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12-07-2009 CCMTIC THE L I' ITY IL H L T THE L I ITY' HALL Y', 7, ZD~ Members Present: Mayor 1~linzing, Councilmembers Zerwas, Westgaard, Gumphrey, and Moon Members Absent: None Staff Present: City Admi.~a.istrator Lori Johnson, Finance Director Tim Simon, Fire Chief John Cunningham, Environmental Administrator Rebecca Haug, Parks and Recreation Dixector Bill Maertz, Accountant Lori Stich, and Recording Secretary Jennifer Johnson 1. Call Meetin To Qrder Pursuant to due call and notice thereof, the meeting of the Elk River City Council was called to order at G:30 p.m. by Mayor I~linzing. 2. Consider 12/07/2009 Agenda Ms. Johnson added 5.b., a "Request by Great River Energy to Test Burn Paper Recycling Waste." Councilmember Motin requested item 3.3. be removed from the Consent Agenda for discussion. MGVED RY CGUNCILME~iPER ~IESTGA_ARD AND SEC®N'DED BY COUNCILNIEMBER GUI~IPHREY TG A,PPRGVE THE AGENDA. NIGTION CARRIED 5-0. 3. Consider Consent A enda MGVED BY CGUNCILNIE~J[EER ZER'~AS AND SECGNDED RY CGUNCILNIEM~ER WESTGAARD TG APPRQVE THE FGLLG'~~NG CGNSENT AGENDA: 3,1. CaUNCIL l~[INUTES 11/9/Q9 W®RI~SESSIaN 11/1G/Q9 REGULAR 3.2. CHECK REGISTER 3.4. ACCEPTANCE GF CERTIFICATE GF .ACHIEVENNIENT FAR EXCELLENCE IN FINANCIAL REPGRTING 3.5, RES®LUTI®N U9-G4 LEVYING SPECIAL ASSESSI~IENT FAR MATER SERVICE REPAIRS MGTIGN CARRIED 5-0. r " City Council Minutes Page 2 December 7, 2D09 3,3, SUMMARY PUBLICATION of oD~~I.AN~E Q9-1a RELA.T~NG To SOCIAL I~osTl~c~ of ALCOIHOLTO MINORS Councilmember Morin stated he would like to review this ordinance at the next worksession. rt was added to the December ~.~, 2009 Worksession. 4. ~ en Mike No one appeared for Qpen Mike. 5. ~ . 201 D Budget and Tax Levi Mayor I~lin.zing explained that the purpose of this evening's public heating was to discuss t ~e genera city budget and general tax information and that it is not a time to discuss individual property values and taxes. She stated that if individuals have questions or concerns regarding their property values, they should attend the Board of Review meeting in the spring or contact the Sherburne County Assessor's Office. Ms. Johnson briefly outlined the process of this evening's budget presentation and comment period. She stated the Council approved the proposed tax levy, 11,112,391 in September, which is the maximum tax levy the City can adopt. Ms. Johnson reviewed the tax levy by use and compared the levy with previous years. She also reviewed property tax changes and explained that a number of factors play a role in determining the property tax amount. Ms. Johnson reviewed general fund revenues and expenditures. Ms. Johnson stated that there were no new positions being added to the General Fund budget in 2010. Mr•. Simon reviewed the special revenue funds and enterprise funds. He stated that the enterprise funds are self supportive and not supported by tax dollars. Mr. Simon provided the public with a link to the Minnesota Department of Revenue website for residents to deterrrune if they qualify for a property tax refund. He stated this link is also on the City's website, He concluded that tlae council will adopt the 2010 tax levy and budget following public input and comments. Ms. Johnson stated the City's local government aid and market value homestead credit were reduced by the Governor for both 2x09 and 2010. This evening, the council will again review and consider approximately $4,100 in additional General Fund adjustments /collections. Ms. Haug presented the staff report and discussed the proposed changes to both the fee structure, in order to encourage more participation in the City's Source Separated organics ~SSO~ program, and the annual recycling rebate, Sloe stated staff is recommending no increase in the payment to the garbage haulers. Councilinember Morin had some concerns with reducing the recycling rebate and by doing so risk losing interest in the recycling program. Ms. Haug stated she was open to any suggested rebate amount to encourage participation in both programs. Mayor l~linzing opened the budget and tax levy discussion to the public for comment. Czty Counc~ Minutes December 7, 2009 Page 3 Jackie waxBeld,13902 ~- 227~h Avenue NCI, stated her property was rezoned from agricultural to residential. She asked the council why her property taxes went up 254%. She stated her property falls under the Green Acres program, Mayor Z~Iinzing stated the rezone, which goes into effect for the 2410 tax year, shouldn't have caused her taxes to increase. She suggested contacting the county assessor to determine the increase in her taxes. Ms. Johnson stated the state Legislature decided to make changes to Green Acres, the property tax deferral program and taxation of agricultural property, and as a result of these changes property owners are seeing an increase in their taxes payable in 2010. There being no one further to speak, Mayor I~linzing closed the public hearing. Mayor 1~linzing stated even though there is considerable time spent on preparing the City's budget, it is important tune well spent and complimented staff in providing cuts in their budgets. Slxe stated she felt the cuts shouldn't severely impact services for 2010, She also stated tl~at even though the City prepared in 2008 and 2009 for these cuts, she cautioned using reserve monies in the future to balance the budget. Councilmember Motin agreed with the Mayor's comments and stated he was not Comfortable with reducing the budget