HomeMy WebLinkAbout[02] August & September Minutes August 3, 2016
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Pursuant to due call and notice thereof, the Fire Board for the City of St. Joseph and Townships of St.
Joseph and St. Wendel met in regular session on Wednesday, August 3, 2016 at 6:00 PM in the St.
Joseph Fire Hall.
Members Present: Fire Chief Jeff Taufen, City of St. Joseph Representative Bob Loso, St. Joseph
Township Representative Jerome Salzer, St. Wendel Township Representative Greg Salk. City
Administrator Judy Weyrens.
Others Present: Jeffrey Janssen, Lori Bartlett, Justin Honer
Minutes: Loso made a motion to approve the minutes from February 10, 2016 as presented;
seconded by Salk and passed unanimously.
Financial Report: Weyrens presented the 2nd Quarter Financial Summary:
Revenues $ 143,135.86
Expenditures $ ( 45,585.78)
Fund Balance $ 582,223.06
Weyrens stated that financial reports represents the first six months of 2016 with 15% of the budget
expended and 50% of the budgeted revenue has been collected. The revenue includes a donation from
the College of St. Benedict in the amount of$ 5,000. The City received a donation of$ 15,000 and a
portion was credited to the Fire Fund. Taufen questioned the amount allocated to the Fire Fund as the
College and Monastery has previously agreed to contribute $ 15,000 per year. Weyrens stated that a
couple of years ago the College and Monastery approached the City Council and stated that they will
determine each year what if any donation would be forwarded to the City and the City could determine
where best to utilize the donation.
Jeff Janssen, St. Joseph Township, expressed concern that the City can determine what portion is
dedicated to the Fire Fund and does not want to see the entire contribution dedicated to the City. The
Fire Department has consistently received a donation from St. Benedict and that should continue. He
further stated that he understands that the City has considerable resources connected to public safety
that are attributable to the College, but the Fire Fund should not be overlooked.
Weyrens stated that other donations to the fund include $ 500 from the St. Joseph Lions, $ 700 from the
Metro Citizens Academy, and $ 17.72 from William Maney. In addition, the interest allocated to the fund
represents 87% of the budget for 2016.
Salzer questioned the capital out expenditures and budget and how the funds are reported. Weyrens
stated that the Fire Board manages a five (5)year capital improvement plan and funds are allocated for
large capital purchases and on the financial statements they are 500's. The funds budgeted in the capital
improvement plan are carried forward each year to help offset the cost of large equipment purchases.
Loso made a motion to accept the 2nd Quarter Financial Report as presented; seconded by Salzer
and passed unanimously.
NEW BUSINESS
State Fire Chiefs Conference: Taufen reminded the Board that in previous years the Board has approved
the attendance of the Fire Chief and Assistant Chief to the State Fire Chiefs Conference. Taufen stated
the conference is a very useful tool for the Fire Department as it allows those attending to hear strategies
of other departments and learns ways to improve efficiencies. The conference is being held in St. Cloud;
therefore, the costs are limited to the registration fee and per diem. The registration is $ 490.00 and the
per diem is $ 100 per day per person. Salk made a motion to approve the expenditure for the Fire
Chief and Assistant Fire Chief to attend the 2016 Fire Chief Conference in St. Cloud. The motion
was seconded by Salzer and passed unanimously.
Donations: Weyrens reported that MN Statute requires that all donations received by a public body be
approved by the governing board. The St. Joseph Fire Relief Association has purchased and donated a
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new automatic Blood Pressure Machine ($ 2,685.90), truck bed slide and painted topper for unit#6 ($
4,755.97) and two thermal imaging cameras ($ 13,000). Taufen stated that the St. Joseph Jaycees
contributed $ 3,000 towards the cameras. Loso made a motion to accept the donation of the St.
Joseph Fire Relief Association in the amount of$ 17,440.97 and the St. Joseph Jacyees in the
amount of$ 3,000 for aforementioned equipment. The motion was seconded by Salk and passed
unanimously.
Air Tanks: Taufen reported that in 2013 the Fire Department received grant funding to update the SCBA
units. At that time 16 new packs were received, 32 tanks and 30 face pieces. The National Fire
Protection Association (NFPA) stated that air tanks should be replaced every 10 years. In order to avoid
large spikes in the budget, Taufen stated that he has budgeted to replace eight new tanks every three
years. Salzer and Salk questioned the need to expend the funds at this time as the tanks are only 3
years old. Since CIP budget funds rollover from year to year, there should not be a need to purchase the
tanks at this time. Salk made a motion to table action on the replace of air tanks until they are
needed for replacement. The motion was seconded by Loso and passed unanimously.
