Chambana Sun

City of Danville City Council met November 7.

Here is the minutes provided by the Council:

#1. The Regular Meeting of the City Council of the City of Danville was called to Order at 6:01 p.m. by Mayor Scott Eisenhauer at the Robert E. Jones Municipal Building, 17 W. Main Street, Danville, Illinois.

The Roll Call was answered by Mayor Scott Eisenhauer, Vice Mayor Brenda Brown, Aldermen Jon Cooper, Dan Duncheon, Steve Foster, Sharon McMahon, Steve Nichols, Michael O'Kane, Sherry Pickering, Michael Puhr, and Lloyd Randle, Tom Stone, Rick Strebing, and Rickey Williams, Jr. Absent was Alderman R.J. Davis. A quorum was present.

Staff Members Present: City Treasurer Stephanie Wilson, Assistant Corporation Counsel Bethany Nystrom, Budget Director Gayle Lewis, City Clerk Lisa Monson, City Comptroller Shelley Scott, Corporation Counsel Dave Wesner, Engineering & Urban Services Manager David Schnelle, Human Relations Administrator Sandra Finch, Public Transportation Director Lisa Beith, Public Works Director Doug Ahrens, and Risk Manager Kathy Courson.

There were also 32 audience members and 3 news media in attendance.

#2. Invocation was given by Reverend Drew Mentzer, Pastor of Second Church of Christ, preceded by a moment of silence held in memory of Alderman R.J. Davis' mother, who passed away Monday, November 6, 2017.

#3. The Pledge Of Allegiance was led by Alderman Duncheon.

#4. The Minutes of the regular meeting held, October 17, 2017, having been published and distributed, were presented. Alderman Cooper moved for approval as presented, seconded by Alderman Puhr. On the voice vote, the motion so ordered

#5. The Agenda for the evening was presented. Mayor Eisenhauer announced the removal of item 12-A the City Clerk's Report. Vice Mayor Brown moved for approval as amended, seconded by Alderman Foster. On the voice vote, all ayes, no nays, the motion so ordered.

#6. Mayor's Report

i8-A. Proclamations - None

#6-B. Board/Committee Appointments - None #6-C. Reports of Boards, Agencies, Commissions - None

#6-D. items of Information

#6-D-1. Mayor Eisenhauer presented Resolution 2017-115 in Support of Illinois Bicentennial Celebrations as December 3, 2018 will mark the 200th anniversary of the admission of Illinois to the Union as a State. The City of Danville endorses the efforts of the Illinois Bicentennial Commission in promoting, planning, and executing historic, educational, celebratory and cultural initiatives to recognize and celebrate the bicentennial of the State of Illinois. Alderman Randle moved for approval, seconded by Alderman McMahon. On the voice vote, all ayes, no nays, the motion so ordered.

#6-D-2. Presentation of 2017 Progressive City Award from Ameren Illinois

Kodi Smith, representing Ameren Illinois, and Steve Barbee, Division Director, Ameren Illinois presented Mayor Eisenhauer with a $2,500.00 check for a grant toward energy efficient updates and education as well as two commemorative street signs. Mayor Eisenhauer stated the award is really about the residents and businesses that have made a conscious decision to take action in ways that improve our quality of life and reduce our impact on the environment such as the switch street lighting to energy efficient LED lighting. The energy efficiency savings that we realized through the Ameren Illinois programs are equivalent to removing over 3,029 tons of carbon dioxide gases from our environment. It is also equivalent to taking almost 649 cars off our roads or planting more than 78,499 trees.

#6-D-3. Actuarial Presentation by Lauterbach & Amen LLP

Mayor Eisenhauer introduced Todd Schroeder, Principal, Actuary with Lauterbach & Amen, LLP. Mr. Schroeder gave a PowerPoint presentation titled "City of Danville, Illinois Pension Fund Reporting" and highlighted the following information and results of the actuary for the Danville Police and Fire Pension Funds for fiscal year ended April 30, 2017:

•Current Year Contribution Requirement-Fire $4,134,208; Police $3,379,116

•Prior Year Contribution Requirement-Fire $3,907,340; Police $3,478,117 o

•Current Year Funded Percentage-Fire 15.50%, Police 28.17%

•Unfunded Actuarial Liability-Fire $55,958,656; Police $48,250,578 for a total of $104,209,234

