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\ / ' _ •' - City Council Focuses On Sewer Tapping Fees An interesting and lengthy discussion on sewer tapping fees in Lakeland Park occupied most of the City Council meeting Monday night. William North of W.R. North and Associates, auditor for the city, was asked by Mayor Donald Doherty and City Clerk Earl R. Walsh to make a presentation to the Council on the questions, "Should the sewer tapping fee be waived when the home owner installed the sewer"? and "Is it fair to charge the home owner to connect his own sewer?" To the question whether it is a cost or an expense, North ex­ plained that municipal accounting, commercial accounting and even tax accounting consider an improvement provided by a special assessment and tapping fees to be a Capital Ex­ penditure; that is, an expenditure which is reflected in an in­ creased value or selling price of the property improved. North stressed that the present property-owner-patrons of the sewer and water system (about 1,800) have in one way or another, paid or are paying for sewers. A lot in town with sewer available does command a higher price than would be the case for the same lot farther out without sewer service. Therefore, the assessment and tapping fee become an expenditure from which the owner -will continue to benefit over a long period of time and one which he will recoup when he sells his property. Why a tapping fee? North pointed out that the fee is not to connect one piece of pipe to another. It is participation in providing the collection facilities and the disposal plant that serves all such pieces of pipe. The operation of these facilities is provided by the assessing of a quarterly service charge paid by all users alike. The major improvement and expansion of the system is provided from operation of the plant by way of Revenue bonds and from General Taxes by way of General Obligation bonds, again paid by all users alike. In this connection, North felt it should be mentioned that a question had been raised about two prior special assessments in which the affected property owners paid no tapping fees. He emphasized that based on prior and subsequent premises, those were errors and errors, of course, should not be perpetuated. Further, these were errors of omission, that is, the failure to recite in the ordinance distinct differences applying to those properties. The difference, not supported by any written rationale, is that those properties had been incorporated into the City of McHenry some 15 to 20 years previous to the special assessments and had been participating in the provision of the water and sewer systems by way of General taxes retiring water and sewer General Obligation bonds without having the facilities available to them. Regarding revenues, the City of McHenry is required by the provisions of its bond indenture, as well as by sound fiscal practice, to maintain rates sufficient to provide for operation, maintenance, debt service and depreciation--the latter to provide for replacement as the plant is worn out. North presented a summary of audit reports on the Sewer and Water department for the past five years. In almost every year, there was a gain in water revenues and a loss in sewer revenues. North stated that some factors immediately apparent from the five-year reports are that sewer income should be higher in relation to water income and that there would be no sewer income with tapping fees. He said the latter factor is of greater immediate importance since it might serve as a lever to force an immediate increase in sewer rates. How much should the tapping fee be? North explained that the net investment of the water and sewer plant (including grants) is approximately $1,129,000. At the present time the number of services at the sewer plant is 1,800 which represents 75 percent of the usage. There will be an addition of about 600 from the Lakeland Park special assessment area which will utilize the remaining 25 percent of usage. f Therefore, North pointed out that the investment of the present users is approximately $1,200,000 and the additional users will immediately utilize 25 percent of plant usage or $300,000 in in­ vestment. Since there are to be some 600 connections, each property owner will receive the benefit of some $500 in water and sewer investment for the sewer tapping fee of $250. Thus North felt the city was charging at a reasonable ratio. "As far as we can see," North concluded, "you will have to charge a tapping fee or you are going to have to substantially increase your sewer rates." Following North's presentation, Council members questioned him and debated among themselves at length, sometimes heatedly. Some wanted the tapping fee eliminated, reduced or adjusted. Alderman Jerry Rogers emphasized that since 1967 the people in the Lakeland Park special assessment area had been paying on Government Obligation bonds for sewer and water which they did not have available to them. He felt the tapping fee should be eliminated entirely for those people. "The next thing they will be asked to pay for is water facilities," Rogers declared. "They deserve some con­ sideration. They are not second-rate citizens and should not have to subsidize developers and not get a fair shake," he concluded Alderman Joseph Stanek informed the Council that he felt hook-up fees were unfair. He did not see how the Council could justify having a $250 hook-up fee for one living unit such as a home, and then charge $50 for an apartment building hook-up where many more users are involved. He feels that this city ordinance is using homes to subsidize apartment buildings. "Either homes are too high or apartments are too low," he stated. Alderman George Harker said that homes in the special assessment area will appreciably rise in value because of the availability of sewers. This has a direct bearing on the pocketbook of the owner and Harker doesn't think the $250 is excessive He feels it is an equitable charge for the people in that area Councilman William Bolger mentioned that a previous alderman, Art Jackson, had tried to get laundromat fees corrected. Stanek had tried repeatedly to get apartment fees corrected. "I, myself, have never felt that the laundromat fees were enough," Bolger commented. Bolger felt that now that all the facts had been put before the Council, "we should use them", he stated. He urged the Council to discuss the situation and see if maybe there is a more equitable way to handle the situation and determine if the or­ dinance needs changing." Mayor Doherty said he would appoint a committee consisting of members of the Finance and Sewer and Water committees along with the city engineer, to work on the problem. The committee was urged to give special attention to the category of villas and townhouses, which have never come up in city con­ struction before but are being planned in a future development. 