City Council

REGULAR MEETING MINUTES OAKDALE CITY COUNCIL December 12, 2023 CALL TO ORDER A regular meeting of the City Council of the City of Oakdale was held on December 12, 2023, at Oakdale City Hall, 1584 Hadley Avenue, Oakdale, Minnesota. The meeting was called to order by Mayor Kevin Zabel at 7:00 PM. CALL OF ROLL On a call of roll, the following were present: Mayor Kevin Zabel Council Members: Noah Her Jake Ingebrigtson Andy Morcomb Susan Willenbring Staff Present: Christina Volkers, City Administrator Sara Ludwig, City Clerk Jim Thomson, City Attorney Jesse Farrell, City Engineer Andy Gitzlaff, Community Development Director Nick Newton, Police Chief Lori Pulkrabek, Communications Manager Jim Romanik, Public Works Manager Kyle Stasica, Accounting Manager Julie Williams, Recreation Superintendent Kevin Zittel, Facilities Manager Others Present: Monica Stiglich, Oakdale Resident PLEDGE OF ALLEGIANCE APPROVAL OF THE AGENDA Mayor Zabel noted that the agenda had been slightly amended and requested an additional change to move the Open Forum portion of the agenda up to immediately follow the Truth-in-Taxation presentation and public hearing. A MOTION WAS MADE BY COUNCIL MEMBER INGEBRIGTSON, SECONDED BY COUNCIL MEMBER HER, TO APPROVE THE AGENDA AS AMENDED FOR THE MEETING OF DECEMBER 12, 2023. 5 AYES TRUTH-IN-TAXATION PUBLIC HEARING Mayor Zabel opened the Truth-in-Taxation meeting. 1 Finance Director Kyle Stasica began by thanking the Council for their feedback and City staff for their work over the course of many months. Mr. Stasica stated that per Minnesota Statute §275, cities with a population greater than 500 are required to hold a meeting between November 25th and December 28th to discuss the 2024 property tax levy and budget. The Truth-in-Taxation meeting is to enhance transpar- ency and public engagement in Minnesota’s property tax system. The City’s proposed levy was approved at the September 12, 2023 regular City Council meeting, and was set at a 13.46% increase from 2023. It was also used to generate the proposed tax statements that property tax owners received in November 2023. It is important to note that the final levy cannot exceed the proposed tax levy. Mr. Stasica noted that the levy has since been decreased to 12.45% for this presentation and for Council’s consideration. He encouraged residents to visit the OpenGov transparency portal on the City’s website or reach out to City staff with any questions. Mr. Stasica continued with the presentation discussing budgetary principles, prioritized objectives, com- mon property tax terms, the general property tax timeline, and reasons why property taxes change. Mr. Stasica shared the 2024 proposed levy and assessment highlights and the 2024 budget highlights. He noted that the debt levy has been reduced for the fourth consecutive year, and to its lowest level since 2017. He moved on to discuss the valuation changes and tax impacts. Mr. Stasica noted that 97.3% of all resi- dential parcels experienced an increase in 2024 taxes and property valuation. The next topic in the presentation was the 2024 proposed budget and City-based property tax levy. Mr. Stasica covered the levy components for Oakdale, budgeted general fund revenues and expenditures, and the equipment certificate debt reduction. The last slide in this section covered the 2024 proposed levy allocation. Mr. Stasica moved on to discuss the Truth-in-Taxation statement that is mailed out to residents in No- vember each year. The notices include estimated market value, taxable market value, and proposed taxes for all jurisdictions; it does not include impacts of voter-approved referendums during the current year. He noted that the proposed tax levies on the Truth-in-Taxation Notice can be reduced, but not increased, prior to final approval. A recently passed amendment to Minnesota