HomeMy WebLinkAbout06.11.18 Work Session Minutes CITY OF FARMINGTON
CITY COUNCIL MINUTES
WORK SESSION
JUNE 11, 2018
Mayor Larson called the work session to order at 6:00 p.m.
Roll Call
Present-Larson, Bartholomay (6:13 p.m.), Bernhjelm and Craig
Absent-Donnelly
Also Present-Administrator McKnight, Community Development Director Kienberger, Parks and
Recreation Director Distad, Fire Chief Elvestad, Finance Director Malecha, Human Resources
Director Wendlandt. Municipal Services Coordinator Larson and Public Works Director Gehler.
Agenda
Motion by Bernhjelm, second by Craig, to approve the agenda. APIF, motion carried.
Solid Waste Operational Changes
Public Works Director Gehler provided an update on operational changes that will need to
occur as a result of continued regulatory changes in the solid waste industry. Solid waste
tipping fees have been increasing and late in 2017 the managing board of the
Ramsey/Washington County processing facility increased tipping fees from $70 to $94 per ton.
They will also not be accepting waste from haulers outside of those two counties starting in
2019.
For 2018 the solid waste fund was in a position to absorb the tipping fee increase. The use of
fund balance dollars for 2019 is not sustainable. Most of the services in the solid waste fund
are required to provide the service. One area identified that is not required is the annual
curbside cleanup day. Each year we allocate approximately$200,000 for the event. Continued
regulatory requirements to process waste, instead of straight landfilling, have continued to
either erode the service or increase the costs related to the event. For 2019 any carpet picked
up will have to be recycled which is the similar issue to what drove the discontinuation of
mattresses in 2018 and other materials in the past. Furniture will likely be in the next few years
as well.
Given the continued changes, staff has researched options used by other communities. Staff is
recommending the following clean-up day transition:
2018
✓ Annual clean-up day was held.
June 11, 2018 Work Session Minutes - 1 -
✓ Add a mattress to drop-off to the Household Hazardous Waste Day in September for a
fee of$15 per mattress or box spring. The actual cost of mattress processing is
estimated at$30 so the city would support half of the cost.
2019
✓ Hold the annual clean-up day and discontinue collection of carpet.
✓ At the Household Hazardous Waste Day, arrange for mattress drop-off and carpet drop-
off provided there is room and a vendor available.
2020
✓ The city will be renegotiating our contract with our recycling hauler. Change to the
option of a scheduled pick-up service to this contract and negotiate reduced rates per
item. The city council could explore reallocating clean-up day costs to buying down the
rates.
Councilmember Craig asked what people will do with the waste we will no longer collect.
Gehler stated that more and more is recycled as opposed to going into the landfill.
Councilmember Bernhjelm stated she supports the proposal, but not the subsidy for mattress
collection. She also supports the percentage increase approach in scenario one to solid waste
fees.
Councilmember Craig stated that she supports the changes as proposed, minus the mattress
subsidy. We should also start to communicate these upcoming changes to residents soon.
Mayor Larson asked how we will determine a charge for carpet collection. Gehler stated that
this issue will need to be determined in the near future.
Bernhjelm asked if the contract renegotiations after 2019 would include potential recycling
every week. Municipal Services Coordinator Larson stated that is the intent.
The consensus of the city council was support of the plan as proposed, no mattress subsidy,
staff will bring back solid waste rates with a phased in plan with regular increases for inflation.
Solid Waste Service Exception Policy
Public Works Director Gehler reviewed state statute requirements for solid waste collection
and exemptions. City code, section 7-1-2, does allow exemptions from solid waste collection if
a home or business ensures that an environmentally sound alternative is used. In the mid-
2000's there was discussion surrounding the excessive use of exemptions and the city updated
both the ordinance language and internal processes to address the issue.
Section 7-1-2 (a) allows the city to exempt service "fore extenuating or unusual circumstances."
While this language is meant to allow staff flexibility in evaluating special circumstances on a
June 11, 2018 Work Session Minutes -2-
case-by-case basis, it has allowed room for personal interpretation as well. In practice, staff has
developed and used a permitting process to collect information related to the individual
circumstances and has general criteria that are used to determine appropriate reasons for
discontinuation of service:
1. Snow birds are allowed to apply for a temporary six-month discontinuation of service. A
$30 fee applies to pick up and redeliver the container.
