Agenda & Packet

The Village of Kenilworth is subject to the requirements of the Americans with Disabilities Act of 1990. Individuals with disabilities who plan to attend this meeting and who require certain accommodations in order to allow them to observe and/or participate in this meeting or who have questions regarding the accessibility of the meeting or the facilities are requested to contact the Village at 847-251-1666 promptly to allow the Village to make reasonable accommodations for those persons. Notice of Special Meeting There will be a special meeting of the Finance Committee at Village Hall, 419 Richmond Road; Kenilworth IL on Thursday, April 30, 2026 at 4:00 p.m. The public may attend in person or by utilizing the following link: TEAMS MEETING LINK If you do not have access to a computer, you may attend via telephone: +1 872 242 8055 Meeting ID: 313 076 194# Finance Committee Special Meeting Agenda April 30, 2026 at 4:00 p.m. I. Call to Order / Roll Call II. Approval of Minutes A. Finance Committee – August 14, 2025 III. Regular Business A. Presentation and Consideration of a Resolution Authorizing the Village Manager to Execute a Right-of-Way License Agreement with Ezee Fiber Texas, LLC, of Houston, Texas for Residential Fiber Installation B. Discussion and Recommendation Concerning the Approval of an Agreement with NewGen Strategies & Solutions in the Amount of $24,000 to complete a Water & Sewer Rate Study IV. Business from the Public V. Adjourn Village of 1 Village of Kenilworth Finance Committee 1 August 14, 2025 VILLAGE OF 1 2 KENILWORTH, IL 3 Finance Committee 4 Special Meeting Minutes of 5 August 14, 2025 at 4:00 p.m. 6 7 I. CALL TO ORDER 8 Chair Gottschall called to order the Special Meeting of the Finance Committee of the Kenilworth 9 Village Board in the Kenilworth Village Hall, Kenilworth, Illinois at 4:00 p.m. on August 14, 2025. 10 11 ROLL CALL 12 Chair Gottschall requested that Management Analyst Jordan Schmidt call the roll: 13 14 Members: 15 Trustee Joe Vitu Present 16 Trustee Tim Ransford Present 17 Chair John Gottschall Present 18 President Cecily Kaz Present 19 20 Members not present: 21 None 22 23 A quorum was present. 24 25 Others Recorded as in Attendance: 26 Village Officials and Staff: 27 Kathy Thake Village Manager 28 Heather McFarland Assistant to the Village Manager 29 Jordan Schmidt Management Analyst 30 Nicole Gidden Lauterbach & Amen, Village Accountant 31 32 Public Signing-in 33 None 34 35 DRAFT 2 Village of Kenilworth Finance Committee 2 August 14, 2025 II. APPROVAL OF MINUTES 36 37 Chair Gottchall asked if there were any questions or comments regarding the following minutes: 38 39 A. Finance Committee – March 4, 2025 40 41 Hearing no such request, Trustee Ransford made a motion to approve the minutes as presented. 42 Trustee Vitu offered a second to the motion. 43 44 A roll call vote was taken as follows: 45 46 For: Gottschall, Ransford, Vitu 47 48 Opposed: None 49 50 The roll call tally was three votes in favor, and none opposed. Chair Gottschall declared the 51 minutes were approved. 52 53 III. REGULAR SCHEDULED BUSINESS 54 55 A. Six-Month Financial Reivew 56 Management Analyst Jordan Schmidt began by providing an overview of the item and introducing 57 Nicole Giddens, Village Accountant from Lauterbach and Amen. Ms. Giddens provided an overview 58 of where the Village’s budget currently stands and what is still expected throughout the year. Ms. 59 Gidden also provided information on fund balances. The Committee asked general questions about 60 the budget. Ms. Giddens provided responses. 61 B. Discussion of the Budget for the Beach Improvement Project 62 Village Manager Kathy Thake introduced the next item, beginning by giving an update on the 63 current status of the beach project, its current scope and reductions made to reduce costs, how 64 much has been spent to date, and overall timeline. The Committee asked clairifying questions on 65 the scope of the project. Ms. Thake provided responses. 66 Next, Ms. Thake provided an overview of different financing options for the project, including a 67 combination of bond proceeds, fund balance, and a donation campaign. Village President Kaz 68 provided additional details on what has been prioritized for this phase of the work, ensuring that 69 additional items can be completed later once additional funding has been identified. Ms. Thake 70 confirmed the recommendation is to proceed with this phase of construction now to avoid delays 71 and potential cost increases. The Committee discussed, and agreed its best to avoid delaying, and 72 phasing the project, so we can complete a portion now, and come back later. 73 BUSINESS FROM THE PUBLIC 74 Chair Gottschall asked if any members of the public had any questions. With no member of the 75 public posing questions, Chair Gottschall called the next item on the agenda. 76 77 78 79 80 81 82 DRAFT 3 Village of Kenilworth Finance Committee 3 August 14, 2025 C. ADJOURN 83 84 Chair Gottschall asked if there was any further business to discuss. Hearing none, he stated that he 85 would entertain a motion to adjourn the meeting. Trustee Vitu made a motion to adjourn the 86 meeting. Trustee Ransford seconded the motion. 87 88 A roll call vote was taken as follows: 89 90 For: Gottschall, Ransford, Vitu 91 92 Opposed: None 93 94 The roll call tally was three votes in favor, and none opposed. Chair Gottschall declared the 95 meeting adjourned at 4:24 P.M. 96 Respectfully Submitted, 97 98 Jordan Schmidt 99 Management Analyst 100 DRAFT 4 Request for Committee Action Agenda Item: III.A Staff Contact: Katarzyna Thake, Village Manager Subject: Presentation and Consideration of a Resolution Authorizing the Village Manager to Execute a Right -of-Way License Agreement with Ezee Fiber Texas, LLC, of Houston, Texas for Residential Fiber Installation Summary: The agenda item is a request for consideration of a right-of-way license agreement for locating residential fiber networks within the Village’s right -of-way. The residential fiber networks would provide alternative fiber service options for st reaming and internet services for Kenilworth residents. Background of Matter: Overview The Village has been contacted by one fiber company seeking the opportunity to install fiber - optic networks within the Village’s right of way. The fiber company (Ezee Fiber) installs residential fiber networks, which aim to provide alternative fiber service options for st reaming and internet services for Kenilworth residents. Kenilworth is not the only municipality that has been approached by a fiber installer. The region has become a key target for these new business ventures, driven by a "race to the finish" mentality. Essentially, whichever fiber company secures permitting first within a jurisdiction often becomes the primary fiber provider for that municipality. Our region has become a key target for these new business ventures, with large capital investments funding these buildouts. To date, several North Shore communities have approved license agreements such as Northfield and Glencoe. Fiber installation would involve the placement of fiber -optic conduit and access points such as handholes and manholes, within the public right -of-way. While this type of construction is generally less disruptive than, for example, a water main installation, it will still have noticeable impacts on residents. To ensure the Village standards are met, staff have been working with the Village Attorney to develop a licensing agreement. A license agreement will ensure the protection of existing utilities within the right -of-way and help mitigate construction impacts on residents. These standards include separation requirements, performance bonds or deposits before construction, submission of utility as -builts, and minimum response times if an existing utility is affected by fiber installation activities. Considered By: Date: Finance Committee 04/30/26 Village of 5 Installation of Private Telecommunications Utilities in Public Rights-of-Way If a fiber provider is certified by the Illinois Commerce Commission (ICC) to provide telecommunications services, the Village must allow the provider to use the Village’s rights -of- way on equal terms with other certified providers. Most of the companies interested in operating in the Village are registered telecommunications retailers in Illinois, but do not have a statewide franchise agreement. Ezee Fiber Texas LLC of Houston, Texas, is a registered telecommunications retailer. As such, they are required to comply with all street excavation and tunneling regulations outlined in Chapter 56 and Chapter 150 of the Village Code. This includes applying for and obtaining permits, paying applicable fees, and adhering to the Village’s construction and restoration standards. The Village Engineer will review all permit applications, and no construction will be allowed to begin until the permits are issued. Per the Village’s Telecommunications Tax outlined in Title III. Administration of Chapter 35 Taxation, § 35.22 , telecommunications providers must file returns and remit payments directly to the State Department of Revenue. This Telecommunications Tax is statutorily defined as the sole ongoing charge that municipalities are permitted to assess against telecom retailers. Once operational, a fiber provider will generate revenue for the Village through the Simplified Municipal Telecommunications Tax. Projecting total revenue is difficult at this time, as the number of potential subscribers is unknown. License Agreement Ezee Fiber has agreed to all terms set forth by the Village and has developed several Exhibits to support the final agreement. As a part of the agreement, Ezee Fiber has agreed to: • Provide free service to all public and municipal facilities identified in Exhibit E; and • Supplemental restoration and utility protection requirements; and • Reimburse the Village for all costs associated with a third -party inspector to ensure the project remains compliant; and • License fee of $10,000; and • Initial term of five years, with a successive five-year renewal. The approved ROW locations, outlined in Exhibit A, plan two phases to install approximately 68,000 lineal feet of fiber . Construction is currently estimated to take three months with a guaranteed completion within six months. Financial Impact: This item will not impact the budget on the expense side, however it will provide the Village additional revenue from the license agreement fee and telecommunication tax revenue. Recommendation: The Village Manager recommends that the Committee make a recommendation to the Village Board to consider the Village Manager to Execute a Right-of-Way License Agreement with Ezee Fiber Texas, LLC, of Houston, Texas for Residential Fiber Installation. Attachment: • Proposed Resolution • License Agreement 6 VILLAGE OF KENILWORTH RESOLUTION NO. 2026-__ RESOLUTION APPROVING AND AUTHORIZING THE EXECUTION OF