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HomeMy WebLinkAbout0757_001MINUTE, COMMITTEE OF THE WHOLE SEPTEMBER 22, 1987 L ROLL CALL The meeting was called to order at 7:31 p.m. Present at the meeting were: Mayor Carolyn Krause, Trustees Ralph Arthur, Gerald Farley and George Van Geem. Absent from the meeting were: Trustees Leo Floros, Norma Murauskis and Theodore 'Wattenberg. Also present at the meeting were: Village Manager John Fulton Dixon, Assistant to the Village Manager Michael Janonis, Director of Planning and Zoning Steve Park, Director of Finance David Jepson, Jack Pettigrew of Trkla, Pettigrew, Allen and Payne andthe members of the TIP' Ad Hoc Committee. Also present were two persons from the print media. II. MINUTES The Minutes of the Committee of the Whole meeting of September 8, 1987 were accepted and filed. III. CITIZENS To BE HEARD There being no citizens present who wished to address the Board on any item not on the Agenda,, the Committee moved on to the next item of business. IV. T'ARGET AREA A - TAX INCREMENT FINANCING Mayer Carolyn H. Krause reviewed with those present at the meeting a general overview of the process of designating portions of the central business area as Tax Increment Financing Districts. The Mayor also reviewed the work of the Ad Hoc Committee appointed to study alternate development proposals for Target Area A. Paul Hoefert, Chairman of the TIP` Ad Hoc Citizens' Committee, presented the Committee's final report and asked that the Trustees take into account eight major parameters that the Committee felt was important in choosing a suitable for development Target Are These r eters included:(1)Design and � g ual ty; (2) T'r,aff,c, (3) Height,* 4) Owner***Occupted, housing* (5) Landscaping; (6) Density; (7) Parking and (8) Financial stability and experience of the developer. Director of Planning and Zoning Stephen Park reviewed with Committee members Stephen the activities of his staff in providing support and research for the Ad Hoc Citizens' Committee. This work included the, hiring of a Traffic Consultant and a Certified Land Appraiser to determine the impact of increased traffic * in the neighborhood and to get an idea of the impact on property values vis-a-vls differ ng types of developments. Mr. Park Indicated that, he and his, sta ff ,was looking for direction from the Board to proceed with whatever type, of development the Board desired and to set some parameters for the sale of the property,* Jack Petigrewt of Trkla, Pettigrew, Allen and Payne, reviewed with the Board the timetable for beginning the design and construction phase of the project. Mr. Pettigrew indicated that the major goal of this phase of the development was the signing of a final development agreement and a contract of sale. He estimated this process would take from four to six months. This would hopefully allow for spring construction. There was general discussion among Board members: Mayor Krause indicated that the Ad Hoc Committee had, been "in, con: tact with ass,d approximately 15 developers and had also met on severaI occ ,,i,s no, to dicuss esign, and," financial consi'derations as well as taking a field tri"P, to view model, developlo", meets. Mayor Krause indicated that staff had been responsible for checking on the financial background of each of the developers. The Mayor then briefly reviewed W#, ng co i J� 'Ith Committee members the three types of develop bei nsidered* 4' na,mely, condom, , imiums, apart,ments or townhornes. The Mayor asked tha':t the Board, give direction to the staff so that they could begin the next phase of development. Trustee Ralph Arthur complimented the Ad Hoc Committee on their work and indicated that he supported the plan for townhomes,* While this particular development would not generate the requisite amount of tax increment, the shortfall was manageable and this type of development was conducive to the neighborhood. Trustee Arthur also expressed concern that the Village receive the purchase price of the land upfront and felt that the Village should be very firm on a price for the land. Trustee George Van Geem stated that he was pleased with the progress in Target Area A; namely, the removal of the dilapidated buildings on the site. Trustee Van Geern indicated that his concern was not only for the type of development and its impact on the neighborhoods but also on the possibility of revitalizing the central business district through an increase in the number of people closely situated to it.. Trustee Van Geem 'Indicated that he supported the condominium development because it would, in his estimation, bring more people into the downtown area. Mayor Carolyn Krause *Indicated that she supported the townhorne development because it was compatible with the existing neighborhood and was very high quality. Mayor Krause *Indicated that upon review of all proposals, it was readily apparent that the townhome developer was far and, away, the best proposalo She also *Indicated that the financial background of the townhouse developer was excellent* Aft, 2 Trustee Gerald Farley indicated that he was undecided as to which of the developments was preferable. Instead, Trustee Farley proposed that there be a head-to-head competition among developers in each of the different categories,, Through this competition, Trustee Farley felt that the best development would emerge. Upon Trustee Farley's request, Finance Director David Jepson briefly reviewed with the Committee the financial implications of each of the proposed developments. Mr Jepson indicated that the apartment development would produce sufficient Increment in and of itself to meet the needs of debt service for Target Area, A, whim -le, townhouses and condominiums were approximately $50,000-$60,000 short on an annual basis However, r Jepson indicated that if the townhouse development was chosen, it would be possible