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Minutes - 05/21/2001 - Committee of the WholeOFFICIAL MINUTES OF THE MAY 21, 2001 COMMITTEE -OF- THE -WHOLE MEETING OF THE VILLAGE PRESIDENT AND BOARD OF TRUSTEES OF THE VILLAGE OF OAK BROOK APPROVED AS WRITTEN ON JUNE 12, 2001. CALL TO ORDER: The Committee -of -the -Whole meeting of Monday, May 21, 2001 was called to order by President Bushy in the Samuel E. Dean Board Room of the Village Commons at 7:35 p.m. The Deputy Clerk called the roll with the following persons PRESENT: President Bushy, Trustees Butler, Caleel, Craig, Korin, Miologos and Savino. ABSENT: None. IN ATTENDANCE: Stephen B. Veitch, Village Manager; Michael A. Crotty, Assistant Village Manager; Dale L. Durfey, Jr., Village Engineer; Debra J. Jarvis, Fire Chief; Robert L. Kallien, Jr., Director of Community Development, Bruce F. Kapff, Director of Information Services & Purchasing; Darrell J. Langlois, Finance Director; Richard A. Martens, Village Attorney; Ruth A. Martin, Library Director; Michael J. Meranda, Director of Public Works; Bonnie Sartore, Bath & Tennis Club Manager; Trey VanDyke, Golf Club Manager; William Cavalier, Deputy Police Chief; Police Lt. William Haas and Police Lt. Sue Srch. 2. DISCUSSION OF PREVIOUSLY APPROVED REAL ESTATE TRANSACTION - 1220 OAK BROOK ROAD: President Bushy explained that Trustee Miologos had requested a discussion of a previously approved real estate transaction of 1220 Oak Brook Road. In November 14, 2000 the previous Village Board voted to sell that property to the DuPage Mayors and Managers Conference and that contract was signed. Staff provided the Village Board with the staff memorandum from the November 14, 2000 Village Board meeting, excerpted minutes from that meeting, the approved Resolution and the executed contract with DuPage Mayors and Managers Conference. Trustees Miologos and Korin gave a presentation to the Village Board of the history of 1220 Oak Brook Road and then asked: "Is selling this property in the best interest of the Village of Oak Brook ?" A copy of their presentation is attached to the official minutes. Trustee Caleel asked Village Attorney Martens what the Village's legal responsibility was at this time as the contract had been signed. VILLAGE OF OAK BROOK Page 1 of 7 May 21, 2001 Committee -of- the -Whole Meeting `�o 2. Village Attorney Martens explained that the Village has a binding contract with the Conference and were the Village to breach that contract there would be legal implications. The Conference could seek a number of remedies as previously explained to Trustees Korin and Miologos. It could ask the court to enforce the contract (specific performance) and seek damages against the Village for all of the Conference's expenses in this process. Trustee Caleel asked if a covenant could be placed with the land to limit its future use. Village Attorney Martens indicated that would occur only if the Conference consented to it, but that the property is zoned residential and subject to a specific special use. Trustee Caleel stated he voted approval of the Conference because they would be fine tenants that would have longevity within the Village. Trustee Savino remarked that the Village owns that property and zoning under the special use is so narrow that it has to be a government entity of the nature of DuPage Mayors and Managers Conference. Effectively, no one else may use that property unless the Village Board changes that special use. Once the property is sold, the Village loses the landlord tenant rights but still maintain the zoning control. Trustee Savino explained that he voted against this contract because he felt it wasn't financially beneficial to the Village. If the Conference wants to purchase the property, they have the right to terminate the lease and pay the Village the full value of the property. Trustee Caleel commented that the Village has already signed a contract with the Conference. Trustee Miologos suggested the Village have an informal conversation with the DuPage Mayors and Managers Conference to reconsider the contract. She thought the Conference members might not wish to enter into litigation about this property. President Bushy indicated she had not seen an advance copy of the presentation and so could not present an orderly response to the various points made, but did offer some comments, in response to Trustees Korin and Miologos' presentation. She explained that the DuPage Mayors and Managers Conference repaired the building at an extensive cost to the thirty -six member municipalities to bring it up to Village Code while a lease tenant. The Village will pay the Conference's annual dues, as all members of this organization are required to do. Oak Brook has been a well- respected community and been at the table on a variety of issues through the Conference. The Village received $800,000 through the Conference to rebuild Jorie Boulevard. As a participant in the Conferences activities, the Village was one of the founding communities of the Metropolitan Mayors Caucus that has appointed Village Manager Veitch to the Critical Infrastructure Committee. This helped enable Briarwood Lakes, for example, to receive new electrical distribution facilities. VILLAGE OF OAK BROOK Page 2 of 7 May 21, 2001 Committee -of- the -Whole Meeting 2. Because of the