2. Other vacancy circumstances are allowed using a temporary six-month discontinuation
of service similar to snow birds. Circumstances where this has been allowed are
vacancies due to extended home sale (foreclosures), owner death, property fire,
structure demo, etc.
This has been the approach taken by city staff. Staff is looking to see if the city council
continues to support this approach.
The city council was in support of staff's approach to this issue. City staff will develop a policy
for city council consideration and place it on an upcoming city council agenda.
Lighting and Cleaning City Entrance Signs
Parks and Recreation Director Distad reminded the city council one of their special project goals
for this year was to light and clean the five city entrance signs.
To date, all five entrance signs and similar signs at the police department and fire station #2
have been cleaned.
Bids to light the entrance sign on Pilot Knob Road have been obtained. The quote to use solar
energy is $5,170 and the quote for regular LED lighting is $4,785. Distad reviewed the pros and
cons of each approach.
Mayor Larson was willing to try this with one sign to start out with.
Councilmember Craig thought it was a good idea but wants to see how this impacts the 2019
budget.
Councilmember Bernhjelm asked about the estimated monthly cost for lighting the sign.
Administrator McKnight stated that the monthly electrical cost for the EDA owned downtown
sign is between $18-$20 per month.
Bernhjelm would like to see the sign lighting installed before more homes are built on the city
border.
McKnight stated that if the city council wants to move forward with this project the funds
would come from liquor store profits.
June 11, 2018 Work Session Minutes -3-
Councilmember Bartholomay supports the project and the use of liquor store profits.
The city council directed staff to move the lighting project forward for the Pilot Knob entrance
sign.
Draft 2019 Budget Review
Administrator McKnight presented the draft 2019/2020 budget for city council review.
McKnight reviewed a variety of city and financial related topics including:
1. Financial health of the community
2. Specific issues of importance in the 2019 budget
3. 2030 financial plan
4. 2019 draft budgets
5. 2019 transfer budget
The 2019 draft budget includes $3,198,401 in non-property tax revenue, which is 1.11% higher
than 2018. The total expenses are at $13,059,807, up 3.39%from 2018. The total debt levy is
at $3,452,460 which is 2.65% higher than 2018. The draft tax levy is 3.95% higher than 2018
and includes the spending of$240,000 in general fund balance dollars.
McKnight reviewed the individual budgets and highlighted significant changes between 2018
and 2019. The city council would like additional discussions at a future work session on the
following:
1. Increased cost with Dakota County for the emergency response plan in the Emergency
Management budget.
2. Discussions on individual new position requests.
Councilmembers asked a number of questions on the departmental budgets and the transfers
budget.
Mayor Larson would like to see the tax levy reduced another one percent. He also inquired
about EDA funding in the Transfers budget.
Councilmember Bernhjelm asked about the use of fund balance and our position at the end of
2017. McKnight explained how the city stood in terms of General Fund balance at the end of
2017 and the proposed use of these dollars on the 2019 levy reduction, the USDA build out
costs in city hall and keeping the fund balance at 40% at the end of 2018.
Bernhjelm stated she would like the levy reduced another one percent and recommended
looking at some of the new positions for the reductions.
June 11, 2018 Work Session Minutes -4-
Councilmember Craig agreed with the levy reduction and looking at the new positions.
Councilmember Bartholomay would like to see the levy reduced at least one percent. He also
asked a number of questions on funding priorities in the Transfers budget.
City Administrator Update
McKnight presented updates on the following items:
1. FHS Settlement Agreement discussion
2. Shared a request from a resident to spray for insects at an upcoming community event
3. Shared that the Rebel Chef is on the verge of opening
4. Updated the city council on upcoming city council events and city activities
Adjourn
Motion by Bernhjelm, second by Bartholomay,to adjourn the meeting at 7:50 p.m. APIF,
motion carried.
Respectfully Submitted
1344el1 I&iCasflit
David McKnight, City Administrator
June 11, 2018 Work Session Minutes -5-