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HomeMy WebLinkAbout03/04/1992 Council Minutes1 1 1 COUNCIL WORK SESSION CITY OF LINO LAKES COUNCIL MINUTES MARCH 4, 1992 /` 314 Staff Members present: Public Works Director, Don Volk; Assistant to the Administrator, Dan Tesch; City Administrator, Randy Schumacher and Clerk- Treasurer Marilyn Anderson. CONSOLIDATION COMMITTEE Mr. Ray Johnson, Ms. Lyola Thiltgen and Ms. Sylvia Marier, Consolidation Committee members were present. Mr. Schumacher gave a brief background on the matter and explained that the Centerville committee members are requesting that all data be collected at this time. It is their opinion that if the data is not used for the consolidation purpose, the data would be helpful in the future for other purposes. The Lino Lakes committee members did not agree and felt that going through the process of collecting all the data when the eventual recommendation will be to not consolidate was a waste of their time and a waste of City funds. Ms. Thiltgen explained that she is of the opinion that the Centerville members are using a stalling tactic and all of their work was an effort in futility. She noted that they are having lots of fun and giving impassioned speeches. Mr. Johnson explained that the City of Centerville did not appoint a bi- partisan committee. None of the petitioners are represented and it would be difficult to get their input. He noted the meetings are held on Tuesday at Circle Pines and the Centerville members will not allow any change in meeting dates or times. Two of the Lino Lakes committee members belong to the Lions Club which meets on Tuesday. This means that there may never be a full contingent of Lino Lakes member present at one time. PAGE 1 COUNCIL WORK SESSION MARCH 4, 1992 Ms. Marier explained that it is her feeling that Centerville thinks Lino Lakes is the "bad guy ". Lino Lakes is like the big bad wolf waiting to "gobble up" the City of Centerville. Ms. Thiltgen said her approach would be to prepare an overview and then come forward with a general recommendation. Further details could be gathered after this. It appears that the Centerville committee members are inexperienced and do not know how to move toward a common goal. Mayor Reinert asked if the original petitioners should be contacted to determine if they still want to pursue this matter. It was noted that it appears that they still want to pursue consolidation. The problem is that the City of Centerville did not choose any of the petitioners or anyone who wanted change to be a member of their committee. Mayor Reinert asked in the interest of cooperation, is.there anything that can be done to make this committee work? Mr. Schumacher explained that a lot of money could be spent on the matter of gathering all of the data that Centerville is requesting. However, it is obvious that Centerville is against consolidation so the time and money will be spent for nothing. In the end the City of Centerville will oppose consolidation and then the residents will have an option of putting the matter to a vote. Mrs. Bev Hughes, one of the original Centerville petitioners explained that she felt if the matter went to a referendum, the results would be positive. Ms. Thiltgen said that they could go forward and complete the stipulations and conduct the public meeting. The stipulations could be completed with the information that . is currently available. Mayor Reinert noted that there was discussion regarding hiring a consultant to put together some material. He noted that this would be very costly. Mr. Schumacher said that there were comments from the Centerville committee members such as; "how could they be sure that the material submitted by Lino Lakes is accurate ?" He suggested using the material that is being prepared for the annexation hearing. The Centerville committee members may feel more comfortable with this information. Ms. Thiltgen suggested to the Municipal Board Reinert asked that the next week. that the people who presented the petition attend the March 19, 1992 meeting. Mayor stipulations be completed by the middle of The next Consolidation Committee meeting is March 19, 1992. PAGE 2 1 1 1 COUNCIL WORK SESSION MARCH 4, 1992 PAY EQUITY Mr. Tesch explained the purpose of pay equity is to create a reasonable comparison between male and female compensation. The City was required to prepare a pay equity plan and a maintenance pay plan and submit it to the State of Minnesota for approval. This was completed and in 1991 individual pay adjustments were made to implement the plan. There will be no significant changes for 1992. The 1992 adjustment to the Pay Equity Plan includes adding part time employees to the plan and adding Grade 10, the City Engineer /City Attorney position to the plan. A report must be made annually to the State and they will be doing salary range tests to be sure that the City is complying with the plan. There was discussion regarding grade points and what would happen when an employee reaches the top grade point. Mayor Reinert noted that Grade 10 will be added to the Lino Lakes Pay Equity Plan and asked how the points were determined. Mr. Schumacher explained that he had looked at other cities to determine the points. He noted that this was not an exact science because the positions differ with each city. It was noted that there is a significant salary difference between the clerical positions and other positions in the same category. Mr. Tesch explained that he would be attending a future Council meeting to ask the City Council to adopt the new class and the inclusion of the part time employees in the Pay Equity Plan. RICE LAKE DRIVE SEWERS Mr. Ray Macheldt, 7072 Rice Lake