Committee of the Whole

COMMITTEE OF THE WHOLE June 28, 2017 Page 1 Members Present: Barney (Mayor), Jantzer, Sipma, Straight, Wolsky Members Absent: Olson, Podrygula To the Honorable Mayor and All Aldermen: Following are the recommendations of the Committee of the Whole meeting called to order at 4:15 p.m. on June 28, 2017: 1. The City Council approve final payment to Mattson Construction in the amount of $44,996.84 for the 6th St Underpass Pump Station. (3236.1) ********** The above motion by Alderman Wolsky, seconded by Alderman Straight, and carried by the following roll call vote: ayes: Barney, Jantzer, Sipma, Straight, Wolsky. nays: none. 2. The City Council pass an ordinance on first reading to amend the 2017 annual budget to increase the Police Administration Associations expenditures and revenues to pay for the range fee to the Ward County Law Enforcement Range. ********** The above motion by Alderman Wolsky, seconded by Alderman Straight, and carried by the following roll call vote: ayes: Barney, Jantzer, Sipma, Straight, Wolsky. nays: none. 3. The City Council pass an ordinance on first reading to amend the 2017 annual budget to increase the professional service contract expenses and use CFC reserve revenue for funding for the car rental negotiations and quick turnaround facility. (AIR062) ********** The above motion by Alderman Wolsky, seconded by Alderman Straight, and carried by the following roll call vote: ayes: Barney, Jantzer, Sipma, Straight, Wolsky. nays: none. 4. The City Council award the bid to Wagner Construction for the General Aviation North Apron Reconstruction, pending award of FAA grant funds; and pass an ordinance on first reading to amend the 2017 annual budget to decrease the capital expenditures and revenues for the GA Apron Phase I – North Apron. (AIR029) ********** The above motion by Alderman Wolsky, seconded by Alderman Straight, and carried by the following roll call vote: ayes: Barney, Jantzer, Sipma, Straight, Wolsky. nays: none. CITY OF MINOT COMMITTEE OF THE WHOLE June 28, 2017 Page 2 5. The City Council award the bid to Wagner Construction for the Perimeter Road Reconstruction, pending award of FAA Funds; and pass an ordinance on first reading to amend the 2017 annual budget to decrease the capital expenditures and revenues to reconstruct the perimeter road. (AIR049) ********** The above motion by Alderman Wolsky, seconded by Alderman Straight, and carried by the following roll call vote: ayes: Barney, Jantzer, Sipma, Straight, Wolsky. nays: none. 6. Award of Bid- SRE Broom (AIR060) – WITHDRAWN ********** 7. The City Council approve the assessment roll for sidewalk repair so loans may be processed in preparation for certification to Ward County for collection. (4166) ********** The above motion by Alderman Wolsky, seconded by Alderman Straight, and carried by the following roll call vote: ayes: Barney, Jantzer, Sipma, Straight, Wolsky. nays: none. 8. The City Council place and pass the following ordinances on second reading: 1. Ordinance no. 5187 Rezoning St. John's 2nd Addition, Lot 1 from R1 to P 2. Ordinance no. 5193 Rezoning Statesboro 2nd Addition, Lots 1-9 from R-4 to R1S 3. Ordinance no. 5195 Change the zone from M1 to I1 on Minot Ag Complex 4th Addition, Lots 1 and 2, plus the SE ¼ less Outlot 1 and R.O.W. in Section 17-155-82 4. Ordinance no. 5196 Change the zone from M1 to I2 on Minot Ag Complex 7th Addition, Lots 1 and 2 5. Ordinance no. 5197 Change the zone from M2 to I2 on the SE ¼ of Section 8-155-82, plus the NW ¼ of Section 16-155-82, plus Minot Ag Complex 6th Addition, Lots 2-5, plus the North ½ of the SW ¼ of Section 16-155-82, plus Minot Ag Complex 7th Addition, Lot 3 6. Ordinance no. 5198 Adopting changes to the City of Minot Zoning Ordinance, Chapters 12 and 15 7. Ordinance no. 5200 Amend the 2017 Annual Budget- Mobile Column Lift Stands 8. Ordinance no. 5201 Amend the 2017 Annual Budget- Communications Intern 9. Ordinance no. 5203 Amend the 2017 Annual Budget- Airport Landscaping Project (AIR053) 10. Ordinance no. 5204 Amend the 2017 Annual Budget- Airport Operations Pickup Truck (AIR058) 11. Ordinance no. 5205 Amend the 2017 Annual Budget Wetland Delineation And Culture Report (AIR063) CITY OF MINOT COMMITTEE OF THE WHOLE June 28, 2017 Page 3 ********** The above motion by Alderman Wolsky, seconded by Alderman Straight, and carried by the following roll call vote: ayes: Barney, Jantzer, Sipma, Straight, Wolsky. nays: none. 9. The City Council approve the final payment request from Berger Enterprises, LLC for $161,493.95 for the structure demolition and site restoration project. ********** The above motion by Alderman Wolsky, seconded by Alderman Straight. Alderman Wolsky asked the Federal Compliance Officer for an update on the “zombie” homes in Minot. Mr. Owen replied by saying, he would need to consult with the Building Official for exact figures. The request on the agenda is to approve payment for the demolition of homes using funds from a State grant which has already been expended. Alderman Straight asked Mr. Owen to explain what is meant by, “there will be another final payment at season’s end for the remainder of the contract.” Mr. Owen stated, there were several funding sources used on the project and as the contract comes to a close at the end of the season, the request will be for CDBG funds. Mr. Ternes came forward and said, there were about 40 properties remaining to