Ms. Sims-Smierciak motioned to retain Mr. Monanteras as Vice-President. Seconded by Mr. Myers. Mr. Gembala motioned to close nominations. Seconded by Mr. Monanteras. Motion unanimously passed to close nominations. Motion to retain Mr. Monanteras as Vice-President unanimously passed.
Mr. Myers referenced the APV’s for tires purchased for trucks from GCR Tire Centers for over $2,000.00 and inquired if the tires were for water and sewer and also referenced the numbered vehicles #203, #213 and #414. Mr. Pharazyn stated that the 200’s are the water utility trucks and one dump truck is the responsibility of the water utility and that Larry Bustamante, the mechanic, codes his own invoices for Mr. Pharazyn’s signature and offered to verify the exact information received from Mr. Bustamante. Mr. Pharazyn further mentioned that he believed the dump truck was the vehicle belonging to the sewer.
Mr. Myers questioned the invoice from Redbud Landscaping Service for $8,310.00; Mr. Pharazyn stated about $5,000 was to fix the area that was damaged when raising the water tower by the Town Hall and the remainder of the invoice was to repair the grass in front of the Public Works Building that was infested with grubs.
The last item Mr. Myers asked about was for work done at 97th & Olcott by Metro Excavating in the amount of $5,400. Mr. Pharazyn stated that this was an emergency sanitary sewer repair done about three weeks ago. This was due to a tap right at the main that became disconnected and it filled with stone about nine feet deep.
Mr. Gembala asked if the $1,500 bill from the Marriott was for the room for the meeting. Ms. Sims-Smierciak added it was $1,800 with the two bankcards. Mr. Pharazyn replied that this is for three employees to attend the AWWA convention, registration and lodging. He added that he has nine employees that are required to receive 30 hours of training every three years to receive and retain their water licenses. Because there are not very many opportunities for training he is looking into having someone come into the building to provide ten hours of training every year.
Ms. Sims-Smierciak asked about an invoice from St. John Sports for caps. Mr. Pharazyn stated that baseball and stocking caps were purchased because the Town Council had given a directive that no longer is anybody to wear a hat with any designation logo other than that of St. John. Ms. Sims-Smierciak stated that they are not nit picking, they just want to ensure they are not paying for anything the Town should be paying for.
Mr. Hanlon motioned to approve the payment of bills #2000 - #2012 in the amount of $86,887.76 for the Sanitary District and for the Wastewater Utility #6000 - #6018 for $297,546.26. Seconded by Ms. Sims-Smierciak. Motion unanimously passed.
Mr. Monanteras inquired about the progress of SCADA. Mr. Pharazyn replied that they are 99% up and running and it is working well.
Mr. Pharazyn stated that he is getting estimates for the Forrest Avenue water main replacement project. Discussion ensued regarding the proposed capital improvement plans. Mr. Pharazyn stated that they are going to begin the final phase of the U.S. Rt. 41 project from Aspen Café south to St. John Pub. He also contacted Camp, Dresser, and McKee (did the wellhead protection plan) regarding the new well and spoke with Gordon McCrerria who will have a Scope of Work by the end of this week with a proposal. He also spoke with him regarding a 3rd well site a couple years down the road.
Mr. Monanteras mentioned that some of the procedures from the secret report regarding safe water that was done after the 911 attacks should be included since they are looking at a new water source.
Mr. Pharazyn mentioned that he will be doing his annual talks at the schools and will be getting prices for the cost of the water bottles.
Attest:
/s/ Sherry P. Sury, Clerk-Treasurer
Any and all business that may come before the Board – Ms. Sury asked if the Board would allow her to use the utility billing program to add refuse collection fees to be charged to residential customers. She stated that the Town would pay for the upgrade to the system in the amount of about $900 and plans to have the Town pay once a year for the mailing and postage so that the Board would not incur all the expenses of billing. Discussion ensued regarding the costs shared by the districts and the Town for the “Keystone” software programs. Ms. Sims-Smierciak motioned to allow the Town to add the garbage service collection fee to the water bill. Seconded by Mr. Gembala. Motion passed with a vote of 3 - 0.
