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HomeMy WebLinkAbout01-02-2024 Agenda Packet AGENDA CITY COUNCIL MEETING January 2, 2024 - 6:30 PM City Hall Council Chambers Members of the public can participate in person at Lakeville City Hall, 20195 Holyoke Avenue. Members of the public may join the meeting via Teams; Meeting ID: 270 967 142 637 or by calling 1-323-433-2142; Phone Conference ID: 244 190 036#. The mayor will allow for public comments and questions at the appropriate time. The City Council is provided background information for agenda items in advance by staff and appointed commissions, committees, and boards. Decisions are based on this information, as well as City policy, practices, input from constituents, and a council member’s personal judgment. 1. Call to order, moment of silence and flag pledge 2. Roll Call 3. Citizen Comments 4. Additional agenda information 5. Presentations/Introductions a. Fire Department Retiree Recognition b. Public Works Quarterly Report c. Recognition of Retirement - Daryl Morey, Planning Director 6. Consent Agenda a. Check Register Summary b. Minutes of the 12/18/2023 Special City Council Meeting c. Minutes of the 12/18/2023 City Council Meeting d. Designation of Legal Newspaper for 2024 e. Agreement with Greystone Construction for Aronson Park Veteran’s Memorial Concrete Columns Repairs f. Agreement with Midwest Fence & Mfg. For Installation of Aronson Park Field Six Backstop g. Appoint 2024 Depositories h. Delegating Authority to Pay Claims and Electronic Fund Transfers i. Approve Statement of Work with CliftonLarsonAllen, LLP (CLA) j. Contract and resolution for drilling Well #23 Page 1 of 88 City Council Meeting Agenda January 2, 2024 Page 2 k. Resolution Accepting Donations to the Lakeville Parks & Recreation Department in the 3rd and 4th Quarters of 2023 l. Declaration of Restrictive Covenant for Antlers Park Property m. Approve policy changes to comply with Earned Sick and Safe Time 7. Action Items 8. Unfinished Business 9. New Business a. Appointment of the acting mayor for 2024 10. Announcements 11. Adjourn Page 2 of 88 Date: 1/2/2024 Check Register Summary Proposed Action Staff recommends adoption of the following motion: Move to approve the Check Register Summary. Overview A summary of the claims paid during the period 11/30/2023 – 12/29/2023 is as follows: Checks 321160-321304 $1,885,578.48 ACH 15281-15424 $1,593,797.27 Electronic Funds Transfer (EFT) 20230599- 20230631 $3,421,982.35 Total $6,901,358.10 The City Council will receive a list of expenditures paid (claims detail) and it is available to the public upon request. Supporting Information 1. 12.19.23 CKSUM 2. Check Register 12.19.23 for Jan 2,2024 Council Mtg Financial Impact: $6,901,358.10 Budgeted: Yes Source: Various Envision Lakeville Community Values: Good Value for Public Service Report Completed by: Cheri Donovan, Assistant Finance Director Page 3 of 88 12/27/2023City of Lakeville 16:57:52R55CKS2LOGIS100 1Page -Council Check SummaryNote: Payment amount may not reflect the actual amount due to data sequencing and/or data selection. 12/29/202311/30/2023 - Company Amount 487,007.2501000GENERAL FUND 3,743.7202000COMMUNICATIONS FUND 565.0002280DOWNTOWN SPECIAL SERVICES DIST 1,925.00031192017A HRA LEASE REV LIQ REF BO 663,760.6504000BUILDING FUND 14,261.5704100EQUIPMENT FUND 749.9904125TECHNOLOGY FUND 271,792.6204161ARENAS CAPITAL IMPROVEMENTS 48,778.6104200PARK DEDICATION FUND 6,413.2504401TRAIL IMPROVEMENT FUND 11,102.2304500PARK IMPROVEMENT FUND 104,575.48047002022 C PARK BONDS 76,447.45047102023 A PARK BONDS 116,629.93047202024 X PARK BONDS 33,666.9605125MENASHA TIF 68,531.9805126BTD MANUFACTURING TIF 104,288.1405129LAUNCH PROPERTIES TIF 35,094.7005130SCHNEIDERMANS TIF 23 36,249.9905131QA1 TIF 24 37,431.6505200STATE AID CONSTRUCTION FUND 61,668.4905300PAVEMENT MANAGEMENT FUND 2,150.5005400STORM WATER INFRASTRUCTURE FND 342.7005500WATER TRUNK FUND 46.00065752020 "" STREET RECONSTRUCTION 134,984.890658622-03 210TH ST LKVL BLVD RECON 6,310.25065902023 "" STREET RECONSTRUCTION 6,536.250659123-03 IPAVA AVE (KENWOOD-185TH 30,786.000659524-02 STREET RECONSTRUCTION 11,225.2607450ENVIRONMENTAL RESOURCES FUND 1,429.18-07550 UTILITY FISCAL ADMINISTRATION 15,675.0507575STREET LIGHTING FUND 89,604.1107600WATER FUND 4,056.1707700SEWER FUND 996,331.9807800LIQUOR FUND 29,232.3207900MUNICIPAL RESERVES FUND 54,694.7408000ESCROW FUND - DEVELOPERS/BUILD 2,941.35-08910 ESCROW - DCA/SECTION 125 734,366.5208950DAKOTA 911 - OPERATING FUND 7,392.0008954DAKOTA 911 - CAPITAL PROJECTS 94,598.8908970LAKEVILLE ARENAS - OPERATIONS 2,502,710.3409800PAYROLL CLEARING FUND Page 4 of 88 12/27/2023City of Lakeville 16:57:52R55CKS2LOGIS100 2Page -Council Check SummaryNote: Payment amount may not reflect the actual amount due to data sequencing and/or data selection. 12/29/202311/30/2023 - Company Amount Report Totals 6,901,358.10 Page 5 of 88 CITY OF LAKEVILLE SPECIAL CITY COUNCIL MEETING MINUTES DECEMBER 18, 2023 Mayor Hellier called the meeting to order at 5:16 p.m. Members Present: Mayor Hellier, Council Members Bermel, Lee, Volk, and Wolter. Members Absent: None Closed meeting for the purpose of conducting a performance evaluation of City Administrator Justin Miller pursuant to MN Statute 13D.05 subd. 3(a). Motion to Close the Meeting Motion was made by Council member Volk, seconded by Council member Bermel, to close the meeting for the purpose of conducting a performance evaluation of City Administrator Justin Miller pursuant to MN Statute 13D.05 subd. 3(a). Roll call was taken on the motion. Ayes – 5 The City Council met in closed session to conduct the performance evaluation of City Administrator Miller. The Council will summarize its conclusions at the December 18, 2023 regular meeting. Motion to Open the Meeting Motion was made by Council member Bermel, seconded by Council member Wolter to open the meeting. Roll call was taken on the motion. Ayes – 5 Adjourn Motion was made by Council member Volk, seconded by Council member Lee to adjourn the meeting at 6:02 p.m. Roll call was taken on the motion. Ayes – 5 Respectfully submitted, ______________________________________ Tammy Schutta, Human Resources Manager ______________________________________ Luke M. Hellier, Mayor Page 6 of 88 MINUTES CITY COUNCIL MEETINGS December 18, 2023 - 6:30 PM Lakeville City Hall 1.Call to order, moment of silence and flag pledge Mayor Hellier called the meeting to order at 6:30 p.m. 2.Roll Call Members Present: Mayor Hellier, Council Members Bermel, Lee, Volk, Wolter Staff Present: Justin Miller, City Administrator; Andrea McDowell Poehler, City Attorney; Julie Stahl, Finance Director; John Hennen, Parks & Recreation Director; Daryl Morey, Planning Director; Allyn Kuennen, Assistant City Administrator; Ann Orlofsky, City Clerk; Courtney Miller, Assistant to the City Administrator; Brad Paulson, Police Chief; Paul Oehme, Public Works Director; Tina Goodroad, Community Development Director 3.Citizen Comments John Ness addressed the City Council on the potential residential development a 14-acre Parcel on Kenwood Trail Middle School. Mr. Ness distributed a flow chart that depicts the decision-making process for this Comprehensive Land Use Amendment Approval. He would encourage residents to provide feedback at the public meetings as this goes through the approval process. 4.Additional agenda information None 5.Presentations/Introductions a.Recognition of Lakeville Arenas Staff Brian Arneson, Lakeville Hockey Association, and Jake Taylor, Head Coach for Lakeville North Hockey explained that the association donated $1000 to put on a light show for the Lakeville North Hockey home opener. Mr. Arneson & Mr. Taylor wanted to personally recognize the staff at Lakeville Arenas Manager Joe Berquist, and Nick Ames for working extra shifts to run wires and help get everything set up for this event. b.Donation to the Yellow Ribbon Program from the Lakeville Liquors Customers Liquor Operations Director Wold and the Lakeville Liquors Managers presented a check for $35,756.63 to the Yellow Ribbon Program. 6.Consent Agenda Motion was made by Bermel, seconded by Volk, to remove Item 6J. Legislative Priorities, Page 7 of 88 City Council Meetings Minutes December 18, 2023 Page 2 and move it to item B under Additional Items and approve the following consent agenda: Voice vote was taken on the motion. Ayes - Hellier, Bermel, Lee, Volk,Wolter Motion was made by Volk, seconded by Lee, to approve the Item B under Additional Items. Voice vote was taken on the motion. Ayes - Hellier, Bermel, Lee, Volk Abstain: Wolter, abstained due to a potential conflict with beer and wine sales. a.Check Register Summary b.Minutes of the 12/04/2023 City Council Meeting c.Minutes of the 11/27/2023 City Council Work Session d.Minutes of the 12/11/2023 City Council Work Session e.2024 Business License Renewals f.Resolution No. 23-147 Accepting Donations on Behalf of Lakeville Liquors Customers to The Yellow Ribbon Program g.First Amendment to Naming Rights Agreement for Hasse Arena h.Resolution No. 23-148 Approve 2024 Opioid Settlement Fund Budget i.Resolution No. 23-149 Election of Non-Waiver of Statutory Municipal Tort Liability Limits j.City of Lakeville 2024 Legislative Priorities k.Professional Services Contract for Water Tower Inspection and Cleaning l.Agreement for Waste Refuse Collection from City Facilities and Park Areas m.Contract for Fire Alarm and Life Safety Services n.Resolution No. 23-150 Accepting Donation to the Lakeville Police Department o.Resolution 23-151 Approving Summers Creek 3rd Addition final plat p.Gilb Fitzpatrick Second Addition Final Plat Extension q.CDBG Subrecipient Agreement with DARTS for 2024 LOOP Senior Bus Service, Senior Outdoor Chores and Minor Home Repairs r.Resolution 23-152 Granting Spectrum Mid-America, LLC (f.k.a. Charter Cable Partners, LLC) a franchise extension to December 31, 2024 s.Resolution No. 23-153 approving 2024 salaries for seasonal employees t.Resolution No. 23-154 Amending the 2023 and 2024 Budgets u.Labor Agreement with Law Enforcement Labor Services, Inc. Location 128 (Police Officers) for 2024 - 2026 v.Labor Agreement with Teamsters, Local No. 320 7.Action Items a.Public Hearing on The Moments of Lakeville City Engineer Zach Johnson presented the staff report on the vacation of easement for The Moments of Lakeville. The representatives of TMSC of Lakeville, LLC are requesting the vacation of excess Kenyon Avenue right-of-way so they can purchase the Page 8 of 88 City Council Meetings Minutes December 18, 2023 Page 3 vacated right-of-way along with Outlot A, Kenyon retail from the City for their private use. The right-of-way vacation and sale of City property requires The Moments of Lakeville to establish a drainage and utility easement over the vacated right-of-way and City approval of a stormwater maintenance agreement for the private stormwater pounding area. Mayor Hellier opened the public hearing at 6:51 p.m. There were no comments from the public. Motion was made by Bermel, seconded by Volk, to close the public hearing: Voice vote was taken on the motion. Ayes - Hellier, Bermel, Lee, Volk, Wolter Motion was made by Lee, seconded by Wolter, to approve a resolution vacating the Kenyon Avenue right-of-way and adopt a resolution approving the conveyance of property, a purchase and sale agreement for the conveyance of City property, and a stormwater maintenance agreement. Roll Call was taken on the motion. Ayes - Hellier, Bermel, Lee, Volk, Wolter b.2023 Envision Lakeville Report Assistant to the City Administrator Courtney Miller presented the staff report. Miller explained that the plan sets forth a 25-year vision for the future of Lakeville by outlining a set of community values and strategic priorities while providing a list of key initiatives and an action plan to make the vision a reality. This plan will be reviewed every five years to ensure the vision is still relevant as the city grows and develops. Motion was made by Volk, seconded by Bermel, to accept the 2023 Envision Lakeville Report. Voice vote was taken on the motion. Ayes - Hellier, Bermel, Lee, Volk, Wolter 8.Unfinished Business None 9.New Business a.Report on City Administrator's Performance Evaluation Lee stated that the City Council completed an annual performance review for City Administrator Justin Miller on Monday, December 18, 2023 at a special closed meeting. Mr. Miller represents the City’s interests on various boards, such as Lakeville Arenas, Dakota 911, ALF, and Municipal Legislative. Mr. Miller is also the lead legislative advocate, working with legislators at both state and federal levels. Mr. Miller holds ultimate responsibility for the organization’s performance and end results, providing leadership and direction to department heads and staff. Mr. Miller’s review focuses on his leadership, presence in the community, and Page 9 of 88 City Council Meetings Minutes December 18, 2023 Page 4 communications with the Council, the public and employees. We find Mr. Miller’s performance continues to be at an exceptional level, consistently exceeding expectations and delivering outstanding results for the city. As per Mr. Miller’s employment agreement and based on the outcome of this evaluation, we recommend that his annual pay increase to $228,977.60, effective January 1, 2024. Motion was made by Bermel, seconded by Wolter, to approve the report summarized by the personnel committee and set the City Administrator's salary at $228,977.60, effective January 1, 2024. Roll call was taken on the motion. Ayes - Hellier, Bermel, Lee, Volk, Wolter The City Administrator thanked the Council and recognized the teamwork it takes between staff and the Council to accomplish all of this. 10.Announcements a.Next Regular Meeting Tuesday, January 2, 2024 b.Next Work Session Meeting January 22, 2024 11.Adjourn Motion was made by Volk, seconded by Bermel, to adjourn at 7:03 p.m. Voice vote was taken on the motion. Ayes - Hellier, Bermel, Lee, Volk, Wolter Respectfully Submitted, __________________________________ Ann Orlofsky, City Clerk ____________________________ Luke M. Heller, Mayor Page 10 of 88 Date: 1/2/2024 Designation of Legal Newspaper for 2024 Proposed Action Staff recommends adoption of the following motion: Move to designate the Sun Thisweek as Lakeville's official legal newspaper for 2024. Overview Minnesota Statute 412.831 requires annual designation of an Official Newspaper: "The council shall, annually at its first meeting of the year, designate a legal newspaper of general circulation in the city as its official newspaper, in which shall be published such ordinances and other matters as are required by law to be so published and such other matters as the council may deem it advisable and in the public interest to have published in this manner." As required, each year the City designates a newspaper to be used for its legal notices. We have designated Sun Thisweek the last two years. Due to the local nature of the newspaper and free online access (for legal notices), staff is recommending that we opt for Sun Thisweek. The deadlines coincide with our City Council and Planning Commission meetings. This paper currently qualifies for designation as a legal newspaper. It is delivered via USPS to 7,100 subscribers. Online pages views per month 109,301. Supporting Information 1. Bids for Legal Newspaper 2024 Financial Impact: $30,000 Budgeted: Yes Source: Attached Bids Envision Lakeville Community Values: Good Value for Public Service Report Completed by: Tierney Helmers Page 11 of 88 Page 12 of 88 Tierney Helmers City of Lakeville Hi Tierney, Thank you for the opportunity to bid on the public notice publications for City of Lakeville. The Saint Paul Pioneer Press is a Daily Newspaper located in Saint Paul, MN, primarily serving Ramsey, Dakota, Washington, and Anoka counties and Western Wisconsin. Our Legal Publication rates for all notices for 2024 are as follows: $7.28 per column inch per publication (this = $0.52 per line, there are 14 lines per column inch) Sunday full circulation is 136,492 – however, you may publish a notice on any day of the week. Deadline to submit legal notices (please note, holidays will have early deadlines): Deadlines for Liner (text only) ads. Publication day Deadline to submit materials Monday Friday 4 pm Tuesday Monday 12 pm Wednesday Tuesday 12 pm Thursday Wednesday 12 pm Friday Thursday 12 pm Saturday Friday 11 am Sunday Thursday 4 pm All legal notices should be emailed to legals@pioneerpress.com. Once we receive your request, you’ll receive a confirmation email and will be contacted shortly. You will be emailed a proof (which includes the cost) and an affidavit will be emailed within 7 days of publication. Thank you for considering the Saint Paul Pioneer Press as the official legal newspaper for City of Lakeville. Please let me know if you have any questions, we look forward to partnering with you in the coming year. Thank you, True Lee – Advertising tlee@pioneerpress.com Deadlines for Display ads. Notice includes chart, graphics, map, or any special formatting. Publication day Deadline to submit materials. Monday Friday 3 pm Tuesday Monday 11 am Wednesday Tuesday 11 am Thursday Wednesday 11 am Friday Thursday 11 am Saturday Friday 10 am Sunday Thursday 3 pm Page 13 of 88 From:Deleeuw, Elizabeth To:Helmers, Tierney Subject:RE: City of Lakeville / Legal Notice placement question Date:Tuesday, December 12, 2023 10:52:13 AM Attachments:image008.png image009.png image010.png image011.png image012.png image013.png image014.png image015.png Hi Tierney. Thanks for the email and I appreciate the heads up. I thought you were on this email communication. Here’s the information and hope to work with you in 2024! Thanks for the email. Here is the information below (in green also) including our rates. Rates are the same as 2023. 