A PUBLIC RIGHT-OF-WAY USE LICENSE AGREEMENT BETWEEN THE VILLAGE OF KENILWORTH AND EZEE FIBER TEXAS, LLC FOR INSTALLATION OF FIBER- OPTIC COMMUNICATION FACILITIES WHEREAS, the Village of Kenilworth ("Village") is a non-home rule municipality located in Cook County, Illinois; and WHEREAS, the Village owns and maintains public rights-of-way throughout the Village for the benefit of its residents and property owners; and WHEREAS, the Village maintains standards for construction of utility facilities within its public rights-of-way, which are set forth in Village’s Rights-of-Way (“ROW”) Construction Regulations, as outlined in Chapter 56: Construction of Utility Facilities in the Rights-of-Way and § 150.139 Public Rights-of-Way, and all applicable code sections of the Code of the Village of Kenilworth, Illinois, as the same may from time to time be amended (“ROW Construction Regulations”); and WHEREAS, Ezee Fiber Texas, LLC (“Licensee”) has requested that the Village grant it permits to commence construction, installation, operation, maintenance, and replacement of fiber optic telecommunications cables and appurtenant equipment (collectively, the “Fiber Facilities”) both underground and above ground only on existing utility poles within portions of the Village’s public rights-of-way; and WHEREAS, the Licensee, which has been certified by the Illinois Commerce Commission as a Local Exchange Carrier (LEC), is not delivering, and does not intend to deliver, cable television services, but rather intends to provide fiber optic telecommunications services to residents and property owners in the Village; and WHEREAS, in consideration of, and subject to, the terms of the Public Right-of- Way License Agreement attached to this resolution as Exhibit A (“Master License Agreement”), the Village is willing to allow the Licensee to construct, install, operate, maintain, and replace its Fiber Facilities within certain of the Village’s public rights-of- way identified; and WHEREAS, the Village has determined that it is useful to the Village and its residents to grant a license to the Licensee as provided by the Agreement for the purpose of memorializing the Licensee’s rights and obligations with regard to the installation, operation, maintenance, and repair of the Fiber Facilities; and WHEREAS, the President and Board of Trustees have considered the Agreement and determined that it is in the best interests of the Village and its residents to enter into the Agreement with the Licensee; 7 NOW, THEREFORE BE IT RESOLVED BY the President and Board of Trustees of the Village of Kenilworth, Cook County, Illinois, as follows: SECTION 1: RECITALS. The foregoing recitals are incorporated in, and made a part of, this Resolution by this reference as findings of the Village Board of Trustees of the Village of Kenilworth. SECTION 2: APPROVAL. The Agreement shall be, and is hereby, approved in substantially the form attached to this Resolution as Exhibit A. SECTION 3: AUTHORIZATION. The Village Manager and Village Clerk shall be, and are hereby authorized and directed to execute and seal, on behalf of the Village, the Agreement only after receipt by the Village Clerk of at least two original copies of the Agreement executed by the Licensee; provided, however, that if such copies of the Agreement are not received by the Village Clerk within 60 days after the date of adoption of this Resolution, then this authority to execute and seal shall, at the option of the President and Board of Trustees, be null and void with regard to the pertinent contract. SECTION 4: EFFECTIVE DATE. This resolution shall be in full force and effect from and after its passage and approval in the manner provided by law. Passed this ___ day of ______, 2026. AYES: NAYS: ABSENT: ABSTAIN: Approved this ____ day of _______, 2026. Cecily Kaz Village President Attest: Michael Gagnon Village Clerk 8 EXHIBIT A MASTER LICENSE AGREEMENT 9 10 11 12 13 14 15 16 17 18 19 1 EXHIBIT A APPROVED ROW LOCATIONS [attached]  All phasing of the work shall be prescribed in the application for permit, typical sequencing shall be west to east.  All work shall not interfere with the Village of K enilworth infrastructure projects, any coordination shall be discussed between the parties prior to any work commencing.  Red lines: This represents fiber deployment path.  Black line: The railroad tracks will separate the 2 phases.  Purple & Black line: This represents the core route. 20 2 EXHIBIT B SUPPLEMENTAL REQUIREMENTS FOR RIGHTS-OF-WAY FIBER INSTALLATIONS The following requirements are supplemental to, and shall be read in concert with, the requirements of the Village’s Rights-of-Way (“ROW”) Construction Regulations, as outlined in Chapter 56: Construction of Utility Facilities in the Rights-of-Way and § 150.139 Public Rights- of-Way, and all applicable code sections. In the ev ent of a conflict between the ROW Construction Regulations and these Supplemental Req uirements, the requirement that is stricter or more protective of the Village governs. Level of Service for Customers and Municipal Facilities  Public Facilities: Licensee will provide fiber ser vice to those publicly-owned facilities, including both buildings and utility infrastructure, listed in Exhibit E free of charge under following conditions:  No connection/installation fees may be charged.  No monthly service fees may be charged.  No equipment sale/lease fees may be charged.  No service cancellation fees may be charged.  Licensee must install all required publicly-owned facilities in the first 50% of its phased Installation unless otherwise approved by th e Village Engineer and shall prioritize the inclusion of specifically designated facilities in the first phase of installation.  Residential or Business Customers: Licensee will p rovide fiber service to residential and business customers within the Village under the following conditions:  No connection/installation fees may be charged.  No equipment sale/lease fees may be charged.  Monthly fiber services charges for residential or business customers must remain fixed for five years if the customer does not elect to change level of service.  Most favored nation pricing – Licensee must offer all customers lowest service pricing it offers within the State.  No service cancellation fees may be charged. Non-compliance with the above level of service requirements for residential or business customers is grounds for termination of the License pursuant to Section 6 of this Agreement. The Licensee’s Local Representative will be responsible for managing communications with residential and business custom ers. Licensee will be required to provide the Village with an annual report confirmin g number of customers served in Village and verifying levels of service provided. T he Licensee must track and report customer complaints and Licensee’s responses to the Village. 21 3 Permit Application Requirements and Time Limits  Minimum and Maximum Service Connections Per ROW Co nstruction Permit:  No ROW construction permit may be issued to Licens ee unless the installation covered by the permit will support a minimum of 250 service connections to residences or commercial units.  No ROW construction permit may be issued to the Li censee if the installation covered by the permit will support more than 520 se rvice connections to residences or commercial units unless approved in a dvance by the Village’s representative. Exceptions will be made for instal lations that provide connection to multi-family buildings or multi-tenant commercial buildings.  Based on the Licensee’s proposed number of service connections, the Installation will occur in two phases. The Licensee may coordina te with Village staff if alternative phasing is necessary.  Time Limit on Permit Validity: No ROW construction permit will remain open beyond the time limits set forth below:  If work has not commenced on the Installation with in 90 days after the date of permit issuance, the permit will be cancelled and a new permit application and fee for installation in same location will be required.  If the Installation has commenced but not been com pleted within 180 days after the date of permit issuance, the permit will be can celled, all ongoing work will cease, and the Village will be authorized to commen ce site restoration, including reimbursement of its costs from the restoration deposit.  Public Facilities: Licensee shall contact J.U.L.I. E. to ascertain the presence and location of existing publicly-owned facilities within the RO Ws identified for Installation, and shall identify all publicly-owned facilities that are loc ated within the construction area for a particular phase of Installation when submitting ROW construction permit applications to the Village. Licensee shall not obstruct or interfere in any manner with the ROWs, existing utility easements, private rights-of-way, sanitary sewers, sewer laterals, water mains, storm drains, gas mains, poles, aerial and other ex isting telecommunication facilities without the express written approval of the Village or other owners of affected property.  Security Fund: A Security Fund serving as a resto ration deposit for permit or phase will be required to be provided to the Village as a prec ondition of the issuance of a ROW construction permit. The base deposit to the Security Fund will be $100,000 for the first 100 connections plus $100 for each additional lineal foot of fiber installation beyond the first 100 connections. The security fund may be made in the form of a cash deposit or a letter of credit in a form acceptable to the Villag e. The Security Fund will be returned to the Licensee upon completion of installation, restoration, inspection and approval of the restored ROW and closing out of the permit by the Village.  Reimbursement of Municipal Third-Party Costs: Lice nsee will reimburse the Village for any third-party consultants it requires to inspect permit applications, plans, or work sites for compliance with the ROW Construction Regulation s and these supplemental requirements. The Village will provide Licensee wit h an estimate of expected costs for third-party consultants upon issuance of a permit b ased on the scope of work and consultants’ hourly rates, barring any unforeseen conditions. All reimbursement for third- party costs must be provided to the Village prior to permit close-out. 22 4 Supplemental Construction and Restoration Requirements  Notices to Impacted Property Owners: Licensee will provide written notices in a form approved by the Village, via both mailed notice and door hanger or physically posted letter, to notify private property owners of the ROW permit application and anticipated dates and scope of installation activities that will impact their properties. Such notices will be sent out and posted prior to permit approval. All notices must provide property owners with email and telephone contact information for both the Licensee’s Local Representative and the installation contractor. No less than 30 days prior to the commencement of work, the Licensee shall provide written notices in the form described above to impacted private property owners. Furthermore, the Licensee agrees to hold a Town Hall meeting with impacted property owners to further inform them on the work being performed.  