to meet the debt service requirements of the District with a net increase of 1.5 gents to the Tax late over a 23 --year period. Mayor Krause indicated that the estimated $100,000 shortfall over the life of the 10 project was not an insurmountable amount and that future Boards would not have a problem with funding that deficit. It was the Mayor's contention that it was possible that townhouses may even produce a surplus and that future TIF developments would also contribute to an increases increment. Trustee Farley indicated that he felt philosophically that each Target Area, should stand on its own ,and felt that his concept of multiple negotiations would result in a self-sufficient project. Ad Hoc: committee Chairman Paul Hoefert{ pointed out that once the old Public Works facility was added to the tax roles the additional resulting increment could cover the shortfall. He also indicated that the Ad Hoc Committee preferred to see the townhouse development pursued. Trustee Van Geem indicated that he felt townhouse development would not provide the "shot in the arm" that the central business district needed to remain viable. There was general discussion with citizens indicating their preference for the townhome development. Further discussion among Committee members resulted in no +consensus. The Mayor polled the individual members of the Committee and the result was: Townhouses -- Trustee Arthur, Mayor Carolyn Krause Condominiums - Trustee Van Geem Undecided - Trustee Farley The Mayor indicated that she would send a memo out to the Committee members and poll the Board for direction which would be passed along to the staff. 3 Village Manaerer John Fulton Dixon indicated that the Village had issued "'0 approximately 145,000 in emergency flood loans. VIII-sANY OTHER BUSINESS There being no other business before the Committee, the Committee moved on to the next item of business* IX* ADJOURNMENT There being no other business to be conducted by the Committee of the Whole, the meeting was adjourned at 9:56 p.m. MEJ/rcw Respectf ully sub mittedy MICHAEL E. JANONI. Assistant to the Village Manager *"0 4 - Village of Mount Prospect Mount Prospect, Illinois INTEROFFICE MEMORANDUM TO John Fulton Dixon, Village Manager FROM I: David C. Jepson, Director of Finance RE: Purchase of Word Processing Equipment and Personal Computers DATE: October 9, 1987 Two areas that were addressed in the English Computer Study in 1986 that have not been implemented are word processing and micro computers, or as they are commonly called personal computers (PC's). The study recommended that when the Village's existing word processing equipment needed replacement, it should be replaced with personal computers. The reason for the recommendation is because a PC provides all the functionp of a dedicated word processor as well as other computer capabilities at a lower cost. The recommendation regarding micro computers was that they could be utilized more effectively in a number of different Village departments than using the Village's System 36 computer,, The Village currently has ten Exxon word processors which are used only for word processing. These units were purchased in 1983 and 1984 and have served the Village well. However, Exxon no longer makes this equipment and maintenance has been a problem. During the 86/87 fiscal year a total of $2,181.15 was expended for service calls for an average of $218 per machine. Through September of the 87/88 fiscal year (5 months) we have expended $3,730.25 for ani average, of $373. We have four units which seem to have repeated problems and in my opinion should be replaced. Some of the components can be used on the remaining machines, however, it is only a matter of time before all the units will need replacement. In the personal computer -area,, a supplemental report was prepared early in 1987 which showed the various applications for PC's. The areas with the greatest potential were Code Enforcement,, Planning and Zoning, Police and Engineering. The Police Department subsequently obtained some equipment to interface with the PIMS System, I believe the other areas mentioned could make good use of PC' s as soon as they could be obtained . Funds for replacement of word processing equipment and purchase of PC's were included in the bond issue that was sold on June 1, 1987. A total of $150,000 was included for this purpose. The funds were tentatively allocated as follows: System 36 Computer $65,000 System 36 Software $20r000 Word Processors and PC's $65,000 At the present time approximately $5,000 has been expended for the Police equipment, leaving a balance of $60,000 for word processing equipment and PC's. Since the supplemental report in January, 1987, we have had specific requests from Code Enforcement and Fire Administration for PC's as well as the four word processors that should be replaced. Additionally, I think one PC should be purchased for the Manager's Office and one additional PC should be added to the Police Administration area. Following is a list of the equipment that is being considered: Village Manager 1 PC Planning & Zoning 1 Word Processing Replacement Clerk's Office 2 Word Processing Replacements Code Enforcement 1 PC Police Administration 1 PC 1 Word Processing Replacement Fire Administration 1 PC Currently we are anticipating purchasing IBM System/2 personal computers for use as word processors and personal computers, The cost ranges between $3,000 and $3,500 per unit depending on the features and software included. This equipment is included on the State of Illinois joint -purchasing contract which provides very favorable prices. It is my recommendation that we request the Village Board to waive the bidding procedures and authorize the Village Manager to purchase the equipment listed above at State contract prices or the lowest quotes that can be obtained. These purchases would probably be made over