Anoka City Council

November 7, 2022 (Regular) Page 1 of 6 REGULAR MEETING OF THE ANOKA CITY COUNCIL ANOKA CITY HALL CITY COUNCIL CHAMBERS NOVEMBER 7, 2022 1. CALL TO ORDER Mayor Rice called the regular meeting of the City Council to order at 7:00 p.m., followed by the Pledge of Allegiance. 2. ROLL CALL Present at roll call: Mayor Rice, Councilmembers Barnett, Skogquist, Weaver and Wesp. Staff present: City Manager Greg Lee; Public Services Director Mark Anderson; Police Captain Andy Youngquist; Electric Director Del Vancura; Assistant City Engineer Ben Nelson; and City Attorney Scott Baumgartner. Absent at roll call: None. 3. COUNCIL MINUTES 3.1 October 3, 2022, Special Worksession. October 12, 2022, Special Meeting/Closed Executive Session. October 17, 2022, Regular Meeting. Councilmember Skogquist inquired about follow-up for closed sessions. City Manager Greg Lee said once a closed session topic is resolved minutes and recordings can be released and published but said it may be a good idea for the minutes to be formally approved. He said staff is currently reviewing the status of all closed session topics which will be shared on the City’s website for the public. Motion by Councilmember Skogquist, seconded by Councilmember Wesp, to approve the October 3, 2022, Special Worksession, October 12, 2022, Special Meeting/Closed Executive Session, and October 17, 2022, Regular Meeting minutes as presented. Vote taken. All ayes. Motion carried. 4. OPEN FORUM 4.1 Police Activity Update. Police Captain Andy Youngquist reported all Anoka Halloween activities went well with the exception of an accident during the parade where a small child fell November 7, 2022 (Regular) Page 2 of 6 off a float and sustained minor injuries. He thanked the Public Works Department for all their work making this a safe event and noted there were not as many volunteers as in the past so those positions were staffed with Public Works. He added they had over 70 volunteers from area departments and 12 additional sworn personnel to assist. Captain Youngquist shared about the Coats from Cops event at Green Haven where they collected winter wear for 50 youth then shared about the upcoming winter holiday celebrations and the importance of not driving under the influence. 4.2 Highway 10 Anoka Construction Update. Assistant City Engineer Ben Nelson shared an update on construction status that included the project’s hotline contact information then reviewed current and upcoming closures, temporary signals, and further communications regarding construction projects. Councilmember Weaver asked when the 4th Avenue bridge will open. Mr. Nelson reported the bridge will be open November 15. Councilmember Skogquist asked if the trail will be paved and open over the winter. Mr. Nelson said the trail will be attached to the new bridge and open as well. Councilmember Wesp shared that Ryan Companies had mailed information to the Rum River Shores neighborhood for an open house on November 16 regarding a project for the 14 acres north of Bunker Lake Boulevard that included a grocery store anchor and noted while there may be the need for closed sessions at times during the process for land negotiations residents can be involved as the project moves forward. Councilmember Weaver spoke about how some in the community continue to say the Council has been holding secret meetings in violation of open meeting law. City Attorney Scott Baumgartner outlined reasons for closed meetings which include real estate transactions and commented that those who feel secret meetings are being held may not fully understand the law and suggested the need for public education on the topic. He stated everything the Council has done regarding closed meetings has been authorized by State law and protects the City and Council in their decision-making ability. OTHER INFORMATION UNDER OPEN FORUM None. 5. PUBLIC HEARING(S) None. November 7, 2022 (Regular) Page 3 of 6 6. CONSENT AGENDA Motion by Councilmember Skogquist seconded by Councilmember Weaver, to approve Consent Agenda Items 6.1 through 6.6 as presented. Councilmember Skogquist highlighted the December worksession meeting date change due to the City’s holiday schedule. 6.1 Approve Verified Bills. 6.2 Revising and Setting Council Calendars. 6.3 U.S. Highway 10/169 Improvement Project; Approve Change Order Numbers 19, 30, and 31. 6.4 U.S. Highway 10/169 Improvement Project; Repayment of Right-of-Way Acquisition Loan Fund (RALF) Loans and Cooperative Construction Agreement Amendment #1. 6.5 Issuance of a Tree Care/Arborist License; Zielies Tree Service, Inc. 6.6 Move December Worksession to December 12, 2022. Vote taken. All ayes. Motion carried. 7. REPORTS OF OFFICERS, BOARDS AND COMMISSIONS 7.1. Planning Items. None. 8. PETITIONS, REQUESTS AND COMMUNICATION None. 9. ORDINANCES AND RESOLUTIONS 9.1 RES/Amending the Minnesota Municipal Power Association Power Sales Agreement; To Extend the Agreement. RESOLUTION Paula Houts, AMU, shared a background report stating Anoka Municipal Utility has an agreement with MMPA (MN Municipal Power Association) to purchase power through December 31, 2050. MMPA takes a long-term approach to power supply planning that includes assembling a diversified portfolio of owned and November 7, 2022 (Regular) Page 4 of 6 purchased generation containing both conventional and renewable resources. In order to continue to supply power at a cost below the wholesale market, MMPA would like to amend the contract by extending it through 2060. This agreement was discussed at the September 21, 2022 Utility Board meeting and was unanimously agreed to extend the contract. The amendment was