be demolished the last time he checked but he can find the information and provide an update. Alderman Straight requested the City Assessor also compile a report demonstrating a side by side comparison of the property tax collected on pre-flood homes compared to present day value. Whereupon a vote was taken on the above motion by Alderman Wolsky, seconded by Alderman Straight and carried by the following roll call vote: ayes: Barney, Jantzer, Sipma, Straight, Wolsky. nays: none. 10. The City Council award the bid to Swanson & Warcup for the City of Minot Eminent Domain Legal Services and further authorize the mayor to sign the necessary documentation. (NDR002) ********** The above motion by Alderman Straight, seconded by Alderman Sipma. Alderman Wolsky requested an update on the current status of properties headed toward eminent domain proceedings. He said, he has heard the concerns from citizens involved and wants to ensure the City is using this opportunity to show compassion toward the property owners. The Federal Compliance Officer stated, the eminent domain process is taking place with three properties, a church, Home Sweet Home, and the Ballantyne property. The reason leading to eminent domain is a disparity in price. In each case, the appraised value is different from the property owner’s expectation and they cannot come to an agreement. CITY OF MINOT COMMITTEE OF THE WHOLE June 28, 2017 Page 4 Alderman Wolsky explained his concerns that he needs to protect the interests of the City and also honor the citizens who elected him to a position on the Council. Alderman Jantzer suggested Alderman Wolsky meet with the Federal Compliance Officer separately to discuss the details of each case since the item before them is an award of bid for legal services. Whereupon a vote was taken on the above motion by Alderman Straight, seconded by Alderman Sipma and carried by the following roll call vote: ayes: Barney, Jantzer, Sipma, Straight, Wolsky. nays: none. 11. The City Council pass an ordinance on first reading to amend the 2017 annual budget to increase the Police Administration and Patrol Operational Supplies expenditures and revenues to purchase equipment with Asset Forfeiture funds. ********** The above motion by Alderman Wolsky, seconded by Alderman Straight. Upon questioning by Alderman Wolsky, Chief Olson explained, there is an agreement between the State, Ward County, and the City to share money seized by Ward County Narcotics Department. The State’s Attorney gets 10% to process cases, then each agency gets 30%. Due process is followed according to State law; it is not a local policy. He elaborated, the money typically comes into their possession from drug cases when it is believed to have been used in drug transactions. Alderman Straight asked if this process changed, to which the Police Chief stated, there was a bill that recently failed which would have given all of the money to the State General Fund rather than the municipalities. Whereupon a vote was taken on the above motion by Alderman Wolsky, seconded by Alderman Straight and carried by the following roll call vote: ayes: Barney, Jantzer, Sipma, Straight, Wolsky. nays: none 12. The City Council pass the following resolutions: 1. Create Paving District 498 2. Direct preparation of the Engineer’s Report 3. Approve the Engineer’s Report 4. Direct preparation of Plans and Specifications. 5. Approve the request for Ackerman-Estvold to provide the necessary engineering services and authorize the Mayor to sign the contract on the City’s behalf. 6. Waive the Resolution of Necessity and Public Hearing since a majority of the district area has petitioned for the project. 7. Approve the Plans and Specifications and authorize a call for bids. 8. Approve the use of general obligation bonds and adopt the reimbursement resolution to pay for the City’s cost of the project. 9. Approve a bond term of 10 years. CITY OF MINOT COMMITTEE OF THE WHOLE June 28, 2017 Page 5 ********** The above motion by Alderman Sipma, seconded by Alderman Straight. Alderman Wolsky stated, during the Budget Workshops, staff identified special assessments as an underutilized system. He asked the City Engineer to explain if this District is one of those examples. Mr. Meyer said, the City doesn’t typically do special assessments on development since that process stopped in the late 80’s. He said, if a developer petitions for street improvements, staff would review the project. Whereupon a vote was taken on the above motion by Alderman Wolsky, seconded by Alderman Straight and carried by the following roll call vote: ayes: Barney, Jantzer, Sipma, Straight, Wolsky. nays: none 12. The City Council place and pass ordinance no. 5199 on second reading to rezone Northridge Villas 2nd Addition, Lots 1-34 from R1 to R2 with a PUD overlay. The above motion by Mayor Barney, seconded by Alderman Straight. John Zimmerman came forward to provide an update on the progress of some of the conditions that must be met in order to change the zone of Northridge Villas 2nd Addition, Lots 1-34. He said, the final plat is ready to be recorded and he addressed concerns over the greenspace that was discussed during the first reading. He said, there is already an easement in place. He met with the owner of the land and said a draft agreement will be given to him the next day and should be in place by the July 10th City Council meeting. They are also