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2015-09-24 - Village Board Committee of the Whole - Agenda Packet2. Special Business 1. Strategic Planning Discussion (Beverly Sussman) 2. Branding and Marketing Discussion (David Weidenfeld) 3. Infrastructure Financing (Andrew Stein) 4. Storm Water Utility Fee Update (Andrew Stein) 5. Development Ordinance Update Discussion (Andrew Stein) 6. 2016 Wage Pool for Non -Represented Employees (Beverly Sussman) 7. 2014 Audit Management Letter (Joanne Johnson) 3. Questions From the Audience Questions from the audience are limited to items that are not on the regular agenda. In accordance with Section 2.02.070 of the Municipal Code, discussion on questions from the audience will be limited to 10 minutes and should be limited to concerns or comments regarding issues that are relevant to Village business. All members of the public addressing the Village Board shall maintain proper decorum and refrain from making disrespectful remarks or comments relating to individuals. Speakers shall use every attempt to not be repetitive of points that have been made by others. The Village Board may refer any matter of public comment to the Village Manager, Village staff or an appropriate agency for review. 4. Executive Session 5. Adjournment The Village Board will make every effort to accommodate all items on the agenda by 10:30 p.m. The Board, does, however, reserve the right to defer consideration of matters to another meeting should the discussion run past 10:30 p.m. 6. Information Items The Village of Buffalo Grove, in compliance with the Americans with Disabilities Act, requests that persons with disabilities, who require certain accommodations to allow them to observe and/or participate in this meeting or have questions about the accessibility of the meeting or facilities, contact the ADA Coordinator at 459-2525 to allow the Village to make reasonable accommodations for those persons. 2.1 Information Item : Strategic Planning Discussion ........................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................ Recommendation of Action pp ll Staff recommends discussion. Peter Burchard will be present at the meeting to facilitate discussion on a strategic vision for the Village. Themes from the interviews and Buffalo Grove "by the numbers" will be presented as a starting point for discussion among the Board. Trustee Liaison Village President Sussman Thursday, September 24, 2015 Staff Contact Dane Bragg, Office of the Village Manager Updated: 9/18/2015 1:36 PM Page 1 Packet Pg. 2 2.2 Information Item : Branding and Marketing Discussion ........................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................ Recommendation of Action pp ll Staff recommends discussion. On August 17th, DCC presented logo drafts to the Board at the Committee of the Whole Meeting. The Board provided feedback on the drafts in terms of fonts, color palate, and artistic design. DCC synthesized this feedback and created two new concepts for review. The Steering Committee has seen these new logos and feels they are strong candidates to be considered. DCC will present the new logos at the Committee of the Whole Meeting on September 24th. Trustee Liaison Trustee Weidenfeld Thursday, September 24, 2015 Staff Contact Jenny Maltas, Office of the Village Manager Updated: 9/18/2015 10:57 AM Page 1 Packet Pg. 3 2.3 Action Item : Infrastructure Financing ........................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................ Recommendation of Action pp ll Staff recommends discussion. Discussion and evaluation of future infrastructure needs as measured against available and future funding. ATTACHMENTS: • Infrastructure Evaluation (DOCX) • Infrastructure Costs (XLSX) Trustee Liaison Trustee Stein Thursday, September 24, 2015 Staff Contact Michael Reynolds, Public Works Updated: 9/18/2015 10:32 AM Page 1 Packet Pg. 4 2.3.a j Ill,,,LAGIE OF TO: Dane C. Bragg, Village Manager FROM: Scott D. Anderson, Finance Director DATE: September 16, 2015 RE: Village Infrastructure Evaluation At the August 17`" Committee of the Whole Meeting, Public Works Director Mike Reynolds provided an overview of assessing a storm water management fee. The fee, as proposed, would offset both operating and capital costs as well as build a reserve for future infrastructure improvements. During the meeting Trustee Trilling requested that staff provide an analysis of all Village capital assets and dedicated sources of funding to assess, globally, how much cash the Village would need in reserves to completely address the replacement of capital assets and/or maintenance of infrastructure on a pay-as-you-go basis. For the purposes of this analysis, all capital equipment, facilities, and infrastructure will be refered to collectively as "assets". Ilium°III')i°°es'Ilfuii°usctusuii°e eIkies The present value of all Village assets is $904.3 million. The asset classes are Infrastructure, Fleet, and Buldings. The breakdown of the assets is as follows; On the attached spreadsheet, all asset categories included within the specific classes are listed. The value of assets is based upon the estimated cost of replacement in today's dollars. The values are projected out over twenty years with a three percent annual inflationary increase. Page 1 of 3 Packet Pg. 5 2.3.a tteIlpresiioa°Ilkioii°°m Costs Ideally, the Village would be able to set aside a reserve amount equal to the amount of annual depreciation of an asset so that when an asset reaches the end of its useful life there is enough cash on hand, plus trade-in or salvage valve, to purchase a replacement. This is commonly referred to as "pay-as-you-go" financing. The useful life is listed for each asset category in the spreadsheet. Determining the useful life is rather simple for fleet. Infrastructure and buildings are more complicated. The relative confidence staff has in the useful life number is reflected in the Relacement Percentage category column on the spreadsheet. For example, under Fleet, Police vehciles are expected to be replaced every six years. For the purposes of funding depreciation, the annual amount to be set aside in reserve would be $106,567 based on a total value of assets at $639,400 ($639,400/6 years = $106,567). Because it is very possible that the service life can be stretched out an additional year or two through good maintenance and equipment rotation, staff proposes to use a funding ratio of the expected replacement cost of 75 percent. This is similar to the methodology used to advance fund water system asset replacement. Conversely, storm sewers have a useful life of 80 years. With a value of $250.1 million, the annual depreciation is $3.13 million. Sections of storm sewers, if ensconced in stable soil, could easily surpass 80 years. Given the probability that most of the system could last well beyond 80 years, staff recommends using a funding ratio of 25 percent of the annual depreciation ($781,494). Road depreciation is not proposed to be adjusted. It is expected that after twenty years, a road will need to be rebuilt. Using the unadjusted annual depreciation amount and assuming every asset would need to be replaced at the end of its projected useful life, approximately $19 million would need to be set aside in reserve each year to ensure that all Village assets could be paid for with cash on hand. After adjusting for a more reasonable scenario whereby all assets do not need to be replaced at the end of estimated useful life, the annual depreciation amount drops to $9.9 million. The follow chart shows the adjusted annual depreciation amounts. Page 2 of 3 Packet Pg. 6 2.3.a In order to continue with a funding philosophy of pay-as-you-go, that gap will need to be addressed with either revenue enhancements and/or service reductions. The following revenue options are available; New User Fee Stormwater Utility Fee ** $ 782,000 Up to 0.25% increase Home Rules Sales Tax $ 848,257 Up to 1.00% increase Food & Beverage Tax $ 780,740 $25 per vehicle Village Vehicle Stickers $ 700,000 $.03 per gallon Local Motor Fuel Gas Tax $ 300,000 Up to 5.00% increase Property Tax $ 407,393 Implement at 5.00% , Entertainment Tax $ ,,, 150,000 $8,500 per License (4) Video Gaming License $ 34,000 Up to $50 increase Reinspection Fees $ 5,000 Total: $ 4,007,390 ** Includes only asset costs ,,, The ability to fund future capital and infrastructure improvements will continue to be a perennial discussion point with the Village Board, not unlike any other communities. This analysis serves only to highlight the asset needs of the Village over the next twenty years and the costs associated with the improvements. Much like the Water & Sewer Fund pro -forma and five year operating projections, staff anticipates this analysis to become more refined with experience. Staff will continue to look for opportunites to share the costs of improvements by diversifying revenue with those who derive a benefit from the improvements. Page 3 of 3 Packet Pg. 7 2.3.b Item Infrastructure: Watermain (Includes PumpStations) Water Meters Sanitary Sewer (Includes Lift Stations) Storm Sewer (Includes Lift Stations, ditches, streams and basins) Roads Traffic Signals (Intersections) Street Lights Asphalt Bike Paths Concrete Sidewalks Bridges Trees Pedestrian Rt. 83 Bike Path Roadway Sub -Total Infrastructure: Fleet: Police Fire EMA Engi neeri ng Building Maintenance Street Forestry & Grounds Water Sewer Central Garage Drainage B&Z Admin Sub -Total Fleet: Buildings: Police Fire HQ Fire Sta. 25 Fire Sta. 27 PW Salt Dome Village Hall Youth Center Golf - BG Irrigation (Includes Pump House) Re -Construction Bridges Halfway House Maintenance Golf - Arbo. Irrigation (Includes Pump House) P-r-tri-ti- Asset Value (Current $$) $ 237,600,000 $ 6,050,000 $ 172,920,000 $ 250,078,002 $ 95,040,000 $ 600,000 $ 20,519,604 $ 1,110,774 $ 25,802,503 $ 600,000 $ 1,000,000 $ 1,700,000 $ 5,250,000 $ 818,270,883 639,400 5,223,500 330,000 155,737 334,005 2,024,072 1,222,139 1,036,942 1,183,254 288,088 452,985 113,605 14,300 $ 13,018,027 Annual Useful Life Replacement Replacer (Years) Cost Based 62 $ 3,832,258 25% 20 $ 302,500 50% 75 $ 2,305,600 50% 80 $ 3,125,975 25% 20 $ 4,752,000 1005 20 $ 30,000 25% 40 $ 512,990 25% 40 $ 27,769 50% 80 $ 322,531 1005 50 $ 12,000 25% 50 $ 20,000 25% 100 $ 17,000 25% 75 $ 70,000 1005 Fs-1 5,330,624 6 $ 106,567 75% 15 $ 348,233 75% 10 $ 33,000 75% 10 $ 15,574 75% 10 $ 33,401 75% 10 $ 202,407 75% 10 $ 122,214 75% 10 $ 103,694 75 10 $ 118,325 75% 10 $ 28,809 75 12 $ 37,749 75% 8 $ 14,201 75 6 $ 2,383 75 $ 1,166,556 30 $ 397,345 25% 30 $ 284,403 25% 30 $ 148,598 25% 30 $ 182,313 25% 30 $ 650,000 25% 30 $ 9,867 25% 30 $ 128,240 25% 30 $ 14,450 25% 30 $ 93,467 25% 20 $ 37,500 25% 20 $ 50,000 25% 50 $ 12,000 25% 30 $ 1,867 25% 30 $ 28,750 25% 30 $ 252,900 25% 20 $ 37,500 25% In < En nnn 1)s0i il Packet Pg. 8 2.3.b RC-I.Vf I b lI UULI V 11 I? l,VVV,VVV I Bridges Maintenance Sub -Total Buildings: Total All Assets: Parcels $ 400,000 $ 2,700,000 $ 72,965,970 $ 904,254,880 11,024 LV a .7V,VVV LJ70 50 $ 8,000 25% 30 $ 90,000 25% $ 2,477,199 $ 18,974,379 Packet Pg. 9 2.3.b Annual 'nent Replacement Cost Based 2016 2017 2018 2019 2020 958,065 958,065 986,806 1,016,411 1,046,903 1,078,310 151,250 151,250 155,788 160,461 165,275 170,233 1,152,800 1,152,800 1,187,384 1,223,006 1,259,696 1,297,487 781,494 781,494 804,939 829,087 853,959 879,578 4,752,000 4,752,000 4,894,560 5,041,397 5,192,639 5,348,418 7,500 7,500 7,725 7,957 8,195 8,441 128,248 128,248 132,095 136,058 140,140 144,344 13,885 13,885 14,301 14,730 15,172 15,627 YO 322,531 322,531 332,207 342,173 352,439 363,012 3,000 3,000 3,090 3,183 3,278 3,377 5,000 5,000 5,150 5,305 5,464 5,628 4,250 4,250 4,378 4,509 4,644 4,783 YO 70,000 70,000 72,100 74,263 76,491 78,786 $ 8,350,022 $ 8,350,022 $ 8,600,522 $ 8,858,538 $ 9,124,294 $ 9,398,023 $ 79,925 79,925 82,323 84,792 87,336 89,956 261,175 261,175 269,010 277,081 285,393 293,955 24,750 24,750 25,493 26,257 27,045 27,856 11,680 11,680 12,031 12,392 12,763 13,146 25,050 25,050 25,802 26,576 27,373 28,194 151,805 151,805 156,360 161,050 165,882 170,858 91,660 91,660 94,410 97,243 100,160 103,165 77,771 77,771 80,104 82,507 84,982 87,532 88,744 88,744 91,406 94,149 96,973 99,882 21,607 21,607 22,255 22,922 23,610 24,318 28,312 28,312 29,161 30,036 30,937 31,865 10,650 10,650 10,970 11,299 11,638 11,987 1,788 1,788 1,841 1,896 1,953 2,012 $ 874,917 $ 874,917 $ 901,165 $ 928,200 $ 956,046 $ 984,727 $ 99,336 99,336 102,316 105,386 108,547 111,804 71,101 71,101 73,234 75,431 77,694 80,025 37,149 37,149 38,264 39,412 40,594 41,812 45,578 45,578 46,946 48,354 49,805 51,299 162,500 162,500 167,375 172,396 177,568 182,895 2,467 2,467 2,541 2,617 2,695 2,776 32,060 32,060 33,022 34,012 35,033 36,084 3,613 3,613 3,721 3,833 3,947 4,066 23,367 23,367 24,068 24,790 25,533 26,299 9,375 9,375 9,656 9,946 10,244 10,552 12,500 12,500 12,875 13,261 13,659 14,069 3,000 3,000 3,090 3,183 3,278 3,377 467 467 481 495 510 525 7,188 7,188 7,403 7,625 7,854 8,090 63,225 63,225 65,122 67,075 69,088 71,160 9,375 9,375 9,656 9,946 10,244 10,552 11 Snn 11 Snn 1'J 5275 12 Irli '1'ar,SQ ail nr-Q il Packet Pg. 10 2.3.b iL,JVV iL,7VV 1L,0/7 1J,L Ol 1J,OJ7 1'+,V07 2,000 2,000 2,060 2,122 2,185 2,251 22,500 22,500 23,175 23,870 24,586 25,324 $ 619,300 $ 619,300 $ 637,879 $ 657,015 $ 676,726 $ 697,027 $ $ 9,844,239 $ 9,844,239 $ 10,139,566 $ 10,443,753 $10,757,066 $ 11,079,778 $ il Packet Pg. 11 2.3.b Assumes 3% Growth Increase Annually 2021 2022 2023 2024 2025 2026 1,110,659 1,143,979 1,178,299 1,213,647 1,250,057 1,287,559 175,340 180,600 186,018 191,599 197,347 203,267 1,336,411 1,376,503 1,417,799 1,460,333 1,504,143 1,549,267 905,965 933,144 961,139 989,973 1,019,672 1,050,262 5,508,870 5,674,137 5,844,361 6,019,691 6,200,282 6,386,291 8,695 8,955 9,224 9,501 9,786 10,079 148,674 153,134 157,728 162,460 167,334 172,354 16,096 16,579 17,076 17,589 18,116 18,660 373,902 385,119 396,673 408,573 420,830 433,455 3,478 3,582 3,690 3,800 3,914 4,032 5,796 5,970 6,149 6,334 6,524 6,720 4,927 5,075 5,227 5,384 5,545 5,712 81,149 83,584 86,091 88,674 91,334 94,074 9,679,964 $ 9,970,363 $ 10,269,474 $ 10,577,558 $ 10,894,884 $ 11,221,731 $ 1 92,655 95,435 98,298 101,247 104,284 107,413 302,773 311,857 321,212 330,849 340,774 350,997 28,692 29,553 30,439 31,353 32,293 33,262 13,541 13,947 14,365 14,796 15,240 15,697 29,040 29,911 30,809 31,733 32,685 33,666 175,984 181,264 186,701 192,303 198,072 204,014 106,260 109,447 112,731 116,113 119,596 123,184 90,157 92,862 95,648 98,518 101,473 104,517 102,879 105,965 109,144 112,418 115,791 119,265 25,048 25,799 26,573 27,371 28,192 29,037 32,821 33,805 34,820 35,864 36,940 38,048 12,347 12,717 13,099 13,492 13,896 14,313 2,072 2,134 2,198 2,264 2,332 2,402 1,014,269 $ 1,044,697 $ 1,076,038 $ 1,108,319 $ 1,141,569 $ 1,175,816 $ 115,158 118,613 122,171 125,836 129,611 133,500 82,425 84,898 87,445 90,068 92,770 95,554 43,066 44,358 45,689 47,060 48,472 49,926 52,838 54,423 56,056 57,737 59,469 61,253 188,382 194,033 199,855 205,850 212,026 218,386 2,860 2,945 3,034 3,125 3,218 3,315 37,166 38,281 39,430 40,613 41,831 43,086 4,188 4,314 4,443 4,576 4,713 4,855 27,088 27,901 28,738 29,600 30,488 31,403 10,868 11,194 11,530 11,876 12,232 12,599 14,491 14,926 15,373 15,835 16,310 16,799 3,478 3,582 3,690 3,800 3,914 4,032 541 557 574 591 609 627 8,332 8,582 8,840 9,105 9,378 9,659 73,295 75,494 77,759 80,092 82,494 84,969 10,868 11,194 11,530 11,876 12,232 12,599 1 it nQ1 1n Q'7r, 1S Q72 1C QQq ir, Qin 1r, 7Qo il Packet Pg. 12 2.3.b 1'+,'+71 1'+,7 L0 iJ,3/3 i7,OJJ 10,J 1V 10,/77 2,319 2,388 2,460 2,534 2,610 2,688 26,084 26,866 27,672 28,502 29,357 30,238 717,938 $ 739,476 $ 761,661 $ 784,510 $ 808,046 $ 832,287 $ 11,412,171 $ 11,754,536 $ 12,107,172 $ 12,470,387 $ 12,844,499 $ 13,229,834 $ 1 Packet Pg. 13 2.3.b 2027 2028 2029 2030 2031 2032 21 1,326,185 1,365,971 1,406,950 1,449,159 1,492,633 1,537,412 1, 209,365 215,646 222,116 228,779 235,643 242,712 1,595,745 1,643,617 1,692,926 1,743,713 1,796,025 1,849,906 1, 1,081,770 1,114,223 1,147,650 1,182,079 1,217,542 1,254,068 1, 6,577,879 6,775,216 6,978,472 7,187,826 7,403,461 7,625,565 7, 10,382 10,693 11,014 11,344 11,685 12,035 177,525 182,850 188,336 193,986 199,805 205,800 19,220 19,796 20,390 21,002 21,632 22,281 446,459 459,852 473,648 487,858 502,493 517,568 4,153 4,277 4,406 4,538 4,674 4,814 6,921 7,129 7,343 7,563 7,790 8,024 5,883 6,059 6,241 6,429 6,621 6,820 96,896 99,803 102,797 105,881 109,058 112,329 1,558,383 $ 11,905,134 $ 12,262,288 $ 12,630,157 $ 13,009,062 $ 13,399,334 $ 13, 110,635 113,954 117,373 120,894 124,521 128,256 361,527 372,373 383,544 395,051 406,902 419,109 34,260 35,288 36,346 37,437 38,560 39,716 16,168 16,653 17,153 17,667 18,197 18,743 34,676 35,716 36,787 37,891 39,028 40,198 210,134 216,438 222,931 229,619 236,508 243,603 126,879 130,686 134,606 138,645 142,804 147,088 107,653 110,882 114,209 117,635 121,164 124,799 122,843 126,528 130,324 134,233 138,260 142,408 29,909 30,806 31,730 32,682 33,662 34,672 39,190 40,366 41,576 42,824 44,108 45,432 14,743 15,185 15,641 16,110 16,593 17,091 2,474 2,549 2,625 2,704 2,785 2,868 1,211,090 $ 1,247,423 $ 1,284,846 $ 1,323,391 $ 1,363,093 1 $ 1,403,985 $ 1, 137,504 141,630 145,879 150,255 154,763 159,405 98,420 101,373 104,414 107,546 110,773 114,096 51,423 52,966 54,555 56,192 57,878 59,614 63,091 64,984 66,933 68,941 71,010 73,140 224,938 231,686 238,637 245,796 253,170 260,765 3,414 3,517 3,622 3,731 3,843 3,958 44,379 45,710 47,081 48,494 49,948 51,447 5,001 5,151 5,305 5,464 5,628 5,797 32,345 33,315 34,315 35,344 36,405 37,497 12,977 13,367 13,768 14,181 14,606 15,044 17,303 17,822 18,357 18,907 19,475 20,059 4,153 4,277 4,406 4,538 4,674 4,814 646 665 685 706 727 749 9,949 10,248 10,555 10,872 11,198 11,534 87,518 90,144 92,848 95,633 98,502 101,458 12,977 13,367 13,768 14,181 14,606 15,044 17 2f12 1 7 Q7'7 1 Q 2S7 1 Q Q07 1 Q n7q 'J fl 11 CZ il Packet Pg. 14 2.3.b 1/,JVJ 1/,OLL lO,JJ/ 10,7V/ 17,'+/J LV,V77 2,768 2,852 2,937 3,025 3,116 3,209 31,145 32,080 33,042 34,033 35,054 36,106 857,256 $ 882,973 $ 909,463 $ 936,746 $ 964,849 $ 993,794 $ 1, 3,626,729 $ 14,035,531 $ 14,456,597 $ 14,890,294 $ 15,337,003 $ 15,797,113 $ 16, Packet Pg. 15 2.3.b 033 2034 2035 ,583,535 1,631,041 1,679,972 249,993 257,493 265,218 1905,403 1,962,565 2,021,442 1291,690 1,330,441 1,370,354 ,854,332 8,089,962 8,332,661 12,396 12,768 13,151 211,974 218,333 224,883 22,949 23,638 24,347 533,095 549,088 565,561 4,959 5,107 5,261 8,264 8,512 8,768 7,025 7,235 7,452 115,699 119,170 122,745 ,801,314 $ 14,215,353 $ 14,641,814 132,104 136,067 140,149 431,682 444,633 457,972 40,908 42,135 43,399 19,306 19,885 20,481 41,404 42,647 43,926 250,911 258,439 266,192 151,501 156,046 160,727 128,543 132,399 136,371 146,680 151,081 155,613 35,712 36,784 37,887 46,795 48,199 49,644 17,604 18,132 18,676 2,954 3,043 3,134 '446,105 $ 1,489,488 $ 1,534,173 164,188 169,113 174,187 117,519 121,044 124,676 61,402 63,244 65,142 75,334 77,594 79,922 268,588 276,645 284,945 4,077 4,199 4,325 52,990 54,580 56,217 5,971 6,150 6,335 38,622 39,780 40,974 15,495 15,960 16,439 20,661 21,280 21,919 4,959 5,107 5,261 771 794 818 11,880 12,236 12,603 104,501 107,636 110,865 15,495 15,960 16,439 ',)fl r-G1 11 152f1 '71 Q9 q it Packet Pg. 16 2.3.b LV,001 L1,LOV L1,717 3,306 3,405 3,507 37.189 38.305 39.454 ,023,608 $ 1,054,316 $ 1,085,946 ,271,027 $ 16,759,158 $ 17,261,932 Packet Pg. 17 2.4 Information Item : Storm Water Utility Fee Update ........................