COTW Meeting

Village of Lake Barrington COTW Meeting Tuesday, May 6, 2025 5:30 PM Agenda The Village Board Meeting will take place at 23860 N. Old Barrington Road, Lake Barrington, Illinois. Page 1. CALL TO ORDER 2. ROLL CALL Honorable Kevin C. Richardson, President Andrew F. Burke, Trustee John M. Schaller, Trustee Richard Hayes, Trustee Peter Schallmoser, Trustee Susie Perkins, Trustee Therese Van Ryne, Trustee 3. APPROVAL OF MINUTES A. Minutes of the Special COTW Board of Trustees Meeting dated April 8, 2025. 3-6 4-8-2025 COTW Minutes Recommended Action: Approve the minutes, item 3. A. above. (roll call vote) 4. DISCUSSION A. Electric Aggregation Program 2025 - Sharon Durling B. Emergency Operations - Resident Volunteers. C. Grocery Sales Tax Discussion. 7-9 Treasurer Grocery Sales Tax Ordinance Sales tax detail (1) D. Consideration of the Annual Appropriations Ordinance for Fiscal Year 2026. E. Consideration of an Extension to the Employment Agreement for the Village Administrator. F. Consideration to Approve an Agreement in the Amount of $16,680.00 with Corrective Asphalt Materials, LLC of South Roxana, IL for the Reclamite Application for the Wedgewood Trails Subdivision Street Resurfacing Program. G. Consideration of an Ordinance Amending the Village of Lake Barrington Village Code Section 7-3-12, "Energy Conservation Code Adopted", of Title 7, "Building Regulations", of the Lake Barrington Village Code. H. Consideration of an Ordinance Amending the Lake Barrington Village Code Re: Section 2-3-6 "Classification of Licenses". I. Consideration of a Resolution Supporting an Intergovernmental Agreement Between Barrington Township, Cuba Township, and the Village of Lake Barrington to Provide for Contribution Under the Local Share Agreement with PACE for Senior/Handicapped Bus Service. J. ILCMA 2025 Summer Conference. K. Consideration of an Application for a Temporary Use - Special Events for the Field and Flower Garden Club's Plant Sale, which is to be Held on Saturday, May 17, 2025, Page 1 of 9  at Freier Farm from 7:00 a.m. to 4:00 p.m. L. Sunset Serenade - Concerts at Freier Farm. 5. CLOSED SESSION (roll call vote) 6. ADJOURNMENT (voice vote) The Village of Lake Barrington is subject to the requirements of the Americans with Disabilities Act of 1990. Individuals with disabilities who plan to attend this meeting and who require certain accommodations in order to allow them to observe and/or participate in this meeting, or who have questions regarding the accessibility of the meeting or the Village's facilities, are requested to contact the Village's ADA Coordinator, Sharon Peterson, at (847)- 842-6080 promptly to allow the Village to make reasonable accommodations for those persons. Page 2 of 9  VILLAGE OF LAKE BARRINGTON MINUTES OF THE SPECIAL MEETING OF THE COMMITTEE OF THE WHOLE Tuesday, April 8, 2025 1. CALL TO ORDER A Special Meeting of the President and Board of Trustees of the Village of Lake Barrington, meeting as the Committee of the Whole (“COTW”), was held at the Village of Lake Barrington Village Hall, Conference Room, 23860 N. Old Barrington Road, Lake Barrington, Illinois on Tuesday, April 8, 2025 at 5:35 p.m. (immediately prior to the regular Board of Trustees Meeting at 7:00 p.m.). 2. ROLL CALL Upon the roll being called, the following Trustees were physically present at said location: Trustees Burke, Perkins (arrived at 6:44 p.m.), Schaller, Schallmoser, Van Ryne, and President Richardson. The following Trustee was allowed by a majority of the members of the President and Board of Trustees in accordance with and to the extent allowed by rules adopted by the President and Board of Trustees to attend the meeting by video or audio conference: None. The following Trustees were absent and did not participate in the meeting in any manner or to any extent whatsoever: Trustee Hayes. Staff Present: Village Administrator Sharon Peterson, Village Clerk Rebekah Harrington, Village Treasurer Peggy Hirsch, and Village Accountant Jenny Balmes. Others Present: Village Attorney Jim Bateman. Other Attendees: Walt V., Bob & Nancy Nemec, Judy Springer, Lauren DeJesu, Danielle Beardsley, Daniela Weisznar, Karen Daulton Lange, Barbara Rejzer, Michele A., Mike Locascio, Jim Crum (Van Scoyoc Associates) & Ryan Johnson (U.S. Army Corp of Engineers), Bill Biship & Susie Biship (Veterans of LBS), and Eleanor Sweet McDonnell (North Barrington Village President). 