Kewanee city officials are maintaining close oversight of the town’s four mobile home parks amid ongoing financial and property concerns. The current receiver is not paying the water bill as agreed. Last week, tenants of the mobile home parks were informed that the water would be shut off due to nonpayment by the receiver and the bank. According to city officials, water will be shut off if the unpaid water bills are not paid by 10 AM on Tuesday, June 3, 2025. City officials said they have notified all parties involved, including Project Now and the attorney representing some of the residents. Cleanup of the four mobile home parks has also ceased due to a denial of funds by the bank.
The city is soliciting bids for mowing services due to ongoing maintenance issues, as funding from the foreclosing bank has ceased. Upcoming council sessions will address both financial and property upkeep challenges. Interested parties must submit bids by June 7, 2025, with award recommendations coming at the first council meeting, which would be June 9th. More details are available on the city’s website.
Ira Lauter of the L&B All Star Management, LLC, was named the court-appointed receiver in January 2025. Since Ira Lauter took receivership of the properties, the water bill was about $80,000 at the April 28th council meeting. Mr. Lauter said he was prepared to pay the current bill under his management, but he must obtain permission from the court due to the amount of money involved. Moving forward, Ira Lauter has changed the accounts to his name, and as long as he pays the water bill, the city will not take action to shut off water service. The mayor and council members made it clear that they want the unpaid water bill paid. The amount under Ira is about $80,000, around $200,000 was under the Shapiro Group, and the remaining amount was from Kewanee Properties LLC.
First Secure Community Bank holds the note on the properties, which are in foreclosure. According to City Attorney Zac Lessard, bank officials attempted to add the City of Kewanee as a defendant in the case in an attempt to wipe away the lien on the properties by the city. Zac Lessard said he objected to the motion because they (the city) were not provided notice.