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Home My WebLink About2021-01-13 CC Minutes - Approved Approved CITY OF CENTERVILLE CITY COUNCIL MEETING January 13, 2021 6:30 p.m. Pursuant to due call and notice thereof, the City of Centerville held their regularly scheduled City Council Meeting on January 13, 2021 via Zoom Videoconferencing at: https://zoom.us/j/478824301, Meeting ID: 478 824 301 with audio only available at: 312-626- 6799. The meeting was also live streamed by North Metro TV. COUNCIL MEETING I. CALL TO ORDER Mayor D. Love called the meeting to order at 6:31 p.m. ROLL CALL* PRESENT: Mayor D. Love Council Member Steve King Council Member Russ Koski Council Member Michelle Lakso Council Member Darrin Mosher ABSENT: None. STAFF: City Administrator Mark Statz City Attorney Kurt Glaser Finance Director Bruce DeJong *Note that “present” is construed to mean that the noted individuals were visibly and audibly present on the videoconference call. II. PLEDGE OF ALLEGIANCE III. APPROVAL OF AGENDA Following the Pledge of Allegiance Mayor Love desired welcomed everyone to the meeting and thanked all and Council Members for serving their community. He mentioned that there is minimal pay that is associated with the position but it was an honor and duty to serve. He stated that he was appreciated He also thanked Staff for being employees of the City of Centerville and sharing their talents as they do have the opportunity to work for other communities. Mayor Love also stated that he looked forward to working with this Council and working in a high-level of stability and respect. He stated that everyone’s opinion is appreciated, valued and considered. He stated that Council wanted to hear all opinions and that all differences are valued as that is what makes us stronger. He shared a quote from a friend as he thought it was appropriate. “It is not about being right but finding the right answer”. He stated that he would normally not deviate from the agenda but this City of Centerville Council Meeting Minutes January 13, 2021 was the first meeting of the year with a new Council and he thanked them for the opportunity to share. Mayor Love provided an opportunity for others to add or delete any items. Motion by Council Member King, seconded by Council Member Koski to Approve the Agenda as Presented. A roll-call vote was taken. Mayor Love and Council Members King, Koski, Lakso & Mosher voted in favor. Motion carried. IV. APPOINTMENTS/PRESENTATIONS The swearing in of Council Members (Mayor Love, Council Members King, Mosher and Koski) were completed on January 6 and January 8, 2021 by the City Clerk prior to the meeting in accordance with State Statute. This allowed all Council Members to vote previously. The following was ceremonial and for the public. 1. Oath of Office – Steve King 2. Oath of Office – Darrin Mosher 3. Oath of Office – D. Love (Following Council Member Koski) 4. Oath of Office – Russ Koski (Was prior to Mayor D. Love) Mayor Love stated thanked you to all and congratulated all new members). V. PUBLIC HEARINGS 1. None VI. APPROVAL OF THE MINUTES 1. None VII. CONSENT AGENDA 1. City of Centerville Claims through January 13, 2021 (Check #33451-34450 & 33459-33486) & (1621E-1636E) 2. Centennial Lake Police Department Claims through January 7, 2021 (Check #13538-13597), (E2020049-2020050 & 2021000-2021002) & Payroll (Check #13552-13554 & 13581) 3. Centennial Fire District Claims through December 22, 2020 (Check #8973- 8978), w/Voided Check #8975 Mayor D. Love provided an opportunity for Council to add or remove any item(s) to/from the consent agenda. Council Member Koski desired to pull Item #1 for additional discussion – Northland Trust for Bond Series 2013 and 2016A. Page 2 of 10 City of Centerville Council Meeting Minutes January 13, 2021 Motion by Council Member Lakso, seconded by Council Member King to Approve Consent Agenda Item #2-3. A roll-call vote was taken. Mayor Love and Council Members King, Koski, Lakso & Mosher voted in favor. Motion carried. Council Member Koski asked if the bond payments were annual payment. Finance Director DeJong stated concurred. He stated that they are due February 1 of each year for principal and first half interest. He stated that additional payments in August also. Council Member Koski asked how many bonds were outstanding. Finance Director DeJong stated that there were only two (2) bonds. He did stated that there was a bond that was issued for the North Metro TV building but that was paid through Franchise Fees. Council Member King asked the amount of the North Metro TV bond payment annually. Finance Director DeJong stated $7,000 per year with approximately $40,915 remaining outstanding. Council Member King asked the length of the bond and Finance Director DeJong stated it runs through 2026. Mayor Love stated that all communities within the JPA for the Cable Commission pay a portion of this bond. Motion by Council Member Koski, seconded by Council Member Lakso to Approve Consent Agenda Item #1. A roll-call vote was taken. Mayor Love and Council Members King, Koski, Lakso & Mosher voted in favor. Motion carried. VIII. OLD BUSINESS 1. Acorn Creek Parking and Trail Improvements Administrator