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................ Recommendation of Action pp ll Staff recommends discussion. Director of Public Works, Mike Reynolds, will provide a recommendation for the Storm Water Utility Fee. ATTACHMENTS: • SWU Recommendation Memo 8-17-15(DOC) Trustee Liaison Trustee Stein Thursday, September 24, 2015 Staff Contact Michael Reynolds, Public Works Updated: 8/13/2015 2:22 PM A Page 1 Packet Pg. 18 2.4.a VILIAGE" OF BUFFALO (''FROVE MEMORANDUM TO: Dane C. Bragg, Village Manager FROM: Mike Reynolds, Director of Public Works DATE: September 18, 2015 RE: Stormwater Utility Fee d d U_ Pursuant to the presentation made in March of 2014 and subsequent discussion at the July 20, 2015 Committee of the Whole meeting, this memo outlines the final details for the implementation of the Stormwater Utility Fee for the Village of Buffalo Grove. Fee Determination: The initial base fee will be determined based upon the total parcel square footage of all parcels that o contain impervious surface such as buildings and parking lots, and the funds required to maintain and C.n update the stormwater system. Vacant lots will not be charged a fee. The property parcel square N footage breakdown is listed below. Ln 213,877,084.99 — Buffalo Grove (All Parcels Incorporated) ti T 182,087,589.08 — with impervious surface 0 The proposed budget for 2016 is $1,265,876. This includes both an operating budget component ($484,000) and a capital budget component ($781,501 (0, 25% of the scheduled replacement value). This results in a base fee of $0.006950 per square foot. 0 Tiered Fee Structure: The fee will be applied to all parcels within the village that have impervious surface using a tiered approach. The tiers will be as follows: Tier 1 - Single Family Residence Attached & Detached Base Fee x Median Lot size (8,771.66 square footage) = Annual Fee Tier 2 - Multi -Family & Commercial / Industrial / Government/Non-Profit Base Fee x Property Square Footage = Annual Fee Impact: The impact of the proposed rate and tier structure on a single family home (attached & detached) is $5.08 per month. The average multi -family cost would be $2.73 a month per unit. Commercial and industrial properties vary significantly by size so an average cost does not give a clear picture of the fee's impact. As an example, the Banner Plumbing parcel's monthly fee would be $272.61 per month and the fee for the Town Center parcel would be $427.37 per month. Ordinance: There are two ordinance modifications related to the implementation of this fee. The first is an addition chapter to title 13 — Water and Sewers. This provides for the creation and administration of -1- Packet Pg. 19 2.4.a the program. The second is an addition chapter to title 3 — Revenue and Finance. This outlines initial base fee value as well as the tiered fee structure. Recommendation: It is recommended that the Village Board provide direction to staff to move forward with the Stormwater Utility Fee as presented in this memo with a January 1, 2016 implementation date. -2- Packet Pg. 20 2.5 Information Item : Development Ordinance Update Discussion ........................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................ Recommendation of Action pp ll Staff recommends discussion. Staff is proposing updates to the Development Ordinance including Stormwater requirements in an effort to improve and update the Village Code. ATTACHMENTS: • development ord review memo 15-0910 (DOCX) • Str water GHA code summary (PDF) • Small Cell Antenna Structure Ordinance Draft 2014 4th draft (PDF) Trustee Liaison Staff Contact Trustee Stein Darren Monico, Public Works Thursday, September 24, 2015 Updated: 9/15/2015 3:22 PM Page 1 Packet Pg. 21 2.5.a VILIAGE OF BUkTALO GROVE TO: DANE C. BRAGG, VILLAGE MANAGER FROM: DARREN MONICO, VILLAGE ENGINEER CHRIS STILLING, COMMUNITY DEVELOPMENT DIRECTOR SUBJECT: DEVELOPMENT ORDINANCE REVIEW AND DISCUSSION DATE: SEPTEMBER 10, 2015 CC: MIKE REYNOLDS, DIRECTOR OF PUBLIC WORKS 11 Introduction As a part of the 2015 strategic plan goals, Staff was tasked with reviewing and updating the Development Ordinance. Since the goal was created, Staff discussed the creation of a unified development ordinance (or UDO) would be preferred so all regulations regarding development are in one streamlined ordinance. Therefore, until a UDO can be developed, Staff is proposing a set of changes to the Development Ordinance to streamline some processes until the UDO project is complete. Stormwater Management In general, the stormwater requirements of the Village of Buffalo Grove are more restrictive than the Lake County Stormwater Management Commission's (SMC) Watershed Development Ordinance (WDO) and the recently adopted Watershed Management Ordinance (WMO) in Cook County by the Metropolitan Water Reclamation District (MWRD). However in some cases the Village code is less restrictive and has been surpassed by the recent county ordinance updates. In either case, the Village code says the more restrictive code applies so staff and property owners are required to follow the more restrictive code. In order to simplify the Code, Staff recommends adopting the Lake County restrictions for Lake County and the Cook County restrictions for Cook County. This will alleviate confusion and simplify the process. The examples below highlight the changes. • The current Village code requires more stormwater storage for proposed developments in Lake County and less storage in Cook County as both requirements are based on release rates. While more storage provides a benefit to the community the more storage required translates to more area set aside for detention and reduces the buildable area of a proposed development. When calculating release rates, the lower the rate is more detention that is required. Release rates as calculated by the Village code typically fall into the range of .25 to .4 cubic feet per second (CFS). This is typically higher than the .18 (CFS) required by Arlington Heights and the .15 CFS by Wheeling for example, and is usually closer to or higher than the current .30 CFS Cook County requires. However in 2018 Cook County will require .15 CFS for all new developments. In this instance the Village code is less restrictive however again the more stringent code applies. • Base Flood Elevation (BFE). Standard stormwater requirements are to build the lowest opening of a new building 2' above the BFE. The Village requires 2.5' above the BFE. This results in an additional .5' of elevation protection but requires more earth work or fill to meet this requirement and 2' is standard in Northeastern Illinois. Packet Pg. 22 2.5.a • Half acre impervious surface. The Lake County WDO allows smaller developments to add up to one half acre of impervious surface before detention is required. The Village requires all developments to provide detention and does not allow for this free half acre. For example, if a current site is 100% impervious the Village Code requires detention for a new development whereas the WDO would not require a smaller development to provide detention in the similar situation. The Village Code does allow for a fee -in -lieu -of detention where it cannot be provided. • Stormwater fee -in -lieu -of. The current fee is $36,000 per acre-foot of storage if storage cannot be provided on site. Other Villages are in the $80,000 to $130,000 range. The purpose of this higher fee is to encourage developers to provide detention and not pay the fee -in -lieu -of. Staff recommends raising this price to the actual cost of providing one acre- feet of storage in the Village of Buffalo Grove. Staff can provide a cost estimate if this item is recommended for updating. • Building addition near BFE. In Title 18 the Village Code requires that a new building addition to be built at least one foot in elevation above the base flood elevation and then be set 25, away from the BFE location. Unless this is waived this limits many properties in the commercial areas from building additions. The Lake County WDO allows new buildings to be built at the BFE elevation contour if they are flood proofed to 2' above the BFE. • Grass bottom detention basins vs. wetland bottom detention basins. The Village code requires grass bottom detention basins however this is in conflict with the latest WDO requirements in Lake County for "Runoff Volume Reduction" or RVR. To meet the RVR requirements and still provide a grass bottom detention basin a development would have to provide other treatment items such as open channel grass lined stormwater ditches which does not meet other aspects of the Village code. In a recent example the Easthaven Development was the first detention basin built under the new RVR requirements. A grass bottom pond was proposed to match the ponds to the north but the more stringent requirements of the WDO and the RVR necessitated a wetland bottom pond. • Rainfall calculations. The Village code requires the rainfall calculations to be from the US Weather Bureau Data for the Chicago area which is not commonly used while the WDO uses Lake County specific rainfall data and the MWRD uses Illinois State Water Bulletin 70 which is more widely accepted. • There are various calculations or charts that have either outdated information or scrivener errors in numbers that should be cleaned up such as a wrong Manning Equation number in a pipe flow calculation with undefined variables and a Time of Concentration calculation that uses 20 minutes for a calculation when the standard practice is to calculation them. Staff recommends correcting these as they are found. Staff discussed the stormwater requirements with Gewalt Hamilton Associates (GHA) and they provided the attached letter recommending the Village adopt both of the county ordinances and remove any local restrictions. This would bring the Village more inline with the surrounding communities for stormwater design and management. GHA provided their recommendations with redlined sections from the Village code that removed what they deemed unnecessary information and added language to adopt the county ordinances for Titles 13, 15, and 16. Title 18 relates to the floodplains and they recommend that the Village wait for the Illinois Department of Natural Resources to bring forth a new "State Model" floodplain ordinance which is expected soon but has not been released yet. Staff recommends updating the Development Ordinance relating to stormwater requirements by simplifying the code and adopting both county requirements, removing the local restrictions and bringing the code in line with the surrounding counties and communities. Packet Pg. 23 2.5.a Variation Process Currently, variations to the Development Ordinance require a public hearing before the Planning & Zoning Commission (PZC) and approval by the Village Board. As currently established, if a development project meets all Zoning Ordinance requirements but has some minor variations to the Development Ordinance (i.e. retaining wall design), the project would still have to go through the PZC process (45-60 days). In an effort to help streamline the process, staff recommends eliminating the public hearing process and only require approval by the Village Board, subject to Staff review and recommendation. Engineering Details and Requirements Much like stormwater requirements, the engineering specifications and details that have served the Village well in years past have been standardized and are more readily available which reduces the need for our many specific and lengthy details and requirements in the Village code. Many of the details for roads and storm sewers could be replaced with standard Illinois Department of Transportation (IDOT) details and the water and sewer details could be replaced with details from the "Standard Specifications for Water and Sewer in Illinois." Also like stormwater requirements the Village does have some local restrictions such as type of pipe used for water main or core and rubber boots used for storm sewers that we can continue to require but it would clear up and reduce the size of the detail and specification sections. Some other examples of requirements that need to be updated include: Sewer televising fee A developer is required to pay the Village $1 per foot of televising for all new storm and sanitary sewer as a deposit to ensure the developer completes this work and these funds would be used by the Village if the developer does not complete this work. However the Village has paid approximately $1.60 per foot recently. Staff recommends the price should be raised to be at least $2.50 to cover the costs if the Village has to complete the work. Pavement evaluation fee As part of new Developments, the developer is required to pay the Village $0.15 per foot of new streets for a Pavement Evaluation Fee. Staff recommends that this is changed to require the developer to provide a third party pavement evaluation report. Snow plow requirement For new developments with public streets that have not been accepted by the Village yet the Village has been snowplowing the streets and charging the developer a fixed fee based on the average of the last three years costs. While the payment should cover the Village expenses the time it takes to plow additional streets is just less time for Village personnel to perform other snow fighting duties. Staff recommends this remains the responsibility of the developer until the Village accepts the streets. Detention basin slope In many recent re -development or development projects due to the site limitations it is common for a developer to request a variance for the slope of a detention pond and replace part of the slope of a detention basin with a retaining wall or a slope that is steeper than the 4 to 1 slope currently Packet Pg. 24 2.5.a required by code. This requires a variation from the Planning and Zoning Commission (PZC) and staff recommends this be removed as a requirement or allowed to be waived at staff level versus the PZC. This will not affect the required safety ledge near the shore as per standard detention basin design. Small Cell Antennas Recently many cell phone and data providers have been approaching Villages and asking to put small cell micro -cell antennas on utility poles, streetlights or on Village buildings. The current approach to providing cellular service (placing large, wide -range equipment on specialized cell antennas or municipal water towers) is beginning to be supplemented by the installation of small cellular antenna devices to address the shortcomings in current service. These small cell antenna devices can be mounted to existing utility or light poles, both addressing the specific local concern and saving the provider the cost of constructing new facilities upon which to place new equipment. Prior to proceeding with potential code amendments to both the Village's Zoning and Development Ordinance, staff is seeking the Board's comments on the concept of allowing this type of private equipment on our facilities. It is expected that the Village could receive compensation for each location, based on an approved lease agreement. Should the Board be supportive of the idea, staff will prepare amendments to the pertinent Codes for the Board's final consideration. It should be noted that any lease agreements would still require Village Board review and approval. In September 2014 the Illinois Municipal League with the help of Village Attorney Bill Rasya drafted a sample ordinance and it is included here for discussion purposes. Packet Pg. 25 March 24, 2015 Daren Monico, P.E. Village of Buffalo Grove 51 Raupp Boulevard Buffalo Grove, Illinois 60089 CONSULTING ENGI N EERS 625 Forest Edge Drive, Vernon Hills, it 60061 'Ert, 847.478.9700 10 FAx 847.478.9701 Re: Village of Buffalo Grove Municipal Code Review (GHA Project #4798.002) Dear Mr. Monico, www.gha-eiigineers.com. Gewalt Hamilton Associates, Inc. (GHA) has reviewed the Village of Buffalo Grove's current Municipal Code to identify areas of the existing Code relating to stormwater management that are substantially different than those of the Lake County Watershed Development Ordinance (WDO) and the Metropolitan Water Reclamation District Watershed Management Ordinance (WMO). As the Village is located in both Lake and Cook Counties, either ordinance may apply depending on the location of the regulated development within the Village. Upon review of the ordinance, it was determined that the following sections of the Code include stormwater management requirements similar to those regulated by the WDO and WMO: • Title 13 — Chapter 12 (Stormwater Discharge and Detention) • Title 15 — Chapter 24 (Erosion and Sediment Control) • Title 16 — Chapter 50, Sections 20 through 40 (General Development Design Standards) • Title 18 (Floodplain Regulations) Based on our review and discussions with you on January 16, 2015, we have prepared suggested modifications to the Municipal Code as shown in the attached documents. These suggested revisions take advantage of the detailed requirements set forth in the WDO and WMO while minimizing language within the Municipal Code that overlaps with these ordinances. Note that no revisions are included for Title 18 (floodplains). While both the WDO and WMO include floodplain requirements, MWRD is not a National Flood Insurance Program (NFIP) community and therefore is not required to include NFIP administrative duties that would be required of the Village. As such, the Municipal Code cannot simply adopt the WDO for Lake County and the WMO for Cook County. Additionally, the Illinois Department of Natural Resources (IDNR) is in the process of developing a new "State Model" ordinance that should be made available for communities to adopt by late June of this year. Therefore, we recommend the Village wait to make revisions to Title 18 of the Municipal Code until the IDNR model ordinance is available. If you have any questions, please feel free to contact the undersigned at 847.478.9700. Sincerely, Gewalt Hamilton Associates, Inc. Michael A. Baker, P.E., CFM Professional Engineer mbaker@gha-engineers.com P:\4750-4799\4798 Buffalo Grove\4798.002 BG Storomwater Ordinance Review\4798.002 Code Review Summary 20150324.doc Packet Pg. 26 2.5.b Title 13 WATER AND SEWERS Chapter 13.12 STORMWATER DISCHARGE AND DETENTION* Sections: I. - Stormwater Discharge II. - Stormwater Detention I. Stormwater Discharge 13.12.020 Illegal connection —Inspection. 