2024 DESIGNATED LEGAL NEWSPAPER RATES: • $1.58 per line per day. Approximately $17.90 per column inch. 12 lines per column inch. • Notices are charged per line not per column inch, so you are not paying for space you are not using. • Pricing applies to legal notices/public hearing notices only. No rate increase for 2024. Thanks so much, Liz Click here to view this email in your browser. Page 14 of 88 Why choose Star Tribune when it comes to Legal Notices? Because we offer everything you need to be successful, including a simple placement process, fair rates, timely turnaround, and the legal qualification to meet all statute requirements. 2024 DESIGNATED LEGAL NEWSPAPER RATES: • $1.58 per line per day. Approximately $17.90 per column inch. 12 lines per column inch. • Notices are charged per line not per column inch, so you are not paying for space you are not using. • Pricing applies to legal notices/public hearing notices only. PLACEMENT: • Minnesota Statute 412.831 requires annual designation of an official newspaper. Star Tribune is a qualified legal newspaper, publishing legal notices 7 days per week. • Primary areas served: Anoka County, Ramsey County, Dakota County, Hennepin County, Scott County, Carver County, Wright County, and Sherburne County. • Legal notices will also run on StarTribune.com at no extra charge. • Legal Notices will also run on the MNA Public Notice website at no extra charge, a requirement for the State of Minnesota. https://www.mnpublicnotice.com DEADLINES - (applies to placement, changes & Page 15 of 88 cancellations): • Two days prior to first publication date at 4pm CST. • Legal display deadlines are advanced 24-48 hours. • Deadlines will be advanced for holidays/special occasions. • Affidavits must be emailed 24-48 business hours after last publication date. Monday: Friday 4pm Tuesday: Friday 4pm Wednesday: Monday 4pm Thursday: Tuesday 4pm Friday: Wednesday 4pm Saturday: Thursday 4pm Sunday: Friday 4pm CIRCULATION: • Sunday - 206,724 • Monday - 98,486 • Tuesday - 98,486 • Wednesday - 98,486 • Thursday - 98,486 • Friday - 98,486 • Saturday - 98,486 Star Tribune Print, DMA (AAM News Media Statement, September 30 2022) For more information and to advertise, contact Liz Deleeuw or Josh Windschill or email placeads@startribune.com or call 612-673-7000. Liz Deleeuw Star Tribune Account Executive – Legals, Classifieds, Employment 612-743-0133 elizabeth.deleeuw@startribune.com Page 16 of 88 Date: 1/2/2024 Agreement with Greystone Construction for Aronson Park Veteran’s Memorial Concrete Columns Repairs Proposed Action Staff recommends adoption of the following motion: Move to approve Agreement with Greystone Construction for the repairs of concrete columns at the Aronson Park Veteran’s Memorial. Overview The 2024 Parks CIP includes funding for the repair of concrete columns at Aronson Park Veteran’s Memorial. The stone columns are in need of repair because of damage caused by time and water infiltration. Staff have met with multiple professionals to determine the best project plan that will provide a longer life and maintain the current aesthetic value without complete removal and reconstruction. The mortar between the stones is failing and some of the stones have cracked. The project will repair all the mortar and cracks and includes removal and replacement of the column caps. The new column caps will be constructed to shed rainwater off of the columns and extend their life. The total approved budget for the project is $25,000. Proposals were received from three contractors with the low proposal of $23,885.50 submitted by Greystone Construction. Staff is recommending the Mayor and City Council approve the Agreement with Greystone Construction for a total project cost of $23,885.50. Supporting Information 1. Aronson Vet's Memorial Concrete Columns Agreement 2. Proposal Results - Concrete Columns Financial Impact: $23,885.50 Budgeted: Yes Source: Park Improvement Fund Envision Lakeville Community Values: Access to a Multitude of Natural Amenities and Recreational Opportunities Report Completed by: Mark Kruse, Parks Superintendent Page 17 of 88 1 223319v1 AGREEMENT BETWEEN CITY OF LAKEVILLE AND GREYSTONE CONSTRUCTION FOR ARONSON PARK VETERAN’S MEMORIAL CONCRETE COLUMNS REPLACEMENT THIS AGREEMENT made this 2nd day of January 2024, by and between the CITY OF LAKEVILLE, a Minnesota municipal corporation (“Owner” or “City”) and GREYSTONE CONSTRUCTION a Minnesota corporation (“Contractor”). Owner and Contractor, in consideration of the mutual covenants set forth herein, agree as follows: 1. CONTRACT DOCUMENTS. The following documents shall be referred to as the “Contract Documents”, all of which shall be taken together as a whole as the contract between the parties as if they were set verbatim and in full herein: A. This Agreement. B. Contractor’s Proposal dated October 16, 2023. In the event of a conflict among the provisions of the Contract Documents, the order in which they are listed above shall control in resolving any such conflicts. Contract Document “A” has the first priority and Contract Document “B” has the last priority. 2. OBLIGATIONS OF THE CONTRACTOR. The Contractor shall provide the goods, services, and perform the work in accordance with the Contract Documents (“Work”). Contractor shall provide all personnel, supervision, services, materials, tools, equipment and supplies and do all things necessary and ancillary thereto specified in the Contract Documents. Contractor shall not begin any work until the City has received the signed contract and has reviewed and approved the insurance certificates and has given the Contractor a written notice to proceed. Contractor shall exercise the same degree of care, skill, and diligence in the performance of the services as is ordinarily possessed and exercised by a contractor under similar circumstances. City shall not be responsible for discovering deficiencies in the accuracy of Contractor’s services. 3. CONTRACT PRICE. Owner shall pay Contractor for completion of the Work, in accordance with the Contractor’s Proposal, in the amount of $23,885.50 which is inclusive of all taxes and reimbursable expenses. Additional work performed without the City’s written approval will not entitle Contractor to an increase in the Contract Price or an extension of the Contract Time. 4. PAYMENT PROCEDURES. A. Contractor shall submit Applications for Payment. Applications for Payment will be processed by the Parks Superintendent. When the obligations of the Contractor have been fulfilled, inspected, and accepted, the City will pay the Contractor. Such payment shall be made not later than thirty (30) days after completion, certification thereof, and invoicing by the Contractor. Page 18 of 88 2 223319v1 B. Progress Payments; Retainage. Owner shall make 95% progress payments on account of the Contract Price on the basis of Contractor’s Applications for Payment during performance of the Work. C. Form IC-134 (attached) required from general contractor. Minn. Stat. § 290.92 requires that the City of Lakeville obtain a Withholding Affidavit for Contractors, Form IC-134, before making final payments to Contractors. This form needs to be submitted by the Contractor to the Minnesota Department of Revenue for approval. The form is used to receive certification from the state that the vendor has complied with the requirement to withhold and remit state withholding taxes for employee salaries paid. D. Final Payment. Upon final completion of the Work, Owner shall pay the remainder of the Contract Price as recommended by the Parks Superintendent. Final completion shall be when all of the work is completed per the contract. 5. COMPLETION DATE. The Work must be completed by July 3, 2024. 6. CONTRACTOR’S REPRESENTATIONS. A. Contractor has examined and carefully studied the Contract Documents and other related data identified in the Contract Documents. B. Contractor has visited the Site and become familiar with and is satisfied as to the general, local, and Site conditions that may affect cost, progress, and performance of the Work. C. Contractor is familiar with and is satisfied as to all federal, state, and local laws and regulations that may affect cost, progress, and performance of the Work. D. Contractor has carefully studied all: (1) reports of explorations and tests of subsurface conditions at or contiguous to the Site and all drawings of physical conditions in or relating to existing surface or subsurface structures at or contiguous to the Site (except Underground Facilities) which have been identified in the General Conditions and (2) reports and drawings of a Hazardous Environmental Condition, if any, at the site. E. Contractor has obtained and carefully studied (or assumes responsibility for doing so) all additional or supplementary examinations, investigations, explorations, tests, studies, and data concerning conditions (surface, subsurface, and Underground Facilities) at or contiguous to the Site which may affect cost, progress, or performance of the Work or which relate to any aspect of the means, methods, techniques, sequences, and procedures of construction to be employed by Contractor, including any specific means, methods, techniques, sequences, and procedures of construction expressly required by the Bidding Documents, and safety precautions and programs incident thereto. Page 19 of 88 3 223319v1 F. Contractor does not consider that any further examinations, investigations, explorations, tests, studies, or data are necessary for the performance of the Work at the Contract Price, within the Contract Times, and in accordance with the other terms and conditions of the Contract Documents. G. Contractor has correlated the information known to Contractor, information and observations obtained from visits to the Site, reports and drawings identified in the Contract Documents, and all additional examinations, investigations, explorations, tests, studies, and data with the Contract Documents. H. The Contract Documents are generally sufficient to indicate and convey understanding of all terms and conditions for performance and furnishing of the Work. 7. SUBCONTRACTORS. Contractor shall not enter into subcontracts for services provided under this Agreement without the express written consent of the City. Contractor shall comply with Minnesota Statutes § 471.425. Contractor must pay subcontractor for all undisputed services provided by subcontractor within ten (10) days of Contractor’s receipt of payment from City. Contractor must pay interest of one and five-tenths percent (1.5%) per month or any part of a month to subcontractor on any undisputed amount not paid on time to subcontractor. The minimum monthly interest penalty payment for an unpaid balance of One Hundred and no/100 Dollars ($100.00) or more is Ten and no/100 Dollars ($10.00). 8. WORKER’S COMPENSATION. The Contractor shall obtain and maintain for the duration of this Contract, statutory Worker’s Compensation Insurance and Employer’s Liability Insurance as required under the laws of the State of Minnesota. 9. INSURANCE. Prior to the start of the project, Contractor shall furnish to the City a certificate of insurance showing proof of the required insurance required under this Paragraph. Contractor shall take out and maintain or cause to be taken out and maintained until six (6) months after the City has accepted the public improvements, such insurance as shall protect Contractor and the City for work covered by the Contract including workers’ compensation claims and property damage, bodily and personal injury which may arise from operations under this Contract, whether such operations are by Contractor or anyone directly or indirectly employed by either of them. The minimum amounts of insurance shall be as follows: Commercial General Liability (or in combination with an umbrella policy) $2,000,000 Each Occurrence $2,000,000 Products/Completed Operations Aggregate $2,000,000 Annual Aggregate The following coverages shall be included: Premises and Operations Bodily Injury and Property Damage Personal and Advertising Injury Blanket Contractual Liability Products and Completed Operations Liability Page 20 of 88 4 223319v1 Automobile Liability $2,000,000 Combined Single Limit – Bodily Injury & Property Damage Including Owned, Hired & Non-Owned Automobiles Workers Compensation Workers’ Compensation insurance in accordance with the statutory requirements of the State of Minnesota, including Employer’s Liability with minimum limits are as follows: $500,000 – Bodily Injury by Disease per employee $500,000 – Bodily Injury by Disease aggregate $500,000 – Bodily Injury by Accident The Contractor’s insurance must be “Primary and Non-Contributory”. All insurance policies (or riders) required by this Contract shall be (i) taken out by and maintained with responsible insurance companies organized under the laws of one of the states of the United States and qualified to do business in the State of Minnesota, (ii) shall name the City, its employees and agents as additional insureds (CGL and umbrella only) by endorsement which shall be filed with the City. A copy of the endorsement must be submitted with the certificate of insurance. Contractor’s policies and Certificate of Insurance shall contain a provision that coverage afforded under the policies shall not be cancelled without at least thirty (30) days’ advanced written notice to the City, or ten (10) days’ notice for non-payment of premium. An Umbrella or Excess Liability insurance policy may be used to supplement Contractor’s policy limits on a follow-form basis to satisfy the full policy limits required by this Contract. 