A. Village Board & Board Committee

VILLAGE OF LAKE ZURICH Board of Trustees 70 East Main Street Monday, November 20, 2023 7:00 p.m. AGENDA 1. CALL TO ORDER 2. ROLL CALL: Mayor Thomas Poynton, Trustee Dan Bobrowski, Trustee Mary Beth Euker, Trustee William Riley, Trustee Marc Spacone, Trustee Roger Sugrue, Trustee Greg Weider. 3. PLEDGE OF ALLEGIANCE 4. OATH OF OFFICE  Fire Department Promotion: Lieutenant Anthony Campbell 5. PUBLIC COMMENT This is an opportunity for residents to comment briefly on matters included on the agenda and otherwise of interest to the Board of Trustees. Public Comment is limited to 30 minutes total and up to 5 minutes per speaker. 6. TRUTH-IN-TAXATION PUBLIC HEARING FOR 2023 PROPERTY TAX LEVY (Mayor Poynton) Summary: The total proposed increase to the Village of Lake Zurich property tax levy for 2023 represents an 8.45% increase over the previous year. This levy increase brings the total levy to $10,976,657. In accordance with State statutes, the Village is holding this Truth-in-Taxation Public Hearing in order for residents to have the opportunity to comment on the proposed levy. The hearing notice was published on November 10, 2023 in the Daily Herald, as well as posted on the Village website and in the official Village newsletter Benchmarks. Recommended Action #1: A motion to open the Truth-in-Taxation Public Hearing for the 2023 Property Tax Levy and receive into the record public comment.  2 Recommended Action #2: A motion to close the Truth-in-Taxation Public Hearing for the 2023 Property Tax Levy. 7. CONSENT AGENDA (These titles will be read by the Village Clerk and approved by a single Roll Call Vote. Any item may be pulled from the Consent Agenda for discussion by any Village Trustee). A. Approval of Minutes from the Village Board Meeting of November 6, 2023 B. Approval of Semi-Monthly Warrant Register Dated November 20, 2023 Totaling $2,387,747.33 C. Agreement with Baker Tilly for Municipal Audit Services for One Year in the Amount Not-to-Exceed $56,000 Summary: The Village is required to have an annual audit of its financial statements. Staff has been using Baker Tilly of Oak Brook for these independent audits since 2018. As the contract with Baker Tilly has expired, Staff recommends a one-year extension for auditing the 2023 financial statements. D. Agreement with Municipal Collection Services for Debt Collection of Local Ordinance Violations Summary: The proposed 24-month agreement with Municipal Collection Services of Palos Heights will allow the Village to more effectively collect outstanding past-due debt from local ordinance violations that are heard in Lake Zurich’s local adjudication system. E. Resolution Affirming Lake Zurich is United Against Hate as Cities, Towns, and Villages Collaborate to Protect our Communities in Times of Strife (Assign Reso. #2023-11-080) Summary: The City of Highland Park has drafted an anti-hate statement with the intention of sending a unified message across many towns condemning all acts of hate, affirming public safety as our highest priority and issuing a call to action to continue to report suspicious behaviors, threats and other activity to law enforcement. Recommended Action: A motion to approve the Consent Agenda as presented. 8. NEW BUSINESS This agenda item includes matters coming to the Board of Trustees for discussion and possible action. A. Property Tax Levy Extension Ordinance and Four Abatement Ordinances Regarding Debt Services (Trustee Riley)  3 Summary: Each year, the Village Board approves a tax levy ordinance to certify with the Lake County Clerk’s Office in order to extend property taxes on real estate parcels within Lake Zurich municipal boundaries. The 2023 levy request is based upon the estimated equalized assessed value (EAV) of those properties, as determined by the Ela Township Assessor’s Office and the Chief County Assessor’s Office. Applying the rates authorized by the Property Tax Extension Limitation Law (PTELL), the Village is requesting a total levy of $10,976,657, which represents an increase of 8.45% over the previous year. The tax levy request for 2023 includes $1,343,961 for debt service and $4,965,839 for the Police and Fire Pension Funds. Approximately one-quarter of the increase is generated by new construction, with the remaining three-quarters primarily attributed to the 5% PTELL capped inflation rate (otherwise, 6.5%) and 3% inflationary growth of the base EAV due to rising property values. The proposed levy also includes a projected increase of $206,997 for the Special Recreational levy, which provides funding for accessible improvements and services. Four ordinances totaling $2,176,248 regarding debt service abatements are also presented for Village Board action. As sufficient funds are available from other revenue sources to pay scheduled debt service payments as they become due, the need to extend a property tax levy on these issues is not warranted. Therefore, the Village will notify the County Clerk to not extend property taxes on these abatement ordinances. Recommended Action #1: A motion to approve Ordinance #2023-11-531 authorizing the 2023 Property Tax Levy Extension in the Amount of $10,976,657. Recommended Action #2: A motion to approve the following four abatement