Metropolitan Water Reclamation District (MWRD) Board Meeting
December 17, 2020 
​All Board members in attendance at various times

After amending the budget passed on December 10 to include a small salary increase for non-union employees, the Board approved a $1.2 billion budget for 2021 - an increase of $52,812 million over 2020.  FTE’s are budgeted at 1,941 which is a decrease of 12 employees.

All agenda items were passed. 

Items of Interest:

• Agenda Item #23 20-1141  Granted authority to advertise for bids for the McCook and Thornton Reservoirs Rock Wall Stabilization and Geotechnical instrumentation.  Estimated cost between $8.4 and $10,250 million.  No discussion.
• #43 20-1143  Agreed to a sublease between Skokie Motor Sales and Amazon.com Services for an initial consideration of $5,000 per year.  No discussion of how Amazon will use.  Parcel could have been considered for green space which is of interest to the Skokie Park District.  
• #45 20-1158  Granted authority to amend a long-term lease dating back to 1996 with the Village of Worth to allow for video gaming on the golf course which occupies the leased land.  Apparently, the golf course has never turned a profit and is hoping the video games will help. In addition, the rent was reduced from $25,000 to $5,000 per year.  In return, the District wants 25% of any gaming gross revenues.  It was mentioned that the new Strategic Plan for the District should look at large parcels of land such as this property for its highest and best purpose. 
• #49 20-1144 Granted an Intergovernmental Agreement with and payment to the CC Forest Preserve in the amount of $257,124 for a Flood Control Project from Roosevelt to Cermac Roads.

Green Alley Projects - Intergovernmental Agreements:

• #47 20-1142 Granted authority for an Intergovernmental Agreement [IGA] with and payment to the City of Chicago, via its Department of Transportation, for the construction, operation, and maintenance of the South Laflin Green Alley Project in the amount of $101.5 million. 
• ​#48 20-111143 Granted authority for another Intergovernmental Agreement with the City of Chicago via its Department of Transportation for the construction, operation, and maintenance of the Addison Green Alley Project in the amount of $150 million.
• Discussion covering both agreements centered on cost sharing and confirmation that the City is responsible for the inspection and maintenance of the two green alley projects.  In addition the District annually inspects to ensure compliance.  When asked about these locations versus others with large condo buildings that incur alley flooding, the Director of Engineering said that the District prioritizes home flooding over highrises.   Commissioner Spyropoulos requested a copy of the “standards of review” that were and are used for these projects and how they are prioritized.  [Several Commissioners have stated that they want to go beyond “shovel ready” projects and look at the disparity that exists for communities that do not have the resources to participate]   Davis requested social media be used to promote the projects, and he asked the Public Affairs Department to provide the board with a consistent message to use on social media. 

Intergovernmental Agreement with Chicago

• #50 20-1172 Granted an extension to an Intergovernmental Agreement with Chicago to share in the cost of a research pilot study in the Chatham Neighborhood to gain insights into the effectiveness of various technologies aimed at reducing basement backups and flooding – In other words “what would it take to arm a house against flooding”.
• This Agreement was to run from June 2017 to June 2019 but will now be extended to the end of 2022.  Sixty properties are to be identified in a desktop evaluation to then be reduced to forty at which point the Center for Neighborhood Technologies [CNT] will attempt to visit the homes to identify specific problems and possible solutions.  The District is not allowed to work on private properties which is why the CNT was hired.  The District’s share of the cost is $400,000 – the City’s is $210,000.
• Commissioner made the following requests:

1. Spyropoulos requested a chronology of the project progress, and Davis asked staff to include the reason for the delay. 
2. Morita and Spyropoulos asked that the IGA be extended to include full access to the data in the agreement.
3. Steele requested the updated criteria list that was used to select the homes and also a list of 311 calls.
4. Garcia requested the amount the Center for Neighborhood Technology is charging.
5. Spyropoulos requested the board receive the green handbook that has been developed out of the experience with recent Stormwater IGA’s.
6. Sepulveda requested information on CNT’s role in providing opportunities within the agreement to hire locally.

New Business

• Executive Director Perkovich announced that the MWRD is one of the water treatment utilities that was selected for a study sponsored by the U.S. Health and Human Services to determine if wastewater can detect COVID-19 prior to a mass outbreak.  Five of the seven plants were selected to participate in the study.  Lamont and Hanover Park are excluded.  Perkovich said that the details of the study are still fluid.

Biosolids Request

• After hearing that MWRD biosolids were used by the Worth golf course during its construction, Commissioner Garcia asked for a report on the volume used and an historical list and analysis of projects that have used the District’s biosolids.

Observer:   Diane Edmundson                                           Length of Meeting 3 hrs.      