Membership: Taufen reported that Greg Koutoupas did not meet the annual minimum requirements for
the second straight year; therefore he is no longer a member of the department. In addition, Mark Winter
has submitted his intent to retire effective November 3, 2016 and the department had a current opening
due to the resignation of Mike Schmotzer. At this time the Department is in need of hiring three
firefighters to start January 1, 2017. Salzer questioned if Koutoupas is required to reimburse the
department for training expenses. Taufen stated that the reimbursement only applies for two years from
the date of employment and Koutoupas has been on the department since 2009. When questioned the
cost for hiring a new firefighter, Taufen responded that over a two year period the hiring and training is
approximately $ 5,000. Salk questioned if the Fire Department has a waiting list to which Taufen stated
that they do not, they would start from scratch. Salk made a motion authoring the hiring process to
replace and fill three openings with a tentative start date of January 2017. The motion was
seconded by Salzer and passed unanimously.
Fire Contract: Weyrens presented the Fire Board with a draft Fire Contract. The current Fire Contract
has expired in May and was in effect for 10 years. The Board has previously discussed different
provisions within the contract and how to address transitioning contributions when annexations reduce
the fire coverage area. In particular, the most recent example is that of St. Joseph Township and the City
of Waite Park. A remaining property within the Orderly Annexation area will be annexed to the City of
Waite Park January 1, 2017. This particular area has an estimated market value of$ 32 M. This same
amount will reduce that contribution paid by St. Joseph Township and subsidized by the City of St.
Joseph and St. Wendel Township. Based on the current tax values, St. Joseph Township would realize a
decrease in fire contribution of approximately $ 11,500.
Weyrens stated that at the past Fire Board meeting, Janssen suggested looking at requiring a phase out
of the contribution, similar to that of when annexation occurs. The proposed contract requires a
jurisdiction losing tax base to pay 100% of the requirement as if the annexation did not occur the first year
and then reduce by 20% for the next for years. This would allow the other jurisdictions an opportunity to
absorb the increased cost.
Salzer and Janssen questioned the ownership of equipment. Weyrens stated that when the contract was
amended 10 years ago, the agreement was amended so that the property owned by St. Joseph Township
is equal to the apportionment paid each year. Originally the St. Joseph Township owned 50% of the
equipment and building. However, when the contract was amended as St. Joseph Township no longer
paid 50% of the expenses. Salk stated that St. Wendel does not have any ownership responsibilities and
that when the contract was amended 10 years ago, St. Wendel received voting rights.
Janssen questioned the need to attach the original contract as an attachment to the new contract.
Weyrens stated that it is attached as not all the provisions included in the old contract are in the proposed
draft. Only those items being amended were included in the new contract. The Board agreed that the
current contract is confusing and one contract should be drafted to include all provisions. The Board also
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agreed to review the transitioning payments and requested that Weyrens prepare a new draft for review
and comment. The board agreed to meet again on September 21, 2016 to review the draft contract.
Preliminary Budget, 2017: Weyrens and Taufen presented the Board with the proposed 2017 Fire Fund
Budget. City Finance Director Lori Bartlett stated that the budget process for 2017 began in June and the
Fire Chief has submitted a draft for review and consideration. The preliminary budget includes operation,
capital and debt management. The last payment for the Fire Hall will be in 2017, and as a result, all
parties will realize a reduction in the annual payment. Weyrens stated it is her understanding that the
annexation for Waite Park will be effective January 1, 2017, after the Fire Board Budget is established.
Therefore, the apportionment would not change for the coming year. Weyrens reminded the Board that
the apportionment is based on the preliminary budget and funds not expended remain in the Fire Fund.
Capital Funds are designated for the CIP and the operation surplus is added to the fund as undesignated.
Bartlett stated that the proposed operation budget reflects an increase of 4.96% or$ 15,495 while the
debt service funds reflect a 1% increase. The Fire Board has agreed to incrementally scale back the
operation reserve buy-down each year until the budget is fully funded. For 2017, the budget buy-down is
proposed at$ 5,000. Weyrens clarified the proposed preliminary budget does not include a donation
from St. Benedict as they have stated that they will review the opportunity each year and made a decision
annually if they will make a donation and what amount. The donation will still be received by the City and
a portion allocated to the Fire Fund. Janssen reiterated that he does not want to see the City keeping the
entire donation as it was started by the Fire Fund.
