CITY COUNCIL 04/02/2012
THE CITY OF LAKE FOREST
CITY COUNCIL AGENDA
Monday, April 2, 2012 7:30 p.m.
City Hall Council Chambers
CALL TO ORDER AND ROLL CALL
Honorable James J. Cowhey, Jr., Mayor
Kent Novit, Alderman First Ward Thomas Morsch, Jr., Alderman Third Ward
Catherine Waldeck, Alderman First Ward Donald Schoenheider, Alderman Third Ward
David Moore, Alderman Second Ward Robert Palmer, Alderman Fourth Ward
George Pandaleon, Alderman Second Ward Michael Adelman, Alderman Fourth Ward
PLEDGE OF ALLEGIANCE
REPORTS OF CITY OFFICERS 7:30 p.m.
1. Comments by Mayor
A. Resolution of Appreciation for Scott Kaye for 26 Years of Service
Copy of Resolution beginning on page 10.
RECOMMENDED ACTION: Approve Resolution as presented
2. Comments by City Manager 7:35 p.m.
A. Update on Recycling Program
PRESENTED BY MICHAEL THOMAS, DIRECTOR OF PUBLIC WORKS
Draft mailer and photos of recycling bins are attached beginning on
page 11 for City Council comments and review.
3. Comments by Council Members 7:45 p.m.
OPPORTUNITY FOR CITIZENS TO ADDRESS THE CITY COUNCIL ON NON-AGENDA ITEMS
ITEMS FOR OMNIBUS VOTE CONSIDERATION 8:00 p.m.
1
April 2, 2012 Agenda
A.
Check Register For Period February 25 - March 23, 2012
Fund Invoice Payroll Total
General 393,131 1,018,329 1,411,460
Water & Sewer 106,835 112,842 219,676
Parks & Recreation 113,181 294,667 407,848
Capital Improvements 451,488 4,592 456,080
Bond Funds - Projects 6,165 0 6,165
Motor Fuel Tax 79,547 0 79,547
Cemetery 1,843 15,484 17,328
Senior Resources 12,773 18,933 31,707
Deerpath Golf Course 43,623 13,471 57,094
Fleet 28,442 36,226 64,668
Debt Funds 0 0 0
Housing Trust 0 0 0
Park & Public Land 0 0 0
All other Funds 141,490 10,472 151,962
$1,378,517
$1,525,017
$
2,903,534
B. Award of Lake Forest share of the joint 2012 Annual Street Resurfacing (ASR)
Program contract.
PRESENTED BY RAMESH KANAPAREDDY, P.E., CFM, CITY SURVEYOR & ENGINEER
PURPOSE AND ACTION REQUESTED: Staff requests awarding Lake Forest share of the joint
2012 Annual Street Resurfacing Program contract to Peter Baker & Son.
BACKGROUND/DISCUSSION: In 2010, the City conducted the pavement structural analysis
test, which is done every five (5) years, on the entire City street inventory of
approximately 130 miles. The test culminated in developing a 5-yr annual pavement
rehabilitation program identifying the streets to be resurfaced each year. The 5-yr ASR
program was discussed at the November 21, 2011 Capital Improvements Plan budget
meeting and at the March 19, 2012 City Annual budget meeting.
City Staff have previously briefed the Council on Municipal Partnership Initiative (MPI), a
program that takes advantage of economies of scale, for securing low bid prices,
among neighboring municipalities who bid similar projects each year. This year, the City
joined forces with Highland Park, Lake Bluff and Lincolnshire to do a joint bid for the ASR
program.
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April 2, 2012 Agenda
In 2012, City plans to resurface approximately 6 center-lane miles of streets. The streets to
be resurfaced are:
Street From To
Alexis Court Old Mill Rd Cul-de-sac
Everett Road Old Elm Rd Ridge Rd
Granby Road McKinley Rd Wisconsin Ave
Green Bay Road Westleigh Rd Old Elm Rd
Griffith Road Mills Ct Woodland Rd
Lake Road Spruce Ave Cemetery Circle
Mills Court McKinley Rd Cul-de-sac
Noble Avenue McKinley Rd Edgewood Rd
Old Elm Road Skokie Highway (Rt. 41) Grandview Ln
Ridge Road Kennedy Rd (Rt. 60) Old Elm Rd
Rose Terrace McKinley Rd Edgewood Rd
Savanna Court Melody Rd Cul-de-sac
Scott Street McKinley Rd Wisconsin Ave
Westleigh Road Yorktowne Ln Ridge Rd
The Lake Rd resurfacing, from Spruce to Cemetery, was scheduled to be paved last year
but the residents in this block had expressed an interest to install curbs prior to the City
paving the street. One of the residents, Mr. Jim Ringler, volunteered to initiate the process
for installation of curb plans and to collect signatures from the four homeowners that are
responsible for paying the costs associated with the installation of curbs. Mr. Ringler did
contact all residents last fall to get their consent prior to the City designing the work and
including it in this year’s paving program. This spring City staff upgraded the storm sewer
at the entrance of the cemetery to ensure positive drainage in this block. As part of the
paving program the City will pave a portion of the cemetery road where the storm sewer
was installed. The City will upfront the costs for the curb portion of the project and will be
reimbursed by the residents in this block upon final billing of the project.
Also as part of 2012 ASR program, the City will be paving Settler’s Square and Gloucester
Crossing areas. This TIF funded portion of the project entails streetscape improvements in
the Settlers Square area by installing a decorative sidewalk in the island along with
sidewalk, curb & gutter replacements, and repaving the limits of construction. The
improvements in Gloucester Crossing include granite crosswalks, sidewalk and curb &
gutter replacements, and repaving the street.
No streetscape improvements work will be done on the west end of Settler’s Square due
to the upcoming construction of the pedestrian underpass tunnel beneath the railroad
tracks by the Telegraph Rd Train Station. The west end of Settler’s Square streetscape
improvements along with installation of granite crosswalks in the Settler’s Square area will
be coordinated with the construction of the pedestrian underpass tunnel project. The
streetscape and hardscape improvements were developed with input from local
businesses and from Deerpath Garden Club.
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April 2, 2012 Agenda
All document tasks related to Lake Forest portion of final engineering plans and joint bid
contract documents were done by in-house Engineering Staff. Last year, Lake Forest was
the lead agency and this year’s Highland Park is the lead agency on behalf of the four
Lake County municipalities. The joint contract bid specifications provided details on all
four communities respective bid quantities to assist the winning contractor in planning the
joint ASR program.
BUDGET/FISCAL IMPACT: The project was bid in early March with the bids being opened
on March 22, 2012. A total of three (3) firms bid the joint project. The bid price consists of
bid quantities that are to be completed by the four municipalities as part of their
respective resurfacing program.
The following is a summary of the bids received:
BIDDER BID PRICE
Peter Baker & Son $3,295,925.47
Curran Contracting $3,447,499.93
Johnson Paving $3,752,979.66
The breakdown of the bid specific to Lake Forest bid items are summarized below:
BIDDER LAKE FOREST SHARE
Peter Baker & Son $1,763,794.12
Curran Contracting $1,885,592.50
Johnson Paving $2,078,787.31
Engineer’s Estimate $1,940,444.00
The low bidder for the combined bid, Peter Baker & Son, has considerable experience
working in Lake Forest and has been performing projects in a satisfactory manner.
As part of annual pavement inspection for potholes and in response to resident inquiries,
City staff also evaluates the condition of city streets in order to add additional streets to
the Annual Street Resurfacing program provided that the estimate is within the budgeted
amount. Ahwahnee Ln between Deerpath and Ahwahnee Rd, with noticeable surface
deterioration, is scheduled to be repaved in 2013. The pavement analysis test conducted
in 2010 on Ahwahnee Ln did rank the street in poor condition.
The Engineer’s estimate to repave Ahwahnee Ln is approximately $90,000.00. Based on
the Peter Baker & Son bid for the Lake Forest share of the 2012 ASR program, adding
Ahwahnee Ln to the original contract would still be under the budgeted amount of
$1,700,000. In order to maximize savings for the City and take advantage of competitive
bidding prices, staff recommends adding Ahwahnee Ln to the Lake Forest share of the
2012 Annual Street Resurfacing program.
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April 2, 2012 Agenda
The breakdown of Peter Baker & Son bid between the various funds is summarized below:
FUND BAKER BID PRICE
(INCL. 5% CONTIN) ENGINEER’S ESTIMATE
Capital Fund $1,669,905.44 $1,683,112.50
Lake Rd Residents
(Capital Fund) $27,786.00 $31,829.63
TIF $235,143.65 $315,501.85
Total $1,945,981.57 $2,030,444.00
All four municipalities are scheduled to award their respective contracts in the month of
April and the Lake Forest share of the combined bid from Peter Baker & Son in the
amount of $1,945,981.57 is lower than the Engineer’s Estimate and all four municipalities’
staff believes this joint bid to be fair.
This is the second year the City of Lake Forest has participated in a joint bid on the Annual
Street Resurfacing program and the program has been working well in terms of
completion timeline and providing savings to the City. City Engineering staff will provide
daily inspectional services oversight for the Lake Forest portion of the contract to minimize
any potential complaints from residents and businesses.
If awarded, work on this project is expected to begin in mid-May and be substantially
completed by mid-October. Upon award of the contract, all four municipalities will meet
with the contractor to get a tentative schedule for each community. The property
owners near the vicinity of the construction work for Lake Forest portion of the 2012 ASR
program will be notified in advance of the start of construction. The City website, under
Construction Updates, will also provide the details the construction schedule.
Below is an estimated summary of Project budget:
FY2013 Funding Source Amount
Budgeted
Amount
Requested
Budgeted?
Y/N
Capital Fund $1,700,000.00 $1,699,080.74 Y
**TIF $475,000 $246,900.83 Y
Total $2,145,000.00 $1,945,981.57 Y
** - The TIF budgeted amount also include landscape enhancements which are not part
of this Annual Street Resurfacing program contract.
RECOMMENDED ACTION: Staff recommends awarding the Lake Forest share of the joint
2012 Annual Street Resurfacing Program contract to Peter Baker & Son in the amount of
$1,945,981.57 to include authorization to expend, if necessary, for unforeseen change
orders that may occur during the administration of this project.
C. Ordinance Revising the City Code Regarding Number of Liquor Licenses
Copy of Ordinance beginning on page 15.
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April 2, 2012 Agenda
D. Approval of the March 19, 2012 City Council meeting minutes
Copy of March 5, 2012 minutes beginning on page 18.
RECOMMENDED ACTION: Approve omnibus items as presented.
Conduct A Public Hearing To Consider A Proposed Plan Of Operation And Governance
For The City's Residential And Small Commercial Retail Electricity Aggregation Program
ORDINANCES 8:30 p.m.
A. Approval of an Ordinance Authorizing an Electricity Aggregation Program Pursuant
to the Illinois Power Agency Act, Final Approval of an Ordinance approving the
Plan of Governance, and Approval of a Resolution Approving a Power Supply
Agreement and (Authorizing the City Manager to execute documentation)
PRESENTED BY CARINA WALTERS, ASSISTANT CITY MANAGER
PURPOSE AND ACTION REQUESTED: In order to implement an opt-out electric aggregation
program, the City is required to hold two public hearings, adopt an ordinance approving
a Plan of Governance (POGO), and approve an ordinance authorizing an aggregation
program and a resolution approving a power supply agreement that also authorizes the
City Manager to execute final documentation.
A) Electric Aggregation Ordinance
The Illinois Power Agency Act authorizes The City of Lake Forest to adopt an ordinance
authorizing an electricity aggregation program based upon the passage of a
referendum. An electrical aggregation program allows the City to aggregate electrical
loads of residential and small commercial retail customers and to solicit bids and enter
into service agreements to facilitate the sale and purchase of electricity and related
services and equipment for those electrical loads.
Pursuant to the Lake County general election results, on March 20 the voters of the City
approved a referendum authorizing the operation of an “opt-out” program by 74%. A
copy of the Ordinance is attached to your packet beginning on page 28.
B) Plan of Operation and Governance (POGO)
The Plan of Operation and Governance (POGO) outlines the roles and responsibilities of
the Consortium, the City, the aggregation consultant and the electrical aggregation
implementation process. For your convenience a final version of the POGO is attached
beginning on page 30 of your packet.
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April 2, 2012 Agenda
C) Resolution approving Power Supply Agreement (and authorizing the Manager to
execute documentation)
Pursuant to the Illinois Power Agency Act, this evening The City of Lake Forest will adopt
the electric aggregation ordinance and a POGO in order to run an aggregation
program.
In being part of the North Shore Electricity Aggregation Consortium which was formed to
facilitate the cooperation of its member municipalities toward obtaining the lowest
electricity rates for their respective residents and small businesses. The Consortium sought
bids for the award of contract for the provision of electricity through the aggregation
process and has identified MC Squared Energy Services, LLC as the lowest bidder that
submitted a proposal.
The Consortium, City and MC Squared LLC, will monitor electricity rates on a daily basis to
secure the best rate possible. By approving the resolution, this confirms the contract with
MC Squared LLC, and authorizes the City Manager to secure the final electricity price
and any documentation on behalf of the City. A copy of the resolution can be found on
page 46 of your packet.
RECOMMENDED ACTION: If appropriate and should the City Council desire, A) Waive First
Reading and Grant Final Approval of an Ordinance Authorizing an Electricity Aggregation
Program Pursuant to the Illinois Power Agency Act; B) Approve Second Reading and
Grant Final Approval of an Ordinance approving the Plan of Governance and C)
Approve a Resolution Approving a Power Supply Agreement and Authorizing the City
Manager to execute documentation the City Manager to execute documentation to
secure a final electricity price for the City's Residential and Small Commercial Retail
Electricity Aggregation Program.
B. Consideration of an Ordinance approving a Fee Schedule for The City of Lake
Forest (FIRST Reading)
PRESENTED BY DIANE HALL, ASSISTANT FINANCE DIRECTOR
As discussed at the March 19 Finance Committee Budget meeting, it is recommended to
increase water rates for customers inside the City to $4.99/1000 gallons and $6.85/1000
gallons for water customers outside of the City. This recommendation is a 1.5% increase,
which is based on the CPI. This will allow proper funding of the FY13 water fund budget.
The attached survey on page 53 shows that The City of Lake Forest’s rate structure
continues to be in the middle of surrounding communities.