Statute §275.065 requires that a supplemental budget information insert accompany the Truth-in-Taxation Notice. The final portion of the presentation covered property tax relief programs and provided action items for the public and Council. Mayor Zabel opened the public hearing for the Truth-in-Taxation meeting, and asked for public comment. Randy Shay, 7793 9th St N, asked about the change to the maximum Homestead Market Value Exclusion that will take place for 2025 taxes payable. Mr. Stasica explained how the formula has changed and offered to reach out to Mr. Shay with a specific calculation. Mr. Shay asked a second question about the large increase in City property taxes within the last couple years as compared to the 1-2% increases that have been the norm in prior years. Mayor Zabel stated that the valuation in properties is the main driver of the increased property taxes. Another reason for the drastic increase is a philosophical change within the City. Mayor Zabel shared that the City Council has moved away from using debt for expenditures like City vehicles and now pays for them with funds on hand. Council Member Ingebrigtson added that inflation has negatively impacted the City which factors into the property tax increase. 2 Mayor Zabel closed the public hearing and the Truth-in-Taxation meeting, and reopened the regular meet- ing. REGULAR MEETING OPEN FORUM a) Proclamation: Tartan DECA Day Mayor Zabel proclaimed December 12 as “Tartan DECA Day”, in the City of Oakdale. b) 2023 Volunteer of the Year Announcement Mayor Zabel announced that Monica Stiglich is the 2023 Volunteer of the Year for her outstanding contributions to Oakdale. The Mayor presented Ms. Stiglich with an award recognizing her service. Mayor Zabel invited comments from the audience. No comments were heard. 2024 BUDGET, LEVY, AND CIP ADOPTION a) 2024 Property Tax Levy and 2024 General Fund, Special Revenue Fund, Debt Service Fund, and Enterprise Fund Budgets A MOTION WAS MADE BY COUNCIL MEMBER INGEBRIGTSON, SECONDED BY COUNCIL MEMBER HER TO WAIVE READING AND ADOPT RESOLUTION 2023-129, ADOPTING THE 2024 PROPERTY TAX LEVY AND 2024 GENERAL FUND, SPECIAL REVENUE FUND, DEBT SERVICE FUND, AND ENTERPRISE FUND BUDG- ETS. Council Member Willenbring noted that this budget includes utility rate increases for water, sewer, street lights, and surface water to finance future capital projects. She added that, in general, she does not support rate increases unless they are justified, transparent, and the burden on residents is respected and always front of mind. However, after many hours of research in OpenGov and discussions with staff and colleagues, Council Member Willenbring was comfortable with the rate increases as they are not intended to generate revenue but cover legitimate expenses. Mayor Zabel stated that the budget process is lengthy but necessary to ensure that the City can continue to provide the services residents expect and value. He added that trust and open communication make this process possible. 5 AYES b) 2024-2028 Capital Improvement Plan A MOTION WAS MADE BY COUNCIL MEMBER INGEBRIGTSON, SECONDED BY COUNCIL MEMBER MOR- COMB TO WAIVE READING AND ADOPT RESOLUTION 2023-128, APPROVING THE 2024-2028 CAPITAL IMPROVEMENT PLAN AND AUTHORIZING FISCAL YEAR 2024 PROJECTS. Mayor Zabel noted that the 2024-2028 Capital Improvement Plan (CIP) is the long-term planning docu- ment that identifies specific projects for the City. He encouraged residents to review the CIP on OpenGov. 3 5 AYES APPROVAL OF MINUTES: Workshop, November 28, 2023 Regular Meeting, November 28, 2023 A MOTION WAS MADE BY COUNCIL MEMBER INGEBRIGTSON, SECONDED BY COUNCIL MEMBER WILLEN- BRING TO APPROVE THE WORKSHOP MEETING MINUTES OF NOVEMBER 28, 2023. 5 AYES A MOTION WAS MADE BY COUNCIL MEMBER INGEBRIGTSON, SECONDED BY COUNCIL MEMBER WILLEN- BRING TO APPROVE THE REGULAR MEETING MINUTES OF NOVEMBER 28, 2023. 