C. Village Board

APPROVED MINUTES VILLAGE OF LAKE ZURICH Board of Trustees 70 East Main Street Tuesday, February 17, 2026 7100 p.m. H CALL TO ORDER by Mayor Thomas M. Poynton at 7100pm. ROLL CALL: Mayor Thomas Poynton, Trustee Sujatha Bharadwaj, Trustee Jake Marx, Trustee William Riley, Trus tee Marc Spacone, Trustee Roger Sugrue, Trustee Greg Weider. Also in attendancei Village Manager Ray Keller, Asst. Village Manager Michael Duebner, Village Attorney Scott Uhler, Finance Dir. Rita Kruse, Community Development Dir. Sarosh Saher, Public Works Dir. Mike Brown, Police Chief Steve Husak OJ PLEDGE OF ALLEGIANCE PUBLIC COMIVIENT Marty Jablonski, 68 LakevieW Pl, address the Board about park preservation, additional parking option suggestions for downtown Lake Zurich, and additions of public transportation options and their effects on the economy. PRESIDENT’S REPORT/ COMMUNITY UPDATE There was no report. CONSENT AGENDA, amended A. Approval of Minutes from the Village Board Meeting of February 2, 2026 B. Approval of Minutes from the Executive Session Meeting of January 5, 2026 C. Approval of the Semi-Monthly Warrant Register Dated February 17, 2026 Totaling $1,078,489.21 D. Authorization t0 Purchase Attachments for Trackless Vehicle in the Amount Not-to-Exceed $70,000 Summaryi The FY 2026 budget identifies the addition of attachments for the Trackless Vehicle to gain efficiencies with sidewalk snow removal. The attachments requested are a 5’ power angle broom and a boom mower used to clear snow, debris, and maintain hard‘tO'reach areas. Staff requests to purchase one Trackless 5’ power angle sweeper broom and one boom flail mower with dual tires under the Sourcewell Contract in the amount not-to- exceed $70,000. E. Agreement with Visu Sewer for Year One of the 2026 Sanitary and Storm Sewer Closed Circuit Television Inspection Project in the Amount Not-to- Exceed $100,000 Summaryi The FY 2026 budget includes $100,000 in the water and sewer fund for infrastructure inspections to provide conditional assessments of the  2 Village’s sanitary sewer distribution system. On an annual basis, the Village employs a third-party televising contractor to evaluate the condition of the Village’s sanitary sewers. The sanitary sewer televising contract was bid in 2026 as a one-year agreement with the option to extend for two additional years, with staff proposing to use the remaining available budget capacity to advance additional sewer televising in anticipation of upcoming roadway improvement programs. A bid opening took place on February 4, 2026, yielding three (3) bids, with the lowest bid received from Visu Sewer out of Bridgeview, Illinois. Staff recommends to award a contract for year one of the 2026 Sanitary and Storm Sewer Closed Circuit Television Inspection project to Visu Sewer in the amount not-to-exceed $100,000. Ordinance Approving an Authorization and Indemnification Site Access and Storage Agreement Related to a Sanitary Sewer Easement Agreement at 1051 Commerce Drive, Buffalo Grove (Assign 0rd. #2026-02-650) Summary: SRS Distribution Inc, located at 1051 Commerce Drive in Buffalo Grove, requests permission of the Village of Lake Zurich to access and store building materials along with access rights on a portion of an easement granted to the Village that is located on a portion of their property. SRS has applied for a Special Use Permit with the Village of Buffalo Grove to utilize the paved area on their property for outdoor storage, with Buffalo Grove indicating they are supportive of the Special Use but have required written permission from Lake Zurich to utilize the portion of the property. SRS has agreed to assume all risk liability for their storage activities on the easement. If SRS ceases use of the property, it shall remove all materials stored within the easement at its sole cost. Staff recommends approval of the Ordinance approving the authorization of the site access and storage agreement between the Village of Lake Zurich and SRS Distribution Inc, as it does not negatively impact the Village’s sanitary sewer pipeline and furthers the intergovernmental cooperation with the Village of Buffalo Grove. Resolution Releasing a Maintenance Surety for LZF Blooms, LLC at 17 South Old Rand Road (Assign Reso. #2026‘02-111) Summary: A guarantee of site improvements in the form of a Letter of Credit (LOC) in the amount of $111,469 was provided in 2022 as a performance and payment security for site work at the development. Upon completion of the work, the LOC was reduced to a maintenance surety in the amount of Motion Authorizing Mayor to Execute Retainer Agreement with Milberg, PLLC for Legal Services Pertaining to AFFF Products Liability Litigation Summary: Execution of this agreement would retain Milberg, PLLC to represent the Village in a national class action lawsuit involving water systems potentially exposed to PFAS, PFOA, microplastics, and other emerging hazardous contaminants. The firm’s services would include evaluating whether the Village qualifies to join hundreds of other water system litigants, including CLCJAWA, in seeking compensation for environmental damage to public water supplies.  