HomeMy WebLinkAboutCC MINUTES 042820091 CITY OF ST. ANTHONY
2 CITY COUNCIL REGULAR MEETING MINUTES
3 APRIL 28, 2009
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5 CALL TO ORDER
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7 Mayor Faust called the meeting to order at 7:00 p.m.
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9 PLEDGE OF ALLEGIANCE.
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11 Mayor Faust invited the Council and audience to join him in the Pledge of Allegiance.
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13 ROLL CALL.
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15 Present: Mayor Faust; Councilmembers Gray, Roth, Stille, and Thuesen
16 Absent: None
17 Also Present: City Manager Mike Morrison, Finance Director Roger Larson, and City Engineer Todd
18 Hubmer
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20 CONSIDERATION, DISCUSSION, AND POSSIBLE ACTION ON ALL OF THE FOLLOWING
21 ITEMS.
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23 I. APPROVAL OF APRIL 28, 2009 CITY COUNCIL MEETING AGENDA.
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25 Motion by Councilmember Thuesen, seconded by Councilmember Gray, to approve the City
26 Council Meeting Agenda of April 28, 2009.
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28 Motion carried unanimously.
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30 11. PROCLAMATIONS AND RECOGNITIONS.
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32 None.
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34 111. CONSENT AGENDA.
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36 A. Consider Approval of April 14, 2009 Council meeting minutes.
37 B. Consider licenses and permits.
38 C. Consider payment of claims.
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40 Motion by Councilmember Stille, seconded by Councilmember Roth, to approve the Consent
41 Agenda items.
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43 Motion carried unanimously.
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45 IV. PUBLIC HEARING.
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47 A. 2010 Budget Review.
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49 Mayor Faust opened the public hearing at 7:02 p.m.
City Council Regular Meeting Minutes
April 28, 2009
Page 2
1 Mr. Morrison stated the purpose of the public hearing is to solicit input from residents on the
2 development of the City's 2010 budget. He presented the budget schedule, noting that the
3 Council will hold a work session on May 4`h to review the 2010 crating budget and capital
4 equipment needs, followed by another work session on August 3` to continue review of the
5 budget, with the idea that the proposed 2010 budget and property tax levy will be presented to
6 the Council on September 8th. He stated the Truth -in- Taxation public hearing must be held
7 between November 300' and December 215`, and approval and final adoption of the 2010
8 operating budget and property tax levy is anticipated to be held on December 15th. He presented
9 a snapshot of the general fund, noting that revenues for 2009 are budgeted at $5,277,400 with
10 expenditures budgeted at $5,277,400, with the largest share coming out of public safety. He
11 outlined the sources of general fund revenues, noting that 56% of revenues come from the tax
12 levy.
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14 Councilmember Gray noted the State budgeting shortfall will reduce the City's Market Value
15 Credit by $135,000 and the City does not currently receive any local government aid from the
16 State. He asked if staff anticipates the State cutting anything else.
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18 Mr. Momson replied that staff feels the risk is low, and added the City receives pension funds for
19 police and fire based on insurance premiums paid by homeowners; he stated he did not feel that
20 would change.
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22 Mr. Ken Brown, 3422 Silver Lane NE, addressed the City Council and stated the Citizens
23 League puts out a report that analyzes 117 metro areas and the City's average market value
24 ranked 78`h out of 117 and the City's effective tax rate ranked 15,h out of 117. He stated the City
25 is the second highest of its surrounding communities, with Roseville being 45% less than St.
26 Anthony. He stated he also reviewed tax dollars of other communities surrounding Minneapolis
27 and found that only five are higher than St. Anthony, with 37 communities paying less in taxes
28 than St. Anthony. He indicated he reviewed the goals prepared by the thirteen person committee
29 and was discouraged to see there was no goal in place for efficiency in bringing the City's tax
30 rate more in line with its market value, resulting in a very high tax rate. He expressed concern
31 that the City does not appear to have a goal in place for finding efficiencies and asked the City
32 Council to consider publishing an article explaining to residents why the City has such a high tax
33 rate and to give this strong consideration when implementing the 2010 budget.
