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City of Dundas

Administrator/Clerk’s Report City Council Meeting, September 28, 2015

To: Mayor and Council

From: John M. McCarthy

Date: September 28, 2015

Consent Agenda

MCFOA Region VI Meeting: Approve normal and customary expenses for staff to attend the Minnesota Clerks and Finance Officers Region VI Meeting in Montgomery on October 23, 2015. Approve Attendance at 2015 Wastewater Training: Approve normal and customary expenses for 2 employees to attend Collection Systems Basic Seminar in Vadnais Heights on November 3 through 5, 2015. The cost is $300 / employee. Greg Malecha will also be taking his Collection System Certification exam at the seminar.

Hearings

Public Hearing – Petition to Vacate a Utility Easement: The City has received a petition to vacate a utility easement between two adjoining vacant lots from the property owners Scott Code and Dajah McFall. Code and McFall have purchased the properties and wish to combine the lots to construct a home. State law requires a public hearing prior to easement being vacated. Notice of the public hearing was published and mailed to all property owners within 350 ft.

Old Business

Request City Attorney’s Review Regarding Disbursement of NAFRS Funds: The Board of the Northfield Area Fire and Rescue Service continues to operate in a manner which may not be in compliance with Minnesota Statute § 412.271 which describes how Minnesota Statuary Cities pay claims. The Joint Powers Agreement, which formed the organization, requires compliance with all public laws applicable to Members individually. The Board’s practice is to pay claims prior to approval by action of the board. (Motion)

Ordinances and Resolutions Resolution 2015 – 31 Vacate Utility Easement: The action required would be to approve, deny or table to a time certain the request to vacate. A resolution of approval has been prepared. (Motion) Resolution 2015 – 32 Clarify Motion Regarding NAFRS Receiving Financial Advice: At the regular meeting of May 26, 2015, the Dundas City Council unanimously approved the following motion: Motion by Switzer, second by Pribyl, to request the Northfield Area Fire & Rescue Service engage the services of a firm which specializes in advising Minnesota local governments on the applicability of financing long term capital projects; and furthermore, the City of Dundas suggest Kennedy & Graven or a similar firm be considered. On June 4, 2015, an e-mail was sent to NAFRS and representatives of the Parties summarizing the motion. At the NAFRS Board meeting held on Thursday, September 24, a proposal to engage a firm to underwrite financial obligations incurred by NAFRS was presented to the board. Northfield Mayor Graham questioned the need of engaging an underwriter and Dundas Mayor Switzer explained that the engagement of an underwriter was not the intent of the Dundas City Council. Board Chair Castore challenged the interpretation of the Dundas motion by Mayor Switzer and indicated he would bring a copy

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to the next meeting. No action was taken regarding the proposed engagement. The firm to be contracted by NAFRS receives revenue from the sale of financial instruments and the engagement could commit the board to purchasing financing from the firm if the NAFRS wanted to take advantage of financing method(s) available to a joint powers board). It is recommended the Council pass the resolution clarifying the position of the City of Dundas. (Motion)

New Business

Request to Waive SAC and WAC Fees: If the request to vacate the utility easement submitted by Scott Code and Dajah McFall is approved, Code and McFall are requesting Council waive the Sewer Access Charge and Water Access Charge fees applicable to the second connection which serves the property as they will only be using one connection. (Motion)

