HomeMy WebLinkAboutSP July 30, 1991
~ CITY of ANDOVER
Special city Council Meeting
July 30, 1991
7:30 P.M. 1. Call to Order
2. Award Seal coat Bid
3. Budget Discussion
4.
5. Adjournment
...-, .--
SPECIAL CITY COUNCIL MEETING - JULY 30. 1991
TABLE OF CONTENTS
AGENDA . . . · · · · · · · · · · · · · · · · · · · · · · · · · · · 1
AWARD SEALCOAT BID
ResolutIon Rl13-91 <award to BitumInous Roadways. Inc.) · · · · 1
BUDGET DISCUSSION · · · · · · · · · · · · · · · · · · · · · · · · 1
Revenues · · · · · · · · · · · · · · · · · · · · · · · · · · · 2
Expendi tures. · · · · · · · · · · · · · · · · · · · · · · · · · 2
EMPLOYEE ISSUES · · · · · · · · , · · · · · · · · · · · · · · · · 7
DEBT SERVICE FUNDS . · · · · · · · · · · · · · · · · · · , , · · · 7
PIR FUND . . · · · · · · · · · · · · · · · · · · · · · · · · · · · 7
PUBLIC WORKS DEPARTMENT CAPITAL EXPENDITURES . · · · · · · · · · · 7
ADJOURNMENT · · · , · · · · · · · · · · · · · · · · · · · · · · · 9
~ CITY of ANDOVER
SPECIAL CITY COUNCIL MEETING - JULY 30. 1991
MINUTES
A SpecIal Meeting of the Andover CIty CouncI] was caJled to order by
Mayor Ken Orttel on July 30. 1991. 7:30 p.m.. at the Andover CIty
Hall, 1685 Crosstown Boulevard NW. Andover, MInnesota.
CouncIlmembers present: Jacobson, McKelvey. Perry, SmI th
CouncIJmembers absent: None
Also present: BuIldIng OffIcIaJ. Dave Almgren; CI ty
P1anner, Dave Carlberg: City C1erk, VickI
Volk; PublIc Works Supervisor. Frank Stone;
Finance Director, Howard Koo I I ck; Fire ChIef
Glenn Smith; CaptaIn Bob Peach; and CI ty
AdmInIstrator. James Schrantz
AGENDA
It was agreed to add Item 4, Employee Issues, to the Agenda.
AWARD SEALCOAT BID
MOTION by Jacobson. Seconded by McKelvey, a Resolution accepting
bids and awarding contract for the Improvement of Project No. 91-8 for
sea]coatlng In the area of 161st Avenue, 157th Avenue, South Coon
Creek DrIve. and PraIrIe Road. as presented. (See ResolutIon R113-91
to BItumInous Roadways. Inc., for $26,896.50) MotIon carrIed
unanImousJy.
BUDGET DISCUSSION
The Counc II revIewed the JIst of goals and objectives prepared by the
Finance DIrector. Item 2 of Goal #2. to assess for sealcoatIng
projects, was debated. Because of the budget crunch. sealcoatlng has
not been done for several years. This puts the CIty behind In Its
road maintenance program. And if crackseallng Is elImInated thIs year
In an attempt to balance the budget, that maintenance wIIJ lag even
further behInd. Though I t Is not somethIng desIrable, several fe]t
doing sealcoatIng as an assessment project Is the most JogIcal at thIs
tIme. No specifIc actIon was taken.
Item 3 of Goal #3, to fund $3,000 for the DARE program. was also
debated. CouncIlmembers Jacobson and Perry felt that that cost should
be Incurred by the county or the school dIstricts. especIaJly In light
of the need to reduce the budget by $132.000. Mayor OrtteJ and
Councllmember Smith felt the program Is Important enough that It
should remaIn. No action was taken at thIs time.
--, . __0· _..._ ".- - .--
Special Ci ty Counci 1 Meeting
Minutes - July 30. 1991
Page 2
(Budget DiscussIon. ContInued)
Mr. Almgren reviewed the proposed rate Increases for permits in 1992
noting the comparIson of rates wIth several surroundIng cities. Using
a conservative fIgure of 275 new houses In 1992 averagIng $100.000.
revenues would Increase by approxImate]y $20.000. After dIscussIng
the proposa J . the Counc i I generally agreed with the proposed rate
increases. Mr. A1mgren stated he would brIng It back for forma]
action in the future.
Objective 2 of Goal #7. adoptIng user fees when a servIce does not
benefit the entire city. was changed to read: Use tax dol lars to
support only those operations that do not unduJy benefit private
property or specific groups. Any servIces or expendItures incurred
that do not benefit the entIre city shouJd be funded through user
fees.
