Anoka City Council

November 23, 2020 (Worksession) Page 1 of 7 WORKSESSION OF THE ANOKA CITY COUNCIL ANOKA CITY HALL CITY COUNCIL CHAMBERS NOVEMBER 23, 2020 1. CALL TO ORDER Mayor Rice called the worksession meeting to order at 5:04 p.m. 2. ROLL CALL Present at roll call: Mayor Rice, Councilmembers Barnett, Freeburg, Skogquist, and Wesp. Staff present: City Manager Greg Lee; Police Chief Eric Peterson; Engineering Technician Ben Nelson; Director of Public Services Mark Anderson; Community Development Director Doug Borglund; Finance Director Brenda Springer; and Public Services Administrator Lisa LaCasse. Absent: None. 3. COUNCIL BUSINESS and/or DISCUSSION ITEMS 3.1 Discussion; Update on Animal Containment Facility. Director of Public Services Mark Anderson shared a staff report with background information for a construction update for the Golf Maintenance Building as well as a planning meeting for the proposed future Law Enforcement Training Facility (AC/LETF) at 400 Green Haven Road. The new Golf Maintenance building will be substantially complete by year end allowing us to move into this new building with demolition of the existing Park Service Center tentatively scheduled for February 2021. While the new Golf Maintenance project does include provisions for animal containment, Police Chief Peterson has said it would be optimal to have animal containment located at the Public Safety site on Third and Harrison. Because the Police will have lost their Law Enforcement Training Facility (LETF) with the demolition of the Park Service Center, it would also be optimal to reconstruct LETF as part of this project creating AC/LETF. At a previous work session Council directed staff to move forward with design, plans and specifications for the AC/LETF which are now 95% complete and, pending Council approval, staff will move toward Planning Commission review and bidding of the project. Mr. Anderson stated if the Law Enforcement Training and Animal Containment are to be included now would be the best time as construction costs continue to rise exponentially and funding is readily and affordably available. He shared the tentative schedule and financial impacts and asked for Council direction. November 23, 2020 (Worksession) Page 2 of 7 Police Chief Eric Peterson shared advantages of constructing the AC/LETF at the Public Safety Site and said residents have come to expect these services. He said the loss of the training facility was impactful and explained how they relied on onsite training, which was more important than ever due to increased criminal complaints, potential lawsuits, loss of personal and professional credibility and public perception. He said while leasing a range was possible having a private range offers better training possibilities. Councilmember Freeburg asked if there could be revenue generation from other departments for use of the training facility. Chief Peterson replied they used to lease time and that neighboring agencies would be interested in leasing range time again from the City. Councilmember Barnett confirmed the $2.15 million project estimate did not include the $1 million from the sale of the two parcels so the bond request could be reduced to $1.15 million. Finance Director Brenda Springer confirmed the bond request could be reduced resulting in $11.50/year for 20-year bond. Councilmember Barnett inquired about impacts if the City were to bond for 10 years instead of 15 years. Ms. Springer responded the result would be less interest costs. Councilmember Skogquist asked about the building improvement fund and amounts and if there were other needs for these funds such as the proposed $1-2 million improvements at the Public Works facility. Ms. Spring explained the building capital fund uses and how the City could either transfer from the fund or bond. Mr. Anderson said the proposed improvements for roof, painting at HVAC at the Public Works facility have been reduced to approximately $500,000 and have been budgeted for in the Capital Improvement Plan. Ms. Springer added the sewer, water and electric funds would be contributing to those improvements. Councilmember Barnett asked if any other monies were included or if there were prior land sales included as well. Ms. Springer said she was not aware of any other land sales that could be used toward this project. Councilmember Skogquist asked about the bonding timeline and total bond amounts. Ms. Springer said the Council could decide not to bond up until the time of the award and if approved would occur mid to late January and be funded out of the debt service funds and become part of the levy. Councilmember Barnett said this facility was something the community needs, especially with the focus on relationship building and had a good plan in place for its use. She said the ability to utilize funds on hand or bond at an affordable rate now was a better plan than paying more for a facility later that we truly need. November 23, 2020 (Worksession) Page 3 of 7 Council consensus was to support going out for bid for the Animal Containment Facility/Law Enforcement Training Facility for 2021. Mr. Anderson said staff would work on finalizing the project and timing for bidding in 2021. 