city of galesburg · item 18-4073 hawthorne water tower fiber staff recommends the city council...

Administration 55 West Tompkins Street Galesburg, IL 61401

CITY OF GALESBURG Illinois, USA

June 18 City Council Agenda

__________________________________________________________________________________________________________________________________________________________________________________________________________________________

Page 1 of 2

City Council Meeting Agenda City of Galesburg, Illinois

City Council Chambers June 18, 2018

6:20 p.m. Presentation Youth Extra Effort Award – Nicolas Smith

6:30 p.m. Roll Call Pledge of Allegiance

Invocation

Approve Minutes from June 4, 2018

Consent Agenda #2018‐12

18-2012 Resolution Main Street closure for Railroad Days

18-4070 Approve Use of the Illinois Trust investment program

18-4071 Approve Agreement with University of Illinois Chicago for HELP Study

18-4072 Approve SCBAs for Fire Department

18-8011 Bills and Advance Checks

Approval and warrants drawn in payment of same

Passage of Ordinances and Resolutions

18-1009 Ordinance Tabled

Rental licensing program (Final Reading)

18-1010 Ordinance Tabled

Housing minimum standards (Final Reading)

18-1012 Ordinance Amending Class A Liquor Licenses (Final Reading)

18-1013 Special Ordinance

Vacation ordinance for an alley north of West Water Street, between 155 and 173 West Water Street (First Reading)

Bids, Petitions and Communications

18-3029 Bid Demolition and clean-up of 809 N. Cedar Street, 788 S. Henderson Street, and 833 E. Brooks Street

18-3030 Bid Berrien Street reconstruction

18-3031 Bid Lombard Street reconstruction

Public Comment

__________________________________________________________________________________________________________________________________________________________________________________________________________________________

Page 2 of 2

City Manager’s Report

A. Special Events: a. Use of airport for an Airport Open House on June 20, 2018 b. Use of Lake Storey Park for ARRL Field Day on June 23 – 24, 2018

Miscellaneous Business (Agreements, Approvals, Etc.)

18-4073 Approve Hawthorne water tower fiber

18-4074 Approve Solar lease agreements for the Logistics Park

18-4075 Approve Parks and Recreation marketing plan

18-4076 Approve 2018 Classification & Salary Schedule – addition of city engineer position / removal of assistant city engineer position

Town Business

18-9017 Bills

Closing Comments

Adjournment

Vision Statement

“The City of Galesburg will be a dynamic community featuring a full range of public amenities to serve a diverse citizenry. The City Council will play a pro-active role in providing leadership to its citizens, neighborhoods, and other public bodies and enact policies which ensure the existence of a broad based economy.”

CITY OF GALESBURG Administration Operating Under Council – Manager Government Since 1957 _________________________________________________________________________________________________________________________________________________________________________________________

___________________________________________________________________________________________________________________________________________________________________________________________

Prepared by: TT Page 1 of 4

CITY COUNCIL MEETING City Manager’s Report

June 18, 2018 CONSENT AGENDA #2018‐12 Item 18-2012 Main Street Closure for Railroad Days Staff recommends approval of a resolution for the temporary closure of Main Street for Railroad Days. The closure of Main Street (U.S. Route 150) from Seminary to the west side of the square requires state approval. A detour will be established around Main Street from Ferris to Simmons. Item 18-4070 Illinois Trust Investment Program Staff recommends City Council approve the utilization of the Illinois Portfolio as an investment option for the City of Galesburg. The Illinois Portfolio is a diversified, open-end actively managed investment trust designed to address the short-term cash investment needs of Illinois public investors. Item 18-4071 Agreement with University of Illinois Chicago for HELP Study Staff recommends approval of an Intergovernmental Grant Agreement (IGA) with the University of Illinois at Chicago (UIC) for a study in conjunction with the State of Illinois Department of Commerce and Economic Opportunity (IDCEO) Help Eliminate Lead Program (HELP) Grant. The City will receive grant funds from DCEO that will be utilized to cover one hundred percent of the expense of this agreement. Item 18-4072 SCBAs for Fire Department Staff recommends approval of the quote submitted by Grainger in the amount of $8,798.94 for the purchase of six MSA SCBA (self-contained breathing apparatus) cylinders. The Galesburg Fire Department utilizes these cylinders as a normal part of their operations. The cylinders must be replaced after 15 years of service, and currently there is a group of MSA SCBAs in need of replacement. The manufacturer only makes the tanks available to specific vendors in each region. The vendor for our region is Grainger and pricing provided is within the anticipated range. Item 18-8011 Bills Bills and Advanced Checks are submitted for approval; please direct questions to Gloria Osborn, Director of Finance and Information Systems. ORDINANCES AND RESOLUTIONS Item 18-1009 Rental Licensing Program (Final Reading) – Tabled Staff recommends approval of an ordinance establishing the City of Galesburg Rental Licensing Program. The highlights of the proposed ordinance include the following: All rental units will be inspected either by City staff or by self-inspection once every five years. All self-inspection qualified units are still subject to complaint based and/or random

inspections. Rental units that have uncorrected violations or are non-compliant do not qualify for self-inspection.

The Housing Code Minimum standards will be utilized as the basis for the rental inspections.


___________________________________________________________________________________________________________________________________________________________________________________________


Rental Registrations will be revised to Rental Licensure. If Landlords are unresponsive to correcting deficiencies they will not be renewed when the license comes up for the annual renewal, unless the deficiencies are corrected or an agreed upon corrective action plan is in place.

Rental units which will be vacant for more an annual renewal period will not be required to be licensed if the owner submits a sworn statement affirming that fact.

The license fee will stay at $15 per rental unit, which is the same that it has been for the last eight years.

Item 18-1010 Housing Minimum Standards (Final Reading) – Tabled Staff recommends approval of an ordinance establishing minimum housing standards. This ordinance proposes definition changes for safety exits; standardizes the time elements in accountability and enforcement; simplifies the explanations for lighting, ventilation and window needs and providing adequate fire safety exits for all dwellings. The proposed ordinance would apply to all owner occupied and rental dwellings in the City of Galesburg. Item 18-1012 Amending Class A Liquor Licenses (Final Reading) Staff recommends approval of an ordinance removing one excess Class A liquor license from the City’s inventory. Interested parties in the future can make an application to the Liquor Commissioner and City Council to receive a Class A license. Item 18-1013 Vacation Ordinance for Alley North of West Water Street (First Reading) Staff recommends approval of an ordinance vacating an alley adjacent to Water Street between West Street and Cedar Street to the adjoining land owners. The alley is an unimproved alley that does not serve any public purpose. All three adjoining property owners have been notified of the proposed vacation and city staff did not receive any objections to the proposed vacation. BIDS, PETITIONS AND COMMUNICATIONS Item 18-3029 Demolition and Clean-up of Three Properties Staff recommends City Council award the demolition and clean-up of 809 N. Cedar Street, 788 S. Henderson Street, and 833 E. Brooks Streets to Lockwood Excavating & Construction, Inc. These properties have been found to be either dangerous to the general public or not economically feasible to restore, and the necessary steps have been taken through the court system for the demolition of the properties. Lockwood Excavating & Construction, Inc. was the sole respondent to the request for bids, with a total bid for all three properties of $28,000. The bids submitted by Lockwood are within budget for the work. Item 18-3030 Berrien Street Reconstruction Staff recommends approval of the net bid of $489,742.10 from Illinois Civil Contractors, Inc. for reconstruction of Berrien Street from Henderson Street to Holton Street. The existing street base and concrete curb and gutter will be completely removed and replaced with a new full depth concrete pavement and concrete curb and gutter. This contract also includes construction of all new concrete driveway approaches from the street to the back of the sidewalk as well as replacement of the sidewalks. Three bids were received for this project, with Illinois Civil Contractors, Inc. providing the low bid.


___________________________________________________________________________________________________________________________________________________________________________________________


Item 18-3031 Lombard Street Reconstruction Staff recommends approval of the net bid of $449,209.49 from Laverdiere Construction Inc. for reconstruction of Lombard Street from Brooks Street to South Street. The existing street base and concrete curb and gutter will be completely removed and replaced with a new full depth concrete pavement and concrete curb and gutter. This contract also includes construction of all new concrete driveway approaches from the street to the back of the sidewalk as well as replacement of the sidewalks. Three bids were received for this project with Laverdiere Construction Inc. providing the low bid. CITY MANAGER’S REPORT A. Special Events:

a. Use of airport for an Airport Open House on June 20, 2018 b. Use of Lake Storey Park for ARRL Field Day on June 23 – 24, 2018

MISCELLANEOUS BUSINESS (Agreements, Approvals, Etc.) Item 18-4073 Hawthorne Water Tower Fiber Staff recommends the City Council waive normal purchasing policies and approve the purchase of direct burial armored fiber optic cable for connection to the Hawthorne water tower from Springfield Electric in the amount of $12,897.93. This data connection provides a more reliable and higher speed control of the water tower, and going forward, the ability to add security cameras and other physical security features. Although this purchase would normally be a bid process, IT has received multiples quotes from vendors for this project and are confident that a broad spectrum of potential vendors were reached and the City is receiving a fair price for this purchase. Item 18-4074 Solar Lease Agreements for the Logistics Park Staff recommends approval of the proposed lease with Community Power Group (CPG) to allow for the development of community solar gardens at the Logistics Park property. The lease agreement provides an initial annual lease amount of $1,200 per acre with a 1.5% escalator per year. The proposed lease amount is almost five times more rent than the current rent amounts. The term of lease shall be 25 years with up to two five-year extensions upon mutual agreement of the parties. CPG will have up to three years from the effective date of the lease agreement to start installation work, if not, then the City has the right to terminate the agreement. The solar arrays will be community solar gardens with up to 40 percent of the power produced being sold back to the City of Galesburg for municipal use and the balance being sold to residents at a reduced rate. Item 18-4075 Parks and Recreation Marketing Plan Staff recommends City Council approve the proposal submitted by McDaniels Marketing for development of a logo and marketing plan for the Parks and Recreation Department. Selection of McDaniels Marketing is recommended, as the Chamber of Commerce is also utilizing their services and having one vendor handle both will ensure the two marketing plans are complementary. Recreation has budgeted sufficient funds for this service.


___________________________________________________________________________________________________________________________________________________________________________________________


Item 18-4076 2018 Classification and Salary Schedule Staff recommends City Council approve amending the 2018 Classification and Salary Schedule for exempt employees to include the classification of City Engineer as a Range 31 EX, and remove the classification of Assistant City Engineer as a Range 28 EX. TOWN BUSINESS Item 18-9017 Town Bills Respectfully submitted, Todd Thompson City Manager

WHEREAS, the future of our community, our state and our nation depends upon the type of young people we rear to handle the affairs of tomorrow; and

WHEREAS, the accomplishments and achievements of these young citizens deserve recognition and commendation for their efforts; and

WHEREAS, the citizens of our community are pleased to join in expressing appreciation and approval of the contributions of our young people; and

WHEREAS, Nicolas Lee Smith has been nominated by Mary Cooper to receive the Galesburg Youth Extra Effort Award for some of the following reasons:

Nicolas has been involved with Big Brothers/Big Sisters since he was five years old. He grew up in public housing and was born with a medical condition called Apraxia, which is a speech and language disorder. Doctors told his mother that he would never be able to talk and would be mentally challenged. Nicolas was determined to overcome his speech deficient in spite of the dire predictions, and not only learned how to talk but is also noted to be well above average in intelligence.

Nicolas recently won an award at Galesburg High School for the highest scores in his advanced Math and Science classes. He is enrolled in the Dual Credit Program and is concurrently taking classes at Carl Sandburg College and his life goal is to be a nuclear physicist.

In addition to Nicolas’ focus on academics, he takes the time to volunteer with local youth, serving as a teen leader in his Vacation Bible School program. He also serves as a mentor to a homeschool program, helping younger children with math and teaching computer skills. Nicolas also teaches bicycle safety and maintenance, as well as helping with foster children by reading and helping them at meal times.

NOW THEREFORE, I, John Pritchard, Mayor of the City Galesburg, Illinois, do hereby urge all citizens in Galesburg to join me in commending Nicolas Lee Smith for his valuable service to our community and receiving the Galesburg Youth Extra Effort Award.

Dated this 18th day of June 2018

________________________________ Mayor John Pritchard

June 4, 2018 Page 1 of 8

Galesburg City Council Regular Meeting City Council Chambers 55 West Tompkins Street, Galesburg, Illinois June 4, 2018 6:30 p.m. Called to order by Mayor John Pritchard at 6:30 p.m. Roll Call #1: Present: Mayor John Pritchard, Council Members Angela Bastian, Russell Fleming, Corine Andersen, Peter Schwartzman, and Wayne Allen, 7. Absent: Council Members Wayne Dennis, and Jeremy Karlin, 2. Also present were Deputy City Clerk Ericka Gillenwater, City Manager Todd Thompson, and City Attorney Bradley Nolden. Mayor Pritchard declared a quorum present. The Pledge of Allegiance was recited. Semenya McCord, Allen Chapel AME, gave the invocation. Council Member Fleming moved, seconded by Council Member Andersen, to approve minutes of the City Council meeting from the May 21, 2018, meeting. Roll Call #2: Ayes: Council Members Bastian, Fleming, Andersen, Schwartzman, and Allen, 5. Nays: None Absent: Council Members Dennis, and Karlin, 2. Chairman declared motion carried.

CONSENT AGENDA #2018‐11

All matters listed under the Consent Agenda are considered routine by the City Council and is enacted by one motion.

18‐2010 Approve Resolution 18‐07 establishing Prevailing Wages for the City of Galesburg. 18‐3025 Approve the bid from Hohulin Fence in the amount of $15,656 to install fencing around perimeter the 4th Street water tower. 18‐3026 Approve waiving normal purchasing policies and approve the purchase of 48,000 pounds (4,170 gallons) of LPC‐132 phosphate inhibitor from Hawkins, Inc. at the price of $0.355 per pound for corrosion control of lead and copper.


18‐3027 Approve the use of the 2018 State bid for glass bead material in the amount of $0.298 per pound from Potters Industries, LLC. for the City’s 2018 supply of glass beads. 18‐8010 Approve bills in the amount of $372,334.90 and advance checks in the amount of $276,700.70. Council Member Fleming moved seconded by Council Member Andersen, to approve Consent Agenda 2018‐11 omitting council item 18‐2010. Roll Call #3: Ayes: Council Members Bastian, Fleming, Andersen, Schwartzman, and Allen, 5. Nays: None Absent: Council Members Dennis, and Karlin, 2. Chairman declared motion carried by omnibus vote. Council Member Schwartzman moved, seconded by Council Member Bastian, to approve Resolution 18‐17, establishing Prevailing Wages for the City of Galesburg. Roll Call #4: Ayes: Council Members Bastian, Andersen, Schwartzman, and Allen, 4. Nays: Council Member Fleming, 1. Absent: Council Members Dennis, and Karlin, 2. Chairman declared motion carried.

PASSAGE OF ORDINANCES AND RESOLUTIONS 18‐1009 Council Member Allen moved, seconded by Council Member Andersen, to approve Ordinance on final reading amending Sections 150.225 through 150.239 and Section 150.999 of the Galesburg Municipal Code to establish the City of Galesburg Rental Licensing Program. Council Member Fleming stated that he would be voting no on this ordinance as presented. He addressed changes that he would like to be made to the ordinance including clarification of contract sales, and removing the requirement of an email address. Fleming also requested that the last sentence of Section 150.999 be stricken from the ordinance which gives the City Attorney authority to seek any legal or equitable remedies he/she deems necessary to enforce Sections 150.0001 through 150.235. Fleming stated he didn’t feel this was necessary being that the City Manager already has this authority. Fleming also suggested that all complaints should be submitted in writing and signed by the complainant.


Council Member Bastian stated that a notice of inspection should only be prompted by a tenant complaint, not citizen complaints. Bastian expressed her concern with citizen’s making illegitimate complaints, which would waste the time of City staff. City Manager Thompson explained that some tenants might be fearful of repercussions from their landlord and would have someone else submit a complaint on their behalf. Council Members Andersen and Schwartzman added similar concerns if only tenants were allowed to turn in complaints on rental properties. Adding that neighbors could see violations that the tenant won’t turn in or a tenant may be incapable of submitting a complaint. Mayor Pritchard noted that Section 8 (c) of the proposed ordinance states that the complainant must have direct knowledge of said violations stating facts and corroborating evidence. This addresses the concern for false complaints. Council Member Bastian moved, seconded by Council Member Andersen, to table agenda item 18‐1009. Roll Call #5: Ayes: Council Members Bastian, Dennis, Andersen, Schwartzman, and Allen, 4. Nays: Council Member Fleming, 1. Absent: Council Members Dennis, and Karlin, 2. Chairman declared motion carried. 18‐1010 Council Member Andersen moved, seconded by Council Member Allen, to approve Ordinance on final reading amending Section 150.150 through 150.170 of the Galesburg Municipal Code to establish Minimum Housing Standards. Council Member Bastian stressed that the minimum housing standards should apply to all properties, including rentals. City Manager Thompson explained that the minimum housing standards would be enforced equally, whether it’s owner occupied or a rental property. Council Member Bastian moved, seconded by Council Member Allen, to table agenda item 18‐1010. Roll Call #6: Ayes: Council Members Bastian, Andersen, Schwartzman, and Allen, 4. Nays: Council Member Fleming, 1. Absent: Council Members Dennis, and Karlin, 2. Chairman declared motion carried. 18‐1011 Special Ordinance on first reading authorizing the acceptance of the property located at 42 and 50 South Prairie Street from the Galesburg Downtown Council.


Council Member Fleming moved, seconded by Council Member Allen, to suspend the rules and advance agenda item 18‐1011 to final reading. Roll Call #7: Ayes: Council Members Bastian, Fleming, Andersen, Schwartzman, and Allen, 5. Nays: None. Absent: Council Members Dennis, and Karlin, 2. Chairman declared motion carried. Council Member Schwartzman moved, seconded by Council Member Andersen, to approve Special Ordinance 18‐567 on final reading authorizing the acceptance of the property located at 42 and 50 South Prairie Street from the Galesburg Downtown Council. Roll Call #8: Ayes: Council Members Bastian, Fleming, Andersen, Schwartzman, and Allen, 5. Nays: None Absent: Council Member Dennis, and Karlin, 2. Chairman declared motion carried. 18‐1012 Ordinance on first reading amending Section 113.043(A) of the Galesburg Municipal Code regarding the limitation on the number of Class A liquor licenses. 18‐2011 Council Member Allen moved, seconded by Council Member Fleming, to approve Resolution 18‐08 amending the MAK Properties of Illinois, LLC TIF IV Redeveloper’s Agreement. This authorizes the sale of the property and allows any remaining and eligible TIF incentive reimbursements to be paid to the new owner. Roll Call #9: Ayes: Council Members Bastian, Fleming, Andersen, Schwartzman, and Allen, 5. Nays: None Absent: Council Members Dennis, and Karlin, 2. Chairman declared motion carried.

BIDS, PETITIONS, AND COMMUNICATIONS

18‐3028 Council Member Allen moved, seconded by Council Member Fleming, to approve the bid from Laverdiere Construction for the reconstruction of Brooks Street in the amount of $1,081,479.85 minus a proposed credit of $36,362.82 for a net bid price of $1,045,117.03. Roll Call #10: Ayes: Council Members Bastian, Fleming, Andersen, Schwartzman, and Allen, 5. Nays: None Absent: Council Members Dennis, and Karlin, 2.


Chairman declared motion carried.

PUBLIC COMMENT

Thomas Johnson addressed the City Council in regards to fencing being placed on property lines and asked that the City consider requiring a two foot setback from any adjoining properties.

CITY MANAGER’S REPORT

A. Special Events: a. Use of City streets for Galesburg Railroad Days events on June 21‐24, 2018.

Alderman Schwartzman inquired about what efforts are usually made to prohibit people from releasing large fireworks around the Fourth of July holiday. City Manager Thompson stated that the Police Department will issue citations if complaints are made. Thompson added that they will also send out a press release regarding this matter.

MISCELLANEOUS BUSINESS (Agreements, Approvals, Etc.) 18‐4066 Council Member Allen moved, seconded by Council Member Schwartzman, to approve a partial release of mortgages with Pegasus Manufacturing, Inc. Roll Call #11: Ayes: Council Members Bastian, Dennis, Fleming, Andersen, Schwartzman, and Allen, 6. Nays: None Absent: Council Members Dennis, and Karlin, 2. Chairman declared motion carried. 18‐4067 Council Member Fleming moved, seconded by Council Member Allen, to approve a professional services agreement with Klingner for the demolition of the property at 42 and 50 South Prairie Street in the amount of $16,100. Roll Call #12: Ayes: Council Members Bastian, Dennis, Fleming, Andersen, Schwartzman, and Allen, 6. Nays: None Absent: Council Members Dennis, and Karlin, 2. Chairman declared motion carried. 18‐4068 Council Member Allen moved, seconded by Council Member Fleming, to approve an amendment to the design services and construction management agreements for improvements to Park Plaza and Parking Lot E with Massie Massie Associates and Bruner, Cooper & Zuck. Roll Call #13:


Ayes: Council Members Bastian, Fleming, Andersen, Schwartzman, and Allen, 6. Nays: None Absent: Council Members Dennis, and Karlin, 2. Chairman declared motion carried. 18‐4069 Council Member Allen moved, seconded by Council Member Andersen, to approve a 2018 Classification and Salary Schedule with the addition of the City Engineer position and removal of the Assistant City Engineer position. Council Member Fleming stated that he will be voting no on this item noting that that the City already has a City Engineer which meets the State requirements. The City should continue to pursue finding a candidate for an Assistant City Engineer. Council Member Bastian noted that council had just approved to have administration search for an Assistant City Engineer, and questioned why the position of City Engineer is being brought forward. City Manager stated that they did do a search for an Assistant City Engineer and were unable to attract any qualified candidates. Thompson added that engineers are in great demand and the City needs to be more competitive in salaries to get applicants. Bastian asked if the City had a candidate for the new City Engineer position. Thompson replied that the City did have a qualified candidate for this position contingent upon the approval of the change in salary and position. Bastian stated that this has become public knowledge and asked if this was a common practice for Administration to make an offer prior to council approval. Thompson added that the council doesn’t have to approve the salary, only the change in position from Assistant Engineer to City Engineer. Bastian noted that her main concern is the impact this would have on the budget and believes the City should keep operating as is and try to continue to pursue someone for the Assistant City Engineer position. Council Member Allen stated that if we want to continue to improve our streets and infrastructure, the City needs to have a qualified engineer to oversee these projects. Council Member Andersen concurred with Council Member Allen. Roll Call #14: Ayes: Council Members Andersen, Schwartzman, and Allen, 3. Nays: Council Members Bastian, and Fleming, 2. Absent: Council Members Dennis, and Karlin, 2. Chairman declared motion failed.

TOWN BUSINESS


Council Member Allen moved, seconded by Council Member Fleming, that the City Council sit as the Town Board. The motion carried by voice vote. 18‐9015 Trustee Bastian moved, seconded by Trustee Schwartzman, to approve Town bills and warrants be drawn in payment of same.

Fund Title Amount

Town Fund $1,010.00

General Assistance Fund $1,810.53

IMRF Fund $2,880.27

Social Security/Medicare Fund $2,442.94

Liability Fund

Audit Fund

Total $8,143.74

Roll Call #15: Ayes: Trustees Bastian, Fleming, Andersen, Schwartzman, and Allen, 5. Nays: None Absent: Trustees Dennis, and Karlin, 2. Chairman declared motion carried. 18‐9016 Trustee Fleming Allen, seconded by Trustee Andersen, to approve Resolution 18‐02 establishing Prevailing Wages for the Town of the City of Galesburg. Roll Call #16: Ayes: Trustees Bastian, Andersen, Schwartzman, and Allen, 4. Nays: Trustee Member Fleming, 1. Absent: Trustees Dennis, and Karlin, 2. Chairman declared motion carried. Trustee Allen moved, seconded by Trustee Dennis, that the Town Board resume sitting as the City Council. The motion carried by voice vote.

CLOSING COMMENTS Council Member Schwartzman thanked the people that came to tonight’s meeting in hopes

that the rental housing and housing minimum standard ordinances would have passed. He asked that citizens be mindful of the excessive heat and ask that people watch out for others that may be suffering from the heat.


Council Member Allen added that Run Galesburg Run and First Fridays were held over the weekend and were very successful and there are many more fun events coming up in the near future.

Mayor Pritchard thanked the Downtown Council for stepping forward and purchasing the

property needed to continue with Park Plaza renovation. Mayor Pritchard added that we need to be on the lookout for children playing now that they are out of school. There being no further business, Council Member Allen moved, seconded by Council Member Bastian, to adjourn the regular meeting at 7:37 p.m. Roll Call #17: Ayes: Council Members Bastian, Fleming, Andersen, Schwartzman, and Allen, 5. Nays: None Absent: Council Member Dennis, and Karlin, 2. Chairman declared motion carried.

John Pritchard, Mayor

Ericka Gillenwater, Deputy City Clerk

____________________________________________________________________________________________ Prepared by: MMB Page 1 of 1

COUNCIL LETTER CITY OF GALESBURG

JUNE 18, 2018

AGENDA ITEM: Resolution for the temporary closure of Main Street for the 2018 Railroad Days.

SUMMARY RECOMMENDATION: The City Manager and Director of Planning and Public Works recommend the Council approve this Resolution.

BACKGROUND: The Railroad Days Committee will hold the Railroad Days Celebration from June 19 - 24, 2018. The City Council previously approved the special events request to close Main Street for this year’s event.

The closure of Main Street (U.S. Route 150) from Seminary to the west side of the square requires state approval. A detour will be established around Main Street from Ferris to Simmons. Main Street (U.S. Route 150) is a state marked route and needs the approval of Illinois Department of Transportation (IDOT), which is requested in the form of the attached Resolution.

Street Division personnel will be responsible for the signing/barricading of this detour and street closures.

BUDGET IMPACT: Cost of implementation is included in the Street Division Budget.

SUPPORTING DOCUMENTS: 1. Resolution2. RR Days Map

18-2012

ATTACHMENT 6.D RESOLUTION

WHEREAS, the ________________ is sponsoring a _______________ in the ______________ of ________________ which constitutes a public purpose; WHEREAS, this ________________ will require the temporary closure of ____________, a State Highway in the _____________ of ______________ from ______________ to _____________ and from ______________ to _______________; WHEREAS, Section 4-408 of the Illinois Highway Code authorizes the Department of Transportation to issue permits to local authorities to temporarily close portions of State Highways for such public purposes. NOW THEREFORE, BE IT RESOLVED by the _________________ of the ___________________ of __________________ that permission to close off __________________ from ___________________ to __________________ and from _______________ to _________________ as above designated, be requested of the Department of Transportation.

BE IT FURTHER RESOLVED that this closure shall occur during the approximate time period between __________________ M. and ___________________ M. on ________________, 20____.

BE IT FURTHER RESOLVED that traffic from that closed portion of highway shall be detoured

over routes with an all weather surface that can accept the anticipated traffic, which will be maintained to the satisfaction of the Department and which is conspicuously marked for the benefit of traffic diverted from the State highway. (The parking of vehicles shall be prohibited on the detour routes to allow an uninterrupted flow of two-way traffic.)* The detour route shall be as follows: _____________ _____________________________________________________________________________________ _____________________________________________________________________________________ ____________________________________________________________________________________. * To be used when appropriate.

BE IT FURTHER RESOLVED, that the _________________________ assumes full responsibility for the direction, protection, and regulation of the traffic during the time the detour is in effect.

BE IT FURTHER RESOLVED, that police officers or authorized flaggers shall at the expense of the

_____________________ be positioned at each end of the closed section and at other points (such as intersections) as may be necessary to assist in directing traffic through the detour.

BE IT FURTHER RESOLVED, that police officers, flaggers, and officials shall permit emergency vehicles in emergency situations to pass through the closed area as swiftly as is safe for all concerned. BE IT FURTHER RESOLVED, that all debris shall be removed by the ___________________ prior to reopening the State highway.

BE IT FURTHER RESOLVED, that such signs, flags, barricades, etc., shall be used by the _____________________ as may be approved by the Illinois Department of Transportation. These items shall be provided by the ________________________________.

mboos

Typewritten Text

City of Galesburg

mboos

Typewritten Text

Railroad Days

mboos

Typewritten Text

City

mboos

Typewritten Text

Galesburg

mboos

Typewritten Text

Event

mboos

Typewritten Text

Main St (US 150)

mboos

Typewritten Text

City

mboos

Typewritten Text

mboos

Typewritten Text

mboos

Typewritten Text

Galesburg

mboos

Typewritten Text

mboos

Typewritten Text

mboos

Typewritten Text

6am June 19, 2018

mboos

Typewritten Text

9pm June 24, 2018

mboos

Typewritten Text

mboos

Typewritten Text

mboos

Typewritten Text

mboos

Typewritten Text

mboos

Typewritten Text

mboos

Typewritten Text

City Council

mboos

Typewritten Text

City

mboos

Typewritten Text

Galesburg

mboos

Typewritten Text

Main Street (U.S. 150)

mboos

Typewritten Text

Seminary Street

mboos

Typewritten Text

Cedar Street

mboos

Typewritten Text

6 am

mboos

Typewritten Text

9pm continuous from

mboos

Typewritten Text

June 19 thru June 24

mboos

Typewritten Text

18

mboos

Typewritten Text

Westbound traffic will be detoured Seminary Street to Ferris Street to Cedar Street to Main Street (U.S. 150)

mboos

Typewritten Text

Eastbound traffic will be detoured West Street to Simmons Street to Seminary Street to Main Street (U.S. 150)

mboos

Typewritten Text

See attached map.

mboos

Typewritten Text

City of Galesburg

mboos

Typewritten Text

City

mboos

Typewritten Text

City

mboos

Typewritten Text

City

mboos

Typewritten Text

City

mboos

Typewritten Text

BE IT FURTHER RESOLVED, that the closure and detour shall be marked according to the Illinois Manual on Uniform Traffic Control Devices.

BE IT FURTHER RESOLVED, that an occasional break shall be made in the procession so that

traffic may pass through. In any event, adequate provisions will be made for traffic on intersecting highways pursuant to conditions noted above. (Note: This paragraph is applicable when the Resolution pertains to a Parade or when no detour is required.)

BE IT FURTHER RESOLVED, that to the fullest extent permitted by law, the

__________________________________ shall be responsible for any and all injuries to persons or damages to property, and shall indemnify and hold harmless the Illinois Department of Transportation, its officers, employees and agents from any and all claims, lawsuits, actions, costs and fees (including reasonable attorneys’ fees and expenses) of every nature or description, arising out of, resulting from or connected with the exercise of authority granted by the Department which is the subject of this resolution. The obligation is binding upon the _______________________________ regardless of whether or not such claim, damage, loss or expense is caused in part by the act, omission or negligence of the Department or its officers, employees or agents.

BE IT FURTHER RESOLVED, that the ________________________________ shall provide a

comprehensive general liability policy or an additional named insured endorsement in the minimum amount of $1,000,000 per person and $2,000,000 aggregate which has the Illinois Department of Transportation, its officials, employees and agents as insureds and which protects them from all claims arising from the requested road closing. A copy of said policy or endorsement will be provided to the Department before the road is closed.

BE IT FURTHER RESOLVED, that a copy of this resolution be forwarded to the Department of

Transportation to serve as a formal request for the permission sought in this resolution and to operate as part of the conditions of said permission.

ADOPTED by the _____________________________ of the ______________________________

this _____________________ day of ____________________________, 20 ____, A.D.

________________________________________

________________________________________ MUNICIPAL CLERK

APPROVED by the ____________________________ of the ______________________________ this _____________________ day of ____________________________, 20 ____, A.D.

ATTEST: _______________________ _______________________________________

_______________________ _______________________________________ MUNICIPAL CLERK MAYOR

mboos

Typewritten Text

City

mboos

Typewritten Text

City

mboos

Typewritten Text

City

mboos

Typewritten Text

Council

mboos

Typewritten Text

City of Galesburg

mboos

Typewritten Text

18th

mboos

Typewritten Text

June

mboos

Typewritten Text

18

mboos

Typewritten Text

Council

mboos

Typewritten Text

City of Galesburg

mboos

Typewritten Text

18th

mboos

Typewritten Text

June

mboos

Typewritten Text

18

""

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"k

k

k

k

S SEM

INAR

Y ST

N SE

MINM

ARY

ST

£¤150£¤150

E FERRIS ST

E SIMMONS ST

S CE

DAR

STN

CEDA

R ST

W FERRIS ST

S PR

AIRI

E ST

N PR

AIRI

E ST

N CH

ERRY

ST

S CH

ERRY

ST

N KE

LLOG

G ST

W SIMMONS ST

S KE

LLOG

G ST

PUBLIC SQ

E MAIN STW MAIN ST

N BR

OAD

STS B

ROAD

ST

June 08, 2018

/

Other

Main St Detour

Local Access

k Signs

"

" BarricadesCARNIVAL (TUES-SUN)CAR SHOW / GAMES (SAT AM - SUN)

VENDORS / STREET FAIR (FRI - SUN))ZOO & VENDORS (SAT AM - SUN)

MUSIC (SAT AM - SUN)CLOSED (SAT AM - SUN)DESIGNATED PARKING

100 0 100 200 300 400 500 600 70050Feet

RR Days 2018Department of Planning and Public WorksCITY OF GALESBURGOperating Under Council-Manager Government Since 1957

___________________________________________________________________________________________________________________________________________________________________________________________

Prepared by GPO Page 1 of 1

CITY OF GALESBURG COUNCIL LETTER

JUNE 18, 2018

AGENDA ITEM: Utilize Illinois Portfolio as an investment option.

SUMMARY RECOMMENDATION: The City Manager and Director of Finance and Information Systems recommend approval of the utilization of the Illinois Portfolio as an investment option for the City of Galesburg.

BACKGROUND: An investment tool is available to diversify the City’s investment portfolio. The Illinois Portfolio is a diversified, open-end actively managed investment trust designed to address the short-term cash investment needs of Illinois public investors. The investment stresses safety of principal as its number one objective, which is underscored by its AAAm rating from Standards and Poor’s. The trust is owned and operated by its investors, which ensures that the trust remains focused on the particular needs of the Illinois municipal investors. As of the writing of the council letter, the current rate of the Illinois Portfolio is 1.93%.

The City would use the Illinois Portfolio similarly to Illinois Funds, which is another short-term cash investment tool. For example, same day wires requests and ACH which settles the next business day requests are allowed with a deadline of 1:00 PM request versus an 11:00 AM request deadline for Illinois Funds. No fee is charged for these transactions.

BUDGET IMPACT: The City will continue to earn competitive interest on the funds invested in this investment trust.

SUPPORTING DOCUMENTATION: 1. Illinois Institutional Investors Trust (IIIT) Declaration of Trust, 20022. Illinois Trust Information Statement, February 23, 2016 (Supplement Information)3. Illinois Portfolio Investment Resolution

18-4070

An Illinois Entity formed pursuant to the 1970 Constitution of the State of Illinois,

the Intergovernmental Cooperation Act, and the Public Funds Investment Act.

ILLINOIS INSTITUTIONAL INVESTORS TRUST

DECLARATION OF TRUST October 18, 2002

Amended and Restated April 26, 2007

TABLE OF CONTENTS

PAGE

ARTICLE I. THE FUND...................................................................................................... 3

Section 1.1. Name.................................................................................................... 3

Section 1.2. Purpose; Only Public Agencies to Be Participants .............................. 3

Section 1.3. Location ............................................................................................... 3

Section 1.4. Nature of Fund and Declaration of Trust............................................. 4

Section 1.5. Definitions............................................................................................ 4

ARTICLE II. POWERS OF THE TRUSTEES...................................................................... 6

Section 2.1. General................................................................................................. 6

Section 2.2. Legal Title............................................................................................ 7

Section 2.3. Disposition of Assets ........................................................................... 8

Section 2.4. Taxes .................................................................................................... 8

Section 2.5. Rights as Holders of Fund Property..................................................... 8

Section 2.6. Delegation; Committees....................................................................... 8

Section 2.7. Collection............................................................................................. 8

Section 2.8. Payment of Expenses ........................................................................... 9

Section 2.9. Borrowing and Indebtedness................................................................ 9

Section 2.10. Deposits................................................................................................ 9

Section 2.11. Valuation.............................................................................................. 9

Section 2.12. Fiscal Year; ........................................................................................ 10

Section 2.13. Concerning the Fund and Certain Affiliates ...................................... 10

Section 2.14. Investment Program........................................................................... 11

Section 2.15. Power to Contract, Appoint, Retain and Employ .............................. 11

Section 2.16. Insurance ............................................................................................ 12

Section 2.17. Indemnification .................................................................................. 12

Section 2.18. Remedies............................................................................................ 12

Section 2.19. Information Statement ....................................................................... 12

Section 2.20. Further Powers ................................................................................... 12

ARTICLE III. THE INVESTMENT ADVISER, THE ADMINISTRATOR, THE DISTRIBUTOR AND THE INDEPENDENT ACCOUNTANT ................. 12

Section 3.1. Appointment of Adviser, Administrator and Distributor................... 12

-i-

Section 3.2. Duties of the Adviser ......................................................................... 12

Section 3.3. Duties of the Administrator ............................................................... 12

Section 3.4. Duties of the Distributor .................................................................... 13

Section 3.5 Successors .......................................................................................... 13

Section 3.6. Appointment and Duties of the Independent Accountant.................. 13

ARTICLE IV. INVESTMENTS............................................................................................ 13

Section 4.1. Statement of Investment Policy and Objective.................................. 13

Section 4.2. Permitted Investments........................................................................ 13

Section 4.3. Restrictions Fundamental to the Fund ............................................... 14

Section 4.4. Amendment of Restrictions ............................................................... 15

ARTICLE V. LIMITATIONS OF LIABILITY................................................................... 16

Section 5.1. Liability to Third Persons .................................................................. 16

Section 5.2. Liability to the Fund or to the Participants ........................................ 16

Section 5.3. Indemnification .................................................................................. 16

Section 5.4. Surety Bonds...................................................................................... 17

Section 5.5. Apparent Authority ............................................................................ 17

Section 5.6. Recitals............................................................................................... 17

Section 5.7. Reliance on Experts, Etc .................................................................... 17

ARTICLE VI. CHARACTERISTICS OF SHARES............................................................. 18

Section 6.1. Beneficial Interest .............................................................................. 18

Section 6.2. Rights of Participants......................................................................... 18

Section 6.3. Series or Class Designation ............................................................... 18

Section 6.4. Allocation of Shares........................................................................... 18

Section 6.5. Evidence of Share Allocation ............................................................ 19

Section 6.6. Redemption to Maintain Constant Net Asset Value .......................... 19

Section 6.7. Redemptions ...................................................................................... 19

Section 6.8. Suspension of Redemption; Postponement of Payment .................... 19

Section 6.9. Minimum Redemption ....................................................................... 20

Section 6.10. Defective Redemption Requests ........................................................ 20

ARTICLE VII. RECORD OF SHARES................................................................................. 20

Section 7.1. Share Register .................................................................................... 20

Section 7.2. Registrar............................................................................................. 21

Section 7.3. Owner of Record................................................................................ 21

-ii-

Section 7.4. No Transfers of Shares....................................................................... 21

Section 7.5. Limitation of Fiduciary Responsibility.............................................. 21

Section 7.6. Notices ............................................................................................... 21

ARTICLE VIII. TRUSTEES AND OFFICERS ...................................................................... 21

Section 8.1. Number and Qualification.................................................................. 21

Section 8.2. Organizational Trustees ..................................................................... 22

Section 8.3. Term and Election.............................................................................. 22

Section 8.4. Resignation and Removal .................................................................. 23

Section 8.5. Vacancies ........................................................................................... 23

Section 8.6. By-Laws............................................................................................. 24

ARTICLE IX. DETERMINATION OF NET ASSET VALUE AND NET INCOME DISTRIBUTIONS TO PARTICIPANTS...................................................... 24

Section 9.1. By-Laws to Govern Net Asset Value, Net Income and Distribution Procedures ..................................................................... 24

ARTICLE X. CUSTODIAN ................................................................................................ 24

Section 10.1. Duties ................................................................................................. 24

Section 10.2. Appointment ...................................................................................... 24

Section 10.3. Sub-Custodians .................................................................................. 24

Section 10.4. Successors .......................................................................................... 25

Section 10.5. Additional Custodians........................................................................ 25

ARTICLE XI. RECORDING OF DECLARATION OF TRUST......................................... 25

Section 11.1. Recording........................................................................................... 25

ARTICLE XII. AMENDMENT OR TERMINATION OF FUND; DURATION OF FUND............................................................................................................. 25

Section 12.1. Amendment or Termination............................................................... 25

Section 12.2. Power to Effect Reorganization ......................................................... 27

Section 12.3. Duration ............................................................................................. 27

ARTICLE XIII. MISCELLANEOUS ...................................................................................... 27

Section 13.1. Governing Law .................................................................................. 27

Section 13.2. Counterparts....................................................................................... 27

Section 13.3. Reliance by Third Parties................................................................... 27

Section 13.4. Provisions in Conflict with Law ........................................................ 27

Section 13.5. Gender; Section Headings.................................................................. 28

-iii-

Section 13.6. Adoption by Public Agencies Electing to Become Additional

Participants; Resignation of Participants ........................................... 28

-iv-

THIS DECLARATION OF TRUST made as of the 18th day of October 2002, and as amended and restated as of April 26, 2007.

W I T N E S S E T H

WHEREAS, Section 10 of Article VII of the 1970 Constitution of the State of Illinois (the “Illinois Constitution”) provides, inter alia, that “Units of local government and school districts may contract or otherwise associate among themselves…to obtain or share services and to exercise, combine, or transfer any power or function, in any manner not prohibited by law or by ordinance,” and further provides that “Units of local government and school districts may contract and otherwise associate with individuals, associations, and corporations in any manner not prohibited by law or by ordinance”; and

WHEREAS, Section 1 of Article VII of the Illinois Constitution provides that:

“Municipalities” means cities, villages and incorporated towns. “Units of local government” means counties, municipalities, townships, special districts, and units, designated as units of local government by law, which exercise limited governmental powers or powers in respect to limited governmental subjects, but does not include school districts;

and

WHEREAS, the Intergovernmental Cooperation Act, 5 ILCS 220/1 et seq., (the “Intergovernmental Cooperation Act”) provides that “any power or powers, privileges, functions, or authority exercised or which may be exercised by a public agency of this State may be exercised, combined, transferred, and enjoyed jointly with any other public agency of this State…except where specifically and expressly prohibited by law”; 5 ILCS 220/3; and

WHEREAS, the Intergovernmental Cooperation Act defines the term “public agency” as:

Any unit of local government as defined in the Illinois Constitution of 1970, any school district, any public community college district, and public building commission, the State of Illinois, any agency of the state government or of the United States, or of any other state, any political subdivision of another state, and any combination of the above pursuant to an intergovernmental agreement which includes provisions for a governing body of the agency created by the agreement;

and

WHEREAS, the Public Funds Investment Act, 30 ILCS 235/0.01 et seq., (the “Public Funds Investment Act”) provides that “Any public agency may invest any public funds” in the authorized investments provided for in that Act, 30 ILCS 235/2; and

WHEREAS, the Public Funds Investment Act defines the term “public agency” as follows:

The words “public agency” as used in this Act, “mean the State of Illinois, the various counties, townships, cities, towns, villages, school districts, educational service regions, special rural districts, public water supply districts, fire protection districts, drainage districts, levy districts, sewer districts, housing authorities, the Illinois Bank Examiners Education Foundation, the Chicago Park District, and all other political corporations or subdivisions of the State of Illinois, now or hereafter created, whether herein specifically mentioned or not”;

and

WHEREAS, the Initial Participants are public agencies and units of local government within the meaning of the Illinois Constitution, the Intergovernmental Cooperation Act, and the Public Funds Investment Act, and are authorized to enter into this Declaration of Trust pursuant to, inter alia, the provision of Section 10, Article VII of the Illinois Constitution, the Intergovernmental Cooperation Act, and the Public Funds Investment Act; and

WHEREAS, pursuant to such authority, the Initial Participants desire to enter into an agreement and thereby establish an entity for joint investment, pursuant to this Declaration of Trust, for the purpose of combining their respective available investment funds so as to enhance the investment opportunities available to them and increase the investment earnings accruing to the benefit of the Participants; and

WHEREAS, pursuant to such authority, this Declaration of Trust is intended to be an agreement entered into for the purpose of better performing the Participants’ responsibility to invest the funds of their respective Public Agency in accordance with the Laws of the State of Illinois; and

WHEREAS, this Declaration of Trust is intended to constitute an intergovernmental agreement pursuant to the authority conferred by the Illinois Constitution, the Intergovernmental Cooperation Act, and the Public Funds Investment Act; and

WHEREAS, each of the Participants has duly taken all official action necessary and appropriate to become a party to this Declaration of Trust; and

WHEREAS, it is proposed that the beneficial interest in the Fund’s assets shall be divided into non-transferable shares of beneficial interest, which shall be evidenced by a share register maintained by the Fund or its agent; and

WHEREAS, the Participants anticipate that other Public Agencies may wish to become Participants by adopting this Declaration of Trust and thus becoming parties to it;

NOW, THEREFORE, the Participants hereby declare that all money and property contributed to the Trust established under this Declaration of Trust shall be held and managed in

trust for the proportionate benefit of the holders of record from time to time of shares of beneficial interest issued and to be issued hereunder, without privilege, priority or distinction among such holders, except as otherwise specifically provided herein, and subject to the terms, covenants, conditions, purposes and provisions hereof.

ARTICLE I. THE FUND

Section 1.1. Name. The name of the common law trust created by this Declaration of Trust shall be the Illinois Institutional Investors Trust (the “Fund”) and, so far as may be practicable, the Trustees shall conduct the Fund’s activities, execute all documents and sue or be sued under that name, which name (and the word “Fund” wherever used in this Declaration of Trust, except where the context otherwise requires) shall refer to the Trustees in their capacity as Trustees, and not individually or personally, and shall not refer to the officers, agents, employees, counsel, advisers, consultants, accountants or Participants of the Fund or of such Trustees. Should the Trustees determine that the use of such name is not practicable, legal or convenient, they may use such other designation or they may adopt such other name for the Fund as they deem proper, and the Fund may hold Property and conduct its activities under such designation or name. The Trustees shall take such action as they, acting with the advice of counsel, shall deem necessary or appropriate to file or register such name in accordance with the Laws of the State of Illinois or the United States of America so as to protect and reserve the right of the Fund in and to such name. The Trustees shall have full and complete power to change the name of the Fund at any time and from time to time, in their sole and absolute discretion, without the affirmative vote of a majority of the Participants entitled to vote as set forth in Article XII hereof, provided that notice of any such change of name shall be promptly given to the Participants.

Section 1.2. Purpose; Only Public Agencies to Be Participants.

(a)

(b)

The purpose of the Fund is to provide an instrumentality and agency through which Public Agencies organized under Laws of the State of Illinois, may jointly act, agree and cooperate in accordance with the Laws of the State of Illinois in the performance of their responsibilities to invest available funds so as to enhance their investment opportunities pursuant to an investment program conducted in accordance with the Laws of the State of Illinois, from time to time in effect, governing the investment of the funds of Public Agencies. Any Public Agency which is a Participant in this Agreement may authorize its treasurer or other duly authorized official to act on its behalf with respect to the funds of such Public Agency.

No Public Agency shall become a Participant unless and until the governing board of such Public Agency has adopted this Declaration of Trust in accordance with Section 13.6(a) hereof. A Public Agency must make a minimum investment of $100.00 in the Fund to become a Participant and must maintain a minimum investment balance of $100.00 in the Fund in order for such Public Agency to exercise the rights and obligations of a Participant. A Participant whose minimum investment falls below $100.00 may again exercise the rights and obligations of a Participant during such times as its investment exceeds the minimum balance of $100.00

Section 1.3. Location. The Fund shall maintain an office of record in the State of Illinois and may maintain such other offices or places of business as the Trustees may from time to time determine.

Section 1.4. Nature of Fund and Declaration of Trust.

(a)

(b)

The Fund shall be a common law trust organized and existing under the Laws of the State of Illinois. The Fund is not intended to be, shall not be deemed to be, and shall not be treated as, a general partnership, limited partnership, joint venture, corporation, investment company or joint stock company. The Participants shall be beneficiaries of the Fund, and their relationship to the Trustees shall be solely in their capacity as Participants and beneficiaries in accordance with the rights conferred upon them hereunder.

This Declaration of Trust is an agreement of indefinite term regarding the deposit, redeposit, investment, reinvestment and withdrawal of Public Agency funds within the meaning of the Laws of the State of Illinois.

Section 1.5. Definitions. As used in this Declaration of Trust, the following terms shall have the following meanings unless the context hereof otherwise requires:

“Administrator” shall mean any Person or Persons appointed, employed or contracted with by the Trustees under the applicable provisions of Section 3.1 hereof.

“Administration Agreement” shall mean the agreement with the Administrator referred to in Section 3.3 hereof as the same may be amended from time to time.

“Adviser” shall mean any Person or Persons appointed, employed or contracted with by the Trustees under the applicable provisions of Section 3.1 hereof.

“Affiliate” shall mean, with respect to any Person, another Person directly or indirectly controlling, controlled by or under common control with such Person, or any officer, director, partner or employee of such Person.

“Class” shall mean a category of the Shares of a Series or of the Fund if there are no Series, which category is authorized by the Trustees pursuant to Article VI hereof

“Custodian” shall mean any Person or Persons appointed, employed or contracted with by the Trustees under the applicable provisions of Article X hereof.

“Custodian Agreement” shall mean the agreement with a Custodian referred to in Article XI hereof as such agreement may be amended from time to time.

“Declaration of Trust” shall mean this Declaration of Trust as amended, restated or modified from time to time. References in this Declaration of Trust to “Declaration,” “hereof,” “herein,” “hereby” and “hereunder” shall be deemed to refer to the Declaration of Trust and shall not be limited to the particular text, article or section in which such words appear.

“Distributor” shall mean any Person or Persons appointed, employed or contracted with by the Trustees under the applicable provisions of Section 3.1 hereof.

“Distribution Agreement” shall mean the agreement with the Distributor referred to in Section 3.4 as the same may be amended from time to time.

“Fund” shall mean the common law trust created by this Declaration of Trust.

“Fund Property” or “Property” shall mean, as of any particular time, any and all Property, real, personal or otherwise, tangible or intangible, which is transferred, conveyed or paid to the Fund or Trustees, and all income, profits and gains therefrom, and which, at such time, is owned or held by, or for the account of, the Fund or the Trustees.

“Information Statement” shall mean the information statement or other descriptive document or documents adopted as such by the Trustees and distributed by the Fund to Participants and potential Participants of the Fund as the same may be amended by the Trustees from time to time.

“Initial Participants” shall mean the Public Agencies which initially formed this Fund as of October 18, 2002 by the execution and adoption of this Declaration of Trust.

“Investment Advisory Agreement” shall mean the agreement with the Adviser referred to in Section 3.2 hereof as the same may be amended from time to time.

“Law” or “Laws” shall mean common law and all ordinances, statutes, rules, regulations, orders, injunctions, decisions, opinions or decrees of any government or political subdivision or agency thereof, or any court or similar entity established by any thereof.

“Participants” shall mean the Public Agencies which are the Initial Participants and the Public Agencies which adopt this Declaration of Trust pursuant to Section 13.6(a) hereof.

“Permitted Investments” shall mean the investments referred to in paragraphs (a) through (h) of Section 4.2 hereof.

“Person” shall mean and include individuals, corporations, limited partnerships, general partnerships, joint stock companies or associations, joint ventures, associations, companies, trusts, banks, trust companies, land trusts, business trusts or other entities (whether or not legal entities) and governments and agencies and political subdivisions thereof, but shall not include the Trust.

“Public Agency” or “Public Agencies” shall mean those units of local government, school districts, and political corporations or subdivisions of the State of Illinois which are authorized to enter into intergovernmental agreements pursuant to the provisions of Section 10 of Article VII of the Illinois Constitution and the Intergovernmental Cooperation Act, and which are authorized to invest their funds pursuant to the provisions of the Public Funds Investment Act.

“Section 2” shall mean Section 2 of the Public Funds Investment Act, as heretofore amended, and as the same may be amended from time to time.

“Series” shall mean a category of the Shares authorized by the Trustees pursuant to Article VI hereof.

“Share” shall mean the unit used to denominate and measure the respective pro rata beneficial interests of the Participants in the Fund (or any Series or any Class thereof) as described in Article VI.

“Share Register” shall mean the register of Shares maintained pursuant to Section 7.1 hereof.

“Trustees” shall mean the Persons who become fiduciaries of the Fund pursuant to Article VIII hereof.

ARTICLE II. POWERS OF THE TRUSTEES

Section 2.1. General.

(a) Subject to the rights of the Participants as provided herein, the Trustees shall have, without other or further authorization, full, exclusive and absolute power, control and authority over the Fund Property and over the affairs of the Fund to the same extent as if the Trustees were the sole and absolute owners of the Fund Property in their own right, and with such powers of delegation as may be permitted by this Declaration of Trust. The Trustees may do and perform such acts and things as in their sole judgment and discretion are necessary and proper for conducting the affairs of the Fund or promoting the interests of the Fund and the Participants. The enumeration of any specific power or authority herein shall not be construed as limiting the aforesaid general power or authority or any specific power or authority. The Trustees may exercise any power authorized and granted to them by this Declaration of Trust. Such powers of the Trustees may be exercised without the necessity of any order of, or resort to, any court.

(b) The Trustees shall have the power to conduct, operate and provide an investment program for the investment of funds of Public Agencies; and for such consideration as they may deem proper and as may be required by Law, to subscribe for, invest in, reinvest in, purchase or otherwise acquire or otherwise deal in or dispose of investment instruments constituting “Permitted Investments” as described in Section 4.2. The Trustees shall have the power to enter into contracts and agreements with respect to the purchase and sale of permitted investments.

(c) In the exercise of their powers, the Trustees shall not be limited, except as otherwise provided hereunder, to investing in Permitted Investments maturing before the possible termination of the Fund. Except as otherwise provided in this Declaration of Trust, the Trustees shall not be limited by any Law now or hereafter in effect limiting the investments which may be held or retained by trustees or other fiduciaries, and they shall have full authority and power to make any and all Permitted Investments within the limitations of this Declaration of Trust that they, in their absolute discretion, shall determine to be advisable and appropriate. The Trustees shall have no liability for loss with respect to Permitted Investments made within

the terms of this Declaration of Trust, even though such investments shall be of a character or in an amount not considered proper for the investment of trust funds by trustees or other fiduciaries. The Trustees shall be permitted only to make Permitted Investments in accordance with Article IV of this Declaration of Trust.

Section 2.2. Legal Title.

Legal title to all of the Fund Property shall be vested in the Trustees on behalf of the Participants and be held by and transferred to the Trustees, except that the Trustees shall have full and complete power to cause legal title to any Fund Property to be held, on behalf of the Participants, by or in the name of the Fund, or in the name of any other Person as nominee, on such terms, in such manner, and with such powers as the Trustees may determine, so long as in their judgment the interest of the Fund is adequately protected.

The right, title and interest of the Trustees in and to the Fund Property shall vest automatically in all persons who may hereafter become Trustees upon their due election and qualification without any further act. Upon the resignation, disability, removal, adjudication as an incompetent, or death of a Trustee, he (and in the event of his death, his estate) shall automatically cease to have any right, title or interest in or to any of the Fund Property, and the right, title and interest of such Trustee in and to the Fund Property shall vest automatically in the remaining Trustees without any further act.

Section 2.3. Disposition of Assets. Subject in all respects to Article IV hereof, the Trustees shall have full and complete power to sell, exchange or otherwise dispose of any and all Fund Property free and clear of any and all trusts and restrictions, at public or private sale, for cash or on terms, with or without advertisement, and subject to such restrictions, stipulations, agreements and reservations as they shall deem proper, and to execute and deliver any deed, power, assignment, bill of sale, or other instrument in connection with the foregoing. The Trustees shall also have full and complete power, subject in all respects to Article IV hereof, and in furtherance of the affairs and purposes of the Fund, to give consents and make contracts relating to Fund Property or its use.

Section 2.4. Taxes. The Trustees shall have full and complete power: (i) to pay all taxes or assessments, of whatever kind or nature, validly and lawfully imposed upon or against the Fund or the Trustees in connection with the Fund Property or upon or against the Fund Property or income or any part thereof; (ii) to settle and compromise disputed tax liabilities; and (iii) for the foregoing purposes to make such returns and do all such other acts and things as may be deemed by the Trustees to be necessary or desirable.

Section 2.5. Rights as Holders of Fund Property. The Trustees shall have full and complete power to exercise on behalf of the Participants all of the rights, powers and privileges appertaining to the ownership of all or any Permitted Investments or other Property forming part of the Fund Property to the same extent that any individual might, and, without limiting the generality of the foregoing, to vote or give any consent, request or notice or waive any notice either in person or by proxy or power of attorney, with or without the power of substitution, to one or more Persons, which proxies and powers of attorney may be for meetings or actions

generally, or for any particular meeting or action, and may include the exercise of discretionary powers.

Section 2.6. Delegation; Committees. The Trustees shall have full and complete power (consistent with their continuing exclusive authority over the management of the Fund, the conduct of its affairs, their duties and obligations as Trustees, and the management and disposition of Fund Property) to delegate from time to time to such one or more of their number (who may be designated as constituting a Committee of the Trustees) or to officers, employees or agents of the Fund (including, without limitation, the Administrator, the Adviser and the Custodian) the doing of such acts and things and the execution of such instruments either in the name of the Fund, or the names of the Trustees or as their attorney or attorneys, or otherwise as the Trustees may from time to time deem expedient and appropriate in the furtherance of the business affairs and purposes of the Fund.

Section 2.7. Collection. The Trustees shall have full and complete power: (i) to collect, sue for, receive and receipt for all sums of money or other property due to the Fund; (ii) to consent to extensions of the time for payment, or to the renewal of any securities, investments or obligations; (iii) to engage or intervene in, prosecute, defend, compromise, abandon or adjust by arbitration or otherwise any actions, suits, proceedings, disputes, claims, demands or things relating to the Fund Property; (iv) to foreclose any collateral, security or instrument securing any investments, notes, bills, bonds, obligations or contracts by virtue of which any sums of money are owed to the Fund; (v) to exercise any power of sale held by them, and to convey good title thereunder free of any and all trusts, and in connection with any such foreclosure or sales to purchase or otherwise acquire title to any property; (vi) to be parties to reorganization and to transfer to and deposit with any corporation, committee, voting trustee or other Person any securities, investments or of any Person which form a part of the Fund Property, for the purpose of such reorganization or otherwise: (vii) to participate in any arrangement for enforcing or protecting the interests of the Trustees as the owners or holders of such securities, investments or obligations and to pay any assessment levied in connection with such reorganization or arrangement; (viii) to extend the time (with or without security) for the payment or delivery of any debts or property and to execute and enter into releases, agreements and other instruments; and (ix) to pay or satisfy any debts or claims upon any evidence that the Trustees shall deem sufficient.

Section 2.8. Payment of Expenses. The Trustees shall have full and complete power: (i) to incur and pay any charges or expenses which in the opinion of the Trustees are necessary or incidental to or proper for carrying out any of the purposes of this Declaration of Trust; (ii) to reimburse others for the payment therefor; and (iii) to pay appropriate compensation or fees from the funds of the Fund to Persons with whom the Fund has contracted or transacted business. The Trustees shall fix the compensation, if any, of all officers and employees of the Fund. The Trustees shall not be paid compensation for their general services as Trustees hereunder. The Trustees may pay themselves or any one or more of themselves reimbursement for expenses reasonably incurred by themselves or any one or more of themselves on behalf of the Fund. The Trustees may allocate such expenses among various Series and Classes in such manner and proportion as appropriate in the discretion of the Trustees.

Section 2.9. Borrowing and Indebtedness. The Trustees shall not have the power to borrow money or incur indebtedness on behalf of the Fund, or authorize the Fund to borrow money or incur indebtedness, except as provided in paragraph (d) of Section 4.2 of this Declaration of Trust, but only if and to the extent permitted by Law.

Section 2.10. Deposits. The Trustees shall have full and complete power to deposit, in such manner as may now and hereafter be permitted by Law, any moneys or funds included in the Fund Property, and intended to be used for the payment of expenses of the Fund or the Trustees, with one or more banks, trust companies or other banking institutions whether or not such deposits will draw interest. Such deposits are to be subject to withdrawal in such manner as the Trustees may determine, and the Trustees shall have no responsibility for any loss which may occur by reason of the failure of the bank, trust company or other banking institution with which the moneys, investments, or securities have been deposited. Each such bank, trust company or other banking institution shall comply, with respect to such deposit, with all applicable requirements of all applicable Laws including, but not limited to, the laws governing each participating Public Agency.

Section 2.11. Valuation. The Trustees shall have full and complete power to determine in good faith conclusively the value of any of the Fund Property and to revalue the Fund Property.

Section 2.12. Fiscal Year. The Trustees shall have full and complete power to determine the fiscal year of the Fund and the method or form in which its accounts shall be kept and from time to time to change the fiscal year or method or form of accounts. The Trustees may establish different fiscal years for the various Series as appropriate in the discretion of the Trustees.

Section 2.13. Concerning the Fund and Certain Affiliates.

(a)

(b)

The Fund may enter into transactions with any Affiliate of the Fund or of the Adviser, the Administrator, the Custodian or any Affiliate of any Trustee, officer, director, employee or agent of the Fund or of the Adviser, the Administrator, or the Custodian if (i) each such transaction (or type of transaction) has, after disclosure of such affiliation, been approved or ratified by the affirmative vote of a majority of the Trustees, including a majority of the Trustees who are not Affiliates of any Person (other than the Fund) who is a party to the transaction or transactions with the Fund and (ii) such transaction (or type of transaction) is, in the opinion of the Trustees, on terms fair and reasonable to the Fund and the Participants and at least as favorable to them as similar arrangements for comparable transactions (of which the Trustees have knowledge) with organizations unaffiliated with the Fund or with the Person who is a party to the transaction or transactions with the Fund.

Except as otherwise provided in this Declaration of Trust or in the Laws of the State of Illinois, in the absence of fraud, a contract, act or other transaction, between the Fund and any other Person, or in which the Fund is interested, is valid and no Trustee, officer, employee or agent of the Fund has any liability as a result of entering into any such contract, act or transaction even though (i) one or more of the Trustees, officers, employees or agents of such other Person, or (ii) one or more of the Trustees, officers, employees, or agents of the Fund,

individually or jointly with others, is a party or are parties to or directly interested in, or affiliated with, such contract, act or transaction, provided that (i) such interest or affiliation is disclosed to the Trustees and the Trustees authorize such contract, act or other transaction by a vote of a majority of the unaffiliated Trustees, or (ii) such interest or affiliation is disclosed to the Participants, and such contract, act or transaction is approved by a majority of the Participants.

(c)

(d)

(e)

(f)

Any Trustee or officer, employee, or agent of the Fund may, in his personal capacity, or in a capacity as trustee, officer, director, stockholder, partner, member, agent, adviser or employee of any Person, have business interests and engage in business activities in addition to those relating to the Fund, which interests and activities may be similar to those of the Fund and include the acquisition, syndication, holding, management, operation or disposition of securities, investments and funds, for his own account or for the account of such Person. Each Trustee, officer, employee and agent of the Fund shall be free of any obligation to present to the Fund any investment opportunity which comes to him in any capacity other than solely as Trustee, officer, employee or agent of the Fund, even if such opportunity is of a character which, if presented to the Fund, could be taken by the Fund.

Subject to the provisions of Article III hereof, any Trustee or officer, employee or agent of the Fund may be interested as trustee, officer, director, stockholder, partner, member, agent, adviser or employee of, or otherwise have a direct or indirect interest in, any Person who may be engaged to render advice or services to the Fund, and may receive compensation from such Person as well as compensation as Trustee, officer, employee or agent of the Fund or otherwise hereunder. None of the activities and interests referred to in this paragraph (d) shall be deemed to conflict with his duties and powers as Trustee, officer, employee or agent of the Fund.

To the extent that any other provision of this Declaration of Trust conflicts with, or is otherwise contrary to the provisions of, this Section 2.13, the provisions of this Section 2.13 shall be deemed controlling.

Notwithstanding the foregoing provisions of this Section 2.14, the Trustees shall not have the power to engage in any transaction with any Affiliate that would be inconsistent with the Laws of the State of Illinois concerning public ethics and conflicts of interest, and the By-Laws of the Fund may contain provisions more restrictive than those set forth in this Section 2.13.

Section 2.14. Investment Program. The Trustees shall use their best efforts to obtain through the Adviser or other qualified persons a continuing and suitable investment program, consistent with the investment policies and objectives of the Fund set forth in Article IV of this Declaration of Trust, and the Trustees shall be responsible for reviewing and approving or rejecting the investment program presented by the Adviser or such other Persons. Subject to the provisions of Section 2.6 and Section 3.1 hereof, the Trustees may delegate functions arising under this Section 2.14 to one or more of their number or to the Adviser. The Trustees also shall have full and complete power to contract for or to otherwise obtain from or through the Adviser, the Administrator or other qualified Persons for the benefit of, and to make available to, the Participants of the Fund from time to time, additional investment and non-investment programs and services distinct from the Fund’s program of investments measured by Shares, but consistent with the investment goals and objectives of the Fund and the general purposes of this Declaration

of Trust. The Trustees shall have the power to review and approve or reject, in their sole discretion, such additional investment and non-investment programs as may be presented to the Trustees by the Adviser, the Administrator or any other qualified Persons.

Section 2.15. Power to Contract, Appoint, Retain and Employ. Subject to the provisions of Section 2.6 and Section 3.1 hereof with respect to delegation of authority by the Trustees, the Trustees shall have full and complete power to appoint, employ, retain, or contract with any Person of suitable qualifications and high repute (including one or more of themselves and any corporation, partnership, trust or other entity of which one or more of them may be an Affiliate, subject to the applicable requirements of Section 2.13 hereof) as the Trustees may deem necessary, or desirable for the transaction of the affairs of the Fund, or the transaction of the affairs of any additional investment programs or services or non-investment programs or services of any nature affiliated with the Fund or otherwise contracted for or by the Fund, including any Person or Persons who, under the supervision of the Trustees, may, among other things: (i) serve as the Fund’s investment adviser and consultant in connection with policy decisions made by the Trustees; (ii) serve as the Fund’s administrator; (iii) serve as the Fund’s distributor; (iv) furnish reports to the Trustees and provide research, economic and statistical data in connection with the Fund’s investments; (v) act as consultants, accountants, technical advisers, attorneys, brokers, underwriters, corporate fiduciaries, escrow agents, depositaries, custodians or agents for collection, insurers or insurance agents, registrars for Shares or in any other capacity deemed by the Trustees to be necessary or desirable; (vi) investigate, select and, on behalf of the Fund, conduct relations with Persons acting in such capacities and pay appropriate fees to, and enter into appropriate contracts with, or employ, or retain services performed or to be performed by, any of them in connection with the investments acquired, sold, or otherwise disposed of, or committed, negotiated, or contemplated to be acquired, sold or otherwise disposed of; (vii) substitute any other Person for any such Person; (viii) act as attorney-in-fact or agent in the purchase or sale or other disposition of investments, and in the handling, prosecuting or other enforcement of any lien or security securing investments; (ix) assist in the performance of such ministerial functions necessary in the management of the Fund as may be agreed upon with the Trustees; and (x) any of the foregoing as may be agreed upon by the Trustees with regard to any additional investment and non-investment programs and services for the benefit of the Participants.

Section 2.16. Insurance. The Trustees shall have full and complete power to purchase and pay for, entirely out of Fund Property, insurance policies insuring the Fund and the Trustees, officers, employees and agents, of the Fund individually against all claims and liabilities of every nature arising by reason of holding or having held any such office or position, or by reason of any action alleged to have been taken or omitted by the Fund or any such Person as Trustee, officer, employee and agent, including any action taken or omitted that may be determined to constitute negligence, whether or not the Fund would have the power to indemnify such Person against such liability.

Section 2.17. Indemnification. In addition to the mandatory indemnification provided for in Section 5.3 hereof, the Trustees shall have full and complete power, to the extent permitted by applicable Laws, to indemnify or enter into agreements with respect to indemnification with any Person with whom the Fund has dealings, including, without limitation, the Adviser, the

Administrator and the Custodian, to such extent as the Trustees shall determine, subject to such limitations as may arise under law.

Section 2.18. Remedies. Notwithstanding any provision in this Declaration of Trust, when the Trustees deem that there is a significant risk that an obligor to the Fund may default or is in default under the terms of any obligation to the Fund, the Trustees shall have full and complete power to pursue any remedies permitted by Law which, in their sole judgment, are in the interests of the Fund, and the Trustees shall have full and complete power to enter into any investment, commitment or obligation of the Fund resulting from the pursuit of such remedies as are necessary or desirable to dispose of property acquired in the pursuit of such remedies.

Section 2.19. Information Statement. The Trustees shall have full and complete power to authorize the distribution of an Information Statement regarding the Fund which may be prepared by advisers to the Fund and to authorize the amendment of or supplement of the same from time to time.

Section 2.20. Further Powers. The Trustees shall have full and complete power to take all such actions, do all such matters and things and execute all such instruments as they deem necessary, proper or desirable in order to carry out, promote or advance the interests and purposes of the Fund although such actions, matters or things are not herein specifically mentioned. Any determination as to what is in the best interests of the Fund made by the Trustees in good faith shall be conclusive. In construing the provisions of this Declaration of Trust, the presumption shall be in favor of a grant of power to the Trustees. The Trustees shall not be required to obtain any court order to deal with the Fund Property.

ARTICLE III. THE INVESTMENT ADVISER ,THE ADMINISTRATOR, THE DISTRIBUTOR AND THE INDEPENDENT ACCOUNTANT

Section 3.1. Appointment of Adviser, Administrator and Distributor. The Trustees are responsible for the general investment policy and program of the Fund and for the general supervision and administration of the business and affairs of the Fund conducted by the officers, agents, employees, investment advisers, administrators, distributors, or independent contractors of the Fund. However, the Trustees are not required personally to conduct all of the routine business of the Fund and, consistent with their ultimate responsibility as stated herein, the Trustees may appoint, employ or contract with the Adviser as an investment adviser to the Fund, the Administrator as an administrator for the Fund, and the Distributor as the distribution agent for the Fund and may grant or delegate such authority to the Adviser, the Administrator (pursuant to the terms of Section 2.15 hereof), the Distributor or to any other Person the services of whom are obtained by the Adviser, the Administrator or the Distributor, as the Trustees may, in their sole discretion, deem necessary or desirable, for the efficient management of the Fund, without regard to whether such authority is normally granted or delegated by trustees or other fiduciaries. The same Person may serve simultaneously as the Administrator, as the Adviser and as the Distributor, but no Person serving as the Administrator, the Adviser or the Distributor may serve as the Custodian.

Section 3.2. Duties of the Adviser. The duties of the Adviser shall be those set forth in the Investment Advisory Agreement to be entered into between the Fund and the Person or

Persons designated pursuant to Section 3.1 as the Adviser. Such duties may be modified by the Trustees, from time to time, by the amendment of the Investment Advisory Agreement. Subject to Article IV hereof, the Trustees may authorize the Adviser to effect purchases, sales or exchanges of Fund Property on behalf of the Trustees or may authorize any officer, employee, agent or Trustee to effect such purchases, sales, or exchanges pursuant to recommendations of the Adviser, all without further action by the Trustees. Any and all of such purchases, sales, and exchanges shall be deemed to be authorized by all the Trustees. The Investment Advisory Agreement may authorize the Adviser to employ other persons to assist it in the performance of its duties.

Section 3.3. Duties of the Administrator. The duties of the Administrator shall be those set forth in the Administration Agreement to be entered into between the Fund and the Person or Persons designated pursuant to Section 3.1 as the Administrator. Such duties may be modified by the Trustees, from time to time, by the amendment of the Administration Agreement. The Administration Agreement may authorize the Administrator to employ other persons to assist it in the performance of its duties.

Section 3.4. Duties of the Distributor. The duties of the Distributor shall be those set forth in the Distribution Agreement to be entered into between the Fund and the Person or Persons designated pursuant to 3.1 as the Distributor. Such duties may be modified by the Trustees, from time to time, by the amendment of the Distribution Agreement. The Distribution Agreement may authorize the Distributor to employ other persons to assist it in the performance of its duties.

Section 3.5. Successors. In the event that, at any time, the position of Adviser or of Administrator or of the Distributor shall become vacant for any reason, the successor shall not be appointed without a vote of the Participants as set forth in Section 8.1.

Section 3.6. Appointment and Duties of the Independent Accountant. The Trustees shall appoint an independent accountant for each fiscal year of the Fund and its various Series. Such independent accountant shall perform such duties as may be directed by the Trustees, including, without limitation, conducting examinations of the Fund and the rendering of opinions and reports concerning the Fund.

ARTICLE IV. INVESTMENTS

Section 4.1. Statement of Investment Policy and Objective. Subject to the prohibitions and restrictions contained in Section 4.2 hereof, the general investment policy and objective of the Trust and each Series shall be to invest the Fund in Permitted Investments as set forth below and any other applicable provisions of Law as may be set forth more fully in the Fund’s Information Statement, as the same may be amended from time to time.

Section 4.2. Permitted Investments. In accordance with Article II, Permitted Investments shall constitute the following:

(a) bonds, notes, certificates of indebtedness, treasury bills or other securities now, or hereafter issued, which are guaranteed by the full faith and credit of the United States of America as to principal and interest;

(b) bonds, notes, debentures or other similar obligations of the United States of America or its agencies;

(c) interest-bearing savings accounts, interest-bearing certificates of deposit or interest-bearing time deposits or any other investments constituting direct obligations of any bank as defined by the Illinois Banking Act (205 ILCS 511, et. seq.); provided, however, that such bank is federally insured;

(d) short-term obligations of corporations organized in the United States of America with assets exceeding $500,000,000, provided that such obligations are rated at the time of purchase within one of the three highest classifications established by at least two standard rating services, such obligations mature not later than 180 days from the date of purchase, and such purchases do not exceed 10% of the applicable corporation’s outstanding obligations;

(e) short-term discount obligations of the Federal National Mortgage Association or shares or other forms of securities legally issuable by savings and loan associations incorporated under the Laws of Illinois or any other state or under the Laws of the United States of America, provided that the shares or investment certificates of such savings and loan associations are federally insured, any such securities are purchased at the offering or market price thereof at the time of such purchase, and all such securities so purchased shall mature or be redeemable on a date or dates prior to the time when, in the judgment of the Trustees, the funds so invested will be required for the payment of funds to Participants upon the withdrawal of moneys from the Fund;

(f) money market mutual funds registered under the Investment Company Act of 1940, provided that the portfolio of any such money market mutual fund is limited to obligations described in paragraphs (a) or (b) of this Section 4.2 and to agreements to repurchase such obligations; and

(g) any other investment instruments now permitted by the provisions of Section 2 of the Public Funds Investment Act or any other applicable statutes or hereafter permitted by reason of the amendment of Section 2 of the Public Funds Investment Act or the adoption of any other statute applicable to the investment of Public Agency funds.

Section 4.3. Restrictions Fundamental to the Fund. Notwithstanding anything in this Declaration of Trust which may be deemed to authorize the contrary, the Fund:

(a)

(b)

May not make any investment other than investments authorized by Section 4.2 or any other applicable provisions of Law, as the same may be amended from time to time, and in the case of investments made jointly with funds of other Public Agencies, may not make any investment other than investments authorized by Law for the investment of each such Public Agency;

May not purchase any Permitted Investment which has a maturity date more than 397 days from the date of the Fund’s purchase thereof, unless subject, at the time of such purchase by the Fund, to an irrevocable agreement on the part of a Responsible Person to purchase such Permitted Investment from the Fund within 397 days; provided, however, that the Trustees may, in their discretion, by an action set forth by resolution of the Trustees and included

in the Information Statement, waive such 397 day limitation with respect to any one or more Series of Shares. For the purposes of this provision:

(i) A variable rate security which has its rate of interest readjusted no less frequently than every 397 days shall be deemed to have a maturity equal to the period remaining until the next readjustment of the interest rate or earlier maturity.

(ii) A floating rate security shall be deemed to have a remaining maturity of one day.

(c) May not purchase any Permitted Investment if the effect of such purchase by the

Fund would be to make the average dollar weighted maturity of the Fund’s investment portfolio greater than the period designated by the Trustees with respect to the Series to which such purchase of such Permitted Investment relates; provided, however, that in making such determination any Permitted Investment which is subject to an irrevocable agreement of the nature referred to in the preceding clause (b) shall be deemed to mature on the day on which the Fund is obligated to sell such Permitted Investment back to a Responsible Person or the day on which the Fund may exercise its rights under such agreement to require the purchase of such Permitted Investment by a Responsible Person;

(d)

(i)

(ii)

(e)

May not borrow money or incur indebtedness, whether or not the proceeds thereof are intended to be used to purchase Permitted Investments, except

as a temporary measure to facilitate withdrawal requests which might otherwise require unscheduled dispositions of portfolio investments, including, without limitation, to facilitate withdrawal requests made by Participants and received by the Custodian after the Fund has already sold, or entered sell orders for, portfolio investments to cover the withdrawal requests previously made on that date, and only to the extent permitted by Law; or

as a temporary measure (not to exceed one business day) from the Custodian to provide for the purchase of portfolio securities pending receipt by the Custodian of collected funds from a Participant who has notified the Fund before such purchase that it has wire transferred funds (or otherwise transferred immediately available funds) to the Fund in an amount sufficient to pay the purchase price of such securities, and only as and to the extent permitted by Law.

provided, however, that nothing contained in this paragraph (d) shall permit, or be construed as permitting, the pledge of the assets of the Fund to secure any such borrowing except for the pledge of amounts, limited to the amount of such borrowing, held in the specific Participant’s account with the Fund for whom such borrowing was incurred;

May not make loans, provided that the Fund may make Permitted Investments; and

(f) May not hold or provide for the custody of any Fund Property in a manner not authorized by Law or by any institution or Person not authorized by Law.