Resident Access: Licensee must ensure that propert y owners can access their driveways at all times during construction. Lane closures of Village streets are prohibited.  Location of Fiber Facilities: All installation of the Fiber Facilities must be made in existing easements on either (i) private property (e.g. in b ack yards) where easements are available or (ii) within public rights-of-way. The Licensee must provide the Village with proof of existing easements used for installations. Where possible, Fiber Facilities should be installed to run parallel and same general location to other fiber/cable installations to keep “like with like.”  Marking. Prior to and during any installation or r elocation of any underground cables or utility lines, Licensee shall contact J.U.L.I.E. to ascertain the presence and location of existing aboveground and underground facilities wit hin the ROWs to be occupied by Licensee’s Facilities and install route markers in accordance with the Illinois Underground Facilities Damage Prevention Act (220 ILCS 50/1, et seq.) The Village shall have no obligation to mark the location of Licensee’s Facil ities. Licensee agrees that it will become a member of J.U.L.I.E. as a requirement of the License Agreement and that such a system is designed to alert Licensee to planned w ork in the rights-of-way, so that Licensee can mark the location of its facilities to avoid damage. The Village shall have no obligation to alert Licensee to proposed work by itself or others, other than as a participating member of the J.U.L.I.E. system.  Public Safety. The Licensee or other person acting on its behalf, at its own expense, shall use suitable barricades, flags, flagmen, lights, flares and other measures as required for the safety of the general public and to prevent inj ury or damage to any person, vehicle or property by reason of any work affecting the ROWs or other property. If the Village, in its reasonable discretion, determines that a partic ular use of the ROWs by Licensee is, or will be, hazardous to the public or property, Li censee, upon written notice from the Village, shall install commercially reasonable safe ty devices or make commercially reasonable modifications at Licensee’s sole expense to render the ROWs safe for public use. In the event Licensee fails to install such sa fety devices or make required modifications within twenty-four (24) hours of writ ten notice from the Village, or, if such modifications cannot be completed expeditiously, th e Village may install such safety devices. In the event the Village installs such safety devices, the Licensee agrees to pay the actual costs of such improvements upon written demand, or the Village may terminate the License Agreement, and the Licensee waives all rights and claims of any kind against the Village arising out of the License Agreement and its termination. 23 5  Separation from Village Utility Facilities: In al l instances Fiber Facilities must be installed with the following minimum separations from existing Village utilities:  18-inch vertical separation  5-foot horizontal separation In the event that sufficient ROW is not available to accommodate the minimum required separation, Licensee will work with Village Enginee r to determine alternate routes or installation options. Village Engineer may grant Li censee approval to install Fiber Facilities under public sidewalks.  Tree Survey: Licensee must provide or pay for an a rborist report regarding impact on trees in ROW that may be affected by construction and perform recommended protection methods for those trees.  Environmental Requirements: Licensee shall not alt er or impede water flowage, apply chemicals or disturb the topography of the ROWs in any manner without prior written approval of the Village. Licensee will take all rea sonable steps to assure that Licensee will not release any regulated material in violation of any Federal or State environmental law on or within the ROWs. Licensee, at its sole co st and expense, shall remediate, remove, clean up or abate in accordance with Federa l or State law, or the directives of the appropriate oversight agency, a release of a re gulated material in violation of a Federal or State law occurring on the ROWs, to the extent such a release was caused by Licensee.  Local Representative: Licensee will designate an e mployee or agent of the Licensee who is able to be on-site at an installation location within 24 hours’ time to address and resolve issues.  Pre-Dig Meetings: Licensee’s Local Representative and its installation contractor must participate in pre-dig meetings with the municipality’s designated representative.  Pothole of Impacted Municipal Utilities: Before an y installation of the Fiber Facilities; when crossing a sanitary lateral service and main, storm sewer main, and water service, the Licensee must pothole existing municipal utilit y. The Licensee must retain and hold the photo of impacted utility, and provide it to the Village upon request.  Directional Boring or Jacking Required: All insta llations of Fiber Facilities must be conducted through directional boring or jacking rather than open trench installation. With the exception of any J.U.L.I.E. locates, Licensee s hall not disturb any pavement for the installation, operation, maintenance or removal of its Facilities. All movement and storage of equipment and materials shall be confined to the area designated by the Village. All surplus excavated material shall be removed from th e ROWs and disposed of in accordance with any applicable laws or regulations. All tree stumps, and other debris resulting from construction operations shall be removed from the ROWs.  Permitted Work Hours: All installation activities may only be conducted during the Village’s permitted construction hours. Permitted w ork hours for construction in the 24 6 Village are 7:00 a.m. to 6:00 p.m. Monday-Friday, a nd 9:00 a.m. to 5:00 p.m. on Saturday. No construction is permitted on Sundays or holidays.  Conduits: The Licensee must label each conduit it installs, with clear indication of Licensee’s ownership of conduit, per Village’s direction. Weekly Updates: Licensee will provide both Village and its third-party consultants with weekly work updates which any installation is being conducted. Such updates will include lists of areas where facilities will be installed, all dig locations, and all areas being restored.  Restoration Requirements:  Service connection to individual users must be bur ied within seven days.  Restoration must be completed within ten business days after installation of Fiber Facilities on a block (from intersecting/ intercept ing street to intersecting/ intercepting street) is completed.  Restoration to the ROW following installation must be completed in accordance with Rights of Way Construction Regulations , and Construction Management Regulations as defined in Chapter 150.135 through 150.143 of the Kenilworth Municipal Code.  Turf grass must be replaced with sod unless otherw ise approved by Village staff. Pavement patching must be made in 3 foot by 3 foot minimum section and if two patches are located within five feet of each other they must be combined into one larger patch. If three or more patches are required to cross a roadway at a perpendicular angle, a minimum of four-foot-wide co ntinuous strip across the roadway must be resurfaced.  All removed or damaged landscaping must be replace d in-kind. All landscape plantings must be approved by Village staff. Removed or damaged irrigation or sprinkler systems must be replaced by a contractor licensed to conduct irrigation installation and repair. All coordination must be directly between the Licensee and property owner.  In the event the Licensee fails to perform require d restoration within the time required by the Village, the Village may complete t he restoration activity, and the Licensee shall be liable to the Village for all costs regarding same. The Village may either demand payment from the Licensee, who agrees to pay the reasonable costs of such restoration upon written demand and receipt by the Licensee of all invoices and documentation supporting the actual costs incurred by the Village, or demand payment from the security posted by the Licensee, w hich payment must be received by the Village within thirty (30) days of demand and receipt by the Licensee of all invoices and documentation supporting the ac tual costs incurred by the Village. 25 EXHIBIT C FIBER FACILITY SPECIFICATIONS a) No proposed cabinets will be in Kenilworth b) The Facilities hall be limited to underground conduit and fiber optic telecommunications cable where existing similar utilities are underground, provided however, Licensee shall have the option of installing aerial fiber optic telecommunications cable where existing similar utilities are located aerially, and related equipment and facilities only. c) All core routes will have cable vaults that are typically dimensioned as 24”x36”x36” or smaller for splice closures and cable slack. These are typically placed where multiple cables meet and disperse or break up long runs. d) Routes along residential streets for distributio n are typically a 1.25” HDPE duct and or a .75” HDPE duct and one micro 48ct fiber cable that branches out to single fiber cables to connect each house. e) Drop cables are typically accessible by 10” roun d boxes buried at every other property line, servicing two locations (insert photo). 