4.1. DRAFT MINUTES (1 set) 02-04-2019VA
City of
Elk Meeting of the Elk River City Council
River Held at the Elk River City Hall
Tuesday, January 22, 2019
Members Present: Mayor John Dietz, Councilmembers Garrett Christianson, Nate
Ovall, Matt Westgaard, and Jennifer Wagner
Members Absent: None
Staff Present: City Administrator Calvin Portner, Planning Manager Zack Carlton,
Senior Planner Chris Leeseberg, Deputy Fire and Deputy Director of
Emergency Management Chief Aaron Surratt, Fire Chief Mark
Dickinson, Police Chief Ron Nierenhausen, Finance Director Lori
Ziemer, Human Resources Manager Lauren Wipper, Recreation
Administrative Coordinator Tonya Love, ERMU Conservation and
Key Accounts Manager Tom Sagstetter, Captain Bob Kluntz, City
Attorney Peter Beck, and Records Specialist Katie Porath.
Call Meeting to Order
Pursuant to due call and notice thereof, the meeting of the Elk River City Council
was called to order at 6:22 p.m. by Mayor Dietz.
2. Pledge of Allegiance
The Pledge of Allegiance was recited.
3. Consider January 22, 2019 Agenda
Item 4.7 was added to the consent agenda.
Moved by Councilmember Westgaard and seconded by Councilmember Ovall
to approve the January 22, 2019 agenda, as amended. Motion carried 5-0.
4. Consider Consent Agenda
Moved by Councilmember Wagner and seconded by Councilmember Ovall to
approve the following consent agenda:
4.1 January 7, 2019, Regular Minutes
January 7, 2019, Closed Minutes
4.2 Check register, check numbers 109057-109235 as outlined in the staff
report.
4.3 Pay estimates.
4.4 Master Labor Agreement (Contract) between the City of Elk River and
Law Enforcement Services (LELS) Local 271 for January 1, 2019 to
December 31, 2021.
City Council Minutes Page 2
January 22, 2019
4.5 Resolution 19-03 for the Dickenson's Second Addition with the
following conditions:
1. The existing septic system (Lot 1, Block 1) will be required to
have a septic compliance inspection and must be shown to be
compliant.
2. Any item or condition found indicating the site is likely to yield
information important to pre -history or history shall
immediately be reported to the city. Further, the city reserves
the right to stop work authorized in its approval until the site is
appropriately investigated and work is authorized.
4.6 Position description for Assistant City Engineer.
4.7 Pay Equity Implementation Report and Compliance Report.
Motion carried 5-0.
S. Open Forum
No one appeared for Open Forum.
6.1 City of Elk River Volunteer of the Month
Mayor Dietz introduced and presented a plaque to Molly Ruby as the Volunteer of
the Month Award for January. He noted many accomplishments including:
■ Fundraiser for Parker Elementary carnival
■ Classroom volunteer at Parker Elementary
■ Helped start Destination Imagination program at Parker Elementary
■ Brought Girls on the Run program to Elk River
■ Elk River youth football, girls youth basketball volunteer
■ Volunteer work for Elk River high school football, Quarterback Club
■ Worked on Active Elk River program
■ Volunteers for CAER, Feed My Starving Children programs
■ YMCA volunteer for Community Garden, Blessing Box, Cycle-A-Thon,
Community Board
■ Donates time to St. Andrew's Catholic Church, Salvation Army
■ Volunteer for Thumbs Up 5K/10K
■ Advocate for National Women's Health Week
6.2 Proclaim Keith Thorson Day
Assistant Fire Chief Surratt highlighted Keith's service at the Fire Department.
Mayor Dietz read the proclamation.
6.3 Oath of Office: Officer Thomas Chaffin
Mayor Dietz administered the oath of office to Patrol Officer Thomas Chaffin.
6.4 Oath of Office: Officer Ryan Sisterman
A
City Council Minutes Page 3
January 22, 2019
Mayor Dietz administered the oath of office to Patrol Officer Ryan Sisterman.
6.5 Pinewood Year-end Update
Chris Singer, Pinewood Golf Course General Manager, presented the Pinewood
Golf Course update.
Councilmember Westgaard asked Mr. Singer about the course profitability.
Mr. Singer stated he was happy Pinewood had seen a small profit despite a short golf
season in 2018.
