HomeMy WebLinkAbout2013 [08] Aug 15August 15, 2013
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Pursuant to due call and notice thereof, the St. Joseph City Council met in regular session on Thursday,
August 1, 2013 at 7:00 PM in the St. Joseph City hall, opening the meeting with the Pledge of Allegiance.
Members Present: Mayor Richard Schultz, Councilors Dale Wick, Renee Symanietz, Steve Frank and
City Administrator Judy Weyrens
City Representatives Present: Finance Director Lori Bartlett, Police Chief Joel Klein, City Engineer Randy
Sabart, and Public Works Director Terry Thene
Others Present: Loretta Steckelberg, Monte Estvold, Doug Carlson, Rod Bemis, Joe Klein, Mark
Ostendorf, Tom Klein, Pete Jansky
Oath of Office: Given by Weyrens to Police Officer Travis Manderscheid. Office Mandersheid then
introduced himself to those present.
PUBLIC COMMENTS
Loretta Steckelberg, 301 11th Ave SE, approached the Council thanking them for the letter she received
today from the City regarding discussions had about the parking pad ordinance as it clarifies the position
of the City. She has concerns for new members of the city who may not read the ordinances, who could
be in violation of these ordinances. She recommends making items like this more clear to members of the
city. She states that there are inconsistences with the ways information is inseminated to homeowners
regarding whether they are in violation or not. She states that many individuals in the community are very
busy and may not have time to read the newsletter.
Approval of the Aaenda: Frank made a motion to approve the agenda pulling items deleting 5(a)
minutes and adding 12(a) updates and removing for discussion items 5(d) Donations and 5(e)
Gambling. The motion was seconded by Wick and passed unanimously.
Consent Agenda: Loso made a motion to approve the consent agenda as follows; seconded by
Schultz and passed unanimously. Removed from discussion
a. Deleted
b. Bills Payable — Approved check numbers 046868 — 046911 and payroll EFT #00834- 00838
and accounts payable EFT #001624- 001625
c. Treasure Report — Accepted the July 2013 Treasurer Report
d. Removed for discussion
e. Removed for discussion
Donations and Gambling: Frank thanked those who donated to the Archery Range and Disc Golf. He
would like to see to total in donations at the end of the year. Frank asked Weyrens to provide more
clarification regarding the donation of $250.00 from Stearns Electric to Cloverdale Park. Weyrens stated
that with the renovations to the park, there needed to be an outlet in the park which would have cost over
$600.00. She contacted Stearns Electric and they agreed to donate $ 250 towards the project.
Frank addressed the gambling reports stating that he noticed a declined in proceeds when it came to pull -
tab gambling. He recognized the donations made to the City of St. Joseph from the Legion for $3600.00,
the St. Joseph Lion's Club $11,652.00, and St. Joseph Jaycee $12,360.00. He also recognized the non -
monetary donation made by Central Minnesota Sexual Assault Center to train the first responders and
police. He thanked all the groups for their donations. A motion was made by Loso to approve the
donations for their stated purposes and to accept the 2" d Quarter Gambling reports as presented.
The motion was seconded by Symanietz and passed unanimously.
2013 Bond Issue, Monte Estvold — Northland Securities: Monte Estvold approached the Council to
address the issuance of bonds that the city is contemplating. He stated that the seeking funding for the
following projects: 1) $265,000 for the Equipment certificates; 2) $1,875,000.00 for the sewer project; 3)
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$405,000 for the street project for a total of $2,545,000.00. The second item he highlighted was the
reoffering premium. Estvold then discussed the interest rates in future. In 2014 interest rates start out at
2% and slowly increase to 3.7% by 2028 for an average rate of 2.88 %. He stated that the interest rates
have been going up since about May of this year and that he sees them being higher next summer than
they are now.
Frank stated he has noticed how the increase of interest rates and higher bidding has caused cities to
hold off on projects. Estvold thinks that rates will level off at this point of the year but will continue to
increase. He explained the third page of the handout, a summary of the reoffering premium. He explained
that the coupon rate is the rate the city will pay on the bonding issue and the yield is the actual market
rate that is available in the market place today. For the first 5 years, the city will pay more than what the
market rates are because bonds cannot be sold at half of a percent. The result of this is $26,496.00 extra
that the city will pay over time for a premium bond. This money will be paid to the city by Northland
Securities up front which will go into the city's construction fund relating to the projects. The money given
will help offset the tax levy that will be due.
