HomeMy WebLinkAbout04-25-11 WSMinutes
Lakeville City Council Work Session
April 25, 2011
In attendance: Mayor Mark Bellows
Council Member Laurie Rieb
Council Member Kerrin Swecker
Council Member Matt Little
Council Member Colleen LaBeau
Staff: Steve Mielke, City Administrator
Dennis Feller, Finance Director
Dave Olson, Community and Economic Development Director
Keith Nelson, City Engineer
Steve Michaud, Parks and Recreation Director
Tom Vonhof, Police Chief
Judi Hawkins, Deputy City Clerk
The meeting was called to order at 6:00 p.m. by Mayor Bellows.
ITEM #1 — Cedar Avenue BRT station siting study.
Present were Dakota County Planner Kristine Elwood, Transportation Director Mark
Krebsbach, and County Commissioner Paul Krause. Also present were Jim Lasher and Joann
Olson from LSA; and Doug Berry from CH2M. Kristine Elwood explained that the objective
was to identify four locations for siting of BRT stations between 160 Street and 215 Street in
Lakeville. Three of those stations will be walk -up stations which are intended to serve
neighborhoods within a one - quarter to one -half mile radius. Several public input meetings
were held with area residents and businesses that would be impacted by these stations and
the BRT system in order to involve them in the decision - making process.
The 161S Street station was anticipated to be a walk -up station in Stage 1 of the project: 2009-
2012. The options at this location included: A) full closure of westbound 161" Street, B) right
turn in only from westbound 161 st Street, or C) not locating a station at this location. For
Options A or B it was determined that a curb -stop rather than a pull -out bus stop would allow
additional location options; however this would reduce access to the retail businesses. In
meetings with the business owners they expressed a desire to not have a bus stop due to the
impact it would have on access to their businesses. Ridership along the entire stretch from
160 Street to 215 Street is estimated to be 50 to 100 per day.
Glacier Way will be a walk -up station which will be developed between 2012 and 2020 with
station -to- station service only. Sites have been identified northeast and southwest of the
Glacier Way /Cedar Avenue intersection. Cost would be approximately $240,000.
City Council Work Session Minutes
April 25, 2011 Page -2-
The 195 Street walk -up station will be developed between 2020 and 2030, probably after
the 215 Street station. At this time, this is planned to be station -to- station service only.
The 215 Street station is planned to be a park and ride to be developed between 2020 and
2030. This is a permanent end -of -line station with express and local bus service, and
potential shuttle service for the industrial area. Initial plans include 60 parking stalls with an
expansion area that would accommodate an additional 200 vehicles. The location is
currently a park and pool site.
Council Member Swecker asked if the estimated capital improvement costs for each project
include property acquisition costs. Ms. Elwood stated that right -of -way has been acquired for
all the sites and those costs are included.
Council Member LaBeau asked if developers would have added expenses, particularly in the
area of 195 Street, which is not yet platted. Ms. Elwood stated that there is an existing right -
of -way and the developer would not have added acquisition costs.
Council Member Little asked if ridership of 50 to 100 persons per day would justify spending
this much money on station stops. Mr. Krebsbach stated that by getting ahead of
development, the presence of BRT would encourage greater density and ridership.
Mr. Little asked about the future of the 161 st Street stop. Jim Lasher stated that this is a change
in the anticipated system layout but that area and the area to the north will continue to be
monitored and will be reevaluated in the future as a possible station site.
Steve Mielke asked about the operational financing mechanisms for the station to station
service. Mr. Krebsbach stated that is still being developed and that the legislature could also
have an impact on what will be done with future BRT system on Cedar Avenue.
ITEM #2 — Insurance renewals.
Finance Director Dennis Feller restated the questions that had been posed by Council at their
January work session. Staff had investigated the three areas of insurance coverage as directed.
The following results and recommendations were presented:
1. Explore cost of coverage from insurers other than LMC Insurance Trust: Insurance
requirements for government are different than for businesses due to the extensive scope of
operations. Monetary limits on municipal tort liability are established by Minnesota Statutes.
The LMCIT also addresses risk management and provides claims processing and training
which results in claims reduction.