For the purposes of this Section 4.3, the phrase “Responsible Person” shall mean a Person listed on the United States Treasury Department List of Primary Government Securities Dealers or any equivalent successor to such list or a bank organized and existing under the Laws of the United States of America or any state thereof having assets in excess of $500,000,000.

Section 4.4. Amendment of Restrictions. The restrictions set forth in Section 4.2 hereof are fundamental to the operation and activities of the Fund and may not be changed without the affirmative vote of a majority of the Participants entitled to vote, except that such restrictions may be changed by the Trustees so as to make them more restrictive when necessary to conform the investment program and activities of the Fund to the Laws of the State of Illinois and the United States of America as they may from time to time be amended.

ARTICLE V. LIMITATIONS OF LIABILITY

Section 5.1. Liability to Third Persons. No Participant shall be subject to any personal liability whatsoever, in tort, contract or otherwise, to any other Person or Persons in connection with Fund Property or the affairs of the Fund; and no Trustee, officer, or employee of the Fund shall be subject to any personal liability whatsoever in tort, contract or otherwise, to any other Person or Persons in connection with Fund Property or the affairs of the Fund, and all such other Persons shall look solely to the Fund Property for satisfaction of claims of any nature arising in connection with the affairs of the Fund. If any Participant, Trustee, officer or employee, as such, of the Fund is made a party to any suit or proceedings to assert or enforce any such liability, he shall not on account thereof be held to any personal liability.

Section 5.2. Liability to the Fund or to the Participants. No Trustee, officer or employee of the Fund shall be liable to the Fund or to any Participant for any action or failure to act (including, without limitation, the failure to compel in any way any former or acting Trustee to redress any breach of trust) except for his own bad faith, willful misfeasance, gross negligence or reckless disregard of his duties provided, however, that the provisions of this Section 5.2 shall not limit the liability of any Person with respect to breaches by it of a contract between it and the Fund.

Section 5.3. Indemnification.

(a) The Fund shall indemnify and hold each Participant harmless from and against all claims and liabilities, whether they proceed to judgment or are settled or otherwise brought to a conclusion, to which such Participant may become subject solely by reason of its being or having been a Participant, and shall reimburse such Participant for all legal and other expenses reasonably incurred by it in connection with any such claim or liability. The rights accruing to a Participant under this Section 5.3 shall not exclude any other right to which such Participant may be lawfully entitled, nor shall anything herein contained restrict the right of the Fund to indemnify or reimburse a Participant in any appropriate situation even though not specifically provided herein.

(b) The Fund shall indemnify each of its Trustees and officers, and employees and other Persons designated by the Board of Trustees to receive such indemnification, against all liabilities and expenses (including, without limitation, amounts paid in satisfaction of judgments, in compromise or as fines and penalties, and counsel fees) reasonably incurred by him in connection with the defense or disposition of any action, suit or other proceeding by the Fund or any other Person, whether civil or criminal, in which he may be involved or with which he may be threatened, while in office or thereafter, by reason of his being or having been such a Trustee, officer, employee or other designated Person, except as to any matter as to which he shall have been adjudicated to have acted in bad faith or with willful misfeasance or reckless disregard of his duties or gross negligence; provided, however, that the provisions of this Section 5.3 shall not be construed to permit the indemnification of any Person with respect to breaches by it of a contract between it and the Fund; and further provided, however, that as to any matter disposed of by a compromise payment by such Trustee, officer, employee or other designated Person, pursuant to a consent decree or otherwise, no indemnification either for said payment or for any other expenses shall be provided unless the Fund shall have received a written opinion from independent counsel approved by the Trustees to the effect that if the foregoing matters had been adjudicated, the defenses that could have been presented on behalf of such Trustee, officer, employee or other designated Person were meritorious. The rights accruing to any Trustee, officer, employee or other designated Person under the provisions of this paragraph (b) of this Section 5.3 shall not exclude any other right to which he may be lawfully entitled; provided, however, that no Trustee, officer, employee or other designated Person may satisfy any right of indemnity or reimbursement granted herein or to which he may be otherwise entitled except out of the Fund Property, and no Participant shall be personally liable to any Person with respect to any claim for indemnity or reimbursement or otherwise. The Trustees may make advance payments in connection with indemnification under this paragraph (b) of this Section 5.3, provided that the indemnified Trustee, officer, employee or other designated Person shall have given a written undertaking to reimburse the Fund in the event that it is subsequently determined that he is not entitled to such indemnification.

(c) Any action taken by, or conduct on the part of, a Trustee, an officer, or an employee of the Fund or other Person designated by the Trustees in conformity with, or in good faith reliance upon, the provisions of Section 2.13 or Section 5.7 hereof shall not, for the purpose of this Declaration of Trust (including, without limitation, Sections 5.1 and 5.2 and this Section 5.3) constitute bad faith, willful misfeasance, gross negligence or reckless disregard of his duties.

Section 5.4. Surety Bonds. No Trustee shall, as such, be obligated to give any bond or surety or other security for the performance of any of his duties.

Section 5.5. Apparent Authority. No purchaser, seller, transfer agent or other Person dealing with the Trustees or any officer, employee or agent of the Fund shall be bound to make any inquiry concerning the validity of any transaction purporting to be made by the Trustee or by such officer, employee or agent or make inquiry concerning or be liable for the application of money or property paid, transferred or delivered to or on the order of the Trustees or of such officer, employee or agent.

Section 5.6. Recitals. Any written instrument creating an obligation of the Fund shall be conclusively taken to have been executed by a Trustee or an officer, employee or agent of the

Fund only in his capacity as a Trustee under this Declaration of Trust or in his capacity as an officer, employee or agent of the Fund. Any written instrument creating an obligation of the Fund shall refer to this Declaration of Trust and contain a recital to the effect that the obligations thereunder are not personally binding upon, nor shall resort be had to the property of, any of the Trustees, Participants, officers, employees or agents of the Fund, and that only the Fund Property or a specific portion thereof shall be bound, and such written instrument may contain any further similar recital which may be deemed appropriate; provided, however, that the omission of any recital pursuant to this Section 5.6 shall not operate to impose personal liability on any of the Trustees, Participants, officers, employees or agents of the Fund.

Section 5.7. Reliance on Experts, Etc. Each Trustee and each officer of the Fund shall, in the performance of his duties, be fully and completely justified and protected with regard to any act or any failure to act resulting from reliance in good faith upon the books of account or other records of the Fund, upon an opinion of counsel or upon reports made to the Fund by any of its officers or employees or by the Adviser, the Administrator, the Custodian, accountants, appraisers or other experts or consultants selected with reasonable care by the officers of the Fund.

ARTICLE VI. CHARACTERISTICS OF SHARES

Section 6.1. Beneficial Interest. The beneficial interest of the Participants hereunder in the Fund Property and the earnings thereon shall be divided into Shares, which shall be used as units to measure the proportionate allocation to the respective Participants of the beneficial interest hereunder. The number of Shares that may be used to measure and represent the proportionate allocation of beneficial interest among the Participants is unlimited.

Section 6.2. Rights of Participants. The beneficial interest hereunder measured by the Shares shall not entitle a Participant to which Shares relate to preference, preemptive, appraisal, conversion, or exchange rights of any kind with respect to the Fund or the Fund Property, except as the Trustees may determine with respect to any Class or Series. Title to the Fund Property of every description and the right to conduct any affairs herein described are vested in the Trustees on behalf, and for the beneficial interest, of the Participants, and the Participants shall have no interest therein other than the beneficial interest conferred hereby and measured by their Shares, and they shall have no right to call for any partition or division of any property, profits, rights or interests of the Fund nor can they be called upon to share or assume any losses of the Fund or suffer an assessment of any kind by virtue of the allocation of Shares to them, except as provided in Article IX hereof.

Section 6.3. Series or Class Designation. The Trustees may, from time to time, authorize the division of Shares into separate Series and the division of any Series into two or more separate Classes of Shares, as they deem necessary and desirable. The different Series or Classes shall be established and designated, and the variations in the relative rights and preferences as between the different Series or Classes, such as the purchase price, right of redemption and the price, terms and manner of redemption, special and relative rights as to distributions on liquidation, conversion rights, and conditions under which the several series or classes shall have separate voting rights and separate investment restrictions, shall be fixed and determined, by the Trustees, without the requirement of Participant approval.

Section 6.4. Allocation of Shares.

(a)

(b)

(c)

The Trustees, in their discretion, may, from time to time, without vote of the Participants, allocate Shares, in addition to the then allocated Shares, to such party or parties, for such amount and such type of consideration (including, without limitation, income from the investment of Fund Property), at such time or times (including, without limitation, each business day in accordance with the maintenance of a constant net asset value per Share as permitted by Section 9.1 hereof), and on such terms as the Trustees may deem best. In connection with any allocation of Shares, the Trustees may allocate fractional Shares. The Trustees may from time to time adjust the total number of Shares allocated without thereby changing the proportionate beneficial interests in the Fund. Reductions or increases in the number of allocated Shares may be made in order to maintain a constant net asset value per Share as permitted by Section 9.1 hereof. Shares shall be allocated and redeemed as whole Shares and/or one hundredths (1/100ths) of a Share or multiples thereof.

Shares may be allocated only to a Public Agency that has become a Participant of the Fund in accordance with Section 1.2 hereof and who is acting with respect to the funds of a Public Agency. Each Participant may divide its Shares administratively among more than one account within the Fund or Series or Class for such Participant’s convenience in accordance with such procedures as the Trustees may establish.

The minimum amount of funds which may be placed in the Fund by a Participant at any one time shall be as determined by the Trustees from time to time. Unless otherwise determined by the Trustees pursuant to this paragraph (c) of this Section 6.4, the minimum amount of funds which may be placed in the Fund by a Participant at any one time shall be One Dollar ($1.00).

Section 6.5. Evidence of Share Allocation. Evidence of Share allocation shall be reflected in the Share Register maintained by or on behalf of the Fund pursuant to Section 7.1 hereof, and the Fund shall not be required to issue certificates as evidence of Share allocation.

Section 6.6. Redemption to Maintain Constant Net Asset Value. If so determined by the Trustees, the Shares of one or more Series of the Fund shall be subject to redemption pursuant to the procedure for reduction of outstanding Shares as permitted by Section 9.1 hereof in order to maintain the constant net asset value per Share.

Section 6.7. Redemptions. Payments by the Fund to Participants, and the reduction of Shares resulting therefrom, are referred to in this Declaration of Trust as “redemptions.” Any and all allocated Shares may be redeemed at the option of the Participant whose beneficial interest hereunder is measured by such Shares, upon and subject to the terms and conditions provided in this Declaration of Trust. The Fund shall, upon application of any Participant, promptly redeem from such Participant allocated Shares for an amount per Share equivalent to the proportionate interest measured by each Share in the net assets of the Fund at the time of the redemption. The procedures for effecting redemption shall be as adopted by the Trustees and as set forth in the Information Statement of the Fund, as the same may be amended from time to time; provided, however, that such procedures shall not be structured so as to substantially and materially restrict the ability of the Participants to withdraw funds from the Fund by the redemption of Shares;

provided further however, that the Trustees shall have the power to provide for redemption procedures relating to any particular Series or Class which are consistent with the purpose and intent of this Declaration of Trust and consistent with the Information Statement . Such procedures may, among other things, establish periods during which funds relating to Shares of such Series or Class may either not be withdrawn from the Fund or be withdrawn upon payment of a redemption penalty.

Section 6.8. Suspension of Redemption; Postponement of Payment. Each Participant, by its adoption of this Declaration of Trust, agrees that the Trustees may, without the necessity of a formal meeting of the Trustees, temporarily suspend the right of redemption or postpone the date of payment for redeemed Shares for all Series or Classes or any one or more Series or Classes for the whole or any part of any period (i) during which there shall have occurred any state of war, national emergency, banking moratorium or suspension of payments by banks in the State of Illinois or any general suspension of trading or limitation of prices on the New York or American Stock Exchange (other than customary weekend and holiday closings) or (ii) during which any financial emergency situation exists as a result of which disposal by the Fund of Fund Property is not reasonably practicable because of the substantial losses which might be incurred or it is not reasonably practicable for the Fund fairly to determine the value of its net assets. Such suspension or postponement shall not alter or affect a Participant’s beneficial interest hereunder as measured by its Shares or the accrued interest and earnings thereon. Such suspension or payment shall take effect at such time as the Trustees shall specify but not later than the close of business on the business day next following the declaration of suspension, and thereafter there shall be no right of redemption or payment until the Trustees shall declare the suspension or postponement at an end, except that the suspension or postponement shall terminate in any event on the first day on which the period specified in clause (i) or (ii) above shall have expired (as to which, the determination of the Trustees shall be conclusive). In the case of a suspension of the right of redemption or a postponement of payment for redeemed Shares, a Participant may either (i) withdraw its request for redemption or (ii) receive payment based on the net asset value existing after the termination of the suspension.

Section 6.9. Minimum Redemption. There shall be no minimum number of Shares which may be redeemed at any one time at the option of a Participant, unless authorized by a resolution of the Board of Trustees and specified in the Information Statement; provided, however, that no request by a Participant for the redemption of less than one whole Share need be honored.

Section 6.10. Defective Redemption Requests. In the event that a Participant shall submit a request for the redemption of a greater number of Shares than are then allocated to such Participant, such request shall not be honored and each Participant, by its adoption of this Declaration of Trust, agrees that the Trustees shall have full and complete power to redeem an amount of the Shares allocated to such Participant, at a redemption price determined in accordance with Section 6.7 hereof, sufficient to reimburse the Fund for any fees, expenses, costs or penalties actually incurred by the Fund as a result of such defective redemption request.

ARTICLE VII. RECORD OF SHARES

Section 7.1. Share Register. The Share Register shall be kept by or on behalf of the Trustees, under the direction of the Trustees, and shall contain for each series (i) the names and addresses of the Participants, (ii) the number of Shares representing their respective beneficial interests hereunder and (iii) a record of all allocations and redemptions thereof. Such Share Register shall be conclusive as to the identity of the Participants to which the Shares are allocated. Only Participants whose allocation of Shares is recorded on such Share Register shall be entitled to receive distributions with respect to Shares or otherwise to exercise or enjoy the rights and benefits related to the beneficial interest hereunder represented by the Shares. No Participant shall be entitled to receive any distribution, nor to have notices given to it as herein provided, until it has given its appropriate address to such officer or agent of the Fund as shall keep the Share Register for entry thereon.

Section 7.2. Registrar. The Trustees shall have full and complete power to employee a registrar. Unless otherwise determined by the Trustees, the Share Register shall be kept by the Administrator which shall serve as the registrar for the Fund. The registrar shall record the original allocations of Shares in the Share Register. Such registrar shall perform the duties usually performed by registrars of certificates and shares of stock in a corporation, except as such duties may be modified by the Trustees.

Section 7.3. Owner of Record. No Person becoming entitled to any Shares in consequence of the merger, reorganization, consolidation, bankruptcy or insolvency of any Participant or otherwise, by operation of Law, shall be recorded as the Participant to which such Shares are allocated and shall only be entitled to the redemption value of such Shares. Until the Person becoming entitled to such redemption value shall apply for the payment thereof and present any proof of such entitlement as the Trustees may in their sole discretion deem appropriate, the Participant of record to which such Shares are allocated shall be deemed to be the Participant to which such Shares are allocated for all purposes hereof, and neither the Trustees nor the registrar nor any officer or agent of the Fund shall be affected by any notice of such merger, reorganization, consolidation, bankruptcy, insolvency or other event.

Section 7.4. No Transfers of Shares. The beneficial interests measured by the Shares shall not be transferable, in whole or in part, other than to the Fund itself for purposes of redemption.

Section 7.5. Limitation of Fiduciary Responsibility. The Trustees shall not, nor shall the Participants or any officer, registrar or other agent of the Fund, be bound to see to the execution of any trust, express, implied or constructive, or of any charge, pledge or equity to which any of the Shares or any interest therein are subject, or to ascertain or inquire whether any redemption of such Shares by any Participant or its representatives is authorized by such trust, charge, pledge or equity, or to recognize any Person as having any interest therein except the Participant recorded as the Participant to which such Shares are allocated. The receipt of the Participant in whose name any Share is recorded or of the duly authorized agent of such Participant shall be a sufficient discharge for all moneys payable or deliverable in respect of such Shares and from all liability to see to the proper application thereof.

Section 7.6. Notices. Any and all notices to which Participants hereunder may be entitled and any and all communications shall be deemed duly served or given if mailed, postage prepaid, addressed to Participants of records at their last known post office addresses as recorded on the Share Register provided for in Section 7.1 hereof.

ARTICLE VIII. TRUSTEES AND OFFICERS

Section 8.1. Number and Qualification. The governing body of the Fund shall be the Board of Trustees, the membership of which shall be determined as hereinafter provided. The number of Trustees shall be fixed from time to time by resolution of a majority of the voting Trustees then in office; provided, however, that the number of voting Trustees shall in no event be less than two or more than fifteen. Any vacancy created by an increase in the number of Trustees may be filled by the appointment of an individual having the qualifications described in this Section 8.1 made by a resolution of a majority of the Trustees then in office. Any such appointment shall not become effective, however, until the individual named in the resolution of appointment shall have (i) accepted in writing such appointment, (ii) agreed in writing to be bound by the terms of this Declaration of Trust, and (iii) if he is affiliated with a Public Agency, presented evidence in writing of the granting of an authorization by the Public Agency for him to serve as a Trustee. No reduction in the number of Trustees shall have the effect of removing any Trustee from office prior to the expiration of his term. Whenever a vacancy in the number of Trustees shall occur, until such vacancy is filled as provided in Section 8.5 hereof, the Trustees or Trustee continuing in office, regardless of their number, shall have all the power granted to the Trustees and shall discharge all the duties imposed upon the Trustees by this Declaration of Trust. A Trustee shall be an individual who is not under legal disability and who is either (i) a member of the corporate authorities of a Participant, (ii) a Treasurer, or other financial officer of a Participant, or (iii) any other duly authorized individual affiliated with a Participant. There shall be no more than one Trustee affiliated with any one Public Agency; provided, however, that no Trustee shall be disqualified from serving out an unexpired term by reason of such prohibition. The Trustees, in their capacity as Trustees, shall not be required to devote their entire time to the business and affairs of the Fund.

Section 8.2. Organizational Trustees. By the initial execution of this Declaration of Trust, the Initial Participants appointed the following two individuals to serve as Trustees until the first annual meeting or vote of the Participants and until their successors had been elected and qualified.

Name Address Affiliation

William R. Farley 130 West Park Avenue Wheaton, IL 60187

Community Unit School District 200

Arnold C. Uhlig 10114 Gladstone Westchester, IL 60154

Proviso Township Schools

Section 8.3. Term and Election. Each Trustee named herein, or elected or appointed as provided in Section 8.1 or 8.3 hereof, shall (except in the event of resignations or removals or vacancies pursuant to Section 8.4 or 8.5 hereof) hold office until his successor has been elected at such meeting or pursuant to such vote and has qualified to serve as Trustee. The Trustees shall be divided into three classes, as equal in number as practicable, so arranged that the term of one class shall expire at the respective annual meetings or votes of Participants held following the conclusion of each fiscal year of the Fund. At all annual meetings or votes a class of Trustees shall be elected to serve for a term of three (3) years and until their successors shall be elected and qualify. Any addition made to the number of Trustees, except at a meeting or pursuant to a vote of the Participants, shall be made only for a term expiring at the next annual meeting or vote of the Participants or until a successor shall be elected and qualify. At the annual meeting or vote of the Participants next following any addition to the number of Trustees, or, in the case of any addition to the number of Trustees made at an annual meeting or pursuant to such vote of the Participants, at such meeting or pursuant to such vote, the terms of the additional Trustees shall be fixed so that, as nearly as shall be practicable, an equal number of terms shall expire at each annual meeting or vote of the Participants. Trustees may succeed themselves in office. Election of Trustees at an annual meeting or in an annual vote shall be by the affirmative vote of at least a majority of the Participants entitled to vote present in person or by proxy at such meeting or voting in such annual vote. The election of any Trustee (other than an individual who was serving as a Trustee immediately prior to such election) pursuant to this Section 9.3 shall not become effective unless and until such person shall have (i) in writing accepted his election, (ii) agreed in writing to be bound by the terms of this Declaration of Trust, and (iii) if he is affiliated with a Public Agency, presented evidence in writing of the granting of an authorization by the Public Agency for him to serve as a Trustee.

Section 8.4. Resignation and Removal. Any Trustee may resign (without need for prior or subsequent accounting) by an instrument in writing signed by him and delivered to the chairperson, the vice chairperson or the secretary and such resignation shall be effective upon such delivery, or at a later date according to the terms of the notice. Any of the Trustees may be removed (provided that the aggregate number of Trustees after such removal shall not be less than the minimum number required by Section 8.1 hereof) with cause, by the action of two-thirds of the remaining Trustees. Upon the resignation or removal of a Trustee, or his otherwise ceasing to be a Trustee, he shall execute and deliver such documents as the remaining Trustees shall require for the purpose of conveying to the Fund or the remaining Trustees shall require for the purpose of conveying to the Fund or the remaining Trustees any Fund Property held in the name of the resigning or removed Trustee. Upon the incapacity or death of any Trustee, his legal representative shall execute and deliver on his behalf such documents as the remaining Trustees shall require as provided in the preceding sentence.

Section 8.5. Vacancies.

(a) The term of office of a Trustee shall terminate and a vacancy shall occur in the event of the death, resignation, bankruptcy, adjudicated incompetence or other incapacity to exercise the duties of the office, or removal of a Trustee. In addition, a Person shall no longer be a Trustee and a vacancy shall be deemed to have occurred if: (i) a Trustee who is affiliated with a Public Agency ceases to be affiliated with the Public Agency, or (ii) the Public Agency with which the Trustee is affiliated ceases to be a Participant. If a Trustee who is affiliated with a

Public Agency shall no longer be affiliated with the Public Agency, or the Public Agency with which the Trustee is affiliated shall no longer be a Participant, such Person shall, upon the expiration of a sixty (60) day period following the occurrence of such event, no longer be a Trustee and a vacancy will be deemed to have occurred, unless such person shall have become affiliated with another Public Agency which is a Participant, within such sixty (60) day period and shall have presented evidence in writing of the granting of an authorization by the Public Agency with which he is then affiliated for him to serve as a Trustee.

(b)

(c)

No such vacancy shall operate to annul this Declaration of Trust or to revoke any existing agency created pursuant to the terms of this Declaration of Trust, and title to any Fund Property held in the name of such Trustee and the other Trustees, or otherwise, shall, in the event of the death, resignation, removal, bankruptcy, adjudicated incompetence or other incapacity to exercise the duties of the office of such Trustee, vest in the continuing or surviving Trustees without necessity of any further act or conveyance. In the case of an existing vacancy (other than by reason of an increase in the number of Trustees) at least a majority of the Participants entitled to vote, acting at any meeting or vote of the Participants called for the purpose, or a majority of the Trustees continuing in office acting by resolution, may fill such vacancy, and any Trustee so elected by the Trustees shall hold office for the remaining balance of the term for which vacancy said Trustee was elected to fill.

Upon the effectiveness of any such appointment as provided in this Section 8.5, the Fund Property shall vest in such new Trustee jointly with the continuing or surviving Trustees without the necessity of any further act or conveyance; provided, however, that no such election or appointment as provided in this Section 8.5 shall become effective unless or until the new Trustee shall have (i) accepted in writing for his appointment, (ii) agreed to be bound by the terms of this Declaration of Trust, and (iii) if he is affiliated with a Public Agency, presented evidence in writing of the granting of an authorization by the Public Agency for him to serve as a Trustee.

Section 8.6. By-Laws. The Trustees may adopt and, from time to time, amend or repeal By-Laws for the conduct of the business of the Fund, and in such By-Laws, among other things, may define the duties of the respective officers, agents, employees and representatives of the Fund.

ARTICLE IX. DETERMINATION OF NET ASSET VALUE AND NET INCOME DISTRIBUTIONS TO PARTICIPANTS

Section 9.1. By-Laws to Govern Net Asset Value, Net Income and Distribution Procedures. The Trustees, in their absolute discretion, may prescribe and shall set forth in the By-Laws such basis and time for determining the per Share of Beneficial Interest net asset value of the Shares or net income, or the declaration and payment of distributions, as they may deem necessary or desirable. The methods of determining net asset value of Shares of each Series shall also be set forth in the Information Statement. The duty to make the calculations may be delegated by the Trustees to the Adviser, the Administrator, the Custodian or such other Person as the Trustees by resolution may designate. The Trustees may adopt different methods for the determination of the net asset value of different Series of Shares.

ARTICLE X. CUSTODIAN

Section 10.1. Duties. The Trustees shall employ a bank or trust company organized under the Laws of the United States of America or the State of Illinois having an office in the State of Illinois and having a capital and surplus aggregating at least twenty-five million dollars ($25,000,000) as Custodian with authority as its agent, but subject to such restrictions, limitations and other requirements, if any, as may be contained in the By-Laws of the Fund to perform the duties set forth in the Custodian Agreement to be entered into between the Fund and the Custodian.

Section 10.2. Appointment. The Trustees shall have the power to select and appoint the Custodian for the Fund. The Custodian Agreement shall provide that it may be terminated at any time without cause and without the payment of any penalty by the Fund on no less than ninety (90) days’ and no more than one hundred eighty (180) days’ written notice to the Custodian.

Section 10.3. Sub-Custodians. The Trustees may also authorize the Custodian to employ one or more Sub-Custodians from time to time to perform such of the acts and services of the Custodian and upon such terms and conditions, as may be agreed upon between the Custodian and such Sub-Custodians and approved by the Trustees; provided, however, that, in every case, such Sub-Custodian shall be a bank or trust company organized under the Laws of the United States of America or one of the States thereof having capital and surplus aggregating at least twenty-five million dollars ($25,000,000).

Section 10.4. Successors. In the event that, at any time, the Custodian shall resign or shall be terminated pursuant to the provisions of the Custodian Agreement, the Trustees shall appoint a successor thereto.

Section 10.5. Additional Custodians. The Trustees may in their discretion employ one or more Custodians in addition to the Custodian referred to in Section 10.1. Such additional Custodians shall be banks or trust companies organized under the Laws of the United States of America or any state thereof and having capital and surplus aggregating at least twenty-five million dollars ($25,000,000). Such additional Custodian shall perform such duties (including duties applicable only to designated Series or Classes) as may be set forth in an agreement between the Fund and the additional Custodian.

RECORDING OF DECLARATION OF TRUST ARTICLE XI.

Section 11.1. Recording. This Declaration of Trust and any amendment hereto shall be filed, recorded or lodged as a document of public record in such place or places and with such official or officials as may be required by Law or as the Trustees may deem appropriate. Each amendment so filed, recorded or lodged shall be accompanied by a certificate signed and acknowledged by a Trustee stating that such action was duly taken in the manner provided for herein; and unless such amendment or such certificate sets forth some earlier or later time for the effectiveness of such amendment, such amendment shall be effective upon its filing. An amended Declaration of Trust, containing or restating the original Declaration and all amendments theretofore made, may be executed any time or from time to time by a majority of the Trustees and shall, upon filing, recording or lodging in the manner contemplated hereby, be

conclusive evidence of all amendments contained therein and may thereafter be referred to in lieu of the original Declaration of Trust and the various amendments thereto. Notwithstanding the foregoing provisions of this Section 11.1, no filing or recordation pursuant to the terms of this Section 11.1 shall be a condition precedent to the effectiveness of this Declaration of Trust or any amendment hereto.

ARTICLE XII. AMENDMENT OR TERMINATION OF FUND; DURATION OF FUND

Section 12.1. Amendment or Termination.

(a) The provisions of this Declaration of Trust may be amended or altered (except as to the limitations on personal liability of the Participants and Trustees and the prohibition of assessments upon Participants), or the Fund may be terminated, at any meeting of the Participants or pursuant to any vote of the Participants called for that purpose, by the affirmative vote of a majority of the Participants entitled to vote, or, if permitted by applicable Law, by an instrument or instruments in writing, without a meeting, signed by a majority of the Trustees and a majority of the Participants; provided, however, that the Trustees may, from time to time, by a two-thirds vote of the Trustees, and after fifteen (15) days’ prior written notice to the Participants, amend or alter the provisions of this Declaration of Trust, without the vote or assent of the Participants, to the extent deemed by the Trustees in good faith to be necessary to conform this Declaration to the requirements of applicable Laws or regulations or any interpretation thereof by a court or other governmental agency of competent jurisdiction, but the Trustees shall not be liable for failing so to do, and the Trustees may, from time to time and without notice to nor the vote or assent of the Participants, make changes that do not adversely affect the rights of any Participant, to supply any omissions, or to cure, correct or supplement any ambiguous, defective or inconsistent provision hereof. In addition, a Series may be terminated by vote or written consent of not less than a majority of the Participants of that Series. Notwithstanding the foregoing, (i) no amendment may be made pursuant to this Section 12.1 which would change any rights with respect to any allocated Shares of the Fund by reducing the amount payable thereon upon liquidation of the Fund or which would diminish or eliminate any voting rights of the Participants, except with the vote or written consent of two-thirds of the Participants entitled to vote thereon; and (ii) no amendment may be made which would cause any of the investment restrictions contained in Section 4.2 hereof to be less restrictive without the affirmative vote of a majority of the Participants entitled to vote thereon.

(b)

(i)

(ii)

Upon the termination of the Fund pursuant to this Section 12.1:

The Fund shall carry on no business except for the purpose of winding up its affairs;

The Trustees shall proceed to wind up the affairs of the Fund and all of the powers of the Trustees under this Declaration of Trust shall continue until the affairs of the Fund shall have been wound up, including, without limitation, the power to fulfill or discharge the contracts of the Fund, collect its assets, sell, convey, assign, exchange, transfer or otherwise dispose of all or any part of the remaining Fund Property to one or more persons at public or private sale for consideration which may consist in whole or in part of cash, securities or other property of any kind, discharge or pay its liabilities, and

do all other acts appropriate to liquidate its affairs; provided, however, that any sale, conveyance, assignment, exchange, transfer or other disposition of all or substantially all of the Fund Property shall require approval of the principal terms of the transaction and the nature and amount of the consideration by affirmative vote of not less than a majority of the Participants entitled to vote thereon; and

(iii)

(c)

(d)

After paying or adequately providing for the payment of all liabilities, and upon receipt of such releases, indemnities and refunding agreements as they deem necessary for their protection, the Trustees may distribute the remaining Fund Property of any Series, in cash or in kind or partly in each, among the Participants of such Series and each Class of such Series according to their respective proportionate allocation of Shares, taking into account their respective net asset values and the proper allocation of expenses being borne solely by any Series or any Class of Shares of a Series.

Upon termination of the Fund and distribution to the Participants as herein provided, a majority of the Trustees shall execute and lodge among the records of the Fund an instrument in writing setting forth the fact of such termination, and the Trustees shall thereupon be discharged from all further liabilities and duties hereunder, and the right, title and interest of all Participants shall cease and be canceled and discharged.

A certification in recordable form signed by a majority of the Trustees setting forth an amendment and reciting that it was duly adopted by the Participants or by the Trustees as aforesaid or a copy of the Declaration, as amended, in recordable form, and executed by a majority of the Trustees, shall be conclusive evidence of such amendment.

Section 12.2. Power to Effect Reorganization. If permitted by applicable Law, the Trustees, by vote or written approval of a majority of the Trustees, may select, or direct the organization of, a corporation, association, trust or other Person with which the Fund may merge, or which shall take over the Fund Property and carry on the affairs of the Fund, and after receiving an affirmative vote of not less than a majority of the Participants entitled to vote at any meeting of the Participants, the notice for which includes a statement of such proposed action, the Trustees may effect such merger or may sell, convey and transfer the Fund Property to any such corporation, association, trust or other Person in exchange for cash or shares for securities thereof, or beneficial interest therein with the assumption by such transferee of the liabilities of the Fund; and thereupon the Trustees shall terminate the Fund and deliver such cash, shares, securities or beneficial interest ratably among the Participants of this Fund in redemption of their Shares.

Section 12.3. Duration. The Fund shall continue in existence in perpetuity, subject in all respects to the provisions of this Article XII.

ARTICLE XIII. MISCELLANEOUS

Section 13.1. Governing Law. This Declaration of Trust is adopted by the Participants and delivered in the State of Illinois and with reference to the Laws thereof, and the rights of all parties and the validity, construction and effect of every provision hereof shall be subject to and construed according to the Laws of said State of Illinois.

Section 13.2. Counterparts. This Declaration of Trust may be executed in several counterparts, each of which when so executed shall be deemed to be an original, and such counterparts, together, shall constitute but one and the same instrument, which shall be sufficiently evidenced by any such original counterpart.

Section 13.3. Reliance by Third Parties. Any certificate executed by an individual who, according to the records of the Fund or of any official or public body or office in which this Declaration of Trust may be recorded, appears to be a Trustee hereunder or the Secretary or the Treasurer of the Fund, certifying to: (i) the number or identity of Trustees or Participants; (ii) the due authorization of the execution of any instrument or writing; (iii) the form of any vote passed at a meeting of Trustees or Participants; (iv) the fact that the number of Trustees or Participants present at any meeting or executing any written instrument satisfies the requirements of this Declaration of Trust; (v) the form of any By-Law adopted by or the identity of any officers elected by the Trustees; or (vi) the existence of any fact or facts which in any manner relate to the affairs of the Fund, shall be conclusive evidence as to the matters so certified in favor of any Person dealing with the Trustees or any of them or the Fund and the successors of such Person.

Section 13.4. Provisions in Conflict with Law. The provisions of this Declaration of Trust are severable, and if the Trustees shall determine, with the advice of counsel, that any one or more of such provisions (the “Conflicting Provisions”) are in conflict with applicable federal or Illinois Laws, the Conflicting Provisions shall be deemed never to have constituted a part of this Declaration of Trust; provided, however, that such determination by the Trustees shall not affect or impair any of the remaining provisions of this Declaration of Trust or render invalid or improper any action taken or omitted (including, but not limited to, the election of Trustees) prior to such determination.

Section 13.5. Gender; Section Headings.

(a)

(b)

Words of the masculine gender shall mean and include correlative words of the feminine and neuter genders, and words importing the singular number shall mean and include the plural number and vice versa.

Any headings preceding the texts of the several Articles and Sections of this Declaration of Trust, and any table of contents or marginal notes appended to copies hereof, shall be solely for convenience of reference and shall neither constitute a part of this Declaration of Trust nor affect its meaning, construction or effect.

Section 13.6. Adoption by Public Agencies Electing to Become Additional Participants; Resignation of Participants.

(a) Subject to Section 13.6(b) any Public Agency meeting the requirements of Section 1.2 hereof, may become an additional Participant of this Fund by (i) taking any appropriate official action to adopt this Declaration of Trust, (ii) furnishing the Trustees with evidence of appropriate official action authorizing its treasurer or other duly authorized official of the Public Agency to act on its behalf with respect to the funds of the Public Agency, (iii) furnishing the Trustees with a certificate of a duly authorized officer of the Public Agency setting forth the names and specimen signatures of the officials of such Public Agency

authorized at the time of delivery of such certificate to act on behalf of such Public Agency in connection with the Public Agency’s participation in the Fund, and (iv) furnishing the Trustees with a counterpart signature to this document, which signature shall evidence such additional Participant’s entry into this intergovernmental agreement with the other Participants hereto. A copy of this Declaration of Trust may be adopted by executing a written instrument of adoption in such form as may be prescribed by the Trustees. Adoption of a written investment policy that permits investment in the Fund will be deemed by the Trustees to constitute an adoption of this Declaration of Trust. Delivering an acknowledged copy of an instrument adopting the Declaration of Trust or the written investment policy shall constitute satisfactory evidence of the adoption contemplated by this Section 13.6.

(b)

(c)

A Public Agency’s admission as a Participant shall be subject to the approval of the Trustees, or of a duly appointed designee of the Trustees, but such approval shall not be unreasonably withheld.

Any Participant may resign and withdraw from the Fund by sending a written notice to such effect to the Administrator and by requesting the redemption of all Shares then held by it. Such resignation and withdrawal shall become effective upon the receipt thereof by the Administrator. No resignation and withdrawal by a Participant shall operate to annul this Declaration of Trust and terminate the existence of the Fund.

ILLINOIS INSTITUTIONAL INVESTORS TRUST

INTERGOVERNMENTAL COOPERATION COUNTERPART SIGNATURE PAGE

Acting in accordance with Section 13.6(a) of the Declaration, the undersigned delivers

this counterpart signature page evidencing the undersigned’s entry into an intergovernmental agreement with the other Participants to the Declaration.

Executed this ___ day of ___________, 20__.

Signature Name: Agency Name: ______________________ Title:

SUPPLEMENT DATED JULY 26, 2016 TO THE ILLINOIS TRUST INFORMATION STATEMENT

DATED FEBRUARY 23, 2016

This Supplement supplies additional information with respect to the Illinois Portfolio, a portfolio established by the Board of Trustees (the “Board”) of the Illinois Trust (the “Trust”) and should be read in conjunction with the Trust Information Statement dated February 23, 2016 as supplemented to date. Terms used in this Supplement shall be as defined in the Information Statement.

Please be advised that the Board approved the adoption of GASB 79 requirements at a meeting held on May 18, 2016. As a result of this adoption, the Board has determined, in consultation with the Investment Adviser, that it will manage the Illinois Portfolio in accordance with GASB 79 requirements, as applicable, for continued use of amortized cost.

The date of this Supplement is July 26, 2016.

THIS IS A SUPPLEMENT TO THE INFORMATION STATEMENT DATED FEBRUARY 23, 2016. IT PROVIDES ADDITIONAL INFORMATION ABOUT THE TRUST. A COMPLETE INFORMATION STATEMENT, INCLUDING ALL SUPPLEMENTS, IS AVAILABLE UPON REQUEST BY CONTACTING A TRUST REPRESENTATIVE AT (800) 731-6870 FOR THE IIIT CLASS AND (800) 731-6830 FOR THE IPDLAF+ CLASS OF THE ILLINOIS PORTFOLIO.

PLEASE RETAIN THIS SUPPLEMENT FOR FUTURE REFERENCE.

Information StatementFebruary 23, 2016

Illinois Portfolio-IIIT Class

Illinois Portfolio-IPDLAF+ Class

Illinois TERM Portfolio

CONTENTS

Part 1 Part 1 presents key facts about the Portfolios and Programs of the Trust, including information on costs, minimums, policies, and how to place transaction orders. Part 1 is descriptive, not definitive, and is qualified by the information contained in Part 2.

Portfolio Summaries

Illinois Portfolio 1

Illinois TERM Portfolio 4

Additional Fund Programs

Overview 6

Certificates of Deposit Investment Program 6

Eligible CDs 6

Redemption of Program CDs 6

SAM (Separate Account Management) Program 6

BAM (Bond Account Management) Program 6

Main Risks 7

Additional Program Compensation 7

Management 7

Tax Information 7

Investing

Opening an Account 8

Buying Shares—Illinois Portfolio (IIIT Class and IPDLAF+ Class) 9

Redeeming Shares – Illinois Portfolio (IIIT Class and 11 IPDLAF+ Class)

Buying Shares—Illinois TERM Portfolio 13

Redeeming Shares—Illinois TERM Portfolio 13

Policies Concerning Withdrawals 14

General Policies 14

Tax Information 14

Financial Highlights 14

Part 2 Information Statement Addendum Part 2 contains supplemental information to Part 1. Some of this information further defines or qualifies information presented in Part 1. There is also information on additional topics, such as the history of the Trust. Parts 1 and 2 together constitute the offering document for the Portfolios and Programs.

General Information

The Trust 15

History and Description of the Trust 15

The Declaration 15

Operating Policies 17

Services 17

Opening an Account 18

Election and Duties of the Trustees 18

Service providers 19

The Portfolios

Information Common to All Portfolios 21

Information Specific to the Illinois Portfolio 25

Information Specific to the Illinois TERM Portfolio 28

The Programs

Information Common to All Programs 29

Information Specific to the Certificates of Deposit Investment Program 29

Information Specific to the SAM Program 31

Information Specific to the BAM Program 32

Terms Used in this Document

BAM Program Bond Account Management Program.

Business Day Any day on which both the bond market (as determined by the Securities Industry and Financial Markets Association “SIFMA”) and the Custodian are open for business. The Portfolios or Programs may close early on any days when the bond market closes early. In light of anticipated limited availability for money market securities and fixed income settlement capacity limitations, the Portfolios will not be open for business on Good Friday even if the primary trading markets are open.

Certificates of Deposit Investment Program CD Purchase Program.

Code Internal Revenue Code of 1986 (as amended).

Custodian U.S. Bank National Association or the designated bank, agent, or trust company, responsible for safeguarding financial assets of the Illinois Trust and its portfolios

Declaration The Declaration of Trust through which the Trust was created.

EON - Easy online network. The Investment Adviser’s web-based information and transaction service.

FDIC Federal Deposit Insurance Corporation

Investment Adviser PFM Asset Management LLC, the Trust’s Investment Adviser, Administrator and transfer agent.

Investor A shareholder of one or more Portfolios of the Trust.

NCUA National Credit Union Association. An independent agency of the United States government that regulates, charters and supervises federal credit unions.

NCUSIF National Credit Union Share Insurance Fund. NCUA operates and manages NCUSIF. Backed by the full faith and credit of the U.S. government, the NCUSIF insures the accounts of millions of account holders in all federal credit unions and thevast majority of state-chartered credit unions.

Portfolios The Illinois Portfolio (including IIIT Class and IPDLAF+ Class) and Illinois TERM Portfolio. "Portfolio" refers to each specific section of this document in which it is used to describe the features of that particular Trust Portfolio.

Programs The CD Purchase Program, BAM Program and SAM Program, as applicable.

Program Participant An entity who uses the services of one or more Programs of the Trust.

SAM Program Separate Account Management Program.

Separate Account A separately managed account provided through the SAM or BAM Program.

Sponsors Illinois Association of Park Districts and the Illinois Park and Recreation Association. IPDLAF+ Class only.

Trust The Illinois Trust, a trust organized under the state of Illinois, currently comprised of the Illinois Portfolio and the Illinois TERM Portfolio.

Trustees Members of the Board of Trustees of the Trust.

Illinois Portfolio IIIT Class, IPDLAF+ Class

Investment Objective

To earn the highest income consistent with preserving principal and maintaining liquidity, and to maintain a stable $1.00 net asset value (“NAV”).

Principal Investment Strategies

The Illinois Portfolio (the "Portfolio") invests exclusively in high-quality money market instruments all of which are permitted investments pursuant to the Illinois Public Funds Investment Act, 30 ILCS 235/1 et seq. Investments include but are not limited to:

Obligations of the U.S. Government and its Agencies and Instrumentalities

Repurchase agreements involving obligations of the U.S. Government and its Agencies and Instrumentalities

Certain obligations of financial institutions, including certificates of deposit issued by FDIC-insured banks

Negotiable Certificates of Deposit Commercial Paper Bankers’ Acceptances Obligations of banks Floating-rate and variable-rate obligations Money market mutual funds and other pooled

investment vehicles that observe certain investment restrictions

The Investment Adviser may adjust exposure to interest rate risk, typically seeking to protect against possible rises in interest rates and to preserve yield when interest rates appear likely to fall.

The Portfolio is designed to maintain a dollar-weighted average maturity of no more than 60 days and a dollar-weighted average life (final maturity, adjusted for demand features but not interest rate adjustments) of no more than 120 days. In addition, it only buys investments that have either a final or effective maturity (or, for repurchase agreements, a remaining term) of 397 days or less.

Main Risks

As with any similar pooled investment, there are several factors that could hurt the Portfolio’s performance, cause you to lose money, or cause the Portfolio’s performance to be less than that of other investments.

Interest rate risk When short-term interest rates fall, the Portfolio’s yield is likely to fall. When interest rates rise, especially if the rise is sharp or unexpected, the Portfolio’s share price could fall.

Credit risk The issuer of a security could fail to pay interest or principal in a timely manner. The credit quality of the Portfolio’s holdings could change rapidly in certain markets, and the default or decline in credit quality of even a single investment could cause the Portfolio’s share price to fall.

Liquidity risk The Portfolio’s share price could fall during times when there are abnormal levels of redemption requests or markets are illiquid.

Management risk Performance could be hurt by decisions made by the Investment Adviser, such as choice of investments or timing of buy/sell decisions.

An investment in the Portfolio is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Portfolio seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the Portfolio.

Portfolio Summaries

Illinois Trust Information Statement — February 23, 2016

2

Management

Investment Adviser PFM Asset Management LLC. The Portfolio has two share classes, each with its own expenses, returns, account minimums, and other policies and services. The features of each class are summarized below.

Fees and Expenses

These are the fees and expenses you will pay when you buy and hold shares in each share class of this Portfolio. The figures shown here do not reflect the effects of any voluntary expense reductions. Going forward, actual expenses may be higher or lower.

Annual Portfolio Operating Expenses (Fees and expenses shown are gross numbers based on the prior year's audited financial statements and may be subject to certain fee waivers.) IIIT Class Shares

Management and administrative fees 0.25%

Other operating expenses 0.08%

Total annual class operating expenses 0.33%

IPDLAF+ Class Shares

Management and administrative fees 0.25%

Other operating expenses 0.16%

Total annual class operating expenses 0.41%

Past Performance

All performance figures shown here assume that dividends were reinvested. Figures shown are for the five most recent audited fiscal years. For current yield information, call (800) 731-6870 for the IIIT Class and (800) 731-6830 for the IPDLAF+ Class. Past performance may not indicate future results.

Fiscal Year Ended September 30th Total Returns (%)

IIIT Class Shares

IPDLAF+ Class Shares*

*The IPDLAF Class of the Illinois Portfolio commenced operations on February 27, 2012 when the Trust acquired all of the assets and liabilities of the Illinois Park District Liquid Asset Fund Plus in exchange for shares of the newly created IPDLAF+ Class of the Illinois Portfolio. The Illinois Park District Liquid Asset Fund Plus was subsequently dissolved as a legal entity.”

0.00%

0.01%

0.02%

0.03%

0.04%

0.05%

2014 2014 2013 2012 2011

0.02% 0.02%

0.03%

0.00%

0.01%

0.01%

0.02%

0.02%

0.03%

0.03%

0.04%

2015 2014 2013


3

Purchase and Sale of Portfolio Shares

IIIT Class Minimum Initial Investment $1.00

Minimum Account Balance $1.00

Minimum Holding Period 1 day

You can place orders to buy or sell IIIT Class shares by wire, automated clearing house (ACH), internal transfers or by check. Notification of these purchases may be made by telephone, by mail, by fax, or via EON, our web-based information and transaction service.

IPDLAF+ Class Minimum Initial Investment $1.00

Minimum Account Balance $1.00

Minimum Holding Period 1 day

You can place orders to buy or sell IPDLAF+ Class shares by wire, automated clearing house (ACH), internal transfers or by check. Notification of these purchases may be made by telephone, by mail, by fax, or via EON, our web-based information and transaction service.

Placing Orders

To place orders, contact us at:

IIIT Class

Online www.iiit.us Phone 800-731-6870

IPDLAF+ Class

Online www.ipdlaf.org Phone 800-731-6830

Orders can be processed the same Business Day if they are received and accepted by the Investment Adviser by 1:00 p.m. Central Time and (for purchases) if the Portfolio’s Depository Bank receives federal funds by wire prior to the close of business. Otherwise, they are processed on the next Business Day. ACH transfer orders are processed on the next Business Day if requested by 1:00 p.m. Central Time. Otherwise, they are processed on the second Business Day after the Business Day on which they are received. For more complete information on buying and selling shares, see “Buying Shares” and “Redeeming Shares.” For information on the potential tax consequences of investing in the Portfolio, see “Tax Information.”


4

Illinois TERM Portfolio

Investment Objective

To provide an investment subject to pre-set redemptions occurring from 60 days to one year from the time of investment, and that will produce the highest earnings consistent with maintaining principal at maturity and meeting the redemption schedule. The Illinois TERM Portfolio seeks to assure the return of principal on the planned maturity date, although principal value may fluctuate prior to that date, and therefore may be greater or less than $1.00 a share. There is a penalty for early withdrawal, and NAV may be more or less than $1.00 a share.

Fees and Expenses

These are the fees you may pay when you buy and hold shares in Illinois TERM.

Annual Portfolio Operating Expenses (Fees and expenses shown may be subject to certain fee waivers) Management and administrative fees 0.25%

Additional expenses attributable to a specific TERM portfolio series are borne by that series, while expenses of the Trust are allocated based on the relative net assets of each series when such expenses are incurred. Total operating expenses of a particular Illinois Term series may vary.

Illinois TERM may charge significant penalties for any redemptions prior to the agreed-upon redemption date. As the penalty charged is based on actual costs incurred in effecting the redemption and protecting the interests of other Portfolio Investors, the actual amount of the penalty cannot be stated in advance.

Principal Investment Strategies

Illinois TERM invests exclusively in high quality money market instruments all of which are permitted investments pursuant to the Illinois Public Funds Investment Act, 30 ILCS 235/1 et seq. Investments include but are not limited to:

Obligations of the U.S. Government and its Agencies and Instrumentalities

Repurchase agreements involving obligations of the U.S. Government and its Agencies and Instrumentalities

Certain obligations of financial institutions, including certificates of deposit issued by FDIC-insured banks

Negotiable Certificates of Deposit Commercial Paper Bankers’ Acceptances Obligations of banks Floating-rate and variable-rate obligations Money market mutual funds and other pooled

investment vehicles that observe certain investment restrictions

Main Risks

As with any similar pooled investment, there are several factors that could hurt the Portfolio’s performance, cause you to lose money, or cause the Portfolio’s performance to trail that of other investments.

Credit risk The issuer of a security could fail to pay interest or principal in a timely manner. The credit quality of an Illinois Term portfolio’s holdings could change rapidly in certain markets, and the default or decline in credit quality of even a single holding could cause the portfolio’s share price to fall.

Early redemption risk Early redemption penalties charged to an Investor by Illinois Term could reduce or eliminate investment gains, and could mean that the amount that Investor receives back is less than the initial investment.

Management risk Performance could be hurt by decisions made by the Investment Adviser, such as choice of investments or investment maturities or timing of buy/sell decisions.

An investment in Illinois TERM is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Portfolio seeks to preserve the value of your investment on the planned redemption date at $1.00 per share, it is possible to lose money by investing in Illinois TERM.


5

Past Performance

The performance of each individual series of the Portfolio may vary. For current rates, call (800) 731-6870 for the IIIT Class and Illinois TERM and (800) 731-6830 for the IPDLAF+ Class and Illinois TERM. Past performance may not indicate future results.

Management

Investment Adviser PFM Asset Management LLC

Purchase and Sale of Portfolio Shares

Minimum Initial Investment $100,000.

Minimum Subsequent Investment $100,000.

Minimum Account Balance $100,000.

Minimum Term 60 days. Premature withdrawal may result in a penalty.

Maximum Term 1 year.

Placing Orders

You can purchase shares of the Portfolio by redeeming shares in an Illinois Portfolio, IIIT Class or IPDLAF+ Class account. When your investment in the Portfolio matures, or if you redeem shares prior to maturity, funds will be reinvested in Illinois Portfolio IIIT Class or IPDLAF+ Class shares. Please call the Investment Adviser for an indication of projected yield, fees, and expenses. For more complete information on buying and selling shares, see “Buying Shares” and “Redeeming Shares.” For information on the potential tax consequences of investing in the Portfolio, see “Tax Information.”

27


6

Overview

From time to time the Investment Adviser may, at the request or with the approval of the Trustees, make other services or programs available to Investors of the Trust. Investors are advised that these additional services and programs are separate from the investment programs encompassed by the Trust, and the Trustees of the Trust take no responsibility for such services or programs. The parties offering such programs are solely responsible for them, and questions regarding any such service or program should be directed to the party offering it. The interests held under any Additional Program are in the name of the respective Investors and are not part of the assets of any series of the Trust.

At present, the Investment Adviser offers to Trust Investors a Certificates of Deposit Investment Program, a SAM Program, and a BAM Program. These programs are separate from the Trust’s investment program and its Board takes no responsibility for them. Investors that opt to take advantage of these programs must enter into a separate agreement with the Investment Adviser.

For further information about each Program, contact the Investment Adviser.

Certificates of Deposit Investment Program

CDs available through the Certificates of Deposit Investment Program are issued by institutions whose deposits are insured by the FDIC or NCUSIF within limits prescribed by law. FDIC or NCUSIF insurance is backed by the full faith and credit of the United States government. For each depositor that otherwise qualifies, interest and principal are fully insured up to the applicable insurance limit in effect at the time of purchase. In order to maintain FDIC or NCUSIF insurance coverage of both principal and interest on CDs purchased through the Certificates of Deposit Investment Program, CDs may only be purchased in amounts so that the total value of the CD and all interest thereon will not exceed the applicable FDIC or NCUSIF insurance limit. For purposes of providing advice on CDs, the Investment Adviser will assume, unless the Program Participant informs the Investment Adviser to the contrary, that the Program Participant is entitled to the applicable FDIC or NCUSIF insurance on each CD purchased through the Program.

Additional information regarding FDIC or NCUSIF coverage limits and requirements can be found at: www.myFDICinsurance.gov and www.ncu.gov.

Eligible CDs

The Investment Adviser seeks to ensure that each Program Participant’s CD investments are entirely covered by FDIC insurance. The Investment Adviser also reviews the financial condition of each financial institution whose CDs are being offered under the program.

Redemption of Program CDs

On the maturity date, redemption proceeds will automatically be wired to your Illinois Portfolio IIIT Class or IPDLAF+ Class account.

Separate Account Management (SAM)

In the SAM program, the Investment Adviser works closely with each Program Participant to create a comprehensive investment strategy and individual portfolio for operating funds and reserves of the Program Participant. Each SAM account is created by the Investment Adviser following a review of budget and cash flow projections and schedules of the Program Participant. SAM accounts can be managed on either discretionary or non-discretionary basis. Program Participants participating in the SAM program receive a cash flow review, investment policy review and assistance in determining acceptable benchmarks, in addition to other cash management services (during the term of the investment advisory agreement). SAM is designed to apply to all or a substantial portion of a Program Participant's budget on an annual basis.

Bond Account Management (BAM)

In the BAM program, the Investment Adviser works closely with the Program Participant to create a comprehensive investment strategy and portfolio for the Program Participant while focusing on the project’s disbursement needs. In addition, the Investment Adviser offers arbitrage rebate services, investment policy review and development, cash flow modeling, and cash management services.

Additional Fund Programs


7

Main Risks

There are several risk factors that you bear directly as a Certificates of Deposit Investment Program Participant.

Credit risk The issuer of a CD could fail to pay interest or repay principal in a timely manner. In such a case, the amount and the timing of any repayment may depend on the FDIC or NCUSIF.

FDIC or NCUA risk If the FDIC or NCUSIF fails to honor its stated coverage of CDs purchased through the Certificates of Deposit Investment Program, you would be solely responsible for resolving the matter with the insuring party and would bear any losses.

Eligibility risk The Certificates of Deposit Investment Program does not actively monitor any Program Participant’s eligibility for FDIC or NCUSIF coverage or the eligibility of any particular CD for any Program Participant. The Program Participant is solely responsible for notifying the Investment Adviser about outside investments that may have an adverse effect on assets invested through the Certificates of Deposit Investment Program.

Excess deposit risk Because the Certificates of Deposit Investment Program can not actively monitor deposits of any type that are made outside the Program, your total deposits with a financial institution could exceed FDIC or NCUSIF coverage limits, leaving you exposed to potential losses should the financial institution be unable to honor its commitments to depositors.

Early redemption risk CDs are not liquid and may be subject to early redemption. Early redemption penalties charged by the CD issuer could reduce or eliminate any earnings, and could mean that the amount you get back is less than your initial purchase amount.

There are also risks that you bear directly as a SAM/BAM Program Participant:

Interest rate risk When short-term interest rates fall, the market value of any fixed rate investment is likely to rise. When interest rates rise, especially if the rise is sharp or unexpected, a security’s market value is likely to fall.

Credit risk The issuer of a security could fail to pay interest or principal in a timely manner. The credit quality of any security could change rapidly in certain markets, and the default or decline in credit quality of even a single holding could cause the overall value of program securities to fall.

Liquidity risk The value of program securities could fall during times when markets are illiquid.

Management risk Performance could be hurt by decisions made by the Investment Adviser, such as choice of investments.

Additional Program Compensation

The fees for the Additional Programs are negotiated directly by the Investment Adviser with the Program Participant and determined after a review of various factors. The Investment Adviser has agreed with the Trust that investment advisory, administrative and marketing fees for the SAM Program shall not exceed 12 basis point (0.12%) of the daily assets under management of each SAM portfolio, subject to a minimum investment advisory fee of $25,000 for all SAM portfolios. The Investment Adviser has agreed with the Trust that the investment advisory fees for the BAM Program shall also be determined under separate agreement with the Investment Advisor. The Investment Adviser has further agreed that investment advisory, administrative and marketing fees for the Certificates of Deposit Investment Program shall not exceed 25 basis points (0.25%) of the principal amount under management.

Management

Investment Adviser PFM Asset Management LLC

Custodian (Applicable to the BAM Program only) Although Program Participants are free to choose a custodian, the Trust has arranged for its Custodian, U.S. Bank, to be available to serve as custodian for the assets of any BAM Program account. The Custodian holds cash and securities of each account in a separate account in the name of the applicable Program Participant. The Custodian does not participate in investment decisions.

Tax Information

We suggest that you check with your tax advisor before purchasing CDs or any other investments. Relevant considerations may include:

Section 115(1) of the Code, which provides that the gross income of a state or political subdivision does not include income derived from the exercise of any essential government function.

Section 148 of the Code (and related regulations) covering rebate requirements, which may apply to anyone investing tax-exempt bond proceeds.

The arbitrage limitations or rebate requirements of section 148 of the Code (and related regulations), under which states and municipalities may be required to pay the U.S. Treasury a portion of earnings they derive from the investment of certain funds.


8

Opening an Account

Eligible Investors In accordance with the Declaration of Trust establishing the Trust and applicable law, eligible Investors in the Trust include any public agencies including, but not limited to, counties, townships, cities, towns, villages, school districts, housing authorities and public water supply districts, to jointly invest funds in accordance with the laws of the State of Illinois. The IPDLAF+ Class of the Illinois Portfolio is limited to Investors which are park districts, forest preserve districts, conservation districts and joint recreational programs and shares of the IIIT Class are available for investment by other eligible entities.

Investor Accounts

The Trust does not issue share certificates. Instead, an account is maintained for each Investor by the Trust’s Administrator acting as transfer agent. Each Investor’s account will reflect the full and fractional shares of the Trust’s Portfolio(s) that it owns. An Investor will be sent confirmations of each transaction in shares and monthly statements showing account balances.

Sub-Account Services

An Investor may open sub-accounts with the Trust for accounting convenience or to meet requirements regarding the segregation of funds. Sub-accounts can be established at any time. An Investor may call (800) 731-6870 for the IIIT Class and (800) 731-6830 for the IPDLAF+ Class for further information and to request the necessary forms.

Account Opening Process To open an account, please call the Administrator (800) 731-6870 for the IIIT Class and (800) 731-6830 for the IPDLAF+ Class:

PFM Asset Management LLC P.O. Box 11760 Harrisburg, PA 17108-11760

Upon approval of a new account application, an account number will be provided to the Investor within twenty-four hours.

Shares of the Trust may be purchased on any Business Day by contacting the Administrator.

The Trust reserves the right to reject any investment and to limit the size of an Investor’s account.

.

Investing


9

Buying Shares — Illinois Portfolio, IIIT Class and IPDLAF+ Class

Investors may invest in the IIIT Class and IPDLAF+ Class using EON, by telephone, by fax or by mail. Once an account has been opened, shares may be purchased by

next day transfer, same day wire, direct deposit or check as follows:

Method Instructions Additional information

Wire (same-day

settlement)

Initiate a transaction online through EON, or by calling (800) 731-6870 for the IIIT Class and (800) 731-6830 for the IPDLAF+ Class before 1:00 p.m. Central Time, or by faxing request to 1-888-535-0120.

Provide the following information: Investor’s account name and account

number Name of portfolio and share class

Name of bank sending wire

It is your responsibility as an Investor to ensure that immediately available funds are received by the Trust on the settlement date.

The Trust does not charge a fee for receipt of these wires. However, an Investor’s bank may charge for wiring funds.

If funds are not available on the settlement date, you may be charged a fee.

Investor Initiated ACH

transfer (settles next

Business Day)

Before making your first transfer, call (800) 731-6870 for the IIIT Class and (800) 731-6830 for the IPDLAF+ Class and register for ACH transfers.

Initiate an ACH transaction online through EON, by calling (800) 731-6870 for the IIIT Class and (800) 731-6830 for the IPDLAF+ Class before 1:00 p.m. Central Time, or by faxing a request to 1-888-535-0120.

Shares may be purchased by requesting that the Administrator initiate an ACH transfer from an Investor’s local bank account. All ACH requests must be reported to the Trust by 1:00 p.m. Central Time in order to begin earning interest in an Investor’s account the following Business Day.

Requests received afte1:00 p.m. Central Time will be initiated the next Business Day and will begin to earn interest two Business Days after the notice.

Please contact the Administrator at (800) 731-6870 for the IIIT Class and (800) 731-6830 for the IPDLAF+ Class for appropriate forms and further details.

The Trust does not charge fees for ACH transfers, and transferring banks generally do not impose fees for ACH transfers initiated by the Trust either.

Third-Party Initiated

ACH Purchases Shares may be purchased by Investors

arranging to allow third-parties to directly deposit funds to their Investor account by ACH. Shareholders who want to permit such a purchase must submit certain information regarding the third-party, in writing, to the Trust’s Administrator prior to the third-party initiating the ACH.

Third-party initiated ACH purchases, reported by the Custodian to the Administrator by 1:00 p.m. Central Time will begin earning interest that same day.

To arrange for third-party ACH purchases Investors can contact the Administrator by calling (800) 731-6870 for the IIIT Class and (800) 731-6830 for the IPDLAF+ Class.

Third-party initiated ACH purchases reported by the Custodian to the Administrator after 1:00 p.m. Central Time will begin earning interest the next Business Day.

Banks that originate ACH transactions cause the ACH to be initiated at least one Business Day prior to its being reported by the Custodian to the Administrator.


10


Check (settles when

the check is fully

available)

Checks to purchase shares should be endorsed as follows: For deposit only Illinois Portfolio – IIIT Class or IPDLAF+ ClassFurther credit: (Entity name & Account number)

If you have deposit tickets reflecting your entity name and all or part of your Trust account number, or generic Trust deposit tickets sent to you by the Trust, you may either bring your deposit to a US Bank branch or mail your deposit to: U.S. Bank N.A. Bank by Mail P.O. Box 1950 St. Paul, MN 55101-0950

Shares will be issued when the check is fully credited to the applicable Illinois Portfolio Class account with the Custodian. This normally occurs within 1-3 Business Days after the Check Clearing Agent receives the check.

An Investor should contact the Trust by calling the Administrator at (800) 731-6870 for the IIIT Class and (800) 731-6830 for the IPDLAF+ Class with any questions regarding purchasing shares via check.

Online Investors may also purchase shares using the above methods via EON. Before making your first online transaction, submit both the Contact Record form and Permissions form, which may be obtained by calling the Administrator at (800) 731-6870 for the IIIT Class and (800) 731-6830 for the IPDLAF+ Class.

Use EON to place wire or Investor-initiated ACH orders.


11

Redeeming Shares — Illinois Portfolio, IIIT Class & IPDLAF+ Class

You may withdraw all or any portion of the funds in your account by redeeming shares. Shares will be redeemed at the net asset value per share next determined after receipt of a request for withdrawal in proper form. This

determination is made at the conclusion of each Business Day. Funds may be withdrawn in any of the ways shown below.


Wire (same-day

settlement)

Initiate a wire online through EON, or call (800) 731-6870 for the IIIT Class and (800) 731-6830 for the IPDLAF+ Class, or fax the request to 1-888-535-0120 on any Business Day to request a withdrawal and the transfer of proceeds using banking instructions on file with the Trust.

If your request is received before 1:00 p.m. Central Time, funds will be wired on that same day.

Requests received after 1:00 p.m. Central Time will be processed on the following Business Day.

You must notify us in writing of any changes to the specified banking instructions.

The Trust does not charge for a same day wire, but an Investor’s depository may.

Investor Initiated

ACH transfer (next

Business Day

settlement)

Shares may be redeemed by requesting that the Administrator initiate an ACH transfer to an Investor’s specified bank or vendor account.

All ACH requests must be made to the Administrator by 1:00 p.m. Central Time to be available in the Investor’s specified bank or vendor account the following Business Day.

An Investor can initiate an ACH transfer by entering the request on EON , or by contacting the Administrator by calling (800) 731-6870 for the IIIT Class and (800) 731-6830 for the IPDLAF+ Class, , or by faxing the request to 1-888-535-0120.

ACH’s will only be initiated if the instructions authorizing ACH transfers to the specified bank or vendor account have been submitted in writing to the Administrator prior to the request.

Requests received after 1:00 p.m. Central Time will be initiated the next Business Day and be available in the specified bank or vendor account two Business Days after the notice.

Third-Party Initiated

ACH Redemptions Shares may be redeemed by Investors

arranging to allow third-parties to directly withdraw from their Investor account by ACH. Shareholders who want to permit such a redemption must submit certain information regarding the third-party, in writing, to the Trust’s Administrator prior to the third-party initiating the ACH.

Third-party initiated ACH redemptions reported by the Custodian to the Administrator by 1:00 p.m. Central Time will effectuate a redemption of shares and transfer from the Shareholder’s account that same day.

To arrange for third-party ACH redemptions, Investors can contact the Administrator by calling (800) 731-6870 for the IIIT Class and (800) 731-6830 for the IPDLAF+ Class.

Third-party initiated ACH redemptions reported by the Custodian to the Administrator after 1:00 p.m. Central Time will be available in the specified bank or vendor account the next Business Day.

The third-party initiator must generally cause the ACH to be initiated one Business Day before the ACH is reported by the Custodian to the Administrator.


12


Online Investors may also redeem shares using the above methods via EON. Before making your first online transaction, submit both the Contact Record form and Permissions form, which may be obtained by calling the Administrator at (800) 731-6870 for the IIIT Class and (800) 731-6830 for the IPDLAF+ Class.

Use EON to place wire or Investor-initiated ACH orders.

Changes to withdrawal instructions must be received in writing by the Administrator in proper form.

Withdrawal of All

Funds in Account If at any time an Investor wishes to withdraw all

of the funds in an account, the proceeds will be sent to the Investor by a Same Day Wire or Next Day Transfer according to the Investor’s instructions.


13

Buying Shares — Illinois TERM

Once your application to open an Illinois TERM Portfolio account has been accepted, you may invest in the Portfolio either by authorizing the Investment Adviser to invest funds in an Illinois TERM Portfolio account or by reinvesting a matured Illinois TERM Portfolio investment. Prior to placing any order, call us to discuss the amount and term of your investment and to get information on the projected yield. Each investment will be given its own

projected yield. Yields may vary according to the term of the investment and the rates available at the time of investment.

The Investment Adviser may refuse any investment or limit the size of an investment.

Redeeming Shares — Illinois TERM

Funds may be withdrawn in any of the ways shown below.

Type of Redemption Instructions Additional information

Maturity No action required. Redemption value will be reinvested in IIIT Class or IPDLAF+ Class shares (as applicable) at maturity date.

Redemption value per share will equal the purchase price plus dividends (at the projected yield) minus any losses incurred by the series (not counting those resulting from premature redemptions).

Premature

Redemption

Redemption prior to

maturity date

Send a letter to the Investment Adviser requesting redemption prior to maturity date. Alternatively, IIIT Class Investors can notify the Investment Adviser by calling (800) 731-6870 and IPDLAF+ Class Investors can call (800) 731-6830 and follow up with written confirmation of your instructions.

7 days after we receive your request, redemption value proceeds will be transferred to purchase IIIT Class or IPDLAF+ Class shares (as applicable).

Premature redemption amounts must be for the entire investment or, for partial redemptions, must be in increments of $10,000.

Redemption value per share will equal the purchase price plus dividends earned to date minus any losses incurred by the series and any premature redemption penalty.

Planned Early

Redemption

Redemption prior to

maturity date

At the time an order for shares is placed, Investors may submit a request for redemption on a Planned Early Redemption Date prior to the termination date for the series without the imposition of a penalty.

Redemption value will be reinvested in IIIT Class or IPDLAF+ Class shares (as applicable) on the Planned Early Redemption date.

The redemption value per share for shares being redeemed on a Planned Early Redemption Date is equal to the original purchase price for such shares plus dividends thereon, less such share’s allocation of any losses incurred by the series (other than losses resulting from Premature Redemption of shares of the series).


14

Policies Concerning Withdrawals

Suspending Withdrawals The Trustees can suspend the right of withdrawal or postpone the date of payment if the Trustees determine that there is an emergency that makes the sale of a Portfolio’s securities or determination of its net asset value not reasonably practical.

General Policies

Services to Investors

The Trust offers certain additional account features at no extra charge, including:

Statements Daily transaction confirmations are available only on EON. The Investment Adviser provides monthly statements showing the previous month’s transactions, dividends paid and the account balance as of the statement date. The statements also indicate total year-to-date income earned. Monthly statements are also available through EON within two business days after month-end. Participants may elect to stop receiving statements by mail. Information Services Toll-free telephone service is available to provide Investors with information including up-to-date account information and transaction history and to receive instructions for the investment or withdrawal of funds. IIIT Class Investors call (800) 731-6870 and IPDLAF+ Class Investors call (800) 731-6830. Websites Account information and information regarding the Trust’s Portfolios and Programs along with current news about the Trust can be found at www.iiit.us for IIIT Class Investors and www.ipdlaf.org for IPDLAF+ Investors. A password and user identification are required to initiate a transaction or access account information. The system can be accessed through the www.iiit.us and www.ipdlaf.org websites by selecting “Access Your Account.” A password and user identification can be received by contacting the Administrator at (800) 731-6870 for the IIIT Class and (800) 731-6830 for the IPDLAF+ Class.

Rights we reserve The Trust reserves the right, acting through its appropriate entity, to do any of the following:

Add, change, or drop account minimums at any time without advance notice.

Reject any investment or to limit the size of any Investor’s account.

Limit the frequency of purchases for any reason.

Establish a minimum check amount, or terminate, suspend, or alter check writing privileges.

Tax Information

We suggest that you check with your tax advisor before investing in an Illinois Trust Portfolio or through any Trust Program.

Financial Highlights

The Portfolios’ financial statements and financial highlights have been audited and are included in the Illinois Trust Annual Reports for the year end. The Annual Reports are available upon request.


15

Part 2 – Information Statement Addendum

General Information

The Trust

History and Description of the Trust On September 27, 2011, the Board of Trustees of the former Illinois Institutional Investors Trust ("IIIT") approved an Agreement and Plan of Reorganization (the "Plan") between IIIT and the Illinois Park District Liquid Asset Fund Plus ("IPDLAF+"), which Plan was approved by the Board of Trustees of the IPDLAF+ on September 21, 2011. Until its dissolution effective February 27, 2012 in accordance with the Plan, IPDLAF+ was a common law trust established to provide an investment opportunity for Treasurers or other official custodians of the funds of Illinois park districts, forest preserve districts, conservations districts and joint recreational programs. IPDLAF+ has substantially the same investment objectives and policies of the Trust and PFM Asset Management LLC also serves as the Investment Adviser and Administrator of IPDLAF+.

On February 27, 2012, IIIT acquired the assets and liabilities of IPDLAF+. In conjunction with the Plan, IIIT was renamed Illinois Trust and the existing IIIT Portfolio was renamed Illinois Portfolio. Shares of the existing IIIT Portfolio became shares of the IIIT Class of the Illinois Portfolio and the existing IIIT TERM Portfolio was renamed Illinois TERM Portfolio. Additionally, existing shares of the Illinois Portfolio were exchanged for shares in the newly created IPDLAF+ Class of the Illinois Portfolio and IPDLAF+ was dissolved as a legal entity. The IPDLAF+ Class of the Illinois Portfolio is limited to Investors which are park districts, forest preserve districts, conservation districts and joint recreational programs and shares of the IIIT Class are available for investment by other eligible entities.

The Trust consists of the Illinois Portfolio (including the IIIT Class and IPDLAF+ Class) and the Illinois TERM Portfolio (including various TERM Series), (each a “Portfolio” or collectively, the “Portfolios”). The Illinois Portfolio seeks to provide Investors with high current income consistent with the preservation of capital and the maintenance of liquidity. Each Illinois TERM Series is a fixed rate, fixed-term investment that seeks to obtain a high rate of return. The Trust pursues these objectives by conducting a professionally managed investment program consistent with the policies and restrictions described below:

The Declaration

Each potential Investor in the Trust receives a copy of the Declaration of Trust before it becomes an Investor. Certain portions of the Declaration of Trust are summarized in this Information Statement. However, these summaries are qualified in their entirety by reference to the text of the Declaration of Trust.

Description of Shares. The Declaration of Trust authorizes the issuance of an unlimited number of non-transferable shares that may be used to represent the proportionate allocation among Investors of beneficial interest in the Trust. These shares do not entitle Investors to any preference, conversion, exchange or preemptive rights. No shares may be assigned or transferred to any person other than the Trust itself at the time of withdrawal. Furthermore, shares may not be pledged, hypothecated or otherwise encumbered by an Investor.

The Trustees, in their discretion, from time to time, may authorize the division of shares into two or more separate series and the division of any series into two or more separate classes of Shares, as they deem necessary and desirable. The different series or classes shall be established and designated, and the variations in the relative rights and preferences as between the different series or classes, shall be fixed and determined, by the Trustees, without the requirement of Investor approval. Each series shall relate to a separate portfolio of investments.

An Investor only receives earnings from the investments of the series or class in which it invests. The investment portfolio of each series is independent of the investment portfolio of each other series. In the event of the incurrence of a loss with respect to any series (whether of principal or interest), no contribution will be made to such series from the portfolio of any other series to offset such loss. No series constitutes security or collateral for any other series.


16

Voting. For all matters requiring a vote of Investors, each Investor is entitled to one vote with respect to each matter, regardless of the number of shares that the Investor holds. Investors are not entitled to cumulative voting or voting on a series-by-series or class-by-class basis.

Withdrawals. Pursuant to a request for withdrawal of shares from an Investor, in accordance with the procedures set forth in the Declaration of Trust, the Trust shall cause to be delivered to the Custodian a certificate signed on behalf of the Trust specifying the amount to be paid for the shares redeemed. A withdrawal request made by an Investor in the form of a check drawn upon its Trust account with Custodian is deemed to constitute the presentation of a certificate. Investors also may make withdrawals by written, telephonic or facsimile request in accordance with the procedures set forth in this Information Statement.

Distributions. In addition to distributions made pursuant to withdrawals by Investors, the Trustees may from time to time declare and pay to the Investors in those series or classes, in proportion to their respective ownership of shares, such supplementary distributions as they may determine necessary, out of the earnings, profits or assets in the hands of the Trustees. The declaration and payment of such supplementary distributions and the determinations of earnings, profits, and other funds available for such supplementary distributions or other purposes, shall lie wholly in the discretion of the Trustees and may be made at such time and in such manner as they, in their sole discretion, determine.

The Trustees may also allocate to the Investors in the IIIT Class and IPDLAF+ Class, in proportion to their respective ownership of shares, additional shares in such manner and on such terms as they may deem proper.

Any or all supplementary distributions will be made among the Investors of record at the time of declaring such distribution or among the Investors of record at such other date as the Trustees shall determine. Subject to the foregoing, an Investor may only receive such supplementary distribution from the investments of the series and/or class in which it participates.

Borrowing. The Trust may not borrow money or incur indebtedness except to facilitate as a temporary measure: (a) withdrawal requests which might otherwise require unscheduled dispositions of Portfolio investments; (b) for a period not to exceed one (1) business day, withdrawal requests pending receipt of collected funds from investments sold on the date of the withdrawal requests or withdrawal requests from Investors who have notified the Trust of their intention to deposit funds in their accounts on the date of the withdrawal request; or (c) for a period not to exceed one (1) business day, the purchase of Permitted Investments pending receipt of collected funds from Investors who have notified the Trust of their intention to deposit funds in their accounts on the date of the purchase of the Permitted Investments.

Investor Liability. The Declaration of Trust provides that Investors shall not be subject to any individual liability for the acts or obligations of the Trust and provides that every written undertaking made by the Trust shall contain a provision that such undertaking is not binding upon any of the Investors individually. The Trustees intend to conduct the operations of the Trust, with advice of counsel, in such a way as to avoid ultimate liability of the Investors for liabilities of the Trust.

Responsibility of Trustees, Officers and Agents. No Trustee, officer, employee or agent of the Trust (or other person who might be designated by the Trustees) is individually liable to the Trust, an Investor, an officer, an employee or an agent of the Trust, for any action or failure to act unless it is taken or omitted in bad faith or constitutes willful misfeasance or misconduct, reckless disregard of duty or gross negligence. All third parties shall look solely to the Trust property for the satisfaction of claims arising in connection with the affairs of the Trust.

