City Council Meeting Minutes - May 12, 2014

Date: 
May 12, 2014

 

MINUTES OF THE CITY COUNCIL MEETING

MAY 12, 2014

 

Pursuant to due call and notice thereof, a regular meeting of the City Council of the City of Saint Peter was conducted in the Governors' Room of the Community Center on May 12, 2014.

A quorum present, Mayor pro tem Brand called the meeting to order at 7:05 p.m.  The following members were present:  Councilmembers Grams, Zieman, Brand, Kvamme, and Parras.  Absent were Councilmember Carlin and Mayor Strand. The following officials were present: City Administrator Prafke, City Attorney Brandt, and City Engineer Domras.

Approval of Agenda – A motion was made by Kvamme, seconded by Parras, to approve the agenda.  With all in favor, the motion carried. 

Approval of Minutes – A motion was made by Kvamme, seconded by Parras, to approve the minutes of the April 28, 2014 regular City Council meeting.  With all in favor, the motion carried and the minutes were approved.  A complete copy of the minutes of the April 28, 2014 regular City Council meeting is contained in the City Administrator’s book entitled Council Proceedings 18. 

Consent Agenda – In motion by Parras, seconded by Zieman, Resolution No. 2014-63 entitled “Resolution Approving Consent Agenda“ was introduced. Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2014-63 is contained in the City Administrator’s book entitled Council Resolutions 20.

Nicollet Avenue Electric Materials Bid Award – Public Works Director Giesking recommended award of the bid for Part 1 of the Nicollet Avenue Electric Materials Project to WESCO in the amount of $223,617.04; award of the bid for Part 3 of the project to RESCO in the amount of $5,084.10;  rejection of all bids for Part 2 for failure to meet the bid specifications; and authorization for receipt of quotes for Part 2 at an estimated cost of $45,000.  Giesking reported the project was under budget and conduit was already in place for installation of the distribution wire.  In motion by Zieman, seconded by Parras, Resolution No. 2014-64 entitled “Resolution Awarding Bids For Nicollet Avenue Electric Materials Project”, was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2014-64 is contained in the City Administrator’s book entitled Council Resolutions 20. 

2014 Electric Fund Budget/Rate Increase – Finance Director O'Connell recommended approval of an electric rate increase for large commercial and industrial customers and approval of the 2014 Electric Fund budget.  O’Connell reminded Councilmembers the Electric Fund is in an operational deficit and increasing rates was necessary to help minimize the deficit.  O’Connell presented the proposed increase to large commercial and industrial customer rates which would take effect June 1st and which would raise $75,000 in additional revenue in 2014 and $150,000 per year thereafter.  O’Connell also noted the targeted fund balance in the Electric Fund was $1.4 million and the current unrestricted balance was $208,000.  Councilmember Zieman questioned if the savings on the Nicollet Avenue Electric Materials Project could offset rate increases.  O’Connell responded that the project savings would change the bottom line in 2014, but would have no effect in future years and because it would only help the fund balance, it would not help the operational deficit.  Mayor pro tem Brand pointed out that the Council has had extensive discussion on the proposed rate increase.  In motion by Zieman, seconded by Parras, Resolution No. 2014-65 entitled “Resolution Adopting Electric Rates”, was introduced.  Upon roll call, Councilmembers Zieman, Kvamme, Brand, and Parras voting aye, Councilmember Grams voting nay, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2014-65 is contained in the City Administrator’s book entitled Council Resolutions 20. 

In motion by Zieman, seconded by Kvamme, Resolution No. 2014-66 entitled “Resolution Adopting 2014 Electric Enterprise Fund Budget”, was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2014-66 is contained in the City Administrator’s book entitled Council Resolutions 20. 

2014 Water Fund Budget – Finance Director O'Connell recommended adoption of the 2014 Water Fund budget in the amount of $3,794,448.  O’Connell reported that although the projected fund balance at the end of 2014 would only be $122,000, no further rate increases other than the increase approved in 2013 that is effective August 1, 2014 were proposed.  In motion by Kvamme, seconded by Zieman, Resolution No. 2014-67 entitled “Resolution Adopting The 2014 Water Fund Budget”, was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2014-67 is contained in the City Administrator’s book entitled Council Resolutions 20. 

