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City Council Minutes 07-23-2018 SpecialMINUTES SPECIAL MEETING — MONTICELLO CITY COUNCIL Monday, July 23, 2018 — 5 p.m. Academy Room City Hall - Monticello Community Center Present: Brian Stumpf, Jim Davidson, Bill Fair, Charlotte Gabler, Lloyd Hilgart Absent: None Others: City staff: Jeff O'Neill, Wayne Oberg, Matt Leonard, Shibani Bisson, Rachel Leonard, Jim Thares, Tom Pawelk, Tracy Ergen, Angela Schumann, Jeff O'Neill, Sarah Rathlisberger, Ann Mosack, Tom Moores, Ron Hackenmueller Others present: Martha Ingram, Kennedy -Graven 1. Call to Order Mayor Brian Stumpf called the special meeting to order at 5 p.m. 2. Budget Discussion Wayne Oberg, Finance Director, gave a presentation which began with a review of the debt service levy and CIP priorities. Critical budget dates of September 10 and 24 and December 10 were noted for preliminary and final levy and budget adoption. CIP priority for projects are based on rating of Priority 1 — imperative, Priority 2 — essential, and Priority 3 — important. Some projects are delayed due to their priority. Mr. Oberg commenced discussion on two possible revenue sources: local option sales tax and storm water fee. A local sales tax can be used to fund a specific capital improvement but must be approved at a general election and by the legislature. In addition, the council must approve a resolution 90 days prior to the election. The recommended half cent sales tax would generate approximately $1.2 million per year. There was discussion on the benefits and risks of a sales tax. It was Mr. Oberg's recommendation to not bond for entire project up front, as there are operation and maintenance costs that will arise if the project is built out right away. Those additional costs would be covered by property tax levy. Councilmember Gabler spoke in support of a referendum and letting the voters decide. Councilmember Fair concurred. Mayor Stumpf expressed concern because the council was just now receiving the information. He also is concerned about future operational costs that will follow if the park is built out. Wayne Oberg also presented the revenue option of a storm water utility fee. This fee covers R & M of ponds and sewers, street cleaning, and management. Per the state the city is responsible for stormwater management. Matt Leonard, Engineer/Public Works Director, stated that the stormwater fee allows the city to institute a fund to help cover the costs of managing the stormwater and keeping clean the streets, ponds, etc. The fee would be based on the impervious service of the property. Mayor Stumpf questioned whether it was another utility fee. Mr. Leonard concurred. The Finance Director and Engineer/Public Works Director will provide information on the stormwater fee to the council corresponding prior to the adoption of the fee schedule. City Council Special Meeting Minutes —July 23, 2018 3. Budget Workshop Ann Mosack, Community Center Director, presented the budget highlights for the Community Center. Highlighted changes include membership, rental, and activity fees increasing 5% and daily user fees 18.5%. MCC capital expenditures are anticipated to be approximately $295,000. These improvements include: Terrazo flooring repair; waterslide replacement; restroom partition replacement; landscaping; locker room flooring; MCC main sign replacement; recreation equipment; tables and chairs; and childcare countertop replacement. Tracy Ergen, Human Resource Director, presented the department's budget highlight. Ms. Ergen noted that her budget included a compensation study with an estimated cost of $18,000. 4. Adjournment By consensus the meeting was adjourned at 6:20 p.m. Recorder: Jennifer Schreiber X�� Approved: Attest: tViWIministrator City Council Special Meeting Minutes —July 23, 2018