City Council Agendas & Packets

AGENDA OF THE WORK SESSION CITY OF EAST GRAND FORKS TUESDAY, SEPTEMBER 10, 2024 – 5:00 PM CALL TO ORDER: CALL OF ROLL: DETERMINATION OF A QUORUM: 1. Review of Bid Results for 2024 City Project No. 1 for SCADA System Improvements – Steve Emery 2. Consider Contract Project Closeout for 2022 City Project No 6 HAWK System – Reid Huttunen 3. Consider Remodel of Community Development/Economic Development Office – Nancy Ellis 4. Request to Host 50th Anniversary Celebration at the Civic Center – Jeremy King 5. Review of Absentee/Early Voting Process for General Election – Megan Nelson 6. Discussion on 2025 Preliminary Budget – Karla Anderson & Reid Huttunen ADJOURN: Upcoming Meetings Council Meeting – Tuesday, September 17, 2024 – Council Chambers – 5:00 PM Work Session – Tuesday, September 24, 2024 – Training Room – 5:00 PM Council Meeting – Tuesday, October 1, 2024 – Council Chambers – 5:00 PM Work Session – Tuesday, October 8, 2024 – Training Room – 5:00 PM Individuals with disabilities, language barriers or other needs who plan to attend the meeting and will need special accommodations should contact Nancy Ellis, ADA Coordinator at (218)-773-2208. Please contact us at least 48 hours before the meeting to give our staff adequate time to make arrangements. Also, materials can be provided in alternative formats for people with disabilities or with limited English proficiency (LEP) by contacting the ADA Coordinator (218)-773-2208 five (5) days prior to the meeting. 1  AGENDA ITEM # 1 Request for Council Action Date: September 5, 2024 To: East Grand Forks City Council Mayor Steve Gander, Council President Mark Olstad, Council Vice-President Tim Riopelle, Council Members Clarence Vetter, Dale Helms, Brian Larson, Ben Pokrzywinski and Karen Peterson Cc: File From: Steve Emery, P.E. RE: Bid Results – 2024 City Project No. 1 – SCADA System Improvements Background: We will be receiving bids for the above referenced project at 10:00 A.M. on September 10th. We will tabulate the bid received and bring the bid tabulation to the work session meeting for review and discussion. Estimated Total Project Costs: To be determined. Funding: Wastewater and Stormwater Enterprise Funds Recommendation: No recommendation until bids are received. Enclosures: None 2  #2 Request for Council Action Date: September 10, 2024 To: East Grand Forks City Council Mayor Steve Gander, Council President Mark Olstad, Council Vice-President Tim Riopelle, Council members Clarence Vetter, Ben Pokrzywinski, Dale Helms, Brian Larson, and Karen Peterson. Cc: File From: Reid Huttunen, City Administrator RE: Contract Project closeout for 2022 City Project No. 6 – HAWK System ______________________________________________________________________________ Background: 2022 City Project No. 6 was scheduled to be substantially completed on or before August 11, 2023. The project was not substantially completed until January 23, 2024, due, in part, to delays in materials for the crossing signal pedestal poles. The City is currently holding $14,762.69 in project retainer on this project. As the project was being delayed, there were suggestions from a few City Council members that we should consider our options for Liquidated Damages on the project. City Attorney Ron Galstad, City Engineer Steve Emery, and myself have reviewed the Construction Contract for this project. The General Contractor, Ti-Zack Concrete, and its subcontractors have confirmed with Mr. Emery their schedule of ordering the necessary materials for the project. The specific materials that were delayed were ordered by Traffic Control Corporation on 1/27/2023, with final shop drawings approved on 3/31/2023. The order was not shipped by Pelco until 1/3/2024, a nearly 10-month lead time. Upon review of the pertinent details of the project, it is our recommendation not to pursue Liquidated damages on this