HomeMy WebLinkAbout11-05-2012 Council Minutes CITY COUNCIL WORK SESSION November 5,2012
APPROVED
CITY OF LINO LAKES
2 MINUTES
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4 DATE : November 5,2012
5 TIME STARTED : 5:30 p.m.
6 TIME ENDED : 9:05 p.m.
7 MEMBERS PRESENT : Council Member Stoesz, O'Donnell,
8 Rafferty, Roeser(arrived at 5:45 p.m.) and
9 Mayor Reinert
10 MEMBERS ABSENT : None
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12 Staff members present: City Administrator Jeff Karlson; Finance Director Al Rolek;
13 Public Safety Director John Swenson; City Engineer Jason Wedel; Community
14 Development Director Michael Grochala; Public Services Director Rick DeGardner; City
15 Clerk Julie Bartell
16
17 Agenda
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19 2. Five Year Financial Plan—Administrator Karlson recalled that the council reviewed
20 a draft Five-Year Financial Plan back in August and, at that time, postponed
21 consideration because the Charter Commission was proposing a tax cap that would have
22 likely impacted any plan. Staff is looking for further direction at this time. Council
23 Member Rafferty noted that the proposed tax cap charter amendment is not going forward
24 at this time and he understands that the numbers in the draft plan are not firm because
25 they can't be but he wonders what the council should be doing to meet the charter
26 requirement. Finance Director Rolek responded that typically a city prepares a five year
27 capital improvement plan because it contains things that you can look ahead at and use as
28 a planning tool. The city charter calls for something different than that. It calls for a plan
29 that is more like a budget. The council concurred that putting together information has
30 value but it should be called a forecast rather than a plan. Staff will put together
31 numbers and bring forward a forecast in December.
32
33 1. Signal Projects, TKDA Supplemental Authorization—Community Development
34 Director Grochala introduced Larry Boehr, head of the municipal services division of
35 TKDA, present to answer questions. Mr. Grochala explained that staff is requesting that
36 the council consider at their next regular meeting approval of a supplemental
37 authorization for services provided by TKDA related to the signal projects (Ware/Birch
38 and Lake/Main). Mr. Grochala explained the additional engineering services that were
39 required by the city and Anoka County. There were elements added to the original plans
40 requiring additional engineering services, some of which were requested by Anoka
41 County and that will be funded by them. Much of the work related to drainage. Mr.
42 Boehr concurred with Mr. Grochala's explanation adding that the services were required
43 due to an increase in the scope of the project and added that the costs have already been
44 incurred (work is done). Mr. Grochala updated the council on the levy amount for the
45 signal projects, where the projects currently stand with costs and noted that this
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CITY COUNCIL WORK SESSION November 5, 2012
APPROVED
46 supplemental appropriation would not bring the project over the levy amount. The
47 council concurred that they would consider the matter at their next regular meeting.
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49 3. Circle Pines/Centennial Utilities Franchise Ordinance- Administrator Karlson
50 recalled that the franchise agreement has expired and that previously the utilities
51 commission proposed a change in fees and in response the council established a
52 subcommittee of Mayor Reinert and Council Member O'Donnell who proceeded with
53 discussions with Centennial and eventually other providers (Xcel and CenterPoint) about
54 the option of city purchase of the utilities. In the end a franchise agreement has been
55 negotiated with Centennial for a fee of 4% for non-interruptable service and 2% for
56 interruptible service. The agreement also includes language that allows for an increase
57 under certain circumstances and also that the fee will continue to be collected during
58 negotiation of a new agreement within a year. Mr. Karlson added that the agreement does
59 not provide for a representative on the commission board and that is an appropriate
60 change in his opinion. An ordinance establishing the franchise is on the next council
61 agenda. The city attorney has reviewed that ordinance.
62
63 Mayor Reinert added that much time was spent working out this issue and he feels the
64 city came out in a good position. Users in Lino Lakes will be seeing a reduction from
65 what they were paying through Centennial Utilities. Council Member Stoesz confirmed
66 that the users in Lino Lakes that buy from different providers (Xcel and CenterPoint) will
67 be paying about the same as Centennial users.
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69 Staff will bring forward the ordinance for council consideration.