2. Discussion of deductible options and premiums. Brian Lundquist, Nesbit Agency, and Jeff
Kohlnhofer, Kohlnhofer Agency, the City's agents of record, had provided extensive
information regarding the City's liability insurance. A discussion was held regarding the City's
coverage for sanitary sewer backups into homes. Mr. Lundquist stated that the premiums are
City Council Work Session Minutes
April 25, 2011 Page -3-
cost prohibitive and exceed the potential risk, especially when considering the City's $50,000
deductible. In addition if the City's sanitary sewer system is maintained and televised on a
regular basis to discover any potential problems, the City is less likely to experience losses.
Council Member LaBeau asked about the recent sewer backup situation in Chanhassen. Mr.
Lundquist stated that a watermain had broken which caused water to enter the sewer system
which in turn flooded several homes. The chances of that happening are extremely rare,
especially in Lakeville because the infrastructure is very well maintained.
3. What cities are either self - insured or insured through Traveler's Insurance? In 1980 the
private insurance companies dropped their coverage for cities, leaving Traveler's Insurance as
the only active underwriter of municipal coverage in Minnesota. That company does not offer
the level of coverage that is appropriate for the City of Lakeville. Of the state's 854 cities, 830
are insured through LMCIT. In addition, the League of Minnesota Cities works exclusively
with cities and so stays better informed about changes in legislation.
4. Have other insurance brokers bid for workers compensation insurance in the last five
years? An extensive analysis was done regarding workers compensation insurance and staff
recommends staying with the current plan. Comparable workers compensation insurance is
not available with other carriers.
Council directed staff to continue the current levels of property, casualty, and workers
compensation insurance through LMCIT with no excess liability coverage and no extra
coverage for sanitary sewer backup; that the city does not waive their rights under the
statutory limits; and that the city stays with the current deductibles. In addition, Brian
Lundquist and Jeff Kohlnhofer would be retained as Lakeville's agents of record.
ITEM #3 — Pan -O -Prog float storage and transportation request.
As a result of a private company agreeing to store and transport a Pan -O -Prog float, the needs
have been met and the Pan -O -Prog committee has withdrawn its request.
ITEM #4 — Former police station building: Senior Center /Historical Society proposal
Parks and Recreation Director Steve Michaud and Lakeville Area Historical Society Treasurer
Wally Potter provided an overview of the proposed re -use of the former police station by the
Senior Citizens and the Historical Society. On a diagram of the current layout Mr. Potter
showed their concept for how the two groups could function compatibly in the building. The
current Historical Society building is 3,500 square feet and lacks handicapped accessibility
and ADA compliance. Programs at the Senior Center are often filled to capacity due to
limited space in the 5,000 square foot building. The police station building would provide a
total of 17,000 square feet, of which some space such as the kitchen and conference rooms
would be shared.
City Council Work Session Minutes
April 25, 2011 Page -4-
An appraisal of the current Senior Center, paid for by the Historical Society, established the
building's value at $345,000. The Senior Citizens club recently paid for a survey of 200 of its
members. According to the survey, conducted by Decision Resources, a majority of the
membership supported the move and members were willing to pay higher dues and help with
fundraising. The current senior center kitchen will need to be brought into compliance with
Health Department regulations which will cost approximately $125,000. The roof on the
Historical Society building is in need of extensive repairs. Due to the age of the building it is
not cost effective to bring it up to ADA compliance. There are some funds in the Building
Fund that are earmarked for the restoration of the Police Station building.
Council Member Little asked if there would be any Block Grant funds available. Mr. Feller
stated that the grant funds that were originally used for the existing senior center would need
to be repaid if the building was sold; however, these funds will be redirected toward the
remodeling project if it is approved, so they would not be out of pocket expenditures.
The Senior Citizens club raises $10- 12,000 per year with events such as pancake breakfasts,
craft sales, bake sales, etc. They anticipate being able to raise additional funds similarly to
what was done for the Arts Center, Veterans Memorial, and Miracle Field. Some of the
smaller projects such as painting could also be completed by volunteers.
Mr. Mielke stated it would be important to see what kind of community interest and
commitment is shown toward this project. He feels it is important to gauge support,
Council Member LaBeau asked about the 15% project management fee. Mr. Mielke stated
that this fee applies if the project is supervised by construction manager.
