HomeMy WebLinkAbout05-03-2021 Council Work Session Minutes CITY COUNCIL WORK SESSION
APPROVED
1 CITY OF LINO LAKES
2 MINUTES
3
4 DATE : May 3,2021
5 TIME STARTED : 6:00 p.m.
6 TIME ENDED : 10:45 p.m.
7 MEMBERS PRESENT : Council Member Stoesz,Lyden,Rub land,
8 Cavegn and Mayor Rafferty
9 MEMBERS ABSENT : None
10 Staff members present: City Administrator Sarah Cotton; Finance Director H a Lynch;
11 Director of Public Safety John Swenson; Environmental Coordinator Andrew N lson;
12 Community Development Director Michael Grochala; City Planner Katie Larse ; Public
13 Services Director Rick DeGardner; City Clerk Julie Bartell
14 1. Anoka County Assessor—Preview for Board of Appeals and Equal' ation -
15 County Assessor Alex Guggenberger reviewed the written board report as well as the
16 process expected for the board meeting. He also reviewed the Assessor's Office staff
17 who have worked with Lino Lakes properties;they have changed process to hav all staff
18 looking at all cities for certain processes.
19
20 Councilmember Ruhland noted that the number of sales has increased from October 2019
21 to October 2020. What's normal in a typical year? Assessor Guggenberger relied that
22 he expects this year the sales will go down and the price will go up; it depends on the year
23 and situation and he doesn't see anything unusual in Lino Lakes; also when it's new
24 homes it can drive up the cost figure. Councilmember Ruhland asked if the county's
25 goal is to visit properties at least every five years and Mr. Guggenberger said yes and
26 noted new process that helps get as accurate data as possible.
27
28 Councilmember Stoesz noted a new area in the City(technology corridor) and h
29 wonders if there is any policy that could be helpful. Mr. Guggenberger suggest d that
30 the assessor doesn't really get involved in the taxing element for properties but would in
31 the area of valuation and they have a process that includes data for that market;they work
32 with the community development professionals as well.
33
34 There was also discussion about what happens when unpermitted improvements are
35 encountered.
36
37 Councilmember Lyden thanked Mr. Guggenberger for his professional service.
38 2. Utility Rate Study Presentation —Patty Kettles,Baker Tilly,reviewed a
39 PowerPoint Presentation that included information on the following:
40 -Purpose(determine the appropriate rate structures and other revenue sources needed for
41 operations and the financing of capital improvements to the water and sewer system);
42 -History of Water and Sewer Fund Observations; expenses have been greater than
1
CITY COUNCIL WORK SESSION
APPROVED
43 revenues but fund balances are healthy;
44 -Assumptions (background information was provided by staff);
45 -Capital Outlay Assumptions (includes water treatment plant);
46 -Rate Equity(looking at current rate structure and users and uses;residential users are
47 80+percent; looked at charges separated by residential and non-residential,and found all
48 to be equitable);
49 -Water Use History(89%of users fall within the lowest rate);
50 -Projections with no water rate increase;
51 -Projections with water treatment plant added(recommended increases);
52 -Volume and fixed fee charges good source;
53 -Projections with no treatment plant;
54 -Proposed Quarterly Water Rates (with and without addition of a treatment plant);
55 - Sewer Utility(with or without rate increases);
56 - Sample Quarterly Bills for Various Users; notable how single family is impactled
57 differently than larger volume;
58 - Comparable communities data;
59 - Conclusions and recommendations.
60
61 Mayor Rafferty noted the comparable data and confirmed they are quarterly rates. He
62 also noted the winter v. summer usage data and Ms. Kettles reviewed the calculations for
63 sewer charges.
64
65 Councilmember Cavegn asked about the possibility of increasing only usage fees since
66 that would have less impact in some areas. Ms. Kettles suggested that the City could
67 choose areas that are affected.
68
69 Councilmember Ruhland asked about the percentages presented for irrigation and asked
70 what period the data came from; Ms. Kettles noted the recent winter quarter.