26 27 28 EXHIBIT E PUBLIC FACILITIES Facilities are listed in order of priority for service connection. Facilities designated as “PRIORITY” will be included in the first phase of installation. Village of Kenilworth Facilities  Village Hall / Police Department – 419 Richmond Ro ad, Kenilworth IL 60043 - PRIORITY  Village Public Works – 347 Ivy Court Kenilworth IL 60043 - PRIORITY  Village Former Water Plant / Beach – 1 Kenilworth Avenue, Kenilworth IL 60043 - PRIORITY  Metra Kenilworth Train Station – 400 Richmond Road , Kenilworth IL 60043  Booster Station – 502 Kenilworth Avenue, Kenilwort h IL 60043  PRV Station – Intersection of Abbotsford and Ivy C ourt, Kenilworth IL 60043  Water Tower – 560 Exmoor, Kenilworth IL 60043  Mahoney Park East / West – 100 Sheridan Road, Keni lworth IL 60043 Kenilworth Park District Facilities  Assembly Hall – 410 Kenilworth Avenue, Kenilworth IL 60043  Village House – 600 Ivy Court, Kenilworth IL 60043 School District 38  The Joseph Sears School – 542 Abbotsford Road, Ken ilworth IL 60043 29 Request for Committee Action Agenda Item: III.B Staff Contact: Jordan Schmidt, Administration Heather McFarland, Administration Subject: Discussion and Recommendation Concerning the Approval of an Agreement with NewGen Strategies & Solutions in the Amount of $24,000 to Complete a Water & Sewer Rate Study Summary: As part of the FY2026 Budget, the Village Board identified the completion of a comprehensive water and sewer rate study as a budget initiative. In March 2026, staff released a Request for Proposals (RFP) to solicit interested firms and received four proposals. After review, staff recommend an agreement be approved with NewGen Strategies & Solutions in the amount of $24,000. The Finance Committee will consider the proposal and provide a formal recommendation to the Village Board. Background of Matter: In preparation for the FY2026 budget, staff recommended the inclusion of a water and sewer rate study. The last time the Village updated its water and sewer rates was 2016. Water rates are the main source of revenue for the water fund, which is the main source of funding for water-related infrastructure projects (e.g. water main replacements). With several significant water related infrastructure projects expected in the next 10 years, including continued water main replacements, lead service line replacements, and water meter replacements, a professional analysis of water and sewer rates is needed to ensure the water and sewer funds can adequately support themselves. On an annual basis, Village staff completes an analysis of the Village fee schedule, comparing it to our neighbors to ensure we are in line with industry standards. While staff is able to compare the Village water rates to our neighbors, a professional analysis will consider additional factors beyond staff's analysis. The goal of having a professional analysis completed is to ensure any proposed rate changes are done so transparently, equitably, and that the Village can support the continued operation and maintenance of the Village water system. Proposals to complete the study were requested through a formal RFP process. The study will target the following objectives: • Cost recovery in operating and capital budgets • Rate structure or fee recommendations to facilitate capital infrastructure investment which incorporates the following: o Replacement of lead service lines in accordance with the specified timelines of Federal and State Legislation. o Completion of an identified 10-year Capital Improvement Plan for Water Mains. o Replacement of all water meters in the Village. o Water and Sewer Fund adherence to the Village Fund Balance Policy (Four months of operating expenses Considered By: Date: Finance Committee 04/30/26 Village of 30 To accomplish these goals, the selected firm will prepare a 10-year forecast of revenues, operation and maintenance expenses and capital improvements, and develop three recommended rate structures for the Village to consider. The firm will also meet with the Finance Committee throughout the process to ensure the study aligns with the Village’s desired path. A final report will be presented to the Village Board for consideration. Upon completion of the study, the model will be provided to the Village, which will allow staff to review rates on an annual basis. On March 18, 2026, the Village released the RFP. Four proposals to complete the water and sewer rate study were received: Firm Price NewGen Strategies & Solutions $ 24,000 1898 (Burns & McDonnell) $ 55,100 Baxter & Woodman $ 46,172 HMG Engineers $ 24,900 Proposals were evaluated based on their technical approach, experience, staff capabilities, specialized expertise, and interview. Based on these factors, NewGen Strategies & Solutions (NewGen) was selected as the preferred consultant to move forward with for the study. NewGen has recently completed water and sewer rate studies for Northbrook, Libertyville, Glen Ellyn, and Lombard. Positive recommendations were received from representatives of each community. Given these factors, staff are confident that NewGen will produce a thoughtful report and recommendation for the Village to consider. Policy: Village Board approval is required to engage in non-emergency agreements in excess of $20,000. Additionally, the Village Purchasing Manual guides the process for the purchase of materials in excess of $20,000. The practice of the Village is to solicit proposals for professional services in a like manner. Financial Impact: The Village budgeted $25,000 for the water and sewer rate study. The proposal from NewGen is estimated at $24,000. Total Contract Amount $24,000 Budget Amount (FY26) $25,000 Variance: $1,000 under budget GL Number: Water Fund: 35-100-5092 Recommendation: Staff recommends that the Finance Committee consider approval of the agreement with NewGen Strategies & Solutions in the amount of $24,000 to the Village Board. Attachment: Proposal 31 VILLAGE OF KENILWORTH RFP WATER AND SEWER RATE STUDY APRIL 14, 2026 Submitted by: © 2026 NEWGEN STRATEGIES AND SOLUTIONS, LLC 32 33 Economics | Strategy | Stakeholders | Sustainability www.newgenstrategies.net 225 Union Boulevard, Suite 450 Lakewood, CO 80228 Phone: (720) 633-9514 Fax: (720) 633-9535 April 14, 2026 Ms. Katarzyna Thake Village Manager Village of Kenilworth 419 Richmond Road Kenilworth, IL 60043 Subject: RFP: Water and Sewer Rate Study Dear Ms. Thake: The Village of Kenilworth operates a water and sewer system that reflects the community's longstanding commitment to high-quality infrastructure and responsible stewardship of public resources. As the Village looks ahead to significant capital investment, including lead service line replacement in compliance with federal and state requirements, a 10-year water main Capital Improvement Plan, and a full water meter replacement program, it is essential that water and sewer rates be structured to sustain these investments while maintaining the financial integrity of the utility funds. NewGen Strategies and Solutions, LLC (NewGen) is pleased to submit this proposal to assist the Village in developing a defensible, forward - looking rate structure that meets these objectives. NewGen specializes exclusively in utility cost of service, rate design, and financial planning for public sector utilities, and we bring unparalleled experience working with Illinois communities. In recent years, we have completed rate studies for communit ies including Oak Park, Glen Ellyn, Lombard, Niles, Northbrook, Libertyville, Orland Park, Addison, and Galesburg, among many others. Kenilworth purchases water from the Village of Wilmette under an intergovernmental agreement, an arrangement similar to the purchased water relationships we have navigated for numerous Illinois clients. We understand the cost structure, rate-setting considerations, and financial planning challenges unique to communities that rely on wholesale water suppliers, and we know how to develop rates that clearly and equitably recover those costs. Our proposal directly addresses the Village's stated objectives. We will develop a 10-year financial forecast and cash flow analysis that evaluates operating and capital funding needs, tests the sufficiency of current rates, and models alternative funding strategies including pay-as-you-go and debt financing options such as IEPA loans and municipal debt. We will deliver at least three rate structure alternatives developed on a cost-of-service basis, with a clear recommendation identifying the approach that best balances revenue adequacy, ratepayer impact, and long-term financial sustainability. Each alternative will be benchmarked against comparable Illinois communities to ensure the Village understands where its rates stand relative to regional peers. We also recognize that the Village's fund balance policy, which requires a minimum of four months of operating expenses, will serve as a critical constraint in our financial modeling. Our forecasts will explicitly track fund balance trajectories against this target under each rate scenario, giving the Village Board clear and transparent visibility into whether and when the utility funds would fall below policy thresholds without rate adjustments. This approach ensures that rate recommendations are grounded in the Village's own financial policies, not generic assumptions. 34 Village of Kenilworth April 14, 2026 Economics | Strategy | Stakeholders | Sustainability www.newgenstrategies.net As a Partner at NewGen, I am authorized to contractually bind the firm. I am also the proposed Project Manager and will serve as the primary point of contact related to this project. My contact information is provided below: Project Manager/Authorized Agent Eric Callocchia 900 Bestgate Road, Suite 402, Annapolis, MD 21401 443-951-4207 | ecallocchia@newgenstrategies.net We look forward to working with you on this important and interesting study. Sincerely, NewGen Strategies and Solutions, LLC Eric Callocchia Partner 35 VILLAGE OF KENILWORTH RFP WATER AND SEWER RATE STUDY Table of Contents FIRM EXPERIENCE ........................................................................................................................... 1 Illinois Rate Study Experience ................................................................................................................... 1 Project Summaries .................................................................................................................................... 2 Village of Niles, IL – Lead Service Line Replacement Funding Scenarios Study (2024) ......................... 3 Village of Northbrook, IL – Water And Sewer Rate Study (2023, 2025) ............................................... 3 Village of Libertyville, IL - Water and Sewer Rate Study (2015, 2019, 2024) ....................................... 4 Village of Glen Ellyn, IL – Water And Sewer Rate Study (2023, 2024) .................................................. 5 Village of Lombard, IL – Water and Sewer Rate Study (2020, 2024) .................................................... 6 KEY PROJECT PERSONNEL ............................................................................................................... 7 PROJECT UNDERSTANDING ............................................................................................................ 9 PROJECT APPROACH ..................................................................................................................... 11 Task 1 – Project Initiation and Data Review ........................................................................................... 11 Task 2 – Develop Ten-Year Financial Forecast ........................................................................................ 12 Task 3 – Evaluate Current Rates and Revenue Recovery ........................................................................ 12 Task 4 – Develop Rate Structure Alternatives ........................................................................................ 13 Task 5 – Draft Report and Presentation .................................................................................................. 