City Council Minutes 04-24-1995MINUTES
REGULAR MEETING - MONTICELLO CITY COUNCIL
Monday, Apri124, 1.99b - 7 p.m.
Members Present: Brad Fyle, Shirley Anderson, Clint Herbst, Brian Stumpf, Tom
Perrault
Members Absent: None
2. A roval of minutes of the s ecial meetin held A ril 10 1995 and the
regular meeting held April 10, 1995.
AFTER DISCUSSION, A MOTION WAS MADE BY SHIRLEY ANDERSON AND
SECONDED BY TOM PERRAULT TO APPROVE THE MINUTES OF THE
SPECIAL MEETING HELD APRIL 10, 1995, AND THE REGULAR MEETING
HELD APRIL 10, 1995, AS PRESENTED. Motion carried unanimously.
3. Consideration of addin items to the a enda.
A. Consideration of a resolution modifying the approval of the tax
increment financing plan for District 1-19 (Mississippi Shores).
City Administrator Wolfsteller reported that HRA Attorney Steve
Bubul is recommending that the City Council adopt a resolution
modifying the previously-adopted resolution of March 13, 1995, that
established the tax increment district for the Mississippi Shores
senior housing project. Bubul is concerned that potential legislation
being considered could affect the status of this TIF district; therefore,
he recommends adoption of this resolution prior to execution of the
redevelopment contract between the HRA, City, and Senior Housing
Alliance.
AFTER DISCUSSION, A MOTION WAS MADE BY CLINT HERBST AND
SECONDED BY SHIRLEY ANDERSON TO ADOPT A RESOLUTTON
MODIFYING THE APPROVAL OF THE TAX INCREMENT FINANCING
PLAN FOR DISTRICT 1-19 (MISSISSIPPI SHORES). Motian carried
unanimously. SEE RESOLUTION 95-33.
B. Consideration of auulication for a carnival license -Monticello Mall
Merchants Association.
Administrator Wolfsteller reported that the Monticello Mall
Merchants Association has again applied for a carnival license for
Chuck's Amusements to operate at the mall parking lot for 13 days.
They are also again requesting that the carnival fee of $100 for the
first day and $50 per day thereafter be waived.
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AFTER DISCUSSION, A MOTION WAS MADE BY BRIAN STUMPF AND
SECONDED BY CLINT HERBST TO APPROVE A CARNIVAL LICENSE
FOR 8 CONSECUTIVE DAYS AND WAIVE THE DAILY FEES PROVIDED
THAT THE MALL'S DELINQUENT UTILITY ACCOUNT IS PAID IN
FULL. Voting in favor: Brad Fyle, Clint Herbst, Shirley Anderson,
Brian Stumpf. Opposed: Tom Perrault.
C. Consideration of settin a s ecial Council meetin .
Assistant Administrator O'Neill asked Council to set a special Council
meeting along with other city commissions to discuss the
comprehensive plan update.
After discussion, it was the consensus of Council to set a special
meeting far Wednesday, May 3, 1995, at 7 p.m.
4. Citizens comments/ etitions re uests and com Taints.
None.
5. Public hearin on ado tion of ro osed assessment roll for delin uent utilit
i s an certi cation of assessment.._
_ __ _ _ ,,,,. roll to County Auditor.
Mayor Fyle opened the public hearing.
Administrator Wolfsteller noted that Council is asked to adopt an
assessment roll for utility billing accounts which are delinquent more than
60 days and certify the assessment roll to the County Auditor. In addition
to the delinquent amount, the $25 administrative fee has also been added to
each account.
There being no comment from the public, the public hearing was closed.
AFTER DISCUSSION, A MOTION WAS MADE BY SHIRLEY ANDERSON AND
SECONDED BY CLINT HERBST TO ADOPT A RESOLUTION ADOPTING THE
PROPOSED ASSESSMENT ROLL FOR DELINQUENT UTILITY BILLS AND
CERTIFICATION TO THE COUNTY AUDITOR. Motion carried unanimously.
SEE RESOLUTION 95-28.
6. Consideration of amendment to conditional use ermit allowin a arden
center in a B-4 district. A licant Cedar Street Garden Center.