10. WARRANTY. The Contractor shall be held responsible for any and all defects in workmanship and materials which may develop in any part of the contracted service, and upon proper notification by the City shall immediately replace, without cost to the City, any such faulty work for a period of one year post substantial completion of the project. 11. INDEMNIFICATION. To the fullest extent permitted by law, Contractor agrees to defend, indemnify and hold harmless the City, and its employees, officials, and agents from and against all claims, actions, damages, losses and expenses, including reasonable attorney fees, arising out of Contractor’s negligence or its performance or failure to perform its obligations under this Contract. Contractor’s indemnification obligation shall apply to subcontractor(s), or anyone directly or indirectly employed or hired by Contractor, or anyone for whose acts Contractor may be liable. Contractor agrees this indemnity obligation shall survive the completion or termination of this Contract. 12. PERFORMANCE AND PAYMENT BONDS. Performance and Payment Bonds are not required. 13. MISCELLANEOUS. A. Owner and Contractor each binds itself, its partners, successors, assigns and legal representatives to the other party hereto, its partners, successors, assigns and legal Page 21 of 88 5 223319v1 representatives in respect to all covenants, agreements, and obligations contained in the Contract Documents. B. Any provision or part of the Contract Documents held to be void or unenforceable under any law or regulation shall be deemed stricken, and all remaining provisions shall continue to be valid and binding upon Owner and Contractor, who agree that the Contract Documents shall be reformed to replace such stricken provision or part thereof with a valid and enforceable provision that comes as close as possible to expressing the intention of the stricken provisions. C. Data Practices/Records. (1) All data created, collected, received, maintained or disseminated for any purpose in the course of this Contract is governed by the Minnesota Government Data Practices Act, Minn. Stat. Ch. 13, any other applicable state statute, or any state rules adopted to implement the act, as well as federal regulations on data privacy. (2) All books, records, documents and accounting procedures and practices to the Contractor and its subcontractors, if any, relative to this Contract are subject to examination by the City. D. All reports, plans, models, software, diagrams, analyses, and information generated in connection with performance of this Agreement shall be the property of the City. The City may use the information for its purposes. E. Patented devices, materials and processes. If the Contract requires, or the Contractor desires, the use of any design, devise, material or process covered by letters, patent or copyright, trademark or trade name, the Contractor shall provide for such use by suitable legal agreement with the patentee or owner and a copy of said agreement shall be filed with the Owner. If no such agreement is made or filed as noted, the Contractor shall indemnify and hold harmless the Owner from any and all claims for infringement by reason of the use of any such patented designed, device, material or process, or any trademark or trade name or copyright in connection with the Project agreed to be performed under the Contract, and shall indemnify and defend the Owner for any costs, liability, expenses and attorney's fees that result from any such infringement. F. In providing services hereunder, Contractor shall abide by all statutes, ordinances, rules and regulations pertaining to the provisions of services to be provided. G. Assignment. Neither party may assign, sublet, or transfer any interest or obligation in this Contract without the prior written consent of the other party, and then only upon such terms and conditions as both parties may agree to and set forth in writing. Page 22 of 88 6 223319v1 H. Waiver. In the particular event that either party shall at any time or times waive any breach of this Contract by the other, such waiver shall not constitute a waiver of any other or any succeeding breach of this Contract by either party, whether of the same or any other covenant, condition or obligation. I. Governing Law/Venue. The laws of the State of Minnesota govern the interpretation of this Contract. In the event of litigation, the exclusive venue shall be in the District Court of the State of Minnesota for Dakota County. J. Severability. If any provision, term or condition of this Contract is found to be or become unenforceable or invalid, it shall not affect the remaining provisions, terms and conditions of this Contract, unless such invalid or unenforceable provision, term or condition renders this Contract impossible to perform. Such remaining terms and conditions of the Contract shall continue in full force and effect and shall continue to operate as the parties’ entire contract. K. Entire Agreement. This Contract represents the entire agreement of the parties and is a final, complete and all-inclusive statement of the terms thereof, and supersedes and terminates any prior agreement(s), understandings or written or verbal representations made between the parties with respect thereto. L. Permits and Licenses; Rights-of-Way and Easements. The Contractor shall give all notices necessary and incidental to the construction and completion of the Project. The City will obtain all necessary rights-of-way and easements. The Contractor shall not be entitled to any additional compensation for any construction delay resulting from the City’s not timely obtaining rights-of-way or easements. M. If the work is delayed or the sequencing of work is altered because of the action or inaction of the Owner, the Contractor shall be allowed a time extension to complete the work but shall not be entitled to any other compensation. N. This Agreement may be terminated by the City for any reason or for convenience upon written notice to the Contractor. In the event of termination, provided Contractor is not in default of the Contract, the City shall pay the Contractor for completed Work. OWNER: CONTRACTOR: CITY OF LAKEVILLE GREYSTONE CONSTRUCTION BY: ____________________________ BY: ____________________________ Luke M. Hellier, Mayor Its: _______________________ AND ___________________________ Ann Orlofsky, City Clerk Page 23 of 88 Contractor Proposal Amount Greystone Construction $23,885.50 Fredrickson Masonry $25,260.00 Acme Tuckpointing and Restoration $30,875.00 Proposal Results Aronson Park Veteran's Memorial Concrete Columns Replacement 12/7/2023 Page 24 of 88 Date: 1/2/2024 Agreement with Midwest Fence & Mfg. For Installation of Aronson Park Field Six Backstop Proposed Action Staff recommends adoption of the following motion: Move to approve Agreement with Midwest Fence & Mfg. for Installation of Aronson Park Field Six Backstop. Overview The City of Lakeville is seeking to replace the current 16 foot tall backstop with a 24 foot tall backstop on field #6 at Aronson Park. The 24 foot tall backstop will provide additional protection needed during softball events. This is an ongoing replacement project within the Parks system and will be the fourth backstop out of nine at Aronson to be replaced. Two contractors provided proposals for this project. The high proposal was provided by Town and Country Fence in the amount of $22,275.00 and the low proposal was from Midwest Fence & Mfg. in the amount of $20,987.00. At this time, staff is recommending that the Mayor and City Council approve the Agreement with Midwest Fence & Mfg. at a cost of $20,987.00. Supporting Information 1. Aronson Park Field 6 Backstop Agreement 2. Midwest Fence - Aronson Park Field #6 backstop Financial Impact: $20,987.00 Budgeted: Yes Source: Major Maintenance Envision Lakeville Community Values: Good Value for Public Service Report Completed by: Paul Miskimen, Parks Supervisor Page 25 of 88 Page 26 of 88 Page 27 of 88 Page 28 of 88 Page 29 of 88 Page 30 of 88 Page 31 of 88 Page 32 of 88 Quantity Lakeville MN 55044 Aronson Park Field #6 Restoration by others 12' high 2" x 9ga galvanized fabric on upper half 12' high 2" x 6ga galvanized fabric on lower half Mobile: Furnish and install 1 Midwest Fence & Mfg. South St. Paul, MN 55075 Phone: 651.451.2222 | Fax: 651.451.6939 525 E. Villaume Ave. Lakeville, City of Contact:Paul Miskimen 12/18/2023 Office:952-985-272020195 Holyoke Ave Date:Company: Address: State:55044 Cell:952-985-4719 Backstop 24' high 10 x 20 x 10 Email: Zip:PO 612-282-9808 Amount Estimator: Lakeville Description 8500 202nd St W Job Site: ToddR@Midwestfenceco.com City:MN Todd Renfors Removal and disposal of existing backstop and maintenance strip 4" 40 weight commercial grade galvanized posts set in 12" x 54" concrete footings 1 5/8" 40 weight commercial grade galvanized rails (6 total) Concrete maintenance strip to be installed under backstop Total materials and labor www.midwestfence.com Customer Signature A Service charge of 1.5% (18% annually) will be applied on all past due balances. The purchaser shall be responsible for any and all collection and legal costs incurred by Midwest Fence in the event of this bill becomming past due. Midwest Fence reserves the right to lien the improved property if payment in full as agreed to in this contract is not received.Date TOTAL 20,987.00$ Fence lines, property lines and elevations to be provided by owner, construction manager or general contractor. ALL permits, fees and private utilities are the sole responsibility of the customer. Unless otherwise stated, owner is responsible for obstruction removal of every nature which will interfere with the fence installation. This proposal assumes normal ground conditions and excludes installation through rock, concrete and backfill. Unless otherwise stated, ALL hand digging is excluded. Should rocky or excessive hard digging be encountered, this proposal is subject to additional labor costs. Midwest Fence shall furnish only the materials and labor specified in this proposal. Any deviation from the above specifications will be subject to a change order. Proposal is valid for 30 days. Page 33 of 88 Date: 1/2/2024 Appoint 2024 Depositories Proposed Action Staff recommends adoption of the following motion:: Move to approve resolution appointing depositories for the City of Lakeville. Overview Minnesota Statute §118A.02 states that the City Council shall designate as a depository of its funds, one or more financial institutions, and that the City Council may authorize the city treasurer to make investments of funds under sections 118A.01 to 118A.06 or other applicable law. The governing body is responsible for deciding where public funds will be deposited. Most government entities designate a depository on either an annual or biennial basis. All checking and controlled disbursement accounts for the City are at U.S. Bank. The checking account for ALF Ambulance is at Wells Fargo Bank. U.S. Bank sweeps funds to or from the 4M Money Market at the end of each day which eliminates the need to monitor collateral and ensures the City’s deposits are compliant with state statute requirements. The balance in the ALF Ambulance account is minimal but is monitored for collateral requirements by City staff. All Lakeville banks and current/anticipated financial security dealers are included as additional depositories. Investments are made in accordance with Minnesota State Statutes and City of Lakeville Investment Policy. Short-term cash flow needs are held in the 4M money market fund. The Auditors confirm that the investments and cash management practices are appropriately handled in accordance with the approved policies and generally accepted accounting procedures. Supporting Information 1. Resolution - Appoint Depositories Financial Impact: $0 Budgeted: No Source: Investment Policy Envision Lakeville Community Values: Good Value for Public Service Report Completed by: Julie Stahl, Finance Director Page 34 of 88 CITY OF LAKEVILLE RESOLUTION NO. ____ Resolution Appointing Depositories for the City of Lakeville WHEREAS, Minnesota Statute §118A.02, subd. 1 states that the City Council shall designate, as a depository of its funds, one or more financial institutions, and that the City Council may authorize the City treasurer to make investments of funds under sections 118A.01 to 118A.06 or other applicable law; and WHEREAS, all deposits of public funds will be insured or secured in accordance with Minnesota Statute §118A.03; and NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Lakeville, Minnesota as follows: 1. The Mayor and Treasurer are hereby authorized to execute any required documents with depositories named below, including signature cards and agreements. 2. The Treasurer (or designee) is hereby authorized to invest City funds under sections 118A.01 to 118A.06 or other applicable law with depositories named below. 3. U.S. Bank N.A. will be the primary depository of the City. 4. Well Fargo Bank N.A. will be the primary depository for ALF Ambulance. 5. The following institutions are hereby named additional depositories subject to legal compliance with maximum deposit and collateral requirements: Affinity Plus Federal Credit Union – 17555 Kenwood Trl BMO Harris – 17636 Kenwood Trl Citizens Bank – 18476 Kenrick Ave Compeer Financial – 21088 Keswick Loop Frandsen Bank & Trust– 20280 Iberia Ave Genisys Credit Union – 16106 Pilot Knob Road Great Southern Bank – 10880 175th St W Huntington Bank – 17269 Kenyon Ave Lakeview Bank – 9725 163rd St W Merchants Bank – 18550 Joplin Ave Minnesota Municipal Money Market Fund (4M Fund) Morgan Stanley New Market Bank – 20151 Icenic Trl PMA Financial Network, Inc. RBC Capital Markets Sterling State Bank – 16366 Kenrick Ave Stifel Nicolaus & Co, Inc. Page 35 of 88 TruStone Financial Credit Union – 17533 Cedar Ave UBS Financial Services Inc. U.S. Bancorp Wells Fargo Bank N.A. – 8790 207th St W Wells Fargo Securities Wings Financial Credit Union – 16042 Pilot Knob Rd ADOPTED by the Lakeville City Council this 2nd day of January 2024. ______________________________ Luke M. Hellier, Mayor _________________________________ Ann Orlofsky, City Clerk Page 36 of 88 Date: 1/2/2024 Delegating Authority to Pay Claims and Electronic Fund Transfers Proposed Action Staff recommends adoption of the following motion: Move to approve the resolution delegating authority to pay claims and make electronic fund transfers. Overview The City Council approved a resolution delegating the authority to pay claims to the Finance Director on June 5, 2017. Upon review of state statutes and in discussion with our auditors, CliftonLarsonAllen, it was determined that the resolution should be expanded to explicitly state that electronic payments are allowed. The City currently makes electronic payments to vendors, employees (for expense reimbursements), bond paying agents, payroll taxes, etc. The City Council approved a resolution with this additional language in May 2020. Minnesota Statute Section 471.38, subdivision 3 and 3a state that a city council may authorize electronic fund transfers subject to similar criteria as the delegation of authority to pay claims such as city internal accounting and administrative procedures, bank process controls and administrative procedures, and regular review of expenditure list by City Council at each meeting. All these criteria are currently in place. The City Council receives a list of expenditures paid (claims list) for review at each council meeting as part of the consent agenda. These reports include claims that have been paid electronically. This resolution is presented for approval at the beginning of each year in conjunction with other required annual resolutions. Supporting Information 1. Resolution Delegating Authority to Pay Claims and Make Electronic Fund Transfers Financial Impact: $0 Budgeted: No Source: N/A Envision Lakeville Community Values: Good Value for Public Service Report Completed by: Julie Stahl, Finance Director Page 37 of 88 CITY OF LAKEVILLE RESOLUTION No______ Resolution Delegating Authority to Pay Claims and Make Electronic Fund Transfers WHEREAS, Minnesota Statute Section 412.271, Subd. 8 states that a City Council may delegate its authority for paying certain claims against the City to a City administrative official subject to certain criteria; and WHEREAS, Minnesota Statute Section 471.38, Subd. 3 and 3a states that a City Council may authorize electronic fund transfers subject to certain criteria; and WHEREAS, the prerequisite criteria for delegating the payment of claims authority have all been met by the City through the following: (i) City’s internal accounting and administrative procedures, (ii) regular review of expenditure list by City Council at each meeting, and (iii) preparation of an annual audited financial statement attested by an independent certified public accountant, public accountant or state auditor; and WHEREAS, procurement of goods and services are made under the authority granted in the purchasing policy, council-approved resolutions and/or applicable state statutes; and WHEREAS, Minnesota Statute Section 471.425, Subd. 2 states that cities that have at least one regularly scheduled meeting per month must pay their bills within 35 days of receipt and this delegation of authority is conducive to this end while assuring appropriate City Council oversight; and WHEREAS, the prerequisite criteria for authorizing payments by electronic funds transfer will be met by the City through the following: (i) city’s internal accounting and administrative procedures, (ii) bank process controls and administrative procedures; and (iii) regular review of expenditure list by City Council at each meeting. