HomeMy WebLinkAbout2021.12.06 CC Minutes
Call to Order
Mayor Weidt called the meeting to order at 7:00 p.m.
COUNCIL PRESENT: Klein, Miron, Petryk, Strub, Weidt
COUNCIL ABSENT: None
OTHERS PRESENT: City Administrator Bryan Bear, City Attorney Dave Snyder, City
Engineer Mark Erichson, Community Development Director Rachel Juba, Anna Wobse,
Finance Director, City Clerk Michele Lindau
Minutes for November 15, 2021 Council Meeting
Klein made motion, Petryk seconded, to approve the minutes from the City Council meeting
held on November 15, 2021, as presented.
All Ayes. Motion carried.
Approval of Agenda
Weidt made motion, Klein seconded, to approve the agenda as presented.
All Ayes. Motion carried.
Yellow Ribbon Network Burger Night Recognition Awards
Hugo Yellow Ribbon Network Chair Chuck Haas provided an update on recent activities. He
showed photos of the recent Welcome Home Pheasant Hunt, 133 Air Wing Halloween event,
Fort McCoy relief program volunteers, 34th MP Company at Camp Ripley and care package
events and package recipients. He thanked the Forest Lake Rotary Club who raised money to
put items into care packages and paid for postage. He talked about Washington County’s Shop
with a Cop program and the Secret Santa program.
Haas introduced, Colonel Jamie Lindman, Vice Wing Commander of the 133rd Airlift Wing,
Representing the Minnesota National Guard. The Colonel helped present the 2020 Burger
Night Award to the Bald Eagle Sportsmen’s Association and the 2021 awards to Hiway Credit
Union and the Hugo Fire Department.
Approval of Consent Agenda
Petryk made motion, Strub seconded, to approve the following Consent Agenda:
1. Approve Claims Roster
2. Approve Donation to Hugo Fire Department from Hugo American Legion
Minutes
HUGO CITY COUNCIL MEETING
HUGO CITY HALL
MONDAY, DECEMBER 6, 2021 – 7 P.M.
Hugo City Council Meeting Minutes for December 6, 2021
Page 2 of 7
3. Approve Hiring of Five Probationary Firefighters on the Hugo Fire Department
4. Approve Resolution Approving Refuse Haulers Licenses for 2022
5. Approve Resolution Approving Liquor and Tobacco Licenses for 2022
6. Approve Resolution Approving Joint Powers Agreement with MN BCA for
Electronic Access to Court Data and Documents
7. Approve Resolution Designating Polling Locations for Hugo Elections
8. Approve Pay Request No 3 to Schreiber Mullaney Construction for Lions Park
Pavilion
9. Approve Reduction in Letter of Credit for Meadows at Hugo 1st Addition
10. Approve Reduction in Letter of Credit for Adelaide Landing 5th and 6th Addition
11. Approve Release of the Letter of Credit and Cash Escrow for Oneka Place 1st
Addition
12. Approve Release of the Letter of Credit for the 140th Street Extension- Schwieters
Addition
13. Approve Conditional Use Permit Renewal for Thommes and Thomas Land
Clearing at 5777 165th Street North
14. Approve Sale of Brine Mixer to White Bear Township
15. Approve Sale of Fire Department Hose Tester to Lino Lakes Fire Department
16. Approve Updated Employment Agreement for City Administrator Bryan Bear
All Ayes. Motion carried.
Approve Claims Roster
Adoption of the Consent Agenda approved the Claims Roster as presented.
Approve Donation to Hugo Fire Department from Hugo American Legion
The Hugo American Legion Post 620 wanted to donate $1,000 to the Hugo Fire Department
for training and equipment. Donations to the Fire Department needed to be approved by
Council. Adoption of the Consent Agenda approved the donation of $1,000 from the Hugo
American Legion to the Hugo Fire Department.
Approve Hiring of Five Probationary Firefighters on the Hugo Fire Department
The Hugo Fire Department Hiring Committee interviewed several applicants for Probationary
Firefighter positions and had selected five individuals. Adoption of the Consent Agenda
approved the hiring of Brandon Raschik, Allysa Nadeau, Stephen Albertson, Darek Albertson,
Cameron Barukzoy as Probationary Firefighters effective December 6, 2021.
