Will County Executive Committee met Jan. 3.
Here is the minutes provided by the committee:
I. CALL TO ORDER/ ROLL CALL
Chair Denise E. Winfrey called the meeting to order at 10:01 AM
| Attendee Name | Title | Status |
| Denise E. Winfrey | Chair | Present |
| Mark Ferry | Vice Chair | Present |
| Herbert Brooks Jr. | Member | Present |
| Mike Fricilone | Member | Present |
| Kenneth E. Harris | Member | Absent |
| Tyler Marcum | Member | Present |
| Donald A. Moran | Member | Present |
| Jim Moustis | Member | Present |
| Judy Ogalla | Member | Present |
| Laurie Summers | Member | Present |
| Jacqueline Traynere | Member | Late |
Present from State's Attorney's Office: K. Meyers.
II. PLEDGE OF ALLEGIANCE TO THE FLAG
Mr. Moustis led the Pledge of Allegiance to the Flag.
III. APPROVAL OF MINUTES
1. WC Executive Committee - Board Agenda Setting Meeting - Dec 13, 2018 10:00 AM
RESULT: APPROVED [UNANIMOUS]
MOVER: Laurie Summers, Member
SECONDER: Tyler Marcum, Member
AYES: Winfrey, Ferry, Brooks Jr., Fricilone, Marcum, Moran, Moustis, Ogalla, Summers
ABSENT: Harris, Traynere
IV. OLD BUSINESS
V. NEW BUSINESS
1. Discussion - Bond Issuance
(Karen Hennessy)
Ms. Hennessy reviewed the attached Time Line for Capital Projects and Funding.
Mr. Moustis stated we did a $275 million parameter ordinance and identified funding for the courthouse and Public Safety Complex using bond proceeds and cash on hand. We did not identify funding for the entire $275 million; we identified funding for $200 million.
Ms. Hennessy stated we had ideas and our intent was always to do several different series of bonds.
Mr. Moran added we did an Ordinance to bond up to $275 million for capital projects, but we did not decide to spend $275 million and where it would come from.
Mrs. Traynere arrived at this juncture.
Mr. Fricilone asked where the numbers needed for the next bond offering are coming from?
Ms. Hennessy stated the $65 million was confirmed by the Budget Director, Deputy Chief of Staff and myself. We are not talking of issuing $65 million; the par value would be $55 to $58 million and we would receive a premium.
Mr. Fricilone asked where did the other $33 million go? We have $205 million for the courthouse, which is what we received from the first bond issuance and there were no other costs.
Ms. Hennessy replied part of the Public Safety Complex came from those bonds. Mr. Fricilone stated we paid cash for the Public Safety Complex.
Ms. Hennessy stated we did not pay cash for the entire Public Safety Complex. Mrs. Johannsen stated we did use some cash.
Ms. Hennessy stated there are ancillary costs not attached to a project.
Mr. Moustis asked how much of the bond proceeds are currently available?
Ms. Hennessy replied as of December 31, 2018 we had $108 million.
Mr. Moustis asked what is the projected payout left on the courthouse?
Mr. Fricilone answered $141 million. There is $33 million left and I don’t understand where it is. When we paid with the bonds for the Public Safety Complex we were supposed to put the cash back into the bond proceeds to pay for the courthouse. Our intent was to pay cash for the Public Safety Complex.
Mrs. Johannsen stated during that same time we had to abate $12 million and used cash.
Ms. Howard stated when we initially issued bonds in August 2016 for $175 million, the first debt service payment was more than we anticipated. To abate and pay the first years’ debt service was close to $21 million. There were discussions of possibly paying cash for the Public Safety Complex, but after setting aside $21 million it was impossible to pay for the Public Safety Complex in all cash. We did pay cash for a part of the Public Safety Complex.
Ms. Hennessy indicated she could break out the totals by project and present it to the Committee.
Mr. Moustis stated when we selected the co-issuers we said they were qualified. I hope we will see how they performed. If some did not perform up to our expectations, we should consider that. This is a smaller issuance and we may not need as many co-issuers. We would certainly want to use the best performers.
Ms. Hennessy stated I will look to Wells Fargo and Speer to help with that.
Mr. Moustis stated we have always relied on Wells Fargo and Speer to give us the amount. You don’t want to issue more than we are going to use because there will be problems. If anything you would issue less.
Ms. Hennessy stated even at the $58 million, we are nowhere close to the $275 million.