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Lakeville, Minnesota as follows: 1. The recitals set forth above are incorporated herein. 2. The City Finance Director is authorized to pay all claims made against the City that meet the standards and procedures established by the Finance Department, City policies, City Council approved resolutions and the requirements of applicable statutes. 3. The City Finance Director is authorized to pay such claims via electronic funds transfer, in accordance with the foregoing requirements and Minnesota Statute 471.38, subds. 3 and 3a. ADOPTED by the Lakeville City Council this 2nd day of January 2024. Page 38 of 88 ________________________________ Luke M. Hellier, Mayor ________________________________ Ann Orlofsky, City Clerk Page 39 of 88 Date: 1/2/2024 Approve Statement of Work with CliftonLarsonAllen, LLP (CLA) Proposed Action Staff recommends adoption of the following motion: Move to approve Statement of Work with CliftonLarsonAllen LLP (CLA). Overview On November 21, 2016, the City Council approved a professional services agreement with CliftonLarsonAllen LLP to provide auditing services for fiscal years 2016-2018. The contract was amended on October 7, 2019 and October 17, 2022 to provide services for fiscal years 2019-2021 and 2022-2024, respectively. The attached Statement of Work (SOW) defines the audit scope, objectives, management responsibilities, audit procedures, engagement administration and fees for the coming year. Approval of the SOW will result in CLA providing the audit services for the fiscal year ending December 31, 2023. The terms are consistent with those of the professional services agreement approved by the City Council in November 2022. The fees ($47,600 audit) are consistent with those of the professional services agreement amendment and are included in the adopted 2024 budget. With recent changes in governmental accounting standards board (GASB) related to GASB96 & SAS145 there is a potential for additional services in the amount of $9,450 that will require a 2024 budget amendment. Staff will bring forward a budget amendment when the amounts are known mid-year. Supporting Information 1. 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Standardsroa-0ioarCAtCrhar/t3arl0or/lnCroa:aiCra Caoitfreaaoroa.iahroaeloCre0cfi:f)r t.tiftcfapr8AaroaeloCrinrelnCa,rlirl0orhacniCartCrhhhplfL:liia:Cp:l/PLcl0C0nPp Fooi k0oreolannilitfraanrtoarl0Cfiia,riirCAarCtcfarcaflh rr Service Fee Financial Statement Audit $42,000 ACFR Preparation $5,600 SAS 145 - Implementation Not to Exceed $5,250 GASB 96 Auditing/Consulting Not to Exceed $4,200 r k0oraarinrctna,rlirtiCi:ietCa,r:lleaotCilirol/r)l0oreaonliiafrti,rCAaiortnninCti:arhiCArfl:tCiiSroa-0anCa,r ,l:0/aiCnrti,reoaetoiiSroa-0anCa,rn:Aa,0fanprqrCAaroa-0anCa,riCa/nrtoarilCrt.tiftcfarlirCAar,tCanroa-0ioa,rlortoar ilCrt::0otCavrCAaraanrti,ra eainanrhiffrfi3af)rcarAiSAaoprr r r solannilitfraanrhiffrcarciffa,rtnrlfflhn Progress bill to be mailed on Amount to be billed Upon execution of the SOW One-third of our professional fees Upon the commencement of substantive procedures One-third of our professional fees Issuance of draft report(s)One-third of our professional fees r g•oxcodoaputflid •oi 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OuLr:linCiC0CarCAaraiCioartSoaa/aiCroaSto,iiSrCAanarnao.i:anrti,rn0eaona,anrtffreoilortSoaa/aiCnrThAaCAaor lotfrlorhoiCCai"vr0i,aonCti,iiSnvriaSlCitCilinvrti,r,in:0nnilinrcaChaair)l0rti,rlfLroaftCa,rClrt0,iCr nao.i:anprqr)l0rAt.arti)r-0anCilinvrefatnarfaCr0nr3ilhprsfatnarniSivr,tCavrti,roaC0oirCAinruk(rClr0nrClr ii,i:tCar)l0ort:3ilhfa,S/aiCrti,r0i,aonCti,iiSrlvrti,rtSoaa/aiCrhiCAvrCAartootiSa/aiCnrlorl0ort0,iCr lr)l0orgMiti:itfrnCtCa/aiCnrii:f0,iiSrCAarCao/nrlrl0oraiStSa/aiCrti,rCAaretoCianRroanea:Ci.ar oanelinicifiCianp uii:aoaf)v r CbuedS•L tiS•Nbbo•pLLP MoicS•io: 8AinrfaCCaor:looa:Cf)rnaCnrloCArCAar0i,aonCti,iiSrlrliC)rlrft3a.iffap stSarWbrlrWW Page 50 of 88 r CLN lfiCliftonliLffairffs SIGN: lAoinCleAaorjprDilei3vrsoii:ietf DATE: Cbuo•d liC)rlrft3a.iffa SIGN: Liirkofln3)vrliC)rlfao3 DATE: stSarWWrlrWW Page 51 of 88 Date: 1/2/2024 Contract and resolution for drilling Well #23 Proposed Action Staff recommends adoption of the following motion: Move to award construction contract to Traut Companies and approve resolution for the drilling of Well 23 (Contract A), City Project 24-07. Overview The city has planned to add a new well in 2024 to meet the existing and future water demands of the community. The Comprehensive Water Supply Plan evaluated water supply capacity against population and demand and identified a preferred well site. The proposed site of the well is on the south side of 190th Street and west of Impala Ave. on a city-owned parcel. The city opened bids for the project on December 7th, 2023. One bid was received from Traut Companies in the amount of $675,279.50. This contract is only for well construction and test pumping. A second contract will be bid after test pumping is complete to install the well, pump, electrical building and components, and complete all utility and miscellaneous site work. Staff has reviewed all unit pricing within the bid and finds them acceptable and recommends award of contract contingent upon receipt of a favorable well construction preliminary assessment letter from the Minnesota Department of Natural Resources. Traut Companies has drilled other Lakeville wells and their work has been acceptable. Supporting Information 1. Contract 2. Resolution 3. Project Location Financial Impact: $675,279.50 Budgeted: Yes Source: Water Fund 7606-6295 Envision Lakeville Community Values: Good Value for Public Service Report Completed by: Steve Ferraro, Public Works Coordinator Page 52 of 88 WELL 23 AGREEMENT CITY IMPROVEMENT PROJECT NO. 24-07A PAGE 1R AGREEMENT BETWEEN OWNER AND CONTRACTOR FOR CONSTRUCTION CONTRACT THIS AGREEMENT is by and between (“Owner”) and (“Contractor”). Owner and Contractor hereby agree as follows: ARTICLE 1 – WORK 1.01 Contractor shall complete all Work as specified or indicated in the Contract Documents. The Work is generally described as follows: Well 23, City Project No. 24-07A. ARTICLE 2 – THE PROJECT 2.01 The Project, of which the Work under the Contract Documents is a part, is generally described as follows: The project will include construction of a municipal water supply well including mobilization and demobilization of all work; drill a test borehole; drill and complete a new 18” diameter municipal water supply well; provide water quality testing of new well; and site restoration. ARTICLE 3 – ENGINEER 3.01 The Project has been designed by Barr Engineering Co. ARTICLE 4 – CONTRACT TIMES 4.01 Time of the Essence A. All time limits for Milestones, if any, Substantial Completion, and completion and readiness for final payment as stated in the Contract Documents are of the essence of the Contract. 4.02 Contract Times: Dates A. The Work will be substantially completed on or before May 15, 2024, and completed and ready for final payment in accordance with Paragraph 15.06 of the General Conditions. B. The Work will be final completed on or before May 30, 2024. 4.03 Liquidated Damages A. Contractor and Owner recognize that time is of the essence as stated in Paragraph 4.01 above and that Owner will suffer financial and other losses if the Work is not completed and Milestones not achieved within the times specified in Paragraph 4.02 above, plus any extensions thereof allowed in accordance with the Contract. The parties also recognize the delays, expense, and difficulties involved in proving in a legal or arbitration proceeding the actual loss suffered by Owner if the Work is not completed on time. Accordingly, instead of requiring any such proof, Owner and Contractor agree that as liquidated damages for delay (but not as a penalty); 1. The liquidated damages shall be in accordance with Table 1807-1 Schedule of Liquidated Damages for all stated completion dates, as well as any intermediate completion dates. 2. Failure to complete wear course paving and open the roadway to traffic consistent with completion dates outlined in the General Conditions. 3. Failure to provide temporary stabilization and appropriate erosion/sediment control. City of Lakeville Traut Companies Page 53 of 88 WELL 23 AGREEMENT CITY IMPROVEMENT PROJECT NO. 24-07A PAGE 2 4. Liquidated damages will be cumulative, and shall be collected for each portion of the project under construction in which the specified parameters have not been met. ARTICLE 5 – CONTRACT PRICE 5.01 Owner shall pay Contractor for completion of the Work in accordance with the Contract Documents the amounts that follow, subject to adjustment under the Contract: A. For all Unit Price Work, an amount equal to the sum of the extended prices (established for each separately identified item of Unit Price Work by multiplying the unit price times the actual quantity of that item). The Contractor’s Bid, attached hereto as an exhibit, provides the basis for the extended prices for the Unit Price Work. The extended prices for Unit Price Work set forth as of the Effective Date of the Contract are based on estimated quantities. As provided in Paragraph 13.03 of the General Conditions, estimated quantities are not guaranteed, and determinations of actual quantities and classifications are to be made by Engineer. Total of all Extended Prices for Unit Price Work (subject to final adjustment based on actual quantities) $____________. ARTICLE 6 – PAYMENT PROCEDURES 6.01 Submittal and Processing of Payments A. Contractor shall submit Applications for Payment in accordance with Article 15 of the General Conditions. Applications for Payment will be processed by Engineer as provided in the General Conditions. 6.02 Progress Payments; Retainage A. Owner shall make progress payments on account of the Contract Price on the basis of Contractor’s Applications for Payment on or about the third Monday of each month during performance of the Work as provided in Paragraph 6.02.A.1 below, provided that such Applications for Payment have been submitted in a timely manner and otherwise meet the requirements of the Contract. All such payments will be measured by the Schedule of Values established as provided in the General Conditions (and in the case of Unit Price Work based on the number of units completed) or, in the event there is no Schedule of Values, as provided elsewhere in the Contract. 1. Prior to Substantial Completion, progress payments will be made in an amount equal to the percentage indicated below but, in each case, less the aggregate of payments previously made and less such amounts as Owner may withhold, including but not limited to liquidated damages, in accordance with the Contract a. 95 percent of Work completed (with the balance being retainage). If the Work has been 50 percent completed as determined by Engineer, and if the character and progress of the Work have been satisfactory to Owner and Engineer, then as long as the character and progress of the Work remain satisfactory to Owner and Engineer, there will be no additional retainage; and b. 95 percent of cost of materials and equipment not incorporated in the Work (with the balance being retainage). B. Upon Substantial Completion, Owner shall pay an amount sufficient to increase total payments to Contractor to 100 percent of the Work completed, less such amounts set off by Owner pursuant to Paragraph 15.01.E of the General Conditions, and less 200 percent of Engineer’s estimate of the value of Work to be completed or corrected as shown on the punch list of items to be completed or corrected prior to final payment. 6.03 Final Payment A. Upon final completion and acceptance of the Work in accordance with Paragraph 15.06 of the General Conditions, Owner shall pay the remainder of the Contract Price as recommended by Engineer as provided in said Paragraph 15.06. 675,279.50 Page 54 of 88 WELL 23 AGREEMENT CITY IMPROVEMENT PROJECT NO. 24-07A PAGE 3 ARTICLE 7 – INTEREST 7.01 All amounts not paid when due shall bear interest at the rate of 5 percent per annum. ARTICLE 8 – CONTRACTOR’S REPRESENTATIONS 8.01 In order to induce the Owner to enter into this Contract, Contractor makes the following representations: A. Contractor has examined and carefully studied the Contract Documents, and any data and reference idents identified in the Contract Documents. B. Contractor has visited the Site, conducted a thorough, alert visual examination of the Site and adjacent areas, and become familiar with and is satisfied as to the general, local, and Site conditions that may affect cost, progress, and performance of the Work. C. Contractor is familiar with and is satisfied as to all Laws and Regulations that may affect cost, progress, and performance of the Work. D. Contractor has carefully studied all: (1) reports of explorations and tests of subsurface conditions at or adjacent to the Site and all drawings of physical conditions relating to existing surface or subsurface structures at the Site that have been identified in the Supplementary Conditions, especially with respect to Technical Data in such reports and drawings, and (2) reports and drawings relating to Hazardous Environmental Conditions, if any, at or adjacent to the Site that have been identified in the Supplementary Conditions, especially with respect to Technical Data in such reports and drawings. E. Contractor has considered the information known to Contractor itself; information commonly known to contractors doing business in the locality of the Site; information and observations obtained from visits to the Site; the Contract Documents; and the Site-related reports and drawings identified in the Contract Documents, with respect to the effect of such information, observations, and documents on (1) the cost, progress, and performance of the Work; (2) the means, methods, techniques, sequences, and procedures of construction to be employed by Contractor and (3) Contractor’s safety precautions and programs. F. Based on the information and observations referred to in the preceding paragraph, Contractor agrees that no further examinations, investigations, explorations, tests, studies, or data are necessary for the performance of the Work at the Contract Price, within the Contract Times, and in accordance with the other terms and conditions the Contract. G. Contractor is aware of the general nature of work to be performed by Owner and others at the Site that relates to the Work as indicated in the Contract Documents. H. Contractor has given Engineer written notice of all conflicts, errors, ambiguities, or discrepancies that Contractor has discovered in the Contract Documents, and the written resolution thereof by Engineer is acceptable to Contractor. I. The Contract Documents are generally sufficient to indicate and convey understanding of all terms and conditions for performance and furnishing of the Work. J. Contractor’s entry into this Contract constitutes an incontrovertible representation by Contractor that without exception all prices in the Agreement are premised upon performing and furnishing the Work required by the Contract Documents. K. Unless otherwise specified in the Contract Documents, the Contractor shall, upon receipt of the executed Contract Documents, submit in writing to the Owner the names of the Subcontractors proposed for the work. Subcontractors may not be changed except at the request or the with the consent of the Owner. L. The Contract Documents shall not be construed as creating any contractual relationship between the Owner and any subcontractor. Page 55 of 88 WELL 23 AGREEMENT CITY IMPROVEMENT PROJECT NO. 24-07A PAGE 4 ARTICLE 9 – CONTRACT DOCUMENTS 9.01 Contents A. The Contract Documents consist of the following: 1. This Agreement (pages 1 to ___, inclusive). 