HomeMy WebLinkAbout10-18-07
October 18, 2007
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Pursuant to due call and notice thereof, the City Council for the City of St. Joseph met in regular session
on Thursday, October 18, 2007 at 7:00 PM in the St. Joseph City Hall.
Members Present: Mayor AI Rassier, Councilors Renee Symanietz, Dale Wick, Rick Schultz, Steve
Frank, City Administrator Judy Weyrens
Citv Representatives Present: City Engineer Randy Sa bart, Finance Director Lori Bartlett, Public Works
Director Dick Taufen
Others Present: Monte Eastvold
Approve Agenda: Symanietz made a motion to approve the agenda with the following changes:
Add 10e
Move 2a-e
North EastlWest Corridor Study Update
Move items a-e as consent items under #3
The motion was seconded by Wick and passed unanimously.
Consent Aaenda: Frank made a motion to approve the consent agenda as presented; seconded by
Symanietz.
a. Minutes - Approve the minutes of September 20,2007.
b. Bills Payable - Approve check numbers 039402-039471.
c. Interim Use Permit - Authorize the Mayor and Administrator to execute the Fact of
Findings issuing a conditional Interim Use Permit to Student Housing LLC for a rental unit
at 30 Birch Street E.
d. Donations - Accept the following donations: Anonymous (camping/disc golf) - $714.09; St.
Joseph Lions (dugouts) - $2,000; Rick Schultz (12 basketballs) $120.00.
e. Financial Report - Accept the September 2007 and 2007 3rd Quarter Financial Reports as
presented.
Discussion: Frank stated concern with the minutes of September 20 regarding comments made during
the Rental Housing discussion. Weyrens advised Frank that she will review the minutes and make
changes if needed. Wick advised Weyrens that the Resolution of Findings needs to be corrected to show
that the request came from Student Housing LLC rather than Dale Schneider.
The motion passed unanimously.
Public Comments to the Agenda: No one present wished to speak.
Bond Sale: Monte Eastvold, Northland Securities, approached the Council to discuss the Bond Sale for
the 1998 and 1999 Improvement Bonds. He presented the Council with information relating to the interest
rates and stated that, over the past 4-5 weeks, the interest rates have remained stable. In his opinion, the
rates seem attractive at this point. Eastvold added that the Council previously discussed refunding the
1998 and 1999 Improvement Bonds with the intent to save money. He stated that by refunding both
bonds, the City will see a savings of approximately $34,044 due to the interest rates being lowered from
4.8% & 4.9% to 3.79%. In the past, Monte has prepared the City's Debt Management Study. In that study,
he reported that the 1998 Bond would show a positive cash flow over time contingent upon revenues
coming in as anticipated. The 1999 Bond; however, would result in a deficit over time. By refunding both
bonds, the City could alleviate a potential deficit.
Frank made a motion to authorize the Mayor and Administrator to execute Resolution 2007-041 a
Resolution providing for the issuance of $980,000 in Refunding Debt. The motion was seconded
by Symanietz and passed unanimously.
October 18, 2007
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Wick made a motion to authorize the Mayor and Administrator to execute a contract with
Northland Securities allowing them to act as the agent for the sale of the bonds. The motion was
seconded by Symanietz and passed unanimously.
Eastvold advised the Council that the Bond Sale will take place on November 14, 2007.
TREASURER REPORT
Investment Policv Update/Approval: Bartlett presented the Council with a revised assessment policy. The
new accounting standards requires the Council adopt a number of policies, most of which deal with
internal controls. Bartlett stated that the State Auditor recently published a new Statement of Position for
Municipalities to update their policies to address the various investment risks and provide guidance for
investment management and internal controls. Since the policy has been included in the Council packet,
an additional position statement has been issued by the State Auditor and those comments will be added
as well. She added that, over the next couple of months, she will be presenting the Council with
additional pOlicies for approval.
Weyrens stated that currently the City uses a pooled method for investment. That is, the monthly interest
is divided by percentage and allocated to each fund. With regard to how investments are handled,
Weyrens stated that the City has created a ladder of debt payments which illustrates all payments needed
annually. Investments are then placed to mature when the funds are needed. The majority of City funds
are paid in May and December.
