HomeMy WebLinkAbout06.02.14 Council Minutes COUNCIL MINUTES
REGULAR
June 2, 2014
1. CALL TO ORDER
The meeting was called to order by Mayor Larson at 7:00 p.m.
2. PLEDGE OF ALLEGIANCE
Mayor Larson led the audience and Council in the Pledge of Allegiance.
3. ROLL CALL
Members Present: Larson, Bartholomay, Bonar,Donnelly
Members Absent: Fogarty
Also Present: Joel Jamnik, City Attorney; David McKnight, City Administrator;
Robin Hanson, Finance Director;Adam Kienberger, Community
Development Director; Randy Distad, Parks and Recreation
Director; Kevin Schorzman, City Engineer; Brenda Wendlandt,
Human Resources Director; Blair Peterson, Liquor Operations
Manager; Cynthia Muller, Executive Assistant
Audience: State Representative Patrick Garofalo,Dakota County
Commissioner Mike Slavik, Leon Orr
4. APPROVE AGENDA
MOTION by Bartholomay, second by Donnelly to approve the Agenda. APIF,
MOTION CARRIED.
5. ANNOUNCEMENTS
a) Introduce New Community Development Director—Adam Kienberger
City Administrator McKnight introduced the new Community Development
Director Adam Kienberger who started on May 30, 2014. He recently worked for
the City of Lakeville and the Department of Employment and Economic
Development.
b) State Representative Patrick Garofalo
Thanked Dakota Electric Association for their quick service today with a large
power outage in parts of Farmington and Lakeville. They went above and beyond
by calling all customers to make sure their power was back on.
Regarding the 2014 legislative session, he described the legislative year as
expensive. Expensive can be worth it, it can be an unexpected circumstance, or
wasteful, unnecessary or extravagant. The state budget has seen record spending
increases the last three years which was financed by substantial tax increases.
With the growing economy, some tax increases were repealed this year.
Approximately$2.5 billion in tax increases were scaled back by$400 million.
Some money was used for good things. A 5% cost of living increase was given to
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caregivers. There were record propane prices this year so low income heating
assistance was provided to those who needed it. However, spending on a new
senate office building was wasteful. We are currently renovating the state capitol.
It is a working museum and everyone supports that. Unfortunately, some elected
officials decided we needed a new senate office building at a cost of$90 million
to house 35—40 senators on a part time basis. In Minnesota, our culture does not
like this idea.
In 150 years we have never had an increase in state spending this high. With the
economy growing and tax increases the bills are being paid for. However, over
the last three months revenues have come in below forecast. More revenues are
coming in now than a year ago,the problem is there is not enough.
Representative Garofalo was very concerned about our short term and long term
future.
Councilmember Bonar asked if there were any positive items from the last
session. Representative Garofalo stated the good news is in the area of education,
we expanded early childhood scholarships. They are vouchers given to low
income families to choose the pre-school education program that best fits them.
Funding and eligibility was expanded for this program. Another positive item
was the increase for long term caregivers. We also repealed some of the tax
increases from last year such as the sales tax expansion on telecommunications
infrastructure. In addition we repealed the warehousing sales tax which was
causing a real estate boom in warehousing prices in Wisconsin. A gift tax was in
place where if a wealthy individual gives money to family or friends there is a
lifetime cap on the amount of giving. At some point there is an added surtax on
those gifts. If the families move from Minnesota, they can give it away and not
have to pay the tax. This gift tax was repealed. There was also modest estate tax
relief.
Mayor Larson asked about Sunday liquor sales. Representative Garofalo stated in
Minnesota there is a mandate that prohibits liquor stores from being able to sell
liquor on Sundays. He felt a compromise is to repeal the state mandate and allow
local units of government to make the decision. The effect on Farmington is
minimal, but does affect cities on the Wisconsin border. He suggested a
temporary compromise would be to let local units of government decide and see
how that works. The likelihood of this issue moving forward is slim.
Mayor Larson asked with Farmington having a population of 22,000 is there
anything we need to keep our eye on that would affect our city? Representative
Garofalo stated our federal government is completely off the rails in terms of its
fiscal accountability with hundreds of billions of dollars in deficits. You combine
that with actions throughout the world and we could be entering an area with
economic instability. When that happens,you do not see the events coming. You
do not have foresight to see that we will not have the money we are projecting.
The feds cut money from the state and the state cuts money from cities and you
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have less tax revenue and people have fewer services. Cities are the last weigh
station in those decisions. He encouraged Council and staff to take a very prudent
course of action in terms of allocation of funds. Now is a good time to save more
than spend.
c) Dakota County Commissioner Mike Slavik
The county is beginning the budget process. Last year Dakota County was one of
eight counties that reduced their tax levy. A positive thing that impacts Dakota
County residents is through Representative Garofalo and his colleagues, we were
able to pass a Dakota County governance plan change which changes to a county
manager system. This was bipartisan and it allows the county to streamline some
government systems and improve the accountability of the county citizen advisory
boards. An example is the Library Board which is appointed by the county,
however,they have full budget authority. So this new plan says the county's
elected official will hold the purse strings. There are some ways the county will
be saving money for the tax payers.