RECOMMENDED ACTION: Grant First Reading to the ordinance approving a fee schedule
for The City of Lake Forest.
7
April 2, 2012 Agenda
NEW BUSINESS 9:00 p.m.
A. Award of Bid for the Operation of the City’s Compost Facility
PRESENTED BY MICHAEL THOMAS, DIRECTOR OF PUBLIC WORKS
PURPOSE AND ACTION REQUESTED: Staff is requesting City Council approval for an agreement to
manage the yard waste processing at the City’s Compost Center.
The current three year agreement with P. Clifford Miller, Inc. will expire on April 30, 2012. Staff
recently received bids to either process the approximate 10,000 compacted yards of yard
waste on site or provide transfer trailers to the City to have its yard waste delivered and
processed at a different licensed compost facility.
BACKGROUND/DISCUSSION: At the March 19, 2012 City Council meeting, staff
recommended awarding a bid to operate the City’s Compost Center to the low bidder.
However it was noted that staff mistakenly did not highlight the fact that the low bidder
was seven minutes late with his bid. Acknowledging the mistake, the City’s attorney
clarified that City Council could either waive the bidding process and award the
agreement directly to a particular company or direct staff to re-bid the services. With not
having the required two-thirds vote to waive the bidding process, City Council decided
to table the item until this evening’s meeting. Since that time, staff was able to obtain a
video tape showing that the recommended low bid did in fact submit his bid to the City
before the 10 a.m. deadline on March 8th. Therefore the issue of the low bidder possibly
providing a “late bid” no longer exists.
With the agreement at the end of its term, staff received the following bids on March 8,
2012:
Company Operate / Transfer Bid Amount
P. Clifford Miller Operate $115,200
Thelen Materials, LLC Transfer $147,200
D.K. Organics Did Not Meet Bid Specs. -----------
BUDGET/FISCAL IMPACT: Staff is recommending that the City continue its compost
operation with P. Clifford Miller, Inc. and the draft agreement is found on page 54 of this
packet. If the City were to choose to transfer the material instead, Sanitation employees
would need to load a transfer trailer on a daily basis. This would require at least ten hours
per week for a nine month period. The personnel and equipment cost of approximately
$25,000 annually would therefore need to be added to Thelen Materials LLC’s bid
amount.
D.K. Organics bid did not meet the specification because it required the City, with its own
trucks and equipment, transfer all yard waste material to D.K.’s site in Lake Bluff. This
would result in City Sanitation crews loading all loose material dropped off by the Parks &
Forestry operations and resident drop-off, into City’s packer trucks to obtain D.K.’s
compacted yardage rate. This did not meet the transfer specification whereby the
bidder would supply empty transfer trailers and switch out each trailer when it was full.
8
April 2, 2012 Agenda
During F.Y. ’13, staff will further evaluate the feasibility of performing such services with in-
house staff and purchasing the needed grinder. Therefore staff is recommending that
City Council approve a one year agreement with the option to renew for a second and
third year. Each additional year could have a possible negotiated increase equal to or
less than the determined C.P.I.
FY2013
Funding
Source
Account Number
Account
Budget
Amount
Requested
Budgeted?
Y/N
General 101-5245-432-35-10 $115,200 $115,200 Y
RECOMMENDED ACTION: Based on the lowest responsible bidder, staff recommends that
P. Clifford Miller, Inc. be awarded the agreement to operate the City’s Compost Facility
for the monthly flat rate of $9,600 (this equates to $115,200 annually). Staff further
recommends that an option be approved to renew the contract for an additional second
and third year. Each additional year could have a possible negotiated increase equal to
or less than the determined C.P.I.
ADDITIONAL ITEMS FOR COUNCIL DISCUSSION
ADJOURNMENT 9:30 p.m.
Office of the City Manager
March 30, 2012
The City of Lake Forest is subject to the requirements of the Americans with Disabilities
Act of 1990. Individuals with disabilities who plan to attend this meeting and who require
certain accommodations in order to allow them to observe and/or participate in this
meeting, or who have questions regarding the accessibility of the meeting or the
facilities, are required to contact City Manager Robert R. Kiely, Jr., at (847) 234-2600
promptly to allow the City to make reasonable accommodations for those persons.
9
RESOLUTION
WHEREAS, SCOTT D. KAYE has been a dedicated employee of The City of Lake Forest
since May 13, 1986; and
WHEREAS, SCOTT D. KAYE will honorably retire from the City on April 18, 2012; and
WHEREAS, SCOTT D. KAYE served in the following position during his dedicated career:
Maintenance Worker II in the Streets Section from 1986 to 2012; Assistant Supervisor in the
Streets Section from 1988 to 2009; and primary JULIE locator; and
WHEREAS, SCOTT D. KAYE was instrumental in the City of Lake Forest traffic signal
conversion to LED and participated in the Ad Hoc Street Lighting Committee; and
WHEREAS, SCOTT D. KAYE was actively involved in the five-year capital improvement
program to convert City street lights from mercury vapor to metal halide lighting; and
WHEREAS, SCOTT D. KAYE was a vital member of the snow program as a snow operations
coordinator by managing salting and plowing operations for the City during countless snow storms and
as a mainline plow driver responding to numerous callbacks and overtime assignments, most notably
during the blizzard of 2011; and
WHEREAS, SCOTT D. KAYE was primary in maintaining the City’s gas and electric street
lights.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
LAKE FOREST that the Council, on behalf of the administration and residents of the community,
hereby expresses its appreciation and gratitude to SCOTT D. KAYE for a public service faithfully
performed; and
BE IT FURTHER RESOLVED that the City Clerk be and hereby is instructed to deliver a copy
of this resolution duly signed by the Mayor to SCOTT D. KAYE this 2nd day of April 2012.
Mayor
10
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Fax: 704-588-1862
Email: general@ssimail.net
www.ssi.schaefer-us.com
INTELLIGENCEIN MOTION11
12
Attention ALL Lake Forest Residents
An Important Change! Go Green….$ave Green!
Last fall, The City of Lake Forest implemented the first phase of replacing all recycling
bins with wheeled recycling carts. Free 65-gallon carts were provided to half the
households in our community. All households that did not receive a cart in 2011 will
receive one in the fall of 2012.
Presorted
Standard Mail
US Postage Paid
Lake Forest IL
Permit No. 64
Time for ALL Residents
to Recycle à la Cart!
PhAse 2 ResIdenT - FALL 2012
IF you did not receive A
65-GALLon CART LAsT FALL
no action is required.
A 65-gallon wheeled cart will automatically be
delivered to all remaining households on recycling
days this fall. Due to the City’s new efficient,
automated pick-up, once your new cart is delivered,
your existing bins can no longer be used for recycling.
You are welcome to keep your bins to use for other
purposes – or place your old bin(s) next to your new
cart to be recycled on your pick-up day.
IF you wouLd RATheR ReCeIve
A 35-GALLon CART ThIs FALL
You must pre-order a 35-gallon cart by
no later than tuesday, May 15, 2012.
Simply visit www.cityoflakeforest.com and click on the
Recycling à la Cart icon or if you do not have Internet
access, call (847) 810-3582 to order the smaller cart.
PhAse 1 ResIdenT - FALL 2011
IF you alreadY have A 65-GALLon
CART buT PReFeR To TRAde IT In
FoR A 35-GALLon CART
Please submit your request for exchange by
no later than tuesday, May 15, 2012.
Simply visit www.cityoflakeforest.com and click on
the Recycling à la Cart icon or if you do not have
Internet access, call (847) 810-3582 to request an
exchange for the 35-gallon cart. Your 65-gallon cart
will be picked up and a 35-gallon one will be left in its
place this fall.
To provide a smaller option, residents may now choose between a 65-gallon or
35-gallon cart. here’s how it works:
13
will The City of Lake Forest be converting
ALL households from recycling bins to
wheeled carts this fall?
Yes. In the fall of 2011, The City of Lake Forest
implemented the first phase of replacing all
recycling bins with wheeled recycling carts. All
households that did not receive a cart in 2011
will receive one in the fall of 2012.
why is the City making a citywide
conversion to carts?
The carts minimize the debris in neighborhoods
and the sturdy wheels make transportation to the
curb easier. Carts help generate additional revenue
for the City by increasing the volume of materials
recycled. Additionally, City trucks will collect carts
automatically -- offering additional savings of time
and manpower!
how much money does recycling
generate for the City?
This year the City estimates generating over
$120,000 (2,700 tons) from recycling. The City
anticipates collecting almost 3,200 tons of recycling
materials annually by fiscal year 2015. The
City’s goal is to generate additional revenues by
increasing residents’ recycling by 15-20%
by using carts. Since the implementation of
Phase 1 last fall (converting only half of the
residents) recycling has increased by over 18%.
Can I use a cart if I live on a private road?
Many private roads cannot accommodate the
large recycling truck for cart pick-up. Homeowners
were notified last fall if they were not eligible
for a cart.
what if I want a second recycling cart?
Residents can purchase an additional cart for
$50. If you would like to order a second cart
(35 or 65-gallon) call (847) 810-3582.
when I receive a cart what should
I do with my recycling bin(s)?
The City can recycle your existing bin(s) or residents
can keep their bins if they wish to use them for
other purposes. If you wish to have your old bin(s)
recycled, place them next to your new recycling
cart on your pick-up day with a note attached
saying “please remove.”
what will the carts cost?
Each household will receive one cart for free.
Two-thirds of the funding for the City-wide initiative
was provided by Illinois Department of Commerce
and Economic Opportunity (DCEO). The first phase
of the project was primarily financed through a
$100,000 grant the City received from DCEO.
This year the City was awarded another $100,000
DCEO grant to assist with converting all residents
to this new revenue generating, ecologically-friendly
method of recycling.
More info? visit www.cityoflakeforest.com
and click on the recycling à la cart icon.
To MAke youR CART seLeCTIon
see oTheR sIde
Funded in part by a recycling grant from the Illinois Department
of Commerce and Economic Opportunity
Printed on 100% recycled paper
whAT wILL The CARTs Look LIke?
The carts will be
65-gallon (42.2h x 25.9w x 26.5d) or
35-gallon (38.2h x 22.8w x 22.3d),
dark green-wheeled cart
that will be picked up curbside.
Questions?
42.2h
38.2h
26.5d
65-GALLon
35-GALLon
22.3d
14
1
THE CITY OF LAKE FOREST
ORDINANCE NO. 12-____
AN ORDINANCE AMENDING THE LAKE
FOREST CITY CODE, AS AMENDED,
RELATING TO ALCOHOLIC BEVERAGES WHEREAS, the City has established licensing and other regulations related
to the sale of alcoholic beverages in the City; and
WHEREAS, the City Council, pursuant to its authority under the Illinois
Compiled Statutes and its home rule authority, has determined that is in the best
interests of the City and its residents to amend the City’s alcoholic beverages
regulations in the manners hereinafter set forth;
NOW, THEREFORE, BE IT ORDAINED BY THE MAYOR AND CITY
COUNCIL OF THE CITY OF LAKE FOREST, COUNTY OF LAKE, STATE
OF ILLINOIS, as follows:
SECTION ONE: Recitals. The foregoing recitals are incorporated as the
findings of the City Council and are hereby incorporated into and made a part of
this Ordinance.
SECTION TWO: Amendment to Section 4-10 of the City Code. Section
4-10, entitled “Number of Licenses,” of Chapter 4, entitled "Alcoholic Beverages," of
the Lake Forest City Code is hereby amended in its entirety, so that said Section
shall hereafter be and read as follows:
Sec. 4-10. NUMBER OF LICENSES---The number of liquor licenses
issued by the City shall be limited as follows:
Class Maximum Number of Licenses Authorized
A 7
15
2
A-1 2
A-2 0
B 2
B-1 0
C 0
C-1 0
C-2 0
C-3 3
C-4 1
C-5 5
C-6 1
C-7 5
D 5
E 1
E-1 0
F 0
F-1 As many as determined reasonable by the Commissioner
F-2 As many as determined reasonable by the Commissioner
F-3 As many as determined reasonable by the Commissioner
F-4 As many as determined reasonable by the Commissioner
F-5 1
F-6 3
G 1
G-1 2
H-1 0
H-2 1
I Unlimited
There shall be issued in the City no more than five (6) Class A licenses to be in
effect at any one time; no more than zero (1) Class A-1 licenses to be in effect at
any one time; no more than zero (0) Class A-2 licenses to be in effect at any one
time; no more than two (2) Class B licenses to be in effect at any one time; no more
than zero (0) Class B-1 licenses to be in effect at any one time; no more than one (1)
Class C licenses to be in effect at any one time; no more than zero (0) Class C-1
licenses to be in effect at any one time; no more than zero (0) Class C-2 licenses
to be in effect at any one time; no more than three (3) Class C-3 licenses to be in
effect at any one time; no more than one (1) Class C-4 licenses to be in effect at
any one time; no more than five (5) Class C-5 licenses to be in effect at any one
time; no more than one (1) Class C-6 licenses to be in effect at any one time; no
more than five (5) Class C-7 licenses to be in effect at any one time; no more than
four (5) Class D licenses to be in effect at any one time; no more than one (1)
Class E licenses to be in effect at any one time; no more than zero (0) Class E-1
licenses to be in effect at any one time; no more than two (2) Class F licenses to be
in effect at any time; no more than one (1) Class F-5 licenses to be in effect at any
one time; no more than four (4) Class F-6 licenses to be in effect at any one time;
no more than two (2) Class G licenses to be in effect at any one time; no more
than one (1) Class G1 license to be in effect at any one time; no more than zero
(0) Class H1 license to be in effect at any one time; no more than one (1) Class
H2 license to be in effect at any one time; an unlimited number of Class I
16
3
licenses; and such number of Class F-1, F-2, F-3, and F-4 licenses to be in effect
at any one time as the Commissioner may reasonably determine.
SECTION THREE: Effective Date. This Ordinance shall be in full force
and effect upon its passage, approval, and publication in pamphlet form in the
manner provided by law.
Passed this 2nd day of April, 2012. AYES: NAYS: ABSENT: ABSTAIN: Approved this 2nd day of April, 2012. _____________________________ Mayor ATTEST: _______________________________ City Clerk
#11107931_v1
17
The City of Lake Forest
CITY COUNCIL
Proceedings of the March 19, 2012 Regular Meeting
7:30 p.m. – City Hall Council Chambers
CALL TO ORDER AND ROLL CALL: Mayor Cowhey called the meeting to order at 7:30 p.m.