Mayor Dietz said he thought the golf course staff did a good job with the course
however he was concerned about the financial situation of the golf course. He
distributed materials with financial information and asked Mr. Singer and Ms. Ziemer
questions regarding the cost to the city. He clarified the final cost was break even.
Fay Huselid spoke from the audience commenting on the quality of the golf course
but felt it should be treated like a city park.
7.1 ResCare
Mayor Dietz introduced the ResCare topic and asked the council if they had
questions.
Mr. Beck read a prepared statement reminding those in attendance that the time to
make verbal comments had passed and the purpose of the meeting was for the
council to discuss.
Councilmember Westgaard asked Mr. Beck if they could add a condition to revoke
the process if it did not meet standards of city code.
Mr. Beck stated Conditional Use Permits (CUPs) are valid as long as conditions are
met. If conditions are not met, a revocation process can begin but the CUP cannot
be taken away without due process. The condition would not need to be added but
could be if the council was interested.
Councilmember Ovall asked Police Chief Nierenhausen if he could provide data on
the number of group homes already existing in Elk River and the volume of calls
received by the Police department from these facilities. He also wanted to know the
Police activity for the Tipton neighborhood.
Police Chief Nierenhausen responded that in 2018, 55 calls were received from the
current 17 group homes. He would need more specific direction to obtain the
information on the Tipton neighborhood.
City Council Minutes
January 22, 2019
Page 4
Councilmember Christianson asked ResCare if there were any mental illnesses they
were not equipped to help and was there criteria in place to deny admission.
Thomas Alf, Executive Director for ResCare, 4440 Beard Ave N, Robbinsdale,
stated ResCare does refuse admission to potential residents if the person is deemed
to be a danger to staff or the community through their own assessment.
Councilmember Ovall asked how many ResCare facilities are nationwide and if the
designation of Intensive Residential Treatment Services (IRTS) is different. He
questioned if there are there similar IRTS facilities nationwide.
Chris Jacobson, healthcare real estate advisor, stated there are six IRTS units and
they are all in Minnesota.
Councilmember Ovall asked for clarification on dealing with transition care for those
whose LOCUS score rating was Level 5. What is the relapse rate? If there is an 80%
successful transition to the next level of care does that mean there is a 20% relapse
rate?
Mr. Alf responded there was about a 20-30% relapse rate within the first 3 months,
after which time it becomes difficult to track.
Councilmember Wagner wished to clarify the term "relapse."
Mr. Alf clarified there are six possible levels. If a resident has to return to a hospital
or a Level 5 care facility or higher within three months it is considered a relapse.
Mr. Jacobson added Minnesota is unique in healthcare. He stated the fact that
Minnesota has the IRTS program is a bridge for mental health patients rather than
going straight from the hospital to a neighborhood.
A member of the audience asked what the Level 5 designation meant.
Councilmember Ovall responded it was public information in the packet that was
distributed to the council.
Mayor Dietz reminded the audience the time for public comment was over.
A ResCare representative explained Level 4 meant the resident was able to live in an
apartment and take care of themselves while a Level 3 was similar to a drop in
center.
Councilmember Ovall asked ResCare what steps they took to find out if potential
residents had gross misdemeanors or felonies. He questioned if background checks
are done and what the selection criteria is to fit into the community?
City Council Minutes
January 22, 2019
Page 5
Mr. Alf said the facility looks at the current client mix and may not take on more
residents with the same condition if staff and facilities cannot handle it. He said
ResCare goes though the interview and looks at their records when available. He
stated clients can choose whether or not to disclose information and records may not
tell if they have a felony. He said this type of information is not obtained if they are
going to into the hospital.
Councilmember Ovall asked about the client interview process and if it assigns a risk
rating.
Mr. Alf said ResCare has an initial interview that goes through life areas. It is up to
the clinical director to determine how this person fits and their level of risk. It is not
a checklist but based on expert opinion.
Councilmember Ovall asked if the decision is documented.
Mr. Alf responded it is documented and there is a diagnostic assessment within five
days which informs the treatment.
Councilmember Christianson asked if people can come and go as they please. He
toured the Robbinsdale ResCare facility and one of the main issues on the police
reports provided seems to be missing persons. He questioned if there is anything
that can be done to control that process.
