Trustee Hanson stated that he wanted to remove the item because of a letter received today from the IDNR. He stated that he did not get an opportunity to read it but that he did get the chance to ask Attorney Long some questions.

Attorney Long stated that the letter was received this afternoon and that it raises some technical questions regarding the way the ordinance is written. He stated that his concern is that the issues can and should be resolved so that the ordinance is fair and fully enforceable. He stated that the main thing discussed is the vagueness of the October 28, 2004 IDNR letter, which is an exhibit of the ordinance. He stated that in the 4th paragraph of the letter, the IDNR advises that they did not intend the letter to be taken as it was and that the October 28th letter was in the form of making recommendations with different alternative answers. He stated that he reviewed it again and that they might be right. He also stated that the matter should be resolved and brought to fruition before the Village gets too much further into this. He stated that he would hate to have an ordinance with two interpretations.

Trustee Larson stated that the first reading could be done and then the changes could be discussed and the changes be implemented for the second reading. Attorney Long stated that this raises some technical issues and he is not an engineer or a chemist so he is not sure if they can get good recommendations before the next Board meeting.

Trustee Larson stated that she hasn’t had the opportunity to look at the letter and asked if the IDNR sent a letter with a recommendation and now they are saying that their recommendation was incorrect. Attorney Long stated that the recommendation had several alternatives for action and by just adopting the letter it would allow for any of the possible alternatives, which doesn’t make it clear which have been required by law and which are possible alternatives. He also stated that there is a section in the letter discussing the possibility of the IDNR exercising some other jurisdictional powers and he would like to know exactly what they are talking about. He stated that he would like to find out f they are dissatisfied with the ordinance and are planning to file regulatory action.

Trustee Porch asked where Attorney Long is referring to in the letter. Trustee Pierce stated that it is on page last page, first paragraph. Trustee Pierce also read the second paragraph on page 2.

Trustee Hanson stated that he’s been hearing how the Village wants to do this correctly and he agrees that it should be done correctly and this proves his point.

On roll call, the vote was:
YES: 2: Caulfield and Hanson
NO: 4: Pierce, Larson, Porch and Turner
THE MOTION FAILED

Trustee Larson made a motion, seconded by Trustee Turner, to approve the balance of the agenda for the January 18, 2005 Board of Trustees Meeting. On roll call, the vote was:

YES: 6: Pierce, Larson, Caulfield, Porch, Hanson and Turner
NO: 0
THE MOTION CARRIED

On roll call the vote was:
YES: 5: Pierce, Larson, Porch, Hanson and Turner
NO: 0
ABSTAIN: 1: Caulfield
THE MOTION CARRIED

Trustee Caulfield stated that he abstained because he was absent for the December 20, 2004 meeting.

January 3, 2005 – Trustee Porch made a motion, seconded by Trustee Larson, to approve the minutes from the January 3, 2005 meeting with the following corrections:
• On page 5: Change Hanson to Caulfield.
• On page 6: Change Porch to Caulfield.

On roll call the vote was:
YES: 5: Larson, Caulfield, Porch, Hanson and Turner
NO: 0
PASS: 1: Pierce
THE MOTION CARRIED

Trustee Porch made a motion, seconded by Trustee Larson, to appoint Gregg Henning as co-chairman of the Redevelopment Commission. On roll call, the vote was:
YES: 6: Pierce, Larson, Caulfield, Porch, Hanson and Turner
NO: 0
THE MOTION CARRIED

Marine Corps Certificate of Appreciation – Clerk Monroe read the certificate and provided the number of toys received by the Village Hall and the Fire Department.

SBC Phone Contract – Administrator Probst explained that this is a renewal contract agreement for a 60-month time frame. He stated that the document is self-explanatory and that the back page shows the old and new rates.

Trustee Larson asked what the acronyms stand for. Administrator Probst stated that he doesn’t know how the acronyms breakdown but that it relates to the services and bands.

Mayor Maravelas asked when the deadline is to sign the contract. Trustee Hanson stated that in the contract it says the deadline is March 17, 2005 and asked Administrator Probst to look into this further.
Trustee Porch made a motion, seconded by Trustee Hanson, to table this item until the next meeting. On roll call, the vote was:
YES: 6: Pierce, Larson, Caulfield, Porch, Hanson and Turner
NO: 0
THE MOTION CARRIED

Village Board of Trustees Meeting Agenda Policy – Trustee Pierce asked that the policy be read. Administrator Probst read the policy.

Antioch Township Supervisor Letter Regarding Little Silver Lake – Clerk Monroe read the following letter:

Ladies and Gentlemen,

In regards to future development along State Hwy 173 to the west of the WalMart site, I would respectfully request that all due care should be taken to protect Little Silver Lake and all of the residents’ property around the lake in Antioch Township.

The lake is of high quality and should be protected from runoff and pollution from the new development. Even one large precipitation event that was uncontrolled could generate tremendous damage to the lake and the property adjacent to it. This would also continue downstream into the village and then the Chain of Lakes.

Many residents of the Little Silver Lake area have been there for many years. They have tried to adjust to the development around them but we cannot expect them not to live in fear of adverse changes to their lake and property.

I have confidence that you all will require the developers to adhere to all Village, Lake County, State of Illinois and Federal requirements regarding this site. We all share in a community spirit promoting the quality of life for everyone.

Respectfully,
Steve Smouse
Antioch Township Supervisor.

Mr. Frillman stated that he wants to speak out in support for the residents of Little Silver Lake and to him it is a no-brainer, since the residents are a litmus test for what is going to be done in their area. He stated that they are passionate and informed about their lake.

Jim Sheehan – Jim Sheehan of 22723 W. Silver Lake Avenue, stated that at the December 20, 2004 meeting that GLP did a presentation and he has two questions about the presentation. He stated that he is familiar with the J.F. New study but that he doesn’t remember the statement about 60% of the current runoff goes into Little Silver Lake being in the study. He also stated that currently Little Silver Lake is stressed during a rain event. He stated that he thinks everyone knows that this storm water plan is inadequate. He stated that they are township so they can’t vote for the Board members but that there is such a thing as a civic neighbor. He also stated that he has heard that a floodgate is going to be put in Sequoit Creek and that would make Little Silver Lake a detention pond. He stated that without proper storm water prevention there will be a disaster.