Indemnification. Subject to certain conditions and limitations set forth in the Declaration of Trust, the Trust will indemnify each of its Trustees and officers, and employees and any other persons designated by the Trustees to receive such indemnification, against all liabilities and expenses (including, without limitation, amounts paid in satisfaction of judgments, in compromise or as fines and penalties, and counsel fees) reasonably incurred by him or her in connection with the defense or disposition of any action, suit or other proceeding by the Trust or any other person, whether civil or criminal, in which he or she may be involved or with which he or she may be threatened, while in office or thereafter, by reason of his or her being or having been such a Trustee, officer, employee, agent or otherwise designated person, except as to any matter as to which he or she shall have been adjudicated to have acted in bad faith or with willful misfeasance or misconduct or reckless disregard of his or her duties or gross negligence.


17

Amendment and Termination of the Declaration

Amendment of Declaration of Trust. The Declaration of Trust may be amended by the affirmative vote of a majority of the Investors present in person or by proxy entitled to vote or by an instrument in writing, without a meeting, signed by a majority of the Trustees and consented to by not less than a majority of the Investors entitled to vote. The Trustees may, from time to time, by a two-thirds vote of the Trustees, and after fifteen (15) days' prior written notice to the Investors, amend the Declaration of Trust without the vote or consent of the Investors, to the extent that they deem necessary to conform the Declaration of Trust to the requirements of applicable laws or regulations, or any interpretation thereof by a court or other governmental agency, but the Trustees shall not be liable for failing to do so

Termination of the Declaration of Trust. The Trust may be terminated by the affirmative vote of a majority of the Investors present in person or by proxy entitled to vote at any meeting of Investors or by an instrument in writing, without a meeting, signed by a majority of the Trustees and consented to by a majority of the Investors entitled to vote. Upon the termination of the Trust and after paying or adequately providing for the payment of all of its liabilities, and upon receipt of such releases, indemnities and refunding agreements as they deem necessary for their protection, the Trustees may distribute the remaining Trust property, in cash or in kind or partly in cash and partly in kind, among the Investors according to their respective proportionate beneficial interests.

Operating Policies The Trust has developed operating policies pertaining to deposits, withdrawals, check writing, stop payments and wire and other electronic transactions. These operating polices are available to all Investors and may be amended from time to time. These policies have been developed for the protection of the Trust and its Investors. The policies are integral to the operation of the Trust and are binding on the Investors and potential investors.

Services Advisory Services. The Trust has entered into separate Investment Advisory Agreements with the Investment Adviser, pursuant to which the Investment Adviser manages the investment of the Trust’s Portfolios, including the placement of orders for the purchase and sale of Portfolio securities. The Investment Adviser obtains and evaluates such information and advice relating to the economy and the securities market as it considers necessary or useful to manage continuously the assets of the Trust in a manner consistent with the investment objectives and policies of the Portfolios.

Portfolio Transactions. Subject to the general supervision of the Trustees, the Investment Adviser is responsible for the investment decisions and for placing the orders for portfolio transactions for the Trust. The Trust's portfolio transactions occur primarily with major dealers in money market and government instruments acting as principals. Such transactions are normally on a net basis, which do not involve payment of brokerage commissions. Transactions with dealers normally reflect the spread between bid and asked prices.

Although the Trust does not ordinarily seek, but may nonetheless make profits through short-term trading, the Investment Adviser may, on behalf of the Trust, dispose of any portfolio investment prior to its maturity if it believes such disposition is advisable. The Trust's policy of generally investing in instruments with maturities of less than one (1) year will result in high portfolio turnover. However, since brokerage commissions are not normally paid on the types of investments which the Trust may make, any turnover resulting from such investments should not adversely affect the net asset value or net income of the Trust.

The Investment Adviser seeks to obtain the best net price and most favorable execution of orders for the purchase and sale of portfolio securities. Where price and execution offered by more than one dealer are comparable, the Investment Adviser may, in its discretion, purchase and sell investments through dealers which provide research, statistical and other information to the Investment Adviser or to the Trust. Such supplemental information received from a dealer is in addition to the services required to be performed by the Investment Adviser under its agreement with the Trust, and the expenses of the Investment Adviser will not necessarily be reduced as a result of the receipt of such information.

Portfolio investments will not be purchased from or sold to the Investment Adviser or any affiliate of the Investment Adviser

Customer Service. The Investment Adviser operates a toll-free telephone facility to be used by Investors or by local governments interested in becoming Investors. The Investment Adviser also develops and maintains the online access and transaction systems.

Transfer Agent, Dividend Disbursing Agent. The Investment Adviser maintains account records for each Investor, produces statements of account, calculates and distributes the net income, and processes all transactions.


18

Administrator. The Trust has entered into a separate agreements with the Investment Adviser and its wholly-owned broker-dealer subsidiary, PFM Fund Distributors, Inc., to provide administrative and distribution services to the Trust.

The Investment Adviser maintains the books of the Portfolios; supervises, under the direction of the Trustees, all aspects of each Portfolio’s operations; periodically updates and prepares the Trust’s Information Statement; prepares the tax returns, financial statements and reports for all Portfolios; supervises and coordinates the activities of the custodian for the assets of the Portfolios; and provides office space, equipment, and personnel to administer the Trust.

The Investment Adviser maintains records of all securities owned, performs the bookkeeping for all sales and purchases, determines the daily, monthly and quarterly income distribution amounts, and under the direction of the Trustees determines each Business Day the net asset value of shares of the Portfolio, and determines the net asset value of shares of the Portfolio as necessary.

Marketing. The Administrator, through PFM Fund Distributors, Inc., which is a registered member of the Municipal Securities Rulemaking Board and the Financial Industry Regulatory Authority, also provides marketing services to the Trust. As part of those duties PFM Fund Distributors, Inc. has established a marketing team and a client services group with appropriate training, attends Trust seminars and conferences, provides advice regarding methods of seeking and obtaining additional Investors for the Trust, assists Investors in completing and submitting account application forms, assists in preparing and distributing information about the Trust and at least once each quarter, provides the Trustees with a summary of future marketing strategies.

PFM Fund Distributors, Inc. arranges and pays for costs of printing and distributing the Trust’s Information Statements to eligible Investors and prepares and distributes other explanatory and promotional materials, provides technical assistance and guidance to eligible Investors considering use of the Trust as a cash management vehicle, and the Investment Adviser’s personnel make visits to eligible Investors to present the facts about the Trust and to explain their use, advantages, and benefits.

Opening an Account In general, to open an account, a public agency must join the Trust and become an Investor by adopting the Declaration of Trust/Intergovernmental Cooperation Agreement with other Trust Investors, completing the appropriate new account forms and submitting them to:

Illinois Trust - IIIT Class or IPDLAF+ Class c/o PFM Asset Management LLC P.O. Box 11760 Harrisburg, PA 17108-1760

The Trust will notify the public agency of its approval of the application(s) and the account number(s) assigned. There is no limit to the number of accounts that can be opened by an Investor. Additional Account Applications are available online at www.iiit.us or www.ipdlaf.org or by calling (800) 731-6870 for the IIIT Class and (800) 731-6830 for the IPDLAF+ Class.

Election and Duties of the Trustees The Trustees have full, exclusive and absolute control and authority over the business and affairs of the Trust and the Trust's assets, subject to the rights of the Investors as provided in the Declaration. The Trustees may perform such acts as in their sole judgment and discretion are necessary and proper for conducting the business and affairs of the Trust or promoting the interests of the Trust. They oversee, review and supervise the activities of all consultants and professional advisers to the Trust. Number. There are currently ten positions on the Board of Trustees. This number may be changed from time to time by resolution of the Trustees; however, the number of Trustees may never be less than two or more than fifteen. Term. Unless otherwise agreed upon, each Trustee serves a term of three years and, as long as eligible, may be re-elected to any number of successive terms. In order to facilitate the smooth working of the Board of Trustees, the Trustees shall be divided into three classes, as equal in number as practicable, so arranged that the term of one class shall expire at the respective annual meetings or votes of Investors held following the conclusion of each fiscal year of the Trust. At all annual meetings or votes, a class of Trustees shall be elected to fill the class whose term then expires.


19

Eligibility. Pursuant to the Declaration, an individual eligible to be a Trustee must be an authorized representative of a public agency which is an Investor of the Trust. An authorized representative includes a treasurer or other financial officer or any other person authorized by the Investor public agency. Elections and Vacancies. Election of the Trustees is by the affirmative vote of a majority of the Investors at an annual meeting or annual vote of Investors, except when a Trustee is unable to complete the term to which such Trustee has been elected. If such vacancy occurs, the remaining Trustees will, by a majority vote, elect an eligible individual to serve for the balance of the term for which vacancy said Trustee was elected to fill. Officers. The Trustees may elect two members of the Board of Trustees to serve as Chairperson and Vice Chairperson of the Trust. They may also elect two individuals, who need not be Trustees, to serve as Treasurer of the Trust and Secretary of the Trust. These officers (the "Officers") are elected annually by a majority vote of the Trustees. Compensation. The Trustees serve without compensation, but they are reimbursed by the Trust for reasonable travel and other out-of-pocket expenses incurred in connection with their duties as Trustees. Duties. The Trustees are responsible for the general policies and programs of the Trust. They are also responsible for the general supervision and administration of the business and affairs of the Trust. However, the Trustees are not required to devote their entire time to the affairs of the Trust and are not required to personally conduct all of the business of the Trust. Specifically, the Trustees oversee the investment program implemented by the Investment Adviser but do not make investment decisions for the Trust. Accordingly, consistent with their ultimate responsibility, the Trustees have appointed an administrator, an investment adviser, a distributor and a custodian bank to which the Trustees have assigned such duties as they deem to be appropriate. Service Providers Investment Adviser, Administrator, and Transfer Agent PFM Asset Management LLC 222 North LaSalle, Suite 910 Chicago, Illinois 60601

PFM Asset Management LLC is registered under the Investment Advisers Act of 1940, as amended, and is under common ownership with Public Financial Management, Inc. (“PFM”), a financial advisory firm. PFM Asset Management LLC was established by the shareholders of PFM in July 2001 to conduct the investment advisory business in which PFM had been engaged since 1980. PFM Asset Management LLC personnel, and the investment management staff that serves the Trust, formerly employed by PFM, are now employed by the Investment Adviser. Together, PFM Asset Management LLC and PFM have acted as financial or investment advisers to thousands of cities, townships, boroughs, counties, school districts, and authorities and health and higher education institutions nationally. For additional information on the Investment Adviser, visit www.pfm.com. As Investment Adviser, PFM Asset Management LLC is responsible for supervising each Portfolio’s investment program, managing each Portfolio’s assets, implementing any training programs approved by the Trustees, providing the Trustees with quarterly performance evaluations, maintaining the books and records of the Portfolios, and for selecting the CDs that are offered through the Certificates of Deposit Investment Program and the separate account securities for each SAM and BAM Program Participant.

PFM Asset Management LLC also provides certain administrative services to the Trust, such as:

Calculating NAV of each Portfolio. Arranging for quarterly Trustees meetings. Overseeing the preparation of tax returns, reports to the Trustees, shareholder reports, regulatory filings. Coordinating the activities of other service providers.

In addition, PFM Asset Management LLC serves as transfer agent for the Portfolios. It receives, validates, and processes orders to buy and sell Portfolio shares.

In this document, the term “Investment Adviser” is used to indicate PFM Asset Management LLC, even when referring to them in their capacity as Administrator or Transfer Agent, if applicable.


20

Distributor PFM Fund Distributors, Inc. One Keystone Plaza, Suite 300 North Front & Market Streets Harrisburg, PA 17101-2044

PFM Fund Distributors, Inc., a wholly owned broker- dealer subsidiary of PFM Asset Management LLC, offers shares of the Portfolios on a continuous basis. It is responsible for printing and distributing sales materials.

Custodian U.S. Bank, N.A. 800 Nicollet Mall Minneapolis, Minnesota 55402

Custodian. The Trust entered into a Custodian Agreement with U.S. Bank, N.A. The Trust's agreement with the Custodian remains in effect from year to year if approved annually by the Trustees or by a majority of the Investors. The agreement is not assignable without the Trust’s prior written consent and may be terminated without penalty on sixty (60) days' written notice at the option of the Trustees or the Custodian.

Duties. The Custodian acts as safekeeping agent for the investment portfolios and also serves as the depository in connection with the direct investment and withdrawal mechanisms of the Trust. The Custodian does not participate in the Trust's investment decision making process. The Trust may invest in obligations of the Custodian and buy and sell Permitted Investments from and to it.

Additional Custodians. The Trustees or the Custodian may in their discretion employ one or more custodians in addition to the Custodian referred to above. Any such additional custodians must be institutions and entities as specified in Illinois law. Such additional custodians shall perform such safekeeping duties (including duties applicable only to a designated Portfolio) as may be set forth in an agreement between the Trust and the additional custodian. An additional custodian need not have an office in the State of Illinois.

Independent Auditor PricewaterhouseCoopers LLP 300 Madison Avenue New York, New York 10017 PricewaterhouseCoopers LLP serves as the Trust’s independent auditor.

Legal Counsel Schiff Hardin LLP 6600 Willis Tower Chicago, Illinois 60606 Schiff Hardin LLP serves as legal counsel to the Trust.

The Sponsors Sponsor Agreements. The Trustees have arranged with the Illinois Association of Park Districts (“IAPD”) and the Illinois Park and Recreation Association (“IPRA” and collectively with “IAPD” the "Sponsors") to serve as the Sponsors of the Illinois Portfolio IPDLAF+ Class pursuant to agreements for services (the "Consulting Agreements"). The Consulting Agreements remain in effect until May 1, 2020, subject to annual approval by the Trustees. The Consulting Agreements may be terminated without penalty upon sixty (60) days’ written notice by either party.

Sponsor Duties. The Sponsors provide consulting services to the Trust, as specified in each of the separately executed agreements, and assist in the preparation and dissemination of Trust information through the Trust’s various publications. The Sponsors are paid fees for services to the Trust, as more fully described herein.


21

The Portfolios

Information Common to All Portfolios

The Investment Adviser maintains records of all Portfolio securities owned, performs the bookkeeping for all Portfolio sales and purchases, determines the daily and monthly Portfolio income distribution amounts, and under the direction of the Trustees determines the net asset value of shares of the Portfolio each Business Day.

Authorized Investments

The Trust is specifically designed for public agencies. Accordingly, its Portfolios invest solely in instruments in which public agencies are permitted to invest (“Permitted Investments”), all of which are permitted investment pursuant to the Illinois Public Funds Investment Act, 30 ILCS 235/1 et seq.: Such instruments currently include the following:

(1) bonds, notes, certificates of indebtedness, treasury bills or other securities now or hereafter issued or guaranteed by the full faith and credit of the United States of America as to principal and interest;

(2) bonds, notes, debentures, or other similar obligations of the United States of America or its agencies or instrumentalities;

(3) interest-bearing savings accounts, interest-bearing certificates of deposit, interest- bearing time deposits, bankers’ acceptances or any other investments constituting direct obligations of any bank that are permitted by applicable law. These investments may also be: (i) federally insured; or (ii) collateralized by any of the classes of securities permitted by the Illinois Public Trusts Investment Act. No more than 5% of the Illinois Portfolio’s assets may be invested in bankers’ acceptances of any one bank;

(4) short-term obligations of corporations organized in the United States with assets exceeding $500,000,000 if (i) such obligations are rated at the time of purchase at one of the 3 highest classifications established by at least two nationally recognized statistical rating organizations and which mature not later than 270 days from the date of purchase, (ii) such purchases do not exceed 10% of the corporation's outstanding obligations and (iii) at the time of purchase no more than one-third of a Portfolio of the Trust may be invested in short term obligations of corporations;

(5) money market mutual funds registered under the Investment Company Act of 1940, provided that the portfolio of any such money market mutual funds is limited to obligations described in paragraph (1) or (2) of this subsection and to agreements to repurchase such obligations;

(6) repurchase agreements with respect to securities described under subsection (1) and (2) without regard to the maturity of the securities underlying the agreements. Repurchase agreement transactions must be collateralized as provided herein;

(7) variable-rate and floating-rate obligations. Debt obligations purchased by the Trust may have interest rates that are periodically adjusted at specified intervals or whenever a benchmark rate or index changes. These floating-rate and variable-rate instruments may include certificates of participation in such instruments. These securities may have demand features which give the Trust the right to demand repayment of principal on specified dates or after giving a specified notice. Adjustable rate securities and securities with demand features may be deemed to have maturities shorter than their stated maturity dates.

Investment Restrictions The Trustees, have adopted the following investment restrictions and fundamental investment policies for the Portfolios. These cannot be changed without approval of the Investors holding a majority of the outstanding shares of each Portfolio or series within a Portfolio to be affected by the change. No Portfolio will do any of the following:

Purchase any securities other than those listed under “Authorized Investments” above unless Illinois State legislation at some future time redefines the types of securities which are legal investments for all classes of Investors, in which case the permitted investments for the Portfolios may be conformed to such changes. No change in the permitted investments for the Portfolios will be effected without prior written notification to the Investors affected by such change.


22

Invest in securities of any issuer in which a Trustee, or officer, or employee or agent of the Trust is an officer, director, or 10% or greater shareholder unless such investment is periodically authorized by resolutions adopted by a majority of the Trustees who are not officers, directors, or 10% shareholders of such issuer.

Make loans, provided that a Portfolio may enter into repurchase agreements with terms as long as 397 days, if, as a result thereof, not more than 10% of that Portfolio’s total assets would be subject to repurchase agreements that mature in more than seven days, unless they are subject to irrevocable puts exercisable in less than seven days, (this 10% limitation does not apply to the Illinois TERM Portfolio).

Borrow money or pledge, hypothecate, or mortgage its assets to an extent greater than 25% of the market value of total assets of the Portfolio, and then only as a temporary measure for extraordinary or emergency purposes, to facilitate withdrawal requests which might otherwise require untimely dispositions of Portfolio securities. All such borrowings must be repaid before the Portfolio makes any additional investments. Interest paid on such borrowings will reduce net income.

Main Risks

There are risks associated with investment in the Trust’s Portfolios which should be considered carefully by Investors and potential Investors in light of their particular circumstances as they may exist from time to time. The Portfolios of the Trust may not be an appropriate investment in certain situations for some Investors and potential Investors. Although the Trust has been designed and is operated with the goal of minimizing risk, Investors and potential Investors should carefully consider the factors described in this section in light of their particular circumstances. The risks specified in this section may also be applicable to certain investments in individual portfolios (“Individual Portfolios”) which the Trust offers to Investors. Individual Portfolios allow public agencies the option to contract with the Investment Adviser to have an individual portfolio managed to meet the agency's specific investment objectives. For additional information regarding Individual Portfolios, please refer to the “ADDITIONAL PROGRAMS AND SERVICES” section of this document.

Income, Market and Credit Risk. Investments in the Trust’s Portfolios are subject to income, market and credit risk. Income risk is the potential for a decline in current income of a Portfolio of the Trust. The current income of the Trust’s Portfolios are based on short-term interest rates, which can fluctuate substantially over short periods. Accordingly, investments in the Trust’s Portfolios are subject to current income volatility. Market risk is the potential for a decline in the market value of fixed- income securities held in a Portfolio of the Trust as a result of a rise in prevailing interest rates. This could result in the incurrence of a loss with respect to a security in the event that such a security were to be sold for a market price less than its amortized value. Credit risk is the possibility that an issuer of securities held in a Portfolio of the Trust fails to make timely payments of principal or interest. The credit risk of a Portfolio is a function of the credit quality of its underlying securities. A discussion of the credit risks associated with certain Permitted Investments is set forth below.

Repurchase Agreements. The Trust’s Portfolios may invest in Permitted Investments which may include repurchase agreements. In a repurchase agreement, an investment is sold to the Portfolio at which time the seller agrees to repurchase the investment from the Portfolio at a specified time and at an agreed upon price. The yield on the repurchase agreement is determined at the time of sale. This yield may be more or less than the interest rate on the underlying collateral. All collateral is delivered to and held by the Custodian or by another custodian appointed by the Trustees.

Although the Portfolios enter into such repurchase agreement arrangements only with recognized and established securities firms (the “Counterparty”) selected by the Investment Adviser, there can be no assurance that such Counterparty will pay the agreed upon repurchase amount on the designated date. In the event that such Counterparty fails to pay the agreed upon price at the specified time, the Portfolios of the Trust might suffer a loss resulting from (i) diminution of the value of the underlying Permitted Investment to an amount below the amount of the anticipated repurchase price, (ii) the costs associated with the resale of the investment, and (iii) a delay experienced in foreclosing upon and selling the investment.

Although at the time the Portfolios enter into a repurchase agreement the underlying collateral has a market value which is equal to 102% of the price paid by the Portfolios and equal to or greater than the anticipated repurchase price, there can be no assurance that such market value will continue to equal or exceed the repurchase price. In the event the market value of the underlying collateral falls below the agreed upon repurchase price, the responsible person with which the Portfolios have entered into the repurchase agreement will be required to deliver additional collateral to the Portfolios of the Trust.


23

There can be no assurance that such deliveries of additional collateral will be made in all circumstances. In the event that such a delivery is not made and the responsible person does not pay the repurchase price on the specified date, the amount of the Portfolios’ loss will be increased as a consequence of such failure of delivery.

Obligations of United States Government Agencies and Instrumentalities. Investors should be aware that not all obligations issued by agencies and instrumentalities of the United States Government are guaranteed by the full faith and credit of the United States Government. The obligations of some agencies and instrumentalities of the United States Government that may be purchased by the Portfolios of the Trust from time to time are obligations only of the applicable agency or instrumentality and are not full faith and credit obligations of the United States. The creditworthiness of such obligations relates only to the credit of the issuing agency or instrumentality. No assurance can be given that the agency or instrumentality will under all circumstances be able to obtain funds from the United States Government or other sources to support all of its obligations.

Certificates of Deposit. Although the Investment Adviser uses the investment criteria established by the Trustees in order to reduce risk when determining which institutions will be used for such investments, no assurance can be given that such an institution will not become insolvent during the life of an investment in it. Certificates of deposit in amounts above Federal Deposit Insurance Corporation ("FDIC") insurance limits are not insured. In determining FDIC insurance limits, Federal regulations provide that all amounts deposited by a depositor, including amounts deposited directly, through brokers or through other means in a financial institution – regardless of the source – will be combined in determining the insurance limit.

FDIC-Insured Certificates of Deposit. Some of the assets of the Trust’s Portfolios may be invested in certificates of deposit subject to applicable FDIC insurance limits in effect at the time of purchase.

In the event that an institution issuing an insured certificate of deposit in which the Trust’s Portfolios have invested becomes insolvent, or in the event of any other default with respect to such a certificate of deposit, an insurance claim will be filed with the FDIC by the Trust, if appropriate. In such a case, there may be delays before the FDIC, or other financial institution to which the FDIC has arranged for the deposit to be transferred, makes the relevant payments. Such delays may be occasioned by requirements relating to the filing and processing of insurance claims, including requests for additional information by the FDIC. Furthermore, if the defaulted deposit is transferred to another institution, the transferee institution may, instead of paying the insured amount, elect to keep the deposit in existence with or without changing its original terms. Such changes of terms may include a reduction of the original interest rate paid on the deposit.

The amount insured by the FDIC is the principal of the relevant deposit and the interest accrued on the deposit to the date of default, up to applicable FDIC insurance limits in effect at the time of purchase in the aggregate. There is no insurance with respect to interest on a deposit between the date of the default and the date of the payment of insurance by the FDIC. Accordingly, a default by an institution might result in a delay in the receipt of invested principal and pre-default accrued interest by an affected Investor and a loss of interest related to the period between the date of the default and the payment of the insurance.

In addition, the FDIC could deny any claim that it does not deem to be valid. Any such denial might have to be challenged in judicial or administrative proceedings brought by the Trust and any affected Investor.

Collateralized Certificates of Deposit. From time to time, the Trust’s Portfolios may invest in collateralized certificates of deposit as permitted by Illinois Law. In the event of a default on such a certificate of deposit, it may be necessary to foreclose on the collateral. Such foreclosure will entail certain risks for the Investors in the Trust. These risks include losses resulting from a diminution in the value of the collateral before it can be sold, procedural delays relating to the foreclosure, costs of foreclosure and a failure to realize an amount in the foreclosure equal to the principal of and interest on the defaulted certificate of deposit.

Commercial Paper. The Trust’s Portfolios may purchase commercial paper which qualifies as a Permitted Investment. Commercial paper is a debt instrument that is issued by a company and is secured only by the assets, if any, of that company. The creditworthiness of such an obligation relates only to the creditworthiness of the issuing company. No assurance can be given that a company will not become insolvent during the life of an investment in it. In the event of such insolvency or in the event of any other default with respect to such commercial paper, a claim will be filed by the Trust


24

against the company, if appropriate. However, there is no assurance that the Trust will receive any recovery as a result of filing a claim.

Management and Administrative Costs Adviser Fee Illinois Portfolio. The Investment Adviser is paid a fee for its services as investment adviser for the Illinois Portfolio at an annual rate applied to the total average daily net assets of all Investors invested in the Illinois Portfolio of the Trust. That rate is 0.06%.

Illinois TERM Portfolio. In addition, the Trust pays the Investment Adviser a fee in an amount not greater than 0.25% (annualized) of the funds invested in Illinois TERM by the Investors, and such fee is for the services of the Investment Adviser, the Administrator and the Distributor with respect to Illinois TERM.

Administrator Fee Illinois Portfolio. The Administrator is paid a fee for its services as Administrator for the Illinois Portfolio at an annual rate applied to the total average daily net assets of all Investors invested in the Illinois Portfolio of the Trust. That rate is as follows: Illinois Portfolio Average Daily Net Assets Rate

First $500,000,000 0.09%

$500,000,001 to $750,000,000 0.08%

Over $750,000,000 0.07%

This fee is computed daily and paid monthly.

Marketing Fee Illinois Portfolio. The Administrator or PFM Fund Distributors, Inc. as applicable, is paid a fee 0.10% for marketing services related to the Illinois Portfolio at the applicable annual percentage specified below based on the total average daily net assets of the IIIT Class and the IPDLAF+ Class. The fee is computed daily and paid monthly. This fee shall be allocated between and be paid from the Illinois Portfolio’s IIIT Class and IPDLAF+ Class based on the average daily net assets in each such class which is accrued daily.

Sponsor Fees (IPDLAF+ Class only)

IPDLAF+ Class. The Sponsors are paid a fee for the services rendered as sponsor to the Illinois Portfolio’s IPDLAF+ Class at an annual rate applied to the total average daily net assets of all Trust Investors invested in the IPDLAF+ Class of the Trust. That rate and sponsoring organization is as follows: Organization Liquid Class Rate

Illinois Association of Park Districts

.05%

Illinois Park and Recreation Association

.05%

Custodian & Cash Management Fees. Illinois Portfolio. Under its agreement with the Trust, the Custodian may charge an annual administration charge for the Illinois Portfolio. The Custodian is also paid a fee for its services as custodian of the Illinois Portfolio at an annual rate equal to 0.00333% of the Illinois Portfolio’s average monthly market value. The market value of the Illinois Portfolio is computed as of the close of business on each Friday. The average monthly market value is computed by adding together the total for each weekly valuation and dividing by the number of Fridays occurring in the month. The custodian fee for the Illinois Portfolio is computed and paid monthly. The Custodian is also paid various transaction fees.

The Custodian fee is computed and paid monthly.


25

Other Fees and Expenses The Administrator pays the Trust's expenses for printing certain documents such as the Information Statement and the administrative costs of the Trust such as postage, telephone charges and computer time. The Administrator also furnishes the Trust, at the Administrator's expense, with the services of persons who perform certain administrative and clerical functions for the Trust and with office space, utilities, office equipment, and related services.

Except as otherwise noted herein with respect to certain expenses paid or reimbursed by the Administrator, the Trust pays the reasonable out-of-pocket expenses incurred by the Trustees and officers in connection with the discharge of their duties, and other expenses including brokerage commissions, the fees of the Investment Adviser under the Administration and Investment Advisory Agreement and for PFM Fund Distributors, Inc. under the Distribution Agreement, the fees of the Custodian under the Custodian Agreement, the legal fees of the Trust, the fees of the Trust's independent accountants, the costs of appropriate insurance for the Trust and its Trustees and officers, and various other expenses. These expenses are allocated between the Trust's Illinois Portfolio and Illinois TERM either (a) on a pro-rata basis, (b) on the basis of actual cost to a series, or (c) as otherwise provided in the Agreement.

Each Service Provider may, but shall not be obligated to, reduce a portion of its fees to assist the Trust in an attempt to maintain a positive yield. In the event that a Service Provider elects to initiate a fee reduction, such fee reduction shall be applicable to the computation of the net asset value (“NAV”) of the Trust on the Business Day immediately following the date on which the Service Provider gives notice to the Trust on the rate of the fee reduction to be applied in calculating the NAV. A fee reduction shall remain in effect until notice is provided to the Trust by the Service Provider regarding its intent to terminate its fee reduction or revise, upward or downward, the rate of its fee reduction.

At any time after a fee reduction has been terminated, the relevant Service Provider may elect to have the amount of its accumulated reduced fees restored in whole or in part under the conditions described in the Service Provider’s Fee Reduction Agreement with the Trust by way of a payment of fees in excess of the rate it was entitled to, prior to any fee reduction, all as set forth in the respective Fee Reduction Agreement, but cannot exceed 110% of contractual fee.

Information Specific to the Illinois Portfolio

Investment Restrictions

The Trustees, have adopted the following investment restrictions and fundamental investment policies for the Illinois Portfolio. These cannot be changed without approval of the Investors holding a majority of the outstanding shares of the Illinois. The Illinois Portfolio will not do any of the following:

Purchase any Permitted Investment if the effect of such purchase would be to make the average dollar-weighted maturity of the Illinois Portfolio greater than 60 days and the dollar-weighted average life (portfolio maturity computed to final maturity without regard to interest rate adjustments on investments) greater than 120 days.

Purchase the securities of any single issuer (other than obligations issued and guaranteed as to principal and interest by the government of the United States, its agencies or instrumentalities) if, as a result, more than ten percent (10%) of the Portfolio’s total assets would be invested in the securities of any one issuer.

Invest more than 5% of net assets in illiquid investments. Illiquid investments are securities that cannot be sold or disposed of in the ordinary course of business at approximately the value ascribed to it by the Trust. Illiquid investments include:

Restricted investments (those that, for legal reasons, cannot be freely sold).

Fixed time deposits with a maturity of more than seven days that are subject to early withdrawal penalties.

Any repurchase agreement maturing in more than seven days and not terminable at approximately the carrying value in the Trust before that time.

Other investments that are not readily marketable at approximately the carrying value in the Trust.

If the 5% limitation on investing in illiquid securities is adhered to at the time of investment, but later increases beyond 5% resulting from a change in the values of the Trust’s portfolio securities or total assets, the Trust shall then bring the percentage of illiquid investments back into conformity as soon as practicably possible. The Trust believes that these


26

liquidity requirements are reasonable and appropriate to assure that the securities in which the Trust invests are sufficiently liquid to meet reasonably foreseeable redemptions of Shares.

Maturity The Illinois Portfolio maintains a dollar-weighted average maturity of no more than 60 days and a dollar-weighted life (final maturity, adjusted for demand features but not interest rate adjustments) of no more than 120 days.

Certain obligations of the United States Government or any of its agencies or instrumentalities owned by the Portfolio may have remaining maturities exceeding one year if such securities provide for adjustments in their interest rates at least annually, and the adjustments are sufficient to cause the securities to have market values, after adjustments, which approximate amortized cost values. Investments in the Portfolios are denominated in U.S dollars and have remaining maturities (or, in the case of repurchase agreements, remaining terms) of 397 days or less at the time of purchase, However, the Portfolios may invest in securities with maturities greater than 397 days if certain maturity shortening features (such as interest rate resets or demand features) apply.

Dividends

All net income of the Illinois Portfolio is determined as of the close of business on each Illinois banking day (and at such other times as set forth in the Trust's By-Laws). Net income is converted as of the close of business of each calendar month into additional shares of beneficial interest which are credited to and are held in each Investor's account. Such net income is converted into full and fractional shares of beneficial interest at the rate of one share for each one dollar ($1.00) paid. Although income is not automatically transmitted in cash, Investors may obtain cash by withdrawing shares at their net asset value without charge.

For the purpose of calculating Illinois Portfolio dividends, net income shall consist of interest earned plus any discount ratably amortized to the maturity date plus or minus all realized gains and losses on the sale of securities prior to maturity, less ratable amortization of any premium and less all accrued expenses of the Illinois Portfolio, including the fees payable to the Investment Adviser, the Administrator, the Distributor and others who provide services to the Illinois Portfolio.

Valuation of Shares

The net asset value per share of the Illinois Portfolio for the purpose of calculating the price at which shares are issued and redeemed is determined by the Administrator as of the close of business of each Illinois banking day or at such other time or times as set forth in the Trust's By-Laws or as the Trustees by resolution may determine, except that on any day on which the Securities Industry and Financial Markets Association (“SIFMA”) has called for an early close of trading in the bond market, the net asset value of shares shall be determined as of the close of trading in the bond market on such day (as determined by SIFMA). It is calculated by dividing the value of the Illinois Portfolio’s total assets less its liabilities (including accrued expenses) by the number of shares outstanding for both the IIIT Class and the IPDLAF+ Class.

In making these computations, the Administrator values the Illinois Portfolio's investments by using the amortized cost method. The amortized cost method of valuation involves valuing an investment instrument at its cost at the time of purchase and thereafter assuming a constant amortization to maturity of any discount or premium, regardless of the impact of fluctuating interest rates on the market value of the instrument. While this method provides certainty in valuation, it may result in periods during which value, as determined by amortized cost, is higher or lower than the price the Illinois Portfolio would receive if it sold the instrument. During such periods, the yield to Investors may differ somewhat from that which would be obtained if the Illinois Portfolio used the market value method for valuing all its portfolio investments. For example, if the use of amortized cost resulted in a lower (higher) aggregate portfolio value on a particular day, a prospective Investor of the Illinois Portfolio would be able to obtain a somewhat higher (lower) yield than would result if the Illinois Portfolio used the market value method, and existing Investors would receive less (more) investment income. The purpose of this method of calculation is to attempt to maintain a constant net asset value per share of one dollar ($1.00).

The Trustees have adopted certain procedures with respect to the Illinois Portfolio's use of the amortized cost method to value its investment portfolio. These procedures are designed and intended (taking into account market conditions and the Trust's investment objectives) to stabilize net asset value per share as computed for the purpose of investment and redemption at one dollar ($1.00) per share. The procedures include a valuation of the Illinois Portfolio by the Administrator and the Custodian using the market value method and a periodic review by the Trustees, in such manner as they deem appropriate and at such intervals as are reasonable in light of current market conditions, of the relationship between net asset


27

value per share based upon the amortized cost value of the Illinois Portfolio’s investments and the net asset value per share based upon available indications of market value with respect to such portfolio investments. In the event that there is a difference of more than 0.5% between the amortized cost value and the market value, it is anticipated that the Trustees will take such steps as they consider appropriate (such as shortening the average portfolio maturity or realizing gains or losses) to minimize any material dilution or other unfair results which might arise from differences between the two methods of valuation.

It is a fundamental policy of the Illinois Portfolio to maintain a net asset value of $1.00 per share for both the IIIT Class and the IPDLAF+ Class, but for the reasons here discussed there can be no assurance that the net asset value of the shares will not vary from $1.00 per share. The market value basis net asset value per share for the Illinois Portfolio may be affected by general changes in interest rates resulting in increases or decreases in the value of securities held by the Illinois Portfolio. The market value of such securities will tend to vary inversely to changes in prevailing interest rates. Thus, if interest rates rise after a security is purchased, such a security, if sold, might be sold at a price less than its amortized cost. Similarly, if interest rates decline, such a security, if sold, might be sold at a price greater than its amortized cost. If a security is held to maturity, no loss or gain is normally realized as a result of these price fluctuations; however, withdrawals by Investors could require the sale of portfolio securities prior to maturity. In the event that the difference between the amortized cost basis net asset value per share and market value basis net asset value per share exceeds 1/2 of 1 percent, the Investment Adviser and the Trustees will consider what, if any, corrective action should be taken to minimize any material dilution or other unfair results which might arise from differences between the two.

This action may include the reduction of the number of outstanding shares by having each Investor proportionately contribute shares to the portfolio's capital, suspension or rescission of dividends, declaration of a special capital distribution, sales of Illinois Portfolio securities prior to maturity to reduce the average maturity or to realize capital gains or losses, transfers of Illinois Portfolio securities to a separate account, or redemptions of shares in kind in an effort to maintain the net asset value at $1.00 per share. If the number of outstanding shares is reduced in order to maintain a constant net asset value of $1.00 per share, Investors will contribute proportionately to the Illinois Portfolio's capital the number of shares which represent the difference between the amortized cost valuation and market valuation of the Illinois Portfolio. Each Investor will be deemed to have agreed to such contribution by its investment in the Illinois Portfolio.

Yield Current yield information for the Illinois Portfolio, specifically the IIIT Class and IPDLAF+ Class may, from time to time, be quoted in reports, literature and advertisements published by the Trust. The current yield, which is also known as the current annualized yield or the current seven-day yield, represents the net change, exclusive of capital changes and income other than investment income, in the value of a hypothetical account with a balance of one share (normally valued at $1.00 per share) over a seven-day base period expressed as a percentage of the value of one share at the beginning of the seven-day period. This resulting net change in account value is then annualized by multiplying it by 365 and dividing the result by 7.

The Trust may also quote a current effective yield for the Illinois Portfolio, including the IIIT Class and the IPDLAF+ Class from time to time. The current effective yield represents the current yield compounded to assume reinvestment of dividends. The current effective yield is computed by determining the net change in account value over a seven-day base period (exclusive of capital changes and income other than investment income), over a seven day period in the value of a hypothetical account with a balance of one share at the beginning of the period, dividing the difference by the value of the account at the beginning of the period to obtain the base period return, then compounding the base period return by adding 1, raising the sum to a power equal to 365 divided by 7, and subtracting 1 from the result. The current effective yield will normally be slightly higher than the current yield because of the compounding effect of the assumed reinvestment.

The Trust also may publish a “monthly distribution yield” for the IIIT Class and IPDLAF+ Class on each Investor's month-end account statement. The monthly distribution yield represents the net change in the value of one share (normally valued at $1.00 per share) resulting from all dividends declared during a month by the applicable class of the Illinois Portfolio expressed as a percentage of the value of a hypothetical account with a balance of one share at the beginning of the month. This resulting net change is then annualized by multiplying it by 365 and dividing it by the number of calendar days in the month.

At the request of the Trustees or Investors, the Trust may also quote the current yield of the IIIT Class and the IPDLAF+ Class from time to time on bases other than seven days for the information of its Investors.


28

Information Specific to the Illinois TERM Portfolio

Maturity The Illinois TERM Portfolio is a fixed-term investment portfolio of the Trust with a maturity of up to one year, depending on the termination date of any particular series within the Portfolio.

Dividends

Dividends on shares of Illinois TERM are declared and paid on the termination date of each series, except for dividends on shares redeemed pursuant to a Planned Early Redemption or a Premature Redemption before the termination date of such series, which will be declared and paid when such shares are redeemed. Dividends will be paid from net income, which will consist of interest earned, plus any discount ratably amortized to the date of maturity, plus all realized gains and losses on the sale of securities prior to maturity, less ratable amortization of any premium and all accrued expenses of the series.

Dividends on shares which are declared and paid on a Planned Early Redemption Date are equal to the projected yield for such shares to the Planned Early Redemption Date, less any losses affecting projected yield attributable to such shares. Dividends on shares declared and paid on a Premature Redemption Date are equal to the projected yield for such shares to the Premature Redemption Date, less any losses affecting projected yield attributable to such shares. Dividends on shares declared and paid on a termination date for a series are equal to the projected yield for such shares to the termination date, less any losses affecting projected yield attributable to such shares, plus an additional dividend, if any, equal to any excess net income of the series attributable to such shares. Any excess net income of a series on the termination date of the series, will be allocated on a pro rata basis to all shares then outstanding. Dividends are deposited into an Investor's Illinois Portfolio account.

Investment securities may be distributed to the Investors in any series in lieu of cash whenever the Trustees determine that such distributions would be in the best interest of the Investors in the series.

Valuation of Shares

Premature Redemption. The redemption value per share for shares redeemed on a Premature Redemption Date is equal to the original purchase price for such share, plus dividends thereon, less such share’s allocation of any losses incurred by the series, less a Premature Redemption penalty if any. The Premature Redemption penalty will be calculated by the Trust’s Investment Adviser and will be equal to (i) all penalty charges, losses and other costs (including, without limitation, interest paid on funds borrowed to pay the redemption) associated with amending, terminating, selling or otherwise affecting any of the investments in the series in order to pay the Premature Redemption and (ii) an amount sufficient to maintain the projected yield on the remaining shares to the stated termination date for the series or to the Planned Early Redemption Date, as the case may be, less any losses affecting projected yield attributable to such shares. Thus, a Premature Redemption of shares may result in a penalty which could reduce the return and the principal value of the investment in amounts not ascertainable at the time shares of Illinois TERM are issued. The redemption value per share could be lower than the purchase price of the share, and the return could be lower than the projected yield quoted at the time of issuance of the share.

Termination Date. The redemption value per share on the termination date of a series of Illinois TERM will be equal to the original purchase price for such share, plus dividends thereon, less such share’s allocation of any losses incurred by the series (other than losses resulting from Premature Redemption of shares of a series).

Planned Early Redemption Date. The redemption value per share for shares being redeemed on a Planned Early Redemption Date is equal to the original purchase price for such shares plus dividends thereon, less such share’s allocation of any losses incurred by the series (other than losses resulting from Premature Redemption of shares of the series.).

Each series of Illinois TERM provides for a fixed-rate, fixed-term investment by Investors, but the market value of the underlying assets will, prior to their maturity, tend to fluctuate inversely with the direction of interest rates. It is the intent of the Trust to manage each series of Illinois TERM in a manner that produces a share price of at least $1.00 on the


29

termination date and on each Planned Early Redemption Date for the Investor that redeems on said date. However, there can be no guarantee that this objective will be achieved.

The Investment Adviser, on behalf of the Trust, determines the net asset value of the shares of Illinois TERM at the close of each business day for purpose of computing fees. For this purpose. the net asset value per share for Illinois TERM is calculated by dividing the total value of investments and other assets less any liabilities by the total outstanding shares of a series of Illinois TERM as of the day the calculation is made.

Yield The yield quoted for any investment in a series of Illinois TERM is determined by dividing the expected net income per share for the period from the settlement date to the termination date or Planned Early Redemption Date, as applicable, by the purchase price per share, dividing this result by the actual number of days between the settlement date and the termination date or Planned Early Redemption Date, as applicable, and multiplying the result by 365. The yields quoted by the Trust or any of its representatives should not be considered a representation of the yield of the Illinois Portfolio (including the IIIT Class and the IPDLAF+ Class) or any series of Illinois TERM in the future, since the yield is not fixed. Actual yields will depend on the type, quality, yield and maturities of securities held by the portfolios, changes in interest rates, market conditions and other factors.

The Programs

Information Common to All Programs

Program Investments are not Assets of the Trust Any CDs purchased through the Certificates of Deposit Investment Program and any securities purchased for the SAM Program or BAM Program are direct investments of the Investor, are not assets of the Trust, and are not held in any Portfolio of the Trust. The Trust does not issue, or in any way guarantee, the CDs or securities purchased under these Programs. Neither the Portfolios nor the Trust has any involvement with, or interest, financial or otherwise, in any Program CD or security purchased under these Programs, except that a Portfolio may receive funds for reinvestment from a Separate Account or from the payment of principal or interest on the CDs. There can be no assurance that the investment objectives of the Program will be achieved. Investments made by a Participant in any Program are governed solely by the terms of any agreement between the Program Participant and the Investment Adviser and the Trust plays no role with respect to such investments.

Limitations on Voting Rights Because the CDs purchased through the Certificates of Deposit Investment Program and securities held in a SAM Program or BAM Program are not assets of the Trust, participation in any of these Programs does not entitle you to vote at any meeting of shareholders or otherwise exercise rights of a shareholder in a Portfolio of the Trust.

Information Specific to the Certificates of Deposit Investment Program

FDIC and NCUSIF Insurance The availability of FDIC or NCUSIF insurance is a critical factor in considering whether a bank or thrift institution (referred to herein as a “financial institution”) is eligible to participate in the Certificates of Deposit Investment Program, in that the number, size and location of many of the smaller community financial institutions which could participate in the Certificates of Deposit Investment Program make extensive credit review unfeasible. In light of this, and in order to assist the financial institutions in raising funds, the Federal government administers the FDIC and NCUSIF insurance programs with its provisions for investment, within prescribed limits, by institutional Investors. As a result, it is the Investment Adviser’s view that FDIC or NCUSIF insurance, in conjunction with a limited credit review as described below, is appropriate to identify financial institutions that will provide attractive investment returns without undue credit risk.

The Certificates of Deposit Investment Program is designed to provide Program Participants with the ability to purchase CDs from financial institutions throughout the United States that are intended to be insured by the FDIC or NCUSIF.

Illinois TrustInformation Statement — February 23, 2016

30

Deposits in savings accounts or time deposits or share accounts of financial institutions insured by the FDIC or NCUSIF are legal investments under relevant Illinois statutory provisions for funds of public agencies. Nevertheless, the investment policies of individual Program Participants may contain limitations that do not permit investment in the above-described investments. Each Program Participant represents that FDIC-insured and NCUSIF-insured CDs are permitted investments of the Program Participant under applicable laws and under the Program Participant’s investment policies. Although the Investment Adviser will recommend only those financial institutions that meet the criteria described below under "Criteria for Financial Institutions to Participate in the CD Program", the financial institutions that participate in the Certificates of Deposit Investment Program are generally small in size and are not rated by national credit rating organizations. The CDs will not be collateralized; hence there will be reliance only on federal deposit insurance and it is crucial that a Program Participant’s CDs be fully covered by FDIC or NCUSIF insurance.

The FDIC insurance limits are set forth in the Federal Deposit Insurance Act, 12 U.S.C. §1811, et seq., and in the related regulations found in Part 330 of Title 12 of the Code of Federal Regulations (12 C.F.R. Part 330). The NCUSIF insurance limits are set forth in the Federal Credit Union Act, 12 U.S.C. §1751, et seq., and in the related regulations found in Part 745 of Title 12 of the Code of Federal Regulations (12 C.F.R. Part 745). By participating in the Certificates of Deposit Investment Program, each Program Participant should obtain its own legal advice regarding these regulations and is responsible for its own compliance with them. CDs in amounts above applicable FDIC or NCUSIF insurance limits are not insured. In determining FDIC or NCUSIF insurance limits, Federal regulations provide that all amounts deposited by a depositor, including amounts deposited directly, through brokers or through other means in a financial institution regardless of the source, will be combined in determining the insurance limit.

Individual CDs will normally be limited by the Investment Adviser to amounts such that the principal and accrued interest will be within FDIC or NCUSIF insurance limits for the term of the CD. The Certificates of Deposit Investment Program may facilitate the simultaneous purchase of multiple CDs with the same maturity at multiple banks. The minimum CD purchase will be approximately $95,000. The minimum maturity is 60 days. Some financial institutions may impose further limits on the size of deposits.

By participating in the Certificates of Deposit Investment Program, each Program Participant authorizes the Investment Adviser to assume, unless the Program Participant informs the Investment Adviser to the contrary, that the Program Participant is entitled to the respective applicable limits of FDIC insurance and NCUSIF insurance on the aggregate of CDs purchased through the Certificates of Deposit Investment Program with any FDIC- or NCUSIF-insured financial institution. The Investment Adviser will maintain records of all deposits made by a Program Participant through the Certificates of Deposit Investment Program to assist the Program Participant in maintaining CDs within applicable insurance limits, but the Investment Adviser is not responsible for the effects on FDIC or NCUSIF insurance limits of deposits made directly by the Program Participant outside of the Certificates of Deposit Investment Program. The Investment Adviser will not monitor deposits made directly by the Program Participant outside of the Certificates of Deposit Investment Program or through other arrangements outside of the Certificates of Deposit Investment Program. It is the Program Participant’s sole responsibility to determine that deposits made directly by the Program Participant outside of the Certificates of Deposit Investment Program do not result in the CDs purchased by the Program Participant under the CD Program exceeding the insurance limits, and neither the Investment Adviser nor the Trust has any responsibility in that regard. The Investment Adviser advises each Program Participant against purchasing CDs issued by a financial institution with which the Program Participant has a depository relationship outside of the Certificates of Deposit Investment Program.

At the time of purchase, the Investment Adviser will require that an authorized representative of the Program Participant affirm that the purchase of a CD through the Certificates of Deposit Investment Program will not put the Program Participant in a position of exceeding the applicable FDIC or NCUSIF insurance limits with respect to the issuing financial institution.

Criteria For Financial Institutions To Participate In The Certificates of Deposit Investment Program The Certificates of Deposit Investment Program guidelines are as follows. First, the Investment Adviser limits the eligibility of financial institutions that participate in the Certificates of Deposit Investment Program to those that are members of the FDIC or NCUSIF. Second, on a quarterly basis the Investment Adviser will review each financial


31

institution’s financial condition as reported to the FDIC or NCUSIF to determine that the financial institution meets all of the following criteria:

Has total assets of at least $50 million. Has total Tier 1 Capital of at least 6%. Has not had any major capital-related enforcement actions brought against it within the last 12 months.

Available Investments and Rates The Investment Adviser will maintain a computer system with a database on each financial institution that offers CDs through the Certificates of Deposit Investment Program. Current rates will be entered into the data tables for each financial institution. This database will enable the Investment Adviser to access and quote rates on individual CDs and blended rates on groups of CDs issued by multiple financial institutions to facilitate the simultaneous investment by a Program Participant in multiple CDs based on a single blended rate.

At the request of a Program Participant, the Investment Adviser will timely advise the Program Participant of CDs available to satisfy the Program Participant’s investment requirements. Upon authorization by the Program Participant, the Investment Adviser will use its best efforts to obtain the most favorable execution and interest rate in connection with the purchase and sale of CDs selected by the Program Participant. The Program Participant has no obligation to purchase any CD recommended by the Investment Adviser.

As an additional limitation, the Investment Adviser will monitor on a continuous basis the total amount of CDs issued and outstanding by a financial institution through the Certificates of Deposit Investment Program and similar programs administered or advised by the Investment Adviser in other states, and will not recommend a financial institution where the aggregate of such outstanding CDs exceeds 10% of the financial institution’s assets.

Program Termination The CD Agreement between each Program Participant and the Investment Adviser for placing CDs through the Certificates of Deposit Investment Program may be terminated by the Program Participant or Investment Adviser at any time, without cause by notice in writing transmitted by first class mail or recognized courier service. Each Program Participant’s Agreement will terminate automatically and without notice in the event that the Investment Adviser shall cease to be the Administrator of the Certificates of Deposit Investment Program for the Trust or in the event that such Program Participant shall withdraw as a shareholder of the Illinois Portfolio. Notwithstanding the foregoing, termination shall not relieve the Program Participant of its obligation to pay any fee which has become payable to the Investment Adviser up to and including the date notification of termination has been received in writing by the counterparty.

Information Specific to the SAM Program

In the SAM Program, the Investment Adviser works closely with each Program Participant to create a comprehensive investment strategy and individual portfolio for the Program Participant. Each SAM account is created by the Investment Adviser following a review of budget and cash flow projections and schedules of the Program Participant. SAM accounts will be managed on a discretionary basis.

Entities participating in the SAM Program receive a cash flow review, investment policy review and assistance in determining acceptable benchmarks, in addition to other cash management services (during the term of the investment advisory agreement). SAM is designed to apply to all or a substantial portion of a Program Participant's cash flow on an annual basis.

Transactions. The Investment Adviser has full discretion in arranging for the execution of all security transactions in a SAM Program Separate Account on behalf of the Program Participant. Cash to facilitate Portfolio transactions is normally either redeemed from or reinvested through the Program Participant’s pre-designated Illinois Portfolio, IIIT Class or IPDLAF+ Class account using the Trust’s convenient and economic cash management tools. In arranging for security transactions, the Investment Adviser will give primary consideration to obtaining the most favorable price and efficient execution of transactions. Investment transactions can only be executed during normal operating hours.

Investments. The Investment Adviser will purchase investments for a Portfolio based upon specific instructions received from the Program Participant, or at the discretion of the Investment Adviser if the Program Participant has agreed to give


32

discretion. If expected withdrawals from the Separate Account are known, the Program Participant should provide a drawdown schedule to the Investment Adviser that will be used in managing investments to help assure adequate overall liquidity. Investment purchases for a Separate Account are settled by the Custodian by redeeming shares from the Program Participant’s pre-designated Illinois Portfolio IIIT Class or IPDLAF+ account.

Withdrawals A Program Participant may initiate the sale of investments from its Separate Account by contacting the Investment Adviser directly. Funds made available from the sale of a security or securities will be invested in the Program Participant’s pre-designated Illinois Portfolio IIIT Class or IPDLAF+ Class account. Sales made prior to maturity will be made at the current market price, which may be lower or higher than the investment’s book value.

Neither the Trust nor the Portfolios assume any responsibility for the fees paid to the Investment Adviser or the Custodian, except for costs associated with purchases and redemptions in the Illinois Portfolio IIIT Class or IPDLAF+ account associated with the Program Participant’s SAM Program Separate Account. Program Participants are responsible for payment of any and all costs associated with the SAM Program.

Bond proceeds may not be invested in the SAM Program.

Information Specific to the BAM Program

Purpose The BAM Program and its associated services have been established by the Trust to provide local governments with comprehensive investment management, accounting and arbitrage rebate calculation services for proceeds of borrowings (not including tax or revenue anticipation note issues). Investors may also establish individual, professionally managed investment accounts (Individual Portfolio) by separate agreement with the Investment Adviser. Individual Portfolios are not assets of the Trust and the Trust assumes no liability for Individual Portfolios

Separate Accounts. By separate agreement with the Investment Adviser, an Investor has the option of investing all or a portion of its proceeds of their borrowings in one or more fixed rate investments separately from the Individual Portfolio’s investments, including collateralized certificates of deposit (“Collateralized CDs”), obligations of the United States of America or any of its agencies or instrumentalities (collectively, “Open Market Securities”), and certificates of deposit insured by the FDIC, purchased through the Certificates of Deposit Investment Program. These Individual Portfolios will be managed by the Investment Adviser upon receipt of specific instructions from the Investor, and will be coordinated with the Investor’s Illinois Portfolio IIIT Class or IPDLAF+ account. Securities in each Individual Portfolio will be held by the Custodian in a separate account in the Investor’s name, unless the Investor otherwise instructs the Trust prior to purchasing the securities that the Investor will utilize another custodian serving as trustee for a revenue bond issue issued by or on the behalf of the Investor (an “Individual Portfolio Custodian”). In order for the Investor to utilize its bond trustee as an Individual Portfolio Custodian, the bond trustee must meet certain minimum criteria.

Please refer to the section entitled “Certificates of Deposit Investment Program” below for detailed information regarding the custodial arrangements for CDs purchased through the Certificates of Deposit Investment Program, which are intended to be fully insured by the FDIC or NCUSIF. Individual Portfolios are not part of the Trust estate, and an investor receives the sole benefit of such an Individual Portfolio. Earnings and proceeds from the maturity or sale of any investment in an Individual Portfolio will be deposited automatically into the Investor’s pre-designated Illinois Portfolio IIIT Class or IPDLAF+ Class account.

Funds in the Individual Portfolios will be invested exclusively in investments that are permitted under terms of the applicable statutes. A public agency should discuss the characteristics of specific investments in an Individual Portfolio with the Investment Adviser and should confirm with its legal counsel the legality of those investments under the trust indenture, ordinance or resolution under which bonds are issued. Investments for Individual Portfolios may have a maturity in excess of 397 days (13 months).

Expenses of Individual Portfolios. Each Program Participant will be billed monthly a fee for investment management based on the agreed upon fees within their investment management contract based on the value as determined by the Investment Adviser of such assets in the Individual Portfolio. A Program Participant will also be billed a fee for custodial services in connection with these securities. In the event that a Program Participant elects to utilize its bond trustee as an Individual Portfolio Custodian, the fee for such services should be negotiated directly between the Program Participant and the Individual Portfolio Custodian. The Trust is not involved with such negotiations.


33

FDIC-Insured Certificates of Deposit. For services provided for Individual Portfolio investment constituting FDIC-insured CDs purchased through the Certificates of Deposit Investment Program, each Program Participant will pay to the Investment Adviser a management fee at a rate not greater than 0.25% per annum of the yield of each such CD. The Program Participant’s pre-designated Illinois Portfolio IIIT Class or IPDLAF+ Class account will be charged for the management fee under either of the following arrangements at the election of the Program Participant: (i) the entire amount of the fee will be deducted from the Participant’s pre-designated Illinois Portfolio IIIT Class or IPDLAF+ Class account upon settlement of the CD (refundable pro rata upon an early redemption), or (ii) the monthly amount of the management fee will be deducted from the Program Participant’s pre-designated Illinois Portfolio IIIT Class or IPDLAF+ Class account after the close of each month. The Investment Adviser will pay from the management fee the brokerage and certain bank wire costs for the CDs and will reimburse the Trust for certain other costs associated with the Illinois Portfolio.

Further information on these fees is available from the Investment Adviser.

Neither the Trust nor the Illinois Portfolio of the Trust assumes any responsibility for the payment of fees to the Investment Adviser, the Custodian or an Individual Portfolio Custodian, except for costs associated with purchases and redemptions in the Program Participant’s pre-designated Illinois Portfolio IIIT Class or IPDLAF+ Class account.

Payment of any and all costs associated with the Certificates of Deposit Investment Program are in accordance with the terms of the separate agreement between the Program Participant and the Investment Adviser.

Rebate Calculation Reports. The Investment Adviser also may provide rebate calculation services to Investors in the Illinois Portfolio. These services are designed to assist Investors in complying with the rebate requirements of the Code and related Regulations, rulings, and procedures. The Investment Adviser will rely on information provided related to each bond issue, including the information supplied in the Confirmation Letter and account information compiled by the Investment Adviser.

Rebate Calculation Expenses. An Investor may request that program counsel furnish a formal legal opinion in conjunction with an arbitrage rebate calculation, yield reduction payment calculation or exception compliance report prepared by the Investment Adviser. If requested, the fee will be $1,000 for a formal legal opinion associated with any calculation or exception compliance report for a fixed rate bond issue all proceeds of which have been invested under the Illinois Portfolio during the entire period of the formal report or exception compliance report. For variable-rate bond issues and in other special circumstances there will be an additional fee.

Custodial Arrangements. U.S. Bank National Association, St. Paul, MN, is Custodian for the Portfolio and Individual Portfolios related to proceeds from general obligation bond issues. The Custodian holds all cash and securities of the Portfolio and the Individual Portfolios, except that certain securities owned by the Portfolio or Individual Portfolios and subject to repurchase agreements may be held by other custodians acting for the Trust or respective Individual Portfolio. The Custodian does not participate in determining the investment policies of the Trust or in investment decisions. The Investment Adviser may invest funds of the Portfolio or Individual Portfolios in the Custodian’s obligations and may buy or sell securities through the Custodian.

Tax Matters. Section 115(1) of the Code provides that gross income does not include income that is derived from the exercise of any essential government function and accrues to a state or any political subdivision thereof. The investment of the proceeds of a bond issue in order to receive some yield until such proceeds are spent on the governmental purpose of the bond issue should constitute the exercise of an essential governmental function for purposes of Section 115(1) of the Code. The Investors have an unrestricted right to receive in their own right (a) their proportionate share of the Portfolio’s income as it is earned, based on their ownership of the Shares, and (b) the income of the investments held in their Individual Portfolios under the provisions of the Illinois Portfolio. Consequently, both the Illinois Portfolio’s income and the income for the Individual Portfolios accrue to the Investors within the meaning of Section 115(1) of the Code.

Based on the foregoing, the income of the Illinois Portfolio and of an Individual Portfolio derived from the investment of the proceeds of an Investor’s bond issues is excludable from the gross income of the Investor.

A Confirmation Letter sent by the Investment Advisor will request certain information from an Investor with respect to the investment of proceeds of its bond issue in the Illinois Portfolio or an Individual Portfolio in connection with the requirements of the Code relating to tax exempt bonds (or tax advantaged bonds). The Investment Adviser relies on the accuracy of the information supplied by the Investor in the Confirmation Letter, and the Investment Adviser will make no independent determination of the information supplied in the Confirmation Letter. If the Investor supplies inaccurate information in the Confirmation Letter, or if the Investor fails to return a completed Confirmation Letter, then the services provided by the Investment Adviser may not be accurate.


34

For More Information

We send each Investor annual reports containing independently audited financial statements for the Portfolios. We also provide monthly account summaries, which describe dividends declared and shares purchased through dividend reinvestment. Other individual account information is available upon request.

To buy or sell shares of a Portfolio, make additional deposits, receive free copies of this document or the Portfolio’s reports, or for general inquiries, please contact us:

By telephone:

(800) 731-6870 for the IIIT Class

(800) 731-6830 for the IPDLAF+ Class.

By mail: PFM Asset Management LLC 222 North LaSalle, Suite 910 Chicago, Illinois 60601

On our websites: www.iiit.us or www.ipdlaf.org

This information is for institutional investor use only, not for further distribution to retail investors, and does not represent an offer to sell or a solicitation of an offer to buy or sell any fund or other security. Investors should consider the Trust’s investment objectives, risks, charges and expenses before investing in the Trust. This and other information about the Trust is available in the Trust’s current Information Statements, which should be read carefully before investing. A copy of the Trust’s Information Statement for the IIIT Class of the Illinois Portfolio and Illinois TERM may be obtained by calling 1‐800‐731‐6870 or is available on the Trust’s website at www.iiit.us A copy of the Information Statement for the IPDLAF+ Class and Illinois TERM may be obtained by calling 1‐800‐731‐6830 or is available on its website at www.ipdlaf.org. While both the IIIT and IPDLAF+ Classes of the Illinois Portfolio seek to maintain a stable net asset value of $1.00 per share and the Illinois TERM series seek to achieve a net asset value of $1.00 per share at its stated maturity, it is possible to lose money investing in the Trust. An investment in the Trust is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Shares of the Trust are distributed by PFM Fund Distributors, Inc., member Financial Industry Regulatory Authority (FINRA) (www.finra.org) and Securities Investor Protection Corporation (SIPC) (www.sipc.org). PFM Fund Distributors, Inc. is a wholly owned subsidiary of PFM Asset Management LLC.

111603

RESOLUTION NO. _____________

A RESOLUTION APPROVING THE DECLARATION OF TRUST OF THE ILLINOIS TRUST (FORMERLY KNOWN AS THE ILLINOIS INSTITUTIONAL INVESTORS TRUST)

AND AUTHORIZING THE EXECUTION THEREOF, AND AUTHORIZING CERTAIN OFFICIALS TO ACT ON BEHALF

OF THE ___________________________________________________________

WHEREAS, this______________________________________ (the “Governing Board”) of the _______________________________________ (the “Agency”) has been presented with and reviewed the Declaration of Trust dated October 18, 2002 (the “Declaration of Trust”); and

WHEREAS, the Declaration of Trust creates a common law trust (the “Trust”) to provide an instrumentality and agency through which public agencies organized under the laws of the State of Illinois may jointly act, agree, and cooperate in accordance with the laws of the State of Illinois in the performance of their responsibilities to invest available funds so as to enhance their investment opportunities pursuant to an investment program conducted in accordance with the laws of the State of Illinois, from time to time in effect, governing the investment of the funds of public agencies; and

WHEREAS, this Governing Board of the Agency has also been presented with and reviewed the appropriate Information Statement providing detailed information about the investment objectives, organization, structure, and operation of the Trust and its investment opportunities; and

WHEREAS the Agency is a public agency and unit of local government or school district within the meaning of Section 10 of Article VII of the 1970 Constitution of the State of Illinois (the “Illinois Constitution”), the Intergovernmental Cooperation Act, 5 ILCS 220/1, et seq., and the Public Funds Investment Act, 30 ILCS 235/0.01, et seq., and is authorized to enter into intergovernmental agreements, including the Declaration of Trust, pursuant to, inter alia, the provisions of Section 10, Article VII of the Illinois Constitution, the Intergovernmental Cooperation Act, and the Public Funds Investment Act; and

WHEREAS, the Agency does hereby find that by entering into the Declaration of Trust and becoming a Participant (as such term is defined in Section 1.4 of the Declaration of Trust) in the Trust, it shall be better able to perform its responsibility to invest its funds in accordance with the laws of the State of Illinois; and

WHEREAS, the Agency does hereby find and declare that it is in the best interest of the residents of the Agency that the Agency enter into the Declaration of Trust, become a Participant of the Trust, and use the Trust’s services from time to time at the discretion of the Treasurer [and/or other authorized official];

NOW THEREFORE BE IT RESOLVED by the Governing Board of the Agency, ____________________ County, Illinois, as follows:

Section 1. The facts and statements contained in the preamble to this Resolution are hereby found to be true and correct and are hereby adopted as part of this Resolution.

gosborn

Typewritten Text

gosborn

Typewritten Text

gosborn

Typewritten Text

City of Galesburg, Illinois

gosborn

Typewritten Text

City Council

gosborn

Typewritten Text

City of Galesburg

gosborn

Typewritten Text

gosborn

Typewritten Text

Knox

gosborn

Typewritten Text

111603

Section 2. The terms and conditions of the Declaration of Trust are hereby approved, and the Agency is hereby authorized to become a Participant in the Trust. The persons listed below are authorized to execute said Declaration of Trust and enter into the Intergovernmental Agreement, and said persons are duly authorized present incumbents of said offices; and actual samples of their respective signatures are listed below:

Print Name Title Signature

Print Name Title Signature

Section 3. This Resolution shall take effect from and after its passage and approval as provided by law.

__________________________________________________ Signature of Official designated in Section 2

__________________________________________________ Print Name

__________________________________________________ Title

__________________________________________________ Agency

Attest:

I hereby certify that the foregoing is a full, true and complete transcript of a Resolution was adopted at the meeting held on _________________________, 20________.

I do further certify that the deliberations of the ____________________________________________(the “Governing Board”) on the adoption of said Resolution were conducted openly, that the vote on the adoption of said Resolution was taken openly, that said meeting was held at a specified time and place convenient to the public, that notice of said meeting was duly given to all of the news media requesting such notice, that said meeting was called and held in strict compliance with the provisions of the Open Meetings Act of the State of Illinois, and that the Governing Board has complied with said Act and with all of the procedural rules of the Governing Board.

I do further certify that such Resolution is in full force and effect as of the date hereof, and that such Resolution has not been modified, amended, or rescinded since its adoption.

_________________________________________ [Clerk or Secretary]

_____________________________________ Date

[seal]

[Signature pages may be modified as appropriate.]

gosborn

Typewritten Text

gosborn

Typewritten Text

gosborn

Typewritten Text

gosborn

Typewritten Text

gosborn

Typewritten Text

gosborn

Typewritten Text

gosborn

Typewritten Text

gosborn

Typewritten Text

gosborn

Typewritten Text

gosborn

Typewritten Text

gosborn

Typewritten Text

gosborn

Typewritten Text

gosborn

Typewritten Text

gosborn

Typewritten Text

gosborn

Typewritten Text

___________________________________________________________________________________________________________________________________________________________________________________________

Prepared by: WEC Page 1 of 1


JUNE 18, 2018

AGENDA ITEM: Approval of an Intergovernmental Grant Agreement (IGA) with the University of Illinois at Chicago (UIC) for a study in conjunction with the State of Illinois Department of Commerce and Economic Opportunity (IDCEO) Help Eliminate Lead Program (HELP) Grant.

SUMMARY RECOMMENDATION: The City Manager, Director of Planning and Public Works and Planning Manager recommend the approval of the IGA with UIC in the amount of $179,450.

BACKGROUND: On May 7, 2018, the City Council approved a modified grant agreement with IDCEO, which provides additional funding for the UIC to conduct a comprehensive assessment of the most common lead remediation techniques and identify the parameters that are likely to influence this outcome (i.e., lead exposure reduction). For the purpose of this technical evaluation project, two broad classes of lead remediation techniques will be considered which will be applied to appropriately selected target areas.

The School of Public Health of the University of Illinois, Chicago (UIC/SPH) will assist the City of Galesburg and the Illinois Department of Commerce and Economic Opportunity (DCEO), Office of Community Development (OCD) in conducting a lead reduction program and assessing the effectiveness of the various lead source reduction measures.

The major scope of this comprehensive community service and technical evaluation project is the identification of the cost effectiveness and public health benefits of lead remediation methods applied to prevent and reduce elevated blood lead levels in at-risk populations of Galesburg. For this purpose, common lead remediation techniques such as lead-based paint hazard remediation and lead service line replacement will be assessed within a comprehensive framework, which will include all the major parameters that are likely to influence this outcome (i.e., lead exposure reduction). This approach will identify not only the most cost effective method but also the parameters that are likely to elevate the lead exposure risk (e.g., age of building).

The recommendations from this project will be used to develop current and long-term policies and priorities to address lead reduction funding decisions based on rational criteria. The final goal is to develop a replicable, sustainable, and transferable model for programs with similar missions.

BUDGET IMPACT: The City will receive grant funds from DCEO that will be utilized to cover one hundred percent of the expense of this agreement.

SUPPORTING DOCUMENTS: 1. UIC Grant Agreement

18-4071

Agreement No: 18‐IGAUIC‐HELP

City of Galesburg & UIC‐SPH

INTER‐GOVERNMENTAL GRANT AGREEMENT

Page 1 of 51

INTER‐GOVERNMENTAL AGREEMENT

BETWEEN THE CITY OF GALESBURG, ILLINOIS AND UNIVERSITY OF ILLINOIS AT CHICAGO

SCHOOL OF PUBLIC HEALTH

The City of Galesburg (Grantor) with its principal office at 55 West Tompkins Street, Galesburg, IL 61401, and University of Illinois at Chicago School of Public Health

(Grantee), hereby enter into this Inter‐governmental Grant Agreement (Agreement), pursuant to the Intergovernmental Cooperation Act, 5 ILCS 220. Grantor and Grantee

are collectively referred to herein as “Parties” or individually as a “Party.”

PART ONE – THE UNIFORM TERMS RECITALS

WHEREAS, it is the intent of the Parties to perform consistent with all Exhibits and attachments hereto and pursuant to the duties and responsibilities imposed by Grantor under the laws of the State of Illinois and in accordance with the terms, conditions and provisions hereof.

NOW, THEREFORE, in consideration of the foregoing and the mutual agreements contained herein, and

for other good and valuable consideration, the value, receipt and sufficiency of which are acknowledged, the Parties hereto agree as follows:

ARTICLE I

AWARD AND GRANTEE‐SPECIFIC INFORMATION AND CERTIFICATION

1.1. DUNS Number; SAM Registration; Nature of Entity. Under penalties of perjury, Grantee certifies that 075614834 is Grantee’s correct DUNS number, that 37‐6001160 is Grantee’s correct FEIN or Social Security Number, and that

Grantee has an active State registration and SAM registration. Grantee is doing business as a (check one):

Individual Pharmacy‐Non Corporate

Sole Proprietorship Pharmacy/Funeral Home/Cemetery Corp.

Partnership Tax Exempt

Corporation (includes Not For Profit) Limited Liability Company (select applicable tax

Medical Corporation classification)

X Governmental Unit P = partnership

Estate or Trust C = corporation

If Grantee has not received a payment from the State of Illinois in the last two years, Grantee must submit a W‐9 tax form with this Agreement.

1.2. Amount of Agreement. Grant Funds shall not exceed the amount of $179,450 with a federal

funds source. Grantee agrees to accept Grantor’s payment as specified in the Exhibits and attachments incorporated herein as part of this Agreement.




Page 2 of 51

1.3. Identification Numbers. If applicable, the Federal Award Identification Number (FAIN) is B‐16‐ DC‐17‐0001, the Federal awarding agency is Department Of Housing And Urban Development, and the Federal Award date is 01/01/2016. If applicable, the Catalog of Federal Domestic Assistance (CFDA) Name is Community Development Block Grants/State's program and Non‐Entitlement Grants in Hawaii and Number is 14.228.

1.4. Term. This Agreement shall be effective on 6/30/2018 and shall expire on 05/30/2020, unless terminated pursuant to this Agreement. It is agreed upon that the UIC investigators will perform all the required preliminary tasks and will be engaged in collecting all the prerequisite technical and scientific information related to this public service and technical evaluation project. In addition, the Parties agree that the available human subject related information will be collected, stored, and accessed only after an Institution Review Board (IRB) written approval is granted.

1.5. Certification. Grantee certifies under oath that (1) all representations made in this Agreement

are true and correct and (2) all Grant Funds awarded pursuant to this Agreement shall be used only for the purpose(s) described herein. Grantee acknowledges that the Award is made solely upon this certification and that any false statements, misrepresentations, or material omissions shall be the basis for immediate termination of this Agreement and repayment of all Grant Funds.

1.6 Signatures. In witness whereof, the Parties hereto have caused this Agreement to be

executed by their duly authorized representatives.

City of Galesburg

By:

Signature of Mayor, John Pritchard

Date:

University of Illinois at Chicago By : ___________________________________________

Printed Name: ________________________________

Title: ________________________________________

Date: _______________________________________




Page 3 of 51

ARTICLE II REQUIRED REPRESENTATIONS

2.1. Standing and Authority. Grantee warrants that:

(a) Grantee is validly existing and in good standing, if applicable, under the laws of the State in which it was incorporated, organized or created.

(b) Grantee has the requisite power and authority to execute and deliver this Agreement

and all documents to be executed by it in connection with this Agreement, to perform its obligations hereunder and to consummate the transactions contemplated hereby.

(c) If Grantee is an agency under the laws of jurisdiction other than Illinois, Grantee warrants that it is also duly qualified to do business in Illinois and is in good standing with the Illinois Secretary of State.

(d) The execution and delivery of this Agreement, and the other documents to be executed by Grantee in connection with this Agreement, and the performance by Grantee of its obligations hereunder have been duly authorized by all necessary entity action.

(e) This Agreement and all other documents related to this Agreement, including the Uniform Grant Application, the Exhibits and attachments to which Grantee is a party constitute the legal, valid and binding obligations of Grantee enforceable against Grantee in accordance with their respective terms.

2.2. Compliance with Internal Revenue Code. Grantee certifies that it does and will comply with all

provisions of the Federal Internal Revenue Code (26 USC 1), the Illinois Revenue Act (35 ILCS 5), and all rules promulgated thereunder, including withholding provisions and timely deposits of employee taxes and unemployment insurance taxes.

2.3. Compliance with Federal Funding Accountability and Transparency Act of 2006. Grantee certifies that it does and will comply with the reporting requirements of the Federal Funding Accountability and Transparency Act of 2006 (P.L. 109‐282) (FFATA) with respect to Federal Awards greater than or equal to $25,000. A FFATA sub‐award report must be filed by the end of the month following the month in which the award was made.

2.4. Compliance with Uniform Grant Rules (2 CFR Part 200). Grantee certifies that it shall adhere to

the applicable Uniform Administrative Requirements, Cost Principles, and Audit Requirements, which are published in Title 2, Part 200 of the Code of Federal Regulations, and are incorporated herein by reference. See 44 Ill. Admin. Code 7000.30(b)(1)(A). However, if there is an exception to 2 CFR Part 200 set forth in the applicable U.S. Department of Housing and Urban Development’s regulations at 24 CFR chapters I through IX (the “HUD Regulations”), the HUD Regulations shall take precedence over 2 CFR Part 200 and all contrary provisions in this Agreement. See 2 CFR Part 2400. PART THREE of this Agreement may contain references to certain exceptions to 2 CFR Part 200 contained in the HUD Regulations. Grantee certifies that it shall adhere to the exceptions to 2 CFR Part 200 contained in the applicable HUD Regulations.

2.5. Compliance with Registration Requirements. Grantee and its sub‐grantees shall: (i) be registered with the Federal SAM; (ii) be in good standing with the Illinois Secretary of State, if applicable; and (iii) have a valid DUNS number. It is Grantee’s responsibility to remain current with these registrations and requirements. If Grantee’s status with regard to any of these requirements change, or the certifications made in and information provided in the Uniform Grant Application changes, Grantee must notify the Grantor in accordance with ARTICLE XVIII.




Page 4 of 51

ARTICLE III DEFINITIONS

3.1. Definitions. Capitalized words and phrases used in this Agreement have the following meanings:

“2 CFR Part 200” means the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards published in Title 2, Part 200 of the Code of Federal Regulations.

“Agreement” or “Grant Agreement” has the same meaning as in 44 Ill. Admin. Code 7000.20.

“Allocable Costs” means costs allocable to a particular cost objective if the goods or services involved are chargeable or assignable to such cost objective in accordance with relative benefits received or other equitable relationship. Costs allocable to a specific Program may not be shifted to other Programs in order to meet deficiencies caused by overruns or other fund considerations, to avoid restrictions imposed by law or by the terms of this Agreement, or for other reasons of convenience.

“Allowable Costs” has the same meaning as in 44 Ill. Admin. Code 7000.20.

“Award” has the same meaning as in 44 Ill. Admin. Code 7000.20.

“Budget” has the same meaning as in 44 Ill. Admin. Code 7000.20.

7000.20.

“CFDA” or “Catalog of Federal Domestic Assistance” has the same meaning as in 44 Ill. Admin. Code




Page 5 of 51

“Close‐out Report” means a report from the Grantee allowing the Grantor to determine whether all applicable administrative actions and required work have been completed, and therefore closeout actions can commence.

“Conflict of Interest” has the same meaning as in 44 Ill. Admin. Code 7000.20.

“Consolidated Financial Report” means a financial information presentation in which the assets, equity, liabilities, and operating accounts of an entity and its subsidiaries are combined (after eliminating all inter‐entity transactions) and shown as belonging to a single reporting entity.

“Cost Allocation Plan” has the same meaning as in 44 Ill. Admin. Code 7000.20.