2. Performance bond (pages ___ to ___, inclusive). 3. Payment bond (pages ___ to ___, inclusive). 4. Other bonds. a. Maintenance bond (pages ___ to ___, inclusive). 5. General Conditions (pages ___ to ___, inclusive). 6. Supplementary Conditions (pages ___ to ___, inclusive). 7. Specifications as listed in the table of contents of the Project Manual. 8. Drawings (not attached but incorporated by reference) consisting of ___ sheets with each sheet bearing the following general title: ___, dated ___. 9. Addenda (numbers ___ to ___, inclusive). 10. Exhibits to this Agreement (enumerated as follows): a. Contractor’s Bid (pages ___ to ___, inclusive). b. Non-Collusion Affidavit c. Responsible Contractor Verification and Certification Form 11. The following which may be delivered or issued on or after the Effective Date of the Contract and are not attached hereto: a. Notice to Proceed. b. Work Change Directives. c. Change Orders. d. Field Orders. B. The documents listed in Paragraph 9.01.A are attached to this Agreement (except as expressly noted otherwise above). C. There are no Contract Documents other than those listed above in this Article 9. D. The Contract Documents may only be amended, modified, or supplemented as provided in the General Conditions. ARTICLE 10 – MISCELLANEOUS 10.01 Terms A. Terms used in this Agreement will have the meanings stated in the General Conditions and the Supplementary Conditions. 10.02 Assignment of Contract A. Unless expressly agreed to elsewhere in the Contract, no assignment by a party hereto of any rights under or interests in the Contract will be binding on another party hereto without the written consent of the party sought to be bound; and, specifically but without limitation, money that may become due and money that is due may not be assigned without such consent (except to the extent that the effect of this restriction may be limited by law), and unless specifically stated to the contrary in any written consent to an assignment, no assignment will release or discharge the assignor from any duty or responsibility under the Contract Documents. 7 1 2 1 2 1 2 1 76 1 15 4 Lakeville Well 23, dated 11/17/2023. 1 1 1 9 Page 56 of 88 WELL 23 AGREEMENT CITY IMPROVEMENT PROJECT NO. 24-07A PAGE 5 10.03 Successors and Assigns A. Owner and Contractor each binds itself, its successors, assigns, and legal representatives to the other party hereto, its successors, assigns, and legal representatives in respect to all covenants, agreements, and obligations contained in the Contract Documents. 10.04 Severability A. Any provision or part of the Contract Documents held to be void or unenforceable under any Law or Regulation shall be deemed stricken, and all remaining provisions shall continue to be valid and binding upon Owner and Contractor, who agree that the Contract Documents shall be reformed to replace such stricken provision or part thereof with a valid and enforceable provision that comes as close as possible to expressing the intention of the stricken provision. 10.05 Contractor’s Certifications A. The provisions of MINN. STAT. 16C.285 Responsible Contractor are imposed as a requirement of this Contract. This Contract may be terminated by the Owner at any time upon discovery by the Owner that the prime contractor or subcontractor has submitted a false statement under oath verifying compliance with any of the minimum criteria set forth in the Statute. B. The provisions of MINN. STAT. 471.425, subdivision 4a. are imposed as a requirement of this Contract. 1. Each contract of a municipality must require the prime contractor to pay any subcontractor within ten days of the prime contractor’s receipt of payment from the municipality for undisputed services provided by the subcontractor. The contract must require the prime contractor to pay interest of 1-1/2 percent per month or any part of a month to the subcontractor on any undisputed amount not paid on time to the subcontractor. The minimum monthly interest penalty payment for an unpaid balance of $100 or more is $10. For an unpaid balance of less than $100, the prime contractor shall pay the actual penalty due to the subcontractor. A Subcontractor who prevails in a civil action to collect interest penalties from a prime contractor must be awarded its costs and disbursements, including attorney’s fees, incurred in bringing the action. 10.06 Indemnity  A. The Contractor agrees to indemnify and hold the City harmless from any claim made by third parties as a result of the services performed by it. In addition, the Contractor shall reimburse the City for any cost of reasonable attorney’s fees it may incur as a result of any such claims. 10.07 Other Provisions  A. Owner stipulates that if the General Conditions that are made a part of this Contract are based on EJCDC® C-700, Standard General Conditions for the Construction Contract, published by the Engineers Joint Contract Documents Committee®, and if Owner is the party that has furnished said General Conditions, then Owner has plainly shown all modifications to the standard wording of such published document to the Contractor, through a process such as highlighting or “track changes” (redline/strikeout), or in the Supplementary Conditions. B. Any provision or part of the Contract Documents held to be void or unenforceable under any law or regulation shall be deemed stricken, and all remaining provisions shall continue to be valid and binding upon Owner and Contractor, who agree that the Contract Documents shall be reformed to replace such stricken provision or part thereof with a valid and enforceable provision that comes as close as possible to expressing the intention of the stricken provisions. 10.08 Software License.   A. If the equipment provided by the Contractor pursuant to this Contract contains software, including that which the manufacturer may have embedded into the hardware as an integral part of the equipment, the Contractor shall pay all software licensing fees. The Contractor shall also pay for all software updating fees for a period of one year following cutover. The Contractor shall have no obligation to pay for such fees thereafter. Nothing in the software license or licensing agreement shall obligate the City to pay any additional fees as a condition for continuing to use the software. Page 57 of 88 WELL 23 AGREEMENT CITY IMPROVEMENT PROJECT NO. 24-07A PAGE 6 10.09 Patented devices, materials and processes.   A. If the Contract requires, or the Contractor desires, the use of any design, device, material or process covered by letters, patent or copyright, trademark or trade name, the Contractor shall provide for such use by suitable legal agreement with the patentee or owner and a copy of said agreement shall be filed with the Owner. If no such agreement is made or filed as noted, the Contractor shall indemnify and hold harmless the Owner from any and all claims for infringement by reason of the use of any such patented designed, device, material or process, or any trademark or trade name or copyright in connection with the Project agreed to be performed under the Contract, and shall indemnify and defend the Owner for any costs, liability, expenses and attorney's fees that result from any such infringement. 10.10 Assignment.  A. Neither party may assign, sublet, or transfer any interest or obligation in this Contract without the prior written consent of the other party, and then only upon such terms and conditions as both parties may agree to and set forth in writing. 10.11 Permits and Licenses; Rights‐of‐Way and Easements.   A. The Contractor shall give all notices necessary and incidental to the construction and completion of the Project. The City will obtain all necessary rights-of-way and easements. The Contractor shall not be entitled to any additional compensation for any construction delay resulting from the City’s not timely obtaining rights-of-way or easements. Page 58 of 88 WELL 23 AGREEMENT CITY IMPROVEMENT PROJECT NO. 24-07A PAGE 7 IN WITNESS WHEREOF, Owner and Contractor have signed this Agreement.   This Agreement will be effective on __________ (which is the Effective Date of the Contract). Note that the Effective Date of the Contract should match the dates of any construction bonds, if possible. The bonds shall not be dated earlier than the effective date of the Contract. OWNER: CONTRACTOR: By: By: Title: Title: (If Contractor is a corporation, a partnership, or a joint venture, attach evidence of authority to sign.) Attest: Attest: Title: Title: Address for giving notices: Address for giving notices: License No.: (where applicable) (If Owner is a corporation, attach evidence of authority to sign. If Owner is a public body, attach evidence of authority to sign and resolution or other documents authorizing execution of this Agreement.) 1/2/2024 Traut Companies Operations Manager / Secretary 1404 32640 County Road 133 St Joseph, MN 56374 Municipal Project Coordinator Page 59 of 88 CITY OF LAKEVILLE RESOLUTION NO. Resolution Awarding Contract for Well 23, City Project 24-07 WHEREAS, the city has planned to add a new well in 2024 to meet the existing and future water demands of the community; and WHEREAS, the Comprehensive Water Supply Plan evaluated water supply capacity against population and demand and identified a preferred well site; and WHEREAS, the City of Lakeville received bids on Thursday, December 7, 2023, for the Well 23, City Project 24-07; and WHEREAS, the lowest responsible bid was submitted by Traut Companies NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Lakeville, Minnesota: Hereby awards the contract to the contractor with the lowest responsible bid that meets all the bid requirements, Traut Companies, with a bid in the amount of $675,279.50 contingent upon receipt of a favorable Well Construction Preliminary Assessment Letter by the Minnesota Department of Natural Resources. The construction is proposed to be completed as specified in the contract documents. ADOPTED by the Lakeville City Council this 2nd day of January 2024. CITY OF LAKEVILLE ______________________________ Luke M. Hellier, Mayor ATTEST: _________________________________ Ann Orlofsky, City Clerk Page 60 of 88 190th St. W.Imp a l a A v e .Proposed Well 23 and Electrical Building LocationWellheadElectical BuildingPage 61 of 88 Date: 1/2/2024 Resolution Accepting Donations to the Lakeville Parks & Recreation Department in the 3rd and 4th Quarters of 2023 Proposed Action Staff recommends adoption of the following motion: Move to approve resolution accepting donations to the Lakeville Parks & Recreation Department in the third and fourth quarters of 2023. Overview Donations from various sources were received by the Lakeville Parks & Recreation Department. Please see the supporting information for details. On behalf of our department, we sincerely thank these individuals and businesses for their generosity. Supporting Information 1. Parks & Recreation Q3 & Q4 Donations 2. Parks and Recreation Q3-Q4 Donations Resolution Financial Impact: $N/A Budgeted: No Source: Donations Envision Lakeville Community Values: A Sense of Community and Belonging Report Completed by: John Hennen, Parks & Recreation Director Page 62 of 88 Cub Foods $400 In-Kind Donation, Haunted Forest Candy Genisys Credit Union $500 Haunted Forest Sponsorship Paulette Odenthal - Run the Ritter $1,200 Trail Improvements at Ritter Farm Park Safety Signs $6,250 Summer Concert Series TOTAL $8,350.00 DONATIONS RECEIVED BY PARKS & RECREATION DEPARTMENT 3rd and 4th Quarters of 2023 Page 63 of 88 CITY OF LAKEVILLE RESOLUTION NO._________ RESOLUTION ACCEPTING GRANTS AND DONATIONS TO THE LAKEVILLE PARKS AND RECREATION DEPARTMENT DURING THE THIRD AND FOURTH QUARTERS OF 2023 WHEREAS, MN Statute 465.03 requires that cities accept donations for the benefit of its citizens in accordance with the terms prescribed by the donor; and WHEREAS, the City of Lakeville’s Parks and Recreation Department has received grants and donations of money, goods or property as indicated on the attached list; and WHEREAS, the grants and donations were beneficial to the department; and WHEREAS, the additional revenues received may require the City to incur additional expenditures in order to comply with grant agreements and restricted donations. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Lakeville, Minnesota that the grants and/or donations are hereby officially accepted and acknowledged with gratitude to the donors; and BE IT FURTHER RESOLVED that City staff is authorized to amend the budget to comply with grant agreements and restricted donations. ADOPTED by the Lakeville City Council this 2nd day of January 2024. ___________________________ Luke M. Hellier, Mayor ___________________________________ Ann Orlofsky, City Clerk Page 64 of 88 Date: 1/2/2024 Declaration of Restrictive Covenant for Antlers Park Property Proposed Action Staff recommends adoption of the following motion: Move to approve declaration of restrictive covenant for Antlers Park Property. Overview In February of 2022 the city authorized submission of an Outdoor Recreation Grant application to the Department of Natural Resources for the expansion and redevelopment of Antlers Park. The city was notified in 2022 that we were recipients of a grant in the amount of $300,000 for the project. As a condition of securing the grant, the city must impose the following restrictions on the subject property: 1. The subject property shall be managed and maintained for outdoor recreation purposes consistent with the approved grant application. 