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35 Mayor Faust stated the City Council and staff are very concerned about expenditures and the
36 City Council goes through the budget line by line. He respectfully disagreed with Mr. Brown that
37 the City Council does not look for efficiencies.
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39 Mayor Faust closed the public hearing at 7:12 p.m.
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41 V. REPORTS FROM COMMISSION AND STAFF.
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43 None.
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45 VI. GENERAL BUSINESS OF COUNCIL.
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City Council Regular Meeting Minutes
April 28, 2009
Page 3
A. Consider Resolution 09 -038; Calling a Hearing on Arbors Alley Roadway and Utility
Improvement Project.
Mr. Todd Hubmer, WSB & Associates, stated there are three resolutions pertaining to the Arbors
Alley roadway and utility improvement project. He provided a brief recap of the project by
stating the alley located immediately south of Croft Drive and west of Old Highway 8 is
currently owned by the townhome community; there have been water main breaks in the past and
the residents have expressed concerns about the existing condition, and have asked the City to
take over maintenance of the alley. He stated all of the proposed improvements will be assessed
to the benefiting property owners, with the project consisting of alley reconstruction,
replacement of the water main, and drainage improvements. He stated the estimated cost of the
project is $84,300, which is in line with the anticipated cost contained in the feasibility study.
He stated the proposed assessment can be paid over a fifteen year period at an interest rate of
approximately 5.25 %; residents may also pay the assessment in full to avoid interest. He
indicated that residents will receive notice of the public hearing on the proposed improvements,
scheduled for May 26, 2009. He added there will also be a public information meeting on May
20'.
Mayor Faust stated the City was approached by the homeowner's association to take this back,
and the City has indicated its willingness to do this, provided the area is brought up to City
standards; as a result, all costs associated with the project will be borne by the homeowners.
Noreen Jaros, 2916 Old Highway 8, addressed the City Council and expressed concern about the
additional storm water improvements required. She stated the additional $17,300 was not
previously discussed and she was surprised to see this additional amount added to the proposed
assessment.
Mr. Hubmer stated the drainage issues were discussed during the public meetings held earlier but
staff was not aware at that time what the cost of those improvements would be. He added
concerns have been raised in the past about the stone water drainage and staff feels it is crucial
to resolve the drainage problems.
Motion by Councilmember Gray, seconded by Councilmember Thuesen, to adopt Resolution 09-
038, Calling a Hearing for the Arbors Alley Roadway and Utility Improvement Project.
Motion carried unanimously.
B. Consider Resolution 09 -039; Declaring the Costs to be Assessed and Ordering
Preparation of Proposed Assessment.
Motion by Councilmember Stille, seconded by Councilmember Roth, to adopt Resolution 09-
039, Declaring the Costs to be Assessed and Ordering Preparation of Proposed Assessment.
Motion carried unanimously.
City Council Regular Meeting Minutes
April 28, 2009
Page 4
1
2 C. Consider Resolution 09 -040• Calling a Hearing on Proposed Assessments for Arbors
3 Alley Roadway and Utility Improvement Project
4
5 Motion by Councilmember Thuesen, seconded by Councilmember Stille, to adopt Resolution 09-
6 040, Calling a Hearing on Proposed Assessments for Arbors Alley Roadway and Utility
7 Improvement Project.
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9 Motion carried unanimously.
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11 D. Consider Resolution 09 -041 • Adopting a Policy Against Fencing the Storm Water Pond
12 Located at the Northeast Corner of Silver Lake Road and 33d Avenue NE
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14 Mr. Hubmer stated the City has sought direction from the League of Minnesota Cities, the City's
15 insurance provider, regarding this storm water pond and the City's decision malting process with
16 respect to fencing the pond. He stated the City does not desire to fence the pond because it may
17 hinder efforts of emergency personnel in the event of a safety incident, and safety measures
18 including a gradual slope, no direct drop -offs, and a depth of less than four feet were all
19 considered in the design of the pond. He explained the League has made one change to the
20 proposed resolution, deleting the fifth "Whereas" clause and replacing it with:
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22 WHEREAS, the City has consulted with its insurance provider, the League of Minnesota
23 Cities, on this matter.
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25 Councilmember Stille stated he visited the pond last Sunday and waded out to the middle and
26 found the depth to be approximately two feet and it was easy for him to get in and out of the
27 pond.
