September 12, 2016

REGULAR COUNCIL MEETING
CITY COUNCIL CHAMBERS, CITY OF ALBERT LEA
Monday, September 12, 2016, 7:00 P.M.

PRESENT: Mayor Vern Rasmussen Jr., Councilors John Schulte V, Larry Baker, George Marin, Reid Olson, Larry Anderson and Al Brooks. Also present were City Manager Chad Adams, Assistant City Manager Jerry Gabrielatos, City Attorney Lee Bjorndal and City Engineer Steven Jahnke.

ABSENT: City Clerk Shirley Slater-Schulte

CEREMONIAL

Deputy Director J.D. Carlson of the Albert Lea Police Department recognized two reserve officers, Andy Nelson and Michael Johannsen.

PUBLIC FORUM

Randy Kehr, 1712 Plainview Lane, informed Council that the Minnesota Supreme Court will come to Albert Lea to hold a live oral argument. The Court will also hold an informal evening while in town. Kehr provided details for those interested in attending.
Dave Karge, 702 Frank Avenue, expressed gratitude to the City Council for installing a sidewalk in his neighborhood.
Harold Kamrath, 326 Glenn Road, questioned the purchase and installation of an electric fish barrier by the Shell Rock River Watershed District and the purchase and storage of the dredge. He proposed spending on roads and bridges rather than on dredging Fountain Lake.
Steven Seltun, 612 Ulstad Avenue, requested that the City complete resurfacing of Ulstad.

CONSENT AND APPROVAL OF AGENDA
A. Approve Minutes Of The August 22, 2016 Regular Council Meeting
B. Approve Minutes Of The August 18, 2016 Work Session
C. Approve Minutes Of The September 1, 2016 Budget Work Session
D. Licenses & Permits (See Attached List)
E. Resolution Accepting Donations Presented To The City Of Albert Lea
F. Resolution Declaring Surplus And Abandoned Property At Wastewater Treatment Plant
G. Resolution Calling A Public Hearing On Final Assessments For Northwest Sewer And Water Extension – St. John’s Lutheran Home Extension Project (Jobs 9432 & 1556)
H. Resolution Calling A Public Hearing On Proposed Assessments For 2016 Neighborhood Improvement Project (Job 1601)
I. Resolution Calling A Public Hearing On Proposed Assessments For 2016 Lake Chapeau Drive Improvement Project (Job 1602)
J. Resolution Calling A Public Hearing On Proposed Assessments For Edgewater Drive And Parking Lots Reconstruction Project (Job 1606)
K. Resolution Calling A Public Hearing On Proposed Assessments For Virginia Place From 4th Street To 7th Street And 5th Street From Th-65 To St. John Avenue Reconstruction Project (Job 1557)
L. Resolution Calling A Public Hearing On Proposed Assessments For Park Avenue, Grace Street, Mariners Lane & Harriet Lane Reconstruction Project (Job 1565)
M. Resolution Calling A Public Hearing On Proposed Assessments For Parcel 34-165-0170 (Job 1118)
N. Resolution Accepting Grant Award From Minnesota Historical Society
O. Resolution Accepting Library Services And Technology Grant Award From Minnesota Department Of Education
P. Resolution Accepting Bid And Approving Agreement With Seating And Athletic Enterprises, LLC
Q. Resolution Calling A Public Hearing On Proposed Assessment For Delinquent Water/Sewer Accounts And Miscellaneous Delinquent Accounts Receivable
R. Approve Closure Of Fountain Street From 8:00 AM To 2:00 PM On October 8, 2016 For Fire Prevention Open House

MOTION: Move to approve the consent agenda.

Motion made by Councilor Baker, seconded by Councilor Anderson. On roll call vote, the following councilors voted in favor of said motion: Schulte V, Baker, Marin, Olson, Anderson, Brooks and Mayor Rasmussen. Mayor Rasmussen declared the motion passed.