Taufen stated that the increases in the budget included allocating additional funds for training and call
outs pay, truck certification and repair, regional safety costs, and increase in workers compensation
premium. He further stated that he does not anticipate needing to allocate additional funds for large
purchases at this time. Taufen expressed frustration regarding the lack of contribution from St. Benedict
and questioned if they could not be required to contribute as he has correspondence from them that they
would contribute $ 15,000 annually. Weyrens stated that a donation is voluntary and they have total
control, there is nothing the City can do at this time.
Weyrens reminded the Board that the first step in the budget process is adopting a preliminary budget
and forward a recommendation to the City Council. The City is required to adopt a preliminary budget no
later than September 28, 2016. Once the preliminary budget is confirmed, it cannot be increased but can
be decreased. The final budget is scheduled to be adopted the first Monday in December. The following
is a summary of the proposed 2017 Preliminary Budget:
2016 2017
Adopted Proposed Increase
Budget Budget (Dlecrease)
Fire Fund $ 312,525 $ 328,020 $ 15,495
Elebt-Fire Hall $ 74,750 $ 76,700 $ 1,95D
Debt-Pumper Truck $ 45,360 $ 44,560 $ (800)
Tota! $ 432,635 $ 449,280 $ 16,545
Salzer made a motion recommending the City Council accept the Preliminary Budget for the Fire
Operations,with a proposed expenditure budget of$ 449,280, as detailed above. The motion was
seconded by Salk and passed unanimously.
Adjourn: Salk made a motion to adjourn at 7:45 PM; seconded by Loso and passed unanimously.
Judy Weyrens
Administrator
September 28, 2016
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Pursuant to due call and notice thereof, the Fire Board for the City of St. Joseph and Townships of St.
Joseph and St. Wendel met in special session on Wednesday, September 28, 2016 at 6:00 PM in the St.
Joseph Fire Hall.
Members Present: Fire Chief Jeff Taufen, City of St. Joseph Representative Bob Loso, St. Joseph
Township Representative Jerome Salzer, St. Wendel Township Representative Greg Salk. City
Administrator Judy Weyrens.
Others Present: Justin Honer
Fire Contract: Weyrens presented the Fire Board with the proposed draft for the Fire Contract. The
contract has been drafted to include all the provisions from the last two contracts, eliminating the need to
refer to the original agreement. As discussed at the previous meeting, the contract has been amended to
require a jurisdiction losing property to annexation, to continue to contribute on the market value being
annexed, phasing out over five years. The first year contribution is at 100% and then reduces by 20%for
each of the following four years (100, 80, 60, 40 and 20). The contract has also been amended to
represent current practices regarding meeting dates/times and reporting and includes a five year contract
period.
Salzer questioned the reduction of ownership as it relates to St. Joseph Township. He stated that at one
time St. Joseph Township owned 50% of the assets and now the contract relates the ownership
percentage to the apportionment percentage. Weyrens stated that the original contract did indicate that
the City and Township had equal ownership; however, when the contract was amended in 2006 the
ownership language was amended to equal the apportionment calculated based on the percentage of
market value. Therefore, if St. Joseph Township were no longer served by the St. Joseph Fire
Department, the contract indicates the Township could be compensated for their share of its ownership
rights. Salk stated that the contract does include language that upon termination of the contract, the party
terminating the contract will be compensated for the fair share of the value property at the time of
termination. It also states that if the parties cannot agree on the fair value, it then goes to arbitration.
Salzer questioned if St. Joseph Township would be better off being a contract user, such as St. Wendel
and the City would then manage the Fire Fund. Salk stated that the Township would still be paying the
same rate regardless of ownership. He then questioned Salzer if they would ever not need the fire
department; therefore the ownership is not as significant. There is a cost to providing fire protection and
a building and equipment are part of that. As long as the apportionment is agreeable, and the Townships
have an equal vote in managing the department, then the fire contract works.
After considerable discussion, the Board agreed to move forward with the proposed draft agreement. St.
Wendel and St. Joseph Township representatives will present the agreement to their respective Boards
and forward the recommendation to the Weyrens. Once both Townships have agreed to the contract it
will be forwarded to the City Council for approval and then execution.
Adjourn: Salk made a motion to adjourn at 6:45 PM; seconded by Loso and passed unanimously.
Judy Weyrens
Administrator