08-02-99 WSCITY OF OTSEGO BUDGET WORKSHOP MEETING
MINUTES
AUGUST 2 (MONDAY) 1999 - 6PM
1. Mayor Fournier will call meeting to order.
Mayor Fournier called the meeting to order at 6:02PM.
Roll Call:
Council: Mayor Larry Fournier, Council Members Vern Heidner, and Virginia Wendel.
Council Members Mark Berning and Suzanne Ackerman arrived at 7:05PM
Staff: Mike Robertson, City Administrator, Elaine Beatty, City Clerk/Zoning
Administrator, Judy Hudson, Deputy Clerk/Treasurer and Gary Groen, City
Bookkeeper.
2 Consider approval of the Payment of the Local Share for Odean Avenue
Project of $171,268.42. RE: S.P. 217-105-02.
It was noted that this amount is the general fund local share for Odean Avenue
Project and most of it be paid back through special assessments. The original amount of
local share was estimated at $188,000. A chart prepared by Engineer Ron Wagner was
handed out. The second page of this handout laid out the costs. Mike Robertson
explained what costs were eligible for MSA funds/reimbursement. $12,350.00 bike trail
cost will be paid for by Park and Trails funds.
Discussion of the end of year transactions to transfer funds to the proper fund. CM
Heidner wanted it noted that he is a little nervous about the costs of Odean and it looks like
we will have $50,000 in general fund costs. Robertson indicated that based on the
Engineering figures, the City will be getting two miles of new collector road for about
$850,000 in MSA Funds, $120,000 in Special Assessments, and $50,000 in General
Funds. He thought that was a good deal. He indicated that the General Funds could come
from the Capital Improvement Fund. CM Heidner agreed, but noted that costs for this
project had increased over the estimates first viewed several years ago. He also noted that
every MSA dollar spent on this improvement was one less available for the next
improvement.
MOTION BY CM WENDEL TO APPROVE PAYMENT OF $171,268.42 FROM
THE ODEAN AVENUE FUND FOR ODEAN AVENUE PROJECT. MAYOR
LARRY FOURNIER SECONDED THE MOTION. MOTION CARRIED 3 to 0 -
CM Berning and Ackerman were not present. (CM HEIDNER AGREED, WITH
RESERVATIONS, AS STATED)
4. Legislative Overview by Mike Robertson.
Mike noted that $838,883 is our levy limit and it is $39,000 more than last year.
He noted that by the next Budget Workshop he will have all the numbers estimated and in
the budget. He also said that a new State law requires the City to hold a Public Hearing
and pass a resolution stating it is raising taxes.
CITY OF OTSEGO BUDGET WORKSHOP MEETING MINUTES OF AUGUST
2, 1999 AT 6PM - PAGE 2 -
Page # 16 - Mayor and Council Budget reviewed. Discussion of the contingency amount in
the Mayor and Council Budget. Consensus was leave it in and revisit it later.
Page #17 - Administration was reviewed. Mike Robertson noted that the department costs
have increased about 4%. Health costs have risen 20%. A 5% salary increase is proposed.
Part time help was included in the Administration Budget. It was noted that in 2001 a new
copier will be looked at when the present lease runs out. Staffing issues were discussed.
Mike will draw up staffing recommendations this winter for the next couple of years. It
was noted that voice mail is something we may want to consider. (We will get estimate for
same). Use of part-time help was discussed. Everyone agreed that they did not want to go
to an automated phone answering system like many businesses are using in order to save
on Staff.
Finance - The same amount for contracted services is anticipated. Discussion of Gary
Groen's Contract. Mike noted that in the future a finance director may be needed. Mike
will review as part of the staffing review this winter.
Assessor - Increase anticipated from $6.50 to $7.25 per parcel. Pete Merges had noted
that the County has increased to this amount for their employees for the same job. It was
noted it is a 11.5% per parcel increase. Mike was asked to check with Wright and
Sherburne Counties as to what they currently are paying their assessors.
