City Council

November 10, 2011 CITY COUNCIL AGENDA Monday, November 14, 2011 5:30 p.m. Council Chambers, 315 N. Broadway 1. Call to Order 2. Agenda Additions or Deletions 3. Approval of Minutes – 10/25/11 4. Approval of Accounts Payable Listing 5. Police Chief Report • Traffic Concerns • Joint Powers Agreement – Squad Car Computer 6. Street/Park Superintendent Report • Improvement Project 78 Start Date of 6/4/2012 • DNR Signs 7. Library Report 8. Utility Superintendent Report 9. Financial Report 10. WWTF Facilities Plan and Preliminary Engineering Report Proposal – Bob Schlieman 11. Certify Unpaid Mowing Bill to Property Taxes 12. Municipal Liquor Store Change Order #2 - $5,634.00  CITY OF PELICAN RAPIDS COUNCIL MEETING MINUTES – 11-14-11 The City Council of Pelican Rapids met in regular session at 5:30 p.m., on Monday, 11-14-11, in Council Chambers, City Hall. Mayor Ben Woessner, Council Members James Strand, Steve Foster, Kevin Ballard and John Waller, III, were present. No one was absent. Administrator Don Solga, Clerk-Treasurer Glenys Ehlert, Police Chief Jeff Stadum, Street and Park Superintendent Brian Olson, Library Director Annie Wrigg, Utility Superintendent Brent Frazier, City Engineer Bob Schlieman, Ulteig Engineers and Lou Hoglund of Pelican Rapids Press. Mayor Ben Woessner called meeting to order. Agenda addition of Proposed Fire Truck Purchase was considered. Motion by Strand, seconded by Foster to approve agenda addition of Proposed Fire Truck Purchase and approve the balance of the agenda as presented. Motion carried. Motion by Waller, seconded by Ballard to approve the minutes of 10-25-11 as presented. Motion carried. Motion by Strand, seconded by Foster to approve the 11-14-11 Accounts Payable Listing with additions of LCSC, Building and Rental Housing Inspections, $4,140.68; Kinetic Leasing, City Hall building payment, $9,274; Kinetic Leasing, Liquor Store building payment, $30,849. Motion carried. Street and Park Superintendent Brian Olson presented his report about department activities. Salt, sand and trucks are ready for winter. Skating Rink has been put together. Superintendent Olson requested authorization to advertise for skating rink attendants. Motion by Ballard, seconded by Strand to approve advertising for skating rink attendants. Motion carried. Administrator Solga discussed preliminary schedule for Improvement Project No. 78 which called for a May, 2012 start date. Due to a number of graduating seniors in neighborhood, construction start date of 06-04-12 has been suggested. Council agreed. Motion by Foster, seconded by Waller to install two Department of Natural Resource “Invasive Species Alert” signs at the entrances to the parks, as recommended by Superintendent Olson. Motion carried. Police Report was presented by Chief Jeff Stadum. Administrator Don Solga reviewed speed limits, traffic concerns and City’s limited authority to establish speed limits. Council suggested asking Minnesota Department of Transportation to conduct a study in areas of concern. Motion by Waller, seconded by Ballard to introduce the following, written resolution entitled, RESOLUTION APPROVING STATE OF MINNESOTA JOINT POWERS AGREEMENTS WITH THE CITY OF PELICAN RAPIDS ON BEHALF OF ITS CITY ATTORNEY AND POLICE DEPARTMENT. (A complete text of this resolution is part of permanent public record in the City Clerk’s office.) Resolution adopted by unanimous vote. Library Director Annie Wrigg presented her report. The Library recently added 140 large print books paid for by donations received in memory of Lucille Tuneheim. Tuneheim was a former Library Board member and avid library user and many donations were received in her name. Utility Superintendent Brent Frazier reported that the wastewater treatment project is almost completed. Administrator Don Solga says Gridor Construction seems to have good intentions to finish the remaining items, but there are communication problems between all parties. Mayor Woessner requested that City staff determine cost to complete punch list items. Clerk-Treasurer Glenys Ehlert presented 10-31-11 Financial Report. City Engineer Bob Schlieman of Ulteig Engineers, Inc. addressed Council regarding the Sanitary Sewer