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Effingham council approves pensions, accepts RISE housing grant and several routine measures; rezoning request deferred
Summary
At its recent City of Effingham meeting the council approved FY2025 audit results, two pension contribution approvals, adopted a RISE grant agreement to acquire land for workforce housing, approved a personnel leave ordinance amendment and carried routine bills; a rezoning application by Dusty's Outdoor Media was deferred because the agenda listed it as discussion-only.
The City of Effingham City Council met and took a series of administrative and policy actions including approving pension funding, accepting a state grant for workforce housing and updating a personnel leave policy.
Logan Clarkson of Kemper (the audit presenter) told the council the FY2025 financial statement audit resulted in an unmodified opinion, noting an 11.2% increase in liquid assets and a similar rise in fund balance. "We are pleased to say that the city of Effingham received an unmodified opinion this year," he said, adding staff would receive a management letter with suggestions but no material issues requiring public correction.
On motions, the council approved an amendment to the city personnel policy to change vacation carryover for nonunion employees from a flat 80 hours to an allowance equal to annual accrual (for example, employees who earn 120 hours could carry over 120 hours). The ordinance also grandfathered the current chief, deputy chief and lieutenants in the police department (those in those positions as of 11/01/2025) to retain carryover per the FOP contract; new incumbents would follow the nonunion rule.
Council members voted to accept an intergovernmental agreement under Resolution 153-2025 (the RISE program) that will use a $373,000 grant to purchase approximately 2.6 acres along Heritage Avenue from HSHS. Public works director Harmon said the plan is to subdivide the tract into roughly 15 lots for workforce housing; the total project is estimated at about $500,000 with the city covering roughly 20% of the cost.
The council also approved actuarial contribution amounts for the Effingham Fire Pension and the Police Pension for the 05/01/2025–04/30/2026 contribution year as presented by staff.
Routine business — including paying bills and requisitions — was approved by motion and voice vote.
A rezoning request (Ordinance 77-2025) from Dusty's Outdoor Media to rezone a parcel at 1219 E. Rickelman Ave to B-2 General Commercial prompted three public comments from the applicant (**** Rhodes) and two neighbors (Jackie Tabbert and Christine Turner) who said they opposed rezoning because of traffic and neighborhood character concerns. Council discussion referenced planning commission findings and the comprehensive plan, but staff and the city attorney noted the agenda incorrectly labeled the item as "discussion only" (a carryover typo). To avoid Open Meetings Act issues the council deferred formal action and asked staff to relist the item with corrected wording at a future meeting.
Finally, the council moved and voted to recess into executive session to discuss collective bargaining, purchase or lease of real estate, and pending litigation under the statutory provisions the clerk cited.
What comes next: items deferred for procedural reasons — notably the rezoning petition and the billboard contract renewal — will return on a corrected agenda for formal action or further discussion.
