City Council Minutes 07-28-2014MINUTES
REGULAR MEETING — MONTICELLO CITY COUNCIL
Monday, July 28, 2014 — 7 p.m.
Mississippi Room, Monticello Community Center
Present: Clint Herbst, Lloyd Hilgart, Tom Perrault, Glen Posusta, Brian Stumpf
Absent: None
1. Call to Order and Pledge of Allegiance
Mayor Herbst called the meeting to order at 7 p.m. and declared a quorum present. The
Pledge of Allegiance was recited.
2A. Approval of Minutes — July 14, 2014 Special Meeting
BRIAN STUMPF MOVED TO ACCEPT THE JULY 14, 2014 SPECIAL MEETING
MINUTES AS PRESENTED. GLEN POSUSTA SECONDED THE MOTION.
MOTION CARRIED 5 -0.
2B. Approval of Minutes — July 14, 2014 Regular Meeting
GLEN POSUSTA MOVED TO ACCEPT THE JULY 14, 2014 REGULAR MEETING
MINUTES AS PRESENTED. LLOYD HILGART SECONDED THE MOTION.
MOTION CARRIED 5 -0.
3. Consideration of adding items to the agenda
• No items were added
4. Citizen comments, public service announcements
A. Citizen Comments: None
B. Public Service Announcements:
1) 2014 -15 Monticello Royalty Introductions — Brenda Skime of the Royalty
Committee presented the new royalty for 2014 -2015. Mackenzie Hedge,
Bailey Stortz, and Vicky Moraa introduced themselves and their sponsors.
Clint Herbst congratulated them and wished them a successful year.
2) Movie in the Park "Gravity" (8/1) — Rachel Leonard announced the movie
"Gravity" which will be shown at the south side of Little Mountain
Elementary at dusk on Friday, August 1 st. The movie is sponsored by
Monticello Times and Great River Life.
City Council Minutes —July 28, 2014 Page 1
3) City Candidate Filing (7/29) and Primary Election (8/12) — Rachel
Leonard announced that candidate filings for city council run from July
29th to August 12th with election to take place on November 4,'.
Interested candidates can file at city hall with Deputy Clerk Cathy
Shuman. Filing fee is $5.
The Primary Election will take place on Tuesday, August 12ffi at the
Monticello Community Center in the gym. Polls are open from 7 AM to 8
PM. Voters can register the day of election with proper identification.
There will be extended hours for absentee voting on Saturday, August 9t'
from 10 AM to 3 PM at city hall. Please see the city's website for more
information on elections.
5. Consent Azenda:
A. Consideration of approving payment of bills for July 28th. Recommendation:
Approve bill and purchase card registers in the amount of $390,885.11.
B. Consideration of approving new hires and departures for City departments.
Recommendation: Ratify new hires and terminations for MCC, DMV, and
Finance.
C. Consideration of adopting Resolution #2014 -071 to accept contributions from
Schlenner Wenner & Co. and Omni Vision & Learning/Uptown Eyecare to MCC
for Movie in the Park events. Recommendation: Adopt Resolution #2014 -071
approving two $500 sponsorships for Movie in the Park from Schlenner Wenner
& Co. and Omni Vision & Learning/Uptown Eyecare.
D. Consideration of approving applications for a 2 -day temporary liquor license and
a charitable gambling permit for the Church of St. Henry's Fall Festival on
September 20 -21, 2014. Recommendation: Approve applications for a
temporary 2 -day liquor license and a charitable gambling permit for the Church of
St. Henry's Fall Festival to be held on church grounds September 20 -21, 2014.
E. Consideration of approving an application for a charitable gambling permit for a
raffle to be conducted by Wright County/West Metro Whitetails on September 7,
2014. Recommendation: Approve the application for a charitable gambling
permit for a raffle to be conducted by West Metro Whitetails on September 7,
2014 at River City Extreme.
F. Consideration of adopting Resolution #2014 -073 stating intent to reimburse from
bond proceeds for Phosphorous Reduction and Other Improvements to the
Wastewater Treatment Facility and System, City Project No. ZZPHOS.
