City of Mt. Vernon, Illinois
Special City Council Meeting
Monday, October 31, 2011
The Mt. Vernon City Council met for a Special City Council Meeting on Monday,
October 31, 2011 at 3:00 p.m. in the Council Chambers at City Hall,
Mayor Mary Jane Chesley called the meeting to order.
Roll Call showed present: Council Members Ron Lash, Todd Piper, David Wood and
Mayor Mary Jane Chesley. Absent: Council Member McEnaney.
SITE PLAN APPROVAL — ROLLAND W. LEWIS INDUSTRIAL PARK FOR MAGNUM STEEL
City Manager Ron Neibert noted a letter from City Engineer Scot Prindiville,
dated October 29, 2011, stating that he will recommend that the site plans for
Magnum Steel be approved by the City Council contingent on eight issues being
satisfactorily worked out with the City Engineer.
Dan Koziatek, a Civil Engineer for Volz Incorporated, presented the proposed
site plan consisting of a 20 acre parcel of land that will hold a newly
constructed 113,000 square foot office and manufacturing facility with
associated entrances off of Shiloh Drive, parking and gravel areas that will be
used for the temporary storage and off-loading of parts and equipment.
City Manager Ron Neibert noted that the building will be constructed of
pre-poured concrete walls so it will be basically a concrete structure which
meets all City building code specifications.
In order to accommodate the construction schedule, the City will be
issuing phased permits. Mayor
Chesley inquired about the gravel storage area, and it meets specifications as
well.
Council Member Piper inquired about the soil borings.
Mr. Koziatek stated that they will treat some of the soil with lime
pursuant to the soil report.
Jim Czerwinski, owner of Magnum Steel Works, Inc., advised they anticipate
beginning construction in January 2012, after design plans are complete.
It will take at least six months to complete construction.
He expects to employ 100 individuals after the building project is
complete.
Mayor Chesley inquired as to the types of jobs to be available.
Mr. Czerwinski stated that they will be hiring experienced mechanics,
welders, and machinists. Mayor
Chesley noted there are training programs for these skills at the high school as
well as Rend Lake College.
Motion was made by Council Member Wood to approve the site plan as presented
today with the letter dated October 29, 2011 from the City Engineer that
specifies eight items and that the site plan approval is contingent upon the
completion of those eight items.
Second by Council Member Lash. Yeas: Lash, Piper, Wood and Chesley. Absent:
Council Member McEnaney.
Illinois Municipal League Risk Management ASSOCIATION Presentation
Jim Closson, Loss Control Specialist at the Illinois Municipal League, addressed
the City Council regarding the insurance coverage IML Risk Management
Association provides to the City including property, vehicles, vehicle
liability, general liability, and worker’s compensation.
Mr. Closson noted that there are 718 municipalities.
IML is not an insurance company but rather a pool of municipalities.
He handles the loss prevention/loss control portion of the program and
thanked the City of Mt. Vernon for being a member of the IMLRMA since 1997.
Their focus is on risk management and helping to prevent losses to human,
physical and financial assets, and controlling the costs of the losses that
happen despite best efforts to prevent them.
In the ten years the City has been in the program, the numbers are in the red
meaning that claims exceed the amount of contributions paid into the association
which has driven the City’s contributions up.
However, in the last two years the City has turned the corner and is now
in the black. The following efforts
have been implemented: individual
department safety committees, the Accident Review Board, employee trainings,
defensive driving class, park inspections, and side walk safety plans.
Mr. Closson drafted a loss prevention plan for 2010 and 2011, and the
City has accommodated all of the points in the plan.
Mayor Chesley inquired about the City’s record relating to other cities of
comparable size. Mr. Closson noted
that Mt. Vernon is a Class E municipality.
The City of Mt. Vernon, contribution wise, is the fourth largest out of
718 municipalities. The City
contributed $1.3 million to IML last year.
Carbondale, Danville and Alton are in the same Class E based on
population. IML’s overall goal is
to identify the trends where the claims are being generated.
Eighty percent of the City’s claims are from worker’s compensation, and
ten percent are from general liability so the City is not having a lot of
property damage claims from fires.