Estvold discussed the costs related to the issuance of the bonds. There is a $10,000 bond council fee,
and a rating agency fee of $8,500.00. He stated that the city has an A+ rating whereas other cities that
have been rated have been downgraded. The rating agency noted the strong financial policies and
management for keeping the rating at A +.
Loso questioned the 838 yield statistics specifically, the $20 million dollar figure and how that relates to
the City debt. Estvold stated that they enter the numbers into their computer and the formula computes
the bond year, bond yield and interest rates. He stated that he would not be concerned with the $20
million figure because it is simply a way of computing bond years.
Frank made a motion authoring the Mayor and Administrator to execute Resolution 2013 -035
motioned for the authorized execution of resolution of 2013 -035 accepting the proposal and
rewarding the sale of $2.545 million gold refunding bond series 2013. The motion was seconded
by Symanietz.
Discussion: Frank explained for those present that the bonds are for street improvements, sewer
improvements and various equipment certificates. Wick questioned what equipment these certificates are
for. He asked if the front -end loader and new gator are new, or if they are replacing something. Weyrens
stated that the loader was new and the gator was used but new to the City.
Frank made a motion authorizing execution of resolution 2013 -035 Resolution Providing for the
Issuance and Sale of $ 2,545,000 General Obligation Bonds, Series 2013A, Pledging for the
Security thereof Special Assessments and Net Revenues and Levying a Tax for the Payment
therefore. The motion was seconded by Symanietz and passed unanimously.
Loso made a motion authoring the execution of an agreement between the City of St. Jsopeh and
Northland Security to purchase the GO Series 2013A Bond Issue in the amount of $ 2,545,000.
The motion was seconded by Wick and passed unanimously.
Doug Carlson, St. Joseph Lions: Doug Carlson of the St. Joseph Lions approached the Council to
discuss the community outreach efforts of the Lions. Carlson stated there are currently 47 members and
they have raised $966,000.00 in the last 49 1/2 years with the money coming from service projects. He
noted that they have completed many projects to better the appearance of St. Joseph; including shelters
in many of the parks in town. The club will be celebrating the 50th anniversary in spring 2014.
Schultz stated the Lion's Club is a valuable partner for the City of St. Joseph and on behalf of the
community of St. Joseph he thanks the Lions for the commitment and service to St. Joseph. .
Weyrens made note of a donation just received from the Lion's Club in the amount of $2,100.00 for
barricades for the parade.
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Frank suggested having a more formal way of recognizing groups that contribute to the city such as
recognizing them on the city webpage, or on the cable network. Weyrens stated that the City has recently
received a donation in the amount of $ 2,010 for the purchase of barricades for the July 3 and 4
celebration. Schultz moved to accept the donation of $2,010.00 from the lion's club for the
barricades. The motion was seconded by Wick and passed unanimously.
Xcel Energy Lower lines on MN Streetl: Mark Ostendorf, community relations manager, approached the
Council and introduced himself to the Council and also introduced Rod Bemis, Electrical designer and
Joe Klein. Ostendorf stated that he is following up with the Council on the request to consider relocating
the overhead power lines on Minnesota Street between 1 st Ave East and 2nd Ave West. Excel staff has
reviewed the request and have determined that the lines could be moved north to the east west alley.
However, even if the lines are moved, they would have to maintain three overhead crossing which would
be located at the following street locations: 1) 2"d Avenue NW, which is currently in place; 2) 1 st Avenue
which serves the expansion that St. Ben's completed; and 3) 1 st Avenue E and Minnesota.
Bemis stated that if the City would like to move forward to design the proposed relocation, a $ 5,000
deposit would be required and if the project moves forward the $ 5,000 is deducted from the construction
costs. Joe Klein stated that the City could anticipate a design period of three to four months depending
on scheduling. Schultz stated that he would like to have community feedback on the proposal and
suggested this matter could be placed on the ballot to see if residents are willing to pay the cost to
relocate the service.
