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PUBLIC WORKS COMMITTEE 2015/03/04 MinutesPUBLIC WORKS COMMITTEE MEETING WEDNESDAY, MARCH 4, 2015 – 4:30 P.M. MUNICIPAL SERVICES – 800 N. FIELD DRIVE MINUTES I. ROLL CALL/CALL TO ORDER: Chairman Cathy Waldeck called the meeting of the Public Works Committee to order at 4:33 p.m. Aldermen Stanford Tack, Michelle Moreno, and Jack Reisenberg were present. Staff in attendance included Michael Thomas, Director of Public Works; Robert Ells, Superintendent of Engineering; Elizabeth Holleb, Director of Finance; Cathy Czerniak, Director of Community Development; Brian Joyce, Engineering Supervisor; and Robert Kiely, City Manager. Also in attendance were Vic Filippini, City Attorney, and the residents from 1566 N. Waukegan Road. II. APPROVAL OF THE FEBRUARY 11, 2015 PUBLIC WORKS COMMITTEE MEETING MINUTES: Alderman Moreno moved to approve the minutes of the February 11, 2015 Public Works Committee meeting. Alderman Tack seconded the motion, which carried unanimously. III. DISCUSSION OF NON SANITARY SEWER AREAS: Superintendent of Engineering Robert Ells reviewed the areas on North Waukegan Road that are not currently connected to City sanitary sewers. Superintendent Ells explained that until 1998, none of the areas presented to the Committee had City sanitary sewers; instead, each home had their own septic system. The discussion for the Committee is what, if anything, the City would like to do in these areas that there is no connection to the City sanitary sewer system. There have been two requests over recent years for the City to provide sanitary sewers to specific areas. When Bishop Woods Subdivision was being designed, the developer planned to extend the sanitary sewer under Waukegan Road, but the expense was too high for the developer to sustain. Later on, the City and the developer approached the residents in this area to determine interest in a SSA to extend the sanitary sewer, but there was no interest. The second request was from a property owner at 1590 N. Waukegan Road. The response to the property owner was that the City does not pay for these extensions and that they are done via SSA or by a developer. There is a request pending from the residents of 1566 N. Waukegan Road, who were present at the meeting. Their septic system is failing and is in need of Public Works Committee Meeting Minutes from March 4, 2015 Page 2 of 4 replacement. Under City Ordinance, any property within 500 feet of a City sanitary sewer must connect to it if a new home is being built or if the septic system is in need of replacement. This Ordinance would require the residents of 1566 N. Waukegan Road to bring the sewer underneath Waukegan Road and to their property. The residents submitted a letter requesting that this be waived and that they be allowed to replace their septic system due to the expense of bringing the sewer underneath Waukegan Road and to their property. Superintendent Ells added that it is the Lake County Health Department that permits the septic systems within the County, but they are familiar with individual municipalities’ Codes and Ordinances. Therefore, the County is requiring a letter from the City granting approval for the replacement of the septic system for this location before they will proceed in permitting the project. City Attorney Vic Filippini reviewed the options available to the City. 1.) The City does not have to extend the sanitary sewer at all. 2.) The City can fund the entire project as part of an extension of infrastructure and treat connections to that sanitary sewer no different than locations in which sanitary sewers already exist. City Attorney Filippini noted that with this option, the expense of the project comes directly out of the capital budget and that there is no way for the City to recoup these funds. 3.) The City can fund the project and charge a special connection fee for any connection to the sanitary sewer in order to recover money spent on the extension of the sanitary sewer. 4.) An SSA can be instituted, which creates a mechanism for bonds to be issued and for the taxpayers in the special service area to pay for this cost over time. The difference between the special connection fee and the SSA is that at the time of connection when there is a special connection fee, the resident pays the entire amount at that time. The SSA allows payment over a period of time with an interest component. The SSA never actually hits the City’s bottom line like it would if it was paid for out of capital funds. Mr. Filippini reviewed other items of consideration such as timing of the connection to the sanitary sewer in terms of County and City requirements. Alderman Tack asked about the potential for a hybrid option in which the City recognizes that it is unreasonable to require a resident to run the sanitary sewer under Waukegan Road, but then the connection to the sewer still be the responsibility of the