Employees must be disciplined when they are performing unsafe acts.
The City must be proactive with the employees to remind them when they
are doing unsafe acts. According to
City Manager Ron Neibert, the City has two levels of safety review.
There is a department level review and a safety committee review which is
made up of representatives from each department.
The safety committee then makes formal safety recommendations to the City
Manager. Employees from the Public
Works Department have annual mandatory safety training.
Parks and Recreation Department employees are very good at inspecting the
playground equipment to insure the equipment is safe.
Mr. Closson advised that keeping the City’s claim increase to a minimum of five
to ten percent per year would be a realistic goal.
In the past two to three years, the City’s increases have been 14 to 18
percent. During employee training
sessions, Mr. Closson stresses that a lot of money is being paid into the IML
pool and the more money the City pays into the pool translates to less money
spent on the City’s infrastructure, employee benefits and pay raises, etc.
IMLRMA sets aside 72% of contributions for paying claims for over 700 members.
In 2010, there was a one-time infusion of $3 million from the
Illinois Municipal League to the IML Risk Management Association.
Because of the excessive amount of claims, there were some members who
were not renewed. They were costing
IML Risk Management Association a great deal and they did not have a strong
commitment to safety practices. As
long as the City of Mt. Vernon continues their commitment to the safety and loss
program, Mr. Closson does not anticipate that the City would be at risk to be
non-renewed by the IML Risk Management Association.
Any municipality in the pool can be assessed to repay the $3 million to the
Illinois Municipal League, but IML Risk Management Association does not
anticipate assessing any municipality.
Mr. Closson will send to City Manager Neibert the worst case scenario,
the methodology used for repayment of the $3 million, and the reach-back
provision for years the City has been in the program.
The City of Mt. Vernon’s contribution for 2012 is $1,462,158.00 which is an
11.62% increase over last year by $152,239.
From 2007 through 2011, the City’s loss ratio on worker’s compensation
alone is 151% which means that for every $1.00 in contribution, IMLRMA pays out
$1.50.
Council Member Wood expressed concern regarding the City’s obligation to
research other insurance providers.
According to City Manager Ron Neibert, last year Arthur J. Gallagher Co. shopped
around for a new insurance carrier, but they weren’t able to find a carrier that
came in for less than IMLRMA’s premium.
A self-insurance program was also explored, but the City did not have the
money to fund a $1.4 million claims pool.
There were insurance companies that refused to give the City an insurance
bid because of the high rate of worker’s compensation claims.
Council Member Wood commented that he believes the City should review
this premium in 2013 as well. He
also questioned if the City would have as much success with a self-insured
worker’s compensation program as we have experienced with the City’s health
insurance. City Manager Ron Neibert
noted that the City makes the decision as to the level of insurance and who is
covered under the self-insured group health insurance plan, but would not have
that authority with the worker’s compensation plan.
Mr. Closson reiterated that the loss prevention plan, the park inspections, and
sidewalk inspections are proactive things for the City to continue.
Sidewalks are expensive, but there are a lot of slips and falls in
municipalities in high traffic areas such as City Hall, business districts,
churches, and daycare areas. He
stated he would rather see attention to sidewalks and isolating people away from
roadways.
Council Member Wood inquired as to the liability for the City — having sidewalks
or not having sidewalks. Mr.
Closson will refer the question to the IML’s legal department.
WINNING STRATEGIES IN ECONOMIC DEVELOPMENT MARKET
JCDC EXECUTIVE DIRECTOR MARY ELLEN BECHTEL
JCDC Executive Director Mary Ellen Bechtel appeared to share a survey conducted
by DCI, economic development marketing and consulting company that questioned
322 respondents (CEOs, Presidents, CFOs, and Vice Presidents).
The survey will be emailed to each Council Member.
Leading Sources of Information Influencing Executive Perceptions:
1.
Dialogue with industry peers
50%
2.
Articles in newspapers and magazines
46%
3.
Rankings/surveys
36%
4.
Meetings with economic development groups.
