City Council Meetings 2016-2024

MINUTES REGULAR MEETING MOOSE LAKE CITY COUNCIL Wednesday, February 15, 2012 City Hall 6:30 PM Regular Meeting Including Closed Session Call to Order: Mayor Ted Shaw called the meeting of the Moose Lake City Council to Order. In addition to Mayor Ted Shaw, the following City Councilors were in attendance: Curt Yort, Jim Michalski, Kris Huso, Michael Peterson. Also in attendance: City Administrator; Mark Vahlsing, Chief of Police; Bryce Bogenholm, Lois Johnson, Eddie Palkie, Natalie Frohrip, Curt Frohrip, Spencer Skelton, Veronica Fenice, Todd Kneeland, Bill Carlson, Yvonne Davidson, Mark Skelton, Mike Svacina, Michael Svacina. 1. CALL TO ORDER A. Pledge of Allegiance  Motion made by Councilor Huso to accept agenda with additions, seconded by Councilor Michalski. Motion carried. 2. CONSENT AGENDA A. Minutes  January 11, 2012, Regular Meeting, Moose Lake City Council. B. Financial Reports  City Accounts Payable – February  City Financial Statements - December 2011 & January 2012  Liquor Store – Profit & Loss Statement – December 2011 & January 2012  Motion made by Councilor Peterson to accept consent agenda, seconded by Councilor Yort. Motion carried. 3. PUBLIC COMMENT This time is reserved for comments from the public on matters not listed on the agenda. Please keep comments to 3 minutes. 4. PREVIOUSLY DISCUSSED BUSINESS A. Optical Switching Building – Northeast Service Cooperative Middle Mile Fiber Project. No new information. B. Park Board  - Playground Equipment Purchase – Roy Peterson Park Park Board members Todd Kneeland and Veronica Fenice request approval of replacement playground equipment for Roy Peterson Park. The Park Board has recommended purchasing equipment through Midwest Playscapes. The 2012 list price for the playground equipment is $7128, which includes basketball system. If purchased by the end of February the City can purchase the equipment for 2011 pricing plus another 15% discount. The proposed purchase price is $4990. To date, $7700 has been donated toward the project. Donations obtained: $1000 FNB, $500 personally from Larry Peterson, Covenant church $2000 to work on retaining wall, Rebels Hoops Club $200. In order to receive the reduced pricing the playground equipment would need to be purchased by the end of February.  Motion made to pay the $7201 to purchase the playground equipment by Councilor Peterson, seconded by Councilor Huso. Motion carried. - Appointment to Park Board The City received a letter of interest from Greydon Ohlin 716 Folz Blvd to serve on the Park Board.  Motion made by Councilor Yort and seconded by Councilor Michalski to appoint Greydon Ohlin to the Park Board. C. City Investment Policy The draft City fund investment policy is based on a format recommended by the League of MN Cities. The adoption of this policy is recommended by the State Auditor’s Office. Additional language was added concerning concentration of investments. The investment policy was reviewed by the City Attorney who found no issues with the policy. Councilor Yort made some recommendations to wording change which will be noted.  Motion made by Councilor Yort to adopt the City Investment Policy with the changes stated tonight, seconded by Councilor Peterson. Motion carried. D. City Fund Balance Policy The draft City fund policy is based on a format recommended by the League of MN Cities. The adoption of this policy is recommended by the State Auditor’s Office. The Fund Balance policy was reviewed by the City Attorney who found no issues with the policy. Councilor Yort again made some recommendations to wording change which will be noted.  Motion made by Councilor Michalski to adopt the City Fund Balance Policy with the changes stated, seconded by Councilor Peterson. Motion carried. E. Resolution 12-02-03: Cancelling construction contract with RJS Construction for Wastewater Expansion Project.  Motion made by Councilor Peterson to accept Resolution 12-02-03, seconded by Councilor Huso. Motion carried. F. Finalize 2012 Friends of Animal Contract The contract amount for 2011 was $2350. The requested amount for 2012 is $2350 plus $75.00 per animal pick-up. To date in 2011, there have been  17 animals picked up in the City of Moose Lake. If the City were charged $75 per pick up there would be an additional $1275 added to the contract cost. Friends of Animals has reported losing money on the City contract. The pickup charges have also been implemented in other cities in Carlton County. After talking to Police Chief Bogenholm and Assistant Administrator Hedin, it does not appear that there will be many pickups in the City. Friends of Animals has agreed to contact the PD or city offices prior to pick up of any animals. There should not be a large increase to the contract fees. Administrator Vahlsing recommended approval of the contract.  