the next three months. Additionally, it would be advantageous if the Village Board would authorize the use of the existing funds from the bond issue to replace the remaining six word processors as needed over the next six to twelve months and to purchase other PC's as justified, Specifically, the request should be to waive bidding procedures for purchasing word processing equipment and personal computers over the next twelve months at an amount not to exceed $60,000, *avid C. Jepson Director of Finance l a a of, Mount Prospect Mount Prospect, Illinois 111 14 m7f, 4 PYI INTFROFFICE MEMORANDUM T 0 Village Manager FROM: Director Public Works DATE : September 21 , 1987 SUBJECT: Central Road Improvement - Rand to Wolf For several years our long range plans have included widening Central Road to four lanes between Wolf and Rand. There are several factors influencing this plan, one being that St. Emily's Church midway between the two major intersections is on a section of a two lane road and not only is there heavy traffic for church functions but there is also a school connected with this parish, Further, in the near future the Village of Mount Prospect and the City of Des Plaines are scheduled to take -jurisdictional transfer of Wolf Road between Rand and Euclid after the State widens it from its current two lane status to four lanes. Long range projections show that the continued development of the Opus Industrial Park would be the impetus needed for widening of the roads to improve traffic flow, and the short bottleneck be- tween Rand and Wolf we feel should be addressed in a very positive manner. I have had preliminary discussions with the City of Des Plaines Engineering Division and they had indicated a willingness to participate in the cost as part of the area that borders their community. The State of Illinois has suggested that they would pick up most of the cost of the improvements if Mount Prospect would agree to jurisdictional transfer upon completion. At the current time a Phase I study would be a full environmental impact document that must be undertaken in order 'to stay on the priority list with the Northwest Municipal Conference. We had originally estimated $80,000 for the Phase I study of which our share would have been $24,000 if we paid the full 30/10 after the government paying the remaining 701/yO. If we decide to accept jur- isdictional transfer the State will pick up half of the 30% and our cost will be $12,000 less any negotiated share with the City of Des Plaines, If we are willing to proceed with this project we should ,elect three to four consultants and ask for RFP I s on the Phase I Intergovernmental Impact Study. We would also need to send a letter to the State of Illinois requesting their participation in this cost and probably commit ourselves to a jurisdictional transfer. 1 \ / .1 -Imf ^ 1,/ age cf,M'cunt Prospect Mount Prospect, Illinois INTEROFFICE MEMORANDUM I' TOO Village Manager FROM: Deputy Director Public Works DATE: October 7, 1987 SUBJ: Prospect Meadows Sanitary District Dissolution and Final Sewer System Evaluation Survey (SSES) Back in the early part of 1985, we were, notified by 'the, Prospect Meadows Sanitary District that they wereproceedi'ng w ith dissolu.,, tion of their District. This was in, li,ne with the provisions of Sectio,n 447.1 of C'hapter 42 of the 1,11-inois Revised Statutes. Our atfor n,ey's interpretatilon of thi,S statute, is �that sshould the Sanitary D11strict's terr,!-itory be entirely contained -within the Corporate limlts: of Mount Prospect, we have no choice but to assume transfer of all associated assets, personal property and responsibility of the sewer system* On November 25, 1986, the District's attorneyt Mr. Edward J. Bradley Jr. forwarded to the Village the following signed documents: 10 Two assignments 2*1 Two assignments of easement 3* Two indemnification assignments 4* Three Bills of Sale 5o Financial Statement for May 31t 1985 64� A check from Prospect Meadows Sanitary District to the Village of Mount Prospect in the amount of $16,915.06. Execution of these documents was put on holdpending results of the Sewer System Evaluation Survey (SSES) authorized by the Village Board in January of 1986. This contract was with Donohue & Associates for the sum of $32tOOO. At the time we were notified of the District's dissolution the District was under violation by the MSD* for failure to comply with 'their "Show Cause" hearing for extraneous, flows. In order to appease the MSD the Village passed a Resolution choosing the ICAP a-Iternative for the Prospect MeadowsSen,itary District. This was done in conjunction with the Village`sICAP' Resolution. Since that time Donohue, &I Associates completed 'the, SES Interim Report and three copies were submitted to the MSD as required by the ICAP alternative in February of 19,87. Like the Village's Interim SSES Report, the Prospect Meadows Report had identified all sources of Infiltration/Inflow(I/I), but did not include data from flow monitorinaA, The cast-AffPPf1VA SM anal developed, wevers, d�etermined -at the, MSDIs cos,t, to� transp�ort e,nd treat the excess was $3.8,2 p�er gallon per da,y B (gpd). ased on this, ana,lysis it was cost effecti"Ne to repair all those defects; that have a, unit, cost, Jess than the $3.82/gpd, This equated to a total rehabilitation program of $66,4,,,435. The flow, monitoring program conducted this past summer was to determJL,ne current I/I levels wit ,thln the D.1sricts sanitary sewer system and to update the rep a' ir cost-effective analysis based on those flows, The flow monitoring, revealed an 1/1 flow rate of' 1065 gallons per, capitaper day, (g�pcpd)t which far exceeds the 150 gpcpd MSD stand' ardt and a new transport an,d treatment unit cost of $2. s0/ 0p he reduced uni,t cost is due to a, higher Population equivalent used and lower 1/1, flow rates compared 'to the estimated ones