City Council Meeting Minutes of October 27, 2014

Date: 
October 27, 2014

MINUTES OF THE CITY COUNCIL MEETING

OCTOBER 27, 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 October 27, 2014.

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

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

Public Hearing:  Highway 22 Project Final Layout – Mayor pro tem Brand opened the public hearing on the final layout of the Minnesota Department of Transportation Highway 22 Project at 7:06 p.m.  Minnesota Department of Transportation (MnDOT) Project Engineer Zachary Tess provided information on the proposed design of a project to raise a portion of Highway 22 from the Highway 169 intersection to the Minnesota River bridge above the 100 year flood event level and, as per State Statute, indicated municipal consent was required when the project included right-of-way purchase from the City.  Tess reviewed the details of the project which included:  construction beginning March 2015 which would last approximately four months; traffic detours along County Road 21 and Highway 99 in Le Sueur County; construction of a new 105’ bridge span; and land exchange between the City (2.76 acres) and MnDOT (up to 34 acres) so that the roadway right-of-way is owned by MnDOT.  Mayor pro tem Brand questioned if there would be additional work done on turn lanes at the Highway 169/22 intersection.  Tess indicated there would be an additional right turn lane constructed on Highway 22. There being no additional speakers, the hearing was declared closed at 7:15 p.m.

Approval of Minutes – A motion was made by Carlin, seconded by Parras, to approve the minutes of the October 13, 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 October 13, 2014 regular City Council meeting is contained in the City Administrator’s book entitled Council Proceedings 18. 

Visitors – American Legion Post #37 Adjutant Commander William B. Kastens addressed the Council to present a donation of new flags to be used at Jefferson Fields, Veteran’s Memorial Park, City Hall, Public Works, Fire Station, Gault Park and Minnesota Square Park.  Kastens provided information on the volunteer services provided by Saint Peter area veterans and encouraged those with American flags to contact the American Legion to arrange for proper and dignified disposal of old flags.  Mayor pro tem Brand thanked Mr. Kastens and the American Legion members for the flag donation.

Consent Agenda – In motion by Kvamme, seconded by Grams, Resolution No. 2014-148 entitled “Resolution Approving Consent Agenda“ was introduced.  A complete copy of Resolution No. 2014-148 is contained in the City Administrator’s book entitled Council Resolutions 20.

Highway 22 Project Layout And Land Exchange – City Administrator Prafke recommended approval of resolutions approving the final layout of the MnDOT Highway 22 project and a land exchange providing 2.76 acres of City owned land to MnDOT for Highway 22 right-of-way and up to 34 acres of MnDOT land to the City to be added to the Riverside Park extension.  Prafke noted the proposed resolution authorized the City Administrator and Mayor to sign all necessary documentation for the land exchange.  In motion by Carlin, seconded by Parras, Resolution No. 2014-149 entitled “Resolution Approving Final Layout For Minnesota Department Of Transportation Highway 22 Project Within The City Of Saint Peter”, was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2014-149 is contained in the City Administrator’s book entitled Council Resolutions 20. 

In motion by Kvamme, seconded by Zieman, Resolution No. 2014-150 entitled “Resolution Providing For The Sale And Receipt Of Land In And Around Riverside Park”, was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2014-150 is contained in the City Administrator’s book entitled Council Resolutions 20. 

2015 Stormwater Fund Budget – Finance Director O'Connell recommended approval of the 2015 Stormwater Fund budget totaling $940,468.  O’Connell reviewed the proposed capital projects included in the budget which included a share of the costs for replacement of the Vactor truck; cash reserves projected to be $216,000 at the end of 2015; and that there was no rate increase recommended for 2015.  In motion by Parras, seconded by Carlin, Resolution No. 2014-151 entitled “Resolution Adopting 2015 Stormwater 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. 2014-151 is contained in the City Administrator’s book entitled Council Resolutions 20. 

2015 Environmental Services Fund Budget – Finance Director O'Connell recommended approval of the 2015 Environmental Services Fund budget totaling $800,510.   O’Connell reviewed the proposed budget which included funding for the downtown flower program.  O’Connell also stated there was no recommendation to increase rates, however staff would continue to monitor the fund reserve level ($86,000).  In motion by Carlin, seconded by Zieman, Resolution No. 2014-152 entitled “Resolution Adopting 2015 Environmental Services Enterprise Fund Budget”, was introduced.  Councilmember Carlin expressed her belief that the curbside leaf collection service funded by the Environmental Services fund was extremely valuable to residents who did not have the ability to haul leaves and garden waste to the compost site and noted that many cities do not provide the service.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2014-152 is contained in the City Administrator’s book entitled Council Resolutions 20. 

2015 Wastewater Fund Budget – Finance Director O'Connell recommended approval of the 2015 Wastewater fund budget in the amount of $3,692,147.  O’Connell also noted that the wastewater fund would finance 74% of the proposed Vactor replacement and no further rate increase, other than the one previously approved for January 2015, was being recommended.  O’Connell pointed out that the fund was expected to end 2014 in the red, but the proposed budget for 2015 would move the fund back into the black.   In motion by Carlin, seconded by Kvamme, Resolution No. 2014-153 entitled “Resolution Adopting The 2015 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. 2014-153 is contained in the City Administrator’s book entitled Council Resolutions 20. 

