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HomeMy WebLinkAbout10182021City Council Meeting MinutesPublic Hearing:Closeout of DCEO Downstate Small Business Stabilization Grant for Formal Wear of Galesburg, Inc. Galesburg City Council Regular Meeting City Council Chambers 55 West Tompkins Street, Galesburg, Illinois October 18, 2021 5:30 p.m. Proclamation: National Manufacturing Month Called to order by Mayor Peter Schwartzman at 5:35 p.m. Roll Call #1:Present:Mayor Peter Schwartzman,Council Members Bradley Hix,Wayne Dennis, Kevin Wallace,Dwight White,Jaclyn Smith-Esters,Sarah Davis,and Larry Cox,8.Also Present: City Manager Todd Thompson, City Attorney Bradley Nolden, and City Clerk Kelli Bennewitz. Mayor Schwartzman declared a quorum present. The Pledge of Allegiance was recited. Semenya McCord gave the invocation. Council Member Dennis moved,seconded by Council Member Smith-Esters,to approve the minutes of the City Council’s regular meeting from October 4, 2021. Roll Call #2: Ayes:Council Members Hix, Dennis, White, Wallace, Smith-Esters, Davis, and Cox, 7. Nays:None Absent:None Chairman declared motion carried. CONSENT AGENDA #2021-20 All matters listed under the Consent Agenda are considered routine by the City Council and will be enacted by one motion. 21-4098 Approve a Highway Authority Agreement amendment for the right of way on South Seminary Street and East Simmons Street adjacent to 390 East Simmons Street. 21-5018 Receive a schedule of rates for American Ferrier LLC effective November 1, 2021. 21-8019 Approve bills in the amount of $1,608,934.66 and advance checks in the amount of $212,480.43. October 18, 2021 Page 1 of 9 Council Member Cox moved,seconded by Council Member Davis,to approve Consent Agenda 2021-20. Roll Call #3: Ayes:Council Members Hix, Dennis, Wallace, Smith-Esters, Davis, and Cox, 6. Nays:None Absent:None Abstain:Council Member White, 1. Chairman declared motion carried by omnibus vote. PASSAGE OF ORDINANCES AND RESOLUTIONS 21-1026 Council Member Hix moved,seconded by Council Member Cox,to approve Ordinance 21-3649 on final reading approving a Zoning Map amendment from I,Institutional to B1,Neighborhood Business,for the property located at 387 East Grove Street and the parking lot to the south (across East Grove Street). Roll Call #4: Ayes:Council Members Hix, Dennis, Wallace, White, Smith-Esters, Davis, and Cox, 7. Nays:None Absent:None Chairman declared motion carried. 21-1027 Council Member Smith-Esters moved,seconded by Council Member White,to approve Ordinance 21-3650 on final reading amending Section 152.073 of the Galesburg Municipal Code to allow Community Gardens in the Institutional (I) zoning district. Roll Call #5: Ayes:Council Members Hix, Dennis, Wallace, White, Smith-Esters, Davis, and Cox, 7. Nays:None Absent:None Chairman declared motion carried. 21-1028 Council Member White moved,seconded by Council Member Davis,to approve Ordinance 21-3651 on final reading amending Traffic Appendix R of Chapter 77 of the Galesburg Municipal Code to restrict parking on both sides of South Seminary Street from Berrien Street to the south of the corporate limits. Roll Call #6: Ayes:Council Members Hix, Dennis, Wallace, White, Smith-Esters, Davis, and Cox, 7. Nays:None Absent:None Chairman declared motion carried. 21-1029 Ordinance on first reading amending Section 113.043(C)of Chapter 113 of the Galesburg Municipal Code regarding the establishment of a Class C-2 liquor license. October 18, 2021 Page 2 of 9 Ken Springer,President,Knox County Area Partnership for Economic Development,addressed the Council in favor of this project.He has been working with the client,who plans to demolish the former dilapidated bowling alley building and build a 15,000 square foot store,including two outlots.The total project is estimated at $4 million and would remove a blighted property. He explained that no incentives are being offered to the developer. Council Member Dennis inquired about the other liquor stores and if those buildings could end up empty in the near future.Springer stated that this business would bring competition to the market and that they plan to have a wider selection of higher end liquor.Springer also noted that they plan to employ ten full time employees. Mayor Schwartzman stated that unfortunately the former bowling alley is not fit for refurbishment and that it is likely financially impossible for someone to open the establishment. Council Member Davis asked about the fencing for the outside patio since it is near a residential area. Springer stated that they plan to use a 6 foot fence and have limited hours. Ed Sugai addressed the Council expressing concern that with the supply chain issues around the