used in the Interim Report., ,, Per the terms of the ICAP alternat0ive we are required to repair all defect repair unit costs which are lower than the new MSD transportation and treatment unit, cost shown in Appendix "C', of the attached Final SSES Report. Donohue, esti,mates, these repairs to cost an estimated $612'v,210, (${66v510-Publict $45,9010 -Private), which includes engineering and conti,ngency fees. Once the, repairs, are ma,de the I/I 'flow r,ate would be reduced to 572.gpcpd. This 'is still morthan the 1,50 gpcpd MSD standard, but under the W ICAP alternative it would bring the District into compliance and ,set their standard at 572" gpc,pd,, Another requirement of the ICA P alternative, J*.s that plans and specificati,ons, for public sector work be subm,itted to the, MSC....no, lat,er than January 1, 1988t and construction work to begin no later thanJul,y 1, 1988., A, program pl,an 'for correction of private sector I/I sources should be developed no later than January, 1,, 1988. Donohue estimates that the design engineering portion of the rehab work would cost between $50,000 and $55,000, The Village Board is now faced with two decisions: 10 Authorize the Mayor to sign all those documents related to the dissolution of the Prospect Meadows Sanitary District, 2. Should the Village absorb the costs of the rehab program or should they be passed on to those residents within the Prospect Meadows Sanitary District. Earlier this year we received notice from the Illinois EPA that there may ay be funds available through Governor Thorn son's "Build Illinois" program. However, in August we were notified that the General Assembly had failed to i)ass legislation expanding the funding for "Build Illinois" a*nd' that it would be solely our respons,lbility to fund this project, -3- I request that this report be presented to the Mayor and Board of Trustees at their October 13th Committee of the Whole meeting and request permission to submit this final SSSS Report to the MBD for their review and approval. Also, during the MSD' s review time the Village Board will need to authorize the design engineering that must to be completed prior to January 1, 1988 and construction work to be started by July 1, 1988. e -nR, A,n 1e Deputy Director Public works I concur with this recommendation: u0 He'rberT L. eeks Director Public Works GPA/J cc Herbert L. Weeks Jerry McIntosh Village' of, Mount Prospect Mount Prospect, Illinois INTEROFFICE MEMORANDUM TO: Village Manager FROM: Deputy Director Public Works DATE: October 7, 1987 SUBJECT: MSD Sewer Summit Agreement Final Sewer System Evaluation Survey (SSSS) In November of 1986 Donohue & Associates was retained by the Village to prepare an Interim SSSS Report for submittal to the MSD by January of 1987. The essence of this report was to take the original 1979 SSSS report and update it to 1986 MSD standards and costs for transportation and treatment of effluent. This report was incomplete in that 'it did not include figures from flow monitoring of our sanitary sewer system. The flow monitor- ing was completed this past Summer and Donohue has now incorpor- ated those figures into their final SSES report (see attached). Before summarizing Donohue's findings, I feel it necessary to briefly outline the specifics of the 1979 SSSS report and the Sewer Summit Agreement, The original SSSS report included a survey of our entire separate sanitary sewer system to identify sources of infiltra- tion/inflow (I/I) of storm water into the sanitary sewer system. This report was submitted to both the MSD and the Illinois EPA back in 1979. The MSD required this report as a means to satisfy our "Show Cause Hearing Case #407511 of extraneous flows. In the case of the Illinois EPA their review of the report was necessary to obtain our Step 2 and 3 Sewer Rehabilitation Grants for design and repairs. In 1979 the MSD' s position was that all sources of I/I identi- fied must be removed from the sanitary sewer system in order to meet a 100 gallons per capita per day (gpcpd) flow rate* On the other hand the Illinois EPA would only fund the removal of those sources of I/I that were cost-effective to repa-.1r. T h i was based on the analysis of whether it was cheaper to repair the source of I/I or transport and treat it. In 1986 the Village completed a $1.2 million Sewer Rehabilitation Project repairing those items that were approved by the Illinois EPA and identified as cost-effective to repair in the 1979 SSSS Report. The final phase of this project was "Certification", . . . L.. 4 . 1.41 ; --% a a J-% I a A ift A ; i ^^ n -r-, immmml inn nf�hniao Qpnf innq n -2 - sanitary sewer system . This certification process was required by the Illinois EPA to document the performance and workmanship of the project. It also served as our means of determining whether or not we are now in compliance with the MSD standards. Over the past several years a number of communit ies have complet- ed Step 3 construction projects and have been unable to meet the MSD's gpcpd. As a result of this the Northwest Municipal Conference initiated negotiations with the MSD to try and get them to change their standards. The outcome of these negotia- tions resulted in the following new standards: is Average daily wet weather flows shall not exceed 150 gpcpd, are, 2. The "I/I Corrective Action Program (ICAP)11 alterna- tive. This alternative represented the incremental correction of excessive I/I removal from a cost- effective analysis* Because the ICAP alternative allows for more flexibility the Village adopted a Resolution in February of 1986 choosing the ICAP alternative for our Sewer Rehabilitation Project. As a requirement of the ICAP alternative, the Village was required to submit an Interim SSSS Report by January, 1987. This report was to contain the revised list of sources of I/I that remained to be corrected after removing those items repaired under our Step 3 Grant and by factoring in the MSD I s new trans- portation and treatment costs. Donahue completed this report and copies were submitted to the MSD in February 1987. 