project. Reasoning for this recommendation includes the following: - General and Subcontractors have verified they ordered the materials in a timely manner after the project was awarded. The delay in materials and the project completion was outside of their control. - While the completion of the HAWK system was delayed, the contractor did reinstall and operate the City’s existing flashing beacon system in a timely manner. The Bygland Rd crossing was not left without a pedestrian crossing system for any significant period of time. - Within days of the materials being received, the contractor had the HAWK system installed and operational. - The City did not incur additional project costs due to the delayed completion. 3 Recommendation: Authorize City Staff and Widseth to close out the project and issue payment of the final retainer on City Project No. 6 – Pedestrian Improvements. Enclosures Construction Contract between the City and Ti-Zack Construction Email from Traffic Control Corporation detailing materials order/shipment timeline 4 5 6 7 8 9 10 11 12 13  AGENDA ITEM #3 Request for Council Action Date: September 10, 2024 To: East Grand Forks City Council Mayor Steve Gander, Council members Clarence Vetter, Ben Pokrzywinski, Tim Riopelle, Dale Helms, Mark Olstad, Brian Larson, and Karen Peterson. Cc: File From: Nancy Ellis, Community Development Director RE: Remodel of the Community Development/Economic Development Office Recently, the MPO has contacted my office and is hoping to rent out additional office space for their staff. They would like to rent the EDA Directors Office if we can make space for the new EDA Director in our large open office space. We have reviewed our current space and have come up with a way to provide an office for both the MPO and the EDA. Optimizing space in City Hall for rent or storage has always been discussed and considered and this plan will do that effectively. The plan is to create a new entrance/doorway between the MPO storage room and the EDA director’s office. We will then place soundproof panels in the windows of the old doorway and lock the door. (I do not want to remove the old doorway). We will place a full wall partition in our large space to create a new EDA office. This will have access to the further east door, the storage room door, and a sliding door into the Community Development Office space. Because of the wall partition and the change of the large open area, we will need to remove the cubicles and purchase new furniture and wall partitions for Brenda, Sonny and the Building Inspectors desk (the EDA Director will get a new desk and storage furniture as well). The total cost for the entire remodel is as follows: 1) Make door/entrance in wall to MPO storage: $10,700 2) Soundproof panels for door windows: $1500 to $1800 3) Partition wall with sliding door: $17850 4) Standing partitions between desks in Comm. Dev. Office: $2500, $2700 or $3500 (3 options) 5) New Furniture for Brenda, Sonny, EDA office and Bldg: $6000 TOTAL: $39,050 of which $8700 would be for updating our office to remove old furniture The amount of revenue from the MPO for the new office (at this year’s rental cost) is $13.45/sq ft X 198 sq ft of office space = $2663 per year. Their lease is up this year, and we could increase some to help with the cost of the remodel. Example: $14.50/sqft X 198 = $2871 or $15.00/sqft X 198 = $2970. As well, we do have money available this year in the Building Maintenance fund for the work. Staff recommends the remodel to optimize space, create new office space and update 20+ year old furniture. -1- 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31  AGENDA ITEM #4 Request for Council Action Date: September 9, 2024 To: East Grand Forks City Council Mayor Steve Gander, Council President Mark Olstad, Vice- President Tim Riopelle; Council members Clarence Vetter, Dale Helms, Brian