McHenry County Blog

The Republican Parties in all of the five largest townships in McHenry County seem to have decided or soon will decide to hold primary elections in February, rather than hold caucuses.

Those five are

• Algonquin
• Dorr
• Grafton
• McHenry
• Nunda

Paperwork apparently has to be filed first with a local township official, who is supposed to forward it to the McHenry County Clerk’s Office.

According to the County Clerk’s Office as of mid-Friday afternoon, none of the five has jumped through all of the loops yet.

Salaries have to be set prior to the election, before November 21st, according to Algonquin Supervisor Dianne Klemm.

The legislative intent for the law was so that those running would know what they would be paid, plus, if someone won a primary that the incumbents didn’t like, they couldn’t cut the salary.

The Algonquin Township Board last summer.

Word from the Algonquin Township meeting is that Russell Cardelli of Algonquin was named to replace Joe Powalowski, who resigned.

Russell Cardelli

I interviewed Cardelli about the interviewing process.

“I was a little surprised.

“It seemed one of the other guys had been a trustee (Chuck Lutzow) and was a little better qualified.

Referring to Tom McDermott, Vice Chairman of the Algonquin Township Republican Central Committee, Cardelli said, “I just assumed someone like that would get the position.”

Asked what Township Trustees do, Cardelli said townships maintain the roads, they try to save the taxpayers money, they re-cycle old wood chips and give them away, among other things.

Cardelli has been a carpenter-contractor for thirty-five years in Algonquin, Lake in the Hills and Crystal Lake, and more recently “all over place.”

The five candidates not selected were

• Robert Abraham, Lake In The Hills
• Charles A. Lutzow, Crystal Lake
• Thomas P. McDermott, Crystal Lake
• Catherine Nash, Algonquin
• Bob Simpson from Crystal Lake

This is what attracted my attention to the Springfield Journal-Register article on increasing the efficiency of local government.

Looking at articles in Springfield’s State Journal-Register Sunday, I found one about a Citizens Efficiency Commission that’s looking at township government.

Sangamon County has 52 townships.

There are archaic creatures called Township Collectors that collect the first installment of real estate taxes.

A bit different from McHenry County’s situation with 17 townships and no township collectors.

The Farm Bureau has weighed in with recommendations that includes cutting the number of townships in half, getting rid of the township collectors and ” further consolidation” of the township assessor function.  (Yours truly sponsored the Multi-Township Assessor law after a statistic study was conducted by Algonquin Township Assessor Forrest Hare which showed that assessing jurisdictions less than 5,000 people were markedly less uniform than those over 5,000.)

In November, 2102, a county referendum created the 23-member advisory group.

State Rep. Jack Franks is even mentioned in the article. He tried his best to take over several of the smaller townships three years ago and had some, but not universal, success.

And this old carnard  is again put forth: “Township government is the closest thing we have to pure democracy in the United States,” Donelan said.

Maybe the “closest,” but not very close.

The budget-setting teeth of Electors at the Annual Meetings were pulled in the early 1970′s when uppity residents of unincorporated roads in Nunda Township set even line-item in the Road Commissioner Leroy Geske’s budget at $1.  They forgot that the Road Commissioner gets paid out of the Town Fund, so he got paid.  I wonder how he did any work.

And, as citizens of Grafton Township have discovered, the Township Trustees won’t put just any resolution on the Annual Meeting agenda.

Since the 1973 fiasco of a caucus conducted by the Algonquin Township Republican Central Committee, McHenry County largest township has allowed voters to decide who GOP candidates for township office shall be.

That was the year that first-term Assessor Forrest Hare was challenged by a young school teacher.

While the caucus looked like a three-precinct primary, after the 3 AM Crystal Lake Community High School Field House results showed the school teacher winning by a handful of votes and even the judges weren’t sure the count was correct, the Central Committee members would not allow a recount.

There was no way to legally force a recount, because the committeemen set the rules.

At that time losers could run as a write-in and Forrest Hare did.

And he won.

The local Republican Party really took a beating as every weekday it was taken to task by Crystal Lake WIVS Radio station owner Mal Ballairs on his morning talk show.

To avoid future similar problems, our State Senator Jack Schaffer and I passed legislation to allow township party organizations to select candidates by citizen votes.

