City Council Workshop

10801 Town Square Dr. City of Blaine Blaine MN 55449 Anoka County, Minnesota Minutes - Final City Council Workshop *While this is a public meeting where interested persons are welcome to attend, it is a work session for Council and staff to discuss issues before them. It is not for the purpose of receiving public input. Thursday, November 13, 2014 6:35 PM Cloverleaf Farm Room A Meeting Number 14-61 NOTICE OF WORKSHOP MEETING 1 Call to Order The meeting was called to order by Mayor Ryan at 6:34 p.m. 2 Roll Call Quorum Present. ALSO PRESENT: Clark Arneson, City Manager, Patrick Sweeney, City Attorney; Bryan Schafer, Planning and Community Development Director; Bob Therres, Public Services Manager; Jean Keely, City Engineer; Joe Huss, Finance Director; Bob Fiske, Community Standards Director; Nyle Zikmund, SBM Fire Chief; Chris Olson, Police Chief/Safety Services Manager; Roark Haver, Communications Technician; Jason Sundeen, Senior Engineering Technician; Catherine Sorensen, City Clerk and Recording Secretary Linda Dahlquist. Present: 6 - Mayor Ryan, Councilmember Hovland, Councilmember Swanson, Councilmember Clark, Councilmember Bourke, and Councilmember Kolb Absent: 1 - Councilmember Herbst 3 New Business City of Blaine Page 1 City Council Workshop Minutes - Final November 13, 2014 3-1 WS 14-56 XYLITE STREET TRUCK TRAFFIC Postponed from 11/6/14 Sponsors: Therres Attachments: WEIGHT RESTRICTION MAP.pdf MSA Letter on Rice Creek Pkwy.pdf Public Services Manager Therres stated the Council requested Xylite Street be posted with a truck weight restriction of five tons per axle and enforced with a mobile truck scale checking weight. He stated that Council has also requested “No Truck” posting on Rice Creek Parkway which is not allowed on a Municipal State Aid (MSA) route unless the MSA designation is removed and the City repay funds. He gave an overview of other routes for trucks. Councilmember Swanson asked how Xylite was built. Public Services Manager Therres replied the weight capacity is 5 tons per axel and the road is considered in poor condition now. Councilmember Swanson asked how Rice Creek was built. Public Services Manager Therres replied the weight capacity is 10 tons for this MSA road. He noted in order to remove MSA from the road; the City would have to pay back funds. Councilmember Bourke asked if trucks could use the Frontage Road. Public Services Manager Therres replied there is a restricted left turn. He noted that the road does not meet standards for a left turn per Anoka County. Mayor Ryan asked if Xylite could meet MSA standards. Public Services Manager Therres replied yes it could be a MSA road, but the road would need upgrading from 95th to 93rd. City Engineer Keely stated the Airport owns the property on the east side of the road and MnDOT may not approve a road with 90 degree turns. Councilmember Bourke asked about traffic calming on Flanders. Public Services Manager Therres replied a median already exists for traffic calming on Rice Creek Parkway. Councilmember Swanson asked if a stop sign could be posted at Kane Meadows Park. Councilmember Hovland asked for the type of violations. Police Chief Olson replied over weight trucks received the most violations and are approximately 20%. Councilmember Swanson commented he is concerned about closing Xylite City of Blaine Page 2 City Council Workshop Minutes - Final November 13, 2014 and having all trucks on Rice Creek. Councilmember Clark asked what company trucks are using Xylite. Public Services Manager Therres replied industrial companies such as asphalt and waste management companies. Councilmember Swanson suggested weighing trucks before they go on Xylite. He suggested contracting inspectors. Police Chief Olson replied there are no private contractors for inspections. Councilmember Clark asked when Xylite is scheduled for reconstruction. Public Services Manager Therres replied a portion has been reconstructed to 5 ton. Public Services Manager Therres reiterated that Xylite to be posted as a 5-ton road and staff are to research warrants for a stop sign for Kane Meadows Park. He stated staff will bring a resolution to a future Council meeting. Discussed City of Blaine Page 3 City Council Workshop Minutes - Final November 13, 2014 3-2 WS 14-53 RENTAL LICENSING PROGRAM Sponsors: Fiske Community Standards Director Fiske gave an overview of rental licensing program comparison to eight other metro cities which shows base fee for single family and multi-family, per unit fee, single-family conversion fee, initial license cost-single, renewal license cost-single, initial license cost-multi 18 units, reduced fee, re-inspection fee, inspection schedule, and notes. Councilmember Clark asked for the total number of rental units. Community Standards Director Fiske replied 1,275 single family units. Councilmember Clark asked if staff suggests raising fees. Community Standards Director Fiske replied staff suggest increasing the single family fee to $150 and the reduced fee increased to $75.00 both increases would cover the current deficit. He stated staff also suggested increasing the multi-family fee to $15.00 Councilmember Bourke stated he would only support a fee increase that would cover costs (not a surplus). Councilmember Hovland asked what happens when a property is rented and not licensed. Community Standards Director Fiske replied the City sends a letter to the property owner notifying them of the violation and must comply within 30 days or a fine will be issued. Councilmember Clark commented a large conversion fee may be a deterrent for rental licensing. Community Standards Director Fisk stated single family and townhomes result in 850 inspections a year. He noted each inspection requires a minimum of 30 minutes for travel, inspection, and data entry with no violations and with violations require an additional 425 hours. Councilmember Clark commented he would want staff to focus on external inspections on single-family homes and not as much for the townhomes with associations. He commented an additional FTE is needed. Councilmember Hovland asked how apartment complexes