OACCT Letter to County Commissioners/Public Works Building-June 3, 1014

June 3, 2014

Steele County Commissioners
Administrator Tom Shea

Steele County Administration Center

630 Florence Ave.

Owatonna, MN 55060

Steele County Commissioners and Administrator Shea,

The Owatonna Area Chamber of Commerce & Tourism (OACCT) Board of Directors would like to encourage your active consideration of the Steele County Community Taskforce position of holding the total cost of land, construction, and furnishing of the Public Works Building to the recommended $7 million investment.

While the needs of this project are important to operations of the county, we believe that holding the line on the recommended $7 million budget for the building is imperative to Steele County taxpayer. 

The community will be faced with many financial options that could become obligations in the foreseeable future. We believe the taxpayers should be able to view the broad perspective of potential projects and financial impacts and make their investment decisions based on community projects’ costs, economic implications and return on investment.  Specifically, projects like the potential School District building/facilities levy, a potential community center and the half-cent sales tax option that could be implemented on behalf of the county could negatively impact the taxpayer based on the various projects’ timing and additional levies enacted.  

If you have any questions, don’t hesitate to contact Jennifer at the OACCT office, 451-7970.

Sincerely,

Scott Kubicek, Advantage Cabinets                                          Andy Michaletz, Owatonna Business Park

Chair, OACCT Board of Directors                                            Chair, OACCT Public Policy Committee

Jennifer Libby, OACCT

President/CEO

City Council Meeting Notes-June 3, 2014

A part of the OACCT's Public Policy efforts for 2014 is for volunteers from the Public Policy committee attend both City and County meetings and report back on items that are of interest/concern to business.

Study Session – Waste Water, Storm Water and Fee Resolution

·         Waste Water Expansion

o    Currently running approximately 75% capacity

o    One large development project could push us closer to capacity

o    Estimated that within the next five years it will be a go for the expansion

o    No official estimate on cost of expansion

o    How to pay for it…

§  Utilize part of waste water fund (don’t want to deplete the fund)

§  Bonding

§  Rates

·         Waste Water Fund

o    Waste water fund is at approximately $15M and shrinking

o    Meant for special projects and emergencies

o    Looking to at least maintain current level and would like to grow it knowing expansion may be coming

o    Rate increases (3-10%) will be evaluated to determine what percentage increase will maintain/grow fund

o    Current rate is in the bottom third of surrounding communities

·         Storm Water

o    2008 was the last base rate increase

o    Current rate is on the lower end based on rates of surrounding communities

o    Rate for businesses isn’t very straight forward and has many variables

§  Low density vs high density

§  Acreage

§  Base rate

§  There is a credit system that isn’t utilized

§  Not a simple calculation

o    No major issues within the system, just a few trouble spots on bigger storms

·         Outcomes

o    Public Works will evaluate waste water rate increase impact to fund and come back to council with recommendation

o    Council and Public Works will work to identify what the target balance for the waste water fund should be

o    Public Works will evaluate storm water rate increase and come back to council with a recommendation

Council Meeting

o    UV Splash Dash approval delayed until council can hear how the organizer, Winter State Entertainment, will address concerns (from citizens to council members) with trash and how the trails are left after the event,

o    Dog Pound (Birthday Bash & End of Summer Bash events were granted exception to the noise ordinance until Midnight.  It was requested until 1:00 AM, but council is being considerate of residents close to downtown.  In addition, it was noted that this sets a precedence for future requests and that the Council need to be consistent.

o    Tobacco permit approved for Owatonna Tobacco Inc. on Bridge Street (new ownership)

o    Mineral Springs Parkway Project

o    Residents are concerns with current design

o    Council approved a delay until 2015 and rebid (5-1)

o    Council stated that this will happen in 2015 regardless

o    During the delay, Public Works will continue to work with residents to come up with the best approach

o    Airport – East Apron Pavement Project

o    MNDOT recommended re-pavement

o    There will be an expansion of the apron as well

o    Estimated cost of $370,000

o    Funding will be Federal, State and local

o    Council approved the project (6-0)

City Council Notes-May 20, 2014

A part of the OACCT's Public Policy efforts for 2014 is for volunteers from the Public Policy committee attend both City and County meetings and report back on items that are of interest/concern to business.

