City of Carmi City Council met Aug. 7.
Here is the minutes provided by the Council:
The Carmi City Council Meeting was held on Tuesday, August 7, 2018, at 5:30 p.m. in the Council Room of the Municipal Building at 225 East Main Street for the regularly scheduled meeting. At 5:20 p.m., a public hearing was held regarding zoning of 1338 Illinois Highway 1 as Business Zone II.
Mayor Pollard asked Alderman Winkleman to give the invocation followed by the Pledge of Allegiance.
Mayor Pollard presided with the following Aldermen present: Steve Winkleman, Mark W. Blake, Tracy Nelson, Lance Yearby, Mike Knight, Doug Hays, Jeremy Courson, and Sheila Jo Headlee.
Minutes from the July 17, 2018, council meeting were presented. Motion was made by Alderman Hays and seconded by Alderman Blake to approve the minutes as presented. The motion carried on roll call by each Alderman present answering “yes.”
Mayor Pollard asked the Council for approval of Ordinance #1545; Amendment to zoning ordinance #778 for the City of Carmi shall be amended so as to classify the property described below at 1338 Illinois Highway 1 to Business Zone II classification. A motion was made by Alderman Headlee to approve Ordinance #1545; Amendment to zoning ordinance #778 for the City of Carmi shall be amended so as to classify the property described below at 1338 Illinois Highway 1 to Business Zone II classification. The motion was seconded by Alderman Courson. The motion carried on roll call by each Alderman present answering “yes.”
Mayor Pollard addressed the council regarding the state-mandated (DCEO) closure of the City of Carmi’s Loan Program. Mayor Pollard stated the City received notification earlier this year that the state was doing away with the DCEO program and there were a couple different options for closing out the 9 existing loans. Option 1 would be to return the DCEO funds back to city. Funds returned from DCEO back to the City for Industrial Avenue Grant (50% EDA match) $512,680.00. Grant from DCEO for another infrastructure project $246,669.47. Grant from DCEO for Marguerite Street sewer project $100,000.00. Revenue to the city from loans and interest $652,109.60. The total potential benefit to the City would be $1,511,459.07. Option 2 – we would receive the balance in the bank account of $211,494.47 and we would have to use that for the Marguerite Street sewer grant of $100,000.00. We would then have to come up with the matching funds for the EDA Industrial Avenue project as well. Mayor Pollard stated he has had several meetings with RLF Administrator Sandra Irvine, Treasurer Patty Evans, and Clerk Cynthia Attebury regarding the best option for the City. Options for funding the buyout were discussed which included either cashing in a CD or receiving a loan. Alderman Winkleman stated he was not in favor of cashing in CDs. Mayor Pollard stated he had contacted First Bank regarding a loan for $400,000.00 to pay off the revolving loan account. He stated we would be borrowing against two (2) CDs. The note would be renewed in two (2) years which would free up one of the CDs. The total duration of the loan would be for (4) four years. Alderman Nelson asked what the interest rate would be and Mayor Pollard stated 4.10%. Alderman Winkleman asked Sandra Irvine how people were paying.
Mrs. Irvine said the City is doing pretty good on collecting payments for the loans. She stated after the City buys out the loans, we will start sending monthly invoices as reminders. Alderman Yearby asked if the loan participant defaults on the loan, who does it go back to. Mrs. Irvine stated it would come back to the City. After discussion, a motion was made by Alderman Headlee to proceed with Option 1, buying out the 9 existing loans by the City of Carmi taking out a loan, which would allow the City to receive a potential benefit of $1,511,459.07. The motion was seconded by Alderman Winkleman. The motion carried on roll call by each Alderman present answering “yes.”
Mayor Pollard asked the council to consider the following TIF Façade Improvement Grant Request for the VFW, located at 406 East Main Street. They are planning to make improvements to the building’s exterior which will include old landscape removal and clean up, putting in new landscaping to include rock, shrubs, and lighting. Power washing and work will be done on the stone front and side of the building. Doors and flagpole will be painted and roof improvements will be done at the front of the building. The VFW is requesting façade improvement funds of $5,000.00 to assist in completing this renovation. Volunteers have already supplied the labor to remove the old landscaping and local contractors and suppliers will be used when possible. Alderman Winkleman asked how long they had to complete the project. Mrs. Irvine stated they had one year. Alderman Nelson suggested at the end of this year, the entire Façade Improvement Grant policy should be reviewed and updated. Alderman Hays made a motion to approve the Façade Improvement Grant to the VFW for $5,000.00 for improvements. Alderman Blake seconded the motion. The motion carried on roll call by each Alderman present answering “yes.”
Reports from Standing Committees
Alderman Winkleman stated there was a dead tree at the Library that needs to be removed. Mayor Pollard stated he would take care of it.
At 5:50 p.m. the meeting adjourned.
http://www.cityofcarmi.org/minutes-city-council-meeting-of/
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