City Council Agenda Packet 07-28-2014AGENDA(revised)
REGULARMEETING–MONTICELLOCITYCOUNCIL
Monday,July28,2014–7p.m.
MississippiRoom,MonticelloCommunityCenter
Mayor:ClintHerbst
CouncilMembers:LloydHilgart,TomPerrault,GlenPosusta,BrianStumpf
1.CalltoOrderandPledgeofAllegiance
2A.ApprovalofMinutes–July14,2014SpecialMeeting
2B.ApprovalofMinutes–July14,2014RegularMeeting
3.Considerationofaddingitemstotheagenda
4.Citizencomments,publicserviceannouncements
A.CitizenComments:
B.PublicServiceAnnouncements:
1)2014-15MonticelloRoyaltyintroductions
2)MovieinthePark“Gravity”(8/1)
3)CityCandidateFiling(7/29)andPrimaryElection(8/12)
5.ConsentAgenda:
A.ConsiderationofapprovingpaymentofbillsforJuly28th
B.ConsiderationofapprovingnewhiresanddeparturesforCitydepartments
C.ConsiderationofadoptingResolution#2014-071toacceptcontributionsfrom
Schlenner,Wenner&Co.andOmniVision&Learning/UptownEyecaretoMCC
forMovieintheParkevents
D.Considerationofapprovingapplicationsfora2-daytemporaryliquorlicenseand
acharitablegamblingpermitfortheChurchofStHenry’sfallfestivalon
September20-21,2014
E.Considerationofapprovinganapplicationforacharitablegamblingpermitfora
raffletobeconductedbyWrightCounty/WestMetroWhitetailsonSeptember7,
2014
F.ConsiderationofadoptingResolution#2014-073statingintenttoreimbursefrom
bondproceedsforPhosphorousReductionandOtherImprovementstothe
WastewaterTreatmentFacilityandSystem,CityProjectNo.ZZPHOS
SPECIALMEETING
6p.m.-Bus TransitWorkshop
G.ConsiderationofadoptingResolution#2014-074authorizingsubmissionofa
PointSourceImplementationGrant(PSIG)applicationforPhosphorous
ReductionandOtherImprovementsfortheWastewaterTreatmentFacilityand
System,CityProjectNo.ZZPHOS
H.ConsiderationofadoptingResolution#2014-075authorizingpreparationofplans
andspecificationsforPhosphorousReductionandOtherImprovementstothe
WastewaterTreatmentFacilityandSystem,CityProjectNo.ZZPHOS
I.ConsiderationofacceptingproposalandawardingcontracttoWrightHennepin
Servicesfor2014StreetLightingImprovements(West7th StreetbetweenElmSt
andCR39),CityProjectNo.14C001
J.ConsiderationofadoptingResolution#2014-072approvingLot1,Block1,90th
StreetThirdAddition (PID155-185-001010),ataxforfeitparcel,tobereleased
forpublicsale/auction
K.ConsiderationofadoptingResolution#2014-076amendingthedelegationof
authoritytopaycertainclaimstothepositionofFinanceDirectorandinhis/her
absencetothepositionofAssistantFinanceDirectorasestablishedinResolution
#2013-089
L.ConsiderationofchangingDMVHoursofOperationsonSaturdays
M.ConsiderationofreleasingFNMGeneralManagerBrianEstremfromhiscontract
effectiveJuly31,2014
6.Considerationofitemsremovedfromtheconsentagendafordiscussion
7.RegularAgenda:
A.Considerationofaccepting2014DNROutdoorRecreationGrantaward,
authorizingappraisals,andapprovingacorrespondinglocalmatchforaPhase
VIIIacquisitionattheBertramChainofLakesRegionalPark
B.Considerationofauthorizingappraisalsandapprovingacorrespondinglocal
matchforaPhaseVIIacquisitionattheBertramChainofLakesRegionalPark
C.Considerationofapprovingone-yearextensiontothetermsoftheagreement
governingpurchaseofKrutzigpropertyatLot2,Block1,JeffersonCommons1st
Addition
D.ConsiderationofauthorizingsubmissionofRequestforProposaltotheCityof
Annandaleforprovisionofbroadbandservices
E.ConsiderationofreleasingFNMGeneralManagerBrianEstremfromhiscontract
effectiveJuly31st (Thisitemismovedtoconsent#5M)
F.ConsiderationofofferingacontracttocandidateLanceAddisonforgeneral
managementservicesforFiberNet (Thisitemisremoved–see#5M)
G.ConsiderationofadoptingResolution#2014-070approvingtheJointPowers
AgreementforpublictransitservicethroughtheWrightCountyArea
Transportation(WCAT)JointPowersBoardorauthorizinganotheroptionforcity
busservice
8.Addeditems
9.Adjournment
City Council Special Meeting Minutes – July 14, 2014 Page 1
MINUTES
SPECIAL WORKSHOP MEETING – MONTICELLO CITY COUNCIL
Monday, July 14, 2014 – 5:45 p.m.
Mississippi Room, Monticello Community Center
Present: Clint Herbst, Lloyd Hilgart, Tom Perrault, Glen Posusta, Brian Stumpf
Absent: None
Others: Wayne Oberg, Jeff O’Neill
1. Call to Order
Mayor Herbst called the special meeting to order at 5:46 p.m.
2. Purpose of Workshop: Review of 2013 Audit
Wayne Oberg gave a short presentation about some of the items covered in the 2013
audit. He reviewed some of the 2012 audit adjustments leading into 2013. Regarding the
investment horizon, he noted that our investment values go down when interest rates go
up. He showed a comparison between 2011 and 2012 investment portfolios. Lloyd
Hilgart asked if Wayne Oberg had sold some of the investments, and Wayne explained
that he had brought the long term investments down to reduce the risk, but none were
sold at a loss. Wayne Oberg noted that there will be some additional changes in
investments during the next year.
Wayne Oberg discussed the prior period adjustments in 2012 and 2013. There was an
adjustment made in 2012 for developer escrow deposits in the amount of about $600,000.
For 2013, there was an adjustment made for special assessments to bring them into
balance with the county. The adjustment was in the amount of $3,282,241; however, this
did not affect the city cash balances as this was a change in deferred revenues with an
offset to assets.
Wayne Oberg explained that there was a change in accounting principles that affected the
city’s financial statements. This was a write-off of unamortized deferred charges related
to the bond issue for FiberNet in the amount of about $430,000. This had been shown as
an asset, which was determined should be considered an expense under the new GASB
Statement No. 65.
Wayne Oberg noted some fund reclassifications from 2013:
Cemetery Fund changed from Enterprise to Special Revenue
Deputy Registrar Fund changed from Special Revenue to Enterprise
Parks & Pathway Fund changed from Special Revenue to Capital Project
Water and Sewage Access Funds closed to respective utility funds
Capital Revolving Fund closed to Capital Projects and Internal Services
Created Internal Service Funds for equipment purchases and IT services
management
City Council Special Meeting Minutes – July 14, 2014 Page 2
3. Adjournment
TOM PERRAULT MOVED TO ADJOURN THE SPECIAL MEETING AT 6:09 P.M.
LLOYD HILGART SECONDED THE MOTION. MOTION CARRIED 5-0.
Recorder: Catherine M. Shuman ____
Approved:
Attest: __________________________
City Administrator
City Council Minutes – July 14, 2014 Page 1
MINUTES
REGULAR MEETING – MONTICELLO CITY COUNCIL
Monday, July 14, 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 – June 23, 2014 Special Meeting
BRIAN STUMPF MOVED TO ACCEPT THE JUNE 23, 2014 SPECIAL MEETING
MINUTES AS PRESENTED. GLEN POSUSTA SECONDED THE MOTION.
MOTION CARRIED 5-0.
2B. Approval of Minutes – June 23, 2014 Regular Meeting
GLEN POSUSTA MOVED TO ACCEPT THE JUNE 23, 2014 REGULAR MEETING
MINUTES AS PRESENTED. BRIAN STUMPF SECONDED THE MOTION.
MOTION CARRIED 5-0.
3. Consideration of adding items to the agenda
Otter Creek park parking (Glen Posusta)
Mowing compliance (Glen Posusta)
FNM update (Jeff O’Neill)
4. Citizen comments, public service announcements
A. Citizen Comments: None.
B. Public Service Announcements:
1) Movie in the Park (7/26 & 8/1) – Rachel Leonard announced there are two
upcoming shows for Movie in the Park. “Lego Movie” will be shown on
Saturday, July 26th and “Gravity” is rescheduled to Friday, August 1st.
The Lego Movie is sponsored by Omni Vision and Gravity is sponsored
by the Monticello Times. Rachel answered questions about the costs for
the movies.
2) Fishing Clinics (7/19 & 8/2) – Rachel Leonard announced that the DNR
MinnAqua Fishing Clinics will be offered at Bertram Chain of Lakes
Regional Park from 9 to 11:30 a.m. on July 19th and on August 2nd for
City Council Minutes – July 14, 2014 Page 2
children of all ages. The community center is looking for adult volunteers
with fishing licenses to help.
5. Consent Agenda:
A. Consideration of approving payment of bills for July 14th. THIS ITEM WAS
REMOVED FROM THE CONSENT AGENDA.
B. Consideration of approving new hires and departures for City departments.
Recommendation: Ratify new hires and terminations for MCC, DMV, FiberNet,
Finance, and Water Department.
C. Consideration of adopting Resolution #2014-068 approving an Assessment
Agreement and certifying special assessments for 503 Maple Street (PID 155-
010-010060) to the Wright County Auditor for tax year payable 2015. Applicant:
SRCS Building Company, o/b/o Swan River Montessori. THIS ITEM WAS
REMOVED FROM THE CONSENT AGENDA.
D. Consideration of appointing additional election judges to serve for the 2014
elections. Recommendation: Appoint the following election judges for the 2014
elections.
Richard Borque Linda Buchmann
Rodney Byholm Charlotte Ludwig
Rose Peters Marilyn Stickfort
Sandy Suchy Carrie Theisen
E. Consideration of approving a license for on-sale intoxicating liquor and Sunday
liquor for the Monticello VFW at 713 Cedar Street. Applicant: USS Dorchester
VFW Post 8731. Recommendation: Approve the application for an on-sale
liquor license and Sunday liquor for the USS Dorchester VFW Post 8731 at 713
Cedar Street, contingent on receiving a signed application and revised certificate
of insurance.
F. Consideration of adopting Resolution #2014-069 calling for a public hearing
regarding the issuance of a revenue obligation for the benefit of the Monticello
Youth Hockey Program, Inc. and providing preliminary approval of the issuance.
THIS ITEM WAS REMOVED FROM THE CONSENT AGENDA.
G. Consideration of authorizing secondary digester cover cleaning, condition
inspection, and time-sensitive repair and primary digester mixer repair.
Recommendation: Authorize the following improvements to the WWTF
digester: secondary digester cover cleaning, condition inspection, time-sensitive
repair, and primary digester mixer repair.
H. Consideration of adopting Resolution #2014-031A rescinding the previously-
adopted legal description for Pine View Addition and replacing with an amended
City Council Minutes – July 14, 2014 Page 3
legal description for vacated street right-of-way. Recommendation: Adopt
Resolution #2014-031A rescinding the previously-adopted legal description for
Pine View Addition and replacing with an amended legal description for vacated
street right-of-way as identified in the resolution.
I. Consideration of approving a contract with WSB for Market Matching economic
development services. Recommendation: Approve a contract with WSB &
Associates for Market Matching Economic Development Services for July 2014
through June 2015.
LLOYD HILGART MOVED TO APPROVE THE CONSENT AGENDA WITH THE
REMOVAL OF ITEMS A, C, AND F. TOM PERRAULT SECONDED THE
MOTION. MOTION CARRIED 5-0.
6. Consideration of items removed from the consent agenda for discussion
5A. Consideration of approving payment of bills for July 14th
Glen Posusta expressed concern about paying FiberNet General Manager Brian Estrem in
advance for his work. Jeff O’Neill explained that it is common with consultant contracts
to pay them before the month is completed. Glen Posusta asked about payment for a
fence repair for the MCC. Kitty Baltos explained that this was a repair to the existing
fence that was put back in place following the MCC Natatorium Improvements. Glen
Posusta asked if he could remove the invoice to NAC to vote on it separately since it
included an item for AMAX Storage which is his business. It was decided that was not
necessary for approval of the bills.
LLOYD HILGART MOVED TO APPROVE THE BILL AND PURCHASE CARD
REGISTERS FOR A TOTAL AMOUNT OF $821,193.16. TOM PERRAULT
SECONDED THE MOTION. MOTION CARRIED 5-0.
5C. Consideration of adopting Resolution #2014-068 approving an Assessment
Agreement and certifying special assessments for 503 Maple Street (PID 155-010-
010060) to the Wright County Auditor for tax year payable 2015. Applicant: SRCS
Building Company, o/b/o Swan River Montessori
Glen Posusta asked for an explanation on what is allowed to be included in an assessment
agreement. He was concerned about the amount of the sewer fees. Angela Schumann
noted that the majority of the cost is sewer access with a smaller amount for water access
and some miscellaneous charges. Swan River is aware of the charges and asked for
consideration of having this placed as a special assessment against the property.
GLEN POSUSTA MOVED TO ADOPT RESOLUTION #2014-068 APPROVING AN
ASSESSMENT AGREEMENT FOR SRCS BUILDING COMPANY FOR PID 155-
010-010060 AND CERTIFYING THE SPECIAL ASSESSMENTS IN THE AMOUNT
City Council Minutes – July 14, 2014 Page 4
OF $29,001.35 TO THE WRIGHT COUNTY AUDITOR FOR TAX YEAR PAYABLE
2015. BRIAN STUMPF SECONDED THE MOTION. MOTION CARRIED 5-0.
5F. Consideration of adopting Resolution #2014-069 calling for a public hearing
regarding the issuance of a revenue obligation for the benefit of the Monticello Youth
Hockey Program, Inc. and providing preliminary approval of the issuance
Glen Posusta asked Wayne Oberg to explain the purpose behind the public hearing for
another entity. Wayne Oberg explained that the law allows for the city to serve as a
conduit for bond issuance for a non-profit entity. He verified that the city is at no risk for
this type of bonding and it does not affect the city’s bond rating. Wayne Oberg noted that
the bonding does count against the total bonding limit for the city this year, but the city
does not intend to issue a large bond this year that would affect this.
BRIAN STUMPF MOVED TO ADOPT RESOLUTION #2014-069 CALLING FOR A
PUBLIC HEARING ON AUGUST 11, 2014 AT 7 P.M. REGARDING THE
ISSUANCE OF A REVENUE OBLIGATION FOR THE BENEFIT OF THE
MONTICELLO YOUTH HOCKEY PROGRAM, INC. AND PROVIDING
TEMPORARY APPROVAL TO THE ISSUANCE; STAFF IS DIRECTED TO
PUBLISH NOTICE ACCORDINGLY. LLOYD HILGART SECONDED THE
MOTION. MOTION CARRIED 5-0.
7. Regular Agenda:
A. Consideration of accepting 2013 Audit Report
Jim Eichten of Malloy, Montague, Karnowski, Radosevich & Co. (MMKR)
introduced himself and provided a presentation for Council regarding the 2013
Audit. He noted that three documents were provided to Council with their council
packets: Special Purpose Audit Reports, Management Report, and
Comprehensive Annual Financial Report (CAFR).
In the Management Report, the audit firm gives their opinion on the financial
statements, comments on testing of internal controls and compliance, and
addresses any single audits of federal grants (there were none in 2013), and
provides an audit summary. MMKR found that the financial statements were
fairly presented in accordance with U.S. accounting standards and gave an
unmodified (or clean) opinion. GASB Statement No. 65 on Items Previously
Reported as Assets and Liabilities was implemented this year.
An internal control finding was related to a prior period adjustment regarding
accounting for special assessments. Since Wright County serves as the paying
agent, it made sense for the city to align their records with Wright County’s
records, resulting in a prior period adjustment of $3,282,241. There were several
minor legal compliance findings: signed declarations were missing on community
City Council Minutes – July 14, 2014 Page 5
center payroll transactions and there was one invoice that was not paid within the
required 35 day period after receipt of invoice.
Jim Eichten discussed some of the findings from 2012 that were not an issue
during 2013 such as required contract language for subcontractors. MMKR had
two recommendations for best practices: provide written contingency planning
for IT and develop written policies and cross-training for segregation of duties
related to finances in community center duties.
Jim Eichten then reviewed the financial statements addressed in the audit. He
noted that taxable market values had been decreasing since 2010; however, the
total market value increased in 2013. He correlated this to tax rates across the
state which showed the city’s tax rate was slightly higher than average in 2012 but
lower than average in 2013. Next he compared average revenues statewide to
Monticello’s. The city generates much higher property taxes than other cities;
however intergovernmental revenues, which includes Local Government Aid
(LGA) received by other cities, is much lower. On the expense side, the city
spends more per capita than the statewide average in several areas including debt
service.
Jim Eichten discussed individual fund balances and showed a graph of the general
fund showing balances at 61% of the General Fund annual expenditures, which is
within the required levels. Jim Eichten also compared general fund revenues and
expenditures by function.
Jim Eichten went on to review the enterprise funds: water, sewer, liquor, fiber
optics, and deputy registrar. The fiber optics fund continues to display unpaid
interest on the bonds until that is fully resolved. Jim Eichten showed operating
income with and without depreciation in water, sewer and liquor funds. The fiber
optic fund continues to show an operating loss of over $1.5 million. The city’s
financial position is impacted negatively by that operating loss and again shows a
decline for 2013.
Jim Eichten commented on the investment return which shows as a loss. This is
related to the increase in interest rates and most cities are seeing this same thing.
Jim Eichten noted that the City will again apply for the CAFR award.
Glen Posusta asked if all cities are required to have an outside audit, why do some
cities, such as Detroit, run into huge financial problems. Jim Eichten explained
that some other states have different requirements for auditing and reporting, and
may run into issues due to unfunded liabilities. For example, Detroit’s pension
plans became a large part of their financial problems, when they were required to
include those values as unfunded liabilities. Wayne Oberg pointed out that some
of the cities that have run into problems, did not have good accounting policies in
City Council Minutes – July 14, 2014 Page 6
place years ago that contributed to their problems later. Many cities now have
standards in place that help prevent those problems.
LLOYD HILGART MOVED FOR ALTERNATIVE #1 ACCEPTING THE 2013
AUDIT REPORT AS PRESENTED. GLEN POSUSTA SECONDED THE
MOTION. MOTION CARRIED 5-0.
B. Consideration of providing direction to staff relating to public auction of tax-
forfeited lots in the City of Monticello and letter of recommendation to Wright
County
Angela Schumann gave a presentation to Council related to the public auction of
tax forfeit lots in Hillside Farm 3rd and 4th Additions. The County is holding a
valuation meeting tomorrow, July 15th, to determine valuations on all lots that will
go to public auction this year. Angela Schumann reviewed the staff
recommendations that Council is asked to approve as part of a letter to go to
Wright County officials relative to the public auction. These recommendations
include a request to auction Lots 1 through 6, Block 1 of Hillside Farm 3rd
Addition as a block. These are the lots that will require a retaining wall due to the
slope of the hill at the back of these lots.
Clint Herbst noted that the city intends to reassess any unpaid cancelled
assessments on lots that are purchased at auction. Council indicated that they
hope buyers will be alerted that there may be additional future assessments if the
lots are not valued to adequately cover all new and cancelled assessments.
Glen Posusta asked about the sale of lots in blocks rather than individually.
Angela Schumann explained that there is one group of lots that it would be best to
sell in a block so that the developer is aware of the need for a retaining wall along
the north side of those lots. Other than that group, city staff did not have a
specific recommendation on auctioning lots in groups or individually. Glen
Posusta thought that it might be better to sell all lots in Hillside Farms 3rd and 4th
together so that the developer could spread the cost of the retaining wall over all
lots. Clint Herbst asked if there was something that could be done to grade those
lots differently to decrease the cost of a retaining wall. Shibani Bisson
commented on some possible options that could be used to accommodate the
slope; currently the developer contract calls for a 10 ft high retaining wall.
Glen Posusta asked about Step #5 listed in the state’s Tax Forfeit Rules which has
to do with taking a portion of the sale proceeds for a park fund. Angela
Schumann pointed out that those are the state rules and not the county’s. Angela
pointed out that according to the rules, the City would be reimbursed new
assessments and cancelled assessments prior to Step #5 if the valuation is set high
enough.
City Council Minutes – July 14, 2014 Page 7
Glen Posusta feels that it would probably be better to sell these lots as an entire
block. Brian Stumpf stated that he would prefer to let the lots go to auction
individually with the exception of the group of lots that need a retaining wall. He
wants all builders to have an opportunity on these lots. Council discussed
possible scenarios for selling the lots and recovering the costs associated with
special assessments.
Jeff O’Neill commented that it is possible there may not be a need for a retaining
wall if the developer finds another solution for addressing the drainage issues on
those six lots. Jeff would recommend that the retaining wall lots be sold in a
block.
TOM PERRAULT MOVED FOR ALTERNATIVE #1 DIRECTING STAFF TO
SUBMIT A LETTER OF RECOMMENDATION TO WRIGHT COUNTY
REGARDING PREFERENCES FOR PUBLIC AUCTION OF TAX FORFEIT
PARCELS WITHIN THE CITY, INCLUDING THE SALE OF LOTS 1-6,
BLOCK 1, HILLSIDE FARM 3RD ADDITION AS A BLOCK. CLINT HERBST
SECONDED THE MOTION. MOTION CARRIED 5-0.
C. Consideration of selecting project area for 2014 Street Lighting improvements,
City Project No. 14C001
Shibani Bisson presented several areas for potential street lighting improvements
for 2014. She reviewed the city’s street lighting program which was implemented
in 2006. She showed several lighting styles along commercial and residential
corridors. The areas evaluated for lighting this year are:
West 7th Street between CR39 and Elm Street
Elm Street between 7th Street and 6th Street
Chelsea Road between CR 39 and 90th Street
Oakwood Drive and Cedar Street (between Oakwood Drive and Chelsea
Road)
Meadow Oak Avenue between CSAH 18 and Broadway
6th Street- mid-block lighting between TH 25 and Linn Street
Cul-de-sacs continue to the driven by resident petition
City staff narrowed this to two areas: (a) 7th Street West from CR 39 to Elm St
plus the Elm Street section from 7th to 6th Street and (b) Chelsea Road West from
CR 39 to 90th Street. Shibani Bisson talked about the lighting installations that
are recommended. She noted that Xcel Energy would install the lights on Elm
Street and then the City would be charged a monthly electric charge. Shibani
Bisson explained that the light poles on West 7th Street would alternate on both
sides of the road.
Brian Stumpf stated that he prefers to go with 7th Street West lighting plus having
Xcel add the lights on Elm Street.
City Council Minutes – July 14, 2014 Page 8
BRIAN STUMPF MOVED FOR ALTERNATIVE #1 SELECTING WEST 7TH
STREET BETWEEN CR 39 AND ELM STREET ALONG WITH ELM
STREET BETWEEN 7TH AND 6TH STREETS FOR THE 2014 STREET
LIGHTING IMPROVEMENTS, CITY PROJECT NO. 14C001; CITY STAFF IS
DIRECTED TO PRESENT A PROJECT CONTRACT FOR APPROVAL AT
AN UPCOMING COUNCIL MEETING. GLEN POSUSTA SECONDED THE
MOTION. MOTION CARRIED 5-0.
D. Consideration of authorizing up to $30,000 for Pathway System Improvements
along CSAH 75 (Chestnut Street to West River Street)
Shibani Bisson introduced this item with an explanation of the city’s pathway
system. The City has about 17 miles of pathways and plows about 7 miles during
the winter. The Parks Department has inspected the pathway system over the past
4-5 years and rated the condition of the pathways. They have identified areas,
which are recommended for maintenance at this time, along CSAH 75 between
Chestnut Ave and West River Street. This would include a micro-surfacing
product to extend the life of the pathway beyond the current maintenance
methods. The product that they are planning to use, called T-Mat, is used by the
Three Rivers Park District and some other entities. T-Mat is a mixture of asphalt
emulsion, aggregate and chemical additives in a liquid form, applied in two
layers. Clint Herbst stated that this seems like a good product and at a reasonable
cost.
LLOYD HILGART MOVED FOR ALTERNATIVE #1 TO AUTHORIZE UP
TO $30,000 FOR PATHWAY SYSTEM IMPROVMENTS ALONG CSAH 75
FROM CHESTNUT STREET TO WEST RIVER STREET AND ENTER INTO
AN AGREEMENT WITH ASPHALT CONTRACTORS, INC. FOR THE
ESTIMATED AMOUNT OF $27,478.68. BRIAN STUMPF SECONDED THE
MOTION. MOTION CARRIED 5-0.
E. Consideration of adopting Resolution #2014-070 approving the Joint Powers
Agreement for public transit service through the Wright County Area
Transportation (WCAT) Joint Powers Board
Jeff O’Neill commented that the city is continuing to look at the costs that the city
might pay as a partner on the Wright County Area Transportation Board. The city
is also looking into the potential for contracting with Hoglund Transportation to
provide a city transit system.
Clint Herbst indicated that there may be a need to call a special meeting to
address this as the city is not ready to consider this tonight.
No action was taken.
City Council Minutes – July 14, 2014 Page 9
8. Added items
FNM update – Jeff O’Neill reported that Brian Estrem has put in a request to be
relieved of his contract as he received an offer with another company. About the
same time, Lance Addison contacted the city and is interested in negotiating a
contract with the city to provide general management services. Dan Olsen of
Windomnet will continue to provide services to FiberNet.
BRIAN STUMPF MOVED TO AUTHORIZE CITY ADMINISTRATOR JEFF
O’NEILL TO NEGOTIATE A CONTRACT WITH LANCE ADDISON TO
PROVIDE GENERAL MANAGEMENT SERVICES FOR FIBERNET.
LLOYD HILGART SECONDED THE MOTION. MOTION CARRIED 5-0.
Glen Posusta expressed his concern about setting up a contract that allows
someone to leave with no consequences. He also feels that the contract should be
longer term and there should be some kind of penalty assessed if the manager
would leave early. Clint Herbst suggested that the terms should specify the
limited reasons that the contract could be terminated. He would expect Jeff to
discuss all of these concerns with Mr. Addison.
Otter Creek Parking – Glen Posusta stated that he would like to investigate the
possibility of putting in a small parking area for Otter Creek Park. Glen Posusta
suggested talking to Wright County to see if they would allow an entrance off
CSAH 75. Brian Stumpf suggested looking at possible cul-de-sac parking in Par
West Addition. Council directed Tom Pawelk to check into some options.
Mowing blight compliance – Glen Posusta wanted a further explanation of the
notification process used for mowing blights and wants to know how other cities
handle this. Angela Schumann explained that this process was recommended by
the City Attorney and they work with a number of other cities. Glen Posusta
reiterated that he would like to know what area cities are doing and asked staff to
check into that.
Glen Posusta asked if Council members could contact city staff directly about
spelling or grammatical corrections to minutes rather than bring them to a council
meeting. Jeff O’Neill said that was acceptable, but should be a council member’s
choice.
Mayor Herbst complimented streets and parks employees for the great job they
did for Riverfest and commented positively on the new look of Pioneer Park.
Light in Hillside Park - Tom Perrault mentioned that a resident living in this area
has asked for the light in this park to be turned on again. Jeff explained that the
City does not flood a rink in the parking lot anymore so they had Xcel discontinue
lighting the area. Council directed staff that the light could be turned on if there is
a good reason to justify the light.