13.12.030 Illegal connections —Abatement. 13.12.040 Illegal connections —Village authority to investigate, abate. A. Because of their almost instantaneous impact, their injurious results, substantial contributions, and relative ease of correction, the Village will institute a priority program for the elimination of extraneous flows entering into the sanitary sewer system through downspouts, roof drains and other visible or outside connections which are connected directly or indirectly to the sanitary sewer system. B. The Village will, at no expense to the property owner, make visual outside inspections of all properties within the Village, with specific attention to downspouts, roof drains and other visible or outside connections, and, if allowed or requested by the property owner, the Village will enter into the premises and make or assist in the making of additional inspections of the premises to ascertain if illegal connections are present. Upon completion of the visual outside or inside inspection, the Village will advise the property owner in writing if any illegal connections are observed, and will advise on the manner of corrections for compliance with the provisions of this Chapter. After the corrections are made, the Village will, at no expense to the owner, make further inspections of the corrections to insure compliance with this Chapter. 011iJ. Bel k S§ 1 (JI :11't)' 11)&14 Within sixty days after notice to the property owner by the Village of the presence of illegal connections, the property owner shall, at his expense, disconnect all illegal connections observed, and all discharges of extraneous flows into the sanitary sewer system, directly or indirectly, shall be discontinued. (O ld 84-53 § i i,ll.0 rt), 1984) „ The Village may make tests and inspections of the municipal sewer systems as it deems necessary in order to locate such illegal connections and sources of extraneous flows which may exist. The Village, at its option, may also invoke other legal powers vested in it or implied by the statutes for the protection of the health and welfare of the public, or institute such legal action as it deems necessary to discover and order the disconnection of any illegal connections that may exist. Pi i`.i. i," '" tl i.11 °::u"u 4 tl 984,',p Buffalo Grove, Illinois, Code of Ordinances Page 1 Packet Pg. 27 Title 13 WATER AND SEWERS UU' Stormmvvmter Detention 13.12.050 Requirement. 13.12.115 Adoption of Metro olitan Water Reclamation District of Qreq!qLChica_go Watershed MonaoamentOrdinance and the Lake Counb/Watershed Deve|oomentOrdinance bvreference. Ordin Count and the Lake Count Wate Buffalo Grove, Illinois, Code of Ordinances Page 2 Title 13 WATER AND SEWERS 2.5.b 6dU�x4YG�`CTP�`+Ct�-fG�7YCR' '9'CVV q genera4y-unab"4iandle4he4uneff*om4vgh-ff#en6"tnfa#&-and4e&ufts-in-#oedp4aw�-�teFage-or '{ F c e & the r o d4- &veIGpmentc,same f?g capac p,l.l zat thn rala-rca rnta� G. ps c—cr¢-c<—a-wa c.xaac.—a-aa-ec,� e �nrith r•a i, � �. ,'i— s , $ ndsre s�h �- i� .� �.� ��,� \gill ��a tl�a ice+Lsar�a r to of tFea nnta am �. —e-aaau y cr rc� r r—a-crc-c< n rca ucrxa-u Buffalo Grove, Illinois, Code of Ordinances Page 3 Packet Pg. 29 Title 13 WATER AND SEWERS 13.12.115 Adoption of Waters heq_M2n2ggn2jUj_QLgjUgn�g�Lake County Watershed Development Ordinance by reference. The provisions of the ershed Luka County Watershed Development Ovdinanoa^ current edi . are adopted herein by reference. In maoa of conflict between the provisions of these nd any other provisions of the Buffalo Grove Municipal Cuda, the most stringent provisions shall apply. (Qnd'Jo 2013 39' 7 15-2O13, 'Drd 'Jo 2012, 51' 0 0121 C}nd2[uE'l-12� 1,�OOG� C}nd 2O01-76 §1,2001�� 0rd�"20010-80�l";1,200O�Ond99-72 1,1999���Ord94-501,1�9,1 Ord92-82 Any person violating any provision of this Chapter shall be punished as provided in Chapter 1.08. Buffalo Grove, Illinois, Code of Ordinances Page 4 1 Packet Pg. 30 2.5.b Title 15 BUILDINGS AND CONSTRUCTION Chapter 15.24 SOIL EROSION AND SEDIMENTATION CONTROL Sections: 15.24.010 Purpose. 15.24.020 Definitions. 15.24.030 General criteria and standards. 15.24.040 Plan and permit required. 15.24.050 Plan and permit not required. 15.24.060 Application. 15.24.070 Bond requirement. 15.24.080 Review. 15.24.090 Appeals. 15.24.100 Responsibility. 15.24.110 Retention of plans. 15.24.120 Inspections. 15.24.130 Applicability. 15.24.140 Handbooks adopted by reference. 15.24.150 Special precautions. 15.24.160 Expiration of permit. 15.24.170 Exceptions. 15.24.180 Revocation or suspension of permit. 15.24.190 Fees. 15.24.200 Nuisances. 15.24.210 Violations and penalties. The Corporate Authorities declare that the purpose of this Chapter is to provide minimum standards to safeguard persons, to protect property and prevent the despoliation of the environment, and to promote the public welfare, by regulating and controlling the design, construction, quality of materials and use and maintenance of any development or other activity which disturbs or breaks the topsoil or otherwise results in the movement of earth on land situated within the corporate limits of the Village or other lands which fall under the jurisdiction of the Village pursuant to the Development Ordinance or other applicable regulations. (Ord 95 5 § 3 �Ipaifti, 199 Cli'd, 85 i 3 § 10 �.Il:nu:u�� VN3 Ord �9-.I9 § "tl (,IIpairt'9, 1',1)7� � i MZ I I11KI7 ontl i11�[.iit For the purpose of this Chapter certain terms used herein are defined as set forth below: Buffalo Grove, Illinois, Code of Ordinances Page 1 Packet Pg. 31 2.5.b Title 15 BUILDINGS AND CONSTRUCTION A. "Building permit" means a permit issued by the village for the construction, erection or alteration of a structure or building. B. "Certify" or "certification" means that the required inspections and tests have been performed and that the results comply with the applicable requirements of this Chapter. C. "Cubic yards" means the amount of material in excavation and/or fill measured by the method of "average and areas." D. "Engineer" means a registered professional engineer of the state. E. "Excavation" means any act by which organic matter, earth, sand, gravel, rock or any other similar material is cut into, dug, quarried, uncovered, removed, displaced, relocated or bulldozed and shall include the conditions resulting therefrom. F. "Existing grade" means the vertical location of the existing ground surface prior to excavation or filling. G. "Fill" means any act by which earth, sand, gravel, rock or any other similar material is deposited, placed, replaced, pushed, dumped, pulled, transported or moved to a new location and shall include the conditions resulting therefrom. H. "Grading" means excavation or fill or any combination thereof and shall include the conditions resulting from any excavation or fill. "Land surveyor" means a registered surveyor of the state. J. "Parcel" means all contiguous land in one ownership. K. "Permittee" means any person to whom a site development permit is issued. L. "Person" means any person, firm or corporation, public or private; the state and its agencies or political subdivisions; the United States of America, its agencies and instrumentalities; and any agent, servant, officer or employee of any of the foregoing. M. "Removal" means cutting vegetation to the ground or stumps, complete extraction, or killing by spraying. N. "Site" means a lot or parcel of land, or a contiguous combination thereof, where grading work is performed as a single unified operation. O. "Site development" means altering terrain and/or vegetation, or performing any construction upon or making any other material changes in a land site. P. "Vacant" means land on which there are no structures which are secondary to the use or maintenance of the land itself. i .�uri tl t „ tl ill,.aril, M2 Orid8i ;; F, (,,):gut) tl't 5 Ord r :� The following general principles shall apply to any movement of earth and any sedimentation and erosion control plan and the granting of a permit for the execution of said plan as hereinafter provided: A. The smallest practical area of land shall be exposed at any given time during development; B. Such minimum area exposure shall be kept to as short a duration of time as is practical; C. Erosion and sediment control measures shall be in place as part of the land development process before significant grading or disturbance is allowed; D. Where appropriate, temporary vegetation, mulching or other nonviable cover shall be used to protect areas exposed during development; Buffalo Grove, Illinois, Code of Ordinances Page 2 Packet Pg. 32 2.5.b Title 15 BUILDINGS AND CONSTRUCTION E. Sediment basins, debris basins, desilting basins, or silt traps shall be installed and maintained to remove sediment from runoff waters from land undergoing development; F. Provision shall be made to effectively accommodate the increased runoff caused by changed soil and surface conditions during and after development; G. Permanent, final plant covering or structures shall be installed as soon as possible; H. The plan of development shall relate to the topography and soils of the site so that the lowest potential for erosion is created. Areas of steep slopes where high cuts and fills may be required should be avoided wherever possible and natural contours should be followed as closely as possible; I. Natural plant covering shall be retained and protected so far as is consistent with developing the site. Areas immediately adjacent to natural watercourses should be left undisturbed wherever possible; J. Velocity retarding devices (temporary or permanent) shall be installed to reduce the scouring and transport capacities of drainage ditches. i )IIn.I'11) " h .i i ill �����u�11 . n yip"4'!! uu iiJ 8; i 3 ?w B �� tl Il � ��u II , h98a uwd ° - i � � i i (ll'o� uu II), "i S,) 79 ,i. Before land is cleared, filled in, graded, transported or otherwise disturbed by the movement of earth for construction projects within the Village, a site development permit embodying the proposed earth movement shall be obtained from the Village Engineer, where development comes under any one or more of the following provisions, unless such development is excepted therefrom by Section 15.24.050: A. Excavation, fill or any combination thereof, will exceed one hundred cubic yards; B. Fill will exceed three feet in vertical depth at its deepest point measured from the natural ground surface; C. Excavation will exceed four feet in vertical depth at its deepest point; D. Excavation, fill, or any combination thereof will exceed an area of five thousand square feet; E. Plant cover is to be removed from an area exceeding five thousand square feet on any vacant parcel of land or any parcel of land in excess of ten acres. (OriiJ 95 i5 § 31 (pai,t), i9"i 5 0urd'' 8 tl3�',,�� 10 (pail), ,tl98 ��'ird 71),.111) r� ""I iJI:��,�u�Y , "'tl�+��'�' A site development permit shall not be required in the following cases: A. Any excavation below finished grade for a septic tank and drain field, tank, tunnel, basement, swimming pool, cellar or footing of a building or structure for which a building permit shall have been issued by the Village, unless the excavation is part of a larger development which would otherwise require such a permit; B. Excavation or removal of vegetation in public utility easements by public utility companies for the purpose of installing underground utilities; C. Dredging by the Village for flood control; D. Tilling of the soil for fire protection purposes; E. Engaging in the following, but only if in connection with a farming or other agricultural or conservation enterprise and upon property zoned solely for farming or agricultural purposes and uses: Buffalo Grove, Illinois, Code of Ordinances Page 3 Packet Pg. 33 2.5.b Title 15 BUILDINGS AND CONSTRUCTION The construction of sod waterways, 2. The construction of terraces, 3. The construction of surface water diversions, 4. The construction of grade stabilization structures, or 5. The tilling of the soil. (Ord 95 5 § 3 l �Ip��ift), i9::) ('11i'd. 85 i`� § 10 (Il:;n::Vut), tl93 Ord 79...°i9 § „II (,If_Qirt�, °19 79;) A. No site development or building permit shall be issued until the applicant submits an acceptable site development plan and certifies that any land -clearing construction or development involving the movement of earth shall be in accordance with such plan. B. Each application for a site development permit shall be made by the owner of the property or his authorized representative to the Village Engineer and shall be accompanied by a site development plan consisting of the following, unless the Village Engineer finds any item unnecessary to insure compliance with the provision of this Chapter; provided; however, that no exemption from subsection A of this section shall be granted to any applicant who intends to move in excess of five hundred cubic yards of dirt: With respect to site developments, a vicinity sketch, showing acreage of site, boundary line survey, zoning, type of proposed sewer and water facilities, location of existing utilities, buildings and drains on and within one hundred and fifty feet of the site, together with a legend and scale. There shall be included on or with such a vicinity sketch: a. A soil map of the subject property showing the predominant soil types on the site, b. Information regarding those areas abutting or adjacent to the site sufficient to shown existing drainage pattern and the drainage course that may affect, or be affected by the development of the site, c. The name and address of the developer and owner, d. The name and address of any consulting firm retained by the applicant, together with the name of the applicant's principal contact at such firm, e. Limits of regulatory floodplain(s), f. Areas to be sodded, seeded, mulched or paved, g. Acreage of area to be vegetatively stabilized, if any, h. Areas to be left undisturbed; 2. With respect to site grading, a grading plan showing the site and one hundred fifty foot adjacent peripheral strip, proposed contours at one -foot intervals and final grades, street profiles, and an indication of what measures will be employed to protect cut and fill slopes from surface runoff; -3St a pinas�d— ten d+ eta ,6Gmpt-cofHJAk-)n-,now-fweva4-at-proposed-and-natufakoutk-�� s: a. Nhetrb§ra,,7—th f v�'.arce-ear , r,o We a , G. vnV hetl tuF G , d. Wh,&the, he,- rc v ' rtc 4A a a ( n }, Wtre Buffalo Grove, Illinois, Code of Ordinances Page 4 Packet Pg. 34 2.5.b Title 15 BUILDINGS AND CONSTRUCTION ati atumkRA4etsg €- Ft�l=1-da�F�y6ro nnraJ rn irvrec fr^.� III cnx rla ¢�+99-urr�s-cca rcsr rs-ovr-twee ,r�,z<uc, , e-H.T tLd lr"-rGFdi%� Tf �4YYT tTV� ti Fv �4 f cf io site . ar®�,s; 5ccwe�o� , onrrn-ram 1.. .-,II f �mr ind"v�i�, �. "f'4an rd l,$h iar4a b—Du-rafiGn a, d. nst a ate, F r��t wr a ref i tam f. Er. ne t6 ,r,p seedin�.: -a-r«-,-,�, ed+ a hTe-ag,.,, rd fe tii Eef-a pear K)n- ates,- a- d- , e , f # bit F pre s aura -of iH :rtr I-3 ei ngeasu- , 53. For the purpose of exemplifying the considerations and factors which should enter into the preparation of a site development plan, the standards and requirements of the "Stta p -' d v nG irn c 87 a r n u h--d4 Illinois Urban Manual published b� the Association of Illinois Soil and UVater Conservation Districts, latest edition, shall be used. 4 �. a ,' 9921 85 ". �§ 'I 1� p i, ')art), yr .I 9�il,:�p �' ��.,�rd`,.�e d 9-,I ��` �p „� (part), �u it )r �tl ���Ni�_ ut . ,� �, i���lu,.I�p, I�s �;m �r�uudu, �t�n� Buffalo Grove, Illinois, Code of Ordinances Page 5 Packet Pg. 35 2.5.b Title 15 BUILDINGS AND CONSTRUCTION f f - A. A site development permit shall not be issued unless the permittee shall first post with the Village Clerk a bond executed by the landowner and a corporate surety with authority to do business in this state as surety. The surety's name shall also appear in the U.S. Department of Treasury Circular 570. B. The bond shall be in a form approved by the Village Attorney, payable to the Village and in the amount of the estimated total cost of all temporary and/or permanent soil erosion control measures. The total cost shall be estimated by the applicant and approved by the Village Engineer. In lieu of a surety bond, the applicant may file with the Village, a cash bond or an instrument of credit approved by the Village Attorney in the amount equal to that which would be required for the surety bond. The bond or other surety shall be callable by the Village upon failure to comply with the site development plan and permit. q5 'JF, N (ll"oari) i99 Oun:t. 8 tl3 § 10 (part) 'M5 (:DinJ 79 § n (pa "i���������.� To further the specific purposes of this Chapter, the following review procedures are established: A. Processing of Site Development Application. Following such review, the Village Engineer, in writing, shall: 1. Approve the site development application if it conforms with the provisions of this Chapter and issue a permit; 2. Approve the site development application subject to such reasonable conditions as deemed necessary to secure substantially the objectives of this Chapter and issue a permit subject to those conditions; or 3. Disapprove the site development application. B. Prohibition of Earth Removal. No site development permit shall be issued for an intended building site unless: 1. Such permit is accompanied by or combined with a valid building permit issued by the Village; or 2. The proposed earth moving is coordinated with any overall plan previously approved by the Village for the parcel in which the site is situated. 40id 85 E3 Ei W q"u, iIIV, i98 Ord 79 tl9 § tl (3aiII). 79". The applicant may appeal the decision of the Village Engineer to the Corporate Authorities for final disposition. Q u u.,p t a P v " '� i Il ,, a V, tl ° t"iw; 5u'°:�. I 3 ?w, 'I i,14�� a V: , 1°,�i.G o �:',�u'� tl "'w`-"i "1,II'+ art), lr ,I I t' . [film Os 4 Failure of the Village officials to observe or recognize hazardous or unsightly conditions or to recommend denial of the site development permit, or of the Village Engineer to deny such permit, shall not relieve the permittee from responsibility for the condition or damage resulting therefrom, and shall not result in the Village, or its officers or agents, being responsible for any condition or damage resulting therefrom. Buffalo Grove, Illinois, Code of Ordinances Page 6 Packet Pg. 36 2.5.b Title 15 BUILDINGS AND CONSTRUCTION 1 �:.�u i�J 85 h 3§ 1 �.� � Il ,:���au� n 1 ":' 8 (:��)u"al. b-1 i�:�� �ro I i Il�u,�:���u �I',i, "I �.�'7��kV p.� Plans, specifications and reports for all site developments shall be retained by the Village Engineer. (Ord tl�;;5 h �� � tl�D 1llja„i,t), 1°��dZ3 a ���u°�:�. 