This transcript has been formatted with speaker identifications based on the provided context of the Moose Lake City Council meeting. [0:44] **Jim Michalski (Mayor):** I shot one again in the kettle over liquor store that's where I get all my dear I shot some very very - I better start this like to welcome everyone to the Moose Lake regular City Council meeting for Wednesday November 8th and like to start with a pledge allegiance [1:31] **Group:** [Pledge of Allegiance] ...one nation... [1:40] **Jim Michalski (Mayor):** I'd like to welcome everyone tonight and the next agenda item is the gender driven changes or additions to the agenda. Do you have a motion to approve the agenda? [1:55] **Council Member:** Move. [1:57] **Council Member:** Second. [1:58] **Jim Michalski (Mayor):** All in favor say aye. [Chorus of Ayes] Opposed? No. Motion carried. Number two consent agenda. 2A: we have the minutes for the October 11th 2017 City Council meeting. Number 2B: the October 23rd 2017 special City Council and joint water and light meeting minutes. Any questions or discussion on the consent agenda minutes? [2:36] **Jim Michalski (Mayor):** Hearing none, we have a motion to accept the consent agenda. [2:38] **Council Member:** So moved. [2:40] **Council Member:** Second. [2:41] **Jim Michalski (Mayor):** All in favor say aye. [Chorus of Ayes] Opposed? Motion carried. Under number two consent agenda, this would be financial reports. Number one is the city accounts payable for November 2017. Number two is a city financial statements for October 2017. Number three is the liquor store profit and loss statements for October 2017. Are there any questions or discussion on the financial reports? [3:20] **Jim Michalski (Mayor):** Hearing none, we have a motion to accept the financial reports. [3:24] **Council Member:** So moved. [3:25] **Council Member:** Second. [3:26] **Jim Michalski (Mayor):** All in favor say aye. [Chorus of Ayes] Opposed? Motion carried. Number three, public comment. This time is reserved for comments from the public on matters not listed on the agenda. Please keep comments to three minutes. [3:50] **Nate Huston (Public):** Good evening, my name is Nate Huston. You guys probably remembered me from a couple of months ago when we had the unfair and illegal intake behind my property there. I just wanted to ask the City Council tonight about the Third Street project, which I think is great—it looks great out there, the pavement’s great. I have one question: why was my driveway eliminated and why is my land flooding now? [4:26] **Jim Michalski (Mayor):** The answer is we may want to talk with our city engineer first before we answer that because they're not aware of any flooding. [4:34] **Nate Huston (Public):** Okay, that would be great. You just came to the City Council tonight—oh no, I came to the city prior to this and talked to Tip about this. I just noticed within the last few days here, part of the sidewalk where the water used to run was out where the sidewalk is now, which is great because pedestrians now have somewhere to walk on. However, it's also impacted the property there; it’s made an ice rink. But the missing driveway—I’d love to know why that was eliminated from that piece of property, especially since when I turned in my building permit, it clearly showed the intent I had of placing a building at the rear of the property. So that's my question: who made that determination and was there any kind of consideration for the value that I had with the property? [5:23] **Jim Michalski (Mayor):** Okay, let us look into that and we'll get back to you on that. And maybe we have Steve [City Engineer] look at where it's freezing out there next to the property. Is it right along the sidewalk or is it towards a building? [5:38] **Nate Huston (Public):** [Off-mic response regarding land/sidewalk]. [6:10] **Jim Michalski (Mayor):** Thank you. Do you have any other comments from the public at this time? Hearing none, we'll move on to Department reports. Number four is the Police Chief's report for October 7th through November 3rd. [6:22] **Bryce (Police Lead/Chief):** Council members, another busy month. A couple of things to highlight: this month we did some mandatory training. We have mandatory training days twice a year, spring and fall. We qualify with firearms—handgun, rifle, and shotgun. We also had taser training, which we do annually, as well as a firearms training simulator. They bring a big screen and a computer-animated program just to show us different scenarios—shoot/don't-shoot situations—so that was very good training. [7:25] **Bryce (Police Lead/Chief):** A lot of people went to the trunk-or-treat down at the city park; it was very well attended. I gave out a ton of stickers to kids. It was a very chilly night but nice to see. We’ve got methamphetamine activity in town. Just to give an example, last week we had a call regarding a car doing donuts and spins in the Market Foods parking lot. Officers stopped the individual and found she had three grams of methamphetamine and a .40 caliber on the front seat. Those are the kinds of items we're dealing with. Little Moose Lake has a problem being right on the interstate; that brings in a lot of activity. Best we could ascertain, she was in the middle of a trip between casinos, floating back and forth selling drugs. [8:29] **Jim Michalski (Mayor):** Was she from around here or not? [8:32] **Bryce (Police Lead/Chief):** She was from south of the Cities, yeah. But we continue to actively work on several methamphetamine cases; we're doing our best to keep a handle on it. We had 141 calls for the month. Any questions? [8:55] **Jim Michalski (Mayor):** Thank you very much, Bryce. Scotty, come on up. [9:14] **Phil Entner (City