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HomeMy WebLinkAbout12-12-22-R 'It -AIpEN_ HILLS Approved: December 19, 2022 CITY OF ARDEN HILLS, MINNESOTA REGULAR CITY COUNCIL MEETING DECEMBER 12,2022 7:00 P.M. -ARDEN HILLS CITY COUNCIL CHAMBERS CALL TO ORDER/ROLL CALL Pursuant to due call and notice thereof, Mayor David Grant called to order the regular City Council meeting at 7:00 p.m. Present: Mayor David Grant, Councilmembers Brenda Holden, Fran Holmes, David Radziej, and Steve Scott Absent: None Also present: City Administrator Dave Perrault; Public Works Director/City Engineer David Swearingen; Finance Director Gayle Bauman; Community Development Director Jessica Jagoe; City Attorney Joel Jamnik; and Assistant to the City Administrator/City Clerk Julie Hanson PLEDGE OF ALLEGIANCE 1. APPROVAL OF AGENDA Mayor Grant requested Items 7E, 7J and 7K be pulled from the Consent Agenda to be discussed as Items 8A, 8B and 8C. MOTION: Councilmember Holden moved and Councilmember Radziei seconded a motion to approve the meeting agenda as amended. The motion carried (5-0). 2. PUBLIC INQUIRIES/INFORMATIONAL Kathy Nelson, 3475 Siems Court, stated she has lived in her home for the past 38 years. She explained she was happy to see the Council discussed the proposed roundabout at County Road E and Old Snelling at a recent work session. She understood utilities had to be repaired at this intersection but discussed how the expense for this project has now increased by nearly 82%. She appreciated the fact the Council was questioning the costs for this project and asking the County to find another solution. She suggested the funding for this project be put into trails that would benefit the entire community versus trying to push more traffic through her neighborhood. She explained she would like more information regarding the stormwater pond and right of way issues ARDEN HILLS CITY COUNCIL—DECEMBER 12, 2022 2 regarding the roundabout. She asked that the City not subject this neighborhood to six months of roundabout construction. She believed the roundabout construction would be a waste of taxpayer dollars. Kathy Sukke, 1286 Karth Lake Circle, stated she has lived in her home for 37 years. She thanked the City Council and staff members for all of their service to the community. She commented on a letter to the editor that was posted in the Star Tribune this morning from Gregg Larson and Stan Harpstead. She discussed how comfortable the City was with developing TCAAP as they have been working on the project since 2012, and understood the County was not comfortable with the project. She encouraged the current City Council to make the newly elected Councilmembers aware of the history of this project. She suggested the TCAAP process be restarted and that conversations be held again with the public in order to get this project off on the right foot. She proposed open houses be held in 2023 and recommended that the previously approved JDA not be undone by the new City Councilmembers. 3. RESPONSE TO PUBLIC INQUIRIES None. 4. PUBLIC PRESENTATIONS None. 5. STAFF COMMENTS None. 6. APPROVAL OF MINUTES A. November 21, 2022, City Council Work Session B. November 28, 2022, Special City Council Work Session C. November 28, 2022, Regular City Council MOTION: Councilmember Holden moved and Councilmember Radziei seconded a motion to approve the November 21, 2022, City Council Work Session meeting minutes, November 28, 2022, Special City Council Work Session meeting minutes; and November 28, 2022, Regular Citv Council meeting minutes as presented. The motion carried (5- 7. CONSENT CALENDAR A. Motion to Approve Consent Agenda Item - Claims and Payroll B. Motion to Approve the 2023 Non-Union Employee Compensation Plan C. Motion to Approve Resolution 2022-055 Approving the 2023 City Contribution to Employee Monthly Benefits D. Motion to Approve Ordinance 2022-009 Approving the 2023 Fee Schedule and Authorizing Publication of a Summary Ordinance ARDEN HILLS CITY COUNCIL—DECEMBER 12, 2022 3 E. -A.4-A-fiefj t Approve !''.,.,,,ellatie« f the Peee, ber- 26 2022 Regular- City G,,,,,. Meeting F. Motion to Approve 2023 Liquor License Renewals and New Liquor License for Siam Thai G. Motion to Approve 2023 Tobacco License Renewals H. Motion to Approve Ordinance 2022-010 Amending Chapter 5, Section 500, Subsection 500.3 Regarding Temporary Liquor Licensing and Authorization to Publish a Summary Ordinance I. Motion to Approve Ordinance 2022-011 Amending Chapter 8, Section 800 Traffic and Parking Regulations, Subsection 800.04 Unreasonable Acceleration, Speed Limits and Authorizing Publication of a Summary Ordinance .Me ien te Approve Caneella4ien of the jan,a , 23 >;o>,naat.,, 27 and Mar-e>, K. Motion to AppFeve Extension of T-e f s for jDA (`hair- Br-i n Holmes an a Geftifflissiener- Gr-m4 thfough Deeeffiber 31, 2024 MOTION: Councilmember Holden moved and Councilmember Holmes seconded a motion to approve the Consent Calendar as amended and to authorize execution of all necessary documents contained therein. The motion carried 5-0 . 