Bemis stated that the estimated construction cost is from $175,000.00 to $225,000.00. He went on to say
that there would be additional costs in having residents re -wire their electricity from Minnesota Street, to
run out the back of their homes. Klein, representative from Xcel, explained the estimate is solely for the
work done by Xcel. It doesn't include the cost of residents having to move their meter box from one side
of the house to the other. Klein stated their estimate excludes other services or providers that may be tied
to the electrical poles such as Charter. Schultz presented the question to the Council regarding whether
to proceed with the $5,000.00. Symanietz asked whether new poles will need to be used or if they move
the existing poles to the new locations. Ostendorf stated that they will need to use new poles because the
old ones will need to continue to produce energy as they are working on the new route.
Loso made a motion to table the discussion in order to get more details to include an estimated
cost of the additional fees that residents would incur and to determine what other utility
companies may be impacted by the relocation such as Charter or Century Link. The motion was
seconded by Loso and passed unanimously.
Discussion: Frank suggested having a more detailed question on the ballot, giving residents a
specific idea of the impact this will have on them financially. Wick asked whether the city would pay to
have these businesses relocate their electrical wiring. Weyrens stated that she would follow up and see if
that would be a possibility. Klein stated the Cities of Albany and Richmond have gone through the project
and the cities have paid for the relocation of services. Weyrens asked to have a month to gather
information and estimates on costs of relocation of services.
Frank questioned Xcel regarding the burying of lines and where they see that going in the future.
Ostendorf commented that burying lines would be more expensive then leaving the wiring overhead with
the cost being 4 -8 times more. He added that outages would be prolonged because it would take longer
to find the issue. At this time he stated that Xcel is not looking to bury any more lines.
City Engineer Reports
2013 Street Improvement Update: Sabart stated that he is still waiting to receive a schedule from the
contractor as to when they will start the project. He advised that the contractor that the project must be
completed no later than September 30tH
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County Road 2 Re- alignment: Sabart reported that the Stearns County Highway Department has initiated
the process to determine if the new intersections warrant intersection traffic controls. As he hears more
he will forward the information to the Council. Loso questioned if the spoil pile near the new road will be
moved or if they are looking for a place to dispose of the material. Sabart stated that he would check with
Stearns County.
Parking on Minnesota Street: Sabart stated that previously the Council had discussed the possibility
addressed diagonal parking along Minnesota Street between and Weyrens requested that he provide
some potential impacts for changing the parking. Therefore, he presented four different alternatives when
considering angle parking. When designing angle parking they are either designed with a 45 or 60 degree
angle and each type utilizes a different amount of pavement width. He also clarified that all parking must
meet the design standards for state aid roads as Minnesota Street West will be on the City State Aid
route. Sabart stated that his comments are based on traffic counts before the re- alignment of CR 2 when
the average trips per day was 6,000 cars, increasing as it got closer to the College.
Sabart presented the following different scenarios for the parking
1. The first exhibit would eliminate the parallel parking and have two 16 foot wide lanes,
reducing the parking spots from 32 to 24.
2. The second exhibit would keep the parallel parking but reduce the lane width to 12 feet.
There would be 41 stalls rather than the current 32.
3. The last two exhibits displayed 60 degree parking. Sabart noted the difference between the
45 degree and the 60 degree parking is the reaction distance. The 60 degree parking would
need additional real estate as more space is needed to allow for the increase in reaction
distance. The third exhibit would create 31 parking stalls if the parallel parking was eliminated
on the south side.
4. The last exhibit would require the boulevard to be removed. Sabart noted that if the traffic
exceeds 3,000 cars per day then there would need to be a 19 foot reaction distance rather
than the 7 feet. Sabart thought the city would exceed the 3,000 cars per day.
Schultz provided a recap of Sabart's presentation and the exhibits that were presented and action was
not taken.