Mr. Wyllie referenced an e-mail he sent to the Board members regarding an amendment that Olthof homes wanted pertaining to their Grant of Rights for both sewer and water. He stated that he spoke with Mr. Pharazyn on the phone; however, he has not had a chance to look at it. Mr. Myers stated that they would just table this item until Mr. Pharazyn can look at it. Ms. Sury questioned the acceptance of the $1,000.00 payment for the recapture agreement. Discussion ensued and it was agreed to let Olthof go ahead and pay it.
Attest:
/s/ Sherry P. Sury, Clerk-Treasurer
Mr. Wyllie stated that he heard from Mr. Muenich and he is prepared to deed the property.
Mr. Myers stated that he is going to have Steve Carter come in and provide a brief overlay of what’s going on and to ensure that his anticipations are not falling short. Discussion ensued.
Mr. Pharazyn stated that Jennifer brought him the draft version of the contract book and would like approval to advertise this project for bid so he can recommend an award at the April meeting. He also referenced his conversation with Steve Carter, the timeframe for delivery and payment to be late November. Mr. Monanteras motioned to approve the advertisement for bid on the water filters subject to Mr. Lotton’s signature on both contracts prepared by Mr. Wyllie. Seconded by Ms. Sims-Smierciak. Motion unanimously passed.
Mr. Myers asked the status of the water tower. Mr. Pharazyn reported the progress and stated that the tank will be raised on the 26th of this month and that it may be delayed a couple of days due to weather. He also said there were three things that were not done or put in that they were leaving in the water treatment project in the hopes that somebody else would pay for it. That is: #1, a sprinkler system, #2, the landscaping and #3, a backup generator; this was not put in because they knew the power would be coming from the treatment plant and the plant would have a backup generator. The district spent their million and Lotton was to spend $1.1 million, the award amount for the project was $2,039,000. He stated that he asked Jennifer to speak to Caldwell and prepare a change order for the costs associated with the installation of a very small generator for backup and to also put them in contact with one of the local landscaper’s that they use on a regular basis and prepare a change order for landscaping. He added they are responsible to put a sidewalk on that corner and will have it installed via a change order so Lotton will spend their portion. Mr. Monanteras mentioned that Mr. Lotton will spend $1.1 million and his amount is capped at that amount. Discussion ensued.
Mr. Pharazyn asked permission to purchase water bottles for his annual grade school presentation; they will cost about $3,800.00. Discussion ensued and permission for the purchase was approved.
Attest:
/s/ Sherry P. Sury, Clerk-Treasurer
Mr. Gembala asked if the annexation the Town Council is working on expands the Sanitary District. Mr. Myers stated that it does not; it is already part of the district and referenced the Tiburon and Grouse Pointe Subdivisions.
Ms. Teibel asked who the members of the Wellhead Advisory Committee are and what their responsibilities are. Mr. Pharazyn stated that he would meet with her and discuss this tomorrow.
Attest:
/s/ Sherry P. Sury, Clerk-Treasurer
Mr. Hanlon motioned to adopt Joint Ordinance #1470/WD 65 amending Ordinance #866 updating the Primary Water Connection Charges. Seconded by Mr. Monanteras. Motion passed with a vote of 4 - 0.
Attest:
/s/ Sherry P. Sury, Clerk-Treasurer
Attest:
/s/ Sherry P. Sury, Clerk-Treasurer
Attest:
/s/ Sherry P. Sury, Clerk-Treasurer
Mr. Myers stated that the second item (reimbursement for watering replacement sod, resident on Manor Drive) would be held off until the Board can discuss this with Mr. Pharazyn and will be addressed at the study session. Discussion ensued.
Ms. Sury also mentioned a new law that states fifteen days before a taxing district can approve a budget; the proposed budget must go before the Lake County Council. To meet these time constraints she would to have the public hearing on Tuesday, September 2nd and to schedule the regular meeting a week later on the 4th Monday, September 22nd to adopt the budget. The board agreed with Ms. Sury’s proposed meeting schedule.