Counc i I then discussed the proposed 1992 budget.
REVENUES
Discussion was on the transferrIng of funds from the Administrative
Trust Fund to the General Fund. Mayor OrtteI suggested that because
the Staff does the majority of the work on any project within the
first year or two of the project. the General Fund should be
reImbursed for that work from the AdmInIstratIve Trust Fund at that
time. The reImbursement would be from the three percent
administrative fee charged to that project and would be receIved in
the year they are earned. Now It Is beIng reimbursed on a pcercentage
of assessments paid method. whIch has nothing to do with the tIme
spent by Staff on the project. The subject was discussed agaIn later
in the meetIng.
Discussion was on the license and permIt fees. Mr. Koolick stated
that the proposed changes wIJ] generate onJy $300 to $400 of revenue.
The City's fees are in Jine wIth the surroundIng cIties except for the
on-saJe J iquor license. Ms. VoJk dId not thInk It should be changed
unt i I the City's costs regardIng that lIcense can be determined over
the next year. Counc i I agreed to the proposed changes In fees as
wel J as charging homeowners for SpeclaJ Assessment searches in the
amount of $12.
EXPENDITURES
Escrow for Staff Time by Developers - Mayor Orttel sugested the
Counc I I and Staff consIder the proposal of requIring developers to
escrow for Staff's tIme. Right now the Staff can spent many hours
working with a developer. but none of that time Is reimbursed. An
hourly rate should be determined and the funds escrowed up front by
the developer.
..-,. - .,
Special City Council MeetIng
Minutes - July 30. 1991
Page 3
(Budget Discussion. Continued)
Me-. Koolick was asked to check with other cities as to their policy
regarding escrow polIcIes for Staff time.
Mr. Schrantz stated he has been In favor of raising the administrative
and assessIng fees for several years to cover those costs, but he also
agreed with an escrow for Staff time.
Page 1. City Council. Insurance - Mr. Koolick didn't know why the
increase was so much. but he wi I I check It out.
Page 2, Newsletter, PrintIng - The School DIstrict had always shared
in the cost by providing the postage. SInce It Is now delivered free
of charge, Counc i I asked that It be researched as to what portion of
costs for the newsletter Is beIng provIded by the district. It was
felt the schoo] distrIct should continuing their share. As a
cost-savIng measure. another suggestIon was to reduce the number of
pages from four to two If necessary.
Page 6. AdmInistration. Dues/RegIstratIons - Council questIoned the
increase. It was noted throughout the review of the budget that dues
and registrations Increased In most Departments. Mr. KoolIck agreed
to provide a separate report on what each of the dues and registratIon
budgets represents.
Page 6, FinancIal AdmInistratIon, Dues/RegistratIons - CouncIl
questIoned the Increase. Mr. KoolIck stated part of It Is for his CPA
license, whIch was required as a part of his employment.
Page 10. Assessing. Professlona] Services - Council felt the Increase
over the past three years has been hIgh. Mr. Koollck revIewed the
rate increase by the Assessor's Office. and noted there has also been
an increase in the number of parcels.
Page 11 , Attorney - Council questIoned whether $51.000 for a City
Attorney is in lIne with what other cItIes the size of Andover pay.
One suggestion was to consIder contracting wIth lower-cost attorneys
for prosecutIons.
Page 22. Planning and Zoning, Dues/Registrations - Council questioned
the Increase.
Page 23. Data ProcessIng. Professional Services - Mr. KoolIck
explaIned that cost Is for the maintenance contract on the hardware
and software of the computers and the copIes. Counc I ] asked at what
point Is It cost effectIve to pay for servIce ca]ls and repairs rather
than continue a maIntenance contract. though no change In poJlcy was
made at this time.
þ-' .
Special Ci ty Counci I Meeting
MInutes - July 30, 1991
Page 4
(Budget DIscussion. ContInued)
Page 26, Fire StatIon BuIlding. RepaIr/MaIntenance - Supplies - ChIef
Smith explained wIth the additIon of two more fIre statIons. the
supplies and labor costs have been Increased. Counc i ] felt that wI th
much of the new Items beIng under warranty, that there is some room to
reduce the figures.
Page 26, Fire Station BuildIng, Telephone - Mr. Peach explained the
phone system of three lines comIng Into the maIn statIon and one lIne
into each of the remote statIons. ChIef SmI th thought StatIon 3 would
retain the exIsting two lInes. The $4.300 budgeted should be reduced
to refJect the correct amount.
Page 26. FIre Station BuiJdIng. Insurance - Chief Smith stated he was
not able to contact the Insurance carrier and estImated three times
the exIstIng rate for the Department. Mayor Orttel suggested he
contact North Star Risk to get the co~rect costs.
