City Council Minutes 12-14-2015REGULAR MEETING — MONTICIELLO CITY COUNCIL
Monday, December 14, 20115 — 6:30 p.m.
Mississippi Room, Monticello Community Center
Present: Brian Stumpf, Charlotte Gabler, Lloyd Hilgart, Tom Perrault, and Glen Posusta
Absent: None
1. General Business
A. Call to Order & Pledge of Allegiance
Mayor Brian Stumpf called the meeting to order at 6:30 p.m. with a quorum
present. The pledge of allegiance was recited.
Brian Stumpf asked for a moment of silence for Fran Fair who passed away
December 4, 2015. He commended her volunteer efforts. Angela Schumann,
Community Development Director, gave a brief presentation of Ms. Fair's
contributions to the City of Monticello.
B. Approval of Meeting Minutes
• Special Meeting Minutes from November 23, 2015
Tom Perrault moved approval of the Special Meeting Minutes of
November- 23, 2015 with a minor change. Lloyd Hilgart seconded the
motion. Motion carried 4 -0; Glen Posusta abstained because he was
absent for the November 23, 2015 meeting.
Regular Meeting Minutes from November 23, 2015
Tom Perrault moved approval of the Regular Meeting Minutes of
November 23, 2015. Lloyd Hilgart seconded the motion. Motion
carried 4 -0; Glen Posusta abstained because he was absent for the
November 23, 2015 meeting.
C. Consideration of Adding Items to the Agenda
• Brian Stumpf added to continue the City Council special
meeting/workshop discussion in regard to a Public Works Director and
Building Inspector to the end of the agenda.
D. Citizen Comments
• None
E. Public Service Announcements
• Rachel Leonard, Communications Coordinator, provided an update on the
City's Holiday Hours.
• Debra Luken, Library Manager, presented her 2015 annual report to the
City Council. She. noted that the Monticello branch is doing better in
City Council Minutes — December 14, 2015 Page 1 1 10
regard to circulation statistics than the other branches. She also mentioned
that the library experienced some problems in 2015 with the windows
leaking water into the building.
F. Council Liaison Updates
• FiberNet Advisory Board — Brian Stumpf commented that the board met
with Joanne Johnson, Executive Director of the Minnesota Public
Broadband Alliance, in regard to the RFQ process. This will be discussed
later in the meeting.
• EDA — Tom Perrault noted that they are continuing on their work plan.
• Planning Commission — Charlotte Gabler provided a brief update on: a
CUP approval; two of the members were reappointed for three year terms;
and a public hearing that was set in regard to temporary signage.
• BCOL — No update was provided at this point of the meeting because the
items are being discussed during the meeting.
G. Department Updates
• Workshops — Brian Stumpf stated that the City Council met for the City
Administrator's annual review. They also discussed the possible Public
Works Director position and the Building Inspector position.
• City Administrator Jeff O'Neill provided the following updates:
1. Commented on the company that is looking at installing a solar
system and where they are in the process.
2. Friendship Island is being located in the Prairie Conference Center.
They are looking at using the portion that was previously used for
Rivers of Hope.
3. Stated that there is no news on the Fallon Avenue crossing/overpass.
The City is still in the process of working with St. Henrys.
2. Consent Agenda
Lloyd Hilgart moved to approve the Consent Agenda excluding items A, E, F, and J.
Glen Posusta seconded the motion. Motion carried unanimously.
A. Consideration of approving the payment of bills. Recommendation: ITEM
WAS REMOVED FROM CONSENT AGENDA.
B. Consideration of approving new hires /departures. Recommendation: Approved
the new hires for Streets, Parks, and FNM and the terminations for MCC.
C. Consideration of approving the sale /disposal of surplus city property.
Recommendation: No report this City Council cycle.
D. Consideration to approve setting a special City Council meeting on December 28
for approval of bills. Recommendation: Approved setting the Special Council
Meeting for December 28, 2015 at 7:30 a.m.
City Council Minutes — December 14, 2015 Page 2 1 10
E. Consideration to approve the 2016 Schedule of Regular Council and Commission
meetings. Recommendation: ITEM WAS REMOVED FROM CONSENT
AGENDA.
F. Consideration to approve City Facility Business Hours for 2016.
Recommendation: ITEM WAS REMOVED FROM CONSENT AGENDA.
G. Consideration to approve Resolution 2015 -087 approving a donation from
Schyma Pickles and Preserves in the amount of $100 for the Farmer's Market
advertising and entertainment. Recommendation: Approved Resolution 2015-
087 approving the donation from Schyma Pickles and Preserves.