“CSFA” or “Catalog of State Financial Assistance” has the same meaning as in 44 Ill. Admin. Code 7000.20.

“Direct Costs” has the same meaning as in 44 Ill. Admin. Code 7000.20.

“Disallowed Costs” has the same meaning as in 44 Ill. Admin. Code 7000.20.

“DUNS Number” means a unique nine digit identification number provided by Dun & Bradstreet for each physical location of Grantee’s organization. Assignment of a DUNS Number is mandatory for all organizations seeking an Award from the State of Illinois.

“FAIN” means the Federal Award Identification Number.

“FFATA” or “Federal Funding Accountability and Transparency Act” has the same meaning as in 31 USC 6101; P.L. 110‐252.

“Fixed‐Rate” has the same meaning as in 44 Ill. Admin. Code 7000.20. “Fixed‐Rate” is in contrast to fee‐

for‐service, 44 Ill. Admin. Code 7000.20.

7000.20.

“GAAP” or “Generally Accepted Accounting Principles” has the same meaning as in 44 Ill. Admin. Code



Page 6 of 51

“Grant Funds” has the same meaning as in 30 ILCS 705.

“Indirect Costs” has the same meaning as in 44 Ill. Admin. Code 7000.20.

“Indirect Cost Rate” means a device for determining in a reasonable manner the proportion of indirect costs each Program should bear. It is a ratio (expressed as a percentage) of the Indirect Costs to a Direct Cost base. If reimbursement of Indirect Costs is allowable under an Award, Grantor will not reimburse those Indirect Costs unless Grantee has established an Indirect Cost Rate covering the applicable activities and period of time, unless Indirect Costs are reimbursed at a fixed rate.

“Indirect Cost Rate Proposal” has the same meaning as in 44 Ill. Admin. Code 7000.20. “IRB” or “Institutional Review Board” as defined by the Title 45 Code of Federal Regulations Part 46.

“Net Revenue” means an entity’s total revenue less its operating expenses, interest paid, depreciation,

and taxes. “Net Revenue” is synonymous with “Profit.”

“Nonprofit Organization” has the same meaning as in 44 Ill. Admin. Code

7000.20. “Notice of Award” has the same meaning as in 44 Ill. Admin. Code

7000.20. “OMB” has the same meaning as in 44 Ill. Admin. Code 7000.20.

“Prior Approval” has the same meaning as in 44 Ill. Admin. Code 7000.20.

“Profit” means an entity’s total revenue less its operating expenses, interest paid, depreciation, and taxes. “Profit” is synonymous with “Net Revenue.”

“Program” means the services to be provided pursuant to this Agreement.

“Program Costs” means all Allowable Costs incurred by Grantee and the value of the contributions made by third parties in accomplishing the objectives of the Award during the Term of this Agreement.

“Program Income” has the same meaning as in 44 Ill. Admin. Code 7000.20.

“Related Parties” has the meaning set forth in Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) 850‐10‐20.

“SAM” means the federal System for Award Management (SAM); which is the Federal repository into which an entity must provide information required for the conduct of business as a recipient. 2 CFR 25 Appendix A (1)(C)(1).

“State” means the State of Illinois.

“Unallowable Costs” has the same meaning as in 44 Ill. Admin. Code 7000.20.



Page 7 of 51

ARTICLE IV PAYMENT

4.1. Availability of Appropriation; Sufficiency of Funds. This Agreement is contingent upon and

subject to the availability of sufficient funds. Grantor may terminate or suspend this Agreement, in whole or in part, without penalty or further payment being required, if (i) sufficient funds for this Agreement have not been appropriated or otherwise made available to the Grantor by the funding source, (ii) the Governor or Grantor reserves funds, or (iii) the Governor or Grantor determines that funds will not or may not be available for payment. Grantor shall provide notice, in writing, to Grantee of any such funding failure and its election to terminate or suspend this Agreement as soon as practicable. Any suspension or termination pursuant to this Section will be effective upon the date of the written notice unless otherwise indicated.

4.2. Illinois Grant Funds Recovery Act. Any Grant Funds remaining that are not expended or legally obligated by Grantee at the end of the Agreement period, or in the case of capital improvement Awards at the end of the time period Grant Funds are available for expenditure or obligation, shall be returned to Grantor within forty‐five (45) days in accordance with the Grant Funds Recovery Act (30 ILCS 705/1 et seq.). In the event of a conflict between the Grant Funds Recovery Act and the Grant Accountability and Transparency Act, the provisions of the Grant Accountability and Transparency Act shall control. 30 ILCS 708/80.

4.3. Cash Management Improvement Act of 1990. Unless notified otherwise in PART TWO or PART THREE, Federal funds received under this Agreement shall be managed in accordance with the Cash Management Improvement Act of 1990 (31 USC 6501 et seq.) and any other applicable Federal laws or regulations.

4.4. Payments to Third Parties. Grantee agrees that Grantor shall have no liability to Grantee when Grantor acts in good faith to redirect all or a portion of any Grantee payment to a third party. Grantor will be deemed to have acted in good faith when it is in possession of information that indicates Grantee authorized Grantor to intercept or redirect payments to a third party or when so ordered by a court of competent jurisdiction.

4.5. Modifications to Estimated Amount. If the Agreement amount is established on an estimated

basis, then it may be increased by mutual agreement at any time during the Term. Grantor may decrease the estimated amount of this Agreement at any time during the Term if (i) Grantor believes Grantee will not use the funds during the Term, (ii) Grantor believes Grantee has used funds in a manner that was not authorized by this Agreement, (iii) sufficient funds for this Agreement have not been appropriated or otherwise made available to the Grantor by the State or the Federal funding source, (iv) the Governor or Grantor reserves funds, or (v) the Governor or Grantor determines that funds will or may not be available for payment. Grantee will be notified, in writing, of any adjustment of the estimated amount of this Agreement. In the event of such reduction, services provided by Grantee under Exhibit A may be reduced accordingly. Grantee shall be paid for work satisfactorily performed prior to the date of the notice regarding adjustment. 2 CFR 200.308.

4.6. Interest.

(a) All interest earned on Grant Funds held by a Grantee shall become part of the Grant Funds when earned and be treated accordingly for all purposes, unless otherwise provided in PART TWO or PART THREE. 30 ILCS 705/10.

(b) Grant Funds shall be placed in an insured account, whenever possible, that bears interest, unless exempted under 2 CFR Part 200.305(b)(8) or prohibited from doing so by state law. All interest earned shall be considered Grant Funds and are subject to the same restrictions, unless there is an applicable Federal program rule that takes precedence.

(c) A Grantee who is required to reimburse Grant Funds pursuant to an action brought under the Grant Funds Recovery Act, and who enters into a deferred payment plan for the purpose of satisfying a past due debt, shall be required to pay interest on such debt as required by Section 10.2 of the Illinois State Collection Act of 1986, 30 ILCS 210; See also 30 ILCS 705/10.



Page 8 of 51

4.7. Timely Billing Required. Grantee must submit any payment request to Grantor within thirty (30) days of the end of the quarter, unless another billing schedule is specified in PART TWO or PART THREE. Failure to submit such payment request timely will render the amounts billed an unallowable cost which Grantor cannot reimburse. In the event that Grantee is unable, for good cause, to submit its payment request timely, Grantee shall timely notify Grantor and may request an extension of time to submit the payment request. Grantor’s approval of Grantee’s request for an extension shall not be unreasonably withheld.

4.8. Certification. Pursuant to 2 CFR 200.415, each invoice and report submitted by Grantee must contain the following certification by an official authorized to legally bind the Grantee:

By signing this report [or payment request], I certify to the best of my knowledge and belief that the report [or payment request] is true, complete, and accurate, and the expenditures, disbursements and cash receipts are for the purposes and objectives set forth in the terms and conditions of the Federal or State award. I am aware that any false, fictitious, or fraudulent information, or the omission of any material fact, may subject me to criminal, civil or administrative penalties for fraud, false statements, false claims or otherwise. (U.S. Code Title 18, Section 1001 and Title 31, Sections 3729‐3730 and 3801‐3812).

ARTICLE V SCOPE OF GRANT ACTIVITIES/PURPOSE OF GRANT

5.1. Scope of Grant Activities/Purpose of Grant. Grantee will conduct the Grant Activities or provide the services as described in the Exhibits and attachments, including Exhibit A (Project Description) and Exhibit B (Deliverables), incorporated herein and in accordance with all terms and conditions set forth herein and all applicable administrative rules. In addition, the State’s Notice of Award is incorporated herein as an attachment. All Grantor‐specific provisions and programmatic reporting required under this Agreement are described in PART TWO (The Grantor‐Specific Terms). All Project‐specific provisions and reporting required under this Agreement are described in PART THREE.

5.2. Scope Revisions. Grantee shall obtain Prior Approval from Grantor whenever a Scope revision is necessary for one or more of the reasons enumerated in 2 CFR 200.308. All requests for Scope revisions that require Grantor approval shall be signed by Grantee’s authorized representative and submitted to Grantor for approval. Expenditure of funds under a requested revision is prohibited and will not be reimbursed if expended before Grantor gives written approval. See 2 CFR 200.308.

5.3. Specific Conditions. If applicable, specific conditions required after a risk assessment will be

included in Exhibit G. Grantee shall adhere to the specific conditions listed therein.



Page 9 of 51

ARTICLE VI BUDGET

6.1. Budget. The Budget is a schedule of anticipated grant expenditures that is approved by Grantor

for carrying out the purposes of the Award. When Grantee or third parties support a portion of expenses associated with the Award, the Budget includes the non‐Federal as well as the Federal share (and State share if applicable) of grant expenses. The Budget submitted by Grantee at application, or a revised Budget subsequently submitted and approved by Grantor, is considered final and is incorporated herein as an attachment.

6.2. Budget Revisions. Grantee shall obtain Prior Approval from Grantor whenever a Budget revision

is necessary for one or more of the reasons enumerated in 2 CFR 200.308. All requests for Budget revisions that require Grantor approval shall be signed by Grantee’s authorized representative and submitted to Grantor for approval. Expenditure of funds under a requested revision is prohibited and will not be reimbursed if expended before Grantor gives written approval. 2 CFR 200.308.

6.3. Discretionary Line Item Transfers. Unless prohibited from doing so in 2 CFR 200.308, transfers between approved line items may be made without Grantor’s approval only if the total amount transferred does not exceed the allowable variance of the greater of either (i) ten percent (10%) of the Budget line item or (ii) one thousand dollars ($1,000) of the Budget line item. Discretionary line item transfers may not result in an increase to the Budget.

6.4. Non‐discretionary Line Item Transfers. Total line item transfers exceeding the allowable variance of the greater of either (i) ten percent (10%) of the Budget line item or (ii) one thousand dollars ($1,000) of the Budget line item require Grantor approval as set forth in Paragraph 6.2.

6.5. Notification. Within thirty (30) calendar days from the date of receipt of the request for Budget revisions, Grantor will review the request and notify Grantee whether the Budget revision has been approved, denied, or the date upon which a decision will be reached.

ARTICLE VII ALLOWABLE

COSTS

7.1. Allowability of Costs; Cost Allocation Methods. The allowability of costs and cost allocation methods for work performed under this Agreement shall be determined in accordance with 2 CFR 200 Subpart E and Appendices III, IV, and V.

7.2. Indirect Cost Rate Submission.

(a) This Paragraph 7.2 applies only to:

(i) A Grantee who charges, or expects to charge, any Indirect Costs; and (ii) A Grantee who is allowed to charge Indirect Costs under federal or state

statutes, state administrative rules, and agency or program rules, regulations and policies.

(b) A Grantee must submit an Indirect Cost Rate Proposal in accordance with federal regulations for approval no later than three months after the effective date of the Award, in a format prescribed by Grantor.

(i) Appendix VII to 2 CFR Part 200 governs Indirect Cost Rate Proposals for State and local governments.

(ii) Appendix III to 2 CFR Part 200 governs Indirect Cost Rate Proposals for institutions of higher education.



Page 10 of 51

(c) A Grantee who has a current, applicable rate negotiated by a cognizant Federal agency shall provide to Grantor a copy of its Indirect Cost Rate acceptance letter from the Federal government. Grantor will accept that Indirect Cost Rate, up to any statutory, rule‐based or programmatic limit. However, for Grantees to which Appendix III of 2 CFR Part 200 applies, the rate amount must not exceed 26% (see 2 CFR Part 200, Appendix III(C)(8)).

7.3. Transfer of Costs. Cost transfers between Grants, whether as a means to compensate for cost overruns or for other reasons, are unallowable. See 2 CFR 200.451.

7.4. Higher Education Cost Principles. The Federal cost principles that apply to public and private

institutions of higher education are set forth in 2 CFR Part 200 Subpart E and Appendix III.

7.5. Government Cost Principles. The Federal cost principles that apply to State, local and Federally‐ recognized Indian tribal governments are set forth in 2 CFR Part 200 Subpart E, Appendix V, and Appendix VII.

7.6. Financial Management Standards. The financial management systems of Grantee must meet the following standards:

(a) Accounting System. Grantee organizations must have an accounting system that provides accurate, current, and complete disclosure of all financial transactions related to each State‐ and Federally‐funded Program. Accounting records must contain information pertaining to State and Federal pass‐through awards, authorizations, obligations, unobligated balances, assets, outlays, and income. These records must be maintained on a current basis and balanced at least quarterly. Cash contributions to the Program from third parties must be accounted for in the general ledger with other Grant Funds. Third party in‐kind (non‐cash) contributions are not required to be recorded in the general ledger, but must be under accounting control, possibly through the use of a memorandum ledger. See 2 CFR 200.302.

(b) Source Documentation. Accounting records must be supported by such source documentation as canceled checks, bank statements, invoices, paid bills, donor letters, time and attendance records, activity reports, travel reports, contractual and consultant agreements, and subaward documentation. All supporting documentation should be clearly identified with the Award and general ledger accounts which are to be charged or credited.

(i) The documentation standards for salary charges to grants are prescribed by 2

CFR 200.430, and in the cost principles applicable to the entity’s organization (Paragraphs 7.4 through 7.5).

(ii) If records do not meet the standards in 2 CFR 200.430, then Grantor may notify Grantee in PART TWO, PART THREE of the requirement to submit Personnel activity reports. See 2 CFR 200.430(i)(8). Personnel activity reports shall account on an after‐the‐fact basis for one hundred percent (100%) of the employee's actual time, separately indicating the time spent on the grant, other grants or projects, vacation or sick leave, and administrative time, if applicable. The reports must be signed by the employee, approved by the appropriate official, and coincide with a pay period. These time records should be used to record the distribution of salary costs to the appropriate accounts no less frequently than quarterly.

(iii) Formal agreements with independent contractors, such as consultants, must include a description of the services to be performed, the period of performance, the fee and method of payment, an itemization of travel and other costs which are chargeable to the agreement, and the signatures of both the contractor and an appropriate official of Grantee.

(iv) If third party in‐kind (non‐cash) contributions are used for Grant purposes, the valuation of these contributions must be supported with adequate documentation.

(c) Internal Control. Effective control and accountability must be maintained for all cash,

real and personal property, and other assets. Grantee must adequately safeguard all such property and must provide assurance that it is used solely for authorized purposes. Grantee must also have systems in place that provide reasonable assurance that the information is accurate, allowable, and compliant with



Page 11 of 51

the terms and conditions of this Agreement.

(d) Budget Control. Records of expenditures must be maintained for each Award by the cost categories of the approved Budget (including indirect costs that are charged to the Award), and actual expenditures are to be compared with Budgeted amounts at least quarterly.

(e) Cash Management. Requests for advance payment shall be limited to Grantee's

immediate cash needs. Grantee must have written procedures to minimize the time elapsing between the receipt and the disbursement of Grant Funds to avoid having excess funds on hand. 2 CFR 200.305.

7.7. Federal Requirements. All Awards, whether funded in whole or in part with either Federal or

State funds, are subject to Federal requirements and regulations, including but not limited to 2 CFR Part 200, 44 Ill. Admin. Code 7000.30(b) and the Financial Management Standards in Paragraph 7.6.

7.8. Profits. It is not permitted for any person or entity to earn a Profit from an Award. See, e.g., 2 CFR 200.400(g); see also 30 ILCS 708/60(a)(7).

7.9. Management of Program Income. Grantee is encouraged to earn income to defray program

costs where appropriate, subject to 2 CFR 200.307.

ARTICLE VIII REQUIRED CERTIFICATIONS

8.1. Certifications. Grantee shall be responsible for compliance with the enumerated certifications to

the extent that the certifications apply to Grantee.

(a) Bribery. Grantee certifies that it has not been convicted of bribery or attempting to bribe an officer or employee of the State of Illinois, nor made an admission of guilt of such conduct which is a matter of record (30 ILCS 500/50‐5).

(b) Bid Rigging. Grantee certifies that it has not been barred from contracting with a unit of

State or local government as a result of a violation of Paragraph 33E‐3 or 33E‐4 of the Criminal Code of 1961 (720 ILCS 5/33E‐3 or 720 ILCS 5/33E‐4, respectively).

(c) Debt to State. Grantee certifies that neither it, nor its affiliate(s), is/are barred from

receiving an Award because Grantee, or its affiliate(s), is/are delinquent in the payment of any debt to the State, unless Grantee, or its affiliate(s), has/have entered into a deferred payment plan to pay off the debt, and Grantee acknowledges Grantor may declare the Agreement void if the certification is false (30 ILCS 500/50‐11).

(d) Educational Loan. Grantee certifies that it is not barred from receiving State agreements as a result of default on an educational loan (5 ILCS 385/1 et seq.).

(e) International Boycott. Grantee certifies that neither it nor any substantially owned affiliated company is participating or shall participate in an international boycott in violation of the provision of the U.S. Export Administration Act of 1979 (50 USC Appendix 2401 et seq. or the regulations of the U.S. Department of Commerce promulgated under that Act (15 CFR Parts 730 through 774).

(f) Dues and Fees. Grantee certifies that it is not prohibited from receiving an Award

because it pays dues or fees on behalf of its employees or agents, or subsidizes or otherwise reimburses them for payment of their dues or fees to any club which unlawfully discriminates (775 ILCS 25/1 et seq.).

(g) Pro‐Children Act. Grantee certifies that it is in compliance with the Pro‐Children Act of



Page 12 of 51

2001 in that it prohibits smoking in any portion of its facility used for the provision of health, day care, early childhood development services, education or library services to children under the age of eighteen (18), which services are supported by Federal or State government assistance (except such portions of the facilities which are used for inpatient substance abuse treatment) (20 USC 7181‐7184).

(h) Drug‐Free Work Place. If Grantee is not an individual, Grantee certifies it will provide a

drug free workplace pursuant to the Drug Free Workplace Act. 30 ILCS 580/3. If Grantee is an individual and this Agreement is valued at more than $5,000, Grantee certifies it shall not engage in the unlawful manufacture, distribution, dispensation, possession, or use of a controlled substance during the performance of the Agreement. 30 ILCS 580/4. Grantee further certifies that it is in compliance with the government‐wide requirements for a drug‐free workplace as set forth in 41 USC 8102.

(i) Motor Voter Law. Grantee certifies that it is in full compliance with the terms and

provisions of the National Voter Registration Act of 1993 (52 USC 20501 et seq.).

(j) Clean Air Act and Clean Water Act. Grantee certifies that it is in compliance with all applicable standards, order or regulations issued pursuant to the Clean Air Act (42 USC §7401 et seq.) and the Federal Water Pollution Control Act, as amended (33 USC §1251 et seq.).

(k) Debarment. Grantee certifies that it is not debarred, suspended, proposed for

debarment, declared ineligible, or voluntarily excluded from participation in this Agreement by any Federal department or agency (45 CFR Part 76), or by the State (See 30 ILCS 708/25(6)(G)).

(l) Non‐procurement Debarment and Suspension. Grantee certifies that it is in compliance

with Subpart C of 2 CFR Part 180 as supplemented by 2 CFR Part 376, Subpart C.

(m) Grant for the Construction of Fixed Works. Grantee certifies that all Programs for the construction of fixed works which are financed in whole or in part with funds provided by this Agreement shall be subject to the Prevailing Wage Act (820 ILCS 130/0.01 et seq.) unless the provisions of that Act exempt its application. In the construction of the Program, Grantee shall comply with the requirements of the Prevailing Wage Act including, but not limited to, inserting into all contracts for such construction a stipulation to the effect that not less than the prevailing rate of wages as applicable to the Program shall be paid to all laborers, workers, and mechanics performing work under the Award and requiring all bonds of contractors to include a provision as will guarantee the faithful performance of such prevailing wage clause as provided by contract.

(n) Health Insurance Portability and Accountability Act. Grantee certifies that it is in compliance with the Health Insurance Portability and Accountability Act of 1996 (HIPAA), Public Law No. 104‐191, 45 CFR Parts 160, 162 and 164, and the Social Security Act, 42 USC 1320d‐2 through 1320d‐7, in that it may not use or disclose protected health information other than as permitted or required by law and agrees to use appropriate safeguards to prevent use or disclosure of the protected health information. Grantee shall maintain, for a minimum of six (6) years, all protected health information.

(o) Criminal Convictions. Grantee certifies that neither it nor any managerial agent of Grantee has been convicted of a felony under the Sarbanes‐Oxley Act of 2002, nor a Class 3 or Class 2 felony under Illinois Securities Law of 1953, or that at least five (5) years have passed since the date of the conviction. Grantee further certifies that it is not barred from receiving an Award under 30 ILCS 500/50‐ 10.5, and acknowledges that Grantor shall declare the Agreement void if this certification is false (30 ILCS 500/50‐10.5).

(p) Forced Labor Act. Grantee certifies that it complies with the State Prohibition of Goods from Forced Labor Act, and certifies that no foreign‐made equipment, materials, or supplies furnished to the State under this Agreement have been or will be produced in whole or in part by forced labor, convict



Page 13 of 51

labor, or indentured labor under penal sanction (30 ILCS 583).

(q) Illinois Use Tax. Grantee certifies in accordance with 30 ILCS 500/50‐12 that it is not barred from receiving an Award under this Paragraph. Grantee acknowledges that this Agreement may be declared void if this certification is false.

(r) Environmental Protection Act Violations. Grantee certifies in accordance with 30 ILCS 500/50‐14 that it is not barred from receiving an Award under this Paragraph. Grantee acknowledges that this Agreement may be declared void if this certification is false.

(s) Goods from Child Labor Act. Grantee certifies that no foreign‐made equipment, materials, or supplies furnished to the State under this Agreement have been produced in whole or in part by the labor of any child under the age of twelve (12) (30 ILCS 584).

(t) Federal Funding Accountability and Transparency Act of 2006. Grantee certifies that it is in compliance with the terms and requirements of 31 USC 6101.

ARTICLE IX CRIMINAL DISCLOSURE

9.1. Mandatory Criminal Disclosures. Grantee shall continue to disclose to Grantor all violations of criminal law involving fraud, bribery or gratuity violations potentially affecting this Award. See 30 ILCS 708/40. Additionally, if Grantee receives over $10 million in total Grant Funds, funded by either State or Federal funds, during the period of this Award, Grantee must maintain the currency of information reported to SAM regarding civil, criminal or administrative proceedings as required by 2 CFR 200.113 and Appendix II of 2 CFR Part 200, and 30 ILCS 708/40.

ARTICLE X UNLAWFUL DISCRIMINATION

10.1. Compliance with Nondiscrimination Laws. Both Parties, their employees and subcontractors under subcontract made pursuant to this Agreement, remain compliant with all applicable provisions of State and Federal laws and regulations pertaining to nondiscrimination, sexual harassment and equal employment opportunity including, but not limited to, the following laws and regulations and all subsequent amendments thereto:

(a) The Illinois Human Rights Act (775 ILCS 5/1‐101 et seq.), including, without limitation, 44

Ill. Admin. Code Part 750, which is incorporated herein;

(b) The Public Works Employment Discrimination Act (775 ILCS 10/1 et seq.);

(c) The United States Civil Rights Act of 1964 (as amended) (42 USC 2000a‐ and 2000h‐6). (See also guidelines to Federal Financial Assistance Recipients Regarding Title VI Prohibition Against National Origin Discrimination Affecting Limited English Proficient Persons [Federal Register: February 18, 2002 (Volume 67, Number 13, Pages 2671‐2685)]);

(d) Section 504 of the Rehabilitation Act of 1973 (29 USC 794);

(e) The Americans with Disabilities Act of 1990 (42 USC 12101 et seq.); and

(f) The Age Discrimination Act (42 USC 6101 et seq.).



Page 14 of 51

ARTICLE XI LOBBYING

11.1. Improper Influence. Grantee certifies that no Grant Funds have been paid or will be paid by or on

behalf of Grantee to any person for influencing or attempting to influence an officer or employee of any government agency, a member of Congress or Illinois General Assembly, an officer or employee of Congress or Illinois General Assembly, or an employee of a member of Congress or Illinois General Assembly in connection with the awarding of any agreement, the making of any grant, the making of any loan, the entering into of any cooperative agreement, or the extension, continuation, renewal, amendment or modification of any agreement, grant, loan or cooperative agreement. 31 USC 1352. Additionally, Grantee certifies that it has filed the required certification under the Byrd Anti‐Lobbying Amendment (31 USC 1352), if applicable.

11.2. Federal Form LLL. If any funds, other than Federally‐appropriated funds, were paid or will be paid to any person for influencing or attempting to influence any of the above persons in connection with this Agreement, the undersigned must also complete and submit Federal Form LLL, Disclosure of Lobbying Activities Form, in accordance with its instructions.

11.3. Lobbying Costs. Grantee certifies that it is in compliance with the restrictions on lobbying set forth in 2 CFR Part 200.450. For any Indirect Costs associated with this Agreement, total lobbying costs shall be separately identified in the Program Budget, and thereafter treated as other Unallowable Costs.

11.4. Procurement Lobbying. Grantee warrants and certifies that it and, to the best of its knowledge,

its sub‐grantees have complied and will comply with Executive Order No. 1 (2007) (EO 1‐2007). EO 1‐2007 generally prohibits Grantees and subcontractors from hiring the then‐serving Governor’s family members to lobby procurement activities of the State, or any other unit of government in Illinois including local governments, if that procurement may result in a contract valued at over $25,000. This prohibition also applies to hiring for that same purpose any former State employee who had procurement authority at any time during the one‐year period preceding the procurement lobbying activity.

11.5. Subawards. Grantee must include the language of this ARTICLE XI in the award documents for

any subawards made pursuant to this Award at all tiers. All sub‐awardees are also subject to certification and disclosure. Pursuant to Appendix II(I) to 2 CFR Part 200, Grantee shall forward all disclosures by contractors regarding this certification to Grantor.

11.6. Certification. This certification is a material representation of fact upon which reliance was placed to enter into this transaction and is a prerequisite for this transaction, pursuant to 31 USC 1352. Any person who fails to file the required certifications shall be subject to a civil penalty of not less than $10,000, and not more than $100,000, for each such failure.



Page 15 of 51

ARTICLE XII MAINTENANCE AND ACCESSIBILITY OF RECORDS; MONITORING

All records involving human subject information will be kept in accordance to the Health Insurance Portability and Accountability Act (HIPPA) requirements (Sections 164.306 and 164.310). In addition, collection, maintenance, and accessibility of records involving human subjects will be performed in compliance with all the pertinent 45 CFR regulations.

12.1. Records Retention. Grantee shall maintain for three (3) years from the date of submission of the

final expenditure report, adequate books, all financial records and, supporting documents, statistical records, and all other records pertinent to this Award, adequate to comply with 2 CFR 200.333, unless a different retention period is specified in 2 CFR 200.333. If any litigation, claim or audit is started before the expiration of the retention period, the records must be retained until all litigation, claims or audit exceptions involving the records have been resolved and final action taken.

12.2. Accessibility of Records. Grantee, in compliance with 2 CFR 200.336, shall make books, records, related papers, supporting documentation and personnel relevant to this Agreement available to authorized Grantor representatives, the Illinois Auditor General, Illinois Attorney General, any Executive Inspector General, the Grantor’s Inspector General, Federal authorities, any person identified in 2 CFR 200.336, and any other person as may be authorized by Grantor (including auditors), by the State of Illinois or by Federal statute. Grantee shall cooperate fully in any such audit or inquiry. Records involving human subjects will be accessed by appropriately certified personnel (including auditors) and all the pertinent measures will be taken to ensure compliance with HIPPA regulations.

12.3. Failure to Maintain Books and Records. Failure to maintain books, records and supporting

documentation, as described in this ARTICLE XII, shall establish a presumption in favor of the State for the recovery of any funds paid by the State under this Agreement for which adequate books, records and supporting documentation are not available to support disbursement.

12.4. Monitoring and Access to Information. Grantee must monitor its activities to assure compliance with applicable State and Federal requirements and to assure its performance expectations are being achieved. T h e Grantor and the Illinois Department of Commerce and Economic Opportunity (DCEO), Office of Community Development (OCD) shall monitor the activities of Grantee to assure compliance with all requirements and performance expectations of the award. Grantee shall timely submit all financial and performance reports, and shall supply, upon Grantor’s request, documents and information relevant to the Award. Grantor may make site visits as warranted by program needs. See 2 CFR 200.328 and 200.331. Additional monitoring requirements may be in PART TWO or PART THREE.

ARTICLE XIII FINANCIAL REPORTING REQUIREMENTS

13.1. Required Periodic Financial Reports. Grantee agrees to submit financial reports as requested and

in the format required by Grantor. Grantee shall file quarterly reports with Grantor describing the expenditure(s) of the funds related thereto, unless more frequent reporting is required by the Grantee pursuant to specific award conditions. 2 CFR 200.207. The first of such reports shall cover the first three months after the Award begins. Quarterly reports must be submitted no later than 30 calendar days following the three month period covered by the report. Additional information regarding required financial reports may be set forth in Exhibit G. Failure to submit the required financial reports may cause a delay or suspension of funding. 30 ILCS 705/1 et seq.; 2 CFR 207(b)(3) and 200.327.

13.2. Close‐out Reports.

(a) Grantee shall submit a Close‐out Report within 60 calendar days following the end of the period of performance for this Agreement. In the event that this Agreement is terminated prior to the end of the Term, Grantee shall submit a Close‐out Report within 60 calendar days of such termination.



Page 16 of 51

The format of this Close‐out Report shall follow a format prescribed by Grantor. 2 CFR 200.343.

(b) If an audit or review of Grantee occurs and results in adjustments after Grantee submits a Close‐out Report, Grantee will submit a new Close‐out Report based on audit adjustments, and immediately submit a refund to Grantor, if applicable. 2 CFR 200.344.

13.3. Annual Financial Reports.

THREE.

(a) This Paragraph 13.3 applies to all Grantees, unless exempted by PART TWO or PART

(b) Grantees shall submit Annual Financial Reports within 180 days after the Grantee’s fiscal year ending on or after June 30. This deadline may be extended at the discretion of the Grantor.



Page 17 of 51

(c) The Annual Financial Report must cover the same period the Audited Financial Statements cover. If no Audited Financial Statements are required, however, then the Annual Financial Report must cover the same period as the Grantee’s tax return.

(d) Annual Financial Reports must include an in relation to opinion from the report issuer

on the Cost and Revenue schedules included in the Annual Financial Report.

(e) Annual Financial Reports shall follow a format prescribed by Grantor.

(f) Notwithstanding anything herein to the contrary, when such reports or statements required under this section are prepared by the Illinois Auditor General, if they are not available by the above‐specified due date, they will be provided to Grantor within thirty (30) days of becoming available.

13.4. Effect of Failure to Comply. Failure to comply with reporting requirements shall result in the withholding of funds, the return of improper payments or Unallowable Costs, will be considered a material breach of this Agreement and may be the basis to recover Grant Funds. Grantee's failure to comply with this ARTICLE XIII, ARTICLE XIV, or ARTICLE XV shall be considered prima facie evidence of a breach and may be admitted as such, without further proof, into evidence in an administrative proceeding before Grantor, or in any other legal proceeding.

ARTICLE XIV PERFORMANCE REPORTING REQUIREMENTS

14.1. Required Periodic Performance Reports. Grantee agrees to submit Performance Reports as requested and in the format required by Grantor and the Illinois Department of Commerce and Economic Opportunity (DCEO), Office of Community Development (OCD). Performance Measures listed in Exhibit E must be reported quarterly, unless otherwise specified in PART TWO or PART THREE. Unless so specified, the first of such reports shall cover the first three months after the Award begins. If Grantee is not required to report performance quarterly, then Grantee must submit a Performance Report at least annually or upon request by the Grantor or the and the Illinois Department of Commerce and Economic Opportunity (DCEO), Office of Community Development (OCD). In unusual circumstances where more frequent reporting is necessary some Grantees may be required to submit monthly Performance Reports; in such cases, Grantor shall notify Grantee of same in PART TWO or PART THREE. Pursuant to 2 CFR 200.328, periodic Performance Reports shall be submitted no later than 30 calendar days following the period covered by the report. For certain construction‐related Awards, such reports may be exempted as identified in PART TWO or PART THREE. 2 CFR 200.328. Failure to submit such required Performance Reports may cause a delay or suspension of funding. 30 ILCS 705/1 et seq.

14.2. Close‐out Performance Reports. Grantee agrees to submit a Close‐out Performance Report, in

the format required by Grantor, within 60 calendar days following the end of the period of performance. See 2 CFR 200.343.

14.3. Content of Performance Reports. Pursuant to 2 CFR 200.328(b)(2) all Performance Reports must

include Program qualitative and quantitative information, including a comparison of actual accomplishments to the objectives of the award established for the period; where the accomplishments can be quantified, a computation of the cost if required; performance trend data and analysis if required; and reasons why established goals were not met, if appropriate. Appendices may be used to include additional supportive documentation. Additional content and format guidelines for the Performance Reports will be determined by Grantor contingent on the Award’s statutory, regulatory and administrative requirements, and are included in PART TWO or PART THREE of this Agreement.


City of Galesburg & UIC‐SPH INTER‐GOVERNMENTAL GRANT AGREEMENT

Page 18 of 51

ARTICLE XV AUDIT REQUIREMENTS

15.1. Audits. Grantee shall be subject to the audit requirements contained in the Single Audit Act

Amendments of 1996 (31 USC 7501‐7507) and Subpart F of 2 CFR Part 200, and the audit rules set forth by the Governor’s Office of Management and Budget. See 30 ILCS 708/65(c).

15.2. Audit Requirements.

(a) Single and Program‐Specific Audits. If, during its fiscal year, Grantee expends $750,000 or more in Federal Awards (direct federal and federal pass‐through awards combined), Grantee must have a single audit or program‐specific audit conducted for that year as required by 2 CFR 200.501 and other applicable sections of Subpart F of 2 CFR Part 200. The audit and reporting package (including data collection form and management letters) must be completed as described in 2 CFR 200.512 (single audit) or 2 CFR 200.507 (program‐specific audit). The audit (and package) must be submitted to Grantor within the earlier of (i) 30 calendar days after receipt of the auditor’s report(s) or (ii) nine (9) months after the end of the audit period.

(b) Financial Statement Audit. If, during its fiscal year, Grantee expends less than $750,000

in Federal Awards, Grantee is subject to the following audit requirements:

(i) If, during its fiscal year, Grantee expends more than $300,000 in Federal and State Awards, singularly or in any combination, Grantee must have a financial statement audit conducted in accordance with the Generally Accepted Government Auditing Standards (GAGAS).

(ii) If, during its fiscal year, Grantee expends less than $300,000 in Federal and

State Awards, but the total revenue it receives is in excess of $300,000, Grantee must have a financial statement audit conducted in accordance with the Generally Accepted Auditing Standards (GAAS).

(iii) Grantee must submit its financial statement audit report(s) and any management letters issued by the auditor within the earlier of (i) 30 calendar days after receipt of the auditor’s report(s) or (ii) 180 days after the end of the audit period.

15.3. Performance of Audits. For those organizations required to submit an independent audit report, the audit is to be conducted by the Illinois Auditor General, or a Certified Public Accountant or Certified Public Accounting Firm licensed in the State of Illinois. For audits required to be performed subject to Generally Accepted Government Auditing Standards, Grantee shall request and maintain on file a copy of the auditor’s most recent peer review report and acceptance letter.

15.4. Report Timing. Notwithstanding anything herein to the contrary, when such reports or

statements required under this section are prepared by the Illinois Auditor General, if they are not available by the above‐specified due date, they will be provided to Grantor within thirty (30) days of becoming available.



Page 19 of 51

ARTICLE XVI TERMINATION; SUSPENSION; NON‐COMPLIANCE

16.1. Termination.

(a) This Agreement may be terminated, in whole or in part, by either Party for any or no reason upon thirty (30) calendar days’ prior written notice to the other Party. If terminated by the Grantee, Grantee must include the reasons for such termination, the effective date, and, in the case of a partial termination, the portion to be terminated. If Grantor determines in the case of a partial termination that the reduced or modified portion of the Award will not accomplish the purposes for which the Award was made, Grantor may terminate the Agreement in its entirety. 2 CFR 200.339(a)(4).

This Agreement may be terminated, in whole or in part, by Grantor without advance notice:

(i) Pursuant to a funding failure under Paragraph 4.1;

(ii) If Grantee fails to comply with the terms and conditions of this or any Award, application or proposal, including any applicable rules or regulations, or has made a false representation in connection with the receipt of this or any Grant;

(iii) For cause, which may render the Grantee ineligible for consideration for future grants from the Grantor or other State agencies; or

(iv) If Grantee breaches this Agreement and either (1) fails to cure such breach within 15 calendar days' written notice thereof, or (2) if such cure would require longer than 15 calendar days and the Grantee has failed to commence such cure within 15 calendar days’ written notice thereof. In the event that Grantor terminates this Agreement as a result of the breach of the Agreement by Grantee, Grantee shall be paid for work satisfactorily performed prior to the date of termination.

16.2. Suspension. Grantor may suspend this Agreement, in whole or in part, pursuant to a funding failure under Paragraph 4.1 or if the Grantee fails to comply with terms and conditions of this or any Award. If suspension is due to Grantee’s failure to comply, Grantor may withhold further payment and prohibit Grantee from incurring additional obligations pending corrective action by Grantee or a decision to terminate this Agreement by Grantor. Grantor may determine to allow necessary and proper costs that Grantee could not reasonably avoid during the period of suspension.

16.3. Non‐compliance. If Grantee fails to comply with applicable statutes, regulations or the terms and conditions of this or any Award, Grantor may impose additional conditions on Grantee, as described in 2 CFR 200.207. If Grantor determines that non‐compliance cannot be remedied by imposing additional conditions, Grantor may take one or more of the actions described in 2 CFR 200.338. The Parties shall follow all Grantor policies and procedures regarding non‐compliance, including, but not limited to, the procedures set forth in the State of Illinois Grantee Compliance Enforcement System.

16.4. Objection. If Grantor suspends or terminates this Agreement, in whole or in part, for cause, or takes any other action in response to Grantee’s non‐compliance, Grantee may avail itself of any opportunities to object and challenge such suspension, termination or other action by Grantor in accordance with any applicable processes and procedures, including, but not limited to, the procedures set forth in the State of Illinois Grantee Compliance Enforcement System. 2 CFR 200.341.

16.5. Effects of Suspension and Termination.

(a) Grantor may credit Grantee for expenditures incurred in the performance of authorized services under this Agreement prior to the effective date of a suspension or termination.



Page 20 of 51

(b) Grantee shall not incur any costs or obligations that require the use of these Grant Funds after the effective date of a suspension or termination, and shall cancel as many outstanding obligations as possible.

(c) Costs to Grantee resulting from obligations incurred by Grantee during a suspension or after termination of the Agreement are not allowable unless

(i) Grantor expressly authorizes them in the notice of suspension or termination; and

(ii) The costs result from obligations properly incurred before the effective date of suspension or termination, are not in anticipation of the suspension or termination, and the costs would be allowable if the Agreement was not suspended or terminated. 2 CFR 200.342.

16.6. Close‐out of Terminated Agreements. If this Agreement is terminated, in whole or in part, the Parties shall comply with all close‐out and post‐termination requirements of this Agreement. 2 CFR 200.339(c).

ARTICLE XVII SUBCONTRACTS/SUB‐GRANTS

17.1. Sub‐recipients/Delegation. Grantee may not subcontract nor sub‐grant any portion of this Agreement nor delegate any duties hereunder without Prior Approval of Grantor. The requirement for Prior Approval is satisfied if the subcontractor or sub‐grantee has been identified in the Uniform Grant Application, such as, without limitation, a Project Description, and Grantor has approved.

17.2. Application of Terms. Grantee shall advise any sub‐grantee of funds awarded through this

Agreement of the requirements imposed on them by Federal and State laws and regulations, and the provisions of this Agreement.

ARTICLE XVIII NOTICE OF CHANGE

18.1. Notice of Change. Grantee shall notify the Grantor if there is a change in Grantee’s legal status,

Federal employer identification number (FEIN), DUNS number, SAM registration status, Related Parties, or address. See 30 ILCS 708/60(a). If the change is anticipated, Grantee shall give thirty (30) days’ prior written notice to Grantor. If the change is unanticipated, Grantee shall give notice as soon as practicable thereafter. Grantor reserves the right to take any and all appropriate action as a result of such change(s).

18.2. Failure to Provide Notification. Grantee shall hold harmless Grantor for any acts or omissions of Grantor resulting from Grantee’s failure to notify Grantor of these changes.

18.3. Notice of Impact. Grantee shall immediately notify Grantor of any event that may have a material impact on Grantee’s ability to perform this Agreement.

18.4. Circumstances Affecting Performance; Notice. In the event Grantee becomes a party to any litigation, investigation or transaction that may reasonably be considered to have a material impact on Grantee’s ability to perform under this Agreement, Grantee shall notify Grantor, in writing, within five (5) calendar days of determining such litigation or transaction may reasonably be considered to have a material impact on the Grantee’s ability to perform under this Agreement.

18.5. Effect of Failure to Provide Notice. Failure to provide the notice described in Paragraph 18.4 shall

be grounds for immediate termination of this Agreement and any costs incurred after notice should have been given shall be disallowed.



Page 21 of 51

ARTICLE XIX STRUCTURAL REORGANIZATION

19.1. Effect of Reorganization. Grantee acknowledges that this Agreement is made by and between

Grantor and Grantee, as Grantee is currently organized and constituted. No promise or undertaking made hereunder is an assurance that Grantor agrees to continue this Agreement, or any license related thereto, should Grantee significantly reorganize or otherwise substantially change the character of its corporate structure, business structure or governance structure. Grantee agrees that it will give Grantor prior notice of any such action or changes significantly affecting its overall structure and will provide any and all reasonable documentation necessary for Grantor to review the proposed transaction including financial records and corporate and shareholder minutes of any corporation which may be involved. This ARTICLE XIX does not require Grantee to report on minor changes in the makeup of its governance structure. Nevertheless, PART TWO or PART THREE may impose further restrictions. Failure to comply with this ARTICLE XIX shall constitute a material breach of this Agreement.

ARTICLE XX AGREEMENTS WITH OTHER STATE AGENCIES

20.1. Copies upon Request. Grantee shall, upon request by Grantor, provide Grantor with copies of contracts or other agreements to which Grantee is a party with any other State agency.

ARTICLE XXI CONFLICT OF INTEREST

21.1. Required Disclosures. Grantee must immediately disclose in writing any potential or actual Conflict of Interest to the Grantor. 2 CFR 200.112 and 44 Ill. Admin. Code 7000.40(b)(3).

21.2. Prohibited Payments. Grantee agrees that payments made by Grantor under this Agreement will

not be used to compensate, directly or indirectly, any person currently holding an elective office in this State including, but not limited to, a seat in the General Assembly. In addition, where the Grantee is not an instrumentality of the State of Illinois, as described in this Paragraph, Grantee agrees that payments made by Grantor under this Agreement will not be used to compensate, directly or indirectly, any person employed by an office or agency of the State of Illinois whose annual compensation is in excess of sixty percent (60%) of the Governor’s annual salary, or $106,447.20 (30 ILCS 500/50‐13). An instrumentality of the State of Illinois includes, without limitation, State departments, agencies, boards, and State universities. An instrumentality of the State of Illinois does not include, without limitation, municipalities and units of local government and related entities. 2 CFR 200.64.

21.3. Request for Exemption. Grantee may request written approval from Grantor for an exemption

from Paragraph 21.2. Grantee acknowledges that Grantor is under no obligation to provide such exemption and that Grantor may, if an exemption is granted, grant such exemption subject to such additional terms and conditions as Grantor may require.



Page 22 of 51

ARTICLE XXII

EQUIPMENT OR PROPERTY

22.1. Transfer of Equipment. Grantor shall have the right to require that Grantee transfer to Grantor any equipment, including title thereto, purchased in whole with Grantor funds, if Grantor determines that Grantee has not met the conditions of 2 CFR 200.439(a). Grantor shall notify Grantee in writing should Grantor require the transfer of such equipment. Upon such notification by Grantor, and upon receipt or delivery of such equipment by Grantor, Grantee will be deemed to have transferred the equipment to Grantor as if Grantee had executed a bill of sale therefor.

22.2. Prohibition against Disposition/Encumbrance. The Grantee is prohibited from, and may not sell,

transfer, encumber (other than original financing) or otherwise dispose of said equipment, material, or real property during the Grant Term without Prior Approval of Grantor. Any real property acquired using Grant Funds must comply with the requirements of 2 CFR 200.311.

22.3. Equipment and Procurement. Grantee must comply with the uniform standards set forth in 2 CFR 200.310–200.316 governing the management and disposition of property which cost was supported by Grant Funds. Any waiver from such compliance must be granted by either the President’s Office of Management and Budget, the Governor’s Office of Management and Budget, or both, depending on the source of the Grant Funds used. Additionally, Grantee must comply with the standards set forth in 2 CFR 200.317‐200.326 for use in establishing procedures for the procurement of supplies and other expendable property, equipment, real property and other services with Grant Funds. These standards are furnished to ensure that such materials and services are obtained in an effective manner and in compliance with the provisions of applicable Federal and State statutes and executive orders.

ARTICLE XXIII PROMOTIONAL MATERIALS; PRIOR NOTIFICATION

23.1. Publications, Reports, Announcements, etc. Use of Grant Funds for promotions is subject to the prohibitions for advertising or public relations costs in 2 CFR 200.421(e). In the event that Grantor funds are used in whole or in part to produce any written publications, announcements, reports, flyers, brochures or other written materials, Grantee agrees to include in these publications, announcements, reports, flyers, brochures and all other such material, the phrase “Funding provided in whole or in part by the City of Galsburg in collaboration with the and the Illinois Department of Commerce and Economic Opportunity (DCEO), Office of Community Development (OCD).” Exceptions to this requirement must be requested, in writing, from Grantor and will be considered authorized only upon written notice thereof to Grantee. Proper credit must be given to all Grantor and DCEO/OCD participants contributing towards the completion of this project in the case of publications.

23.2. Prior Notification/Release of Information. Grantee agrees to notify Grantor ten (10) days prior to issuing public announcements or press releases concerning work performed pursuant to this Agreement, or funded in whole or in part by this Agreement, and to cooperate with Grantor in joint or coordinated releases of information. Both Parties agree that notifications or press releases must comply with the confidentiality and reporting requirements stipulated by HIPPA.

ARTICLE XXIV INSURANCE

24.1. Purchase and Maintenance of Insurance. Grantee shall maintain in full force and effect during

the Term of this Agreement casualty and bodily injury insurance, as well as insurance sufficient to cover the replacement cost of any and all real or personal property, or both, purchased or, otherwise acquired, or improved in whole or in part, with funds disbursed pursuant to this Agreement. 2 CFR 200.310. Additional insurance requirements may be detailed in PART TWO or PART THREE.



Page 23 of 51

24.2. Claims. If a claim is submitted for real or personal property, or both, purchased in whole with funds from this Agreement and such claim results in the recovery of money, such money recovered shall be surrendered to Grantor.

ARTICLE XXV LAWSUITS

25.1. Independent Contractor. Neither Grantee nor any employee or agent of Grantee acquires any

employment rights with Grantor by virtue of this Agreement. Grantee will provide the agreed services and achieve the specified results free from the direction or control of Grantor as to the means and methods of performance. Grantee will be required to provide its own equipment and supplies necessary to conduct its business; provided, however, that in the event, for its convenience or otherwise, Grantor makes any such equipment or supplies available to Grantee, Grantee’s use of such equipment or supplies provided by Grantor pursuant to this Agreement shall be strictly limited to official Grantor or State of Illinois business and not for any other purpose, including any personal benefit or gain.

25.2. Liability. Neither Party shall be liable for actions chargeable to the other Party under this Agreement including, but not limited to, the negligent acts and omissions of Party’s agents, employees or subcontractors in the performance of their duties as described under this Agreement, unless such liability is imposed by law. This Agreement shall not be construed as seeking to enlarge or diminish any obligation or duty owed by one Party against the other or against a third party.

ARTICLE XXVI

MISCELLANEOUS

26.1. Gift Ban. Grantee is prohibited from giving gifts to State employees pursuant to the State Officials and Employees Ethics Act (5 ILCS 430/10‐10) and Executive Order 15‐09.

26.2. Access to Internet. Grantee must have Internet access. Internet access may be either dial‐up or

high‐speed. Grantee must maintain, at a minimum, one business e‐mail address that will be the primary receiving point for all e‐mail correspondence from Grantor. Grantee may list additional e‐mail addresses at any time during the Term of this Agreement. The additional addresses may be for a specific department or division of Grantee or for specific employees of Grantee. Grantee must notify Grantor of any e‐mail address changes within five (5) business days from the effective date of the change.

26.3. Exhibits and Attachments. Exhibits A through E, PART TWO, PART THREE, if applicable, and all

other exhibits and attachments hereto are incorporated herein in their entirety.

26.4. Assignment Prohibited. Grantee acknowledges that this Agreement may not be sold, assigned, or transferred in any manner by Grantee, to include an assignment of Grantee’s rights to receive payment hereunder, and that any actual or attempted sale, assignment, or transfer by Grantee without the Prior Approval of Grantor in writing shall render this Agreement null, void and of no further effect.

26.5. Amendments. This Agreement may be modified or amended at any time during its Term by

mutual consent of the Parties, expressed in writing and signed by the Parties.

26.6. Severability. If any provision of this Agreement is declared invalid, its other provisions shall not be affected thereby.

26.7. No Waiver. No failure of either Party to assert any right or remedy hereunder will act as a waiver of either Party’s right to assert such right or remedy at a later time or constitute a course of business upon which



Page 24 of 51

either Party may rely for the purpose of denial of such a right or remedy.

26.8. Applicable Law; Claims. This Agreement and all subsequent amendments thereto, if any, shall be governed and construed in accordance with the laws of the State of Illinois. Any claim against Grantor arising out of this Agreement must be filed exclusively with the Illinois Court of Claims. 705 ILCS 505/1 et seq. Grantor does not waive sovereign immunity by entering into this Agreement.

26.9. Compliance with Law. This Agreement and Grantee’s obligations and services hereunder are hereby made and must be performed in compliance with all applicable Federal and State laws, including, without limitation, Federal regulations, State administrative rules, including 44 Ill. Admin. Code 7000, and any and all license requirements or professional certification provisions.

26.10. Compliance with Confidentiality Laws. Grantee shall comply with applicable State and Federal

statutes, Federal regulations and additional Grantor administrative rules regarding confidential records or other sensitive information obtained by Grantee. The findings, records, and information shall be protected by Grantee from unauthorized disclosure. The Grantor will notify in writing the Grantee within 30 days from the commencement of this agreement about any additional administrative rules deemed necessary to protect information classified as sensitive by the Grantor.

26.11. Compliance with Freedom of Information Act. Upon request, Grantee shall make available to Grantor all documents in its possession that Grantor deems necessary to comply with requests made under the Freedom of Information Act. (5 ILCS 140/7(2)).

26.12. The Parties agree to conduct this service and technical evaluation project in an ethical and

professional manner. This agreement entails an obligation to know and act in accordance with federal regulations (both the general regulations pertaining to human subjects protection in 45 CFR 46 and 21 CFR 50 & 56), state and federal laws (HIPAA, the Health Insurance Portability and Accountability Act is a federal law relevant to all research involving medical records), and UIC policies and procedures.

26.13. Precedence. In the event there is a conflict between this Agreement and any of the exhibits or

attachments hereto, this Agreement shall control. In the event there is a conflict between PART ONE and PART TWO or PART THREE of this Agreement, PART THREE shall control. In the event there is a conflict between PART TWO and PART THREE of this Agreement, PART THREE shall control. In the event there is a conflict between this Agreement and relevant statute(s) or Administrative Rule(s), the relevant statute(s) or rule(s) shall control.

26.14. Headings. Article and other headings contained in this Agreement are for reference purposes

only and are not intended to define or limit the scope, extent or intent of this Agreement or any provision hereof.

26.15. Entire Agreement. Grantee and Grantor acknowledge that this Agreement constitutes the entire agreement between them and that no promises, terms, or conditions not recited, incorporated or referenced herein, including prior agreements or oral discussions, shall be binding upon either Grantee or Grantor.

26.16. Counterparts. This Agreement may be executed in one or more counterparts, each of which shall

be considered to be one and the same agreement, binding on all Parties hereto, notwithstanding that all Parties are not signatories to the same counterpart. Duplicated signatures, signatures transmitted via facsimile, or signatures contained in a Portable Document Format (PDF) document shall be deemed original for all purposes.

26.17. Attorney Fees and Costs. Unless prohibited by law, if Grantor prevails in any proceeding to enforce the terms of this Agreement, including any administrative hearing pursuant to the Grant Funds Recovery Act or the Grant Accountability and Transparency Act, the Grantor has the right to recover reasonable attorneys’ fees, costs and expenses associated with such proceedings.

THE REMAINDER OF THIS PAGE IS INTENTIONALLY LEFT BLANK.



Page 25 of 51

EXHIBIT A

PROJECT DESCRIPTION

Grantee must complete the Grant Activities described on this Exhibit A, the Deliverables and Milestones listed on Exhibit B and the Performance Measures listed on Exhibit E within the term of this Agreement, as provided in paragraph 1.4, herein. For this purpose the University of Illinois at Chicago School of Public health will receive the amount of $179,450.

PROJECT DESCRIPTION:

The adverse health effects of lead exposure are well documented in the scientific literature especially in the case of exposed children. According to the Illinois Department of Public Health, 2015 Annual Lead‐Surveillance Report, the primary source of lead poisoning is from lead‐based paint in homes. However, there are other sources which include dust/soil, water, consumer products, and airborne emissions. This study will focus on lead‐based paint hazard reduction and reduction of lead plumbing and fixtures in households. The UIC/SPH team will assist the City of Galesburg and the Illinois Department of Commerce and Economic Opportunity (DCEO), Office of Community Development (OCD) in conducting a lead reduction program and assessing the effectiveness of the various lead source reduction measures. The City of Galesburg, IL is a hard hit community since: “Currently, 2,064 children under age six (6) live in the target area. Of the 445 children tested for elevated blood lead levels, 64 (or 14.4%) had an elevated blood lead level of at least 5 μg/dL” (source: Illinois Department of Public Health – Illinois Lead Program: 2015 Annual Surveillance Report). The major contribution of the UIC/SPH team is to perform a comprehensive assessment of the most common lead remediation techniques and identify the parameters that are likely to influence this outcome (i.e., lead exposure reduction). For the purpose of this technical evaluation project, two broad classes of lead remediation techniques will be considered which will be applied to appropriately selected target areas. Other major components of this collaboration are:

Data collection (quality control, storage, and management) and creation of a comprehensive database.

IRB filing.

A technical (lead reduction) evaluation based on geospatial, socioeconomic, and environmental data (e.g., water lead levels at the tap, blood levels, etc.). An basic component of this evaluation is the cost effectiveness of the applied lead reduction techniques.

Survey design for participants in this program.

A community outreach educational intervention related to lead exposure and its risks. A detailed narrative of the overall lead remediation project is presented in the DCEO/OCD Help Abstract that follows: The Illinois Department of Commerce and Economic Opportunity (DCEO), Office of Community Development (OCD) is proposing to expand, enhance, and strengthen its efforts to improve housing throughout the state of Illinois through the implementation of the Help Eliminate Lead Program (HELP). The mission of the program is to improve the health and well‐being of Illinois citizens, especially vulnerable populations such as children under the age of 6 and pregnant women, by promoting safe environments through a comprehensive lead hazard reduction and control program which includes; encouraging Illinois Department of Public Health (IDPH) lead certification and training, public education, public outreach, and statewide and local partnerships. All remediation, mitigation and/or abatement activities shall be done in a way that will not endanger the occupants, including work area isolation, preparation and containment, safe work practices, and safe removal of all potentially harmful materials (410 ILCS 45/11) (77 Ill. Adm. Code 845.265(a)). Initially, DCEO/OCD is proposing to conduct a pilot project throughout the City of Galesburg for $500,000.00 to assist the State in providing a comprehensive lead hazard control project services to low‐income families who occupy substandard, pre‐1978 single family‐ owner occupied residences in Galesburg, IL located in Knox County.



Page 26 of 51

The program emphasizes the dual goal of serving low‐to‐moderate income households and reducing lead hazards. In this endeavor, DCEO has established a maximum or limitation of funds that may be expended at $20,000.00 of CDBG funds per household. The Western Illinois Regional Council will administer the Community Development Block Grant (CDBG) Help Eliminate Lead Program (HELP) on a contractual basis for the City of Galesburg, who is the grantee for the HELP program. HELP is a comprehensive LHC program providing services to low‐income families residing in substandard pre‐1978 privately‐owned housing. HELP is designed to improve the health and well‐being of Illinois residents, especially vulnerable populations such as children under age six, by promoting safe and healthy home environments through comprehensive home‐based intervention programs, lead certification and regulations, public education, outreach, and statewide partnerships. Reducing lead exposure in the households is one of the main focuses of the program. The WIRC will coordinate with the City of Galesburg and Knox County Health Department (KCHD), in the oversight of the program, at the local level. The coordinated effort will address each stage of the process, from improved preventative efforts in both the environment and homes, to improved clinical care and support systems for children with EBLs. The main emphasis of WIRC’s involvement will be to perform the various aspects of the construction process for the lead hazard reduction work on the homes. The target area for this program will be the entire City of Galesburg. At the epicenter of the elevated lead problem in Illinois is the City of Galesburg. Currently, 2,064 children under age six (6) live in the target area. Of the 445 children tested for elevated blood lead levels, 64 (or 14.4%) had an elevated blood lead level of at least 5 μg/dL (Illinois Department of Public Health – Illinois Lead Program: 2015 Annual Surveillance Report). The Illinois IEPA will provide funding up to a total of $4,000,000 in FY 2017 and FY 2018 to the City of Galesburg. The City will apply said funds to lead service line replacements which began in May of 2017 and will be completed by November 2018. According to IEPA, “complete replacement of lead service lines from the water main to the home will substantially reduce the risk of lead leaching, “ and “also aid in risk reduction resulting from distribution system disturbances of future infrastructure improvement involving water main repair/replacement where the service line must be disturbed.” With these benefits in mind, the project will focus on replacing approximately 1,000 lead service lines and improve water quality for approximately 1000 homes in the community. The HELP Program, in conjunction with the City of Galesburg and other partners, will be coordinating programs with one another to reduce lead poisoning in Galesburg’s children both outside and inside the homes.

Scope of Work Summary

Lead exposure reduction project

The School of Public Health of the University of Illinois, Chicago (UIC/SPH) will assist the City of Galesburg and the Illinois

Department of Commerce and Economic Opportunity (DCEO), Office of Community Development (OCD) in conducting a

lead reduction program and assessing the effectiveness of the various lead source reduction measures.

The major scope of this comprehensive community service and technical evaluation project is the identification of the cost

effectiveness and public health benefits of lead remediation methods applied to prevent and reduce elevated blood lead

levels in at‐risk populations of Galesburg. For this purpose, common lead remediation techniques such as lead‐based paint

hazard remediation and lead service line replacement will be assessed within a comprehensive framework, which will

include all the major parameters that are likely to influence this outcome (i.e., lead exposure reduction). This approach

will identify not only the most cost effective method but also the parameters that are likely to elevate the lead exposure risk

(e.g., age of building).

The recommendations from this project will be used to develop current and long‐term policies and priorities to address

lead reduction funding decisions based on rational criteria. The final goal is to develop a replicable, sustainable, and

transferable model for programs with similar missions.



Page 27 of 51

The other major components of this project are:

Data collection (quality control, storage, and management) and creation of a comprehensive lead reduction database which will assist prioritizing lead reduction programs.

IRB filing.

A technical (lead reduction) evaluation based on geospatial, socioeconomic, and environmental data (e.g., water lead levels at the tap, blood levels, etc.). A basic component of this evaluation is the cost effectiveness of the applied lead reduction techniques.

Survey design for participants in this program.

A community outreach educational intervention related to lead exposure and its risks.



Page 28 of 51

EXHIBIT B

DELIVERABLES OR MILESTONES

This community service and technical evaluation project will have the following deliverables:

Institutional Review Board (IRB): The UIC TEAM will complete and submit the IRB for approval to conduct this project for the two‐years period including any necessary follow‐up for extensions.

BOX Files: UIC TEAM will create and manage a secure file system utilizing BOX or other resources to exchange data and documents in accordance to all privacy guidelines.

Study design parameters: identify the physical, geospatial, environmental, and socioeconomic parameter that

are likely to have an impact on the outcome (i.e., lead exposure reduction).

Design and create a supplementary survey identifying variables of interested including but not limited to social

determinants of health, potential current and past lead exposures and other data gaps evident in current lead exposure/health literature.

Preliminary database: collect all the pertinent information and establish a relational database containing all the

non‐human subject geocoded data that are likely to be required for this project.

After IRB approval

Data collection: The UIC/SPH team will work with city and DCEO partners in order to collect and geocode records essential for this project including but not limited to water lead samples, home lead assessments, and lead blood levels.

Establishment of the City of Galesburg HELP database: A relational database containing all the required geocoded variables and information to conduct this study.

Methodology selection to perform the comprehensive assessment of the most common lead remediation

techniques and identify the parameters that are likely to influence this outcome (i.e., lead exposure reduction). Based on data availability pre and post measures comparisons will be performed.

Analysis of the primary and secondary data utilizing the selected statistical and geostatistical techniques in order

to assess the effectiveness of the most common lead remediation techniques and identify the parameters that are likely to influence this outcome (i.e., lead exposure reduction). For the purpose of this technical evaluation project, two broad classes of lead remediation techniques will be considered which will be applied to appropriately selected target areas. Based on data availability pre and post measures comparisons will be performed.

Weekly update and follow up meetings, Quarterly progress reports, and final report with recommendations.

The University of Illinois, Chicago will develop a comprehensive study which will be used to determine the most effective method of preventing and reducing elevated blood lead levels in at‐risk Galesburg children. This study will focus on the cost effectiveness and comparative benefits of lead‐based paint hazard remediation and lead service line replacement. The proposed study’s outcome will be used to develop current and long‐term policies and priorities to address funding decisions. This study is a community service and technical evaluation project.

In addition, the UIC‐SPH team will create education materials for various audiences addressing lead hazards/exposure and potential health risks to reproduce and distribute by identified stakeholders. This technical evaluation project is reliant on data collection from various agencies including but not limited to the IEPA, City



Page 29 of 51

of Galesburg, Knox County Health Department and the DCEO. Missing data or lack of data may hinder potential analysis and outcomes. In addition, this limitation restricts the potential to define a date specific timeline and a duration specific one is introduced as follows:

Timeline for Completion Year One

Project Month

Major tasks Pre-Award 1 2 3 4 5 6 7 8 9 10 11 12

IRB Protocol Approval X X X X X Box Files X X

Prelim Data Collection X X X X Galsburg HELP database X X X X X X X X X Preliminary Data Analysis X X X X Reports X X X X

Timeline for Completion Year Two

Project Month

Major tasks 1 2 3 4 5 6 7 8 9 10 11 12

Data Analysis (cont) X X X X X X Results Summary X X X X Report/Recommendations X X X X Education efforts

X X X

Pre/Post Test Analysis X X Final report X X X Dissemination/Publication X X X X



Page 30 of 51

EXHIBIT C

PAYMENT

Grantee shall receive $179,450 under this Agreement.

Enter specific terms of payment here: The Award amount listed above is not a guarantee of payment, and Grantee’s receipt of Grant Funds is contingent upon all terms and conditions of this Agreement.

Reimbursement Payments to the Grantee are subject to the Grantee’s submission and certification of eligible costs and any documentation as required by the Grantor. Payment shall be initiated upon the Grantor’s approval of eligible costs and cash amount requested for reimbursement of those costs.

Pre‐Award Costs Reimbursement of costs incurred prior to the start of the Grant Term provided in paragraph 1.4, herein may be allowed only if specifically provided for in the Project Description (Exhibit A), as approved by the Grantor in its sole discretion. If not clearly identified in the Project Description (Exhibit A), any costs incurred prior to the Grant Term will be disallowed. Pre‐award costs will only be allowed if the costs are directly pursuant to the negotiation and in anticipation of the Award, where such costs are necessary for efficient and timely performance of the scope of work. Such costs are allowable only to the extent that they would have been allowable if incurred after the date of the Award. 2 CFR 200.458.



Page 31 of 51

EXHIBIT D

CONTACT INFORMATION

CONTACT FOR NOTIFICATION:

Unless specified elsewhere, all notices required or desired to be sent by either Party shall be sent to the persons listed below.

The Grantee acknowledges and agrees that its address set forth below is its current address and shall be considered its last known address for purposes of receiving any and all notice(s) required under this Agreement. The Grantee further acknowledges and agrees that the Grantor is justified in relying upon the address information furnished to it by the Grantee in absence of notice to the contrary. The Grantee also acknowledges and agrees that it has the burden of notifying the Grantor of its current/last known address. In the event that the Grantee changes its current address, it shall contact its Grant Manager and notify him or her of said change of address and a formal modification will be executed.

GRANTOR CONTACT GRANTEE CONTACT

The following are designated as Authorized Designee(s) for the Grantee (See Part Two, Article XXVII):

Authorized Designee:

Authorized Designee Title:

Authorized Designee Phone:

Authorized Designee Email:

Authorized Designee Signature:

Authorized Signatory Approval:

Name:

Title: Address:

Phone: TTY#: Fax#: Email Address:

Name:

Title:

Address:

Phone: TTY#: Fax#: Email Address: Additional Information:



Page 32 of 51

Authorized Designee:

Authorized Designee Title:

Authorized Designee Phone:

Authorized Designee Email:

Authorized Designee Signature:

Authorized Signatory Approval:



Page 33 of 51

GRANTOR CONTACT FOR AUDIT QUESTIONS—AUDIT UNIT

Name:

Email: Phone: Fax:

Address:

GRANTOR CONTACT FOR FINANCIAL CLOSEOUT QUESTIONS—PROGRAM ACCOUNTANT

Name:

Email: Phone: Fax#:

Address:



Page 34 of 51

EXHIBIT E PERFORMANCE

MEASURES

Benefit to low‐to‐moderate income persons served by this project: 100% Documentation: R e po r t s a nd r e c ommenda t i o n s Minimum number of persons served: 10 Minimum number of low‐to‐moderate income persons served: 10



Page 35 of 51

PART TWO – THE GRANTOR‐SPECIFIC TERMS

In addition to the uniform requirements in PART ONE, the Grantor has the following additional requirements for its Grantee:

ARTICLE XXVII

AUTHORIZED SIGNATORY

27.1. Authorized Signatory. In processing this Award and related documentation, Grantor will only accept materials signed by the Authorized Signatory or Designee of this Agreement, as designated or prescribed herein in paragraph 1.6 or Exhibit D. If the Authorized Signatory chooses to assign a designee to sign or submit materials required by this Agreement to Grantor, the Authorized Signatory must either send written notice to Grantor indicating the name of the designee, or provide notice as set forth in Exhibit D. Without such notice, Grantor will reject any materials signed or submitted on the Grantee’s behalf by anyone other than the Authorized Signatory. The Authorized Signatory must approve each Authorized Designee separately by signing as indicated on Exhibit D. If an Authorized Designee(s) appears on Exhibit D, please verify the information and indicate any changes as necessary. Signatures of both the Authorized Signatory and the Authorized Designee are required in order for the Authorized Designee to have signature authority under this Agreement.

ARTICLE XXVIII

ADDITIONAL AUDIT PROVISIONS

28.1. Discretionary Audit. The Department may, at any time and in its sole discretion, require a program‐specific audit, or other audit, SAS 115/AU‐C265 letters (Auditor’s Communication of Internal Control Related Matters) and SAS 114/AU‐C260 letters (Auditor’s Communication With Those Charged With Governance).

28.2. Audit Submission. The Grantee shall send all required audit reports and related deliverables

electronically to the Grantor at the following address:

[email protected]

If the Grantee is unable to submit the aforementioned documents to the Grantor electronically, the information shall be sent to the Grantor at the following address:

Illinois Department of Commerce and Economic Opportunity Office of Accountability External Audit Section 500 East Monroe Street Springfield, Illinois 62701

ARTICLE XXIX ADDITIONAL MONTORING PROVISIONS

29.1. Access to Documentation. The Award will be monitored for compliance in accordance with the terms and conditions of this Agreement, together with appropriate programmatic rules, regulations, and/or guidelines that the Grantor promulgates or implements. The Grantee must permit any agent authorized by the Grantor, upon presentation of credentials, in accordance with all methods available by law, full access to and the right to examine any document, papers and records either in hard copy or electronic format, of the Grantee involving transactions relating to this Award.



Page 36 of 51

ARTICLE XXX ADDITIONAL INTEREST PROVISIONS

30.1. Penalty for Non‐Interest Bearing Account. If Grantee is required to keep Grant Funds paid in advance of the actual expenditure of funds in an interest‐bearing account pursuant to paragraph 4.6(b) of this Agreement, Grantee will be responsible for the payment of interest to Grantor at a rate equal to twelve percent (12%) per annum on any Grant Funds kept in a non‐interest bearing account, unless Grantee receives prior written approval from Grantor. Grant funds paid in reimbursement of previously paid costs may be kept in a non‐interest bearing account at the Grantee’s discretion. Exceptions to this paragraph are not permissible without prior written approval by Grantor.

30.2. Interest Earned on Grant Funds. Interest earned on Grant Funds in an amount up to $500 per year may be retained by the Grantee for administrative expenses. Any additional interest earned on Grant Funds above $500 per year must be returned to the Grantor pursuant to paragraphs 4.2 and 33.2 herein, or as otherwise instructed by the Grant Manager or as set forth in PART THREE. All interest earned must be expended prior to Grant Funds. All reporting documents should reflect the full expenditure of any interest earned. Any unspent Grant Funds or earned interest unspent must be returned as Grant Funds to the Department as described in paragraphs 4.2 and 33.2 herein. All interest earned on Grant Funds must be accounted for and reported to the Grantor as provided in Article XIII herein. If applicable, the Grantor will remit interest earned and returned by Grantee to the U.S. Department of Health and Human Services Payment Management System through the process set forth at 2 CFR 200.305(b)(9), or as otherwise directed by the federal awarding agency. The provisions of this paragraph 30.2 are inapplicable to the extent any statute or rule provides for different treatment of interest income. Any provision that deviates from this paragraph is set forth in PART THREE.

ARTICLE XXXI ADDITIONAL BUDGET PROVISIONS

31.1. Restrictions on Discretionary Line Item Transfers. Unless set forth otherwise in PART THREE

herein, Budget line item transfers within the guidelines set forth in paragraph 6.3 herein, which would not ordinarily require approval from Grantor, but vary more than ten percent (10%) of the current approved Budget line item amount, are considered changes in the project scope and require Prior Approval from Grantor pursuant to 2 CFR 200.308.

ARTICLE XXXII

ADDITIONAL REPRESENTATIONS AND WARRANTIES

32.1. Grantee Representations and Warranties. In connection with the execution and delivery of this Agreement, the Grantee makes the following representations and warranties to Grantor:

(a) That it has no public or private interest, direct or indirect, and shall not acquire, directly or indirectly any such interest which does or may conflict in any manner with the performance of the Grantee’s services and obligations under this Agreement;

(b) That no member of any governing body or any officer, agent or employee of the State, has a personal financial or economic interest directly in this Agreement, or any compensation to be paid hereunder except as may be permitted by applicable statute, regulation or ordinance;

(c) That there is no action, suit or proceeding at law or in equity pending, nor to the best of Grantee’s knowledge, threatened, against or affecting the Grantee, before any court or before any governmental or administrative agency, which will have a material adverse effect on the performance required by this Agreement;



Page 37 of 51

(d) That to the best of the Grantee’s knowledge and belief, the Grantee, its principals and key project personnel:

(i) Are not presently declared ineligible or voluntarily excluded from contracting with any Federal or State department or agency;

(ii) Have not, within a three (3)‐year period preceding this Agreement, been convicted of any felony; been convicted of a criminal offense in connection with obtaining, attempting to obtain, or performing a public (Federal, State, or local) transaction or contract under a public transaction; had a civil judgment rendered against them for commission of fraud; been found in violation of Federal or State antitrust statutes; or been convicted of embezzlement, theft, larceny, forgery, bribery, falsification or destruction of records, making a false statement, or receiving stolen property;

(iii) Are not presently indicted for, or otherwise criminally or civilly charged, by a government entity (Federal, State or local) with commission of any of the offenses enumerated in sub‐paragraph (ii) of this certification; and

(iv) Have not had, within a three (3)‐year period preceding this Agreement, any judgment rendered in an administrative, civil or criminal matter against the Grantee, or any entity associated with its principals or key personnel, related to a grant issued by any Federal or State agency or a local government.

Any request for an exception to the provisions of this paragraph 32.1(d) must be made in writing, listing the name of the individual, home address, type of conviction and date of conviction; and

(e) Grantee certifies that it is not currently operating under, or subject to, any cease and desist order, or subject to any informal or formal regulatory action, and, to the best of Grantee’s knowledge, that it is not currently the subject of any investigation by any state or federal regulatory, law enforcement or legal authority. Should it become the subject of an investigation by any state or federal regulatory, law enforcement or legal authority, Grantee shall promptly notify Grantor of any such investigation. Grantee acknowledges that should it later be subject to a cease and desist order, Memorandum of Understanding, or found in violation pursuant to any regulatory action or any court action or proceeding before any administrative agency, that Grantor is authorized to declare Grantee out of compliance with this Agreement and suspend or terminate the Agreement pursuant to Article XVI herein and any applicable rules.

ARTICLE XXXIII

ADDITIONAL TERMINATION, SUSPENSION AND NON‐COMPLIANCE PROVISIONS

33.1. Remedies for Non‐Compliance. If Grantor suspends or terminates this Agreement pursuant to Article XVI herein, Grantor may also elect any additional remedy allowed by law, including, but not limited to, one or more of the following remedies:

(a) Direct the Grantee to refund some or all of the Grant Funds disbursed to it under this Agreement;

(b) Direct the Grantee to remit an amount equivalent to the “Net Salvage Value” of all equipment or materials purchased with Grant Funds provided under this Agreement. For purposes of this Agreement, “Net Salvage Value” is defined as the amount realized, or that the Parties agree is likely to be realized from, the sale of equipment or materials purchased with Grant Funds provided under this Agreement at its current fair market value, less selling expenses; and



Page 38 of 51

(c) Direct the Grantee to transfer ownership of equipment or materials purchased with Grant Funds provided under this Agreement to the Grantor or its designee.

33.2. Grant Refunds. In accordance with the Illinois Grant Funds Recovery Act, 30 ILCS 705/1 et seq., the Grantee must, within forty‐five (45) days of the effective date of a termination of this Agreement, refund to Grantor, any balance of Grant Funds not spent or not obligated as of said date.

33.3 Grant Funds Recovery Procedures. In the event that Grantor seeks to recover from Grantee funds received pursuant to this Award that: (i) Grantee cannot demonstrate were properly spent, or (ii) have not been expended or legally obligated by the time of expiration or termination of this Award, the Parties agree to follow the procedures set forth in the Illinois Grant Funds Recovery Act, 30 ILCS 705/1 et seq. (GFRA), for the recovery of grant funds, including the informal and formal hearing requirements. All remedies available in Section 6 of the GFRA shall apply to these proceedings. The Parties agree that Grantor’s Administrative Hearing Rules (56 Ill. Admin. Code Part 2605) shall govern these proceedings.

33.4 Grantee Responsibility. Grantee shall be held responsible for the expenditure of all funds received

through this Award, whether expended by Grantee or a subrecipient or contractor of Grantee. Grantor may seek any remedies against Grantee permitted pursuant to this Agreement and 2 CFR 200.338 for the action of a subrecipient or contractor of Grantee that is not in compliance with the applicable statutes, regulations or the terms and conditions of this Award.

ARTICLE XXXIV ADDITIONAL MODIFICATION PROVISIONS

34.1. Modifications by Operation of Law. This Agreement is subject to such modifications as the Grantor determines, in its sole discretion, may be required by changes in Federal or State law or regulations applicable to this Agreement. Grantor shall initiate such modifications, and Grantee shall be required to agree to the modification in writing as a condition of continuing the Grant. Any such required modification shall be incorporated into and become part of this Agreement as if fully set forth herein. The Grantor shall timely notify the Grantee of any pending implementation of or proposed amendment to such regulations of which it has notice.

34.2. Discretionary Modifications. If either the Grantor or the Grantee wishes to modify the terms of this Agreement other than as set forth in Articles V and VI and paragraphs 34.1 and 34.3, written notice of the proposed modification must be given to the other party. Modifications will only take effect when agreed to in writing by both the Grantor and the Grantee. However, if the Grantor notifies the Grantee in writing of a proposed modification, and the Grantee fails to respond to that notification, in writing, within thirty (30) days, the proposed modification will be deemed to have been approved by the Grantee. In making an objection to the proposed modification, the Grantee shall specify the reasons for the objection and the Grantor shall consider those objections when evaluating whether to follow through with the proposed modification. The Grantor’s notice to the Grantee shall contain the Grantee name, Grant number, modification number and purpose of the revision. If the Grantee seeks any modification to the Agreement, the Grantee shall submit a detailed narrative explaining why the Project cannot be completed in accordance with the terms of the Agreement and how the requested modification will ensure completion of the Grant Activities, Deliverables, Milestones and/or Performance Measures (Exhibits A, B and E).