71 Councilmember Ruhland remarked that the irrigation fixtures that the City is sel ing may
72 have a usage impact; Director DeGardner suggested it would be a small impact.
73
74 Councilmember Lyden noted the obvious cost impact of a treatment facility. While it's
75 not glamourous he sees that it is important for the City.
76
77 Councilmember Stoesz asked if the treatment costs should be tied to volume or JltEUs.
78 Ms. Kettle's noted different impacts of doing each way.
79
80 Mayor Rafferty remarked that he's curious about what is unknown, i.e. does the council
81 needs to think about such things as high construction costs right now? There has been
82 much information provided and perhaps time is needed to review. This is an important
83 future aspect for this City.
84
85 Councilmember Stoesz asked if the council could receive a spreadsheet showing the users
86 that have two or more REU's. Administrator Cotton said staff can bring forward that
87 information.
2
CITY COUNCIL WORK SESSION
APPROVED
88
89 Councilmember Cavegn remarked that the City could remove the increase after tfhe
90 twenty year capital payoff.
91
92 Mayor Rafferty said he is in favor of the directions presented. Ms. Lynch said if there is
93 concurrence this would be the final presentation on a rate increase. Councilmember
94 Cavegn said he'd like to have more time to think and more discussion about a treatment
95 facility and details. Community Development Director Grochala remarked if there is a
96 desire to move forward with the plant,there are development items that would need to get
97 underway. It was noted that the rate increase would be in 2022. Public Services
98 Director DeGardner suggested that the council accept the report with the understanding
99 that there will be more discussion. Councilmember Stoesz asked staff to consider how
100 the subject will be communicated to the community.
101 3. Boulevard Tree Injections for EAB—Environmental Coordinator Nelsen noted
102 the current arrangement with Rainbow Tree Care to provide injection services to residents
103 for trees on private property. Occasionally the question arises about injecting trees on
104 public property(i.e. boulevard in front of home). Mr.Nelson presented information and
105 background on why the City currently has a policy of removing ash trees on public
106 property. The Environmental Board considered the matter of changing policy to allow
107 private property owners to treat ash trees on public property(with the Rainbow discount).
108 The Board did not ultimately support a change in the current policy directing tree
109 removal. Mr. Nelson said he is now requesting council direction on the same subject.
110
111 Mayor Rafferty asked if residents could still get a discount if they choose to treat for
112 boulevard trees;will the City still move forward with removal of boulevard trees. Mr.
113 Nelson said the recommendation is to not extend the offer of providing injections and to
114 continue the current policy of removing diseased trees.
115
116 Councilmember Stoesz asked how residents can determine if trees are on City property?
117 Mr.Nelson said there could a need for more outreach and communication on that subject;
118 property lines are involved and that information is generally available on line.
119
120 Councilmember Cavegn asked for clarification that Rainbow will be familiar enough with
121 this policy that there won't be confusion for residents resulting in them providing
122 treatment and then having the tree cut down by the City. Mr.Nelson said the contract
123 with Rainbow provides clear direction on what's included.
124
125 Councilmember Lyden noted that he can support the Environmental Board and he'd like
126 staff to pass along thanks to the City crews that are removing trees.
127
128 The council concurred with the staff recommendation with the understanding that there
129 should be clarification on the question asked by Councilmember Cavegn.
