HomeMy WebLinkAboutCCWS 08-15-2005
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Approved: September 12, 2005
CITY OF ARDEN HILLS, MINNESOTA
CITY COUNCIL WORK SESSION
MONDAY, AUGUST 15,2005,5:00 P.M.
CITY HALL COUNCIL CHAMBERS, 1245 WEST HIGHWAY 96
Call To Order
Mayor Aplikowski called the meeting to order at 5:00 PM.
Present: Mayor Aplikowski, Councilmembers: Gregg Larson, David Grmt, Brenda Holden,
Lois Rem
Absent: None
Staff present: City Administrator, Michelle Wolfe; Finance Director, Murtuza Siddiqui;
Assistant to the City Administrator, Schawn Johnson; City Engineer, Greg Brown
Others: Kathy Ryan, URS Engineering
. CSAH 96 Landscapinl!: Proposal
City Engineer Greg Brown provided the City Council with an overview of the proposed
Highway 96 landscaping improvements. The intent of the discussion was to review the concept
plan prepared by the URS and consider whether or not the installation of an irrigation system
should be included in the future CIP project. If the City COW1cil decides at this time not to
pursue the enhaneed landscaping improvements in 2006, Ramsey County will proceed with the
planting of trees along the median in the spring of 2006.
City Administrator Michelle Wolfe said that she is concerned about the $150,000 in state aid
funding that would be needed for this project. The City may have to borrow state aid funding in
the future or delay other projects if this project proceeds as planned in 2006.
Councilmember Holden asked if the $5,000 to $10,000 for maintenance costs were engineering
estimates.
City Engineer Greg Brown said that the maintenance costs were estimates and that it would
likely include expenses for water irrigation and maintenance costs.
Mayor Aplikowski suggested that the City proceed with installing an irrigation system for this
project. She asked if the City could install the irrigation system this year and plant the flowers
and shrubs the following year.
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ARDEN HILLS CITY COUNCIL WORKSESSION MINUTES
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Councilmember Holden recommended that members of the City Council review the ClP and
determine whether or not this project is feasible.
Councilmember Larson askcd if the selected plants could survivc without an irrigation system.
Kathy Ryan said that selected plants could survive, but they may not look very good if they do
not receive enough water.
Mayor Aplikowksi suggested that the City leave the medians as grass areas. If not, we should
plan on installing an irrigation system along the Highway 96 medians in order to provide water
and protect the plants in the future.
Councilmember Larson said that he believes the irrigation system is necessary to maintain the
plants.
Councilmember Grant asked if an irrigation system was installed, would this change the type of
plant that were selected for this project.
Kathy Ryan said that all of the plant materials were selccted because they are drought a11d salt
tolera11t. She wound not recommend that the plant selections be changed at this time.
. Couneilmember Grant asked URS staff members if this would be an attractive projcct for a
landscape firm.
City Engineer Greg Brown thought that this would be a good project for a landscaping firm. The
projected project cost the City approximately $195,000.
City Administrator Michelle Wolfe asked if the City Council was in agreement to plan for this
project in 2006.
Members of the City Council were in agreement and rcquested that the projectcd be bid in 2006.
2006 Budl!:et Update
Finance Director Murtuza Siddiqui provided the City Council with a brief overview of the
budget guidelines for 2006. City staff is seeking City Council guidance on the following items:
. COLA Salaries-2.75%;
. Inflationary Increases for Routine Operations;
. Projected 15% Increases in Employee Medical Premiums;
. Proposed 4% levy.
The 2005 State Legislature did not enact any legislative rcstrictions regarding levy limits. In
2004, the average levy increasc for Ramsey County cities was slightly under 8%. Thc 2005 levy
. for the City of Arden Hills was $2,426,670. The City must certify a levy amount to Ramsey
County for 2006 by September l5th
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ARDEN HILLS CITY COUNCIL WORKSESSlON MINUTES
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As part of the budget preparation process, City staff is reviewing the five-year CIP, fuel costs,
utility fees, and other services that are impacted by inl1ationary costs. Also, City staff is
reviewing our existing revenue collections. At this time, the City is expecting a reduction in
revenue in the area of building permits due to a reduction in the number of projects (Guidant and
Bethel University) occurring in the City this year. The projected shortfall is $150,000. Staff is
looking at either eliminating smaller projects or pushing back these projects into future years in
order to offset a portion of the anticipated shortfall.