H. Consideration to approve a pawn broker license for 2016 for David Corbin dba
Monticello Pawn, Gun and Bargain Center at 1219 South Highway 25.
Recommendation: Approved the pawn broker license for 2016 for David
Corbin dba Monticello Pawn, Gun and Bargain Center at 1219 South
Highway 25.
I. Consideration to approve an amendment to a Conditional Use Permit for a
Planned Unit Development for the Monticello Big Lake Community Hospital
District Campus (CentraCare Health Monticello) for the continued use of an
accessory heliport. (Applicant: CentraCare Health System) Recommendation:
Approved the amendment for Conditional Use Permit for Planned Unit
Development for the Monticello Big Lake Community Hospital, approving a
temporary relation of the heliport facility, based on findings in Resolution
PC- 2015 -019 and subject to those conditions in Exhibit Z.
Consideration to approve the Second Amendment to Development Contract for
AMAX Addition. Recommendation: ITEM WAS REMOVED FROM
CONSENT AGENDA.
K. Consideration to call for a public hearing by the Planning Commission on January
5, 2016 regarding amendment to the Monticello Zoning Ordinance as related to
Massage Therapy and other Personal Services, and to direct staff to prepare
ordinances related to Massage Therapy Licensing Recommendation: Approved
calling for a public hearing by the Planning Commission on January 5, 2016
regarding an amendment to the Monticello Zoning Ordinance as related to
Massage Therapy and other Personal Services and directed staff to prepare
ordinances related to Massage Therapy Licensing.
L. Consideration to approve a license agreement for storage at 100 Broadway East
for CSAH 75 /TH 25 Intersection improvements. Recommendation: Approved a
License Agreement between the EDA and the City of Monticello for use of
201 and 249 East Broadway and apportion of 100 East Broadway for City
Project 100009 /intersection of CSAH 75/TH25.
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M. Consideration to adopt Resolution 2015 -088 accepting improvements and
authorizing final payment to Municipal Builders Inc. for sludge dewatering
facility, City Project No. 12C003. Recommendation: Approved Resolution
2015 -088 approving Change Order No. 4, accepting improvements and
authorizing final payment to Municipal Builders, Inc., for the sludge
dewatering faciiity, City Project 12C003.
N. Consideration to approve Resolution 2015 -089 declaring the official intent of the
City of Monticello to reimburse certain expenditures from the proceeds of bonds
to be issued by the City for the extension of 95th Street. Recommendation:
Approved Resolution 2015 -089 declaring the official intent of the City of
Monticello to reimburse certain expenditures from the proceeds of bonds to
be issued by the City for the extension of 95th Street.
O. Consideration to approve a Joint Powers Agreement/Highway 25 Coalition.
Recommendation: Approved the Highway 25 Corridor Coalition Joint
Powers Agreement.
2A. Consideration of items removed from the consent agenda for discussion.
A. Consideration to approve payment of bills
Glen Posusta pulled the item. He questioned a few different charges and would
like copies of the invoices. The bills he questioned were from AST Sports, Dan
Gleeser, and Mansfeild Oil Company. He reiterated his request from a previous
meeting that the City look into purchasing larger gasoline tanks in order to store
gasoline and save money. Tom Moores, Street Superintendent, provided an
update that he spoke with Elk River who has underground tanks which they put in
when they built their new facility. They are going to provide what the cost was
but did note that it was thousands of dollars. Mr. Posusta also questioned why the
City is paying West Metro auto to replace a thermostat when our own
maintenance personnel could do this for less. Wayne Oberg, Finance Director,
responded that this was for a FiberNet vehicle and he wasn't sure of the situation
but would review. He also stated that he will provide copies of the invoices in
question.
Tom Perrault questioned why the Golden West bill was almost double from what
it usually was. Rachel Leonard responded that she doesn't see the detail of the bill
but she did received notification that it would be higher for the given month. She
added that this bill can fluctuate depending on the number of calls they receive
from subscribers. A power outage that took place in town could have been a
contributing factor. Brian Stumpf commented that it may help if the City Council
would receive a spreadsheet each month on the activity taking place.
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Glen Posusta moved to have staff research how much it would cost for tanks
to be installed (above ground) and how much gasoline the City uses. Lloyd
Hilgart seconded the motion. Motion carried unanimously. Glen Posusta
moved approval of the payment of bills. Tom Perrault seconded the motion.
Motion carried unanimously.
E. Consideration to approve the 2016 Schedule of Regular Council and
Commission meeting.
