New Lenox Seeks $2.5 Million State Loan for Water Main Replacements, Sets $1.2 Million in Sureties for Spencer Meadows

New Lenox Village Board of Trustees Meeting | March 23, 2026

Article Summary: The New Lenox Village Board advanced several major infrastructure initiatives, waiving a second reading to apply for a $2.5 million public water supply loan while setting over $1.2 million in financial sureties to guarantee utility and grading work at the new Spencer Meadows subdivision.

Infrastructure and Loan Key Points:

• IEPA Loan Application: Ordinance #3249 authorizes the Village to borrow $2,500,000 from the Illinois EPA Public Water Supply Loan Program.

• Targeted Replacements: The loan funds will be used to replace aging water mains on Gall Lane, Hawthorne Lane, and Fir Street.

• Spencer Meadows Sureties: The Board set a $937,287.50 surety for off-site water mains and a $269,201.69 surety for mass grading at the Spencer Meadows development.

• Utility Easements: A related agreement secures a 35×36 foot storm sewer easement and temporary construction access on the Mulch-It property along Laraway Road.

The New Lenox Village Board on Monday, March 23, 2026, took significant legislative steps to secure funding for critical water infrastructure upgrades and lock in financial guarantees for ongoing residential development.

To address aging infrastructure in established neighborhoods, the Board unanimously approved Ordinance #3249, authorizing the Village to borrow $2,500,000 from the Illinois Environmental Protection Agency (IEPA) Public Water Supply Loan Program.

Mayor Tim Baldermann explained that the $2.5 million will be utilized to improve and replace the water mains on Gall Lane, Hawthorne Lane, and Fir Street. He noted that the ordinance was specifically structured by the IEPA and modified to match the Village’s particular funding request. To expedite the application process, the Board voted to waive the ordinance’s standard second reading.

Simultaneously, the Village secured the infrastructure guarantees required for the new Spencer Meadows subdivision, located at the intersection of Laraway and Spencer Roads.

The Board approved two separate financial sureties to ensure the developer completes the required public improvements. The first surety guarantees the off-site water main construction and was set at $937,287.50. The second guarantees the mass grading of the site and was set at $269,201.69. Both sureties carry an expiration date of March 23, 2028.

To physically accommodate the Spencer Meadows utility extensions, the Board also passed Resolution #26-25, executing a Grant of Easement Agreement with property owners Shawn and Donna Matthuis. Community Development Director Robin Ellis explained the easements run through the adjacent Mulch-It property and will eventually fall within the Will County right-of-way when the county expands Laraway Road.

The agreement grants the Village a 35×36 foot easement for a storm sewer connection, a 10-foot wide permanent easement, and a 25-foot wide temporary construction easement to extend the water main along Laraway. The legal document stipulates that no permanent structures, signs, or buildings can be placed within the easement boundaries.

All measures passed on unanimous 7-0 roll call votes.