Metropolitan Water Reclamation District  
Public Hearing on 2021 Tentative Budget
December 2, 2020

7 Commissioners present, with Comm. Garcia absent. 

There were 3 comments.  
Both Ryan Wilson of the Metropolitan Planning Council and John Legg of the Nature Conservancy separately urged that the MWRD appoint one person to head-up and be the point person for the MWRD’s Stormwater Trading Pilot that was adopted earlier this year.  While the failure of any developer to take advantage of this program may be due to COVID, both entities feel that having one dedicated person to head this pilot is crucial for its success.  Both also pointed to the Washington, D.C. project as an example of all that needs to be done to successfully launch the program.  The duties of this point person would include conveying consistent messaging to municipalities and developers and identifying barriers to getting the program launched, including any legislative barriers.  

• The Executive Director and Dr. Katherine O’Connor, the head of Stormwater Management, believe that they have sufficient people to implement the program and were reluctant to place a single person as a point person, though they were still willing to talk about this.  Comm. Morita suggested that even if a single person would not be working on this full-time, maybe a single person could be identified for communications with municipalities and developers.

Chelsey Grassfield of the Friends of the Chicago River urged that the MWRD reassess its real estate holdings of 6,000 some acres for use as stormwater management, as opposed to being looked upon as development opportunities.  Comm. Morita said that the MWRD has begun a land-use audit to look at best use for the land:  lease-out vs. leaving vacant for stormwater management.  Ms. Grassfield also stated that Friends had observed some instances at meeting where the attorneys representing the MWRD stated things that appeared to be inconsistent with MWRD policy.  The Commissioners and Executive Director wanted more details, which Ms. Grassfield said she would provide.

Observer:  Priscilla Mims                                         Length of meeting:  1 hour, 10 minutes

Special Meeting of the MWRD’s Committee on the Budget & Employment
November 5, 2020

On October 13, the Executive Director presented his 2021 budget recommendation.  At today’s meeting, the Committee voted to accept some slight increases to that recommendation, which still result in a small overall decrease from 2020 of 2.1% currently.  The proposed 2021 tax levy may increase by 1.1%.  However, all numbers could still change before final approval of the budget, scheduled for December 17.
Next steps:

• Commissioners to provide further ideas for the budget to President Steele, which are incorporated into a second set of changes.  Upon approval, these are included in what is referred to as the “Tentative Budget” which will be posted on the web site.
• Dec. 3 at 2 pm:  public hearing for the public to weigh in on the Tentative Budget
• December 10 (time not yet set):  Special meeting to consider the Tentative Budget with any further changes
• December 17 at 10:30:  regular Board meeting, with one last opportunity to further amend the budget

Proposed budget as it currently stands (incorporating changes approved on Nov. 5);

• Total appropriation request:    $1.127 B, decrease of $24 M from 2020, or 2.1% reduction
• 2021 estimated tax levy (a portion of the total appropriation):  $658 M, increase of $7 M from 2020, or 1.1% increase of levy.  However, the estimated cost per $100 of Equalized Assessed Valuation (EAV) is 23.61 cents for 2021 vs. 23.90 cents in 2020
• Total positions:  1,938, a decrease of 15 positions from 2020
• If the past is any indication of the future, these numbers will likely go up with further revisions

At this meeting, all major department areas of the MWRD presented highlights of their accomplishments in 2020, along with key initiatives for 2021, all of which are reflected in the Executive Recommendation, as amended at this meeting.  These areas include:
Stormwater Management Fund  --

• There continues to be an issue with levies greater than what is being spent.  MWRD’s responsibility for storm-water management began in 2004, with bonding authority received in 2014.  It takes a long time to identify and implement projects.  2021 levy will remain flat.  COVID responsible for delaying or cancelling some projects in 2020.  
• Comm. Shore recommended a placeholder be added to the budget for someone to help get the Stormwater Trading Project going and oversee the rollout.
• Comm. Du Buclet asked whether there has ever been a study on racial impact.  Not based on race, but there is a map reflecting disproportionate impacted communities (focus on income, not race).  MWRD using this to develop where shove-ready projects should be identified.  
• Comm. Avila reminded that MWRD only has jurisdiction in Suburban Cook County as Chicago has its own stormwater management operation.

Monitoring & Research – included in 2020 highlights was providing samples of wastewater for surveillance for Covid-19

Procurement & Materials Management – moved up and fully implemented electronic bidding and signature process as a result of needs due to COVID-19

General Administration – Planned space\use study halted due to COVID; no provision to do this in 2021 budget.  In Diversity section, President Steele said she wanted to add a position.  Plan is to conduct an affirmative action disparity study for purposes of evaluating MWRD’s Affirmative Action Policy.  With regard to Public Affairs, Comm. Du Buclet asked how the MWRD can be more visible to the public.  Comm. Garcia wants translator to appear at more events.

Board of Commissioners (includes Treasurer and Legislative Section) – Comm. Shore would like to put excess funding released from TIF districts toward Retirement Fund, as was done last year.  Told would be done.  Currently expecting $19 M.

​Retirement Fund – at 56% funding and holding steady

Additional Comments at end from Comm. Davis:

• As part of the Climate Action Plan, wants to establish benchmarks for adding electronic vehicles to MWRD’s fleet.  Suggested 50% by 2025 and 100% by 2030.
• Expressed concern about the Thornton composite reservoir as the clock is ticking on the transitional reservoir.  This impacts flooding in the South Suburbs.  Comm. Davis suggests that green infrastructure projects should be prioritized here to provide capacity to prevent/reduce flooding.  Comm. Davis impressed with the acquisition work in flood plains and flood-prone properties in this area.  He also applauded the work on identifying disproportionately-affected areas as important for prioritizing projects.