Mr. Moustis stated we do have the ability to use that money for other things including a maintenance fund. If you bond money you don’t use, it creates a problem with the IRS and bond holders. It is better to be short than over.
Mrs. Traynere stated you mentioned maintenance; would that be maintenance on our existing building?
Mr. Moustis stated yes, capital projects such as roof replacement. We need a new roof at the ADF and that could be a couple of million dollars.
Mr. Fricilone stated when you bond for 30 years, you don’t want to use the proceeds on a five year project. A new roof would have a 30 or 35 year life and if you use bond proceeds you are paying over the 30 years. We want to look at adding solar to the roof and it does not make sense to do that until the roof has been replaced.
Mr. Fricilone continued if we used $21 million of the proceeds, there is still $13 million missing.
Ms. Hennessy replied we will get the information and bring it forward.
Mr. Moustis asked how much cash reserves were used?
Mrs. Johannsen answered $21 million.
Mr. Moustis asked how much was used for the project and to structure the debt?
Ms. Hennessy responded we identified the project expenses from the bond fund and balanced to the cash remaining. I will have to go back and look at it again.
Mr. Brooks stated you mention reserves, is there any additional money beyond what you have projected that would have to come from reserves?
Ms. Hennessy answered I looked quickly at the pledged revenue sources and we have more than enough to cover. I did not have time to go back and look at some of the other sources. The ETSB pays us rent since they moved into the Public Safety Complex. The City of Joliet contributes $500,000 per year toward the courthouse. We used a small portion of the judicial fees. I have to go back and confirm the dollar amounts from these sources. They are not reserves, they were originally earmarked for debt service for the $175 million and subsequent issuances. With both issuances, we will use only a percentage of the RTA funds. Where we have run into a problem, and where the disconnect is coming from; the first issuance was huge. We had never done a bond issuance of that size and had not planned for abating the bonds. Now we know and are on top of it. We did include that in the budget, but it may not cover all the costs and may use some cash reserves.
Mr. Moustis stated you bring up a good point about the revenue sources we identified to make sure they are being funneled to the debt. The court parking was part of that and it has to come from the judicial branch, they have to send the money over.
Ms. Hennessy stated we do budget to transfer that into the debt service fund.
Mr. Moustis asked how do we make sure all the funds we identified are coming over?
Ms. Hennessy answered during the budget process we identify the funds. We make sure the judicial facility comes from that fund and goes into the debt service fund. The contributions from Joliet and the ETSB rent goes immediately to the debt service fund. We make sure debt service is covered.
Ms. Winfrey asked does the money actually come to us? Did Joliet send us the money?
Ms. Hennessy replied yes.
Mr. Moustis stated I wanted to make sure there is a mechanism to automatically bring the money over.
Ms. Howard stated we make sure we get the money, because we have to make pay the debt service.
Ms. Hennessy stated the main thing with the budget is, we have to cover the debt service first.
Ms. Hennessy reviewed the attached handout from Wells Fargo.
Mr. Moustis stated the structure was to push the principal payment further down the road. More money will become available when we get into 2025 through 2030 as our other debt will drop off.
Ms. Hennessy stated the next few years we would pay $5 million, then it drops to $2 million and then during the last few years it comes way up.
Mrs. Traynere clarified at the end we are paying $20 million for two years; but in 2019 and 2020 we are only paying $10 million and $13 million.
Ms. Hennessy stated I don’t think we need a Resolution, but we need concurrence.
Mr. Moustis asked when are you looking to issue?
Ms. Hennessy replied rhe authorization Ordinance expires in April and I don't want to get too close. It takes about 60 days to put everything in place. We need approval in January to put it together and issue in March. I did not think we needed to take this to the full Board because we have authorization.
Ms. Winfrey stated this discussion is to remind us you have the approval and are going to move forward.
Mr. Kevin McCanna stated listening to the discussion, I suggest you approve the size. The Board has approved an issuance going forward. We don’t want to come here in March with a $58 million issuance and still have questions about whether it should be $52 million. At the next Committee you should finalize the dollar amount but we will start moving toward a March sale.
Ms. Winfrey asked is there anything else you need from the Committee?
Ms. Hennessy answered with the motion to go ahead, we can move forward. I can bring back answers to the Committee next week.
Mr. Moran stated we need this back at Executive Committee next week to move something to the full Board in January.
Ms. Winfrey asked can you get the answers to the outstanding questions by the Executive Committee meeting on January 10th so we can do a formal movement for the $65 million?
