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HomeMy WebLinkAbout[04a] Minutescry= o~ r:r.,tcx3a~~K Council Agenda Item 4a MEETING DATE: October 1, 2009 AGENDA ITEM: Minutes -Requested Action: Approve the City Council minutes of August 12 and September 17, 2009. SUBMITTED BY: Administration BOARD/COMMISSION/COMMITTEE RECOMMENDATION: None PREVIOUS COUNCIL ACTION: None BACKGROUND INFORMATION: None BUDGET/FISCAL IMPACT: $0 ATTACHMENTS: City Council Minutes -August 12, 2009 September 17, 2009 REQUESTED COUNCIL ACTION: Approve the City Council minutes of August 12 and September 17, 2009. August 12, 2009 Page 1 of 2 Pursuant to due call and notice thereof, the City Council for the City of St. Joseph met in a working session on Wednesday, August 12, 2009 at 6:00 PM in the St. Joseph City Hall. Members Present: Mayor AI Rassier. Councilors Dale Wick, Steve Frank, Bob Loso . Administrator Judy Weyrens. City Representatives Present: Public Works Director Terry Thene, Finance Director Lori Bartlett, Police Chief Pete Jansky. Others Present: Mike McDonald Mayor Rassier opened the workshop and stated the purpose of the meeting is to receive and discuss the proposed 2010 General Fund Budget and Capital Improvement Plan. Weyrens stated that the City Staff has worked hard at preparing a budget that meets the needs of the City based on the limited funding sources. The proposed budget does not include staff additions and it does not replace the open finance position. In addition, the budget does not utilize any summer help for park maintenance. The proposed budget booklet contains the following information: Section One 2009 Budget Review -This section is an overview of the 2009 budget that was adopted, year to date information and the projected surplus(deficit) at year end. Also included is a summary of the budget reductions that were imposed as a result of the Governor's unallotment. If the year finishes as projected, the 2009 budget will show a surplus, which is attributable to the delay in capital expenditures and budget reductions. Section Two Summary of 2010 Proposed General Fund Budget included the breakdown by Personnel Expenses, Repair and Professional Services and Capital Improvement. Section Three Detail by Department with explanations for budget changes. Section Four Staff has provided a projection of tax impact of the proposed 2010 General Fund Budget. The proposed budget does include levying back a small portion of the unallotment. The proposed budget does not increase the tax capacity rate; rather it keeps the rate static. The Council spent considerable time discussing the detail budget items including labor costs. The proposed budget for 2010 does not include a cost of living adjustment but does include step advancement for those eligible. The City will not receive the renewal rates for the health insurance until October, the same time that the City will receive the growth numbers from Stearns County. The Council also discussed the funding for the EDA as the City had anticipated hiring a staff member in 2009; however, due to State deficit and Governor's unallotment the City did not move forward. Mike McDonald, 213 - 13th Avenue SE stated that in his opinion the budget was approached with keeping the tax rate static, rather than reducing the tax rate. Finance Director Lori Bartlett stated that the 2009 budget is already at a minimum and if the budget had to be reduced for 2010 the Council would have to look at services. In addition, the staff is only recommending levying back a small amount of the unallotment to keep the budget at the 2009 level. The City could levy back approximately $ 190,000 and the 2010 budget includes less than $ 10,000. The Council agreed to review the proposed budget and meet again on August 19 to continue the budget discussion. AdJourn: The meeting was adjourned by consensus at 7:55 PM. Judy Weyrens Administrator September 17, 2009 Page 1 of 6 Pursuant to due call and notice thereof, the City Council for the city of St. Joseph met in regular session on Thursday, September 17, 2009 at 7:00 PM in the St. Joseph City Hall, opening the meeting with the Pledge of Allegiance. Members Present: Mayor AI Rassier, Councilors Renee Symanietz, Dale Wick, Bob Loso, Steve Frank and City Administrator Judy Weyrens Citv Representatives Present: Finance Director Lori Bartlett, Public Works Director Terry Thene, Police Chief Pete Jansky, City Engineer Randy Sabart Others Present: Jean Dotzler, T. Schuller. Amy Vos, Monte Eastvold Public Comments: Rassier read a letter to the Council from Bernie Evans, 301 E Minnesota Street, relating to the length of time that vehicles can be parked on the street. Evans requested the Council review Ordinance 84.03 as in his opinion the current parking limit of 24 hours is both unreasonable and unnecessary. Rassier referred this matter to staff for review and recommendation to the City Council. Approval of the Agenda: Loso made a motion to approve the agenda as presented. The motion was seconded by Wick. Discussion: Frank stated that he would like to add the discussion of the parking Ordinance as requested by Mr. Evans. Loso suggested that this be discussed at a different meeting and Rassier agreed. The motion passed unanimously. Consent A ends: Symanietz made a motion to approve the consent agenda as follows: a. Minutes: Approve the City Council minutes of September 3, 