The following items were addressed:
· Bartlett explained that Custodial Credit Risk means that the City will be insured in the event that the
Financial Institution holding the funds would go bankrupt.
· Wick questioned diversification as it is mentioned under credit risk and then further defined in the
document.
· With respect to Foreign Currency Risk, Wick stated that the statement that the City will not hold
deposits, etc in foreign institutions should be mentioned first before defining the risk.
· Wick questioned whether there should be percentages added to show the amount static liquidity vs.
dynamic liquidity. Weyrens stated that it is not necessary as these percentages change based on
fluctuations of funds.
· Schultz questioned the procedure for reviewing interest rates. Weyrens stated that it is normally
handled by staff; however, the investment committee is used if needed.
· According to Wick, the statement relating to Prudence and Standards of Care needs to be revised as
it does not make sense the way it is written.
· According to Wick, there should be some benchmarks set forth in the performance standards so that
staff knows when to pull investments. Weyrens suggested that it be revised to say that the
benchmark is set by the market.
· There were also some concerns as to when the Council reviews the policy.
· Wick stated that the conclusion should be revised to state something similar to the main goal of the
City will be to maintain safety of principal while achieving a market rate of return.
Weyrens suggested that the suggested changes be made to the Investment Policy and it be brought back
to the Council for approval under the Consent Agenda at a later date.
CITY ENGINEER REPORTS
2007 East Side Mill and Overlav - Update: Sabart advised the Council that the project is completed and
the final numbers came in much lower than the estimated costs presented at the assessment hearing.
The Council conducted the final assessment hearing before the project was completed to minimize
financial risk. Therefore, the original assessment roll was based on estimates. Since the assessments
are based on the actual costs, staff is recommending that the assessments be lowered to reflect the final
costs.
October 18, 2007
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Symanietz made a motion to approve the revised Final Assessment Roll for the 2007 East Side Mill
and Overlay Project and authorize reimbursement of the difference for any prepaid assessments.
The motion was seconded by Wick.
Discussion: Rassier questioned where the funds were put when the assessments were paid and whether
the funds are available for reimbursement. Weyrens stated that they were put in the debt service fund and
the funds are available. Wick questioned whether the residents would receive any interest to which
Weyrens stated they would not as the assessments were not due until October 31.
The motion passed unanimously.
Water Treatment Facilitv - Update: Sabart made the Council aware of the fact that recently there was an
equipment failure which caused some flooding at the Water Treatment Facility. He stated that the pump
on the plate settler did not shut off resulting in the holding tank over flowing. There were some seals on
the holding tank that were not properly sealed which caused the flooding to occur. He added that staff
was not aware of the situation as the system to alert staff did not send a signal due as at this same time
the computer malfunctioned. Once staff was aware of the situation, the City insurance carrier was
contacted as well as project vendors. Once the insurance carrier approved, ServiceMaster was called to
clean the facility. As of this meeting, Sabart stated that the project representative for the contractor has
not yet been on site to view the damage. He added that they will work with the contractor to deal with the
damages as the repairs should be made by the contractor.
Wick questioned how the situation was resolved so it will not happen in the future. Sabart stated that the
card in the computer has been replaced. He also added that this similar system has been used in several
other cities. In the event that this happens again, if the computer loses connection for more than 20
minutes, a second alarm has been installed to alert staff of an alarm condition. Rassier questioned
whether or not it would be beneficial to have the Water Operator have access to the plant remotely via a
laptop to check for issues. According to Sabart, it would not be necessary as staff should be notified if
there is an alarm condition. He also mentioned that staff has checked various alarm conditions and the
system seems to be working properly. Frank questioned who is called when there is an alarm condition.
Sabart and Taufen advised the Councilors that there are several numbers programmed into the dialer to
ensure that someone is notified.
MAYOR REPORTS
APO Executive Committee: Rassier reported that he attended the APO Executive Meeting at which they
discussed the following:
1. 1-35 Bridge - He stated that the funds are not being received as fast as expected and they
are hoping that the funds that have been set aside for the project remain set aside for the
bridge reconstruction.