Tom Perrault pulled the item and noted that the Planning Commission cannot be
held on March 1 because of Precinct Caucuses. Jennifer Schreiber commented
that that is correct and noted that this meeting will be rescheduled for March 2.
Tom Perrault moved approval of the schedule with the change. Lloyd
Hilgart seconded the motion. Motion carried unanimously.
F. Consideration to approve City Facility Business Hours for 2016.
Tom Perrault pulled the item and noted that the Monticello Community Center
Sunday hours should be changed to a closed time of 8 p.m.
Tom Perrault moved approval with the change. Lloyd Hilgart seconded the
motion. Motion carried unanimously.
J. Consideration to approve the Second Amendment to Development Contract for
AMAX Addition.
Glen Posusta pulled the item in order to abstain because it is on his property.
Lloyd Hilgart moved approval of the amendment. Tom Perrault seconded
the motion. Motion carried 4 -0; Glen Posusta abstained.
3. Public Hearings
A. Consideration to adopt Resolution 2015 -090 establishing the final Tax Levy for
2016.
Wayne Oberg presented the item to the Council. Before the end of the year the
final levy needs to be certified to the County Auditor. The tax capacity increased
by 8.3% for 2016 following a 31 % increase for 2015. This is primarily because
of the nuclear plant. He added that if a citizen saw their property tax increase it is
because the value of their property increased. The property tax levy breakdown is
as follows: School — 16.6 %; County 44.1 %; City — 3 8. 1 %; and HRA —1.2 %.
Monticello has the lowest tax capacity rate in Wright County. It was also
mentioned that the City's tax rate is lower than the County's tax rate, which is
unusual. Mr. Oberg touched on the nuclear plants valuation specifically.
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The proposed tax levy is distributed as follows: General Fund — 69 %; Debt
Service — 27 %; and MCC Operations — 4 %. Tom Perrault commented on the
potential hiring of a Building Inspector being included in the levy. He also
mentioned that he is against the HRA levy.
Brian Stumpf opened the public hearing. No one testified. Brian Stumpf closed
the public hearing.
Lloyd Hilgart moved approval of the Final Tax Levy for 2016 as presented,
including the HRA levy. Charlotte Gabler seconded the motion. Motion
carried 3 -2. Tom Perrault and Glen Posusta voted against.
4. Regular Agenda
A. Consideration to adopt Ordinance No. 628 amending the City Fee Schedule for
2016 and adopting Summary Ordinance No. 628A for publication.
Wayne Oberg gave a brief overview of the fee schedule. Each year fees are
adjusted to reflect increase in cost of service. One of the increases that Mr. Oberg
touched on was water and sewer which are seeing a $1.00 minimum increase for
non - industrial rates and 2% increase in volume charge. For industrial properties
the rates will increase between 2 and 2.6 %. Mr. Oberg commented that in
January 2017 he would like to see the City move to monthly billing for water and
sewer. This will allow for more customer contact and for easier distribution of
seasonal information.
Brian Stumpf questioned if the City had any push back from other cities on the
dog licensing fee increase. Mr. Oberg responded that he hadn't contacted them.
Glen Posusta questioned how the city enforces dog licenses. Brian Stumpf
recommended that the City contact other cities to find out how they enforce dog
licenses. Glen Posusta commented that he thinks the fees for the dog licenses
should go toward the dog park.
Glen Posusta questioned the obscure dollar amounts used for the Community
Center membership. He thought it would be easier if there was a more
streamlined rate amount. Kitty Baltos, Community Center Director, responded
that these rates, which are quarterly payments, are determined based on a
percentage and that is why there are cents involved in the payment.
Tom Perrault questioned how water rates were determined, especially since there
is a savings from lowering fluoride content. He does not agree with the increase
in water fee.
Glen Posusta moved approval of Ordinance 628 amending the fee schedule.
Lloyd Hilgart seconded the motion. Motion carried 4 -1; Tom Perrault voted
against for reasons including the one listed above.
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B. Consideration to adopt Resolution 2015 -091 qpproving approving the 2016 City Budget.
Wayne Oberg presented the 2016 City budget and reviewed the resolution. The
budget presentation was given during the tax levy agenda item. The proposed
expenditures total $43,061,019 and the proposed revenues total $37,753,848. The
difference between expenditures and revenues is either an addition from fund
reserves. He noted that capital equipment purchases will need to be approved
individually during the year.