Recommendation: Adopt Resolution #2014 -073 stating intent to reimburse from
bond proceeds for the Phosphorous Reduction and Other Improvements to the
Wastewater Treatment Facility and System, City Project No. ZZPHOS.
City Council Minutes —July 28, 2014 Page 2
G. Consideration of adopting Resolution #2014 -074 authorizing submission of a
Point Source Implementation Grant (PSIG) application for Phosphorous
Reduction and Other Improvements for the Wastewater Treatment Facility and
System, City Project No. ZZPHOS. Recommendation: Adopt Resolution #2014-
074 authorizing submission of a Point Source Implementation Grant (PSIG)
application for Phosphorous Reduction and Other Improvements for the
Wastewater Treatment Facility and System, City Project No. ZZPHOS.
H. Consideration of adopting Resolution #2014 -075 authorizing preparation of plans
and specifications for Phosphorous Reduction and Other Improvements to the
Wastewater Treatment Facility and System, City Project No. ZZPHOS. THIS
ITEM WAS REMOVED FROM THE AGENDA.
I. Consideration of accepting proposal and awarding contract to Wright Hennepin
Services for 2014 Street Lighting Improvements (West 7"' Street between Elm St
and CR 39), City Project No. 14C001. Recommendation: Accept proposal and
award contract in the amount of $118,193.75 to Wright Hennepin Services for
2014 Street Lighting Improvements (West 7d' Street between Elm Street and CR
39), City Project No. 14C001.
Consideration of adopting Resolution #2014 -072 approving Lot 1, Block 1, 90t'
Street Third Addition (PID 155 -185- 001010), a tax forfeit parcel, to be released
for public sale /auction. THIS ITEM WAS REMOVED FROM THE
AGENDA.
K. Consideration of adopting Resolution #2014 -076 amending the delegation of
authority to pay certain claims to the position of Finance Director and in his/her
absence to the position of Assistant Finance Director as established in Resolution
#2013 -089. THIS ITEM WAS REMOVED FROM THE AGENDA.
L. Consideration of changing DMV Hours of Operation on Saturdays. THIS ITEM
WAS REMOVED FROM THE AGENDA.
M. Consideration of releasing FNM General Manager Brian Estrem from his contract
effective July 31, 2014. THIS ITEM WAS REMOVED FROM THE
AGENDA.
BRIAN STUMPF MOVED TO APPROVE THE CONSENT AGENDA WITH
REMOVAL OF ITEMS H, J, K, L, AND M. GLEN POSUSTA SECONDED THE
MOTION. MOTION CARRIED 5 -0.
6. Consideration of items removed from the consent agenda for discussion
City Council Minutes —July 28, 2014 Page 3
5H. Consideration of adopting Resolution #2014 -075 authorizing preparation of plans
and specifications for Phosphorous Reduction and Other Improvements to the
Wastewater Treatment Facility and System, City Project No. ZZPHOS
Tom Perrault wanted to provide a correction to the resolution for the contingency to be
updated to 17.5% in item #4. Tom also questioned when a fourth SBR tank would be
added to the Wastewater Treatment Facility and should that be considered as part of this
proposal. Shibani Bisson noted that the addition of a fourth SBR tank is still being
evaluated as to when it will be needed. It is anticipated to be part of Phase II
improvements. Glen Posusta stated he thought a fourth tank would not be added until we
are at capacity. Chuck Keyes from the Wastewater Treatment Facility spoke briefly and
noted that the third tank is serving as a backup at this time and there is some time to go
before they would reach the point that a fourth tank is needed for backup.
TOM PERRAULT MOVED TO ADOPT RESOLUTION #2014 -073 AUTHORIZING
PREPARATION OF PLANS AND SPECIFICATIONS AND CONSTRUCTION
SERVICES BY WSB & ASSOCIATES AT AN ESTIMATED COST OF $197,070 FOR
PHOSPHOROUS REDUCTION AND OTHER IMPROVEMENTS TO THE WASTE
WATER TREATMENT FACILITY AND SYSTEM, CITY PROJECT NO. ZZPHOS,
WITH A CORRECTION TO THE INDIRECT COSTS AT 17.5 %. LLOYD HILGART
SECONDED THE MOTION. MOTION CARRIED 5 -0.