Administrator’s Report

Financial: General Fund Revenue for the first eight months of 2015 is $563,452 or $30,285 more than last year when adjusted for delinquent taxes paid in 2014. As of the end of August, the City’s General Fund operating expenditures are $518,249 or $13,963 less than 2014. Water Enterprise Fund Revenue of $163,487 is down $721 from last year. Water Fund Expenses of $120,088 are down by $19,161 over last year. Sanitary Sewer Enterprise Fund Revenue to the end of August is $262,127 or $3,288 more than last year. Expenses of $137,330 are down $9.783 for the same period. Property Tax Review: An updated review of selected residential properties in Dundas and Northfield indicates the City property tax per square foot continues to be less for a home in Dundas than a home in Northfield. Dangerous Dog Appeal: A hearing regarding the appeal of a Dangerous Dog Notice will be held by an impartial hearing officer as required by State Statute. The hearing is scheduled for 1:00 p.m. on September 28, 2015. A decision regarding the appeal will be issued within 10 days. Workers Compensation Penalty for Not Reporting Lost Time: The City was recently penalized for the late reporting of lost time. Due to miscommunication, lost time for a part time employee was not reported in a timely manner. The correct process has been reviewed with all department heads and discussed with all employees at the annual Right-to-Know inservice. Rice County Administrator’s Meeting: The Rice County Administrators met on Wednesday, September 23 in Dundas. NAFRS Board Meeting: The Northfield Area Fire and Rescue Service held a regular meeting on Thursday, September 24 at the fire station. The Relief Association presented financial information to support a proposal to increase the pension benefit from $7,500 to $8,500. Documentation was provided which indicated a surplus of $781,357 would be available in the fund after the increase. The Board will act on the proposal at the October meeting. Right-To-Know: Annual Right-to-Know inservice was conducted for all employees on Thursday, September 24. There were several major changes in the information required to be presented. A review of worker’s compensation was also conducted.

Work Session – Major Enterprise Funds

The water and sewer enterprise fund budgets will be discussed.

CITY OF DUNDAS COUNTY OF RICE

STATE OF MINNESOTA

RESOLUTION NUMBER 2015 - 30

A Resolution Certifying Unpaid Utility Charges

WHEREAS, pursuant to proper notice duly given as required by law, the Dundas City Council has met, heard, and passed upon all objections to the proposed assessments for unpaid utility charges for water, sewer, garbage, and water meters; and WHEREAS, the amounts of bad debt have been minimized through diligent collection efforts by staff; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL of the City of Dundas, Minnesota:

1. Such proposed assessments for unpaid utility charges, as listed in Exhibit A and made a part hereof, is hereby accepted and shall constitute the assessments again the land and named herein.

2. Such liens shall be payable over a period of one year on or before the first

Monday in January 2017. 3. The owner of the property so charged may, at any time prior to certification

of the assessment to the Rice County Auditor, pay the whole of the assessment on such property to the Dundas City Clerk/Treasurer.

4. The City Clerk shall forthwith transmit a certified listing of the assessments

to the Rice County Auditor to be extended on the proper tax lists of the County and such assessments shall be collected and paid over in the same manner as property taxes.

ADOPTED BY the City Council of Dundas, Minnesota, on this 28th day of September 2015. CITY OF DUNDAS BY: ATTESTED TO BY: _________________________ _____________________________ Glenn Switzer, Mayor John M. McCarthy, Administrator/Clerk Resolution 2015-30 ___________Switzer _____________Cruz ______________Fowler ___________Modory __________Pribyl

EXHIBIT “A” Resolution 2015-30

ASSESSMENT LIST (OWNER) PARCEL ID# AMOUNT Certify Fees TOTAL

AMOUNT

Raquel Burciaga 17.11.3.51.022 447.22 58.96 506.18

Amanda Schaner 17.10.4.29.050 409.70 55.02 464.72

David Anderson 17.10.4.51.019 273.97 40.77 314.74

Ricardo/Vicki Stockey 17.11.3.51.018 353.15 49.08 402.23

David Mazurek 17.10.4.27.020 334.71 47.14 381.85

Tamara Babcock 17.15.1.01.039 408.09 54.85 462.94

Isaac Barsness 17.15.1.01.013 297.86 43.28 341.14

Rodney Webber/Jessica VanZuilen 17.11.3.51.012 553.28 70.09 623.37

Madrid Construction 17.10.4.51.040 222.20 32.33 254.53

Cory/Chris Miller 17.13.2.26.135 529.55 67.60 597.15

Jade/Katie Ohlund 17.13.2.26.133 552.66 70.03 622.69

John/Alex Isaacson 17.10.1.76.007 963.45 113.16 1076.61

Chad/Michelle Marks 17.15.2.00.004 435.77 57.76 493.53

Jeremy Sisson 17.10.4.29.065 292.77 42.74 335.51

TOTAL ( 14 properties) 6074.38 802.81 6877.19

Join MCFOA Region VI in Montgomery

on October 23, 2015 at 9:30 at the Mont-

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with A.G.E, along with a discussion with

the brewery about all the steps they went

through to get their licenses followed by a

presentation by Linda about MMM what!!

How to become a MCMC, MMC,MMMC,

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along and Linda will help fill out the certifi-

cation documents! The meeting will wrap

up around 2:30!