Councilmember Holden asked if the City Council would consider a lcvy of 5% and then lower
the rate at a future meeting if the additional revenue were not needed.
City Administrator Michelle Wolle said that City staff could provide the City Council with a
number of different funding options to consider.
Mayor Aplikowski stated that she would be comfortable with a 5 or 6 percent levy,
Councilmember Holden said that she would be comfortable with a 4 percent levy.
Councilmember Larson said that hc would be comfortable with a 4 percent levy, but would like
to see a 5 percent levy and have the additional funding Llsed for park improvements.
. Councilmember Rem also suggested that a 5% levy be approved by the City Council and utilize
the I percent for future park improvement projccts. It is a one year increase and future City
Councils could decide if this practice should be continued in the future.
Mayor Aplikowski said that the levy tool is therc tor the City Council to raise additional
revenues.
Finance Director Siddiqui stated that an additional 1 % levy would result in $24,000 of additional
funding dedicated to the park fund.
Councilmember Larson recommended that the City Council approve a 4% levy for 2006 and
explore other funding options that could lead a more pemlanent funding mechanism for future
park improvement projccts.
Members of the City Council agreed to a 4% preliminary lcvy for 2006.
Financc Director Siddiqui asked the City Council if they were comfortable with offering City
staff a 2.75% cost of living increase for 2006. The 2.75% salary increase is the same increase
that the Local 4gers are schcduled to receive in 2006.
Members of the City Council were in agreement with the proposed 2.75% salary increase for
. City staff in 2006.
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ARDEN HILLS CITY COUNCIL WORKSESSrON MINUTES
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Finance Director Murtuza Siddiqui asked the City Council if they would like to sce their
compensation increased in 2006. Members of the City Council have not received a salary
increase since the early or mid 1990' s.
COLillcilmember Grant said that he was concerned that thc City Council has not received a pay
increase for many years.
Councilmember Holden noted that a number of residents are concerned about the City's health
rates and eontribution levels.
City Administrator Wolfe stated that the City's insurance broker is currently reviewing our
insurance rates. The City is currently part of a cooperative agreement for health and dental
insurance. Typically our hcalth insurance costs are lower than our neighboring cities because of
our membership in thc cooperative.
Finance Direetor Siddiqui noted that he would like to hire a consultant or temporary employee to
assist with the implementation of software upgrades for thc Finance Department. The proposed
improvement costs are estimated at $15,000 to $20,000. The proposcd improvements would
allow City staff the ability to track expenses and trends in a more efficient manner.
. In 2005, the City had budgeted for a document imaging system and an on-line credit card
transfer system. These two projects have been pushed back to 2006.
Councilmember Larson asked if the Laser Fische software could be funded as a capital
improvement project.
Finance Dircctor Siddiqui said that he will cxplore this option further.
Councilmember Holden asked if cable funds could be uscd for this purchase.
Finance Director Siddiqui said that a draft budget is scheduled to bc rcviewed at a work session
meeting in September.
2006 Capital Improvement Plan
City Administrator Michelle Wolfe provided the City Council with an overview of the draft CIP
for 2006-2010. The crp has not been finalized due to the following issues:
. The pcr ratings are not yet complete and this information will be valuable to the City
Council and City staff in determining thc priority ranking for future projects.
. City staff is in the process of acquiring more detailed cost figures for the 2006-2010 PMP
projects.
. The City has not yet completed the inspection of the South water tower. The inspection
is budgeted for this year. The inspcction is needed to more accuratcly budget and plan
. for future water tower improvements.
