Coal City Village Board of Trustees met March 11.
Here are the minutes provided by the board:
Budget Hearing Water and Sewer / CIP
FY27 Budget Overview
Village Administrator Matt Fritz provided a comprehensive overview of the FY27 budget, beginning with a cover memo that outlined operational expenses and personnel costs. He noted that the village is in good financial shape regarding revenue versus expenses for the upcoming year. Also in attendance were Mayor Dave Spesia, Trustee Dave Togliatti, Trustee Dan Greggain, Trustee Pam Noffsinger, Trustee Ross Bradley, Trustee Bill Mincey, Trustee CJ Lauterbur, Village Clerk Kayla Melvin, Public Works Supervisor Darrel Olson, Water/Sewer Supervisor Tyler Valiente and Superintendent John Huddlestun.
The Administrator highlighted the major budget items for this year-the replacement of North Park playground equipment, to be funded through an outside grant that was scheduled for authorization later in the meeting. He also mentioned that within Hunters Run Park, some asphalt paths were being provided by the North Arrow development on the south side as part of their development agreement, which would help reduce overall project costs. The original submission had been just over $1.2 million.
When asked about the width of these paths, there was discussion about whether they should be 5, 6, or 8 feet wide. The Administrator confirmed that sidewalks being constructed alongside Marguerite would be 6 feet wide, and there was brief consideration of accessibility requirements.
Several new Capital Improvement Projects (CIP) were presented:
Valerio Road Connection to Will Road: The Administrator reported receiving an engineering estimate of $233,000 to complete this roadway section, which would finally allow the road to open after this construction season. Diamond also wants to work on Will Road simultaneously, so coordination efforts are planned. Board members discussed the possibility of making this a larger, improved road in the future, noting it could become a preferred route for bypassing traffic. However, the Administrator estimated that a full upgrade would cost approximately $1 million, which is not feasible at this time.
Drainage Ditch Maintenance: A $280,000 project was proposed for essential drainage ditch maintenance, with an additional $220,000 needed to address all ditches within town. The Administrator noted this would be the first such comprehensive maintenance since around 2008- 2010. Staff discussed the need to begin regular spraying of ditches after cleaning to prevent future buildup.
Commercial Corner Acquisition: The budget includes $300,000 for the acquisition of a commercial corner property.
The Administrator provided updates on various governmental fund revenues, including recent estimates that showed slight increases due to residential growth within TIF District #1. He noted that some large infrastructure projects had been completed, including the lead service line replacement project and water treatment plant construction.
TIF District Financing: There was discussion about the long-term implications of using TIF funds for infrastructure projects. The Administrator explained the water treatment plant financing was designed as a 50/50 split between TIF funds and rates, with payments of approximately $148,000 annually for 20 years. This means the TIF district must remain active for at least 20 years to cover these obligations.
Water & Sewer Operations
Water Treatment Plant Operations: Public Works Superintendent Darrell provided an update on the new water treatment plant, which is now operational despite some remaining work including garage door installation, painting, and skylight installation. The plant features three new softeners, bringing the total to seven operational softeners, plus a new HMO (Hydrogen Manganese Oxide) system for radium removal.
The HMO system operates similarly to softeners but uses a chemical that attaches to radium particles and filters them out. This allows the village to blend treated water back in at 25-30% without hitting radium limits, whereas previously they were limited to only 3-5% blending due to high radium levels of 27 picocuries in the hard water.
Operational Improvements: Staff reported significant improvements in efficiency. Salt usage has decreased from 7.1-7.6 pounds per 1,000 gallons to approximately 5.1 pounds per 1,000 gallons. The plant can now produce 36,000 gallons per hour at 60% capacity, with potential production of nearly 1.6 million gallons per day if running two high service pumps.
Lead and Copper Sampling Changes: The Administrator explained new regulatory requirements that have significantly increased sampling burdens. The village now must conduct 40 samples every six months (80 per year) compared to the previous requirement of 20 samples every three years. Sample locations are fixed and split between the east side of town (where lead service lines have been replaced) and the west side. The paperwork and chain of custody requirements have become much more complex and time-consuming.
Performance Indicators: The budget showed that daily water production has decreased to under 500,000 gallons per day average, while actual income has increased, indicating reduced water loss. This improvement is attributed to infrastructure improvements on Broadway, Carbon Street, and Spring Road, as well as the lead service line replacement program.