Ed Dominiak – Ed Dominiak, of 22553 W Silver Lake Avenue, stated that there has been a lot of lip service that people would never do anything to harm any of the lakes in this area. He stated that if they are serious then they shouldn’t vote for anything that will harm Little Silver Lake. He stated that they should take the lead and set up their own waste discharge ordinance. He stated that needs to be done before another development is allowed, otherwise there will be a separate WDO for each property approved. He also stated that SMC has come up with it but that they aren’t going to bail the Village out.

Jim Hironimus – Jim Hironimus, of 22486 IL Route 173, provided information about the orchids on his property. He stated that one of the orchids is in the line of water that is coming off of the property. He also stated that he doesn’t think the orchids should be eliminated.

Eric Roe – Eric Roe, of 22667 W. Silver Lake Avenue, asked that the following letter be entered into record:

Dear Chairman Maravelas:

With regard to the proposed re-zoning known as PZB 04-18: Great Lakes Principals – Phase 2, also referred to as the Mendard’s development, I would like to submit my opinions with this document, which I hereby request be made part of the public record of this meeting and memorialized with the meeting minutes.

My property includes lake frontage on Little Silver Lake, which I understand to be one of the cleanest lakes in Lake County. I have great concern for the future health of Little Silver Lake especially in light of my past experience with failing storm water systems that drain into the Lake that were approved the Village of Antioch in recent years. I am here tonight out of concern for the future health of this lake; knowing that many more Route 173 developments are expected to follow which will also adversely effect the lake.

With the hope of being proactive as opposed to reactive, I have attended many meetings over the past 4 years concerning developments in our watershed, first as Vice-President and later President of the Little Silver Lake Homeowner’s Association. I have also participated in many of the watershed studies undertaken with the intention of documenting the lake and impacts of development within this watershed. I have invested much of my time to the cause of seeking regulation for this lake so that my two young sons may know what a wonderful place it is and so that they may enjoy the lake while they grow up and many have enjoyed it before them.

With this in mind I would like to come to my purpose of speaking tonight. I attended most all of the GLP Phase 1 meetings and I read the available materials as provided by the developer and governmental agencies who were involved with the permitting process. When needed, I researched and verified the information and proposals provided and sought answers to questions when they arose. I thought that Great Lakes Principals storm water management proposal was ambitious but they spoke with much conviction that their plan would succeed. Members of their team claimed that storm water leaving the site would be cleaner than it was in pre-development. I seemed to me that many of us in the community were impressed with their conviction and determination to succeed; the Antioch Village Board approved the project. I believe that GLP had the best intentions to keep their site under control but after several rainstorms I discovered and photographed a substantial amount of sediment discharging off the site. It became apparent that the developer was not in control of the site, and was not in compliance with state and local water quality laws. I notified the Village and several agencies from State and County government who became involved with the project to assure the site was meeting water quality standards. A chemical process was installed at this site to control sediment and it is working very well. Water leaving the site now is very clean and results from samples taken by the Lake County Health Department have returned at nearly the TSS levels found in Little Silver Lake, which is 2.5 ml/L. The Health Department’s TSS data for this site records results from three sampling dates over the past 10 months as 49 ml/L, 3.1 ml/L and 3.0ml/L. These are very impressive results and I would like to congratulate and thank the developer for their achievement.
There was a problem at the site and they fixed it and now the water is flowing very clean indeed. If it were not I would be the first one to complain. I think they’ve done a great job on phase 1 and I believe they can achieve the same results with phase 2. I do not see any reason for change and the results from phase 1 should apply to Phase 2 also. It could be stated that a precedent has been set with phase 1 and it should apply to the second phase as well.

There has been much talk at meetings and in the newspapers about raising the TSS standards for phase 2 and some village board members have discussed 70ml/L for this site. I am here to tell you that the Illinois Environmental Protection Agency required the developer to meet the requirements for water quality and the developer has. Lake County scientists have taken water quality samples and the results are well below the numbers that are being proposed. This is a case of design by example. I do not see the need to raise the TSS standard especially when such a wonderful job has been done next door at the Wal-Mart site.

The health of Little Silver Lake is very important, as is the health of other lakes in this area. This is a Public issue and a health issue; the phase 2 project needs to be regulated. Whatever was needed to get to get to the water quality, which has been demonstrated in Phase 1, needs to be required for phase 2.

Jim Parks – Jim Parks, of 1192 Mystic Cove, stated that he has questions about the ordinance since there are discrepancies between the PZB report and the ordinance. He stated that he has heard that no work will be completed on Phase 2 until Phase 1 is complete. He stated that in section A and D of the ordinance that there is a correlation between the paragraphs that seems to substantiate it but asked that it be very clear in the ordinance that no work may be started until Phase 1 is complete.

Mr. Parks also stated that in the PZB report that there would not be any fines unless there was a failure on the part of the developer to follow best management practices. He stated that he doesn’t know what the best practices are and asked where they are defined. He suggested that they be included in the ordinance

Mr. Parks stated that he respectfully requests that there be no motion tonight and to proceed to the second reading.

Kathy Oliver – Kathy Oliver, of 22498 IL Route 173, stated that she just recently moved to Antioch and she feels that most people move to Antioch because of the lakes and land. She stated that she has been reading in the papers about the elections and one side talking about the tax base and the other side talking about keeping Antioch a quaint town. She stated that a large amount of stores does not reduce taxes. She stated that if a guarantee could be made that the taxes would not increase or even be reduced that people might feel differently. She stated that the only thing that is going to happen is traffic is going to increase and is the need for police. Ms. Oliver cited an example of an employee being hurt by a bomb.

Mayor Maravelas asked Ms. Oliver about the bomb. Ms. Oliver provided some information about the incident, including that a police report was filed.

Administrator Probst stated that this incident happened about 6 weeks ago, that it was a bottle bomb and that a police report was filed. He stated that it was an isolated issue, the individual was not seriously hurt and that the police did react to the issue.

