City Council — Naperville, IL
Date: 2025-09-29

400 S. Eagle Street
 City of Naperville Naperville, IL 60540
 http://www.naperville.il.us/


 Meeting Agenda

 City Council

Monday, September 29, 2025 6:00 PM Council Chambers


 Budget Workshop I



PUBLIC COMMENT:
 TO PROVIDE PUBLIC COMMENT DURING THE MEETING: To address the City
 Council in person during the meeting, members of the public should sign up in person
 at the meeting location on the day of the meeting. Signup is available for 15 minutes
 prior to the start of the meeting.

 TO SUBMIT WRITTEN COMMENTS OR A POSITION OF SUPPORT OR
 OPPOSITION: You may submit written comments and position statements to the City
 Council at www.naperville.il.us/bc-comment in advance of the meeting. Comments will
 be received from the time the agenda is published until 24 hours before the meeting
 start time. Comments and position statements received during this timeframe will be
 shared with the commission and posted in the Meeting Details section on the City’s
 meeting management system in the day of the meeting. Comments received outside
 this time frame will not be transmitted or posted. Written comments will not be read
 aloud during the meeting.

 PARTICIPATION GUIDELINES: The citizen participation guidelines are outlined in:
 2-1-16 - CITIZEN PARTICIPATION of the Naperville Municipal Code.

 ALL VIEWPOINTS AND OPINIONS WELCOME: All viewpoints are welcome, positive
 comments and constructive criticism are encouraged. Speakers must refrain from
 harassing or directing threats or personal attacks at Commission members, staff, other
 speakers or members of the public. Comments made to intentionally disrupt the
 meeting may be managed as necessary to maintain appropriate decorum and allow for
 city business to be accomplished.

 IF YOU SIGN UP TO SPEAK: The Chair will call your name at the appropriate time
 during the City Council meeting. Once your name is called you may identify yourself for
 the public record. Speak clearly and try to limit remarks directly to the matter under
 discussion. Speakers are limited to three minutes and are called in the order they sign
 up.


A. CALL TO ORDER:

B. INTRODUCTION:

C. PUBLIC FORUM:

D. PRESENTATION:


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City Council Meeting Agenda September 29, 2025


1. 25-1280 Annual Budget Workshop #1: 2026 - 2030 Capital Improvement
 Program

E. ADJOURNMENT:
 Any individual with a disability requesting a reasonable accommodation in order to
 participate in a public meeting should contact the Communications Department at least
 48 hours in advance of the scheduled meeting. The Communications Department can
 be reached in person at 400 S. Eagle Street, Naperville, IL., via telephone at
 630-420-6707 or via e-mail at info@naperville.il.us. Every effort will be made to allow
 for meeting participation.




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400 S. Eagle Street
 City of Naperville Naperville, IL 60540
 http://www.naperville.il.us/

 Meeting Minutes - Final

 City Council


Monday, September 29, 2025 6:00 PM Council Chambers

 Budget Workshop I

PUBLIC COMMENT:


A. CALL TO ORDER:

 Mayor Wehrli called the meeting to order at 6:00 p.m.



 Present: 9- Mayor Scott Wehrli
 Councilwoman Mary Gibson
 Councilman Ian Holzhauer
 Councilwoman Supna Jain
 Councilman Patrick Kelly
 Councilman Josh McBroom
 Councilman Ashfaq Syed
 Councilman Benjamin White
 Councilman Nathan Wilson




 Also Present
 City Manager Doug Krieger; Deputy City Manager Pam Gallahue; City Attorney
 Mike DiSanto; Assistant to the City Manager Marcie Schatz; Police Chief Jason
 Arres; Director of Finance Raymond Munch; Director of TED Jennifer Louden;
 Budget and Administrative Manager Christine Schwartzhoff; Director of Public
 Utilities - Electric Brian Groth; Director of Public Utilities - Water Darrell
 Blenniss; Director of Community Services Melanie Marcordes; Deputy Director
 of TED; Andy Hynes; Deputy Director of Public Works John Rutkowski, Deputy
 Director of Finance Traci Marrocco, Budget Analyst Nick Krueger; Budget
 Analyst Braeden Smith.

