Now I’ve gotten three pieces of political mail.

The only contests in my part of Lakewood and Crystal Lake are for President and McHenry County Board.

I received

• an introduction-fund raising pitch from our Congressman-to-be Peter Roskam,
• a piece from the Romney delegates (which featured State Treasurer Dan Rutherford prominently),
• a post card from County Board candidate Tom Wilbeck and, on the very same day,
• a letter from Lakewood’s Village President Erin Smith endorsing Ken Koehler.

In Smith’s letter, she says she has “worked closely with Koehler on a variety of issues that affect our quality of life in Lakewood.”

There are no specifics, but there could be, considering the cooperation at the County Board level in the granting of bonding authority to the developers of the McHenry County Sports Complex.

Interestingly, Smith refers to Koehler’s “detractors,” saying “his record of achievement over time has earned him widespread support across the collar county area.”

A copy of Koehler’s palm card, which you can see here, was enclosed.

Thought it was time to check up on the progress of the McHenry County SportsPlex planned for Lakewood.

So, I called chief honcho Lou Tenore.

He told me his group is no long seeking government money or financing from the EB-5 “buy a visa” (my words, not his) program.

Nevertheless foreign investors are being courted.

Tenore told me that a firm the developers have engaged to raise money is “actively working on it.”

The end of July the Lakewood Village Board voted 4-3 to extend its deal with the SportsPlex for six months.

Lakewood Village President Erin Smith sent out the following letter to her constituents in the fall village newsletter.

FROM THE PRESIDENT

As we bid a fond farewell to summer, it’s appropriate to review what was accomplished during the past three (3) months and what we can look forward to in the coming months.

As is typical in the Midwest, summer was filled with construction projects and other work on infrastructure.

Notable among these were

• the construction of bicycle lanes along Huntley Road, from West Beach to Chicago Avenue,
• the repaving of RedTail Drive and Loch Glen Drive,
• the construction of our new water tower on Turnberry Trail and
• work on the East Side Storm Sewer.

Huntley Road Bike Path

This project has been a long standing priority of our Comprehensive Plan and Parks and Recreation Committee. Given its cost, we were able to proceed with the project because staff secured a federal grant that paid for eighty percent (80%) of the construction. It has been a difficult and lengthy process for the residents impacted by the construction, and we give our sincere thanks and appreciation for their patience throughout this process.

RedTail and Loch Glen Drive

Both residents and golfers are pleased to experience the repaving of RedTail Drive. This portion of our roadway program was paid for with a $200,000 grant secured for the Village of Lakewood by State Representative Michael Tryon, and we thank him for his efforts on our behalf. With revenues from our General Fund, we were also able to repave Loch Glen Drive and make several roadway repairs throughout the community. We receive a lot of complaints about the gravel that is “kicked up” at busy intersections, and it is a maintenance problem for our residents and Public Works crew. Therefore, we took advantage of this year’s roadway program to install cobblestone returns at the intersection of RedTail Drive/Loch Glen Drive/Bardwell Lane. Please take a look and let us know what you think as we contemplate whether to continue this program at other key intersections.

Water Tower

We have also nearly completed the construction of our new water tower on Turnberry Trail, and it is expected to go online shortly, at which time the old water tower will be removed. In terms of branding our community, a strategic decision was made by the Board of Trustees to position the writing so that it is visible as you approach the Village of Lakewood from the north and south. The lettering is most visible from Turnberry and RedTail golf courses, where visitors will see that they are in the Village of Lakewood.

East Side Storm Water

In our ongoing efforts to address the issue of storm water on the East Side of the Village, our Public Works Department recently completed a project to clean and televise one-half of the Broadway storm sewer outfall pipe. This project was completed at a cost of approximately $17,150 and verified our concern that substantial repair and replacement of the storm sewer will be needed. We will include revenues in the budget for the next fiscal year that will allow us to complete the second half of the cleaning/televising project in order to assess the full extent of the work needed and begin to develop a plan for funding the repairs.

Other Summer News

In addition to our infrastructure improvements, we had another safe recreational season on Crystal Lake, and we extend our thanks to the Police Department for its consistently strong enforcement in this area. I am also very pleased to report that RedTail Golf Course has had a strong year to date. Revenues are greater than last year, and the volunteer program that was instituted for starters and rangers has helped to decrease expenditures. The golf season is not yet over, so take advantage of some great fall rates to help insure that RedTail Golf Course has a great year!