2009. b. Bills Payable: Approve check numbers 041966-042014 and EFT numbers 000320- 000324, 000468-000469. c. Treasurer's Report: Accept the August 2009 Treasurer's Report. d. Acceptance of Gifts: Accept the donations and their purposes as presented. Discussion: Wick noted minor corrections to the minutes of September 3, 2009 The motion was seconded by Loso and passed unanimously. Water Refunding Bond Sale: Monte Eastvold approached the Council to discuss the proposed Water Refunding Bond Sale. He stated that the current bond is callable on 12/01/2009. Based on a debt service comparison, the estimated savings would be $22,486.76. He added that rates have been improving over time and the average interest rate on the debt service comparison is 2.17%. The estimated savings is net savings after all fees and issuance expenses. Eastvold stated that the City applied to the PFA and was approved which will result in the City receiving a AAA rating on this issue. This is part of the State of Minnesota Credit Enhancement Program. He stated that to continue with the refunding, they need approval of the resolution providing for the issuance of the bond and approval of the contract with Northland Securities. Wick made a motion to authorize execution of Resolution 2009-022 providing for the issuance and sale of the $425,000 General Obligation Water Revenue Refunding Bonds, Series 2009C and pledging for the security thereof net revenues. The motion was seconded by Symanietz and passed unanimously. Wick made a motion to approve Northland Securities as the agent to purchase the bonds for the City of St. Joseph. The motion was seconded by Loso and passed unanimously. September 17, 2009 Page 2 of 6 Wobegon Donation: Jean Dotzler approached the Council as the Chamber President. Dotzler stated that the St. Joseph Chamber coordinated the fund raising and construction of the Wobegon Trail Center. While the project has been completed since 2006, the project has a funding shortfall of $ 10,006.00. The Funding shortfall is a result of project overruns, not unpaid pledges. Dotzler stated that the St. Joseph Chamber has been working with the St. Joseph Jaycees to assist with funding the shortfall. At this time Dotzler presented the City a donation from the St. Joseph Chamber of Commerce in the amount of $ 2,500 to be applied to the Wobegon Fund. Dotzler stated that the Chamber is moving forward with staffing the facility on weekends beginning in late September. They will sell refreshments and serve as an information center. Dan Kuntz approached the Council on behalf of the St. Joseph Jaycees. He stated that they are also contributing $2,500 towards the Lake Wobegon Trail Center. This is above and beyond the money already donated by the Jaycees. Weyrens advised the Council that, at some point, they will need to discuss the $5,000 and whether they are willing to designate those funds to close out the Wobegon Fund. She stated that this will be brought back as a transfer at the next meeting. Rassier clarified that it will be on the next consent agenda. City Engineer Reports 16th Avenue SE -Feasibility Study: At a previous Capital Improvement Workshop, improvements to 16th Avenue SE were discussed and identified as a high priority for the City. At the workshop, the Council indicated that they are concerned about the costs associated with the project and whether or not the costs could be reduced by constructing a rural street section. Sabart stated that typically when the City conducts a feasibility study a preliminary assessment role is prepared; however, due to costs, the feasibility study can be completed without preparing the preliminary assessment role. Rather, the proposed costs will be determined for both a rural section and urban section street and an estimated assessment can be determined based on front footage. Loso made a motion to authorize the Mayor and Administrator to execute Resolution 2009-023 ordering the preparation of the Feasibility Report for the proposed improvements to 16th Avenue SE. The motion was seconded by Frank. Discussion: Loso questioned the proposed timeline for the project. According to Sabart, the feasibility report process typically takes a month. The next step would be to schedule a public hearing and order the improvement, followed by a survey of the area and the design process. They would like to begin the design process before the snow starts and have it ready for bids in February. He added that that is a tentative timeline for the proposed project. Loso asked for ballpark figures for such improvements and Sabart advised him that they have not even identified the project costs. There have already been significant upgrades to the water and sewer elements. The proposed improvement would be would mainly be street and drainage improvements. Frank questioned the percent split for such a project. Sabart stated that during the feasibility study, they would look at past practices and see how such projects have been financed. The motion passed unanimously. Sewer Use Agreement: Sabart stated that the City is at a point to review and accept the Sewer Use Agreement between the City of St. Cloud and the City of St. Joseph. The new agreement defines the parameters for the discharge of Wastewater for treatment by the City of St. Cloud. He stated that the agreement has been worked on by a subcommittee known as SCAWAC. There have been