This transcript has been formatted with speaker names based on the context of the Moose Lake City Council meeting and the provided roster of officials. [0:03] **Jim Michalski (Mayor):** [Music] All right, we'll call to order the regular meeting of the Moose Lake City Council for Wednesday, October 11th at 4:00 p.m. and the first item will be the Pledge of Allegiance, please. I pledge allegiance to the flag of the United States of America and to the Republic for which it stands, one nation under God, indivisible, with liberty and justice for all. [0:38] **Jim Michalski (Mayor):** The next item on the agenda is approval of the agenda. Do we have any changes or additions? None? None from the council, none. Do we have a motion to approve the agenda? I have a second? All in favor say "aye." (Council responds "aye"). Oppose? Motion carried. Moving on to number two, consent agenda. 2A: the minutes—the special city council meeting September 12th, regular city council meeting September 13th, Planning Commission meeting July 12th corrected. Do you have any discussion, comments, or a motion on the minutes? [1:25] **Council Member:** Motion to approve. **Jim Michalski (Mayor):** Do I have a second? All in favor say "aye." (Council responds "aye"). Oppose? Motion carried. Moving on to 2B, Financial reports. Number one: the city accounts payable September 2023. Number two: the city financial statement September 2023. And number three: the liquor store profit/loss statement September 2023. Any discussion or comments? If none, I have a motion to approve the financial reports? [2:12] **Council Member:** So moved. **Jim Michalski (Mayor):** Do I have a second? All in favor say "aye." (Council responds "aye"). Oppose? Motion carried. Moving to number three, public comment. This time is reserved for comments from the public on matters not listed on the agenda. Please keep comments to 3 minutes. We don't have any comments tonight, so we'll move on to number four. 4A: the police officer, Chad Patterson, who is not here, so the department report for September will be given by the City Administrator. [2:58] **Ellissa Owens (City Administrator):** Oh yes, so in your packet you will see the police report for September, totaling 243 calls for service. The breakdown would be: six business patrols, 62 extra patrols, 70 traffic stops, and 12 community engagements. In addition, there are two assists to other agencies, 87 calls for service, and four medical calls, totaling the 243. Interim Chief Patterson is on vacation; he is in Ireland, so he did write a message apologizing for not being able to attend. He did present a little bit of additional information regarding the decrease in self-initiated calls. The PD has been a little bit short-staffed, and that is the reason that those calls have gone down. [3:45] **Ellissa Owens (City Administrator):** State Trooper Cody Poulsen has started as of September 12th, so he is helping relieve some of the uncovered shifts with part-time employment here through the city of Moose Lake, and I believe that's it. **Douglas Juntunen (Council Member):** I just have a question in the note that Chief Patterson left. He said Hansen and others applied for part-time work. Would it be appropriate, if we're that many shifts short that we're not filling, to vote on that or should we table that? What's the recommendation? [4:32] **Jim Michalski (Mayor):** I would think because we have yet to do all the negotiating, and that could take all the way to January 1st, I think we should approve the use of part-time officers until then. You don't know how long it will go, and if it goes quick and we don't need them on there part-time, we don't have to really worry about that. So I think it’d be appropriate to give them authority to utilize them. **Ellissa Owens (City Administrator):** Yeah, we're already using part-time; it's just adding to the roster. It just gives them more options to help fill openings. In addition to utilizing officers from other agencies, they are ready to go, they have training, and the cost of onboarding is significantly less, which I know Interim Chief Patterson has communicated through email correspondence that's been shared as well. He is out for a little bit longer but is reachable by email. If Council chooses to take action tonight, I could communicate with him and upon his return they can be onboarded. [5:47] **Council Member:** I guess I'll make a motion that we approve the use of part-time officers. **Jim Michalski (Mayor):** Any discussion or questions? All in favor say "aye." (Council responds "aye"). Oppose? Motion carried. Thank you. [6:19] **Jim Michalski (Mayor):** Moving on to 4B, City Superintendent Phil Entner. Department report for September 2023. **Phil Entner (City Superintendent):** Mr. Mayor, members of council... another busy month getting ready for winter. I know you hear that every time I say that, but we are getting ready for winter, so I'm sorry, it is what it is. We'll start with the water department. The water department distributed 7.4 million gallons of drinking water in the month of September. Hydrant flushing is completed; all hydrants are ready for the season. Our entire water system has been switched over to winter operations, which deals with a few adjustments for the water tower