2. The subject property may not be used for any other purpose without the express prior written approval of the commissioner of the Minnesota Department of Natural Resources. The city has received $270,000 of the $300,000 grant. The remaining $30,000 will be received after total completion of the project which will occur in May of 2024. At this time, staff is recommending that the Mayor and City Council approve the Declaration of Restrictive Covenant for Antlers Park. Supporting Information 1. Declaration of Restrictive Covenant for Antlers Park Financial Impact: $300,000 Budgeted: Yes Source: DNR Grant Envision Lakeville Community Values: Access to a Multitude of Natural Amenities and Recreational Opportunities Report Completed by: John Hennen, Parks and Recreation Director Page 65 of 88 1 229260v1 DECLARATION OF RESTRICTIVE COVENANT THIS DECLARATION is made and entered into this _______ day of _____________, 2024, by the CITY OF LAKEVILLE, a Minnesota municipal corporation, whose address is 20195 Holyoke Avenue, Lakeville, Minnesota 55044, hereinafter referred to as “Declarant.” RECITALS A. Declarant is the fee owner of property located in the City of Lakeville which is legally described on Exhibit A attached hereto (“Subject Property”). B. The Minnesota Department of Natural Resources ("DNR"), acting as an agent for the State of Minnesota, entered into an State of Minnesota Grant Agreement ("Agreement"), under the Outdoor Recreation Program, to secure a matching grant in the amount of $300,000.00 from the DNR of federal funds through the National Park Service for the redevelopment of the Subject Property for outdoor recreation purposes. C. Under the terms of the Agreement, Declarant agreed to impose the following restrictions on the Subject Property: 1. The Subject Property shall be managed and maintained for outdoor recreation purposes consistent with the approved grant application. 2. The Subject Property may not be used for any other purpose without the express prior written approval of the Commissioner of the Minnesota Department of Natural Resources. D. Declarant has agreed to burden its interest in the Subject Property with this restrictive covenant, to run with the land, which will place restrictions on the management, maintenance and development of Subject Property. Page 66 of 88 229260v1 2 NOW, THEREFORE, in consideration of the grant proceeds, the foregoing premises, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, Declarant hereby agrees as follows, and imposes the following restrictive covenant upon the Subject Property: 1. The Subject Property shall be managed and maintained for outdoor recreation purposes consistent with the approved grant application. 2. The Subject Property may not be used for any other purpose without the express prior written approval of the Commissioner of the Minnesota Department of Natural Resources. 3. The above restrictive covenants are a servitude running with the land, and shall bind Declarant and all future owners and occupants of the Subject Property and shall not be amended, revoked, or altered except by written consent of the Minnesota Department of Natural Resources, and recorded with the Dakota County Registrar of Titles. IN WITNESS WHEREOF, this Declaration has been executed as of the day and year first above written. CITY OF LAKEVILLE BY: ___________________________________ Luke M Hellier, Mayor ATTEST: ____________________________________ Ann Orlofsky, City Clerk Page 67 of 88 229260v1 3 STATE OF MINNESOTA ) )ss COUNTY OF DAKOTA ) The foregoing instrument was acknowledged before me this _____ day of ___________, 2024, by Luke M. Hellier and Ann Orlofksy, the Mayor and City Clerk, respectively, of the City of Lakeville, a Minnesota municipal corporation, on behalf of the corporation and pursuant to the authority granted by its City Council. _________________________________ Notary Public DRAFTED BY: Campbell Knutson, P.A. Grand Oak Office Center I 860 Blue Gentian Road, Suite 290 Eagan, MN 55121 Page 68 of 88 229260v1 4 EXHIBIT “A” Legal Description of the Subject Property: OUTLOT E, WARWEG ADDITION, according to the recorded plat thereof, EXCEPTING THEREFROM, that part beginning at the southwest corner of said Outlot E; thence North 00 degrees 08 minutes 25 seconds East along the west line of said Outlot E, a distance of 125.24 feet; thence Easterly and parallel with the south line of said Outlot E, assumed bearing of North 89 degrees 11 minutes 59 seconds East, a distance of 253.56 feet; thence Southerly and parallel with the west line of said Outlot E, assumed bearing South 00 degrees 08 minutes 25 seconds West, to the south line of said Outlot E; thence Westerly along said south line to the point of beginning. Torrens Property - Certificate No. 165721 AND All that part of Lenihans Lots Antlers Park lying Westerly of Ipava Avenue and Southerly of South Line Park Avenue as dedicated in said plat except part platted as Warweg Addition, Dakota County, Minnesota. Abstract Property Page 69 of 88 Date: 1/2/2024 Approve policy changes to comply with Earned Sick and Safe Time Proposed Action Staff recommends adoption of the following motion: Move to approve required changes to leave policies to comply with Earned Safe and Sick Time Law. Overview During the 2023 legislative session, the State of Minnesota passed the Earned Sick and Safe time (ESST) law that went into effect on January 1, 2024. The new law requires employers to provide paid leave to employees who work at least 80 hours in a calendar year. This includes part-time liquor store employees, paid-on-call firefighters, seasonal and temporary employees. The new law does not apply to elected officials or independent contractors. Employees who qualify under this new law will earn one (1) hour of leave for every 30 hours worked. Employees can accrue up to 48 hours of ESST in a year. The maximum amount of ESST leave time that an employee can have is 80 hours. Upon separation from employment, earned sick and safe time previously accrued but not used will not be paid out. When there is a separation from employment with the city and the employee is rehired again within 180 days of separation, previously accrued ESST that had not been used will be reinstated. Employees can use the earned sick and safe leave for themselves or the need to care for a relative for health related issues, domestic abuse, sexual assault, or stalking issues. The leave can also be used for emergency facility closures. Regular full-time and part-time employees already accrue sick leave or paid time off at a rate higher than the ESST law. The policies have been amended to address the leave usage and the individuals covered to comply with the ESST law. Supporting Information 1. City of Lakeville PTO Policy 6.50 redline 2. City of Lakeville PTO Policy 6.50-Final 3. City of Lakeville Sick Leave Policy 6.54 redline 4. City of Lakeville Sick Leave Policy 6.54-Final 5. City of Lakeville Earned Sick and Safe Time Policy 6.54.1 6. Resolution amending leave policy changes Page 70 of 88 Financial Impact: $ Budgeted: Yes Source: Various Funds Envision Lakeville Community Values: Good Value for Public Service Report Completed by: Tammy Schutta, Human Resources Manager Page 71 of 88 PAID TIME OFF Policy 6.50 1) POLICY a) All eligible employees will accrue Paid Time Off (PTO) based on years of service with the City of Lakeville. The PTO benefit replaces the city policies on vacation and sick leave and combines these benefits into a single plan. The Paid Time Off is the city’s designated leave bank for Earned Sick and Safe Time (ESST) for eligible employees accruing PTO. b) PTO can be used for any purpose, subject only to normal request/approval procedures consistent with policy and labor agreements. Employees may use PTO for care or treatment of mental or physical illness, injury or other health condition, preventative care, closure of the employee’s place of business due to weather or another public emergency, absence due to domestic abuse or assault, care of a family member or to provide care for a family member or other designated individual. c) Requests for leave for reasons other than ESST illness or injury must be submitted to the supervisor a minimum of 14 days (two weeks) in advance and will be granted in seniority order. Requests made with less than 14 days of notice will be granted on a first come, first-serve basis at the discretion of the supervisor. d) If the need for sick and safe time is foreseeable, the city requires seven (7) days advance notice. However, if the need is unforeseeable, employees must provide notice of the need for Earned Sick and Safe time as soon as practicable. Other unscheduled use Emergency use (illness or injury) requires notification to the supervisor a minimum of 30 minutes prior to the employee’s scheduled workday. Requests made for reasons other than ESST, are subject to the discretion of the supervisor. Emergency use may require documentation of the emergency such as a physician’s note. When an employee uses ESST for more than three (3) consecutive days, the city may require appropriate supporting documentation. e) Retaliation prohibited: The city shall not discharge, discipline, penalize, interfere with, or otherwise retaliate or discriminate against an employee for asserting ESST rights, requesting an ESST absence, or pursuing remedies. Additionally, it is unlawful to report or threaten to report a person or a family member’s immigration status for exercising a right under ESST. f) Benefits and return to work protections: An employee will continue to receive the city’s employer insurance contribution as if they were working, and the employee will be responsible for any share of their insurance premiums. An employee returning from time off for ESST is entitled to return to their city employment at the same rate of pay received when their leave began, plus any automatic pay adjustments that may have occurred during the employee’s time off. Seniority during ESST absences will continue to accrue as if the employee has been continually employed. d)g) PTO time is accrued biweekly on an hourly basis. e)h) The maximum amount of PTO than can be accrued and carried over to the next year will be 480 hours. f)i) An employee that leaves the city in good standing, after giving proper notice, will be compensated for PTO leave accrued and unused to the date of separation. The amount will be taxable to the employee at their regular compensation rate on the date of separation. g)j) Employees using PTO leave will be considered to be working for the purpose of accumulating additional PTO time. h)k) In December of each year, employees who have a leave balance of 240 PTO hours on November 30 will receive the option to elect to cash out a portion of the PTO to be earned in the following calendar year. Full-time employees may choose to receive cash for 40 hours of PTO. Part-time employees may choose to receive cash for a pro-rated value of 40 hours each calendar year. Employees cannot reverse the choice after December 31 of each year. PTO cash payment will be paid by July 1. The amount will be taxable to the employee at the regular Page 72 of 88 compensation rate at the time of PTO cash payment. If the employee terminates employment before June 30, the cash payout will be pro-rated. i)l) Exempt employees, including the City Administrator, who reach the salary limit requirements of M.S. 43A.17, Subd. 9 (Governor’s salary cap) or, if applicable, the waiver limit authorized by the Commissioner of the Office of Management and Budget, will receive equivalent hours above the limit in paid leave. The amount of paid leave for each such employee shall be determined by the City Council. Paid leave will be accrued on a per-pay-period basis and may be used as earned, maintained in a paid leave bank, or cashed out upon separation of employment. The PTO program will be distinct and separate from the City’s normal paid time off program. While there will be no cap on PTO accrual, the City Administrator may place restrictions on the amount of vacation that may be taken annually. The City Council may place restrictions on the amount of vacation the City Administrator may take annually. PARTICIPATION j)m) Effective February 1, 2007, all non-union and union employees that have bargained this benefit into their contracts will have the opportunity to participate in the PTO benefit. k)n) Employees who choose not to participate will have the option on an annual basis to switch to the PTO plan during a period of open enrollment. Once the election is made to convert to the PTO program, employees cannot return to the vacation, sick leave and funeral leave program. l)o) Employees who choose not to participate in the PTO benefit will continue to accrue sick and vacation time according to those policies. m)p) All employees hired after February 1, 2007, will participate in the PTO program. PTO ACCRUAL SCHEDULE n)q) The accrual schedule for full-time employees is as follows: 1st year of employment 18 days 144 hours 2nd year of employment 18 days 144 hours 3rd year of employment 19 days 152 hours 4th year of employment 19 days 152 hours 5th year of employment 20 days 160 hours 6th year of employment 20 days 160 hours 7th year of employment 22 days 176 hours 8th year of employment 22 days 176 hours 9th year of employment 24 days 192 hours 10th year of employment 24 days 192 hours 11th year of employment 26 days 208 hours 12th year of employment 26 days 208 hours 13th year of employment 28 days 224 hours 14th year of employment 28 days 224 hours 15th year of employment 30 days 240 hours Page 73 of 88 CONVERSION Conversion to the PTO plan is optional for employees hired before February 1, 2007. Current vacation accruals will be converted 1:1 to the PTO accrual. Sick balances will be converted to an Extended Medical Bank (EMB) at a 1:1 ratio at the time of PTO election. At retirement or separation, the value of the EMB will be either placed into a Health Care Savings Plan or paid directly to the employee according to city policy and/or contract language. EXTENDED MEDICAL BANK o)r) EMB hours may only be used after the first 40 consecutive hours of an absence for the employee’s serious health condition, or the serious health condition of the employee’s child. Effective August 1, 2013, EMB may also be used for the serious health condition of the employee’s adult children, spouse, siblings, parents, grandparents or stepparents. This use is limited to 160 hours in a year. The forty-hour waiting period shall apply to each separate incident of a serious health condition. p)s) For regular part-time employees, the waiting period before becoming eligible to use extended leave pay shall be based on a prorated basis by determining the actual hours the employee is scheduled to work according to the budget. q)t) EMB leave shall not be considered as a privilege or vested right which an employee may use at their discretion but shall be considered as a type of insurance which shall be allowed in case of a serious health condition of the employee or the employee’s child. r)u) Employees shall notify their immediate supervisor or the Human Resources Department on the first day of a qualifying serious health condition. Any employee using EMB leave may be placed on concurrent FMLA leave. Page 74 of 88 PAID TIME OFF Policy 6.50 1) POLICY a) All eligible employees will accrue Paid Time Off (PTO) based on years of service with the City of Lakeville. The PTO benefit replaces the city policies on vacation and sick leave and combines these benefits into a single plan. The Paid Time Off is the city’s designated leave bank for Earned Sick and Safe Time (ESST) for eligible employees accruing PTO. b) PTO can be used for any purpose, subject only to normal request/approval procedures consistent with policy and labor agreements. Employees may use PTO for care or treatment of mental or physical illness, injury or other health condition, preventative care, closure of the employee’s place of business due to weather or another public emergency, absence due to domestic abuse or assault, care of a family member or to provide care for a family member or