When I brought up the idea at Monday night’s meeting in an Algonquin Township Road Commissioner’s building, only I and Lou Anne Majewski remember the 1973 fiasco.

Precinct Committeemen attending the Algonquin Township Republican Central Committee organization meeting on April 9, 2012.

I was immediately met with the objection of cost.

I couldn’t come up with a figure, but with the low turnout of 19% from both party primaries in March (plus non-partisan only votes on referendums) it’s pretty easy to predict that the turnout will be less when only township officials are on the ballot.

The result will be a high cost per vote, which could be lowered if McHenry County Clerk Kathie Schultz can combine precincts.

The projected expense was really the only argument.

But it was a long discussion.

I pointed out that Democrats could have a field day challenging Republican candidates who had been selected in a secret meeting.

Conversely, Republicans could make hay of any Democratic Party candidates who were not selected at the ballot box, but rather by party bosses.

With township government under attack, I argued, the potential negative publicity would not be helpful.

In the end, all of the Algonquin Township Republican Precinct Committeemen present voted to authorize a primary election next February in which candidates for Township Supervisor, Road Commissioner, Assessor, Clerk and Township Trustees would be selected.

An IRS finding handed down January 31st will surely be the talk of the next meeting of the Township Officials of Illinois.

Use of Grafton Township Road Commissioner Jack Freund's truck has been ruled taxable by IRS.

It says that heretofore fringe benefits, such as the Grafton Road Commissioner’s vehicle and the reimbursement for dinners at the McHenry County Council of Governments, are income for Federal tax purposes.

And, since the state tax code is built upon the national one, probably subject to state income tax as well.

The Internal Revenue Service writes that Grafton Township owes the Federal government $2,030.36 for 2010 for income, Social Security and Medicare taxes.

“Fringe Benefit Issues” is what the Internal Revenue Service investigator was looking at.

A topic subject to a tirade by Trustee Gerry McMahnon at one of the last meetings I attended was the taxability of reimbursements for dinners at the McCOG. [I have to tell you, except for the volume of his voice, he seemed to be making sense.]

But the IRS Specialist disagreed.

The “audit,” for lack of a better term, specifically addressed this topic:

“In 2010, the elected officials and trustees of the Township received a stipend varying from $26 to $40 per month to attend monthly dinners for the McHenry County Council of Governments. The Township does not require these members to attend these meetings. The total amount of stipends issued to all officials and trustees was $1,300 for the year. These stipends were provided under a non-accountable plan.”

If I am interpreting the documents correctly, the Trustees, in toto, will owe taxes on an additional $729 because of the McCog dinner reimbursements.

Road Commissioner Jack Freund had similar $200 of non-accountable reimbursements, Supervisor Linda Moore $253 and Clerk Harriot Ford $118.

Freund was also cited for $3,125.70 which he received for “medical reimbursements made to the elected official. However, there was insufficient substantiation provided to receive reimbursement. Thus, the payment falls under a non-accountable plan.”

Freund was further cited for getting reimbursement for his spouse’s travel expenses. This included $120.56 for a number of meals, plus “a $35 spouse fee for the conference.”

Township Road Commissioner Jack Freund’s Ford F250 pickup truck was the subject of the final finding.

Purchased on December 8, 2010, “for the Road Commissioner’s use. The vehical was inspected by the Specialist and the vehicle is not deemed to fall into the category of a Qualified Nonpersonal Use Vehicle.

“There was no adequate substantiation of business uses v personal use of the vehicle.

“Therefore, the automobile lease value for this vehicle is $7,250 (see tables in Publication 158). As it was used for 23 days in 2010, the calculation is as follows:

• Annual Lease Value = $7250
• Days of Use in 2010 + 23.365
• %7,250 X (23/365) = 456.85

Also targeted by the IRS were meals provided by Assessor Bill Ottley’s office when employees were not away overnight. Called “Day Meals” by IRS Examiner John Lauer, the reimbursements of those and non-overnight meals for Ottley and Moore totaling $369.28 have been deemed taxable.

Also mentioned are uniforms costing $480.01, but detail is not given regarding the employees affected. The report sys that “under an nonaccountable plan” are considered “wages and are treated as supplemental wages”…”reportable as wages on the employee’s Form W-2.”

“It as been determined by the FLSG Specialist that the taxpayer is wiling to correct all the above mentioned isues found during the examination,” one report concludes.