Economic Development Update

Looking forward, we continue to place economic development as our number one priority. Toward this end, we have hired Dobbe Marketing & PR to help our community develop a strong and consistent message to attract businesses. A Focus Group was held with local businesses and residents in July, and the results of that meeting will be shared with the Board of Trustees at the meeting on September 13. Primary topics will include:

How to best take advantage of the contacts of our residents to attract the types of businesses identified as priorities. You are our best resource!

How to partner with the developer of Lakewood Commons to fill the center, including the remaining vacant parcel.

Whether the current site of Village Hall can or should have an alternative use, such as a restaurant.

Whether it is viable to develop a town center and, if so, where?

I encourage you to participate in these discussions and provide your feedback to any of our elected officials.

Also in July, the Board approved a 6-month extension of the preliminary agreement with the developer of the sports complex. Financing has not yet been secured, but some indication of progress was presented.

Our Board was split on the decision to extend the agreement.

I voted to extend the agreement because other surrounding communities have automatically extended existing agreements to support businesses in this difficult economy and I believe we need to show an equal level of support.

Input from our Focus Group, which reinforced that the sports complex is consistent with our vision, also influenced my vote.

Through the first three months of our current fiscal year, I am also pleased to report that our sales tax revenues have increased by nearly $6,400 over this same time period last year. This increase is most directly attributable to the four (4) new businesses that were annexed last summer, and we believe that we will continue to experience increased growth in revenues from these businesses.

In fact, The Gardens of Woodstock recently become a member of the McHenry County Convention and Visitors Bureau, and motor coach tours are already making regular stops for lunch and shopping. As we seek new businesses, our most effective testimonials are our existing businesses, and it benefits all of us to support them.

New Entryway Signs

In the upcoming months, you will also see three (3) new entryway signs installed as one of the recommendations from the Parks and Recreation Committee, which is interested in establishing a Garden Club to help landscape these and other public areas in the community.

We are also exploring the possibility of working with neighboring communities to bid for the purchase of electricity for our residents. Harvard and Fox River Grove recently completed this process and had great success with overall savings for their residents of between ten (10) to fifteen (15) percent on the electric bills.

Such a process requires the passage of a referendum by our residents, and we have set a tentative goal of placing such a referendum on the March 2012 ballot. Any resident who did not want to participate in the program could simply “opt out” and continue to purchase their electricity from Commonwealth Edison. Again, we would be interested in hearing your thoughts about the program. Our goal would simply be to save our residents money in these difficult economic times.

In addition to soliciting your input on a number of issues, I am always available for a Pizza with the President and welcome your invitation.

Sincerely,

Erin

Continued from yesterday.

The 2nd meeting in July was the fun one. It made the local papers for a few days.

The Sportsplex as it is referred to by me.

While there was nothing to “redo” about the original plans the developer wanted us to extend the annexation and development incentive agreements for an additional 6 months so they could secure funding to get this megalith off the ground. Megalith is the wrong word to use but I have always wanted to use it in a sentence.

The “chaps” as I will call them, explained to the board and the audience about the stagnant economy, unsold bonds and enormous hurdles that have been up against.

But they had a new plan to secure financing. They have been working on securing financing through several options.

They have been working with another bonding company, who I shall not name here  [identity here], who had investors that were potentially interested in the project.

Each of us on the board had the opportunity (as well as the audience) to ask questions.

My only question to them that night was basically

“Where is the money?”

If everyone on their “team” was sure this project was going to be successful then why did they come to the village with an empty checkbook?

Surely someone had some money to invest?

Let me set the record straight though; yes, in the beginning I voted for the Sportsplex.

I wanted to give them every tool possible to make this thing work.

I thought they were going too big, but figured they could downsize or do things in phases.

Yes, they would have had to make special trips to our village and come before the board for those changes, but hey they could have stopped for dinner at Lou’s and then gotten their dogs washed.

Since they came to me (and the others sitting next to me) with no money, no contracts, no investors I had no choice to vote NO.

Well, as you read, it passed anyway.

Oh, by the way, Trustee’s Iden and Sexson are not my henchmen.