Council discussed the appraisal of the Senior Center and the anticipated net balance after
realtor fees. Mr. Mielke stated that it the Senior Center is to be sold the City would first
attempt to sell it on its own. Council members also asked why the cost to tear down the
LAHS building was so high. Staff speculated that the company providing the bid might
anticipate having to get rid of asbestos due to the building being over 70 years old.
LaBeau asked how much they anticipated the membership fees would go up. Linda Walter
stated that currently the fees are $9 per person or $15 per couple. Recent comparisons to
surrounding cities show seniors in other cities paying a wide variety of fees. Specific new fees
have not been determined.
Council Member Swecker stated that she would not be in favor of raising taxes to pay for the
project. Swecker feels the project might be meeting a "want" more than a "need ".
Council Member Little feels it is essential to sell the existing senior center before moving
forward with this project and asked how the $300,000 shortage would be financed. Steve
Mielke stated that an internal loan would be considered.
City Council Work Session Minutes
April 25, 2011 Page -5-
LaBeau is concerned that the City is taking a valuable building and giving it away to the
seniors. She questioned what would happen to the donated funds if the City ever wanted to
sell the building. Mielke stated that the City would still own the building and its assets and
would have options if it was not used as a senior center.
Steve Michaud stated that the population of Lakeville will continue to mature and senior
memberships are anticipated to grow as more people are reaching the age when they will use
the services of the senior center.
Mayor Bellow suggested a paradigm shift, thinking in terms of a senior events coordinator
rather than a facility manager. This would open up the possibility of using various facilities in
the city for activities, such as churches and schools. Linda Walter feels one of the most
essential components of the senior center is the members' sense of unity and belonging.
Little stated that the seniors have built this community and have been its backbone. He feels
they deserve a nice senior center and this project would be of benefit to the community.
Council believes the first step is to determine the level of community support and financial
commitment and will wait to make a decision until that is established. Staff will solicit
feedback from the residents through Messages and the City's cable channel and place this
item back on a work session agenda in approximately 60 days with the results.
ITEM #5 — Review of Police records technician position.
Police Chief Vonhof stated that purpose of this position is for officers' administrative support.
The position has been vacant since October 2008. Officers must do their own word
processing of reports and witness statements which takes a lot of time that would be better
used on patrols and other duties. Expanded officer hours would better serve the community.
Delays in completing reports and other paperwork cause difficulty with the courts and with
people receiving accident reports, etc. in a timely manner. The Chief is asking to hire either
one full -time or two part-time people to help with the workload.
Council Member Swecker asked if voice recognition software has been explored. Vonhof
stated that they have researched this and spoken with other police departments that are using
it. He feels that voice recognition technology for the police field has not advanced to an
acceptable level. Reports that are released from the Police are evidentiary and need to be
absolutely perfect for the criminal justice system. In addition, the position holds a high level
of confidentiality and much of the information needs to be carefully guarded.
Council Member Little asked why the Chief is recommending two part-time workers instead
of one full -time. Vonhof stated that two part-time staff can offer the ability to increase staff
hours during the times that are very busy as well as provide greater flexibility in scheduling.
City Council Work Session Minutes
April 25, 2011
Page -6-
Council Member LaBeau believes the technology will soon be available to perform this
function. Chief Vonhof will address the technology question as part of the 2012 budget.
City Council directed Police Department staff to work with Human Resources to proceed with
the hiring of two part -time police records technicians.
ITEM #6 — 2012 -13 budget process and timeline.
Dennis Feller provided a tentative schedule for approving the 2012 budget. A suggested
timeline is to deliver the proposed budget to the City Council on July 23, discuss it at July and
August work sessions, hold public open house comment and question sessions in October
and November, hold a Truth in Taxation Public Hearing on December 5, and adopt the 2012
budget and tax levy on December 19
Council members asked if a special open house could be scheduled with the Chamber's
public policy committee as well as the entire Chamber membership.
Mayor Bellows suggested that due to people being very busy at the Christmas season, it might
be advantageous to hold open houses earlier. Staff will research state statutes that might
apply and report back to the Council with a modified schedule, if appropriate.
ITEM #7 — Finance Task Force.
At their February and March work sessions Council discussed establishment of a finance
policy committee or task force. At Council's direction staff prepared a draft framework of the
mission, organization, and membership of the proposed committee. The framework is similar
to the current ISD 194 finance task force. Staff prepared draft guidelines for a Finance Task
Force which integrated concepts presented at the last work session.