working to get a land dedication agreement in place with the Park District. They will have a contingent purchase and sale agreement in place with the owner to sell the greenspace to Northridge Villas and a concurrent park dedication agreement with the Park District. Alderman Sipma asked if Mr. Zimmerman had any additional conversations with the resident regarding their concerns with increased traffic and the zone change. Mr. Zimmerman stated, no residents have reached out directly since their public meetings. He added, their target market is snow birds who are less likely to impact traffic and he has spoken to interested buyers. Whereupon a vote was taken on the above motion by Mayor Barney, seconded by Alderman Straight and carried by the following roll call vote: ayes: Barney, Jantzer, Sipma, Straight, Wolsky. nays: none 13. The City Council place and pass ordinance no. 5202 on second reading to amend the City of Minot Code of Ordinances, Chapter 14 (Garbage and Trash). The above motion by Alderman Sipma, seconded by Alderman Straight. Dan Ruby, from Circle Sanitation, requested the Committee reconsider their support of the ordinance changes. He said, historically, the City provides service to single family homes and duplexes but multi- family units were able to choose. This ordinance prevents flexibility for the property owners. Mr. Ruby is concerned this may lead to eliminating private haulers from commercial and trailer court accounts. He CITY OF MINOT COMMITTEE OF THE WHOLE June 28, 2017 Page 6 said some of the streets are not engineered for large trucks so Circle Sanitation filled that niche by having equipment that wouldn’t damage the roads. He also said he has concerns that the changes haven’t been accurately communicated to the public and some people are confused about when this requirement starts. Alderman Wolsky asked how many of Mr. Ruby’s current customers would be affected by this change to which Mr. Ruby replied by saying, he has not run the numbers but it is a significant number of accounts. He would need to contact the management companies in order to find an exact figure. He continued by saying, some properties use dumpsters rather than totes and by making this change he believes it would be detrimental to the people the City is trying to serve. Alderman Straight said he hears his concerns and believes the issue needs to be studied more to implement a phased in approach. Mr. Ruby said, it needs to be defined what types of properties will be included and how the City will handle issues with road damage. He supports the switch to automation and the use of totes but said commercial hauling should not be changed. Alderman Wolsky asked if any sales tax is charged on garbage collection, to which Mr. Ruby replied by saying, there is no sales tax on services. Mayor Barney asked what the tax implication is on the citizens of Minot if we do not use this approach and collect the additional revenue. The Public Works Director said, the City is missing out on approximately $250,000 of income which would equate to $1.60 per month for each of the other residents in Minot. He clarified, the $1.60 is what residents subsidize because the City does not receive that income directly. He said he understands Mr. Ruby’s concerns but the current ordinance states, the City picks up from properties of up to three units and it is up to the discretion of the Public Works Director to collect from larger multi-unit properties. He also said, the City included a smaller vehicle in the budget to accommodate the residences that cannot be reached with the larger trucks without causing road damage. Alderman Straight asked about properties that currently use dumpsters and the possibility of continuing to use dumpsters opposed to totes. Mr. Jonasson said the City does not have the equipment to pick up mass quantities of dumpsters and does not intend to start picking up at apartment complexes. The ordinance will address properties with four units or less. Alderman Wolsky said he appreciates the process that took place leading up to the transition to automation but is concerned this section was not discussed until now. The citizens were told there would be no change in service, referring to the number of days collection will take place but there will be a significant change for 1,200 properties that will now need to use City service. He said he is not prepared to approve the ordinance at the Council meeting but would will approve the item to be forwarded for discussion. Alderman Wolsky stated concerns regarding the dumpsters at the softball complex and stated, he believes CITY OF MINOT COMMITTEE OF THE WHOLE June 28, 2017 Page 7 it is hypocritical those are serviced by Circle Sanitation even though they are City properties. He then asked about the policy on exemptions and how to opt out. Mr. Jonasson said, it is in the ordinance that if it is three or more units, they can opt out at the discretion of the Public Works Director. He said, in his experience, he has required collection and the City is not responsible for damage to the streets if a developer has not built them up to City standard. The Public Works Director responded to questions about the need for additional income by saying, the increase in fees and attrition of staff will allow garbage collection to pay for itself instead of being subsidized by the landfill, and any additional income will just be