Jeff makes straps for holding things and Gary is an orthodontist. I think Gary buys the straps for the dental chairs from Jeff, but that is just a rumor I started.

There is a difference in each of us!

I would love to see SOMETHING happen at that intersection that says “Lakewood” in the future; maybe tomorrow.

The room cleared out quickly after the 4-3 vote in favor of the extension, so not too many people stuck around for the exciting report on the spillway repairs.

There was talk of allocating some additional funds to install preventive wall structures but it was deemed not necessary at this point in the project.

We wrapped up the meeting and headed for the hills.

Ken Santowwki

More tomorrow.

My fellow residents:

Sorry I have been away so long. Tom Hanks asked me to go for a plane ride and we all know what happened next. Can you say “Wilson”? Since I have not spoken to you for the last 3 board meetings (the gag order has been lifted) (just kidding) I hope to give you enough information to keep you informed but not bore you.

The first meeting in July was more on discussions than actions. The 1st Lakewood Market festival seemed to be going in the right direction with the committee asking for a small amount of money (up to $3,000) to use for “necessities”. We as a board encouraged them to spend the money wisely and hopefully enough businesses will attend so we can lower that amount significantly. More to come on the 1st Lakewood Market Festival later.

We also discussed the covenants regarding Redtail and the likeliness of building a clubhouse there anytime soon.

As everyone knows I want to grab a shovel, some bricks and a 2×4 and start building it now.

The consensus of the board seemed otherwise. So I went to the tribunal council and asked for immunity.

All I got was some potential remodeling of the current structures over the off season and wait for a clubhouse until a “later date in time” when the economy was better.

I tried to remind them that the water tower, bike path and road construction program all were built with considerable cost savings because construction people were hungry. (In fact I recently gave a carpenter a sandwich)

Why not see what we can get for our money?

Just once I would like to spend some money on something that will “actually” give us a return on our investment.

We had update reports on the storm damage and power outage problems.

While most people wanted to know why it took so long; many understood that this was an enormous undertaking that ComED has never seen before.

Makes us thankful for all the times we do have electricity.

We then voted to go into executive session to talk about ………… almost got me, eh?

Ken Santowski

Continued tomorrow.

Lakewood Village President Erin Smith had to cast a tie-breaking vote for ordinances giving McHenry County SportsPlex developers an additional six-months to meet their end of the deal struck with Lakewood.

A year ago the vote was unanimous.

In the meantime, village elections turned out an appointed trustee who supported the decision and replaced her with businessman Jeff Iden.

He and another new trustee, Gary Sexton, who ran unopposed, were joined by re-elected Ken Santowski in voting “No.”

After three Smith loyalists, John Burton, Carl Davis (by phone) and Gene Furey voted “Yes,” Smith, who had previously expressed her continuing support for the project, broke the tie.

Smith introduced the agenda item by telling the audience that the only issue was whether an extension should be approved. She said that other questions about the deal approved a year ago (without pre-meeting details of the deal being made public) could not be re-opened unless the SportsPlex developers changed their end of the deal.

Nearby residents outside Lakewood’s village limits had questions to ask and statements to make.

The questions generally were not answered and Smith cautioned that derogatory remarks might be better left unsaid.

“You need to be very careful about your comments,” were Smith’s exact words.

Initially only twenty minutes were allowed for public input, but Smith allowed four speakers after that deadline passed.

More Lakewood residents spoke up than at the original meeting. My guess is that the Sunday front page coverage by the Northwest Herald was the stimulus.

Tom Carroll of Richmond Lane reported that this was his first meeting in thirty years of living in Lakewood. He wondered how the project was “in keeping with our community view,” as the village web site proclaimed.

“Where did you get the idea that anyone wants a sports complex?” he asked.

Smith replied that the proposed development was consistent with “our comprehensive plan.”

“I don’t think the community supports this sports complex. I may be a year late, but I hope you’ll take (my views into consideration).

A resident living on Broadway weighed in with a negative comment.

Kathy Barton of Meridian Street offered her opinion:

“I don’t think you should extend this.”

“When are you going to run for office next?” asked Lake Avenue resident John O’Brien.

Three of those casting the “Yes” votes, including Village President Smith and Trustees John Burton and Gene Fuery are up for election in 2013.

SportsPlex opponents passed out court papers documenting financial problems reported in the First Electric Newspaper the morning of the board meeting.

