HomeMy WebLinkAbout2023.12.04 CC MinutesMINUTES
City Council Meeting
City Hall Council Chambers
Tuesday, December 4, 2023
7:00 p.m.
Call to Order
Mayor Weidt called the meeting to order at 7:00 p.m.
Roll Call
COUNCIL PRESENT: Klein, Miron, Petryk, Strub, Weidt
COUNCIL ABSENT: None
OTHERS PRESENT: City Administrator Bryan Bear, City Engineer Mark Erichson, Finance
Director Anna Wobse, City Clerk Michele Lindau
Approval of Minutes for the November 20, 2023 Council Meeting
Klein made motion, Strub seconded, to approve the minutes for the City Council meeting held on
November 20, 2023, as presented.
All Ayes. Motion carried.
Approval of Agenda
Weidt made motion, Klein seconded, to approve the agenda as presented.
All Ayes. Motion carried.
Approval of Regular Firefighter Status for Allysa Nadeau, Darek Albertson, and Steve
Albertson and Swearing In
On December 6, 2021, Council approved the hiring of Allysa Nadeau, Darek Albertson, and
Steve Albertson as probationary firefighters. Fire Chief Jim Compton explained the lengthy
process to become a regular fire fighter and said all three have completed the necessary
requirements to complete their probation. Compton swore in Firefighters Allysa, Darek, and
Steve as regular firefighters
Weidt made motion, Miron seconded, to approve the status as regular firefighter for Allysa
Nadeau, Darek Ablertson, and Steve Albertson.
All Ayes. Motion carried.
The three firefighters introduced themselves to Council. The Mayor thanked them for their
service on the department and congratulated them on their status as regular firefighters.
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Hugo Yellow Ribbon Update – Chuck Haas
Chuck Haas was in attendance to provide an update on recent Hugo Yellow Ribbon activities.
He showed photos that were taken at recent events including Care Packaging, Family Day
events, and Burger Nights. Upcoming events the YRN would be sponsoring are Shop with a
Cop, Secret Santa Program, and the 29th Welcome Home Pheasant Hunt. He had Certificates of
Appreciation for the 2023 Burger Night Sponsors, and he thanked them for their support. In
attendance to receive their Certificates were the Hugo Fire Department and Bob Harding from
the Bald Eagle Sportsman’s Club and the St. Johns Men’s Club. Employees from Fresh Paint
were in attendance to receive the Burger Night Sponsor of the Year Award.
Presentation of Certificates to Burger Night Sponsors and Award to Sponsor of the Year -
Brigadier General Dan Gabrielli
Chuck Haas introduced Brigadier General Dan Gabrielli, who was the Assistant Adjutant
General for all the Airwing Activities.
General Gabrielli said he lived in Hugo for 12 years and now lives in St Paul to be closer to the
Airwing. He talked about the Hugo Yellow Ribbon Network that started in 2008. There were
now 53 YRN cities. Seventy-eight community organizations and businesses signed up that had
done 9,500 hours of service serving 9,800 folks through 90 events. Hugo was one of four cities
recognized at Military Appreciation Day at the State Fair. He recognized how business
organizations want to help. Gabrielli said was privileged and honored to be representing the
Guard, and they were very grateful for everything the YRN has done. He recalled commanding
the Homeland New Mexico Task Force being a very rewarding deployment in Afghanistan and
the assistance he received from Chuck in providing recreational items for those deployed there.
He presented Chuck a coin in appreciation for making the connection with Bower who donated
the items. Gabrielli thanked the leadership of the City and all the volunteers.
Mayor Weidt called for a five-minute recess.
Approval of Consent Agenda
Miron made motion, Petryk seconded, to approve the following Consent Agenda:
1.Approve Claims Roster
2.Approve Hiring of Tony Delarosa and Kyle Anderson as Probationary Firefighters
3.Approve Donation from the Hugo American Legion to the Hugo Fire Department
4.Approve Donation from the Hugo Firefighters Relief Association to the Hugo Fire
Department
5.Approve Language Update to the Hugo Firefighter’s Relief Association Bylaws
6.Approve Letter of Support to MN DEED for Comcast Grant Application
7.Approve Resolution Approving Refuse Haulers Licenses for 2024
8.Approve Resolution Approving Liquor and Tobacco Licenses for 2024
All Ayes. Motion carried.