Mr. Jacobson responded most of the time residents ride to appointments in a
ResCare-provided van, they are not usually walking around. The facility is required
by law to report someone who has been gone more than 24 hours as a missing
person. With an estimated 600 patients per year using a 16 bed facility, the number
of calls is relatively low. In addition, the calls are not for violent crimes. They are a
vulnerable, at risk population.
Councilmember Christianson mentioned he had read through the provided police
reports from Brooklyn Center, Fridley, and Robbinsdale and noted calls for
disrupting the peace and intoxication.
Mr. Jacobson said the comment was vague and asked to quantify it. He said, if
needed, ResCare will ask for police assistance to remove a resident if they don't
follow the rules.
Councilmember Wagner asked ResCare if, after hearing resident and Council
comment, they felt ResCare was a good fit for the City of Elk River.
Mr. Alf responded yes. When a ResCare facility was coming to the City of Fridley it
was a very contentious topic, but now surveys of residents reveal the facility has
"melted into the community". He expressed a desire for ResCare to be part of the
community and he is open to meeting with people now and in the future. In
City Council Minutes
January 22, 2019
Page 6
addition, the Elk River facility would be adding a layer of supervision by having a
clinical director mentoring other clinical directors for 30% of the time.
Mayor Dietz asked each councilmember to state how they would be voting and give
a reason why.
Councilmember Christianson pointed out Item 1 of the CUP "Will not endanger,
injure or detrimentally affect the use and enjoyment of other property in the
immediate vicinity or the public health, safety, morals, comfort, convenience or
general welfare of the neighborhood or the city." He did not feel this section was
met.
Councilmember Westgaard thanked ResCare and residents for participating in the
process. He does have concerns about what is going to happen at the facility, the
level of safety, and the continuity with the neighborhood. He is unsure if this is the
best location for a facility like this even though it is a permitted use in a residential
zoning district. He reminded those in attendance the applicant had requested use of
this site and it was not the city. In addition, just because it is zoned that way doesn't
automatically mean it will be granted. The application, applicant, specific use, and
location must also work. He warned people of jumping to worst case scenarios, there
are already dangerous people in Elk River. ResCare is not a treatment institution but
a step to reintroduce people back into the community. He doesn't see it as a threat to
the neighborhood as much as creating its own internal turmoil. While no one denies
this facility is needed, no one wants it in their backyard. However, the facts of the
application meet the standard of the city code and, from a governance standpoint,
the Council should accept it based on merits and what has happened and not what is
imagined.
Councilmember Ovall thought it was odd that there was very little comment during
the Planning Commission meeting where the project was introduced. He has a
difficult time with the location. In 2018, the current 17 group homes in Elk River
averaged three calls per facility. In contrast, ResCare facilities in other cities seem to
have a great deal more police calls and he doesn't see how it can't be disruptive to
the neighborhood. He feels it would be better to locate it in a commercial or retail
type setting. Currently, the proposed site is single family homes, people who may
have lived there for a long time and are established. Putting it in a multi -tenant
neighborhood might be better as there is more home turnover. He would like to
look for evidence of fact for denial.
Councilmember Wagner has asked herself if this is the right location but believes it is
overstepping duties as a Council to tell a business whether or not they should be
somewhere else. She appreciates the community feedback. Fear of the unknown can
take us to scary scenarios but rather than considering the facility residents as "they"
we should view them as humans needing these services. Instead, the Council should
ask if it meets the criteria. Someday, we may need to use a facility like this. She is in
favor of allowing it.
City Council Minutes
January 22, 2019
Page 7
Mayor Dietz struggles with balancing the rights of property owners with the rights of
the patients. He believes the police department can handle the number of calls and
the quantity or predicted quantity of police calls is not used to allow or deny a
business. Currently, Elk River has 40 Level 1 and Level 2 sex offenders living in the
city however they are not all in one facility. The residential area is dense compared to
other ResCare facilities. Should the Council consider rezoning a different building in
a commercial or industrial district to allow ResCare to go there instead? Although
Item 1 of the CUP is a subjective statement, he believes it is not met and will vote
against it.
Mr. Beck asked for additional information from the Council on their reasoning
behind denial.
Councilmember Ovall reviewed some of the points expressed by the Council
including the police call activity, the newer business model of IRTS, and the location
being in a dense single-family home neighborhood versus a multi -family or retail area
which may affect the use and enjoyment of nearby property.