13 Task 6 – Final Report and Presentation .................................................................................................. 14 QUALITY ASSURANCE / QUALITY CONTROL ................................................................................. 15 PROPOSED SCHEDULE / TIMELINE ................................................................................................ 16 FEE PROPOSAL .............................................................................................................................. 17 APPENDIX A – RESUMES © 2026 NEWGEN STRATEGIES AND SOLUTIONS, LLC 36 37 VILLAGE OF KENILWORTH RFP WATER AND SEWER RATE STUDY Thoughtful Decision Making for Uncertain Times 1 FIRM EXPERIENCE NewGen Strategies and Solutions, LLC (NewGen) is a management and economic consulting firm that specializes in serving the utility industry. Established as a Limited Liability Corporation (LLC) in August 2012, NewGen primarily serves public sector utilitie s and provides nationally recognized expertise in load forecasting, utility cost of service (COS) and rate design studies, financial feasibility studies, municipalization and privatization efforts, depreciation and appraisal studies, litigation support for state and federal regulatory proceedings, utility financial planning, and stakeholder engagement for water, wastewater, solid waste, electric, and natural gas utilities. Illinois Rate Study Experience NewGen has completed hundreds of projects for utilities ranging from small towns to major metropolitan systems. Our clients span more than 30 states and include municipal electric utilities and public power agencies, water and wastewater utilities, solid w aste and environmental services departments, water conservancy and special districts, and regional authorities/joint powers agencies. In Illinois, NewGen has completed numerous rate studies and financial analyses for communities including Lombard, Glen Ellyn, Niles, Orland Park, Northbrook, Galesburg, Addison, Geneva, Libertyville, Lindenhurst, Fox Metro Water Reclamation District, Urban a-Champaign Sanitary District, and Bloomington-Normal Water Reclamation District, among many others. Similar depth of experience exists in Texas, California, Colorado, Nevada, and throughout the country. This breadth of experience allows us to bring proven best practices while tailoring recommendations to each client’s legal framework, governance structure, and community expectations. The map on the following page shows the Illinois clients for whom NewGen has completed work. 38 VILLAGE OF KENILWORTH RFP WATER AND SEWER RATE STUDY 2 Thoughtful Decision Making for Uncertain Times Illinois Experience Project Summaries A selection of NewGen’s recent project work is below, including reference information and key team members for each engagement. We pride ourselves on the relationships we’ve built with our clients and we encourage the Village to contact these references to find out more about the quality of our work. 39 VILLAGE OF KENILWORTH RFP WATER AND SEWER RATE STUDY Thoughtful Decision Making for Uncertain Times 3 Village of Niles, IL – Lead Service Line Replacement Funding Scenarios Study (2024) Contact: Kent Oliven, CPA, CGMA, CPFO, CIMT, CPFA | Finance Director & Treasurer | 847.588.8000 | kno@vniles.com Project Manager: Callocchia Key Team Members: Oates, Robinson Design Fee: $65,690 Completed on Time: Ongoing The Village of Niles purchases drinking water from the City of Evanston through the Morton Grove -Niles Water Commission. The Village’s water supply division oversees a 10,200,000 gallon water reservoir at Touhy Avenue located just west of Milwaukee Avenue, one overhead storage tank whose capacity is 250,000 gallons, and a 1,000,000 gallon stand tank located within the Four Flags Shopping Center. The Public Works water division is also responsible for maintenance of fire hydrants, water main valves, and water mains. This division also maintains the water service from the Village's water main to the buffalo boxes. The Village engaged NewGen to perform a study to evaluate the various ways in which the Village could finance the mandated replacement of its approximately 3,500 lead service lines. NewGen developed a financial model that had the capability to run several scenarios at once, allowing the Village to quickly evaluate each alternative. NewGen’s study included recommendations on lead service line replacement funding, rates and rate structures, and financial policies related to water and sewer fund balances and debt coverage. Village of Northbrook, IL – Water And Sewer Rate Study (2023, 2025) Contact: Matthew Morrison | Deputy Public Works Director | 847.664.4111 | matt.morrison@northbrook.il.us Project Manager: Callocchia Key Team Members: Oates, Robinson Design Fee: $48,460 Completed on Time: Yes The Village of Northbrook is an established home rule community located in Cook County, Illinois, approximately 25 miles north of downtown Chicago. The Village, which covers 13 square miles, is home to about 35,000 residents. The Village operates three uti lities including a water utility, sanitary sewer utility, and stormwater utility. The Village’s water utility draws water from Lake Michigan through the Village’s own intakes, pumping this raw water to the Village’s treatment facility. The Village provides retail water service to customers within the Village limits and wholesale water service to the Mission Brook Sanitary District and the Village of Riverwoods. The Village’s sanitary sewer utility is a collection system that feeds into the trunk line sewers of the Metropolitan Water Reclamation District of Greater Chicago (MWRD) that treats the wastewater. The Village engaged NewGen to complete a Water and Sewer Rate and Fee Study. The goal of the study was to work with the Village Managers Office, Finance, and Public Works Department to conduct a comprehensive water and sanitary sewer rate and fee study to develop 40 VILLAGE OF KENILWORTH RFP WATER AND SEWER RATE STUDY 4 Thoughtful Decision Making for Uncertain Times a fair, equitable, and sustainable rate structure for the long -term fiscal health and maintenance of the Village’s water and sanitary sewer utilities. NewGen developed a dynamic financial model to facilitate the calculation of several rate alternatives focusing on the increase of fixed fee revenue. The Village’s rate structure at the time of the study comprised only a variable per kgal rate with a 6,000 gallon quarterly minimum charge. NewGen developed several rate alternatives that included fixed fees based on AWWA standard methodologies that allowed the Village to generate fixed revenue to support ongoing capital replacements programs. Village of Libertyville, IL - Water and Sewer Rate Study (2015, 2019, 2024) Contact: Denise Joseph | Finance Director | 847.918.2102 | djoseph@libertyville.com Project Manager: Callocchia Key Team Members: Oates, Robinson Design Fee: $47,800 (most recent update) Completed on Time: Yes Libertyville, an affluent suburban community with an area of approximately nine square miles, is about seven miles inland from Lake Michigan on the Des Plaines River; the City of Chicago lies about thirty -five miles south of the Village. The Village’s wate r system consists of about 127 miles of distribution system; Libertyville purchases potable water from the Central Lake County Joint Action Water Agency (CLCJAWA). There are about 7,000 customer accounts in the Village’s water system. Total water pumped in 2014 was about 908 million gallons; the average daily water use was about 2.5 million gallons (MGD). The sewer system consists of about 95 miles of sanitary sewer collection lines plus treatment facilities. There are about the same number of miles of storm sewers as sanitary sewers in the community. NewGen was engaged by the Village in 2015 to complete a water and sewer rate study. The Village was facing major capital improvement costs related to upgrading its sewer treatment facility. NewGen was tasked with determining the proper funding plan that wo uld allow the Village to maintain the financial health of its utility fund. Assignments and tasks completed for this project included: ▪ Development of formal cost of service/rate models for the Village (both water and sewer) ▪ Development of alternative rate structures for both water and sewer service ▪ Development of formal policies by the Board dealing with the establishment of reserves and the target balances for such reserves The proposed alternative rate structure, which included 5% revenue increases for water and a 37% increase in sewer revenues was recommended for adoption by the Village Board. The Village Board unanimously approved the recommended rates and rate structure. In 2019, NewGen was engaged by the Village to update the cost and revenue projections adopted as a part of the original study. NewGen completed its update in May 2019 and recommended no change in the projected water rate increases and a slight increase in the necessary sewer rate increases due to the increased cost of the Village's mandatory wastewater treatment plant upgrades. 41 VILLAGE OF KENILWORTH RFP WATER AND SEWER RATE STUDY Thoughtful Decision Making for Uncertain Times 5 The Village engaged NewGen again in 2024 to complete another water and sewer rate study with the same general objectives as the original study. NewGen’s 2024 study included funding for over $73 million in capital projects in a five-year period. Village of Glen Ellyn, IL – Water And Sewer Rate Study (2023, 2024) Contact: John Hubsky | Assistant Public Works Director | 630.547.5516 | jhubsky@glenellyn.org Project Manager: Callocchia Key Team Members: Oates, Robinson Design Fee: $63,730 Completed on Time: Yes The Village of Glen Ellyn is in DuPage County, Illinois, United States, about 24 miles west of Chicago. The Village of Glen Ellyn’s Utilities Division within the Public Works Department maintains watermain, sanitary sewer, and storm sewer infrastructure. The Village’s water distribution system contains approximately 110 miles of water main, 1,300 fire hydrants, 1,600 valves and has over 8,200 connections. The sanitary sewer collection system comprises around 85 miles of sewer mains with over 2,000 manholes and contains five lift stations. The Village’s sanitary sewer collection system conveys wastewater to the Glenbard Wastewater Authority (GWA), the treatment plant for both Glen Ellyn and Lombard. The Village engaged NewGen to complete a Water and Sewer Rate Study to ensure that the Village’s water and sewer rates are sufficient to generate the revenue necessary to operate, maintain, repair, rehabilitate, and replace the Village’s utility systems wh ile also maintaining appropriate Water and Sewer Fund reserves. NewGen’s study resulted in several recommendations: ▪ Alternative rate structures including fixed fees, tiered water rates, and revenue increases. ▪ A recommended minimum fund balance policy to ensure rate stabilization in the future. ▪ The elimination of all water and sewer debt, with a funding plan for a fully PAYGO supported CIP. The Village Board unanimously adopted NewGen’s recommended FY 2024 rates including an alternative rate structure in June 2023. NewGen worked with the Village again in 2024 to update key inputs into the study, including the addition of funding for the Village’s lead service line replacement program. 