any further. MOVED BY COUNCILMEMBER ZERwAS AND SECONDED BY COUNCILMEMBER wESTGA.ARD TG ADOPT RESOLUTION 09-G5 AUTHORIZING THE PROPOSED PROPERTY TAB LEVY FOR COLLECTION IN 2010 IN THE AMOUNT OF ~11,11Z,391. MOTION CARRIED 5~0. After some discussion, it was decided to move the $43,10D in budget adjustments be moved into the council contingency fund to help offset any further unallottment in 2010. The motion was amended to read as follows; MOVED B'Y COUNCILMEMBER ZERV~AS AND SECONDED BY COUNCILMEMBER MOTIN TD ASCEND THE MOTION TD ADOPT THE 201U BUDGETS AS PRESENTED A.ND ADJUST THE GENERAL FUND BUDGET BY TRANSFERRING X43,100 IDENTIFIED BY STAFF IN THE STAFF REPORT TO COUNCIL CONTINGENCY, MOTION CARRIED 5p0, Councilmember Moon asked if the recycling rebate Figures should be determined at this time. He suggested raising the recycling rebate to X40/year for those residents committed to recycling at least four items as well as participating in the SSO program. Ms. Johnson stated tl~at staff would review the impact of the proposed recycling rebate changes and bring it back for council approval. ~.2. Non-Resident Fees fob Parks & Recreation Pro~r,ammin~ Mr. Maertz presented the staff report. He stated it would be difficult to determine the total Financial impact by adopting non-resident fees to programming, but thought it would be between X2,000 and $12,000, Both he and the Parks and Recreation Commission suggest that a review of the fee stt•ucture be done after one year, City Council Minutes Page 4 December 7, 2009 MOVED BY C®UNC~LMEMBER ZERwAS AND SECONDED BY COUNCILMEMBER wESTG~AARD TO APPR®VE N®N~RESrDENT FEES A5 PRESENTED ~~ THE STAFF REPORT. MOT~OI~ CARRIED 5~0. 5.3. Authozization to Advertise for Bids for Fite De artment Hea Rescue Vehicle Chief Cunningham presented the staff report. He stated some members of the l~eavy rescue vehicle truck committee were present to answer questions. Mayor T~linzing asked if it were possible to purchase a slightly used vehicle instead of a new truck, since the price of a new truck will be more than what was originally budgeted. Chief Cunningham stated it would be about the same price point and discussed concerns with technology, wear and tear, and having enough adequate space far personnel and equipment. He stated a demo tt•uck would run around $2$5,000. He stated the specs that were put together by the trick committee were bare bones and items were not added that they didn't feel weren't absolutely necessary. After discussion regarding the pros and cons of purchasing a used ~.uck, Council agreed that it would be best to approve authorization to advertise far bids for a new truck. Chief Cunningham stated they applied fot• two grants but the grants available wouldn't directly suit their current needs and felt the bidding process would provide competitive buyer power. Joseph Glowockai,1~024 -1~2n~ Clrc~e, interrupted from the audience and requested tlae vehicle purchased be made in the USA. He also asked about fire f ghters and their requirements for commercial driver's licenses. Chief Cunningham responded by stating tlae vehicle purchased would be made in the USA. He also stated that fireFghters are exempt from needing a cammercial driver's license to drive a fn.•e truck; however, they do receive extensive training to operate such a vehicle. MOVED BY COUNCILMEMBER OUMPHREVAND SECONDED B'Y COUNCILMEMBER ZERw.AS TO A.UTHORI~E ADVERTISING FOR BIDS FOR THE FIRE DEPARTMENT HEAVY RESCUE VEHICLE. MOTION CARRIED 5-0. 5.~-. U date on ackson Street dater Tower Ms. Haug presented the staff report. Councilmembers Morin and Gumplarey expressed concerns with future upkeep and maintenance of the water town and the possible costs potentially incurred by the City, Ms. Haug stated there is grant money available far restoration once the tower is considered a historic place, It was decided to continue the grant applicatson process which will determine the future of the water rawer as to whether or not it will be listed on the National Register of Historic Places, 5.5. Discuss Council Works~,5son Agendas City Council Minutes Page ~ December 7, 2009 Ms, Johnson presented the staff report, The only item added to the December ~4 worksession was review of the social host ordinance review. 5.6. Re uest b Great River Ener to Test Burn Pa er Rec clip waste Ms, Haug presented the staff report. Tim Steinbeck from Great River Energy was also present to answer questions and showed samples of the recycled waste and the outcome once it's been burned, Tentative test burn date is December 2~, 2009, MOVED ~Y C®UNC~LMEMBER wESTGAARD A.ND SECONDED ~Y CGUNCILMEM~ER GUMPHREY TD ALL®w GREAT RIVER. ENERG'Y'S REQUEST TD TEST BURN PAPER RECYCLING WASTE AS GUTLINED IN THE STAFF REPaRT, MDTI®N CARRIED 5~0, ~. other Business There was no Qther Business, 7. Counc~dates There were no Council Updates, S. Staff Updates Ms, Johnson again wanted the finance department staff to be recognized for their receipt of the certificate of achievement .for excellence in financial reporting, Ms. Johnson gave a brief update on the VA clinic stating Elk River laas five sites available and Ramsey has 3 sites under consideration as far as staff knows. More information will be presented at the next worl~session. 9. Ad'ournment There being no further business, Mayor I~linzing adjourned the meeting of the Elk River City Council at 8;04 p.m. Minutes prepared by Jennifer Johnson. r ~ ~~ ~. ~' ,~.. s "2.~ ~ ,~~::~ Tina Allard, City Clerk ~ ~~ Stepp nie ~~inzing; Mayor