Unincorporated SportsPlex neighbor Al Stenstrom presented an unredacted copy of a project feasibility study provided by the Upper Illinois River Development Authority after being told to do so by the Public Access Counselor of the Illinois Attorney General.

He suggested that the board had never looked at it–the McHenry County Board (didn’t look at it either).

Fellow unincorporated neighbor Larry Larsen pointed out that the SportsPlex would “pay only $350 per year in taxes for the first five years while Lakewood will be kicking in $5 million.”

“I was dumbfounded at the amateurish (nature of the feasibility study),” former Ameritech Director of Long-Range Planning Joseph Daleiden started his critique.

Among other complaints were inadequate marketing data, incorrect census data, comparisons with other sports complexes with profit and loss data showed all were losing money, the 750,000 estimate of visitors for soccer was way too high, plus errors or simple addition.

He suggested government officials “be very, very suspicious” of developers trying to gain public subsidies.

“Are people behind risking their own money?” Deleiden said was a relevant question. Would they share in the profits and taken management fees?

Finally, “If banks don’t want any part of it…”

Jack Porter, who drew up the conceptual plans took the floor after the public comment period.

“I can’t offer you any guarantees that we can get this done. We’re looking at private equity opportunities. Right now, we can’t really disclose what we are doing. We do need more time.”

Trustee Sexson, newly-elected, asked what proportion of the $12 million in upfront money needed had been gathered–”half three-fourths, ten percent?”

Developer Len Tenore mentioned potential investors in Romania and Taiwan.

“We’ve got $35 million from a bond house,” which he said we “can’t reveal.”

Trustee Ken Santowski remembered he had “sat here a year ago and struggled with this.”

Reiterating the “tax free bonds, then taxable bonds, then private funds, then equity…We as a board have supported you guys blindly for 362 days.”

Santowski referred to the results obtained by the Algonquin Village Board on “Tyvek Towers” when the village “slapped their (the owner’s) head. They were laying bricks the next day.”

Smith asked Tenore for other progress that had been made.

“Number one, there’s not a lot of development going on, period.

“Everyone is reluctant to be first in line.

“The first half has to buy the land and do the engineering.

“We’ve been let down by the EB-5 program.

“After that we decided to look for outside investors.

“We had a lot of people give us verbals. Some more than that,” Tenore said.

“Do you come to us with an empty check book?” Santowski asked.

“There has been investment made of approximately $1/2 million,” Tenore replied.

“I have a hard time thinking a bond firm would (fund this),” Trustee Sexton said.

Tenore revealed that the feasibility study being discussed was one from 2008, which had been superseded by one by CH Johnson.

He also revealed that the original bond firm of Stern Brothers was no long involved. William Blair was identified.

‘I’m for extending this,” Trustee Furey said. “The bond market is going to dictate whether this goes ahead or not. Six months is not a long time. (Then) the Village Board will look hard at it.

“It’s a tough economy,” Trustee Sexton observed. “I don’t know if six months is going to turn the ship around. I don’t know if I want to set you guys up for failure.”

He suggested renegotiating the deal, that the project might have to be done in stages.

“We were very generous.”

Trustee John Burton asked Tenore if there were any changes.

“Trustee Sexton is correct. We have to do it in stages,” he said. “The back portion” would be done later.

Burton described the development as “unique. I think it could draw a very valuable group of people the the village..

“I would fully support bringing sewer and water to that intersection.”

He also noted that extensions were being granted in neighboring communities.

“I support reducing the tax burden to the community with sales tax (revenue from the project),” Burton added.

Via phone, Trustee Davis asked if “different investors” were being approached.

Tenore replied that foreign investors were being followed up.

“I think it is clear to me that the developer has at least some hope of getting financing. in light of the current and possibility of new investors, I think we should allow a six-month delay.

“This is the least worst situation.”

He praised the “wholesome recreation and exercise.”

Prior to the vote, President Smith gave her reasons for supporting the extension.

“I believe this is the best use of the intersection. I don’t want that intersection to look like every other intersection.

“We don’t have another project of this magnitude at that location.

“Other communities–like Crystal Lake–have extended all project six months.

“I am concerned the message we would send about business friendliness, (if we didn’t grant the extension),” she said.

