August 1, 2016, Council Minutes

AUGUST 1, 2016 – 7:30 PM

1. CALL TO ORDER - The meeting was called to order by Mayor Williamson at 7:33 p.m.


Council Members Bruce Williamson, Mayor; Shirley Bren; Gary Hughes; Megan Pavot;
Present: and Pamela Horton.

Staff Present: Dan Tolsma, City Administrator; Wendy Lewin, City Clerk; Nancy Beck, City Attorney; and Theresa Schyma, City Clerk.

Others Present: Orono Police Chief Farniok; Orono Deputy Police Chief Fischer: several members of the Orono Police Department including Police Officers Jane Szczepanik and Josh Needham ; Mound Fire Chief Pederson; several members of the Mound Fire Department including Fire Captain Palm and Fire Captain Maas; Scott and Judy Farrington, residents; Michael E. Mason, resident; Joanna Widmer, resident; and MaryAnn Thurk, resident.

3. INTRODUCTIONS - Mayor Williamson introduced the City Council and staff to the public.

4. PLEDGE OF ALLEGIANCE - Mayor Williamson led the audience in the Pledge of Allegiance.


M/Hughes, S/Horton to adopt the agenda.

Motion carried 5-0.

a. City Council Regular Meeting Minutes from July 18, 2016
b. City Council Work Session Minutes from July 21, 2016

M/Bren, S/Pavot to approve the Consent Agenda.

Motion carried 5-0.


a. Life Saver Recognition - Orono Police Chief Farniok presented a Life Saving Award to Spring Park resident Scott Farrington for his extraordinary life saving efforts on March 3, 2016.

Judy Farrington, survivor, thanked her husband and all members of the Orono Police Department and Mound Fire Department who were the first responders that day and helped save her life.

Police Chief Farniok presented Life Saving Recognition pins to Police Officers Jane Szczepanik and Josh Needham.

Mound Fire Chief Pederson spoke about promoting a Heart Safe Community including training the community in heart safe CPR. He spoke of the great partnership with the Orono Police Department and also announced the August 24 Guns & Hoses Charity Softball Game.

b. State Senator Dave Osmek – Senator Osmek provided a legislative update and was available for questions during his annual visit with the City Council.

Michael Mason, 3950 Del Otero Avenue, questioned if someone on MNSure could contact Senator Osmek for help with resolving an issue.

Senator Osmek responded that yes, constituents can contact their legislators for any issues with MNSure and they will investigate and help the constituent resolve the issue as much as possible. He also encouraged all constituents and Council Members to contact him with any issues.



a. Mayor and Council
Mayor Williamson gave an update on the most recent Fire Commission meeting.

Council Member Horton commented on the following:
• The success of the new community garden.
• Asking staff to revamp a City sign that is in need of some attention.
• Thanking City Clerk Lewin for the beautiful pictures in the most recent City newsletter.
• The 55th anniversary of the Minnetonka Drive-In. Council Member Horton would like to invite the owners to a future council meeting for recognition of their 55 years in Spring Park.

Council Member Hughes provided an update on the hiring process for the new executive director of the Lake Minnetonka Conservation District (LMCD). He stated that the 21 applicants have been reduced to eight people that will participate in phone interviews to reduce the list further.

b. City Administrator –
1. Public Works Contract for Services - City Administrator Tolsma presented an overview of the proposed public works contract with PeopleService for all public works services. There were a few minor revisions made to the last draft after the thorough discussion that occurred at the City Council work session last week. City Administrator Tolsma and City Attorney Beck discussed the language changes and PeopleService has seen the revisions and are agreeable to the changes.

Council Member Hughes questioned who would be responsible if PeopleService makes a mistake.

City Attorney Beck responded that Article 3, Section 3.1 details that if PeopleService does something wrong then they would be held responsible.

Council Member Hughes believes a five year contract is too long, that is two election cycles and many things can change during that time. He stated that Spring Park employees work on an at-will basis and he is not in favor of voting for such a long contract since a one year contract should be sufficient. He continued that he does not like the fact that PeopleService is not required to be in Spring Park for 40 hours every week. He also believes the list of job responsibilities is incomplete.

Council Member Hughes stated that he does not agree with an increase in pricing not coming before the City Council. He believes that PeopleService should come before the City Council for an annual performance review before any price increase.

Mayor Williamsons stated that it is a fixed price then each year would be a cost of living increase.

Council Member Pavot stated she is comfortable with the length of the contract since it is similar to the police and fire contracts.

Council Member Bren agreed with Council Member Pavot. She added that she contacted many cities that PeopleService works with and every city has stated they were very satisfied with the level of service they received.

Council Member Bren stated that PeopleService is reliable and they are available during normal business hours even if they aren’t within the city limits for that entire time period. She continued that even when the City had a full-time public works employee there were many times that he was not available or within the city limits and staff was unable to get in contact with him. Spring Park is in need of change and that can cause some anxiety but she is comfortable with the five year contract. She continued that if there is an issue with PeopleService then the City can address those issues with the contract that is being proposed tonight.

