Council Minutes
PROCEEDINGS OF THE CITY COUNCIL
OF THE CITY OF GRAND FORKS, NORTH DAKOTA
September 7, 2010
The city council of the city of Grand Forks, North Dakota met in the council chambers in City Hall on Tuesday, September 7, 2010 at the hour of 5:30 o’clock p.m. with Mayor Brown presiding. Present at roll call were Council Members Bjerke, Grandstrand, Gershman, Christensen, Sande, Kreun - 6; absent: none.
Mayor Brown announced that anyone wishing to speak to any item may do so by being recognized prior to a vote being taken on the matter, and that the meeting is being televised.
Girl Scout Troop 20441 led the city council in the pledge of allegiance to the flag
Mayor Brown commented on various events during the past week and upcoming events:
We have the Special Olympics Bocce Tournament in town this weekend so please come out and support our special athletes.
ADOPT ORDINANCE NO. 4304, RELATING TO
MANUAL ON UNIFORM TRAFFIC CONTROL
DEVICES
An ordinance entitled "An ordinance amending Section 8-0103 of the Grand Forks City Code relating to Manual on Uniform Traffic Control Devices", which had been introduced and passed on its first reading on August 16, 2010, was presented and read for consideration on second reading and final passage.
Mayor Brown opened the public hearing, there were no comments and the public hearing was closed.
Upon call for the question of adoption of this ordinance and upon roll call the following voted "aye": Council Members Bjerke, Grandstrand, Gershman, Christensen, Sande, Kreun - 6; voting "nay": none. Mayor Brown declared the ordinance adopted.
ADOPT ORDINANCE NO. 4305 RE. PROHIBITION
OF TEXTING WITH DRIVING, DEFINITIONS AND
PENALTY
An ordinance entitled "An ordinance adopting Section 8-0528 of the Grand Forks City Code relating to prohibition of texting while driving and amending Section 8-0101 relating to definitions and amending Section 8-1503 relating to penalty", which had been introduced and passed on its first reading on June 21, 2010, was presented and read for consideration on second reading and final passage.
Council Member Glassheim reported present.
Council Member Gershman stated they have had some good discussions and looking at adding distracted driving, etc. and that having the second reading of what he believes is a very good ordinance that is simple and direct is the best way to go, that in discussing this with other council members there seemed to be some concern of the $30.00 fine and the ability to go to court with that, and that our decision tonight would be either to go $15.00 or $30.00, but doesn't think the money is a big issue but that the lessons that will be learned from this and moved to amend the ordinance to include a $15.00 fine as opposed to a $30.00 fine. Council Member Grandstrand seconded the motion.
Council Member Bjerke asked if this would stop people from using CB or ham radios in their vehicles. Howard Swanson, city attorney, stated it would not, that a wireless communication device is specifically defined as a hand-held cellular telephone, a computer or a personal digital assistant.
Mr. Swanson advised that unless the council were to identify a specific date for the ordinance to become effective, it would be in effect upon publication of the penalty clause.
Council Member Sande stated that a lot of discussion relative to the ordinance was in educating the public on proper driving and the responsibilities of public to be paying attention while they are driving because the city police and the University police have the ability to cite drivers for care required when driving their vehicles and if the purpose for putting this ordinance in place is to give officers the ability to educate drivers, just take steps to educate them without enacting new rules and regulations. Council Member Gershman stated when put enforcement there and there is a fine, it strengthens the case for education - lot easier to say that the city does not tolerate texting as it is dangerous and that is the point.
Council Member Christensen stated that texting has been defeated by the State on two occasions (2005 and 2009) and would like to ask our delegation to bring it up again at the State; would like to have our accident reporting system changed to have specific box on the report where texting involved so we would know if this is effective; and doing something to cause some education to go on; and that he would like to make sure that we have a concerted effort for the next 12 months to see if we can begin the education process and have some degree of accounting if there are some issues - would like resolution to the State at another council meeting after the election. He stated he will support this but how do we enforce it. Council Member Kreun stated that advertising and education could be placed on channel 2, on the city website and also the electronic sign at DeMers and Washington for a few weeks, and through Safe Kids Coalition.