34.3. Unilateral Modifications. The Parties agree that Grantor may, in its sole discretion, unilaterally modify this Agreement without prior approval of the Grantee when the modification is initiated by Grantor for the sole purpose of increasing the Grantee’s funding allocation as additional funds become available for the Award during the program year covered by the term of this Agreement.

34.4. Management Waiver. The Parties agree that the Grantor may issue a waiver of specific requirements of this Agreement after the term of the Agreement has expired. These waivers are limited to non‐ material changes to specific grant terms that the Grantor determines are necessary to place the Grantee in



Page 39 of 51

administrative compliance with the terms of this Agreement. A management waiver issued after the term of the Agreement has expired will supersede the original requirements of this Agreement that would normally require a modification of this Agreement to be executed. The Grantor will make no modifications of this Agreement not agreed to prior to the expiration of the Agreement beyond what is specifically set forth in this section.

34.5. Term Extensions. The Grantee acknowledges that all Grant Funds must be expended or legally

obligated, and all Grant Activities, Deliverables, Milestones and Performance Measures (Exhibits A, B and E) must be completed during the Grant Term set forth in paragraph 1.4 herein. Extensions of the Grant Term will be granted only for good cause, and only in increments of six (6) months, subject to the Grantor’s discretion. Pursuant to the Grant Funds Recovery Act (30 ILCS 705/1 et seq.), no Award may be extended in total beyond a two (2)‐year period unless the Grant Funds are expended or legally obligated during that initial two‐year period, or unless Grant Funds are disbursed for reimbursement of costs previously incurred by the Grantee. If Grantee requires an extension of the Grant Term, Grantee should submit a written request to the Grant Manager at least sixty (60) days prior to the end of the Grant Term or extended Grant Term, as applicable, stating the reason for the extension.

ARTICLE XXXV

ADDITIONAL CONFLICT OF INTEREST PROVISIONS

35.1. Bonus or Commission Prohibited. The Grantee shall not pay any bonus or commission for the purpose of obtaining the Grant Funds awarded under this Agreement.

35.2. Hiring State Employees Prohibited. No State officer or employee may be hired to perform services under this Agreement on behalf of Grantee, or be paid with Grant Funds derived directly or indirectly through this Award without the written approval of the Grantor.

ARTICLE XXXVI

ADDITIONAL EQUIPMENT OR PROPERTY PROVISIONS

36.1. Equipment Management. The Grantee is responsible for replacing or repairing equipment and materials purchased with Grant Funds that are lost, stolen, damaged, or destroyed. Any loss, damage or theft of equipment and materials shall be investigated and fully documented, and immediately reported to the Grantor and, where appropriate, the appropriate authorities.

ARTICLE XXXVII

APPLICABLE STATUTES

To the extent applicable, Grantor and Grantee shall comply with the following:

37.1. Grantee Responsibility. All applicable Federal, State and local laws, rules and regulations governing the performance required by Grantee shall apply to this Agreement and will be deemed to be included in this Agreement the same as though written herein in full. Grantee is responsible for ensuring compliance with all applicable laws, rules and regulations, including, but not limited to those specifically referenced herein. Except where expressly required by applicable laws and regulations, the Grantor shall not be responsible for monitoring Grantee's compliance.

37.2. Land Trust/Beneficial Interest Disclosure Act (765 ILCS 405/2.1). No Grant Funds shall be paid to any trustee of a land trust, or any beneficiary or beneficiaries of a land trust, for any purpose relating to the land, which is the subject of such trust, any interest in such land, improvements to such land or use of such land unless an affidavit is first filed with the Grantor identifying each beneficiary of the land trust by name and address and defining such interest therein.



Page 40 of 51

37.3. Historic Preservation Act (20 ILCS 3420/1 et seq.). The Grantee will not expend Grant Funds under this Agreement which result in the destruction, alteration, renovation, transfer or sale, or utilization of a historic property, structure or structures, or in the introduction of visual, audible or atmospheric elements to a historic property, structure or structures, which will result in the change in the character or use of any historic property, except as approved by the Illinois Historic Preservation Agency. The Grantee shall not expend Grant Funds under this Agreement for any project, activity, or program that can result in changes in the character or use of historic property, if any historic property is located in the area of potential effects without the approval of the Illinois Historic Preservation Agency. 20 ILCS 3420/3(f).

37.4. Victims Economic Security and Safety Act (820 ILCS 180 et seq.). If the Grantee has 50 or more employees, it may not discharge or discriminate against an employee who is a victim of domestic violence, or who has a family or household member who is a victim of domestic violence, for taking up to a total of twelve (12) work weeks of leave from work during any twelve (12) month period to address the domestic violence, pursuant to the Victims Economic Security and Safety Act. The Grantee is not required to provide paid leave under the Victims Economic Security and Safety Act, but may not suspend group health plan benefits during the leave period. Any failure on behalf of the Grantee to comply with all applicable provisions of the Victims Economic Security and Safety Act, or applicable rules and regulations promulgated thereunder, may result in a determination that the Grantee is ineligible for future contracts or subcontracts with the State of Illinois or any of its political subdivisions or municipal corporations, and this Agreement may be cancelled or voided in whole or in part, and such other sanctions or penalties may be imposed or remedies invoked, as provided by Statute or regulation.

37.5. Equal Pay Act of 2003 (820 ILCS 112 et seq.). If the Grantee has four (4) or more employees, it is prohibited by the Equal Pay Act of 2003 from paying unequal wages to men and women for doing the same or substantially similar work. Further, the Grantee is prohibited by the Equal Pay Act of 2003 from remedying violations of the Act by reducing the wages of other employees or discriminating against any employee exercising his/her rights under this Act. Any failure on behalf of the Grantee to comply with all applicable provisions of the Equal Pay Act of 2003, or applicable rules and regulations promulgated thereunder, may result in a determination that the Grantee is ineligible for future contracts or subcontracts with the State of Illinois or any of its political subdivisions or municipal corporations, and this Agreement may be cancelled or voided in whole or in part, and such other sanctions or penalties may be imposed or remedies invoked, as provided by Statute or regulation.

37.6. Steel Products Procurement Act (30 ILCS 565 et seq.). The Grantee, if applicable, hereby certifies that any steel products used or supplied in accordance with this Award for a public works project shall be manufactured or produced in the United States per the requirements of the Steel Products Procurement Act (30 ILCS 565 et seq.).

37.7. Minorities, Females, and Persons with Disabilities Act and Illinois Human Rights Act (30 ILCS 575/0.01; 775 ILCS 5/2‐105). The Grantee acknowledges and hereby certifies compliance with the provisions of the Business Enterprise for Minorities, Females, and Persons with Disabilities Act, and the equal employment practices of Section 2‐105 of the Illinois Human Rights Act for the provision of services which are directly related to the Grant Activities to be performed under this Agreement.

37.8. Identity Protection Act (5 ILCS/179 et seq.) and Personal Information Protection Act (815 ILCS 530 et seq.). The Grantor is committed to protecting the privacy of its vendors, grantees and beneficiaries of programs and services. At times, the Grantor will request social security numbers or other personal identifying information. Federal and state laws, rules and regulations require the collection of this information for certain purposes relating to employment and/or payments for goods and services, including, but not limited to, Awards. The Grantor also collects confidential information for oversight and monitoring purposes.

Furnishing personal identity information, such as a social security number, is voluntary; however, failure to provide required personal identity information may prevent an individual or organization from using the services/benefits provided by the Grantor as a result of state or federal laws, rules and regulations.



Page 41 of 51

ARTICLE XXXVIII ADDITIONAL MISCELLANEOUS PROVISIONS

38.1. Workers’ Compensation Insurance, Social Security, Retirement and Health Insurance Benefits, and Taxes. The Grantee shall provide Workers’ Compensation insurance where the same is required and shall accept full responsibility for the payment of unemployment insurance, premiums for Workers’ Compensation, Social Security and retirement and health insurance benefits, as well as all income tax deduction and any other taxes or payroll deductions required by law for its employees who are performing services specified by this Agreement.

38.2. Required Notice. Grantee agrees to give prompt notice to the Grantor of any event that may materially affect the performance required under this Agreement. Any notice or final decision by Grantor relating to (i) a Termination or Suspension (Article XVI), (b) Modifications, Management Waivers or Term Extensions (Article XXXIV) or (c) Assignments (paragraph 26.4) must be executed by the Director of the Grantor or her or his authorized designee.

38.3 Completion of Specific Conditions. If there are specific conditions required by this Award pursuant

to 2 CFR 200.207 and paragraph 5.3 herein, once Grantee completes a specific condition, Grantor shall document the completion and notify the Grantee in writing. A formal modification to this Agreement pursuant to paragraph 26.5 and Article XXXIV is not required.

ARTICLE XXXIX ADDITIONAL REQUIRED CERTIFICATIONS

The Grantee makes the following certifications as a condition of this Agreement. These certifications are

required by State statute and are in addition to any certifications required by any Federal funding source as set forth in this Agreement. Grantee’s execution of this Agreement shall serve as its attestation that the certifications made herein are true and correct.

39.1. Compliance With Applicable Law. The Grantee certifies that it shall comply with all applicable provisions of Federal, State and local law in the performance of its obligations pursuant to this Agreement.

39.2. Sexual Harassment. The Grantee certifies that it has written sexual harassment policies that shall include, at a minimum, the following information: (i) the illegality of sexual harassment; (ii) the definition of sexual harassment under State law; (iii) a description of sexual harassment, utilizing examples; (iv) the Grantee’s internal complaint process including penalties; (v) the legal recourse, investigative and complaint process available through the Department of Human Rights and the Human Rights Commission; (vi) directions on how to contact the Department of Human Rights and the Human Rights Commission; and (vii) protection against retaliation as provided by Section 6‐101 of the Illinois Human Rights Act (775 ILCS 5/2‐105(A)(4)). A copy of the policies shall be provided to the Grantor upon request.

39.3. Federal, State and Local Laws; Tax Liabilities; State Agency Delinquencies. The Grantee is required to comply with all federal, state and local laws, including but not limited to the filing of any and all applicable tax returns. In the event that a Grantee is delinquent in filing and/or paying any federal, state and/or local taxes, the Grantor shall disburse Grant Funds only if the Grantee enters into an installment payment agreement with said tax authority and remains in good standing therewith. Grantee is required to tender a copy of any such installment payment agreement to the Grantor. In no event may Grantee utilize Grant Funds to discharge outstanding tax liabilities or other debts owed to any governmental unit. The execution of this Agreement by the Grantee is its certification that (i) it is current as to the filing and payment of any federal, state and/or local taxes applicable to Grantee; and (ii) it is not delinquent in its payment of moneys owed to any federal, state, or local unit of government.



Page 42 of 51

39.4. Lien Waivers. If applicable, the Grantee shall monitor construction to assure that necessary contractor’s affidavits and waivers of mechanics liens are obtained prior to release of Grant Funds to contractors and subcontractors.



Page 43 of 51

PART THREE – THE PROJECT‐SPECIFIC TERMS

In addition to the uniform requirements in PART ONE and the Grantor‐Specific Terms in PART TWO, the Grantor has the following additional requirements for this Project:

ARTICLE XL REPORT DELIVERABLE SCHEDULE

40.1. External Audit Reports. External Audit Reports may be required. Refer to Article XV of this Agreement to determine whether you are required to submit an External Audit Report and the applicable due date.

40.2. Annual Financial Reports. Annual Financial Reports may be required. Refer to paragraph 13.3(a) of this Agreement to determine whether you are required to submit Annual Financial Reports.

40.3. Changes to Reporting Schedule. Changes to the schedules for periodic reporting, the external

audit reports and the annual financial reports do not require a formal modification to this Agreement pursuant to paragraph 26.5 and Article XXXIV, and may be changed unilaterally by the Grantor if necessitated by a change in the project schedule or at the discretion of the Grantor. The Grantee may not modify the reporting deliverable schedules in Articles XIII, XIV, XV and XL unilaterally, and must obtain prior written approval from Grantor to change any reporting deadlines.

In addition, the following articles are originating grant specific terms and conditions. These terms and conditions are exhibited hereafter.

ARTICLE XLI GRANT‐SPECIFIC TERMS/CONDITIONS

41.1. Program Objective. Funding under this Award is to meet one or more of the following national objectives as required by Section 104(b)(3) of the US Housing and Community Development Act of 1974 (42 USC § 5301 ‐ 5320). The national objectives include: 1) Benefiting low and moderate‐income persons; 2) Aiding in the prevention or elimination of slums and/or blight; 3) Expanding economic opportunities; or 4) Meeting other community development needs that pose a serious and immediate threat to the health and welfare of the community (urgent need). Correspondingly, the State has established the following specific objectives for the Community Development Assistance Program (“CDAP”), which include: 1) Strengthening community economic development through the creation of jobs, stimulation of private investment, and strengthening of the tax base; 2) Alleviation of economic distress and realizing community economic development opportunities of benefit for low and moderate‐income individuals; 3) Improvement of public infrastructure and elimination of conditions which are detrimental to health, safety, and public welfare; 4) Conservation and expansion of the State’s housing stock in order to provide a decent home and suitable living environment for persons of low and moderate‐income and persons with disabilities. 47 Ill Admin. Code 110.40. The primary objective/scope of work for this Award is identified in Exhibit A hereof. For carrying out the program objectives as described in the Project Description (Exhibit A), the total compensation and reimbursement payable by the Grantor to the Grantee shall not exceed the amount specified in this Agreement. The Grantor shall distribute/pay the total amount of the grant Award to the Grantee and the Grantee agrees to perform the Project Description in compliance with the Budget, the Project Description (Exhibit A), the Uniform Administrative Requirements for Grants and Cooperative Agreements to State,



Page 44 of 51

Local and Federally Recognized Indian Tribal Governments (24 CFR 85.1 et seq.), the federal regulations for the Community Development Block Grants (24 CFR 570 et seq.), and the Illinois Administrative Rules ( 47 Ill Admin. Code 110). The Grant Funds shall be expended only for project costs that are necessary to complete the program objectives and which are eligible under and meet the provisions of 2 CFR 200. he Grantor is authorized to award these Grant Funds by implementing Sections 605‐940 and 605‐945 of the Civil Administrative Code of Illinois [20 ILCS 605/605‐940 and 605‐945], which is authorized by Title I of the Housing and Community Development Act of 1974, as amended (42 USC § 5301 ‐ 5320).

41.2. Monitoring and Evaluation. The Grantor will monitor and evaluate the Award made to the Grantee under this program. Throughout the program year, the Grantor will periodically monitor the Award for programmatic and fiscal compliance under the CDAP Illinois Administrative Rules (47 Ill. Admin. Code 110), federal regulations, and as well as the policies and guidelines contained in the CDAP Grants Management Handbook. The Award will also be subject to monitoring and evaluation by the U. S. Department of Housing and Urban Development.

41.3. Grant Impact. The Award will be evaluated to determine its impact upon the low‐and‐moderate income residents of the community and for the effective and efficient utilization of CDAP funds. Evaluations will occur both during the operation of the Award and upon its completion.

41.4. Audits, Inspections and Record Retention. The Grantee will as often as deemed necessary by the Grantor or the Comptroller of the State of Illinois, or the U. S. Department of Housing and Urban Development, or the Comptroller General of the United States, or any of their duly authorized representatives, permit the Grantor, or the Comptroller of the State of Illinois, or the U. S. Department of Housing and Urban Development, or Comptroller General of the United States, or any of their duly authorized representatives to have full access to, and the right to examine, any pertinent books, documents, papers and records of the Grantee involving transactions related to this Award. The Grantee shall include in all of its contracts under this Award a provision that the Grantor or the Comptroller of the State of Illinois, or the U. S. Department of Housing and Urban Development, or the Comptroller General of the United States, or any of their duly authorized representatives will have full access to and the right to examine any pertinent books, documents, papers and records of any such contractor involving transactions related to the contract. The Grantee is accountable for all Grant Funds received under this Agreement and shall maintain, for a minimum of four (4) years following written approval from the Grantee that all disbursements of grant funds have been reviewed, considered adequate and closed by the Grantor. The Grantee is accountable for all Grant Funds received under this Agreement and shall maintain all records as set forth in subparagraphs 41.4.(a) through 41.4.(g), below, for a minimum of five (5) years following written approval from the Grantor that all disbursements of Grant Funds have been reviewed, considered adequate and closed by the Grantor. Accordingly, the three‐year records retention requirement in paragraph 12.1 is inapplicable. Such records to be maintained shall include but not be limited to: (a) Records providing a full description of each activity undertaken; (b) Records demonstrating that each activity undertaken meets one of the national objectives of the CDBG program; (c) Records required to determine the eligibility of activities;

(d) Records required to document the acquisition, improvement, use or disposition of real property acquired or improved with CDBG assistance; (e) Records documenting compliance with the fair housing and equal opportunity components of the CDBG program; (f) Financial records as required by 24 CFR 570.502 and 24 CFR 84.21−28; and



Page 45 of 51

(g) Other records necessary to document compliance with Subpart K of 24 CFR Part 570.

41.5. Interest of Public Officials and Employees. The Grantee and grant administrator shall comply with the procurement standards (24 CFR 85.36) and the conflict of interest provisions (24 CFR 570.489(h)). These standards are broader than those set forth in paragraph 21.2.

41.6. Equipment. The Grantee retains title to all equipment or nonexpendable personal property purchased with Grant Funds for program operation, subject to the following: for items of nonexpendable personal property having a unit acquisition cost of $1,000 or more, the Grantor may reserve the right to transfer the title to the Grantor or to a third party named by it. The disposition rules for equipment no longer needed are as follows: 1) if the cost of the property is less than $1,000, the Grantee may sell or retain it, without compensation to the Grantor; 2) if the property costs $1,000 or more, the Grantee may either a) keep it, and pay the Grantor its share of the market value, or b) request disposition instructions from the Grantor. If the Grantee is instructed to ship the equipment elsewhere, the Grantee shall be reimbursed by the Grantor for the non‐Federal share of the market value, plus shipping costs. If the Grantee is instructed to otherwise dispose of the equipment, the Grantee will be reimbursed by the Grantor for such costs incurred in the disposition.

41.7. Consultant Activities. No person providing consultant services in an employer‐employee type of relationship shall receive more than a reasonable rate of compensation for personal services paid with Community Development Block Grant funds. In no event, however, shall such compensation exceed the equivalent of the daily rate paid for Level IV of the Executive Schedule (24 CFR 570.200(d)(1)). Such services shall be evidenced by written agreements between the parties which detail the responsibilities, standards, and compensation. Consultant services provided under an independent contractor relationship are governed by the procurement standards found in 24 CFR 85.36, and are not subject to the compensation limitation of Level IV of the Executive Schedule (24 CFR 570.200(d)(2)).

41.8. Interest on Grant Funds. In accordance with 24 CFR 570.489(c)(2), interest earned by units of local government on grant funds before disbursement of the funds for activities is not program income and must be returned to the Department for transfer to the Treasury. Grantees are NOT permitted to retain up to $500 in interest for administrative purposes as set forth in paragraph 30.2.

41.9. Federal Lobbying Restrictions. The Grantee acknowledges and agrees that receipt of funds under this Agreement requires compliance with Section 319 of Public Law 101‐121 (31 U.S.C.A. 1352) regarding the certification and disclosure of lobbying activities with the Federal Government and agrees to comply with those provisions, and all Federal rules promulgated by the Federal Grantor which is the funding source for implementation for the Federal program; and will require that this assurance of compliance with Federal lobbying restrictions is part of any agreement with all subrecipients. Grantee's acknowledgment and certification of the same is evidenced by execution this Agreement.

41.10. Interagency Wetland Policy Act. The Grantee certifies that the proposed project is compatible with established State policy regarding wetlands, pursuant to the Interagency Wetland Policy Act of 1989. The Grantee acknowledges that the Illinois Department of Natural Resources may, from time to time, monitor the proposed project to ensure continued compliance with the aforementioned Act. In the event that the project does not remain in compliance with the Act, such noncompliance shall constitute a breach of this Agreement, and failure to cure the breach within 60 days after notice thereof will result in the termination of this Agreement.

41.11. Official Action. The Grantee certifies that with respect to the Agreement that its governing body has duly adopted or passed as an official act, resolution, motion or similar action authorizing the filing of the application, including all understandings and assurances contained therein, and directing and authorizing the person identified as the official representative of the Grantee to act in connection with the application and to provide such additional information as may be required.

(a) The Grantee certifies that with respect to the Agreement it:

(i) Has provided citizens with an opportunity to participate in the determination of priorities in community development and housing needs;



Page 46 of 51

(ii) Has provided adequate notices of public hearing(s) as required by the program;

(iii) Has held hearing(s) on the proposed application before adoption of a resolution or similar action by the local governing body authorizing the filing of the application;

(iv) Will provide for citizen participation when considering major program amendments to the Community Development Assistance Program; and

(v) Will provide for citizen participation in the planning, implementation, and assessment of the Community Development Assistance Program, including the development of the Grantee Evaluation Report and the submission of views to the Grantor.

(b) The Grantee certifies that it:

(i) Consents to cooperate with the Grantor in complying with the provisions of the National Environmental Policy Act of 1969, insofar as the provisions of such Act apply to 24 CFR 570.604;

(ii) Is authorized and consents on behalf of the Grantee to accept the jurisdiction of the State and Federal courts for the purpose of enforcement of these responsibilities regarding environmental clearances of local projects.

41.12. The Community Development Assistance Program has been developed so as to give maximum feasible priority to activities which will benefit low‐and‐moderate income families or aid in the prevention or elimination of slums or blight. The requirement for this certification will not preclude the Grantor from approving an application where the applicant certifies, and the Grantor determines, that all or part of the Community Development Assistance Program activities are designed to meet other community development needs having a particular urgency as specifically explained in the application in accordance with 24 CFR 570.303 and 24 CFR 91.1 et seq.

41.13. The Grantee shall comply with the regulations, policies, guidelines and requirements of 24 CFR 85.1 et seq., and 2 CFR 200 as they relate to the application, acceptance, and use of Federal funds under this Part.

41.14. The Grantee shall administer and enforce the labor standards requirements set forth in 24 CFR 570.603 and HUD regulations issued to implement such requirements.

41.15. The Grantee shall comply with all requirements imposed by HUD concerning special requirements of law, program requirements, and other administrative requirements.

41.16. The Grantee shall comply with the provisions of Executive Order 11988, relating to evaluation of flood hazards and Executive Order 11507 relating to the prevention, control, and abatement of water pollution. 24 CFR 570.605.

41.17. The Grantee shall require every building or facility (other than a privately owned residential structure) designed, constructed, or altered with Grant Funds provided under this Agreement to comply with the "American Standard Specifications for Making Buildings and Facilities Accessible to, and Usable by, the Physically Handicapped," Number A‐117.1P 1971, subject to the exceptions contained in 41 CFR 101‐19.604. The Grantee will be responsible for conducting inspections to insure compliance with these specifications by the contractor.

41.18. The Grantee shall comply with:



Page 47 of 51

(a) Title VI of the Civil Rights Act of 1964 (P.L. 88‐352), and the regulations issued pursuant thereto (24 CFR 1.1 et seq.), which provides that no person in the United States shall, on the grounds of race, color, or national origin, be excluded from participation in, be denied the benefits of, or be otherwise subjected to discrimination under any program or activity for which the Grantee receives Federal financial assistance, and will immediately take any measures necessary to effectuate this assurance. If any real property or structure thereon is provided or improved with the aid of Federal financial assistance extended to the Grantee, this assurance shall obligate the Grantee, or in the case of any transfer of such property, any transferee, for the period during which the real property or structure is used for a purpose for which the Federal financial assistance is extended, or for another purpose involving the provision of similar services or benefits.

(b) Title VIII of the Civil Rights Act of 1968 (P.L. 90‐283), as amended, administering all programs and activities relating to housing and community development in a manner to affirmatively further fair housing; and will take action to affirmatively further fair housing in the sale or rental of housing, the financing of housing, and the provision of brokerage services.

(c) Section 109 of the Housing and Community Development Act of 1974, and the regulations issued pursuant thereto (24 CFR 570.602), which provides that no person in the United States shall, on the grounds of race, color, national origin, or sex, be excluded from participation in, be denied the benefits of, or be subjected to discrimination under any program or activity funded in whole or in part with funds provided under this Part.

(d) Executive Order 11063 on equal opportunity in housing and non‐discrimination in the sale or rental of housing built with Federal assistance.

(e) Executive Order 11246, and the regulations issued pursuant thereto ( 41 CFR 60‐1.1), which provides that no person shall be discriminated against on the basis of race, color, religion, sex or national origin in all phases of employment during the performance of Federal or federally assisted construction contracts; shall take affirmative action to insure fair treatment in employment, upgrading, demotion, or transfer; recruitment or recruitment advertising; layoff or termination, rates of pay or other forms of compensation and selection for training and apprenticeship.

41.19. Any contract or subcontract awarded by a recipient, subrecipient or contractor shall include the following clause (referred to as the "Section 3" clause):

(a) The work to be performed under this contract is subject to the requirements of Section 3 of the Housing and Urban Development Act of 1968, as amended, 12 U.S.C. 1701(u) ("Section 3"). The purpose of Section 3 is to ensure that employment and other economic opportunities generated by HUD assistance or HUD‐assisted projects covered by Section 3, shall, to the greatest extent feasible, be directed to low‐and‐moderate income persons, particularly persons who are recipients of HUD assistance for housing.

(b) The parties to this Agreement shall comply with HUD's federal regulations, which implement Section 3. The parties to this Agreement will certify that they are under no contractual or other impediment that would prevent them from complying with 24 CFR 135.1 et seq.

(c) The Grantee agrees that Grantee or Grantee’s subcontractors shall send to each labor organization or representative of workers with which the contractor has a collective bargaining agreement or other understanding, if any, a notice advising the labor organization or workers' representative of the contractor's commitments under this Section 3 clause, and will post copies



Page 48 of 51

of the notice in conspicuous places at the work site where both employees and applicants for training and employment can see the notice. 24 CFR 135.38(c).

The notice shall describe the Section 3 preference, shall set forth minimum number of job titles subject to hire, availability of apprenticeship and training positions, and the qualifications for each; the name and location of the person(s) taking applications for each of the positions; and the anticipated date the work shall begin. 24 CFR 135.38(c).

(d) The Grantee shall require that every contractor include this Section 3 clause in every subcontract subject to compliance with 24 CFR 135, and shall require every contractor to take appropriate action as provided in an applicable provision of the subcontract or in this Section 3 clause, upon a finding that the subcontractor is in violation of these regulations. The Grantee shall require that the contractor not enter into a subcontract with any subcontractor where the contractor has notice or knowledge that the subcontractor has been found in violation of the regulations in 24 CFR 135.38(d).

(e) The Grantee’s contractors will certify that any vacant employment positions, including training positions, that are filled (1) after the contractor is selected but before the contract is executed, and (2) with persons other than those of whom the regulations require employment opportunities to be directed, were not filled to circumvent the contractor's obligations under 24 CFR 135.38(e).

(f) Noncompliance with HUD's regulations may result in termination of this Agreement for default or suspension from future HUD assisted contracts. 24 CFR 135.38(f).

(g) With respect to work performed in connection with Section 3 covered Indian housing assistance, Section 7(b) of the Indian Self‐Determination and Education Assistance Act (25 U.S.C. 450(e)) also applies to the work to be performed under this Agreement. Section 7(b) requires that to the greatest extent feasible (i) preference and opportunities for training and employment shall be given to Indians, and (ii) preference in the award of contracts and subcontracts shall be given to Indian organizations and Indian‐owned Economic Enterprises. Parties to this Agreement that are subject to the provisions of Section 3 and Section 7(b) agree to comply with Section 3 to the maximum extent feasible, but not in derogation of compliance with Section 7(b). 24 CFR 135.38(g).

41.20. The Grantee shall cause or require to be inserted in full or any contract and subcontract for work, or modification thereof, all applicable Federal Equal Employment Opportunity provisions.

41.21. The Grantee shall:

(a) To the greatest extent practicable under State law, comply with Sections 301 and 302 of Title III (Uniform Real Property Acquisition Policy) of the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 Sections 303 and 304 of Title III, and HUD implementing instructions at 24 CFR Part 42.1 et seq.; and,

(b) Inform affected persons of their rights and of the acquisition policies and procedures set forth in the regulations at 24 CFR 42.1 et seq. and 24 CFR 570.606.

41.22. The Grantee shall:

(a) Comply with Title II (Uniform Relocation Assistance) of the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 and HUD implementing regulations found at 24 CFR 42 and 24 CFR 570.606;



Page 49 of 51

(b) Provide relocation payments and offer relocation assistance as described in Section 205 of the Uniform Relocation Assistance Act to all persons displaced as a result of acquisition of real property for an activity assisted under the Community Development Assistance Program. Such payments and assistance shall be provided in a fair and consistent and equitable manner that insures that the relocation process does not result in different or separate treatment of such persons on account of race, color, national origin, sex, or source of income;

(c) Assure that, within a reasonable period of time prior to displacement, comparable decent, safe and sanitary replacement dwellings will be available to all displaced families and individuals and that the range of choices available to such persons will not vary on account of their race, color, religion, national origin, sex, or source of income; and

(d) Inform affected persons of the relocation assistance, policies and procedures set forth in the regulations at 24 CFR 42 and 24 CFR 570.606.

41.23. The Grantee will comply with the provisions of the Hatch Act and any other Federal and State legislation which limits the political activity of employees.

41.24. The Grantee agrees that no funds granted hereunder shall be used for any partisan or nonpartisan political activity or to further the election or defeat of any candidate for public office, nor shall they be used in any activity to provide voters or prospective voters with transportation to the polls or similar assistance in connection with any election or in any voter registration activity.

41.25. The Grantee will insure that the facilities under its ownership, lease or supervision which shall be utilized in the accomplishment of the program are not listed on the Environmental Protection Agency's (“EPA”) list of Violating Facilities and that it will notify HUD of the receipt of any communication from the Director of the EPA Office of Federal Activities indicating that a facility to be used in the project is under consideration for listing by the EPA.

41.26. The Grantee will comply with the flood insurance purchase requirements of Section 102(9) of the Flood Disaster Protection Act of 1973, P.L. 93‐234, 87 Stat. 975, approved December 31, 1973. Section 102(a) required, on or after March 2, 1974, the purchase of flood insurance in communities where such insurance is available as a condition for the receipt of any Federal financial assistance for construction or acquisition purposes for use in any area that has been identified by the Secretary of the Department of Housing and Urban Development as an area having special flood hazards. The phrase "Federal financial assistance" includes any form of loan, grant, guaranty, insurance payment, rebate subsidy, disaster assistance loan or grant, or any other form of direct or indirect Federal assistance. 24 CFR 570.605.

41.27. The Grantee will, in connection with its performance of environmental assessments under the National Environmental Policy Act of 1969, comply with Section 106 of the National Historic Preservation Act of 1966 (16 U.S.C. 470), Executive Order 11583 and the Preservation of Archeological and Historical Data Act of 1966 (16 U.S.C. 469a‐1, et seq.) by:

(a) Consulting with the State Historic Preservation Officer to identify properties listed in or eligible for inclusion in the National Register of Historic Places that are subject to adverse effects by the proposed activity 36 CFR 800.8; and,

(b) Complying with all requirements established by HUD to avoid or mitigate adverse effects upon such properties.


State of Illinois INTER‐GOVERNMENTAL GRANT AGREEMENT FISCAL YEAR 2018 / 03 15 2017

Page 50 of 51

41.28. The Grantee will conduct eligible project activities in such a manner as to fully protect prime agricultural farm land from irreversible conversion to uses which result in its loss as an environmental or essential food production resource.

41.29. The Grantee certifies that the timeframe for completing project activities outlined in this Agreement is reasonable and that these activities can be completed in the timeframe provided.

41.30. The Grantee will assure that if the project financing includes USDA Rural Development funds, the final design will be in accordance with a preliminary engineering report prepared following Guide 7 (Water) or Guide 8 (Sewer) of FmHA Instruction 1942‐A and approved by USDA Rural Development.

41.31. The Grantee will assure compliance with the HUD rule, which prohibits special assessment of any such amount against property which is owned or occupied by eligible low‐and‐moderate income persons. The most common type of assessment is a "tap‐on fee" which is a one‐time charge made as a condition of access to the public improvement. 24 CFR 570.482(b).

41.32. The Grantee will comply with Section 102 of the HUD Reform Act of 1989 which contains a number of provisions designed to ensure greater accountability and integrity. Certain grantees must disclose the other government assistance to be used with respect to the project for which the assistance is sought, the financial interests of persons in the project, and the sources and uses of funds to be made available for the project. Disclosure information will be updated as required. 24 CFR 4.1 et seq.

41.33. The Grantee will comply with all of the requirements outlined in the Local Government Certifications signed and submitted at the time of application.

41.34. The Grantee will comply with the goals listed in the Minority Benefit/Affirmative Housing Statement submitted at the time of application.

41.35. The Grantee shall perform an independent review of requests for payment and performance pursuant to the engineering services contract if the Grantee contracts with a single entity to provide both engineering and administrative services.

41.36. The Grantee certifies that it will comply with the new lead‐based paint regulations issued under Sections 1012 and 1013 of the Residential Lead‐Based Hazard Reduction Act of 1992, which is Title X of the Housing and Community Development Act of 1992 (24 CFR 35.80 et seq.), with implementation effective September 15, 2000.

41.37. The Grantee certifies that it will comply with the Illinois Underground Utility Facilities Damage Prevention Act requiring owners or operators of underground utility facilities to participate in the State‐Wide One‐ Call Notice System (JULIE ‐ Joint Utility Locating Information for Excavators). (JULIE can be reached at 618/662‐ 2118 or 815/741‐5005 or by e‐mail at [email protected].).

41.38. The Grantee will provide the necessary documentation in order for the Grantor to ensure that funding listed in the Budget as Grantee matching funds is monitored and/or reported as part of the Grantee Evaluation Report at the time of grant closeout.

41.39. The Grant Funds awarded under this Agreement is federally funded and the payment of federal prevailing wages for all construction activities funded in whole, or in part, with CDBG or other federal funds requires compliance with the Davis‐Bacon Act. Further, Grantee and its subrecipients and/or contractors and/or subcontractors will conduct procurements in a manner that prohibits the use of statutorily or administratively imposed in‐State or local geographical preferences in the evaluation of bids or proposal, except in those cases where applicable Federal statutes expressly mandate or encourage geographic preference. Nothing in this section preempts State licensing laws. When contracting for architectural and engineering (A/E) services, geographic


State of Illinois INTER‐GOVERNMENTAL GRANT AGREEMENT FISCAL YEAR 2018 / 03 15 2017

Page 51 of 51

0

location may be a selection criteria provided its application leaves an appropriate number of qualified firms, given the nature and size of the project, to compete for the contract. 24 CFR 85.36(c).

___________________________________________________________________________________________________________________________________________________________________________________________

Prepared by: KDB Page 1 of 1


JUNE 18, 2017

AGENDA ITEM: Approve quote for new MSA cylinders for SCBA’s.

SUMMARY RECOMMENDATION: The City Manager, Fire Chief, and Purchasing Agent recommend that the City Council approve a quote submitted by Grainger in the amount of $8,798.94 for the purchase of six MSA SCBA cylinders.

BACKGROUND: The Galesburg Fire Department utilizes both MSA and Scott SCBA’s (self-contained breathing apparatus) as a normal part of their operations. The cylinders must be replaced after fifteen years of service life as per the Department of Transportation. Currently, there is a group of MSA SCBA’s in need of replacement. The Fire Department has planned and budgeted for the replacement of these cylinders.

For both types of these tanks, the manufacturer makes the tanks available to specific vendors in regions. For Scott SCBA’s we only receive quotes from MES. For the MSA SCBA’s we only receive quotes from Grainger. This case would only change if the manufacturer would have a different vendor supply the product.

A quote request was presented to Grainger for supplying six MSA SCBA’s to the City. Grainger responded with a quoted price in the amount of $8,798.94. This pricing is within the anticipated cost expected by the Fire Department for this purchase.

BUDGET IMPACT: There are sufficient funds in the Fire Department budget for this purchase.

SUPPORTING DOCUMENTS: 1. Grainger Quote

18-4072

��

�� !"��#��" ��

$%&'()*(+,-.�(/��01� ��(2�� (1��01� ��(2�� (3�� 4567�89(2:(�/;<1=>?�? �� (7?/��(((=29@82@ �� 1��(�� (��"��<A��(�� (�B��"�� C�� (��"��7�� (/��(D�(��!�B!�B�E��F ��G�H�I

J

KLMNOPQ(RSTMS(UVWXM(Y(Z[\]̂ _̂ZZ]5̀aabcde6((4fgh(g4ij(gh(klkm̀nk̀ ionpoi(nkq(klkmri4srknpoi(tuvwxy(ue(c5d(z{zu|z}|b(~5�(hybvuz|(l��b�(t�5�xvde�(ld�b�(�bed�uvdu5ce(b�ued�quey|z�uc�(�(m(�(5~(�(gdbaeoucb(�� gdba x̀ed�(tz�d� j~��(j5�b|� i�y(qzdb n{zu|z}u|ud� �5x�(t�uvb �d�( 45dz|t�uvb�� 79;�/119��(?7��#��E1��.�@�E�� @�(E��@��H �E�� #��1E �B��"�� (��("�� B � (jucuaxaue(� ��"B��B� ��(��(��7�� ((8��1(�8<.(�1(@2@�7/@7<;/=;<(/@�(@2@�?<8>?@/=;<�((��(.�@>8<(.1/(17=/(79;�@�<?1�(8�<(1E<71(/?<(/1(:2;;2�1�(((��(./@>:/78>?<�(�@(��(��(�#��(E1�(!�(��(.�@>8<(7/E/7�89( 45dz|(�x5db(t�uvb6(��"B��B� ��(��(��(��

��

User:

Printed: 06/12/2018 - 3:00PM

tmiller

Transactions by Account

Batch: 00017.06.2018

Accounts Payable

Account Number Vendor AmountDescription PO NoDate

001-0000-10407-00 Amanda Jennings 05/18 Cell Allowance - AJennings 18.00 18.0005/31/2018

001-0000-10407-00 K COM Technologies, Inc Provide genetec vms software, 3 axis cameras 982.01 982.0106/12/2018

001-0000-10407-00 PJ Hoerr, Inc. Refund prepayment of permits for Knox College addition 420.00 420.0006/12/2018

001-0000-10701-00 Illinois State Bar Association 01/19-06/19 Regular Member Dues - BNolden 130.00 130.0006/12/2018

001-0000-10801-00 Yemm Ford, Inc License light #KN21 53.62 53.6205/31/2018

001-0000-10801-00 Yemm Ford, Inc Condensor #KN21 261.90 261.9005/31/2018

001-0000-10801-00 Yemm Ford, Inc License light housing #KN21 200.34 200.3405/31/2018

001-0000-10801-00 Carquest of Galesburg Oil filters 14.00 14.0005/31/2018

001-0000-10801-00 Carquest of Galesburg Disc kit axle #KN2 12.47 12.4705/31/2018

001-0000-10801-00 Napa Auto Parts Coil, spark plugs #KN6 89.86 89.8605/31/2018

001-0000-22005-00 Galesburg Transit 05/18 Advertising Receipts 784.00 784.0006/12/2018

$2,966.20Subtotal for Division: 0000

001-0105-54000-00 Wayne Allen 05/18 Internet Allowance 30.00 30.0005/31/2018

$30.00Subtotal for Division: 0105

001-0110-54000-00 Todd Thompson 05/18 Cell Allowance 36.00 36.0005/31/2018

001-0110-61000-00 Office Specialists, Inc. Paper, envelope applicator 32.54 32.5406/12/2018

001-0110-61000-00 Office Specialists, Inc. 8 tab index 29.22 29.2206/12/2018

001-0110-61000-00 Office Specialists, Inc. Paper 12.98 12.9806/12/2018


001-0115-54000-00 Kelli Bennewitz 05/18 Cell Allowance 36.00 36.0005/31/2018


001-0120-61000-00 Office Specialists, Inc. Env applicator, binders 17.41 17.4106/12/2018

001-0120-61000-00 Office Specialists, Inc. Env moistener 5.18 5.1806/12/2018

AP-Transactions by Account (06/12/2018 - 3:00 PM) Page 1

18-8011

http://ssi.NET?action=object&object=GLAccount&id=2018:001-0000-10407-00

http://ssi.NET?action=object&object=APVendor&id=JennAman


http://ssi.NET?action=object&object=APVendor&id=19180




















http://ssi.NET?action=object&object=APVendor&id=AlleWayn


http://ssi.NET?action=object&object=APVendor&id=ThomTodd








http://ssi.NET?action=object&object=APVendor&id=BennKell







001-0125-54000-00 Sylvia Rodriguez 05/18 Cell Allowance 36.00 36.0005/31/2018

001-0125-54000-00 Sue Davidson 05/18 Cell Allowance 30.00 30.0005/31/2018

001-0125-55400-00 Werner Restoraton Services, Inc. Board up - 892 E South St 211.60 211.6006/12/2018

001-0125-55400-00 Werner Restoraton Services, Inc. Board up - 437 Clark St 180.10 180.1006/12/2018


001-0145-51000-00 James M Kelly, Attorney 02/18 Legal Services 102.25 102.2506/12/2018


001-0145-51000-00 James M Kelly, Attorney 02/18 Legal Services 5,764.25 5,764.2506/12/2018





001-0145-54000-00 Bradley Nolden 05/18 Cell Allowance 36.00 36.0005/31/2018

001-0145-55000-00 Illinois State Bar Association 07/18-12/18 Regular Member Dues - BNolden 130.00 130.0006/12/2018


001-0160-59516-00 Jeffrey R Cervantez 05/18 AV Service for meetings 200.00 200.0006/12/2018

001-0160-59520-00 Imaginethat Graphics Engraving 3.00 3.0006/12/2018

001-0160-59521-00 Knox County Humane Society 07/18 Animal Control Contract 20,698.00 0000091113 20,698.0006/12/2018

001-0160-59523-00 Galesburg Downtown Council 2017 Property Tax Levy - Maintenance 7,363.15 7,363.1506/12/2018

001-0160-59523-00 Galesburg Downtown Council 2017 Property Tax Levy - Add'l Maintenance 11,044.72 11,044.7206/12/2018


001-0205-51000-00 Collection Professionals, Inc 04/18 Service 172.06 172.0606/12/2018

001-0205-51000-00 US Sterling Capital Corp., Inc. Bank of Springfield 240.00 240.0006/12/2018

001-0205-54000-00 Gloria Osborn 05/18 Cell Allowance 36.00 36.0005/31/2018

001-0205-54500-00 Gloria Osborn Incidentals, mileage - GFOA Conf - StL, MO- Gloria 264.16 264.1606/12/2018

001-0205-54500-00 Sharon Heiden Mileage - IGFOA - Basic Gov Acct Seminar- Spgfld- SHeiden 130.80 130.8006/12/2018

001-0205-54500-00 Bobbi Chockley Incidentals - GFOA Conf - BChockley 15.00 15.0006/12/2018


001-0207-54000-00 Kerzi Peterson 05/18 Cell Allowance 36.00 36.0005/31/2018

001-0207-54000-00 Orlando Lucero 05/18 Cell Allowance 36.00 36.0005/31/2018




http://ssi.NET?action=object&object=APVendor&id=RodrSylv


http://ssi.NET?action=object&object=APVendor&id=DaviSue




















http://ssi.NET?action=object&object=APVendor&id=NoldBrad


















http://ssi.NET?action=object&object=APVendor&id=OsboGlor


http://ssi.NET?action=object&object=APVendor&id=OsboGlor


http://ssi.NET?action=object&object=APVendor&id=HeidShar


http://ssi.NET?action=object&object=APVendor&id=ChocBobb


http://ssi.NET?action=object&object=APVendor&id=PeteKerz


http://ssi.NET?action=object&object=APVendor&id=LuceOrla


001-0305-54000-00 Stephen Gugliotta 05/18 Cell Allowance 30.00 30.0005/31/2018


001-0306-54000-00 Robert Elsbury 05/18 Cell Allowance 30.00 30.0005/31/2018

001-0306-54000-00 Richard Slagel 05/18 Cell Allowance 30.00 30.0005/31/2018

001-0306-54500-00 IPOC Registration - IPOC Conf - 2 employees 70.00 70.0006/12/2018

001-0306-61000-00 Office Specialists, Inc. Ink, paper 63.63 63.6306/12/2018

001-0306-61000-00 Office Specialists, Inc. Ink 41.16 41.1606/12/2018


001-0410-54000-00 Jamie West 05/18 Cell Allowance 30.00 30.0005/31/2018

001-0410-54000-00 Brian Vorva 05/18 Cell Allowance 30.00 30.0005/31/2018

001-0410-54000-00 Wayne Carl 05/18 Cell Allowance 30.00 30.0005/31/2018

001-0410-54000-00 Joseph Smiley 05/18 Cell Allowance 30.00 30.0005/31/2018

001-0410-54000-00 Malinda Davis 05/18 Cell Allowance 30.00 30.0005/31/2018

001-0410-61000-00 Office Specialists, Inc. Ink, paper 63.63 63.6306/12/2018

001-0410-61000-00 Office Specialists, Inc. Pencils, erasers 34.63 34.6306/12/2018

001-0410-61000-00 Office Specialists, Inc. Ink 41.15 41.1506/12/2018

001-0410-61000-00 Office Specialists, Inc. Pencils 4.30 4.3006/12/2018


001-0445-57500-00 Aramark Uniform Serv. Inc. 05/18 Service 41.32 41.3206/12/2018

001-0445-62500-00 Carquest of Galesburg Oil filter, fuel filter #182 11.58 11.5805/31/2018

001-0445-62500-00 Yemm Ford, Inc Weatherstrip #606 90.45 90.4506/12/2018

001-0445-62500-00 Carquest of Galesburg Lube filter, fuel filter #460 6.33 6.3305/31/2018

001-0445-62500-00 Carquest of Galesburg Oil filter, fuel filter #154 7.56 7.5605/31/2018

001-0445-63000-00 Carquest of Galesburg Heat shrink tubing 8.78 8.7805/31/2018


001-0450-49500-00 Justin McNaught Education Incentive Reimbursement - J McNaught 300.00 300.0006/12/2018

001-0450-52000-00 Ameren Illinois 05/18 Electricity #2553132016 91.99 91.9905/31/2018

001-0450-52000-00 Ameren Illinois 05/18 Electricity #9048316063 33.09 33.0905/31/2018

001-0450-54000-00 Brian Mason 05/18 Cell Allowance 30.00 30.0005/31/2018

001-0450-54000-00 JR Knaack 05/18 Cell Allowance 30.00 30.0005/31/2018

001-0450-54000-00 Justin McNaught 05/18 Cell Allowance 30.00 30.0005/31/2018

001-0450-65500-00 Michael Todd & Co., Inc. 55 gal wax 877.69 877.6906/12/2018

001-0450-66500-00 Galesburg Electric, Inc. Misc tools 155.63 155.6306/12/2018

001-0450-67500-00 TAPCO - Traffic & Parking Control Company Gloves 195.36 195.3606/12/2018



http://ssi.NET?action=object&object=APVendor&id=GuglStep


http://ssi.NET?action=object&object=APVendor&id=ElsbRobe


http://ssi.NET?action=object&object=APVendor&id=SlagRich








http://ssi.NET?action=object&object=APVendor&id=WestJami


http://ssi.NET?action=object&object=APVendor&id=VorvBria


http://ssi.NET?action=object&object=APVendor&id=CarlWayn


http://ssi.NET?action=object&object=APVendor&id=SmilJose


http://ssi.NET?action=object&object=APVendor&id=DaviMali






















http://ssi.NET?action=object&object=APVendor&id=McNaJust






http://ssi.NET?action=object&object=APVendor&id=MasoBria


http://ssi.NET?action=object&object=APVendor&id=KnaaJR


http://ssi.NET?action=object&object=APVendor&id=McNaJust









001-0510-49500-00 Jason Shaw Reimbursement for Education Incentive - JShaw 300.00 300.0006/12/2018

001-0510-54000-00 Steffanie Cromien 05/18 Cell Allowance 30.00 30.0005/31/2018

001-0510-54000-00 David Christensen 05/18 Cell Allowance 36.00 36.0005/31/2018

001-0510-54000-00 Darrin Worsfold 05/18 Cell Allowance 30.00 30.0005/31/2018

001-0510-54000-00 Daniel Hostens 05/18 Cell Allowance 30.00 30.0005/31/2018

001-0510-54000-00 Russell Idle 05/18 Cell Allowance 30.00 30.0005/31/2018

001-0510-54000-00 Jason Shaw 05/18 Cell Allowance 30.00 30.0005/31/2018

001-0510-54000-00 James Bradford 05/18 Cell Allowance 30.00 30.0005/31/2018

001-0510-54000-00 Bryan Anderson 05/18 Cell Allowance 30.00 30.0005/31/2018

001-0510-54000-00 Lee McCone 05/18 Cell Allowance 30.00 30.0005/31/2018

001-0510-54000-00 Rod Riggs 05/18 Cell Allowance 30.00 30.0005/31/2018

001-0510-55000-00 Motorola Solutions, Inc 05/18 Service 195.00 195.0006/12/2018

001-0510-55000-00 Municipal Electronics Inc 6 Radar Certificates 210.00 210.0006/12/2018

001-0510-55700-00 American Pest Control Inc 05/18 Service 30.00 30.0006/12/2018


001-0510-55800-00 K COM Technologies, Inc Provide genetec vms software, 3 axis cameras 1,906.24 1,906.2406/12/2018

001-0510-57000-00 Stamp Man Specialties Notary stamp - DHostens 37.35 37.3506/12/2018

001-0510-67500-00 Artistic Engraving Name bars, badges, chevrons 432.06 432.0606/12/2018

001-0510-67500-00 Ray O'Herron Co., Inc. 2 Dlx Trpcl Shirts - Simmons 90.00 90.0006/12/2018

001-0510-67500-00 Ray O'Herron Co., Inc. L/s ply/wl dnb shirt - JShaw 80.54 80.5406/12/2018

001-0510-67500-00 Ray O'Herron Co., Inc. 2 Dlx Trpcl Shirts - Schlomer 108.03 108.0306/12/2018

001-0510-69000-00 Ray O'Herron Co., Inc. Ammo 348.30 348.3006/12/2018


001-0525-54700-00 Royce Kunkle 05/18 Mileage Reimbursement 103.01 103.0106/12/2018


001-0550-51000-00 Select Advantage 05/18 911 Dispatcher Assessment Services 40.00 40.0006/12/2018

001-0550-54000-00 Cameron Lemaster 05/18 Cell Allowance 36.00 36.0005/31/2018

001-0550-54000-00 Amanda Jennings 05/18 Cell Allowance 18.00 18.0005/31/2018

001-0550-56000-00 Communication Revolving Fund 04/18 Leased circuits 330.70 330.7006/12/2018

001-0550-61000-00 Office Specialists, Inc. Paper, stamp ink 161.57 161.5706/12/2018


001-0605-54000-00 Michael McDorman 05/18 Cell Allowance 30.00 30.0005/31/2018

001-0605-54000-00 Thomas Simkins 05/18 Cell Allowance 36.00 36.0005/31/2018

001-0605-54000-00 Bradley Stevenson 05/18 Cell Allowance 30.00 30.0005/31/2018



http://ssi.NET?action=object&object=APVendor&id=ShawJaso


http://ssi.NET?action=object&object=APVendor&id=CromStef


http://ssi.NET?action=object&object=APVendor&id=ChriDavi


http://ssi.NET?action=object&object=APVendor&id=WorsDarr


http://ssi.NET?action=object&object=APVendor&id=HostDani


http://ssi.NET?action=object&object=APVendor&id=IdleRuss


http://ssi.NET?action=object&object=APVendor&id=ShawJaso


http://ssi.NET?action=object&object=APVendor&id=BradJame


http://ssi.NET?action=object&object=APVendor&id=AndeBrya


http://ssi.NET?action=object&object=APVendor&id=McCoLee


http://ssi.NET?action=object&object=APVendor&id=RiggRod
























http://ssi.NET?action=object&object=APVendor&id=KunkRoyc




http://ssi.NET?action=object&object=APVendor&id=LemaCame


http://ssi.NET?action=object&object=APVendor&id=JennAman






http://ssi.NET?action=object&object=APVendor&id=McDoMich


http://ssi.NET?action=object&object=APVendor&id=SimkThom


http://ssi.NET?action=object&object=APVendor&id=StevBrad


001-0605-54000-00 Randy Hovind 05/18 Cell Allowance 30.00 30.0005/31/2018

001-0605-55500-00 Getz Fire Equipment Co., Inc. Refill dry chem extinguisher 48.50 48.5006/12/2018

001-0605-55500-00 Mechanical Service Inc. Labor to repair flush valve on stool 216.00 216.0006/12/2018



001-0605-61000-00 Office Specialists, Inc. Laminating film 138.19 138.1906/12/2018

001-0605-61000-00 Office Specialists, Inc. Rubberbands, paper 37.57 37.5706/12/2018

001-0605-62500-00 Carquest of Galesburg AC Switch #55 10.87 10.8705/31/2018

001-0605-65000-00 Office Specialists, Inc. Oil absorbant 52.57 52.5706/12/2018

001-0605-65000-00 Office Specialists, Inc. Misc supplies 84.74 84.7406/12/2018


001-0605-65000-00 Office Specialists, Inc. Urinal screen 16.13 16.1306/12/2018

001-0605-65500-00 Supreme Radio Communications, Inc. Batteries 44.29 44.2906/12/2018

001-0605-65500-00 Galesburg Electric, Inc. Misc supplies 13.18 13.1806/12/2018

001-0605-66000-00 Sherwin Williams Co. Paint, supplies - Central 145.22 145.2206/12/2018

001-0605-66000-00 Galesburg Builders Supply, Inc. 3.09 ton black rock 309.00 309.0006/12/2018

001-0605-66000-00 Sherwin Williams Co. Return paint, supplies - Central -137.24-137.2406/12/2018

001-0605-66000-00 Mechanical Service Inc. Parts to repair flush valve on stool 51.30 51.3006/12/2018

001-0605-67500-00 US Safety Products, Inc AFFI Honor Guard Aiguillette w/Silver Tip - JBrignall 46.49 46.4906/12/2018

001-0605-67500-00 Midwest Uniform Supply, Inc s/s polo, l/s shirt - RHovind 29.98 29.9806/12/2018

001-0605-67500-00 Midwest Uniform Supply, Inc S/s polo - MMcDorman 40.99 40.9906/12/2018

001-0605-67500-00 Midwest Uniform Supply, Inc Perf Tees, ball cap - JBrignall 57.00 57.0006/12/2018

001-0605-67500-00 Alexis Fire Equipment Co., Inc. Firefighter gloves 320.00 320.0006/12/2018


$66,124.87Subtotal for Fund: 001

011-0000-66000-00 Galesburg Builders Supply, Inc. 7.5 CY PP2 851.25 851.2506/12/2018

011-0000-66000-00 Lufkin Schwieter Ready Mix City Mix Concrete, CL, SI 653.50 0000091105 653.5006/12/2018

011-0000-66000-00 Lufkin Schwieter Ready Mix City Mix Concrete, CL, SI 511.25 0000091105 511.2506/12/2018

011-0000-66000-00 River City Supply, Inc. Hot Mix Asphalt Surface & Binder - River City 753.75 0000091102 753.7506/12/2018

011-0000-66000-00 Galesburg Builders Supply, Inc. 8.5 CY PP2 964.75 964.7506/12/2018

011-0000-78040-00 Bruner, Cooper and Zuck, Inc. Construction Engineering for the Farnham Street Bridge Project 1,634.23 0000091192 1,634.2306/12/2018

011-0000-78040-00 Bruner, Cooper and Zuck, Inc. Construction Engineering for the Farnham Street Bridge Project 13,436.08 0000091192 13,436.0806/12/2018



013-0000-51000-00 Bruner, Cooper and Zuck, Inc. Construction Engineering Services for Lead Service Line Replacem 11,935.02 0000090831 11,935.0206/12/2018



http://ssi.NET?action=object&object=APVendor&id=HoviRand
































































014-0000-10701-00 Gunther Construction Co., a div. of UCM, Inc 01/19-06/19 Brick Storage Lease 750.00 750.0006/12/2018

014-0000-51000-00 Geotechnics 2018 Materials Testing 330.00 0000091141 330.0006/12/2018

014-0000-51000-00 US Sterling Capital Corp., Inc. First Credit Bank 249.00 249.0006/12/2018

014-0000-55700-00 Gunther Construction Co., a div. of UCM, Inc Whitesboro St. - Storm 8,162.92 0000091026 8,162.9206/12/2018

014-0000-56000-00 Gunther Construction Co., a div. of UCM, Inc 07/18-12/18 Brick Storage Lease 750.00 750.0006/12/2018

014-0000-64500-00 Michael Todd & Co., Inc. Spinalert sheeting 364.65 364.6506/12/2018

014-0000-64500-00 Potters Industries, LLC Glass Beads used for traffic paint as per CMS Contract 2641-670- 5,960.00 0000091195 5,960.0006/12/2018

014-0000-64500-00 Galesburg Electric, Inc. Intermatic photocontrol, nuts, caps, washers 37.27 37.2706/12/2018

014-0000-66000-00 Lufkin Schwieter Ready Mix 10 yds flowable 550.00 550.0006/12/2018

014-0000-66000-00 Galesburg Builders Supply, Inc CLSM 110.00 0000091108 110.0006/12/2018

014-0000-78010-00 Gunther Construction Co., a div. of UCM, Inc Whitesboro St.- Roadway 158,983.30 0000091026 158,983.3006/12/2018

014-0000-78070-00 Gunther Construction Co., a div. of UCM, Inc Whitesboro St. - Sidewalks 4,834.70 0000091026 4,834.7006/12/2018

014-0000-83100-00 Bruner, Cooper and Zuck, Inc. Construction Engineering for the East Main Street Underpass Proj 2,866.43 0000090854 2,866.4306/12/2018

014-0000-83100-00 Hanson Professional Services, Inc Construction Engineering Agreement for the East Main Street Unde 1,508.45 0000090853 1,508.4506/12/2018



015-0000-55700-00 J.P. Benbow, Inc. Install garbage disposal 432.87 432.8706/12/2018



$480.73Subtotal for Fund: 015

016-0000-54000-00 Kevin Legate 05/18 Cell Allowance 30.00 30.0005/31/2018

016-0000-54000-00 Lane Mings 05/18 Cell Allowance 30.00 30.0005/31/2018

016-0000-54000-00 Todd Olinger 05/18 Cell Allowance 30.00 30.0005/31/2018

016-0000-54000-00 Travis Smith 05/18 Cell Allowance 30.00 30.0005/31/2018

016-0000-54000-00 Mark McLaughlin 05/18 Cell Allowance 30.00 30.0005/31/2018

016-0000-54000-00 Paul Vannaken 05/18 Cell Allowance 30.00 30.0005/31/2018





































http://ssi.NET?action=object&object=APVendor&id=LegaKevi


http://ssi.NET?action=object&object=APVendor&id=MingLane


http://ssi.NET?action=object&object=APVendor&id=OlinTodd


http://ssi.NET?action=object&object=APVendor&id=SmitTrav


http://ssi.NET?action=object&object=APVendor&id=MclaMark


http://ssi.NET?action=object&object=APVendor&id=VannPaul


018-0000-78050-00 Klingner & Associates P.C. Construction Engineering Services for Storm Sewer replacement Ce 10,335.75 0000091177 10,335.7506/12/2018



019-0000-20102-00 Trailways Refund 3/18 & 4/18 Ameren payments already paid by the City 2,596.55 2,596.5506/12/2018

019-0000-33306-00 Jerry Reynolds Partial refund of Golf season pass 367.50 367.5006/12/2018

019-0000-33311-00 Jerry Reynolds Partial refund of Golf cart rental 397.50 397.5006/12/2018

019-0000-33363-00 Sarah Bruecks Partial refund for Splash Party Rental 80.00 80.0006/12/2018


019-1905-54000-00 Elizabeth Varner 05/18 Cell Allowance 30.00 30.0005/31/2018

019-1905-54000-00 Anthony Oligney-Estill 05/18 Cell Allowance 36.00 36.0005/31/2018

019-1905-54000-00 Chelsea Moberg 05/18 Cell Allowance 30.00 30.0005/31/2018

019-1905-54500-00 Anthony Oligney-Estill Toll Reimbursement - Sports Huddle IL Conf - TonyO 3.60 3.6006/12/2018

019-1905-59528-00 Galesburg Community Foundation 04/18 2% Hotel/Motel Tax Pmts 23,794.64 23,794.6406/12/2018

019-1905-59537-00 Knox Civic Center Authority 04/18 2% Hotel/Motel Tax Pmts 12,523.47 12,523.4706/12/2018

019-1905-61000-00 Office Specialists, Inc. Thermal pouch 14.98 14.9806/12/2018

019-1905-61000-00 Office Specialists, Inc. Thermal pouch, binders 80.50 80.5006/12/2018

019-1905-61000-00 Office Specialists, Inc. Paper, pens 48.41 48.4106/12/2018


019-1910-55700-00 Royal Cleaning Services 06/18 Cleaning Services 886.50 886.5006/12/2018

019-1910-55700-00 Amos Blevins Repair master pin, 1 lock 85.00 85.0006/12/2018


019-1910-55700-00 Mechanical, Inc Remove AHU motor for inspection/repairs 990.00 990.0006/12/2018







019-1911-59300-00 Getz Fire Equipment Co., Inc. First aid supplies 28.05 28.0506/12/2018
















http://ssi.NET?action=object&object=APVendor&id=VarnEliz


http://ssi.NET?action=object&object=APVendor&id=OligAnth


http://ssi.NET?action=object&object=APVendor&id=MobeChel


http://ssi.NET?action=object&object=APVendor&id=OligAnth






































019-1911-66000-00 Lufkin Schwieter Ready Mix 5 yds PV-SI 511.25 511.2506/12/2018

019-1911-66000-00 Galesburg Electric, Inc. Pole top cap 14.00 14.0006/12/2018


019-1915-54000-00 Jason Asbury 05/18 Cell Allowance 30.00 30.0005/31/2018

019-1915-54000-00 Matt Butkovich 05/18 Cell Allowance 30.00 30.0005/31/2018

019-1915-54000-00 Don Miles 05/18 Cell Allowance 30.00 30.0005/31/2018



019-1915-55700-00 Galesburg Welding, Inc Repairs to 2 aluminum light fixtures 204.00 204.0006/12/2018

019-1915-55700-00 Galesburg Electric, Inc. Bulb/battery recycling 63.40 63.4006/12/2018

019-1915-56000-00 Terry Allen, Inc Fishing Derby - Lincoln Park Dr 385.00 0000091124 385.0006/12/2018

019-1915-56000-00 Terry Allen, Inc Bursie Williams Area 70.00 0000091124 70.0006/12/2018

019-1915-56000-00 Terry Allen, Inc Peck Park 70.00 0000091124 70.0006/12/2018

019-1915-56000-00 Terry Allen, Inc East Boat Ramp - Lake Storey 70.00 0000091124 70.0006/12/2018



019-1915-56000-00 Terry Allen, Inc Pickard Road 70.00 0000091124 70.0006/12/2018

019-1915-56000-00 Terry Allen, Inc Bursie Williams Area 55.00 0000091124 55.0006/12/2018




019-1915-62500-00 Carquest of Galesburg Battery #541 89.10 89.1005/31/2018

019-1915-62500-00 Carquest of Galesburg Return oil filter #522 -2.87-2.8705/31/2018

019-1915-62510-00 Herr Petroleum Corp 550. diesel #2, 284.7 reg unleaded 2,152.11 0000091116 2,152.1106/12/2018

019-1915-65500-00 Kaser Power Equipment Inc Carburetor, drum lid, air filter case, muffler, adapter, screw 318.27 318.2706/12/2018







019-1915-66000-00 Galesburg Electric, Inc. Intermatic photocontrol 12.27 12.2706/12/2018

019-1915-66000-00 Galesburg Electric, Inc. LED bulbs, recycling 247.76 247.7606/12/2018

019-1915-66000-00 Galesburg Electric, Inc. Perma globes 293.20 293.2006/12/2018

019-1915-66000-00 Galesburg Electric, Inc. Bulbs 64.08 64.0806/12/2018

019-1915-66000-00 Galesburg Electric, Inc. Small refractor, drop lens, LED bulbs 222.93 222.9306/12/2018

019-1915-66500-00 Kaser Power Equipment Inc Straight shaft trimmer 199.99 199.9906/12/2018

019-1915-66500-00 Rainbow Group, LLC String winder, sparkle 285.00 285.0006/12/2018








http://ssi.NET?action=object&object=APVendor&id=AsbuJaso


http://ssi.NET?action=object&object=APVendor&id=butkmatt


http://ssi.NET?action=object&object=APVendor&id=MileDon


































































019-1920-54000-00 Bryan Luedtke 05/18 Cell Allowance 30.00 30.0005/31/2018

019-1920-55500-00 LTL Partners, Inc Spin grind, relief grind reel, sharpen bed knife 255.00 255.0006/12/2018

019-1920-55700-00 LTL Partners, Inc 93000 sq ft of Aerifying 1,860.00 1,860.0006/12/2018





019-1920-62510-00 Herr Petroleum Corp 139.8 gal diesel #2, 164.9 reg unleaded 770.46 0000091117 770.4606/12/2018

019-1920-63500-00 Winfield Solutions, LLC Misc supplies 1,900.28 1,900.2806/12/2018

019-1920-63500-00 Advanced Turf Solutions Armortech 568.00 568.0006/12/2018

019-1920-63500-00 Advanced Turf Solutions ATS 25 -3-10 1,114.00 1,114.0006/12/2018

019-1920-64000-00 HORNUNG'S GOLF PRODUCTS, INC Mens leather gloves 581.66 581.6606/12/2018

019-1920-64000-00 Cutter & Buck Misc apparel 45.51 45.5106/12/2018

019-1920-64000-00 HORNUNG'S GOLF PRODUCTS, INC Tour wrap, super stk legacy, grip tape, pistol putters 142.49 142.4906/12/2018

019-1920-64000-00 Cutter & Buck Misc apparel 45.51 45.5106/12/2018

019-1920-64125-00 A.D. Huesing Corporation Soda, gatorade 351.90 351.9006/12/2018

019-1920-64125-00 A.D. Huesing Corporation Soda, gatorade 448.80 448.8006/12/2018

019-1920-64125-00 Smithfield Direct, LLC Beef franks 83.70 83.7006/12/2018

019-1920-64125-00 Butch's Pizza Inc. Pizzas 16.40 16.4006/12/2018

019-1920-64125-00 Smithfield Direct, LLC Beef franks 55.80 55.8006/12/2018

019-1920-65000-00 Office Specialists, Inc. Tissue, kitchen towels 40.25 40.2506/12/2018

019-1920-65000-00 Office Specialists, Inc. Dishsoap 39.79 39.7906/12/2018

019-1920-65000-00 Office Specialists, Inc. Wringer bucket 120.82 120.8206/12/2018

019-1920-65500-00 Aramark Refreshment Services Bronze water filter 72.61 72.6106/12/2018

019-1920-66000-00 Hahn Ready Mix 23.45 tn Premium USGA2 671.58 671.5806/12/2018

019-1920-88300-00 Yamaha Motor Corp., USA 2018 lease of 48 golf carts and 1 utility vehicle as per bid. I 5,924.64 0000091121 5,924.6406/12/2018


019-1925-56000-00 Terry Allen, Inc Campground - 4 regular units 280.00 0000091124 280.0006/12/2018

019-1925-61700-00 Galesburg Electric, Inc. Misc supplies 1,693.53 1,693.5306/12/2018

019-1925-61700-00 Galesburg Electric, Inc. Wire 1,156.31 1,156.3106/12/2018

019-1925-64000-00 Volrath Hardwoods, LLC 300 Bundles of wood 960.00 960.0006/12/2018

019-1925-66000-00 Galesburg Electric, Inc. Misc supplies 1,249.17 1,249.1706/12/2018

019-1925-66000-00 Galesburg Electric, Inc. LED bulbs 155.28 155.2806/12/2018


019-1930-55700-00 Howe Overhead Doors, Inc. Install rolling steel door 1,765.00 1,765.0006/12/2018





http://ssi.NET?action=object&object=APVendor&id=LuedBrya






































































019-1935-65000-00 Office Specialists, Inc. Lysol, all purpose cleaner 331.64 331.6406/12/2018


019-1940-55500-00 Nevco Scoreboard Company, Inc. Repairs to scoreboard 168.44 168.4406/12/2018

019-1940-64000-00 A.D. Starr Softballs 1,455.65 1,455.6506/12/2018

019-1940-64125-00 Gold Medal - Central Illinois, LLC Misc concessions 640.94 640.9406/12/2018

019-1940-66000-00 Rainbow Group, LLC Whisker plugs, dual anchors, pitching rubbers 966.00 966.0006/12/2018



019-1945-55500-00 Elevator Safety Associates Annual Wheel Chair Lift Inspection 225.00 225.0006/12/2018

019-1945-64000-00 Lincoln Aquatics Rescue tubes 211.40 211.4006/12/2018


019-1945-66000-00 Galesburg Electric, Inc. Hand dryer 510.00 510.0006/12/2018


019-1950-55700-00 AMP Electrical Services, Inc. Provide & install new electric water heater 1,975.00 1,975.0006/12/2018


019-1950-61800-00 Lincoln Aquatics Freight for 10 lounge chairs 220.02 220.0206/12/2018



019-1950-64125-00 Gold Medal - Central Illinois, LLC Misc concessions 2,012.15 2,012.1506/12/2018

019-1950-64125-00 A.D. Huesing Corporation Soda, CO2 tanks 704.44 704.4406/12/2018

019-1950-64125-00 Gold Medal - Central Illinois, LLC Popcorn machine 692.10 692.1006/12/2018

019-1950-64125-00 Gold Medal - Central Illinois, LLC Misc concessions 1,457.68 1,457.6806/12/2018

019-1950-65500-00 Lincoln Aquatics Solid rubber wheels 197.90 197.9006/12/2018

019-1950-66000-00 Galesburg Electric, Inc. Hand dryer 348.00 348.0006/12/2018

019-1950-66000-00 Lincoln Aquatics Ladders 396.46 396.4606/12/2018


019-1950-66500-00 Tri-State Water Basic DPD Test Kit 43.03 43.0306/12/2018

019-1950-68500-00 Tri-State Water Chlorine 100.00 100.0006/12/2018

019-1950-68500-00 Hawkins, Inc Misc chemicals 984.10 984.1006/12/2018

019-1950-68500-00 Tri-State Water Carboy dep -18.00-18.0006/12/2018

019-1950-68500-00 Tri-State Water Ladder bumber pads 11.57 11.5706/12/2018



































































019-1955-55700-00 Sam F Mangieri 05/18 Cleaning Services for Hawthorne Pool 160.00 160.0006/12/2018





019-1965-51000-00 Lacky Monument Co. Lettering - LLodwick, RScriven 300.00 300.0006/12/2018

019-1965-55700-00 J.P. Benbow, Inc. Serviced units, changed filters 124.60 124.6006/12/2018




019-1965-61000-00 Office Specialists, Inc. Tissue 21.50 21.5006/12/2018

019-1965-62500-00 MTI Distributing, Inc Spindle #583 452.29 452.2906/12/2018

019-1965-62500-00 MTI Distributing, Inc Hub #583 95.34 95.3406/12/2018

019-1965-62510-00 Herr Petroleum Corp 123.6 gal diesel #2 323.02 0000091118 323.0206/12/2018


019-1970-55700-00 J.P. Benbow, Inc. Serviced units, changed filters 124.60 124.6006/12/2018

019-1970-62510-00 Herr Petroleum Corp 222.1 diesel #2 580.45 0000091119 580.4506/12/2018


019-1975-54000-00 Ryan Creek 05/18 Cell Allowance 30.00 30.0005/31/2018




024-0000-51000-00 Great Eastern Mgmt., Inc. Grand Ridge National Bank 240.00 240.0006/12/2018

024-0000-51000-00 ISG Preparation of Master Plan for Logistics Park as transload/wareh 1,100.00 0000091143 1,100.0006/12/2018

024-0000-52000-00 Illinois Power Marketing 05/18 Electricity #3293493011 34.54 34.5405/31/2018

024-0000-52000-00 Illinois Power Marketing 05/18 Electricity #892825001 43.75 43.7505/31/2018

024-0000-52300-00 Ameren Illinois 05/18 Heat #3293493011 85.23 85.2305/31/2018

024-0000-83100-00 Nees Harley Davidson Econ Develop Incentive Pmt - 2017 Prop Tax payable in 2018- Nees 17,108.17 17,108.1706/12/2018



































http://ssi.NET?action=object&object=APVendor&id=CreeRyan












http://ssi.NET?action=object&object=APVendor&id=EPAmeren




026-0000-51000-00 US Sterling Capital Corp., Inc. Cornerstone Bank 45.37 45.3706/12/2018

026-0000-51000-00 Great Eastern Mgmt., Inc. Spirit Bank 241.32 241.3206/12/2018



030-0320-51500-00 WGIL/WAAG/WLSR, Inc. Radio ads 445.00 445.0006/12/2018

030-0320-51500-00 WGIL/WAAG/WLSR, Inc. Radio ads 445.00 445.0006/12/2018

030-0320-54000-00 Dedra Mannon 05/18 Cell Allowance 30.00 30.0005/31/2018

030-0320-55500-00 Galesburg Communications, Inc. 04/26/18-07/26/18 800 Dispatch 241.92 241.9206/12/2018

030-0320-55500-00 Galesburg Communications, Inc. 04/26/18-07/26/18 800 Dispatch 241.92 241.9206/12/2018





043-0000-87300-00 UMB Bank, N.A. Interest GO Bds Srs 2016 137,456.24 137,456.2406/12/2018



055-0000-83100-00 Galesburg Museums, Inc Tax Increment Financing I - Discovery Depot 53,924.53 53,924.5306/12/2018



058-0000-71000-00 Martin Sullivan, Inc 2018 John Deere 1600 Wide Area Mower 32,365.00 0000091159 32,365.0006/12/2018



061-0000-10701-00 IL Rural Water Assn. 01/19-06/19 IRWA Dues 232.50 232.5006/12/2018

061-0000-20101-00 RAQUEL GAMEZ Refund Check 28.23 28.2305/31/2018

061-0000-20101-00 LETICIA ROSS Refund Check 61.77 61.7706/07/2018











http://ssi.NET?action=object&object=APVendor&id=MannDedr


















http://ssi.NET?action=object&object=APVendor&id=UB*07051





061-0000-20101-00 JEREMY ALLEN Refund Check 66.05 66.0505/31/2018

061-0000-20101-00 JALEN PETTITT Refund Check 87.10 87.1005/31/2018

061-0000-20101-00 DOUGLAS LARSON Refund Check 70.58 70.5805/31/2018

061-0000-20101-00 TED GLAS Refund Check 68.32 68.3206/11/2018

061-0000-20101-00 DANIEL HOSTENS Refund Check 72.00 72.0005/31/2018

061-0000-20101-00 CHELSEY DUNCAN Refund Check 57.05 57.0505/31/2018

061-0000-20101-00 SAMANTHA SMITH Refund Check 92.00 92.0005/31/2018

061-0000-20101-00 ZACHARY TAYLOR Refund Check 79.13 79.1306/07/2018

061-0000-20101-00 ALEXANDER LILE Refund Check 107.83 107.8306/07/2018

061-0000-20101-00 AMY EDMONSON Refund Check 29.69 29.6906/07/2018

061-0000-20101-00 ARNOLD JENKINS Refund Check 11.49 11.4905/31/2018

061-0000-20101-00 AARON LOHRENZ Refund Check 64.92 64.9205/31/2018

061-0000-20101-00 MERIDITH MYERS Refund Check 187.31 187.3105/31/2018

061-0000-20101-00 MIA VILLARREAL Refund Check 70.54 70.5406/07/2018

061-0000-20101-00 BARBARA DOWNARD Refund Check 87.92 87.9206/07/2018

061-0000-20101-00 BRANDON MOSER Refund Check 112.17 112.1706/11/2018

061-0000-20101-00 JACOB LOGAN Refund Check 82.74 82.7406/11/2018

061-0000-20101-00 JOHN GRAY Refund Check 78.41 78.4105/31/2018

061-0000-20101-00 MATTHEW MILLER Refund Check 27.68 27.6805/31/2018

061-0000-20101-00 BRITTNI JOHNSON Refund Check 26.82 26.8206/07/2018

061-0000-20101-00 DAVID RANDELL Refund Check 88.32 88.3206/07/2018

061-0000-20101-00 DONNA JOHNSON Refund Check 2.21 2.2106/07/2018

061-0000-20101-00 JABEZ LAND COMPANY INC Refund Check 79.03 79.0306/07/2018

061-0000-20101-00 ORLANDO LUCERO Refund Check 143.03 143.0305/31/2018

061-0000-20101-00 BETTE NELSON Refund Check 38.69 38.6905/31/2018

061-0000-20101-00 RONALD DEUSO Refund Check 41.06 41.0605/31/2018

061-0000-20101-00 KAREN TURNEY Refund Check 66.82 66.8205/31/2018

061-0000-20101-00 MCS REAL ESTATE LLC Refund Check 88.94 88.9406/07/2018

061-0000-20101-00 WESTERN ILLINOIS REGIONAL COUNCIL Refund Check 125.13 125.1306/07/2018

