City Council Planning Sessions

M emorandum Sharon Barrett-Hagen City Clerk TO: RECORD DATE: APRIL 14, 2015 SUBJECT: APRIL 13, 2015 PLANNING SESSION The Planning Session took place in the Council Chambers, Wheaton City Hall, 303 W. Wesley Street, Wheaton, Illinois. Those attending the Planning Session included Mayor Gresk, Councilwoman Corry, Councilman Prendiville, Councilman Saline, Councilman Rutledge, Councilman Scalzo, and Councilman Suess. Also in attendance were City Manager Rose, Assistant City Manager Dzugan, Director of Engineering Redman and Director of Planning & Economic Development Kozik. The following items were discussed: I. Call to Order The Wheaton City Council Planning Session was called to order at 7:25 p.m. by Mayor Gresk. II. Approval of March 9, 2015 Planning Session Minutes The City Council approved the March 9, 2015 Planning Session minutes. III. Downtown Projects – Financing Strategies City Manager stated the strategic plan adopted by the Council last year set forth a number of public enhancements to the Central Business District. He indicated it is staff’s belief that financing options for these plans should be considered and staff asked Ehlers to present information on various funding options available to the City. Ms. Jennifer Tammen, Municipal Advisor, Ehlers reviewed a power point presentation outlining possible revenue sources the City could utilize to fund the downtown improvements. Ms. Tammen explained that potential revenue sources include tax increment financing (TIF), a special service area (SSA), a business district sales tax, a local sales tax, a city-wide food and beverage tax, general obligation debt financing or a special assessment. She stated the City could consider extending and expanding the TIF 1 and TIF 2 districts, levying a specific amount of money under a SSA, utilizing funds from the City’s General Fund, establishing additional taxes and financing with general obligation bonds for 15 years. In response to Council questions, Ms. Tammen stated that TIF districts can be extended, but that extension would need agreement by other taxing bodies and approval by the State legislature. City Manager Rose stated the estimated cost for the downtown improvements is $53M and the Council will need to review and prioritize the implementation of the various projects. Council members discussed utilizing TIFs to generate monies towards the annual revenue requirement of $4.8M for the downtown development projects. City Manager Rose indicated the first step to be taken in considering this approach would be to meet with the park and school districts for their agreement, which would be necessary to move forward with this financing option. Council members believe that this option is more preferable and would provide more revenue than other options, such as raising taxes. Council members feel there is a collateral long-term benefit to the entire community by improving the downtown area. The general consensus of the Council was to request the City Manager consult with the other taxing bodies and explore extending and/or expanding the TIF districts. IV. Downtown Wheaton Association Funding Request City Manager Rose stated the City has received a request for $40,000 in additional funding for the DWA for expanded marketing efforts, as well as $36,000 to launch a “Living Wheaton” magazine. Ms. Paula Barrington, Executive Director of the DWA, summarized the promotional events the DWA provided over the past year, and the enhanced marketing the DWA was able to perform with the $41,000 supplemental funding the City provided in November of 2014. She indicated $20,000 of that money will be carried over for additional events in the 2015-16 fiscal year. Mr. Jim Mathieson, DWA Board President, explained that the $40,000 funding request would allow enhanced marketing efforts by the DWA. He stated that money is not necessary for day to day operations of the DWA, but would enable them to enhance and expand their marketing to bring more people into Downtown Wheaton. Council members expressed appreciation for the work the DWA is doing in promoting Wheaton, but also expressed concerns over providing a 25% increase in additional funding and using General Fund monies to provide advertising for businesses. A majority of the City Council expressed support for the $40,000 funding request. Mr. Rick Erickson, DWA Board members, explained the DWA’s $36,000 request to launch a local magazine focusing on Wheaton and what Wheaton has to offer. He explained that the magazine would provide advertising which would, in time, pay for the costs of the magazine. Mr. Erickson stated the DWA is essentially seeking seed money to help get the magazine project off the ground. Mr. Ron Dieter, DWA Board Treasurer, feels the DWA has submitted a conservative and realistic proposal. He confirmed they would need to establish professional partnerships in order to publish the magazine and to sell the ad space. 2 In response to Council questions, Director of Planning & Economic Development Kozik stated that TIF monies could be applied to market related uses, but that would require further review. Council members generally felt the “Living Wheaton” magazine is a good idea, but in view of the current financial situation in the City and possible cuts in State monies, the Council was not able to support the $36,000 funding request. V. Manchester Water Tower Painting In his April 7 memorandum, City Manager Rose indicated that while a bid award had been granted to paint the Manchester water tower, which included replacing the existing “Wheaton” signage on the east side of the tower for $8,000, a question had been raised about also including that signage on the west side of the tower for an additional cost of $5,300. Three City Council members proposed including the “Wheaton” signage on the west side of the tower and eliminating the signage on the east side of the tower. Four City Council members preferred that no signage be included on the tower, resulting in an $8,000 reduction in the painting costs for the water tower. VI. Public Comment None. VII. City Council/Staff Comments Councilman Rutledge congratulated the winners of the April 7 election and expressed his appreciation to all the candidates who ran for office. VIII. Adjournment The meeting was adjourned at 9:27 p.m. 3