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City Council Minutes 07-24-1989MINUTES REGULAR. MEETING - MONTICELLO CITY COUNCIL Monday, July 24, 1989 - 7:00 p.m. Members Present: Warren Smith, Shirley Anderson, Fran Fair, Dan Blonigen Members Absent: Ken Maus Acting Mayor: Fran Fair 2. Approval of minutes. After discussion, Shirley Anderson asked that references to Council agreement with the Planning Comnission decisions regarding certain variances associated with item 5 should be modified. Staff understanding of tacit agreement between Planning Coimnission and City Council should not be included in literal terms in the minutes. Motion was made by Shirley Anderson, seconded by Dan Blonigen, to approve the minutes of the regular meeting held July 10, 1989, as amended. Motion carried unanimously. 3. Citizens convents/petitions, requests, and complaints. None forthcoming. 4. Consideration of granting an increase in the individual pension for the Volunteer Firefighter Relief Association members. City Administrator Wolfsteller reported that he had reviewed the Relief Association computations, and it appears that the state aid received by the fire department will continue to provide sufficient income to support the fire department requested increase from $975 to $1,075 per year. Wolfsteller stated that he had no objection to the increase being granted as long as the City Council realizes that there are no guarantees that state aid or investment earnings will continue at the present level. Wolfsteller reminded Council that if state aid is removed or if the investments do not earn revenue as expected, the City would be required to utilize tax levies to support the pension. Shirley Anderson asked why the City determines the increase in pension if the money comes from the state. Wolfsteller responded by saying that the City is responsible for paying the pensions with or without state money. If the state legislature decides to withdraw the pension funding, then the City must pay the amount necessary to support the pension program. It was Blonigen's view that the pension fund should be at a level to where the fire department could raise sufficient pension funding on its own. Shirley Anderson questioned the Monticello firefighters present. She asked the firefighters if their state organization is capable of lobbying the legislature for continued pension support. Dave Kranz noted that the firefighters are capable of providing significant pressure on the state legislature in order to maintain the existing pension 1 Council Minutes - 7/24/89 funding level. Fran Fair mentioned that the word needs to get out that the City does not contribute tax dollars to the Relief Association and that the present pension fund is subsidized entirely by state funding. Warren Smith mentioned that the risk of losing the state pension fund subsidy is small and not a big enough reason to object to the proposed increase. Motion was made by Warren Smith, seconded by Shirley Anderson, to grant an increase to $1,075 per year. Voting in favor of the motion: Warren Smith, Shirley Anderson, Fran Fair. Opposed: Dan Blonigen. 5. Consideration of final payment for Project 88-07 (Markling). City Engineer and staff recomended that Council authorize final payment to Birchfield Construction in the amount of $5,524.09. Simola noted that the major portion of the project was completed in late fall of 1988. Recently, Birchfield Construction completed the restoration on the project, and the City Engineer has recoimnended final payment. After discussion, motion was made by Dan Blonigen, seconded by Warren Smith, to approve final payment for Project 88-07 in the amount of $5,524.09 to Birchfield Construction. Motion carried unanimously. 6. Consideration of strategy for development of marketing/promotional materials. Assistant Administrator O'Neill reviewed four alternatives for development of a marketing and promotional material design strategy for the City of Monticello. O'Neill noted to Council that the City has made significant investments toward development of Monticello as an inviting place for coimnercial and industrial prospects, yet very little has been done to market the coimnunity to business prospects. Dan Blonigen mentioned that the City has expended funds towards economic development without concrete evidence that a positive result has occurred. Warren Smith noted that the need exists for an improved package for promoting Monticello. Smith suggested that the City utilize the services of Henning & Associates towards development of such a package. Smith also noted that he saw no reason to shop around for other consultants, as Henning & Associates has done fine work for the City in the past and was selected for the logo project in part because of their strong advertising background. Smith saw no reason to shop around for consultants, as the City has already conducted a selection process which resulted in Henning & Associates being selected for development of the City logo. Smith saw no reason to repeat the selection effort. Fran Fair noted that the logo project worked out well and that Henning & Associates should be retained for this project. Shirley Anderson had no objections to City expenditure of budgeted funds for this purpose. However, she did ask for a proposal from Henning & Associates which outlines alternatives ranging from $8,000 to $16,000, including printing costs. After discussion, motion was made by Warren Smith, seconded by Fran Fair, to authorize Henning & Associates to prepare alternative proposals for development of a marketing program and information and promotional materials. Proposal should range from cost of $8,000 to $16,000 including printing costs. Voting in favor: Fran Fair, Warren Smith, Shirley Anderson. Opposed: Dan Blonigen. 2 Council Minutes - 7/24/89 7. Consideration of establishing policy on sale of Oakwood Industrial Park Second Addition lots. City Administrator Wolfsteller sought guidance froin Council regarding terms of sale for the recently developed industrial properties owned by the City. Wolfsteller suggested that the City could improve its ability to market the property by utilizing contract for deed financing. After discussion, motion was made by Shirley Anderson, seconded by Dan Blonigen, to establish a policy for sale of City owned lots which would allow sale to occur under contract for deed terms which would include a minimum of 25 percent down, with the interest rate adjustable based on the current market rate. Motion carried unanimously. 8. Consideration of authorization to pursue land negotiations with Bridge Water Telephone Company. Staff informed Council of Bridge Water Telephone Company's desire to alter their present cold storage facility located on West County Road 9 across from the City maintenance building property. Bridge Water Telephone had expressed an interest in possibly upgrading their present cold storage metal building and also expanding the facility to house indoors more of their telephone equipment. Bridge Water's property is currently zoned PZM and is considered a legal non -conforming use. But the facility would not be eligible for enlargement or modification without an ordinance amendment being enacted to allow expansion of a cold storage facility within the PZM zone. Wolfsteller reported that in light of this possible expansion, the City has made initial contact with Bridge Water concerning a possible relocation of their facility to a proper zoning district such as the Oakwood Industrial Park property owned by the City. Although staff has made only initial inquiries, there may be some interest on Bridge Water Telephone's part in the idea of relocating their facility to the industrial park property. Wolfsteller reported that staff is in the process of preparing a proposal to Bridge Water that would point out the benefits of Bridge Water relocating to the industrial park and possible benefits to the City of acquiring their present property. Under this scenerio, Bridge Water would have more land available for expansion in the future, and it would be located in the proper zoning district. City acquisition of the former Bridge Water property would provide the opportunity to develop a more suitable use for the property. After discussion, motion was made by Warren Smith, seconded by Shirley Anderson, to pursue discussions with Bridge Water regarding a potential land exchange which would result in Bridge Water Telephone storage area relocating to the Oakwood Industrial Park and result in City acquisition of the existing Bridge Water property. Motion carried unanimously. 9 Council Minutes - 7/24/89 9. Consideration of bills for the month of July. Motion was made by Dan Blonigen, seconded by Warren Smith, to approve payment of bills as submitted for the month of July. Motion carried unanimously. 10. Other matters. John Simola provided a status report on the development of the new standpipe water reservoir. Simola outlined a map of the City which outlined the expected water pressure levels throughout the City. Simola noted that the Public Works Department plans on increasing the water pressure slowly and that the initial boost in pressure will be set at 9 to 10 pounds. There being no further discussion, the meeting was adjourned. Respectfully submitted, Teff O'Neill Assistant Administrator 4