City Council Minutes – July 14, 2014 Page 10
Mayor Herbst also noted that the evergreen tree in Hillside cemetery that had
served as a Christmas tree is no longer there. He would like to see another
evergreen tree planted so that it can eventually be lighted for the Christmas
season.
9. Adjournment
Mayor Herbst adjourned the meeting at 9:05 p.m.
Recorder: Catherine M. Shuman ____
Approved:
Attest: __________________________
City Administrator
CityCouncilAgenda:7/28/14
1
5A.ConsiderationofapprovingpaymentofbillregistersforJuly28th (WO)
A.REFERENCEANDBACKGROUND:
Citystaffsubmitstheattachedbillregistersandpurchasingcardregistersforapprovalby
Council.Thebillregisterscontainallinvoicesprocessedandthepurchasingcard
registerscontainallcardpurchasesmadesincethelastCouncilmeeting.SubjecttoMN
Statutes,mostinvoicesrequireCouncilapprovalpriortoreleasingchecksforpayment.
ThedayfollowingCouncilapproval,paymentswillbereleasedunlessdirected
otherwise.AcreditpurchasingagreementandpolicywasapprovedbyCouncilinitially
andcardpurchasesmustcomplywiththepolicy.
IfCouncilhasnoquestionsorcommentsonthebillandpurchasecardregisters,thesecan
beapprovedwiththeconsentagenda.Ifrequested,thisitemcanberemovedfrom
consentanddiscussedpriortomakingamotionforapproval.
A1.BudgetImpact:None
A2.StaffWorkloadImpact:Noadditionalworkrequired
B.ALTERNATIVEACTIONS:
1.Motiontoapprovethebillandpurchasecardregistersforatotalamountof
$390,885.11.
2.MotiontoapprovetheregisterswithchangesdirectedbyCouncil.
C.STAFFRECOMMENDATION:
CitystaffrecommendsAlternative#1or#2,perdirectionofCouncil.
D.SUPPORTINGDATA:
Billregisters
PurchaseCardregisters
User:
Printed:07/14/2014 - 9:12AM
Ann.Zimmerman
Computer Check Proof List by Vendor
Accounts Payable
Batch:00205.07.2014 - 205.07.2014 AP
Invoice No Description Amount Payment Date Acct Number Reference
Vendor:3231 COMMISSIONER OF REVENUE Check Sequence: 1 ACH Enabled: False
Parcel #1 Tax forfeit PID 155-123-000030 State Deed Fee 250.00 07/14/2014 101-41520-443990
250.00Check Total:
Vendor:3231 COMMISSIONER OF REVENUE Check Sequence: 2 ACH Enabled: False
Parcel #2 Tax forfeit PID 155-142-000010 State Deed Fee 250.00 07/14/2014 101-41520-443990
250.00Check Total:
Vendor:3231 COMMISSIONER OF REVENUE Check Sequence: 3 ACH Enabled: False
Parcel #3 Tax forfeit PID 155-160-000030 State Deed Fee 250.00 07/14/2014 101-41520-443990
250.00Check Total:
Vendor:3231 COMMISSIONER OF REVENUE Check Sequence: 4 ACH Enabled: False
Parcel #4 Tax forfeit PID 155-177-000010 State Deed Fee 250.00 07/14/2014 101-41520-443990
250.00Check Total:
Vendor:2645 WRIGHT CO AUDITOR-TREAS Check Sequence: 5 ACH Enabled: False
Parcel #1 Tax forfeit PID 155-123-000030 Deed Tax 6.65 07/14/2014 101-41520-431990
6.65Check Total:
Vendor:2645 WRIGHT CO AUDITOR-TREAS Check Sequence: 6 ACH Enabled: False
Parcel #2 Tax forfeit PID 155-142-000010 Deed Tax 6.65 07/14/2014 101-41520-431990
6.65Check Total:
Vendor:2645 WRIGHT CO AUDITOR-TREAS Check Sequence: 7 ACH Enabled: False
Parcel #3 Tax forfeit PID 155-160-000030 Deed Tax 6.65 07/14/2014 101-41520-431990
6.65Check Total:
AP-Computer Check Proof List by Vendor (07/14/2014 - 9:12 AM)Page 1
Invoice No Description Amount Payment Date Acct Number Reference
Vendor:2645 WRIGHT CO AUDITOR-TREAS Check Sequence: 8 ACH Enabled: False
Parcel #4 Tax forfeit PID 155-177-000010 Deed Tax 6.65 07/14/2014 101-41520-431990
6.65Check Total:
Vendor:1581 WRIGHT CO RECORDER Check Sequence: 9 ACH Enabled: False
Parcel #1 Tax forfeit PID 155-123-000030 Recording fee 46.00 07/14/2014 101-41520-431990
46.00Check Total:
Vendor:1581 WRIGHT CO RECORDER Check Sequence: 10 ACH Enabled: False
Parcel #2 Tax forfeit PID 155-142-000010 Recording fee 46.00 07/14/2014 101-41520-431990
46.00Check Total:
Vendor:1581 WRIGHT CO RECORDER Check Sequence: 11 ACH Enabled: False
Parcel #3 Tax forfeit PID 155-160-000030 Recording fee 46.00 07/14/2014 101-41520-431990
46.00Check Total:
Vendor:1581 WRIGHT CO RECORDER Check Sequence: 12 ACH Enabled: False
Parcel #4 Tax forfeit PID 155-177-000010 Recording fee 46.00 07/14/2014 101-41520-431990
46.00Check Total:
Total for Check Run:
Total of Number of Checks:
1,210.60
12
AP-Computer Check Proof List by Vendor (07/14/2014 - 9:12 AM)Page 2
The preceding list of bills payable was reviewed and approved for payment.
Date: 7/28/14 Approved by: _____________________________________
Mayor Clint Herbst
User:
Printed:07/16/2014 - 10:16AM
Debbie.Davidson
Computer Check Proof List by Vendor
Accounts Payable
Batch:00302.07.2014 - 00302.07.2014 PR
Invoice No Description Amount Payment Date Acct Number Reference
Vendor:1592 IRS Check Sequence: 1 ACH Enabled: True
PR Batch 00302.07.2014 Federal Income Tax 12,608.98 07/15/2014 101-00000-217010 PR Batch 00302.07.2014 Federal Income Tax
PR Batch 00302.07.2014 FICA Employee Portion 9,445.33 07/15/2014 101-00000-217030 PR Batch 00302.07.2014 FICA Employee Portion
PR Batch 00302.07.2014 FICA Employer Portion 9,445.33 07/15/2014 101-00000-217030 PR Batch 00302.07.2014 FICA Employer Portion
PR Batch 00302.07.2014 Medicare Employee Portion 2,245.30 07/15/2014 101-00000-217030 PR Batch 00302.07.2014 Medicare Employee Portion
PR Batch 00302.07.2014 Medicare Employer Portion 2,245.30 07/15/2014 101-00000-217030 PR Batch 00302.07.2014 Medicare Employer Portion
35,990.24Check Total:
Vendor:1593 MN DEPT OF REVENUE - ACH Check Sequence: 2 ACH Enabled: True
PR Batch 00302.07.2014 State Income Tax 5,773.28 07/15/2014 101-00000-217020 PR Batch 00302.07.2014 State Income Tax
5,773.28Check Total:
Vendor:1594 PERA - ACH Check Sequence: 3 ACH Enabled: True
PR Batch 00302.07.2014 PERA Coord Employee 7,909.36 07/15/2014 101-00000-217040 PR Batch 00302.07.2014 PERA Coord Employee
PR Batch 00302.07.2014 PERA Coord Additional 1,265.50 07/15/2014 101-00000-217040 PR Batch 00302.07.2014 PERA Coord Additional
PR Batch 00302.07.2014 PERA Coord Employer 7,909.36 07/15/2014 101-00000-217040 PR Batch 00302.07.2014 PERA Coord Employer
PR Batch 00302.07.2014 PERA DCP Employee 125.00 07/15/2014 101-00000-217040 PR Batch 00302.07.2014 PERA DCP Employee
PR Batch 00302.07.2014 PERA DCP Employer 125.00 07/15/2014 101-00000-217040 PR Batch 00302.07.2014 PERA DCP Employer
17,334.22Check Total:
Vendor:1597 AMERITAS VARIABLE LIFE INS CO Check Sequence: 4 ACH Enabled: False
PR Batch 00302.07.2014 Def Comp - Ameritas 725.00 07/15/2014 101-00000-217050 PR Batch 00302.07.2014 Def Comp - Ameritas
PR Batch 00302.07.2014 Def Comp - Ameritas (%) 440.78 07/15/2014 101-00000-217050 PR Batch 00302.07.2014 Def Comp - Ameritas (%)
1,165.78Check Total:
Vendor:1598 VANTAGEPOINT TRANSFER AGENTS-301962 Check Sequence: 5 ACH Enabled: True
PR Batch 00302.07.2014 Def Comp - ICMA 1,750.00 07/15/2014 101-00000-217050 PR Batch 00302.07.2014 Def Comp - ICMA
1,750.00Check Total:
AP-Computer Check Proof List by Vendor (07/16/2014 - 10:16 AM)Page 1
Invoice No Description Amount Payment Date Acct Number Reference
Vendor:1599 TASC Check Sequence: 6 ACH Enabled: True
PR Batch 00302.07.2014 FSA - Child Care 153.84 07/15/2014 101-00000-217200 PR Batch 00302.07.2014 FSA - Child Care
PR Batch 00302.07.2014 FSA - Medical 136.15 07/15/2014 101-00000-217300 PR Batch 00302.07.2014 FSA - Medical
289.99Check Total:
Vendor:1601 COLONIAL SUPPLEMENTAL INS - ACH Check Sequence: 7 ACH Enabled: True
PR Batch 00301.07.2014 Colonial Life after tax 180.79 07/01/2014 101-00000-217990 PR Batch 00301.07.2014 Colonial Life after tax
PR Batch 00301.07.2014 Colonial Insurance before Tax 103.49 07/01/2014 101-00000-217990 PR Batch 00301.07.2014 Colonial Insurance before Tax
PR Batch 00302.07.2014 Colonial Life after tax 19.09 07/15/2014 101-00000-217990 PR Batch 00302.07.2014 Colonial Life after tax
303.37Check Total:
Vendor:1602 INTL UNION OF OPER ENGINEERS Check Sequence: 8 ACH Enabled: False
PR Batch 00302.07.2014 Union Dues 429.00 07/15/2014 101-00000-217070 PR Batch 00302.07.2014 Union Dues
429.00Check Total:
Vendor:2405 WELLS FARGO - HSA Check Sequence: 9 ACH Enabled: True
PR Batch 00302.07.2014 Health Ins - Employee HSA 4,326.72 07/15/2014 101-00000-217064 PR Batch 00302.07.2014 Health Ins - Employee HSA
4,326.72Check Total:
Vendor:2646 US DEPARTMENT OF EDUCATION Check Sequence: 10 ACH Enabled: False
PR Batch 00302.07.2014 Dept of Education 112.99 07/15/2014 101-00000-217090 PR Batch 00302.07.2014 Dept of Education
112.99Check Total:
Total for Check Run:
Total of Number of Checks:
67,475.59
10
AP-Computer Check Proof List by Vendor (07/16/2014 - 10:16 AM)Page 2
The preceding list of bills payable was reviewed and approved for payment.
Date: 7/28/14 Approved by:______________________________________
Mayor Clint Herbst
User:
Printed:07/24/2014 - 8:36AM
Debbie.Davidson
Computer Check Proof List by Vendor
Accounts Payable
Batch:00206.07.2014 - 206.07.2014 AP
Invoice No Description Amount Payment Date Acct Number Reference
Vendor:1018 ALLIED BLACKTOP COMPANY Check Sequence: 1 ACH Enabled: False
19248 2014 Street Seal Coat(paying 95% -remaining for 8/11 cc approv) 108,064.42 07/29/2014 101-43120-440990
108,064.42Check Total:
Vendor:1040 ARAMARK UNIFORM SERVICES AUS MPLS MC LOCKBOX Check Sequence: 2 ACH Enabled: False
629-8022538 uniform rental 25.48 07/29/2014 101-45201-441700
629-8022538 uniform rental 11.74 07/29/2014 602-49490-441700
629-8022538 uniform rental 11.74 07/29/2014 601-49440-441700
629-8022538 uniform rental 36.25 07/29/2014 101-43120-441700
629-8022538 towel rental 39.79 07/29/2014 101-43127-421990
6298004411 uniform rental 25.47 07/29/2014 101-45201-441700
6298004411 uniform rental 11.48 07/29/2014 602-49490-441700
6298004411 uniform rental 11.48 07/29/2014 601-49440-441700
6298004411 uniform rental 35.99 07/29/2014 101-43120-441700
6298004411 towel rental 39.28 07/29/2014 101-43127-421990
6298008992 uniform rental 25.33 07/29/2014 101-45201-441700
6298008992 uniform rental 11.34 07/29/2014 602-49490-441700
6298008992 uniform rental 11.34 07/29/2014 601-49440-441700
6298008992 uniform rental 38.10 07/29/2014 101-43120-441700
6298008992 towel rental 22.89 07/29/2014 101-43127-421990
62980134766 uniform rental 11.33 07/29/2014 602-49490-441700
62980134766 uniform rental 11.33 07/29/2014 601-49440-441700
62980134766 uniform rental 35.34 07/29/2014 101-43120-441700
62980134766 towel rental 24.88 07/29/2014 101-43127-421990
62980134766 uniform rental 25.32 07/29/2014 101-45201-441700
6298018037 uniform rental 25.31 07/29/2014 101-45201-441700
6298018037 uniform rental 11.32 07/29/2014 602-49490-441700
6298018037 uniform rental 11.32 07/29/2014 601-49440-441700
6298018037 uniform rental 35.33 07/29/2014 101-43120-441700
6298018037 towel rental 23.87 07/29/2014 101-43127-421990
AP-Computer Check Proof List by Vendor (07/24/2014 - 8:36 AM)Page 1
Invoice No Description Amount Payment Date Acct Number Reference
573.05Check Total:
Vendor:1065 BELLBOY CORPORATION Check Sequence: 3 ACH Enabled: True
43833700 re sale 2,802.82 07/29/2014 609-49750-425100
43833700 freight 33.59 07/29/2014 609-49750-433300
90477900 freight 1.06 07/29/2014 609-49750-433300
90477900 re sale 154.99 07/29/2014 609-49750-425400
90477900 6 pack ring 75.00 07/29/2014 609-49754-421990
3,067.46Check Total:
Vendor:1067 BERNICK'S Check Sequence: 4 ACH Enabled: False
24781 re sale 16.40 07/29/2014 609-49750-425500
24781 re sale 71.60 07/29/2014 609-49750-425400
24782 re sale 379.80 07/29/2014 609-49750-425200
49820 re sale 21.80 07/29/2014 609-49750-425400
49821 re sale 2,386.25 07/29/2014 609-49750-425200
49822 re sale -20.00 07/29/2014 609-49750-425500
2,855.85Check Total:
Vendor:1083 BRAUN INTERTEC CORPORATION Check Sequence: 5 ACH Enabled: True
B002674 12C008 - CCOSTS - consulting services 1,642.75 07/29/2014 400-43300-459010
1,642.75Check Total:
Vendor:1749 CALIX NETWORKS INC Check Sequence: 6 ACH Enabled: True
1071824 utx - hardware Advance Exchange - in Warranty 245.00 07/29/2014 656-49877-421800
1071987 utx - 7 position power connector 50.43 07/29/2014 656-49877-421800
295.43Check Total:
Vendor:1106 CENTRAL MCGOWAN INC Check Sequence: 7 ACH Enabled: False
23111 tank rental 48.09 07/29/2014 226-45122-441500
48.09Check Total:
Vendor:2654 CENTURYLINK Check Sequence: 8 ACH Enabled: False
R97006006014182 voice - 7/1-31/14 monthly access charges 142.13 07/29/2014 655-49860-430910
142.13Check Total:
Vendor:2654 CENTURYLINK Check Sequence: 9 ACH Enabled: False
R720106106-1418 voice - 7/1-31/14 monthly access charges 600.00 07/29/2014 655-49860-430910
AP-Computer Check Proof List by Vendor (07/24/2014 - 8:36 AM)Page 2
Invoice No Description Amount Payment Date Acct Number Reference
600.00Check Total:
Vendor:2654 CENTURYLINK Check Sequence: 10 ACH Enabled: False
L04003703714182 voice - 7/1-31/14 monthly access charges 124.90 07/29/2014 655-49860-430910
124.90Check Total:
Vendor:1120 CONCRETE PRODUCTS NEW LONDON Check Sequence: 11 ACH Enabled: False
43686 ZPARKS- (10) 20' flex edging w/ couplers 69.70 07/29/2014 101-45201-422500
43696 ZPARKS- 2oz typar standard 6' x 300' 85.96 07/29/2014 101-45201-422500
43720 ZPARKS - (2) boxes 6 x 1 x 6 sod staple 53.20 07/29/2014 101-45201-422500
208.86Check Total:
Vendor:2476 CSI DIGITAL INC Check Sequence: 12 ACH Enabled: True
102478 Trouble Tickets - #3148 6/27-30/14; #3123 6/20/14 420.00 07/29/2014 655-49870-432500
102493 Annual STB license support 3,315.00 07/29/2014 655-49870-443700
3,735.00Check Total:
Vendor:1129 DAHLHEIMER BEVERAGE LLC Check Sequence: 13 ACH Enabled: True
1113153 re sale 52.80 07/29/2014 609-49750-425200
1113160 re sale 400.00 07/29/2014 609-49750-425200
94090 re sale 30,546.60 07/29/2014 609-49750-425200
94184 re sale 33.00 07/29/2014 609-49750-425400
94184 re sale 1,445.75 07/29/2014 609-49750-425200
94581 re sale -155.40 07/29/2014 609-49750-425200
94582 re sale 600.95 07/29/2014 609-49750-425200
94717 re sale 829.00 07/29/2014 609-49750-425200
94717 re sale 16.50 07/29/2014 609-49750-425400
33,769.20Check Total:
Vendor:1134 DAY DISTRIBUTING COMPANY Check Sequence: 14 ACH Enabled: True
759573 re sale 3,747.15 07/29/2014 609-49750-425200
3,747.15Check Total:
Vendor:1141 DIAMOND VOGEL PAINT Check Sequence: 15 ACH Enabled: False
813118355 (25) 50# glass bead bags; (3) 5 Gallon yellow 1,013.45 07/29/2014 101-43120-421510
1,013.45Check Total:
Vendor:1680 EPIC PRODUCTS INC Check Sequence: 16 ACH Enabled: False
AP-Computer Check Proof List by Vendor (07/24/2014 - 8:36 AM)Page 3
Invoice No Description Amount Payment Date Acct Number Reference
0449907 re-sale 152.83 07/29/2014 609-49750-425400
152.83Check Total:
Vendor:3318 FIBERNET MONTICELLO Check Sequence: 17 ACH Enabled: False
7/11/14 Bullseye 7/11/14 461.61 07/29/2014 655-49870-443980
461.61Check Total:
Vendor:1179 FIRE SAFETY USA INC Check Sequence: 18 ACH Enabled: False
70493 (2) replacement bulb - 500 watt 30.00 07/29/2014 101-42200-421990
30.00Check Total:
Vendor:3790 HEATER RENTAL SERVICES - HRS Check Sequence: 19 ACH Enabled: False
4441 Electric scissorlift 432.84 07/29/2014 226-45122-424100
432.84Check Total:
Vendor:2591 BRIAN HELLMAN Check Sequence: 20 ACH Enabled: False
2873 2 mowing; clean up grave materials 1,200.00 07/29/2014 101-45501-431050
2877 (4) mowing 160.00 07/29/2014 101-45501-431050
2878 (4) mowing 140.00 07/29/2014 101-45501-431050
1,500.00Check Total:
Vendor:1259 JJ TAYLOR DISTRIBUTING Check Sequence: 21 ACH Enabled: False
2237117 re sale 941.10 07/29/2014 609-49750-425200
941.10Check Total:
Vendor:1260 JME OF MONTICELLO INC Check Sequence: 22 ACH Enabled: True
SYS47123 Ladder 1 main shop preventative maintenence 115.50 07/29/2014 101-42200-421990
115.50Check Total:
Vendor:1263 JOHNSON BROS WHOLESALE LIQUOR Check Sequence: 23 ACH Enabled: False
1892398 freight 1.39 07/29/2014 609-49750-433300
1892398 re sale 166.10 07/29/2014 609-49750-425100
1892399 re sale 368.00 07/29/2014 609-49750-425300
1892399 freight 9.73 07/29/2014 609-49750-433300
1893629 freight 43.77 07/29/2014 609-49750-433300
1893629 re sale 4,330.23 07/29/2014 609-49750-425100
1893630 re sale 1,583.74 07/29/2014 609-49750-425300
1893630 freight 40.07 07/29/2014 609-49750-433300
AP-Computer Check Proof List by Vendor (07/24/2014 - 8:36 AM)Page 4
Invoice No Description Amount Payment Date Acct Number Reference
1893631 re sale 52.00 07/29/2014 609-49750-425200
1896559 re sale 805.00 07/29/2014 609-49750-425100
1896559 re sale 12.51 07/29/2014 609-49750-433300
1896560 re sale 1,073.20 07/29/2014 609-49750-425300
1896560 freight 26.41 07/29/2014 609-49750-433300
1898112 re sale 2,074.95 07/29/2014 609-49750-425100
1898112 freight 28.92 07/29/2014 609-49750-433300
1898113 freight 49.69 07/29/2014 609-49750-433300
1898113 re sale 1,446.88 07/29/2014 609-49750-425300
1898113 re sale 82.70 07/29/2014 609-49750-425400
1899426 freight 25.32 07/29/2014 609-49750-433300
1899426 re sale 2,138.17 07/29/2014 609-49750-425100
1899427 re sale 1,029.05 07/29/2014 609-49750-425300
1899427 re sale 40.00 07/29/2014 609-49750-425400
1899427 freight 21.60 07/29/2014 609-49750-433300
15,449.43Check Total:
Vendor:1631 LANO EQUIPMENT INC Check Sequence: 24 ACH Enabled: False
02-157765 Repair parts Bob cat skid loader #215 244.93 07/29/2014 101-45201-422100
244.93Check Total:
Vendor:1229 MAJIRS ADVERTISING & DESIGN INC Check Sequence: 25 ACH Enabled: True
1069 (6) sets business cards 291.45 07/29/2014 217-41990-420990
291.45Check Total:
Vendor:3745 MANSFIELD OIL COMPANY Check Sequence: 26 ACH Enabled: True
705701 573 gallons diesel 2,026.65 07/29/2014 101-43120-421200
705702 680 gallons unleaded 2,315.81 07/29/2014 101-43120-421200
4,342.46Check Total:
Vendor:1328 MIDWAY IRON & METAL CO INC Check Sequence: 27 ACH Enabled: False
240062 ZParks - (15) sheet bending; 11 ga steel 120.25 07/29/2014 101-45201-421990
240259 ZParks - ((2) D-rign; (2) threaded rod 45.02 07/29/2014 101-45201-421990
165.27Check Total:
Vendor:1355 MN MUNICIPAL BEVERAGE ASSOCIATION Check Sequence: 28 ACH Enabled: False
07/2014-07/2015 Annual Dues July 2014-July 2015 2,350.00 07/29/2014 609-49754-443300
2,350.00Check Total:
AP-Computer Check Proof List by Vendor (07/24/2014 - 8:36 AM)Page 5
Invoice No Description Amount Payment Date Acct Number Reference
Vendor:1359 MN RURAL WATER ASSOCIATION Check Sequence: 29 ACH Enabled: False
Member 2014-15 August 2014-15 Option B Associate Membership 225.00 07/29/2014 601-49440-443300
Member 2014-15 August 2014-15 (2) extra mailings 20.00 07/29/2014 601-49440-443300
245.00Check Total:
Vendor:1375 MONTICELLO PRINTING INC Check Sequence: 30 ACH Enabled: True
07/01/2014 (100) ncident; (25) Training Reports; (35) Bylaws booklets 209.55 07/29/2014 101-42200-420300
07/01/2014 utx - (1000) Channel Guide Flyers 240.00 07/29/2014 655-49870-420300
449.55Check Total:
Vendor:1382 MOON MOTOR SALES INC Check Sequence: 31 ACH Enabled: False
4671449 switch-key 77.99 07/29/2014 101-42200-421990
77.99Check Total:
Vendor:2112 MPELRA Check Sequence: 32 ACH Enabled: False
07012014 August 13-15/2014 Summer Conference - Tracy Ergen 235.00 07/29/2014 101-41800-433200
235.00Check Total:
Vendor:2072 NATIONAL TELCO TELEVISION CONSORTIUM Check Sequence: 33 ACH Enabled: True
2387 NTTC - June 2014 29,466.29 07/29/2014 655-49860-430920
29,466.29Check Total:
Vendor:1098 NATIONWIDE CLEC LLC Check Sequence: 34 ACH Enabled: True
1199 June 2014 - (3.5) hr; fixed billing 2,580.00 07/29/2014 655-49870-431990
2,580.00Check Total:
Vendor:1150 NCH CORPORATION Check Sequence: 35 ACH Enabled: True
20796551 (5) Cryobit with flats; (250) cable tie black heavy 306.30 07/29/2014 101-43127-421990
306.30Check Total:
Vendor:2082 NEUSTAR INC Check Sequence: 36 ACH Enabled: True
Account 20313 Invoice M-10721385 charges 6/1-30/2014 1.47 07/29/2014 655-49870-431990
Account 20313 Invoice M-10721385 charges 6/1-30/2014 124.02 07/29/2014 655-49870-431990
Account19894 Invoice M-10721272 charges 6/1-30/2014 345.00 07/29/2014 655-49870-431990
470.49Check Total:
Vendor:2287 NORTH AMERICAN NUMBERING PLAN Check Sequence: 37 ACH Enabled: False
AP-Computer Check Proof List by Vendor (07/24/2014 - 8:36 AM)Page 6
Invoice No Description Amount Payment Date Acct Number Reference
IN069665 FCC Filer ID 828118 Number Admin in N AM - FNM share for 2014 25.00 07/29/2014 655-49870-431990
25.00Check Total:
Vendor:1411 OLSON & SONS ELECTRIC INC Check Sequence: 38 ACH Enabled: True
49458 ZPARKS - pioneer - photo eye knuckle & labor 111.34 07/29/2014 101-45201-422500
111.34Check Total:
Vendor:1412 OMANN BROTHERS INC Check Sequence: 39 ACH Enabled: False
10906 (10.04) SPWEA240B 534.13 07/29/2014 101-43120-422400
10909 (9.99) spwea240b 531.47 07/29/2014 101-43120-422400
10921 (5.05) spwea240b 268.66 07/29/2014 101-43120-422400
1,334.26Check Total:
Vendor:1419 PAN O GOLD CO ST CLOUD Check Sequence: 40 ACH Enabled: True
0100004419108 (1/6) block party party food 32.48 07/29/2014 101-45175-443990
0100004419108 (1/6) block party party food 32.48 07/29/2014 226-45127-421980
0100004419108 (1/6) block party party food 32.48 07/29/2014 655-49870-434600
0100004419108 (1/6) block party party food 32.48 07/29/2014 101-41940-443990
0100004419108 (1/6) block party party food 32.48 07/29/2014 101-42800-443990
0100004419108 (1/6) block party party food 32.48 07/29/2014 101-00000-362900
194.88Check Total:
Vendor:1273 PAUSTIS & SONS WINE CO Check Sequence: 41 ACH Enabled: False
8456247 re sale 616.74 07/29/2014 609-49750-425300