10, The cost-effective analysis developed in Donohue's Interim Report determined that the new unit cost to transport and treat excess I/I was $4.77 per gallon per day (gpd) based an MSD guidelines. Using this unit cost and per the terms of the ICAP alternative we would have to repair all those defects and sources of 1/1 having a unit rehabilitation cost of less than $4.77 gpd. This meant an additional Sewer Rehabilitation program at a cost of $99692460 A major portion of this cost was represented by 642 improper sump pump connections at a cost to repair of $642,000, Disconnection of these sump pumps is currently under way as part of our Building Inspection Program. To date 608 of these sumo pumps C have been disconnected. The remaining 34 have been sent reminder notices and will be disconnected shortly* In order to aid us during the Flow Monitoring Program and help reduce our remaining repair costs, Public Works personnel repaired some defects identified in the Interim Report, such as so replacing manhole covers and manhole sealing, using budgeted sewer maintenance funds. No other repairs were made pending the outcome of the final report. The Flow Monitoring Program conducted this past Summer was to determine current I/I levels within the Village's sanitary sewer system and to develop a new defect repair cost-effective analysis based on the new MSD standa-rds'. The flow monitoring revealed an I/I flow rate of' 544 ga,lions per capita per day (gpcpd), which far exceeds the 150 gpcpd MSD standard, and a new trans ort, and treatment unit,, cost of $3.27 gpd. This compares to an I/I flow rate of 235 gpcpd and a unit cost o f $ 1 . 62 gpd that was contained in the 1979 report. During the original SSSS (1979), no flow projections were required and, therefore, the I/I presented in the 1979 report was much less than -identified in Donohue's final report. It is also reasonable to believe that some additional I/I has developed since the 1977 'investigations due to natural deterioration and growth of the sanitary sewer system. Regarding the MSD's cost of transporting and treating excess clear water at the O'Hara facility, MSD's cost,s, have doubled since 1979 ($1.62 gpd to $3.27 gpd) . As a result, of' this, many I/I -defects have become cost- effective to repair that were not determined cost-effective in the 1979 report. Per the terms of the ICAP alternative we are required to repair are Ur% all defect repair unit costs wh,]*L,,c'h lower than the new MSD transportation and treatment unit cost shown in Appendix I'D" of the Final SSSS Report. Donohue estimates these repairs to cost an estimated $2739012 ($198,820 -Public, $74p192 -private), which includes engineering and contingency fees. After these repairs our I/I flow rate would be reduced to 432 gpcpd. This is still more than the 150 gpcpd MSD standard, but under the ICAP alterna- tive it would bring us into compliance and set our standard at 432 gpcpd,, 4Another requirement of the ICAP alternative is that plans and specifications for public sector work be submitted to the MSD no later than January 1, 1988, and construction work to begin no later than July 1, 1988. A program plan for correction of private sector I/I sources should be developed no later than January 1, 1988. Donohue estimates that the design engineering portion of the rehab work would cost between $17,000 and $20,000. At this point it is my recommendation that Donohuel.F.-I, final SSSS Report be presented to the Mayor and Board of Trustees at the October 13th Committee of the Whole meeting, and if approved submitit to the MSD. Once they approve the report we should secure a consultant to prepare the plans and specifications for . 4. submittal to the MSD by January 11 1988. We had budgeted $80,000 for the flow monitor contract, but due to an abbreviated flow monitoring period it is estimated to be a maximum expenditure of $52,000. The remaining funds would then be available to cover the cost of design engineering. Funds for the constructions costs would have to be discussed during next year's budget hearings. e Earlier this year I checked into the availability of funding through the proposed expansion of Governor Thompson's "Build Illinois" project . At that time I was told that those agencies who had already received any type of grant would not be eligible for funds. Also, just this past August we received notice that the General Assembly had failed to pass legislation expanding the funding for "Build Illinois". Deputy Director Public Works GRA/j I concur with this recommendationt ------ . ... Herber L. W—eeks Dir'ector Public Works cc: H. L. Weeks Jerry McIntosh EXECUTIVE SUMMARY I'ILLAGE OF MOUNT PROSPECT This summary was developed to provide an overview of the various activities which have been undertaken' by the Village of Mount Prospect in their continued efforts to re " duce the quantity o f infiltration a n d inflow (i.a�entering their r se crate sanitary sewer system. This first program began in 1977 with the initiation of a sewer system evaluation survey (SsEs) which consisted of the follawing investigations: flow monitoring,ma inspections, Whale inspections, smoke testing, dye water flooding, and internal . '� rnal sewer television inspection. During the flow monitoring program, several meters experienced surcharged conditions during the recorded rainfall events* These conditions revealed that the r re was a significant I/I problem existing within the Village's g system and no precise Flow monitoring data was obtained. However, a peak I`/= rate of 3.625 mgd was determined from those defects' • identified during system investigations. Data collected throughout the study was evaluated and photographs and field observations