5 AYES PUBLIC HEARING a) Establishing a Fee Schedule for 2024 City Administrator Chris Volkers explained that on an annual basis City staff review the fee sched- ule and recommend fees that cover the cost of additional services provided by the City beyond basic city services. The 2024 Fee Schedule is the most comprehensive to date as it compiled separate City fee schedules into one document. Ms. Volkers added that if there are fee increases, staff has provided justification to ensure the increase is appropriate. Mayor Zabel opened the public hearing and welcomed comments from the audience. No com- ments were heard. Mayor Zabel closed the public hearing. A MOTION WAS MADE BY COUNCIL MEMBER MORCOMB, SECONDED BY COUNCIL MEMBER INGE- BRIGTSON TO WAIVE READING AND ADOPT ORDINANCE NO. 919, ESTABLISHING A FEE SCHEDULE FOR 2024. 5 AYES A MOTION WAS MADE BY COUNCIL MEMBER WILLENBRING, SECONDED BY COUNCIL MEMBER MOR- COMB TO WAIVE READING AND ADOPT RESOLUTION 2023-110, AUTHORIZING PUBLICATION OF ORDI- NANCE NO. 919 BY TITLE AND SUMMARY. 5 AYES CONSENSUS MOTIONS Council Member Morcomb pulled consensus item b). A MOTION WAS MADE BY COUNCIL MEMBER INGEBRIGTSON, SECONDED BY COUNCIL MEMBER HER TO APPROVE CONSENSUS MOTIONS A AND C-K, AS PRESENTED: a) Request that the City Council authorize the Mayor and City Administrator to sign and execute the agreement between Lexipol and the City of Oakdale for a term of three years. 4  c) Request that the City Council approve the issuance of a Used Car Dealer License to Reflection Auto Sales, 4747 Geneva Avenue North. Request that Council approve the issuance of a Used Car Dealer License to Stillwater Auto Sales, 6014 Stillwater Boulevard North. d) Request that the City Council approve a one-day temporary liquor sales license and charitable gambling approval to Transfiguration Church for their Black and Gold Gala on Saturday, February 3, 2024, located at 6133 15th Street North. e) Request that the City Council waive reading and adopt Ordinance No. 920 to rename Healy Avenue North and Healy Lane North to Heath Avenue North and Heath Lane North, respectively. f) Request that the City Council approve the issuance of 2024 Sale of Tobacco licenses, as noted. g) Request that the City Council approve issuance of 2024 Solid Waste Hauler Licenses for waste haulers listed on the attachment, contingent upon receipt of all required materials as listed in the Oakdale City Code of Ordinances, Chapter 6, Article III, Sec 6-20. h) Request that the City Council approve the issuance of a purchase order by the City Administrator for Poligon gathering and playground shelters from Northland Recreation in a total amount not to exceed $236,115.81 through the Sourcewell Cooperative Purchasing Contract, and for installa- tion services from Mulcare Contracting LLC in a total amount not to exceed $49,750.00 for City Project P2023-04; Willowbrooke Commons Park. i) Request that the City Council adopt a motion to rescind the action from the November 28, 2023 regular City Council meeting regarding the A&M Trading LLC tobacco sales license application. j) Request that the City Council waive reading and adopt Resolution 2023-120, amending the 2023 General Fund Budget to increase revenues and expenditures by $35,600 for the State Auto Theft Prevention Grant. k) Request that the City Council waive reading and adopt Resolution 2023-127, amending the 2023 General Fund Budget to increase permit revenues and fire expenditures by $89,513 for the pur- chase of two Stryker Power Chairs from Stryker Medical. 