Page 30. SenIor Citizen's Center. Telephone - Staff reported the need
for their own phone line because I t Is desIgnated as an emergency
center.
Page 30. Senior CItIzen's Center - Mr. Koollck stated the addition of
congregate dInIng wIll Impact the budget because there wIll be more
use of the bui Jdlng. He didn't know If that would generate any Income
for the City. Mr. Carlberg stated the kItchen wIll have to be
remodeled for commercIal facIlIties before they can have congregate
dIning. No specifIc dIrectIon was gIven.
Page 34. Eng I need ng, Dues/RegIstratIon - Council questioned the
increase.
Page 35, Police Protection. Contract - Council was concerned about the
$15,150 increase In the contract and dIscussed the Issue of when It
becomes cost effective for the City to support I ts own Pol Ice
Department. It was noted that the Increase of three percent Is maInly
for wages, and i t is anticIpated the State will reimburse the CIty for
$28.743. which Is shown In Revenues.
Page 35, PolIce ProtectIon. Crime Watch - Mayor Orttel stated the
reduction for thIs Item reflects more accurately the amount that has
been spent by Community School for the CrIme Watch/Key Communicator
program.
Page 35. PolIce Protection. DARE Contribution - Though It was
suggested the $3.000 be removed In an effort to balance the budget. no
action was taken at this tIme.
Page 36, Fire ProtectIon. Sa J ar I es - Mr. KoolIck and Chief SmIth
reviewed the caJculatlons for arrIving at the $94.475 figure.
- '
Special City CouncIl MeetIng
Minutes - JulY 30, 1991
Page 5
(Budget DIscussIon. ContInued)
Page 36, FIre ProtectIon. Relief AssociatIon - Mr. KoolIck revIewed
the expenditures for this Item are $22,000 from the State and $350 peç
firefighter from the CIty based on 50 fIrefIghters.
The Counc i J noted that polIce and fIre protection are the largest
Items In the budget. asking how It compares wIth other citIes. Mr.
KoolIck did not know. but felt one-third of the budget Is not
unreasonable. He can check wIth other cities to compare theIr pub]Ic
safety budgets wIth Andover's.
Pages 36 and 37. FIre ProtectIon, RepaIr/Maintenance - Supplies and
Labor - ChIef SmIth explained that the Department hires an outsIde
consu]tant to do a I I the maIntenance of the vehicles. Mr. Stone felt
that with the number of vehIcles, It may be cost effective for the
City to hire Its own mechanIc on staff. After some discussion, the
Counc II suggested he look a t a I I the maIntenance lIne Items and make a
recommendation to them.
Page 37. Fire Protection. UnIforms - Chief Smith stated this is for
the dress unIforms and coveraI]s for the personnel and theIr
replacements. The budget Is based on the addition of 15 more
personne I .
Page 44, AnImal Control - Discussion was that because of the lack of
anImal control agencies. there Is lIttle the CIty can do: though Ms.
Volk noted an IndIvIdual Is looking Into the possIbIlity of
establIshIng a dog pound In the City. and he would contract wIth the
CIty for $300 a month. The Counc II suggested the possibilIty of
havIng AnIma] Control charge for the pickup and return of an anIma] as
a source of Income to the City. No specifIc actIon was taken.
Page 46. Streets and Highways. Crackseallng - There was some
discussion as to whether thIs type of maIntenance should be assessed.
Those opposed to assessing felt that maIntenance should not be
assessed any more than snow plowIng or grading Is. that road
maIntenance Is expected to be a part of the CIty servIces. Mr. Stone
stated the $50,000 Includes labor. The Counc II was also reluctant to
elIminate cracksealIng and get even further behind In the road
maintenance program. This Item was dIscussed again later In the
meeting.
Page 48. Snow and Ice Removal, Dues/Registrations - Mr. Kool ick wi II
report on the Item along wIth the other departments.
Page 51, Street Lighting - Mr. Koo]Ick reviewed the Installation of
new semaphores In the City and the cost of electricIty for them.
Counc II suggested the possibility of changing the polley to assess the
usage to the neIghborhood of a street lIght at the Intersection of the
county road when lightIng Is Installed in the neighborhood. It was
agreed to discuss that at a future date.
Special CI ty Counci I MeetI ng
Minutes - July 30. 1991
Page 6
(Budget DIscussion, Continued)
Page 59, CommunIty School and Summer SchooJ Programs - Mayor Orttel
reported that after severai meetIngs with the school dIstrict. they
have agreed to allow the CIty to retaIn Its Community School program
as it presently exists. that Is costs shared one-third by the CIty.
one-thIrd by the School District and one-thIrd by user fees. In
addItIon. he has been told that the School DIstrict has a fund balance
for Andover's Community School whIch can be used to offset thIs
expenditure. He suggested Mr. Koollck research how much that Is.