and some hydrant stuff. Everyone knows about the water main break in the 500 block of Fourth Street. [7:05] **Phil Entner (City Superintendent):** That's buttoned up. Concrete gets poured tomorrow morning; blacktop will be Monday hopefully, and then it'll be back open. Sewer Department collected 10.6 million gallons of wastewater in the month of September. We do have one discharge left with the ponds this year; that will be happening here in November. The sanitary sewer flow meter was calibrated last month, so that's good; it came in within compliance and the range set points they like to see. Street Department: pothole filling and patching as always. We're going to do that until blacktop plants close down. That's an ongoing battle, but we're trying to stay within our budget the best we can. [7:52] **Phil Entner (City Superintendent):** Cemeteries, campgrounds, parks... except for the campground, everything has been winterized. The campground will be done by the end of this week or beginning of next week. Ice is currently going in at the arena; paint went down yesterday. I had an opportunity to meet with the painting contractor we use; he actually pulled me aside and thanked me for the work that our crew is doing down there because that sheet of ice has been better than he's ever seen in the past. Kudos to our crew down there; I know they're working really hard. That's all I have. [8:40] **Ellissa Owens (City Administrator):** Just back on the superintendent's dialogue about the arena, we do have an update regarding the repair. At last month’s council meeting, the council approved a repair invoice of around $18,000 for the cooling system and a leak. Once the technician got up here and did some troubleshooting, it turned out that the problem was a lot larger than originally anticipated. We were thrown an estimate of about double—$36,000. At that time, I reached out to the Hockey Association president, Amy, and she and I coordinated. The Hockey Association agreed to pay half of that invoice. So, the City's cost did not exceed what was approved. The repair was made in time for ice to go on; it was a good collaborative effort. [9:28] **Jim Michalski (Mayor):** That's great. Best send a thank you to the crew at the arena. That went well. And they'll be ready for the kids on the 17th? **Phil Entner (City Superintendent):** Yes, the 17th. [10:14] **Jim Michalski (Mayor):** That's quick. And the liquor store... before we start, should we have somebody try to call Ryan to see what happened to him? **Ellissa Owens (City Administrator):** I did reach out and text him, so I'm just kind of waiting. **Jim Michalski (Mayor):** Okay, we'll move on. **Ryan McKeon (Finance Director):** Members of the council, Mayor, Administrator Owens... liquor store update. I'm pleased to announce we are up through three-quarters of the year compared to the previous year. We're at 1.536 million compared to 1.473 million last year. We're in good shape revenue-wise. Great job down there. [10:56] **Jim Michalski (Mayor):** That's through September? **Ryan McKeon (Finance Director):** Through three-quarters, through September. We are up $62,691.83. Also, a big congratulations to Jim Pederson; he’s now worked here 30 years. We'll be meeting with him soon; we have a plaque set up for him. Great job, Jim; we appreciate his loyalty. Brenda from the MMBA has a few dates for Mari and me for some training. Also, the ice machine keeps shutting off down at the liquor store, so we have Air Serv coming to take a look at it. I’ve reiterated the warranty we have. The condenser is also starting to freeze up again, so we have a call in to look at that. [12:12] **Jim Michalski (Mayor):** Very good. Thank you. Congratulations to Jim. **Ellissa Owens (City Administrator):** If council is looking for an in-depth month-to-month summary of liquor store revenues, they are available on page 43 of the packet. [12:31] **Jim Michalski (Mayor):** Moving on to 4D, Technology/Library Department. **Ryan McKeon (Finance Director):** I'll start with the library. There was a short meeting; Walt [Walter Lower III] was there. Friday movies are done now through the winter months. She’s looking for extra December ideas for activities. Regarding IT: changing out some monitors in the DMV. They need an iPad for language translation apps to service people who speak different languages, and headphones, which we ordered already. [14:05] **Ryan McKeon (Finance Director):** We decided to cancel our "True Digital" subscription in the arena; those TVs no longer exist on the wall. We started our cybersecurity fishing monitoring and dark web vulnerability monitoring with VC3. For the project server, VC3 has my spreadsheet of all programs from each department. I also have a camera server update. We voted for a "patch job" for now, knowing we might go to a cloud-based solution next fiscal year. The total here is a little bit over $52,000. This does not include new cameras; just the cloud-based server. [15:44] **Ryan McKeon (Finance Director):** Whatever you see in the budget later, chalk on another $52,000 if you want this. The patch job we have now still makes us vulnerable to cyberattacks. We could go hardware-based, but I don't have a quote for that; it might be more expensive because we have to buy all the