City Council Minutes 08-26-1991MINUTES
REGULAR MEETING - MONTICELLO CITY COUNCIL
Monday, August 26, 1991 - 7:00 p.m.
Members Present: Shirley Anderson, Ken Maus, Dan Blonigen,
Clint Herbst
Members Absent: Brad Fyle
2. Approval of minutes.
After discussion, a motion was made by Shirley Anderson and
seconded by Dan Blonigen to approve the minutes of the regular
meeting held August 12, 1991, as submitted. Motion carried
unanimously.
3. Citizens comments/petitions, requests, and complaints.
None forthcoming.
4. Consideration of resolution authorizing and awarding the sale
of $515,000 G.O. improvement bonds, Series 1991A, for the
Fallon Avenue, Cardinal Hills, and Briar Oakes Estate
improvement projects.
Assistant Administrator O'Neill reported that the City
received bids on the sale of $515,000 G.O. improvement bonds.
The proceeds of this sale will be used to finance the Cardinal
Hills, Fallon Avenue, and Briar Oakes Estate improvement
projects which are currently underway.
Jerry Shannon of Springsted, Inc., provided a summary of the
bids received and recommended that the City Council award the
sale of bonds to Dain Bosworth, Inc., at a net interest rate
of 5.7264%. Shannon informed Council that the interest rate
bid by Dain Bosworth, Inc., was almost half of a percent less
than was projected. During the past few days, the market has
been drifting down, and the City was fortunate to benefit from
this situation.
After discussion, a motion was made by Dan Blonigen and
seconded by Clint Herbst to adopt a resolution awarding the
sale of bonds to Dain Bosworth, Inc., at a net interest rate
of 5.7264% and at a net cost of $128,822. Motion carried
unanimously. SEE RESOLUTION 91-28.
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Consideration of a resolution adopting a proposed preliminary
1992 budget and setting a proposed tax levy.
Mayor Maus reviewed Rick Wolfsteller's staff report and noted
that the proposed tax levy submitted by staff will result in
a 1.3% increase over the 1992 tax levy. Adoption of the
budget at this time allows the City to comply with the Truth
in Taxation Law.
Dan Blonigen noted that it makes sense to adopt the
preliminary budget as proposed and set a proposed tax levy as
suggested. The increase is not that great.
Due to the bond sale of Series 1991A, $2,097 will need to be
added to the levy for 1992. As a result, the total levy to be
certified was adjusted to $2,791,263.
After discussion, a motion was made by Dan Blonigen and
seconded by Shirley Anderson to adopt a proposed preliminary
budget and set a proposed tax levy as follows:
Revenue
General $11442,170
Library 29,236
OAA 30,075
HRA 13,100
Tree 26,825
Transportation 17,688
Debt Retirement
Debt service funds $ 981,907
Capital Improvements
Capital imp. revolving $ 250,262
TOTAL PROPOSED TAX LEVY $2,791,263
SEE RESOLUTION 91-29.
Consideration of a request by a group of citizens to adopt
East Bridge Park. Request includes development of an
arboretum.
Assistant Administrator O'Neill informed Council that the
Parks Commission received a request from Georgia Gould, Robert
Doty, Mary Hook, Bud and Virginia Hinniker, Pat Fair, and
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Fran Fair. The group proposes that the City Council allow
them to develop a landscape arboretum at East Bridge Park.
This request does not fall under the Adopt -a -Park Program
because it includes a proposal to make significant changes to
the existing park.
In the proposal submitted by the group, all shrubs or other
plantings associated with the arboretum would be provided
entirely by private donations. All maintenance of the shrubs
would also be done by the group. O'Neill also noted that a
few boxelder trees may need to be removed by City crews to
make room for the arboretum, and the City may need to supply
a small amount of wood chips that we now have in storage.
Dan Blonigen noted that he may support the concept of
establishing a landscape arboretum at East Bridge Park;
however, before he votes in approval, he would like to see a
detailed outline of what the arboretum will actually include.
He also recommended that the City develop guidelines which
address issues associated with private improvements made to
city parks.
Ken Maus noted that the group plans on providing several
hundred dollars worth of raw product and considerable labor in
an effort to beautify a city park. He also noted that he
would like planting detail. He concurred that guidelines
would be helpful to establish expectations between the City
and the group making the private donation.
