I’m unable to attend the council meeting this evening, but will report the highlights (or, more likely, lowlights) later tonight.

UPDATE: I recorded the meeting tonight (many thanks to WCBU 89.9 FM for faithfully broadcasting the meetings all these years), so now I’m going to play it back and comment on it as though it were live under each agenda item as follows:

PETITIONS, REMONSTRANCES & COMMUNICATIONS – CITY OF PEORIA

ITEM NO. 1 CONSIDERATION OF CONSENT AGENDA ITEMS BY OMNIBUS VOTE, for the City of Peoria, with Recommendations as Outlined:

A. NOTICE of LAWSUIT Filed on Behalf of JACK H. WINEINGER Regarding a Car-Pedestrian Accident on May 14, 2010, with Recommendation to Receive for Information and Refer to the Legal Department.

B. Communication from the City Manager and Director of Public Works Requesting Approval of the LOWEST RESPONSIVE BID of HOROWITZ CONCRETE COMPANY and Award a CONTRACT, in the Amount of $300,000.00 Based on Unit Pricing, from the Base Bid of $249,859.20, for the SAFER NEIGHBORHOOD SIDEWALK PROGRAM 2011 CONTRACT and the JEFFERSON and KUMPF PROJECT.

C. Communication from the City Manager Requesting the City Council to Direct Staff to COMMENCE the PROCESS to EXPAND the CITY OF PEORIA ENTERPRISE ZONE for PROPERTIES Zoned COMMERCIAL and OFFICE on SPECIFIED AREAS Along UNIVERSITY and BRANDYWINE.

D. Communication from the City Manager and Director of Planning and Growth Management with Request to REALLOCATE Prior Year CDBG FUNDS to the 2011 ROOF REPAIR PROGRAM, in the Amount of $150,000.00, and the 2011 SIDEWALKS in NEED of REPAIR PROGRAM, in the Amount of $100,000.00, as Outlined (City Wide).

E. Communication from the City Manager and Director of Inspections with Request for Authorization for the City Manager to Execute a TWO-YEAR ABATEMENT of WEEDS and LITTER CONTRACT to the LOWEST BIDDERS, HULSE LAWNCARE, JC CONSTRUCTION, and PRYDE CONSTRUCTION, with Backup Contractor Provisions from Hulse Lawncare, JC Construction, and Pryde Construction not to Exceed $145,500.00.

F. Communication from the City Manager and Finance Director/Comptroller Requesting the Following:

1. ADOPTION of an ORDINANCE Amending the City of Peoria Budget for Fiscal Year 2011 Relating to the ITTF (Illinois Terrorism Task Force) FEDERAL GRANT REVENUE, in the Amount of $33,974.00; and

2. APPROVAL of the PURCHASE of FCC MANDATED NARROWBAND-COMPLIANT RADIO BASE STATIONS with a Cost Not to Exceed $110,000.00.

G. Communication from the City Manager and Director of Planning and Growth Management with Request to Concur with the Recommendation from the Zoning Commission and Staff to Adopt an ORDINANCE Rezoning Property Located at 6210 N. UNIVERSITY STREET (Temporary Address) from the Present Class O-1 (Arterial Office) District to a Class R-6 (Multi-Family Residential) District and to Grant a SPECIAL USE for a NURSING HOME, with Conditions.

H. Communication from the City Manager and Director of Planning and Growth Management with Recommendation from the Zoning Commission and Staff to Adopt an ORDINANCE Rezoning Property Located at 3004 W. LAKE AVENUE from the Present Class O-1 (Arterial Office) District to a Class C-1 (General Commercial) District.

I. Communication from the City Manager and Corporation Counsel Requesting Approval of an APPLICATION for a CLASS H (Temporary Outdoor) LIQUOR LICENSE at 200 N. E. WATER STREET (Riverfront Festival Park) for a Fundraiser on Saturday, July 2, 2011.