(See Secretary’s Original Resolution 16-179 – 16-191
included with these minutes.)

PETITIONS, REQUESTS, AND COMMUNICATIONS
A. HRA Preliminary Property Tax Levy – Jon Ford

Jon Ford, Executive Director of the Albert Lea HRA announced that the levy request remains the same. He noted that the HRA has been saving money for a housing study. He noted that the previously conducted study has had a $17,000,000 impact.

Baker asked about the possibility of funding the Small Cities program in 2017. Ford responded that the City should continue to focus on commercial and rental properties in downtown, as well as market rate rental opportunities. He noted that cities may not be awarded funding in consecutive years they apply.
B. 2017 Port Authority Budget – Ryan Nolander

Adams highlighted the Albert Lea Port Authority budget, noting that the Council only approves the budget if there is a request for funding or a tax levy. There is not this year, nor has there been in previous years. A motion was made to accept the budget.

NEW BUSINESS
A. 2017 PRELIMINARY BUDGET
1. Resolution 16-192 Adopting the 2016 Preliminary Budget And Property Tax Levy

Finance Director Kristi Brutlag delivered a PowerPoint presentation about the preliminary tax levy for the 2017 budget. She discussed the City’s bonds, market values and tax base. The next slide displayed the City’s levy, tax capacity and tax rate. She mentioned that the increase in tax capacity reduced the tax rate. Brutlag continued, showing the projected 2017 general fund expenditures and revenues.

Adams then commented that the expected LGA contribution from the state government did not materialize. Had that happened, there may not have been a levy increase at all.

Brutlag showed changes in the 2017 budget from previous years, City’s projected debt obligations and schedule for setting the budget.

Rasmussen said that the Council would like to hold the operating levy at the same rate.

Motion was made by Councilor Anderson and seconded by Councilor Brooks. On roll call vote, the following councilors voted in favor of said motion: Schulte V, Baker, Olson, Anderson, Brooks and Mayor Rasmussen. Councilor Marin voted nay. Mayor Rasmussen declared the motion passed.

(See Secretary’s Original Resolution 16-192
included with these minutes.)

2. Resolution 16-193 Approving Albert Lea Housing And Redevelopment Authority Preliminary Property Tax Levy For Fiscal Year 2017

Adams said that the HRA levy is beneath what could maximally be requested.
Motion was made by Councilor Baker and seconded by Councilor Schulte. On roll call vote, the following councilors voted in favor of said motion: Schulte V, Baker, Marin, Olson, Anderson, Brooks and Mayor Rasmussen. Mayor Rasmussen declared the motion passed.
(See Secretary’s Original Resolution 16-193
included with these minutes.)

Resolution 16-194 Granting Approval Of Site Plan Review For Minnesota Energy Resources Office And Service Center In IDD Zone

Adams presented the site plan, explaining that Minnesota Energy Resources Corporation (MERC) plans to construct an operations and service center at the Habben 1st Addition, located in the Interstate Development District between Hwy. 65 and I-35. The land, owned by Greater Jobs, Inc. was recently split to create a 2-acre parcel for this development. The proposed building will include space for training, offices and storage.

Maria Jordan, MERC project manager for this proposal, offered to take questions from the Council. Rasmussen commended MERC for being a great partner in the community. Marin, Rasmussen and Adams discussed how the project will be completed without assistance from taxpayers.
Motion was made by Councilor Marin and seconded by Councilor Schulte. On roll call vote, the following councilors voted in favor of said motion: Schulte V, Baker, Marin, Olson, Anderson, Brooks and Mayor Rasmussen. Mayor Rasmussen declared the motion passed.

(See Secretary’s Original Resolution 16-194
included with these minutes.)

MAYOR AND COUNCIL REPORTS

First Ward, Councilor Schulte V:
• Schulte thanked officers and a resident for returning his lost dog.
• Attended the HRA board meeting.