Charlotte Gabler moved approval of Resolution 2015 -091 approving the 2016
City budget, Lloyd Hilgart seconded the motion. Motion carried 3 -2; Tom
Perrault and Glen Posusta voted against. Toni Perrault voted against
because he was not in favor of dollars going towards Bertram Chain of Lakes
and couple of other items. Glen Posusta voted against because of the HRA
tai.
C. Consideration to approve Resolution 2015 -092 accepting Feasibility Report and
calling for a public hearing for 2016 Street Reconstruction Improvements City
Project No. 15C001.
Shibani Bisson, WSB, presented the item which included: project overview, Area
5 Street Reconstruction; TH 25/7th Street Intersection Improvements;
Sidewalk/Trail Connections; Utility improvements; Estimated costs /funding;
Assessments; and Schedule. As part of the presentation graphics were displayed
that showed the City's streetscape plan which include a plaza near the TH 25/7'
St. intersection. The City is proposing a retaining wall on the east side of
Highway 25 and south side of 7th Street to accommodate a wider
sidewalk/boulevard on TH 25 and the right turn lane on 7th Street. In regard to the
retaining wall on 7th Street, a decision needs to be made on the type of brick to
use because it is being recommended that the wall be built this winter. The reason
given for constructing this winter as a separate project is to lower costs for sheet
piling to stabilize the slope. It was a consensus of the City Council to go with the
fieldstone faced stained type of stone.
The sidewalk/Trail Connections were then reviewed. These include: 7th Street;
Cedar St.; Washington St.; CSAH 75; and 5th St. Railroad Corridor Trail
Extension. Ms. Bisson then presented all of the utility improvements that are
proposed. These included: replace or line all of the sanitary sewer mains; replace
all of the sanitary sewer services from mainline to property line; replace majority
of sanitary sewer castings; replace water main valves and hydrants; replace storm
sewer pipe and structures and castings where needed; install new storm sewer
pipe and structures where needed to improve drainage conditions; replace 6 inch
water main with 12 -inch on Ramsey Street between 4th St. and Broadway; extend
10 to 12 -inch water main to feed future water treatment plant; and pump house
piping improvements for Well #1 and #2.
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Shibani Bisson reviewed the costs of the project with a total of approximately
$7.6 million. The preliminary assessment rate is $4,500 for a residential
assessment and $100 /FF for a non - residential assessment. Total assessments are
approximately $1.2 million. She also mentioned that the City is eligible for State
Aid funds. The City's balance is currently low but they can advance five times
their annual allotment which would be approximately $1.8 million. There was
some discussion on whether to use State Aid funds for this project instead of the
Fallon Avenue improvements which would then need funding. Wayne Oberg
commented that typically the City would use State Aid and then reimburse
themselves the amount of State Aid by selling bonds.
A schedule of the project was then reviewed. Next steps listed were: Holding a
Public hearing to order project and authorize preparation of plans and
specifications; MnDOT State Aid approval in March 2016; City Council approval
of plans and specifications and authorizing ad for bids in March 2016; receive
bids in April/May 2016; award contract in May 2016; preconstruction meeting in
May /June 2016; begin construction in June 2016; and substantial completion and
assessment hearing in October 2016. Shibani Bisson recommended doing a
separate plan set and bidding process for the TH25 /7th Street Intersection bid
separate. MnDot is funding a portion of this and it has to go through their review
and the development of a cooperative agreement.
Jeff Michaelis, 630 E. 4th St., addressed the City Council. He expressed concern
that some of the improvements are not necessary. He is not against the project in
its entirety because he feels that a majority of the project needs to be done. He
added that the cost of the project should be kept as low as possible and things
could be removed. Specifically, he doesn't think there is a need for a 10 foot
sidewalk on TH25 nor does he think the sidewalk on Cedar Street is needed;
perhaps sidewalks could be put in when there is commercial growth. The City
Council discussed certain sidewalk replacement /additions. Once such area was
Broadway. Shibani Bisson noted that 20% of sidewalks on Broadway are
scheduled to be replaced. After some discussion, it was suggested by the City
Council to look at mud jacking in this area instead of replacement.
Ms. Bisson mention that if the Council chooses to construct any sidewalks in the
grid area, the City's policy includes benefitting property owners to pay for 25% of
the sidewalk construction, with the City paying the remaining 75% of the costs.
Brian Stumpf noted that he disagrees with the sidewalk assessment policy. He
also questioned why sidewalks would be needed on both sides of Cedar. He feels
this isn't necessary at this time. Angela Schumann responded that in the City's
Park and Pathway Plans it is noted that the most frequent comments heard from
the community are related to the fact that there is a disconnect and /or gaps in our
pathways /sidewalk system. Lloyd Hilgart noted that he doesn't think that
property owners benefit from sidewalks. There was discussion to remove
sidewalks and bid separately so the Council can pick and choose those that should
be included in the project.