1. Demolition of houses on Lemond Road. The contract for demolition was awarded NOT to the lowest bidder rather to a contractor that has displayed good and faithful work practices in the past. A local contractor was the lowest bidder but has performed poorly in past contracts awarded with the city. Mark Wallbran , city attorney clarified this ruling under state law.

2. Airport work order: The estimates for engineering services has with Bolton and Menk engineering has come in $2,500 over budget for services. Troy Klecker reported that the bonding bill that recently passed in St. Paul will cover the immediate cost of repairs at the airport. Net cost to the city is zero.

3. A lot of discussion on residential variances. The planning and zoning committee will re-visit the setback limits on three and four season porches. Current set backs are 20 ft. form property line. Troy Klecker reported in recent years there has been an increase amount of requests for this variance. Council input stated to be careful in re-writing the variance to open up the opportunity for citizens to request building closer to their property line.

4. The council approved a pay increase for council members and the mayor. Last pay increase was in 1997. Minimal increase of $50.00 per month. And the mayor $100.00 per month. Council member Raney suggested having the charter commission evaluate future pay increase for the council to avoid a conflict of interest.

5. Repair road on Mineral Springs Road and put a bike path/trail extension on east side of road. A lot of decision on this topic. Council member Svenby noted he has been on the council for nine years and this project has been pushed back to the nest year for nine years. He voted to approve the repairs. The building inspector met with land owners and all of the land owners are not in favor of the repairs. The council vote was 3-2 vote. They need four votes for the resolution to pass. Council voted to table the vote to next meeting. One land owner expressed concern on the bike path on the east side of the road. That land owner opposed the bike trail, “stating that five houses will be impacted with the bike trail on the east side of the road and if the built trail is constructed on the west side of the road would only impact one land owner” Land owners concern bike path would be to close to the house and any screening (ie bushes , trees, fencing, etc.) would take even more of their land.

6. Gateway Apartment was given the go ahead to build a new apartment building in the vacant lot to the east of the existing gateway building. They are approved for tax increment financing (TIFF) with a payback structure to the city.

County Board Notes-May 13, 2014

A part of the OACCT's Public Policy efforts for 2014 is for volunteers from the Public Policy committee attend both City and County meetings and report back on items that are of interest/concern to business.

There was much discussion on the Mathiowetz – Burnham Pit. Parties from both sides were very passionate about this case and in the end, the Commissioners voted to approve the pit. Mathiowetz has agreed to 25 additional conditions (above and beyond those required) in an effort to reduce the impact on the area residents.

County Board Notes-April 22, 2013

A part of the OACCT's Public Policy efforts for 2014 is for volunteers from the Public Policy committee attend both City and County meetings and report back on items that are of interest/concern to business.

General:

·         President’s Volunteer Service Awards given to Dave Purcell, Shirley Woodfill and Tom Carnaskus (I make no claims of  for >100 volunteer hours in 12 months

·         EMS week proclamation for May 18-24 – resolution approved

·         On sale liquor license for Spurgy’s Bar and Grill in Hope, MN – approved

·         Extensive discussion (public and Council) centered around a Conditional Use Permit request for Burke Firing Range to use their property in Blooming Prairie for civilian and Law Enforcement training. Approximately ten citizens from Blooming Prairie were present and voiced objections, mostly centered around safety. A motion to deny was presented and carried by the Council.

