HomeMy WebLinkAbout2019.07.01 CC Minutes
Minutes
HUGO CITY COUNCIL MEETING
HUGO CITY HALL
MONDAY, JULY 1, 2019 – 7 P.M.
Call to Order
Mayor Weidt called the meeting to order at 7:00 p.m.
PRESENT: Haas, Klein, Petryk, Weidt
ABSENT: Miron
ALSO PRESENT: City Administrator Bryan Bear, City Attorney Dave Snyder, City Engineer
Mark Erichson, City Clerk Michele Lindau
Approval of Minutes for the June 17, 2019, City Council Meeting
Petryk made motion, Klein seconded, to approve the minutes for the City Council meeting held
on June 17, 2019, as presented.
All Ayes. Motion carried.
Approval of Minutes for the June 25, 2019, 10th Anniversary of the Yellow Ribbon
Network
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Klein made motion, Haas seconded, approve the minutes for the 10 Anniversary of the Yellow
Ribbon Network celebration held on June 25, 2019, as presented.
All Ayes. Motion carried.
Approval of Agenda
Weidt made motion, Klein seconded, to approve the agenda as amended by changing the order of
the Audit Report and the recognition of Terry Dahlem.
All Ayes. Motion carried.
Presentation of 2018 Audit Report – Jason Miller, Smith Schafer & Associates
Jason Miller from the independent accounting firm of Smith Schafer & Associates presented the
Hugo City Council with a recap of the audit of City finances for the 2018 fiscal year. Miller
stated it was a very clean audit, the City was well run, and he gave credit to staff. The City was
issued an unmodified opinion meaning all financial statements were fairly stated. Tests are
performed in seven areas for Minnesota legal compliance and noted no exceptions. Miller
reviewed the different fund types and revenues pointing out the reliance cities have on property
taxes as a revenue source. Government expenditures made up 22% of the total budget, which
was a reduction from the prior year due partly to a decrease in engineering services and the 2017
cost for the Comprehensive Plan update. Public safety is approximately 39% of the budget and
had increased in 2018 due to an increase in the police contract. Highway and streets expenditures
increased only 3%, and community development expenditures decreased approximately 24 %
due to staff turnover. The general fund reserve balance was about 65% of 2018’s expenditures.
Hugo City Council Meeting Minutes for July 1, 2019
Page 2 of 4
Miller explained the City’s policy is to have at least 50% of the following year’s budget in
reserves which provides benefits including a favorable bond rating and having reserves for the
unexpected. Debt services will drop significantly in 2021 when all bond payments are paid.
Major capital expenditures in 2018 included fire hall roof repair, purchase of public works
vehicles and fire fighter equipment, and the Oneka Lake Boulevard street project. Miller talked
about the strong balance in enterprise funds, and the increase in the water and sewer fund, which
is supported by rate payers, due to increased population and commercial growth. He
summarized by saying they have issued an unmodified audit opinion with no Minnesota legal
compliance exceptions. The audit report can be found on the City’s website.
Klein made motion, Haas seconded, to accept the findings of the audit.
All Ayes. Motion carried.
Recognition of Retiring Oneka Elementary Principal Terry Dahlem
The City Council recognized Principal Terry Dahlem for her contributions as the principal of
Oneka Elementary. Council Members stated their appreciation for her valuable involvement in
the community and creating a great atmosphere at the Oneka Elementary School
Terry talked about her decision to become a teacher when she was very young. She started her
career at Vadnais Heights Elementary and was there until the school closed. She was happy to
be asked to be the principal of the new Oneka Elementary School 15 years ago. She said she
appreciated the support of the City and how the Council provided the type of community she
wanted to work in. She stated it was easy for her to stay and very hard to leave.
Weidt made motion, Haas seconded, to present Terry a Certificate of Appreciation.
All Ayes. Motion carried.
Mayor called for a short recess, and the Council reconvened at 7:42 p.m.
Approval of the Consent Agenda
Haas made motion, Klein seconded, to approve the following Consent Agenda:
1. Approve Claims Roster
2. Approve Annual Performance Review for Public Works Worker Jeff Maas
3. Approve Resignation of Jennifer Wilson from the EDA
4. Approve Special Event Permit for Wilson Tool Picnic on August 10, 2019
5. Approve Temporary Liquor License for Hugo Lions for the Wilson Tool Picnic
6. Approve Resolution for Variance Request for Pamela Oman at 6900 170th Street
North from the Shoreland District Setback Requirements
7. Approve Reduction in Letter of Credit and Cash Escrow for Oneka Place
8. Approve Reduction in Letter of Credit for Preserves at Sunset Lake
All Ayes. Motion carried.
Hugo City Council Meeting Minutes for July 1, 2019
Page 3 of 4
Approval of Claims
Adoption of the Consent Agenda approved the Claims Roster as presented.
Approve Annual Performance Review for Public Works Worker Jeff Maas
Jeff Maas was hired by the City of Hugo on July 24, 2006, as a Public Works Worker. Adoption of
the Consent Agenda approved the annual performance review for Public Works Worker Jeff Maas.
