The Problem of the Crystal Lake Civic Center – Part 11 Extend Expired Trust Agreement or “Constitutional Crisis”

A continuation of the Crystal Lake Civic Center minutes from February 7, 2017.

The Raue Center is in front of the Home State Bank.

Board Member Danielson stated that the CCA was basically going to keep the property in the trust until they meet again in 3 or 4 months.

Chairman Hayden asked if the CCA Board should vote on this agenda item as “no”.

Mr. Filippini stated that it would be better to table action on the matter and that Vice Chairman Waggoner had developed language for a motion.

Vice Chairman Waggoner moved, regarding Land Trust 4498, to authorize and direct the Chairman and Secretary to execute and attest an extension agreement, subject to attorney review and modifications; and to table action on the transfer of the property from the trust to the Civic Center Authority. Board Member Wickham seconded the motion.

Board Member Reece asked, hypothetically, what would happen if the CCA did not execute the land trust extension.

Mr. Filippini stated that the trustee would then be authorized to provide notice and sell the property.

Mayor Shepley stated that would invite a “constitutional crisis”, and if the Bank actually acted on that, the Civic Center Authority would have to say they did not have the authority to put the property in a trust in the first place.

Board Member Reece asked for assurance that this could be done legally, and Mr. Filippini stated that he would thoroughly review it.

On roll call, all present voted yes. Motion passed.

Public Input

Richard Kuranda, Executive Director of the Raue Center for the Arts, thanked the CCA Board members and stated that the Raue Center was trying its best and always has, and is growing and sustaining as its founders envisioned, even though it was not “out of the woods” yet.

Open Discussion


Next Steps

Chairman Hayden stated that since the CCA’s agreements with Mr. Filippini and the City had both expired on January 31st, they needed to be renegotiated or extended.

Mr. Filippini stated that he would have very simple extension agreements for the CCA’s consideration at their next meeting.

Chairman Hayden encouraged the CCA Board Members to become more involved and noted that he had requested that the City include him in any Civic Center meetings going forward.

He stated that he would like to continue to see what can be done to assist the Raue Center with fundraising.

Mayor Shepley cautioned that as a quasi-governmental body, the CCA could not engage in fundraising, and Chairman Hayden stated that they could pursue grants and other means of funding from a state and federal perspective, advising that he had recently spoken with a representative from Governor Rauner’s office who had expressed favorability for possible state grant funding.

There was no objection from the CCA Board Members to that approach.

Board Member Affrunti asked if there was anything that could happen between now and a next scheduled CCA Board meeting with Home State Bank possibly deciding on a different direction.

Mr. Filippini stated that if there were a need for the CCA to have a meeting, one could be arranged with a 48 hour notice.

Mayor Shepley assured that irrespective of what Home State Bank does or does not do, it would not implicate anything for the CCA Board, since this was not the CCA Board’s debt or obligation, but only their property, which cannot be sold per statute.

Date/Time of next meeting

No action was taken.


There being no further business, Board Member Wickham moved to adjourn the meeting at 6:21 p.m. Vice Chairman Waggoner seconded the motion. By voice vote, all present voted yes.

Motion passed.


The Problem of the Crystal Lake Civic Center – Part 11 Extend Expired Trust Agreement or “Constitutional Crisis” — 3 Comments

  1. All the referenced documents should be on a website for transparency purposes.

    The fact the Crystal Lake Civic Center Authority is seeking state funding is yet another reason for the documents to be placed on the website.

    The state has massive fiscal issues yet a Crystal Lake CCA Board member asks the Governor’s office about possible state grant funding.

    Take a look at the Truth in Accounting website for State of Illinois.

    The State has $235,883,710,000 in bills (bonds, other liabilities, unfunded pension benefits, unfunded retiree healthcare, less debt related to capital assets).

    The Crystal Lake CCA would like how much money from the state?

    $1 million?

    $1,000,000 / $235,883,710,000 = 0.00000423937

    That is 0.000423937%.

    Thus the hypothetical request of $1,000 is (four) ten thousandths of a percent of the state debt of $235,883,710,000.

    A better response from the spokesperson from Rauner’s office would be to provide the Truth in Accounting 2 page Fact sheet on the State of Illinois debt.

    And explain the amount of interest, late fee payments, hiked pension contributions, etc. annually the taxpayers are paying to fund that debt.

    Except no one has apparently even attempted to do the latter.

  2. The details of how the Crystal Lake CCA obtained the title to the Raue building were never explained.

    Apparently CCA obtained the title in 1997 or earlier (the 20 year Trust, which has expired, was created in 1997).

    Maybe the details of how the Crystal Lake CCA obtained the Title are in the Trust?

  3. another typo.

    The corrected sentence follows.

    Thus the hypothetical request of $1,000,000 is (four) ten thousandths of a percent of the state debt of $235,883,710,000.

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