HomeMy WebLinkAboutCouncil Workshop Minutes 06.28.2005 MINUTES
COUNCIL WORKSHOP
JUNE 28, 2005 6:30 P.M.
COUNCIL CHAMBERS
A Council Workshop was held in the Council Chambers and called to order by Mayor Ken Olson
at 6:30 p.m. on June 28, 2005.
COUNCIL MEMBERS PRESENT:
x Dick Fritzler
x Kate Stevenson
_x_ Gay Easton
x Jennifer Johnson
x Doug Poehls
x Mark Mace
Daniel Dart
_x_ Norm Stamper
OTHERS PRESENT:
Steve Klotz
Sam Painter
Mary Embleton
Nathan Tubergen
Cal Cumin
Public Input (three-minute limit):
Citizens may address the Council regarding any item of City business not on the agenda. The duration for an
individual speaking under Public Input is limited to three minutes. While all comments are welcome, the Council
will not take action on any item not on the agenda.
· None
HRDC Presentation for Work Express Program
· No presentation was made.
Public Works Department:
· Resolution - 2004-2005 sweeping contract with the State of Montana
o One-year agreement (July 1, 2004 - October 31, 2004, and April 1, 2005 - June 30,
2005) between the City of Laurel and the Montana Department of Transportation for
the provision of street cleaning services on the primary road system in the City of
Laurel.
o Rate of $46.13 per hour for the time spent in actual sweeping operation, not to exceed
$4,842.00 per year.
o Resolution will be on the July 5th council agenda.
· Resolution - 2005-2007 sweeping contract with the State of Montana
o Two-year agreement (July 1, 2005 - October 31, 2005 and April 1, 2006 - June 30,
2006; July 1, 2006 - October 31, 2006 and April 1, 2007 - June 30, 2007) between
the City of Laurel and the Montana Department of Transportation for the provision of
street cleaning services on the primary road system in the City of Laurel.
o Rate of $46.13 per hour for the time spent in actual sweeping operation, not to exceed
$5,084.10 per year.
o Resolution will be on the July 5 council agenda.
Council Workshop Minutes of June 28, 2005
· Resolution - Agreement with the Laurel YMCA to manage the city's swimming pool
o Previous five-year agreement had a fixed fee.
· YMCA could not manage the pool for that fixed mount, the contract was
breached, and there is no longer an agreement.
o The YMCA's fee for service increased to $35,000.
· City will consider options for next summer if the fee is increased again.
o Steve explained the following changes in Management Agreement:
· Operation Standards: "adhere to the standards recommended by the State"
has been changed to "shall adhere to the standards adopted and enforced by
the health codes of the State of Montana" and guidelines of other entities.
"Where operating policies, guidelines and standards may conflict, the
standards of the State of Montana shall prevail."
· The new agreement states that "at least one YMCA staff member shall be
present during all operational hours who is trained, knowledgeable and
capable of managing the pool in accordance with the operating policies,
guidelines and standards listed" in accordance with the operating policies,
guidelines, and standards listed in the Management Agreement.
o The one-year agreement with the YMCA will be on the July 5th council agenda.
· Ordinance - Establishing a truck route
o Steve distributed a map of the urban routes and a copy of the current truck route
ordinance, and a copy is attached to these minutes.
o The track route comes down First Avenue from the cemetery, tums west on 12th
Street to 8th Avenue and to Main Street.
· The Police Department agrees that is the truck route, but there is no
documentation stating such.
o The current ordinance states a couple of designated streets that mn north and south.
o The city receives complaints regarding trucks going down East and West Maryland
Lane, which is an urban route that is not built for the truck standards.
o Since there are no east/west routes to connect the route, the Public Works Department
would like to designate a truck route that works for the city.
o Steve will present a draft ordinance at the next council workshop with a
recommendation from staff; he will coordinate it with Cal on how the future roads are
planned.
o Steve may come forward with the suggestion to delete the 8th Avenue route, as it goes
by a school and is mostly residential, and to keep the route on First Avenue North and
East and West Main.
o Discussion regarding using urban funds to rebuild urban routes
· Report on construction projects
o The next project is the sidewalk, curb and gutter, and alley approach on First Avenue
between Main Street and First Street across from the Town Square project.
