MINUTESREGULAR WASECA CITY COUNCIL MEETING

TUESDAY, SEPTEMBER 5, 2017

CALL TO ORDER/ROLL CALL

1 The regular Waseca City Council meeting was called to order by Mayor Roy Srp at 7:00 p.m.

Councilmembers present:

Mayor Roy Srp Allan RoseAnn Fitch Mark ChristiansenJeremy Conrath Daren ArndtLes Tlougan

Staff present:

Danny Lenz, City ManagerMark DuChene, City EngineerCarl Sonnenberg, Utilities DirectorTim Schroeder, Waseca Police DepartmentMary Buenzow, City Clerk

MOMENT OF SILENT MEDITATION/PLEDGE OF ALLEGIANCE

2 A moment of silent meditation was observed. The Pledge of Allegiance to the Flag was recited.

APPROVAL OF AGENDA

3 The City Manager requested the addition of item 5B, Steve Bakken, regarding a Haunted Forest event.

It was moved by Tlougan, seconded by Fitch, to approve the agenda as amended; the motion carried 7-0.

PUBLIC COMMENT

4 Mayor Srp asked if there was anyone in the audience, not on the agenda, who wished to address the Council at this time. There were no public comments.

REQUESTS AND PRESENTATIONS

5A Proclamation – Constitution Week

Susan Jirele, Daughters of the American Revolution , addressed the Council and provided background information regarding the United States Constitution. Mayor Srp read aloud a proclamation declaring the week of September 17-23 as Constitution Week, and presented it to Ms. Jirele.

Minutes – Regular Waseca City Council meeting – September 5, 2017 – page 2

5B Steve Bakken, Lost in the Dark – Haunted Forest Event

Steve Bakken, Executive Director of the Farmamerica Haunted Corn Maze, addressed the Council and explained this year it was decided the Haunted Corn Maze will no longer be held at Farmamerica. He inquired whether the City would be interested in allowing a Haunted Forest Event at Maplewood Park. This would involve closing the park during the month of October in order to set up the event. The proceeds from the haunted forest would go to the Discover Waseca Tourism Board for fireworks.

The City Manager explained permission is needed from the Council to close the park for a length of time, from early to mid-October and during the event. The park usage at Maplewood during the month of October is low. It is possible the City could donate the park reservation fee for this event. Mr. Bakken has met with the Park Director to work out details.

Councilmember Fitch commented the Discover Waseca Tourism Board is very excited and she feels this will be a great event.

After further discussion it was the consensus of the Council to move forward with this event at Maplewood Park.

CONSENT AGENDA

6 It was moved by Tlougan, seconded by Arndt, to approve the Consent Agenda as presented; the motion carried 7-0 and included the following items:

A. Minutes – Regular City Council meeting – August 15, 2017B. Payroll & ExpendituresC. Resolution No. 17-51 – Accepting Airport Maintenance & Operations Grant MnDOT

Contract #1029019D. Approve Change Order #2 for Old TH 14 Reconstruction Project #2015-08E. Ord. 1057 – Introduction & set hearing date – Utilities Easement, Taylor A. ZiemkeF. Ord. 1058 – Introduction & set hearing date - Critical Water DeficiencyG. Resolution No. 17-52 - Set Public Hearing date for Assessment Hearing for 2016 MSA

Street Improvement Project #2016-01H. Authorization to Purchase Radar Trailer with Changeable Message SignI. Minutes – City Council work session – August 10, 2017J. Minutes – City Council work session – August 15, 2017K. Minutes – City Council work session – August 24, 2017

ACTION AGENDA

7A Brewers Off Sale and Taproom License – John R. Mansfield/Ward House Brewery

The City has received an application from John Mansfield for a Brewer Off Sale and Taproom License and a Sunday license, for a new brewery at 111 West Elm Avenue. Mr. Mansfield has been working closely with the State of Minnesota Alcohol & Gambling Enforcement Division and the Waseca County Public Health office to meet all the requirements for his brewery.

Minutes – Regular Waseca City Council meeting – September 5, 2017 – page 3

The Waseca City Code does not have regulations at this time for licensing a brewery or taproom, therefore, since Mr. Mansfield meets the requirements of the State of Minnesota AGED and Waseca County Public Health office, it would be appropriate for the City to issue this license. Microbreweries are a permitted use in the B-1, Central Business District.

Mr. Mansfield has obtained liquor liability insurance. The Police Department conducted a background investigation on the applicant and their report did not reveal any activity that would be of interest pertaining to this application.

The City Manager commented staff is currently reviewing our liquor license ordinance and will be updating it to include this type of license.

It was moved by Fitch, seconded by Conrath, to approve On Sale, Off Sale and Sunday liquor licenses to John R. Mansfield for Ward House Brewery; the motion carried 7-0.