Regarding transportation projects, County Road 64 will be the big project in the
next two years. The first open house was held earlier this spring. Currently,the
project is in design. In the fall of 2014 the county will be doing right-of-way
acquisition. There will be a second open house showing the final design as well
as phasing. This is a large project with complicated intersections and ways to get
out of certain developments. As a result, the project will not be done all at one
time. This project will begin in 2015 and will take longer than the summer, so it
will impact the school year. He and City Administrator McKnight attended the
April school board meeting to give an update on the project and to discuss right-
of-way acquisitions and appropriate ways to best serve the community.
Commissioner Slavik provided an update on the remodeling of the Dakota County
Farmington Library. By mid to late June the interior will be done. This week the
material handling system is being installed. This is an automated system that
checks in returned books. Library staff will be able to move in mid-July with a
soft opening. The exterior will take longer. Once the entire project is complete
there will be a grand re-opening.
d) Liquor Store Update/Last Hope Presentation
The last wine club tasting for the first half of the year was held with 52 people
attending, $1,000 in sales and they sold four new memberships. Tastings will
start again in September. Memorial Day weekend the stores were open Thursday
through Saturday. Total net sales for both stores were ahead of 2013 by$15,675.
Year-to-date numbers for net sales at the downtown store are up $64,769,the
Pilot Knob store is up $58,319 for a total of over$123,000 above sales for the
same time in 2013. Customer counts were up over 2,000 at the downtown store
and almost 2,000 at the Pilot Knob store. The average ticket is up over$.40 at
each location.
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Liquor Operations Manager Peterson stated in April the liquor stores had a supply
and fund drive for Last Hope. The stores raised$1,154 plus many pet supplies
were donated which he presented to Mr. Leon On. Mr. On stated his wife
organized the organization in 1985 to serve as an animal rescue organization for
Farmington, Lakeville and Rosemount. The first year the total expenses were
$845. Now the primary area of service is all of Dakota County and reaches into
western Wisconsin and the entire metro area. As a comparison,monthly
veterinarian expenses are now over$20,000. Mr. On serves as treasurer on a
board of six members. In 2013,the organization found homes for 1,600 cats and
dogs in Dakota County. It has been an all-volunteer organization. A part time
administrator has now been hired and office space leased in the former senior
center building. The primary purpose of doing this was to keep it focused in
Farmington. For 29 years Last Hope has had the same mailing address and phone
number which provides stability. Fundraising efforts like this bring public
attention to the organization and its efforts.
Mayor Larson thanked Liquor Operations Manager Peterson and his staff for their
efforts in turning things around so they can do things like this.
6. CITIZEN COMMENTS
7. CONSENT AGENDA
MOTION by Bartholomay, second by Bonar to approve the Consent Agenda as follows:
a) Approved Council Minutes(5/19/14 Regular)
b) Approved School and Conference—Parks and Recreation
c) Adopted RESOLUTION R37-14 Accepting Donations Rambling River Center—
Parks and Recreation
d) Approved Bills
APIF, MOTION CARRIED.
8. PUBLIC HEARINGS
9. AWARD OF CONTRACT
10. PETITIONS, REQUESTS AND COMMUNICATIONS
a) 2014 Strategic Plan Update-Administration
The City Council and staff met in March 2014 to start the 2014 City Council
Strategic Plan. City Administrator McKnight presented an update on this process
and asked for Council's input and direction.
The city contracted with Mr. Dave Unmacht of Springsted Inc.to facilitate the
planning process. The City Council and staff met for a day long retreat to discuss
a wide variety of projects. The City Council and City Administrator McKnight
also discussed goals Council would like to see in the strategic plan. Several
benefits to the city's strategic planning efforts include:
1. Provide a written road map with clear accountabilities and documentation.
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2. Enhance Council's ability to focus on the most important policy and
program areas.
3. Communicate with residents, businesses and stakeholders what is
important to you.
4. Unite employees around common goals and priorities.
5. Strengthen your organizational effectiveness.
They discussed a series of changes that have taken place in Farmington over the
last three to four years which are indicative of a positive momentum happening in
the community. Noted changes were:
1. Positive changes in city personnel; improved city attitude and culture.
2. Recessionary belt tightening produced a lean government.
3. Continued strengthening of the relationship with the Farmington Area
School District at all levels.
4. Enhanced image in the community.
5. Transparent and honest financial discussions.
6. Improved collaboration with other public agencies.
7. Financial and multi-year planning.
The discussion produced major priorities of the City Council as follows:
1. Organizational Development
2. Application of Technology
3. Economic Development
4. Operations and Finances
5. Communication and Engagement
6. Enterprise Operations
Each priority has specific goals. Organizational development is defined as the
review of operational structure of the organization to maximize results and ensure
our structure meets both the current and future needs of the community. The
goals for organizational development include:
1. Conduct operational analysis of maintenance functions between Municipal
Services and Parks/Recreation.
2. The Fire Department goal needs work and will be determined.
3. Prepare a long term strategic plan in Parks/Recreation that is reflective of
Farmington, our budget and City Council expectations.
