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City of Lincoln
Audit reviewed and street closure requested at City Council
[February 26, 2026]
All members of the Lincoln City
Council were present for the Committee of the Whole meeting held
Feb. 24 at City Hall, where officials reviewed the city’s annual
audit, considered a street closure request for the Logan County
Pride festival, discussed a downtown grant request and examined
options for replacing the hot water system at the Lincoln Police
Department.
The meeting began with a presentation of the fiscal year 2025 audit
by Lori Milosevich-Lahr, who reported the city received a clean
audit with no findings or recommendations for improvement. She told
council members the city maintains strong internal controls and
organized financial tracking systems.
The audit showed governmental fund assets of approximately $12.5
million, with total fund balances of about $10.1 million at the end
of the fiscal year. Milosevich-Lahr also noted the sewer fund
remains financially stable despite existing debt obligations,
explaining that depreciation expenses create the appearance of
operating losses even though they are non-cash accounting entries.

During public participation, a
resident asked about delays in the long-planned sewer project. Mayor
Tracy Welch explained the project is ready to move forward but
remains stalled while the city seeks an easement agreement from Open
Arms Christian Church. Officials confirmed permits have been
obtained from the Illinois Environmental Protection Agency and the
project is otherwise prepared for bidding once the easement issue is
resolved.
The council then reviewed a request for a street closure permit for
the annual Logan County Pride Festival scheduled for June 6. Board
President Kelsi Edwards provided an overview of the event’s history
and mission, noting the organization promotes equality, diversity
and inclusion through community programming and outreach.
Edwards explained that the festival has grown since its launch in
2021 and was moved downtown after outgrowing its initial location at
the fairgrounds.
“We have seen growth in participation and attendance each year that
we’ve hosted it,” she said.
The requested street closure area was adjusted slightly from
previous years to centralize activities and reduce impacts on nearby
businesses. Council members agreed to place the permit request on
the consent agenda for a future vote.
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Officials next
reviewed a recommendation from the Economic Development
Commission to approve a $7,500 structural grant for roof
replacement at Lincoln’s Loft. The commission had approved the
request during its Feb. 20 meeting, and council members agreed
to place the item on the regular agenda.
One of the other discussions of the
evening focused on replacing the hot water system at the Lincoln
Police Department. Police Chief Joe Meister explained that the
station’s commercial water heater, originally installed when the
building opened in 2018, had already been replaced once in 2022 due
to mineral buildup and had now failed again for the same reason.
“For a few weeks now, we’ve been without hot water, and we want hot
water,” Meister said.
After consulting contractors, Meister recommended installing a
tankless system along with a water softener to increase efficiency
and extend equipment life. Bids ranged from approximately $7,500 to
$9,555 depending on the option selected.
Council members discussed maintenance costs, warranty coverage and
whether to purchase or rent a water softener unit. Some members also
questioned the original building design, which relies on a single
system to supply hot water throughout the facility. Mayor Welch
noted tankless systems can offer easier maintenance and faster
replacement if future failures occur.
The committee ultimately agreed to move the recommendation forward
for consideration at a future voting meeting.
During announcements, council members shared updates on upcoming
community activities and city projects before adjourning.
[Sophia Larimore]

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