Ms. Hennessy replied yes. We will bring the project costs forward on the 10th.
Mr. Meyers stated there should be a formal intent to bond when the number is it is clear. It was a full County Board decision to issue the bonds and any intent moving forward should go to the full Board.
Mr. Moustis asked who are we using for bond counsel? Some of this can be answered by the bond counsel, but the bond holders need to see formal action.
Ms. Hennessy stated unless the Board has someone else in mind, we are all comfortable using Mr. Ray Fricke.
Wells Fargo Bond Presentation January 3, 2019
(Handout)
Motion to Move Forward with Bond Issuance Schedule as Presented for Capital Projects
RESULT: APPROVED [UNANIMOUS]
MOVER: Jacqueline Traynere, Member
SECONDER: Tyler Marcum, Member
AYES: Winfrey, Ferry, Brooks Jr., Fricilone, Marcum, Moran, Moustis, Ogalla, Summers, Traynere
ABSENT: Harris
2. Replacement Hire Pre-posting for Division of Transportation
(Jeff Ronaldson)
Ms. Winfrey explained the pre-posting process.
RESULT: APPROVED [UNANIMOUS]
TO: Will County Board
MOVER: Donald A. Moran, Member
SECONDER: Judy Ogalla, Member
AYES: Winfrey, Ferry, Brooks Jr., Fricilone, Marcum, Moran, Moustis, Ogalla, Summers, Traynere
ABSENT: Harris
3. Replacement Hire Pre-posting for Supervisor of Assessments - Mapping Clerk II & Mapping Tech
(Rhonda Novak)
RESULT: APPROVED [UNANIMOUS]
MOVER: Donald A. Moran, Member
SECONDER: Jacqueline Traynere, Member
AYES: Winfrey, Ferry, Brooks Jr., Fricilone, Marcum, Moran, Moustis, Ogalla, Summers, Traynere
ABSENT: Harris
VI. OTHER NEW BUSINESS
VII. COMMITTEE ASSIGNMENT REQUESTS
A. Land Use & Development Committee
K. Harris, Chair
B. Finance Committee
K. Harris, Chair
C. Public Works & Transportation Committee
D. Moran, Chair
1. Confirming Award of Contract to P.T. Ferro Construction Co. ($3,357,579.26), Let on December 19, 2018, Mills Road (CH 51) at Briggs Street (CH 54), County Board District #8
(Jeff Ronaldson)
2. Confirming Award of Contract to Various Contractors, Let on December 19, 2018, County Wide Maintenance Material - Bituminous Patching, All County Board Districts
(Jeff Ronaldson)
3. Confirming Award of Contract to Various Contractors, Let on December 19, 2018, County Wide Maintenance Material - Bituminous Prime, All County Board Districts
(Jeff Ronaldson)
4. Confirming Award of Contract to Various Contractors, Let on December 19, 2018, County Wide Maintenance Material - Various Aggregate, All County Board Districts
(Jeff Ronaldson)
5. Adopting IDOT Resolution for Improvement by County under the IL Highway Code for the County Wide Maintenance Material, All County Board Districts, Using MFT Funds ($3,881,850.00)
(Jeff Ronaldson)
6. Authorizing Approval of the Establishment of Altered Speed Zone 572, County Board District #1
(Jeff Ronaldson)
7. Supplemental Resolution for Improvement by County under the IL Highway Code for Cedar Road (CH 4) at Division Street (CH 75), using Additional Motor Fuel Tax Funds ($6,176.30), County Board District #7 (Jeff Ronaldson)
8. Authorizing Approval of Professional Services Supplemental Agreement for Engineering Services for Pauling-Goodenow Road (CH 23) over Plum Creek, County Board District #1
(Jeff Ronaldson)
9. Authorizing an Agreement between the County of Will and Chicap Pipeline Co., whose Contractor Operator is BP Pipelines (North America) Inc., for Reimbursement for Relocating Facilities Along 135th Street (CH 35) from Smith Road to Emily Lane, County Board District #7
(Jeff Ronaldson)
D. Judicial Committee
T. Marcum, Chair
E. Public Health & Safety Committee
L. Summers, Chair
F. Legislative & Policy Committee
J. Traynere, Chair
G. Capital Improvements Committee
H. Brooks, Jr., Chair
H. Executive Committee
D. Winfrey, Chair
1. Appropriating Grant Funds in the Sheriff's Budget from Department of Homeland Security Grant Program
(Lt. Nat Freeman/Vicki Hayes)
2. Authorizing County Executive to Execute Necessary Documents for Delinquent Tax Program
(Julie Shetina)
3. Tax Abatement Request for Supermercado El Guero
(Nick Palmer/John Greuling)
Ms. Winfrey indicated the Supermercado El Guero is going to take over the old Certified Grocer on Jackson Street. There is still work to be done by the City of Joliet before this moves forward.