Mr. Beck will prepare a resolution consistent with the comments for the February 4,
2019, meeting.
Councilmember Ovall encouraged residents and ResCare to remain engaged with the
process.
Moved by Councilmember Ovall and seconded by Councilmember
Christianson to direct staff to prepare a resolution of denial of the Conditional
Use Permit for the institutional use at 633 Upland Avenue on the grounds that
standard number 1 of the standards for approval of the Conditional Use
Permit is not met based on the findings of fact expressed by the Council at
the January 22, 2019 council meeting. Motion carried 3-2. Councilmembers
Wagner and Westgaard voted against.
8.1a Glory of Christ Church -Ordinance Amendment: Adding Institutional
Uses to MU -ERP District
8.1 b Glory of Christ Church - Conditional Use Permit: Operate a Religious
Institution
Mr. Leeseberg presented the staff report.
Mayor Dietz opened the public hearing.
Rich Schultz, 15894 541h St NE, St. Michael, owner of Freeport Business Center,
spoke about parking concerns as well as proposed signage. He stated his tenants
have applied for additional signage in the past and been denied.
City Council Minutes Page 8
January 22, 2019
Mr. Leeseberg addressed the signage concerns. Signage will have to meet the
ordinance requirements, the CUP process does not grant variances. The signage
allowances would be the same for churches as for businesses.
Mayor Dietz added the church could ask for a variance if they wanted additional
signage.
Mr. Leeseberg added, in regard to parking, they were only considering the area
highlighted in yellow on the map, not the entire theatre/ development complex.
Mayor Dietz asked how many attend the church.
Charlie Handren, the pastor at Glory of Christ Fellowship church, stated their
worship center would seat 300 people. Peak usage would typically be Sundays and
Wednesdays and there is language about parking in the lease.
Mayor Dietz asked Pastor Handren if he had spoken with the theatre owner. The
theatre owner was in attendance and they have had conversations about sharing
parking.
Councilmember Wagner asked about weddings which may be held on a Friday or
Saturday and interfere with movie theatre parking.
Pastor Handren stated weddings would be considered a special event and the church
would coordinate with theatre management.
There being no one else to speak to this issue, Mayor Dietz closed the public
hearing.
Moved by Councilmember Westgaard and seconded by Councilmember
Wagner to adopt Ordinance 19-01 amending Section 30-1584, MU -ERP.
Motion carried 5-0.
Moved by Councilmember Wagner and seconded by Councilmember
Westgaard to approve Conditional Use Permit CU 18-20 as the standards set
forth in Section 30-654 have been satisfied. Motion carried 5-0.
8.2 River Walk Apartments Right of Way Vacation and Simple Plat
Moved by Councilmember Westgaard and seconded by Councilmember
Wagner to continue the request to vacate a portion of the Zane Street Right -
of -Way to the February 19, 2019, Council Meeting. Motion carried 5-0.
Moved by Councilmember Wagner and seconded by Councilmember
Christianson the request for approval of a Simple Plat to the February 19, 2019,
Council meeting. Motion carried 5-0.
City Council Minutes
January 22, 2019
Page 9
Council recessed at 8:08 p.m. in order to go into work session. Council reconvened
at 8:13 p.m.
9.1 River Walk Apartments
Mr. Carlton presented the staff report.
Dan Anderson and Pat Briggs, 633 Upland Ave, spoke as representatives of the
Briggs Company.
Mayor Dietz asked about the letter from the Department of Natural Resources
(DNR) recommending more than 30 feet from the bluff line. While 30 feet is the
Emit, the applicant proposes going up to the bluff line and the DNR has some
concerns.
Councilmember Ovall asked if the Briggs Company had a model of combining self -
storage and apartment living in the same building.
Mr. Anderson responded their proposal was not a mini -storage facility but a
contemporary, controlled environment with units being around 6x8 feet in size.
Councilmember Ovall had concerns with many users who are not residents accessing
the storage area creating traffic volumes. He asked if they had considered storage for
larger items such as fish houses instead.
Mr. Anderson said their model was the opposite. He believes up to 90% of the
storage on site would be claimed by people who live there. Their demographics are
21-38 year olds who want a place to put their stuff and live in a nearby unit. The
Briggs Company would not be exploring this option if they didn't feel patrons would
utilize it.