061-0000-20101-00 RUTH LIKENDJA Refund Check 70.16 70.1605/31/2018

061-0000-20101-00 JARED SMITH Refund Check 101.81 101.8106/07/2018

061-0000-20101-00 JEROME TOWNSELL Refund Check 67.71 67.7106/07/2018

061-0000-20101-00 PATRICIA BRIENEN Refund Check 3.49 3.4905/31/2018


061-0000-20101-00 MONTY DORTCH Refund Check 15.00 15.0005/31/2018

061-0000-20101-00 JODI DOUGLAS Refund Check 70.36 70.3606/07/2018

061-0000-20101-00 NATASHA COLTER Refund Check 43.37 43.3706/07/2018

061-0000-20101-00 THOMAS BOOTH Reissue UB refund ck# 88881 - owner overpmt on acct 54265-000 55.00 55.0006/12/2018

061-0000-20101-00 MALVIN CHRISTIANSEN Refund Check 114.48 114.4806/07/2018

061-0000-20101-00 JOHN SHANNON Refund Check 74.84 74.8406/07/2018

061-0000-20101-00 ORLANDO LUCERO Refund Check 63.03 63.0305/31/2018

061-0000-20101-00 NANCY GILMORE Refund Check 70.48 70.4806/07/2018

























































































061-0000-20101-00 LYLE HART Refund Check 33.53 33.5306/07/2018

061-0000-20101-00 LINDA ASBURY Refund Check 33.14 33.1406/07/2018

061-0000-20101-00 JUSTIN KING Refund Check 87.71 87.7106/07/2018

061-0000-20101-00 NOELLE FONES Refund Check 61.95 61.9506/07/2018

061-0000-20101-00 TUYEN NGUYEN Refund Check 16.81 16.8106/07/2018

061-0000-20101-00 VICTORIA JEFFERSON Refund Check 70.02 70.0206/07/2018

061-0000-20101-00 VICTORIA JEFFERSON Refund Check 0.51 0.5106/07/2018

061-0000-20101-00 NANCY GILMORE Refund Check 100.70 100.7006/07/2018

061-0000-20101-00 LEONA VANSKIKE Refund Check 57.66 57.6606/07/2018

061-0000-51000-00 Klingner & Associates P.C. Water Main Design on Prairie, Academy and Berrien 1,127.50 0000091155 1,127.5006/12/2018

061-0000-51000-00 US Sterling Capital Corp., Inc. First State Bank 120.99 120.9906/12/2018

061-0000-51000-00 US Sterling Capital Corp., Inc. Pan American Bank & Trust 240.00 240.0006/12/2018

061-0000-51000-00 US Sterling Capital Corp., Inc. DNB Nat'l Bank 185.26 185.2606/12/2018

061-0000-51000-00 Great Eastern Mgmt., Inc. Eagle Bank 240.00 240.0006/12/2018

061-0000-51000-00 PDC Laboratories, Inc. Water testing 52.00 52.0006/12/2018




061-0000-51000-00 Collection Professionals, Inc 04/18 Service 315.01 315.0106/12/2018

061-0000-51000-00 Bruce Bonczyk 03/18 Legal services 4,945.84 4,945.8406/12/2018

061-0000-51000-00 UMB Bank, N.A. Paying Agent Fee- -GO Ref Bds Srs 2015 371.00 371.0006/12/2018

061-0000-52000-00 Illinois Power Marketing 05/18 Electricity #GMCGAL1002 41,018.16 41,018.1605/31/2018

061-0000-52300-00 Ameren Illinois 05/18 Heat #1017455691 91.89 91.8905/31/2018

061-0000-54000-00 Eric Heiden 05/18 Cell Allowance 30.00 30.0005/31/2018

061-0000-54000-00 Jacob Pedigo 05/18 Cell Allowance 30.00 30.0005/31/2018

061-0000-54000-00 Richard Nelson 05/18 Cell Allowance 30.00 30.0005/31/2018

061-0000-54000-00 Nicholas Elliott 05/18 Cell Allowance 36.00 36.0005/31/2018

061-0000-54000-00 Mark Schwieter 05/18 Cell Allowance 30.00 30.0005/31/2018

061-0000-54000-00 Timothy Fey 05/18 Cell Allowance 30.00 30.0005/31/2018

061-0000-55000-00 IL Rural Water Assn. 07/18-12/18 IRWA Dues 232.50 232.5006/12/2018

061-0000-55500-00 Neil Thomas Plumbing & Heating, Inc Repairs to boiler 70.00 70.0006/12/2018

061-0000-55700-00 Waste Management, Inc. 06/18 Service 89.24 89.2406/12/2018

061-0000-55700-00 Waste Management, Inc. 06/18 Service 16.61 16.6106/12/2018

061-0000-55700-00 Klingner & Associates P.C. Prepare proposal on the design & construction permits for water 1,987.00 0000091168 1,987.0006/12/2018

061-0000-55700-00 Richard Fielder Reimbursement of disposal of meter reading devices w/batteries 175.00 175.0006/12/2018


061-0000-55800-00 Accela Remittance Interface Maint & Support 726.00 726.0006/12/2018


061-0000-62510-00 Herr Petroleum Corp 193.90 gal diesel #2 499.00 0000091120 499.0006/12/2018

061-0000-65000-00 Office Specialists, Inc. Floor polishing pad, buffer 74.06 74.0606/12/2018


061-0000-65500-00 Galesburg Electric, Inc. Credit toward invoice 383521 -444.56-444.5606/12/2018

061-0000-66000-00 Galesburg Electric, Inc. RAB Panel LED 1,410.00 1,410.0006/12/2018















































http://ssi.NET?action=object&object=APVendor&id=EPAmeren


http://ssi.NET?action=object&object=APVendor&id=heideric


http://ssi.NET?action=object&object=APVendor&id=PediJaco


http://ssi.NET?action=object&object=APVendor&id=NelsRich


http://ssi.NET?action=object&object=APVendor&id=ElliNic


http://ssi.NET?action=object&object=APVendor&id=SchwMark


http://ssi.NET?action=object&object=APVendor&id=FeyTimo












http://ssi.NET?action=object&object=APVendor&id=FielRich


















061-0000-66000-00 Galesburg Builders Supply, Inc CONTROLLED LOW STRENGTH MATERIAL (CLSM) DELIVERED 330.00 0000091150 330.0006/12/2018

061-0000-66500-00 Ditch Witch-Iowa Inc. UTILIGUARD STD RECEIVER W/ BLUETOOTH 4,317.91 0000091191 4,317.9106/12/2018

061-0000-68500-00 Brenntag Mid-South, Inc Liquid Chlorine (2018) for Water Division as per your bid. The -2,250.00 0000091092-2,250.0006/12/2018

061-0000-68500-00 Brenntag Mid-South, Inc Liquid Chlorine (2018) for Water Division as per your bid. The 3,704.50 0000091092 3,704.5006/12/2018

061-0000-87300-00 UMB Bank, N.A. Interest GO Ref Bds Srs 2015 113,081.25 113,081.2506/12/2018



067-0000-10701-00 Waste Management, Inc. 30 Oversized Stickers 570.00 570.0006/12/2018





078-0000-56532-00 Dan's Body Shop Repairs to 2008 Volvo 4 dr Wagon 664.86 664.8606/12/2018



078-0000-56535-00 Mitchell Pharmacy Solutions Work comp 4/26/18 Rx 931468 #WC2018-006 120.07 120.0706/12/2018

078-0000-56535-00 Central IL Radiological Assoc Work comp dos 04/26/18 #2521371780 54.00 54.0006/12/2018


078-0000-56597-00 Traffic Control Corp., Inc. New traffic controller cabinet at Grand and E Main 13,649.00 0000091162 13,649.0006/12/2018



Report Total: $822,709.44$822,709.44
































Date Check # Vendor Name Description Account # Amount5/30/2018 0 Jantz Spalding Officiated Sball - 6 games - 5/22 019-1940-51400 120.00 5/30/2018 0 Jantz Spalding Officiated Sball - 1 games - 5/23 019-1940-51400 20.00 5/30/2018 0 Chuck Humes Officiated Sball - 6 games - 5/22 019-1940-51400 120.00 5/30/2018 0 Chuck Humes Officiated Sball - 5 games - 5/23 019-1940-51400 100.00 5/30/2018 0 Lyle Hawkinson Officiated Sball - 6 games - 5/22 019-1940-51400 120.00 5/30/2018 0 Lyle Hawkinson Officiated Sball - 2 games - 5/23 019-1940-51400 40.00 5/30/2018 0 Steve Brown Officiated Sball - 2 games - 5/23 019-1940-51400 40.00 5/30/2018 0 Matthew Ray Officiated Sball - 4 games - 5/22 019-1940-51400 80.00 5/31/2018 88922 Knox County Recorders Office File 4 water/sewer/refuse liens 061-0000-51000 96.00 5/31/2018 88921 Ameren Illinois 05/18 Heat #6235036022 030-0000-20102 142.44 5/31/2018 88921 Ameren Illinois 05/18 Electricity #6235036022 030-0000-20102 291.43

6/1/2018 0 Farmers & Mechanics Bank 04/18 F&M Bank Trust Fees 014-0000-51000 16.76 6/1/2018 0 Farmers & Mechanics Bank 04/18 F&M Bank Trust Fees 016-0000-51000 12.48 6/1/2018 0 Farmers & Mechanics Bank 04/18 F&M Bank Trust Fees 019-1905-51000 21.65 6/1/2018 0 Farmers & Mechanics Bank 04/18 F&M Bank Trust Fees 024-0000-51000 24.96 6/1/2018 0 Farmers & Mechanics Bank 04/18 F&M Bank Trust Fees 026-0000-51000 16.84 6/1/2018 0 Farmers & Mechanics Bank 04/18 F&M Bank Trust Fees 056-0000-51000 7.90 6/1/2018 0 Farmers & Mechanics Bank 04/18 F&M Bank Trust Fees 058-0000-51000 24.96 6/1/2018 0 Farmers & Mechanics Bank 04/18 F&M Bank Trust Fees 061-0000-51000 8.38 6/1/2018 0 Farmers & Mechanics Bank 04/18 F&M Bank Trust Fees 067-0000-51000 8.11 6/1/2018 0 Farmers & Mechanics Bank 04/18 F&M Bank Trust Fees 078-0000-51000 16.58 6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 001-0110-47500 76.05 6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 001-0115-47500 66.45 6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 001-0120-47500 32.40 6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 001-0125-47500 36.00 6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 001-0145-47500 30.60 6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 001-0205-47500 180.00 6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 001-0207-47500 72.00 6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 001-0305-47500 35.52 6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 001-0306-47500 130.92 6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 001-0410-47500 95.40 6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 001-0445-47500 36.00

Advance Checks and ACH Payments as of 6/12/2018

6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 001-0450-47500 54.00 6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 001-0510-47500 403.20 6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 001-0550-47500 28.80 6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 001-0605-47500 215.85 6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 018-0000-47500 34.95 6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 018-0000-47500 37.80 6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 019-1905-47500 174.30 6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 019-1920-47500 69.45 6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 019-1965-47500 36.00 6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 019-1975-47500 31.95 6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 024-0000-47500 37.41 6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 030-0320-47500 36.00 6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 030-0370-47500 25.20 6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 061-0000-47500 153.00 6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 067-0000-47500 7.20 6/1/2018 0 Dearborn National Life Insurance Co. 06/18 Life Insurance Premiums 078-0000-47500 5.40 6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 001-0110-47500 76.05 6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 001-0115-47500 66.45 6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 001-0120-47500 32.40 6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 001-0125-47500 36.00 6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 001-0145-47500 30.60 6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 001-0205-47500 180.00 6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 001-0207-47500 72.00 6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 001-0305-47500 35.52 6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 001-0306-47500 96.72 6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 001-0410-47500 95.40 6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 001-0445-47500 36.00 6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 001-0450-47500 54.00 6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 001-0510-47500 403.20 6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 001-0550-47500 28.80 6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 001-0605-47500 215.85 6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 018-0000-47500 34.95 6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 018-0000-47500 37.80 6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 019-1905-47500 174.30

6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 019-1920-47500 69.45 6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 019-1965-47500 36.00 6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 019-1975-47500 31.95 6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 024-0000-47500 37.41 6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 030-0320-47500 36.00 6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 030-0370-47500 25.20 6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 061-0000-47500 153.00 6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 067-0000-47500 7.20 6/1/2018 0 Dearborn National Life Insurance Co. 05/18 Life Insurance Premiums 078-0000-47500 5.40 6/1/2018 0 Euclid Beverage Liquor for Golf Concessions 019-1920-64125 499.50 6/1/2018 0 G & M Distributors Liquor for Golf Concessions 019-1920-64125 506.90 6/4/2018 0 Jantz Spalding Officiated Sball - 5 games- 5/29 019-1940-51400 100.00 6/4/2018 0 Jantz Spalding Officiated Sball - 2 games- 5/30 019-1940-51400 40.00 6/4/2018 0 Chuck Humes Officiated Sball - 8 games- 5/29 019-1940-51400 160.00 6/4/2018 0 Chuck Humes Officiated Sball - 4 games- 5/30 019-1940-51400 80.00 6/4/2018 0 Lyle Hawkinson Officiated Sball - 5 games- 5/29 019-1940-51400 100.00 6/4/2018 0 Lyle Hawkinson Officiated Sball - 2 games- 5/30 019-1940-51400 40.00 6/4/2018 0 Steve Brown Officiated Sball - 2 games- 5/30 019-1940-51400 40.00 6/4/2018 0 Matthew Ray Officiated Sball - 4 games- 5/29 019-1940-51400 80.00 6/7/2018 88965 Knox County Recorders Office Martin Development Agreement w/new PINs 001-0160-51300 84.00 6/7/2018 88965 Knox County Recorders Office Martin Development Mortgage w/new PINs 001-0160-51300 63.00 6/7/2018 88966 Knox County Recorders Office Release 1 weed/trash/demo lien 001-0160-51300 60.00 6/7/2018 88967 Oneida Network Services, Inc 06/18 Internet - Kerzi 001-0207-54000 49.95 6/7/2018 0 Sebis Direct Inc 06/18 Postage for UB bills 061-0000-10704 7,500.00 6/8/2018 0 Todd Peterson Non Steel Toe Boots 001-0605-67500 124.99

6/10/2018 0 Neopost USA Postage for machine 061-0000-10702 500.00 6/10/2018 0 G & M Distributors Liquor for Golf Concessions 019-1920-64125 379.10 6/10/2018 0 G & M Distributors Soda for Golf Concessions 019-1920-64125 126.40 6/10/2018 0 Bluefin Payment Systems 05/18 UB Webpayments Credit Card 061-0000-51000 3,941.12 6/10/2018 0 Merchant Transact 05/18 UB Webpayment Fees 061-0000-51000 698.41 6/10/2018 0 Vantiv Integrated Payment Solutions 05/18 Park & Rec Credit Card Fees 019-1905-51000 414.88 6/10/2018 0 Vantiv Integrated Payment Solutions 05/18 Park & Rec Credit Card Fees 019-1950-51000 113.09 6/10/2018 0 Wells Fargo Merchant Services 05/18 Credit Card Fees 001-0205-51000 311.25 6/10/2018 0 Wells Fargo Merchant Services 05/18 Credit Card Fees 061-0000-51000 933.75

6/10/2018 0 Wells Fargo Merchant Services 05/18 Credit Card Fees 019-1920-51000 1,652.81 6/10/2018 0 Wells Fargo Merchant Services 05/18 Credit Card Fees 001-0306-51000 28.12 6/10/2018 0 Wells Fargo Merchant Services 05/18 Credit Card Fees 001-0410-51000 28.12 6/10/2018 0 Wells Fargo Merchant Services 05/18 Credit Card Fees 019-1925-51000 303.62 6/10/2018 0 Wells Fargo Merchant Services 05/18 Credit Card Fees 001-0115-51000 147.61 6/10/2018 0 Wells Fargo Merchant Services 05/18 Credit Card Fees 019-1905-51000 5.00

Grand Total 24,689.61$

____________________________________________________________________________________________Prepared by: JG Page 1 of 2


MAY 21, 2018

AGENDA ITEM: Ordinance Establishing the City of Galesburg Rental Licensing Program.

SUMMARY RECOMMENDATION: The City Manager, Director of Planning and Public Works, Housing Coordinator and Fire Chief recommend approval of the Ordinance establishing the City of Galesburg Rental Licensing Program.

BACKGROUND: A comprehensive evaluation of the Rental Inspection and Licensing program was conducted by Planning staff. The first step of this evaluation included reviewing the current code, researching housing codes from other communities, and gathering input from city staff including Administration, Inspections, and Fire on areas where changes were needed. Based on this input, draft ordinance revisions were developed. The next step included forming an advisory committee, which included landlords, tenants, insurance agents, a realtor, a Council member, and various City staff including the Fire Marshall, Fire Chief, City Manager, City Attorney, and the Mayor. The advisory committee met four times to thoroughly review the proposed revisions. The first session explained the code and the process, the second and third sessions allowed feedback and the fourth presented modifications based upon their suggestions. The committee was comprised of 13 community members and additional city staff and administration members.

The current Rental Housing Inspection Ordinance, outside of the registration fee, was last updated in 1998 and 1999. Presently, all rental units must register each year for a $15 per unit fee. Currently under the Department of Planning and Public Works, all new rental units are being inspected upon initial registration and all other rentals are inspected on a complaint basis.

This proposed ordinance provides the means to actively inspect rental units outside of tenant complaints. Tenants often refrain from filing a complaint for fear of eviction despite an unsafe living environment. Many communities across the nation and the State of Illinois are moving toward a proactive rental inspection process. This movement is the result of research, which demonstrates that safe housing improves the health and quality of life for residents, and prevents tragic deaths.

The Rental Inspection Ordinance provides changes to work in harmony with a proactive inspection program. The highlights of the proposed revisions include the following:

All rental units will be inspected either by City staff or by self-inspection once every fiveyears.

All self-inspection qualified units, are still subject to complaint based and/or randominspections. Rental units that have uncorrected violations or are non-compliant do notqualify for self-inspection.

The Housing Code Minimum standards will be utilized as the basis for the rentalinspections.

Rental Registrations will be revised to Rental Licensure. If Landlords are unresponsive tocorrecting deficiencies they will not be renewed when the license comes up for the annual

18-1009

____________________________________________________________________________________________Prepared by: JG Page 2 of 2

renewal unless the deficiencies are corrected or an agreed upon corrective action plan is in place.

Rental units which will be vacant for more an annual renewal period will not be requiredto be licensed if the owner submits a sworn statement affirming that fact.

The License fee will stay at $15 per rental unit, which is the same that it has been for thelast eight years.

This ordinance proposes adding a purpose in harmony with the health and safety of all city residents, clarifying definitions and what constitutes a rental property, standardizing time elements in accountability and enforcement, converting rental registration to a rental license, adding an inspection classification system, which includes self-inspections and random inspections by City Inspectors, and removing the long inactive Housing Board of Appeals. A work session was held with the City Council on April 30, 2018 to preview the City’s five year housing plan and to obtain feedback from Council members on proposed changes to the Rental Licensing Ordinance.

BUDGET IMPACT: None.

SUPPORTING DOCUMENTS: 1. Ordinance establishing the Rental Licensing Program2. Ordinance Rental Housing Inspection Redline Version

ORDINANCE NO. _________________ AN ORDINANCE ESTABLISHING THE CITY OF GALESBURG RENTAL LICENSING PROGRAM. WHEREAS, the City of Galesburg is an Illinois home rule municipal corporation organized and operating pursuant to Article VII of the Illinois constitution of 1970; and WHEREAS, the City has adopted certain housing regulations designed to protect the health, safety and welfare of the citizens of Galesburg, which are codified in Chapter 150 of the Galesburg City Code; and WHEREAS, the City Council seeks to maintain strong and stable rental housing units; and WHEREAS, the City Council seeks to correct and prevent rental dwelling conditions that adversely affect the life, safety and welfare of tenants or surrounding properties; and BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF GALESBURG, ILLINOIS, AS FOLLOWS: SECTION ONE: The foregoing recitals are hereby incorporated into this Ordinance as is fully set forth herein. SECTION TWO: Section 150.225 is amended in its entirety and shall hereafter read as follows:

RENTAL LICENSING PROGRAM

150.225 INCORPORATION OF PREAMBLE.

The recitals set forth in the preamble to the ordinance from which this subchapter derives are hereby incorporated into this section and made a part of this subchapter in the same manner as if the recitals were set forth here in full. It is the purpose of the City of Galesburg Rental Licensing and Inspection Program adopted herein to assure that rental housing in the city is maintained in a good, safe, and sanitary condition and does not create a nuisance or blighted conditions to its surroundings, to ensure these conditions and to aid in the enforcement of the housing code and other relevant provisions of the City Code, the City Council hereby establishes this rental licensing and inspection program for all applicable residential rental units within the City.

SECTION THREE: Section 150.226 is amended in its entirety and shall hereafter read as follows:

150.226 DEFINITIONS.

For the purpose of this subchapter, the following definitions shall apply unless the context clearly indicates or requires a different meaning.

LANDLORD. The legal title holder of a premises, as shown by the records of the County Recorder of Deeds Office, which has one or more rental units on it. If the legal title holder is a land trust, however, the LANDLORD shall mean the beneficial owner or owners of the land trust.

PERMANENT RESIDENT. Any person who occupies, or has the right to occupy, any rental unit for at least 30 consecutive days.

PERSON. An individual, partnership or corporation or any other group acting as a unit.

PREMISES. Any building, structure, lot, plot, tract, parcel of land or portion thereof, whether improved or unimproved, including adjacent parkways which may include a tract of land on which one or more rental units are located.

RENTAL UNIT. Each unit providing complete independent living facilities for one or more permanent residents, other than the owner, which has provisions for sleeping, eating, cooking and sanitation. A contract for deed (installment contract) property shall be considered a rental unit unless (1) the contract for deed is recorded with the Knox County Recorder of Deeds, and (2) the contract for deed complies with all requirements of Section 10 of the Installment Sales Contract Act (Public Act 100-0416)

TENANT. The person, or persons, renting a rental unit who is not the legal title holder of the unit.

SECTION FOUR: Section 150.227 is amended in its entirety and shall hereafter read as follows:

150.227 LICENSURE OF RENTAL UNITS.

(A) All rental units shall be licensed annually.

(B) A landlord shall apply for a rental license with the City Clerk for each premises upon which a rental unit exists, notwithstanding whether the rental unit is occupied or vacant. The application statement shall be prima facie evidence that the information in the statement is true.

(1) The application for license, at a minimum, shall include:

(a) The landlord’s name, business address, e-mail address and telephone number. If the landlord is a partnership or corporation, the statement shall provide the name, business address, e-mail address and telephone number for all partners or officers. Further, if the landlord is a corporation, the statement shall include the name, business address, e-mail address and telephone number of the registered agent for the corporation;

(b) The name, business address, e-mail address and telephone number of the landlord’s agent for the purpose of managing, controlling or collecting rent and the landlord’s local agent as provided for in division (B) below;

(c) The street address and property index number of the premises, the number of rental units and the date on which the rental units were built; and

(d) The maximum number of occupants permitted by the landlord in each building containing rental units.

(e) The name(s) of the occupying tenant(s) at the time of the application.

(2) For the purpose of this section, a post office box is not sufficient as an address.

(C) Each landlord shall have a local agent. The local agent shall be authorized by the landlord to receive notices of code violations and receive process in any court proceeding or administrative enforcement proceeding on behalf of the landlord in connection with the enforcement of this code. The local agent must maintain an office in this county or must actually reside in this county. The agent must be a person 21 years or older. A landlord who is a person, however, and who meets the requirements of this subchapter as to location of residence or office, may designate himself or herself as the local agent.

SECTION FIVE: Section 150.228 is amended in its entirety and shall hereafter read as follows:

150.228 TIME OF LICENSE APPLICATION.

(A) The license application shall be filed annually with the City Clerk. Upon application and payment of any applicable fee, the Clerk, or the Clerk’s designee, shall issue a license to the landlord which shall certify that the landlord has licensed the premises. Each landlord shall pay a license fee of $15 for each rental unit, per year, required to be licensed. The fee shall be waived if the unit is fully sprinklered and hard-wired detectors are located in the dwelling unit. Application shall be made between May 1 and May 31 for the following year. Any person who makes a license application after May 31 shall pay a sum of $10 per unit in addition to the required license application fees, as a late charge.

(B) The landlord shall notify the City Clerk within ten business days of any change in the license application information by completing an amended application.

(C) It shall be the duty of any subsequent landlord of the premises to apply for a license for each rental unit as required under this subchapter within ten business days after the transfer of ownership.

(D) It is a violation of this subchapter for a person to submit, or cause to be submitted, false information on any license application form.

(E) No license shall be issued if the landlord owes any outstanding fines or fees to the City of Galesburg.

(F) No license shall be issued on a rental unit with outstanding housing minimum code violations as listed in Chapter 150 of this code.

(G) Commencing June 4, 2018, any rental unit not previously registered or licensed with the City of Galesburg as a rental unit, shall not be rented or allow to be occupied without first having an inspection which meets minimum standards for the rental unit. The City will inspect the new rental unit within 10 business days of initial contact by the prospective landlord.

(H) It shall be unlawful for any person to misrepresent or falsify any information in order to obtain a rental license under this section including but not limited to the license application.

SECTION SIX: Section 150.229 is amended in its entirety and shall hereafter read as follows:

150.229 MINIMUM STANDARDS.

All rental units must meet certain minimum living standards for the safety and protection of the tenants. All rental units are hereby required to conform to the minimum standards outlined in Sections 150.150 and 150.165 through 150.170 of the Galesburg City Code which are hereby adopted and incorporated by reference. All rental units are required to conform to State and City code laws governing smoke and carbon monoxide detectors. Any landlord or person owning a rental unit which does not meet these standards is in violation of this subchapter.

SECTION SEVEN: Section 150.230 is amended in its entirety and shall hereafter read as follows:

150.230 INSPECTION OF PREMISES.

(A) Commencing on June 4, 2018 every rental unit which is rented, or offered for rent, to permanent residents shall be inspected systematically for compliance with this subchapter and all other applicable laws. Any unit rented for any portion of the license year shall be required to be licensed annually.

(B) The provisions of this section do not apply to:

(1) Owner-occupied single-family dwellings;

(2) Dwellings, buildings or structures owned and operated by a nursing home facility, assisted living center, supportive living-facility, or similar use facility properly licensed by this state;

(3) Dwellings, buildings or structures licensed and inspected by the state or federal government or local government agency, provided that the inspection is based upon criteria at least as strict as required hereunder and further provided that a copy of the inspection report is filed with the City Clerk;

(4) Hotels, motels, bed and breakfast establishments and similar facilities that do not rent to permanent residents, or;

(5) Residential buildings or dwelling units which will be vacant for the entirety of the annual license cycle. Any landlord attempting to exempt their property from rental licensure shall be required to submit a sworn statement affirming such a fact.

SECTION EIGHT: Section 150.231 is amended in its entirety and shall hereafter read as follows:

150.231 NOTICE OF INSPECTIONS.

(A) The inspection of rental units shall either be by consent or pursuant to an administrative warrant. If the appropriate consent has not been given to enter or inspect a rental unit, no entry or inspection shall be made without the procurement of a warrant. The Court may consider any of the following factors, along with any other matters that it deems relevant, in its decision as to whether a warrant shall issue:

(1) Eyewitness account of violation;

(2) Citizen complaints;

(3) Tenant complaints;

(4) Plain view violations;

(5) Violations apparent from city records;

(6) Property deterioration;

(7) Age of property;

(8) Nature of alleged violation; and

(9) Conditions of similar properties in the area.

(B) Commencing on June 4, 2018 all rental units shall be inspected at least once every five years either by the City or through Self Inspection. Notice of the date of inspection shall be mailed to the landlord and tenant 15 business days prior to the date of inspection.

It is the responsibility of the landlord to confirm with the tenant of the inspection date and time.

(C) If a complaint is received regarding a rental unit, the city may inspect the premises regardless of the normal inspection schedule..The complainant must have direct knowledge of said violation stating facts and corroborating evidence.

(D) Nothing in this section shall prohibit the city from inspecting any rental unit more frequently than every five years.

(E) Access is required for each rental unit at the scheduled time of inspection or re- inspection. If the Inspector is unable to access the rental unit at the time of inspection, he or she may assess the landlord or his/her agent a $25 missed inspection fee.

SECTION NINE: Section 150.232 is repealed in its entirety.

SECTION TEN: Section 150.233 is amended in its entirety and shall hereafter read as follows:

150.232 RESULTS OF INSPECTION.

(A) If a rental unit is in violation of any applicable law, the city shall mail a written report of the violation to the landlord within 10 business days of the inspection. The city shall allow the landlord not more than 30 business days to correct the violation(s). The report shall state a re-inspection date. A copy of the report will be available at City Hall. The landlord’s failure to receive a copy of the report does not limit the city’s right to enforce these requirements.

(B) After re-inspection(s), if the Inspector believes the landlord or his/her agent is not correcting the violations or allowing re-inspections, either by refusal or missed appointments, the Inspector may refer the violation(s) to the City’s administrative adjudication process.

(C) If the Inspector determines that the violation poses a significant threat to the health, safety or welfare of the tenant(s) exists, the Inspector may determine the landlord or his/her agent shall correct the violation(s) after notice is given to the landlord or his/her agent.

(D) Time extension. The Department of Planning and Public Works may grant a 15 business day extension to the compliance deadline established in the violation notice if requested in writing and filed with the Department of Planning and Public Works by the responsible party before the re-inspection date.

(E) If the landlord is non-compliant and his/her rental license is not renewed or revoked for a rental unit, all other rental units owned by this landlord currently classified as self-inspection shall be reclassified and subject to annual inspections in the City Inspection category.

SECTION ELEVEN: That Section 150.233 of the Galesburg City Code is hereby created and shall hereafter read as follows:

150. 233 INSPECTION CLASSIFICATION

Previously registered rental property which currently do not have any outstanding violations shall be classified as self inspection and shall initiate self inspection of rental units by May 1, 2019 in compliance with 150.233 A. Landlords with more than 10 units shall have until May 1, 2020 to comply with self inspection on rental units. Upon completion of a rental unit's initial City inspection, the property shall be classified by the Inspector according to the classification system set forth herein. All rental units not registered prior to May 1, 2017 shall be inspected by the City prior to being licensed and will be classified by the Inspector according to the classifications in 150.233. Any Property may be considered for reclassification at each subsequent inspection.

(A)Self Inspection. (1)Rental unit has no violations or violations corrected in a reasonable manner and timeframe. Rental unit referred to self-inspection as outlined herein. Rental units eligible for self-inspection shall have a self-inspection form supplied by the City, filled out and signed by the landlord or his/her agent, and the tenant at least once every five years. Both landlord or his/her agent and the tenant must be present for the on- site inspection. If rental unit is unoccupied, tenant presence is not required. This form must be presented at the time of annual application of license with the City on the years in which a self-inspection is required. (2) Self inspected rental units may be randomly verified through inspection by the City Inspector to ensure compliance.

(B) City Inspection. Rental unit has uncorrected violations that do not pose a life safety risk or landlord or his/her agent has two or more missed inspections without cause. Inspections may occur as frequently as every year thereafter. (C) City Inspection – noncompliant. Rental unit has uncorrected violations which pose life and safety hazards to occupants or surrounding units and/or vicinity or the landlord or his/her agent is uncooperative with seeking violation remedies. Revocation of license may be a result of this classification. (D) It shall be unlawful for any person to misrepresent or falsify any information under this section including but not limited to information on the self-inspection form.

SECTION TWELVE: Section 150.234 is repealed in its entirety.

SECTION THIRTEEN: Section 150.235 is repealed in its entirety.

SECTION FOURTEEN: Section 150.236 is repealed in its entirety.

SECTION FIFTEEN: Section 150.237 is repealed in its entirety.

SECTION SIXTEEN: Section 150.239 is repealed in its entirety.

SECTION SEVENTEEN: Section 150.999 is amended in its entirety and shall hereafter read as follows:

150.999 PENALTY.

Any person violating §§ 150.001 through 150.235 shall, upon conviction, be fined not less than $50 nor more than $1,000 for each day the violation exists, provided, however, the intentional submission of false information on a registration statement, or amended registration statement, filed pursuant to this subchapter shall be a violation punishable by a fine of not less than $150 nor more than $1,000. Additionally, the City Attorney shall be authorized to seek any legal or equitable remedies he/she deems necessary to enforce Sections 150.001 through 150.235.

Approved this day of , 20____ , by a roll call vote as follows: Roll Call #: Ayes: ______________________________________________________________________________ ______________________________________________________________________________ Nays: ______________________________________________________________________________ ______________________________________________________________________________ Absent: _____________________________________________________________________________ ______________________________________________________________________________ ______________________________ John Pritchard, Mayor ATTEST: ____________________________ Kelli R. Bennewitz, City Clerk

ORDINANCE NO. _________________ AN ORDINANCE ESTABLISHING THE CITY OF GALESBURG RENTAL LICENSING PROGRAM. WHEREAS, the City of Galesburg is an Illinois home rule municipal corporation organized and operating pursuant to Article VII of the Illinois constitution of 1970; and WHEREAS, the City has adopted certain housing regulations designed to protect the health, safety and welfare of the citizens of Galesburg, which are codified in Chapter 150 of the Galesburg City Code; and WHEREAS, the City Council seeks to maintain strong and stable rental housing units; and WHEREAS, the City Council seeks to correct and prevent rental dwelling conditions that adversely affect the life, safety and welfare of tenants or surrounding properties; and BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF GALESBURG, ILLINOIS, AS FOLLOWS: SECTION ONE: The foregoing recitals are hereby incorporated into this Ordinance as is fully set forth herein. SECTION TWO: Section 150.225 is amended in its entirety and shall hereafter read as follows:

RENTAL LICENSING PROGRAM HOUSING INSPECTION

150.225 INCORPORATION OF PREAMBLE.

The recitals set forth in the preamble to the ordinance from which this subchapter derives are hereby incorporated into this section and made a part of this subchapter in the same manner as if the recitals were set forth here in full. It is the purpose of the City of Galesburg Rental Licensing and Inspection Program adopted herein to assure that rental housing in the city is maintained in a good, safe, and sanitary condition and does not create a nuisance or blighted conditions to its surroundings, to ensure these conditions and to aid in the enforcement of the housing code and other relevant provisions of the City Code, the City Council hereby establishes this rental licensing and inspection program for all applicable residential rental units within the City.

SECTION THREE: Section 150.226 is amended in its entirety and shall hereafter read as follows:

150.226 DEFINITIONS.

For the purpose of this subchapter, the following definitions shall apply unless the context clearly indicates or requires a different meaning.

LANDLORD. The legal title holder of a premises, as shown by the records of the County Recorder of Deeds Office, which has one or more rental units on it. If the legal title holder is a land trust, however, the LANDLORD shall mean the beneficial owner or owners of the land trust.

PERMANENT RESIDENT. Any person who occupies, or has the right to occupy, any rental unit for at least 30 consecutive days.

PERSON. An individual, partnership or corporation or any other group acting as a unit.

PREMISES. Any building, structure, lot, plot, tract, parcel of land or portion thereof, whether improved or unimproved, including adjacent parkways which may include a A tract of land on which one or more rental units are located.

RENTAL UNIT. Each unit providing complete independent living facilities for one or more permanent residents, other than the owner, which has provisions for sleeping, eating, cooking and sanitation. A contract for deed (installment contract) property shall be considered a rental unit unless (1) the contract for deed is recorded with the Knox County Recorder of Deeds, and (2) the contract for deed complies with all requirements of Section 10 of the Installment Sales Contract Act (Public Act 100-0416)

TENANT. The person, or persons, renting a rental unit who is not the legal title holder of the unit.


150.227 REGISTRATION LICENSURE OF RENTAL UNITS OF LANDLORDS.

(A) All rental units shall be licensed annually.

(AB) A landlord shall apply for a rental license file a registration statement with the City Clerk for each premises upon which a rental unit exists, notwithstanding whether the rental unit is occupied or vacant. The application registration statement shall be prima facie evidence that the information in the statement is true.

(1) The application for license registration statement, at a minimum, shall include:

(a) The landlord’s name, business address, e-mail address and telephone number. If the landlord is a partnership or corporation, the statement shall provide the name, business address, e-mail address and telephone number for all partners or officers. Further, if the landlord is a corporation, the

statement shall include the name, business address, e-mail address and telephone number of the registered agent for the corporation;

(b) The name, business address, e-mail address and telephone number of the landlord’s agent for the purpose of managing, controlling or collecting rent and the landlord’s local agent as provided for in division (B) below;

(c) The name, business address and telephone number of each lending institution, or party holding a mortgage, on the premises;

(cd) The street address and property index number of the premises, the number of rental units and the date on which the rental units were built; and

(de) The maximum number of occupants permitted by the landlord in each building containing rental units.

(e) The name(s) of the occupying tenant(s) at the time of the application.

(2) For the purpose of this section, a post office box is not sufficient as an address.

(BC) Each landlord shall have a local agent. The local agent shall be authorized by the landlord to receive notices of code violations and receive process in any court proceeding or administrative enforcement proceeding on behalf of the landlord in connection with the enforcement of this code. The local agent must maintain an office in this county or must actually reside in this county. The agent must be a natural person 21 years or older. A landlord who is a natural person, however, and who meets the requirements of this subchapter as to location of residence or office, may designate himself or herself as the local agent.


150.228 TIME OF LICENSE APPLICATION REGISTRATION.

(A) The license application registration statement shall be filed annually with the City Clerk. Upon registration application and payment of any applicable fee, the Clerk, or the Clerk’s designee, shall issue a license certificate of registration to the landlord which shall certify that the landlord has registered licensed the premises. Each landlord shall pay a license fee of $15 for each rental unit, per year, required to be licensed. The fee shall be waived if the unit is fully sprinklered and hard-wired detectors are located in the dwelling unit. Application Registration shall be made between May 1 and May 31 for the following year. Any person who makes a registration license application more than 30 days after license expiration after May 31 shall pay a sum of $510 per unit in addition to the required license application registration fees, as a late charge.

(B) The landlord shall notify the City Clerk within ten business days of any change in the license application registration information by completing an amended application registration statement.

(C) It shall be the duty of any subsequent landlord of the premises to apply for a license register it for each rental unit as required under this subchapter within ten business days after the transfer of ownership.

(D) It is a violation of this subchapter for a person to submit, or cause to be submitted, false information on any license application registration form.

(E) No license shall be issued if the landlord owes any outstanding fines or fees to the City of Galesburg.

(F) No license shall be issued on a rental unit with outstanding housing minimum code violations as listed in Chapter 150 of this code.

(G) Commencing June 4, 2018 any rental unit not previously registered or licensed with the City of Galesburg as a rental unit, shall not be rented or allow to be occupied without first having an inspection which meets minimum standards for the rental unit. The City will inspect the new rental unit within 10 business days of initial contact by the prospective landlord.

(H) It shall be unlawful for any person to misrepresent or falsify any information in order to obtain a rental license under this section including but not limited to the license application.


150.229 MINIMUM STANDARDS.

All rental units must meet certain minimum living standards for the safety and protection of the tenants. All rental units are hereby required to meet the International Fire Code (“F”) and the current National Fire Protection Association (“NFPA”) Standards. They are hereby adopted and incorporated by reference. A copy of the Code and Standards shall be on file with the Fire Chief. Inspections shall be made by using a standard fire safety inspection form. A copy of the form, which may be changed from time to time, is on file in appropriate city offices. Any landlord, or person, owning a rental unit which does not meet the code and standards referred to above, is in violation of this subchapter.

All rental units must meet certain minimum living standards for the safety and protection of the tenants. All rental units are hereby required to conform to the minimum standards outlined in Sections 150.150 and 150.165 through 150.170 of the Galesburg City Code which are hereby adopted and incorporated by reference. All rental units are required to conform to State and City code laws governing smoke and carbon monoxide detectors. Any landlord or person owning a rental unit which does not meet these standards is in violation of this subchapter.

SECTION SEVEN: Section 150.230 is amended in its entirety and shall hereafter read as follows:

150.230 INSPECTION OF PREMISES.

(A) Commencing on June 4, 2018 April 1, 1999, every rental unit which is rented, or offered for rent, to permanent residents shall be inspected systematically for compliance with this subchapter and all other applicable laws. Any unit rented for any portion of the license year shall be required to be licensed annually.

(B) The provisions of this section do not apply to:

(1) Owner-occupied single-family dwellings;

(2) Dwellings, buildings or structures owned and operated by a nursing home facility, assisted living center, supportive living-facility, or similar use facility properly licensed by this state;

(3) Dwellings, buildings or structures licensed and inspected by the state or federal government or local government agency, provided that the inspection is based upon criteria at least as strict as required hereunder and further provided that a copy of the inspection report is filed with the City Clerk; or

(4) Hotels, motels, bed and breakfast establishments and similar facilities that do not rent to permanent residents, or;

(5) Residential buildings or dwelling units which will be vacant for the entirety of the annual license cycle. Any landlord attempting to exempt their property from rental licensure shall be required to submit a sworn statement affirming such a fact.


150.231 NOTICE OF INSPECTIONS.

(A) The inspection of rental units shall either be by consent or pursuant to an administrative warrant. If the appropriate consent has not been given to enter or inspect a rental unit, no entry or inspection shall be made without the procurement of a warrant from the Circuit Court of this county. The Court may consider any of the following factors, along with any other matters that it deems relevant, in its decision as to whether a warrant shall issue:

(1) Eyewitness account of violation;

(2) Citizen complaints;

(3) Tenant complaints;

(4) Plain view violations;

(5) Violations apparent from city records;

(6) Property deterioration;

(7) Age of property;

(8) Nature of alleged violation; and

(9) Conditions of similar properties in the area.

(B) Commencing on June 4, 2018 April 1, 1999, all rental units shall be inspected at least once every five years either by the City or through Self Inspection. Notice of the date of inspection shall be mailed to the landlord and tenant 30 15 business days prior to the date of inspection. It is the responsibility of the landlord to confirm with the tenant of the inspection date and time.

(C) If a complaint is received regarding a rental unit, however, the city may inspect the premises regardless of the normal inspection schedule. The Inspector will send even though it may, or may not, have already been inspected.The complainant must have direct knowledge of said violation stating facts and corroborating evidence.

(D) Nothing in this section shall prohibit the city from inspecting any rental unit more frequently then than every five years.

(E) Access is required for each rental unit at the scheduled time of inspection or re- inspection. If the Inspector is unable to access the rental unit at the time of inspection, he or she may assess the landlord or his/her agent a $25 missed inspection fee.

SECTION NINE: Section 150.232 is repealed in its entirety.

150.232 INSPECTION CERTIFICATE REQUIRED.

No person shall rent, or allow to be occupied, a rental unit without first having a valid certificate of inspection for the rental unit; provided, however, proof of registration of the rental unit shall authorize the landlord to rent a rental unit until an inspection is performed.

(1990 Code, § 6-421) (Ord. 98-1875, passed 12-21-1998) Penalty, see § 150.999


150.2332 RESULTS OF INSPECTION.

(A) The city shall issue a certificate of inspection to a landlord if, after inspection, the rental unit meets applicable law.

(A)(B) If a rental unit is in violation of any applicable law, the city shall mail a written report of the violation to the landlord within 21 10 business days of the inspection. The

city shall allow the landlord 21 not more than 30 business days to correct the violation(s). The report shall state a re-inspection date. A copy of the report will be available at City Hall. The landlord’s failure to receive a copy of the report does not limit the city’s right to enforce these requirements.

(B) (C) After re-inspection(s), if the Inspector believes the landlord or his/her agent is not correcting the violations or allowing re-inspections, either by refusal or missed appointments, the Inspector may refer the violation(s) to the City’s administrative adjudication process. The city shall issue a certificate of inspection if the violations are corrected. If the violations are not corrected, a certificate of inspection shall not issue and the city may take whatever action is necessary to enforce compliance with the applicable laws.

(C) If the Inspector determines that the violation poses a significant threat to the health, safety or welfare of the tenant(s) exists, the Inspector may determine the landlord or his/her agent shall correct the violation(s) after notice is given to the landlord or his/her agent.

(D) Time extension. The Department of Planning and Public Works may grant a 15 business day extension to the compliance deadline established in the violation notice if requested in writing and filed with the Department of Planning and Public Works by the responsible party before the re-inspection date.

(E) If the landlord is non-compliant and his/her rental license is not renewed or revoked for a rental unit, all other rental units owned by this landlord currently classified as self-inspection shall be reclassified and subject to annual inspections in the City Inspection category.

SECTION ELEVEN: That Section 150.233 of the Galesburg City Code is hereby created and shall hereafter read as follows:

150. 233 INSPECTION CLASSIFICATION

Previously registered rental property which currently do not have any outstanding violations shall be classified as self inspection and shall initiate self inspection of rental units by May 1, 2019 in compliance with 150.233 A. Landlords with more than 10 units shall have until May 1, 2020 to comply with self inspection on rental units. Upon completion of a rental unit's initial City inspection, the property shall be classified by the Inspector according to the classification system set forth herein. All rental units not registered prior to May 1, 2017 shall be inspected by the City prior to being licensed and will be classified by the Inspector according to the classifications in 150.233. Any Property may be considered for reclassification at each subsequent inspection.

(A)Self Inspection. (1)Rental unit has no violations or violations corrected in a reasonable manner and timeframe. Rental unit referred to self-inspection as outlined herein. Rental units eligible for self-inspection shall have a self-inspection form supplied by the City, filled out and signed by the

landlord or his/her agent, and the tenant at least once every five years. Both landlord or his/her agent and the tenant must be present for the on- site inspection. If rental unit is unoccupied, tenant presence is not required. This form must be presented at the time of annual application of license with the City on the years in which a self-inspection is required. (2) Self inspected rental units may be randomly verified through inspection by the City Inspector to ensure compliance.

(B) City Inspection. Rental unit has uncorrected violations that do not pose a life safety risk or landlord or his/her agent has two or more missed inspections without cause. Inspections may occur as frequently as every year thereafter. (C) City Inspection – noncompliant. Rental unit has uncorrected violations which pose life and safety hazards to occupants or surrounding units and/or vicinity or the landlord or his/her agent is uncooperative with seeking violation remedies. Revocation of license may be a result of this classification. (D) It shall be unlawful for any person to misrepresent or falsify any information under this section including but not limited to information on the self-inspection form.

SECTION TWELVE: Section 150.234 is repealed in its entirety.

150.234 EXPIRATION OF CERTIFICATE.

A certificate of inspection shall expire five years from the date of its issuance; provided, however, that if a reinspection of the premises has not been completed prior to the expiration of the certificate of inspection, the rental unit may continue to be rented until the reinspection is completed.

(1990 Code, § 6-423) (Ord. 98-1875, passed 12-21-1998)

SECTION THIRTEEN: Section 150.235 is repealed in its entirety.

150.235 TRANSFERABILITY OF CERTIFICATE.

A certificate of inspection may be transferred to a succeeding landlord; provided, however, that the new landlord’s failure to register a premises as required by this subchapter may result in the suspension or revocation of the certificate of inspection.

(1990 Code, § 6-424) (Ord. 98-1875, passed 12-21-1998)

SECTION FOURTEEN: Section 150.236 is repealed in its entirety.

150.236 DISPLAY OF CERTIFICATE.

A landlord shall produce a current certificate of inspection upon request by a tenant or prospective tenant.

(1990 Code, § 6-425) (Ord. 98-1875, passed 12-21-1998)

SECTION FIFTEEN: Section 150.237 is repealed in its entirety.

150.237 HOUSING BOARD OF APPEALS.

(A) A Housing Board of Appeals (hereinafter called “Board”) is created.

(B) The Board shall consist of seven members appointed by the Mayor with the approval of the City Council. The Mayor shall appoint one of the members to serve as chairperson. All members shall be residents of the city. In addition, it shall consist of:

(1) Two members who are owners of rental property located within the city;

(2) Two members who are tenants in rental units located within the city;

(3) One building contractor; and

(4) Two members of the general public.

(C) Members shall be appointed to serve initial terms on the Board as follows:

(1) Three members shall be appointed to serve for a term of one year;

(2) Two members shall be appointed to serve for a term of two years; and

(3) Two members shall be appointed to serve for a term of three years.

(D) After the initial term has been served by a member, all successive members to the Board shall be appointed to serve for three-year periods each. Vacancies upon the Board shall be filled for the unexpired term of the member whose place has become vacant in the manner herein provided for the appointment of the members.

(E) All meetings of the Board shall be held at the call of the chairperson and at any other times as the Board may determine. All hearings conducted by the Board shall be open to the public. The Board shall keep minutes of its proceedings and a record of its votes. The minutes shall be on file with the City Clerk. The Board shall adopt its own rules of procedure.

(F) The Board is authorized to:

(1) Hear any appeal filed by any person aggrieved by the decision of any city official pertaining to the terms and conditions of this subchapter;

(2) Review and recommend to the City Council changes in the rental housing inspection program requirements; and

(3) Suspend, or revoke, a certificate of registration if the Board finds, after notice and a hearing, that a landlord is in violation of this subchapter.

(1990 Code, § 6-426) (Ord. 98-1875, passed 12-21-1998)

SECTION SIXTEEN: Section 150.239 is repealed in its entirety.

150.239 REGISTRATION FEE.

Each landlord shall pay a registration fee of $15 for each rental unit, per year, required to be registered under this subchapter, if fully sprinklered and hard-wired detectors in the dwelling.

(1990 Code, § 6-428) (Ord. 98-1875, passed 12-21-1998; Ord. 05-3106, passed 12-19- 2005; Ord. 09-3263, passed 11-2-2009; Ord. 14-3465, passed 11-17-2014)

SECTION SEVENTEEN: Section 150.999 is amended in its entirety and shall hereafter read as follows:

150.999 PENALTY.

(A) Any person violating any provision of this chapter for which no specific penalty is prescribed shall be subject to § 10.99.

(B) Any person violating, disobeying, neglecting or refusing to comply with any of the regulations or provisions of §§ 150.035 through 150.044 shall be fined not less than $50 for each offense.

(1990 Code, § 6-88)

(C) Any person violating, disobeying, neglecting or refusing to comply with any of the regulations or provisions of §§ 150.061 through 150.067 shall be fined not less than $50 for each offense.

(1990 Code, § 6-88)

(D) Any person violating any provision of §§ 150.180 through 150.191 shall, upon conviction thereof, be fined not less than $100.

(1990 Code, § 6-307)

(E) Any person violating §§ 150.001 through 150.2395 shall, upon conviction, be fined not less than $50 nor more than $1,000 for each day the violation exists, provided, however, the intentional submission of false information on a registration statement, or amended registration statement, filed pursuant to this subchapter shall be a violation punishable by a fine of not less than $150 nor more than $1,000. Additionally, the City Attorney shall be authorized to seek any legal or equitable remedies he/she deems necessary to enforce Sections 150.001 through 150.235.


MAY 21, 2018

AGENDA ITEM: Ordinance Establishing Minimum Housing Standards.

SUMMARY RECOMMENDATION: The City Manager, Director of Planning and Public Works, Housing Coordinator and Fire Chief recommend approval of the Ordinance Establishing Minimum Housing Standards.

BACKGROUND: The Housing Minimum Standards for the City of Galesburg have not been updated since 1969. Since that time fire prevention and community practices have changed to improve safety, health and basic quality of life standards for residents. Research has shown that people today have 3 to 4 minutes to escape a dwelling before fire flash over occurs, whereas this was 17 minutes 40 years ago. This is due to the overwhelming use of synthetic materials used in home furniture and furnishings today.

Research was conducted on housing codes from other communities, input was received from staff, Administration and the Fire Department. Suggested changes were presented and reviewed through a series of meetings with the Rental Advisory Committee, which was comprised of tenants, landlords, insurance agents, Knox County Housing Authority and Carver Center. Feedback from the committee was incorporated into the attached ordinance.

This ordinance proposes definition changes for safety exits, standardizing the time elements in accountability and enforcement, simplifying the explanations for lighting, ventilation and window needs, and providing adequate fire safety exits for all dwellings. Minimum space requirements in Section 150.168 shall only be required of new or modified dwellings.

The proposed Housing Minimum Standards ordinance would apply to all owner occupied and rental dwellings in the City of Galesburg. A work session was held with the City Council on April 30, 2018 to preview the City’s five year housing plan and to obtain feedback from Council members on proposed changes to the Minimum Housing Standards Ordinance.


SUPPORTING DOCUMENTS: 1. Ordinance establishing Minimum Housing Standards2. Ordinance Minimum Housing Standards redline version

18-1010

1

ORDINANCE NO. _________________ AN ORDINANCE ESTABLISHING MIMIMUM HOUSING STANDARDS. WHEREAS, the City of Galesburg is an Illinois home rule municipal corporation organized and operating pursuant to Article VII of the Illinois constitution of 1970; and WHEREAS, the City has adopted certain housing regulations designed to protect the health, safety and welfare of the citizens of Galesburg, which are codified in Chapter 150 of the Galesburg City Code; and WHEREAS, the Mayor and City Council find that amendment of the minimum housing standards is in the best interests of the health, safety, and welfare of its residents. WHEREAS, the City Council finds that housing which does not meet certain minimum standards endangers the health of its occupants and can harm the value of surrounding properties; and WHEREAS, the City Council finds that housing which does not meet certain minimum standards is more likely to require nuisance abatement or demolition by the City of Galesburg; and BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF GALESBURG, ILLINOIS, AS FOLLOWS: SECTION ONE: The foregoing recitals are hereby incorporated into this Ordinance as is fully set forth herein. SECTION TWO: Section 150.150 of the Galesburg City Code is amended in its entirety, and shall hereafter read as follows: Housing Code Generally; Administration and Enforcement 150.150 DEFINITIONS

(A) Meaning of certain words. When the words “dwelling,” “dwelling unit,” “roominghouse” and “premises” are used in this subchapter, they shall be construed as though they were followed by the words “or any part thereof.”

(B) Definitions. For the purpose of this subchapter, the following definitions shall apply unless the context clearly indicates or requires a different meaning.

BUSINESS DAY. Any day in which normal business is conducted. This is Monday through Friday from 8am to 5pm and excludes Saturday, Sunday and any holiday in which the City Hall of the City of Galesburg is closed.

2

DWELLING. Any building which is wholly or partly used or intended to be used for living or sleeping by human occupants.

DWELLING UNIT. Any room or group of rooms located within a dwelling and forming a single habitable unit with facilities which are used or intended to be used for living, sleeping, cooking and eating.

EXTERMINATION. The control and elimination of insects, rodents or other pests by eliminating their harborage places; by removing or making inaccessible materials that may serve as their food; by poisoning, spraying, fumigating, trapping; or by any other recognized and legal pest elimination methods.

GARBAGE. The animal and vegetable waste resulting from the handling, preparation, cooking and consumption of food.

HABITABLE ROOM. A room or enclosed floor space used for or intended to be used for living, sleeping, cooking or eating purposes, excluding bathrooms, water closet compartments, laundries, pantries, foyers, corridors, closets, storage spaces or stairways.

INFESTATION. The presence of an unusually large number of any insects, rodents or other pest, within or around a dwelling.

INSPECTION DIVISION. The Department of Planning and Public Works.

MULTIPLE DWELLING. Any dwelling containing more than two dwelling units.

OCCUPANT. Any person living, sleeping, cooking or eating in, or having actual possession of a dwelling unit or rooming unit.

OPERATOR. Any person who has charge, care or control of a building, or part thereof, in which dwelling units or rooming units are let.

OWNER.

(a) Any person who, alone or jointly or severally with others:

1. Shall have legal or equitable title to any dwelling or dwelling unit, with or without actual possession thereof; or

2. Shall have charge, care or control of any dwelling or dwelling unit, as owner or agent of the owner, or as executor, executrix, administrator, administratrix, trustee or guardian of the estate of the owner.

(b) Any person thus representing the actual OWNER shall be bound to comply with the provisions of this subchapter and of rules and regulations adopted pursuant thereto, to the same extent as if he or she were the OWNER.

PLUMBING. Includes all of the following supplied facilities and equipment: gas pipes, gas-burning equipment, water pipes, garbage disposal units, waste pipes, water closets, sinks, installed dishwashers, lavatories, bathtubs, shower baths, installed clothes-

3

washing machines, catch basins, drains, vents and any other similar supplied fixtures, together with all connections to water, sewer or gas lines.

PREMISES. Any building, structure, lot, plot, tract, parcel of land or portion thereof, whether improved or unimproved, including adjacent parkways.

PRIMARY MEANS OF ESCAPE. Shall be a door, stairway, or ramp providing a means of unobstructed travel to the outside of the dwelling unit at street or ground level.

ROOMINGHOUSE. Any dwelling or that part of any dwelling containing one or more rooming units, in which space is let for compensation by the owner or operator to three or more persons who are not husband or wife, son or daughter, mother or father, sister or brother, grandparents, grandchildren, niece or nephew or domestic employees (not to exceed two in number) of the owner or operator.

ROOMING UNIT. Any room or group of rooms forming a single habitable unit used or intended to be used for living and sleeping, but not for cooking or eating purposes.

RUBBISH. Combustible and noncombustible waste materials, except garbage.

SECONDARY MEANS OF ESCAPE. Shall be a door, stairway, passage, or hall providing a way of unobstructed travel to the outside of the dwelling at street or ground level that is independent of and remote from the primary means of escape. Or it shall be an outside window or door operable from the inside without the use of tools, keys, or special effort of a size original to the construction of the dwelling.

SUPPLIED. Paid for, furnished or provided by or under the control of, the owner or operator.

SECTION THREE: Section 150.151 of the Galesburg City Code is amended in its entirety, and shall hereafter read as follows:

150.151 INSPECTION OF DWELLINGS, DWELLING UNITS, ROOMING UNITS AND PREMISES.

(A) The Department of Planning and Public Works is hereby authorized and directed to make inspections to determine the condition of dwellings, dwelling units, rooming units and premises located within the city in order that it may perform its duty of protecting the health and safety of the occupants of dwellings and of the general public. For the purpose of making these inspections the Department of Planning and Public Works is hereby authorized to enter, examine and survey at all reasonable times all dwellings, dwelling units, rooming units and premises located in the city; provided, however, that the Department shall first give notice in writing to the occupant of the dwelling, dwelling unit, rooming unit or premises if the same be occupied, and to the owner thereof, of the intent to inspect the dwelling, dwelling unit, rooming unit or premises. This notice shall be given or mailed to the occupant, if the dwelling, dwelling unit, rooming unit or premises is occupied, and to the owner, at least 15 business days prior to the time of the inspection, which notice to include the day, date and approximate time of the inspection. A notice mailed to the last known address of the person to whom the notice is addressed

4

shall be sufficient to comply with this section. The City has the right to inspect a dwelling unit, rooming unit or premises with less than 15 business days’ notice if the violation(s) pose an imminent danger to the life, health or safety of the occupants of the building or surrounding buildings/areas as determined by the City Manager or his/her designee. The owner shall be notified, by phone or US Mail depending on the severity of he violation, of the City Manager or his/her designee’s decision to have an unscheduled inspection at the time of decision to make an unscheduled inspection.

(B) The owner or occupant of every dwelling, dwelling unit, rooming unit and premises, or the person in charge thereof, shall give the Inspector free access to the dwelling, dwelling unit, rooming unit and premises at all reasonable times for the purpose of inspection of the premises, examination and survey, but is required to do so only if the requisites of notice as prescribed in division (A) above have been fully complied with by the Inspector; and further only if the Inspector presents proper credentials at the time he or she appears to make the inspection. No penalty shall be imposed for violation of this division (B).


150.153 ENFORCEMENT, SERVICE OF NOTICE AND ORDERS.

(A) Whenever the Inspector determines that there are reasonable grounds to believe that there has been a violation pursuant to this subchapter, he or she shall give notice of the alleged violation to the owner responsible therefor, as hereinafter provided.

(B) The notice shall:

(1) Be in writing;

(2) Include a statement of any alleged violations;

(3) The City shall allow the owner and/or landlord not more than 30 business days to correct the violation(s). The report shall state a re-inspection date. A copy of the report will be available at City Hall. The owner’s and/or landlord’s failure to receive a copy of the report does not limit the city’s right to enforce these requirements.

(4) Be served upon the owner or his or her agent within 10 business days of the inspection, and the occupant if he or she is not the owner, as the case may require; provided, that the notice shall be deemed to be properly served upon the owner or agent or upon the occupant, if a copy thereof is served upon him or her personally, or is sent by registered mail to his or her last known address, or is posted in a conspicuous place in or about the dwelling affected by the action.

(C) The notice may contain an outline of remedial action which, if taken, will affect compliance with the provisions of this subchapter and with rules and regulations adopted pursuant thereto.

5

(D) Time extension. The Department may grant an reasonable time extension to the compliance deadline established in the violation notice if requested in writing and filed with the Department of Planning and Public Works by the responsible party before the re-inspection date.


150.154 VARIANCES AND APPEALS.

(A) The Overall Code Review Commission as established in Ordinance 80-707 shall hereby be authorized to hear and decide on all requests for variances of the requirements of this subchapter. Furthermore, the Overall Code Review Commission is authorized to hear and decide appeals where it is alleged there is an error in any order, requirement, decision or determination made by the inspections office in the enforcement of this subchapter.

(B) Any person aggrieved may take an appeal to the Overall Code Review Commission from any decision or notice given by the Inspector issued pursuant to the provisions of this subchapter.

(C) An appeal may be taken within 15 business days from the date of the decision appealed from by filing with the Inspector and with the Overall Code Review Commission a notice of appeal, specifying the grounds thereof. The Inspector shall forthwith transmit to the Overall Code Review Commission all the papers upon which the action appealed was taken

(D) The Overall Code Review Commission shall, in every case, hold a hearing and reach a decision without unreasonable or unnecessary delay. Every decision of the Overall Code Review Commission shall be in writing and shall be promptly filed in the office of the Inspector. A copy of the decision shall be sent by mail or otherwise to the person appealing, and to all members of the City Council. All decisions shall require an affirmative vote of a majority of the quorum then present of the Overall Code Review Commission. If a decision of the Overall Code Review Commission reverses the order of the Inspector, he or she shall take action immediately in accordance with the decision.

(E) The Overall Code Review Commission, when so appealed to, and after a public hearing, may vary the application of any provision of this subchapter to any particular case when, in its opinion, the enforcement thereof would result in practical difficulty or unnecessary hardship; provided, that the spirit of this subchapter will be observed, public health and welfare secured, and substantial justice done. The Overall Code Review Commission may also extend for a reasonable period the time specified for compliance where conditions exist that would create a hardship, and that the extension will not create or continue a health hazard to surrounding territory.

(F) A decision of the Overall Code Review Commission to vary the application of any provision of this subchapter, or to modify an order of the Inspector, shall specify in what manner the variation or modification is made, the conditions upon which it is made and the reasons therefor.

6

(G) The proceedings at the hearings, including the findings and decisions of the Overall Code Review Commission and the reasons therefor shall be summarized and reduced to writing and entered as a matter of public record in the office of the Inspector. The record shall also include a copy of every notice and order issued in connection with the matter. Any person aggrieved by a decision of the Overall Code Review Commission may, within 10 business days of the receipt of notice of the decision, file a request in writing with the Inspector that he or she transmit a copy of the Overall Code Review Commission’s findings and decision to the City Council, which the Inspector shall do forthwith. The report shall act as the recommendation of the Overall Code Review Commission to the City Council; and the Council may concur with, reject or modify the recommendation. In the event no written notice is filed with the Inspector within the time above specified, the decision of the Overall Code Review Commission shall be final.


150.155 DESIGNATION OF FIT DWELLINGS AND DWELLING UNITS AS UNFIT FOR HUMAN HABITATION.

(A) The designation of dwellings or dwelling units as unfit for human habitation and the procedure for the determination and placarding of the unfit dwellings or dwelling units shall be carried out in compliance with the requirements of this section.

(B) Any dwelling or dwelling unit which fails to meet the requirements of §§ 150.165, 150.166, 150.167 and 150.168, or any of them to the extent that health, safety and welfare of occupants or adjacent occupants or properties is at risk of health or harm such as the structure is unsafe, unlawful or, because of the degree to which the building is in disrepair or lacks maintenance, is unsanitary, vermin or rat infested, contains filth and contamination, or lacks ventilation, illumination, sanitary or heating facilities or other essential equipment required by this code, or because the location of the structure constitutes a hazard to the occupants of the building or to the public, hereof, may be declared to be unfit for human habitation and may be so designated and placarded by the the City Manager or his/her designee.

(C) Any dwelling or dwelling unit determined as unfit for human habitation, and so designated and placarded by the the City Manager or his/her designee, shall be vacated within a reasonable period, not to exceed 5 business days as ordered by the the City Manager or his/her designee.

(D) No dwelling or dwelling unit which has been determined and placarded as unfit for human habitation shall again be used for human habitation until written approval is secured from and the placard is removed by the Inspector who shall remove the placard only when the defect or defects upon which the determination and placarding action were based have been eliminated, and after the dwelling or dwelling unit has been inspected and been found to comply in all respects with the requirements of this subchapter.

(E) No person shall deface or remove the placard from any dwelling or dwelling unit which has been determined and placarded as such, except as provided in division (D) above.

7

(F) An owner may file a written appeal of this designation with the City Clerk's office. This appeal shall be filed within 5 business days of placarding of the building. Appeals shall be heard by the City's administrative hearing officer at the next regularly scheduled administrative court date.

HOUSING CODE MINIMUM STANDARDS

SECTION SEVEN: Section 150.165 is amended in its entirety and shall hereafter read as follows: 150.165 BASIC EQUIPMENT AND FACILITIES.

(A) No person shall occupy as owner-occupant or let to another for occupancy any dwelling or dwelling unit, for the purpose of living, sleeping, cooking or eating therein, which does not comply with the minimum requirements of this section.

(B) Every dwelling unit shall contain a kitchen sink in good working condition and properly connected to a water and sewer system, meeting the requirements of the State Department of Public Health.

(C) Every dwelling unit (except as otherwise permitted under division (E) of this section) shall contain a room which affords privacy to a person within the room and which is equipped with a flush water closet and lavatory basin in good working condition and properly connected to a water and sewer system meeting the requirements of the State Department of Public Health.

(D) Every dwelling unit (except as otherwise permitted under division (E) of this section) shall contain, within a room which affords privacy to a person within the room, bathing facilities; the room may be the same room as required under division (C).

(E) The occupants of not more than one dwelling unit may share a single flush water closet, a single lavatory basin and bathtub or shower. The water closet, lavatory basin and bathtub or shower shall be in good working condition and properly connected to a water and sewer system meeting the requirements of the State Department of Public Health.

(F) Every dwelling unit shall be supplied with adequate rubbish and garbage disposal facilities or storage containers with tight-fitting lids or covers adequate to prevent access to the garbage and rubbish by insects, rodents or other pests.

(G) Every dwelling unit shall have safe, unobstructed means of egress leading to a safe and open space at ground level as required by the laws of this state and the city.

(H) In dwelling unit(s) every sleeping room shall have not less than one primary means of escape and one secondary means of escape. A secondary means of escape shall not be required where one of the following conditions are met: (1) The bedroom has a door leading directly to the outside of the building at or to grade level. (2) The dwelling unit is protected throughout by an approved automatic sprinkler system.

8

The requirements of this subsection shall apply to new dwellings or modified dwellings only. All other dwellings shall meet the requirements of the code applicable at the time of its construction. (I) Every rental premises with more than two units shall have a fire extinguisher placed in a common area, indoor or outdoor, in which all tenants have access.

(J) Every dwelling shall have running water properly connected to a water and sewer system, meeting the requirements of the State Department of Public Health.


150.166 LIGHT, VENTILATION AND HEATING.

(A) No person shall occupy as owner-occupant or let to another for occupancy any dwelling or dwelling unit, for the purpose of living therein which does not comply with the minimum requirements of this section.

(B) Every common hall and stairway in residential dwellings, other than one- and two- family dwellings, shall be lighted at all times with at least a 60-watt standard incandescent light bulb or equivalent illumination for each 200 square feet of floor area, provided that the spacing between lights shall not be greater than 30 feet.

(C) Every habitable room shall be provided with light by one of the following methods:

(1) Natural light by at least one exterior window, facing directly to a public way, yard or court with a minimum total window area of not less than 8 percent of the floor area of the room served; or

(2) Artificial light sufficient to permit the maintenance of sanitary conditions, and the safe occupancy of the space and utilization of the appliances, equipment and fixtures.

(D) Every habitable room and bathroom shall be provided with ventilation by one of the following methods:

(1) Natural ventilation through at least one window that can be easily opened to the outdoors. The total openable window area in every habitable room shall be equal to at least 4 percent of the floor area being ventilated. Every window, or other opening to the outside of a dwelling, used for ventilation shall be supplied with tightly fitting screens that provide protection against flies, mosquitos and other insects.

(2) Mechanical ventilation shall be provided by a method of supply air and return or exhaust air, in accordance with the adopted Mechanical Code.

(3) A bathroom that is equipped with a mechanical ventilation system shall discharge directly to the outdoors and shall not be recirculated.

9

(E) Every dwelling unit shall be supplied with water-heating facilities properly installed and maintained in good and safe working order to furnish water at a minimum of 120ºF.

(F) When there is electrical service available to the building or structure, every habitable room of a dwelling or multi-family dwelling shall contain at least two separate and remote outlets, one of which may be a ceiling or wall-type electric light fixture. In kitchens, three separate and remote wall-type electrical convenience outlets or two convenience outlets and one ceiling or wall-type electric fixture shall be provided. Every public hall, water closet compartment, bathroom, laundry room or furnace room shall contain at least one electric light fixture. In addition to the electric light fixture in every bathroom and laundry room, there shall be provided at least one electric outlet. Every electrical outlet and fixture, as required, shall be installed, maintained and connected to the source of electric power in accordance with the provisions of the Electrical Code of the city. Where it is found that the electrical system in a building constitutes a hazard to the occupants of the building by reason of inadequate service, improper fusing, insufficient outlets, improper wiring or installation, deterioration or damage, or for similar reasons, the Electrical Inspector shall require the defects to be corrected to eliminate the hazard.

(G) Every dwelling and multi-family dwelling shall have heating facilities and the owner of the heating facilities shall be required to see that they are properly installed, safely maintained and in good working condition, and that they are capable of safely and adequately heating all habitable rooms, bathrooms and toilet rooms located therein, to a temperature of at least an average of 68ºF. The owner shall maintain a minimum average room temperature of 68ºF in all habitable rooms, including bathrooms and toilet rooms, when rented, at all times. When the outdoor temperature is below the winter outdoor design temperature (-4ºF), maintenance of the minimum room temperature shall not be required provided that the heating system is operating at its full capacity. Cooking appliances or portable, unvented, fuel-burning space heaters shall not be used to provide required heating.

(H) Every laundry or furnace room, and all similar non-habitable work space located in a dwelling or multiple dwelling shall have one supplied electric light fixture available at all times.

(I) Every basement window used or intended to be used for ventilation and every other opening to a basement which might provide an entry for rodents shall be supplied with a screen or any other device as will effectively prevent the entry.

(J) All construction done and installations made to comply with the provisions of this subchapter shall be in accordance with the ordinances of the city and statutes of the state regulating the construction and installations.

(K) All exterior walls shall have exterior wall coverings and flashing installed, and maintained, in such a manner so as to provide a weather resisting barrier for the protection of building structural members and interior space from the detrimental effects of the exterior environment.

10

(L) On every dwelling every chimney shall be kept in safe repair.

(M) Every inside and outside stairway, porch and every appurtenance thereto of every dwelling shall be maintained in a good state of repair as to be safe to use and capable of supporting the load that normal use may cause to be placed upon it.

(N) All garages, toolsheds and all other outbuildings shall be kept in good repair so as not to be unsafe or become a harborage for rats and other rodents.

(O) Habitable rooms in existing buildings shall have a clear ceiling height of not less than seven feet except that in attics on top half-stories the ceiling height can be less than 7 feet no more than one-third of the area when used for sleeping, study or similar activity. In calculating the floor area of the rooms those portions of the floor area of the room having a clear ceiling height of five feet or more may be included.

SECTION NINE: Section 150.168 is amended in its entirety and shall hereafter read as follows:

150.168 MINIMUM SPACE, USE AND LOCATION REQUIREMENTS.

(A) No person shall occupy or let to another for human occupancy any dwelling or dwelling unit for the purpose of living therein, which does not comply with the requirements of this section.

Exception: The requirements of this section shall apply to new dwellings or modified dwellings only. All other dwellings shall meet the requirements of the code applicable at the time of its construction.

(B) Every dwelling unit shall contain at least 150 square feet of floor space for the first occupant thereof and at least 100 additional square feet of floor space for every additional occupant thereof, the floor space to be calculated on the basis of total habitable room area.

(C) In every dwelling unit of two or more rooms every room occupied for sleeping purposes by one occupant shall contain at least 70 square feet of floor space, and every room occupied for sleeping purposes by more than one occupant shall contain at least 50 square feet of floor space for each occupant thereof.

(D) No dwelling or dwelling unit containing two or more sleeping rooms shall have such room arrangements that access to a bathroom or water closet compartment intended for use by occupants of more than one sleeping room can be had only by going through another sleeping room; nor shall room arrangements be such that access to a sleeping room can be had only by going through another sleeping room or a bathroom or water closet compartment.

(E) No space below grade shall be used as a habitable room or dwelling unit unless:

(1) The floor and walls are impervious to leakage of underground and surface runoff water;

11

(2) The total of window area in each room is equal to at least the minimum window area sizes as required in § 150.166(C);

(3) The required minimum window area is located entirely above the grade of the ground adjoining the window area; or window wells are required where the bottom of the window is below ground level. The window well must not interfere with the window fully opening. The distance from the window to the back of the well must be at least 36 inches and the minimum area of the well must 9 square feet. (width x projection)

(4) The total of openable window area in each room is equal to at least the minimum required under § 150.166(C), except where there is supplied some other device affording adequate ventilation.

150.169 RESPONSIBILITIES OF OWNERS AND OCCUPANTS.

(A) Every owner, agent or person in possession, charge or control of a dwelling containing two or more dwelling units shall be responsible for maintaining the shared or public area of the dwelling and premises thereof in a clean and sanitary condition.

(B) Every occupant of the dwelling or dwelling unit shall keep that part of the dwelling, dwelling unit and premises thereof which he or she occupies and controls in a clean and sanitary condition.

(C) Every occupant of a dwelling or dwelling unit shall dispose of all his or her rubbish, garbage and any other waste which might provide food for rodents, in a clean and sanitary manner, by placing it in the garbage disposal facilities or garbage storage containers required by § 150.165(F).

(D) Every occupant of a dwelling or dwelling unit shall be responsible for hanging all screens whenever the same are required under the provisions of this subchapter or of any rule or regulation adopted pursuant thereto, except where the owner has agreed to supply the service.

(E) Every occupant of a dwelling containing a single dwelling unit shall be responsible for the extermination of any insects, rodents or other pests therein or on the premises, and every occupant of a dwelling unit in a dwelling containing more than one dwelling unit shall be responsible for the extermination whenever his or her dwelling unit is the only one infested. Notwithstanding the foregoing provisions of this division (E), whenever infestation is caused by failure of the owner to maintain a dwelling in a rat-proof or reasonably insect-proof condition, extermination shall be the responsibility of the owner. Whenever infestation exists in two or more of the dwelling units in any dwelling, or in the shared or public parts of any dwelling containing two or more dwelling units, extermination thereof shall be the responsibility of the owner.

(F) Every occupant of a dwelling unit shall keep all plumbing fixtures therein in a clean and sanitary condition and shall be responsible for the exercise of reasonable care in the proper use and operation thereof.

12


150.170 ROOMINGHOUSES.

(A) No person shall operate a roominghouse or shall occupy or let to another for occupancy any rooming unit in any roominghouse or dwelling unit, except in compliance with the provisions of every section of this subchapter except the provisions of §§ 150.165 through 150.169.

(B) At least one flush water closet, lavatory basin and bathtub or shower, properly connected to a water and sewer system meeting the requirements of the State Department of Public Health and in good working condition, shall be supplied for each six persons or fraction thereof residing within a roominghouse, including members of the operator’s family wherever they share the use of the facilities; provided, that in a roominghouse where rooms are let only to males, flush urinals may be substituted for not more than one-half the required number of water closets. All the facilities shall be so located within the dwelling as to be reasonably accessible from a common hall or passageway to all persons sharing the facilities. Every lavatory basin and bathtub or shower shall be supplied with hot water at all times.

(C) Every room occupied for sleeping purposes by one person shall contain at least 70 square feet of floor space, and every room occupied for sleeping purposes by more than one person shall contain at least 50 square feet of floor space for each occupant thereof.

(D) Every rooming unit shall have safe, unobstructed means of egress leading to safe and open space at ground level as required by the laws of this state and the city.

(E) The operator of every roominghouse shall be responsible for the sanitary maintenance of all walls, floors and ceilings and for the maintenance of a sanitary condition in every part of the roominghouse; and he or she shall be further responsible for the sanitary maintenance of the entire premises where the entire structure or building is leased or occupied by him or her, where bedding, bed linen or towels are supplied, the owner or operator shall maintain the bedding in a clean and sanitary manner, and he or she shall furnish clean bed linen and towels at least once each week and prior to the letting of any room to any occupant.

(F) Every provision of this section which applies to roominghouses shall also apply to hotels and motels except to the extent that the provision may be found in conflict with the laws of this state.