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71 4. 2013 Budget—Finance Director Rolek distributed and reviewed a draft of the water
72 and sewer budgets for 2013. The budgets are made up of personnel services, chemicals,
73 maintenance of the systems, recovering depreciation costs and debt service for projects of
74 the fund. The water fund budget is proposed to be reduced in 2013, mostly due to the
75 retirement of debt for that fund. The sewer fund budget is proposed to be higher in 2012
76 mainly due to an increase in flow services purchased from the Metro Council. He added
77 that the city is in the midst of a utility rate study and recommendations are expected in the
78 near future; an increase in sewer rates are anticipated and possibly the water rates through
79 structuring. Council Member Roeser noted that staff has indicated that the current sewer
80 rate has not covered all costs and so the fund has been subsidized; he wonders if there is
81 wisdom in establishing some type of rate plan.
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83 Mr. Rolek noted that the council received information on the recreation program fund,
84 another revenue fund. The fund indicates an anticipated surplus but some of the costs are
85 included in the general fund (recreation supervisor positions). There will be some
86 program fee increases as was discussed earlier and that should help to offset some of the
87 general fund participation.
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CITY COUNCIL WORK SESSION November 5, 2012
APPROVED
89 Council Member Roeser noted that the aluminum can recycling program will be
90 commencing soon and will support a recreation center. He ensured that staff is prepared
91 to receive that revenue.
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93 Mr. Rolek reviewed the preliminary levy amount set by the council in September. When
94 that preliminary budget was set,the council still had some issues to discuss including
95 outsourcing possibilities and personnel issues as far as replacing positions. He did
96 receive a communication from Council Member Stoesz with several suggestions; staff
97 has responded to some. Public Services Director DeGardner distributed information
98 comparing neighborhood park services provided by city staff and services contracted out.
99 From a monetary standpoint the in-house staff continues to make the most sense. There
100 are many shared services between public works functions that are performed by park
101 maintenance staff. Mr. DeGardner also provided a comparison of renting versus
102 purchasing for portable restroom services. Mr. DeGardner reported also on the
103 suggestion of combining cell phone uses and that there is the possibility of savings that
104 staff will continue to explore. Council Member Roeser thanked staff for the comparison
105 information but added that a more comprehensive approach that includes full outsourcing
106 versus fully staffed in-house could look different. Mr. DeGardner added that it's
107 particularly difficult to gauge the work when it varies greatly such as this day when public
108 works staff are providing voting booth transport; he is confident,however,that in house
109 is a better value. Mayor Reinert framed the discussion; it isn't an indication that any city
110 employees aren't doing a good job. It's a necessary discussion for elected officials to
111 have about efficiencies during difficult economic times. Council Member Stoesz added
112 that the weekly update that goes out to the council each Friday is a good way for staff to
113 communicate regularly with the council.
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115 Mr. Rolek finally noted that the new agreement with Centennial Utilities will generate
116 about$50,000 and he received council approval to deposit that as a contingency item.
117
118 Administrator Karlson reviewed his report relating to personnel and indicated a new
119 change (a police officer has resigned). Therefore there are two police officer positions
120 open and Chief Swenson provided an update on the hiring process. The hiring process
121 began in July for one officer but since then, with a new resignation, he believes it would
122 be appropriate to select two individuals from the good pool that developed through the
123 hiring process. He asks that the council authorize the hiring of two officers and Chief
124 Swenson would then be bringing forward his recommendation to the council meeting.
125 Regarding the Records Technician position that is currently open in the department, Chief
126 Swenson explained that staff is in the process of reviewing more than 80 applications.
127 Council Member Rafferty initiated a discussion about the salary step system and how that
128 could impact hiring at the city. He asked that staff keep the council informed as they
129 consider placement on the step system. Administrator Karlson indicated that he would
130 send information on salary steps for all city positions to the council.
131
132 Administrator Karlson spoke about personnel in city hall where there have been
133 resignations along with planned retirements coming up. The vacant Planner position has
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CITY COUNCIL WORK SESSION November 5, 2012
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134 been advertised and applications are coming in and he hopes to have a person on board by
135 the first of the year. The Deputy Clerk is retiring at the end of the year and, after
136 studying the situation,he believes the best option is to replace the position. In looking at
137 personnel available at city hall,he feels there are people qualified through their
138 experience to fill the job internally. Filling the position in-house will affect other areas,
139 such as moving one person to full time, changes in staffing the front desk and fording a
140 part-time human resources person. There is no increase in the budget anticipated.