other designated individual. c) Requests for leave for reasons other than ESST must be submitted to the supervisor a minimum of 14 days (two weeks) in advance and will be granted in seniority order. Requests made with less than 14 days of notice will be granted on a first come, first- serve basis at the discretion of the supervisor. d) If the need for sick and safe time is foreseeable, the city requires seven (7) days advance notice. However, if the need is unforeseeable, employees must provide notice of the need for Earned Sick and Safe time as soon as practicable. Other unscheduled use requires notification to the supervisor a minimum of 30 minutes prior to the employee’s scheduled workday. Requests made for reasons other than ESST, are subject to the discretion of the supervisor. When an employee uses ESST for more than three (3) consecutive days, the city may require appropriate supporting documentation. e) Retaliation prohibited: The city shall not discharge, discipline, penalize, interfere with, or otherwise retaliate or discriminate against an employee for asserting ESST rights, requesting an ESST absence, or pursuing remedies. Additionally, it is unlawful to report or threaten to report a person or a family member’s immigration status for exercising a right under ESST. f) Benefits and return to work protections: An employee will continue to receive the city’s employer insurance contribution as if they were working, and the employee will be responsible for any share of their insurance premiums. An employee returning from time off for ESST is entitled to return to their city employment at the same rate of pay received when their leave began, plus any automatic pay adjustments that may have occurred during the employee’s time off. Seniority during ESST absences will continue to accrue as if the employee has been continually employed. g) PTO time is accrued biweekly on an hourly basis. h) The maximum amount of PTO than can be accrued and carried over to the next year will be 480 hours. i) An employee that leaves the city in good standing, after giving proper notice, will be compensated for PTO leave accrued and unused to the date of separation. The amount will be taxable to the employee at their regular compensation rate on the date of separation. j) Employees using PTO leave will be considered to be working for the purpose of accumulating additional PTO time. k) In December of each year, employees who have a leave balance of 240 PTO hours on November 30 will receive the option to elect to cash out a portion of the PTO to be earned in the following calendar year. Full-time employees may choose to receive cash for 40 hours of PTO. Part-time employees may choose to receive cash for a pro-rated value of 40 hours each calendar year. Employees cannot reverse the choice after December 31 of each year. PTO cash payment will be paid by July 1. The amount will be taxable to the employee at the regular compensation rate at the time of PTO cash payment. If the employee terminates employment Page 75 of 88 before June 30, the cash payout will be pro-rated. l) Exempt employees, including the City Administrator, who reach the salary limit requirements of M.S. 43A.17, Subd. 9 (Governor’s salary cap) or, if applicable, the waiver limit authorized by the Commissioner of the Office of Management and Budget, will receive equivalent hours above the limit in paid leave. The amount of paid leave for each such employee shall be determined by the City Council. Paid leave will be accrued on a per-pay-period basis and may be used as earned, maintained in a paid leave bank, or cashed out upon separation of employment. The PTO program will be distinct and separate from the City’s normal paid time off program. While there will be no cap on PTO accrual, the City Administrator may place restrictions on the amount of vacation that may be taken annually. The City Council may place restrictions on the amount of vacation the City Administrator may take annually. PARTICIPATION m) Effective February 1, 2007, all non-union and union employees that have bargained this benefit into their contracts will have the opportunity to participate in the PTO benefit. n) Employees who choose not to participate will have the option on an annual basis to switch to the PTO plan during a period of open enrollment. Once the election is made to convert to the PTO program, employees cannot return to the vacation, sick leave and funeral leave program. o) Employees who choose not to participate in the PTO benefit will continue to accrue sick and vacation time according to those policies. p) All employees hired after February 1, 2007, will participate in the PTO program. PTO ACCRUAL SCHEDULE q) The accrual schedule for full-time employees is as follows: 1st year of employment 18 days 144 hours 2nd year of employment 18 days 144 hours 3rd year of employment 19 days 152 hours 4th year of employment 19 days 152 hours 5th year of employment 20 days 160 hours 6th year of employment 20 days 160 hours 7th year of employment 22 days 176 hours 8th year of employment 22 days 176 hours 9th year of employment 24 days 192 hours 10th year of employment 24 days 192 hours 11th year of employment 26 days 208 hours 12th year of employment 26 days 208 hours 13th year of employment 28 days 224 hours 14th year of employment 28 days 224 hours 15th year of employment 30 days 240 hours Page 76 of 88 CONVERSION Conversion to the PTO plan is optional for employees hired before February 1, 2007. Current vacation accruals will be converted 1:1 to the PTO accrual. Sick balances will be converted to an Extended Medical Bank (EMB) at a 1:1 ratio at the time of PTO election. At retirement or separation, the value of the EMB will be either placed into a Health Care Savings Plan or paid directly to the employee according to city policy and/or contract language. EXTENDED MEDICAL BANK r) EMB hours may only be used after the first 40 consecutive hours of an absence for the employee’s serious health condition, or the serious health condition of the employee’s child. Effective August 1, 2013, EMB may also be used for the serious health condition of the employee’s adult children, spouse, siblings, parents, grandparents or stepparents. This use is limited to 160 hours in a year. The forty-hour waiting period shall apply to each separate incident of a serious health condition. s) For regular part-time employees, the waiting period before becoming eligible to use extended leave pay shall be based on a prorated basis by determining the actual hours the employee is scheduled to work according to the budget. t) EMB leave shall not be considered as a privilege or vested right which an employee may use at their discretion but shall be considered as a type of insurance which shall be allowed in case of a serious health condition of the employee or the employee’s child. u) Employees shall notify their immediate supervisor or the Human Resources Department on the first day of a qualifying serious health condition. Any employee using EMB leave may be placed on concurrent FMLA leave. Page 77 of 88 SICK LEAVE WITH PAY Policy 6.54 1) POLICY a) Sick leave with pay shall be granted to all eligible employees at the rate of one (1) eight (8) hour working day for each calendar month of full-time service. For this purpose, one (1) calendar month shall be any month in which an employee is paid for twelve (12) or more working days (ninety-six (96) working hours). Sick Leave is the city’s designated leave bank for Earned Sick and Safe Time (ESST) for eligible employees accruing sick leave. Part-time liquor store and seasonal/temporary employees are not eligible for sick leave accrual benefits. However, part- time liquor store and seasonal/temporary employees are eligible for Earned Sick and Safe Leave, Policy 6.54.1. b) The maximum accumulation of sick leave as of January 1st each year is 960 hours (120 working days). Accumulated sick leave in excess of 960 hours on January 1st of each year is forfeited. Accumulated sick leave in excess of 960 hours on January 1, 1999 shall not, however, be forfeited. Employees with accumulated sick leave in excess of 960 hours on January 1, 1999 shall use this excess accumulated leave first when using sick leave. c) Sick leave shall not be considered as a privilege or vested right which an employee may use at the employee’s discretion. Sick leave may only be used for one of the authorized reasons listed below. , but shall be considered as a type of insurance which shall be allowed in case of necessity in an actual illness, legal quarantine, or disability of the employee, or to receive dental or medical care or other sickness preventative measures, as approved by the supervisor. d) Mn Statute §181.9413 authorizes eligible employees to use up to 160 hours of sick leave in any calendar year for absences due to an illness of or injury to the employee’s adult child, spouse, sibling, parent, grandparent, stepparent, parent-in-laws, and grandchildren. In addition, employees are authorized to use sick leave for reasonable absences for themselves or relatives who are providing or receiving assistance because the, or a relative, is a victim of sexual assault, domestic abuse, or stalking. d) Sick leave may be used as it is accrued in the smallest increment of time tracked by the city’s payroll system for the following circumstances: • An employee’s own: o Mental or physical illness, injury or other health condition, treatment or preventative care o Closure of the employee's place of business due to weather or another public emergency o The employee's inability to work or telework because the employee is prohibited from working by the city due to health concerns related to the potential transmission of a communicable illness related to a public emergency, or seeking or awaiting the results of a diagnostic test for, or a medical diagnosis of, a communicable disease related to a public emergency and the employee has been exposed to a communicable disease or the city has requested a test or diagnosis. o Absence due to domestic abuse, sexual assault, or stalking of the employee provided the absence is to: • Seek medical attention related to physical or psychological injury or disability caused by domestic abuse, sexual assault, or stalking • Obtain services from a victim services organization, • Obtain psychological or other counseling Page 78 of 88 • Seek relocation or take steps to secure an existing home due to domestic abuse, sexual assault or stalking • Seek legal advice or take legal action, including preparing for or participating in any civil or criminal legal proceeding related to or resulting from domestic abuse, sexual assault, or stalking o Care of a family member: • With mental or physical illness, injury or other health condition, treatment or preventative care • Whose school or place of care has been closed due to weather or another public emergency • When it has been determined by health authority or a health care professional that the presence of the family member of the employee in the community would jeopardize the health of others because of the exposure of the family member of the employee to a communicable disease, whether or not the family member has actually contracted the communicable disease o Absence due to domestic abuse, sexual assault or stalking of the employee’s family member provided the absence is to: • Seek medical attention related to physical or psychological injury or disability caused by domestic abuse, sexual assault, or stalking • Obtain services from a victim services organization • Obtain psychological or other counseling • Seek relocation or take steps to secure an existing home due to domestic abuse, sexual assault or stalking • Seek legal advice or take legal action, including preparing for or participating in any civil or criminal legal proceeding related to or resulting from domestic abuse, sexual assault, or stalking e) For Sick Leave purposes, family member includes an employee’s: o Spouse or registered domestic partner o Child, foster child, adult child, legal ward, child for whom the employee is legal guardian, or child to whom the employee stands or stood in loco parentis o Sibling, step sibling or foster sibling o Biological, adoptive or foster parent, stepparent or a person who stood in loco parentis when the employee was a minor child o Grandchild, foster grandchild or step grandchild o Grandparent or step grandparent o A child of a sibling of the employee o A sibling of the parent of the employee or o A child-in-law or sibling-in-law o Any of the above family members of a spouse or registered domestic partner o Any other individual related by blood or whose close association with the employee is the equivalent of a family relationship o Up to one individual annually designated by the employee e)f) If the need to use sick leave is foreseeable, the city requires seven (7) days’ advance notice. If the need is unforeseeable, the city requires a notice within one-half (1/2) hour of the beginning of the workday. The employee must notify employee’s department director or designee of the need for sick leave within one-half (1/2) hour of the beginning of the work day. Lack of proper notification may be cause for disciplinary action. Page 79 of 88 f) In order to be eligible for sick leave with pay, an employee must: i) Report within one-half (1/2) hour of the beginning of the workday to the department director the reason for absence. ii)i) Keep the director or supervisor informed of the condition if the absence is of more than three (3) days duration. iii)ii) The city may require an employee provide reasonable documentation when more than three consecutive days of sick leave are used. If the employee is unable to secure the requested documentation, the employee shall provide a written statement indicating the employee is using sick leave for a qualifying purpose. Submit a medical certificate for any absence of any duration if required by the director or City Administrator. g) The employee must complete a request for leave form before the employee will be granted sick leave pay. h)g) An employee who meets the other requirements of this section who is receiving workers compensation payments may be granted sick leave pay for the amount of the difference between employee’s workers compensation payment and employee’s salary to the extent that employee’s sick leave is accrued, after the employee has used all of employee’s accrued injury on duty leave. i)h) Employees using earned sick leave shall be considered to be working for the purpose of accumulating vacation or sick leave. j)i) An employee who has been unable to work for a period of time because of illness or accident may be required before being permitted to return to work to provide a medical evidence that employee is again able to perform all significant duties of the position in a competent manner without hazard to employee or others. k)j) Employees using sick leave for unauthorized purposes may be subject to discipline, and the employee’s time away from work will be charged against their vacation time. Claiming sick leave when physically fit may be cause for disciplinary action. k) An employee whose illness extends beyond the sick leave credit available may apply for a medical leave of absence. l) Retaliation prohibited: The city shall not discharge, discipline, penalize, interfere with, or otherwise retaliate or discriminate against an employee for asserting ESST rights, requesting an ESST absence, or pursuing remedies. Additionally, it is unlawful to report or threaten to report a person or a family member’s immigration status for exercising a right under ESST. l)m) Benefits and return to work protections: An employee will continue to receive the city’s employer insurance contribution