Mr. Myers stated that Mr. Pharazyn met with Mr. Kile on Friday, gave him the whole story and copies of every piece of paper he had. Mr. Myers will try to talk to Mr. Fryzel tomorrow. Mr. Kile would like to generate an Executive Session between the Town Council and the Waterworks Board and explain what he thinks the next step should be. Mr. Monanteras cited three significant issues with Lotton: ensuring they are kept whole with the water tank, the water filtration facility, the 50/50 split on the re-engineering architectural design fees and the interceptor sewer. Mr. Myers added that there is also the issue of the water lines that Mr. Lotton will not do. Discussion ensued.
Mr. Myers stated that he spoke with Jennifer today and the revised engineering drawings will be in their hands by August 1st. Discussion ensued. Mr. Myers stated that the reason all of this has to be redone is because they agreed with Lotton and to do it his way.
Attest:
/s/ Sherry P. Sury, Clerk-Treasurer
Authorization to Director of Operations for denial of unwarranted water and/or sewer adjustment requests – Mr. Monanteras asked that in the event Mr. Pharazyn denies a request, would the “higher authority” be the Sanitary Board. Mr. Myers said it could come to them if they want; however, he believes Mr. Pharazyn should have the final say. Ms. Sury asked if that would also cover residents filling their pools before or after the summer sprinkling period. The back of the water bill states that prior to filling their pools or landscaping, to contact the Town for approval. Mr. Myers confirmed that the resident must have prior approval. If not, the credit adjustment will be denied. Mr. Monanteras motioned to give the Director of Operations authorization to deny unwarranted water and/or sewer adjustments. Mr. Gembala added that final appeal can be made to this board; his concern is potential legal action. Ms. Sims-Smierciak motioned to grant authorization for Director of Operations to approve or deny water and/or sewer adjustment requests with an appeal process to the Board if necessary. Seconded by Mr. Monanteras. Motion unanimously passed.
Mr. Monanteras stated that he wanted to share a conversation he had with Mr. Steve Carter the former financial advisor regarding a recent report Mr. Carter provided. There was a need for a 7% rate increase on the sewer side; for an average consumer of 7,000 gallons per month that translates to $2.33 per month. There would also be a need, probably in 2010, for a revenue bond of about $1.1 or $1.3M to finance the second half of LS#1. The 7% was to mitigate against the need to borrow from themselves for the Wastewater Utility. They also agreed they would need a $500.00 per permit increase for both the systems water and systems sewer development charges. And finally there is something called PILT, Payment in lieu of Taxes, it’s a way for the town to recapture, in a sense, pseudo property taxes for the net value of the utilities. Mr. Carter offered an idea: agree to the PILT, (the Town charges the District taxes of about $79,000 for one district and $89,000 for the other). The two districts send the tax payment checks to the town, the town returns the check and the amount is credited against the loan the Town owes the district.
Mr. Pharazyn mentioned the Town’s financial consultant’s recommendation on how the town can meet their operating expenses for the next two years. Discussion ensued and included the need for developers to help alleviate the cost or install the lines themselves, i.e., US 41 and #231.
Mr. Monanteras referenced a hand out prepared by Ms. Sury and stated that Lotton has a $1.1M cap and there is a $67,000 imbalance which would require them to collect the money from Lotton. Discussion ensued regarding the $1.1M cap, the penalties and landscaping. Mr. Wyllie stated that he would check the language of the contract.
Mr. Faberbock added that the tentative new schedule is August 28th to have the tank all sterilized and up and running.
Mr. Monanteras asked if the gist of the change is to build the filtration plant where the well is at. Mr. Pharazyn said there are three or four main things that they did: 1) move the water filtration plant from underneath the water tower, down the block to where the well is going to be; 2) a five or six foot basement under the building to store the backwash effluent or water and release it into the sanitary system slowly, 3) some changes were made to the outside elevation of the building and the methodology used for construction; the building almost mirrors the school that’s on site. Those are the main changes, nothing to the filters, the piping, the SCADA, nothing to the heart of the building. It would all be aesthetics, the basement and the location.
Mr. Monanteras motioned to retract the previous approval of the water treatment plans for The Gates. Seconded by Ms. Sims-Smierciak. Motion unanimously passed.
Approve revised water treatment plans for The Gates - Mr. Monanteras motioned to approve the revised water treatment plans for The Gates subject to Mr. Pharazyn’s final review. Seconded by Mr. Hanlon. Motion unanimously passed.