Councilmember Ovall asked if they would set aside a certain percentage for
apartment users.
Mr. Anderson responded the storage units become a rental marketing deal. He added
he felt it was a cutting edge thought process to offer this amenity.
Mayor Dietz asked Mr. Carlton if they could require a certain number of storage be
for renters.
Mr. Carlton responded it could be a condition but it would be a challenge to police.
Mr. Anderson stated patrons of both of the proposed River Walk buildings could
use the storage.
Councilmember Wagner agreed the site lends itself to high density housing and using
some of the location for storage would be beneficial to the apartments.
City Council Minutes
January 22, 2019
Page 10
Councilmember Wagner asked about the letter from the DNR stating a building
more than 30 feet tall could alter the historic scenic value. The proposed building
would be closer to 40-45 feet tall.
Mr. Anderson stated they went with a building that height because there wasn't a
scenic view. He commented on the need for an increase in lighting and movement to
reduce crime in the area.
Councilmember Wagner asked if they could put the trail where they were proposing.
Mr. Carlton responded the location of the trail was generally accepted by the DNR.
Mr. Anderson stated they would take care of the hill to address washout.
Mayor Dietz asked Mr. Carlton about Zane Street.
Mr. Carlton said previous proposals showed the street cutting off but still having
Right of Way access. He recommends a cul-de-sac.
Mr. Anderson thinks a cul-de-sac is doable but prefers stretching the turn around to
make it more usable.
Mr. Carlton prefers keeping public traffic on public streets as otherwise it becomes a
maintenance and safety issue.
Mayor Dietz stated the need for the Planned Unit Development (PUD) was because
of the mixed use of residential plus storage.
Mr. Beck asked if storage could be exclusively for apartments, or, for example, no
more than 25% rented to outside.
Councilmember Wagner reiterated her concern was this location was so ideal for
high density housing she didn't want it to be mini -storage.
Councilmember Westgaard asked if there may be increased traffic moving and
parking issues if it is rentable mini storage with loading and unloading zones.
Mr. Anderson said there was a similar storage site in Bloomington and there are only
7-10 parking spots for the 400 -500 -unit building. Loading and unloading is in the
interior of the building.
Mr. Beck confirmed the storage unit Mr. Anderson referenced generated very low
parking demands. Signage may be an issue.
Mr. Anderson added loading and unloading would not be on the exterior and people
would likely be there for around 15 minutes.
City Council Minutes
January 22, 2019
Page 11
Councilmember Wagner asked how many self -storage units they were proposing.
Mr. Anderson said the proposal is for around 60-90 units for both buildings. There
will not be one storage unit for each apartment.
Councilmember Wagner clarified Phase 1 was the building of the apartments and 60-
90 storage units. The second Phase does not contain additional self -storage units.
Mr. Anderson said their goal is to get one building up and immediately do the
second.
Councilmember Wagner asked why the Park and Recreation Commission did not
want to work with the park or land. Trail access should be explored.
Mr. Anderson said the Park and Recreation Commission had mentioned they want
cash to operate.
Councilmember Wagner was specifically wondering about trail access for the river
trail.
Mr. Anderson discussed the easement. He feels there is currently too much police
activity in the area.
David Williams, a member of the Parks and Recreation Commission, stated there
was a lot of discussion about easements but nothing fit. They also looked at the
topography but nothing worked with the DNR.
Councilmember Wagner asked again if the DNR was okay with the location of the
trails.
Mr. Anderson said they haven't gotten to that yet.
Mayor Dietz said he wants the DNR to be okay with this. He does not want the city
to be in conflict with the DNR.
Councilmember Westgaard did not have any issues with the general concept. He felt
a cul-de-sac would be a good choice and agreed with Mayor Dietz on working with
the DNR to reduce the impact on the bluff. He would like to get an official response
from the Parks and Recreation Commission about trail connections. He asked about
the parking issue. The ordinance states they must have 2.5 parking stalls per unit but
current parking proposals show only 2.06 to 2.26 stalls per unit.
Mr. Anderson stated he has an idea of how to meet the parking requirements.
Mayor Dietz asked how many square feet each storage area is.
City Council Minutes Page 12
January 22, 2019
Mr. Anderson responded the biggest was approximately 8x12 feet.
Mr. Beck asked why the Briggs Company didn't want to keep the storage units
entirely for tenants thereby not needing a PUD.