hardware. There's also a leasing subscription model where you're billed monthly, but they would technically own the equipment. [16:33] **Jim Michalski (Mayor):** Ryan, it probably would be a good idea to get that monthly cost because we're talking $52,000 for cloud-based. **Ryan McKeon (Finance Director):** It's through DSC Communications. **Jim Michalski (Mayor):** I think it’d be wise to get a monthly cost. It's hard to come up with 50-something thousand. [17:19] **Jim Michalski (Mayor):** Like I said, that's not including cameras at $2,500 a pop. I think we're at a point where we should select five or six cameras in specific spots—as Darren suggested before he retired—that the police think would give us the most information for the dollar. Things are getting to such a high expense; maybe we don't need 20 or 30 cameras. How many do we have? **Ryan McKeon (Finance Director):** 30, I believe, not including the substations. [18:51] **Jim Michalski (Mayor):** In the past, every time they've used them for a crime, they say it was so grainy we couldn't use it. We should think about that. **Ellissa Owens (City Administrator):** As Ryan mentioned, this hasn't been included in the budget yet. The budget is fluid from now until December. We're looking for direction on prioritization. We should probably ask the Police Department which key cameras would be most useful. [20:03] **Jim Michalski (Mayor):** Okay, moving on to 4E, City Engineer monthly update. **Ellissa Owens (City Administrator):** In the packet, you'll see the meeting minutes from our October 4th monthly engineering meeting. A few points to highlight: we have an upcoming meeting between Administration, the Engineering Group, and a potential developer regarding the 30 acres the city purchased for housing behind CR. In addition, the city is putting in an LRIP grant. First Street has been selected. The Engineering Group is drafting the application. [21:38] **Ellissa Owens (City Administrator):** Regarding the 2023 projects, substantial completion is December 22nd; final is December 29th. The contractor is aware of notifying residents and providing temporary facilities. **Jim Michalski (Mayor):** What date did you say? **Ellissa Owens (City Administrator):** December 22nd for substantial completion. I was concerned if that was over Christmas. We talked about avoiding Thanksgiving for families coming in. The likelihood that we're still even dealing with the project then is very slim. [23:58] **Jim Michalski (Mayor):** 4F, Chamber of Commerce updates. **Ellissa Owens (City Administrator):** At the meeting today, they announced the 2024 event schedule. The 4th of July parade is on a Thursday. Ag Days is July 13th and 14th. They are looking at revisions to membership tiers. They will be taking over "Trunk or Treat" this year, partnering with Essentia Health in the park. They are also looking at ideas for the Christmas Parade of Lights and a Santa event. [24:44] **Jim Michalski (Mayor):** Thank you. Moving on to five, previously discussed business—we have none. Moving to new business, 6A: SEH City Engineer Matt is here for the wastewater capacity update. **Matt (SEH City Engineer):** Thank you, Mayor. I am here to talk about your annual update on your wastewater pond capacity. It's directly related to the lining projects you've been doing. Four years ago, the council decided to dedicate funds every year for lining because you were running at 93% capacity. At 80%, the MPCA says you have to start planning; at 90%, they start critiquing any permits. [26:18] **Matt (SEH City Engineer):** The good news: we dropped it from 93 down to 90, and this year we dropped it to just over 86%. That means you added capacity for about 54 new homes. For that 30 acres of land you purchased, the concept would put about 25 homes on it. That requires about 6,000 gallons a day. You have about 12,000 gallons of capacity to "give out" before getting back to 90%. I’d recommend dedicating the first 6,000 to yourself for that housing development. [28:36] **Matt (SEH City Engineer):** That leaves about 6,000 or 6,500 gallons for other things—like campground expansion or the Brewery request. **Jim Michalski (Mayor):** Do we have a projection on this next lining project? **Phil Entner (City Superintendent):** It's next on the list, so it's pretty bad. It's the closest segment of pipe to the lake left. [30:58] **Matt (SEH City Engineer):** Last year’s project was basically three projects in one. This year is a one-year project, so the jump won't be as big. Phil wisely started with pipes that were underwater; we are now barely above water. Also, we still have a very large 15-inch clay pipe that is a big contributor of Inflow and Infiltration (I&I). I would look at that before jumping to all the manholes. [35:33] **Jim Michalski (Mayor):** Thank you, Matt. 6B: Riverside Arena scoreboard collaboration MOU. **Ellissa Owens (City Administrator):** In the packet, you'll find a quote for a scoreboard. The City, Hockey Association, and School District have been meeting. The District and Hockey Association agreed to contribute equal parts to replace it. Because the District cannot contribute to buildings they don't own, we are modifying the lease via an MOU to increase their lease amount while decreasing the Hockey Association's