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08-02-1995 Special Workshop MinutesCITY OF OTSEGO SPECIAL WORKSHOP ON FINANCES COUNTY OF WRIGHT, MINNESOTA AUGUST 2, 1995 - 6:30PM "IRTG.VV" Mayor Norman F Freske, Mayor called the meeting to order at 6:30PM. Norman F Freske, Mayor, Ron Black, Larry Fournier, Tern Heidner and Suzanne Ackerman, Council Members were present as was Elaine Beatty, City Clerk/Zoning Administrator, Phyllis Boedigheimer, Business and Finance Director, Ron Langness, and Paul R Donna from Springsted. Phyllis Boedigheimer gave introductions and Ron Langness introduced Springsted, he talked about the fact their clients are government entities and they are a 55 person firm and are one of the largest of this type in the country. They assist governments with infrastructure; financial needs, etc_ They have worked with Lakeville, Bufnsville, and Coon Rapids from the beginning. They try to provide aissist_nce gating through problems. He enjoys working with small communities and their problems and their is no cost for this visit. A standard statement of qualifications was passed pt g to the yup - Phyllis Boedigheimer explained the study on the wastewater treatment facilities on # 101. Otsego Industrial Park is the real issue. She asked about TIF, what does and does not qualify. Mayor Norman Freske welcomed the Springsted, and asked what they can help us with now. CM Slack asked how do we finance the Industrial Park road? Bond, or what? TIF? Phyllis Boedigheimer thought it was not eligible for the increment if in green acres within the last five years it cannot be done. More discussion was had on TIF. Discussion of longer range planning and sewer districts can be more help to the City. We could work with the taxes and do it ourselves as far as financing the project at Long Haul Industrial Site. We will avoid the LGA, HACA loss by doing this. Discussion of financing the sewer project. PSA has a lower interest borrowing and two things. 1.) Money to build 2.) Money to pay it back They can help with both. A treatment plant is easier to bond for. The problems are the network collection system_ The cost is very difficult to deal with and leapfrogging is a problem. More discussion of it being in infant stages and more planning and preparation needs to be done. Discussion on cost of issuing bonds. Mayor Freske asked why we should we hire this firm? They are more experienced firm and have worked with the Metro and suburbs and Attorney and Bank who hires bond counsel. SPECIAL COUNCIL WORKSHOP 8/2/9 6:30PM - PAGE 2 - Phyllis Boedigheimer noted they are experienced bond counsel and they go out to market instead of the Bank. More questions and answers on bonding were had. Discussion of the projects upcoming in the City and how to bond for same. Suggestion was to combine projects and bond for all at once. More discussion on how this would work. Discussion of the Albertville area and annexation and what to do and the I94 and 19 interchange. Suggestion by Ron Langness was define between the two cities and how big of an area, what do you want it to do, design around the outside area and allow for extra costs to be paid, etc. They can Help with the legislature in looking at the long term issues. Discussion of #101 area sewer and discussion of possibly how to handle. On motion meeting adjourned. CUT OF OTSEGO NORMAN F FRESKE, MAYOR AMST: Elaine Beatty. City Clerk/ ning Adm. 1 eb (CITY SEAL) CITY OF OTSEGO WRIGHT COUNTY, MINNESOTA SPECIAL COUNCIL WORKSHOP 6:30PM - JULY 26, 1995 1. Mayor Freske will call meeting to order: Mayor Norman F. Freske called the meeting to order at 6:35PM and turned it over to Phyllis Boedigheimer. ROLL. CALL Norman F. Freske, Mayor, Ron Black, Suzanne Ackerman, Larry Fournier, and Vern Heidner, Councilmembers were present. Also present were Elaine Beatty, City Clerk/Zoning Administrator, Phyllis Boedigheimer, Business/Finance Director and Judy Hudson, Deputy Clerk. 2. Six month budget updatee Phyllis Boedigheimer, Business/Finance Director stated that based upon the auditor's recommendation, she will request City Council approval to combine the General Fund and the Road & Bridge Fund at year end. General discussion was carried on regarding the building supervisors' hourly rate of pay and a recommended rate increase for 1996. It was the consensus that this issue would be included in the 1996 budget process. General discussion also included planning commission members per diem pay and the Heritage Preservation committee 1996 budget requests. 3. Discussion of Insurancee Phyllis Boedigheimer, Business/Finance Director discussed the IRS Section 125 plan proposed for city employees. She indicated that she would present the plan to the City Council at a regular City Council meeting for formal adoption. She further indicated that the Finance Department would handle administration of the plan. Phyllis Boedigheimer stated that the primary purpose of this discussion was to obtain feedback from the Council regarding the amount of contribution the city would make toward the employee's health, dental, life and long term disability insurance. She indicated that this was important to the employees when making decisions regarding insurance carriers and coverage. Councilmember Ron Black said that he felt that $200.00 per month per employee, in addition to the short term disability premium could be the city's contribution toward health, dental, life and long term disability benefits. Councilmember Vern Heidner agreed with Councilmember Black's recommendation. Mavor Norman F. Freske. Councilmembers Fournier and Ackerman were also in agreement with the recommendation. CITY OF OTSEGO SPECIAL COUNCIL WORKSHOP MEETING OF 7/26/95 AT 6:30PM -PAGE 2- 4. Discussion of City Contribution to Long Haul Industrial Park Interior Road Phyllis gave background as to the above. See the Memo from Phyllis of July 25, 1996 which explains the background. Discussion was had. 5. Discussion of Legal Fees Negotiation: This item will be on the 7/10/95 Budget Meeting. 6. Discuss Database for City propedy information: See attached information on same which was discussed. 7. Update on Storm Water District Process: See attached information on same which was discussed. 8. Discussion of Job Descriptions for Administrative and Public Works Positions: The attached information was discussed and it was noted that it would be helpful to see an original flow chart and include City operations by the end of the year. Upon motion and second meeting adjourned. CIT OF OTSEGO: NORMAN F. FRESKE, MAYOR