Statz reminded Council that they have discussed the idea previously about a year ago regarding adding parking (off street) with the impetus being the Old Mill Roads Estates development to the north along with the contractor being on site. He stated that the quote that was received from that contractor did not seem very competitive so an additional quote was sought. The other quote seemed reasonable, within the discussed budget and the Parks & Recreation Committee recommended up to $22,000 for the parking lot project. He also stated that the quote is slightly over $23,000, the expenditure can exceed what was recommended by the Parks & Recreation Committee, funds for the parking lot will come from Parks Dedication Funds and the trail could come out of the Trail Fund or Street Fund. Administrator Statz stated that staff is recommending the second quote. He presented a diagram of the area that would receive the parking lot with 10 spaces and one (1) handicap accessible space. Council Member Koski stated that the cul de sac has been removed, a good plan and good project. He questioned why there was such a difference in the bids. Administrator Statz stated that the developer’s contractor desires to move the project along and may have felt that the work was smaller in nature, more tedious and may not have worked with their schedule. Administrator Statz stated that the work would be sometime in the spring. However, it would be dictated by the contractor and their schedule in keeping their proposal competitive. He stated that he has received a suggestion from a resident to rename the park to “Dinosaur Park” as that is what it is known as to those that use it. Page 3 of 10 City of Centerville Council Meeting Minutes January 13, 2021 Council Member Lakso stated that it is a large amount of money, the Committee has been discussing play structure needs, and questioned the majority of vehicle traffic associated with the park usage as potentially the soccer fields. Administrator Statz stated that yes young youth use and the cul de sac has been the parking area. She stated that she likes to take the recommendation of the Committee/Commissions and that would be her basis for voting. Council Member King questioned whether A-1 Contracting, (the contractor for the Downtown area Street Project) had been contacted as they have paving and other smaller equipment. Administrator Statz stated that they did not ask A-1 to provide a bid, the higher quote was from the contractor who was working in the area already and that work would include concrete work, backhoe equipment and etc. which is different than just paving. Council Member King stated that he felt that maybe it was an opportunity to save money if they were addressed. Council Member Mosher stated that there was quite a bit of difference in the proposals. Administrator Statz stated that the second quote was almost the same as his estimate and that is why the Committee recommended his estimate amount. Mayor Love stated that the Council recently asked Administrator Statz what the City was receiving by having him as an Engineer/City Administrator is that he immediately knew the quote was out of line and that a second quote should be received. He felt that the parking spaces were needed for those visiting the park rather than vehicles parking in front of homes, he felt that it was a good idea a year ago and that it would be an improvement to the area. Motion by Council Member Koski, to Approve the Quote Submitted by T.A. Shifsky and Authorize the work at Acorn Creek Park for the Parking Lot and Trail Improvements. Council Member King requested the inclusion of the amount ($37,696.09). Council Member Koski accepted the friendly Amendment. Council Member King seconded the motion with the Addition of “in the Amount of $37,696.09”. A roll-call vote was taken. Mayor Love and Council Members King, Koski, Lakso & Mosher voted in favor. Motion carried. IX. NEW BUSINESS 1. Resolution 21-0XX - Adopting the 2021 List of Appointments City Administrator Statz stated that the City takes this listing very seriously as there are various agencies and Committees that the City and Council work with such as JPAs, etc. He stated that to start, he replaced Council Member Montain with Council Member King and Council Member Wilharber with Council Member Mosher. He stated that everything else remained the same as a starting point. He suggested that discussion be broken into two (2) sections with one (1) being appointments to Committees/Commissions and the second being other positions on the listing. Acting Mayor does not have to be this way but last time Council discussed completing this via seniority and continuous service on Council. He stated that in order of seniority it would be Council Member Koski, Lakso, King, Mosher. The following is a synopsis of appointments: Check Signing Authority, Mayor Love, Council Member Koski and Administrator Statz; Anoka Page 4 of 10 City of Centerville Council Meeting Minutes January 13, 2021 County Fire Protection, Council Member King rather than Council Member Montain; Centennial Fire District Steering Committee, Council Member Lakso Alternate; Centennial Lakes Police Department Governing Board, Mayor