B. INTRODUCTION:

 City Manager Doug Krieger opened the meeting with welcome comments and
 explained the purpose and importance of budget workshops. Krieger then
 moved onto the agenda for the night which was focused on the proposed
 Capital Improvement Program (CIP).




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C. PUBLIC FORUM:

 SPEAKER
 Marilyn Schweizer (Naperville) - spoke in support of Tier 1 and conditional Tier 2
 undergrounding, Naperville train station interior renovation, and eliminating
 sidewalk cost share, and wanted to know North Central College’s share of NCC
 Park cost.

D. PRESENTATION:

1. Annual Budget Workshop #1: 2026 - 2030 Capital Improvement Program

 During the first section of the presentation, Krieger discussed the City ’s budget
 development approach of “Money With a Mission” and “Every Dollar Has a Job”.
 Every dollar should be allocated to projects or services that are achievable and
 will be spent. As a result, the 2026 Budget prioritizes existing projects and
 assets. Krieger went on to discuss the progress that had been made on
 projects in this year’s CIP, such as work finally beginning on the North Aurora
 Road Underpass.

 Council inquired about the exact start date for work on the North Aurora Road
 Underpass, as well as funding. TED Director Jennifer Louden discussed how
 work starts immediately through the end of year and that the remaining
 construction for the final phase will take two and a half years. Finance Director
 Raymond Munch noted there was a $45M bond issuance in May. Additionally,
 Munch made note that 2026 debt issuance would be discussed later in the
 presentation.

 Munch began his portion of the presentation by providing a summary of the
 overall CIP, totaling $190M and primarily located in the Water and Electric
 Utilities and Transportation investments. Munch proceeded to cover the Electric
 Utility’s portion of the CIP, totaling $29.67M. Volatility in the Utility’s financial
 position, such as fluctuating power costs and declining power sales, restricted
 their level of capital investment for 2026. $10M in debt is planned for 2026 to
 achieve the most critical work.

 Munch then outlined major investments in the Electric Utility, such as the cable
 replacement program and the tollway substation upgrade. Because of the
 aforementioned financial constraints, certain projects needed to be deferred and
 have work shifted to future years, most notably the overhead to underground
 utility line conversion. For future consideration, staff broke the project into two
 tiers. Tier 1 would focus on major roadways, carrying a greater level of impact
 and lower estimated cost. Tier 2 would be in addition to Tier 1, focusing on
 residential backyards but have a diminishing level of impact and greater cost .
 Munch asked Council what level of support the undergrounding project should
 receive.

 Council asked about how the benefits of each Tier compared to the level of
 investment required, as well as the timeline of the project. Electric Utility

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 Director Brian Groth responded by saying Tier 1 would be the best use of
 money due to the number of customers it impacted and was considered both
 the main project and high priority. Approximately one to two outage events
 occur per year affecting work that would be covered under Tier 1. Tier 2
 impacts fewer customers and would require entering residents’ backyards,
 which would be challenging.

 In addition to Tier 1, there are several projects budgeted that would also help
 achieve 90% of underground work over the next 10 years. Munch discussed
 how projects like these are planned for five-year intervals due to their nature and
 the significant engineering and design required. From a budget perspective,
 dollars are approved year by year and projects are adjusted based on financial
 resources. Council proceeded to vote in support of Tier 1 work.

 Munch continued his portion of the presentation by discussing the Water Utility ’s
 capital plan, which makes up almost half of the overall CIP at $ 92.4M and has
 several multi-year projects underway. Many of these projects and programs
 were approved by prior Councils. Major priorities in the Utility include the
 revitalization of the Springbrook Treatment Plant and water main replacements .
 Work in these areas is planned out to 2030. Also of note are lead pipe
 replacements that the City is on track to complete by 2027. Munch ended the
 Water portion of the presentation by opening the floor to questions.