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29 Mr. Hubmer noted the pond will be a little deeper once the project is finished. He added the
30 pond bottom is hard clay and there will be very little sediment in the pond. He further added
31 there will be some fencing on the east side near the retaining wall to prevent anybody from
32 falling over the retaining wall.
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34 Councilmember Roth expressed some concern about not fencing the pond because of its close
35 proximity to the school and asked whether a low fence should be added at least on the south side
36 where the kids are coming and going to the school. He also questioned whether a decision on the
37 fencing should be postponed until the landscaping is completed.
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39 Mayor Faust stated the City Engineer consulted with the League on the fencing issue in order to
40 determine what the City's exposure might be and the resolution is a way for the City to take a
41 position on the matter and to state that fencing of the pond may result in an "attractive nuisance."
42 He added it is important for residents to bear some responsibility with regard to their own
43 personal safety.
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City Council Regular Meeting Minutes
April 28, 2009
Page 5
1 Councilmember Thuesen concurred and stated he is comfortable with the City Engineer's and
2 the League's recommendation regarding fencing. He felt the City has taken all necessary
3 measures to insure the safety of residents.
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5 Councilmember Stille stated if it is determined that a fence is needed at a later date, the City
6 could revisit the issue at that time.
8 Mayor Faust encouraged residents who live near the pond to contact the police department if
9 they see kids playing in the water. He asked if the City should give consideration to putting
10 some signs up in the area.
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12 Mayor Faust recited the new fifth "Whereas" clause into the record.
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14 Motion by Councilmember Gray, seconded by Councilmember Stille, to adopt Resolution 09-
15 041, Adopting a Policy Against Fencing the Storm Water Pond Located at the Northeast Corner
16 of Silver Lake Road and 33`d Avenue NE, as amended.
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19 Motion carried unanimously.
20 Mr. Hubmer provided an update on 2009 street projects in progress and stated there were some
21 access issues at Minor Lake Townhomes and a temporary entrance has been constructed. He
22 requested that residents have patience during the construction and to call the City if further
23 concerns arise.
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25 Mayor Faust requested Mr. Hubmer provide information regarding hours of construction
26 pursuant to City ordinance.
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28 Mr. Hubmer stated construction crews are allowed to work 7:00 a.m. -8:00 p.m. Monday through
29 Friday, to begin work at 9:00 a.m. on Saturdays, and no working hours are allowed on Sunday.
30 He encouraged residents to contact the police department if there are issues with respect to
31 contractor's working hours. He added if a contractor wants to work different hours than allowed
32 by ordinance, it needs to be approved by action of the City Council.
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34 Mr. Hubmer reported that new trees will begin being planted along Silver Lake Road; in
35 addition, the St. Anthony Boulevard mill and overlay work will begin this summer.
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37 E. St. Anthony Finance Department Annual Report
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39 Mr. Larson presented the 2008 Finance Department annual report to the Council. He stated the
40 2008 general operating budget was $4,998,600. He provided an overview of the general fund
41 balance and stated revenues come in twice per year, in July and December, and the state requires
42 the City to maintain adequate funds to meet its expenditures without going in the red. He noted
43 the City's goal is 30 -35% and the City has been able to maintain that in the fund balance. He
44 also discussed the 2008 debt service and road improvement bonds; the impact was reduced by
45 approximately $87,000 with the payoff of two street improvement bonds.