individual homeowner. Mr. Filippini explained that this is an option, but that this may not always be an alternative because the benefit to one home is not always cost effective. Superintendent Ells noted that no hard engineering has been completed, so exact costs for this project are unknown at this time. Public Works Committee Meeting Minutes from March 4, 2015 Page 3 of 4 City Manager Robert Kiely explained why the Committee was discussing this item and the immediate need for a decision for the residents at 1566 N. Waukegan Road. Chairman Waldeck asked how many residents would be impacted by this project, and how many residents are interested in connecting to City sanitary sewers. City Manager Kiely replied that staff wanted to discuss the policy issue with the Committee before polling the neighbors for interest. Superintendent Ells added that there are approximately 44 current lots total from both subdivisions, that would be impacted by this project. There have been no requests from this area except for the ones noted earlier in the meeting and the current request under consideration. Alderman Reisenberg questioned why the City is driving this issue. City Manager Kiely explained that the economics do not work with the current policy. The question is if the City wants to initiate this project knowing that the City will benefit in terms of development if sanitary sewers are available. Otherwise, the City will need to accept that this area will always be septic because the economics will never work to extend it and make it happen. It’s a universal problem, but never at the same time. Alderman Tack asked about the average life of a septic system and of an SSA. Both are approximately 20 years. Septic systems can last longer with proper maintenance, but there are many factors to consider. Director of Community Development Cathy Czerniak added that not having sewers in this area have hampered development. Mr. Filippini suggested that the first question to be answered is if the City is going to extend the sanitary sewer under Waukegan Road, and then, if so, how it will be done. The Committee discussed the feasibility of a financial analysis. Superintendent Ells recommended that an introductory step would be to authorize preliminary engineering. This would provide a better cost estimate and would allow further discussions about how the cost could be divided up amongst all of the stakeholders. Superintendent Ells explained that this is the information staff would bring to the residents. Alderman Moreno asked if preliminary engineering would be done for both areas. Mr. Filippini noted that the SSA for these two areas would be separate. City Manager Kiely explained that both areas could be done, if that was the direction the Committee wanted to follow. Preliminary engineering would be completed for the purpose of determining estimated costs for each project and then meet with the neighbors to gauge their interest. Staff would then return to Public Works Committee to discuss the topic further. Chairman Waldeck asked about the timeframe. Superintendent Ells replied that if funds were authorized for preliminary engineering, it would take approximately 60 – 90 days to receive a report from the engineering company. Public Works Committee Meeting Minutes from March 4, 2015 Page 4 of 4 The residents from 1566 N. Waukegan Road explained the urgency of their situation based on their failed septic system. Their septic system has currently failed and is in need of replacement immediately. They are unable to fix their septic system in order to wait for this process for the sanitary sewer installation, if approved by the City and the neighbors. Based on Committee discussion, staff will proceed with preliminary engineering for the entire project, but also design engineering to stub out underneath Waukegan Road. Staff will also work closely with the residents from 1566 N. Waukegan Road and begin sending letters to the neighbors to gather the information needed to proceed. The Public Works Committee authorized the expense of the preliminary engineering for the two areas presented. Superintendent Ells reviewed the third area on North Waukegan Road that is not connected to City sanitary sewer. The Committee agreed not to include this area in preliminary design at this time. IV. OTHER ITEMS • Director of Public Works Michael Thomas distributed the draft Water Well Code Amendment. He asked the Committee to review the draft, which will be discussed at the April 6 Public Works Committee Meeting and again that night at City Council. V. OPPORTUNITY FOR PUBLIC COMMENT: None. VI. NEXT MEETING: The next meeting will be held on April 6, 2015 at 5:00 p.m. at City Hall. VII. ADJOURNMENT: Alderman Moreno moved to adjourn the meeting of the Public Works Committee at 5:54 p.m. Chairman Waldeck seconded the motion, which carried unanimously. Respectfully submitted, Donna Dunn Assistant to the Director of Public Works