3
CITY COUNCIL WORK SESSION
APPROVED
130 4. 23 Century Trail Second Driveway Variance Request—City Planner Larsen
131 reviewed a PowerPoint presentation that included information on the following:
132 -Background(property owner request for second driveway after constructing second
133 garage);
134 - Site location and aerial Map;
135 -Variance required for driveway; application has been made;
136 -Review of permits, issues and communication on second driveway request;
137 -Historically,there is a tree preservation area included (trees were removed 200 -2008);
138 -Zoning ordinance language was reviewed; need for variance relates to the resi ential
139 nature;
140 -Applicant's narrative (full request, communications and implications, situation
141 currently existing in the City);
142 - Building permit approval process review(information from Planning&Zonin ; staff •
143 assumptions;permit application);
144 - Off-Street Parking Regulations(review/reasoning);
145 -Findings of Fact(all criteria must be met; review of criteria; variance request d es not
146 meet the criteria);
147 - Staff recommendation for denial;
148 -Planning& Zoning Board action reviewed which was basically no recommendation;
149 (Planning&Zoning Board did recommend review of zoning ordinance regardin need to
150 change language on second driveways and staff suggests taking that matter up a part of
151 ordinance review in comp plan implementation process);
152 -Action to be presented to council would deny variance request.
153
154 Councilmember Ruhland acknowledged that the permit application contained no request
155 for a driveway but most garages have driveways; perhaps the assumption was that it
156 would happen in the future? Planner Larsen said staff will attempt to make the
157 process/regulations clearer for the permit process. Councilmember Ruhland noted the
158 findings on the criteria and some areas where this property would be different. He does
159 have concern though about setting a precedent because it could be far reaching. He thinks
160 looking at a change to regulations is a good way to go. Councilmember Ruhland asked
161 about the timing of the ordinance updates and Ms. Larsen remarked that this could be
162 included in the larger process of updating zoning regulations based on the comp plan
163 update and that process tends to come through in pieces and could take perhaps up to a
164 year. Councilmember Ruhland asked about the term "tree preservation area" and
165 suggested that's mainly for the development process and staff concurred that while the
166 intent would be to have the preservation be more permanent there are not a lot of
167 regulatory teeth to provide for that.
168
169 Councilmember Cavegn asked the applicant how he intended to access his gara e.
170
171 Applicant Derek Sadowski said he intended to put in a driveway eventually so as a part of
172 work in progress, he talked to the cement contractor about a driveway and found',an
173 efficiency and by the time he talked to the City he already had made a significant
174 investment in a driveway project. He is unfamiliar with the building permit process
4
CITY COUNCIL WORK SESSION
APPROVED
175 (hasn't had a lot of permit experience)but the intent was to put in a driveway this year.
176 Councilmember Cavegn asked about the vehicles being housed and Mr. Sadows i noted
c.
177 the presence of his children's vehicles and a work vehicle. Councilmember Ca egn
178 noted the driveway location and suggested that safety isn't a factor;he feels that the City
179 has some responsibility to consider how a garage will be accessed when it is requested.
180 Further the council has the power to make exceptions and there are reasons whe that
181 should happen. Councilmember Cavegn said he is in favor of allowing the acc ss.
182
183 Councilmember Lyden said this is a simple question to him. Just requesting a variance
184 should not be a vehicle for denial. He asks what would be the downside for the City if
185 this were granted. He measured the site and sees the curb cut is appropriate. He
186 supports the request.
187
188 Councilmember Ruhland asked about implications of granting the request. Is the City
189 opening itself up to other situations? That is a concern for him even though he sees that
190 the driveway makes some sense.
191
192 City Planner Larsen revisited the variance criteria that isn't met by this request. She
193 noted that the Planning&Zoning Board did recognize the reasoning behind gra ting the
194 request and therefore looked at the concept of reviewing the regulations. City lanner
195 Larsen pointed out that approval would set a precedent.
196
197 Mr. Sadowski pointed out that he follows council actions and has seen variances
198 approved. That is sometimes the job of the council. He has tried to do the right thing
199 but he really didn't have the expertise going into this. He finds the criteria difficult and
200 not allowing of any consideration. At the end of the day, it shouldn't be"no"just
201 because it isn't usually done.
202
203 Councilmember Cavegn noted training with the City Attorney on zoning a few weeks
204 back. He heard then that there are different situations and the council has the right to
205 make individual choices.
206
207 City Planner Larsen asked the council to consider if they would have a different position
208 if the driveway was requested before it was built or if it came forward with a
209 development. The City should look at the uniqueness of the parcel and there is no
210 uniqueness in this case; he has the one allowed driveway. Hopefully the ordinance
211 change will have an impact.
