City Council Minutes of December 12, 2016

Date: 
December 12, 2016

MINUTES OF THE CITY COUNCIL MEETING

DECEMBER 12, 2016

 

Pursuant to due call and notice thereof, a regular meeting of the City Council of the City of Saint Peter was conducted in the Governors' Room of the Community Center on December 12,  2016.

A quorum present, Mayor Zieman called the meeting to order at 7:02 p.m.  The following members were present:  Councilmembers Pfeifer, Grams, Kvamme, Carlin, Brand, Parras, and Mayor Zieman.  The following officials were present: City Administrator Prafke, City Attorney Brandt and City Engineers Loose and Domras.

Approval of Agenda – A motion was made by Pfeifer, seconded by Carlin, to approve the agenda.  With all in favor, the motion carried.

Approval of Minutes – A motion was made by Brand, seconded by Carlin, to approve the minutes of the November 28, 2016 regular City Council meeting.  With all in favor, the motion carried and the minutes were approved.  A complete copy of the minutes of the November 28, 2016 regular City Council meeting is contained in the City Administrator’s book entitled Council Proceedings 19.

Visitors – Dave Borslin, 1309 Howard Street, addressed the Council as a member of the Kid’s Corner Board.  Borslin requested a formal meeting between the Kid’s Corner Board and the City Council to discuss the consequences to Kid’s Corner of the City Council direction to staff to negotiate with St. Peter Community Child Care for lease of Rooms 117 and 119 at the Community Center.  Borslin indicated the Kid’s Corner proposal was to lease the two rooms and Room 115 and not having the two extra rooms will undermined their business model and harm Kid’s Corner as an employer.  Borslin stated the City Council “didn’t take into consideration the impact on their business” when making the compromise on the rooms which would cause problems with Kid’s Corner summer programs.  Councilmembers had lengthy discussion about the compromise discussed at the last goal session and questioned what new information Kid’s Corner would have.  Borslin indicated it wasn’t his “place” to provide the details.  Mayor Zieman suggested that the City Council has a good idea of Kid Corner’s concerns related to their summer program and suggested that if the Board had new information that they email City Administrator Prafke.   Councilmember Parras also noted that the Council is always willing to meet again in the future.

Consent Agenda – In motion by Grams, seconded by Pfeifer, Resolution No. 2016-183 entitled, “Resolution Approving Consent Agenda“, was introduced. Upon roll call, with all in favor, the Resolution was declared passed and adopted as modified.  A complete copy of Resolution No. 2016-183 is contained in the City Administrator’s book entitled Council Resolutions 21.

Final Acceptance of Water System Improvement Project – Public Works Director Moulton recommended the Water System Improvement Project (bid in 2009, substantially completed in 2011) be formally accepted and authorization be provided for release of the remaining retainage funds to the contractor.  Moulton noted that the project acceptance had been delayed due to leaking roofs at both the Broadway and St. Julien water plants which had finally been completely removed and replaced.  Moulton also noted the final project price of $16,733,100 was $111,900 under the original bid amount.  In motion by Carlin, seconded by Brand, Resolution No. 2016-184 entitled “Resolution Accepting Water System Improvement Project As Completed And Authorizing Release Of Project Retainage“ was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2016-184 is contained in the City Administrator’s book entitled Council Resolutions 21.

Veterans Memorial Development Agreement – City Administrator Prafke recommended execution of a development agreement with the Saint Peter Veteran’s Memorial Committee for placement of a veteran’s memorial in Minnesota Square Park.  Prafke noted the agreement also provided a process for placement of names on the memorial after the structure is turned over to the City which was expected to occur in summer of 2018.  In motion by Brand, seconded by Parras, Resolution No. 2016-185 entitled “Resolution Authorizing Execution Of Development Agreement For Placement Of Veteran’s Memorial In Minnesota Square Park“ was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2016-185 is contained in the City Administrator’s book entitled Council Resolutions 21.

2017 Property Tax Levy/Budgets – Finance Director O'Connell reviewed the proposed tax levy and budgets.  O’Connell noted the recommendation was for a reduction from the preliminary levy to 9.15% ($209,029) for a total levy of $2,493,337 which was based on a 5.1% tax capacity increase.  O’Connell reviewed highlights of the proposed budgets for 2017;  project fund balances; increases in health insurance and wholesale electric costs; and the impact of the proposed equipment certificate in the amount of $358,461.  In motion by Kvamme, seconded by Grams, Resolution No. 2016-186 entitled “Resolution Adopting The Final 2016 Tax Levy Collectible In 2017“ was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2016-186 is contained in the City Administrator’s book entitled Council Resolutions 21.