8456247 freight 12.50 07/29/2014 609-49750-433300
629.24Check Total:
Vendor:1427 PHILLIPS WINE & SPIRITS CO Check Sequence: 42 ACH Enabled: False
2631526 freight 116.76 07/29/2014 609-49750-433300
2631526 re sale 6,715.87 07/29/2014 609-49750-425100
2631527 re sale 1,322.50 07/29/2014 609-49750-425300
2631527 freight 38.92 07/29/2014 609-49750-433300
2632294 re sale 2,064.14 07/29/2014 609-49750-425100
2632294 freight 34.40 07/29/2014 609-49750-433300
2632295 freight 13.90 07/29/2014 609-49750-433300
2632295 re sale 662.95 07/29/2014 609-49750-425300
2634203 re sale 533.80 07/29/2014 609-49750-425100
2634203 freight 8.34 07/29/2014 609-49750-433300
2634204 freight 15.29 07/29/2014 609-49750-433300
AP-Computer Check Proof List by Vendor (07/24/2014 - 8:36 AM)Page 7
Invoice No Description Amount Payment Date Acct Number Reference
2634204 re sale 1,377.66 07/29/2014 609-49750-425100
2634205 re sale 226.80 07/29/2014 609-49750-425300
2634205 freight 8.34 07/29/2014 609-49750-433300
2635107 freight 50.41 07/29/2014 609-49750-433300
2635107 re sale 4,508.80 07/29/2014 609-49750-425100
2635951 re sale 998.35 07/29/2014 609-49750-425100
2635951 freight 12.96 07/29/2014 609-49750-433300
2635952 freight 34.56 07/29/2014 609-49750-433300
2635952 re sale 978.00 07/29/2014 609-49750-425300
2635952 re sale 41.95 07/29/2014 609-49750-425400
19,764.70Check Total:
Vendor:3792 QUICKSILVER EXPRESS COURIER Check Sequence: 43 ACH Enabled: False
6499827 delivery First American Title Insurance 85.29 07/29/2014 101-41940-432200
85.29Check Total:
Vendor:1450 RAILROAD MANAGEMENT CO III LLC Check Sequence: 44 ACH Enabled: False
310421 License #306033 10/16-15/2014 Rent Sewer Crossing 146.16 07/29/2014 265-49200-431990
310428 License #306033 10/16-17/2014 Rent Monticello Carver 146.16 07/29/2014 265-49200-431990
292.32Check Total:
Vendor:3688 SOURCEONE SOLUTIONS LLC Check Sequence: 45 ACH Enabled: True
4231 July billing 2,006.71 07/29/2014 655-49870-431800
4231 July billing- postage 536.81 07/29/2014 655-49870-431800
2,543.52Check Total:
Vendor:3309 SOUTHERN WINE & SPIRITS OF MINNESOTA Check Sequence: 46 ACH Enabled: False
1180537 freight 15.08 07/29/2014 609-49750-433300
1180537 re sale 1,211.87 07/29/2014 609-49750-425100
1180538 re sale 40.12 07/29/2014 609-49750-425400
1180538 freight 1.35 07/29/2014 609-49750-433300
1180539 re sale 1,967.00 07/29/2014 609-49750-425300
1180539 freight 24.30 07/29/2014 609-49750-433300
3,259.72Check Total:
Vendor:1497 SPECTRUM SUPPLY COMPANY Check Sequence: 47 ACH Enabled: True
243143 (4) mops; (3) towels 210ct; mop bucket; detergents 643.68 07/29/2014 101-45201-421990
243313 33 gal liners case 26.19 07/29/2014 217-41990-421100
243314 33 gallon liners 27.99 07/29/2014 655-49870-421990
AP-Computer Check Proof List by Vendor (07/24/2014 - 8:36 AM)Page 8
Invoice No Description Amount Payment Date Acct Number Reference
243317 (4) mops; (3) towels 210ct; mop bucket; detergents 242.89 07/29/2014 101-45201-421650
940.75Check Total:
Vendor:1522 THORPE DISTRIBUTING COMPANY Check Sequence: 48 ACH Enabled: True
833139 re sale 16,352.75 07/29/2014 609-49750-425200
834505 re sale 148.35 07/29/2014 609-49750-425400
834506 re sale 47.20 07/29/2014 609-49750-425300
16,548.30Check Total:
Vendor:3791 TRI STATE BOBCAT Check Sequence: 49 ACH Enabled: False
S16567 2014 Bandit 12" Drum Style Brush Chipper 27,727.94 07/29/2014 703-00000-165010
27,727.94Check Total:
Vendor:1544 US POSTAL SERVICE Check Sequence: 50 ACH Enabled: False
07/18/14 PI 42 - UB Qrt 2 2014 (3896 pcs) (1/2) 896.08 07/29/2014 601-49440-432200
07/18/14 PI 42 - UB Qrt 2 2014 (3896 pcs) (1/2) 896.08 07/29/2014 602-49490-432200
1,792.16Check Total:
Vendor:2534 VAULTAS ALEXANDRIA LLC Check Sequence: 51 ACH Enabled: True
1862 gigabit Transport & cross connect 2,500.00 07/29/2014 655-49860-430930
1862 November 2013 cross connect; racks 349.00 07/29/2014 655-49860-430930
1862 June 2014 cross connect: private line 1,900.00 07/29/2014 655-49860-430930
4,749.00Check Total:
Vendor:1552 VIKING COCA COLA BOTTLING CO Check Sequence: 52 ACH Enabled: True
1417930 re sale 307.20 07/29/2014 609-49750-425400
1422868 re sale 205.70 07/29/2014 609-49750-425400
512.90Check Total:
Vendor:1684 VINOCOPIA Check Sequence: 53 ACH Enabled: True
102265 re sale 1,252.00 07/29/2014 609-49750-425300
102265 freight 19.50 07/29/2014 609-49750-433300
1,271.50Check Total:
Vendor:1567 WES OLSON ELECTRIC LLC Check Sequence: 54 ACH Enabled: False
6694 Labor - Ellison Park Gazebo 130.00 07/29/2014 601-49440-440440
6694 Parts - Ellison Park Gazebo (4) red wing wire; (2) led fixtures; 234.54 07/29/2014 601-49440-440440
AP-Computer Check Proof List by Vendor (07/24/2014 - 8:36 AM)Page 9
Invoice No Description Amount Payment Date Acct Number Reference
364.54Check Total:
Vendor:1572 THE WINE COMPANY Check Sequence: 55 ACH Enabled: True
366711 re sale 858.00 07/29/2014 609-49750-425300
366711 freight 18.15 07/29/2014 609-49750-433300
876.15Check Total:
Vendor:1573 WINE MERCHANTS INC Check Sequence: 56 ACH Enabled: False
510588 re sale 716.48 07/29/2014 609-49750-425300
510588 freight 7.64 07/29/2014 609-49750-433300
724.12Check Total:
Vendor:1209 WIRTZ BEVERAGE MINNESOTA WINE & SPIRITS Check Sequence: 57 ACH Enabled: False
1080202645 re sale 4,655.35 07/29/2014 609-49750-425100
1080202645 re sale 822.00 07/29/2014 609-49750-425300
1080202645 re sale 84.00 07/29/2014 609-49750-425400
1080202645 freight 71.91 07/29/2014 609-49750-433300
2080046905 re sale -24.41 07/29/2014 609-49750-425100
2080049606 re sale -27.59 07/29/2014 609-49750-425100
5,581.26Check Total:
Vendor:1583 WRIGHT HENNEPIN COOP ELECTRIC ASSOCIATION Check Sequence: 58 ACH Enabled: True
40710177100 06/01-07/01/2014 41.95 07/29/2014 602-49490-438100
40710177100 Sept 2014 service 19.95 07/29/2014 217-41990-431900
40710177100 Sept 2014 service 36.45 07/29/2014 101-45201-431900
40710177100 Sept 2014 service 27.95 07/29/2014 101-42200-431900
40710177100 Sept 2014 service 19.95 07/29/2014 601-49440-431900
40710177100 utx - Sept 2014 service 27.95 07/29/2014 226-45122-431900
40710177100 Sept 2014 service 32.95 07/29/2014 601-49440-431900
40710177100 Sept 2014 service 29.95 07/29/2014 601-49440-431900
40710177100 Sept 2014 service 19.95 07/29/2014 601-49440-431900
40710177100 Sept 2014 service 19.95 07/29/2014 101-45201-431900
40710177100 Sept 2014 service 1,477.44 07/29/2014 101-43160-438100
1,754.44Check Total:
Vendor:1584 WSB & ASSOCIATES INC Check Sequence: 59 ACH Enabled: True
198 General Ph 6 2014 (6th of 12) 7,500.00 07/29/2014 101-43111-430300
198 General Ph 6 2014 meeting 147.00 07/29/2014 101-43111-430300
198 PREDSN-PLNEXP - General Ph 6 2014 meeting 483.00 07/29/2014 101-41910-430300
AP-Computer Check Proof List by Vendor (07/24/2014 - 8:36 AM)Page 10
Invoice No Description Amount Payment Date Acct Number Reference
198 ZUNION-PLESCR - Union Crossing 6th add eview 69.00 07/29/2014 101-00000-220110
198 General Ph 6 2014 138.00 07/29/2014 101-41910-430300
8,337.00Check Total:
Vendor:1907 XO COMMUNICATIONS LLC Check Sequence: 60 ACH Enabled: True
004000000156812 Date - Internet access 7/1-7/31/14 2,381.71 07/29/2014 655-49860-430930
2,381.71Check Total:
Vendor:1588 ZEE MEDICAL SERVICE Check Sequence: 61 ACH Enabled: True
54096869 (3) first aid kits restocking 201.10 07/29/2014 101-43127-420650
201.10Check Total:
Total for Check Run:
Total of Number of Checks:
322,198.92
61
AP-Computer Check Proof List by Vendor (07/24/2014 - 8:36 AM)Page 11
The preceding list of bills payable was reviewed and approved for payment.
Dat: 7/28/2014 Approved by: ____________________________________
Mayor Clint Herbst
CityCouncilAgenda:7/28/2014
1
5B.ConsiderationofapprovingnewhiresanddeparturesforCitydepartments (TE)
A.REFERENCEANDBACKGROUND:
TheCouncilisaskedtoratifythehiringanddeparturesofemployeesthathaveoccurred
recentlyinthedepartmentslisted.ItisrecommendedthattheCouncilofficiallyratifythe
hiring/departureofalllistedemployeesincludingpart-timeandseasonalworkers.
A1.BudgetImpact:(positionsaregenerallyincludedinbudget)
A2.StaffWorkLoadImpact:Ifnewpositions,theremaybesometraining
involved.Ifterminatedpositions,existingstaffwouldpickupthosehours,as
needed,untilreplaced.
B.ALTERNATIVEACTIONS:
1.Motiontoratifythehire/departuresoftheemployeesasidentifiedontheattached
list.
2.Motiontodenytherecommendedhiresanddepartures.
C.RECOMMENDATION:
BystatutetheCityCouncilhastheauthoritytoapproveallhires/departures.Citystaff
recommendsAlternative#1,fortheCounciltoapprovethehiresand/ordeparturesas
listed.
D.SUPPORTINGDATA:
Listofnew/terminatedemployees
Name Title Department Hire Date Class
Samantha Murray Life Guard MCC 7/1/14 PT
Conner Bird Life Guard MCC 7/17/2014 PT
Leanne Holker League Manager MCC 7/21/2014 PT
Tracy Falk DMV Clerk DMV 7/22/14 PT
Kathryn Brisbois DMV Clerk DMV 7/29/14 PT
Julie Cheney Finance Assistant Finance 8/4/14 FT
Name Reason Department Last Day Class
Matthew Spangler Involuntary MCC 6/28/2014 PT
NEW EMPLOYEES
TERMINATING EMPLOYEES
New Hire and Terms City Council 2014: 7/22/2014
CityCouncilAgenda:7/28/14
1
5C.ConsiderationofadoptingResolution#2014-071toacceptcontributionsfromSchlenner,
Wenner&Co.andOmniVision&Learning/UptownEyecaretoMCCforMovieinthe
Parkevents KB
A.REFERENCEANDBACKGROUND:
Thisisthefifthyearthatthecommunitycenter,withthehelpoftheSherburneWrightCable
Commission,ispresentingourMovieintheParkseries.Wehavethreegreatmoviesthis
summerandthreegreatsponsors.
WealreadyidentifiedtheMonticelloTimesasoneofoursponsors.Ourothertwosponsors
areSchlenner,Wenner&CompanyandOmniVision&LearningCenter/UptownEyecare.
SchlennerWenner&Coisalocalaccountingfirmthatprovidesaccounting,payrollandtax
services.ThisistheirsecondyearasaMovieintheParksponsor.OmniVision&Learning
Center/UptownEyecareisaneyecareandeyewearfirm.Dr.MaryGregoryisanowneror
partownerinthebusinessandisoursponsorforthefirsttimeforMovieinthePark.We’re
excitedtohaveallthreeofthesebusinessasasponsorsforourmovies.
A1.BudgetImpact:The$500sponsorshipcoversthecostofthemovie,thepublicplay
licenseandmosquitospraying.Thecommunitycenteroffersconcessionstocoverthe
staffcosts.TheSWCCdoesnotchargeustousethemoviescreenasapartnerinthe
commission.
A2.StaffWorkloadImpact:It’sabusydaypreparingforthemovie:puttingthescreen
up,settingupconcessions,sellingconcessions,parkingassistance,securitythrough
themovieandthenteardown.
B.ALTERNATIVEACTIONS:
1.MotiontoadoptResolution#2014-071approvingthetwo$500sponsorship
contributionfromthesebusinesses:SchlennerWenner&CoandOmniVision&
Learning/UptownEyecare.
2.Motiontodenyacceptanceofthetwo$500sponsorshipcontributions.
C.STAFFRECOMMENDATION:
CitystaffrecommendsAlternative#1.
D.SUPPORTINGDATA:
Resolution#2014-071
ContributionFormsfrom:
SchlennerWenner&Co.
OmniVision&LearningandUptownEyecare
CITYOFMONTICELLO
WRIGHTCOUNTY,MINNESOTA
RESOLUTIONNO.2014-071
RESOLUTIONAPPROVINGCONTRIBUTIONS
WHEREAS,theCityofMonticelloisgenerallyauthorizedtoaccept
contributionsofrealandpersonalpropertypursuanttoMinnesotaStatutesSections
465.03and465.04forthebenefitofitscitizensandisspecificallyauthorizedtomaintain
suchpropertyforthebenefitofitscitizensinaccordancewiththetermsprescribedbythe
donor.SaidgiftsmaybelimitedunderprovisionsofMNStatutesSection471.895.
WHEREAS,thefollowingpersonsandorentitieshaveofferedtocontribute
contributionsorgiftstotheCityaslisted:
DONOR/ENTITYDESCRIPTIONVALUE
SchlennerandWenner,Co.Cash$500
OmniVision&Learning
Center/UptownEyeCare
Cash$500
WHEREAS,allsaidcontributionsareintendedtoaidtheCityinestablishing
facilities,operationsorprogramswithinthecity’sjurisdictioneitheraloneorin
cooperationwithothers,asallowedbylaw;and
WHEREAS,theCityCouncilherebyfindsthatitisappropriatetoacceptthe
contributionsoffered.
NOWTHEREFOREBEITRESOLVED bytheCityCouncilofMonticelloas
follows:
1.ThecontributionsdescribedaboveareherebyacceptedbytheCityof
Monticello.
2.Thecontributionsdescribedabovewillbeusedasdesignatedbythe
donor.Thismayentailreimbursingorallocatingthemoneytoanother
entitythatwillutilizethefundsforthefollowingstatedpurpose:
DONOR/ENTITYRECIPIENTPURPOSE
SchlennerandWenner,Co.CommunityCenterSponsorMovieinthePark
OmniVision&Learning
Center/UptownEyeCare
CommunityCenterSponsorMovieinthePark
AdoptedbytheCityCouncilofMonticellothis28thdayofJuly,2014.
CITYOFMONTICELLO
______________________________
ClintHerbst,Mayor
ATTEST:
______________________________________
JeffO’Neill,CityAdministrator
CouncilAgenda:07/28/14
1
5D.Considerationofapprovingapplicationsfora2-daytemporaryliquorlicenseanda
charitablegamblingpermitfortheChurchofStHenry’sfallfestivalonSeptember
20-21,2014 (CS)
A.REFERENCEANDBACKGROUND:
TheChurchofStHenryisrequestingapprovalofanapplicationfora2-daytemporary
on-saleliquorlicenseinconjunctionwiththeirannualFallFestivaleventonSeptember
20-21,2014.Inaddition,theyarerequestingapprovalofanapplicationforacharitable
gamblingpermitforbingo,rafflesandpull-tabsinconjunctionwiththeFallFestival.
Theactivitieswilltakeplaceonthechurchparkinglotandgrounds.
StHenry’shasalsoprovidedacertificateofinsuranceshowingliquorliabilitycoverage
forthetemporaryon-saleliquorlicense.
ToreceiveapermitfromtheState,theCitymustapprovetheapplication.Inthepastthe
Cityhasnotopposedtheseexemptgamblinglicenseapplicationsforcharitableevents.
A1.BudgetImpact:NA
A2.StaffWorkloadImpact:MinimalstafftimetoprocessapplicationwithState
AlcoholandGamblingDivisionforapproval.
B.ALTERNATIVEACTIONS:
1.Motiontoapprovetheapplicationsforatemporary2-dayliquorlicenseand
charitablegamblingpermitfortheChurchofStHenry’sFallFestivaltobeheld
onchurchgroundsonSeptember20-21,2014.
2.Motiontonotapprovetheapplicationsfortemporaryliquorlicenseandcharitable
gamblingpermit.
C.STAFFRECOMMENDATION:
CitystaffrecommendsAlternative#1forapprovaloftheapplications.
D.SUPPORTINGDATA:
Applicationfortemporaryliquorlicense
Applicationforcharitablegamblingpermit
Copyofcertificateofinsurancefortheevent
CityCouncilAgenda:07/28/14
1
5E.Considerationofapprovinganapplicationforacharitablegamblingpermitfora
raffletobeconductedbyWrightCounty/WestMetroWhitetailsonSeptember7,
2014 (CS)
A.REFERENCEANDBACKGROUND:
TheWrightCounty/WestMetroWhitetailsgrouphasappliedforatemporarycharitable
gamblingpermitforaraffletobeheldonSunday,September7,2014inconjunctionwith
afundraisingeventatRiverCityExtreme.Theyhaveheldasimilarfundraiserfora
numberofyearsinMonticello.
ToreceiveapermitfromtheState,theCitymustapprovetheapplication.Inthepastthe
Cityhasnotopposedtheseexemptgamblinglicenseapplicationsforcharitableevents.
B.ALTERNATIVEACTIONS:
1.Motiontoapprovetheapplicationforacharitablegamblingpermitforaraffleto
beconductedbytheWrightCounty/WestMetroWhitetailsonSeptember7,
20134atRiverCityExtreme.
2.Motiontodenytheapplicationforacharitablegamblingpermit.
C.STAFFRECOMMENDATION:
StaffsupportsAlternative#1andisnotawareofanyreasonwhythisapplicationshould
notbeapproved.
D.SUPPORTINGDATA:
ApplicationforExemptGamblingPermit
CityCouncilAgenda:07/28/14
1
5F.ConsiderationofadoptingResolution#2014-073statingintenttoreimbursefrom
bondproceedsforPhosphorousReductionandOtherImprovementstothe
WastewaterTreatmentFacilityandSystem,CityProjectNo.ZZPHOS (WO)
A.REFERENCEANDBACKGROUND:
TheInternalRevenueServicerequirestheCitytoadoptaresolutiondeclaringtheofficial
intenttoreimbursecertainprojectexpendituresfrombondproceeds,iftheCityplansor
wouldissuebondstofinanceprojectcosts.Bypassingthisresolutionitwouldallowthe
Citytoincludethephosphorousreductionandotherimprovementstothewastewater
treatmentfacilityandsysteminafuturebondissue.Withouttheresolution,theproject
couldnotbefundedbybonds.AtthistimetheCityisplanningonissuingbondsto
financethisproject.
A1.BudgetImpact:Byadoptingtheresolution,theCitywouldhavetheabilityto
includethephosphorousreductionandotherimprovementstothewastewater
treatmentfacilityandsysteminafuturebondissue.
A2.StaffWorkloadImpact:Therewouldbenoimpactonthestaffbythisaction.
WhentheCityissuesbondstherewouldbestafftimeandconsultantcostsrelated
tothebondissue.
B.ALTERNATIVEACTIONS:
1.MotiontoadoptResolution#2014-073statingintenttoreimbursefrombond
proceedsforthePhosphorousReductionandOtherImprovementstothe
WastewaterTreatmentFacilityandSystem,CityProjectNo.ZZPHOS.
2.Motiontonotadoptaresolutiondeclaringtheofficialintenttoreimburse
expendituresfromtheproceedsofbondsatthistime.
C.STAFFRECOMMENDATION:
CitystaffsupportsAlternative#1.
D.SUPPORTINGDATA:
Resolution#2014-073
1
CITYOFMONTICELLO
WRIGHTCOUNTY,MINNESOTA
RESOLUTIONNO.2014-073
DECLARINGTHEOFFICIALINTENTOFTHECITYOFMONTICELLOTO
REIMBURSECERTAINEXPENDITURESFROMTHEPROCEEDSOFBONDSTOBE
ISSUEDBYTHECITYFORTHEPHOSPHOROUSREDUCTIONANDOTHER
IMPROVEMENTSTOTHEWASTEWATERTREATMENTFACILITYANDSYSTEM,
CITYPROJECTNO.ZZPHOS
WHEREAS,theInternalRevenueServicehasissuedTreas.Reg.§1.150-2providingthat
proceedsoftax-exemptbondsusedtoreimbursepriorexpenditureswillnotbedeemedspent
unlesscertainrequirementsaremet;and
WHEREAS,theCityexpectstoincurcertainexpenditureswhichmaybefinancedtemporarily
fromsourcesotherthanbonds,andreimbursedfromtheproceedsofabond;
WHEREAS,theCityhasdeterminedtomakethisdeclarationofofficialintent(“Declaration”)to
reimbursecertaincostsfromproceedsofbondsinaccordancewiththeReimbursement
Regulations.
NOW,THEREFORE,BEITRESOLVEDBYTHECITYCOUNCILOFTHECITYOF
MONTICELLO(THE“CITY”)ASFOLLOWS:
1.TheCityreasonablyintendstomakeexpendituresfortheprojectsdescribedinExhibitA
(the“Projects”),andreasonablyintendstoreimburseitselfforsuchexpendituresfromthe
proceedsofdebttobeissuedbytheCityinthemaximumprincipalamountdescribedin
ExhibitA.Allreimbursedexpenditureswillbecapitalexpenditures,costsofissuanceof
thebonds,orotherexpenditureseligibleforreimbursementunderSection1.150-2(d)(3)
oftheReimbursementRegulations.
2.ThisDeclarationhasbeenmadenotlaterthan60daysafterpaymentofanyoriginal
expendituretobesubjecttoareimbursementallocationwithrespecttotheproceedsof
bonds,exceptforthefollowingexpenditures:(a)costsofissuanceofbonds;(b)costsin
anamountnotinexcessof$100,000or5percentoftheproceedsofanissue;or(c)
“preliminaryexpenditures”uptoanamountnotinexcessof20percentoftheaggregate
issuepriceoftheissueorissuesthatfinanceorarereasonablyexpectedbytheCityto
financetheprojectforwhichthepreliminaryexpenditureswereincurred.Theterm
“preliminaryexpenditures”includesarchitectural,engineering,surveying,bondissuance,
andsimilarcoststhatareincurredpriortocommencementofacquisition,constructionor
rehabilitationofaproject,otherthanlandacquisition,sitepreparation,andsimilarcosts
incidenttocommencementofconstruction.
3.ThisDeclarationisanexpressionofthereasonableexpectationoftheCitybasedonthe
factsandcircumstancesknowntotheCityasofthedatehereof.Theanticipatedoriginal
expendituresfortheProjectandtheprincipalamountofthebondsdescribedinparagraph
1areconsistentwiththeCity’sbudgetaryandfinancialcircumstances.Nosourcesother
thanproceedsofbondstobeissuedbytheCityare,orarereasonablyexpectedtobe,
reserved,allocatedonalong-termbasis,orotherwisesetasidepursuanttotheCity’s
budgetorfinancialpoliciestopaysuchprojectexpenditures.
4.TheCityAdministratorisauthorizedtodesignateappropriateadditionstoExhibitAin
circumstanceswheretimeisoftheessence,andanysuchdesignationshallbereportedto
theCouncilattheearliestpracticabledateandshallbefiledwiththeofficialbooksand
recordsoftheCityasprovidedinSection3.
5.Thisresolutionisintendedtoconstituteadeclarationofofficialintentforpurposesof
Treas.Reg.§1.150-2andanysuccessorlaw,regulation,orruling.
ADOPTEDBY theCityCouncilthis28thdayofJuly,2014.
CITYOFMONTICELLO
__________________________________
ClintHerbst,Mayor
ATTEST:
__________________________________
JeffO’Neill,CityAdministrator
3
EXHIBITA
TOOFFICIALINTENTRESOLUTIONNO.2014-073
ADOPTEDJuly28,2014
DATEOF
DECLARATION DESCRIPTIONOFPROJECT
MAXIMUM
PRINCIPAL
AMOUNTOFDEBT
FORPROJECT
7/28/14 PHOSPHOROUSREDUCTIONAND
OTHERIMPROVEMENTSTOTHE
WASTEWATERTREATMENTFACILITY
ANDSYSTEM-including,butnotlimitedto,
constructionofimprovementsandindirect
costs,suchaslegal,engineering,
administrative,rightofwayacquisition(land,
etc.)andfinancingcosts.Engineeringcosts
includessurvey,feasibilitystudy,
environmentaldocuments,permitting,
preliminaryandfinaldesign,preparationof
plansandspecs,biddingadministration,
constructionmanagement,staking,inspection
andmaterialtesting.
$2,500,000
CityCouncilAgenda:7/28/14
1
5G.ConsiderationofadoptingResolution#2014-074authorizingthesubmissionofa
PointSourceImplementationGrant(PSIG)applicationforPhosphorusReduction
andOtherImprovementstotheWasteWaterTreatmentFacilityandSystem,City
ProjectNo.ZZPHOS (WSB)
A.REFERENCEANDBACKGROUND:
TheCityCouncilisaskedtoconsiderauthorizingsubmissionofaPSIGapplicationfor
thephosphorusreductionimprovementsatthewastewatertreatmentfacility(WWTF).
ThePSIGprogrammakes50%grantsforimprovementsrelatedtophosphorusreduction.
BecausetheCitymustremoveadditionalphosphorusastheresultoftheLakePepin
TotalMaximumDailyLoad(TMDL)Study,theCityiseligibletoparticipateinthePSIG
program.
ThePSIGprogramhasbeenfunded$9millionforfiscalyear2015whichishigher
thanthenorm.BoththeMinnesotaPollutionControlAgency(MPCA)andthePublic
FacilitiesAuthority(PFA)feelthattheCitymayhavesufficientprioritytobe
awardedagrantforphosphorusreductionimprovementsatthewastewatertreatment
facility(WWTF).
ThePSIGapplicationdeadlineisJuly31,2014.Oneoftheconditionsoftheapplication
istheconditionthattheCityCounciladoptaresolutionauthorizingthePSIGapplication.
