Tuesday, Oct. 22

 

Lincoln Clark station issues
customer alert

[OCT. 22, 2002]  The Clark station at 548 Woodlawn Road in Lincoln has issued a recall on all kerosene purchased at that site. Customers are asked to please return the product to the store immediately. Your money will be refunded. The kerosene may have been contaminated and should NOT be used.

John Matthews, corporate vice president of marketing and facilities, said, "Until we can test the product, we have stopped selling kerosene in all of our Illinois locations. Clark is very concerned about the safety of its customers and your neighborhood. We appreciate your assistance."

[LDN]


City approves contract
with clerical workers

[OCT. 22, 2002]  At the regular council meeting Monday, the city of Lincoln approved a new three-year contract with its clerical workers, wrapping up contract negotiations with all four unions that represent city employees. The other three unions — police, firefighters and street department workers — have also approved three-year contracts.

Clerical workers will receive raises of 3 percent the first year, 3 percent the second year and 3˝ percent the third year, according to city attorney Bill Bates, who served as chief negotiator for the city. The raise is applicable to both base pay and longevity pay. Base pay for new clerical workers is between $900 and $1,600 per month, depending on the worker’s qualifications.

Clerical workers will also accrue extra vacation days after 30 years of service under the new contract. Formerly vacation time went up after 20 years but was capped at 30 years.

Like other city workers, clerical workers will be allowed to live within a 10-mile radius of the city.

The contract was also modified to bring the clerical workers into conformity with the street department rules on discipline for illegal drug and alcohol use. Under the new "zero tolerance" clause, the first positive test for illegal drugs brings immediate discharge.

The first positive test for alcohol or non-listed drugs, such as prescription or over-the counter drugs, requires the employee to enter a rehabilitation program, and the second positive test for alcohol or unlisted drug misuse brings discharge.

In other business, the city approved an ordinance that will allow Lincoln Christian College to pay a lower interest rate on a revenue bond it issued through the city in 2001. Issuing the Economic Development Revenue Bonds through the city allowed LCC to be exempt from federal taxes, though not from Illinois taxes. The $5 million bond issue was used to build the new athletic facility and make other improvements to the campus.

Reissuing the bonds will bring the interest rate down from 5.99 percent to 5.19 percent during the period from Nov. 1, 2002, to March 1, 2006, according to city attorney Bill Bates. The sole bond holder, Central Illinois Bank, agreed to the lower interest rate.

The council also voted to have the city’s insurance consultant bid out all city insurance plans, with the exception of health, dental and life insurance. Alderman Glenn Shelton, chair of the insurance committee, said it had been several years since the city looked at what other plans were available.

 

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The council also authorized that a clause be added to contracts for equipment and labor for the upgrade of the wastewater treatment plant, with an option to remove the clause if contractors object to it.

The wording of the clause would leave the city liable for payments to contractors in case the state did not appropriate funds for the Illinois Environmental Protection Agency loan that is funding the sewer plant upgrade, Bates said. The clause would say that the city’s ability to pay is contingent on receiving the loan from the state.

He said he had talked to an IEPA staff attorney, who told him the likelihood of nonpayment by the state is "extremely remote." The attorney said the IEPA loan is not a line item in the state budget but a revolving loan fund that has a large pool of money. As money from previous loans is repaid, it goes into the pool. Federal money makes up 80 percent of the pool, and only 20 percent is state money, according to the IEPA attorney.

However, Bates said, the clause in the loan agreement, which says the money will be paid to the city subject to appropriation by the General Assembly, cannot be taken out, and he is still concerned about the city’s possible liability.

Sewer plant manager Grant Eaton said he thought most contractors would object to the clause and it would have to be removed. If the clause is removed from one contract, it must be removed from all contracts, he said.

Work in the sewer plant upgrade, necessary if the city is to add more industry or housing, is expected to begin in mid-November.

The council also approved authorizing Alderman Bill Melton, chair of the sewer plant committee, to sign purchase orders for the sewer plant upgrade when Mayor Beth Davis is not available.

[Joan Crabb]


City issues fact statement
on sales tax referendum

[OCT. 22, 2002]  The Lincoln City Council, in an effort to promote the sales tax referendum that will be on the ballot Nov. 5, has issued a fact sheet explaining the tax. Aldermen will be passing out the sheet to city voters.

Compiled by city treasurer Les Plotner, the fact sheet explains what the tax will cost and why it is needed. Because of historically low interest rates and also lower sales tax revenue, the city has no money to upgrade its infrastructure, Plotner said. There is no money for street repair in the current city budget, he pointed out, not because the council doesn’t see the need but because funds are not available.

The projected annual income of $550,000 from the tax increase will be used only for improvements to city streets and alleys, drains and sewer line extensions, and other infrastructure.

See fact sheet below.

[Joan Crabb]


Fact sheet on sales tax referendum

•  The voters of Lincoln will have the opportunity to vote on the sales tax increase referendum at the general election on TUESDAY, NOV. 5. Your city council in Lincoln is asking you to approve an increase of one-half of 1 percent on the Retailers’ Occupation Tax, which is commonly known as the SALES TAX.

•  People want to know how such an increase in the sales tax would affect them. Perhaps the following examples will give people an idea about how the sales tax increase would directly affect them as individuals purchasing various items:

Consumer pays $10 for a pair of gloves.

Increased tax cost, 5 cents.

Consumer pays $50 for two gallons of paint.

Increased tax cost, 25 cents.

Consumer pays $100 for a new lamp.

Increased tax cost, 50 cents.

•  The new sales tax WOULD NOT be imposed on certain items. It would not be added to food products people purchase for home consumption. Other items that are exempt from the increased sales tax include prescription and nonprescription medicines, drugs, medical appliances, insulin, urine testing materials, syringes and needles used for diabetics. In addition, the tax WOULD NOT be charged on the sale of motor vehicles.

 

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•  The burden of a sales tax would be spread out over anyone who purchases items in Lincoln, including out-of-town shoppers. Lincoln has one of the lowest sales tax rates among the larger cities in the central Illinois area.

•  Lincoln has a desperate need to expand and improve our public infrastructure. We simply don’t have the funds to complete projects or to maintain our current infrastructure, nor do we have the funding for future growth expansion.

•  What does this word "INFRASTRUCTURE" mean? Public infrastructure includes streets and roads, bridges, access roads, sidewalks, sewer line extensions, storm water drainage, and sewer treatment facilities.

•  Based upon current projections the city of Lincoln should be able to realize about $550,000 each year in increased revenues as a result of the sales tax increase. The increased revenues must by law be used to update the city’s infrastructure system.

[Compiled by Les Plotner, city treasurer]

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