Approve Resignation of Jennifer Wilson from the EDA
At its October 15, 2018, meeting, Council approved the appointment of Jennifer Wilson as an
alternate member of the Economic Development Authority. Jennifer had since submitted her
resignation due to moving outside the City of Hugo. Adoption of the Consent Agenda approved
the resignation of Jennifer Wilson from the EDA.
Approve Special Event Permit for Wilson Tool Picnic on August 10, 2019
Wilson Tool had applied for a Special Event Permit to hold their annual company picnic on
Saturday, August 10, 2019, at the Hanifl Shelter and Fields. This event required a Special Event
Permit approved by Council because there would be amplified sound, alcohol served, and
approximately 1,000 people expected to attend. Wilson Tool held their annual picnic for several
years at Lions Park and the past three years at Hanifl with no impact to the health, safety, and
welfare of the community. Adoption of the Consent Agenda approved the Special Event Permit
for the Wilson Tool Company Picnic on Saturday, August 10, 2019.
Approve Temporary Liquor License for Hugo Lions for the Wilson Tool Picnic
The Hugo Lions Club had submitted a temporary liquor license application to serve beer and
wine coolers at the Wilson Tool picnic on Saturday, August 10, 2019. The Lions had paid the fee
and would be obtaining the required insurance. Adoption of the Consent Agenda approved the
temporary liquor license for the Hugo Lions Club for the Wilson Tool Picnic.
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Approve Resolution for Variance Request for Pamela Oman at 6900 170 Street North
from the Shoreland District Setback Requirements
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Pamela Oman, 6900 170 Street North, had requesting a variance from the Shoreland District
setback requirements for a proposed house addition. The request was to allow a house addition to
be setback 80 feet from the ordinary high water (OHW) mark of Horseshoe Lake, where 200 feet
was required by the Shoreland District of the City Code. At its June 13, 2019 meeting, the Board
considered the variance request and held a public hearing. Jerold Philipson, Pamela Oman’s
husband, shared his reasons for the variance request at the public hearing. The Board agreed that
the request met the criteria necessary to approve the variance and recommended approval.
Adoption of the Consent Agenda approved RESOLUTION 2019-30 APPROVING A
VARIANCE FROM THE SETBACK REQUIREMENTS FOR A HOUSE ADDITION
LOCATED WITHIN THE SHORELAND OVERLAY DISTRICT FOR PAMELA OMAN
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AT 6900 170 STREET NORTH.
Hugo City Council Meeting Minutes for July 1, 2019
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Approve Reduction in Letter of Credit and Cash Escrow for Oneka Place
Oneka Place had significant work completed to date, and the developer had requested a reduction
in the letter of credit and cash escrow. The current letter of credit and cash escrow was in the
amount of $1,733,036. Staff had inspected the work completed to date and recommended
reducing the letter of credit by $214,124.73 and the cash escrow by $318,030.27 based on the
value of the work remaining to be completed. The remaining value of the combined letter of
credit and the cash escrow would be in the amount of $1,200,881. Adoption of the Consent
Agenda approved the reduction in letter of credit and cash escrow for Oneka Place
Approve Reduction in Letter of Credit for Preserves at Sunset Lake
The Preserve on Sunset Lake had significant work completed to date, and the developer had
requesting a reduction in the letter of credit. The current letter of credit was in the amount of
$320,000. Staff had inspected the work completed to date and recommended reducing the letter
of credit by $256,727.60. The remaining value of the letter of credit would be in the amount of
$63,724.40, 10% of the original value. Adoption of the Consent Agenda approved the reduction
in the letter of credit for The Preserve on Sunset Lake.
Update on the Yellow Ribbon Network
Council Member Chuck Haas and Phil Klein reported to Council on the Yellow Ribbon Network
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activities held recently. Haas showed pictures of the recent 10 anniversary celebration and
talked about the 98 photos he showed at the event from the past ten years. There is a golf outing
event coming up at the Oneka Ridge Golf Course, and proceeds would go to the female veteran
homeless. The YRN continues to get Girl Scout cookies donated for care packages. The last
Burger Night was sponsored by JDog Junk Removal, and WSB will be the July Burger Night
sponsor. Haas thanked recent donators. There will be YRN volunteers providing a picnic lunch
for departing soldiers. The YRN is working with the Family Assistance Center helping with a
flooded home and other home improvement projects. They are also connecting Xcel Energy’s
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Community Outreach Program to families in need. Soldiers are signing up for the 22 Welcome
Home Pheasant Hunt. Starting next month, Burger Night is switching from Wednesday nights to
Tuesday nights.
Victor Gardens HOA Meeting on Monday, July 8, 2019
City Administrator Bryan Bear reminded Council they had scheduled a meeting with the Victor
Gardens North Village HOA for Monday, July 8, 2016 in the Oneka Room.
Adjournment
Klein made motion, Petryk seconded, to adjourn at 7:56 p.m.
All Ayes. Motion carried.
Respectfully Submitted,
Michele Lindau
City Clerk