HIGHWOOD CITY COUNCIL’S 2.18.25 MEETING IN A NUTSHELL
Finance
The City Council voted to approve the payment of various bills totaling $92k.
The City Council voted to accept the City Treasurer’s financial report covering the period of May 1, 2024 through December 31, 2024.
The state currently collects a 1% tax on grocery purchases statewide, applying to most food items intended for home consumption, except those bought using the Supplemental Nutrition Assistance Program. The revenue from this tax, totaling approximately $325M annually, is distributed to municipalities. Last year, the state passed a law repealing this tax, effective January 1, 2026. To mitigate the resulting impact on municipal budgets (e.g., an approximate $70k annual revenue reduction for the city), the law grants municipalities the authority to collect a local grocery tax. The City Council continued discussion of a draft ordinance to begin collecting a 1% local grocery tax effective January 1, 2026, and voted to adopt the ordinance.
The city’s waterworks and sewerage fund accounts for the operation of its water and sewer system. The difference between the sale rates and costs of processing the water pumped from Lake Michigan is intended to finance the operation of the system. City staff reported that the fund’s expenses are outpacing its revenues, largely due to increased costs for labor, supplies, and infrastructure maintenance. Moreover, significant future expenses are anticipated to comply with unfunded state and federal mandates (e.g., replacement of lead service lines and certain galvanized service lines). In response, the City Council previously approved an agreement with Christopher B. Burke Engineering to assist with planning, regulatory compliance, and securing funding. To fund the mandated improvements, along with other upgrades to its water system, the city will likely need to borrow money. To qualify for loans and afford the connected payments, the city will need to raise additional revenues and the City Council previously discussed various related options (e.g., increasing the local sales tax rate, increasing water rates, adding a fee to water bills).
The City Council continued discussion of a draft ordinance to increase the local sales tax rate by 0.0025% (i.e., 25¢ on a $100 purchase) effective July 1, 2025, and voted to adopt the ordinance.
The City Council discussed a draft ordinance to increase water rates by 5% (i.e., increasing the water rate from $5.38 to $5.65 per 100 cubic feet used and the minimum charge from $53.80 to $56.50 every two months), as well as add a $10 monthly fee to water bills, and continued further discussion to a future meeting.
Personnel
The city pumps, treats, and supplies water directly from Lake Michigan. The water system is operated by a combination of employees and contractors. The city is required by the state to have a certified Class A water operator, and it currently contracts with Cizek Consulting to comply with this requirement. The City Council voted to approve a new three-year contract with Cizek Consulting at a monthly rate of $4.7k, increasing 5% annually, plus $37 per hour for biannual regulatory compliance related to lead and copper sampling.
Public Comment
Highwood resident and business owner, Jessica Ortega, introduced herself to the City Council as the new president of the nonprofit Celebrate Highwood.
Other
The City Council voted to approve meeting minutes from February 4, 2025.
Early voting for the April 1st Consolidated Election begins on March 17th at the Library & Community Center (102 Highwood Ave.); additional information here.
The Chamber of Commerce’s February newsletter is here.
The Chamber of Commerce’s Bingo at Buffo's event will be held on February 23rd from 12:00 pm to 2:00 pm at Buffo’s (431 Sheridan Rd.); additional information here.
The Chamber of Commerce’s A Highwood Story film screening event will be held on February 24th from 5:30 pm to 6:00 pm at City Hall (17 Highwood Ave.); additional information here.
The Chamber of Commerce’s A Highwood Story film screening event will be held on February 24th from 6:30 pm to 7:00 pm at City Hall (17 Highwood Ave.); additional information here.
The Chamber of Commerce’s Women's Connections event will be held on March 12th from 5:00 pm to 7:00 pm at elliestyled (1900 Sheridan Rd., Highland Park); additional information here.
Meeting Records