Council Meeting Minutes for December 4, 2023
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Approval of Claims
Adoption of the Consent Agenda approved the Claims Roster as presented.
Approve Hiring of Tony Delarosa and Kyle Anderson as Probationary Firefighters
The Hugo Fire Department Hiring Committee had completed the latest round of its hiring
process that started in the spring of 2023. Tony Delarosa and Kyle Anderson had successfully
completed all phases of the hiring process and were recommend as probationary fighters.
Adoption of the Consent Agenda approved the hiring of Delarosa and Anderson as probationary
firefighters with a start date of Tuesday, December 5, 2023.
Approve Donation from the Hugo American Legion to the Hugo Fire Department
The Hugo American Legion had requested to donate $1,000 to the Hugo Fire Department from
pull-tab proceeds for equipment and training. All donations to the Fire Department needed to be
approved by the Council. Adoption of the Consent Agenda approved the donation of $1,000 to
the Hugo Fire Department.
Approve Donation from the Hugo Firefighters Relief Association to the Hugo Fire
Department
The Hugo Firefighters Relief Association had requested to donate two Rapid Intervention Team
(RIT) air packs to the Hugo Fire Department from proceeds raised during their annual golf
tournament fundraiser held in June, 2023. All donations to the Fire Department needed to be
approved by the Council. Adoption of the Consent Agenda approved the donation of RIT packs
valued at $15,566.10 to the Hugo Fire Department.
Approve Language Update to the Hugo Firefighter’s Relief Association Bylaws
After reviewing the current and historical bylaws of the Hugo Firefighter’s Relief Association
the Office of the State Auditor had requested that the Relief Association update their bylaws to
specify the deferred interest credit method. The Relief Association voted to update the language
in their bylaws to specify that the deferred interest credit method would be based on full calendar
years and Council ratified this language update at the July 10, 2023 City Council Meeting. Since
this initial language update there had been ongoing discussions with the Office of the State
Auditor and it was determined that this update would cause the Association to have two different
methods of interest calculations for deferred members. In order to keep the majority of deferred
members on the same interest rate calculation method, the Relief Association had voted to
update the language in their bylaws to specify that the deferred interest calculation would be
based on full calendar months and had formally requested City Council ratification of this
language update. Adoption of the Consent Agenda approved ratifying the language update to the
Hugo Firefighter’s Relief Association Bylaws specifying that the deferred interest credit method
would now be based on full calendar months.
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Approve Letter of Support to MN DEED for Comcast Broadband Grant Application
At the March 6, 2023, meeting, Council approved a letter supporting a Minnesota Broadband
Grant Application by Comcast to provide high-speed broadband services to underserved homes
in Hugo. Comcast was successful in securing the grant, and construction would take place in
Spring, 2024. Another round of grants had become available, and Comcast was looking to
provide service to some of the last remaining gaps in Washington County. This included
approximately 38 eligible residents in the southern portion of Hugo. Comcast had requested a
letter of support from the City. Adoption of the Consent Agenda approved the letter of support
to the Minnesota Department of Employment and Economic Development for Comcast’s
Border-to-Border grant application.
Approve Resolution Approving Refuse Haulers Licenses for 2024
The City had received applications from six refuse haulers who provided refuse collection and
recycling services to Hugo businesses and residents. Licenses would be issued to these haulers
upon receipt of completed application, $165 annual licensing fee and proof of insurance.
Adoption of the Consent Agenda approved RESOLUTION 2023-42 APPROVING 2024
REFUSE HAULERS LICENSES.
Approve Resolution Approving Liquor and Tobacco Licenses for 2024
Staff had received the appropriate applications for renewals of liquor and tobacco licenses for
2024. City staff recommended Council approve the resolution approving the annual renewal of
the 2024 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 2023-43 APPROVING 2024 LIQUOR AND TOBACCO LICENSES.
Public Hearing on the 2024 City Budget and Tax Levy
State statutes required the City Council to hold a public hearing on the proposed City budget and
tax levy for the 2024 fiscal year.