Board members requested that water loss percentages be added as a performance indicator in future budgets, though the Administrator noted this data is typically about a year old due to billing cycle timing.
Personnel and Operational Costs: Personnel costs increased because approximately half of the public works staff time is now allocated to water and sewer operations. The budget includes $150,000 for the planned replacement of the Fifth Avenue lift station control panel, with the panel itself costing $48,000.
Efficiency Savings: The new turbo blowers installed during the sanitary modernization project are generating significant electricity savings. The electric pumping budget was reduced from $170,000 to $115,000, representing approximately $55,000 in annual savings. Additionally, ComEd provided a $115,000 rebate for the energy-efficient equipment.
Chemical Costs: The HMO process requires additional chlorine purchases, with the HMO chemical itself costing approximately $30,000 annually – an unexpected expense that wasn’t fully disclosed during the system design phase.
Equipment and Maintenance: The budget includes $50,000 for wells and pumping equipment maintenance, returning to historical levels after higher expenses in recent years due to problems with Well #5, which staff reported is now operating properly.
Rate Structure: The Administrator recommended maintaining water and sewer rates at 0% increase for the current year, noting that the budget balances without rate increases.
Capital Improvement Plan (CIP)
The Administrator presented both a detailed street improvement plan and the comprehensive five- year Capital Improvement Plan.
Street Improvement Projects for FY27:
Valerio Road and Will Road Bridge Elimination: Updated cost estimate of $233,000 (reduced from $250,000 budgeted).
North Broadway Resurfacing: Focused on the section from North Street northward to the bridge, since full reconstruction south of North Street is planned for the following construction season.
Marguerite Sidewalk Improvement: New sidewalks on the west side of Marguerite extending northward from Hunters Run, connecting to existing infrastructure at Oak Street.
Drainage Ditch Cleaning: Utilizing infrastructure fund money for the first comprehensive ditch maintenance since 2008-2010.
Annual Street Resurfacing: Approximately $177,000 remaining for additional street improvements after other projects are funded.
Motor Fuel Tax (MFT) Revenue: Projected at $350,000 for the year, requiring a resolution for adoption.
Five-Year Municipal Projects:
North Broadway Reconstruction: Phase 2 design nearing completion with a street and alley meeting scheduled soon. Construction planned to begin immediately after school ends to minimize disruption.
Commercial Corner Acquisition: Funding allocated as previously discussed.
Building Acquisition: For parks and recreation facilities, with pricing information pending.
Reed Road Construction: Partial payment remaining from $150,000 budget.
State Route 113 Expansion: IDOT has requested a comprehensive corridor study from Carbon Hill Road to I-55 before proceeding with grade separation planning. The state will fund this study.
Quiet Zone Establishment: Expected to be completed this fiscal year.
Park Projects: Hunters Run development funded through OSLAD grant, North Park playground replacement, and Meadow Estates playground improvements including pickleball court surfacing.
Utility Infrastructure Projects:
North Street Water Main Replacement: Major project estimated at $2.7 million, moved to outer years due to funding constraints. Could be accelerated with TIF bond financing if deemed critical before street reconstruction.
Lift Station Improvements: Hunters Run station control panel replacement ($52,000) scheduled for FY28, with both Hunters Run and Fifth Avenue stations requiring repiping ($100,000) in FY29.
Well and Water System Maintenance: Well #6 pump replacement moved up to FY29 ($29,000), water treatment plant zeolite maintenance, and potential additional raw water well construction in FY28.
Water Storage: Additional water storage solutions moved to FY29 based on funding availability.
Vehicle and Equipment Replacement:
Police Squad Cars: Regular rotation schedule maintained.
Public Works Vehicles: New dump truck arriving soon, with next replacement scheduled for FY30. Backhoe replacement may need to advance one year to FY30. The 2003 backhoe replacement should arrive this month.
Specialized Equipment: Trailer replacement planned for after May 1st, with additional utility vehicle replacement scheduled for FY32.
The Administrator noted that the CIP provides a framework for long-term planning while maintaining flexibility to adjust timing based on actual needs and funding availability.
Adjourn
The meeting was adjourned following completion of the budget discussion.
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