The Lakewood Village Board will be considering whether or not to extend the agreement it has with Len Tenore and fellow developers of the McHenry County SportPlex tonight.

One of the findings in last summer’s consideration in public without prior release of supporting documents is the following finding:

“Developer meets high standards of credit worthiness and financial strength as demonstrated by documentation previously tendered to and reviewed by the Village”

That’s finding number 5 on page 4 of the 62-page ordinance.

Page 32 has a paragraph entitled, “Uncontrollable Circumstances.”

Here is the content:

“If the performance of any covenant to be performed by any party is delayed as a result of any covenant to be preformed by any party (which circumstances may include acts of God, war, acts of civil disobedience, strikes or similar acts but which circumstances explicitly exclude financial, financial, financing or market related circumstances), the tie for such performance shall be extended by the amount of time of such delay.” (Emphasis added.)

First Electric Newspaper publisher Pete Gonigam has an article today telling about “liens on his (Tenore’s) home and factory.”

He also supplies a time line which shows financial problems before the McHenry County Board approved in Federal taxpayer-subsidized loans to the project.

Leave it to a Columbia Journalism School graduate to do the research.

An email from the neighborhood folks fighting the McHenry County SportsPlex asks for opponents to attend the Tuesday Lakewood Village Board meeting that starts at 7 PM.

CALL TO ARMS! We’re not done

YET!

According to today’s Northwest Herald, MC Sportsplex-specifically Lou Tenore, is asking Lakewood for an extension on the annexation agreement ““The extra time is needed to tie up all the loose ends.” Please read the article for more information.

Remember “The agreement calls for Lakewood to contribute $5 million in fee waivers and grant assistance to the project. ”

Our sources have revealed that sale contracts for the properties along Pleasant Valley Road and Hamilton Road were NOT extended thus they have already expired-that’s not to say that they can’t be re-written.

Your presence is requested at the Lakewood Board Meeting on Tuesday when Lou Tenore will request this extension. The Lakewood Village Board is to consider the request at a meeting scheduled for 7 p.m. this Tuesday 7/26 at RedTail Golf Club, 7900 RedTail Drive, Lakewood.

Some of our key people will be there to oppose this request and present facts on the inaccurate/incomplete “feasibility study” (again, done by Terri Gauoette, who was declared only a “turf specialist” when confronted about his Wisconsin indictment for fraud). A copy of analysis of this feasibility study is attached. Just to refresh your memory, our analysis was done by Joseph Daleiden, former Director of Long Term Planning for Ameritech and responsible for reviewing acquisitions and major capital investments and hence, had much experience in assessing such proposals. A commentary will also be made on Lou Tenore’s financial situation.

PLEASE RSVP TO THIS EMAIL IF YOU PLAN ON ATTENDING. A CONTINUED SHOW OF OPPOSITION STRENGTH IS ESSENTIAL.

Hope to see you there!

Some may remember that the night the SportsPlex was rushed through the village board last summer. It was said to be essential to pass the ordinances that night. It was not a good night for the democratic process in Lakewood.

Subsequently, one of the village board members who voted for the package was replaced during the spring elections. One of the District 5 McHenry County Board members–a Democrat–lost his re-election attempt. The other person on the County Board who voted for Federal Stimulus Bonding authority was outvoted by the candidate who knocked off the Democrat.

The agenda item appears below:

Motion to Extension through January 26, 2012, of

• Ordinance No. 2010-65) (An Ordinance Authorizing Execution of an Annexation and Development Incentive Agreement Between the Village of Lakewood, Napier Partners, LP, Patricia M. LeClair Revocable Trust, Donald Swanson and McHenry County Sportsplex, LLC), Ordinance No. 2010-66 (An Ordinance Annexing the Napier and LeClair Properties Commonly Known as 12317 and 12512 Pleasant Valley Road to the Village of Lakewood),
• Ordinance No. 2010-67 (An Ordinance Zoning 12317 and 12512 Pleasant Valley Road as AG Agriculture District and 11717 Pleasant Valley Road as B-2 General Business District (Napier Partners, LP, Patricia M. LeClair Revocable Trust and Donald Swanson Properities),
• Ordinance No. 2010-68 (An Ordinance Issuing Special Use Permits for Planned Developments for Property Commonly known as 11717, 12317, and 12512 Pleasant Valley Road (Donald Swanson, Napier Partners, LP, and Patricia M. LeClair Revocable Trust Properties) and
• Ordinance No 201069 (An Ordinance Approving the Preliminary Plan for Napier Patrners, LP, Patricia M. LeClair Revocable Trust and Donald Swanson Properties)

One of the things I would like made clear in the contract is that the SportsPlex will be forced to pay real estate taxes. The consultant hired had little clue regarding the property taxes that could be expected and, since then, I have heard that the developers may try to organize as a not-for-profit organization, which would potentially allow the SportsPlex to pay no real estate taxes.