Approved this day of , 20____ , by a roll call vote as follows: Roll Call #: __________

13

Ayes: ______________________________________________________________________________ ______________________________________________________________________________ Nays: ______________________________________________________________________________ ______________________________________________________________________________ Absent: _____________________________________________________________________________ ______________________________________________________________________________ ______________________________ John Pritchard, Mayor ATTEST: ____________________________ Kelli R. Bennewitz, City Clerk

1

ORDINANCE NO. _________________ AN ORDINANCE ESTABLISHING MIMIMUM HOUSING STANDARDS. WHEREAS, the City of Galesburg is an Illinois home rule municipal corporation organized and operating pursuant to Article VII of the Illinois constitution of 1970; and WHEREAS, the City has adopted certain housing regulations designed to protect the health, safety and welfare of the citizens of Galesburg, which are codified in Chapter 150 of the Galesburg City Code; and WHEREAS, the Mayor and City Council find that amendment of the minimum housing standards is in the best interests of the health, safety, and welfare of its residents. WHEREAS, the City Council finds that housing which does not meet certain minimum standards endangers the health of its occupants and can harm the value of surrounding properties; and WHEREAS, the City Council finds that housing which does not meet certain minimum standards is more likely to require nuisance abatement or demolition by the City of Galesburg; and BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF GALESBURG, ILLINOIS, AS FOLLOWS: SECTION ONE: The foregoing recitals are hereby incorporated into this Ordinance as is fully set forth herein. SECTION TWO: Section 150.150 of the Galesburg City Code is amended in its entirety, and shall hereafter read as follows: Housing Code Generally; Administration and Enforcement 150.150 DEFINITIONS

(A) Meaning of certain words. When the words “dwelling,” “dwelling unit,” “roominghouse” and “premises” are used in this subchapter, they shall be construed as though they were followed by the words “or any part thereof.”

(B) Definitions. For the purpose of this subchapter, the following definitions shall apply unless the context clearly indicates or requires a different meaning.

BASEMENT. A portion of a building located partly underground, but having less than half its clear floor-to-ceiling height below the average grade of the adjoining ground.

2

CELLAR. A portion of a building located partly or wholly underground, and having half or more than half of its clear floor-to-ceiling height below the average grade of the adjoining ground.

BUSINESS DAY. Any day in which normal business is conducted. This is Monday through Friday from 8am to 5pm and excludes Saturday, Sunday and any holiday in which the City Hall of the City of Galesburg is closed.

DWELLING. Any building which is wholly or partly used or intended to be used for living or sleeping by human occupants.

DWELLING UNIT. Any room or group of rooms located within a dwelling and forming a single habitable unit with facilities which are used or intended to be used for living, sleeping, cooking and eating.

EXTERMINATION. The control and elimination of insects, rodents or other pests by eliminating their harborage places; by removing or making inaccessible materials that may serve as their food; by poisoning, spraying, fumigating, trapping; or by any other recognized and legal pest elimination methods.

GARBAGE. The animal and vegetable waste resulting from the handling, preparation, cooking and consumption of food.

HABITABLE ROOM. A room or enclosed floor space used for or intended to be used for living, sleeping, cooking or eating purposes, excluding bathrooms, water closet compartments, laundries, pantries, foyers, corridors, closets, storage spaces or stairways.

INFESTATION. The presence of an unusually large number of any insects, rodents or other pest, within or around a dwelling.

INSPECTION DIVISION. The Department of Planning and Public Works.

MULTIPLE DWELLING. Any dwelling containing more than two dwelling units.

OCCUPANT. Any person living, sleeping, cooking or eating in, or having actual possession of a dwelling unit or rooming unit.

OPERATOR. Any person who has charge, care or control of a building, or part thereof, in which dwelling units or rooming units are let.

OWNER.

(a) Any person who, alone or jointly or severally with others:

1. Shall have legal or equitable title to any dwelling or dwelling unit, with or without actual possession thereof; or

2. Shall have charge, care or control of any dwelling or dwelling unit, as owner or agent of the owner, or as executor, executrix, administrator, administratrix, trustee or guardian of the estate of the owner.

3

(b) Any person thus representing the actual OWNER shall be bound to comply with the provisions of this subchapter and of rules and regulations adopted pursuant thereto, to the same extent as if he or she were the OWNER.

PLUMBING. Includes all of the following supplied facilities and equipment: gas pipes, gas-burning equipment, water pipes, garbage disposal units, waste pipes, water closets, sinks, installed dishwashers, lavatories, bathtubs, shower baths, installed clothes- washing machines, catch basins, drains, vents and any other similar supplied fixtures, together with all connections to water, sewer or gas lines.

PREMISES. Any building, structure, lot, plot, tract, parcel of land or portion thereof, whether improved or unimproved, including adjacent parkways.

PRIMARY MEANS OF ESCAPE. Shall be a door, stairway, or ramp providing a means of unobstructed travel to the outside of the dwelling unit at street or ground level.

ROOMINGHOUSE. Any dwelling or that part of any dwelling containing one or more rooming units, in which space is let for compensation by the owner or operator to three or more persons who are not husband or wife, son or daughter, mother or father, sister or brother, grandparents, grandchildren, niece or nephew or domestic employees (not to exceed two in number) of the owner or operator.

ROOMING UNIT. Any room or group of rooms forming a single habitable unit used or intended to be used for living and sleeping, but not for cooking or eating purposes.

RUBBISH. Combustible and noncombustible waste materials, except garbage.

SECONDARY MEANS OF ESCAPE. Shall be a door, stairway, passage, or hall providing a way of unobstructed travel to the outside of the dwelling at street or ground level that is independent of and remote from the primary means of escape. Or it shall be an outside window or door operable from the inside without the use of tools, keys, or special effort of a size original to the construction of the dwelling.

SUPPLIED. Paid for, furnished or provided by or under the control of, the owner or operator.

SECTION THREE: Section 150.151 of the Galesburg City Code is amended in its entirety, and shall hereafter read as follows:

150.151 INSPECTION OF DWELLINGS, DWELLING UNITS, ROOMING UNITS AND PREMISES.

(A) The Department of Planning and Public Works is hereby authorized and directed to make inspections to determine the condition of dwellings, dwelling units, rooming units and premises located within the city in order that it may perform its duty of protecting the health and safety of the occupants of dwellings and of the general public. For the purpose of making these inspections the Department of Planning and Public Works is hereby authorized to enter, examine and survey at all reasonable times all dwellings, dwelling units, rooming units and premises located in the city; provided, however, that the

4

Department shall first give notice in writing to the occupant of the dwelling, dwelling unit, rooming unit or premises if the same be occupied, and to the owner thereof, of the intent to inspect the dwelling, dwelling unit, rooming unit or premises. This notice shall be given or mailed to the occupant, if the dwelling, dwelling unit, rooming unit or premises is occupied, and to the owner, at least 15 business days 120 hours prior to the time of the inspection, which notice to include the day, date and approximate time of the inspection. A notice mailed to the last known address of the person to whom the notice is addressed shall be sufficient to comply with this section. The City has the right to inspect a dwelling unit, rooming unit or premises with less than 15 business days’ notice if the violation(s) pose an imminent danger to the life, health or safety of the occupants of the building or surrounding buildings/areas as determined by the City Manager or his/her designee. The owner shall be notified, by phone or US Mail depending on the severity of the violation, of the City Manager or his/her designee’s decision to have an unscheduled inspection at the time of decision to make an unscheduled inspection.

(B) The owner or occupant of every dwelling, dwelling unit, rooming unit and premises, or the person in charge thereof, shall give the Inspector free access to the dwelling, dwelling unit, rooming unit and premises at all reasonable times for the purpose of inspection of the premises, examination and survey, but is required to do so only if the requisites of notice as prescribed in division (A) above have been fully complied with by the Inspector; and further only if the Inspector presents properly executed credentials at the time he or she appears to make the inspection. No penalty shall be imposed for violation of this division (B).


150.153 ENFORCEMENT, SERVICE OF NOTICE AND ORDERS.

(A) Whenever the Inspector determines that there are reasonable grounds to believe that there has been a violation pursuant to this subchapter, he or she shall give notice of the alleged violation to the owner person or persons responsible therefor, as hereinafter provided.

(B) The notice shall:

(1) Be in writing;

(2) Include a statement of any alleged violations;

(3) Allow a reasonable time for the correction of any violation or the performance of any other acts it requires; and The City shall allow the owner and/or landlord not more than 30 business days to correct the violation(s). The report shall state a re-inspection date. A copy of the report will be available at City Hall. The owner’s and/or landlord’s failure to receive a copy of the report does not limit the city’s right to enforce these requirements.

5

(4) Be served upon the owner or his or her agent within 10 business days of the inspection, or and the occupant if he or she is not the owner, as the case may require; provided, that the notice shall be deemed to be properly served upon the owner or agent or upon the occupant, if a copy thereof is served upon him or her personally, or is sent by registered mail to his or her last known address, or is posted in a conspicuous place in or about the dwelling affected by the action.

(C) The notice may contain an outline of remedial action which, if taken, will affect compliance with the provisions of this subchapter and with rules and regulations adopted pursuant thereto.

(D) Time extension. The Department may grant an reasonable time extension to the compliance deadline established in the violation notice if requested in writing and filed with the Department of Planning and Public Works by the responsible party before the re-inspection date.


150.154 VARIANCES AND APPEALS.

(A) The Overall Code Review Commission as established in Ordinance 80-707 shall hereby be authorized to hear and decide on all requests for variances of the requirements of this subchapter. Furthermore, the Overall Code Review Commission is authorized to hear and decide appeals where it is alleged there is an error in any order, requirement, decision or determination made by the inspections office in the enforcement of this subchapter.

(B) Any person aggrieved may take an appeal to the Overall Code Review Commission from any decision or notice given by the Inspector issued pursuant to the provisions of this subchapter.

(C) An appeal may be taken within 20 15 business days from the date of the decision appealed from by filing with the Inspector and with the Overall Code Review Commission a notice of appeal, specifying the grounds thereof. The Inspector shall forthwith transmit to the Overall Code Review Commission all the papers upon which the action appealed was taken

(D) The Overall Code Review Commission shall, in every case, hold a hearing and reach a decision without unreasonable or unnecessary delay. Every decision of the Overall Code Review Commission shall be in writing and shall be promptly filed in the office of the Inspector. A copy of the decision shall be sent by mail or otherwise to the person appealing, and to all members of the City Council. All decisions shall require an affirmative vote of a majority of the quorum then present of the Overall Code Review Commission. If a decision of the Overall Code Review Commission reverses the order of the Inspector, he or she shall take action immediately in accordance with the decision.

(E) The Overall Code Review Commission, when so appealed to, and after a public hearing, may vary the application of any provision of this subchapter to any particular case when, in its opinion, the enforcement thereof would result in practical difficulty or

6

unnecessary hardship; provided, that the spirit of this subchapter will be observed, public health and welfare secured, and substantial justice done. The Overall Code Review Commission may also extend for a reasonable period the time specified for compliance where conditions exist that would create a hardship, and that the extension will not create or continue a health hazard to surrounding territory.

(F) A decision of the Overall Code Review Commission to vary the application of any provision of this subchapter, or to modify an order of the Inspector, shall specify in what manner the variation or modification is made, the conditions upon which it is made and the reasons therefor.

(G) The proceedings at the hearings, including the findings and decisions of the Overall Code Review Commission and the reasons therefor shall be summarized and reduced to writing and entered as a matter of public record in the office of the Inspector. The record shall also include a copy of every notice and order issued in connection with the matter. Any person aggrieved by a decision of the Overall Code Review Commission may, within ten 10 business days of the receipt of notice of the decision, file a request in writing with the Inspector that he or she transmit a copy of the Overall Code Review Commission’s findings and decision to the City Council, which the Inspector shall do forthwith. The report shall act as the recommendation of the Overall Code Review Commission to the City Council; and the Council may concur with, reject or modify the recommendation. In the event no written notice is filed with the Inspector within the time above specified, the decision of the Overall Code Review Commission shall be final.


150.155 DESIGNATION OF FIT DWELLINGS AND DWELLING UNITS AS UNFIT FOR HUMAN HABITATION.

(A) The designation of dwellings or dwelling units as unfit for human habitation and the procedure for the determination and placarding of the unfit dwellings or dwelling units shall be carried out in compliance with the requirements of this section.

(B) Any dwelling or dwelling unit which fails to meet the requirements of §§ 150.165, 150.166, 150.167 and 150.168, or any of them to the extent that health, safety and welfare of occupants or adjacent occupants or properties is at risk of health or harm such as the structure is unsafe, unlawful or, because of the degree to which the building is in disrepair or lacks maintenance, is unsanitary, vermin or rat infested, contains filth and contamination, or lacks ventilation, illumination, sanitary or heating facilities or other essential equipment required by this code, or because the location of the structure constitutes a hazard to the occupants of the building or to the public, after notice and a reasonable opportunity to comply shall have been given in accordance with the provisions of § 150.151 150.153 hereof, may shall be declared to be unfit for human habitation and shall may be so designated and placarded by the Building Inspector the City Manager or his/her designee.

(C) Any dwelling or dwelling unit determined as unfit for human habitation, and so designated and placarded by the the City Manager or his/her designee Building Inspector,

7

shall be vacated within a reasonable period, time not to exceed 5 business days as ordered by the the City Manager or his/her designee Building Inspector.

(D) No dwelling or dwelling unit which has been determined and placarded as unfit for human habitation shall again be used for human habitation until written approval is secured from and the placard is removed by the Building Inspector who shall remove the placard only when the defect or defects upon which the determination and placarding action were based have been eliminated, and after the dwelling or dwelling unit has been inspected and been found to comply in all respects with the requirements of this subchapter.

(E) No person shall deface or remove the placard from any dwelling or dwelling unit which has been determined and placarded as such, except as provided in division (D) above.

(F) An owner may file a written appeal of this designation with the City Clerk's office. This appeal shall be filed within 5 business days of placarding of the building. Appeals shall be heard by the City's administrative hearing officer at the next regularly scheduled administrative court date.

HOUSING CODE MINIMUM STANDARDS

SECTION SEVEN: Section 150.165 is amended in its entirety and shall hereafter read as follows: 150.165 BASIC EQUIPMENT AND FACILITIES.

(A) No person shall occupy as owner-occupant or let to another for occupancy any dwelling or dwelling unit, for the purpose of living, sleeping, cooking or eating therein, which does not comply with the minimum requirements of this section.

(B) Every dwelling unit shall contain a kitchen sink in good working condition and properly connected to a water and sewer system, meeting the requirements of the State Department of Public Health.

(C) Every dwelling unit (except as otherwise permitted under division (E) of this section) shall contain a room which affords privacy to a person within the room and which is equipped with a flush water closet and lavatory basin in good working condition and properly connected to a water and sewer system meeting the requirements of the State Department of Public Health.

(D) Every dwelling unit (except as otherwise permitted under division (E) of this section) shall contain, within a room which affords privacy to a person within the room, bathing facilities; the room may be the same room as required under division (C).

(E) The occupants of not more than one dwelling unit may share a single flush water closet, a single lavatory basin and bathtub or shower. The water closet, lavatory basin and bathtub or shower shall be in good working condition and properly connected to a water and sewer system meeting the requirements of the State Department of Public Health.

8

(F) Every dwelling unit shall be supplied with adequate rubbish and garbage disposal facilities or storage containers with tight-fitting lids or covers adequate to prevent access to the garbage and rubbish by insects, rodents or other pests.

(G) Every dwelling unit shall have safe, unobstructed means of egress leading to a safe and open space at ground level as required by the laws of this state and the city.

(H) In dwelling unit(s) every sleeping room shall have not less than one primary means of escape and one secondary means of escape. A secondary means of escape shall not be required where one of the following conditions are met: (1) The bedroom has a door leading directly to the outside of the building at or to grade level. (2) The dwelling unit is protected throughout by an approved automatic sprinkler system. The requirements of this subsection shall apply to new dwellings or modified dwellings only. All other dwellings shall meet the requirements of the code applicable at the time of its construction. (I) Every rental premises with more than two units shall have a fire extinguisher placed in a common area, indoor or outdoor, in which all tenants have access.

(J) Every dwelling shall have running water properly connected to a water and sewer system, meeting the requirements of the State Department of Public Health.


150.166 LIGHT, VENTILATION AND HEATING.

(A) No person shall occupy as owner-occupant or let to another for occupancy any dwelling or dwelling unit, for the purpose of living therein which does not comply with the minimum requirements of this section.

(B) Every common hall and stairway in residential dwellings, other than one- and two- family dwellings, shall be lighted at all times with at least a 60-watt standard incandescent light bulb or equivalent illumination for each 200 square feet of floor area, provided that the spacing between lights shall not be greater than 30 feet.

(C) Every habitable room shall be provided with light by one of the following methods:

(1) Natural light by at least one exterior window, facing directly to a public way, yard or court with a minimum total window area of not less than 8 percent of the floor area of the room served; or

(2) Artificial light sufficient to permit the maintenance of sanitary conditions, and the safe occupancy of the space and utilization of the appliances, equipment and fixtures.

9

(B) Every habitable room shall have at least one window of approved size facing directly to the outdoors or to a court. The minimum total window area, measured between stops, for every habitable room shall be 10% of the floor area of the room, except in kitchens when artificial light may be provided in accordance with the provisions of the International Building Code. Whenever walls or other portions of a structure face a window of any room and the obstructions are located less than three feet from the window and extend to a level above that of the ceiling of the room, the window shall not be deemed to face directly to the outdoors nor to a court and shall not be included as contribution to the required minimum total window area for the room.

(D) Every habitable room and bathroom shall be provided with ventilation by one of the following methods:

(1) Natural ventilation through at least one window that can be easily opened to the outdoors. The total openable window area in every habitable room shall be equal to at least 4 percent of the floor area being ventilated. Every window, or other opening to the outside of a dwelling, used for ventilation shall be supplied with tightly fitting screens that provide protection against flies, mosquitos and other insects.

(2) Mechanical ventilation shall be provided by a method of supply air and return or exhaust air, in accordance with the adopted Mechanical Code.

(3) A bathroom that is equipped with a mechanical ventilation system shall discharge directly to the outdoors and shall not be recirculated.

(C) Every habitable room shall have at least one window which can easily be opened, or any other device as will adequately ventilate the room. The total of openable window area in every habitable room shall be equal to at least 45% of the minimum window area size as required in division (B) above, except where there is supplied some device affording adequate ventilation. Every door, window or other opening to the outside of a dwelling used for ventilation shall be supplied with screen doors with self-closing devices, or with screens adequate for protection against flies, mosquitoes or other insects.

(D) Every bathroom and water closet compartment shall comply with the ventilation requirement for habitable rooms contained in division (C) above except that no window shall be required in adequately ventilated bathroom and water closet compartments equipped with a mechanical ventilation system.

(E) Every dwelling unit shall be supplied with water-heating facilities properly installed and maintained in good and safe working order to furnish water at a minimum of 120ºF.

(F) When there is electrical service available to the building or structure, every habitable room of a dwelling or multi-family dwelling shall contain at least two separate and remote outlets, one of which may be a ceiling or wall-type electric light fixture. In kitchens, three separate and remote wall-type electrical convenience outlets or two convenience outlets and one ceiling or wall-type electric fixture shall be provided. Every public hall, water closet compartment, bathroom, laundry room or furnace room

10

shall contain at least one electric light fixture. In addition to the electric light fixture in every bathroom and laundry room, there shall be provided at least one electric outlet. Every electrical outlet and fixture, as required, shall be installed, maintained and connected to the source of electric power in accordance with the provisions of the Electrical Code of the city. Where it is found that the electrical system in a building constitutes a hazard to the occupants of the building by reason of inadequate service, improper fusing, insufficient outlets, improper wiring or installation, deterioration or damage, or for similar reasons, the Electrical Inspector shall require the defects to be corrected to eliminate the hazard.

(G) Every dwelling and multi-family dwelling shall have heating facilities and the owner of the heating facilities shall be required to see that they are properly installed, safely maintained and in good working condition, and that they are capable of safely and adequately heating all habitable rooms, bathrooms and toilet rooms located therein, to a temperature of at least an average of 68 70ºF with an outside temperature of 10º below zero. The owner shall maintain a minimum average room temperature of 68 70ºF in all habitable rooms, including bathrooms and toilet rooms, when rented, at all times, on the basis of 10º below zero outside. When the outdoor temperature is below the winter outdoor design temperature (-4ºF), maintenance of the minimum room temperature shall not be required provided that the heating system is operating at its full capacity. Cooking appliances or portable, unvented, fuel-burning space heaters shall not be used to provide required heating.

(H) Every laundry or furnace room, and all similar non-habitable work space located in a dwelling or multiple dwelling shall have one supplied electric light fixture available at all times, and every public hall and inside stairway in every dwelling or multiple- family dwelling shall be adequately lighted at all times with an illumination of at least five lumens per square foot in the darkest portion of the normally traveled stairways and passageways.

(I) Every basement or cellar window used or intended to be used for ventilation and every other opening to a basement or cellar which might provide an entry for rodents shall be supplied with a screen or any other device as will effectively prevent the entry.

(J) All construction done and installations made to comply with the provisions of this subchapter shall be in accordance with the ordinances of the city and statutes of the state regulating the construction and installations.

(K) All exterior surfaces on all dwellings shall be reasonably maintained and must conform with requirements set forth in the Building Code as adopted by the city governing exterior weatherboard and veneers. exterior walls shall have exterior wall coverings and flashing installed, and maintained, in such a manner so as to provide a weather resisting barrier for the protection of building structural members and interior space from the detrimental effects of the exterior environment.

(L) On every dwelling every chimney shall be kept in safe repair.

11

(M) Every inside and outside stairway, porch and every appurtenance thereto of every dwelling shall be maintained in a good state of repair as to be safe to use and capable of supporting the load that normal use may cause to be placed upon it.

(N) All garages, toolsheds and all other outbuildings shall be kept in good repair so as not to be unsafe or become a harborage for rats and other rodents. Nor shall any wood or lumber or any other material or junk objects, to include but not limited to vehicles, be stored, kept or permitted to remain except temporarily on the premises, in such a manner that will afford harborage for rats or other rodents.

(O) Habitable rooms in existing buildings shall have a clear ceiling height of not less than seven and one-third feet except that in attics on top half-stories the ceiling height shall be not less than seven feet over not less can be less than 7 feet no more than one-third of the area when used for sleeping, study or similar activity. In calculating the floor area of the rooms those portions of the floor area of the room having a clear ceiling height of five feet or more may be included.

SECTION NINE: Section 150.168 is amended in its entirety and shall hereafter read as follows:

150.168 MINIMUM SPACE, USE AND LOCATION REQUIREMENTS.

(A) No person shall occupy or let to another for human occupancy any dwelling or dwelling unit for the purpose of living therein, which does not comply with the requirements of this section.

Exception: The requirements of this section shall apply to new dwellings or modified dwellings only. All other dwellings shall meet the requirements of the code applicable at the time of its construction.

(B) Every dwelling unit shall contain at least 150 square feet of floor space for the first occupant thereof and at least 100 additional square feet of floor space for every additional occupant thereof, the floor space to be calculated on the basis of total habitable room area.

(C) In every dwelling unit of two or more rooms every room occupied for sleeping purposes by one occupant shall contain at least 70 square feet of floor space, and every room occupied for sleeping purposes by more than one occupant shall contain at least 50 square feet of floor space for each occupant thereof.

(D) No dwelling or dwelling unit containing two or more sleeping rooms shall have such room arrangements that access to a bathroom or water closet compartment intended for use by occupants of more than one sleeping room can be had only by going through another sleeping room; nor shall room arrangements be such that access to a sleeping room can be had only by going through another sleeping room or a bathroom or water closet compartment.

(E) No cellar space shall be used as a habitable room or dwelling unit.

12

(EF) No basement space below grade shall be used as a habitable room or dwelling unit unless:

(1) The floor and walls are impervious to leakage of underground and surface runoff water;

(2) The total of window area in each room is equal to at least the minimum window area sizes as required in § 150.166(C);

(3) The required minimum window area is located entirely above the grade of the ground adjoining the window area; and or window wells are required where the bottom of the window is below ground level. The window well must not interfere with the window fully opening. The distance from the window to the back of the well must be at least 36 inches and the minimum area of the well must 9 square feet. (width x projection).

(4) The total of openable window area in each room is equal to at least the minimum required under § 150.166(C), except where there is supplied some other device affording adequate ventilation.

150.169 RESPONSIBILITIES OF OWNERS AND OCCUPANTS.

(A) Every owner, agent or person in possession, charge or control of a dwelling containing two or more dwelling units shall be responsible for maintaining the shared or public area of the dwelling and premises thereof in a clean and sanitary condition.

(B) Every occupant of the dwelling or dwelling unit shall keep that part of the dwelling, dwelling unit and premises thereof which he or she occupies and controls in a clean and sanitary condition.

(C) Every occupant of a dwelling or dwelling unit shall dispose of all his or her rubbish, garbage and any other waste which might provide food for rodents, in a clean and sanitary manner, by placing it in the garbage disposal facilities or garbage storage containers required by § 150.165(F).

(D) Every occupant of a dwelling or dwelling unit shall be responsible for hanging all screens whenever the same are required under the provisions of this subchapter or of any rule or regulation adopted pursuant thereto, except where the owner has agreed to supply the service.

(E) Every occupant of a dwelling containing a single dwelling unit shall be responsible for the extermination of any insects, rodents or other pests therein or on the premises, and every occupant of a dwelling unit in a dwelling containing more than one dwelling unit shall be responsible for the extermination whenever his or her dwelling unit is the only one infested. Notwithstanding the foregoing provisions of this division (E), whenever infestation is caused by failure of the owner to maintain a dwelling in a rat-proof or reasonably insect-proof condition, extermination shall be the responsibility of the owner. Whenever infestation exists in two or more of the dwelling units in any dwelling, or in the shared or public parts of any dwelling containing two or more dwelling units, extermination thereof shall be the responsibility of the owner.

13

(F) Every occupant of a dwelling unit shall keep all plumbing fixtures therein in a clean and sanitary condition and shall be responsible for the exercise of reasonable care in the proper use and operation thereof.


150.170 ROOMINGHOUSES.

(A) No person shall operate a roominghouse or shall occupy or let to another for occupancy any rooming unit in any roominghouse or dwelling unit, except in compliance with the provisions of every section of this subchapter except the provisions of §§ 150.165 and through 150.169.

(B) At least one flush water closet, lavatory basin and bathtub or shower, properly connected to a water and sewer system meeting the requirements of the State Department of Public Health and in good working condition, shall be supplied for each six persons or fraction thereof residing within a roominghouse, including members of the operator’s family wherever they share the use of the facilities; provided, that in a roominghouse where rooms are let only to males, flush urinals may be substituted for not more than one-half the required number of water closets. All the facilities shall be so located within the dwelling as to be reasonably accessible from a common hall or passageway to all persons sharing the facilities. Every lavatory basin and bathtub or shower shall be supplied with hot water at all times.

(C) Every room occupied for sleeping purposes by one person shall contain at least 70 square feet of floor space, and every room occupied for sleeping purposes by more than one person shall contain at least 50 square feet of floor space for each occupant thereof.

(D) Every rooming unit shall have safe, unobstructed means of egress leading to safe and open space at ground level as required by the laws of this state and the city.

(E) The operator of every roominghouse shall be responsible for the sanitary maintenance of all walls, floors and ceilings and for the maintenance of a sanitary condition in every part of the roominghouse; and he or she shall be further responsible for the sanitary maintenance of the entire premises where the entire structure or building is leased or occupied by him or her, where bedding, bed linen or towels are supplied, the owner or operator shall maintain the bedding in a clean and sanitary manner, and he or she shall furnish clean bed linen and towels at least once each week and prior to the letting of any room to any occupant.

(F) Every provision of this section which applies to roominghouses shall also apply to hotels and motels except to the extent that the provision may be found in conflict with the laws of this state.

Prepared by: KRB Page 1 of 1


JUNE 4, 2018

AGENDA ITEM: Amendment to Section 113.043(A) of the Galesburg Municipal Code regarding the limitation on the number of liquor licenses.

SUMMARY RECOMMENDATION: The Liquor Commissioner, City Attorney, and City Clerk recommend adoption of the ordinance.

BACKGROUND: Currently, the limitation on the Class A licenses is twenty-four. This ordinance would remove one license from the City’s inventory. Interested parties in the future can make an application to the Liquor Commissioner and City Council to receive a Class A license.

BUDGET IMPACT: None

SUPPORTING DOCUMENTS: 1. Ordinance

18-1012

ORDINANCE NO. _________________

AN ORDINANCE AMENDING SECTION 113.043(A) OF THE GALESBURG CITY CODE REGARDING THE NUMBER OF CLASS A LIQUOR LICENSES

WHEREAS, the City of Galesburg is an Illinois home rule municipal corporation organized and operating pursuant to Article VII of the Illinois constitution of 1970; and WHEREAS, the City has adopted certain liquor license regulations designed to protect the health, safety and welfare, which are codified in Chapter 113 of the Galesburg City Code; and WHEREAS, Section 4-1 of the Illinois Liquor control Act, 235 ILCS 5/4-1, empowers the Mayor and City Council to establish conditions, regulations and restrictions upon the issuance of local liquor licenses not inconsistent with law as the public good and convenience may require; and WHEREAS, the Mayor and City Council desire to update and revise the City Code to reflect a change in the number of Class A liquor licenses made available.

BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF GALESBURG, ILLINOIS, AS FOLLOWS:

SECTION ONE: The foregoing recitals are hereby incorporated into this Ordinance as is

fully set forth herein. SECTION TWO: Section 113.043(A) of the Galesburg City Code is amended in its

entirety, and shall hereafter read as follows: (A) No more than 23 Class A licenses shall be issued and no more than five class A-2

licenses shall be issued.

SECTION THREE: All ordinances or parts of ordinances, in conflict with this ordinance are, to the extent of such conflict, hereby repealed.

SECTION FOUR: This ordinance shall be in full force and effect from and after its

passage, approval and publication as provided by law.

Approved this ______ day of _________ 2018, by a roll call vote as follows:

Roll Call #: ____________

Ayes:_________________________________________________________________________

______________________________________________________________________________

Nays:_________________________________________________________________________

______________________________________________________________________________

Absent:_______________________________________________________________________

_______________________________________ John Pritchard, Mayor

ATTEST: ___________________________________ Kelli R. Bennewitz, City Clerk

___________________________________________________________________________________________________________________________________________________________________________________________

Prepared by: WC Page 1 of 1


JUNE 18, 2018

AGENDA ITEM: Ordinance vacating an alley adjacent to Water Street between West Street and Cedar Street

SUMMARY RECOMMENDATION: The City Manager and Director of Planning and Public Works recommend approval of an ordinance vacating an alley adjacent to Water Street between West Street and Cedar Street, as shown in the attached exhibits, to the adjoining land owners, Bonnie Harris, Enrique Guel, and Robert and Tammy Scott.

BACKGROUND: The City was petitioned by Bonnie Harris to vacate the alley. The alley is an unimproved alley that does not serve any public purpose. Over the years, the alley has been used by the property owner on the east side of the alley as off-street parking since the alley is a dead end and there is no through traffic in the alley. Upon review by Engineering, it was noted that they alley does not serve any public purpose and was recommended that the City vacate the alley. The alley is 20 feet wide with 14 feet of the alley currently being used for parking for the property owner to the east and the remaining 6 feet of the alley being used by a fence by the property owner to the west. It is proposed to vacate the west 6 feet of the alley to the property owner on the west and the east 14 feet of the alley to the property owner on the east. All three adjoining property owners have been notified of the proposed vacation and city staff have received no objections to the proposed vacation.


SUPPORTING DOCUMENTS: 1. Ordinance2. Plat of Vacation (Exhibit A)3. Subdivision of Vacation (Exhibit B)

18-1013

SPECIAL ORDINANCE NO. _________________

AN ORDINANCE VACATING ALLEY RIGHT OF WAY (North of West Water Street between 173 and 155 West Water Street)

WHEREAS, Section 11-91-1 of the Illinois Municipal Code (65 ILCS 5/11-91-1) provides that the corporate authorities of a municipality may by ordinance vacate any street or alley, or part thereof, within their jurisdiction after determining that the public interest will be subserved by said vacation; and

WHEREAS, Section 11-91-2 of the Illinois Municipal code (65 ILCS 5/11-91-2) provides that upon the vacation of a street or alley, or any part thereof, by virtue of any ordinance of any municipality, title to the land included therein will vest in the then owners of the land abutting thereon, except in cases where the deed, or other instrument, dedicating a street or alley, or part thereof, has expressly provided for a specific devolution of the title thereto upon the abandonment or vacation thereof; and

WHEREAS, said vacation will not materially impair access to any property owner; and

WHEREAS, the City Council finds that the right of way is of no further use to the City; and

BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF GALESBURG, ILLINOIS, AS FOLLOWS:

SECTION ONE: The foregoing recitals are hereby incorporated into this Ordinance as is fully set forth herein.

SECTION TWO: The City Council of the City of Galesburg, Illinois, hereby vacates, subject to the terms set forth in this Ordinance, the right of way adjacent to West Water Street between North West Street and North Cedar Street, being more particularly described as follows:

An alley 20 feet in width running north and south between North West Street and North Cedar Street from the northern right-of-way line of West Water Street to 132 feet north of the northern right-of-way line of West Water Street in the City of Galesburg, Knox County, Illinois.

Said tract containing 0.06061 acres, more or less, all situated in the City of Galesburg, Knox County, Illinois.

SECTION THREE: That the common addresses and permanent index numbers of the particular parcels acquiring title to the property vacated pursuant to this ordinance are as follows:

187 West Water Street 9910451010 173 West Water Street 9910451011 Vacant lot 9910451009

Upon vacation of the above described alley, title to the following shall be vested in the record holders of PIN 9910451011: A portion of the alley running east six feet from the southwest corner of the alley, then north 132 feet, then west six feet, and then south 132 feet returning to the southwest corner of the alley. Upon vacation of the above described alley, title to the following shall be vested in the record holders of PIN 9910451013: A portion of the alley running west 14 feet from the southeast corner of the alley, then north 66 feet, then east 14 feet, and then south 66 feet returning to the southeast corner of the alley. Upon vacation of the above described alley, title to the following shall be vested in the record holders of PIN 9910451012: A portion of the alley running west 14 from a point 132 feet north of the southeast corner of the alley, then south 66 feet, then east 14 feet, then north 66 feet returning to the starting point of the description. See Exhibits A and B. SECTION FOUR: The vacation of the above described right of way shall be subject to the following conditions:

(A) A perpetual easement upon said vacated right of way is hereby reserved for and granted to the City of Galesburg, Illinois, or others or any public utilities, their successors or assigns, to operate, maintain, renew, and reconstruct their facilities as now existing on, over, or under that part of the right of way; and

SECTION FIVE: The Mayor of the City of Galesburg, Illinois is hereby authorized to execute and deliver, and the City Clerk of the City of Galesburg, Illinois is hereby authorized to attest to said execution of a Plat of Vacation for the vacated right of way, in substantially the form of the copy of said Plat attached hereto and hereby incorporated by reference, as so authorized and approved for and on behalf of the City of Galesburg, Illinois. SECTION SIX: The City Clerk is directed to record a certified copy of this Ordinance with the Knox County Office of the Recorder of Deeds after passage of this Ordinance. SECTION SEVEN: This ordinance shall be in full force and effect from and after its passage, approval and publication as provided by law.

Approved this ______day of ____________________, 2018, by roll call vote as follows: Roll Call #: Ayes: ________________________________________________________________________ ______________________________________________________________________________ Nays: ________________________________________________________________________

______________________________________________________________________________ Absent: _______________________________________________________________________ ______________________________________________________________________________ _________________________________

John Pritchard, Mayor ATTEST: ___________________________________ Kelli R. Bennewitz, City Clerk

___________________________________________________________________________________________________________________________________________________________________________________________

Prepared by KDB Page 1 of 2


JUNE 18, 2018

AGENDA ITEM: Bid recommendation, demolition and clean-up of three separate properties.

SUMMARY RECOMMENDATION: The City Manager, Director of Planning and Public Works, Planning Manager, and Purchasing Agent recommend that the City Council award these demolitions as follows:

1. Demo of garage at 809 N Cedar St. to Lockwood Excavating & Construction, Inc. in theamount of $10,250.00.

2. Demo of 788 S Henderson St. to Lockwood Excavating & Construction, Inc. in the amountof $9,150.00.

3. Demo of 833 E Brooks St. to Lockwood Excavating & Construction, Inc. in the amount of$8,600.00.

BACKGROUND: The Planning Department has taken the necessary steps through the court system for the demolition of the following properties:

809 N Cedar St. Two story garage on property Demolition of this property does not include asbestos abatement.

788 S. Henderson St. Single Family Residence & detached garage Demolition of this property does include asbestos abatement.

18-3029

___________________________________________________________________________________________________________________________________________________________________________________________

Prepared by KDB Page 2 of 2

When applicable, the City bills the owners of the non-City owned properties for the demolition charges in an attempt to be reimbursed for the fees involved in these demolitions once the demolition project would be completed. In addition to being advertised in the Galesburg Register-Mail, bid packets were made available on the City website for download as well as email notification being sent to all demolition vendors on file. In this instance, one vendor responded to this request offering bids on all three properties totaling $28,000.00. Purchasing reached out to other vendors to inquire why bids were not submitted. Of those that responded, all indicated that their workload was full at this time. Although the City would like more bids on projects, the bids offered in this case are fair for the work to be performed and within the budget available for this work. City staff recommend approval of this bid. BUDGET IMPACT: There are applicable funds available in Inspections (0306) to complete these demolitions. SUPPORTING DOCUMENTS:

1. None

833 E Brooks St. Single Family Residence Demolition of this property does not include asbestos abatement.

___________________________________________________________________________________________________________________________________________________________________________________________



JUNE 18, 2018

AGENDA ITEM: Bids for reconstructing Berrien Street from Henderson Street to Holton Street.

SUMMARY RECOMMENDATION: Approval of the bid in the amount of $507,742.10 from Illinois Civil Contractors, Inc. minus a proposed credit of $18,000 for a net bid price of $489,742.10

BACKGROUND: The existing street base and concrete curb and gutter will be completely removed and replaced with a new full depth concrete pavement and concrete curb and gutter. This contract also includes construction of all new concrete driveway approaches from the street to the back of the sidewalk as well as replacement of the sidewalks.

The bid documents require the Contractor to harvest the existing bricks on this street and place them in the City’s brick storage yard. At the City’s request, the Contractor submitted a credit, which was in the amount of $18,000 if they were not required to salvage the bricks from this project. Since the City currently has a very large inventory of bricks and the credit is reasonable, it is recommended to accept the credit offered.

The project was advertised in the Register Mail, in the Illinois Department of Transportation Bulletin to all contractors statewide, and on the City’s website. Three bids were received for this project. The low bidder was Illinois Civil Contractors, Inc. from East Peoria, Illinois in the amount of $507,742.10 of which $92,648.08 is for watermain work and $415,094.02 is for the roadway work. It is recommended to accept the credit of $18,000 and not salvage the bricks from the street for a total contract amount of $489,742.10. The work will be done in two sections approximately 300 feet long. The Contractor will have 35 working days to complete the entire project. It is anticipated that the project would begin the third week of June.

BUDGET IMPACT: There are sufficient funds budgeted for this work from 2016 GO Bond Capital Improvement Fund (52) and Water Fund (61).

SUPPORTING DOCUMENTS: 1. Vendors contacted2. Bid Tabulation

Vendors contacted: Gunther Construction, Galesburg, IL Laverdiere Construction, Macomb, IL Brandt Construction, Milan, IL Illinois Civil Contractors, Inc., East Peoria, IL Halverson Construction Co., Inc., Springfield, IL Otto Baum Company, Inc., Morton, IL McCarthy Foley, Davenport, IA

18-3030

CITY OF GALESBURGSTATE OF ILLINOIS

TABULATION OF BIDSSECTION : 18-00450-04-RP BIDDER NAME : Illinois Civil Contractors, Inc. Gunther Construction, a div. of UCLaverdiere Construction, Inc.

DATE: 6/6/2018 Berrien Street (Henderson to Holton) BIDDER ADDRESS : 420 Pinecrest Drive 816 N. Henderson Street 4055 W. Jackson StreetTIME: 11:00 AM CITY/STATE/ZIP : East Peoria, IL 61611 Galesburg, IL 61401 Macomb, IL 61455WITNESS: Kraig Boynton,Brian Vorva BID GUARANTEE : 5% Bid Bond 5% Bid Bond 5% Bid Bond

ITEM NO ITEM UNIT QUANTITY

APPROVED UNIT PRICE

ESTIMATE TOTAL UNIT PRICE TOTAL UNIT PRICE TOTAL UNIT PRICE TOTAL UNIT PRICE TOTAL UNIT PRICE TOTAL

1 TRENCH BACKFILL CY 346 36.05 12473.30 43.40 15016.40 52.87 18293.022 GEOTECHNICAL FABRIC FOR GROUND STAB. SY 2124 1.51 3207.24 1.38 2931.12 1.96 4163.043 AGGREGATE BASE COURSE, TYPE B, 2" SY 149 9.77 1455.73 24.18 3602.82 6.66 992.344 AGGREGATE BASE COURSE, TYPE B, 6" SY 2039 14.77 30116.03 15.28 31155.92 10.33 21062.875 AGGREGATE BASE COURSE, TYPE B, 8" SY 85 26.63 2263.55 31.03 2637.55 13.78 1171.306 AGGREGATE FOR TEMPORARY ACCESS TON 48 47.13 2262.24 43.26 2076.48 32.80 1574.407 POLY BITUMINOUS MATERIALS (PRIME COAT) POUNDS 191 4.29 819.39 0.01 1.91 10.09 1927.198 POLY BITUMINOUS MATERIALS (TACK COAT) POUNDS 19 10.73 203.87 0.01 0.19 90.50 1719.509 POLYMERIZED HMA BINDER COURSE IL-12.5, N50 TON 7 536.59 3756.13 538.57 3769.99 703.65 4925.55

10 POLYMERIZED HMA SURFACE COURSE MIX "D" N50 TON 7 536.59 3756.13 538.57 3769.99 703.65 4925.5511 PCC PAVEMENT, 7" SY 1731 61.25 106023.75 51.72 89527.32 55.74 96485.9412 PCC DRIVEWAY PAVEMENT, 6" SY 149 64.82 9658.18 108.03 16096.47 84.19 12544.3113 PCC SIDEWALK, 4" SF 3804 7.00 26628.00 8.81 33513.24 7.72 29366.8814 PCC SIDEWALK, 6" SF 1013 7.20 7293.60 9.21 9329.73 8.54 8651.0215 PCC SIDEWALK, 8" SF 170 10.59 1800.30 34.37 5842.90 9.62 1635.4016 DETECTABLE WARNINGS SF 72 27.77 1999.44 25.83 1859.76 82.03 5906.1617 PAVEMENT REMOVAL SY 84 13.41 1126.44 38.07 3197.88 17.06 1433.0418 DRIVEWAY PAVEMENT REMOVAL SY 144 14.24 2050.56 14.40 2073.60 17.40 2505.6019 CCC&G REMOVAL FT 1334 6.88 9177.92 6.28 8377.52 5.88 7843.9220 SIDEWALK REMOVAL SF 3204 1.59 5094.36 1.47 4709.88 2.43 7785.7221 STORM SEWER CLASS B, TYPE 1, 12" FT 34 63.50 2159.00 110.66 3762.44 85.09 2893.0622 STORM SEWER CLASS B, TYPE 2, 12" FT 49 77.40 3792.60 111.40 5458.60 105.01 5145.4923 STORM SEWER REMOVAL, 12" FT 9 71.76 645.84 24.00 216.00 11.63 104.6724 ADJUST WATER VALVES EACH 1 159.60 159.60 551.30 551.30 672.90 672.9025 INLETS, TYPE A, TY 3 FRAME AND GRATE EA 3 1842.70 5528.10 2026.48 6079.44 2358.07 7074.2126 INLETS, TYPE B, TY 3 FRAME AND GRATE EA 1 2412.55 2412.55 2628.13 2628.13 2538.77 2538.7727 INLETS, TYPE B, TY 9 FRAME AND GRATE EA 2 1815.08 3630.16 2812.35 5624.70 2653.19 5306.3828 MANHOLES TO BE ADJUSTED EA 2 524.69 1049.38 1049.09 2098.18 1037.70 2075.4029 INLET REMOVAL EA 1 1358.87 1358.87 431.98 431.98 500.35 500.3530 CCC&G TB6.18 FT 1334 35.18 46930.12 35.27 47050.18 30.39 40540.2631 MOBILIZATION LS 1 30000.00 30000.00 12540.03 12540.03 16216.00 16216.0032 BRICK SIDEWALK REMOVAL SF 1520 2.60 3952.00 1.44 2188.80 3.50 5320.0033 TRAFFIC CONTROL AND PROTECTION, SPECIAL LS 1 4408.18 4408.18 4663.00 4663.00 10388.45 10388.4534 CONSTRUCTION LAYOUT LS 1 4829.34 4829.34 5407.50 5407.50 10898.90 10898.9035 AGGREGATE BASE COURSE TYPE B 2" SPL SF 4988 1.01 5037.88 1.26 6284.88 1.27 6334.7636 PAVEMENT REMOVAL SPECIAL SY 1578 36.43 57486.54 35.41 55876.98 41.25 65092.5037 CURBWALL REM FT 32 10.62 339.84 17.12 547.84 6.04 193.2838 CURBWALL SPL FT 32 32.96 1054.72 53.70 1718.40 69.13 2212.1639 TOPSOIL, EXCAVATE AND PLACE SY 862 5.78 4982.36 15.45 13317.90 4.87 4197.9440 LANDSCAPING LS 1 16247.53 16247.53 3412.50 3412.50 7577.19 7577.1941 REMOVE EXISTING CURB BOX EA 14 268.30 3756.20 133.01 1862.14 324.27 4539.7842 8" DR-18 C-900 PVC PIPE FT 760 57.95 44042.00 55.32 42043.20 57.10 43396.0043 6" DR-18 C-900 PVC PIPE FT 4 48.30 193.20 209.84 839.36 94.28 377.1244 6" TAPPING SLEEVE & 6" TAPPING VALVE EA 2 3434.20 6868.40 6044.63 12089.26 4017.20 8034.4045 8" X 6" REDUCER EA 2 364.89 729.78 589.20 1178.40 592.10 1184.2046 SER. SADL FOR 8" WM W/1" CRP STP & 1" CS, 1 1/4" BOX & LIDFT 14 1395.14 19531.96 2924.02 40936.28 1110.69 15549.6647 1" TYPE K COPPER WATER SERVICE LINE (BEFORE CURBSTOFT 20 13.95 279.00 14.85 297.00 80.96 1619.2048 1" HDPE WATER SERVIC LINE (CURBSTOP TO METER) FT 210 10.73 2253.30 0.64 134.40 82.16 17253.6049 1" HDPE WATER SERVIC LINE (AFTER METER) FT 125 21.46 2682.50 1.07 133.75 81.38 10172.5050 #12 AWG TRACER WIRE FT 1119 0.21 234.99 0.22 246.18 1.00 1119.00

1 PAVEMENT REMOVAL MODIFIED LS 1 -18000.00 -18000.00 -16000.00 -16000.00 -24000.00 -24000.00

TOTAL ESTIMATE/ BID = -$ $507,742.10 $519,109.42 $533,440.88

___________________________________________________________________________________________________________________________________________________________________________________________



JUNE 18, 2018

AGENDA ITEM: Bids for reconstructing Lombard Street from Brooks Street to South Street.

SUMMARY RECOMMENDATION: Approval of the bid in the amount of $468,209.49 from Laverdiere Construction Inc. minus a proposed credit of $19,000 for a net bid price of $449,209.49.

BACKGROUND: The existing street base and concrete curb and gutter will be completely removed and replaced with a new full depth concrete pavement and concrete curb and gutter. This contract also includes construction of all new concrete driveway approaches from the street to the back of the sidewalk as well as replacement of the sidewalks.

The bid documents require the Contractor to harvest the existing bricks on this street and place them in the City’s brick storage yard. At the City’s request, the Contractor submitted a credit, which was in the amount of $19,000 if they were not required to salvage the bricks from this project. Since the City currently has a very large inventory of bricks and the credit is reasonable, it is recommended to accept the credit offered.

The project was advertised in the Register Mail, in the Illinois Department of Transportation Bulletin to all contractors statewide, and on the City’s website. Three bids were received for this project. The low bidder was Laverdiere Construction, Inc. from Macomb, Illinois in the amount of $468,209.49. It is recommended to accept the credit of $19,000 and not salvage the bricks from the street for a total contract amount of $449,209.49. The work will be done in two sections approximately 400 feet long. The Contractor will have 40 working days to complete the entire project. It is anticipated that the project would begin the third week of June.

BUDGET IMPACT: There are sufficient funds budgeted for this work from 2016 GO Bond Capital Improvement Fund (52).

SUPPORTING DOCUMENTS: 1. Vendors contacted2. Bid Tabulation

Vendors contacted: Gunther Construction, Galesburg, IL Laverdiere Construction, Macomb, IL Brandt Construction, Milan, IL Illinois Civil Contractors, Inc., East Peoria, IL Halverson Construction Co., Inc., Springfield, IL Otto Baum Company, Inc., Morton, IL McCarthy Foley, Davenport, IA

18-3031

CITY OF GALESBURGSTATE OF ILLINOIS

TABULATION OF BIDSSECTION : 18-00450-04-RP BIDDER NAME : Laverdiere Construction, Inc. Gunther Construction, a div. of UC Illinois Civil Contractors, Inc.

DATE: 6/6/2018 Lombard Street (Brooks to South) BIDDER ADDRESS : 4055 W. Jackson Street 816 N. Henderson Street 420 Pinecrest DriveTIME: 11:00 AM CITY/STATE/ZIP : Macomb, IL 61455 Galesburg, IL 61401 East Peoria, IL 61611WITNESS: Kraig Boynton,Brian Vorva BID GUARANTEE : 5% Bid Bond 5% Bid Bond 5% Bid Bond

ITEM NO ITEM UNIT QUANTITY

APPROVED UNIT PRICE

ESTIMATE TOTAL UNIT PRICE TOTAL UNIT PRICE TOTAL UNIT PRICE TOTAL UNIT PRICE TOTAL UNIT PRICE TOTAL

1 TRENCH BACKFILL CY 6 50.39 302.34 67.32 403.92 85.55 513.302 GEOTECHNICAL FABRIC FOR GROUND STAB. SY 2797 1.72 4810.84 1.17 3272.49 2.75 7691.753 AGGREGATE BASE COURSE, TYPE B, 2" SY 480 6.66 3196.80 11.93 5726.40 9.02 4329.604 AGGREGATE BASE COURSE, TYPE B, 6" SY 2727 10.99 29969.73 13.79 37605.33 14.60 39814.205 AGGREGATE BASE COURSE, TYPE B, 8" SY 70 13.78 964.60 30.64 2144.80 27.09 1896.306 AGG SURF CSE TB TON 5 40.18 200.90 135.70 678.50 53.34 266.707 POLY BITUMINOUS MATERIALS (PRIME COAT) POUNDS 158 1.02 161.16 0.01 1.58 4.29 677.828 POLY BITUMINOUS MATERIALS (TACK COAT) POUNDS 16 40.70 651.20 0.01 0.16 10.73 171.689 POLYMERIZED HMA BINDER COURSE IL-12.5, N50 TON 6 796.02 4776.12 619.68 3718.08 536.61 3219.66

10 POLYMERIZED HMA SURFACE COURSE MIX "D" N50 TON 6 796.02 4776.12 619.68 3718.08 536.61 3219.6611 PCC PAVEMENT, 7" SY 2353 56.19 132215.07 49.90 117414.70 58.05 136591.6512 PCC DRIVEWAY PAVEMENT, 6" SY 480 65.06 31228.80 70.96 34060.80 64.49 30955.2013 PCC SIDEWALK, 4" SF 5350 7.60 40660.00 8.49 45421.50 6.84 36594.0014 PCC SIDEWALK, 6" SF 1358 9.76 13254.08 9.21 12507.18 7.16 9723.2815 PCC SIDEWALK, 8" SF 109 10.58 1153.22 40.78 4445.02 8.73 951.5716 DETECTABLE WARNINGS SF 32 82.05 2625.60 24.20 774.40 28.58 914.5617 PAVEMENT REMOVAL SY 72 10.54 758.88 32.93 2370.96 14.53 1046.1618 DRIVEWAY PAVEMENT REMOVAL SY 290 13.16 3816.40 15.88 4605.20 13.88 4025.2019 CCC&G REMOVAL FT 1617 4.84 7826.28 5.79 9362.43 6.56 10607.5220 SIDEWALK REMOVAL SF 3054 2.88 8795.52 1.56 4764.24 1.52 4642.0821 STORM SEWER CLASS B, TYPE 2, 12" FT 35 72.14 2524.90 133.95 4688.25 60.82 2128.7022 INLETS, TYPE A, TY 3 FRAME AND GRATE EA 2 2611.43 5222.86 2231.84 4463.68 1854.09 3708.1823 INLETS, TYPE B, TY 1 FRAME CLOSED LID EA 1 2735.85 2735.85 3533.34 3533.34 2398.31 2398.3124 MANHOLES TO BE ADJUSTED EA 3 857.21 2571.63 1064.15 3192.45 507.35 1522.0525 INLETS TO BE ADJUSTED W/ NEW TY 3 F&G EA 2 1309.03 2618.06 1055.51 2111.02 974.44 1948.8826 CCC&G TB6.18 FT 1618 28.68 46404.24 30.18 48831.24 35.10 56791.8027 MOBILIZATION LS 1 2974.10 2974.10 12251.26 12251.26 25000.00 25000.0028 BRICK SIDEWALK REMOVAL SF 3728 2.86 10662.08 1.35 5032.80 2.49 9282.7229 TRAFFIC CONTROL AND PROTECTION, SPECIAL LS 1 6989.10 6989.10 5445.55 5445.55 5213.33 5213.3330 CONSTRUCTION LAYOUT LS 1 7568.18 7568.18 5092.50 5092.50 4507.52 4507.5231 AGGREGATE BASE COURSE TYPE B 2" SPL SF 6817 1.27 8657.59 1.30 8862.10 1.00 6817.0032 PAVEMENT REMOVAL SPECIAL SY 1698 33.00 56034.00 34.36 58343.28 34.96 59362.0833 CURBWALL REM FT 77 6.05 465.85 10.86 836.22 8.61 662.9734 CURBWALL SPL FT 77 49.99 3849.23 51.47 3963.19 28.06 2160.6235 TOPSOIL, EXCAVATE AND PLACE SY 1891 4.87 9209.17 7.12 13463.92 4.28 8093.4836 LANDSCAPING LS 1 7578.99 7578.99 7087.50 7087.50 15628.21 15628.21

1 PAVEMENT REMOVAL MODIFIED LS 1 -19000.00 -19000.00 -16000.00 -16000.00 -20000.00 -20000.00

TOTAL ESTIMATE/ BID = -$ $468,209.49 $480,194.07 $503,077.74

Administration Operating Under Council - Manager Government Since 1957

Special Events Application

Name:

Completed form must be submitted

at least

Street Address : _5:;..._~=---'-=--.µ,,i!.<-.L..------ 30 days prior to event date.

Website:

Contact Person's Information

Contact Person: f I \ i e. ~e 1Y ~Fi~~-t----------~Lls-c_:.......... _________ _

Approval lette?s will be sent co this e-mail address

Event Information

Event Name:

Type of Event: CJ.?frt ~Se

Date of Event: u /g.o}\ '6 Setup Time: 1 Z-';Qc) Tear Down Time: r~D:?

Evenr Scare Time: j: c.JO Event End Time: f- ~ D () Estimated number of

scaff/volunteers/parcicipants: //) Estimated number of attendees: __ _

Food Served?{j;) No Name Of Food Vendors: Snzo(' n' u) l li-e s ) t t197<" Co . ~t'let....? LD.

Will food be prepared on site?

City Property l . Specific

City Property Requested: _....frj""--'-. """""?-O_f"-T______________ Area --------------Additional Property Specific

Requested: Area

.: r . . , \"" ~ :_ .

Parle Plaza reservations Fees: None Please call: 309/345-3608

Shelter/gazebo/softball field reservations Fees: Shelters and gazebos - $ 30 Fees: Softball flelds $50 per day, per field Please call: 309/345-3683

Conunued 011 nexl 1uge

,, ' ''

_: :. ,.

Galesburg Municipal Airpon (Rental Fees)* Fees: $150 ( 4 hrs or less) or $250 (whole day) Please call: 309/345-3623

* Applications for the , Airport MUST be received 120 days prior to an event. In addition co the Special Events Application, a completed FAA 7460 must be submitted co the IDOT Division of Aeronautics for their approval before we of the airport is granted.

Page 2 of 3

Administration Operating Under Council - Manager Government Since 1957

1

Special Pennies

Bounce House

Tents

Fire

March, Marathon, Parade, etc.

-···MusicNoiC:e Amplification:

Misc Equipment

Yes

Yes

Yes

Yes

Yes

Call J.U.L.1 . .E. for utilil:y lootes at 800/892-0123

Call J.U.L.l.E. for utility locates ac 800/892·0123

Fire Department - T enc pennit Fees: $30 Call: 309/345-3756

Fire Department - Fire pennit Fees: Vary Call: 309/345-3756

- - --- Police Dej:iai'Uiierif~-Pafaae.permii (Coricact lllik- Maria.gemeni: to see- ifSj:iedal Event - . -Application needs co be completed.) Fees: None Call: 309/345-3727

being used=---------------------------------------

Questions? Please contact: City Clerk's Office 309/345-3612

Date

Submit completed applications at least 30 days prior to event to: City of Galesburg City Clerk"s Office

55 West Tompkins Street Galesburg, IL 61401

!-·--~··-----~-·~- - --··---·~---------~-- ~---·---·-~--- ---~ -- -~-jThts Application Has Been Received and Found That:

D D

Proof of Insurance Is not required. ' i

Proof of Insurance Is required. Oty policy requires chat the coverage be a Comprehensive General Liability policy naming the Otyj of Galesburg as an additional insured. The policy Is co be primary and written with a minimum of $1,000,000 combined single i llmir per occurrence for bodily Injury, personal Injury and property damage. Any deductibles or self-insurance retendon must be! declared to and approved by the Cicy. Should this policy be cancelled prior to the event date, the Issuing insurer will notify chel Oty of Galesburg of cancellation. \

) Risk Manager Approval

·City Manager's Approval

Date

Agenda Dace

r ---- ·--~-~~····--¥~!_

lLF 'email

Agnd ltr

This form is available on the City's website at

Revised: 05/20 I 3

Page 3 of 3

arc Xv Air Race Classic

FOR IMMEDIATE RELEASE

Contact: [email protected]

121 WOMEN PILOTS SET TO COMPETE IN 42ND ANNUAL AIR RACE CLASSIC 56 teams will fly across the country this June in historic airplane race

April 5, 2018 - The field is set for the 42nd Air Race Classic (ARC), the annual all-women cross-country airplane race. Fifty-six teams, consisting of 121 women pilots from across the country and around the world, will take off at 8 a.m. Tuesday, June 19 from Sweetwater, Texas, for a 2,656-mile sprint across the United States that ends Friday, June 22 in Fryeburg, Maine.

This year, the ARC counts an aviation celebrity among the racers: U.S. national aerobatic;s champion Debby Rihn-Harvey.

The oldest race of its kind in the nation, the Air Race Classic traces its roots to the 1929 Women's Air Derby, in which Amelia Earhart and 19 other daring female pilots raced from Santa Monica, California, to Cleveland, Ohio. That contest, aka the Powder Puff Derby, marked the beginning of women's air racing in the United States. Today, the ARC is the epicenter of women's air racing, the ultimate test of piloting skill and aviation decision-making for female pilots of all ages and from all walks of life.

"The ARC Board of Directors and volunteers have been hard at work preparing for our 42nd race," said Air Race Classic President Lara Gaerte. "We look forward to welcoming back veteran racers and meeting new competitors at this year's Start."

This year's course will take racers through 15 states, from the West Texas flatlands, where the Women Airforce Service Pilots trained for military service during World War II, through the American heartland to the pine forests of Maine. Teams will depart beginning at 8 a.m. June 19 from historic Avenger Field, taking off one after another, 30 seconds apart. From there, the field will spread out as faster planes move to the head of the pack.

At each of the eight intermediate stops - Alva, Oklahoma; Beatrice, Nebraska; Faribault, Minnesota; Galesburg, Illinois; Auburn, Indiana; Cadillac, Michigan; Newark, Ohio; and Penn Yan, New York - teams will execute high-speed flybys over a timing line as they race against the clock. Faster planes may cover the course in only two days; slower teams may not arrive at the Terminus, Eastern Slopes Regional Airport, until moments before the arrival deadline at 5 p.m. on June 22.

The 56 teams of two or three pilots will have four days to complete the course, flying normally aspirated, piston-powered airplanes in visual flight conditions during daylight hours. Pilots and copilots must have at least a Private pilot certificate and a minimum of 100 hours as pilot-in-command in order to qualify for the race; one of them must have at least 500 hours as pilot-in-command or a current instrument rating. If they wish, the pilot and copilot may bring along a teammate, who must hold at least a student pilot certificate.

Eighteen colleges or universities are fielding teams: Auburn University, California Aeronautical University, Delaware State University, Ecole Nationale d' Mrotechnique (Quebec), Embry-Riddle Aeronautical UniversityDaytona, Embry-Riddle Aeronautical University-Prescott, Indiana State University, Jacksonville University, Kent State University, Lewis University, Liberty University Middle Tennessee State University, Purdue University, Southern Illinois University at Carbondale, The Ohio State University, University of Dubuque, University of North Dakota and Western Michigan University. CAU, Delaware State, ENA and Dubuque are participating for the first time.

This year's racers hail from 35 states and five foreign countries: Australia, Canada, Colombia, Kenya and New Zealand.

For some competitors, the Air Race Classic is a family affair. This year's field includes two multi-generational teams, with mothers and daughters racing together.

Because each plane receives a unique handicap, teams are racing against their own best time, not against one another. This creates a level playing field, so slower planes can compete against faster aircraft on an equal basis. Teams strategize to play the elements, holding out for better weather or seeking more favorable winds, to beat their handicap by the greatest margin.

Official standings aren't determined until after the last team has crossed the finish line -the last arrival at the Terminus may, in fact, be the winner!

ABOUT THE AIR RACE CLASSIC

Air Race Classic Inc. is an all-volunteer, nonprofit 501(c)3 organization with a mission of encouraging and educating current and future female pilots, increasing public awareness of general aviation, demonstrating women's roles in aviation, and preserving and promoting the tradition of pioneering women in aviation. For more information, go to airraceclassic.org. Follow Air Race Classic on Facebook. On Twitter: @AuthenticARC

___________________________________________________________________________________________________________________________________________________________________________________________

Prepared by OLL Page 1 of 2


JUNE 18, 2018

AGENDA ITEM: Purchase of direct burial armored fiber optic cable for connection to the Hawthorne water tower.

SUMMARY RECOMMENDATION: The City Manager, Director of Planning and Public Works, Director of Finance and Information Systems, Information Systems Supervisor, and Purchasing Agent recommend that the City Council waive normal purchasing polices and approve this purchase from Springfield Electric in the amount of $12,897.93.

BACKGROUND: Currently, the Hawthorne water tower is the last water tower that does not have a direct fiber connection to the City Hall network. The Fourth St. and Seminary St. towers have been connected over the last five years. This data connection provides a more reliable and higher speed control of the water towers, and going forward, the ability to add security cameras and other physical security features. In the future, this fiber could also provide a data backbone for wireless water meter technologies.

Conduit has been installed in multiple phases over the last four years as follows: 1) As part of the Bickerdyke bridge project 2) As part of the Seminary Street reconstruction 3) and the Hawthorne center project. We now have a complete conduit path from City Hall to the Hawthorne tower. Staff’s intention is to purchase the fiber optic cable and have it pulled, connected and tested by city personnel.

Multiple strand count options were requested in the quotes to assist in determining the amount of fiber that could be put along Seminary Street and includes providing extra capacity for other fiber initiatives along this route in the future. The request is to purchase 9000’ of 144 strand fiber to cover the main route between City Hall and the Hawthorne center and 3600’ of 48 strand fiber which will be used from Seminary Street and Walsh Street to the Hawthorne water tower.

Although this would normally be a bid process, Information Technology has received multiple quotes from vendors for this project. Purchasing and Information Technology staff are confident that a broad spectrum of potential vendors were reached and that there was an adequate response to ensure the City is receiving fair pricing for this purchase.

BUDGET IMPACT: Purchase of this fiber will be split 50% between the Water Fund and the MIS division.

SUPPORTING DOCUMENTS: 1. Hawthorne Fiber quote comparison2. Anixter city of Galesburg Quote3. Dexon – no bid4. Graybar Quotation5. ITSavvy Quote

18-4073

___________________________________________________________________________________________________________________________________________________________________________________________

Prepared by OLL Page 2 of 2

6. SCW – no bid 7. SHI Quote 8. Springfield Electric 9. StrictlyTech Quote

Description Amount Price per foot Anixter Dexon - no bid Price per foot Graybar Price per foot ITSavvy SCW - no bid Price per foot SHI Price per foot Springfield Electric Price per foot StrictlyTechCorning 96 strand direct burial armored fiber 9000 $0.95 $8,550.00 $0.97 $8,742.78 $1.61 $10,452.81 $1.51 $13,673.00 $0.81 $7,290.00 $0.90 $8,100.00Corning 144 strand direct burial armored fiber 9000 $1.37 $12,330.00 $1.41 $12,683.34 $1.68 $15,164.36 $2.20 $20,133.00 $1.18 $10,620.00 $1.31 $11,790.0024 Strand armored fiber 3600 $0.40 $1,448.28 $0.42 $1,522.04 $0.50 $1,805.67 $0.67 $2,421.00 $0.39 $1,404.00 $0.32 $1,152.0048 Strand armored fiber 3600 $0.55 $1,986.12 $0.62 $2,240.53 $0.68 $2,456.31 $0.90 $3,228.00 $0.48 $1,728.00 $0.46 $1,656.00Splice Closure 4 $425.84 $478.28 $535.04 $640.00 $283.76 $410.08Two CH connector 1 $319.18Hardware Lock Kit 1 $20.70Fan Out Outdoor Kit 12F 52 $2,496.00Wall Enclosure 1 $284.18 $357.04 $418.00 $259.00 $273.68MLNK 642-065-10 grommet 10/pk 1 $1.48MLNK 642-064-10 grommet 10/pk .58 1 $1.48MLNK 642-091-10 grommet 10/ pk .48 1 $1.25MLNK 645-089-10 grommet 10/pk Flat Drop 1 $1.48MLNK 642-089-20 grommet 10/pk Round Drop 1 $1.48

Estimated Shipping costTotal $25,024.42 $28,502.85 $30,771.23 $40,513.00 $21,591.93 [1] $23,381.76

Sub Total - 96 strand and 24 strand [2] $10,708.30 $10,743.10 $13,150.56 $17,152.00 $9,243.93 $9,935.76Sub Total - 144 strand and 48 strand [3] $15,026.14 $15,402.15 $18,512.75 $24,419.00 $12,897.93 $14,129.76Sub Total - 144 strand and 24 strand [4] $14,488.30 $14,683.66 $17,862.11 $23,612.00 $12,573.93 $13,625.76

Best overall quote - non corningBest quote - corning specs

Difference $1,789.83

Best low strand quote overall - non corningBest low strand quote corning

Difference $691.83

Best high strand quote overall - non corningBest high strand quote corning

Difference $1,231.83

Unit Price

0.95

1.37

0.40

0.55

106.46

284.18

Page 1 of

QUOTATION

Date: 05/21/2018

Quote #: Q001271G

See attached Anixter Terms and Conditions of Sale

CITY OF GALESBURG Anixter Inc.

55 WEST TOMPLINS STGALESBURG, IL 61401

2301 Patriot Blvd.Glenview, IL 60026

Orlee Lucero

Phone: 309-345-3676

fiber

Fax: --

Email: [email protected]

Line Quantity Part Number and Description UM Extended Price

1 9000 372-COR8.3-LTA-96CORNING 096EUC-T4101D2096-F 8.3/125 LT DIRECT BURIAL 0.4/0.3 DB/KM ALTOS LITE ARMORED

FT 8,550.00

2 9000 372-COR8.3-LTA-144CORNING 144EUC-T4101D20144-F 8.3/125 LT DIRECT BURIAL0.4/0.3 DB/KM ALTOS LITE ARMORED

FT 12,330.00

3 3600 372-COROS2-LTAB-2424-F ALTOS GEL-FREE CBL W/ FASTACCESS TECH SINGLE-JKT/ SINGLE-ARMOR SMF-28

FT 1,448.28

4 3600 372-COROS2-LTAB-4848-F ALTOS GEL-FREE CBL W/ FASTACCESS TECH SINGLE-JKT/ SINGLE-ARMOR SMF-28

FT 1,986.12

5 4 212092SPLICE CLOSURE 24 FIBER WITH TRAYS FOR HEAT SHRINK FUSION MAX 60 SPLICES

EA 425.84

6 1 25082512-F WALL-MT ENCLOSURE EMPTY-ACCEPTS 2 CCH PANELS ICH UNIT

EA 284.18

Quote Total: 25,024.42

2en-US Version 1.9

TERMS NET30

FREIGHT TERMS: PPD/CHARGE

SHIPMENT: MATERIAL IN ANIXTER INVENTORY IS SUBJECT TO PRIOR SALE.

NOTES: ORDER ACCEPTANCE BASED UPON PRIOR CREDIT APPROVAL. ALL MATERIAL NON- RETURNABLE WITH RETURN AUTHORIZATION.

CURRENCY: USD

[email protected]

Comments:

COPPER CABLE PRICES VALID 14 CALENDAR DAYS. ALL OTHER ITEMS VALID 30 DAYS UNLESS NOTED AT THE ITEM LEVEL.

Please refer all inquiries to:

Crissy ArnoldBLOOMINGTON, IL 61704US

Phone: 309-664-8215

Mobile: --

Fax: 309-662.0007

Orlee Lucero <[email protected]>

Update quote request for fiber optic cable and splice boxes

Jeshua McClinton <[email protected]> Thu, May 17, 2018 at 10:45 AMReply-To: [email protected]: Orlee Lucero <[email protected]>

NO BID

Best,

Jeshua McClinton | Dexon

O: 952.564.3218 | E: [email protected]

From: Orlee Lucero [mailto:[email protected]] Sent: Thursday, May 17, 2018 10:28 AM To: undisclosed-recipients: Subject: Update quote request for fiber optic cable and splice boxes

[Quoted text hidden]

mailto:[email protected]


5008 TREMONT AVEDAVENPORT IA 52807-1018

Phone: 563-468-2716Fax: 563-388-0673

To: GALESBURG,CITY OF - IT DIVISION55 W TOMPKINS ST.GALESBURG IL 61401-4400

Attn: ORLEE LUCEROPhone: 309-345-3676Fax: 309-343-4765Email: [email protected]

Date: 05/18/2018Proj Name: FIBER PROJECTGB Quote #: 0230147070 Rev-1Release Nbr:Purchase Order Nbr:Additional Ref#Valid From: 05/17/2018Valid To: 06/16/2018Contact: LESLIE WALDSCHMIDTEmail: [email protected]

ProposalWe Appreciate Your Request and Take Pleasure in Responding As Follows

Item Item/Type Quantity Supplier Catalog Nbr Description Price Unit Ext.Price

100 3,500 EA CORNINGOPTICAL

S-OP-96-LA-A-4E-BK-SIC-8

096EUC-T4101D20 $971.42 1000 $3,399.97

GB Part #: 25069924 UPC #:

***Item Note:*** MFG LEAD TIME 3-5 WEEKS ARO

________________________________________________________________________________________________________________



096EUC-T4101D20 $971.42 1000 $2,914.26

GB Part #: 25069924 UPC #:

***Item Note:*** MFG LEAD TIME 3-5 WEEKS ARO

________________________________________________________________________________________________________________



096EUC-T4101D20 $971.42 1000 $2,428.55

GB Part #: 25069924 UPC #:

________________________________________________________________________________________________________________



048EUC-T4101D20 $622.37 1000 $2,240.53

GB Part #: 25238176 UPC #:

________________________________________________________________________________________________________________



144EUC-T4101D20 $1,409.26 1000 $4,932.41

GB Part #: 25361747 UPC #:

________________________________________________________________________________________________________________

Subject to the standard terms and conditions set forth in this document. Unless otherwise noted,freight terms are F.O.B. shipping point prepaid and bill.

Unless noted the estimated ship date will be determined at the time of order placement.

This equipment and associated installation charges may be financed for a low monthly payment through Graybar Financial Services (subject to credit approval). For more information call 1-800-241-7408

to speak with a leasing specialist.

To learn more about Graybar, visit our website at www.graybar.com 24-Hour Emergency Phone#: 1-800-GRAYBAR

Page 1 of 4

www.graybar.com


Attn: ORLEE LUCERO

Date: 05/18/2018Proj Name: FIBER PROJECTGB Quote #: 0230147070 Rev-1




144EUC-T4101D20 $1,409.26 1000 $4,227.78

GB Part #: 25361747 UPC #:

________________________________________________________________________________________________________________



144EUC-T4101D20 $1,409.26 1000 $3,523.15

GB Part #: 25361747 UPC #:

________________________________________________________________________________________________________________



024EUC-T4101D20 $422.79 1000 $1,522.04

GB Part #: 25069915 UPC #:

________________________________________________________________________________________________________________

700 4 EA CORNINGOPTICAL

UCAO-05-24 SPLICE CLOSUREW/TRAYS 24F CAP

$119.57 1 $478.28

GB Part #: 25231460 UPC #:

________________________________________________________________________________________________________________


ICH-02P TWO CCHCONNECTOR

$319.18 1 $319.18

GB Part #: 22114274 UPC #:

________________________________________________________________________________________________________________


HDWR-LOCK-KITLOCK KIT $20.70 1 $20.70

GB Part #: 96062479 UPC #:

________________________________________________________________________________________________________________


FAN-OD25-12 FAN OUTOUTDOOR KIT 12F25IN

$48.00 1 $2,496.00

GB Part #: 97275326 UPC #:

________________________________________________________________________________________________________________






Page 2 of 4

www.graybar.com


Attn: ORLEE LUCERO



Total in USD (Tax not included): $28,502.85






Page 3 of 4

www.graybar.com


Attn: ORLEE LUCERO



GRAYBAR ELECTRIC COMPANY, INC.TERMS AND CONDITIONS OF SALE

1. ACCEPTANCE OF ORDER; TERMINATION - Acceptance of any order is subject to credit approval and acceptance of order by Graybar Electric Company, Inc. ("Graybar") and, when applicable, Graybar's suppliers.If credit of the buyer of the goods ("Buyer") becomes unsatisfactory to Graybar, Graybar reserves the right to terminate upon notice to Buyer and without liability to Graybar.

2. PRICES AND SHIPMENTS - Unless otherwise quoted, prices shall be those in effect at time of shipment, which shall be made F.O.B. shipping point, prepaid and bill.

3. RETURN OF GOODS - Credit may be allowed for goods returned with prior approval. A deduction may be made from credits issued to cover cost of handling.

4. TAXES - Prices shown do not include sales or other taxes imposed on the sale of goods. Taxes now or hereafter imposed upon sales or shipments will be added to the purchase price. Buyer agrees to reimburse Graybarfor any such tax or provide Graybar with acceptable tax exemption certificate.

5. DELAY IN DELIVERY - Graybar is not to be accountable for delays in delivery occasioned by acts of God, failure of its suppliers to ship or deliver on time, or other circumstances beyond Graybar's reasonablecontrol. Factory shipment or delivery dates are the best estimates of our suppliers, and in no case shall Graybar be liable for any consequential or special damages arising from any delay in shipment or delivery.

6. LIMITED WARRANTIES - Graybar warrants that all goods sold are free of any security interest and will make available to Buyer all transferable warranties (including without limitation warranties with respect tointellectual property infringement) made to Graybar by the manufacturer of the goods. GRAYBAR MAKES NO OTHER EXPRESS OR IMPLIED WARRANTIES, AND SPECIFICALLY DISCLAIMS ALL IMPLIEDWARRANTIES INCLUDING BUT NOT LIMITED TO THE IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR PURPOSE. UNLESS OTHERWISE AGREED IN WRITING BY ANAUTHORIZED REPRESENTATIVE OF GRAYBAR, PRODUCTS SOLD HEREUNDER ARE NOT INTENDED FOR USE IN OR IN CONNECTION WITH (1) ANY SAFETY APPLICATION OR THECONTAINMENT AREA OF A NUCLEAR FACILITY, OR (2) IN A HEALTHCARE APPLICATION, WHERE THE GOODS HAVE POTENTIAL FOR DIRECT PATIENT CONTACT OR WHERE A SIX (6)FOOT CLEARANCE FROM A PATIENT CANNOT BE MAINTAINED AT ALL TIMES.

7. LIMITATION OF LIABILITY - Buyer's remedies under this agreement are subject to any limitations contained in manufacturer's terms and conditions to Graybar, a copy of which will be furnished upon writtenrequest. Furthermore, Graybar's liability shall be limited to either repair or replacement of the goods or refund of the purchase price, all at Graybar's option, and IN NO CASE SHALL GRAYBAR BE LIABLE FORINCIDENTAL, SPECIAL, OR CONSEQUENTIAL DAMAGES. In addition, claims for shortages, other than loss in transit, must be made in writing not more than five (5) days after receipt of shipment.

8. WAIVER - The failure of Graybar to insist upon the performance of any of the terms or conditions of this agreement or to exercise any right hereunder shall not be deemed to be a waiver of such terms, conditions, orrights in the future, nor shall it be deemed to be a waiver of any other term, condition, or right under this agreement.

9. MODIFICATION OF TERMS AND CONDITIONS - These terms and conditions supersede all other communications, negotiations, and prior oral or written statements regarding the subject matter of these terms andconditions. No change, modification, rescission, discharge, abandonment, or waiver of these terms and conditions shall be binding upon Graybar unless made in writing and signed on its behalf by a duly authorizedrepresentative of Graybar. No conditions, usage of trade, course of dealing or performance, understanding or agreement, purporting to modify, vary, explain, or supplement these terms and conditions shall be bindingunless hereafter made in writing and signed by the party to be bound. Any proposed modifications or additional terms are specifically rejected and deemed a material alteration hereof. If this document shall be deemed anacceptance of a prior offer by Buyer, such acceptance is expressly conditional upon Buyer's assent to any additional or different terms set forth herein.

