1, 2018 from 4:30 p.m. to 6 p.m. for the Christmas Parade. Seconded by Council Member Mike Young. Yeas: May, Rippy, Young, and Lewis. Absent: Moore.

Mayor:

Mayor John Lewis thanked and commended the City workers who worked during and after the flood on September 8, 2018. This was an unprecedented rainfall in such a short time period that caused many problems throughout the City.

City Council:

Council Member Jim Rippy asked when the City is going to begin dredging the City Park Lake. City Manager Mary Ellen Bechtel explained that references are being contacted and more estimates are required for the removal of storm sewer. She stated that dredging would be a short-term fix and she is working on a project that would divert the storm water so that the lake does not silt in as quickly. Rippy stated that he has not heard any comments against dredging the lake. He feels that the residents want to keep the lake.

Visitors/Citizens Requests/Addresses From The Audience:

Candy Luzar, 900 S. 26th Street, spoke on the City Park Lake. She states that an overwhelming majority of the public want to keep the lake.

Bob Watt asked if the $10 water bill surcharge is still in effect. City Manager Mary Ellen Bechtel replied that the surcharge was eliminated last November. All funds collected are being invested in water and sewer improvements.

Keith Sheeler spoke on the September 8th flood. He is a landlord and owns two homes on Bishop Court and he commended the Police and Fire Departments for evacuating his tenants. Sheeler was disappointed in the Police Telecommunicators because his tenants were not taken seriously when they called 911. He reported that the residents are still waiting for Republic Services to pick up the flood-damaged items and he requested that the City spray for mosquitos in the area.

Executive Session:

At 8:12 p.m., City Manager Mary Ellen Bechtel requested an Executive Session under 5 ILCS 120/2 (c) (5) – The purchase or lease of real property for the use of the public body and 5 ILCS 120/2 (c) (6) – The setting of a price for sale or lease of property owned by the public body.

Council Member Mike Young motioned to go into Executive Session under 5 ILCS 120/2 (c) (5) for the purchase or lease of real property and under 5 ILCS 120/2 (c) (6) for the setting of a price for sale of lease oe property owned by the public body. Seconded by Council Member Jeff May. Yeas: May, Rippy, Young, and Lewis. Absent: Moore

At 8:54 p.m., Mayor John Lewis reconvened the Regular City Council Meeting.

Roll call showed present: Council Member Jeff May, Council Member Jim Rippy, Council Member Mike Young, and Mayor John Lewis. Absent: Council Member Donte Moore.

Adjournment:

Council Member Jim Rippy motioned to adjourn. Seconded by Council Member Mike Young. Yeas: May, Rippy, Young, and Lewis. Absent: Moore.

The meeting was adjourned at 8:55 p.m.

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