5J. Consideration of adopting Resolution #2014 -072 approving Lot 1, Block 1, 901h
Street Third Addition (PID 155- 185 - 001010), a tax forfeit parcel, to be released for
public salefauction
Clint Herbst removed this item because he thought this was being discussed as a possible
site for a future fire hall. He wondered whether that had been considered. Jeff O'Neill
noted that city staff had looked at other land that the city owns on the south side of the
freeway and there are several parcels that could be used for a fire substation. It was felt
that this parcel would have more potential to be redeveloped and put back on the tax
rolls. Brian Stumpf verified that the long strip of land adjacent to this parcel was a city
easement.
CLINT HERBST MOVED TO ADOPT RESOLUTION #2014 -072 APPROVING THE
RELEASE OF LOT 1, BLOCK 1, 90TH STREET THIRD ADDITION FOR PUBLIC
AUCTION /SALE BY WRIGHT COUNTY. BRIAN STUMPF SECONDED THE
MOTION. MOTION CARRIED 5 -0.
5K. Consideration of adopting Resolution #2014 -076 amending the delegation of
authority to pay certain claims to the position of Finance Director and in his/her
absence to the position of Assistant Finance Director as established in Resolution
#2013 -089
Clint Herbst questioned this because he felt that Council should be able to remove bills
on the statements brought forward at a council meeting. If they have already been paid,
City Council Minutes —July 28, 2014 Page 4
that might make it more difficult to do that. Wayne Oberg explained that this is an
amendment to a prior resolution which Council approved that dealt with claims
payments. The amendment affects only certain types of bills that have to be paid on a
timely basis to avoid penalty and interest based on payment deadlines. Clint Herbst was
also concerned that someone other than the finance director might approve claims for
payment that should not have been paid prior to council approval. Wayne Oberg gave an
explanation of some types of transactions that would be allowed under this such as liquor
store products and FiberNet contracts and content vendors.
CLINT HERBST MOVED TO ADOPT RESOLUTION #2014 -076 AMENDING THE
DELEGATION OF AUTHORITY TO PAY CERTAIN CLAIMS TO THE FINANCE
DIRECTOR ONLY, AND NOT THE ASSISTANT FINANCE DIRECTOR, AND TO
AMEND APPENDIX A, #13 TO INCLUDE THE WORDING SHOWN AS FOLLOWS.
LLOYD HILGART SECONDED THE MOTION. MOTION CARRIED 5 -0.
13. Type of claims allowed by this resolution: gas and electric utilities; liquor store and
community center inventory purchased for resale; water, sewage, and telephone
utilities: FiberNet content and access providers.
51- Consideration of changing DMV Hours of Operation on Saturdays
Tom Perrault asked about the customer traffic in the DMV office from 12 to 1 p.m. and
suggested perhaps they could open an hour earlier but shut down an hour at the end.
Wayne Oberg stated that staff will monitor customer traffic to see if that should be
adjusted. Lloyd Hilgart noted that he had recently gone there on a Saturday and the
customer lines were quite long.
BRIAN STUMPF MOVED TO INCREASE SATURDAY HOURS OF OPERATION
BY ONE HOUR TO OPEN AT 8 A.M. LLOYD HILGART SECONDED THE
MOTION. MOTION CARRIED 5 -0.
5M. Consideration of releasing FNM General Manager Brian Fstrent from his
contract effective duly 31, 2014
Tom Perrault and Clint Herbst both requested this to be removed. Tom Perrault
explained that he was concerned about the cost for Brian Estrem to continue to provide
consultant services. Jeff O'Neill explained that Brian would be willing to answer
questions without cost to the City but it would probably be minimal. Clint Herbst
expressed his dissatisfaction with Brian's decision to leave early. Jeff O'Neill explained
some of the concerns for handling the transition among current staff and Dan Olsen from
Windomnet when Brian leaves were discussed earlier today. Clint Herbst commented
that he thinks that a good team had been put together; he hopes that the momentum
continues and the City can partner with the Municipal Alliance group for other resources.
