Grundy Reporter

Channahon Village Board Committee of the Whole met September 18.

Here is the minutes provided by the Committee:

Village President Missey Moorman Schumacher called the meeting to order at 6:00 p.m. with Trustees Greco, Host, McMillin, Perinar, Scaggs and Slocum present.

Also present were Village Administrator Thomas Durkin, Director of Community Development and Information Systems Mike Petrick, Director of Public Works Ed Dolezal, Chief of Police Jeff Wold, Village Attorney David Silverman and Village Clerk Kristin Hall.

VP Moorman Schumacher informed everyone present that anyone who speaks at the meeting shall be deemed to have given his/her consent to the recording of their likeness and speech. This meeting is being recorded.

Administration Department:

Village Administrator Tom Durkin stated there were no informal items for consideration.

Community Development & Information Systems:

Annexation Agreement for Tank Cleaning Solutions, LLC

Director of Community Development and Information Systems Mike Petrick stated last week, he, along with Administrator Durkin and Village Attorney Silverman drafted a letter to TCS suggesting that the public hearing be closed and this discussion start over when they can overcome the easement issues. They have not yet responded to that letter, so the suggestion by Attorney Silverman is to continue this to the October 2, 2017 meeting to give them time to respond.

VP Moorman Schumacher clarified that TCS is the business on the northwest frontage road, not the Big Basin property. Petrick confirmed that was correct.

Finance Department:

An Ordinance Amending the Village of Channahon Code of Ordinances with Respect to the Fee for Video Gaming Terminals

Tom Durkin stated this is the second read of the Ordinance, which was presented at the last board meeting. This Ordinance is related to the items that are defined in the Illinois Video Gaming Act, which are slot machines and not arcade games. The fee is paid by the operator every calendar year. Non-Home Rule municipalities can only charge $25 per machine, which is the maximum per statute. Home Rule municipalities can charge whatever fee they deem appropriate. Included in the packet is information from surrounding communities on the fees they charge for these machines. They range from $25 per machine, for the Non-Home Rule municipalities all the way up to $1,000 per machine, as in Tinley Park and Buffalo Grove. This Ordinance proposes that in 2019 it become effective that the fee per machine increase to $200 and 5 years out, that amount is $250 per machine.

VP Moorman Schumacher stated for 2018 the fee would not change at all. For 2019 and 2020, the fee would increase to $200 per machine. For 2021 and 2022, the fee would increase to $250 per machine and at that time we would re-address it.

Tom Durkin stated that was correct. The reason for doing this is to stay up with revenue sources for the Village as we are faced with so much uncertainty at the State level. Currently there are 32 video gaming terminals at 8 different locations in the Village, Lucky Penny has since closed. Under the current fee amount, the revenue received from the Video Gaming Terminals is $3,400 annually. Included in your packet is a history of the tax revenue realized by the Village since the inception of the program.

VP Moorman Schumacher asked how terminal operator is defined by the Act. It is her understanding that the terminal operator and the business have the ability to negotiate payment of this fee with the provider. From our end, it’s the terminal operator responsibility, not the business.

Tom Doud, owner of Channahon Lanes, stated that was not correct. It has to be shared according to the Illinois Gaming policy effective February 1, 2017. Any fee for the operation of a Video Gaming Terminal, imposed by a municipality, must be shared equally.

Chris Sarris, owner of The Office Bar & Grill, asked what the revenue was that the Village received from the machines.

Tom Doud stated in 2016, the Village received $45,695.18 from Gaming Revenue. Through August 2017, the Village has received $40,398.19. Last year from September to December, the Village received $15,578, which, if projected over the course of a year, would be a $10,000 increase.

Trustee Slocum asked what the breakdown of percentages were for the manufacturers of the machines, the State of Illinois, locally, and then to the business owners.

Tom Doud stated 35% to the manufacturers, 30% to the State of Illinois, 5% to the Village and 30% to the owners. In Illinois, if manufacture make the machine, you can’t distribute the machine. If you distribute the machine, you can’t have the location.

VP Moorman Schumacher stated even if we make $50,000, the businesses makes six times what we make.

Trustee Slocum stated he just wanted to break it down. Many people don’t realize where the money is going.

Police Department:

Chief of Police Jeff Wold stated there are no formal items.

Public Works Department:

Hire Contractor for Parkway Tree Replacement Program

Director of Public Works Ed Dolezal stated this is our 50/50 cost share replacement program, primarily due to the Ash Trees we are taking down. We have budgeted $20,000 in expenses, same as the previous year. The Fields had the best price proposal, so we are looking for approval of this proposal, not to exceed $20,000.

Trustee Scaggs stated every fall he gets 8-10 trees. His cost is $275-$300 per tree for 10 trees installed. The proposal is $395 per tree. Scaggs inquired whether can we get additional bids or do we have to vote tonight.

Dolezal stated that the Village seeks providers who can conform to the Village and State guidelines. We will continue to look to see if we can find more providers in the future.

Communications

Public Comment

Executive Session

The Committee of the Whole was adjourned at 6:15 p.m.

http://www.channahon.org/wp-content/uploads/downloads/2017/10/2017.09.18-Comm-Minutes.pdf