ITEM 5.1 Consider Resolutions0
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DEPARTMENT INFORMATION
Request for
City Council Action
ORIGINATING DEPARTMENT
REQUESTOR:
MEETING DATE:
Administration
City Clerk Loff
April 13, 2020
PRESENTER(s)
REVIEWED BY:
ITEM #:
Administration
City Administrator/Finance Director Flaherty
5.1
STRATEGIC VISION
MEETS:
THE CITY OF OTSEGO:
X
Is a strong organization that is committed to leading the community through innovative
communication.
Has proactively expanded infrastructure to responsibly provide core services.
Is committed to delivery of quality emergency service responsive to community needs and
expectations in a cost-effective manner.
Is a social community with diverse housing, service options, and employment opportunities.
Is a distinctive, connected community known for its beauty and natural surroundings.
AGENDA ITEM DETAILS
RECOMMENDATION:
City staff recommends the City Council adopt Resolution 2020-23 and 2020-24.
ARE YOU SEEKING APPROVAL OF A CONTRACT?
IS A PUBLIC HEARING REQUIRED?
No
No
BACKGROUND/JUSTIFICATION:
2020 On -Sale Intoxicating Liquor License Renewal
The liquor licenses within Otsego are to expire June 301"; the City Clerk is currently working on the renewal
paperwork. Per the City fee schedule, the On- Sale Intoxicating Liquor license fee is $4,500 and the Intoxicating
Liquor (Sunday) license fee is $200 for a total of $4,700. With the mandated closure of these establishments due
to the Governor's Executive Orders, City staff is recommending prorating the license fee for the months they
have been closed. City staff recommends prorating the 2019 fees which is allowed per MN State Statute
340.A408, Subd 5 (3) and also recommend allowing a 90 day grace period for the 2020 renewal fees to be paid.
The application would still be approved and processed as required; however, this would provide the
establishment's additional time to pay the license fees.
Delinquent Utility Billing Accounts
The Otsego City Code Section 8-1-9.A, states that a late payment fee of ten percent shall be assessed on the
unpaid portion on all delinquent utility accounts.
To avoid imposing financial hardship on the residents and/or businesses within the City during the current
COVID-19 health pandemic, City staff recommends the City Council approve the attached Resolutions.
Both of these items were reviewed at the April 8, 2020 Administrative Subcommittee and recommended
for approval.
SUPPORTING DOCUMENTS ATTACHED:
Resolution 2020-23
Resolution 2020-24
POSSIBLE MOTION
PLEASE WORD MOTION AS YOU WOULD LIKE IT TO APPEAR IN THE MINUTES:
Motion to adopt Resolution 2020-23 amending the fee schedule related to intoxicating liquor license fees
for 2020 and Resolution 2020-24 suspending penalties on delinquent billing accounts.
BUDGET INFORMATION
FUNDING:
BUDGETED:
Liquor Licenses
If adopted, both Resolutions would cause
General Fund: 101-32210
revenue shortfalls when compared to the 2020
budgets.
Utility Penalties
Water Utility Fund: 601-31900
Sanitary Sewer Utility Fund: 602-31900
Storm Water Utility Fund: 222-31900
CITY OF OTSEGO
COUNTY OF WRIGHT
STATE OF MINNESOTA
RESOLUTION NO: 2020-23
AMENDING THE FEE SCHEDULE RELATED TO INTOXICATING LIQUOR LICENSE FEES FOR 2020
WHEREAS, the City adopted Ordinance 2019-27 setting the 2020 fee schedule for City Services, Permits and
Licenses; and
WHEREAS, the City adopted Resolution 2020-20 declaring a local emergency in regards to the Governor
issued Executive Order 20-01 declaring a peace time emergency and coordinating Minnesota Strategy to
Protect Minnesotans from COVID-19; and
WHEREAS, on Monday, March 17, 2020 Minnesota's Governor Tim Walz made the decision to force all
Minnesota restaurants and bars to close on -sale liquor operations until at least May 1, 2020 in the wake
of the coronavirus pandemic; and
WHEREAS, the current On -Sale Intoxicating, 3.2 On -Sale and Wine and Sunday Liquor -licenses issued by the
City will expire June 30, 2020; and
WHEREAS, Minnesota State Statute 340.A408, Subd. 5(3) allows the City to prorate a share of an annual
license fee; and
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF OTSEGO, MINNESOTA:
1. The City Council hereby approves to prorate the 2019 (July 1, 2019- June 30, 2020) on -sale liquor
license fee from March to June in accordance with MN State Statute 340.A408, Subd. 5. 3 to be
applied as a credit for the fees due with application for renewal of the license for 2020-2021.
2. The City Council shall allow the following list of existing 2019-2020 on -sale liquor license holders 90
days (to September 30, 2020) to pay their 2020 license fees due. If the license fee is not paid by
the extended deadline or further extended by the City Council, any on -sale license for which the fee
has not been paid shall be suspended.
Establishment
License Type
Paid
2019
Credit
Amount
Due in 2020
Boondox Bar & Grill
On -Sale Intoxicating/Sunday
$4700
$1568
$3132
Cowboy Jacks Saloon
On -Sale Intoxicating/Sunday
$4700
$1568
$3132
Pour Wine Bar and Bistro
On -Sale Intoxicating/Sunday
$4700
$1568
$3132
Riverwood Tavern
On -Sale Intoxicating/Sunday
$4700
$1568
$3132
Drake O'Neill's
On -Sale Intoxicating/Sunday
$4700
$1568
$3132
Holiday Inn
On -Sale Intoxicating/Sunday
$4700
$1568
$3132
Rockwoods Bar & Grill
On -Sale Intoxicating/Sunday
$4700
$1568
$3132
Denny's
3.2 On -Sale Liquor & Wine
$250
$83.32
$166.68
ADOPTED by the Otsego City Council this 13th day of April, 2020.
MOTION BY:
SECONDED BY:
IN FAVOR:
OPPOSED:
2
CITY OF OTSEGO
Jessica L. Stockamp, Mayor
ATTEST:
Tami M. Loff, City Clerk
CITY OF OTSEGO
COUNTY OF WRIGHT
STATE OF MINNESOTA
RESOLUTION NO: 2020-24
SUSPENDING PENALTIES ON DELINQUENT UTILITY BILLING ACCOUNTS
WHEREAS, on March 13, 2020, Minnesota Governor Tim Walz issued Emergency Executive Order 20-01
declaring a peacetime emergency and coordinating Minnesota's strategy to protect Minnesotans from
COVID-19; and
WHEREAS, on March 23, 2020, the Otsego City Council adopted Resolution 2020-20 declaring a local
peacetime emergency due to the COVID-19 health pandemic; and
WHEREAS, the COVID-19 health pandemic has the possibility of causing variable and wide-ranging
effects on the residents and businesses within the City; and
WHEREAS, the City Council wants to avoid imposing financial hardship on the residents and businesses
within the City during the COVID-19 health pandemic; and
WHEREAS, the City of Otsego City Code Section 8-1-9.A, states that a late payment fee of ten percent
(10%) shall be assessed on the unpaid portion(s) on all delinquent utility accounts.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF OTSEGO, MINNESOTA:
1. The City =-shall suspend the imposition of the late payment fee outlined in City Code Section 8-
1-9.A for a period of three (3) months, effective with the April 2020 billing period.
ADOPTED by the Otsego City Council this 13th day of April, 2020.
MOTION BY:
SECONDED BY:
IN FAVOR:
OPPOSED:
2
CITY OF OTSEGO
Jessica L. Stockamp, Mayor
ATTEST:
Tami M. Loff, City Clerk