City Council Minutes 12-11-2006
Council Minutes: 12/11/06
MINUTES
REGULAR MEETING - MONTICELLO CITY COUNCIL
Monday, December 11, 2006 - 7 p.m.
Members Present:
Clint Herbst, Wayne Mayer, Tom Perrault, Glen Posusta and Brian Stumpf.
Members Absent:
None
1. Call to Order and Pled2e of Alle2iance
Mayor Herbst called the meeting to order at 7 p.m. and declared a quorum present. The
Pledge of Allegiance was said.
2A. Approve minutes of November 27. 2006 Special Council Meeting:
BRIAN STUMPF MOVED TO APPROVE THE MINUTES OF THE NOVEMBER 27, 2006
SPECIAL COUNCIL MEETING. TOM PERRAULT SECONDED THE MOTION.
MOTION CARRIED UNANIMOUSLY.
2B. Approve minutes of November 27. 2006 Reu:ular Council Meetin2
Wayne Mayer noted a clarification on Page 12. The minutes read: "Wayne Mayer and Glen
Posusta felt the School Boulevard project should be done first." Wayne Mayer said it should
be added to the minutes that since $30,000 ofthe $66,391 of project cost was already paid, he
felt the project should go forward and Glen Posusta agreed.
On page 13 under Added Items: Bond Issue,Wayne Mayer asked that it be added to the
minutes that Mr. LinDell wanted the City to wait for private enterprise to offer this service.
Glen posusta noted that the date for the hearing on the 2007 fee schedule should be December
11, 2006 not 2007.
TOM PERRAULT MOVED TO APPROVE THE MINUTES OF THE NOVEMBER 27,
2006 REGULAR COUNCIL MEETING WITH THE CORRECTIONS NOTED. GLEN
POSUST A SECONDED THE MOTION. MOTION CARRIED UNANIMOUSLY.
3. Consideration of addinu: items to the au:enda.
The following items were added to the agenda: 1) Accept donation of land to the City from
Brad Larson; 2) Designate three members ofthe Council to serve on the Task Force for the
Comprehensive Plan Update; 3) Updates on a)Revenue Stabilization Agreement with Xcel,
b)YMCA, c) Kjellberg accessory building and enforcement of code and d)DMV update;
4) Update on fiber optics; 5) Parking lot lights at Denny Hecker and 6) Need for a special
meeting in December.
4. Citizens comments. petitions. reauests and concerns.
No one spoke under citizens comments.
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5. Consent Ae:enda:
A. Consideration of ratifying hires and departures for MCC. Recommendation: Ratify
hires and departures as identified.
B. Consideration of approving fund transfers for 2006. Recommendation: Approve
fund transfers for 2006.
C. Consideration of approval ofwine/3.2 beer license for Cornerstone Cafe and Catering.
Recommendation: Approve wine/3.2 beer license for Cornerstone Cafe and Catering
for the period January 1, 2007 through June 30, 2007 contingent upon payment of
license fee.
D. Consideration of City maintaining public streets for Hillside Farms 3rd and 4th
Additions. Recommendation: Accept maintenance responsibilities for public streets
in the Hillside Farms 3rd and 4th Additions, Projects No. 2004-22P and 2004-23P
subject to installation of street name signage.
E. REMOVED.
F. REMOVED.
G. Consideration of accepting quotes for replacement of furnace at Fire Hall.
Recommendation: Approve the removal of existing furnaces and air conditioners
and replace with single unit with staff reviewing the quotes to determine the best
replacement option.
H. Consideration of approving a request for preliminary and final plat approval for the
Carver Plat. Applicant: Tom Parker. Recommendation: Approve the preliminary
plat and final plat ofthe Carver Plat, a three lot residential subdivision subject to a
finding that the proposed use is consistent with the intent of the R-l, Single Family
Residential District and the Comprehensive Plan.
1. Consideration of authorizing WSB to assist the City in preparing the Stormwater
Pollution Prevention Program. Recommendation: Authorize the City Engineer to
utilize WSB's services to prepare the City's Stormwater Pollution Prevention Program
(SWPPP) and MS4 permit application.
J. Consideration of approving a request for Development Stage Planned Unit
Development for the proposed expansion ofthe St. Benedict's Senior Community.