Superintendent):** Council, before he starts—as we all know, in the last year and a half, our department has gone through a big change in dynamics. We lost a longtime employee and some positions moved up. One of Scott’s goals was to obtain his water and wastewater certifications, which he has now done. At this time, I would like to personally thank Scott and congratulate him on his hard work and dedication. He achieved his Minnesota Department of Health Water System Supply Operator Class D license in March, and his Minnesota Pollution Control Agency Wastewater Treatment Collection Facility Operator Class D license in October. Scott, congratulations and thank you for your hard work for the city of Moose Lake. [10:11] **Scott Dahlen (Assistant Superintendent):** Thank you. Heading to the end of October, everything is taken care of and ready to go. We pumped 4.8 million gallons of drinking water. The sewer department collected just about 18 million gallons of wastewater. We're starting our second discharge at the wastewater facility right now, which is about 40 million gallons, so we'll have testing and sampling for that. On October 18th, we hosted a Minnesota Rural Water training, which was a really good event for the city. Scott and I got to meet a lot of local operators from the area. Representation at that training included the MPCA; they reached out and said they are very happy with the progress we’re seeing in Moose Lake. [11:46] **Scott Dahlen (Assistant Superintendent):** Salt was purchased last week through our MnDOT state bid. We ordered 75 tons of salt stored at the MnDOT garage. We finished up some storm water and drainage issues, ditching, and culverts. We're pretty much ready for winter weather. Any questions? [12:43] **Council Member:** [Asks about manhole adjustments on Highway 73]. [12:54] **Phil Entner (City Superintendent):** What they do—and you can see it out here on 73 all the way up the hill—they pave over the manholes and then they use a "Mr. Manhole" or "Magic Manhole" cutter. They GPS the manhole, take a huge core drill, drill the blacktop off, raise it to grade, and pour concrete. It makes it easier to adjust later for us if the road settles. [13:39] **Council Member:** [Asks about a specific storm sewer manhole]. [13:42] **Phil Entner (City Superintendent):** That was one that was actually buried that we just found. We can get that raised. It wasn't on the original list, but the ones on Highway 73 are being handled. [14:03] **Steve (City Engineer - SEH):** Mr. Mayor, members of the council. Blacktop was placed last Friday on Third and Kenwood. Kenwood is in pretty good shape as far as restoration. Third still has some punch list work to do. Northland had a big list of obvious work, and SEH will be back up to generate the final punch list. It should drain fine when we get done. Any questions on Third or Kenwood? [14:52] **Jim Michalski (Mayor):** I had a question—the pumping station down on Allen’s Drive, are we going to blacktop that? [15:02] **Steve (City Engineer - SEH):** I gave Brian the name of three paving companies for quotes, but it was late this fall. Northland wouldn't take on extra work because they were under contract for the specific project. But I know it's on Brian's list to get paved. That’s all I have. [16:24] **Thiago (Chamber of Commerce President):** Thank you and members of the council. My name is Thiago, President of the Moose Lake Area Chamber of Commerce. My apologies for not addressing the council sooner; the second Wednesday is a popular night for meetings. Conversations at the Chamber are continuing regarding events. Everything happens in July and our members get burnt out, so we are looking at strategic planning to see if we can move events to different times of the year. [17:10] **Thiago (Chamber President):** One highlight is economic development. Hence my application for the EDA. We are also looking at winter activities, specifically an "Ice Bocce" event in January or February in front of the brewery to benefit local Post Prom committees. Our annual meeting is January 13th at the SU-9 Event Center. We also have Santa visiting on December 9th. Any questions? [20:17] **Ellissa Owens (City Administrator):** Regarding the Economic Development Authority members—we have two people who volunteered, Thiago being one and Steve who is here. We also have a letter from Yvonne and Terry Colby. We have four applicants and three open spots. [21:34] **Steve (EDA Applicant):** I've been back here 17 years. I'm currently president of the Historical Society and I’m interested in economic development. I think we have to do things to get the economy moving and make Moose Lake a business destination so people don't have to go out of town. [22:20] **Jim Michalski (Mayor):** Yvonne is not here, but I’ve talked to her and would recommend her. I’m not as familiar with Terry Colby. [23:02] **Council Member:** So we have three open positions. [24:04] **Jim Michalski (Mayor):** I’d welcome as many people as want to get involved, though we have to stick to the board size. I think having business people involved is a good thing. [25:35] **Council Member:** I think we should give the applicants who aren't here tonight an opportunity to come speak next month before we make the decision. [26:53] **Jim Michalski (Mayor):** Consensus reached. Moving to previously discussed items. 