11-2-26 City Council Meeting

The City of McHenry, Illinois, City Council met on November 2, 2026. The council received the FY 2025–26 audit, which resulted in a clean, unmodified opinion and identified a management-letter recommendation to restore consistent independent review and approval of journal entries; the city administrator said approvals have resumed. No audit-related spending action was taken. The council also heard preliminary findings from PROS Consulting’s recreation-center business and marketing analysis, commissioned under a contract entered into the prior November. The consultants said the center achieved approximately 108% operating cost recovery in FY 2024–25 excluding general-fund transfers, but does not cover debt service; a more detailed action plan is forthcoming. Council members emphasized improving marketing, operations, and financial sustainability before considering expansion. The council discussed a proposed 2026 property-tax levy increase of 3.5%, or $114,842, which staff estimated would add just over $10 annually to the city portion of the tax bill for a $300,000 home. Most members supported the increase, while one opposed it and another requested more information; no vote was taken, and a resolution is expected at a later meeting.

The council approved the annexation agreement, annexation, and use variance for a 44.51-acre commercial solar-energy facility on Berryville Road, each with one alderman opposed. The annexation agreement includes a developer commitment of $250,000 to the McHenry Riverwalk Foundation; the agreement was approved with a technical correction. The solar developer described this as part of broader community benefits, and the city said it did not select the recipient or broker the commitment. The council also unanimously adopted zoning text amendments giving it discretion over future data-center proposals. Other notable actions included approval of the Shamrock Farm mixed-use PUD and the final plan and plat for Preserves of Boone Creek; the conceptual winery proposal did not advance due to council concerns about the location. No public procurement award or bid approval was identified. Council agreed to schedule a future discussion of possible additional developer impact fees for roads, police, and city buildings.