HomeMy WebLinkAbout2021.09.07 CC MinutesCITY OF
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EST.1906
14669 Fitzgerald flvenue North • Hugo, MN SS039
Call to Order
Minutes
HUGO CITY COUNCIL MEETING
HUGO CITY HALL
TUESDAY. SEPTEMBER 7, 2021 — 7 P.M.
Mayor Weidt called the meeting to order at 7:00 p.m.
COUNCIL PRESENT: Klein, Miron, Petryk, Strub, Weidt
OTHERS PRESENT: City Administrator Bryan Bear, City Attorney Dave Snyder, City
Engineer Mark Erichson, Community Development Director Rachel Juba, Interim Finance
Director Anna Wobse, City Clerk Michele Lindau
Approval of the Minutes for the August 16, 2021, Council Meeting
Miron made motion, Klein seconded, to approve the minutes for the City Council meeting held
on August 16, 2021, as presented.
All Ayes. Motion carried.
Approval of the Minutes for the August 19, 2021, Midyear Budget Workshop
Klein made motion, Petryk seconded, to approve the minutes for the Midyear Budget Workshop
held on August 19, 2021, as presented.
All Ayes. Motion carried.
Approval of Agenda
Weidt made motion, Miron seconded, to approve the agenda as presented.
All Ayes. Motion carried.
Approval of Consent Agenda
Klein made motion, Miron seconded, to approve the following Consent Agenda:
1. Approve Claims Roster
2. Approve Performance Review for Building Official Joel Hoistad
3. Approve Appointment of Ross Hoernemann as new Training Captain on the Hugo Fire
Department
4. Approve Retirement of Jodie Guareschi from the Hugo Fire Department
5. Approve Resolution Setting Speed Limit on 125th Street
6. Approve Tax -Forfeited Property Located at 6317 165th Street North to be Sold at a
Public Auction.
7. Approve Resolution Approving Variance for Garage Setback for Luke Hanscom at 12096
Everton Avenue
8. Approve Pay Request No. 11 to Ebert Construction for New Public Works Facility
Hugo City Council Meeting Minutes for September 7, 2021
Page 2 of 6
9. Approve Pay Request No. 3 to Ebert Construction for Public Works Salt and Material
Storage Building
10. Approve Pay Request No. 1 to Schreiber Mullaney Construction for Lions Park Pavilion
11. Approve Reduction in Letter of Credit for Adelaide Landing 6th Addition
All Ayes. Motion carried.
Approve Claims Roster
Adoption of the Consent Agenda approved the Claims Roster as presented.
Approve Performance Review for Building Official Joel Hoistad
Joel Hoistad was hired on September 14, 2020, as the new building official to replace Chuck
Presiler when he retired in November 2020. Adoption of the Consent Agenda approved the
Annual Performance Review for Building Official Joel Hoistad.
Approve Appointment of Ross Hoernemann as new Training Captain on the Huzo Fire
Department
The Hugo Fire Chiefs interviewed two interested firefighters for the Training Captain position
and selected Ross Hoernemann to be the new Training Captain effective September 1, 2021.
Ross will also continue to act as the department's Administrative Captain and hold two
positions at least through the end of 2021. Adoption of the Consent agenda approved Ross
Hoernemann as the new Training Captain.
Approve Retirement of Jodie Guareschi from the Hugo Fire Department
In October 2001, Jodie Guareschi was hired as a firefighter on the Hugo Fire Department. After
20 years, Jodie had submitted her letter of retirement. Adoption of the Consent Agenda
approved the retirement of Jodie Guareschi effective November 1, 2021.
Approve Resolution Setting Speed Limit on 125th Street
In May 2019, Minnesota State Legislature passed a bill granting cities the authority to set speed
limits under their jurisdiction. This statute went into effect August 1, 2019. Staff had received
multiple concerns related to the speeds on 125th Street and had reviewed the roadway. The
speed limit along 125th Street from Goodview Avenue to County Road 7 was currently not
posted and therefore defaulted as a 55 MPH roadway. Staff had concluded that the roadway
should be posted. The action necessary to lower the speed limit would be to adopt the
resolution identifying the speed limit along 125th Street from Goodview Avenue to Hilo
Avenue as 40 MPH, 125th Street from Hilo Avenue to County Road 7 as 30 MPH, with the
curve between Homestead and County Road 7 posted with 25 MPH advisory speed limit. The
recommended speed limits had been determined based on the vertical and horizontal geometrics
of the existing roadway. A speed limit adopted would not be effective unless the road authority
passed a resolution and erected signs designating the speed limit on which the speed limit
applied.
Hugo City Council Meeting Minutes for September 7, 2021
Page 3 of 6
Adoption of the Consent Agenda approved RESOLUTION 2021— 56 SETTING SPEED
LIMIT ALONG 125TH STREET FROM GOODVIEW AVENUE TO COUNTY ROAD 7.
