HomeMy WebLinkAbout[04a] MinutesC.M OF ST. Joni -wR
MEETING DATE:
AGENDA ITEM:
SUBMITTED BY:
Council Agenda Item 4 a
May 20, 2010
Minutes — Requested Action: Approve the Council minutes of
May 6, 2010
Administration
BOARD /COMMISSION /COMMITTEE RECOMMENDATION:
PREVIOUS COUNCIL ACTION:
BACKGROUND INFORMATION:
BUDGET /FISCAL IMPACT:
ATTACHMENTS:
REQUESTED COUNCIL ACTION:
Minutes of May 6, 2010
Approve the minutes of May 6, 2010
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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, May 6, 2010 at 7:00 PM in the St. Joseph City Hall, opening the meeting with the Pledge of
Allegiance.
Members Present: Mayor Al Rassier, Councilors Dale Wick, Renee Symanietz, Steve Frank, Bob Loso
and City Administrator Judy Weyrens
City Representatives Present: City Engineer Randy Sabart, Finance Director Lori Bartlett, Public Works
Director Terry Thene and Police Chief Pete Jansky
Others Present: Steve Wischman (KDV)
Approval of the Agenda: Symanietz made a motion to approve the agenda with the following
add itionslchangesldeletions:
Add 7b Election Grant
Move 4c Lot Split Request [to be discussed after the consent agenda]
The motion was seconded by Wick and passed unanimously.
Consent Agenda: Loso made a motion to approve the consent agenda as follows:
a. Minutes — Approve the City Council minutes of April 14 and April 15, 2010.
b. Bills Payable — Approve check numbers 042763- 042854 and EFT numbers 000401 - 000406.
c. Lot Split Request — Removed.
d. Donations — Accept the donations and their purposes as presented.
e. Quarterly Gambling Report — Accept the 1't Quarter Gambling Report.
The motion was seconded by Wick and passed unanimously.
Lot Split Request, Joe Leach: Frank stated that he is not questioning the actual lot split; rather the role of
the City and the Building Inspector in reviewing such. He questioned the cost of having the building
inspector visit these sites. Weyrens advised the Council that the fee for a lot split is $500 which covers
the costs of a simple lot split. In the event the costs exceed $ 500 the applicant is billed the additional
fees and they are recovered before the Council takes action.
Frank made a motion to authorize the Administrator to execute the Certificate of Compliance
approving the lot split request of Joe Leach as recommended by Staff and the EDA. The motion
was seconded by Loso and passed unanimously.
2009 Audit: Steve Wischman approached the Council on behalf of KDV to present the 2009 Audited
Financial Statements. Wischman stated that the statements include two documents, a Management
Letter and the financial statements. He began by discussing the Management Letter which indicated
some material weakness relating to the segregation of accounting duties and stated that those are due to
limited staffing. He also advised the Council of a deficiency that was reported with respect to the police
department and stated that an additional person, other than the secretary, should reconcile the daily
deposit. Another item that was addressed was the collateral assignment agreement with the First State
Bank, which Wischman stated has since been remedied.
With respect to the General Fund, Wischman reported that the revenues exceeded expenditures by
$398,462. Of the City's General Fund Balance, it was stated that $1,376,592 is designated for specific
expenditures and the balance of $282,973 is undesignated and can be used for any allowable
expenditure. That amount represents about six months of the 2009 expenditures, which is a healthy
balance. Frank questioned the fines and forfeitures as there was a decrease in revenue from 2008-
2009. Bartlett explained that this is not always consistent and that also contains county fines. According
to Loso, that is an indication that the crime rate is going down. He added that when looking at the Budget
to Actual revenues, the trends are favorable. The general fund expenditures did decline from 2008 with
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the greatest decline in General Government. The largest decrease was salaries which is a result of an
open staff position in administration.
Wischman stated that the Enterprise Fund is made up of the Refuse, Water, Sewer and Storm Water
Funds. Overall, these funds have shown consistent performance over the past several years. He reported
that the Refuse Fund showed a slight operating loss in 2009. The revenues in the Water Fund have been
consistent over the past few years. This year, the operating income covered a quarter of the depreciation
in the water fund. The Sanitary Sewer Fund showed a slight operating income as well. Both the fund's
operating revenues and expenditures decreased from 2008. With respect to the Storm Water Fund,
Wischman stated that revenues remained consistent; however, the expenditures increased. This fund
was able to cover half of its depreciation expenses and remains consistent with 2008.
Frank questioned which Fund will be used to finance the 16th Avenue SE Improvements. Bartlett stated
that it would be the Storm Water Fund. Staff will look at the fees to make sure that they are covering
enough. She added that these costs will not be paid for up front; rather they will be a revenue source
attached to the debt issued for the improvements. Therefore the payments will be spread equally the
term of the debt issued.
He then addressed a few items outlined in the Audited Financial Statements. He began by advising the
Council that the City's Financial Statements are classified at the highest level possible which is a
clean /unqualified opinion. The 2009 Statements include the new GASB requirement, impact of POST
Employment Benefit. The City hired an actuary to complete the analysis and the report illustrated that the
City has a minor financial impact for POST Employment Benefits. Overall he stated that the City had a
stable year and ended in a similar position as to the beginning. He added that the consistency is due to
sound accounting policies.
In response to Wischman's presentation, Wick questioned the following sentence relating to the Sanitary
Sewer Fund:
"The expense decrease was attributed to additional billings paid to the City of St. Cloud,
Minnesota, for design costs allocated to the City for the future renovation and expansion of the
City of St. Cloud's wastewater treatment plant. "
He questioned how that could result in an expense decrease. Wischman replied that the billings that were
referred to were from 2008.
