2013-08-19 CC Minutes WorkshopSmoli Town Wing. B tea, We.
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CITY COUNCIL WORKSHOP
CITY HALL - COUNCIL CHAMBERS
Monday, August 19, 2013
ADOPTED MINUTES
1. CALL TO ORDER
The meeting was called to order at 7:56 p.m.
Present: Mayor Jillian Hendrickson and Council members Rob Olson, Larry Sorensen, John
Vetsch and Dan Wagner
Absent: None
Others Present: City Administrator/Engineer -PWD Adam Nafstad, Finance Director Tina
Lannes, and City Clerk Kimberly Olson
2. BUDGET DISCUSSION
Nafstad stated they have the base budget and then three alternatives that include the ice arena
roof repairs. Alternative 1 assumes the roof repairs would include both the dehumidification
system and replacement of the roof insulation. This plan assumes a five -year payback as an
Interfund loan. Alternative 2 includes the ice arena roof repairs and reduces operations by
$20,000. The cuts would come from elections, planning and legal fees, park operations, seal
coating and street overlays. Alternative 3 is the same as Alternative 2, but includes an
estimated $20,000 increase in revenue through building permit and plan check fees. Looking
at recent years, Nafstad stated it is fair to assume revenue will continue to increase in 2014.
Council discussed ways to decrease costs for planning and legal consultant services. Nafstad
stated that he did speak with the consultants after the last budget workshop regarding keeping
fees down. He reported the consultants wanted Council to know they want to continue
working in Albertville. Nafstad stated they will look at the number of meetings the
consultants attend and other ways to keep costs down.
Hendrickson and Sorensen did not want to see cuts to the seal coating and street overlay.
Hendrickson suggested Alternative 3 without reduction to those two areas.
Vetsch stated there is a bond that is up in 2018 and asked if the funds that had been used to
make those payments could be added to the street budget or general levy. Lannes stated that
some of the other bonds are back end loaded, so Council will not see a significant change in
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City of Albertville
City Council Workshop Minutes
Meeting of August 19, 2013
Page 2 of 2
2018. Nafstad stated the City is not debt overloaded, but he feels they have issued enough
bonds.
Sorensen indicated that if they went with Alternative 3 and added the $7,500 back in for seal
coating and street overlay, he finds the levy increase would be at 2.96 %. Lannes stated that
was her calculation as well. Hendrickson stated she did not want to set it up so future
Councils must do a large levy increase in the coming years. She felt it was a fair budget.
Vetsch would like the levy to be under 3 %. Overall, the Council was comfortable with
Alternative 3 and adding in the $7,500 for seal coating and street overlay.
Nafstad discussed funding options for the ice arena roof repairs and stated the three entities
must speak to their respective boards about funding and utilizing ice arena capital funds for a
portion of the repair. Sorensen stated that if they cannot come to an agreement about using
the $110,000 in ice arena capital funds, it will throw off the numbers in the budget. Lannes
stated that even if those capital funds were not used, it would only increase the payback
period to six years.
3. ADJOURNMENT
Motioned by Hendrickson, seconded by Olson, to adjourn the meeting at 8:24 p.m. Ayes:
Hendrickson, Olson, Sorensen, Veach and Wagner. Nays: None. Absent: None. MOTION
DECLARED CARRIED.
Respectfully submitted,
Kimberly . Olson, City lerk
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