Approve Resolution Approving Refuse Haulers Licenses for 2022
The City had received applications from seven refuse haulers to provide refuse collection and
recycling services to Hugo businesses and residents. Licenses would be issued to these haulers
Hugo City Council Meeting Minutes for December 6, 2021
Page 3 of 7
upon receipt of completed application, $165 annual licensing fee and proof of insurance.
Adoption of the Consent Agenda approved RESOLUTION 2021- 71 APPROVING 2022
REFUSE HAULERS LICENSES.
Approve Resolution Approving Liquor and Tobacco Licenses for 2022
Staff had received the appropriate applications for renewals of liquor and tobacco licenses for
2022. City staff recommended Council approve the resolution approving the annual renewal of
the 2022 liquor and tobacco licenses subject to payment of all fees, taxes and utilities, and
receipt of certificates of liquor liability insurance. Adoption of the Consent Agenda approved
RESOLUTION 2021- 72 CITY OF HUGO 2022 LIQUOR AND TOBACCO LICENSES.
Approve Resolution Approving Joint Powers Agreement with MN BCA for Electronic
Access to Court Data and Documents
Since July 18, 2011, the City had an agreement with the Department of Public Safety, Bureau of
Criminal Apprehension (BCA) to allow the City attorney’s firm of Johnson and Turner to
access court records and court documents through the BCA’s Criminal Justice Data
Communications Network (CJDN). In July 2012, Council approved an amendment to provide
additional tools available to access court data. In 2016, the agreement and amendment were
renewed for another five years, and this agreement was to expire at the end of this year.
Adoption of the Consent Agenda approved RESOLUTION 2021- 73 APPROVING STATE
OF MINNESOTA JOINT POWERS AGREEMENTS WITH THE CITY OF HUGO ON
BEHALF OF ITS CITY ATTORNEY AND ARRESTING AGENCY.
Approve Resolution Designating Polling Locations for Hugo Elections
State Statute 204B.16 required municipalities to designate precinct polling places for elections
by resolution by December 31 of each year. At the time of redistricting in March, 2022, staff
would likely be requesting Council establish new polling locations by resolution for the 2022
election. Knowing this does did not exempt the City from the statutory requirement to do so
annually by December 31. Adoption of the Consent Agenda approved RESOLUTION 2021-
74 DESIGNATING PRECINCT POLLING LOCATIONS FOR ELECTIONS IN THE CITY
OF HUGO.
Approve Pay Request No. 3 to Schreiber Mullaney Construction for Lions Park Pavilion
Schreiber Mullaney had submitted Pay Request No. 3 for the new pavilion in Lions Park in the
amount of $378,408.75. The quantities completed to date had been reviewed and agreed upon
by the architect, contractor and City staff. The amount indicated above reflected the work
certified through October 31, 2021, with a 5% retainage applied. The total retainage being held
to date was $28,657.01. Adoption of the Consent Agenda approved Pay Request No. 3 in the
amount of $ 378,408.75 to Schreiber Mullaney Construction for the construction of the City of
Hugo Lions Park Pavilion.
Hugo City Council Meeting Minutes for December 6, 2021
Page 4 of 7
Approve Reduction in Letter of Credit for Meadows at Hugo 1st Addition
Meadows at Hugo 1st Addition had significant work completed to date, and Centra Homes, LLC
had requested a reduction in the letter of credit. The current letter of credit for the 1st Addition
was in the amount of $3,717,530. Adoption of the Consent Agenda approved the reduction in
the letter of credit to $2,553,451 based on the value of work remaining to be completed.
Approve Reduction in Letter of Credit for Adelaide Landing 5th and 6th Additions
Adelaide Landing 5th and 6th Additions had substantial work completed to date, and the
developer had requested a reduction in the letter of credit for both the 5th and 6th Additions. The
current letter of credit for the 5th Addition was in the amount of $507,673.44. Staff had
inspected the work completed to date and recommended Council approve the reduction in the
letter of credit to $296,793 based on the value of work remaining to be completed. The current
letter of credit for the 6th Addition was in the amount of $1,029,737. Staff had inspected the
work completed to date and recommended Council approve the reduction in the letter of credit
to $347,303 based on the value of work remaining to be completed. Adoption of the Consent
Agenda approved the reduction in the letters of credit for Adelaide Landing 5th and 6th
Additions.