Mayor Orttel also noted another Issue of Andover payIng a portIon of
the coordinator's salary for Washington School because there are
Andover residents goIng there. He didn't thInk that that Is what the
poJlcy has been. noting there are also Ham Lake and Coon RapIds
residents attendIng Andover schools. He asked that that also be
researched further.
Page 60, Trees and Weed Control. Professional ServIces - Mr. Stone
explaIned the CIty Is Just getting started In this program and has
taken down trees In the parks and boulevards where necessary. Counc II
agreed that use of the county's vIbrating pJow on prIvate property
should be paid for by the property owner.
Page 67. Lower Rum RIver - Council noted that including thIs In the
CIty's levy affects the amount the CIty can levy for servIces. Mr.
Schrantz stated the county can levy up to a certaIn amount for water
management organizations Instead of doIng It this way. Counc i I
recommended he look Into that optIon further. feeJIng that would be
preferable.
Counc I I recessed at 10: 13; reconvened at 10:25 p.m.
Counc I I then dIscussed varIous options to baJance the budget. The
followIng was agreed to:
A smaJ 1 savings by filling employee vacancies wIth those at a lower
pay scale
Increase revenue by $20,000 In the BuIldIng Department based on fee
adjustments presented by Mr. AJmgren thIs evening
Transfer approximately $40.000 from the AdmInistrative Trust Fund
based on the polIcy of transferring 3/4 of the admInIstratIve
fee of a project In the fIrst year
Reduce expenditures In Park and Recreation by $10.000
Reduce expenditures In FIre ProtectIon by $10.000 allowIng the
Department to make the approprIate lIne-item cuts
Reduce crackseallng by $35,000, leaving $15,000 for patching and
maIntenance
Special CI ty CouncIl Meeting
MInutes - July 30, 1991
Page 7
(Budget DiscussIon. Continued)
With those changes. It was felt the budget Is close to beIng balanced.
Mr. KooJIck was asked to present a Dues/RegIstratIons report and make
other suggestions to balance the budget.
It was agreed to dIscuss the budget agaIn at the August 20, 1991,
regular CouncIl meetIng.
EMPLOYEE ISSUES
Counc il akcnowledged the resignation of Karen Tommerdahl. They also
discussed the request of Dale Mashuga. PubJIc Works. for a one-year
leave of absence to take a job at the Vo-Tec. After some dIscussIon.
the Counc II agreed to deny the request to take another job as
leaves for that purpose are generally not given In busInesses and the
Staff is not large enough to hoJd the posItIon for that perIod of
tIme.
MOTION by Jacobson, Seconded by Perry, that based upon the July 30.
1991. letter by Dale Mashuga askIng for a leave of absence for a
peIrod of one year, that the Counc II deny to offer that leave of
absence; but at the same tIme the CouncI] commends Mr. Mashuga for his
work and wIshes he would choose to stay wIth the CIty Instead of
leavIng. MotIon carrIed unanImously.
DEBT SERVICE FUNDS
Counc II reviewed the Debt Serlvce Fund InformatIon presented by Mr.
Koo lick. No specIfic actIon was taken by the CouncIJ.
PIR FUND
Counc II revIewed the Permanent Improvement RevolvIng Fund InformatIon
presented by Mr. Koo J I ck . Mr. Peach agreed that the two flags and
poles for $1.570 should be taken out of the bond money. not out of the
PIR fund. Because of the late hour:'. It was agreed to tabJe the Item
to be dIscussed at another time.
PUBLIC WORKS DEPARTMENT CAPITAL EXPENDITURES
Counc I I reviewed the proposed capItal Improvement Items for PublIc
Works as presented by Mr. Stone. He also noted hIs recommendatIon to
not purchase the motor grade this year, whIch leaves a capital
improvement expenditure of approximately $190.000.
Special CI ty CouncIl MeetI ng
MInutes - JulY 30. 1991
Page 8
(Public Works Department CapItal ExpendI tures. ContInued)
Mr. KooJick stated some fundIng can come from the PIR fund; the rest
can be funded through CertifIcates of Indebtedness. or fund all of it
through Certificates.
Counc i I agreed to act on thIs at a future date.
MOTION by McKelvey to adjourn. Motion carrIed unanImously.
MeetIng adjourned at 11 :23 p.m.
Respectfully submitted.
~~~~UL
Marcella A. Peach
Recording Secretary
~-, .