141
142 The council discussed the need to fill the vacant Planner position, including possibilities
143 such as utilizing planning services through WSB or other means to fulfill needs.
144 Community Development Director Grochala outlined current and anticipated needs and
145 costs and explained his responsibility in managing the planner as well as revenue lost by
146 using an outside planner resource. The council asked that staff check on the possibility of
147 utilizing WSB for the necessary services. Mayor Reinert asked that however the position
148 is filled, he wants to see services that are a good fit for this city.
149
150 Administrator Karlson updated the council on proposed health care rates; the city's
151 current provider(Medica) is offering a very favorable rate. That will be a$17,000
152 savings to the proposed budget. He mentioned other changes proposed to the health care
153 programs (decrease in city contribution for deductibles and lower cash option payment).
154
155 5. Audit Services for 2012—Finance Director Rolek reviewed the city's recent request
156 for proposals (RFP)process and the results. Included in the request was a separate
157 proposal related to audit services for the Centennial Fire District. All firms met the city's
158 requirements. The proposals are quite close in cost so Mr. Rolek recommends that the
159 city retain the current provider, Clifton Allen unless the council wishes to make a change.
160 Mayor Reinert indicated that a change in services to the Fire District will not occur since
161 his proposal on that subject was voted down by the Board. Council Member Rafferty
162 noted that a continuing effort to RFP for best services such as in this case is much
163 supported and saves the city money. The council heard about the value of continuity in
164 who works on the services and concurred to remain with Clifton Allen.
165
166 6. Traffic Accidents/Deer—Public Safety Director Swenson recalled that the council
167 requested a report on deer management and impact on traffic accidents. He has reviewed
168 an archery deer hunt program through Ramsey County in Maplewood. He has gathered
169 count information as much as possible through county and state data. The number of
170 car/deer collisions as well as deer numbers has actually decreased since 2002. Anoka
171 County currently allows archery hunting in the park area and has traditionally met their
172 goals. Options would be to change the city's regulation to expand beyond archery to
173 firearms (not recommended by the chief), or expand regulations to allow archery in the
174 area where it currently isn't allowed. Staff was directed to work with Anoka County on
175 bringing the harvest numbers up and additional signage as necessary.
176
177 7. Otter Lake Road Extension Update—Community Development Director Grochala
178 updated the council on plans for the extension project. Appraisals are complete, a
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CITY COUNCIL WORK SESSION November 5,2012
APPROVED
179 meeting held with property owners, a city cost established and a gap identified of about
180 $126,000. There is a tentative agreement with developer Bruce Miller(MFC Properties)
181 regarding his offer of a loan of$80,000 to cover the gap, providing for a future credit to
182 trunk fees. That leaves a $46,000 gap. The MFC group has a project for 2013 and staff
183 needs to make offers on properties. Staff has tried to minimize impacts in areas of
184 concern and has had a good meeting with parties involved. They may agree to terms that
185 will close the gap. In the next month, the city attorney will draft a petition and waiver
186 agreement for review. The Mayor recommends moving as necessary to get the work
187 moving.
188
189 8. Northeast 35E Area Drainage Study—Community Development Director Grochala
190 explained that in the same area as the previous item, there is a drainage issue. There is
191 not enough capacity to handle future drainage. Staff included in the Comprehensive Plan
192 a multi functional greenway to assist. With parties trying to address individual areas, it's
193 evident that a comprehensive approach is needed. The watershed district is reviewing the
194 ditch system repairs as another element. Staff wants to start doing more detailed
195 planning to come up with options, working with WSB and Rice Creek Watershed
196 District. The draft plan would run about $16,500 to the city and staff recommends
197 moving forward through the existing engineering budget. The council concurred that
198 staff should proceed to get the answers needed to move ahead.
199
200 9. City Council December Calendar—The council reviewed their December meeting
201 schedule and elected to cancel the December 26 meeting. The city clerk will follow up
202 with notification of the cancelation.
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204 10. Review Regular Council Agenda—The council reviewed the agenda and there were
205 no changes.
206
207 The meeting was adjourned at 9:05 p.m.
208
209 These minutes were considered, corrected and approved at the regular Council meeting held on
210 November 26, 2012.
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212 ,
213
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215 Ju i e Bartell, City lerk Je ' i 7, Mayor
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