28%
Top Information Print Sources:
1.
The Wall Street Journal
82%
2.
Daily Local Newspapers
39%
3.
The New York Times
28%
4.
Industry/Trade Magazines
19%
Most Effective Marketing Techniques:
1.
Planned Visits to Corporate Executives
57%
2.
Internet/Website
55%
3.
Hosting Special Events
35%
4.
Trade Shows
35%
At What Stage in a Site Location Search Would You First Contact Economic
Development Organizations:
1.
During initial screening of all possible locations
24%
2.
After we have a shortlist
40%
3.
After the field has been narrowed to a few finalists
13%
4.
After a location has already been selected
6%
5.
We would not contact an economic development
organization
17%
Likelihood of Visiting ED Group’s Website During Next Site Search:
32%
(JCDC website not the City of Mt. Vernon’s website)
Most Useful Features of an ED Website:
1.
Incentives Information
68%
2.
Workforce statistics
59%
3.
Demographic Information
50%
4.
Available buildings/sites database
49%
5.
Competitor locations comparisons
47%
6.
Leading local employers list
36%
7.
Target industry information
30%
Social Media Channels Used for Business:
1.
LinkedIn
58%
2.
Facebook
21%
3.
Blog Forums 11%
4.
Twitter
11%
5.
YouTube
10%
6.
None
48%
Council Member Piper commented that the City’s website is an “ok” website, but
he feels it needs improvement. Ms.
Bechtel noted that the City, JCDC, Chamber of Commerce, and DMDC are all very
well linked including SouthernIllinois.com which is a Google search for what’s
in Southern Illinois.
Mayor Chesley stated at the Illinois Municipal League meetings there was a
comment that the information on the City’s website is effective and informative.
Council Member Wood inquired if this study includes a list of the most important
things that a community has to offer, i.e. labor, resources.
Ms. Bechtel advised that was not the focus of this particular study.
DEER DISCUSSION
City Manager Neibert disseminated a newspaper article featuring how Town and
Country, Missouri is dealing with
the increase in deer population.
Mayor Chesley and City Manager Neibert have received complaints from citizens
regarding the traffic safety concerns and the damage to landscaping.
Town and Country, Missouri leaders hired a Connecticut firm, White
Buffalo, for a two-pronged project that called for some deer to be shot and
others to be trapped and sterilized.
Sharpshooters killed 110 deer in the program and 100 were sterilized.
The project cost $150,000.00.
City Manager Neibert noted that some communities tried to capture and
relocate deer, but the high-strung animals become so stressed that they die a
slow and painful death.
City Manager Neibert spoke to a representative from the Department of Natural
Resources for Southern Illinois about the City’s options.
1) Hire a private company to hunt and sterilize the deer.
2) Pass a City ordinance to allow bow hunting of the deer in designated
areas of the city.
Mayor Chesley inquired about deer hunting permits.
City Manager Neibert noted that a deer tag costs $25 which entitles the
hunter to kill two deer. The City
can organize a controlled hunt within City limits with designated areas and
times during the day. Safety is the
most important factor. Mayor
Chesley commented on requiring bow hunting from tree stands only.
Permission will be required from property owners within the designated
hunting areas. The City’s liability
is a very big concern. Soliciting
information from hunting enthusiasts in the community will be useful.
Perhaps some of the deer meat can be
donated to the area food pantries and homeless shelter.
City Manager Neibert will collect information and report back to the
Council on a proposed plan.
EXECUTIVE SESSION
At 4:45 p.m. Council Member Piper made a motion for Council to go into Executive
Session to discuss collective bargaining, personnel and litigation. Second by
Council Member Wood. Yeas: Lash, Piper, Wood and Chesley.
Absent: Council Member McEnaney.
ADJOURNMENT
At 5:20 p.m. motion for adjournment was made by Council Member Wood.
Second by Council Member Piper.
Yeas: Piper, Wood and
Chesley. Absent:
Council Member McEnaney and Council Member Lash.
Council Member Lash left the Executive Session at 5:00 p.m.
Respectfully submitted,
Jerilee Hopkins
City Clerk