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Minutes
Lakeville City Council Work Session
August 13, 2012
Marion Conference Room
In attendance: Mayor Mark Bellows
Council Member Laurie Rieb
Council Member Kerrin Swecker
Council Member Matt Little
Council Member Colleen LaBeau
Staff: Steve Mielke, City Administrator
Dennis Feller, Finance Director
Tom Vonhof, Police Chief
Chris Petree, Public Works Director
John Hennen, Interim Parks and Recreation Director
Julie Werner, Senior Accountant
Tom Nesseth, Senior Accountant
Dave Lang, Senior Accountant
Judi Hawkins, Deputy City Clerk
The meeting was called to order at 5:00 p.m. by Mayor Bellows.
1. Continue 2013 -2013 Budget Discussions.
City staff responded to questions raised by Council at the July 30, 2012 work session:
• Professional Development: The budget proposes an increase in the HR budget to
fund schools and conferences for employees to enhance both technical and
leadership skills.
• Building Permit Activity: The primary increase in single - family building permit activity
is attributable to Donnelly Farm, Spirit of Brandtjen Farm, Quail Ridge, Stone
Borough, and Chadwick Farm developments.
• Engineering interns: Staff obtained information from other cities and from the U of M
engineering program which found that virtually all Engineering interns are paid in
the range of $12 -15 per hour. Offering paid internships allows the City of Lakeville
to remain competitive with other cities and private engineering firms.
• Meeting Room improvements: Proposed improvements and upgrades at the Water
Treatment Facility meeting room would be made in three phases and would include
tables, chairs, carpeting, technology, lighting, smart board, etc. Staff recommends
these non - budgeted improvements be funded through the Communications Fund.
Chris Petree provided information regarding use of the room by outside groups
including the school district, FAA, etc., for training and large group meetings.
Currently, the room is only available during WTF business hours; any evening use
needs to be City- sponsored. The possibility of charging a fee for outside groups has
been discussed and a building attendant would need to be on duty if the room is
City Council Work Session Minutes
August 13, 2012
Page -2-
available after hours. LaBeau believes that local businesses would take advantage of
the room if it was made available. Swecker suggested that all of the improvements
should be completed in 2013. Little believes it is important for the improvements to
be done as an asset to the City, and not for the purpose of rental income.
• Fire Fighters: The Fire Chief provided a breakdown of reasons for the number of
firefighters who have separated from the department in the past three years.
• Code Enforcement Position: This position was eliminated in 2008 and the duties
redistributed. Staff will provide a further evaluation at a future work session.
• Canoe rack rental: Staff will solicit donations from civic organizations for possibly
more than one canoe rack.
• Boulevard mowing: Staff has contacted the County with a> proposal for the City to
resume mowing of boulevards adjacent to county roads. The county would be open
to sharing the cost by possibly turning that portion of their mowing budget over to
the City. Staff will work with the county on an agreement.
• Dodd Blvd. trail: The City has budgeted for construction of a trail along Dodd Blvd.
from CSAH 50 to 208`" Street, however, it is not in the County's CIP. The county will
discuss their participation in the project and respond to the City's application.
• Calendar: ISD 194 was approached about a collaborative calendar with the City.
This might not be suitable due to their calendar being based on a school year. Also,
sufficient space is likely not available to meet the City's needs. The school district is
considering replacing their printed calendar with an electronic version soon. The
proposal will not be pursued.
• Showmobile: John Hennen reported that the showmobile is utilized for an average
of eight events per year; total cost for the year including labor, maintenance and
insurance is $3,890: If the,showmobile is eliminated the user groups would need to
rent from a vendor individually. Bellows asked what would happen to the current
unit. Hennen stated that because the unit is owned jointly with the City of
Farmington, they might wish to take over exclusive ownership. Council requested
this item be removed from the budget.
• Debt: The City's Finance Committee has reviewed the CIP financing plan and per
capita debt. Council asked why the City doesn't issue more short -term debt, since
current interest rates are so favorable. Feller stated that additional risk is assumed
with variable interest rate debt. Cities must follow State guidelines for issuing and
repaying debt. Per State Statute a public improvement hearing needs to be held to
notify property owners of upcoming assessments; bonds cannot be issued for a
project until that project is ordered. In addition, liquidity agreements need to be put
in place to prevent the bonds from being called for payment, causing spikes in
interest rates and the tax levy. The budget proposes a gradual, steady levy for
repaying debt in order to keep the tax levy as stable as possible. The Finance
Committee will assist with preparation of the budget summary statement.