7B Accept Donations for Tink Larson FieldResolution No. 17-50

The Council is requested to recognize and formally accept donations for the reconstruction of Tink Larson Field Stadium. The donations received are for this specific purpose by those who donated. The City has a process in place that ensures these donations are used for their intended purpose. For this project the City received the following donations:

Received From AmountBEST of Waseca County $337,272.65Paul & Sue Rosenau $50,000The Toro Company $44,000 – In-kind mower

equipment and attachments

These donations are included in the project cost for the reconstruction of the Stadium. The project would not be funded without these donations.

It was moved by Conrath, seconded by Arndt, to adopt Resolution No. 17-50, A RESOLUTION OF THE WASECA CITY COUNCIL FORMALLY ACCEPTING DONATIONS FOR TINK LARSON FIELD; the motion carried 7-0.

7C Accept Request for Proposal for Northeast Park Playground Equipment

Request for proposals were sent out on July 25, 2017 for the purchase of Northeast Park playground equipment.

All proposals were due by August 10, 2017. There were three companies that submitted proposals. The Park Board met on August 15, 2017 to evaluate the designed proposals. The Park Board is recommending the Burke Company playground structure designed by St. Croix Recreation of Stillwater, MN at a cost of $70,000. The bid amount includes the play equipment structure and independent play features, a multi-user swing, play equipment installation supervisor, freight and pour-in-place rubber resilient surfacing. The Park Board made their recommendation based on the best value of the three proposals submitted.

Minutes – Regular Waseca City Council meeting – September 5, 2017 – page 4

The budgeted amount for this project in the 2017 Capital Improvement Plan is $75,000. The remaining $5,000 will go towards other cost associated with play equipment installation such as; footing concrete, wood chip resilient surfacing, fabric and excavation. This structure will be located in the designated section of the Northeast Park Master Plan (Southwest of the existing play area).

It was moved by Christiansen, seconded by Tlougan, to accept the proposal from Burke Company for Northeast Park Playground Equipment as presented; the motion carried 7-0.

7D Resolution No. 17-54 – Requesting MN Department of Health maintain City of Waseca’s Project Priority List points for 2018 Drinking Water Revolving Fund Intended Use Plan

As part of the funding sources for the Elm Avenue Reconstruction Project, City Staff identified the Drinking Water Revolving Fund (DWRF), administered through the Public Facilities Authority (PFA) as a funding source for the watermain related aspects of the project, estimated at approximately $2.6M. The City completed the necessary application forms and initially requested to be placed on the 2016 DWRF IUP on May 21, 2015. Due to delays in the project bid date, the City was not placed on the 2016 IUP fundable range but was placed on the Minnesota Department of Health Project Priority List (PPL) with a score of 10 which has most recently been a score that would quality for funding. The City again requested to be placed on the 2017 DWRF IUP on April 12, 2016. Due to the Minnesota State legislature not passing a bonding bill in 2016 (a traditional bonding year), the City’s project was again placed on the 2017 IUP below the fundable range (no new projects were added to the 2017 IUP’s only carryover projects due to no new funding from the State legislature) but still with a PPL point score of 10.

On August 14, 2017, the City was informed via letter from the MDH that every 5 years or so the MDH reevaluates criteria associated with the PPL scoring and that 2017 was one of those years. Based on a change in how median household income was compared the City was going to lose points on their PPL scoring and fall outside of the traditional fundable range.

The attached resolution is a formal request by the City Council to the MDH requesting that the City of Waseca’s PPL points be held at 10 for at least the 2018 DWRF IUP consideration as had the legislature passed a bonding bill in 2016, we would have been on the fundable side of things and gotten a DWRF loan.

If the City is unable to get financing for the watermain portion of the Elm Avenue project, it will be forced to sell GO bonds on the open market and pay a higher interest rate. PFA loans are a typically at least 1.5% below the market rate. This translates into higher interest payments for the City of $200,000+.

It was moved by Fitch, seconded by Rose, to adopt Resolution No. 17-54, A RESOLUTION OF THE WASECA CITY COUNCIL REQUESTING THE MN DEPARTMENT OF HEALTH MAINTAIN CITY OF WASECA’S PROJECT PRIORITY LIST PRIORITY POINTS; the motion carried 7-0.

REPORTS

8A City Manager’s Report

The City Manager referred to the City Engineer to explain the color concrete options for the medians on the east and west ends and some areas of curb on Highway 14. The contractor has

Minutes – Regular Waseca City Council meeting – September 5, 2017 – page 5

to provide us with two mock-ups of color concrete and recommends two colors that are indicated on a color sheet distributed to the Council.