The Antioch Village Board has followed the process of Law with reference to the GLP development on Rt. 173. It was followed before, during and after the Wal-Mart was built. GLP was told that their development would have to be in phases. The developer has built out Phase One and is now in the process of developing Phase Two. He has gone through all the proper channels for Phase Two that we now know as the Menards development. We as elected officials; both the Mayor and the Trustees have the responsibility to the people of Antioch to act on their behalf in this matter.

You, your Honor, appointed good qualified and dedicated citizens to sit on the combined planning and zoning board. After many meetings and pubic hearings with respect to both Phase One and Phase Two, these good citizens, appointed by you, unanimously recommended to approve Phase Two and submitted a favorable recommendation to the Village Board. Our Planning and Zoning staff also recommended approval with, as we all know, certain conditions and restriction. All of these conditions and restrictions have been met or exceeded by the developer and he has additionally agreed to participate financially in the Water Quality studies that will be conducted.

I applaud all of those who worked so hard for the benefit of the Village, to see that this development not only conforms to all of our regulations, but considers the concerns of the surrounding neighbors by exceeding water quality standards.

It’s time to move the process to the next level. We should follow the recommendation of staff and the zoning board and bring this zoning request to the board for a vote.

I don’t know if this request will be successful, but I personally hope that it will. I am going to vote for its approval, and I hope that the other trustees will do the same.

A positive vote will affirm what goal #3 on page 14 of the comprehensive plan text states in part, “Establish a balanced land use pattern with a variety of non-resident uses which will provide an expanded tax base to support public services and facilities and increase employment and shopping opportunities.”

Mayor, you have appointed good people to the Planning and Zoning board and I think that a negative vote would disenfranchise those who have put in so many hours listening to public testimony. A veto, as you have publicly promised in the media, would have the same result.

The developer has done what he has been asked to do, the planning and zoning board along with our excellent planning and engineering staff have done their jobs, so now let’s be positive and do the right thing for the Village of Antioch and it’s citizens.

People have spoken, committees and boards have spoken, developers have presented and our staff has evaluated, the process of law now comes down to a vote for what is right for our community.

Trustee Turner made a motion to accept the positive recommendation of the Combined Planning and Zoning Board at the conclusion of the hearing on November 11, 2004; PZB 04-18 Great Lakes Principals Phase 2 – Menards with staff and Village Board’s stipulations as stated in the original motion on December 20, 2004 with the current agreement of GLP and the Village related to TSS levels. Trustee Larson seconded the motion.

Trustee Pierce asked Engineer Fujihara and Director of Planning, Zoning and Building Silhan if Mr. Smouse’s statement about requiring the developers to adhere to Village, County, State and Federal requirements is being followed. Director Silhan stated that to his knowledge it meets all ordinances. Engineer Fujihara stated that it meets all of the ordinances that he has reviewed.

Trustee Pierce stated that there are conditions in the October 28th letter from Mr. Shank. He read from page 3, ”Therefore the Department recommends that chloride budget for this site tenants should be reduced, perhaps by 20% or more….”. He then reads from page 5, “Any consumptive use of water in the storm water basin, such as landscape irrigation or dust suppression, would reduce off-site hydrologic changes.” Also from page 5 he read, “Security and safety lighting should be designed to minimize stray light beyond the project perimeter, and should produce spectra more toward the yellow-red wavelengths than the blue.”, “…trees, shrubs, and plants known to be food hosts for the caterpillars of Sphingidae moths should be included.”, and “…If treatment of a Gypsy Moth infestation in the vicinity of Silver Lake becomes necessary, alternative treatments should be used, such as pheromone flakes, which are specific to the target species. Trustee Pierce stated that also included is “The Department strongly recommends the facility be designed and constructed to prevent off-site release of such substances through the storm water system, and that the facility’s managers have in place a workable casualty/spill management plan.”, “A TSS standard during construction, until the site is stabilized, is not an unreasonable condition, provided the standard selected is achievable and enforced.

Trustee Pierce stated that he started searching on the Internet and he could not find anywhere in the US that had construction related TSS standards. He stated that he did find a lot about post construction TSS standards. He read a piece of information he found, which was presented at the Federal Interagency Sedimentation Conference in 2001:

As an integral part of the compressive water quality investigation of the Chattooga River watershed, an ecological and sedimentological study was conducted on selected stream reaches within the study area. The objective of this study was to conduct a sediment yield study and determine if sediment was a primary cause of physical and biological impairment to streams within the watershed. As result of this study, accelerated sedimentation has been identified to be the leading determinant in loss of habitat and reduction in bedform diversity within the study area. Good correlation was observed between aquatic ecology and normalized total suspended solids (TSS) data. Based on overlaying the biological index n TSS normalized to discharge/mean discharge, TSS concentrations greater that 284 mg/l adversely affected aquatic macroinvertebrate community structure. However, based on historic regional suspended-sediment concentrations, a normalized TSS concentration of 58 mg/l or less during storm flow provides an adequate margin of safety and is protective of aquatic macroinvertebrates in the Blue Ridge physiography.

Trustee Pierce stated that this is the only thing that he could find on the EPA site about TSS. He stated that since the Village is talking about 70 during a storm and 35 on a normalized average, that this supports the decision.

Trustee Pierce stated that he would like to refer back to a comment by Mr. Sheehan; he stated that if the problem is tracked it will be traced to the school site. He stated that he Village of Antioch does not have any control over the school.

Trustee Pierce stated that a lot has been discussed about the proposed WDO. He stated that he searched the Internet and he couldn’t find anything about construction related TSS. He also stated that he has talked to engineers and communities in the area and the consensus was that they are waiting for someone else to do it first so they can see who’ll get sued first. He stated that Lake County should take the load on this.

Trustee Pierce asked Mr. Parks if when he develops sites in Antioch if he is following the requirements that are proposed. Mr. Parks stated that he does. Trustee Pierce asked if he exceeds the standards. Mr. Parks stated that he thinks so.

Trustee Porch stated that she has heard over the past month that the Board needs to listen to the residents of the Village and the Township regarding TSS and Little Silver Lake. She stated that since the last meeting the developer has agreed to change the TSS to 70 and an average of 35 during construction and 20 and an average of 10 after construction; she stated that they asked for 20 and they are getting 20, so they should be pleased with that.