of defects were used to estimate flows. From the SSES results, a rehabilitation program was developed including those defects which were- cost-effective to repair. A rehabilitation program was covered under the Step 3 grant funding program which included rehabilitation • �.on constructx.on in the public sector. This program had an I/I reduction goal of approximately 1.56 mgd after defect re . were effectiveness ra�:es wel a cons.i.de.i. ad, as required and rei. current �" MSDGC guidelines. Actual. Y/ I reduction may be more than 1.56 m . g`d . Construction on o f corrective work was completed in '1986o Inaddition, the Village rehabilita- tionoboth privateand public i `signifi- cant undertaken ! " Village removal ! approximately 630 sump pumps throughan extensive disconnectionprogram, Village • also replaced + additional manhole • ! reducesealed 68 manhole frame/ adjusting ring interfaces which will or eliminate inflow entering sources, entire in-whouseprogram conducted by Village has ! an estimated1,787 w i of A flow monitoring program was conducted in May and June of 1987 to determine current I/I levels within the Village's system, as required * r ` defect " ! • effective analysis based on new guidelines set forth in the MSDGC Memorandum dated December 5, 1986* Under these new guidelines, Ot is 1 required rrecorded flow ratesbe projected durationreflect I/I associated with a 3 year recurrence interval storm event of 2 hour ! projection 12.10 mgd of I/I. During the original SSES (1979) no such flow projection was required, and therefore, the I/I presented in the r • Report than identified our current flow monitoring program, " a ! r ! to believe r some additional I/I has developed since the 1977 investigations, from natural deterioration and growth of the sanitary sewer system. Although the I/ I peak flow rates appear to -have increased over the years, the village has in fact, made significant progress in reducing both infiltration and inflow in the private and public sectors. During the recent flow monitoring program no signifi- cant surcharging was experienced and overflows of the separate sanitary sewers have been eliminated. Based upon the current 1/1 flow rate, a new cost-effective analy-- :� i s was performed to determine �..� further rehabilitation is needed within the Villa`. � - �All defect repair unit costs which are lower than the current Nis DGC trans • portation and treatment unit cost, have been included i , � an additional rehabilitation program, The program must be undertaken• by the Village to conform to the requirements of the• Ms DGC CAP (1/1 Correct �.ve Action Program) program, This new cast --effective analysis y has determined that an addi- tional rehabilitation program be undertaken by the Village at an estimated cost of $273,012,whi • ch lriC�,.11des engineering and contingencies fees. A 2 0an ear �. Y' planning period was used for the cast analysis, therefore, the rehabilitation . t�.r�n program includes the costs incurred for those defects that' • will l requ.�re repair more than once over a 20 yeareriod. For r example, sealing a manhole frame has an expected service life of 10 years and would require repair twi EXECUTIVE SUMMARY Investigations od- District in 1985 and 1986 to butinginfiltrationand o sewer system, In addition, conducted in May d June o flow rate* ll• within Prospect Meadows Sanitary identify existing defects contri- (I f I) to the separate sanitary a flow monitoring program was 987 to determine the current I/I Flow monitoring was conducted according to the guidelines set forth in the MDCC Memorandum dated December 5, 1.986. A peak f low rate associated with the occurrence' of a 3 year recurrence interval storm was determined to be 874,100 gpd. With a popula- tion equivalent of 821 PE for prospect Meadows sanitary District, 4 it appears that there are a great deal of problems existing within their system. with no previous rehabilitation construction being conducted prier to flow monitoring, the high flow rates can be justified. However, the high cast of transporting and treating the excess clearwater resulted inmost of the defeats identified as being cast -effective to repair. All defeat repair casts, method of repair, repair efficiency, expected service lives and, transpor- tation and treatment costs have been determined in accordance with current MSDGC guidelines. i Based upon the results of the cast -effective analysis conducted as part of the sewer system evaluation survey SSES) , a. rehabili- tation program has been developed for Prospect Meadows that � Would cast an estimated $612,120 and remove an anticipated 32l► 865 gp d �" of excess I/I. The cost includes engineering and contingency ncy fees. It is required that plans and specifications for e p h public sector work be submitted to the MSDGC no later than January 1. 1988, and construction of corrective Werk to begin no later than July 1, 1988. A program plan for correction �` p n o f private sector I/I sources should be developed no later than January 1, 1988* N IS M I N U T E S Sept saber 23, 1987 W 1NEVIU-10�T'll � V1 P ke 1:1111 The regular meeting of the Mount Prospect Business District Development and Redevelop- ment Coamission was held on Wednesday, September 23, 1987. The meeting was called to order at 7:35 p.m. by Chairman Predovicb, Members of the Commission present: Irvana Wilks, Earl Johnson, Merrill Cotten, and Chairman Predovich, Absent were Commissioners McLean, Janisch and Keljik, Also present was Jack Pettigrew, Consultant, Louie Velasco of the Village Plan Commission and Kenneth Fritz, Econcmic Development Director. The minutes of the September 9 meeting were approved as submitted on a motion by Earl Johnson, seconded by irvana Wilks. The motion passed unanimously, OLD BUS INESS Tax Increment Finance District No. Target Area A NO ON NO Ch ml air an Pr ich gave a recap --- o the m ers of the Comission