71� �1,'�;I� �� 1 1`Il�o�!I'uu1i, tl��,�'7�.i�gp. The Village Engineer shall make inspections as hereinafter required and shall either approve that portion of the work completed or shall notify the permittee wherein the same fails to comply with the site development plan. Where it is found by inspection that conditions are not substantially as stated or shown in the said plan, the Village Engineer may stop further work until approval is obtained to revise the plan conforming to the existing conditions. Plans for the work, bearing the stamp of approval of the Village Engineer, shall be maintained at the site during progress of the work. Until the final inspection is made, a copy of the site development permit issued by the Village, shall be available on the property. In order to obtain inspections in accordance with the following schedule, the permittee shall notify the Village Engineer at least two full working days before the said inspection is to be made: A. Prior to stripping and clearing; B. Prior to rough grading; C. Prior to final grading; D. Final Inspection. When all work, including installation of all drainage and other structures and required plantings, has been completed. tl 0ird 91, tl 111 a„,!lau" ,1992I G irl b. 85 13 hilt/ tl 1p art), 193Ord 79 19 § 1 1.11{"aairt) 1 �:;)'79). All earth moving, grading and operations not specifically exempted by the provisions of this Chapter shall comply with the applicable standards and requirements set forth in this Chapter. (0 11 iJ 85 13 § 10 (I`a i t ), 19 1 a. iru ,:J,l 1;) Q,3 1 &1�), 19 79 ).� "Standa°" eP-re a d-�, Rd ai entFGVL The Illinois Urban Manual published b the Associaiton of Illinois Soil and Water Conservation Districts latest edition is incorporated into this Chapter and made a part hereof by this reference for the purpose of delineating procedures and methods of operation under development plans approved in this Chapter. In the event of conflict between provisions of said "handbooks" and other provisions of this Chapter, the said provisions of this chapter shall govern. 10id 92 § 1 (,1) auk", 1992 0i�liJ 85 13 § 10 (I""aut) IIa�)8Ord 79 191 6; 1 (,hrul�lut) 11)�79).� A. If at any stage of the grading the Village Engineer determines by inspection that further work as authorized by an existing permit is likely to imperil any property, public way, watercourse or drainage structure, the Village Engineer may require as a condition to allowing the work to be done, that such Buffalo Grove, Illinois, Code of Ordinances Page 7 Packet Pg. 37 2.5.b Title 15 BUILDINGS AND CONSTRUCTION reasonable special precautions be taken as deemed advisable to avoid the likelihood of such peril. Special precautions may include, but shall not be limited to, specifying a more level exposed slope, construction of additional drainage facilities, berms, terracing, compaction or cribbing, installation of plant materials for erosion control and reports from a registered professional engineer whose recommendations may be made requirements for further work. B. Where it appears that storm damage may result because the grading is not complete, work may be stopped and the permittee required to install temporary plantings to control erosion, install temporary structures or take such other measures as may be required to protect adjoining property or the public safety. On large operations or where unusual site conditions prevail, the Village Engineer may specify the time of starting grading and time of completion or may require that the operation be conducted in specific stages so as to insure completion of protective measures or devices prior to the advent of seasonal rains. (Oru ii, ll . ',', tl i „ tl (part), tl � Y d ) �', , u.. a u�d „ R i .' II 4 � i II �� u ' , tl �:i �� u'd': 1) i diii� tl IIC'.a u 19 9" . Every site development permit shall expire by limitation and become null and void if the work authorized by such permit has not been commenced within one hundred eighty days, or is not completed within one year from date of issue; except, that the Village Engineer may, if the permit holder presents satisfactory evidence that unusual difficulties have prevented work being started or completed within the specified time limits grant a reasonable extension of time, not to exceed sixty days, if written application is made before the expiration date of the permit. (0id 85 II m § 10 �IIjairt) 1980i'd dd) fl4 1 iII Wuuii 19 9",h.� 1 '0 i 171111 The Corporate Authorities after recommendation by the Village Engineer, may authorize exceptions to any of the requirements and regulations set forth in this Chapter upon the conditions below set forth: Application for Exception. Application for any exception shall be made by a verified petition of applicant stating fully the grounds of the application and the facts relied upon by the petitioner. Such petition shall be filed with the site development permit application. In order for the land referred to in the petition to come within the provisions of this section, it shall be necessary that the Village Engineer find the following facts with respect thereto: A. That the land is of such shape or size or is affected by such physical conditions or is subject to such title limitations of records that it is impossible or impractical for the subdivider to comply with all of the regulations of this Chapter; B. That the granting of the exception will not be detrimental to the public welfare or injurious to other property in the vicinity of the subject property. (Ord 95 35 § 31 � 'z)ai II n, 199 Du°d I," 5 n i 3 § i 0 �,II�u �u �II.�, i 985Ord 7 9—,I -3 § .,i �,II�"� �u��;,➢;, "i d 9',).� i f. i • i- i' f is i. In the event any person holding a site development permit pursuant to this Chapter violates the terms of the permit, or conducts or carries on said site development in such a manner as to adversely affect the health, welfare, or safety of persons residing or working in the neighborhood of the property of the permittee, or conducts or carries on said site development so that it is detrimental to the public welfare or injurious to property or improvements in the neighborhood, the Village Engineer shall revoke or suspend the site development permit. (iDid 85 Q § tl0 �paift), M a�ADuu,d ` tl Q, tl9 79) Buffalo Grove, Illinois, Code of Ordinances Page 8 Packet Pg. 38 2.5.b Title 15 BUILDINGS AND CONSTRUCTION 15.24.190 Fees. In order to provide for necessary engineering services, field inspections during construction and administrative expense, applicant shall, upon issuance of a site development permit, pay to the Village three and one-half percent of the estimated cost of construction of all temporary and/or permanent soil erosion control measures, private and public which are covered under this Chapter. (Ord 85 13 § 1�D (lJaufl 1191a f)Ird, I9`P!'I)R I (part), 1979',9.� 15.24.200 Nuisances. This Chapter shall not be construed as authorizing any person to maintain a private or public nuisance upon their property, and compliance with the provisions of this Chapter shall not be a defense in any action to abate such nuisance. (� � u ii:I 85 tl 3 § I 0 � Il ��;�� u h ;,9 „198 Ord rub M § 1 ( pa it ll ), M �7 9 ) M �, Any person violating the provisions of this Chapter shall be punished as provided in Chapter 1.08 and shall be, and hereby is required to restore the property to the condition existing prior to commission of the violation or to bear the expense of such commission of the violation or to bear the expense of such restoration. (Ord 95 5 § 11 IIIp�:�irll n 1919 C)inl:I. 8,11) 13 0 (,li"aiT 'I85�� uu,(l. -19 §; ' (,IIJ lrt,1,„ "1979,l.� Buffalo Grove, Illinois, Code of Ordinances Page 9 Packet Pg. 39 2.5.b Title 16 DEVELOPMENT* Chapter 16.50 GENERAL DEVELOPMENT DESIGN STANDARDS AND SPECIFICATIONS Sections: 16.50.010 General. 16.50.020 Soil erosion and sedimentation control. 16.50.030 Drainage and storm sewer system. 16.50.040 Stormwater detention facilities. 16.50.050 Sanitary sewer system. 16.50.060 Water distribution system. 16.50.070 Pavements. 16.50.080 Sidewalks, driveway aprons and driveways. 16.50.090 Bikepaths. 16.50.100 Street lighting system. 16.50.110 Signage. 16.50.120 Landscaping. 16.50.130 Lot grading. 16.50.140 Public utilities. 16.50.150 Parkin_. Iq ots. 16.50.160 Protection and restoration requirements. 16.50.010 General. A. Unless specifically stated otherwise in this Title, the following standard specifications shall provide the requirements and covenants applicable to construction within the Village. B. In the event of conflict between the contents of the following standard specifications and this Title, this Title shall govern: 1. "Standard Specifications for Road and Bridge Construction," Illinois Department of Transportation, latest edition. 2. "Standard Specifications for Water and Sewer Main Construction in Illinois," latest edition. 16.50.020 Soil erosion and sedimentationcontrol. A. All developments, whether private or public, shall include a planned program for the positive control of erosion, sedimentation, and dust during the construction period. This control program shall be furnished to the Village Engineer for review. B. The developer or owner shall adhere to the standards and requirements described for soil erosion and sedimentation control requirements in Chapter 15. 24 of the Buffalo Grove Municipal Code. Buffalo Grove, Illinois, Code of Ordinances Page 1 Packet Pg. 40 2.5.b Title 16 DEVELOPMENT* nil 4tG 8 er-- ,v stofm-seweFs-and-appuAe M ac sis r1 lift$ �{f� b tcr�rr �'c+iv r, k1 iee ^r ,ef-th 3f + O nn�irn rea hnaieenrl +hti nntaua ea limits sefye� clrraasrnt rns a� -r �-c'aa-a< -y-v cx-rr ca � rwu-rr o r r rrsse.,r-v ce I.,Y Y Yaaa arrc<,.ra- ra GtKm rests car e dnurinln reemc rat —caca.ss�—¢e-b viceaca , �$—rat[ rc.-uarrc.-aaz— U f/i theRtins f G } r— tl 1°. ° rrrcra a ca�a.,,.x re ❑ r- rn n e. I aym e4G4heti v`gd-a"'e- Ft R cr ca-t,eev ravr r-axuT v7 -cro e--aar . Q rn c+ieara Thr, Gsr.v^I xtenser t . � bia' ter rxecx a e—r-r rc, ce,.asca, a e..stvr ra ax� �".�} e � Et . DBasic-� &ta 1 1,s-. L 1. eai . ., in,,eaft 'n—csce.wei` rr} O 't _ . da E Q. _ _O CD > ❑ r� rEli�f 9Af 1F� 43f if��tr s 9= 00 N --= irafalH4 tens+ ni f4Rc- p . na Barren an +snwns; cne1 fnr rdn �,_.4,n +l-a.,cn+err, enrpa4nr�aa, E Ser-y4 he-y dr ' er Gera de sera rinn <, rr.+n + . N 0) _ o alqFdall ntenssd T e aveFage rat `}t c-t -atR V x a 'mil derg ound :mot nyeaf-st c9 Gimr of eGGi L fa ,Surf tr-eam-s R ail i e 3 L U) eft__ r¢�-.t vie ��Thiceo e G d-f Y Ve Ls l rte-4 ice.-tia i - r v iFn , t i m-d e s L fW. eff+ery 6 e s e-a- c m d-a . g qual 0-.9-5. c (dell r� r nt 'eurea es1 f"` c4a dell d' -'ur ctl`ID�-.a-a=res rv�a-- er orb . . Buffalo Grove, Illinois, Code of Ordinances Page 2 Packet Pg. 41 2.5.b Title 16 DEVELOPMENT* #butaF4,,. � frhc. �,r,;rly nl���wfan �ta� g� of the � ' �9—dvv�!o Yens iT Y �6JY Yfd Y—L?9Y.k aSJYT 96` ou >—v�®riv e—of—r e ik�irni6ar develrnent,,^+ „,� Ursa'-rvuy°cY°t-�°v°+i�s°rui-ih`v a iv cvl°a'a ral e$nud B:xt YPtk� cr�T"v°r-Ila"v°r . 0 0 . vellsh �I[ Vv + rl ascinre nrl }n ra rr�as°ri c> N N 9 ' � h ��"]]ddRRpp �� rryye� cr £fi a�•wr�ntc lrai I -a ry CL L lw eoEe e� O O CD gg (_nyrl nh riRelc nrs renrntn ear p�r�$ °'ter s`vG . C Tr..a-.ram ccallwaz.cT.. arr- 00 to N r . Ee. �d h�h(?'S'1'iSr IC rY (8$ /'•^J Y'�,_✓M1.6'A\! usa. Y—r..r—rivx—vex G1".8 " an ear , I rf;- of et n E e-re-t rtlafro Ir,l®$s+ c 1° �rrn ca ic• � a_ Y9� Buffalo Grove, Illinois, Code of Ordinances Page 3 Packet Pg. 42 Title 16 DEVELOPMENT* 2.5.b f ra . t" En�o. 2 rg ha a . e fk -a� - �� er Ito rat -Lot Drina 'ti a44;4- a & ; ot4t is +re o ° ' i4g a . {'° ar;ga�-ia diraotf . . {+v-)—JL -,ewef-. e fv e-fi),t& ' a i an k.- c U) U A G d ca a m c co c L O r- d E Q O G1 O 0 00 to N E E 7 (n d O v a x c� L 3 L U) a E s V rt+ a Buffalo Grove, Illinois, Code of Ordinances Page 4 Packet Pg. 43 2.5.b Title 16 DEVELOPMENT* t l and 2n d,,,,..,,}g ,�,.,qq Max+mum-&Kk--�-lo�e t&v'SrsaTr w44Grrize O r ' � ra-a t�aureJ-ter �e I�-Im dingle Farffail� 'rn d--o- � U n rorY ee A ��o Y p ad the 4uve!��and----o#ie eae r nels w4t9 �q ys feo !B CL v C c miRif vc-vit -cP at ii a�- 0 be -a ie Rn.gg. -abi r b y v . hr,r, $rare a'rar.t 4'rP,rr th�,� at fne G CD 0 00 N �o err!— raa i P-�Gira�l °� a atrf l b v o!! £ N d i fa✓'6t env-r�g'A' 6^rf �Y"� p O v x Mate4a fi a' a�!! �tor red^per e¢atenl e6erroents ha!! ceR � a}Li c� .e a . 3 L co d , TM Q p-r d vyp p°� t urv, Glnrr FIi�G—��If4TL C%Y' C.s f� �T Y GT iC—fTIF tllf C7'CRJJ�, AIC -rKA r'17 1a Buffalo Grove, Illinois, Code of Ordinances Page 5 Packet Pg. 44 2.5.b Title 16 DEVELOPMENT* ��t-rti iY gg w d0 3i 4i er t iU plc ecn e e4-G y—fie tt c-£t it f Castings. a. Manhole frame and cover —Neenah No. R-1772-C embossed "STORM SEWER" and "VILLAGE OF BUFFALO GROVE" with a lid design as shown on Exhibit No. 206. b. Manhole steps —Neenah No. R-1981-I. c. Six inch curb and gutter inlet —Neenah No. R-3502-B. d. Three inch curb and gutter inlet —Neenah No. R-3501-P. Buffalo Grove, Illinois, Code of Ordinances Page 6 Packet Pg. 45 2.5.b Title 16 DEVELOPMENT* e. Yard inlet —Neenah No. R-2579. Parking lot inlet —Neenah No. R-2077-C. F. Inspection and Test. Cleaning. All sewers and appurtenances shall be cleaned prior to inspection and testing required by this Title. Visual Inspection. a. All sewer and appurtenances shall be visually inspected by representatives of the developer during and following construction. b. Sewers designed to be straight between manholes will be tested for straightness by flashing a light from manhole to manhole, lamping or by other suitable means. T.V. Inspections. a. Upon completion of construction and prior to initiation of the maintenance guarantee period, and if deemed necessary during the construction of the storm sewer, a T.V. inspection shall be performed on the sections or portions of the sewer as directed by the Village Engineer. Video tapes and a written report of all television inspections shall be provided to the Village prior to the initial acceptance provided for by this Title. The form of the report and type and format of the video tape shall be approved by the Village Engineer. b. Fees and costs connected with T.V. inspections shall be paid for by the developer or owner. c. All dips, cracks, leaks, improperly sealed joints, and departures from approved grades and alignment shall be repaired by removing and replacing the involved sections of pipe. d. All defects and corrective work required as the result of T.V. inspection shall be performed by the developer without delay. Upon completion thereof, the sewer shall be re -tested and such further inspection made as may appear warranted. Infiltration Testing. a. It is the intent of this Title to secure a sewer system with a minimum amount of infiltration. The maximum allowable infiltration shall not exceed thirteen hundred gallons per inch of diameter of sewer per mile per twenty-four hour day at any time for any section of the system. The joints shall be tight and any joint with visible leakage, or leakage in excess of that specified above, shall be repaired at the developer's expense. b. The repair must be of a permanent nature and of a quality equal to initial work which is constructed in conformance with the applicable specifications. c. Immediately after backfilling, the entire length of the sewer trench, including stubs, shall be inundated to normal ground water level or eighteen inches above the top of sewer pipe, whichever is higher. At that time, infiltration tests shall be made to determine compliance with the allowable infiltration criteria. To measure the amount of infiltration, the contractor shall furnish, install, and maintain a V-notch shape crested weir in a metal frame tightly secured at the lower end of each sewer test section as directed by the Village Engineer or his/her authorized representative. The Village Engineer or his/her authorized representative will check the infiltration by measuring the flow over such weirs. When infiltration is demonstrated to be within the allowable limits, the contractors shall remove such weirs. Buffalo Grove, Illinois, Code of Ordinances Page 7 Packet Pg. 46 2.5.b Title 16 DEVELOPMENT* 5. Exfiltration Testing. If during the construction of the sewer system the Village Engineer shall determine that it is impractical to obtain a proper infiltration test, then a test for water tightness shall be made by bulkheading the sewer at the manhole at the lower end of the section under test and filling the sewer with water to eighteen inches above the top of the sewer in the manhole at the upper end of the section. Leakage will then be the measured amount of water added to maintain the above described level at a maximum allowable exfiltration rate of thirteen hundred gallons per inch of diameter of sewer per mile per twenty-four day at any time for any section of the system. 6. Air Testing. In lieu of infiltration or exfiltration testing, the Village Engineer may permit air testing in accordance with ASTM C828. A. eraeral. AIi develo rm��,r-d!v��-of si�e�"� �t •.�-fe�P a-t Sepv+ce Area— T"Te sew+ a e fGr sty kd ng- sit+ fm"y h "i Ef e . nG­e-w­ith-4he-qV1etFGpGRan t-of-reate c-U r es-fGrA f ®@ ° 2-The-ata[' !n-ordv f!