Assistant Administrator O'Neill reported that Cedar Street Garden Center
has applied for an amendment to a conditional use permit originally issued
to Fair's Garden Center in 1989 for the purpose of relocating rock bins from
the Broadway frontage to the northeast corner of the site. The rock bins
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would be replaced with additional parking. O'Neill noted that the Planning
Commission voted to recommend approval of the conditional use permit
based on the finding that the amended site plan will improve the operation
and appearance of the facility.
AFTER DISCUSSION, A MOTION WAS MADE BY SHIRLEY ANDERSON AND
SECONDED BY TOM PERRAULT TO APPROVE THE CONDITIONAL USE
PERMIT BASED ON THE FINDING THAT THE AMENDED SITE PLAN WILL
IMPROVE THE OPERATION AND APPEARANCE OF THE FACILITY. Motion
carried unanimously.
7. Consideration of a rovin a "oint resolution a rovin annexation of the
160-acre Klein Farm site.
Assistant Administrator O'Neill reported that the Township voted to sign
the joint resolution supporting annexation of the 160-acre HIein Farm site
at their April 10, 1995, Board meeting. After City signatures are obtained,
the annexation document will be forwarded to the Minnesota Municipal
Board for approval. O'Neill noted that annexation of the HIein property is
contingent on execution of the development agreement and approval of the
final plat of the Klein Farms subdivision.
AFTER DISCUSSION, A MOTION WAS MADE BY SHIRLEY ANDERSON AND
SECONDED BY BRIAN STUMPF TO APPROVE A JOINT RESOLUTION
APPROVING ANNEXATION OF THE 160-ACRE KLEIN FARM SITE. Motion
carried unanimously.
8. Consideration of approving final plat and adoptinE development agreement -
Klein Farms.
Assistant Administrator O'Neill reported that the final plat design for the
HIein Farms residential subdivision is consistent with the preliminary plat
previously approved by the City Council. He also noted that the
development agreement is currently being reviewed by the City Attorney.
Councilmember Herbst noted his concern regarding the City withholding
development of the park site for five years as noted in the proposed
development agreement. Assistant Administrator O'Neill stated that Tony
Emmerich has agreed to a time frame of 2-3 years for park development.
AFTER DISCUSSION, A MOTION WAS MADE BY TOM PERRAULT AND
SECONDED BY SHIRLEY ANDERSON TO APPROVE THE FINAL PLAT OF
THE KLEIN FARMS RESIDENTIAL SUBDIVISION CONTINGENT UPON
FINAL APPROVAL BY THE CITY ENGINEER, AND TO APPROVE THE
DEVELOPMENT AGREEMENT CONTINGENT ON REVIEW AND FINAL
APPROVAL BY THE CITY ATTORNEY. Motion carried unanimously.
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9. Consideration of a resolution acce tin bids and awardin contract - HIein
Farms, Proiect 95-02C.
Assistant Administrator O'Neill reported that on April 7, 1995, 13 bids were
received for the HIein Farms project ranging from a low of $1,097,583 to a
high of $1,403,905. The engineer's estimate for the project was $1,097,582.
The low bid was submitted by Ryan Contracting, Inc., who has worked on
city projects in the past and has been found to be a responsible bidder.
AFTER DISCUSSION, A MOTION WAS MADE BY BRIAN STUMPF AND
SECONDED BY SHIRLEY ANDERSON TO ADOPT A RESOLUTION
ACCEPTING BIDS AND AWARDING THE PROJECT TO RYAN CONTRACTING,
INC., IN THE AMOUNT OF $x.,097,583. Motion carried unanimously. SEE
RESOLUTION 95-29.
10. Consideration of a rovin develo ment a Bement and final lat of
Cardinal Hills hase V.
Assistant Administrator O'Neill reported that the development agreement
for phase V of the Cardinal Hills residential subdivision is nearly identical
to agreements governing previous phases of this development; however, the
developer has not yet had a chance to review the proposed agreement.
Steve Holker, one of the developers of Cardinal Hills, stated that Council
could approve the agreement contingent on the developer's acceptance of the
agreement.