212
213 Councilmember Lyden pointed out that this would allow one driveway per street.
214
215 Councilmember Stoesz said he supports looking at a change in ordinance but is leaning
216 toward staff recommendation to deny the variance request.
217
218 Councilmember Ruhland would like to see the ordinance change move as quickly as
219 possible. 1
5
CITY COUNCIL WORK SESSION
APPROVED
220
221 Mayor Rafferty noted there is availability of access so he can use the structure a d he sees
222 the hope of change through an ordinance amendment. Having looked at the pro serty and
223 hearing staff,he is not favoring the variance request.
224
225 Councilmember Ruhland asked about process. Since the council is strongly dis ussing
226 an ordinance change, can't the City say this is in the works so granting the vari. ce
227 makes sense in that light? City Planner Larsen remarked that she wouldn't reco mend
228 circumventing the ordinance amendment process(i.e.public hearing); staff coul
229 certainly try and put something together sooner rather than later.
230
231 Councilmember Lyden asked if the matter will go forward to council no matter hat
232 happens; staff concurred.
233
234 The matter will be considered at Monday's council meeting. Mr. Sadowski tha ed the
235 council for their consideration and time spent up to this point.
236 5. Utility Billing Statement Processing—Finance Director Lynch reviewe I the
237 written report outlining options staff is presenting to deal with the breakdown o the
238 machine used by City staff for utility billing. She reviewed the recommendatio to either
239 outsource the function or purchase new equipment. There is some timing invol ed since
240 staff is having to utilize Centennial Utilities' equipment. Ms. Lynch reviewed hat was
241 included in the analysis of options.
242
243 Mayor Rafferty noted the $1,100+that was being paid annually for equipment
244 maintenance and he asked why that was required on such a new machine? Ms. Lynch
245 explained why that is normal. Mayor Rafferty asked about the possibility of leasing
246 equipment for a year to see how it works. Ms. Lynch said that is possible. Ms. Lynch
247 .provided additional information on the envelopes and statement costs. Mayor Rafferty
248 asked if there is a way to determine when less is needed(people aren't using a r turn
249 envelope). The mayor also asked about mailing needs for other departments an
250 received information.
251
252 Councilmember Cavegn asked what staff is recommending. Ms. Lynch said sta is
253 recommending either purchase or outsourcing.
254
255 Councilmember Cavegn said he likes the idea of outsourcing since it saves on equipment
256 repairs and presents some cost savings.
257
258 Councilmember Lyden suggested that staff has prepared a good deal of information and
259 he wonders what their bottom line recommendation would be.
260
261 Councilmember Stoesz asked if there are rules on non-utility billing staff seeing data and
262 Ms. Lynch said it is all basically public data. On the question of return envelopes and if
263 the City can provide them to only people who use them, it seems to be everyone or no
6
CITY COUNCIL WORK SESSION
APPROVED
264 one.
265
266 Councilmember Cavegn asked if the City could put a big bold message on the statement
267 that on-line payment is available. Staff explained that the current size of the message is
268 limited; auto pay is promoted as much as possible. Councilmember Cavegn said the
269 secret would be to allow people(even those on auto pay)to not receive a paper bill in the
270 mail.
271
272 Councilmember Ruhland said his sister works for Curtis 1000; is there a conflict of
273 interest for him to consider the matter(Administrator Cotton said no). Also he receives a
274 postcard quarterly at a property out of the city; it seems to be a more efficient billing
275 process and he wonders if that is that an option. Director Lynch said the current
276 equipment is very limited so probably no postcard. Administrator Cotton recalled her
277 experience at the City of Isanti where a postcard was utilized; there is no savings but
278 rather the process is staff heavy; also postcards can get lost in the shuffle with junk mail.
279
280 Councilmember Ruhland asked about the lease option and Ms. Lynch said that's
281 something that could be explored.