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ARDEN HILLS CITY COUNCIL WORKSESSION MINUTES
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. Finance staff needs more time to analyze the utility funds due to project activity in the
past and futurc.
Plmming and budgeting for future CIP projects is somewhat dependent upon our philosophy or
policies regarding fund balances. We have some internal policies regarding our utility fund
balances, but it is also important to discuss thc importance of fund balances in the following
areas:
. Permanent Improvement Fund (PIR)
. Special Revenue Park Fund
. Non-Assessable Fund
These funds are typically used by the City to cover project cost ovcrruns. The permanent
improvement fund was established to temporarily finance pavement management projects. The
special revenue park fund was established for park/trail acquisition and development. Revenue
for this fund comes from developcr park dedication fees, contributions, state grants, and
investment intercst. The problem with this fund is that the funding from park dedication fees is
very unpredictable. The non-assessable fund was created to account for other projects that the
City of Arden Hills is requested to participate-in.
Councilmcmber Holden asked if the playground equipment at Valentine Hills is a legal liability
to the City.
. City Administrator Wolfe said that she would review this situation and report back to the City
Council on the liability concerns.
Councilmembcr Larson asked if the proposed fund balances included rate increases and
projected rcvenues.
Finance Director Muturza Siddiqui said that the ClP revenues do not take into account increased
rcvcnues.
Councilmember Holdcn asked City staff" how long does a mill and overlay last.
City Engineer Greg Brown said that it depends on the foundation of the roadway, but typically it
lasts seven to twelve years.
Councilmember Holden asked if the City should be concentrating on mill and overlay repairs.
City Engineer Brown said that the only problem with utilizing mill and overlay is that it will not
correet water or drainage issues in a neighborhood. Although, it is a policy issue for the City to
eonsider at this time. Reconstruction costs are vcry expensive.
Councilmember Grant believes that the City should conccntrate on the PCI ratings and not storm
and water issues.
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ARDEN HILLS CITY COUNCIL WORKSESSION MINUTES
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Councilmcmber Larson said that road improvement decisions cannot be made solely on thc bases
of PCI ratings. The curb, gutter, storm water, water mains, and sewer lines must also be a part of
the improvement decision.
City Administrator Wolfe said that the City does not want to miss an opportunity to utilize mill
and overlays.
Mayor Aplikowski asked if the City Council would be interested in bonding for future
improvement projects.
Councilmember Grant said that he would not be in favor of bonding for future improvement
projects.
City Administrator Michelle Wolfe asked the City Council if they were comfortable with a
balance of$3,656,236 in the PIR Fund.
Finance Director Murtuza Siddiqui said that the City's general fund balance is very healthy at
this time.
Councilmember Larson asked ifthere were any larger projects scheduled for the future.
. City Engineer Greg Brown said that Snelling Avenue and the Floral neighborhood would be
considered large projects that are scheduled for the future.
Councilmember Holden asked about the status of County Road D.
City Engineer Greg Brown said that Ramsey County docs not have County Road D on its
projected five year plan.
Councilmember Larson said that he does not feel comfortable with the projected PIR fund
balancc.
Councilmember Grant stated that the City Council previously discussed using a budget guideline
of one million dollars per year in improvement projects.
Councilmcmber Larson asked if the revenues from the Holiday Station Store were included in
the CIP.
Finance Director Mutuza Siddiqui said that intemal borrowing was used to purchase the Holiday
property. Typically the PIR fund is credited when a land sale occurs.
Mayor Aplikowski stated that the City used to repair the worst roads first, before the City
. Council adopted the neighborhood PMP approach.
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Councilmember Grant asked what type of shape the Glenhill Neighborhood was in. Hc asked if
this project could be pushed back a few years.
City Engineer Brown stated that thc Glenhill projcct could be pushed back.
City Administrator Michelle Wolfe said that a number of projects have been pushed back. The
City has been more proactive recently with PMP projects.