Deputy City Clerk called the roll of Council members. Present: Aldermen Novit, Waldeck,
Morsch, Schoenheider, Palmer, Adelman. Absent: Moore, Pandaleon, Quorum present. There
were approximately 50+ present in the audience.
Also present were: Vic Filippini, City Attorney; Marlo Del Percio, City Attorney; Catherine
Czerniak, Director of Community Development; Ramesh Kanapareddy, City Engineer; Carina
Walters, Assistant City Manager; Michael Thomas, Director of Public Works; Director of Parks &
Recreation, Mary Van Arsdale, Deputy City Clerk; Cathryn Buerger.
PLEDGE OF ALLEGIANCE: The Pledge of Allegiance was recited by all in attendance.
Reports of City Officers
1. Comments by Mayor
A. Resolution of Appreciation for Kathy Reinertsen for 9 Years of Service
Alderman Palmer moved, seconded by Alderman Novit to approve the
Resolution. Motion carried unanimously by voice vote.
B. Resolution of Appreciation for Wendy Frazier for 6 Years of Service
Alderman Palmer moved, seconded by Alderman Novit to approve the
Resolution. Motion carried unanimously by voice vote.
C. Resolution of Appreciation for Steve Laurila for 23 Years of Service
Alderman Palmer moved, seconded by Alderman Novit to approve the
Resolution. Motion carried unanimously by voice vote.
D. Resolution of Appreciation for Michael Tiegs for 35 Years of Service
Alderman Palmer moved, seconded by Alderman Novit to approve the
Resolution. Motion carried unanimously by voice vote.
2. Comments by City Manager
A. Report from Parks & Recreation Foundation of 4th of July Festivities
Parks and Recreation Foundation members briefed the Council on the activities that are
planned for the 4th of July. Kenny Loggins will be the main act and fireworks will be set off
from Onwentsia this year. There will also be a VP section offered this year. TheMayor
thanked Chris Stuart for all of his assistance in making this happen.
B. Downtown Economic Activities
1.Approval of a Lease for Pasquesi Home & Garden, Lake Forest, Inc. at
the east Lake Forest Train Station – West Depot Building (671 N.
Western Ave.).
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Proceedings of the March 19, 2012
Regular City Council Meeting
The purpose and action requested was to approve and authorize City Manager to sign lease
with Pasquesi Home & Garden Lake Forest, Inc. for a term of one (1) year with three (3) year and
five (5) year renewals at the east Lake Forest train station.
The east Lake Forest train station was recently updated with new roof tiles and will see other
exterior improvements through funding received by the Illinois Transportation Enhancement
Program and Metra. To provide Metra riders with convenience and to anchor Market Square
and the Farmers Market, an open-air European style market was sought for the west depot
building at the downtown train station located at 671 N. Western Avenue. Strategically designed
to strengthen the central business shopping district, the open-air market will complement the
historic Market Square shopping district with beautiful, welcoming flowers, plants and public
seating surrounding the home and garden business. Following an open bidding process,
Pasquesi Home & Garden, Lake Forest, Inc. was identified and selected as a strategic tenant for
the space. Pursuant to the City’s policy for the inventory, sale, lease and retention of public
property the City Council must approve leases that are longer than 5 years or that exceed the
City Managers authority of $20,000.
Recommended Action: a) If appropriate and Should the City Council desire, approve of a lease
with Pasquesi Home & Garden, Lake Forest, Inc. for the period of May 1, 2012 to April 30, 2013,
renewal for three (3) and then five (5) years thereafter.
Alderman Palmer moved, seconded by Alderman Waldeck to authorize the City Manager to
execute a lease with Pasquesi Home & Garden, Lake Forest, Inc for the period of May 1, 2012 to
April 30, 2013, and then five years thereafter, in substantially the form attached and subject to
final review and approval as to form by the City Attorney. The following voted, “Yea” Aldermen
Novit, Waldeck, Morsch, Schoenheider, Palmer, and Adelman. The following voted “Nay” None.
Motion carries.
2. Award Design / Build Construction Services for the East Train Station
Streetscape Improvement Project Included in the F.Y. 2013 Capital
Improvement Budget.
Dan Martin, Superintendent 0f Public Works requested City Council to waive the bidding process
and grant the design-build proposal for the East Train Station Streetscape Improvement Project
to Bleck Engineering. The project’s purpose is to enhance the streetscape around the Train
Station’s building along Western Avenue and directly across from Market Square. The project
will include providing outdoor seating areas and an open air market for retail use. Larger
landscape planting beds will be installed on the north and south ends of the building to replace
the two trees that had to be removed last year due to the roof restoration. To accommodate
these improvements, the areas around the building will be expanded by moving the Western
Avenue curb line that runs parallel to the front of the building, out three feet and extending the
south curb line out approximately twelve feet (the equivalent of one parking space). Other
improvements include making the site more accessible by eliminating the need for steps and
ramps, and changing the layout to encourage a place to sit and gather while still allowing a
smooth pedestrian passage between the platforms and Western Avenue crosswalks. The
streetscape improvements are scheduled to begin no later than March 26th, and will be
completed by May 1, 2012.
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Proceedings of the March 19, 2012
Regular City Council Meeting
The streetscape improvements began as part of the East Train Station roof restoration that
occurred last fall. The two Honey Locus trees on either side of the west platform building were
removed to allow for hip style roofs to be constructed on each of the canopy ends. In order to
develop a plan for replacing these trees, City staff worked with a landscape architect to
develop a conceptual landscape plan for the area. At the same time Staff learned that the
City’s Economic Development Coordinator had a vision to tie the building space and the
surrounding streetscape area into an open air style market space. This prompted staff to
develop a second streetscape scheme that incorporated the open air market theme while
providing better accessibility, outdoor retail space, and seating areas. At the February 21, 2012
Public Works Committee Meeting staff presented the preliminary Streetscape Project and
received positive feedback. Through discussions with the qualified business owner interested in
leasing the space, staff learned that for this open air type retail business to be successful in the
first year of operation, it will need to be available in time to for the spring season. Therefore, to
achieve this aggressive timeline and have the space available by May 1, 2012, staff contracted
with Bleck Engineering Company to provide “turnkey design- build” approach to construct the
East Train Station Streetscape Improvement Project. The guaranteed maximum price of
$104,603.60 is $90,953.60 for construction and $13,650.60 or 15% for engineering / construction
management fees. Bleck Engineering Company has provided The City of Lake Forest with good
engineering and construction services for many years.
Additional work that is not included in the Bleck Engineering proposal will be accomplished by
utilizing in-house staff to include Water & Sewer installing a water service line for the entire
facilities future needs, Parks & Forestry installing the landscaping, and Building Maintenance
preparing the interior space for the new tenant. At this time, staff is estimating these services to
cost between $15,000 and $20,000 and will be paid for from the current FY’12 operating budget.
The Fiscal Impact is as follows:
Funding
Source
Account
Budget
Amount Requested Budgeted?
Yes/No
FY’13 C.I.P. General Fund $90,000 $104,603.60 Yes
RECOMMENDED ACTION: Waive the bidding process and award the design-build service
contract to Bleck Engineering Company for the guaranteed maximum price of $104,603.60, and
to authorize staff to amend the proposed FY’13 C.I.P. budget to reflect the $13,650.60 increase.
Alderman Morschmoved, seconded by Alderman Palmer to waive the bidding process and
award the design-build service contract to Bleck Engineering Company for the guaranteed
maximum price of $104,603.60, and to authorize staff to amend the proposed FY’13 C.I.P.
budget to reflect the $13,650.60 increase. The following voted, “Yea” Aldermen Novit, Waldeck,
Morsch, Schoenheider, Palmer, and Adelman. The following voted “Nay” None. Motion carries.
3. Consideration of a Request for a Temporary Special Use Permit to
Authorize a Farmers’ Market for the 2012 Summer Season. (First
Reading and, if desired by the City Council, Final Approval)
Susan Kelsey, Economic Development Coordinator stood before Council and spoke about the
continuing success of last year’s experiment with a Farmers’ Market in the Central Business
District, a Farmers’ Market is again proposed to celebrate the summer season, promote wellness,
raise awareness of “grown locally” produce and to draw people into the core of the City’s
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Proceedings of the March 19, 2012
Regular City Council Meeting
business district. After evaluation of last year’s Market based on input from customers, local
businesses, vendors and City staff, a new location is proposed as a trial this year.
The Market is proposed this year in the parking lot south of the train station, on the east side of
the rail road tracks, north of Deerpath. The Market will again be held on Saturday mornings,
from 8 a.m. until noon. Parking will be available in the commuter lots and on the public streets in
the business district. The location is designed to encourage pedestrian traffic between the
Farmers’ Market and local businesses.
Throughout the Market season, City staff will identify any problems, note the successes and
make minor modifications as necessary. At the end of the season, a project review will be
conducted to determine whether the Farmers’ Market should be continued in future years,
modified or relocated.
In light of the seasonal nature of the Market and recognizing that this new location is being
tested on a trial basis, a Temporary Special Use Permit is requested to authorize the Market for
the upcoming season.
Recommended Action: Waive first reading and grant final approval of an Ordinance granting
approval of a Temporary Special Use Permit authorizing the operation of a Farmers’ Market in the
City owned parking lot south of the train station in the Central Business District.
Alderman Novit moved, seconded by Alderman Waldeck to waive first reading and grant final
approval on an ordinance granting approval of a Temporary Special Use Permit authorizing the
operation of a Farmers’ Market in the City owned parking lot south of the train station in the
Central Business District. Motion carried unanimously by voice vote.
Alderman Novit moved, seconded by Alderman Morsch to approve the ordinance granting
approval of a Temporary Special Use Permit authorizing the operation of a Farmers’ Market in
the City owned parking lot south of the train station in the Central Business District. The following
voted, “Yea” Aldermen Novit, Waldeck, Morsch, Schoenheider, Palmer, and Adelman. The
following voted “Nay” None. Motion carries.
Susan Kelsey also briefed the Council on all the new stores that are going to be opening in The
City of Lake Forest.
3. Comments by Council Members
Alderman Adelman brought up the subject of pvc plumbing and what is currently allowed in the
City’s city code. Cathy Czerniak added that there will be a recommendation brought to
Council later this year.
Alderman Morsch spoke about the Housing Trust renovating event in April 21, 2012 9-noon.
Volunteers are needed to work on the McKinley house. Contact Community Partners for more
information.
OPPORTUNITY FOR PUBLIC TO ADDRESS THE CITY COUNCIL ON NON-AGENDA ITEMS
No one stood before Council.
ITEMS FOR OMNIBUS VOTE CONSIDERATION
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Proceedings of the March 19, 2012
Regular City Council Meeting
A. Consideration of an Ordinance decreasing the number of Commissioners on the Senior
Resources Commission from nine members to seven members
Marla Schachtel, Senior Center Manager and the Senior Resources Commission recommended
approving a decrease in membership from nine to seven Commission members
On July 21, 2008, Ordinance #2008-21, an ordinance amending Chapter 27, Article VII of the city
code regarding the Senior Resources Commission, Sec. 27-64 set forth the Creation, Composition
and Terms for this commission. It was determined by the Mayor, with the approval of the City
Council, that nine commissioners shall be appointed with initial terms of four commissioners for
one year; and five commissioners for two years and all subsequent terms for two years.
During the past fiscal year there have been two commissioners that have vacated their
positions; one through retirement and completion of her term and one who forfeited by non-
participation. The SRC has functioned effectively throughout this period with seven members
(rather than its full complement of nine members) and believes this is an appropriate number of
commissioners to continue to carry on its responsibilities. Researching the average number of
commissioners on a variety of other commissions in the City of Lake Forest, it was determined
that seven is the most common number of members on each commission.
Therefore, the Senior Resources Commission requests Council approval of this agenda item
changing the official number of commissioners on the Senior Resources Commission from nine to
seven.
RECOMMENDED ACTION: Waive first reading and grant final approval of an ordinance
decreasing the number of required commissioners on the Senior Resources Commission from
nine to seven members.
B. Approval of the March 5, 2012 City Council meeting minutes
RECOMMENDED ACTION: Approve omnibus items as presented.
Alderman Morsch moved, seconded by Alderman Palmer to approve the omnibus items as
presented. The following voted, “Yea” Aldermen Novit, Waldeck, Morsch, Schoenheider, Palmer,
and Adelman. The following voted “Nay” None. Motion carries.
ORDINANCES
1. Consideration of First Reading of an Ordinance approving the Plan of
Governance Ordinance for the City's Residential and Small Commercial Retail
Electricity Aggregation Program
Pursuant to state statute, the City is required to adopt an ordinance approving a Plan of
Governance (POGO) in order to implement an opt-out electric aggregation program within the
City.
On February 6 at its Committee of the Whole meeting, City staff reviewed a draft POGO;
provided a status of the North Shore Electricity Aggregation Consortium; provided a timeline for
the Electrical Aggregation process; and conducted its first of two required public hearings in
order to implement an opt-out electric aggregation program.
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Proceedings of the March 19, 2012
Regular City Council Meeting
The Plan of Operation and Governance (POGO) outlines the roles and responsibilities of the
Consortium, the City, the aggregation consultant and the electrical aggregation
implementation process. The POGO describes The City of Lake Forest plan for:
• Providing universal access to all applicable residential customers and equitable
treatment of applicable residential customers;
• Providing demand management and energy efficiency services to each class of
customers and,
• Meeting any other legal requirements concerning aggregated electric service.
The City’s Electrical Aggregation sub-committee has been very involved in advising the
Consortium during the development of the POGO and related informational materials. One
major component of the POGO which still requires City Council direction is with respect to the
preferred level of renewable energy (7%, 50% or 100%). The Committee will be meeting earlier on
Monday with the Consortium’s consultant, and will be prepared to make a recommendation at
the Council Meeting later that evening.
Should the referendum pass on March 20, 2012, the following action items will be placed on the
April 2 City Council meeting agenda:
1. Final public hearing by the City Council concerning the POGO
2. Adoption of the POGO
3. Approval of an ordinance formally authorizing an opt-out program for the City
4. Award of bid and commencement of opt-out program
5. Estimated power switch by June 1, 2012
RECOMMENDED ACTION: Approve first reading of an ordinance approving the Plan of
Governance for the City's Residential and Small Commercial Retail Electricity Aggregation
Program.