282
283 Administrator Cotton noted that the City will continue to grow and that will mean more
284 accounts and looking long term there will be a day in the future that outsourcing will be
285 necessary. The impact on the person that currently provides utility billing services will
286 be that they have more time for their other duties.
287
288 Councilmember Stoesz said he supports outsourcing. Mayor Rafferty said he does as
289 well; he wonders about the timing. Staff explained why they recommend Imag: Printing
290 over Curtis 1000 if outsourcing occurs.
291
292 Councilmember Ruhland suggested he is for outsourcing but would also like to
293 understand if leasing is possible. He also wonders about the use of services tha employ
294 disabled individuals.
295
296 Councilmember Stoesz suggested doing three months of outsourcing and then get
297 information on leasing in order to see comparative data. Ms.Lynch noted that'an annual
298 agreement with Image would provide savings;perhaps looking at a comparison after a
299 year would be more appropriate. The council concurred to move forward with Image
300 Printing services. Councilmember Ruhland asked about including information in the
301 next bill on paperless as well as water plant.
302 6. 1st Quarter 2021 Financial Report—Finance Director Lynch explained that staff
303 will be bringing forward this report quarterly(except fourth quarter). It will also be good
304 information to provide to the rating agencies. The council can decide to receive this
305 information through email rather than at a meeting as well.
306
307 Ms. Lynch reviewed the written report and asked for council direction on how they would
7
CITY COUNCIL WORK SESSION
APPROVED
308 like to receive the report going forward.
309
310 The council will continue to receive the report as a presentation and would also like it
311 provided electronically(through the weekly update).
312 7. 2022 Budget Kick-Off—Finance Director Lynch reviewed key dates an
313 refreshed the council on overall budget process. She'd be open to hearing any igh level
314 goals from the council as staff begins to put together the 2022 budget.
315
316 Mayor Rafferty noted the water treatment facility discussion and the vacant YMCA
317 facility. A flat tax rate is an obvious goal.
318
319 Councilmember Ruhland remarked that a flat tax rate is his number one goal. He
320 wonders when the County proposes their tax rate and staff responded that it wo Id be the
321 same timeframe as for the City, with preliminary adoption in September.
322
323 Councilmember Stoesz asked if there are any ideas on getting community input. Ms.
324 Lynch recognized the value of such input and explained that communities tend t do it
325 differently; she envisions working with the City's communications specialist.
326 Administrator Cotton noted that the level of community engagement varies fro city to
327 city; sometimes a larger city will establish an advisory committee.
328
329 Councilmember Stoesz asked his "annual"question about how IT costs are included in
330 the budget. He continues to support providing a different budget vision other than the
331 current piecemeal approach in budget documents. He envisions an IT position in the
332 future as the City grows and starting that awareness now would be helpful.
333 Administrator Cotton asked the council if they found last year's budget information
334 separating IT costs useful; she is hesitant to do the process again unless it is helpful.
335
336 Councilmember Lyden said he links information with the value to the council's decision
337 making process.
338 8. Public Safety Update—Public Safety Director Swenson reviewed a PowerPoint
339 presentation including information from the 2020 annual report and 2021 data a4 well.
340 He pointed out that there is great focus in the depaitiiient on prevention goals—it's the
341 biggest bang for the buck. Also the Facebook page is becoming more active and staff is
342 more cognizant of archiving requirements; also monitoring comments is very time
343 consuming.
344
345 Statistical information for police and fire service was reviewed. Areas of focus for 2021
346 were also reviewed.
347
348 Councilmember Lyden is pleased to hear the effort is being made to address mental health
349 components. Is the response time where the department wants to be? Director Swenson
8
CITY COUNCIL WORK SESSION
APPROVED
350 noted geographic challenges in this city—he feels the department provides a good
351 response time. Councilmember Lyden said he loves the statement—a healthy and safe
352 community and he'd even take that further.
353
354 Public Safety Director Swenson updated the council on staffing, including job offers that
355 are outstanding. It's possible the council could see a hire recommendation on Monday's
356 agenda if it comes through in time.