Finance Director Anna Wobse presented the budget and tax levy to the Council prior to taking
public comment. She began by explaining the City of Hugo received no Local Government Aid
again this year and also would not in 2024. Hugo is one of 112 cities that do not receive any
LGA, likely because the City’s tax rate is lower than state-wide average. She provided a 2023 tax
rate comparison by using the median taxable value of a home in Washington County of
$383,400. The average state-wide tax on that home would be $1,713. The same home in Hugo
would be $1,385. Taxable market value saw a 12% increase for Pay 2024. She explained that as
a property’s value increases, so do taxes owed on that home. Values had increased 7% for
residents and 21% for commercial and industrial.
Last year Pay 2023 saw a larger than normal property value increase and it was the consensus of
the Council to deviate from the flat tax rate policy and allow for a decrease in the urban tax rate.
Previously the Council had been operating on a flat tax rate policy and it was once again the
consensus of the Council to prepare the 2024 Budget and Tax Levy reflecting the lower urban
tax rate of 36.371%. This meant the proposed levy could not exceed $12,318,875.
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Wobse next reviewed the principal and interest payments on the City’s three bond issues that
total $15,735,000. This equaled a debt load per capita of $962, much lower than the state-wide
average of $1,943. The payments on these bonds would be $993,037 in 2024. Wobse
recommended increasing the Street CIP Levy by $500,000 for a total levy of $1,660,000 in order
to be able fund the recently updated five-year Street CIP.
The largest piece of the levy was for the general fund operations. Wobse talked about the
technique of contingency budgeting that had been used over the past 32 years that would assure
that the budget would balance or there would be a surplus. This was cited by Standard & Poors
as a favorable tool. There were 27 regular full-time employees in the 2024 budget. In addition,
there were vacant community development assistant and accounting clerk positions, along with
the new deputy clerk position that was added in 2023. The mechanics position was proposed to
be reclassified to Pay Grade 6, and an increase to the audio video techs hourly rate was also
suggested. The proposed budget contained a 4.5% cost of living adjustment and step increases
for employees that had not reached their pay grade maximums. These changes added $131,885
to the general fund budget. Health insurance premiums increased by 7.68%, and Health Partners
was not increasing their deductibles. Other increases included funds for ordinance revisions,
emergency siren maintenance, training classes and small equipment purchases. Inflation was
still a factor.
For the sixth consecutive year, the budget contained $200,000 for budget stabilization.
Wobse explained that property taxes fund the majority of the general fund budget. The City also
received an annual distribution from the fiscal disparities pool. In 2024, the City would receive
$887,514 from this pool, 7% of the City’s total levy. The County, using the City’s proposed levy,
calculated the median value residential home would see a City tax increase of $100. She
compared Hugo to other cities in Washington County and reviewed the other 13 different tax
rates. She provided information on the Homestead Credit Refund and Special Property Tax
Refund available to property owners. A Senior Citizen Property Tax Deferral program was also
available to those 65 years or older.
Mayor Weidt opened the public hearing.
Dick Pickhartz, 14941 Empress Avenue North, said he had moved into a 33-unit townhome
development, and he talked about the inequity on the roads that are not maintained by Hugo. He
said the developer never explained that they were responsible for the roads. He wondered how
long it had been a practice and how many were private roads. City Administrator Bryan Bear
replied that there are many private roads in many communities, and it was very common in
townhome communities. The city approves projects without public streets. Those streets are not
constructed to the City’s streets standards and are the responsibility of the homeowners to
maintain. Pickhartz said the City should not let them do that and should consider not allowing it.
Rick Pratt, 14935 Empress Avenue North, said the City was taxing him the same amount as a
home on a City of Hugo street, and that home had a street that was getting plowed and
maintained. He questioned why they pay the same. Petryk explained the tax was based on the
valuation of the home. She said she understood how he felt though private roads were a very
common practice. He asked how much of his tax went towards roads. Weidt said they could
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get him that information. Pratt said the developer and the City benefit, and he was misled by the
seller. Petryk pointed out that other residents are assessed when they get their roads done.