J. REAPPOINTMENTS by Mayor Jim Ardis to the CONSTRUCTION COMMISSION, with Request to Concur:

Kert Huber (Voting) – Term Expires 6/30/2015
Mike Snyder (Voting) – Term Expires 6/30/2015
Ed Meister (Voting) – Term Expires 6/30/2015

K. APPOINTMENT by Mayor Jim Ardis to the GIS POLICY COMMITTEE, with Request to Concur:

Council Member Chuck Weaver (Voting) – Term Expires 4/30/2014

L. REAPPOINTMENTS by Mayor Jim Ardis to the ADVISORY COMMITTEE on HUMAN RESOURCES, with Request to Concur:

James McCormick (Voting) – Term Expires 6/30/2014
James Simkins (Voting) – Term Expires 6/30/2014

M. APPOINTMENTS by Mayor Jim Ardis to the PLANNING COMMISSION, with Request to Concur:

Jason Breede (Voting) – Term Expires 6/30/2012
Eric Heard (Voting) – Term Expires 6/30/2014

N. REAPPOINTMENTS by Mayor Ardis to the SOLID WASTE DISPOSAL COMMITTEE (LANDFILL), with Request to Concur:

Steve Van Winkle (Voting) – Term Expires 6/30/2013
Council Member Dan Irving (Voting) – Term Expires 6/30/2012
Council Member Ryan Spain (Voting) – Term Expires 6/30/2012

O. APPOINTMENT by Mayor Jim Ardis to the ZONING BOARD OF APPEALS, with Request to Concur:

Jerry Jackson (Voting) – Term Expires 6/30/2014

Items E (Turner), and C (Sandberg) were removed from the consent agenda. Irving/Riggenbach moved to approve the remaining items. Passes unanimously.

• Item C — Sandberg marvels that there are businesses such as Trefzgers Bakery (which was honored by the council tonight for 150 years in business) that have been able to be successful so long without TIFs or enterprise zones. He decries the misuse of enterprise zone status. He also says that “we create our own budget deficit” by exempting businesses from sales taxes for building materials within enterprise zones. “We are our own enemy by using tools like this in commercial areas; that’s just like rearranging furniture on the Titanic.” He will not support the item. He also questions why it’s on the consent agenda. Van Auken/Riggenbach move to approve. Passes 7-2 (Sandberg, Akeson).
• Item E — Turner just wanted to thank Director Kunski for this action, which is a more aggressive and proactive effort to combat weeds and litter. Passes unanimously.

ITEM NO. 2 Communication from the City Manager and Finance Director/Comptroller Requesting the Following:

A. ADOPTION of an ORDINANCE Amending the City of Peoria Budget for Fiscal Year 2011 Relating to the ILLINOIS DEPARTMENT of COMMERCE and ECONOMIC OPPPORTUNITY (DCEO) GRANT, in the Amount of $130,000.00 for REIMBURSEMENT of COST Incurred for CONSTRUCTION of a TRAFFIC SIGNAL at the ICC NORTH CAMPUS ENTRANCE on UNIVERSITY STREET; and

B. APPROVAL of a GRANT PASS-THROUGH AGREEMENT with ILLINOIS CENTRAL COLLEGE for REIMBURSEMENT, in the Amount of $130,000.00.

Irving/Van Auken move to approve item 2A. Sandberg asks if the city has an ongoing agreement with ICC to pay for the maintenance and energy costs for the traffic signal. Answer: No, just the one-time cost of installation. Sandberg points out that ICC is a tax-exempt body with a broader tax base (17 counties) than the City of Peoria, and this light is there for the sole benefit of ICC, so why shouldn’t they share in the cost of maintenance? Mayor Ardis agrees and asks the City Manager to discuss this issue with ICC. Motion passes unanimously.

Irving/Turner move to approve item 2B. No discussion. Passes unanimously.

ITEM NO. 3 Communication from the City Manager and Director of Planning and Growth Management with Request to Concur with the Recommendation from the Zoning Commission and Staff to Adopt an ORDINANCE Rezoning Property Located at 1120 W. MULTIFLORA LANE from the Present Class A-1 (Agricultural) District to a Class R-1 (Single-Family Residential) District.

Irving moves to defer for two weeks, and also asks the city staff to put together a cost estimate of extending city sewers to the subject property. Turner seconds. Motion passes unanimously.