· The city street maintenance will do the curb and gutter and the alley approach.
· The businesses there, Dr. Pfaff and Mrs. Bradley, have signed contracts and
are in agreement with the city to redo their sidewalks while the city is doing
the curb and gutter project in order to get the area to drain properly.
· Dr. Pfaff and Mrs. Bradley have an agreement with JTL and will pay the
contractor directly.
Council Workshop Minutes of June 28, 2005
· Work should be done shortly after the 4th of July and needs to be done prior to
the seal and cover work that is scheduled for mid-July or the end of July.
o When JTL fmishes the seal and cover project on the First Avenue overlay, the
following day they will begin the city projects: · Seal and cover of Hazel Avenue;
· Seal and cover of Second Street from Second Avenue behind the FAP
building;
· Seal and cover of 5th Street that goes across the railroad tracks;
· Seal and cover of Alder Avenue from Main Street to the city limits;
· Seal and cover of the post office section of 6th Street;
· Seal and cover of the parking lot next to the swimming pool.
· An agreement with JTL authorizing the mayor to sign for that seal and cover
project will be presented to the council soon.
o The parking lot project across the street was originally planned for this fiscal year and
some in the next fiscal year.
· The money has been reallocated into the budget for next fiscal year.
· The project will involve new approaches into the parking lot.
· On Second Avenue, the broken parking blocks will be replaced with recycled
rubber ones, the lot will be leveled with hot mix, sealed, re-striped, and the
handicapped zones and parking will be installed.
· The city would like to replace the curb and gutter from this approach down to
First Avenue.
· Public works is trying to work with Yellowstone Bank to do the same
thing being done across the street where the city replaces the curb and
gutter with the Street Funds, if the business will do the sidewalk
replacement.
· The East First Street project is scheduled to begin later this smmner.
· There are plans to do more milling work to start addressing some of the big
holes that are being filled with cold mix and then comes back out; that will
allow the city to mill down and fix the base underneath, bring in hot mix, and
do a more permanent patch without spending so many funds on cold mix.
Discussion regarding the parking issue at the safety complex
o The church made an announcement regarding the parking issue by the FAP.
o City will give the church the oppommity to police the parking issue.
Executive review:
· Resolution - Cumin Associates contract
o Mayor stated that the contract would be on the July 5* council agenda.
o The compensation for services will be $18,600.
· Resolution - Audit contract with Olness & Associates
o Norm Klein highly recommends the auditors, and Mayor Olson is comfortable
working with them.
o Mayor proposed that the council consider extending the contract with Oiness &
Associates for three years.
o Resolution will be on the July 5th council agenda.
Council Workshop Minutes of June 28, 2005
o Doug Poehls asked Mary regarding the working relationship with the auditors, and
Mary stated that it has been a good relationship.
o Mary asked Mayor Olson to contact the auditors regarding changing the dates of the
audits and to make sure that the single audit requirement is included in the fees as
charged.
· Resolution to temporarily appoint Nathan Tubergen as acting administrative assistant for the
City of Laurel
o Mayor Olson explained that June 30th is the last day of Nathan's first contract with
the City of Laurel.
o The city has set up a mechanism so Nathan can act as administrative assistant on a
limited basis until the position is filled.
o Resolution will be on the July 5th council agenda.
· Library Board appointment
o Bruce McCullough to a five-year term ending June 30, 2010.
o Appointment will be on the July 5th council agenda.
· Laurel Airport Authority
o Roy Zahrn to a five-year term ending June 30, 2010.
o Appointment will be on the July 5th council agenda.
· City-County Planning Board
o Council appointment to complete the term ending Jane 30, 2006 (tabled on June 21,
2005)
· An interested individual has requested more time to consider the appointment.
· Coancil appointment will be brought forward as soon as possible.
Nathan Tubergen: Presentation of the ten-year cash flow for all major funds
· Nathan distributed information regarding the ten-year cash flow for the major funds and the
Park Maintenance District creation timetable, and a copy is attached to these minutes.