AFTER DISCUSSION, A MOTION WAS MADE BY SHIRLEY ANDERSON AND
SECONDED BY CLINT IiERBST TO APPROVE THE DEVELOPMENT
AGREEMENT CONTINGENT ON REVIEW AND APPROVAL BY THE CITY
ATTORNEY AND ACCEPTANCE BY THE DEVELOPER, AND TO APPROVE
THE FINAL PLAT OF CARDINAL HILLS, PHASE V, CONTINGENT ON FINAL
APPROVAL BY THE CITY ENGINEER. Motion carried unanimously.
11. Consideration of a resolution acce tin bids and awardin ro'ect -Cardinal
Hills, phase V.
City Engineer Bret Weiss reported that on April 21, 1995, 12 bids were
received. The low bid was submitted by Kadlek Construction in the amount
of $300,599.86. After checking references, it was the City Engineer's
recommendation to award the project to Kadlek Construction.
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AFTER DISCUSSION, A MOTION WAS MADE BY SHIRLEY ANDERSON AND
SECONDED BY BRIAN STUMPF TO ADOPT A RESOLUTION ACCEPTING
BIDS AND AWARDING THE CARDINAL HILLS, PHASE V, PROJECT TO
KADLEK CONSTRUCTION IN THE AMOUNT OF $300,599.86, CONTINGENT
ON EXECUTION OF THE DEVELOPMENT AGREEMENT. Motion carried
unanimously. SEE RESOLUTION 95-30.
12. Consideration of a resolution authorizin the sale of G.O. im rovement
bonds Series 1995A for various im rovement ro'ects.
City Administrator Wolfsteller reported that six improvement projects are
scheduled for 1995, and the City will need to sell bonds to finance the
improvements. He noted it is projected that the 6 projects will require
financing needs of $3,890,000 to be paid back aver a period of 10 years. The
bonds will cover the cast of constructing the following improvements:
Meadow Oak storm sewer outlet, Eastwood Knoll, Southwest Area utilities
extension, HIein Farms, Ocello/School Boulevard, and Cardinal Hills
Phase V.
AFTER DISCUSSION, A MOTION WAS MADE BY CLINT HERBST AND
SECONDED BY SHIRLEY ANDERSON TO ADOPT A RESOLUTION
AUTHORIZING SPRINGSTED, INC., TO PROCEED WITH THE BOND SALE OF
$3,890,000 AS RECOMMENDED WITH BIDS RETURNABLE MAY 22, 1995.
Motion carried unanimously. SEE RESOLUTION 95-31.
13. Consideration of terms of sale - Outlot A Count Club Manor -David
Hornig
Assistant Administrator O'Neill reviewed the original proposal by David
Hornig for purchase of Outlot A, Country Club Manor, which included a
purchase price of $282,000 and an amount of $3,000 per unit For owner-
occupied units. Interest and term of contract had not been determined at
that time. He went on to explain the offer recently proposed by City staff,
which stated that the City would maintain the revenue from the sign
presently located on Outlot A, a purchase price of $303,150, an interest rate
of 7.5% on a 5-year contract, and $3,000 per owner-occupied unit. Hornig's
counteroffer called far Hornig receiving the sign revenue, a purchase price
of $303,150, with an interest rate of 7% an a 10-year contract, and $3,000
per owner-occupied unit. O'Neill also noted that a third alternative would
be to withdraw the offer and maintain ownership of the land. Since it may
be possible to sell the land at a higher price in the future, this alternative
may be the best route.
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David Hornig stated that he would be willing to negotiate his offer to an
interest rate of 7.25% with a 6-year contract. Councilmember Herbst added
that perhaps the City could collect and hold the sign revenue, which the
City would keep if the project didn't develop or would be used to write down
the remaining amount Hornig owes the City when the project does develop.
After discussion, a motion was made by Clint Herbst and seconded by Brad
Fyle to approve the sale of the land to David Hornig at a purchase price of
$303,150, an interest rate of 7.25% on a 6-year contract. Motion includes a
closing date of June 1, 1995, and the City to collect and hold the sign
revenue to write down the amount owed by Hornig. Voting in favor: Clint
Herbst, Brad Fyle. Opposed: Shirley Anderson, Brian Stumpf, Tom
Perrault. Motion failed.