•Active Member Count-Fire 44; Police 61

•Inactive Member Count-Fire 78; Police 77

•Change in Net Position-Fire $283,810; Police $1, 108,598

• Current Benefit Payments-Fire $3,470,409; Police $3,427,081 for a total of $6,897,490

•Expected Benefit Payments in 5 Years-Fire $4,150,000; Police $4,287,000 for a total of $8,437,000

•Expected Benefit Payments in 10 Years-Fire $5,070,000; Police $5,127,000 for a total of $10,197,000

• Changes in Contributions such as salary increase greater/(less) than expected, demographic changes, assumption changes, asset return less than expected, and contributions (greater)/less than expected for Increase in Recommended Contribution-Fire $226,868, Police $200,998

•Current Funded Percentage Summary Based on Actuarial Value of Assets-Fire 15.50%, Police 28. 17%

•Net Pension Liability-Fire $56,604, 139; Police $49, 154,730

• Total Pension Expense-Fire $5,733,754; Police $4,833,894 Mayor Eisenhauer thanked

Mr. Schroeder for his presentation and opened the floor for questions. Mr. Schroeder addressed questions from Council members and discussion ensued.

#7. Petitions Communications, Audience Comments

•Roger D. Boen of Danville voiced concern of future budgets and pensions and stated the pension funds should have been addressed long ago, the City boundaries have been exceeded, and Bowman Avenue should be used as a beltway.

•Doug Toole, Board President, and Brenda Adams, Executive Director of Keep Vermilion County Beautiful spoke on the two recent electronics collection events held at the Public Works Building and Danville Area Community College. There were 525 computer monitors and 1,900 television sets Collected at the events.

• Amber Oxner of Danville, a landlord for ten years, spoke concern of the proposed Public Safety Fee increase and feels there are other places to cut in the budget.

• Jerry Hawker of Danville spoke on the tax levy and stated the 10% increase has to be done and the $16.50 per month across the board is something we can live with and feels it is the most fair.

• Aaron Troglia of Danville Spoke on the tax levy and stated the 10% increase and $16.50 per month seems fair, feels the tiered system would get challenged, and asked why the City is not looking at a utility tax.

• Nate Byram of Danville spoke on the tax levy/budget and questioned if other cuts could be made in the budget, voiced Concern of churches/non-profits included in one of the proposals, there needs to be an increased percentage of home ownership in the east end, and feels the flat fee based is more fair than the staggered fee.

#8. Zoning Petitions - None

#9. Payroll

Mayor Eisenhauer presented Payrolls for October 20, 2017, of $70,667.45, for October 27, 2017, of $532,530.49, and for November 3, 2017, of $71,473.04. Alderman Cooper moved to dispense with the readings and asked for approval as presented, seconded by Alderman Stone. There being no questions, the roll call vote being:

Ayes: Aldermen Cooper, Puhr, Nichols, Foster, Brown, Duncheon, McMahon, Stone, Williams, Strebing, Pickering, O'Kane, Randle

Nays: None

Absent: Alderman Davis

Motion carried 13 to 0 with 1 absent.

# 10. Schedule Of Vouchers Payable

Mayor Eisenhauer presented the Schedule of Vouchers Payable, having been published, posted, and distributed, for October 24, 2017, of $448,746.26, for November 7, 2017, of $1,856,156.08, and for special run of November 7, 2017 of $181,723.81. Alderman Cooper moved to dispense with the readings and asked for approval as presented, seconded by Alderman Puhr. After all questions were addressed, the roll call vote being:

Ayes: Aldermen Puhr, Nichols, Foster, Brown, Duncheon, McMahon, Stone, Williams, Strebing, Pickering, O'Kane, Randle, Cooper

Nays: None

Absent: Alderman Davis

Motion Carried 13 to 0 with 1 absent.

#11. Public Works Committee Report

#11-A. items of information

[The next Public Works Committee meeting is scheduled for Tuesday, November 14, 2017 at 6:00 p.m.]

#12. Public Services Committee Report

#12-A. [previously removed.]