15 v I N c THE MCHENRY PLAINDEALER SERVING THE CHAIN-O-LAKES REGION SINCE 1875 Sufi 15 VOLUME 97 NUMBER 56 FRIDAY, FEBRUARY 9, 1973 20 PAGES FIFTEEN CENTS Parking Lot Purchase Unresolved At Meeting Village Water Hearing Set Howard Bieritz, president of the village of McHenry Shores, has received notice of a hearing in the case of the En­ vironmental Protection agency of the state of Illinois, naming the McHenry Shores Water company and John H. Fuhler as respondents. The complaint is scheduled to be heard at 9:15 Monday morning, Feb. 12, in McHenry city hall before the Illinois Pollution Control board. The state agency claims that the company has distributed water which has contained an obnoxious odor, and unpleasant taste and which has stained clothes washed in it. Another complaint is that continuing at least since Sept. 14, of 1370, the iron content of the water has exceeded 0.3 mg- 1, and the company has failed to provide adequate treatment for the iron content of the ground water at its water supply. The respondent, according to the charge, also has failed to provide adequate water storage facilities. Since it is not of the capacity of 35 gallons per person, it violates, according to the complaint, rules of the Public Water Supply Systems Rules and Regulations. The company has failed to maintain a fluoride iron con­ centration of 0.9 mg-1 in all water discharged to its distribution system, according to an itemized listing. Fuhler was named as president and sole owner of the McHenry Shores Water company. The complaint charges that although aware of the existence of at least some of these violations, he has in­ creased the number of homes it served. The order for a hearing, signed by Attorney General William J. Scott, asks that the state board assess against the respondents a penalty of up to $10,000 for each violation, plus up to $1,000 for every day each such violation continued. Republicans Nominate SHOOTING Slate Within Township Honor Young Eagle Scout j A proud and happy John C. Cunat, 18, left, receives congratulations from Jerry Landorf, assistant district executive, moments after the young McHenry Scout received his Eagle award. As guest speaker at the Sunday National Court of Honor, Landorf discussed the scouting movement. (STAFF PHOTO-WAYNE GAYLORD) Highlight of the National Court of Honor held at the Legion home Sunday was the presentation of Eagle Scout awards to John C. Cunat and Greg Schmitt. Jim Kirk presided over the Troop 162 event. Kirk introduced Jerry Landorf, assistant district executive, who discussed the scouting movement. He noted that of the 60 million boys who have been Scouts, only 175,00® (Continued on page 18) From the number of inquiries received this past week, the public is little informed about political party caucuses and how they operate. This is caucus time of year, preceding township elections in April. Monday evpning, the ErpvK,i"on pnrty held a ?losed caucus a i East campus to select nominees. On the other hand, the Democrats hav chosen not to caucus. The word "closed" used by the Republicans, and the choice not to caucus by the Democrats have prompted interested persons to ask, "Can this be done?" The law on the nomination process has been established on the basis of size or location of the township. Locally, the town board of auditors must call a caucus of each political party to be held on the first Tuesday in February preceding the election. . The choice of procedure after that is left to the individual party. The precinct committeemen of the township comprise the township central committee and it is they who set up and determine the voting method and appointment of the judges of the caucus. (Continued on page 18) Carnegie Preview Set For Tuesday Evening Thirty-five persons, all members of the Republican party, gathered in the East campus high school auditorium Tuesday night at a caucus to determine GOP township candidates for the spring election. Township GOP Committee Chairman John Licastro acted as presiding officer and asked for nominations from the floor. Albert Adams, the only nominee for town clerk, will be seeking his second term. The names of four persons who will run for auditors also were unanimously approved by the committeemen present. They were Phil Mangold of Whispering Hills, Howard Snyder of Whispering Oaks, Thomas Birmingham of Eastwood Manor and Ronalda Margason of Wonder Lake. Under the new state Con­ stitution, four auditors will be elected. Three present office holders, James Wegener, Harold Freund and James Puhl, did not seek support of their party to run for reelec­ tion. There were no nominations for the office of Assessor. As the Plaindealer went to press, it was learned that a 1 p.m. shooting at the H.J. Wulf residence, 2709 W. Pueblo drive, Oakhurst subdivision, has resulted in critical injuries to an unidentified person. Neither McHenry hospital, nor the Sheriff's department would release anv information. Acquisition of parking lot property and sewer and water projects were among topics discussed at Monday night's City Council meeting. City Attorney John Looze reported on the results of a meeting held last Saturday with property owner, Ralph Edgar, concerning purchase of land for a city parking