Since the July 30` budget discussion, the following issues have developed.
o Approximately 1,000 feet of watermain will be included in the Dodd Blvd. project to
accommodate future development south of Dodd (S 145,000).
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August 13, 2012
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o Scott County will be constructing a pedestrian trail as part of the improvements to
Co.Rd.8 west of Dakota Co.Rd.70. Dakota County is recommending the trail be
extended from the Scott County border east to connect to the trail at Keswick Loop.
Lakeville's cost share would be $1 12,500. Council members asked if the amount of
pedestrian and bike traffic would warrant the expenditure. Feller compared it to
Cedar Avenue where the wide shoulders make it a popular biking route. Mielke will
discuss this further with the county and return to Council with additional
information.
• Council reviewed options for Highview Avenue: turn lanes, bypass lanes, or a
widened intersection area at 190th Street. Earlier this year SRF had evaluated the
current traffic conditions and found the intersections are operating at an acceptable
level. LaBeau expressed concerns with excessive speed around the curves and gravel
getting onto the blacktop. She believes additional Crescent Ridge traffic will add to
the problem and result in more dangerous intersections. SRF recommended the City
consider left -turn bypass lanes to accommodate future additional traffic. Council
believed that a combination of north -bound and south - bound left -turn bypass lanes
and right turn lanes would be the most practical and cost-effective. Approximate
cost is $192,000. Funding could come from the 2011 unencumbered fund balance.
Staff will discuss cost share options with the adjoining property owner.
• CSAH 50 Traffic Study: A neighborhood meeting was held with property owners
adjacent to the Co. Rds. 50/60 project which includes lane widening and installation
of a multi -lane roundabout. The county also held an informational meeting for the
general public. School officials and residents have expressed .concern about access to
Co. Rd. 50 at Kenwood Trail Middle School and Jaguar Avenue. The County's initial
evaluation indicated that the roundabout will not have a negative` impact on the
CSAH 50: corridor, however, the County is open to additional discussions and further
study. City, staff believes the study should include the future east /west corridor and
anticipated connections which will increase traffic on CSAH 50. The City's cost share
of the study will be approximately $45,000.
• Community Visioning Process: Only one bid was received for the project and that
was contingent on staff supplementing a great deal of time for project research and
follow-up. The consultants who chose not to bid indicated that the $30,000 budget
is insufficient for the scope of work. Staff has now been informed that approximately
$39,000 of available CDBG funding is eligible. Staff will inform potential consultants
of an increased budget and solicit bids again.
• Ice Arena debt: Council was informed that arena operations have paid the entire
lease obligation for ice arena dehumidification equipment. The debt service fund for
2012 -2014 will be adjusted accordingly.
The Finance Director summarized the proposed tax levy. An increase of 2.5% is being
proposed for 2013 and an increase of 3.0% is being proposed for 2014. Amounts shown
reflect removing a new showmobile from the budget and adding the extended CSAH 50
study as well as turn lanes and bypass lanes for the Highview/ 190`" Street. The General
Fund is slightly less than last year.
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August 13, 2012
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Bellows stated that he would like to work with department directors to continue to look
for ways to trim the budget and wants to feel like staff is coming to Council with ideas. It
was noted that much of the budget increase is for street improvements and increased
operational costs. Bellows would like to know the impact of the increases on individual
homeowners.
Council Member Swecker stated that she will not be available for the September 24 work
session and suggested moving it to September 10. Other Council members indicated
that they would be available on September 10 Steve Mielke would like to make that an
additional work session, rather than a rescheduled meeting. Bellows would like to
continue to work with staff on possible budget reductions at the September work
sessions.
Commercial /industrial park dedication rates will be discussed at the second work session
in August, or at a September work session.
The Lakeville Area Chamber of Commerce has requested use of the Council Chambers to
conduct several forums for mayor, city council, and school board candidates. Council
members asked if a charge is imposed for the Chamber's use of the facility for non -City -
related events. They are not charged. '
The Chamber - sponsored budget open house is tentatively scheduled for October 2 or 3.
2. Adjourn
The meeting adjourned at 7:1$ p.m.
Respectfully submitted,
Judi Hawkins
Deputy Clerk
Mark Bellows
Mayor