Please RSVP to Heather by October 19,

2015. $15.00 Per Person lunch included!

Region vi Meeting

PUBLIC HEARING NOTICE CITY OF DUNDAS

RICE COUNTY

NOTICE OF PUBLIC HEARING ON A PETITION TO VACATE A

PORTION OF AN UTILITY EASEMENT PERSUANT TO MINNESOTA STATUTES § 462.358, SUBD. 7 AND §412.851

NOTICE IS HEREBY GIVEN, the City Council of the City of Dundas, County of Rice, State of Minnesota, will hold a public hearing on Monday, September 28, 2015, at 7:00 p.m. or as soon thereafter as possible, at Dundas City Hall for the purpose of receiving written and oral comments from the public on a petition to vacate an utility easement as described:

A 10 foot wide easement over and across Lots 3 and 4, Block 1, Nelson-Hagerty Addition, City of Dundas, Rice County, Minnesota, the centerline of which is described as follows: Commencing at the Northwest Corner of said Lot 4; thence South 00 degrees 16 minutes 08 seconds East, along the West line of said Lot 4, a distance of 10.00 feet to the point of beginning of the centerline to be described; thence South 00 degrees 16 minutes 08 seconds East, along the West line of said Lot 4, a distance of 87.49 feet and there terminating.

If you desire to be heard in reference to this matter, you may attend the Public Hearing; submit a letter to the City Administrator/Clerk at Dundas City Hall, 216 Railway Street North, PO Box 70, Dundas, MN 55019-0070; or email jmccarthy@dundas.us. Letters and emails must be received by 4:30 p.m. on Monday, September 28, 2015. The Council will consider both oral and written comments. A copy of the proposed vacation is available for inspection from the Dundas City Administrator/Clerk at the Dundas City Hall during normal business hours on Monday 8:00 a.m. to 6:00 p.m. and Tuesday through Thursday 8:00 a.m. to 5:00 p.m. A copy will also be available at the hearing. John McCarthy, Administrator/Clerk City of Dundas Published Northfield News: September 12, 2015

CITY OF DUNDAS COUNTY OF RICE

STATE OF MINNESOTA

RESOLUTION NUMBER 2015 – 31

A Resolution to Vacate a Utility Easement

WHEREAS, a petition signed by owners Scott Code and Dajah McFall abutting a Drainage and Utility Easement was received by the City Clerk of Dundas, Minnesota, on the 1st day of September ; and WHEREAS, the petition requested that the Dundas City Council (the Council”) pursuant to Minnesota Statue §412.851 vacate the easement described as:

A 10 foot wide easement over and across Lots 3 and 4, Block 1, Nelson-Hagerty Addition, City of Dundas, Rice County, Minnesota, the centerline of which is described as follows: Commencing at the Northwest Corner of said Lot 4; thence South 00 degrees 16 minutes 08 seconds East, along the West line of said Lot 4, a distance of 10.00 feet to the point of beginning of the centerline to be described; thence South 00 degrees 16 minutes 08 seconds East, along the West line of said Lot 4, a distance of 87.49 feet and there terminating; and

WHEREAS, the City Clerk reviewed and examined the signatures on said petition and determined that such signatures constitute all of the property owners abutting the easement to be vacated; and WHEREAS, the notice for a public hearing was published in the Northfield News on 12th day September 2015; and WHEREAS all affected property owners were properly notified; and WHEREAS, the Dundas City Council held a public hearing on such proposed vacation on the 28th day of September 2015;

NOW, THEREFORE, BE IT RESOLVED BY the City Council of Dundas, Minnesota, approved the vacation of such easement relating to the properties described herein as owned by Scott Code and Majah McFall. ADOPTED BY the City Council of Dundas, Minnesota, on this 28th day of September 2015. CITY OF DUNDAS BY: ATTEST: _________________________ ____________________________ Glenn Switzer, Mayor John M. McCarthy, Administrator/Clerk

Resolution 2015-31

____________Switzer ____________Cruz ____________Fowler ____________Modory ____________Pribyl

CITY OF DUNDAS COUNTY OF RICE

STATE OF MINNESOTA

RESOLUTION NUMBER 2015 – 32

A Resolution Clarifying Request NAFRS Engage Firm to Advise the Board Regarding Financing Options