country that the project will be built and have no stock.It was noted that there are many local liquor companies and that the new establishment will work with distributors on that issue. Council Member Cox reminded the public that the City is not proposing this business,not providing incentives and that it is not City-owned property.He added that the project is not ideal and that he would rather see an entertainment center of some type but that it ’s not what is before the Council at this time. Council Member White agreed with Council Member Cox and stated that this new venture will provide income. Council Member Hix clarified for the record that this property is listed with Century 21 but that he has no financial interest in the project and is not the agent for the property. Council Member Cox moved,seconded by Council Member Smith-Esters,to suspend the rules and move agenda item 21-1029 to final reading. Roll Call #7: Ayes:Council Members Hix, Wallace, White, Smith-Esters, Davis, and Cox, 6. Nays:Council Member Dennis, 1. Absent:None Chairman declared motion carried. 21-1029 Council Member Smith-Esters moved,seconded by Council Member Wallace,to approve Ordinance 21-3652 on final reading for the establishment of a Class C-2 liquor license. Roll Call #8: Ayes:Council Members Hix, Dennis, White, Smith-Esters, Davis, and Cox, 6. Nays:Council Member Wallace, 1. October 18, 2021 Page 3 of 9 Absent:None Chairman declared motion carried. 21-1030 Ordinance on first reading amending Traffic Appendix F of Chapter 76 of the Galesburg Municipal Code to replace the existing yield signs on Grove Street at Olive Street with stop signs. 21-1031 Ordinance on first reading for a bond issuance of up to $45,000,000 for Knox College for the purpose of refinancing existing debt and to undertake additional capital projects. 21-1032 Ordinance on first reading amending Chapter 35 of the Galesburg Municipal Code to add an Amusement Tax of one cent per play on all video gaming terminals in the City of Galesburg. City Manager Thompson stated that the House of Representatives has already passed legislation that prohibits municipalities from adopting a push tax on video gaming terminals,unless it was adopted before a specified date (the legislation currently states this date is June 1,2021). However,the Senate has not passed this bill.Staff have consulted with the Illinois Municipal League and other parties involved in the legislation and believe it is likely that some version of this prohibition could be passed at the upcoming legislative veto session later this month.If it were to pass the Senate,it is possible that the City could be prohibited from adopting this type of amusement tax.Based on this urgency,it is the recommendation of the Administration that Council adopt this ordinance tonight in order to avoid potential preemption by this new state law. Council Member Dennis inquired if the establishment owners would be paying the tax.The City Manager noted that it is a player ’s tax and it would be the responsibility of the terminal operators to collect it.City Attorney Brad Nolden stated that he is aware of seven other communities that have a push tax. It was noted that at least two municipalities have been sued by the Illinois Gaming Machine Operators and several video gaming operators are challenging the validity of the tax.This litigation is pending in Cook County and unless resolved by the legislature,will likely result in a protracted battle through the Circuit Court and Appellate Courts.It is very possible that a similar lawsuit could be filed against the City of Galesburg and other municipalities which are in the process of adopting similar ordinances. City Manager Thompson commented that there is no effective date in the ordinance and that it currently states that the City Manager is authorized to decide the date, means of collection, etc. The Mayor stated that he and other Council Members attended a session at the IML Conference regarding an amusement tax (push tax)and the revenue it could bring in and keep in communities. October 18, 2021 Page 4 of 9 Council Member Dennis believes that this would be another burden on the establishments,who also pay liquor license fees,food and beverage taxes,gaming license fees,as well as utilities and insurance. Bill Motz,The Corral,addressed the Council and stated that the City raised the liquor license fees recently,enacted a gaming terminal license fee,and now wants to approve this tax.He feels that the City picks on bars and has been hitting them hard lately. Mike Budde,Budde’s,addressed the Council and stated that he talked to his terminal operator and that he was told their software is not set up or capable of collecting