as if they were working, and the employee will be responsible for any share of their insurance premiums. An employee returning from time off for ESST is entitled to return to their city employment at the same rate of pay received when their leave began, plus any automatic pay adjustments that may have occurred during the employee’s time off. Seniority during ESST absences will continue to accrue as if the employee has been continually employed. Page 80 of 88 SICK LEAVE WITH PAY Policy 6.54 1) POLICY a) Sick leave with pay shall be granted to all eligible employees at the rate of one (1) eight (8) hour working day for each calendar month of full-time service. For this purpose, one (1) calendar month shall be any month in which an employee is paid for twelve (12) or more working days (ninety-six (96) working hours). Sick Leave is the city’s designated leave bank for Earned Sick and Safe Time (ESST) for eligible employees accruing sick leave. Part-time liquor store and seasonal/temporary employees are not eligible for sick leave accrual benefits. However, part- time liquor store and seasonal/temporary employees are eligible for Earned Sick and Safe Leave, Policy 6.54.1. b) The maximum accumulation of sick leave as of January 1st each year is 960 hours (120 working days). Accumulated sick leave in excess of 960 hours on January 1st of each year is forfeited. Accumulated sick leave in excess of 960 hours on January 1, 1999, shall not, however, be forfeited. Employees with accumulated sick leave in excess of 960 hours on January 1, 1999, shall use this excess accumulated leave first when using sick leave. c) Sick leave shall not be considered as a privilege or vested right which an employee may use at the employee’s discretion. Sick leave may only be used for one of the authorized reasons listed below. , d) Sick leave may be used as it is accrued in the smallest increment of time tracked by the city’s payroll system for the following circumstances: • An employee’s own: o Mental or physical illness, injury or other health condition, treatment or preventative care o Closure of the employee's place of business due to weather or another public emergency o The employee's inability to work or telework because the employee is prohibited from working by the city due to health concerns related to the potential transmission of a communicable illness related to a public emergency, or seeking or awaiting the results of a diagnostic test for, or a medical diagnosis of, a communicable disease related to a public emergency and the employee has been exposed to a communicable disease or the city has requested a test or diagnosis. o Absence due to domestic abuse, sexual assault, or stalking of the employee provided the absence is to: • Seek medical attention related to physical or psychological injury or disability caused by domestic abuse, sexual assault, or stalking • Obtain services from a victim services organization, • Obtain psychological or other counseling • Seek relocation or take steps to secure an existing home due to domestic abuse, sexual assault or stalking • Seek legal advice or take legal action, including preparing for or participating in any civil or criminal legal proceeding related to or resulting from domestic abuse, sexual assault, or stalking o Care of a family member: • With mental or physical illness, injury or other health condition, treatment or preventative care Page 81 of 88 • Whose school or place of care has been closed due to weather or another public emergency • When it has been determined by health authority or a health care professional that the presence of the family member of the employee in the community would jeopardize the health of others because of the exposure of the family member of the employee to a communicable disease, whether or not the family member has actually contracted the communicable disease o Absence due to domestic abuse, sexual assault or stalking of the employee’s family member provided the absence is to: • Seek medical attention related to physical or psychological injury or disability caused by domestic abuse, sexual assault, or stalking • Obtain services from a victim services organization • Obtain psychological or other counseling • Seek relocation or take steps to secure an existing home due to domestic abuse, sexual assault or stalking • Seek legal advice or take legal action, including preparing for or participating in any civil or criminal legal proceeding related to or resulting from domestic abuse, sexual assault, or stalking e) For Sick Leave purposes, family member includes an employee’s: o Spouse or registered domestic partner o Child, foster child, adult child, legal ward, child for whom the employee is legal guardian, or child to whom the employee stands or stood in loco parentis o Sibling, step sibling or foster sibling o Biological, adoptive or foster parent, stepparent or a person who stood in loco parentis when the employee was a minor child o Grandchild, foster grandchild or step grandchild o Grandparent or step grandparent o A child of a sibling of the employee o A sibling of the parent of the employee or o A child-in-law or sibling-in-law o Any of the above family members of a spouse or registered domestic partner o Any other individual related by blood or whose close association with the employee is the equivalent of a family relationship o Up to one individual annually designated by the employee f) If the need to use sick leave is foreseeable, the city requires seven (7) days’ advance notice. If the need is unforeseeable, the city requires a notice within one-half (1/2) hour of the beginning of the workday. i) Keep the director or supervisor informed if the absence is of more than three (3) days duration. ii) The city may require an employee provide reasonable documentation when more than three consecutive days of sick leave are used. If the employee is unable to secure the requested documentation, the employee shall provide a written statement indicating the employee is using sick leave for a qualifying purpose. g) An employee who meets the other requirements of this section who is receiving workers compensation payments may be granted sick leave pay for the amount of the difference between employee’s workers compensation payment and employee’s salary to the extent that employee’s sick leave is accrued, after the employee has used all of employee’s accrued injury on duty leave. Page 82 of 88 h) Employees using earned sick leave shall be considered to be working for the purpose of accumulating vacation or sick leave. i) An employee who has been unable to work for a period of time because of illness or accident may be required before being permitted to return to work to provide medical evidence that employee is again able to perform all significant duties of the position in a competent manner without hazard to employee or others. j) Employees using sick leave for unauthorized purposes may be subject to discipline, and the employee’s time away from work will be charged against their vacation time. k) An employee whose illness extends beyond the sick leave credit available may apply for a medical leave of absence. l) Retaliation prohibited: The city shall not discharge, discipline, penalize, interfere with, or otherwise retaliate or discriminate against an employee for asserting ESST rights, requesting an ESST absence, or pursuing remedies. Additionally, it is unlawful to report or threaten to report a person or a family member’s immigration status for exercising a right under ESST. m) Benefits and return to work protections: An employee will continue to receive the city’s employer insurance contribution as if they were working, and the employee will be responsible for any share of their insurance premiums. An employee returning from time off for ESST is entitled to return to their city employment at the same rate of pay received when their leave began, plus any automatic pay adjustments that may have occurred during the employee’s time off. Seniority during ESST absences will continue to accrue as if the employee has been continually employed. Page 83 of 88 EARNED SICK AND SAFE TIME Policy 6.54.1 1) POLICY a) Effective January 1, 2024, paid-on-call Firefighters, part-time Liquor Store employees, seasonal employees, and temporary employees who work at least 80 hours in a calendar year for the city will accrue earned Sick and Safe Time (ESST) for one hour for every 30 hours worked, up to a maximum of 48 hours of sick and safe time per year. b) A 12-month period is calculated based on a calendar year, January 1 to December 31. c) The hourly rate of ESST is the same hourly rate an employee earns from employment with the city. 2) Earned Sick and Safe Time Use a) ESST may be used as it is accrued in the smallest increment of time tracked by the city’s payroll system for the following circumstances: • An employee’s own: o Mental or physical illness, injury or other health condition, treatment or preventative care o Closure of the employee's place of business due to weather or another public emergency o The employee's inability to work or telework because the employee is prohibited from working by the city due to health concerns related to the potential transmission of a communicable illness related to a public emergency, or seeking or awaiting the results of a diagnostic test for, or a medical diagnosis of, a communicable disease related to a public emergency and the employee has been exposed to a communicable disease or the city has requested a test or diagnosis. o Absence due to domestic abuse, sexual assault, or stalking of the employee provided the absence is to: ▪ Seek medical attention related to physical or psychological injury or disability caused by domestic abuse, sexual assault, or stalking ▪ Obtain services from a victim services organization ▪ Obtain psychological or other counseling ▪ Seek relocation or take steps to secure an existing home due to domestic abuse, sexual assault or stalking ▪ Seek legal advice or take legal action, including preparing for or participating in any civil or criminal legal proceeding related to or resulting from domestic abuse, sexual assault, or stalking o Care of a family member: ▪ With mental or physical illness, injury or other health condition, treatment or preventive care ▪ Whose school or place of care has been closed due to weather or another public emergency ▪ When it has been determined by health authority or a health care professional that the presence of the family member of the employee in the community would jeopardize the health of others because of the exposure of Page 84 of 88 the family member of the employee to a communicable disease, whether or not the family member has actually contracted the communicable disease o Absence due to domestic abuse, sexual assault or stalking of the employee’s family member provided the absence is to: ▪ Seek medical attention related to physical or psychological injury or disability caused by domestic abuse, sexual assault, or stalking ▪ Obtain services from a victim services organization ▪ Obtain psychological or other counseling ▪ Seek relocation or take steps to secure an existing home due to domestic abuse, sexual assault or stalking ▪ Seek legal advice or take legal action, including preparing for or participating in any civil or criminal legal proceeding related to or resulting from domestic abuse, sexual assault, or stalking b) For Earned Sick and Safe Time purposes, family member includes an employee’s: o Spouse or registered domestic partner o Child, foster child, adult child, legal ward, child for whom the employee is legal guardian, or child to whom the employee stands or stood in loco parentis o Sibling, step sibling or foster sibling o Biological, adoptive or foster parent, stepparent or a person who stood in loco parentis when the employee was a minor child o Grandchild, foster grandchild or step grandchild o Grandparent or step grandparent o A child of a sibling of the employee o A sibling of the parent of the employee or o A child-in-law or sibling-in-law o Any of the above family members of a spouse or registered domestic partner o Any other individual related by blood or whose close association with the employee is the equivalent of a family relationship o Up to one individual annually designated by the employee c) Advance Notice for use of Earned Sick and Safe Time (ESST) If the need for ESST is foreseeable, the city requires seven (7) days’ advance notice. However, if the need is unforeseeable, employees must provide notice of the need for ESST as soon as practicable. When an employee uses Earned Sick and Safe time for more than three (3) consecutive days, the city may require appropriate supporting documentation (such as medical documentation supporting medical leave, court records or related documentation to support safety leave). However, if the employee or employee's family member did not receive services from a health care professional, or if documentation cannot be obtained from a health care professional in a reasonable time or without added expense, then reasonable documentation may include a written statement from the employee indicating that the employee is using, or used, ESST for a qualifying purpose. The city will not require an employee to disclose details related to domestic abuse, sexual assault, or stalking or the details of the employee’s or the employee’s family member’s medical condition. In accordance with state law, the city will not require an employee using ESST to find a replacement worker to cover the hours the employee will be absent. Page 85 of 88 d) Carry Over of Earned Sick and Safe Time Paid-on-call Firefighters, part-time Liquor employees, seasonal employees, and temporary employees are eligible for carry over accrued but unused ESST into the following year, but the total ESST carry over hours shall not exceed 80 hours. e) Retaliation prohibited The city shall not discharge, discipline, penalize, interfere with, or otherwise retaliate or discriminate against an employee for asserting ESST rights, requesting an ESST absence, or pursuing remedies. Additionally, it is unlawful to report or threaten to report a person or a family member’s immigration status for exercising a right under ESST. f) Benefits and return to work protections An employee returning from time off using accrued ESST is entitled to return to their city employment at the same rate of pay received when their leave began, plus any automatic pay adjustments that may have occurred during the employee’s time off. Seniority during ESST absences will continue to accrue as if the employee has been continually employed. g) Separation from employment Upon separation from employment, Earned Sick and Safe Time previously accrued but not used will not be paid out. When there is a separation from employment with the city and the employee is rehired again within 180 days of separation , previously accrued ESST that had not been used will be reinstated. An employee is entitled to use and accrue ESST at the commencement of reemployment. Page 86 of 88 Page 87 of 88 Date: 1/2/2024 Appointment of the acting mayor for 2024 Proposed Action Staff recommends adoption of the following motion: Move to appoint the acting mayor for 2024. Overview The Minnesota statute states the City Council shall elect an acting mayor at its annual meeting (first meeting of the year). The acting mayor shall perform the duties of the mayor if there is a vacancy in the mayor's position or during the mayor's disability or absence. Councilmember Lee currently serves as acting mayor. Supporting Information None Financial Impact: $ Budgeted: No Source: Envision Lakeville Community Values: Good Value for Public Service Report Completed by: Ann Orlofsky, City Clerk Page 88 of 88