08-01-2018 Work SessionAugust 1, 2018
The City Council conducted a Work Session on the above date. Mayor Maefsky called the
meeting to order at 6:30 p.m. The following were present: Council members Bob Hegland, Steve
Kronmiller, Jim Schneider and Mayor Christine Maefsky. Staff members present: City
Administrator Neil Soltis, Fire Chief Mike Hinz, Public Works Director Adam Hawkinson,
Engineer Ryan Goodman and Treasurer Colleen Firkus. Council member Chris Ness was absent.
APPROVAL OF THE AGENDA
The following additions were made to the agenda:
#8) Discussion Layton Ave. stormwater issues.
Hegland, seconded by Kronmiller, moved to approve the agenda as amended. The motion
carried 4-0.
APPOINTMENT TO TERM ON ECONOMIC DEVELOPMENT AUTHORITY
The only applicant for the open 3 -year term on the City's EDA was Kirsten Libby. Mayor
Maefsky expressed her desire to conduct an interview as Libby is a relatively new resident of
Scandia and she may not have an understanding of the City's mission and vision as expressed in
the comprehensive plan. In a motion by Maefsky, seconded by Hegland, the interview was
set for 6:30 p.m. in the Heritage Room before the next Council meeting on September 181.
The motion carried 4 — 0.
NOMINEES FOR VACANCIES ON COMFORT LAKE FOREST LAKE WATERSHED
DISTRICT BOARD
Administrator Soltis informed the Council that the County Board would need a list of nominees
by August 3 for consideration of the two expiring terms to the Comfort Lake Forest Lake
Watershed District Board and that Jen Oknich has applied for the appointment and has requested
a recommendation from the City. Kronmiller, seconded by Hegland moved to recommend
Jen Oknich as a Scandia resident nominees to the Comfort Lake Forest Lake Watershed
District Board. The motion carried 4 — 0.
GREENSTEP CITIES PROGRAM
Administrator Soltis reported that the City has achieved Step Two recognition and outlined the
three best practices that need to be implemented to be recognized as a Step Three City.
Best Practice Action 29.1 — Prepare to maintain public health and safety during extreme weather
and climate -change -related events, while also taking a preventive approach to reduce risk for
community members. This will be achieved when the work on the emergency Operations Plan
and continuity of Operations plans are completed using the BOLD Planning software from the
County.
Best Practice Action 15.1 —Adopt a sustainable purchasing policy or administrative
guidelines/practices directing that the city purchase at least: a. EnergyStar certified equipment
and appliances and, b. Paper containing at least 30% post -consumer recycled content. Soltis
indicated the city would need a policy providing guidelines, but purchasing these types of
appliances is not a regular occurrence. Soltis estimated the cost of the city purchasing recycled
paper to be about 60% to 80% more and impact the budget $3,000 to $4,000 annually. Council
member Hegland expressed his concern about staff time being used to implement these steps and
August 1, 2018
Scandia City Council
Page 2 of 4
questioned what the benefit would be to the city. Hegland stated that the city has done enough
with the achieving Step Two status. Soltis said the more elusive benchmark is
Best Practice Action 24 - Adopt outcome measures for Green Step and other city sustainability
efforts, and engage community members in ongoing education, dialogue, and campaigns. Use a
committee to lead, coordinate, and report to and engage community members on implementation
of sustainability best practices. One of the two required actions was achieved by the Friends of
Scandia Parks and Trail establishing a Green Step subcommittee, but would need to do another
best practice which could include performance measurement or tracking the City's
Comprehensive Plan goals, both of which would take staff time. Mayor Maefsky indicated this
could be accomplished by volunteer time instead as was done in the City of Marine. The action
could also be achieved through community education led by a volunteer committee. Maefsky
indicated the Scandia Parks & Trails group is already doing some of this. Public Works Director
Hawkinson also reported that youth volunteers are being utilized each summer in some park
maintenance work. Mayor Maefsky expressed her desire to have more of a connection with the
community's youth through partnering with the school and felt this may provide that
opportunity. Kronmiller suggested the Green Step committee could provide some guidance on
what would be necessary to achieve Step Three.
Two committee members in attendance, Mary Hooley and Lisa Schlingerman, felt that the
Friends of Scandia Parks & Trails could help to implement this best practice. Hooley reported
that the state coordinator indicated the City was not required to purchase recycled paper if it was
cost prohibitive, but only needed some written guidelines indicating the City would give
consideration to purchasing recycled paper when financially feasible. The same would apply to
purchasing EnergyStar appliances, just need guidelines indicating they will be considered as an
option. Hooley felt with respect to #4 Community Involvement, like support education in action,
it would be possible to achieve in a volunteer capacity. Schlingerman said Action 4 is already
being achieved by Scandia Parks & Trails. Soltis indicated he could write an amendment to the
City's Purchasing Policy to satisfy BP 15. Kronmiller suggested Scandia Parks & Trails group
submit a list of their activities that would fulfill BP24.
Hegland expressed his opposition to moving forward on Step Three as a waste of the City's staff
time and resources. Schneider also expressed his concern over the amount of staff time this will
take up. Soltis indicated it would not take long to draft an amendment to the City's Purchasing
Policy, but there is also an ongoing utility data report he needs to complete monthly in some
benchmarking software for a previously completed step.
Maefsky, seconded by Kronmiller, moved to forward with seeking recognition as a Step
Three Green Step City. Discussion ensued as to the specific role of Scandia Parks & Trails
and potential cost to the City and for staff time required Staff will continue work on the
Bold Planning and will have an updated purchasing policy for review at the Council
meeting. The GreenStep Committee will work to identify the action that they will be taking
to implement an additional action with regard to community engagement. Kronmiller,
Schneider and Maefsky voted yes, and Hegland voted no. The motion passed 3-1.