this information. Dianne Budde also stated her opposition and commented that our taxes (liquor fees and food and beverage tax)equate to Chicago’s taxes.They just celebrated fourteen years in business and it’s been hard work to survive.She added that the City has made upwards of $400,000 on gaming over the last three years. Council Member Hix asked who would pay the tax,the terminal operator or the establishment owner.City Attorney Nolden stated that the ordinance is written that the terminal operator,or gaming machine owner, is responsible for the tax. Council Member White addressed the audience and explained that the Council needs to approve the tax at this time so that they have the ability to enact the push tax ordinance in the future.There is no enactment date set yet which will give staff time to explore the logistics of collection. Council Member Cox moved,seconded by Council Member Smith-Esters,to suspend the rules and move agenda item 21-1032 to final reading. Roll Call #9: Ayes:Council Members Wallace, White, Smith-Esters, Davis, and Cox, 5. Nays:Council Members Hix and Dennis, 2. Absent:None Chairman declared motion carried. Council Member Smith-Esters stated that this ordinance will not take effect tomorrow and that they understand and want to be careful how it affects business.She hopes everyone can work as a team on this issue. Council Member Cox inquired about which cities have enacted the ordinance and been collecting.It was noted that the City is aware of two communities who have approved and enacted an ordinance that has been in effect for one month.Council Member Cox expressed that he believes the gaming companies will figure out the procedures and that citizens locally have paid millions to play these games and that a penny will not deter anyone.He added that he wished there was no gaming,which takes money out of individuals pockets,and instead they would keep their money and spend it responsibly. October 18, 2021 Page 5 of 9 Council Member Smith-Esters moved,seconded by Council Member Cox,to approve Ordinance 21-3653 on final reading to add an Amusement Tax of one cent per play on all video gaming terminals in the City of Galesburg. Roll Call #10: Ayes:Council Members White, Smith-Esters, Davis, and Cox, 4. Nays:Council Members Hix, Dennis, and Wallace, 3. Absent:None Chairman declared motion carried. BIDS, PETITIONS, AND COMMUNICATIONS 21-3021 Council Member White moved,seconded by Council Member Wallace,to approve a bid for the 2021 supply of water main materials for Frank Street from Henderson Street to Hawkinson Avenue. Roll Call #11: Ayes:None Nays:Council Members Hix, Dennis, Wallace, White, Smith-Esters, Davis, and Cox, 7. Absent:None Chairman declared motion failed. 21-3022 Council Member Smith-Esters moved,seconded by Council Member White,to approve the bid from Tech Solutions in the amount of $133,790 to replace the current City Hall data cable plant and remove the old cable plant.Orlee Lucero,Information Systems Specialist,stated that he is unclear why there was such a discrepancy between the bids but that he saw no material or quality differences. Roll Call #12: Ayes:Council Members Hix, Dennis, Wallace, White, Smith-Esters, Davis, and Cox, 7. Nays:None Absent:None Chairman declared motion carried. Council Member Hix and White left the meeting at 6:50 p.m. PUBLIC COMMENT Pam Davidson addressed the Council and stated she was sad to hear that the Hawthorne Pool may close and the City needs to keep the community pool. Council Member White returned to the meeting at 6:53 p.m. Jerry Ryberg brought a resolution he drafted to the Council’s attention for allowing adult personal use and possession of entheogenic psychoactive plants and fungi in the City of Galesburg. He asked for the Council’s consideration of the resolution. October 18, 2021 Page 6 of 9 Council Member Hix returned to the meeting at 6:55 p.m. Ed Sugai invited the Council and public to attend a 100 year anniversary celebration for Coney Island on Saturday,October 23rd,at 3 p.m.at the establishment He added that the Mayor would be in attendance. Semenya McCord cited to the Council that after her retirement she became a part time attendant at a gaming parlor.She stated that there is an interesting crowd of regulars but doesn’t believe the penny tax would deter anyone from playing the video gaming machines.She added that in fact,many people leave receipts for small winning amounts on the floor and don’t seem to care about cashing them in. CITY MANAGER’S REPORT A.October Traffic Advisory Committee report received. Council Member Cox asked about the tabled police camera trailer.The City Manager stated that more information had been provided and that it would be on