The presentation included revenues, expenditures, and a spread sheet for the following funds:
General Fund, Street Maintenance Fund, Water Fand, Sewer Fand, and the Solid Waste
Fund.
· In the General Fand budget, expenditures exceed revenues, the O&M budget (excluding one-
time only charges) is balanced this year, and there is no capital outlay.
· Discussion regarding the park maintenance district
o Park maintenance district could save the General Fund $237,141 in 2006-2007 to
$267,723 in 2009-2010.
o This would also provide new and replacement playground equipment.
o Nathan recommended that the park maintenance district be done via a mail ballot.
o In case the park maintenance district is not approved, the coancil needs to consider
what to do with the General Fund.
o Nathan asked Mary to check the dates of the timeline for the park maintenance
district.
o Discussion regarding the need to educate the public about the park maintenance
district
· Nathan will prepare figures regarding the additional cost to the taxpayer.
· The Street Maintenance Fund revenues are based on two cents per square foot, which is
projected to generate $522,400 per year.
Council Workshop Minutes of June 28, 2005
o There will be capital outlay of $142,385 in 2006-2007 and $240,898 in 2009-2010.
o The loan repayment to the General Fund for the East First Street project is estimated
at $123,200 for the next three years.
o Capital outlay will be used for street paving, chip sealing, and capital equipment
replacement.
· The Water Fund revenues for 2005-2006 include a six percent rate increase.
o This is the last year of the three-year water rate increase schedule.
o Nathan stated that the council should consider a small annual water rate increase of
three percent.
· Mary also emphasized the need for a small yearly water rate increase.
o The current debt service is approximately $650,000 per year.
· The Sewer Fund revenues are based on a six percent yearly increase, as approved by the
council for a five-year period.
o Debt service in the Sewer Fund is estimated at $120,000 per year.
o The new administrative assistant will need to develop a five-year plan for
construction projects.
· The Solid Waste Fund includes the five-year plan to adjust commercial garbage charges to
equal the residential charges.
o Capital purchases are included in this budget.
o Nathan suggested that the city may want to consider a new rate study within the next
two years.
· Mayor Olson thanked Nathan for his work and presentation of the ten-year cash flows.
Review of draft council agenda for July 5, 2005
· Public hearings will be continued to July 19th.
· Planning Board appointment will be removed from the July 5th council agenda.
· Airport Authority appointment will be added to the July 5th council agenda.
· The Pool Committee will not meet until after the presentation has been given to the council.
· Budget/Finance Committee will meet on July 5th at 5:00 p.m.
· Mayor will review the committee list and appoint Norm Stamper to the vacant positions
SOOn.
Announcements
· Mark, Gay, and Mayor Olson commented that the joint meeting with the
county
commissioners was valuable.
· Norm Stamper thanked the council for appointing him and expressed his excitement to be a
part of the council.
· Dick Fdtzler stated that the FAP Task Force would meet this week.
· The final meeting to discuss the 4th of July activities is scheduled for Wednesday, June 29th.
· Mayor mentioned that the Main Street project has experienced weather delays, and the
contractors on the First Avenue project accommodated Laurel's citizens during the project.
· Larry McCann is recuperating after his recent surgery.
· June 30th is the final day to file for office, and Mary has the necessary documents available.
· Mayor Olson will be the Grand Marshall at the 4th of July parade.
5
Council Workshop Minutes of June 28, 2005
Attendance at the July 5th council meeting
,, All presem will attend the council meeting.
Other items
· Mayor Olson presented Nathan Tubergen with an iron plaque of the State of Montana as an
expression of thanks for his service to the City of Laurel during the past year.
· Nathan expressed his thanks to Mayor Olson and the council.
The council workshop adjoumed at 8:20 p.m.
Respectfully submitted,
Cindy Allen
Council Secretary
NOTE: This meeting is open to the public. This meeting is for information and discussion
of the Council for the listed workshop agenda items.