Alderman Morsch moved, seconded by Alderman Palmer to approve first reading of an
ordinance approving the Plan of Governance for the City's Residential and Small Commercial
Retail Electricity Aggregation Program. The motion carried unanimously by voice vote.
NEW BUSINESS
1. Approval of Townline Community Park Playground Equipment Purchase
Chuck Myers, Superintendent Of Parks & Forest stood before Council and requested approval
to purchase playground equipment for the Townline Community Park Playground Capital
Project. On March 13, 2012, the Park and Recreation Board approved the purchase of the
playground equipment portion of the project in FY12; however, they wish to review the
remaining expense components of the project (surfacing options and its associated installation
needs) in June 2012. This will allow the Park Board and City Council to have more current data
on the effects of the recent 2011drainage improvements before determining the final project
cost related to surfacing and related installation expense.
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Proceedings of the March 19, 2012
Regular City Council Meeting
Townline Park was dedicated in May 2009 as a community park and has since become a
premier park for the City of Lake Forest. The pavilion and athletic fields have continued to see
an increase in use and hold even more potential for greater use. The addition of a playground
directly adjacent to the pavilion and the baseball fields will add a great benefit to park ball field
users, Stonebridge and Conway Park neighbors, and the community as a whole. The
playground will also provide potential increases in revenue due to increased pavilion rental
opportunities.
City staff worked with NuToys Leisure Products to prepare two playground designs that would be
well suited for use at Townline. A public meeting was conducted to gather feedback on the
designs and a decision was made to move forward on the attached design. The playground
proposed for your approval is designed for a wide range of ages and will provide an inclusive
play experience for all children. The project will also incorporate enhanced landscaping for
shade and aesthetic benefits, perimeter benches and a connecting sidewalk. The proposed
color scheme is green and tan to blend appropriately in to the landscape of the park setting.
City staff investigated ways to keep the cost of the project down, while at the same time
ensuring that the highest quality standards were achieved. The equipment will be purchased
through HGACBuy, a cooperative purchasing program for public government agencies that
offers time and cost savings. In addition, costs for construction will be greatly reduced by having
the playground installed by trained City staff.
Surfacing options were also researched and the two best options included Fibar® Engineered
Wood Fiber (most economical and fits original budget) and Poured-in-Place rubber surfacing
(superior surface with reduced maintenance benefits but exceeds budget, requiring
consideration of additional capital funds). Three surfacing options were discussed by the Park
and Recreation Board; the first option is to use Fibar® over the entire surface area, the second
option is to use a combination of Poured-in-Place rubber and Fibar®, and the final option is the
use Poured-in-Place rubber over the entire surface area. A final recommendation by the Park
Board on playground surfacing will be determined in June 2012 and brought to City Council for
approval of associated funds at that time.
The tentative schedule for this project will be the purchase of all equipment by end of April 2012,
with pre-construction taking place in late June, and installation starting in July, all contingent
upon eventual selection and approval of a surfacing option. The tentative completion of this
project will be early August of 2012.
The total cost for the equipment portion of this project is $79,519 and is a budgeted expense in
FY12. It is essential that the purchase of the equipment take place before April 30th to complete
the requirement of the Rt. 60 Debt Issue.
FY2012 Funding Source Amount
Available Amount Requested Budgeted?
Y/N
Rt. 60 Debt Issue
Special Tax Levy Fund
$69,000
$10,519
$79,519 for Equipment Y
Based on the choice of surfacing options the total cost of the playground will range from
$113,000 to $167,000.
The Park and Recreation Board unanimously support the completion of a playground at
Townline Community Park. At this time, the Park and Recreation Board is requesting approval to
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Proceedings of the March 19, 2012
Regular City Council Meeting
purchase the playground equipment; they will revisit the surfacing options and associated
expenses and bring that portion of the project back to City Council for discussion and approval
in June.
RECOMMENDED ACTION: Staff recommended approval to purchase playground equipment for
Townline Community Park in FY12, expending debt service funds from the Route 60 Debt Issue
Bonds in the amount of $69,000, with remaining expenses of $10,519 expended from the Special
Recreation Tax Levy Funds. This includes awarding a contract with HGACBuy for the purchase of
playground equipment.
Alderman Morsch moved, seconded by Alderman Schoenheider to approve the purchase
playground equipment for Townline Community Park in FY12, expending debt service funds from
the Route 60 Debt Issue Bonds in the amount of $69,000, with remaining expenses of $10,519
expended from the Special Recreation Tax Levy Funds. This includes awarding a contract with
HGACBuy for the purchase of playground equipment. The following voted, “Yea” Aldermen
Novit, Waldeck, Morsch, Schoenheider, Palmer, and Adelman. The following voted “Nay” None.
Motion carries.
2. Award of Bid for the Operation of the City’s Compost Facility
Michael Thomas, Directorof Public Works stood before Council for approval for an agreement to
manage the yard waste processing at the City’s Compost Center.
The current three year agreement with P. Clifford Miller, Inc. will expire on April 30, 2012. Staff recently
received bids to either process the approximate 10,000 compacted yards of yard waste on site or
provide transfer trailers to the City to have its yard waste delivered and processed at a different
licensed compost facility.
On July 1, 1990, the State banned the disposal of yard waste from all landfills. Since this time, the
City has managed its own material at the Route 60 Compost Facility. During the past three
years, the grinding, turning, testing, and screening of the compost have been performed by P.
Clifford Miller, Inc. Their performance over the past three years has been good with no annual
increase to the contract. With the agreement at the end of its term, staff received the following
bids on March 8, 2012:
Company Operate / Transfer Bid Amount
P. Clifford Miller Operate $115,200
Thelen Materials, LLC Transfer $147,200
D.K. Organics Did Not Meet Bid Specs. -----------
Staff is recommending that the City continue its compost operation with P. Clifford Miller, Inc. If
the City were to choose to transfer the material instead, Sanitation employees would need to
load a transfer trailer on a daily basis. This would require at least ten hours per week for a nine
month period. The personnel and equipment cost of approximately $25,000 annually would
therefore need to be added to Thelen Materials LLC’s bid amount.
D.K. Organics bid did not meet the specification because it required the City, with its own trucks
and equipment, transfer all yard waste material to D.K.’s site in Lake Bluff. This would result in City
Sanitation crews loading all loose material dropped off by the Parks & Forestry operations and
resident drop-off, into City’s packer trucks to obtain D.K.’s compacted yardage rate. This did
not meet the transfer specification whereby the bidder would supply empty transfer trailers and
switch out each trailer when it was full.
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Proceedings of the March 19, 2012
Regular City Council Meeting
During F.Y. ’13, staff will further evaluate the feasibility of performing such services with in-house
staff and purchasing the needed grinder. Therefore staff is recommending that City Council
approve a one year agreement with the option to renew for a second and third year. Each
additional year could have a possible negotiated increase equal to or less than the determined
C.P.I.
FY2013
Funding
Source
Account Number
Account
Budget
Amount
Requested
Budgeted?
Y/N
General 101-5245-432-35-10 $115,200 $115,200 Y
RECOMMENDED ACTION: Based on the lowest responsible bidder, staff recommends that P.
Clifford Miller, Inc. be awarded the agreement to operate the City’s Compost Facility for the
monthly flat rate of $9,600 (this equates to $115,200 annually). Staff further recommends that an
option be approved to renew the contract for an additional second and third year. Each
additional year could have a possible negotiated increase equal to or less than the determined
C.P.I.
It was noted that staff mistakenly did not highlight the fact that the low bidder was seven
minutes late with his bid. Acknowledging the mistake, the City’s attorney clarified that City
Council could either waive the bidding process and award the agreement directly to a
particular company or direct staff to re-bid the services. With not having the required two-thirds
vote to waive the bidding process, City Council decided to table the item until the April 2, 2012
meeting.
Alderman Palmer moved, seconded by Alderman Morsch to continue to the April 2, 2012 City
Council meeting. The following voted, “Yea” Aldermen Waldeck, Morsch, Palmer, and Adelman.
The following voted “Nay” Novit, Schoenheider, Motion carries. (4 Yea, 2 Nay).
3. City Council Approval to Authorize Winter 2012/2013 Salt Purchase
The State of Illinois requires government agencies desiring to participate in the annual rock salt
bid to complete a Joint Purchasing Requisition. This informs the State of each agency’s
anticipated need, and when combined with all interested parties, secures a more competitive
price.
Staff received notification from the State on March 12th that opting to be included in this year’s
program along with the City’s requested amount, must be received in their offices no later than
March 30th at 5 p.m. This impending deadline requires City Council’s authorization to proceed
for winter 2012- / 2013’s salt purchase. In both the F.Y. ’12 and F.Y. ’13 budgets, the Streets
Section has allocated $222,000 / year in its chemical budget for salt and calcium chloride
purchases. Typically 89% of the budget is dedicated for the salt purchase and the remaining for
liquid calcium chloride.
Council was given two charts summarizing this year’s salt usage along with a history of the City’s
quantities and price per ton paid. The City’s new Municipal Service Building can store 2,400 tons
of salt; currently there is 1,210 tons on site. The City’s old Municipal Services Building (Laurel &
Western Avenue) can store 600 tons and is currently empty. To save dollars in the upcoming
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Proceedings of the March 19, 2012
Regular City Council Meeting
year’s budget, staff is recommending that, if available and at a good price, the City purchase
salt now for the upcoming winter via one or multiple of the following options:
1. Contact surrounding municipalities to determine if they still need to purchase their
required salt amounts and if so, do they have enough space to store the material. If
storage is an issue, The City of Lake Forest could propose to purchase that salt at a
reduced rate as compared to the $65.64 / ton the City paid this past season.
2. Contact the four major salt companies to see if they each have salt that they would like
or need to dispose of in a timely manner for a good price.
3. The City’s current contract allows the City to purchase an additional 500 tons at a cost of
$65.64 / ton equaling $32,820. However the company notified the Streets & Sanitation
Supervisor that in lieu of the existing contract, the City could purchase an additional
2,200 tons at the same rate.
4. Participate in this year’s State contract at either the 80%/120% amount or the 100%/120%
purchase of 1,800 tons. It is important to note however that the State does not typically
notify participating agencies of the price per ton until July.
5. Any combination of the previous four options.
To date the City has fulfilled its contract with North American Salt and has spent $164,100 on salt
and $26,241 on calcium chloride. $31,659 remains in the line item account.
Per the City’s Finance Director, the City has the dollars to purchase additional salt now however
it does not get expensed until it is actually used next winter.
FY2013
Funding
Source
Account Number
Account
Budget
Amount
Requested
Budgeted?
Y/N
General 101-5136-431-65-11 $222,000 $ TBD Y
RECOMMENDED ACTION: Based on the options provided, staff recommends that City Council
authorize a final decision be made for next year’s salt purchase by obtaining the approval of
both the Finance and Public Works Committee Chairmen. Staff will provide updated information
to both Chairmen over the next 1½ weeks so that a final decision can be made by March 30th.
Alderman Palmer moved, seconded by Alderman Morsch to authorize a final decision be made
for next year’s salt purchase by obtaining the approval of both the Finance and Public Works
Committee Chairmen. Staff will provide updated information to both Chairmen over the next
1½ weeks so that a final decision can be made by March 30th.
ADDITIONAL ITEMS FOR COUNCIL DISCUSSION
ADJOURNMENT
There being no further business, Alderman Palmer moved, seconded by Alderman Novit to
adjourn the meeting at 9:15 p.m. The motion carried unanimously by voice vote.
Cathryn H. Buerger
Deputy City Clerk
27
ORDINANCE NO. 2012-____
AN ORDINANCE AUTHORIZING AN ELECTRICITY AGGREGATION PROGRAM
PURSUANT TO THE ILLINOIS POWER AGENCY ACT
WHEREAS, the Illinois Power Agency Act, 20 ILCS 3855/1-1 et seq. (“Act”),
authorizes the corporate authorities of a municipality to adopt an ordinance authorizing a
program to aggregate electrical loads of residential and small commercial retail customers and
to solicit bids and enter into service agreements to facilitate the sale and purchase of electricity
and related services and equipment for those electrical loads (“Program”); and
WHEREAS, pursuant to Section 1-92(a) of the Act, the City may, if authorized by
referendum, operate the Program as an “opt-out” program that applies to all residential and
small commercial retail electrical customers who do not affirmatively choose not to participate in
the Program; and
WHEREAS, on March 20, 2012, the voters of the City approved a referendum to
authorize the operation of a Program as an “opt-out” program; and
WHEREAS, prior to awarding agreements for the provision of electricity and
other related services pursuant to the Program, the Act requires the City Council to adopt an
ordinance authorizing the Program; and
WHEREAS, the Mayor and City Council have determined that it is in the best
interests of the City and its residents to authorize the Program, as provided in this Ordinance;
NOW, THEREFORE, BE IT ORDAINED BY THE MAYOR AND CITY COUNCIL
OF THE CITY OF LAKE FOREST, LAKE COUNTY, ILLINOIS, as follows:
Section 1. Recitals.
The foregoing recitals are incorporated into, and made a part of, this Ordinance
as the findings of the Mayor and City Council of the City.
Section 2. Authorization of Electricity Aggregation Program.
Pursuant to Section 1-92 of the Act, the Mayor and City Council shall, and do
hereby, authorize the establishment of the Program as an “opt-out” program for the purpose of
aggregating electrical loads of residential and small commercial retail electric customers in the
City.
Section 3. Effective Date.
This Ordinance shall be in full force and effect from and after its passage,
approval, and publication in the manner provided by law
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2
#11034415_v1
PASSED this ___ day of _______________, 2012, by vote of the City Council of The City of
Lake Forest, as follows:
AYES:
NAYS:
ABSENT:
ABSTAIN:
APPROVED this ___ day of ___________, 2012.