Lengthy discussion ensued, with concerns expressed that the color of the concrete should be compatible with the colors of the brick buildings downtown. After discussion it was the consensus of the Council to see mock-ups of the two colors “Summit Ave” and “Honey Crisp”. The City Engineer stated the mock-ups will be done in a parking stall behind The Daily Grind.

The City Engineer also reported that City crews are working with the County on a cooperative project with replacement of concrete on 7th Avenue NE. The City and County will be splitting labor and equipment and will do a couple of City roads.

Mayor Srp recalled that former City Engineer Fred Salsbury was in on the introduction of fly-ash and he wondered if that product is still in use. The City Engineer stated fly-ash is used to stabilize the aggregate and gravel base, is still in use, and the City will be doing a couple projects coming up.

The City Manager stated he has been informed it is helpful to decide on the colors of the downtown flower baskets early, and he is requesting Council approval of the colors for next year. With the All-School Reunion and the Sesquicentennial next year, three colors were chosen in honor of the three schools in Waseca: blue & yellow for Waseca High School colors; maroon & gold for U of M/SROC colors; and red & white for Sacred Heart school colors. It was the consensus of the Council to approve these colors for the 2018 downtown flower baskets.

The City Manager reminded the Council of the upcoming work sessions – this Thursday, September 7th at 6:00 p.m. at the Public Safety Building to discuss the CIP and Equipment Replacement Plan, and next Thursday, September 14th at 6:00 p.m. at the Public Safety Building to finalize the preliminary levy.

Councilmember Arndt asked for an update on the proposed Burger King property, as he has seen flags and a surveyor there. The City Manager stated we are scheduled to close on the sale of the Market Place property, south of Wal-Mart, to Tri-City Foods this week.

Councilmember Fitch inquired whether there are any plans to pave the road by Barney’s Drive-In. The City Manager stated that street is not in the CIP at this time. He can ask the City Engineer to include it in discussion at the CIP work session. Mayor Srp commented it is hard to believe we still have alleys and streets in Waseca that aren’t paved.

Councilmember Conrath asked what was being done at Trowbridge Park. The City Engineer stated the City is doing storm sewer repair in this area. Councilmember Conrath asked whether there will still be an ice rink there this winter. The City Engineer stated he thought there would still be an ice rink. Mayor Srp inquired about the backstop, which has been removed. The City Engineer replied there are currently no plans to replace the backstop.

Councilmember Tlougan asked for clarification as to when the preliminary and final levy will be adopted. The City Manager explained the Council will set the preliminary levy in September and the final levy in December. The final levy amount cannot be higher than the preliminary levy and there will be public hearing opportunities.

Minutes – Regular Waseca City Council meeting – September 5, 2017 – page 6

8B Commission Reports

EDA – August 18 meeting – Councilmember Fitch reported there was no old or new business on the agenda and she had nothing else to report.

Fire Relief Association – August 30 meeting – Councilmember Conrath reported the Association paid some bills, and met with the City Manager last week to go over bylaws, which will be approved by the firefighters and then brought to the City Council. Councilmember Conrath mentioned the Firefighters Family Fun Night and asked if there is any way to remove the park reservation fee for this event. The City Manager stated typically park reservation fees are only waived for non-profit and public events.

Airport Board – September 5 meeting – Councilmember Rose reported the Board discussed the FBO hangar, the Airport Master Plan, an upcoming meeting with the skydiving group, and a meeting scheduled for September 18th with the County regarding a county ditch. The Board is also discussing updating the Airport Zoning Ordinance.

ANNOUNCEMENTS

9 The following miscellaneous announcements were made:

Councilmember Rose reminded the Council that the employee luncheon will be held sometime in November, with the menu still undetermined at this time.

Councilmember Tlougan reminded everyone of the Waseca Marching Classic on Saturday, September 23rd. There are now a total of 17 bands, including Waseca, participating. The Skol Viking unit will also be here. This will be a full, fun day.

Mayor Srp reported he sent three cards to the mayors in the Cities of Houston, Port Arthur, and Beaumont, Texas, to let them know we are thinking about and praying for them. He let these cities know that Waseca had a significant rain event last year and we know what they are going through.

Mayor Srp stated local residents Richard and Clarice Krause have received word that their son, who has been missing, may have been found alive. Mayor Srp asked residents to keep this family in their prayers.

Councilmember Arndt commented that Wal-Mart has raised $5 million for Hurricane Harvey victims. They matched this amount times two, which brings a total of $15 million from Wal-Mart for those affected by the hurricane.

ADJOURNMENT

10 There being no further business to be brought before the Council, it was moved by Tlougan, seconded by Fitch, to adjourn the meeting at 8:00 p.m.; the motion carried 7-0.

__________________________________________R. D. SRPMAYOR

_________________________________MARY BUENZOW, CITY CLERK