Motion made by Councilor Huso to accept the 2012 Friends of Animals Contract with clarification. Seconded by Councilor Michalski. Motion carried. G. Review Sewer Hauler Dumping Fees The 2012 bulk sewer dumping rate was increased to $15.00. Area haulers have objected to the increased rates and wish to address the City Council. Mayor Shaw and the Council discussed the current rate in light of the rates that other area communities charge for sewer dumping. A 2007 memo from LHB showed that area communities were charging a substantially higher rate. 2011 rates charged for sewer dumping in area cities that Administrator Vahlsing was able to verify were: WLSSD $45.00 per thousand gallons ($12.00 for holding tanks) Hibbing $35.00 Sandstone $35.00 (In 2011 the City stopped accepting bulk sewer) Grand Rapids $35.00 Sturgeon Lake $25.00 Willow River: Does not accept bulk sewer Administrator Vahlsing recommends that we keep the fees at $15.00 for 2012 and review again for 2013. Mike Svacina, Mike’s Sanitation, states Cloquet’s rate is $15.00. Mike states they pass the raise on to their customers and they can’t see raising twice in one year to customers or customers will seek assistance elsewhere.  Motion made to raise the fee to $25.00 by Councilor Peterson which Councilor Peterson then amended to state $15.00 fee to start in February and April raise to fee to $25.00. No second to the motion was given. Hearing none, the motion has died. Councilor Yort suggests keeping $10 for month of January and raising to $15 starting with February. Mayor Shaw recommends we increase at a slower rate.  Motion made by Councilor Yort to set the $15.00 fee beginning February 1 and direct the City Administrator to look at, for 2013, a fee that divides separate versus holding fee, seconded by Councilor Peterson. Motion carried. H. Discuss Local Option Sales tax Referendum If the Council wishes to proceed with the Local Option Sales tax process a referendum will need to be scheduled. It must be held during a general election. The law enabling local option sales tax was changed in 2011 requiring a referendum prior to consideration of the sales tax by the legislature. Prioritized uses for sales tax use included Parks, Library and streets.  Consensus given by Council.  Motion made by Councilor Michalski to adopt Resolution 11-03-01, seconded by Councilor Huso. Motion carried. I. Strategic Plan – Discuss Implementation of analysis of City Department Reorganization Administrator Vahlsing states that if he is to move ahead with this, it is not always an easy process especially when dealing with a small town and workforce that the City has. He wants to be certain that if he goes ahead with this, that the Council understands this is something that is not a painless process, especially if there are findings or recommendations that maybe will make major changes to department operations, etc. Any changes will, however, come from the agreement of the Council. 5. NEW BUSINESS A. Bill Carlson/Natalie Frohrip – Resolution 12-02-02: 2012 DNR Trails Legacy Grant Application for Historic Trail Depot Annex Building Bill Carlson discussed the Moose Lake Historical Society request for the City to apply for a DNR Trails Legacy Grant for the 2012 funding cycle. Funding would be used to improve the Trail Depot Annex Building. Natalie discussed the changes that have taken place to the building and the changes that need to be addressed i.e. kitchen and bathrooms. Bill discussed changes to the 2012 application. Application deadline is March 30, 2012.  Motion to accept Resolution 12-02-02 by Councilor Yort, seconded by Councilor Peterson. Motion carried. B. Discuss setting amount of Employee carryover of accrued vacation Mayor Shaw is requesting that the Council allow employees to continue to carry over two weeks of accrued vacation on a permanent basis. Last year the Council approved two week carryover of vacation for one year. There are several employees who were not able to use all their vacation in 2011.  