Larson, Karen Peterson, and Ben Pokrzywinski. Cc: File From: Jeremy King, Parks & Recreation Superintendent RE: Request to host a 50th Anniversary Celebration for the Civic Center Background: The Civic Center Arena is celebrating its 50th anniversary this year, marking a significant milestone for our community. To commemorate this occasion, we propose hosting a 50th anniversary celebration that also serves as an opportunity to educate residents about the upcoming sales tax vote in November. This event aims to unite the community for an evening of education, entertainment and celebration. The celebration will be free of charge and would showcase live music by The Downtown Horns. Event Details: • Location: Civic Center Arena, East Grand Forks • Date: Friday October 11th • Time: 5:00pm – 9:00pm • Entertainment: Live performance by The Downtown Horns Budget Impact: Funds have been allocated in the 2024 budget for public education for the upcoming sales tax vote. A total of $4,000.00 is requested to cover the costs associated with the event, including the following: • Band Fee (The Downtown Horns) • Decoration • Promotion & Marketing • Miscellaneous Recommendation: Approve staff to host a celebration commemorating 50 years of events at the Civic Center Enclosure: None -1- 32  AGENDA ITEM #5 Request for Council Action Date: 9/4/24 To: East Grand Forks City Council Mayor Steve Gander, Council President Mark Olstad, Council Vice-President Tim Riopelle, Council members Clarence Vetter, Ben Pokrzywinski, Dale Helms, Brian Larson, and Karen Peterson. Cc: File From: Administration Office RE: Information About Upcoming Absentee or Early Voting The Administration Office has received a phone call asking about early voting. Staff would like to share information about the absentee/early voting process. Absentee voting and early voting are the same thing, anyone that would like to vote early will need to complete an Absentee Ballot application. A copy of the application has been included in the packet or the application could be completed online at the Minnesota Secretary of State’s website: https://mnvotes.sos.mn.gov/abrequest/index Paper applications can be turned into the Administration Office or mailed or emailed to Polk County. Online applications are automatically submitted to Polk County who would mail out the ballot. Absentee/Early voting will be available starting on September 20th in the Administration Office for all five wards. Closer to the election, we will be moving voting to the main floor in City Hall. The absentee/early voting process at City Hall will having voters seal their ballots in an envelope which will be sealed inside another envelope that the voter signs off on and must be witnessed. Election officials in the Administration office can be a witness for those that need. All ballots cast are transferred to Polk County. At Polk County ballots are kept in the locked ballot room until they can be processed. Polk County can start processing ballots before election day, no results are tabulated until after 8 pm, on November 5th. Please contact Megan Nelson in the Administration Office with questions regarding the upcoming election by calling 218-773-2483 or by emailing mnelson@egf.mn. Also staff would like to request moving the council meeting scheduled for November 5th to Wednesday, November 6th because they could be needed to help or assist at the polling places. -1- 33 34 35 36 37  #6 Request for Council Action Date: September 10, 2024 To: East Grand Forks City Council Mayor Steve Gander, Council President Mark Olstad, Council Vice-President Tim Riopelle, Council members Clarence Vetter, Ben Pokrzywinski, Dale Helms, Brian Larson, and Karen Peterson. Cc: File From: Karla Anderson & Reid Huttunen RE: 2025 Preliminary Budget Attached is the 9.10.2024 draft for the 2025 Budget and 2025 Budget Brief (EGF Visioning Goals located on the left