WHEREAS, the City of Dundas is a Member of a Joint Powers Agreement forming the Northfield Area Fire and Rescue Service (NAFRS); and WHEREAS, on May 26, 2015, the Dundas City Council unanimously approved the following motion:

Motion by Switzer, second by Pribyl, to request the Northfield Area Fire & Rescue Service engage the services of a firm which specializes in advising Minnesota local governments on the applicability of financial long term capital projects; and furthermore, the City of Dundas suggest Kennedy & Graven or a similar firm be considered.; and

WHEREAS, a proposal to engage the services of an underwriter was presented to the NAFRS Board at the regular meeting of September 24, 2015; and WHEREAS, Mayor Switzer objected to the proposal based on his understanding of the intent of the request from the Dundas City Council; and WHEREAS, Board Chair Castore suggested a clarification of the request would be needed at the next Board meeting; NOW, THEREFORE, BE IT RESOLVED that the City Council of Dundas, Minnesota, hereby restates the above motion and requests the firm selected be charged with only providing information regarding what types of financing options for the purchase of capital equipment are available to Joint Powers Boards in the State of Minnesota; and BE IT FURTHER RESOLVED that no further commitment for services such as underwriting be made to the firm selected. ADOPTED BY the City Council of Dundas, Minnesota, on this 28th day of September 2015. CITY OF DUNDAS BY: ATTEST: _________________________ _____________________________ Glenn Switzer, Mayor John M. McCarthy, Administrator/Clerk

Resolution 2015-32

____________Switzer ____________Cruz ____________Fowler ____________Modory ____________Pribyl

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John McCarthy

From: John McCarthy <jmccarthy@dundas.us>Sent: Thursday, June 04, 2015 1:58 PMTo: Charlene Hamblin (charhnafrs@gmail.com); Glen CastoreCc: brons@charter.net; Glenn Switzer; Nick Haggenmiller (Nick.Haggenmiller@ci.northfield.mn.us); Jerry AndersonSubject: Financing Capital Projects

Char,  At the last meeting of the Dundas City Council, a unanimous motion was passed requesting NAFRS engage the services of a firm familiar with Minnesota local government finance to review and report on what options for long term payments are available to a JPA structured in the form of NAFRS when making large capital expenditures. One possible consideration is the firm of Kennedy & Graven.    The City would appreciate this item being considered at the next board meeting.   John  John McCarthy City Administrator City of Dundas, MN 507-645-2852 218-244-1152 (cell)  

City2015 Taxable Market Value

2015 Total City Tax

City Tax Change %

2010 to 2015Total Living Area (sq.ft.) City Tax / sq.ft.

Dundas $166,354 $990 2.8% 1,620 $0.61(2010) $177,654

Northfield $186,108 $951 9.3% 1,424 $0.67(2010) $212,231

Calculations are based on public information from Rice County (Beacon web-site)

Single Family Home Comparison (Average)

Property Tax Review Thirteen Homes in Dundas and Northfield

Rice County Only

0.40

0.45

0.50

0.55

0.60

0.65

0.70

2010 2011 2012 2013 2014 2015

Average

 City Tax ($)

City Tax / Square Foot of Living Area

Dundas

Northfield

9/25/2015

Water Fund Budget 2015

Actual Budget Est. Budget2013 2014 2015 2015 2016

Operating Revenue Water Sales 275,046 262,708 268,173 254,231 259,289Water Connect/Reconnect Fee 20,075 2,000 6,000 3,000 L 7,500Sale of Water Meters 5,149 2,099 2,000 2,440 2,000Fees 30,157 44,942 41,003 1,869 41,003Other 0 0 0 7,068 0Total Operating Revenue 330,427 311,749 317,176 268,608 309,792

Operating ExpenseAdministrative

Salaries and Wages 15,769 15,261 16,115 18,509 16,115PERA 1,143 1,245 1,168 1,178 1,168Payroll Taxes 1,206 1,313 1,233 1,297 1,233Employee Benefits 3,151 3,193 3,286 833 3,286