regarding the dis- cussion at the Committee of the Whole meeting. He indicated that many residents from the -immediate area were in attendance at the meeting and supported a less dense townhouse development for the Target Area site,, B.D.D.R.C. had gone on record earlier as endorsing the concept presented by Rescorp which contained 131 apartment units. Mr. Predovicb indicated that the Village Board would be considering action to designate a developer with which to further define a development concept in the future, It was anticipated that such action would be taken at the October 6 Village Board meeting. After some discussion, the Comiss ion passed a motion which stated "based on infor- mation on hand at this time, B.D.D.R.C. reaffirms the previous recommendation for T,I,,F,, Target Area A indicating that the area. should 'be developed with 131 rental unit§," The motion was passed, unanimously made, by Irvana Wilks and seconded by Earl Johnson. The reasons cited for, this, mot,"Iton were as follows., 1. Other proposals- that had been submitted are not concrete enough to change the minds of the Commissioners at this time. 2. That the 130 plus rental units produces the greatest incrementO 3. The 130 plus rental units offers more opportunities for people to live downtown and support downtown businesses, Business District Development and Redevelopment Commission Minutes - September 23, 1987 Page Two Expansion of T.I.F. Redevel. "I"It Area Mt Jac']k Pett, grew,, Consultant wi, Tr la, Pettigrew, Allen and Payne was present to discuss with the Criss loners the steps that will be necessary to either expand or create a new T.I.F. District. The area of concentration as discussed by Chairman Predovich with the Mayor, would focus on the Public Works garage site. Commissioners discussed with r. Pettigrew the process and general timetable needed to meet the State Statute requirements for an amended PUD District. The subject of the roll of the 0, Commission, the staff, consultant, and Village Board was discussed. ,it was felt that the strate gy, for the, process to create or expand the develommen't wa,s critical and should be done with the utmost care. It was recognized that the taxing bodies need to be drawn into the discussion at the earliest appropriate time., The Commissioners will be meetiong on a regular basis to outline the steps in this process, ADJOURNME2ff The meeting was adjourned at 9:50 p.m. on a motion by Merrill Cotten, seconded by Earl 0 Johnson. The wtion passed unan,imously, Kenneth Ho, Ftitzlt Economic Development Diect village of Mt.,,,nt Prospect Mount Prospect, Illinois INTEROFFICE MEMORANDUM TO: John Fulton Dixo.i, Village Manager FROM: David C. Jepson, Finance Director DATE: October 9, 1987 SUBJECT: Real Estate Tax Stamp Procedure I have been working on the forms and procedures for implementing ,the Real Estate Transfer Tax and the Food and Beverage Tax which both are effective November 1, 1987. One mailing has gone out to the 'retailers who will be collecting the Food and Beverage Tax and an additional mailing of material will be made prior to November 1, 1987. We have ordered the Real Estate Transfer stamps and expect to have an informational mailing before the end of next week* 4 One of the methods of selling the tax stamps used by some of the mu'nici- palities is to make them available at certain other locations other than the Village Hall. I have contacted Petersen and Haupt and they are willing to sell the stamps for us in Chicago. Additionally, I have contacted Golden Title Company in Mount Prospect and they would be willing to sell the stamps for us. In any case where someone other than the Village is acting as our agent for selling the stamps they would follow the same procedures as Village personnel and would be responsible, for the value and -the, stamps they held. I think it would be an advantage to the Village and helpful for those involved i,n the real estate closings to have other locations where the stamps are available. I am requesting the authority to continue working out details with Petersen and Haupt and Golden Title Company for them to act as agents for the Village to sell Real 'estate .Transfer Tax Stamps. M Mount Prospect, Illinois INTEROFFICE MEMORANDUM TO: John Fulton Dixon, Village Manager FROM: David C. Jepson, Finance Director DATE: October 9, 1987 SUBJECT: Flood Loan Program A total of 54 loan applications for the Village's Flood Loan Program have been processed with total loans amounting to $359,000. All loan requests were granted and all loans are scheduled to be disbursed by Saturday, October 10, 1987. The loan applicants were made up of 53 homeowners and one apartment resident. A summary of the number of loans and the amount of loans granted is included on the attached schedule. In order to qualify for a loan, the applicants were required to submit a credit application, a statement of the flood damages sustained and how the proceeds of the loan would be used. Additionally, an application fee of $40.00 to cover the cost of a credit report was required. When the applica- tions were received, they were reviewed for completeness and then submitted to the Mount Prospect State Bank for a credit report. After the credit report was obtained, a Note, Mortgage and Truth- In-Lendi ng Disclosure Form were pre- pared along with a Village check for the loan amount. Generally the loans were processed in 3 to 4 working days but in several cases, applications which were received on Thursday and Friday were processed and the loan amount disbursed on Saturday of the same week. We have all been made aware of the destruction caused by the flood, but a review of the statements of flood damage on the applications brings home the personal devastation suffered by Village residents. Application after appli- cation told of the complete loss of items that had been collected over a lifetime, some of