side of sheet). Key points to note are the following: • Levy increase of 10% ($693,008) is included in the preliminary budget. o A 1% Levy increase is equal to $69,300 • Payroll increases for 2025 from 2024 amount is $519,582 • Health Insurance o No Health Insurance premium increases are included in this budget. o BCBS Renewal came back at a 17% increase o City Staff have been presented with three Health Insurance options to consider ▪ BCBS renewal; 17% increase ▪ PEIP (Public Employees Insurance Program); 9.1% increase, but requires a 4-year commitment ▪ ICHRA (Individual Coverage Health Reimbursement Arrangement) • ICHRA could show a significant savings on premium, depending upon Baseline plan choice and City contribution amount. • General Fund Reserves o 2023 year end reserves increased by $743,627 o 2025 budgeted fund balance is at 54% of Revenue and Expenditures (with the 2023 Fund balance increase included) o The City’s fund balance policy suggests 35%-50% of expenditures/revenues o 4% of the 2025 Expenditures is approximately $568,648 • At the 3% Levy: Expenses are over Revenues by $522,559 • 10.5% Preliminary Levy would be needed to balance the budget. • In the past, the Final Levy percentage was a reduction from the Preliminary Levy Recommendation: • Set the Preliminary Levy at 10%, option to lower the Final levy % 38  CITY OF EAST GRAND FORKS, MINNESOTA GENERAL FUND REVENUE AND EXPENDITURE SUMMARY September 10, 2024 CHANGE OVER Actual Actual Budget Budget 2024 BUDGET 2022 2023 2024 2025 AMOUNT % REVENUES/SOURCES 1 Property Tax Levy* $ 5,646,759 $ 6,562,480 $ 6,930,081 $ 7,623,089 $ 693,008 10.0% 2 Franchise & Other Taxes 1,702,729 1,667,902 1,567,683 1,608,398 $ 40,715 2.6% 3 Licenses & Permits 107,019 124,848 116,275 114,375 $ (1,900) -1.6% 4 Intergovernmental 2,943,524 2,657,902 2,839,577 2,884,525 $ 44,948 1.6% 5 Charges for Services 1,431,641 1,455,808 1,451,180 1,454,454 $ 3,274 0.2% 6 Fines & Forfeits 80,311 75,478 118,000 68,500 $ (49,500) -41.9% 7 Other Revenues 179,633 222,532 38,500 110,400 $ 71,900 186.8% 8 Other Financing Sources 133,285 154,239 266,600 315,000 $ 48,400 18.2% 9 Total Revenues/Other Sources $ 12,224,903 $ 12,921,190 $ 13,327,897 $ 14,178,742 $ 850,845 6.4% 10 Reserved Used/Excess 341,734 150,559 174,064 (174,064) -100.0% Total Available Resources $ 12,566,637 $ 13,071,749 $ 13,501,961 $ 14,178,742 $ 676,781 5.0% EXPENDITURES/USES Current: 11 General Government $ 1,617,419 $ 1,427,788 $ 1,508,738 $ 1,630,170 $ 121,431 8.0% 12 Police 3,115,653 3,290,065 3,667,614 3,827,711 $ 160,097 4.4% 13 Fire 1,367,280 1,403,004 1,516,159 1,582,164 $ 66,005 4.4% 14 Other Public Safety 188,590 190,122 204,534 252,669 $ 48,135 23.5% 15 Public Works 1,696,823 1,563,719 1,766,810 1,799,145 $ 32,335 1.8% 16 Recreation & Culture 1,931,265 1,886,678 2,168,822 2,279,082 $ 110,260 5.1% 17 Community Development 45,526 26,205 66,600 65,000 $ (1,600) -2.4% 18 Library 651,803 680,274 785,008 810,605 $ 25,597 3.3% 19 Senior Center 124,145 133,662 146,036 146,584 $ 548 0.4% 20 Other Expenditures 381,572 440,559 427,009 457,000 $ 29,991 7.0% 11,120,077 11,042,077 12,257,331 12,850,131 592,799 4.8% Capital Outlay & Other Uses: 21 General Government - - 22 Police 71,491 95,823 116,500 212,789 $ 96,289 82.7% 23 Fire 45,721 - - - $ - 24 Public Works 15,295 - - - $ - 25 Street Reconstruction 243,218 256,062 275,000 280,000 $ 5,000 1.8% 26 Recreation & Culture 20,478 - 60,000 55,000 $ (5,000) -8.3% 27 Other Expenditures 130,107 90,636 235,000 285,000 $ 50,000 21.3% 28 Debt Service 91,516 - 90,000 120,000 $ 30,000 33.3% 29 Other Financing Uses 828,734 567,818 443,597 413,275 $ (30,322) -6.8% 1,446,560 1,010,339 1,220,097 1,366,064 145,967 12.0% 30 $ 12,566,636 $ 12,052,416 $ 13,477,428 $ 14,216,195 $ 738,766 5.5% Revenues/Sources Over (Under) Expenditures and chg Fund Balance $ 0 $ 1,019,333 $ 24,532 $ (37,453) Budgeted Fund Balance