5 AYES Consensus item b): Request per City Code, Chapter 2, Article IV, Sec.2-36 (c) and per City Personnel Policy PE-031, Section 5.0, that the City Council appoint the Ice Rink Attendants for the Recreation Department, as noted. Council Member Morcomb stated that this item is for the hiring of Ice Rink Attendants for the City of Oakdale. He formally recused himself because his son is one of the applicants. A MOTION WAS MADE BY COUNCIL MEMBER INGEBRIGTSON, SECONDED BY COUNCIL MEMBER HER TO APPROVE CONSENSUS MOTION B, AS PRESENTED. 4 AYES 1 ABSTENTION – MORCOMB 5 ADVISORY BOARDS AND COMMISSIONS Economic Development Commission (met on 12/06/2023, Council Liaison Her) Council Member Her reported that the Economic Development Commission discussed the 2024 Business Retention, Expansion, and Attraction (BREA) program and the vision for the future of the commission, approved their 2024 work plan, and heard a presentation on the various develop- ment projects in the City. Environmental Management Commission (no meeting, Council Liaison Zabel) Planning Commission (12/07/2023 meeting cancelled, Council Liaison Ingebrigtson) Parks and Recreation Commission (no meeting, Council Liaison Morcomb) Tree Board (no meeting, Council Liaison Willenbring) AWARD OF BID None STAFF REPORTS ENGINEERING a) Feasibility Report for City Project R2024-01, 2024 Street Improvements Program and Authorizing Preparation of Plans and Specifications and Calling for the Public Improvement and Assessment Hear- ing City Engineer Jesse Farrell explained that the acceptance of the feasibility report is part of the 2024 Street Improvements Program. The feasibility report confirmed that the streets proposed for reconstruction have poor pavement conditions. Mr. Farrell reported that the CIP presented at the November 14, 2023 City Council workshop estimated $3,800,000, but has since been updated to $3,665,000 to align with the estimated established cost in the feasibility report. As part of this project, City infrastructure will be evaluated, and any needed repairs will coincide with the street improvement. Mr. Farrell outlined the next steps to include a public improvement and assessment hearing in January, approval of the final plans and specifications by City Council, and the award of bid in early spring. The project is anticipated to wrap up by early fall. A MOTION WAS MADE BY COUNCIL MEMBER INGEBRIGTSON, SECONDED BY COUNCIL MEMBER WILLEN- BRING TO WAIVE READING AND ADOPT RESOLUTION 2023-122, ACCEPTING THE FEASIBILITY REPORT FOR CITY PROJECT R2024-01, 2024 STREET IMPROVEMENTS, AUTHORIZING THE MAYOR AND CITY AD- MINISTRATOR TO ENTER INTO A SERVICE CONTRACT WITH AN ENGINEERING CONSULTANT FOR THE PREPARATION OF PLANS AND SPECIFICATIONS, AND CALLING FOR THE PUBLIC IMPROVEMENT AND AS- SESSMENT HEARING ON JANUARY 23, 2024. Mayor Zabel encouraged affected residents to mark their calendars for January 23, 2024, as the special assessments will be discussed, and adoption of the assessment roll will take place at the regular City Council meeting that night. A letter will be going out to all residents impacted by this project which outlines how to ask questions about or appeal the special assessment. 6 5 AYES RECREATION a) Donation to the City – Recreation Department, for the Family Fun Flatables Event Recreation Superintendent Julie Williams explained that several local businesses and organiza- tions sponsored the Family Fun Flatables Event held in September 2023. Per State Statute, the City must accept all donations by resolution. A MOTION WAS MADE BY COUNCIL MEMBER WILLENBRING, SECONDED BY COUNCIL MEMBER INGE- BRIGTSON TO WAIVE READING AND ADOPT RESOLUTION 2023-121, ACCEPTING DONATIONS FROM VAR- IOUS SPONSORS, IN AN AMOUNT TOTALING $3,400, FOR SPONSORSHIP OF THE FAMILY FUN FLATABLES EVENT. 