City Council

ANDOVER CITY COUNCIL WORKSHOP MEETING – OCTOBER 25, 2022 MINUTES The Workshop Meeting of the Andover City Council was called to order by Mayor Sheri Bukkila, October 25, 2022 at 6:00 p.m., at the Andover City Hall, 1685 Crosstown Boulevard, Andover, Minnesota. Councilmembers present: Valerie Holthus, Jamie Barthel, Ted Butler, and Randy Nelson Councilmember absent: None Also present: City Administrator, Jim Dickinson Public Works Director/City Engineer, David Berkowitz City Attorney, Scott Baumgartner Others DISCUSS CROSSTOWN BOULEVARD NW TRAIL (XEON STREET NW TO 159TH AVENUE NW)/23-12 The Council is requested to discuss Crosstown Boulevard NW Trail from Bluebird Street NW to North of Fire Station #3 easement needs. Mr. Berkowitz updated the Council on the progress of the project. He stated staff has contacted property owners and are working on acquiring easements. Mr. Berkowitz asked the Council to provide direction on staff on how to proceed with the cost of acquiring the easements. He estimated the easements would cost around $150,000. Mr. Berkowitz proposed $2 per square foot for the utility easement, and up to an additional $1 per square foot for trail depending on circumstances. He asked the Council if they were interested in building the trail in segments if they can’t reach agreements with property owners. The Council reached consensus to offer $2 per square foot for easement and granting staff latitude to go up to $3 per square foot in negotiations depending on unique circumstances. The Council will consider building the trail in segments if the segments make sense. Staff will provide regular updates on easement negotiation progress. (CONTINUED DISCUSSION) TOBACCO LICENSING/SALE OF TOBACCO RELATED PRODUCTS The City Council is requested to review proposed changes to the tobacco ordinance. Mr. Dickinson Andover City Council Workshop Meeting Minutes – October 25, 2022 Page 2 and Mr. Baumgartner reviewed previous meetings and past direction from the Council. The Council thoroughly discussed ordinance impacts and are providing direction as follows:  Limiting number of licenses to 17 citywide  Increasing administrative penalties o First offense: $250 fine o Second offense: $500 fine and suspension of license for no less 3 days and up to 7 days o Third offense: $1,000 fine and suspension of license for no less than 7 days up to 30 days appeal with an administrative hearing within 10 days  License holder may appeal and are required to pay all costs relating to the administrative hearing  The administrative hearing will be conducted by an Administrative Hearing Officer  Not allowing self-service sales  Keeping product away from public with a barrier for lower stocked items Staff will redraft the ordinance and bring back to Council at a future workshop. RECESS AND RECONVENE Mayor Bukkila recessed the meeting at 7:35 p.m. The Council reconvened at 7:50 p.m. DISCUSS MUNICIPAL STRUCTURE The City Council was requested to discuss and review information regarding implementation of a ward system. Mr. Dickinson stated the City of Andover is a Plan A statutory City and there is no authority for a statutory city to adopt a ward system. He explained the City can authorize a Charter Commission, go through the charter process, and place it on the ballot. Councilmember Holthus stated she requested the ward system be looked at because the rural part of Andover is very different than other areas and she is concerned about them not being represented. She understands that changing the form of government is a daunting task. Her priority is to have the rural area represented. Councilmember Butler stated it is incumbent on the City Council to represent all residents of the City. Mayor Bukkila stated all residents have five Councilmembers to contact, as they are elected City-wide. Staff was directed to not pursue further study. Andover City Council Workshop Meeting Minutes – October 25, 2022 Page 3 SEPTEMBER 2022 COMMUNITY CENTER UPDATE The City Council is requested to receive an update on the Community Center for the month of September. Mr. Dickinson stated 2022 is ahead of 2021. He explained ice revenue was higher in 2021 due to one-time ice rentals. He noted personnel expenses are higher due to overtime of full- time employees earlier in the year. Mayor Bukkila asked how the City can reduce the end of year loss for the Community Center. Mr. Dickinson stated the City can go after more revenue and hold the line on expenditures. Mr. Dickinson stated the City is hosting the US Hockey Hall of Fame Women’s College game with the University of Minnesota and St. Cloud State on Monday, November 7th. The facility will be turned over for voting the next day. The Community Center recently hosted a Tier 1 girls hockey invitational with teams from around the Country. Mr. Dickinson reviewed Community Center activities and facility usage. He stated the pickleball players are returning. The concession vendor is operating and they are receiving good feedback. Councilmember Holthus asked if the Community Center will limit the number of people using the walking track. Mr. Dickinson stated staff monitors the walking track when there is a practice or a game on the rink. Mayor Bukkila asked for a report on crimes around the Community Center. 2023 BUDGET DISCUSSION The City Council is requested to continue discussion on the 2023 budget. Mr. Dickinson stated the Anoka County Assessor is showing a 23.44% increase in the taxable market value for the preliminary 2023 tax rate calculations. The preliminary 2023 property tax rate is anticipated to decrease by close to 14.5 % (from 36.081 to 30.863). Mr. Dickinson stated the City needs to plan for a reduction in fiscal disparities in a few years. He stated the Fire Department has been training firefighters in EMT training prior to firefighter training. This will allow them to respond to medical calls sooner and prior to becoming a certified firefighter which takes a year. Mayor Bukkila stated many police departments no longer require officers to maintain first responder status putting the burden on fire departments and EMS. Mr. Dickinson stated the Public Works Union contract has a 2.75% COLA increase. He stated most cities are 3% and higher. He is concerned that the City will fall behind the market and lose employees. Mr. Dickinson stated the City is staying with the existing Health Partners Open Access Andover City Council Workshop Meeting Minutes – October 25, 2022 Page 4 program with a 3% increase. 2023 SPECIAL REVENUE, DEBT SERVICE, CAPITAL PROJECTS, ENTERPRISE, AND INTERNAL SERVICE FUNDS BUDGET DISTRIBUTION AND DISCUSSION The City Council is requested to review the Special Revenue Funds of the Economic Development Authority Fund, Community Center, Charitable Gambling Fund, and CARES Act/ARPA Funding Fund. Mr. Dickinson stated charitable gambling is up. Mr. Dickinson stated the fund balance for Central Equipment Fund is lower than desired. He indicated the fund may need to increase fees or secure a transfer of funds. OTHER BUSINESS None ADJOURNMENT Motion by Holthus, Seconded by Butler, to adjourn. Motion carried unanimously. The meeting adjourned at 8:55 p.m. Respectfully submitted, Shari Kunza, Recording Secretary TimeSaver Off Site Secretarial, Inc.