07-16-2013 CCM - Laserfiche WebLink

Home Browse Search

LAKE ELMO CITY COUNCIL MINUTES July 16, 2013 Page 5 of 7 It was then explained that if the City received 100% waiver rate, a public hearing is not needed. If not 100% waived, a hearing is required. On September 3rd, staff will present bids and council will be asked to award project. Mr. Nelson asked about a possible outlier and how it would work. What exposure would city have financially? City Attorney Snyder stated that Council would have to decide whether to do project or not. Mr. Snyder explained legal process. It is both the attorney's belief that an outlier is unlikely. Recovering those costs at a later date was discussed. Mr. Nelson asked about costs changing and how it is split. Mr. Griffin explained that once hearing takes place, the City can decrease the costs but not increase. Mr. Bloyer noted an email from a resident who had concerns about their sewer. Some residents may feel forgotten if left out of these projects. Mr. Bloyer stated that this Council is very cognizant of the issues, and that roads and sewers are being approved and getting built. Mr. Nelson reported that he also received the same email. Mr. Zuleger reiterated that these projects are enterprise funds and will not affect tax rate. MOTION: Council Member Nelson moved TO ADOPT RESOLUTION 2013-57, RECEIVING THE FEASIBILITY REPORT AND CALLING HEARING ON IMPROVEMENT FOR THE SECTION 34 WATER AND SEWER UTILITY EXTENSION IMPROVEMENTS. Council Member Bloyer seconded the motion. MOTION PASSED 4-0. MOTION: Mayor Pearson moved TO ADOPT RESOLUTION 2013-58, APPROVING THE PLANS AND SPECIFICATIONS AND ORDERING THE ADVERTISEMENT FOR BIDS FOR THE SECTION 34 WATER AND SEWER UTILITY EXTENSION IMPROVEMENTS. Council Smith seconded the motion. MOTION PASSED 4-0. Council Member Bloyer left chambers at 8:30PM. ITEM 14: 2012 FINAL AUDIT REPORT REVIEW Finance Director Bendel explained the background of changing audit firms. Jason Miller, from city auditors Smith, Schafer & Associates, presented the audit report. He thanked Dean, Cathy, and staff. Smith, Schafer & Associates has issued an unqualified opinion. This is the highest opinion. It was explained that the auditors also tested for MN legal compliance. Mr. Miller explained the types of funds the city has. These basically consist of General Funds and Enterprise Funds. Council Member Bloyer returned to chambers at 8:37PM. Mr. Miller explained the City revenues. Property taxes are the main source of revenue. He then explained expenditures. He spoke about the unassigned general fund balance. 2012 is at 88%. 2013 is at 90%. It was explained why it is desirable. The total outstanding bonds and certificates were at $16,905,000 on 12/31/12. Mr. Miller went over the management letters, which included the following conclusions: No difficulties were encountered. No corrected or uncorrected misstatements. No disagreements with management. No management consultation with other accountants (potentially opinion shopping).