seven different drafts of the agreement. Towards the end of their discussions, Flaherty & Hood was asked to come in to provide additional legal review of the agreement on behalf of the contract users. According to Sabart, the original agreement was executed in 1986. A lot of the language remains the same; however, there are a few changes. Each contract City is being asked to review and accept the agreement. St. Joseph is the last City to review the document. Sabart highlighted some of the changes that were made. September 17, 2009 Page 3 of 6 • ARTICLE 1-DEFINITIONS: Sabart stated that this section is new. • ARTICLE II -SERVICE CONDITIONS: According to Sabart, the principal concern is that it is the contract user's responsibility to pay for their proportionate share. This section describes the rights of use if one of the users were to pull out. It also defines the requirements of having a sewer use ordinance. Wick questioned the clause which states that St. Cloud will give a 60 day comment period for any ordinance changes. He questioned what happens if they change their ordinance. Sabart stated that it is expected that we will have a similar ordinance to St. Cloud. Wick then stated that it appears that St. Joseph is stuck with whatever St. Cloud decides. Sabart replied that it is a possibility. According to Rassier, St. Cloud runs this and St. Joseph needs a place for its sewer waste. Sabart advised the Council that St. Cloud needs a mechanism to ensure that they, as well as the contract users, follow the State Mandates. Sabart then stated that the Pretreatment Program is designed with steps to help minimize the effects to the Interceptor System. He added that St. Joseph participates in this program. Thene added that when the 121 Lift Station was constructed, a new chemical feed shed process was implemented to control the discharge. Sabart advised the Council that the capacity for each user was based on the 2017 and 2030 Flow Allocations as indicated by Table 1 of the agreement. It was also noted that each contract user is required to monitor the characteristics of wastewater flow, which is a measurement of strength, and that must be reported to St. Cloud for use in billing. Loso questioned how the strength is measured. According to Sabart, it is based on CBOD's which measure the needs of bacteria needed to treat the wastewater. Thene added that is a five day test. • ARTICLE 111-REPORTS AND PAYMENTS: Sabart stated that this section is similar to the original agreement. The billing charges are based on the Flow, CBOD's (strength) and TSS (total suspended solids). The bills are broken down into the following categories for both the Wastewater Treatment Facility as well as the Inter: A Operation & Maintenance. B Rehabilitation & Replacement Costs C Contract User's Share of Debt Service Costs D Existing Debt Service Payments; prior to year 2000 Sabart advised the Council that the City of St. Cloud is to send an annual report to each user showing the past rates and the expected numbers. It is the responsibility of the City to get its data to St. Cloud for billing purposes and also to pay its bills in a timely fashion. Wick questioned if there are any restrictions for the City of St. Cloud to requiring them to look at their systems. Sabart replied that there is some language which reassures that someone will be looking at the collection system. Wick expressed his concern that there is no charge to St. Cloud if they fail to do their maintenance; however, the contract users are subject to a surcharge if the reports are not submitted on time. Sabart stated that he could raise that concern. According to Wick, there are no down sides for St. Cloud. He believes there should be penalties for both St. Cloud as well as the contract users. Both Sabart and Thene stated that they believe St. Cloud is acting in good faith. • ARTICLE IV -DISPUTES AND REMEDIES: Sabart advised the Council that this section is new and is a result of the review done by Flaherty & Hood in which they indicated that there should be a process for disputes. • ARTICLE V -ADDITIONAL CONDITIONS: According to Sabart, this section was meant to address the termination of the agreement. Their primary concern is to have the outstanding assets be satisfied by the contract users. September 17, 2009 Page 4 of 6 It was stated that once the agreement is executed, the current agreement will become null and void. Frank questioned the length of the agreement to which Sabart stated that it is indefinite unless there is a request for negotiation. Generally, this would remain in effect until there is a plant upgrade. Loso made a motion to authorize the Mayor and Administrator to execute Resolution 2009-024 Authorizing approval of the wastewater treatment system use agreement between the City of St. Joseph and the City of St. Cloud. The motion was seconded by Frank. Discussion: Frank questioned what would happen if a new jurisdiction wanted to join as a contract user. Sabart replied that they would hope that one of the contract cities would either share or sell a portion. Ayes: Rassier, Symanietr, Frank, Loso Nays: Wick The motion passed 4:1:0 Planning Matters: Frank made a motion to approve the Interim Use Permits for the following: • Renewal of the Interim Use Permit for Thomas Ortman, 308 10th Avenue SE. • Renewal of the Interim Use Permit for Ryan Lieser, 403 1St Avenue NE. • To