3.2 Discussion; Potential River Bank Erosion Stabilization Options. Public Services Administrator Lisa LaCasse shared a staff report with background information that shared a timeline for events regarding the sloughing of the riverbank on the north end of the Woodbury House property. This property will be retained by the City when the Woodbury House property is sold and the stone trail along the bluff line is in danger of falling down the riverbank in the area where the sloughing is the most severe. The stones mark the route of a historic Native American path that follows the bluff-line down to the Rum River. Ms. LaCasse outlined the estimated project cost for a temporary, short-term solution of approximately $455,000 – $567,000 and noted there was no money budgeted in the storm water fund for any of these improvements. She outlined the next grant application period for Clean Water Funds would be August 2021 for funding year 2023/2024 and noted while a long-term solution has not yet been identified it could incorporate more permanent elements such as additional slope stabilization measures, vertical elements (i.e. walls), more thorough vegetation appropriate for the location/setting, and opportunities for other elements such as landscaping, trails, etc. Engineering Technician Ben Nelson explained possible solutions including stacked blocks and vegetated geo-grids, soil-nailing and costs and said staff was seeking direction on possible solutions and next steps. Councilmember Skogquist asked if the proposed costs would correct the issue. Ms. LaCasse responded this would be a short-term fix only and that they hoped further review by the engineering consultant would help identify a long-term solution that would include survey work and a repair period of 2-5 years. Councilmember Freeburg asked more about the construction process and removal of trees and if old concrete would be removed. Mr. Anderson explained they would likely work from both the top and bottom to accomplish the work and how that material has helped retain the slope, adding the repair would consist of two phases and include a river walk in the future. Mayor Rice asked if the temporary measure should be skipped and instead invest in the second phase now. Mr. Nelson explained how the two phases would work together to address the problem and allow time to apply for grants for the long- term solution. Councilmember Barnett noted there was only one quote for one type of short-term solution and said she would like to see other options including other diversion November 23, 2020 (Worksession) Page 4 of 7 work and how long this repair would last, adding concerns about receiving the grant funding and how to address if not awarded. Councilmember Skogquist said this appeared to be a lot of money for a short-term solution and asked if the DNR would accept a simpler solution until we can better review this project. Councilmember Wesp said the area has had severe erosion already and was worsening quickly and said we have to consider the historical aspect as well as access of public docks on the channel side and the need to move quickly to ensure the Rum River remains navigable. Councilmember Freeburg suggested trees on the hillside be cut on top to lighten the load and delay further erosion and supported shoring up the bottom in phases. Councilmember Barnett asked about funding for the project. Ms. Springer replied the City’s fund balance and cash reserves were established for emergency expenses such as and that the City had sufficient funds on hand. She added the golf fund transfer would not be needed this year and that CARES Act funding was used for police services so those funds could be used as well. Councilmember Wesp inquired about the project timeline. Mr. Nelson said the project would take six months to get to construction so if the process started now the project could begin in the spring and be on the same timeframe as the Kings Island project and allow time for permits to be approved by the DNR. Mayor Rice asked if boulders could be permanent structures as recommended. Mr. Nelson said the bank is vertical and cutting back to allow for retaining walls would affect the trail on top. Ms. LaCasse spoke about possibilities such as boulders and J-hooks but added staff requested the engineering firm for the quickest solution at this time. Jeff Weaver, Anoka, shared funding options could be obtained through Anoka County Parks to help address public property challenges and protect historic features and that time was of the essence and suggested staff contact the County to discuss possible partnerships through Legacy funding. Council consensus was to request Bolton Menk to submit further design and timing options to stabilize the bank. 3.3 Discussion; 2021 Budget Discussions. Ms. Springer shared a staff report with background information stating on September 21, 2020, the City Council set the preliminary General Fund Levy increase at 3.93%. She said several changes have occurred since setting the November 23, 2020 (Worksession) Page 5 of 7 preliminary GF levy in September that could affect the budget that the City Council may wish to discuss that included not funding Community Education, reducing Police radios, reduction in IT transfer, not increasing the Police Officer position and other financial impacts. She said with the success the Golf Fund has had this year we will not need to make that transfer which will help the General Fund be under budget in 2020 and increase the fund balance. She said staff was seeking direction from the Council on possible additional budget cuts prior to the Public Hearing on December 7, 2020. Councilmember Wesp shared comments about ways to accomplish a zero percent levy increase for 2021. Councilmember Freeburg said he supported the reductions as proposed with the exception of removing the police officer position from the proposed budget. Councilmember Skogquist spoke about the needs and a reasonable levy increase compared to surrounding cities and said he did not want to decrease too much and should keep the proposed rate as previously stated. Councilmember Freeburg spoke about the need to be as frugal as possible while recognizing impacts to property taxes. Ms. Springer discussed options that would bring the levy increase to 1.24%, stating the Green Haven improvements totaling $27,000 had already been removed. Mary Blakenship, Park Board, shared impacts due to budget decreases and said she felt proud that the City made youth activities available through community education and supported the City retaining the community education budget, noting there had been no increases since 1993. Councilmember