5 AYES CITY ATTORNEY No report ADMINISTRATOR'S REPORT a) Approval of Ordinance No. 915, Granting Certain Permissions to Xcel Energy for the Furnishing of Electric Energy to the City & Approval of Ordinance No. 917, Setting a Franchise Fee on Electric Oper- ations Within the City of Oakdale – Xcel Energy, and Approval of Ordinance No. 916, Granting Certain Permissions to Xcel Energy for the Furnishing of Gas Energy to the City & Approval of Ordinance No. 918, Setting a Franchise Fee on Natural Gas Operations Within the City of Oakdale – Xcel Energy Ms. Volkers explained that the actions before Council are similar to what was previously approved for CenterPoint Energy Minnesota Gas and the City of North St. Paul Municipal Electric Utility at the October 10, 2023, regular meeting. She noted that the franchise fee structure also reflects the change from a flat fee to a percentage-based model across all accounts for both natural gas and electric utility distribution. A MOTION WAS MADE BY COUNCIL MEMBER INGEBRIGTSON, SECONDED BY COUNCIL MEMBER HER TO WAIVE READING AND ADOPT ORDINANCE NO. 915, GRANTING CERTAIN PERMISSIONS TO XCEL ENERGY FOR THE FURNISHING OF ELECTRIC ENERGY TO THE CITY. 5 AYES A MOTION WAS MADE BY COUNCIL MEMBER INGEBRIGTSON, SECONDED BY COUNCIL MEMBER MOR- COMB TO WAIVE READING AND ADOPT RESOLUTION 2023-123, AUTHORIZING PUBLICATION OF ORDI- NANCE NO. 915 BY TITLE AND SUMMARY. 5 AYES A MOTION WAS MADE BY COUNCIL MEMBER INGEBRIGTSON, SECONDED BY COUNCIL MEMBER WILLEN- BRING TO WAIVE READING AND ADOPT ORDINANCE NO. 916, GRANTING CERTAIN PERMISSIONS TO XCEL ENERGY FOR THE FURNISHING OF GAS ENERGY TO THE CITY. 5 AYES 7 A MOTION WAS MADE BY COUNCIL MEMBER INGEBRIGTSON, SECONDED BY COUNCIL MEMBER HER TO WAIVE READING AND ADOPT RESOLUTION 2023-124, AUTHORIZING PUBLICATION OF ORDINANCE NO. 916 BY TITLE AND SUMMARY. 5 AYES A MOTION WAS MADE BY COUNCIL MEMBER INGEBRIGTSON, SECONDED BY COUNCIL MEMBER MOR- COMB TO WAIVE READING AND ADOPT ORDINANCE NO. 917, SETTING A FRANCHISE FEE ON ELECTRIC OPERATIONS WITHIN THE CITY OF OAKDALE – NORTHERN STATES POWER DBA XCEL ENERGY. 4 AYES 1 NAY – WILLENBRING A MOTION WAS MADE BY COUNCIL MEMBER INGEBRIGTSON, SECONDED BY COUNCIL MEMBER HER TO WAIVE READING AND ADOPT RESOLUTION 2023-125, AUTHORIZING PUBLICATION OF ORDINANCE NO. 917 BY TITLE AND SUMMARY. 5 AYES A MOTION WAS MADE BY COUNCIL MEMBER INGEBRIGTSON, SECONDED BY COUNCIL MEMBER MOR- COMB TO WAIVE READING AND ADOPT ORDINANCE NO. 918, SETTING A FRANCHISE FEE ON GAS OPER- ATIONS WITHIN THE CITY OF OAKDALE – NORTHERN STATES POWER DBA XCEL ENERGY. 4 AYES 1 NAY – WILLENBRING A MOTION WAS MADE BY COUNCIL MEMBER INGEBRIGTSON, SECONDED BY COUNCIL MEMBER HER TO WAIVE READING AND ADOPT RESOLUTION 2023-126, AUTHORIZING PUBLICATION OF ORDINANCE NO. 918 BY TITLE AND SUMMARY. 5 AYES COUNCIL PRESENTATIONS Council Member Her wished residents a Happy Holidays and gave a special shout out to the Hmong com- munity as they celebrate the Hmong New Year. Council Member Morcomb reported that he attended the Hmong New Year event put on by the Tartan Asian Student Alliance and encouraged residents to attend these events when possible. Mayor Zabel made announcements about the following: • The City’s Firetruck Santa event is taking place Wednesday, December 13th starting at the North Fire Station at 6 PM. Santa will make several stops along Hadley Ave and end at City Hall at 7:20 PM. Visit www.oakdalemn.gov for more information. • The City’s Winter Wonderland event is taking place on Saturday, December 16th from 9 AM – 1 PM at the Discovery Center. This event is free to attend thanks to a partnership with the Oakdale Area Chamber of Commerce, First Resource Bank, and Oakdale Recreation. • On behalf of the City, he wished everyone a joyous holiday season. 8 CLAIMS A MOTION WAS MADE BY COUNCIL MEMBER HER, SECONDED BY COUNCIL MEMBER INGEBRIGTSON TO APPROVE CLAIMS FOR THE PERIOD NOVEMBER 29, 2023 TO DECEMBER 12, 2023 IN THE AMOUNT OF $1,570,650.63. 5 AYES ADJOURNMENT A MOTION WAS MADE BY COUNCIL MEMBER INGEBRIGTSON, SECONDED BY COUNCIL MEMBER WILLEN- BRING TO ADJOURN THE MEETING AT 8:16 PM. 5 AYES Respectfully submitted, Sara Ludwig, City Clerk 9