ThegrantswillbeawardedbytheendofAugust,2014.
ProjectBackground
ThecurrentNPDESpermitfortheWWTFrequiresthatadditionalphosphorusbe
removednolaterthanDecember31,2018.Otherpermitconditionsinclude:
SubmittalofaFacilityPlantotheMPCAnolaterthanFebruary28,2014
SubmittalofdrawingsandspecificationstotheMPCAnolaterthanMarch30,
2015
Initiationofconstructionofthephosphorusreductionimprovementsnolaterthan
June1,2017
TheFacilityPlanwassubmittedbytheduedateandtheMPCAhasissuedapreliminary
approvalletter.
TheFacilityPlanrecommendedthatchemicaladditionbeinitiatedtoremovethe
additionalphosphorusrequiredbytheNPDESpermit.Thefollowingcostestimate
appearedintheFacilityPlanforthechemicaladditionsystem.
CityCouncilAgenda:7/28/14
2
TableNo.1
ChemPCapitalCost
DESCRIPTION ESTIMATED
COST($)
SixMixers$220,000
ChemicalStorage/FeedSystem$400,000
NewDiffuserMembranes$208,000
Subtotal $828,000
Contingency(20%)$166,000
Subtotal $994,000
Engineering,Legal,Fiscal,andAdministrative(15%)$149,000
TOTALCAPITALCOST $1,143,000
Thecoststhatappearinthetableabovewerebasedon2013pricing.However,bids
receivedforwaterandwastewaterworkinothercommunitiesfor2014arerunning
significantlyhigherthanlastyear.TheruraldevelopmentengineerfromtheUSDAwas
consultedandheindicatedthatcostsforwastewaterworkhaveincreasedsignificantly
duetotheincreasedvolumeofwaterandwastewaterworkbeingbid.Therefore,itis
anticipatedthatthehigherpricingwillcontinuein2015.
ThefollowingcostestimatewillbeusedforPSIGapplicationpurposes:
RevisedTableNo.1
ChemPCapitalCost
DESCRIPTION ESTIMATED
COST($)
SixMixers$275,000
ChemicalStorage/FeedSystem$650,000
NewDiffuserMembranes$260,000
Subtotal $1,185,000
Contingency(20%)$237,000
Subtotal $1,422,000
Engineering,Legal,Fiscal,andAdministrative(17.5%)$250,000
TOTALCAPITALCOST $1,672,000
CityCouncilAgenda:7/28/14
3
A1.BudgetImpact:ThecostforWSBtocompletethePSIGapplicationisinthe
rangeof$500to$750.Thegrantapplicationwillbecompletedundertheprevious
authorizationfortheFacilityPlan.
A2.StaffWorkloadImpact:FilingthePSIGapplicationwillnotincreaseCitystaff
workload.
B.ALTERNATIVEACTIONS:
1.MotionadoptingResolution#2014-074authorizingsubmissionofthePSIG
applicationforPhosphorusReductionandOtherImprovementstotheWaste
WaterTreatmentFacilityandSystem,CityProjectNo.ZZPHOS.
2.MotiondenyingadoptionofResolution#2014-074atthistime.
C.STAFFRECOMMENDATION:
CitystaffrecommendsapprovingAlternate#1.AgrantthroughthePSIGprogramwould
lowertheCity’scostsofimplementingthemandatedphosphorusreduction
improvements.
D.SUPPORTINGDATA:
Resolution#2014-074
PSIGapplicationnoticeandforms
CITYOFMONTICELLO
WRIGHTCOUNTY,MINNESOTA
RESOLUTIONNO.2014-074
AUTHORIZINGSUBMISSIONOFAPOINTSOURCEIMPLEMENTATIONGRANT
APPLICATONTOTHEMINNESOTAPUBLICFACILITIESAUTHORITY(PFA)
WHEREAS,thePointSourceImplementationProgram,establishedinMinnesotaStatutes
446A.073,asamended,providesfundsforconstructionprojects;and
WHEREAS,theCityofMonticelloisherebyapplyingtotheMinnesotaPublicFacilities
AuthorityforfundstobeusedforeligiblecostsforPhosphorusReductionandOther
ImprovementstotheMonticelloWasteWaterTreatmentFacilityandSystem,CityProjectNo.
ZZPHOS;
NOWTHEREFORE,BEITRESOLVED,thattheCityofMonticellohasthelegalauthorityto
applyforthegrant;andthefinancial,technical,andmanagerialcapacitytoensureproper
construction,operation,andmaintenanceoftheprojectforitsdesignlife;and
BEITFURTHERRESOLVED,thatuponapprovalofitsapplicationbythePFA,theCityof
MonticellomayenterintoanagreementwiththePFAforsaidproject,andtheCityof
Monticellocertifiesthatitwillcomplywithallapplicablelawsandregulationsasstatedinall
contractagreementsdescribedinthecompliancelistingofthegrantapplication;and
BEITFURTHERRESOLVED,theMayorandtheCityAdministrator,ortheirsuccessorsin
office,areherebyauthorizedtoexecutesuchagreements,andamendmentsthereto,asare
necessarytoimplementsaidprojectonbehalfoftheCityofMonticello.
ADOPTEDBY theMonticelloCityCouncilthis28thdayofJuly,2014.
CITYOFMONTICELLO
_________________________________
ClintHerbst,Mayor
ATTEST:
________________________________
JeffO’Neill,CityAdministrator
CERTIFICATION
STATEOFMINNESOTA
COUNTYOFWRIGHT
IherebycertifythattheforegoingisatrueandcorrectcopyofResolution#2014-074
dulypassed,adoptedandapprovedbytheMonticelloCityCouncilattheirscheduledmeetingon
July28,2014andrecordedinminutesofsaidmeeting.
____________________________________
CatherineM.Shuman,DeputyClerk
NotaryPublic:_______________________________
Date:___________________________
(STAMP)
Minnesota Public Facilities Authority
1st National Bank Building • 332 Minnesota St., Suite W820 • Saint Paul, MN 55101-1378 • USA
651-259-7469 • 800-657-3858 • Fax: 651-296-8833 • TTY/TDD: 651-296-3900
www.mn.gov/deed/pfa
An equal opportunity employer and service provider
Date: June 20, 2014
Notice: Applications Being Accepted For Point Source Implementation Grant Program
Beginning July 1, 2014 through July 31, 2014, the Minnesota Public Facilities Authority (PFA) will
accept applications for the Point Source Implementation Grant Program for grant awards in FY
2015. A total of $9.0 million has been appropriated for this program for FY 2015 by the Minnesota
Legislature, and the PFA expects unspent funds from previous appropriations to also be available.
All eligible projects that expect to be ready for construction by the summer of 2015 are encouraged
to apply
The Point Source Implementation Grant Program (Minnesota Statutes, Section 446A.073 as
amended) provides 50% grants up to $3 million to governmental units to assist with the cost of
wastewater treatment or stormwater projects necessary to:
• meet wasteload reductions prescribed under a total maximum daily load (TMDL) plan
required by Section 303(d) of the federal Clean Water Act;
• reduce the discharge of total phosphorus to one milligram per liter or less;
• meet any other water quality-based effluent limit established under section Minnesota Statute
Section 115.03, subd 1, (e)(8), that is incorporated into a permit issued by MPCA that
exceeds secondary treatment limits; or
• meet a total nitrogen limit of ten milligrams per liter or less for a land based treatment
system.
General Requirements
This program is jointly administered by the PFA and the Minnesota Pollution Control Agency
(MPCA). Eligible projects must be ranked on the MPCA’s 2015 Project Priority List (PPL), and the
PFA will reserve funds for applications according to the PPL priority order. To remain eligible for
these funds and receive a grant award, Point Source Implementation grant applicants must submit as-
bid costs to the PFA and MPCA and receive MPCA certification of the grant eligible portion of the
project by June 30, 2015. The determination of eligible costs will include a calculation by the MPCA
of the Essential Project Component (EPC) percentage based on existing versus future wastewater
needs, which may result in some projects qualifying for less than 50% grants.
Grant application forms are available on the PFA website at www.mn.gov/deed/pfa. Completed
applications must be postmarked or sent via e-mail no later than July 31, 2014.
Questions regarding project eligibility and MPCA certification requirements should be directed to
Bill Dunn at 651-757-2324 (bill.dunn@state.mn.us). For questions regarding funding and the
application process, contact the appropriate PFA loan officer shown on the enclosed map.
Minnesota Public Facilities Authority
1st National Bank Building • 332 Minnesota St., Suite W820 • Saint Paul, MN 55101-1378 • USA
651-259-7469 • 800-657-3858 • Fax: 651-296-8833 • TTY/TDD: 651-296-3900
www.mn.gov/deed/pfa
An equal opportunity employer and service provider
Minnesota Public Facilities Authority
Region PFA Loan Officer
8, 11
Becky Sabie
651-259-7470
rebecca.sabie@state.mn.us
6E, 7E, 7W
Kathe Barrett
651-259-7464
kathe.barrett@state.mn.us
9, 10
Anita Gallentine
651-259-7466
anita.gallentine @state.mn.us
1, 2, 3
Nancy Johnson
651-259-7467
nancy.lc.johnson@state.mn.us
4, 5, 6W
Steve LaFontaine
651-259-7471
stephen.lafontaine@state.mn.us
General
Program
Questions
Becky Sabie
651-259-7470
rebecca.sabie@state.mn.us
Feb 2011
Clean Water Fund
Point Source Implementation Grant Program
FY 2015 Application
Minnesota Public Facilities Authority
First National Bank Building, Suite W820
332 Minnesota Street
Saint Paul, MN 55101-1378
www.mn.gov/deed/pfa
FY 2015 Pt. Source Implementation Grant Application
June 2014
3 of 18
MINNESOTA PUBLIC FACILITIES AUTHORITY
POINT SOURCE IMPLEMENTATION GRANT PROGRAM
The Point Source Implementation Grant (PSIG) Program is jointly administered by the
Minnesota Public Facilities Authority (PFA) and the Minnesota Pollution Control Agency
(MPCA). APPLICATIONS MUST BE POSTMARKED OR SENT VIA E-MAIL NO LATER THAN JULY
31, 2014.
The Point Source Implementation Grant Program (Minnesota Statutes, Section 446A.073 as
amended) provides 50% grants up to a maximum of $3 million to governmental units to assist
with the cost of wastewater treatment or stormwater projects necessary to meet:
1) Wasteload reductions prescribed under an approved total maximum daily load
(TMDL) plan;
2) A phosphorus concentration or mass limit that requires discharging one milligram per
liter or less at permitted design flow, which is incorporated into a permit issued by the
MPCA;
3) Any other water quality-based effluent limit established under Minnesota Statute
Section 115.03, Subd 1, (e)(8), that is incorporated into a permit issued by MPCA that
exceeds secondary treatment limits; or
4) A total nitrogen limit of ten milligrams per liter or less for a land based treatment
system.
Eligible projects must be ranked on the MPCA’s 2015 Project Priority List (PPL). The PFA will
reserve funds for applications according to PPL priority order. To remain eligible for these
funds, Point Source Implementation Grant applicants must submit as-bid costs to the PFA and
MPCA and must receive MPCA certification of the grant eligible portion of the project by June
30, 2015.
Basic Program Requirements
o Applicants must submit the forms and information identified in the top half of the
application checklist (page 13). The checklist also identifies items to be submitted prior
to grant award and disbursement.
o The PFA will reserve grant funds based on the estimated total eligible cost submitted in
the application. If as-bid costs are higher, grant awards will be based on the higher cost
if sufficient funds are available at the time of award.
o Applicants must submit as-bid costs to the MPCA and PFA prior to grant award. As-bid
costs are needed by MPCA to certify the project and determine grant eligible
construction costs. The determination of eligible costs includes a calculation by the
MPCA of the Essential Project Component (EPC) percentage based on existing versus
FY 2015 Pt. Source Implementation Grant Application
June 2014
4 of 18
future wastewater needs, which may result in some projects receiving less than 50%
grants. The MPCA certification is needed prior to grant award.
o PFA can reimburse grantees for eligible PSIG non-construction costs as long as those
costs have not been paid by other PFA funds.
o PFA can reimburse eligible PSIG construction costs back to the date the application was
received by PFA.
o Construction contingencies are not included in the grant calculation.
o Applicants must document that total project funding is in place before the PFA can
award the grant.
o Grantees must follow the state Uniform Municipal Contracting Law and other applicable
requirements (bidding, special requirements for out-of-state contractors, workers
compensation, etc.) in the construction of the project. State prevailing wage rates apply
to the project (available from the Minnesota Department of Labor and Industry (DOLI),
Labor Standards Division 651/284-5091 (www.DOLI.state.mn.us). The DOLI contract
conditions included in Appendix A of this Application must be included in all
construction contracts for projects that receive PSIG funding.
o Grant recipients must pay an application fee to the PFA equal to one-half of one percent
of the grant amount. Fees are due at the time of execution of the grant agreement.
The fee is not a grant eligible cost.
o Grantees must display a sign with the Clean Water Legacy logo at the project site or
other public location identifying that the project was built with assistance from the
Clean Water, Land, & Legacy Amendment. If it is not practicable to display the sign at
the project site, the sign may be displayed in a public location at the Grantee’s office
along with a photograph of the project. An example sign layout is contained in this
application package. The logo and specifications can be found at:
http://www.dnr.state.mn.us/legacylogo/index.html
Coordination with PFA Clean Water Revolving Fund Loans
Applicants with projects seeking PFA loans though the Clean Water Revolving Fund (also known
as the State Revolving Fund, or SRF) in addition to PSIG funds must also follow the CWRF loan
application process, including being listed on PFA’s Intended Use Plan (IUP) within fundable
range. A separate CWRF loan application must be submitted by the deadline stated in the IUP.
FY 2015 Pt. Source Implementation Grant Application
June 2014
5 of 18
For Additional Information
Minnesota Public Facilities Authority: Contact the appropriate PFA loan officer as shown on the
map on the PFA website at www.mn.gov/deed/pfa.
Minnesota Pollution Control Agency: Contact the MPCA review engineer for your project or Bill
Dunn at the MPCA at 651-757-2324, or see the MPCA web site at www.pca.state.mn.us/PPL for
additional information.
Application Submittal
This file may be saved to your computer and the forms filled out electronically. The forms can
then be printed.
Applications may be submitted electronically as an e-mail attachment to the appropriate PFA
loan officer by July 31, 2014, or by mail (postmarked no later than July 31, 2014) to: MN Public
Facilities Authority, 1st National Bank Building, 332 Minnesota Street, Suite W820, St. Paul, MN
55101-1378.
If application is submitted as a paper copy, provide 2 copies.
Minnesota Public Facilities Authority
First National Bank Building, Suite W820
332 Minnesota Street
Saint Paul, MN 55101-1378
Phone 651-259-7469 or 1-800-657-3858 (Outside Metro Area)
TTY/TDD: 651-296-3900
FAX: 651-296-8833
APPLICATIONS MUST BE POSTMARKED OR
SENT VIA E-MAIL NO LATER THAN JULY 31, 2014
FY 2015 Pt. Source Implementation Grant Application
June 2014
7 of 18
MINNESOTA PUBLIC FACILITIES AUTHORITY
Point Source Implementation Grant Program
Form 1 – General Information
1. If the project is not listed on the current (2014) Project Priority List (PPL) Has Applicant submitted a
2015 Project Priority List request for this project? Yes No
2. Applicant Name: DUNS Number:
Applicant Contact Person: County:
Contact Person Title: Phone:
Address:
City, Zip: Fax:
Authorized Official: E-mail:
Does the applicant have an official seal? Yes No Title:
3. Consultants and Advisors
Consulting Engineer Name: Phone:
Engineering Firm: Fax:
Address:
City, State, Zip: E-mail:
Other Consultant: Phone:
Firm: Fax:
Address:
City, State, Zip: E-mail:
4. MPCA Engineer: Phone:
5. Will a Public Utilities Commission be responsible for operation
& maintenance of the project? If yes, provide information
below:
Yes No
PUC Contact Person: Phone:
Contact Person Title: Fax:
Address:
City, Zip: E-mail:
6. Is there a contract/agreement with another entity to operate or manage the sewer system (i.e.
private operator agreement)? Yes No
7. Other Proposed Sources of Project Financing (in addition to the Point Source Implementation Grant)
Source Amount Requested Contact Person/Phone Status
FY 2015 Pt. Source Implementation Grant Application
June 2014
8 of 18
MINNESOTA PUBLIC FACILITIES AUTHORITY
Point Source Implementation Grant Program
Form 2 – Project Information (attach additional sheets if necessary)
Brief Description of project to be financed:
Check which applies to the project seeking funding:
Wasteload reduction prescribed under a TMDL Plan:
Phosphorus limit of 1 mg/L or less in MPCA permit:
Other water quality-based effluent limit (exceeds secondary treatment limits):
Total Nitrogen limit of 10 mg/L or less (land based treatment):
Receiving Water:
Title and year of Approved TMDL (if applicable):
Identify/name pollutant:
Project timeframe. Provide estimated or actual dates for:
Submission of Plan and Specification to PCA:
Advertising for Bids:
Open bids:
Award bids:
Start Construction:
End Construction:
Specify the sources of revenue that will be used to operate and maintain the system. Include copy of
current sanitary and storm sewer rate ordinances.
Does the applicant have a contract with a private vendor to operate the facility? If so, please identify
who the contract is with and the duration of the contract.
FY 2015 Pt. Source Implementation Grant Application
June 2014
9 of 18
Minnesota Public Facilities Authority
Point Souce Implementation Grant Program
Form 3 - Point Source Implementation Project Costs
Applicant:Date:
Project:
COLUMN A COLUMN B COLUMN C
Start Date End Date
1.Non-Construction Costs
Planning -$
Engineering Design -$
Other Engineering/Inspection -$
Legal/Financing Related Fees -$
Land -$
Non-Construction Subtotal -$ -$ -$
2.Construction Costs
Treatment -$
Collection -$
Other: -$
Other: -$
Service Connections(1)-$
Construction Subtotal -$ -$ -$
3.-$
Total -$ -$ -$
Estimated Pt. Source Impl Grant:
50% of Column A(3) -$
Notes:
(1)In some cases, service connections may be eligible. Discuss with PFA loan officer.
(2)Construction Contingencies not eligible for Point Source Implementation Grant Funds.
(3)Grant calculation subject to MPCA Essential Project Component (EPC) percentage, which may result in some projects receiving less than 50% grants.
Point Souce Implementation Grant
Program Eligible Costs Other Project Costs (Non-PSIG Costs) Total Project Costs
Contingencies (2)
ATTACH A DETAILED BREAKDOWN of the estimated construction costs for the Point Source Implementation project on a separate sheet (see next page). The Minnesota Pollution
Control Agency will determine the grant eligible portion of the total construction costs. The PFA will determine the final grant amount. Use the “Other” budget columns to identify
costs not associated with the Point Source Implementation eligible costs (i.e. costs associated with a larger project or items not within the scope of the Point Source Implementation
project)
COLUMN A: Include the TOTAL ESTIMATED COSTS necessary to comply with the TMDL; to reduce the discharge of total phosphorus to one milligram per liter or less; to address the
water quality-based effluent limits; or to meet a total nitrogen limit of 10 mg/L for land based treatment.
COLUMN B: Identify other ESTIMATED PROJECT COSTS not related to meeting the Point Source Implementation Grant Program requirements.
COLUMN C: Identify the TOTAL ESTIMATED PROJECT COSTS
FY 2015 Pt. Source Implementation Grant Application
June 2014
10 of 18
Estimated Construction Cost Breakdown for Point Source Implementation Projects
(Attach additional sheets if needed)
If the overall project involves more than just PSIG related work, please identify how various
construction cost categories (mobilization, buildings, etc.) are attributed to Point Source
Implementation eligible activities.
Please use whatever format best describes the Point Source Implementation costs. Briefly
describe how the Point Source Implementation project costs are related to:
an established TMDL wasteload allocation or permit limit
a phosphorus concentration or mass limit
other water quality-based effluent limit
a total nitrogen limit of 10 mg/L or less for land-based treatment
FY 2015 Pt. Source Implementation Grant Application
June 2014
11 of 18
MINNESOTA PUBLIC FACILITIES AUTHORITY
Point Source Implementation Grant Program
Form 4 – Compliance with Laws, Rules and Regulations
Point Source Implementation grantees are required to comply and ensure their
contractor(s) comply with certain state laws, rules and regulation s including but not limited to
those described below which will be invoked as a condition of the grant.
1. Minnesota Statutes, Section 16B.31, subdivision 2 requires that all project funding be in
place prior to execution of grant agreement.
2. Minnesota Statutes, Section 181.59, discrimination on account of race, creed, or color
prohibited in contracts. Minnesota Statutes, Section 363A.08 prohibits unfair
discrimination practices related to employment or unfair employment practices.
3. Minnesota Statutes, Section 471.345 Uniform Municipal Contracting Law.
4. Minnesota Statutes Chapter 363 Minnesota Human Rights Act. Requires that all public
services be operated in such a manner that does not discriminate against any person in the
access to, admission to, full utilization of or benefit from such public service.
5. Minnesota Statutes, Sections 176.181 - 176.182. Requires recipients and subcontractors to
have worker's compensation insurance coverage.
6. Minnesota Statutes, Sections 177.41-177.43, prevailing wage rate law. Requires contractors
to pay laborers and mechanics prevailing wages established by the Minnesota Department
of Labor and Industry for public works projects.
7. Minnesota Statutes 290.9705. Requires that 8 percent of payments made to out-of-state
contractors be withheld once cumulative payments made to the contractor for work done
in Minnesota exceed $50,000 in a calendar year, unless an exemption is granted by the
Department of Revenue.
8. Laws of Minnesota 2014 Chapter 253. Responsible Contractor Requirements. Solicitation
documents must include the specified language for all contracts advertised after January 1,
2015 (https://www.revisor.mn.gov/laws/?id=253&doctype=Chapter&year=2014&type=0).
9. Laws of Minnesota 2010 Chapter 361, article 3, section 5(b). Clean Water Fund sign posting
requirements.
The certifies that it has or will comply with the above requirements.
(Name of Grantee)
(Signature of Authorized Official) Date
FY 2015 Pt. Source Implementation Grant Application
June 2014
13 of 18
MINNESOTA PUBLIC FACILITIES AUTHORITY
Point Source Implementation Grant Program
Checklist – Form 5
SUBMITTAL ITEMS REQUIRED BY JULY 31, 2014:
Grant Application Forms
Form 1 - General Information
Form 2 - Project Information
Form 3 – Point Source Implementation Grant Project Costs (excel document)
Form 4 - Signed Compliance with Laws, Rules & Regulations
Form 5 - Point Source Implementation Grant Checklist
Resolution of governing body of the municipality authorizing submission of the application
(example attached)
Project schedule indicating that construction will begin prior to June 30, 2015
Identification of the estimated construction cost breakdown and related costs necessary to comply
with the:
Total Maximum Daily Load wasteload reduction, or
Phosphorus concentration/mass limit 1 mg/L in the MPCA permit, or
Total nitrogen limit of 10 mg/L or less (for land treatment), or
Other water quality-based effluent limit that exceeds secondary treatment limits in MPCA
permit
SUMBITTAL ITEMS REQUIRED PRIOR TO GRANT AWARD (NOT REQUIRED BY JULY 31, 2014):
MPCA submittal items:
Project plans and specifications (for review and approval)
As-bid cost documentation (for determination of eligible construction costs)
PFA submittal items (for PFA approval) prior to grant award:
Documentation that complete project funding is in place
As-bid costs and bid tabulations
Copy of adopted/enacted sewer service charge system and ordinance
Inter-municipal Agreement (enacted) if more than one municipality is involved in project
Management Contract: If the borrower has engaged a private contract operator to manage its
wastewater system, submit a copy of the management contract.
MPCA project certification (provided by MPCA)
PFA SUBMITTAL ITEMS REQUIRED PRIOR TO GRANT DISBURSEMENT (NOT REQUIRED BY JULY 31,
2014):
Payment of application fee (one-half of one percent of grant amount)
Disbursement Request Form and supporting documentation for eligible expenses
FY 2015 Pt. Source Implementation Grant Application
June 2014
17 of 18
APPENDIX A
Minnesota Public Facilities Authority
Point Source Implementation Grants
State of Minnesota Prevailing Wages
Include this language in all construction contracts:
Pursuant to Minnesota Statutes 177.41 to 177.44 and corresponding Rules 5200.1000 to
5200.1120, this contract is subject to the prevailing wages as established by the Minnesota
Department of Labor and Industry. Specifically, all contractors and subcontractors must pay all
laborers and mechanics the established prevailing wages for work performed under the
contract. Failure to comply with the aforementioned may result in civil or criminal penalties.
The applicable wage determination must be incorporated into proposals and all contracts.
Payrolls/Records
The contractor and subcontractor shall furnish to the OWNER copies of any or all payrolls not
more than 14 days after the end of each pay period. The payrolls must contain all of the data
required by Minnesota Statutes Section 177.30. Subcontractors must furnish payrolls to the
contractor. The OWNER may examine all records relating to wages paid laborers or mechanics
on work to which Minnesota Statutes Sections 177.41 to 177.44 apply.
Posting of Wage Rates/Required Posters
Each contractor and subcontractor performing work on a public project shall post on the
project the applicable prevailing wage rates and hourly basic rates of pay for the county or area
within which the project is being performed, including the effe ctive date of any changes
thereof, in at least one conspicuous place for the information of the employees working on the
project. The information so posted shall include a breakdown of contributions for health and
welfare benefits, vacation benefits, pension benefits, and any other economic benefits required
to be paid.
For more information regarding prevailing wage and its application, contact:
Minnesota Department of Labor and Industry
Prevailing Wage unit
443 Lafayette Road N.
St. Paul, MN 55155
Phone: (651) 284-5091
E-mail: dli.prevwage@state.mn.us
Web: www.DOLI.state.mn.us
FY 2015 Pt. Source Implementation Grant Application
June 2014
18 of 18
This project is financed by the
Minnesota Public Facilities Authority
including funds from the Clean Water,
Land, and Legacy Amendment
CityCouncilAgenda:07/28/14
1
5H.ConsiderationofadoptingResolution#2014-073authorizingpreparationofplans
andspecificationsandconstructionservicesforPhosphorusReductionandOther
ImprovementstotheWasteWaterTreatmentFacilityandSystem,CityProjectNo.
ZZPHOS (WSB)
A.REFERENCEANDBACKGROUND:
ThecurrentNPDESpermitforthewastewatertreatmentfacility(WWTF)requiresthat
additionalphosphorusberemovednolaterthanDecember31,2018.Otherpermit
conditionsinclude:
SubmittalofaFacilityPlantotheMinnesotaPollutionControlAgency(MPCA)
nolaterthanMarch1,2014
Submittalofplansandspecificationsforthephosphorusreductionimprovements
totheMPCAnolaterthanMarch30,2015
Initiationofconstructionofthephosphorusreductionimprovementsnolaterthan
June1,2017
TheFacilityPlanwasapprovedbytheCityCouncilattheFebruary24,2014meetingand
submittedtotheMPCAbytheduedate.TheMPCAhasreviewedtheFacilityPlanand
hasissuedapreliminaryapprovalletter.TheFacilityPlanrecommendedthatchemical
additionbeinitiatedtoremovetheadditionalphosphorusrequiredbytheNPDESpermit.
