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DECATUR The onetime lessee of the Eagle Creek Resort at Lake Shelbyville has filed a three-count lawsuit against the state of Illinois, and is seeking $100,000.
The rules of the Illinois Court of Claims where the three-count suit was filed by Michael Ballinger of Decatur, president of BMDD Resorts cap most claims against the state at $100,000.
Four years ago this month, Ballinger was awarded the lease to take over the resort complex near Findlay, about 70 miles southwest of Champaign-Urbana.
The latest suit continues a mostly legal odyssey that began five years ago this month, when a judge shut down the mold-infested conference center and 138-room lodge.
A year later, on July 7, 2010, the state Department of Natural Resources formally awarded to BMDD a 21-year lease to operate the lodge, conference center and golf course. The 18-hole golf course reopened almost immediately but none of the other facilities has opened for business.
And four months ago, BMDD sent a letter of termination to the DNR after the agency and state and local officials had indicated their displeasure with the lack of progress on reopening the resort. In the meantime, the golf course remains open, although it has another operator, and the remainder of the 27-year-old complex is still shuttered.
In his lawsuit, filed last month by Decatur attorney Mark Morthland, Ballinger made three claims against the DNR.
First was that the state committed fraud by refusing to disclose to potential leaseholders that in addition to the mold problem, Eagle Creek also had a defective sewage system.
"The plaintiff was informed, after execution of the Lease, that the Defendants contracted to have the raw sewage removed from the Resort on a nightly basis. The sewer system that was in place was unable to pump the raw sewage," the suit says. "On or about one year after the execution of the Lease a representative of the (DNR) informed the plaintiff that the entire sewer system needed to be replaced at a cost of nearly $1 million, however they did not intend to correct or replace the sewer system."
BMDD said it had invested $3.1 million over the last four years for improvements to the golf course, plus mold remediation and architectural and engineering costs.
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Former Eagle Creek lessee sues state
Thats what James Alston of 215 Doris Ave. would like to know. Hes been waiting about four years to get an answer.
And after meeting with the City Council on Monday, it looks like hell be waiting a couple more.
Alston, 67, told the council that then-City Manager Tom Thanas told him in 2010 that the city would install storm sewers and curbing along his one-block neighborhood in 2015.
Alston said the 200 block of Doris Avenue lies at the bottom of a hill, where most of the rainwater collects during storms.
We still get a lot of torrential rains, Alston said. The water floods our driveways and comes up into our yards.
Alston said the neighborhood isnt even looking for sidewalks, just for curbing and gutters to collect rainwater on the edge of the street, which he said is crumbling away because of erosion. He said the S-curve, where Doris Avenue connects to Richards Street, is particularly bad.
But it doesnt look like any help will be coming next year, thanks to the citys funding problems.
Four years ago, the city still was participating in the Neighborhood Improvement Program, said Mayor Tom Giarrante.
Back then every district got $1.5 million, Giarrante said. Now they get zero.
The soonest Alston and his neighbors can expect any relief is 2016, when the street is scheduled for restoration through Motor Fuel Tax funds, said Jim Trizna, the citys director of public works.
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Neighborhood gets bad news at Joliet City Council meeting
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A majority of City Council gave a cold reception to a request Monday night that it reconsider making a $14.5 million loan to the Pueblo Urban Renewal Authority for adding an exhibition hall to the Pueblo Convention Center.
On a separate issue, they also approved an ordinance to let Pueblo residents smoke pot on their front porches and backyards.
The PURA loan was the thornier issue, though.
Armed with a legal memo from City Attorney Dan Kogovesek saying council could make the loan without getting voter approval, Councilmen Steve Nawrocki and Chris Nicoll urged their colleagues to reconsider their 5-2 vote last June against the request.
Nawrocki and Nicoll were on the short end of that vote and they were reminded of that Monday.
Councilwoman Ami Nawrocki said the loan decision has been made and the two dissenting votes should accept that. She also said the $14.5 million loan from the citys half-cent fund for economic development would take interest money as much as $300,000 a year away from the city budget.
She said PURA still was free to build the project as originally planned through a $14.5 million bond issue.
Nicoll countered that it made no sense to require PURA to pay $12 million in interest over the life of that bond, when the city could provide the money from the half-cent fund.
He said President Sandy Daff and council members Chris Kaufman, Ed Brown, Ami Nawrocki and Eva Montoya should support the loan as a real economic development opportunity.
He challenged them that they had other plans for the $40 million in the half-cent fund such as road paving, parks and other improvements. Council held four town hall meetings on that subject in May and June.
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Council says no to exhibition hall loan
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