HomeMy WebLinkAbout08-26-19 WSCITY OF LAKEVILLE
CITY COUNCIL WORK SESSION MINUTES
August 26, 2019
Mayor Anderson called the meeting to order at 6:00 p.m. in the Marion Conference Room.
Members present: Mayor Anderson, Council Members Hellier, Lee, Volk, and
Wheeler
Members absent: None
Staff present: Justin Miller, City Administrator; Allyn Kuennen, Assistant City Administrator;
Brenda Visnovec, Liquor Operations Director; Paul Oehme, Public Works Director; Jerilyn
Erickson, Finance Director; Tamara Wallace, Deputy Clerk
1. Liquor Operations Market Study
The City hired Shenehon Company to conduct a liquor operations market study to examine the
financial impacts of adding a fourth municipal liquor store at the Keokuk Avenue location.
Representatives from Shenehon Company attended the meeting to present the final market
analysis which included a full examination of the Keokuk Avenue location, owning vs. leasing the
store, having a standalone store versus being attached to retail, a proposed construction site, the
size/ timing of construction, potential impacts to the existing three stores, estimated sales of all
four stores post construction, as well as a SWOT analysis of each location.
The recommendation from Shenehon Company was to construct a fourth liquor store at the
Keokuk Avenue location that would be owned by the City, ideally surround nearby retailers, and
ultimately would become the City's flagship location. The Liquor Committee reviewed the report
at their August 20 meeting, and recommend the City Council approve obtaining design,
architectural, and construction cost estimates; as well as an RFP to obtain proposals for the
development of a possible multi -tenant retail center adjacent to the liquor store.
The Council reviewed the market analysis, and preliminarily asked about construction and
groundbreaking timeframes. The Council directed staff to move forward with next steps towards
developing an RFP for the eventual construction of the Keokuk Avenue location.
Break from 6:58 - 7.04 p.m.
2. Gateway Signage
At the 2019 retreat, the City Council discussed the possibility of improvements to the City's entry
monuments along I-35 and overpass bridge abutments to reflect the new logo/ image of Lakeville.
City Council Work Session Minutes, August 26, 2019
Page 2
Staff has worked with a sign contractor to come up with solutions to update the signage along the
I-35 corridor:
1. Cover the existing outdated logos on the bridge abutments with new color City logos:
Estimated cost between $14,000 - $23,000 (plus the cost of electrical)
2. Repaint the center band of the Fairfield water tower: Estimated cost $100,000
3. Install a new entry monument sign within the MNDOT right-of-way at CR -70: Estimated
cost $100,000 - $150,000 (requires MNDOT approval)
The Council discussed the options and decided to move forward with covering the outdated logos
on the bridge abutments with the new City logos; however, would like to get additional
information on whether to do the lighting in considering safety and cost concerns. The Council
would like to discuss an entry monument and repainting the water tower in the future.
3. Transportation Update
Mr. Oehme gave a transportation update on the following construction projects: the 2019 Street
Reconstruction, County Road 50, Hamburg Avenue, and miscellaneous roadway projects.
4/5. 2020 CIP - Facilities, Equipment, and Technology; 2020 Budget Tax Levy
Ms. Erickson outlined the remaining areas of the CIP Preview - facilities, equipment, and
technology - which included highlights of the major changes following feedback from the July 22
work session meeting. Ms. Erickson also provided an overview of the proposed 2020 property tax
levy, property tax supported funds, revenue and expenditure changes in the General Fund, and
the impact on the median home and fund balance reserves.
The 2020 property tax levy considers the City's growth, inflation, personnel needs, commodities,
replacement of vehicles, maintenance of facilities, and debt service; and is comprised of the
general fund, street reconstruction, pavement management, building, equipment, park and trail
improvements, and debt service funds. The proposed 2020 tax levy is a 7.61% increase over the
2019 tax levy reflecting an estimated tax capacity rate that is a a 2.2% decrease from the 2019 tax
rate.
The Council reviewed the preliminary tax levy and agreed to move forward with 7.61% as a
preliminary tax levy. The Council thanked staff for the efforts to be prudent and pragmatic with
the budget and asked that staff continue to explore options to reduce the overall tax levy.
Ms. Erickson outlined the next steps in the budget/ CIP process:
• September 19 - Planning Commission will review the CIP to comply with the Comp Plan
• October 7 - City Council will hold a public hearing to adopt the CIP/ Reconstruction Plan
• October 28 - Budget review of the Utility and Liquor Funds
City Council Work Session Minutes, August 26, 2019
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• November 25 - Final 2020 Budget Review/ 2019 Yearend Preview
• December 2 - Public Budget Hearing to adopt the 2020 Budget & Tax Levy, and Fee
Schedule
6. Committee/ City Administrator Updates
The Council considered the time of the City Council meetings, location and possibly televising
the work session meetings. This item will go to a future City Council meeting for community
input and further discussion.
Council Member Lee reminded the council that the storm shelter item will be on the September
25 Planning Commission agenda.
Mayor Anderson, along with some City Staff, were invited by the Chamber to participate in a
discussion on Tuesday, August 27 with a group of visitors from Azerbaijan through the US State
Department's International Visitor Leadership Program. During this meeting the group hopes to
have a "meet & greet" with the Chamber about what it does to represent the interest of local
businesses, how it recruits/ retains business, and attracts visitors to the City. The group will also
be visiting Compeer Financial as well as a local farm.
Mr. Miller was invited to participate on a panel discussion with the Sensible Land Use Coalition
to discuss the response to the recent Housing First Report. Mr. Miller will specifically speak to
the discrepancies in the report pertaining to building fees.
Council Member Hellier indicated the Dakota Broadband Board (DBB) is going through a
strategic planning process regarding the future work of the board.
7. The meeting adjourned at 9:25 p.m.
Respectfully submitted,
Deputy City Clerk Douglas Anderson, Mayor