Upon call for the question on the amendment to the ordinance to change the amount of penalty from $30.00 to $15.00 and upon voice vote, the motion carried by a vote of 6 to 1, Council Member Bjerke voting against the motion.
Council Member Gershman moved to amend the ordinance to include an effective date of October 15, 2010, seconded by Council Member Glassheim. Upon call for the question on the amendment, and upon voice vote, the motion carried 5 votes affirmative, 2 negative votes by Council Members Bjerke and Sande. It was suggested that after the ordinance is passed that the Mayor direct the police department to give warnings for the first 30 days after adoption, along with request to the University police.
Upon call for the question of adoption of the ordinance, as amended, and upon roll call vote, the following voted "aye": Council Members Grandstrand, Glassheim, Gershman, Christensen, Sande, Kreun - 6; voting "nay": Council Member Bjerke - 1. Mayor Brown declared the ordinance adopted.
APPROVE APPLICATION FOR ABATEMENT OF
TAXES FOR PROPERTY AT 4827 4TH AVENUE NORTH
The staff report from the city assessor relating to application for abatement for 2009 taxes by Thomas Murphy, 4827 4tyh Avenue North, with recommendation to recommend to Board of County Commissioners that application be approved as submitted.
It was moved by Council Member Sande and seconded by Council Member Kreun that the recommendation be approved and further that we adopt the finings, conclusions and recommendations as prepared by the city attorney. Upon call for the question and upon voice vote, the motion carried 7 votes affirmative.
APPROVE APPLICATIONS FOR EXEMPTION OF
REMODELING IMPROVEMENTS TO RESIDENTIAL
BUILDINGS
The staff report from the city assessor relating to applications for exemption of remodeling improvements to residential buildings as follows: 605 Cottonwood Street, 713 Oak Street; with recommendation to grant exemption of increased value for 5 years.
It was moved by Council Member Sande and seconded by Council Member Kreun that the recommendation be approved. Upon call for the question and upon voice vote, the motion carried 7 votes affirmative.
APPROVE APPLICATION FOR PROPERTY TAX
EXEMPTION FOR EXPANDING BUSINESS, J.R. SIMPLOT
AND ESTABLISH PUBLIC HEARING DATE
The staff report from the city assessor relating to application for property tax exemption for expanding business by J.R. Simplot Company, with recommendation to establish date for possible public hearing for October 4, 2010.
It was moved by Council Member Sande and seconded by Council Member Kreun that this recommendation be approved to set October 4, 2010 at 5:30 p.m. as the date and time of the public hearing to hear any comments or testimony in favor or in opposition to the granting of the tax incentive. Carried 7 votes affirmative.
CONFIRM APPOINTMENTS TO PLANNING AND
ZONING COMMISSION
The staff report from the mayor's office relating to appointments to the Grand Forks Planning and Zoning Commission, with recommendation to confirm appointment of Jim Bollman as the Park District representative and Mike St. Onge as the Grand Forks Public School representative to the grand Forks City Planning and Zoning Commission for five-year terms.
It was moved by Council Member Sande and seconded by Council Member Kreun that this recommendation be approved. Carried 7 votes affirmative.
APPROVE REDEVELOPMENT OF CITY-OWNED
PROPERTY AT 1815 NORTH THIRD STREET
The staff report from the director of Urban Development relating to redevelopment of City-owned lot at 1815 North Third Street, with recommendation to approve review committee's recommendation and authorize appropriate City officials to execute all required documents, subject to city attorney review and approval.
There was discussion relative to the process of selling city-owned lots and the review and examination of the process and it was noted by Council Member Christensen that this matter will be placed on a future finance-development agenda for discussion of the issues that have been brought forward.
Council Member Sande stated he believed the process could be reworked and reviewed, that 13 years post 1997 flood and still sitting on significant number of infill lots that the City should make attempts to move to generate revenue for the City for the sale of the lots and to get homes built and put on the tax roll, but that we should try to get the lots sold as soon as possible and also try to remove as much of the subjectivity around the sales of the lots as possibly can.