Lloyd Hilgart asked what is happening with the 2015 budget that Brian was working on.
Jeff O'Neill noted that Brian and Dan Olsen have been working on a preliminary budget
City Council Minutes —July 28, 2014 Page 5
and that would be submitted to the finance director. Brian Estrem verified that he would
be available for any questions and would not charge for consultations.
BRIAN STUMPF MOVED TO RELEASE BRIAN ESTREM FROM HIS CONTRACT
AS GENERAL MANAGER OF FIBERNET EFFECTIVE JULY 31, 2014, WITH
ESTREM TO SUBMIT A PRELIMINARY 2015 BUDGET FOR FIBERNET TO THE
FINANCE DIRECTOR. LLOYD HILGART SECONDED THE MOTION. MOTION
CARRIED 4 -0. Glen Posusta did not vote.
7. Regular Agenda:
A. Consideration of accepting 2014 DNR Outdoor Recreation Grant award
authorizing appraisals, and approving a corresponding local match for a Phase
VIII acquisition at the Bertram Chain of Lakes Regional Park
Angela Schumann provided a presentation showing the proposal to accept the
2014 DNR grant award and approve a local match for a Phase VIII acquisition at
Bertram Chain of Lakes contiguous to property purchased in June of this year.
The city would also need to authorize property appraisals for the 10.62 acres
involved. The city did receive the maximum grant award at $100,000 that
requires a 50% grant match, which will be split with Wright County. The cost of
the land acquisition is estimated at $265,500 based on a prior appraisal. Angela
Schumann showed the piece of land that is intended to be purchased.
The Outdoor Recreation grant requires that the land be publicly accessible and
open to the public within three years of acquisition. The focus of city staff will be
on planning and development of a master park plan, including funding.
Lloyd Hilgart asked about funding based on park dedication fees. Angela
Schumann explained that the park dedication funds are usually assessed as part of
a development contract and not paid up front when a building permit is acquired.
The special assessments allocated for park dedication are paid with property taxes
and received from the County as part of the tax settlement.
BRIAN STUMPF MOVED FOR ALTERNATIVE #1 TO ACCEPT A 2014
DNR OUTDOOR RECREATION GRANT AWARD IN THE AMOUNT OF
$100,000 FOR A PHASE VIII ACQUISITION AT THE BERTRAM CHAIN OF
LAKES REGIONAL PARK IN CONJUNCTION WITH WRIGHT COUNTY,
INCLUDING: AUTHORIZATION TO ENTER INTO GRANT CONTRACT,
AUTHORIZATION FOR REQUIRED APPRAISALS, APPROVAL OF LOCAL
ACQUISITION AND CLOSING COSTS ESTIMATED AT $92,750, AND
DIRECTING STAFF TO PREPARE APPROPRIATE CLOSING AND
PURCHASE DOCUMENTS. GLEN POSUSTA SECONDED THE MOTION.
MOTION CARRIED 4 -1 WITH TOM PERRAULT VOTING IN OPPOSITION.
City Council Minutes —July 28, 2014 Page 6
B. Consideration of authorizing appraisals and approving a corresponding local
match for a Phase VII acquisition at the Bertram Chain of Lakes Regional Park
Angela Schumann provided a presentation regarding the request for a local match
for the Phase VII acquisition at Bertram Chain of Lakes. The City and County
together were awarded a $1.4 million Park & Trail Legacy Grant which was
designated for Phase VII acquisitions. The city's share of the match would be
$436,410 and would be used toward acquisition of 80 land acres plus some lake
shore in Bertram Chain of Lakes. Angela Schumann noted that there was a slight
change in the configuration of the acreage to be acquired based on changes made
by Council in the sports complex area. Angela noted this acquisition includes
portions of Mud and First Lakes at the north end of Bertram Chain of Lakes. The
estimated value of the proposed acquisition parcel is $2,272,820.