-eeye need �-rx�—r—uT caa r�i. .sY c a +ra- �' e qt+s rato {,- Rmpar-bo t-ef-Seed-Bed 4a e4s Seitabl*--r we*w@-and4&4n-prope�GGr-stiGn-fG &eed4ago Buffalo Grove, Illinois, Code of Ordinances Page 8 Packet Pg. 47 2.5.b Title 16 DEVELOPMENT* a t be4GB¢������rr yy��pp r�rrryyy� pp�� ✓q gy FAY C✓6'S-f P- d&-�ef 4 r a - Yha • a P"P t eete� swat,'+ �� �rtra cs e � mac' �-, o�-u.,— o el e re e f K>4. eT 6 r G [(b' a 7 t iR to e! c4 1' -ter 4i a; -of e 4ki - c O .N U A G d ca a m c co c L O a 4) E Q. _O CD 0 00 to N E E 7 N d O v a x c� L 3 in a m E s �o Q Buffalo Grove, Illinois, Code of Ordinances Page 9 Packet Pg. 48 2.5.c I"It"L N I ORDINANCE NO. AN ORDINANCE AMENDING THE VILLAGE/CITY OF ZONING ORDINANCE BY CREATING A NEW SECTION PERTAINING TO THE REGULATION OF SMALL CELL ANTENNA STRUCTURES WITHIN THE VILLAGE/CITY OF WHEREAS, the Village/City of (the "Village"/"City") is an Illinois municipality in accordance with the Constitution of the State of Illinois of 1970; and, WHEREAS, the Village/City is authorized under the Illinois Municipal Code, 65 ILCS 511-1-1 et seq., and Illinois law to adopt ordinances pertaining to the public health, safety and welfare regulating private property; and, WHEREAS, the Village/City is further authorized to adopt the amendments contained herein pursuant to its authority to regulate zoning under section 11-13-1 et seq., of the Illinois Municipal Code; and, [NOTE: the following recital is offered for possible inclusion by home rule municipalities.] WHEREAS, as a home rule unit under Article 7, Section 6 of the Illinois Constitution of 1970, the Village/City finds that authorizing the regulation of Small Cell Antenna Structures within the Village/City pertains to the government and affairs of the Village/City and is in the public interest; and WHEREAS, the Zoning Code of the Village/City of sets forth various regulations governing personal wireless services antennas and related facilities within the Village/City, and WHEREAS, Section of the Zoning Code authorizes the location of various accessory structures, including personal wireless services facilities, in those specific zoning districts that allow for such accessory structures throughout the Village/City, and Packet Pg. 49 2.5.c DRAFT -2- WHEREAS, the corporate authorities have found that the Village/City has received applications for permits for the installation of Small Cell Antenna Structures within the Village/City, which antenna structures and facilities are significantly smaller than any prior antenna and tower structures or facilities within the Village/City; and, WHEREAS, the corporate authorities have found that the Small Cell Antenna Structures and related facilities presented numerous issues not previously considered by the Village with respect to such structures' zoning implications; and, WHEREAS, the Village/City has investigated the issues presented by such Small Cell Antenna Structures and related facilities for the purpose of reasonably regulating such installations within the Village/City in the interest of the public health, safety and welfare of the residents of the Village/City; and, WHEREAS, the Plan Commission of the Village/City of held a duly noticed public hearing on , and recommended that the corporate authorities adopt the amendments to the Zoning Ordinance contained herein; and, WHEREAS, the Village/City desires to allow the use of such Small Cell Antenna Structures and related facilities within the Village/City for the provision of services to the residents and business within the Village/City in accordance with the regulations contained herein and within the Village/City of Code of Ordinances; and, Packet Pg. 50 2.5.c DRAFT -3- WHEREAS, the Village/City further desires to adopt reasonable regulations with respect to the placement of such Small Cell Antenna Structures and related facilities on property within the Village/City so as to minimize the adverse effects of such structures on the public health, safety and welfare, and to allow the placement of such installations in a manner that is consistent with the goals and objectives of the Zoning Ordinance, Comprehensive Plan, Code of Ordinances, and other ordinances and regulations of the Village/City; and, WHEREAS, the corporate authorities have determined that the amendments to the Zoning Ordinance contained herein are in the public interest and in furtherance of the public safety, health and general welfare of the residents of the Village/City of NOW, THEREFORE, BE IT ORDAINED by the President and Board of Trustees/Mayor and City Council of the Village/City of as follows: County, Illinois, Section 1. Recitals. The above recitals are incorporated as though fully set forth in this Ordinance as material and substantive terms and provisions. Section 2. Definitions. "Above Ground Service Facility" means an above ground service structure used by a service entity to provide service to the public that has a volume above ground of less than twenty-four (24) cubic feet, a linear size in any single above ground dimension of less than four feet, and a footprint in square feet less than five percent (5%) of the maximum lot coverage for any contiguous zoning lot adjacent to the right-of-way proposed for installation of an Above Ground Service Facility. Packet Pg. 51 2.5.c DRAFT -4- "Antenna Structure" means any antenna, any structure designed to specifically support an antenna, and/or any appurtenances mounted on such a structure or antenna. "Applicant" includes any person or entity submitting an application to install a Small Cell Antenna Structure under this section. "City" means the City of "FCC" means the Federal Communications Commission or any successor to that agency "Grade" or "Ground Level" means the surface elevation of any lawn, right-of-way, or other improved or unimproved surface. "Landscaping" means the installation at Grade of plantings, shrubbery, bushes, or other foliage intended to screen the base of an Antenna Structure or an Above Ground Service Facility from public view. "Monopole" means a structure composed of a single spire, pole, or tower used to support antennas or related equipment. A monopole also includes those spires, poles, or towers disguised as trees or other objects camouflaged to resemble faux objects attached on a monopole. "OET" or "FCC OET" means the FCC's Office of Engineering and Technology. "Park" and "Playground" shall have their ordinary, dictionary meanings. "Personal Communications Service" means commercial mobile services provided under a license issued by the FCC. Packet Pg. 52 2.5.c DRAFT -5- "Personal Wireless Services Facility", "Wireless Services Facility", or "Wireless Facility" means a structure, antenna, pole, tower, equipment, accessory equipment and related improvements used, or designed to be used, to provide wireless transmission of voice, data, images, or other information, including, but not limited to, cellular phone service, personal communication service, and paging service. "Small Cell Antenna Structure" means any antenna, any structure designed to specifically support an antenna, and/or any appurtenances mounted on such a structure or antenna, where such structure has a height of fifty (50) feet or less above Grade, and where the base of the structure, including the appurtenances serving an antenna, are mounted at a height of no more than nine (9) linear feet above Grade. Said structure shall also include Distributed Antenna Systems (DAS), and microcell, picocell or other small cell antenna or transceiver devices mounted on said structures. "RF" means radio frequency. "Village" means the Village of "Wireless Facility Permit" means a permit issued under this chapter authorizing the installation, operation, and maintenance of a Personal Wireless Telecommunications Facility including, without limitation, a Small Cell Antenna Structure. Except as otherwise provided by this chapter, the procedures for the application for, approval of, and revocation of such a permit shall be those required by the zoning code of the Village/City of for a Special Use Permit or other conditional use permit. Packet Pg. 53 2.5.c DRAFT -6- Section 3. PgMose and Intent The purpose of this section is to provide specific regulations and standards for the placement and siting of Small Cell Antenna Structures and related facilities to provide Personal Communications Sei vices in the Village/City of The intent of this section is to provide regulations that will facilitate the location of Small Cell Antenna Structures in permitted locations [or, for cities where Special Use Permits are required, "Those locations where such facilities require a Special Use Permit"] so that they may be consistent with the aesthetic character of the surrounding environment. Minimizing the adverse visual impact of wireless facilities within the Village/City, is a primary goal of this section. Section 4. Regulations and Standards A. Small Cell Antenna Structures. The operator of a Small Cell Antenna Structure proposed to be located within the boundaries of the Village/City shall comply with the following requirements: Surface Areas of Small Cell Antennas. Small Cell Antenna Structures, including antenna panels, whip antennas, or dish -shaped antennas shall not have a surface area of more than seven (7) square feet, and no single dimension exceeding seven (7) feet. Omnidirectional or whip antennas may not extend more than seven (7) feet, not including any pole extension. Packet Pg. 54 2.5.c DRAFT -7- 2. Small Cell Antenna Structures Less than Nine (9) Linear Feet Above Grade. In the event that the operator of a personal wireless telecommunications facility proposes to install a Small Cell Antenna Structure where appurtenances serving the Small Cell Antenna Structure are to be installed at a height of less than nine (9) linear feet above Grade, the operator shall be required to pay the Village/City a fee for the installation of landscaping by the Village/City pursuant to the provisions of this Ordinance. 3. Small Cell Antenna Structures Located Nine (9) Linear Feet Above Grade. The operator of a Small Cell Antenna Structure shall, whenever possible, locate the base of appurtenances serving such structure at a height of no more than nine (9) linear feet above grade. 4. Height. A Small Cell Antenna Structure shall not extend more than fifty (50) feet above Ground Level. A directional or panel antenna extended to the highest point of the support structure may not extend more than seven (7) feet above the highest point of the support structure, and the combination of the height of the support structure and the antenna extension shall not exceed fifty (50) feet. 5. Attachment to Poles. Utilitv Poles; Limitations. No Small Cell Antenna Structure shall be attached to a Monopole, or a pole belonging to a public utility unless all of the following conditions are satisfied: Packet Pg. 55 2.5.c DRAFT (a) Size and Height. The requirements of Subsections (1) and (4) hereinabove shall apply. (b) Structural Integrity. The Small Cell Antenna Structure and related equipment shall be designed to withstand a wind force of at least 90 miles per hour, and be designed to withstand a wind force of at least 40 miles per hour under conditions which include at least 3/4" of ice in accordance with standards established in Section 222-G by the Telecommunications Industry Association (TIA) and the Electronics Industry Association (EIA). The operator of a Small Cell Antenna Structure shall provide the Village/City with a structural evaluation containing a recommendation that the proposed Small Cell Antenna Structure passes the TIA/EIA Section 222-G standards described above. The evaluation shall be prepared by a licensed professional structural engineer. (c) Color. The Small Cell Antenna Structure and related equipment, shall be a color that blends with the surroundings of the pole on which it is mounted and use non -reflective materials which blend with the materials and colors of the surrounding area and structures. Any wiring on the pole must be covered with an appropriate cover or cable shield. Packet Pg. 56 2.5.c DRAFT -9- (d) Stealth Facility. A Stealth Facility is that which is designed to visually blend into the surrounding environment by, among other things, architecturally integrating into an existing or proposed structure or otherwise using design elements to conceal antennas, antenna supports, poles, equipment, cabinets, equipment housing and enclosure; and related above -ground accessory equipment. A Small Cell Antenna Structure, including any ground -mounted equipment cabinets, shall be designed as a Stealth Facility and shall, to the extent possible, substantially blend into the surrounding environment. (e) Antenna Panel Covering. The operator of a Small Cell Antenna Structure shall design the proposed structure to include a radome, cap, or other antenna panel covering or shielding. The panel covering, shielding, cap, or radome shall be of a color that blends in with the surroundings of the pole on which it is mounted. (f) Wiring and Cabling_ Wires and cables connecting the antenna panel and appurtenances serving the Small Cell Antenna Structure shall be installed in accordance with the version of the National Electrical Code and National Electrical Safety Code adopted by the Village/City and in force at the time of the installation of the Small Cell Antenna Structure. Packet Pg. 57 2.5.c DRAFT -10- In no event shall wiring and cabling serving the Small Cell Antenna Structure interfere with any wiring or cabling installed by a cable television or video service operator, electric utility, or telephone utility. (g) Guy Wires Restricted. No guy or other support wires shall be used in connection with a Small Cell Antenna Structure or its related equipment unless the Small Cell Antenna Structure is proposed to be attached to an existing utility pole that incorporated guy wires prior to the date that an Applicant has applied for a Wireless Facility Permit. (h) Pole Extensions. Extensions to utility poles utilized for the purpose of connecting an antenna panel and its appurtenances and cabling shall be fabricated from metal having a degree of strength capable of supporting the antenna panel and any related appurtenances and cabling, and capable of withstanding wind forces and ice loads in accordance with TWEIA Section 222-G standards. An extension shall be securely bound to the pole in accordance with applicable engineering standards for the design and attachment of extensions to utility poles. No extensions fabricated from wood shall be permitted. Packet Pg. 58 2.5.c DRAFT -11- (i) Grounding. The Small Cell Antenna Structure, including any ground -mounted equipment, shall be grounded in accordance with the requirements of the most current edition of the National Electrical Code adopted by the Village/City regarding grounding of wireless facilities. 0) Co -Location. Unless otherwise authorized by the Village/City for good cause shown, a Small Cell Antenna Structure shall be designed for the use of a single Personal Wireless Services operator. This Subsection shall not preclude or prohibit co -location of Personal Wireless Services facilities on towers that exceed fifty (50) feet in height. (k) Signage. Other than warning or notification signs required by federal law or regulations, a Small Cell Antenna Structure shall not have signs installed thereon. (1) Other Codes and Standards. The Small Cell Antenna Structure, including any ground -mounted equipment, shall satisfy such other design and construction standards as are required by all applicable local, state, and federal ordinances, codes, and regulations to ensure safety, proper construction, and maintenance of the Small Cell Antenna, its support structure, and related equipment. Packet Pg. 59 2.5.c DRAFT -12- 6. Separation and Setback Requirements. A Small Cell Antenna Structure and any related equipment attached to a Monopole or utility pole shall be located no closer than one hundred (100) feet to any residential building, and no closer than five hundred feet (500) feet from any Personal Wireless Services Facility, and no closer than one thousand (1000) feet from schools, Parks, and Playgrounds as measured from the closest point of the Small Cell Antenna Structure to the applicable property line. A lesser setback may be allowed if an Applicant establishes that the lesser setback is necessary to close a significant gap in the Applicant's Personal Communication Service and the proposed Small Cell Antenna Structure is the least intrusive means to do so, and unless expressly authorized in writing by the Village Manager/City Manager/Village Administrator/City Administrator or a designee. No Small Cell Antenna Structure shall be erected or maintained closer to any street than the wall of the principal building to which it is accessory that is nearest to such street. Packet Pg. 60 2.5.c DRAFT -13- 7. Architectural Review. Any location of a Small Cell Antenna Structure, as a Permitted Use or pursuant to a Special Use Permit, and any proposed screening or fencing shall be subject to architectural review to confirm that such antenna, support structure, or Personal Wireless Services Facility, meets or exceeds the standards set forth in this Ordinance and other Village/City regulations, and otherwise complies with the provisions of the application process for the approval of such antenna, support structure, or Personal Wireless Services Facility.The Village/City may retain an independent, qualified consultant to review any application for a permit for a Small Cell Antenna Structure or modification to an existing Personal Wireless Communications Facility. The review is intended to be a review of technical aspects of the proposed facility or modification of an existing facility and may address any or all of the following: (a) Compliance with applicable RF emission standards and determination based upon FCC Office of Engineering and Technology Bulletin 65 (FCC OET Bulletin 65) as amended from time to time; (b) Whether the proposed facility is necessary to close a significant gap in coverage and is the least intrusive means of doing so; (c) The accuracy and completeness of submissions; (d) Technical demonstration of the unavailability of alternative sites or configurations and/or coverage analysis; Packet Pg. 61 2.5.c DRAFT -14- (e) The applicability of analysis techniques and methodologies; (f) The viability of alternative sites and alternative designs; and (g) Any other specific technical issues designated by the Village/City. The cost of the review shall be paid by the Applicant through a deposit estimated to cover the cost of the independent review, as established by the Community Development Director. Screening. In order to minimize the visibility of Small Cell Antenna Structures and related equipment, a natural screen or fence, to be subject to Architectural Review as described hereinabove, shall comply with all Village/City regulations, and be erected if not already provided, so as to provide the maximum achievable screening as determined by the City/Village. In lieu of the provision of a natural screen or fence, the Village/City may charge the operator of a Small Cell Antenna Structure a fee of dollars ($ ) for the acquisition of landscaping materials to be used for the creation of a natural screen or fence pursuant to the requirements of this Ordinance. Packet Pg. 62 2.5.c DRAFT -15- Appropriate landscaping shall be located and maintained for any Small Cell Antenna Structure and related equipment, including Above Ground Mounted Facilities, consistent with other applicable regulations, (other than a roof -mounted Small Cell Antenna Structure) and each lot line of the property on which it is located in order to provide the maximum reasonably achievable screening, as determined by the Village/City, of the Small Cell Antenna Structure from view from adjoining properties and public or private streets. Notwithstanding the foregoing, no such screening is required to extend more than nine (9) feet in height. Alternatively, for a roof -mounted Small Cell Antenna Structure, the maximum reasonably achievable screening shall be provided between such Small Cell Antenna Facility and the view from adjoining properties and public or private streets. 