Collection and Water Distribution Utility Piping and Wastewater Treatment Facility (WWTF). Schlieman discussed approximate costs and funding sources. Administrator Don Solga said there are additional fees for review by the Minnesota Pollution Control Agency. Engineer Schlieman said, “We talked about the immediate needs at the WWTF for work or replacement of RBC’s, grit and grinder, but if we submit for just those components, then we’ll be spending more money for the next components because it is an aging facility. It’s going to cost the City a lot more if we do it in a piecemeal way. USDA Rural Development likes to see the City look at improvements needed for the next 10 to 15 years. After above repairs, other equipment you have is 10 years old. By the time the project is done, that equipment would be 15 or 16 years old.” Administrator Solga said the City has to determine reductions to the 2012 wastewater utility budget in order to have funds to do the preliminary engineering required for placement on the funding lists. Motion by Foster, seconded by Strand to approve the Underground Utility and Street Improvement Plans and WWTF Plans. Motion also approves the estimated costs in the amount of $73,900 to have Ulteig Engineers complete the necessary Preliminary Engineering Reports and authorizes Administrator Don Solga to sign the contracts with Ulteig Engineers, Inc., on the City’s behalf. Motion carried. Motion by Waller, seconded by Foster to approve that an unpaid mowing bill in the amount of $93.50 for parcel number 76000990652000 be certified to Otter Tail County Auditor Wayne Stein to for collection with real estate taxes. Motion carried. Administrator Don Solga reviewed Liquor Store Project and Change Order No. 2. Motion by Waller, seconded by Strand to approve Municipal Liquor Store Change Order No. 2 in the amount of $5,634 as deduct to the contract. Motion carried. Administrator Solga said there will be one more payment of approximately $36,000 to complete the Liquor Store construction project. Administrator Solga reviewed several options for financing a new fire truck. United States Department of Agriculture Rural Development (USDA) requires the City to take formal bids for the proposed fire truck. The Fire Chief’s wording of the request for quotes was interpreted by manufacturers as a request for bids, but the City did not complete the bid process for the fire truck. The requests will only be good for a limited time. Based on the City’s 2009 and 2010 Audits, the City would not be eligible for any grant funds from the USDA, and all funds would be a loan at 3.75% interest. During the quote process Fire Chief Steeves and Administrator Solga found that there is a cooperative purchasing organization, HGAC, available to the City which satisfies the bid requirements without the delay of bidding the fire truck. Administrator Solga reviewed Kinetic Leasing’s proposal for a lease purchase agreement for a period of 7 years at a 2.77% interest rate. Solga also recommended using $50,000 from the sale of the old fire hall as a down payment on the new fire truck. The lease payment would be approximately $33,413 per year for the new fire truck. Administrator Solga recommends purchasing a fire truck through HGAC, authorizing him to sign the necessary documents and financing the truck through Kinetic Leasing. Motion by Ballard, seconded by Strand to apply the $50,000 from the sale of the old fire hall to make the down payment on the new fire truck. Motion carried. Motion by Strand, seconded by Waller to authorize Administrator Solga to sign the contract on behalf of the City with HGAC. Motion carried. Motion by Waller, seconded by Strand to authorize Administrator Solga to sign the contract on behalf of the City with the fire truck manufacturer, General Safety Equipment of Wyoming, MN, in the amount of $257,246. Motion carried. Motion by Ballard, seconded by Strand to authorize Administrator Solga to sign the lease purchase agreement with Kinetic Leasing for a new fire truck in the amount of $207,246 ($257,246 less $50,000). Motion carried. Motion by Strand, seconded by Foster to adjourn the meeting at 7:00 p.m. Motion carried. Glenys Ehlert, CMC Clerk-Treasurer