Approve Release of the Letter of Credit and Cash Escrow for Oneka Place 1st Addition
CPDC-Pratt-Oakwood, Limited Liability Partnership, had requested the City release their letter
of credit and cash escrow for the Oneka Place 1st Addition Development. The one year warranty
period had expired. Adoption of the Consent Agenda approved the release of the letter of credit
and cash escrow being held for the constructed improvements for Oneka Place 1st Addition.
Approve Release of the Letter of Credit for the 140th Street Extension- Schwieters
Addition
Victor Land Holdings, LLC, had requested the City release their letter of credit for the 140th
Street Extension Project. The one year warranty period had expired. Adoption of the Consent
Agenda approved the release of the letter of credit being held for the constructed improvements
for the 140th Street Extension Project.
Approve Conditional Use Permit Renewal for Thommes and Thomas Land Clearing at
5777 165th Street North
Thommes and Thomas Land Clearing has a CUP to operate a land clearing business located on
property generally located south of 165th Street North and west of Highway 61. Condition 1 of
the permit stated that it shall be subject to renewal every 24 months. The last CUP renewal was
in January 2019. Staff visited the property on December 1, 2021, and noted that the applicant
had been conducting the same operation on the property but the intensity of the use over the last
several years has declined. Staff was not aware of any violations of the existing Conditional Use
Permit and found Thommes and Thomas Land Clearing to be in compliance with the CUP.
Adoption of the Consent Agenda approved the renewal of the CUP for Thommes and Thomas
Land Clearing.
Hugo City Council Meeting Minutes for December 6, 2021
Page 5 of 7
Approve Sale of Brine Mixer to White Bear Township
In 2012, the City purchased a brine (salt water) mixer and brine application equipment to be
used during snow events in the winter months. The City was no longer applying brine to the
road surface in advance of snow events, but was using brine to pre-wet road salt as it is being
discharged from the salt spreaders on the rear of the plow trucks. The brine was stored in tanks
mounted to the sides of the plow trucks and sprayed on the salt as it left the trucks. In 2014, the
City of Hugo and the City of Centerville made arrangements for Centerville to store road salt in
the City of Hugo salt storage building and for the City of Centerville to provide brine to the City
of Hugo. This arrangement worked well for both cities, and the City of Hugo had not utilized
its brine maker since 2014. The City of Hugo Public Works Department requested Council
approval to sell the City’s brine mixer to White Bear Lake Township for $3,000. With the sale
of the brine mixer, White Bear Township would agree to provide brine to the City of Hugo if
there was ever a need to do so. Adoption of the Consent Agenda approved the sale of the brine
mixer to White Bear Lake Township in the amount of $3,000.
Approve Sale of Fire Department Hose Tester to Lino Lakes Fire Department
The hose tester used by the Hugo Fire Department was purchased in 2009 with funds from the
Relief Association. The tester was used to test hoses for leaks as required annually by OSHA.
In 2022, the Fire Department began contracting with a service provider to test hoses on an
annual basis. The Department requested Council approval to sell the hose tester to the Lino
Lakes Fire Department for $1,000. Adoption of the Consent Agenda approved the sale of the
Fire Department’s hose tester to the Lino Lakes Fire Department for $1,000.
Approve Updated Employment Agreement for City Administrator Bryan Bear
Bryan Bear had been employed with the City since May 3, 2004, and served as the Community
Development Director until being appointed as the City Administrator on November 7, 2011.
At that time, Bear entered into an employment agreement that had not been changed since.
Under City Council direction, the City Attorney had drafted a new employment agreement with
clarifications and amendments to personal leave, automobile expense, termination benefits, and
salary, including a statement that Bear declined any payment for overtime. Adoption of the
Consent Agenda approved the updated employment agreement for City Administrator Bryan
Bear.
Public Hearing on 2022 City Budget and Tax Levy
State statutes required city council’s to hold public hearings on proposed city budgets and tax
levies. Finance Director Anna Wobse presented the budget and tax levy to the Council prior to
taking public comment.