Approve Tax -Forfeited Property Located at 6317 165th Street North to be Sold at a Public
Auction.
The City had received notice of a tax -forfeited parcel located in Hugo at 6317 165th Street
North. The County requested that the City review the property and either approve the property
to be sold at a public auction or conveyed to the City for an authorized public use or public
purpose. The adjacent property owners would be notified of the public auction. The property
included a vacant home, and Washington County had cleaned up the property and cleaned out
the home. Adoption of the Consent Agenda approved the property to be sold at a public auction.
Approve Resolution Approving Variance for Garage Setback for Luke Hanscom at 12096
Everton Avenue
The Board of Zoning had reviewed the variance request submitted by Luke Hanscom for
property located at 12096 Everton Avenue North. The variance request was to allow a front
yard building setback of 25 feet, where 30 feet was required by ordinance. The Board of Zoning
reviewed the request at their August 26, 2021 meeting and held a public hearing. No one spoke
at the public hearing. The Board of Zoning found that the applicant met the conditions
necessary for approval and recommended approval to the Council. Adoption of the Consent
Agenda approved RESOLUTION 2021— 57 APPROVING A VARIANCE REQUEST FROM
LUKE HANSCOM TO ALLOW A FRONT YARD BUILDING SETBACK OF 25 FEET,
WHERE 30 FEET IS REQUIRED BY ORDINANCE, AT PROPERTY LOCATED AT 12096
EVERTON AVENUE NORTH.
Approve Pay Request No. 11 to Ebert Construction for New Public Works Facility
Ebert Construction had submitted a pay request for work completed to date on the Public Works
faility. The quantities completed to date had been agreed upon by the architect, contractor and
City staff. Adoption of the Consent Agenda approved Pay Request No. 11 in the amount of
$393,604.75 to Ebert Construction for the work completed at the City of Hugo Public Works
facility.
Approve Pay Request No. 3 to Ebert Construction for Public Works Salt and Material
Storage Building
Ebert Construction had submitted a pay request for work completed to date on the salt and
materials storage buildings. The quantities completed to date had been agreed upon by the
architect, contractor and City staff. Adoption of the Consent Agenda approved Pay Request
No.3 in the amount of $234,982.12 to Ebert Construction for the work completed at the City of
Hugo Public Works facility salt and materials building.
Approve Pay Request No.1 to Schreiber Mullaney Construction for Lions Park Pavilion
Schreiber Mullaney had submitted Pay Request No. 1 for the new pavilion in Lions Park in the
amount of $40,836.82. The quantities completed to date had been reviewed and agreed upon by
Hugo City Council Meeting Minutes for September 7, 2021
Page 4 of 6
the architect, contractor and City staff. The amount indicated above reflected the work certified
through August 31, 2021 with a 5% retainage applied. The total retainage being held to date
would be $2,149.31. Adoption of the Consent Agenda approved Pay Request No. 1 in the
amount of $40,836.82 to Schreiber Mullaney Construction for the construction of the City of
Hugo Lions Park Pavilion.
Approve Reduction in Letter of Credit for Adelaide Landing 6th Addition
Adelaide Landing 6th Addition has had significant work completed to date and The Excelsior
Group had requested a reduction in the letter of credit. The current letter of credit for the 6th
Addition was in the amount of $1,854,238. Staff had inspected the work completed to date and
found it acceptable. Adoption of the Consent Agenda approved the reduction in the letter of
credit to $1,029,737 based on the value of work remaining to be completed.
Approve Resolutions Declaring Costs to be Assessed and Setting Public Hearing for the
Downtown Improvement Project
Staff had prepared two resolutions for Council consideration in accordance with the requirement
of State Statute Chapter 429 for assessments to benefitting properties. The first resolution was a
resolution declaring the costs to be assessed and ordering the preparation of the proposed
assessment roll for the 2021 Downtown Improvement Project. The second resolution was a
resolution calling the hearing on assessments for the 2021 Downtown Improvement Project.
City Engineer Mark Erichson showed a map identifying the streets that would be part of the
project. The streets being reconstructed would be getting new pavement surface and concrete
curb and gutter. The new street (147th Street west of Finale Avenue) would have a trail along
the north side and be built to State Aid standards. The road would intersect with Oneka
Parkway, and turn lanes would be added. As part of the project, there would also be
improvements related to storm sewer and drainage, and water and sanitary utilities. Erichson
explained the total project cost was $3,240,800 with $259,639.75 to be assessed. The remaining
$2,981,160.25 would be paid for with Capital Improvement Funds and State Aid Funds.
Construction would continue through the fall of 2021. The next steps were to declare costs to
be assessed and hold the assessment hearing on October 4, 2021.