Shirley Anderson and Clint Herbst both noted that they support
the concept of development of the arboretum. Anderson stated
that we should have some rules governing each project
completed on public property.
After discussion, a motion was made by Shirley Anderson and
seconded by Clint Herbst to approve the general concept of
development of a landscape arboretum at East Bridge Park;
however, final approval is to be withheld until further detail
regarding the landscape planting is submitted and until
guidelines outlining the City's policy are established which
govern this type of use of a public park. Motion carried
unanimously.
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7. Consideration of contracting with the League of Minnesota
Cities "personnel project" to achieve compliance with pay
equity requirement.
Assistant Administrator O'Neill informed Council that the City
must comply with the pay equity act by December 31, 1991, or
face stiff penalties. According to the League of Minnesota
Cities, our existing pay equity plan and pay equity practice
now in place may not comply with state pay equity law passed
in 1984 and updated in 1990. According to the amendments to
the Local Government Pay Equity Act adopted by the state
legislature in 1990, local governments must establish equity
compensation relationships to the satisfaction of the
Commissioner of the Department of Labor by the end of this
year. The penalty for non-compliance is a 5% reduction in
local government aid or $100 per day penalty, whichever is
greater.
O'Neill went on to request that Council authorize the City to
enter into a contract with the League of Minnesota Cities for
assistance in development of a pay equity plan that will be
acceptable to the Minnesota Department of Employee and Labor
Relations. O'Neill noted that based on our discussion with
LMC representatives, it is City staff's view that the League
of Minnesota Cities' staff that would be involved in the
project have the expertise and abilities necessary to assist
us in achieving compliance with pay equity law. In terms of
cost, it is likely that the administrative staff time saved by
using the League personnel services will offset the $4,370 fee
charged by LMC and will result in a superior pay equity plan.
Ken Maus noted that he supports the concept of utilizing the
League of Minnesota Cities services to assist the City in
development of the pay equity plan. He went on to say that
utilizing the services of an experienced third party will
assure objectivity and result in a plan with increased
credibility.
After discussion, a motion was made by Shirley Anderson and
seconded by Dan Blonigen to enter into a contract with the
League of Minnesota Cities for the purpose of developing the
City's pay equity plan at a contract amount of $4,370. Motion
carried unanimously.
8. Consideration of proposals for demolition or removal of the
O.G. Bland house for City Hall parking lot expansion project.
Assistant Administrator O'Neill informed Council that two bids
had been submitted for demolition of the 0. G. Bland house for
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the City Hall parking lot expansion project. The lowest bid
was submitted by Schluender Construction Company in the amount
of $2,445.
After discussion, a motion was made by Dan Blonigen and
seconded by Shirley Anderson to award the bid to Schluender
Construction Company in the amount of $2,445. Motion carried
unanimously.
9. Consideration of design and cost estimates along with the City
being the general contractor for remodeling of the
information/Chamber building.
City Council reviewed the staff report submitted by John
Simola outlining options for remodeling of the information/
Chamber building. Council reviewed the scope of the project
and had questions regarding the estimated project cost of
$41,421.
Dan Blonigen noted that he had a real problem in spending
$40,000 to make the information center usable. If we do this,
we need a strong commitment from the Chamber of Commerce to
pay back this cost.
Ken Maus concurred that $40,000 is a large amount to spend on
the structure. He noted that a major portion of that cost is
associated with replacing the two public restrooms on the
corner. He asked Council whether or not these restrooms are
really necessary.
Roger Mack noted that there are a few things that could be
done to reduce the cost. For instance, the water cooler could
be removed, and the phone could be relocated.
After discussion, a motion was made by Shirley Anderson and
seconded by Dan Blonigen to table approval of remodeling the
information center until two more alternative plans are
prepared. Alternative plan #1 would include removal of the
public restrooms from the site, provide a single bathroom in
the remodeled facility, provide the option for future public
restrooms, place the telephone on the outside wall, and remove
the water cooler. The second alternative would be to retain
the basic design but scale down the design to achieve a
reduced cost that is not to exceed $30,000. Motion carried
unanimously.
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10. Update on City Hall parking lot expansion.
Roger Mack reported that City staff has been looking at
alternate ways to construct the City Hall parking lot
expansion. Mack noted that the estimated cost for the
construction of the lot expansion, including lighting and
repairs to the telephone and electric conduit, is $14,666. To
replace the rest of the parking lot paving at this time would
cost an additional $4,152 for a total of $18,819.