Trustee Porch also stated that Director Silhan was nice enough to put together a chart, which shows that GLP is being held to a higher standard. She stated that the Village will be the first in the state with the TSS requirement. She stated that the Village is listening to the citizens that have spoken.

Mayor Maravelas asked Engineer Fujihara and Director Silhan if Wal-Mart has sewer lines. Director Silhan stated that they don’t that they have a holding tank. Mr. Fujihara agreed that Director Silhan is correct.

Mayor Maravelas asked if Menards will be given another holding tank. Director Silhan stated that they will not be given a holding tank. Mayor Maravelas stated that construction cannot be started. Director Silhan stated that construction, on Phase 2, cannot start until Phase 1 has been completed. Mayor Maravelas asked Director Silhan if he is sure. Director Silhan stated that is a part of the Planning and Zoning Board’s recommendation.

Trustee Pierce stated that he remembers asking time and time again in executive session about the status of the sewer easements. He stated that he heard that it takes time and that people want too much money. He stated that the developer has done what they were supposed to do and that he is surprised that the developer isn’t charging the Village for the delay in putting in the sewer. He also stated that he is concerned with the quality of representation that the Village has received since the easements haven’t been obtained.

Trustee Hanson stated that his concern is the rush. He also stated that this is not the first time that the Village has gotten themselves in this position. He stated that the Village is not guaranteed that the easements will be obtained. He stated as a result Wal-Mart could be on a holding tank for two months, six months or a year, depending on what happens with the easements. Trustee Hanson stated that his point all along has been that if work can’t start until Phase 1 is done, then why does this need to be approved now? He stated that in the past the Village couldn’t be selective with businesses because they needed businesses, but now the Village can be more selective.

Trustee Hanson stated that the Village tends to create agreements without everything in place. He stated that agreements are great to have but the Village always tends to be on the losing side of agreements, when they are challenged.
Trustee Hanson stated that he will vote “No” because of his concerns.

Trustee Caulfield asked when Phase 1 is expected to be completed. Mayor Maravelas stated that Attorney Long has some information on the Hironimus easement.

Attorney Long stated that with the Mayor’s intervention they were able to make some headway with the last piece of the puzzle. He stated that there are a number of properties that have to be developed. He stated that when the water easements were extended in 1999 only; if water and sewer easements had been procured then the Village would not have needed to go through the second round of condemnations. He stated that the condemnations had already started by the time he started working with the Village. He stated that all but one of the parcels has been obtained.

Kathy Oliver, from the audience, stated that is not correct. She stated that the Village has not obtained an easement for her property.

Attorney Long stated that he was told that an agreement had been reached in principal for her property. He stated nevertheless, the problem in dealing with this is that a lot of people have been involved. He stated that a half a million dollars would never have needed to be spent had the water and sewer been done at the same time. He stated that they have been stuck with a legacy from something missed in the past, which happens way too often around here. He also stated that he gets tired of it because it comes back to haunt him and make it look like he hasn’t done his job.

Attorney Long stated that headway has been made in dealing with Mr. Hironimus and that he’ll talk to the condemnation counsel to determine the situation for the Oliver property. He stated that the Village does not have quick take power and if they did then this would have been resolved 2 years ago. He stated that the Village only has ordinary eminent domain powers, which means that the easement can’t be forced through until a final judgment is entered. He stated that means that if Mr. Hironimus or the Oliver’s decide to hold it put that they could be stuck for another year or two.

Attorney Long stated that he has been doing everything he can to bring it to fruition.

Trustee Caulfield stated that he was just trying to get an estimate of time. Attorney Long stated that it could be next week or it could be 2006 and that it will most likely be some date in-between.
Trustee Caulfield stated that in light of the information about the easements, the IDNR concerns and the manner in which this was first brought to vote, he will vote “No”.

On roll call, the vote was:
YES: 4: Pierce, Larson, Porch and Turner
NO: 2: Caulfield and Hanson
THE MOTION CARRIED

Mayor Maravelas stated that he will veto this decision at the next Board meeting.

PZB 04-18 Ordinance – Trustee Turner asked Attorney Long to read the ordinance, which Attorney Long read.

Trustee Turner made a motion to approve the ordinance. Attorney Long stated that the motion is out of order. Trustee Turner rescinded the motion.

Trustee Turner questioned when Mayor Maravelas will veto the vote and read from the state statutes regarding veto protocol. She stated that the recommendation could not be vetoed since it does not have to do with the expenditure of funds. She stated she could understand vetoing the ordinance, but not the PZB recommendation.

Trustee Porch asked when the veto will occur. Trustee Turner stated that it has to be the meeting following the passage of the ordinance. Mayor Maravelas stated she is correct.

Trustee Larson stated she would like to instruct the Clerk to have the second reading of the ordinance on the next Board Meeting agenda.

Trustee Porch stated that currently the amount of chloride allowed is 5500 lbs and that the IDNR letter recommends reducing that amount by 20%. She stated that she suggests reducing the amount by 30%, so that the Village is exceeding the IDNR’s expectations. She also reiterated that the chloride can only be used on sidewalks.

Attorney Long asked if Trustee Porch wants to clarify what type of chloride, since it impacts he calculation. Trustee Porch asked Director Silhan to respond.

Director Silhan stated that the question was if there needs to a distinction between sodium chloride and calcium chloride.

Trustee Pierce stated that the answer is calcium chloride.

Trustee Porch stated that section 6 of the ordinance refers to section 1-3-1 and asked if section 1-3-1 was revised in the future if it would apply to this ordinance. Attorney Long stated that it would.

Trustee Pierce suggested some changes to section 5 (B) and provided a copy of the changes to Attorney Long.

Trustee Caulfield asked from a practical standpoint how anyone will keep track of the amount of chloride used by the merchants. Trustee Porch stated that is why she recommended that it be eliminated altogether, but staff wanted to allow it for safety reasons.

Trustee Caulfield asked about section 5 (J) (2), he stated that the language seems vague and unenforceable. Engineer Fujihara stated that going out of the lagoon there are weirs and that basically any oils floating on top will be held back and can be cleaned up. Trustee Caulfield stated that this is based on the fact that the capacity won’t exceed and run over. Engineer Fujihara stated he is correct that the detention is based on a 100-year storm and if it was more than that it could run over.