Total Administrative 21,269 21,012 21,802 21,817 21,802

Maintenance and Operation:Salaries and Wages 37,293 36,249 33,324 34,753 33,324PERA 2,643 2,484 2,416 2,407 2,416Payroll Taxes 2,853 2,773 2,549 2,784 2,549Employee Benefits 6,476 3,938 4,718 120 4,718Worker's Comp Insurance Prem 1,424 1,386 2,356 2,049 2,356Supplies 11,743 24,893 12,096 9,928 12,096Training and Instruction 0 0 900 528 900Gas. Diesel, LP 0 0 2,178 1,571 2,178License/Permits 0 0 0 480 0Professional Services 25,734 5,381 9,000 2,595 9,000EDP/SCADA 0 572 385 221 385Plumbing Fees 0 0 0 15,032 0Telephone & Communications 2,696 2,364 2,851 2,387 2,851Postage 1,192 1,203 1,134 683 1,134Mileage Reimb 2,637 2,565 1,010 2,326 1,010Printing/Legal Notice 0 0 0 0 0Insurance Liability 4,554 4,288 536 332 536Insurance Property 0 0 6,393 5,899 6,393Utilities Expenses 24,283 26,928 25,676 23,193 25,676Water Utilities 0 0 0 0 0Repairs and Maintenance 79,801 64,302 55,424 36,502 55,424Equipment 0 0 1,000 897 1,000Grounds Maintenance 0 0 2,520 1,858 2,520Vehicle Fuel 0 0 1,507 482 1,507Vehicle O&M 1,425 2,043 1,155 68 1,155Dues and Subscriptions 542 550 600 904 600Capital Outlay 0 0 7,889 9,237 7,889Other Expense 980 1,853 0 34 0

Total Maint. and Operations 206,276 183,772 177,617 157,272 177,617

Total Operating Expenditures 227,545 204,784 199,419 179,089 199,419

Operating Revenue/Expense 102,882 106,965 117,757 89,519 110,372

2015 W&S Review 1508.xlsx Water Fund Operating 9/25/2015

Sewer Fund Budget 2015

Actual Actual Budget Est. Budget2013 2014 2015 2015 2016

Operating Revenue Sewer Sales 377,601 395,443 422,373 379,691 417,041Sewer Connect/Reconnect Fee 29,333 4,000 12,000 13,500 15,000Fees 8,161 6,073 300 0 300

Other P & I 0 0 0 0 0Total Operating Revenue 415,095 405,516 434,673 393,191 432,341

Operating ExpensesAdministrative

Salaries and Wages 12,048 15,333 13,132 15,036 13,132PERA 874 1,093 952 1,214 952Payroll Taxes 922 1,173 1,005 1,302 1,005Employer Paid Health 2,375 2,174 2,918 831 2,918

Total Administrative 16,219 19,773 18,007 18,383 18,007

Maintainence and OperationSalaries and Wages 15,798 15,685 17,876 20,271 17,876PERA 1,113 1,078 1,296 1,098 1,296Payroll Taxes 1,209 1,161 1,368 1,386 1,368Employer Paid Health 2,588 2,390 2,619 66 2,619Worker's Comp Insurance Prem 0 0 200 981 200Supplies 1,447 479 1,000 232 1,000Training and Instruction 0 655 600 75 600Building Heat 0 0 600 657 600Professional Services 3,894 3,879 3,675 2,807 3,675EDP/SCADA 418 572 700 635 700Telephone & Communications 922 857 871 561 871Postage 1,173 1,183 1,104 669 1,104Mileage Reimbursement 565 1,166 517 698 517

Insurance Liability 3,152 4,630 3,000 3,636 L 3,000

Insurance Property 0 0 1,014 1,070 L 1,014Utilities Expenses 0 0 7,150 8,175 7,150Wastewater Treatment 141,478 149,596 148,252 131,105 148,252Repairs and Maintenance 21,835 11,755 9,060 7,607 9,060Grounds Maintenance 1,188 2,053 1,366 457 1,366

Vehicle Fuel 0 0 1,000 247 1,000

Vehicle O&M 0 0 875 34 875

Capital Outlay 0 0 12,750 1,647 12,750

Total Maint. And Op. 196,780 197,139 216,893 186,467 216,893

Total Operating Expenditures 212,999 216,912 234,900 204,851 234,899

Operating Revenue/(Expense) 202,096 188,604 199,773 188,340 197,441

2015 W&S Review 1508.xlsx[Tab] Operating 9/25/2015