11-08-2021 Special City Council MinutesMINUTES OF THE CITY OF OTSEGO SPECIAL CITY COUNCIL MEETING NOVEMBER 8, 2021
Services Agreement. The contracted Fire Department would manage the new fire department,
equipment and personnel. Mayor Stockamp asked if a contractor could be hired vs. one of the
three departments. Mr. Streich said there are retired Fire Chief's, but is concerned with the
amount of work required. Mayor Stockamp was wondering how a current Fire Chief would
manage with their other duties. Mr. Streich said it would need to be written in the contract to
review the options to run the operations.
Option 3 -Form a Tax District. Build a Fire Station. This allows two or more political
subdivisions to create a special taxing district to provide fire protection and emergency services.
The City Council would adopt a resolution and create the the district. Mr. Streich said the
elected officials appoint fellow elected officials to serve as board members of the district. Mayor
Stockamp asked for examples of other cities that have used this method. Mr. Streich said
smaller cities with larger areas to cover are looking at this option. Mayor Stockamp asked why
would established cities want to join? Mr. Streich said this was just one of the options and
doesn't know that one of the cities in the area would want to join.
Option 4 -Formal Joint Powers Agreement, shared services. Build a Fire Station. Mr. Streich
said the City Council would need to identify partners and form a statutory joint powers
agreement. This uses a funding formula and the Fire Chief would report to a board. CM
Darkenwald asked if the City could apply for funding with this model. Mr. Streich said yes.
Mayor Stockamp said the City of Albertville asked the City to consider a joint powers
agreement, but the City would not have control. Due to the community demographics, the City
would likely pay the higher share of the formula costs. Mr. Streich said if you can find a partner
this option can work well.
Mayor Stockamp asked if Mr. Streich has seen the recent Community Survey. Mr. Streich said
he has seen the survey and read the results related to public safety.
Option 5 -Create the City of Otsego Fire Department. Build a Fire Station. The City would
adopt a resolution to formally create the City's new Fire Department and notify the all
stakeholders. Mr. Streich said a timeline would lay out the process. This option would allow
the City to have full control.
City Administrator/Finance Director Flaherty asked for feedback from the City Council.
Option 1 -The City Council agreed to eliminate this option.
Option 2 -City Council agreed this is a possible consideration.
Option 3 -The City Council agreed to eliminate this option.
Option 4 -City Council agreed this is a possible consideration. This was a consideration in the
past and worth reviewing as an option.
The City Council agreed Option 5 appears to be the best option for the City. There were
concerns about this option and the transitions.
City Administrator/Finance Director Flaherty said this gives staff direction to move forward and
bring back more information for further consideration at an upcoming meeting.
The City Council thanked Mr. Streich.
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MINUTES OF THE CITY OF OTSEGO SPECIAL CITY COUNCIL MEETING NOVEMBER 8, 2021
Mayor Stockamp at 6:58 PM motioned to continue this special meeting following the
7 PM City Council meeting, seconded by CM Goede. All in favor. Motion carried 5-0.
City Planner Licht did not return.
Mayor Stockamp motioned to reopen this special meeting at 8:05 PM, seconded by
CM Darkenwald. All in favor. Motion carried 5-0.
Mayor Stockamp asked if staff needed any more information to move forward with the Fire
Services discussion. City Administrator/Finance Director Flaherty felt staff had the information
needed to move the process forward. Sabrina said it depended on the Council's direction.
Mayor Stockamp said reviewing the pros and cons with the remaining two options will help with
making a decision. City Administrator/Finance Director Flaherty asked if City Council wants a
report outlining the process from the beginning? Mayor Stockamp and the City Council agreed
the report would be helpful. Sabrina said to keep in mind the Emergency Management Director
and updating the plan. City Administrator/Finance Director Flaherty said the plan says the City
Administrator does fill the roll. The three contracted Fire Chiefs will help, but the City will need
their own dedicated Emergency Management Director. Sabrina said there are many layers to
the plan and the City will want one person dedicated at the Emergency Management Director.
2.2022 Budget, Tax Levy and Capital Improvement Plan Review.
City Administrator/Finance Director Flaherty reviewed the Budget Meeting #10 items included in
the packet.
Fire Reserve CIP-Fund 214
City Administrator/Finance Director Flaherty reviewed the information in the packet, noting the
funds in this account can be used towards future fire services.
The different formulas for contracted fire service billing were reviewed. The City Council
discussed the depreciation formulas proposed by Elk River, which is similar to Albertville. City
Administrator/Finance Director Flaherty said the Elk River proposal should not be funding future
capital and feels this is worth questioning the formal. The 2023 budget will not see as much
change, without budget formula and boundary changes.
The City Council concurred as presented.
Capital improvements Revolving CIP-Fund 414
City Administrator/Finance Director Flaherty reviewed the information in the packet. The fund
is to accumulate resources that may be used to finance future City Projects. The 2022 projects
were reviewed: CSAH 38 & CSAH 19 (Local Share), CSAH 39 & CSAH 42 (Local Share), CSAH
37 (Local Share), and TH 101 Left Turn Signals. Other future projects beyond 2022 were also
discussed. City Administrator/Finance Director Flaherty said the city signage for the roundabout
entrance and the bridge CSAH 36 at TH 101, he proposes adding $30,000-$40,000 to the
budget, noting it had been left out of the draft.
The City Council concurred as presented.
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MINUTES OF THE CITY OF OTSEGO SPECIAL CITY COUNCIL MEETING NOVEMBER 8, 2021
City Buildings and Property Maintenance CIP -Fund 439
City Administrator/Finance Director Flaherty reviewed the information in the packet. The City is
currently in study for the evaluation of the planning for future municipal buildings, so many of
the proposed improvements are on hold.
The City Council concurred as presented.
General Fund Budget
City Administrator/Finance Director Flaherty said staff will continue to review the expenditure
budgets presented at previous budget meetings for any necessary revisions. Those budget
revisions will be reviewed with the City Council at an upcoming budget meeting and prior to
final budget adoption.
Property Tax Levy
City Administrator/Finance Director Flaherty stated the City Council approved a preliminary
property tax levy of $8,585,005 in September. There have been no changes to the property tax
levy since that preliminary approval.
Next Meetings
City Administrator/Finance Director Flaherty noted the next Special Meeting is scheduled for
November 22nd at 5:30pm to review Public Utility Operations Budgets and CIP. The Truth in
Taxation Public Meeting is scheduled from December 13th at 7pm.
3.Adjourn.
CM Darkenwald motioned to adjourn at 8:33 PM, seconded by CM Goede. All in
favor. Motion carried 5-0.
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