Village of Northbrook Board of Trustees Committee of the Whole met April 28.
Here is the minutes provided by the committee:
1. ROLL CALL
| Attendee Name | Title | Status | Arrived |
| Sandra Frum | Village President | Present | |
| Kathryn Ciesla | Trustee | Late | 6:20 PM |
| Bob Israel | Trustee | Present | |
| Muriel Collison | Trustee | Present | |
| Heather Ross | Trustee | Present | |
| Johannah Hebl | Trustee | Present | |
| Dan Pepoon | Trustee | Late | 6:15 PM |
Village Attorney Steve Elrod presented information regarding the March 16, 2020 order by Governor Pritzker regarding modifying the Open Meetings Act. He stated there was nothing to stop the Board from conducting a virtual meeting.
3. MINUTES APPROVAL
A. Board of Trustees - Committee of the Whole - Apr 14, 2020 12:00 PM
RESULT: ACCEPTED [UNANIMOUS]
MOVER: Muriel Collison, Trustee
SECONDER: Bob Israel, Trustee
AYES: Ciesla, Israel, Collison, Ross, Hebl
ABSENT: Pepoon
4. PUBLIC COMMENT TIME
A resident sent an email stating she was grateful for the work the Board has been doing during the COVID-19 crisis and hopes that the budget cuts in the green areas can be kept to a minimum.
5. DISCUSSION TOPICS
A. Continued Discussion - FY 20/21 Budget
Deputy Village Manager/CFO Jeff Rowitz stated that the Budget was last discussed at the April 14, 2020 COW (Committee of the Whole) Meeting to deal with lower revenues this year. The Board gave direction to:
a) leave the new IT position in the budget
b) include $100,000 contribution for mental health and domestic violence
c) include $250,000 for a resident assistance and business assistance program
d) leave $20,000 in the budget for yet to be determined events during the year
Bonded capital projects will be reprioritized for next year and the year after. The recommendation is to defer the planned work on the Police and Village Hall parking lots and work at the Civic Building. In its place two years of side walk program will be accelerated. The balance of $400,000 will be applied to yet to be determined building security enhancements at the Village Hall and Public Works.
At the last meeting, the Board decided to delay the planned water and sewer rate increases and discuss them at a Committee of the Whole meeting this summer. The revised draft budget defers these planned increases until October 1. The draft budget also included an increase to the commuter parking fees on May 1. Staff is seeking direction on whether this increase should be implemented or deferred to a later date. President Frum solicited the Trustees opinions.
Trustee Israel is in favor of postponing the increase for parking.
Trustee Collison does not want to increase anything at this time.
Trustee Ross is not in favor of increasing parking fees at the present time. Trustee Ross is
interested in revisiting the tree planting issue to discuss creative ways to expand for more trees. President Frum asked Deputy Village Manager/CFO Rowitz to prepare a list of things to discuss in August.
Trustee Hebl is not in favor or increasing the parking fees right now. She wants to discuss the two vans that are parked in the lot every day. Trustee Hebl is in favor of discussing more trees in August and favors a tree dedication program.
Trustee Pepoon is not in favor of raising parking fees. He would like to revisit the tree program and Earth Day.
President Frum stated that consensus is to defer the parking rate increase to a later date.
Business Recovery Program Options
President Frum asked Director Poupard to look at grant/loans for businesses. President Frum asked for direction from the Trustees; a) if they wanted a program; b) whom should the program address. President Frum would like staff to come back at the May 12, 2020 meeting with information on what the program will be. The Chamber has sent out a survey to members to see how they have been impacted by the pandemic. The responses are expected next week. The Chamber will also reach out to businesses in the community that are not members. President Frum stated that the Village does not have information on how the industrial area has been affected.
Trustee Hebl asked if the Village can be as permissive as possible with businesses operating as “essential businesses”. Attorney Elrod answered that the Village Manager has discretion on a case by case basis on enforcement. President Frum asked if anyone under a special permit restriction has called and asked for the restrictions to be lifted. Director Poupard said we have no such requests.
Trustee Israel stated that the Board might want to look at sidewalk space seating. President Frum stated that the Village does not require business licenses for 90% of businesses. She questions if a minimum amount business license be mandated for the future.