2. Sauk Rapids Bridge - The ribbon cutting ceremony will be held on November 17 at 10 AM.
3. APO Building - Currently the APO rents their building from the City of St. Cloud and they are
looking at purchasing the building. Rassier stated that they may request an increase in APO
Dues to help with the costs of the building.
4. Stearns County 5-Year Construction Program - This meeting will be held on October 30 at 7
PM.
% Cent Sales Tax Committee: Rassier advised the Council that he and Weyrens have been working on
establishing a % cent Sales Tax Committee and more information will be provided at a later date.
COUNCIL REPORTS
SYMANIETZ
Stearns County Municipal Leaque Meetina: Symanietz stated that she attended the Stearns County
Municipal League Meeting and the following items were addressed:
1. She reported that in 2008 there are $1.9 million dollars available in grants for the Safe Routes
to School Program.
October 18, 2007
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2. Symanietz stated that the Sauk River Watershed is planning to form a new Board and they
will be starting over. They will be contacting the area cities for participation.
3. Rassier stated that generally the County Attorney is present to give a crime report update. He
questioned whether or not that is productive or whether cities would rather just receive a
report for distribution and review.
WICK
Southwest Beltwav: Wick reported that the Advisory Committee met and they are currently working on a
scope report which is different than preparing an official map. In January 2008, they plan to distribute a
draft plan for various agencies to review. On November 14, there will be an Open House in Waite Park
with the time to be determined later.
St. Cloud Economic Development Partnership: Wick stated that he attended the SCEDP meeting at which
there was a presentation by the St. Cloud Hospital for their $200,000,000 expansion and rehabilitation
project. They plan to start construction in the spring of 2008.
SCHULTZ
Park Board: Schultz stated that the Park Board would like to review the Sign Ordinance at their next
meeting.
Park Desion: Schultz advised the Council that he met with a company that specializes in parks and street
designs for cities. He asked them to provide the City with some ideas. Weyrens stated that she will
contact them to follow up.
FRANK
School Holdino Ponds: Frank questioned whether the holding ponds at the new school site will be fenced
for safety purposes. Weyrens stated that the League of Minnesota Cities has not taken an official position
on this matter. Sabart stated that generally fences are not constructed around holding ponds as they can
slow down rescue efforts during an emergency.
Council Workshops: Frank stated that it may be a good idea for the Council to set aside sometime for
brainstorming. Rassier agreed and stated that it may be a good idea as many items should not be
brought up for discussion during the regular council meetings. Frank suggested that they meet every
quarter to discuss new ideas.
ADMINISTRATOR REPORTS
Personnel Update: Weyrens advised the Council that the Personnel Committee has chosen two
candidates for the Full-Time Maintenance Position.
· Eric Poissant
· Joe Pekarac
Both new employees will start at a step one on the wage scale.
Symanietz made a motion to hire Eric Poissant and Joe Pekarac for the Full Time Maintenance
Positions. The motion was seconded by Frank and passed unanimously.
Facilitv Kevs: Weyrens stated that currently there is no master list of key holders for City Facilities nor is
there an official policy of authority for reproductions. Therefore, Weyrens requested that the Council
appoint the Administrator as the key hold and authority for key distribution and reproduction. This would
be a stand alone policy; however, she stated that she will put together a master list of who has keys to the
City Facilities. Frank suggested the possibility of electronic keys. Weyrens stated that the new Water
Filtration Plant as well as the pump houses has electronic keys and she has received bids for electronic
keys at City Hall.
October 18, 2007
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Wick made a motion appointing the City Administrator the Key Holder for the City for the purpose
of key reproduction and distribution. The motion was seconded by Schultz and passed
unanimously.
North EastlWest Corridor StudY Update: Weyrens stated that she recently met with SRF to discuss the
North EastlWest Corridor Study. Previously, they have distributed the Environmental Assessment for the
CR2 bypass portion of the Study. Soon, they will be distributing the portion of the Environmental
Assessment for the corridor section between CR 133 and Ridgewood Road. She added that they will
also start the process for the scoping document for that portion of the corridor between CR 3/CR 75 and
CR 133.
Adiourn: Wick made a motion to adjourn at 8:45 PM; seconded by Symanietz and passed
unanimously.
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