In motion by Kvamme, seconded by Parras, Resolution No. 2016-187 entitled “Resolution Approving The General Fund, Special Revenue Funds, Debt Service Funds, Capital Funds, And Agency Funds For The 2017 Fiscal Year“ was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2016-187 is contained in the City Administrator’s book entitled Council Resolutions 21.

2017 Non-Union/Non-Contract Employee Wages – City Administrator Prafke recommended three percent (3%) wage increases for non-union/non-contract full and part-time employees with the exception of the Recreation Program Supervisor position and seasonal and temporary employees.  Prafke also recommended a more specific wage increase for the Public Works Director position and Election Judges.  In motion by Kvamme, seconded by Parras, Resolution No. 2016-188 entitled “Resolution Establishing 2017 Wage For Non-Union, Non-Contract Employees“ was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2016-188 is contained in the City Administrator’s book entitled Council Resolutions 21.

Fire Station Design Contract – City Administrator Prafke recommended execution of a contract with Five Bugles Design for a Program Space Needs study ($12,500) and a Station Location Study ($15,000) for a new fire station.  Prafke also indicated that should the Council decide to move through to the bidding phase of a project, that Five Bugles would provide architectural and engineering work (excluding civil engineering) for 7.25% of the construction cost.  Prafke noted that Five Bugles specializes in design of emergency services buildings and had come highly recommended.  In motion by Parras, seconded by Carlin, Resolution No. 2016-189 entitled “Resolution Authorizing Execution Of Contract With Five Bugles Design For Consulting Architectural Services For Design Of A New Fire Hall“ was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2016-189 is contained in the City Administrator’s book entitled Council Resolutions 21.

Revolving Loan Fund Modifications:  Chippewa Packaging – Community Development Director Wille presented the EDA recommendation for a one year extension of the balloon payment date for two loans previously provided to Chippewa Packaging.  Wille indicated the balloon dates had been extended on two other occasions in addition to allowing interest only payments.  Wille noted the company employs approximately 50 full-time employees and the Council’s willingness to modify the loan terms on previous occasions had been a prudent and practical business decision that allowed Chippewa to continue to grow their businesses while maintaining acceptable cash flows. In motion by Kvamme, seconded by Brand, Resolution No. 2016-190 entitled “Resolution Modifying The Terms Of The Two Revolving Loans Previously Provided To Chippewa Packaging, Inc.“ was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2016-190 is contained in the City Administrator’s book entitled Council Resolutions 21.

Traverse Green Employee Housing Assistance Program – Community Development Director Wille presented a recommendation for establishment of an employer assisted housing fund that would allow City employees who purchase a bare lot or spec home in Traverse Green Subdivision to receive $2,500 in down payment assistance under certain conditions and allow the City to apply for $25,000 from the Greater Minnesota Housing Fund employer assisted program.  Wille outlined the conditions that must be met before employees would be eligible for the program, which were included as an Exhibit to the resolution, and noted the funds would be forgiven five years after the loan closing if the employee maintains their City employment status.  City Administrator Prafke indicated that the City hoped area employers would also establish similar programs which could be used as an employee recruitment/enhancement tool.  Councilmember Kvamme suggested a modification to the Exhibit to indicate that the five year period to qualify for loan forgiveness starts at the loan closing date.  In motion by Carlin, seconded by Parras, Resolution No. 2016-191 entitled “Resolution Establishing $25,000 Saint Peter Assisted Housing Fund And Authorizing Application For $25,000 Matching Funds From The Employer Assisted Housing Fund Administered By The Greater Minnesota Housing Fund“ was introduced with staff being directed to modify the Exhibit to indicate the five year forgiveness period begins at loan closing.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2016-191 is contained in the City Administrator’s book entitled Council Resolutions 21.

Safe Routes To School/Grant Application – Public Works Director Moulton requested authorization to support an application for Safe Routes to School Program grant funds for a sidewalk project 500’ around schools in the total amount of $225,500.  Moulton noted that the grant awards would be announced in 2017, but be for 2021 construction and the City’s share of the project costs (approximately $90,200) would be funded by the General Fund.  City Administrator Prafke noted that the Safe Routes project sidewalks would overlap slightly with the three-year City funded project that would begin in 2017.  In motion by Pfeifer, seconded by Brand, Resolution No. 2016-192 entitled “Resolution Authorizing And Supporting Grant Application For ‘2021 Safe Routes to School’ Project“ was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2016-192 is contained in the City Administrator’s book entitled Council Resolutions 21.