Council Member Gershman stated he has been involved in the selection of sale of lots, that in the Walnut/Chestnut area when the process was started, a decision was made because of the number of lots and because of number of homes that would be built at one time in specific area of the city they made decision to slow the process because too disruptive for the neighborhood. He stated there is some subjectivity involved but also people have very strong feelings about trying to retain the integrity of the neighborhood.
Council Member Glassheim stated that not only were they concerned that it was disruptive to the neighborhood to build too many at one, also disruptive to the market and not have a glut in any one year, and in the last year or two not much demand for them and not interested in disrupting the private market.
Council Member Sande stated we are 13 years post flood and several years starting to sell these lots and that taking a look at the process is well overdue and is aware of one case where an individual was told by Housing and Urban Development that if they bring their dispute to the city council, they may lose an opportunity to get a future lot, and if that is the case then is possible if not probable that other people that had disputes didn't come before the council.
Council Member Kreun stated that they didn't want to sell all the lots the process has become more competitive and that is part of the reason, nor did they want to sell those until the dike certification was okay - and has not been 13 years since they were able to sell these lot because of flood insurance and people would have had to build a completely different type of building, and did keep in contact with residents in the area to get their opinions, but when one or two bad things happen, whole thing turns bad but that is not the case, this has been a very good process and will utilize recommendations when they come forward.
It was moved by Council Member Glassheim and seconded by Council Member Christensen that the recommendation be approved. Upon call for the question and upon voice vote, the motion carried 6 votes affirmative, Council Member Bjerke voted against the motion.
TABLE MATTER OF SURPLUS REAL PROPERTY
ON SOUTH FIFTH STREET
The staff report from the director of Urban Development relative to surplus real property, with recommendation to declare the properties at 609 and 615 South Fifth Street surplus and authorize staff to proceed with advertising them for redevelopment as described in the staff report.
Steven Ralph 607 South 5th Street, stated he was a homeowner in the area and for the past year and half he and a number of residents in the area have been working with Council Member Gershman and Mayor Brown and in looking at how these two lots would be redeveloped, and general consensus of the neighborhood is that they would like to see one home placed on the two lots, the two lots are 53 x 140 ft. and 40 x 140 ft. He noted he had presented copies of photographic evidence and the photographs show is representation of some of the existing homes and houses that were there in the past - going back to the 1880's, 1890's on their block or within a one block radius away from that area - that most of the homes that were on these streets within a block or so of the area that are to be filled in, were grand homes where the city was first developed, most of the original leaders and industrialists of Grand Forks made their residence first in this area - very large substantial homes and historical character - and these were all developed before Reeves and Belmont were built - one of the major goals in the infill program was to maintain historical character of the neighborhood. He stated about a year ago put a petition of all the residents who signed it, requesting that it a single home, despite this Urban Development is interested instead to redraw the lot lines and make two 46 ft. wide lots, and that he would argue that it would be very difficult to maintain with the historical character of such homes and place them on a 46 ft. wide lot, would be extremely difficult and stuck with putting in very small homes and unfortunate pattern in recent decades in this area have been towards rental homes and that is something they would like to avoid if at all possible - would prefer to see a nice family home developed for people who would come and stay for a long period of time.
David Frisch, 617 South 5th Street, stated he is currently restoring an old American four-square that was ready to be torn down, and has finished doing the outside of the building -- that this came up where putting the lots up for bid, that he talked with residents and their comments were that they would like to see one grand home put in there that would open up the neighborhood and help restore back to what it was around 1900, the infills took place around 1905 and 1908 when they started selling the homes in between the grand homes.
Council Member Gershman stated that one of the reasons to have multiple homes was the property tax value and his concern with doing two homes on these lots is that the neighbors prefer one, and if part of our mode of this is to re-establish the tax base and doesn't matter if get a large home that can do that or two homes that can do that except the neighbors prefer in this historic district which is registered, that we try to find a home that is architecturally significant for the area; and moved that we ask for request for proposals for the two lots to be sold with one home on it. Council Member Christensen seconded the motion.
Council Member Bjerke stated he was agreeable if this was city-wide policy but problem if pick and choose, as the City has other requests for people who wanted to go two lots into one but were denied. Council Member Gershman agreed but that the difference here is that this is an historic registered neighborhood and the neighbors are the ones that they had a meeting with - that this is a concern of the City that we set precedent, but the protection we have in this case because if it were not an historic district would agree, but this is different situation.