A MOTION WAS THEN MADE BY SHIRLEY ANDERSON AND SECONDED BY
BRIAN STUMPF TO WITHDRAW THE SALE OF THE LAND FROM THE
MARKETPLACE. Voting in favor: Shirley Anderson, Brian Stumpf, Tom
Perrault. Opposed: Clint Herbst, Brad Fyle. Motion passed.
14. Review of li uor store financial statement for the first uarter of 1995 and
consideration of a rovin securit camera urchase and ex ansion of walk-
in cooler.
City Administrator Wolfsteller reported that the liquor store operation
continues to show favorable results with sales increasing 6% over last year's
first quarter results. The gross profit has increased 5.8%, and the resulting
operating net income shows a 13% increase.
After discussion, it was the consensus of Council to accept the liquor store
first quarter financial statement for 1995.
Liquor Store Manager Joe Hartman requested that Council consider
approving a camera security system for the liquor store. He noted that two
quotes were received. The first quote was from Video Production Services
proposing an 8-camera system at a cost of $7,850 and $200 for a VCR lock
box, for a total of $8,050. The second quote was received from Floyd
Security for a similar system totaling $7,976. Hartman noted that he
prefers the system proposed by Video Production Services.
AFTER DISCUSSION, A MOTION WAS MADE BY SHIRLEY ANDERSON AND
SECONDED BY TOM PERRAULT TO AUTHORIZE THE PURCHASE OF AN $-
CAMERA SECURITY SYSTEM FROM VIDEO PRODUCTION SERVICES AT AN
APPROXIMATE COST OF $$,050, INCLUDING THE VCR LOCK BOX AND A
HIGH-QUALITY CAMERA FOR THE FRONT DOOR OF THE STORE. Motion
carried unanimously.
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Hartman also requested that Council authorize expansion of the walk-in
cooler by creating an additional five doors for display of beer products and
allowing an additional 400 cases to be placed in the cooler. He noted that it
has been difficult to keep an adequate amount of beer in the cooler during
peak periods. The estimated cast of the Gaoler expansion, including
electrical hookup and carpentry work, is $15,000.
AFTER DISCUSSION, A MOTION WAS MADE BY SHIRLEY ANDERSON AND
SECONDED BY TOM PERRAULT TO AUTHORIZE AN EXPENDITURE OF UP
TO $16,000 FOR EXPANSION OF THE WALK-IN COOLER AT THE
MUNICIPAL LIQUOR STORE. Voting in favor: Brad Fyle, Shirley Anderson,
Brian Stumpf, Tom Perrault. Opposed: Clint Herbst.
15. Consideration of establishin a marketin strate for Eastwood Knoll
subdivision.
Assistant Administrator O'Neill reported that at the previous Council
meeting, staff was asked to prepare additional information regarding
alternatives for sale of the Eastwood Knoll subdivision to interested
developers and to also obtain proposals from realtors to market and sell the
lots for the City. Following is a summary of the proposals received.
* The proposal received from Orrin Thompson included a down
payment of $50,000 with revenue generated from the sale of lots
amounting to $629,000. This amount is $87,000 short of the $238,000
land value the City had hoped to recover from the project.
* The proposal previously submitted by Vic Hellman was withdrawn.
* Staff researched the possibility of exchanging the Eastwood Knoll
property fora 220-acre site owned by Tony Emmerich, which could
then be used as a sludge deposit site; however, it was found that only
60-80 acres of the site would be usable for sludge deposit. Therefore,
no further efforts are underway to pursue this exchange.
* A proposal received from Tony Emmerich included a letter of credit
equal to 25% of the improvement cost, or approximately $104,000, as
a guarantee. The purchase price would be $20,500 for each of the 33
lots, including a reduction of $1,500 for four lots needing additional
grading, for total of $670,500. Emmerich also agreed to purchase a
minimum of 5-7 lots each year.
* Proposals were received from four real estate companies regarding
marketing the property. All four companies are able to provide the
same services with some variation in terms of commission.