Mr. Anderson stated there were more apartments than storage units and it became a
factor of marketing the facility.
Councilmember Wagner asked if all of the traffic would go onto Yale St. NW and
felt it might alarm local residents.
Mr. Beck agreed residents on Yale St. would perceive the increased traffic as
commercial traffic even if it was only additional residents.
Mr. Briggs compared the bluff line of Granite Shores in Elk River to that of the new
proposed River Walk Apartments.
Mr. Anderson added cities have jurisdiction over the DNR.
Councilmember Wagner stated there can't be a comparison between Granite Shores
and the current project.
Mr. Beck agreed Granite Shores setback could not be used as a precedent.
Councilmember Wagner said it was the Briggs Company responsibility to make sure
having a corner of their building in the bluff line is okay with the DNR.
Councilmember Wagner will follow up with the Parks and Recreation Commission
regarding the trail connection.
9.2 Hometown Solar Discussion
Mr. Sagstetter presented the staff report. He outlined the proposed location of the
solar array near city hall. It would produce 7,000 kilowatt hours or approximately 2%
of the yearly energy use of City Hall. The solar array would primarily be used as a
demonstration site.
Mr. Portner agreed the solar array would meet some of the council discussion goals
for the Powered by Nature brand.
Councilmember Wagner asked what the solar array would power.
Mr. Sagstetter clarified it would primarily be used for demonstration and education.
The Minnesota Municipal Power Association (MMPA) is trying to work it into
science curriculum at local high schools.
Councilmember Wagner asked for a ballpark figure for yearly maintenance costs.
City Council Minutes
January 22, 2019
Page 13
Mr. Sagstetter responded it would take a couple hours of labor per year to maintain
and the cost should be under $500. The cost of the installation is $16,000-$20,000
and would be paid for by a grant from MMPA.
Mr. Portner asked if the unit could be roof mounted or if it could light a park or
ballfields instead.
Councilmember Christianson agreed that, if it were a demonstration project, it
should be more visible.
Mr. Sagstetter said they had considered other locations. Spectrum High School lacks
the space and energy consumption and ISD #728 was not interested. Municipal
liquor stores were considered but would not be a great location for school tours.
Councilmember Westgaard asked if Lion John Weicht Park was considered.
Councilmember Ovall asked if there was an ability to expand upon the project.
Mr. Sagstetter said the project could not be expanded upon and, if it were, it would
be increasingly costly and require more maintenance.
Councilmember Ovall liked the idea of it being located near the proposed
Multipurpose Recreational Facility.
Mr. Sagstetter stated MMPA is hoping to install this year. He will explore the load
amounts at Lion John Weicht Park.
There was additional discussion about changes to the buildings and structures at
Lion John Weicht Park.
Councilmember Westgaard wished to get it more visibility than it would at City Hall.
The Council was in favor of the installation.
Mr. Sagstetter will explore other locations.
9.3 City Compensation Plan
Mayor Dietz wished to bring this item to the Council's attention because he wasn't
sure they were aware that all the positions in the 2E section of the Positions and Pay
Grades were paid the same rate. The positions in 2E currently include Community
Development Director, Finance Director, Fire Chief, Park and Recreation Director,
Police Chief, and Public Works Director.
Mayor Dietz noted that, when all of the positions in pay grade 2E reach the top of
their pay scale, they will be making the same amount of money even though he does
not view all of these jobs as equal.
City Council Minutes
January 22, 2019
Page 14
Ms. Wipper stated their evaluation of the positions in 2018 gave them a good
understanding of how to apply the five factors of the RDK Job Evaluation System to
remain consistent among the positions. They also met with department managers
and directors to consider inconsistencies. The positions in pay grade 2E were rated
the same except for the work environment. The Fire Chief, Police Chief, and Public
Works Director were rated higher in work environment.
Councilmember Westgaard said there was really no comparison between the Police
Chief and the Parks and Recreation Director in their work environment risk.
Mr. Portner explained the system they purchased from an outside company sets
defined criteria for determining pay grades. This system is utilized to maintain
compliance and ensure pay is not gender biased. Pay grades are determined on
contribution to the mission, not on whether they are in a position where there are
bullets or flames. Corruption of the compensation plan tends to happen as you add,
decrease, or combine positions. The goal is to remove as much bias as possible. All
six positions in the 2E category have the same educational, experience, and degree
requirements, level of responsibility and accountability, and expectations to develop
and maintain policies. The amount that is paid also acts as a recruitment tool.