Council Member Sande stated he agrees that there should only be one home on these lots, but is concerned about the RFP process and the RFP review criteria is based upon eight things that are listed: and asked what criteria using for "green"/energy efficient design" and who has the capacity to say whether the design is more green than another. It was noted that nobody has. The people on the valuation committee, 2 council members, 2 people from Historic Preservation Commission which will give their opinion on architectural compatibility, the urban development director and a neighborhood representative, and moved that we hold the RFP process until the finance/development committee has had the opportunity to review the RFP process. Council Member Grandstrand seconded the motion. Carried 7 votes affirmative. Mayor Brown declared the motion was tabled.
APPROVE RESOLUTIONS DIRECTING SPECIAL
ASSESSMENT COMMISSION TO ASSESS CERTAIN
PROJECTS ON ESTIMATED COST BASIS
The staff report from the finance department relating to directing Special Assessment Commission to assess special assessments on an estimated cost basis, with recommendation to direct that special assessments be levied for the payment of the entire cost of said work, and that the city auditor be directed to so notify the chairman of the Special Assessment Commission:
Sanitary Sewer Project No. 6432, Dist. No. 465 - $711,516.00 - Document No. - Resolution
Street Lighting Project No. 6584, Dist. No. 183 - 6,678.00 - Document No. - Resolution
Paving/Street Lighting Proj. No. 6335, Dist. No. 638 - $984,830.00 - Document No. - Resolution
Howard Swanson, city attorney, advised that by statute special assessments generally require a complete engineer's certification of complete project, but there is a process whereby the projects that are considered substantially complete can be placed upon the current special assessment rolls; in the event that the assessments are not accurate and over collected the overall assessments are adjusted in the latter years; or if under collected there is a process the City can go through to modify the assessment - this is an annual standard process to allow the Special Assessment Commission to move forward even though the project is not fully complete.
Council Member Kreun introduced the resolutions certifying the total cost of the projects with estimated costs and directed that the special assessments be levied for the payment of the entire cost of said work and that the city auditor be directed to notify the chairman of the Special Assessment Commission, seconded by Council Member Sande, which were presented, read and adopted. Carried 7 votes affirmative.
APPROVE SPECIAL ASSESSMENTS FOR CORPORATE
CENTER PARKING RAMP CONSTRUCTION, PROJECT
NO. 4796
The staff report from the finance department relating to special assessment for Corporate Center parking Ramp construction, with recommendation to authorize staff to proceed with assessing benefiting property owners for 100% of the remaining principal balance for the construction of the Parking Ramp, according to the approved formula used for the first assessment in 2000.
Emily Fossen, finance department, reported that if we had that amount of $197,151.83, we could pay off that project.
Council Member Bjerke stated he looked at the assessment district map, that he has been trying to get the downtown parking, the whole issue of assessments, etc., they want to subsidize everything downtown and should take the money and pay for it and be done with it, and disagrees with the process and not fair to business owners, and there is money in JDA and moved to pay $197,151.83 out of JDA. Council Member Grandstrand seconded the motion. Mr. Bjerke reported by the end of next year, 2011, there is supposed to be $1,279,587 in that account, not counting the $1+Million plus what Cirrus owes us.
Council Member Christensen stated there is $197,000 and that most of the parking ramp has been paid for by the citizens throughout the city and if you want to pay for it, we can find other money rather than taking it out of JDA, Mr. Hoover gave us a summary as to what we are going to have in the JDA at the end of this year, 12/31/10, is around $1.1 million - and that is all the money you have for deals other than $500,000 we take across from 2163, but finance has other sources if we want to pay it off; we are setting up so you can pay for it over 20 years.
Upon call for the question on Council Member Bjerke's motion and upon roll call vote, the following voted "aye": Council Member Bjerke - 1; voting "nay": Council Members Grandstrand, Glassheim, Gershman, Christensen, Sande, Kreun - 6. Mayor Brown declared the motion failed.