ITEM NO. 4 Communication from the City Manager and Director of Planning and Growth Management with Request to Concur with Recommendation from the Planning Commission and Staff to Approve a RESOLUTION Approving the PRELIMINARY PLAT for KIRCHGESSNER SUBDIVISION, which Establishes Three Single-Family Lots, and Approves Various Waivers for a Residential Development, Generally Bounded on the West by MULTIFLORA LANE and on the North by U.S. Route 6.

Irving moves to defer to the next business meeting; seconded by Turner. Passes unanimously.

ITEM NO. 5 Communication from the City Manager and Finance Director/Comptroller Regarding a PRESENTATION Pertaining to the 2011 CITY OF PEORIA FIRST QUARTER FINANCIAL REPORT, with Request to Receive and File.

City Manager Patrick Urich and Finance Director Jim Scroggins give a presentation. Scroggins acknowledges all the difficult decisions the council has already made (read: tax/fee increases and big cuts to services), but says that we’re still facing a structural deficit. He gives a summary of the report that was in the packet. Urich then takes over to give a “macro-economic view.” He shows a chart that shows we’re in the longest employment recession since WWII. He shows a series of other slides that I can’t see because I’m listening to the audio only.

He says that when unemployment spiked, retail sales dropped off, and that means lower sales tax revenues. Sales tax revenues account for 34% of the City’s operating revenues, he said. Scroggins adds that we’re very reliant on these “elastic revenues.” Sales tax revenues are bouncing back after the recession, but we’re currently looking at FY2005 levels, so they’re still very low. In addition, state revenues have fallen off, Urich said, while their expenses have risen. This is a problem because the state shares its revenues with cities — in Peoria they account for 10% of our operating budget. If the state reduces the amount it shares, it could have a major impact on our budget. It’s already impacting our budget from a cash-flow standpoint because the state is behind on its payments to cities. Urich says that motor fuel tax “as a revenue base is shrinking” because people are buying more fuel-efficient vehicles. Scroggins talks about utility taxes and gaming revenues. Gaming revenues are declining due to the smoking ban. Utility taxes are “leveling out.” And there doesn’t appear to be much growth in this area. Urich says assessed value of properties are not expected to grow for a few years. Sandberg asks what percentage of our budget relies on the property tax; answer: 20%.

Urich moves on to expense growth. Expenses for the City, Civic Center, library, and Springdale Cemetery have grown almost 31% over the past seven years. Over that same time, tax revenues grew at a rate of 12.83%. “Program revenues” (fees, grants, etc.) grew at a rate of a little more than 21%. Inflation grew at 15.4% over that period. Bottom line: revenues are not growing as fast as inflation, but expenses are growing at twice the rate of inflation. Sandberg asks if the expenses can be broken out instead of lumped together; answer: yes.

Moving on to undesignated/unreserved fund balance. It’s about 4.5% of operating expenditures; we should look at increasing it.

“What is driving our expenses?” Urich asks. He first shows a chart with all expenses except wages and benefits, then with it. Benefits are growing at a rate faster than any other category in the budget. If nothing changes, the amount we’re spending in benefits will be as much or more than what we’re paying in wages. Sandberg asks if the hotel deal is included in these charts (under debt service); answer: no. He thinks it should to give the complete picture.

Moving on to pension issues and actuarially required contributions. Basically, the state has relatively recently changed the rules to require cities to treat pension obligations like long-term debt, and that has impacted how much money the city has to sock away annually. The city has not been keeping up with the new contribution requirements. Lots of discussion on this item.

The big structural challenge, Urich says, is that revenues are not growing anywhere near as fast as wages/benefits. He says we need to look at defining core services and restructuring the City organization to be more sustainable. Sandberg questions some of Urich’s revenue assumptions, believing them to be too rosy. Riggenbach and Ardis praise Urich for the presentation. Ardis wants to know what “alternative revenue streams” we can tap in 2012.

Turner/Riggenbach move to receive and file the report; passes unanimously.