City Mayor
ATTEST:
City Clerk
FIRST READING: __________________
SECOND READING: __________________
PASSED: __________________
APPROVED: __________________
PUBLISHED IN PAMPHLET FORM: ___________
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The City of Lake Forest
Electricity Aggregation Program
Plan of Operation & Governance
April 2, 2012
30
TABLE OF CONTENTS
I. HISTORY AND PURPOSE OF MUNICIPAL AGGREGATION ............................................................................1
II. DEFINITIONS ...........................................................................................................................................2
III. ROLE OF THE CONSORTIUM ...................................................................................................................4
IV. ROLE OF THE CITY ..................................................................................................................................4
V. ROLE OF THE AGGREGATION CONSULTANT .............................................................................................5
VI. POWER SUPPLY AGREEMENT .................................................................................................................6
VII. PRICING ...............................................................................................................................................8
VIII. IMPLEMENTATION PROCEDURES .........................................................................................................8
IX. ADDITIONAL SERVICE TERMS AND CONDITIONS ................................................................................... 13
X. INFORMATION AND COMPLAINT NUMBERS .......................................................................................... 14
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The City of Lake Forest
Plan of Operation and Governance
Illinois Community Choice Aggregation Network 1
I. HISTORY AND PURPOSE OF MUNICIPAL AGGREGATION
Pursuant to Section 1-92 of the Illinois Power Agency Act, 20 ILCS 3855/1-92, the City of Lake Forest is
authorized to aggregate the electric loads of small commercial and residential customers located within its
municipal boundaries (herein referred to as “municipal aggregation”). As part of the municipal aggregation,
the City of Lake Forest may select a retail electric supplier and enter into a service agreement to facilitate the
purchase of electricity and related services and equipment on behalf of its residents and small businesses.
Additionally, the Act also states:
The corporate authorities or county board may also exercise such authority jointly with any
other municipality or county. Two or more municipalities or counties, or a combination of both,
may initiate a process jointly to authorize aggregation by a majority vote of each particular
municipality or county as required by this Section.
The municipalities of Deerfield, Glencoe, Highland Park, Lake Bluff, Lake Forest, Northbrook, Park Ridge, and
Skokie, voluntarily and through a formal Intergovernmental Agreement, have formed the “North Shore
Electricity Aggregation Consortium” (“Consortium”) to facilitate their cooperation toward obtaining the lowest
possible electricity rates for their respective residents and small businesses. The Consortium seeks to
collectively aggregate the retail electric loads of eligible residents and small commercial retail accounts and to
solicit bids for the purchase of that electricity. The [City/Village], as a member of the Consortium, has solicited
bids seeking various pricing options, contract terms, and options for increased volumes of renewable energy.
With an estimated 90,000 eligible electric accounts, the Consortium has the potential to attract lower rates
than the current default tariff service rate for its residents and small businesses, while also acquiring a cleaner
portfolio of power supply.
In accordance with the Act, on November 21, 2011, the City approved Resolution No. 2011-23, authorizing the
placement of a referendum on the March 20, 2012 ballot, seeking authority to create an opt-out municipal
aggregation program for its residents and small business customers. Voters approved the municipal
aggregation referendum at the March 20, 2012 primary election. Record of the authorizing votes for the
referendum is included in Attachment A to this Plan of Operation and Governance.
Prior to the passage of the referendum, the Consortium retained the services of a Consultant to assist with
planning and implementing the Program, bidding and selecting the electricity supplier, and advising
Consortium participating municipalities on public outreach and education related to municipal aggregation.
Residential and small commercial retail customers often lack the resources to conduct due diligence and
negotiate favorable terms with alternate retail electric suppliers on their own. The Program not only provides
these services, but provides the bargaining power achieved through the size of the Consortium. The municipal
aggregation program is designed to reduce the amount that residents and small businesses pay for electric
energy power supply and gain other favorable terms of service.
Neither the Consortium nor its participants will buy or resell power. Rather, the Consortium has competitively
bid, and will negotiate, a contract with a competent and licensed alternative retail electric supplier (ARES) on
behalf of the Consortium participants to provide electric supply at contracted rates to residents and small
businesses in each Consortium community. The ARES shall provide accurate and understandable pricing and
facilitate opt-out notifications. The ARES will also perform ancillary services for the Consortium participants as
described in this Plan.
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Illinois Community Choice Aggregation Network 2
Because the City adopted an opt-out aggregation program, all eligible customers located within the City will
participate in the Program unless they affirmatively elect to opt out of the Program. By identifying the
procedures by which customers may opt-out of the Program, the City ensures that participation is voluntary
and individuals have the ability to decline to participate.
As required by law, this Plan of Operation and Governance describes the City plan for:
1) Providing universal access to all applicable residential customers and equitable treatment of
applicable residential customers;
2) Providing demand management and energy efficiency services to each class of customers; and
3) Meeting any other legal requirements concerning aggregated electric service.
Consortium participants conducted a public outreach campaign to educate Consortium residents and small
businesses about the Program, and to gather input regarding their preferences for the development of this
Aggregation Plan of Operation and Governance. Outreach efforts included public meetings, two statutorily-
required public hearings, press releases, and discussions with organizations and residents with a background in
energy matters.
The City the Consultant, and the selected ARES will follow the Plan of Operation and Governance set forth in
this document. Amendments to this Plan of Operation and Governance may be adopted in accordance with
the Act at the option of the [City/Village].
II. DEFINITIONS
In order to clarify certain terminology, the following terms shall have the meanings set forth below:
“Act” shall refer to the Illinois Power Agency Act, 20 ILCS 3855/1-1 et seq.
“Aggregation” or “Municipal Aggregation” shall mean the pooling of residential and small commercial retail
electrical loads located within the municipality for the purpose of soliciting bids and entering into service
agreements to facilitate for those loads the sale and purchase of electricity and related services and
equipment, all in accordance with Section 1-92 of the Act.
“Aggregation Consultant” or “Consultant” shall refer to any independent consultant with demonstrated
expertise in electric supply contracting that is retained by the City or the Consortium to assist with the
implementation of the Program.
“Aggregation Member” or “Member” shall mean a residential or small commercial retail electric account
enrolled in the City Municipal Aggregation Program.
“Aggregation Program” or “Program” shall mean the program established by the City to provide residential
and small commercial members in the City with retail electric supply, as described in this Plan.
“Alternative Retail Electric Supplier” or “ARES” shall mean an entity certified by the ICC to offer electric power
or energy for sale, lease or in exchange for other value received to one or more retail customers, or that
engages in the delivery or furnishing of electric power or energy to such retail customers, and shall include,
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The City of Lake Forest
Plan of Operation and Governance
Illinois Community Choice Aggregation Network 3
without limitation, resellers, aggregators and power marketers, but shall not include the Electric Utility or the
Aggregation Members. For purposes of this Plan, the definition of Alternative Retail Electric Supplier is more
completely set forth in 220 ILCS 5/16-102.
“Ancillary Services” shall mean the necessary services that shall be provided in the generation and delivery of
electricity. As defined by the Federal Energy Regulatory Commission, “Ancillary Services” include, without
limitation: coordination and scheduling services (load following, energy imbalance service, control of
transmission congestion); automatic generation control (load frequency control and the economic dispatch of
plants); contractual agreements (loss compensation service); and support of system integrity and security
(reactive power, or spinning and operating reserves).
“[City/Village]” shall mean the City of Lake Forest.
“Commonwealth Edison” or “ComEd” shall mean the Commonwealth Edison Utility Company as the entity that
has a franchise, license, permit or right to distribute, furnish or sell electricity to retail customers within the
Consortium municipalities.
“Consortium” shall mean the North Shore Electricity Aggregation Consortium.
“Default Tariff Service” shall mean the electricity supply services available to eligible retail customers of the
Electric Utility.
“Electric Utility” shall mean Commonwealth Edison, as the entity that has a franchise, license, permit or right
to distribute, furnish or sell electricity to retail customers within the City.
“Eligible Retail Customer” shall mean a residential and small commercial retail customer of the Utility.
“ICC” shall mean the Illinois Commerce Commission as described in 220 ILCS 5/2-101.
“IPA” shall mean the Illinois Power Agency.
“Joint Power Supply Bid” shall mean the single procurement process utilized by the Consortium on behalf of its
participating municipalities to solicit price and service offers from certified Alternative Retail Electric Suppliers.
“Load” shall mean the total demand for electric energy required to serve the City residential and small
commercial customers in the Aggregation Program.
“Opt-Out” shall mean the process by which a Member who would be included in the Program chooses not to
participate in the Program.
“Opt-Out Notice” shall mean the notice delivered to each Member by the ARES, identifying the procedures
and protocols for the Member to opt out of, and choose not to participate in, the Program.
“PIPP” shall mean a Percentage of Income Payment Plan created by the Emergency Assistance Act, 305 ILCS
20-18, to provide a bill payment assistance program for low-income residential customers.
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“PJM” shall mean the PJM Interconnection, a regional transmission organization that coordinates the
movement of wholesale electricity in all or parts of 13 states and the District of Columbia including the
Commonwealth Edison service territory.
“Plan” shall mean this Aggregation Plan of Operation and Governance.
“Power Supply Agreement” shall mean the contract between the City and the Alternative Retail Electric
Supplier.
“REC” shall mean Renewable Energy Credits certified in a manner consistent with the requirements of the
Illinois Renewable Portfolio Standard.
“Retail Customer Identification Information” shall mean the retail customer information supplied by the
Electric Utility to the ARES in connection with the implementation of the Aggregation Program.
“Small Commercial Retail Customer” shall mean a retail customer that consumes 15,000 kilowatt-hours or less
of electricity; provided, however, that the definition of Small Commercial Retail Customer shall include such
other definition or description as may become required by law or tariff.
III. ROLE OF THE CONSORTIUM
A. The Consortium, with the assistance of the Consultant, has conducted a Joint Power Supply Bid, utilizing
the agreed-to technical specifications, bidder requirements, bidding processes, and contract documents,
to select a single Alternative Retail Electric Supplier (ARES). The Consortium has evaluated the bids
received and has recommended a single Alternative Retail Electric Supplier to serve as the electricity
supplier to all participating municipalities in the Consortium.
B. After passage of the referenda within the Consortium participant municipalities, the Consortium, with the
assistance of the Consultant, prepared and submitted to ComEd a warrant, demonstrating the passage of
each Consortium participant’s referendum and requesting the identification of retail and small commercial
electric customer account information and generic load profiles for each Consortium participant.
C. After the adoption of this Plan, the corporate authorities of the City will consider approval of the Power
Supply Agreement with the selected ARES for the provision of electrical power to the [City/Village]’s
Program pursuant to the Joint Power Supply Bid.
D. After the adoption of this Plan, the Consortium, with the assistance of the Consultant, shall prepare data
requests for each Consortium participant to submit to ComEd seeking the generic account data of
residential and small commercial retail customers for the Consortium participant.
IV. ROLE OF THE CITY
A. The City shall be responsible for all financial obligations identified in the intergovernmental agreement
establishing the Consortium.
B. The City shall be responsible for issuing all required public notices and conducting all required public
hearings concerning this Plan, and any amendments thereto, in accordance with Section 1-92 of the Act.
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The City of Lake Forest
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Illinois Community Choice Aggregation Network 5
C. The City shall be responsible for providing the Consultant and ARES with resources and publicly available
material to screen out customers who are not located within the municipal boundaries. Those resources
may include any or all of the following: property records, water and/or sewer records, fire and/or police
department address records, 911 address records, street listings, and maps.
D. The City shall adopt: (1) an ordinance authorizing an opt-out electric aggregation program; and (2) this
Plan of Operation and Governance.
E. The City may accept or reject the Consortium’s selected ARES or Power Supply Agreement. The City is
under no obligation to enter into any Power Supply Agreement with any ARES and may, in its discretion,
choose to have its aggregation members remain on Com Ed’s default tariff service, or to re-bid the electric
service under the same or amended terms of this Plan.
F. The City and Consultant will review the customer list to remove ineligible customers; provided however,
that the City and Consultant shall have no responsibility to potential aggregation Members or the ARES for
the accuracy of the customer account information provided.
G. The City shall forward to ComEd requests for consumer account data.
H. The City will maintain the customer information it receives in a confidential manner as required by law,
and will use that information only for purposes of its Municipal Aggregation. The City may assign access to
the customer information to the Consultant for the purposes of soliciting supply and service bids on behalf
of the City. The Consultant is bound by confidentiality requirements in this regard, and shall only access
and utilize consumer data at the direction of the City. Customer account information will be considered
confidential and will not be disclosed under the Freedom of Information Act, except as required by law.
I. The City is not responsible for providing electricity to the members of the Aggregation, or for billing or
collecting for electricity provided under any ARES power supply agreement, and has no responsibility
beyond the duties described herein. ComEd will continue to provide a single bill to Aggregation Members
for all electrical charges.
V. ROLE OF THE AGGREGATION CONSULTANT
A. Duties. The Aggregation Consultant shall advise the Consortium and the City and shall assist the City with
the development and implementation of its Municipal Aggregation Program, including advising staff and
elected officials on all aspects of the program; developing all necessary documents, soliciting and
reviewing bids received, making recommendations as appropriate, and monitoring the ARES’ compliance
with the requirements of the Power Supply Agreement.
B. Required Independence and Disclosures. As required by the Electric Service Customer Choice Act, 220 ILCS
5/16-101 et seq., the Consultant will be in a fiduciary relationship with the Consortium and owes the
Consortium and its participating municipalities the duty of loyalty and independent judgment. The
Consultant will be disqualified if it acts as the agent for any ICC-certified ARES. It is the duty of the
Consultant to disclose any such relationships to the Consortium and to the City and to terminate its agency
for the ARES in the event of such a relationship. Breach of these terms may result in the termination by
the Consortium of the agreement between the Consortium and the Consultant.
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C. Fee. The Consultant shall be paid directly by the Consortium in accordance with the separate agreement
between the Consortium and the Consultant. The Consortium will be reimbursed by the ARES with whom
the City enters into a Power Supply Agreement, in a manner to be approved by the Consortium and the
City.
D. Confidentiality. The Consultant shall not have access to any confidential customer account information
unless so allowed by the City and bound by a confidentiality agreement. In the event the Consultant
becomes privy to any confidential customer account information, it agrees not to use that information for
any purposes outside the scope of the services provided by its agreement with the Consortium, and
specifically agrees not to use for itself, or to sell, trade, disseminate or otherwise transfer, that information
to any other party for any purpose other than in furtherance of the Aggregation Program.
E. Consortium Assistance. The Consultant shall advise the City on any changes in laws, rules, tariffs or any
other regulatory matter that impacts the Aggregation during the term of the Power Supply Agreement.
F. Ownership of Work Product. The Consultant shall not: (1) use any City or Consortium work product for
any other client; or (2) represent any City or Consortium work product as its own.