Applicant: CentraCare/St. Benedict's Senior Community. Recommendation:
Approve the Planned Unit Development for St. Benedict's based on a finding that the
proposed uses are consistent with the intent ofthe original pun and the R-3 District,
subject to 1) The width of the fire access lane being subject to the approval of the City
Fire Marshall and 2) The applicant shall be required to revise the site plan to meet all
recommendations of the City Engineer as noted in the Council agenda item.
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K. Consideration of approving Change Order #1 for Xcel Ballfield Fencing and
consideration of final payment on City Project No. 2006-19C. Recommendation:
Approve Change Order No. I for Xcel Ballfield Fencing Project deducting $964.35
from the final payment to Oberg Fence and to authorize final payment to Oberg Fence
in the amount of$13,935.90 for a total project cost of$18,902.65 for City Project No.
2006-19C.
L. Consideration of approving liquor providers for the Monticello Community Center for
2007. Recommendation: Approve the following liquor providers for the
Community Center for 2007: Classic Catering by RJ's, Crostini's Grille, Flaming June,
Geez Sports Bar & Grill and Russell's on the Lake.
M. Consideration of final acceptance for Hunters Crossing Addition and Hunters
Crossing 2nd Addition, City Project No. 2004-35P. Recommendation: Acceptance
of the public improvements for Hunters Crossing and Hunters Crossing 2nd Addition
subject to receipt of required documentation.
N. Consideration of approving final payment and accepting improvements for School
Boulevard (Deegan Avenue to Redford Lane) Street and Utility Improvements, City
Project No. 2005-02C. Recommendation: Accept the improvements for School
Boulevard (Deegan Avenue to Redford Lane), City Project No. 2005-02C and
authorize final payment of$92,213.82 to Randy Kramer Excavating, Inc. subject to
receipt of required paperwork.
O. Consideration of approving a job description and authorization of advertising for the
position of City Finance Director. Recommendation: Approve the job description
for City Finance Director at Grade 16 with a pay range of$58,796 to $76,535 and
authorize advertisement of the position.
P. Consideration of approving a request for extension of an Interim Use Permit for an
existing facility for open and outdoor sales in a B-3 District. Recommendation:
Approve the application for renewal of the existing Interim Use Permit subject to all
conditions of the original Interim Use Permit, based on the finding that the proposed
use will not interfere with the City's long range objectives of encouraging high quality
development in the area due to the temporary nature of the permit and subject to the
applicant providing a $15,000 letter of credit to assure updating of site to meet code at
the end of the 30 month period if necessary.
Q. NO ACTION REQUESTED - This item to be considered at the January 22, 2007
Council Meeting. Consideration of approving an amendment to the Monticello
Zoning Ordinance, Section 3-3 [F] regulating front yard setback averaging. Applicant:
City of Monticello.
R. Consideration of accepting donation of land from Brad Larson to the City of
Monticello. Recommendation: Accept the donation of land from Brad Larson.
BRIAN STUMPF MOVED TO APPROVE THE CONSENT AGENDA CONSISTING OF
ITEMS 5A, 5B, 5C, 5D, 5H, 5J, 5M, 5N, 50 AND SR. WAYNE MAYER
SECONDED THE MOTION CARRIED UNANIMOUSLY.
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6. Consideration of items removed from the consent a2enda for discussion.
#56: Replacement of Furnace at Fire Hall: Wayne Mayer questioned the reference to lowest
responsible bidder and expressed concern bout the inspections department being the one to define
lowest responsible bidder. Because the bids were not bidding like items, Clint Herbst stated it was
difficult to compare the bids. Tom Scott said on anything that is under $10,000 the City could do a
direct purchase and would not be required to take the lowest responsible bidder. The Council
reviewed the bids and what was included with each with Gary Anderson, Chief Building official.
Gary Anderson stated generally furnace replacement would require ductwork and fittings and he
described the existing system in place at the fire hall. Quotes were also received to replace the
existing air conditioner. The air conditioner costs ranged from $2900-$3500. Gary Anderson noted
that both the local heating companies had been contacted and submitted quotes. Tom Perrault wanted
verification that the quote was still good even though one quote said it expired on November 30th.
Gary Anderson confirmed he had talked with the contractor and the price was still good.