Conference, she was appointed as the Vice President of the DuPage Stormwater Committee, the only mayor in DuPage County as a member of the Anti- Terrorism Committee, appointed to World Business Chicago and the Economic Development Committee for the metropolitan area. The previous Village Board examined this question before them, reviewed the data, answered the questions and that Board made the decision in public and executed the contract according to the votes taken. To rescind a contract that was duly entered into would be devastating to this Village and its integrity. Trustee Butler commented that he was not present when the Board voted on this issue and stated he would generally prefer not to sell the Village assets and keep control of our land and try to develop revenue streams. He suggested asking the Conference if they would continue renting. Trustee Savino suggested that the meeting was called to discuss the 2002 Village Board objectives and he asked to continue this conversation at the Village Board meeting of May 22, 2001 and return to the agenda. 3. REVIEW OF VILLAGE BOARD VISION AND MISSION STATEMENTS: Trustee Caleel asked for inclusion in the Mission Statement of how Oak Brook residents are involved in the decision making process. Village Manager Veitch will suggest additional language for the statement. 4. DISCUSSION OF SUBJECT AREAS FOR 2002 VILLAGE BOARD OBJECTIVES: Village Manager Veitch stated staff would like to get an idea from the Village Board's discussion which subjects the Board would like to consider for adopting the 2002 formal objectives and the thrust of those objectives. Staff will then develop that information into objectives to present to the Village Board for their approval. A. Department 1: Legislative and General Management: I. Municipal Complex Project - Construction will continue throughout 2002. It appears likely that the second half of the Illinois FIRST Member Initiative Grant ($500,000 through Senator Walsh and $250,000 through Representative Durkin) will not be available in the new State budget. There may be one more opportunity to secure additional grant funds before the project runs out of eligibility. VILLAGE OF OAK BROOK Page 3 of 7 May 21, 2001 Committee -of- the -Whole Meeting 4. A. 1. Village Manager Veitch indicated the first $750,000 appears to be assured. The Village is working with the Department of Commerce and Community Affairs toward a grant agreement. (This is 8% of the project). The second half of the $750,000 appears to be doubtful at this time as well as another 4% slated to come from sale of the 1220 Oak Brook Road property. It is assumed that the Village Board would continue the building project in accordance with its schedule and show it as a Board objective for the next year. The Five Year Plan will have significant financial issues to address to complete the funding of the Municipal Complex Project. Brian Clingen, 66 Breakenridge Farm, commented of residents concern for the expenditure levels of the Village versus the revenue stream. He noted the shortfall of $750,000 and a concern of the continuing draw of taxes on our residents or commercial residents. He stated the $8,000,000 reserve in the General Fund is not enough for the Village. Village Manager Veitch explained that it is the Village Board policy to maintain a six -month level of reserve and it is their prerogative to change it. Mr. Clingen voiced his opposition to the Internet taxes and stated that people generally oppose them. Villager Manager Veitch explained that the question asked around the country is how would municipal services be paid for if there were a large sales tax loss. Mr. Clingen suggested setting priorities of police and fire protection versus the expense of the expansion of the Bath & Tennis Club and Golf Club. President Bushy recessed the meeting at 9:30 p.m. The meeting convened at 9:40 p.m. 2. Preservation /Enhancement of Local Revenue Sources — IMF restoration or offset through Telecommunications Tax authority, Non -Home Rule Local Option Sales Tax flexibility, Hotel/Motel Tax flexibility, fair taxation of Internet commerce. Trustee Miologos requested an illustration of the present tax rates, whom it impacts and where the sales tax revenue is allocated. President Bushy indicated the DuPage Mayors and Managers Conference is trying to convince the hotel industry to agree to legislation that would allow hotel /motel tax revenue to be used for purposes such as public safety personnel and public improvements near hotels. Village Manager Veitch explained that the lack of taxation of internet transactions has the potential of putting the traditional retail activity on which Oak Brook so heavily depends into a disadvantageous position. Does the Village Board still have the view to continue this subject as an objective? VILLAGE OF OAK BROOK Page 4 of 7 May 21, 2001 Committee -of- the -Whole Meeting 4. A. 2) Trustee Caleel commented on the need of the Village Board to include this objective of support for Internet taxation. He remarked that it could be collected by State and distributed by population. Trustee Miologos suggested the Village offer a corporate citizens survey inquiring what they like about Oak Brook, areas of improvement and how they feel about relative issues the Village has to address. President Bushy indicated that the Village does not issue business licenses and the Village is unable to determine what businesses are located in our community. Village Manager Veitch offered that the membership of the Oak Brook Area Association of Commerce and Industry has only one -third of the businesses located in Oak Brook. However, approximately 160 -170 Oak Brook businesses with a contact name could be sent a survey. Trustee Caleel remarked that the sales tax revenue is primarily from the retail section and the amount from the corporate offices has probably dropped 50% in the last year or two. The Library Foundation has had great difficulty in obtaining lists of businesses and corporate offices. A sample survey is possible but it should be weighted more toward the retail area of Oak Brook. 