It was moved by Council Member Gershman and seconded by Council Member Glassheim that the staff recommendation be approved. Carried 6 votes affirmative; Council Member Bjerke voting against the motion.
APPROVE AMENDMENT NO. 1 TO ENGINEERING
SERVICES AGREEMENT FOR PROJECT NO. 6144, FEDERAL
AID PROJECT, STORM STATION 187 REPLACEMENT
The staff report from the engineering department relating to Amendment No. 1 to Engineering Services Agreement for Project No. 6144, Federal Project SU-6-081(068)940, Storm Sewer 187 Replacement, 32nd Avenue South and Columbia Road, with recommendation to approve Amendment No. 1 to Engineering Service Agreement with Webster Foster & Weston in the amount of $19,407.00
It was moved by Council Member Sande and seconded by Council Member Kreun that this recommendation be approved. Upon call for the question and upon voice vote, the motion carried 7 votes affirmative.
AWARD CONTRACT FOR PROJECT NO. 6493,
ENGLISH COULEE CUTOFF
The staff report from the engineering department relating to bids for Project No.6493, English Coulee Cutoff, with recommendation to award contract to the low bidder, ICS, Inc. in the amount of $43,870.00 for this project.
It was moved by Council Member Sande and seconded by Council Member Kreun that this recommendation be approved. Upon call for the question and upon voice vote, the motion carried 7 votes affirmative.
APPROVE AGREEMENT FOR PRELIMINARY
ENGINEERING SERVICES FOR PROJECT NO. 6581,
FEDERAL AID PROJECTS
The staff report from the engineering department relating to preliminary engineering services agreement for Project NO. 6581, Federal Projects SU-6-002(102)910 and SU-6-986(194(197 Downtown Signals Upgrade , with recommendation to approve agreement with Kadrmas, Lee & Jackson, Inc. for preliminary engineering services in the amount of $82,146.00 for this project.
Council Member Bjerke stated on this project he wants to see how it ties in with East Grand Forks, speeds up traffic but could be bottle-necked at the bridge, and if we can't get this to work across both sides of the river and going to spend $2.3 million on a rather limited amount of traffic signals, but will examine this when the report comes through.
It was moved by Council Member Kreun and seconded by Council Member Sande that this recommendation be approved. Upon call for the question and upon voice vote, the motion carried 7 votes affirmative.
ADOPT RESOLUTIONS AUTHORIZING MAYOR TO
SIGN NOTICE OF INTENT AND ADOPT RESOLUTIONS
TO CREATE THE DEMERS AVENUE EAST AND WEST
QUIET ZONES
The staff report from the engineering department relating to resolution authorizing the mayor to sign the Notice of Intent and adopt resolutions to create the DeMers Ave. West Wye Quiet Zone and the DeMers Ave East Wye Quiet Zone, with recommendation to approve the resolution authorizing the mayor to sign the Notice of Intent and adopt resolutions to create the quiet zones.
It was moved by Council Member Sande and seconded by Council Member Kreun that this recommendation be approved. Carried 7 votes affirmative.
APPROVE SPECIFICATIONS AND SOLE SOURCE
PURCHASE FOR TOTAL STATION UPGRADE
The staff report from the police department relating to specifications and sole source purchase for total station upgrade, with recommendation to approve specifications and sole source purchase in the amount of $9,400.00.
It was moved by Council Member Sande and seconded by Council Member Kreun that this recommendation be approved. Carried 7 votes affirmative.
APPROVE SPECIFICTIONS AND SOLE SOURCE
PURCHASE FOR COPPERHEAD ROBOTIC SYSTEM
The staff report from the police department relating to specifications and sole source purchase for copperhead robotic system, with recommendation to approve specifications and sole source purchase in the amount of $16,995.00.
It was moved by Council Member Sande and seconded by Council Member Kreun that this recommendation be approved. Carried 7 votes affirmative.
APPROVE SPECIFICATIONS AND SOLE SOURCE
PURCHASE FOR OUTDOOR RANGE KNEE WALL
COVERING
The staff report from the police department relating to specifications and sole source purchase for outdoor range knee wall covering, with recommendation to approve, cost $8,300.00.