Steve Mielke believes the application process should be similar to other City advisory
committees. He reminded Council that any committee officially created by them will be
subject to the same open meeting laws as the Council.
Mayor Bellows is not convinced that a finance task force will end the frustration he believes
the community feels.
Council Member Rieb compared the group to the Parks and Recreation Committee and EDC
whose purposes are to gather information for and make recommendations to the Council.
Mielke stated that public opinions need to be encouraged as much as possible so residents
will feel they have been heard; however, struggles could arise if the task force attempts to
make decisions rather than give advice. Task force responsibilities need to be clearly defined.
City Council Work Session Minutes
April 25, 2011 Page -7-
Mielke cautioned the Council to avoid asking this committee to recommend specific spending
and taxation levels as these are policy matters that need to be debated by the Council.
Council Member Little stated that he is not sure that another layer of government is necessary
and is hesitant to establish this group that is not accountable to the taxpayers. Little feels the
public already has several avenues to present their opinions and ideas to the Council. Since
the Council is ultimately accountable, spending decisions should belong exclusively to them.
The purpose of the Finance Task Force should be to help staff with identifying funding sources
and options for financing and make those recommendations to the Council.
EDC member Sheila Longie stated that the Chamber's Government Affairs / Finance Policy
Committee was pleased that their recommendation to form the City's Finance Task Force had
been accepted. She believes the committees will work well together.
Little asked how much the committee would actually cost the City. Mielke stated that it
would be difficult to estimate the cost, but staff time would be needed from the Finance
Director or City Administrator to work with the task force, and also time from Finance Dept.
staff for preparation of documents.
Mayor Bellows asked if there was a consensus by the Council that the establishment of the
task force should be pursued. Council Member Little stated that he is not comfortable with
voting on this without an estimate of what the cost will be.
Council directed staff to prepare this item for consideration at a future Council meeting.
ITEM #8 — Review of work session logistics.
City Administrator Mielke stated that the Council had previously discussed the possibility of
moving the work sessions from the Marion Conference Room to accommodate a larger
audience and possibly televising or live- streaming the meetings. He feels that even though
the Marion Conference Room does not perfectly meet the needs for work sessions, it is a more
intimate, face - to-face environment that is conducive to accomplishing the purpose of work
sessions, which is to discuss ideas and opinions in a casual, thoughtful setting. Mr. Mielke
feels that if work sessions are televised, they could become regular meetings where Council
business is conducted.
After some discussion it was Council's determination that the Marion Conference Room is the
best venue for monthly work sessions.
ITEM #9 — Other:
Council Committee and Inter- agency Reports
Council Member Rieb stated that she would like to represent the Council on the Chamber of
Commerce Public Policy Committee, however she realizes others also attend and she wishes
City Council Work Session Minutes
April 25, 2011
page -8-
to be cognizant of the open meeting law. If three Council members attend, the meeting
would need to be open to the public, and that is not the Chamber's intent. Council member
LaBeau who currently attends will step back so that Council Member Rieb may attend.
• ALF
Preparing for the annual Board of Directors meeting. The board will be
discussing how Allina will determine where to station their ambulances.
• DCC
The DCC is in the process of establishing their 2012 budget.
• Lakeville Arenas
Arena Manager Shayne Ratcliff has done an excellent job on preparing the annual
report. Council will be receiving a copy of the report soon.
• M LC
Comparisons of tax burdens from outstate vs. metro cities are on their website.
Council is encouraged to take note and speak to their representatives.
• CVB
Staff and the Chamber together explored the possibility of additional directional
signage along the southbound 35W exit ramp to increase visibility for hotels,
restaurants, and gas stations. Because the County does not allow signs on their
right -of -ways the blue signs will need to be placed on private property. Staff is
recommending Council adopt a policy to designate the maximum number of
signs that can be placed on private property.
• DLBA
This year's summer events will be held on Thursday evenings instead of
Wednesdays. The DLBA has prepared a tentative schedule of entertainment.
ITEM #10 — Adjourn.
The meeting adjourned at 9:15 p.m.
Respectfully submitted,
J di Hawkins
Deputy Clerk
Mark Bellows
Mayor