Trustee Caulfield asked for an explanation of the penalty discussed in section 6. Attorney Long stated that it could be $50.00 to $750.00 per day. Trustee Caulfield stated that it could be as minor as $50.00 a day.

Mayor Maravelas asked Engineer Fujihara if it will be a two-compartment grease trap. Engineer Fujihara stated that it could be a one compartment and that it will only be as good as its maintenance.

Trustee Larson asked Mr. Sheehan if he has asked the Township to eliminate their salt usage. Mr. Sheehan stated that he thinks that they use gravel and that the current levels in the lake show that whatever they are using isn’t impacting the lake.

Trustee Pierce asked that the penalty section to be changed to direct any fines to SMC with the condition that they set up a fund for restoration of Little Silver Lake.

Trustee Pierce asked if Trustee Caulfield and the Mayor were questioning the grease and oils section or asking for them to be removed. Mayor Maravelas stated he was just questioning it.

Trustee Caulfield stated that there is some time that will pass before Phase 2 can begin and asked what part of the ordinance benefits the Village and residents by passing it so expeditiously. He stated that he sees a benefit to the developer but not the Village.

Trustee Turner stated that she believes that the majority of the Village residents want the development and that it will create a tax base, which will help the Village as a whole, pay the bills. She stated that the Village needs the money and that the Village needs to start moving forward.

Trustee Caulfield stated that he appreciates her bringing this up because it helps him share a point related to the money issue. He stated that there is no question that this development will take place, so he would argue the need for the revenue from the development since there will not be any dollars coming in until after it’s completed and it can’t be started until after Phase 1 is complete.

There was discussion about mistakes made in past developments and the different opinions on whether this development will have mistakes made if it is hurried.

The Board recessed at 9:13 pm and reconvened at 9:23 pm.

Business License – Trustee Porch stated that Economic Development Director Liebson is researching how other communities handle business licenses and that there will be more information at a future meeting.

Trustee Caulfield asked what prompted the research. Trustee Porch responded that staff prompted the research. Trustee Caulfield questioned Trustee Porch’s response. Trustee Porch stated that staff thought that when licenses are required should be reviewed.

885 Civic Club Carnival – Trustee Porch stated that a letter was received from the 885 Civic Club regarding their annual carnival. She stated that the carnival will be May 5, 2005 through May 8, 2005 and that they are requesting that it be held on the Orchard Street Extension.

Trustee Turner asked when the street was closed when the Chamber held its event on Orchard Street. Trustee Porch stated that the event was Thursday through Sunday and that the street closure was approved for Tuesday evening at 7:00 pm.

Trustee Turner made a motion to approve the request with closing the road on the Tuesday before the Carnival, at 7:00 pm. Trustee Pierce seconded the motion.

James Cole, of 285 Chestnut Street, stated that as long as Public Safety Inspector Shannon is in attendance that they should ask his opinion, as to whether or not that is enough time.

Inspector Shannon stated that he would ask that the vote be postponed and that this issue be brought to the Public Safety Committee so that it can be discussed.

Trustee Pierce amended his second and Trustee Turner amended her motion to table this item.

Trustee Hanson suggested having a Committee of the Whole meeting since this has such a large impact.

Trustee Larson asked Margaret Cole, a Civic 885 Club member, when the contract has to be finalized by for the carnival. Ms. Cole stated that the approval of the location has to get to the carnival company as soon as possible so that posters can be printed.

Trustee Porch suggested making a motion to approve the carnival dates and location and approve the date for the closure of the road at the next Board meeting, after the committee meeting has been held.

Trustee Pierce withdrew his second and Trustee Turner withdrew her motion.

Trustee Porch made a motion to allow the 885 Civic Club Carnival to be held on May 5, 2005 through May 8, 2005 on the Orchard Street Extension with the date of the street closure to be determined at a later time. Trustee Turner seconded the motion.

Trustee Caulfield stated that he thinks that they are back to the same motion that was made before all of the discussion. He stated that he will be forced to vote “No”.

Trustee Pierce suggested that Trustee Caulfield should abstain instead of voting “No” since his sister owns a store impacted by the street closure.

Trustee Caulfield stated that his sister does own the store but that he does not have a financial interest in the store. He stated that his concern is for all of the merchants, since they are all impacted as well as the safety concerns of closing the road.
There was discussion about the possible date for the meeting.

On roll call, the vote was:
YES: 5: Pierce, Larson, Porch, Hanson and Turner
NO: 1: Caulfield
THE MOTION CARRIED

Other Business – Trustee Caulfield asked about a meeting that will be held on the 20th at 8:00 am. Trustee Porch stated that it is the monthly Merchant meeting, which is held the 3rd Thursday of every month.

Investment of Dolly Spiering Fund Request – Trustee Caulfield stated that at the last Finance Committee meeting Finance Director Steele brought to the committee’s attention a request from the Senior Advisory Board regarding investments. He stated that rather than having the committee make the decision; he felt that the full Board should make the decision.

Trustee Caulfield made a motion to authorize the investment of the Dolly Spiering funds as presented. Trustee Pierce seconded the motion.

Trustee Pierce stated that he was curious about who asked this to be done without approval of the full Board.

Trustee Caulfield stated that it would be normal policy to allow this type of transaction to occur without coming before the full board. He stated that a policy relating to investment decisions will be discussed later this evening. Trustee Caulfield stated that Director Steele stated that in her past experiences this type of decision would not need to go before the full Board. He stated that given the history of the Dolly Spiering account, he and Trustee Hanson thought it would be best to have the decision made by the full Board.

On roll call, the vote was:
YES: 6: Pierce, Larson, Caulfield, Porch, Hanson and Turner
NO: 0
THE MOTION CARRIED

Invoices over $10,000 – Trustee Caulfield made a motion, seconded by Trustee Hanson, to authorize a payment to Carmichael Construction, in the amount of $64,808.55 for the Senior Center construction, a payment to Ford Credit, in the amount of $22,268.90 for the final lease payments on 3 2003 squad cars, a payment to Smith Engineering, in the amount of $22,613.25 for Clublands Phase 3 West construction observation and a payment to Smith Engineering, in the amount of $10,126.97 for the 2002Village Sewer Rehab construction observation, totaling $119,817.67.