allow a day care facility at 1141St Avenue SE; to expire when District 742 no longer owns the property. • To allow Brian Virnig to operate an owner occupied rental at 418 Elena Lane. The motion was seconded by Loso. Discussion: Frank stated that it would be helpful to see a list of any previous violations as well as those that are pending. Weyrens and Wick advised Frank that the information was listed on the application and was provided to the Planning Commission. Frank then questioned the recent damage to Kennedy School. Jansky clarified that there has been some vandalism at the school and the district is addressing it and it will be taken care of. The motion passed unanimously. Mayor Reports - No Report FRANK Council Reports Compliance Checks: Frank questioned whether the Police Department has been using the new devices when conducting compliance checks at the bars. Jansky stated they are. Ride-a-long: Frank reminded staff that he is still interested in doing aride-a-long with the Building Inspector. Recycling Program: Frank stated that, based on comments from residents, most people like the new recycling program. There are some; however, that feel that the recycling material collected has been limited. Weyrens stated the major change in collectibles related to plastics. He questioned how many residents are actually using their rebates. Weyrens advised the Council that a representative will be present at the next meeting to discuss the program and its rewards. He questioned the possibility of using any unused points for public use. Northstar: Frank commented that we should continue to move on getting Northstar to come to St. Joseph. LOSO September 17, 2009 Page 5 of 6 St. Ben's Update: Loso reported that the negotiating committee for the CSB sewer issues met to formalize the sewer use billing proposal of the City. The proposal follows the guidelines of the Council requiring metering of their water source. It is anticipated that once CSB receives and reviews the proposal a meeting of the negotiating committee and CSB representatives will be established. WICK SCAEDP: Wick reported that the St. Cloud Partnership continues to work on the Regional Economic Development Strategy. They are working to get the data collection done by the end of this year so that area Cities can prepare and submit proposed projects for funding. The purpose of the establishment of the regional economic partnership is to access federal funding opportunities. Wick stated that the Council should begin thinking about infrastructure projects. Wind Energy Forum: Wick advised the Council that the Initiative Foundation and Benton County will be hosting a wind energy forum at the Rice City Hall on Thursday, September 24, 2009. This is a chance for people to get together with energy companies and lawyers and look at ways to get involved in utility scale wind energy projects. Rassier questioned whether it would be beneficial to have staff present. Wick stated that he would be attending. Millstream Arts Festival: Wick announced that the Millstream Arts Festival will be held on Sunday, September 27, 2009. There will be 41 artists as well as 10 food vendors and live music all day. He advised residents that Minnesota Street will be blocked from College Avenue to 2"d Avenue NW. SYMAN I ETZ Wind Energy: With respect to wind energy, Symanietz stated that there are two wind mills up between Spicer and Willmar. She was amazed at how big they are and the noise is overwhelming. Park Board: Symanietz reported that the Park Board has been working on their budget and the CIP. They have been looking at the various parks and will be going over the Park Plan to see what improvements can be done. Farmers' Market: Frank reminded everyone that the annual Harvest Fest will be held on Friday, September 18, 2009 Administrator Reports Rental Exemption Request: Weyrens advised the Council that she received a request from a property owner for exemption from the Ordinance relating to renting in a R1 area. The resident requesting exemption is serving the US Government in another Country and has been unable to sell their home. Loso made a motion to authorize the Administrator to respond to the property owner informing them that the City cannot grant exemptions to the Zoning Ordinance. The motion was seconded by Wick and passed unanimously. Union Negotiating Committee: Weyrens stated that she received a request to begin negotiating with AFSCME for the 2010 Labor Agreement. Rassier suggested that for consistency of the contract, the same two Councilor, Wick and Frank, negotiate the 2010 Labor Agreement. Wick and Frank accepted the appointment to which the Council by consensus concurred. Intergovernmental Meeting: Weyrens reminded the Council of the Intergovernmental Meeting to be held on Tuesday, September 29, 2009 at the 400 Club. Wobegon Donations: Bartlett requested the Council formerly accept the donations from the St. Joseph Chamber of Commerce and the St. Joseph Jaycees. September 17, 2009 Page 6 of 6 Frank made a motion to accept the donations from both the Chamber and the Jaycees in the amount of $2,500 each and authorize the balance of the deficit to be funded through a designated City Fund. The motion was seconded by Symanietz and passed unanimously. Adjourn: Frank made a motion to adjourn at 8:10 PM; seconded by Symanietz and passed unanimously. Judy Weyrens Administrator