City Council Minutes — December 14, 2015 Page 8 1 10
Decision 1
Glen Posusta moved Alternative 1 — to adopt Resolution 2015 -092 accepting
the Feasibility Report and calling for a public hearing on January 11, 2016
and that all sidewalks /pathways be bid separately from the main bid.
Charlotte Gabler seconded the motion. Motion carried unanimously.
Decision 2
Glen Posusta moved Alternative 3 — to adopt Resolution 2015 -093
authorizing preparation of plans and specifications and authorize
advertisement for bids for the VII Street Retaining Wall. Charlotte Gabler
seconded the motion. Motion carried unanimously.
D. Consideration to accept Request for Qualifications (RFW) for FiberNet
Management
Rachel Leonard, Communications Coordinator, provided a brief history and
overview of the process. She noted that the City worked with JoAnne Johnson,
Executive Director of the Minnesota Public Broadband Alliance, to prepare this
document for release. The RFQ responses were due by noon on December 8t",
and the city received responses from Arvig, Consolidated Telecommunications
Company (CTC), FiberConnect, and MidAtlantic Broadband. These were
forwarded to Ms. Johnson for evaluation who selected the criteria and scoring
used in the selection process. Ms. Johnson then summarized the evaluation
process and presented the two companies that scored above the selected threshold,
which were Arvig and CTC.
Glen Posusta questioned Ms. Johnson's experience in running this type of
company. Ms. Johnson responded with her education and employment
background. Mr. Posusta then expressed his concern that the selection system
was developed to select the companies that the City wanted to select. He also
mentioned that, in his opinion, the two companies initially selected are large
companies and FiberNet would be a small piece in their large company. There
was frustration and disagreement among the City Council in regard to the process.
There was some discussion about interviewing MidAtlantic Broadband in
addition to Arvig and CTC even though they scored below the threshold.
Brian Stumpf moved Alternative 1 — to proceed with interviewing the top two
respondents of Arvig and CTC. Charlotte Gabler seconded the motion.
Motion failed 2 -3; Lloyd H lgart, Tom Perrault and Glen Posusta voted
against. Tom Perrault moved to interview the three candidates of Arvig,
CTC, and MidAtlantic Broadband. Lloyd Hilgart seconded the motion.
Motion carried 4 -1; Glen Posusta voted against for reasons listed above.
E. Consideration to approve a City match of $355,000 for a 2016 Phase X
acquisition at the Bertram Chain of Lakes Regional Park/YMCA Camp Manitou.
City Council Minutes — December 14, 2015 Page 9 1 10
Angela Schumann, Community Development Director, provided a brief update.
The request for match funding is being brought forward to facilitate the
acquisition of both Phases IX and X in 2016. After Phases IX and X are acquired,
the last remaining area of parkland to be acquired is Parcel 2 and the 1 acre
remnant in Parcel 1. These two parcels total 40.89 acres.
Lloyd Hilgart moved approval of a City match of $355,000 for a Phase X
acquisition at the BCOL Regional Park/YMCA Camp Manitou for 2016
acquisition, pending final legislative approval of grant award including the
transfer of funds from the capital fund to the park dedication fund (for year
2015). Brian Stumpf seconded the motion. Motion carried 4 -1; Tom
Perrault voted against.
5. Added Items
The City Council resumed conversation held over from the special meeting held
at 5:45 p.m. in regard to hiring a Public Works Director and Building Inspector.
Charlotte Gabler moved approval of continuing the discussion on hiring a
Public Works Director for next year (201 7) and keep things status quo for
2016. Lloyd Hilgart seconded the motion. Motion carried 4 -1; Glen Posusta
voted against.
The City Council then discussed a full -time Building Inspector position. John
Rued, Building Inspector, gave a brief presentation on the building department
and workload and the need for an additional Building Inspector.
Brian Stumpf moved approval of the addition of a full time building
inspector. Charlotte Gabler seconded the motion. Motion carried 3 -2; Tom
Perrault and Glen Posusta voted against. Tom Perrault would rather see the
City hire a part -time employee. Glen Posusta doesn't feel that there will be
enough work to sustain a full-time employee for extended period of time.
6. Adiournment
By consensus the meeting was adjourned at 10: 15 p.m.
Recorder: Jennifer Schreib r
Approved:
Attest:
nistrator
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