5A: Arena project updates. The Olympia ice resurfacer has been pushed back to December 15th. The grant ends December 31st, so we need to stay on top of that for reimbursement. Everything else in the arena is done. 5B: Highway 73 update. [28:26] **Steve (City Engineer - SEH):** Most of the barricades are down. They are raising manholes. Next spring they will need to finish two entrances and some striping. The water taps for the new businesses are done. [30:13] **Jim Michalski (Mayor):** I had a problem with the intersection out here. The trucks coming down 73 are going to be driving on the sidewalk with their rear wheels. They should have known that’s an issue. [32:56] **Ellissa Owens (City Administrator):** 5C: Moose Lake City/Township consolidation. We received the first draft of the tax study from Northland Securities. Once we finalize it, we can set a public hearing. It was a positive meeting and includes a lot of information never looked at before in the last 50 years of talking about consolidation. [33:43] **Jim Michalski (Mayor):** Moving on to 6A: Water and Light rate increase update. I asked if the commission could be here. Mike is the city council rep on that board. [34:50] **Council Member Mike:** They had a public meeting. There was good attendance and some concerns were addressed. [35:20] **Ellissa Owens (City Administrator):** My understanding from our joint meeting was that we suggested laying out options—bonding for capital projects vs. different rate increases over 3 or 5 years. But at their meeting, no options were presented. It was just the 25% increase. [38:30] **Council Member Mike:** The increase is based on rate studies regarding our costs, not bonding. Even with a 25% increase, we are still lower than all our competitors nearby. We haven't raised rates in years because the board decided not to, but now we have to be financially sound. [39:19] **Jim Michalski (Mayor):** We agree things need to be done, but why the 25% all at once? If you bonded for the 10 million in projects, maybe the rate increase only needs to be 5%. That's how cities operate. We don't increase taxes 25% to pay for a road; we bond and pay it over time. [40:54] **Ellissa Owens (City Administrator):** That’s the part that is frustrating. They presented $10 million in capital projects. If the 25% increase is just for operations and not those projects, why was the $10 million used to justify it to the public? We are asking if they can get to where they need to be over three years instead of one giant jump that hits the School District and the Hospital—who have already set their budgets—all at once in January. [43:10] **Harlan (Water & Light Rep):** A 25% increase is for operations and is justified. If we hold off due to political pressure, we just get further behind. [47:22] **Ellissa Owens (City Administrator):** In 2019, the new power contract is supposed to save $500,000. Why does the rate study stop before that contract kicks in? We aren't saying an increase isn't justified; we are saying the *method* and the *speed* are the issue. [48:14] **Jim Michalski (Mayor):** Most of the public didn't know it was a 25% increase until the meeting because it wasn't on the cards sent out. As the Mayor and Council, we have oversight to make sure the public is informed. The School District set their budget in July, and now they get hit with this in January. [52:09] **Council Member:** I disagree that we have direct oversight. We appoint the commission members, but they are their own board and make their own decisions. [53:15] **Jim Michalski (Mayor):** I think it’s been mismanaged for years, and you can’t blame the 2012 council for rates not being raised since then. 6C: Downtown business updates. 6D: Health insurance update. [53:45] **Ellissa Owens (City Administrator):** We have an enrollment meeting for employees on Tuesday. It’s a big change going from no choice to many choices. [55:35] **Ellissa Owens (City Administrator):** 6F: Small Cities Development Program. We received a monitoring report from DEED. The project is wrapping up. We’ll be collecting on revolving loans which can then be used by the EDA for business incentives. [57:24] **Jim Michalski (Mayor):** 6G and 6H: Hydrant replacement. We have four estimates. The lowest bidder for labor was Goble, and Ferguson for parts. [58:30] **Council Member:** So moved to approve. [58:32] **Council Member:** Second. [Motion Carries] [59:48] **Council Member Mike:** Regarding the Arrowhead Transit contract—it’s $6,000 a year. I’d like to see more advertising so people know it exists. [1:02:13] **Jim Michalski (Mayor):** We have a motion and a second to approve the contract. All in favor? [Chorus of Ayes] Motion carried. 7C: Lift station pump replacement. [1:03:00] **Ellissa Owens (City Administrator):** We budgeted $15,000. We have a remainder of about $11,000. We have a quote for the 7th Street lift station pumps for $13,720. It's slightly over that specific line item but gets a 2018 project done early and keeps us on track. [1:05:38] **Council Member:** I’ll make a motion to approve the 7th Street pump replacement. [1:05:45] **Council Member:** Second. [Motion Carries] [1:07:13] **Jim Michalski (Mayor):** 6K: Arbor Day Proclamation. We do this once a year. [1:07:50] **Council Member:** Move to proclaim. [1:07:55] **Council Member:** Second. [Motion Carries] [1:07:59] **Ellissa Owens (City Administrator):** 6L: Resolution 17-11-01. This is just a requirement to include our new part-time police officer in the PERA Police and Fire plan. [1:08:42] **Council Member:** So moved. [1:08:44] **Council Member:** Second. [Motion Carries] [1:08:45] **Ellissa Owens (City Administrator):** 6M: Truth in Taxation hearing is December 13th at 6:30 PM. We will set the final levy and discuss all city funds and debt. [1:11:52] **Jim Michalski (Mayor):** Meeting announcements: Next Council meeting is Dec 13th. Water and Light is Nov 15th. Fire District is Nov 14th. Motion to adjourn? [1:13:00] **Council Member:** So moved. [1:13:05] **Council Member:** Second. [1:13:10] **Jim Michalski (Mayor):** All in favor? [Chorus of Ayes]. Meeting adjourned.