WAYNE MAYER MOVED TO DIRECT STAFF TO REVIEW AND SELECT THE QUOTE FOR
THE FURNACE AND AIR CONDITIONING WORK FROM THE LOWEST RESPONSIBLE
BIDDER FOR A COST NOT TO EXCEED $5,000. BRIAN STUMPF SECONDED THE
MOTION. MOTION CARRIED UNANIMOUSLY.
#51: Authorize WSB to assist in preparation of Storm Water Pollution Prevention Program:
Wayne Mayer stated that he wanted to make sure that the City Engineer was in control on this so that
he would be able to do the permit application and necessary reporting,
WAYNE MAYER MOVED TO AUTHORIZE THE CITY ENGINEER TO UTILIZE WSB'S
SERVICES TO PREPARE THE CITY'S SWPPP AND MS4 PERMIT APPLICATION. TOM
PERRAULT SECONDED THE MOTION. MOTION CARRIED UNANIMOUSLY.
#5K: Change Order #1 and Final Payment Xcel Ballfield Fencing City Project No. 2006-19C.
Glen Posusta pulled this item because he had heard that the fencing was not constructed according to
specifications and questioned why the contractor should receive the full amount of money when he
did not follow the contract. He felt the deduct should be more than the $964.35 being proposed since
the concrete work was a big portion of the contract. He added that at the time the bid was awarded,
the contractor indicated he would do the job even though he forgot to bid an item.
John Simola indicated that the contractor had omitted the mow strip on his bid proposal. The
contractor however did put the mow strip in at his own cost (approximately $5,000). The work that
was not done was that not all the posts were installed in concrete. John Simola felt that with the mow
strip in place to require the posts be put in concrete would be overkill but added it was part of the
specifications. A deduct had been negotiated with the contractor that covered the cost of the concrete
and the difference in installation costs between the two techniques for installing the posts. Glen
Posusta said that he was not concerned not so much about the quality of construction but the fact that
the contractor did not comply with specifications. Glen Posusta felt the contractor should be
complying with the specifications and he felt that the deduct should be more significant. He also
questioned whether $8/hour used in the deduct calculation was a realistic hourly wage. Wayne
Mayer stated that even though this is a minor contract, he didn't feel the specifications should be
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ignored. Glen posusta wanted to know the difference in the amount between the low bidder and
second low bidder and suggested that amount be used for the deduct amount. He also suggested the
item be tabled until there is further information. John Simola explained the amount of the deduct is
the difference between the two methods of installing the posts.
GLEN POSUST A MOVED TO TABLE THIS UNTIL THE NEXT MEETING WHEN THERE IS A
MORE ACCURATE NUMBER FOR THE AMOUNT OF THE DEDUCT. TOM PERRAULT
SECONDED THE MOTION. MOTION CARRIED UNANIMOUSLY.
#5L: Liquor Providersfor the Monticello Community Center for 2007: Wayne Mayer asked about
the state statute that require liquor providers to hold a retail license in the community or adjacent
communities. He questioned ifby adjacent the statute meant a community that physically abutted the
City of Monticello. MCC Director, Kitty Baltos stated that according to the Liquor Control
personnel, as long as it was considered a neighboring community it would be allowed even though it
wasn't physically adjacent to the City. Wayne Mayer asked that the City Attorney check on this
requirement and get something in writing from Liquor Control.
#5P: Extension of Interim Use Permit for open and outdoor sales in B-3 District Kim Holein from
Northwest Associated Consultants reviewed the request for an extension of an interim use permit for
open and outdoor sales for Denny Hecker. If approved the Interim Use Permit would be extended an
additional 30 months at which time there would either have to be a development plan for the site or
its use for outdoor sales would be abandoned. Wayne Mayer questioned whether the applicant had
submitted the $15,000 letter of credit as noted in the agenda item. Staff informed Council that the
letter of credit has been submitted.
WAYNE MAYER MOVED TO APPROVE THE APPLICATION FOR RENEWAL OF THE
EXISTING INTERIM USE PERMIT, SUBJECT TO ALL THE CONDITIONS OF THE
ORIGINAL INTERIM USE PERMIT BASED ON THE FINDING THAT THE PROPOSED USE
WILL NOT INTERFERE WITH THE CITY'S LONG RANGE OBJECTIVES OF
ENCOURAGING HIGH QUALITY DEVELOPMENT IN THE AREA DUE TO THE
TEMPORARY NATURE OF THE PERMIT AND SUBJECT TO THE APPLICANT PROVIDING
THE $15,000 LETTER OF CREDIT TO ASSURE UPDATING OF THE SITE AT THE END OF
THE 30 MONTH PERIOD TO MEET CODE, IF NECESSARY. GLEN POSUST A SECONDED
THE MOTION. MOTION CARRIED UNANIMOUSLY.
