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HomeMy WebLinkAbout09.20.21 Council Minutes CITY OF FARMINGTON CITY COUNCIL MINUTES REGULAR MEETING SEPTEMBER 20, 2021 1) Call to Order Mayor Hoyt called the meeting to order at 7:00 p.m. 2) Pledge of Allegiance Mayor Hoyt led those in attendance in the Pledge of Allegiance. 3) Roll Call Present-Hoyt, Bernhjelm, Pearson, Porter and Wilson Absent-None Staff Present-Administrator McKnight, Assistant Administrator Gorski, Parks and Recreation Director Omlid, Police Chief Rutherford, Fire Chief Elvestad, Finance Director Regis, Public Works Director Gehler and Community Development Director DiMaggio. 4) Agenda Motion by Wilson, second by Porter, to approve the agenda as amended removing item 7c. APIF, motion carried. 5) Announcement/Commendations a) K9 Program Donation Police Chief Rutherford introduced Ben Schiemer who this summer started a lemonade stand to raise funds for the Farmington Police K9 program. Through sales and donations, he was able to raise $9,900 for the program. Rutherford thanked Ben and his family and some of the donors who were in attendance. City councilmembers thanked Ben for his work and shared how proud they were of him, how he was an inspiration and how he has a bright future in front of him. September 20, 2021 Minutes Motion by Pearson, second by Bernhjelm, to adopt Resolution R45-2021 accepting donations in the amount of$9,900 from Ben Schiemer and family and other donors for the Farmington Police K9 Program. APIF, motion carried. 6) Citizen Comments a) William Pelach-315 Spruce Street-Shared with the city council his concerns about vehicles speeding on Spruce Street, parking in their private parking lot, the need for more businesses in Farmington including a hospital and grocery store. b) Kelsey Jezierski, 18297 Dunbury Avenue-Shared that she has shared comments at past meetings about not feeling safe in Farmington. She attended the school board meeting on September 13, 2021 and shared her support of the mask mandate. She was bullied at the meeting by some in attendance. As she walked out she was told that no one will hear her screams with a mask on. She asked if safety was a priority and how would it be guaranteed. c) Reannon Norland, 19857 Denali Way-Shared that she was disgusted with what happened at the school board meeting last week. She noticed the mayor's absence at the joint city council/school board meeting this summer. She felt his campaign promises were failing. The community needs a leader who emphasizes prosperity, inclusivity and kindness. 7) Consent Agenda Motion by Bernhjelm, second by Wilson, to approve the consent agenda: a) Approve Minutes of the September 7, 2021 City Council Meeting-Administration b) Approve Minutes of the September 7, 2021 City Council Work Session- Administration d) Approve 2022 Fire Relief Association Pension Increase-Administration e) Approve Temporary On-Sale Liquor Farmington Liquors-Administration f) Acknowledge City Administrator Performance Review Summary-City Council g) Adopt Resolution R46-2021 Accepting Donations from Happy Harry's Furniture to the Rambling River Center-Parks h) Approve Bills-Finance APIF, motion carried. 8) Public Hearing None September 20,2021 Minutes 9) Award of Contract None 10) Petitions, Requests and Communications None 11) Unfinished Business None 12) New Business a) Preliminary 2022 General Fund Budget and Tax Levy Finance Director Regis presented the draft 2022 general fund budget and tax levy for city council consideration. State statute requires that the proposed property tax levy for the upcoming year be certified to Dakota County on or before September 30th each year.The city council is being asked to adopt the 2022 proposed property tax levy which will be included in the proposed property tax statements that are mailed to taxpayers in November. The city council discussed the 2022 General Fund budget and tax levy at work sessions in July,August, and September.The proposed budget and tax levy for as follows: 2021 Budget 2022 Proposed Budget Increase/(Decrease) Revenues $3,298,344 $3,611,583 9.50% Expenditures $13,832,464 $15,729,719 13.72% Fiscal Disparities $2,277,659 $2,351,400 3.24% General Fund Levy $8,256,461 $9,766,736 18.29% Debt Levy $3,012,093 $2,265,788 (24.78%) Net Tax Levy $11,268,554 $12,032,524 6.78% Revenues Revenues for the General Fund continue to move in a positive direction, reflecting a 9.5% increase over 2021. September 20, 2021 Minutes The General Fund revenues outside of the tax levy include- 2021 Budget 2022 Proposed Budget Increase/(Decrease) Licenses/Permits $517,076 $736,700 42.47% Intergovernmental $667,912 $672,087 0.63% Charges for Service $576,197 $602,460 4.56% Fines/Forfeitures $49,000 $50,000 2.04% Investment Income $29,100 $41,600 42.66% Miscellaneous $79,370 $80,878 1.90% Transfers In $1,379,689 $1,427,858 3.49% TOTAL $3,298,344 $3,611,583 9.50% Revenue items of note include- Permit revenue reflects an increase of$219,624 due to an increase in single family home construction and continued revenue from home remodeling projects such as new decks, bathrooms,etc. ✓ There was no change in the local government aid revenue from 2021. ✓ Intergovernmental revenues will also reflect slight increases in police and fire state aid revenues in 2022. ✓ Charges for services revenue has increased primarily due to an increase in fire charges revenue. ✓ Investment income is estimated to increase by$12,500 in 2022. Expenditures The proposed 2022 expenditures are summarized below- 2021 Budget 2022 