VI. POWER SUPPLY AGREEMENT
The City, at its option, will execute a Power Supply Agreement with the selected ARES, in accordance with the
following:
A. Term. The City’s first Power Supply Agreement shall be for a minimum of a one-year period. If the
Agreement is extended or renewed, the Consultant will notify the City of changes in the rules of the ICC
and IPA that require changes in rates or service conditions. The City will have the discretion to set the
length of any subsequent contract term.
B. Rate. The agreement shall specify the approved rates and the power mix for the Program, and shall
specify additional fees (if any).
C. Supply of Power. The ARES shall supply electricity for the program that includes: (1) the minimum
renewable energy resources required by the State of Illinois Renewable Portfolio Standard; and (2) at the
option of the City, electricity that exceeds the current renewable energy resource requirements of the
Illinois Renewable Portfolio Standard by securing Renewable Energy Credits sourced through PJM-
registered hydroelectric, wind, solar, photovoltaic or captured methane-landfill gas. The Power Supply
Agreement may also provide that the City and the ARES will cooperate in good faith to implement a
process by which individual customers may elect, in their sole discretion and at their own expense,
electricity in excess of the current renewable energy resource requirements of the Illinois Renewable
Portfolio Standard.
D. Compliance with Requirements in the Bid. The agreement shall require the ARES to maintain all required
qualifications, and to provide all services required pursuant to the Joint Power Supply Bid.
E. Compliance with Plan. The Agreement shall require the ARES to provide all services in compliance with
this Plan, as may be amended. Specifically, and without limitation of the foregoing, the ARES shall provide
the City with such reports and information as required in this Plan.
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The City of Lake Forest
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Illinois Community Choice Aggregation Network 7
F. Non-Competition. The ARES must agree not to solicit or contract directly with eligible Aggregation
Program members for service or rates outside the Aggregation Program, and agrees not to use the
member information for any other marketing purposes.
G. Hold Harmless. The ARES must agree to hold the City harmless from any and all financial obligations
arising from the Program.
H. Insurance. The ARES shall obtain and maintain, for the duration of the Power Supply Agreement, such
proof of insurance and performance security as the City deems necessary.
I. Additional Services. The Agreement may provide that the ARES will assist the City in developing a Member
Education Plan. The Agreement may provide that the ARES will assist the City in developing Energy
Efficiency and/or Demand Response programs. The Agreement will not preclude the City from developing
its own Member Education, Energy Efficiency, and Demand Response programs.
J. Fees and Charges:
1. Additional Fees Prohibited. Neither the City nor the ARES will impose any terms, conditions,
fees, or charges on any Member served by the Program unless the particular term, condition,
fee, or charge is: (a) identified in this Plan; and (b) clearly disclosed to the Member at the time
the Member enrolls in, or chooses not to opt out of, the Program.
2. ComEd will continue to bill for late payments, delivery charges, and monthly service
fees. These charges apply whether or not a Member switches to the ARES.
3. Termination, Enrollment, and Switching Fees shall not be charged except as permitted by this
Plan.
K. Costs. All costs of the aggregation program development and administration will be paid by the ARES.
Specifically, and without limitation of the foregoing, the ARES shall reimburse the City for all professional,
legal, Consultant, and administrative costs incurred by the City in connection with its adoption of its
Aggregation Program and the negotiation and execution of the Power Supply Agreement.
L. Termination of Service.
1. End of Term. The Power Supply Agreement with the ARES will terminate upon its expiration.
2. Early Termination. The City will have the right to terminate the Power Supply Agreement prior
to the expiration of the term in the event the ARES commits any act of default. Acts of default
include but are not limited to the following:
a. Breach of confidentiality regarding Member information;
b. The disqualification of the ARES to perform the services due to the lapse or revocation of
any required license or certification identified as a qualification in the Joint Power Supply
Bid;
c. Com Ed’s termination of its relationship with the ARES;
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The City of Lake Forest
Plan of Operation and Governance
Illinois Community Choice Aggregation Network 8
d. Any act or omission which constitutes deception by affirmative statement or practice, or
by omission, fraud, misrepresentation, or a bad faith practice;
e. Billing in excess of the approved rates and charges;
f. Billing or attempting to collect any charge other than the approved kWh rates and
contractually approved charges; or
g. Failure to perform at a minimum level of customer service required by the City.
Upon termination for any reason, the City will notify ComEd to return the Aggregation Members to the Default
Tariff Service. Upon termination, each individual Member will receive written notification from the City of the
termination of the Program.
VII. PRICING
A. Pricing Methodology. The City and the Consortium intend to establish a price for the purchase of
electricity for the Program by first setting a fixed price for the vendor margin to be paid to the selected
ARES, and then by adding the established vendor margin to the market price. The City and the Consortium
reserve the right to establish a price through a different methodology as may be developed by the
[City/Village], the Consortium, and the selected ARES.
B. Commodity Price Settlement. The Consortium and the Consultant will request and receive from the
selected ARES daily market price quotes for a period of not less than 12 months, upon: (i) the approval of
the referendum in each municipality participating in the Consortium; (ii) approval by each municipality of
the Program and the Plan; and (iii) execution by each municipality of its Power Supply Agreement with the
selected ARES. The daily market price quotes will detail the line item costs of energy supply, capacity,
transmission, and ancillary services available to the Consortium that day. The daily market price quotes
will be reviewed by the Consultant to establish that the individual pricing details are (i) consistent with
market prices and tariffs; and (ii) consistent with the terms of the Power Supply Agreement. If the daily
market price quote is deemed unacceptable, the Consortium municipalities will not be obligated to accept
the pricing. If the daily market price quote is deemed acceptable by the Consultant, the Consultant will
inform the representatives of each Consortium participant of the price and pricing components and
recommend acceptance. If accepted, the representatives of each Consortium participant will affirm
acceptance of the commodity price plus the approved vendor margin verbally and in writing to the
selected ARES on that same day.
C. Recording. The commodity price established for the Consortium will be added to the pricing appendix in
each Consortium participant’s Power Supply Agreement. Costs associated with additional Renewable
Energy Credits may be added to the commodity price settlement at the discretion of the City.
VIII. IMPLEMENTATION PROCEDURES
A. Development of Member Database. Pursuant to ICC regulations, after this Plan is approved by the City,
the City Manager or his or her designee will then submit a Direct Access Request and Government
Authority Aggregation Form to ComEd (ILL.C.C. No.10 Rate GAP Government Aggregation Protocols,
Sheets 406-411, April 17, 2011), requesting that it provide the City with Retail Customer Identification
Information. ComEd will provide the City with the requested information within 10 business days after
receiving the request in accordance with those adopted protocols.
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Illinois Community Choice Aggregation Network 9
After selecting and contracting with an ARES, the City, with the assistance of the Consultant, under
confidential agreement with the ARES, will work with the ARES to remove any customers determined to be
ineligible due to one or more of the following:
1. The customer is not located within the City;
2. The customer has a pre-existing agreement with another ARES and has not delivered to the
City a written request to switch to the Aggregation Program;
3. The customer has free ComEd service;
4. The customer is an hourly rate ComEd customer (real time pricing);
5. The customer is on ComEd’s electric heat rate; or
6. The customer is on a ComEd bundled hold (i.e. the customer recently terminated service from
a different ARES and re-established service through ComEd).
The ARES and the City will complete this eligibility review within 5 business days.
The Retail Customer Identification Information will remain the property of the City, and the ARES will
comply with the confidentiality and non-compete provisions in the Power Supply Agreement.
After the Retail Customer Identification Information is reviewed, the ARES will mail the Opt-Out Notices
described below to all eligible account holders within the boundaries of the City.
Except as expressly permitted in the Power Supply Agreement, the ARES shall treat all customers equally
and shall not deny service to any customer in the Aggregation, or alter rates for different classes of
customers other than by offering the rates set forth in the Power Supply Agreement.
B. Maintenance of Accurate and Secure Customer Records. The ARES will maintain a secure database of
Customer Account Information. The database will include the ComEd account number, and ARES account
number of each active Member, and other pertinent information such as rate code, rider code (if
applicable), and usage and demand history. The database will be updated on an ongoing basis.
The ARES shall preserve the confidentiality of all Aggregation Members’ account information and of the
database, and shall agree to adopt and follow protocols to preserve that confidentiality. The ARES, as a
material condition of any contract, shall not disclose, use, sell or provide customer account information to
any person, firm or entity for any purpose outside the operation of this Municipal Aggregation Program.
This provision will survive the termination of the agreement. The City, upon receiving customer
information from ComEd, shall be subject to the limitations on the disclosure of that information
described in Section 2HH of the Consumer Fraud and Deceptive Practices Act, 815 ILCS 505/2HH. The ARES
will keep Customer Account Information for a minimum of two years following the termination of the
Power Supply Agreement.
C. Opt-Out Process. The City’s Aggregation is an opt-out program pursuant to 20 ILCS 3855/1-92. Any
eligible electric account that opts out of the Program pursuant to the procedures stated below will
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The City of Lake Forest
Plan of Operation and Governance
Illinois Community Choice Aggregation Network 10
automatically be placed on the ComEd default tariff service unless and until the accountholder chooses
another ARES.
1. Manner of Providing Notices and Information. The ARES will be required to pay for printing
and mailing of all Aggregation and Opt-Out Notices on City envelope and letterhead. The ARES
will mail Aggregation and Opt-Out Notices to the eligible account holders within the
boundaries of the City at the address provided with the Retail Customer Identification
Information provided by ComEd. The ARES must manage the Opt-Out Notice process under
the supervision of the City and the Consultant. A single database must be used to track
account enrollment and billing data.
2. Content of Notice. The City and the ARES will agree to the format and contents of the
Aggregation and Opt-Out Notices prior to distribution or mailing. No such Notice shall be
distributed or mailed except upon the express prior approval of the City. The Notice will
inform the electric account owner of the existence of the Aggregation Program, the identity of
the ARES, and the rates to be charged. The Notice will also inform PIPP customers of the
consequences of participating in the Aggregation.
The Notice will provide a method for customers to opt out of the Aggregation Program. The
Notice shall indicate that it is from the City, and include the City name and logo on the
envelope. The Notice shall be signed by a duly-authorized representative of the [City/Village].
Aggregation Members shall have 21 calendar days from the postmark date on the notice to
mail the Opt-Out card back to the ARES stating their intention to opt out of the City
Aggregation Program (“Opt-Out Period”). The ARES may offer additional means of opting out,
such as a toll-free number, website, smart device quick response code, email address or fax
number, each of which must be received within the Opt-Out Period. Upon receipt of an opt-
out reply, the ARES will remove the account from the Aggregation Program. The time to
respond shall be calculated based on the postmark date of the notice to the customer and the
postmark date of the customer’s response.
After the expiration of the Opt-Out Period, the Member list shall become final. All customers
who have not opted out will be automatically enrolled as Members in the Program.
Customers will not need to take any affirmative steps in order to be included in the Program.
In the event that an eligible Aggregation Member is inadvertently not sent an Opt-Out Notice,
or is inadvertently omitted from the Program, the ARES will work with the City and the
Member to ensure that the Member’s decision to remain in, or opt out of, the Program is
properly recorded and implemented by the ARES.
3. Notification to ComEd. Pursuant to ILL.C.C. No.10, Rate GAP, after the Opt-Out Notice period
has expired, the ARES shall submit the account numbers of participating Aggregation
Members to ComEd and the rate to be charged to those members pursuant to the Power
Supply Agreement. The ARES will provide that information to ComEd in the format ComEd
requires.
4. ComEd will then notify members that they have been switched to the ARES and provide the
member with the name and contact information of the ARES. Members will have the option
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to rescind their participation in the program according to procedures established by ComEd
and the ARES.
D. Activation of Service. Upon notification to ComEd, the ARES will begin to provide electric power supply to
the members of the Aggregation Program without affirmative action from the members. The service will
begin on the member’s normal meter read date within a month when power deliveries begin under the
Aggregation Program.
E. Enrollments:
1. New Accounts. The ARES must facilitate the addition of new member accounts to the
Aggregation Program during the term of the Power Supply Agreement. Residents and
businesses that move into the community after the Opt-Out Period will NOT be automatically
included in the Aggregation Program. Members wishing to opt-in to the Aggregation Program
may contact the ARES to obtain enrollment information. All new accounts shall be entitled to
the rates set forth in the Power Supply Agreement.
2. Re-Joining the Aggregation Group. After opting out, Members may rejoin the Program at a
later date in the same manner as new residents moving into the City. These members may
contact the ARES at any time to obtain enrollment information. The ARES must make
commercially reasonable efforts to provide electric power supply to all such re-joining
Members at the rates set forth in the Power Supply Agreement.
3. Percentage of Income Payment Plan (PIPP) participation. The ARES must facilitate billing for
residents enrolled in the PIPP bill payment assistance program for low-income residential
customers. The ARES must also notify PIPP customers of the consequences of participating in
the Aggregation.
4. Change of Address. Members who move from one location to another within the corporate
limits of the City shall retain their participant status, pursuant to Section VIII.G.4 of this Plan.
5. The ARES will establish procedures and protocols to work with ComEd on an ongoing basis to
add, delete or change any member participation or rate information.
F. Member Services:
1. Program Management and Documentation: The ARES must have standard operating
procedures in place that govern Member education, Opt-out notification, Member inquiries,
and public outreach regarding the Aggregation Program.
2. Member Inquiries.
a. Procedures for Handling Customer Complaints and Dispute Resolution. Concerns
regarding service reliability should be directed to ComEd, billing questions should be
directed to ComEd or the ARES, and any unresolved disputes should be directed to the
ICC.
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The City of Lake Forest
Plan of Operation and Governance
Illinois Community Choice Aggregation Network 12
b. Telephone Inquiries. The ARES must maintain a local or toll-free telephone access line
which will be available to Aggregation Members 24 hours a day, seven days a week.
Trained company representatives will be available to respond to customer telephone
inquiries during normal business hours. After normal business hours, the access line may
be answered by a service or an automated response system, including an answering
machine. Inquiries received after normal business hours must be responded to by a
trained company representative on the next business day. Under normal operating
conditions, telephone answer times by a customer representative, including wait time,
shall not exceed 30 seconds when the connection is made. If the call needs to be
transferred, transfer time shall not exceed 30 seconds. These standards shall be met no
less than 90 percent of the time under normal operating conditions, measured on a
quarterly basis.
c. Internet and Email. The ARES must establish and maintain a website for the Aggregation
Members. The website will provide basic information concerning the Aggregation
Program and will facilitate member inquiries by providing a platform for the submission of
questions by email or text. Responses to inquiries submitted through the website
platform must be generated within 24 hours.
d. Multilingual Services. The ARES must provide customer service for Members requiring
non-English verbal and written assistance.
e. Hearing Impaired. The ARES must provide customer service for hearing impaired
Members.
