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ARDEN HILLS CITY COUNCIL—DECEMBER 11, 2017 6 Interim Director of Finance and Administrative Services Perrault stated the City Council needs to set a budget for the 2018 fiscal year, and set a tax levy to be certified to the County prior to the beginning of 2018. The Council voted in September to set a preliminary tax levy increase of 4% (or approximately $146,000). This amount may be decreased, but not increased prior to the final certification to Ramsey County. Staff reviewed the proposed tax levy in comparison to neighboring cities. Staff requested the Council set the final tax levy for taxes payable in 2018. Councilmember Holden stated she supported the tax levy at 4% and noted this would allow the City enough of a cushion without overtaxing its residents. Councilmember Holmes agreed and noted the Council has been working on the budget and tax levy for several months. MOTION: Councilmember McClung moved and Mayor Grant seconded a motion to adopt Resolution #2017-051 — Setting the Final Tax Lew for Taxes Payable in 2018 in the amount of$3,786,942. The motion carried (5-0). B. Joint Powers Agreement for Traffic Markings, Street Sweeping, Crack Sealing, Screening and Seal Coating Public Works Director/City Engineer Polka stated in 2005, a joint powers agreement(JPA) for various street maintenance activities was executed by the cities of Coon Rapids, Andover, Brooklyn Center, Columbia Heights, and Fridley. Since 2005, six additional cities have joined the joint powers agreement (Ham Lake, East Bethel, Anoka, Mahtomedi, Circle Pines and Mounds View). Public Works Director/City Engineer Polka reported staff recently attended a meeting to gather information and feel that it would be to the City's advantage to participate in the JPA for the City's crack sealing and seal coating projects. Due to the quantities bid through the JPA, the unit prices have been lower than stand-alone contracts. For example,the unit price for crack sealing in last year's JPA was $0.67/LF versus the bid that Arden Hills received of$3.05/LF. Public Works Director/City Engineer Polka explained another feature of the JPA is an opt out clause which allows a City to opt out of any individual bid award and contract within 30 days after a bid has been awarded. The JPA is administered by Coon Rapids for a small percentage of the construction costs ranging from 1-2%. Based on the proposed streets to be crack sealed and seal coated in 2018, it is anticipated that the fee for Arden Hills would be 1.5%, which would equate to $1,125 on a $75,000 construction budget. The following streets are being considered for crack sealing and seal coating in 2018: • Glenview Avenue Glenview Court • Janet Court Valentine Avenue • Valentine Court Valentine Crest Road • Asbury Avenue Edgewater Avenue • Glenhill Road Ridgewood Road Councilmember Holden asked if sealing coating was good or bad for the City's roadways.