as Required and Council Member Mosher rather than Council Member Love and Council Member Lakso Alternate rather than Council Member Koski; North Metro Telecommunications Commission Mayor Love rather than Council Member Montain as the Appointee and Council Member Koski Alternate; Weed Inspector, Mayor Love (Required); EDA, Council Members King and Mosher with Council Member Lakso Alternate; Parks & Rec. Committee Liaison Council Member Lakso with Council Member King Alternate; Planning & Zoning Commission Liaison Council Member Koski with Mayor Love Alternate; Personnel Committee, Mayor Love (Required), Council Member Koski with Council Member Lakso Alternate. Attorney was modified from Smith & Glaser, Kurt Glaser to the firm’s new name of Berglund, Baumgartner, Kimball & Glaser, LLC, Law, Kurt Glaser. City Engineer was modified from Mark Statz, PE & Consultant Stantec to Mark Statz, PE; Emergency Services Organization and Emergency Services Director were added as Anoka County and Terry Stoltzman; Emergency Services Directors (Civil Defense) was removed in its entirety; Fire Marshal was modified from Centennial Fire District, Fire Chief Harlen Lundstrom to Centennial Fire District, Interim Co-Fire Chief Kathy Peil. Insurance Agent of Record was modified from Paul Steffel Agency to Mark Remillard, Remillard Insurance Agency. Brief discussion was had regarding the City’s Official paper. Motion by Council Member King, seconded by Council Member Koski to Adopt Res. #21- 001 – Appointments for 2021Accounding to the Aforementioned Discussion. A roll-call vote was taken. Mayor Love and Council Members King, Koski, Lakso & Mosher voted in favor. Motion carried. 2. Ordinance #111, Second Series, 2021 Fee Schedule Administrator Statz stated that the City is required to adopt an annual Fee Schedule. He stated that very little had been modified from the previous year, research was completed regarding window replacements with the City remaining competitive with neighboring communities and that if it were determined, adjustments could be made throughout the year. He reminded the Council that staff had made several changes in the previous year regarding fee structure and storm water fees. Council Member Lakso felt that a full research should be completed prior to the 2022 Fee Schedule Adoption. Brief discussion was had regarding Special Vehicles, Rental Licenses, Sign Permits and Fees, remaining business friendly and increased fees for Police and Fire. Motion By Council Member Koski, seconded by Council Member Lakso to Adopt Ord. #111, Second Series – 2021 Fee Schedule as Presented. A roll-call vote was taken. Mayor Love and Council Members King, Koski, Lakso & Mosher voted in favor. Motion carried. 3. Schedule Goal Setting Meeting Page 5 of 10 City of Centerville Council Meeting Minutes January 13, 2021 Administrator Statz stated that each year Council has arranged a retreat to discuss Goal Setting, etc. He stated that last year Staff scheduled the session at the City of Hugo in their Oneka Room which would allow for COVID restrictions and that last year it was scheduled from 8:00 a.m. – 1:00 p.m. He stated that there was not enough time to cover all items last year but felt that four hours was sufficient to address a meaningful agenda. Brief discussion took place regarding it would be the second annual Goal Setting Meeting/Retreat for the City, Council Members could provide discussion topics to the Administrator for inclusion on the Agenda, attendees (Commission/Committee Members/Department Heads?) if feasible, and a date of February 6, 2021, Motion by Council Member Koski, seconded by Council Member Mosher to Schedule a Special Goal Setting Meeting of the City Council for February 6, 2021 Commencing at 8:00 a.m. Administrator Statz questioned an end time and whether Staff was to order lunch for Members. Council Member Koski Amended his motion to Start at 8:00 a.m. and End at 1:00 p.m. Council Member Mosher Accepted the Friendly Amendment. A roll-call vote was taken. Mayor Love and Council Members King, Koski, Lakso & Mosher voted in favor. Motion carried. 4. 2013A General Obligation Bond Refunding Finance Director DeJong stated that he had received a suggestion from Mr. George Eilertson, Financial Advisor, Northland Securities that it was in the best interest of the City to take advantage of an opportunity to refund an outstanding bond issue that could potentially save the City $86,000- $88,000. Finance Director DeJong stated that this goes along with Council’s desire to reduce debt and reduce the bond levy for property owners. He reviewed a graphic that was contained within the Council packet. Mr. Eilertson expressed is thankfulness to Council for again appointing his firm and consideration of this item this evening. Mr. Eilertson stated that the City has two (2) bonds currently and this refunding would be for the 2013 General Obligation both associated with the 2013 Street Project. He stated that the other bond is a 2016 General Obligation originally issued in 2009 for a street project. He also stated that at the time of issuance of the original 2013A G.O. Bond the City was rated by Standard & Poors of an AA Bond Rating which was fantastic but