Committee Reports
PLANNING COMMISSION
PUD Amendment S &H: Weyrens stated that the planning commission met and considered a public
hearing for an Amendment to the PUD for S& H Partnership. The property is adjacent to Graceview,
Apartments. Weyrens stated that proposed development is governed in part by a mediated settlement
agreement that was executed at the time the Graceview Apartments were constructed. The agreement
allows the property owner to construct 10 townhomes with two (2) four unit and two (2), two unit patio
homes. The developer at this time is requesting to change the plan to (2) three unit homes and two (2)
two unit homes and constructing one road in the middle rather than on each side. The agreement
clarifies that if the traffic circulation changes, a public hearing is required. Weyrens clarified that the
number of units has not changed, just the configuration.
Tom Klein, S &H Properties Representative approached the Council regarding the new plan proposed for
the road going down the center of the townhomes. He stated that it would create more green space for
the townhomes with lights only on the street and not in the back yards.
Loso motioned to accept the preliminary concept plan by S &H Properties. The motion was
seconded by Wick with questions; passing unanimously after discussion.
Discussion: Wick questioned the legal ramifications of accepting a concept plan.
Frank asked what the start date was for the project. He was also concerned with the nature and
sensitivity of the area and would like all to remain cautious. Klein stated that the groundbreaking would
begin this fall.
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Frank questioned what the size of the berms would be around the townhomes to which Klein responded
between 2 and 3 feet. There would be alternate maple and spruce trees planted, creating a good barrier.
He stated the lighting would be along the street only.
Frank asked Thene and Sabart if there would be any issues with plowing snow and maintenance. Thene
stated that because it is an association, that the association is responsible for all of those potential issues.
Sabart stated that he would need to look at the parking conditions and whether there is enough room for
parking and guest parking. He noted that the center street would be considered a private street.
Symanietz asked whether guest parking was part of the initial concept plan. Klein stated that it was not
and that would need to be added. Sabart proposed to have available parking on the apartment side of the
site.
Ordinance Amendments: Weyrens stated the Planning Commission is still working on Ordinance
Amendments with a number of the amendment related to adding a provision allowing the City to whithold
a permit or license if the applicant has an outstanding obligation to the City. Another amendment being
considered by the Planning Commission is whether or not expansions to existing facilities in the Industrial
and Highway Business Zoning districts require the property owner to meet the adomment requirements
on the entire facility or just the addition. The Planning Commission is considering not allowing the
adomment if the addition is less than a specified percentage. The proposed change would help reduce
the construction costs in those zoning districts.
Weyrens addressed the R4 ordinance. R4 allows rental by ordinance if it's owner occupied, unless 55 or
older. The request proposed is to change the ordinance to allow non -owner occupied in an R4. The
Planning Commission had a discussion regarding the intent of R4. Schultz stated that R4 is more
complicated than the other ordinances. He adds that if R4 is opened to non - occupied then why does R1
have a two -year permit requirement. Loso added that if dilution of the zones keeps occurring then there
would eventually be no need for zones.
Fire Board: Loso stated that the Fire Board met and approved the May minutes, financial report, purchase
of boots and gloves, accepted the donation of two TV's donated by CMS and approved a preliminary
budget. Wick motioned to accept the donation of the two TVs from CMS for use in the St. Joseph
Community Fire Hall. The motion was seconded by Symanietz and passed unanimously.
Discussion: Frank asked whether there is difficulty keeping the volunteer Fire Department fully
staffed. Loso and Weyrens stated that there have been no issues with hiring and that there have been an
abundance of applications.
2014 General Fund — Preliminary Budget: Weyrens presented the revised 2014 preliminary general fund
budget summarizing the following changes since the last budget meeting:
• Weyrens summarized changes made to the budget since the last meeting. The budget
information provided in August showed an increase in tax rate. The updated budget showed a
decrease in tax capacity rate of 1 %. Weyrens stated the numbers are based upon a 4% levy
increase with no growth. Year 2015 would be the worst year, with numbers dropping again in
2016 due to the levies being dropped.
• Weyrens discussed leasing versus purchasing a copy machine. Marco is offering to lease a copy
machine for $112.00 /month. Frank asked what is in the maintenance agreement of the copier.
Weyrens stated that the agreement includes all toner and only the paper needed to be
purchased. Therefore the budget could be reduced.