Mr. Moustis stated I don’t believe we have ever done an abatement for a grocery store or retail. Is that area is part of an enterprise zone?
Ms. Winfrey stated I believe it is part of a City of Joliet TIF district.
Mr. Moustis asked can they get TIF and an abatement?
Ms. Novak stated it is part of the original Des Plaines Valley Enterprise Zone. Any abating would not be for taxes because that ended. The enterprise zone is still there and they may be able to get sales tax abatements for construction material.
Mr. Palmer stated Mr. Greuling will talk to the owners because it is unusual. There are more economic development pieces to this; it is a grocery development in an underserved area.
Ms. Winfrey stated what is causing the confusion is because we have not done this before. There is a lot more work that has to be done before this can move forward.
Mr. Moustis stated I know Joliet is behind this, but I believe it is to their benefit to give a good presentation on how they, and the other taxing bodies, are behind this initiative. I realize this is more than just a grocery store when we deal with food deserts there are other reasons beyond economics. They should be prepared to say how this will benefit the community.
Mr. Palmer stated they are still working out some of the details on their end. It has been our practice the schools and municipalities go first because they are a much higher percentage of the tax bill versus the County’s portion.
4. Setting the Salary of the County Executive Legal Counsel
(Nick Palmer)
5. Allocation of Recapture Money from Laraway Sewer & Water Project
(Nick Palmer/Dave Tkac)
6. Renewing Contract for Pharmaceutical & Consulting Services at Sunny Hill Nursing Home
(Rita Weiss)
7. Discussion Re: New Recycling Drop-Off in Crest Hill (WDOT Site)
(Dean Olson & Marta Keane)
8. Renewing Contract for Electronics Recycling Turn Key Collection
(Marta Keane)
9. Renewing Contract for Electronics Recycling One Day Collection Events
(Marta Keane)
10. Authorizing the County Executive to Execute an Intergovernmental Agreement with Custer Park Fire Protection District to Provide Access to the Countywide Radio System
(Thomas Murray)
VII. REQUEST FOR STATE'S ATTORNEY'S OPINION
VII. ACCEPT COMMITTEE ASSIGNMENT REQUESTS
Ms. Winfrey stated we have some additional assignments for next week’s Executive Committee. We scheduled a Committee of the Whole for January 10th to discuss the Administrative Adjudication fee collection process and the Expungement Fair discussion. However, they are not ready for the administrative adjudication fee discussion. I would like to put the Expungement Fair on the January 10th Executive agenda. Another item is the County Board Rules. I would ask you do discuss them at your caucus and we will have a full discussion at the Executive Committee and Board meeting. Also, we have an IGA with the City of Lockport for the 143rd Street and Prologis Parkway; a Resolution expand the enterprise zone to include the Village of Diamond, Amendments to the OPEB Retiree Health Insurance Trust Agreement and a contract for the Supervisor of Assessor.
Mrs. Traynere asked have we done an expansion of the enterprise zone in Diamond before?
Mr. Palmer stated you are thinking about the JADA enterprise zone expansion. That has now made it through the entire process, which is no small feat and has been approved by the State. The expansion was done for the Houbolt Bridge and the J. Power site in Elwood. This is a separate zone working its way through the process. The State’s Attorney’s Office is reviewing the documents, but we wanted to get it on the agenda for next week in case we are ready to go. This is on the border of Will and Grundy Counties. It does impact us so action is required by Will County. This is not the JADA zone, this is completely different. We have four or five zones within Will County.
1. Motion to Accept Committee Assignments as Amended
RESULT: APPROVED [UNANIMOUS]
MOVER: Jim Moustis, Member
SECONDER: Tyler Marcum, Member
AYES: Winfrey, Ferry, Brooks Jr., Fricilone, Marcum, Moran, Moustis, Ogalla, Summers, Traynere
ABSENT: Harris
X. PUBLIC COMMENTS
https://willcountyil.iqm2.com/Citizens/FileOpen.aspx?Type=15&ID=3149&Inline=True
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