7. Public Hearin!! on adoption of ordinance seWn!! forth 2007 fee schedule.
The public hearing on an ordinance establishing City fees was set for this meeting to comply
with state statutes. The Council reviewed the proposed fee schedule. Brian Stumpf asked
about animal control as he understood that Monticello was the only city in the area that had
an animal control system. Rick W olfsteller explained that the City does have a good
enforcement program and a nice facility in place. Although it generates revenue it is not a
main revenue producing facility. It was questioned whether the fees covered the costs
incurred and it was noted that the fees should have been increased earlier. The Council also
asked about getting a report on the operations ofthe animal shelter
Mayor Herbst opened the public hearing on the proposed fee increases for 2007. There was
no one present who spoke for or against the proposed 2007 fees. Mayor Herbst then closed
the public hearing.
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Tom Perrault asked about the temporary liquor license and its fee. The temporary licenses are
usually issued to non-profits such as the Lions Club or for church festivals. He also asked if
the bus price shown reflected the proposed increase in fares. It was also noted that the pawn
shop license holder is current on his fees.
Tom Perrault questioned the sanitary sewer rates for the industrial users. John Simola
explained that the industrial rate is made up of three factors: 1) clean water; 2) BOD
(biological oxygen demands) and 3)TSS (total suspended solids) and these are measured
separately for industrial users.
GLEN POSUSTA MOVED TO ADOPT THE ORDINANCE ESTABLISHING THE 2007
CITY FEE SCHEDULE AS PROPOSED. WAYNE MAYER SECONDED THE
MOTION. MOTION CARRIED WITH TOM PERRAULT VOTING IN OPPOSITION
BECAUSE OF THE AMOUNT OF THE P ARK DEDICATION FEES.
11. Review area for 2007 Street Reconstruction Feasibility Report and consideration of
authorizinlZ feasibility study.
Because there were a number of residents in attendance at the meeting, this item was moved
up on the agenda.
Bret Weiss from WSB & Associates, Inc. made a presentation on the 2007 Core Street
Reconstruction Project. The City held an informational meeting for the residents in the area
proposed for reconstruction to see if there was an interest in moving forward with the
reconstruction project for the balance of Area #3 (River Street area). At the informational
meeting WSB did a short survey which was included with the Council's agenda packet. Forty
residents attended this informational meeting and another mailing was sent informing
residents that there was a meeting tonight to consider ordering the feasibility report but it was
not a public hearing.
Bret Weiss stated that most residents were in favor of reconstruction of the road but there
were questions on sidewalk, curb and gutter and the width of the street. Twenty-one residents
responded that they were in favor of sidewalk and ten were against it. Those who were
against the sidewalk were on River Street where it is proposed to locate the sidewalk. River
Street does have deep ditches that would make it more difficult to construct the road with curb
and gutter. The consulting engineer was recommending moving forward with a feasibility
report for the 2007 street reconstruction project. The study would look at the issue of
sidewalk and how it could happen with minimal tree removal and move forward with a
project proposal that would combine different approaches to handling the reconstruction
project.
Clint Herbst asked if there was a way to get a feel for what was going to be done without
doing major engineering work at this time.
Glen Posusta noted the Council had received a letter from the MPCA relating to runoff water
entering into Otter Creek. He also questioned the amount the City had budgeted and
whether there was sufficient funding to do this project. Bret Weiss stated the City does have
state aid funds that could be used in addition to the $547,000 budgeted for 2007. Bret Weiss
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felt they could do things that would still meet the requirements of the PCA. WSB would like
to try to find a solution to meet the needs of the residents and the requirements of the PCA.
Jeff Bums, 1517 West River Street stated he was glad to that the City plans to go ahead in
some form to pave the streets. His concern is that they try to reduce the street width. The
street is currently 24' and the new construction could widen it out to 32'. A wider street
means faster traffic. Bret Weiss noted at the informational meeting there was a lot of
discussion on the traffic speed and issues with the compost site.