2019 OPERATING AND CAPITAL BUDGETS
Soltis started the discussion of the 2019 Budgets with reports on Budget Assumptions and
General Fund Changes which were acceptable to the Council. Based on these inflationary
August 1, 2018
Scandia City Council
Page 3 of 4
increases and minor adjustments to departmental expenditures, the 2019 General Fund
expenditures (net of any transfers) would be $1,667,200 which is $95,900 less than the 2018
budget. The tax levy needed to support these levels of service provided by the General Fund
would be $1,375,800 which is $29,480 greater than the amount levied for 2018. The levy for all
funds, which includes debt service and the Local Road Improvement Fund, would be $2,291,080
which is $36,708 (1.63%) greater than the 2018 levy. Notable changes in General Fund revenue
are the allocation of Cable Franchise Fees to a Special Revenue fund and a reduction in
estimated Fines and Forfeitures. Budgeted changes to General Fund expenditures changes are
reduction in support for Lakes Area Television, no equity transfer to the EDA, decrease in
election spending based on no federal or state elections, reduction in Planning costs due to
completion of Comp Plan update, reduction in Public Works for salt, road maintenance supplies
and contracted maintenance & repair, increase in fuel costs, increases in Parks for seasonal
wages, and increases in the wages allocated to the Community Center. No notable changes to the
Fire budget other than an overall decrease of $12,000. Council members agreed with the
numbers. Kronmiller requested consideration for funding the expansion of internet service noting
that the feasibility study will have a budgetary cost estimate. Soltis indicated there is sufficient
funds in the Capital Improvements Fund that could help to fund the project. It was left for further
discussion once the feasibility study report is available.
Soltis outlined changes to the Capital Funds. Only levies to capital funds are $30,000 to
Equipment Replacement and $316,180 for Local Road Improvement. Projects in the Capital
Improvement Plan for this fund is a Bliss Stormwater Plan, Skateboard Ramps, replacement of
Roof and HVAC at Fire/PW Building as well as LED lighting both interior and exterior. Energy
savings would be transferred over to the Capital Improvement Fund to repay the cost of the
project. The Bliss Stormwater Plan presumes that half of the cost of the stormwater will be
funded by the Watershed District.
Terry Gorham reported on Park Capital Fund expenditures that came about from the Park & Rec
Committee's inventory of the park properties. Improvements to existing facilities requested to
consider are concrete slabs under bleachers at Erickson ballpark, expansion of the pleasure rink
expansion, improvements to the Settlers Monument, and the addition of doors to the pavilion at
Lions Park and the extension of water from the Hay Lake School's well to the pavilion. Also
requested were funds for clearing and trails at undeveloped parks by Bone Lake and Orwell
Court and for wetland restoration at Lilleskogen. The requests were based on using a portion of
the $100,000 transferred to the fund. Approval will be brought to the Council on a project -by -
project basis. Revenue is minimal from park fees for two new lots and ballfield advertising, and
assuming a grant for the skateboard ramps. Council gave Gorham the go ahead to get the cost
estimates for extending the water supply to the Lions Park by Hay Lake.
The addition of $50,000 for engineering in the Local Road Improvement Fund was proposed to
allow for pre -design work on the 2020 road improvement projects which will allow for the
project to be bid earlier in the year. Based on the favorable bid for the 2018 project plus the
projected 2019 levy, the fund would end 2019 with balance of nearly $1.2 million and would
allow for a 2020 of $600,000 to $700,000.
Soltis reported the Equipment Replacement Fund has a plow truck replacement. Hinz indicated
radio replacement would probably be pushed off another year. The County has parts to fix the
August 1, 2018
Scandia City Council
Page 4 of 4
radios now, but the manufacture of the current radio parts has been discontinued and new radios
will need to be purchased eventually.
ROAD STRIPING POLICY
Engineer Goodman reported that City's 2014 street striping policy was reviewed as plans for the
2018 Street Improvement project were being prepared. The policy update would clarify the roads
that would be striped and the length of the road segments. This will allow for more accurate
budgeting for Public Works. The updated policy will be placed on a future Consent Agenda.
LAYTON AVENUE STORMWATER ISSUES
Engineer Goodman reviewed for the Council the changes made to the drainage on the Schlundt
property. Water has been redirected from adjacent properties by the addition of a retaining wall,
piping and swales. It was suggested changes to the adjacent property could improve things by
removing some trees, a large compost pile and build a retaining wall. It was pointed out that with
major snow and rain events there could be runoff issues. The ditching project to be performed in
2018 should also help to alleviate the problem.
ADMINITRATOR UPDATES
Soltis updated on the Council on a few items.
1. Staff has solicited proposals for a new cleaning contractor as the current one withdrew his
services as of August 31.
2. The City's electrical inspector Brian Nelson is retiring as of September 30.
3. May Township has billed the City for dust control for the access to the Veteran's Camp.
Staff is trying to confirm if this is an actual platted city road or the camp's driveway.
4. Staff received a request to remove a large downed tree from a platted street that has never
been developed, but is used for the resident's access. Soltis said there are many of these
unplatted roads in the city that are used as driveway accesses by residents. Staff is
looking for direction as to how Council wants to address issues on these unplatted roads.
It was suggested the road policy be updated to address this issue. Council asked staff to
get a legal opinion about liability.
5. The Star Tribune interviewed Soltis on the City's Tourism Assessment and there will
probably be an article on this in next Sunday's paper.
ADJOURNMENT
Hegland, seconded by Schneider, moved to adjourn the meeting. The motion carried 4-0.
The meeting adjourned at 8:45 p.m.
Respectfully submitted,
Colleen Firkus
Treasurer