2016-04-18 City Council Minutes�lbcrtvillc
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ALBERTVILLE CITY COUNCIL
Monday, April 18, 2016
APPROVED MINUTES
ALBERTVILLE CITY HALL
1. CALL TO ORDER - PLEDGE OF ALLEGIANCE
Mayor Hendrickson called the meeting to order at 7:00 p.m.
2. ROLL CALL
7:00 PM
Present: Mayor Hendrickson and Council members Hudson, Olson, Sorensen, and Vetsch
Absent: None
Staff Present: City Administrator -PVvD Adam Nafstad, City Attorney Mike Couri, City Planner Al
Brixius, Fire Chief Eric Bullen, and City Clerk Kimberly Olson
Others Present: Caroline Stuntsman, Ralph Munstertieger, Mike Leuer, Dave Shannon, Roger
Derham, and Josh Ohotto
3. RECOGNITIONS — PRESENTATIONS — INTRODUCTIONS
A. 2015 Audit Presentation by BerganKDV
Caroline Stuntsman of BerganKDV presented the findings of the 2015 audit that was performed by
BerganKDV. She stated their job is to form an opinion on the financial statements of the City of
Albertville provided by BerganKDV management. She stated the City's Comprehensive Annual
Financial Report is the highest and most transparent form of financial reporting. She stated they had
an unmodified opinion and a midlevel finding that involves the segregation of duties. She stated this
is a typical finding in many cities, especially smaller cities with limited staff.
Stuntsman stated the revenue was over the budgeted amount due to an increase in charges for
services, licenses and permits. Expenditures were under budget due to savings in department
budgets. There was a transfer of $300,000 from the general fund to capital. Minimum fund balance
should be not less than 35% of the next years budgeted expenses. The City is currently at 52% and
is within the City's policy.
Stuntsman reviewed the enterprise funds. She stated the sewer fund is not funding depreciation, but
overall is doing well. In regards to the water fund, the rates are not covering the normal operation of
the fund. She stated that within three years, the City will need to address the situation. Hendrickson
stated they had approved a base fee step increase for five years and inquired if that is still not
covering the fund. Stuntsman replied that although it is a step in the right direction and it has
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helped, they will need to evaluate and do something further within the next few years. Hudson
inquired about how the rates are set in regards to the City's rates and the Joint Powers Water Board
rates. Nafstad replied that the rates Stuntsman is referring to are just the City's portion of the water
rates and the Joint Powers Water Board sets their own.
Motioned by Sorensen, seconded by Olson, to approve the Communication Letter provided by
BERGANKDV. Ayes: Hendrickson, Hudson, Olson, Sorensen, and Vetsch. Nays: None. Absent:
None. MOTION DECLARED CARRIED.
Motioned by Hudson, seconded by Olson, to approve the 2015 Comprehensive Annual Financial
Report. Ayes: Hendrickson, Hudson, Olson, Sorensen, and Vetsch. Nays: None. Absent: None.
MOTION DECLARED CARRIED.
B. STMA Soccer Building Concept
Brixius reported that STMA Soccer's lease on the City's building will expire in 2019 and they are
experiencing rapid growth. STMA Soccer stated the current building will no longer meet their needs
as they continue to grow. They have been successful tenants and an attraction to downtown
Albertville. He stated that STMA Soccer is proposing a tear -down of the current building located at
5964 Main Avenue NE and construction of a two story building with two futsal fields, mudroom,
and office space. Even with added diagonal parking, they will need to continue to rely on parking
availability at City Hall. The proposal is for the new building to be a City owned building and
STMA Soccer would provide a large down payment and monthly lease installments for a 15 year
lease agreement. These payments are proposed to cover the debt and operating costs of the building
project.
Roger Derham, STMA Soccer Director of Coaching, stated their current lease has been an
overwhelming success and has provided an anchor to other businesses in the area. He stated they are
already nearing their projected enrollment numbers for 2019.
Hudson inquired why STMA Soccer does not want to own the building. Derham replied that
leadership changes every two years and as such it is hard for them to take on that liability. Josh
Ohotto, STMA Soccer Vice President, stated they are not set up to own and operate a building or to
manage the construction of a building.
Hendrickson stated that she struggles with the concept, because there is also a need for an ice arena
expansion. Couri reported there are several key differences:
1. The project will fund itself over time and the City will not be out any funds
2. The current lease is a good trial run; they have proven to be good tenants and have a good
track record
3. The ice arena expansion could not pay for itself and would take considerable City funding
Ohotto stated they have had a successful partnership and they can continue to grow the community.