if looking at a longer period of time and $10,500 for the costs of rating along with the time it takes for the rating along with the interest rates, he recommends the non-rate bond. He stated that if the economy with the vaccine gets more out into the public, interest rates may increase and a trend moving forward and savings depleted and looking at non-rated and the additional fee it is well worth it. He also stated that it can shorten the period of issuance of the bond and in the market for the low interest environment. He stated he was asking for a motion to move ahead due to two (2) benefits to the City as management of the levy on existing bond levies and achieving $14,000-$20,000 levy reduction. Savings of $80,000 to $86,000 net savings. Discussion ensued regarding savings, nonrating, refunding, simple terms refinancing debt/refinancing your home similar, lower interest rate, structure new debt, achieve a savings over Page 6 of 10 City of Centerville Council Meeting Minutes January 13, 2021 the term of the bonds, nonrating is a timing factor and offsetting the $10,500 fee for bond rating process, how Northland Securities gets compensated for their services, when named appointments for year and Northland listed as advisor and two (2) ways of issuing bonds and we could use us for putting your bonds out for bids or we can invest in them and buy them, appreciation for being proactive regarding this item, call date/date pre-pay bonds/refinancing can commence beginning February, 2021, when refinancing can happen, managing existing debt, existing rate 2.76% and new interest rate is .41%. Finance Director stated look at on a regular basis as there will be a time for refunding/refinancing/paying, etc. Finance Director stated that he has spoken with Mr. Eilertson on an annual basis regarding discussing structuring bonds and meeting Council’s goals. Mr George Eilertson stated that it would not be callable until 2029 and it would be prepayment of the bonds rather than refinance/refund. Finance Director DeJong stated that the City would be saving approximately $12,000/year with all costs included. Mayor Love appreciated Mr. Eilertson’s assistance with leveling out the levy with no spikes and felt that it was a consideration for Council and felt a great idea. Mr. Eilertson stated that following discussions with staff and reviewing the numbers it would be his recommendation to go forward with a nonrating. Motion by Council Member Koski, seconded by Council Member King to Authorize Preparation of Bond Sale Document at a Non-Rated Structure. A roll-call vote was taken. Mayor Love and Council Members King, Koski, Lakso & Mosher voted in favor. Motion carried. 5. Resolution 21-0XX Authorizing Fund Close-Outs and Transfers Finance Director DeJong stated that there were several funds that are no longer utilized and he would like Council to authorize the closing of the funds and transfers that are necessary to zero out the fund/balance to closes the funds 348 and 349. Finance Director DeJong reviewed the proposed resolution with Council. He stated that closing Funds 348 (Commerce Drive) (Bond Debt Service Fund - $106,000), 349 (2004/2007 Street Project) (2011 Refunding Debt Service Fund – slight deficit) and 414 (Trail Fund - $12,000) and transfer funds to 452 (Street Capital Projects Fund – slight deficit). He stated that interest would be allocated prior to closing the funds and completed for end of year. Discussion ensued regarding whether there would be a true deficit in the street fund at the end of the year even though transfers from the general fund happen annually. Finance Director DeJong stated that is correct but by the end of 2021 the fund will no longer have a deficit. Administrator Statz stated that this was known and when considering the projects as to whether paying cash or bonding. Motion by Council Member Koski, seconded by Council Member Mosher to Adopt Res. #21- 002 as Presented. A roll-call vote was taken. Mayor Love and Council Members King, Koski & Mosher voted in favor. Motion carried. (Council Member Lakso was experiencing technically difficulties and unable to vote). 6. Business Water Hook-up Assistance Program Page 7 of 10 City of Centerville Council Meeting Minutes January 13, 2021 Administrator Statz stated that with COVID-19, the EDA, Anoka County and the City have been attempting to provide the business community with resources to ease their financial situations. He stated that several businesses within the community have shown a desire to connect to municipal water services and that there may be a way for the City to provide financial assistance/incentives to allow for that. He explained that fees would be reduced for businesses that desire to connect, explained the fee structure for water being based on REUs and how it differs from a private residence, a timeline for the program of 12 months, offering a 50% reduction in a Water Lateral Fee ($8,000) if owed and a 50% reduction in the Water Access Charge ($1,850) Brief discussion ensued regarding what a Lateral Benefit fee was, setting a precedence, economic implications due to COVID and ultimately giving them more bills to pay every two (2) months where as having a private