Councilmember Larson said that the PTRC has additional projccts planned for the future that
exceed the special reserve park fund. The City will nced to find an additional revenue stream for
future PTRC projects other than park dedication fees.
Mayor Aplikowski asked the City Council what would be considered an acceptable funding level
for the park fund.
Councilmember Larson noted that there were other park projccts that wcre not included on the
five ycar CIP list. It should be a priority for the City to find additional rcvenue sources for park
related projects.
Mayor Aplikowski asked if a fund balance of $178,048 was acceptable to the City Council.
. Councilmember Grant said that the City must create a spending threshold before it can determine
what the proper funding level for a fund should be.
Mayor Aplikowski suggested that the PTRC become more involved in grant writing or seeking
private donations for the park fund. Thc City Council is open to increasing the funding for the
PTRC in the future.
City Administrator Michelle Wolfe stated that the City is currently utilizing the non-assessable
street fund account in the form of a savings account. In the past it has been used for cost
oveITW1S and engineering expenses.
Councilmember Holden asked if the City really needs this fund.
Finance Director Mutuza Siddiqui said that the City could combine the PIR and Non-Assessable
Street Fund into one account.
Councilmembcr Holden asked what is the definition of the park fund.
Councilmember Larson said that anything related to the park, except for playground equipment,
is considered park fund expenditures.
. Mayor Aplikwoski said that the City has used the park fund for reconstructing warming houses,
trails, athletic fields, hockey rinks, and other park related projects.
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ARDEN HILLS CITY COUNCIL WORKSESSION MINUTES
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Councilmember Rem asked irthe City had any written guidelines for utilizing different funding
sources in the past.
Finance Director Murtuza Siddiqui said that it IS important for the City to create fund
descriptions in the future.
City Administrator Wolfe said that she is not aware of any policy the defines what funding
sources should bc used for a particular itcm.
Mayor Aplikowski said that the City Council and City staff have an internal understanding for
utilizing funding sourccs, but have never had a written policy.
City Administrator Wolfe said that City staff is not comfortable with recommending to thc City
Council borrowing ahead using MSA dollars.
Councilmember Grant asked if staff was going to revicw the utility funds.
Finance Director Siddiqui said that the proposed budget is in balance over the five year CIP, as
compared with last year's version.
. City Administrator Wolfe noted that staff is already proposing to push back SCADA and the
testing or relining of sanitary sewer lines.
Councilmember Grant questioned the need for purchasing a new front end loader, water tanker,
Toro Grounds Mastcr, and trail maintenance plowing machine. Is this a want or a need at this
time?
City Administrator Wolfe mentioned that the trail maintenance machine is being rccommended
due to safety concerns for maintaining the sidewalks during the winter months.
Councilmember Holden asked why the City does not maintain the basketball and tennis courts.
She questioned if the City should have a policy for maintaining the courts.
Councilmember Rem added that the PTRC used to walk through the parks on an annual basis
and evaluate their condition.
The proposed five-year CIP will be reviewed again at the September] 9th work session.
1-35W Corridor Coalition/Solutions Task Force
City Administrator Michelle Wolfe provided the City Council with some background
information regarding the City's membership in the I-35W Corridor Coalition. In 2005, the City
did not join the I-35W Corridor Coalitioll. Thc member communities are in agreement that some
. regional efforts and discussion are necdcd to pursue future transportation goals. However, some
cities have left the coalition due to various concerns with the orga11ization and membership fees.
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In response to these concems, the current members of the I-35W Corridor Coalition have offered
the City a proposed membership fee of $4,038 for 2006. If the City is not interested in joining,
the City has been asked to contribute money to the I-35W Solutions Task Force for research
materials. The City's contribution for the research material would be $976.00 for 2005.
City Administrator Wolfe asked the City Council if they would be interested in rejoining the [-
35W Corridor Coalition for 2006.
Councilmembcr Larson stated that he recommends the City rejoin the coalition for 2006.
Mayor Aplikowski also recommends that the City rejoin this group.