6
CITY OF LAUREL
CASH FLOW OF FUNDS FOR 10 YEARS
JUNE 28, 2005
By Nathan R. Tubergen
Administrative Assistant
GENERAL FUND
The revenues were flat for the first two years, with a 6 percent increase in the third and fourth
years largely due to an increase in-the tax revenues. I have added a 2 percent growth factor in
the future years. This could be overstated, but I think we are going to see an increase in
different areas in the budget that justifies the increased projections.
The State-shared revenues, interest rates on investments, and some of the other revenues are
part of the projections. '
EXPENDITURES
The expenditures include a 3 percent increase in wages and benefits, which averages $60,000
per year.over the four-year projection.
The expenditures are over revenues by $107,879 in fiscal year 2006-2007 to $245,695 in
fiscal year 2009-2010, based on no major changes in revenues or cuts in the expenditures.
There is no new capital outlay in the estimated budgets.
The Capital Improvement Plan needs to be updated to reflect the total requirement in the
General Fund budget.
I would recommend that the City maintain at least a $500,000 fund balance, but a larger one
would be preferred.
WHAT CAN BE DONE?
The staff needs to look at possible new revenues or rate increases in some departments to pay
actual costs. After the NEW administrative assistant has reviewed the proposed revenues
with the department heads and the city attorney regarding the legality of each, they should
bring them to you to see which ones you are interested in reviewing further.
City council should cominue the work on creating the park maimenance district to go to the
voters for approval in the spring.
Finally, the new administrative assistant and staff should look at further reduction in the
operation and the impact that it would have on the city services in the General Fund.
The new administrative assistant may also have some new ideas for funding.
SPECIAL REVENUES
STREET MAINTENANCE FUND
REVENUES
The revenues are based on 2 cents per square foot; which is projected to generate $522,400
per year. The total revenue with miscellaneous income provides an estimated revenue
average of $525,000 per year for the next four years.
EXPENDITURES
The opemtiofl and maintenance, including wages and benefits, bom fiscal year 2006-2007 is
$200,1-43, and in fiscal year 2009-2010 it Does to $226,493.
With the increase in revenues, we can provide capital outlay in fiscal year 2006-2007 in the
amount of $142,385. In fiscal year 2009-2010, that amount is $240,898.
The loan repaymem requirement for the major project in the fiscal year 2006-2007 budget is
estimated at $123,200 per year. The loan to the General Fund will be paid off in three years.
We need to build up the reserves to at least $400,000 to $450,000; we are showing reserve
buildup at $50,000 each year to provide working capital for each year's projects.
The capital outlay will provide money for street paving, chip sealing, and capital equipment
replacement.
ENTERPRISE FUNDS
WATER FUND
REVENUES
The proposed budget for fiscal year 2005-2006 has a 6 percent rote increase. This is the last
year as approved by the city council. I have added a :1 percent increase for each of the
following fiscal years, based on projected increases in new customers and water sales.
The miscellaneous income has a small increase in the revenue based on increasing interest
rates on investments and miscellaneous sales.
I would'recommend that the city council consider a small increase on an annual basis to help
cover annual operational costs and capital needs. I have a 3 pement increase at the bottom of
the repoi't to show the additional revenue for your consideration.
EXPENDITURES
The expenditures include a small increase in operation and maintenance plus a 3 percent
increase in wages and benefits.
The current debt service is estimated at $650,000 per year.
The amount we are anticipating to spend on the capital improvement projects each year
ranges from $500,000 to $300,000, depending on the funds available in the Street Fund to do
paving. We can do replacement of the water lines in the alleys in the years the Street Fund
cannot provide money for their share for the repaying of the street program.
This fund is using reserves to fund the capital improvemem projects. The city needs to watch
so the reserves do not go below $1,000,000 in the operating and capital improvement
accounts.
The Capital Improvement Plan has a $6.4 million dollar request which has not been added
into the cash flow. Staff is also working on an updated Capital Improvement Plan.
SEWER FUND
The city council has approved a five-year rate increase for the Sewer Fund based on the 2004
rate study. This will provide the funds needed to help with the cost of operation and capital
needs in the future.
The revenues are based on a 6 percent increase per year..The rate increase was approved by
the city council for a five-year period.
E~E~U~S
The expenditures reflect a 3.5 percent increase, based on what the engineering firm has used
in the projections for the study.