42 VILLAGE OF KENILWORTH RFP WATER AND SEWER RATE STUDY 6 Thoughtful Decision Making for Uncertain Times Village of Lombard, IL – Water and Sewer Rate Study (2020, 2024) Contact: Jamie Cunningham | Assistant Finance Director | 630.620.5910 | cunninghamj@villageoflombard.org Project Manager: Callocchia Key Team Members: Oates, Robinson Design Fee: $49,297 (original study), $25,400 (study update) Completed on Time: Yes The Village of Lombard was incorporated in 1869 and is located 30 miles west of the City of Chicago. The Village covers approximately 10.5 square miles and includes just over 16,000 individual parcels, the majority of which are quarter or half acre lots co ntaining single-family residential homes. The Village is managed under the Council -manager form of government. NewGen was engaged by the Village of Lombard in 2016 to complete a water and sewer rate study. The Village was reaching the end of a moratorium o n increases to its capital rate (used strictly for capital financing) as well as a phased -in reduction of Non-Home Rule (NHR) sales tax revenues slated to fund utility projects. Tasks for the study included: ▪ Development of a ten-year financial plan for the Village’s water, sewer and stormwater systems. ▪ Development of capital financing plans that did not include NHR sales tax revenues. ▪ Development of alternative rate structures for stormwater service rather than water consumption / tax base. ▪ Development of formal policies by the Village dealing with the establishment of an asset replacement reserve. Throughout the course of the study, NewGen staff met not only with Village staff, but also with the Village’s Public Works and Finance and Administration committees, comprised of Village citizens. Public friendly presentations were developed to summarize and explain the need for increased rates, particularly the need to increase the percentage of the Village’s utility rate revenue that is generated by fixed fees rather than variable unit rates. The Village engaged NewGen again in 2024 to complete another study that further increased revenue from fixed fees and reduced the water and sewer utilities’ reliance on NHR sales tax revenues. 43 VILLAGE OF KENILWORTH RFP WATER AND SEWER RATE STUDY Thoughtful Decision Making for Uncertain Times 7 KEY PROJECT PERSONNEL Members of our project team are widely recognized cost of service, rate -making, financial forecasting, and asset valuation experts that possess unique knowledge of water resources and industry trends as well as best practices in the areas of water and wastewater. We guarantee the specific performance of the key personnel who are identified in this statement of qualifications, in the roles specified below. The following are brief biographies of our proposed project team. Detailed resumes for all proposed sta ff are included in Appendix A. Eric Callocchia, CRRA | Project Manager & Point of Contact EDUCATION: BA, Economics/Mathematics, Johns Hopkins University REGISTRATIONS AND CERTIFICATIONS: Certified Rate of Return Analyst (CRRA) by the Society of Utility and Regulatory Financial Analysts AFFILIATIONS: AWWA, WEF, CWEA, GFOA, SURFA, AWWA Rates and Charges Committee - Cost of Service Subcommittee PUBLICATIONS: Contributing Author, WEF Manual of Practice (MOP) 27 – Financing and Charges for Wastewater Systems; AWWA Manual M1 – Principles of Water Rates, Fees and Charges Mr. Eric Callocchia is a Partner at NewGen, bringing over 15 years of specialized experience in utility financial consulting. In his role, he advises on revenue stability, customer affordability, cost-of-service rate making, and stakeholder engagement. He has worked with more than 100 water, wastewater, and stormwater utilities across the country from Massachusetts to California who serve populations ranging from hundreds to millions. His advice has guided critical capital financing and rate adjustment deci sions. His expertise underpins the development of customized financial models that incorporate cash flow sensitivity, econometric analysis, economic impact forecasting, and scenario planning. These models help utilities maintain healthy fund balances, plan for asset maintenance and replacement, and evaluate operating and capital projects through key performance indicators and phased-in rate structures. Mr. Callocchia is also a recognized thought leader and educator in the field. He is a contributing author to the fourth edition of the Water Environment Federation’s Manual of Practice 27 – Financing and Charges for Wastewater Systems. He is an active memb er of the American Water Works Association (AWWA) Rates and Charges Committee, and a contributing author to the upcoming eighth edition of AWWA’s Manual M1 – Principles of Water Rates, Fees and Charges. He is a member of the Society of Utility Financial Analysts (SURFA) and holds the designation of Certified Rate of Return Analyst (CRRA). This designation is based upon education, experience, and the successful completion of a comprehensive examination. 44 VILLAGE OF KENILWORTH RFP WATER AND SEWER RATE STUDY 8 Thoughtful Decision Making for Uncertain Times Michael Maker | QA / QC EDUCATION: MBA, Finance, Loyola University (Beta Gamma Sigma Honor Society) BA, Economics, University of Rochester, Minor: Electrical Engineering AFFILIATIONS: AWWA, WEF, GFOA | Serves on AWWA Workforce Strategies Committee and AWWA Finance, Accounting & Management Controls Committee, and Rates and Charges Committee | Serves on Virginia AWWA Utility Management Committee (Small Community Utilities, Financial Mana gement, Effective Utility Management) | Chesapeake AWWA Utility Conference Planning Committee Mr. Mike Maker is the Deputy Director of NewGen's Water Practice and a Partner with 22 years of experience. He provides financial and management advice to municipalities and water, wastewater, stormwater, and solid waste utilities. Mr. Maker is actively involved, serving on several national and local committees. He has also co-authored various industry manuals and is a frequent speaker at municipal and utility conferences. Mr. Maker is a current member of AWWA's Finance, Accounting & Management Controls Committee and Workforce Strategies Committee. He is helping to rewrite the latest editions of AWWA's Manual M29 - Capital Financing, Manual M5 - Water Utility Management, and Manual M85 – System Development Charges. Aidan Oates | Financial Modeling EDUCATION: Master of Energy Management, Tulane University; Bachelor of Arts in English Literature and Finance, The College of William and Mary Mr. Aidan Oates joined NewGen in 2021, providing financial modeling, cost of service, and rate design assistance. His experience includes valuation, trading, economics, and investment banking specific to the Energy industry. Alex Robinson | Data Analysis EDUCATION: Bachelor of Arts in Political Science and Economics. Johns Hopkins University Ms. Alex Robinson joined NewGen as a full-time Consultant in November 2023. She assists with cost of service and rate design projects, performing data evaluations and applying her financial modelling skills. Ms. Robinson’s experience includes economic analysis and rate design studies. 45 VILLAGE OF KENILWORTH RFP WATER AND SEWER RATE STUDY Thoughtful Decision Making for Uncertain Times 9 PROJECT UNDERSTANDING The Village of Kenilworth is a small, affluent north shore community located in Cook County, Illinois, approximately 15 miles north of downtown Chicago. The Village covers a modest geographic footprint and is served by a compact but critical water and sewe r system that includes 13.9 miles of water mains, 19.7 miles of sewer, one water tower, one booster pump station, one pressure reducing valve station, 111 fire hydrants, and 880 water meters. The water utility is accounted for as an enterprise fund, while the sewer utility is carried as a non -major governmental fund. Both utilities currently recover costs through metered volumetric charges, with the water utility also collecting a quarterly system improvement charge. The Village serves two classes of custom ers: accounts within corporate limits, which represent the substantial majority of connections, and a small number of outside -corporate-limits customers along Ridge Road in the Village of Winnetka. A defining feature of Kenilworth's water system is its dependence on a wholesale water supply arrangement. For decades, the Village operated its own water treatment plant drawing directly from Lake Michigan. Since the decommissioning of that facility in 2017, the Village has purchased treated water from the Village of Wilmette under an intergovernmental agreement. This transition places the Village in a position common to many Illinois communities — one in which a significant and largely externally-driven cost, the wholesale water purchase, must be carefully accounted for in rate setting and financial planning. NewGen has extensive experience working with Illinois utilities that purchase water from wholesale providers, including communities that buy from the City of Chicago, the City of Evanston, and other regional suppliers, and we understand the unique financial planning and rate design considerations this arrangement creates. The Village has historically maintained a pay-as-you-go approach to capital financing, avoiding long-term debt obligations in favor of funding infrastructure needs from current revenues and reserves. While this approach reflects sound financial discipline, the Village now faces a convergence of substantial capital demands that will require deliberate and forward-looking planning. These demands include the mandated replacement of lead service lines in accordance with federal and state regulatory timelines, completion of a 10 -year Capital Improvement Plan for water main rehabilitation and replacement, and a full replacement of the Village's 880 water meters. These programs represent a capital challenge of meaningful scale for a system of Kenilworth's size, and they must be funded in a manner that preserves the Village's financial stability while maintaining reasonable and competitive rates for its customers. The Village's fund balance policy requires maintaining a minimum of four months of operating expenses in each utility fund. This policy reflects the Village's commitment to financial resilience and serves as a practical constraint that must be respected in any rate recommendation. Current rates recover costs through a quarterly system improvement charge and a volumetric rate expressed in dollars per 100 cubic feet, a structure that places virtually all revenue recovery in variable charges tied to consumptio n. This approach, while administratively simple, can create revenue instability during periods of low demand or conservation, and may not adequately recover the predominantly fixed costs of operating and maintaining the water system infrastructure. Evaluat ing and potentially restructuring this balance between fixed and variable revenue recovery will be an important focus of the Study. The Village is seeking a Study that accomplishes several interconnected objectives: ensuring full cost recovery in both operating and capital budgets; developing a long -range capital funding plan that addresses lead service line replacement, water main rehabilitation, and meter replacement; establishing 46 VILLAGE OF KENILWORTH RFP WATER AND SEWER RATE STUDY 10 Thoughtful Decision Making for Uncertain Times recommended fund balance targets; evaluating at least three rate structure alternatives on a cost -of- service basis; and producing a clear recommendation that the Village Board can adopt with confidence. The final work product must be transparent, defensibl e, and clearly communicated to elected officials, Village staff, and the public. 