Councilmember Ovall added that, at his job at The Bank of Elk River, the members
of the executive team are not all paid the same because it's based on market demand.
He asked what role market analysis is taken into account. Are we paying market
compared to our peers?
Ms. Wipper explained that, as part of the pay grade restructuring, the city performed
a benchmark study. Twelve cities that look like us were used as comparisons. Within
these cities the average wage of comparable positions was determined. If we were
recruiting from a city such as Minneapolis, we may not be comparable on pay, but, if
the city were recruiting from Lino Lakes we would, because they are a comparable
city. She also explained the city set the starting pay higher to avoid bringing new
employees in at a Step B or C pay step. However, there is only so much the city can
do to compete with the private market because the private companies do not need to
comply with pay equity, follow a pay plan, or report to the Office of Budget and
Management at the State.
Councilmember Westgaard asked if the amount between each pay step was the same.
Ms. Wipper responded it was the same amount between each step in each pay band.
Councilmember Westgaard asked if steps increase every year for some positions and
every three years for others.
Ms. Wipper explained that steps increased every year based on satisfactory
performance.
City Council Minutes
January 22, 2019
Page 15
Mayor Dietz asked if changing the positions in section 2E would cause an issue.
Ms. Wipper stated three of the positions are scored equally and the other three are
scored equally which would create a natural division.
Councilmember Westgaard clarified the scoring is based upon total points in the
evaluation.
Councilmember Wagner asked about Councilmember Westgaard and Mayor Dietz's
participation in the pay evaluation in 2018. Did they feel like they were involved? She
agrees not all six positions are the same and have a different workplace demand.
Councilmember Westgaard felt it may be useful to look at the scoring of the six
positions. He felt he has gained a different understanding of the process.
Mr. Portner asked the council if their concern was that director positions are
underpaid within the peer groups (externally) or amongst themselves (internally).
Councilmember Westgaard responded the concern was with internal equity.
Councilmember Ovall agreed it comes down to core basic services.
Mayor Dietz added he doesn't want to drop anyone's pay.
Ms. Wipper asked for direction on how much pay difference should be between the
levels.
Councilmember Ovall asked if they could use the peer groups to determine a pay
range among essential service positions.
Ms. Wipper added they could use the same method of using the averages among pay
bands and leave the positions of Finance Director, Parks and Recreation Director,
and Community Development Director where they are.
Mayor Dietz agreed he did not want to increase the pay on these positions.
Ms. Wipper stated the city would be over paying these three positions based on peer
city average of average amounts.
Mayor Dietz and Councilmember Ovall agreed this was unavoidable.
Councilmember Ovall added the average of averages will raise the benchmark.
Mr. Portner said the council decision wasn't a problem. His concern is with internal
and external equity and the ability to document the current system.
Ms. Wipper asked the Council when the change should be effective.
City Council Minutes Page 16
January 22, 2019
Mayor Dietz felt the change should be retroactive to January 1, 2019.
Mr. Portner explained step increases are effective the beginning of July. He proposed
adding a step to the Police Chief, Fire Chief, and Public Works Director positions.
Mayor Dietz asked if the adjustment should be retroactive to July 1, 2018.
Councilmember Wagner reminded them that two of those three positions were not
filled at that time.
Mayor Dietz asked if the adjustment could be a short step adjustment from January
1, 2019 to July 1, 2019 and then a full step thereafter.
Mr. Portner explained that in 2018 positions were moved up to their next closest
step to mitigate the big bump in costs spread out over three years.
The Council directed Ms. Wipper and staff to create a new category containing the
positions of Fire Chief, Police Chief, and Public Works Director and paying them at
a higher level based upon the averages of comparable cities.
Mayor Dietz asked the other council members for suggestions on a caterer to
provide the annual Employee Recognition lunch. Each year the council members
contribute money to pay for a meal for city staff. In the past, the lunch has been in
January or February.
10. Adjournment
There being no further business, Mayor Dietz adjourned the meeting of the Elk
River City Council at 9:56 p.m.
Minutes prepared by Katie Porath.
John J. Dietz, Mayor
Tina Allard, City Clerk