Wednesday, January 29, 2014

VILLAGE GOING $4.8 MILLION MORE IN DEBT



By Joseph Wiszowaty
SAUK VILLAGE |  The Village will soon be getting a $4.8 million loan from the State of Illinois to install air strippers to treat the contaminated drinking water.

Well # 3 on the village’s north side of town adjacent to the YRC (Roadway) property has been shut down since 2009 when a known carcinogen vinyl chloride was detected in the village’s drinking water at well #3.  This prompted action by the Illinois Environmental Protection Agency and litigation brought by Illinois Attorney General Lisa Madigan’s office to force the village to take action to clean up the drinking water and get well #3 back up and running or connect to another source.

Mayor David Hanks announced during his report Tuesday night that the village “signed all the paperwork Friday” for a loan of $4.868,900 in the form of a loan from the State of Illinois at a fixed rate of 1.9%.  The Village will proceed with the contract which has already been awarded for $4.1 million within 60 days according to Village Engineer Jim Czarnik of Robinson Engineering.  

Village Trustee Lynda Washington, who was once an advocate for Lake Michigan water,  was so excited about the $4.1 million dollar loan she began clapping stating “when I borrow money from people I want what I want right there” prompting Trustee Derrick Burgess to remind Washington “you’ve got to pay the money back though” eliciting some chuckles. 

After well #3 is complete the village will complete the installation of the permanent air stripping towers and new iron removal system for wells #1 and #2 at the location on Sauk Trail according to Czarnik.

In other business the residents learned there has been more money moving around village hall after Burgess questioned Hanks on the matter.  Residents discovered that Hanks authorized borrowing  borrowed an additional $140,000-$150,000 from either the “water fund or other funds” so that the Village could make payroll according to Hanks.  There was no action by the Village Board on the transferring and borrowing of the funds and Hanks was not clear on the exact amount or which funds these were borrowed.   According to Hanks the Village will repay these funds in addition to the $449,000 previously borrowed when tax revenues come in sometime in March.

Burgess also advised the Village Board that he had spoken with United State Senator Dick Durbin during his visit that the Village needed some financial assistance with the water situation.  Burgess reminded Durbin that former Congressman Jesse Jackson obtained federal funds funds for neighboring Ford Heights to obtain Lake Michigan water and they were not facing a contamination threat to their drinking water.  Durbin remained noncommittal according to Burgess but was well aware of the Village’s water plight because of news media reports.

EDITORIAL NOTE:  This would be the village’s largest water improvement project since 1988 when the Village installed the Iron Removal System and issued bonds for a total of $1.2 million (about $2.3 million in today's dollars when adjusted for inflation) following a referendum which passed November 4,  1986, by  1010 yes to 470 no.

In March, 2012 the residents of Sauk Village went to the polls and voted to abandon the 55 year old wells in favor of bringing Lake Michigan Water to the Village by 740 yes and 670 no.  In fact 1410 voters came out to the polls that day, only 50 more voted in the 2013 mayoral race in Sauk Village.

The residents of Sauk Village did not approve any referendum on Hanks’ water improvement plan and whether it should have included a upgrade to the iron removal system.  The plan was presented to Attorney General Lisa Madigan’s office who agreed with it but stated that the Village needs to find a long-term alternative to their well water in the Consent Decree.

According to Robinson Engineering’s leak detection study,  the water loss has decreased from nearly 50% to some 20% according to Czarnik during a previous village board meeting.

Some residents have privately filed a class action lawsuit against YRC(Roadway) for contaminating the Village’s water supply.  A similar lawsuit filed against the Village of Sauk Village was dismissed in 2013.


Original material copyright 2014 Sauk Villager News; all rights reserved.

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