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City Council Regular Meeting Minutes
April 28, 2009
Page 6
1 Mr. Larson provided an overview of interest earnings on cash and investments, and stated the
2 average rate of return in 2008 was 4.7 %, down approximately one percentage point from the
3 previous year. He discussed the water /sewer fund and stated in 2009, the DNR has mandated
4 tiered water rates to promote conservation by placing a premium on high usage; the City must
5 implement the new rates by 2010. He stated in 2008, metropolitan waste costs were $467,267
6 and costs have stabilized over the last three years primarily due to the I &I (inflow and
7 infiltration) program. He stated that Met Council will assess penalties for improper drainage into
8 the sanitary disposal system and the City has been removed from the surcharge list.
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10 Mr. Larson discussed key financial management planning and stated improvements will be
11 funded with no increase in taxes; in addition, the Emerald Park funding plan calls for no increase
12 in taxes and the impact will be offset by a reduction of debt and decertification of the Chandler
13 TIF.
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15 Mr. Larson stated the City received a Certificate of Excellence in 2006 and 2007 for financial
16 reporting excellence presented by the Government Finance Officers Association. He discussed
17 the City's credit rating by Moody's and the A -1 rating is the highest rating for a city the size of
18 St. Anthony. He added the recent bond rating from Standard & Poor's for the 2009 street project
19 was AA, representing an upgrade of two ratings.
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21 Mr. Larson provided an overview for 2009, including the Chandler/Foss Road improvement
22 project, renovation of Emerald Park, refinancing of two improvement bonds for a savings of
23 $53,000 on the 2000A storm sewer bonds and $23,500 on the 2000B MSA street improvement
24 bonds. He added with the anticipated loss of $135,000 in Market Value Credit from the State,
25 the City is in the planning stages of restructuring the 2009 and 2010 budgets. He stated the City
26 is planning for the fixture by looking at resources needed for environmental considerations,
27 technology improvements, infrastructure improvements, and the decertification of the Chandler
28 TIF District by September 30, 2011.
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30 Mayor Faust stated it is important to remember that when the City talks about refinancing, the
31 debt term timeline was not extended and the interest rate is the lowest rate the City has ever had.
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33 Mr. Larson explained that city governments are not allowed to invest in the regular stock market,
34 and the City has been inclined to only invest in instruments such as CDs, Fannie Mae and
35 Freddie Macs, and zero coupon bonds, which, if kept until maturity, you get 100% of your
36 principal back. He added the City has been able to time investments accordingly and the money
37 is safe.
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39 Councilmember Stille stated it is important to make sure the City does not have any positive
40 arbitrage.
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42 Mr. Larson stated staff has examined all investments and every issue the City owns has been
43 arbitrage compliant.
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45 Mayor Faust stated the fund balance is 30 -35% funded, even though the State auditor says the
46 City can have up to 50 %, which means that the extra 15 -20% is kept in investments rather than
City Council Regular Meeting Minutes
April 28, 2009
Page 7
1 in the City's checking account. He added these funds were placed in the 4M Fund with the
2 League of Minnesota Cities; this fund underwent a complete audit to make sure there was
3 nothing in there that was vulnerable to the current economic downturn and the funds are secure.
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5 Councilmember Thuesen stated the AA rating is significant and is an indication that the City has
6 been responsible with its spending and the projects undertaken by the City have been successful.
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8 VII. REPORTS FROM CITY MANAGER AND COUNCIL MEMBERS.
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10 City Manager Momson reported on the following:
11 ■ The Metro Cities meeting was held on April 16'h where the new president and Tom Hauser,
12 Channel 5 reporter, spoke at the meeting
13 ■ On April 20' , a meeting was held with Falcon Heights/Lauderdale City Administrators to
14 discuss the police contract
15 ■ On April 21 S', the Chamber met and discussed marketing strategies and the economy
16 ■ On April 21", a meeting was held with North St. Paul officials to discuss the Fiber to the
17 Premise Project
18 ■ On April 22nd, he attended a loss control seminar sponsored by the League on how to reduce
19 risk from playground equipment, workers comp, etc. He stated this was a very worthwhile
20 training session
21 • On April 20, the City hosted 40 -45 community staff members for a tour of the Silver Lake
22 Village redevelopment project
23 ■ Earlier today, the National Planners conference was held at the Convention Center
24 • The Fire Department applied for and received a training grant for $3,000 to provide training
25 to firefighters
26 ■ The Citizen Academy graduation will be held during the May 12th Council meeting
27 • The City clean-up day is scheduled for Saturday, May 2 "a, from 9:00 a.m. to 1:00 p.m.