3. APPROVAL OF MINUTES A. Minutes of the Special COTW Board of Trustees Meeting on March 4, 2025. BOARD ACTION: A motion was made by Trustee Schaller and Seconded by Trustee Van Ryne Approve the minutes, item 3. A. above. (roll call vote) Upon roll call the vote was: Page 1 of 4 Page 3 of 9  Ayes: President Richardson, Trustee Burke, Trustee Schaller, Trustee Schallmoser, and Trustee Van Ryne Nays: None Abstained: None Absent: Trustee Perkins and Trustee Hayes Jr. President Richardson declared the motion carried. 4. DISCUSSION Items 4. A. through 4. E. are detailed below. Item 4. A. in the Agenda was moved and reflects item 4. B. Item 4. C. in the Agenda was moved and reflects item 4. A. Item 4. D. in the Agenda was moved and reflects item 4. C. Item 4. B. in the Agenda was moved and reflects item 4. D. Items 4. F. through 4. N. are detailed in the Consent Agenda. A. Grocery Tax Discussion. Village Treasurer Hirsch reported on the recent history of the grocery tax and it now being the choice of each municipality to implement this tax. She expressed staff is looking for direction as an ordinance needs to be passed prior to October 1, 2025. The Board expressed their awareness of this upcoming decision and would like to discuss this at another time. No further comments were made. B. U.S. Army Corps of Engineers - Update on the Federal Interest Determination (FID) Study. Jim Crum, Engineering Lobbyist with Van Scoyoc Associates, started the conversation off explaining that the initial results of the preliminary study show that there are no public health or environmental issues. Army Corps of Engineers professional, Ryan Johnson expressed the two options the Village has: one, terminate the project and keeping flint lake as it is or two, removal or partial removal of the dam. Option two was further discussed on a preliminary and merely educational stance. One resident expressed concern on how to simply save the lake instead of removing the dam and where the funds would come from. In response, it was expressed that the first and most important factor of the study was to discover if there was any public health and/or safety risk, which there was not. Additionally, the funds for this study was 100% federally funded and the Village cannot use public funds for private enrichment. The funds for potential restoration has not yet been decided as further consideration is required. Another resident stated for the record that she is an advocate for encouraging conservation efforts. She further expressed concern for the sediment build up possibly caused by other factors and/or entities. She continued by asking if those entities can be considered to assist with the possible restoration. Mr. Crum responded stating the Village does have options outside of utilizing the U.S. Army Corps of Engineers. Lastly, a resident requested a timeline, the Village responded that at this time, there is not a timeline for action or decisions to be made. C. IT Managed Services RFP Discussion. Page 2 of 4 Page 4 of 9  Village Administrator Peterson expressed that in the COTW packet is a draft RFP for IT Managed Services. She expressed that she is planning for the RFP to go out on April 10, 2025, with a due date of May 1, 2025, and the consideration and approval by the Village Board would be in July 2025. She further explained, the Village is looking to sign a two year contract with an option to renew for an additional three years. Village Administrator Peterson and Village Attorney Bateman worked on the liability requirement standard which also match what the Village's risk management agency requires. The risk management agency added that the Village should consider it a requirement of the IT company to hold cyber security insurance. No questions or concerns were addressed to the Administrator. D. Budget Discussion. Village Treasurer Hirsch reported on the final version of the financial plan which