Second Ward, Councilor Baker:
• Was unable to attend the Planning Commission meeting.
• Has passed along ward items to staff.

Third Ward, Councilor Marin
• Thanked staff for mowing Spark and Front property.
• Announced that the Human Rights Commission will be welcoming a guest speaker from Mankato.
• Requested that Albert Lea Clean-Up Day occur in the spring and fall.
• Asked how long reprimands of employees remain in personnel files.

Adams answered that there will be a clean-up day in the fall.

Fourth Ward, Councilor Olson:
• Attended a ribbon cutting ceremony in the Tiger Hills area.

Fifth Ward, Councilor Anderson:
• No ward or committee items.

Sixth Ward, Councilor Brooks:
• Ward Items – suggested that clean-up be performed in the areas where there has been ongoing construction.

Mayor Rasmussen:
• Announced that the Upper Midwest Power Boat Association will hold the Fountain Lake Power Boat Drag Race on Saturday, September 24th starting at 1:00 p.m.

CITY MANAGER REPORT
Adams stated that he received the reconstruction report regarding the traffic fatality that occurred this summer. It will be reviewed with Council at the September 22nd Work Session and the regular meeting of September 26th. Adams announced that the Watershed will be holding a public hearing on September 13th on a proposed tax levy. He plans to attend and request the Watershed administer the lowest possible tax levy on behalf of the Council as discussed at the Council Work Session. He said that the Watershed is considering bonding as well.

APPROVAL OF CLAIMS
A. Resolution 16-195 Approving Contract with Councilmember Brooks

The attached resolution directs the Mayor and City Clerk to make payment in the amount of $24.00 on behalf of the City for a claim from Brooks Safety Equipment and to issue payment for filing the affidavit of official interest by the interested official, Councilor Brooks.
Motion made by Councilor Baker, seconded by Councilor Anderson. On roll call vote, the following councilors voted in favor of said motion: Schulte, Baker, Marin, Olson, Anderson and Mayor Rasmussen. Mayor Rasmussen declared the motion passed. Councilor Brooks abstained.

(See Secretary’s Original Resolution 16-195
included with these minutes.)

B. Resolution 16-196 Approving Claims
(1). Presentation of Claims Over $25,000

Adams underlined that the revenue from the lodging tax has rarely been as high as it was in August.
In response to questions from Baker, Jahnke said that property pins have been installed and the City has not made final payment to the contractor for work on Lakeview Boulevard.
The resolution directed the Mayor and City Clerk to issue the payment of claims as presented in the Detail of Claims report. Adams highlighted the claims over $25,000.

Motion made by Councilor Brooks, seconded by Councilor Olson. On roll call vote, the following councilors voted in favor of said motion: Schulte V, Baker, Marin, Olson, Anderson, Brooks and Mayor Rasmussen. Mayor Rasmussen declared the motion passed.

(See Secretary’s Original Resolution 16-196
Include with these minutes.)

ADJOURNMENT – 7:51 PM

Motion made by Councilor Marin, seconded by Councilor Baker, that there being no further business, the Council meeting adjourn until the next regular meeting of the Albert Lea City Council at 7:00 p.m., on Monday, September 26, 2016. On roll call vote, all councilors voted in favor of said motion. Mayor Rasmussen declared the motion passed and the meeting adjourned.

__/s/_____________________
Mayor Vern Rasmussen Jr.

_/s/__________________________
Jerry Gabrielatos
Council Secretary Pro Tem

Minnesota state law (Chapter 156 of the Session Laws of 2005) requires that "a city or county with a population of more than 15,000 must annually notify its residents of the positions and base salaries of its three highest-paid employees." For the City of Albert Lea, titles and salaries as of Jan. 1, 2019, are: City Manager, $138,375.12; Director of Public Works/City Engineer $110,780.80; and Director of Public Safety $103,646.40. Date of publication: January 23, 2019.