Wobse began by explaining the State distributed a total of $564,398,012 in Local Government
Aid, and the City was one out of 101 Cities that did not receive funds. One of the key factors is
because Hugo’s tax rate is considerably lower than the statewide average. She compared Hugo’s
tax rate of 39.294% with all cities in Minnesota. On a median value home of $293,500, the
difference of tax on that home in Hugo compared to the state average was $133.89 less.
Hugo City Council Meeting Minutes for December 6, 2021
Page 6 of 7
Wobse explained the City maintains a flat tax rate but tax collections increase when property
values increase. In 2022, taxable market value increased by $155,994,500 (7.7%). To keep the
tax rate the same the Council adopted a preliminary tax levy of $9,590,175 in September, 2021.
Washington County uses this number when calculating the proposed tax notices mail several
weeks ago.
She next reviewed what made up the City’s proposed levy beginning with City’s three bond
issuances equaling $16,505,000. The Improvement Bonds of 2011 were to pay for street
projects, the Capital Improvement Bonds of 2020 were to finance the Public Works facility, and
the Tax Abatement Bonds in 2021 were used to finance Lions Park. These three bonds resulted
in $1,047 per capita in the City of Hugo, which is less than the average statewide of $1,876 per
capita. The levy to pay for the principal and interest on these bonds would be $989,465 for
2022.
Two years ago, the City began to levy $1.1 million for street improvement projects. The City is
now able to fund these projects without borrowing. The project for 2022 will be Oneka
Parkway. Included in the budget was $240,000 in the Equipment Fund Levy, and $278,788 for
the Stormwater Levy. The Special Parks Fund Levy used to maintain neighborhood Park will
remain at $92,000 until the Council changes it. The Firefighter Relief Levy was at $21,444
with no mandatory contribution required in 2022.
She explained the budget technique used for the General Fund was to conservatively estimate
revenues and to budget for expenditures that may or may not occur, which usually led to a
surplus. Included in the general fund was personnel, which included 25 full-time positions and
two vacant positions. The Public Works Director was recommending the Public Works
Department be divided into three divisions with a superintendent position. This would take
more consideration and approval by the Council. A new administrative intern position was also
budgeted for. Salary survey market data showed Hugo to be less than 4% from the minimum
and maximum ranges. The proposed budget contained a 4.55% Cost of Living Adjustment and
a few page grade adjustments and step increases. Insurance premiums were only increasing by
3.33% but employee deductibles were also increasing. Staff was requesting to use a portion of
the premium savings to offset the increased deductibles. The General Fund Budget also
included $200,000 for budget stabilization.
She reviewed revenues saying the vast majority of the budget was funded with property taxes.
Most other revenues remained at 2021 budgeting levels. The City will receive its annual share
of the fiscal disparities pool which will lower the taxes paid by residents by $924,336. The
City’s urban tax rate will remain unchanged at 39.294%. Wobse reviewed the 13 different tax
rate and where the average tax dollar goes. The City’s share accounts for 28% of the total tax
bill. She provided information on state tax programs and encouraged residents to apply.
Mayor Weidt opened the public hearing
Ellen St. Sauver, asked about a huge increase in the tax amount owed on vacant land she owns
in Hugo. Staff was directed to investigate the reason and follow up with her.
There were no other comments, and Weidt closed the public hearing.
Hugo City Council Meeting Minutes for December 6, 2021
Page 7 of 7
Miron made motion, Klein seconded, to approve RESOLUTION 2021-75 APPROVING THE
GENERAL FUND BUDGET.
All Ayes. Motion carried.
Miron made motion, Klein seconded, to approve RESOLUTION 2021-76 APPROVING
FINAL TAX LEVY PAYABLE IN 2022.
All Ayes. Motion carried.
Holiday Party Thursday, December 9, 2021
Council Administrator Bryan Bear reminded Council the annual Holiday Party was scheduled
for Thursday, December 9, 2021 beginning at 5:30 p.m. This event would held in appreciation
of volunteers and staff.
Adjournment
Klein made motion, Petryk seconded, to adjourn at 7:50 p.m.
All Ayes. Motion carried.
Respectfully Submitted
Michele Lindau
City Clerk