Director Poupard presented information on approaches taken by other communities to aid the business community during the pandemic that was included in the packet. He stated that there are a lot of policy decision to be made about who would qualify and if the program should be a grant, a loan or a rebate. Director Poupard referred to 2012 data on the number of business establishments showing that Professional Services rank first, and Retail is second. The average number of employees per a typical Northbrook business is 17. He stated we are a community of small businesses. He noted that he also reviewed business license data. The biggest categories of business licenses are 1) Retailers; 2) Carry-Out Restaurants; 3) Other Retail; 4) Large Sit down Restaurants; 5) Second Hand Sales. Luckily, the Northbrook Unemployment rate for March 2020 remains low with unemployment currently at 2.7%. He noted that most communities are being lenient with postponing or waiving fees and various license expenses.
Elk Grove Village gave a large water bill credit to all of the residents and waived most business fees. Lake Forest gave a partial sales tax rebate. Businesses will not recoup the money until the future. Oswego took the low interest loan approach, $5,000-$10,000. Wilmette is giving back a credit for small retail and a service business grant. Cook County has a low interest loan program. National programs were either grants or loans.
Director Poupard stated that if the goal is to get money back to the businesses quickly, a grant program is recommended. Businesses would have to meet the requirements and demonstrate hardship of lost revenue. Director Poupard stated a small business can be defined by; a) number of employees; b) minimum sales; c) maximum sales; d) corporate owned; e) small franchise operators included; f) small chains. Director Poupard asked if the $250,000 amount included in the draft Budget is a good number. The Board needs to consider how many businesses it wants to help and how much assistance should be given. The higher the grant amount, the more effective it will be; however, it also means fewer businesses will be able to receive it. For instance, if grant money is capped at $2,500 per individual business, it will go to 100 businesses.
Trustee Israel is interested in hearing more about grants. He is inclined to set aside $250,000 to help retail and service industry. He wants to help the small businesses.
Attorney Elrod stated that working with loans can be “sticky”.
Trustee Ross asked that if grants were given out, could it affect other loans and grants that a business might get from the State. President Frum answered that all the documents are open to a FOIA request.
Trustee Ciesla is concerned about the Village’s costs for executing any program. She is interested in the best use of the funds and getting the most bang for the buck. It should also not be a costly burden to administer.
Trustee Collison is concerned about personal service businesses. She likes Wilmette’s program and the Oswego program that tries to help businesses start back up. She is in favor of grants. Trustee Ross is in support of helping businesses but is concerned about what businesses we help first. She questioned the use of diversity. She asked if the funds should be used for constituents. Trustee Hebl is in favor of a grant program that would help businesses reopen. Her vision is that the program would allow for the purchase of cleaning supplies, masks, etc. Trustee Pepoon is in favor of a $250,000 grant program. He wants home businesses to demonstrate a hardship, along with retail and professional services. He believes franchises that demonstrate a hardship need to be looked at. He is in favor of helping reopen businesses safely.
President Frum summarized that businesses must demonstrate some sort of hardship, whether they have received funds from other sources. She wants information on grants and loans; what is legal and what the Village can do. She asks if $250,000 is the correct amount. She is not interested that the money should cover home businesses but a combination of sales tax providers and professional services. She wants the money for businesses that were shut down because of the Executive Order. Information should include the minimum number of employees. In addition to helping businesses reopen, she would include that the money could be used towards rent relief. If the operation is a franchise, she wants no more than four locations. She questions if it is first come, first serve.
Trustee Ciesla and Trustee Israel want to know the soft costs.
Trustee Collison would like to see a business plan if the focus is to reopen an establishment. Trustee Ross wants to include residents that are having a hard time.
Trustee Hebl wants an application period of time. She does not like first come, first serve. Trustee Pepoon states that there needs to be a filing deadline.
Director Poupard stated he had enough information for direction. He will highlight the
preferences for the May 12, 2020 meeting. Deputy CFO Rowitz stated that the soft cost of administering the program wouldn’t be known until the program is put together.
President Frum stated the consensus of the Board is to move forward with the public hearing on the budget during the RBM with the budget as presented with $100,000 for the additional charitable contributions and the additional $250,000 in the budget for the business relief program. Trees will be reviewed in August with the 50/50 program. At that time discussion can take place if the number of trees should be increased.
REMARKS FOR THE GOOD OF THE ORDER ADJOURN
Trustee Israel moved, seconded by Trustee Collison to adjourn the meeting at 7:25pm. On voice vote, all were in favor.
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