The funding for the city's share is proposed to come from the Park and Pathway
fund and Capital Projects fund. Wright County has already approved their local
match.
Brian Stumpf asked Angela Schumann to identify what has been received in
grants thus far. Angela Schumann noted that City and County have received
about $7.3 million in grants from state and federal funds through Phase VIII. Out
of the total 1200 park acres, 624 land acres will become accessible to the public in
Bertram Chain of Lakes Regional Park. Glen Posusta commented that it is
helpful to be the recipient of the Legacy fund grants which are earmarked at the
state level to be distributed for park and trail purposes somewhere in Minnesota.
GLEN POSUSTA MOVED FOR ALTERNATIVE #1 TO APPROVE THE
LOCAL MATCH FOR ACQUISITION AND CLOSING COSTS ESTIMATED
AT $436,410 AND AUTHORIZE REQUIRED APPRAISALS FOR PHASE VII
ACQUISITION AT THE BERTRAM CHAIN OF LAKES REGIONAL PARK,
AND TO DIRECT STAFF TO PREPARE APPROPRIATE CLOSING AND
PURCHASE DOCUMENTS. BRIAN STUMPF SECONDED THE MOTION.
MOTION CARRIED 4 -1 WITH TOM PERRAULT VOTING IN OPPOSITION.
C. Consideration of gp rp oving one -year extension to the terms of the agreement
governing purchase of Krutzig property at Lot 2, Block 1, Jefferson Commons 1 st
Addition
Jeff O'Neill summarized the city's purchase of Lot 2, Block 1 of Jefferson
Commons 1' Addition from Mike Krutzig in 2012 with an agreement that
allowed him to buy back the property within a 2 -year time frame. The agreement
is expiring soon. Krutzig has requested an extension to the agreement for one
year in order to pursue marketing of the property with some private parties.
GLEN POSUSTA MOVED FOR ALTERNATIVE #1 TO APPROVE AN
EXTENSION TO THE TERMS OF THE PURCHASE AGREEMENT FOR LOT
City Council Minutes —July 28, 2014 Page 7
2, BLOCK 1, JEFFERSON COMMONS FIRST ADDITION TO EXPIRE JULY
1, 2015 WITH NO FURTHER EXTENSIONS TO THE AGREEMENT. TOM
PERRAULT SECONDED THE MOTION. MOTION CARRIED 5 -0.
Wayne Oberg noted that the value of the land is increasing approximately
$75,000 per year.
D. Consideration of authorizing submission of Request for Proposal to the City of
Annandale for provision of broadband services
Jeff O'Neill summarized this item noting that Annandale is pursuing partnership
with an internet provider to upgrade their city with a better system than they
current have. This request is seeking authorization for city staff to respond to
Annandale with a proposal for serving as an internet provider for them. Jeff
O'Neill noted that the response is due by August 1St. City staff is in the process of
developing a proposal which would have the city serving as the operations
manager for internet services. Annandale would be responsible for building the
network under the request for proposal. Jeff O'Neill offered Council an
opportunity to hear more before the proposal is submitted if they would want to
hold a special meeting. Glen Posusta stated that he would be okay with the City
responding to Annandale without further approval of Council as long as there is
not a cost to the City. Brian Stumpf asked Brian Estrem to speak briefly about the
proposal and how the City could serve Annandale.
Brian Estrem explained that Annandale has been working on project plans and
funding for bonds to build a broadband network. Annandale has sent out a
request for proposal to a number of entities for provision of broadband services to
coordinate with their network project. Annandale is looking at internet only and
is seeking general proposals to select a partner in their network project. Brian
Estrem stated that Monticello is in a good position to expand internet services to
area cities such as Annandale. FiberNet has the capacity to serve them and this
would be a revenue generator for Monticello by partnering with Annandale for
operations and management of an internet system. Brian Estrem noted that all
capital costs would be the responsibility of Annandale with them going out for
bids this fall and construction to start on a network in the spring. Brian Estrem
also commented that Annandale doesn't have any real competition in their city so
they could expect a fairly decent take rate of customers. Brian Estrem stated that
City Administrator Kelly Hinnenkamp is in the process of investigating financing
sources for bonding and potential partnerships for resources such as a Municipal
Alliance group could provide.