Asnotedabove,anNPDESpermitrequirementisthatplansandspecificationsforthe
phosphorusreductionimprovementsmustbesubmittedtotheMPCAnolaterthanMarch
30,2015.Inordertomeetthatdate,authorizationtoproceedwithpreparationofthe
plansandspecificationsisneeded.Also,incommunicationwithKatheBarrettofthe
PFA,itwaslearnedthatoneoftherequirementstoreceiveanFY2015PSIG(seeAgenda
Item#5G)isreadinesstoproceedtoconstructionbyearlysummerof2015.Tomeetthat
requirement,plansandspecificationsshouldbesubmittedtotheMPCAbytheendof
2014.Theenclosedletterproposalthatdetailsthenextstepstocompletetheplansand
specifications.Constructionservicesisalsoincludedintheproposaltoidentifythe
completeservicesneedtoconstructtheproject.
A1.BudgetImpact:Theestimatedfeetoprepareplansandspecificationsand
performconstructionservicesis$197,070.00asdetailedintheenclosedletter
proposal.
Theestimatedprojectcostwhichincludes20%contingencycostsand15%
indirectcostsforengineering,legal,fiscal,andadministrativeis$1,672,000.The
CitymaybeeligibleforalowinterestloanthroughthePublicFacilitiesAuthority
(PFA).WSBhasworkedwiththeMPCAtoplacethephosphorusreduction
improvementsprojectontheprojectprioritylist(PPL)foraPFAloan.However,
withapointtotalofonly41points,theprojectmaynotbeeligibleforanFY2015
PFAloan.Asnotedabove,theprojectmaybeeligibleforanFY2015PSIG,
though,duetothehigherthannormalamountofPSIGprogramfundingavailable
CityCouncilAgenda:07/28/14
2
forFY2015.IfthecombinationofPFAloanandthePSIGarenotadequateto
covertheprojectcostof$1,672,000,thesaleofgeneralobligationbondsisthe
remainingfinancingalternative.
A2.StaffWorkloadImpact:StafffromtheEngineering,WastewaterTreatment
PlantandFinanceDepartmentswillbeimpactedbythisprojecttovarying
degrees.
B.ALTERNATIVEACTIONS:
1.MotiontoadoptResolution#2014-073authorizingpreparationofplansand
specificationsandconstructionservicesforPhosphorusReductionandOther
ImprovementstotheWasteWaterTreatmentFacilityandSystem,CityProject
No.ZZPHOS.
2.Motiontodenyauthorizationtoprepareplansandspecsatthistime.
C.STAFFRECOMMENDATION:
CitystaffrecommendsapprovingAlternative#1giventheNPDESpermitrequirementof
submittalofplansandspecificationsbyMarch30,2015andtheneedtohavetheproject
readytoproceedtoconstructionbyearlysummerof2015ifagrantthroughthePSIG
programissecured.
D.SUPPORTINGDATA:
Resolution#2014-075
WSBLetterofProposal
ExcerptfromFebruary24,2014CityCouncilminutes
CITYOFMONTICELLO
WRIGHTCOUNTY,MINNESOTA
RESOLUTIONNO.2014-073
AUTHORIZINGPREPARATIONOFPLANSANDSPECIFICATIONSANDPERFORM
CONSTRUCTIONSERVICESFORPHOSPHORUSREDUCTIONANDOTHER
IMPROVEMENTSTOTHEWASTEWATERTREATMENTFACILITYANDSYSTEM
CITYPROJECTNO.ZZPHOS
WHEREAS,theCity’sNPDESpermitfortheWastewaterTreatmentFacilityrequiresannual
massloadingofphosphorustotheMississippiRiverbereducedtonomorethan5,740pounds
peryearnolaterthanDecember31,2018;and
WHEREAS,theMonticelloCityCouncilheldaPublicHearingonFebruary24,2014,wherea
PhosphorusReductionFacilityPlanAmendment,tomaintaincompliancewithNPDESpermit
requirements,wasconsideredandapprovedandsaidPlanAmendmentwassubmittedtothe
MinnesotaPollutionControlAgencypriortoMarch1,2014;and
WHEREAS,theCityproposestomakeimprovementstotheWastewaterTreatmentFacilityand
SystemforphosphorusreductionandotherrelatedimprovementsasidentifiedinthePhosphorus
ReductionFacilityPlanAmendment;
NOWTHEREFORE,BEITRESOLVEDBYTHECITYCOUNCILOFMONTICELLO,
MINNESOTA:
1.Saidimprovementsarenecessary,cost-effective,andfeasibleasidentifiedinthe
PhosphorusReductionFacilityPlanAmendment.
2.Theconsultingengineers,WSB&Associates,Inc.areherebydirectedtoprepareplans
andspecificationsforsaidimprovementsandperformconstructionservicesdetailedin
theirproposalatanestimatedcostof$197,070.
3.WSB&Associates,Inc.shallcomplywiththeadditionalrequirementsoftheNPDES
permitindirectingthisproject:
Submittalofthedrawingsandspecificationsforthephosphorusreduction
improvementstotheMinnesotaPollutionControlAgencyforreviewnolaterthan
March30,2015.
InitiationofconstructionoftheimprovementsnolaterthanJune1,2017.
4.ProjectcostsforthePhosphorusReductionandOtherImprovementstotheWasteWater
TreatmentFacilityandSystem,CityProjectNo.ZZPHOSareestimatedat$1,672,000
whichincludes20%contingencyand15%forindirectcosts.
ADOPTEDBY theMonticelloCityCouncilthis28thdayofJuly,2014.
CITYOFMONTICELLO
_________________________________
ClintHerbst,Mayor
ATTEST:
________________________________
JeffO’Neill,CityAdministrator
engineering planning environmental construction 701 Xenia Avenue South
Suite 300
Minneapolis, MN 55416
Tel: 763-541-4800
Fax: 763-541-1700
Equal Opportunity Employer
wsbeng.com
K:\01494-730\Admin\Docs\Agenda Items\LTR PROP-07182014 Phosphorus Reduction-hmcc-07182014 SKB.doc
July 23, 2014
Honorable Mayor and City Council
City of Monticello
505 Walnut Street, Suite 1
Monticello, MN 55362
Re: Proposal for Design, Bidding, and Construction Services of
Wastewater Treatment Facility (WWTF) Improvements for Phosphorus Reduction
City of Monticello, MN
Dear Honorable Mayor and City Council:
WSB & Associates, Inc. (WSB) is pleased to present this proposal for professional engineering services as
they relate to the design, bidding, and construction of the phosphorus reduction improvements. The
proposed scope of services presented in this proposal is based on our discussions with City staff and the
following project understanding.
PROJECT UNDERSTANDING
The City’s NPDES permit for the WWTF requires that the annual mass loading of phosphorus to the
Mississippi River be reduced to no more than 2,608 kilograms (5,740 pounds) per year no later than
December 31, 2018. Currently, the WWTF discharges approximately 15,300 pounds of phosphorus to the
river annually. Therefore, the WWTF will have to remove an additional 9,560 pounds of phosphorus per
year, or 62% of the current discharge.
Additional requirements of the NPDES permit include:
Submittal of the drawings and specifications for the phosphorus reduction improvements to the
Minnesota Pollution Control Agency for review no later than March 30, 2015
Initiation of construction of the improvements no later than June 1, 2017
The Phosphorus Reduction Facility Plan Amendment prepared by WSB recommended that either
aluminum sulfate (alum) or ferric chloride be added to the sequencing batch reactor (SBR) basins to
precipitate the additional phosphorus that must be removed.
The proposed chemical addition system will consist of the following items:
A small building to house the chemical storage/feed system
Two 3,000 gallon bulk storage tanks
Day tank
Containment for the bulk storage and day tanks
Scale to weigh the amount of chemical being fed
Chemical feed pumps
Honorable Mayor and City Council
July 28, 2014
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Chemical feed lines to each of the three SBR basins
Two mixers in each of the SBR basins
Although replacement of the aeration diffuser membranes in the SBR basins is not required to remove
additional phosphorus, the manufacturer of the membranes has recommended that they be replaced due to
their age (the membranes went into service in 1997). The scope of the phosphorus reduction improvements
also includes membrane replacement.
PROJECT APPROACH/SCOPE OF SERVICES
WSB’s project scope and proposed work plan are based on our understanding of the project, discussions
with City staff, and experience on similar projects. The work plan has been separated into key components
which are discussed below:
1. Project Management and Coordination
1.1 Project Management
Project management is a key task included in each phase of the project. For each phase, this task
consists of management and administration, project coordination and communication with the City
of Monticello. Additional work included as part of this task involves attending meetings with City
staff, WSB, subconsultants of WSB, and Veolia staff, as well as City Council meetings for
acceptance of the plans and specifications, authorization to bid the project, and award of the
contract. Proper completion of this task will allow for open lines of communication and routine
updates on project issues, as well as keeping the project on schedule and within budget.
2. Phosphorus Reduction Improvements
2.1 Preliminary Design
The first step during preliminary design will be to conduct jar testing of the wastewater in the SBR
basins to determine whether alum or ferric chloride should be fed. Wastewater samples will be
taken from the SBR basins during the settling step of the SBR sequence. Alum and ferric chloride
will then be added to the wastewater samples at various doses. Following mixing and reaction
time, the samples will be tested for phosphorus concentration. Sludge production will also be
monitored. Based on the amount of chemical being added and the cost thereof, settling
characteristics, and sludge production, either alum or ferric chloride will be selected as the most
cost-effective chemical to be added.
The filtrate from the screw press is high in phosphorus. Jar testing will also be conducted on the
filtrate to determine if it would be cost-effective to add either alum or ferric chloride to the filtrate
prior to it being pumped back to the SBR basins for treatment. The annual volume of filtrate will
be approximately six million gallons (mg) following chemical addition. The annual volume of
wastewater processed is approximately 400 mg. It may prove to be cost-effective to install a small
chemical feed system in the screw press building to treat this much smaller volume than to re-
introduce it with its high phosphorus concentration into the much greater wastewater volume and
then treat for phosphorus.
Honorable Mayor and City Council
July 28, 2014
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The preliminary design phase of the phosphorus reduction improvements project will consist of the
following tasks directly performed by WSB and sub-consultants:
Conduct jar testing of the wastewater and screw press filtrate
Select either alum or ferric chloride as the chemical to be fed
Provide site surveying and base map preparation
Prepare a preliminary site and building layout for the chemical storage/feed building
Prepare preliminary layouts for chemical feed line and mixer installation
2.2 Final Design
The final design phase of the phosphorus reduction improvements project will consist of the
following tasks performed directly by WSB and sub-consultants:
Prepare final construction drawings and specifications based upon preliminary design
conclusions and discussions with City staff
Review final construction drawings and specifications with City staff
Provide an opinion of probable construction cost to reflect specified equipment, structural
components, and final design details
Submit the final construction drawings and specifications to the Minnesota Pollution
Control Agency (MPCA) for review. Respond to questions and comments from the
MPCA and receive approval of the drawings and specifications
2.3 Bidding
The bidding phase of the phosphorus reduction improvements project will consist of the following
tasks performed directly by WSB and sub-consultants:
Print bidding documents, construction drawings, and specifications
Distribute bidding documents, construction drawings, and specifications to prospective
bidders
Maintain bidders list
Respond to bidder questions
Issue addenda if required.
Attend bid opening and prepare bid tabulation
Evaluate bids
Recommend award of contracts
2.4 Construction Administration
The construction phase of the phosphorus reduction improvements project will consist of the
following tasks performed directly by WSB and sub-consultants:
Organize, coordinate, lead, and attend the preconstruction conference and regular progress
meetings during construction. Provide and distribute meeting minutes
Assist the City in procuring testing services as defined in the contract documents
Establish reference points for construction staking of the project by Contractor (one time)
Review Contractor submittals (shop drawings) for products and equipment
Honorable Mayor and City Council
July 28, 2014
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Respond to Contractor requests for information (RFIs). Issue contract document
clarifications as required
Process contract change order requests
Review Contractor-submitted construction progress schedules
Process Contractor pay requests
Provide part-time construction observation services during the construction of the facilities
Provide substantial completion punch list for the Contractor and issue certificate of
substantial completion when appropriate for the facility construction
Review final submittals from the Contractor with respect to conformance with the contract
documents
Process final pay request and project close-outs
2.5 Equipment Start-up
The start-up phase of the phosphorus reduction improvements project will consist of the following
tasks performed directly by WSB and sub-consultants:
Assist with equipment start-up
Provide assistance in refining or adjusting equipment and/or systems
Provide assistance in developing procedures for recordkeeping for the equipment
2.6 Post Construction Phase Engineering Services
The post construction phase of the phosphorus reduction improvements project will consist of the
following tasks performed by WSB and sub-consultants:
Provide record drawings
Assemble an operation & maintenance manual for the facility
Visit the project to observe any apparent defects in the completed work and assist the City
in working with the Contractor to correct defects
Along with City staff, perform an end of correction period warranty inspection of the
project in the 23rd month following final completion of the project to determine if items of
construction are subject to correction
Complete and submit a one-year performance certification report to the MPCA
Complete a two-year certification report for the facility
CITY OF MONTICELLO TASKS
In order to complete our tasks, WSB will need the City to provide the following:
Provide a designated project contact person
Provide answers to specific project questions, provide requested information, and make decisions
regarding project direction during the course of the project
Choose facility configuration early in the project
Provide permitting and governmental review fees that may be necessary
Attend meetings when requested
Procure necessary testing services as defined in the contract documents
Honorable Mayor and City Council
July 28, 2014
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ASSUMPTIONS
WSB tasks and estimated fees are based on the following assumptions:
The architectural finish of the chemical storage/feed building will be similar to that of the SBR
building
An operation & maintenance manual, beyond the information supplied by the Contractor, is not
included in the project
Potential bidders will be charged a fee for each copy of the bidding documents. WSB will retain
this fee
Part-time field construction observation assumes a 9-month construction period. Eighty hours are
estimated for this work, however these hours could be increased or decreased, dependent on the
timeframe of construction and contractor performance.
Periodic field construction observation by project design team members assumes periodic site
visits over a 9-month construction period
WSB SUBCONSULTANTS
WSB subconsultants and their area of responsibility are indicated below:
Barr Engineering (electrical)
Wentz Associates, Inc. (HVAC and plumbing)
DJ Medin (architectural)
AET (geotechnical investigation and recommendations)
Our scope includes the management of the sub -consultants and their efforts. Sub-consultant billings
pass through WSB without mark -up.
SCHEDULE
In consideration of the effort required to complete the project as presented and based on discussions with
City staff, the following preliminary schedule is proposed. This schedule may be revised as the project
progresses.
City Council Authorizes Design .......................................................................................... July 28, 2014
Prepare Drawings and Specifications....................................................... August 2014—December 2014
City Council Approves Plans and Specifications/Authorizes Ad for Bid and Submit to
MPCA if PSIG approved ................................................................................................. December 2014
Bids Received .......................................................................................................................... April 2015
City Council Awards Contract .................................................................................................. May 2015
Construction Start ..................................................................................................................... June 2015
Substantial Completion (Phosphorus Reduction Equipment Operating) ............................... March 2016
Final Completion (Site Restoration) ......................................................................................... June 2016
Honorable Mayor and City Council
July 28, 2014
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PROPOSED FEE
WSB will complete the design, bidding, and construction services for the phosphorus reduction system on
an hourly basis with a not-to-exceed fee of $197,070.00 which includes $4,600 in sub-consultant fees. We
will review our progress monthly and will not exceed this amount without your prior approval.
This letter represents our entire understanding of the project scope. If you are in agreement, please sign on
the space provided and return one original signed copy to us for our records. We will start immediately
upon receipt of the signed agreement.
If you have any questions concerning the work plan or fee as discussed herein, please feel free to contact
me at 763-541-4800. We look forward to working with you and greatly appreciate the opportunity to assist
the City in the completion of this project.
Sincerely,
WSB & Associates, Inc.
Bret A. Weiss, PE Thomas A. Roushar, PE
President Senior Project Manager
Attachment
srb
ACCEPTED BY:
City of Monticello
Name
Title
Date
CityCouncilAgenda:07/28/14
1
5I.ConsiderationofacceptingproposalandawardingcontracttoWrightHennepin
Servicesfor2014StreetLightingImprovements(West7th StreetbetweenElmStand
CR39),CityProjectNo.14C001 (SB)
A.REFERENCEANDBACKGROUND:
OnJuly14,2014,theCityCouncilreviewedremainingareasrecommendedforstreet
lighting.TheCouncilselectedmovingforwardwithinstallingLEDstreetlightingonW
7th StreetbetweenCR39aspartofthe2014StreetLightingImprovementproject.This
projectisacontinuationoflightingmajorstreetcorridorsandthelightingof7th Street
betweenMinnesotaStreetandElmStreetthatoccurredin2013.
TheCouncilalsoselectedlightingElmStreetbetween6th Streetand7th Street.Xcel
EnergyownsandmaintainstheexistinglightingalongElmStreetanditisrecommended
tohaveXcelEnergyinstalllightfixturesontheexistingpolestomatchwhatalready
existsalongElmStreet.Uptothreelightsarerecommendedtolightthecorridor.The
lightswouldnotbeLED,buthighpressuresodiumlightingwithacobraheadtype
fixture(seeenclosedpicture).XcelEnergywouldfurnishandinstallthelightswiththe
Citypayingonlythemonthlyelectricchargesofapproximately$10perlight.
StaffreceivedaquotefromWrightHennepinElectricServicesfor$118,194forlighting
7th StreetbetweenCR39andElmStreet.Thisincludes13LEDlightassemblies(130
watt)thatare25-feettallwithaluminumpolesalternatingonbothsidesofthestreet.The
lightfixtureswouldmatchtheexistinglightsalongthenewW7th Streetwith
approximately200-footspacing.Thestreetlightswouldbewiredandwouldincludea
brackettoaccommodatefuturesidewalklightingforfuturedevelopmentonthenorthand
southsidesofW7th Street.
A1.BudgetImpact:TheestimatedconstructioncosttofurnishandinstallLED
lightingonW7th Streetis$118,194asdescribedabove.Approximately$130,000
isallocatedeachyearforstreetlightingimprovementsthroughtheelectric
franchiseagreementstofundtheCity’sstreetlightingprogram.Thefundbalance
intheStreetLightingImprovementFundisapproximately$800,000.Finance
recommendsmaintainingalevelofsustainableannualexpendituresforstreet
lightingimprovements.
TheCitycanalsoenterintoamaintenancecontractwithWHServicesthatwill
startone-yearafteracceptanceoftheproject.Thecontractisfora5-yearperiod
howevertheCitycanoptoutofthemaintenancecontractwithoneyear’swritten
noticetoWHServices.PublicWorksiscontinuingtoevaluateifitisbeneficial
tocontinuethemaintenancecontractwithWHElectricServicesorcontractwith
anelectricianonanannualbasisforallLEDlightingmaintenanceneeds.
WrightHennepinElectricServicesisproposingtomaintainthe13proposedLED
lightsalong7th Streetatarateof$8.50permonthperlight,whichtotals$110.50
permonth.Staffrecommendsdelayingenteringintoamaintenancecontractwith
WHServicesuntiltheprojectiscompleteandaccepted.
CityCouncilAgenda:07/28/14
2
A2.StaffWorkloadImpact:EngineeringandPublicWorksstaffwillcontinueto
managetheproject.
B.ALTERNATIVEACTIONS:
1.Motiontoacceptproposalandawardingcontractintheestimatedamountof
$118,193.75toWrightHennepinServicesfor2014StreetLightingImprovements
(West7th StreetbetweenElmStandCR39),CityProjectNo.14C001.
2.Motiontodenyawardingacontractatthistime.
C.STAFFRECOMMENDATION:
StaffrecommendsAlternate#1.SincetheextensionofW7th Streetin2013,therehas
beenanincreaseintrafficalong7th StreetbetweenElmStreetandCR39andElmStreet
northof7th Street.Futuredevelopmentintheseareaswillgeneratemoretrafficandit
wouldbeadvantageoustofinishlightingofthe7th Streetcorridorwhilealsomeetingthe
City’sobjectiveoflightingallcollectorroadwayareas.
StaffwillcoordinatewithXcelEnergytohavelightinginstalledontheexistingpoles
alongElmStreetbetween6th Streetand7th Street.
D.SUPPORTINGDATA
ProposalfromWright-HennepinServices
PictureofexistinglightingalongElmStreet
CityCouncilAgenda:07/28/14
1
5J.ConsiderationofadoptingResolution#2014-072approvingLot1,Block1,90th
StreetThirdAddition (PID155-185-001010),ataxforfeitparcel,tobereleasedfor
publicsale/auction (AS/CS)
A.REFERENCEANDBACKGROUND:
Councilisaskedtoapprovethereleaseofavacantparcelof1.58acres,describedasLot
1,Block1of90th StreetThirdAddition,togothroughthetaxforfeitauctionprocess.
Citystaffhasreviewedpotentialusesandfeelsthatthispropertyisbestsuitedforprivate
development;thusarecommendationthattheparcelshouldbereleasedbacktoWright
Countyforpublicauction/sale.TheparcelislocatedalongChelseaRoadWestonthe
southwestcorneroftheQualityRVdealership.Itislikelythatthis1.58acreparcel
wouldbepurchasedforfuturedevelopment,puttingthepropertybackonthetaxrolls.
Thisvacantparcelwaspreviouslyvaluedatover$200,000bytheCounty.
TheCityfirstreceivednotificationfromWrightCountyoftaxforfeitedparcelson
February4th.Thisparcel,previouslyownedbyJacob’sHolding,wasincludedinthe
grouptobeputupforpublicauctionorconveyedtotheCity.OnMarch10th,Council
approvedholdingthislotforsixmonthstoresearchthepossibilityofusingthisparcelfor
afuturepublicpurpose(i.e.cityfacility/infrastructure).The“hold”expiresSeptember
10,2014,whichallowsadequatetimetomakeadecisionandsendtheappropriate
paperworktoWrightCountytoreleasethisparcelbacktothetaxforfeitlist,ifthatisthe
directionofCouncil.
ItshouldbenotedthattheCityownsasmallparcelof.27acresimmediatelyadjacentto
thelargertaxforfeitparcel.Thismayhavepotentialinfuturedevelopmentofthelarger
parcel.Anaerialofthetaxforfeitparcelandsurroundinglotsisincludedwithsupporting
data.
A1.BudgetImpact:Noneatthistime.
A2.StaffWorkloadImpact:Minimalstafftimeforreview.
B.ALTERNATIVEACTIONS:
1.MotiontoadoptResolution#2014-072approvingthereleaseofLot1,Block1,
90th StreetThirdAddition(Parcel155-185-001010)forpublicauction/saleby
WrightCounty.
2.MotiontodenyResolution#2014-072atthistimeanddirectstafftotakeother
action.
C.STAFFRECOMMENDATION:
CitystaffrecommendsAlternative#1.
CityCouncilAgenda:07/28/14
2
D.SUPPORTINGDATA:
Resolution#2014-072
AerialofLot1,Block1,HillsideFarm3rd andsurroundingparcels
ExcerptfromMNRulesforDelinquentRealPropertyTaxes–authorizedpublicuse
CITYOFMONTICELLO
WRIGHTCOUNTY,MINNESOTA
RESOLUTIONNO.2014-072
APPROVINGRELEASEOFLOT1,BLOCK1,90th STREETTHIRDADDITION
TOWRIGHTCOUNTYFORPUBLICSALE/AUCTION
PID155-185-001010
WHEREAS,Lot1,Block1of90th StreetThirdAdditionlocatedintheCityofMonticelloand
identifiedasPID155-185-001010hasbeenforfeitedtotheStateofMinnesotafornon-payment
oftaxesandiseligibleforpublicauctionunderMNStateStatutes,Chapter282;and
WHEREAS,theCityofMonticellohasreviewedthisparcelanddeterminedthatanauthorized
publicuseasidentifiedintheStateofMinnesotaRulesforDelinquentRealPropertyTaxes
cannotbeestablishedatthistime;
NOWTHEREFORE,BEITRESOLVEDBYTHECITYCOUNCILOFMONTICELLO,
MINNESOTA:thatthefollowingtaxforfeitparcelisherebyreleasedfromholdforpublic
auction/sale:
Lot1,Block1,90th StreetThirdAddition.
ADOPTEDBY theMonticelloCityCouncilthis28th dayofJuly,2014.
CITYOFMONTICELLO
_________________________________
ClintHerbst,Mayor
ATTEST:
________________________________
JeffO’Neill,CityAdministrator
CERTIFICATION
STATEOFMINNESOTA
COUNTYOFWRIGHT
IherebycertifythattheforegoingisatrueandcorrectcopyofResolution#2014-072
dulypassed,adoptedandapprovedbytheMonticelloCityCouncilattheirscheduledmeetingon
July28th,2014,andrecordedinminutesofsaidmeeting.
____________________________________
CatherineM.Shuman,DeputyCityClerk
NotaryPublic:_______________________________
Date:___________________________
(STAMP)
Wright County, MN
Date Created: 7/24/2014
Parcel ID 155185001010
Sec/Twp/Rng 10-121-25
Property Address
Alternate ID n/a
Class 983 - COUNTY ADMINISTERED
Acreage n/a
Owner Address STATE OF MN TAX FORFEITURE
%WRIGHT CTY AUDITOR
10 2ND ST NW ROOM 230
BUFFALO, MN 55313
District n/a
Brief Tax Description Sect-10 Twp-121 Range-025 90TH STREET 3RD ADDN Block-001 TH PRT OF LT 1 BLK 1 WH LIES NELY OF VACATED
CHELSEA COURT AS DEDICATED IN 90TH ST ADD
(Note: Not to be used on legal documents)
Last Data Upload: 7/24/2014 9:44:38 AM
226 ft
Overview
Legend
Roads
CSAHCL
CTYCL
MUNICL
PRIVATECL
TWPCL
City/Township Limits
c
t
Parcels
CityCouncilAgenda:07/28/14
1
5K.ConsiderationofadoptingResolution#2014-076amendingthedelegationof
authoritytopaycertainclaimstothepositionofFinanceDirectorandinhis/her
absencetothepositionofAssistantFinanceDirectorasestablishedinResolution
#2013-089 (WO)
A.REFERENCEANDBACKGROUND:
Withsomeexceptions,statelawrequirescouncilapprovalpriortodisbursementof
fundsforpaymentofclaims.Forexample,priorcitycouncilapprovalisnotrequired
topayclaimswheretheexactamountoftheclaimhasbeenfixedbyjudgment,
previouslyapprovedcontract,orstatelaw.
Thefollowingaretypesofclaimswherecouncilapprovalisnotrequiredbefore
paymentismade:Judgments,principalorinterestonobligationswheretheexact
amountshavebeenpreviouslyfixedbycontract,rent,otherfixedchargesdetermined
underacontractthatthecouncilhaspreviouslyauthorized,wagesthathavebeen
previouslysetbyeitherthecouncilorstatelaw.Nonetheless,reportsonsuch
expendituresshouldroutinelybegiventothecouncilbytheclerkortreasurer(or
financedirector).
TheCouncilcandisbursefundsforsmalleramountsthroughacouncil-authorizedpetty
cashaccount.Additionally,aclaimcanbepaidifamajorityofthecouncilendorsesthe
claimpriortothenextcouncilmeeting.Finally,thelaw(Minn.Stat.412.271,subd.8)
allowsacitycounciltodelegateitsauthoritytopaycertainclaims.Thisauthoritymay
begivenbythecounciltoacityadministrativeofficial.Cityadministrativeofficials
includeacitymanager,administrator,treasurer,seniorfiscalofficer,clerkorclerk-
treasurer.Inordertodelegatethisauthority,acitymustdothefollowing:
Adoptaresolution.Citiesdelegatingauthoritytopayclaimsmustadopta
resolutionspecifyingthetypeofclaimstobepaidandtheadministrativeofficialto
whomthisauthorityisgranted.