Frank stated that, as a member of the MN Pension Plan, we know that there will be a major increase to
cover some of those plans. He questioned whether or not this will impact the City of St. Joseph. Bartlett
advised Frank that there are proposed changes to the contributions and the City should know what those
are prior to the start of the budget process. The changes would take effect in January 2011.
Frank questioned when the Council will begin looking at fees for refuse, etc. According to Weyrens, they
will begin those discussions during the budget process which will begin in October.
CITY ENGINEERIPUBLIC WORKS REPORTS — No Report
POLICE CHIEF REPORTS — No Report
ADMINISTRATOR REPORTS
2010 Lease Agreement, St. Joseph Recreation Association: Weyrens stated that the City historically has
leased the ball fields at Millstream to the St. Joseph Recreation Association with the lease agreement
covering a five year period. The Lease agreement identifies the responsibilities of each party and has
functioned well over the years. The current lease expired at the end of 2009. Since the softball season is
ready to begin, the new lease agreement needs to be executed. The lease agreement is identical to the
lease that has just expired.
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Wick made a motion to authorize the Mayor and Administrator to execute the lease agreement
between the City of St. Joseph and the St. Joseph Recreation Association for the term January 1,
2010 through December 31, 2014. The motion was seconded by Symanietz.
Discussion: Frank stated that five years seems like a long period of time for a lease agreement.
Frank questioned whether or not the public has access to this field as well. Weyrens responded
that they do have access. Thene added that there were kids out playing ball there today.
The motion passed unanimously.
Election Grant: Weyrens reported that the City received an award notice for the Federal Election
Assistance for Individuals with Disabilities Grant in the amount of $4,289. The funds are to be used for
the installation of handicap push buttons at the St. Joseph Fire Hall. She stated that the request was fully
funded.
Loso made a motion to accept the grant funds in the amount of $4,289 to install automatic door
control switches. The motion was seconded by Symanietz.
Discussion: Loso questioned whether or not this would need to now go through a bid process.
Weyrens stated that it would not as Thene originally got quote from both Cold Spring Electric and
East Side Glass. He will contact those companies to perform the work. The dollar value of the
work does not meet the threshold for competitive bidding.
The motion passed unanimously.
2009 Audit: Frank made a motion to accept the 2009 Audited Financial Statements as presented.
The motion was seconded by Wick and passed unanimously.
MAYOR REPORTS — No Report
Rassier stated that it had been a tough year so far and he added that he appreciates the work that staff
has done as well as the rest of the Council. The Audit shows that these people have done their due
diligence.
COUNCIL REPORTS
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Ethics Implementation: Frank questioned the implementation of the ethics policies that have been
approved. Rassier stated that, over the next month, he plans to attend a meeting of each of the various
boards /commissions to explain where this all came from. He will have packets available for each of the
members. Rassier explained that nothing needs to be signed. The purpose of the new ethics policies is to
ensure that the City has the best representation on each of its boards. Weyrens stated that, as people are
appointed, they would be given a packet as a handbook for them to use as a guide. Frank clarified that
during the Council's discussion, these were inspirational goals and they were not going to be used to
remove or criticize a board member. He re- stated that nothing needs to be signed.
St. Cloud Joint Planning District Board: Frank advised the Council that he had every intent on attending
the last meeting, but was unable to make it due to a conflicting commitment. He has the packet, if anyone
is interested.
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St. Ben's Sewer Agreement: Loso provided the Council with a brief update on the St. Benedict Sewer
Negotiations. He stated that they received a letter from their attorney and they have a tentative MOU that
they plan to move forward with. The Committee plans to meet again next week to review the proposal.
This has been going back and forth, but not going anywhere. Rassier clarified that the fees are paid up to
date. Frank questioned if the City's position is to bill them the same as any other commercial user. Loso
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stated that yes, that is the City's position, but there are some other factors that have come into play as
well.
WICK
Wastewater Treatment Facility — Ground Breaking: Wick advised the Council that he attended the Ground
Breaking Ceremony at the new wastewater treatment facility on May 4. He stated that Sabart, Thene and
Marthaler were also present. He stated that it was nice to see that things are progressing. He added that
the General Contractor stated that they are trying to hire approximately 50% of the sub - contractors from
the local area.
St. Cloud Partnership: Wick reported that on May 13, as part of the American Recovery & Reinvestment
Act, there will be a seminar for lenders as well as small businesses. This seminar will address various
programs for financing and start-up costs. He added that there are 19 other organizations in the region
that deal with economic development and the Partnership is trying to figure out more regional cooperation
amongst them. They have set up a task force to try to get those organizations to work better together. He
added that the Partnership will be hosting a "road trip" to Dubuque, IA on May 26 -27. He stated that
anyone is invited to attend and if there are questions, they can be fed through him.
EDA: Wick reported that the EDA recently reviewed and approved two BFA Applications: St. Joseph Meat
Market and Kay's Kitchen.
Planning Commission: Wick reported that the Planning Commission will begin review of the Downtown
Parking Regulations. He also advised the Council that Mike McDonald resigned from the Commission.
SYMANIETZ — No Report
Planning Commission Vacancy: Due to the recent resignation of Commissioner McDonald, there is an
opening on the Planning Commission. Rassier questioned the Council whether they would like him to look
over the applications on file or whether the City should accept new applicants. Loso suggested that he
review those already on file. Frank, Symanietz and Wick; however, all agreed that the City should
advertise that we are accepting new applications. Rassier agreed and stated that applications would be
due by June 4, 2010. Loso questioned the possibility of the Council seeing the applications to see what is
out there.
Admiourn: Loso made a motion to adjourn; seconded by Wick and passed unanimously.
Judy Weyrens
Administrator
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