3. The ARES will provide the Aggregation Members with updates and disclosures mandated by
ICC and IPA rules.
G. Billing and Fees.
1. Collection and credit procedures remain the responsibility of ComEd and the individual
Aggregation Member. Members are required to remit and comply with the payment terms of
ComEd. The City will not be responsible for late payment or non-payment of any Member
accounts. Neither the City nor the ARES shall have separate credit or deposit policies for
Members.
2. Early Termination. Members may terminate service from the ARES without penalty if they
relocate outside of the City. Members who did not opt out of the Program during the Opt-Out
Period and who later leave the Program for other reasons may be assessed an early
termination fee by the ARES in the amount set forth in the Power Supply Agreement, but in no
event in an amount greater than $25.
3. Enrollment Fee. For any new Member that joins the Program after the activation of service by
the ARES for the City, the ARES may charge an enrollment fee only to establish service at a
property for which the ARES had not previously provided service in the preceding 30 days.
The ARES shall not charge any enrollment fee with respect to any property for which the
identity of the Member is changed but at which service is interrupted for a period of less than
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The City of Lake Forest
Plan of Operation and Governance
Illinois Community Choice Aggregation Network 13
30 days. Any enrollment fee authorized pursuant to this Paragraph shall be in the amount set
forth in the Power Supply Agreement, but in no event in an amount greater than $25.
4. Switching Fee. Members changing residency within the City will not be assessed early
termination or enrollment fees. The ARES shall continue service at the same rate and under
the same terms and conditions for any Member who relocates within the City prior to the
expiration of the contract term, providing that the Member notifies the ARES of his or her
desire to do so with 30 days’ notice. Moving within the City may cause the Member to be
served for a brief period of time by ComEd. The ARES shall have the right to bill the
participant for any associated switching fee imposed by ComEd.
H. Reliability of Power Supply: The Program will only affect the generation source of power. ComEd will
continue to deliver power through their transmission and distribution systems. Responsibility for
maintaining system reliability continues to rest with ComEd. If Members have service reliability problems,
they should contact ComEd for repairs. The ICC has established “Minimum Reliability Standards” for all
utilities operating distribution systems in Illinois. Member outages, duration of outages, interruptions,
etc., are monitored to ensure reliability remains at satisfactory levels. In addition to maintaining the
“wires” system, ComEd is required to be the “Provider of Last Resort,” meaning that should the Vendor fail
for any reason to deliver any or all of the electricity needed to serve the Members’ needs, ComEd will
immediately provide any supplemental electricity to the Members as may be required. ComEd would
then bill the ARES for the power provided on their behalf, and the Members would incur no additional cost
therefor.
IX. ADDITIONAL SERVICE TERMS AND CONDITIONS
A. Member Education. At the direction of the City, the ARES will assist the City in developing a Member
Education Plan.
B. Reporting. The ARES will provide to the City and to the Consultant the following reports:
1. Power Mix Reporting. The ARES will deliver quarterly reports to the City and the Consultant
which substantiate that: (a) it generated or purchased electricity with the claimed attributes in
amounts sufficient to match actual consumption by the City; (b) the electricity was supplied to
the interconnected grid serving the City.
The report will show the source of the power and demonstrate that the power was provided
in accordance with Renewable Portfolio Standards and the federal Clean Air Act regulations
and permits.
2. REC Reporting. The ARES will deliver reports that provide competent and reliable evidence to
support the fact that it purchased properly certified REC in a sufficient quantity to offset the
non-renewable energy provided in the mix.
3. Aggregation Reports. The ARES will provide the City with quarterly reports showing the
number of Members participating in the Aggregation Program and the total cost for energy
provided to the Aggregation as compared to the ComEd’s default tariff service rates. In
addition, the ARES will report its efforts at member education.
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The City of Lake Forest
Plan of Operation and Governance
Illinois Community Choice Aggregation Network 14
C. Limitation of Liability. The City shall not be liable to Aggregation Members for any claims, however styled,
arising out of the aggregation program or out of any City act or omission in facilitating the Municipal
Aggregation Program.
X. INFORMATION AND COMPLAINT NUMBERS
Copies of this Plan will be available from the City free of charge at www.________ . Call XXX-XXX-XXXX for
more information. Any electric customer, including any participant in the [City/Village]’s aggregation program,
may contact the Illinois Commerce Commission for information, or to make a complaint against the Program,
the ARES or ComEd. The ICC may be reached toll free at 217-782-5793.
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RESOLUTION NO. R2012-__________
A RESOLUTION APPROVING A CONTRACT FOR THE PROVISION OF ELECTRICITY
FOR THE VILLAGE’S ELECTRICITY AGGREGATION PROGRAM
AND AUTHORIZING THE CITYADMINISTRATOR TO EXECUTE DOCUMENTATION
TO SECURE A FINAL ELECTRICITY PRICE FOR THE PROGRAM
WHEREAS, pursuant to Section 1-92 of the Illinois Power Agency Act, 20 ILCS
3855/1-92 ("Act"), on _________, 2012, the Mayor and City Council adopted Ordinance No.
__________, authorizing the establishment of an opt-out program for the aggregation of
electrical loads of residential and small commercial retail customers in the City (“Electricity
Aggregation Program”); and
WHEREAS, pursuant to Section 1-92(b) of the Act, on __________, 2012, the
Mayor and City Council adopted Resolution No. ______, approving a plan of governance for the
Electricity Aggregation Program; and
WHEREAS, the City is a member of the North Shore Electricity Aggregation
Consortium (“Consortium”), an intergovernmental association formed to facilitate the
cooperation of its member municipalities toward obtaining the lowest possible electricity rates
for their respective residents and small businesses; and
WHEREAS, pursuant to the Act, the Consortium sought bids for the award of a
contract for the provision of electricity for the Electricity Aggregation Program (“Contract”); and
WHEREAS, MC Squared Energy Services, LLC, of Chicago, Illinois (“MC
Squared"), was the low responsible bidder of the firms that submitted bid packages to the
Consortium; and
WHEREAS, based upon the pricing schedule in the bid package submitted by
MC Squared, which is lower than the pricing schedule offered by ComEd, the City anticipates
that residential and small commercial retail customers within the City will realize significant cost
savings for electric supply to residential and small commercial retail customers; and
WHEREAS, pursuant to the terms of the Contract, MC Squared, the City, and the
other members of the Consortium will, on a daily basis, monitor the electricity market to identify
and establish a final price for the electricity to be supplied to the Electricity Aggregation
Program; and
WHEREAS, the City and the other members of the Consortium expect that the
daily market price quotes will result in a final electricity price for the Electricity Aggregation
Program that is deemed to be advantageous to the residents and small businesses within the
City and the other municipalities of the Consortium; and
WHEREAS, in order to preserve the ability of the City to establish a final
electricity price for the Electricity Aggregation Program at as low a price as practicable, the
Mayor and City Council have determined that it will serve and be in the best interests of the City
to: (i) approve the Contract between the City and MC Squared; and (ii) authorize the City
Manager to execute, on behalf of the City, all documentation necessary to secure a final
electricity price for the Electricity Aggregation Program, in accordance with the terms of the
Contract;
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NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL
OF THE CITYOF LAKE FOREST, LAKE COUNTY, ILLINOIS, as follows:
Section 1. Recitals.
The foregoing recitals are incorporated into, and made a part of, this Resolution
as the findings of the Mayor and City Council of the City.
Section 2. Approval of Contract.
The Contract by and between the City and MC Squared shall be, and is hereby,
approved in substantially the form attached to this Resolution as Exhibit A and in final form
approved by the City Attorney.
Section 3. Execution of Contract.
The City Manager and the City Clerk shall be, and they are hereby, authorized
and directed to execute and attest, on behalf of the Village, the Contract upon receipt by the
City Clerk of at least one original copy of the Contract executed by MC Squared; provided,
however, that if the executed copy of the Contract is not received by the City Clerk within 30
days after the effective date of this Resolution, then this authority to execute and attest shall, at
the option of the President and Board of Trustees, be null and void.
Section 4. Authorization to Execute Documentation.
A. The President and Board of Trustees shall, and do hereby, authorize the
City Manager to execute, on behalf of the City, all documentation necessary for the
establishment of a final electricity price, for a term of not less than 12 months nor more than 30
months, for the Electricity Aggregation Program, in accordance with and pursuant to the
Contract, and in cooperation with the Consortium and MC Squared.
B. This Resolution shall not be deemed or interpreted as obligating the City
Manager to execute any documentation related to the establishment of a final electricity price
for the Electricity Aggregation Program. In the event that the City Manager determines, in his
discretion and in cooperation with the Consortium, that, on any given day, the daily market price
quotes for any term between 12 months and 30 months are not favorable to the Village, then
the City Manager shall be, and is hereby, authorized to reject such quotes on behalf of the
Village.
Section 5. Effective Date.
This Resolution shall be in full force and effect from and after its passage and
approval as provided by law.
PASSED this ____ day of _____, 2012, by vote of the Board of Trustees of the City of
Lake Forest, as follows:
AYES:
NAYS:
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ABSTAIN:
ABSENT:
APPROVED this ____ day of ________, 2012.
___________________________________
Mayor
ATTEST:
___________________________
City Clerk
#11034731_v3
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EXHIBIT A
CONTRACT
49
THE CITY OF LAKE FOREST
ORDINANCE NO. _________
AN ORDINANCE APPROVING A
FEE SCHEDULE FOR THE CITY OF LAKE FOREST
WHEREAS, The City has established various fees and charges as part of its
codes, ordinances, rules, regulations, and policies, which fees and charges are
reviewed from time-to-time; and
WHEREAS, the City Council has reviewed such fees and charges, and
hereby determines that it is necessary to adjust certain existing fees and charges,
and/or to establish formally other fees and charges; and
WHEREAS, the City Council has determined that it is in the best interests
of the City and its residents to adopt this Ordinance;
NOW, THEREFORE, BE IT ORDAINED BY THE MAYOR AND CITY
COUNCIL OF THE CITY OF LAKE FOREST, COUNTY OF LAKE, STATE
OF ILLINOIS, as follows:
SECTION ONE: Recitals. The foregoing recitals are incorporated as the
findings of the City Council and are hereby incorporated into and made a part of
this Ordinance.
SECTION TWO: Approval of Fee Schedule. The City Council hereby
approves the supplemental fee schedule set forth in Exhibit A (“Supplemental Fee
Schedule”). To the extent any provision of any code, ordinance, regulation, rule, or
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policy of the City is contrary to the Supplemental Fee Schedule, such provision is
hereby deemed amended so that the Supplemental Fee Schedule shall control. Any
fee or charge not otherwise listed on the Supplemental Fee Schedule shall remain
unchanged and in full force and effect.
SECTION THREE: Effective Date of Supplemental Fee Schedule.
The fees and charges set forth on the Supplemental Fee Schedule shall take effect
as of the date noted on the Supplemental Fee Schedule.
SECTION FOUR: Effective Date. This Ordinance shall be in full force
and effect upon its passage, approval, and publication in pamphlet form in the
manner provided by law.
Passed this ____ day of _________________________, 2012 AYES: NAYS: ABSENT: ABSTAIN: Approved this __ day of _________________________, 2012 _____________________________ Mayor ATTEST: _______________________________ City Clerk
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#1315151/2
Exhibit A
Supplemental Schedule of Fees and Charges
Effective with Water Bills Mailed On or After May 1, 2012
$4.99/1000 gallons Inside The City of Lake Forest
$6.85/1000 gallons Outside The City of Lake Forest
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3/28/20129:23 PM Water Rate Survey 3-27-12
Water Fee Survey
May 1, 2012
Residential Residential
Produces Water Water Rates Sanitary Sewer
( billed through municipality)
Community Water Supplied By Rates Per 1000 gallon Rates per 1000 gallon Total Future Years
Lincolnshire Highland Park $4.45 $5.42 $9.87 Approximately 3% per year
Bannockburn Highland Park $7.79 $1.50 $9.29 No projected annual increase
Northfield Winnetka $6.26 $2.45 $8.71 7.5% increase FY14
Deerfield Highland Park $5.07 $3.56 $8.63 2.5% annual increase
Wilmette X $3.33 $4.60 $7.93 No projected annual increase
Evanston x $2.34 $5.27 $7.61 5% projected increase water only
Lake Bluff JAWA $6.45 $1.10 $7.55 7% spread over the next 6 years
Lake Forest - Proposed X $4.99 $1.16 $6.15
Lake Forest - Current $4.92 $1.16 $6.08
Glenview Wilmette $4.55 $1.29 $5.84 7.5% to 9% over next 5 yrs, water rates only
Glencoe X $4.55 $1.28 $5.83 5% annual increase
Winnetka X $3.98 $1.39 $5.37 water = 8% increase next 2 years
North Chicago X $3.83 $1.26 $5.09 12% 2012, 5% 2013 water rate only
Northbrook X $4.08 $0.80 $4.88 21% increase FY14, 18% increase FY15
Skokie Evanston $4.14 included $4.14 No projected annual increase
Highland Park X $2.38 $0.94 $3.32 No projected annual increase
Lake Forest customer charge/qtr.Meter Size Water Sewer
Small = 5/8th - 1 inch $10.00 $5.00
Medium = 2 - 4 inch $100.00 $20.00
Large = 6 inch and above $500.00 $100.00
The City of Lake Forest
53
AGREEMENT FOR THE OPERATION OF
THE CITY OF LAKE FOREST COMPOST SITE
WHEREAS, THIS AGREEMENT made this 2nd day of April 2012, by and between
THE CITY OF LAKE FOREST, a municipal corporation of the State of Illinois (hereinafter
referred to as the “CITY”), and P. Clifford Miller, Inc. (hereinafter referred to as the
“CONTRACTOR”) is entered into for the purpose of the CONTRACTOR operating the CITY
compost site; and
Section I. CITY Responsibilities
Prior to commencement of operation by the CONTRACTOR, the CITY agrees to perform the
following operations/activities:
1. The CITY will maintain a metered water source to the existing facility for the sole
purpose of aiding yardwaste decomposition. Although the water will be metered, there
will not be a charge to the contractor for water used for this operation.