which can never be replaced. The loans are being used to repair structural damage and replacement and/or repair of furnaces, appliances, furniture, carpeting and many other items of personal property. A summary of the statements indicated that approximately $210,000 will be used for structural repairs and $149,000 for appliances, furniture, carpeting and personal items. In administering this program, a special attempt has been made to advertise the loans and :to accommodate the loan applicants. Three ads were pl aced i n the Mount Prospect Herald and notices were included on all water bills mailed during the month of September. Village Personnel have been available each Saturday in September, the first two Saturdays of October and during evening I John Fulton Dixon Page 2 1987 Flood Loan Program hours when necessary. Sylvia McElderry, a secretary in the Finance Depart- ment, deserves special mention. She has typed most of the documents, contacted the applicants to set up appointments and helped with the closings. Is Barbara Dyon has prepared the special checks and other Finance employees provided assistance when necessary. I should also mention that Steve Markovits and John Beresheim of Mount Prospect State Bank have provided invaluable assistance. Mr. Markovits and Mr. Beresheim helped to establish the parameters of the program and Mr. Beresheim personally reviewed each application. Mr. Markovits made a commitment on behalf of the bank at the inception of the program to lend whatever funds the Village would need for this program. Also, Mount Prospect State Bank provided all the necessary forms, credit reports, amortization schedules and payment booklets. In regard to a plan for financing the loan program, it is my recommendation that we borrow approximately 50% of the total amount of the loans and that we finance the balance from available Village funds. I put together a number of possible financing plans and discussed the advantages and disadvantages with the Village Manager. Our conclusion is that the most advantageous plan included a $175,000 bank loan @ 9% for five years and an advance of $184,000 of Village funds. The Village advance would be paid back over 10 years and would include interest @ 8%. This plan provides a reasonable return on Village funds and flexibility if loans are paid up ahead of schedule. Additionally, it provides approximately $6,000 for loss and costs. The net effect of the financing plan is that the on-going cost to the Village should be limited to administrative time and any interest earnings on the Village advance that would be lost if market investment rates exceed 8% in the future. A summary of scheduled receipts and expenditures is included on the attached schedule previously mentioned.. During the past week I contacted both the Mount Prospect State Bank (MPSB) and First National Bank of Mount Prospect (FNB) regarding borrowing the required funds. MPSB quoted 9% and FNB initially quoted 9j%. However, FNB subsequently lowered their rate to 9%. Because of the limited amount of funds to be borrowed, I do not think it would be practical to borrow a portion from each bank. Accordingly, because of the excellent cooperation we have received from MPSB in this program, it is my recommendation that we borrow the $175,000 from MPSB. It should be pointed out that the bank loan will not be a traditional municipal loan which is exempt from Federal income tax. Because of the nature of this loan, it will be a taxable municipal loan. With the current prime rate at 911. the rate quoted is a very good rate. John Fulton Page 3 1987 Flood Dixon Loan Program The steps that still need to be completed include filing the mortgages for the 53 homeowner loans with the County Recorder and esi tablishing nternal collection procedures. (Finance personnel will collect the loans to help keep costs to a minimum). Additionally, we will need an Ordinance authori- zing the loan with MPSB. I am requesting that the Ordinance be presented and adopted at the October 20, 1987 Board Meeting so the loan can be effective November 1, 1987. Also, I believe we should adopt an Ordinance authorizing the Flood Loan Program itself. These two Ordinances will be available for the October 20, 1987 Board Meeting, Further, one additional applicant qualified for a CDBG 0% interest loan and has submitted an application for that program. The funds have not been disbursed at this time but it is expected that a $15,000 loan will begranted from CDBG funds. % Finally, all' of the l'o,an, rec'I'pltints were thankful for the help that they re - 9 cei'ved and many asked me, to express their appreciation to the Village Board. I beIieve , * t 1 1 s worth repeat,ing a portion of an editorial which appeared in 'the, Mount Prospect Herald on August, 210, 1987. The editorial stated: "Instead of whining about the flood, Mount Prospect's elected officials figured a way to help people quickly without costing the Village bundles of money. The Trustees didn't diddle around waiting for the Federal government to bail out flood victims in the Village. Instead, they dealt with a once-in-a-lifetime event creatively, humanely, and quickly..." The Village's Flood Loan Program has been unique, and I believe the results justify the courage and foresight of the Village Board in authorizing this program. FIN"17111! Enc Village of Mount Prospect Flood Loan Program Loans Granted and Financing Plan Loans Granted: Number Term Tut Am 1 18 months $ 2,500 4 24 months 8,000 6 36 months 28,500 3 48 months 12,600 19 60 months 134,400 1 72 months 4,9000 20 120 months 169,000 54 $359,000 Financing Plan. Receipts: Flood Loan Payments Expenditures: Bank Loan @ 9%. 5yrs. Village Advance @ 8%9 10 yrs. Totals Amount Available for Loss and Costs Pring �a I $3599000 Interest Total $132s886 $4915886 $175,000 $ 42,963 $217,963 184,000. 83,892 267,892 $3599000 $1269855 $4859855 $ c 6,031 6 31