ordinances regarding debt service via a single roll-call vote: a) Ordinance #2023-11-532 Abating Certain Taxes Levied for $6,325,000 General Obligation Refunding Bonds, Series 2014 A. b) Ordinance #2023-11-533 Abating Certain Taxes Levied for $11,775,000 General Obligation Refunding Bonds, Series 2015 A. c) Ordinance #2023-11-534 Abating Certain Taxes Levied for $7,100,000 General Obligation Refunding Bonds, Series 2016 A. d) Ordinance #2023-11-535 Abating Certain Taxes Levied for $1,000,000 General Obligation Bonds (Waterworks and Sewerage System Alternate Revenue Source) Series 2016 B. B. Ordinance Granting a Planned Unit Development for Chipotle Mexican Grill at 442 South Rand Road (Assign Ord. #2023-11-536) (Trustee Bobrowski)  4 Summary: Terraco Incorporated requests approval to construct a new quick service Chipotle restaurant with a drive-through pick-up lane and outdoor patio at 442 South Rand Road, located at the southeast corner of Rand Road and Route 22. This parcel was recently created through a legal re-subdivision of the larger property into a new one-acre lot. Until recently, a significant portion of the existing three-story office building was leased to Chase Bank, which has since constructed a new bank across the road. The Planning and Zoning Commission (PZC) considered the preliminary plan at a public hearing on June 21, 2023 and reiterated the following points for consideration by the Applicant: o Visibility of the trash dumpster from surrounding right-of-way o Circulation on the property and traffic safety concerns at the property access points Upon conclusion of the hearing and discussion, the PZC unanimously recommended approval of Granting approval of the project. Village Staff also recommends approval of the Planned Unit Development with the conditions for approval incorporated into the attached Ordinance. Recommended Action: A motion to approve Ordinance #2023-11-536 Granting a Planned Unit Development for Chipotle Mexican Grill at 442 South Rand Road. C. Collective Bargaining Agreement between the Village of Lake Zurich and the Fraternal Order of Police, Patrol Unit (Trustee Sugure) Summary: This Fraternal Order of Police collective bargaining agreement with specific Police Department employees expires on December 31, 2023. The Village and Union have been in productive negotiations regarding a successor contract and in November 2023 members of the Patrol Unit accepted a new three-year contract effective January 1, 2024. This contract extends 3.5% annual increases to the covered employees from 2024 through 2026, which aligns with current market conditions including inflation trends and recent contracts with similarly-sized police departments. Details of the new contract are outlined in the attached Staff Report. Recommended Action: A motion to approve a Collective Bargaining Agreement between the Village of Lake Zurich and the Fraternal Order of Police, Patrol Unit, effective January 1, 2024 through December 31, 2026. D. Collective Bargaining Agreement between the Village of Lake Zurich and the International Union of Operating Engineers, Local 150 (Trustee Spacone) Summary: This Local 150 collective bargaining agreement with specific Public Works employees expired on December 31, 2022. Since then, the Village and Union have been in productive negotiations regarding a successor contract and  5 in November of 2023 members of Local 150 accepted a new three-year contract, retroactive to January 1, 2023. This contracts retroactively applies a 3% increase for 2023 and sets a 3% increase for 2025. For 2024, covered employees will receive a 9% adjustment, in exchange for transitioning from the union’s health insurance program, of which the Village currently pays 100% of the premiums, to the Village’s health insurance program, for which the employees would contribute the same as other Village employees. The Village anticipates long-term savings from having the public works employees on the Village’s health insurance rather than on the union’s. The 9% adjustment makes the transition cost-equivalent to the covered employees, while making the starting wage scale more competitive for attracting new employees. Details of the new contract are outlined in the new attached Staff Report. Recommended Action: A motion to approve a Collective Bargaining Agreement between the Village of Lake Zurich and the International Union of Operating Engineers, Local 150, effective January 1, 2023 through December 31, 2025. 9. TRUSTEE REPORTS This is an opportunity for Trustees to report on matters of interest to the Board of Trustees. 10. VILLAGE STAFF REPORTS This is an opportunity for Village Staff to report on matters of interest to the Board of Trustees. A. Monthly Data Metric Reports 11. ADJOURNMENT The next regularly scheduled Village Board meeting is on Monday, December 4, 2023. The Village of Lake Zurich 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 so that they can observe and participate in this meeting, or who have questions regarding the accessibility of the meeting or the Village’s facilities, should contact the Village’s ADA Coordinator at 847.438.5141 (TDD 847.438.2349) promptly to allow the Village to make reasonable accommodations for those individuals. *Agenda posted on 11/16/2023