December 5, 2016, Council Minutes

CITY OF SPRING PARK
CITY COUNCIL MINUTES
DECEMBER 5, 2016 – 7:30 PM
SPRING PARK CITY HALL

1. CALL TO ORDER - The meeting was called to order by Mayor Williamson at 7:30 p.m.

2. ROLL CALL

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

Staff Present: Dan Tolsma, City Administrator; and Nancy Beck, City Attorney.

Others Present: Catherine Kane Palen, Council Member-Elect; and Jerry Rockvam, Mayor-Elect.

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.

5. ADOPT AGENDA

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

Motion carried 5-0.

6. ADOPT CONSENT AGENDA
a. City Council Regular Meeting Minutes from November 14, 2016
b. City Council Work Session Minutes from November 28, 2016

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

Motion carried 5-0.

7. PUBLIC FORUM – None.

8. PRESENTATIONS & GUEST SPEAKERS – None.

9. PETITIONS, REQUESTS & APPLICATIONS – None.

10. ORDINANCES & RESOLUTIONS – Mayor Williamson opened the Truth in Taxation public hearing regarding the 2017 property tax levy and proposed budget.

City Administrator Tolsma stated that there were no formal communications received from residents regarding the Truth in Taxation hearing. He added that the notice that residents received from Hennepin County could be confusing and it leads many people to believe that the valuation of their properties can be discussed at the Truth in Taxation Hearing.

Jeff Hovelsrud, 3860 Sunset Drive, addressed the Council regarding the valuation of his property.

Mayor Williamson responded that the Truth in Taxation hearing is for residents to address the Council regarding the proposed tax levy and budget. Residents can address the valuation of their properties at the Open Book Meeting in April. He encouraged Mr. Hovelsrud to attend the Open Book Meeting in April to speak with county assessors.

Mayor Williamson closed the Truth in Taxation public hearing.

a. Resolution 16-20: 2017 Property Tax Levy

Mayor Williamson discussed several items related to the proposed tax levy including:
• The General Fund balance;
• Current funds available in the City reserves;
• The City is currently tracking under-budget for 2016;
• Future money the City will be receiving from decertifying TIF District 1-2 in 2016; and
• Payments the City is going to receive for property tax remittance from Hennepin County.

M/Williamson to revise Resolution No. 16-20 to reduce the 2017 Property Tax Levy from 1.9% to 0.9% and to increase the transfer of funds from the Capital Fund to the General Fund by approximately $10,000 to cover the difference.

Council Member Hughes stated he would like to see more documentation regarding the numbers Mayor Williamson is referencing prior to making a decision.

Mayor Williamson stated that the City has over $4,000,000 in reserves and therefore questioned why the Council would consider raising the levy at all.

Mayor Williamson withdrew his motion.

Council Member Hughes stated that looking beyond 2017 there are other factors that need to be considered including the new water filtration system. The system was paid for by a grant but after next year the City will need to pay the operating costs.

Mayor-Elect Rockvam stated that when figuring out the true of amount of the City’s reserves the bonds need to be subtracted from that amount. Therefore the net result would be closer to an amount over $1,000,000. The City’s net reserves are not over $4,000,000 and the water fund is losing money.

Mayor Williamson responded that there is $4,000,000 is reserves and those funds are mostly unrestricted. He further stated that the water fund changes from year to year and the amounts typically offset.

Council Member-Elect Palen asked if the numbers that Mayor Williamson is referencing were taking into consideration all of the debt that the City has.

Mayor Williamson stated that documentation would be prepared and distributed for review prior to the next meeting.

M/Williamson, S/Hughes to move consideration of Resolution No. 16-20 in order to receive additional documentation and schedule final action on the 2017 property tax levy to the regular City Council meeting of December 19, 2016.

Motion carried 5-0.

b. Resolution 16-21: 2017 Budget

M/Williamson, S/Horton to move consideration of Resolution No. 16-21 and schedule final action on the 2017 budget to the regular City Council meeting of December 19, 2016.

Motion carried 5-0.

11. REPORTS OF OFFICERS & COMMITTEES
a. Mayor and Council – Mayor Williamson provided details from a recent meeting with Jennifer Munt, Metropolitan Council Member – District 3.

Council Member Hughes provided an update from the most recent Lake Minnetonka Conservation District (LMCD) meeting that included a public hearing regarding proposed dock increases at 5th Street Ventures. He further stated that the LMCD Board will continue their discussion regarding this issue at their next meeting.

b. City Administrator
1. Recycling Contract – City Administrator Tolsma presented a summary of the proposed five-year agreement for residential recycling collection services.

M/Hughes, S/Bren to approve the agreement for residential recycling collection services with Republic Services, Inc. for January 1, 2017 through December 31, 2021.

Motion carried 5-0.

2. 2017 Staff Wages - City Administrator Tolsma stated that no changes have been made to the 2017 staff wages that were discussed at the November 28, 2016 City Council Work Session.

M/Hughes, S/Horton to approve the 2017 Staff Wages as presented.

Motion carried 5-0.

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

12. UPCOMING MEETINGS & TRAINING
a. December 8 – LMCC – 7:00 PM
b. December 13 – Administration Committee – 12:00 PM
c. December 14 – Police Commission – 8:00 AM
d. December 14 – LMCD – 7:00 PM
e. December 14 – Planning Commission – 7:00 PM
f. December 19 – Regular Council Meeting – 7:30 PM

13. UNFINISHED BUSINESS – None.

14. NEW BUSINESS & COMMUNICATION
a. Bills & Payroll

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

Motion carried 5-0.

b. Purchase Order 16-03 – Mayor Williamson and City Administrator Tolsma presented a summary of the purchase order relating to the audio/visual upgrade of the Council Chambers.

M/Hughes, S/Horton to approve Purchase Order 16-03 relating to the audio/visual upgrade of the Council Chambers.

Motion carried 5-0.

15. MISCELLANEOUS (Information Only) – None.

16. ADJOURNMENT

M/Hughes, S/Horton to adjourn the City Council Meeting at 8:38 p.m.

Motion carried 5-0.


Date Approved: December 19, 2016

_________________________
Theresa Schyma, City Clerk

____________________________
Dan Tolsma, City Administrator