Hospital Equipment Certificates Bid Award – Finance Director O'Connell recommended the bid from Nicollet County Bank, be accepted for the $664,947 in Hospital equipment certificates.  O’Connell reported the issuance would be for five years and interest ranges from 1.3% - 1.9% with a yearly payment of approximately $140,000.  O’Connell also pointed out that the certificates would be repaid with Hospital revenues, but noted the issuance if a general obligation of the City should the Hospital not be able to make the payments.  River's Edge Hospital and Clinic CEO George Rohrich reported the Hospital set many financial records in the month of September with over $100,000 in net revenues for the month.   In motion by Kvamme, seconded by Zieman, Resolution No. 2014-154 entitled “Resolution Awarding The Sale Of $664,947 General Obligation Hospital Equipment Certificates Of Indebtedness Of 2014; Fixing The Form And Specifications Thereof; And Providing For Their Payment”, was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2014-154 is contained in the City Administrator’s book entitled Council Resolutions 20. 

Assessment of Unpaid Utility Charges – Finance Director O'Connell requested authorization to initiate the process for assessment of unpaid utility charges.  O’Connell indicated delinquent accounts are down substantially from prior years with 0.59% of sales delinquent and $8,556.89 of unpaid charges being able to be assessed while $9,880.53 will be written off.  O’Connell recommended a public hearing on assessment of the charges be scheduled for November 24, 2014.  In motion by Parras, seconded by Carlin, Resolution No. 2014-155 entitled “Resolution Declaring Unpaid Charges For Municipal Utilities To Be Assessed And Ordering Preparation of Proposed Assessment” was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2014-155 is contained in the City Administrator’s book entitled Council Resolutions 20. 

In motion by Kvamme, seconded by Carlin, Resolution No. 2014-156 entitled “Resolution Calling For A Public Hearing Declaring Unpaid Charges For Municipal Utilities To Be Assessed” was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2014-156 is contained in the City Administrator’s book entitled Council Resolutions 20. 

Assessment of Unpaid Miscellaneous Charges – Finance Director O'Connell requested authorization to initiate the process for assessment of unpaid miscellaneous charges including salt purchases, unpaid rent at the Community Center; frozen meter charges, pre-school transit fees, lawn mowing and drainage improvements for which the property owner had signed a waiver of assessment.  O’Connell indicated that $3,254.37 would be proposed for assessment and $2,378.81 would be written off.  O’Connell also pointed out that the charges that would be written off would simply be taken off the City’s accounts and staff would continue to attempt collection.  O’Connell suggested November 24, 2014 be scheduled for the public hearing.  In motion by Zieman, seconded by Grams, Resolution No. 2014-157 entitled “Resolution Declaring Unpaid Miscellaneous Charges To Be Assessed And Ordering Preparation Of Proposed Assessment” was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2014-157 is contained in the City Administrator’s book entitled Council Resolutions 20. 

In motion by Zieman, seconded by Grams, Resolution No. 2014-158 entitled “Resolution Calling For A Public Hearing Declaring Unpaid Charges For Municipal Utilities To Be Assessed” was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2014-158 is contained in the City Administrator’s book entitled Council Resolutions 20. 

Revolving Loan Subordination Request:  Inspire Bridal – Community Development Director Wille presented the Economic Development Authority (EDA) recommendation for approval of a request to modify the terms of a revolving loan provided to Julie Larson, owner of Inspire Bridal Boutique.  Wille indicated Ms. Larson was current on all her loan payments, but was in the process of purchasing the building and among other reasons, had requested modification to the loan terms.  Wille presented the EDA recommended modifications which included re-amortization of the remaining balance over a ten (10) year period with a balloon payment due at five (5) years; interest rate to remain the same at three percent (3%); loan secured by a UCC filing against the furniture, fixtures, equipment and accounts receivable of the business and a personal guarantee by Ms. Larson.  Wille also noted the EDA recommended waiving the 1% loan origination fee.  In motion by Kvamme, seconded by Zieman, Resolution No. 2014-159 entitled “Resolution Amending Terms Of A Revolving Loan Previously Provided To Julie Larson (dba Inspire Bridal Boutique)” was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2014-159 is contained in the City Administrator’s book entitled Council Resolutions 20. 

Temporary Street Closure Request – City Administrator Prafke recommended approval of a request by the Gustavus Residential Life Department to temporarily close South Seventh Street between West Elm and West St. Paul streets for a “zombie Crawl” event on October 29th from 6-9:00 p.m.   Prafke noted the Gustavus owned homes on the street would provide restroom facilities for attendees and the City’s Public Works Department would provide flashing street barricades to close the roadway.  In motion by Parras, seconded by Kvamme, Resolution No. 2014-160 entitled “Resolution Approving Temporary Street Closure Request” was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2014-160 is contained in the City Administrator’s book entitled Council Resolutions 20. 

Reports

Mayor pro tem’s Report – Mayor pro tem Brand reported he had participated in the Halloween Fun Run and had a very nice time.

City Administrator Prafke reminded residents that curbside leaf collection had begun south of Broadway Avenue and would move to the north end of town on November 10th.

Prafke also encouraged residents to sign up for the Nixle community notification system which was free of charge.

Resolution Calling For Closed Session:  Union Negotiations – City Administrator Prafke requested a closed session as allowed under State law to discuss union negotiations with the Police Officer and Communication Technician unions.  In motion by Kvamme, seconded by Carlin, Resolution No. 2014-161 entitled “Resolution Calling For Closed Session” was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2014-161 is contained in the City Administrator’s book entitled Council Resolutions 20.   

The Council adjourned to closed session in the Traverse des Sioux room at 8:24 p.m.  The discussion on the Police Union contract ended at 8:36 p.m.  Discussion on the Communications Technician contract began at 8:39 p.m. and ended at 8:45 p.m.  The Council returned to open session at 8:45 p.m.

There being no further business, a motion was made by Carlin, seconded by Parras, to adjourn.  With all in favor, the motion carried and the meeting adjourned at 8:46 p.m.