Kurt Fasen, 110 Hillcrest Road stated he was happy that the City was going to do something.
If the City is going to proceed with the project they should do it right and do it in a manner so
that they don't regret it in 10 or 15 years. He added he didn't believe sidewalk on Hillcrest
would be necessary. It was noted that sidewalk is only being proposed on River Street.
Steve Andrews expressed his appreciation that the Council was revisiting this issue. He felt
more ofthe residents want to see the project move forward noting that the project would
increase the aesthetic value of the property and he too was also concerned about the faster
traffic.
Clint Herbst felt the concern of the previous year when this area was being considered was
that the residents in this area felt the roads were in good shape. Now he felt residents saw
how quickly the roads can deteriorate.
Bret Weiss also brought up the concern expressed by residents about a safe crossing of
County Road 75. Clint Herbst asked if that was something that WSB could come back with
some ideas on. Bret Weiss felt that with CSAH 75 being a county road they probably would
not let the City put flashers in the area.
BRIAN STUMPF MOVED TO AUTHORIZE WSB & ASSOCIATES, INC. TO
COMPLETE THE FEASIBILITY STUDY AND OTBAIN ADDITIONAL TOPOGRAPHIC
SURVEY FOR THE REMAINDER OF AREA 3 AND WEST RIVER STREET FROM
CSAH 75 TO 1-94. TOM PERRAULT SECONDED THE MOTION
Wayne Mayer felt that with the lack of funding proceeding with a feasibility study was
inappropriate. Rick Wolfsteller stated that $547,000 had been budgeted for 2007. Bret Weiss
stated it would be better to study the whole area and come back with options rather than to do
it in a piecemeal fashion. Clint Herbst stated there may be advantages in doing it as one
project rather than spreading it out too long.
MOTION CARRIED WITH GLEN POSUSTA VOTING IN OPPOSITION.
Added Item: Since Bill Rambo from Denny Hecker auto was present, the Council brought up the
added agenda item relating to the parking lot lights at the auto dealership. Glen Posusta stated he had
received calls from a number of people wondering why all the lights are on all night. Mr.
Rambo indicated the lights were for security purposes but that he would check to see if some
accommodation could be made.
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8. Review of status of water tower. Proiect No. 2004-30C and consideration of plan to
complete water tower in 2007.
John Simola reported that work on the tower was completed to a point on December 1, 2006
where the tower could have been cleaned and filled but the cold weather made them change
their mind about trying to get this tower in operation this year.
Mark Rolfs, the project engineer from Bonestroo, Rosene, & Anderlik stated that the cleaning
prior to the filling the water tower has not been done. Mark Rolfs felt it was not in the staff's
best interest to fill it at this time. Mark Rolfs suggested suspending liquidated damages until
March 15, 2007 and reinstate them at a later time if at that time the tower is not up and on
line. With the new tower done, the Monte Tower could be taken off-line. Mark Rolfs was
asking Council direction on how to approach the contractor on this issue. The contractor
did not want to pay money for the logo that was wrong and come back to redo it. Mark Rolfs
felt if the City withheld money the contractor would come back to do the work. Liquidated
damages will be reinstated on March 15,2007 if the tower is not in full operation. Brian
Stumpf said there is only one way he would consider suspending liquidate damages which is
ifthe work is not done by March 15, 2007 the liquidated damages would be retroactive to
December. Brian Stumpf felt there was no reason why the project could not have been done
on time. Wayne Mayer agreed adding that the Council had to make many quick decisions
because of time constraints but the work is still not done. Mark Rolfs felt in March the
weather is generally above freezing most of the time so the work should be able to be
completed. Brian Stumpf felt the City should not be in this predicament.
BRIAN STUMPF MOVED TO AGREE TO SUSPEND THE LIQUIDATED DAMAGES
FROM DECEMBER 1,2006 TO MARCH 15,2007 FOR THE SUBSTANTIAL
COMPLETION OF THE TOWER AND TO SUSPEND LIQUIDATED DAMAGES FOR
FINAL COMPLETION UNTIL JUNE 1,2007 AND IF THE TOWER IS NOT IN
OPERATION BY MARCH 15,2007 LIQUIDATED DAMAGES WOULD BE
RETROACTIVE TO DECEMBER 1,2006. WAYNE MAYER SECONDED THE
MOTION.