Drive was present to discuss the cost of extending sanitary sewer along Rice Lake Drive. He explained that he had talked to former City Planner, John Miller and Mr. Miller told him his assessment would be approximately $7,000.00 to $9,000.00. Mr. Miller also said that there was a possibility that TIF financing could be used to bring the sewer down this street. A petition was circulated on his street and there were enough signatures to allow the preparation of a feasibility report. The report indicates that the actual cost for sewer, water, storm sewer and restoration of the street will be $12,000.00 to $15,000.00. Council Member Kuether indicated that would probably be the cost for the total frontage however, some of the lots in that area can be divided in half thereby dividing the cost in half. Mr. Macheldt explained that when he purchased his lot from the developer, he was told that his lot PAGE 3 )33 i1 ec6 13yt1 COUNCIL WORK SESSION MARCH 4, 1992 could be divided and now he finds this may not be the case. It was explained that some new home builders constructed the new homes in the middle of the lot so that the lot cannot no longer be divided. Mayor Reinert addressed the matter of using TIF to help finance the sewer and water installation of Rice Lake Drive. He noted that this City has never used TIF in this manner and if it is done here a precedence would be set. Mayor Reinert explained that TIF programs were enacted to attract business growth in the City to help reduce residential taxes. Mr. Schneider was present and explained the plan for extending sewer and water utility service along Rice Lake Drive. He noted that the storm water utility would be important for this area. Reducing the cost of the installation was discussed as well as reducing the assessment costs. It was noted that the City must assess the entire project cost so that bond payments could be met. It was also noted that the only way to reduce the cost was to divide the parcel if possible. Mr. Macheldt explained that if costs could not be reduced the petition for the improvement would be withdrawn. Mayor Reinert asked what other cities do in cases such as this. Mr. Schumacher explained that most cities are Chapter 429 cities which allows other bond funds to underwrite the cost of projects such as this. However, the Lino Lakes City Charter specifically forbids such action. Mr. Macheldt asked what would happen if a septic was not functioning and there was contamination. It was explained that the City cannot assess any property more than the increase in value caused by the improvement. In this case, the septic system would have to be repaired or replaced. Mr. Macheldt will contact his neighbors and set a meeting with Mr. Schneider so that all questions regarding this proposal can be answered. If residents are no longer interested in the improvements, they must present a petition against the improvements to the City Clerk before the 60 day waiting period ends. SUPPORT STAFF REVIEWS SALARY INCREASES Mr. Schumacher explained that he has completed evaluation reports for all support staff. He noted that last year the City Council gave these employees a cost of living raise plus a merit raise to people who truly deserved them. Mr. Schumacher felt that this is a very good "core" staff and they are very important to this fast growing City. He also explained that he feels very bad about having to recommend a limited amount of merit raises because he PAGE 4 1 1 1 1 1 1 COUNCIL WORK SESSION MARCH 4, 1992 feels very strongly about the staff. Mayor Reinert explained that he understood that all the staff is very busy but as an elected official he must recognize that this has not been the best economic situation and the City Council must take a responsible position regarding salary increases. When times are better, the City Council can then take a closer look at salary increases. He noted that these are public sector positions, and the public does view City employees as being overpaid. Mayor Reinert explained that the staff needs to understand that the City Council has to take a responsible position regarding salary increases. Council Member Kuether noted that the public has a negative attitude toward government workers. Mr. Schumacher felt the City Council should look at the staff and their performance and then determine what they are worth. Council Member Kuether explained that the City Council should be looking at putting a freeze on everything. Mr. Schumacher referred to recent union contract settlements and noted that if support staff is treated differently than the union employees and receive less, moral issues arise. He also noted that he would feel bad if the non -union employees do not do well. Council Member Kuether said she understood Mr. Schumacher's point of view, however, she has to think of the tax payor's as well. Council Member Kuether noted that this is an election year and things may get temporarily better. However, she expressed concern regarding what will happen after the November election. Council Member Kuether said she supported a bonus rather than a raise and noted that this has nothing to do with the employee and expressed concern regarding base salaries getting too high. She also noted that maybe the City Council could do better for 1993 salaries. Council Member Elliott said she felt a bonus was a good idea, however she could see that this may not be well accepted by the employee. She noted that if a cost of living increase is not added to the base salaries it would be like asking the employee to pay the City. Council Member Neal said he would approve Mr. Schumacher's proposal. He noted that Mr. Schumacher should know what each employee deserved. Mr. Schumacher