47 VILLAGE OF KENILWORTH RFP WATER AND SEWER RATE STUDY Thoughtful Decision Making for Uncertain Times 11 PROJECT APPROACH NewGen's approach to this Study is built on three principles that we believe are essential to delivering a study that is not only analytically sound, but practically useful to the Village. The first is that the analysis must be grounded in Kenilworth's specific financial and operational realities, not generic assumptions. Every Illinois community is different. Kenilworth's combination of a purchased- water supply relationship, a historical pa y-as-you-go capital philosophy, a compact customer base of approximately 880 metered accounts, and a fund balance policy with a defined minimum threshold creates a financial profile that requires careful, tailored modeling. We will not apply a template whe n dealing with the Village’s unique needs. Instead, we will build a financial model that reflects Kenilworth's actual cost structure, actual capital program, and actual policy constraints, and that allows the Village to clearly see the consequences of different rate and funding decisions over a ten-year horizon. The second principle is that the Study must support decision -making, not just document analysis. Rate studies that produce technically correct conclusions but fail to connect those conclusions to clear, actionable policy choices leave governing boards with out the guidance they need. Our work will be organized around the decisions the Village Board must ultimately make: how much capital to fund on a pay-as-you-go basis versus through debt or IEPA financing; how quickly to phase in any required rate adjustments; how to structure fixed and variable charges to improve revenue stability; and how to ensure that rates are equitable across customer classes. At every stage, our analysis will be framed around these decisions rather than presented as a series of calculations in search of a conclusion. The third principle is that the financial model we build must serve the Village beyond the life of the Study. Rate studies that produce static reports quickly become obsolete as assumptions change, capital programs evolve, and new financial pressures emerge. We design our Excel-based financial models to be transparent, well-documented, and staff -operable, so that the Village can update key inputs, run new scenarios, and evaluate financial policy questions internally in the years following the Study's completion. For a community the size of Kenilworth, the ability to maintain and use a living financial planning tool without retaining outside consultants for routine updates represents meaningful long-term value. Throughout the Study, we will maintain open and regular communication with Village staff, providing draft materials in advance of review meetings and ensuring that staff have a thorough understanding of the analysis and its underlying assumptions before an y recommendations are presented to the Finance Committee or Village Board. Our goal is not simply to hand the Village a report, but to build the shared understanding and institutional confidence that allows rate recommendations to be adopted and sustained over time. Task 1 – Project Initiation and Data Review NewGen will begin the engagement by issuing a detailed Request for Information (RFI) to Village staff. The RFI will seek all financial, operational, and billing data necessary to complete the Study, including current and prior -year operating budgets, audit ed financial statements, the Capital Improvement Plan (CIP), existing debt schedules and bond covenants, current rate and fee ordinances, water and sewer billing determinants by customer class, historical consumption data, reserve fund balances and policies, and tap- on and connection fee schedules. 48 VILLAGE OF KENILWORTH RFP WATER AND SEWER RATE STUDY 12 Thoughtful Decision Making for Uncertain Times NewGen will conduct a project kickoff meeting with Village staff to confirm the Study's objectives, establish a shared understanding of project expectations and deliverables, and align on a practical schedule for data submittals, progress check -ins, and dr aft reviews. During this meeting, NewGen will discuss the Village's priorities with respect to capital investment timing, revenue stability, affordability, and rate implementation. We will confirm how growth projections and service area considerations should be reflected in long-term planning assumptions. Deliverables: Completed RFI and data review; confirmed project schedule. Task 2 – Develop Ten-Year Financial Forecast NewGen will develop a forward -looking ten -year financial forecast for the Village's water and sewer utilities. The forecast will project operating revenues and expenses, capital expenditures, debt service obligations, and year-end fund balances for each year of the study period. Projections will incorporate the Village's most recent budgets and CIP, along with reasonable assumptions regarding inflation, consumption trends, and changes in customer accounts. The forecast will evaluate the Village's capital investment needs across the ten -year horizon, including lead service line replacement in accordance with federal and state regulatory timelines, completion of the identified 10-year water main CIP, and full replacement of the Village's water meter system. For each major capital program element, NewGen will evaluate appropriate funding mechanisms, including pay - as-you-go financing from current revenues and reserves, IEPA loan financing, issuance of municipal debt, or a combination of approaches. NewGen will quantify the rate and fund balance impacts of alternative funding mixes so that the Village can evaluate the trade -offs between near-term rate impacts and long - term financial flexibility. All forecast scenarios will explicitly track fund balance trajectories against the Village's fund balance policy requiring a minimum of four months of operating expenses. Each scenario will clearly indicate whether and when the utility funds would fall bel ow this threshold if rates were left unchanged, providing the analytical foundation for any recommended rate adjustments. The financial model will be developed in Microsoft Excel and structured to allow Village staff to modify assumptions, run scenarios, and update projections independently following the conclusion of the Study. Deliverables: Ten-year financial forecast model in Excel; scenario analysis of capital funding alternatives; fund balance trajectory analysis. Task 3 – Evaluate Current Rates and Revenue Recovery NewGen will evaluate the Village's existing water and sewer rate structures to assess their performance against cost recovery, revenue stability, and equity objectives. This evaluation will calculate how much revenue each component of the current rate structure generates, how stable those revenues have been over recent years, and how well current charges align with the underlying fixed and variable cost structure of each utility. As part of this task, NewGen will calculate typical bills for representative residential customers , both within corporate limits and outside corporate limits along Ridge Road , under current rates. This will provide staff with a clear picture of current affordability and the differential rate treatment between customer classes. 49 VILLAGE OF KENILWORTH RFP WATER AND SEWER RATE STUDY Thoughtful Decision Making for Uncertain Times 13 NewGen will also evaluate the Village's existing tap -on fees and connection charges for reasonableness and alignment with growth -related capital costs. If adjustments are warranted, we will identify recommended revised fee levels by customer type. Deliverables: Current rate evaluation and revenue recovery analysis; typical bill calculations by customer class; tap-on fee assessment. Task 4 – Develop Rate Structure Alternatives Using the financial forecast developed in Task 2, NewGen will design and evaluate three rate structure alternatives for the Village's water and sewer utilities. Each alternative will be structured to meet clearly defined policy objectives confirmed during Task 1, including revenue adequacy, fund balance compliance, financial stability, equity among customer classes, administrative simplicity, and consistency with Illinois industry practices and cost-of-service principles as established in AWWA Manual M1. For each alternative, NewGen will specify all proposed rate components , such as including fixed service charges, volumetric rates, and any separate charges for specific services or customer classes , and apply them to the full ten -year forecast period. We will quantify the bill impacts under each alternative for representative residential, commercial, and other customer types across a range of consumption levels, and will compare proposed bills to the regional benchmarks established in Task 1. Where appropriate, NewGen will model phased rate adjustments to smooth transitions for customers while still achieving target financial outcomes within the study period. The Village will receive not just one recommendation but a clearly contrasted set of a lternatives, each accompanied by a narrative explanation of its advantages, trade -offs, and ratepayer impacts, so that staff and the Village Board can select the approach that best balances financial sustainability, equity, and community affordability. The study will also assess the ability of each recommended rate structure to fully fund projected water and sewer system costs, including operations, debt service, capital reinvestment, and reserve targets, and will confirm that the Village's billing system is capable of implementing each proposed structure. Deliverables: Three rate structure alternatives with ten -year financial projections, bill impact analyses, regional bill comparisons, and narrative evaluation of each alternative. Task 5 – Draft Report and Presentation NewGen will prepare a comprehensive draft report documenting all assumptions, methodologies, analyses, and preliminary recommendations developed throughout the Study. The draft report will include narrative explanations supported by tables and graphics sum marizing the benchmarking results, ten-year financial forecast, capital funding evaluation, current rate assessment, tap -on fee analysis, rate structure alternatives, and NewGen's recommended rate path. NewGen will provide the draft report to Village staff in advance of a review meeting to allow sufficient time for staff to read and annotate the document. NewGen will then conduct a working session with Village staff to walk through the findings, answer questions, and discuss any requested refinements prior to finalizing the report. NewGen will also prepare a presentation of draft findings for the Village's Finance Committee and Village Board. The presentation will be structured to clearly explain why the Study was undertaken, what the 50 VILLAGE OF KENILWORTH RFP WATER AND SEWER RATE STUDY 14 Thoughtful Decision Making for Uncertain Times analysis showed, what rate and fee changes are recommended, and how those changes affect typical customers and the long-term health of the utilities. Deliverables: Draft report; staff review meeting; Finance Committee and/or Village Board presentation. Task 6 – Final Report and Presentation After incorporating staff and Board comments on the draft report, NewGen will prepare the final report for Village use. The final report will include the recommended rate structure, implementation schedule, updated financial projections, fund balance analy sis, capital funding recommendations, tap -on fee recommendations, and full documentation of the ten-year revenue requirement. NewGen will provide the Village with the final Excel-based financial and rate model, including the scenario functionality developed in Task 2, so that staff can evaluate alternative assumptions and update projections in future years without reliance on outside consultants. NewGen will present the final recommendations at a Village Board meeting to support adoption of the recommended rates and respond to questions from elected officials and the public regarding the methodology, financial impacts, and policy considerations underlying the Study's recommendations. Deliverables: Final report (PDF); final Excel financial and rate model; Village Board presentation. 51 VILLAGE OF KENILWORTH RFP WATER AND SEWER RATE STUDY Thoughtful Decision Making for Uncertain Times 15 QUALITY ASSURANCE / QUALITY CONTROL Internal QA/QC & Review Procedures NewGen recognizes that the quality of our analysis and work product is paramount when serving as a trusted advisor to our clients. To ensure that our work is of the highest caliber, we have established a robust quality assurance/quality control (QA/QC) pro gram that permeates every phase of our projects. NewGen's internal QA/QC program involves three levels of review and an implementation phase: Level 1 – Personal At the base level of our QA/QC program, consultants are personally responsible for their work product. Deliverables should be considered "client -ready" before being submitted to higher management levels for review. To aid our consultants in ensuring their work product meets these standards, NewGen utilizes our internally designed CHECK -UP process, as illustrated in the figure below. This acronym encourages NewGen's consultants to apply each listed standard to every analysis and deliverable. Level 2 – Peer Level 2 of NewGen's process involves a peer review of all analyses and deliverables. As part of this effort, NewGen has designated experts in each subject matter area to serve as "qualified reviewers." Each analysis and deliverable undergoes a quailed review before transmission to the client. Level 3 – Professional Product The final level in our QA/QC review ensures that our final products reflect our firm's high standards. NewGen's administrative staff reviews all deliverables to ensure consistency, safeguard our brand, and deliver a consistent experience to our clients. Ad ditionally, our models integrate automated calculation and formula checks to ensure they operate correctly and concisely. This automation also notifies users if the model has been updated or if errors exist. Program Implementation By adhering to strict quality control measures, NewGen can mitigate variations or deviations that could lead to inconsistencies in the final product or service. NewGen regularly reminds staff at meetings about the importance of QA/QC and the proper applica tion of our CHECK -UP procedures. In the event of deviations, we take prompt and corrective actions. Our team is adept in implementing corrections, documenting actions taken, and verifying their effectiveness. NewGen actively fosters a culture of continuous improvement, drawing on lessons learned and stakeholder feedback. This enables us to refine our processes, integrate best practices, and stay at the forefront of quality control. 52 VILLAGE OF KENILWORTH RFP WATER AND SEWER RATE STUDY 16 Thoughtful Decision Making for Uncertain Times PROPOSED SCHEDULE / TIMELINE The Village of Kenilworth’s RFP identifies a targeted award of a Professional Services Agreement in May 2026, following proposal submission on April 14, 2026, and consultant interviews if needed during April 20–24, 2026. NewGen’s proposed schedule aligns w ith this procurement calendar and is designed to deliver a comprehensive, Board-ready Water and Sewer Rate Study within approximately five months of notice to proceed. Following notice to proceed in May 2026, NewGen will immediately issue a detailed Request for Information (RFI) and schedule the project kickoff meeting with Village staff. The data collection and review phase (Task 1) will run through late May, establishi ng a strong analytical foundation. Financial modeling and revenue requirement development (Task 2) will proceed through June, followed by rate alternative design (Task 3) in July. The draft report and staff presentation (Task 4) will be delivered in August, with the final report, financial model, and Village Board presentation (Task 5) completed by September or October 2026, consistent with the Village’s implementation timeline. At a minimum, NewGen will meet with the Village’s Finance Committee and Village Board on three occasions as required by the RFP with additional meetings available as requested. Proposed Study Timeline Task Description Key Scope Items (RFP) Finish By Task 1 Kickoff, Data Review & Benchmarking Kickoff meeting; issue RFI; collect budgets, audits, CIP, debt, billing data; review current rate ordinance; benchmarking vs. comparable Illinois water utilities May 2026 Task 2 10-Year Revenue Requirement & Financial Model 10-year O&M forecast; capital improvement plan funding; debt service and IEPA loan scenarios; fund balance projections; reserve policy targets; cash flow analysis; assess pay-as-you-go vs. debt alternatives June 2026 Task 3 Evaluate Current Rates and Revenue Recovery Evaluate revenue sufficiency at current rates; develop financial plans and rate increases necessary to meet long- term revenue needs of water and sewer systems June 2026 Task 4 Rate Structure Alternatives & Bill Impacts Develop three rate alternatives on cost -of-service basis; evaluate current rate structure; assess fixed vs. volumetric recovery; bill impact analyses for residential and commercial customers; peer utility bill comparisons; recommend preferred alternative; evaluate other service and system charges July 2026 Task 5 Draft Report & Staff/Committee Presentation Prepare comprehensive draft report with all analyses, assumptions, and preliminary recommendations; develop Finance Committee/Board-ready presentation; present to staff and Finance Committee; incorporate feedback August 2026 Task 6 Final Repor t & Village Board Presentation Incorporate all staff and committee feedback; finalize report in PDF format; deliver final Excel -based financial and rate model; present recommendations to Village Board; respond to elected official and public questions; provide implementation guidance and recommended effective dates Sept./Oct. 2026 53 VILLAGE OF KENILWORTH RFP WATER AND SEWER RATE STUDY Thoughtful Decision Making for Uncertain Times 17 FEE PROPOSAL NewGen proposes to complete the full scope of services described in this proposal for a fixed, not -to- exceed fee of $24,000, inclusive of all labor, overhead, and out -of-pocket expenses. There are no additional costs for travel, printing, or technology. This fixed fee provides the Village with budget certainty and reflects our commitment to delivering exceptional value while k eeping the cost of the Study within the Village’s budgeted amount. Invoices will be submitted at four milestone points tied directly to key study deliverables, as described below. This milestone-based billing structure aligns NewGen’s compensation with measurable progress and ensures that the Village pays only as tangible work products are completed and accepted. All invoices shall be submitted to the Village in an approved format and will be paid within 50 days of receipt and approval, consistent with Section 3(C) of the Professional Services Agreement. Milestone Payment Schedule # Billing Milestone Description Amount 1 Project Kickoff Meeting Invoice issued following completion of kickoff meeting and issuance of Request for Information to Village staff (Task 1) $4,800 (20%) 2 Delivery of Financial Model Invoice issued upon delivery of the completed Excel- based 10-year financial and rate model to Village staff, incorporating revenue requirement, capital plan, and rate scenarios (Tasks 2–3) $4,800 (20%) 3 Delivery of Draft Report Invoice issued upon delivery of the comprehensive draft report to Village staff and presentation to the Finance Committee and/or Village Board (Task 4) $6,000 (25%) 4 Delivery of Final Report Invoice issued upon acceptance of the final report (PDF), delivery of the final Excel model, and Village Board presentation (Task 5) $6,000 (25%) Total Fixed Fee (Not-to-Exceed) $24,000 NewGen’s fee proposal includes two on-site meetings to deliver the Task 4 and Task 5 presentations. No other on-site meetings are included in the fixed fee proposal. Additional on-site meetings beyond those included in this scope of work, if requested by the Village, would require additional fees. Any such additional meetings would require prior written authorization from the Village. NewGen is committed to delivering all contracted services within the fixed fee quoted above, and we do not anticipate the need for any scope modifications given our extensive experience with comparable Illinois utility rate studies. 54