Glen Posusta said with this hanging over the contractor's head what was to stop the contractor
from rushing the job in March and not do quality work. Brian Stumpf clarified that his
motion is that they are not suspending the $45,500 of liquidated damages accrued thus far.
Matt Theisen stated when they clean tower he and his crew will be there to witness the
cleaning. Tom Perrault asked if the logo correction was part of his motion.
BRIAN STUMPF AMENDED HIS MOTION TO STATE THAT THEY WOULD STILL
BE DEDUCTING $45,500 FOR THE EXISTING LIQUIDATED DAMAGES AND $22,500
FOR THE LOGO SIZE CORRECTION. WAYNE MAYER SECONDED THE
AMENDED MOTION. MOTION CARRIED UNANIMOUSLY.
Added Item:
Roxanne Baxula, 1306 Prairie Creek Lane state she has a home business and that she is excited about
having a choice about getting high speed internet access. She thanked the Council for their support
of this project and encouraged them to move forward.
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9. Review of plans and specifications and review of cost estimates for biosolids dryer and
consideration of advertisement for bids. City Proiect No. 2005-37C.
Bob Brown from Bolton & Menk made a presentation to the Council regarding the plans and
specifications for the biosolids dryer. He noted that the plans are about 98% complete. They
feel they need to get the process going so they could advertise for bids. The time schedule has
changed because ofthe permitting process. The PCA requires renewal of the City's permit
for another 5 years. Approval of the biosolids dryer plans and specifications is contingent
upon PCA approval of the permit.
Bob Brown explained the work that had been done on the project and gave a presentation
showing the proposed building site plan and layout and reviewed with the Council the
updated construction costs. He also addressed the mitigation of the wetland.
The designs were done to accommodate the two manufacturers that they were looking at. All
major items will be in the building with nothing outside or on the roof. In his review Bob
Brown noted the layout for the Krueger dryer was about 3000 feet larger because the
equipment was larger. The vehicle storage area which accommodates three vehicles was also
reviewed.
Increase in costs were attributed to the addition of the air scrubber and construction cost
increase of8%. It is proposed to be award the bids on March 12,2007.
Clint Herbst asked about the bagging the dried biosolids. John Simola said they would be
using the bags for storing the biosolids when they are not in the fertilizer season which is
spring and fall. The current renter of the farm has indicated a willingness to take the excess
biosolids material from the City. The bags when filled would be 1500 pounds and stand 6'
tall. A forklift would be needed for handling the bags and this equipment was budgeted for in
the 2007 budget.
Clint Herbst questioned ifin their consideration of the unit did they look at longevity, cost and
maintenance! repair costs. Bob Brown said these factors were covered in the evaluation.
Clint Herbst asked about the Krueger system which was installed at Mystic Lake. Bob
Brown indicated that initially there had been some problems not with its operation but with
the equipment. That unit was removed and a replacement unit installed which thus far has
been working fine. Glen Posusta stated he would like to see how the project is working at
Mystic Lake. Glen Posusta asked if the manufacturers will provide a warranty on the process.
Bob Brown said there is a two year warranty on everything and a five year warranty on the
drying process. John Simola added that they are working with Kim Kozar on legal aspects in
drafting the warranty. Wayne Mayer stated that while he didn't want to hold this project up
he would like to see what Mystic Lake operating records are. The committee did have an
opportunity to see Mystic Lakes system in operation. The Mystic Lake system would have
to be up and running for at least a year in order to get proper information on its operation
because Mystic Lake does not generate a lots of solids which means that the dryer may be
operating only once a month.
Brian Stumpf expressed his thanks to the members of the Committee who had worked on this
project and got it to this point.
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BRIAN STUMPF MOVED TO APPROVE THE PLANS AND SPECIFICATIONS FOR
THE BIOSOLIDS DRYER AND AUTHORIZE THE ADVERTISEMENTS FOR BIDS
WITH THE REVISED DATE OF FEBRUARY 28, 2007 FOR THE BIDS TO BE
RECIVED. TOM PERRAULT SECONDED THE MOTION. MOTION CARRIED
UNANIMOUSLY.
10. Consideration of annual cost of livID!! adiustment and consideration of adiustment to
pay scale for 2007 for the purpose of maintainID2 competitive pay structures.