It was moved by Council Member Sande and seconded by Council Member Kreun that this recommendation be approved. Carried 7 votes affirmative.
APPROVE BIDS FOR SALT AND SAND FOR ICE
CONTROL
The staff report from the public works department, Streets Division salt and sand for ice control bids, with recommendation to approve bids for salt and sand for ice control as the lowest and best bid: North
American Salt Company, $30,495.00 and R & R Dirt & Gravel, $45,000.00.
It was moved by Council Member Sande and seconded by Council Member Kreun that this recommendation be approved. Carried 7 votes affirmative.
APPROVE BIDS FOR TANDEM TRUCK, BOX AND
HOIST FOR STREET DEPARTMENT
The staff report from the public works department, Streets Division tandem truck, box and hoist, with recommendation to approve bid of Nelson International in the amount of $92,642.69 (includes trade-in of Streets #6550 1982 GMC truck), with staff to evaluate additional possible sanitation department trade-ins #3510 for $3,000 and #3600 for $1,900 as part of the bid.
It was moved by Council Member Sande and seconded by Council Member Kreun that this recommendation be approved. Carried 7 votes affirmative.
APPROVE BID FOR TRAILER MOUNTED AIR
COMPRESSOR
The staff report from the public works department, Streets Division trailer mounted air compressor, with recommendation to approve bid as the lowest and best bid of Acme Electric, $11,100.00 (includes trade-in of Streets #6923 1979 Worthington air compressor).
It was moved by Council Member Sande and seconded by Council Member Kreun that this recommendation be approved. Carried 7 votes affirmative.
APPROVE PRELIMINARY BUDGET FOR 2011
The staff report from the finance department relating to preliminary approval of Mayor's 2011 Budget and introduction of ordinance, with recommendation that the council give preliminary approval of the 2011 Budget and introduce the ordinance for first reading and adoption. (This approval would exclude any new fees listed on the final page of the budget binder, these fees will be addressed separately at finance committee).
Howard Swanson, city attorney, advised that once a budget is given preliminary approval, changes can be made within the budget but cannot change the overall total amount of that budget, can reduce it but not increase it.
It was moved by Council Member Kreun and seconded by Council Member Christensen to approve the preliminary budget.
Council Member Glassheim stated that we find ourselves about a half million dollars short of the revenue we need to run the city, the proposal before us envisions a 2% increase in utility fees which are then transferred into the General Fund in order to make up the $500,000, that seemed to be the wrong way to go and didn't seem to have the transparency for the general public when looking at how much the government charges them as does a mill levy increase, that utility fees seem to be fees rather than taxes and just paying for a service, and that looking to the future have very large projects coming on line, including water treatment plant for which we are going to need to be increasing utility rates, and have started to do that in a measured way so that nothing hits us all at once with a measured impact, and seemed to be the wrong way to go to pay for the $500,000 with utility charges. He explained his proposal that if going to propose raising mills and will be proposing 2 mills and have to demonstrate to the public that we made a good safe effort to cut spending as well, and must combine reductions in spending with increases in revenue and was to go to the public and tell them that we want to increase 2 mills so half of the money from a 2 mill increase and based on amending the budget before us, want not to fill an additional 2 positions for one year, not eliminate, to be decided by administration, and wants to get $45,000 by reducing the proposed pay increase from 1.7% by .25% - that asking for more money from our citizens and asking for staff to take a little less, to reduce the Arts Fund and Events Fund by $30,000, and a one time transfer from the four utility funds of $50,000 and not requiring a utility rate increase, and those actions will give us $505,000. The reason we are short is because sales tax revenues have gone down from our normal increase each year, and some of these things can be made up in the 2012 budget and restored because the economy is likely to improve. He moved the five amendment to the budget, seconded by Council Member Bjerke.
Upon call for the question and upon roll call vote, the following voted "aye": Council Members Bjerke, Grandstrand, Glassheim - 3; voting "nay": Council Members Gershman, Christensen, Sande, Kreun - 4. Mayor Brown declared the amendment failed.
Council Member Bjerke made an opening statement, that when doing our budgets in the local entities we must remember what our taxpayers are going to be paying through state and federal taxes and that he had several amendment to the proposed budget.