Symanietz motioned to authorizing the Administrator to execute a lease agreement with Marco for
the use of a copy machine for the City Offices. The motion was seconded by Loso and passed
unanimously.
• Weyrens stated that they are proposing to shift the money from the crime control investigation
which was for medical family funding for the two new officers to offset one time capital purchases
for the police department.
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• Weyrens stated the funding for the street lights for the signal lights should go to the utility fund.
• Page 7 highlights a shift with money that was set aside for turn back from Millstream Park and
CR3 and was reallocated over to the seal coating fund.
• The $4 -5K allocated to the street sweeper was taken out of the budget. The $7,500.00 taken from
the maintenance shop area is being reallocated to the sewer improvement.
• The money left from the copier machine was moved to offset the cost of the street maintenance
plan.
Loso motioned to adopt the preliminary budget as of now subject to future discussion. The
motion failed for lack of a second.
Wick questioned the approval of the preliminary budget as a deadline for further approval does not need
to be reached until September 15th. Frank stated that he is concerned with whether inspections are
getting done and if they are getting done correctly. Specifically he discussed bars in town and if they are
at their capacity limits. He asked whether the police department has gone down to the bars to check
limits. Weyrens stated that it is the Fire Marshall's responsibility to check capacity limits in bars.
Wick questioned the differences in the budgets of 2013 to that of 2014, specifically the snow removal
fund. Thene stated that the increase is due to the amount of snowfall this past winter and that the city
needs additional salt.
Loso motioned to authorize the Mayor and Administrator to execute resolution 2013 -037 Adopting
proposed 2013 Tax Levy, Collectible in 2014, approving a general fund budget of $ 2,551,215,
setting the truth and taxation hearing for December 5, 2013 at 7:00 PM and declaring a budget
savings for 2014 in the amount of $ 27,000 as a result of the elimination of sales tax. The motion
was seconded by Frank.
Discussion: Schultz stated it appears that the City is reducing certain areas of the capital plan. He
is concerned about the City not having enough money allocated to buy things it will need down the road.
Schultz noted that Facilities and Planning show zeros across the board on the budget. Weyrens stated
that the money being used is for the design service is from the Recreation Center Fund as previously
authorized by the City Council. Frank stated that in every category, the residents' taxes will be decreased
slightly. He then asked about if the intern for the EDA Department was factored into the budget. He noted
that in the past he has seen $4,000.00 allocated to having an intern. He felt that was a bit high. Weyrens
stated that the fund for the EDA is part of the general city fund.
Ayes: Schultz, Symanietz, Loso, Frank
Nays: Wick Motion Carried 4:1
Administrator Reports: Weyrens reported that 75 applications had been received for the Secretary
position. Interviews will be starting shortly after scoring of the application is complete. There was the
application and a supplementary questionnaire. Those that did not complete the entire application were
eliminated.
Mayor Reports: Schultz reported on the following: there were no -shows at the Meet the Mayor event, the
APO Executive Committee met last week and St. Cloud has proposed to change the full board meeting
schedule to three times yearly. It will be talked about more in the first full board meeting in October. The
Community Center Group met and the members are Jody Terhaar, Dean Liedholt, Bobby Jo Schmidt,
Derek Larson, and Jackie Hartman. He noted that it is a great group of residents with great questions.
The information from the meeting will be published and provided to the Council next month.
Council Reports
Svmanietz: Thanked the fireman for putting out signs when they conducted the controlled fire.
Wick: The next meeting of the EDA is Wednesday, August 28 at 5:00 PM.
Loso: No Report
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Frank: Reported that the EDA has been discussing whether or not the EDA should commission a study
to determine the viability of a hotel in St. Joseph. Some reports have indicated that the hotel business
has a tight margin and may not be feasible. He questions the role the EDA/City should have in the study
process.
Police Chief Reports: Pete Jansky thanked the Council for allowing him to become part of the community
as the Police Chief for the past 12 years. Jansky stated that he is proud of the current police department
and of the new Police Chief. He thanked Thene, Bartlett, and Weyrens for all of their help throughout his
employment with the City.
Adjourn: Schultz made a motion to adjourn at 9:20 PM; seconded by Wick and passed
unanimously.
Judy a yens
Admi istrator
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