Carnegie Library Transfer Clarification – City Attorney Brandt recommended adoption of a resolution that would clarify the legal description of the Carnegie Library (429 South Minnesota Avenue) which had been sold to John Bungum in 1993.  Brandt indicated that although State Statute does not require inclusion of a legal description in the Council resolution, and while the property is commonly known in Saint Peter as the Carnegie Library, most real estate lawyers would recommend inclusion of the legal description.  In motion by Kvamme, seconded by Grams, Resolution No. 2016-193 entitled “Resolution Correcting Omission In Resolution No. 1993-146“ was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2016-193 is contained in the City Administrator’s book entitled Council Resolutions 21.

Tool Cat Purchase – Public Works Director Moulton requested authorization to purchase a new Tool Cat utility vehicle from Bob Cat of Mankato in the total amount of $49,951 from the State bid.  Moulton indicated the purchase would be financed by $35,000 from the stormwater fund; $10,951 from sale of a John Deere Tractor which had been declared surplus earlier in 2016, and by stormwater reserves.  Moulton indicted the utility vehicle was a “replacement unit for the John Deere tractor” and would be used for multiple activities by the Public Works Department.  In motion by Pfeifer, seconded by Parras, Resolution No. 2016-194 entitled “Resolution Authorizing Purchase Of An Additional Tool Cat G-Series Utility Vehicle“ was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2016-194 is contained in the City Administrator’s book entitled Council Resolutions 21.

Water Plant Chemical Purchase – Public Works Director Moulton recommended acceptance of the formal written proposal submitted by Hawkins, Inc. for purchase of caustic soda at a price of $3.90 per gallon.  Moulton stated the chemical was used at the City’s water treatment facilities to raise the pH of the water so it becomes less corrosive.  Moulton also indicated the estimated annual cost for the purchase, based on usage amounts from 2016, would be $39,800. In motion by Grams, seconded by Parras, Resolution No. 2016-195 entitled “Resolution Authorizing Purchase Of Caustic Soda For Water Treatment Plant“ was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2016-195 is contained in the City Administrator’s book entitled Council Resolutions 21.

Mobilite Lease Agreement – Public Works Director Moulton recommended execution of a lease agreement with Mobilite LLC for placement of a small cell antenna on a City owned wooden pole located at the intersection of West Jackson and South Third Streets.  Moulton indicated the technology was used to boost cell signals in “dead spots”  and the lease term would be $660 per year for a ten year period with options for three five-year extensions with built-in escalators for the rent.  In motion by Parras, seconded by Grams, Resolution No. 2016-196 entitled “Resolution Authorizing Execution Of Lease Agreement With Mobilite, LLC.“ was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2016-196 is contained in the City Administrator’s book entitled Council Resolutions 21.

Reports

Mayor’s Report – Mayor Zieman reported the visitors from Petatlan had returned home and their visit had been a good experience for all involved.

Advisory Board Openings – City Administrator Prafke asked any residents interested in appointment to a City Council advisory board to contact his office for an application.

December Meeting Schedule - City Administrator Prafke reminded the public that the last workshop and Council meeting of December had been cancelled and the next meeting of the Council would be the workshop on January 3, 2017.

Councilmember Pfeifer excused himself at 8:54 p.m.

Snow Emergency Notifications – City Administrator Prafke reminded residents who wish to be notified of snow emergency declarations to sign up for the City’s community notification system through Nixle.com.

Councilmember Pfeifer returned at 8:58 p.m.

Transit Update – Finance Director O'Connell provided an update on the change over to the Minnesota River Valley Transit system which begins in January.

City Administrator Prafke recommended residents participate in the “Adopt A Fire Hydrant” program and help keep City fire hydrants cleared of snow and ice.

Executive Session – City Administrator Prafke recommended a closed session be convened to discuss negotiations for sale of the City owned lot at 107 West Nassau Street and the City Administrator’s annual performance evaluation.  In motion by Pfeifer, seconded by Carlin, Resolution No. 2016-197 entitled “Resolution Calling For Closed Session“ was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2016-197 is contained in the City Administrator’s book entitled Council Resolutions 21. 

The Council adjourned to closed session in the Traverse des Sioux Room of the Community Center at 9:13 p.m. to discuss sale of the City owned land at 107 West Nassau Street.

The closed session on sale of the land ended at 9:26 p.m.

City Administrator Prafke left the meeting at 9:26 p.m.

The Council adjourned to closed session in the Traverse des Sioux Room of the Community Center at 9:27 p.m. to discuss the annual performance evaluation of the City Administrator. 

The Council returned to open session at 9:49 p.m.

There being no further business, a motion was made by Pfeifer, seconded by Parras, to adjourn.  With all in favor, the motion carried and the meeting adjourned at 9:50 p.m.