Jeff O'Neill presented information on the cost ofliving adjustment that other communities
were considering and provided information on the CPI (Consumer Price Index). Jeff O'Neill
also discussed planning needed to handle the City's growing workload and the replacement of
staff because of retirement. Some of the positions included Finance Director, Public Works
Director, Economic Development Director and Deputy City Clerk adding that there may be
other positions opening up in the next 4-5 years. He stated in reviewing the job descriptions
of the employees, there are certain areas that should be looked at such as, consolidating the
work for publications such as brochures, communications and the web site; the possible need
for a human resource person to handle keeping job descriptions updated and pay equity
reporting and establishing a person to handle purchasing.
Looking particularly at the cost ofliving increases proposed by other cities, the range was
from 2%-4%. The Federal Reserve CPI was projected at 3.3%. The City wage scale on the
average for each position was 7.5% lower than that of other communities that were
compared. In 2005 the Council gave city employees a 3% increase in 2006 to catch up with
the wages of comparable cities and a 3.5% cost ofliving increase making a total increase of
6.5%. The City is still 4.5% lower than adjacent communities as far as the wage scale.
Overall pay scale adjustment is important so that the City remains competitive. It was
suggested adding a new step to the pay scale. This would be relatively inexpensive since it
applies only to those at the step and would not be applied across the board.
Wayne Mayer stated he would like to see in the future actual rates rather than percentage of
increase used as the justification. What he would like to see is the impact of a 1 % increase as
far as wages, withholding and other benefits.
Glen Posusta noted that one of the discussions in the Personnel Committee was adding
another step to the pay scale. He felt this would add incentive for employees. Glen Posusta
felt COLA increases reward those who don't work as hard in the same manner as those who
do work hard. lIe didn't feel giving people more money made them better employees or more
productive employees. He felt automatic pay increases were a vicious cycle that takes place
in the government sector. He stated the increase approved in 2005 and the proposed
increase submitted in 2006 was almost 10%. He didn't believe people in the private sector
get this type of increase. In addition government employees were not subject to layoffs like
the private sector is. He also felt the notion that it is difficult to replace good employees is a
fallacy. He said govemmentjobs are secure jobs. He added in 2005 staff wanted 12% but the
Council settled for 6%. He felt no matter what staff gets it will never be enough. Glen
Posusta also felt that increases should not go by percentage but actual number.
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Brian Stumpf asked where the step process came from. Rick Wolfsteller said when the
comparable worth study was done that method was adopted and it is something used by most
cities. Currently the pay scale has seven steps and takes approximately 9 years to get to step
#7. Rick W olfsteller said the pay system has not kept up with the market. Wayne Mayer
asked if any increase given would affect part-time employees. Rick Wolfsteller replied it
would depend on whether it was permanent part-time or not. Wayne Mayer asked if a step
increase was automatic. He was told that if an individual is not performing up to standards
they do not get an increase. Wayne Mayer said by adding a step you are placing in the City
Administrator's hand the ability to reward those who are doing an outstanding job.
There was also discussion on the City's ability to attract employees who would be willing to
start at step #1. Step #1 is meant to be the starting point for an individual who meets the
minimum job requirements. Additional work experience or education may justify starting an
individual at a higher step. Rick W olfsteller indicated that it had been some time since
anyone had been hired at Step #1.
Glen Posusta said the City needs to look at giving employees incentive to work hard. The
Council discussed addressing this issue at a special meeting in December. The Council was
not able to come up with a date where a quorum would be present.
BRIAN STUMPF MOVED TO WAIT UNTIL THE FIRST REGULAR MEETING IN
JANUARY TO ACT ON THE COST OF LIVING ADJUSTMENT AND PAY SCALE
ADJUSTMENT. WAYNE MAYER SECONDED THE MOTION. MOTION CARRIED
WITH TOM PERRAULT AND GLEN POSUST A VOTING IN OPPOSITION.
11. Review area for 2007 Street Reconstruction Feasibility Report and consideration of
authorizine: feasibility study.
This was moved up on the agenda.
12. Consideration of award of contract for demolition of Monte Club structure.
Because of the amount of damage by vandalism and the safety hazard the structure poses,
plans and specifications for the demolition of the septic system and the structure on the Monte
Club site were prepared. The City also had an asbestos survey done by a consultant at a cost
of $550. This has to be done before the building can be removed. The bids ranged from
$48,400 to $24,678. There will also be expense for the removal of the hazardous material.