#12-B. Chairman Nichols presented the Treasurer's Report for August, 2017 and September, 2017, moved to dispense with the reading and asked for approval and placement on file, seconded by Vice Mayor Brown. The reports being: City Treasurer's Statement of Receipts and Disbursements for August, 2017 stating a Beginning Balance on August 1, 2017 of $18,223,947.73, Receipts of $4,222,020.38, Disbursements of $4,424,765.15, an Ending Fund Balance on August 31, 2017 of $18,021,202.96, and a Cash Balance of $3,995,609. 16, and for September, 2017 stating a Beginning Balance on September 1, 2017 of $18,021,202.96, Receipts of $7,212,822.42, Disbursements of $7,738,057.92, an Ending Fund Balance on September 30, 2017 of $17,495,967.46, and a Cash Balance of $3,833,778.16. There being no questions, on the voice vote, all ayes, no nays, the motion so ordered.

#12-C. Chairman Nichols presented Resolution No. 2017-106 authorizing Agreement for Liability and Worker's Compensation Insurance with Illinois Counties Risk Management Trust (CRMT) through Harris Agency Insurance, beginning December 1, 2017 to December 1, 2018, with a premium of $1,218,263.00, for a 7.45% increase moved to dispense with the reading and asked for approval as recommended by Committee, seconded by Alderman Stone. After all questions were addressed and there being no further discussion, the roll call vote being:

Ayes: Aldermen Nichols, Foster, Brown, Duncheon, McMahon, Stone, Williams, Strebing, Pickering, O'Kane, Randle, Cooper, Puhr

Nays: None

Absent: Alderman Davis

Motion carried 13 to 0 with 1 absent.

Chairman Nichols presented items D thru for a single vote, moved to dispense with the readings and asked for approval of all six items as recommended by Committee, with the exception of item E without recommendation by Committee, but was discussed in Committee. There being no objections, Alderman Strebing seconded. Those items being:

#12-D. Resolution No. 2017-107 authorizing a one-year agreement with Blue Cross/Blue Shield of Illinois through Old National Risk Partners Inc. for the City's PPO and a PPO HDP (high deductible plan) with HSA (health savings account) Health Insurance for a 11.19% increase from the current plan;

#12-E. Resolution No. 2017-108 authorizing a Spousal Incentive to Lower Monthly Health Insurance Premiums, an incentive program to qualified employees which provide the appropriate incentive payment of $500, $2,000 or $2,500, minus all applicable taxes to employees On, January 5, 2018, in exchange for the monthly premium savings and utilization to the City of Danville's health insurance from January 2018 through December 2018;

#12-F. Resolution No. 2017-109 authorizing a one-year agreement with Health Alliance for the City's Medicare Advantage plan offered to Medicare Part B eligible retirees for the period of January 1, 2018 to December 31, 2018;

#12-G. Resolution No. 2017-110 authorizing a one-year agreement with MetLife for Dental Insurance for the period of January 1, 2018 to December 31, 2018;

#12-H. Resolution No. 2017-111 authorizing a one-year agreement with MetLife through Old National Risk Partners Inc. for Group Term and AD&D Life Insurance, and Voluntary Life Insurance for the period of January 1, 2018 to December 31, 2018; and

#12-l. Resolution No. 2017-112 authorizing Agreement Extension for Flexible Spending Program with Benefit Planning Consultants Inc. for the plan year of January 1, 2018 through December 31, 2018; After all questions were addressed and there being no further discussion, the roll call vote being:

Ayes: Aldermen Foster, Brown, Duncheon, McMahon, Stone, Williams, Strebing, Pickering, O'Kane, Randle, Cooper, Puhr, Nichols

Nays: None

Absent: Alderman Davis

Motion carried 13 to 0 with 1 absent.

After the roll call, Manager Courson explained there is now online capabilities for open enrollment for through the new financial software.

#12-J. Chairman Nichols presented Resolution No. 2017-113 authorizing Budget Amendment in Community Reinvestment Fund (310), to Create Expenditures-Other Capital Equipment Budget by $7,100.00, and Community investment by $436,800.00; Decrease Expenditures-Advertising by $2,500.00, Maintenance of Vehicles by $4,000.00, Maintenance of Other Equipment by $14,000.00, Rentals by $10,000.00, Dumping Fees by $124,000.00, Maintenance of Lots by $57,000.00, Publication by $2,000.00, Materials to Maintain Vehicles by $10,000.00, Materials to Maintain Other Equipment by $10,000.00, Gasoline by $900.00, Material to Secure Structure by $17,000.00, General Liability Insurance by $500.00, Blight Removal by $155,000.00, Neighborhood Association by $2,000.00, Community Revitalization by $1,000.00; increase-Expenditures Professional Services by $2,000.00, Other Contractual Services by $15,000.00, Small Tools & Equipment by $500.00, Other Commodities by $500.00; Decrease-Revenue-Home Rule Tax.25 by $400,000.00, and increase-Revenue by $3,600.00 with balance of the amendment in the amount of $344,400.00 shall come from the Community Reinvestment Reserve Fund. The budget amendment is necessary to reflect the change created by Ordinance 9112, loan proceeds, and income incurred last fiscal year, moved to dispense with the reading and asked for approval as recommended by Committee, Seconded by Alderman Duncheon. There being no questions or discussion, the roll call vote being:

Ayes: Aldermen Brown, Duncheon, McMahon, Stone, Strebing, Pickering, O'Kane, Cooper, Puhr, Nichols, Foster

Nays: Aldermen Williams, Randle

Absent: Alderman Davis Motion Carried 11 to 2 with 1 absent.

#12-K. Chairman Nichols presented Resolution No. 2017-114 adopting a Revised Housing Program Policy Manual for City Housing Assistance Programs for CDBG (Community Development Block Grant) Program Years 2015-2019, for changes made in order to allow for efficient administration of the housing programs and ensure the funds put towards the programs are disbursed in a fiscally responsible manner in order to meet the evolving requirements set by HUD (Housing & Urban Development), moved to dispense with the reading and asked for approval as recommended by Committee, seconded by Alderman Cooper. After all questions were addressed and there being no further discussion, the roll call vote being:

Ayes: Aldermen Duncheon, McMahon, Stone, Williams, Strebing, Pickering, O'Kane, Randle, Cooper, Puhr, Nichols, Foster, Brown

Nays: None

Absent: Alderman Davis

Motion carried 13 to 0 with 1 absent.

#12-L. Chairman Nichols presented ORDINANCE NO. 9115 amending Chapter 51 of City Code Pertaining to Sewers, to change the name from "Sewers" to read "Storm and Sanitary Sewers", effective November 1, 2017, to include the operation and maintenance of the storm water system with the funding to offset the cost to come from a.25% of the Home Rule Tax per Ordinance No. 9112, moved to dispense with the reading and asked for approval as recommended by Committee, Seconded by Alderman Stone. There being no questions or discussion, the roll call vote being: Ayes: Aldermen McMahon, Stone, Williams, Strebing, Pickering, O'Kane, Randle, Cooper, Puhr,

Nichols, Foster, Brown, Duncheon Nays: None

City Council Page 5 sy- 11/7/17

Absent: Alderman Davis Motion Carried 13 to 0 with 1 absent.

#12-M. Chairman Nichols presented Ordinance No. 91.16 amending Effective Date of Ordinance No. 91 12 of City Code Pertaining to Taxation, to November 1, 2017, moved to dispense with the reading and asked for approval as recommended by Committee, seconded by Alderman Cooper. There being no questions or discussion, the roll call vote being:

Ayes: Aldermen, Stone, O'Kane, Randle, Cooper, Puhr, Nichols, Foster, Duncheon, McMahon

Nays: Aldermen Williams, Strebing, Pickering, Brown

Absent: Alderman Davis

Motion carried 9 to 4 with 1 absent.

#12-N. Items of Information

•Alderman Duncheon asked if there was a spreadsheet showing whether the properties waiting to be demolished were last Owner occupied or occupied by tenants. Director Schnelle responded the City has history back to two years on the new software so it depends on the property address and requested individuals contact his office with a particular address so they Could research any history that has been documented.

•Alderman Randle requested a status on 703 Chandler Street per a citizen request. Director Schnelle stated he will get an update on that address.

[The next Public Services Committee meeting is scheduled for Tuesday, November 28, 2017 at 6:00 p.m.]