#21. Legal - Has been reduced by $20,000, because most of Andy's work is being
changed to particular projects..
#22. Planning Commission - No change from last year.
#23 Planning - No budget from Planner yet. Feel it will be close to 1999 budget amount.
Discussed special projects such as Parks and Recreation use of Planning time.
#27. EDAAC -No budget estimate yet. Same as last year anticipated.
#29. City Hall - $600. below last year. Utilities are higher but the payment on the City
Hall Bond is decreasing. It was noted that the Bond Lease for the City Hall is finished on
12/1/07.
32. Police. Unofficial increase of $1.50 per hour. County Bd. has not yet approved
same. Two additional hours a day contracted time would cost $27,922.50. A warning
siren cost estimate has not been included. Mike handed out April - July incident report
from Sheriff's Dept. (for 2-hrs extra a day contracted man -time). CM Beining would like
to see the amount for Sheriff Contract increased. This will be revisited later. CM Heidner
- Suggested we could increase the Sheriff amount two extra hours every other year. It was
CITY OF OTSEGO BUDGET WORKSHOP MEETING MINUTES OF AUGUST
2, 1999 AT 6PM - PAGE 3 -
noted that the warning siren would be left in the budget and put in the "capital equipment
fund". Estimated cost was $16,000.00.
#33 - Building Inspection - Jerry Olson will line up a part time building official to help out
as we get busier. (Needs to have wavier forms). Amount for code enforcement same as
last year.
6. Any Other Business
Elaine Beatty left the meeting early to get ready for the Planning Commission Meeting. at
7:45PM. CM Heidner left to attend the P.C. Meeting at 8PM.
#34 - Engineering - An estimate has not been received yet, but few changes are expected
from last year's budget.
#35 - Street Lighting - Same as 1999.
#36 - #37 - Streets - A 3RD full-time person has been added at $12.00 per Hr. After
discussion Staff was directed to put hiring a 3RD person on the next CC Agenda. The 5%
salary increase and 20% Health increase have also been added. The Overlay Bond
Payment has been added as a line item. Other maintenance cost estimates will be received
as part of the Engineer's budget.
#38 - Animal Control - Has reduced $500 due to decreased costs. CM Wendel expressed
satisfaction with this.
#39 - Recycling - Staff has proposed an increase of $6,000 because the garbage haulers
have asked for an increase. Robertson said he had asked the haulers for a proposal several
months ago, but had not received one yet. When asked, Judy said she did not think the
haulers had received any increase since the early 90's.
#40 - Community Rec. - CM Wendel said budget figures were expected in mid-August.
#40 - Other Community Service Activities -
Clean Up Day - Costs were increased $1,000 due to expected increases in
population.
River Rider Transport. - Left unchanged
#41 - Parks - No changes are expected in mowing and repair and maintenance costs.
Mowing costs will be separated for City Hall, water tower, pumphouse, and
sewer plant and charged to those respective departments. The recreation estimate
will be provided by the Park and Recreation Commission.
#42 - Historic Preservation Commission - The estimate will be provided by the HPC.
Mike said he expected they would at least ask for $7,500 for the proposed Vogel
Study.
CITY OF OTSEGO BUDGET WORKSHOP MEETING MINUTES OF AUGUST
2, 1999 AT 6PM - PAGE 4 -
GENERAL DIRECTIONS:
Staff was directed to provide the figures for the Capital Equipment Fund (CEF) and the
Capital Improvement Fund for the next workshop. The CEF will be listed as a line item on
the Revenue Budget. The next Budget Workshop was set for Thursday, September 2,
1999 at 6:QQPM.
7. Adjourn
CM ACKERMAN MOTIONED TO ADJOURN. CM WENDEL SECONDED
THE MOTION. MOTION CARRIED UNANIMOUSLY. MEETING
ADJOURNED AT 8:14PM.
CITY OF OTSEGO:
MAYOR
FILE 2ffl6-SGT.WPS