He added that when he returned on Monday he received a phone call from the Department of Homeland Security and from the Griffith Director of Public Works, Rick Konopasek, to ask if St. John could send some people up there. Mr. Pharazyn sent the payloader, the backhoe; two dump trucks and four workers. They spent Tuesday through Friday there. He received nothing but positive feedback from Mr. Konopasek on the performance of our workers and the equipment. Mr. Pharazyn stated that he also found out today that they qualify for reimbursement from the Department of Homeland Security for the equipment and time spent there.
Mr. Pharazyn stated that he would like to have Derwin attend the next meeting and would discuss the matter with Mr. Myers. He would like to allocate some time at the next study session to address the meter change out project. He does not know how much money he will need for new meters. Discussion ensued. The board agreed to pre-approve funding to keep the project going. Mr. Monanteras motioned to authorize Mr. Pharazyn to spend up to $30,000 on new meters. Seconded by Ms. Sims-Smierciak. Motion unanimously passed.
Attest:
/s/ Sherry P. Sury, Clerk-Treasurer
Attest:
/s/ Sherry P. Sury, Clerk-Treasurer
Close Floor for Public Comment
Close Floor for Public Comment
Attest:
/s/ Sherry P. Sury, Clerk-Treasurer
Mr. Faberbock asked Mr. Wyllie if Mr. Lotton brings forward any final plats that have not already been approved do they consider (review) that or is just the sewer and water hookups. Mr. Wyllie stated they could do the final plat process because it’s just getting the subdivision approved; it’s just when they sell a lot that they are not going to issue the permits. Mr. Myers agreed.
Mr. Pharazyn stated that they received a request for a permit today for The Gates subdivision from McFarland Homes. The Building Commissioner approached him about it and the permit was denied. Mr. Pharazyn stated that he called Mr. McFarland personally; he did have a heads up as Mr. Kil spoke with Mr. McFarland last week that this was going to take place. Mr. Pharazyn advised Mr. McFarland that they will keep those permits aside and when the issue is resolved with Mr. Lotton, they will issue the permits as soon as possible. He added that it was not the Town’s intent to cause the builder’s a hindrance but that the Town feels it has been backed into a corner and had no other choice than to take these drastic steps.
Mr. Gembala referenced the building permit process also being affected by this action. Mr. Myers stated that you could not really get a building permit without the ability to tie into water and sewer so it affects both. Mr. Pharazyn stated that he specifically asked the attorney that the town has hired from Barnes & Thornburg that question, Mr. Nick Kile, and he stated that is a legitimate position for the town to take.
Attest:
/s/ Sherry P. Sury, Clerk-Treasurer
The other resolution #SD 08-12-15A in the amount of $12,000 is a new loan for the bond payment and is needed in addition to make the payment for the sanitary bond and interest.
Ms. Sims-Smierciak motioned to authorize Mr. Wyllie to send a letter to Lotton’s bank requesting the balance of the $1.1M. Seconded by Mr. Hanlon. Discussion ensued regarding the penalties and remaining bills to be paid from the funds we receive from Lotton’s Bank. Motion passed with a vote of 5 - 0.
See above item.Mr. Monanteras stated that he and Mr. Kil also discussed a second letter where they reiterated their position regarding increases in the system development fees, a 7% rate increase for sewer and they have offered in a sense to pay themselves back through PILT. Mr. Monanteras told him they want to get those things done as well as things they worked on back in February and March, the fees for the waiver of right, the recapture fees, those things are still on the table and nothing has happened.
Mr. Pharazyn stated that the temporary well at The Gates of St. John required a variable frequency drive that would require the motor to come off and on (similar to a dimmer light switch). He found a used one through John Boender and has been renting it to us for $800.00 a month. Because it is obvious this is going to carry on through the next year Mr. Pharazyn would like to purchase the drive. He was quoted a purchase price of $9,100 which includes credit for three months of rental fees. Discussion ensued regarding the purchase of a new one for the new building, use of this unit as a back up, referencing the 70/30 split added to the cost for Lotton and the timeframe. This item will be discussed further at the January study session.
Attest:
/s/ Sherry P. Sury, Clerk-Treasurer