Council Member Kreun excused.
Council Member Bjerke moved an amendment to delete the expenditure from the budget of $112,000 for repair of the parking ramp adjacent to Central High School, seconded by Council Member Christensen
Greg Hoover, director of urban development, reported that last year there was money set aside from sales tax to do improvements to the parking ramp, and the $112,000 was the amount not spent and put in the budget for the upcoming year to do some repairs in the ramp. It was noted that they are not sure if the ramp will be sold, and that if somebody were to buy the ramp and knew there were repairs needed, would reduce the price by the amount of repairs.
Upon call for the question and upon voice vote, the motion was defeated by a vote of 5 to 1, Council Member Bjerke voted for the motion.
Council Member Bjerke moved an amendment to delete the Air Base Retention of $100,000 from the budget, seconded by Council Member Christensen.
Rick Duquette, city administrator, reported that those funds are utilized for expenditures on consultants as we develop retaining efforts to work with the Air Force on what is happening with their horizons on new missions, the UAV mission, and efforts to address additional air combat command missions, and strongly suggest that those dollars remain in the budget.
After further discussion and upon call for the question and upon voice vote, the motion was defeated by a vote of 5 to 1, Council Member Bjerke voted for the motion.
Council Member Bjerke moved an amendment to the budget to delete funding for Special Events from Fund 2163, Council Member Christensen seconded the motion.
Council Member Gershman stated the city has benefited greatly from this and that there has been a cut of 2% in the funds from the Arts and from Special Events, and that if look at the number of people that attend events and those people spend money on which sales tax is collected, and increases quality of life.
Mr. Swanson stated that it maybe matter of perspective but his opinion that we do not have an ordinance that specifies how sales tax proceeds are to be spent, but do have 3 different levels of sales tax, 1% sales tax that can only be used for property tax relief, infrastructure improvements and/or economic development; there is second sales tax of 3/4% which can only be used for the construction, acquisition, etc. of the Alerus Center; and third level is 1/4% which is for maintenance and operation of the Alerus Center; and the ordinance we do have allocates accumulative sales tax into those three broad categories because we do not independently account but allow the retailers to impose an accumulated tax as opposed to individual, so the 52.8% is an estimated amount of the total sales tax that is attributable to the 1% sales tax and of that 52.8% amount it can be used in whatever percentage or proportion the council decides as long as it is for property tax relief, infrastructure improvement and economic development. The second category, the 3/4% Alerus Capital F\und is estimated to be 42,5% of the total collections for sales tax and is allocated that way, and the last 1/4% operation and maintenance for the Alerus is estimated to be 4.7% of the total sales tax collected. Within those three broad categories there is an ordinance that requires how it is to be allocated but not an ordinance dictating how it is to be spent. Mr. Bjerke stated that they could take that 1% and spend it if we chose to, could split it any which way, and can do that at any time and that money is discretionary. Mr., Swanson stated he would not agree that it is discretionary because discretion would be limited to those three categories, and would not agree that you could do it at any time, can only be done at a budget time, once you budget those dollars, you have allocated those dollars but as far as could you allocate 100% of the 1% sales tax to the infrastructure improvement, yes, could you allocate 100% or proportion to others, answer is yes, not limited as to what amount goes to property tax relief or infrastructure improvements or economic development.
After further discussion and upon call for the question on the amendment and upon voice vote, the motion was defeated by a vote of 5 to 1, Council Member Bjerke voted for the motion.
Council Member Bjerke moved an amendment to the budget to delete funding for The Arts from Fund 2163, motion died for lack of a second.
Council Member Bjerke moved an amendment to the budget to delete the Alerus short-fall set aside of $250,000, seconded by Council Member Christensen.
Council Member Christensen stated that we have passed a concert fund for $250,000, nut sure what will happen if they have a loss, but this is a placeholder for the concert fund and asked that the label be changed in the budget proposal. He stated that after the task force that we have agreed to put in place $250,000 out of Fund 2163 so that they can access it if they need money for a concert or special event, and have a process set up in and out, and if take it out it has to be paid back first. The auditor stated that if the money is not spent it would go into cash in the economic development fund and be cash carry-over for the council to decide how to spend it.