#13. Discussion of 2017 Tax Levy and Fiscal Year 2018-2019 Budget Mayor Eisenhauer passed out several spreadsheets. Document #1: Salaries and Benefits per Division of City Employees. Document #2: Second Draft of Proposed 2018-2019 Budget. Document #3: Fiscal Year 2017-2018 General Fund Cash Flow Report showing an ending cash balance of $1,803.00. Document #4: Budget Performance Report for Fiscal Year 2017-2018. Document #5: Three Tax Levy Scenarios with variations were presented. Option 2 shows a property Tax Rate of $2.26, a 50% discount for seniors/veterans, disabled, and a tiered Public Safety Pension fee from $96.00 to $330.00 for residences and $600.00 to $2,400.00 for businesses. Mayor Eisenhauer stated the City is presenting a 20-year plan including a rate of return at 5.75%. The revenue growth rate in years one and two would be 10%, year three at 9%, year four at 4% and years five through 22 at 3% which means the property tax and public safety pension fee combination must create a total dollar amount that is 10% next year over this year, and so on. The Council will still vote on every year what Combination of the two that will be used to get to the amount. Option 4 shows a $2.26 Property Tax Rate and a $1,300.00 per year flat Public Safety Pension fee for businesses and $200.00 per year flat Public Safety Pension fee for residences. Option 4A shows a $2.26 Property Tax Rate and a $220.00 residential Public Safety Pension flat fee and a $600.00-$1,500.00 tiered system for business Public Safety Pension fee. Option 5 shows a $2.04 Property Tax Rate and a $250.00 residential flat annual Public Safety Pension fee and $1,500.00 flat annual Public Safety Pension fee for businesses. Option 5A shows a $2.04 Property Tax Rate, a $280.00 residential flat annual Public Safety Pension fee and a tiered annual Public Safety Pension fee for businesses from $600.00 to $1,500.00. Mayor Eisenhauer stated there is a draft ordinance with language pertaining to Chapter 117 the Public Safety Pension Fee included in the packet for discussion only that includes under Section 2: 117.05 Amendments "Any amendments to this chapter, including its Appendix, shall require a 2/3 majority vote of the Corporate authorities of the City." He also stated the ordinance talks about putting a plan in place locking it into the Property Tax and the Public Safety Pension Fee. A Council down the road can choose to add revenue Sources to that in order to decline the amount out of property taxes and public Safety, but the plan as the Administration have put it forward, would be to utilize those two Sources. The utility tax was questioned and Mayor Eisenhauer stated the problem with a utility tax is the most to be generated on an annual basis is $3,000,000.00 which may be fine this year, but as this plan grOWS and as those numbers grow you're not going to be able to generate more money in the utility tax So that is why We chose not to consider that under this option because you are going to be right back here in three years if not sooner talking about what you are going to do on top of the utility tax because it will no longer be enough money in addition to the property tax to meet your obligation. Discussion ensued from the Council regarding the various tax levy options and possible budget cuts.

#14. Items Of Information

•Alderman Williams announced Project Success received Teen Reach funding.

• Alderman Strebing reminded everyone to attend Night of Lights Parade on Saturday evening as well as the Festival of Trees which will be held Saturday, November 11th to Wednesday, November, 15th.

#15. Closed Session

Alderman Duncheon moved to go into Closed Session under Section 2(c)(5) of the Open Meetings Act to discuss Purchase of Real Property, seconded by Alderman Foster. The roll call vote being:

Ayes: Aldermen Williams, Strebing, Pickering, O'Kane, Randle, Cooper, Puhr, Nichols, Foster, Brown, Duncheon, McMahon, Stone

Nays. None

Absent: Alderman Davis

Motion Carried 13 to 0 with 1 absent. TIME: 8:49 p.m.

[Alderman Cooper left the meeting at 7:17 p.m. before Closed Session].

Alderman McMahon moved to return to Open Session, seconded by Alderman Stone. On the voice vote, all ayes, no nays, the motion so ordered. Mayor Eisenhauer called the meeting back to order at 8:57 p.m.

#15-A. Mayor Eisenhauer presented Ordinance No. 9117 waiving requirements of Section 30.07(A) of the Code and authorizing the Purchase of Certain Real Property, known as 900 N. Vermilion Street, in the amount of $120,000.00 from Speed Lube LLC, for purposes of economic development. Alderman Foster moved to dispense with the reading and asked for approval as discussed in Closed Session, seconded by Vice Mayor Brown. There being no questions or discussion, the roll call vote being:

Ayes: Aldermen Strebing, Pickering, O'Kane, Randle, Puhr, Nichols, Foster, Brown, Duncheon, McMahon, Stone, Williams

Nays: None

Absent: Aldermen Cooper, Davis

Motion carried 12 to 0 with 2 absent.

#16. Adjournment

There being no further business to discuss, the meeting was adjourned by acclamation at 8:58 p.m. following a motion by Alderman Randle and a second by Alderman Pickering.

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