8. PULLED CONSENT ITEMS A. Motion to Approve Cancellation of the December 26, 2022 Regular City Council Meeting Mayor Grant stated this was a standard cancelation that the Council has approved over the past approximately 22 years. He explained there would be a Special City Council meeting following the December 19, 2022 work session to consider two planning cases. Councilmember Scott reported City offices are on Monday, December 26, 2022 in observance of the Christmas holiday. MOTION: Councilmember Holden moved and Councilmember Holmes seconded a motion to approve Cancellation of the December 26, 2022 Regular City Council Meeting. The motion carried (5-0). B. Motion to Approve Cancellation of the January 23, February 27 and March 27,2023 Regular City Council Meetings Mayor Grant explained the Council cancelled the second meetings of January, February and March in 2022. He reported this was due to the fact there were very few planning cases that come before the City in the winter months. He stated it was his understanding the January Planning Commission meeting has been cancelled as there were no planning cases to review. He noted the cancellation of the second meetings of the month during the first quarter also keeps staff from having to drive late in the dead of winter. ARDEN HILLS CITY COUNCIL—DECEMBER 12, 2022 4 Councilmember Holden reported the Council could always schedule a special meeting if a matter had to be reviewed in a timely manner. MOTION: Councilmember Radziei moved and Councilmember Holmes seconded a motion to approve Cancellation of the January 23, February 27, and March 27, 2023 Regular City Council Meetings. The motion carried (5-0). Co Motion to Approve Extension of Terms for JDA Chair Brian Holmes and Commissioner David Grant through December 31,2024 Mayor Grant discussed the results of the recent election. He explained Councilmember Holden has served on the JDA Board in the past and has decided not to return to the JDA Board. He stated in order to balance the JDA Board with new and old members, he was recommending himself and Chair Holmes serve on the JDA Board. He commented on the history of the JDA, noting the County has not been present at meetings since the County decided to sue the City. He clarified for the record that Chair Brian Holmes was not related to Councilmember Fran Holmes. Councilmember Holmes stated she supported the terms of Chair Holmes and Mayor Grant being extended on the JDA. She believed it was important for the Mayor to be on the JDA because he served as the leader of the community. She commented further on the institutional knowledge Mayor Grant had with the JDA. Councilmember Radziej agreed the reappointments offered balance and he supported the extension of the terms for the JDA. MOTION: Councilmember Radziei moved and Councilmember Holden seconded a motion to approve Extension of Terms for JDA Chair Brian Holmes and Commissioner David Grant through December 31,2024. Councilmember Scott stated he also supported the JDA being balanced and he thanked Mayor Grant for his willingness to serve with this group. He explained Chair Holmes was a highly qualified individual to serve as Chair for the group as he was a professional mediator. Councilmember Holden noted she supported the term extensions as well and discussed how complex this project was. She commented on the other residents that have served on the JDA and noted Brian Holmes has been a neutral party that wants what is best for both the City and the County in the TCAAP development. Mayor Grant reported Brian Holmes also conducted construction management for Prime Therapeutics in the metro area, which was another skillset that would benefit the City as he serves on the JDA. He explained Councilmember Holden's seat on the JDA would expire at the end of December and noted one of the new Councilmembers would be appointed to this seat. The motion to approve Extension of Terms for JDA Chair Brian Holmes and Commissioner David Grant through December 31,2024 carried (5-0). ARDEN HILLS CITY COUNCIL—DECEMBER 12, 2022 5 9. PUBLIC HEARINGS A. Truth In Taxation Hearing Finance Director Bauman stated this was a required annual hearing related to the City's budget and tax levy. She discussed the numerous reasons why tax bills change each year, noting this had to do with property values, budgets, special assessments and voter approved referendums. She explained the City set the preliminary tax levy on September 26 and proposed property tax notices were mailed by the County to Arden Hills residents. She commented on the projected changes to property values for 2023 and described how the median value homeowner would be impacted by the proposed tax levy. She provided a summary on the General Fund budget, along with the CIP and requested the Council hold a Truth in Taxation Hearing. Councilmember Holden asked how the rate increases were calculated. Finance Director Bauman explained the improvements planned for the St. Paul Regional Water System were going to impact the water fund. She reported she scheduled out the water fund with increases projecting the higher costs and an increase was not required for 2023, but may be required for 2024. Mayor Grant reported the budget for 2022 was under funded by $140,000 and noted the City has a 50% fund balance policy. He asked how close the City was to coming in on budget. Finance Director Bauman stated staff is estimating $350,000 to $400,000 to the positive for 2022. She indicated these funds