lot in the ^ Green street area. At thai meeting, Edgar was asked to present a proposal to the Council for approximately one- third of his property which is located behind Gladstone's and the Savings and Loan buildings, between Green and Elm streets. The city is interested in obtaining one-third of that property situated behind Gladstone's store. Edgar informed Looze that before he hired architects, engineers, etc., to determine if the remaining two-thirds of the property was sufficient for his plans, he would like a firm commitment from the city that it will purchase that one-third portion of property for 40 percent of the total cost of the land which was $177,118.06. This would mean a cost to the city of about $70,000. Many Council members were not satisfied with this figure. Some felt the percentage figure was too high while others thought an appraisal of the property should be made. Also, the problem of ingress and egress roads was not specified. Many felt the matter should be presented to Green street merchants as well as hospital and clinic administrators to determine what they would be wlTlingftt} contribute tammMfcc' cost. Looze added that possibly revenue sharing funds might be available for such a project. However, City Clerk Earl Walsh said that he had asked at i previous meeting about revenue sharing funds and was informed that if parking meters were installed to help retire the bonds, the expense was not justified. Mayor Don Doherty selected Ted Pitzen, William Bolger, Jerry Rogers and Ray Smith to work on parking lot negotiations. Rogers was ap­ pointed chairman. Doherty informed the committee they would have to "take the bull by the horns" and work out these problems as soon as possible. Alderman Bolger addressed the Council and said he thought it was expecting too much of (Continued on page 18) It was announced Wednesday by John Perhach, represen­ tative of the Dale Carnegie course now being offered in McHenry, that the class will begin with a special preview meeting to be held Tuesday, Feb. 13, at 7:29 p.m. at the V.F.W. clubhouse on Rt. 120. The public is invited. "The purpose of the meeting is to give the people of this community an opportunity to see for themselves just how the Dale Carnegie course, through its unique teaching methods, is able to accomplish so much in a short period of time", Perhach said. He stated that those who attend the preview meeting will be taught a basic memory lesson that will probably amaze them at the memory power they actually possess. Perhach said that everyone attending "will have a very informative and enjoyable evening with no cost or obligation whatsoever". As a public service to the community, the Dale Carnegie course is being offered under the sponsorship of the Plain- dealer. For further information about the preview meeting or the course, write or call the Plaindealer at 385-0170. Truck Driver Is Blamed For 3-Car Crash A three-vehicle chain reaction accident at the in­ tersection of Route 120 and Front Royal drive Tuesday morning resulted in a ticket being issued to Kyle V. Stokes of 370 Oriole trail, Crystal Lake, for failure to reduce speed to avoid an accident. Stokes was driving an In­ ternational truck west-bound on the highway and was unable to stop in time to avoid hitting a truck in front of him which was stopped in a line of traffic. The other truck driven by Thomas Mars of Mount Prospect, was struck in the rear and pushed into the auto in front of him driven by.Adams Becker of 7509 Birch drive, Wonder Lake. Becker and his passenger, Anna Becker of the same ad­ dress, were slightly injured, as was Mars. When a car driven by Carles A. Kentala of 3312 N. Clifton, Chicago, left a parking lot at 4512 W. Route 120 last Friday about noon, he pulled out in front of a east-bound car driven by Dennis L. Hamil of 906 Center street, McHenry. Hamil swerved his vehicle to avoid a collision, lost control and hit the west-bound auto of Joy A. Sch- wabauer, 5308 N. Lake, McHenry. Kentala said he didn't see Hamil's car approaching when (Continued on page 18) MCC In President's Rap Session McHenry County college students were given a special opportunity last week to "rap" with the college president, James R. Davis. Students were asked to bring their questions about the college to an informal session held in the student lounge. The event was held Jan. 30 at the college, and while a small number of students actually participated, the range of questions was broad. "Several students were concerned about the fairness of the bookstore policies and though the problem was not solved just by talking, they did make me aware of the problems that they face," said Davis. "There was one tongue-in- cheek comment about the possibility of hiring go-go dancers to liven up the student lounges," he added. Other topics which were discussed were the college grading policy, veterans' benefits, and the school newspaper. According to Dr. Davis, there will be similar sessions held regularly to help keep in touch with students. Judge Carroll On HIS Night Citizens from throughout McHenry county and nearby communities--from many walks of life in addition to those closely associated with the llegal profession and the McHenry County Bar association members honor Judge William M. Carroll with a resolution presented to him at the testimonial dinner for the retiring jurist last weekend. With Judge Carroll are Jim Hecht, center, and Michael Caldwell, president of the Bar association, who presented the resolution. Hecht unveiled a por­ trait, a gift from the Bar association. County Board Chairman Walter Dean read a resolution saluting Judge Carroll and an­ nouncing establishment of a portrait gallery honoring all Circuit judges from McHenrv county. (DON PEASLEY PHOTO) courts--united to honor Judge William M. Carroll at a testimonial dinner Saturday night in Crystal Lake. Judge Carroll has retired after more than fifty years in public service--the last twenty- seven years as a judge in the courts of this county as well as several years on the Appellate court bench. (Continued on page 18)