Trustee Pierce stated that about $32,000.00 of the total amount was escrow money.

Trustee Porch thanked Director Steele for indicating which payments are from escrow.

On roll call, the vote was:
YES: 6: Pierce, Larson, Caulfield, Porch, Hanson and Turner
NO: 0
THE MOTION CARRIED

Accounts Payable – Trustee Caulfield made a motion to approve the accounts payable, date January 17, 2005, in the amount of $126,856.48, as prepared by Village staff. Trustee Pierce seconded the motion.

On roll call, the vote was:
YES: 6: Pierce, Larson, Caulfield, Porch, Hanson and Turner
NO: 0
THE MOTION CARRIED

Manual Checks – Trustee Caulfield made a motion to approve manual checks written to date in the amount of $113,671.01. Trustee Hanson seconded the motion.

Trustee Porch asked about leaving the amount blank for the check that was voided. Director Steele stated that she asked for the negative to be added but because the voided check was replaced, it would have misrepresented the amount.

On roll call, the vote was:
YES: 6: Pierce, Larson, Caulfield, Porch, Hanson and Turner
NO: 0
THE MOTION CARRIED

Payroll – Trustee Caulfield made a motion to approve payroll in the amount of $191,659.32 for December 31, 2004. Trustee Hanson seconded the motion. On roll call, the vote was:
YES: 6: Pierce, Larson, Caulfield, Porch, Hanson and Turner
NO: 0
THE MOTION CARRIED

Escrow Invoices – Trustee Caulfield stated that the escrow in the amount of $46,876.59 is informational.

Trustee Porch asked if all of the escrow balances are positive. Director Steele stated that some accounts are in the negative but that the fund as a whole is positive.

Trustee Porch asked Director Steele to explain. Director Steele explained that there are several different projects and some of the projects might not be done but that they haven’t been refunded to the developer yet.

Trustee Porch asked if it is fair to use developer A’s money to pay developer B’s expense. Director Steele stated that it is true that it is not fair.

Trustee Porch asked if they are required to keep a positive balance and if permits are held if they don’t keep the balance positive. Director Steele stated that she could follow up on the process and report back.

Trustee Porch asked Director Silhan how this has been handled in the past. Director Silhan stated that if there were records then they would hold a permit, but that the records weren’t’ always there.

Trustee Turner asked if it is legal to developer B’s money to pay an expense for developer A. Attorney Long stated that he didn’t realize that was exactly what was being done and that they will have to work on that process.

Request to Issue an Investment Services Request for Proposal – Trustee Caulfield made a motion to approve the request for a Request for Proposal (RFP) for Investment Services. Trustee Porch seconded the motion.

Trustee Caulfield read from the memo provided by Director Steele regarding this request:

The purpose of this memo is to recommend that the Mayor and Board of Trustees approve the staff’s request to issue a request for proposals for investment services. In addition, two items are provided for the Boards review and discussion: an authorized depository ordinance and an investment policy.

Trustee Caulfield stated that there are two documents attached, which will come before the Board later. He stated that if anyone would like to discuss these then he would be willing add the documents to a Finance Committee meeting.

Trustee Pierce stated that he thinks it’s a good idea to go out for bid but that he is concerned about the investment services in relation to the bid. He stated that the reason that this is being done is due to a shortfall in the SSAs.

Attorney Long stated that the missing piece is that there is a section of the ordinance that required that the money be invested promptly and it wasn’t, which is where the shortfall comes from. Trustee Pierce stated so the Village didn’t invest it promptly. Attorney Long stated that is correct but the consultants didn’t bring it to the Village’s attention either. Trustee Pierce stated that the consultants set the SSAs up and are paid to manage the SSAs.

Attorney Long stated that the point is that the money needs to be invested at this time.

Director Steele stated that Cole Taylor is the trustee named in the SSA ordinances and when the bonds were sold they got the money. She stated that they put the money in very low interest rate accounts because when they were established there was communication to the prior administrator but a response was never received. She also stated that since the money has been in low interest accounts they haven’t earned the level of interest that was originally anticipated. She stated that there is a reserve but the recommendation is to not use the reserve but to invest the money and ask for an advance. She stated that in the RFP she asks for a second opinion.

Trustee Pierce asked what would happen if the Village doesn’t get an advance or use the reserve. Director Steele stated that it couldn’t happen, that the money would have to be pulled from the reserve.

Trustee Pierce asked if there could be a possible impact on the homeowners. Director Steele stated that there could be. She also stated that the higher the interest rate the less the homeowners may have to pay.

Trustee Pierce also stated that he would like to get a copy of the letter that was sent regarding investment of the funds. Director Steele stated that she did not have a copy but that she would ask Cole Taylor for a copy.

On roll call, the vote was:
YES: 6: Pierce, Larson, Caulfield, Porch, Hanson and Turner
NO: 0
THE MOTION CARRIED

Financial Status Clarification – Trustee Caulfield stated that the Finance Committee has the sense that residents and some Trustees have an uneasy feeling about the Village’s finances. He stated that he wanted to provide some solid, factual information about the finances. He stated that the Administrator and the Finance Director put together a memo. Trustee Caulfield read the memo:

From recent discussions, it appears there are some misconceptions regarding Village finances. There is no spending freeze that has been enacted. Department Directors have been repeatedly reminded that they can spend budgeted funds on routine operations but should check with the Finance Director to ensure current cash balances will support immediate major expenditures.

The reason for this is not that the Village is financially strapped and there is insufficient income to cover necessary expenditure. The reasons for a relatively conservative approach to spending are twofold.

First, old records are unreliable and the process of updating records, installing a new financial software system, and the current ongoing audit justifies caution in expending large sums.

Second, and most pertinent, is that the Village does not have a General Fund Reserve. A municipality of Antioch’s size should have a General Fund Reserve of approximately six month’s operating expenses at a minimum; that being approximately $2.5 million. While we have eliminated the cash deficit we identified at the end of 2003 but there has been no opportunity to establish a General Fund Reserve.