is on the Board of Trustees Meeting Agenda for consideration and approval. She expressed that next month the Appropriation Ordinance will be considered for approval. Treasurer Hirsch mentioned outside factors which may affect the budget and/or the Village's spending including, tariffs and the Level the Playing Field Act. She further highlighted the "buckets" of the budget pin pointing certain considerations that were taken to come up with the final estimated budget. Trustee Burke applauded Treasurer Hirsch for her continued deep analysis of sales tax, especially, and he also thanked the whole finance team for their hard work on the budget. No further questions were asked. E. Park District Fee Waiver Request - Splash Pad Inspection Fees. Village Administrator Peterson asked on behalf of the Lake Barrington Countryside Park District (LBCPD) if their inspection fees for their construction work totaling $1,900.00 to be waived. No members of the Board raised concern or disagreed with this fee waiver, therefore Administrator Peterson stated she will reach out to the LBCPD to inform them their request is approved. F. Consideration of a Resolution Approving and Authorizing the Execution of an Agreement to Amend the Term of Lobbying Services Agreement with Fidelity Consulting Group, LLC Relative to the Village's Environmental and Water Quality Policy and Transportation Policy. G. Consideration of a Resolution Reallocating 2025 Volume Cap to the Village of Buffalo Grove, Illinois. H. Consideration of a Resolution Establishing a Village "Infrastructure Fund" and Providing for and Authorizing the Transfer of Funds of the Village from the Village's "General Fund" Account to the Village's New "Infrastructure Fund" Account for the Benefit of the Village. I. Consideration of an Ordinance Amending the Lake Barrington Village Code Section 2-3-6 "Classification of Licenses". J. Consideration of an Ordinance Approving and Authorizing the Execution of an Agreement with Mac Strategies Group, Inc. to Provide Certain Consulting Services to the Village. Page 3 of 4 Page 5 of 9  K. Consideration of an Intergovernmental Agreement (IGA) Between the Village of Lake Barrington and Cuba Township Road District, Lake County, Illinois. L. Consideration of the Purchase of High Service Pump Valves in the Amount of $11,892.00 from Dorner Company of Sussex, Wisconsin. M. Consideration of a One-Year Extension Engagement Letter with Seldon Fox and Associates, Ltd. of Oakbrook Terrace, IL. N. Consideration of an Application for a Temporary Use - Special Events for the Dearyan Wedding Ceremony to be held on Friday, June 20, 2025, at Freier Farm Starting at 12:00 p.m. 5. CLOSED SESSION None. 6. ADJOURNMENT A motion was made by Trustee Schallmoser and seconded by Trustee Van Ryne, to adjourn the COTW meeting. The voice vote was unanimous, the motion carried, and the meeting was adjourned at approximately 7:06 p.m. Respectfully submitted, _____________________________ Rebekah G. Harrington Village Clerk Page 4 of 4 Page 6 of 9  Village of Lake Barrington To: President Richardson and Village Board Members From: Peggy Hirsch, Village Treasurer Subject: Action Requested: ☐Approval ☐Concurrence ☒Discussion ☐Information Executive Summary Public Act 103-0781 repealed the statewide tax on groceries effective January 1, 2026. However, through the hard work of the Illinois Municipal League (IML), the authority to implement a 1% grocery sales tax locally by ordinance was approved as part of the same legislation. For those municipalities that wish to implement a local grocery sales tax effective on January 1, 2026, the first step is to pass an authorizing ordinance. A certified copy of this ordinance must then be submitted to IDOR, postmarked by October 1, 2025, in order for the tax to be imposed beginning January 1, 2026. A municipality may choose to wait to implement a local 1% grocery tax at a later date. That ordinance authorizing a local tax must be sent to IDOR and postmarked before April 1 for collection to begin on July 1, or postmarked after April 1 but before October 1, for collections to begin January 1 of the following year. Discussion Currently the