well there are no fees except for the base fees, no businesses have connected to municipal services for quite some time other than new properties, taxpayers paying for this, the water connection requirements, a businesses’ decision whether to participate or not, accepting less funds for already paid for infrastructure and a limited amount of businesses not connecting to municipal water who qualify. Motion by Council Member Lakso, seconded by Council Member Koski to Approve the Business Water Hook-Up Assistance Program for Businesses that Connect to Municipal Water Services Prior to December 31, 2021. A roll-call vote was taken. Mayor Love and Council Members Koski, Lakso & Mosher voted in favor. Council Member King – Nay. Motion carried. X. COUNCIL/ADMINISTRATOR ANNOUNCEMENTS 1. Administrator’s Report Administrator Statz stated that his report was contained in the packet and that he would be happy to answer any questions that Council may have. Administrator Statz stated that to new Council Members that this is a report that he completes in conjunction with the meeting and it is fashioned similar to a newsletter and is utilized for the newsletter which is then forwarded to residents through an e-mail blast and their utility bills. Brief discussion was had regarding a shooting that took place Sunday evening where a suspect shot at a Centennial Police squad and the building. Attorney Glaser stated that the suspect is being formally charged through Anoka County with bail being set at $400,000. Discussion ensued that at the time of the shooting there were three (3) officers in the building and that officers frequently complete their reports in their squad cars. th Attorney Glaser thanked Council for his firm’s reappointment and stated that this was the 15 year of working with the City and that he was very appreciative. He also stated that he has asked several partners to join his firm with the understanding that most work with municipalities. He felt that this will only benefit the City’s that they work with as joint efforts can be made on behalf of all cities working for. Council Reports Page 8 of 10 City of Centerville Council Meeting Minutes January 13, 2021 a. Lakso - i. Parks and Recreation Committee – Council Member Lakso stated that currently gatherings of more than 15 people are in effect which is a challenge for scheduling skating events, she stated that the Committee has a skate night scheduled in February and the public should check the City’s web site for updates. ii. Centennial Fire District Steering Committee – No Report Given. iii. Anoka County Fire Protection Council – No Report Given. Mayor Love thanked the Police Chief for his timely updates following Sunday’s events. b. Koski – Council Member Koski thanked the Centennial Lakes Police Department for their services and stated that he was grateful no one was hurt. He also thanked outgoing Council Member Wilharber and Montain for their years of continued service to their community and welcomed back Council Member Steve King. He also welcomed Council Member Mosher to his new role as a Council Member rather than a Planning & Zoning Commission Member. He also thanked the Mayor for his years of services and mentioned the Mayor’s minutes produced by North Metro TV. He stated that they have fantastic staff along with the Mayor providing his wonderful updates. He also desired to thank staff for their service throughout COVID. He reported that he was impressed with the amount of donations received by the Santa Parade provided by the Centennial Fire District. He also reminded residents to keep their fire hydrants for ease of access by the Fire Department. He also reminded residents to keep their mailboxes clear for mail delivery. i. Planning & Zoning Commission – Council Member Koski reported that the January P & Z meeting was cancelled but the February 2, 2021 meeting would include Requests for Proposals for Block 7 and a Joint Meet with EDA and City Council. Administrator Statz stated that he was excited to have the meeting and felt that issues could be taken care of prior to the meeting with an RFP. ii. Centennial Fire District Steering Committee – No Report Given. c. King – Council Member King stated that it was good to be back on Council and that he anticipated providing reports to Council from the EDA. d. Mosher – Council Member Mosher stated that he has attended many meetings of Council via Zoom prior to his appointment and that he was greatful to be able to be on Council and represent citizens of the community. He thanked all Public Safety individuals for their service. e. Love – Gave speech at beginning and excellent job thanking previous council and thank you all and citizens of Centerville i. Police Governing Board – ii. Economic Development Authority – iii. Other Mayoral Reports – Page 9 of 10 City of Centerville Council Meeting Minutes January 13, 2021 XI. ADJOURNMENT Motion by Council Member Lakso, seconded by Council Member King to Adjourn the Regularly Scheduled Council meeting at 9:37 p.m. A roll-call vote was taken. Mayor Love and Council Members Koski, Lakso, Mosher & King voted in favor. Motion carried. Respectfully submitted by City Clerk, Teresa Bpender. Page 10 of 10