DECATUR - The city council is scheduled to vote on a contract for workers compensation insurance for the city's employees tonight.

If a new company is selected, city staff will be required to rearrange some procedures under a two-day deadline.

Interim City Manager John A. Smith assured council members in a memo Friday that the procedures would be completed in time.

The city council twice has postponed voting on whether to extend the contract of Itasca-based insurance company Arthur J. Gallagher and Co. or to award a new contract.

City staff recommended to the council to extend Gallagher's contract. Decatur-based firm Behnke and Co., which already helps administer the city's employee health insurance, is the other company still actively pursuing the contract.

According to city staff calculations, the annual cost of hiring Behnke could exceed that of retaining Gallagher by about $112,000, depending on the level of coverage the city opts to purchase.

Councilman Larry Foster said he is in favor of extending Gallagher's contract.

"With $112,000 per year, we could hire two additional police officers," Foster said. "Why should the city of Decatur consider paying $112,000 per year more? I do not see a compelling reason to change."

Foster said he believes he may end up the sole vote against a change, based on the issue's postponement. Councilman Dan Caulkins told the Herald & Review he is in favor of a change.

"I don't think the council's going in the right direction on this thing," Foster said.

The council also is scheduled to examine the proposals of city staff and of the Archer Daniels Midland Co. for plans to increase the city's water supply.

City staff has reported that an additional 10,000 acre-feet of water is necessary to bring the supply up to meet the demands of citizens and industry and to make sure the supply is sufficient should the city be hit by a severe drought.

The water management department's plan includes making greater use of Lake Tokorozawa, lowering the intakes at the South Water Treatment Plant and improving the city's dredging operations.

Together, Lake Tokorozawa and lowering the water intakes would obtain about 4,700 acre-feet of water.

ADM also has a proposal that, according to a city memo, would account for about 5,200 acre-feet of water, as well.

klowe@herald-review.com|421-7985