the next agenda. MISCELLANEOUS BUSINESS (Agreements, Approvals, Etc.) 21-4099 Council Member Dennis moved,seconded by Council Member Smith-Esters,to approve an agreement with Managing Results,LLC in the amount of $30,950 to provide strategic planning services. Roll Call #13: Ayes:Council Members Hix, Dennis, Wallace, White, Smith-Esters, Davis, and Cox, 7. Nays:None Absent:None Chairman declared motion carried. Mayor Schwartzman noted that the timeline for a strategic planning session is to have it complete by Thanksgiving.Council Members should expect a phone call or email to begin scheduling the session soon. Council Member Davis moved,seconded by Council Member Smith-Esters,that the City Council sit as the Town Board. The motion carried by voice vote. TOWN BUSINESS 21-9022 Trustee Smith-Esters moved,seconded by Trustee White,to approve Town bills and warrants be drawn in payment of same. Fund Title Amount Town Fund $4,382.14 October 18, 2021 Page 7 of 9 General Assistance Fund $2,790.63 IMRF Fund $2,384.44 Social Security/Medicare Fund $2,443.68 Liability Fund Audit Fund Total $12,000.89 Roll Call #14: Ayes:Trustees Hix, Dennis, Wallace, White, Smith-Esters, Davis, and Cox, 7. Nays:None Absent:None Chairman declared motion carried. Trustee Smith-Esters moved,seconded by Trustee Davis,to resume sitting as the City Council. The motion carried by voice vote. CLOSING COMMENTS Council Member Smith-Esters announced that Treat Street would be happening again this year on Saturday,October 30th,11 a.m.-1 p.m.downtown Galesburg.Trick or Treating in the City will be on the 31st from 5-8 p.m.She asked that with the holiday and the evenings getting darker that everyone be careful of kids in the streets and to drive slower. Council Member Davis also hoped residents could attend Treat Street.She also announced that Bethel Baptist Church will have their Trunk or Treat on the 31st.Other area activities include Parks &Recreation’s Haunted Trail on Fridays and Saturdays in October,7-11 p.m.,the Orpheum Theatre’s free After Dark Friday Night Film Fest movie series,and the Prairie Player ’s production of Little Shop of Horrors, the weekend of October 28-31, 2021. Council Member Cox congratulated Coney Island,a true community treasure,on their anniversary.He also congratulated Brighter Life Bookshoppe on their new location and grand re-opening tomorrow.Council Member Cox added that he agrees with Jerry Ryberg on his resolution but isn’t sure the City Council is the right body to assist. Council Member Wallace thanked Steve Gugliotta,Community Development Director,for a problem property in his ward. Council Member White expressed that this week and tonight has been the most difficult he’s had since being a Council Member.He thanked everyone for attending and for their input and believes it will all work out and benefit the City. Mayor Schwartzman presented his Mayor ’s Award to Melvin Siverly.Mr.Siverly has been in manufacturing for over 30 years and has volunteered his time as a teacher and a Galesburg Public Library Board member. October 18, 2021 Page 8 of 9 He also congratulated Coney Island on their 100 year anniversary.He also noted that Sprinkle & Spoon,which started out at the former Armory building,is moving to a brick and mortar location on the corner of Seminary and Simmons Street. The Mayor thanked those that have submitted Board &Commission applications,especially from the new website, and will be making appointments at the next meeting. He also thanked those that showed up and participated in the Lake Storey clean up.He also encouraged those that enjoy that type of activity to support Chad Pregracke,Living Lands & Waters,whose mission it is to protect,preserve and restore the natural environment of the nations’ major rivers and their watersheds. Mayor Schwartzman reported that he had the opportunity to attend the Vocation Center open house,which is a state of the art facility.He believes it provides a great opportunity for our community residents to learn about good paying jobs and thanked the school district for being in the forefront of the project. The Mayor announced that Pegasus Manufacturing has received a Governor ’s Award for their industry and innovation in celebration of National Manufacturing Month. Lastly, the Mayor wished former Council Member Allen a speedy recovery at home. There being no further business,Council Member White,seconded by Council Member Dennis, to adjourn the regular meeting at 7:16 p.m. Roll Call #15: Ayes:Council Members Hix, Dennis, Wallace, White, Smith-Esters, Davis, and Cox, 7. Nays:None Absent:None Chairman declared motion carried. Peter D. Schwartzman, Mayor Kelli R. Bennewitz, City Clerk October 18, 2021 Page 9 of 9