 Council asked whether the City had the resources for lead pipe replacements
 and if grants had been received for phosphorous reduction. Water Utilities
 Director Darrell Blenniss responded to these questions. For lead pipe
 replacements, Blenniss stated that work would be bid out utilizing a contractor,
 access agreements had been secured for properties, and that the Utility was
 confident in the timeline. Regarding phosphorous reduction, Blenniss said small
 grants had been received but the City is not eligible for further loans.

 Munch then began discussing the Transportation section of the CIP, with
 $38.6M planned for 2026. Cost increases compared to prior years are a result
 of rising costs, aging infrastructure, and more projects moving from design to
 construction. There are a number of carry-forward projects, that being projects
 budgeted in prior years and pushed into future years, such as the North Aurora
 Road Underpass. Approximately $13.5M of work is planned for that project in
 2026. About 90% of funding for this project has been secured, with the City
 anticipating being responsible for $6.7M.

 Munch proceeded to outline the planned $15M capital investment in the City’s
 Riverwalk through 2030, covering maintenance, upgrades, and expansion.
 Expansion is the largest category, totaling $9.6M, and includes projects such as
 NCC Park. The South Extension, also in this category, was reprogrammed to
 2027 to prioritize resources. Munch then touched upon the three Commuter
 Parking projects planned for 2026, which are projected to exhaust the fund
 balance. More information will be included in the second workshop about the
 future of this fund and its ability to operate as a business enterprise fund .


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 Finally, Munch discussed the history of the Sidewalk Replacement ’s cost-share
 program and the resources required to administer it, before seeking feedback
 from Council on whether the cost-share program should be reinstated.

 Council asked about the mechanics behind suspending the cost -share
 program. The City would pick up the total cost and staff is in process of
 changing the relevant ordinance(s). Council voted in favor of suspending the
 cost-share program and having the City pick up 100% of the cost.

 Council proceeded to inquire about the budget and timeline surrounding various
 Transportation and Riverwalk projects. Krieger noted Edward Hospital ’s
 forthcoming pledge to the South Extension project, via Endeavor. Louden
 confirmed groundbreaking in 2026, with full work in 2027. For the 248th Avenue
 upgrades, Munch said construction will cost $15M, half funded externally, with
 work running from 2027-2028. On road resurfacing, Louden explained the City
 aims to avoid the school year, though utility relocations may cause delays .
 Louden also noted that the Grand Pavilion and Netzley projects stem from the
 2031 plan, with a goal to fundraise 50% of costs. For NCC Park, Munch
 reported a $3.2M total, and Krieger confirmed no cost-share with North Central
 College.

 Deputy Finance Director Traci Marrocco began her portion of the presentation,
 discussing planned facility improvements for 2026. Most were long-term
 renovation plans, such as those at the Police Department or training facilities for
 the Fire Department, with one new project at the Public Works Service Center
 to maintain regulatory compliance. Marrocco then moved onto technology,
 which focused on improvements to the Municipal Center, and vehicle
 replacements. Finally, Marrocco covered major revenue sources that support
 the CIP, including the Home Rule Sales Tax, Motor Fuel Taxes (MFT), and
 bonds. The 2026 CIP assumes a planned debt issuance for 58 million dollars in
 new utility debt.

 Krieger reviewed the workshop timeline to close the meeting and opened to
 questions.

 Council asked about funding for capital improvements. First, Munch detailed
 how the split for Riverwalk funding hasn’t been established yet. Next, Munch
 explained that funding sources outlined in presentation are the key funding
 sources for CIP projects. The City also uses fund balance reserves for capital
 projects since spending down these reserves does not impact the bond rating,
 unlike the General Fund. Finally, MFT revenues will diminish significantly, if not
 go away completely, at some point and a replacement will need to be found.




E. ADJOURNMENT:

 Budget Workshop #1 adjourned at 7:58 p.m .



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 /s/ Braeden Smith
 Braeden Smith, Budget Analyst




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