Bear added that the system is a value-based system, not a user based. The level of service to each
resident varies greatly. He said the process of approving developments can be talked about
more, but there is a developer responsibility. Beyond that, the developer’s relationship is with
the homeowner under a separate transaction that the City is not involved in.
There were no more comments, and Weidt closed the public hearing.
Petryk made motion, Miron seconded, to approve RESOLUTION 2023–44 RESOLUTION
APPROVING THE GENERAL FUND BUDGET FOR THE 2024 FISCAL YEAR
Roll call vote-
Ayes: Klein, Miron, Petryk, Strub, Weidt
Nays: none
Motion carried.
Petryk made motion, Miron seconded, to approve RESOLUTION 2023–45 RESOLUTION
APPROVING THE FINAL TAX LEVY PAYABLE IN 2024.
Roll call vote-
Ayes: Klein, Miron, Petryk, Strub, Weidt
Nays: none
Motion carried
Reminder - Santa Party on Wednesday, December 6, 2023
City Administrator Bryan Bear reminded Council they had scheduled a meeting to attend the annual
Santa Party on Wednesday, December 6, 2023, from 5-7 p.m. at the Peder Pedersen Pavilion.
Reminder - Holiday Party on Thursday, December 7, 2023
City Administrator Bryan Bear reminded Council they had scheduled a meeting to attend the
annual Holiday Party on Thursday, December 7, 2023, at the Peder Pedersen Pavilion beginning
with Social Hour at 5:30 p.m.
Reminder - White Bear Lake Lawsuit Hearing on Monday, December 11, 2023
City Administrator Bryan Bear reminded Council they had scheduled a meeting to attend the
hearing on the White Bear Lake Lawsuit on Monday, December 11, 2023, at 9:30 a.m. at the
Office of Administrative Hearings in the Stassen Building. Bear stated he would try to provide a
remote link for viewing.
Schedule Dellwood Ridge Neighborhood Meeting on Wednesday, December 13
At the Council meeting on November 20, 2023, a public hearing was held to discuss a road
project on 125th Street and Heather Avenue and Upper Heather Avenue in the Dellwood Ridge
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neighborhood where there were concerns regarding the road width and questions on curb types.
Staff scheduled a meeting for Wednesday, December 13, 2023, at 6 p.m. at City Hall with the
residents to discuss these concerns.
Weidt made motion, Klein seconded, to schedule a meeting to attend the Dellwood Ridge
Neighborhood meeting on Wednesday, December 13, 2023.
All Ayes. Motion carried.
Reminder - Engagement Session on Met Council Governance on Thursday, December 14,
2023
City Administrator Bryan Bear reminded Council they had scheduled a meeting to attend a
Public Engagement Session to provide feedback on the Metropolitan Council’s Governance.
The Session was to be held at the Lake Elmo City Center on December 14, 2023, from noon to 2
p.m.
Reschedule January 1, 2024, Meeting to Monday, January 8, 2024
City Administrator Bryan Bear explained that due to the New Year Holiday falling on the same
day as the first regular Council meeting in January, staff recommended Council reschedule the
January 1 meeting to Monday, January 8, 2024.
Klein made motion, Strub seconded, to reschedule the first Council meeting in January to
January 8, 2023.
All Ayes. Motion carried.
Cancel January 15, 2024, City Council Meeting
City Administrator Bryan Bear explained that due to the Martin Luther King Holiday falling on
the same day as the second regular Council meeting in January, staff recommended Council
cancel the January 15, 2024, Council meeting.
Miron made motion, Klein seconded, to cancel the second meeting in January.
All Ayes. Motion carried.
Schedule Goal Setting Session for Monday, January 22, 2024
City Administrator Bryan Bear recommended Council schedule their annual Goal Setting
Session for Monday, January 22, 2024, at 5:00 p.m.
Petryk made motion, Klein seconded, to schedule the annual Goal Setting Session for Monday,
January 22, 2024.
All Ayes. Motion carried.
Council Meeting Minutes for December 4, 2023
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Adjournment
Klein made motion, Strub seconded, to adjourn at 8:18 p.m.
All Ayes. Motion carried.
Respectfully Submitted,
Michele Lindau, City Clerk
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