City Council Minutes of March 26, 2018

Date: 
March 26, 2018

MINUTES OF THE CITY COUNCIL MEETING

MARCH 26, 2018

 

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 March 26, 2018.

A quorum present, Mayor Zieman called the meeting to order at 7:00 p.m.  The following members were present:  Councilmembers Brand, Pfeifer, Carlin, Kvamme, Johnson, and Mayor Zieman.  Absent was Councilmember Grams.  The following officials were present: City Administrator Prafke, Assistant City Attorney Grean, and City Engineer Domras.

Approval of Agenda – Mayor Zieman reported that the action listed under “Unfinished Business” was being removed from the agenda until a future meeting.  A motion was made by Pfeifer, seconded by Brand, to approve the agenda as modified.  With all in favor, the motion carried.

Approval of Minutes – A motion was made by Johnson, seconded by Carlin, to approve the minutes of the March 12, 2018 regular City Council meeting.  With all in favor, the motion carried and the minutes were approved.  A complete copy of the minutes of the March 12, 2018 regular City Council meeting is contained in the City Administrator’s book entitled Council Proceedings 19.

Consent Agenda – In motion by Pfeifer, seconded by Carlin, Resolution No. 2018-40 entitled “Resolution Approving Consent Agenda“ was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2018-40 is contained in the City Administrator’s book entitled Council Resolutions 22.

2008B Hospital Revenue Bonds Refinancing – City Administrator Prafke recommended Council action related to the Economic Development Authority’s (EDA) action to refinance the 2008B Hospital Revenue Bonds.  Prafke noted the action would save between $250,000-$300,000 on the bond cost and more importantly, result in removal of certain covenants from the initial issuance that required 125% of the year’s bond payment to be held in reserves.  Prafke stated that covenant would be very restrictive when combined with the multi-milion dollar  construction debt issuance for the Hospital expansion.  Councilmember Kvamme indicated his belief that the financing mechanism, which was the same used for the Community Center, “seems logical, reasonable and straight forward”.

In motion by Johnson, seconded by Brand, Resolution No. 2018-41 entitled “Resolution Authorizing The Execution And Delivery Of A Lease With Option To Purchase Agreement, A Lease Agreement, A Memorandum Of Lease And Certificate Of Pricing Committee Related To EDA Refinancing Of 2008B Hospital Revenue Bonds“ was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2018-41 is contained in the City Administrator’s book entitled Council Resolutions 22.

2018 Equipment Certificate Purchase – Public Works Director Moulton requested authorization to purchase a 2018 2500 Ram truck (on the State bid contract) from Lager’s of Saint Peter in the amount of $27,767.91 and a box for the truck from Crysteel of Lake Crystal in the amount of $7,562.06.  Moulton indicated the purchase would include trade-in of a 2006 truck and would be funded by the 2018 Equipment Certificate.  Moulton noted staff had also looked at a state bid program Ford truck, but recommended the slightly higher priced ($309) truck from Lager’s which would lower the City’s costs for any repairs or warranty work needed on the vehicle.

Councilmember Johnson questioned why in Minnesota a 4x4 wasn’t being recommended compared to the 4x2.  Moulton noted the truck is not used for plowing which negated the need for a 4x4 vehicle.

In motion by Carlin, seconded by Pfeifer, Resolution No. 2018-42 entitled “Resolution Authorizing 2018 Equipment Certificate Purchase Of 2018 Ram 2500 Tradesmen Regular Cab 4 x 2 And Utility Box“ was introduced.  Upon roll call, with all in favor, the Resolution was declared passed and adopted.  A complete copy of Resolution No. 2018-42 is contained in the City Administrator’s book entitled Council Resolutions 22.

Reports

Mayor’s Report – Mayor Zieman reminded the public of the Vietnam Veteran’s Day ceremony at the American Legion on March 29th beginning at 6:30 p.m.

Tornado Commemoration Event – City Administrator Prafke reminded everyone of the 20th anniversary tornado commemoration event that would be held on March 29th at 5:15 p.m. in the High School auditorium.  Prafke noted the event was a time to celebrate the progress made in the community since the tornado and to thank all those who came to Saint Peter’s assistance.

Joint City Council/School Board Committee of the Whole Meeting – City Administrator Prafke reported the City Council would meet as a Joint Committee of the Whole with the School District #508 Board on April 9th at 5:30 p.m.to discuss Community Spirit Park maintenance and amenities and other items.  Prafke also noted the regular City Council meeting that evening would still begin at 7:00 p.m.

Special Meeting Notice – City Administrator Prafke reminded Councilmembers of the special City Council meeting scheduled for 8:00 p.m. on March 29th (after the tornado event) to consider acceptance of the USDA conditions letter for financing of the 2018 Hospital Expansion Project.  Prafke noted the special meeting was necessary because interest rates for USDA loans would go up on April 1st.

Councilmember Brand reported on his attendance at Legislative Action Day at the Capitol with the Coalition of Greater Minnesota Cities and indicated discussion included a consensus that this year there would be less spending on large projects.  Brand also noted a bill was being proposed to increase Local Government Aid by $30 million which, if passed, would only restore LGA to the 2002 level.

There being no further business, a motion was made by Pfeifer, seconded by Brand, to adjourn.  With all in favor, the motion carried and the meeting adjourned at 7:20 p.m.