9. Licenses and Permits. The operator of a Small Cell Antenna Structure and related facilities shall submit to the Village/City copies of all licenses and permits required by other agencies and governments with jurisdiction over the design, construction, location, and operation of such antenna and shall maintain such licenses and permits and provide evidence of renewal or extension thereof when granted. Packet Pg. 63 2.5.c DRAFT -16- In addition, no Small Cell Antenna Structure or Personal Wireless Services Facility may be installed, nor may any antenna support structure or Personal Wireless Services Facility be constructed or altered, without a building permit issued therefore by the Village/City. The operator of a Small Cell Antenna Structure and its contractors and subcontractors shall provide the Village/City with proof of insurance in accordance with the requirements of the Village/City prior to the issuance of a building permit. 10. Abandonment and Removal. Any Small Cell Antenna Structure and related equipment located in a Village/City or State right-of-way or on Village/City property that is not operated for a continuous period of twelve (12) months or for which the annual administrative fee is not paid within a twelve (12) month period shall be considered abandoned, and the owner of such Small Cell Antenna Structure shall remove same from within ninety (90) days of receipt of written notice from the Village/City notifying the owner of such abandonment. Such notice shall be sent by certified or registered mail, return receipt requested, by the Village/City to such owner at the last known address of such owner. If such Antenna, Antenna Structure or facility is not removed within said ninety (90) days, the Village/City shall remove such Antenna, Antenna Structure, or facility at the owner's expense and file a lien against the real estate for the cost of removal or such other action as provided by law. Packet Pg. 64 2.5.c DRAFT -17- 11. Governmental Antennas. The foregoing regulations shall not apply to Small Cell Antenna Structures and related equipment owned or maintained by the Village/City, or to Small Cell Antenna Structures owned or maintained by other governmental bodies to the extent authorized by a Special Use Permit. B. Equipment Enclosures; Ground -Mounted Appurtenances and Above Ground Service Facilities: All electronic, RF, and other related equipment and appurtenances necessary for the operation of any Personal Wireless Services Facility shall fully comply with all applicable codes and ordinances governing equipment enclosures. Ground -mounted appurtenances, including Above Ground Service Facilities, when permitted within a right-of-way, shall be provided with a vegetation -free area extending three (3) feet in width beyond the appurtenance in all directions. The vegetation -free area may be provided by an extension of the mounting pad, or by heavy duty plastic or similar material approved by the Village/City Manager. The Village/City shall charge the operator of any Personal Wireless Services Facility a fee of dollars ($ ) for acquisition of landscaping materials by the Village/City to be used for the creation of a natural screen or fence pursuant to the requirements of this Ordinance. The Village/City Manager may direct the installation of shrubbery surrounding the appurtenance in place of a vegetation -free area. The housing for ground -mounted appurtenances shall be painted in a color to blend with the surroundings. Packet Pg. 65 2.5.c DRAFT -18- At no time shall equipment noise, including air conditioning units, from any Small Cell Antenna Structure or related equipment be audible at the property line of any or residentially -zoned or residentially improved property. C. Administration Fee. The Village/City shall require the payment of an annual Administration Fee of dollars ($ ) to cover the costs of Village/City staff time, including any contractors, for maintaining landscaping, rights -of -way, and any other public property surrounding a Small Cell Antenna Structure and Above Ground Service Facility. Section 5. 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 , 2014. AYES: NAYS: ABSENT: APPROVED THIS DAY OF , 2014. Mayor/Village President ATTEST: City/Village Clerk Packet Pg. 66 2.6 Information Item : 2016 Wage Pool for Non -Represented Employees ........................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................ Recommendation of Action pp ll Staff recommends discussion. The memo with background information for the proposed 2016 wage pool will be sent to the Village Board on Monday. Trustee Liaison Village President Sussman Thursday, September 24, 2015 Staff Contact Arthur a Malinowski, Human Resources Updated: 9/18/2015 2:01 PM Page 1 Packet Pg. 67 2.7 Information Item : 2014 Audit Management Letter ........................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................ Recommendation of Action pp ll Staff recommends discussion. The attached memo states the findings of the 2014 annual audit of the Village of Buffalo Grove and the Finance Department's responses. The management letter, from Baker Tilly Virchow Krause, to those charged with governance of the Village is included in its entirety. ATTACHMENTS: • FY 2014 Audit Combined Memo and Mgmt letter (PDF) Trustee Liaison Staff Contact Board Member Johnson Andrew Brown, Finance Thursday, September 24, 2015 Updated: 9/18/2015 9:19 AM Page 1 Packet Pg. 68 2.7.a Oflll,1 Cf OF 0m )FFALO GROVE TO: Dane C. Bragg - Village Manager Scott Anderson - Director of Finance and General Services Joe Lightcap — Baker Tilly Virchow Krause LLP FROM: Andrew Brown - Deputy Director of Finance DATE: September 16, 2015 im RE: Management Responses to 2014 Baker Tilly Management Letter Below are the findings of Baker Tilly Virchow Krause LLP in the 2014 fiscal year audit and staff responses. All responses take into account current staffing levels and weigh the cost/benefit relationship of increasing the staff to address auditor findings. The draft management letter from Baker Tilly Virchow Krause LLP is attached. The Finance Department does not anticipate any changes to this letter as we have reviewed it in its entirety and do not intend on rebutting any of the matters that have been identified or reported on. The full management report from Baker Tilly Virchow Krause is attached. Material Weakness Finding INTERNAL CONTROL OVER FINANCIAL REPORTING The Village's internal controls over financial reporting should be designed to prepare financial statements in accordance with United States Generally Accepted Accounting Principles (GAAP). Material journal entries as a result of audit procedures in the current year or subsequent discovery of material financial reporting errors and the required correction of previously issued financial statements indicates thatthere is a material weakness in the Village's financial reporting system. Our audit procedures in the current year resulted in material entries to the Village's trial balances in order to present financial statements that were reasonable in all material respects. Adjustments were necessary to correct beginning fund balances by recording prior year audit entries, adjustments to close out the Village's self-insurance fund, and adjustments to properly reflect revenue and expenditures related to state shared roadwork projects. Through our review of internal controls, we noted that there is no documented review of the accrual preparation and final trial balances before they are presented to the auditors. We recommended that the Village implement internal controls that encompass a secondary review of year-end accrual adjustments and final trial balances by someone other than the original preparer of the documents. Packet Pg. 69 2.7.a Response At the conclusion of the audit, the Accountant and Deputy Director of Finance will review all proposed audit adjustments with the audit team to evaluate the impact on the financial position of the Village. Once the adjustments are agreed upon, the Finance Director will authorize the final posting to close the fiscal year. Several adjustments were made to close the Self Insurance Fund. Staff maintained two ledgers to account for Health Insurance. The first ledger accounted for all run out claims under the self insured program that terminated in 2012. The second ledger accounted for activity in the IPBC Health Insurance Pool. Although the revenues and expenditures were collectively reported, the auditors requested that the Self Insurance Fund be closed. The Finance Department will also require more detailed reporting from public works, specifically as it pertains to intergovernmental projects. These measures will allow the Village to assess all recommendations made by the audit staff and ensure the accounting treatment of all transactions are reviewed. SIGNIFICANT DEFICIENCIES Finding SEGREGATION OF DUTIES In an ideal situation, the Village would segregate the duties of authorization, bookkeeping, and custody amongst different members of the finance department. During our review of your internal control procedures, we noted the following items that collectively result in a significant deficiency in internal controls. 1. Persons processing payroll should be separate from the following processes: entering new employees into the payroll system, payroll entry (pay rates and deductions), check signing, and check distribution. While the Village does have monitoring controls over the payroll process,the Village should be aware that the control activities and access levels currently in place allowfor mistakes or errors to occur without detection in a timely manner. 2. Persons processing accounts payable should be separate from those ordering and receiving goods and run checks. While the Village does have monitoring controls over the accounts payable process these duties should be segregated to further prevent an employee from using Village funds to make inappropriate purchases. Packet Pg. 70 2.7.a As these procedural controls do not exist, you should rely more heavily on your direct knowledge of the Village's operations and day to day contact with employees to control and safeguard assets. This may continue to be an acceptable method for you to use for many years to come. The purpose of this portion of our comments is to meet our professional responsibility of communicating possible significant deficiencies to you and to keep you aware of the importance of having good people and maintaining close contact with them and the operation of the Village. This situation still necessitates an increased amount of management involvement in the day-to-day operations of the system. This is not unusual in villages of your size, but management should continueto be aware of these conditions and realize that the concentration of duties and responsibilities in a limited number of individuals is not desirable from a control point of view. We recommend that management and the Board continue their efforts to establish procedures which are designed to improve controls. Response The Village of Buffalo Grove takes segregation of duties seriously and, given the limited amount of staffing, does its best to incorporate appropriate separation and oversight of all processes. The significant deficiencies will be addressed in the same order as identified by Baker Tilly: 1. Payroll Processes — When a new employee is employed by the Village of Buffalo Grove the Human Resources Department forwards the new employee's information to the payroll clerk for processing. The payroll clerk will send a confirmation email back to the Human Resources Department that the task has been completed. At that time, the Human Resources Department will review in the system the information to confirm accuracy. On a monthly basis the Human Resources Department will audit payroll distributions through random selections. There will be a graduated scale of how many records are selected, and how many additional records are to be selected based on the number of exceptions found in the sample taken. It is time and cost effective for the Village of Buffalo Grove to print the signatures on the payroll checks. All Village payrolls are approved by the Village Board. The Finance Department will randomly select a payroll period to distribute checks individually to employees to test the check distribution process. This may be done multiple times a year, but would be an inefficient use of staff time to distribute checks individually on a regular basis. In an effort to oversee the direct deposit function we will ask employees to verify the bank account information for direct deposit during the year. Packet Pg. 71 2.7.a 2. Accounts Payable Processes - The Village of Buffalo Grove has implemented a multi -layer approval process for all purchase orders and invoices. This process requires multiple approvals for a purchase order and also allows the accounts payable clerk to over see the final amount per the approval at the invoice level. Once approved the item is included on the warrant to go before the Village Board. After Board approval and the checks are issued and will be prepared for mailed by a staff member other than the Account Payable Clerk. The accountant will also process the ACH direct deposit to vendors in lieu of checks. In closing the Village Board, Village Manager, and Finance Department have regular staff meetings, at least once a month, where all items for the board meeting agenda are discussed as well as any issues or updates on department activities, issues with staff, policy and procedures. It is the intention of the Village of Buffalo Grove to maintain open lines of communication and develop efficient and effective policies and procedures with all departments and employees and through these efforts improve process and controls. Finding GOLF COURSE REVENUE COLLECTIONS The Golf Director has the authority to adjust rates in order to attract the most customers to thecourses and maximize profits. While this ability can be beneficial from an operational standpoint, from acontrol perspective there is a greater risk that the rates being charged are different than the authorized rates. We recommend that the Golf Director perform documented reviews of the rates charged to ensure they agree to authorized rates and that changes in authorized rates be sent to the Finance Departmentto assist in their review of monthly budget to actual information. Response The Finance department, through the budget process, develops an approved rate sheet with the Golf Director. It is approved annually as a part of the budget. If the Golf Director wishes amend the rate sheet permanently a request will be made in writing to the Finance Department. Rate changes must be signed off by the Finance Director, or his designee, before the rate can be advertised or implemented. The Golf Director is allowed to use the open rate at his discretion during the fiscal year so that accommodations can be made for discounting related to inclement weather and/or waning daylight. Packet Pg. 72 2.7.a VILLAGE OF BUFFALO GROVE COMMUNICATIONS TO THOSE CHARGED WITH GOVERNANCE AND MANAGEMENT (Including Memorandum on Accounting Procedures, Internal Controls and Other Matters) As of and for the Year Ended December 31, 2014 Packet Pg. 73 2.7.a VILLAGE OF BUFFALO GROVE INDEX Required Communication of Internal Control Related Matters Identified in the Audit to Those Charged with Governance Internal Control over Financial Reporting Segregation of Duties Golf Course Revenue Collections Other Communications with Those Charged with Governance Two Way Communications Regarding Your Audit Communication of Informational Points to Management that are not Material Weaknesses or Significant Deficiencies Required Communication to those Charged with Governance Management Representations Page No. 2-3 3 4-5 6-7 8-11 Packet Pg. 74 2.7.a REQUIRED COMMUNICATION OF INTERNAL CONTROL RELATED MATTERS IDENTIFIED IN THE AUDIT TO THOSE CHARGED WITH GOVERNANCE Packet Pg. 75 -Awp� BAKER TILLY BikerTilly Virchow mause,un Oak Brook, IL 60523-3389 mazm99wsla/ Fax mumnoo39 Tothe Village President and Board ofTrustees Village of Buffalo Grove Buffalo Grove, Illinois hnplanning and performing our audit ofthe financial statements of the Village ofBuffalo Grove (the nVi||age)en of and for the year ended December 31, 2014, in accordance with auditing standards generally accepted in the United States of America, we considered its internal control over financial reporting (internal control) as a basis for designing our auditing procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of its internal control. Accordingly, we do not express an opinion on the effectiveness of its internal control. Our consideration ofinternal control was for the limited purpose described inthe preceding paragraph and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies and, therefon*, material weaknesses or significant deficiencies, may exist that were not identified. However, as discussed below, we identified a certain deficiency in internal control that we consider to be a material weakness and other deficiencies that vveconsider tobe significant deficiencies, Adeficiency ininternal control exists when the design oropenaMonofaoontro does not allow management or e0p|oyees, in the normal course ofperforming their assigned funcUons, to prevent, or detect and correct nniaabahsmenta on m timely basis. A material weakness is a deficiency or combination of deficiencies in internal control, such that there isareasonable possibility that omaterial misstatement ufthe entity's financial statements will not be prevented, or detected and oorneched, on a dnne|y basis. VVaconsider the following deficiency in the Village mfBuffalo Grove^einternal control to be a mabaria|vveakneaa� > Internal Control Over Financial Reporting Aeignifioant deficiency is deficiency,oracombination mfdeficiencies, |ninternal control that isless severe than a material weakness, yet important enough to merit attention by those charged with governance. We consider the following deficiencies in the Village's internal control to besignificant deficiencies: * Segregation ofDuties * Golf Course Revenue Collections This oommunicetionisintended solely for the information and use ofmanagement, the Board pfTrustees, and others within the organization and is not intended to be, and should not be, used by anyone other than these V0, Oak Brook, UUmoim\/ July 3D.2O15 BAKER, TILLY Page /mzcmmxTIOwAc 2.7.a MATERIAL WEAKNESS INTERNAL CONTROL OVER FINANCIAL REPORTING The Village's internal controls over financial reporting should be designed to prepare financial statements in accordance with United States Generally Accepted Accounting Principles (GAAP). Material journal entries as a result of audit procedures in the current year or subsequent discovery of material financial reporting errors and the required correction of previously issued financial statements indicates that there is a material weakness in the Village's financial reporting system. Our audit procedures in the current year resulted in material entries to the Village's trial balances in order to present financial statements that were reasonable in all material respects. Adjustments were necessary to correct beginning fund balances by recording prior year audit entries, adjustments to close out the Village's self-insurance fund, and adjustments to properly reflect revenue and expenditures related to state shared roadwork projects. Through our review of internal controls, we noted that there is no documented review of the accrual preparation and final trial balances before they are presented to the auditors. We recommended that the Village implement internal controls that encompass a secondary review of year-end accrual adjustments and final trial balances by someone other than the original preparer of the documents. SIGNIFICANT DEFICIENCIES As you are likely aware, your current year audit included an evaluation of your accounting process and controls over various transaction cycles. As a result of this work, we are able to provide to you information about where your controls over transactions either do not exist, or could be improved. Below is a list of potential controls that should be in place to achieve a higher level of reliability that errors or irregularities in your processes would be discovered by your staff. Our procedures identified that these controls do not currently exist for the Village of Buffalo Grove. Keep in mind that some of these controls may not be practical due to your staff size or other reasons. However, we are required to communicate these to you. In addition, as you make changes within the Village, and we continue to rotate audit procedures, more controls of this kind may be communicated to you. SEGREGATION OF DUTIES In an ideal situation, the Village would segregate the duties of authorization, bookkeeping, and custody amongst different members of the finance department. During our review of your internal control procedures, we noted the following items that collectively result in a significant deficiency in internal controls. 