Establishinternalaccountingandadministrativecontrolprocedures.These
proceduresmustensuretheproperdisbursementofpublicfunds.Theymust
includefrequentperiodiccouncilreviewoftheadministrativeofficial’sactions.
Whenmoneyisdisbursedundertheseprocedures,alistofexpendituresmustbe
submittedforthecouncil’sinformationatthenextmeeting.
Prepareannualauditedfinancialstatements.Citiesdelegatingauthority,as
describedhere,mustalsoprepareannualauditedfinancialstatements.Moreover,
thesestatementsmustbecertifiedbyanindependentpublicaccountantorthestate
auditor.Citiesthatdonotpreparesuchstatementsmaynotdelegateauthorityin
thismanner.
AppendixAtotheresolutionprovidescontextualelementsforthepaymentofclaims.
Theproposedchangetoitem13oftheAppendixadds:water,sewageandtelephone
utilities;FiberNetcontentandaccessproviders.
CityCouncilAgenda:07/28/14
2
A1.BudgetImpact:Thisactionhasnobudgetimpactunlessdiscountsareforgoneor
interestandpenaltiesareappliedtodelinquentaccounts.
A2.StaffImpact:Thereisnostaffimpactforthisitem.
B.ALTERNATIVEACTIONS:
1.MotiontoadoptResolution#2014-076amendingthedelegationofauthoritytopay
certainclaimstothepositionoffinancedirectorandinhis/herabsencetotheposition
ofassistantfinancedirectorasestablishedinResolution#2013-089.
2.Motiontonotamenddelegationofauthoritytopaycertainclaimsatthistime.
C.STAFFRECOMMENDATION:
CitystaffrecommendsapprovingAlternative#1fordelegatingauthority.
D.SUPPORTINGDATA:
ResolutionNo.2014-076
CopyofResolution#2013-089
CITYOFMONTICELLO
WRIGHTCOUNTY,MINNESOTA
RESOLUTIONNO.2014-076
AMENDINGTHEDELEGATIONOFAUTHORITYTOPAYCLAIMSTOTHE
POSITIONOFFINANCEDIRECTORANDINHIS/HERABSENCETOTHE
ASSISTANTFINANCEDIRECTOR
WHEREAS,MinnesotaStatutesSection412.271Subdivision1providesthattheCity
CouncilhasfullauthorityovertheCity'sfinancialaffairs,includingthedisbursementof
publicfunds;and
WHEREAS,MinnesotaStatutesSection412.271Subdivision8allowsaCityCouncilto
delegateitsauthoritytopaycertainclaims;and
WHEREAS,theMonticelloCityCounciladoptedResolutionNo.2013-089onOctober28,
2013delegatingauthoritytopaycertainclaimstothepositionofFinanceDirectorand,in
his/herabsence,totheAssistantFinanceDirector;and
WHEREAS,theFinanceDirectorisrecommendingseveraladditionstotheclaimsthatcanbe
paidbythefinancedirectorpositionor,inhis/herabsence,theassistantfinancedirector
position.
NOW,THEREFOREBEITRESOLVED,bytheCityCouncilofMonticellothattheauthority
topaycertainclaimsshallbeamendedtoincludewater,sewage,andtelephoneutilitiesand
FiberNetcontentandaccessprovidersasshowninamended“AppendixA;and
BEITFURTHERRESOLVED,thatclaimslistsofallclaimspaidwillbepresentedtothe
CityCouncilforinformationalpurposesatthenextregularmeetingafterpaymentofthe
claims.
ADOPTEDBY theMonticelloCityCouncilthis28th dayofJuly,2014.
CITYOFMONTICELLO
_____________________________
ClintHerbst,Mayor
ATTEST:
______________________________
JeffO’Neill,CityAdministrator
APPENDIXA
INTERNALACCOUNTINGANDADMINISTRATIVECONTROLPROCEDURES
RELATEDTOTHEPAYMENTOFCLAIMS
ItistheintentoftheCityofMonticellotopayclaimsinthemostefficientandeffectivemanner
possible,consistentwiththeappropriateregulationsandpolicies.Authorizationforpaymentand
thedisbursementofallpublicfundsbytheCitywillbecontrolledbythefollowing:
1.AllpaymentswillbemadesubjecttoapplicableStateandFederallaws,theCity
CodeandallappropriateCitypolicies.
2.Purchasingandbudgetarycontrolforeachdepartmentaretheresponsibilityof
theindividualdepartmentheads.Disbursementswillbemadeupontheapproval
forpaymentbyadepartmentheadorbyanyotheremployeedesignatedbythe
departmenthead.
3.Disbursementswillbemadeupondepartmentapprovalthatgoodsand/or
servicesbeingpaidforhavebeenreceived,goodsand/orservicesbeingpaidfor
arenecessary,noduplicatepaymentsaremade,andanyprepaymentsaremade
onlyinthebestinterestoftheCity.
4.Disbursementswillbemadeuponreceiptoftheappropriatedocumentationthat
willbecomeapartofthefile.Disbursementswillbemadeusingthecorrect
accountingcodes.
5.Alldisbursementsincludingchecks,electronictransfers,creditcardsand
procurementcards,willberecordedintheCity'saccountingrecordsinatimely
mannerandimmediatelybecomepartofthefinancialrecordsoftheCity.
6.Whenpractical,disbursementswillbemadefromoriginal(notcopiedorfaxed)
documents.
7.Paymentswillbemadefromeitherinvoicesorstatementsinthebestinterestof
theCity.
8.Paymentswillbemadeinatimelyfashiontoavoiddelinquenciesandtotake
advantageofearlypaymentdiscounts.
9.Claimslistswillbereviewedandinitialedpriortothereleaseofthechecks.
10.Adetailedreviewmatchingchecksandsupportingdocumentationwillbe
completedpriortofilingthechecksandsupportingdocumentation.
11.ClaimslistsofallclaimspaidwillbepresentedtotheCityCouncilfor
informationalpurposesatthenextregularmeetingafterpaymentoftheclaims.
12.RequestsfromtheCityCouncilforadditionalinformationwillberespondedto
inatimelymanner.
13.Typeofclaimsallowedbythisresolution:gasandelectricutilities;liquorstore
andcommunitycenterinventorypurchasedforresale;water,sewage,and
telephoneutilities;FiberNetcontentandaccessproviders.
(Endoflist)
(Amended7/28/14)
CityCouncilAgenda:07/28/14
1
5L.ConsiderationofchangingDMVHoursofOperationsonSaturdays (WO)
A.REFERENCEANDBACKGROUND:
TheDMViscurrentlyopenonSaturdayfrom9:00AMto1:00PM.Thebusiesthouron
Saturdaystartsat9:00AMwithcustomerswaitingforthedoorstoopen.Consequently,
openingonehourearlierat8:00AMwouldimprovecustomerserviceandpossibly
increasetotalrevenue.TheDMVwillmonitortrafficfortheremainderoftheyearbefore
seekingtomakethechangepermanentthroughtheannualresolutionsettinghoursof
operationsforotherservices.
TheMonticelloDMVhasregionalcompetitors.However,ourDMVdrawsahealthy
numberofcustomersfromothercities,accordingtoourclerks.Thedataisanecdotal.
TheDMVtypicallyhasthreeclerksworkingonSaturday.DMVclerksearn
approximately$15to$20perhour.Thereare20Saturdaysremaining.Theextrahour
coststhecityapproximately$1,250.
TheDMVwillmonitortheimpactofnewscheduleoncustomertrafficandadjust
staffingascircumstancewarrant.
A1.BudgetImpact:The$1,250costsminusadditionalrevenue.
A2.StaffWorkloadImpact:Informationdissemination(updatingFacebookand
website),whichisminor.Additionalworkloadcitedabove.
B.ALTERNATIVEACTIONS:
1.MotiontoincreaseSaturdayhourofoperationsbyonehourtoopenat8AM.
2.MotiontodenyincreaseSaturdayhourofoperationsbyonehour.
C.STAFFRECOMMENDATION:
ThecitystaffsupportsAlternative#1.
D.SUPPORTINGDATA:
ScheduleofSaturdayDMVtransactions
City of Monticello
Schedule of Saturday DMV Transactions
Date Transactions
1/4/2014 79
1/11/2014 83
1/18/2014 46
1/25/2014 63
2/1/2014 181
2/8/2014 119
2/15/2014 94
2/22/2014 101
3/1/2014 271
3/8/2014 106
3/15/2014 113
3/22/2014 107
3/29/2014 180
4/5/2014 133
4/12/2014 152
4/19/2014 91
4/26/2014 126
5/3/2014 150
5/10/2014 26 DNR only (state site down)
5/17/2014 104
5/24/2014 107
5/31/2014 190
6/7/2014 93
6/14/2014 69
6/21/2014 86
6/28/2014 127
7/5/2014 69
7/12/2014 97
YTD Total 3163
CityCouncilAgenda:07/28/14
(THISITEMWAS7E)
1
5M.ConsiderationofreleasingFiberNetGeneralManagerBrianEstremfromhis
contracteffectiveJuly31st,2014 (JO)
A.REFERENCEANDBACKGROUND:
Asyouknow,BrianEstremisrequestinghisreleasefromhiscontractwhichdoesnot
officiallyenduntilDecember31,2014.ThedaterequestedisJuly31,2014.Inhisnote
requestingrelease,BrianindicatesthatdaytodaybusinessiswellinhandwiththeCSR’s
processingbusinessasusual.Thetechsattheheadendareclickingandhehas
confidenceintheirabilitytomanagethedailyworkload.Toaccommodatearecent
increaseinorders,wehavebroughtonacontractinstallerthatisalsoslatedtostart
August4th.DanOlsenofWindomnetwillcontinuetoprovidetechnicaland
managementsupportimplementingtheupgradesthatareinprocess.Brianalsonoted
thathewillbeavailableforprovidingtransitionsupportafterhisenddate.
Inarelatedmatter,satisfactorytermswerenotachievedastheresultofnegotiationswith
LanceAddisonandLancehasmovedontootheropportunities.Inresponse,DanOlsen
hasakeenunderstandingofthebusinessoperationfromamanagementandtechnical
perspectiveandwillbeworkingwithBrianinpreparingoptionsforourreview.Itis
recommendedthatweholdoffonpostingforthepositionuntilwereviewoptions.
B.ALTERNATIVEACTIONS:
1.MotiontoreleaseBrianEstremfromhiscontractasFNMgeneralmanager
effectiveJuly31,2014
2.Motionofother.
C.STAFFRECOMMENDATION:
CitystaffrecommendsAlternative#1.BrianandDanhavedoneagreatjobinlending
stabilitytothetechnologyandorganizationoverthepastfewmonths.Althoughweare
disappointedtoseeamemberoftheteamleave,wealsowishBrianthebestwithhisnew
opportunity.CitystaffseesnoreasontoholdBrianbackandwearegratefulforthe
contributionhehasmadetoputtingFNMinagoodpositionmovingforward.
D.SUPPORTINGDATA:
None
CityCouncilAgenda:07/28/14
1
7A.Considerationofaccepting2014DNROutdoorRecreationGrantaward,
authorizingappraisals,andapprovingacorrespondinglocalmatchforaPhaseVIII
acquisitionattheBertramChainofLakesRegionalPark (AS/JO)
A.REFERENCEANDBACKGROUND:
TheCityCouncilisaskedtoconsideracceptinga2014DNROutdoorRecreationGrant
award,authorizerelatedappraisals,andapprovetheuseofCityfundsfora2015property
acquisitionattheBertramChainofLakesRegionalPark.
ThePhaseVIIIacquisitionfundingrequestismadeinordertoutilize $100,000.00in
awardedgrantfunds.AsCouncilwillrecall,staffrequestedauthorizationtosubmit
thegrantapplicationinFebruaryof2014.InJuly,theCitywasnotifiedofthegrant
award,whichrepresentsthemaximumamountoffundingforasinglegrantapplicant
throughtheOutdoorRecreationGrantprogram.TheCityhadsubmittedtwogrant
applicationstotheOutdoorRecreationprogramforthisgrantround:thefirstforthe
remaining10.62acresjustnorthofthe40.17acresofathleticcomplexarea
purchasedinJuneofthisyear,aswellasagrantapplicationforthe20acres
immediatelyadjacenttotheeastofthe40.17acres.TheDNRawardedfundsonly
forthe10.62acregrantatthistime.(TheOutdoorRecreationgrantfundhadjust
over$300,000intotaltograntstatewide.)
The2014OutdoorRecreationgrantprogramisadministeredbytheDepartmentof
NaturalResourceswithfundsallocatedthroughtheFederalLandandWater
ConservationFund(LAWCON).
Asnoted,theparceltobeacquiredis10.62landacresandrepresentsthesecond
proposedacquisitionwithintheactiverecreationportionoftheBertramChainofLakes
projectarea.Theacquisitionofthisacreagewouldsupplementtheexistingathletic
complexacreageforatotalof50.79acres.Theconceptplanforthe10.62acresofthe
complexcurrentlyincludesathleticfields,trails,parkingarea,andaccessfacilities.
Aspartofplanningforfuturegrantapplicationsandpotentialacquisitions,Shenohan
AppraisalServicescompletedanappraisalofthefullpropertyin2011.Theappraisal,
authorizedbytheCityCouncilandWrightCountyBoardofCommissioners,lookedat
thevaluationoftheentireparkbasedonchangesinthelandvaluemarket,aswellasthe
valuationsofeachremainingindividualparceltobepurchased.Basedonthatappraisal,
parcel1oftheBCOLRegionalParkwasvaluedat$1,004,250.The10.62acres
representsaportionofwhatwasparcel1(thebalancewaspurchasedwiththelast
acquisitioninJune),andisthereforeestimatedforgrantpurposestobevaluedat
$265,500.00.
TheOutdoorRecreationGrantisa50%matchgrantprogram,withanotedmaximum
awardof$100,000.Assuch,theCityandCountyareaskedtoconsidercommitting
$165,500combined,or$82,750each.Inaddition,theCouncilisaskedtocommitan
additional$10,000infundingtocovertheestimatedcostsoftheappraisal,review
CityCouncilAgenda:07/28/14
2
appraisalandclosingcosts.Anewappraisalofthisparcelisagrantrequirement.The
appraisalmustbewrittentofederalstandardsandthenmustbeconfirmedbya
reviewappraisal.
Aswiththepreviousacquisition,itishopedthatthepurchaseofthis10.62acrescanbe
pairedwithacquisitionofanotheradjacentparcelatBertram.(SeePhaseVIILegacy
GrantitemofthisCouncilagenda.)Thiswillcreateefficienciesrelatedtotitle,closing
andlegaldocumentwork.AnamendedMemorandumofUnderstandingandpurchase
agreementwillbepreparedaspartofthePhaseVIIIacquisitionprocess.Oncedrafted,
thesewillbepresentedtoCouncilforreviewandapproval.Additionally,anyapplicable
SharedUseAgreementswillalsobepresentedforCouncilreviewandapproval.
A1.BudgetImpact:Recenthousingpermitactivityhascreatedacashbalanceinthe
parkdedicationfundofanestimated$153,190.
StaffthereforeproposesthatthefundingforthePhaseVIIIacquisitioncomefrom
theParkDedicationfund.Asthefundcontinuestoreboundwithincreased
housingpermitactivity,theCouncilcanalsodirectviafutureactionthe
repaymentoftheCapitalProjectFundforpreviouspurchasesatBertram.
A2.StaffWorkloadImpact:IftheCityCouncilauthorizesacceptanceofthegrant,
appraisalsandlocalfundingmatch,CitystaffandtheCityAttorneywillwork
withWrightCountytobegindraftingthenecessarypurchaseagreement
documentationinpreparationforaclosingin2015.
B.ALTERNATIVEACTIONS:
1.Motiontoaccepta2014DNROutdoorRecreationGrantawardintheamountof
$100,000foraPhaseVIIIacquisitionattheBertramChainofLakesRegional
ParkinconjunctionwithWrightCounty,including:authorizationtoenterinto
grantcontract,authorizationforrequiredappraisals,approvalofthe
correspondinglocalacquisitionandclosingcostsestimatedat$92,750,andto
directstafftoprepareappropriateclosingandpurchasedocumentation.
2.Motiontodenygrantmatchfundingfora2014DNROutdoorRecreationGrant
awardatthistime.
C.STAFFRECOMMENDATION:
ThePhaseVIIIacquisitionbringstheCityastepclosertotherealizationofstatedgoals
outlinedinthe2008ComprehensivePlan,theadopted2011ParkandPathwayPlanand
theadoptedCapitalImprovementPlan.
Thisparticularacquisitionrepresentsthesecondstageinfulfillmentoftheneedfor
athleticfieldspacewithinthecommunity.Atpresent,626.4landacresofpropertyis
jointlyownedandoperatedbytheCityandCountyandisfullyaccessibletothepublic.
CityCouncilAgenda:07/28/14
3
TheauthorizationtofundthegrantmatchfortheBertramChainofLakesRegionalPark
isalsoconsistentwithpreviousCouncilactionsandwiththeprovisionsoftheapproved
MemorandumofUnderstandingbetweentheCity,CountyandtheYMCA.Assuch,staff
supportsfundingthematchforthisacquisition.
D.SUPPORTINGDATA:
A.GrantAwardLetter
B.BertramChainofLakesParcelAcquisitionMap
C.ProposedPhaseVIIIAcquisitionMap
D.BertramChainofLakesFundingTable
5A
5
3
6
7
4
9
8
1 2
12
10
11
Wright County
Parks
Created by: Wright County GIS, Office of the County Surveyor
May, 2008
08001,600400
Feet
Parcel #Land AcresWater AcresTotal Acres% of Value
140.17040.175.90%
239.89039.896.00%
3203.032.33205.3610.90%
4132.7523.96156.7119.60%
5203.9577.61281.5612.41%
5A104.3339.7144.0312.99%
6174.640174.645.30%
7121.0948.23169.3211.10%
834.27.9542.1510.20%
99.5746.2755.840.20%
109.8132.3742.180.90%
110.3400.340.00%
1241.870.3342.24.50%
Bertram Chain of Lakes
The YMCA of Metropolitan Minneapolis
1250.37 Acres = 12 Parcels
2008 Acquisition
2008 Acquisition
YMCA Owned
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LEGEND
Primary Access Routes
Regional Park Boundary
Proposed Acquisition Area
PhaseLandAcresYearFundedGrant$Non-LocalFundingSourceCounty$City$TotalStatus/Result
12008$1,000,000LCCMR/EnvironmentandNaturalResourcesTrustFund$1,000,000$1,000,000$3,000,000Phase1CompletedDecember,2008
12008$200,000DNR-MetroGreenways/EnvironmentandNaturalResourcesTrustFund$200,000$200,000$600,000Phase1CompletedDecember,2008
1 279.31 Total2008 $1,200,000 Parcel5A,11and6 $1,200,000$1,200,000$3,600,000
2 40.66 2010 $549,628 DNR-MetroGreenways/EnvironmentandNaturalResourcesTrustFund $274,814$274,814$1,099,256 PhaseIICompletedJune2010
Parcel5B
3 80.88 Aug-08$266,249DNR-Non-MetroRegionalParks/LAWCON(Federal)$148,101$148,101$562,451Phase3,CompletedDecember2011
3Jan-10$400,000DNR-LegacyPark/Amendment(LegacyAmendmentFunds)(PL09-001)$222,500$222,500$845,000Phase3,CompletedDecember2011
3Sep-10$334,725DNR-Non-MetroRegionalParks/LAWCON(Federal)$167,363$167,363$669,451Phase3,CompletedDecember2011
3Sep-10$76,000DNR-LegacyPark/Amendment(LegacyAmendmentFunds)(PL10-001)$61,299$61,299$198,598Phase3,CompletedDecember2011
Total2011 $1,076,974 Parcel7A $599,263$599,263$2,275,500
4 61.25 2011-2012$833,333$500kLegacyPark,$333,333Non-MetroRegionalPark$204,002.00$204,002.00$1,241,337.00Phase4,CompletedDecember2014
$833,333 Thisincludesparcel12,10,9 $204,002.00$204,002.00$1,241,337.00
5 40.17 2012-2013$369,713OutdoorRecreationGrant$317,268.50$317,268.50$1,004,250.00GrantAwarded&Encumbered,LocalShareSecured
$369,713 Thisincludesparcel1 $317,268.50$317,268.50$1,004,250.00
2013(Phase6)
6 100.53 2013-2014$1,528,925ParkLegacyGrantSubmitted9-21-12-Parcel7and5$328,288$328,288$2,185,500GrantAwarded,LocalShareSecured
6 23.6 2013-2014$333,333RegionalParkGrantSubmitted9-2-12-Parcel8$144,084$144,084$621,501GrantAwarded,LocalShareSecured
total 124.13$1,862,258$472,372$472,372$2,807,001
2013Phase7)
7 124$1,400,000 ParkLegacyGrantSubmittedforportionofparcel4 $436,410$436,410$2,272,820 Grantawarded,localmatchtobeconsidered
total$1,400,000 $2,272,820
TODATEFUNDING$7,291,906$3,504,129$3,504,129$14,300,164
2013(Phase8)
8 10.62 2014$100,000$82,750$82,750 $265,500 Pendinggrantsubmittalauthorization
8 20 2014$100,000$200,000$200,000 $500,000 Pendinggrantsubmittalauthorization
total30.62$200,000$282,750$282,750 $765,500
2015ProposedFundingBALANCEOFPARK
9 48.422015$1,387,336Parcel4(remaining)$1,387,336
9203.32015$3,550,000Parcel3$3,550,000
1019.892015$497,250Parcel2(remaining)$497,000
1052.63 $20,500,000
2013(Phase5)ProposedFundingGrantsandLocalMatches
ProposedFunding&LocalMatches
ProposedFunding&LocalMatches
ProposedFunding&LocalMatches
BertramChainofLakesRegionalPark-AcquisitionProjectFundingHistoryandNeeds
PhaseIFunding(2008)
Phase2Funding(2010)
Phase3Funding(June2011)
Phase4Funding(December,2013)
CityCouncilAgenda:07/28/14
1
7B.Considerationofauthorizingappraisalsandapprovingacorrespondinglocalmatch
foraPhaseVIIacquisitionattheBertramChainofLakesRegionalPark (AS/JO)
A.REFERENCEANDBACKGROUND:
TheCityCouncilisaskedtoconsiderauthorizingtheuseofanestimated$446,410in
Cityfundsforaproposed2015propertyacquisitionattheBertramChainofLakes
RegionalPark.
ThePhaseVIIacquisitionfundingrequestismadeinordertoutilize $1.4millionin
awarded2013Park&TrailLegacygrantfunds.This$1.4milliongrantwasthe
singlelargestgrantawardedinthe2013Park&TrailLegacygrantcycle.Thegrant
receivedwasbasedonpurchaseofaportionofparcel4oftheregionalpark,asshownon
theattachedmap.
Aspartofplanningforgrantapplicationsandpotentialacquisitions,ShenohanAppraisal
Servicescompletedanappraisalfortheregionalparkareain2011.Theappraisal
consideredthevaluationoftheentireparkbasedonchangesinthelandvaluemarket,as
wellasthevaluationsofeachremainingindividualparceltobepurchased.Basedonthat
appraisal,theestimatedvalueoftheacquisitionareaforPhaseVIIis$2,272,820.Anew
appraisaloftheproposedacquisitionparcelisrequiredbythegrantfundingto
confirmthisvaluation.
Basedonthe2011appraisal,theCity’sshareofthematchfortheproposed
acquisitionis$436,410.Councilisalsoaskedtoapproveanadditional$10,000in
matchfundingforcompletionofrequiredappraisalsandclosingdocuments.The
WrightCountyBoardofCommissionershasalreadyvoted5-0toapprovethe
County’sshareofthematchingfunding.
ThePhaseVIIareatobeacquiredtotalsapproximately124landacres.Theparcelliesto
theeastoftheproposedathleticcomplexatthepark,northofLongLakeandis
conceptuallyplannedtoincludethecampgroundfacilityfortheregionalpark.
Currently,636landacresofpropertyisjointlyownedandoperatedbytheCityand
Countyandisfullyaccessibletothepublic.
AswiththeacquisitioncompletedonJune5th,2014,itishopedthatthepurchaseofthis
approximately124acrescanbepairedwithacquisitionofanotheradjacentparcelat
Bertram.(SeetheOutdoorRecreationitemincludedwiththisCouncilagenda).This
willcreateefficienciesrelatedtotitle,closingandlegaldocumentwork.Anamended
MemorandumofUnderstandingandpurchaseagreementwillbepreparedaspartofthe
PhaseVIIacquisitionprocess.Oncedrafted,thesewillbepresentedtoCouncilfor
reviewandapproval.Additionally,anyapplicableSharedUseAgreementswillalsobe
presentedforCouncilreviewandapproval.TheGroundLeaseandOperations
AgreementfortheYMCACampManitouisinplaceandeffectiveasoftheJune5th,
2014acquisitionatthepark.
CityCouncilAgenda:07/28/14
2
A1.BudgetImpact:Thefundingforthispurchaseisproposedtocomeinpartfrom
theParkDedicationFund,withthebalanceoffundingfromtheCapitalProjects
Fund.TheParkDedicationFundwouldhaveanestimated$60,440available(to-
date)afterthe10.62acreacquisitionproposedintheOutdoorRecreation
acquisitionitemofthisagenda.TheFinanceDirectorhasindicatedthatthe
ClosedBondportionoftheCapitalFundhasacashbalanceofapproximately
$1,500,000asofJuly24th,2014.
A2.StaffWorkloadImpact:IftheCityCouncilauthorizesthematchand
acquisition,CitystaffandtheCityAttorneywillworkwithWrightCountyto
begindraftingthenecessarypurchaseagreementdocumentationinpreparationfor
closing.
B.ALTERNATIVEACTIONS:
1.Motiontoauthorizerequiredappraisalsandapprovethecorrespondinglocal
acquisitionandclosingcostmatchestimatedat$446,610foraPhaseVII
acquisitionattheBertramChainofLakesRegionalPark,andtodirectstaffto
prepareappropriateclosingandpurchasedocumentation
2.Motiontodenygrantmatchfundingfora 2013ParksandTrailsLegacy grantat
thistime.
C.STAFFRECOMMENDATION:
TheauthorizationtofundthegrantmatchfortheBertramChainofLakesRegionalPark
isalsoconsistentwithpreviousCouncilactionsandwiththeprovisionsoftheapproved
MemorandumofUnderstandingbetweentheCity,CountyandtheYMCA.Assuch,staff
supportfundingthematchforthisacquisition.Theacquisitionisconsistentwiththe
2008ComprehensivePlan,theadopted2011ParkandPathwayPlanandtheadopted
CapitalImprovementPlan.