2. The CITY will staff the Route 60 entrance gate when opened to the public on weekend
days, as directed by the City Manager and/or City Council to monitor and regulate
residential access to the facility for the proper disposal of those items as defined in the
facilities’ Rules and Regulations, which such rules and regulations may be amended from
time to time.
3. The CITY will provide general maintenance and repairs to the primary asphalt receiving
pad, the access road leading to the water tank, and the gravel road exiting the receiving
pad.
Section II. CONTRACTOR Responsibilities
The CONTRACTOR shall manage and operate the composting site so as to accommodate all
landscape waste generated by the CITY and its residents including leaves, grass, brush, and tree
limbs up to ten (10) inches in diameter. The CONTRACTOR’S operation shall be subject to
the following requirements/ provisions.
A. Site Operation
1. The CONTRACTOR agrees to process all landscape waste collected by CITY crews
and residents, estimated at no more than 10,000 “compacted” cubic yards annually in
accordance with the IEPA permits; and other regulatory requirements. “Compacted”
cubic yards is defined in Section B1 of this agreement.
2. The contractor shall not bring in any material from the outside to be processed at the
Composting Site. Only material from The City of Lake Forest’s operations and residents
shall be processed.
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3. The CONTRACTOR shall operate the site in a neat and professional manner. More
specifically, the CONTRACTOR shall:
• Remove all material from the receiving pad within 24 hours of it being deposited.
This requires a daily inspection of the receiving pad by the CONTRACTOR.
• All material must be ground and placed into windrows within 24 hours.
• Maintain the Composting Site to include filling of all low spots with clay and / or
asphalt grindings. The areas shall be compacted to grade so that no standing water
exists. Inspection of the Composting Site and repair of all low spots shall occur
weekly.
• The site will be operated in accordance with the IEPA permits and CONTRACTOR
shall at all times maintain the work boundaries as defined in said permit.
4. The site will be available to the CONTRACTOR seven days a week, Monday through
Saturday from 7:00 AM – 7:00 PM, and Sundays from 8:00 AM – 7:00 PM. Any Sunday
operations shall not begin before 8:00 AM and are subject to prior approval by the CITY.
5. The CONTRACTOR will provide for daily weather information by a weather station
deemed appropriate to provide the CONTRACTOR with information which will direct
the processing of the compost material.
6. The CONTRACTOR will position the windrows of composted materials as far away
from neighboring properties as available space permits while complying within the
permitted boundaries as set forth in the IEPA Permit.
7. The CONTRACTOR shall operate the site in a manner which minimizes odors and
maximizes the decomposition rate in accordance with IEPA Permit #1997-185-DE/OP.
8. The CONTRACTOR is responsible for writing and submitting any or all annual reports
required by the IEPA and / or Lake County Health Department.
B. Fee
The CITY and the CONTRACTOR mutually agree to the following fee structure(s):
1. The CONTRACTOR will accept and process landscape waste delivered to the site by
City crews and residents. The material will be comprised of leaves, grass, brush, wood
chips, and tree limbs up to ten (10) inches in diameter. The CITY’S Streets & Sanitation
Supervisor will determine each Monday morning how many loose yards were collected
by the residents over the weekend and what was brought in the previous week by City
operations. The flat monthly rate to operate manage the City’s yard waste is found on
Attachment A of this agreement.
A compacted cubic yard of loose material is calculated by the following calculation:
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• All loose material is pushed up against the push wall with a front end loader.
• The pushed up pile is then measured to determine its area = length x width x
height (measured in feet and inches).
• The pile’s area is divided by 27 (1 cubic yard) and then divided by 3.81
(compaction ratio with the refuse trucks).
• The result is the number of compacted cubic yards for that pile.
The City utilizes both front load and rear load refuse trucks to collect all residential yard
waste. If the rear load truck is full, it will have 25 compacted yards of material. If the
front load refuse truck is full, it will have 30 compacted yards of material.
2. The CONTRACTOR shall invoice the CITY a flat monthly rate of $9,600 for
processing all material deposited at the site from the previous month and make every
reasonable effort to cause statements to arrive at City offices no later than the 5th business
day of each month and payments made within 30 days of receipt.
3. The CONTRACTOR shall make available for inspection by the CITY or duly
authorized representative, all financial documents, maintenance records and operational
records of the CONTRACTOR related to the operations contemplated by this
Agreement.
C. Equipment
The CONTRACTOR shall be solely responsible for providing, or arranging for the
provision of all equipment and labor for the operations, repair, and servicing of equipment, to
include rental necessary to operate the site in compliance with IEPA requirements including
odor control equipment/materials.
D. Compost & Leaf Mulch
1. All Compost (end-product) produced shall be the property of the CONTRACTOR,
except that 800 cubic yards of screened compost, 500 cubic yards of screened leaf mulch,
and 200 cubic yards of double ground wood chips shall always be available to the CITY
and residents at no cost and at a location designated by the CITY. All compost and leaf
mulch shall be screened to ¼” or smaller; wood chips shall be ground twice.
2. The CONTRACTOR shall be responsible for marketing the end product. The name of
the CITY shall not be used in any advertising without prior written permission from the
CITY. The CONTRACTOR may show the site to prospective customers and may
photograph and describe the site so long as the CITY’S name is not included without the
aforesaid written permission. All composted and leaf mulch material shall be removed
from the site by August of the following year. For example, 2011’s compost and leaf
material shall be removed from the site no later than August 1, 2012. Disposition of such
material must be in accordance with the attached IEPA permit and the City shall be
notified of where it is being taken to.
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3. If the CONTRACTOR awarded this contract is different than the CONTRACTOR that
currently operates the Compost Center, the new CONTRACTOR taking over the
operation effective May 1, 2012, shall assume sole responsibility and disposition of all
existing yard waste, compost, leaf mulch, wood chips, and asphalt grindings on site at
that time.
Section III. General Conditions
Both parties to this Agreement hereby subscribe to the following General Conditions.
A. Indemnification
Throughout the term of this Agreement and following the termination of this Agreement to
the extent any such matters described below may arise:
1. Throughout the term of this Agreement the CONTRACTOR will hold and save harmless
the CITY from any and all claims, causes of action and the like, including reasonable
attorney fees, which may arise directly or indirectly out of any act or failure of the
CONTRACTOR to act in connection with this Agreement. The CITY shall indemnify
and save the CONTRACTOR harmless from and against any and all claims, demands,
causes of action, and the like, including reasonable attorneys’ fees and engineering fees,
brought by any person or entity against the CONTRACTOR which pertain to or arise in
connection with the pre-existing conditions at the property and which do not result
directly or indirectly from any act or failure to act of the CONTRACTOR.
B. Insurance
The CONTRACTOR shall secure and maintain such insurance as detailed in Attachment B.
Section IV. Term of Agreement
The CONTRACTOR shall as operator be responsible for regulatory compliance in general, and
specifically, but not limited to the following items.
1. This Agreement shall be in full force and effect from and after the date of the execution
for a period of one year. Provided, however, that the parties may extend the term for an
additional second and third year by agreement of both parties.
2. During the term of the Agreement, the CONTRACTOR shall ensure that the facility, any
end-product compost, and all of the CONTRACTOR’S operations comply with all valid
and applicable laws, ordinances, rules, regulations, permits and orders - issued by federal,
state, or local authorities - governing such facility, compost, or operations, including, but
not limited to, the requirements of 35 Illinois Administrative Code Parts 830, 831, and
832.
3. In the event that the Compost Site cannot be operated as provided in this Agreement, or
that odor control at the Compost Site is determined by the City staff to be unsatisfactory,
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this Agreement may be canceled by the CITY upon 30 days written notice. This
Agreement shall be subject to immediate termination without notice if the IEPA Permits,
or any other license or permit required for the lawful operation of the Compost Site, is
suspended or revoked. In the event of termination under this paragraph, residual matter
shall continue to be processed by the CONTRACTOR until the material is ready to be
screened.
4. In the event the CONTRACTOR is unable to suitably operate the facility, the
CONTRACTOR may cancel this Agreement upon 45 days written notice to the CITY,
provided that the CONTRACTOR shall load and transport all remaining material to a
satisfactory, IEPA approved alternate site for the deposit of landscape waste as
contemplated under this Agreement. A satisfactory site shall be one having sufficient
tipping capacity for landscape waste generated by the CITY for the remainder of the
calendar year in which cancellation occurs, and charging no greater rate than the rate then
charged by the CONTRACTOR under this Agreement.
Section V. Penalty Clause
In the event of a breach of this Agreement by either party, the other party, at its option, may
terminate this Agreement upon 45 days written notice, provided however that the party in breach
may cure any default within the 45-day period. Any default of this Agreement will result in the
CONTRACTOR adhering to the terms set forth in the Section IV, Item 4 of this Agreement. If
the CONTRACTOR is found to have violated IEPA regulations, the City Council may, at its
discretion, levy a fine of up to $1,000 for each day, for the first offense, that the violation existed
at the site. The second offense shall be fined at $2,000 per day that the violation existed on site.
The third offense shall be $3,000 per day that the violation existed on site.
Section VI. CONTRACTOR Accountability Measures
1. The CITY will have the option to stop CONTRACTOR operations on any day when
odor level is deemed unacceptable by the CITY, except if such a stoppage would put the
site out of regulatory compliance.
2. The CONTRACTOR and CITY shall continue to meet as-needed during periods of
March 15 - December 15 to inspect the site and address any operational concerns.
3. The CONTRACTOR will submit written monthly reports to the CITY no later than the
15th of the following month to include the volumes of incoming materials and outgoing
finished product.
4. The CONTRACTOR will make itself available for all City Council and/or Committee
meetings to review operations upon request of the City Manager or his duly authorized
agent.
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5. The CITY and the CONTRACTOR agree to actively participate with the Illinois
Department of Health, Illinois Environmental Protection Agency, and Lake County
Health Department on any health related studies associated with the operation of said
compost facility. The CONTRACTOR shall develop, write, and apply for all necessary
IEPA compost and transfer permit renewals and / or change of contractor notice.
6. The CITY’S independent auditor may review the CONTRACTOR’S yearly financial
records to insure full compliance with this agreement upon request of the City Manager.
The Auditor’s review shall be limited to those records which pertain to Lake Forest
operations covered by this agreement. These records will be kept in separate accounts for
audit purposes.
7. The CITY and CONTRACTOR will cooperate in the preparation of publications to
provide information to reduce homeowners’ overall yardwaste quantities.
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IN WITNESS WHEREOF, the parties have entered into this Agreement the day and year first
above written.
CONTRACTOR:
By:
Attest:
CITY: The City of Lake Forest
By:
City Manager
Attest:
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ATTACHMENT A
FEES
The following flat monthly rate shall be paid to process all yard waste material as defined in
Section B, Item 1 of this Agreement:
$9,600 / month
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ATTACHMENT B
INSURANCE REQUIREMENTS
These requirements are baseline standards for insurance to be provided in City procurements.
They may require adjustment from time to time based on a variety of factors, including the
nature, scope, duration, and value of the procurement, subject to approval of the City Manager.
A. Worker’s Compensation and Employer’s Liability with limits not less than:
(1) Worker’s Compensation: Statutory;
(2) Employer’s Liability:
$500,000 injury-per occurrence
$500,000 disease-per employee
$500,000 disease-policy limit
Such insurance shall evidence that coverage applies in the State of Illinois.
B. Comprehensive Motor Vehicle Liability with a combined single limit of liability for
bodily injury and property damage of not less than $2,000,000 for vehicles owned, non-
owned, or rented.
All employees shall be included as insureds.
C. Comprehensive General Liability with coverage written on an “occurrence” basis and
with limits no less than:
$2,000,000 Bodily Injury and Property Damage Combined Single Limit
Coverage is to be written on an “occurrence” basis.
Coverages shall include:
- Broad Form Property Damage Endorsement
- Blanket Contractual Liability (must expressly cover the indemnity provisions
of the Contract)
- Premises/Operations
- Products/Completed Operations (to be maintained for two years following
Final Payment)
- Independent Contractors
- Personal Injury (with Employment Exclusion deleted)
- Broad Form Property Damage Endorsement
- Bodily Injury and Property Damage “X”, “C”, and “U” exclusions shall be
deleted.
Railroad exclusions shall be deleted if Work Site is within 50 feet of any railroad track.
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D. Builders Risk Insurance, written in completed value form, to protect the supplier or
vendor and the City against “all risks” of direct physical loss to buildings, structures,
equipment, and materials to be used in providing, performing, and completing the
construction, including without limitation fire, extended coverage, vandalism and
malicious mischief, sprinkler leakage, flood, earth movement, and collapse, and shall be
designed for the circumstances that may affect the construction.
This insurance shall be written with limits not less than the insurable value of the project
at completion. The insurable value shall include the aggregate value of City-furnished
equipment and materials to be constructed or installed by the supplier or vendor.
This insurance shall include coverage while equipment or materials are in warehouses,
during installation, during testing, and after the project is completed, but prior to final
payment. This insurance shall include coverage while the City is occupying all or any
part of the project prior to final payment without the need for the insurance company’s
consent.
E. Owner’s and Contractor’s Protective Liability Insurance, in the name of the City with
a combined single limit for bodily injury and property damage of not less than the amount
required by the City Manager. This requirement shall apply to construction projects.
F. Professional Liability Insurance, with a limit of liability of not less than $1,000,000 per
occurrence and $2,000,000 in the aggregate and covering the supplier or vendor against
all sums that supplier or vendor may be obligated to pay on account of any liability
arising out of the contract. This requirement shall apply to design and consulting
projects, as well as to contracts for professionals involved in construction projects.
G. Umbrella Policy. The required coverages may be in any combination of primary, excess,
and umbrella policies. Any excess or umbrella policy must provide excess coverage over
underlying insurance on a following-form basis such that when any loss covered by the
primary policy exceeds the limits under the primary policy, the excess or umbrella policy
becomes effective to cover such loss.
H. City as Additional Insured. The City shall be named as an Additional Insured on all
policies except for:
Worker’s Compensation Professional Liability (if applicable)
Each such additional Insured endorsement shall identify the City as follows: The City of
Lake Forest, including its City Council members and elected and appointed officials, its
officers, employees, agents, attorneys, consultants, and representatives.
I. Other Parties as Additional Insureds. Other entities should be included and named as
additional insured on appropriate policies.
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