1. Persons processing payroll should be separate from the following processes: entering new employees into the payroll system, payroll entry (pay rates and deductions), check signing, and check distribution. While the Village does have monitoring controls over the payroll process, the Village should be aware that the control activities and access levels currently in place allow for mistakes or errors to occur without detection in a timely manner. 2. Persons processing accounts payable should be separate from those ordering and receiving goods and run checks. While the Village does have monitoring controls over the accounts payable process these duties should be segregated to further prevent an employee from using Village funds to make inappropriate purchases. Page 2 Packet Pg. 77 2.7.a SIGNIFICANT DEFICIENCIES (cont.) As these procedural controls do not exist, you should rely more heavily on your direct knowledge of the Village's operations and day to day contact with employees to control and safeguard assets. This may continue to be an acceptable method for you to use for many years to come. The purpose of this portion of our comments is to meet our professional responsibility of communicating possible significant deficiencies to you and to keep you aware of the importance of having good people and maintaining close contact with them and the operation of the Village. This situation still necessitates an increased amount of management involvement in the day-to-day operations of the system. This is not unusual in villages of your size, but management should continue to be aware of these conditions and realize that the concentration of duties and responsibilities in a limited number of individuals is not desirable from a control point of view. We recommend that management and the Board continue their efforts to establish procedures which are designed to improve controls. GOLF COURSE REVENUE COLLECTIONS The Golf Director has the authority to adjust rates in order to attract the most customers to the courses and maximize profits. While this ability can be beneficial from an operational standpoint, from a control perspective there is a greater risk that the rates being charged are different than the authorized rates. We recommend that the Golf Director perform documented reviews of the rates charged to ensure they agree to authorized rates and that changes in authorized rates be sent to the Finance Department to assist in their review of monthly budget to actual information. Page 3 Packet Pg. 78 2.7.a OTHER COMMUNICATIONS WITH THOSE CHARGED WITH GOVERNANCE co O M L E C� C O E C� G d �c E 0 V rt+ 3 Q T O N LL r� C G1 E L V r� r+ Q Packet Pg. 79 2.7.a TWO WAY COMMUNICATIONS REGARDING YOUR AUDIT As part of our audit of your financial statements, we are providing communications to you throughout the audit process. Auditing requirements provide for two-way communication and are important in assisting the auditor and you with more information relevant to the audit. As this past audit is concluded, we use what we have learned to begin the planning process for next year's audit. It is important that you understand the following points about the scope and timing of our next audit: a. We address the significant risks of material misstatement, whether due to fraud or error, through our detailed audit procedures. b. We will obtain an understanding of the five components of internal control sufficient to assess the risk of material misstatement of the financial statements whether due to error or fraud, and to design the nature, timing, and extent of further audit procedures. We will obtain a sufficient understanding by performing risk assessment procedures to evaluate the design of controls relevant to an audit of financial statements and to determine whether they have been implemented. We will use such knowledge to: > Identify types of potential misstatements. > Consider factors that affect the risks of material misstatement. > Design tests of controls, when applicable, and substantive procedures. We will not express an opinion on the effectiveness of internal control over financial reporting or compliance with laws, regulations, and provisions of contracts or grant programs. c. The concept of materiality recognizes that some matters, either individually or in the aggregate, are important for fair presentation of financial statements in conformity with generally accepted accounting principles while other matters are not important. In performing the audit, we are concerned with matters that, either individually or in the aggregate, could be material to the financial statements. Our responsibility is to plan and perform the audit to obtain reasonable assurance that material misstatements, whether caused by errors or fraud, are detected. d. Your financial statements contain components, as defined by auditing standards generally accepted in the United States of America, which we also audit. e. In connection with our audit, we intend to place reliance on the audit of the financial statements of the Northwest Water Commission, a proprietary joint venture of the Village of Buffalo Grove, as of April 30, 2015 and for the year then ended completed by Sikich, LLP. All necessary conditions will be met to allow us to make reference to the component auditors. We are very interested in your views regarding certain matters. Those matters are listed here: a. We typically will communicate with your top level of management unless you tell us otherwise. b. We understand that the Village Board has the responsibility to oversee the strategic direction of your organization, as well as the overall accountability of the entity. Management has the responsibility for achieving the objectives of the entity. c. We need to know your views about your organization's objectives and strategies, and the related business risks that may result in material misstatements. d. Which matters do you consider warrant particular attention during the audit, and are there any areas where you request additional procedures to be undertaken? e. Have you had any significant communications with regulators or grantor agencies? f. Are there other matters that you believe are relevant to the audit of the financial statements? Page 4 Packet Pg. 80 2.7.a TWO WAY COMMUNICATIONS REGARDING YOUR AUDIT (cont.) Also, is there anything that we need to know about the attitudes, awareness, and actions of the Village concerning: a. The Village's internal control and its importance in the entity, including how those charged with governance oversee the effectiveness of internal control? b. The detection or the possibility of fraud? We also need to know if you have taken actions in response to developments in financial reporting, laws, accounting standards, governance practices, or other related matters, or in response to previous communications with us. With regard to the timing of our audit, here is some general information. If necessary, we may do preliminary financial audit work during January. Our final financial fieldwork is scheduled during the later winter, early spring to best coincide with your readiness and report deadlines. After fieldwork, we wrap up our financial audit procedures at our office and issue drafts of our report for managements' review. Final copies of our report and other communications are issued after approval by your staff. This is typically 6- 12 weeks after final fieldwork, but may vary depending on a number of factors. Keep in mind that while this communication may assist us with planning the scope and timing of the audit, it does not change the auditor's sole responsibility to determine the overall audit strategy and the audit plan, including the nature, timing, and extent of procedures necessary to obtain sufficient appropriate audit evidence. We realize that you may have questions on what this all means, or wish to provide other feedback. We welcome the opportunity to hear from you. Page 5 Packet Pg. 81 2.7.a COMMUNICATION OF INFORMATIONAL POINTS TO MANAGEMENT THAT ARE NOT MATERIAL WEAKNESSES OR SIGNIFICANT DEFICIENCIES Packet Pg. 82 2.7.a PROFESSIONAL STANDARDS UPDATE The following is a schedule of GASB projects: Task or Event Effective Date Impact GASB No. 68 — December 31, 2015 The Village belongs to the Illinois Municipal Accounting and Retirement Fund (IMRF) and has the Police and Financial Reporting for Firefighters' Pension plans. IMRF is an agent, Pensions multiple -employer, defined -benefit, public employee retirement system. IMRF has represented that it will provide the information necessary for the employers to implement GASB No. 68. The Village's Police and Firefighters' Pension plans are single employer, defined -benefit retirement systems. The Village will need to calculate the information necessary to report the net pension liability/ asset for the Police and Firefighters' Pension plans. The Village's net pension liability / asset will be reported in its government -wide financial statements. The footnote disclosures will have significant chan es. GASB No. 71— December 31, 2015 The requirements of this Statement will eliminate the Pension Transition for source of a potential significant understatement of Contributions Made restated beginning net position and expense in the Subsequent to the first year of implementation of GASB No. 68 in the Measurement Date — accrual -basis financial statements of the Village. This an amendment of will be addressed along with the implementation of GASB No. 68 GASB No. 68. GASB No. 72 — Fair December 31, 2016 This standard defines fair value the methods used to Value Measurement measure fair value and the applicability of fair value and Application guidance to investments and other items currently reported at fair value, and the necessary disclosures about fair value. GASB 74 — Financial Effective date for The standard modifies to the existing standards of Reporting for plans — December accounting and financial reporting for other Postemployment 31, 2017; Effective postemployment benefits (OPEB) by state and local Benefits Plans Other date for employers — governmental employers and by the trustees, Than Pension Plans & December 31, 2018 administrators, or sponsors of OPEB plans. The GASB 75—Accounting standards require similar accounting and reporting as and Financial Reporting GASB 67 and GASB 68 for pensions. for Postemployment Benefits Other Than Pensions GASB No. 76 —The December 31, 2016 Hierarchy of Generally Accepted Accounting Principles for State and Local Governments GASB No. 77 —Tax December 31, 2016 Abatement Disclosures This standard identifies — in the context of the current governmental financial reporting environment — the sources of accounting principles used to prepare financial statements of state and local governmental entities in conformity with generally accepted accounting principles (GAAP) and the framework for selecting those principles. This standard provides the guidance necessary for note disclosures related to tax abatement programs. This would impact the Village only to the extent it enters into such transactions. Page 6 Packet Pg. 83 2.7.a PROFESSIONAL STANDARDS UPDATE (cont.) Task or Event Effective Date Impact Current Agenda The GASB Board is This project is to assess what additional guidance Project: Fiduciary expected to issue an should be developed regarding the application of the Responsibilities Exposure Draft in fiduciary responsibility criteria in deciding whether and October 2015 how governments should report fiduciary activities in their financial reports. Current Agenda The GASB Board is The objective of this project is to re-examine issues Project: Leases scheduled to issue associated with lease accounting, consider an Exposure Draft in improvements to existing guidance, and provide a basis January 2016 for the GASB Board to consider whether the current guidance is appropriate based on the definitions of assets and liabilities. Current Agenda The GASB Board The objective of this project would be improve financial Project: Blending issued an Exposure reporting by addressing issues related to inconsistent Requirements for Draft in June 2015 presentation of component units in financial reporting of Certain Business -Type governments engaged only in business -type activities. Activities Current Agenda The GASB Board The objective of this project is to improve financial Project: External issued an Exposure reporting by external investment pools and pool Investment Pools Draft in June 2015 participants that report positions in investment pools. Current Agenda The GASB Board is The objective of this project is to determine what Project: Irrevocable expected to issue an accounting and financial reporting guidance, if any, Charitable Trusts Exposure Draft in should be established for irrevocable charitable trusts May 2015 held for the benefit of qovernmental entities. The GASB has two other projects which are on hold. They include the conceptual framework for recognition and economic condition reporting — financial projections. The GASB revisits GASB standards ten (10) years after issuance. The GASB is currently revisiting GASB Statement No. 34, Basic Financial Statements — and Management's Discussion and Analysis for State and Local Governments, as well as reporting model -related pronouncements including Statements Nos. 37, 41, and No. 46 and Interpretation No. 6, Recognition and Measurement of Certain Liabilities and Expenditures in Governmental Fund Financial Statements. The GASB has indicated that they are revisiting the following major provisions of these standards: management's discussion and analysis, government -wide financial statements, fund financial statements, capital asset reporting, budgetary comparisons, special purpose government reporting, and related notes to financial statements. In addition, the GASB is revisiting debt extinguishments, which includes a reexamination of GASB Statement Nos. 7, 23, and 62. We will share updates with you as they become available. Full lists of projects, as well as many resources, are available on GASB's website which is located at www.gasb.org. Page 7 Packet Pg. 84 2.7.a REQUIRED COMMUNICATIONS BY THE AUDITOR WITH THOSE CHARGED WITH GOVERNANCE Packet Pg. 85 2.7.a �AKER TILLY Baker Tilly Virchow Krause, LLP 1301 W 22nd St, Ste 400 Oak Brook, IL 60523-3389 tel 630 990 3131 fax 630 990 0039 bakertilly.com To the Village President and Board of Trustees Village of Buffalo Grove Buffalo Grove, Illinois Thank you for using Baker Tilly Virchow Krause, LLP as your auditor. We have completed our audit of the financial statements of the Village of Buffalo Grove for the year ended December 31, 2014 and for the year then ended and have issued our report thereon dated July 30, 2015. This letter presents communications required by our professional standards. OUR RESPONSIBILITY UNDER AUDITING STANDARDS GENERALLY ACCEPTED IN THE UNITED STATES OFAMERICA The objective of a financial statement audit is the expression of an opinion on the financial statements. We conducted the audit in accordance with auditing standards generally accepted in the United States of America. These standards require that we plan and perform our audit to obtain reasonable, rather than absolute, assurance about whether the financial statements prepared by management with your oversight are free of material misstatement, whether caused by error or fraud. Our audit included examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. Our audit does not relieve management or those charged with governance of their responsibilities. As part of the audit we obtained an understanding of the entity and its environment, including internal control, sufficient to assess the risks of material misstatement of the financial statements and to design the nature, timing and extent of further audit procedures. The audit was not designed to provide assurance on internal control or to identify deficiencies in internal control. As part of obtaining reasonable assurance about whether the financial statements are free of material misstatement, we performed tests of Village of Buffalo Grove's compliance with certain provisions of laws, regulations, contracts, and grants. However, the objective of our tests was not to provide an opinion on compliance with such provisions. OTHER INFORMATION IN DOCUMENTS CONTAINING AUDITED FINANCIAL STATEMENTS Our responsibility does not extend beyond the audited financial statements identified in this report. We do not have any obligation to and have not performed any procedures to corroborate other information contained in client prepared documents, such as official statements related to debt issues. PLANNED SCOPE AND TIMING OF THE AUDIT We performed the audit according to the planned scope and timing previously communicated to you in our letter about planning matters dated June 24, 2014. an inAepenAent memger of BAKER TILLY Page 8 INTERNATIONAL Packet Pg. 86 2.7.a REQUIRED COMMUNICATION TO THOSE CHARGED WITH GOVERNANCE (cont.) QUALITATIVE