fit into the fees. Community Standards Director Fiske replied apartment complexes are different. Councilmember Kolb asked if a higher fee would affect affordable housing and manufactured homes. Community Standards Director Fiske replied manufactured homes are treated as single-family homes. City of Blaine Page 4 City Council Workshop Minutes - Final November 13, 2014 Councilmember Clark commented the City’s goal should be to increase exterior inspections. Council consensus on funding an additional FTE and increase fees to cover expenses. Community Standards Director Fiske commented duplexes have shared entryways and townhomes have separate entrances. He noted the structure determines the classification. Councilmember Bourke left the meeting at 7:55 p.m. Councilmember Swanson commented he is concerned about the townhomes on Cloverleaf. Councilmember Hovland commented the townhomes that are in associations do not have exterior deterioration and the townhomes that are not in associations have exterior deterioration. He asked if staff track the townhomes that are not in associations. Community Standards Director Fiske replied staff does have a list. City Manager Arneson summarized staff will return to Council with a fee proposal, adding a FTE, annual exterior 360 inspections and interior inspections every third year. Councilmember Hovland left the meeting at 8:02 p.m. and returned at 8:03 p.m. Councilmember Clark suggested mailing to owners the new fee schedule. Community Standards Director Fiske replied all rental properties will be notified with their renewal applications. Discussed City of Blaine Page 5 City Council Workshop Minutes - Final November 13, 2014 3-3 WS 14-57 2015 GENERAL FUND BUDGET UPDATE Sponsors: Huss Finance Director Huss stated the City Manager amended budget showed a funding surplus due to expenditure reductions; although the tax rate information from the County came back higher than what was anticipated last spring. He stated staff is requesting direction from Council on further reductions. Councilmember Swanson suggested reducing the Pavement Management Program budget. Councilmember Hovland suggested reducing the EDA budget. Mayor Ryan asked about if the senior buildings are sold, what happens to the $60,000 administrative fee. Finance Director Huss replied the revenues would come back to the City’s general fund. Councilmember Hovland asked for the number of proposed new FTEs. City Manager Arneson replied there are three proposed FTEs. Discussed City of Blaine Page 6 City Council Workshop Minutes - Final November 13, 2014 3-4 WS 14-58 2015 PROPOSED BUDGETS - WATER UTILITY FUND; AND SANITARY SEWER UTILITY FUND Sponsors: Huss Attachments: 2015 Water Fund Budget Overview 2015 Sewer Fund Budget Overview Finance Director Huss gave an overview of the preliminary budgets for the Water Utility Fund and the Sanitary Sewer Utility Fund which are divisions of the City’s Public Services Department. Finance Director Huss stated the Water Utility Division employs 9.25 full-time equivalent (FTE) staff, provides water to 95% of the residents of Blaine, and is self-funding from user fees. He stated operating revenues for 2014 are expected to exceed the budgeted amounts and are sufficient to cover operating expenses, so no rate adjustment is recommended for 2015. He noted that the budgeted operating expenses are proposed to increase due to personal services general wage increase and one additional FTE. He commented capital improvements will continue as planned; however in order to fund future system expansion staff recommends Water Access Charge be increased. Mayor Ryan asked if the 105th sewer work is covered under the proposed budget. Finance Director Huss replied yes. City Manager Arneson commented the DNR approves of the test well field and gave the go ahead on getting quotes for digging a permanent well. Finance Director Huss stated the Sanitary Sewer Division employs 3.75 full-time equivalent staff, provides sanitary sewer service to over 96% of the residents of Blaine, and is self-funding from user fees. He stated for revenues the staff projection for the fund would be a rate increase in the next two years to meet financial goals over the coming five-year period. He stated expenses for 2015 are expected to decrease. He noted that the allocation of contractual services is expected to decrease by 5%. He noted that MCES charges are about 59% of operating costs. He stated projections for capital improvements include $3.24 million in improvements. He stated the 5-year projection indicates a sewer rate increase would be warranted in 2016. He noted that it has been 20 years since an adjustment was made in the sewer fund. Councilmember Clark asked if trunk extension expenses will be recouped by the City. Public Services Manager Therres replied yes from the developers in the future. City of Blaine Page 7 City Council Workshop Minutes - Final November 13, 2014 Councilmember Clark asked about the age of the treatment plant. Public Services Manager Therres replied Aquatore is ten years old. Discussed OTHER BUSINESS Councilmember Kolb commented the Historical Society was awarded $10,000 for the development of a historical book, but there is no real plan for the book. She is suggesting $2,000 be given to another organization such as the food shelves or Alexander House. Council consensus that milestones need to be developed for the historical book. Councilmember Swanson commented that he had reviewed the attorney proposals and he suggests sample questions be developed on services and fees for the interviewing process. He noted there are many variations on services and fees. Council discussion on the proposal criteria. City Manager Arneson commented it has been verified from the State that newly elected Councilmembers are not eligible to review private data until he is sworn in. Police Chief Olson stated the email on Police brutality was sent to the Council. He stated a dog was confiscated and returned to the owner’s mother. He noted that the mother paid the fine on behalf of her son. ADJOURN The Workshop adjourned at 9:10 p.m. City of Blaine Page 8