Implications for the 2011 tax year were not addressed in the report.

Linda Moore

“I was instructed to follow the precedent sent by the 2010 audit when amending the 2011 W-2′s,” Supervisor Moore said.

“All taxpayers know they that have to comply with IRS regulations.

“It’s important that township officials are IRS compliant, too, but I don’t look forward to delivering this bad news to my colleagues.”

It is not clear whether the elected officials will have to repay the township the cost of the fringe benefits targeted by IRS.

The State Constitution says that no elected official can earn no more or less than what was set before he or she was elected:

Illinois Constitution Article 7
Section 9 Salaries and Fees
(b)An increase or decrease in the salary of an elected officer of any unit of local government shall not take effect during the term for which that officer is elected.

Some of the documents can be found here.

Of course, township elections are not until 2013, but I know people are already discussing running for the offices.

Some have commented that some officials’ salaries are too high.

Odds are good that most will be raised for the next four years.

If a candidate thinks the salary for the office he or she is thinking of seeking is too high, one can always promise to refund all or part.

Current Avon Township Officials Sam Yingling, Tom Brust, Lisa Rusch, Chris Ditton, Randy Evangeledes and Mark Feldstein pose with oversized check of salaries being refunded.

If health insurance and/or pension payments are part of the compensation package, one can promise not to take them.

I learned from “Round Lake District 116” blog that Avon Township officials are giving back the pay raises presumably approved by the people whom they presumably defeated.

Not a bad campaign pitch in the middle of a deep recession.

A couple of weeks ago news media unloaded the latest attack on township government.

They were working from a Better Government Association report.

Most of the attention was aimed at Cook County townships. That’s where most of the land is incorporated. Only about 2% of the population lives in unincorporated areas.

McHenry County was mentioned in the Chicago Sun-Times article in the last paragraph of its November 9, 2010, article.

It concentrated on the road district part of township government and based its figures on 2010 expenditures reported in an IDOT report.

It was in a cost per mile comparison for the six Chicago-area counties:

• Cook – $80,509
• Lake – $63,164
• DuPage – $42,515
• Will – 32,174
• Kane – 30,048
• McHenry – 27,399

I found the Illinois Department of Transportation 2009 study and extracted the following information about McHenry County Townships:

Doing the math yields the following cost per mile figures:

• 

  Townships in McHenry County with incorporated areas shown.

  Alden – $7,240

• Algonquin – $77,945
• Burton – $7,565
• Chemung – $13,729
• Coral – $8,163
• Dorr – $59,278
• Dunham – $7,986
• Grafton – $63,886
• Greenwood – $25,788
• Hartland – $8,726
• Hebron – $7,351
• Marengo – $15,000
• McHenry -$40,701
• Nunda – $40,719
• Richmond – $17,055
• Riley – $5,737
• Seneca – $9,794

Obviously there are great variances with more urbanized townships spending more to maintain roads than more rural townships.

Linda Moore

The litigation concerning who has what power in Grafton Township has been long and expensive, but also interesting.  I’ve discussed how it involves the pitting of the Executive, Legislative and Judicial branches of local government with Linda Moore’s attorney John Nelson and an attorney at Ancel, Glink, suggesting the case would be wonderful for law school students.  The one at Ancel, Glink said he would talk to a professor at Northwestern University.

The first case was won by Moore.

Judge Michael Caldwell ruled that she had executive powers much as do village board presidents.  (Both, you will note have a vote on their legislative bodies.)

Ancel, Glink, dismissal by Moore was ratified and Township Administrator Pam Fender, installed by the Trustees to take over pretty much ever duty the Supervisor had had under the man she beat in the GOP primary, John Rossi, performed, except the administration of General Assistance (a very limited welfare program) and keeping the books.

The second time around, Caldwell also ruled for Moore, saying that her choice for Township Attorney, Nelson, would be installed even though he had been rejected by the four Township Trustees.

The Trustees attorney, Thomas DiCianni, seemed visible stuck (read the bottom of the transcript) by Caldwell decision.  After regaining his composure, he asked to appeal and, upon consideration, Caldwell granted him that request.

Trustees Rob LaPorta, Barb Murphy, Berry Zirk and Gerry McMahon won that effort in the 2nd Appellate Court.