City Administrator Tolsma stated that the contract cannot list every possible scenario just the same as a two or three page job description cannot list every task that will be completed. PeopleService understands that there are some unwritten tasks and that everything within the scope of “public works” would be covered as long as the City is not adding a new, significant job responsibility outside of that scope.

City Administrator Tolsma responded to the provision in the contract about the length of the contract and that has always been the hardest part of drafting the language. PeopleService has reasons for wanting a longer term contract including relocating a dedicated person to the Spring Park area so the company needs some certainty for staffing and personnel reasons. He understands Council trepidation with a new five year contract. However, recent discussions about police contracts have brought up the possibility of a 10 year contract for police services since staffing and personnel issues are involved.

Council Member Pavot stated that with PeopleService the City will be gaining better processes, reporting and metrics, and gaining the knowledge of all PeopleService employees and their expertise. While the City might be losing a bit of personalization in having a full-time public works employee, the City is gaining a lot in a partnership with PeopleService.

Council Member Horton agrees with Council Member Pavot and mentioned the cost savings of locking in a five year contract especially considering the three options that were provided.

Mayor Williamson stated that PeopleService has demonstrated their expertise in the past month and he has been impressed to see how they have responded to issues and stayed as long as necessary until a problem was fixed. The lift stations are new so they won’t require much attention but PeopleService has worked on much bigger and more difficult systems than those in Spring Park. In the past month PeopleService has found some gaps in reporting and maintenance and they have the knowledge and desire to make this contract work. He continued that instead of hiring one person, the City will get to engage an entire firm for no additional charge. Also, Spring Park would be getting a contract for full public works services for less money than Orono would charge for water and sewer only. The price is very fair to lock in for five years because PeopleService is trying to get into the metro area. He stated that critical timing is also important because PeopleService was extremely responsive and helpful on a temporary and interim basis in the City’s time of need.

Mayor Williamson stated he is not comfortable with the term of the contract and would prefer a three year contract. However, the City has plenty of contracts in the three to five year range including fire, police, landscaping and assessing. He noted that the contract is very well drafted and almost every contingency imaginable is covered. He is reassured regarding the “material breach” discussion that occurred at the work session and that if PeopleService over-promises and under-delivers then the City Council would have options due to the material breach portion of the contract.

City Administrator Tolsma responded that the standard contract for People Service is five years and that is the minimum they want to do. They are very interested in Spring Park as a client and would possibly consider a four year contract but he didn’t believe they would consider any contract less than four years.

Mayor Williamson stated he doesn’t want a four year contract because the next time it would be reviewed would be right before the next election and it could be used as a political issue at a very key time. He stated that the argument in favor of a five year contract is the price is very fair if they provide a service level that is fully satisfactory. PeopleService has also promised in the contract to attend City Council meetings so the Council will have access to ask questions and/or raise issues.

Council Member Pavot requested clarification on when the current contract ends.

City Administrator Tolsma responded that the temporary contract ends September 1.

Council Member Hughes stated he has no issues with PeopleService, but he has an issue with term of the contract.

Mayor Williamson asked City Attorney Beck if she has heard anything in tonight’s discussion that the Council is misunderstanding.

City Attorney Beck responded that she hasn’t heard any misunderstanding of the contract and there has been a good, full discussion.

M/Pavot, S/Horton to approve the 5-Year Public Works Operation and Maintenance Services Contract with PeopleService including revisions made through August 1, 2016, with the understanding that the existing temporary agreement continues through August 31, 2016 and to authorize the Mayor and City Clerk to execute the agreement.

Motion carried 4-1. (Hughes opposed)

c. City Engineer– No report.
d. City Planner– No report.
e. City Attorney– No report.
f. Public Works– No report.

a. August 9 – Administration Committee – 12:00 PM

City Administrator Tolsma recommended moving the Administration Committee meeting due to Primary Election Day.

The consensus was to move the meeting to August 11 at 12:00 PM.

b. August 10 – Planning Commission – 7:00 PM
c. August 10 – LMCD – 7:00 PM
d. August 11 – LMCC – 7:00 PM
e. August 15 – Regular Council Meeting – 7:30 PM


Council Member Hughes asked for an update on opting- out of the “drop homes” legislation.

Mayor Williamson stated that a legal notice was published for a public hearing before the Planning Commission on August 10, the Planning Commission will make their recommendation that night and the ordinance will be considered at the August 15 City Council Meeting in order to meet the September opt-out deadline.

a. Bills & Payroll

M/Horton, S/Bren to approve the bills & payroll.

Motion carried 5-0.

15. MISCELLANEOUS (Information Only)
a. August Channels 8 & 20 Schedules


M/Bren, S/Pavot to adjourn the City Council Meeting at 9:07 p.m.

Motion carried 5-0.

Date Approved: August 15, 2016

Theresa Schyma, City Clerk

Dan Tolsma, City Administrator