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City Council Minutes 01-23-2012 SpecialMINUTES SPECIAL MEETING /WORKSHOP — MONTICELLO CITY COUNCIL Monday, January 23, 2012 — 5:30 p.m. Mississippi Room, Monticello Community Center Present: Clint Herbst, Lloyd Hilgart, Tom Perrault, Glen Posusta, Brian Stumpf Absent: None Others: Jeff O'Neill, Megan Barnett Livgard, Bill Demeules (EDA), Angela Schumann, Steve Johnson 1. Call to Order Mayor Herbst called the Special Meeting to order at 5:34 p.m. 2. Purpose of Meeting: Analysis of Economic Development Authority (EDA) restructing options Jeff O'Neill explained that Council had requested a workshop to discuss possible options for restructuring of the EDA. He mentioned that a small group meeting was held last week between Tom Perrault, Brian Stumpf, Bill Demeules and city staff to preview some of the options. 3. Discussion and Consideration of selecting an option for restructing the EDA Jeff O'Neill talked about some of the options that were discussed in the small group and pointed out that the direction was intended to streamline decision- making by the EDA. Jeff O'Neill directed the group to the table that was developed. Option A: Deep EDA as is with 2 Council members and 5 at -large members Option B: Change EDA to 3 Council members and 4 at -large members Option C: Eliminate the EDA and have Council serve as the EDA Option D: Eliminate the EDA as it now stands; have Council serve as the EDA plus 2 at -large members Option E: Eliminate the EDA; have Council serve as the EDA with the IEDC providing input as an advisory group Jeff O'Neill pointed out that the small group indicated a preference for Option B which would give more balance toward Council, promote more efficiency and consistency in implementing city goals and plans, and provide input from the public and stakeholders. A negative of this option would be adding a third Council member and the additional time requirements that would ensue. Jeff O'Neill mentioned that Glen Posusta had suggested an idea to establish the EDA with 3 at large members and 2 City Council members. This would not require an additional City Council member but would still achieve the objectives identified by the small group. Clint Herbst suggested that they also consider opening the at -large Special Council Meeting /Workshop Minutes — January 23, 2012 Page 1 membership to non residents. Bill Demeules suggested that at -large members outside of city limits should have ownership in property or a business interest within the City. Glen Posusta talked about another option of having the EDA made up of 4 at -large members and 1 City Council member. This would encourage the City Council member to represent City Council interests and be able to verbalize this to the group. Glen Posusta stated that he doesn't recall ever having so many joint meetings and wondered if that was a result of some of the ongoing discussions. Megan Barnett Livgard noted that there are some newer members that lack experience and are still being educated; this may contribute to some of the issues. Glen Posusta asked if the Mayor would serve as the third City Council member if that was the recommendation. Brian Stumpf indicated that he is not so sure about Option B with 3 City Council members after thinking about this further. He feels there are some underlying issues to work out and adding a City Council member may not correct that. Clint Herbst suggested that perhaps they should focus on the issues first. Brian Stumpf said he does not have a problem with switching to a 5 member EDA (with 2 City Council members) but he wondered how that would affect the 6 -year terms. Bill Demeules said he believes that 6 -year terms are required for EDA members. Brian Stumpf said he would prefer a 5 member EDA with 1 City Council representative. Lloyd Hilgart said he would like to see continued participation from the public but would like to keep 2 City Council members on the EDA. Brian Stumpf noted that it is important to align the EDA with the Council as the Council is ultimately responsible for city decisions. Glen Posusta asked if there are situations where the EDA can snake decisions that do not require Council action. Megan Barnett Livgard used an example of an existing TIF district with a surplus balance. If the EDA would want to utilize the surplus balances, they have the power to spend the money. Megan Barnett Livgard also noted that the Council approves the general budget for the EDA and the EDA has the power to utilize that budget for purposes they designate. Clint Herbst stated that it appears they are back to a 7 member board but could allow membership from outside the city limits. Brian Stumpf would still like to see a 5 member board with either 1 or 2 City Council members. Megan Barnett Livgard asked how they would deal with dropping a member from the EDA if they go to a smaller board. Bill Demeules suggested that the process would probably require new membership appointments. Jeff O'Neill asked if it would stifle discussion by moving to a smaller board or would it possibly encourage more cohesiveness. Opinions were offered on a possible 5 member board with configurations of either 1 or 2 City Council members. Megan Barnett Livgard reiterated that legal counsel will need to be involved to address the process of restructuring the board if it is required to reduce the number of at large members. Glen Special Council Meeting /Workshop Minutes — January 23, 2012 Page 2 Posusta suggested that the Council consider holding off on implementing a decision until after January 2013 and allow another position to expire. Lloyd Hilgart suggested that perhaps one of the current City Council members could drop off, leaving 1 City Council member and 4 at large. This could be a trial period to see how it works. Tom Perrault noted that he would not be in favor of that as he feels there should be 2 City Council members on the EDA. Bill Demeules also recommended keeping 2 City Council members on the EDA as it provides better feedback. Brian Stumpf does not want to let the subject linger for a year. He would rather have staff continue working with legal counsel to develop the process for restructuring based on the options discussed. Brian Stumpf also stated that he would be in favor of opening membership to persons residing outside the City as long as they own property or have a business interest within the City. Megan Barnett Livgard explained that she has spoken to the city's legal representatives (Martha Ingram & Steve Bubul) and there is a process to go through to restructure the board along with a possible requirement to hold a public hearing if there is a need to eliminate any existing board members. Megan Barnett Livgard confirmed that there is general consensus to look further at a 5 member EDA board. Tom Perrault noted that he would like to see at least one of the at large members be a resident of the City; otherwise he was okay with opening up membership to business /property owners that do not live in the City. Glen Posusta and Brian Stumpf stated that they are okay with the at -large members residing in or out of the City as long as they are city business /property owners. 4. Adjournment BRIAN STUMPF MOVED TO ADJOURN THE SPECIAL WORKSHOP AT 6:31 P.M. TOM PERRAULT SECONDED THE MOTION. MOTION CARRIED 5 -0. Recorder: Catherine M. Shuman( 44 Approved: February 13, 2012 Attest: 't hnimstrator Special Council Meeting /Workshop Minutes — January 23, 2012 Page 3