D.SUPPORTINGDATA:
A.BertramChainofLakesParcelAcquisitionMap
B.ProposedPhaseVIIAcquisitionMap
C.BertramChainofLakesFundingTable
5A
5
3
6
7
4
9
8
1 2
12
10
11
Wright County
Parks
Created by: Wright County GIS, Office of the County Surveyor
May, 2008
08001,600400
Feet
Parcel #Land AcresWater AcresTotal Acres% of Value
140.17040.175.90%
239.89039.896.00%
3203.032.33205.3610.90%
4132.7523.96156.7119.60%
5203.9577.61281.5612.41%
5A104.3339.7144.0312.99%
6174.640174.645.30%
7121.0948.23169.3211.10%
834.27.9542.1510.20%
99.5746.2755.840.20%
109.8132.3742.180.90%
110.3400.340.00%
1241.870.3342.24.50%
Bertram Chain of Lakes
The YMCA of Metropolitan Minneapolis
1250.37 Acres = 12 Parcels
2008 Acquisition
2008 Acquisition
YMCA Owned
O t t e r C r e e k
Forestry
Project
Savanna
Reclamation
Project
Area
Scenic
Overlook
Connection
to City Trail
Connection
to Residential Trail
First
Beaver Pond
Long
Bertram
Mud
Wright County GIS
Office of the County Surveyor
October, 2013
Recreation Site Plan
Bertram
Chain of Lakes
Acquisition
Phase VII
Item #6
01,400700
Feet
Legend
Future Facilities
Owned byOwned by
City of MonticelloCity of Monticello
RuralRural
ResidentialResidential
ResidentialResidential
Agricultural/Agricultural/
CommercialCommercial ResidentialResidential
Trail
AgriculturalAgricultural
AgriculturalAgricultural
Created for:
Existing or Planned
(721.55 Acres)
Future Acquisition
City of Monticello
Amphitheater
Beach
Rental Chalet
Canoe Access
Park Road
Park Road
Trail
(79.95 Acres)
Phase VII
Boat Access
Camping
Day Use
Fishing Pier
Park Office
Day Camp Program
Area & Facilities
PhaseLandAcresYearFundedGrant$Non-LocalFundingSourceCounty$City$TotalStatus/Result
12008$1,000,000LCCMR/EnvironmentandNaturalResourcesTrustFund$1,000,000$1,000,000$3,000,000Phase1CompletedDecember,2008
12008$200,000DNR-MetroGreenways/EnvironmentandNaturalResourcesTrustFund$200,000$200,000$600,000Phase1CompletedDecember,2008
1 279.31 Total2008 $1,200,000 Parcel5A,11and6 $1,200,000$1,200,000$3,600,000
2 40.66 2010 $549,628 DNR-MetroGreenways/EnvironmentandNaturalResourcesTrustFund $274,814$274,814$1,099,256 PhaseIICompletedJune2010
Parcel5B
3 80.88 Aug-08$266,249DNR-Non-MetroRegionalParks/LAWCON(Federal)$148,101$148,101$562,451Phase3,CompletedDecember2011
3Jan-10$400,000DNR-LegacyPark/Amendment(LegacyAmendmentFunds)(PL09-001)$222,500$222,500$845,000Phase3,CompletedDecember2011
3Sep-10$334,725DNR-Non-MetroRegionalParks/LAWCON(Federal)$167,363$167,363$669,451Phase3,CompletedDecember2011
3Sep-10$76,000DNR-LegacyPark/Amendment(LegacyAmendmentFunds)(PL10-001)$61,299$61,299$198,598Phase3,CompletedDecember2011
Total2011 $1,076,974 Parcel7A $599,263$599,263$2,275,500
4 61.25 2011-2012$833,333$500kLegacyPark,$333,333Non-MetroRegionalPark$204,002.00$204,002.00$1,241,337.00Phase4,CompletedDecember2014
$833,333 Thisincludesparcel12,10,9 $204,002.00$204,002.00$1,241,337.00
5 40.17 2012-2013$369,713OutdoorRecreationGrant$317,268.50$317,268.50$1,004,250.00GrantAwarded&Encumbered,LocalShareSecured
$369,713 Thisincludesparcel1 $317,268.50$317,268.50$1,004,250.00
2013(Phase6)
6 100.53 2013-2014$1,528,925ParkLegacyGrantSubmitted9-21-12-Parcel7and5$328,288$328,288$2,185,500GrantAwarded,LocalShareSecured
6 23.6 2013-2014$333,333RegionalParkGrantSubmitted9-2-12-Parcel8$144,084$144,084$621,501GrantAwarded,LocalShareSecured
total 124.13$1,862,258$472,372$472,372$2,807,001
2013Phase7)
7 124$1,400,000 ParkLegacyGrantSubmittedforportionofparcel4 $436,410$436,410$2,272,820 Grantawarded,localmatchtobeconsidered
total$1,400,000 $2,272,820
TODATEFUNDING$7,291,906$3,504,129$3,504,129$14,300,164
2013(Phase8)
8 10.62 2014$100,000$82,750$82,750 $265,500 Pendinggrantsubmittalauthorization
8 20 2014$100,000$200,000$200,000 $500,000 Pendinggrantsubmittalauthorization
total30.62$200,000$282,750$282,750 $765,500
2015ProposedFundingBALANCEOFPARK
9 48.422015$1,387,336Parcel4(remaining)$1,387,336
9203.32015$3,550,000Parcel3$3,550,000
1019.892015$497,250Parcel2(remaining)$497,000
1052.63 $20,500,000
2013(Phase5)ProposedFundingGrantsandLocalMatches
ProposedFunding&LocalMatches
ProposedFunding&LocalMatches
ProposedFunding&LocalMatches
BertramChainofLakesRegionalPark-AcquisitionProjectFundingHistoryandNeeds
PhaseIFunding(2008)
Phase2Funding(2010)
Phase3Funding(June2011)
Phase4Funding(December,2013)
CityCouncilAgenda:07/28/14
1
7C.Considerationofapprovingone-yearextensiontothetermsoftheagreement
governingpurchaseofKrutzigpropertyatLot2,Block1,JeffersonCommons1st
Addition (JO)
A.REFERENCEANDBACKGROUND:
CityCouncilisaskedifitwishestograntaone-yearextensiontothetermsofthe
agreementgoverningpurchaseoftheKrutzigpropertyatLot2,Block1,Jefferson
Commons1st Addition.InJulyof2012,CityCouncilapprovedandexecutedthe
purchaseoftheKrutzigpropertyunderthefollowingarrangement.Acopyofthe
purchaseagreementisincludedwithsupportingdata.
TheCitypurchasedthepropertyintheamountof$679,000,whichwastheamount
KrutzigowedtoKleinBankandincludingtaxesduetoWrightCounty.Inexchange,the
agreementwiththeCityprovidedMr.Krutzigwith24monthstobuybacktheparcelat
theoriginalpurchasepriceplusadditionalinterestandcostsitemizedinthepurchase
agreement.IntheeventMr.Krutzigwasunabletopurchasethepropertybackduring
thistimeperiod,theCitywouldbefreetosellthepropertytoothers.Therepurchase
termsintheagreementexpireJuly30,2014.
Krutzighasbeenworkinghardatmarketingthepropertyandhasnotedthepresenceof
potentialdevelopmentproposals.Herequeststheextensionoftheagreementand
associatedtermsforanotheryearwhichwouldprovidehimtimenecessarytoreapthe
benefitsofhiswork.Underthisextension,theCitybenefitsfromKrutzig’seffortsto
developthepropertyviaadditionaltaxbase,andtheCityobtainsareturnoninvestment
throughtheinterestpayback.
B.ALTERNATIVEACTIONS:
1.Motiontoapproveaone-yearextensionofthetermsofthepurchaseagreement
fortheKrutzigpropertyatLot2,Block1,JeffersonCommons1st Addition.
2.Motiontodenyanextensiontothepurchaseagreementterms.
C.STAFFRECOMMENDATION:
CouncilshouldselectAlternative#1unlessthereisachangeindirectiondesiredasa
resultofnewinformationorpassingoftime.
D.SUPPORTINGDATA:
A.CopyofpurchaseagreementfrompropertyclosingonJuly19,2012
B.LetterofrequestfromMikeKrutzigdated6/6/2012
CityCouncilAgenda:07/28/14
2
C.Aerialmapofproperty
D.Krutzigpropertyinformation
E.CouncilMeetingMinutes–June11,2012&July9,2012
F.EDAMeetingminutes–June20,2012&June28,2012
2.7 AC
CityCouncilAgenda:07/28/14
1
7D.ConsiderationofauthorizingsubmissionofRequestforProposaltotheCityof
Annandaleforprovisionofbroadbandservices (JO)
A.REFERENCEANDBACKGROUND:
Perpreviousdirectionanddiscussionregardingenhancementofrevenueopportunities,
BrianEstremhasbeenworkingonpreparationofaprogramforprovidingsupporttothe
CityofAnnandale.Asyouknow,internetandphoneserviceislackinginAnnandale
andthecommunityhastakenactiontoimprovetheirsituation.Annandalehasmadea
significantefforttoreviewtheiroptionsincludingcompletionofadetailedfeasibility
study.AnnandalewasverymuchpartoftheefforttoconvincetheStateLegislatureto
set$25millionasidefordevelopmentofhighspeedbroadbandintheStateofMinnesota.
Inresponsetothefindinginthefeasibilitystudy,Annandaletalkedtoanumberof
privatecompaniesandalsoinvitedMonticellotoprepareconceptfinancialplans.In
addition,AnnandaleinvitedMayorHerbstandLloydHilgarttovisitanddiscussthe
opportunitytopartner.
Afewdaysago,AnnandaleissuedanRFPtothetelecommunicationscommunity
requestingproposalsfromentitieswishingtopartnerwithAnnandaletoprovideinternet
serviceonly.ThedeadlineforsubmittaloftheRFPisAugust1st.
ThisistoinformCouncilthatstaffisseekingauthorizationtocompletetheRFPandto
submitaproposalforreviewbyAnnandale.CityAdministratorKellyHinnencamphas
informedmethataproposalsubmittedbytheCitywouldbeunderstoodtobeinconcept
formonlyandsubjecttoreviewandapprovalbytheMonticelloCityCouncil.
DanOlsenisveryawareofthisopportunityforAnnandaleandMonticellotopartner,and
believesthatMonticellohasthecapacitytocontinuetheinitiativestartedbyBrian
Estrem.ItshouldbenotedthatDanOlsenspearheadedtheefforttoadd11separate
citiestothenetworkservedbyWindomsoheisveryexperiencedinthisarea.Windom’s
financialsuccesshasbeenenhancedthroughservingnearbycommunities.Finally,the
draftfinanceplanpreparedbyEstremandsupportingtheRFPisforoperationalsupport
onlyanddoesnotincludeMonticello’sfundingofcapitalorotherstart-upexpenses.
A1.BudgetImpact:Nobudgetimpactrelatingtoprovidingthesubmittal.Ifthe
projectmovesforwardthereisanopportunityforimprovedutilizationof
FiberNetcapacitythusresultinginimprovedefficiencies.Inaddition,theproject
wouldyieldadditionalsystemrevenues.
A2.StaffWorkloadImpact:StafftimenecessarytocompleteRFPform,whichis
estimatedataboutsixhours.Notethatspreadsheetsandbusinessplans
supportingtheproposalarealreadyinplace.
CityCouncilAgenda:07/28/14
2
B.ALTERNATIVEACTIONS:
1.MotiontoauthorizesubmissionofaRequestforProposaltotheCityof
Annandaletoprovidebroadbandservices.
2Motiontotable,pendingapresentationbyStaff.
StaffunderstandsthatthistimeframedoesnotprovidetheCityCouncilwitha
chancetoreviewthedetailsofthedraftserviceplan.Asanalternativetogranting
authorizationsightunseen,CouncilmaywishtoaskAnnandaleforanextension
orcallforaspecialmeetingonThursday,July31st.
3.MotiontodenyauthorizingsubmissionofanRFPatthistime.
C.STAFFRECOMMENDATION:
CitystaffrecommendsAlternative#1or#2.Alternative#1servestoexpeditethe
processbutitisunderstoodthatCouncilmayprefertoreviewtheserviceconceptplanso
Alternative#2shouldworkaswell.
D.SUPPORTINGDATA:
(BrianEstremwillbepresenttoanswerquestions)
CityCouncilAgenda:07/28/14
1
7G.ConsiderationofadoptingResolution#2014-070approvingtheJointPowers
AgreementforpublictransitservicesthroughtheWrightCountyArea
Transportation(WCAT)JointPowersBoardorauthorizinganotheroptionforcity
busservice (JO)
A.REFERENCEANDBACKGROUND:
CityCouncilisaskedtoconsiderenteringajointpowersagreementwithWrightCounty
citiesthathaveformedacoalitionknownasWCAT(WrightCountyArea
Transportation).Asyouknow,WCATwasidentifiedbytheMnDOTOfficeofTransit
andSibley/McLeodcounties(TrailblazerTransit)asthe“localpartner”representing
WrightCountycitizensintheadministrationandoperationofthe5311serviceplan.The
5311programfeaturesstatefundingat85%withfarerevenueandlocalgovernment
sharesplittingthebalance
UnderTrailblazer/WCATorganizationstructure,the5311serviceplan,providingtransit
toMonticello,wouldbedevelopedbytheTrailblazerTransitBoardofwhichWCAT
wouldhavetwoseatsatthetable.Thisboardiscurrentlycomprisedoffivemembers,
twofromSibleyCountyandthreefromMcLeodCounty;twomemberswouldbeadded
fromWrightCounty(WCAT).TheJointPowersagreementincludesafiveyearterm,
andifadoptedbyMonticello,wouldlikelyassureaservicelevelthatmeetsorexceeds
previouslevels,butalsoopensthedoortoafiveyearfinancialcommitmentthatwillbe
setbyaboardoverwhichtheCitywouldhaveonlyindirectinfluence.Concernsover
servicelevelsandfinancialobligationsmadebythegroupaffectingMonticelloare
somewhatmitigatedbythefactthattheWCATorganizationsharesacommoninterestto
operateanefficientsystem.Policiesarealreadyinplaceforterminatingservicethatdoes
notproducemorethan3ridesperhourandingeneraltheorganizationhasnothingto
gainbymaintainingexpensiveroutes.Nonetheless,nomatterhowimportanttheservice,
itmaybediscomfortingtorelinquishthepurseforfiveyearstoanorganizationover
whichonehasindirectinfluence.
Asofthepreparationofthismemo,Otsegoistheonlycitythathasvotedagainstjoining.
Monticellotabledactionpendingtwomeetingsonthistopicinthepriormonth.Since
thenSaintMichael,HanoverandAlbertvilleelectedtojoin.TheCityofClearwaterhas
notbeeninvolvedintheprocessandhasnotconsideredthematter.AllotherWright
CountycitieshavesignedtheJointPowersAgreement.
Decisionmakingforallthecitiesinvolvedinthistopichasbeeninfluencedbytheirpast
experiencewithdevelopmentoftransitfortheircitizens.Monticellohashaditgood,
whileothercitiesnotquitesogood.ViaHeartlandExpressandRiverRider,ourcitizens
havebecomeaccustomedtogoodservicewhilethecitycontributionwasnominalduring
HeartlandExpressdaysandeventuallyceasedentirelywhenRiverRidertookover.The
Monticellosettingfeaturinghigherpopulationdensityandshortridesresultsingood
systemefficienciesandhealthyrevenues.AlthoughIhavenotseenthebooks,Ilearned
thatfarerevenuefromtheMonticelloportionoftheRiverRideroperationplusthestate
sharecreatedapositivecashflowfortheoperation.Iamawareofthispositivecashflow
CityCouncilAgenda:07/28/14
2
situationbecauseitwasthismoneythatwasusedtobuyareplacementbus,andnotthe
funds($3,000)thattheCityhadbeenpreviouslyaskedtobudgetforbusreplacement
fromitsgenerallevy.
WhileMonticellohashaditgood,andthuslessinclinedforchange,itismy
understandingthatothercitiesinWrightCountyhavenotbeenabletogettheservicethat
theircitizensdesire.Additionally,thefrustrationforthesecommunitiesappearedtobe
mountinginlightofthefactthatstatefundswereavailableforexpandingserviceand
RiverRiderhadreservesavailableforcoveringthelocalshareonexpansionofservice.
Theopportunityforthesecitiestogainserviceandtheassociatedbenefitsofthestate
85%matchviaanestablishedsystem,despitealloftheunansweredquestionsisa
positivemovefortheircommunities.
TheMonticellosituationisdifferentthantheothercitiesandwillrequireacceptanceof
changeandsomesacrificeinordertoretainservicelevelsthatthecommunityhascome
toenjoy.Whatisthechange?Inessence,undertheWCAT/Trailblazeroperation,the
financialstrengthfromthehighpopulationdensityofMonticellointheformofrelatively
reasonablecostperridewillbeintegratedandblendedintoalargerorganizationthatwill
benefitfromMonticello’seconomyofscale.TheCityofMonticellowillbecome
responsibleforpayingapro-rataportion(localshare)ofdeficitsnotcoveredbythebus
faresorcontracts,thissharetobebasedonridershipfigures.
Asnotedabove,Monticelloefficienciesgetdistributedtoalargerorganizationservinga
lessdensepopulation.Ontheotherhand,beingpartofanorganizationservingalarger,
lessdenseterritorydoesnotnecessarilymeanthatthelocalsharepaidbyMonticellowill
increase;thereareotherfactorsthatcanresultinimprovedefficiencyforalargersystem,
suchasreducedoverheadpercapitaandimprovedaccesstocontractrevenuesources.It
shouldbenotedthatthissituationforMonticellowillbethesameforcitieslikeDelano
andBuffalowhowillbesharingtheireconomyofscalewiththesmallercitiesinthe
moreruralareas.Similarly,Hutchinson,whichislocatedintheTrailblazerterritory,is
sharingitseconomyofscalewithitsoutlyingarea.Leadershipinthesecitiesbelieve
thatspreadingthewealthissomethingtheyarewillingtodoinordertoimproveservice
intheircitiesandWrightCountyoverall.
Finally,undertheJointPowersAgreement,eachWCATcitywillhaveonevotethrough
January2015.Afterthat,thevotingnumberchangeswitheachcityhavingonevoteplus
anothervoteforevery3,000ridesoriginatinginthatCity.Thisvotingstructuredoes
servetoshiftthepowertothecommunitiesthatgeneratethemostrides.Theassociated
liabilityforpayinglocalshareshouldestablishanaturalgovernoronexpandingthe
systeminaninefficientmanner.
FactorstoConsider
Pleasenotethatthefactorsbelowandassociatedanalysisarefuzzybecausemuchofthe
informationonfuturecostrelyheavilyondecision-makingyettocome.Councilneeds
toreviewitspositioninthecontextofwhatitwishestoprovidefortransportation
CityCouncilAgenda:07/28/14
3
service,balancedagainsttheexposurethatcomesfromenteringanagreementwithouta
firmunderstandingoftheultimatecostsandatthesametimehavingonlyindirect
influenceondecisionmaking.
Financialcommitmentwithoutagoodunderstandingofcostwithregardstotheongoing
annualcost
Startingin2015,eachcitywillpayitspro-ratashareofthedifferencebetweenthetotal
costandtherevenuethatcomesfromthe85%share,contractfees,andfarerevenue.The
pro-rataamountforeachcitywillbebasedonthenumberofridesoriginatingineach
city.Thisdoesnotseemlikemuchofafinancialriskbecausewehavebeentoldthatthe
averagecostperrideis$10.38perride.WiththeStateofMNpaying85%ofthiscost
($8.83),andadding$2.00forFareRevenuetocoverthebalance,andcostsappeartobe
covered.Thismeansverylittleexposuretocitiesconcernedaboutfundingalocalshare.
However,itshouldbenotedthat,theTrailblazerBoardcurrentlycanbudgetforatotal
servicelevelthatexceedswhattheStatewillpayunderthe85%program.Forinstance,
Trailblazercanaddoncoststocovercontractsthatmightbeself-fundedbytherevenue
comingoffthecontracts.Theadditionalcommitmentincostabovethe85%state
subsidywouldbeexpectedtobetiedtoaspecificrevenuesourceandnotpassedonto
WCATcities.SucharrangementswouldneedtobeidentifiedbetweenWCATandthe
TrailblazerBoardatsuchtimethattheWCATjoinsTrailblazer.
CostEstimates
Asnotedabove,costimpactsaredifficulttodiscernandcanonlybepresentedatbestin
theformofarange.Belowismybestexplanationofthepotentialcosts,andIapologize
inadvancetoTrailblazer,StateofMNandcurrentWCATmembersifImisstate
anythinginthisreport.Iwelcomeanycorrectionfromothersaccordingly.
TrailblazerStart-upCostsforWCAT:MonticelloShare-$20,000to$40,000spread
between2016and2020.
InexchangingvoiceandemailswithPhilKern,actingChairmanofWCAT,thisiswhatI
havelearnedregardingstart-upcosts.Philstates:“Withrespecttothe‘loan’from
MnDOT,I[Kern]understandittobea$180,000advance.MnDOTofficialshavesaid
therewouldbeapaybackperiod,likelyaround5years,butwithoutalocalpartner(even
today),there’snoonethat’ssteppeduptosayyes,we’llpaythatback.’I[Kern]
understandthediscussionstohaveleftoffhere:
WCATisawarethatMnDOTisplanningtoimposea$180,000“loan”forthis
transition
MnDOTstatedattheJune12WCATmeetingthatanyexcessWrightCounty
fundsfromthedissolutionofassetsofRiverRidershouldgotothis“loan”
first.WhatthefinallumpsumofassumedMnDOT“loan”is,we’llfindthatout
movingforward.
MnDOTisassumingoncetheWCATentityisonitsfeet,therepaymentcan
begin.Idon’tknowiffromMnDOT’sperspectivethatmeans2015-2019or2016-
CityCouncilAgenda:07/28/14
4
2020.AsonememberofWCAT,IknowDelanowillbepushingforanyagreed-
uponloantoberepaidfrom2016-2020ifit’safive-yearperiod.Ithink2015is
toosoonwithmanycitiesjustbudgetingfortransitforthefirsttime.
Iamalsoundertheunderstanding,listeningtoMnDOTofficialsdiscussthisat
theWCATmeetings,thattherepaymentwouldbeover5years.TheWCATBoard
willneedtodetermineiftherepaymentamounteachyearwillbeincludedwithin
thatyear’soperatingcosts,andthereforepayablebasedonthepreviousyear’s
ridership.ThatwouldbeDelano’svote(sothatasridershipchangesinfuture
years,theloanrepaymentpercentageschangeaccordinglyandaren’tfixedat
ridershiplevelsinyear1).
Hopethatanswersyourquestion.”
SotorestatePhilKern’sobservation,thetotalamountofthestart-upcostsisyettobe
determinedbutwillbelessthan$180,000dependingontheamountofmoneyleftover
fromRiverRider.IfMonticellojoinsWCAT,IwouldconcurwithPhilKern’soutlineas
tobestmethodforfairlytiminganddistributingthecost.
ItshouldbenotedthatifMonticellojoinsWCAT,itwouldnotbepayingtwiceforstart-
upcosts.Althoughtherewascapitalexpenseintheservicefeecharge,Heartland
Expresswasoperatedunderaservicecontractandnodirectpurchasesofabuswereever
madethatwouldhavebeentransferredtoRiverRider.Similarly,Monticellodidnot
contributetothecostofthebusoperatedinMonticellobyRiverRider.Itisnotknown
howmuchofthemoneythatremainsintheRiverRiderbanktonowbeusedtopaystart-
upcostswouldhavecomefromMonticellofarerevenue.
Costs–LocalShareforTrailblazer:AnnualEstimate-$15,000to$35,000annually
Similarly,itisdifficulttopindownthelocalsharethatMonticellomightpaysothebestI
candoistopresentarange.Firstoff,thelocalshareprojectedforWrightCountybythe
TrailblazerBoardissetat$150,000whichrepresents25%ofthelocalshare
responsibilityforallthreecounties.Ifonedistributesthisnumberbasedonpopulation,
thecosttoMonticellocomesinatanannualcostof$23,938.Notealsothatthis
percentageisnotguaranteedpastthefirst18monthsofoperation.Herearethefactors
yetthatcouldimpactthatnumber:
TheTrailblazerBoardcouldinthefutureincreasetheWrightCountysharetoa
percentagehigherthan25%.WrightCountyactuallycomprises70%ofthetotal
populationofthethreecountiessoitwouldseemlike25%shouldgoup.Onthe
otherhand,SibleyandMcLeodcountieshavestrongrevenuesourcesfromtheir
respectivecountygovernmentsthatcoveralargeportionoftheirlocalshare.
OnewouldhavetotrusttheBoardtomadeadjustmentstothepercentagebased
onwhatisfairtoeachCountybasedonrevenuesourcesavailable.
Monticellocouldgeneratemoreridesonapercapitabasisthanother
communities.ThiswouldresultinMonticellopayingmorethantheestimated
amountabove.Additionally,moreridesgenerallymeansmoreefficientandless
CityCouncilAgenda:07/28/14
5
expensivecostperride.However,thewayWCATissetup,thebenefitsthat
comefromproducingahigherrateperhourisspreadacrosstheallthecitiesand
doesnotaccruetothecitythatisgeneratingmorerides/dollar.
ThetotalbudgetprojectedfromwiththeWrightCountylocalshare($150,000)
couldchangesubstantiallydependingonWCAT/Trailblazerdiscussions.Itcould
dropdependingonhowmuchserviceWCATwishestoprovide.Inaddition,
establishmentofcontractsbetweenTrailblazerandotherusers,suchasWright
CountyHumanServices,coulddropthelocalsharequiteabit.Introductionof
futurecontractsintothefinancescouldreallyservetodrivedownthelocalshare
requirement.
AfterinputfromtheTrailblazerDirectorandlookingatvariousscenarios,itismy
viewthat$15,000wouldbethelowerendoftherangewiththehighendinthe
neighborhoodof$35,000.Thehighendwouldincludeprovisionofadditional
busesandahighervolumeofrides.Note,thiswouldbeaddedtotheinitialstart-
upcostofabout$4,000to$8,000peryear.
TotalCost:Afterreviewingthelocalshareandstart-upcostprojectionsalongwiththe
methodfordistributingcosts,itisestimatedthattheannualcostthrough2020willrange
somewherebetween$19,000to$43,000peryear.
TrailblazerPerformanceandService
Whenreviewingthecosts,considerationsoneshouldkeepinmindthatTrailblazer
Transitserviceisexcellent.Itisawell-runorganizationthatconsistentlyoperatesin
compliancewithrequiredstateandfederalstandards.Transitservicewouldinclude
pointsoforiginationanddestinationsacrosstheentirecountyandnotjustMonticello.
Thebusesareverycleanandthesystembenefitsfromacompletelycomputerized
dispatchutilizingGPStechnology.IfMonticellojoinstheWCATorganizationthere
wouldbecompleteassurancethatregularservicewouldbeprovided.
Trailblazer/WCATSummary
Insum,theTraiblazer/WCAToptionwouldresultinaservicelevelthatwillmeetand
likelyexceedserviceprovidedbyHeartlandExpressandRiverRider.However,itis
difficulttoprovideagoodestimateofcost.TheTrailblazer/WCATbudgetpreparationis
atveryearlystagesandcouldstayinastateoffluxovertimewhichcontributestothe
financialuncertainty.Inaddition,theWCATlocalshareandstart-upcostdistribution
appearstiltedtobenefitlowridevolume/highcostperrideserviceareasoverhighride
volume/lowcostperrideareassuchasMonticello.
Fromapolicydevelopmentstandpoint,eachCitywithinWCATandWCATitselfasa
memberoftheTrailblazerBoardwillhaveaminorityposition.Giventhegovernance
model,acityorcitiesthatdisagreewithdecisionsoftheWCATorTrailblazerBoard
regardingservicelevelandcostdistributionwouldhavenorecoursebuttoacceptand
CityCouncilAgenda:07/28/14
6
paybasedonpoliciessetbytheparentgroup.TheJointPowersAgreementtermisfor
fiveyears.