Proposed Budget Increase/(Decrease) Administration $902,215 $1,099,249 21.74% Human Resources $361,658 $402,112 11.19% Dakota Broadband $37,500 $45,500 21.33% Finance/Risk Mgmt. $776,287 $818,759 5..47% Police $4,845,796 $5,279,810 8.96% Fire $1,435,685 $1,592,646 10.93% Community Development $1,007,849 $1,059,182 5.09% Engineering $813,895 $850,411 4.49% Municipal Services $1,511,187 $1,609,704 6.52% Parks and Recreation $1,317,341 $1,329,767 0.94% Transfers Out $822,351 $1,642,609 99.75% TOTAL $13,832,464 $15,729,719 13.72% Operating Transfers September 20, 2021 Minutes There are transfers in and out shown in the General Fund budget.The transfers into the General Fund are from the enterprise funds to reimburse the General Fund for human resource and administrative costs which benefit the enterprise funds.Transfers out reflect a significant increase in 2022 over 2021 by $820,258.The transfers out are comprised of the LGA and tax levy.The increase can be attributed to the following: ✓ Provide for future debt service for the Spruce/Division Street reconstruction project in the amount of$175,000. ✓ Increase in mill and overlay of$318,792 for a total of$650,000 for the Akin Road mill and overlay project. ✓ Increase in trail maintenance funding of$65,000 for a total of$135,000. ✓ An increase of$375,000 or 72%for the vehicle and equipment replacement plan. Debt Service The Debt Service Funds budget provides funding for scheduled debt principal and interest repayment obligations, as well as ongoing trustee,assessments,arbitrage, and post-issuance compliance fees related to the city's debt.The levy includes both General Obligation bonds and Interfund loans.The 2022 debt levy is 24.73 percent lower than the 2021 debt levy.The decrease in debt is due to the reduction in the debt service loans for the 2005C bonds and paying off debt related to the police station construction. The taxable market value of the average residential property in Farmington will be$282,815 in 2022. This is a 3.95% increase over the 2021 average. The current proposed tax levy amount would increase the city portion of property taxes by$76 per year. Councilmember Pearson stated she has shared her concerns in work sessions that the levy number is too high. She thanked the finance director for jumping right into the budget. Councilmember Porter thanked the finance director for his work on the budget. Councilmember Wilson thanked the finance director for his work. This is the seventh budget he has worked on as a city councilmember. He thanked his fellow councilmembers on their approach to the budget process. Thanked city staff for their work in developing the budget. Mayor Hoyt thanked all staff for their work. The city council set the baseline for sufficient funding for infrastructure maintenance. This council decided not to continue to push this need off to future city councils. We cannot continue to do this to future city councils. Motion by Wilson,second by Bernhjelm,to adoption Resolution R47-2021 establishing the 2022 preliminary tax levy as proposed and setting the public input meeting prior to the adoption of the final 2022 budget and tax levy for Monday, December 6, 2021 at 7:00 p.m. Motion carried 4-1. Voting Yes- Hoyt, Bernhjelm, Porter and Wilson. Voting No-Pearson. September 20, 2021 Minutes 13) City Council Roundtable Bernhjelm-She was happy to see the positive social media comments on Dew Days. Pearson-She watched the last school board meeting and witnessed behavior we should not be proud of. We can have differences of opinion and treat each other with respect. She offered good thoughts for those involved in the food truck incident at Dew Days and thanked all of those involved in putting on a successful event. Wilson-Thanked residents for their comments at the meeting tonight. Wished his son a happy 19th birthday. Porter-Loved to see the community come together at Dew Days. Shared that the weather has been great and encouraged everyone to get outside. Offered thanks for the sidewalk chalk work. Thanked the fire department for flying the flag on Ladder 1 on September 11tH McKnight-Thanked city staff for their work in Dew Days. Omlid-Thanked park staff for their work on Dew Days. Invited everyone to an open house at the Rambling River Center this Friday. Gorski-Invited everyone to the grand opening of the new liquor store on October 15t Regis-He is continuing to learn in his new position. Rutherford-Shared that he participated in a softball tournament over the weekend that raised over $42,000 for the Invisible Wounds Project. Elvestad-Shared that both fire prevention week and the fire department open house are scheduled in the first two weeks of October. Hoyt-Thanked city staff for their response to the storms last week. Dew Days was amazing and thanked everyone involved. Encouraged everyone to continue to watch out for kids, busses and tractors. Participated in the South Metro Realtors Summit last week. Shared that watched the school board meeting last week and was disgusted by the behavior displayed and encouraged everyone to keep it civil. Shared that he missed the joint meeting with the school board this summer due to an issue at his home that had to be dealt with, he was not dodging the meeting. Thanked local businesses for all their support of community events. 13. Adjourn Motion by Porter,second by Bernhjelm,to adjourn the meeting at 7:54 p.m. APIF, motion carried. September 20, 2021 Minutes Respectfully Submitted 590ra P "C'Ks'tvllt David McKnight, City Administrator September 20, 2021 Minutes