In a 3 to 2 vote, the Marseilles City Council approved an ordinance allowing the city to borrow up to $2.3 million to purchase and renovate the Illinois Valley Cellular building at 200 Riverfront Drive. Mayor Jim Hollenbeck, along with Bobby Kaminski, Commissioner of Accounts & Finances, and Melissa Small, Commissioner of Public Health & Safety, voted in favor; Jim Buckingham, Commissioner of Public Property, and Mike Scheib, Commissioner of Streets, voted against the ordinance.
MTCO Communications owns the property, building, and grounds at 200 Riverfront Drive. The council is considering the purchase to relocate city hall, its offices, and the Marseilles Police Department. The appraisal for the IV Cellular building is $1.6 million. The $1.45 million quote for the 27,000-square-foot facility includes 6.4 acres of riverfront property. Cost renovations to move the police department into the building would be part of the $2.3 million the city could borrow.
During the comment section of this week’s meeting, Mayor Jim Hollenbeck said that if the city decides to purchase the building, it could borrow up to $2.3 million in debt certificates. Kaminsky noted that under a 15-year repayment plan, the interest could be around four percent, with a first payment of $215,000 due next year. Both Kaminsky and Hollenbeck reiterated that there would be no residential tax increase.
“That (the $2.3 million) just provides the vehicle for us to get the money if we choose to do so,” Hollenbeck said. “We’re still negotiating with the owners. Once we get a total together from Phalen Steel (the proposed renovator), we’ll work on getting a price on sealing the rest of the blacktop down there, fixing the cracks. We’re using all these issues as a negotiating tool to see if we can get the price down some more.”
The city is still awaiting a second appraisal, requested by Scheib, and a second building inspection report that Buckingham requested. Phalan Steel Construction, Mendota, originally built the building 23 years ago.
City Engineer Michael Etscheid contacted Phelan Steel, Mendota, the company that built the building 23 years ago, and, with their superintendent, toured it. Their inspection revealed no structural issues besides routine maintenance, like window conditions.
Hollenbeck said that negotiations will continue until the city has all the requested information.