As a Lakewood resident, I want a clause that would guarantee payments in lieu of property taxes, should the development manage to gain a real estate tax exemption.

A letter from Lakewood Village President Ken Santowski:

I have formally decided to announce my candidacy for President……….

Fellow residents:

Well with the 4th of July weekend right around the corner it seems like summer appears to be in “full steam ahead” mode.

Things have been relatively quiet on the Lakewood home front. The first meeting in June was a short one with only one main item on the agenda.

Earlier in the year during budget talks we approved some money to help promote Lakewood to future home builders and commercial developers.

Now this may seem like a silly idea in an economy that is lower than most of us have ever wanted to experience but timing seemed right.

By allocating around $11,000 +/- to Web Q & A and Dobbe Marketing now we should get the most for our money when the economy comes back around.

Will it ever be like it was?

Doubtful but eventually people will have to move, companies relocate and everyone sooner or later spends money.

Whether it is for a new car or vanilla shake (I love shakes) people will buy these things.

Why not encourage them to buy them within the lovely boundaries of Lakewood?

Other than that we just had simple housekeeping to do. Bills got paid and revenue collected. Day to day operations seem to continue without too much exception. Hopefully it will remain a fairly quiet summer.

I spoke to one of the lake committee members and asked how our algae growth was doing on the lakes. It appears to be under control (versus out of control). The treatments and aeration seem to be working to keep it from exploding. Lets hope the heat wave coming doesn’t exacerbate the situation.

Sometime during the July meetings we will be talking once again about the Redtail Clubhouse (or lack thereof). With the extremely favorable building environment and low interest rates we should be able to get a great deal on just the right size clubhouse for our needs.

The Huntley road bike path is starting to progress, albeit slowly. You will notice the silt fence, trees wrapped in wood planks and lots of flags and spray paint along the way. If you drive down that way please use extra caution. If you bike , walk or jog that way I would simply say find an alternate route. The road will shrink a lot before the path is finished.

Recycling of Styrofoam is going quite smoothly. I can now take all COLORS of Styrofoam, even printed logo items. BUT please make sure these items are clean when you put them in the bins which are located at Village Hall, Public Works and My Home.

The Sportsplex is still around although it is on a very low simmer.

As I receive details, you will receive details.

In regards to my headline, am I the only one who is disgusted with the way our country is being run right now?

I am neither a Democrat or a Republican.

I am an American Citizen and a resident of the United States.

I pay taxes, I try to buy “American”, I try to be kind to my fellow man, and I try to be a good, patriotic citizen.

So I have decided to give our current President and the next President until 2016 to get their act together and try to work together.

Other countries can do it; other people can do it.

Why can’t we?

I shall now step down from my political soapbox; which is filled with Dove since it has 1/4 moisturizers.

Your faithful navigator of the good-ship Lakewood

Kenneth M Santowski

First the December 31st deadline for the Federal Stimulus Bond authority ran out.

Now, the backup plan deadline has expired.

I asked Blake Hobson, McHenry County’s representative to the Upper Illinois River Valley Development Authority about the status of Lakewood’s McHenry County SportsPlex.

Here’s the reply:

The approval from UIRVDA was good for financing on the ARA and expired 12/31.

It is my understanding that to utilize any of URIVDAs bonding authority will require a new application and appearance before the UIRVDA board.

That’s not to say that the SportsPlex backers could not start over with the regional authority, but the first attempt is dead.

McHenry County Blog ran a critical analysis of the McHenry County SportPlex Friday, Saturday and Sunday:

McHenry County SportsPlex Analysis – Part 1 – Demographics

McHenry County SportsPlex Analysis – Part 2 – Comparisons with Other Sport Complexes

McHenry County SportsPlex Analaysis – Part 3 – Financials