In addition, Mack informed Council that they need to decide if
they want the entire surface replaced at this time. Staff
recommendation is that the entire parking lot be replaced, as
much of the old surface is worn and will need replacing in the
near future, and the savings associated with doing only the
new portion of the parking lot is nominal.
After discussion, a motion was made by Shirley Anderson and
seconded by Dan Blonigen to obtain additional cost
information. Staff was directed to obtain an estimate of the
cost to complete the project as general contractor with the
old asphalt surface completely replaced and to get another
quote with the old surface left in place. Motion carried
unanimously.
11. Consideration of setting average quarterly winter sewer use
for residential customers who do not use metered city water.
In his staff report, John Simola noted that for the past
several years we have utilized a somewhat arbitrary figure of
$10 per person per quarter for sewer usage for households
which are not serviced by city water but are served by city
sewer. In order to determine the accuracy of this arbitrary
figure, City staff did a study of approximately 50 families to
determine the average sewer usage per person during the winter
months. The winter sewer usage sets the sewer bill for the
entire year.
Simola went on to note that based on this information, it
appears that the average water usage per quarter per person
during winter is 700 cubic feet. He asked Council to
authorize the City to use this figure times the applicable
sewer rate to determine the billing for those households
without water meters. In addition, this figure would also be
used to calculate the first billings for people moving into a
home when no history of usage is available.
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After discussion, a motion was made by Dan Blonigen and
seconded by Clint Herbst to authorize City staff to use the
average consumption of 700 cubic feet per person per quarter
to determine domestic sewer use for those properties that have
city sewer but unmetered private water. Motion carried
unanimously.
12. Consideration of a resolution entering into an agreement with
Wright County for construction of a traffic signal at the
intersection of CSAH 75, CSAH 39, and CH 118.
In his staff report, John Simola noted that the state has
accepted the signal justification study with a slight
modification. Wright County is thereby authorized to use
municipal state aid funds on the project and is, therefore,
willing to go ahead with the installation. The county has
requested that the City use OSM to design and inspect the
traffic signal project.
The current funding policy would pay for one-half of the
project cost estimated at $80,000 for construction, $8,800 for
engineering, including the justification report, and $4,000
for inspections for a total estimated project cost of $92,800.
Our share of the project would be $46,400, but it is possible
that the cost estimates could change during design, bidding,
and construction phases. The funds for this project were to
be taken from the capital outlay fund. Our share was
originally estimated at $35,000. In all reality, the project
would not be completed until early 1992, and we could budget
additional funds in 1992 to cover the budget shortfall.
Clint Herbst noted that it's better to install the signal now
than wait for an accident to happen that could claim someone's
life.
After discussion, a motion was made by Shirley Anderson and
seconded by Dan Blonigen to adopt a resolution adopting an
agreement with Wright County for construction of a traffic
signal at the intersection of CSAR 75, CSAH 39, and CH 118.
Motion carried unanimously. SEE RESOLUTION 91-30.
13. Consideration of bills for the month of August.
Motion was made by Shirley Anderson and seconded by Dan
Blonigen to approve the bills for the month of August as
presented.
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14. Other matters.
Shirley Anderson suggested that the issuance of a $25
recycling prize every quarter is probably not resulting in
additional recycling participation.
After discussion, a motion was made by Shirley Anderson and
seconded by Clint Herbst to end the practice of providing the
recycling prize as of the end of 1991. Motion carried
unanimously.
Ken Maus noted various areas in the operation of the municipal
liquor store that need attention. At the end of his review,
Maus noted that City Council or staff needs to provide more
consistent feedback to the liquor store manager, and he
suggested that the operation could be improved by hiring an
assistant manager. Maus noted that 60% to 75% of the sales at
the store are completed after 4:00 when the manager is not
there. It makes sense to have a night manager available
during peak times.
Clint Herbst concurred that the idea of having an assistance
manager during the evening is a good one. It makes sense to
have an authority figure there supervising the operation.
It was the consensus of Council that the City should seriously
consider hiring an assistant manager at some point in the near
future.
There being no further discussion, the meeting was adjourned.
Jeff O'Neill
Assistant Administrator
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