OtherOptions
HoglundTransportation/City/CommunityPartnership
TheCityofMonticelloreceivedaproposalfromHoglundTransportationforproviding
dial-a-rideserviceonweekdaysbetween9AMand2PMatatotalcostof$60,000.Under
thisarrangement,itisestimatedthat10,000ridesat$2/ridewouldresultin$20,000in
revenue.Thedifferenceof$40,000wouldbemadeasapaymenttoHoglund
Transportation.Ifrevenuesfallshortorexceed$20,000,theCityandHoglund
Transportationwouldsplitthedeficitortheextrarevenue.Pleasenotethatthe$2per
rideisforfivehoursonlybetween9AMand2PM.Forridesbeforeandafterthatslot,
thecostofthefarewouldbesethigherandHoglundTransportationwouldretainthese
revenues.Underthisprogram,theCityandHoglundmightconsiderworkingwith
charitableorganizationsinseekingrevenueforfundingtheprogram.Thereareanumber
ofdetailsthatneedtobeworkedoutifCouncilpreferstogointhisdirectionbutit
certainlyisanoption.
SeekServicefromTriCapTransitConnection
Tri-Cap(TriCountyCommunityActionProgram)istheorganizationthatiscurrently
providingservicetoSherburneCounty.IhavebeeninformedbytheTri-CapTransit
Directorthattheiroperationiscurrentlyatmaximumcapacityandwouldhaveadifficult
timeservingMonticellowhilemaintainingthecurrentservicelevelforitsarea.The
Directornotedthattheprocessforobtainingservicewouldbetopresenttheconceptto
theExecutiveDirectorandthenontotheTriCapBoardofDirectors.Somewhereinthe
processs,theStateofMNwouldprovideinputontheanyproposaltoenlargetheTriCap
boundariestopick-upMonticello.Forthisoptiontobecomeareality,bothTriCapand
theStateofMinnesotawouldneedtobeinsupport.Asyouknow,theStateofMN
encouragedallofWrightCountytogowithTrailblazer.IdonotknowiftheStatewould
getbehindtheconceptofMonticelloshiftingtotheTriCapservicearea.Itwouldappear
thattheshiftingtoTriCapisaplausibleideafromageographicstandpointsoitmightbe
worthaskingthequestion.Also,itisprobablethattheCityofMonticellowouldneedto
coveralocalshareunderthisscenarioandofcoursethispotentialamountisnotknown.
FolllwingisadescriptionoftheTriCapPublicTransitBusServicesastakenfromtheir
website.
Phone800-600-7498/320-202-7824
PUBLICTRANSITBUSSERVICES
ThemissionofTri-CAP'sTransitConnectionandVolunteerDriverProgramisto
providesafe,dependable,affordableandcourteoustransportationservicesforthegeneral
publicinruralBenton,MorrisonandStearnsCounties.
CityCouncilAgenda:07/28/14
7
TheTransitConnectionhasbusesoperatinginRuralBenton,MorrisonandStearns
Countiesfivedaysperweek.Thebusserviceisavailabletothegeneralpublicwithno
ageorincomerequirements.Allbusesarehandicappedaccessible.Busreservationscan
bemadeuptotwoweeksinadvance.Busfaresare$1.25perboardingwithin
communitiesand$3.00perboardingforruraltocommunitytrips.Schedulesaresubject
tochangewithoutnotice.ViewtheTri-CAPTransportationServicePolicyfordetailed
informationonserviceoperations.
Busschedulesandservicehoursvarybyservicearea.Scheduleavailabilitycanchange
dailyandisalwaysdependentonhowquicklytimeslotsarefilledbypassengersina
givenarea.
FinalOption
AlastoptioncouldbetorelyontransitneedmarketdemandinMonticellotoattractbus
servicefromTrailBlazerTransit.Underthisconcept,Councilwouldrelyonthe
economicbenefitstoTrailblazerTransitassociatedwithservingMonticello.IfCouncil
madethischoice,itwouldbeonthebeliefthatridershipwouldberelativelyhighin
Monticello,andaTrailblazerbusoperatinginthiscommunitywouldhaveaneconomic
advantagethatwoulddriveservicedelivery.UnderthisscenariotheCityofMonticello
wouldnotbeunderanyobligationtopayalocalshareorberesponsibleforstart-up
costs.Ontheotherhand,WCAT/Trailblazerwouldbeundernoobligationtoserve
Monticelloeveniftheeconomicsjustifyprovidingservice.
B.ALTERNATIVEACTIONS:
1.MotiontoadoptResolution#2014-070approvingtheJointPowersAgreementfor
publictransitservicesandmembershipintheWrightCountyAreaTransportation
(WCAT)JointPowersBoard.Underthisalternative,theCitywillbeentitledto
appointtworepresentativestotheWCATBoardfor2014;oneshallserveasthe
votingrepresentativeandtheotherasanalternate.
WCAThasprovidedAugust1st asthedeadlineforjoiningtheorganization.This
deadlinefromWCATisnotarbitraryas5311ManagementPlansfor2015
TrailblazerTransitmustbedevelopedbyAugust15th.MembershipinWCAT
willdrivediscussionsregardingserviceareaandresourcesrequestsfor
Trailblazer.OnceWCATknowswhichcitiesareintheservicearea,the
managementplancanbedevelopedaccordingly.
2.MotiontonotapprovetheJointPowersAgreementwithWCATanddirectstaff
todevelopaprogramutilizingHoglundTransportationfortransitservicesas
identifiedintheconceptplanmentionedabove.
3.Motiontotablethematterandexploreoptionsforothertransitservices,suchas
fromTriCap.
CityCouncilAgenda:07/28/14
8
C.STAFFRECOMMENDATION:
IftheCityCouncildesirescomprehensivetransitservicethroughWrightCountyand
believesthat,despitetheunknowns,therearesufficientcommonfactorsandreasonsfor
theWCATandTrailblazerorganizationstooperateinafairmannerthattakesinthebest
interestsofall,thenCouncilshouldselectAlternative#1.
IfCouncilbelievesthattheformulafordistributionofcostswiththeJointPowers
Agreementistroublesomeortherearejusttoomanyunknownsrelatingtothebudgetand
governancestructure,thenCouncilshouldexploreotheroptionsforobtainingtransit
servicesforitscitizens.
D.SUPPORTINGDATA:
A.Resolution#2014-070
B.JointPowersAgreement
C.Minutesfrom6/30/14transitmeetinginSt.Michael
CITYOFMONTICELLO
WRIGHTCOUNTY,MINNESOTA
RESOLUTIONNO.2014-070
APPROVINGTHEJOINTPOWERSAGREEMENTFORPUBLICTRANSITSERVICE
THROUGHTHEWRIGHTCOUNTYAREATRANSPORTATION(WCAT)BOARD
WHEREAS,theCityofMonticellonolongerreceivespublictransitserviceupondissolutionof
theRiverRidercontractfortransitserviceseffectiveJune30,2014;and
WHEREAS,theCityofMonticellowishestocontinueprovidingpublictransportationtothe
residentsoftheCityofMonticelloinconjunctionwithotherWrightCountycities;
NOWTHEREFORE,BEITRESOLVEDBYTHECITYCOUNCILOFMONTICELLO,
MINNESOTA:
1.ThattheCityofMonticelloshallenterintoaJointPowersAgreementforpublictransit
servicethroughtheWrightCountyAreaTransportation(WCAT)JointPowersBoard.
2.ThattheMayorandCityAdministratorareherebyauthorizedtosigntheJointPowers
Agreement.
3.ThattheCityCouncilshallapproveavotingrepresentativeandanalternatetoserveon
theWrightCountyAreaTransportationBoard.
ADOPTEDBY theMonticelloCityCouncilthis28th dayofJuly,2014.
CITYOFMONTICELLO
_________________________________
ClintHerbst,Mayor
ATTEST:
________________________________
JeffO’Neill,CityAdministrator
CERTIFICATION
STATEOFMINNESOTA
COUNTYOFWRIGHT
IherebycertifythattheforegoingisatrueandcorrectcopyofResolution#2014-070
dulypassed,adoptedandapprovedbytheMonticelloCityCouncilattheirscheduledmeetingon
July28th,2014,andrecordedinminutesofsaidmeeting.
____________________________________
CatherineM.Shuman,DeputyClerk
NotaryPublic:_______________________________
Date:___________________________
(STAMP)
WRIGHT COUNTY AREA TRANSPORTATION
JOINT POWERS AGREEMENT
The parties to this Agreement are municipal corporations under the laws of the State of Minnesota and
located in Wright County, Minnesota (the parties to this Agreement are hereafter referred to
individually as a “City” and collectively as the “Cities”).
RECITALS
WHEREAS, Minnesota Statute §471.59 authorizes the joint and cooperative exercise of powers common
to the Cities.
WHEREAS, the Cities desire to provide for an agreement between and among them to establish a joint
powers board for Transportation for the purpose of providing a coordinated service delivery and funding
source for public transportation; and
WHEREAS, each City has adopted a Resolution finding that it is in the best interests of the citizens of
each City to enter into this Agreement.
NOW THEREFORE, IT IS MUTUALLY AGREED AND UNDERSTOOD AS FOLLOWS:
1. General Purpose. Pursuant to the authority of the Joint Powers Act, the Cities desire and intend
to provide affordable Public Transportation to their communities. The goal of the Cities is to provide
people in their communities with mobility and access to employment, community resources, medical
care and recreational opportunities, while reducing the impact of road congestion, travel times, air
pollution, the cost of road maintenance and repair, and energy and oil consumption for their
communities.
2. Joinder of Wright County Political Subdivisions. The undersigned Cities hereby agree to join
together for the purpose of coordinating the delivery of public transportation services and establishing a
joint funding source for said services through establishment of a Wright County Area Transportation
Joint Powers Board (“WCAT Board”). This Agreement shall become effective upon adoption of a
resolution by the governing body of no less than three Cities, and shall be binding on all the Cities who
have joined through adoption of a resolution by their respective governing bodies through December
31st, 2019, unless otherwise extended or amended by the Cities that have signed this Agreement.
3. WCAT Board Composition. Each City shall appoint annually a representative to the WCAT Board.
Each City may appoint an alternate representative who may act in the place and stead of an absent
representative from that City.
4. Funding. The WCAT Board is authorized to procure such State and Federal funding as is
available toward financing the costs of providing public transportation services for the Cities. Each City
agrees to pay a proportionate share (the “Pro Rata Share”) of the WCAT Board’s remaining unfunded
operating expenses and capital expenditures based upon the number of rides originating in the City
during the prior year as compared to the total number of rides originating in all of the Cities during the
prior year (the “Ride Share”). Each City shall also pay an annual fee to provide for the proper
operations of the WCAT Board. Each City shall pay an initial $1,000 fee to cover the WCAT Board’s
projected expenses during the first year of operation. For 2015 only, operating and capital expenses
shall be based upon the projected total number of rides during 2015 as determined by the WCAT Board
prior to January 1, 2015 and such expenses shall be allocated proportionately among the Cities with
each City paying its Pro Rata Share. Within _____days after December 31, 2015, the WCAT Board shall
perform a reconciliation of operating and capital expenses based upon each City’s actual 2015 Ride
Share, and funds shall be payable from or reimbursed to each City based upon the difference between
each City’s initial payments and reconciled 2015 Ride Share amounts. The WCAT Board may from time
to time adjust the operating and capital expenses as it deems appropriate.
5. Meetings. The WCAT Board shall meet at least annually on a schedule determined by the WCAT
Board. All meetings of the WCAT Board shall be conducted in a manner consistent with the Minnesota
Open Meeting Law, Minn. Stat. §13D.01, et. seq., as amended. Special meetings may be called by the
WCAT Board Chair or upon written request of three (3) or more members of the WCAT Board. Written
notice of any special meetings shall be sent to all WCAT Board members and to the City Clerk of each
City to comply with posting requirements.
6. Powers and Duties. The powers and duties of the WCAT Board include, but are not limited to,
expending funds for the purpose of establishing, funding, coordinating, administering and operating a
public transportation service including:
a. Apply for, receive and expend State and Federal funds available for said purpose, as well
as funds from other lawful sources, including fares, donations or gifts for the purpose of providing public
transportation services and such supplemental services deemed advisable by the WCAT Board.
b. Approve an annual budget.
c. Adopt and implement a management plan to carry out the WCAT Board’s purpose.
d. Enter into contracts with public or private entities as the WCAT Board deems necessary
to accomplish the purpose for which the WCAT Board is organized, including, but not limited to, the
hiring of any consultants.
e. Obtain such insurance as the Board deems necessary for the protection of the WCAT
Board, members of the WCAT Board, member cities, and its property.
f. Exercise all other lawful powers necessary and incidental to the implementation of
public transportation services and the purposes and powers set forth herein.
h. The WCAT Board has no authority to obtain or operate an independent transit service
without the express approval of a majority of the Cities.
i. The WCAT Board has no authority to levy taxes or issue debt for operating capital or
debt service purposes unless prior approval in writing is given by all of the Cities.
j. The WCAT Board has no authority to issue debt that exceeds the term of this
Agreement.
7. Voting. Prior to January 1, 2015, each City shall have one vote on the WCAT Board. Beginning
January 1, 2015, each City shall be entitled to one vote plus one vote per 3,000 rides originating in that
City during the previous year. Prior to the first meeting in March the Secretary of the WCAT Board shall
determine the number of votes for each City in accordance with this section and certify the results to
the Chair. A quorum shall consist of a simple majority (51%) of representatives from the Cities. A
simple majority vote of the WCAT Board members present at the meeting with a valid quorum shall be
required by the WCAT Board to take action unless otherwise provided in this Agreement or by law.
8. Officers. There shall be a chair, a vice chair, and a secretary elected from the members of the
WCAT Board at the initial meeting of each year. The officers shall be elected from different member
Cities. The WCAT Board may elect or appoint such other officers as it deems necessary to conduct its
meetings and affairs.
9. Effective Date/Termination. This Agreement shall become effective upon execution by all of the
Cities after adoption of an authorizing resolution by the City Council of each City and shall continue in
effect for Five Years after the date of execution of the last City to execute this Agreement. This
Agreement shall remain in effect until a party hereto gives notice to the WCAT Board of its intention to
withdraw. Notice of withdrawal must be given by April 1 of a given year. Termination will be effective at
the conclusion of the calendar year. This Agreement shall remain in effect as to the remaining
members provided that there are three or more members who desire to continue operating the WCAT
Board. The withdrawing member shall not be entitled to compensation or distribution of any assets of
the WCAT Board. In the event of dissolution of the WCAT Board, any property owned or held by the
WCAT Board shall be sold for fair market value. All remaining funds after satisfaction of all WCAT Board
debt, payments and other financial obligations shall be returned to the Parties in the same manner in
which the Parties contributed funding to the WCAT Board in the last full calendar year prior to
dissolution.
10. No Waiver. Nothing herein shall be construed to waive or limit any immunity from, or limitation
on, liability available to any City , whether set forth in Minnesota Statutes, Chapter 466 or otherwise.
11. Severability. If any section, subdivision or provision of this Agreement shall be held invalid or
unenforceable for any reason, the invalidity or unenforceability of such section, subdivision or provision
shall not invalidate or render unenforceable any of the remaining provisions.
12. Amendment. Any amendments to this Agreement must be in writing, signed by all of the Cities,
following approval of their respective City Councils.
13. Governing Law. This Agreement shall be interpreted in accordance with the laws of the State of
Minnesota.
14. Liability and Insurance. Each City shall be liable for its torts and the torts of its employees,
agents and consultants in undertaking its respective individual responsibilities as described in this Joint
Powers Agreement. Notwithstanding any language to the contrary, the Cities agree that liability arising
out of the activities of the WCAT Board and the Cities shall be subject to the requirements of
Minnesota Statutes §471.59, subdivision 1(b), as it may be amended. The Cities intend that the WCAT
Board be insured for its tort liability and general liability as a Joint Powers Board. Nothing herein shall be
construed to waive or limit any immunity from, or limitation on, liability available to any City, whether
set forth in Minnesota Statutes, Chapter 466 or otherwise.
15. Disputes. The Cities agree that they will submit any disputes under this Agreement to mediation
prior to resorting to an action in Court.
By signing this Agreement, the parties hereto certify that the same has been approved by their
respective City Councils.
By_____________________________________ By____________________________________
Mayor Mayor
ATTEST: ATTEST:
_______________________________________ _______________________________________
City Administrator City Administrator
By_____________________________________ By____________________________________
Mayor Mayor
ATTEST: ATTEST:
_______________________________________ _______________________________________
City Administrator City Administrator
JOINTTRANSITMEETING
CITIESOFALBERTVILLE,HANOVER,MONTICELLO,ANDST.MICHAEL
JUNE30,2014
ThecitiesofAlbertville,Hanover,Monticello,andSt.MichaelmetinajointsessiononMonday,
June30,2014,at6:00p.m.intheSt.MichaelCouncilChamberstodiscusspublictransportation
inWrightCounty.
CityofAlbertvillepresent:MayorJillianHendrickson(inat6:55p.m.);CouncilorsRobOlson,
LarrySorenson,JohnVetsch,andDanWagner;andCityAdministratorAdamNafstad.
CityofHanoverpresent:MayorChrisKauffman;CouncilorKenWarpula;andCity
AdministratorAnnitaSmythe.
CityofMonticellopresent:MayorClintHerbst;CouncilorsLloydHilgart,TomPerrault,and
GlenPosusta;CityAdministratorJeffO’Neill;andDeputyClerkCathyShuman.
CityofSt.Michaelpresent:MayorJerryZachman(inat6:25p.m.);Councilors:KevinKasel,
JoeMarx,NadineSchoen,andChrisSchumm;CityAdministratorSteveBot;andCityClerk
DianaBerning
Alsopresentwere:OtsegoMayorJessicaStockamp,WaverlyMayorConnieHolmes;Buffalo
CityAdministratorMertonAuger;TrailblazerTransitExecutiveDirectorGaryLudwig;MnDOT
OfficeofTransitDirectorTomGottfried;MnDOTOfficeofTransitProgramCoordinatorBev
Herfindahl;CrowRiverSeniorCenterDirectorVonnieWaters;CountyCommissionersMark
DaliedenandMikePotter,andseveralresidentsfromthecommunities.
ActingSt.MichaelMayorKevinKaselcalledthemeetingtoorderat6:03p.m.
Introductionsweremade.
MeetingPurpose.St.MichaelAdministratorBotreviewedtheproposedagendaandpurposeof
themeeting,statingthismeetingistoanswerquestionsaboutTrailblazerTransitandwhatitcan
offertoWrightCountycitiesaswellastohelptheCityelectedofficialsdecideiftheywantto
jointheCitiesJointPowersAgreement(JPA).TrailblazerTransitislookingforapartnerin
WrightCountyandseveralWrightCountycitieshavealreadyjoinedaJPAtoestablishaWright
CountyCitiesAreaTransit(WCAT)jointpowersboardtocoordinateandfundpublic
transportation.ThedeadlineforothercitiestojointheJPAisAugust1st.
TrailblazerTransit.GaryLudwig,theExecutiveDirectorforTrailblazerTransit,waspresent
toexplainwhatTrailblazerisandtheserviceitisproposingforWrightCountycities.Hesaid
June30th wasthefirstdayofserviceinWrightCountyanditwasasuccessfulday.Thereare
currentlythreebusesinserviceforWright,withtheplantoaddfourmorebytheendoftheyear.
LudwigsummarizedthehistoryofTrailblazerTransitandexplainedthetwoservicesthatfall
undertheumbrellaoftheTrailblazerJointPowersBoard.ThefirstisTrailblazerTransit,which
JointTransitMeetingMinutes–Page2
isaMnDOTmanagedprogramthatprovidesgeneralpublictransportationservicestoalmost
anyoneforalmostanyreasonMonday-Friday,exceptcertainholidays.TheTrailblazerTransit
serviceareaincludesthecountiesofMcLeod,Sibley,andnowWrightanduptoonemile
beyondthosecountyborders.Theserviceisdoortodoor,sothedriverwillopenthedoortothe
frontoftheresidenceanddropapersonoffatthefirstdoubledoortoanyfacility.Thesecond
serviceisSMART-RIDE,whichisanon-MnDOTmanagedprogramthatprovidesridesto
anyone,7daysaweekandwillprovidearideanywhereinthestateofMinnesota.Thefaresfor
SMART-RIDEarechargedperloadedmile.LudwigexplainedtheWrightCountyAreaTransit
JointPowersBoard(WCAT)willhavetheoptiontoparticipateinSMART-RIDEoroptoutifit
doesnotwanttoofferthatservice.(Zachmanin)
LudwigexplainedtherearecertaincriteriausedtodeterminehowthebusroutesforTrailblazer
arescheduled.Eachrouteneedstomeetminimumperformancestandards,whichincludesa
minimumnumberofridesperhour.Trailblazertriestobalancetheneedfortransitwiththecost
fortheservice.Currently,thereare14busroutesoperatingintheSibleyandMcLeodcounties,
whichhaveacombinedpopulationof45,000.Thereareabout125,000peopleinWrightCounty
andcurrentlytherearethreeroutes,withanotherfouranticipatedtobeaddedsoon.Wherever
thehighestdemandis,thatiswherethebuseswillbescheduled.
MonticelloMayorHerbstaskedwhythereisthedelayinaddingthefouradditionalroutes.
LudwigstatedTrailblazerisintheprocessofhiringadditionalstaffandmaintainingthebuses
thatwerereceivedfromRiverRider.Newcameras,radios,andsecuritysystemsneedtobe
installedandtheyneedtobere-lettered.EverythingtakestimeandTrailblazerisworkingas
quicklyasitcantohavethosebusesfunctionalandontheroad.Herbstsaiditistotallywrong
thatitishappeningthiswayandthatthereisthedelay.LudwigexplainedtheTrailblazerboard
ofcommissionersandMnDOTstaffarewatchingtheprocesstomakesureeverythingisdone
correctly.
Next,Ludwigwentoverthebudgetstructurewiththegroupandexplainedwherethefundingfor
Trailblazercomesfrom.MnDOTpersonnelworkwithTrailblazerstafftocomeupwithan
approvedbudgetamount,andthenperstatestatute,85%oftheapprovedbudgetiseligiblefor
fundingthroughMnDOT.Trailblazercanapproveanannualbudgetamountovertheamount
approvedbyMnDOT,butonly85%oftheapprovedMnDOTbudgetiseligibleforthefunding.
Anyadditionalamountiscoveredbyridership,servicecontracts,orlocal(countyorcity)
government.(Hendricksonin.)TheTrailblazerboardhasanagreementinplacewhereany
budgetunderageissplitbypercentagebetweentheparticipatingentitiesthatmakeuptheboard.
For2015,withtheadditionofWCAT,theproposedsplitwilllikelybe25%SibleyCounty,25%
WrightCounty,and50%McLeodCounty.
Ludwigansweredquestionsofthegroup.Thelong-termvisionwouldbetorevisitWright
Countyoperatingthisservicein3-5years,withtheWCATJPAbeingdissolved.Thecostinthe
budgetiscapitalandoperatingcosts.ItwasalsoexplainedthatWCATwouldberesponsiblefor
JointTransitMeetingMinutes–Page3
100%ofthecostsforbeingaddedtotheprogram.Thebudgetfor2015hasnotbeendetermined
yetandTrailblazerisworkingwithMnDOTtocomeupwithanapprovedbudgetthatincludes
WrightCounty.Howthe25%portionfromWrightCountyispaidwouldbedependentonhow
theWCATJPAissetup.TrailblazerhasacontractinplacetotakecareoftheFunctional
IndustriescontractsinWrightCounty,buttheyarelookingforapartnerinWrightCounty.
TherewasdiscussionaboutserviceforcitiesnotincludedintheWCATJPA.Itwouldbeupto
theTrailblazerboardtodeterminehowtheservicewouldcontinue.OnceWCATjoins
Trailblazer,theboardwillbesplitwith2membersofSibleyCounty,2membersofMcLeod
County,and2membersofWCAT.Itcouldbethatforresidentsincitieswhoarenotpartof
WCAT,theywouldhavetopaythepublishedfaretoridethebusandwouldnotgetthe
subsidizedfeeormaynothaveserviceatall.
Aquestionwasaskedwhatthelocalsharefor2014isanditisestimatedthat$300,000willbe
neededtocoverthelocalshare;SibleyCountywillpay$101,000andMcLeodCountywillpay
$202,000.ThereisconsiderablegrowthforpublictransportationinWrightCounty,butifthings
donotworkout,WCATwillalwayshavetheoptiontooptoutoftheservice.IfWrightCounty
HumanServicesworkswithTrailblazerfortransportation,itwouldbebilledthepublishedrate
whichis$12/ride.Thatisthenon-subsidizedrate,butitisstilllessthanwhatWrightCountyis
currentlypaying.
MnDOTOfficeofTransit.TomGottfriedandBevHerfindahlwithMnDOTwerepresentto
answerquestionsregardingtheprogrammingandfundingfortransit.GottfriedsaidAugust31st
istheapplicationdeadlineforsubmittingabudgettoMnDOT,whichislikelywhythereisthe
August1st deadlineforcitiestojointheJPA.Herfindahlansweredquestionsaboutpartnerships
betweencitiesandcounties.Trailblazerhasofferedtochangethedynamicofitsboardtomake
sureWrightCountyisafullpartnerofthesystem.Thereisa$150,000buy-intotheprogram
thatprovidesworkingcapital.MnDOThasbackedthe$150,000buy-inforWrightCountyand
WCATwouldhaveuptofiveyearstopaybackthatamount.Ifthereisanymoneyremaining
afterRiverRideriscompletelydissolved,itwouldbeputtowardthe$150,000;although,itisnot
anticipatedtherewillbemuchleftafterunemploymentbenefitsandauditfeesarepaid.
ThegroupdiscussedtheincentiveforSibley&McLeodcountiestobewillingtopartnerwith
WrightCounty.ItwasexplainedtheeconomyofscaleswouldbeworkinginTrailblazer’sfavor.
TherewouldnotbeahugeamountofaddedadministrativestafftocoverWrightCountyandthe
othercountiesfeeltherewouldbebenefitstoexpandingtheprogramtocovermoreareaand
population.Gottfriedsaidpublictransportationisnotrequired,butifthereispublictransit
offered,thereneedstobealocalpartnerandthereareanumberofrequirementstofollow.It
wouldbeuptotheTrailblazerboardtodeterminethebudgetandhowtospendthemoney,which
for2015wouldincluderepresentationfromthosecitiesthatarepartofWCAT.
WrightCountyCitiesAreaTransitJointPowersAgreement.MertonAugerfromBuffalo
andConnieHolmesofWaverlywerepresentastherepresentativesoftheWCATJPA.They
JointTransitMeetingMinutes–Page4
revieweddetailsoftheJPAwiththegroupandansweredquestions.Itwasstatedtheformulafor
providingthenecessarylocalsharewouldbebasedontheridesoriginatingineachofthecities
participatinginWCAT.Itwillbefairandequitableforeachofthecities.Therearecurrently
eightcitiesthathavejoinedWCATandthedeadlineforothercitiestojoinisAugust1st.After
August1st,thecitiesparticipatinginWCATwillcreateaboardanddeterminetwo
representativestobeontheTrailblazerboard.Itwasmadeclearthatcitiesthatwerenotpartof
theJPAwouldnothavetheirtransitneedsprioritizedandmaynotreceiveanytransitserviceat
all.ThecitieswereencouragedtodiscusstheJPAateachoftheirnextcouncilmeetingsto
decidewhethertojoinornot.
Afterbriefadditionaldiscussion,themeetingwasadjournedat8:46p.m.
Attest:
_____________________________________________________________
CityClerkMayor