again expressed concern because union employees keep getting better contracts and he did not want to slight the non -union employees. Mayor Reinert said he knows that in the retail markets no one is giving salary increases, not even the cost of living. Council Member Elliott said that they probably get a bonus based on the PAGE 5 7t1 )36, A COUNCIL WORK SESSION MARCH 4, 1992 volume of the store. Mr. Schumacher said he felt it was tough to compare private business employees to public employees. He said he would rather not buy a piece of equipment and give the employees a raise. After further discussion regarding the amount of cost of living raises, the full City Council decided that a 3 1/2% cost of living raise plus a 2% merit should be given to all six (6) members of the support staff. The part -time employees will receive a 3 1/2% cost of living raise. NON - UNION, NON SUPPORT STAFF SALARY RAISES Mr. Schumacher read his recommendations for this group of City employees. He noted that he has been discussing salary adjustments with Mr. Asleson. Council Member Kuether asked why Sergeant Ross is still getting over time pay and holiday pay when he is no longer in the union. This matter was not discussed further. Mayor Reinert explained that he felt that comparable worth was full of holes and meaningless. He personally felt that there should be a salary freeze. Council Member Neal said he would go along with Mr. Schumacher's recommendations for this employee group. Council Member Kuether recommended that all employees receive a 3 1/2% cost of living increase plus a 2% merit raise. Mayor Reinert gave his recommendation. Several employees were cited for outstanding work in their positions. After discussing several salary options, Mayor Reinert suggested that all raises for this group of employees be bonus only and there would be no base adjustment. The following bonus were determined: Barry Bernstein 6% Paula Schloer 3% Marilyn Anderson 5% Peter Kluegel 6% Marty Asleson 6% Thomas DeWolfe 5% Bruce Keller 3% Cliff Ross 3% Daniel Tesch 5% Donald Volk 3% Dean Campbell 3% Darrell Schneider 0 Randy Schumacher $2,500.00 The increases will be paid in a lump sum. PAGE 6 1 1 1 COUNCIL WORK SESSION MARCH 4, 1992 Mayor Reinert asked Mr. Schumacher to determine how much the City will save on fringe benefits by calculating a lump sum settlement for these non -union employees. AGENDA Mr. Schumacher summarized the agenda for March 9, 1992. CITY HALL REMODELING Mr. Schumacher explained that specifications for the remodeling are in the process and will be sent out for bids. He explained that he wanted all bidders to bid on the exact specifications. Council Member Kuether asked what will it cost, where will the money come from and when will the Police Department remodeling be completed? Mr. Schumacher explained that plans are being drafted and bids will be solicited. PINE OAKS ADDITION This subdivision is located on the south side of Pine Street and has never been constructed. Mr. Schumacher explained that he has had three (3) meetings with the appraisers regarding this subdivision. The concern is that the plat is in the MUSA boundaries, however no utilities are scheduled for that area. CITY ATTORNEY APPOINTMENT It was noted that the City had advertised for bids for the Consulting City Attorney position. Council Member Kuether asked why bids were solicited. Mr. Schumacher explained that he had understood that this position was to be advertised and he did advertise it. Council Member Kuether asked on what basis would the City want to replace this consultant. Mayor Reinert noted the "turn- around" time from that office is not satisfactory and this does hold up other work. Council Member Kuether noted that if the City was not satisfied with the work of any City employee or consultant they should first be warned about their performance. Mayor Reinert noted that the current consulting attorney has been with the City many years and sometimes complacency sets in. He also noted that the City Attorney has at times appeared ill prepared. Mr. Schumacher explained that the City Attorney is a frugal person and does not spend time on issues that do not really need his input. Mr. Schumacher noted that five (5) responses to the advertisement were received. He noted that in most cases estimated costs were included. PAGE 7 /3sA COUNCIL WORK SESSION MARCH 4, 1992 Mayor Reinert directed Mr. Schumacher to visit with the City Attorney and let him know the concerns expressed by the City Council. This matter will be placed on the March 23, 1992 Council agenda. Mayor Reinert told the Council Members that he has placed "his hat in the ring" and will run for State Senate in the fall. The meeting was adjourned at 9:00 P.M. These minutes were considered, corrected and approved at a regular meeting of the Lino Lakes City Council held on March 8 , 1993. r e__`'/� Mai .1yi G. Anderson, Clerk- Treasurer Vernon F. Reinert, Mayor PAGE 8 1 STATE OF MINNESOTA COUNTY OF ANOKA CITY OF LINO LAKES I, the undersigned, being the duly qualified and acting City Clerk of the City of Lino Lakes, Minnesota, hereby certify that I have carefully compared the attached and foregoing extract of minutes of a regular meeting of the City Council of the City held on Monday, February 24, 1992, with the original minutes on file in my office and the extract is a full, true and correct copy of the minutes, insofar as they relate to the issuance and sale of $3,640,000 General Obligation Improvement Refunding Bonds, Series 1992A of the City. WITNESS My hand as City Clerk and the corporate seal of the City this U , day of ^� �; ,,ma , 1992. SNG29941 LN140 -23 (SEAL) City Cl k City of Lino Lakes, Minnesota 131