additional. At the request of Mayor Barney, Mr. Ruby stated, he would prefer the Council find a better way to outline the process instead of passing the ordinance. He also made a comment that the landfill will reduce its revenue by no longer receiving income from the commercial haulers who were replaced. The Mayor said it would be prudent to take some time to research the ordinance further, with the assistance of staff, prior to final approval. The Committee continued to discuss the use of lighter equipment, dumpsters and enclosures. Mr. Jonasson reminded, the roll out of mandatory collection would not start until June or July, 2018. The other changes to the ordinance address the changes from regular pickup to automation. Mayor Barney suggested the item be moved to the Council for approval but requested an amendment from staff be available at the City Council meeting to delay the changes of Section 14-103, until next year to research further with consultation with haulers and property owners and to include an implementation date to provide clarity as to when this section takes effect. Alderman Straight stated, he is supportive of automation, as he was with the ad hoc committee, but stressed the importance of communication with the citizens of Minot to get everyone on board. Whereupon a vote was taken on the above motion by Alderman Wolsky, seconded by Alderman Straight and carried by the following roll call vote: ayes: Barney, Jantzer, Sipma, Straight, Wolsky. nays: none 14. Airport Activities, Reports, and Project Updates The Airport Director came forward and explained, during previous Airport Committee meetings, he presented an update to the committee members demonstrating the Airport’s numbers and topics of interest. Since there is no longer an Airport Committee, he will give the Council members an opportunity to give direction on what they would like to see or if his presentations should continue going forward. Alderman Jantzer said, the Committee members may send their suggestions to him and he will arrange a meeting with the City Manager. He also suggested the Airport Director provide hard copies of information prior to the meeting. CITY OF MINOT COMMITTEE OF THE WHOLE June 28, 2017 Page 8 Mr. Feltner continued by inviting the Council members to tour the facility where they can learn more about the operations and financials that take place at the Airport. He reviewed the month’s numbers regarding enplanements, and load factor and reviewed the car rental and parking revenue statistics. Alderman Straight asked about the Minimum Annual Guarantee (MAG) for concessions, to which the Airport Director stated, the company owes the City a certain amount to operate at the facility, which is divided into a monthly fee. They pay at least that amount and if their gross sales exceed that, they pay at least the MAG or the greater amount. So when they are profitable, we are able to recoup more as well. It compares with the car rentals which have been paying at their MAG, meaning they are not doing as well as they had projected. Alderman Straight then asked about the use of shared ride services and if the recent partnership between Delta and Lyft may have an effect on our car rentals. Mr. Feltner said, shared rides are legislated differently than taxis or rental cars and right now, Minot cannot operate those services. The City Attorney stated, those laws are regulated by the State and the City has no control over those types of licenses. The only action the City can take is to authorize a penalty for those operating without a license. The Airport Director said, it has become a hot button issue. Taxi companies are charged a fee to provide the service at the Airport. We can expect shared ride services to eventually come to Minot but do not know how the regulations will be enacted. Alderman Sipma asked about the Field Base Operator (FBO) and how it relates to the business operations. The Airport Director stated, the FBO is an important part of what the Airport does. There is a lease that goes through 2019, where we receive certain revenues through fuel and storage as well as concessions. There is certainly an opportunity to develop the businesses in that area that are aviation related and provide a necessary and useful service. Other Business Alderman Wolsky asked the Public Information Officer about Wi-Fi connectivity, to which the PIO suggested the IT Department could more effectively answer questions. Alderman Wolsky then asked about embedding videos on the City website from YouTube. Mr. Hackett stated, he was concerned because to embed live video on the City website would require signing an agreement for “AdSense” which would monetize the live broadcasts. He said it doesn’t seem appropriate for a municipality to profit from sharing public meetings. He is researching other avenues but prefers YouTube because of their archiving capability. Alderman Wolsky said he is not opposed to generating revenue from the service and suggested a discussion take place on the issue. Alderman Wolsky brought up the memo process, specifically adding items to an agenda, and stated he plans on submitting items to be distributed to the rest of the committee. CITY OF MINOT COMMITTEE OF THE WHOLE June 28, 2017 Page 9 There being no further business, the Public Works and Safety Committee meeting was adjourned at 5:43 pm. Respectfully Submitted, Kelly Matalka, City Clerk CITY OF MINOT