Wesp noted Anoka and Coon Rapids were the only cities supporting community education and shared frustration regarding the school district’s management of building use and proposed removal of Goodrich Field and having residents pay for these items when the majority of youth attending Anoka schools were not Anoka residents. He said the funds should be redirected to help residents in other ways. Councilmember Barnett confirmed the Fire Board budget line item would be included and lower the levy and said she did not support reducing the budget request for the police officer. She asked if the reduction in IT services would eventually be higher due to the increase of staff working from home and asked for a recommendation of a portion of that reduction instead. Ms. Springer said most of the staff working from home received new laptops this year and with not having to replace again for another five years a portion of that budget could be kept to help build our reserve for the replacement. November 23, 2020 (Worksession) Page 6 of 7 Councilmember Barnett asked if the four new radios were integral and could be bypassed. Chief Peterson explained the plan for radio replacement that was working well and once complete the budget need could stop for several years until technology changed but said they were still a few years out to reach full replacement. Councilmember Barnett said she would be in favor of tabling the $69,000 request for community education and while it could be reallocated in the future this amount should be brought to Anoka residents at this time. Councilmember Skogquist disagreed, stating the funding goes to specific activities for City residents and did not think cutting community education funding at this time was appropriate. He said they have been working on virtual programming to adapt to COVID-19 restrictions and said the concern should not be about Goodrich Field but about communities of people in need in our City. Commissioner Blakenship shared about the play produced by community education and how they were not allowed to do actual performance due to the pandemic and highlighted their creativity such as take-home kits for youth during this time who still benefited from the programming. Councilmember Freeburg asked what other cities contribute to community education and noted food programs were more important than activities. Ms. LaCasse said Anoka and Coon Rapids were the only two cities who contributed and how the funding was used to ensure youth in schools participated in the offerings who were on free/reduced lunch then shared reasons why some other cities were no longer participating. Ms. Springer explained the fiscal calendar and how the budget impact would only be $34,000 as the City had already committed to six months of support in 2021. After further discussion Council consensus was to bring forward a 2.03% levy increase and decrease the community education funding to $34,000. City Manager Greg Lee suggested reducing IT services by $5,000 to further reduce the levy. Mayor Rice asked how this would affect the stabilization project. Ms. Springer said this reduction would not affect that project because it would be funded through cash reserves. 3.4 Discussion; COVID-19 Discussion on Business Impacts and City Assistance. Community Development Director Doug Borglund shared a staff report with background information stating City staff, along with Councilmember Skogquist and Councilmember Elect Weaver, met with several businesses to discuss impacts November 23, 2020 (Worksession) Page 7 of 7 to their businesses as a result of the recent Governor’s Emergency Executive Order 20-99. The purpose of this meeting was to pose the question to affected businesses as to how the City can assist them during this period. He outlined some of the areas proposed which included establishing take out pick up areas by converting public parking spaces through the use of signage, expanding the rebate of liquor license fees to now include this new period where business cannot sell liquor or use their license to the full capacity, and providing some relief of electric utility bills for business affected by the latest Emergency Order 20-99. Mr. Lee expanded on the liquor license fee reductions and said if directed the City would wait to apply any reductions until the current order was expired and would consider compliance with the order prior to any reductions given. Councilmember Freeburg said any relief should work to retain current businesses as it will cost more to recruit new businesses should they fail. Councilmember Barnett asked for more parameters to better define compliance as these reductions were an incentive and confirmed the catch-up plan for electric bills was already in place and asked staff to make sure all license holders were aware of the option. Councilmember Skogquist asked what the flat rate was to have electric service. Ms. Springer said the fee was $40 per month and if waived would total approximately $1200. Discussion was held if electric fee reductions should be done with all restaurant types and not just those with liquor licenses and impacts to the fund and ways to soften the burden of utility bills to help businesses stay viable as every business was being impacted. Councilmember Barnett said she felt this was not enough and not fair across the board and suggested utilizing funds from WAC/SAC instead. Mr. Lee suggested summarized the Council was supportive of curbside pick-up and signage, prorating liquor licenses as proposed with compliance being defined as no State violation issued, and would ensure all businesses were contacted regarding the available electric utility relief options. 4. ADJOURNMENT Motion by Councilmember Freeburg, seconded by Councilmember Wesp to adjourn the Worksession at 6:48 p.m. Motion carried. Submitted by: Cathy Sorensen, TimeSaver Off Site Secretarial, Inc. Approval Attestation: Amy T. Oehlers, City Clerk