357
358 Councilmember Lyden mentioned the department's canine—Argo scored very well in
359 trials recently.
360
361 Councilmember Ruhland remarked that everything looks good—it's a given that 2020
362 was a different year. He added that as member of the Anoka County law enforcement
363 group, he has witnessed Director's Swenson's expertise and how well he represents the
364 City with that group.
365 Daytime Fire Response—Public Safety Director Swenson noted his written report. He
366 feels that the council has the background on the matter.
367
368 Mayor Rafferty asked staff to explain how discussions have fit into discussion about the
369 labor contract. Director Swenson recalled conversations with the council and their
370 support of the new position. As a result contract negotiations occurred and contracts
371 were ratified;there were conversations with police staff about a position description,a
372 wage was agreed upon, all police staff were informed, staff were asked through human
373 resources if they would be interested in transitioning to the new position that included fire
374 duties; one person was interested and that was not sufficient to proceed. Feedback he
375 received identified concern about the permanency of moving to a different job and ability
376 to move out if they wish. The whole exercise is to ensure there is a platform for
377 necessary services. Director Swenson added that his experience tells him there will
378 always be changes needed in the future.
379
380 Topics reviewed by staff:
381 Private vendor—not a viable option; not being done in the state;
382 Other communities—Forest Lake is not in a position to have more collaboration: Spring
383 Lake Park/Blaine/Moundsview District(SBM)has full time staff;
384 Centennial Fire District—are considering collaborations themselves and conversations
385 have occurred; decisions on their leadership and how they will run will be important to
386 know; City would be asked to provide a contract for services to them;
387 Daytime Duty Crew—serves where the demand exists; recommending day time duty
388 crew of four firefighters for the hours of 6 am to 6 pm; recommending utilizing part time
389 staff(but do risk retention problem with part time) at cost of about$300,000 annually.
390
391 Director Swenson said if there is interest in sending a proposal to Centennial Fire, he
392 would recommend costs be based on the fire duty crew personnel administrative�costs
393 apportioned using the ACFPC cost sharing (numbers were reviewed).
9
CITY COUNCIL WORK SESSION
APPROVED
394
395 Mayor Rafferty asked about how the proposed positions would be utilized if the e were
396 two incidents at the same time. Director Swenson said the process is set and se ices
397 would be provided as well as possible.
398
399 Director Swenson added that the numbers have not been presented to anyone else at this
400 time; he believes this is a good place to start the conversation. Centennial Fire District
401 has asked for a proposal by May 10th. This would be an outline for a proposal, to see if
402 they are interested and what needs to be discussed further.
403
404 Councilmember Lyden said he is comfortable moving forward with the understanding
405 that there will be more discussion and it may not fit forever.
406
407 Councilmember Cavegnsaid he supports proceedingwith the proposal.
PP P P
408
409 Councilmember Stoesz said he feels the Anoka County cost sharing formula is a good
410 start but he'd like to see some consideration of the City's oversight. Staff noted that the
411 oversight is included although they are making an estimate on what that oversight will
412 look like.
413
414 Councilmember Ruhland said he is in favor of the City having the four part time duty
415 crew members.
416
417 The council concurred.
418
419 Staff would intend that the direction is to start looking at specifics around a daytime duty
420 crew (creating a position). There will be more than a couple opportunities for the council
421 to continue to work through this. A framework for a proposal will be created, shared
422 with the council and provided to them by May 10t.
423
424 9. Council Updates on Boards/Commission—Mayor Rafferty noted that the
425 Vadnais Lakes Area Water Management Organization(VLAWMO) is currently looking
426 at fee structures.
427
428 The meeting was adjourned at 10:45 p.m.
429
430 These minutes were considered, corrected and approved at the regular Council meeting held on
431 May 24, 2021.
432
433
434 q
435 � t`1
436 3u is ne Bartell, City lerk ob Rafferty, Mayor
437
10