Councilmember Grant does not agree that the City should rejoin the I-35W Corridor Coalition in
2006.
City Administrator Wolfe asked the City Council if they were concerned about ;the membership
costs or were there other reasons for these concerns about joining the coalition.
Mayor ApJikowski said that it is important for the City to have a connection with MnDOT.
. Councilmember Holden asked about the I-35W Solutions Task Force. She is concerned that the
group was not meeting on a rcgular basis and that the group is not very organized in its efforts.
Mayor Aplikowski said that somebody has to take the lead on this project in order for future
improvement projects to occur.
Councilmember Larson statcd that the City's membership fees have been cut by one-third. It is a
small investment for the City to make to become a part of the coalition group.
City Administrator Wolfe has been asked by coalition members what it will take to get the City
of Arden Hills more involved in the I-35W Corridor Coalition. It is important that we work
together with other communities on these issues. Is there a City Council consensus to add this
line item to the 2006 budget?
Councilmember Rem stated that this is the only group that the City can turn to regarding issues
pertaining to the I-35W. We should evaluate thc situation for one year and deterrt1ine if there are
any other coalition groups for the City to consider joining in the future. At this time there are no
other alternativcs for the City to consider. The City also must bc willing to make this coalition
group work.
The consensus of the City Council was for the City to pay its fair share of the research costs and
materials for the I-35W study. The City's portion of this cost would be $976.00 for 2005. City
. staff will include the 2006 membership fee for I-35W Corridor Coalition group in next year's
budget. Members of the City Council will continue to discuss this issue at the next 2006 budget
meeting.
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ARDEN HILLS CITY COUNCIL WORKSESSION MINUTES
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Councilmember Rem left the meeting at 8:25 PM.
2005 Neil!:hborhood Meetinl!:s
For the past two years, the City Council has held a series of neighborhood meetings in the fall.
City staff is seeking input from the City Council regarding the following questions:
1. Does the City Council wish to hold neighborhood mectings in 2005?
Members of the City Council were in agreement that neighborhood meetings should be held in
2005.
2. Staff is proposing a similar time line and format as in 2005. Is the City Council
comfortable with this type of meeting?
Members of the City Council werc eomfortable with the format used in the past. It was
suggested by the City Council that the meetings not be divided by precinct locations, but rather
allow any Arden Hills resident to attend any of the four meetings.
. Members of the City Council also askcd City staff to see if thc Army would be willing to offer
tours of the TCAAP site prior to thc October 12th neighborhood mecting.
Council Reports
Staff Reports
Community Development Director Scott Clark reported that a meeting with the GSA has been
tentatively scheduled for September 6th or ih.
City Administrator Wolfe reported the Ramsey County Library Task Force meeting is scheduled
for September 21 s',
Members of the City Council thanked Scott Clark for his efforts with the TCAAP project and the
Economic Development Committec. They wished him luck with starting his new position at the
City of Elk River.
Council member Holden
Councilmember Holden attended a meeting recently regarding the propos,:d consolidated
dispatch center in Ramsey County. Local mayors are proposing that the costs for this service be
split in the following manner:
. 60% Emergency Calls
. 40% Population Tax Base
The objective is to propose a plan for the consolidated dispatch center that is fair ,md equitable to
. all parties involved.
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ARDEN HILLS CITY COUNCIL WORKSESSION MINUTES
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Councilmember Holden asked if the City was planning on having a ribbon cutting ceremony for
the Cummings Park Pavilion.
City Administrator Wolfe said that the City could have a ribbon cutting ceremony in the future if
the City Council is interested.
Mayor Aplikowski
Mayor Aplikowski noted the City Administrator's job performance review is due in September.
Members of the City Council asked the City Administrator to provide sample job evaluation
fOOTIS that other cities use to evaluate their City Administrator/Manager.
The meeting adjourned at 8:45 PM
Respectfully submitted by Schawn P. Johnson
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Michelle A. Wolfe, CITY ADMINISTRATOR
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