2014 Wastewater Fund Budget – Finance Director O'Connell recommended adoption of the 2014 Wastewater Fund budget in the amount of $3,760,067.  O’Connell noted there were no changes proposed for the operation of the fund and no rate increases were proposed other than the already approved increase on January 1, 2015.  O’Connell reported the projected fund balance at the end of 2014 would be $253,000.  In motion by Grams, seconded by Kvamme, Resolution No. 2014-68 entitled “Resolution Adopting The 2014 Wastewater Fund Budget”, was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2014-68 is contained in the City Administrator’s book entitled Council Resolutions 20. 

Housing Study Update – Community Development Director Wille requested approval of a contract to retain Community Partners Research, Inc. to prepare an update to the City’s housing study for a not to exceed fee of $5,600.  Wille reported the update would focus on the impact of job growth within the Mankato metropolitan statistical area and would be completed by September. In motion by Kvamme, seconded by Parras, Resolution No. 2014-69 entitled “Resolution Authorizing Execution Of Contract With Community Partners Research, Inc. For Update To 2012 Housing Study”, was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2014-69 is contained in the City Administrator’s book entitled Council Resolutions 20. 

Administrative Lot Split/Land Sale – Community Development Director Wille reported the Hendrickson Organ Company, which was damaged by fire, is considered a non-conforming use because the building does not meet the 25’ setback requirement, but under current State law, the building would be allowed to be reconstructed on the same footprint as long as the non-conformity was not increased.  Wille noted that the Hendrickson Organ Company building had been constructed over the property line and was actually 22” on the City owned property to the south and unless Hendrickson purchased a portion of the City property, the Company would not be allowed to rebuild the structure.  Wille recommended the Council approve an action for an administrative split of land currently owned by the City to create Parcel A and Parcel B and authorize sale of Parcel A to Hendrickson Organ Company at a price of $1,100.40 contingent upon Hendrickson Organ Company paying all costs for the actions.  In motion by Parras, seconded by Grams, Resolution No. 2014-70 entitled “Resolution Accepting Administrative Lot Split Of Lot 1, Block 1, Swift Park Subdivision No. 2 And Sale Of City Owned Land To Hendrickson Organ Company”, was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2014-70 is contained in the City Administrator’s book entitled Council Resolutions 20. 

Request for City Assistance:  Bluesfest – City Administrator Prafke recommended approval of a request from the St. Peter Ambassador’s for City assistance related to the BluesFest event in Minnesota Square Park on June 14th as outlined in the proposed resolution.  Councilmember Kvamme noted that it would be the first weekend two community events were held during the same weekend.  In motion by Kvamme, seconded by Grams, Resolution No. 2014-71 entitled “Resolution Approving Request For City Assistance For Bluesfest” was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2014-71 is contained in the City Administrator’s book entitled Council Resolutions 20. 

Request For City Assistance:  Relay For Life – City Administrator Prafke recommended approval of a request from the Nicollet County chapter of the American Cancer Society for City assistance related to the Relay for Life event in Gorman Park on June 13th as outlined in the proposed resolution.  In motion by Zieman, seconded by Grams, Resolution No. 2014-72 entitled “Resolution Authorizing City Assistance For Relay For Life Event”, was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2014-72 is contained in the City Administrator’s book entitled Council Resolutions 20. 

Standard Details Correction – City Administrator Prafke recommended approval of a resolution that would correct clerical errors contained in a previously adopted resolution to update several public infrastructure construction standards.  In motion by Zieman, seconded by Kvamme, Resolution No. 2014-73 entitled “Resolution Approving Revised Construction Standard Detail Plates” was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2014-73 is contained in the City Administrator’s book entitled Council Resolutions 20. 

Reports

Mayor pro tem Report – Mayor pro tem Brand reported his recent activities were centered around the birth of his son Leo Brand on May 9th.

Downtown Snow Emergency Policy Timeline – City Administrator Prafke reported the timeline for meeting with downtown property owners regarding a downtown snow emergency process had been delayed and staff would meet with property owners sometime in August.

There being no further business, a motion was made by Parras, seconded by Grams, to adjourn.  With all in favor, the motion carried and the meeting adjourned at 7:58 p.m.