10. REELS - When Graybar ships returnable reels, a reel deposit may be included in the invoice. The Buyer should contact the nearest Graybar service location to return reels.

11. CERTIFICATION - Graybar hereby certifies that these goods were produced in compliance with all applicable requirements of Sections 6, 7, and 12 of the Fair Labor Standards Act, as amended, and of regulations andorders of the United States Department of Labor issued under Section 14 thereof. This agreement is subject to Executive Order 11246, as amended, the Rehabilitation Act of 1973, as amended, the Vietnam Veterans'Readjustment Assistance Act of 1974, as amended, E.O. 13496, 29 CFR Part 471, Appendix A to Subpart A, and the corresponding regulations, to the extent required by law. 41 CFR 60-1.4, 60-741.5, and 60-250.5 areincorporated herein by reference, to the extent legally required.

12. FOREIGN CORRUPT PRACTICES ACT - Buyer shall comply with applicable laws and regulations relating to anti-corruption, including, without limitation, (i) the United States Foreign Corrupt Practices Act(FCPA) (15 U.S.C. §§78dd-1, et. seq.) irrespective of the place of performance, and (ii) laws and regulations implementing the Organization for Economic Cooperation and Development's Convention on CombatingBribery of Foreign Public Officials in International Business Transactions, the U.N. Convention Against Corruption, and the Inter-American Convention Against Corruption in Buyer's country or any country whereperformance of this agreement or delivery of goods will occur.

13. ASSIGNMENT - Buyer shall not assign its rights or delegate its duties hereunder or any interest herein without the prior written consent of Graybar, and any such assignment, without such consent, shall be void.

14. GENERAL PROVISIONS - All typographical or clerical errors made by Graybar in any quotation, acknowledgment or publication are subject to correction. This agreement shall be governed by the laws of the State ofMissouri applicable to contracts to be formed and fully performed within the State of Missouri, without giving effect to the choice or conflicts of law provisions thereof. All suits arising from or concerning this agreementshall be filed in the Circuit Court of St. Louis County, Missouri, or the United States District Court for the Eastern District of Missouri, and no other place unless otherwise determined in Graybar's sole discretion. Buyerhereby irrevocably consents to the jurisdiction of such court or courts and agrees to appear in any such action upon written notice thereof.

15. PAYMENT TERMS - Payment terms shall be as stated on Graybar's invoice or as otherwise mutually agreed. As a condition of the sales agreement, a monthly service charge of the lesser of 1-1/2% or the maximumpermitted by law may be added to all accounts not paid by net due date. Visa, MasterCard, American Express, and Discover credit cards are accepted at point of purchase only.

16. EXPORTING - Buyer acknowledges that this order and the performance thereof are subject to compliance with any and all applicable United States laws, regulations, or orders. Buyer agrees to comply with all suchlaws, regulations, and orders, including, if applicable, all requirements of the International Traffic in Arms Regulations and/or the Export Administration Act, as may be amended. Buyer further agrees that if the exportlaws are applicable, it will not disclose or re-export any technical data received under this order to any countries for which the United States government requires an export license or other supporting documentation at thetime of export or transfer, unless Buyer has obtained prior written authorization from the United States Office of Export Control or other authority responsible for such matters.

Signed:___________________________________






Page 4 of 4

www.graybar.com

Bill To:ACCT #: 562682Galesburg City HallPO Box 1589Galesburg, IL 61402-1589United States

Ship To:Galesburg City HallOrlee Lucero55 W Tompkins StFinance Dept.Galesburg, IL 61401-4400United States309-345-3676

Subtotal: $30,771.23

Shipping: $0.00

Tax: Exempt

TOTAL: $30,771.23

Client Executive:Jack Place(P) 312.676.5351(F) [email protected]

Item Description Part # Tax Qty Unit Price Total

1 Splice boxes - Corning UCAO-05-24 13874970 Y 4 $133.76 $535.04

2 Enclosure - Corning ICH-02P 16950636 Y 1 $357.04 $357.04

3 096EUC-T4101D209,000 EA CORNINGOPTICAL

***Item Note:*** ** CUTS: 1 X 3500 / 1 X 2500 / 1 X 3000 **

21076459 Y 1 $10,452.81 $10,452.81

4 144EUC-T4101D209,000 EA CORNINGOPTICAL

***Item Note:*** ** CUTS: 1 X 3500 / 1 X 2500 / 1 X 3000 **

21076462 Y 1 $15,164.36 $15,164.36

5 024ZUC-T4F22D203,600 EA CORNINGOPTICAL

21076467 Y 1 $1,805.67 $1,805.67

6 048ZUC-T4F22D203,600 EA CORNINGOPTICAL

21076469 Y 1 $2,456.31 $2,456.31

Description: Quote request for fiber optic cable and splice boxes

ITsavvy LLC30 West Monroe Street, Suite 1400Chicago, IL 60603www.ITsavvy.com

Client Contact:Orlee Lucero(P) [email protected]

Quote Details

Quote #: 3103058

Date: 05/18/2018

Payment Method: Net 30 Days

Client PO#:

Cost Center:

Shipping Method: Ground

ITsavvy is always looking to deliver the lowest cost possible to our clients. This results in fluctuating prices that you will find are lower more often than not. However, prices are subject to increases without notice in the event of a manufacturer or distributor price increase. Available inventory is subject to change without notice. This document is a quotation only and is not an order or offer to sell.

We do accept credit cards for payment. However, if the credit card is provided after the order has been invoiced there will be a charge of 3% of the total purchase.

Unless specifically listed above, these prices do NOT include applicable taxes, insurance, shipping, delivery, setup fees, or any cables or cabling services or material.

All non-recurring services are 50% due upon signing of contract, 40% due upon delivery of equipment, balance due upon install.

ITsavvy's General Terms and Conditions of Sale, which can be found at www.ITsavvy.com/termsandconditions, shall apply to and are incorporated into all agreements with Client, including all Orders.

Printed Name: ___________________________________ Title: ___________________________________

Authorized Signature: _____________________________ Date: ___________________________________

Fair Market Value $1 Buy Out

3 Year FMV / Year 5 Year FMV / Year 3 Year $1 / Year 5 Year $1 / Year

$10,084.41 $6,757.27 $11,004.35 $6,940.41

Lease prices listed above are estimates. They apply for Public School and Municipal Entities only. They are based upon individual credit review and approval. Your final rates will be determined after credit review.

Orlee Lucero <[email protected]>

Update quote request for fiber optic cable and splice boxes

Travis Dilg <[email protected]> Thu, May 17, 2018 at 12:54 PMTo: Orlee Lucero <[email protected]>

Hey Orlee,

Thank you for including me on this one. I’ll be no bidding though. Please let me know if there is anything else I can lookinto for you.

Thanks again,

Travis Dilg | Public Sector Account Manager Southern Computer Warehouse

1395 S. Marietta Parkway | Building 300 | Marietta, GA 30067

P: 877.GOTOSCW (468.6729) ext. 286

F: 770.579.8937 | SCW.com

OH HP Contract # STS-534486-2 | WI HP NASPO

LA HP NASPO | LA Tripp Lite Contract

HP MHEC | PEPPM | TIPS | IL USETPA

SCW.com | Line Card | About Us

From: Orlee Lucero [mailto:[email protected]] Sent: Thursday, May 17, 2018 11:28 AM To: undisclosed-recipients: Subject: Update quote request for fiber op�c cable and splice boxes

Please send me a quote for the following fiber specs. This is an update request of another quote that requested on April16th.

[Quoted text hidden]

https://maps.google.com/?q=1395+S.+Marietta+Parkway+%7C+Building+300+%7C+Marietta,+GA+30067&entry=gmail&source=g

http://www.scw.com/

http://www.scw.com/company/manufacturers

http://www.scw.com/company/about_us


City of Galesburg IL

Orlee Lucero 55 W. Tompkins St. Galesburg IL 61401 Phone: (309) 345-3676 Fax: (309) 343-4765 Email: olucero@ci. galesburg.il.us

All Prices are in US Dollar (USO)

Product

LT Direct Burial 0.4/0.3 DB/KM Altos OS2, Loose Tube, Gel-Free, Armored, Zero Water Peak Fiber (3500', 2500', 3000')

TTI Cable - Part#: 96-F 8.3/125 Note: 4 Week Lead Time

2 LT Direct Burial 0.4/0.3 D (3500', 2500', 3000') TTI Cable - Part#: 144-F 8.3/125 Note: 4 Week Lead Time

3 24-F-Altos OS2, Loose Tube, Gel-Free, Armored , Zero Water Peak Fiber (3600') TTI Cable - Part#: 24-F-Altos Note: 4 Week Lead Time

4 48-F Altos OS2, Loose Tube, Gel-Free, Armored , Zero Water Peak Fiber (3600') TTI Cable - Part#: 48-F-Altos Note: 4 Week Lead Time

5 Splice Closure, preloaded, 5 tray shelves TTI Cable - Part#: UCA0-05-24 Note: 2 Week Lead Time

6 Corning Industrial Connector Housing - Cabinet - wall mountable TTI Cable - Part#: ICH-02P Note: 2 Week Lead Time

Additional Comments

Pricing Proposal Quotation #: 15363238 Created On: May-18-2018 Valid Until : May-31-2018

Inside Account Executive

Ryan Brennan 290 Davidson Ave. Somerset, NJ, 08873 Phone: 800-477-6479 Fax: 732-564-8224 Email: [email protected]

Qty Your Price Total

$13,673.00 $13,673.00

$20,133.00 $20,133.00

$2,421 .00 $2,421 .00

$3,228.00 $3,228.00

4 $160.00 $640.00

$418.00 $418.00

Total $40,513.00

Thank you for choosing SHI International Corp ! The pricing offered on this quote proposal is valid through the expiration date set above. To ensure the best level of service, please provide End User Name, Phone Number, Email Address and applicable Contract Number when submitting a Purchase Order.

Customer City of Galesburg (13-291) Orlee , Lucero55 W. Tompkins StreetGalesburg, IL 61402United States(P) 309-343-4181

DateMay 17, 2018 12:22 PMEDT

Modified DateMay 17, 2018 03:49 PMEDT

Quotation (Open)

Doc #41317 - rev 1 of 1

DescriptionCorning

SalesRepMcLeod, Ethan (P) 9546065440 (F) 9546065441

Customer ContactOrlee , Lucero (P) 309-345-3676 [email protected]

Bill To City of GalesburgOrlee , Lucero55 W. Tompkins StreetGalesburg, IL 61402United States(P) 309-343-4181

Ship To City of GalesburgOrlee , Lucero55 W. Tompkins StreetGalesburg, IL 61402United States(P) 309-343-4181

Payment Method Terms: Undefined Shipping Info Delivery Method: FedEx GroundCarrier Account: Shipping Instructions:

# Image Description Part # Tax Qty Unit Price Total

1

Corning - Per FT 96-FIBER ALTOSÂ® LITE# GEL-FREE CABLE SINGLE JACKET, SINGLEARMOR SINGLE- MODE G.652.D 0.35/0.35/0.25 12F/TUBE PRINT INFT

096EUC-T4100D20

Yes

9000 $0.90 $8,100.00

2

Corning - Per FT 144-FIBER ALTOSÂ® LITE# GEL-FREE CABLE SINGLE JACKET, SINGLEARMOR SINGLE- MODE G.652.D 0.35/0.35/0.25 12F/TUBE PRINT INFT

144EUC-T4100D20

Yes

9000 $1.31 $11,790.00

3

Corning - Per FT 24-FIBER ALTOSÂ® GEL-FREE CABLE ALL DIELECTRIC SINGLE JACKETSINGLE- MODE G.652.D 0.35/0.35/0.25 12F/TUBE PRINT IN FT

024EU4-T4100D20

Yes

3600 $0.32 $1,152.00

4

Corning - Per FT 48-FIBER ALTOSÂ® GEL-FREE CABLE ALL DIELECTRIC SINGLE JACKETSINGLE- MODE G.652.D 0.35/0.35/0.25 12F/TUBE PRINT IN FT

048EU4-T4100D20

Yes

3600 $0.46 $1,656.00

5

Corning Hinged case with snap open clips for easy access. Holds up to 5trays. Reusable seals, no special tools required. 4 Cable ports in-line,includes (2) UCAO-ST-02 trays. Dimensions: 5" X 6" X 15" ( 121mmX162mm X 381mm ).Max cable Diameter 28mm

UCAO-05-24

Yes

4 $102.52 $410.08

6

Corning 2 Panel - Industrial Connector Housing that accommodates twoCCHconnector panels or modules

ICH-02P Yes

1 $273.68 $273.68

CAGE: 70BA0DUNS: 078817964FEIN: 46-2619818Woman-Owned Small Business (WOSB)Primary NAICS: 423430

Subtotal: $23,381.76Tax (0.000%): $0.00

Shipping: $0.00Total: $23,381.76

**2 Week Lead time**

___________________________________________________________________________________________________________________________________________________________________________________________



JUNE 18, 2018

AGENDA ITEM: Lease agreements with Community Power Group for Community Solar Gardens to be located at the Logistics Park property.

SUMMARY RECOMMENDATION: The City Manager, the Director of Planning and Public Works, and the Director of Parks and Recreation recommend approval of the proposed leases with Community Power Group (CPG) in order to allow for the development of Community Solar Gardens.

BACKGROUND: On February 26, 2018, the City Council approved a letter of intent with CPG to develop three community solar gardens, two of which to be located at the Logistics Park and one to be located at the Airport as well as two distributed generation solar arrays at the water treatment plant in Oquawka. CPG is still in the process of configuring the solar arrays and determining the land areas that will be used in Oquawka, but are ready to move forward with the three community solar garden leases for the sites located in Galesburg. However, there are some additional clearances required by IDOT for the airport site so it is not ready to move forward yet. These lease agreements will provide an initial annual lease amount of $1,200 per acre leased for each of the three locations with a 1.5% escalator per year. The proposed lease amount is almost five times more rent than the current rent amounts. It is estimated that approximately 17.5 acres per site will be leased at each location with the final acreage being determined after the detailed design has been completed. Once the design has been completed, a legal description for the property leased will be developed and amended to this agreement. CPG needs the City to execute the leases in order to meet the State’s readiness requirements to be considered for selection.

The term of leases shall be 25 years with up to two five year extensions upon mutual agreement of the parties. CPG will have up to three years from the effective date of the lease agreement to start installation work, if not, then the City has the right to terminate the agreement. CPG plans to install two 2.0 megawatt solar arrays on the proposed leased property (one per site). The solar arrays will be Community Solar Gardens with up to 40 percent of the power produced being sold back to the City of Galesburg for municipal use and the balance being sold to residents in the local community at a reduced rate. A power purchase agreement will be presented to the City in the near future which will lock in the reduced rate the City will receive for power for the term of the lease.

Both sites will be fenced off and will be secure. CPG will be responsible for maintenance of the leased areas and will provide insurance for the areas leased. They will also be responsible for all personal and real property taxes associated with the lease.

The leases provide for CPG to remove the facility at the end of the lease term within 180 days and will provide a surety bond to the City to cover the cost to remove the facility should CPG fail to do so in accordance with the terms of the lease.

18-4074

___________________________________________________________________________________________________________________________________________________________________________________________


BUDGET IMPACT: Once the sites have been developed, the City will receive $1,200 per acre for the leased areas with a 1.5% escalator per year thereafter.

SUPPORTING DOCUMENTS: 1. Lease Agreements for two locations at the Logistics Park2. Location Map

Proprietary and Confidential 1

SOLAR FACILITY SITE LEASE AGREEMENT

This Solar Facilities Site Lease Agreement (the “Lease” or “Agreement”), dated as of this ___day of May 2018 (the “Effective Date”), is entered into by and between Community Power Group, LLC, a Delaware limited liability company (“Lessee”), and City of Galesburg, an Illinois home rule municipal corporation (“Lessor”). Each of Lessee and Lessor is referred to herein as a “Party” and collectively they are referred to as the “Parties”.

A. GENERAL TERMS

A.1. Purpose of the Lease The purpose of this Lease is to lease land (as further defined herein and more fullydescribed in Exhibit A) to allow Lessee to develop, construct, own, operate and maintain a solar photovoltaicenergy and storage facility (the “Facility” and as further defined at Exhibit A). Lessee requires access to certainproperty owned or leased by Lessor as identified in Exhibit A; and Lessor agrees to lease a portion of land (the“Premises”) described herein and within the substance of Exhibit A to Lessee on the terms and conditionshereinafter set forth within the substance of this Lease.

A.2. Facility Development, Construction, Ownership, Operation and Maintenance Lessor hereby consents to thedevelopment, construction, ownership, operation and maintenance of the Facility and any component thereof byLessee, its Affiliates and any employees, agents, representatives, subcontractors or other designees of any of theforegoing and any local electric utility personnel, on the Premises, including solar panels, mounting substrates orsupports, wiring and connections, energy storage devices, power inverters, service equipment, meteringequipment, utility interconnections and any other equipment or facilities related thereto (the “Permitted Uses”).

A.3. Rent During the term of this Lease, Lessee shall pay Lessor rent on a per acre, per year basis as compensationin full for the rights with respect to the Premises, and such other rights, as set forth in this Lease. Lessee shall payRent to Lessor according to the following schedule:

A.3.1. Annual Operating Rent The Annual Operating Rent for the full 25 year period shall be paid monthlyassuming an amount equal to $1,200 per acre, per year (the “Initial Annual Operating Rent”) escalating at arate of 1.5% per year. The final acres of the facility shall be defined and attached hereto in Exhibit B uponreceipt of all related approvals. The rent will be paid in twelve equal monthly installments on the 15th of eachmonth during the term. Such amount represents the full financial lease obligation from the Lessee to Lessor.Any rent payments more than ten (10) days in arrears shall bear interest at the rate of eight percent (8%) perannum, and in addition, Lessee shall pay a late fee to Lessor of one-hundred ($100.00) dollars with respectto each late payment.

A.3.1.1. Operating Rent Commencement Date: Shall be the full month during which the Facilitybegins to generate electric power for delivery to the distribution grid.

A.3.2. Construction and Decommissioning Rent Construction and Decommissioning Rent shall be amonthly payment equal to 1/12th the Annual Operating Rent, with the first payment due on the ConstructionRent Commencement Date. In the event the Construction Rent Date is not achieved no rent shall be payablein accordance with this Lease.

A.3.2.1. Construction Rent Commencement Date Construction will be deemed started in the eventany material alterations are made to the property or the housing of any construction equipment.

A.3.2.2. Decommissioning Rent Termination Date The date on which the restoration of the premisesare returned to the same condition (excepting reasonable wear and tear due to natural occurrences) asthe premises were at the date of the commencement of the lease are deemed complete.

A.3.3. Lessor Prepayment Option Prior to the commencement of the Annual Operating Rent Period, Lessorhas the option, but not the obligation, to receive the first years Annual Operating Rent payment plus 50% ofnext 10 years of Annual Operating Rent payments in one upfront payment. For the avoidance of doubt if theAnnual Operating Rent payments are $20,400 (17 acres x $1,200), then Lessor would be entitled to receive$20,400 (first Annual Operating Rent Payment) plus $147,454 (50% of next ten years’ payments) for a totalpayment of $167,854 in lieu of receiving the first eleven years payments on an annual basis. After theeleventh year, lease payments will be made in accordance with the remaining Annual Operating Rentschedule.


A.4. Term The term of this Lease (the “Term”) shall commence on the Effective Date of this Lease and the Effective Date shall be the date this Lease is signed by both Lessor and Lessee. The termination of this Lease shall be the twenty-fifth (25th) anniversary of the Operating Rent Commencement Date and, upon mutual agreement of the Parties, shall automatically extend for up to two (2) consecutive periods of five (5) years each, unless earlier terminated in accordance herein.

A.5. Lessor Right to Terminate If, within three (3) years from the Effective Date, Lessee fails to start Installation Work, or becomes inactive in pursuing related permits or interconnection agreements related to the Facility, Lessor may terminate this Agreement by delivering notice to Lessee of its intention to terminate this Agreement, and the Agreement shall terminate twenty-one (21) days after Lessee’s receipt of such notice. However, if Lessee is active in pursuing related permits or interconnection agreements, then Lessee shall have the right to buy up to two (2) additional years to start construction (the Extended Period) at a rate equal to 10% of the first years rent payment. Such amount is payable in monthly installments during the Extended Period. In the event of termination, in accordance with Section H, neither Party shall have any further liability to the other, provided that: (i) Lessee, at its expense, shall remove any equipment or materials which Lessee has placed on the Premises; (ii) Lessee, at its expense, shall restore any portions of the Premises disturbed by Lessee to their pre-existing condition pursuant to Section A.6 of this Agreement; (iii) the Parties shall not be released from any payment or other obligations arising under this Agreement prior to the delivery of the notice, in accordance with Section K.1.

A.6. Removal of Facility at End of Term Unless Lessor elects to purchase the Facility pursuant to Section A.7, Lessee shall, within one-hundred and eighty (180) days following the end of the Term, and at Lessee’s cost and expense, be required to decommission, deconstruct, dismantle and remove the Facility from the Premises, the completion of which shall consititute the Termination Date. During such decommissioning period, Lessee, its Affiliates and any employees, agents, representatives, contractors, subcontractors and other designees of any of the foregoing and any local electric utility personnel shall continue to have access to the Premises and the Facility as otherwise provided in this Lease. Monthly lease payments will continue until the Decommissioning Rent Termination Date. Prior to the Construction Rent period Lessor and Lessee shall agree to a surety mechanism for the removal of the facility.

A.7. Purchase Option Upon Expiration The Lessor may purchase the Facility upon the expiration of this Agreement, if the Agreement is still in effect on such date, at the Facility's fair market value on an installed and running, or going-concern basis. The Lessee shall notify the Lessor of the right to exercise this purchase option in writing, not less than one hundred twenty (120) days prior to the expiration date. The Lessor shall provide written notice to Lessee of the Lessor’s intent to exercise this purchase option, not less than sixty (60) days prior to the expiration date or ten (10) business days following determination of Fair Market value, whichever is later (or else the option shall automatically expire) (“Exercise Notice at Term Expiration”).

A.8. Access to Premises Lessor shall provide Lessee with access to the Premises as reasonably necessary to allow Lessee to develop, construct, own, operate and maintain the Facility as contemplated herein, including ingress and egress rights to the Premises for Lessee, its Affiliates and any employees, agents, representatives, subcontractors, Lenders, investors, potential Lenders or potential investors, regulators and other designees of any of the foregoing and any local electric utility personnel, and access to the Facility to interconnect the Facility with the local electrical grid. Lessor grants Lessee all ingress and egress rights of way to the premises as necessary for the design, construction, operation and maintenance of the Facility during the Term of the Lease. Lessor shall provide such space on the Premises and access as is reasonably requested by Lessee for laydown, for the temporary storage and staging of tools, materials, parts, supplies and equipment, for rigging and material handling, for the parking of vehicles and temporary trailers and facilities and for erecting an office or other structure, in each case as reasonable necessary or convenient for the development, construction, ownership, operation, and maintenance of the Facility or any portion thereof. Lessor will identify specific areas for storage, staging, and parking use by the Lessee and its Affiliates. Lessor and its authorized representatives shall at all times have access to, and the right to observe, the development, construction, ownership, operation and maintenance of the Facility on the Premises, subject to compliance with Lessee’s safety rules. However, Lessor shall retain the right to identify alternative areas on property it owns or controls to be used by Lessee for the aforementioned purposes in the event the specific location with respect to Lessee’s activities interferes with Lessor’s operation of its own business.


A.9. Facility and Output Ownership Lessor acknowledges and agrees that (i) Lessee or one of its Affiliates is and shall be the exclusive owner and operator of the Facility, (ii) all permits, approvals, interconnection agreements, equipment, warrantees, guarantees, service agreements, facilities and other contracts comprising the Facility shall remain the personal property of Lessee and shall not become fixtures, notwithstanding the manner in which the Facility is or may be mounted on, adhered to or attached to the Premises or structures, buildings and fixtures on the Premises, and (iii) Lessor shall have no right, title or interest in any Facility or any component thereof, notwithstanding that any such Facility may be mounted on, adhered to, or attached to the Premises or structures, buildings and fixtures on the Premises, except as otherwise provided herein. As between Lessor and Lessee, Lessor acknowledges that Lessee or one of its Affiliates is and shall be the exclusive owner of all Energy output of the Facility, of all Environmental Attributes related to the Facility and of any other tax or financial incentives related to the Facility. Without the express written consent of Lessee, Lessor shall not make or publish any public statement or notice suggesting ownership of such Energy output, Environmental Attributes or tax or financial incentives.

A.10. Insurance Lessee’s liability insurance shall be purchased and maintained by the Lessee to protect him from claims for damages because of bodily injury, including death, and from claims for damages, other than to the work itself, to property which may arise out of or result from the Lessee’s operation under this Agreement, whether such operation be by himself or by any or anyone directly or indirectly employed by any of them. The insurance shall name the Lessor as an additional insured and shall be written for not less than $500,000 each person, $1,000,000 each occurrence and $2,000,000 aggregate for bodily injury, and $500,000 each occurrence, $1,000,000 aggregate for property damage, or such amount as required by law, whichever is greater, and shall include contractual liability applicable to the Lessee’s obligations. Lessee shall supply Lessor with an annual certificate of insurance upon renewal. The provisions of this Lease shall not be construed so as to relieve any insurer of its obligation to pay any insurance proceeds in accordance with the terms and conditions of valid and collectible insurance policies. The liability of the Parties hereunder shall not be limited or reduced by insurance.

A.11. Taxes Lessee shall pay any personal and real property taxes, possessory interest taxes, business or license taxes or fees, service payments in lieu of such taxes or fees, annual or periodic license or use fees, excises, assessments, bonds, levies, fees or charges of any kind which are assessed, levied, charged, confirmed, or imposed by any public authority due to Lessee’s occupancy and use of the Premises (or any portion or component thereof). Lessor pays all real and personal property taxes on the Premises excepting only real and personal property taxes charged against the Facility. Any taxes, fees, service payments, excises, assessments, bonds, levies, fees or charges of any kind which are adopted by any public authority after the date hereof shall be paid by the party responsible for creating the expense.

B. REPRESENTATIONS, WARRANTIES AND COVENANTS OF LESSOR

B.1. Power and Authorization Lessor represents and warrants that it has all requisite power and authority to enter into this Lease and to carry out the transactions contemplated hereby, and that it has taken all necessary actions to authorize the execution, delivery and performance of this Lease.

B.2. No Conflict Lessor represents and warrants that the execution, delivery and performance by it of this Lease does not (i) violate (A) its organizational documents, or (B) any Applicable Law, or (ii) require any approval or consent of any other Person, except for such approvals or consents that have been obtained on or before the date hereof or the absence of which could not, individually or in the aggregate, reasonably be expected to have a material adverse effect on its ability to execute, deliver or perform this Lease.

B.3. Binding Obligation Lessor represents and warrants that this Lease has been duly executed and delivered by it and is a legally valid and binding obligation, enforceable against it in accordance with the terms hereof, except as may be limited by bankruptcy, insolvency, reorganization, moratorium or similar laws relating to or limiting creditors’ rights generally or by equitable principles relating to enforceability.

B.4. Lessor’s Title to Premises Lessor represents, warrants and covenants that Lessor has lawful title to (or a valid leasehold interest in) the Premises and that Lessee shall have quiet and peaceful possession of the Premises in accordance with this Lease, free from any claim of any Person of superior title thereto, without hinderance to or interference with or molestation of Lessee’s quiet enjoyment thereof, throughout the Term of this Lease. Lessor shall not sell, lease, assign, mortgage, pledge or otherwise alienate or encumber the Premises unless Lessor shall


have given Lessee at least fifteen (15) days’ prior written notice thereof, which notice shall identify the transferee, the Premises to be so transferred and the proposed date of transfer. Lessor agrees that this Lease shall run with the Premises and survive any such transfer of any of the Premises. In furtherance of the foregoing, Lessor agrees that it shall cause any purchaser, lessee, assignee, mortgagee, pledge or party to whom a lien has been granted to execute and deliver to Lessee a document in form and substance satisfactory to Lessee, pursuant to which such party (i) acknowledges and consents to the Lessee’s rights in the Premises as set forth herein, including an acknowledgement by the transferee that it has no interest in the Facility, the Energy output, the Environmental Attributes or any other tax or financial incentive relating thereto, and shall not gain any interest in any of the foregoing by virtue of the Lessor’s transfer, and (ii) expressly subordinates any lien it may have in and to any of the foregoing to Lessee’s rights and interests hereunder.

B.5. No Interference With and Protection of the Facility. Lessor will not conduct activities on, in, under, over or about the Premises, the Facility or any portion thereof that have a reasonable likelihood of causing damage, impairment or otherwise adversely affecting the Facility. To the extent practicable, Lessor shall permit Lessee to maintain reasonable and appropriate security measures on the Premises to prevent Lessor’s employees, invitees, agents and representatives, any third parties or animals, from having access to the Premises or the Facility, and to prevent any theft, vandalism or other actions that have a reasonable likelihood of causing damage, impairment or otherwise adversely affecting the Facility.

B.6. Insolation Lessor acknowledges and agrees that access to sunlight (“insolation”) is essential to the value to Lessee of the leasehold interest granted hereunder and is a material inducement to Lessee in entering into this Lease. Accordingly, Lessor shall not permit any interference with insolation on and at the Premises or any other real property owned by, leased to or from, or otherwise controlled by Lessor that may reasonably be considered to adversely affect the Facility. In the Event of any obstruction that interferes with insolation is proposed to be erected or installed on property other than the Premises Lessor shall promptly deliver to Lessee copies of any notice relating thereto received by Lessor, and Lessee shall have the right to intervene or to direct Lessor to intervene in any proceeding and to contest the installation or erection of such obstruction. In the event such obstruction is installed, (a) Lessee shall have the right to remove the Facility from the Premises and (b) Lessor shall be liable for damages in accordance with Section H. However, the maintenance of the property upon which the equipment is located including the control of the growth of foliage is the responsibility of the Lessee.

B.7. Hazardous Materials To the best of Lessor’s knowledge, there are no hazardous, toxic or dangerous substances, chemicals, materials or wastes present on, in, under or over the Premises in violation of any Applicable Law or that might otherwise impair Lessee’s ability to utilize the Premises as contemplated by this Lease. Lessor shall not introduce or use any hazardous, toxic or dangerous substances, chemicals, materials or wastes on, in, under or over the Premises in violation of any Applicable Law. If Lessor becomes aware of any hazardous, toxic or dangerous substances, chemicals, materials or wastes present on, in, under or over the Premises, Lessor shall promptly notify Lessee of the type and location of such substances, chemicals, materials or wastes in writing. Lessor agrees to assume full responsibility for and shall protect, indemnify, defend and hold harmless Lessee and its Indemnitees against, any loss, costs, damages, liability or cleanup obligations arising out of (i) any pre-existing conditions caused as a result of Hazardous Materials on, in, under or over the Premises, and (ii) any loss, costs, damages, liability or cleanup obligations arising as a result of actions or inactions on the part of Lessor on or after the date hereof. Notwithstanding the foregoing, the indemnification by Lessor set forth herein shall not apply in instances where the loss, costs, damages, liability or cleanup arises as a result of actions of Lessee or those acting for or on behalf of Lessee.

C. REPRESENTATIONS, WARRANTIES AND COVENANTS OF LESSEE

C.1. Powers; Authorization Lessee represents and warrants that it has all requisite power and authority to enter into this Lease, and to carry out the transactions contemplated hereby, and that it has taken all necessary actions to authorize the execution, delivery and performance of this Lease.

C.2. No Conflict Lessee represents and warrants that the execution, delivery and performance by it of this Lease does not (i) violate (A) its organizational documents, or (B) any Applicable Law, or (ii) require any approval or consent of any other Person, except for such approvals or consents that have been obtained on or before the date


hereof or the absence of which could not, individually or in the aggregate, reasonably be expected to have a material adverse effect on its ability to execute, deliver or perform this Lease.

C.3. Binding Obligation Lessee represents and warrants that this Lease has been duly executed and delivered by it and is a legally valid and binding obligation, enforceable against it in accordance with the terms hereof, except as may be limited by bankruptcy, insolvency, reorganization, moratorium or similar laws relating to or limiting creditors’ rights generally or by equitable principles relating to enforceability.

C.4. Hazardous Materials Lessee shall not introduce or use any hazardous, toxic or dangerous materials on, in, under or over the Premises in violation of any Applicable Law. If Lessee becomes aware of any such hazardous, toxic or dangerous materials on, in, under or over the Premises, Lessee shall promptly notify Lessor of the type and location of such materials in writing. Lessee agrees to assume full responsibility for (and shall protect, indemnify and defend Lessor Indemnitees against) any liability or cleanup obligations for any hazardous, toxic or dangerous materials on, in, under or over the Premises in violation of any Applicable Law that are directly caused by the actions of Lessee or those acting for or on behalf of Lessee.

D. LIABILITY AND INDEMNITY

D.1. Lessee Indemnity Lessee shall defend, indemnify, protect and hold harmless Lessor, and its partners, members, affiliates, agents, directors, shareholders, employees, representatives, successors, assigns, contractors or anyone claiming under Lessor (collectively, including Lessor, the “Lessor Parties”) from and against all claims, demands, liabilities, losses, damages, costs (including, without limitation, reasonable attorneys' fees) and expenses (collectively, “Claims”) suffered or incurred by any of the Lessor Parties as a result of or arising out of: (a) any acts, omissions or negligence of Lessee, its partners, members, affiliates, agents, directors, shareholders, employees, representatives, successors, assigns, contractors or anyone claiming under Lessee (collectively, including Lessee, the “Lessee Parties”) in connection with Lessee Parties’ uses of or operations on the Premises, except to the extent any such Claim is caused by the negligence or willful misconduct of a Lessor Party, or (b) a breach of this Lease by Lessee that remains uncured after any applicable notice and cure period. Notwithstanding the foregoing, the Lessor Parties hereby waive any Claims against the Lessee Parties for damage or injury suffered by the Lessor Parties arising as a result of any audible or electromagnetic noise, electrical interference and radio frequency interference attributable to the Lessee Parties’ operations on the Premises or any other property, provided that nothing herein shall be deemed to release Lessee from its obligation to defend, indemnify, protect and hold harmless the Lessor Parties from third party claims under the first sentence of this Section D.1. The Lessee Parties shall not be liable for losses of rent, business opportunities, profits or any other consequential damages that may result from the conduct of Lessee Parties’ uses of or operations on the Premises.

D.2. Indemnity by Lessor. Lessor shall defend, indemnify, protect and hold harmless the Lessee Parties from and against any and all Claims suffered or incurred by any of the Lessee Parties as a result of or arising out of: (a) any acts, omissions or negligence of any of the Lessor Parties in connection with Lessor Parties’ uses of or operations on the Premises, except to the extent any such Claim is caused by the negligence or willful misconduct of a Lessee Party, or (b) a breach of this Lease by Lessor that remains uncured after any applicable notice and cure period.

D.3. No Consequential Damages. Notwithstanding any provision in this Lease to the contrary, neither Lessee nor Lessor shall be liable to the other for incidental, consequential, special, punitive or indirect damages, including without limitation, loss of use, loss of profits, cost of capital or increased operating costs, arising out of this Lease whether by reason of contract, indemnity, strict liability, negligence, intentional conduct, breach of warranty or from breach of this Lease. The foregoing provision shall not prohibit Lessee or Lessor from seeking and obtaining general contract damages for a breach of this Lease.

E. CASUALTY OR CONDEMNATION, FORCE MAJEURE

E.1. In the event the Premises shall be so damaged or destroyed so as to make the use of the Premises impractical as determined by Lessee, then Lessee may elect to terminate this Lease on not less than twenty (20) days’ prior notice to Lessor, effective as of a date specified in such notice. If Lessee does not elect to terminate this Lease pursuant to the previous sentence, Lessor shall exercise commercially reasonable efforts to repair the damage to the Premises and return the Premises to its condition prior to such damage or destruction; provided, however, that, except as otherwise provided in this Lease (including Section A.10 and D.2), Lessor shall in no event be


required to repair, replace or restore any property of Lessee comprising part of the Facility, which replacement or restoration shall be Lessee’s responsibility. In the event of an award related to eminent domain or condemnation of all or part of the Premises, each Party shall be entitled to take from such an award that portion as allowed by Applicable Law for its respective property interest appropriated as well as any damages suffered thereby.

E.2. To the extent either Party is prevented by Force Majeure from carrying out, in whole or part, its obligations under this Lease and such Party (the “Claiming Party”) gives notice and details of the Force Majeure to the other Party as soon as practicable (and in any event within five (5) Business Days after the Force Majeure first prevents performance by the Claiming Party), then the Claiming Party will be excused from the performance of its obligations under this Lease (other than the obligation to make payments then due, and except as otherwise provided in Section A.10 and D.2). The Claiming Party will use commercially reasonable efforts to eliminate or avoid the Force Majeure and resume performing its obligations hereunder; provided, however, that neither Party is required to settle any strikes, lockouts or similar disputes except on terms acceptable to such Party, in its sole discretion. The non-Claiming Party will not be required to perform or resume performance of its obligations to the Claiming Party corresponding to the obligations of the Claiming Party excused by Force Majeure (other than the obligation to make payments then due, and except as otherwise provided in Section A.10 and D.2).

E.3. Force Majeure If performance of this Lease or of any obligation hereunder is prevented or substantially restricted or interfered with by reason of an event of Force Majeure (defined below), the affected Party, upon giving notice to the other Party, shall be excused from such performance to the extent of and for the duration of such prevention, restriction or interference. The affected Party shall use its reasonable efforts to avoid or remove such causes of nonperformance and shall continue performance as soon as such causes are removed. “Force Majeure” means: fire, earthquake, flood, tornado or other acts of God and natural disasters; strikes or labor disputes; war, civil strife or other violence; any law, order, proclamation, regulation, ordinance, action, demand or requirement of any government agency, or any other act or condition beyond the reasonable control of a Party.

F. ASSIGNMENT

F.1. Lessor Assignment Lessor shall have the right to assign its rights, duties and obligations under this Lease to a third party without the prior written consent of Lessee, so long as such assignment does not adversely impair Lessee’s rights in connection with this Lease.

F.2. Lessee Assignment Lessee shall have the right to assign its rights, duties and obligations under this lease without the prior written consent of Lessor to the following entities: (i) one or more parties providing financing or refinancing in connection with the development, construction, ownership, operation or maintenance of the Facility, or any representative of such parties, and (ii) an affiliated entity or a successor entity in a merger or acquisition transaction. For the avoidance of doubt, changes in control of Lessee shall not be deemed to be assignments of this Lease.

F.3. Lessor Sale In the event Lessor shall decide to sell the Premises, the Lessor hereby grants to Lessee a right of first offer with respect to the sale of the premises. The Lessee’s right of first offer does not apply to a sale and/or transfer of the premises to a family member, or family trust. The terms and conditions on which Lessor is willing to sell shall be conveyed to Lessee in writing. Thereafter, Lessee shall have thirty (30) days within which to accept said terms and conditions in writing. In the event of Lessee’s acceptance of such offer, Lessor shall sell the Premises to Lessee pursuant to the terms and conditions of said offer and Lessee shall have one hundred twenty (120) days to close on the purchase. In the event Lessor does not sell the Premises to a third (3rd) party after first offering it to Tenant, this right of first offer shall continue to exist as to any proposed subsequent sale.

G. COOPERATION WITH FINANCING

G.1. Right to Encumber. Lessee, any successor or assignee of Lessee, or any holder of a sublease or license (each hereinafter sometimes referred to as an “Obligor”) may at any time mortgage, pledge, or encumber to any entity (herein, a “Lender”) all or any portion of the Obligor’s rights and interests under this Lease or such sublease or license, in each case without the consent of Lessor. For purposes of this Lease, each entity which now or hereafter is the recipient or beneficiary of any such mortgage, pledge, or encumbrance and whose lien or encumbrance is now or hereafter recorded in the official records of the County in which the Premises is located, shall be referred to in this Lease as a “Lender”.


G.2. Covenants for Lenders’ Benefit. Lessee and Lessor expressly agree between themselves and for the benefit of any Lenders, that if an Obligor mortgages, pledges, or encumbers any of its rights and interests as provided in Section G.1 above, then notwithstanding any other provision of this Lease to the contrary:

G.2.1.1. Lessor and Lessee will not terminate, suspend, amend or modify, or take any action causing, consenting to, acquiescing in, or accepting the termination, suspension, amendment or modification of this Lease, if such amendment or modification would reduce the rights or remedies of any Lender hereunder or impair or reduce the security for any lien held by such Lender, without such Lender’s consent.

G.2.2. Each Lender shall have the right, at its discretion, to take, or cause to be taken, any action required to be performed under this Lease by the Obligor that is party to such Lender’s mortgage, pledge or encumbrance, and any such action performed by such Lender shall be as effective to prevent or cure a default under this Lease and/or a forfeiture of any of such Obligor’s rights under this Lease as if done by such Obligor itself.

G.2.3. The right of a Lender to receive notices and to cure Obligor’s defaults pursuant to the provisions of this Section G.2 shall be available only to those Lenders which shall have notified Lessor in writing of their name and address, or whose lien is recorded in the official records of the County in which the Premises is located, regardless of whether the specific provision in question expressly so states. No default which requires the giving of notice to Obligor shall be effective unless a like notice is given to all Lenders. If Lessor shall become entitled to terminate this Lease due to an uncured default by Obligor, Lessor will not terminate this Lease unless it has first given written notice of such uncured default and of its intent to terminate this Lease to each Lender and has given each Lender at least thirty (30) days after the expiration of the cure period which this Lease provides to Obligor for curing such default, to cure the default to prevent such termination of this Lease. Furthermore, if within such thirty (30) day period a Lender notifies Lessor that it must foreclose on Obligor’s interest or otherwise take possession of Obligor’s interest under this Lease in order to cure the default, Lessor shall not terminate this Lease and shall permit such Lender a sufficient period of time as may be necessary for such Lender, with the exercise of due diligence, to foreclose or acquire Obligor’s interest under this Lease and to perform or cause to be performed all of the covenants and agreements to be performed and observed by Obligor. In the event a Lender shall elect to exercise its rights hereunder, such Lender shall have no personal liability to Lessor and the sole recourse of the Lessor in seeking enforcement of its obligations under this Lease or any new lease entered into pursuant to Section G2.4 below shall be to such Lender’s interest in this Lease and the Premises. Upon the sale or other transfer by any Lender of its interest in the Lease or Premises, such Lender shall have no further duties or obligations hereunder.

G.2.4. In case of the termination or rejection of this Lease as a result of any default hereunder or the bankruptcy, insolvency or appointment of a receiver in bankruptcy, Lessor shall provide prompt notice thereof to the Lenders. Upon written request of the Lender that is the beneficiary of the first priority security interest in the Lessee’s interest under this Lease, made within forty (40) days after notice to such Lender of such rejection or termination, Lessor shall enter into a new lease agreement with such Lender, or its designee or assignee, within twenty (20) days after the receipt of such request. Such new lease agreement shall be effective as of the date of the termination or rejection of this Lease, upon the same terms, covenants, conditions and agreements as contained in this Lease for the remaining term of the original Lease before giving effect to such termination or rejection. Lessor shall have no rights to terminate such new lease based upon defaults occurring prior to the execution of the new lease. Lessor hereby agrees with and for the benefit of the Lenders that the provisions of this Subsection shall survive termination, rejection or disaffirmation of the Lease, whether by default or as a result of the bankruptcy, insolvency or appointment of a receiver in bankruptcy and shall continue in full force and effect thereafter to the same extent as if this Subsection were a separate and independent instrument. It is the intent of the parties hereto that any such new lease shall have the same priority as this Lease.


G.2.5. There shall be no merger of this Lease, or of the leasehold estate created by this Lease, with the fee estate in the Premises by reason of the fact that this Lease or the leasehold estate or any interest therein may be held, directly or indirectly, by or for the account of any person or persons who shall own the fee estate or any interest therein, and no such merger shall occur unless and until all persons at the time having an interest in the fee estate in the Premises and all persons (including the Lenders) having an interest in the Lease or in the estate of Lessor and Lessee shall join in a written instrument effecting such merger and shall duly record the same.

G.3. Lessor shall, at Lessee’s or a Lender’s request, provide to Lessee and such Lender (i) confirmation that such Lender is a “Lender” for purposes of this Lease, (ii) a consent and estoppels acknowledging the Lender’s mortgage or other lien or encumbrance, confirming the continuing effectiveness of this Lease, identifying any modifications hereto and any breaches or defaults hereunder, and containing such other information and agreements as Lessee or such Lender may reasonable request, and (iii) such other certificates or affidavits as Lessee, such Lender or any title company selected by either Lessee or such Lender may reasonably request. Lessor shall duly execute and return same to Lessee and/or Lender within ten (10) days of Lessee’s or Lender’s request therefor. Should Lessor fail to timely execute and deliver the consent and estoppel, then Lessee and/or Lender may rely on the contents thereof and the consent and estoppel shall be conclusively binding upon Lessor.

H. DEFAULTS AND REMEDIES

H.1. Lessee's Default Each of the following shall be an event of default ("Event of Default") hereunder:

H.1.1. If Lessee shall fail to pay any installment of Construction and Decommissioning Rent, Operating Rent or any other payment due under this Lease, and such failure shall continue for a period of thirty (30) days following Lessor's notice of same to Lessee, provided that such notice from Lessor shall be in lieu of, and not in addition to, any notice of default required by applicable law, Lessee shall be deemed in default subject to the provisions herein; and provided further, with respect to the notice requirement, Lessor shall be obligated to give only two (2) such notices per any twelve (12) month period, with any subsequent payment default to be an Event of Default if such failure to pay shall continue for a period of thirty (30) days from the date such payment is due and lack of notice shall not be a defense of Lessee for such default;

H.1.2. If Lessee or any guarantor or surety of Lessee's obligations hereunder shall (i) make a general assignment for the benefit of creditors; (ii) commence any proceeding for relief, or seeking reorganization, arrangement, adjustment, liquidation, dissolution or composition of it or its debts or seeking appointment of a receiver, trustee, custodian or other similar official for it or for all or of any substantial part of its property; (iii) become the subject of any such proceeding which is not dismissed within sixty (60) days after its filing or entry; or (iv) die or suffer a legal disability (if Lessee, guarantor or surety is an individual) or be dissolved or otherwise fail to maintain its legal existence (if Lessee, guarantor or surety is a corporation, partnership or other entity);

H.1.3. If Lessee shall fail to discharge or bond over any lien placed upon the Premises in violation of this Lease within thirty (30) days after Lessee receives notice that any such lien or encumbrance is filed against the Premises;

H.1.4. if Lessee shall fail to comply with any provision of this Lease, other than those specifically referred to hereinabove and, except as otherwise expressly provided therein, such default shall continue for more than thirty (30) days after Lessor shall have given Lessee written notice of such default, or such longer period if such default cannot be reasonably cured within such thirty (30) day period, provided that Lessee diligently commences the cure within the thirty (30) day period and diligently prosecutes such cure to completion; and

H.1.5. if Lessee shall abandon the Facility for more than ninety (90) days or fail to remove the facility at the end of the Lease Term within 180 days. Due to the nature of the Facility, “abandonment” does not refer to lack of physical presence of personnel on the Premises.

H.2. Upon the occurrence of an Event of Default, defined as aforesaid, then in any such case, notwithstanding any waiver or other indulgence of any prior default, Lessor may terminate this Lease by written notice to Lessee sent at any time thereafter, but before Lessee has cured or removed the cause for such termination. Subject to


customary cure periods for any financing parties that may finance all or a portion of the Facilities, such termination shall take effect on the later of (i) the last day of the month in which Lessee receives the notice, or (ii) twenty-one (21) days after Lessee receives the notice, and shall be without prejudice to any remedy Lessor might otherwise have for any prior breach of covenant.

H.3. Lessor Default Election Upon each occurrence of an Event of Default and so long as such Event of Default shall be continuing, Lessor may at any time thereafter, at its election by written notice to Lessee: (i) terminate this Lease or Lessee's right of possession, but Lessee shall remain liable as hereinafter provided; and/or (ii) pursue any remedies provided for under this Lease or at law or in equity. Upon the termination of this Lease or termination of Lessee's right of possession, it shall be lawful for Lessor, without formal demand or notice of any kind, to re-enter the Premises by summary dispossession proceedings or any other action or proceeding authorized by law and to remove Lessee and all persons and property therefrom.

H.4. Reimbursement of Lessor's Expenses In the case of termination of this Lease or termination of Lessee's right of possession pursuant to this Section H (but excluding termination under Section A.5)), Lessee shall reimburse Lessor for all actual expenses arising out of such termination, including, without limitation, (i) all costs actually incurred in collecting such amounts due from Lessee under this Lease (including reasonable attorneys' fees actually incurred and the costs of litigation and the like but only if Lessor is successful in its litigation), (ii) all customary and necessary expenses incurred by Lessor in attempting to remove the facility in accordance with Section A.5, and (iii) all Lessor's other expenditures necessitated by the termination. The reimbursement from Lessee shall be due and payable within thirty (30) days following written notice from Lessor that an expense has been incurred with documentation substantiating such expenses, without regard to whether the expense was incurred before or after the termination.

H.5. Termination of Right of Possession Even though Lessee has breached this Lease and abandoned the Premises, this Lease shall continue in effect for so long as Lessor does not terminate the Lease (even though it has terminated Lessee's right of possession), and Lessor may enforce all its rights and remedies under this Lease, including the right to recover Rent as it becomes due until the earlier of: i) the experation of the Term; or ii) Lessee has met all conditions as outlined in A.6. Any such payments due Lessor shall be made on the dates that Rent would otherwise come due under this Lease, and Lessee agrees that Lessor may file suit to recover any sums falling due from time to time. Notwithstanding any such termination of possession only, Lessor may at any time thereafter elect in writing to terminate this Lease for such previous breach.

H.6. Claims in Bankruptcy Nothing herein shall limit or prejudice the right of Lessor to prove and obtain in a proceeding for bankruptcy, insolvency, arrangement or reorganization, by reason of the termination, an amount equal to the maximum allowed by the statute of law in effect at the time when, and governing the proceedings in which, the damages are to be provided, whether or not the amount is greater to, equal to, or less than the amount of the loss or damage which Lessor has suffered.

H.7. Lessor's Right to Cure Defaults Lessor may, but shall not be obligated to cure, at any time any default by Lessee under this Lease after the applicable notice and cure period (if any) has expired. In curing such defaults, Lessor may enter upon the Premises and take such action thereon as may be necessary to effect such cure. In the case of an emergency threatening serious and imminent injury to persons or property, Lessor may cure such default without notice. All costs and expenses incurred by Lessor in curing a default, including reasonable attorneys' fees actually incurred, together with interest thereon at a rate equal to the lesser of (a) eight percent (8%) per annum, from the day of payment by Lessor shall be paid by Lessee to Lessor on demand.

H.8. No Waiver Exercise by Lessor of any one or more remedies hereunder granted or otherwise available shall not be deemed to be an acceptance of surrender of the Premises and/or a termination of this Lease by Lessor, whether by agreement or by operation of law, it being understood that such surrender and/or termination can be effected only by the written agreement of Lessor and Lessee. Lessee and Lessor further agree that forbearance or waiver by either party to enforce its rights pursuant to this Lease, or at law or in equity, shall not be a waiver of such party's right to enforce one or more of its rights in connection with any subsequent default. A receipt by Lessor of rent with knowledge of the breach of any covenant hereof shall not be deemed a waiver of such breach, and no waiver by Lessor of any provision of this Lease shall be deemed to have been made unless expressed in writing and signed by Lessor. No payment by Lessee, or acceptance by Lessor, of a lesser amount than shall be


due from Lessee to Lessor shall be treated otherwise than as a payment on account of the earliest installment of any payment due from Lessee under the provisions hereof. The acceptance by Lessor of a check for a lesser amount with an endorsement or statement thereon, or upon any letter accompanying such check, that such lesser amount is payment in full, shall be given no effect, and Lessor may accept such check without prejudice to any other rights or remedies which Lessor may have against Lessee.

H.9. Late Charge; Default Interest If any payment of Base Rent, Additional Rent or any other payment payable hereunder by Lessee to Lessor shall not be paid when due, Lessor may impose, at its election, a late fee of one hundred ($100.00) dollars with respect to each late payment and interest on the overdue amount from the date when the same was payable until the date paid at a rate equal to the lesser of (a) eight percent (8%) per annum. Such late fee and interest shall constitute Additional Rent payable hereunder.

H.10. Lessor Risk of Entry Should Lessor choose to exercise its rights to enter the Premises and interact with the Facility in any way under the terms of this Lease, Lessor expressly represents and warrants that it is doing so at its own risk and indemnifies and holds harmless Lessee from any harm, loss or damage that may occur as a result of such entry.

I. DISPUTE RESOLUTION

I.1. Notice of Dispute/Negotiated Resolution. In the event of any controversy, claim or dispute between the Parties hereto arising out of or related to this Lease, or the breach hereof, that has not been resolved by informal discussions and negotiations, either Party may, by written notice to the other, invoke the formal dispute resolution procedures set forth herein. The written notice invoking these procedures shall set forth in reasonable detail the nature, background and circumstances of the controversy, claim or dispute. During the ten (10) Business Day period following such written notice, the Parties shall meet, confer and negotiate in good faith to resolve the dispute.

I.2. Mediation If the parties are unable to successfully resolve any dispute under this Lease, then in that event the dispute shall be submitted to mediation. The dispute shall be mediated in the following manner: (i) The dispute shall be submitted to the American Arbitration Association for mediation and not arbitration, with each party paying its own mediation costs and attorney’s fees; (ii) A representative of the American Arbitration Association shall select a mediator to mediate the dispute with each Party sharing equally the cost of mediation; (iii) The dispute shall be submitted to the American Arbitration Association for mediation within two (2) weeks of the date when the Parties themselves have been unsuccessful in resolving the dispute; (iv) As in any mediation procedure, the mediation shall not be final and binding as would be the case with an arbitration proceeding, and if the mediation is not successful, then either Party shall have all remedies and rights in accordance with the provisions of Illinois Law.

J. NOTICE OF LEASE

J.1. Lessee agrees not to record this Lease without Lessor's consent, but, if the Lease Term is seven (7) years or longer, each party hereto agrees, on the request of the other, to execute a notice of lease in recordable form and complying with applicable law. In no event shall such document set forth the rent or other charges payable by Lessee under this Lease; and any such document shall expressly state that it is executed pursuant to the provisions contained in this Lease, and is not intended to vary the terms and conditions of this Lease. At Lessor's request, promptly upon expiration of or earlier termination of the Lease Term, Lessee shall execute and deliver to Lessor a release of any document recorded in the real property records for the location of the Premises evidencing this Lease. The obligations of Lessee under this Section J.1 shall survive the expiration or any earlier termination of the Lease Term.

K. MISCELLANEOUS

K.1. Notices All notices, requests, statements or payments will be made to the addresses and persons specified below. All notices will be made in writing except where this Lease expressly provides that notice may be made orally. Notices required to be in writing will be delivered by hand delivery, overnight delivery, facsimile, or e-mail (so long as a copy of such e-mail notice is provided immediately thereafter in accordance with the requirements of this Section by hand delivery, overnight delivery, or facsimile). Notice by facsimile will (where confirmation of successful transmission is received) be deemed to have been received on the day on which it was


transmitted (unless transmitted after 5:00 p.m. at the place of receipt or on a day that is not a Business Day, in which case it will be deemed received on the next Business Day). Notice by hand delivery or overnight delivery will be deemed to have been received when delivered. Notice by e-mail will be deemed to have been received when such e-mail is transmitted, so long as a copy of such e-mail notice is delivered immediately thereafter by hand delivery, overnight delivery, or facsimile. When notice is permitted to be provided orally, notice by telephone will be permitted and will be deemed to have been received at the time the call is received. A Party may change its address by providing notice of the same in accordance with the provisions of this Section. Initial addresses for notice shall be as follows:

Lessor: City of Galesburg Attn: City Clerk 55 W Tompkins Street Galesburg, IL 61402 Lessee: Community Power Group LLC 4849 Rugby Avenue, Suite 1000 Bethesda, MD 20814 202-844-6423

K.2. Governing Law/Venue This Lease will be governed by the laws of Illinois without giving effect to principles of conflicts of laws that would require the application of the law of another jurisdiction.

K.3. Entire Agreement; Amendments This Lease constitutes the entire agreement between the Parties, and shall supersede any prior oral or written agreements between the Parties, relating to the subject matter hereof or thereof. Any amendment, modification or change to this Lease will be void unless in writing and signed by both Parties.

K.4. Non-Waiver No failure or delay by either Party in exercising any right, power, privilege, or remedy hereunder will operate as a waiver thereof. Any waiver must be in a writing signed by the Party making such waiver.

K.5. Severability If any part, term, or provision of this Lease is determined by an arbitrator or court of competent jurisdiction to be invalid, illegal, or unenforceable, such determination shall not affect or impair the validity, legality, or enforceability of any other part, term, or provision of this Lease, and shall not render this Lease unenforceable or invalid as a whole. Rather the part of this Lease that is found invalid or unenforceable will be amended, changed, or interpreted to achieve as nearly as possible the same objectives and economic effect as the original provision, or replaced to the extent possible, with a legal, enforceable, and valid provision that is as similar in tenor to the stricken provision, within the limits of Applicable Law or applicable court decisions, and the remainder of this Lease will remain in full force.

K.6. No Third Party Beneficiaries Nothing in this Lease will provide any benefit to any third party or entitle any third party (other than any Lessor Indemnitee or Lessee Indemnitee) to any claim, cause of action, remedy or right of any kind.

K.7. No Recourse to Affiliates This Lease is solely and exclusively between the Parties, and any obligations created herein on the part of either Party shall be the obligations solely of such Party. No Party shall have recourse to any parent, subsidiary, partner, member, Affiliate, Lender, director, officer or employee of the other Party for performance or non-performance of any obligation hereunder, unless such obligations were assumed in writing, pursuant to Section F.1 and F.2, by the Person against whom recourse is sought.

K.8. Relationships of Parties This Lease shall not be interpreted to create an association, joint venture, or partnership between the Parties nor to impose any partnership obligation or liability upon either Party.

K.9. Counterparts This Lease may be executed in several counterparts, each of which is an original and all of which together constitute one and the same instrument. A signature on a copy of this Lease received by either Party by facsimile is binding upon the other Party as an original. Both Parties agree that a photocopy of such facsimile may also be treated by the Parties as a duplicate original.


K.10. Further Assurances The Parties shall do such further acts, perform such further actions, execute and deliver such further or additional documents and instruments as may be reasonably required or appropriate to consummate, evidence, or confirm the agreements and understandings contained herein and to carry out the intent and purposes of this Lease.

K.11. Construction of Agreement This Lease and any ambiguities or uncertainties contained herein shall be equally and fairly interpreted for the benefit of and against both Parties and shall further be construed and interpreted without reference to the identity of the Party preparing this document, it being expressly understood and agreed that the Parties participated equally in the negotiation and preparation of this Lease or have had equal opportunity to do so. Accordingly, the Parties hereby waive the legal presumption that the language of the contract should be interpreted most strongly against the Party who caused the uncertainty to exist.

K.12. Estoppel Either Party, without charge, at any time and from time to time, within five (5) Business Days after receipt of a written request by the other Party, shall deliver a written instrument, duly executed, certifying to such requesting Party, or any other Person specified by such requesting Party: (i) that this Lease is unmodified and in full force and effect, or if there has been any modification, that the same is in full force and effect as so modified, and identifying any such modification; (ii) whether or not to the knowledge of such Party there are then existing any defenses in favor of such Party against enforcement of any of the terms, covenants and conditions of this Lease and, if so, specifying the same and also whether or not to the knowledge of such Party the other party has observed and performed all of the terms, covenants and conditions on its part to be observed and performed, and if not, specifying the same; (iii) such other information as may be reasonably requested by a Party hereto. Any written instrument given hereunder may be relied upon by the recipient of such instrument, except to the extent the recipient has actual knowledge of facts contrary to the facts contained in the certificate.

K.13. Confidentiality Each Party (the “Receiving Party”) will hold in confidence any information concerning the affairs of the other Party (the “Disclosing Party”) and will not disclose, publish or make use of such information unless (A) the Disclosing Party agrees in writing to the release of such information, (B) the Receiving Party can establish that the information was generally available in the public domain at the time of such disclosure or was developed independently by the Disclosing Party, or (C) such data or information is required by Applicable Law to be disclosed, including but not limited to requests under the Illinois Freedom of Information Act (5 ILCS 140/1 et seq.); provided, however, that such disclosure will be made only to the extent required by Applicable Law and, to the extent permitted by Applicable Law.. Notwithstanding the foregoing, each Party agrees that the other Party may disclose such data and information to its officers, directors, employees, agents, representatives, subcontractors, Lenders, investors, potential Lenders or potential investors, on a “need to know” basis; provided, however, that such officers, directors, employees, agents, representatives and subcontractors will be advised of the confidentiality provisions hereof.. The obligations of the Parties under this Section will survive for a period of two (2) years from and after the termination of this Lease.

K.14. Subordination Upon the request of Lessor, to execute and deliver all such instruments as may reasonably be requested to subordinate this Lease to any mortgages or deeds of trust securing notes or bonds executed by Lessor and to all advances made thereunder and to the interest thereon and all renewals, replacements and extensions thereof, provided that Lessor first obtains from Lessor's Mortgagee and delivers to Lessee a written agreement that provides substantially that so long as no Event of Default has occurred and is then continuing and so long as Lessee performs its obligations under this Lease, no foreclosure of, deed given in lieu of foreclosure of, or sale under the encumbrance, and no steps or procedures taken under the encumbrance, shall affect Lessee's rights hereunder. Lessor's Mortgagee may at any time subordinate its mortgage or deed of trust to this Lease, without Lessee's consent, by notice in writing to Lessee and thereupon this Lease shall be deemed prior to such mortgage or deed of trust without regard to their respective dates of execution, delivery and recording; and in that event such mortgagee or trustee shall have the same rights with respect to the Lease as though it had been executed and delivered (and notice thereof recorded) prior to the execution and delivery and recording of the mortgage or deed of trust provided Lessor obtains a subordination and non-disturbance agreement from the present mortgagee of record in a form reasonably satisfactory to Lessee.

K.15. Nuisance At all times during the Lease Term and such further time as Lessee occupies the Premises, Lessee agrees not to injure, overload, deface or otherwise harm the Premises; nor commit any nuisance; nor to do or suffer any waste to the Premises; nor permit the emission of any objectionable noise or odor; nor make any use


of the Premises which is improper, or contrary to any Legal Requirement or which will invalidate any insurance policy covering the Premises or any portion thereof, including, without limitation, the handling, storage and disposal of any hazardous material.

K.16. Changes and Alterations Except as otherwise explicitly set forth herein, Lessee shall have no authority, without the express written consent of Lessor, which consent shall not be unreasonably withheld, conditioned or delayed, to alter, remodel, reconstruct, demolish, add to, improve or otherwise change the Premises, except that Lessee shall have such authority, without the consent of Lessor, to make repairs to the Premises and do such things as are appropriate to comply with the obligations imposed on Lessee under other provisions of this Lease and to make "minor alterations" as set forth below.Lessee shall not construct or permit any alterations, installations, additions or improvements including any interior or exterior signs "Alterations") to the Premises or the Building without having first submitted to Lessor plans and specifications for Lessor's approval, which approval shall not be unreasonably withheld or delayed. The restrictions in this provision shall not apply to the equipment owned and operated by Lessee nor the activities associated with the normal construction and operations of a solar facility.

K.17. Quiet Enjoyment Lessor covenants that Lessee on paying the Rent and performing Lessee's obligations under this Lease shall peacefully and quietly have, hold and enjoy the Premises throughout the Lease Term or until it is terminated as in this Lease provided without hindrance by Lessor or by anyone claiming by, through or under Lessor.


IN WITNESS WHEREOF, Lessor and Lessee have caused this Lease to be duly executed, under seal, by persons hereunto duly authorized, as of this ____day of May 2018.

LESSEE:

Community Power Group, LLC/Michael Borkowski/Managing Member

LESSOR:

City of Galesburg


EXHIBIT A

Description of Premises

LYING IN KNOX COUNTY, ILLINOIS, being all or a portion of Parcel #9019100001. The leased Premise is anticipated to host a solar facility as shown on the attached map and discussed in more detail below and which may change in accordance with the final design of a facility that has received all the necessary approvals for the Facility to operate and sell the electric and environmental attributes generated as will be further detailed in Exhibit B upon receipt of all approvals for the final facility design.

This Lease and the Premise includes the exclusive right for solar energy conversion, for the collection, storage and transmission of electric power, and for related and incidental purposes and activities (collectively, “Operations” or “Solar Energy System Operations”), including, without limitation:

a. Conducting studies of solar radiation, solar energy, soils, and other meteorological and geotechnical data;

b. Constructing, reconstructing, erecting, installing, improving, replacing, relocating and removing from time to time, and maintaining, using, monitoring and operating, existing, additional or new (i) individual units or arrays of solar energy collection cells, panels, mirrors, lenses and related facilities necessary to harness sunlight for photovoltaic energy generation, including without limitation, existing and/or future technologies used or useful in connection with the generation of electricity from sunlight, and associated support structure, braces, wiring, plumbing, and related equipment (“Facility”), (ii) electrical transmission and distribution facilities, including without limitation, overhead and underground transmission, distribution or collector lines, circuit breakers, meters, conduit, footings, towers, poles, crossarms, guy lines, anchors, cabling and wires, (iii) overhead and underground control, communications and radio relay systems, (iv) substations, interconnection and/or switching facilities and electric transformers and transformer pads, (v) energy storage facilities, (vi) meteorological towers and solar energy measurement equipment, (vii) control buildings, control


boxes and computer monitoring hardware, (viii) utility installation, (ix) safety protection facilities, (x) maintenance yards, (xi) roads and erosion control facilities, (xii) signs and fences, and (xiii) other improvements, fixtures, facilities, machinery and equipment associated or connected with the generation, conversion, storage, switching, metering, step-up, step-down, transmission, distribution, conducting, wheeling, sale or other use or conveyance of electricity (all of the foregoing, including the Energy, collectively a “Solar Energy System” or “Improvements” or “Project”);

c. An exclusive right for the construction, operation, maintenance, repair, replacement, relocation within the Premises and removal of a Battery Energy Storage System that will store electricity along with related equipment, fixtures, appliances, appurtenances and improvements related thereto (collectively, the “Storage Facility”) on, under, over and across a portion of the Premises;

d. A non-exclusive right for the development, erection, installation, construction, improvement, interconnection, reconstruction, enlargement, removal, relocation, replacement and repowering, and the use, maintenance, repair and operation of, facilities for the storage, collection, distribution, step-up, step-down, wheeling, transmission and sale of electricity and for communications in connection with the Solar Energy System, including the following, at such locations as Lessee shall determine that are developed, constructed and/or operated on the Premises and/or on property to be acquired by leasehold or by fee purchase, by or on behalf of Lessee: underground and/or overhead distribution, collection and transmission lines; underground and/or overhead control, communications and radio relay systems and telecommunications equipment; energy storage facilities; interconnection and/or switching facilities, circuit breakers, transformers; cables, wires, fiber, conduit, footings, foundations, towers, poles, crossarms, guy lines and anchors, and any related or associated improvements, fixtures, facilities, appliances, machinery and equipment to grant access to third parties for transmission access (together with the Storage Facility, collectively, the “Transmission Facilities”).

e. Digging and excavating on the Premises for the purposes of servicing, operating and maintaining the Solar Energy System. Lessee covenants and agrees to obtain any necessary permits required in connection with such wells;

f. Removing, trimming, pruning, topping or otherwise controlling the growth of any tree, shrub, plant or other vegetation; dismantling, demolishing, and removing any improvement, structure, embankment, impediment, berm, wall, fence or other object, on or that intrudes (or upon maturity could intrude) into the Premises that could obstruct, interfere with or impair the Solar Energy System or the use of the Premises intended by Lessee hereunder;

g. A non-exclusive easement for vehicular and pedestrian access, ingress and egress to, from and over the Premises, at such locations as Lessee shall determine, for purposes related to or associated with the Solar Energy System and/or the Transmission Facilities installed or to be installed on the Premises, or for promotional or marketing purposes and a non-exclusive easement on adjacent property or elsewhere; which, without limiting the generality of the foregoing, shall entitle Lessee to use and improve any existing and future roads and access routes (a) from time to time located on or providing access to the Premises, (b) across any other property owned by Lessor and (c) across any access routes over which Lessor has the right to travel;

h. A non-exclusive right to extract soil samples, perform geotechnical tests, and conduct such other tests, studies, inspections and analysis of or on the Premises as Lessee deems necessary, useful or appropriate; and

i. Undertaking any other lawful activities, whether accomplished by Lessee or a third party authorized by Lessee, that Lessee determines are necessary, helpful, appropriate or convenient in connection with, incidental to or to accomplish any of the foregoing purposes.


EXHIBIT B

Final Facility Design and Leased Premise

Detailed description of premise will be added once final facility engineering and all approvals have been received.


EXHIBIT C

SCHEDULE OF DEFINITIONS AND RULES OF INTERPRETATION

1. Definitions. The definitions provided below and elsewhere in this Lease will apply to the defined terms used in this Lease:

“Affiliate” means, with respect to any entity, any other entity that, directly or indirectly, through one or more intermediaries, controls, or is controlled by, or is under common control with, such entity.

“Applicable Law” means, with respect to any governmental authority, any constitutional provision, law, statute, rule, regulation, ordinance, treaty, order, decree, judgment, decision, certificate, holding, injunction, registration, license, franchise, permit, authorization, guideline, governmental approval, consent or requirement of such governmental authority, enforceable at law or in equity, along with the interpretation and administration thereof by any governmental authority.

“Environmental Attributes” means any and all credits, benefits, emissions reductions, offsets, and allowances, howsoever entitled, attributable to the generation from the Facility, and its displacement of conventional energy generation. Environmental Attributes include but are not limited to Renewable Energy Credits, as well as: (a) any avoided emissions of pollutants to the air, soil or water such as sulfur oxides (SOx), nitrogen oxides (NOx), carbon monoxide (CO) and other pollutants; (b) any avoided emissions of carbon dioxide (CO2), methane (CH4) nitrous oxide, hydrofluoro carbons, perfluoro carbons, sulfur hexafluoride and other greenhouse gases (GHGs) that have been determined by the United Nations Intergovernmental Panel on Climate Change, or otherwise by Applicable Law, to contribute to the actual or potential threat of altering the Earth’s climate by trapping heat in the atmosphere; and (c) the reporting rights to these avoided emissions such as Green Tag Reporting Rights. Green Tag Reporting Rights are the right of a Green Tag Purchaser to report the ownership of accumulated Green Tags in compliance with Applicable Law, and to a federal or state agency or any other Person at the Green Tag Purchaser’s discretion, and include without limitation those Green Tag Reporting Rights accruing under Section 1605(b) of The Energy Policy Act of 1992 and any present or future Applicable Law, and international or foreign emissions trading program. Green Tags are accumulated on MWh basis and one Green Tag represents the Environmental Attributes associated with one (1) MWh of energy.

“Person” means an individual, general or limited partnership, corporation, municipal corporation, business trust, joint stock company, trust, unincorporated association, joint venture, governmental authority, limited liability company, or any other entity of whatever nature.

2. Rules of Interpretation. In this Lease, unless expressly provided otherwise:

(a) the words “herein,” “hereunder” and “hereof” refer to the provisions of this Lease and a reference to a recital, Section, subsection or paragraph of this Lease or any other agreement is a reference to a recital, Section, subsection or paragraph of this Lease or other agreement in which it is used unless otherwise stated;

(b) references to this Lease, or any other agreement or instrument, includes any schedule, exhibit, annex or other attachment hereto or thereto;

(c) a reference to a paragraph also refers to the subsection in which it is contained, and a reference to a subsection refers to the Section in which it is contained;

(d) a reference to this Lease, any other agreement or an instrument or any provision of any of them includes any amendment, variation, restatement or replacement of this Lease or such other agreement, instrument or provision, as the case may be;

(e) a reference to a statute or other law or a provision of any of them includes all regulations, rules, subordinate legislation and other instruments issued or promulgated thereunder as in effect from time to time and all consolidations, amendments, re-enactments, extensions or replacements of such statute, law or provision;


(f) the singular includes the plural and vice versa;

(g) a reference to a Person includes a reference to the Person’s executors and administrators (in the case of a natural person) and successors, substitutes (including Persons taking by novation) and permitted assigns;

(h) words of any gender shall include the corresponding words of the other gender;

(i) “including” means “including, but not limited to,” and other forms of the verb “to include” are to be interpreted similarly;

(j) references to “or” shall be deemed to be disjunctive but not necessarily exclusive, (i.e., unless the context dictates otherwise, “or” shall be interpreted to mean “and/or” rather than “either/or”);

(k) where a period of time is specified to run from or after a given day or the day of an act or event, it is to be calculated exclusive of such day; and where a period of time is specified as commencing on a given day or the day of an act or event, it is to be calculated inclusive of such day;

(l) a reference to a Business Day is a reference to a period of time commencing at 9:00 a.m. local time on a Business Day and ending at 5:00 p.m. local time on the same Business Day;

(m) if the time for performing an obligation under this Lease expires on a day that is not a Business Day, the time shall be extended until that time on the next Business Day;

(n) a reference to (i) a month is a reference to a calendar month and (ii) a year is a reference to a calendar year;

(o) where a word or phrase is specifically defined, other grammatical forms of such word or phrase have corresponding meanings;

(p) a reference to time is a reference to the time in effect in Washington, DC on the relevant date; and if a payment prescribed under this Lease to be made by a Party on or by a given Business Day is made after 5:00 pm on such Business Day, it is taken to be made on the following Business


SOLAR FACILITY SITE LEASE AGREEMENT

This Solar Facilities Site Lease Agreement (the “Lease” or “Agreement”), dated as of this ___day of May 2018 (the “Effective Date”), is entered into by and between Community Power Group, LLC, a Delaware limited liability company (“Lessee”), and City of Galesburg, an Illinois home rule municipal corporation (“Lessor”). Each of Lessee and Lessor is referred to herein as a “Party” and collectively they are referred to as the “Parties”.

A. GENERAL TERMS

A.1. Purpose of the Lease The purpose of this Lease is to lease land (as further defined herein and more fullydescribed in Exhibit A) to allow Lessee to develop, construct, own, operate and maintain a solar photovoltaicenergy and storage facility (the “Facility” and as further defined at Exhibit A). Lessee requires access to certainproperty owned or leased by Lessor as identified in Exhibit A; and Lessor agrees to lease a portion of land (the“Premises”) described herein and within the substance of Exhibit A to Lessee on the terms and conditionshereinafter set forth within the substance of this Lease.

A.2. Facility Development, Construction, Ownership, Operation and Maintenance Lessor hereby consents to thedevelopment, construction, ownership, operation and maintenance of the Facility and any component thereof byLessee, its Affiliates and any employees, agents, representatives, subcontractors or other designees of any of theforegoing and any local electric utility personnel, on the Premises, including solar panels, mounting substrates orsupports, wiring and connections, energy storage devices, power inverters, service equipment, meteringequipment, utility interconnections and any other equipment or facilities related thereto (the “Permitted Uses”).

A.3. Rent During the term of this Lease, Lessee shall pay Lessor rent on a per acre, per year basis as compensationin full for the rights with respect to the Premises, and such other rights, as set forth in this Lease. Lessee shall payRent to Lessor according to the following schedule:

A.3.1. Annual Operating Rent The Annual Operating Rent for the full 25 year period shall be paid monthlyassuming an amount equal to $1,200 per acre, per year (the “Initial Annual Operating Rent”) escalating at arate of 1.5% per year. The final acres of the facility shall be defined and attached hereto in Exhibit B uponreceipt of all related approvals. The rent will be paid in twelve equal monthly installments on the 15th of eachmonth during the term. Such amount represents the full financial lease obligation from the Lessee to Lessor.Any rent payments more than ten (10) days in arrears shall bear interest at the rate of eight percent (8%) perannum, and in addition, Lessee shall pay a late fee to Lessor of one-hundred ($100.00) dollars with respectto each late payment.

A.3.1.1. Operating Rent Commencement Date: Shall be the full month during which the Facilitybegins to generate electric power for delivery to the distribution grid.

A.3.2. Construction and Decommissioning Rent Construction and Decommissioning Rent shall be amonthly payment equal to 1/12th the Annual Operating Rent, with the first payment due on the ConstructionRent Commencement Date. In the event the Construction Rent Date is not achieved no rent shall be payablein accordance with this Lease.

A.3.2.1. Construction Rent Commencement Date Construction will be deemed started in the eventany material alterations are made to the property or the housing of any construction equipment.

A.3.2.2. Decommissioning Rent Termination Date The date on which the restoration of the premisesare returned to the same condition (excepting reasonable wear and tear due to natural occurrences) asthe premises were at the date of the commencement of the lease are deemed complete.

A.3.3. Lessor Prepayment Option Prior to the commencement of the Annual Operating Rent Period, Lessorhas the option, but not the obligation, to receive the first years Annual Operating Rent payment plus 50% ofnext 10 years of Annual Operating Rent payments in one upfront payment. For the avoidance of doubt if theAnnual Operating Rent payments are $20,400 (17 acres x $1,200), then Lessor would be entitled to receive$20,400 (first Annual Operating Rent Payment) plus $147,454 (50% of next ten years’ payments) for a totalpayment of $167,854 in lieu of receiving the first eleven years payments on an annual basis. After theeleventh year, lease payments will be made in accordance with the remaining Annual Operating Rentschedule.