Village receives the 1% grocery tax from two local businesses: Speedway and LB Mart. Our 0.5% Home Rule sales tax does not apply to groceries. Sales tax data is confidential but it is estimated that the Village earns around $5,000 – $6,000 from the existing sales tax on groceries. The current budget assumes the passage of a grocery sales tax ordinance as revenue projections have not been lowered due to the impending state exemption. However, the possible $5,000 loss of sales tax revenue does not materially affect the total projected sales tax for FY2026 of $890,000. Further, the potential loss of the $5,000 in grocery sales tax is only 0.15% of total projected revenue for FY2026. The passage or non-passage of an ordinance is not material to the budgeting process. Sales tax on groceries is generally considered a regressive tax because it takes a larger percentage of income from low-income households than from high-income households, as low-income households spend a greater proportion of their income on essential goods like groceries. That being said, both the Speedway Mart and LB Mart are convenience stores which serve as a quick and easy solution for immediate needs. While some purchases may be essential in nature, most are impulse buys. Shortly after the passage of Public Act 103-0781, Governor JB Pritzker wrote an editorial published in the Chicago Tribune in support of the elimination of the grocery tax. The primary focus of the editorial was to claim that state and local governments are much better off than before he took office. While it is true that the local government share of LGDF has jumped from 5.47% of total income tax collections (when Pritzker was elected) to 6.47% this year, it is still a far cry from the 10% share that was put in place when Governor Richard Ogilvie enacted the state income tax in 1969. What Governor Pritzker fails to mention are the numerous unfunded mandates handed down over the years to local government. Page 7 of 9 However, Governor Pritzker’s comments regarding the passage of the Leveling the Playing Field Act, which closed a tax loophole benefitting mostly out-of-state corporations, is true. In the last twelve months the Village has earned $240,000 in local and home rule sales tax from online vendors. This number is expected to increase as more out-of-state corporations fell under its guidelines this year. Conclusion The Village Board has three different choices to follow: (1) pass an ordinance implementing the 1% grocery sales tax locally by October 1, 2025 (2) review the decision periodically and possibly adopt an ordinance in the future, and (3) decide that the Village will not take action regarding the repeal of the grocery sales tax. Staff is looking for direction from the Board. Page 8 of 9 Sales Tax Discussion Village of Lake Barrington COTW May 6, 2025 History: Sales tax reform legislation went into effect in 1990, (rate went from 5.0 to 6.25%)which also ended the taxation of groceries. But local governments received tax revenues from taxing groceries, so as a compomise, the legislation ended the portion of the state tax on groceries that was retained by the state and imposed a new 1% tax on groceries - the proceeds of which were to be distributed to local governments by the state. Sales tax by taxing body LAKE COUNTY VLB share COOK COUNTY (% of sale) (% of sale) Retailer Occupation Tax 6.25 1.00 6.25 Regional Transportation Authority (RTA) 0.75 * 1.00 County sales tax 1.75 7.00 9.00 HOME RULE - Village of Lake Barrington 0.50 0.50 Sales tax in Lake Barrington 7.50 1.50 HOME RULE - Village of Barrington 1.00 1.00 Sales tax in Barrington 8.00 10.00 Sales Tax on groceries, medicine.. State 1.00 1.00 ** 1.00 RTA 0.75 * 1.25 1.75 1.00 2.25 Note: Public Act 103-0781 only eliminates the grocery tax portion, tax on medicine and medical devices remains. There is no home rule tax on groceries, medicines, etc. Lake County is also currently looking at implementing their own local grocery tax. * The RTA in Cook Cty actually charges more on groceries, medicines than other purchases. ** Lake Barrington receives approximately $10-$12k annually from taxation on groceries. Page 9 of 9