Since Veit specializes in removal of hazardous material the City obtained a quote from them
that was in the amount of$4,825. Wayne Mayer asked is there was anything of value in the
building that could be reclaimed. John Simola said he was not aware of anything. Tom
Perrault asked about the well. John Simola indicated it was 300 feet deep and could possibly
be used for irrigation. He stated the well would not be left in an abandoned state but taking
care of that would be done under another contract.
WAYNE MAYER MOVED TO A WARD THE DEMOLITION PROJECT TO VEIT &
COMPANY OF ROGERS, MN IN THE AMOUNT OF $24,678 AND TO AUTHORIZE
THE PUBLIC WORKS DIRECTOR AND CHIEF BUILDING OFFICIAL TO WORK
WITH VEIT & COMPANY OR ANOTHER CONTRACTOR TO HAVE THE ASBESTOS
ABATED AT COST NOT TO EXCEED $4,825 PRIOR TO DEMOLITION OF THE
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Council Minutes: 12/11/06
STRUCTURE. BRIAN STUMPF SECONDED THE MOTION. MOTION CARRIED
UNANIMOUSLY.
Added Items:
Task Force Membersfor Comp Plan Update: Brian Stumpf and Tom Perrault agreed to serve with
either Clint Herbst or Glen Posusta being the third member and Wayne Mayer serving as alternate.
Xcel Energy: The revenue stabilization agreement will be covered at the first meeting in January.
Also Jolm Simola, Rick Wolfsteller and Joel Jamnik arc working on the franchise agreement.
YMCA: An offer was submitted to the YMCA so the negotiation process has begun.
Kjellberg: The Council discussed the structure that was built on the property that is in violation of the
building code and zoning ordinance. Tom Scott, City Attorney is prosecuting this as two counts of a
misdemeanor. He is in the process of preparing a complaint.
Deputy Registrar: Some of the local dealerships have withdrawn their business from the Deputy
Registrar and are getting their title work done through another entity. Wayne Mayer stated this was a
big issue and he would like to see some cost figures on the impact of the loss of this business. He
also asked if there was procedure in place to inform the Council on these issues noting this was the
first time he heard about it. City Administrator, Jeff O'Neill indicated they would get the information
requested.
Fiber Optics: Wayne Mayer updated the Council. The Council had authorized proceeding with the
project and discussed going with a bond issue based on revenue and not tax levy. The Fiber Optics
Task Force had applied to the Blandin Foundation and received a grant for general education on
broadband in the amount of $15,000 which the City has to match.
GLEN POSUSTA MOVED TO AUTHORIZE THE FIBER OPTIC TASK FORCE TO MOVE
FORWARD WITH COMPLETION OF PRELIMINARY WORK TO PREP ARE AN
ENGINEERING AND DESIGN RFP FOR RELEASE EARLY IN 2007; SPECIFY
REQUIREMENTS FOR REVENUE BONDING, CLARIFY OPTIONS FOR VOICE SERVICES
AND SUPPLY OF VIDEO CONTENT AND CLARIFY NEXT STEPS FOR THE CITY AS A
UTILITY OPERATION. TOM PERRAULT SECONDED THE MOTION. MOTION CARRIED
UNANIMOUSLY.
13. Approve payment of bills for December.
Glen Posusta questioned an invoice regarding the rental of a chocolate fountain. It was noted
that this was used in the liquor store's wine tasting event. Bruce Westby informed the
Council that the payment for work done Cdl the Linn Street Drainage project was included in
the bills. There was also a question on the bill for the safety training.
GLEN POSUST A MOVED TO APPROVE THE BILLS. BRIAN STUMPF SECONDED
THE MOTION. MOTION CARRIED UNANIMOUS.
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Council Minutes: 12/11106
Other:
Brian Stumpf stated that while he and Glen Posusta didn't see eye to eye on a number of items he did
appreciate the time and effort Glen Posusta spent as a member of the Council over the past four
years. Clint Herbst also expressed his appreciation for the service Glen Posusta provided for the
City
Glen Posusta noted that he and Clint Herbst had spent the better portion of the day in court regarding
legal issues relating to the campaign conducted by Susie Wojchouski.
14. Adjourn.
The meeting was adjourned at 10 p.m.
[)O--LV~ ~5~ L
Recording Secretary c:s .
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