The debf service is estimated at $120,000 per year.
The cash flow shows the use of funds to include operation and capital outlay for the
replacement of sewer lines and reflects a cash balance of $212,218, which is less than the
$400,000 recommended for reserves in the tenth fiscal year or 2009-2010.
As in the water, we have not included the Capital Improvement Plan, which shows $4.5
million in request with the staffworking on an update.
SOLID WASTE FLrND
As you recall, in the proposed budget we recommended that the charges for the commercial
customers be adjusted to bring .them in line with the residential charges. It will take five
years to bring the system into total, equality.
REVENUES
The total revenues will go from the $581,236 in fiscal year 2005-2006 to $729,000 in fiscal
year 2009-2010. This reflects the increases in the commercial customers.
EXPENDITURES
This includes a 3 percent increase in wages and benefits and a small increase in operation and
maintenance.
The debt service will be paid offin the 2006-2007 budget.
We do have new capital purchases in this budget. The balance will be $301,784 at year ten, or
fiscal year 2009-2010. The purchase of a new route packer and roll-off packer is about
$315,000.
The Capital Improvement Plan shows a request of $310,000. The Capital Improvement Plan
needs to be updated along with all other funds.
The city may want to consider having a new rate study within the next two years to see if we
need to update our charges for service so they reflect the actual charges and breakdown in
both the commemial and residential areas. This should include wages and benefits, operation
and maintenance, land fill charges and capital outlay equipment, and building and land.
Park Maintenance District Creation time table
Need to follow the Sid process for the (election only)
Committee contact jack and arm: gauer on doing a vito of the presentation
Phone 656~2546
Staffstart working on the resolutiOn for city council approval
City council committee.put together a capital improvement list
Staffput price tag on the capital improvements list
Committee rotes the list by importants for the five year plb. n
Staff add capital to the five year plan
Committee brings to council the proposal and presentation
City council, workshop the resolution
City council meeting approve resolution to place on ballot
Election
Mail ia ballot
11/01/05 to 1/12/06
11 / 17/04done
12/15/04 done
1/5/05 done
1/12/05 done
11/29/05
/
$1061O6
5~06
The 2006 date need to be double check with council meeting dates
State law 15110/425
The park maintenance disttict could save the general fund in 2006/7 237,141 to 267,723
in 2009/2010
This will also provide ~ and replacement play ground equipmem.
10.44.010
Chapter 10.44
TRUCK ROUTES, LOAD LIMITS AND
FREIGHT LOADING ZONES
Sections:
10.44.010
10.44.020
10.44.040
Truck routes and load
limits established.
Parking of certain trucks
prohibited.
Parking in freight loading
zones prohibited.
10.44.010 Truck routes and load limits
established.
All commercial delivery trucks in excess of
two tons, trucks delivering sand, gravel, con-
crete, dirt, rocks, building supplies, furniture,
any and all other commercial products shall,
when delivering within the city, use as the
main thoroughfare: First Avenue, north and
south, and Eighth Avenue. (Prior code
§ 10.51.010)
10.44.020 Parking of certain trucks
prohibited.
No person shall park any truck, tractor-
trailer combination, or other vehicle, any of
which exceeds twenty thousand pounds
GVW, on any street, highway, or other public
roadway except on Main Street and First Ave-
nue north and south. (Prior code § 10.51.015)
10.44.040 Parking in freight loading
zones prohibited.
A. No person shall stop, stand, or park any
vehicle within a freight loading zone de-
scribed in Section 10.44.030 for any purpose
or period of time other than and while actually
engaged in expeditious loading and unloading,
or pickup and loading of materials.
B. The driver of a vehicle may stop tem-
porarily in a freight loading zone for the pur-
pose of, and while actually engaged in, load-
ing or unloading passengers when such stop-
ping does not interfere with the use of the
freight loading zone by any vehicle used for
the pickup, delivery or transportation of mate-
rials.
C. This section does not alter, affect, or
amend any of the provisions of Sections
10.48.130 or 10.48.150 of this code. (Ord.
823, 1985: prior code § 10.70.020)
(Lam-el 7-02) 216