could be put toward capital projects. Mayor Grant explained the preliminary levy was set at 7% based on the information the Council and staff had at the time. He reported the final levy can be decreased but not increased. Mayor Grant opened the Truth in Taxation public hearing at 7:46 p.m. With no one coming forward to speak, Mayor Grant closed the Truth in Taxation public hearing at 7:47 p.m. 10. NEW BUSINESS A. Adoption of the 2023 Budget and Tax Levy • Resolution 2022-056 Setting the Final Tax Levy for Taxes Payable in 2023 • Resolution 2022-057 Adopting the Proposed 2023 Budget Finance Director Bauman stated a budget work session was held with the Council on August 15, 2022. Staff was directed to provide proposed maximum levy increase options from 4%to 7%, and Council adopted a maximum tax levy increase of 7.0% on September 26, 2022. Another budget work session was held with the Council on November 21, 2022. Staff commented further on the final budget and tax levy and recommended approval. ARDEN HILLS CITY COUNCIL—DECEMBER 12, 2022 6 Councilmember Holden discussed how homeowners have been impacted by increased property values and stated she would like the levy increase to be no more than 5.5%. Councilmember Radziej stated he would support a 5.5% levy increase as well. Councilmember Scott reported he would support a reduction in the preliminary levy down to 6%. He recommended the levy not be reduced too low as this may lead to higher increases in the future. Councilmember Holmes stated after speaking with residents she learned that they didn't mind paying a higher rate because they like the amenities and services being provided by the City. She explained she supported the final levy remaining at 7%. Mayor Grant reported this was an election year and he spoke with many residents from Arden Hills. He noted these residents were concerned about inflation and increased costs. He discussed how some residents were living paycheck to paycheck. He stated he would be willing to support a 5.5% levy for 2023. Councilmember Holden discussed the amount of surplus the City had in 2022 and stated she did not support the City over-taxing residents. Mayor Grant asked when New Perspective would be open. Finance Director Bauman anticipated New Perspective would be open in the first quarter of 2023. She reported the increased value of this site would not impact property taxes until 2024. MOTION: Councilmember Radziei moved and Councilmember Scott seconded a motion to approve Resolution 2022-056 — Setting the Final Tax Levy of 5.5% for Taxes Payable in 2023. The motion carried (5-0). MOTION: Councilmember Holden moved and Councilmember Radziei seconded a motion to approve Resolution 2022-057—Adopting the Proposed 2023 Budget, Finance Director Bauman proposed the Council remove the $70,000 transfer into the Public Safety Fund in order to not put further pressure on the 2023 budget. She explained these dollars were to be used for Lake Johanna Fire Department staffing and this was an unknown at this time. Councilmember Holden supported this recommendation. AMENDMENT: Councilmember Holden moved and Mayor Grant seconded a motion to amend the proposed 2023 budget removing the $70,000 transfer into the Public Safety Fund. The amendment to remove the $70,000 transfer as indicated carried iLL ARDEN HILLS CITY COUNCIL—DECEMBER 12, 2022 7 The amended motion to approve Resolution 2022-057 — Adopting the Proposed 2023 Budget and removing the $70,000 transfer into the Public Safety Fund carried (5-0). 11. UNFINISHED BUSINESS None. 12. COUNCIL COMMENTS Councilmember Scott reported this would be his last regular televised City Council meeting. He stated he has enjoyed working with the City Council and staff for the past six years. He explained he appreciated how the Council worked to do its best for the community at large. He thanked City staff for all of their efforts on behalf of the community. Councilmember Holmes explained this was her last meeting on the City Council as well. She thanked staff for all of their efforts on behalf of the community and thanked the City Council for always working to put the interests of Arden Hills' residents first. She thanked the residents of Arden Hills for all of their support over the years. Councilmember Holden thanked Councilmember Radziej, Councilmember Scott and Councilmember Holmes for their service on the City Council over the years. Councilmember Holden thanked staff for their work and also for their donations to adopt a local family this Christmas. Mayor Grant thanked staff and City Administrator Perrault for helping a resident that was struggling with their utilities. Mayor Grant thanked Councilmembers Radziej, Scott, and Holmes for their dedicated service to the community and for working to the best of their ability on behalf of Arden Hills' residents. Mayor Grant welcomed the new Councilmembers and stated he looked forward to working with them beginning in January of 2023. He explained he may be calling a special work for early January in order to discuss TCAAP. ADJOURN MOTION: Councilmember Holden moved and Councilmember Holmes seconded a motion to adiourn. The motion carried (5-0). Mayor Grant adjourned the Regular City Council Meeting at 8:15 p.m. Juli anson David Grant Ci lerk Mayor