When a municipality holds a General Fund Reserve of at least 6 months operating expenses and, in reality, we should have a long-term goal of $4 million in General Fund Reserve, Department Directors can bring major expenditure requests to the Village Board for approval as soon as the annual budget is passed. The General Fund Reserve can be used to cover those expenditures until the current year’s revenues are received. When there is no General Fund Reserve, major expenditures must wait until sufficient revenues are received to ensure that expenditure can be made without creating a cash deficit that may adversely affect the Village’s ability to make payroll and cover routine operating expenses. Because our primary revenues, such as shared State revenues, property taxes, and sales taxes, are received in increments, some monthly, some quarterly, we do not have the revenues to cover all budged items for a fiscal year at the beginning of that year and have to wait until sufficient revenues are received. The situation is not unlike managing one’s own checkbook where you have to wait until your next paycheck to pay some bills.

Once we establish an adequate General Fund Reserve and our records have been updated and verified, the caution with spending on budgeted expenditures will not longer be necessary. Even before we are able to fully fund an adequate General Fund Reserve, we hope to be able to project at which points in the fiscal year where we can make major expenditures. This requires a Cash Flow Analysis, which we are currently conducting, the installation of the new financial software, which is scheduled to begin later this month, and the completion of the current audit, which is being conducted at this time. In summary, there is no spending freeze in place; the Village is not in financial distress; and there is a plan in place, which is being implemented to correct all of the systemic deficiencies, provide clear monthly reports, and ensure a smooth flow of revenues and expenditures.

Hopefully this serves to clarify our financial situation.

Trustee Caulfield thanked Administrator Probst for the memo and stated that it is important to clarify the situation since a lot of people have questions and this did a nice job of addressing them.

Trustee Caulfield stated that the FY 02/03 and the FY 03/04 audits are expected to be competed by the end of February.

Trustee Pierce stated that he is a little concerned about the memo from Administrator Probst and that it can all be summed up with the line stating that “…an adequate General Fund Reserve…. that the caution with spending budgeted money wont’ be necessary”. Trustee Pierce stated that he hopes that caution is always used when spending money. Trustee Hanson stated that what Administrator Probst meant is that they can feel comfortable purchasing budgeted items.

Trustee Larson stated that she has heard that two fire department checks have bounced and asked if it is true. Director Steele stated yes and that it was not the Village’s responsibility. She stated that this is a result of the new Check 21 process that banks are utilizing. She explained the under the Check 21 process that banks are able to check into another account and see if money is available. When the firemen went to their own banks with the Village check, their bank electronically checked the Village’s account balance. The Village does not keep money in the account because the Village has a sweep arrangement with our bank, which means that the bank sweeps the correct amount of money into the account to cover checks. Since the other bank had not yet presented the checks to our bank, the money hadn’t been swept into the account to cover the checks. This is s a processing problem that the banking institutions need to work. She also explained that a new process has been worked out with payroll processing company to ensure this never happens again. The new process is called one check. The one check process involves sending one payment for the payroll liability to the payroll processor. The payroll processor has Check 21 compliant technology to ensure that the Village does not the vulnerability to check fraud.

Mr. Hartnett provided an update on the Sewer I&I process. He stated that the project consisted of the sewer rehab and the sewer relining and that they projects were completed in November of 2004. He provided some figures of the work done on the project. He also stated that they might be hearing that he results of the work are not good, but that some of that is due to the addition of new subdivisions.

Mr. Hartnett stated that the total cost of the job was less expansive that what was projected and as a result they have some recommendations for the remaining funds to help continue monitoring the sewers.

Mayor Maravelas thanked Mr. Hartnett and Smith Engineering for their hard work on this project.

Trustee Pierce asked if it was the Attorney General or EPA mandated. Mr. Hartnett stated that it was the IEPA that was driving it.

Trustee Hanson asked what the next steps are. Administrator Probst stated that since this is a continuation of the project he would think that with the consensus of the Board that would be the okay to proceed. Attorney Long stated that he agrees.

Trustee Pierce asked that being placed on a future agenda for approval.

Back Hoe Recommendation – Trustee Hanson made a motion to approve the recommendation to approve the Back Hoe. Trustee Caulfield seconded the motion.

Trustee Caulfield referenced the memo from the Finance Director regarding funding to for this piece of equipment.

Trustee Porch stated that she did not receive the memo and even though she was not in attendance at the meeting that she would like to receive the memos since she is a committee member.

Trustee Caulfield read from the memo:

Recently we discussed, at a Finance Committee, the options of financing the proposed purchases of a backhoe and a truck, each approximately $70,000. The purpose of this memo is to present some financing options for consideration.

The first option is to purchase these large pieces of equipment with cash. After reviewing the financial trends for the Village to date, it appears that the Village will have an excess of $250,000 of general operational revenues over operational expenses this fiscal year. Without a functional general ledger accounting system, it is difficult to firmly establish the data; however, the projection is based on the best information that is available with our current computing resources. It is based on the spending patterns and revenue trends experienced by the Village for the first eight months of the fiscal year, plus the approved and anticipated auditing, Village computer hardware, and financial software expenditures. It also includes approximately $100,000 of the planned reserve for fund balance, which was included in the budget.

Another option is to smooth the impact on the Village treasury by financing these major expenses…

Trustee Caulfield stated that the remainder of the memo goes on to discuss alternate financing options. He stated that his reason for reading this was to point out the identification of an excess of $250,000.00 of general operation revenues over operation expenses.

Trustee Hanson stated that he asked Director Steele to put this together since at the last meeting there was question about having enough money. He stated that he didn’t want to make the recommendation to purchase if there wasn’t enough money.

Trustee Caulfield stated that he left off a portion of the memo that is important, which he then read:

Finance Staff concurs with the Public Works staff in regards to the urgency of acquiring the equipment needed to meet the Village’s street and road maintenance responsibilities. Finance staff recommends the use of financing to spread the fiscal cost over part of the useful life of the equipment.

Trustee Porch asked Director Steele about the funding through the State. Trustee Hanson stated that the Village does have the money but that he would like to get this approved and have Director Steele work on the financing.

Director Steele provided some information about the possible financing through the State.

Trustee Porch asked if the excess of $250,000.00 is in the Public Works budget or in the Village as a whole. Director Steele stated that it is based on the basic operations of the Village. Trustee Porch stated that $250,000.00 isn’t very much surplus, especially when over $150,000.00 is being requested tonight.