Reserve 457,456 Payroll increase 519,582 39  2025 The City of East Grand Forks' budget reflects the CITY OF EAST GRAND FORKS goals developed by City Council, and provides a blueprint for City services. The budget not only PROPOSED GENERAL FUND serves as a financial plan, but also as a tool for accountability. BUDGET BRIEF EAST GRAND FORKS VISIONING GOALS Plan for projects within Fund Balance 2025 BUDGET SUMMARY South End Bridge Beginning Fund Balance: $7,369,901 Local Sales Tax for Recreation Facilities Projected Total Revenue: $14,178,742 Restore and Maintain Trust Projected Total Expenditures: $14,216,195 Strengthen City/School Partnership Bond Estimated End of Year Fund Balance: $7,631,483 Upgrade City Facilities & Streets Fund Balance as % of Revenue 54% Fund Balance as % of Expenditures 54% 2023 Fund Balance increase $743,627 included 40  2025 TOTAL REVENUE 0.8% 2.2% REVENUES 0.5% Property Tax Levy $7,623,089 10.3% Property Tax Levy Franchise & Other Taxes $1,608,398 Franchise & Other Taxes Licenses & Permits $114,375 Licenses & Permits Intergovernmental $2,884,525 Charges for Services $1,454,454 20.3% Intergovernmental Fines & Forfeits $68,500 Charges for Services 53.8% Other Revenues $110,400 Fines & Forfeits Other Financing Sources $315,000 Other Revenues 0.8% 11.3% Other Financing Sources TOTAL REVENUES $14,178,741 2025 TOTAL EXPENSES Current Expenditures Capital Outlay & Other Uses 1.1% 3.6% General Government 0.5% 6.3% 12.7% Public Safety 15.6% Public Safety 30.3% Public Works Public Works 17.7% Recreation & Culture Receration & Culture 20.5% Other Expenditures Community Debt Service 44.1% 8.8% 14.0% Development Other Financing Uses Library 20.9% 4.0% Senior Center Current Expenditures Capital Outlay & Other Uses General Government $1,630,170 Public Safety $212,789 Public Safety $5,662,544 Public Works $280,000 Public Works $1,799,145 Recreation & Culture $55,000 Receration & Culture $2,279,082 Other Expenditures $285,000 Community Development $65,000 Debt Service $120,000 Library $810,605 Other Financing Uses $413,275 Senior Center $146,584 Other Expenditures $457,000 TOTAL EXPENSES $14,216,194 41  GENERAL FUND EXPENSES SUMMARY OF CITY SERVICES PUBLIC WORKS CITY ENGINEER Pavement Management & Infrastructure Road & Street Maintenance Planning & Reviewing City Infrastructures Concrete Repair Snow Removal PARKS & RECREATION PUBLIC SAFETY Maintenance of City pool, parks, outdoor rinks Emergency Notifications & Preparedness Maintenance of City arenas Fire Services Police Services Red River State Recreational Area Campground Recreational Activities COMMUNITY DEVELOPMENT Greenway & Trail maintenance Building Permits & Inspections Planning & Zoning Economic Development LEGAL SERVICES Legal Consultation & Advice FINANCE Representation for the City During Litigation Management of City Fees Taxes & Licensing Preparation of Legal Documents Audits & Financial Statements Budgets Preparation of Legal Documents LIBRARY LEADERSHIP & ADMINISTRATION Library Activities Library Collection General Oversight City Council Support Library City Manager's Office Strategic Planning SENIOR CENTER City Clerk Municipal Election Senior Activities COMMUNITY TAX BREAKDOWN PROPERTY TAX FOR EXAMPLE Estimated Market Home Value: $297200 Property owners residing in the East Grand Forks City limits: Property tax statements consists of taxes collected for Polk County, Total Property Tax: $4064 City of EGF, ISD 595 Voter Approved, ISD 595, Watershed, Northwest Regional Development Commission (NWRDC), and Ambulance. BREAKDOWN OF 2024 PROPERTY TAX: City of EGF 50.02% NWRDC $4.60 0.11% Polk County 26.44% Ambulance $13.84 0.34% 15.43% Watershed $99.82 2.46% ISD 595 ISD 595 Voter Approved $210.83 5.19% ISD 595 5.19% Voter Approved ISD 595 $627.22 15.43% Watershed 2.46% Polk County $1,074.69 26.44% 0.34% Ambulance City of EGF $2,033.00 50.02% NWRDC 0.11% $4,064.00 100.00% 42