BRIAN STUMPF MOVED FOR ALTERNATIVE #1 TO AUTHORIZE
SUBMISSION OF A REQUEST FOR PROPOSAL TO THE CITY OF
ANNANDALE FOR BROADBAND SERVICES WITH MONTICELLO
FIBERNET. LLOYD HILGART SECONDED THE MOTION. MOTION
CARRIED 5 -0.
City Council Minutes —July 28, 2014 Page 8
E. Consideration e freteasing FNN4 Gene a r,rafta e f Brian Estf .r &,,,,., his eentra
^�
(THIS ITEM WAS MOVED TO CONSENT #5M)
F. V V11J1d Vl GGGl V1I
° ent se es for- Fite ' T (THIS ITEM WAS REMOVED — SEE
#5M)
G. Consideration of adopting Resolution #2014 -070 approving the Joint Powers
Agreement for public transit service through the Wright County Area
Transportation ()YCAT) Joint Powers Board or authorizing another option for city
bus service
Clint Herbst commented that he felt Jeff O'Neill did a nice job of outlining
options for transit. Clint Herbst noted that Trailblazer has been attempting to
provide bus service in Monticello. Clint Herbst pointed out that the issue he has
with WCAT is the pricing formula that could subject Monticello to unknown
costs for a 5 -year term. Clint Herbst and Glen Posusta expressed a concern over
whether the other counties on the Trailblazer Board would continue to support the
funding percentages as currently proposed. Jeff O'Neill commented that the
formulas for McLeod and Sibley counties are based on funding that involves their
county health and human services transit needs.
Clint Herbst suggested that it might be better to wait and see how WCAT works
out over time and pursue local options such as Hoglund Transportation or T ri
County Community Action Program (TriCap) out of St. Cloud for transportation
services. TriCap provides a variety of services including transportation for
residents of Stearns, Morrison, and Benton counties. In addition, they will
provide public transportation for Sherburne County as a replacement for River
Rider.
Brian Stumpf stated that he would like to pursue Hoglund's proposal and felt that
the proposed hours could be negotiated to be more favorable. Clint Herbst feels
that TriCap would be a favorable option for the city and could provide service
between Big Lake and Monticello.
Jeff O'Neill noted that WCAT will be designing their routes for 2015 and the
design plan is due to Trailblazer Transit by August 15'. The design will be based
on the cities that join WCAT by August 1St
Lloyd Hilgart said his biggest concern is the unknowns: how many buses will be
available, what the split will be for costs, and the division of votes on the
Trailblazer Board. He would prefer to see a one -year agreement with WCAT, but
not a 5-year agreement without knowing more about costs. Lloyd Hilgart
suggested that the city try working with Hoglund Transportation, if there is going
to be money spent on transit. Jeff O'Neill noted that Hoglund's would be willing
City Council Minutes —July 28, 2014 Page 9
to start working with the city right away; however, the City would need to wait
until after January 1St to negotiate for services with TriCap.
CLINT HERBST MOVED TO EXPLORE OPTIONS FOR OTHER TRANSIT
SERVICES THROUGH ANOTHER PROVIDER SUCH AS HOGLUND
TRANSPORTATION OR TRICAP. BRIAN STUMPF SECONDED THE
MOTION. MOTION CARRIED 5 -0.
8. Added items
• Speed Trailer — Brian Stumpf mentioned that the Streets Department set up the
speed trailer in Meadow Oaks to check on traffic cutting through that area to get
to the freeway. Due to the findings, the City is going to request that the Sheriff's
Department step up patrols in that area for the next few weeks.
9. Adiournment
GLEN POSUSTA MOVED TO ADJOURN THE MEETING AT 8:17 P.M. TOM
PERRAULT SECONDED THE MOTION. MOTION CARRIED 5 -0.
Recorder: Catherine M. Shuman _O Ilya/
Approved: August 11, 2014
Attest:
nistrator
City Council Minutes —July 28, 2014 Page 10