Trustee Hanson stated that he recommends approving the purchase and Director Steele can come back with financing options. Trustee Larson asked it can be approved pending approval of a finance plan.

Trustee Turner asked why it can’t wait. Trustee Hanson stated that the money is there.

Trustee Larson stated that her concern is that the Village really doesn’t have the money.

After more discussion about whether or not the Village can afford to spend the money, Trustee Hanson called the question. Trustee Pierce seconded the motion.

On roll call, the vote was:
YES: 6: Pierce, Larson, Caulfield, Porch, Hanson and Turner
NO: 0
THE MOTION CARRIED

Trustee Caulfield amended his second and Trustee Hanson amended his motion to take Director Steele’s recommendation to finance the purchase of the piece of equipment.

On roll call, the vote was:
YES: 6: Pierce, Larson, Caulfield, Porch, Hanson and Turner
NO: 0
THE MOTION CARRIED

Dump Truck Recommendation – Trustee Hanson stated that he will discuss this recommendation at a future meeting.

Trustee Porch stated that she would like to see Director Steele provide information about financing for the Dump Truck.

Trustee Larson stated that she sees that park impact fees were still collected after this issue was identified, in July*. She stated that fees were collected after the committee meeting in December and they were still collected. She also stated that she would like to know where the money is or if it has been used.

Trustee Larson stated that she feels the Board needs to make a decision on a payback plan.

Attorney Long stated that a memo was handed out today with the fees as of December 31, 2004 and that the total park fund is $983,692.00 and that the amount owed to Neumann is $658,054. He stated that there is a discrepancy of about $6,000.00 between the Village figure and Neumann’s figure.

Trustee Larson asked why the money continued to be collected after it was first identified. Attorney Long sated that in September it was identified that there was a discrepancy between the park impact fees and the charges for townhouse. He stated that it took a few months to resolve the issue. He also stated that back in early December that number was thought to be only around $300,000.00.

Trustee Larson stated that the figures provided tonight don’t match with her figures and asked for a breakdown of the figures provided. Attorney Long stated that Permits Coordinator Olsen would provide a breakdown for everyone.

Camp Fire USA Request – Trustee Larson made a motion to approve the Camp Fire USA request to sell candy from February 1, 2005 – February 28, 2005. Trustee Hanson seconded the motion.

On roll call, the vote was:
YES: 6: Pierce, Larson, Caulfield, Porch, Hanson and Turner
NO: 0
THE MOTION CARRIED

Raffle License – Trustee Larson made a motion to issue a raffle license to Joint Village/Township Park, waiving the time span and the fee. Trustee Turner seconded the motion. On roll call, the vote was:
YES: 6: Pierce, Larson, Caulfield, Porch, Hanson and Turner
NO: 0
THE MOTION CARRIED

Resolution 05-01 – Attorney Long read the resolution. Trustee Larson made a motion, seconded by Trustee Hanson, to approve resolution 05-01, entitled Easter Parade Resolution. On roll call, the vote was:
YES: 6: Pierce, Larson, Caulfield, Porch, Hanson and Turner
NO: 0
THE MOTION CARRIED

Liquor License – Trustee Larson made a motion to issue a liquor license to St Peters Las Vegas Nights, for January 29, 2005 waiving fee. Trustee Hanson seconded the motion. On roll call, the vote was:
YES: 6: Pierce, Larson, Caulfield, Porch, Hanson and Turner
NO: 0
THE MOTION CARRIED

Trustee Larson made a motion to issue a liquor license to Antioch Junior Women’s Club, for March 5, 2005 waiving fee. Trustee Turner seconded the motion. On roll call, the vote was:
YES: 6: Pierce, Larson, Caulfield, Porch, Hanson and Turner
NO: 0
THE MOTION CARRIED

Other Business – Trustee Larson stated that Lake Villa is involved in a Tsunami Relief effort with some other communities and asked if Antioch is going to be doing anything.

Mayor Maravelas stated that the Lake Villa Mayor contacted him to see if Antioch was interested in participating. Mayor Maravelas stated that he informed the Mayor of Lake Villa that Antioch has other issues to resolve and that the thought it would be best to take care of the Village first.

Trustee Larson asked that he respectfully reconsider since the Trustees would like to be involved in that decision.

Trustee Porch asked Clerk Monroe to gather information on the effort to pass along to the Trustees.

Trustee Hanson asked if this was in the budget. Engineer Fujihara stated that it was not a line item but that there are funds for it.

On roll call, the vote was:
YES: 6: Pierce, Larson, Caulfield, Porch, Hanson and Turner
NO: 0
THE MOTION CARRIED

Road Salt Task Force – Trustee Pierce stated that one of the items identified at the meeting was the amount of road salt that is going into all of the Lakes. He suggested that the Mayor put together a committee made up of Staff, Trustees and representatives from the County.

Transportation Needs Letter for Route 173 – Trustee Pierce stated that he asked Senior Planner Sakas to put this letter together since Antioch is often forgotten when it comes to the highways. Trustee Pierce asked that a copy of the letter be provided to each of the newspapers.

Senior Center Update – Trustee Pierce asked that everyone read through the report from Smith Engineering about the Senior Center.

Other Business – Trustee Pierce stated that an Engineering and Senior Services Committee Meeting will be held on Monday, January 24, 2005 at 7:00 pm. He invited all to attend and asked Director Liebson to notify the newspapers.

Trustee Larson asked that bicycles be added to the section regarding the skate park, since they are allowed at the skate park.

Trustee Hanson suggested changing roller blade to inline skating since roller blade is a brand of skate.

Trustee Porch asked about pets in parks. Parks Director Stahl stated that they are allowed in some of the parks.

There was lengthy discussion in relation to smoking in the parks.

Trustee Larson stated that this was on the agenda for discussion and that action would be taken at the next meeting.

Resolution 05-02 – Attorney Long read the resolution. Trustee Pierce made a motion, seconded by Trustee Porch, to approve resolution 05-02, entitled A Requiring Clerk’s Certification of Accuracy of Internet Agenda Posting. On roll call, the vote was:
YES: 6: Pierce, Larson, Caulfield, Porch, Hanson and Turner
NO: 0
THE MOTION CARRIED