Land Use/Records:

·         Regional Rail Authority public hearing date set for May 13 at 7:30

Public Works

·         Continue environmental assessment on building project – on hold since 2012 – motion to proceed carried

·         Advertise for bids for striping 6” on eligible county highways (Federal Aid – Highway safety project) due May 22, 10am  – motion carried

·         Advertise for bids for 4” striping on remaining county highways and city of Owatonna due May 22, 11am – motion carried

o   Higher traffic roads get 6”, lower 4”, Public Works can provide maps

·         Spring parking lot sweeping awarded to Wolf and Sons $1580 – motion carried

·         Parking lot striping awarded to Seykora $3641 – motion carried

·         Purchase of skid loader attachment $12,701 from Bobcat of Mankato – motion carried

·         Professional Services Agreement – approve a not-to-exceed contract with Stolberg(?) Engineering- $159,730 for promotional service project for Kasa(?) 42 and Main St project in Blooming Prairie. Doug Johnson abstained from the vote because of a potential conflict – motion carried

·         Disposition of Excess Right of Way Easements Policy – policy approved

Committee of the Whole

·         Personnel report – carried

·         Ag Society Loan $100,000 draw on already approved loan – motion carried

·         Emergency Management Director Position – motion to remove tabled item from last meeting (resignation was withdrawn) – motion carried

·         Emergency Management Director Position – modified service delivery structure presented to Cmte of the Whole and arrangement discussed with Mike Johnson to continue as emergency director  reporting structure proposed. Board discussion – concern expressed in reporting relationship. Nina believes in emergency situations it’s appropriate, but has philosophical concern with the Board being administrative responsibility day to day. Will the Board be expected to do documentation, performance evaluations, etc.? In favor of concept, but wants duties and reporting worked out – motion carried

·         I-35 easement – relocation of utilities so I-35 bridge can be replaced – motion carried

·         Added agenda item – Drug Court MOU – motion to authorize Chair to sign – motion carried

City Council Notes-Aprl 15, 2014

A part of the OACCT's Public Policy efforts for 2014 is for volunteers from the Public Policy committee attend both City and County meetings and report back on items that are of interest/concern to business.

We held a public hearing on the TIF district for Daikin Applied (McQuay) and passed the TIF modification.

We passed resolutions supporting Daiken and Jostens in their application for the MN Jobs Creation Fund for business expansion.

We had a hearing to address non-compliance issues with Charter Communications, the hearing was tabled until the next meeting.

We approved  a cooperative agreement with the county on doing some sanitary sewer repair on Dane Rd. to coincide with their repairs.

A proposed ordinance to increase setbacks on accessory structures was tabled to allow a meeting with the Planning Commission.

New polling places were designated for the primary election.

A contract was awarded for Boiler repair at the WWTP (treatment plant), unfortunately a local contractor was the low bidder but didn't fulfill all of the necessary requirements to win the bid. 

Authorization was approved to Bid this year's crack sealing. 


The public comment portion was used to discuss the proposed pay increase for the council and dissatisfaction with the City's efforts to bring in another cable TV provider. 

County Board Meeting Notes-April 8, 2014

A part of the OACCT's Public Policy efforts for 2014 is for volunteers from the Public Policy committee attend both City and County meetings and report back on items that are of interest/concern to business.

Dangerous Dog Ordinance meeting set for May, 6^th, 2014

Authorize advertising for three or four bids for work to be done this summer,

Accepted bids on three projects to be done this summer.

Presentation and request for continued support and funding of the Steele County Humane society

Authorized the purchase of Veterans Service van and passed a resolution thanking Veteran groups for donations to purchase the van.

Employee actions where accepted except the resignation from Michael Johnson, Apparently he is not happy with some changes and has turned in a resignation, the board and administrator do not want him to go and are going to try and change his mind.

Most interesting item was the Conversation at the Committee of the whole on the future financial plan for the county.

Things of interest

• They have 7.5 million built into the plan as a place holder for a Public works building.
• We have about 20 years of service left with the landfill, conversation needs to begin on purchase of new land and or plans for a future landfill or contracting this out. 5-6 million in the next 5 years,
• A mention of a Criminal Justice center to be discussed in the next 10 years or so. Approx cost 15 million plus.
• Roofs are going to become an issue that needs attention in the next 5 years.