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AFTER DISCUSSION, A MOTION WAS MADE BY BRIAN STUMPF AND
SECONDED BY TOM PERRAULT TO ACCEPT THE PROPOSAL SUBMITTED
BY DALE FLOREK OF EDINA REALTY TO MARKET THE EASTWOOD KNOLL
PROPERTY WITH A 1-YEAR TERM. Motion carried unanimously.
16. Consideration of urchasin a as detector for the sewer de artment.
Public Works Director John Simola reported that the City currently has two
tri-gas detectors in the sewer department, which are also used by many
other departments. Because some of the departments are without a unit for
several days at a time, the Sewer and Water Superintendent is
recommending that the City obtain an additional unit which will monitor
four gases and will provide an additional level of safety for the workers. A
quote in the amount of $].,640 was received from Davies Water Equipment
Company for the four-gas Neotronics meter.
AFTER DISCUSSION, A MOTION WAS MADE BY SHIRLEY ANDERSON AND
SECONDED BY TOM PERRAULT TO AUTHORIZE THE PURCHASE OF THE
NEOTRONICS FOUR-GAS METER FROM DAMES WATER EQUIPMENT
COMPANY FOR $1,640. Motion carried unanimously.
17. Consideration of than a order #1 far Cit Pro'ect 93-04C Public Works
Facilit Ex ansion and Renovation Phase II.
Public Works Director Simola reported that two changes are needed in
construction of the public works facility expansion. The first change
requires installation of slab supports for the front and south entrances at a
cast of $500. These supports were initially deleted from the plans during
the redesign process, but it has been recommended that they be installed.
The second change involves installation of atwo-speed, three-phase heating
and ventilation system and a 100 amp three-phase subpanel at a cost of
$1,765. The bids received included asingle-speed, single-phase unit, which
is not available. The total cost of the change order is $2,265.
AFTER DISCUSSION, A MOTION WAS MADE BY CLINT HERBST AND
SECONDED BY SHIRLEY ANDERSON TO APPROVE CHANGE ORDER #1 IN
THE AMOUNT OF $2,265 FOR ADDING TWO ENTRY SLAB FOUNDATIONS
AND SWITCHING THE HEATING AND VENTILATION SYSTEM FOR THE BAY
AREA TO TWO-SPEED, THREE-PHASE. Motion carried unanimously.
1$. Consideration of ado tin a resolution authorizin the fire de artment to
enter into a coo erative mutual aid a Bement with other Wri ht Count
communities.
Administrator Wolfsteller reported that each community in Wright County
is being asked to consider adopting a resolution agreeing to join the Wright
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County Mutual Aid Association for joint and cooperative use of fire
personnel and equipment. He noted that joining the Association does not
increase the City's liability, and the new agreement will replace some of the
present agreements now in place with other communities.
AFTER DISCUSSION, A MOTION WAS MADE BY BRIAN STUMPF AND
SECONDED BY SHIRLEY ANDERSON TO ADOPT A RESOLUTION
AUTHORIZING THE MONTICELLO JOINT FIRE DEPARTMENT TO
PARTICIPATE IN THE WRIGHT COUNTY MUTUAL AID ASSOCIATION
AGREEMENT. Motion carried unanimously.
SEE RESOLUTION 95-32.
19. Consideration of submittin a letter in res onse to the Buffalo Bituminous
gavel pit EAW.
At the previous meeting of the City Council, township residents raised
concerns regarding the proposed development of a gravel pit and bituminous
plant operation proposed by Buffalo Bituminous. The residents requested
that the City send a letter to the County addressing concerns about the
operation.
AFTER DISCUSSION, A MOTION WAS MADE BY SHIRLEY ANDERSON AND
SECONDED BY BRIAN STUMPF TO APPROVE THE LETTER AS PROPOSED
AND AUTHORIZED STAFF TO SEND THE LETTER TO WRIGHT COUNTY.
Motion carried unanimously.
20. Consideration of modif 'n the miles a reimbursement rate for Council and
em~loyees.
AFTER DISCUSSION, A MOTION WAS MADE BY TOM PERRAULT AND
SECONDED BY GLINT HERBST TO LEAVE THE CURRENT MILEAGE
REIMBURSEMENT RATE FOR CITY COUNCIL AND CITY EMPLOYEES AT
$.2$ PER MILE. Motion carried unanimously.