Now, Moore has announced that she will not appeal the ruling that Trustees must approve her nomination for Township Attorney.

Last night two Trustees, LaPorta and Murphy, joined more in appointing Michael Torchalski as “Special Counsel” to handle legal affairs in the sale of the Haligus Road property.  That parcel was purchased from the Village of Lake in the Hills for a new township hall.  That decision by the Township Board headed by John Rossi.  Moore used the issue to defeat Rossi in the first GOP primary election in Grafton Township.  (Previous township officials were elected on ad hoc party names.)

Here is the press release from Grafton Township Supervisor Linda Moore:

Grafton Township Supervisor Declines Appeal to the State Supreme Court

Linda Moore, Supervisor of Grafton Township announced today she did not authorize an appeal to the Illinois Supreme Court as to whether it was legal for the trial court to order confirmation of her Attorney, John M. Nelson, as Grafton Township Attorney.

The Second District Court of Appeals reversed the order of the trial court in its decision on August 2011.

“The case involves complicated issues of enforcement of a court’s injunction versus arguments of separation of powers. While my attorney was anxious to have the Illinois Supreme Court decide these important issues, unfortunately, the cost to township taxpayers of such an appeal would vastly outweigh the benefits to Grafton Township and it’s taxpayers, “

Ms. Moore stated.

“The trustees’ attorneys, Ancel Glink have charged a total of $57,379 for just their appeal to the Second District. This is in addition to Attorney Nelson’s charges of $ $11,707.

“I can only imagine how many more tens of thousands of dollars it would cost to make law on this issue,”

stated Moore.

In addition, there is no guarantee the parties could obtain an expedited hearing for a quick decision.

“The Illinois Supreme Court is very deliberate because they set the rule of law in the state, “Ms. Moore said.

“We need a township attorney now, not months from now.”

Ms. Moore pledged she would continue to nominate qualified attorneys to assist Grafton Township in their legal matters. She continued by saying,

“Hopefully the trustees will come to their senses and confirm this appointment so we can move beyond the self-defeating actions that have driven this board.”

The 2nd Appellate Court placed a separation of powers bump in the judicial road that stopped Judge Michael Caldwell from installing John Nelson, Supervisor Linda Moore's choice for Township Attorney, without Township Board approval.

Grafton Township Supervisor Linda Moore’s string of court victories met a bump in the judicial road Thursday.

A unanimous 2nd Appellate Court panel decision overruled McHenry County Circuit Court Judge Michael Caldwell’s order that Moore attorney John Nelson should be installed as Township Attorney without Township Board approval.

This separation of powers suit loss, argued by Ancel Glink attorney Thomas G. DiCanni, comes after Moore won a separation of powers suit concerning the exercise of her executive branch powers as Township Supervisor.

Written by Justice Donald C. Hudson, with Justices Robert D. McLaren and Mary Shostok concurring, the opinion ruled that “due respect must always be shown to other co-equal branches of government.”

The appeals court ruled that Judge Caldwell should not have interfered with the discretion possessed by the board on this issue.”

“…the court system has no role to play in reviewing whether the supervisor’s appointment of [John] Nelson should be confirmed,” the decision says.

In further explaining its decision, the panel wrote, “…this case concerns a court directing a legislative body how to proceed on a matter that would typically be within the discretion of the legislative body.”

This chart shows the cost of township government in McHenry County. Click to enlarge.

Today McHenry County Blog looks at the cost of township government in McHenry County.

The cost per person is the column that I find most interesting.  Below you will see them listed from lowest cost to highest cost for the non-road commissioner part of the bill:

The Dorr Township Hall in Woodstock.

• Chemung – $18
• Algonquin – $20
• Grafton – $20
• Burton – $24
• Greenwood – $29
• Nunda – $29
• Coral – $31
• Dorr – $31
• Richmond – $38


Grafton Township Hall

• McHenry – $39
• Marengo – $40
• Dunham – $58
• Hebron – $58
• Seneca – $58
• Riley – $67
• Hartland – $98
• Alden – $99

With the exception of Chemung, Burton and Coral Townships, the low cost townships tend to be those with the largest populations.

Conversely, those townships with the highest cost per person tend to be the smallest townships.

Townships, of course, can be minimalist in nature or take on tasks which are clearly optional.

The cost of township roads on Monday.