Observer:  Priscilla Mims                                                       Length of meeting:  4 hours

Metropolitan Water Reclamation District (MWRD) Board - Special Meeting
December 12, 2019

In 30 minutes, the Board passed the 2020 Budget which reflected additional changes to the Tentative Budget from November 7.  The vote was 8 to 0, with Commissioner McGowan being absent.  Following are some highlights:

• The total budget is 5.7% ($70 million) less than that for 2019, and reflects a decrease of 14 positions.
• The total property tax levy is $652.6 million, up $9.3 million from 2019, a 1.4% increase.
• $20 million, the accumulated investment income, is proposed to be transferred to the Retirement Fund to maintain growth in the Retirement Fund’s funded ratio.  To make this transfer, a 2/3 vote will be required after March 1.
• The District will utilize the one-time revenue from Chicago’s declaration of a TIF surplus for a one-time expenditure of a $10 million upgrade to the Enterprise Resource Planning System. 
• In addition, $5 million will be reserved and might be used to fund an additional payment to the Retirement Fund if statutory authority is received.

Further changes to the 2020 budget may be considered at the regular Board meeting on December 19, at which time the budget will be finalized.

Observer - Priscilla Mims

Metropolitan Water Reclamation District (MWRD) Annual Meeting, Board Meeting, and Public Hearing on the Proposed 2020 Budget
December 5, 2019

Board Meeting

• Several Commissioners expressed frustration that several new contracts or requests for proposals (RFPs) for services under existing contracts set to expire by the end of the year were only coming to the Board now.  They asked that such items be brought at least two months ahead of time in the future to allow the Commissioners sufficient time to review the contracts or RFPs and get answers to questions to ensure that there would be no lapse of services.  The Executive Director at the end of the meeting said that he understood what was wanted and he and the staff would take steps so this will happen in the future.  Among those items,
  • RFP for state consultants/lobbyists for the MWRD for 2020.  However, don’t expect to award contract until Feb. 20, 2020, almost a month after the State Legislative Session begins.  Commissioner Garcia also asked whether further thought had been given to placing all lobbyists under oversight by a single department.  This item was passed. (Item 10, File 19-1192)
  • Extension of contract which would otherwise expire on Dec. 31 through 2020 for federal consultants/lobbyists.  Comm. Spyropoulos asked to defer, but expects will be on Dec. 19 agenda, so no interruption of service.  (Item 29, File 19-1186)
  • Authority to grant a 25-year easement to Enbridge Energy to continue to operate and maintain a petroleum pipeline.  Existing easement expires Dec. 18.  Concerns were expressed by Comm. Shore and Davis over the past fines the company has had for spillages and the age of the pipeline (50 years).  The MWRD General Counsel said the delay in coming before the Board was due to some extra safeguards that the staff had negotiated in conjunction with this extension, including a $4.5 million letter of credit to cover any problems, as well as inspections of the pipeline.  However, none of this information was included in the transmittal letter for this item.  Comm. Davis asked to defer this item.  (Item 36, File 19-1210)
• Other items discussed and approved:
  • Authority to issue RFP for rain barrels.  Originally MWRD gave away rain barrels pursuant to a consent decree that has expired.  Now sell the barrels.  Comm. Garcia asked whether MWRD has any info on whether these barrels are actually used (answer was “no”), and suggested that some follow-up be done going forward to ensure this is worthwhile.  (Item 16, File 19-1201)
• Other items discussed & deferred:
  • Payment for 1 employee to attend 10-day residential development program by the Water Wastewater Leadership Center.  Several Commissioners wanted to know who else has gone in the past and what is the criteria for selecting the employee.  Comm. Garcia requested deferral.  (Item 8, File 19-1195)
  • Proposed contract with Sun-Times to publish legal notices for 2020.  Comm. McGowan asked to defer. (Item 23, File 19-1219)
  • Settlement of property loss claim in connection with a sewer backup adjacent to a District manhole that was undergoing emergency repairs.  Comm. Shore asked what, if anything, has District learned from this.  Comm. Garcia asked to defer.  General Counsel advised that settlement must be completed by Dec. 31, or the settlement agreement expired.  (Item 35. File 19-1202)

Annual Meeting
Immediately prior to the Board meeting, the Annual Meeting was called to order at which the Board received and filed the Annual Report presented by President Steele.  This Report is available at https://mwrd.legistar.com under “Meeting Details” for the Dec. 3, 2019 Annual Meeting.  (This meeting had been suspended on Dec. 3 for lack of a quorum and resumed on Dec. 5.)

Public Hearing on the Proposed 2020 Budget
There were no public speakers.  Finance Chair Avila, who was presiding, explained that the Civic Federation had written a letter to the Board stating that it would not be reviewing or commenting on the budget as it has in the past.

Observer - Priscilla Mims