Recommended Actioni A motion was made by Trustee Weider, seconded by Trustee Riley, to approve the Consent Agenda as amended With removal of 6G. AYES: 6 Trustees Bharadwaj, Marx, Riley, Spacone, Sugrue, Weider. NAYSI O ABSENT: O MOTION CARRIED. *G. Ordinance Approving an Intergovernmental Agreement between the Central Lake County Joint Action Water Agency and the Village of Lake Zurich, Reaffirming the Lake Michigan Water Project and the Village’s Participation in Financing, Planning, Construction, and Property Acquisition and Ordinance Approving the Acquisition of Underground Water Main Easements and Other Property, and Authorizing Legal Proceedings in Connection With the Lake Michigan Water Project (Assign Ordinances #2026-02-651 and #2026—02-652) Summary: In order to comply with the Illinois Joint Action Water Agency Act (IJAWAA) and the Federal Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (URA), the Village of Lake Zurich must adopt two ordinances authorizing the Village as the Land Acquisition Authority to provide formal offers for water main easements related to the Lake Michigan Water Project pipeline. The alignment of the Lake Michigan Water Project pipeline has been identified and will require the acquisition of easements to install water mains. The alignment traverses’ multiple jurisdictions, including the Villages of Lake Zurich, Vernon Hills, Mundelein, Long Grove, Hawthorn Woods, and unincorporated Lake County. The Village and the Central Lake County Joint Action Water Agency (CLCJAWA) intend to acquire the necessary easements though voluntary purchase-and-sale agreements. This project is funded through the Illinois Environmental Protection Agency (IEPA) State Revolving Fund (SRF), which includes federal funding provided by the U.S. Environmental Protection Agency. The proposed IGA would approve an agreement between CLCJAWA and the Village of Lake Zurich, reaffirming the Lake Michigan Water Proj ect and the Village’s role in the financing, planning, construction, and property acquisition efforts. The agreement designates the Village as the authority responsible for acquiring underground water main easements, including negotiating with property owners and, if necessary, exercising eminent domain. Mayor Poynton requested that Agenda item 6G be pulled from the Consent agenda for a separate vote. Mr. Poynton asked Public Works Dir. Brown if any additional comments were needed on the ongoing project. Dir. Brown gave background on the ongoing transition to Lake Michigan Water Project and that the agreement prOposed would allow the Village to enter into negotiations with property owners on acquiring easements for the Lake Michigan Water pipeline project. Manager Keller stressed that the acquisition was for the easements and that no property would be taken by the Village for the pipeline locations. Village Attorney Uhler spoke on the agreement that no legal proceedings were occurring in relation to the proj ect.  4 Recommended Action #11 Motion to approve an Ordinance #2026-02'651 for an Intergovernmental AgTeement between the Central Lake County Joint Action Water Agency and the Village of Lake Zurich, reaffirming the Lake Michigan Water Project and the Village’s participation in financing, planning, construction, and property acquisition was made by Trustee Weider, seconded by Trustee Spacone AND Recommended Action #22 Motion to approve an Ordinance #2026-02-652 for the Acquisition of Underground Water Main Easements and Other Property, and authorizing legal proceedings in connection with the Lake Michigan Water Project. AYES: 6 Trustees Bharadwaj, Marx, Riley, Spacone, Sugrue, Weider. NAYSI O ABSENT: O MOTION CARRIED. 7. NEW BUSINESS A. Ordinance Approving a Budget Amendment for Fiscal Year 2025 Budget (Assign Ord. #2026-02-653) (Trustee Riley) Summaryi After review of the Fiscal Year 2025 financial projections, several budget amendments have been identified. These adjustments are based on actual year-to—date results and, where applicable, best estimates of projected year‘end activity. The proposed ordinance requires approval by a two-thirds vote of the Village Board with proposed amendments to the budget impacting specific funds. Highlights for the specific funds include the followingi TIF #1 Fund: On November 17, 2025, the Village Board authorized the acquisition of 135 S. Old Rand Road. The transaction closed on December 30, 2025. The General Fund advanced $2,098,745 to the TIF #1 Fund to finance the purchase. The General Fund is eligible for reimbursement from TIF #1 as future incremental property tax revenues become available. Village Debt Service Fund: The interest payment for FY 2025 was rounded down rather than up. Because the Village adopts its budget in whole dollars, a $1 budget amendment is required to properly reflect the full expenditure amount. Risk Management Fund: Fiscal Year 2025 experienced an increase in workers’ compensation activity, the highest level since 2023. The resulting increase in expenditures is fully offset by an additional transfer from the General Fund to cover the cost of these claims. Finance Dir. Kruse presented to the Board the budget numbers and fund transfers from fiscal year 2025 and fiscal year 2026. Recommended Action: A motion was made by Trustee Riley, seconded by Trustee Sugrue, to approve Ordinance #2026-02-653 approving a budget amendment for the Fiscal Year 2025 Budget. AYES: 6 Trustees Bharadwaj, Marx, Riley, Spacone, Sugrue, Weider. NAYS: 0 ABSENT: 0 MOTION CARRIED. 8. TRUSTEE REPORTS There were none. 9. VILLAGE STAFF REPORTS A. Monthly Data Metrics B. Consolidated Fee Schedule Discussion Assistant Village Manager Duebner presented to the Board the changes made t0 the Comprehensive Fee Schedule, how multiple departments collaborated to make the fee schedule more consistent and uniform throughout, focusing on time frames and revising how fees and fines would be implemented. Police Chief Husak presented that fines and fees would now be streamlined, with increased efficiency. Other departments presented that all fees and fines would have same uniformity throughout the Village with the updates to the Comprehensive Fee Schedule. 10. ADJOURNMENT A motion to adjourn the open meeting made by Mayor Poynton, motion approved by Trustee Sugrue, seconded by Trustee Marx. Open Meeting adjourned at 7138 pm, motion carried. Respectfully Submitted: Erin Rauscher, Deputy Village Clerk. Approved byi %/l/ £ J WW / 3vé-gao75 Mayor Thomas M. Poynton Date.