Miron made motion, Klein seconded, to approve RESOLUTION 2021-58 DECLARING THE
COST TO BE ASSESSED AND ORDERING PREPARATION OF PROPOSED
ASSESSMENT ROLL FOR THE 2021 DOWNTOWN IMPROVEMENT PROJECT.
All Ayes. Motion carried.
Klein made motion, Strub seconded, to approve RESOLUTION 2021-59 CALLING
HEARING ON ASSESSMENTS FOR THE 2021 DOWNTOWN IMPROVEMENT ROJECT.
All Ayes. Motion carried.
Hugo City Council Meeting Minutes for September 7, 2021
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Approve Resolution Providing for the Issuance and Sale of General Obligation Tax
Abatement Bonds
At the August 2, 2021 City Council meeting, Council adopted a Resolution Providing for the
Competitive Negotiated Sale of $8,380,000 General Obligation Tax Abatement Bonds, Series
2021 A. The bonds would be issued to finance the Lions Park improvement project and related
improvements. Bids for the sale of the bonds were accepted until 11:00 am on Tuesday,
September 7, 2021. Financial Advisor Paul Steinman from Baker Tilly reviewed the bids and
explained five bids were received, and the winning bid was submitted by Robert W. Baird &
Co. at 1.582%. The next best bid was 1.588%. The dollar amount changed after the bid because
the City received a premium. The end borrowing amount was $8.17 million, and that deposited
a total of $8.65 million into the project construction fund. Steinman talked about the City's
bond rating explaining there was a rating call with Standard & Poors who affirmed the City's
AA+ rating. He said this was a small notch from an AAA rating. If the City's local economy
continued to improve, demonstrated by higher income indicators along with improvements to
the City's debt profile, the rating could be raised. If the City's financial performance were to
worsen due to imbalance resulting in declining reserves, the rating could be lowered. He talked
about last year's bond sale. The City sold $8 million in CIP Bonds with an almost identical true
interest cost as these, however they had a 25 year amortization structure and these were at 20
years. Steinman recommended awarding the sale of the bonds to Robert W. Baird & Co.
Weidt made motion, Petryk seconded, to approve RESOLUTION 2021-60 ACCEPTING
OFFER ON THE SALE OF $8,170,000 GENERAL OBLIGATION TAX ABATEMENT
BONDS, SERIES 2021A, PROVIDING FOR THEIR ISSUANCE AND PLEDGING TAX
ABATEMENTS AND LEVYING A TAX FOR THE SECURITY AND PAYMENT
THEREOF.
Roll call vote: All Ayes. Motion carried.
Authorization to Prepare the Feasibility Study for the 2022 Oneka Parkway Improvement
Project
City Engineer Mark Erichson explained the five-year Capital Improvement Plan for roadway
infrastructure was approved in 2020 by the City Council as part of the City's overall five-year
Capital Improvement Plan. Next year's improvement project was identified as the 2022 Oneka
Parkway Improvement Project and included mill and overlay improvements along Oneka
Parkway from Frenchman Road (CSAH 8) to 149th Street N and full street reconstruction along
Oneka Parkway from 149th Street N to Heritage Parkway. Erichson asked Council to confirm
the improvements as outlined in the five-year Capital Improvement Plan remained the City's
next priority. Erichson provided a rough schedule that would begin with a public information
meeting..
Klein made motion, Miron seconded, to approve RESOLUTION 2021-61 ORDERING
PREPARATION OF A FEASIBILITY REPORT FOR PUBLIC IMPROVEMENTS TO ALL
OR PORTIONS OF ROADWAYS IDENTIFIED AS THE 2022 ONEKA PARKWAY
IMPROVEMENT PROJECT.
All Ayes. Motion carried.
Hugo City Council Meeting Minutes for September 7, 2021
Page 6 of 6
Schedule Special Meeting for Monday, September 13, 2021, to Award the Bid for the 121st
Street/Acres of Bald Eagle Proiect
City Administrator Bryan Bear explained that bids for the 121 st Street and Acres of Bald Eagle
Improvement Project would be opened at 10 a.m. on October 9, 2021. Due to timing, staff
requested Council schedule a special meeting to accept the bids and award the project.
Klein made motion, Miron seconded, schedule a special meeting for Monday September 13,
2021, at 5 p.m. for the award of bid for the 121st St/Acres of Bald Eagle Improvement Project.
All ayes. Motion carried.
Fire Department Open House on Saturday, October 2, 2021
City Administrator Bryan Bear informed Council the Hugo Fire Department Open House would be
held on Saturday, October 2, 2021, from 1 Ia.m.-3 p.m. at the Hugo Fire Hall.
Petryk made motion, Klein seconded to schedule a meeting to attend the Fire Department Open
House on Saturday, October 2, 2021,
All Ayes. Motion carried.
Adjournment
Klein made motion, Miron seconded, to adjourn at 7:25 p.m.
All Ayes. Motion carried.
Respectfully Submitted,
Michele Lindau, City Clerk