4. Continue relationship building and partnerships with our primary local
government partners including Dakota County, Empire, Castle Rock and
Eureka Townships and the Farmington Area School District.
5. Continually review issues that impact the organization,the employees and
the community.
Each goal also has action steps. An example under organizational development is
we want to look at how we provide service delivery of maintenance issues
currently provided by Municipal Services and Parks/Recreation. City
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Administrator McKnight would like staff to look at snow removal and let him,
Council and the community know why and how we do snow removal. We also
want to look at work schedules for efficiency and productivity.
The second priority is application of technology, which is to use technology to
improve all areas of operation. The goals include:
1. Leverage and maintain and/or upgrade current technology.
2. Research and implement new technology that improves processes and
increases efficiencies both internally and externally.
3. Develop a technology strategic plan that includes equipment,personnel
and funding.
Priority three is economic development. The goals include:
1. Successfully integrate the new Community Development Director into the
organization and community.
2. Assist in the further success of the Vermillion River Crossings
development.
3. Explore land site options for future industrial development.
4. Work with all of our partners to improve the business climate and culture
in our community.
Priority four is operations and finances which is a continuation of the work we
have been doing over the last four or five years to improve the financial health of
the city. Goals include:
1. Develop a comprehensive and professional financial management plan
bringing together all of the work performed in recent years and
summarizing goals for future plans.
2. Continue to work to get all funds to a positive status year round. We are
down to two funds; the general fund and the debt service fund.
3. Develop a strategy to improve the city's bond rating. We are currently a
AA-. It would be a significant step to get to AA status.
4. Develop an annual budget and budget process that is collaborative and
easily understandable to the public.
Priority five is communication and engagement. The purpose is to continue to use
a wide variety of tools to communicate with our residents and improve our efforts
to share the status of our work. Goals include:
1. Update the city's website in 2015. We use the website for many things to
help communicate with our residents and it is time to put a new face on it
and make it easier for residents to access information.
2. Improve the city's use of traditional/social media tools to communicate
with residents.
3. Update and improve the quality of Farmington's presence on channel 16.
4. Improve the image of Farmington in many different ways.
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The sixth priority is enterprise operations to ensure success and develop solid
fmancial plans that ensure the long term sustainability of our enterprise
operations. Goals include:
1. Continue implementation of the liquor division financial plan.
2. Continue to improve annual financial health of the Schmitz-Maki Arena
and set aside funding for future facility improvements. We have had two
years of a small profit.
3. Review options to continue to reduce the reliance on tax levy dollars at the
pool and Rambling River Center while maintaining the services we
provide.
City Administrator McKnight stated this plan is a draft and asked for Council
input. This will be brought back to a future meeting for formal approval.
Mayor Larson felt the plan reflects the discussion from that meeting.
Councilmember Donnelly stated the endeavor was worthwhile and it will help
focus the city as Council changes. Everything discussed is captured in the plan.
Councilmember Bartholomay stated the plan is a working plan. It reflects what
we spent the day discussing. The facilitator lead the discussion, but City
Administrator McKnight put a lot of work into putting this together.
Councilmember Bonar was encouraged by this next step. The six priorities are an
appropriate representation of what we discussed. He will look forward to seeing
how city administration and staff accepts the short term responsibilities in the
implementation phase. He saw a few gaps and looked forward to seeing them
filled in and hearing more from department heads as to how they will take this
strategic plan and make it a living document for their departments and the people
they serve.
11. UNFINISHED BUSINESS
12. NEW BUSINESS
13. COUNCIL ROUNDTABLE
Councilmember Donnelly: It was nice to hear from State Representative Garofalo and
Dakota County Commissioner Slavik.
Councilmember Bartholomay: He also thanked the representatives for attending
and hoped it would be a yearly occurrence. He appreciated the liquor store update. He
welcomed Community Development Director Kienberger and thanked City
Administrator McKnight for his work on the strategic plan.
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City Administrator McKnight: The June 16, 2014, Council meeting will not be
televised because we are upgrading the broadcasting equipment. It may extend to the
July 7, 2014,meeting but the public will be advised.
City Engineer Schorzman: Seal coating will begin tomorrow. He encouraged residents
to check the map on the website. The wear course will be laid on the east frontage road
along highway 3 from the sanitary sewer project.
Community Development
Director Kienberger: Thanked everyone for the warm welcome.
Parks and Recreation
Director Distad: The pool will open on Friday, June 6,2014. There will be a joint
meeting between the City Council and Parks and Recreation Commission on June 11,
2014, at 6:30 p.m. for a presentation on the aquatic feasibility report.
Human Resources
Director Wendlandt: Regarding the Ipad issue,Novus Agenda is working to set
up the Council agenda. The basic structure is moving along. Once that is working,
Council will be able to see everything on their Ipads through a link to the Novus Agenda
Council website.
Mayor Larson: Welcomed Community Development Director Kienberger. Dew
Days is coming up soon. All activities are on their website. He reminded everyone to
shop local.
14. ADJOURN
MOTION by Bartholomay, second by Bonar to adjourn at 7:51 p.m. APIF,MOTION
CARRIED.
Respectfully submitted,
Cynthia Muller
Executive Assistant
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