Hendrickson stated that it is a perception issue among the public. Sorensen stated that it is two very
City Council Meeting Minutes Page 2
Regular Meeting of April 18, 2016
different scenarios. Sorensen and Olson would like to move forward to develop a more detailed
plan.
Hudson stated that he has reservations for several reasons:
1. Concern with a City building as a soccer facility and the building built specifically for sports
2. There is a degree of uncertainty
3. Will other non - profits approach the City for similar requests
However, he is not opposed to further investigation of a more detailed plan.
Nafstad stated that STMA Soccer will need to know in the coming months if they will stay in
Albertville or look elsewhere. Sorensen asked how long it will take to come back to Council with a
more detailed plan. Brixius stated a few months, less than six.
Motioned by Sorensen, seconded by Olson, to direct City staff to continue to work with STMA
Soccer to develop a more detailed plan for the expansion of the STMA soccer facility at 5964
Main Avenue NE, to specifically include more accurate building design, building costs, site
preparation costs, project financing, and lease agreement. Ayes: Hendrickson, Hudson, Olson,
Sorensen, and Vetsch. Nays: None. Absent: None. MOTION DECLARED CARRIED.
C. Heuring Meadows Property — Presentation by Mike Leuer
Mike Leuer stated they had studies conducted on the need for 55+ housing and it showed a need.
They are proposing a 50 unit 55+ senior apartment building on the lot. Ralph Munstertieger stated
another study showed the need for market rate apartments in the area. Their proposal for the whole
lot is two market rate apartment buildings and one 55+ senior (independent living) apartment
building on the west side of the lot with commercial space on the east side along CSAH 19. He
stated they are looking to change the zoning to B -3 rather than B -2 for the commercial portion to
accommodate a drive -thru restaurant or something similar.
Olson suggested PUD zoning for the lot and Brixius agreed that may be the best option to allow the
City to create a master plan. It would also allow the City to define uses and building standards for
the whole lot. Another zoning option would be 132 -A. Brixius also suggested some landscaping to
provide a buffer from the neighboring homes.
Council discussed briefly and was not opposed to the idea.
Brixius stated that Leuer and Munstertieger meet with City staff prior to submitting a development
application. Couri reminded them that an application can only be submitted if taxes are current and
Leuer stated they will be paid within the week.
4. PUBLIC FORUM — (time reserved 5 minutes)
There was no one present at the forum.
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Regular Meeting of April 18, 2016
5. AMENDMENTS TO THE AGENDA
There were no amendments to the agenda.
Motioned by Hudson, seconded by Sorensen, to approve the Agenda as presented. Ayes:
Hendrickson, Hudson, Olson, Sorensen, and Vetsch. Nays: None. Absent: None. MOTION
DECLARED CARRIED.
6. CONSENT AGENDA
All items under the Consent Agenda are considered to be routine by the City staff and will be
enacted by one motion. In the event an item is pulled, it will be discussed in the order it is listed on
the Consent agenda following the approval of the remaining Consent items. These items will be
approved by a separate motion.
A. Approve the April 4, 2016 regular City Council meeting minutes as presented
B. Authorize the Monday, April 18, 2016 payment of claims as presented, except bills
specifically pulled which are passed by separate motion. The claims listing has been
provided to City Council as a separate document and is available for public view at City
Hall upon request
C. Approve Resolution No. 2016 -009 entitled a Resolution Authorizing and Documenting
Inter -Fund Loans to Fund Negative Fund balances
D. Approve Resolution No. 2016 -010 entitled a Resolution to Transfer Funds
Motioned by Sorensen, seconded by Olson, to approve the Consent Agenda as presented. Ayes:
Hendrickson, Hudson, Olson, Sorensen, and Vetsch. Nays: None. Absent: None. MOTION
DECLARED CARRIED.
7. PUBLIC HEARINGS — None
8. DEPARTMENT BUSINESS
A. City Council
1). Committee Updates (STMA Ice Arena, Planning, JPWB, Parks, Fire Board, FYCC,
etc.)
Fire Board
Sorensen stated they have had two meetings, the Advisory Committee and Fire Department meeting.
They have shared the Mall of Entertainment information with the full department.
STMA Ice Arena Board
Hudson reported they received the ice arena's audit information and also discussed a concern about
lacrosse playing in the arena without some type of turf covering. They had received a concern from
a parent. He stated that many practice areas for lacrosse are similar and do not play on turf. He
added there is also the added factor of storage and it is cost prohibitive.
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Regular Meeting of April 18, 2016
B. Fire
1). Fire Update
Bullen reported that a new Reserve Firefighter began on April 7, 2016 and brings very good
qualifications and skills to the department.