ASPECTS OF THE ENTITY'S SIGNIFICANT ACCOUNTING PRACTICES Accounting Policies Management has the responsibility for selection and use of appropriate accounting policies. In accordance with the terms of our engagement letter, we will advise management about the appropriateness of accounting policies and their application. The significant accounting policies used by the Village are described in Note I to the financial statements. As described in Note I to the financial statements, the Village changed accounting policies related to financial reporting for pension plans by adopting Governmental Accounting Standards (GASB) Statement No. 67, Financial Reporting for Pension Plans — an Amendment of GASB Statement No. 25 in 2014. We noted no transactions entered into by the Village of Buffalo Grove during the year that were both significant and unusual, and of which, under professional standards, we are required to inform you, or transactions for which there is a lack of authoritative guidance or consensus. Accounting Estimates Accounting estimates are an integral part of the financial statements prepared by management and are based on management's knowledge and experience about past and current events and assumptions about future events. Certain accounting estimates are particularly sensitive because of their significance to the financial statements and because of the possibility that future events affecting them may differ significantly from those expected. The most sensitive estimate affecting the financial statements was: Management's estimate of the Other Post -Employment Benefits (OPEB) and Net Pension Obligation (NPO) liabilities is based on information provided to actuaries contracted by the Village We evaluated the key factors and assumptions used to develop the liabilities in determining that it is reasonable in relation to the financial statements taken as a whole. Financial Statement Disclosures The disclosures in the financial statements are neutral, consistent, and clear. DIFFICULTIES ENCOUNTERED IN PERFORMING THE AUDIT We encountered no significant difficulties in dealing with management in performing our audit. CORRECTED AND UNCORRECTED MISSTATEMENTS Professional standards require us to accumulate all known and likely misstatement identified during the audit, other than those that are trivial, and communicate them to the appropriate level of management. A summary of uncorrected financial statement misstatements follows this required communication. Management has determined that its effects are immaterial, both individually and in the aggregate, to the financial statements taken as a whole. In addition, our audit procedures in the current year resulted in significant entries to correct beginning fund balances by recording prior year audit entries, adjustments to close out the Village's self-insurance fund, and adjustments to properly reflect revenue and expenditures related to state shared roadwork projects. Page 9 Packet Pg. 87 2.7.a REQUIRED COMMUNICATION TO THOSE CHARGED WITH GOVERNANCE (cont.) DISAGREEMENTS WITH MANAGEMENT For purposes of this letter, professional standards define a disagreement with management as a matter, whether or not resolved to our satisfaction, concerning a financial accounting, reporting, or auditing matter that could be significant to the financial statements or the auditor's report. We are pleased to report that no such disagreements arose during the course of our audit. CONSULTATIONS WITH OTHER INDEPENDENT ACCOUNTANTS In some cases, management may decide to consult with other accountants about auditing and accounting matters. If a consultation involves application of an accounting principle to the governmental unit's financial statements or a determination of the type of auditors' opinion that may be expressed on those statements, our professional standards require the consulting accountant to check with us to determine that the consultant has all the relevant facts. To our knowledge, there were no such consultations with other accountants. MANAGEMENT REPRESENTATIONS We have requested certain representations from management that are included in the management representation letter. This letter follows this required communication. INDEPENDENCE We are not aware of any relationships between Baker Tilly Virchow Krause, LLP and the Village of Buffalo Grove that, in our professional judgment, may reasonably be thought to bear on our independence. Relating to our audit of the financial statements of for the year ended December 31, 2014, Baker Tilly Virchow Krause, LLP hereby confirms that we are, in our professional judgment, independent with respect to the Village in accordance with the Code of Professional Conduct issued by the American Institute of Certified Public Accountants, and provided no services to the Village other than audit services provided in connection with the audit of the current year's financial statements and nonaudit services which in our judgment do not impair our independence. > Financial statement preparation > Adjusting journal entries > Compiled regulatory reports > Trial balance formatting from general ledger data None of these nonaudit services constitute an audit under generally accepted auditing standards. OTHER AUDIT FINDINGS OR ISSUES We generally discuss a variety of matters, including the application of accounting principles and auditing standards, with management each year prior to retention as the Village of Buffalo Grove's auditors. However, these discussions occurred in the normal course of our professional relationship and our responses were not a condition to our retention. Page 10 Packet Pg. 88 We applied certain limited procedures to the required supplementary information (RS|)that supplements the basic financial statements. Our procedures consisted ofinquiries ofmanagement regarding the methods of preparing the information and comparing the information for consistency with management's responses toour inquiries, the basic financial statements, and other knowledge vveobtained during our audit of the basic financial statements. We did not audit the RSI and do not express an opinion or provide any assurance oqthe RSL We were engaged horeport onthe Supplementary information which accompanies the financial sbatexnenbabut ienot RSLWith respect tothe Supplementary information accompanying the financial statements, we made certain inquiries of management and evaluated the form, content, and methods of preparing the information todetermine that the information complies with accounting principles generally accepted in the United States of America, the method of preparing it has not changed from the prior period, and the information isappropriate and complete |nrelation toour audit ofthe financial statements, We compared and reconciled the supplementary information to the underlying accounting records used to prepare the financial statements mrtothe financial statements themselves. We were not engaged toreport onthe other information, which accompanies the financial statements but is not RSL We did not audit or perform other procedures on this other information and we do not express anopinion or, provide any assurance onit. RESTRICTION 0VUSE This information isintended solely for the use ofthe Village Board and mona0enlentand |wnot intended to be, and should not be, used by anyone other than these specified parties. We welcome the opportunity hodiscuss the information included imthis letter and any other matters, Thank ou for ||om/ us to u. July 3O.2O15 I Packet Pg. 89 2.7.a MANAGEMENT REPRESENTATIONS Packet Pg. 90 2.7.a V11AAGE'OF BUF FALO GROVE Department of Finance & General Services Fifty Raupp Blvd, Buffalo Grove, IL 60089-2100 Phone 847-459-2500 Fax 847-459-03,32 EMIERM '6'UKZTr('TAr,T1rc I U111• 1301 W, 22nd Street Suite 400 Oak Brook, IL 60523 RRMNIMU • 4, We acknowledge our responsibility for the design, implementation, and maintenance of Internal control to prevent and detect fraud. r.-TUMSTIM Mo- I Packet Pg. 91 1 Baker Tilly VlP:howKrause LLP July 3O.2O15 6. All events subsequent to the date of the financial statements and for which accounting principlesgenerally accepted in the United States of America require adjustment or disclosure have been adjusted or disclosed. No other events, including instances of noncompliance, have occurred subsequent to the balance sheet date and through the date of this letter that would require adjustment to or disclosure in the aforementioned financial statements, 7. All material transactions have been recorded in the accounting records and are reflected in the financial statements. 8, We believe the effects of the uncorrected financial statement misstatements summarized in the attached schedule are immaterial, both individually and in the oggma0ete' to the basic financial statements aa ovvho|e. In addiMon, you have recommended adjusting journal entries, and we are in agreement with those adjustments. Q.The effects of all known actual or possible litigation, claims, and assessments have been accounted for and disclosed in accordance with accounting principles generally accepted in the United States of America. Information Provided 10. We have provided you with: a. Access to all information, of which we are aware, that is relevant to the preparation and fair presentation of the financial statements, such ms financial records and related data , documentation, and other matters. b. Additional information that you have requested from us for the purpose of the audit. o. Unrestricted access to persons within the entity from whom you determined it necessary to obtain audit evidence. d. Minutes of the meetings of Village Board or summaries of actions of recent meetings for which minutes have not yet been prepared. 11 . We have disclosed to you results Of Our assessment of the risk that the financial statementsmay bematerially misstated as a result of fraud. 12. We have no knowledge of any fraud or suspected fraud that affects the entity and involves: a. Management, b.Employees who have significant roles ininternal control, or c. Others where the fraud could have a material effect on the financial statements. 13. We have no knowledge of any allegations of fraud or suspected fraud affecting the entity received in communications from employees, former employees, regulators, or others. 14.Wehave noknowledge ofknown instances ofnoncompliance or suspected noncompliance with provisionsof laws, regulations, contracts, orgrantagreoments.orebuse.whosneffectsahou|dbeconsideredwhenprepohng financial statements. 15. There are no known related parties or related party relationships and transactions of which we are aware 16. There have been no communications from regulatory agencies concerning noncompliance with, ordeficiencies in, financial reporting practices. 17.VVehave oprocess totrack the status ofaudit findings and recommendations. Baker Tilly VirohowKrause LLP July 3O.2O1S 18. We have identified to you any previous financial audits, attestation engagements, and other studies related to the audit objectives and whether related recommendations have been implemented. 18.VVehave provided our views on reported findings, conclusions, and recommendations, aswell usour planned corrective actions, for our report. 20The Village has no plans or intentions that may materially affect the carrying value or classification of assets, liabilities, or equity. 21.VVeare responsible for compliance with federal, state, and local laws, regulations, and provisions nfcontracts and grant agreements applicable to us, including tax ordebt limits, debt contracts, and IRS onbdrmoe regulations; and we have identified and disclosed to you all federal, state, and local laws, regulations and provisions mfcontracts and grant agreements that we believe have a direct and material effect on the determination of financial statement amounts orother financial data significant to the audit objectives, including legal and contractual provisions for reporting specific activities in separate funds. 22.There are no: a. Violations or possible violations of budget ordinances, federal, state, and local laws or regulations (including those pertaining to adopting, approving and amending budgets), provisions of contracts and grant agreements, tax or debt limits, and any related debt covenants whose effects should be considered for disclosure in the financial statements oras a basis for recording a loss contingency, or for reporting on noncompliance, except those already disclosed inthe financial statement, ifany. b. Other liabilities or gain or loss contingencies that are required to be accrued or disclosed by accounting principles generally accepted inthe United States ofAmerica. c. Nonspendable, restricted, committed, or assigned fund balances that were not properly authorized and approved. d. Rates being charged to customers other than the rates os authorized by the applicable authoritative body. e. Violations of restrictions placed on revenues as a result of bond resolution covenants such as revenue distribution ordebt service funding. 23 In regards to the nonntteet services performed by you listed below, we have 1\ accepted all management responsibility; 2) designated an individual with suitable skill, knowledge, or experience to oversee the services; 3) evaluated the adequacy and results of the services performed, and 4) accepted responsibility for the results of the services. a. Financial statement preparation b. Adjusting journal entries c. Compiled regulatory reports d. Trial balance formatting from general ledger data None of these nonattest services constitute an audit under generally accepted auditing standards, including Government Auditing Standards. 24. The Village of Buffalo Grove has satisfactory title to all owned assets, and there are no liens or encumbrances on such assets nor has any asset been pledged as collateral. 25.The Village ofBuffalo Grove has complied with all aspects ofcontractual agreements that would have annatere| effect on the financial statement in the event of noncompliance. 26The financial statements include all component units as well as joint ventures with an equity interest, and properly Baker Tilly VirchmwKrause LLP July 3D.2D15 27,The financial statements properly classify all funds and activities. 2&All funds that meet the quantitative criteria |nBASBStatement No. 34and No�37krpresenbaUonaomajor are kjenU�Umaj or ' are particularly important to financial statement users. 29. Components of net position (net investment in capital assets; restricted; and unrestricted) and components of fund balance (nonspendob|e.restricted, committed, assigned andunaoai ned)enapropedyu|assifiedend,if applicable, approved. 30. The Village of Buffalo Grove has no derivative financial instruments such as contractsthat Could be assigned to someone else or net settled, interest rate swaps, collars or caps. 32. Revenues are appropriately classified inthe statement ofactivities within program revenues and general 33. Interfund, internal, and intra-entity activity and balances have been appropriatelyclassified and reported 34. Special and extraordinary items are appropriately classified and reported. 35. Deposits and investment securities are properly classified eetorisk, and investments are properly valued Collateral ization agreements with financial institutions, if any, have been properly disclosed. 3G.Provision, when material, has been made toreduce excess orobsolete inventories totheir estimated net realizable value, 37. Capital assets, including infrastructure and intangible assets, are properly capitalized, reported, and, if applicable, depreciated/amortized. Any known impairments have been recorded and disclosed, 38.Wehave appropriately disclosed the Village ofBuffalo Grove'spolicy regarding whether tofirst apply restricted or unrestricted resources when an expense is incurred for purposes for which both restricted and unrestricted net position are available and have determined that net position were properly recognized under the policy. VVehave also disclosed our policy regarding which naaouroes (that is, nantrioted, oomnnnitted, assigned or unassigned) are considered to be spent first for expenditures for which more than one resource classification is available. 89. We acknowledge our responsibility for the required supplementary information /RS|>. The RS| is measured and presented within prescribed guidelines and the methods of measurement and presentation have not changed from those used in the prior period. We have disclosed to you any significant assumptions and interpretations underlying the measurement and presentation qfthe RSL Baker Tilly NrchmwKrause LLP July 3O'2Q1S Page 5 40.With respect tothe supplementary information, CB|\: a. We acknowledge our responsibility for presenting the Sl in accordance with accounting principles generally accepted in the United States of America, and we believe the S|, including its form and oonbent, is fairly presented in accordance with accounting principles generally accepted in the United States of America. The methods ofmeasurement and presentation ofthe S|have not changed from those used inthe prior period, and vvehave disclosed toyou any significant assumptions orinterpretations under 'ngthemwasurammntand presentation of the supplementary information, -j a.Ifthe S|h*not presented with the audited financial statements, wewill make the audited financial statements readily available tothe intended users ofthe supplementary information nolater than the date weissue the supplementary information and the auditor's report thereon. 41.VVeassume responsibility for, and agree with, the findings ofspecialists inevaluating the Net Pension Asset, Net zm Pension Liability, Net Pension Obligation, and the Other Postemployment Benefit Obligation and have adequately considered the qualifications of the specialists in determining the amounts and disclosures used inthe financial � statements and underlying auuountingrmoorde.VVedidnotgivoorunuseonyinstruodunotobeQivantoepemia|iata ~t with respect hmthe values or amounts derived in an attempt to bias their work, and we are not otherwise avvona of any matters that have had impact on the independence or objeGtiVity of the specialists.00 Sincerely, pv Village ofBuffalo Grove � Signed: Signed: 2.7.a U) z W 5 W H U) _D Z W 2 `O W /Qn COrLr^^ V O J U = z m Q w Z O Ll- 0 0 m W U W ry ry O U z LL O ry Q CO v N C Q U — C N •"= N O ^0 MCo CoLL 00 ++ 70 U o c Z = LL w N (D T O LO M CD CO 9t r co N It 't [I- N O N O O CD 00 r 00 CD T T N U') co LO ' O (fl N (D QO T r T Ln M O M CN M i2 T 6 0 r M CD N ti ci C'7 C- I` C7 N N 6) Cl) CD 000 N T N (D CD 00 t LC) N It I�t ti 00 O N O O CO 00 r CC) O T T N r E i ' N CC) .cu -0 J a) H p 11 T ;;; Lo cn rn cl) 0') CO I- ,t r-- N ti U) O Ln C`') Lfl ll O cD m cOn N N QO N � H 4? 0) 0 U U Q Q LL -0 0) (ll Q LL O ~ LL Cn U) (6 C O a) C6 > .(n C E (D fn (D ry Packet Pg. 96