lease by the same amount. It's net-neutral for the City. [37:06] **Jim Michalski (Mayor):** You’re looking for a motion to move ahead with the collaboration? **Council Member:** I'll make that motion. **Jim Michalski (Mayor):** Second? **Council Member:** Second. **Jim Michalski (Mayor):** All in favor say "aye." (Council responds "aye"). Oppose? Motion carried. [38:38] **Jim Michalski (Mayor):** 6C: Riverside Arena Community Partnership. **Ryan McKeon (Finance Director):** Very excited to introduce a first draft of a partnership with St. Luke's and Aspirus Health. They are offering $150,000 for naming rights of the arena for 10 years. We can take it in one lump sum or $15,000 per year. They are also paying fully for their signage and have offered to share costs for a new video board on the front. [41:43] **Jim Michalski (Mayor):** Is there consensus to move ahead? (Council agrees). I think the contract should say we have final say on what the signage looks like. [42:17] **Jim Michalski (Mayor):** 6D: Public Utilities water reconnection fee discussion. **Phil Entner (City Superintendent):** We were contacted by Water and Light regarding a discrepancy. When we shut someone's water off for non-payment or winter, it takes time. Half of our curb stops are rotted out. We have to send two staff members and a piece of equipment out for upwards of two hours. We currently have two different rates: $200 and $60. I'd like to make it one flat rate. [44:38] **Ellissa Owens (City Administrator):** It was established as a "reconnection fee" and a "reconnection fee if requested." There were landlord dynamics that made it confusing. We’ve discussed that one fee needs to be streamlined. We recommend $200. **Kris Huso (Council Member):** Is this an amount they have to pay upfront to get the water turned back on? I can see issues with it being $200 and them not paying their bill, then we have to go back and shut it off again. [49:15] **Phil Entner (City Superintendent):** For an emergency—like a pipe blowing apart—we wouldn't charge that. But for non-payment or leaving for the winter, that’s different. **Jim Michalski (Mayor):** We normally adjust all fees in January. My suggestion is we set it at $60 for now and give the council time to think about it for January. A jump to $200 is a big jump. [58:23] **Council Member:** I’ll motion to set it at $60 and streamline the language to one line item. **Jim Michalski (Mayor):** Second? **Council Member:** Second. **Jim Michalski (Mayor):** All in favor say "aye." (Council responds "aye"). Oppose? Motion carried. [59:02] **Jim Michalski (Mayor):** 6E: 2024 Budget Presentation. **Ellissa Owens (City Administrator):** The budget includes an operating transfer of $20,000 to the DMV. It includes a 3% wage increase for employees and a 9% increase in health insurance premiums. Local Government Aid (LGA) increased by $131,000 to $1.238 million. Campground revenue increased by $30,000. [1:05:13] **Ellissa Owens (City Administrator):** The Police Department budget increased by $24,000, primarily for health insurance and two workstation replacements mandated by VC3. For Public Works, we increased the blacktop budget by $15,000 for potholes. [1:14:22] **Ellissa Owens (City Administrator):** Capital projects include: an arena bleacher heater, $180,000 in electric utility savings being earmarked, $50,000 for Gravel Pit savings, and a used dump truck for $60,000. Currently, we are looking at a general fund deficit that we need to work on over the next few months. [1:22:19] **Ellissa Owens (City Administrator):** Moving to Sewer: the debt obligation for 2024 is $383,000. At the end of 2023, the fund balance will hit the $1 million threshold recommended by the MPCA. To meet our obligations, the recommendation is a rate increase of $13.11 for minimum users. [1:27:38] **Douglas Juntunen (Council Member):** I’d like to see what a threshold of $900,000, $800,000, and $700,000 looks like so it doesn't hit residents so hard. We did a 12% increase last year and still lost ground. [1:44:27] **Jim Michalski (Mayor):** Let's schedule a working meeting for the budget. Wednesday the 25th at 3:00 p.m.? (Council agrees). [1:46:51] **Ellissa Owens (City Administrator):** Liquor Fund summary: net income budgeted at approximately $52,000. We're looking at a new POS system and HVAC control panel. Motor Vehicle Fund: budgeted at a net loss of $2,745. We need to replace a workstation there as well. [1:52:34] **Jim Michalski (Mayor):** Reports and Correspondence. 7A: Unsigned letter. I'm not going to read it because if you want it read, you should put your name on it. It questions the zoning of the Newman property. We verified the zoning, and the businesses fit the code. [1:55:38] **Jim Michalski (Mayor):** 7B: Rural Water Association appreciation letter for Phil Entner and the staff for hosting training. 7C: Truth and Taxation meeting is December 13th at 6:00 p.m. [1:58:32] **Jim Michalski (Mayor):** Committee and Board minutes. Announcements: Next regular meeting is November 8th. MEDA is October 18th. Motion to adjourn? **Council Member:** So moved. **Jim Michalski (Mayor):** Second? **Council Member:** Second. **Jim Michalski (Mayor):** All in favor say "aye." (Council responds "aye"). Motion carried. We are adjourned. [2:00:33]