ITEM NO. 6 Communication from the City Manager and Director of Planning and Growth Management with Request to Concur with the Recommendation from Staff to DISALLOW ELECTRONIC ATTENDANCE by MEMBERS of CITY COMMISSIONS.

Van Auken/Riggenbach move to approve; no discussion. Passes unanimously.

ITEM NO. 7 Communication from the City Manager and Corporation Counsel Requesting for Council Consideration, Recommendations and Possible Action on COUNCIL RULES ORDINANCE. (Refer to Item No. 11-203)

Ardis says this is the time to discuss any potential changes to council rules. Areas of interest to Ardis: council attendance at outside meetings and how it impacts compliance with the Open Meetings Act; cost effectiveness of electronic participation. Sandberg would like to restore the policy of a super-majority vote being required to sell city assets, and institute a policy of requiring a super-majority to buy city assets as well.

They will get a report back on these items. Motion to defer by Turner/Van Auken; passes unanimously.

UNFINISHED BUSINESS

(11-030) Communication from the City Manager and Director of Planning and Growth Management with Recommendation to Concur with Either the Recommendation from the Historic Preservation Commission to Adopt ORDINANCE “A” OR to Adopt ORDINANCE “B” Amending CHAPTER 16 of the Code of the City of Peoria Relating to CERTIFICATE OF APPROPRIATENESS FEES, and Receive and File the Supplemental Information. (Refer to 10-465)

Van Auken moves to defer until first business meeting in July; seconded by Weaver. Passes unanimously.

(11-038) Communication from the City Manager and Director of Planning and Growth Management with Request to Concur with the Recommendation from the Historic Preservation Commission to Adopt ORDINANCE “A” OR ORDINANCE “B” OR ORDINANCE “C” Amending CHAPTER 16 of the Code of the City of Peoria Relating to DESIGNATION FEES, and to Receive and File the Supplemental Information. (Ordinance “C” is new.)

Van Auken moves to defer this item until the first business meeting in July, too; seconded by Weaver. Passes unanimously.

(11-183) Communication from the City Manager and Director of Planning and Growth Management with Recommendation from the Zoning Commission and Staff to DENY an ORDINANCE Amending an EXISTING SPECIAL USE, Ordinance No. 16,082 as Amended, in a Class C-2 (Large Scale Commercial) District for a SHOPPING CENTER to Add a FIVE FOOT TALL, THIRTY-FOUR SQUARE FOOT MONUMENT SIGN for Property Commonly Known as JUNCTION CITY SHOPPING CENTER with an Address of 5901 N. PROSPECT AVENUE with the Proposed Sign Being Located at 5832 N. KNOXVILLE AVENUE.

Riggenbach moves to defer until second meeting in June; seconded by Van Auken. Passes unanimously.

PETITIONS, REMONSTRANCES & COMMUNICATIONS – TOWN OF THE CITY OF PEORIA

ITEM NO. 1 Communication from the Town Attorney Requesting Adoption of an IDENTITY PROTECTION POLICY ORDINANCE Pursuant to the IDENTITY PROTECTION ACT, 5 ILCS 179/1 ET SEQ for the Town of the City of Peoria.

Irving moves to approve; seconded by Turner. No discussion. Passes unanimously.

NEW BUSINESS

No new business.

CITIZENS’ OPPORTUNITY TO ADDRESS THE CITY COUNCIL/TOWN BOARD

• Mr. White — Says Peoria has a “growth problem.” Says we need to get businesses to move here, and in order to do that, we need a “clean city,” meaning we need to reduce crime. Asks for Urich’s PowerPoint presentation to be put on the web; Ardis directs staff to do so.
• Kenny Carrigan — Praises Urich’s presentation. Says retirees spend a lot of money, and thus are a big part of the city’s income (sales tax revenue). Gives a commercial for the City’s Municipal Band.

Savino Sierra is in attendance, but did not address the council. I believe this is a first.

EXECUTIVE SESSION

ADJOURNMENT

No executive session. Van Auken/Weaver move to adjourn, and that passes unanimously. Good night, everyone! Remember that next Tuesday is Blogger Bash at Kelleher’s.