brought before the Council at the October 24, 2022 worksession. Councilmember Weaver confirmed the amendment had been reviewed by the City Attorney and asked what happens if MMPA fails and there is an agreement in place. Mr. Baumgartner outlined the terms which included an escape clause of five years. Mayor Rice spoke about the importance of long-term investment and planning for the future and how the electric utility saves taxpayer money and is a very good asset to have. Councilmember Skogquist spoke about recent increase to the MMPA’s credit rating. Motion by Councilmember Skogquist seconded by Councilmember Barnett, to adopt a resolution approving the Minnesota Power Agency power sales agreement amendment to extend the agreement. Upon a roll call vote: Mayor Rice, Councilmembers Barnett, Skogquist, Weaver and Wesp voted in favor. Motion carried. 10. UNFINISHED BUSINESS None. 11. NEW BUSINESS None. 12. UPDATES AND REPORTS 12.1 3rd Quarter Financial Report. Finance Director Brenda Springer shared the City’s 3rd quarter financial report stating total revenues were up approximately $5.7 million compared to 2021 due to the ARPA grant and increase in utility revenue. Sher reviewed governmental funds with assets of $14.5 million and liabilities of $11.6 million, reviewed the proprietary funds, general fund revenues up $1.4 million from last year, enterprise funds revenues and internal service funds including central garage fund, information services, and benefit liability fund. Ms. Springer reviewed cash and investments which were up about $2 million from 2021 and the current yield on November 7, 2022 (Regular) Page 5 of 6 investments was less than 1% then reviewed the rest of the investment holdings. She stated the City continues to have a strong financial position and sustainable plans into the future. Councilmember Skogquist asked about the 4% of funds that are kept not liquid and result in no penalty. Ms. Springer explained funds in a 12-month investment mode and how money markets are increasing but not as high as long-term investments Councilmember Barnett inquired about the City’s credit rating. Ms. Springer said Anoka was currently rated as AA+, just below the highest rating, adding Anoka County was rated AAA. She said ways to increase the City’s rating included stronger infrastructure, more construction, higher-priced homes and higher-paying jobs. Councilmember Wesp asked questions about transfer in from other funds and compensation up $327,000. Ms. Springer explained the use of fund balance and explained the increase was year-to-date due to pay increases as well as open positions not filled, adding if they are filled will result in higher salary reporting than previous years. Councilmember Barnett asked why it is acceptable to have a negative cash balance and still be in a good financial position. Ms. Springer explained that restricted funds are funds not easily turned into cash such as land and how our total budget for the general fund is over $65 million and that while some areas of the budget are lower and others higher overall the City is in a good financial position. Mayor Rice stated the City has a very large budget with many moving parts which can fluctuate but not affect the overall budget. 12.2 Tentative Agenda(s). The Council reviewed the tentative agendas of the upcoming Council meetings. 12.3 Update/Reminder; Minnesota Department of Transportation Highway 47 (Ferry Street) and BNSF Railroad Project Open House; Monday, November 14, 2022, 4:30-6:30PM at the Anoka Hennepin Education Service Center. Mr. Nelson shared open house on 11-14 at Anoka Hennepin Education Center for the Highway 47 (Ferry Street and BNSF Railroad crossing/grade separation project for the preferred alignment. Councilmember Weaver spoke about a resident concern for this project’s location and MnDOT’s plan for McKinley and Bunker Lake Boulevard and how it will move traffic more quickly but create difficulty in access and asked when those November 7, 2022 (Regular) Page 6 of 6 discussions will occur. Mr. Nelson said the City is on a list for funding of this project once the Highway 10 project is complete then reviewed the proposed project in detail. Mr. Lee said the City stepped in to work on this project for our residents and said the parameters include left-turn lanes and a signal at McKinley, adding there will be informational meetings held with residents as the project moves forward. Councilmember Weaver asked about the current speed limit on McKinley and Bunker Lake Boulevard. Captain Youngquist responded the speed limit was 40 mph. Mr. Lee noted speed limits were governed by MnDOT at the 85th percentile and will likely remain at 40 mph but will be safer because of inclusion of the left turn lanes. Councilmember Skogquist encouraged anyone to attend the open house and share their comments. Mayor Rice asked about the potential for two lanes in each direction and how the right-of-way is already narrow and are we just postponing a future project by doing a single lane now. Mr. Lee responded this was the best solution for Highway 47 as it will function very well for 30 years and that four lanes would be best with the current right-of-way. Mr. Nelson added a center median would be required if more lanes were added which would result in no driveway access. 12.4 Staff and Council Input. None. ADJOURNMENT Councilmember Wesp made a motion to adjourn the Regular Council meeting. Councilmember Weaver seconded the motion. Vote taken. All ayes. Motion carried. Time of adjournment: 7:53 p.m. Submitted by: Cathy Sorensen, TimeSaver Off Site Secretarial, Inc. Approval Attestation: Amy T. Oehlers, City Clerk