Motion made to approve the carry over of two weeks of accrued vacation by Councilor Huso, seconded by Councilor Michalski. Motion carried. C. Early pay-off of 1994 & 1997 Minnesota Public Facility Loans for Wastewater System and Plant expansions. In August, 2011 the State (DOC and MSOP) paid the City $1,280,000 to cover the state’s portion of the 2009 Sewer Collector Project. This project was funded through the Minnesota Public Facilities Authority. The City currently has 4 loans through the PFA. The balance of the 1994 and 1997 PFA Loans are: CDAP-90-FY-1994 - $493,407 – 2.9% CDAP-90 FY-1997 - $40,546 – 2.845% After analysis by Financial Advisor Mark Ruff of Ehlers, and Bond Attorney Stephen Bubel, it would benefit the City to pay off two of the older PFA notes by the February 20 payment date. These loans have higher interest  rates than the newer PFA notes. The remainder of the $1,200,000 and the $375,000 state settlement would be applied the 2009 PFA note in August. The funds would come from the Sewer enterprise Fund. The early payoffs require final approval by PFA.  Motion made to accept the recommendation to pay off the 1994 and 1997 Minnesota Public Facility loans by Councilor Huso, seconded by Councilor Michalski. Motion carried. D. Corporate Bank Resolution – Lake State Federal Credit Union The resolution is needed to update the signatory record for a CD at the Credit Union in Moose Lake.  Motion made to accept the Corporate Bank Resolution by Councilor Peterson, seconded by Councilor Yort. Motion carried. E. Municipal Liquor Store Dram Shop Insurance Renewal - 2012 Three quotes were received from Davidson Insurance for Dram Shop liability insurance for the Municipal Liquor Store. Wells Fargo Insurance Services has also contacted the City and would be interested in providing a quote. The Minnesota Municipal Beverage Association is again working with Wells Fargo Insurance Services to provide Dram Shop insurance to its members.  Motion made to go with Option 1; increasing to the $500 to assault/battery limits of $100,000 to $200,000 by Councilor Yort, seconded by Councilor Peterson. Motion carried. F. Resolution 12-02-01 authorizing audit process with Mediacom Cable – Robert Vose – Kennedy and Graven The City has not made progress with Mediacom in efforts to negotiate a renewed franchise agreement. In the interim, Robert Vose of Kennedy and Graven is recommending that the City initiate a financial audit of Mediacom's franchise fee payments. In Mr. Vose’s opinion, initiating an audit would give the City added leverage in the franchise renewal process. It appears that the company has some systemic problems with the way it has calculated its franchise fee payments.  Motion made to accept Resolution 12-02-01 by Councilor Peterson, seconded by Councilor Huso. Motion carried. 6. REPORTS AND CORRESPONDENCE A. Police Department Report – Chief Bogenholm  BCA Cooperative Resolution B. Appointment of City Administrator Vahlsing – National League of Cities Transportation and Infrastructure Policy Committee Estimate is $800-900 for travel to Washington DC Conference for Administrator Vahlsing to attend in March.   Motion made for authorization for Administrator Vahlsing to attend with $1000 for transportation and accommodations including normal per diem by Councilor Yort, seconded by Councilor Peterson. Motion carried. C. February 2012 Board and Committee meeting minutes: 1. Moose Lake Water and Light 2. Carlton County EDA 3. Moose Lake Park Board 4. Moose Lake Area Fire Protection District 5. Moose Lake Library Board 7. ANNOUNCEMENTS  Regular Meeting – Moose Lake Planning Commission – Tuesday, February 28, 2012 – 5:00 p.m., City Council/Town Board Chambers (if needed)  Regular Meeting – Moose Lake Park Board – Monday, March 5, 2012 – 6:30 p.m., City Council/Town Board Chambers  Regular Meeting – Moose Lake City Council – Wednesday, March 14, 2012 – 6:30 p.m., City Council/Town Board Chambers  Regular Meeting – Moose Lake Power and Light Board – Monday, March 12, 2012 – 1:00 p.m., Power and Light Building Board Room  Regular Meeting – Moose Lake Area Fire District – Tuesday, March 13, 2012 – 6:30 p.m., Emergency Response Center Building  Regular Meeting – Moose Lake Housing and Redevelopment Authority Board – Monday, March 12, 2012 – 12:00 p.m., Hillside Manor Office  Board of Appeal and Equalization – Moose Lake City Council – Monday, April 23, 2012 - 10:00 a.m., Council/Town Board Chambers (Two or more Councilors will be required to attend) Closed Session: Review proposed 2012-2014 Contract Proposal – Moose Lake Police Bargaining Unit – Teamsters Local 320. Closed session under M.S. 13 D.03, Sub. 1. Labor Negotiations Closed Session: Review status of mediation for cost recovery of the past due billing balance with the Department of Corrections related to Wastewater system improvements and Review status of Contract with RJS Construction for expansion of wastewater plant. Closed session under M.S. 13 D.05,Sub. 3(b) Attorney Client privilege. 8. ADJOURN Submitted by: Paula Danelski, Recorder