Bullen stated they have been working on a plan for a memorial project in front of the Fire Hall and it
would replace the current sign. They have a landscaping company that is donating and the
Albertville Lions have also donated $10,000.
Motioned by Vetsch, seconded by Sorensen, to approve the final plan for the Fire Department
Memorial at the Fire Hall. Ayes: Hendrickson, Hudson, Olson, Sorensen, and Vetsch. Nays:
None. Absent: None. MOTION DECLARED CARRIED.
Bullen provided a recap of the grants the department has applied for.
Bullen stated staff has looked at the capital improvement plan for the Fire Department and
recommend extending the replacement of Tender 11 to 2020 rather than 2017. Staff also
recommends discontinuing and selling Rescue 11, which has mainly been used to respond to medical
calls. In return, they are looking at purchasing a Medical Response Vehicle. Nafstad stated that this
will not impact the overall CEP. Olson stated he was in support of those changes. Bullen estimated
this item could be brought back to Council in May.
Bullen reported on the shared services discussion and the key issues appeared to be voting members
and the value of equipment. Couri stated that moving forward it should be made clear that if they
move forward with the Joint Fire Service, both cities must be committed indefinitely. Sorensen
stated they may want to have a workshop with the entirety of the Albertville Council in the near
future.
Hudson excused himself from the meeting at 8:57 p.m.
C. City Clerk
1). Albertville Friendly City Days Committee Request for Street Closures and Park
Hours
Clerk Olson reported the AFCD Committee has submitted their request for street closures around
Central Park as well as an extension of park hours on Friday, June 10 and Saturday, June 11 until
1:00 p.m. She reported the City has received a request for the music on Friday and Saturday to be
turned down or stopped prior to 1:00 a.m. She stated that the AFCD Committee already has the
bands confirmed and under contract to perform until 1:00 a.m. both days.
Council discussed and felt it is only one weekend of the year and was in favor of granting the
Committee's request as outlined in their letter.
Motioned by Olson, seconded by Sorensen, to approve the AFCD Committee request for street
closings and modified Central Park hours identified in the attached AFCD Committee letter to the
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Regular Meeting of April 18, 2016
City Council. Ayes: Hendrickson, Hudson, Olson, Sorensen, and Vetsch. Nays: None. Absent:
None. MOTION DECLARED CARRIED.
D. Finance —None
E. Public Works/Engineering —None
F. Planning/Zoning — None
G. Building —None
H. Legal —None
I. Administration
1). Main Avenue NE /CSAH 37 Digital Sign
Nafstad reported the current sign is not working and is not repairable. He reported he received three
quotes to replace the city identification and reader board portion of the sign with a double sided,
approximately 5' x 10', digital sign. The low quote from Color Sign Systems is $48,218 and also
includes a retrofit of the current lighting on the ad panels to LEDs and replacement of the ad panels
to a uniform color and font. The sign is heavily used by non - profit groups, FYCC, Lions Club, Fire
Department, and for City events. The funds would come from general fund reserves.
Olson inquired when it could be installed and Dave Shannon, Color Sign Systems, replied it takes
about two months.
Motioned by Vetsch, seconded by Sorensen, to approve Color Sign Systems, Inc. Proposal in the
amount of $48,218 to retrofit the Main Avenue NE digital sign. Ayes: Hendrickson, Olson,
Sorensen, and Vetsch. Nays: None. Absent: Hudson. MOTION DECLARED CARRIED.
2). City Administrator's Update
Nafstad reported there is an Appreciation Brunch for the Senior Center Volunteers on Monday, April
25 and asked Council to let him know if they would like to attend.
9. ANNOUNCEMENTS AND /OR UPCOMING MEETINGS
April 25
Joint Powers Water Board, 6:00 p.m.
Parks Committee, 8:00 p.m.
May 2
City Council, 7:00 p.m.
May 9
STMA Ice Arena Board, 6:00 p.m.
May 10
Planning Commission, 7:00 p.m.
May 16
City Council, 7:00 p.m.
May 23
Joint Powers Water Board, 6:00 p.m.
Parks Committee, 8:00 p.m.
May 30
City Offices Closed, Memorial Day
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Regular Meeting of April 18, 2016
10. ADJOURNMENT
Motioned by Olson, seconded by Sorensen, to adjourn the meeting at 9:17 p.m. Ayes:
Hendrickson, Olson, Sorensen, and Vetsch. Nays: None. Absent: Hudson. MOTION DECLARED
CARRIED.
Respectfully submitted,
Kimberly A lson, City Clerk
City Council Meeting Minutes Page 7
Regular Meeting of April 18, 2016