21. Consideration of an ordinance amendment ado tin 1994 buildin code.
Building Official Gary Anderson reported that for the past six years, the
City has been using the 19$8 Minnesota State Building Code as a guide for
construction within the city. Anderson requested that Council consider
adopting the 1994 Minnesota State Building Code. The most notable
change is in residential construction requiring additional smoke detectors
and 4-inch spacing for deck railing construction.
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AFTER DISCUSSION, A MOTION WAS MADE BY TOM PERRAULT AND
SECONDED BY SHIRLEY ANDERSON TO TABLE THIS ITEM PENDING
FURTHER STUDY. Voting in favor: Tom Perrault, Shirley Anderson, Clint
Herbst, Brian Stumpf. Opposed: Brad Fyle.
22. Consideration of urchase of electric arcJair lasma cutter for the ublic
works shoo.
Public Works Director John Simola reported that in the past the public
works department has used an acetylene torch far cutting plate steel and
aluminum, which often warps sheet steel, is slow, and results in edges
having to be ground to fit properly for welding. It is proposed that the
public works department purchase an electric arcJair (plasma) cutter, which
is faster and provides a smooth cut.
AFTER DISCUSSION, A MOTION WAS MADE BY SHIRLEY ANDERSON AND
SECONDED BY TOM PERRAULT TO AUTHORIZE PURCHASE OF THE
THERMAL ARC PAK MASTER 50 PLASMA CUTTER FROM CENTRAL
MCGOWAN, INC., OF ST. CLOUD FOR $2,236.50. Motion carried
unanimously.
23. Consideration of acre tin bid and awardin ro°ect - Pathwa ro'ect.
City Engineer Bret Weiss reported that three bids were received on April
. 11, 1995, for the proposed pathway project. The lowest bid was received
from Buffalo Bituminous in the amount of $406,076.55. The engineer's
estimate for the project was $354,210. Weiss noted that the ISTEA
program will fund 80% of the total cost of the project, including the 15%
overrun over the estimate.
AFTER DISCUSSION, A MOTION WAS MADE BY CLINT HERBST AND
SECONDED BY SHIRLEY ANDERSON TO ACCEPT THE BIDS AND AWARD
THE PROJECT TO BUFFALO BITUMINOUS IN THE AMOUNT OF $40F,076.65.
Motion carried unanimously.
24. Consideration of authorizin feasibilit stud -Meadow Oak 4th Addition.
Assistant Administrator O'Neill reported that the City recently received a
petition requesting completion of a feasibility study for development of the
Meadow Oak 4th Addition, which is located between the existing Meadow
Oak area and the Briar Oakes development area, and consists of 12 platted
lots that currently do not have city sewer, water, or road services. He noted
that one of the reasons why improvements were never completed is because
a number of the lots are difficult to develop due to poor soils, swamp, low
elevation, etc.
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O'Neill noted that staff is concerned that the pace of development in the city
may overtax sanitary sewer plant resources and that, according to the City
Attorney, the City is not obligated to complete the project via the public
improvement process. In addition, due to the late arrival of the application,
the project was not included in the bond issue already adopted by the
Council; therefore, the City would need to bond separately to acquire funds
for the project, which would be expensive for such a small project.
City Engineer Weiss added that the Army Corps of Engineers should be
contacted to evaluate the wetlands in the area before authorizing this
project.
AFTER DISCUSSION, A MOTION WAS MADE BY CLINT HERBST AND
SECONDED BY TOM PERRAULT TO TABLE THIS MATTER PENDING
RECEIPT OF ADDITIONAL INFORMATION. Motion carried unanimously.
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25. Consideration of bills for the month of A ril.
AFTER DISCUSSION, A MOTION WAS MADE BY SHIRLEY ANDERSON AND
SECONDED BY BRIAN STUMPF TO APPROVE THE BILLS FOR THE MONTH
OF APRIL AS PRESENTED. Motion carried unanimously.
There being no further business, the meeting was adjourned.
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Ka a Doty
Office Manager
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