Upon call for the question and upon voice vote the amendment was defeated by a vote of 5 to 1, with Council Member Bjerke voting for the motion.
Council Member Bjerke moved an amendment to the budget to delete the transfer to JDA for loans in the amount of $400,000, motion died for lack of a second.
Council Member Bjerke moved a motion to end the recycling contract as of December 31, 2010 (an amendment to the budget to delete $200,000 funding for recycling). Council Member Grandstrand seconded the motion.
Mr. Bjerke stated there was no reason to do curbside recycling as no effect on the landfill and to end recycling as of December 31, 2010, that these funds could be used to increase the water utility rate to be a net zero effect on our consumers and have $200,000 to start paying for new water plant.
Todd Feland, director of public works, stated he agrees on the economics part of it and have been successful in getting a new landfill which has already saved us millions already, and that we do have a landfill permit and part of the 5-year permit is that we have to make the best effort possible to try to divert up to 40% from our landfill and do good job of diverting yardwaste, etc. and have co-mingled system and increased drop sites, and next year are going to have to look at this again and decide what going to do in the future and try to provide best analysis and have one year left remaining, but number have gone up and people more diligent in recycling - 30 to 40% of residents recycle, tonnage in the neighborhood of 22 to 2400 tons per year and landfill about 32 to 34000 tons per year.
Council Member Glassheim stated there are some number of people who consider it part of their value system, important values that they care about significantly that we have recycling, and would rather not dismiss them, and depending on the number of drop-off sites there have been times when missed the curbside and have to take recycling to 32nd Avenue South, worth $2.00 recycling fee to have it picked up every month. He stated when he sees low percentage of recycling that need to review it to either get that method up or other ways of doing it - is an important function and would like to keep it.
Upon call for the question and upon voice vote, the amendment was defeated by a vote of 5 to 1, Council Member Bjerke voting for the motion.
Council Member Bjerke moved an amendment to the budget to delete Greenway, Misc. Projects, $22,000.00, Council Member Grandstrand seconded the motion.
Mr. Feland stated when the greenway flood protection maintenance fee was created several years, the flood protection system wasn't completed and over time built up some cash, knowing that when the system was going would have to start raising rates and spending down some of the cash, did add the Riverside Pool Operation and Maintenance along with insurance, etc., that $20,000 has been included for miscellaneous projects and have done the trail overlays, and for next year possible small dog park and at Riverside pool to extend the pool deck and adding some amenities.
Council Member Christensen stated fee is increased from $1.15 to $1.23, that this fund is funding salaries for people that work in the public works department that deal with testing and maintaining of the 48 pumps and stations, and have allocated some of the money from this fee to fund people who are making sure the flood protection system works. That he has been somewhat concerned about the allocation of money from that fee to salaries because could take out of stormwater, and we have 26 miles of trails in the greenway, benches and many people recreate on the greenway, that $22,000 is not very much when talking about amenity that the entire community is grateful for; that he doesn't care for taking the money out of the greenway maintenance fee when they have another source of revenue in our reserves or revenue coming in our stormwater and would rather see us having allocated $50,000/year to make sure we will have a pristine greenway in this community.
Mr. Feland stated they have 3 stormwater operators and that maybe as part of next year's budget look at their allocation of admin. to the greenway which is actually maintenance fees vs. the stormwater and should look at those allocations in the next year to see how allocating these to the subdepartments.
After further discussion and upon call for the question and upon voice vote, the amendment was defeated by a vote of 4 to 2, Council Members Bjerke and Sande voting for the motion.
Council Member Bjerke reported on Alerus Center with a list of capital expenses and moved a motion that the Alerus Commission have Mr. Swanson review all the projects to make sure that they are funded from the appropriate funding source, Council Member Grandstrand seconded the motion.
Upon call for the question and upon roll call vote, the following voted "aye": Council Members Bjerke, Grandstrand, Christensen, Sande - 4; voting "nay": Council Members Glassheim, Gershman - 2. Mayor Brown declared the motion carried.
Council Member Bjerke asked if he could receive a copy of Mr. Swanson's findings.