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29 Councilmember Stille stated the Planning Commission met last week and discussed signage at
30 Central Park and advertising on fences. He asked staff to work with the Planning Commission on
31 the appropriateness of signage on fences and to discuss use of public property for private
32 advertising. He stated that on April 22 "a, he attended the Family Services Collaborative Board
33 meeting and asked the Council to express its appreciation to Roger Braun for his willingness to
34 provide a supervised place for kids to go after school every Wednesday.
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36 Councilmember Thuesen: No report.
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38 Councilmember Gray: No report.
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40 Councilmember Roth: No report.
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42 Mayor Faust reported on the following:
43 On April 16`h, he attended the League Board meeting and information has been distributed to
44 the Council which includes a request for feedback from the League.
City Council Regular Meeting Minutes
April 28, 2009
Page 8
1 ■ On April 26s', Tom Hauser, Channel 5 reporter, spoke at the Metro Cities meeting and
2 reported on the legislative session; Mr. Hauser indicated it does not appear the legislature
3 will meet its May 18 deadline.
4 ' On April 17th, he met with two representatives from the Historical Society. The Historical
5 Society is interested in putting together a hardbound book of St. Anthony to commemorate
6 the City's 65h anniversary. He applauded the Historical Society's efforts and stated the
7 Society may be asking for pledges.
8 ■ On April 215t, the Chamber held a general membership meeting which was the most attended
9 meeting he has seen at a general meeting.
10 • In conjunction with their annual convention, 37 attendees from the National Planners
11 Association conducted a mobile workshop in order to tour the Silver Lake Village
12 redevelopment and the water reuse project. He expressed the City's thanks to the Silver Lake
13 condos for showing them their product, as well as the Landings manager for showing an
14 apartment. He stated the attendees were very impressed with the redevelopment project.
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16 VIII. COMMUNITY FORUM.
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18 Mayor Faust invited residents to come forward at this time and address the Council on items that
19 are not on the regular agenda.
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21 Ms. Robin Rovick addressed the City Council and expressed concern that the fencing at Water
22 Tower Park blocks the view to the toddler park, which was decided, early on, to put around the
23 corner. She stated it appears parents do not realize the toddler park is for their children's use and
24 not just for use by the daycare program. She requested the City give consideration to placing
25 some signage and making the area more accessible to people, particularly since their taxes are
26 paying for the park.
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28 Mayor Faust asked Mr. Momson to review this and work with the parks staff to determine if
29 signage should be added.
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31 Ms. Rovick also stated there were comments made a few weeks ago in the newspaper to the
32 effect that the City is not feeling the effects of the recession. She stated all residents want to be
33 proud of their community and the City has a continuing obligation to maintain its infrastructure
34 to make this a livable community. She stated we are all impacted by the global recession and
35 expressed concern that the statement made in the newspaper does not reflect the true picture of
36 what is happening in the City. She stated taxes continue to go up and this is frustrating to a lot of
37 residents.
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39 IX. INFORMATION AND ANNOUNCEMENTS.
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41 Mayor Faust reminded residents of clean-up day on Saturday, May 2 "a, from 9:00 a.m. to 1:00
42 p.m. Residents may contact the public works department with questions.
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City Council Regular Meeting Minutes
April 28, 2009
Page 9
X. ADJOURNMENT.
Mayor Faust adjourned the meeting at 8:23 p.m.
Respectfully submitted,
Barbara Hughes
TimeSaver Off Site Secretarial, Inc.
ATTEST: G
City Clerk
ayor