3. Preservation of Local Control Over Land Use Decisions — Continued vigilance and advocacy for local control. President Bushy remarked that the Metropolitan Mayors Caucus discussed the fact that Metropolis 2020 has begun to push legislation for regional zoning. It is important for the Village Board to make a strong statement of advocacy for local control. 4. Unfunded Mandates — Continued support for a constitutional amendment requiring supermajorities to enact a state mandate without reimbursement. 5. Electric and Gas Load Aggregation /Joint Purchasing — Continued research on joint purchase of power for non - franchise municipal accounts and cooperatives for private gas and power purchases once individuals gain access to the market. Trustee Caleel suggested that the Village have a plan rather than an objective. He asked what have other communities done and how did they accomplish this. Village Manager Veitch explained that as far as he knows no one has put together a municipally coordinated cooperative to buy natural gas and electric power for individual residential customers. The Village is trying to gather information as to whether it is legal or feasible. VILLAGE OF OAK BROOK Page 5 of 7 May 21, 2001 Committee -of- the -Whole Meeting 4. A. 6. Cable Franchise Renewal Negotiations — The current franchise expires May, 2002. Preliminary activities are underway with our consultant. Trustee Savino asked that this remain as a Village Board objective even though the Village does not have much power over this issue. 7. Village -Wide DSL Service — Reaching the areas of the community beyond 12,000 line feet from Ameritech's central office on Commerce Drive. Responding to requests made by several residents who are interested in improving their access to the Internet from their home computers, the Village invited residents who have interest in or knowledge about DSL service to a meeting with Ameritech. Information about the meeting was offered in several different media. The meeting was held in the Dean Board Room with the interested residents and Ameritech. The issues of Ameritech's ability to provide all of Oak Brook with DSL is part of the discussion currently under way between Ameritech and the Illinois Commerce Commission. Staff is maintaining the list of residents interested in the subject and will continue to stay in touch with them as the situation warrants. Trustee Caleel inquired if AT &T Wireless should be considered as an option. Manager Veitch mentioned that it is available, but it is a very different product from the DSL being asked for by our residents. The recently completed Citizen Survey indicated a large number of residents interested in this subject. President Bushy said that the next issue of the Village Newsletter would attempt to answer some of the questions raised by residents in the Survey. She also mentioned that she attended a meeting with Manager Veitch and the new President of Ameritech Illinois in an attempt to keep Ameritech fully aware of Oak Brook's needs in the area of modern communication. 8. Emergency Management Re- Certification — We have been given an extension to 2002 due to scheduling constraints regarding the full scale exercise with Christ Church. Village Manager Veitch explained that this will be extended to August 2002 and DuPage County has agreed to this. 9. Other Legislative and General Management subjects: Village Manager Veitch remarked that the corporate citizen survey will be included in the draft list of objectives. VILLAGE OF OAK BROOK Page 6 of 7 May 21, 2001 Committee -of -the -Whole Meeting 4. 9. Trustee Miologos requested more input from residents such as informal coffees. President Bushy noted the citizen survey has been helpful and the Village newsletter has been a good avenue of communication but the Village is open to new ways to have our residents come to our meetings. Village Attorney Martens asked the Village Board if they wish to continue the agenda to the Village Board meeting of May 22, 2001. President Bushy suggested a quorum telephone call to the Village Board members for a special Committee -of- the -Whole meeting. 5. ADJOURNMENT: Motion by Trustee Caleel, seconded by Trustee Savino, to adjourn the Committee -of -the -Whole meeting at 10:30 p.m. VOICE VOTE: Motion carried. ATTEST: Linda . Gonnella Village Clerk COW /cow 05- 21- 0I.aoc VILLAGE OF OAK BROOK Page 7 of 7 May 21, 2001 Committee -of- the -Whole Meeting r� ` ^ti .,,. _ �- - -- ,.- .. .. _. . ,,uwE _ _��. x. _ ff -3. 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